Dependence on commissions received from telecommunications operators and sales agency agreements
First written in FY2016. 3 of 7 entries say "Restated". Latest entry: FY2024-Q1.
NJ Holdings moved to the "Worse" side of this theme in 2021, the same year as the typical company in this theme.
2 other companies' latest entry also says "Worsened".
- FY2024-Q1WorsenedAnnual report
「As online procedures under the one-stop MNP system make switching more convenient and faster, opportunities to acquire users in stores are declining. ARPU has stopped falling, but companies are exploring expanded revenue-generating services that increase the value of stores.」
The one-stop MNP system has newly made explicit the structural decline in opportunities to acquire users in stores. While ARPU has stopped falling, expanded services to increase store value are considered necessary. - FY2023-Q1WorsenedAnnual report
「In addition, commissions received have been declining as online-only plans expand, while initiatives such as online customer service are being pursued to improve the efficiency of store operations.」
The company states that commissions received from telecommunications carriers and others have been trending downward as online-only plans expand. Improving store operating efficiency is being pursued as a response. - FY2022RestatedAnnual report
「Sales agency agreements are automatically renewed each year as long as both the primary distributor and the Company's subsidiary agree to continue the agreements. However, the agreements stipulate that a primary distributor may terminate its sales agency agreement with the Company's subsidiary if a specified event occurs, such as the suspension of the subsidiary's business, or if there is a material change in the subsidiary's shareholder composition or management entity.」
The company continues to disclose its dependence on telecommunications carriers' commission terms and on the annual automatic renewal of primary distributor agreements and the grounds for their termination. - FY2021WorsenedAnnual report
「Sales agency agreements are automatically renewed each year as long as both the primary distributor and the Company's subsidiary agree to continue the agreements. However, the agreements stipulate that a primary distributor may terminate its sales agency agreement with the Company's subsidiary if a specified event occurs, such as the suspension of the subsidiary's business, or if there is a material change in the subsidiary's shareholder composition or management entity.」
In addition to dependence on the terms of commissions received from telecommunications carriers, the company explicitly identifies dependence on the automatic renewal of sales agency agreements, grounds for termination and continued contract renewal, making the scope of the risk more specific. - FY2020RestatedAnnual report
「The terms governing commissions received differ among mobile telecommunications carriers. If changes in the business policies of mobile telecommunications carriers or other factors result in changes to transaction terms, the Group's business results and other matters may be affected.」
The company continues to disclose the risk that policy changes by telecommunications carriers may cause fluctuations in the terms governing commissions received. - FY2018RestatedAnnual report
「The terms governing commissions received differ among mobile telecommunications carriers. If changes in the business policies of mobile telecommunications carriers or other factors result in changes to transaction terms, the Group's business results and other matters may be affected.」
The company continues to disclose the risk that policy changes by telecommunications carriers may cause fluctuations in the terms governing commissions received. - FY2016First statedAnnual report
「If changes in the business policies of mobile telecommunications carriers or other factors result in changes to transaction terms, the Group's business results and other matters may be affected.」
The company describes the structure under which policy changes by telecommunications carriers or primary distributors, termination of agreements and changes in transaction terms may affect business results.