Collection of Accounts Receivable from Digital Marketing Customers
First written in FY2024-Q2. 2 of 4 entries say "Restated". Latest entry: FY2025-H1.
The whole theme swung hardest in 2026: 19 of 65 companies on the "Worse" side.
- FY2025-H1RestatedAnnual report
「For the Company's digital advertising business and consolidated subsidiaries exposed to similar risks, the Company has established credit-management rules and a credit-management manual separately from the credit-management rules for the existing strategic PR business, taking into account the risks inherent in performance-based and managed advertising transactions. It assesses the creditworthiness of each counterparty using information from external research agencies and sets a transaction limit for each counterparty.」
The Company has reconfirmed its response to collection risks for trade receivables from digital advertising transactions, including dedicated credit rules and manuals, external research, transaction-limit setting and reviews of transaction terms. - FY2025-Q1ReframedAnnual report
「The major customers of the Group's core strategic PR business are major advertising agencies and large corporations. However, some transactions involving performance-based and managed advertising in the digital advertising business are with companies that do not have strong financial foundations. If an unforeseeable event occurs in these transactions, such as a rapid deterioration in a counterparty's financial condition due to changes in economic conditions, the collection of trade receivables may be impaired, potentially affecting the Group's operating results and financial condition.」
The issue was reframed from the previous collection problem involving a particular customer's trade receivables as a credit-management risk involving financially weak counterparties in performance-based and managed advertising transactions. The Company specified measures including setting transaction limits, reviewing terms, securing receivables and deciding when to withdraw. - FY2024RestatedAnnual report
「As stated in the "Notice Regarding the Risk of Non-Collection or Delays in Collection of Receivables" announced on 13 October 2023, the Company recorded an allowance for doubtful accounts against ¥755 million of trade receivables in its PR and advertising business.」
The Company also disclosed for the full fiscal year the event involving the recognition of an allowance for doubtful accounts against ¥755 million of trade receivables from a particular customer in the digital marketing business. - FY2024-Q2MaterialisedAnnual report
「As stated in the "Notice Regarding the Risk of Non-Collection or Delays in Collection of Receivables" announced on 13 October 2023, the Company recorded an allowance for doubtful accounts against ¥755 million of trade receivables in its PR and advertising business.」
An allowance for doubtful accounts was recorded against ¥755 million of trade receivables from a particular customer in the digital marketing business due to the risk of non-collection or delayed collection.