Impairment of fixed assets at the sporting-gun business subsidiary and deteriorating profitability
First written in FY2024. . Latest entry: FY2026-H1.
1 other company's latest entry also says "Other".
- FY2026-H1Sporting-gun profit declines despite the lapse of depreciation expenseAnnual report
「Although depreciation expenses declined following the recognition of impairment losses on fixed assets through the end of the previous fiscal year, profit declined year on year because the impact of soaring raw material prices and other factors was significant and the higher costs still could not be passed on to selling prices.」
Although depreciation expense related to fixed-asset impairment recognized through the end of the previous fiscal year fell away, profit from the hunting firearms business declined year on year due to soaring raw material prices and insufficient price pass-through. - FY2024First statedAnnual report
「During the current consolidated fiscal year, we reviewed the earnings generated by business activities and assessed future recoverability for the asset group relating to Nankoku Miroku Co., Ltd. in the Group's hunting-gun business, in light of deteriorating profitability caused by manufacturing-process defects, delays in product sales and the inability to pass through all manufacturing-cost increases resulting from higher raw-material prices. As a result, we reduced the carrying amount of fixed assets used in the company's business, including buildings, structures and machinery, to their recoverable amount and recognized an impairment loss.」
An impairment loss of ¥1,669 million was recognized for the first time following deteriorating profitability in the hunting-gun business due to manufacturing-process defects, delayed product sales, higher raw-material prices and insufficient price pass-through.