The bell has tolled for Y2KTec, which has issued what may be its final set of results before it becomes a cash company.
Preliminary unaudited reviewed results for the year to February showed revenue up at R2.4 million, but Y2KTec turned in an operating loss of R2.9 million.
The income statement shows a R8.2 million loss on the sale of a subsidiary as well as a R2.1 million loss on the share incentive trust scheme.
The result was a R13.6 million net loss and a headline loss of 2.7c per share.
Y2KTec`s auditors have voiced their scepticism about the company`s ability to continue. They say the firm`s survival depends on the continued financial support of the directors and the collection of the purchase consideration for the sale of the subsidiary.
The market last heard from Y2KTec in May when it announced it was to sell its sole operating subsidiary to Nomalanga Trading Enterprise for R500 000.
Other news in the latest financial results is that the ongoing battles with ex-CEO David Black have been resolved after the Council for Conciliation, Mediation and Arbitration stepped in and ordered Black to return the 13.4 million Y2KTec shares he was paid for the Computer Management Group.
Despite the auditors` misgivings, Y2KTec will go ahead with plans to change listings to the cash companies sector.
News of the results didn`t seem to move investors and the share remained untraded at 2c this morning.
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