Recognition of Non-Operating Income and Expenses
W-SCOPE Corporation, its consolidated subsidiaries, and equity-method affiliate W-SCOPE CHUNGJU PLANT CO., LTD. (WCP)
The foreign exchange gain resulted from the valuation of foreign-currency-denominated receivables and payables held by consolidated subsidiaries at the applicable exchange rates. Subsidy income consisted of employment-related subsidies received by consolidated subsidiaries. Interest expense represented interest on borrowings by consolidated subsidiaries. The equity-method investment loss was recognized primarily based on WCP's reported financial results. Of this amount, ¥932 million was a valuation loss on convertible bonds issued by WCP.
¥62 million in foreign exchange gains (non-operating income), ¥24 million in subsidy income (non-operating income), ¥72 million in interest expense (non-operating expense), and ¥1,682 million in equity-method investment losses (non-operating expense, including a ¥932 million valuation loss on convertible bonds issued by WCP)
The first quarter of the fiscal year ending January 2027 (1 February 2026 to 30 April 2026)
| Item | Details |
|---|---|
| Event name | Recognition of Non-Operating Income and Expenses |
| Date of occurrence | Recognized in the first quarter of the fiscal year ending January 2027 (1 February 2026 to 30 April 2026). The valuation date for the foreign exchange gain was the end of March 2026. |
| Subject Entity | W-SCOPE Corporation, its consolidated subsidiaries, and equity-method affiliate W-SCOPE CHUNGJU PLANT CO., LTD. (WCP) |
| Cause | The foreign exchange gain resulted from the valuation of foreign-currency-denominated receivables and payables held by consolidated subsidiaries at the applicable exchange rates. Subsidy income consisted of employment-related subsidies received by consolidated subsidiaries. Interest expense represented interest on borrowings by consolidated subsidiaries. The equity-method investment loss was recognized primarily based on WCP's reported financial results. Of this amount, ¥932 million was a valuation loss on convertible bonds issued by WCP. |
| Amount of Impact on Business Performance | ¥62 million in foreign exchange gains (non-operating income), ¥24 million in subsidy income (non-operating income), ¥72 million in interest expense (non-operating expense), and ¥1,682 million in equity-method investment losses (non-operating expense, including a ¥932 million valuation loss on convertible bonds issued by WCP) |
| Accounting period in which recognized | The first quarter of the fiscal year ending January 2027 (1 February 2026 to 30 April 2026) |
Items this document does not state (19)
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.The foreign exchange gain resulted from the valuation of foreign-currency-denominated receivables and payables held by consolidated subsidiaries at the exchange rates prevailing at the end of the first quarter. Subsidy income consisted primarily of employment-related subsidies received by consolidated subsidiaries. Interest expense represented interest on borrowings by consolidated subsidiaries from financial institutions. The equity-method investment loss was based primarily on the financial results reported by W-SCOPE CHUNGJU PLANT CO., LTD. (WCP), of which ¥932 million was a valuation loss on convertible bonds issued by WCP.