Changes to the Delivery Schedule for Large-Scale Projects Due to Changes and Additions to Customer Specifications
First written in FY2016-Q3. 7 of 14 entries say "Materialised", first in FY2019-Q3. Latest entry: FY2024.
Tose moved to the "Worse" side of this theme in 2019, 6 years before the typical company in this theme (2025).
The whole theme swung hardest in 2025: 2 of 6 companies on the "Worse" side.
2 other companies' latest entry also says "Materialised".
- FY2024MaterialisedAnnual report
「A project in which we were working with the customer to improve the quality of the game near the end of development experienced a sharp increase in work and an extension of the development period due to a substantial increase in development requirements.」
While working with the customer to improve quality, development requirements increased substantially, and the amount of work and development period actually expanded. - FY2024-Q3MitigatedAnnual report
「In the project reported in the second-quarter report, where work increased sharply and the development period was extended because development requirements increased substantially while we were working with the customer to improve the quality of the game near the end of development, negotiations with the customer resulted in an agreement to recover part of the additional work through future revenue sharing.」
For the project where increased development requirements expanded the amount of work and the development period, negotiations with the customer resulted in an agreement to recover part of the additional work through future revenue sharing. - FY2024-Q2MaterialisedAnnual report
「Meanwhile, in a project nearing the end of development, work increased sharply and the development period was extended because development requirements increased substantially while we were working with the customer to improve the quality of the game. As the consideration for the additional work is still being negotiated with the customer, substantial costs were recognised, while no increase in revenue occurred during the 6-month period ended 30 September of the current fiscal year.」
In a project nearing completion where the company was working with the customer to improve quality, development requirements increased substantially, resulting in a sharp increase in work, an extension of the development period and substantial cost recognition. Consideration for the additional work is still under negotiation, and no increase in revenue has yet occurred. - FY2023RestatedAnnual report
「The development period for the game content that is our core business exceeds 3 years in some cases.」
The company continues to explain that development of game content may take more than 3 years in some cases. - FY2022WorsenedAnnual report
「The development period for the game content that is our core business exceeds 3 years in some cases.」
The explanation of development periods for game content has changed from “as long as 3 years” to “some exceed 3 years,” indicating a wider range of potential prolongation. - FY2021MaterialisedAnnual report
「As stated above, sales related to game software amounted to ¥3,195 million, up 73.2% from the previous consolidated fiscal year, due to the completion of a major home video game software project compatible with a new game console and requests from customers for additional specifications to enhance entertainment value in multiple major home video game software projects.」
Customers requested additional specifications for multiple major home video game software projects, affecting the amount of work and the recognition of sales. - FY2021-Q1MaterialisedAnnual report
「As stated in (1) above, sales related to game software amounted to ¥74 million, down 54.6% year on year, as a result of changes to the development schedule for a major home video game software project requested by the customer.」
A change to the development schedule for a major home video game software project requested by the customer actually occurred, and sales related to game software declined 54.6% year on year. - FY2020RestatedAnnual report
「However, if customers request changes to content delivery schedules or specifications, or if a customer contract is terminated for some reason, the timing and amount of recognised sales will change. Depending on the outcome, this may significantly affect the Group's results.」
The company continues to describe the risk that changes to delivery schedules or specifications by customers, or contract termination, may cause the timing and amount of recognised sales to fluctuate. - FY2020-Q3MaterialisedAnnual report
「Additional work requested by the customer arose in a pachinko project, and as a result of the increase in development sales, revenue amounted to ¥158 million, up 43.7% year on year.」
Additional specifications and work requested by the customer newly arose, affecting the volume of development work and sales. - FY2019MaterialisedAnnual report
「Development sales increased due in part to an increase in the amount of work required following additional specifications requested by the customer for a major home video game software project, as well as the smooth completion of other development projects,」
Additional specifications and increased work at the customer's request occurred in the full-year results. - FY2019-Q3MaterialisedAnnual report
「As a result, net sales for the 9-month period ended 31 December of the current fiscal year amounted to ¥2,615 million, down 9.6% year on year. This was due in part to an increase in the amount of work required following additional specifications requested by the customer for a major home video game software project in the Digital Entertainment business, which changed the development completion timing to the fourth quarter.」
The increase in work associated with additional customer specifications actually moved the development completion timing for a major home video game software project to the fourth quarter, contributing to the decline in net sales. - FY2017RestatedAnnual report
「The development period for the game content that is our core business ranges from 6 months to as long as 3 years. Because development takes a long time, the actual development period may differ from the period forecast at the planning stage. When entering into contracts for commissioned development, the Group responds by avoiding large, comprehensive contracts extending over a long period and dividing them into multiple individual contracts to minimise the impact. However, if circumstances not anticipated at the planning stage, such as additional specifications or changes to delivery schedules, arise, the resulting impact may significantly affect the Group's results.」
The company continues to describe the risks of prolonged development, additional specifications and changes to delivery schedules, and its response of dividing contracts into individual agreements. - FY2016RestatedAnnual report
「The development period for the game content that is our core business ranges from 6 months to as long as 3 years. Because development takes a long time, the actual development period may differ from the period forecast at the planning stage.」
For contract development, it explains the risk that prolonged development, additional specifications and changes to delivery schedules may affect earnings, together with the specific range of development periods. - FY2016-Q3First statedAnnual report
「In the game software development business, the delivery date for a large project for a home console was changed to the fourth quarter or later because the customer changed and added specifications,」
Customer specification changes and additions resulted in the delivery date for a large home-console project being moved to the fourth quarter or later.