COVER records 3.2 billion yen in special losses amid the end of Holoearth service

Cover, which operates Hololive, booked a 3.199 billion yen extraordinary loss after fully impairing assets tied to its metaverse project Holoearth, which it has decided to shut down.

The company also lowered its full-year forecast for both revenue and net profit for the fiscal year ending March 2026.

In response, President Motoaki Tanigo and other executives offered to voluntarily return part of their compensation.

The write-down highlights pressure on Cover’s profitability and is drawing attention to management accountability.