It is hard to compute if and when the good ship AVQ might sink, bringing Captain Ryan's brilliant navigation skills to an end, leaving him to practice the arcane art in fresh pastures of the willing however passengers in the AVQ should be cognizant of two recent reports by the ship suveyor:
ANNUAL REPORT 2016, Page 8:
Without qualifying our opinion, we draw attention to note 2 in the financial statements, which
indicate that the Group incurred a net loss of AU$22,072,000 during the year ended 30 September
2016 ilnd reported net cash outflow from operatil1g ilc tivities of AU$8,479,OOO for the year ended 30
September 2016. These conditions, along with other matters as set forth in note 2, indicate the
existence of a material uncertainty that may cast significant doubt about the Group's ability to
continue as a going concern.
Audited Financial Statements ‐ Year Ended 30 September 2017
Material uncertainty related to going concern
We draw attention to note 2 in the consolidated financial statements, which indicates that the Group
incurred a net loss of AU$4,838,000 for the year ended 30 September 2017 and, as of that date, the
Group’s current liabilities exceeded its current assets by AU$1,682,000 as of 30 September 2017, these
events and conditions, along with other matters as set forth in note 2, indicate that a material
uncertainty exists that may cast significant doubt on the Group’s ability to continue as a going concern.
Our opinion is not modified in respect of this matter.
1. there is a little standard subtlety of accounting three valued logic here
(yes, no, and neither yes nor no) which might only be noticed by a careful
comparison of the Auditors reports: for 2016 the auditor's opinion is not qualified
("Without qualifying our opinion"), whereas for the Year Ended 30 September 2017
the phrase "without qualifying our opinion" is not present - in other words the auditor
neither qualifies nor fails to qualify his opinion that the consolidated financial statements
give a true and fair view of the consolidated financial position of the Group).
2. the insertion of the words "the Group’s current liabilities exceeded its current assets
by AU$1,682,000 as of 30 September 2017" is rather ominous.
3. Ultimately a bank manager's vote is more important than the votes that Ryan got,
and everything besides a demand from an unpaid creditor would just be "diddlysquat".
