Recording of an Extraordinary Loss (Investigation-Related Expenses) in the Interim Period of the Fiscal Year Ending March 2027
BlueMeme Inc. (the Company)
The software transaction in question (the software license agreement executed on 30 March 2020)
Costs required to investigate questions concerning the timing of revenue recognition and accounting treatment for the software transaction in question, as well as the accounting treatment of the related purchase transaction, and to undertake related responses. The investigation report states that it uncovered ¥30 million in overstated revenue and the intentional concealment of, among other matters, a memorandum promising repayment of ¥33.5 million.
Approximately ¥394 million (estimated amount), extraordinary loss (investigation-related expenses)
The interim consolidated accounting period of the fiscal year ending March 2027 (1 April 2026 to 30 September 2026)
This extraordinary loss is included in the consolidated earnings forecast for the fiscal year ending March 2027.
Related procedures
Investigation by the Special Investigation Committee
Company response
A special investigation committee consisting of external lawyers and certified public accountants was established on 11 June 2026.
The above extraordinary loss is expected to be reflected in consolidated results for the interim consolidated accounting period of the fiscal year ending March 2027. This extraordinary loss has already been included in the consolidated earnings forecast for the fiscal year ending March 2027.
| Item | Details |
|---|---|
| Event name | Recording of an Extraordinary Loss (Investigation-Related Expenses) in the Interim Period of the Fiscal Year Ending March 2027 |
| Date of occurrence | 30 September 2026 (the date on which the expected recording of the extraordinary loss was announced) |
| Date recognized / date notice received | 4 September 2026 (the date on which the investigation report was received from the Special Investigation Committee) |
| Subject Entity | BlueMeme Inc. (the Company) |
| Target Locations / Products | The software transaction in question (the software license agreement executed on 30 March 2020) |
| Cause | Costs required to investigate questions concerning the timing of revenue recognition and accounting treatment for the software transaction in question, as well as the accounting treatment of the related purchase transaction, and to undertake related responses. The investigation report states that it uncovered ¥30 million in overstated revenue and the intentional concealment of, among other matters, a memorandum promising repayment of ¥33.5 million. |
| Amount of Impact on Business Performance | Approximately ¥394 million (estimated amount), extraordinary loss (investigation-related expenses) |
| Accounting period in which recognized | The interim consolidated accounting period of the fiscal year ending March 2027 (1 April 2026 to 30 September 2026) |
| Impact on Earnings Forecast | This extraordinary loss is included in the consolidated earnings forecast for the fiscal year ending March 2027. |
| Type of litigation or proceeding | Investigation by the Special Investigation Committee |
| Investigation structure | A special investigation committee consisting of external lawyers and certified public accountants was established on 11 June 2026. |
| Outlook | The above extraordinary loss is expected to be reflected in consolidated results for the interim consolidated accounting period of the fiscal year ending March 2027. This extraordinary loss has already been included in the consolidated earnings forecast for the fiscal year ending March 2027. |
Items this document does not state (13)
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.Because costs will be incurred to investigate doubts concerning the software transactions in question and to undertake related responses. The main costs include investigation fees for the special investigation committee and the initial investigation structure, audit fees for prior fiscal years, and fees paid to lawyers and other professionals.