Limiting SG&A Growth Through a Review of Various Expenses
First written in FY2019-Q3. 15 of 30 entries say "Advanced", first in FY2021-Q2. Latest entry: 2026-10-15.
The whole theme swung hardest in 2026: 10 of 32 companies on the "Worse" side.
3 other companies' latest entry also says "Advanced".
- FY2027-H1AdvancedAnnual report
「On the management side, initiatives to improve profitability have become established. Although depreciation and amortization and other expenses have increased as a result of investments for the future, the cost ratio to revenue decreased by 5.5 percentage points and the SG&A ratio decreased by 1.6 percentage points compared with the first half of the previous fiscal year.」
Initiatives to improve profitability have become established, and the cost ratio and SG&A ratio were reduced even including higher expenses resulting from investments for the future. - 2026-07-10AdvancedEarnings
「On the administrative side, the results of “improving profitability across the Company” have become established. Although depreciation and amortization, labor costs and other expenses have increased as a result of investments for the future, the cost ratio as a percentage of revenue decreased by 6.7 percentage points and the SG&A ratio by 2.2 percentage points compared with the first quarter of the previous fiscal year.」
The Company stated that the results of company-wide profitability improvement had become established and reported lower cost and SG&A ratios. - FY2026AdvancedAnnual report
「The company has achieved better-than-expected results by rigorously managing KPIs company-wide, including improving productivity and controlling costs. Despite higher depreciation and amortization and other expenses from investments for future growth, the cost-of-sales ratio to revenue decreased 2.2 percentage points and the SG&A ratio decreased 0.9 percentage points compared with the previous consolidated fiscal year.」
The company rigorously managed KPIs across the organization and reduced the cost-of-sales ratio by 2.2 percentage points and the SG&A ratio by 0.9 percentage points, despite higher depreciation and amortization from investments for future growth. - FY2026-H1AdvancedAnnual report
「The company has achieved better-than-expected results by rigorously managing KPIs company-wide, including improving productivity and controlling costs. Compared with the first half of the previous fiscal year, cost of sales increased 3.2%, while SG&A decreased 1.2%.」
The company rigorously managed KPIs across the organization, limiting the increase in cost of sales associated with higher revenue and reducing SG&A by 1.2% year on year. - FY2025AdvancedAnnual report
「SG&A amounted to ¥651.610 million, down 0.5% from the previous fiscal year. The increase in personnel expenses, rent and compensation was absorbed through measures such as curbing advertising expenses.」
The increase in personnel expenses, rent and compensation was absorbed through measures such as curbing advertising expenses, limiting the decline in SG&A to 0.5% year on year. - FY2025-H1SG&A declined slightly due to lower advertising expenses and a decrease in the allowance for doubtful accounts.Annual report
「SG&A declined slightly, as the curbing of advertising expenses and a decrease in the provision for doubtful accounts outweighed higher personnel expenses.」
Despite higher personnel expenses, SG&A declined 0.7% year on year due to lower advertising expenses and a decrease in the provision for doubtful accounts. - FY2025-Q1AdvancedAnnual report
「Selling, general and administrative expenses decreased as personnel expenses and other costs declined with the reduction in staff engaged in administrative operations following improvements in operational efficiency.」
Selling, general and administrative expenses decreased 6.2% year on year due to improved operational efficiency and a reduction in staff engaged in administrative operations. - FY2024SG&A Edges Higher Despite Continued Cost ReductionsAnnual report
「Selling, general and administrative expenses were ¥655.007 million, up 2.4% from the previous fiscal year. Travel and transportation expenses and compensation related to outsourcing part of the Company’s internal operations increased.」
While the Company continued to reduce costs across various items, SG&A expenses increased 2.4% year on year due to higher travel and transportation expenses and compensation for outsourced internal operations. - FY2024-Q3SG&A Decline Narrows Despite Continued Cost ReductionsAnnual report
「Selling, general and administrative expenses decreased due to various cost reductions, despite increases in travel and transportation expenses, advertising expenses and compensation related to outsourcing part of the Company’s internal operations.」
Cost reductions across various items offset increases in travel and transportation expenses, advertising expenses and compensation for outsourced internal operations, resulting in a 0.4% year-on-year decrease in selling, general and administrative expenses. - FY2024-Q2AdvancedAnnual report
「Selling, general and administrative expenses decreased due to various cost reductions, despite increases in advertising expenses and compensation related to outsourcing part of the Company’s internal operations.」
Despite factors driving increases, including advertising expenses, cost reductions across various items resulted in a 6.0% year-on-year decrease in selling, general and administrative expenses. - FY2024-Q1Higher Costs from Headcount Growth, Return to In-Person Activities and IT InvestmentAnnual report
「SG&A expenses increased as personnel expenses rose with the increase in headcount and pay raises, while travel and transportation expenses increased as training and meetings shifted from online back to in-person formats.」
In addition to higher personnel expenses from headcount growth and pay raises, travel and transportation expenses increased as training and meetings shifted back to in-person formats, resulting in a 21.0% year-on-year increase in SG&A expenses. - FY2023-Q3SG&A Increase Driven by Earnings RecoveryAnnual report
「SG&A expenses increased mainly because earnings recovery led to higher personnel expenses from pay raises and full bonus payments (Note), as well as increases in advertising expenses, meeting expenses, entertainment expenses, travel and transportation expenses and recruitment expenses.」
SG&A expenses increased due to pay raises and full bonus payments accompanying the earnings recovery, recruitment, advertising expenses, meeting expenses, travel and transportation expenses and other factors. SG&A expenses increased 22.2% year on year. - FY2023-Q2SG&A Increase Driven by Earnings RecoveryAnnual report
「Compared with the first half of the previous fiscal year, cost of sales increased 18.1% and selling, general and administrative expenses increased 22.5%. … SG&A expenses increased mainly because earnings recovery led to higher personnel expenses from pay raises and full bonus payments (Note), as well as increases in advertising expenses, meeting expenses, entertainment expenses, travel and transportation expenses, recruitment expenses and the allowance for doubtful accounts.」
SG&A expenses increased 22.5% year on year due to pay raises and full bonus payments accompanying the earnings recovery, recruitment, advertising expenses, travel and transportation expenses and other factors. - FY2022AdvancedAnnual report
「Rent increased due to server upgrades accompanying the increase in SaaS users, as did compensation related to the design of the restricted stock compensation plan (Note 3), but SG&A expenses declined substantially overall because personnel expenses fell with the reduction in headcount and salaries, taxes and dues decreased following the capital reduction, and advertising expenses, rent and other costs declined.」
SG&A expenses decreased 13.7% from the previous fiscal year to ¥560.278 million. Multiple cost-reduction factors were identified, including lower headcount and salaries, lower taxes and dues following the capital reduction, and declines in advertising expenses and rent. - FY2022-Q3AdvancedAnnual report
「Compared with the cumulative third quarter of the previous fiscal year, cost of sales increased 5.6% and selling, general and administrative expenses decreased 22.3%. Cost of sales rose only modestly relative to revenue because, although some personnel expenses were reclassified as labor costs following the organizational restructuring undertaken with a view to expanding SaaS, part of the summer bonus was also reduced. Rent increased due to server upgrades accompanying the increase in SaaS users, but SG&A expenses declined substantially overall because personnel expenses related to bonus reductions, taxes and dues following the capital reduction, and advertising expenses, rent and other costs decreased.」
SG&A expenses decreased 22.3% year on year due to the organizational restructuring undertaken with a view to expanding SaaS, bonus reductions, lower taxes and dues following the capital reduction, and declines in advertising expenses, rent and other costs. - FY2022-Q2AdvancedAnnual report
「Compared with the first half of the previous fiscal year, cost of sales increased 8.3% and selling, general and administrative expenses decreased 21.4%. Cost of sales rose only modestly relative to revenue because, although some personnel expenses were reclassified as labor costs following the organizational restructuring undertaken with a view to expanding SaaS, bonuses were also reduced. Rent increased due to server upgrades accompanying the increase in SaaS users, but SG&A expenses declined substantially overall because personnel expenses fell following the reduction in bonuses, taxes and dues decreased following the capital reduction, and costs including rent were reduced.」
SG&A expenses decreased 21.4% year on year due to the organizational restructuring, bonus reductions, lower taxes and dues following the capital reduction, and cost reductions including rent. - FY2022-Q1AdvancedAnnual report
「Cost of sales increased 7.0% compared with the first quarter of the previous fiscal year, while selling, general and administrative expenses decreased 19.6%. This was because the organization was restructured with a view to expanding SaaS, resulting in some personnel expenses being reclassified as labor costs. In addition, although rent increased due to server upgrades accompanying the increase in SaaS users, reductions in advertising expenses, rent and other costs were effective, resulting in a substantial overall decrease in SG&A expenses.」
SG&A expenses decreased 19.6% year on year after the organization was restructured with a view to expanding SaaS and the Company proceeded with a review of cost items. - FY2021AdvancedAnnual report
「Selling, general and administrative expenses decreased 8.2% compared with the previous fiscal year, mainly because travel and transportation expenses, advertising expenses, the allowance for doubtful accounts and other expenses declined.」
SG&A expenses decreased 8.2% year on year due to declines in travel and transportation expenses, advertising expenses, the allowance for doubtful accounts and other expenses. - FY2021-Q3SG&A Increase as Operations RecoverAnnual report
「Selling, general and administrative expenses increased 6.1% compared with the second quarter of the previous fiscal year, as travel and transportation expenses rose with the gradual recovery in operations and the allowance for doubtful accounts and other expenses also increased.」
As operations recovered, travel and transportation expenses and the allowance for doubtful accounts increased, resulting in a 6.1% increase in SG&A expenses from the second-quarter accounting period. - FY2021-Q2AdvancedAnnual report
「Selling, general and administrative expenses decreased 18.1% compared with the cumulative first six months of the previous fiscal year, as travel and transportation expenses fell substantially and advertising expenses, the allowance for doubtful accounts and other expenses also declined. Against a backdrop of gradually improving efficiency in business activities through inside sales and online training, the Company is working to further strengthen its earnings structure by pursuing additional cost reductions, including rent.」
SG&A expenses decreased 18.1% year on year, while the Company continued to improve efficiency through inside sales and online training and expanded its cost-reduction efforts to include rent and related expenses. - FY2021-Q1Added Online Sales and TrainingAnnual report
「Selling, general and administrative expenses decreased 17.3% compared with the cumulative first quarter of the previous fiscal year, mainly because travel and transportation expenses fell substantially as travel restrictions remained in place. Going forward, the Company will improve the efficiency of its business activities through inside sales and online training, among other measures, and will work to further strengthen its earnings structure by reducing costs including travel and transportation, rent and advertising expenses.」
In addition to the previous review of expenses and curtailment of activities, the measures were expanded to include improving business efficiency through inside sales and online training and reducing costs including rent and advertising expenses. - FY2020Limiting Expenses Through Operational Efficiency and Reduced ActivitiesAnnual report
「However, advertising and travel and transportation expenses were kept down by promoting operational efficiency and refraining from promotional activities and travel in response to the spread of COVID-19, resulting in a figure below budget.」
The Company explained that, rather than through the previous review of various expenses, it reduced advertising and travel and transportation expenses by improving operational efficiency and refraining from promotional activities and travel. - FY2020-Q4DroppedAnnual report
「In administrative expenses, rent and advertising expenses associated with strengthening the product capabilities of STAR and other products and enhancing system security under the medium-term management plan announced on 9 May 2019 increased. In addition, depreciation and amortization and other expenses increased after the Company changed its accounting treatment following revisions to the accounting treatment for leases under International Financial Reporting Standard 16, “Leases.” As a result, selling, general and administrative expenses increased 14.7% compared with the cumulative first nine months of the previous fiscal year.」
In the current explanation of SG&A expenses, there is no mention of the previously stated “cost reductions through a review of various expenses.” Instead, it explains higher costs from strengthening the product capabilities of STAR and other products, enhancing system security and applying IFRS 16. - FY2020-Q3RestatedAnnual report
「In administrative expenses, rent and advertising expenses associated with strengthening the product capabilities of STAR and other products and enhancing system security under the medium-term management plan announced on 9 May 2019 increased. In addition, legal fees related to the formal procedures for shareholder proposals increased, as did depreciation and amortization and other expenses after the Company changed its accounting treatment following revisions to the accounting treatment for leases under International Financial Reporting Standard 16, “Leases.” As a result, selling, general and administrative expenses increased 21.8% compared with the cumulative first six months of the previous fiscal year.」
Factors driving higher SG&A expenses, including stronger product capabilities for STAR, enhanced system security, responses to shareholder proposals and the application of IFRS 16, continued, resulting in a 21.8% year-on-year increase in SG&A expenses. - FY2020-Q2Shift in Factors Driving SG&A GrowthAnnual report
「In administrative expenses, rent and advertising expenses associated with strengthening the product capabilities of STAR and enhancing system security under the medium-term management plan announced on 9 May 2019 increased. In addition, legal fees related to the formal procedures for shareholder proposals increased, as did depreciation and amortization and other expenses after the Company changed its accounting treatment following revisions to the accounting treatment for leases under International Financial Reporting Standard 16, “Leases.” As a result, selling, general and administrative expenses increased 23.8% compared with the first quarter of the previous fiscal year.」
SG&A expenses increased 23.8% year on year due to higher costs associated with strengthening STAR’s product capabilities, enhancing system security, responding to shareholder proposals and applying IFRS 16. - FY2019RestatedAnnual report
「Although travel and transportation expenses, annual meeting expenses, system security enhancement costs and other expenses increased, cost reductions across various expenses limited the increase in selling, general and administrative expenses to 3.9% compared with the previous fiscal year.」
Despite factors driving expense increases, the Company implemented cost reductions and limited the year-on-year increase in SG&A expenses to 3.9%. - FY2019-Q4RestatedAnnual report
「Although travel and transportation expenses, annual meeting expenses, system security enhancement costs and other expenses increased, cost reductions achieved by reviewing various expenses limited the increase in selling, general and administrative expenses to 2.0% compared with the cumulative first nine months of the previous fiscal year.」
Despite factors driving expense increases, the Company continued to reduce costs by reviewing various expenses and limited the year-on-year increase in selling, general and administrative expenses to 2.0%. - FY2019-Q3First statedAnnual report
「Although travel and transportation expenses, annual meeting expenses, system security enhancement costs and other expenses increased, cost reductions achieved by reviewing various expenses limited the increase in selling, general and administrative expenses to 1.7% compared with the cumulative first six months of the previous fiscal year.」
Despite factors driving increases, including travel and transportation expenses, the Company implemented cost reductions by reviewing various expenses and limited the year-on-year increase in selling, general and administrative expenses to 1.7%.