Nidec Shares Plunge as PwC Japan Withholds Audit Opinion for Second Year
Nidec shares fell as much as 20% in Tokyo on 1 October after auditor PwC Japan declined to give an opinion on the scandal-hit motor maker's full-year results for a second consecutive year.
Nidec Corp shares plunged in Tokyo morning trade on 1 October after the Japanese motor maker’s auditor declined to give an opinion on its long-awaited full-year results, according to Bloomberg Tech via Scoop. The stock fell as much as 20% to ¥1,888, a year-to-date low, before paring losses to around 17% at ¥1,945.
PwC Japan issued a disclaimer of opinion on Nidec’s consolidated financial statements for the fiscal year ended March 2026, saying it was “unable to obtain sufficient and appropriate audit evidence”, BigGo Finance reports. It is the second consecutive year the auditor has withheld its opinion, after a disclaimer on the fiscal 2025 report. PwC said some officers and employees involved in the previously disclosed accounting irregularities still hold positions of responsibility in the financial reporting process.
Nidec swung to a net loss of ¥564.62 billion ($3.59 billion) for the year ended March, from a net profit of ¥84.67 billion the prior year, after booking a ¥632 billion impairment loss blamed on a deteriorating electric-vehicle motor business and excessive competition for home-appliance motors in China, the Wall Street Journal reports.
The results came a day after Nidec replaced chief executive Mitsuya Kishida with technology chief Michio Kaida. The Tokyo Stock Exchange placed Nidec’s stock on special alert last October, and the company faces a possible delisting if internal controls do not improve. Daiwa Securities credit analyst Hiroki Uchida said the large impairment may have implications for credit ratings, though liquidity concerns remain limited, per Dow Jones Newswires.
Sources
- Wall Street Journal: https://www.wsj.com/business/earnings/nidec-sinks-to-loss-on-4-billion-impairment-ed46eb30
- Dow Jones Newswires via TradingView: https://www.tradingview.com/news/DJN_DN20260930009761:0-nidec-corp-shares-slump-after-annual-loss-on-4-billion-impairment/
- Bloomberg Tech via Scoop: https://scoopfeeds.com/article/8350a655-9377-57af-89ed-780b21442b29
- BigGo Finance: https://finance.biggo.com/news/3beda917-b721-410b-9022-2fb02f0640da
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