The large-scale EPC contract for the transmission system storage was canceled due to the customer\u2019s business judgment and increased system interconnection costs. Revenue recognition was expected from the fiscal year ending June 2027 onward, but this has already been incorporated in the financial results. There is no current significant disruption to outstanding orders.<\/p>\n","protected":false},"comment_status":"open","ping_status":"closed","template":"","meta":{"Ticker":"","DATE":"","longName":"","company_name_ja":"","fullTimeEmployees":0,"address":"","phone":"","website":"","industry":"","sector":"","regularMarketPrice":0,"financialCurrency":"","marketCap":0,"fiftyTwoWeekLow":0,"fiftyTwoWeekHigh":0,"epsTrailingTwelveMonths":0,"epsForward":0,"bookValue":0,"totalRevenue":0,"OperatingIncome":0,"operatingMargins":0,"NetIncome":0,"profitMargins":0,"ebitda":0,"trailingPE":0,"forwardPE":0,"priceToBook":0,"returnOnEquity":0,"recommendationMean":0,"recommendationKey":"","targetMeanPrice":0,"numberOfAnalystOpinions":0,"analyst_earnings_data":"","dividendRate":0,"dividendYield":0,"payoutRatio":0,"totalEsg":0,"environmentScore":0,"socialScore":0,"governanceScore":0,"title":"","providerPublishTime":"","link":"","longBusinessSummary":"","longBusinessSummary_ja":"","quarterly_revenue":0,"quarterly_net_income":0,"quarterly_operating_profit":0,"enterprise_value":0,"company_officer_1_name":"","company_officer_1_title":"","company_officer_2_name":"","company_officer_2_title":"","company_officer_3_name":"","company_officer_3_title":"","company_officer_4_name":"","company_officer_4_title":"","company_officer_5_name":"","company_officer_5_title":"","company_officers_update_time":"","get_dividend_history_year1":0,"get_dividend_history_year2":0,"get_dividend_history_year3":0,"get_dividend_history_year4":0,"get_dividend_history_year5":0,"get_dividend_history_year6":0,"get_dividend_history_year7":0,"get_dividend_history_year8":0,"get_dividend_history_year9":0,"get_dividend_history_year10":0,"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"jir_stock_code":"5074","jir_company_name":"Tess Holdings Corporation","jir_importance":"\u2605\u2605\u2605\u2606\u2606","jir_publication_date":"2026-08-14","jir_source_link":"https:\/\/japanir.jp\/wp-content\/uploads\/2026\/08\/5074-20260814-05.pdf","jir_short_summary":"The large-scale EPC contract for the transmission system storage was canceled due to the customer\u2019s business judgment and increased system interconnection costs. Revenue recognition was expected from the fiscal year ending June 2027 onward, but this has already been incorporated in the financial results. There is no current significant disruption to outstanding orders.","jir_summary":"### Section Heading\nThis item reports that Tess Engineering, a consolidated subsidiary, has resolved by a board decision to cancel an already announced large-order. The background for the cancellation includes that the customer\u2019s system interconnection cost burden is expected to be significantly higher than anticipated, and the project commencement is protracted. It is stated that the company is not responsible for design, procurement, or construction.\n\n### Section 2 Heading\nRegarding the outlook, revenue recognition for the cancellation was planned to occur from the fiscal year ending June 2027 through June 2028 as originally scheduled, but this cancellation has already been incorporated in the initial earnings guidance. As for the currently contracted storage EPC projects, increases in construction costs and longer interconnection works have not materialized as reasons for contract cancellation or termination. If any event arises that would significantly affect the performance, it will be disclosed promptly.","jir_financial_highlights":"Value of large-scale order: Approximately 4.0 billion yen (Unknown)\nDelivery date: December 2027 (planned) (Unknown)\nCancellation date: End of August 2026 (planned) (Unknown)","jir_category":"","jir_hashtags":"#TessHoldings, #TransmissionStorage, #EPCCancellation","jir_key_figures":"Value of large-scale order: Approximately 4.0 billion yen\nDelivery date: December 2027 (planned)\nCancellation date: End of August 2026 (planned)","jir_meta_title":"[Tess Holdings] Announcement of cancellation of large transmission system interconnection EPC order | August 2026","jir_meta_description":"Cancellation of a large EPC contract for Tess Engineering's storage-linked project. Amount about 4.0 billion yen, delivery planned for December 2027. Reason given as increased interconnection costs and longer project horizon. Outlined impact on future performance and disclosure policy.","jir_og_title":"Cancellation of Large Transmission System EPC Order | Tess Holdings","jir_og_description":"Tess Engineering cancels a large EPC order for a storage facility. Amount about 4.0 billion yen, delivery planned for December 2027. Explains potential impact on future performance and disclosure policy.","jir_og_image_url":"\/assets\/og\/company-general_ir.jpg","jir_chart_data_collection":"[]","ir_related_company":57457,"ir_release_date":"","ir_type":"","ir_is_new":false,"ir_document_url":"","jir_ir_type":"corporate_restructuring","footnotes":""},"sector":[],"importance":[],"class_list":["post-104252","ir_release","type-ir_release","status-publish","hentry"],"yoast_head":"\n