Inadequate internal controls amid rapid business expansion and new services
First written in FY2024. 1 of 2 entries say "Restated". Latest entry: FY2026.
- FY2026RestatedAnnual report
「We recognize the need to ensure the appropriateness of operations, the reliability of financial reporting and thorough compliance with laws and regulations based on sound ethical principles. We are working to strengthen our control structure by increasing control personnel in line with the size and environment of the organization, and through the automation and streamlining of operations and training in various areas.」
The company reiterates the risk of inadequate internal controls associated with business expansion and new services, and outlines responses involving control personnel, automation and streamlining of operations, and training. - FY2024First statedAnnual report
「We are rapidly expanding our business and releasing new services one after another. If we are unable to respond to changes resulting from rapid business expansion and new services and cannot establish organizational and internal control structures appropriate to the scale of the business, this could affect our business operations, operating results and financial position.」
The company indicates the risk that the development of organizational and internal control structures may fail to keep pace with business expansion and the increase in new services.