Extension of the expected loss period for the allowance for doubtful accounts for companies receiving management support, etc.
First written in FY2025-H1. 1 of 2 entries say "Advanced", first in FY2025. Latest entry: FY2025.
0 other companies' latest entry also says "Advanced".
- FY2025AdvancedAnnual report
「As a result of this change in estimate, the allowance for loan losses for the current consolidated fiscal year increased by ¥3,144 million, while ordinary income and net income before income taxes for the year decreased by the same amount.」
The estimate change extending the expected loss period for allowances on loans to management support recipients and others from 1 year to 3 years was also applied to the full-year financial statements, increasing the allowance by ¥3.144 billion. - FY2025-H1First statedAnnual report
「For loans to watch-list borrowers, allowance for loan losses was previously recognised based on expected losses over the following 1 year. For some loans to management support recipients and others, however, we have changed to a method of recognising the expected losses over the following 3 years, based on analysis of recent loss incidence and future projections, in order to address the impact of future changes in the economic environment on credit risk. As a result of this change in estimate, the allowance for loan losses for the current interim consolidated accounting period increased by ¥3,017 million, while ordinary income and interim net income before income taxes for the period decreased by the same amount.」
For some management support recipients and others, the expected loss period for the allowance for loan losses was changed from 1 year to 3 years, increasing the allowance by ¥3.017 billion.