Adoption of the revenue recognition standard and changes in revenue recognition for construction contracts
First written in FY2022-Q1. 3 of 5 entries say "Restated". Latest entry: FY2024.
13 other companies' latest entry also says "Restated".
- FY2024RestatedAnnual report
「The company determined that the performance obligations are satisfied over time and recognizes revenue based on the progress toward satisfaction of the performance obligations.」
The company continues to apply the Revenue Recognition Standard, recognizing revenue based on progress, applying the cost recovery method and recognizing revenue from short-term maintenance work upon completion. - FY2022AdvancedAnnual report
「As a result, compared with the previous method, completed construction revenue and completed construction costs for the current consolidated fiscal year each increased by ¥1,746 million. There was also no impact on the opening balance of retained earnings.」
The company continued to apply the Revenue Recognition Standard for the full fiscal year. Compared with the previous method, completed construction revenue and completed construction costs each increased by ¥1,746 million. - FY2022-Q3RestatedAnnual report
「As a result, compared with the previous method, completed construction revenue and completed construction costs for the third quarter of the current consolidated cumulative period each increased by ¥5,674 million. There was also no impact on the opening balance of retained earnings.」
The company continued to apply the Revenue Recognition Standard. For the third-quarter cumulative period, completed construction revenue and completed construction costs each increased by ¥5,674 million compared with the previous method, while there was no impact on the opening balance of retained earnings. - FY2022-Q2RestatedAnnual report
「As a result, compared with the previous method, completed construction revenue and completed construction costs for the second quarter of the current consolidated cumulative period each increased by ¥3,058 million. There was also no impact on the opening balance of retained earnings.」
The company continued to apply the Revenue Recognition Standard. For the second-quarter cumulative period, completed construction revenue and completed construction costs each increased by ¥3,058 million compared with the previous method, while there was no impact on the opening balance of retained earnings. - FY2022-Q1First statedAnnual report
「The company adopted the “Accounting Standard for Revenue Recognition” (Accounting Standards Board of Japan Statement No. 29, 31 March 2020; hereinafter, the “Revenue Recognition Standard”) and other applicable standards from the beginning of the first quarter of the current consolidated fiscal year. Revenue is recognized at the amount expected to be received in exchange for the promised goods or services when control of those goods or services is transferred to the customer. Revenue recognition for construction contracts: For construction contracts in the engineering business, the percentage-of-completion method had been applied when the outcome of the construction could be reliably determined based on the progress of the work, while the completed-contract method had been applied to construction that did not meet this requirement. From the current consolidated fiscal year, the cost recovery method is applied to construction for which the progress toward satisfaction of the performance obligation cannot be reasonably estimated. For short-term maintenance work, the cost recovery method is not applied, and revenue is recognized when the performance obligation has been fully satisfied. As a result, compared with the previous method, completed construction revenue and completed construction costs for the first quarter of the current consolidated cumulative period increased by ¥8,350 million and ¥8,358 million, respectively.」
The Revenue Recognition Standard and other applicable standards were adopted from the first quarter beginning on 1 April 2021. For engineering construction, the cost recovery method was adopted, while revenue from short-term maintenance work is recognized when the performance obligation has been fully satisfied. Compared with the previous method, completed construction revenue increased by ¥8,350 million and completed construction costs by ¥8,358 million.