In May, it had predicted the loss would be £24m; there were further announcements in June as refinancing talks continued. In late June, share trading was suspended after the company was unable to file its results in time – they were supposed to be published by 30th June. New investors had stepped in earlier in the month as part of the refinancing deal and there had been another profit warning the week before that, relating to expected losses in 2021.
In this week’s statement, NMCN said that it is now expecting to report £43m of aggregate losses identified since the position reported in the 2019 financial statements, though the figure remains subject to audit.
The company is still preparing its annual report and accounts and is liaising with its auditors to finalise the audit of the financial statements for the year ended 31st December 2020.
The increased losses are largely covered by contingencies included within the working capital and cash projections used to support the company's refinancing, it said. The also includes some losses which are likely to reverse in FY21.
NMCN said that is no longer expecting to release the 2020 annual report and accounts this month. “The company is progressing well to conclude the required documentation to convene a general meeting to seek shareholder approval to complete the refinancing at the earliest opportunity,” said a statement.
Chief executive officer Lee Marks said: "We are looking forward to fully recapitalising the business allowing us to normalise our relationships with our supply chain. Since joining I have been impressed by our people, and their dedication to our much-valued customer and supplier base, who are working alongside us to achieve an exciting future for NMCN. I look forward to leading the business into a new positive chapter alongside my executive team and Svella plc."