Nichicon Corporation TSE:6996

Nichicon : Notice Concerning Recording of Extraordinary Losses (Business Restructuring Cost)

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DISCLAIMER: This English document is translated using a machine translation. You may use this for reference purposes only, fully understanding that it may include inaccurate translations. It is your sole responsibility if you rely not on the Japanese original but on this translation.

May 9, 2025

To whom it may concern

Company name:

NICHICON CORPORATION

Name of representative:

Katsuhiko Mori, President and Representative Director

(Securities Code: 6996, TSE Prime)

Inquiries:

Mikito Yokoba, General Manager, Corporate Communications & Investor Relations Div

(TEL.: +81-75-231-8461)

Notice Concerning Recording of Extraordinary Losses (Business Restructuring Cost)

NICHICON CORPORATION (the "Company") hereby announces that it recorded extraordinary losses (business restructuring cost) in its consolidated financial statements for the fiscal year ended March 31, 2025 (April 1, 2024 to March 31, 2025) as follows.

  1. Details and amount of extraordinary losses (business restructuring cost)

    In the consolidated financial results for the year ended March 31, 2025, some non-current assets related to the manufacturing in the Capacitor Segment owned by NICHICON (MALAYSIA) SDN. BHD., a consolidated subsidiary of the Company, showed signs of impairment. As a result of evaluating the recoverability of the relevant non-current assets, our group wrote the asset down to its recoverable amount, recording the write-down as an impairment loss. Also, the group wrote down the carrying amount of certain idle assets held by the company's consolidated subsidiaries, NICHICON (OHNO) CORPORATION, NICHICON (IWATE) CORPORATION, and NICHICON ELECTRONICS

    (SUQIAN) CO., LTD., to its recoverable amount and recorded the write-downs as impairment losses.

    In addition, NICHICON (MALAYSIA) SDN. BHD. reasonably estimated the costs expected to arise from optimizing the number of employees, and recorded a total of 2,087 million yen as an extraordinary loss as a business restructuring cost.

  2. Impact on operating performance

Please refer to the "Summary of Consolidated Financial Results for the Fiscal Year Ended March 31, 2025 (Japanese GAAP)" released today regarding the impact of the recording of the extraordinary losses described above on the consolidated business results for the fiscal year ended March 31, 2025.