Decision and Details
Disclaimer of opinion on the financial statements and consolidated financial statements for the fiscal year ended December 2025
Because sufficient appropriate audit evidence could not be obtained, the investigation by the special investigation committee and U.S. authorities is ongoing, and the account items, amounts and notes reflecting the impact have not been determined.
Depending on the investigation results, there may be a material and pervasive impact on the financial statements and related documents, but that impact has not been reflected at this time. The audit firm has not expressed an opinion because it was unable to determine whether revisions were necessary.
| Item | Details |
|---|---|
| Matter Covered | Disclaimer of opinion on the financial statements and consolidated financial statements for the fiscal year ended December 2025 |
| Decision Date | 6 May 2026 (date the audit report was received) |
| Implementation Date | Submission of the approval of the financial statements to an extraordinary general meeting of shareholders (scheduled; the meeting date will be announced once determined) |
| Period Covered | The 26th fiscal year and consolidated fiscal year from 1 January 2025 to 31 December 2025 |
| Amount | Total outsourcing fees: approximately USD 5.4 million; yen equivalent: ¥808.434 million |
| Impact on Business Performance | Depending on the investigation results, there may be a material and pervasive impact on the financial statements and related documents, but that impact has not been reflected at this time. The audit firm has not expressed an opinion because it was unable to determine whether revisions were necessary. |
| Reason | Because sufficient appropriate audit evidence could not be obtained, the investigation by the special investigation committee and U.S. authorities is ongoing, and the account items, amounts and notes reflecting the impact have not been determined. |
| Governing Rule | Article 436(2)(i) and Article 444(4) of the Companies Act |
| Related previous disclosures | Notice Regarding the Disclaimer of Opinion in the Audit Report on the Securities Report for the Fiscal Year Ended December 2025 and the Disclaimer of Opinion in the Internal Control Audit Report, dated 30 April 2026 |
| Future plans | The approval of the financial statements will be submitted as a matter for resolution at an extraordinary general meeting of shareholders. Details of the extraordinary general meeting will be announced promptly once determined. |
Items this document does not state (2)
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.It was discovered that, in relation to outsourcing fees paid by TEN, there were written financial support arrangements that had not been approved by the Board of Directors, discrepancies between the contracting party and the payee, and no confirmation of the substance of the services provided. An investigation by the special investigation committee and U.S. authorities is ongoing, and the account items, amounts and notes reflecting the impact on the financial statements have not been determined.