Comvita China Unit Irregularities Led to Misreporting of Sales

Comvita has identified certain accounting irregularities in its China subsidiary leading to misreporting of sales and accounts receivables in FY23 and FY24.

• Co. has been undertaking a comprehensive review of the business
  • Following alleged accounting irregularities, the co. appointed an independent chartered accounting firm to assist with its review
• An investigation is in progress, with oversight by board and senior management
• Based on a preliminary report, irregularities are estimated to have resulted in an overstatement of post-tax earnings in the order of NZ$1m in FY23, and NZ$1m in FY24, subject to audit
• Review is ongoing and Comvita is also working ...