Risk to the existence and completeness of inventory, including inventory held on consignment
First written in FY2022. 1 of 2 entries say "Mitigated", first in FY2023. Latest entry: FY2023.
No other company in this theme has enough history to compare yet.
- FY2023MitigatedAnnual report
「At company-owned warehouses, we conduct physical inventories semiannually. At warehouses holding inventory on consignment, in addition to reconciling inventory custody certificates with book balances, we conduct physical inventories in accordance with our Inventory Count Standards and work to verify the existence of inventory.」
In response to the risk arising from inventory balances accounting for approximately 20% to 30% of total assets, the company specified semiannual physical inventories at company-owned warehouses, reconciliation of certificates at warehouses holding inventory on consignment, and verification based on its Inventory Count Standards. - FY2022First statedAnnual report
「Inventory balances account for approximately 20% to 30% of our Group's total assets. If a material discrepancy arises between the book balance and physical inventory and is not adjusted, resulting in errors in the recorded inventory balance, this could affect our Group's financial position and operating results.」
While conducting physical inventories at company-owned warehouses and obtaining and reconciling inventory custody certificates from warehouses holding inventory on consignment, the company identified the risk to the existence and completeness of inventory arising from inventory balances accounting for approximately 20% to 30% of total assets.