As Japanese technology conglomerate Toshiba continues to move through its accounting scandal, a yearslong saga that has only recently begun to nab headlines, reports are emerging of the financial fallout from the situation.
Reports in the International Business Times published Thursday (Sept. 3) revealed the company is set to post a more than $82 million loss from the accounting inaccuracies for the last fiscal year.
The losses follow revelations that, for several years, Toshiba had misrepresented its earnings reports. Last July the company’s chief executive Hisao Tanaka stepped down, along with several other top officials at the firm, after internal investigations revealed the inaccuracies. The saga has also caught the attention of third-party regulators, though it is unclear whether authorities will issue sanctions against the company.
Amid its probe Toshiba had postponed the release of its fiscal earnings reports; IBT said the firm is slated to release its numbers on Sept. 7.
But reports also said that there is a chance that release could be postponed once again if further accounting inaccuracies are found. Earlier this week the company’s interim president Masashi Muromachi revealed that 10 other inaccuracies were found within Toshiba’s books through further investigation, though he described the discrepancies as “not huge.”
Muromachi called the accounting scandal the company’s “biggest crisis” in its 140 years of operation. “We need to improve corporate governance, internal controls and our corporate culture,” he told reporters last month. “We will proceed with structural reform anew.”
Toshiba’s accounting scandal is seen by analysts as the worst in Japan in four years.
The revelations of financial misreporting and misrepresentation have raised some concerns regarding corporate culture within Japan as a whole, one that some critics say facilitates manipulation of accounting data to appease corporate executives.