【Les enphants】Announces Change in Accounting Policy After the Start of the 2026 Fiscal Year
Les enphants, a major baby and children's apparel company, announced a change in accounting policy for its investment properties from the cost model to the fair value model. This will strengthen its financial structure and reflect asset values more accurately.
📋 Article Processing Timeline
- 📰 Published: May 14, 2026 at 09:00
- 🔍 Collected: May 15, 2026 at 08:00 (23h 0m after Published)
- 🤖 AI Analyzed: May 15, 2026 at 09:00 (1h 0m after Collected)
1. Board of Directors resolution date: 2026/05/14
2. Nature of change: Change in accounting policy
3. Reason for change: Subsequent measurement of investment property changed from cost model to fair value model
4. Period of retrospective application for the new accounting policy: 2026/01/01
5. Impact items and actual impact amounts for the year preceding the accounting change:
(1) Impact on the consolidated balance sheet as of January 1, 2025: a. Investment property increased by NT$264,434 thousand; b. Deferred income tax liability increased by NT$318 thousand; c. Accumulated deficit decreased by NT$264,116 thousand.
(2) Impact on the consolidated balance sheet as of December 31, 2025: a. Investment property increased by NT$46,697 thousand; b. Deferred income tax liability increased by NT$351 thousand; c. Accumulated deficit decreased by NT$46,346 thousand.
(3) Actual impact on the 2025 consolidated comprehensive income statement: a. Gain on disposal of subsidiary decreased by NT$214,309 thousand; b. Depreciation expense on investment property decreased by NT$43,136 thousand; c. Valuation loss on investment property increased by NT$46,564 thousand; d. Income tax expense increased by NT$33 thousand; e. Net profit for the period and comprehensive income for the period decreased by NT$217,770 thousand.
6. Actual impact on opening retained earnings of the year preceding the accounting change: Accumulated deficit as of January 1, 2025, decreased by NT$264,116 thousand.
7. Rationale and necessity for changing accounting policy after the fiscal year begins: To align with the company's operational development strategy, actively expand the logistics business, and enhance asset utilization efficiency, the company will reclassify its own assets as investment properties from 2026 to provide more relevant financial information and truly reflect the underlying value of the company's assets.
8. Explanation if retrospective application is impracticable: N/A
9. Auditor's opinion on the impact on the audit opinion of the preceding year if determination of impact is impracticable: N/A
10. Auditor's opinion on the reasonableness of each item: According to the review opinion issued by the CPA, the handling of the change in accounting estimates is not unreasonable.
11. Dissenting or reserved opinions from independent directors: None
12. Corresponding measures: Approved by the Board of Directors on 2026/05/14, to be handled in accordance with the "Regulations Governing the Preparation of Financial Reports by Securities Issuers" and reported to the 2026 Annual General Meeting.
13. Other matters to be specified: This accounting policy change has obtained a reasonableness opinion from the certifying CPA and has a significant positive effect on the company's overall financial health. In addition to truly presenting the fair value of assets, the increase in net worth will effectively optimize the financial structure, reduce the debt ratio, and further strengthen the company's financial stability. The company will continue to implement stable operations, optimize asset utilization efficiency, and strive to achieve the goal of maximizing shareholder value.
2. Nature of change: Change in accounting policy
3. Reason for change: Subsequent measurement of investment property changed from cost model to fair value model
4. Period of retrospective application for the new accounting policy: 2026/01/01
5. Impact items and actual impact amounts for the year preceding the accounting change:
(1) Impact on the consolidated balance sheet as of January 1, 2025: a. Investment property increased by NT$264,434 thousand; b. Deferred income tax liability increased by NT$318 thousand; c. Accumulated deficit decreased by NT$264,116 thousand.
(2) Impact on the consolidated balance sheet as of December 31, 2025: a. Investment property increased by NT$46,697 thousand; b. Deferred income tax liability increased by NT$351 thousand; c. Accumulated deficit decreased by NT$46,346 thousand.
(3) Actual impact on the 2025 consolidated comprehensive income statement: a. Gain on disposal of subsidiary decreased by NT$214,309 thousand; b. Depreciation expense on investment property decreased by NT$43,136 thousand; c. Valuation loss on investment property increased by NT$46,564 thousand; d. Income tax expense increased by NT$33 thousand; e. Net profit for the period and comprehensive income for the period decreased by NT$217,770 thousand.
6. Actual impact on opening retained earnings of the year preceding the accounting change: Accumulated deficit as of January 1, 2025, decreased by NT$264,116 thousand.
7. Rationale and necessity for changing accounting policy after the fiscal year begins: To align with the company's operational development strategy, actively expand the logistics business, and enhance asset utilization efficiency, the company will reclassify its own assets as investment properties from 2026 to provide more relevant financial information and truly reflect the underlying value of the company's assets.
8. Explanation if retrospective application is impracticable: N/A
9. Auditor's opinion on the impact on the audit opinion of the preceding year if determination of impact is impracticable: N/A
10. Auditor's opinion on the reasonableness of each item: According to the review opinion issued by the CPA, the handling of the change in accounting estimates is not unreasonable.
11. Dissenting or reserved opinions from independent directors: None
12. Corresponding measures: Approved by the Board of Directors on 2026/05/14, to be handled in accordance with the "Regulations Governing the Preparation of Financial Reports by Securities Issuers" and reported to the 2026 Annual General Meeting.
13. Other matters to be specified: This accounting policy change has obtained a reasonableness opinion from the certifying CPA and has a significant positive effect on the company's overall financial health. In addition to truly presenting the fair value of assets, the increase in net worth will effectively optimize the financial structure, reduce the debt ratio, and further strengthen the company's financial stability. The company will continue to implement stable operations, optimize asset utilization efficiency, and strive to achieve the goal of maximizing shareholder value.