Customer Credit Risk Associated with Trade Receivables
First written in FY2019. 1 of 4 entries say "Mitigated", first in FY2020. Latest entry: FY2026.
The whole theme swung hardest in 2026: 19 of 67 companies on the "Worse" side.
- FY2026WorsenedAnnual report
「The main factor was an increase in the allowance for doubtful accounts recognized for trade receivables with prolonged collection periods, resulting in an ¥83 million decrease in assets from the end of the previous consolidated fiscal year.」
The allowance for doubtful accounts for trade receivables with prolonged collection periods increased by ¥83 million from the end of the previous fiscal year, and the credit risk on trade receivables was described as having materialized through the increase in the allowance. - FY2024RestatedAnnual report
「The Group’s business is based on make-to-order production, and many of its major customers are large companies and government agencies with sound financial positions. In transactions with overseas companies, the Group generally uses letters of credit, and therefore recognizes credit risk as low.」
The explanation that credit risk on trade receivables is considered low, based on transactions with large companies and government agencies and the use of letters of credit in overseas transactions, remains included. - FY2020MitigatedAnnual report
「The Group’s business is based on make-to-order production, and many of its major customers are large companies and government agencies with sound financial positions. In transactions with overseas companies, the Group generally uses letters of credit, and therefore recognizes credit risk as low.」
An additional explanation was included stating that credit risk on trade receivables is considered low based on customer characteristics and the use of letters of credit in overseas transactions. - FY2019First statedAnnual report
「Trade notes and accounts receivable are exposed to customers’ credit risk. To address this risk, the Group sets credit limits for each customer based on transaction amounts in accordance with its credit management rules and monitors collection status regularly.」
Customer credit risk is recognized for trade notes and accounts receivable, with customer-specific credit limits and regular monitoring of collection status.