IRISO ELECTRONICS established a third-party committee following allegations of improper payments involving an overseas subsidiary. Accounting and quality issues emerged during the investigation, and revisions to past financial results and the outlook for future performance became clear.
In April 2026, IRISO ELECTRONICS established an external third-party committee to investigate allegations of improper payments involving an overseas subsidiary. The committee is examining the possibility that funds were improperly transferred or received, primarily at overseas bases.
The earnings announcement was postponed by approximately 5 months for the purposes of the investigation, meaning that problems at an overseas subsidiary affected the financial results of the Japanese headquarters as well. In addition, amendments were made to the annual securities report during the investigation, resulting in retroactive revisions to past periods.
Material deficiencies in internal controls were also identified, highlighting weaknesses in the internal controls of the entire group, including its overseas bases. As a result, the outlook for future performance was revised downward, with the impact of investigation costs indicating that its achievability had become uncertain. Attention will continue to focus on further developments in the investigation and its impact on operational sites and business partners.