Loss in Our Financial Results Associated with the Transfer of the Ambatovy Nickel Project
SUMITOMO CORPORATION (SUMITOMO SHOJI KAISHA,LTD.), its wholly owned subsidiary Summit Ambatovy Mineral Resources Investment B. V. (SAMRI), and its subsidiaries Ambatovy Minerals S. A. and Dynatec Madagascar S. A.
The Ambatovy Nickel Project in the Republic of Madagascar (nickel mining and refining business)
After considering the current market environment, we determined that transferring all of our equity interests in this business was the best course of action.
Consolidated: loss of approximately ¥70 billion (including under “securities gains and losses,” among other items). Non-consolidated: loss of approximately ¥85 billion (under “non-operating expenses,” comprising loss on sale of investment securities and other non-operating expenses). On a consolidated basis, the net impact including the above loss is expected to be immaterial due to tax effects.
Consolidated: the first quarter of the fiscal year ending March 2027 (1 April 2026 to 30 June 2026). Non-consolidated: the fiscal year ending March 2027 (1 April 2026 to 31 March 2027).
The impact on profit or loss from this transfer has already been reflected in the full-year consolidated earnings forecast for the fiscal year ending March 2027 announced today.
The transfer is scheduled to be completed during the first half of fiscal 2026. The impact on profit or loss from this transfer has already been reflected in the full-year consolidated earnings forecast for the fiscal year ending March 2027 announced today.
| Item | Details |
|---|---|
| Event name | Loss in Our Financial Results Associated with the Transfer of the Ambatovy Nickel Project |
| Date of occurrence | 1 May 2026 (date on which the transfer was approved by the Board of Directors) |
| Subject Entity | SUMITOMO CORPORATION (SUMITOMO SHOJI KAISHA,LTD.), its wholly owned subsidiary Summit Ambatovy Mineral Resources Investment B. V. (SAMRI), and its subsidiaries Ambatovy Minerals S. A. and Dynatec Madagascar S. A. |
| Target Locations / Products | The Ambatovy Nickel Project in the Republic of Madagascar (nickel mining and refining business) |
| Cause | After considering the current market environment, we determined that transferring all of our equity interests in this business was the best course of action. |
| Amount of Impact on Business Performance | Consolidated: loss of approximately ¥70 billion (including under “securities gains and losses,” among other items). Non-consolidated: loss of approximately ¥85 billion (under “non-operating expenses,” comprising loss on sale of investment securities and other non-operating expenses). On a consolidated basis, the net impact including the above loss is expected to be immaterial due to tax effects. |
| Accounting period in which recognized | Consolidated: the first quarter of the fiscal year ending March 2027 (1 April 2026 to 30 June 2026). Non-consolidated: the fiscal year ending March 2027 (1 April 2026 to 31 March 2027). |
| Impact on Earnings Forecast | The impact on profit or loss from this transfer has already been reflected in the full-year consolidated earnings forecast for the fiscal year ending March 2027 announced today. |
| Outlook | The transfer is scheduled to be completed during the first half of fiscal 2026. The impact on profit or loss from this transfer has already been reflected in the full-year consolidated earnings forecast for the fiscal year ending March 2027 announced today. |
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.After considering the current market environment, we determined that transferring all of our equity interests in this business was the best course of action.