Risks related to the ramp-up of overseas operations, human resources, foreign exchange and local systems, among other factors
First written in FY2022. 6 of 7 entries say "Materialised", first in FY2022. Latest entry: FY2026-H1.
The whole theme swung hardest in 2025: 72 of 118 companies on the "Worse" side.
- FY2026-H1MaterialisedAnnual report
「Extraordinary losses were ¥4,224 thousand, down 49.1% year on year. The main item was ¥3,909 thousand in business-structure improvement expenses associated with rationalizing consolidated subsidiary COACH A Co., Ltd. (Shanghai) to respond to changes in the market environment in China.」
Rationalization of the Shanghai subsidiary continued in response to changes in the Chinese market environment, resulting in ¥3,909 thousand of business-structure improvement expenses during the interim consolidated accounting period. - FY2025MaterialisedAnnual report
「The main item was ¥25,668 thousand in business-structure improvement expenses associated with rationalizing consolidated subsidiary COACH A Co., Ltd. (Shanghai) to respond to changes in the market environment in China.」
The Shanghai subsidiary was rationalized in response to changes in the Chinese market environment, resulting in ¥25,668 thousand of business-structure improvement expenses. - FY2025-H1MaterialisedAnnual report
「The main item was ¥7,093 thousand in business-structure improvement expenses associated with rationalizing consolidated subsidiary COACH A Co., Ltd. (Shanghai) to respond to changes in the market environment in China.」
The Shanghai subsidiary was rationalized in response to changes in the Chinese market environment, resulting in ¥7,093 thousand of business-structure improvement expenses. - FY2024-H1RestatedAnnual report
「No new business or other risks arose during the interim consolidated accounting period. There were also no material changes to the business and other risks described in the annual securities report for the previous fiscal year.」
The Group stated that there were no new occurrences or material changes concerning risks involving overseas locations, personnel, foreign exchange or local systems. - FY2023MaterialisedAnnual report
「Impairment loss on goodwill related to COACH U, INC.: ¥163,502 thousand」
The Group recorded an impairment loss on goodwill related to COACH U, INC., setting its recoverable amount at zero after considering future earnings prospects and recoverability. The overseas ramp-up risk materialized as an actual loss. - FY2023-Q1MaterialisedAnnual report
「Because liquidation was completed during the first quarter of the consolidated accounting period, COACH A (Hong Kong) Co., Ltd. was removed from the scope of consolidation.」
COACH A (Hong Kong) Co., Ltd. was liquidated and removed from consolidation, and a ¥9,937 thousand loss on liquidation of an affiliated company was recorded. - FY2022MaterialisedAnnual report
「In the past, our overseas locations failed to ramp up as planned and became over-indebted before being closed, mainly because we were unable to build strong relationships with the leaders of local companies or with the leaders of Japanese companies that were their parent companies.」
The Group describes past over-indebtedness and closure of overseas locations and identifies personnel, foreign exchange, political and economic conditions, business practices and regulations as risks associated with future overseas expansion.