Uncertainty in Revenue and Cost Estimates Under the Percentage-of-Completion Method
First written in FY2021. 6 of 7 entries say "Restated". Latest entry: FY2025.
The whole theme swung hardest in 2024: 9 of 64 companies on the "Worse" side.
39 other companies' latest entry also says "Restated".
- FY2025RestatedAnnual report
「We reasonably estimate total revenue, total costs and the stage of completion at the end of the current consolidated fiscal year. If these estimates change due to the occurrence of unforeseen costs or other factors, this may affect our performance.」
The potential impact on performance of changes in estimates of the stage of completion of performance obligations, total revenue and total costs continues to be disclosed. - FY2024RestatedAnnual report
「Revenue from performance obligations satisfied over a period of time as of the end of the current consolidated fiscal year: ¥160.268 million」
Revenue from contracts under which performance obligations are satisfied over a period of time was ¥160.268 million. The potential impact on performance of changes in estimates of total revenue, total costs and the stage of completion continues to be disclosed. - FY2023RestatedAnnual report
「We reasonably estimate total revenue, total costs and the stage of completion at the end of the current consolidated fiscal year. If these estimates change due to the occurrence of unforeseen costs or other factors, this may affect our performance.」
The potential impact on performance of changes in estimates of the stage of completion of performance obligations, total revenue and total costs continues to be disclosed. - FY2023-Q3RestatedAnnual report
「When the progress toward satisfying a performance obligation cannot be reasonably estimated but the costs incurred are expected to be recovered, revenue is recognized using the cost-recovery method.」
The explanation of estimating progress for revenue recognition and the cost-recovery method continues to be provided. - FY2023-Q2RestatedAnnual report
「We primarily provide consulting services for embedded software development and recognize revenue based on the progress toward satisfying performance obligations under contracts with customers. Progress toward satisfying performance obligations is measured based on the ratio of costs incurred by the end of each reporting period to total estimated costs.」
The revenue recognition method of measuring progress toward satisfying performance obligations based on the ratio of costs incurred to expected costs continues to be applied. It is disclosed that there have been no material changes in accounting estimates or the underlying assumptions. - FY2022RestatedAnnual report
「For consulting services related to our embedded software development, we recognize revenue based on the progress toward satisfying performance obligations under contracts with customers. Progress toward satisfying performance obligations is measured based on the proportion of costs incurred by the end of each reporting period to total expected costs.」
The potential impact on performance of changes in estimates of total revenue, total costs and the stage of completion continues to be disclosed. Revenue from performance obligations satisfied over a period of time during the current fiscal year was ¥110.524 million. - FY2021First statedAnnual report
「When applying the percentage-of-completion method, we reasonably estimate total revenue, total costs and the stage of completion at the end of the fiscal year. If these estimates change due to the occurrence of unforeseen costs or other factors, this may affect our performance.」
For contracts to which the percentage-of-completion method applies, the potential impact on performance of changes in estimates of total revenue, total costs and the stage of completion is disclosed as a new critical accounting estimate risk.