v3.26.1
RELATED PARTY BALANCES AND TRANSACTIONS
 12 Months Ended
Feb. 28, 2026
Related Party Transactions [Abstract]  
RELATED PARTY BALANCES AND TRANSACTIONS

Note 14 — RELATED PARTY BALANCES AND TRANSACTIONS

 

The Company’s relationships with related parties who had transactions with the Company are summarized as follows:

 

Name of entity or individual   Relationship to the Company
Honda Motor Co., Ltd.   Significant shareholder of the Company with an ownership interest exceeding 10%
Toyota Motor Corporation   Significant shareholder of the Company with an ownership interest exceeding 10%
Daihatsu Motor Co., Ltd.   A subsidiary of Toyota Motor Corporation
Toyota Mapmaster Incorporated   A subsidiary of Toyota Motor Corporation
Honda Access Corporation   A subsidiary of Honda Motor Co., Ltd.
Honda Development and Manufacturing of America, LLC.   A subsidiary of Honda Motor Co., Ltd.
Mr. Kenji Narushima   Mr. Kenji Narushima is the Company’s representative director and Chief Executive Officer
Mr. Masahide Shigeno   Mr. Masahide Shigeno is the Company’s representative director and Chief Technology Officer

 

a. Accounts receivable from related parties

 

Accounts receivable from related parties consisted of the following:

 

                           
Name of related party   Nature of transactions   As of
February 28,
2025		     As of
February 28,
2026		     As of
February 28,
2026		  
        JPY     JPY     US$  
        (In thousands)  
Honda Motor Co., Ltd.   Provided contracted software development services to a related party     958,698       660       4  
Toyota Motor Corporation   Provided contracted software development services to a related party     -       16,719       107  
Toyota Mapmaster Incorporated   Provided contracted software development services to a related party     2,993       634       4  
Honda Access Corporation   Provided contracted software development services to a related party     17,685       48,566       311  
Honda Development and Manufacturing of America, LLC.   Provided contracted software development services to a related party     39,981       20,355       131  
    Total     1,019,357       86,934       557  

 

b. Contract assets from related parties

 

Contract assets from related parties consisted of the following:

 

Name of related party   Nature of transactions   As of
February 28,
2025		     As of
February 28,
2026		     As of
February 28,
2026		  
        JPY     JPY     US$  
        (In thousands)  
Honda Motor Co., Ltd.   Provided contracted software development services to a related party     1,046,854       2,377,328       15,234  
Toyota Motor Corporation   Provided contracted software development services to a related party     387,242       365,020       2,339  
Daihatsu Motor Co., Ltd.   Provided contracted software development services to a related party     139,293       304,357       1,950  
Honda Development and Manufacturing of America, LLC.   Provided contracted software development services to a related party     -       79,519       510  
    Total     1,573,389       3,126,224       20,033  

 

c. Other receivable from related parties

 

Other receivable consisted of the following:

 

                             
Name of related party   Nature of transactions   As of
February 28,
2025		     As of
February 28,
2026		     As of
February 28,
2026		  
        JPY     JPY     US$  
        (In thousands)  
Honda Motor Co., Ltd.   Reimbursements receivable for personnel expenses of employees seconded to a related party     5,728       2,617       17  
Toyota Motor Corporation   Reimbursements receivable for personnel expenses of employees seconded to a related party     11,646       5,246       34  
Daihatsu Motor Co., Ltd.   Reimbursements receivable for personnel expenses of employees seconded to a related party     -       1,926       12  
Toyota Mapmaster Incorporated   Receivables related to the unsettled portion of annual server operating expenses for connected navigation systems     -       3,285       21  
Mr. Kenji Narushima   Rental payments by a director for use of the Company-owned property     1,320       -       -  
    Total     18,694       13,074       84  

 

d. Accounts payable to a related party

 

Accounts payable to a related party consisted of the following:

 

Name of related party   Nature of transactions   As of
February 28,
2025		     As of
February 28,
2026		     As of
February 28,
2026		  
        JPY     JPY     US$  
        (In thousands)  
Toyota Mapmaster Incorporated   License fee payable     288,205       188,264       1,206  
    Total     288,205       188,264       1,206  

 

e. Contract liabilities to a related party

 

Contract liabilities to a related party consisted of the following:

 

Name of related party   Nature of transactions   As of
February 28,
2025		     As of
February 28,
2026		     As of
February 28,
2026		  
        JPY     JPY     US$  
Honda Motor Co., Ltd.   Provided contracted software development services to a related party     -       646,603       4,144  
    Total     -       646,603       4,144  

 

f. Other payable to related parties

 

Other payable to related parties consisted of the following:

 

Name of related party   Nature of transactions   As of
February 28,
2025		     As of
February 28,
2026		     As of
February 28,
2026		  
        JPY     JPY     US$  
        (In thousands)  
Honda Motor Co., Ltd.   Reimbursements receivable for personnel expenses of employees seconded to a related party     686       873       6  
Toyota Motor Corporation   Reimbursements receivable for personnel expenses of employees seconded to a related party     861       -       -  
    Total     1,547       873       6  

 

g. Revenue from related parties

 

Revenue from related parties consisted of the following:

 

        For the Fiscal Years Ended  
Name of related party   Nature of transactions   February 29,
2024		     February 28,
2025		     February 28,
2026		     February 28,
2026		  
        JPY     JPY     JPY     US$  
        (In thousands)  
Honda Motor Co., Ltd.   Contracted software development revenue     8,027,680       10,123,402       10,620,176       68,056  
Toyota Motor Corporation   Contracted software development revenue     1,063,292       2,257,986       2,234,568       14,320  
Daihatsu Motor Co., Ltd.   Contracted software development revenue     548,346       746,075       1,307,279       8,377  
Toyota Mapmaster Incorporated   Contracted software development revenue     12,794       14,094       18,550       119  
Honda Access Corporation   Contracted software development revenue     67,050       213,263       162,340       1,040  
Honda Development and Manufacturing of America, LLC.   Contracted software development revenue     321,004       488,005       295,659       1,895  
    Total     10,040,166       13,842,825       14,638,572       93,807  

 

h. Other income from related parties

 

Other income from related parties consisted of the following:

 

        For the Fiscal Years Ended  
Name of related party   Nature of transactions   February 29,
2024		     February 28,
2025		     February 28,
2026		     February 28,
2026		  
        JPY     JPY     JPY     US$  
        (In thousands)  
Mr. Kenji Narushima   Rental payments by a director for use of the Company-owned property     -       2,182       2,400       15  
Mr. Masahide Shigeno   Rental payments by a director for use of the Company-owned property     -       2,000       2,200       14  
    Total     -       4,182       4,600       29  

 

i. Reimbursement of personnel costs from related parties

 

Reimbursement of personnel costs from related parties consisted of the following:

 

        For the Fiscal Years Ended  
Name of related party   Nature of transactions   February 29,
2024		     February 28,
2025		     February 28,
2026		     February 28,
2026		  
        JPY     JPY     JPY     US$  
        (In thousands)  
Honda Motor Co., Ltd   Receivables for personnel cost reimbursements from a related party for seconded employees     20,474       31,677       16,542       106  
Toyota Motor Corporation   Receivables for personnel cost reimbursements from a related party for seconded employees     116,301       39,519       37,270       239  
Daihatsu Motor Co., Ltd.   Receivables for personnel cost reimbursements from a related party for seconded employees     -       -       13,275       85  
    Total     136,775       71,196       67,087       430  

 

j. Reimbursement of personnel costs to a related party

 

Reimbursement of personnel costs to a related party consisted of the following:

 

        For the Fiscal Years Ended  
Name of related party   Nature of transactions   February 29,
2024		     February 28,
2025		     February 28,
2026		     February 28,
2026		  
        JPY     JPY     JPY     US$  
        (In thousands)  
Honda Motor Co., Ltd   Personnel costs incurred for seconded employees from a related party     3,354       8,418       17,253       111  
    Total     3,354       8,418       17,253       111  

 

k. License fees to a related party

 

License fees to a related party consisted of the following:

 

        For the Fiscal Years Ended  
Name of related party   Nature of transactions   February 29,
2024		     February 28,
2025		     February 28,
2026		     February 28,
2026		  
        JPY     JPY     JPY     US$  
        (In thousands)  
Toyota Mapmaster Incorporated   Payment of license fees     1,176,289       1,015,686       976,048       6,255  
    Total     1,176,289       1,015,686       976,048       6,255  

 

l. Other fee payments to a related party

 

Other fee payments to a related party consisted of the following:

 

        For the Fiscal Years Ended  
Name of related party   Nature of transactions   February 29,
2024		     February 28,
2025		     February 28,
2026		     February 28,
2026		  
        JPY     JPY     JPY     US$  
        (In thousands)  
Toyota Motor Corporation   Payment of data usage fees     750       -       -       -  
    Total     750       -       -       -