TOKYO (Reuters) -Nidec said on Friday it will submit an improvement plan to the Tokyo Stock Exchange after being placed on a “special alert” over inadequacies in its internal controls and accounting practices.
The Japanese electric motor maker refrained from issuing a new annual operating profit forecast for the year to March 2026, having scrapped its previous 260 billion yen ($1.68 billion) guidance in late October.
It said a probe by a third-party committee into suspected inappropriate accounting practices was ongoing, and that if false representations are found, they could have a significant and widespread impact on the company’s financial statements.
Nidec said it plans to submit a draft improvement plan to regulators by mid-December and disclose progress in January.
($1=154.4500 yen)
(Reporting by Daniel Leussink and Kaori Kaneko; Editing by Clarence Fernandez and Christopher Cushing)
