Crisis-hit Datalex raises potential 2018 loss to $6m
Troubled travel software firm Datalex says it now expects to report 2018 losses of up to $6m, significantly more than first estimated when its accounting troubles came to light earlier this year.
In a statement Friday to shareholders the Dublin-based company said it had raised its initial forecast of $1m to $4m in 2018 losses to a new range of $4m to $6m.
The company also confirmed it has suspended its previous profit guidance for 2019 ($3m-$3.5m) and 2020 ($12m-$13.5m) pending its ongoing comprehensive review of company accounts. Datalex now says it will provide a new 2019-20 outlook to shareholders ahead of its AGM on Sept. 17.
Trading in Datalex shares have been suspended since May and the company has been obliged to offer its Dublin office furniture and equipment as security for emergency private finance.
The troubles stem from how Datalex reported its R&D spending on
its work modernising German airline Lufthansa’s online retail interface. The company missed an end-of-April regulatory deadline to file 2018 accounts.