Disclaimer of a conclusion in the interim review report on the quarterly consolidated financial statements for the first quarter of the fiscal year ending March 2027
KUBOTEK CORPORATION (the entity covered by the quarterly consolidated financial statements)
Core business (specific business and product names: Not disclosed)
Operating losses for 8 consecutive fiscal years through the previous fiscal year, negative operating cash flow for 2 consecutive fiscal years, an operating loss for the cumulative first-quarter period under review, negative net worth at the end of the first-quarter consolidated accounting period, a substantial decline in orders outstanding for the core business, no clear prospect of securing the necessary financing, and the failure to present a specific financing plan.
The first-quarter consolidated accounting period and cumulative first-quarter consolidated accounting period of the fiscal year ending March 2027 (1 April 2026 to 30 June 2026)
Company response
Hibiscus Audit Corporation conducted the interim review. No third-party committee or special investigation committee was disclosed.
The Company will implement measures to improve its performance and work to secure the financing necessary to carry out its business, with the aim of promptly resolving the circumstances that led the audit firm to disclaim a conclusion.
| Item | Details |
|---|---|
| Event name | Disclaimer of a conclusion in the interim review report on the quarterly consolidated financial statements for the first quarter of the fiscal year ending March 2027 |
| Date of occurrence | 7 August 2026 (the date on which the Company became aware that it had received the interim review report) |
| Date recognized / date notice received | 7 August 2026 |
| Subject Entity | KUBOTEK CORPORATION (the entity covered by the quarterly consolidated financial statements) |
| Target Locations / Products | Core business (specific business and product names: Not disclosed) |
| Cause | Operating losses for 8 consecutive fiscal years through the previous fiscal year, negative operating cash flow for 2 consecutive fiscal years, an operating loss for the cumulative first-quarter period under review, negative net worth at the end of the first-quarter consolidated accounting period, a substantial decline in orders outstanding for the core business, no clear prospect of securing the necessary financing, and the failure to present a specific financing plan. |
| Accounting period in which recognized | The first-quarter consolidated accounting period and cumulative first-quarter consolidated accounting period of the fiscal year ending March 2027 (1 April 2026 to 30 June 2026) |
| Investigation structure | Hibiscus Audit Corporation conducted the interim review. No third-party committee or special investigation committee was disclosed. |
| Outlook | The Company will implement measures to improve its performance and work to secure the financing necessary to carry out its business, with the aim of promptly resolving the circumstances that led the audit firm to disclaim a conclusion. |
Items this document does not state (16)
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 Company had recorded operating losses for 8 consecutive fiscal years through the previous fiscal year and negative operating cash flow for 2 consecutive fiscal years; it recorded an operating loss in the first quarter under review and had negative net worth at the end of the quarter; orders outstanding for its core business had declined substantially; and it had no clear prospect of securing the financing necessary to carry out its business and had not presented a specific financing plan.