TOKYO — Japanese electronics maker NEC Corp. said Friday its group net loss for the fiscal first-half was about $20-million worse than it reported a month ago.
NEC revised the group loss to 9.93-billion yen, or $83.7-million for the six-month period ended Sept. 30 instead of the 7.43-billion yen, or $62.6-million (U.S.), loss it reported Nov. 21.
The Tokyo-based company said accounting errors related to its switch from U.S. to Japanese accounting standards caused the mistake. In October, the company switched from U.S. accounting standards after problems with its auditor, Ernst & Young, on how to account for revenue on bundled software and hardware contracts.
The company — whose main businesses include a manufacturing network and computer products — also said a correction related to the timing of its booking of sales also led to the correction.
NEC said in November that its losses had surged in the fiscal first half, compared with the previous year, as sales of mobile phones and personal computers slumped and the Japanese electronics maker booked costs to restructure its chip operations.
The correction did not affect the manufacturer's forecast for the full year through March. NEC said it still expects a group net profit of 18-billion yen, $152.5-million (U.S.) on 4.7-trillion yen, $39.7-billion (U.S.), in sales.
NEC announced the revision after the close of trade on the Tokyo Stock Exchange, where its share price fell 0.35 per cent to 567 yen, or $4.79 (U.S.).
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