Advance Create revised its full-year earnings forecast for the fiscal year ending September 2026, forecasting net sales of ¥7.154 billion and operating profit of ¥423 million, among other figures. Following a third-party committee report on improper accounting in prior fiscal years, the company is also expected to correct its prior-period financial results.
Advance Create held a board meeting on the 18th and downwardly revised its consolidated earnings forecast for the fiscal year ending September 2026. Net sales are expected to fall 10.0% from the previous forecast to ¥7.154 billion, operating profit to decline 34.9% to ¥423 million, and ordinary profit to decrease 42.0% to ¥319 million.
Net income attributable to owners of the parent is expected to decline by ¥841 million to ¥391 million, while earnings per share is expected to fall by ¥19.32 from the previous forecast to -¥5.23. In the third quarter of the consolidated fiscal year, the company recorded an ordinary loss of ¥340 million and a quarterly net loss attributable to owners of the parent of ¥768 million.
Improper accounting in prior fiscal years was suspected at the company and its wholly owned subsidiary in connection with the capitalization of advertising transactions and software, among other matters. Following an investigation by a third-party committee, the company received the investigation report dated 31 July 2026. It plans to correct its prior-period financial results, and some of the related investigation and correction costs are expected to be recorded as extraordinary losses.