Advance Create was designated as Securities Under Supervision (Examination Pending) because it failed to meet the Tokyo Stock Exchange Prime Market eligibility criteria. The designation may be lifted depending on the outcome of the review of its application to change listing segments.
Advance Create announced that, effective 1 October 2026, it had been designated by the Tokyo Stock Exchange as Securities Under Supervision (Examination Pending). The reason given for the designation was that compliance with the tradable share market capitalization and tradable share ratio criteria could not be confirmed as of the end of the improvement period.
The company has filed an application to change its listing segment to the Tokyo Stock Exchange Standard Market, and the designation as Securities Under Supervision (Examination Pending) is a measure in place during the review of the segment change. The designation is expected to be lifted if the application is approved, and trading in the company’s shares on the main market is expected to remain available as usual after 1 October 2026.
The company formulated measures to prevent a recurrence and is rebuilding its governance structure following improper accounting practices in prior years, including the recognition of advertising transactions and software as assets. In its financial results for the third quarter of the fiscal year ending September 2026, it reported an operating loss of ¥271 million, an ordinary loss of ¥340 million and a quarterly net loss attributable to owners of the parent of ¥768 million, with negative net worth of ¥276 million. In addition, on 29 September 2026, it received notice of its designation as a Security on Special Alert and of a listing agreement penalty. It plans to submit an improvement plan and status report.
Going forward, the designation as Securities Under Supervision (Examination Pending) may be lifted depending on the outcome of the announced review of the listing segment change, and trading in the shares is expected to continue as usual.