Forcia Reports First Quarter Tax Asset Impairment of About 45 million

TOKYO, Jul 14 (Pulse News Wire) – FORCIA,Inc. (304A.T) reported on Thursday that it had recognized deferred tax assets of approximately ¥45 million for the quarter ending May 31, March 01, 2026-May 31, 2026, based on its assessment of future performance.

The increase from the previous fiscal year-end was recorded as a tax adjustment amounting to approximately ¥22 million. The recognition of deferred tax assets stems primarily from anticipated increases in employee bonus payments due to the company's performance-linked compensation system. This move is expected to reduce the tax adjustment for the quarter and boost net profit.

Employee bonuses are scheduled to be paid out by the end of the quarter, ensuring the recovery of the deferred tax asset. The company’s outlook for the fiscal year ending February 2027 remains unchanged, with no revisions made to the annual forecast at this time. The impairment is reflected in the interim earnings announcement released earlier today.