Additional Investment in New Services and the Risk of Delayed Monetization
First written in FY2024. 1 of 3 entries say "Materialised", first in FY2025. Latest entry: FY2026.
The whole theme swung hardest in 2025: 6 of 14 companies on the "Worse" side.
19 other companies' latest entry also says "Restated".
- FY2026RestatedAnnual report
「The Group plans to continue developing new services to expand the scale of its business and build new sources of revenue. Additional investment in securing personnel and developing products may be required and could worsen earnings. It is also expected to take a certain amount of time and investment before new services begin generating stable revenue, which may reduce the overall profit margin.」
The company continues to disclose risks related to additional investment in new services, the time required to achieve monetization, and lower profit margins. - FY2025MaterialisedAnnual report
「This resulted from the decline in profitability after the business plan formulated for the new cloud-related business repeatedly fell short of its targets and the future business plan was revised downward.」
Regarding the risks of delayed monetization and failure to meet plans for new services, the company stated that the cloud-related new business had actually fallen short of its plan, the plan had been revised downward, and profitability had declined, ultimately resulting in the recognition of an impairment loss. - FY2024First statedAnnual report
「Additional investment in securing personnel and developing products may be required and could worsen earnings. It is also expected to take a certain amount of time and investment before new services begin generating stable revenue, which may reduce the overall profit margin.」
The company newly identified additional investment in personnel and products, the time required to achieve monetization, and lower profit margins resulting from insufficient recovery of investment as risks related to new services.