Wednesday 5 April 2017

Ajiya: poor accounting

Ajiya announced:


AJIYA reported an unaudited profit after taxation and minority interest of RM18.712 million in the unaudited financial statements of the Company for the year ended 30 November 2016 which was announced to Bursa Malaysia Securities Berhad (“Bursa Securities”) on 19 January 2017 compared to an audited profit after taxation and minority interest of RM14.494 million in the audited financial statements of the Company for the year ended 30 November 2016.

The variance of RM4.218 million between the profit after taxation and minority interest stated in the announced unaudited financial statements and the audited financial statements of the Company for the year ended 30 November 2016 represents a deviation of 22.54% (“Deviation”).

The Deviation was mainly due to the following reconciliations/adjustments made in the audited financial statements of the Company for the year ended 30 November 2016:-

1. Dividend to Minority Interest of a subsidiary company amounting to RM2.898 million;
2. Bad debts, foreign exchange loss and other administrative expenses amounting to RM1.011 million; and
3. Provision for taxation and deferred taxation amounting to RM0.309 million.


That is not impressive at all, especially the first reason given, how in earth could they have overlooked that? Ajiya needs to get its accounting house in order, quickly.

1 comment:

  1. This is disappointing.

    Ajiya had a reputation of a well managed company.

    ReplyDelete