Uncertainty in estimates of product warranty and contract loss provisions
First written in FY2021. 8 of 20 entries say "Mitigated", first in FY2022-Q2. Latest entry: 2026-11-09.
The whole theme swung hardest in 2023: 2 of 8 companies on the "Worse" side.
6 other companies' latest entry also says "Mitigated".
- FY2026WorsenedAnnual report
「Provision for expected contract losses 243,400 260,300」
The provision for expected contract losses increased from ¥243.4 million at the end of the previous fiscal year to ¥260.3 million, indicating that expected losses on orders and estimation uncertainty have expanded. - 2026-05-15WorsenedResults
「Provision for expected contract losses 243,400 260,300」
The balance of the provision for order losses increased from ¥243.400 million at the end of the previous fiscal year to ¥260.300 million. - FY2026-H1MitigatedAnnual report
「Provision for expected contract losses 243,400 227,800」
The provision for expected contract losses decreased from ¥243.4 million at the end of the previous fiscal year to ¥227.8 million at the end of the current interim accounting period. Although expected contract losses remain, the balance has declined. - FY2025WorsenedAnnual report
「Provision for expected contract losses 161,800 243,400」
The provision for expected contract losses increased from ¥161.8 million at the end of the previous fiscal year to ¥243.4 million, and the filing also describes an unexpectedly large provision recognized for all projects involving 2-stroke electronically controlled engines. - FY2025-H1WorsenedAnnual report
「For 2-stroke electronically controlled engines, the company expects costs to rise substantially beyond its assumptions due to higher prices for imported materials, particularly electronic components, as a result of foreign exchange effects. This has led to the recognition of a substantial provision for expected contract losses covering all projects, including shipments scheduled for the following fiscal year and beyond. Provision for expected contract losses 161,800 228,400」
A substantial provision for expected contract losses was recognized for all projects involving 2-stroke electronically controlled engines, increasing the balance from ¥161.8 million to ¥228.4 million. Expected losses on contracts due to higher prices for imported materials have expanded. - FY2024Concurrent decline in the product warranty provision and increase in the contract loss provisionAnnual report
「Contract loss provision 74,600 161,800」
While the provision for product warranties decreased from ¥39.3 million at the end of the previous fiscal year to ¥6.658 million, the provision for expected contract losses increased from ¥74.6 million to ¥161.8 million, indicating that the amount recognized for contract losses involving estimation uncertainty has expanded. - FY2024-Q3MitigatedAnnual report
「Product warranty provision 39,300 17,000 Contract loss provision 74,600 53,200」
From the end of the previous fiscal year, the product warranty provision declined from ¥39.300 million to ¥17.000 million, and the contract loss provision from ¥74.600 million to ¥53.200 million. - FY2024-Q2Increase in the product warranty provision and decline in the contract loss provisionAnnual report
「Product warranty provision 39,300 50,000 Contract loss provision 74,600 63,200」
From the end of the previous fiscal year, the product warranty provision increased from ¥39.300 million to ¥50.000 million, while the contract loss provision declined from ¥74.600 million to ¥63.200 million. - FY2024-Q1WorsenedAnnual report
「Product warranty provision 39,300 49,900 Contract loss provision 74,600 117,400」
From the end of the previous fiscal year, the product warranty provision increased from ¥39.300 million to ¥49.900 million, and the contract loss provision from ¥74.600 million to ¥117.400 million. - FY2023WorsenedAnnual report
「(¥ thousands) Previous fiscal year Current fiscal year Contract loss provision 43,500 74,600」
The contract loss provision increased from ¥43.500 million at the end of the previous fiscal year to ¥74.600 million, expanding anticipated losses subject to estimation uncertainty. - FY2023-Q3MitigatedAnnual report
「Product warranty provision 48,200 39,600 Contract loss provision 43,500 49,900」
From the end of the previous fiscal year, the product warranty provision changed from ¥48.200 million to ¥39.600 million, and the contract loss provision from ¥43.500 million to ¥49.900 million. The product warranty provision declined, while the contract loss provision has declined from the end of the second quarter. - FY2023-Q2Decline in the product warranty provision and increase in the contract loss provisionAnnual report
「Product warranty provision 48,200 40,800 Contract loss provision 43,500 80,600」
From the end of the previous fiscal year, the product warranty provision declined from ¥48.200 million to ¥40.800 million, while the contract loss provision increased from ¥43.500 million to ¥80.600 million. - FY2023-Q1MitigatedAnnual report
「Product warranty provision 48,200 41,400 Contract loss provision 43,500 9,300」
The product warranty provision declined from ¥48.200 million at the end of the previous fiscal year to ¥41.400 million, and the contract loss provision from ¥43.500 million to ¥9.300 million. - FY2022MitigatedAnnual report
「Product warranty provision 52,998 48,200 Contract loss provision 88,800 43,500」
The product warranty provision declined from ¥52.998 million to ¥48.200 million, and the contract loss provision from ¥88.800 million to ¥43.500 million. Meanwhile, the estimates continue to contain a certain degree of uncertainty. - FY2022-Q2MitigatedAnnual report
「The product warranty provision and contract loss provision described under “Significant Accounting Estimates” in the annual securities report for the previous fiscal year also had no material impact.」
The product warranty provision declined from ¥52.998 million at the end of the previous fiscal year to ¥46.000 million, and the contract loss provision from ¥88.800 million to ¥44.600 million, with no material impact on the accounting estimates. - FY2022-Q1Decline in provision balances with no material impactAnnual report
「The product warranty provision and contract loss provision described under “Significant Accounting Estimates” in the annual securities report for the previous fiscal year also had no material impact.」
The product warranty provision declined from ¥52.998 million to ¥48.298 million, and the contract loss provision from ¥88.800 million to ¥56.400 million, with no material impact on the accounting estimates. - FY2021First statedAnnual report
「The estimates for the product warranty provision and the contract loss provision contain a certain degree of uncertainty.」
The company has for the first time identified as a separate theme the risk that estimates for the product warranty provision of ¥52.998 million and the contract loss provision of ¥88.800 million may fluctuate due to future defects, individual specifications, schedule delays and other factors.