Recognition of provisions for future losses on cost-overrun projects
First written in FY2019-Q1. 4 of 7 entries say "Mitigated", first in FY2020-Q1. Latest entry: FY2020.
The whole theme swung hardest in 2025: 5 of 16 companies on the "Worse" side.
6 other companies' latest entry also says "Mitigated".
- FY2020MitigatedAnnual report
「Segment profit and loss improved due to higher revenue, progress in cost-reduction initiatives and a decrease in unprofitable projects recorded in the previous consolidated fiscal year.」
The impact of unprofitable projects incurred in the previous fiscal year declined, while cost-reduction initiatives and other measures contributed, resulting in Information Systems segment profit of ¥113 million. - FY2020-Q3MitigatedAnnual report
「In the Information Systems segment, although domestic procurement by the Ministry of Defense remained sluggish, revenue increased as display- and audio-related equipment performed steadily. Segment profit and loss improved due to higher revenue, a decrease in unprofitable projects recorded in the same period of the previous year, and progress in cost-reduction initiatives. Revenue for the segment was ¥8,231 million, up 8.7% year on year. Segment profit and loss improved by ¥318 million from the same quarter of the previous year, resulting in a loss of ¥192 million.」
The decrease in unprofitable projects from the same period of the previous year, together with higher revenue and cost-reduction initiatives, improved the Information Systems segment loss by ¥318 million. However, the segment still posted a loss of ¥192 million. - FY2020-Q2MitigatedAnnual report
「Although information systems were affected by weak domestic procurement by the Ministry of Defense, revenue increased as display- and audio-related equipment remained firm. Segment profit and loss improved due to higher revenue, lower costs and a decline in unprofitable projects compared with the previous year.」
The decrease in unprofitable projects from the same period of the previous year, together with higher revenue and lower costs, improved Information Systems segment profit and loss by ¥334 million. The loss impact of unprofitable projects has declined. - FY2020-Q1MitigatedAnnual report
「In the Information Systems segment, although domestic procurement by the Ministry of Defense remained sluggish, revenue increased as orders grew and display- and audio-related equipment performed steadily. Segment profit and loss improved due to higher revenue, lower costs and a decrease in the unprofitable projects recorded in the previous fiscal year.」
The decrease in unprofitable projects from the previous fiscal year, together with lower costs and higher revenue, improved Information Systems segment profit and loss by ¥340 million. The loss impact of unprofitable projects declined during the quarter. - FY2019-Q3MaterialisedAnnual report
「Regarding profit and loss, although the company worked to reduce various expenses, the operating loss worsened by ¥67 million from the same quarter of the previous year to ¥738 million, and the ordinary loss worsened by ¥91 million to ¥791 million, due to the decline in revenue and cost deterioration caused by certain unprofitable projects.」
The continuing deterioration in costs from certain unprofitable projects resulted in an operating loss of ¥738 million and an ordinary loss of ¥791 million. - FY2019-Q2MaterialisedAnnual report
「Regarding profit and loss, despite efforts to reduce various expenses, the decline in revenue and cost deterioration on some unprofitable projects resulted in an operating loss of ¥597 million, ¥97 million worse than in the same quarter of the previous year, and an ordinary loss of ¥626 million, ¥98 million worse than in the same quarter of the previous year.」
The deterioration in costs from certain unprofitable projects materialized as a continuing source of losses, worsening the operating loss and ordinary loss by ¥97 million and ¥98 million, respectively, from the same period of the previous year. - FY2019-Q1First statedAnnual report
「In addition to the decrease in net sales, provisions were recognised for estimated future losses on projects with deteriorating costs.」
A provision was recognised for estimated future losses on projects with deteriorating costs, which can be identified for the first time as a separate theme contributing to the deterioration of the operating loss and ordinary loss in the first quarter.