Articles about Accounting

Scandal-hit Toshiba faces investor sueball over accounting woes

Ailing Japanese corporation Toshiba is the target of a lawsuit from embittered shareholders over the stock price crash that resulted from a multi-billion dollar accounting debacle. Some fifty individuals have sued the organisation as well as with three former CEOs and two ex-CFOs for 301.99 million yen (£1.62m) in damages, …
Paul Kunert, 07 Dec 2015
Toshiba

Toshiba CEO and execs quit over $1.2bn six-year accounting scandal

Toshiba CEO Hisao Tanaka and seven other bigwigs have quit after a probe concluded profit figures had been inflated beyond their real values. The Japanese electronics giant said in a brief statement [PDF] today that $1.2bn (£770m, 151.8bn yen) was incorrectly added to Toshiba's income-before-tax figures in the 2008 to 2014 …
Shaun Nichols, 21 Jul 2015
graveyard_648

Accidental homicide: how VoLTE kills old style call accounting

Korean and US telco researchers have sounded what's probably the first death-knell of voice calls, demonstrating a variety of problems – some fundamental – with how Voice-over-LTE (VoLTE) works. The Carnegie-Mellon CERT has wrapped the problems up in this advisory, based on this ACM paper. The problems, which we'll describe …
Toshiba Satellite S50-B

Sorry, Toshiba, speak up ... What was that? A $6bn loss amid an accounting scandal?

Life isn’t getting any easier for Toshiba: the accountancy-scandal-hit Japanese conglomerate has forecasted a wider net loss of ¥710bn ($6bn) for its fiscal year, which ends in March. The worst set of losses in the company's history – it was founded in 1875 – are being blamed on restructuring costs, and amortisation of the …
Paul Kunert, 04 Feb 2016
George Osborne, photo: HM Treasury

GDS £450m investment probably an 'accounting fudge' – gov IT analyst

Plans to pump an extra £450m for the Government Digital Service to fuel the "digital revolution" was the shock take-away announcement in George Osborne's Spending Review yesterday - from the perspective of technology spend at least. It came as particularly unexpected as the body's top brass left en masse several months ago …
Kat Hall, 26 Nov 2015
channel_teaser_money_top

NHS supplier Trustmarque seeks backers after accounting change

The future of major NHS supplier Trustmarque looks less certain after private equity backer Dunedin confirmed that a change in the way revenue is recognised has created a “funding gap”. The venture capitalist was the vital cog in the £43m management buy-out at York-headquartered Trustmarque, a top table Microsoft partner that …
Paul Kunert, 02 Sep 2014

Trustmarque: £2m profits evaporated after accounting change

A change in revenue recognition wiped £2m off Trustmarque’s profits according to the firm’s strategic and financial report, which also provides more details on its near-collapse and subsequent sale to Liberata. As revealed, the York-based enterprise software licensing biz ran into cash flow difficulties last month after changing …
Paul Kunert, 09 Oct 2014

Tech Data: UK accounting errors cost us $27m

Tech Data (TD) has turned to "external experts" to beef up fraud detection measures after it emerged that righting accounting wrongs at its UK sub had wiped $27m (£16.55m) off net profits for the last three years. The restatement equates to three per cent of income made during fiscal '11, '12 and '13, the periods that forensic …
Paul Kunert, 05 Feb 2014
HP Autonomy homepage screen

US Air Force turns up dubious Autonomy accounting in reseller contracts probe

An investigation by the US Air Force into alleged accounting irregularities at Micro Technologies has unexpectedly dragged all that nasty business between HP and Autonomy back into the limelight. The USAF has been looking into MicroTech, which does a lot of business with government agencies – and, crucially, resells Autonomy …
The Register breaking news

UK fraud office hauls Olympus into court over accounting scandal

Japanese camera firm Olympus will be prosecuted by the UK's Serious Fraud Office along with its British subsidiary Gyrus Group following a £1bn accounting scandal at the company. The SFO has been investigating both companies after three of Olympus' former execs admitted to falsifying financial statements, overstating net assets …

Tech Data to close lid on accounting nightmare TOMORROW

Tech Data is about to wake up from the restatement nightmare that has troubled senior execs for nearly 11 months when it reports delayed fiscal '13 numbers tomorrow. The world's second largest tech wholesaler revealed in March that it discovered errors in vendor accounting which could wipe up to $33m off its bottom line for …
Paul Kunert, 04 Feb 2014
stock_ticker_board_648

Top watchdog probes IBM over 'transactions in US, UK, Ireland'

IBM's stock price has taken a hit after the tech titan revealed it is under investigation by the US Securities and Exchange Commission (SEC). Big Blue said in its latest 10-Q filing that for the past two months, the financial watchdog has been looking into its accounting practices. "In August 2015, IBM learned that the SEC is …
Shaun Nichols, 27 Oct 2015
axe_channel_teaser

Danwood axes 200 after discovering 'accounting weaknesses'

Top brass at print consultancy the Danwood Group axed 200 staff as part of an operational review following the discovery of systemic accounting errors relating to services contracts. The details of the job cuts were laid bare in a Companies House filing today for the Lincoln-based HP, Xerox and Canon sales biz, covering results …
Paul Kunert, 28 May 2013
Red pen

Phoenix IT Group fesses up to 'accounting irregularities'

Phoenix IT Group has suspended a business manager amid a probe into accounting irregularities that the firm reckons will result in £14m being wiped from net assets. The listed IT services group revealed in a statement to the London Stock Exchange this morning that it has named PwC and Nabarro LLP to "carry out independent …
Paul Kunert, 03 Sep 2012
Linux password file by https://www.flickr.com/photos/132889348@N07/  CC 2.o attribution sharealike generic https://creativecommons.org/licenses/by-sa/2.0/

SaaS outfit to users: Change password! Or don't. Oh, go on then

Online accounting enfant terrible Xero has apologised for telling too many people to change their passwords, when they didn't need to change their passwords even though it wouldn't hurt them to change their passwords. Xero has boiled up out of New Zealand with a SaaS accounting package that has sufficient smarts and looks that …
Simon Sharwood, 26 Oct 2015
The Register breaking news

US, UK probe HP claims of accounting mischief at Autonomy

The US Department of Justice is investigating Hewlett Packard's allegations that British software company Autonomy cooked its books before it was bought up by HP. Hewlett Packard claimed accounting irregularities and financial misrepresentation at Autonomy led to HP's $8.8bn loss in the fourth quarter of 2012. HP paid $11bn for …
Anna Leach, 31 Dec 2012
Toshiba

Toshiba denies NAND exit report with 'no decision made' comment

Giant Japanese conglomerate Toshiba, currently restructuring in the wake of a huge accounting scandal, has denied media reports that it intends to pursue a flash foundry spin-off. The Japan Times has reported (citing sources) that the flash foundry business could be set up as a separate subsidiary owning the Yokkaichi plant in …
Chris Mellor, 21 Dec 2015

Phoenix IT Group injects fresh blood, hopes to heal from accounting boo-boos

Troubled Northampton-based player Phoenix IT Services has quietly introduced new blood to the organisation. The IT services specialist recently posted numbers for the halfway (30 September) point in fiscal 2013, with sales diving £7m to £124m and operating profits falling to £9.9m from £14m (restated) in the previous year. This …
Paul Kunert, 11 Dec 2012
Graph of US dollar going up CC 2.0 https://www.flickr.com/photos/68751915@N05/ 401kcalculator.org.

Who's laughing now, doubters? Cloud makers rake in £75bn in sales

Global cloud revenues jumped 28 per cent year-on-year to reach $110bn (£75bn) in the 12 months to September 2015. Totting up the numbers is Synergy Research, which tracks vendor revenues in six cloud services and infrastructure areas. These are: Public IaaS/PaaS, Private and Hybrid, SaaS, UCaaS, Public Cloud, Private Cloud. …
Drew Cullen, 08 Jan 2016

Airbus, Boeing aero parts maker loses $54m in cyber-stick-up

An Austrian engineering firm is counting the cost of poor IT security after admitting €50m ($54m) has gone missing from its accounts following a "cyber fraud." FACC Operations makes airplane parts for giants like Airbus and Boeing, and is majority owned by a Chinese holding company. It insists its intellectual property, …
Iain Thomson, 22 Jan 2016
Toshiba MQ03ABB300

Is Toshiba mulling asset sales? HDD, TV businesses in the frame

Comment Toshiba is in trouble and could be about to exit the PC and disk drive businesses. The company is still suffering badly from a massive accounting scam, which overstated profits for seven years, and it has just reported a lousy quarter with losses of $91m. Masashi Muromachi became Toshiba’s new president (chief executive) in …
Chris Mellor, 14 Sep 2015
Toshiba Satellite P series laptop

Toshiba, Fujitsu and Vaio may be about to merge laptop ops

From Taiwan, an advance on a tantalising rumour: Toshiba, Fujitsu and Vaio look to be seriously considering a merger of their laptop-making operations. Vaio, the laptop spin-off from Sony, publicly floated the idea in late 2015. At that time it was thought that Toshiba would probably like the idea, as relieving itself of its …
Simon Sharwood, 01 Feb 2016

Ex-Autonomy CEO Mike Lynch sues HP for $150m+

Autonomy founder and ex-CEO Mike Lynch is suing HP for at least $150m (£100m) in damages over its assertion that he helped cook the books to inflate the price it paid for the software firm. Back in the summer of 2011, HP forked out $10.7bn to acquire Autonomy. Little over a year later, the US giant accused Lynch of …
Paul Kunert, 01 Oct 2015
Grinning man in suit points at a calculator meaningfully. Pic via Shutterstock

Oracle now fully compliant with UK tax laws*

Good news, britons! Oracle says it is now fully compliant with the nation's latest tax regulations, including those that come into force on April 6th. That's the first day of the UK's new financial year, thanks to some sixteenth-century calendar-realignment shenanigans. Whatever the reason for the day, those who rely on …
Simon Sharwood, 05 Feb 2016
Nigeria

Nigerian government site popped, used for phishing scam

Malfeasants have embedded a phishing scam inside the Financial Reporting Council of Nigeria's web site. The Council is legit: it's Nigeria's accounting standards and corporate governance oversight organisation. That role, says Netcraft, doesn't make it a wizard at information security, because someone's found their way in to …
Simon Sharwood, 06 Nov 2015
Job cuts jpeg

Toshiba CEO: Yeah, we MAY need to chop some heads

Toshiba is looking to take “urgent action” across its PC and TV business that may well involve cutting jobs, according to the chief executive. The scandal-hit Japanese corporation last month reported declining sales and widening losses in its Lifestyle Products and Services division that houses clients devices. This followed …
Paul Kunert, 01 Oct 2015
classroom_shutterstock_648

Women account for just one fifth of the EU’s 8m IT jobs

The European Union has totted up all the IT jobs in the region for 2014 and this is what it found: nearly eight million ICT pros employed in the 28 member states and more than 80 per cent are men. They are also well-educated, with more than half completing tertiary education. Techies occupied just 3.7 per cent of all jobs - “a …
Drew Cullen, 21 Jan 2016
money_987_648

Lenovo loses $784m in Q2. But actually things are OK

Restructuring costs downed Lenovo’s profits for a second consecutive quarter caused by the ingestion of acquired businesses and previously confirmed job cuts. Operating expenses swelled in the company’s Q2 of fiscal year 2016 to $2.36bn from $1.09bn a year ago, paving the way to an operating loss of $784m, compared to an …
Paul Kunert, 12 Nov 2015
HP

HP lifts lid on Autonomy lawsuit claims, but Lynch cries BOLLOCKS

On Tuesday, HP made public the details of the lawsuit it has filed against former Autonomy executives Mike Lynch and Sushovan Hussain in the UK, in what is just the latest round in litigation that is only likely to get uglier as the suit progresses. "HP confirmed today that Particulars of Claim against Lynch and Hussain were …
Neil McAllister, 06 May 2015

Sage boosts profit but that means NOTHING without the CLOUD

Sales rose 6.5 per cent to £699m during accounts-ware biz Sage's half-year results, despite the company's poor cloudy progress. Pre-tax profits increased 4.9 per cent to £173m, compared with the first half of its previous financial year. Stephen Kelly, chief executive officer, said the company is in the process of overhauling …
Kat Hall, 06 May 2015
iMoney iOS app icon

iMoney Accounting

iOS App of the Week It must be a sign of the times, but I’m definitely seeing more personal finance apps coming my way recently. Of course, there’s already no shortage of apps for keeping track of your daily spending, but iMoney Accounting caught my eye as it’s free and also has an online reporting function that could be useful for people who need …
Cliff Joseph, 13 Oct 2011
channel_teaser_exit

Danwood CEO Francis exits stage left

The CEO brought in by Danwood’s backers to extinguish the financial flames that resulted from half a decade of systemic mismanagement and dodgy bookkeeping practises, has exited. Steve Francis, the self-proclaimed serial turnaround expert has left the building in far better shape than he found it in October 2012 when the print …
Paul Kunert, 01 Sep 2015
Cat 5 cable

Conficker, back from the undead, dominates malware threat landscape

Conficker was the most common malware used to attack UK and international organisations in October, accounting for 20 per cent of all attacks globally, according to security vendor Check Point. When it first appeared in November 2008, the Windows-affecting Conficker worm caused all manner of problems mainly because of its …
John Leyden, 01 Dec 2015
A humpback whale shows its open mouth as it breaches the surface of the sea.

Cloud will kill tech sales jobs

Comment On-premises IT brings tech sales jobs in its wake. Cloud IT kills them. That's the thinking of a territory account manager in a storage IT startup. The thought process starts: "There is probably some statistic where, for every IT deal that goes to the cloud, there are 20 traditional tech sales jobs that are eliminated." How …
Chris Mellor, 09 Nov 2015
dollar_graph_648

Tech Data: If only we could discount forex and impact of closing country ops...

Tech Data continued to pile on the pounds dollars in its latest quarterly financials – but only if the crushing currency burden and the impact of exiting operations in Latin America were discounted. In reality, the world's second largest technology distributor reported a five per cent slump in sales to $6.428bn for Q3 of …
Paul Kunert, 24 Nov 2015
Toshiba

Troubled Toshiba ponders selling chips to save its flash bacon

Toshiba, recovering from a self-caused $1.3bn accounting scandal, could exit peripheral chip businesses while concentrating on its NAND core – with exit from the disk business a possibility too. Reuters and Japan’s Nikkei reported loss-making parts of Toshiba's chip business lines, such as systems LSI (Large Scale Integration …
Chris Mellor, 25 Jan 2016
management regulation6

Kelway new owner CDW tells staff to rest easy. Job cuts? Nah

The great unwashed at Kelway could be forgiven for checking their backs after CDW acquired the reseller yesterday, but job cuts or office closures are not part of early integration plans, or so say the new bosses. The world’s largest tech reseller – CDW won 3,000 new punters in Q2 alone compared with the 4,600 in total that …
Paul Kunert, 04 Aug 2015

US feds save billions through data center consolidation

America's biggest federal agencies carved out $3.6bn in IT cost savings between 2011-2014 - compared with government "cut and reinvest" guidance of $7.6bn and an annual IT budget of $80bn-plus. Data centre consolidation and optimization efforts produced about half the IT procurement savings. The OMB has set out three main …
Team Register, 16 Sep 2015

Buffet would take a $2bn hit on IBM shares … if he cashed in now

Warren Buffet, one of the world’s wealthiest men and a stock market gambler renowned for avoiding tech bets, is counting the billions of dollars lost – as it stands – after taking a punt on IBM. The tycoon’s Berkshire Hathaway fund has confirmed some 16 per cent of its $12.3bn cash splash on Big Blue shares over the past four …
Paul Kunert, 09 Nov 2015
Toilet roll printed with fake US $100 bills

Vendors reporting their cloud revenue with funny money

There's no way to tell just how successful your suppliers are in the cloud, because nobody's counting cloud cash consistently. So says analyst house Gartner in a paper titled “Vendor Cloud Revenue Claims — Should Enterprises Care?” Gartner thinks you need to care, because vendors are finding all sorts of ways to cook up a big …
Simon Sharwood, 18 Jan 2016
Party blower image via Shutterstock

Surprise! No wonder Oracle doesn't 'see' IBM or SAP in the cloud

At Oracle’s recent OpenWorld conference, Larry Ellison asserted: “We never, ever see IBM” or SAP in the cloud. Perhaps because, according to a senior Oracle insider, Oracle still isn’t doing much in the cloud. How much is “not much?” As InfoWorld reported in an interview with this unnamed source, in 90 per cent of Oracle’s …
Matt Asay, 16 Nov 2015
Man with head in the cloud

Enterprise IT bucks fly to the cloud

Spending on traditional IT infrastructure will decline in the face of a shift to the cloud, IDC has predicted, but the old style of IT will still retain a majority of customers’ dollars at the end of this decade. Just. The research firm said today that total spending on cloud IT infrastructure will grow by 24.1 per cent this …
Joe Fay, 05 Oct 2015
MileIQ: Microsoft's latest acquisition is not available on Windows Phone

MileIQ drives to Redmond: Microsoft swallows Mobile Data Labs

Microsoft has acquired Mobile Data Labs, developers of the popular mileage tracking app MileIQ. The MileIQ app, which is available for iOS and Android but not for Windows Phone, automatically logs miles driven and lets you categorise and record them, for example to claim business expenses. According to Microsoft, MileIQ " …
Tim Anderson, 06 Nov 2015
management regulation1

HP's shareholder settlement deal over Autonomy merger DENIED – again

A US district judge has thrown out a proposed settlement deal of a sueball lobbed at HP by some of the company's shareholders, after it bought Blighty software outfit Autonomy for $10.7bn in 2011. "The shareholders appear to be relinquishing a whole universe of potential claims regarding HP governance and practices with no …
Kelly Fiveash, 20 Dec 2014

Trustmarque: 2014 was a helluva year – for all the wrong reasons

Trustmarque swung to a loss in a challenging 2014 caused by a write-down of acquired Opin Systems, the correction of overstated profits in the prior year and commercial uncertainty leading up to its sale to Liberata. The licensing specialist turned over £135.4m in the twelve months, £99m of which was based on Microsoft …
Paul Kunert, 02 Oct 2015
SEC

US tech titan CSC slapped with $190m penalty

IT giant CSC has been slapped with a $190m (£122m) penalty by US regulator the Securities and Exchange Commission following a probe into the firm's accounting practices. The investigation was opened in 2011, mainly into the firm's European outsourcing unit - including revenue from its troubled NHS contract negotiations between …
Kat Hall, 30 Dec 2014

US radar paparazzi snap 'Halloween Asteroid'

NASA has served up some radar images of the so-called "Halloween Asteroid" - a 600 metre diameter ball of rock that whisked past Earth on 31 October. Mercifully, Bruce Willis' services were not required, as asteroid 2015 TB145 - to use its official title - came no closer to Hollywood than 1.3 lunar distances (480,000km). NASA …
Lester Haines, 04 Nov 2015
Apple iPhone 6 and 6 Plus

MONSTROUS iPhone sales are CANNIBALIZING iPads, gabbles Apple CEO

Apple countered soaring iPhone and Mac sales with yet another doleful quarter for the iPad in its second quarter of fiscal year 2015. The Cupertino giant logged Q2 revenues of US$58bn (£38bn, AU$73.9bn), up 27 per cent over US$45.6bn in the same period last year. Earnings per share (non-GAAP diluted) of US$2.33 beat analyst …
Shaun Nichols, 27 Apr 2015
BT Openreach at work

BT rebuked for attributing some EE acquisition costs to 'all UK lines of business'

Telecoms giant BT has been rebuked by the UK's industry regulator for attributing some of the "acquisition costs" associated with its takeover of EE to all of its UK business divisions, including Openreach. Ofcom said it was "inappropriate" for two charges, totalling £1.7 million, to be attributed to "all UK lines of business …
OUT-LAW.COM, 23 Nov 2015
shutterstock_197375177-doctor

MPs slam mandarins over failed GP IT system

Updated MPs have today slammed "the severe failures" of an IT system designed to allow the extraction of data from all GP practice computer systems in England. The General Practice Extraction Service started five years too late, is over-budget and still does not provide the full service required, said a report by the Committee of …
Kat Hall, 31 Dec 2015