Risk of accelerated lump-sum amortisation of software held for sale
First written in FY2018. 2 of 3 entries say "Restated". Latest entry: FY2020.
No other company in this theme has enough history to compare yet.
- FY2020RestatedAnnual report
「The company calculates amortization of software for sale based on expected sales revenue so that it is amortized within 3 years. However, if it makes major version upgrades earlier than planned to keep pace with rapidly advancing technology or to maintain and improve customer satisfaction and reliability, the unamortized balance related to the old version may be amortized in full at that time.」
While amortizing software for sale within 3 years, the company continues to describe the risk of one-time amortization of an old version following an early major version upgrade. - FY2019RestatedAnnual report
「The company calculates amortization of software for sale based on expected sales revenue so that it is amortized within 3 years. However, if it makes major version upgrades earlier than planned to keep pace with rapidly advancing technology or to maintain and improve customer satisfaction and reliability, the unamortized balance related to the old version may be amortized in full at that time.」
While amortizing software for sale within 3 years, the company continues to describe the risk of one-time amortization of an old version following an early major version upgrade. - FY2018First statedAnnual report
「Going forward, if the company makes major version upgrades earlier than planned to keep pace with rapidly advancing technology or to maintain and improve customer satisfaction and reliability, the unamortized balance related to the old version may be amortized in full at that time.」
The company amortizes software for sale over an expected sales period of no more than 3 years, but newly describes as a risk the possibility that the unamortized balance of an old version may be amortized in full following a major version upgrade earlier than planned.