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Occurring Fact5563Nippon Denko Co.,Ltd.Iron & Steel, Nonferrous Metals

Notice Regarding the Recognition of an Impairment Loss on Shares of an Affiliated Company and an Equity-Method Investment Loss

The Company will fully impair its shares in equity-method investee Pertama Ferroalloys Sdn. Bhd. and recognize an impairment loss on shares of an affiliated company of ¥7,877 million in its standalone financial statements. In its consolidated financial statements, it will additionally recognize an equity-method investment loss of ¥7,180 million as a non-operating expense.

Worth reading
48Recurring
0–100. This measures how worthwhile something is to read, not how good or bad the company is.
Direction
Deterioration
Direction inferred from the company’s description.
Scale
7180
¥ million (equity-method investment loss on a consolidated basis; impairment loss on shares of an affiliated company on a standalone basis: ¥7,877 million)
Wording
Definitive
How definitive the wording is.

Recognition of an impairment loss on shares of an affiliated company and an equity-method investment loss

Subject Entity

Nippon Denko Co.,Ltd. (issuer of the shares concerned: Pertama Ferroalloys Sdn. Bhd.)

This disclosure08/05/2026
Cause

In light of the recent business environment

Amount of Impact on Business Performance

Impairment loss on shares of an affiliated company of ¥7,877 million (special loss, standalone) and equity-method investment loss of ¥7,180 million (non-operating expense, consolidated; excluding the investment loss recognized for the cumulative period of the second quarter)

Accounting period in which recognized

Cumulative period of the second quarter of the fiscal year ending December 2026 (1 January 2026 to 30 June 2026)

Impact on Earnings Forecast

The outlook is described in the Notice Regarding Revisions to the Earnings Forecast and Dividend Forecast released today.

Outlook

The above losses will be reflected in the Summary of Financial Results for the Second Quarter (Interim Period) of the Fiscal Year Ending December 2026 released today. The outlook is described in the Notice Regarding Revisions to the Earnings Forecast and Dividend Forecast released today.

Event that occurred
ItemDetails
Event nameRecognition of an impairment loss on shares of an affiliated company and an equity-method investment loss
Subject EntityNippon Denko Co.,Ltd. (issuer of the shares concerned: Pertama Ferroalloys Sdn. Bhd.)
CauseIn light of the recent business environment
Amount of Impact on Business PerformanceImpairment loss on shares of an affiliated company of ¥7,877 million (special loss, standalone) and equity-method investment loss of ¥7,180 million (non-operating expense, consolidated; excluding the investment loss recognized for the cumulative period of the second quarter)
Accounting period in which recognizedCumulative period of the second quarter of the fiscal year ending December 2026 (1 January 2026 to 30 June 2026)
Impact on Earnings ForecastThe outlook is described in the Notice Regarding Revisions to the Earnings Forecast and Dividend Forecast released today.
OutlookThe above losses will be reflected in the Summary of Financial Results for the Second Quarter (Interim Period) of the Fiscal Year Ending December 2026 released today. The outlook is described in the Notice Regarding Revisions to the Earnings Forecast and Dividend Forecast released today.
Items this document does not state (18)
Date of occurrenceDate recognized / date notice receivedTarget Locations / ProductsType of litigation or proceedingCourt or authorityPlaintiffDefendantDate of filing / date of actionClaim amount / surcharge amountAmount of receivables at risk of non-collection or delayed collectionSuspended operationsScheduled 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.

In light of the recent business environment surrounding equity-method investee Pertama Ferroalloys Sdn. Bhd.

How to read this page

This is not the documentKomori reads the disclosure the company filed and writes this summary. Figures are as stated by the company and are not audited.
Weight is not a verdictIt measures how much this changes what the company had already told the market. It is not a view on the shares.
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 an Impairment Loss on Shares of an Affiliated Company and an Equity-Method Investment Loss | Nippon Denko Co.,Ltd. (5563) timely disclosure | Komori