Recognition of Extraordinary Loss (Impairment Loss)
Valuence Holdings Inc. Group (Automotive Business)
Fixed assets related to the automotive business: “TWISTED” vehicles and “Valuence AUTOMOTIVE YOKOHAMA”
The response to exhaust emission testing and other requirements necessary to register and sell “TWISTED” vehicles in Japan took longer than initially expected, significantly delaying the monetisation of the automotive business as a whole, including the start of sales, servicing and maintenance.
¥311 million (extraordinary loss and impairment loss)
Fourth-quarter consolidated accounting period of the fiscal year ending August 2026 (1 June 2026 to 31 August 2026)
Reflected in the “Consolidated Financial Results Summary for the Fiscal Year Ending August 2026 (Japanese GAAP)” released today.
Sales of “TWISTED” vehicles have begun to gain traction, and at “Valuence AUTOMOTIVE YOKOHAMA” the company is building a structure capable of providing an integrated service from sales through customisation, servicing and maintenance. It will continue working to strengthen the automotive business’s earnings base while leveraging synergies with its customer base.
| Item | Details |
|---|---|
| Event name | Recognition of Extraordinary Loss (Impairment Loss) |
| Date of occurrence | Fourth-quarter consolidated accounting period of the fiscal year ending August 2026 (1 June 2026 to 31 August 2026) |
| Subject Entity | Valuence Holdings Inc. Group (Automotive Business) |
| Target Locations / Products | Fixed assets related to the automotive business: “TWISTED” vehicles and “Valuence AUTOMOTIVE YOKOHAMA” |
| Cause | The response to exhaust emission testing and other requirements necessary to register and sell “TWISTED” vehicles in Japan took longer than initially expected, significantly delaying the monetisation of the automotive business as a whole, including the start of sales, servicing and maintenance. |
| Amount of Impact on Business Performance | ¥311 million (extraordinary loss and impairment loss) |
| Accounting period in which recognized | Fourth-quarter consolidated accounting period of the fiscal year ending August 2026 (1 June 2026 to 31 August 2026) |
| Impact on Earnings Forecast | Reflected in the “Consolidated Financial Results Summary for the Fiscal Year Ending August 2026 (Japanese GAAP)” released today. |
| Outlook | Sales of “TWISTED” vehicles have begun to gain traction, and at “Valuence AUTOMOTIVE YOKOHAMA” the company is building a structure capable of providing an integrated service from sales through customisation, servicing and maintenance. It will continue working to strengthen the automotive business’s earnings base while leveraging synergies with its customer base. |
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 response to exhaust emission testing and other requirements necessary to register and sell “TWISTED” vehicles in Japan took longer than expected, significantly delaying the start of sales and the monetisation of the automotive business as a whole. In light of the automotive business performing below the initial plan, the company reviewed its business plan and future earnings outlook, resulting in a decline in the recoverability of its fixed assets.