Mediaworks has released its (heavily qualified) auditor’s opinion from PWC which casts doubt over the ability of the company to operate as a going concern.
Further Failure in Media in NZ
The ‘Going Concern’ Is Now An On Going Concern With Solvency Issues.
It highlights a stonking loss of $125.9m for the year ended Dec 2022. At that point current liabilities exceeded current assets by $19.4m (ie the company is balance sheet insolvent).
PWC notes that “a material uncertainty exists that may cast significant doubt on the Group’s ability to continue as a going concern.”
It’s a very high probability that Mediaworks will need to enter an insolvency process imminently.
One of the Quadrant directors left the board in August.
Mass redundancies and a sell down of the few assets the company has is the likely outcome – there is only so many times you can restructure a business.
More to come ….
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