Leading Australian post-production company Cutting Edge goes bust, owing $3.7m

One of Australia’s leading post-production houses, which has worked on blockbuster films including Aquaman and Pirates of the Caribbean, has collapsed under $3.7m of debts.

One of Australia’s leading post-production companies - which worked on blockbuster films like Aquaman - has collapsed.

One of Australia’s leading post-production film houses has collapsed owing $3.7m - including nearly $2.5m to staff across the country.

Cutting Edge, which had studios in Sydney, Brisbane and the Gold Coast and had been in the business for around three decades, entered liquidation late last month owing an additional $1.3m to unsecured and secured creditors.

With expertise spanning VFX (visual effects), picture and sound post-production, Cutting Edge worked on high-profile productions including Aquaman, Pirates of the Caribbean, Nautilus, Land of Bad, Ticket to Paradise and Thirteen Lives.

One of Australia’s leading post-production houses has collapsed owing $3.7m - including $2.4m to staff. Picture: Cutting Edge Post

The company completed post-production on Queensland-shot US drama Good Cop/Bad Cop earlier this year.

A total of 62 staff are owed $2.4m, including $77,884 in wages, $581,649 in annual leave, $484,230 in long service leave and $951,680 in redundancy entitlements.

The new details of the debt are contained in a report submitted by director Michael Burton lodged with the Australian Securities and Investments Commission

Other creditors include the Australian Tax Office ($389,176), trade creditors ($81,633), Commonwealth Bank of Australia ($25,166) and $182,990 to the Queensland Rural and Industry Development Authority in the form of a term loan.

The company completed post-production on US drama Good Cop/Bad Cop. Picture: Stan

It was announced less than a year ago that Cutting Edge was one of the first recipients of the Queensland Government’s $5m Capital Grants program.

Mr Burton disclosed $525,000 was owed to Screen Queensland in the form of “unearned revenue for grant income”.

The director disclosed over $1m in assets owned by the company including $848,024 in fit-outs and $236,500 in bank accounts with the Commonwealth Bank of Australia.

A total of $702,243 is owed to the company from around 20 trade debtors, Mr Burton said, as well as $35,032 in related party loans.

The director disclosed over $1m in assets owned by the company. Picture: Cutting Edge Post

The company wrote to their followers on social media confirming they had “officially ceased operations”.

“We sadly say goodbye to the end of an era, thanking all those who joined our team, gave us a chance and collaborated passionately beside us. We are truly grateful,” they said.

The business said that their sister company Cutting Edge Technical Services (CETS) remained “fully operational” and unaffected by the closure.

“CETS is committed to providing the same high-quality service you’ve come to expect,” they said.

Cutting Edge and appointed liquidator William Cotter of Robson Cotter Insolvency Group were contacted for comment.

Originally published as Leading Australian post-production company Cutting Edge goes bust, owing $3.7m