Jamaica Broilers Group (JBG) has reported a staggering $7.2 billion net loss for the fiscal year ending May 3, 2025, following the discovery of significant accounting irregularities in its US operations. The irregularities necessitated a restatement of prior financial results, leading to a massive write-down of intangible assets, goodwill, and biological assets, which severely impacted the company’s equity. The restatement erased billions from the company’s stated equity, resulting in a consolidated group loss despite a $2.5 billion net profit from its core Jamaican operations, which include the Best Dressed Chicken and Hi-Pro Ace brands. The US subsidiaries, however, reported a net loss of $9.1 billion, completely offsetting the gains from Jamaica. The financial turmoil triggered a breach of the company’s debt covenants, prompting its auditor, PricewaterhouseCoopers (PwC), to highlight a ‘material uncertainty’ about the group’s ability to continue as a going concern. The consolidated balance sheet now shows liabilities exceeding assets, with negative equity of $10.03 billion and total borrowings of $42.5 billion. The company’s directors have implemented a survival plan, including detailed cash flow forecasting and cost control measures, while engaging in ongoing discussions with financial institutions. The scandal, centered on inflated asset values and hidden debts in the US operations, led to the departure of the entire US management team, including Stephen Levy, the brother of Group President and CEO Christopher Levy. PwC issued a qualified opinion on the financial statements, citing insufficient evidence regarding the completeness of the accounting irregularities. The restatement erased $22 billion from the company’s historical profits, revealing that the previously reported earnings never existed. The company’s liquidity position is precarious, with current liabilities of $63 billion significantly exceeding current assets of $28.5 billion. Despite the crisis, the core Jamaican operations remain profitable, with a 33% rise in operating profit to $2.12 billion in the latest quarter. However, the impending $40 billion restatement looms over the company’s future. The scandal has severely impacted investor confidence, with the stock price plummeting 35.75% since the start of the year. The company’s ability to renegotiate terms with lenders and stabilize its US operations will determine its survival.