Risk of unrecoverable business investments and losses upon exit
First written in FY2021. 1 of 2 entries say "Mitigated", first in FY2023. Latest entry: FY2023.
The whole theme swung hardest in 2019: 10 of 27 companies on the "Worse" side.
10 other companies' latest entry also says "Mitigated".
- FY2023MitigatedAnnual report
「To address these risks, when making business investments, we report investment profitability, risks and other matters to the Board of Directors from the planning stage, enabling sufficient and careful decision-making based on an accurate understanding of the facts. We are also establishing an environment that enables a prompt response through regular progress reports.」
The company explicitly described management measures for business investment risk, including advance reporting to the Board of Directors and regular progress reports. - FY2021First statedAnnual report
「We believe it is difficult to completely avoid the risk that invested funds cannot be recovered, that a business may fail to progress as planned, or that additional losses may arise from withdrawing from the business.」
The company explicitly identified unrecoverable investments, failure to meet plans and additional losses upon withdrawal as risks associated with business investments, including the acquisition of shares and equity interests, capital expenditures and the establishment of new companies.