Risk of Decline in the Value of Owned Assets and Impairment
First written in FY2020. 9 of 11 entries say "Materialised", first in FY2021. Latest entry: FY2026.
The whole theme swung hardest in 2020: 51 of 96 companies on the "Worse" side.
- FY2026MaterialisedAnnual report
「During the consolidated fiscal year under review, our group recorded impairment losses of ¥4,754 million on the following assets or asset groups due to declining profitability at power generation facilities and other factors.」
The risk of declining profitability at power generation facilities materialized, and an impairment loss of ¥4,754 million was recognized on power generation facilities in Nobeoka, Miyazaki Prefecture, and elsewhere. This increased from zero impairment losses in the previous fiscal year. - FY2025MitigatedAnnual report
「Current consolidated fiscal year (from 1 April 2024 to 31 March 2025) There are no applicable matters.」
Although impairment losses of ¥508 million were recognized on fixed assets in the previous fiscal year, no impairment loss was recognized during the current fiscal year. The risk itself of declining asset values and profitability continues to be disclosed as a key accounting estimate. - FY2024MaterialisedAnnual report
「During the consolidated fiscal year, the Group recognized impairment losses of ¥508 million on the following assets or asset groups due to declines in the profitability of power generation facilities, rental properties and hotels, among other factors.」
Impairment losses increased from ¥48 million in the previous fiscal year to ¥508 million, with declines in asset values and profitability actually occurring at hotels (¥455 million), rental properties (¥39 million) and power generation facilities (¥13 million). - FY2024-Q3MaterialisedAnnual report
「The Group recognized impairment losses on fixed assets in the Real Estate segment and the hotel operations business in Other. During the cumulative third quarter, the impairment losses amounted to ¥39 million in the Real Estate segment and ¥408 million in the hotel operations business in Other.」
Total impairment losses on fixed assets of ¥448 million were recognized during the cumulative third quarter, comprising ¥408 million in the hotel operations business and ¥39 million in the real estate business. - FY2024-Q2MaterialisedAnnual report
「Extraordinary losses Impairment losses — 408」
An impairment loss of ¥408 million was recognized in the hotel operations business during the cumulative second quarter. The risk of declining profitability and asset values continued to materialize as an accounting loss. - FY2023-Q3MaterialisedAnnual report
「Extraordinary losses Impairment losses — 48」
An impairment loss of ¥48 million was recognized during the cumulative third quarter, so the risk of declining asset values and profitability continued to materialize as an accounting loss. - FY2022MaterialisedAnnual report
「During the consolidated fiscal year, the Group recognized impairment losses of ¥588 million on the following assets or asset groups due to declines in hotel profitability and other factors.」
The risk of declining asset values and profitability materialized again during the fiscal year, and an impairment loss of ¥588 million was recognized on hotel assets. This was down from ¥2,589 million in the previous fiscal year. - FY2021MaterialisedAnnual report
「During the consolidated fiscal year, the Group recognized impairment losses of ¥2,589 million on the following assets or asset groups due to declines in the profitability of rental properties, hotels and idle assets, among other factors.」
The risk of declining asset values and profitability extended beyond hotels to rental properties and idle assets, and impairment losses increased from ¥2,071 million in the previous fiscal year to ¥2,589 million. - FY2020First statedAnnual report
「If the value of the Group's inventories and fixed assets declines due to future deterioration in economic conditions, real estate market conditions or other factors, write-downs of inventories and impairment losses may be recognized, potentially affecting the Group's operating results and financial position. During the consolidated fiscal year, an impairment loss of ¥2,071 million was recognized due to a decline in the profitability of real estate used in the hotel business and other factors.」
The risk of inventory write-downs and impairment losses due to declines in asset values was disclosed as a separate item for the first time, and an impairment loss of ¥2,071 million was actually recognized on real estate used in the hotel business. An inventory valuation loss of ¥911 million was also included in cost of sales.