Utilitywise warns of profit hit after accounting audit
Source - SMW
Utilitywise said a review of its accounting practices by an external auditor had led to adjustments that would have a "material negative impact" on its equity.
It was not yet known whether there would be a material impact on 2017 profit, the company said.
There was also likely to be a material impact on the group's reported revenue and accounting profit in the year ending 31 July 2018, it added.
"The group's sole banking lender is aware of all related developments and discussions are ongoing with the bank," Utilitywise said.
"Should it become necessary, once the financial outcome is known and agreed with the group's auditor, efforts will be made to obtain waivers of any retrospective breaches and amendments to the group's relevant banking covenants in future periods."
Utilitywise said it expected to announce its final results by 31 January, though due to the volume of work required there was a risk that the audit would not be completed by that date.
At 8:16am: (LON:UTW) Utilitywise share price was -12.55p at 33.5p