Toshiba released their financial results for their 2014 business year that ended on March 31st of this year, and the figures make for rather grim reading.
Those two results final row are the most damning, as they show Toshiba has been operating at a loss for the past two years – although the figures in 2013 were much worse at ¥98 billion (R11 billion).
The loss for this year was attributed to Toshiba’s operating profits being overstated by $1.22 billion (R17 billion) over the past six years.
To make matters worse, these results have been delayed twice, which may be linked to the company selling its stake in Kone, a Finnish elevator company. Toshiba sold its 4.6 per cent stake for a reported $946.2 million (R13 billion).
Both the overstated profits and sale of the Kone stake are linked to an accounting scandal that resulted in Toshiba’s president resigning.
Ironically, all this bad news led to Toshiba’s shares “rising as much as 3.5 per cent”.
If you have a head for numbers or want to dig into Toshiba’s books, you can read the thirty-page PDF of their financial results.
We’ve reached out Toshiba South Africa for comment, to see if this news will have any affect on the local arm of the company.[Source – BBC]