NexCen Brands Inc. said Monday that there is “substantial doubt” about its ability to continue as a going concern, and that the same “doubt also may have existed” when the firm filed its annual report for 2007.
The comments came during a conference call with Wall Street and were in connection with the preparation of first-quarter results.
Robert D’Loren, president and chief executive officer, said on the call that the company will delay filing its first-quarter results for the period ended March 31 and may need to restate its annual report for 2007.
He also said he expects there will be “no changes in the 2007 financial results.”
Nevertheless, the ceo of the firm that owns Bill Blass and The Athlete’s Foot said the board and management are considering the “future direction of the company” and are “actively exploring” options including the sale of one or more businesses.
In the meantime NexCen, pressured by a near-term operating cash shortfall, will be focusing on reducing expenses.
For more, see Tuesday’s issue of WWD.