Business / Corporate

Isetan Mitsukoshi fell into red in FY 2017 for first loss in 8 years

Kyodo

Isetan Mitsukoshi Holdings Ltd. said Wednesday it expects to book a group net loss of ¥1 billion ($9.16 million) in fiscal 2017, which ended last month, marking the company’s first red ink in eight years.

The nation’s largest department store operator said in a statement it had revised downward its consolidated financial results outlook for the business year after re-evaluating the fixed assets of two subsidiaries.

The company forecasts it will log an ¥11 billion special loss as it has lowered the estimated value of assets such as facilities held by its department stores and Queen’s Isetan high-end supermarket stores.

Isetan Mitsukoshi had already booked another extraordinary loss of ¥12.5 billion for fiscal 2017 due mainly to payments to employees accepting early retirement and a shop closure in Chiba Prefecture.

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