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Thai Airways shares suspended after auditors decline to sign off on accounts

Published 08/14/2020, 01:35 AM
Updated 08/14/2020, 01:40 AM
© Reuters. FILE PHOTO: Empty lines are seen at Thai Airways counters in Suvarnabhumi Airport in Bangkok
THAI
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BANGKOK (Reuters) - Thai Airways International Pcl (BK:THAI) shares were suspended by the bourse on Friday after auditors declined to sign off on its financial statements for the six months to June 30.

Auditor Deloitte Touche Tohmatsu Jaiyos Co Ltd said it could not reach a conclusion on the statements due to issues including a lack of liquidity and debt defaults which created "material uncertainty" and may affect the value of assets and liabilities.

Thai Airways is under bankruptcy protection and is due to submit its rehabilitation plan to the bankruptcy court on Monday.

In a statement, the airline said losses from operations since 2013 had resulted in a capital deficiency.

Thai Airways booked losses of 22.68 billion baht ($730.4 million) and 5.35 billion baht its first and second quarters, respectively, according to a delayed earnings report released late Thursday.

The collapse of travel and tourism due to the outbreak of the new coronavirus slashed revenue by 23.7% to 38 billion baht in the first quarter, Acting President Chansin Treenuchagron said on Friday.

In the three months ending in June, it booked 2.49 billion baht in revenue, down 94.1% from the same period a year earlier.

© Reuters. FILE PHOTO: Empty lines are seen at Thai Airways counters in Suvarnabhumi Airport in Bangkok

The airline began suspending flights in February.

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