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AINSWORTH GAME: KPMG Raises Material Going Concern Doubt
Ainsworth Game Technology Limited incurred a net loss of AU$49.49 million for the year ended June 30, 2007, a disappointing turn against the AU$3.23-million net profit reported for the year ended June 30, 2006.
The group reported gross profit of AU$1.78 million, and other income of AU$45,000.
Operating expenses, however, totaled AU$41.37 million, giving the group an operating loss of AU$39.54 million. The group also reported net financing costs amounting to AU$43.45 million.
Material Uncertainty on Going Concern
Tony Nimac of KPMG raised material uncertainty on the company's and group's ability to continue as a going concern, saying that the company needs the continued support of its major shareholder and its ability to achieve sustainable profitable operations and generate positive net cash inflows in the future.
Headquartered in New South Wales, Australia, Ainsworth Game Technology Limited designs, develops and sells gaming machines and other related equipment and services. The company's products are ambassador gaming machine and celebrity gaming machine. AGT has products in casinos across Australia. AGT operates in Russia, Austria, France and Germany. Its wholly owned subsidiaries are AGT Pty Ltd, Ainsworth Game Technology Inc (USA), Ainsworth Game Technology (UK) Ltd, Ainsworth International GmbH, Ainsworth Game Technology (NZ) Limited and AGT Service Pty Ltd.
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