Recognition of non-financial asset impairment losses, a provision for contract losses, a liability arising from the settlement of reimbursement claims from suppliers, and special investigation expenses, among other items
NIDEC CORPORATION (consolidated)
SPMS segment (HDD motors and other small motors), AMEC segment (automotive products), ACIM segment (home appliances, commercial and industrial products), MOEN segment (home appliances, commercial and industrial products), Machinery Business Headquarters segment (equipment and machinery, machine tools), and group companies segment
Following a review of the future recoverability of certain assets. In the AMEC segment, unavoidable costs required to fulfill contractual obligations to customers exceed the economic benefits expected from the contracts. In the MOEN segment, the item relates to a reimbursement liability arising from a settlement with a supplier. Special investigation expenses and other costs were incurred in investigating a series of incidents and reviewing the financial statements as a result.
¥632,135 million (impairment losses), ¥22,496 million (provision for contract losses), ¥4,207 million (reimbursement liability), and ¥30,522 million (special loss)
The fiscal year ending March 2026 consolidated financial statements
No revision to the earnings forecast is stated. The impact is reflected in the annual securities report for the fiscal year ending March 2026 and the earnings summary [IFRS] (consolidated) for the fiscal year ending March 2026.
Related procedures
Settlement of a reimbursement claim from a supplier
The impact on results and other effects arising from the recognition of these items are reflected in the annual securities report for the fiscal year ending March 2026 and the earnings summary [IFRS] (consolidated) for the fiscal year ending March 2026. Any matters requiring disclosure that arise in the future will be announced promptly.
| Item | Details |
|---|---|
| Event name | Recognition of non-financial asset impairment losses, a provision for contract losses, a liability arising from the settlement of reimbursement claims from suppliers, and special investigation expenses, among other items |
| Subject Entity | NIDEC CORPORATION (consolidated) |
| Target Locations / Products | SPMS segment (HDD motors and other small motors), AMEC segment (automotive products), ACIM segment (home appliances, commercial and industrial products), MOEN segment (home appliances, commercial and industrial products), Machinery Business Headquarters segment (equipment and machinery, machine tools), and group companies segment |
| Cause | Following a review of the future recoverability of certain assets. In the AMEC segment, unavoidable costs required to fulfill contractual obligations to customers exceed the economic benefits expected from the contracts. In the MOEN segment, the item relates to a reimbursement liability arising from a settlement with a supplier. Special investigation expenses and other costs were incurred in investigating a series of incidents and reviewing the financial statements as a result. |
| Amount of Impact on Business Performance | ¥632,135 million (impairment losses), ¥22,496 million (provision for contract losses), ¥4,207 million (reimbursement liability), and ¥30,522 million (special loss) |
| Accounting period in which recognized | The fiscal year ending March 2026 consolidated financial statements |
| Impact on Earnings Forecast | No revision to the earnings forecast is stated. The impact is reflected in the annual securities report for the fiscal year ending March 2026 and the earnings summary [IFRS] (consolidated) for the fiscal year ending March 2026. |
| Type of litigation or proceeding | Settlement of a reimbursement claim from a supplier |
| Outlook | The impact on results and other effects arising from the recognition of these items are reflected in the annual securities report for the fiscal year ending March 2026 and the earnings summary [IFRS] (consolidated) for the fiscal year ending March 2026. Any matters requiring disclosure that arise in the future will be announced promptly. |
| Planned follow-up disclosure | Any matters requiring disclosure that arise in the future will be announced promptly. |
Items this document does not state (15)
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 the assets, impairment losses were recognized. A provision for contract losses was also recognized because the costs required to fulfill customer contracts exceed the economic benefits expected from those contracts, and a reimbursement liability arising from the settlement with a supplier, together with the costs of investigating a series of incidents and reviewing the financial statements, was recognized.