Risks Associated with Changes to the Points Program, Unused Balances, and Fluctuations in Usage and Utilization Rates
First written in FY2020. 6 of 8 entries say "Restated". Latest entry: FY2025.
1 other company's latest entry also says "Restated".
- FY2025RestatedAnnual report
「The company identifies the points as performance obligations, calculates their standalone selling price while taking into account expected future expirations and other factors, allocates the transaction price, and recognizes revenue when the points are used.」
The company continues to identify points as performance obligations and recognize revenue when they are used. - FY2024RestatedAnnual report
「The Group has introduced a points program and deducts from revenue the amount expected to be used for points in the future.」
Even after adopting the revenue recognition accounting standard, the company continues to deduct the amount expected to be used for points in the future from revenue. - FY2023RestatedAnnual report
「The Group has introduced a points program and deducts from revenue the amount expected to be used for points in the future.」
Even after adopting the revenue recognition accounting standard, the company continues to deduct the amount expected to be used for points in the future from revenue. - FY2022-Q3RestatedAnnual report
「As a result, although the Group has introduced a points program and previously recorded an allowance as an expense for the amount expected to be used in the future, it has changed to a method under which points that provide customers with a material right are identified as performance obligations and recognition of the related revenue is deferred.」
Even after adopting the revenue recognition accounting standard, the company continues to identify points that constitute material rights as performance obligations and defer the related revenue. - FY2022-Q2RestatedAnnual report
「As a result, although the Group has introduced a points program and previously recorded an allowance as an expense for the amount expected to be used in the future, it has changed to a method under which points that provide customers with a material right are identified as performance obligations and recognition of the related revenue is deferred.」
Even after adopting the revenue recognition accounting standard, the company continues to identify points that provide a material right as performance obligations and defer the related revenue. - FY2022-Q1ReframedAnnual report
「As a result, although the Group has introduced a points program and previously recorded an allowance as an expense for the amount expected to be used in the future, it has changed to a method under which points that provide customers with a material right are identified as performance obligations and recognition of the related revenue is deferred.」
With the adoption of the revenue recognition accounting standard, the company changed its treatment of points from recording an allowance to deferring revenue by identifying them as performance obligations. - FY2021RestatedAnnual report
「The Group has introduced a points program. To provide for expenses arising from the future use of points, it records an allowance for points based on the unused points balance at the end of each period. However, changes to the points program, as well as fluctuations in the unused points balance, usage rate and other factors, may affect the Group's results of operations.」
The company continues to identify as risks the possibility that changes to the points program, unused points balances and usage rates may affect results of operations. - FY2020First statedAnnual report
「The Group has introduced a points program. To provide for expenses arising from the future use of points, it records an allowance for points based on the unused points balance at the end of each period. However, changes to the points program, as well as fluctuations in the unused points balance, usage rate and other factors, may affect the Group's results of operations.」
For the first time, the company has explicitly identified the possibility that changes in the points program, unused points balances and usage rates may affect results of operations as a business risk.