Toshiba's shares tumble on reports it will miss its third financial results deadline

Courtney Goldsmith
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Chief executive Satoshi Tsunakawa was faced with angry shareholders last week (Source: Getty)

Shares in troubled Japanese conglomerate Toshiba fell more than nine per cent yesterday after sources warned it is expected to miss a third results deadline.

The firm's stock closed 5.47 per cent lower as sources said Toshiba's auditor, PwC, has questions about financial results for the business year through March 2016.

Toshiba was originally meant to file its quarterly earnings for the period from October to December in February. It has twice extended the deadline.

In March, the group said it needed more time to investigate an "alleged occurrence of inappropriate pressures by certain senior managers" surrounding the purchase of CB&I Stone & Webster, a nuclear construction company, by its Westinghouse nuclear unit.

Westinghouse filed for bankruptcy protection last week after incurring £5bn in impairment charges at US new builds.

Read more: Toshiba's Westinghouse has filed for bankruptcy

The writedowns could push Toshiba’s net loss for the year to 1 trillion yen (£7.2bn) compared with a previous estimate of 390bn yen, the company has warned.

A Toshiba spokesman told Reuters the possible postponement was not something the company had announced and that it was preparing to make the earnings announcement by 11 April.

Last week, the firm's shareholders approved plans to split off the company's prized flash memory chip business to cover Westinghouse's losses. Angry investors lashed out at chief executive Satoshi Tsunakawa and others, with one calling Toshiba a “laughing stock around the world”.

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