Notice Regarding the Recording of an Extraordinary Loss and the Difference Between Full-Year Forecasts and Actual Results
KAN-NANMARU CORPORATION (filing company)
Stores identified as having reduced profitability
At stores where the business format had been changed by the end of the previous fiscal year and other locations, it took time to establish a stable customer base, resulting in sluggish customer numbers. At some stores, demand related to events declined because large nearby facilities that attracted customers were undergoing renovations. The Company also revised the future business plans for stores identified as having reduced profitability, in light of the shortfall in net sales and cost pressures including raw material and labor costs.
An impairment loss of ¥77 million was recognized as an extraordinary loss. Net income was ¥115 million below forecast.
Fiscal year ending June 2026
The variance between full-year earnings forecasts and actual results has been disclosed. Whether the earnings forecasts were revised: Not disclosed.
The Company will focus on strengthening the competitiveness of existing stores and enhancing brand value, while working as a company-wide effort to improve profitability.
| Item | Details |
|---|---|
| Event name | Notice Regarding the Recording of an Extraordinary Loss and the Difference Between Full-Year Forecasts and Actual Results |
| Subject Entity | KAN-NANMARU CORPORATION (filing company) |
| Target Locations / Products | Stores identified as having reduced profitability |
| Cause | At stores where the business format had been changed by the end of the previous fiscal year and other locations, it took time to establish a stable customer base, resulting in sluggish customer numbers. At some stores, demand related to events declined because large nearby facilities that attracted customers were undergoing renovations. The Company also revised the future business plans for stores identified as having reduced profitability, in light of the shortfall in net sales and cost pressures including raw material and labor costs. |
| Amount of Impact on Business Performance | An impairment loss of ¥77 million was recognized as an extraordinary loss. Net income was ¥115 million below forecast. |
| Accounting period in which recognized | Fiscal year ending June 2026 |
| Impact on Earnings Forecast | The variance between full-year earnings forecasts and actual results has been disclosed. Whether the earnings forecasts were revised: Not disclosed. |
| Outlook | The Company will focus on strengthening the competitiveness of existing stores and enhancing brand value, while working as a company-wide effort to improve profitability. |
Items this document does not state (17)
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.At stores where the business format had been changed and other locations, it took time to establish a stable customer base, resulting in sluggish customer numbers. At some stores, demand related to events declined because large nearby facilities that attracted customers were undergoing renovations. In addition to the shortfall in net sales, the Company was unable to absorb cost pressures, including raw material and labor costs, and it revised the business plans for stores whose profitability had declined.