Dentsu, the Japanese advertising giant with a significant sporting presence, has moved to replace its current chief executive after making a record annual loss in 2025.

Incumbent Hiroshi Igarashi will be replaced on March 27 by Takeshi Sano, currently the chief executive of Dentsu's Japanese operations and deputy global chief operating officer.

The move comes after Dentsu unveiled a record net loss equivalent to $2.18 billion for the 2025 fiscal year, earlier in February.

This was mostly caused by the company having to pay a 'goodwill impairment' charge of $2.03 billion.

Sano has said in a statement: "Dentsu will continue to sharpen the distinctive value that sets us apart and position ourselves as a true growth partner, supporting clients consistently from strategy through to execution."

Sano's elevation to CEO and his replacement of Igareshi come as part of a wider structural reset of the company's hierarchy, which also involves the elimination of the global COO and global president roles.

This, in effect, means that all regional chief executives will report directly to Sano.

Overall, Dentsu has commented that the new global structure has been put in place to "enhance execution excellence and drive stronger growth outcomes for our clients.”

From a sporting point of view, December saw Dentsu acquire the broadcasting rights for soccer’s showpiece 2026 FIFA World Cup in Japan.

The “comprehensive” media rights package includes broadcasting and streaming, with viewers in Japan to be offered multiple viewing methods.

In December, meanwhile, Dentsu agreed a long-term commercial partnership with basketball's East Asia Super League (EASL) competition.

The two parties said the tie-up will focus on expanding the reach and impact of Asian basketball and “amplifying the region’s sporting excellence through innovative marketing and fan engagement strategies.”