Higher sales promotion expenses and operating loss associated with the new promotion
First written in FY2019-Q1. 1 of 2 entries say "Materialised", first in FY2019-Q1. Latest entry: FY2019-Q2.
Hasegawa moved to the "Worse" side of this theme in 2018, 4 years before the typical company in this theme (2022).
The whole theme swung hardest in 2021: 5 of 16 companies on the "Worse" side.
0 other companies' latest entry also says "Softened".
- FY2019-Q2SoftenedAnnual report
「Although net sales increased, operating income was ¥430 million, down 10.0% year on year, ordinary income was ¥409 million, down 11.4%, and quarterly net income was ¥327 million, down 11.5%, as sales promotion expenses and other costs increased due to the rollout of the new promotion, "祈りの老舗 はせがわ," among other factors.」
Although the increase in sales promotion expenses and other costs associated with the new promotion and the decline in earnings continued, operating income for the cumulative second quarter turned positive, compared with an operating loss in the first quarter of the previous year. - FY2019-Q1MaterialisedAnnual report
「Although gross profit increased as revenue grew, sales promotion expenses increased as a result of the aggressive rollout of the new promotion, “祈りの老舗 はせがわ” (Hasegawa, a long-established provider of prayer and memorial services). Consequently, operating loss was ¥247 million, compared with an operating loss of ¥235 million in the same period of the previous year; ordinary loss was ¥262 million, compared with an ordinary loss of ¥227 million; and net loss for the quarter was ¥128 million, compared with a net loss for the quarter of ¥172 million.」
The increase in sales promotion expenses associated with the aggressive rollout of the new promotion has materialized as a factor contributing to operating and ordinary losses.