Business
Business and Trading Update
Business and Trading Update.
About this update from Cohort Plc
[{"type":"text","content":"\n RNS Number : 7633I Cohort PLC 18 March 2010 \n \n\n \n18 March 2010 AIM: CHRT\nPRESS RELEASE\n \nCOHORT PLC\n \n(\"Cohort\", the \"Company\" or the \"Group\")\n \nBusiness and Trading Update\n \nEstablishing the right platform for growth in 2010/11\n \nCohort plc, the independent technology group, today announces the following update on developments surrounding accounting issues at its wholly-owned subsidiary, Systems Consultants Services Ltd (SCS), as indicated in December 2009 and provides further guidance on trading in the current year.\n \nRestatement of SCS Results\n \nAfter the discovery of an income overstatement amounting to approximately £1.85m at SCS, announced on 3 December 2009, an assessment of the appropriate accounting treatment was undertaken with the assistance of the Group's auditors, Baker Tilly. The announcement on 9 December 2009 of the Group's interim results for the half year ended 31 October 2009 included a restatement of the results for the year ended 30 April 2009, with revenue and profit being reduced by £0.6m. The balance of the income overstatement, £1.2m, was accounted for in the six months ended 31 October 2009.\n \nSince the announcements in December and the appointment of an interim Finance Director at SCS, a more detailed review of the income overstatement has been undertaken, tracking back the main contracts on which income had been overstated to determine accurately the correct phasing of income recognition. This analysis, which has been independently reviewed by KPMG, confirms that the value of the overstatement was £1.85m and indicates that substantially all of it arose in financial year 2008/9. In light of the ab...