Nidec shares hit year-to-date low as PwC Japan's disclaimer of opinion raises delisting risk concerns

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Summary · why it matters

After Nidec's auditing firm issued a disclaimer of opinion on the company's consolidated financial statements for the fiscal year ending March 2026, the stock plunged on delisting-risk concerns, briefly falling 19.8% to 1,888 yen and marking a year-to-date low. PwC Japan Audit Corporation said it was unable to obtain sufficient and appropriate audit evidence to serve as the basis for an opinion and therefore would not express an audit opinion. The Tokyo Stock Exchange designated Nidec as a special attention stock last October, after accounting fraud came to light, demanding improvements to its internal control system; the exchange will review the internal control system one year later, and if it judges the system has not been properly established, the company will be delisted. At Nidec, accounting fraud including inflated profits and deferred expense recognition was uncovered last year, and Shigenobu Nagamori resigned as representative director at the end of the year and as honorary chairman in February of this year. Quality problems subsequently emerged, and an investigative committee set up by the company determined in September that there were 844 instances of improper conduct, including changes to the design and manufacturing processes of components for home appliances and automobiles.

Impact on assets 2

Robotics & Physical AI▼ · 1 stocks
Nidec Corporation
6594
▼ NegativeRegulationrelevance

PwC Japan's disclaimer of opinion and the TSE's special-attention/delisting review over accounting fraud and internal-control failures threaten Nidec's listing.

Financials▲ · 1 stocks

Off-coverage companies 1

PwC Japan Audit LLCPrivate± Mixed
Regulationrelevance

PwC Japan issued the disclaimer of opinion on Nidec's financials, an audit/regulatory action whose consequences for the auditor itself are unclear.

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