The Fiji Sugar Corporation has reported a substantial loss of $5 million due to operational setbacks, alongside a net loss before income tax totaling $23 million as of May 31, 2023. This information was presented in the 2023 Annual Report of the Corporation.
As of the same date, the company’s total liabilities outstripped its total assets, resulting in a net liability of $400 million. Additionally, current liabilities exceeded current assets by $175.1 million. The Corporation also 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 fulfill working capital needs, cover capital expenses, and support ongoing operational losses. Auditors have indicated that, given the Corporation’s financial situation and high debt levels, along with ongoing losses, these circumstances suggest that without assistance from the Government, the Fiji Sugar Corporation may struggle to remain operational.