Toshiba says it is struggling to survive

After two delays, Toshiba finally filed its third-quarter financial results earlier today but it warned investors that there are "material events and conditions that raise substantial doubt about the company's ability to continue as a going concern". Curiously, the results were not audited by the company's auditor, PricewaterhouseCoopers Aarata, and Toshiba says it has still not fully determined the full cost of restructuring Westhinghouse.

Full losses for the year could top 1 trillion yen ($9.05 billion) and the company's shareholder equity heading deeper into the negative territory. An accounting scandal as well as the Chapter 11 bankruptcy of the Westinghouse nuclear division put Toshiba in severe trouble. This is pushing Toshiba to sell its chip division, which includes its profitable NAND flash memory crown jewels.

Toshiba said that while it had not yet fully determined the full cost of restructuring Westinghouse, its calculations suggested net income would fall by roughly 620bn yen.

There is also a risk the value of shareholders' equity could fall even further - potentially down to -620bn yen from -150bn yen announced in February.

Toshiba said it will do whatever is in its power to prevent a stock delisting by the Tokyo Stock Exchange (TSE).

Via: Telegraph