Financial Results Explanation for the Full Fiscal Year Ending April 2026 and the Fourth Quarter

Section Heading

This notice concerns the recognition of extraordinary income and extraordinary losses and special losses in the consolidated accounting period for the fourth quarter of the fiscal year ending April 2026. The fair value-based valuation gain on crypto assets reached 934 million yen (cumulative 2,632 million yen), with equity-method investment losses and provisions for doubtful accounts incurred. A special loss including impairment of assets related to mobile online blockchain games was recognized as 606 million yen on a consolidated basis and 613 million yen on an individual basis. The impact on consolidated results is stated as being reflected in the earnings report.

Section 2 Heading

Regarding the outlook, the earnings report for Japan Accounting Standards (consolidated) that reflects the above has been disclosed. The recognition this time is a conservative review aimed at mitigating future financial risks and ensuring group solidity. For investors, attention should be paid to the volatility risk of crypto asset prices and the asset quality and collectability trends of blockchain-related businesses.