Failure to Recover Investments in New Store Openings and Renovations as Expected and Impairment
First written in FY2017. 16 of 21 entries say "Materialised", first in FY2019. Latest entry: 2026-08-12.
VIA Holdings moved to the "Worse" side of this theme in 2019, 1 year after the typical company in this theme (2018).
The whole theme swung hardest in 2018: 11 of 30 companies on the "Worse" side.
3 other companies' latest entry also says "Materialised".
- FY2026MaterialisedAnnual report
「In addition to closing 20 unprofitable stores and other locations, including 4 franchised stores, the Company recognized an impairment loss of ¥189 million on property, plant and equipment at stores and other locations where recovery of the capital invested was expected to be difficult based on future cash flows.」
The risk of failure to recover investments and impairment became evident again during the fiscal year as the closure of 20 stores and impairment losses of ¥189 million. - FY2026-H1MaterialisedAnnual report
「This was due to, among other factors, impairment losses of ¥6 million.」
The risk associated with recovering capital investments and impairment materialized again during the interim consolidated accounting period as impairment losses of ¥6 million. - FY2025MaterialisedAnnual report
「In addition to closing 11 directly operated stores due to the expiration or termination of contracts or their lack of profitability, the Company recognized an impairment loss of ¥92 million on property, plant and equipment at stores and other locations where recovery of the capital invested was expected to be difficult based on future cash flows.」
The store opening and closure and investment recovery risks materialized again during the fiscal year as the closure of 11 stores and impairment losses of ¥92 million. - FY2025-H1MaterialisedAnnual report
「This was due to, among other factors, impairment losses of ¥41 million.」
The risks associated with investment recovery and impairment at stores and other locations materialized as impairment losses of ¥41 million during the interim consolidated accounting period. - FY2024MitigatedAnnual report
「During the fiscal year, in addition to closing 12 directly operated stores due to the expiration or termination of contracts or their lack of profitability, the Company recognized an impairment loss of ¥24 million on property, plant and equipment at stores and other locations where recovery of the capital invested was expected to be difficult based on future cash flows.」
Store closures and impairment continued, but the scale decreased from 29 stores and ¥296 million in impairment losses in the previous fiscal year to 12 stores and ¥24 million, respectively. - FY2024-Q1MaterialisedAnnual report
「Impairment loss 14」
The risks associated with store rationalization and investment recovery actually materialized as the closure of 7 stores and an impairment loss of ¥14 million during the quarter. - FY2023MaterialisedAnnual report
「In addition, the closure of the above stores and the application of impairment accounting resulted in extraordinary losses, including an impairment loss of ¥296 million.」
During the fiscal year, 29 stores were closed, and impairment losses of ¥296 million, losses on the sale of property, plant and equipment of ¥50 million, losses on the disposal of property, plant and equipment of ¥12 million, and other losses actually occurred in connection with closed and unprofitable stores. - FY2021WorsenedAnnual report
「In order to fundamentally transform its earnings structure, the Company closed a substantial number of stores, including 80 stores, resulting in impairment losses on stores and store closure losses.」
The store opening and closure and investment recovery risks became further evident in the closure of 80 stores, impairment losses of ¥2,679 million and an addition to the provision for store closure losses of ¥449 million. - FY2021-Q2MaterialisedAnnual report
「For stores scheduled to close and stores that had suspended operations, the company reviewed its estimates of future cash flows and assessed the recoverability of the carrying amounts of fixed assets, resulting in the recording of ¥172 million in impairment losses as extraordinary losses.」
The risk of failure to recover investments and the recoverability of property, plant and equipment associated with store closures and suspensions of operations materialized as an impairment loss of ¥172 million. - FY2021-Q1MaterialisedAnnual report
「Impairment losses ¥18 million」
As the store base continues to shrink, an impairment loss of ¥18 million was recorded this quarter, updating the occurrence of the risks of failure to recover investments and impairment. - FY2020MaterialisedAnnual report
「In order to fundamentally transform its earnings structure, the Company closed a substantial number of stores, equivalent to approximately 15% of the stores in the group, resulting in impairment losses on stores and store closure losses. In addition, extraordinary losses of ¥1,190 million were recorded due to losses on the disposal of property, plant and equipment associated with renovations, impairment losses on goodwill and other factors.」
The store opening and closure and investment recovery risks actually materialized as the closure of approximately 15% of stores, impairment losses on stores, store closure losses and losses on the disposal of property, plant and equipment. - FY2020-Q3MaterialisedAnnual report
「In addition, extraordinary losses of ¥289 million were recorded due to impairment losses and store closure losses associated with store closures at a subsidiary, losses on the disposal of property, plant and equipment associated with renovations, and other factors.」
Impairment losses and store closure losses associated with store closures, as well as disposal losses associated with renovations, materialized as ¥289 million in extraordinary losses. - FY2019MaterialisedAnnual report
「In addition, extraordinary losses of ¥2,130 million were recorded due to impairment losses on stores and goodwill at subsidiaries, losses on store closures, losses on the disposal of property, plant and equipment associated with renovations, and other factors.」
The risk of failure to recover investments in new stores and renovations actually materialized as impairment losses on stores and goodwill, store closure losses and disposal losses. - FY2018RestatedAnnual report
「The Company makes decisions on new store openings and renovations only after carefully examining their profitability, investment recovery and other factors in advance. However, if the competitive environment around a store changes after opening or issues arise that could not be identified in the preliminary assessment, planned profitability may not be achieved, or the Company may need to write off store equipment or recognize impairment losses. These events could adversely affect the operating results and financial condition of the Company and its group.」
The risks of failure to recover investments in new stores and renovations, equipment write-offs and impairment continue to be identified. - FY2017First statedAnnual report
「The Company makes decisions on new store openings and renovations only after carefully examining their profitability, investment recovery and other factors in advance. However, if the competitive environment around a store changes after opening or issues arise that could not be identified in the preliminary assessment, planned profitability may not be achieved, or the Company may need to write off store equipment or recognize impairment losses. These events could adversely affect the operating results and financial condition of the Company and its group.」
The risks associated with investments in new stores and renovations include failure to achieve planned profitability due to changes in the competitive environment, the write-off of equipment and impairment.