Commodities trader Noble Group Ltd. said an independent review has found that is accounting practices conform with industry standards and accounting rules.
The review by PricewaterhouseCoopers, which was published in full, followed months of criticism of the Singapore-listed company’s accounting that had contributed to a decline of as much as 50 percent in its share price since mid-February, the Wall Street Journal reported.
Meanwhile, Noble said its second-quarter profit fell 4.5 percent to US$63 million from a year earlier amid challenging business conditions. Revenue dropped 22 percent to US$18.4 billion.
First-half net profit dropped by about a fifth to US$169 million from a year ago, hurt by the absence of weather-related gains that it enjoyed a year ago, the newspaper said.
Noble said PricewaterhouseCoopers had completed a review of the company’s use of fair-value, or mark-to-market, accounting methods that have been the focus of criticism this year by several analyst outfits including US short seller Muddy Waters.
– Contact us at [email protected]