Auditor flags going concern for Magna Prima

KUALA LUMPUR: Magna Prima Bhd ’s external auditor, ChengCo PLT has expressed its unqualified opinion with material uncertainty related to going concern in the independent auditors’ report for the financial year ended Dec 31, 2023.

In a filing with Bursa Malaysia, Magna Prima said the audit firm cited the group’s current liabilities exceeded its current assets by RM208.5mil as of Dec 31, 2023.

“This conditions, indicate the existence of material uncertainties that may cast significant doubt on the group’s and the company’s ability to continue as going concerns. Our opinion is not modified in respect of this matter,” it said.

Magna Prima board said the current liabilities at the company level are substantially intercompany balances that do not affect the ongoing concern of the company, and as such, the material risk for ongoing concern has been fully mitigated.