Exit from the Gravel Extraction Business
First written in FY2016. 2 of 3 entries say "Cited as achieved", first in FY2017. Latest entry: FY2019.
9 other companies' latest entry also says "Cited as achieved".
- FY2019Cited as achievedAnnual report
「The distribution business recorded an ¥8,070 million decline in revenue and a ¥450 million decline in profit, mainly because the gravel products sales business was transferred in the previous fiscal year.」
The transfer of the gravel products sales business is cited as a prior-year business restructuring and described as a factor behind the decline in revenue in the distribution business for the current fiscal year. - FY2017Cited as achievedAnnual report
「The loss on withdrawal from business was the loss associated with the withdrawal from the gravel extraction business.」
The withdrawal from the gravel extraction business is also cited in the accounts as a past business withdrawal. - FY2016First statedAnnual report
「Demand for the gravel business in Kanagawa Prefecture continued to decline due to the decrease in building and civil engineering projects and changes in the environment for transporting products, and the business had remained in the red for several years. In addition, the heavy machinery and plant required for production had aged, potentially requiring substantial investment for replacement. The company also considered the fact that contracts and other arrangements required the land to be restored after gravel extraction, meaning that the business would need to continue for more than a decade to complete the work, and repeatedly reviewed the future direction of the business.」
Against the backdrop of declining demand, continued losses and aging equipment, the company withdrew from the business by transferring all shares of Sotetsu Mining.