New Zealand-based dairy giant Fonterra has announced a deferral of its annual results announcement to the end of the month, citing ‘significant accounting adjustments’.
In a statement, Fonterra said that while it initially had expected to report its audited financial results for the year to 31 July on 12 September, it will now report no later than 30 September.
On 12 August, the business announced ‘a number of asset write downs and one-off accounting adjustments’, it said, which were subject to the company’s board reviewing the full financial statements and audit adjustments.
‘Fonterra and the Co-operative’s auditor PwC, are working constructively through the normal financial year end accounts and auditing process,’ it said. ‘However, due to the significant accounting adjustments in FY19, as set out in the announcement on 12 August 2019, more time is required to complete the audited financial statements.’
Previously, the group had said that it expects to report a loss of between NZ$ 590 million and NZ$ 675 million for the year, which equates to a 37 to 42 cent loss per share.
The group said that the deferred announcement does not affect its ability ‘in any way’ to operate and pay its bills, including paying farmers for their milk.
© 2019 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. Click subscribe to sign up to ESM: The European Supermarket Magazine.