Partial Revision to the "Consolidated Financial Results for the Three Months Ended June 30, 2018 (IFRS, Unaudited)" and other results materials
Nov 13, 2018 | Recruit Holdings Co., Ltd.
Recruit Holdings Co., Ltd. hereby announced today that there were partial revisions to the "Consolidated Financial Results for the Three Months Ended June 30, 2018 (IFRS, Unaudited)" announced on August 10, 2018, along with revisions to the numerical data.
1. Released documents
2. Reason of the Revision
Recruit Holdings Co., Ltd. and its consolidated subsidiaries (the "Group") have adopted IFRS 15 "Revenue from Contracts with Customers" (issued in May 2014) and "Clarifications to IFRS 15" (issued in April 2016) (collectively, "IFRS 15") from the three months ended June 30, 2018.
During the closing process for the six months ended September 30, 2018, the Group re-examined the contracts with customers and reassessed the previous identification of a customer based on the IFRS 15 definition. As a result, it was concluded that sales agents for some transactions should be defined as the customer, whereas in prior periods the end-customers of the sales agents were instead defined as the customer.
Accordingly, revenues from certain customers which were originally presented on a gross basis are presented on a net basis. The Group recalculated the consideration for transactions with sales agents under IFRS 15, which resulted in a reduction of revenue and cost of sales of 1,803 million yen respectively.
Details of the Revision are described in the released documents.