Where did past profits go?

I read with disbelief that energy services firm Swiber Holdings earlier filed an application to be wound up and liquidated ("Energy services firm Swiber files to wind up" and "Company harboured big dreams of being global player"; both published on July 29).

It has since withdrawn its winding-up application and has been put into interim judicial management ("High Court appoints interim judicial manager for Swiber"; Wednesday).

However, a few issues still need to be seriously looked into.

Its reported net loss of US$27.4 million (S$37 million) last year is its first loss since it was listed in 2006.

How could it have gone bankrupt after its first loss? Where are the profits of many years prior?

Ivan Goh Sian Lung

A version of this article appeared in the print edition of The Straits Times on August 06, 2016, with the headline 'Where did past profits go?'. Print Edition | Subscribe