Notice Regarding the Recognition of an Extraordinary Loss and Differences Between Full-Year Forecasts and Actual Results
SUBARU CO.,LTD. (filing company)
Certain classrooms, idle assets and other assets (by property), land and buildings, etc.
Due to falling land prices and student numbers falling below the previous year’s level, operating results at certain classrooms were estimated to remain negative on an ongoing basis. The differences from the earnings forecasts were attributed to soaring prices, restrained growth in real wages, the delayed recovery in consumer spending, restrained spending on education outside school, a widening shortfall in enrollment at public high schools due to the declining birth rate, and a decrease in the number of sites resulting from the consolidation and closure of group classrooms.
Impairment loss of ¥58 million (extraordinary loss). Differences from the previously announced forecasts were net sales: -¥143 million, operating profit: -¥30 million, ordinary profit: -¥26 million, and net income: -¥38 million.
Fiscal year ended February 2026 (1 March 2025 to 28 February 2026)
Differences arose between the full-year earnings forecasts for the fiscal year ending February 2026 announced on 11 April 2025 and the actual results announced today.
| Item | Details |
|---|---|
| Event name | Notice Regarding the Recognition of an Extraordinary Loss and Differences Between Full-Year Forecasts and Actual Results |
| Subject Entity | SUBARU CO.,LTD. (filing company) |
| Target Locations / Products | Certain classrooms, idle assets and other assets (by property), land and buildings, etc. |
| Cause | Due to falling land prices and student numbers falling below the previous year’s level, operating results at certain classrooms were estimated to remain negative on an ongoing basis. The differences from the earnings forecasts were attributed to soaring prices, restrained growth in real wages, the delayed recovery in consumer spending, restrained spending on education outside school, a widening shortfall in enrollment at public high schools due to the declining birth rate, and a decrease in the number of sites resulting from the consolidation and closure of group classrooms. |
| Amount of Impact on Business Performance | Impairment loss of ¥58 million (extraordinary loss). Differences from the previously announced forecasts were net sales: -¥143 million, operating profit: -¥30 million, ordinary profit: -¥26 million, and net income: -¥38 million. |
| Accounting period in which recognized | Fiscal year ended February 2026 (1 March 2025 to 28 February 2026) |
| Impact on Earnings Forecast | Differences arose between the full-year earnings forecasts for the fiscal year ending February 2026 announced on 11 April 2025 and the actual results announced today. |
Items this document does not state (18)
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.Due to falling land prices and student numbers falling below the previous year’s level, operating results at certain classrooms were estimated to remain negative on an ongoing basis. The differences from the earnings forecasts were attributed to soaring prices, restrained growth in real wages, the delayed recovery in consumer spending and spending on education outside school, the declining birth rate, and a decrease in the number of sites resulting from the consolidation and closure of group classrooms.