Quiksilver said Wednesday morning that it is delaying the release of its first quarter results that had been scheduled for Thursday because of an investigation by the board of directors’ audit committee.
The company said the investigation was sparked when management raised a flag about “a revenue cut off issue” and brought it to the attention of the audit committee.
According to the Journal of Accountancy, a revenue cut off issue typically involves recording revenues early. However, Quiksilver did not provide more details about the possible problem in its statement.
Quiksilver did say the audit committee started an investigation last week and has not reached any conclusions. However, based on current information, the company does not believe the investigation will materially impact previous financial statements or its current guidance.
The audit committee will discuss the investigation at a regularly scheduled board meeting on March 16, and will then decide when to release first quarter results.
Quiksilver’s stock is down 6% to $1.87 in trading this morning.
