TAX RULING FORCES TMM TO RESTATE ITS ACCOUNTS
Grupo TMM, the Mexican multimodal transportation group, has restated its accounts for the three months and nine months ended Sept. 30, reversing the group’s previous reported net profits, after an adverse court judgement on taxation.
The restatement follows a Dec. 6 court decision that may postpone the recovery by TMM from the Mexican authorities of about $206 million in value added tax.
TMM has determined to restate its unaudited, interim financial statements for the three and nine-month periods ended Sept. 30, to reverse the previously recorded receivable from the government related to the value added tax refund.
The effect of the restatement of the group’s accounts is to reduce TMM’s net profit for the three and nine-month periods from a net profit of $167.4 million and $175.7 million, respectively, to a net loss of $42.1 million and $33.7 million, respectively.
Headquartered in Mexico City, Grupo TMM is Latin America’s largest multimodal transportation company, and has a major share in the Mexican railroad TFM. Grupo TMM is not related to the shipping line TMM Lines.