Recognition of an extraordinary loss and gain on adjustment of income taxes
AI MECHATRONIC CO., LTD. (the filing company)
Equipment, machinery, equipment and other assets used mainly in the flat-panel display (FPD) field
As the Company transitions its product portfolio and focuses on future growth areas, it rationalized its assets and disposed of equipment. In addition, after assessing future recoverability in accordance with the accounting standard for impairment of fixed assets, the Company recognized impairment losses. The income tax adjustment (benefit) represents the portion of deferred tax assets recognized as recoverable following an estimate of future taxable income as of the current date and an assessment of the recoverability of the deferred tax assets.
The consolidated and non-consolidated financial statements include ¥142.240 million in losses on the disposal of fixed assets as extraordinary losses. The consolidated and non-consolidated financial statements include ¥363.505 million in impairment losses as extraordinary losses. The consolidated financial statements include an income tax adjustment (benefit) of ¥1,059.152 million, and the non-consolidated financial statements include an income tax adjustment (benefit) of ¥1,060.996 million.
Fiscal year ending June 2026
The Company rationalized its assets to focus on future growth areas.
| Item | Details |
|---|---|
| Event name | Recognition of an extraordinary loss and gain on adjustment of income taxes |
| Subject Entity | AI MECHATRONIC CO., LTD. (the filing company) |
| Target Locations / Products | Equipment, machinery, equipment and other assets used mainly in the flat-panel display (FPD) field |
| Cause | As the Company transitions its product portfolio and focuses on future growth areas, it rationalized its assets and disposed of equipment. In addition, after assessing future recoverability in accordance with the accounting standard for impairment of fixed assets, the Company recognized impairment losses. The income tax adjustment (benefit) represents the portion of deferred tax assets recognized as recoverable following an estimate of future taxable income as of the current date and an assessment of the recoverability of the deferred tax assets. |
| Amount of Impact on Business Performance | The consolidated and non-consolidated financial statements include ¥142.240 million in losses on the disposal of fixed assets as extraordinary losses. The consolidated and non-consolidated financial statements include ¥363.505 million in impairment losses as extraordinary losses. The consolidated financial statements include an income tax adjustment (benefit) of ¥1,059.152 million, and the non-consolidated financial statements include an income tax adjustment (benefit) of ¥1,060.996 million. |
| Accounting period in which recognized | Fiscal year ending June 2026 |
| Outlook | The Company rationalized its assets to focus on future growth areas. |
Items this document does not state (18)
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.As the Company transitions its product portfolio and focuses on future growth areas, it disposed of equipment used in the FPD field as part of an asset rationalization process. In addition, after assessing the future recoverability of machinery, equipment and other assets, the Company recognized impairment losses. The income tax adjustment (benefit) represents the portion of deferred tax assets recognized as recoverable following an estimate of future taxable income and an assessment of the recoverability of the deferred tax assets.