Recognition of Extraordinary Losses and Differences Between Full-Year Consolidated Earnings Forecast and Actual Results
The group
Classrooms and other facilities in the Education Services segment, day-care and home-visit care operations in the Care Services segment, and assets subject to classroom relocation or renovation
Following a review of the future recoverability of fixed assets, impairment losses were recognized on classrooms and other assets in the Education Services segment, as well as on goodwill following a review associated with the change in business format from day-care to home-visit care in the Care Services segment. Losses on the disposal of fixed assets were also incurred due to classroom relocations and renovations.
Total extraordinary losses of ¥505 million, including impairment losses of ¥247 million and losses on the disposal of fixed assets of ¥123 million
Fiscal year ended February 2026 (1 March 2025 to 28 February 2026)
Compared with the previous forecast, net sales increased by ¥61 million, operating income decreased by ¥24 million, ordinary income increased by ¥30 million, and net income attributable to owners of the parent increased by ¥307 million.
| Item | Details |
|---|---|
| Event name | Recognition of Extraordinary Losses and Differences Between Full-Year Consolidated Earnings Forecast and Actual Results |
| Subject Entity | The group |
| Target Locations / Products | Classrooms and other facilities in the Education Services segment, day-care and home-visit care operations in the Care Services segment, and assets subject to classroom relocation or renovation |
| Cause | Following a review of the future recoverability of fixed assets, impairment losses were recognized on classrooms and other assets in the Education Services segment, as well as on goodwill following a review associated with the change in business format from day-care to home-visit care in the Care Services segment. Losses on the disposal of fixed assets were also incurred due to classroom relocations and renovations. |
| Amount of Impact on Business Performance | Total extraordinary losses of ¥505 million, including impairment losses of ¥247 million and losses on the disposal of fixed assets of ¥123 million |
| Accounting period in which recognized | Fiscal year ended February 2026 (1 March 2025 to 28 February 2026) |
| Impact on Earnings Forecast | Compared with the previous forecast, net sales increased by ¥61 million, operating income decreased by ¥24 million, ordinary income increased by ¥30 million, and net income attributable to owners of the parent increased by ¥307 million. |
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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.Following a review of the future recoverability of fixed assets, impairment losses were recognized on classrooms and other assets in the Education Services segment and on goodwill associated with the change in business format in the Care Services segment. Losses on the disposal of fixed assets were also recorded due to classroom relocations and renovations. Net income attributable to owners of the parent exceeded the forecast because a ¥692 million gain on the sale of investment securities was recorded in the second quarter of the fiscal year.