Material Doubt Regarding Going Concern, Operating Losses and Negative Operating Cash Flow
First written in FY2017-Q2. 16 of 41 entries say "Restated". Latest entry: FY2027-H1.
Lapine moved to the "Worse" side of this theme in 2019, 1 year before the typical company in this theme (2020).
The whole theme swung hardest in 2020: 30 of 71 companies on the "Worse" side.
23 other companies' latest entry also says "Worsened".
- FY2027-H1WorsenedAnnual report
「The group has reported operating losses continuously since the 71st fiscal year, ending February 2019. During the interim consolidated accounting period, it posted an operating loss of ¥176 million, an ordinary loss of ¥157 million, and an interim net loss attributable to owners of the parent of ¥80 million. As cash flow from operating activities was negative ¥109 million, cash and deposits at the end of the interim consolidated accounting period stood at ¥244 million. In light of these circumstances, significant concerns have arisen regarding the group's cash flow management, and events or conditions exist that raise substantial doubt about the going-concern assumption.」
The company continues to explicitly report ongoing operating losses, negative cash flow from operating activities of ¥109 million, and cash and deposits of ¥244 million, indicating significant concerns regarding cash flow management. Cash and deposits also decreased from ¥425 million at the end of the previous interim period. - FY2026WorsenedAnnual report
「The group has reported operating losses continuously since the 71st fiscal year (fiscal year ended February 2019). For the consolidated fiscal year, it reported an operating loss of ¥275 million, an ordinary loss of ¥249 million, and a net loss attributable to owners of the parent of ¥259 million. Operating cash flow was negative at ¥473 million, leaving cash and deposits of ¥490 million at the end of the consolidated fiscal year. These circumstances have raised significant concerns regarding the group's cash flow and give rise to events or conditions that may raise significant doubt about its ability to continue as a going concern.」
In addition to the continuation of operating losses since the fiscal year ended February 2019, the company reported an operating loss of ¥275 million for the year, negative operating cash flow of ¥473 million, and cash of ¥490 million at year-end, explicitly stating that it has significant concerns regarding cash flow. - FY2026-H1RestatedAnnual report
「The group has reported operating losses continuously since the 71st fiscal year (fiscal year ended February 2019). While operating losses continued during the interim consolidated accounting period, it continued to negotiate with its lending financial institutions regarding the repayment schedule for the principal of its borrowings. These circumstances give rise to events or conditions that may raise significant doubt about the entity's ability to continue as a going concern.」
The company continues to disclose the persistence of operating losses since the fiscal year ended February 2019, an operating loss for the interim consolidated accounting period, and negotiations with financial institutions regarding the repayment schedule as material events. - FY2025WorsenedAnnual report
「The group has reported operating losses continuously since the 71st fiscal year (fiscal year ended February 2019). While operating losses continued in the 77th fiscal year (fiscal year ended February 2025), it continued to negotiate with its lending financial institutions regarding the repayment schedule for the principal of its borrowings.」
The company explicitly disclosed for the full fiscal year that operating losses continued from the fiscal year ended February 2019 through the fiscal year ended February 2025, and that negotiations with financial institutions regarding the repayment schedule for the principal of its borrowings are continuing. - FY2025-H1RestatedAnnual report
「The group reported operating losses for the consolidated fiscal years from the 71st fiscal year (fiscal year ended February 2019) through the 76th fiscal year (fiscal year ended February 2024). While operating losses continued during the interim consolidated accounting period, the company received deferrals of principal repayments from its lending financial institutions and continues to negotiate amendments to the repayment terms of its borrowings. These circumstances give rise to events or conditions that may raise significant doubt about the entity's ability to continue as a going concern.」
The company continues to disclose operating losses from the fiscal year ended February 2019 through the fiscal year ended February 2024, an operating loss for the interim consolidated accounting period, deferrals of principal repayments, and negotiations to amend repayment terms as material events relating to going concern. - FY2025-Q1WorsenedAnnual report
「The group reported operating losses for the consolidated fiscal years from the 71st fiscal year (fiscal year ended February 2019) through the 76th fiscal year (fiscal year ended February 2024). While operating losses continued during the current three-month period, the company received deferrals of principal repayments from its lending financial institutions and continues to negotiate amendments to the repayment terms of its borrowings.」
Operating losses continued for 6 fiscal years from the fiscal year ended February 2019 through the fiscal year ended February 2024, and the company also reported an operating loss in the current first quarter. Deferrals of principal repayments and negotiations to amend repayment terms are continuing, and material events relating to going concern remain. - FY2024WorsenedAnnual report
「While operating losses continued during the consolidated fiscal year, the company received deferrals of principal repayments from its lending financial institutions and continues to negotiate amendments to the repayment terms of its borrowings.」
The company disclosed the persistence of operating losses, deferrals of principal repayments, and negotiations to amend repayment terms, and explicitly stated that material uncertainty remains while remedial measures are being implemented. Operating cash flow was also negative at ¥660 million. - FY2024-Q3RestatedAnnual report
「During the nine-month period, the impact of the reorganization of business partners was significant in both the specialty-store and department-store businesses, resulting in an operating loss. The company also expects an operating loss in its full-year earnings forecast and does not expect an improvement in operating cash flow.」
The company continues to disclose as material going-concern events an operating loss resulting from the reorganization of business partners, its forecast of an operating deficit for the full fiscal year, and the lack of an expected improvement in operating cash flow. - FY2024-Q2WorsenedAnnual report
「The group reported operating losses for the consolidated fiscal years from the 71st fiscal year (fiscal year ended February 2019) through the 75th fiscal year (fiscal year ended February 2023). During the six-month period ended August 2022, the impact of the reorganization of business partners was significant in both the specialty-store and department-store businesses, resulting in an operating loss. The group also expects an operating loss in its full-year earnings forecast and does not expect an improvement in operating cash flow.」
In addition to operating losses in the past 5 fiscal years, the company reported an operating loss for the six-month period and explicitly disclosed its forecast of an operating deficit for the full fiscal year and the lack of an expected improvement in operating cash flow. - FY2024-Q1RestatedAnnual report
「The group reported operating losses for the consolidated fiscal years from the 71st fiscal year (fiscal year ended February 2019) through the 75th fiscal year (fiscal year ended February 2023). Although it reported an operating profit for the current three-month period, it expects an operating deficit for the full fiscal year and does not expect a significant improvement in operating cash flow.」
Although the company reported an operating profit for the first quarter, it continues to disclose as material going-concern events its operating losses in the past 5 fiscal years, its forecast of an operating deficit for the full fiscal year, and the lack of an expected significant improvement in operating cash flow. - FY2023RestatedAnnual report
「In addition, while operating losses continued during the fiscal year ended February 2023, the company received deferrals of principal repayments from its lending financial institutions and continues to negotiate amendments to the repayment terms of its borrowings. These circumstances give rise to events or conditions that may raise significant doubt about the entity's ability to continue as a going concern.」
The company continues to disclose the persistence of operating losses, deferrals of principal repayments, and negotiations to amend repayment terms as material events relating to going concern. - FY2023-Q3RestatedAnnual report
「In addition, while operating losses continued during the nine-month period ended November 2022, the company received deferrals of principal repayments from its lending financial institutions and continues to negotiate amendments to the repayment terms of its borrowings. These circumstances give rise to events or conditions that may raise significant doubt about the entity's ability to continue as a going concern.」
The company continues to disclose the persistence of operating losses, deferrals of principal repayments, and negotiations to amend repayment terms as material events relating to going concern. - FY2023-Q2WorsenedAnnual report
「In the 74th fiscal year, operating cash flow was positive due to the use of various subsidies. The company also reported an operating loss for the six-month period ended August 2022. It has received deferrals of principal repayments from its lending financial institutions and continues to negotiate amendments to the repayment terms of its borrowings.」
Although operating cash flow was positive in the previous fiscal year due to subsidies, the company also reported an operating loss for the six-month period, with most repayment deferrals attributable to deferrals of tax and other payments, explicitly stating that cash flow remains difficult. - FY2023-Q1RestatedAnnual report
「Our group recorded operating losses in the consolidated fiscal years from the 71st fiscal year, the fiscal year ended February 2019, through the 74th fiscal year, the fiscal year ended February 2022. In the 74th fiscal year, cash flow from operating activities was positive due to the use of various subsidies. However, we also recorded an operating loss in the cumulative first quarter of the current consolidated fiscal year. We have also received deferrals of principal repayments on borrowings from our relationship financial institutions and continue to negotiate changes to the repayment terms of our borrowings.」
The company continues to disclose operating losses since the fiscal year ended February 2019, an operating loss for the current quarter, and deferrals of repayments and negotiations to amend repayment terms with financial institutions as material events relating to going concern. Meanwhile, operating cash flow for the 74th fiscal year was positive due to the use of subsidies. - FY2022-Q3RestatedAnnual report
「Our group has continuously recorded operating losses from the 71st fiscal year, the fiscal year ended February 2019, through the cumulative third quarter of the current consolidated fiscal year. We have also received deferrals of principal repayments on borrowings from our relationship financial institutions and continue to negotiate changes to the repayment terms of our borrowings.」
Operating losses and negative operating cash flow since the fiscal year ended February 2019, together with repayment deferrals and negotiations to change repayment terms with financial institutions, continue to be stated as significant events relating to going concern. - FY2022-Q2RestatedAnnual report
「Our group has continuously recorded operating losses and negative cash flow from operating activities since the 71st fiscal year, the fiscal year ended February 2019, and also recorded an operating loss in the cumulative second quarter of the current consolidated fiscal year. We have also received deferrals of principal repayments on borrowings from our relationship financial institutions and continue to negotiate changes to the repayment terms of our borrowings.」
Operating losses and negative operating cash flow since the fiscal year ended February 2019, together with repayment deferrals and negotiations to change repayment terms with financial institutions, continue to be stated as significant events. - FY2022-Q1RestatedAnnual report
「Our group has continuously recorded operating losses and negative cash flow from operating activities since the 71st fiscal year, the fiscal year ended February 2019, and also recorded an operating loss in the cumulative first quarter of the current consolidated fiscal year. We have also received deferrals of principal repayments on borrowings from our relationship financial institutions and continue to negotiate changes to the repayment terms of our borrowings.」
Operating losses and negative operating cash flow, deferrals of principal repayments on borrowings, and negotiations to change repayment terms continue to be stated as significant events relating to going concern. - FY2021WorsenedAnnual report
「However, as these measures are still being implemented and there is uncertainty regarding the extent and duration of their impact on future operating income and financial condition, material uncertainty regarding the going concern assumption exists.」
The company has shifted from its previous judgment that no material uncertainty existed and now explicitly states that material uncertainty exists because the measures are still being implemented and their extent and duration of impact are uncertain. - FY2021-Q3WorsenedAnnual report
「In the cumulative third quarter of the current consolidated fiscal year, the impact remained substantial from the voluntary suspension of operations at commercial facilities and directly operated stores, as well as requests to refrain from going out, following the issuance of a state of emergency declaration in response to the spread of COVID-19. Even after the declaration was lifted, the situation remained unpredictable due to the arrival of second and third waves of COVID-19. Sales decreased 41.8% year on year and we recorded an operating loss of ¥1,787 million. We have also received deferrals of principal repayments on borrowings from our relationship financial institutions and continue to negotiate changes to the repayment terms of our borrowings.」
Due to the second and third waves of COVID-19, sales decreased 41.8% and the operating loss was ¥1,787 million. In addition, principal repayment deferrals and negotiations to change repayment terms for borrowings have arisen. The company states that material uncertainty regarding going concern also exists. - FY2021-Q2WorsenedAnnual report
「Sales decreased 46.8% year on year, and we recorded an operating loss of ¥1,128 million and negative cash flow from operating activities of ¥954 million. Accordingly, we recognize that events or conditions exist that raise significant doubt regarding the going concern assumption.」
Amid the impact of COVID-19, sales decreased 46.8%, an operating loss of ¥1,128 million was recorded, and negative cash flow from operating activities was ¥954 million, further exacerbating the significant events relating to going concern. - FY2021-Q1MaterialisedAnnual report
「In the cumulative first quarter of the current consolidated fiscal year, the impact was substantial from the voluntary suspension of operations at commercial facilities and directly operated stores, as well as requests to refrain from going out, following the issuance of the state of emergency declaration in response to the spread of COVID-19. Sales decreased 62.0% year on year and we recorded an operating loss of ¥304 million, and therefore recognize that events or conditions exist that raise significant doubt regarding the going concern assumption.」
Due to the impact of COVID-19, sales decreased 62.0% and an operating loss of ¥304 million was actually recorded, explicitly identifying significant events relating to going concern. - FY2020-Q3MaterialisedAnnual report
「In the cumulative third quarter of the current consolidated fiscal year, consumer frugality remained entrenched across fashion-related consumption, particularly apparel, and sales continued to trend downward. As we recorded an operating loss of ¥160 million, we recognize that events or conditions exist that raise significant doubt regarding the going concern assumption.」
An operating loss of ¥160 million was actually recorded in the cumulative third quarter of the current fiscal year, and significant events relating to going concern continue to be recognized. - FY2020-Q2MaterialisedAnnual report
「During the six-month period of the current second quarter, consumers’ inclination to save remained firmly entrenched across fashion-related consumption, particularly apparel, while sales continued to decline. We recognize that events or circumstances exist that raise substantial doubt about the going concern assumption, as we recorded an operating loss of ¥299 million and negative cash flow from operating activities.」
An operating loss of ¥299 million and negative cash flow from operating activities of ¥183 million were actually recorded in the cumulative second quarter of the current fiscal year, and significant events relating to going concern continue to be explicitly disclosed. - FY2020-Q1RestatedAnnual report
「Although we recorded operating profit in the cumulative first quarter of the current consolidated fiscal year, we recognize that events or conditions exist that raise significant doubt regarding the going concern assumption because there has been no significant change from the situation in the previous consolidated fiscal year. However, as stated in “2. Business Overview, 2. Analysis of Financial Position, Operating Results and Cash Flows by Management,” we have formulated measures to resolve these events or conditions and achieve an early recovery in performance, and are working to restore profitability. As business funding has also been secured on a stable basis, we judge that no material uncertainty exists regarding the going concern assumption.」
Although operating profit was recorded in the current first quarter, significant events relating to going concern continue to be recognized on the grounds that there has been no significant change from the previous fiscal year's operating loss and negative operating cash flow. At the same time, the company maintains its judgment that no material uncertainty exists. - FY2019MaterialisedAnnual report
「In the current consolidated fiscal year, the fiscal year ended February 2019, we worked to develop attractive new products that meet market needs. However, sales decreased 5.2% due to numerous natural disasters, including record summer heat, torrential rains, typhoons and earthquakes, as well as unusually warm winter weather. As we recorded an operating loss and negative cash flow from operating activities, we recognize that events or conditions exist that raise significant doubt regarding the going concern assumption.」
From positive profit and operating cash flow in the previous fiscal year, the company moved to an operating loss and negative cash flow from operating activities of ¥516 million in the current fiscal year, explicitly identifying significant events for the full year. - FY2019-Q3MaterialisedAnnual report
「In the cumulative third quarter of the current consolidated fiscal year, while consumption among middle-aged and older women remained weak, we worked to develop attractive new products that meet market needs. However, sales declined due in part to successive natural disasters and abnormal weather, resulting in an operating loss. Accordingly, events or conditions exist that raise significant doubt regarding the going concern assumption.」
Although operating profit and positive operating cash flow had been achieved in the previous fiscal year, sales declined and an operating loss was actually recorded in the cumulative third quarter of the current fiscal year, and significant events relating to going concern continue to be explicitly disclosed. - FY2019-Q2MaterialisedAnnual report
「Although we recorded operating profit and positive cash flow from operating activities in the previous consolidated fiscal year, the cumulative second quarter of the current consolidated fiscal year saw lower sales amid weak consumption of women's apparel, partly due to successive natural disasters and abnormal weather. As we recorded an operating loss and negative cash flow from operating activities, events or conditions exist that raise significant doubt regarding the going concern assumption.」
Although operating profit and positive cash flow from operating activities had been achieved in the previous fiscal year, the company actually recorded an operating loss and negative operating cash flow in the cumulative second quarter of the current fiscal year, again explicitly identifying significant events. - FY2019-Q1RestatedAnnual report
「Our group recorded operating losses and negative cash flow from operating activities for 2 consecutive fiscal years in the 68th and 69th fiscal years. Although we recorded operating profit and positive cash flow from operating activities in the previous consolidated fiscal year, the 70th fiscal year, a full recovery in performance has not yet been achieved. We also recorded operating profit in the cumulative first quarter of the current consolidated fiscal year, but as there has been no significant change from the situation at the end of the previous consolidated fiscal year, we recognize that events or conditions exist that raise significant doubt regarding the going concern assumption.」
The 2 consecutive years of losses and negative operating cash flow in the 68th and 69th fiscal years continue to be recognized as significant events. Although operating profit was recorded in the 70th fiscal year and the current first quarter, the company states that there has been no significant change in the situation. - FY2018MitigatedAnnual report
「Our group recorded operating losses and negative cash flow from operating activities for 2 consecutive fiscal years through the previous consolidated fiscal year. Although we recorded operating profit and positive cash flow from operating activities in the current consolidated fiscal year, we have not yet achieved a full recovery in performance, and circumstances exist that raise significant doubt regarding the going concern assumption.」
Operating profit and operating cash flow turned positive, but the company continues to recognize significant events because a full recovery in performance has not yet been achieved. - FY2018-Q3RestatedAnnual report
「Our group recorded operating losses and negative cash flow from operating activities for 2 consecutive fiscal years through the previous consolidated fiscal year, and recognizes that events or conditions exist that raise significant doubt regarding the going concern assumption.」
The operating losses and negative operating cash flow for 2 consecutive fiscal years through prior fiscal years continue to be recognized as significant events relating to going concern. - FY2018-Q2RestatedAnnual report
「Our group recorded operating losses and negative cash flow from operating activities for 2 consecutive fiscal years through the previous consolidated fiscal year, and recognizes that events or conditions exist that raise significant doubt regarding the going concern assumption.」
The operating losses and negative operating cash flow for 2 consecutive fiscal years through prior fiscal years continue to be recognized as significant events relating to going concern. - FY2018-Q1MitigatedAnnual report
「Our group recorded operating losses and negative cash flow from operating activities for 2 consecutive fiscal years through the previous consolidated fiscal year, and recognizes that events or conditions exist that raise significant doubt regarding the going concern assumption. However, as stated in “2. Business Overview, 3. Analysis of Financial Position, Operating Results and Cash Flows,” we have formulated measures to resolve these events or conditions and achieve an early recovery in performance, and are working to restore profitability. In addition, funding has been secured on a stable basis, and we therefore judge that no material uncertainty exists regarding the going concern assumption.」
Although the significant events of operating losses and negative operating cash flow for the past 2 consecutive fiscal years continue to be recognized, the company states that it judges no material uncertainty to exist because of its response measures and stable funding. - FY2017WorsenedAnnual report
「In the previous consolidated fiscal year, our group recorded an operating loss of ¥412 million and negative cash flow from operating activities of ¥101 million. In the current consolidated fiscal year, we recorded an operating loss of ¥984 million and negative cash flow from operating activities of ¥768 million.」
Significant events relating to going concern occurred for 2 consecutive fiscal years, with the current fiscal year producing an operating loss of ¥984 million and negative operating cash flow of ¥768 million. - FY2017-Q3RestatedAnnual report
「In the previous consolidated fiscal year, our group recorded an operating loss of ¥412 million and negative cash flow from operating activities of ¥101 million. In the cumulative third quarter of the current consolidated fiscal year, we also recorded an operating loss of ¥96 million, and we expect to record an operating loss and negative cash flow from operating activities for the current consolidated fiscal year as well. In light of these circumstances, we recognize that events or conditions exist that raise significant doubt regarding the going concern assumption.」
The operating losses in the previous fiscal year and the cumulative third quarter of the current fiscal year, together with the expected full-year operating loss and negative operating cash flow, continue to be stated as significant events. - FY2017-Q2First statedAnnual report
「In the previous consolidated fiscal year, our group recorded an operating loss of ¥412 million and negative cash flow from operating activities of ¥101 million. In the cumulative second quarter of the current consolidated fiscal year, we also recorded an operating loss of ¥327 million and negative cash flow from operating activities of ¥347 million, and we expect to record an operating loss and negative cash flow from operating activities for the current consolidated fiscal year as well. In light of these circumstances, we recognize that events or conditions exist that raise significant doubt regarding the going concern assumption.」
Because operating losses and negative cash flow from operating activities occurred in the previous fiscal year and the cumulative second quarter of the current fiscal year, and are expected for the full year as well, the company has explicitly identified for the first time circumstances that raise significant doubt regarding the going concern assumption.