The delivery company, DX group’s woes worsened as the company announced a £1.8M hit on their financial statements ending June 30th. The issue was that the company incorrectly applied the accounting related to lease incentives on one of its sites. The lease incentive should be credited back over the remaining life of the term of the lease, which in this case is 10 years.
This is not the first time the company stock has taken a beating this year. The company has been going through a rough patch- first their CEO Peter Cvetkovic resigned, followed by their finance director Daljit Basi, there was also police probe into the business and to top it all a failed merger. The accounting issue is hopefully the last in line of mishaps for the company, at least for the year.