Risk of Quality Deficiencies and Project Losses
First written in FY2016. 12 of 33 entries say "Worsened", first in FY2020-Q1. Latest entry: 2026-08-13.
Quest moved to the "Worse" side of this theme in 2020, 2 years before the typical company in this theme (2022).
The whole theme swung hardest in 2017: 9 of 33 companies on the "Worse" side.
15 other companies' latest entry also says "Materialised".
- 2026-08-13MaterialisedEarnings
「Provision for project losses — 3」
The provision for project losses was recorded again, increasing from zero at the end of the previous consolidated fiscal year to ¥3 million at the end of the first quarter. - FY2025MitigatedAnnual report
「Project loss provision 2,466 ―」
The project loss provision fell from ¥2,466 thousand at the end of the previous consolidated fiscal year to zero at the end of the consolidated fiscal year, indicating lower provision exposure. However, the risk of unprofitable projects continues to be disclosed in the risk section. - FY2025-H1MitigatedAnnual report
「Project loss provision 2,466 1,054」
The project loss provision decreased from ¥2,466 thousand at the end of the previous consolidated fiscal year to ¥1,054 thousand at the end of the interim consolidated accounting period, indicating lower provision exposure. - FY2024WorsenedAnnual report
「Project loss provision 1,404 2,466」
The project loss provision increased from ¥1,404 thousand at the end of the previous consolidated fiscal year to ¥2,466 thousand at the end of the consolidated fiscal year, indicating increased provision exposure to loss risk. Measures involving order acceptance decisions, progress monitoring and the quality control department are also described. - FY2024-Q3MitigatedAnnual report
「Project loss provision 1,404 567」
The project loss provision decreased from ¥1,404 thousand at the end of the previous consolidated fiscal year to ¥567 thousand at the end of the third quarter, indicating lower provision exposure to loss risk. - FY2024-Q2MitigatedAnnual report
「Project loss provision 1,404 925」
The project loss provision decreased from ¥1,404 thousand at the end of the previous consolidated fiscal year to ¥925 thousand at the end of the second quarter consolidated accounting period, indicating lower provision exposure to project loss risk. - FY2024-Q1MitigatedAnnual report
「Project loss provision 1,404 1,305」
The project loss provision decreased from ¥1,404 thousand at the end of the previous consolidated fiscal year to ¥1,305 thousand at the end of the first quarter, indicating lower provision exposure. - FY2023-Q3WorsenedAnnual report
「Project loss provision 59 325」
The project loss provision increased from ¥59 thousand at the end of the previous consolidated fiscal year to ¥325 thousand at the end of the third quarter, indicating increased provision exposure. - FY2023-Q2WorsenedAnnual report
「Project loss provision 59 64」
The project loss provision increased from ¥59 thousand at the end of the previous consolidated fiscal year to ¥64 thousand at the end of the second quarter consolidated accounting period, indicating increased provision exposure to loss risk. It does not state that a new project loss occurred. - FY2023-Q1WorsenedAnnual report
「Project loss provision 59 160」
The project loss provision increased from ¥59 thousand at the end of the previous consolidated fiscal year to ¥160 thousand at the end of the first quarter, indicating increased provision exposure to loss risk. - FY2022MitigatedAnnual report
「Project loss provision 59」
The project loss provision decreased from ¥1,269 thousand at the end of the previous quarter to ¥59 thousand at the end of the consolidated fiscal year, indicating lower provision exposure to project loss risk. - FY2022-Q3WorsenedAnnual report
「Project loss provision 575 1,269」
The project loss provision increased from ¥575 thousand at the end of the previous fiscal year to ¥1,269 thousand at the end of the third quarter accounting period, indicating increased provision exposure to loss risk. It does not state that a new project loss occurred. - FY2022-Q2WorsenedAnnual report
「Project loss provision 575 2,366」
The project loss provision increased from ¥575 thousand at the end of the previous fiscal year to ¥2,366 thousand at the end of the second quarter accounting period, indicating increased provision exposure to loss risk. It does not state that a new project loss occurred. - FY2022-Q1RestatedAnnual report
「Project loss provision 575」
The project loss provision was ¥575 thousand at the end of the first quarter and had not changed from the end of the previous fiscal year. The existence of quality deficiencies and project loss risk continues to be disclosed. - FY2021-Q3WorsenedAnnual report
「Project loss provision 240 1,904」
The project loss provision increased from ¥240 thousand at the end of the previous fiscal year to ¥1,904 thousand at the end of the third quarter accounting period, indicating increased provision exposure to loss risk. It does not state that a new project loss occurred. - FY2021-Q2WorsenedAnnual report
「Project loss provision 240 704」
The project loss provision increased from ¥240 thousand at the end of the previous fiscal year to ¥704 thousand at the end of the second quarter accounting period, indicating increased provision exposure. It does not state that a new project loss occurred. - FY2021-Q1WorsenedAnnual report
「Project loss provision 240 432」
The project loss provision increased from ¥240 thousand at the end of the previous fiscal year to ¥432 thousand at the end of the first quarter accounting period, indicating increased provision exposure. It does not state that a new project loss occurred. - FY2020MitigatedAnnual report
「In terms of profit, operating profit increased 19.9% year on year to ¥736 million and ordinary profit increased 19.5% to ¥768 million, due to the effect of higher revenue, improved profitability resulting from stronger project management, and business improvement activities, among other factors. Sales and operating profit both reached record highs for the second consecutive fiscal year.」
The increase in operating profit and ordinary profit was attributed to improved profitability resulting from stronger project management, while measures addressing project quality and loss risk were cited as factors contributing to improved performance. - FY2020-Q3WorsenedAnnual report
「Project loss provision 150 245」
The project loss provision increased from ¥150 thousand at the end of the previous fiscal year to ¥245 thousand at the end of the third quarter accounting period. It does not state that a new project loss occurred. - FY2020-Q2WorsenedAnnual report
「Project loss provision 150 244」
The project loss provision increased from ¥150 thousand at the end of the previous fiscal year to ¥244 thousand at the end of the second quarter accounting period. It does not state that a new project loss occurred. - FY2020-Q1WorsenedAnnual report
「Project loss provision 150 230」
The project loss provision increased from ¥150 thousand at the end of the previous fiscal year to ¥230 thousand at the end of the first quarter accounting period. It does not state that a new project loss occurred. - FY2019MitigatedAnnual report
「Operating profit increased 702.6% year on year to ¥614 million, due to the effect of higher revenue, improved profitability resulting from stronger project management, and the absence in the current fiscal year of project losses incurred in the previous fiscal year, among other factors.」
The company discloses improved profitability resulting from stronger project management and the absence in the current fiscal year of project losses incurred in the previous fiscal year. - FY2019-Q3MitigatedAnnual report
「because no project losses occurred in the current fiscal year that had occurred in the previous fiscal year, among other factors」
No project losses occurred in the current fiscal year that had occurred in the previous fiscal year, and the project loss provision also decreased from ¥96 million at the end of the previous fiscal year to ¥7 thousand at the end of the third quarter accounting period. It does not state that the risk has been fully eliminated. - FY2019-Q2MitigatedAnnual report
「Project loss provision 96,687 364」
The project loss provision had declined significantly, from ¥96 million at the end of the previous fiscal year to ¥0 million (¥364 thousand) at the end of the second quarter, indicating a reduction in provision exposure to loss risk. However, it does not state that the risk has been fully eliminated. - FY2019-Q1Provision DecreaseAnnual report
「This was mainly due to a ¥95 million decrease in the provision for project losses, among other factors.」
The project loss provision recognized at the end of the previous fiscal year had decreased by ¥95 million by the end of the first quarter accounting period. - FY2018MaterialisedAnnual report
「An unprofitable project arose in a core systems construction project. We responded by strengthening the project structure through additional personnel with the aim of completing the project, but ultimately failed to reach agreement with the customer on QCD (quality and specifications, cost, and delivery schedule), and the project was discontinued.」
The company disclosed that an unprofitable project actually arose, agreement with the customer on QCD was not reached, and the project was discontinued. - FY2018-Q3MaterialisedAnnual report
「In the systems development business, development projects from major customers in the electronics sector, customers in the financial services (insurance) sector, and customers in the public (railway) sector increased, resulting in revenue of ¥3,661 million. Segment profit was ¥240 million, as a projected project loss of ¥260 million was recorded due to an unprofitable project arising in a core systems construction project.」
An unprofitable project actually arose in a core systems construction project, and a projected project loss of ¥260 million was recorded. The risk of quality deficiencies and project losses materialized as a recognized loss. - FY2018-Q2RestatedAnnual report
「During the cumulative second quarter of the current consolidated fiscal year, there were no new business or other risks, nor any material changes to the business or other risks described in the annual securities report for the previous fiscal year.」
The company states that there were no material changes relating to the risk of quality deficiencies and project losses. - FY2018-Q1RestatedAnnual report
「During the cumulative first quarter of the fiscal year, there were no new business or other risks, nor any material changes to the business or other risks described in the securities report for the previous fiscal year.」
The company states that there were no material changes relating to the risk of quality deficiencies and project losses. - FY2017-Q3RestatedAnnual report
「During the nine months ended the third quarter, there was no new business or other risk, nor any material change in the business or other risks described in the annual securities report for the previous fiscal year.」
The company states that there were no material changes relating to the risk of quality deficiencies and project losses. - FY2017-Q2RestatedAnnual report
「During the six-month period ended [the current second quarter], there were no newly arising business or other risks, nor any material changes to the business and other risks described in the Annual Securities Report for the prior fiscal year.」
The company states that there were no material changes relating to the risk of quality deficiencies and project losses. - FY2017-Q1RestatedAnnual report
「There were no newly arising business or other risks during the first quarter of the current fiscal year, and no material changes to the business or other risks described in the securities report for the previous fiscal year.」
The company states that there were no material changes relating to the risk of quality deficiencies and project losses. - FY2016First statedAnnual report
「If a bug occurs in a deliverable due to an issue caused by the company, or if the work differs from the customer’s requirements, higher costs for corrective work could adversely affect our business performance.」
The company identifies as a risk the possibility that bugs in deliverables or deviations from customer requirements could affect performance through higher corrective-work costs.