Goodwill impairment risk arising from production problems in Fyffes’ mushroom business
First written in FY2019. 4 of 13 entries say "Restated". Latest entry: FY2025.
The whole theme swung hardest in 2024: 39 of 92 companies on the "Worse" side.
- FY2025MitigatedAnnual report
「• Europe and Americas fresh produce business: Melon business remained sluggish, while banana and pineapple businesses performed well」
In the Europe and Americas fresh produce business, the melon business remained sluggish, while the banana and pineapple businesses performed well. Measures to stabilize production also showed results in the North American mushroom business. - FY2025-H1RestatedAnnual report
「• Europe and Americas fresh produce business: Melon business remained sluggish, while banana and pineapple businesses performed well」
In the Europe and Americas fresh produce business, the melon business remained sluggish, while the banana and pineapple businesses performed well, with performance drivers continuing to diverge within the business. - FY2024MaterialisedAnnual report
「・Global fresh produce business: Impairment loss」
Impairment losses in the global fresh produce business, including the Europe and Americas fresh produce business, were identified as a factor behind the decline in earnings for the period. - FY2024-Q3RestatedAnnual report
「・European and US fresh produce business: Production problems in the melon business, but the banana business performed well」
In the European and US fresh produce business, production problems continued in the melon business, while the banana business was described as performing well. There was no significant change in the factors affecting performance within the business from the previous quarter. - FY2024-Q2WorsenedAnnual report
「・European and US fresh produce business: Production problems caused by pests and diseases in the melon business, but the banana business remained steady」
In the European and US fresh produce business, production problems caused by pests and diseases occurred in the melon business. The banana business, however, was described as steady, with performance factors differing within the business. - FY2023-Q3RestatedAnnual report
「This was due mainly to increased profit resulting from the delivery of a large-scale real estate project, despite the impact of higher material and other costs in the European and US fresh produce business.」
Higher material and other costs continued to affect the European and US fresh produce business, while the Lifestyle and Real Estate Business Division as a whole became more profitable due to the delivery of a large-scale real estate project. - FY2023-Q1WorsenedAnnual report
「This was due mainly to the steady performance of the real estate business, while profit declined in the European and US fresh produce business because of higher logistics and other costs and production problems resulting from adverse weather conditions.」
The European and US fresh produce business, for which increased profit due to the recovery of US market conditions had been reported in the previous period, became less profitable due to higher logistics and other costs and production problems caused by adverse weather conditions. - FY2022MitigatedAnnual report
「This was due mainly to increased profit in the European and US fresh produce business as US market conditions recovered.」
The European and US fresh produce business, which recognized a large impairment loss in the previous period, became more profitable as US market conditions recovered. - FY2022-Q1MitigatedAnnual report
「This was due mainly to the delivery of a large-scale project in the real estate business and increased profit in the European and US fresh produce business as US market conditions recovered.」
The European and US fresh produce business became more profitable as US market conditions recovered. The first quarter described an improvement in the fresh produce business after weak performance and concern about additional impairment had been indicated since the previous period. - FY2021-Q3MaterialisedAnnual report
「In the European and US fresh produce business, the Company reviewed its business plan in light of the impact of the COVID-19 pandemic and intensifying competition in the European banana wholesale market. As a result, it recognized impairment losses in the cumulative third quarter on goodwill and other intangible assets related to the business, reducing them to their recoverable amounts. Accordingly, an impairment loss of ¥41,050 million was recorded as an impairment loss on fixed assets in the condensed interim consolidated statement of comprehensive income.」
The European and US fresh produce business recognized an impairment loss of ¥41,050 million due to the impact of COVID-19 and intensifying competition in the European market. - FY2021-Q1WorsenedAnnual report
「In the European and US fresh produce business, there is concern that impairment losses on goodwill and other assets may arise due to weak performance.」
Even after recognizing an impairment loss in the mushroom business and other businesses of Fyffes in the previous period, the Company indicated concern about additional impairment due to weak performance in the European and US fresh produce business. - FY2020RestatedAnnual report
「In the banana and pineapple business and the mushroom business, value in use at the end of the current period exceeded carrying value by ¥10,559 million and ¥8,349 million, respectively. However, if the discount rate rose by 0.5% for the banana and pineapple business and by 1.3% for the mushroom business, impairment losses would arise in each case. The mushroom business recognized an impairment loss of ¥1,953 million in the Lifestyle and Real Estate Business Division at the end of the previous period.」
Even after recognizing an impairment loss in the mushroom business in the previous period, the Company quantitatively disclosed the possibility of additional impairment resulting from an increase in the discount rate. - FY2019MaterialisedAnnual report
「Regarding Fyffes, the Company recognized an impairment loss of ¥1,953 million in the Lifestyle and Real Estate Business Division after reviewing the business plan for its mushroom business, one of its groups of cash-generating units, in light of recent production problems.」
The Company reviewed the business plan following production problems, resulting in a goodwill impairment loss of ¥1,953 million. The possibility of additional impairment due to changes in the business plan was also disclosed.