After months of delay, Kenyan based retailer, Uchumi supermarkets has finally released it financial results for the full year ended 2016 saying its net losses declined by 17 per cent from Sh 3.4 billion in 2015 to Sh 2.8 billion in 2016.
The company’s net sales also declined by almost half to Sh 6.4 Billion compared to Sh 12.95 Billion posted in the previous year. The company said the huge drop in revenues was impacted by the closure of non performing branches in Uganda, Tanzania and some of its Kenyan outlets.
However, Uchumi’s auditors, KPMG Kenya issued a disclaimer of opinion on the group financial statements due to lack of audit evidence on foreign subsidiaries up to the date of loss of control and a qualified opinion on the company’s financial statements due to lack of audit evidence on property and equipments opening balances.
The company also noted that its annual General meeting will be held on 31st March of 2017.
Definition of Terms;
A Disclaimer of Opinion is issued in either of the following cases: When the auditor is not independent or when there is conflict of interest. When the limitation on scope is imposed by client, as a result the auditor is unable to obtain sufficient appropriate audit evidence.
A qualified opinion is a written statement by a certified public accountant in an audit report, stating that the financial statements of a client are fairly presented, except for a specified issue.
