Application of the revenue recognition standard and change to the cost-recovery method for revenue from contracted game development
First written in FY2022-Q1. 2 of 5 entries say "Advanced", first in FY2022-Q2. Latest entry: FY2023.
0 other companies' latest entry also says "Other".
- FY2023Revenue recognition correction and recognition on a gross basisAnnual report
「As announced on 14 February 2023, we have decided to recognize revenue on a gross basis retroactively from the beginning of the 15th fiscal year and have made the necessary corrections.」
The company disclosed a correction to recognize revenue on a gross basis retroactively from the beginning of the 15th fiscal year. In the current IT staffing business, revenue is recognized on a gross basis as principal. - FY2022RestatedAnnual report
「Accordingly, for revenue from contracted game development in the game business, although revenue was previously recognized under the acceptance-inspection method, the method has been changed to estimate progress toward satisfying the performance obligation and recognize revenue based on that progress over a specified period.」
Following application of the Accounting Standard for Revenue Recognition, the company continues to recognize revenue from contracted game development over a specified period based on progress. The increase in net sales resulting from application in the current fiscal year was ¥544.209 million. - FY2022-Q3AdvancedAnnual report
「During the third quarter of the current consolidated fiscal year, one of the new titles under development for which revenue had been recognized under the cost-recovery method became subject to reasonably estimable progress toward satisfying the performance obligation. Revenue is therefore being recognized based on the progress achieved.」
The company also states that, in the third quarter of the current fiscal year, revenue recognition for 1 new title under development that had been recognized under the cost-recovery method changed to recognition based on progress. - FY2022-Q2AdvancedAnnual report
「During the second quarter of the current consolidated fiscal year, one of the new titles under development for which revenue had been recognized under the cost-recovery method became subject to reasonably estimable progress toward satisfying the performance obligation. Revenue is therefore being recognized based on the progress achieved.」
For 1 new title under contracted game development, progress reached a stage where it could be reasonably estimated, and revenue recognition changed from the cost-recovery method to recognition based on progress. - FY2022-Q1First statedAnnual report
「We have applied the Accounting Standard for Revenue Recognition and related 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 goods or services concerned when control of the promised goods or services transfers to the customer. Accordingly, for revenue from contracted game development, although revenue was previously recognized under the acceptance-inspection method, we recognize revenue under the cost-recovery method because the progress toward satisfying the performance obligation cannot be reasonably estimated, while recovery of the costs incurred is expected.」
The Accounting Standard for Revenue Recognition and related standards were applied from the beginning of the current quarter. For revenue from contracted game development in the game business, the revenue recognition method was changed from the acceptance-inspection method to the cost-recovery method. The application increased both net sales and cost of sales by ¥289.719 million, with no impact on operating income or other profit measures.