Business · Markets · 2 hrs ago
2CRSi shares plunge after auditor cannot certify its accounts
French server maker 2CRSi’s shares fell by nearly 50% after it announced its annual results on November 2.
The company reported about €385 million in revenue and €34.2 million in EBITDA for the 2025-26 financial year, both well above the previous year.
EY said it could not certify the accounts, citing weaknesses in transaction controls, missing evidence for €15 million in revenue and uncertainty linked to US proceedings.
2CRSi revised its revenue down from €416.2 million after a legal review of some transactions by its US subsidiary led it to cancel revenue; the company said this did not affect its cash.
The company missed its March targets of more than €400 million in revenue and its EBITDA goal by €1.8 million.
The auditor’s concerns add to pressure on 2CRSi after US short seller Grizzly Research made fraud allegations that the company disputed.
2CRSi still aims for €1 billion in revenue in 2026-27, excluding revenue from a separate framework contract worth $610 million.
2CRSi shares fell by nearly 50% after auditor EY said it lacked sufficient evidence to certify the company’s 2025-2026 accounts.
The French server maker reported annual revenue of about €385 million, up 75%, but below its March target of more than €400 million.
The final revenue figure was lower than the €416.2 million reported in July after a legal review led the company to cancel some revenue booked by its US subsidiary.
2CRSi said the accounting correction had no effect on its cash position.
The company reported EBITDA of €34.2 million and net income attributable to the group of €17 million.
- Who
- 2CRSi, a French maker of high-performance computer servers, and its auditor EY.
- What
- 2CRSi shares plunged after EY said it lacked sufficient evidence to certify the company’s annual accounts.
- When
- 2 November 2026.
- Where
- The shares were trading in France; 2CRSi is based in Strasbourg.
- Why
- EY cited shortcomings in transaction controls, a lack of evidence for €15 million in revenue and uncertainties linked to ongoing US proceedings.
Grizzly Research
2CRSi
Allegations
Grizzly Research
Grizzly Research alleged that 2CRSi’s growth relied on a seriously misleading presentation involving undisclosed related parties, and accused its management of multiple frauds.
2CRSi
2CRSi contested Grizzly Research’s allegations and said it had commissioned an independent investigation.
German server order
Grizzly Research
Grizzly Research’s report challenged the company’s business practices.
2CRSi
2CRSi said an independent expert had verified the reality of a German order for 194 Godì servers.
Grizzly Research published a report making allegations against 2CRSi and its management.
2CRSi published revenue of €416.2 million.
2CRSi said an independent expert had verified a German order for 194 Godì servers.
2CRSi published its annual results, and EY said it lacked sufficient evidence to certify the accounts.
- Share-price fall
- Nearly 50%
- Annual revenue
- About €385 million; Boursorama reported €386.5 million, while BFM Bourse reported €385 million
- Revenue growth
- 75%
- EBITDA
- €34.2 million
- Net income attributable to the group
- €17 million
- Revenue cancelled after legal review
- €32.5 million, or US$37.9 million
3 sources
2CRSi dégringole après des résultats décevants et non certifiés
2crsi : Après avoir perdu 43% en Bourse sur des accusations de fraude, le fabricant français de serveurs pour l'IA 2CRSi voit ses comptes remis en cause par son auditeur, son action plonge de 50%
2CRSi : Alain Wilmouth reconnaît des défaillances après la non-certification des comptes
What people are saying
Faced with Grizzly Research’s allegations, we chose transparency by entrusting an independent firm with an investigative mission, and we are drawing lessons from it to strengthen our internal processes, particularly in control and compliance.
The auditor identifies shortcomings in the internal control system for transactions, a lack of evidence to justify €15 million in revenue, and uncertainties linked to ongoing US proceedings in which the US subsidiary has been approached.
The results are there, with EBITDA multiplied by six compared with last year, in line with our expectations; the base was favourable, but the good performance is there nonetheless.