Document And Entity Information
Document And Entity Information - Mar. 31, 2015 - shares | Total |
Document and Entity Information [Abstract] | |
Entity Registrant Name | INTERNET INITIATIVE JAPAN INC |
Trading Symbol | IIJI |
Document Type | 20-F |
Current Fiscal Year End Date | --03-31 |
Entity Common Stock, Shares Outstanding | 46,701,000 |
Amendment Flag | false |
Entity Central Index Key | 1,090,633 |
Entity Current Reporting Status | Yes |
Entity Voluntary Filers | No |
Entity Filer Category | Large Accelerated Filer |
Entity Well-known Seasoned Issuer | No |
Document Period End Date | Mar. 31, 2015 |
Document Fiscal Year Focus | 2,015 |
Document Fiscal Period Focus | FY |
Consolidated Balance Sheets
Consolidated Balance Sheets - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 |
CURRENT ASSETS: | ||
Cash and cash equivalents | ¥ 21,093,633 | ¥ 22,421,100 |
Accounts receivable, net of allowance for doubtful accounts of ¥53,871 thousand and ¥54,590 thousand at March 31, 2014 and 2015, respectively (Notes 5, 6 and 22) | 22,251,818 | 19,214,248 |
Inventories (Note 3) | 1,229,463 | 1,670,258 |
Prepaid expenses―current | 3,691,643 | 3,128,290 |
Deferred tax assets―current (Note 12) | 1,547,474 | 1,392,971 |
Guarantee deposits―current (Note 9) | 1,462,223 | |
Other current assets, net of allowance for doubtful accounts of ¥720 thousand at March 31, 2014 and 2015, respectively (Notes 5 and 9) | 2,272,605 | 2,411,376 |
Total current assets | 52,086,636 | 51,700,466 |
INVESTMENTS IN EQUITY METHOD INVESTEES (Note 6) | 2,560,557 | 2,085,689 |
OTHER INVESTMENTS (Notes 4, 17, 18 and 19) | 6,660,706 | 6,355,817 |
PROPERTY AND EQUIPMENT—Net (Notes 7 and 9) | 29,370,054 | 26,971,485 |
GOODWILL (Note 8) | 6,169,609 | 5,969,951 |
OTHER INTANGIBLE ASSETS—Net (Note 8) | 3,941,279 | 4,338,944 |
GUARANTEE DEPOSITS (Note 9) | 2,800,201 | 1,264,535 |
DEFERRED TAX ASSETS―Noncurrent (Note 12) | 471,087 | 636,807 |
NET INVESTMENT IN SALES-TYPE LEASES―Noncurrent (Note 9) | 762,159 | 752,774 |
PREPAID EXPENSES―Noncurrent | 2,914,375 | 2,633,154 |
OTHER ASSETS, net of allowance for doubtful accounts and loans of ¥62,800 thousand and ¥92,935 thousand at March 31, 2014 and 2015, respectively (Notes 5, 6 and 18) | 968,652 | 1,156,953 |
TOTAL | 108,705,315 | 103,866,575 |
CURRENT LIABILITIES: | ||
Short-term borrowings (Note 11) | 9,250,000 | 9,400,000 |
Long-term borrowings—current portion (Note 11) | 980,000 | |
Capital lease obligations—current portion (Note 9) | 3,522,113 | 3,753,026 |
Accounts payable—trade (Notes 6 and 22) | 12,182,908 | 11,491,666 |
Accounts payable—other | 1,442,810 | 1,050,429 |
Income taxes payable (Note 12) | 499,104 | 1,079,480 |
Accrued expenses | 2,968,139 | 2,053,550 |
Deferred income—current | 2,143,480 | 1,560,603 |
Other current liabilities (Notes 10 and 12) | 1,732,781 | 1,098,173 |
Total current liabilities | 33,741,335 | 32,466,927 |
CAPITAL LEASE OBLIGATIONS—Noncurrent (Note 9) | 4,340,421 | 4,603,322 |
ACCRUED RETIREMENT AND PENSION COSTS— Noncurrent (Note 13) | 2,792,617 | 2,274,540 |
DEFERRED TAX LIABILITIES—Noncurrent (Note 12) | 1,097,650 | 1,092,863 |
DEFERRED INCOME—Noncurrent | 2,943,975 | 2,711,347 |
OTHER NONCURRENT LIABILITIES (Note 10) | 945,537 | 536,950 |
Total liabilities | ¥ 45,861,535 | ¥ 43,685,949 |
COMMITMENTS AND CONTINGENCIES (Note 17) | ||
SHAREHOLDERS' EQUITY (Notes 4, 13, 14 and 15): | ||
Common stock—authorized, 75,520,000 shares; issued and outstanding, 46,697,800 and 46,701,000 shares at March 31, 2014 and 2015, respectively | ¥ 25,499,857 | ¥ 25,497,022 |
Additional paid-in capital | 36,014,128 | 35,961,995 |
Accumulated deficit | (556,162) | (2,867,548) |
Accumulated other comprehensive income | 1,938,649 | 1,712,786 |
Treasury stock—758,709 shares held by the company at March 31, 2014 and 2015, respectively | (392,070) | (392,070) |
Total Internet Initiative Japan Inc. shareholders' equity | 62,504,402 | 59,912,185 |
NONCONTROLLING INTERESTS | 339,378 | 268,441 |
Total equity | 62,843,780 | 60,180,626 |
TOTAL | ¥ 108,705,315 | ¥ 103,866,575 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 |
Accounts receivable, allowance for doubtful accounts (in Yen) | ¥ 54,590 | ¥ 53,871 |
Other assets, allowance for doubtful accounts (in Yen) | ¥ 92,935 | ¥ 62,800 |
Common stock, shares authorized | 75,520,000 | 75,520,000 |
Common stock, shares issued | 46,701,000 | 46,697,800 |
Common stock, shares outstanding | 46,701,000 | 46,697,800 |
Treasury stock, shares | 758,709 | 758,709 |
Current [Member] | ||
Other current assets, allowance for doubtful accounts (in Yen) | ¥ 720 | ¥ 720 |
Consolidated Statements of Inco
Consolidated Statements of Income - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Network services: | |||
Network services | ¥ 69,005,601 | ¥ 67,285,729 | ¥ 65,232,398 |
Systems integration: | |||
Systems integration | 48,237,458 | 42,469,565 | 37,205,096 |
Equipment sales | 2,166,928 | 1,690,225 | 1,490,906 |
ATM operation business | 3,640,128 | 2,826,832 | 2,320,086 |
Total revenues | 123,050,115 | 114,272,351 | 106,248,486 |
COSTS AND EXPENSES (Notes 6, 9, 13 and 22): | |||
Cost of network services | 54,932,285 | 53,045,814 | 50,692,190 |
Cost of systems integration | 41,561,621 | 36,510,328 | 30,424,802 |
Cost of equipment sales | 1,932,180 | 1,526,618 | 1,318,344 |
Cost of ATM operation business | 2,551,437 | 2,123,168 | 1,959,597 |
Total costs | 100,977,523 | 93,205,928 | 84,394,933 |
Sales and marketing (Note 21) | 9,188,425 | 8,547,693 | 8,058,481 |
General and administrative (Note 7) | 7,367,600 | 6,374,057 | 5,632,430 |
Research and development | 441,329 | 421,361 | 410,000 |
Total costs and expenses | 117,974,877 | 108,549,039 | 98,495,844 |
OPERATING INCOME | 5,075,238 | 5,723,312 | 7,752,642 |
OTHER INCOME (EXPENSES): | |||
Dividend income | 63,143 | 51,003 | 47,117 |
Interest income | 23,111 | 26,719 | 25,708 |
Interest expense | (238,260) | (256,371) | (287,314) |
Foreign exchange gain (loss), net | (5,045) | 219,381 | 112,136 |
Net gain on sales of other investments (Note 4) | 41,251 | 107,655 | 13,565 |
Net gain on other investments (Note 4) | 313,393 | ||
Impairment of other investments (Note 4) | (29,117) | (19,788) | |
Other—net | 208,671 | 89,799 | 112,798 |
Other income—net | 63,754 | 551,579 | 4,222 |
INCOME FROM OPERATIONS BEFORE INCOME TAX EXPENSE AND EQUITY IN NET INCOME OF EQUITY METHOD INVESTEES | 5,138,992 | 6,274,891 | 7,756,864 |
INCOME TAX EXPENSE (Note 12) | 1,896,865 | 1,795,305 | 2,607,582 |
EQUITY IN NET INCOME OF EQUITY METHOD INVESTEES (Note 6) | 154,626 | 204,046 | 168,065 |
NET INCOME | 3,396,753 | 4,683,632 | 5,317,347 |
LESS: NET INCOME ATTRIBUTABLE TO NONCONTROLLING INTERESTS | (74,672) | (241,395) | (16,693) |
NET INCOME ATTRIBUTABLE TO INTERNET INITIATIVE JAPAN INC. | ¥ 3,322,081 | ¥ 4,442,237 | ¥ 5,300,654 |
BASIC NET INCOME ATTRIBUTABLE TO INTERNET INITIATIVE JAPAN INC. PER COMMON SHARE (in Yen per share) | ¥ 72.31 | ¥ 100.26 | ¥ 130.76 |
DILUTED NET INCOME ATTRIBUTABLE TO INTERNET INITIATIVE JAPAN INC. PER COMMON SHARE (in Yen per share) | ¥ 72.20 | ¥ 100.14 | ¥ 130.65 |
Systems Construction [Member] | |||
Systems integration: | |||
Systems integration | ¥ 20,437,326 | ¥ 18,673,638 | ¥ 15,824,938 |
Systems Operation and Maintenance [Member] | |||
Systems integration: | |||
Systems integration | 27,800,132 | 23,795,927 | 21,380,158 |
Internet Connectivity Services Enterprise [Member] | |||
Network services: | |||
Network services | 16,349,785 | 16,585,175 | 16,027,134 |
Internet Connectivity Services Consumer [Member] | |||
Network services: | |||
Network services | 8,222,015 | 6,024,560 | 5,466,198 |
WAN Services [Member] | |||
Network services: | |||
Network services | 24,325,951 | 25,005,867 | 25,168,425 |
Outsourcing Services [Member] | |||
Network services: | |||
Network services | ¥ 20,107,850 | ¥ 19,670,127 | ¥ 18,570,641 |
Consolidated Statements of Inc5
Consolidated Statements of Income - shares | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
NET INCOME ATTRIBUTABLE TO INTERNET INITIATIVE JAPAN INC. PER SHARE (Note 16): | |||
Basic weighted-average number of common shares outstanding | 45,942,291 | 44,306,680 | 40,536,800 |
Diluted weighted-average number of common shares outstanding | 46,014,737 | 44,361,083 | 40,572,600 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
NET INCOME | ¥ 3,396,753 | ¥ 4,683,632 | ¥ 5,317,347 |
OTHER COMPREHENSIVE INCOME (LOSS), NET OF TAX (Note 15): | |||
Foreign currency translation adjustments | 243,538 | 419,557 | 90,014 |
Unrealized holding gain on securities | 61,590 | 988,139 | 256,521 |
Defined benefit pension plans | (83,000) | 41,115 | (59,252) |
TOTAL COMPREHENSIVE INCOME | 3,618,881 | 6,132,443 | 5,604,630 |
LESS: COMPREHENSIVE INCOME ATTRIBUTABLE TO NONCONTROLLING INTERESTS | (70,937) | (241,251) | (16,673) |
COMPREHENSIVE INCOME ATTRIBUTABLE TO INTERNET INITIATIVE JAPAN INC. | ¥ 3,547,944 | ¥ 5,891,192 | ¥ 5,587,957 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - JPY (¥) ¥ in Thousands | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Common Stock [Member] | Treasury Stock [Member] | Additional Paid-in Capital [Member] | Noncontrolling Interest [Member] | Total |
Balance at Mar. 31, 2012 | ¥ (10,990,348) | ¥ (23,533) | ¥ 16,833,847 | ¥ (392,079) | ¥ 27,260,318 | ¥ 8,042 | ¥ 32,696,247 |
Balance (in Shares) at Mar. 31, 2012 | 41,295,600 | ||||||
Acquisition and establishment of new consolidated subsidiaries | 2,688 | 2,688 | |||||
Stock-based compensation (Note 14) | 40,007 | 40,007 | |||||
Net income | 5,300,654 | 16,693 | 5,317,347 | ||||
Other comprehensive income (loss), net of tax | 287,303 | (20) | 287,283 | ||||
Dividends paid (Note 14) | (709,394) | (709,394) | |||||
Balance at Mar. 31, 2013 | (6,399,088) | 263,770 | ¥ 16,833,847 | (392,079) | 27,300,325 | 27,403 | 37,634,178 |
Balance (in Shares) at Mar. 31, 2013 | 41,295,600 | ||||||
Acquisition of noncontrolling interests in consolidated subsidiaries (Note 14) | 61 | 53 | 99 | (213) | |||
Issuance of common stock, net of issuance cost (Note 14) | ¥ 8,661,600 | 8,609,604 | 17,271,204 | ||||
Issuance of common stock, net of issuance cost (Note 14) (in Shares) | 5,400,000 | ||||||
Issuance of common stock upon exercise of stock options | ¥ 1,575 | 1,576 | ¥ 3,151 | ||||
Issuance of common stock upon exercise of stock options (in Shares) | 2,200 | 2,200 | |||||
Stock-based compensation (Note 14) | 50,391 | ¥ 50,391 | |||||
Net income | 4,442,237 | 241,395 | 4,683,632 | ||||
Other comprehensive income (loss), net of tax | 1,448,955 | (144) | 1,448,811 | ||||
Dividends paid (Note 14) | (910,697) | (910,697) | |||||
Purchase of treasury stock | (44) | (44) | |||||
Balance at Mar. 31, 2014 | (2,867,548) | 1,712,786 | ¥ 25,497,022 | (392,070) | 35,961,995 | 268,441 | 60,180,626 |
Balance (in Shares) at Mar. 31, 2014 | 46,697,800 | ||||||
Issuance of common stock upon exercise of stock options | ¥ 2,835 | 2,836 | ¥ 5,671 | ||||
Issuance of common stock upon exercise of stock options (in Shares) | 3,200 | 3,200 | |||||
Stock-based compensation (Note 14) | 49,297 | ¥ 49,297 | |||||
Net income | 3,322,081 | 74,672 | 3,396,753 | ||||
Other comprehensive income (loss), net of tax | 225,863 | (3,735) | 222,128 | ||||
Dividends paid (Note 14) | (1,010,695) | (1,010,695) | |||||
Balance at Mar. 31, 2015 | ¥ (556,162) | ¥ 1,938,649 | ¥ 25,499,857 | ¥ (392,070) | ¥ 36,014,128 | ¥ 339,378 | ¥ 62,843,780 |
Balance (in Shares) at Mar. 31, 2015 | 46,701,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
OPERATING ACTIVITIES: | |||
Net income | ¥ 3,396,753 | ¥ 4,683,632 | ¥ 5,317,347 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 9,677,339 | 8,822,981 | 7,507,808 |
Impairment loss on intangible assets | 48,000 | ||
Provision for retirement and pension costs, less payments | 256,661 | 226,599 | 213,963 |
Provision for (reversal of) allowance for doubtful accounts | 33,158 | (46,935) | (10,712) |
Gain on sales of property and equipment | (29,733) | (6,395) | |
Loss on disposal of property and equipment | 101,189 | 83,487 | 14,638 |
Net gain on sales of other investments | (41,251) | (107,655) | (13,565) |
Net gain on other investments | (313,393) | ||
Impairment of other investments | 29,117 | 19,788 | |
Foreign exchange gain, net | (18,259) | (129,916) | (55,983) |
Equity in net income of equity method investees, net of dividend received | (122,286) | (204,046) | (168,065) |
Deferred income tax expense (benefit) | 211,230 | (699,826) | (527,128) |
Others | 8,560 | 71,448 | 45,772 |
Changes in operating assets and liabilities net of effects from acquisition of a company: | |||
Increase in accounts receivable | (2,819,564) | (342,391) | (2,906,215) |
Decrease (increase) in net investment in sales-type lease—noncurrent | (9,385) | 145,266 | 37,406 |
Decrease (increase) in inventories | 450,256 | (365,533) | (492,022) |
Increase in prepaid expenses | (542,770) | (612,802) | (635,031) |
Decrease (increase) in other current and noncurrent assets | 715,132 | (1,801,403) | (1,295,279) |
Increase in accounts payable | 648,562 | 476,860 | 1,881,105 |
Decrease in income taxes payable | (718,737) | (594,782) | (545,914) |
Increase (decrease) in accrued expenses | 873,815 | (219,277) | (33,954) |
Increase (decrease) in deferred income—current | 465,469 | (158,972) | 127,064 |
Increase (decrease) in deferred income—noncurrent | (248,061) | 91,462 | 1,015,049 |
Increase (decrease) in other current and noncurrent liabilities | 595,178 | (217,925) | 101,091 |
Net cash provided by operating activities | 12,912,373 | 8,786,879 | 9,638,768 |
INVESTING ACTIVITIES: | |||
Purchases of property and equipment | (8,157,115) | (9,123,998) | (5,588,815) |
Proceeds from sales of property and equipment | 772,226 | 456,330 | 543,978 |
Purchases of available-for-sale securities | (4,104) | (167,545) | (48,903) |
Purchases of other investments | (282,478) | (1,185,985) | (467,622) |
Investment in an equity method investee | (338,240) | (199,920) | (100,000) |
Proceeds from sales of available-for-sale securities | 391,814 | ||
Proceeds from sales of other investments | 40,501 | 351,740 | 109,944 |
Payments of guarantee deposits | (1,635,910) | (688,902) | (164,417) |
Refund of guarantee deposits | 1,572,885 | 20,233 | 17,349 |
Payments for refundable insurance policies | (47,831) | (18,787) | (737) |
Proceeds from subsidies | 200,000 | ||
Refund from insurance policies | 16,026 | ||
Acquisition of a newly controlled company, net of cash acquired (Note 2) | (167,678) | (229,058) | |
Other | (25,000) | (53,766) | (17,620) |
Net cash used in investing activities | (8,072,744) | (10,202,760) | (5,945,901) |
FINANCING ACTIVITIES: | |||
Proceeds from issuance of short-term borrowings with initial maturities over three months and long-term borrowings | 50,000 | 250,000 | 71,000 |
Repayments of short-term borrowings with initial maturities of over three months and long-term borrowings | (1,030,000) | (1,260,000) | (1,081,000) |
Principal payments under capital leases | (4,193,654) | (3,968,724) | (3,678,940) |
Proceeds from sale and lease back | 50,847 | ||
Net increase (decrease) in short-term borrowings | (150,000) | 400,000 | |
Proceeds from issuance of subsidiary stock to noncontrolling interests | 2,570 | ||
Dividends paid | (1,010,695) | (910,697) | (709,394) |
Proceeds from issuance of common stock, net of issuance cost | 17,271,204 | ||
Other | 3 | 109 | |
Net cash provided by (used in) financing activities | (6,283,499) | 11,381,892 | (4,995,764) |
FORWARD | (1,443,870) | 9,966,011 | (1,302,897) |
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS | 116,403 | 196,217 | 24,945 |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | (1,327,467) | 10,162,228 | (1,277,952) |
CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR | 22,421,100 | 12,258,872 | 13,536,824 |
CASH AND CASH EQUIVALENTS, END OF YEAR | 21,093,633 | 22,421,100 | 12,258,872 |
ADDITIONAL CASH FLOW INFORMATION: | |||
Interest paid | 239,940 | 256,722 | 287,158 |
Income taxes paid | 2,405,067 | 2,707,784 | 3,527,987 |
NONCASH INVESTING AND FINANCING ACTIVITIES: | |||
Acquisition of assets by entering into capital leases | 3,678,012 | 3,436,245 | 4,816,248 |
Facilities purchase liabilities | 1,442,810 | 1,050,429 | 949,264 |
Asset retirement obligation | 287,036 | ¥ 170,814 | 26,620 |
Acquisition of a company (Note 2): | |||
Assets acquired | 1,064,736 | 404,139 | |
Liabilities assumed | 464,736 | 104,321 | |
Noncontrolling interests | 118 | ||
Cash paid | (600,000) | (299,700) | |
Cash acquired | 432,322 | 70,642 | |
Acquisition of a newly controlled company, net of cash acquired | ¥ (167,678) | ¥ (229,058) |
Note 1 - Description of Busines
Note 1 - Description of Business and Summary of Significant Accounting Policies | 12 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block] | 1. DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Internet Initiative Japan Inc. ("IIJ , - Certain Significant Risks and Uncertainties The Company relies on telecommunications carriers for a significant portion of its network backbone and on regional NTT subsidiaries, electric power companies and their affiliates for local connections to customers. Currently, NTT Communications Corporation, a wholly owned subsidiary of NTT, is the largest provider of network infrastructure for the Company. The Company believes that its use of multiple carriers and suppliers significantly mitigates the risk of damages from service disruptions. However, any disruption of telecommunication services could have an adverse effect on operating results. Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of accounts receivable, which includes the accounts receivable from a large customer as noted in Note 20 . The Company's management believes that the risks associated with accounts receivable is mitigated by the large number of customers comprising its customer base and its credit line control . Summary of Significant Accounting Policies Basis of Presentation— Reclassification— Certain reclassifications have been made to prior periods to conform to the current year presentations: (1) “Gain on sales of property and equipment , , Consolidation— The consolidated financial statements include the accounts of IIJ and all of its subsidiaries, IIJ Engineering Inc. ("IIJ-EG," which was renamed from Net Care, Inc), IIJ America, Inc. ("IIJ - - Intercompany transactions and balances have been eliminated in consolidation. Investments in companies over which IIJ has significant influence but not control are accounted for by the equity method. For other than a temporary decline in the value of investments in equity method investees below the carrying amount, the investment is reduced to fair value and an impairment loss is recognized. A subsidiary or equity method investee may issue its shares to third parties at amounts per share in excess of or less than the Company’s average per share carrying value. Changes in a parent’s ownership interest while the parent retains its controlling financial interest in its subsidiary are accounted for as equity transactions. Use of Estimates— Revenue Recognition— System integration revenue involves the following deliverables: ● System construction services ― include all or some of the following elements depending on arrangements to meet each of our customer's requirements: consulting, project planning, system design, and development of network systems. These services also include the installation of software as well as configuration and installation of hardware. ● Software ― we resell third-party software such as Oracle and Windows to our customers, which are installed by us during the system development process. ● Hardware ― we also resell third-party hardware, primarily servers, switches and routers, which we install during the system development process. The hardware is generic hardware that is often sold by third party manufacturers and resellers. ● Monitoring and operating service ― we monitor our customer's network activity and internet connectivity to detect and report problems. We also provide constant data backup services. ● Hardware and software maintenance service ― we repair or replace any malfunctioning parts of hardware. We examine software faults and provide suitable solutions to customers. The system construction services are generally delivered over a three - software are delivered and installed during this period. Customers are required to pay a specified fixed fee that is not payable until after the system construction has been completed and accepted by our customers. Monitoring, operating , customers have accepted the systems, and contract periods are generally from one to five years. Our contracts include a stated annual fee for these services. For multiple-element arrangements that include system construction service, hardware, software essential to the hardware product’s functionality and undelivered non-software services (e.g., monitoring and operating services), the Company allocates revenue to all deliverables based on their relative selling prices. The Company uses a hierarchy to determine the selling price to be used for allocating revenue to deliverables: (i) vendor-specific objective evidence of fair value (“VSOE”), (ii) third-party evidence of selling price (“TPE”) and (iii) best estimate of the selling price (“ESP”). The allocation of revenue is based mainly on the Company’s ESPs except for certain undelivered non-software services for which VSOE has been established. The Company’s process for determining its ESP for deliverables includes various factors that may vary depending on the circumstances and specific characteristics related to each deliverable. In developing the ESP , The method used to account for each unit and the period over which each unit of accounting is recognized are as follows: ● Revenue allocated to system construction services is accounted for using contract accounting. System construction service revenues, which are generally completed within three months, are recognized based on the completed-contract method in compliance with ASC 605-35-25-92 because the Company is unable to bill customers and the title to the constructed network system is not transferred to the customers unless they are satisfied with and accept the completed systems. ● Revenue related to the hardware and software essential to the hardware product’s functionality is not recognized until customer acceptance is received because title to the hardware and software do not transfer to our customers until formal acceptance is received. ● Revenue related to undelivered non-software services (monitoring, operating and hardware maintenance services) is recognized on a straight - The Company also enters into multiple-element arrangements for system integration services that include software not essential to the hardware product’s functionality and software-related services and account for them in accordance with ASC 985-605, “Software-Revenue Recognition”. The Company has been able to establish VSOE of fair value of the software-related services based on separate renewal contracts of the services that are consistently priced within a narrow range. The Company allocates revenue to such services based on VSOE and recognizes the revenues on a straight-line basis over the contract period. The Company allocates the residual amount to the software and system construction services. Equipment sales revenues are recognized when equipment is delivered and accepted by the customer. The Company evaluates whether it is appropriate to record the gross amount of revenues and related costs or the net amount earned in reporting system construction services and equipment sales, depending on whether the Company functions as principal or agent. ATM operation business revenues consist primarily of commissions for each withdrawing transaction with the use of ATMs. ATM commission collected from each withdrawal is aggregated every month and recognized as ATM operation revenues. Revenue is recognized net of consumption tax collected from customers and subsequently remitted to governmental authorities. We relabeled “Internet connectivity services (corporate use)” and “Internet connectivity services (home use)” in the former presentation to “Internet connectivity services (enterprise)” and “Internet connectivity services (consumer)” respectively, reflecting the rapid growth of LTE mobile data communications services for consumer. Along with this, this label change has been applied to prior periods to conform to the current year presentation. Cash and Cash Equivalents— Allowance for Doubtful Accounts— Other Investments— - - The Company reviews the fair value of available - - - - - - - - , . Non-marketable equity securities are carried at cost as fair value is not readily determinable. When the Company evaluates whether non-marketable equity securities are impaired or not, the Company evaluates first whether an event or change in circumstances has occurred in the period that may have significant adverse effect on the fair value of the securities (an impairment indicator). The Company uses such impairment indicators as follows: ● A significant deterioration in the earnings performance or business prospects of the investee. ● A significant adverse change in the regulatory, economic, or technological environment of the investee. ● A significant adverse change in the general market condition of either the geographic area or the industry in which the investee operates. ● A recent example of the new issuance of a security, in which the issue price is less than our cost. The Company estimates the fair value of the non-marketable equity securities when an impairment indicator is present. The fair value is determined as a result of considering various unobservable inputs which are available to the Company, including expectation of future income of the investees, net asset value of the investees, and material unrealized losses to be considered in assets and liabilities held by the investees. The Company recognizes impairment of non-marketable equity securities when the fair value is below the carrying amount and the decline in fair value is considered to be other-than-temporary. Inventories— - - - - - - Leases— Sales-Type Leases— Property and Equipment— - The useful lives for depreciation and amortization by major asset classes are as follows: Range of Useful Lives Data communications, office and other equipment (years) 2 to 20 Buildings (years) 20 Leasehold improvements (years) 4 to 20 Capitalized software (years) 5 Capital leases (years) 4 to 6 Impairment of Long - Lived Assets— - - Goodwill and Intangible Assets— Asset Retirement Obligations— Pension and Severance Indemnities Plans— Income Taxes— The Company recognizes the financial statement effect of uncertain tax positions when they are more-likely- than not, based on the technical merits, that the tax positions will be sustained upon examination by the tax authorities. Benefits from tax positions that meet the more-likely-than-not recognition threshold are measured at the largest amount of benefit that is greater than 50% likely of being realized upon settlement. Interest and penalties accrued related to unrecognized tax benefits are included in income tax expense in the consolidated statements of income. Foreign Currency Translation— Foreign currency assets and liabilities are stated at the amount as computed by using year - Stock Splits ― Stock - Based Compensation— Research and Development and Capitalized Software Development Costs— Advertising— Basic and Diluted Net Income attributable to Internet Initiative Japan Inc. per Common Share— - Other Comprehensive Income (Loss)— - - . Segment Reporting— The Company provides a comprehensive range of network solutions to meet its customers’ needs by cross-selling a variety of services, including Internet connectivity services, WAN services, outsourcing services, systems integration and sales of network-related equipment, and ATM operation services. The Company’s chief operating decision maker, who is the Company’s Chief Operating Officer ("COO"), regularly reviews the revenue and cost of sales of the two operating segments, which are the Network service and systems integration business segment and the ATM operation business segment. The COO also makes decisions regarding how to allocate resources and assess performance based on the segments. New Accounting Guidance In July 2013, the Financial Accounting Standard Board ("FASB") issued Accounting Standards Update ("ASU") 2013-11, “Income Taxes: Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists,” which defines the presentation requirements of an unrecognized tax benefit, or a portion of an unrecognized tax benefit, in the financial statements. This ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013 and the Company adopted this ASU in the first quarter beginning April 1, 2014. The adoption of this ASU did not have a material impact on the Company’s financial position or results of operations. Accounting Guidance Issued But Not Adopted as of March 31, 2015 In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers,” to clarify the principles for recognizing revenue and to develop a common revenue standard for U.S. GAAP and International Financial Reporting Standards. This guidance also requires an entity to improve disclosures to enable users of financial statements to understand the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. This ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2016. The Company is currently evaluating the impact of adopting this guidance . |
Note 2 - Business Combinations
Note 2 - Business Combinations | 12 Months Ended |
Mar. 31, 2015 | |
Business Combinations [Abstract] | |
Business Combination Disclosure [Text Block] | 2 . On April 2, 2012, the Company acquired 99.9% of the outstanding common shares of Exlayer Global Inc., which was renamed IIJ-Exlayer, for total consideration of ¥299,700 thousand paid in cash. There are no future contingent payments. IIJ-Exlayer is a holding company with overseas subsidiaries in the system integration industry. The acquisition of IIJ-Exlayer is expected to help the Company to accelerate its international business development. Pro forma results of operations have not been presented because the effect of the acquisition was not material. There were no business acquisitions during the year ended March 31, 2014. On December 1, 2014, the Company acquired all the outstanding common shares of RYUKOSHA, which engages in human resources outsourcing services for fields such as systems operation and service support , - The fair value of the assets acquired and liabilities assumed recognized in related to the acquisition of RYUKOSHA were ¥865,078 thousand and ¥464,736 thousand, respectively, and goodwill of ¥199,658 thousand was recorded (see Note 8, "GOODWILL AND OTHER INTANGIBLE ASSETS"). For the year ended March 31, 2015, acquisition-related costs of ¥32,262 thousand were incurred. These costs consisted of professional advisory fees and were recorded in “General and administrative” expenses. Pro forma results of operations have not been presented because the effect of the acquisition was not material. |
Note 3 - Inventory
Note 3 - Inventory | 12 Months Ended |
Mar. 31, 2015 | |
Inventory Disclosure [Abstract] | |
Inventory Disclosure [Text Block] | 3. INVENTORY The components of inventories as of March 31, 2014 and 2015 are as follows: Thousands of Yen 2014 2015 Network equipment purchased for resale ¥ 503,334 ¥ 667,110 Work in process 1,166,924 562,353 Total inventories ¥ 1,670,258 ¥ 1,229,463 |
Note 4 - Other Investments
Note 4 - Other Investments | 12 Months Ended |
Mar. 31, 2015 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | 4 . Pursuant to ASC 320, “Investments ― equity and debt securities are classified as available - - - - Thousands of Yen March 31, 2014 Cost Unrealized Gains Unrealized Losses Fair Value Available-for-sale—Equity securities ¥ 1,391,820 ¥ 2,364,442 ¥ 5,251 ¥ 3,751,011 March 31, 2015 Available-for-sale—Equity securities ¥ 1,778,803 ¥ 2,528,884 ¥ 95,116 ¥ 4,212,571 Available-for-sale—Debt securities 100,300 1,610 - 101,910 ¥ 1,879,103 ¥ 2,530,494 ¥ 95,116 ¥ 4,314,481 Maturities of available-for-sale debt securities are due after 10 years. The following table provides the fair value and gross unrealized losses of the Company's investments, which have been deemed to be temporarily impaired, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, as of March 31, 2014 and 2015: Thousands of Yen Less than 12 Months 12 Months or More Total March 31, 2014 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Available-for-sale—Equity securities ¥ 56,524 ¥ 5,251 - - ¥ 56,524 ¥ 5,251 March 31, 2015 Available-for-sale—Equity securities ¥ 946,712 ¥ 95,116 - - ¥ 946,712 ¥ 95,116 The Company regularly reviews all of the Company's investments to determine if any are other-than-temporarily impaired. The analysis includes reviewing industry analyst reports, sector credit ratings and volatility of the security's market price. The Company’s unrealized loss on investments in marketable equity securities as of March 31, 2015 relates to Japanese companies (3 issuers) in various industries. The fair value of each investment is between 0 . Proceeds from the sale of available - Net gain on other investments, which was derived from realized gains on investments in funds, for the year ended March 31, 2014 was ¥313,393 thousand. The aggregate cost of the Company’s cost method investments totaled ¥2,604,806 thousand and ¥2,346,225 thousand at March 31, 2014 and 2015, respectively. Impairment of investments in certain marketable equity securities and nonmarketable equity securities, including funds, included in "Other income (expenses)" in the Company’s consolidated statements of income, were recognized to reflect the decline in value considered to be other-than-temporary. The Company recognized impairment loss of ¥19,788 thousand on marketable equity securities for the year ended March 31, 2013 and ¥29,117 thousand on nonmarketable equity securities for the year ended March 31, 2015. |
Note 5 - Allowance for Doubtful
Note 5 - Allowance for Doubtful Accounts and Loans | 12 Months Ended |
Mar. 31, 2015 | |
Disclosure Text Block Supplement [Abstract] | |
Allowance for Credit Losses [Text Block] | 5 . ALLOWANCE FOR DOUBTFUL ACCOUNTS AND LOANS An analysis of the allowance for doubtful accounts and loans for the years ended March 31, 2013, 2014 and 2015 is as follows: Thousands of Yen Balance at Beginning of Year Credits Charged Off Provision for (Reversal of) Doubtful Accounts Other Balance at End of Year Year ended March 31, 2013 ¥ 205,039 ¥ (17,934 ) ¥ (10,712 ) - ¥ 176,393 Year ended March 31, 2014 ¥ 176,393 ¥ (12,067 ) ¥ (46,935 ) - ¥ 117,391 Year ended March 31, 2015 ¥ 117,391 ¥ (3,153 ) ¥ 33,158 ¥ 849 ¥ 148,245 |
Note 6 - Investments in Equity
Note 6 - Investments in Equity Method Investees | 12 Months Ended |
Mar. 31, 2015 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity Method Investments and Joint Ventures Disclosure [Text Block] | 6. INVESTMENTS IN EQUITY METHOD INVESTEES IIJ utilizes various companies in Japan to develop and operate its Internet business. Businesses operated by its equity method investees include high speed Internet eXchange service (Internet Multifeed Co., "Multifeed"), operations of gaming platform (Internet Revolution Inc., "i-revo"), point management systems operations (Trinity Inc., "Trinity"), research and software development (Stratosphere Inc., "Stratosphere"), offering cloud-based systems that undergird smartphone applications (Appiaries Corporation, "Appiaries"), system consultants (e-CORPORATION.JP Ltd, " e-CORPORATION") and providing cloud computing services in Indonesia (PT. BIZNET GIO NUSANTARA, "BIZNET"). The aggregate amounts of balances and transactions of the Company with these equity method investees as of March 31, 2014 and 2015, and for each of the three years in the period ended March 31, 2015 are summarized as follows: Thousands of Yen 2013 2014 2015 Accounts receivable - ¥ 43,170 ¥ 367,741 Accounts payable - 40,613 48,788 Revenues ¥ 598,765 538,288 956,887 Costs and expenses 456,892 451,342 460,463 The Company's investments in these equity method investees and respective ownership percentage at March 31, 2014 and 2015 consisted of the following: Thousands of Yen 2014 2015 Multifeed 33.00 % ¥ 1,244,512 33.00 % ¥ 1,354,932 i-revo 30.00 529,142 30.00 676,732 Trinity 33.75 88,804 33.75 101,618 Stratosphere 50.00 32,451 50.00 - Appiaries 49.00 190,780 49.00 106,196 e-CORPORATION - - 35.21 32,839 BIZNET - - 40.00 288,240 Total ¥ 2,085,689 ¥ 2,560,557 The Company also had loans of ¥20,000 thousand and ¥30,658 thousand to Stratosphere, which was included in the “Other assets” in the Company’s consolidated balance sheets as of March 31, 2014 and 2015, respectively. The Company also provided allowance for the loans of ¥30,658 thousand as of March 31, 2015. The Company acquired shares in e-CORPORATION for ¥50,000 thousand in April 2014 and BIZNET for ¥288,240 thousand in March 2015. The balance of equity-method goodwill was ¥53,841 thousand and ¥103,841 thousand as of March 31, 2014 and 2015, respectively and was included in “Investments in equity method investees” in the Company’s consolidated balance sheets. |
Note 7 - Property and Equipment
Note 7 - Property and Equipment | 12 Months Ended |
Mar. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment Disclosure [Text Block] | 7. PROPERTY AND EQUIPMENT Property and equipment as of March 31, 2014 and 2015 consisted of the following: Thousands of Yen 2014 2015 Data communications equipment ¥ 8,656,572 ¥ 11,159,022 Office and other equipment 3,375,846 2,746,153 Land 532,997 537,889 Buildings 1,615,081 1,644,704 Leasehold improvements 3,641,072 3,798,172 Capitalized software 21,006,728 24,804,449 Assets under capital leases, primarily data communications equipment 22,868,800 24,271,434 Total 61,697,096 68,961,823 Less accumulated depreciation and amortization (34,725,611 ) (39,591,769 ) Property and equipment—net ¥ 26,971,485 ¥ 29,370,054 Depreciation and amortization expenses for property and equipment amounted to ¥6,950,249 thousand , The Company recorded losses on disposal of property and equipment of ¥14,638 thousand , ¥83,487 thousand and ¥101,189 thousand for the years ended March 31, 2013, 2014 and 2015, respectively, in “General and administrative” expenses in the Company’s consolidated statements of income. Capitalized software included internal use software of ¥17,410,834 thousand and ¥19,748,462 thousand as of March 31, 2014 and 2015, respectively, and software to be leased of ¥3,595,894 thousand and ¥5,055,987 thousand as of March 31, 2014 and 2015, respectively. The amount of software to be leased capitalized for the years ended March 31, 2014 and 2015 was ¥1,120,644 thousand and ¥1,584,451 thousand, respectively. The unamortized balance of software to be leased was ¥2,532,335 thousand and ¥3,420,112 thousand as of March 31, 2014 and 2015, respectively. Amortization expense of software to be leased was ¥349,537 thousand, ¥495,050 thousand and ¥632,423 thousand for the years ended March 31, 2013, 2014 and 2015, respectively, and was included in cost of systems integration. The estimated aggregate amortization expense of software to be leased for each of the next five years is as follows: Year Ending March 31 Thousands of Yen 2016 ¥ 929,211 2017 828,798 2018 715,534 2019 704,318 2020 242,251 |
Note 8 - Goodwill and Other Int
Note 8 - Goodwill and Other Intangible Assets | 12 Months Ended |
Mar. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets Disclosure [Text Block] | 8 . GOODWILL AND OTHER INTANGIBLE ASSETS The components of intangible assets as of March 31, 2014 and 2015 are as follows: Thousands of Yen 2014 2015 Intangible assets subject to amortization: Customer relationships ¥ 6,424,471 ¥ 6,424,471 Total 6,424,471 6,424,471 Less accumulated amortization (2,222,514 ) (2,619,544 ) Intangible assets subject to amortization—net 4,201,957 3,804,927 Intangible assets not subject to amortization: 29,987 29,352 Trademark 107,000 107,000 Goodwill 5,969,951 6,169,609 Total 6,106,938 6,305,961 Total intangible assets ¥ 10,308,895 ¥ 10,110,888 The weighted average amortization period for customer relationships is approximately 16.2 years. The amortization expenses for the years ended March 31, 2014 and 2015 were ¥463,074 thousand and ¥397,030 thousand, respectively. The estimated aggregate amortization expense of intangible assets for each of the next five years is as follows: Year Ending March 31 Thousands of Yen 2016 ¥ 388,014 2017 380,496 2018 365,460 2019 355,410 2020 346,223 The Company recorded ¥48,000 thousand of loss on impairment of the trademark right related to hi-ho in “Sales and marketing” expenses in the Company’s consolidated statement of income for the year ended March 31, 2013. Because hi-ho recently recorded an operating loss, the Company recognized that the trademark might be impaired. The carrying value of the trademark exceeded its fair value and the impairment loss was recognized in an amount equal to the excess of the carrying amount of the trademark over the fair value of the trademark. The fair value of the trademark was calculated with the relief from royalty method. The amount of loss was included in the Network service and system integration business segment. The following table shows changes in the carrying amount of goodwill for the years ended March 31, 2014 and 2015, by operating segment: Thousands of Yen Network Service and Systems Integration Business ATM Operation Business Total Balance at March 31, 2013 Goodwill ¥ 5,854,682 ¥ 235,551 ¥ 6,090,233 Accumulated impairment losses (120,282 ) - (120,282 ) 5,734,400 235,551 5,969,951 Acquisition - - - Impairment losses - - - Balance at March 31, 2014 Goodwill 5,854,682 235,551 6,090,233 Accumulated impairment losses (120,282 ) - (120,282 ) 5,734,400 235,551 5,969,951 Acquisition 199,658 - 199,658 Impairment losses - - - Balance at March 31, 2015 Goodwill 6,054,340 235,551 6,289,891 Accumulated impairment losses (120,282 ) - (120,282 ) ¥ 5,934,058 ¥ 235,551 ¥ 6,169,609 No impairment of goodwill was recognized during the years ended March 31, 2013, 2014 and 2015. On December 1, 2014, IIJ acquired a new subsidiary, RYUKOSHA , |
Note 9 - Leases
Note 9 - Leases | 12 Months Ended |
Mar. 31, 2015 | |
Leases [Abstract] | |
Leases of Lessee Disclosure [Text Block] | 9. LEASES The Company enters into, in the normal course of business, various leases for domestic and international backbone services, office premises, network operation centers and data communications and other equipment. Certain leases that meet one or more of the criteria set forth in the provision of ASC 840, “Leases” have been classified as capital leases and the others have been classified as operating leases. A portion of the Company’s sales result from multi-year lease agreements, under which the Company leased some network equipment to customers. The leases are classified as sale-type leases which the Company accounts for in accordance with ASC 840. Operating Leases— , - . Refundable guarantee deposits as of March 31, 2014 and 2015 consist of the following: Thousands of Yen 2014 2015 Head office* ¥ 666,480 ¥ 2,187,901 Sales and subsidiaries offices 554,610 547,549 Others 43,445 64,751 Total refundable guarantee deposits ¥ 1,264,535 ¥ 2,800,201 *Guarantee deposits ― was excluded from the table above as of March 31, 2014. Lease expenses related to backbone lines for the years ended March 31, 2013, 2014 and 2015 amounted to ¥3,535,213 , , , The Company has subleased a part of its office premises. Lease expenses mentioned above have been reduced by sublease revenues totaling ¥29,160 thousand, ¥24,082 thousand and ¥29,521 thousand for the years ended March 31, 2013, 2014 and 2015, respectively. Capital Leases— The Company sold ATM and data communications equipment procured from third party vendors, which amounted to ¥534,479 thousand and ¥799,232 thousand, to the leasing companies for the years ended March 31, 2014 and 2015, respectively, and concurrently entered into capital lease arrangements to lease the equipment back , The fair values of the assets upon execution of the capital lease arrangements and accumulated depreciation amounted to ¥22,868,800 . Lessee Future Minimum Lease Payments— Thousands of Yen Connectivity Lines Operating Leases Other Operating Leases Capital Leases Year ending March 31: ¥ 390,720 ¥ 3,119,351 ¥ 3,656,304 390,720 3,264,243 2,356,415 193,610 700,711 1,334,395 116,649 641,375 111,880 129,148 308,681 31 Total minimum lease payments ¥ 975,050 ¥ 7,621,515 8,117,668 Less amounts representing interest (255,134 ) Present value of net minimum capital lease payments 7,862,534 Less current portion (3,522,113 ) Noncurrent portion ¥ 4,340,421 Sales-Type Leases— Thousands of Yen 2014 2015 Year ending March 31: ¥ 715,357 348,041 254,580 147,406 23,272 Total minimum lease payments to be received* ¥ 1,434,815 Estimated residual value of leased property (unguaranteed) - - Less unearned income (22,364 ) (24,278 ) Net investment in sales-type leases 1,412,451 1,464,378 Less current portion (659,677 ) (702,219 ) Non-current net investment in sales-type leases ¥ 752,774 ¥ 762,159 *Estimated executory costs, including profit thereon, of ¥268,598 thousand and ¥345,698 thousand were excluded from total minimum lease payments to be received as of March 31, 2014 and 2015, respectively. |
Note 10 - Asset Retirement Obli
Note 10 - Asset Retirement Obligations | 12 Months Ended |
Mar. 31, 2015 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Asset Retirement Obligation Disclosure [Text Block] | 10. ASSET RETIREMENT OBLIGATIONS The asset retirement obligations are principally related to leasehold office premises and a data center which, at the end of the lease, the Company is contractually obligated to restore. The movements in asset retirement obligations for the year ended March 31, 2014 and 2015 were as follows: Thousands of Yen 2014 2015 Balance at beginning of the year ¥ 334,585 ¥ 513,440 Liabilities incurred 122,157 287,036 Liabilities settled - (243,109 ) Accretion expense 8,041 11,502 Revision in estimated cash flows related to head office relocation 48,657 - Balance at end of the year ¥ 513,440 ¥ 568,869 |
Note 11 - Borrowings
Note 11 - Borrowings | 12 Months Ended |
Mar. 31, 2015 | |
Debt Disclosure [Abstract] | |
Debt Disclosure [Text Block] | 11 . BORROWINGS Short-term borrowings at March 31, 2014 and 2015 consisted of bank overdrafts that bear fixed rate interest. The weighted average rates at March 31, 2014 and 2015 were 0.600% and 0.568%, respectively. Long-term borrowings as of March 31, 2014 consisted of the following: Thousands of Yen 2014 Long-term installment payable at various dates through the year ended March 31, 2015 . Interest is payable at variable rates based on Tokyo InterBank Offered Rate (TIBOR) which was 0.212% as of March 31, 2014. Weighted average interest rate was 0.901% at March 31, 2014. ¥ 980,000 Less current portion (980,000 ) Long-term borrowings, less current portion - Substantially all short-term and long-term bank borrowings are made under agreements which, as is customary in Japan, provide that under certain conditions the bank may require the borrower to provide collateral (or additional collateral) or a guarantor with respect to the borrowings and that the bank may treat any collateral, whether furnished as security for short-term or long-term loans or otherwise, as collateral for all indebtedness to such bank. Also, provisions of certain loan agreements grant certain rights of possession to the lenders in the event of default. The Company did not provide banks with any collateral for outstanding loans as of March 31, 2015. The Company entered into bank overdraft agreements with certain Japanese banks for which the unused balance outstanding as of March 31, 2015 was ¥10,750,000 thousand . |
Note 12 - Income Taxes
Note 12 - Income Taxes | 12 Months Ended |
Mar. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Tax Disclosure [Text Block] | 12. INCOME TAXES Income taxes imposed by the national, prefectural and municipal governments of Japan resulted in a normal statutory rate of approximately 38.3% for the years ended March 31, 2013 and 2014 and 35.9% for the year ended March 31, 2015. Income from operations before income tax expense and equity in net income of equity method investees and income tax expense for the years ended March 31, 2013, 2014 and 2015 consist of the following components: Thousands of Yen 2013 2014 2015 Income from operations before income tax Domestic ¥ 7,825,846 ¥ 6,406,153 ¥ 5,407,802 Foreign (68,982 ) (131,262 ) (268,810 ) Total ¥ 7,756,864 ¥ 6,274,891 ¥ 5,138,992 Income taxes ― Domestic ¥ 3,140,964 ¥ 2,453,549 ¥ 1,720,557 Foreign (6,254 ) 41,582 (34,922 ) Total ¥ 3,134,710 ¥ 2,495,131 ¥ 1,685,635 Income taxes ― Domestic ¥ (528,832 ) ¥ (729,822 ) ¥ 181,088 Foreign 1,704 29,996 30,142 Total ¥ (527,128 ) ¥ (699,826 ) ¥ 211,230 IIJ and domestic subsidiaries adopted the consolidated tax declaration in the fiscal year ended March 31, 2009. On March 20, 2014, amendments to Japanese tax regulations were enacted into law. As a result, the normal Japanese statutory rate was reduced from 38.3% to 35.9% from the fiscal year beginning April 1, 2014. On March 31, 2015, new amendments to Japanese tax regulations were enacted into law. As a result, the normal Japanese statutory rate will be reduced from 35.9% to 34.2% from the fiscal year beginning April 1, 2015. The effect of the changes in the tax rates on the balance of deferred tax assets and liabilities was an increase of income tax expense by ¥106,487 thousand and ¥51 , , The approximate effect of temporary differences and carryforwards giving rise to deferred tax balances at March 31, 2014 and 2015 were as follows: Thousands of Yen 2014 2015 Deferred Tax Assets Deferred Tax Liabilities Deferred Tax Assets Deferred Tax Liabilities Unrealized gains on available-for-sale securities - ¥ 847,033 - ¥ 832,426 Capital leases ¥ 106,807 - ¥ 141,255 - Accrued expenses 748,875 - 995,253 - Retirement and pension cost 816,558 - 960,151 - Allowance for doubtful accounts 48,885 - 58,760 - Depreciation - - 101,652 - Net loss on other investments 240,698 - 230,794 - Operating loss carryforwards 1,370,277 - 1,276,690 - Transactions in transit* - 86,953 - 106,631 Impairment loss on telephone rights 77,690 - 74,268 - Accrued enterprise tax 101,252 - 86,448 - Asset retirement obligation 184,325 - 194,553 - Deferred revenue 614,054 - 353,098 - Customer relationship - 1,505,159 - 1,299,335 Tax deduction of goodwill - 690,499 - 810,172 Excess of tax deductible goodwill over the reported amount of goodwill 316,818 - 88,769 - Trademark - 38,413 - 38,413 Investments in equity method investees - 233,550 - 241,210 Investments in funds 131,443 - 100,045 - Other 85,770 166,346 333,752 245,421 4,843,452 3,567,953 4,995,488 3,573,608 Valuation allowance (428,184 ) - (611,997 ) - Total ¥ 4,415,268 ¥ 3,567,953 ¥ 4,383,491 ¥ 3,573,608 *This item arises from transactions between IIJ and foreign subsidiaries, which were recorded in the different periods as a result of the difference in each company’s fiscal year-end. As of March 31, 2014 and 2015, the valuation allowance for deferred tax assets related principally to operating loss carryforwards, at amounts which are not considered more likely than not to be realized . , Undistributed earnings of foreign subsidiaries that are deemed to be permanently invested amounted to ¥369,731 thousand as of March 31, 2015. It is not practicable to calculate the unrecognized deferred tax liability on such undistributed earnings. As of March 31, 2015, certain subsidiaries had tax operating loss carryforwards as follows. Thousands of Yen Year Ending March 31 Enterprise Tax Subject to Consolidation Tax Filing Inhabitant Tax Subject to Consolidation Tax Filing Others 2016 - - - 2017 - - - 2018 - - ¥ 84 , 2019 - - 865,365 2020 and thereafter ¥ 586,329 ¥ 149,538 2,605,463 Total ¥ 586,329 ¥ 149,538 ¥ 3,555,307 “Others” were loss carryforwards of subsidiaries not subject to consolidation tax filing, which were composed of ¥1,586,120 thousand in Japan, ¥1,205,332 thousand in the United States of America, and ¥763,855 thousand in other countries. These loss carryforwards are available to offset future taxable income, and will expire in the period ending March 31, 2024 in Japan and December 31, 2033 in the United States of America. The loss carryforwards in other countries will expire in the period ending December 31, 2019 or have an indefinite carryforward period. A reconciliation between the amount of reported income taxes and the amount of income taxes computed using the normal statutory rate for each of the three years in the period ended March 31, 2015 is as follows: Thousands of Yen 2013 2014 2015 Amount computed by using normal Japanese statutory tax rate ¥ 2,970,879 ¥ 2,403,283 ¥ 1,844,898 Increase (decrease) in taxes resulting from: Expenses not deductible for tax purpose 89,012 102,634 76,258 Inhabitant tax—per capita 35,809 37,122 39,114 Change in valuation allowance (666,973 ) (957,182 ) 159,163 Tax effects on investments in equity method investees 168,061 65,489 19,650 Enterprise tax —not based on income 77,868 82,191 90,086 Tax rate change - 106,487 51,788 Tax credit - - (232,834 ) Tax refund by loss carryback - - (32,275 ) Other—net (67,074 ) (44,719 ) (118,983 ) Income tax expense as reported ¥ 2,607,582 ¥ 1,795,305 ¥ 1,896,865 There was no amount of unrecognized tax benefit for the year ended March 31, 2014 and 2015. The Company does not reasonably expect that the unrecognized tax benefit will change significantly within the next twelve months. The Company has open tax years subject to examination by major tax jurisdictions from the year ended March 31, 2013 in Japan and from the year ended December 31, 2006 in the United States of America. |
Note 13 - Retirement and Pensio
Note 13 - Retirement and Pension Plans | 12 Months Ended |
Mar. 31, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Pension and Other Postretirement Benefits Disclosure [Text Block] | 13. RETIREMENT AND PENSION PLANS IIJ and certain subsidiaries have unfunded severance benefit , The following information regarding net periodic pension cost and accrued pension cost also includes the unfunded severance benefit plans. Under the severance and defined benefit pension plans, all of IIJ and IIJ-Global’s employees are entitled, upon retirement with 20 years or more service, to a 10-year period of annuity payments from age 60 (or lump-sum severance indemnities) based on the rate of pay at the time of retirement, length of service and certain other factors. IIJ and IIJ-Global's employees who do not meet these conditions are entitled to lump-sum severance indemnities. Net periodic pension cost for the years ended March 31, 2013, 2014 and 2015 included the following components: Thousands of Yen 2013 2014 2015 Service cost ¥ 479,158 ¥ 542,584 ¥ 573,956 Interest cost 46,975 45,418 73,902 Expected return on plan assets (29,796 ) (48,303 ) (63,037 ) Amortization of transition obligation 369 369 369 Amortization of actuarial gain - - (2,782 ) Net periodic pension cost ¥ 496,706 ¥ 540,068 ¥ 582,408 Other changes in plan assets and benefit obligations recognized in other comprehensive income for the years ended March 31, 2013, 2014 and 2015 are as follows: Thousands of Yen 2013 2014 2015 Net actuarial loss (gain) ¥ 92,808 ¥ (63,775 ) ¥ 127,065 Amortization of transition obligation in net periodic pension cost (369 ) (369 ) (369 ) Amortization of actuarial gain - - 2,782 Amounts recognized in other comprehensive income ¥ 92,439 ¥ (64,144 ) ¥ 129,478 Total net periodic pension cost and amounts recognized in other comprehensive income ¥ 589,145 ¥ 475,924 ¥ 711,886 The change in benefit obligation and plan assets for the years ended March 31, 2014 and 2015 and the amounts recognized in the consolidated balance sheets as of March 31, 2014 and 2015 are as follows: Thousands of Yen 2014 2015 Change in benefit obligation: Benefit obligation at beginning of year ¥ 3,855,332 ¥ 4,426,598 Service cost 542,584 573,956 Interest cost 45,418 73,902 Actuarial loss 17,098 283,860 Benefit paid (33,834 ) (73,223 ) Benefit obligation at end of year 4,426,598 5,285,093 Change in plan assets: Fair value of plan assets at beginning of year 2,012,611 2,424,499 Actual return on plan assets 129,176 219,832 Employer contribution 296,631 322,826 Benefits paid (13,919 ) (36,847 ) Fair value of plan assets at end of year 2,424,499 2,930,310 Funded status at end of year ¥ (2,002,099 ) ¥ (2,354,783 ) Amounts recognized in the consolidated balance sheets as of March 31, 2014 and 2015 consist of: Thousands of Yen 2014 2015 Accrued retirement and pension costs ― ¥ (2,002,099 ) ¥ (2,354,783 ) Net amount recognized ¥ (2,002,099 ) ¥ (2,354,783 ) The accumulated benefit obligation for the Company’s defined benefit pension plans as of March 31, 2014 and 2015 was ¥2,765,988 thousand and ¥3,323,739 thousand, respectively. The aggregate projected benefit obligation and aggregate fair value of plan assets for plans with projected benefit obligations in excess of plan assets were ¥4,426,598 thousand and ¥2,424,499 thousand at March 31, 2014 and ¥5,285,093 thousand and ¥2,930,310 thousand at March 31, 2015, respectively. The aggregate accumulated benefit obligations of plans with no plan assets were ¥79,449 thousand and ¥90,851 thousand at March 31, 2014 and 2015, respectively. Amounts recognized in accumulated other comprehensive income at March 31, 2014 and 2015 consist of: Thousands of Yen 2014 2015 Net actuarial loss ¥ 241,275 ¥ 371,122 Obligation at transition 734 365 Total ¥ 242,009 ¥ 371,487 The unrecognized net loss and the unrecognized net obligation at the date of initial application are being amortized over 14 years and 21 years, respectively. The estimated net actuarial gain and obligation at transition for the defined benefit pension plans that will be amortized from accumulated other comprehensive income into net periodic pension cost in the fiscal year ending March 31, 2016 are ¥2,972 and ¥365 thousand, respectively. Actuarial assumptions as of March 31 were as follows: Benefit Obligations Net Periodic Costs 2014 2015 2013 2014 2015 Discount rate 1.7 % 1.3 % 1.5 % 1.2 % 1.7 % Expected long-term rate of return on plan assets 1.8 2.4 2.6 Rate of increase in compensation 3.2 3.2 3.3 3.3 3.2 The Company sets the discount rate assumption annually at March 31 based on high-quality fixed income securities reflecting the estimated timing of benefit payments. The basis for determining the long-term rate of returns is a combination of historical returns and prospective return assumptions derived from pension trust funds’ managing company. The following benefit payments, which reflect expected future service, as appropriate, are expected to be paid. Years Ending March 31 Thousands of Yen 2016 ¥ 74,423 2017 96,280 2018 122,307 2019 133,473 2020 152,318 2021 - 1,428,531 Total ¥ 2,007,332 The Company expects to contribute ¥322,826 thousand to its defined benefit pension plan in the year ending March 31, 2016. The Company’s defined contribution plan, which was established on April 1, 2009, covers substantially all its employees. The Company contributes to the plan on a monthly basis 1.6% of its employees’ base salaries to the plan. No employee contributions to the plan are allowed. Contributions to the plan were ¥114,450 thousand, ¥125,195 thousand and ¥134,591 The Company's funding policies with respect to the noncontributory plan are generally to contribute amounts considered tax deductible under applicable income tax regulations. Plan assets including life insurance pooled investment portfolios consist of Japanese government bonds, other debt securities and marketable equity securities. Life insurance pooled investment portfolios are managed by an insurance company and guarantee a minimum rate of return. The Company’s investment strategy for the plan assets is to manage the assets in order to pay retirement benefits to plan participants from the Company over the life of the plans. This is accomplished by identifying and managing the exposure to various market risks, diversifying investments in various asset classes based on portfolio determined by the insurance company in order to maximize long-term rate of return, while considering the liquidity needs of the plans. The plan is permitted to use derivative instruments only for the purpose of hedging. Both margin trading and real-estate investment are prohibited in principle. The Company mitigates the credit risk of investments by establishing guidelines with the insurance company. These guidelines are monitored periodically by the Company for compliance. The projected allocation of the plan assets managed by the insurance company is developed in consideration of the expected long-term investment returns for each category of the plan assets. Approximately 63.0%, 35.0%, and 2.0% of the plan assets excluding pooled investment portfolios will be allocated to debt securities, equity securities and other financial instruments, respectively, to moderate the level of volatility in pension plan asset returns and reduce risks. 50% of the employer’s contribution to the plan during the year ending March 31, 2016 will be allocated to life insurance pooled investment portfolios and other 50% will be allocated to the aforementioned investments. The following table summarizes the basis used to measure the Company’s pension plan assets at fair value: Level 1 — Inputs are quoted prices in active markets for identical assets or liabilities. Level 2 — Inputs are quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable, and inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 3 — Inputs are derived from valuation techniques in which one or more significant inputs or value drivers are unobservable, which reflect the reporting entity’s own assumptions about the assumptions that market participants would use in establishing a price. Basis of Fair Value Measurement of Thousands of Yen Pension Plan Assets at March 31, 2014 Level 1 Level 2 Level 3 Total Equity securities: Japanese equity ¥ 348,758 - - ¥ 348,758 U.S. equity 89,304 - - 89,304 Other equity ― developed countries 61,498 - - 61,498 Total equity securities 499,560 - - 499,560 Debt securities: Japanese government and municipalities - ¥ 486,308 - 486,308 Japanese corporate bonds ― investment grade - 164,037 - 164,037 U.S. government - 65,339 - 65,339 Other government ― developed countries - 151,824 - 151,824 Residential mortgage-backed - 19,337 - 19,337 Total debt securities - 886,845 - 886,845 Other financial instruments* - 950,011 - 950,011 Cash 88,083 - - 88,083 Total assets at fair value ¥ 587,643 ¥ 1,836,856 - ¥ 2,424,499 Basis of Fair Value Measurement of Thousands of Yen Pension Plan Assets at March 31, 2015 Level 1 Level 2 Level 3 Total Equity securities: Japanese equity ¥ 417,833 - - ¥ 417,833 U.S. equity 124,670 - - 124,670 Other equity ― developed countries 78,027 - - 78,027 Total equity securities 620,530 - - 620,530 Debt securities: Japanese government and municipalities - ¥ 495,637 - 495,637 Japanese corporate bonds ― investment grade - 256,954 - 256,954 U.S. government - 110,851 - 110,851 Other government ― developed countries - 152,927 - 152,927 Residential mortgage-backed - 19,256 - 19,256 Total debt securities - 1,035,625 - 1,035,625 Other financial instruments* - 1,109,010 - 1,109,010 Cash 165,145 - - 165,145 Total assets at fair value ¥ 785,675 ¥ 2,144,635 - ¥ 2,930,310 * Other financial instruments are life insurance pooled investment portfolios. Pension plan assets classified as Level 1 are comprised principally of equity securities, which are valued using an unadjusted quoted market price in active markets with sufficient volume and frequency of transactions . Pension plan assets classified as Level 2 are comprised principally of government bonds, corporate bonds and life insurance pooled investment portfolios which are valued based on quoted prices obtained from a well-established third-party. The bonds are traded in less active markets and the fair values are based on the price a dealer would pay for the bonds. IIJ and a certain subsidiary participated in a contributory multi-employer pension plan, the Japan Computer Information Service Employee's Pension Fund (the "Multi-Employer Plan"), which covered substantially all of their employees. As stipulated by the Japanese Welfare Pension Insurance Law, the Multi-Employer Plan is composed of a substitutional portion of Japanese Pension Insurance and a multi-employers' portion of a contributory defined benefit pension plan. The benefits for the substitutional portion are based on a standard remuneration schedule under the Welfare Pension Insurance Law and the length of participation. The multi-employer portion of the benefits is based on the employee's length of service. However, assets contributed by an employer including IIJ are not segregated in a separate account or restricted to provide benefits only to employees of that employer. The net pension cost under the Multi - Contributions due and paid during the years ended March 31, 2013, 2014 and 2015 under the Multi-Employer Plan, including its substitutional portion, amounted to ¥244,666 ¥293,132 thousand, respectively . The plan is not subject to a funding improvement and is more than 80% funded as of March 31, 2014. The total plan assets are ¥732,357,752 The amount of retirement benefits for retiring directors and company auditors must be approved by the shareholders. IIJ has a retirement plan for full-time company auditors. The Company recorded a liability for retirement benefit for company auditors of ¥3,520 thousand and ¥5,530 thousand, which would be required if they were all to retire at March 31, 2014 and 2015, respectively. IIJ had a retirement benefit plan for full-time directors, which was abolished in June 2011. The allowance for retirement benefit amounted to ¥255,330 thousand in consideration of their services made up to the date of abolition of the plan, and this amount will be reserved until each director’s retirement date. IIJ’s subsidiary also has a retirement benefit plan for full-time directors. The Company recorded a liability for retirement benefit for full-time directors of ¥268,921 thousand and ¥430,638 thousand, which would be required if they were all to retire at March 31, 2014 and 2015, respectively. The retirement benefits paid to retired company auditor was ¥2,010 thousand for the year ended March 31, 2014 . |
Note 14 - Shareholders' Equity
Note 14 - Shareholders' Equity | 12 Months Ended |
Mar. 31, 2015 | |
Stockholders' Equity Note [Abstract] | |
Stockholders' Equity Note Disclosure [Text Block] | 14 . SHAREHOLDERS' EQUITY Japanese companies are subject to the Companies Act of Japan (the “Companies Act”). The significant provisions in the Companies Act that affect financial and accounting matters are summarized below: Dividends Under the Companies Act, companies can pay dividends at any time during the fiscal year in addition to the year-end dividend upon resolution at the shareholders meeting. For companies that meet certain criteria such as: (1) having a Board of Directors, (2) having independent auditors, (3) having a Board of Company Auditors, and (4) the term of service of the directors is prescribed as one year rather than two years of normal term by its articles of incorporation, the Board of Directors may declare dividends (except for dividends in kind) at any time during the fiscal year if the company has prescribed so in its articles of incorporation. However, the Company cannot do so because it does not meet criteria (4) above. The Companies Act permits companies to distribute dividends-in-kind (non-cash assets) to shareholders subject to a certain limitation and additional requirements. Semiannual interim dividends may also be paid once a year upon resolution by the Board of Directors if the articles of incorporation of the company so stipulate. The Companies Act provides certain limitations on the amounts available for dividends or the purchase of treasury stock. The limitation is defined as the amount available for distribution to the shareholders, but the amount of net assets after dividends must be maintained at no less than ¥3 million. At the 14 th Companies Act Increases / decreases and transfer of common stock, reserve and surplus The Companies Act requires that an amount equal to 10% of dividends must be appropriated as legal reserve (a component of retained earnings) or as additional paid-in capital (a component of capital surplus) depending on the equity account charged upon the payment of such dividends until the total of aggregate amount of legal reserve and additional paid-in capital equals 25% of common stock. Under the Companies Act, the total amount of additional paid-in capital and legal reserve may be reversed without limitation. The Companies Act also provides that common stock, legal reserve, additional paid-in capital, and other capital surplus and retained earnings can be transferred among the accounts under certain conditions upon resolution of shareholders . Treasury stock and treasury stock acquisition rights The Companies Act also provides for companies to purchase treasury stock and dispose of such treasury stock by resolution of the Board of Directors . The Companies Act also provides that companies can purchase both treasury stock acquisition rights and treasury stock. The amount of retained earnings available for dividends under the Companies Act is based on the amount of retained earnings recorded in IIJ’s general books of account prepared using accepted Japanese accounting practices. The adjustments included in the accompanying consolidated financial statements for U.S. GAAP purposes but not recorded in the general books of account have no effect on the determination of retained earnings available for dividends under the Companies Act. Retained earnings shown in IIJ’s general books of account amounted to ¥23,022,416 thousand at March 31, 2015. On June 27, 2012, IIJ’s shareholders approved the payment of a cash dividend to shareholders of record at March 31, 2012 of ¥8.75 per share or in the aggregate amount of ¥354,697 thousand. On November 8, 2012, the Board of Directors of IIJ resolved the payment of a cash dividend to shareholders of record at September 30, 2012 of ¥8.75 per share or in the aggregate amount of ¥354,697 thousand. The forementioned cash dividends per share were retroactively adjusted to reflect a 1:200 stock split conducted on October 1, 2012. In July 2013, IIJ completed a public offering of 4,700,000 new shares of common stock by a firm- commitment underwriting at an issue price of ¥3,346 (an amount paid of ¥3,208) per share on the Tokyo Stock Exchange. In August 2013, IIJ issued 700,000 new shares of common stock by way of Third-Party Allotment at an amount paid of ¥3,208 per share. Stock issuance costs of ¥51,996 thousand (net of tax) were deducted from additional paid-in-capital. The total of net proceeds to IIJ from the public offering and the third-party allotment, after deducting stock issuance costs, were ¥17,271,204 thousand. On June 26, 2013, IIJ’s shareholders approved the payment of a cash dividend to shareholders of record at March 31, 2013 of ¥10 per share or in the aggregate amount of ¥405,368 thousand. On November 8, 2013, the Board of Directors of IIJ resolved the payment of a cash dividend to shareholders of record at September 30, 2013 of ¥11 per share or in the aggregate amount of ¥505,329 thousand. On June 25, 2014, IIJ’s shareholders approved the payment of a cash dividend to shareholders of record at March 31, 2014 of ¥11 per share or in the aggregate amount of ¥505,330 thousand. On November 7, 2014, the Board of Directors of IIJ resolved the payment of a cash dividend to shareholders of record at September 30, 2014 of ¥11 per share or in the aggregate amount of ¥505,365 thousand. Stock Option Plans On May 26, 2011, IIJ’s board of directors resolved to introduce stock compensation - . The stock acquisition rights become exercisable after a service period of one year and are exercisable up to 29 years from the date of vesting. The stock acquisition rights may be exercised only within 10 days from the day immediately following the day on which the person loses his or her position as either a director or an executive officer. On July 13, 2012, IIJ granted 130 stock options to directors and executive officers. The fair value per option at the date of grant was ¥318,562. On July 11, 2013, IIJ granted 89 stock options which were the same type of options granted in 2012 to directors and executive officers. The fair value per option at the date of grant was ¥647,000. On July 10, 2014, IIJ granted 128 stock options which were the same type of options granted in 2013 to directors and executive officers. The fair value per option at the date of grant was ¥422,600. The fair value of stock acquisition rights used to recognize compensation expense for the fiscal years ended March 31, 2013, 2014 and 2015 were estimated using the Black-Scholes option-pricing model with the following assumptions: 2013 2014 2015 Assumptions: Risk-free interest rate 1.298 % 1.314 % 0.980 % Expected lives (years) 15 15 15 Expected volatility 57.020 % 55.861 % 55.217 % Expected dividends 0. % 0. % 0.909 % A summary of the activities for the stock acquisition rights plan for the years ended March 31, 2014 and 2015 is as follows: Yen Years Thousands of Yen Number of Options Number of Shares Exercise Price Remaining Life Total Intrinsic Value Unexercised options outstanding—March 31, 2013 268 53,600 ¥ 1 Granted 89 17,800 1 Exercised (11 ) (2,200 ) 1 Forfeited or expired - - - Unexercised options outstanding—March 31, 2014 346 69,200 1 Granted 128 25,600 1 Exercised (16 ) (3,200 ) 1 Forfeited or expired - - - Unexercised options outstanding—March 31, 2015 458 91,600 1 Exercisable options—March 31, 2015 330 66,000 1 27.31 ¥ 130,254 Expected to vest after July 11, 2015 128 25,600 1 29.30 50,523 *Due to the effect of the stock split conducted on October 1, 2012, grantees of options can purchase 200 shares by exercising one option. The Company recognized stock compensation cost on a straight-line basis over the requisite service period. The Company recognized ¥40,007 thousand, ¥53,542 thousand and ¥54,965 thousand as stock compensation cost for the fiscal years ended March 31, 2013, 2014 and 2015, respectively. The unrecognized expense of ¥13,523 thousand is expected to be recognized over next 3 months. IIJ absorbed IIJ-Exlayer on January 1, 2014 with the allotment of 104 shares of IIJ’s treasury stock to the shareholders of IIJ-Exlayer. Net income attributable to IIJ’s shareholders and transfers from the noncontrolling interests The following schedule represents the effects of changes in IIJ’s ownership interest in its subsidiaries in the Company’s shareholder’s equity for the years ended March 31, 2013, 2014 and 2015. Thousands of Yen 2013 2014 2015 Net income attributable to IIJ ¥ 5,300,654 ¥ 4,442,237 ¥ 3,322,081 Transfers from the noncontrolling interests Increase in additional paid-in capital for acquisition of noncontrolling interest of IIJ-Exlayer - 99 - Net transfers from noncontrolling interest - 99 - Change from net income attributable to IIJ and transfers from noncontrolling interests ¥ 5,300,654 ¥ 4,442,336 ¥ 3,322,081 |
Note 15 - Other Comprehensive I
Note 15 - Other Comprehensive Income (Loss) | 12 Months Ended |
Mar. 31, 2015 | |
Disclosure Text Block [Abstract] | |
Comprehensive Income (Loss) Note [Text Block] | 15. OTHER COMPREHENSIVE INCOME (LOSS) Tax effects allocated to each component of other comprehensive income (loss) and reclassification adjustments for the years ended March 31, 2013, 2014 and 2015 are as follows: Thousands of Yen Before Tax Amount Tax (Expense) Benefit Net of Tax Amount Year ended March 31, 2013: Foreign currency translation adjustments ¥ 90,014 - ¥ 90,014 Unrealized holding gain (loss) on securities: Amount arising during the period 380,637 ¥ (136,649 ) 243,988 Less: Reclassification adjustments for losses included in net income 19,788 (7,579 ) 12,209 Other - 324 324 Net unrealized holding gain (loss) during the period 400,425 (143,904 ) 256,521 Defined benefit pension plans: Amount arising during the period (92,808 ) 33,319 (59,489 ) Less: Reclassification adjustments for losses included in net income 369 (132 ) 237 Net defined benefit pension plans (92,439 ) 33,187 (59,252 ) Other comprehensive income (loss) ¥ 398,000 ¥ (110,717 ) ¥ 287,283 Year ended March 31, 2014: Foreign currency translation adjustments ¥ 419,557 - ¥ 419,557 Unrealized holding gain (loss) on securities: Amount arising during the period 1,656,759 ¥ (594,776 ) 1,061,983 Less: Reclassification adjustments for gains included in net income (107,655 ) 41,232 (66,423 ) Other - (7,421 ) (7,421 ) Net unrealized holding gain (loss) during the period 1,549,104 (560,965 ) 988,139 Defined benefit pension plans: Amount arising during the period 63,775 (22,896 ) 40,879 Less: Reclassification adjustments for losses included in net income 369 (133 ) 236 Net defined benefit pension plans 64,144 (23,029 ) 41,115 Other comprehensive income (loss) ¥ 2,032,805 ¥ (583,994 ) ¥ 1,448,811 Thousands of Yen Before Tax Amount Tax (Expense) Benefit Net of Tax Amount Year ended March 31, 2015: Foreign currency translation adjustments ¥ 243,538 - ¥ 243,538 Unrealized holding gain (loss) on securities: Amount arising during the period 124,370 ¥ (44,649 ) 79,721 Less: Reclassification adjustments for gains included in net income (35,934 ) 12,900 (23,034 ) Other - 4,903 4,903 Net unrealized holding gain (loss) during the period 88,436 (26,846 ) 61,590 Defined benefit pension plans: Amount arising during the period (127,065 ) 45,616 (81,449 ) Less: Reclassification adjustments for gains included in net income (2,413 ) 862 (1,551 ) Net defined benefit pension plans (129,478 ) 46,478 (83,000 ) Other comprehensive income ¥ 202,496 ¥ 19,632 ¥ 222,128 The changes in accumulated other comprehensive income (loss) by component for the years ended March 31, 2014 and 2015 are as follows: Thousands of Yen Unrealized holding gain on securities Defined benefit pension plans Foreign currency translation adjustments Total Year ended March 31, 2013: ¥ 495,217 ¥ (187,318 ) ¥ (44,129 ) ¥ 263,770 Other comprehensive income before reclassifications 1,054,562 40,879 419,701 1,515,142 Amounts reclassified out of accumulated other comprehensive income (66,423 ) 236 - (66,187 ) Other comprehensive income 988,139 41,115 419,701 1,448,955 Other - - 61 61 Year ended March 31, 2014: ¥ 1,483,356 ¥ (146,203 ) ¥ 375,633 ¥ 1,712,786 Thousands of Yen Unrealized holding gain on securities Defined benefit pension plans Foreign currency translation adjustments Total Year ended March 31, 2014: ¥ 1,483,356 ¥ (146,203 ) ¥ 375,633 ¥ 1,712,786 Other comprehensive income (loss) before reclassifications 84,624 (81,449 ) 247,273 250,448 Amounts reclassified out of accumulated other comprehensive income (23,034 ) (1,551 ) - (24,585 ) Other comprehensive income (loss) 61,590 (83,000 ) 247,273 225,863 Year ended March 31, 2015: ¥ 1,544,946 ¥ (229,203 ) ¥ 622,906 ¥ 1,938,649 The amounts reclassified from accumulated other comprehensive income (loss) to the consolidated statements of income, with presentation location, for the years ended March 31, 2014 and 2015, are as follows: Thousands of Yen 2014 2015 Location Other comprehensive income (loss) components: Unrealized holding gain on securities ¥ 107,655 ¥ 35,934 Net gain on sales of other investments (41,232 ) (12,900 ) Income tax expense 66,423 23,034 Net income Defined benefit pension plans (369 ) 2,413 Net periodic pension costs (Note 13) 133 (862 ) Income tax expense (236 ) 1,551 Net income Total amount reclassified ¥ 66,187 ¥ 24,585 |
Note 16 - Basic and Diluted Net
Note 16 - Basic and Diluted Net Income Per Common Share | 12 Months Ended |
Mar. 31, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | 16. Basic and diluted net income attributable to Internet Initiative Japan Inc. per common share for the three years ended March 31, 2013, 2014 and 2015 is as follows: Thousands of Yen 2013 2014 2015 Numerator: Net income attributable to Internet Initiative Japan Inc. ― ¥ 5,300,654 ¥ 4,442,237 ¥ 3,322,081 Number of Shares 2013 2014 2015 Denominator: Weighted-average common shares outstanding ― 40,536,800 44,306,680 45,942,291 Dilutive effect of stock options 35,800 54,403 72,446 Weighted-average common shares outstanding ― 40,572,600 44,361,083 46,014,737 Yen 2013 2014 2015 Basic net income attributable to Internet Initiative Japan Inc. per common share ¥ 130.76 ¥ 100.26 ¥ 72.31 Diluted net income attributable to Internet Initiative Japan Inc. per common share ¥ 130.65 ¥ 100.14 ¥ 72.20 Note: Figures shown above are retroactively adjusted to reflect a 1:200 stock split conducted on October 1, 2012. |
Note 17 - Commitments And Conti
Note 17 - Commitments And Contingent Liabilities | 12 Months Ended |
Mar. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies Disclosure [Text Block] | 17. COMMITMENTS AND CONTINGENT LIABILITIES The Company is involved in litigation and claims arising in the ordinary course of business. In evaluating the matter on an ongoing basis, the Company takes into account amounts already accrued on the balance sheet. The Company believes that an exposure to loss does not exist in excess of the amount accrued and the negative adverse outcome of such litigation and claims would not have a significant impact on the consolidated financial position or results of operations. On September 1, 2010, IIJ-Global entered into a Solutions Engagement Agreement with IBM Japan Ltd, IIJ-Global’s largest sales partner. This agreement, which establishes the basis for a procurement relationship between IIJ-Global and IBM Japan, contains indemnification for IIJ-Global to perform services, functions, responsibilities and others in a way that were being performed by AT&T Japan. In May 2006, January 2007, January 2008 and January 2015, IIJ made agreements (four agreements in total) for investing in funds which invest in mainly unlisted stocks with an investment advisory company. IIJ committed to provide up to $5,000 thousand for each fund ($20,000 thousand in total) upon the request of the fund until January 31, 2027. IIJ has provided a total of $13,342 thousand to them as of March 31, 2015. The amounts invested in their funds were recorded as other investments in the Company’s consolidated balance sheets. In April 2013, IIJ made an agreement for investing in a corporation reconstruction fund with an investment advisory company. IIJ committed to provide up to ¥100,000 thousand upon the request of the fund until April 23, 2018. IIJ has provided a total of ¥41,254 thousand to the fund as of March 31, 2015. The amounts invested in the fund were recorded as other investments in the Company’s consolidated balance sheets. |
Note 18 - Financial Instruments
Note 18 - Financial Instruments | 12 Months Ended |
Mar. 31, 2015 | |
Disclosure Text Block Supplement [Abstract] | |
Financial Instruments Disclosure [Text Block] | 18 . Fair Value— Thousands of Yen 2014 2015 Carrying Amount Fair Value Carrying Amount Fair Value Other investments for which it is: Practicable to estimate fair value ¥ 3,751,011 ¥ 3,751,011 ¥ 4,314,481 ¥ 4,314,481 Not practicable 2,604,806 - 2,346,225 - Noncurrent refundable insurance policies (other assets) 63,062 63,062 110,894 110,894 Cash and cash equivalents were classified as Level 1 instruments and short-term and long-term borrowings were classified as Level 2 instruments. Other investments for which it is practicable to estimate fair value are available-for-sales equity and debt securities disclosed in Note 4 . Other investments for which it is not practicable to estimate fair value were comprised of non-marketable equity securities of ¥1,379,623 thousand and investments in funds of ¥1,225,183 thousand as of March 31, 2014 and non-marketable equity securities of ¥853,629 thousand and investments in funds of ¥1,492,596 thousand as of March 31, 2015. |
Note 19 - Fair Value Measuremen
Note 19 - Fair Value Measurements | 12 Months Ended |
Mar. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures [Text Block] | 19. FAIR VALUE MEASUREMENTS ASC 820, “Fair Value Measurement” defines fair value as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants at the measurement date. ASC 820 establishes a three-level fair value hierarchy that prioritizes the inputs used to measure fair value as follows: Level 1 — Inputs are quoted prices in active markets for identical assets or liabilities. Level 2 — Inputs are quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable, and inputs that are derived principally from or corroborated by observable market data by correlation or other means. Level 3 — Inputs are derived from valuation techniques in which one or more significant inputs or value drivers are unobservable, which reflect the reporting entity’s own assumptions about the assumptions that market participants would use in establishing a price. There were no transfers between Level 1 and Level 2 for the years ended March 31, 2014 and 2015. Assets Measured at Fair Value on a Recurring Basis The following table presents the Company’s assets that are measured at fair value on a recurring basis at March 31, 2014 and 2015, respectively, consistent with the fair value hierarchy provisions of ASC 820. Thousands of Yen Total March 31, 2014 Level 1 Level 2 Level 3 2014 Assets— Available - equity securities ¥ 3,751,011 - - ¥ 3,751,011 Total assets ¥ 3,751,011 - - ¥ 3,751,011 Thousands of Yen Total March 31, 2015 Level 1 Level 2 Level 3 2015 Assets— Available - equity securities ¥ 4,212,571 - - ¥ 4,212,571 Available - debt securities - ¥ 101,910 - 101,910 Total assets ¥ 4,212,571 ¥ 101,910 - ¥ 4,314,481 Available - Assets Measured at Fair Value on a Nonrecurring Basis Thousands of Yen March 31, 2015 Level 1 Level 2 Level 3 Impairment Loss Assets: Non-marketable securities— equity securities - - ¥ 2,435 ¥ 29,117 - - ¥ 2,435 ¥ 29,117 Non-marketable equity securities with a carrying amount of ¥31,552 thousand, which was included in other investments in the balance sheets, were written down to the fair value of ¥2,435 thousand, resulting in an other-than-temporary impairment charge of ¥29,117 thousand, which was included in the Company’s state of income for the year ended March 31, 2015. An impaired non-marketable investment was classified as Level 3 instruments and the Company used unobservable inputs to value these investments. The fair value was determined as a result of considering various unobservable inputs, including expectation of future income of the investees, net asset value of the investees, and material unrealized losses to be considered in assets and liabilities held by the investees. |
Note 20 - Business Segments
Note 20 - Business Segments | 12 Months Ended |
Mar. 31, 2015 | |
Segment Reporting [Abstract] | |
Segment Reporting Disclosure [Text Block] | 20. BUSINESS SEGMENTS The operating segments reported below are those for which segment-specific financial information is available. Accounting policies used to determine segment profit or loss and segment assets are consistent with those used to prepare the consolidated financial statements in accordance with U.S. GAAP. The Company’s management uses this financial information to make decisions on the allocation of resources and to evaluate business performance. The Network service and systems integration business segment comprises revenues from network services, systems integration and equipment sales. The ATM operation business segment comprises revenues from the ATM operation business. Revenues: Thousands of Yen 2013 2014 2015 Network service and systems integration business: Customers ¥ 103,928,400 ¥ 111,445,519 ¥ 119,409,987 Intersegment 558,753 455,975 408,567 Total 104,487,153 111,901,494 119,818,554 ATM operation business: Customers 2,320,086 2,826,832 3,640,128 Intersegment - - - Total 2,320,086 2,826,832 3,640,128 Elimination (558,753 ) (455,975 ) (408,567 ) Consolidated total ¥ 106,248,486 ¥ 114,272,351 ¥ 123,050,115 Segment Profit or Loss: Thousands of Yen 2013 2014 2015 Operating income: Network service and systems integration business ¥ 7,629,435 ¥ 5,274,753 ¥ 4,334,946 ATM operation business 239,035 578,794 886,340 Elimination (115,828 ) (130,235 ) (146,048 ) Consolidated total ¥ 7,752,642 ¥ 5,723,312 ¥ 5,075,238 Segment Assets: Thousands of Yen 2014 2015 Segment assets: Network service and systems integration business ¥ 100,860,325 ¥ 105,160,187 ATM operation business 3,006,250 3,545,128 Elimination - - Consolidated total ¥ 103,866,575 ¥ 108,705,315 Other significant items: Thousands of Yen 2013 2014 2015 Depreciation and amortization: Network service and systems integration business ¥ 7,178,397 ¥ 8,405,080 ¥ 9,139,687 ATM operation business 329,411 417,901 537,652 Consolidated total ¥ 7,507,808 ¥ 8,822,981 ¥ 9,677,339 For information regarding the goodwill and the other impairment losses on intangible assets, see Note 8, “Goodwill and Other intangible assets.” Transfers between reportable businesses are made at market-based prices. Operating income is operating revenue less costs and operating expenses. Substantially all revenues are from customers operating in Japan. Geographic information is not presented due to immateriality of revenue attributable to international operations. Revenue from IBM Japan, Ltd., related to the Network service and system integration business segment represents ¥13,456,203 thousand and ¥13,125,454 thousand for the years ended March 31, 2013 and 2014, respectively, of the Company’s revenue. |
Note 21 - Advertising Expenses
Note 21 - Advertising Expenses | 12 Months Ended |
Mar. 31, 2015 | |
Other Income and Expenses [Abstract] | |
Other Income and Other Expense Disclosure [Text Block] | 21 . advertisements in magazines, journals and newspapers and amounted to ¥671,260 , ¥656,890 thousand and ¥574,118 thousand, respectively. |
Note 22 - Related Party Transac
Note 22 - Related Party Transactions | 12 Months Ended |
Mar. 31, 2015 | |
Related Party Transactions [Abstract] | |
Related Party Transactions Disclosure [Text Block] | 22 . RELATED PARTY TRANSACTIONS NTT and its subsidiaries own 26.0% of IIJ's outstanding common shares and 26.4% of IIJ's voting shares as of March 31, 2015 . The Company entered into a number of different types of transactions with NTT and its subsidiaries including purchases of wireline telecommunication services for the Company’s offices. For the Company’s connectivity and outsourcing services, the Company purchases international and domestic backbone services, local access lines and rental rack space in data centers and mobile data communication services from NTT and its subsidiaries. The Company sells to NTT and its subsidiaries its services including OEM services, system integration services and monitoring services for their data centers. The amounts of balances as of March 31, 2014 and 2015 and transactions of the Company with NTT and its subsidiaries for the each of the three years in the period ended March 31, 2015, are summarized as follows: Thousands of Yen 2013 2014 2015 Accounts receivable - ¥ 446,857 ¥ 463,613 Accounts payable - 1,822,997 2,535,234 Revenues ¥ 880,079 2,370,954 2,898,040 Costs 14,966,177 15,579,173 16,706,036 As for balances and transactions with equity method investees, refer to Note 6, “Investments in Equity Method Investees.” |
Note 23 - Subsequent Events
Note 23 - Subsequent Events | 12 Months Ended |
Mar. 31, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | 23. SUBSEQUENT EVENTS On June 26, 2015, IIJ’s shareholders approved the payment of a cash dividend to shareholders of record at March 31, 2015 of ¥11 per share or ¥505,365 thousand in the aggregate. |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 12 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
Basis of Accounting, Policy [Policy Text Block] | Basis of Presentation— |
Reclassification, Policy [Policy Text Block] | Reclassification— Certain reclassifications have been made to prior periods to conform to the current year presentations: (1) “Gain on sales of property and equipment , , |
Consolidation, Policy [Policy Text Block] | Consolidation— The consolidated financial statements include the accounts of IIJ and all of its subsidiaries, IIJ Engineering Inc. ("IIJ-EG," which was renamed from Net Care, Inc), IIJ America, Inc. ("IIJ - - Intercompany transactions and balances have been eliminated in consolidation. Investments in companies over which IIJ has significant influence but not control are accounted for by the equity method. For other than a temporary decline in the value of investments in equity method investees below the carrying amount, the investment is reduced to fair value and an impairment loss is recognized. A subsidiary or equity method investee may issue its shares to third parties at amounts per share in excess of or less than the Company’s average per share carrying value. Changes in a parent’s ownership interest while the parent retains its controlling financial interest in its subsidiary are accounted for as equity transactions. |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates— |
Revenue Recognition, Policy [Policy Text Block] | Revenue Recognition— System integration revenue involves the following deliverables: ● System construction services ― include all or some of the following elements depending on arrangements to meet each of our customer's requirements: consulting, project planning, system design, and development of network systems. These services also include the installation of software as well as configuration and installation of hardware. ● Software ― we resell third-party software such as Oracle and Windows to our customers, which are installed by us during the system development process. ● Hardware ― we also resell third-party hardware, primarily servers, switches and routers, which we install during the system development process. The hardware is generic hardware that is often sold by third party manufacturers and resellers. ● Monitoring and operating service ― we monitor our customer's network activity and internet connectivity to detect and report problems. We also provide constant data backup services. ● Hardware and software maintenance service ― we repair or replace any malfunctioning parts of hardware. We examine software faults and provide suitable solutions to customers. The system construction services are generally delivered over a three - software are delivered and installed during this period. Customers are required to pay a specified fixed fee that is not payable until after the system construction has been completed and accepted by our customers. Monitoring, operating , customers have accepted the systems, and contract periods are generally from one to five years. Our contracts include a stated annual fee for these services. For multiple-element arrangements that include system construction service, hardware, software essential to the hardware product’s functionality and undelivered non-software services (e.g., monitoring and operating services), the Company allocates revenue to all deliverables based on their relative selling prices. The Company uses a hierarchy to determine the selling price to be used for allocating revenue to deliverables: (i) vendor-specific objective evidence of fair value (“VSOE”), (ii) third-party evidence of selling price (“TPE”) and (iii) best estimate of the selling price (“ESP”). The allocation of revenue is based mainly on the Company’s ESPs except for certain undelivered non-software services for which VSOE has been established. The Company’s process for determining its ESP for deliverables includes various factors that may vary depending on the circumstances and specific characteristics related to each deliverable. In developing the ESP , The method used to account for each unit and the period over which each unit of accounting is recognized are as follows: ● Revenue allocated to system construction services is accounted for using contract accounting. System construction service revenues, which are generally completed within three months, are recognized based on the completed-contract method in compliance with ASC 605-35-25-92 because the Company is unable to bill customers and the title to the constructed network system is not transferred to the customers unless they are satisfied with and accept the completed systems. ● Revenue related to the hardware and software essential to the hardware product’s functionality is not recognized until customer acceptance is received because title to the hardware and software do not transfer to our customers until formal acceptance is received. ● Revenue related to undelivered non-software services (monitoring, operating and hardware maintenance services) is recognized on a straight - The Company also enters into multiple-element arrangements for system integration services that include software not essential to the hardware product’s functionality and software-related services and account for them in accordance with ASC 985-605, “Software-Revenue Recognition”. The Company has been able to establish VSOE of fair value of the software-related services based on separate renewal contracts of the services that are consistently priced within a narrow range. The Company allocates revenue to such services based on VSOE and recognizes the revenues on a straight-line basis over the contract period. The Company allocates the residual amount to the software and system construction services. Equipment sales revenues are recognized when equipment is delivered and accepted by the customer. The Company evaluates whether it is appropriate to record the gross amount of revenues and related costs or the net amount earned in reporting system construction services and equipment sales, depending on whether the Company functions as principal or agent. ATM operation business revenues consist primarily of commissions for each withdrawing transaction with the use of ATMs. ATM commission collected from each withdrawal is aggregated every month and recognized as ATM operation revenues. Revenue is recognized net of consumption tax collected from customers and subsequently remitted to governmental authorities. We relabeled “Internet connectivity services (corporate use)” and “Internet connectivity services (home use)” in the former presentation to “Internet connectivity services (enterprise)” and “Internet connectivity services (consumer)” respectively, reflecting the rapid growth of LTE mobile data communications services for consumer. Along with this, this label change has been applied to prior periods to conform to the current year presentation. |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and Cash Equivalents— |
Loans and Leases Receivable, Allowance for Loan Losses Policy [Policy Text Block] | Allowance for Doubtful Accounts— |
Investment, Policy [Policy Text Block] | Other Investments— - - The Company reviews the fair value of available - - - - - - - - , . Non-marketable equity securities are carried at cost as fair value is not readily determinable. When the Company evaluates whether non-marketable equity securities are impaired or not, the Company evaluates first whether an event or change in circumstances has occurred in the period that may have significant adverse effect on the fair value of the securities (an impairment indicator). The Company uses such impairment indicators as follows: ● A significant deterioration in the earnings performance or business prospects of the investee. ● A significant adverse change in the regulatory, economic, or technological environment of the investee. ● A significant adverse change in the general market condition of either the geographic area or the industry in which the investee operates. ● A recent example of the new issuance of a security, in which the issue price is less than our cost. The Company estimates the fair value of the non-marketable equity securities when an impairment indicator is present. The fair value is determined as a result of considering various unobservable inputs which are available to the Company, including expectation of future income of the investees, net asset value of the investees, and material unrealized losses to be considered in assets and liabilities held by the investees. The Company recognizes impairment of non-marketable equity securities when the fair value is below the carrying amount and the decline in fair value is considered to be other-than-temporary. |
Inventory, Policy [Policy Text Block] | Inventories— - - - - - - |
Lease, Policy [Policy Text Block] | Leases— |
Revenue Recognition Leases, Capital [Policy Text Block] | Sales-Type Leases— |
Property, Plant and Equipment, Policy [Policy Text Block] | Property and Equipment— - The useful lives for depreciation and amortization by major asset classes are as follows: Range of Useful Lives Data communications, office and other equipment (years) 2 to 20 Buildings (years) 20 Leasehold improvements (years) 4 to 20 Capitalized software (years) 5 Capital leases (years) 4 to 6 |
Impairment or Disposal of Long-Lived Assets, Policy [Policy Text Block] | Impairment of Long - Lived Assets— - - |
Goodwill and Intangible Assets, Goodwill, Policy [Policy Text Block] | Goodwill and Intangible Assets— |
Asset Retirement Obligations, Policy [Policy Text Block] | Asset Retirement Obligations— |
Pension and Other Postretirement Plans, Policy [Policy Text Block] | Pension and Severance Indemnities Plans— |
Income Tax, Policy [Policy Text Block] | Income Taxes— The Company recognizes the financial statement effect of uncertain tax positions when they are more-likely- than not, based on the technical merits, that the tax positions will be sustained upon examination by the tax authorities. Benefits from tax positions that meet the more-likely-than-not recognition threshold are measured at the largest amount of benefit that is greater than 50% likely of being realized upon settlement. Interest and penalties accrued related to unrecognized tax benefits are included in income tax expense in the consolidated statements of income. |
Foreign Currency Transactions and Translations Policy [Policy Text Block] | Foreign Currency Translation— Foreign currency assets and liabilities are stated at the amount as computed by using year - |
Stockholders' Equity, Policy [Policy Text Block] | Stock Splits ― |
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | Stock - Based Compensation— |
Research, Development, and Computer Software, Policy [Policy Text Block] | Research and Development and Capitalized Software Development Costs— |
Advertising Costs, Policy [Policy Text Block] | Advertising— |
Earnings Per Share, Policy [Policy Text Block] | Basic and Diluted Net Income attributable to Internet Initiative Japan Inc. per Common Share— - |
Comprehensive Income, Policy [Policy Text Block] | Other Comprehensive Income (Loss)— - - . |
Segment Reporting, Policy [Policy Text Block] | Segment Reporting— The Company provides a comprehensive range of network solutions to meet its customers’ needs by cross-selling a variety of services, including Internet connectivity services, WAN services, outsourcing services, systems integration and sales of network-related equipment, and ATM operation services. The Company’s chief operating decision maker, who is the Company’s Chief Operating Officer ("COO"), regularly reviews the revenue and cost of sales of the two operating segments, which are the Network service and systems integration business segment and the ATM operation business segment. The COO also makes decisions regarding how to allocate resources and assess performance based on the segments. |
New Accounting Pronouncements, Policy [Policy Text Block] | New Accounting Guidance In July 2013, the Financial Accounting Standard Board ("FASB") issued Accounting Standards Update ("ASU") 2013-11, “Income Taxes: Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists,” which defines the presentation requirements of an unrecognized tax benefit, or a portion of an unrecognized tax benefit, in the financial statements. This ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2013 and the Company adopted this ASU in the first quarter beginning April 1, 2014. The adoption of this ASU did not have a material impact on the Company’s financial position or results of operations. |
New Accounting Pronouncements Not Yet Adopted, Policy [Policy Text Block] | Accounting Guidance Issued But Not Adopted as of March 31, 2015In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers,” to clarify the principles for recognizing revenue and to develop a common revenue standard for U.S. GAAP and International Financial Reporting Standards. This guidance also requires an entity to improve disclosures to enable users of financial statements to understand the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. This ASU is effective for fiscal years, and interim periods within those years, beginning after December 15, 2016. The Company is currently evaluating the impact of adopting this guidance. |
Note 1 - Description of Busin33
Note 1 - Description of Business and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Accounting Policies [Abstract] | |
Property, Plant and Equipment, Useful Lives [Table Text Block] | Range of Useful Lives Data communications, office and other equipment (years) 2 to 20 Buildings (years) 20 Leasehold improvements (years) 4 to 20 Capitalized software (years) 5 Capital leases (years) 4 to 6 |
Note 3 - Inventory (Tables)
Note 3 - Inventory (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory, Current [Table Text Block] | Thousands of Yen 2014 2015 Network equipment purchased for resale ¥ 503,334 ¥ 667,110 Work in process 1,166,924 562,353 Total inventories ¥ 1,670,258 ¥ 1,229,463 |
Note 4 - Other Investments (Tab
Note 4 - Other Investments (Tables) - Japanese Yen [Member] | 12 Months Ended |
Mar. 31, 2015 | |
Note 4 - Other Investments (Tables) [Line Items] | |
Available-for-sale Securities [Table Text Block] | Thousands of Yen March 31, 2014 Cost Unrealized Gains Unrealized Losses Fair Value Available-for-sale—Equity securities ¥ 1,391,820 ¥ 2,364,442 ¥ 5,251 ¥ 3,751,011 March 31, 2015 Available-for-sale—Equity securities ¥ 1,778,803 ¥ 2,528,884 ¥ 95,116 ¥ 4,212,571 Available-for-sale—Debt securities 100,300 1,610 - 101,910 ¥ 1,879,103 ¥ 2,530,494 ¥ 95,116 ¥ 4,314,481 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value [Table Text Block] | Thousands of Yen Less than 12 Months 12 Months or More Total March 31, 2014 Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Available-for-sale—Equity securities ¥ 56,524 ¥ 5,251 - - ¥ 56,524 ¥ 5,251 March 31, 2015 Available-for-sale—Equity securities ¥ 946,712 ¥ 95,116 - - ¥ 946,712 ¥ 95,116 |
Note 5 - Allowance for Doubtf36
Note 5 - Allowance for Doubtful Accounts and Loans (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Japan, Yen | |
Note 5 - Allowance for Doubtful Accounts and Loans (Tables) [Line Items] | |
Allowance for Credit Losses on Financing Receivables [Table Text Block] | Thousands of Yen Balance at Beginning of Year Credits Charged Off Provision for (Reversal of) Doubtful Accounts Other Balance at End of Year Year ended March 31, 2013 ¥ 205,039 ¥ (17,934 ) ¥ (10,712 ) - ¥ 176,393 Year ended March 31, 2014 ¥ 176,393 ¥ (12,067 ) ¥ (46,935 ) - ¥ 117,391 Year ended March 31, 2015 ¥ 117,391 ¥ (3,153 ) ¥ 33,158 ¥ 849 ¥ 148,245 |
Note 6 - Investments in Equit37
Note 6 - Investments in Equity Method Investees (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Note 6 - Investments in Equity Method Investees (Tables) [Line Items] | |
Schedule of Related Party Transactions [Table Text Block] | Thousands of Yen 2013 2014 2015 Accounts receivable - ¥ 446,857 ¥ 463,613 Accounts payable - 1,822,997 2,535,234 Revenues ¥ 880,079 2,370,954 2,898,040 Costs 14,966,177 15,579,173 16,706,036 |
Equity Method Investments [Table Text Block] | Thousands of Yen 2014 2015 Multifeed 33.00 % ¥ 1,244,512 33.00 % ¥ 1,354,932 i-revo 30.00 529,142 30.00 676,732 Trinity 33.75 88,804 33.75 101,618 Stratosphere 50.00 32,451 50.00 - Appiaries 49.00 190,780 49.00 106,196 e-CORPORATION - - 35.21 32,839 BIZNET - - 40.00 288,240 Total ¥ 2,085,689 ¥ 2,560,557 |
Equity Method Investee [Member] | |
Note 6 - Investments in Equity Method Investees (Tables) [Line Items] | |
Schedule of Related Party Transactions [Table Text Block] | Thousands of Yen 2013 2014 2015 Accounts receivable - ¥ 43,170 ¥ 367,741 Accounts payable - 40,613 48,788 Revenues ¥ 598,765 538,288 956,887 Costs and expenses 456,892 451,342 460,463 |
Note 7 - Property and Equipme38
Note 7 - Property and Equipment (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Note 7 - Property and Equipment (Tables) [Line Items] | |
Property, Plant and Equipment [Table Text Block] | Thousands of Yen 2014 2015 Data communications equipment ¥ 8,656,572 ¥ 11,159,022 Office and other equipment 3,375,846 2,746,153 Land 532,997 537,889 Buildings 1,615,081 1,644,704 Leasehold improvements 3,641,072 3,798,172 Capitalized software 21,006,728 24,804,449 Assets under capital leases, primarily data communications equipment 22,868,800 24,271,434 Total 61,697,096 68,961,823 Less accumulated depreciation and amortization (34,725,611 ) (39,591,769 ) Property and equipment—net ¥ 26,971,485 ¥ 29,370,054 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | Year Ending March 31 Thousands of Yen 2016 ¥ 388,014 2017 380,496 2018 365,460 2019 355,410 2020 346,223 |
Software To Be Leased [Member] | |
Note 7 - Property and Equipment (Tables) [Line Items] | |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | Year Ending March 31 Thousands of Yen 2016 ¥ 929,211 2017 828,798 2018 715,534 2019 704,318 2020 242,251 |
Note 8 - Goodwill and Other I39
Note 8 - Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets and Goodwill [Table Text Block] | Thousands of Yen 2014 2015 Intangible assets subject to amortization: Customer relationships ¥ 6,424,471 ¥ 6,424,471 Total 6,424,471 6,424,471 Less accumulated amortization (2,222,514 ) (2,619,544 ) Intangible assets subject to amortization—net 4,201,957 3,804,927 Intangible assets not subject to amortization: 29,987 29,352 Trademark 107,000 107,000 Goodwill 5,969,951 6,169,609 Total 6,106,938 6,305,961 Total intangible assets ¥ 10,308,895 ¥ 10,110,888 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | Year Ending March 31 Thousands of Yen 2016 ¥ 388,014 2017 380,496 2018 365,460 2019 355,410 2020 346,223 |
Schedule of Goodwill [Table Text Block] | Thousands of Yen Network Service and Systems Integration Business ATM Operation Business Total Balance at March 31, 2013 Goodwill ¥ 5,854,682 ¥ 235,551 ¥ 6,090,233 Accumulated impairment losses (120,282 ) - (120,282 ) 5,734,400 235,551 5,969,951 Acquisition - - - Impairment losses - - - Balance at March 31, 2014 Goodwill 5,854,682 235,551 6,090,233 Accumulated impairment losses (120,282 ) - (120,282 ) 5,734,400 235,551 5,969,951 Acquisition 199,658 - 199,658 Impairment losses - - - Balance at March 31, 2015 Goodwill 6,054,340 235,551 6,289,891 Accumulated impairment losses (120,282 ) - (120,282 ) ¥ 5,934,058 ¥ 235,551 ¥ 6,169,609 |
Note 9 - Leases (Tables)
Note 9 - Leases (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Note 9 - Leases (Tables) [Line Items] | |
Schedule of Lease Refundable Deposits [Table Text Block] | Thousands of Yen 2014 2015 Head office* ¥ 666,480 ¥ 2,187,901 Sales and subsidiaries offices 554,610 547,549 Others 43,445 64,751 Total refundable guarantee deposits ¥ 1,264,535 ¥ 2,800,201 |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | Thousands of Yen Connectivity Lines Operating Leases Other Operating Leases Capital Leases Year ending March 31: ¥ 390,720 ¥ 3,119,351 ¥ 3,656,304 390,720 3,264,243 2,356,415 193,610 700,711 1,334,395 116,649 641,375 111,880 129,148 308,681 31 Total minimum lease payments ¥ 975,050 ¥ 7,621,515 8,117,668 Less amounts representing interest (255,134 ) Present value of net minimum capital lease payments 7,862,534 Less current portion (3,522,113 ) Noncurrent portion ¥ 4,340,421 |
Sale-Type Leases [Member] | |
Note 9 - Leases (Tables) [Line Items] | |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | Thousands of Yen 2014 2015 Year ending March 31: ¥ 715,357 348,041 254,580 147,406 23,272 Total minimum lease payments to be received* ¥ 1,434,815 Estimated residual value of leased property (unguaranteed) - - Less unearned income (22,364 ) (24,278 ) Net investment in sales-type leases 1,412,451 1,464,378 Less current portion (659,677 ) (702,219 ) Non-current net investment in sales-type leases ¥ 752,774 ¥ 762,159 |
Note 10 - Asset Retirement Ob41
Note 10 - Asset Retirement Obligations (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Schedule of Asset Retirement Obligations [Table Text Block] | Thousands of Yen 2014 2015 Balance at beginning of the year ¥ 334,585 ¥ 513,440 Liabilities incurred 122,157 287,036 Liabilities settled - (243,109 ) Accretion expense 8,041 11,502 Revision in estimated cash flows related to head office relocation 48,657 - Balance at end of the year ¥ 513,440 ¥ 568,869 |
Note 11 - Borrowings (Tables)
Note 11 - Borrowings (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments [Table Text Block] | Thousands of Yen 2014 Long-term installment payable at various dates through the year ended March 31, 2015 . Interest is payable at variable rates based on Tokyo InterBank Offered Rate (TIBOR) which was 0.212% as of March 31, 2014. Weighted average interest rate was 0.901% at March 31, 2014. ¥ 980,000 Less current portion (980,000 ) Long-term borrowings, less current portion - |
Note 12 - Income Taxes (Tables)
Note 12 - Income Taxes (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block] | Thousands of Yen 2013 2014 2015 Income from operations before income tax Domestic ¥ 7,825,846 ¥ 6,406,153 ¥ 5,407,802 Foreign (68,982 ) (131,262 ) (268,810 ) Total ¥ 7,756,864 ¥ 6,274,891 ¥ 5,138,992 Income taxes ― Domestic ¥ 3,140,964 ¥ 2,453,549 ¥ 1,720,557 Foreign (6,254 ) 41,582 (34,922 ) Total ¥ 3,134,710 ¥ 2,495,131 ¥ 1,685,635 Income taxes ― Domestic ¥ (528,832 ) ¥ (729,822 ) ¥ 181,088 Foreign 1,704 29,996 30,142 Total ¥ (527,128 ) ¥ (699,826 ) ¥ 211,230 |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | Thousands of Yen 2014 2015 Deferred Tax Assets Deferred Tax Liabilities Deferred Tax Assets Deferred Tax Liabilities Unrealized gains on available-for-sale securities - ¥ 847,033 - ¥ 832,426 Capital leases ¥ 106,807 - ¥ 141,255 - Accrued expenses 748,875 - 995,253 - Retirement and pension cost 816,558 - 960,151 - Allowance for doubtful accounts 48,885 - 58,760 - Depreciation - - 101,652 - Net loss on other investments 240,698 - 230,794 - Operating loss carryforwards 1,370,277 - 1,276,690 - Transactions in transit* - 86,953 - 106,631 Impairment loss on telephone rights 77,690 - 74,268 - Accrued enterprise tax 101,252 - 86,448 - Asset retirement obligation 184,325 - 194,553 - Deferred revenue 614,054 - 353,098 - Customer relationship - 1,505,159 - 1,299,335 Tax deduction of goodwill - 690,499 - 810,172 Excess of tax deductible goodwill over the reported amount of goodwill 316,818 - 88,769 - Trademark - 38,413 - 38,413 Investments in equity method investees - 233,550 - 241,210 Investments in funds 131,443 - 100,045 - Other 85,770 166,346 333,752 245,421 4,843,452 3,567,953 4,995,488 3,573,608 Valuation allowance (428,184 ) - (611,997 ) - Total ¥ 4,415,268 ¥ 3,567,953 ¥ 4,383,491 ¥ 3,573,608 |
Schedule of Unrecognized Tax Benefits Roll Forward [Table Text Block] | Thousands of Yen Year Ending March 31 Enterprise Tax Subject to Consolidation Tax Filing Inhabitant Tax Subject to Consolidation Tax Filing Others 2016 - - - 2017 - - - 2018 - - ¥ 84 , 2019 - - 865,365 2020 and thereafter ¥ 586,329 ¥ 149,538 2,605,463 Total ¥ 586,329 ¥ 149,538 ¥ 3,555,307 |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | Thousands of Yen 2013 2014 2015 Amount computed by using normal Japanese statutory tax rate ¥ 2,970,879 ¥ 2,403,283 ¥ 1,844,898 Increase (decrease) in taxes resulting from: Expenses not deductible for tax purpose 89,012 102,634 76,258 Inhabitant tax—per capita 35,809 37,122 39,114 Change in valuation allowance (666,973 ) (957,182 ) 159,163 Tax effects on investments in equity method investees 168,061 65,489 19,650 Enterprise tax —not based on income 77,868 82,191 90,086 Tax rate change - 106,487 51,788 Tax credit - - (232,834 ) Tax refund by loss carryback - - (32,275 ) Other—net (67,074 ) (44,719 ) (118,983 ) Income tax expense as reported ¥ 2,607,582 ¥ 1,795,305 ¥ 1,896,865 |
Note 13 - Retirement and Pens44
Note 13 - Retirement and Pension Plans (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Note 13 - Retirement and Pension Plans (Tables) [Line Items] | |
Schedule of Net Benefit Costs [Table Text Block] | Thousands of Yen 2013 2014 2015 Service cost ¥ 479,158 ¥ 542,584 ¥ 573,956 Interest cost 46,975 45,418 73,902 Expected return on plan assets (29,796 ) (48,303 ) (63,037 ) Amortization of transition obligation 369 369 369 Amortization of actuarial gain - - (2,782 ) Net periodic pension cost ¥ 496,706 ¥ 540,068 ¥ 582,408 |
Schedule of Defined Benefit Plan Amounts Recognized in Other Comprehensive Income (Loss) [Table Text Block] | Thousands of Yen 2013 2014 2015 Net actuarial loss (gain) ¥ 92,808 ¥ (63,775 ) ¥ 127,065 Amortization of transition obligation in net periodic pension cost (369 ) (369 ) (369 ) Amortization of actuarial gain - - 2,782 Amounts recognized in other comprehensive income ¥ 92,439 ¥ (64,144 ) ¥ 129,478 Total net periodic pension cost and amounts recognized in other comprehensive income ¥ 589,145 ¥ 475,924 ¥ 711,886 |
Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan [Table Text Block] | Thousands of Yen 2014 2015 Change in benefit obligation: Benefit obligation at beginning of year ¥ 3,855,332 ¥ 4,426,598 Service cost 542,584 573,956 Interest cost 45,418 73,902 Actuarial loss 17,098 283,860 Benefit paid (33,834 ) (73,223 ) Benefit obligation at end of year 4,426,598 5,285,093 Change in plan assets: Fair value of plan assets at beginning of year 2,012,611 2,424,499 Actual return on plan assets 129,176 219,832 Employer contribution 296,631 322,826 Benefits paid (13,919 ) (36,847 ) Fair value of plan assets at end of year 2,424,499 2,930,310 Funded status at end of year ¥ (2,002,099 ) ¥ (2,354,783 ) |
Schedule of Amounts Recognized in Balance Sheet [Table Text Block] | Thousands of Yen 2014 2015 Accrued retirement and pension costs ― ¥ (2,002,099 ) ¥ (2,354,783 ) Net amount recognized ¥ (2,002,099 ) ¥ (2,354,783 ) |
Schedule of Amounts Recognized in Other Comprehensive Income (Loss) [Table Text Block] | Thousands of Yen 2014 2015 Net actuarial loss ¥ 241,275 ¥ 371,122 Obligation at transition 734 365 Total ¥ 242,009 ¥ 371,487 |
Schedule of Assumptions Used [Table Text Block] | Benefit Obligations Net Periodic Costs 2014 2015 2013 2014 2015 Discount rate 1.7 % 1.3 % 1.5 % 1.2 % 1.7 % Expected long-term rate of return on plan assets 1.8 2.4 2.6 Rate of increase in compensation 3.2 3.2 3.3 3.3 3.2 |
Schedule of Expected Benefit Payments [Table Text Block] | Years Ending March 31 Thousands of Yen 2016 ¥ 74,423 2017 96,280 2018 122,307 2019 133,473 2020 152,318 2021 - 1,428,531 Total ¥ 2,007,332 |
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | Thousands of Yen Total March 31, 2014 Level 1 Level 2 Level 3 2014 Assets— Available - equity securities ¥ 3,751,011 - - ¥ 3,751,011 Total assets ¥ 3,751,011 - - ¥ 3,751,011 Thousands of Yen Total March 31, 2015 Level 1 Level 2 Level 3 2015 Assets— Available - equity securities ¥ 4,212,571 - - ¥ 4,212,571 Available - debt securities - ¥ 101,910 - 101,910 Total assets ¥ 4,212,571 ¥ 101,910 - ¥ 4,314,481 |
Pension Plan [Member] | |
Note 13 - Retirement and Pension Plans (Tables) [Line Items] | |
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | Basis of Fair Value Measurement of Thousands of Yen Pension Plan Assets at March 31, 2014 Level 1 Level 2 Level 3 Total Equity securities: Japanese equity ¥ 348,758 - - ¥ 348,758 U.S. equity 89,304 - - 89,304 Other equity ― developed countries 61,498 - - 61,498 Total equity securities 499,560 - - 499,560 Debt securities: Japanese government and municipalities - ¥ 486,308 - 486,308 Japanese corporate bonds ― investment grade - 164,037 - 164,037 U.S. government - 65,339 - 65,339 Other government ― developed countries - 151,824 - 151,824 Residential mortgage-backed - 19,337 - 19,337 Total debt securities - 886,845 - 886,845 Other financial instruments* - 950,011 - 950,011 Cash 88,083 - - 88,083 Total assets at fair value ¥ 587,643 ¥ 1,836,856 - ¥ 2,424,499 Basis of Fair Value Measurement of Thousands of Yen Pension Plan Assets at March 31, 2015 Level 1 Level 2 Level 3 Total Equity securities: Japanese equity ¥ 417,833 - - ¥ 417,833 U.S. equity 124,670 - - 124,670 Other equity ― developed countries 78,027 - - 78,027 Total equity securities 620,530 - - 620,530 Debt securities: Japanese government and municipalities - ¥ 495,637 - 495,637 Japanese corporate bonds ― investment grade - 256,954 - 256,954 U.S. government - 110,851 - 110,851 Other government ― developed countries - 152,927 - 152,927 Residential mortgage-backed - 19,256 - 19,256 Total debt securities - 1,035,625 - 1,035,625 Other financial instruments* - 1,109,010 - 1,109,010 Cash 165,145 - - 165,145 Total assets at fair value ¥ 785,675 ¥ 2,144,635 - ¥ 2,930,310 |
Note 14 - Shareholders' Equity
Note 14 - Shareholders' Equity (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Share-based Payment Award, Employee Stock Purchase Plan, Valuation Assumptions [Table Text Block] | 2013 2014 2015 Assumptions: Risk-free interest rate 1.298 % 1.314 % 0.980 % Expected lives (years) 15 15 15 Expected volatility 57.020 % 55.861 % 55.217 % Expected dividends 0. % 0. % 0.909 % |
Schedule of Share-based Compensation, Stock Options, Activity [Table Text Block] | Yen Years Thousands of Yen Number of Options Number of Shares Exercise Price Remaining Life Total Intrinsic Value Unexercised options outstanding—March 31, 2013 268 53,600 ¥ 1 Granted 89 17,800 1 Exercised (11 ) (2,200 ) 1 Forfeited or expired - - - Unexercised options outstanding—March 31, 2014 346 69,200 1 Granted 128 25,600 1 Exercised (16 ) (3,200 ) 1 Forfeited or expired - - - Unexercised options outstanding—March 31, 2015 458 91,600 1 Exercisable options—March 31, 2015 330 66,000 1 27.31 ¥ 130,254 Expected to vest after July 11, 2015 128 25,600 1 29.30 50,523 |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Table Text Block] | Thousands of Yen 2013 2014 2015 Net income attributable to IIJ ¥ 5,300,654 ¥ 4,442,237 ¥ 3,322,081 Transfers from the noncontrolling interests Increase in additional paid-in capital for acquisition of noncontrolling interest of IIJ-Exlayer - 99 - Net transfers from noncontrolling interest - 99 - Change from net income attributable to IIJ and transfers from noncontrolling interests ¥ 5,300,654 ¥ 4,442,336 ¥ 3,322,081 |
Note 15 - Other Comprehensive46
Note 15 - Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Disclosure Text Block [Abstract] | |
Comprehensive Income (Loss) [Table Text Block] | Thousands of Yen Before Tax Amount Tax (Expense) Benefit Net of Tax Amount Year ended March 31, 2013: Foreign currency translation adjustments ¥ 90,014 - ¥ 90,014 Unrealized holding gain (loss) on securities: Amount arising during the period 380,637 ¥ (136,649 ) 243,988 Less: Reclassification adjustments for losses included in net income 19,788 (7,579 ) 12,209 Other - 324 324 Net unrealized holding gain (loss) during the period 400,425 (143,904 ) 256,521 Defined benefit pension plans: Amount arising during the period (92,808 ) 33,319 (59,489 ) Less: Reclassification adjustments for losses included in net income 369 (132 ) 237 Net defined benefit pension plans (92,439 ) 33,187 (59,252 ) Other comprehensive income (loss) ¥ 398,000 ¥ (110,717 ) ¥ 287,283 Year ended March 31, 2014: Foreign currency translation adjustments ¥ 419,557 - ¥ 419,557 Unrealized holding gain (loss) on securities: Amount arising during the period 1,656,759 ¥ (594,776 ) 1,061,983 Less: Reclassification adjustments for gains included in net income (107,655 ) 41,232 (66,423 ) Other - (7,421 ) (7,421 ) Net unrealized holding gain (loss) during the period 1,549,104 (560,965 ) 988,139 Defined benefit pension plans: Amount arising during the period 63,775 (22,896 ) 40,879 Less: Reclassification adjustments for losses included in net income 369 (133 ) 236 Net defined benefit pension plans 64,144 (23,029 ) 41,115 Other comprehensive income (loss) ¥ 2,032,805 ¥ (583,994 ) ¥ 1,448,811 Thousands of Yen Before Tax Amount Tax (Expense) Benefit Net of Tax Amount Year ended March 31, 2015: Foreign currency translation adjustments ¥ 243,538 - ¥ 243,538 Unrealized holding gain (loss) on securities: Amount arising during the period 124,370 ¥ (44,649 ) 79,721 Less: Reclassification adjustments for gains included in net income (35,934 ) 12,900 (23,034 ) Other - 4,903 4,903 Net unrealized holding gain (loss) during the period 88,436 (26,846 ) 61,590 Defined benefit pension plans: Amount arising during the period (127,065 ) 45,616 (81,449 ) Less: Reclassification adjustments for gains included in net income (2,413 ) 862 (1,551 ) Net defined benefit pension plans (129,478 ) 46,478 (83,000 ) Other comprehensive income ¥ 202,496 ¥ 19,632 ¥ 222,128 |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Thousands of Yen Unrealized holding gain on securities Defined benefit pension plans Foreign currency translation adjustments Total Year ended March 31, 2013: ¥ 495,217 ¥ (187,318 ) ¥ (44,129 ) ¥ 263,770 Other comprehensive income before reclassifications 1,054,562 40,879 419,701 1,515,142 Amounts reclassified out of accumulated other comprehensive income (66,423 ) 236 - (66,187 ) Other comprehensive income 988,139 41,115 419,701 1,448,955 Other - - 61 61 Year ended March 31, 2014: ¥ 1,483,356 ¥ (146,203 ) ¥ 375,633 ¥ 1,712,786 Thousands of Yen Unrealized holding gain on securities Defined benefit pension plans Foreign currency translation adjustments Total Year ended March 31, 2014: ¥ 1,483,356 ¥ (146,203 ) ¥ 375,633 ¥ 1,712,786 Other comprehensive income (loss) before reclassifications 84,624 (81,449 ) 247,273 250,448 Amounts reclassified out of accumulated other comprehensive income (23,034 ) (1,551 ) - (24,585 ) Other comprehensive income (loss) 61,590 (83,000 ) 247,273 225,863 Year ended March 31, 2015: ¥ 1,544,946 ¥ (229,203 ) ¥ 622,906 ¥ 1,938,649 |
Reclassified Accumulated Other Comprehensive Income [Table Text Block] | Thousands of Yen 2014 2015 Location Other comprehensive income (loss) components: Unrealized holding gain on securities ¥ 107,655 ¥ 35,934 Net gain on sales of other investments (41,232 ) (12,900 ) Income tax expense 66,423 23,034 Net income Defined benefit pension plans (369 ) 2,413 Net periodic pension costs (Note 13) 133 (862 ) Income tax expense (236 ) 1,551 Net income Total amount reclassified ¥ 66,187 ¥ 24,585 |
Note 16 - Basic and Diluted N47
Note 16 - Basic and Diluted Net Income Per Common Share (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Note 16 - Basic and Diluted Net Income Per Common Share (Tables) [Line Items] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Yen 2013 2014 2015 Basic net income attributable to Internet Initiative Japan Inc. per common share ¥ 130.76 ¥ 100.26 ¥ 72.31 Diluted net income attributable to Internet Initiative Japan Inc. per common share ¥ 130.65 ¥ 100.14 ¥ 72.20 |
Numerator [Member] | |
Note 16 - Basic and Diluted Net Income Per Common Share (Tables) [Line Items] | |
Schedule of Earnings Per Share Calculation [Table Text Block] | Thousands of Yen 2013 2014 2015 Numerator: Net income attributable to Internet Initiative Japan Inc. ― ¥ 5,300,654 ¥ 4,442,237 ¥ 3,322,081 |
Denominator [Member] | |
Note 16 - Basic and Diluted Net Income Per Common Share (Tables) [Line Items] | |
Schedule of Earnings Per Share Calculation [Table Text Block] | Number of Shares 2013 2014 2015 Denominator: Weighted-average common shares outstanding ― 40,536,800 44,306,680 45,942,291 Dilutive effect of stock options 35,800 54,403 72,446 Weighted-average common shares outstanding ― 40,572,600 44,361,083 46,014,737 |
Note 18 - Financial Instrumen48
Note 18 - Financial Instruments (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Disclosure Text Block Supplement [Abstract] | |
Schedule of Financial Assets [Table Text Block] | Thousands of Yen 2014 2015 Carrying Amount Fair Value Carrying Amount Fair Value Other investments for which it is: Practicable to estimate fair value ¥ 3,751,011 ¥ 3,751,011 ¥ 4,314,481 ¥ 4,314,481 Not practicable 2,604,806 - 2,346,225 - Noncurrent refundable insurance policies (other assets) 63,062 63,062 110,894 110,894 |
Note 19 - Fair Value Measurem49
Note 19 - Fair Value Measurements (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value, Assets Measured on Recurring Basis [Table Text Block] | Thousands of Yen Total March 31, 2014 Level 1 Level 2 Level 3 2014 Assets— Available - equity securities ¥ 3,751,011 - - ¥ 3,751,011 Total assets ¥ 3,751,011 - - ¥ 3,751,011 Thousands of Yen Total March 31, 2015 Level 1 Level 2 Level 3 2015 Assets— Available - equity securities ¥ 4,212,571 - - ¥ 4,212,571 Available - debt securities - ¥ 101,910 - 101,910 Total assets ¥ 4,212,571 ¥ 101,910 - ¥ 4,314,481 |
Fair Value Measurements, Nonrecurring [Table Text Block] | Thousands of Yen March 31, 2015 Level 1 Level 2 Level 3 Impairment Loss Assets: Non-marketable securities— equity securities - - ¥ 2,435 ¥ 29,117 - - ¥ 2,435 ¥ 29,117 |
Note 20 - Business Segments (Ta
Note 20 - Business Segments (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Revenues [Member] | |
Note 20 - Business Segments (Tables) [Line Items] | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Thousands of Yen 2013 2014 2015 Network service and systems integration business: Customers ¥ 103,928,400 ¥ 111,445,519 ¥ 119,409,987 Intersegment 558,753 455,975 408,567 Total 104,487,153 111,901,494 119,818,554 ATM operation business: Customers 2,320,086 2,826,832 3,640,128 Intersegment - - - Total 2,320,086 2,826,832 3,640,128 Elimination (558,753 ) (455,975 ) (408,567 ) Consolidated total ¥ 106,248,486 ¥ 114,272,351 ¥ 123,050,115 |
Profit or Loss [Member] | |
Note 20 - Business Segments (Tables) [Line Items] | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Thousands of Yen 2013 2014 2015 Operating income: Network service and systems integration business ¥ 7,629,435 ¥ 5,274,753 ¥ 4,334,946 ATM operation business 239,035 578,794 886,340 Elimination (115,828 ) (130,235 ) (146,048 ) Consolidated total ¥ 7,752,642 ¥ 5,723,312 ¥ 5,075,238 |
Segment Assets [Member] | |
Note 20 - Business Segments (Tables) [Line Items] | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Thousands of Yen 2014 2015 Segment assets: Network service and systems integration business ¥ 100,860,325 ¥ 105,160,187 ATM operation business 3,006,250 3,545,128 Elimination - - Consolidated total ¥ 103,866,575 ¥ 108,705,315 |
Corporate and Other [Member] | |
Note 20 - Business Segments (Tables) [Line Items] | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Thousands of Yen 2013 2014 2015 Depreciation and amortization: Network service and systems integration business ¥ 7,178,397 ¥ 8,405,080 ¥ 9,139,687 ATM operation business 329,411 417,901 537,652 Consolidated total ¥ 7,507,808 ¥ 8,822,981 ¥ 9,677,339 |
Note 22 - Related Party Trans51
Note 22 - Related Party Transactions (Tables) | 12 Months Ended |
Mar. 31, 2015 | |
Related Party Transactions [Abstract] | |
Schedule of Related Party Transactions [Table Text Block] | Thousands of Yen 2013 2014 2015 Accounts receivable - ¥ 446,857 ¥ 463,613 Accounts payable - 1,822,997 2,535,234 Revenues ¥ 880,079 2,370,954 2,898,040 Costs 14,966,177 15,579,173 16,706,036 |
Note 1 - Description of Busin52
Note 1 - Description of Business and Summary of Significant Accounting Policies (Details) | Oct. 01, 2012 | Mar. 31, 2015 |
Note 1 - Description of Business and Summary of Significant Accounting Policies (Details) [Line Items] | ||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 26.40% | |
Stockholders' Equity Note, Stock Split, Conversion Ratio | 200 | |
Number of Operating Segments | 2 | |
Denominator [Member] | ||
Note 1 - Description of Business and Summary of Significant Accounting Policies (Details) [Line Items] | ||
Stockholders' Equity Note, Stock Split, Conversion Ratio | 200 | |
Software and Software Development Costs [Member] | ||
Note 1 - Description of Business and Summary of Significant Accounting Policies (Details) [Line Items] | ||
Property, Plant and Equipment, Useful Life | 5 years | |
Minimum [Member] | ||
Note 1 - Description of Business and Summary of Significant Accounting Policies (Details) [Line Items] | ||
Systems Operation And Maintenance Contract Period | 1 year | |
Finite-Lived Intangible Asset, Useful Life | 7 years | |
Maximum [Member] | ||
Note 1 - Description of Business and Summary of Significant Accounting Policies (Details) [Line Items] | ||
Systems Operation And Maintenance Contract Period | 5 years | |
Finite-Lived Intangible Asset, Useful Life | 19 years | |
Maximum [Member] | Software and Software Development Costs [Member] | ||
Note 1 - Description of Business and Summary of Significant Accounting Policies (Details) [Line Items] | ||
Property, Plant and Equipment, Useful Life | 5 years |
Note 1 - Description of Busin53
Note 1 - Description of Business and Summary of Significant Accounting Policies (Details) - Useful Lives for Depreciation and Amortization by Major Asset Classes | 12 Months Ended |
Mar. 31, 2015 | |
Software and Software Development Costs [Member] | |
Note 1 - Description of Business and Summary of Significant Accounting Policies (Details) - Useful Lives for Depreciation and Amortization by Major Asset Classes [Line Items] | |
Property, plant and equipment, useful lives | 5 years |
Minimum [Member] | Equipment [Member] | |
Note 1 - Description of Business and Summary of Significant Accounting Policies (Details) - Useful Lives for Depreciation and Amortization by Major Asset Classes [Line Items] | |
Property, plant and equipment, useful lives | 2 years |
Minimum [Member] | Leasehold Improvements [Member] | |
Note 1 - Description of Business and Summary of Significant Accounting Policies (Details) - Useful Lives for Depreciation and Amortization by Major Asset Classes [Line Items] | |
Property, plant and equipment, useful lives | 4 years |
Minimum [Member] | Assets Held under Capital Leases [Member] | |
Note 1 - Description of Business and Summary of Significant Accounting Policies (Details) - Useful Lives for Depreciation and Amortization by Major Asset Classes [Line Items] | |
Property, plant and equipment, useful lives | 4 years |
Maximum [Member] | Equipment [Member] | |
Note 1 - Description of Business and Summary of Significant Accounting Policies (Details) - Useful Lives for Depreciation and Amortization by Major Asset Classes [Line Items] | |
Property, plant and equipment, useful lives | 20 years |
Maximum [Member] | Building [Member] | |
Note 1 - Description of Business and Summary of Significant Accounting Policies (Details) - Useful Lives for Depreciation and Amortization by Major Asset Classes [Line Items] | |
Property, plant and equipment, useful lives | 20 years |
Maximum [Member] | Leasehold Improvements [Member] | |
Note 1 - Description of Business and Summary of Significant Accounting Policies (Details) - Useful Lives for Depreciation and Amortization by Major Asset Classes [Line Items] | |
Property, plant and equipment, useful lives | 20 years |
Maximum [Member] | Software and Software Development Costs [Member] | |
Note 1 - Description of Business and Summary of Significant Accounting Policies (Details) - Useful Lives for Depreciation and Amortization by Major Asset Classes [Line Items] | |
Property, plant and equipment, useful lives | 5 years |
Maximum [Member] | Assets Held under Capital Leases [Member] | |
Note 1 - Description of Business and Summary of Significant Accounting Policies (Details) - Useful Lives for Depreciation and Amortization by Major Asset Classes [Line Items] | |
Property, plant and equipment, useful lives | 6 years |
Note 2 - Business Combinations
Note 2 - Business Combinations (Details) ¥ in Thousands | Dec. 01, 2014JPY (¥) | Apr. 02, 2012JPY (¥) | Mar. 31, 2015JPY (¥) | Mar. 31, 2014JPY (¥) | Mar. 31, 2013JPY (¥) |
Note 2 - Business Combinations (Details) [Line Items] | |||||
Number of Businesses Acquired | 0 | ||||
Goodwill | ¥ 6,169,609 | ¥ 5,969,951 | ¥ 5,969,951 | ||
Business Combination, Acquisition Related Costs | ¥ 32,262 | ||||
IIJ-Exlayer [Member] | |||||
Note 2 - Business Combinations (Details) [Line Items] | |||||
Business Acquisition, Percentage of Voting Interests Acquired | 99.90% | ||||
Business Combination, Consideration Transferred | ¥ 299,700 | ||||
RYUKOSHA [Member] | |||||
Note 2 - Business Combinations (Details) [Line Items] | |||||
Business Combination, Consideration Transferred | ¥ 600,000 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Assets | 865,078 | ||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Liabilities | 464,736 | ||||
Goodwill | ¥ 199,658 |
Note 3 - Inventory (Details) -
Note 3 - Inventory (Details) - The Components of Inventories - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 |
The Components of Inventories [Abstract] | ||
Network equipment purchased for resale | ¥ 667,110 | ¥ 503,334 |
Work in process | 562,353 | 1,166,924 |
Total inventories | ¥ 1,229,463 | ¥ 1,670,258 |
Note 4 - Other Investments (Det
Note 4 - Other Investments (Details) - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Note 4 - Other Investments (Details) [Line Items] | |||
Proceeds from Sale of Available-for-sale Securities | ¥ 391,814 | ||
Available-for-sale Securities, Gross Realized Gains | ¥ 35,934 | 107,655 | |
Realized Investment Gains (Losses) | 313,393 | ||
Cost Method Investments | 2,346,225 | ¥ 2,604,806 | |
Other than Temporary Impairment Losses, Investments, Available-for-sale Securities | ¥ 19,788 | ||
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net | ¥ 29,117 | ||
Company 1 [Member] | |||
Note 4 - Other Investments (Details) [Line Items] | |||
Investment Fair Value, Percentage Below Cost | 0.04% | ||
Company 2 [Member] | |||
Note 4 - Other Investments (Details) [Line Items] | |||
Investment Fair Value, Percentage Below Cost | 9.20% |
Note 4 - Other Investments (D57
Note 4 - Other Investments (Details) - Securities Classified as Available-for-Sale in Yen - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 |
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale—Cost | ¥ 1,879,103 | |
Available-for-sale—Unrealized Gains | 2,530,494 | |
Available-for-sale—Unrealized Losses | 95,116 | |
Available-for-sale—Fair Value | 4,314,481 | ¥ 3,751,011 |
Equity Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale—Cost | 1,778,803 | 1,391,820 |
Available-for-sale—Unrealized Gains | 2,528,884 | 2,364,442 |
Available-for-sale—Unrealized Losses | 95,116 | 5,251 |
Available-for-sale—Fair Value | 4,212,571 | ¥ 3,751,011 |
Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Available-for-sale—Cost | 100,300 | |
Available-for-sale—Unrealized Gains | 1,610 | |
Available-for-sale—Fair Value | ¥ 101,910 |
Note 4 - Other Investments (D58
Note 4 - Other Investments (Details) - Securities Classified as Available-for-Sale that have been in a Continuous Unrealized Loss Position in Yen - JPY (¥) ¥ in Thousands | 12 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Securities Classified as Available-for-Sale that have been in a Continuous Unrealized Loss Position in Yen [Abstract] | ||
Available-for-sale—Fair Value Less than 12 Months | ¥ 946,712 | ¥ 56,524 |
Available-for-sale—Unrealized Losses Less than 12 Months | 95,116 | 5,251 |
Available-for-sale—Fair Value | 946,712 | 56,524 |
Available-for-sale—Unrealized Losses | ¥ 95,116 | ¥ 5,251 |
Note 5 - Allowance for Doubtf59
Note 5 - Allowance for Doubtful Accounts and Loans (Details) - Analysis of Allowance for Doubtful Accounts and Loans in Yen - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Analysis of Allowance for Doubtful Accounts and Loans in Yen [Abstract] | |||
Balance at Beginning of Year | ¥ 117,391 | ¥ 176,393 | ¥ 205,039 |
Credits Charged Off | (3,153) | (12,067) | (17,934) |
Provision for (Reversal of) Doubtful Accounts | 33,158 | (46,935) | (10,712) |
Other | 849 | ||
Balance at End of Year | ¥ 148,245 | ¥ 117,391 | ¥ 176,393 |
Note 6 - Investments in Equit60
Note 6 - Investments in Equity Method Investees (Details) - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Note 6 - Investments in Equity Method Investees (Details) [Line Items] | |||
Allowance for Notes, Loans and Financing Receivable, Noncurrent | ¥ 92,935 | ¥ 62,800 | |
Payments to Acquire Equity Method Investments | 338,240 | 199,920 | ¥ 100,000 |
Equity Method Investments | 2,560,557 | 2,085,689 | |
Goodwill [Member] | |||
Note 6 - Investments in Equity Method Investees (Details) [Line Items] | |||
Equity Method Investments | 103,841 | 53,841 | |
Stratosphere [Member] | |||
Note 6 - Investments in Equity Method Investees (Details) [Line Items] | |||
Allowance for Notes, Loans and Financing Receivable, Noncurrent | 30,658 | ||
Equity Method Investments | 32,451 | ||
Stratosphere [Member] | Other Assets [Member] | |||
Note 6 - Investments in Equity Method Investees (Details) [Line Items] | |||
Notes, Loans and Financing Receivable, Gross, Noncurrent | 30,658 | ¥ 20,000 | |
e-Corporation [Member] | |||
Note 6 - Investments in Equity Method Investees (Details) [Line Items] | |||
Payments to Acquire Equity Method Investments | 50,000 | ||
Equity Method Investments | 32,839 | ||
BIZNET [Member] | |||
Note 6 - Investments in Equity Method Investees (Details) [Line Items] | |||
Payments to Acquire Equity Method Investments | 288,240 | ||
Equity Method Investments | ¥ 288,240 |
Note 6 - Investments in Equit61
Note 6 - Investments in Equity Method Investees (Details) - Balances Associated with Equity Method Investees - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Related Party Transaction [Line Items] | |||
Revenues | ¥ 123,050,115 | ¥ 114,272,351 | ¥ 106,248,486 |
Costs and expenses | 117,974,877 | 108,549,039 | 98,495,844 |
Equity Method Investments [Member] | |||
Related Party Transaction [Line Items] | |||
Accounts receivable | 367,741 | 43,170 | |
Accounts payable | 48,788 | 40,613 | |
Revenues | 956,887 | 538,288 | 598,765 |
Costs and expenses | ¥ 460,463 | ¥ 451,342 | ¥ 456,892 |
Note 6 - Investments in Equit62
Note 6 - Investments in Equity Method Investees (Details) - Equity Method Investees and Respective Ownership Percentages - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 |
Schedule of Equity Method Investments [Line Items] | ||
Equity method investment | ¥ 2,560,557 | ¥ 2,085,689 |
Multifeed [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity method percentage | 33.00% | 33.00% |
Equity method investment | ¥ 1,354,932 | ¥ 1,244,512 |
I-Revo [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity method percentage | 30.00% | 30.00% |
Equity method investment | ¥ 676,732 | ¥ 529,142 |
Trinity [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity method percentage | 33.75% | 33.75% |
Equity method investment | ¥ 101,618 | ¥ 88,804 |
Stratosphere [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity method percentage | 50.00% | 50.00% |
Equity method investment | ¥ 32,451 | |
Appiaries [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity method percentage | 49.00% | 49.00% |
Equity method investment | ¥ 106,196 | ¥ 190,780 |
e-Corporation [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity method percentage | 35.21% | |
Equity method investment | ¥ 32,839 | |
BIZNET [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity method percentage | 40.00% | |
Equity method investment | ¥ 288,240 |
Note 7 - Property and Equipme63
Note 7 - Property and Equipment (Details) - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Note 7 - Property and Equipment (Details) [Line Items] | |||
Depreciation, Depletion and Amortization, Nonproduction | ¥ 9,280,309 | ¥ 8,359,907 | ¥ 6,950,249 |
Gain (Loss) on Disposition of Assets | (101,189) | (83,487) | (14,638) |
Software Development [Member] | |||
Note 7 - Property and Equipment (Details) [Line Items] | |||
Capitalized Computer Software, Gross | 19,748,462 | 17,410,834 | |
Software To Be Leased [Member] | |||
Note 7 - Property and Equipment (Details) [Line Items] | |||
Capitalized Computer Software, Gross | 5,055,987 | 3,595,894 | |
Capitalized Computer Software, Additions | 1,584,451 | 1,120,644 | |
Capitalized Computer Software, Net | 3,420,112 | 2,532,335 | |
Capitalized Computer Software, Amortization | ¥ 632,423 | ¥ 495,050 | ¥ 349,537 |
Note 7 - Property and Equipme64
Note 7 - Property and Equipment (Details) - Property and Equipment - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment | ¥ 68,961,823 | ¥ 61,697,096 |
Less accumulated depreciation and amortization | (39,591,769) | (34,725,611) |
Property and equipment—net | 29,370,054 | 26,971,485 |
Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment | 11,159,022 | 8,656,572 |
Office Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment | 2,746,153 | 3,375,846 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment | 537,889 | 532,997 |
Building [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment | 1,644,704 | 1,615,081 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment | 3,798,172 | 3,641,072 |
Software and Software Development Costs [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment | 24,804,449 | 21,006,728 |
Assets Held under Capital Leases [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment | ¥ 24,271,434 | ¥ 22,868,800 |
Note 7 - Property and Equipme65
Note 7 - Property and Equipment (Details) - Amortization Expense of Software to be Leased - Software To Be Leased [Member] ¥ in Thousands | Mar. 31, 2015JPY (¥) |
Note 7 - Property and Equipment (Details) - Amortization Expense of Software to be Leased [Line Items] | |
2,016 | ¥ 929,211 |
2,017 | 828,798 |
2,018 | 715,534 |
2,019 | 704,318 |
2,020 | ¥ 242,251 |
Note 8 - Goodwill and Other I66
Note 8 - Goodwill and Other Intangible Assets (Details) - JPY (¥) | 12 Months Ended | |||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | Dec. 01, 2014 | |
Note 8 - Goodwill and Other Intangible Assets (Details) [Line Items] | ||||
Amortization of Intangible Assets | ¥ 397,030,000 | ¥ 463,074,000 | ||
Goodwill, Impairment Loss | 0 | 0 | ¥ 0 | |
Goodwill | ¥ 6,169,609,000 | ¥ 5,969,951,000 | 5,969,951,000 | |
Trademarks [Member] | ||||
Note 8 - Goodwill and Other Intangible Assets (Details) [Line Items] | ||||
Impairment of Intangible Assets, Indefinite-lived (Excluding Goodwill) | ¥ 48,000,000 | |||
RYUKOSHA [Member] | ||||
Note 8 - Goodwill and Other Intangible Assets (Details) [Line Items] | ||||
Goodwill | ¥ 199,658,000 | |||
Weighted Average [Member] | ||||
Note 8 - Goodwill and Other Intangible Assets (Details) [Line Items] | ||||
Finite-Lived Intangible Asset, Useful Life | 16 years 73 days |
Note 8 - Goodwill and Other I67
Note 8 - Goodwill and Other Intangible Assets (Details) - Components of Intangible Assets - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Intangible assets subject to amortization: | |||
Intangible assets subject to amortization | ¥ 6,424,471 | ¥ 6,424,471 | |
Less accumulated amortization | |||
Intangible assets subject to amortization—net | 3,804,927 | 4,201,957 | |
Intangible assets not subject to amortization: | |||
Telephone rights | 29,352 | 29,987 | |
Trademark | 107,000 | 107,000 | |
Goodwill | 6,169,609 | 5,969,951 | ¥ 5,969,951 |
Total | 6,305,961 | 6,106,938 | |
Total intangible assets | 10,110,888 | 10,308,895 | |
Customer Relationships [Member] | |||
Intangible assets subject to amortization: | |||
Intangible assets subject to amortization | 6,424,471 | 6,424,471 | |
Less accumulated amortization | |||
Customer relationships | ¥ (2,619,544) | ¥ (2,222,514) |
Note 8 - Goodwill and Other I68
Note 8 - Goodwill and Other Intangible Assets (Details) - Estimated Aggregate Amortization Expense of Intangible Assets ¥ in Thousands | Mar. 31, 2015JPY (¥) |
Estimated Aggregate Amortization Expense of Intangible Assets [Abstract] | |
2,016 | ¥ 388,014 |
2,017 | 380,496 |
2,018 | 365,460 |
2,019 | 355,410 |
2,020 | ¥ 346,223 |
Note 8 - Goodwill and Other I69
Note 8 - Goodwill and Other Intangible Assets (Details) - Carrying Amount of Goodwill - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Goodwill [Line Items] | |||
Goodwill, gross | ¥ 6,289,891 | ¥ 6,090,233 | ¥ 6,090,233 |
Accumulated impairment losses | (120,282) | (120,282) | (120,282) |
Goodwill, net | 6,169,609 | 5,969,951 | 5,969,951 |
Acquisition | 199,658 | ||
Network Service and Systems Integration Business [Member] | |||
Goodwill [Line Items] | |||
Goodwill, gross | 6,054,340 | 5,854,682 | 5,854,682 |
Accumulated impairment losses | (120,282) | (120,282) | (120,282) |
Goodwill, net | 5,934,058 | 5,734,400 | 5,734,400 |
Acquisition | 199,658 | ||
ATM Operation Business [Member] | |||
Goodwill [Line Items] | |||
Goodwill, gross | 235,551 | 235,551 | 235,551 |
Goodwill, net | ¥ 235,551 | ¥ 235,551 | ¥ 235,551 |
Note 9 - Leases (Details)
Note 9 - Leases (Details) - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Note 9 - Leases (Details) [Line Items] | |||
Deposits Assets, Current | ¥ 1,462,223 | ||
Operating Leases, Income Statement, Sublease Revenue | ¥ 29,521 | 24,082 | ¥ 29,160 |
Proceeds from Sale of Machinery and Equipment | 799,232 | 534,479 | |
Capital Leased Assets, Noncurrent, Fair Value Disclosure | 24,271,434 | 22,868,800 | |
Capital Leases, Lessee Balance Sheet, Assets by Major Class, Property, Plant, and Equipment Other, Accumulated Depreciation | 16,614,912 | 14,795,972 | |
Capital Leases, Net Investment in Sales Type Leases, Executory Costs | 345,698 | 268,598 | |
Due February 2019 [Member] | |||
Note 9 - Leases (Details) [Line Items] | |||
Minimum Lease Payments, Sale Leaseback Transactions | 585,610 | ||
Due March 2020 [Member] | |||
Note 9 - Leases (Details) [Line Items] | |||
Minimum Lease Payments, Sale Leaseback Transactions | 819,680 | ||
Backbone Line [Member] | |||
Note 9 - Leases (Details) [Line Items] | |||
Operating Leases, Rent Expense | 3,743,576 | 3,763,803 | 3,535,213 |
Local Access Lines [Member] | |||
Note 9 - Leases (Details) [Line Items] | |||
Operating Leases, Rent Expense | 21,967,587 | 22,602,364 | 22,464,593 |
Other Lease and Rental [Member] | |||
Note 9 - Leases (Details) [Line Items] | |||
Operating Leases, Rent Expense | ¥ 6,988,368 | ¥ 6,513,184 | ¥ 5,978,985 |
Note 9 - Leases (Details) - Ref
Note 9 - Leases (Details) - Refundable Guarantee Deposits - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 | |
Note 9 - Leases (Details) - Refundable Guarantee Deposits [Line Items] | |||
Refundable guarantee deposits | ¥ 2,800,201 | ¥ 1,264,535 | |
Head Office [Member] | |||
Note 9 - Leases (Details) - Refundable Guarantee Deposits [Line Items] | |||
Refundable guarantee deposits | [1] | 2,187,901 | 666,480 |
Sales and Subsidiaries Offices [Member] | |||
Note 9 - Leases (Details) - Refundable Guarantee Deposits [Line Items] | |||
Refundable guarantee deposits | 547,549 | 554,610 | |
Others [Member] | |||
Note 9 - Leases (Details) - Refundable Guarantee Deposits [Line Items] | |||
Refundable guarantee deposits | ¥ 64,751 | ¥ 43,445 | |
[1] | Guarantee deposits-current related to the former head office in the amount of 1,462,223 thousand was excluded from the table above as of March 31, 2014. |
Note 9 - Leases (Details) - Les
Note 9 - Leases (Details) - Lessee Future Minimum Lease Payments - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 |
Note 9 - Leases (Details) - Lessee Future Minimum Lease Payments [Line Items] | ||
2,016 | ¥ 3,656,304 | |
2,017 | 2,356,415 | |
2,018 | 1,334,395 | |
2,019 | 641,375 | |
2,020 | 129,148 | |
2021 and thereafter | 31 | |
Total minimum lease payments | 8,117,668 | |
Less amounts representing interest | (255,134) | |
Present value of net minimum capital lease payments | 7,862,534 | |
Less current portion | (3,522,113) | ¥ (3,753,026) |
Noncurrent portion | 4,340,421 | ¥ 4,603,322 |
Connectivity Lines [Member] | ||
Note 9 - Leases (Details) - Lessee Future Minimum Lease Payments [Line Items] | ||
2,016 | 390,720 | |
2,017 | 390,720 | |
2,018 | 193,610 | |
Total minimum lease payments | 975,050 | |
Other Operating Leases [Member] | ||
Note 9 - Leases (Details) - Lessee Future Minimum Lease Payments [Line Items] | ||
2,016 | 3,119,351 | |
2,017 | 3,264,243 | |
2,018 | 700,711 | |
2,019 | 116,649 | |
2,020 | 111,880 | |
2021 and thereafter | 308,681 | |
Total minimum lease payments | ¥ 7,621,515 |
Note 9 - Leases (Details) - Sal
Note 9 - Leases (Details) - Sales-Type Leases - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 | |
Sales-Type Leases [Abstract] | |||
2,016 | ¥ 715,357 | ||
2,017 | 348,041 | ||
2,018 | 254,580 | ||
2,019 | 147,406 | ||
2,020 | 23,272 | ||
Total minimum lease payments to be received* | [1] | 1,488,656 | ¥ 1,434,815 |
Less unearned income | (24,278) | (22,364) | |
Net investment in sales-type leases | 1,464,378 | 1,412,451 | |
Less current portion | (702,219) | (659,677) | |
Non-current net investment in sales-type leases | ¥ 762,159 | ¥ 752,774 | |
[1] | Estimated executory costs, including profit thereon, of 268,598 thousand and 345,698 thousand were excluded from total minimum lease payments to be received as of March 31, 2014 and 2015, respectively. |
Note 10 - Asset Retirement Ob74
Note 10 - Asset Retirement Obligations (Details) - Asset Retirement Obligations - JPY (¥) ¥ in Thousands | 12 Months Ended | |
Mar. 31, 2015 | Mar. 31, 2014 | |
Asset Retirement Obligations [Abstract] | ||
Balance at beginning of the year | ¥ 513,440 | ¥ 334,585 |
Liabilities incurred | 287,036 | 122,157 |
Liabilities settled | (243,109) | |
Accretion expense | 11,502 | 8,041 |
Revision in estimated cash flows related to head office relocation | 48,657 | |
Balance at end of the year | ¥ 568,869 | ¥ 513,440 |
Note 11 - Borrowings (Details)
Note 11 - Borrowings (Details) - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 |
Debt Disclosure [Abstract] | ||
Short-term Debt, Weighted Average Interest Rate | 0.568% | 0.60% |
Line of Credit Facility, Maximum Borrowing Capacity (in Yen) | ¥ 10,750,000 |
Note 11 - Borrowings (Details)
Note 11 - Borrowings (Details) - Long-Term Borrowing ¥ in Thousands | Mar. 31, 2014JPY (¥) |
Debt Instrument [Line Items] | |
Long-term installment payable at various dates through the year ended March 31, 2015. Interest is payable at variable rates based on Tokyo InterBank Offered Rate (TIBOR) which was 0.212% as of March 31, 2014. Weighted average interest rate was 0.901% at March 31, 2014. | ¥ 980,000 |
Less current portion | ¥ (980,000) |
Note 11 - Borrowings (Details77
Note 11 - Borrowings (Details) - Long-Term Borrowing (Parentheticals) - Mar. 31, 2014 | Total |
Debt Instrument [Line Items] | |
Weighted average interest rate | 0.901% |
TIBOR [Member] | |
Debt Instrument [Line Items] | |
TIBOR rate | 0.212% |
Note 12 - Income Taxes (Details
Note 12 - Income Taxes (Details) - JPY (¥) | 12 Months Ended | |||
Mar. 31, 2016 | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Note 12 - Income Taxes (Details) [Line Items] | ||||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 35.90% | 38.30% | 38.30% | |
Increase in Deferred Tax Liability, Net | ¥ 51,788,000 | ¥ 106,487,000 | ||
Valuation Allowance, Deferred Tax Asset, Increase (Decrease), Amount | 183,813,000 | (933,623,000) | ¥ (647,079,000) | |
Undistributed Earnings of Foreign Subsidiaries | 369,731,000 | |||
Unrecognized Tax Benefits | 0 | ¥ 0 | ||
Japan [Member] | ||||
Note 12 - Income Taxes (Details) [Line Items] | ||||
Operating Loss Carryforwards | 1,586,120,000 | |||
United States [Member] | ||||
Note 12 - Income Taxes (Details) [Line Items] | ||||
Operating Loss Carryforwards | 1,205,332,000 | |||
Other Countries [Member] | ||||
Note 12 - Income Taxes (Details) [Line Items] | ||||
Operating Loss Carryforwards | ¥ 763,855,000 | |||
Scenario, Forecast [Member] | ||||
Note 12 - Income Taxes (Details) [Line Items] | ||||
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 34.20% | |||
Japan [Member] | ||||
Note 12 - Income Taxes (Details) [Line Items] | ||||
Open Tax Year | 2,013 | |||
Internal Revenue Service (IRS) [Member] | ||||
Note 12 - Income Taxes (Details) [Line Items] | ||||
Open Tax Year | 2,006 |
Note 12 - Income Taxes (Detai79
Note 12 - Income Taxes (Details) - Income From Operations Before Income Tax Expense - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Income from operations before income tax expense and equity in net income of equity method investees: | |||
Domestic | ¥ 5,407,802 | ¥ 6,406,153 | ¥ 7,825,846 |
Foreign | (268,810) | (131,262) | (68,982) |
Total | 5,138,992 | 6,274,891 | 7,756,864 |
Income taxes―current: | |||
Domestic | 1,720,557 | 2,453,549 | 3,140,964 |
Foreign | (34,922) | 41,582 | (6,254) |
Total | 1,685,635 | 2,495,131 | 3,134,710 |
Income taxes―deferred: | |||
Domestic | 181,088 | (729,822) | (528,832) |
Foreign | 30,142 | 29,996 | 1,704 |
Total | ¥ 211,230 | ¥ (699,826) | ¥ (527,128) |
Note 12 - Income Taxes (Detai80
Note 12 - Income Taxes (Details) - Deferred Tax Assets and Liabilities - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 | |
Note 12 - Income Taxes (Details) - Deferred Tax Assets and Liabilities [Line Items] | |||
Unrealized gains on available-for-sale securities | ¥ 832,426 | ¥ 847,033 | |
Capital leases | 141,255 | 106,807 | |
Accrued expenses | 995,253 | 748,875 | |
Retirement and pension cost | 960,151 | 816,558 | |
Allowance for doubtful accounts | 58,760 | 48,885 | |
Depreciation | 101,652 | ||
Net loss on other investments | 230,794 | 240,698 | |
Operating loss carryforwards | ¥ 1,276,690 | ¥ 1,370,277 | |
Transactions in transit* | [1] | ||
Transactions in transit* | [1] | ¥ 106,631 | ¥ 86,953 |
Impairment loss on telephone rights | 74,268 | 77,690 | |
Accrued enterprise tax | 86,448 | 101,252 | |
Asset retirement obligation | 194,553 | 184,325 | |
Deferred revenue | 353,098 | 614,054 | |
Investments in equity method investees | 241,210 | 233,550 | |
Investments in funds | 100,045 | 131,443 | |
Other | 333,752 | 85,770 | |
Other | 245,421 | 166,346 | |
Total | 4,995,488 | 4,843,452 | |
Total | 3,573,608 | 3,567,953 | |
Valuation allowance | (611,997) | (428,184) | |
Total | 4,383,491 | 4,415,268 | |
Total | 3,573,608 | 3,567,953 | |
Tax deduction of goodwill | 810,172 | 690,499 | |
Excess of tax deductible goodwill over the reported amount of goodwill | 88,769 | 316,818 | |
Customer Relationships [Member] | |||
Note 12 - Income Taxes (Details) - Deferred Tax Assets and Liabilities [Line Items] | |||
Intangible assets | 1,299,335 | 1,505,159 | |
Trademarks [Member] | |||
Note 12 - Income Taxes (Details) - Deferred Tax Assets and Liabilities [Line Items] | |||
Intangible assets | ¥ 38,413 | ¥ 38,413 | |
[1] | This item arises from transactions between IIJ and foreign subsidiaries, which were recorded in the different periods as a result of the difference in each company's fiscal year-end. |
Note 12 - Income Taxes (Detai81
Note 12 - Income Taxes (Details) - Operating Loss Carryforwards ¥ in Thousands | Mar. 31, 2015JPY (¥) |
Enterprise Tax [Member] | |
Note 12 - Income Taxes (Details) - Operating Loss Carryforwards [Line Items] | |
Operating Loss Carryforward | ¥ 586,329 |
Enterprise Tax [Member] | Tax Year 2020 and Thereafter [Member] | |
Note 12 - Income Taxes (Details) - Operating Loss Carryforwards [Line Items] | |
Operating Loss Carryforward | 586,329 |
Inhabitant Tax [Member] | |
Note 12 - Income Taxes (Details) - Operating Loss Carryforwards [Line Items] | |
Operating Loss Carryforward | 149,538 |
Inhabitant Tax [Member] | Tax Year 2020 and Thereafter [Member] | |
Note 12 - Income Taxes (Details) - Operating Loss Carryforwards [Line Items] | |
Operating Loss Carryforward | 149,538 |
Others [Member] | |
Note 12 - Income Taxes (Details) - Operating Loss Carryforwards [Line Items] | |
Operating Loss Carryforward | 3,555,307 |
Others [Member] | Tax Year 2018 [Member] | |
Note 12 - Income Taxes (Details) - Operating Loss Carryforwards [Line Items] | |
Operating Loss Carryforward | 84,479 |
Others [Member] | Tax Year 2019 [Member] | |
Note 12 - Income Taxes (Details) - Operating Loss Carryforwards [Line Items] | |
Operating Loss Carryforward | 865,365 |
Others [Member] | Tax Year 2020 and Thereafter [Member] | |
Note 12 - Income Taxes (Details) - Operating Loss Carryforwards [Line Items] | |
Operating Loss Carryforward | ¥ 2,605,463 |
Note 12 - Income Taxes (Detai82
Note 12 - Income Taxes (Details) - Income Tax Reconciliation - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Income Tax Reconciliation [Abstract] | |||
Amount computed by using normal Japanese statutory tax rate | ¥ 1,844,898 | ¥ 2,403,283 | ¥ 2,970,879 |
Increase (decrease) in taxes resulting from: | |||
Expenses not deductible for tax purpose | 76,258 | 102,634 | 89,012 |
Inhabitant tax—per capita | 39,114 | 37,122 | 35,809 |
Change in valuation allowance | 159,163 | (957,182) | (666,973) |
Tax effects on investments in equity method investees | 19,650 | 65,489 | 168,061 |
Enterprise tax —not based on income | 90,086 | 82,191 | 77,868 |
Tax rate change | 51,788 | 106,487 | |
Tax credit | (232,834) | ||
Tax refund by loss carryback | (32,275) | ||
Other—net | (118,983) | (44,719) | (67,074) |
Income tax expense as reported | ¥ 1,896,865 | ¥ 1,795,305 | ¥ 2,607,582 |
Note 13 - Retirement and Pens83
Note 13 - Retirement and Pension Plans (Details) - JPY (¥) ¥ in Thousands | 12 Months Ended | |||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | Jun. 30, 2011 | |
Note 13 - Retirement and Pension Plans (Details) [Line Items] | ||||
Defined Benefit Plan, Accumulated Benefit Obligation | ¥ 3,323,739 | ¥ 2,765,988 | ||
Defined Benefit Plan, Pension Plans with Accumulated Benefit Obligations in Excess of Plan Assets, Aggregate Accumulated Benefit Obligation | 5,285,093 | 4,426,598 | ||
Defined Benefit Plan, Plans with Benefit Obligations in Excess of Plan Assets, Aggregate Fair Value of Plan Assets | 2,930,310 | 2,424,499 | ||
Defined Benefit Plan Plans with Benefit Obligations with No Plan Assets Aggregate Benefit Obligation | ¥ 90,851 | 79,449 | ||
Defined Benefit Plan, Unrecognized Net Loss, Amortization Period | 14 years | |||
Defined Benefit Plan, Unrecognized Net Obligation, Amortization Period | 21 years | |||
Defined Benefit Plan, Future Amortization of Gain (Loss) | ¥ 2,972 | |||
Defined Benefit Plan, Future Amortization of Transition Obligation (Asset) | 365 | |||
Defined Benefit Plans, Estimated Future Employer Contributions in Next Fiscal Year | ¥ 322,826 | |||
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent | 1.60% | |||
Pension Contributions | ¥ 134,591 | 125,195 | ¥ 114,450 | |
Multiemployer Plan, Period Contributions | ¥ 293,132 | ¥ 265,470 | ¥ 244,666 | |
Multiemployer Plan Period Contributions, Percentage | 5.00% | 5.00% | 5.00% | |
Multiemployer Plans, Plan Assets | ¥ 732,357,752 | |||
Other Postretirement Benefits Payments | ¥ 2,010 | |||
Auditor Retirement Benefits [Member] | ||||
Note 13 - Retirement and Pension Plans (Details) [Line Items] | ||||
Other Postretirement Benefits Payable | 5,530 | 3,520 | ||
Full-Time Director Benefits [Member] | ||||
Note 13 - Retirement and Pension Plans (Details) [Line Items] | ||||
Other Postretirement Benefits Payable | ¥ 255,330 | |||
Parent Company and Subsidiaries [Member] | Full-Time Director Benefits [Member] | ||||
Note 13 - Retirement and Pension Plans (Details) [Line Items] | ||||
Other Postretirement Benefits Payable | ¥ 430,638 | ¥ 268,921 | ||
Debt Securities [Member] | ||||
Note 13 - Retirement and Pension Plans (Details) [Line Items] | ||||
Defined Benefit Plan, Target Plan Asset Allocations | 63.00% | |||
Equity Securities [Member] | ||||
Note 13 - Retirement and Pension Plans (Details) [Line Items] | ||||
Defined Benefit Plan, Target Plan Asset Allocations | 35.00% | |||
Other Financial Instruments [Member] | ||||
Note 13 - Retirement and Pension Plans (Details) [Line Items] | ||||
Defined Benefit Plan, Target Plan Asset Allocations | 2.00% | |||
Contributions Allocated to Debt Securities, Equity Securities, and Other Financial Instruments [Member] | ||||
Note 13 - Retirement and Pension Plans (Details) [Line Items] | ||||
Defined Benefit Plan, Target Plan Asset Allocations | 50.00% | |||
Contributions Allocated to Life Insurance Pooled Investment Portfolios [Member] | ||||
Note 13 - Retirement and Pension Plans (Details) [Line Items] | ||||
Defined Benefit Plan, Target Plan Asset Allocations | 50.00% | |||
Minimum [Member] | ||||
Note 13 - Retirement and Pension Plans (Details) [Line Items] | ||||
Multiemployer Plans, Funded Status, Percentage | 80.00% |
Note 13 - Retirement and Pens84
Note 13 - Retirement and Pension Plans (Details) - Net Periodic Pension Cost - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Net Periodic Pension Cost [Abstract] | |||
Service cost | ¥ 573,956 | ¥ 542,584 | ¥ 479,158 |
Interest cost | 73,902 | 45,418 | 46,975 |
Expected return on plan assets | (63,037) | (48,303) | (29,796) |
Amortization of transition obligation | 369 | 369 | 369 |
Amortization of actuarial gain | (2,782) | ||
Net periodic pension cost | ¥ 582,408 | ¥ 540,068 | ¥ 496,706 |
Note 13 - Retirement and Pens85
Note 13 - Retirement and Pension Plans (Details) - Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive Income - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive Income [Abstract] | |||
Net actuarial loss (gain) | ¥ 127,065 | ¥ (63,775) | ¥ 92,808 |
Amortization of transition obligation in net periodic pension cost | (369) | (369) | (369) |
Amortization of actuarial gain | 2,782 | ||
Amounts recognized in other comprehensive income | 129,478 | (64,144) | 92,439 |
Total net periodic pension cost and amounts recognized in other comprehensive income | ¥ 711,886 | ¥ 475,924 | ¥ 589,145 |
Note 13 - Retirement and Pens86
Note 13 - Retirement and Pension Plans (Details) - Change in Benefit Obligation and Plan Assets - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Change in benefit obligation: | |||
Benefit obligation at beginning of year | ¥ 4,426,598 | ¥ 3,855,332 | |
Service cost | 573,956 | 542,584 | ¥ 479,158 |
Interest cost | 73,902 | 45,418 | 46,975 |
Actuarial loss | 283,860 | 17,098 | |
Benefit paid | (73,223) | (33,834) | |
Benefit obligation at end of year | 5,285,093 | 4,426,598 | 3,855,332 |
Change in plan assets: | |||
Fair value of plan assets at beginning of year | 2,424,499 | 2,012,611 | |
Actual return on plan assets | 219,832 | 129,176 | |
Employer contribution | 322,826 | 296,631 | |
Benefits paid | (36,847) | (13,919) | |
Fair value of plan assets at end of year | 2,930,310 | 2,424,499 | ¥ 2,012,611 |
Funded status at end of year | ¥ (2,354,783) | ¥ (2,002,099) |
Note 13 - Retirement and Pens87
Note 13 - Retirement and Pension Plans (Details) - Amounts Recognized in Consolidated Balance Sheets - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 |
Amounts Recognized in Consolidated Balance Sheets [Abstract] | ||
Accrued retirement and pension costs―noncurrent | ¥ (2,354,783) | ¥ (2,002,099) |
Note 13 - Retirement and Pens88
Note 13 - Retirement and Pension Plans (Details) - Amounts Recognized in Accumulated Other Comprehensive Income - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 |
Amounts Recognized in Accumulated Other Comprehensive Income [Abstract] | ||
Net actuarial loss | ¥ 371,122 | ¥ 241,275 |
Obligation at transition | 365 | 734 |
Total | ¥ 371,487 | ¥ 242,009 |
Note 13 - Retirement and Pens89
Note 13 - Retirement and Pension Plans (Details) - Actuarial Assumptions | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Actuarial Assumptions [Abstract] | |||
Discount rate | 1.30% | 1.70% | |
Discount rate | 1.70% | 1.20% | 1.50% |
Expected long-term rate of return on plan assets | 2.60% | 2.40% | 1.80% |
Rate of increase in compensation | 3.20% | 3.20% | |
Rate of increase in compensation | 3.20% | 3.30% | 3.30% |
Note 13 - Retirement and Pens90
Note 13 - Retirement and Pension Plans (Details) - Benefit Payments Expected to Be Paid ¥ in Thousands | Mar. 31, 2015JPY (¥) |
Benefit Payments Expected to Be Paid [Abstract] | |
2,016 | ¥ 74,423 |
2,017 | 96,280 |
2,018 | 122,307 |
2,019 | 133,473 |
2,020 | 152,318 |
2021 - 2025 | 1,428,531 |
Total | ¥ 2,007,332 |
Note 13 - Retirement and Pens91
Note 13 - Retirement and Pension Plans (Details) - Basis of Fair Value Measurement of Pension Plan Assets - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 |
Equity securities: | |||
Plan assets | ¥ 2,930,310 | ¥ 2,424,499 | ¥ 2,012,611 |
Other Financial Instruments [Member] | |||
Equity securities: | |||
Plan assets | 1,109,010 | 950,011 | |
Cash [Member] | |||
Equity securities: | |||
Plan assets | 165,145 | 88,083 | |
Japanese Equity Securities [Member] | Equity Securities [Member] | |||
Equity securities: | |||
Plan assets | 417,833 | 348,758 | |
U.S. Equity Securities [Member] | Equity Securities [Member] | |||
Equity securities: | |||
Plan assets | 124,670 | 89,304 | |
Other Equity Securities - Developed Countries [Member] | Equity Securities [Member] | |||
Equity securities: | |||
Plan assets | 78,027 | 61,498 | |
Equity Securities [Member] | Equity Securities [Member] | |||
Equity securities: | |||
Plan assets | 620,530 | 499,560 | |
Japanese Government and Municipalities [Member] | Debt Securities [Member] | |||
Equity securities: | |||
Plan assets | 495,637 | 486,308 | |
Domestic Corporate Debt Securities [Member] | Debt Securities [Member] | |||
Equity securities: | |||
Plan assets | 256,954 | 164,037 | |
US Government Agencies Debt Securities [Member] | Debt Securities [Member] | |||
Equity securities: | |||
Plan assets | 110,851 | 65,339 | |
Other Government Debt Securities - Developed Countries [Member] | Debt Securities [Member] | |||
Equity securities: | |||
Plan assets | 152,927 | 151,824 | |
Residential Mortgage Backed Securities [Member] | Debt Securities [Member] | |||
Equity securities: | |||
Plan assets | 19,256 | 19,337 | |
Debt Securities [Member] | Debt Securities [Member] | |||
Equity securities: | |||
Plan assets | 1,035,625 | 886,845 | |
Fair Value, Inputs, Level 1 [Member] | |||
Equity securities: | |||
Plan assets | 785,675 | 587,643 | |
Fair Value, Inputs, Level 1 [Member] | Cash [Member] | |||
Equity securities: | |||
Plan assets | 165,145 | 88,083 | |
Fair Value, Inputs, Level 1 [Member] | Japanese Equity Securities [Member] | Equity Securities [Member] | |||
Equity securities: | |||
Plan assets | 417,833 | 348,758 | |
Fair Value, Inputs, Level 1 [Member] | U.S. Equity Securities [Member] | Equity Securities [Member] | |||
Equity securities: | |||
Plan assets | 124,670 | 89,304 | |
Fair Value, Inputs, Level 1 [Member] | Other Equity Securities - Developed Countries [Member] | Equity Securities [Member] | |||
Equity securities: | |||
Plan assets | 78,027 | 61,498 | |
Fair Value, Inputs, Level 1 [Member] | Equity Securities [Member] | Equity Securities [Member] | |||
Equity securities: | |||
Plan assets | 620,530 | 499,560 | |
Fair Value, Inputs, Level 2 [Member] | |||
Equity securities: | |||
Plan assets | 2,144,635 | 1,836,856 | |
Fair Value, Inputs, Level 2 [Member] | Other Financial Instruments [Member] | |||
Equity securities: | |||
Plan assets | 1,109,010 | 950,011 | |
Fair Value, Inputs, Level 2 [Member] | Japanese Government and Municipalities [Member] | Debt Securities [Member] | |||
Equity securities: | |||
Plan assets | 495,637 | 486,308 | |
Fair Value, Inputs, Level 2 [Member] | Domestic Corporate Debt Securities [Member] | Debt Securities [Member] | |||
Equity securities: | |||
Plan assets | 256,954 | 164,037 | |
Fair Value, Inputs, Level 2 [Member] | US Government Agencies Debt Securities [Member] | Debt Securities [Member] | |||
Equity securities: | |||
Plan assets | 110,851 | 65,339 | |
Fair Value, Inputs, Level 2 [Member] | Other Government Debt Securities - Developed Countries [Member] | Debt Securities [Member] | |||
Equity securities: | |||
Plan assets | 152,927 | 151,824 | |
Fair Value, Inputs, Level 2 [Member] | Residential Mortgage Backed Securities [Member] | Debt Securities [Member] | |||
Equity securities: | |||
Plan assets | 19,256 | 19,337 | |
Fair Value, Inputs, Level 2 [Member] | Debt Securities [Member] | Debt Securities [Member] | |||
Equity securities: | |||
Plan assets | ¥ 1,035,625 | ¥ 886,845 |
Note 14 - Shareholders' Equit92
Note 14 - Shareholders' Equity (Details) ¥ / shares in Units, ¥ in Thousands | Nov. 07, 2014JPY (¥)¥ / shares | Jul. 10, 2014¥ / sharesshares | Jan. 01, 2014shares | Nov. 08, 2013JPY (¥)¥ / shares | Jul. 11, 2013¥ / sharesshares | Nov. 08, 2012JPY (¥)¥ / shares | Oct. 01, 2012shares | Jul. 13, 2012¥ / sharesshares | Jun. 25, 2014JPY (¥)¥ / shares | Aug. 31, 2013JPY (¥)¥ / sharesshares | Jul. 31, 2013¥ / sharesshares | Jun. 26, 2013JPY (¥)¥ / shares | Jun. 27, 2012JPY (¥)¥ / shares | Mar. 31, 2015JPY (¥)¥ / sharesshares | Mar. 31, 2014JPY (¥)¥ / sharesshares | Mar. 31, 2013JPY (¥)¥ / shares | Jun. 28, 2011¥ / shares | Jun. 28, 2006JPY (¥) |
Note 14 - Shareholders' Equity (Details) [Line Items] | ||||||||||||||||||
Net Assets Minimum Requirement After Dividends | ¥ 3,000 | |||||||||||||||||
Adjustments to Additional Paid in Capital to Eliminate Accumulated Deficit | ¥ 21,980,395 | |||||||||||||||||
Adjustments Common Stock to Eliminate Accumulated Deficit | ¥ 2,539,222 | |||||||||||||||||
Percentage of Dividends Appropriated as Legal Reserve | 10.00% | |||||||||||||||||
Additional Paid in Capital Percentage of Common Stock | 25.00% | |||||||||||||||||
Retained Earnings Available For Dividends Under the Company Act | ¥ 23,022,416 | |||||||||||||||||
Common Stock, Dividends, Per Share, Declared (in Yen per share) | ¥ / shares | ¥ 11 | ¥ 11 | ¥ 8.75 | ¥ 11 | ¥ 10 | ¥ 8.75 | ||||||||||||
Dividends | ¥ 505,365 | ¥ 505,329 | ¥ 354,697 | ¥ 505,330 | ¥ 405,368 | ¥ 354,697 | ||||||||||||
Stockholders' Equity Note, Stock Split, Conversion Ratio | 200 | |||||||||||||||||
Stock Issued During Period, Shares, New Issues (in Shares) | shares | 700,000 | 4,700,000 | ||||||||||||||||
Sale of Stock, Price Per Share (in Yen per share) | ¥ / shares | ¥ 3,208 | ¥ 3,346 | ||||||||||||||||
Share Price (in Yen per share) | ¥ / shares | ¥ 3,208 | |||||||||||||||||
Adjustments to Additional Paid in Capital, Stock Issued, Issuance Costs | ¥ 51,996 | |||||||||||||||||
Proceeds from Issuance of Common Stock | ¥ 17,271,204 | ¥ 17,271,204 | ||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price (in Yen per share) | ¥ / shares | ¥ 1 | ¥ 1 | ¥ 1 | ¥ 1 | ||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross (in Shares) | shares | 128 | 89 | ||||||||||||||||
Share-based Compensation | ¥ 54,965 | ¥ 53,542 | ¥ 40,007 | |||||||||||||||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | ¥ 13,523 | |||||||||||||||||
Directors and Executive Officers [Member] | ||||||||||||||||||
Note 14 - Shareholders' Equity (Details) [Line Items] | ||||||||||||||||||
Options Exercisable Service Period | 1 year | |||||||||||||||||
Options Exercisable Expiration Period | 29 years | |||||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross (in Shares) | shares | 128 | 89 | 130 | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value (in Yen per share) | ¥ / shares | ¥ 422,600 | ¥ 647,000 | ¥ 318,562 | |||||||||||||||
Options After Stock Split [Member] | ||||||||||||||||||
Note 14 - Shareholders' Equity (Details) [Line Items] | ||||||||||||||||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights (in Shares) | shares | 200 | |||||||||||||||||
IIJ-Exlayer [Member] | Treasury Stock [Member] | ||||||||||||||||||
Note 14 - Shareholders' Equity (Details) [Line Items] | ||||||||||||||||||
Treasury Stock Alloted During Period, Shares, Acquisitions (in Shares) | shares | 104 |
Note 14 - Shareholders' Equit93
Note 14 - Shareholders' Equity (Details) - Black-Scholes Option-Pricing Model Assumptions | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Assumptions: | |||
Risk-free interest rate | 0.98% | 1.314% | 1.298% |
Expected lives (years) | 15 years | 15 years | 15 years |
Expected volatility | 55.217% | 55.861% | 57.02% |
Expected dividends | 0.909% | 0.535% | 0.893% |
Note 14 - Shareholders' Equit94
Note 14 - Shareholders' Equity (Details) - Stock Acquisition Rights Plan - JPY (¥) ¥ / shares in Units, ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Stock Acquisition Rights Plan [Abstract] | |||
Unexercised options outstanding | 458 | 346 | 268 |
UnexercisedOptionsOutstandingShares | 91,600 | 69,200 | 53,600 |
Unexercised options outstanding exercise price (in Yen per share and Dollars per share) | ¥ 1 | ¥ 1 | ¥ 1 |
Exercisable options—March 31, 2015 | 330 | ||
Exercisable options—March 31, 2015 | 66,000 | ||
Exercisable options—March 31, 2015 (in Yen per share and Dollars per share) | ¥ 1 | ||
Exercisable options—March 31, 2015 | 27 years 113 days | ||
Exercisable options—March 31, 2015 (in Yen and Dollars) | ¥ 130,254 | ||
Expected to vest after July 11, 2015 | 128 | ||
Expected to vest after July 11, 2015 | 25,600 | ||
Expected to vest after July 11, 2015 (in Yen per share and Dollars per share) | ¥ 1 | ||
Expected to vest after July 11, 2015 | 29 years 109 days | ||
Expected to vest after July 11, 2015 (in Yen and Dollars) | ¥ 50,523 | ||
Number of options granted | 128 | 89 | |
Number of shares granted | 25,600 | 17,800 | |
Options granted exercise price (in Yen per share and Dollars per share) | ¥ 1 | ¥ 1 | |
Number of options exercised | (16) | (11) | |
Number of shares exercised | (3,200) | (2,200) | |
Exercise price options exercised (in Yen per share and Dollars per share) | ¥ 1 | ¥ 1 |
Note 14 - Shareholders' Equit95
Note 14 - Shareholders' Equity (Details) - Effects of Changes in IIJ’s Ownership Interest in Its Subsidiaries in the Company’s Shareholder’s Equity - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items] | |||
Net income attributable to IIJ | ¥ 3,322,081 | ¥ 4,442,237 | ¥ 5,300,654 |
Transfers from the noncontrolling interests | |||
Transfers (to) from noncontrolling interest | 99 | ||
Change from net income attributable to IIJ and transfers from noncontrolling interests | ¥ 3,322,081 | 4,442,336 | ¥ 5,300,654 |
IIJ-Exlayer [Member] | |||
Transfers from the noncontrolling interests | |||
Transfers (to) from noncontrolling interest | ¥ 99 |
Note 15 - Other Comprehensive96
Note 15 - Other Comprehensive Income (Loss) (Details) - Tax Effects Allocated to Each Component of Other Comprehensive Income (Loss) - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Tax Effects Allocated to Each Component of Other Comprehensive Income (Loss) [Abstract] | |||
Foreign currency translation adjustments, before tax amount | ¥ 243,538 | ¥ 419,557 | ¥ 90,014 |
Foreign currency translation adjustments, net of tax amount | 243,538 | 419,557 | 90,014 |
Unrealized holding gain (loss) on securities: | |||
Amount arising during the period, before tax amount | 124,370 | 1,656,759 | 380,637 |
Amount arising during the period, tax (expense) benefit | (44,649) | (594,776) | (136,649) |
Amount arising during the period, net of tax amount | 79,721 | 1,061,983 | 243,988 |
Less: Reclassification adjustments for losses included in net income, before tax amount | (35,934) | (107,655) | 19,788 |
Less: Reclassification adjustments for losses included in net income, tax (expense) benefit | 12,900 | 41,232 | (7,579) |
Less: Reclassification adjustments for losses included in net income, net of tax amount | (23,034) | (66,423) | 12,209 |
Defined benefit pension plans: | |||
Other, tax (expense) benefit | 4,903 | (7,421) | 324 |
Other, net of tax amount | 4,903 | (7,421) | 324 |
Net unrealized holding gain (loss) during the period, before tax amount | 88,436 | 1,549,104 | 400,425 |
Net unrealized holding gain (loss) during the period, tax (expense) benefit | (26,846) | (560,965) | (143,904) |
Net unrealized holding gain (loss) during the period, net of tax amount | 61,590 | 988,139 | 256,521 |
Defined benefit pension plans: | |||
Amount arising during the period, before tax amount | (127,065) | 63,775 | (92,808) |
Amount arising during the period, tax (expense) benefit | 45,616 | (22,896) | 33,319 |
Amount arising during the period, net of tax amount | (81,449) | 40,879 | (59,489) |
Less: Reclassification adjustments for gains included in net income, before tax amount | (2,413) | 369 | 369 |
Less: Reclassification adjustments for gains included in net income, tax (expense) benefit | 862 | (133) | (132) |
Less: Reclassification adjustments for gains included in net income, net of tax amount | (1,551) | 236 | 237 |
Net defined benefit pension plans, before tax amount | (129,478) | 64,144 | (92,439) |
Net defined benefit pension plans, tax (expense) benefit | 46,478 | (23,029) | 33,187 |
Net defined benefit pension plans, net of tax amount | (83,000) | 41,115 | (59,252) |
Other comprehensive income (loss), before tax amount | 202,496 | 2,032,805 | 398,000 |
Other comprehensive income (loss), tax (expense) benefit | 19,632 | (583,994) | (110,717) |
Other comprehensive income, net of tax | ¥ 222,128 | ¥ 1,448,811 | ¥ 287,283 |
Note 15 - Other Comprehensive97
Note 15 - Other Comprehensive Income (Loss) (Details) - Changes in Accumulated Other Comprehensive Income (Loss) by Component - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Year Ended | ¥ 1,712,786 | ||
Other comprehensive income (loss) | 222,128 | ¥ 1,448,811 | ¥ 287,283 |
Year Ended | 1,938,649 | 1,712,786 | |
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Year Ended | 1,483,356 | 495,217 | |
Other comprehensive income (loss) before reclassifications | 84,624 | 1,054,562 | |
Amounts reclassified out of accumulated other comprehensive income | (23,034) | (66,423) | |
Other comprehensive income (loss) | 61,590 | 988,139 | |
Year Ended | 1,544,946 | 1,483,356 | 495,217 |
Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Year Ended | (146,203) | (187,318) | |
Other comprehensive income (loss) before reclassifications | (81,449) | 40,879 | |
Amounts reclassified out of accumulated other comprehensive income | (1,551) | 236 | |
Other comprehensive income (loss) | (83,000) | 41,115 | |
Year Ended | (229,203) | (146,203) | (187,318) |
Accumulated Foreign Currency Adjustment Attributable to Parent [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Year Ended | 375,633 | (44,129) | |
Other comprehensive income (loss) before reclassifications | 247,273 | 419,701 | |
Other comprehensive income (loss) | 247,273 | 419,701 | |
Other | 61 | ||
Year Ended | 622,906 | 375,633 | (44,129) |
AOCI Attributable to Parent [Member] | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Year Ended | 1,712,786 | 263,770 | |
Other comprehensive income (loss) before reclassifications | 250,448 | 1,515,142 | |
Amounts reclassified out of accumulated other comprehensive income | (24,585) | (66,187) | |
Other comprehensive income (loss) | 225,863 | 1,448,955 | 287,303 |
Other | 61 | ||
Year Ended | ¥ 1,938,649 | ¥ 1,712,786 | ¥ 263,770 |
Note 15 - Other Comprehensive98
Note 15 - Other Comprehensive Income (Loss) (Details) - Components of Accumulated Other Comprehensive Income (Loss) - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Other comprehensive income (loss) components: | |||
Income tax expense | ¥ 1,896,865 | ¥ 1,795,305 | ¥ 2,607,582 |
Net income | 3,396,753 | 4,683,632 | 5,317,347 |
Total amount reclassified | 3,322,081 | 4,442,237 | ¥ 5,300,654 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | |||
Other comprehensive income (loss) components: | |||
Total amount reclassified | 24,585 | 66,187 | |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Net Investment Gain (Loss) Attributable to Parent [Member] | |||
Other comprehensive income (loss) components: | |||
Unrealized holding gain on securities | 35,934 | 107,655 | |
Income tax expense | (12,900) | (41,232) | |
Net income | 23,034 | 66,423 | |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Accumulated Defined Benefit Plans Adjustment Attributable to Parent [Member] | |||
Other comprehensive income (loss) components: | |||
Income tax expense | (862) | 133 | |
Net income | 1,551 | (236) | |
Defined benefit pension plans | ¥ 2,413 | ¥ (369) |
Note 16 - Basic and Diluted N99
Note 16 - Basic and Diluted Net Income Per Common Share (Details) | Oct. 01, 2012 |
Earnings Per Share [Abstract] | |
Stockholders' Equity Note, Stock Split, Conversion Ratio | 200 |
Note 16 - Basic and Diluted 100
Note 16 - Basic and Diluted Net Income Per Common Share (Details) - Earnings Per Share Calculation Numerator - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Numerator: | |||
Net income attributable to Internet Initiative Japan Inc.―basic and diluted | ¥ 3,322,081 | ¥ 4,442,237 | ¥ 5,300,654 |
Note 16 - Basic and Diluted 101
Note 16 - Basic and Diluted Net Income Per Common Share (Details) - Earnings Per Share Calculation Denominator - shares | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Denominator: | |||
Weighted-average common shares outstanding―basic | 45,942,291 | 44,306,680 | 40,536,800 |
Dilutive effect of stock options | 72,446 | 54,403 | 35,800 |
Weighted-average common shares outstanding―diluted | 46,014,737 | 44,361,083 | 40,572,600 |
Note 16 - Basic and Diluted 102
Note 16 - Basic and Diluted Net Income Per Common Share (Details) - Earnings Per Share Basic and Diluted - ¥ / shares | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Earnings Per Share, Basic and Diluted [Abstract] | |||
Basic net income attributable to Internet Initiative Japan Inc. per common share | ¥ 72.31 | ¥ 100.26 | ¥ 130.76 |
Diluted net income attributable to Internet Initiative Japan Inc. per common share | ¥ 72.20 | ¥ 100.14 | ¥ 130.65 |
Note 17 - Commitments And Co103
Note 17 - Commitments And Contingent Liabilities (Details) - Mar. 31, 2015 ¥ in Thousands, $ in Thousands | JPY (¥) | USD ($) | USD ($) |
May 2006, January 2007 and January 2008 Agreements [Member] | |||
Note 17 - Commitments And Contingent Liabilities (Details) [Line Items] | |||
Contractual Obligation | $ 20,000 | ||
Payments to Acquire Investments | $ 13,342 | ||
May 2006, January 2007 and January 2008 Agreements [Member] | Investment Per Fund [Member] | |||
Note 17 - Commitments And Contingent Liabilities (Details) [Line Items] | |||
Contractual Obligation | $ 5,000 | ||
April 2013 Agreement [Member] | |||
Note 17 - Commitments And Contingent Liabilities (Details) [Line Items] | |||
Contractual Obligation | ¥ | ¥ 100,000 | ||
Payments to Acquire Investments | ¥ | ¥ 41,254 |
Note 18 - Financial Instrume104
Note 18 - Financial Instruments (Details) - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 |
Non Marketable Equity Securities [Member] | ||
Note 18 - Financial Instruments (Details) [Line Items] | ||
Fair Value, Estimate Not Practicable, Investments | ¥ 853,629 | ¥ 1,379,623 |
Investments In Funds [Member] | ||
Note 18 - Financial Instruments (Details) [Line Items] | ||
Fair Value, Estimate Not Practicable, Investments | ¥ 1,492,596 | ¥ 1,225,183 |
Note 18 - Financial Instrume105
Note 18 - Financial Instruments (Details) - Carrying Amounts and Fair Value of Financial Instruments - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 |
Estimate of Fair Value Measurement [Member] | ||
Other investments for which it is: | ||
Practicable to estimate fair value | ¥ 4,314,481 | ¥ 3,751,011 |
Practicable to estimate fair value | 4,314,481 | 3,751,011 |
Portion at Other than Fair Value Measurement [Member] | ||
Other investments for which it is: | ||
Not practicable | ¥ 2,346,225 | ¥ 2,604,806 |
Note 19 - Fair Value Measure106
Note 19 - Fair Value Measurements (Details) - Mar. 31, 2015 - JPY (¥) ¥ in Thousands | Total |
Note 19 - Fair Value Measurements (Details) [Line Items] | |
Other Investment Not Readily Marketable, Carrying Value | ¥ 31,552 |
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net | 29,117 |
Fair Value, Inputs, Level 3 [Member] | |
Note 19 - Fair Value Measurements (Details) [Line Items] | |
Other Investment Not Readily Marketable, Fair Value | ¥ 2,435 |
Note 19 - Fair Value Measure107
Note 19 - Fair Value Measurements (Details) - Assets Measured at Fair Value on a Recurring Basis in Yen - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 |
Assets— | ||
Available-for-sale securities― equity securities | ¥ 4,212,571 | ¥ 3,751,011 |
Available-for-sale securities—debt securities | 101,910 | |
Total assets | 4,314,481 | 3,751,011 |
Fair Value, Inputs, Level 1 [Member] | ||
Assets— | ||
Available-for-sale securities― equity securities | 4,212,571 | 3,751,011 |
Total assets | 4,212,571 | ¥ 3,751,011 |
Fair Value, Inputs, Level 2 [Member] | ||
Assets— | ||
Available-for-sale securities—debt securities | 101,910 | |
Total assets | ¥ 101,910 |
Note 19 - Fair Value Measure108
Note 19 - Fair Value Measurements (Details) - Assets Measured at Fair Value on a Nonrecurring Basis - Mar. 31, 2015 - JPY (¥) ¥ in Thousands | Total |
Assets: | |
Non-marketable securities, equity securities, impairment loss | ¥ 29,117 |
Fair Value, Measurements, Nonrecurring [Member] | |
Assets: | |
Non-marketable securities, equity securities, impairment loss | 29,117 |
Fair Value, Inputs, Level 3 [Member] | |
Assets: | |
Non-marketable securities, equity securities, fair value | 2,435 |
Fair Value, Inputs, Level 3 [Member] | Fair Value, Measurements, Nonrecurring [Member] | |
Assets: | |
Non-marketable securities, equity securities, fair value | ¥ 2,435 |
Note 20 - Business Segments (De
Note 20 - Business Segments (Details) - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Note 20 - Business Segments (Details) [Line Items] | |||
Revenues | ¥ 123,050,115 | ¥ 114,272,351 | ¥ 106,248,486 |
IBM Japan [Member] | |||
Note 20 - Business Segments (Details) [Line Items] | |||
Revenues | ¥ 13,125,454 | ¥ 13,456,203 |
Note 20 - Business Segments 110
Note 20 - Business Segments (Details) - Segment Revenues - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Segment Reporting Information [Line Items] | |||
Revenue | ¥ 123,050,115 | ¥ 114,272,351 | ¥ 106,248,486 |
Network Service and Systems Integration Business [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenue | 119,818,554 | 111,901,494 | 104,487,153 |
ATM Operation Business [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenue | 3,640,128 | 2,826,832 | 2,320,086 |
Intersegment Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenue | (408,567) | (455,975) | (558,753) |
Customers [Member] | Network Service and Systems Integration Business [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenue | 119,409,987 | 111,445,519 | 103,928,400 |
Customers [Member] | ATM Operation Business [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenue | 3,640,128 | 2,826,832 | 2,320,086 |
Intersegment [Member] | Network Service and Systems Integration Business [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenue | ¥ 408,567 | ¥ 455,975 | ¥ 558,753 |
Note 20 - Business Segments 111
Note 20 - Business Segments (Details) - Segment Profit or Loss - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Operating income: | |||
Operating Income (Loss) | ¥ 5,075,238 | ¥ 5,723,312 | ¥ 7,752,642 |
Intersegment Eliminations [Member] | |||
Operating income: | |||
Operating Income (Loss) | (146,048) | (130,235) | (115,828) |
Network Service and Systems Integration Business [Member] | |||
Operating income: | |||
Operating Income (Loss) | 4,334,946 | 5,274,753 | 7,629,435 |
ATM Operation Business [Member] | |||
Operating income: | |||
Operating Income (Loss) | ¥ 886,340 | ¥ 578,794 | ¥ 239,035 |
Note 20 - Business Segments 112
Note 20 - Business Segments (Details) - Segment Assets - JPY (¥) ¥ in Thousands | Mar. 31, 2015 | Mar. 31, 2014 |
Segment assets: | ||
Segment assets | ¥ 108,705,315 | ¥ 103,866,575 |
Network Service and Systems Integration Business [Member] | ||
Segment assets: | ||
Segment assets | 105,160,187 | 100,860,325 |
ATM Operation Business [Member] | ||
Segment assets: | ||
Segment assets | ¥ 3,545,128 | ¥ 3,006,250 |
Note 20 - Business Segments 113
Note 20 - Business Segments (Details) - Other Significant Segment Items - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Depreciation and amortization: | |||
Depreciation and amortization | ¥ 9,677,339 | ¥ 8,822,981 | ¥ 7,507,808 |
Network Service and Systems Integration Business [Member] | |||
Depreciation and amortization: | |||
Depreciation and amortization | 9,139,687 | 8,405,080 | 7,178,397 |
ATM Operation Business [Member] | |||
Depreciation and amortization: | |||
Depreciation and amortization | ¥ 537,652 | ¥ 417,901 | ¥ 329,411 |
Note 21 - Advertising Expenses
Note 21 - Advertising Expenses (Details) - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Other Income and Expenses [Abstract] | |||
Advertising Expense | ¥ 574,118 | ¥ 656,890 | ¥ 671,260 |
Note 22 - Related Party Tran115
Note 22 - Related Party Transactions (Details) - NTT [Member] | Mar. 31, 2015 |
Note 22 - Related Party Transactions (Details) [Line Items] | |
Percentage Of Shares Owned By NTT Group | 26.00% |
Percentage Of Voting Shares Owned By NTT Group | 26.40% |
Note 22 - Related Party Tran116
Note 22 - Related Party Transactions (Details) - Related Party Transactions - NTT [Member] - JPY (¥) ¥ in Thousands | 12 Months Ended | ||
Mar. 31, 2015 | Mar. 31, 2014 | Mar. 31, 2013 | |
Related Party Transaction [Line Items] | |||
Accounts receivable | ¥ 463,613 | ¥ 446,857 | |
Accounts payable | 2,535,234 | 1,822,997 | |
Revenues | 2,898,040 | 2,370,954 | ¥ 880,079 |
Costs | ¥ 16,706,036 | ¥ 15,579,173 | ¥ 14,966,177 |
Note 23 - Subsequent Events (De
Note 23 - Subsequent Events (Details) - JPY (¥) ¥ / shares in Units, ¥ in Thousands | Jun. 26, 2015 | Nov. 07, 2014 | Nov. 08, 2013 | Nov. 08, 2012 | Jun. 25, 2014 | Jun. 26, 2013 | Jun. 27, 2012 |
Note 23 - Subsequent Events (Details) [Line Items] | |||||||
Common Stock, Dividends, Per Share, Declared | ¥ 11 | ¥ 11 | ¥ 8.75 | ¥ 11 | ¥ 10 | ¥ 8.75 | |
Subsequent Event [Member] | |||||||
Note 23 - Subsequent Events (Details) [Line Items] | |||||||
Common Stock, Dividends, Per Share, Declared | ¥ 11 | ||||||
Dividends, Common Stock, Cash | ¥ 505,365 |
Uncategorized Items - iiji-2015
Label | Element | Value |
Noncurrent refundable insurance policies (other assets) | us-gaap_CashSurrenderValueOfLifeInsurance | ¥ 110,894 |
Noncurrent refundable insurance policies (other assets) | us-gaap_CashSurrenderValueOfLifeInsurance | 63,062 |
Cash Surrender Value, Fair Value Disclosure | us-gaap_CashSurrenderValueFairValueDisclosure | 110,894 |
Cash Surrender Value, Fair Value Disclosure | us-gaap_CashSurrenderValueFairValueDisclosure | ¥ 63,062 |