Returns on Systems Investment and Systems Failure Risk
First written in FY2016. 4 of 7 entries say "Restated". Latest entry: FY2026.
Nissan Securities Group moved to the "Worse" side of this theme in 2026, 2 years after the typical company in this theme (2024).
The whole theme swung hardest in 2024: 19 of 45 companies on the "Worse" side.
33 other companies' latest entry also says "Materialised".
- FY2026MaterialisedAnnual report
「As the original intended use had disappeared and no future use was foreseeable, the Group determined that recovery of the investment through future cash flows was impossible. Accordingly, it recognized an impairment loss of ¥135.561 million as an extraordinary loss, treating the asset as an idle, non-operating asset under the Accounting Standard for Impairment of Fixed Assets.」
Nissan Securities recognized an impairment loss of ¥135.561 million on software it had introduced, as its intended use had disappeared and no future cash flows were expected. The risk of failing to achieve the expected benefits from system investments has materialized as an actual loss. - 2026-04-15MaterialisedOccurring Fact
「Because the originally anticipated purpose of use had disappeared and no future use was expected, we determined that recovering the investment through future cash flows was impossible. We therefore recognized an impairment loss in accordance with the accounting standard for impairment of fixed assets, treating the asset as an idle asset not in operation, and expect to record an impairment loss of ¥135 million as an extraordinary loss.」
The risk that the system investment would fail to deliver its expected benefits materialized. The disclosure specifically cites the disappearance of the intended purpose, the inability to recover the investment through future cash flows, and the expected recognition of an impairment loss of ¥135 million. - FY2025RestatedAnnual report
「The Group is making new system investments after considering cost-effectiveness. If the benefits relative to investment costs are less than initially expected, or if a system disruption occurs due to malfunctions, natural disasters or other causes, the impact could affect the Group's performance depending on the scale of the disruption.」
The disclosure continues to identify the risk of disruptions caused by failure to achieve the expected benefits from system investments, malfunctions or natural disasters. - FY2020RestatedAnnual report
「The Group is making new system investments after considering cost-effectiveness. If the benefits relative to investment costs are less than initially expected, or if a system disruption occurs due to malfunctions, natural disasters or other causes, the impact could affect the Group's performance depending on the scale of the disruption.」
The disclosure continues to identify the risk that failure to achieve the expected benefits from system investments and disruptions caused by malfunctions or natural disasters could affect performance. - FY2019RestatedAnnual report
「The Group is making new system investments after considering cost-effectiveness. If the benefits relative to investment costs are less than initially expected, or if a system disruption occurs due to malfunctions, natural disasters or other causes, the impact could affect the Group's performance depending on the scale of the disruption.」
The disclosure continues to identify the risk that failure to achieve the expected benefits from system investments and disruptions caused by malfunctions or natural disasters could affect performance. - FY2018RestatedAnnual report
「The Group is making new system investments after considering cost-effectiveness. If the benefits relative to investment costs are less than initially expected, or if a system disruption occurs due to malfunctions, natural disasters or other causes, the impact could affect the Group's performance depending on the scale of the disruption.」
The disclosure continues to identify the risk of failure to achieve the expected benefits from system investments and disruptions caused by malfunctions or natural disasters. - FY2016First statedAnnual report
「The Group is making new system investments after considering cost-effectiveness. If the benefits relative to investment costs are less than initially expected, or if a system disruption occurs due to malfunctions, natural disasters or other causes, the impact could affect the Group's performance depending on the scale of the disruption.」
The Group identifies failure to achieve the expected benefits from new system investments and disruptions caused by malfunctions or natural disasters as risks.