Tokyo Stock Exchange asks listed cos to continue with timely reporting
Tokyo Stock Exchange Inc (TSE) today urged listed companies to keep disclosing important information in a timely manner despite the Declaration of a State of Emergency.
The Exchange says that, after the Declaration of State of Emergency, the trading is scheduled to continue. Therefore TSE has informed listed companies that the timely disclosure will continue to be required after the Declaration.
On January 7, 2021, the government of Japan has yesterday declared a state of emergency over the Covid-19 outbreak. Japan Exchange Group remains committed to stable market operations.
“TSE understands the first response of listed companies is to ensure the health and safety of executives, employees and other stakeholders, but in such a time as this, in order to avoid distorted price formation based on inaccurate and unclear information in the market and to foster sound and proper investment decisions by investors, TSE asks listed companies to carefully consider and continue timely and appropriate disclosure of important company information”.
In addition, as the uncertainty of the impact of the Covid-19 outbreak on business activities and business performance of listed companies increases, and practical challenges of day to day operations are expected to be increase as well, in connection with the requirement of the declaration of emergency, listed companies and audit professionals might be faced with difficulty in closing the accounts and audit procedures.
In light of the current circumstances, the financial results are expected to be disclosed as soon as finalized, regardless of the “within 45 days” practices.
Additionally in the event that it becomes difficult to complete the necessary procedures, TSE asks that listed companies reconsider the financial results announcement schedule regardless of the original schedule.