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nouva health: financial crisis and audit dilemma


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in 2023, nova health has a challenging year. although the company forecasted a 168.2% increase in operating income in 2023, the final annual report was delayed, resulting in heavy market sentiment. this is due to the complex financial situation and audit difficulties.

selling expenses surge: nouva health's sales expenses account for 69.4% of its total revenue, of which one-third is spent on sales staff and one-half is spent on marketing, which puts the company under tremendous operating pressure. however, nouva health said it will work hard to reduce the sales expense ratio and strive to reach 40% by 2025.

medical anti-corruption and audit dilemma: the financial situation of novahealth has also aroused the attention of the outside world to medical anti-corruption and auditing agencies. some accusations have claimed that novahealth has opaque sales expenses and even involves anti-corruption issues. novahealth denied this, emphasizing that its financial data is true and accurate, and said that the auditing agency is deloitte. but this is not the case.

deloitte defected: surprisingly, the fate of nouva health, which was originally scheduled to release its 2023 annual report on march 28, 2024, has reversed. deloitte, as nouva health's auditor, suddenly announced its resignation as the company's 2023 annual auditor, which put nouva health in a difficult position.

independent investigation and the "truth": the disagreement between nouva health and deloitte led to a delay in the audit. however, after a series of communications and coordination, nouva health finally announced the results of the independent investigation, but the truth remains confusing. nouva health tried to solve the financial crisis through an independent investigation, but to this day, the fate of nouva health remains unresolved.

market response to nouva health: nouva health is facing huge challenges, with its stock suspended and market sentiment depressed. nouva health's financial difficulties have also attracted the attention of the entire biopharmaceutical industry, triggering a look into the competitive landscape and future prospects.