Thursday 01 Jun 2023
By /
main news image

KUALA LUMPUR (Jan 13): Serba Dinamik Holdings Bhd has unverified assets, liabilities, revenue and expenses amounting to RM12.43 billion, according to accountant Jason Sia Sze Wan from Nexia SSY PLT, the group's external auditor.

“We were unable to obtain sufficient appropriate audit evidence about whether any adjustments might have been necessary in the group’s and the company’s financial statements,” Sia stated in the independent auditors’ report to the members of Serba Dinamik dated Jan 5, 2023 that is included in the group’s 2022 annual report.

“In addition, we were unable to conclude that the carrying amounts of the above items are fairly stated in the financial statements,” he said referring to Serba Dinamik’s statements of financial position as at June 30, 2022 (FY2022).

By breakdown, Sia listed under assets an unverified property, plant and equipment of RM1.99 billion, unverified inventories of RM1.59 billion, as well as unverified trade and other receivables of RM1.59 billion.

Under liabilities, there is an unverified trade and other payables amounting to RM639.56 million, as well as unverified loans and borrowings totalling RM3.65 billion.

He also indicated RM1.35 billion of unverified revenue and RM1.62 billion of unverified cost of contracts with customers.

“We do not express an opinion on the accompanying financial statements of the group and of the company,” Sia said.

Serba Dinamik finally submitted its 2022 annual report to Bursa Malaysia Securities Bhd on Thursday after much delay since Oct 31, 2022.

When Serba Dinamik failed to meet the Oct 31, 2022 deadline, the financially-distressed oil and gas services provider said it faced challenges for the completion of the audit by the external auditors due to lack of personnel arising from the resignation of many staff across the organisation, including its chief financial officer and the financial controller in September 2022.

Serba Dinamik said the company's finance team had to also adapt to new work processes in facilitating the interim liquidator and his team in carrying out their duties in managing the company's financial and operational affairs.

In addition, the company said there was a delay in finalising the responsibility of the audit fees and other incidental obligations.

Moving forward, the management team said it will focus on the company’s financial health and is looking into formulating a plan to regularise its financial condition in approximately one month.

After a three-week suspension, the trading of Serba Dinamik’s shares resumed on Friday, as the stock doubled from its all-time low of one sen to two sen. The counter was the most active on Bursa with 371.05 million shares traded.

However, it should be noted that the trading of Serba Dinamik’s shares will be suspended again next Wednesday (Jan 18) until further notice, as the court had granted a winding-up order against the company.

Read more:

Edited ByLiew Jia Teng
      Text Size