Losses deepen at Sheffield data specialist WANdisco following 'fraudulent irregularities'

Adjusted EBITDA losses were $14.8m (£11.8m), up from $14.1m (£11.3m).

Revenue for the period was $3m (£2.4m) down from $5.8m (£4.6m) the previous year.

Bookings of $2.8m were recorded, down from $7.3m.

The company’s shares were suspended in March it said top bosses at the group had found that “significant, sophisticated and potentially fraudulent irregularities with regard to received purchase orders and related revenue and bookings, as represented by one senior sales employee, have been discovered”.

“These irregularities give rise to a potential material mis-statement of the company’s financial position,” it said.

A statement issued in April by WANdisco in connection with the investigation said: “It remains the case that the evidence identified supports the initial view that the irregularities are as a result of the actions of one senior sales employee only.”

In April it was also revealed that Mr Richards and Mr Miller had decided to step down from the WANdisco board and leadership team.

In July, the company completed a $30m (£23.7m) equity fundraise to support its turnaround plans. These include a rebranding of the business, which is set to become Cirata by early October 2023.

Stephen Kelly, who became chief executive during the period, said: "Since our appointment, the new and existing management team has worked tirelessly to steady the ship, deal with and resolve the significant difficulties the company faced, and stay focused on the significant growth opportunity that we know lies ahead.

"Our colleagues and our shareholders have been through tremendous turmoil throughout all of this. The entire board and management team extend their thanks to our colleagues for their commitment and to our shareholders for the support they have shown with our recent and crucial $30m equity fundraise.

“Together, we have conducted a" root and branch" review of everything we need to do to create a world-class growth company worthy of its investors, customers and colleagues. Our first fundamental building block is governance, placing the highest standards of integrity at the heart of our business.”

He added: “Sadly, very little from the past deserves preservation, except for the excellence of the technology, strong engineering, marquee customers and loyal committed colleagues.

"Nearly every other aspect of our business, especially Go-To-Market, is now in the process of necessary radical change as outlined in the previously announced turnaround plan. We are building from the ground up.

“We are pleased with the progress as evidenced by recent contract announcements.”