German boutique compact sports coupes maker filed for insolvency on Monday morning in a Dresden court (link). Originally founded in 1959 and after a break, the company restarted its operations in 2006. The company has been quite famous in European auto shows and according to German press sources it has been suffering from lack of sales lately and it is stated that Melkus is out of money and seeking a fresh start.
According to ASKMORE (link); the financial pain was on the agenda for the period 2008-2010. Already for 2010, the MORE ratings assigned to the company was C “Extremely Pathological” ( for 2009 &2008: CC “Pathological”). The solvency indicators are in “No Return” levels for both 2010 and 2009 (negative shareholders’ funds) and accordingly company’s liquidity was also weak. Only available income statement results for 2008 indicate that company had suffered from soaring total costs which exceeded the turnover.
Despite the fact that for 2010 and 2009 income statements were not available(confidence level: 50%), the MORE ratings succeeded to see the oncoming deterioration in company’s financial performance.
Below the s-peek credit report (www.s-peek.com) of the company
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