Dependence on government contracts and seasonality driven by fiscal year-end concentration
First written in FY2016-Q3. 14 of 18 entries say "Restated". Latest entry: FY2024-Q2.
Wesco Holdings moved to the "Worse" side of this theme in 2022, 2 years before the typical company in this theme (2024).
The whole theme swung hardest in 2018: 4 of 31 companies on the "Worse" side.
34 other companies' latest entry also says "Restated".
- FY2024-Q2RestatedAnnual report
「Against a backdrop of regulations on overtime work and the need to ensure the proper quality of deliverables, cases in which contract periods are extended have increased in order to secure appropriate project periods. In addition to the resulting delay in completion and delivery, the increase in large-scale, long-term projects such as PFI projects has tended to slightly extend the period required to collect cash.」
In addition to the seasonal structure involving concentration of government projects at the fiscal year-end, it continues to show a structure in which delivery and cash collection are delayed by labor regulations, quality requirements and large-scale, long-term projects such as PFI projects. - FY2023RestatedAnnual report
「Following the adoption of the accounting standard for revenue recognition and related standards from the beginning of the ninth fiscal year, the Group changed to a method of recognizing revenue over a specified period according to the progress of work. As revenue recognition has therefore been smoothed, the seasonal trend in revenue from the ninth fiscal year onward has weakened.」
The application of the revenue recognition standard continues to result in weaker seasonality in the construction consulting business. Meanwhile, the aquarium business retains seasonality, with higher revenue in the first and fourth quarters. - FY2023-Q2ReframedAnnual report
「In the comprehensive construction consulting business, consideration is billed upon completion of delivery of the deliverables. However, contract periods tend to be set longer than in previous years to secure appropriate project periods against a backdrop of regulations on overtime work and the need to ensure the proper quality of deliverables. In addition to the resulting delay in completion and delivery, the increase in large-scale, long-term projects such as PFI projects is also a factor.」
In addition to the traditional seasonality caused by concentration at the fiscal year-end, it indicates that tighter labor regulations and quality requirements have lengthened project periods, delivery has been delayed, and large-scale, long-term projects such as PFI projects have increased, changing the timing of billing and collections. - FY2022ReframedAnnual report
「In the current consolidated fiscal year, the application of the change in accounting policy, including the adoption of the accounting standard for revenue recognition, has resulted in revenue being recognized over a specified period according to the progress of work. As revenue recognition has therefore been smoothed, the seasonal trend has weakened compared with the previous consolidated fiscal year.」
It states that the seasonal fluctuations caused by the former concentration of comprehensive construction consulting revenue at the fiscal year-end have weakened with the adoption of the revenue recognition standard. Meanwhile, the aquarium business retains seasonality, with higher revenue in the first and fourth quarters. - FY2022-Q1ReframedAnnual report
「For the current consolidated fiscal year, the change in accounting policy, including the adoption of the accounting standard for revenue recognition, means that revenue is recognized over a specified period according to the progress of work, and seasonal fluctuations are therefore expected to be reduced. In the aquarium operations business, the Group opened the atoa aquarium in Shinkocho, Chuo-ku, Kobe, on 29 October 2021. As visitor numbers are expected to be high during Golden Week and the summer vacation period, revenue for the current consolidated fiscal year is expected to show seasonal fluctuations, with higher revenue in the fourth quarter.」
The concentration of revenue from the third quarter onward in the former comprehensive construction consulting business is expected to ease with the adoption of the revenue recognition standard. In the aquarium operations business, the opening of atoa has newly resulted in an indication of seasonality, with higher revenue in the fourth quarter. - FY2021RestatedAnnual report
「The Group's main comprehensive construction consulting business has the national and local governments as its principal customers, and project periods under its order contracts tend to be concentrated in March, the fiscal year-end of its customers.」
It continues to show the seasonal structure in which revenue is biased toward the second half due to orders from the national and local governments and the concentration of project periods in March. - FY2020-Q2RestatedAnnual report
「The Group's main comprehensive construction consulting business derives most of its orders from government agencies, and project deadlines are concentrated in March, the fiscal year-end for government agencies. Accordingly, the Group's revenue tends to be concentrated from the third quarter onward. In the aquarium operations business, visitor numbers are high during the spring and autumn holiday seasons and the summer vacation period, resulting in seasonal fluctuations, with higher revenue in the first and fourth quarters.」
It continues to describe the concentration of government project deadlines in March and revenue from the third quarter onward, as well as the concentration of aquarium revenue in the first and fourth quarters due to the holiday seasons. - FY2020-Q1RestatedAnnual report
「The Group's main comprehensive construction consulting business derives most of its orders from government agencies, and project deadlines are concentrated in March, the fiscal year-end for government agencies. Accordingly, the Group's revenue tends to be concentrated from the third quarter onward. In the aquarium operations business, the Group manages and operates the Kobe City Suma Seaside Aquarium. Because visitor numbers are high during the spring and autumn holiday seasons and the summer vacation period, revenue shows seasonal fluctuations, with higher revenue in the first and fourth quarters.」
It continues to explain the concentration of government projects at the fiscal year-end and the seasonal fluctuations in revenue from aquarium operations caused by the holiday seasons. - FY2019-Q3RestatedAnnual report
「The Group's main comprehensive construction consulting business derives most of its orders from government agencies, and project deadlines are concentrated in March, the fiscal year-end for government agencies. Accordingly, the Group's revenue tends to be concentrated from the third quarter onward. In the aquarium operations business, the Group manages and operates the Kobe City Suma Seaside Aquarium. Because visitor numbers are high during the spring and autumn holiday seasons and the summer vacation period, revenue also shows seasonal fluctuations, with higher revenue in the first and fourth quarters.」
It continues to explain the concentration of government projects at the fiscal year-end and the seasonal fluctuations in aquarium revenue caused by the holiday seasons. - FY2018RestatedAnnual report
「Approximately 90% of total orders in the Group's main comprehensive construction consulting business come from the national and local governments.」
It continues to explain the dependence on orders from government agencies and local governments and the seasonal fluctuations caused by project deadlines and revenue being concentrated at the fiscal year-end. - FY2018-Q3RestatedAnnual report
「The Group's main comprehensive construction consulting business derives most of its orders from government agencies, and project deadlines tend to be concentrated in March, the fiscal year-end for government agencies. Accordingly, the Group's revenue tends to be concentrated from the third quarter onward. In the designated-management business, the Group manages and operates the Kobe City Suma Seaside Aquarium. Because visitor numbers are high during the spring and autumn holiday seasons and the summer vacation period, revenue is subject to seasonal fluctuations, with higher revenue in the first and fourth quarters.」
It continues to explain the concentration of government orders at the fiscal year-end and the seasonal fluctuations caused by the aquarium's holiday seasons. - FY2018-Q2RestatedAnnual report
「The Group's main comprehensive construction consulting business derives most of its orders from government agencies, and project deadlines are concentrated in March, the fiscal year-end for government agencies. Accordingly, the Group's revenue tends to be concentrated from the third quarter onward. In the designated-management business, the Group manages and operates the Kobe City Suma Seaside Aquarium. Because visitor numbers are high during the spring and autumn holiday seasons, Golden Week and the summer vacation period, revenue also shows seasonal fluctuations, with higher revenue in the first and fourth quarters.」
It continues to explain the concentration of government orders at the fiscal year-end and the seasonal fluctuations caused by the aquarium's holiday seasons. - FY2017RestatedAnnual report
「Approximately 90% of total orders in the Group's main comprehensive construction consulting business come from the national and local governments.」
It continues to explain the dependence on orders from government agencies and local governments and the seasonal fluctuations caused by project deadlines and revenue being concentrated at the fiscal year-end. - FY2017-Q3RestatedAnnual report
「The Group's main comprehensive construction consulting business derives most of its orders from government agencies, and project deadlines tend to be concentrated in March, the fiscal year-end for government agencies. Accordingly, the Group's revenue tends to be concentrated from the third quarter onward. In the designated-management business, the Group manages and operates the Kobe City Suma Seaside Aquarium. Because visitor numbers are high during the spring and autumn holiday seasons and the summer vacation period, revenue is subject to seasonal fluctuations, with higher revenue in the first and fourth quarters.」
It continues to explain the concentration of government orders at the fiscal year-end and the seasonal fluctuations caused by the aquarium's holiday seasons. - FY2017-Q2RestatedAnnual report
「The Group's main comprehensive construction consulting business derives most of its orders from government agencies, and project deadlines are concentrated in March, the fiscal year-end for government agencies. Accordingly, the Group's revenue tends to be concentrated from the third quarter onward. In the designated-management business, the Group manages and operates the Kobe City Suma Seaside Aquarium. Because visitor numbers are high during the spring and autumn holiday seasons, Golden Week and the summer vacation period, revenue also shows seasonal fluctuations, with higher revenue in the first and fourth quarters.」
It continues to explain the concentration of government orders at the fiscal year-end and the seasonal fluctuations caused by the aquarium's holiday seasons. - FY2017-Q1RestatedAnnual report
「The Group's main comprehensive construction consulting business derives most of its orders from government agencies, and project deadlines tend to be concentrated in March, the fiscal year-end for government agencies. Accordingly, the Group's revenue shows seasonal fluctuations, with a bias toward the third quarter onward. In the designated-management business, the Group manages and operates the Kobe City Suma Seaside Aquarium. Because visitor numbers are high during the spring and autumn holiday seasons, Golden Week and the summer vacation period, revenue also shows seasonal fluctuations, with higher revenue in the first and fourth quarters.」
In addition to the concentration of government orders at the fiscal year-end, it continues to explain the seasonal fluctuations caused by the aquarium's holiday seasons. - FY2016RestatedAnnual report
「Approximately 90% of total orders in the Group's main comprehensive construction consulting business come from the national and local governments.」
It quantifies the Group's dependence on national and local governments at approximately 90% of total orders and continues to describe the structure in which project completion and revenue are concentrated in March, the fiscal year-end. - FY2016-Q3First statedAnnual report
「The comprehensive construction consulting business, which is the main business of the Group, derives most of its orders from government agencies, and project deadlines tend to be concentrated in March, the fiscal year-end for government agencies. As a result, the Group's revenue also shows seasonal fluctuations, with a bias toward the third quarter onward.」
It shows a business structure in which most orders come from government agencies, with project deadlines and revenue concentrated in March and from the third quarter onward.