BANGKOK, 18 August 2021: Thailand’s stock exchange confirmed Tuesday Nok Air failed to submit its financial reports for the first six months of the year along with two other unrelated companies.
Currently, the securities of all three companies have been suspended from trading according to the Stock Exchange of Thailand statement dated 17 August 2021.
In a statement to the stock exchange, the airline has requested a delay in presenting financial results for 2020 and half-year 2021.
“Due to the application of new accounting standards on impairment which involved complex computation together with current uncertain Covid-19 pandemic situation… the company is unable to clearly complete some computations requested by the auditors. Therefore, the company cannot submit 2020 financial statements and the financial statements for the first six-month period ended 30 June 2021 in time…The company needs to postpone the submission to not later than 31 October 2021.”
Nok Air is undergoing a rehabilitation process in accordance with Thailand’s Bankruptcy Act. The domestic airline’s financial troubles were evident before the Covid-19 outbreak during the first quarter of 2020 but have since accelerated as stringent government measures locked down the country and repeatedly ground domestic airline services.
All six domestic airlines in Thailand are still waiting for
the government to confirm it will approve soft loans and relief measures as
operational losses escalate with no end in sight.