Telling the truth about SME life today

Tesco suspends 4 executives after profit overstatement

Share on facebook
Share on twitter
Share on linkedin
Share on email

In a statement, Tesco’s chief executive Dave Lewis said “We have uncovered a serious issue and responded accordingly.” 

An unidentified employee brought the problem to the board’s attention.

Tesco has described the problem as an “accelerated recognition of commercial income and delayed accrual of costs” and an “overstatement of [Tesco’s] expected profit.”

It continues: “Work is ongoing to establish the extent of these issues and what impact they will have on the full year.”

Tesco shares fell by 10 per cent in early trading. 

Tesco has not had a CFO this past week, as its previous one, Laurie McIlwee, who resigned in April, has left. He will be replaced in December by Alan Stewart, Marks and Spencer’s current CFO.

Image source

Trending

Topic

Share on facebook
Share on twitter
Share on linkedin
Share on email

Related Stories

Trending

If you enjoyed this article,
why not join our newsletter?

We promise only quality content, tailored to suit what our readers like to see!