Change to the Moving-Average Method for Inventory Valuation
First written in FY2024-Q1. 1 of 2 entries say "Advanced", first in FY2024. Latest entry: FY2024.
1 other company's latest entry also says "Advanced".
- FY2024AdvancedAnnual report
「The Company and its domestic consolidated subsidiaries had primarily used the cost method based on the weighted-average method, while overseas consolidated subsidiaries had used the lower-of-cost-or-market method based on the FIFO method. From the current consolidated fiscal year, the Company changed primarily to the cost method based on the moving average method. This change in valuation method was made to improve the accuracy of periodic profit measurement, prompted by a review of the optimal production bases within the Group and increased volatility in purchase prices.」
From FY2024, the Company changed its inventory valuation method primarily to the moving average method and applied it to the full-year financial statements. The impact was described as immaterial. - FY2024-Q1First statedAnnual report
「The Company and its domestic consolidated subsidiaries had primarily used the cost method based on the weighted-average method, with balance sheet values determined by writing down book values based on declining profitability, while overseas consolidated subsidiaries had used the lower-of-cost-or-market method based on the FIFO method. From the first quarter of the current consolidated fiscal year, the Company changed primarily to the cost method based on the moving average method, with balance sheet values calculated by writing down book values based on declining profitability. This change in valuation method was made to improve the accuracy of periodic profit measurement, prompted by a review of the optimal production bases within the Group and increased volatility in purchase prices.」
From the first quarter of the current consolidated fiscal year, the Company changed the inventory valuation method primarily from the weighted-average and FIFO methods to the moving average method. The change was prompted by a review of the optimal production bases within the Group and increased volatility in purchase prices, and its impact on the financial statements was described as immaterial.