Fuji Media, rocked by a scandal that has gripped Japan, on Thursday slashed its annual net profit forecast by two-thirds citing a sharp drop in advertising revenue. Fuji Media this week announced a management shake-up amidst a probe into alleged sexual misconduct by a celebrity TV host against one of its staff.

The Japanese government said Thursday it has pulled advertisements from Fuji Television in the wake of sexual assault allegations lodged against its celebrity host, as the company slashed profit forecasts.

The chairman and president of Japan's Fuji Television resigned Monday, weeks after a celebrity presenter and former pop star was accused of sexual assault.