Komori
Occurring Fact1885TOA CORPORATIONConstruction and Materials

Notice Regarding the Recognition of Provision for Loss on Construction Contracts

In the consolidated financial results for the fiscal year ending March 2026, ¥6,512 million will be recorded in cost of sales as an expense for provision for construction contract losses, in preparation for accident response costs and construction resumption costs relating to construction in progress, as well as increased costs for certain overseas construction projects.

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Deterioration
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6512
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Conditional
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Notice Regarding the Recognition of Provision for Loss on Construction Contracts

Subject Entity

TOA CORPORATION

Target Locations / Products

Demolition work related to making the Raw Material A and B Berths in the Ogishima Sendō Area public, and mainly certain overseas construction projects

This disclosure05/13/2026
Cause

A serious accident at a construction project being carried out by the Company, subcontracting and other costs required for accident response and construction resumption, and increased prices for materials, equipment and labor, mainly on certain overseas construction projects

Amount of Impact on Business Performance

¥6,512 million (recorded as cost of sales)

Accounting period in which recognized

Fiscal year ending March 2026 (1 April 2025 to 31 March 2026)

Impact on Earnings Forecast

Reflected in the “Consolidated Financial Results for the Fiscal Year Ending March 2026 (Japanese GAAP)” disclosed today

Company response

Suspended operations

For the demolition work related to making the Raw Material A and B Berths in the Ogishima Sendō Area public, subcontracting and other costs required to resume construction are mentioned

Outlook

Additional costs, including subcontracting and other costs required for accident response and construction resumption, are expected to arise. Timing: Not disclosed

Event that occurred
ItemDetails
Event nameNotice Regarding the Recognition of Provision for Loss on Construction Contracts
Subject EntityTOA CORPORATION
Target Locations / ProductsDemolition work related to making the Raw Material A and B Berths in the Ogishima Sendō Area public, and mainly certain overseas construction projects
CauseA serious accident at a construction project being carried out by the Company, subcontracting and other costs required for accident response and construction resumption, and increased prices for materials, equipment and labor, mainly on certain overseas construction projects
Amount of Impact on Business Performance¥6,512 million (recorded as cost of sales)
Accounting period in which recognizedFiscal year ending March 2026 (1 April 2025 to 31 March 2026)
Impact on Earnings ForecastReflected in the “Consolidated Financial Results for the Fiscal Year Ending March 2026 (Japanese GAAP)” disclosed today
Suspended operationsFor the demolition work related to making the Raw Material A and B Berths in the Ogishima Sendō Area public, subcontracting and other costs required to resume construction are mentioned
OutlookAdditional costs, including subcontracting and other costs required for accident response and construction resumption, are expected to arise. Timing: Not disclosed
Items this document does not state (16)
Date of occurrenceDate recognized / date notice receivedType of litigation or proceedingCourt or authorityPlaintiffDefendantDate of filing / date of actionClaim amount / surcharge amountAmount of receivables at risk of non-collection or delayed collectionScheduled resumption dateInvestigation structureMeasures to prevent recurrenceDirectors' and officers' liabilityVoting rights ownership percentage before the changeVoting rights ownership percentage after the changePlanned follow-up disclosure

These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.

The reasons the company gives

The company's own explanation, not something inferred from the numbers.

A serious accident occurred at a construction project in progress, and subcontracting and other costs required for accident response and construction resumption are expected. In addition, prices for materials, equipment and labor have risen, mainly on certain overseas construction projects, and costs through completion of the projects are expected to increase.

How to read this page

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Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.
Notice Regarding the Recognition of Provision for Loss on Construction Contracts | TOA CORPORATION (1885) timely disclosure | Komori