The sheer scale of its impairments and write-downs swung Steinhoff International from profit to a massive loss, its long-delayed financial results for the year to end-September 2017 showed this week. In that year alone, the company had to swallow one-off expenses and impairments, mostly on goodwill and intangible assets, of nearly €4bn (R64bn). The result was an operating loss of around €3.7bn. The next two sets of financial results will show a substantial increase in operating expenses, mostly due to adviser costs and professional fees associated with the extensive investigation and the restructuring efforts. "We shall therefore experience an adverse impact on our consolidated operating income, before impairments, in both 2018 and 2019 financial years." The company expects operating expenses to be significantly higher than in 2017. Shortly after long-time CEO Markus Jooste's departure and with creditors starting to close in, Moelis & Co was appointed as independent financial advise...

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