Toshiba shares tank after $6 billion loss

Toshiba losses are worst than expected

Troubled electronics maker Toshiba has posted a loss of 710 billion yen or roughly $6 billion for the year. That’s a pretty big increase from an estimated loss of 550 billion reported in December.

The news drove the stock price down 11% by the end of the trading day in Tokyo.

Officials at the company said the additional losses were caused by the increased cost of energy and infrastructure projects, falling profits in its consumer electronics businesses, and new expenses caused by the company’s attempts to restructure its lifestyle brands.

In the previous 12 months Toshiba reported a loss of 37.8 billion yen ($323.5 million).

The company is also still dealing with its accounting scandal which was discovered in April 2015 and led to the resignation of CEO Hisao Tanaka.

An internal investigation found that the company was inflating profits. Eight board members joined Tanaka by filing their resignations as the struggling electronics firm continues to restructure and reinvent itself.

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Written by John Howard

John Howard

John Howard is the Business Editor at BusinessPundit.com. He is an avid watcher of markets, a wallflower of retail, and a fan of disruptive businesses that utilize technology and unique ideas to form brilliant new ways of doing business. He can be reached at Student Loan Ninja