Sluggish consulting orders due to the sharp contraction of the ICO market
First written in FY2019. 2 of 4 entries say "Materialised", first in FY2020-Q1. Latest entry: FY2020-Q3.
1 other company's latest entry also says "Mitigated".
- FY2020-Q3MitigatedAnnual report
「Specifically, blockchain-related business was excluded from the scope of our group’s medium-term management strategy.」
The ongoing exposure to the blockchain-related business was reduced by excluding it from the medium-term strategy and ultimately withdrawing from the business, after sluggish orders had materialized amid the weak ICO market. - FY2020-Q2MaterialisedAnnual report
「In the blockchain-related business, although the ICO consulting business received no new inquiries due to the sluggish ICO market, the company began custody operations in April 2019 and expanded the scope of its business. As a result, revenue was ¥116 million, an increase of ¥116 million year on year, and the operating loss was ¥14 million, an increase of ¥9 million year on year.」
The absence of new inquiries continued in the first quarter, following the previous quarter, amid sluggish consulting orders caused by weak ICO market conditions. The blockchain-related business recorded revenue of ¥116 million but an operating loss of ¥14 million. - FY2020-Q1MaterialisedAnnual report
「Meanwhile, as stated above, ICO consulting revenue was ¥50 million and the business recorded an operating loss of ¥37 million due to the recognition of an allowance for doubtful accounts and the absence of new inquiries.」
The absence of new inquiries, reflecting sluggish consulting orders amid the contraction of the ICO market, continued into the current first quarter, and the business recorded an operating loss of ¥37 million. - FY2019First statedAnnual report
「In the first quarter of 2019 (January to March), funds raised through ICOs worldwide amounted to approximately $120 million, falling to less than one-sixtieth of the $6.9 billion recorded in the same period of 2018 (approximately ¥757 billion).」
As funds raised in the ICO market contracted significantly, the company received 2 consulting orders during the current consolidated fiscal year, of which 1 was terminated midway through the contract. The deterioration in market conditions has materialized as sluggish orders.