Recognition of extraordinary gain
Filing company: G-FACTORY Co., Ltd.; its consolidated subsidiary (name not stated in the main text)
Settlement of litigation concerning claims for construction fees and penalties under an outsourcing agreement, and termination of the outsourcing agreement with the customer company
Settlement proceeds received of ¥38 million and penalty income of ¥46 million recognized as special gains
Third-quarter consolidated accounting period of the fiscal year ending December 2026 (1 July 2026 to 30 September 2026)
The earnings forecast announced on 13 February 2026 remains unchanged. If it is determined that a revision is necessary, it will be announced promptly.
Related procedures
Litigation concerning claims for construction fees and penalties (settlement reached), and penalty income arising from the termination of an outsourcing agreement
The business conditions for the fourth quarter are currently under review, and the full-year consolidated earnings forecast remains unchanged at this time. If it is determined that a revision is necessary, it will be announced promptly.
If it is determined that a revision to the earnings forecast is necessary, it will be announced promptly.
| Item | Details |
|---|---|
| Event name | Recognition of extraordinary gain |
| Date of occurrence | 21 August 2026 (settlement reached in litigation), 14 August 2026 (penalty recognized) |
| Subject Entity | Filing company: G-FACTORY Co., Ltd.; its consolidated subsidiary (name not stated in the main text) |
| Cause | Settlement of litigation concerning claims for construction fees and penalties under an outsourcing agreement, and termination of the outsourcing agreement with the customer company |
| Amount of Impact on Business Performance | Settlement proceeds received of ¥38 million and penalty income of ¥46 million recognized as special gains |
| Accounting period in which recognized | Third-quarter consolidated accounting period of the fiscal year ending December 2026 (1 July 2026 to 30 September 2026) |
| Impact on Earnings Forecast | The earnings forecast announced on 13 February 2026 remains unchanged. If it is determined that a revision is necessary, it will be announced promptly. |
| Type of litigation or proceeding | Litigation concerning claims for construction fees and penalties (settlement reached), and penalty income arising from the termination of an outsourcing agreement |
| Outlook | The business conditions for the fourth quarter are currently under review, and the full-year consolidated earnings forecast remains unchanged at this time. If it is determined that a revision is necessary, it will be announced promptly. |
| Planned follow-up disclosure | If it is determined that a revision to the earnings forecast is necessary, it will be announced promptly. |
Items this document does not state (15)
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 settlement was reached in litigation concerning claims for construction fees and penalties under an outsourcing agreement, and the related settlement was completed. In addition, a penalty arose under the terms of the agreement upon termination of the consolidated subsidiary’s outsourcing agreement.