Use of Both the Percentage-of-Completion Method and the Completed-Contract Method
First written in FY2019. 2 of 6 entries say "Advanced", first in FY2021. Latest entry: FY2026.
The whole theme swung hardest in 2018: 1 of 6 companies on the "Worse" side.
2 other companies' latest entry also says "Other".
- FY2026The amount of unsatisfied performance obligations increased from ¥12,067 million to ¥21,511 millionAnnual report
「If the transaction price related to the business's unsatisfied performance obligations (¥21,511 million) at the end of the fiscal year is allocated by period, all performance obligations are expected to be satisfied within 3 years, and approximately 50% are expected to be fully satisfied within 1 year.」
Unsatisfied performance obligations increased from ¥12,067 million at the end of the previous fiscal year to ¥21,511 million. All are expected to be satisfied within 3 years and approximately 50% within 1 year, with the period composition unchanged. - FY2023The amount of unsatisfied performance obligations increased, and the expected satisfaction period shortened to within 2 yearsAnnual report
「If the transaction price related to the business's unsatisfied performance obligations (¥15,187 million) at the end of the fiscal year is allocated by period, all performance obligations are expected to be satisfied within 2 years, and approximately 40% are expected to be fully satisfied within 1 year.」
Unsatisfied performance obligations following application of the revenue recognition standards totaled ¥15,187 million, up from ¥11,887 million in the previous fiscal year. All are expected to be satisfied within 2 years and approximately 40% within 1 year. - FY2022AdvancedAnnual report
「The primary business segment of the Company and its subsidiaries with contracts under which revenue is recognized over an extended period is the construction business. If the transaction price related to its unsatisfied performance obligations (¥11,887 million) is allocated by period, all performance obligations are expected to be satisfied within 3 years, and approximately 60% are expected to be fully satisfied within 1 year.」
For long-term contracts following application of the revenue recognition standards, unsatisfied performance obligations of ¥11,887 million are disclosed, with all expected to be satisfied within 3 years and approximately 60% within 1 year. - FY2022-Q1ReframedAnnual report
「For certain projects that were previously accounted for using the completed-contract method or for which revenue was recognized upon expiration of a maintenance contract, where it is clear during the construction or maintenance period that the customer receives benefits or that goods or services are transferred, the method of recognizing revenue has been changed to recognition over a specified period as performance obligations are satisfied.」
Following the application of the revenue recognition standards, some revenue previously recognized under the completed-contract method or upon expiration of maintenance contracts is now recognized over a specified period as performance obligations are satisfied. - FY2021AdvancedAnnual report
「No material impact on the consolidated financial statements is expected from the application of the Accounting Standard for Revenue Recognition and other related standards.」
The disclosure states that no material impact on the consolidated financial statements is expected from the revenue recognition standards scheduled to be applied from the beginning of the fiscal year ending March 2022. - FY2019First statedAnnual report
「For construction projects for which the certainty of the outcome of work completed by the end of the fiscal year is recognized, the percentage-of-completion method is applied, with the progress of construction estimated using the cost-to-cost method. The completed-contract method is applied to other construction projects. Revenue from completed construction accounted for under the percentage-of-completion method was ¥11,142 million.」
The percentage-of-completion method and the completed-contract method are applied depending on the certainty of the outcome of the construction work, with revenue from completed construction under the percentage-of-completion method reported at ¥11,142 million.