Weak earnings at 新宮発電所 and impairment risk for fixed assets
First written in FY2025. 2 of 3 entries say "Restated". Latest entry: FY2026.
The whole theme swung hardest in 2020: 51 of 96 companies on the "Worse" side.
- FY2026RestatedAnnual report
「Because 株式会社エフオン新宮 had recorded negative income from operating activities for 2 consecutive periods, we compared the undiscounted future cash flows calculated on the basis of its business plan with the carrying amount of its fixed assets. However, because the undiscounted future cash flows exceeded the carrying amount, no impairment loss was recognized.」
It states that an impairment assessment was conducted for the Shingu Power Plant’s poor earnings and impairment risk on the basis of negative profit from operating activities for 2 consecutive periods, but no impairment loss was recognized for the current period either. - 2026-08-29RestatedGeneral Meetings of Shareholders
「Because 株式会社エフオン新宮 had recorded negative income from operating activities for 2 consecutive periods, we compared the undiscounted future cash flows calculated on the basis of its business plan with the carrying amount of its fixed assets. However, because the undiscounted future cash flows exceeded the carrying amount, no impairment loss was recognized.」
The disclosure continues to state that the Shingu Power Plant had negative operating income for 2 consecutive periods and that no impairment loss was recognized. It also states that an impairment loss may be recognized in the following fiscal year or later if assumptions such as the electricity sales price or transmission volume change. - FY2025First statedAnnual report
「Consolidated subsidiary EF-ON Shingu, which operates a power generation business, recorded negative profit from operating activities for 2 consecutive periods. We therefore compared the undiscounted future cash flows calculated based on its business plan with the carrying amount of its property, plant and equipment. Because the undiscounted future cash flows exceeded the carrying amount, no impairment loss was recognized.」
EF-ON Shingu recorded negative operating profit for 2 consecutive periods, prompting an impairment-indicator assessment. No impairment loss was recognized this time, but the Company states that changes in assumptions such as electricity selling prices and transmitted volume could result in an impairment loss in subsequent fiscal years.