Correction of FALTEC Group’s Inappropriate Accounting Treatment in Prior Years
First written in FY2018-Q3. 2 of 3 entries say "Materialised", first in FY2018-Q3. Latest entry: FY2019.
The whole theme swung hardest in 2021: 2 of 7 companies on the "Worse" side.
1 other company's latest entry also says "Mitigated".
- FY2019MitigatedAnnual report
「Special losses totaled ¥952 million, down ¥467 million from the previous fiscal year (△32.9%), mainly because the previous fiscal year included the one-time impact of special investigation expenses related to improper accounting at FALTEC Co.,Ltd.」
Special investigation expenses related to improper accounting were treated as a one-time factor in the previous fiscal year, and no special investigation expenses were recorded in the current fiscal year. - FY2018MaterialisedAnnual report
「It was discovered that there were concerns regarding the valuation of inventories consisting of long-outstanding stock and the recognition of sales at a Chinese subsidiary of FALTEC Co., Ltd., a subsidiary of the Company. Accordingly, a special investigation committee consisting of external experts was established to conduct an investigation.」
A special investigation committee was established regarding improper prior-period accounting, and special investigation expenses of ¥593 million were recorded. - FY2018-Q3MaterialisedAnnual report
「The Group as a whole increased, owing to the effects of increased production at the TPR Group excluding the FALTEC Group and continued cost reduction efforts, among other factors.」
At the FALTEC Group, corrections to improper accounting in prior fiscal years and other factors affected earnings, resulting in a segment loss of ¥713 million. The segment had recorded a profit of ¥611 million in the same period of the previous year.