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Occurring Fact6740Japan Display Inc.Electric Appliances & Precision Instruments

Summary of Financial Results for the Second Quarter (Interim Period) of the Fiscal Year Ending March 2027 [Japanese GAAP] (Consolidated)

For the interim period of the fiscal year ending March 2027, revenue declined year on year, while the operating loss and net loss narrowed substantially due to fixed-cost reductions and other factors, and net assets turned positive from a negative balance. However, significant uncertainty remains regarding the going-concern assumption, and no full-year earnings forecast has been published.

Worth reading
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Direction
Mixed performance
Direction inferred from the company’s description.
Scale
-7040
¥ million (interim net loss attributable to owners of the parent)
Wording
Avoiding a definitive answer
How definitive the wording is.

Summary of Financial Results for the Second Quarter (Interim Period) of the Fiscal Year Ending March 2027 [Japanese GAAP] (Consolidated)

Subject Entity

株式会社ジャパンディスプレイ and its consolidated group

Target Locations / Products

Mobara Plant, Tottori Plant, Ishikawa Plant, automotive, consumer and industrial equipment, displays for LCD smartphones, OLED displays for smartwatches

Occurrence30 September 2026 (end of the interim consolidated accounting period)
This disclosure11/12/2026
Cause

Lower production and shipments following the end of production at the Mobara Plant in November 2025, the strategic reduction of displays for LCD smartphones, and lower shipments of OLED displays for smartwatches. Fixed-cost reductions from workforce reductions and the consolidation of production sites implemented in the previous fiscal year are also described.

Amount of Impact on Business Performance

Interim net loss attributable to owners of the parent of ¥7.04 billion, and extraordinary losses of ¥872 million, including an impairment loss of ¥417 million and an ¥300 million provision for litigation loss. Extraordinary gains included a ¥994 million reversal of provisions for business structure improvement expenses and a ¥518 million gain on the sale of fixed assets.

Accounting period in which recognized

Interim period of the fiscal year ending March 2027 (1 April 2026 to 30 September 2026)

Impact on Earnings Forecast

No consolidated earnings forecast has been published for the fiscal year ending March 2027. The company will make a timely disclosure once its measures are finalized or a reasonable estimate becomes possible.

Company response

Suspended operations

Production at the Mobara Plant ended in November 2025, resulting in lower production and shipments.

Outlook

The company is working to complete the transfer of the Mobara Plant in March 2027 and expects to record an approximately ¥51.4 billion gain on the sale of fixed assets. It is pursuing measures to strengthen its financial foundation, transform its business portfolio through the BEYOND DISPLAY strategy, establish new sources of revenue, and secure funding and strengthen its capital base.

Planned follow-up disclosure

The company will promptly disclose its consolidated earnings forecast once its measures are finalized and a reasonable estimate becomes possible.

Event that occurred
ItemDetails
Event nameSummary of Financial Results for the Second Quarter (Interim Period) of the Fiscal Year Ending March 2027 [Japanese GAAP] (Consolidated)
Date of occurrence30 September 2026 (end of the interim consolidated accounting period)
Subject Entity株式会社ジャパンディスプレイ and its consolidated group
Target Locations / ProductsMobara Plant, Tottori Plant, Ishikawa Plant, automotive, consumer and industrial equipment, displays for LCD smartphones, OLED displays for smartwatches
CauseLower production and shipments following the end of production at the Mobara Plant in November 2025, the strategic reduction of displays for LCD smartphones, and lower shipments of OLED displays for smartwatches. Fixed-cost reductions from workforce reductions and the consolidation of production sites implemented in the previous fiscal year are also described.
Amount of Impact on Business PerformanceInterim net loss attributable to owners of the parent of ¥7.04 billion, and extraordinary losses of ¥872 million, including an impairment loss of ¥417 million and an ¥300 million provision for litigation loss. Extraordinary gains included a ¥994 million reversal of provisions for business structure improvement expenses and a ¥518 million gain on the sale of fixed assets.
Accounting period in which recognizedInterim period of the fiscal year ending March 2027 (1 April 2026 to 30 September 2026)
Impact on Earnings ForecastNo consolidated earnings forecast has been published for the fiscal year ending March 2027. The company will make a timely disclosure once its measures are finalized or a reasonable estimate becomes possible.
Suspended operationsProduction at the Mobara Plant ended in November 2025, resulting in lower production and shipments.
OutlookThe company is working to complete the transfer of the Mobara Plant in March 2027 and expects to record an approximately ¥51.4 billion gain on the sale of fixed assets. It is pursuing measures to strengthen its financial foundation, transform its business portfolio through the BEYOND DISPLAY strategy, establish new sources of revenue, and secure funding and strengthen its capital base.
Planned follow-up disclosureThe company will promptly disclose its consolidated earnings forecast once its measures are finalized and a reasonable estimate becomes possible.
Items this document does not state (14)
Date recognized / date notice receivedType of litigation or proceedingCourt or authorityPlaintiffDefendantDate of filing / date of actionClaim amount / surcharge amountAmount of receivables at risk of non-collection or delayed collectionScheduled resumption dateInvestigation structureMeasures to prevent recurrenceDirectors' and officers' liabilityVoting rights ownership percentage before the changeVoting rights ownership percentage after the change

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 decline in revenue was attributable to lower production and shipments following the end of production at the Mobara Plant in November 2025, the strategic reduction of displays for LCD smartphones, and lower shipments of OLED displays for smartwatches. Meanwhile, profitability and the financial foundation improved as a result of fixed-cost reductions from workforce reductions and the consolidation of production sites in the previous fiscal year, the exercise of stock acquisition rights, and the transfer of a plant, among other factors.

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Summary of Financial Results for the Second Quarter (Interim Period) of the Fiscal Year Ending March 2027 [Japanese GAAP] (Consolidated) | Japan Display Inc. (6740) timely disclosure | Komori