Thailand Securities & Exchange Commission has required Samchai Steel Industries Public Company Limited (SAM) to rectify its financial statements for 2024 and the second quarter of 2025, including affected comparative periods, have the revised statements audited and reviewed by its auditor, and submit them to the SEC. SAM must also disclose the rectified financial statements and the rectification report via the Stock Exchange of Thailand’s Electronic Listed Company Information Transmission System (SETLink) by 8 December 2025, as part of disclosure under Section 56 of the Securities and Exchange Act B.E. 2535 (1992). The requirement follows a special audit and audit qualifications linked to inventory accounting and sales below cost. The special audit, initiated after the auditor issued a qualified conclusion on SAM’s financial statements for the first three quarters of 2024 due to an inability to review inventory, found issues affecting the accuracy of inventory-related accounting records, including the adequacy of the allowance for diminution in value, the accuracy of inventory unit cost, and the correctness of inventory cost and cost of sales records, which were not compliant with relevant financial reporting standards. In addition, for the second quarter of 2025, management’s adjustments to inventory value to net realizable value as at 31 December 2023 and the fact that the inventory was entirely sold during 2024 may affect the comparative second-quarter 2024 statements of comprehensive income through reversal of the allowance for diminution in value of inventory, which appears to be materially misstated.

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