toshiba shares slump on accounting probe
Last Updated : GMT 14:49:45
Arab Today, arab today
Arab Today, arab today

Toshiba shares slump on accounting probe

Arab Today, arab today

Arab Today, arab today Toshiba shares slump on accounting probe

Japan's high-tech giant Toshiba
Tokyo - AFP

Toshiba shares plunged on Monday after the Japanese conglomerate withdrew its earnings forecast and said it will not pay a dividend, citing accounting problems on a number of infrastructure projects.

The company faced massive selling throughout the day with the stock tumbling to its low limit of 403.3 yen ($3.40), down 16.55 percent.

Shortly after the Tokyo market closed on Friday, Toshiba announced it had cancelled its projection for a 120 billion yen ($1.0 billion) net profit on sales of 6.7 trillion yen in its latest fiscal year to March.

The vast engineering conglomerate, which makes everything from batteries to nuclear reactors, also warned it may revise past earnings.

Toshiba said it would hire an outside team of experts to look into the matter after finishing an internal investigation.

So far, the probe revealed that Toshiba underestimated the cost of "certain" infrastructure projects along with other accounting irregularities, it said in a statement with few other details.

The company added that it will not report revised fiscal-year results until at least next month.
"This is unlikely to affect Toshiba's profitability but it damaged investors' trust," said Mitsushige Akino, an executive officer at Ichiyoshi Investment Management in Tokyo.

"The stock dropped mainly because of the uncertainty since the actual losses are not known. This selling will probably continue until Toshiba clarifies the situation."

A Toshiba spokeswoman told AFP on Monday that "several construction projects have understated costs".

The extent of the problems -- and who was responsible for them -- was not yet clear, she added.

"The investigation include power systems, social infrastructure and community solutions units," the spokeswoman said, referring to its energy, rail and air traffic control services, and an urban infrastructure division.

Toshiba's embarrassing roll-back comes after its nine-month net profit surged 86 percent from a year earlier to 71.9 billion yen, thanks to strong sales in the energy and infrastructure business, such as nuclear power plants, as well as electronic devices, including memory chips.

Earlier this year, Toshiba said it was getting out of the North American television business and selling its brand in the market to a Taiwanese manufacturer.

The firm pointed to slowing TV sales for the decision to stop development and sales of televisions in North America.

Japan's TV makers, including Sony and Panasonic, have suffered as razor-thin margins and fierce overseas competition, particularly from South Korean and Taiwanese rivals, have dented their bottom line.

 

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

toshiba shares slump on accounting probe toshiba shares slump on accounting probe

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

toshiba shares slump on accounting probe toshiba shares slump on accounting probe

 



Arab Today, arab today
Arab Today, arab today Jordanian woman reveals her project

GMT 00:46 2017 Saturday ,11 November

Jordanian woman reveals her project
Arab Today, arab today Visit Jamaica for more than just sun

GMT 09:45 2017 Tuesday ,21 November

Visit Jamaica for more than just sun
Arab Today, arab today Keep kids busy at Thanksgiving gatherings

GMT 11:14 2017 Friday ,10 November

Keep kids busy at Thanksgiving gatherings
Arab Today, arab today UN warns of conflict in Gaza

GMT 08:39 2017 Tuesday ,21 November

UN warns of conflict in Gaza
Arab Today, arab today Missouri problem mirrors woes

GMT 06:46 2017 Tuesday ,21 November

Missouri problem mirrors woes
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Australian academic's book pulled

GMT 15:20 2017 Monday ,13 November

Australian academic's book pulled
Arab Today, arab today May under Brexit pressure at EU reform summit

GMT 02:14 2017 Saturday ,18 November

May under Brexit pressure at EU reform summit
Arab Today, arab today Delhi half-marathon to go ahead

GMT 03:51 2017 Saturday ,18 November

Delhi half-marathon to go ahead
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today VW says will invest over 34bn euros

GMT 07:19 2017 Tuesday ,21 November

VW says will invest over 34bn euros
Arab Today, arab today Driverless, electric future just round

GMT 02:45 2017 Monday ,20 November

Driverless, electric future just round
Arab Today, arab today Fedra happy for “Between Two Worlds” success

GMT 09:23 2017 Saturday ,18 November

Fedra happy for “Between Two Worlds” success
Arab Today, arab today paObama climate envoy slams Trump's rejection

GMT 16:04 2017 Friday ,17 November

paObama climate envoy slams Trump's rejection

GMT 12:15 2017 Friday ,17 November

Mona Abdel Ghany increased artistic activities

GMT 11:15 2017 Thursday ,16 November

Angola oil boss sacked by father's protege

GMT 18:41 2017 Friday ,20 October

Designer Aql Faqih aspires to innovation

GMT 11:38 2017 Wednesday ,15 November

Unloved vultures fight for their survival

GMT 11:49 2017 Thursday ,17 August

Egyptian artist presents new collection of designs

GMT 00:54 2017 Monday ,20 November

Mideast in danger as London explores

GMT 03:12 2017 Saturday ,18 November

Prince's vision spurs new Cornwall village

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday