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- Besides the material uncertainty related to Country Heights’ ability to continue as a going concern, UHY Malaysia also highlighted the impairment of RM10.19 million in trade receivables as at end-June 2025, as a key audit matter.
KUALA LUMPUR (Oct 31): The external auditor of Country Heights Holdings Bhd (KL:CHHB) has flagged a material uncertainty related to the property developer’s ability to continue as a going concern considering its net loss and its liabilities exceeding assets for the financial year ended June 30, 2025 (FY2025).
The announcement, made in a filing with Bursa Malaysia, comes three days after the annual report was filed with the bourse on Wednesday.
UHY Malaysia reported that for FY2025, the company lost RM45.5 million and the group RM286.8 million. Liabilities exceeded assets by RM27.3 million (company) and RM526.3 million (group), with losses for the past three years, casting doubt on their ability to continue operating.
“These conditions indicate the existence of a material uncertainty that may cast significant doubt on the group’s and the company’s ability as going concerns. The auditors, however, did not modify their opinion in respect of this matter,” Country Heights said.
Besides the material uncertainty related to Country Heights’ ability to continue as a going concern, UHY Malaysia also highlighted the impairment of RM10.19 million in trade receivables as at end-June 2025, as a key audit matter.
“The key audit matter addresses the inherent judgement and uncertainty involved in determining recoverability and the adequacy of impairment allowance,” it said.
Towards addressing the material uncertainty, Country Heights said it will implement cost-rationalisation, active asset realisation, fundraising exercises, debt-restructuring, and credit-control measures to strengthen its financial position.
It targets to achieve measurable progress within the next 12 to 18 months, aligning with the group’s strategic restructuring and capital-management plans for FY2026 and FY2027.
“After careful consideration of the auditors’ statement and the current plans in place, the board is of the opinion that the group and company will be able to continue as going concerns for the foreseeable future,” it added.
Shares in Country Heights ended half a sen or 2.5% higher at 20.5 sen, valuing the group at RM65.2 million.
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