Existing listed companies carrying accumulated losses exceeding $100m

Hutchison Telecom (HTA): $4.06 billion - just keeps soldiering on as a listed company, backed by billionaire Li Ka Shing. This is why the Murdochs and Packers put One-Tel under in 2001. After ploughing on, HTA has now accumulated losses of $4.06b as of February 2024 but major asset now is control of TPG.

Energy Resources Australia (ERA): $3.56 billion - see results from February 2024 which showed accumulated losses at $3.56 billion and negative equity running at $1.727 billion. This is because 90% shareholder Rio Tinto is bankrolling the circa $2 billion clean up and sitting on the potentially lucrative deposits which minorities would prefer they try to sell or develop.

Paladin Energy (PDN): $3.23 billion: had wracked up $US2.1 billion in accumulated losses by February 2024 but were only claiming net assets of $US414m when the market cap is $3.7 billion in mid 2024 ahead of a big merger with Canadian outfit Fussion Uranium. After years of pain, the uranium market is clearly turning around.

Seven West Media (SWM): $2.96 billion: is back making book profits but still has accumulated losses of $2.96 billion as at February 2024. And the balance sheet isn't conservative with net assets of $435m against a June 30 2024 market cap of $280m.

ZIP: $2.09 billion: huge goodwill write-downs delivered a $1.06 billion net loss for the buy now pay later outfit in 2021-22. Net assets were down to $419m by February 2024 but with the market cap having roared back to $1.71 billion by July 2024, the write-downs look overblown.

MC Mining (MCM) (formerly Coal of Africa): $1.4 billion: announced a 1.012-for-1 at 20c to raise $40m with unlimited overs in October 2022. Claims to have net assets of $US83.8m and has $US936m of accumulated losses as at February 2024. Where did the money go? Failed coal mining projects in Africa. Market cap was $56m in July 2024 and currently in takeover negotiations.

Qantas (QAN): $1.46 billion as at February 2024 although it has been as high as $4 billion at the peak of the pandemic. Claimed net assets of just $117m when market cap was $9.6 billion as at June 30, 2024.

Mesoblast (MSB): $1.3b: after floating in 2004, it had racked up $US853 million in accumulated losses by December 31, 2023 and then suffered another FDA rejection in August 2023, reducing its market cap to $305m. However, by July 2024 this had bounced back to $1.1 billion making the claimed net assets of $781m look almost conservative.

ARN Media: $1.21 billion: the old APN New & Media has been a debacle in recent years with $1.21b in accumulated losses as at February 2024. It still claims to be worth $316m when its market cap was down to $197m by June 30 so more write-downs are coming.

Southern Cross Media (SXL): $1.09 billion by February 2024 they had notched up $1.089 billion in accumulated losses and were still claiming to have net assets of $432 million. But with a market cap of $146m in June 2024 there are clearly more write-downs to come.

St Barbara Mines (SBM): $914m in accumulated losses in February 2024 and claimed to have net assets of $348m when the market cap was only $164m as at June 30, 2024.

Pointsbet (PBH): $829m in accumulated losses by February 2024 when it claimed to have net assets of $150m. Market cap was $153m on June 30 2024 although this was after material capital returns.

Kingsgate Consolidated (KCN), $7542m: the mining company is focused on its Thailand gold operations these days but had managed to wrack up $754 million in accumulated losses by the February 2024 but this looks grossly overblown given the market cap was $410m in July 2024 but it only claims to have net assets of $33.5 million.

AMA Group: $487m: the largest Australian car repair company had notched up $487m in accumulated losses by February 2024. And with a market cap of $77.7m on June 30 versus claimed book assets of $116.5m.

Troy Resources: $457 million - see results from February 2022. Still waiting on full year results as they battle to get a company saving capital raising away.

Cromwell Property (CMW): $438 million in accumulated losses as at February 2024 but with claimed net assets of $1.89 billion and a June 30 market cap of $1.04 billion, more big losses are coming.

Syrah Resources (SYR): $425m in accumulated losses as at February 2024 but had claimed net assets of $353m and a June 30 market cap of $355m although this was after it raised $98 million in March 2024 so plenty of overall losses for shareholders.

Tiger Resources: $407 million. See final results from August 2019 before it was delisted in early 2020, claiming to have $160 million of negative equity, so the $407m in accumulated losses were aggressively booked.

Jervois Global (JRV): $400.8m in accumulated losses by February 2024 with more to come given the shares were at 1c on June 30 2024 giving it a market cap of $43m against claimed net assets of $170m.

29Metals (29M): $376.3m: after a $400m+ loss in February 2024, it plunged to $376.3m in accumulated losses. And with book assets of $422m versus a June 30 market cap of $302m, more losses could be coming.

Arafura Rare Earths (ARU): $331.7m in accumulated losses as at February 2024.

BWX: $319m: took massive write-downs in 2021-22 which left it with accumulated losses of $319 million and claimed net assets of $98 million. The market cap was $126m in December 2022.

Bubs Australia (BUB): $318.2m:had notched up accumulated losses of $318.2m by February 2024 when it claimed to have net assets of $50m. At least the market cap was $107m by June 30.

Prime Media: $273 million - not sure why the Catalano-Waislitz forces are keeping the shell of Prime Media alive after its main undertaking was sold to Seven and the cash distributed. Still, here are the recent last day results revealing $273m in accumulated losses confirming the poor long term performance.

Red 5: $268 million - the Perth-based gold miner reported a $56m last day loss, lifting accumulated losses to $268m. But with a market cap of $602m and claimed net assets of $183m, investors are happy despite the red ink.

Hills Industries: $280 million - revealed a $24m last day annual loss for 2021-22, lifting accumulated losses to $280m. Market cap just $18.6m.

Funtastic (Toys R Us) $260m: wracked up a total of $260 million in losses by June 30, 2022.

Keybridge Capital (KBC): $248.3m: still staggering along as a listed company 15 years after its major losses were wracked up during the GFC but lost another 750k in 2021-22 as is detailed in this skinny 10 page full year report.

Decmil (DCG): $246 million: Perth based contractor which has $246m in accumulated losses when it still claimed to have net assets of $62.5m as at February 2024 despite directors agreeing to sell out to MacMahon Holdings for around $45m. Scheme meeting is on July 31, 2024.

Starpharma: $234 million - Melbourne-based pharma research house which has accumulated $234m in losses as at June 30, 2023, but at least it only claims to have net assets of $34.8m, most of which cash, when the market cap 48.4 million (see page 55 of 2021-22 annual report) when the market cap finished 2022 at $210 million.

Terramin Australia (TZN): $212m in accumulated losses by February 2024 but have arguably overdone it with a market cap of $55m against claimed net assets of just $12m.

Tali Digital: $207.2 million - reported a $5.85m last day loss for 2021-22, blowing out accumulated losses to $207.2 million.

Karoon Energy $193m: started out as a Gippsland explorer then became a Browse Basin producer and ultimately a big player in South American oil. By February 2024 it had reduced its accumulated losses to $193m and with net assets of $914m and a market cap of $1.5 billion in July 2024 it was back in overall positive territory for shareholders.

Tigers Realm (TIG): $191m in accumulated losses as at February 2024 due to the Russians effectively stealing their coal mining operation. Claimed net assets of $133m when market cap was around $39m as at June 30.

Kalium Lakes (KAL), $190.6m: a potash and salt mining outfit chaired by former WA Liberal Minister Cheryl Edwards AO which appointed receivers in August 2023 and last reported in February 2023 when it claimed to have net assets of $93.3 million after accumulating $190.6 million in losses. Federal taxpayers look to have lost $83 million through the Northern Australia Infrastructure Fund (NAIF).

Alterity Therepautics (ex Prana): $182 million - wants to help people with Parkinsons. Recently reported a last day loss of $12.5m in 2020-21, lifting accumulated losses to $182m. The cash balance of $35m broadly matches net assets & market cap.

Brainchip Holdings (BRN): $US123m - the AI company reckons it only has net assets of $US18.9m but the market cap finished at $1.16 billion in 2022 due to the excitement about AI. Lost $US21m in 2021-22. See annual report.

Family Zone (FZO): $148 million - the Perth-based family cyber security company lost $75m in 2021-22 alone.

Incentiapay: $134 million - revealed it has doubled its net loss to $15.6 million in 2021-22 on revenues of only $20.6m. It has now wracked up accumulated losses of $134 million and the market capitalisation is a miserable $16 million.

Allegiance Coal (AHQ): $135 million: Capitalised at $45 million after doing a $25m capital raising in 2022. The full year accounts for 2021-22 revealed $130m of accumulated losses when the market cap was around $45 million.

Imricor: $119 million - is trying to develop its Vision-MR Ablation Catheter to work under real-time MRI guidance. It lost $US9.7m in 2021-22 and has accumulated losses of $US82.4 but with a market cap of $56m there's still hope.

Acrux (ACR): $113.7 million: the generics company was profitable until it lost its one product in September 2017 and has wracked up another $21 million in losses over the past 2 years as it tries to develop alternative products with 16 balls in the air. On the day of its 2022 AGM it had accumulated losses of $113.7 million, audited net assets of $9 million and a market capitalisation of $19 million. See questions asked at the meeting.

Beston Global Food (BFC): $113 million: completed a $28.3 million placement and entitlement offer in November 2022 at 2.5c. Stock was at 2c in December 5 giving it a market cap of $52 million. The 2021-22 annual report discloses accumulated losses of $113 million so puzzled why long-serving chairman Roger Sexton is still there.

Site: $108.2 million - the Brisbane-based training outfit often pops up with a last day loss. This year it was $7.3m, bringing accumulated losses to a staggering $108.2m.

Lumos Diagnostics: $108 million - only listed in 2021 but has managed to accumulate $US74.5m in accumulated losses by the time it released a $US45m loss in August 2022.

Analytica: $107m - revealed a $2.3m last day loss this year lifting accumulated losses to $107m. The market cap is only $4.6m with the stock at 0.1c so these are real permanent losses.

TZ Ltd: makes locks and fasteners and was chaired by Mark Bouris for 9 years until 2018, drawing an average cash salary of more than 400k. As The AFR's Rear Window column noted in this 2023 piece, it racked up $105m in losses during the Bouris tenure and the stock crashed from 98c to just 2c.

First Graphene (FGR): $100.4 million - bills itself as "the world's leading graphene company" and after the latest $5m loss in 2021-22, it has now amassed $100.4m in accumulated losses and has net assets of just $8.4m. BUT, with a market cap of $77.5m, there's still hope.

ACCUMULATED LOSSES EXCEEDING $20M

EML Payments: had wracked up $60.5m in accumulated losses by June 2022 (see page 71 of annual report) but should be more given the lack of write-downs as claims to have net assets of $437 million when the end of year market cap in December 2022 was around $224 million.

4DS Memory: Perth-based chips company with $55m in accumulated losses and net assets of only $5.4m but the market cap is $50m so the there's hope yet, even with the stock at 3c. See 2021-22 annual report. Needs a share consolidation with 1.475 billion shares on issue.

1414 Degrees: lots of tumult at 2022 AGM for this renewable energy company which has accumulated $22.5m in losses so far.

Hexima: after another $10m loss in 2021-22, accumulated losses hit $81.16 million.

Intra Energy: Perth based company declared a loss of $17.5m in 2021-22, lifting accumulated losses to $94m and net assets to negative $38m. See annual report.

Traffic Technologies: $47m in accumulated losses by June 2022 with claimed net assets of $14m and a market cap of $11.5m with the stock at 1c.

Notable accumulated losses from last day laggard companies

Here is a list of companies which released losses on the last day of the season, August 31, and have lifted accumulated losses above $20 million.

ABX Group: aspiring Tasmanian rare earths miner has former Labor Premier Paul "pokies" Lennon as its chair. A $1m half year loss lifted accumulated losses to $20.3m but there's still hope with a market cap of $29m and net assets of $15.3m.

Antisense Therapeutics: reported a last day $5.8m loss bringing accumulated losses to $81m. Net assets are down to $21m but at least the market cap is $66m.

AssetOwl Ltd: Lost $2.22m for 2021-22 and has now wracked up accumulated losses of $21m. The market cap is only $3m so $18m has been blown.

AusCann: the cannabis game is expensive. Auscann reported a $26m last day loss for 2021-22 and is now up to accumulated losses of $75m. The market cap is only $17m with the stock at 4c.

BIR Financial: revealed a $3.1m loss lifting accumulated losses to $33.2m as its net asset position slips to -$3m. The market cap is $6m so that's a net destruction of $27m for long suffering shareholders.

Crowd Media: was trumpeting a "major turnaround" in its recent $3.2m last day net loss for 2021-22, bringing accumulated losses to $44m. There's only $4.7m of net assets left and the market cap is just $16m.

Design Milk Co: reported a $2.76m loss for the year, lifting accumulated losses over its listed company journey to an eye-popping $58.6m. Net assets are just 173k but at least the market cap is $11m.

Eve Health: reported a $5.4m last day loss for 2021-22. It has now racked up $29m in accumulated losses and only has net assets left of $6.9m but this exceeds the $5m market cap with stock at 1c. No wonder it's a last day shocker.

Fleetwood: the shares fell 5% after reporting a $47m last day loss for 2021-22, lifting accumulated losses to $88.5m.

Global Health Ltd: reported a $2m last day loss on $6m of revenues, lifting accumulated losses to $23m, but the net assets of $6.1m are well short of the market cap of $20m so there's hope yet.

Jaxsta: the ASX-listed and Darlinghurst-based company sounds fantastic as "the world's largest public facing dedicated data base of official music credits". However, it revealed a last day $6.23m loss and has now wracked up $42m in accumulated losses. Net assets are just 600k and market cap $6.85m.

Legend Mining: the WA explorer has wracked up $72.6m in accumulated losses, including 147k as a recent last day loss. However, even with a share price of just 3.8c it has a market cap of $107m in this latest mining boom.

Medibio: The stock is at 0.001 after it reported a last day $12.6m loss, lifting accumulated losses to $98.6m. They'll crack $100m if survive another 6 months.

Memphasys: the aspiring reproductive technology company reported a last day $2.1m loss lifting accumulated losses to $42.8 million.

Mydeal.com: was a last day laggard in February 2022 and finished with $25.5m in accumulated losses when Woolworths paid $234m for the business in September 2022.

Optiscan Imaging: reported a $4.23m last day loss for 2021-22 which lifted accumulated losses to $66.9 million.

Orbital Engine Company: Remember inventor Ralph Sarich? His old company is still floating around today with a last day laggard loss of $11m. Accumulated losses are now $38m, net assets are just $2m but there's still hope with a $19m market cap.

Pioneer Credit: have been a pretty bad debt collector for shareholders. Revealed a $33m last day loss in 2021-22, lifting accumulated losses to $72m. Claimed net assets of $41m broadly line up with market cap of $43m.

Sprintex: the Perth-based company has now legally burnt through $58m of shareholder funds after revealing a $6m last day net loss for 2021-22, lifting accumulated losses to $69m. It has net assets of only $1.2m and market cap a miserable $11m

Stemcell United: reported a $2.8m last day loss in 2021-22, lifting accumulated losses to $78 million. With a market cap of just $16m, it has destroyed a lot of shareholder value.

The Sustainable Nutrition Company: the hemp outfit reported a $5m loss bringing accumulated losses to $18.5m. But with a market cap of $17m and net assets of $5.2 they are about break even for investors.

Vectus Biosystems: based in North Ryde and trying to work up better blood pressure treatments. It lost $4m last year and has accumulated losses of $32m but with a market cap of $29m investors are still holding out hope.

Wooboard Technologies: just lost another $2.17m in the latest year bringing accumulated losses to $22.6m. With net assets of only $1.36m and a market cap of only $3.82m, it doesn't look very hopeful for investors.

YOJEE: freight focused software as a service company with $39m in accumulated losses by February 2022.

Yellow Brick Road: $72 million in accumulated losses as at June 30, 2022.

Copyright © 2024 The Mayne Report. All rights reserved

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