The Fiji Sugar Corporation has reported a substantial loss of $5 million from operational activities, with a total net loss before income tax amounting to $23 million as of May 31, 2023. This information is detailed in the 2023 Annual Report of the FSC.
As of the reporting date, the Corporation’s total liabilities surpassed its total assets, resulting in a net liability of $400 million. Current liabilities also exceeded current assets by $175.1 million.
The FSC faces a debt repayment obligation of $147.2 million for the financial year ending May 31, 2023. The report emphasizes the need for funding to cover working capital needs, capital expenditures, and to address ongoing operating losses.
Auditors have indicated that, considering the financial circumstances, debt levels, and continuous losses faced by the Corporation, it may not be able to sustain operations without Government support.