Latest Tokyo Brief coverage on NIDEC CORPORATION, tracking filings, financial news, and market signals from Japan.
TSE:6594
Nidec will file its internal control confirmation report with the Tokyo Stock Exchange on October 30, but extra auditor-requested checks on 252 sign-off candidates leave no date for audited corrected reports.
Nidec has decided to seek damages from six former directors, two former auditors and a former CFO, but it has not filed, is still setting claim amounts, and has deferred surplus-related liability until its past accounts are corrected.
Nidec's liability committee found nine former officers liable and counted ¥22.2bn of investigation costs among the company's losses, but did not apportion damages. Nidec says it is still considering whether to sue.
Nidec has the committee report on whether current and former officers are legally liable for its accounting misconduct; the notice gives no findings, promises a redacted version later, and says damages claims will be deliberated next.
Nidec has signed a ¥103bn sale of all of Nidec Components to a Carlyle-linked vehicle, with transfer due on 1 December 2026 and the effect on consolidated earnings still being examined.
Nidec's restatement of the five years to March 2025 cut net assets by ¥476.9bn and pushed dividends and buybacks above the distributable amount, as management aims to clear the remaining issues in October to obtain an audit opinion.
Nidec says restated accounts show its dividends and buybacks in each of the five years to March 2026 exceeded the distributable amount under the Companies Act, with ¥94.0bn paid out in the year to March 2023.
Nidec's restated results show a ¥519.0bn operating loss after ¥632.1bn of impairments, and the company says some staff tied to the misconduct still hold reporting roles, so undetected misstatements could remain.
Nidec Corporation confirmed it is examining a change to its top executive ranks and a large-scale impairment charge, but said no decision has been made, after Diamond Online reported that the company had decided to dismiss its president and faced writedowns on the scale of ¥1 trillion.
Oasis Management has lifted its Nidec stake to 7.97% and told regulators it wants new directors appointed, the manufacturer delisted from the Tokyo Stock Exchange and its capital policy reworked, while reserving the right to buy more than five additional percentage points of stock within roughly three months.
Shareholders on Nidec's register as of September 30 will get a say on the financial statements and audit reports frozen since June by an internal accounting scandal, though the extraordinary meeting's date and agenda are still unset.
A single Nidec shareholder is suing two former directors for ¥28.73bn, alleging share buybacks in 2022-23 and a December 2022 interim dividend exceeded the company's legal distribution limit; Nidec says the claim targets the directors personally and will not affect its earnings.
Investigators counted 844 confirmed quality-misconduct cases at Nidec, most of them manufacturing changes made without the required customer notification or approval, and blamed unrealistic profit targets and the founder's centralized management, with cases concentrated in three business units.
Nidec confirmed it has received an outside committee's report on parts, process and design changes made without customer approval, but the findings, and any sense of scale, wait until Friday's redacted release.
Nidec shareholders filed a formal demand on August 20 for the company to sue current and former directors over accounting misconduct, adding pressure on a liability investigation the company opened back in March that has yet to report its findings.
A forensic probe found no log evidence that hackers pulled data from Nidec's Taiwan subsidiary, but a dark-web list of folder and file names means Nidec still can't rule out a leak, even as the unit's production and shipping continue as normal.
Current holdings disclosed by tracked funds.
| Fund | NAV weight | Holdings as of |
|---|---|---|
| Commonwealth Japan Fund | 1.25% | 31 Jul 2026 |
| Fidelity Japan Fund | 0.71% | 31 Jul 2026 |
| Fidelity SAI Japan Stock Index Fund | 0.26% | 31 Jul 2026 |
| iShares MSCI Japan Climate Action ETF | 0.26% | 2 Nov 2026 |
| Xtrackers MSCI Japan Hedged Equity ETF | 0.25% | 31 Aug 2026 |
| NEXT FUNDS MSCI Japan Empowering Women Select Index Exchange Traded Fund | 0.23% | 30 Oct 2026 |
| JPMorgan BetaBuilders Japan ETF | 0.21% | 30 Oct 2026 |
| iShares MSCI Japan ETF | 0.19% | 30 Oct 2026 |
| iShares Currency Hedged MSCI Japan ETF | 0.19% | 30 Oct 2026 |
| Franklin FTSE Japan Hedged ETF | 0.18% | 30 Oct 2026 |
| Franklin FTSE Japan ETF | 0.17% | 30 Oct 2026 |
| iFreeETF MSCI Japan Empowering Women Index (WIN) **** | 0.15% | 2 Nov 2026 |
| iFreeETF MSCI Japan Human and Physical Investment Index **** | 0.14% | 2 Nov 2026 |
| Goldman Sachs ActiveBeta Japan Equity ETF | 0.06% | 31 Aug 2026 |
| Global X MSCI Japan Climate Change ETF | 0.02% | 28 Oct 2026 |