Oil service group Cape saw its shares plunge yesterday after saying annual operating profits would be significantly below previous expectations.
The company also said Richard Bingham was standing down as chief financial officer by mutual consent with immediate effect.
Shares fell by as much as 36% before finishing the day down 29% at 186p.
Cape, which also provides services to the mineral resources sector, said in a trading update for the period since July that the performance of its businesses in the UK, CIS/Mediterranean and North Africa and Gulf/Middle East regions and Asia was in line with expectations.
But it added that its operating margin had been affected by a substantial deterioration in the performance of the onshore Australian business, driven by a further downturn in trading and the recognition of legacy issues.
Cape said a detailed review of the balance sheet of the onshore Australian business had led to the identification and correction of issues relating to the valuation of certain balance-sheet items.
It added: “In light of the legacy issues identified in the onshore Australian business, the board has prudently extended the review to a detailed analysis of all balance-sheet items group-wide.
“It is expected that this review will be complete for year-end reporting.”
However, Cape also said that its financial position remained robust.
The group employs more than 19,000 people worldwide, including about 1,200 in the North Sea. It also has offices in Aberdeen. Shares have had a turbulent time in the last couple of years, being as high as 600p and as low as 162.5p.
Chief executive Martin May stepped down unexpectedly earlier this year after six years at the helm.