Profit pressure from new parking lot development and repairs to aging equipment
First written in FY2020-Q2. 2 of 3 entries say "Worsened", first in FY2020-Q3. Latest entry: FY2020.
Ichinen Holdings moved to the "Worse" side of this theme in 2019.
1 other company's latest entry also says "Worsened".
- FY2020WorsenedAnnual report
「Initial costs related to the development of new parking facilities and repair costs for aging equipment increased. Profit also declined due to the impact of the October 2019 consumption tax increase and sluggish parking facility utilization resulting from requests to refrain from going out amid the spread of COVID-19. As a result, revenue was ¥5,725 million, up 1.3% from the previous fiscal year, while segment profit was ¥724 million, down 16.7%.」
In addition to higher development and repair costs, the consumption tax increase and sluggish utilization resulting from COVID-19 contributed to the decline in profit, which reached 16.7% year on year versus 10.6% in the previous year. - FY2020-Q3WorsenedAnnual report
「In terms of earnings, development of new parking facilities progressed steadily and initiatives to improve earnings at existing parking facilities continued, but initial costs related to the development of new parking facilities and repair costs for aging equipment increased. Earnings also decreased due to the impact of the consumption tax increase. As a result, revenue was ¥4,335 million, up 2.2% year on year, and segment profit was ¥598 million, down 10.6% year on year.」
In addition to the profit pressure from previously incurred new development costs and repairs to aging equipment, the company disclosed the impact of the consumption tax increase, with the segment profit decline reaching 10.6% year on year. - FY2020-Q2MaterialisedAnnual report
「Initial costs related to the development of new parking facilities and repair costs for aging equipment increased. As a result, revenue was ¥2,888 million, up 2.9% year on year, while segment profit was ¥407 million, down 6.4% year on year.」
Increases in initial costs for new parking facility development and repair costs for aging equipment materialized, and segment profit in the parking business decreased 6.4% year on year.