Is the qualification of a listed company still secure? If the accounting firm also issued an audit report “cannot express opinions” in 2018, will LeTV be delisted in the future?
Zhang Jian, Chief Financial Officer, said that in February 2018, the company disclosed the "2017 Annual Results Express", and it is expected that the net profit attributable to the mother would be a loss of 11.609 billion yuan. In April 2018, the company disclosed the “Response to the Shenzhen Stock Exchange's Inquiry Letter to the Company”, in which it was specifically suggested that the total amount of impairment provision for the company in 2017 would be different from the amount previously disclosed. According to the audit work of the auditing agency Lixin Certified Public Account Co., Ltd. engaged by the company, the company disclosed the audit report on April 27, 2017. In 2017, the net profit of the company returned to its parent was RMB 13.878 billion. After auditing, the Company made a total of RMB 10.882 billion in impairment losses on various assets in 2017, of which bad debt losses were accrued 6.049 billion and impairment losses on intangible assets were calculated 3.28 billion. For details, please refer to the company’s disclosure on April 27th. Announcement on the Company's 2017 Provision for Asset Devaluation. The provision for impairment of assets will reduce the net profit of listed company shareholders in 2017 of RMB 8.814 billion. Thank you for your attention to the company.
LeTV.com holds 2017 annual online performance briefing today. Following the disclosure of the official loss-earning king title of the 2017 annual report at the end of April, LeTV, which has been plagued by precarious conditions, has been subject to supervision and market attention due to this annual report. Will the company suspend the listing? Has control changed? What are the future layout and trends? Sina Finance live broadcast.
Zhao Kai, the secretary of the board of directors of LeTV.com, stated that in the 2017 annual audit report disclosed by the company, Lixin Certified Public Accountants issued an audit opinion that could not express opinions. According to the relevant provisions of the “Stock Exchange Stock Exchange Listing Rules of Shenzhen Stock Exchange”, the company’s audit report in the last two years was negative or unable to express opinions on the company. The Shenzhen Stock Exchange may decide to suspend the listing of the company. If the company intends to adopt measures that do not eliminate the impact of the opinion in the 2018 audit report, the company may be issued an audit report that fails to express opinions for two consecutive years and there is a risk of suspension of listing.