The audited financials (which weren't) certainly spoke loudly:
- Previously reported Q1 13 revenues were restated downward by about 15%.
- Q1 14 revenues were 15% lower than restated Q1 13, and Q1 14 was unprofitable.
- Previously reported 2012/2013 profits turned into losses; with well over a $1M loss in 2013 alone.
- The 'intangible and unidentified assets' account shrank by over 50% and became simply 'intangible' assets -- although they are almost 95% of total assets there is no discussion in the Financial Notes as what they are and how they are valued/amortized.
- The value of fixed assets dropped almost 85% in value at March 31, 2014 versus that reported on March 31, 2013. But, at 5% of fixed assets, there is at least a paragraph about them in the Financial Notes.
In fairness to your point, the rescinding BCCI PR a month ago said that when the audited financials were properly issued (promised 'within seven days,' but not yet here), there might be 'additional restatements.'
(Note: for some reason, the PR announcing the 'audited' results, and the PR rescinding the audited results and promising new ones within 7 days, are not on the company's website).
But, in disagreement with your post's implication, any restatement will likely not improve the results from the rescinded statements: the company is and has been unprofitable, with revenues from its core themed coffee kiosk business shrinking.
Indeed, one COULD hypothesize that the failure to produce the promised audited financials arises from disagreements with the company's auditor about the need for further (negative) restatements (if said firm has not in fact resigned over the June fiasco, which would not be a surprise).
One can only hope that second half revenues and profits get a boost from its new themed sports bar initiative, perhaps expanded to more locations with the assistance of its new partner.
And that its long delayed (three months and counting) third SW Florida store successfully opens. At least, the 22 Jan PR announcing its opening is still on the BCII website, giving hope that it will eventually happen.
Or perhaps third party ice cream sales become significant this summer - although with over 250 announced locations in Spring 2013, I would have expected it to happen last year if it was going to happen. Plus, the words 'ice cream' do not even appear in the Business, Products, and Services section of the company's financial statements. This is the first summer with ice cream in the SW Florida stores; successful distribution there -- particularly if the third one opens -- could create the opportunity for 'third party' distribution at least in that territory, creating momentum for that business.
