Notice Regarding Recording of Corporate Tax Adjustment and Revision of Full-Year Earnings Forecast and Dividend Forecast

Details of Earnings Forecast Revision

The consolidated earnings forecast for the fiscal year ending March 2026 has been revised. Net sales are nearly flat at 551,800 million yen (previously 552,700 million yen). Operating income deteriorated to -8,700 million yen (previously -7,200 million yen), and ordinary income worsened to -2,800 million yen (previously -2,300 million yen). Net income attributable to owners of parent significantly decreased to 6,500 million yen (previously 22,500 million yen). The main factors include recording an impairment loss of approximately 6.3 billion yen related to the anime business by Pony Canyon Inc., and additional recording of corporate tax adjustment of about 12.7 billion yen.

Dividend Forecast and Future Outlook

The dividend forecast remains unchanged as announced on February 3, 2026, with 100 yen at the 2nd quarter-end, 125 yen at year-end, totaling 225 yen annually. Deferred tax liabilities have been recorded due to off-balance sheet considerations relating to urban development and tourism operations, and structural reforms are underway for the anime business. Going forward, the company aims for a prompt earnings recovery and fundamental reform. Investors should closely monitor progress on business structural reforms in light of the significant revision to the earnings forecast.