Sasol [JSE:SOL] will again be delaying the publication of its financial results for the year ended June 30 after its board asked for additional time to investigate cost changes at its Lake Charles Chemicals Project in the US.
The SA-headquartered petrochemical group was set to release its earnings report on August 19. This was then delayed until September 19 for the probe to start.
In an update to shareholders on Friday, Sasol said it now hopes to release the results by no later than October 31 after its board agreed to "commission additional work". The group's shares fell 3.5% by 10:45 on the JSE.
"This will allow a complete and thorough investigation, enabling the effective conclusion of the audit of the Company’s 2019 financial results," it said.
"This work includes an assessment as to whether any identified control weakness and root cause of the changes in the cost and schedule of the Lake Charles Chemicals Project were present in the previous financial year and/or in the technology function of the Sasol group."
The board added that nothing had come to its attention to change a revision of the guidance on the earnings ranges provided in a trading statement in July, and the cost guidance for the LCCP of $12.6 - 12.9bn provided in May.
It is quite an indictment that a listed company the size and scale of Sasol would require 4 months to release their results. No matter the reasons or explanations, this is just not on. I shudder to think what the audit; review and other similar costs will be costing shareholders. https://t.co/3SY1Xm97s7— Delphine Govender (@Delphine_DG) September 6, 2019