Use of Both the Percentage-of-Completion Method and the Completed-Contract Method
First written in FY2017. 5 of 7 entries say "Restated". Latest entry: FY2025.
The whole theme swung hardest in 2021: 3 of 19 companies on the "Worse" side.
15 other companies' latest entry also says "Restated".
- FY2025RestatedAnnual report
「Progress toward satisfying performance obligations is measured based on the proportion of construction costs incurred by the end of each reporting period to the total estimated construction costs.」
Following adoption of the revenue recognition accounting standard, the Company continues to recognize revenue over a period of time as performance obligations are satisfied. - FY2023RestatedAnnual report
「Progress toward satisfying performance obligations is measured based on the proportion of construction costs incurred by the end of each reporting period to the total estimated construction costs.」
Following adoption of the revenue recognition accounting standard, the Company continues to recognize revenue over a period of time as performance obligations are satisfied. - FY2022-Q1ReframedAnnual report
「The Group had traditionally applied the percentage-of-completion method to construction contracts when the certainty of results was recognized for the portion of work completed, and the completed-contract method to projects that did not meet this requirement, but from the first quarter of the current consolidated fiscal year it changed to recognizing revenue over a period of time as performance obligations are satisfied.」
The Company changed from using both the percentage-of-completion method and the completed-contract method to recognizing revenue over a period of time as performance obligations are satisfied. - FY2020RestatedAnnual report
「For construction projects for which the certainty of results is recognized for the portion completed by the end of the current consolidated fiscal year, revenue from completed construction contracts is recognized using the percentage-of-completion method, with the progress rate estimated using the cost-to-cost method. The completed-contract method is applied to all other projects.」
The Company continues its revenue recognition policy of using the percentage-of-completion method or the completed-contract method depending on the certainty of results. - FY2019RestatedAnnual report
「For construction projects for which the certainty of results is recognized for the portion completed by the end of the current consolidated fiscal year, revenue from completed construction contracts is recognized using the percentage-of-completion method, with the progress rate estimated using the cost-to-cost method. The completed-contract method is applied to all other projects.」
The Company continues its revenue recognition policy of using the percentage-of-completion method or the completed-contract method depending on the certainty of results. - FY2018RestatedAnnual report
「For construction projects for which the certainty of results is recognized for the portion completed by the end of the current consolidated fiscal year, revenue from completed construction contracts is recognized using the percentage-of-completion method, with the progress rate estimated using the cost-to-cost method. The completed-contract method is applied to all other projects.」
The Company continues its revenue recognition policy of using the percentage-of-completion method or the completed-contract method depending on the certainty of results. - FY2017First statedAnnual report
「For construction projects for which the certainty of results is recognized for the portion completed by the end of the current fiscal year, revenue from completed construction contracts is recognized using the percentage-of-completion method, with the progress rate estimated using the cost-to-cost method. The completed-contract method is applied to all other projects.」
The Company disclosed a revenue recognition policy that uses the percentage-of-completion method or the completed-contract method depending on the certainty of the construction project’s results.