Risk of Recovering Upfront Investments in New Services and Businesses
First written in FY2016. 3 of 4 entries say "Restated". Latest entry: FY2022.
The whole theme swung hardest in 2025: 4 of 15 companies on the "Worse" side.
13 other companies' latest entry also says "Restated".
- FY2022RestatedAnnual report
「Because investments in system development, advertising and sales promotion, and other areas are made upfront, profit margins may decline during periods of upfront investment. In addition, if business expansion and growth do not proceed as expected despite these upfront investments, the investments may ultimately not be recovered,」
The risk of lower profit margins due to upfront investments in system development and advertising and sales promotion, and the risk that investments may not be recovered if growth targets are not achieved have been reconfirmed. - FY2020RestatedAnnual report
「Because investments in system development, advertising and sales promotion, and other areas are made upfront, profit margins may decline during periods of upfront investment. In addition, if business expansion and growth do not proceed as expected despite these upfront investments, the investments may ultimately not be recovered,」
The risk of lower profit margins due to upfront investments in system development, advertising and sales promotion, and the risk that investments may not be recovered if plans are not achieved have been reconfirmed. - FY2017RestatedAnnual report
「If the expansion and growth of new businesses in the new fields we have entered do not proceed as initially planned, we may be unable to recover our investment, which could affect the business and performance of our group.」
The risk that upfront investments in new services and businesses may not be recovered continues to be disclosed. - FY2016First statedAnnual report
「This could result in additional expenditures for upfront system investments, advertising and promotion expenses, and other items, potentially lowering profit margins. In addition, if the expansion and growth of new businesses in the new areas entered do not proceed as initially planned, the investments may not be recovered, affecting the Group's business and performance.」
The company identifies increased system investments and advertising and promotion expenses for new services and businesses, as well as the risk of failing to recover investments due to failure to meet plans.