Retail Food Group trading halted after delayed release of expected shocking half-year results

SHARES in troubled Southport listed company Retail Food Group have been placed in a trading halt for an extraordinary reason.

Coffee and food company RFG has delayed its half-year results. Picture: iStock

SHARES in troubled Southport listed company Retail Food Group have been placed in a trading halt ahead of an unspecified announcement by the company.

RFG were today due to release their results for the first half of the financial year, but instead managing director Andre Nell has cancelled media interviews and the company says the results will be delayed at least until Friday.

The company previously flagged a devastating drop in profit, likely to be more than 40 per cent down on the previous year as it continues to battle fallout from a franchisee scandal late last year.

Today they say the results may not be available until Friday.

Retail Food Group managing director Andre Nell.

The company, which operates brands including Donut King, Brumbys, Gloria Jeans and Pizza Capers, has submitted an auditor’s report on its financial report for the half to the ASX.

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Shares, which were trading at $2.04 before trading was halted, will remain on hold until after the announcement or until the market opens tomorrow — whichever comes first — unless the company fails to lodge its results. If that happens, trading will remain on hold.

Retail Food Group Chairman Colin Archer.

In its statement requesting the trading halt, RFG said “As foreshadowed in the release made on January 9 2018, RFG expects its statutory NPAT for 1H18 to be materially less than the result for the equivalent prior period”.

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“These results can only be finalised and released to the ASX once RFG’s financial statements for the period have been finalised.

“That can only occur once the auditor’s report has been issued which may not, RFG currently understands, be available to RFG until Friday 2 March 2018.”

RFG in December sought a time extension for $150 million in loans, due to be repaid next December.

Mr Nell said at the time any cost-saving initiatives identified in the company’s “business-wide review” would be accelerated.