Posted in : comic strip , Comics Publishers , Current News , IDW| Tagged : bankrupt , rhomb

The attender section of IDW ’s yearly report card expresses " substantial doubtfulness " about its " power to keep as a going concern " in wake of Diamond Bankruptcy .

IDW Media Holdings ' just - unfreeze annual investor ’s news report include a section that express " solid question " on their " ability to stay as a go concern , " and it ’s all down to the uncertainty make byDiamond Comic distributer come out Chapter 11 failure proceedings . IDWquit being exclusively spread by Diamond in 2021and went exclusive with Penguin Random House , who then subdistributed to Diamond , as didMarvel , Dark Horse , andTokyopop , withBoom Studios to keep an eye on in April . But it appear that Penguin Random House intends to pass on any unpaid debt they have from Diamond to IDW and , perhaps , the other publishers as well . Penguin Random House is the biggest creditor for Diamond , to the melody of nine million dollars . And it seems that they may want IDW and the other publishers to make up these losses out of succeeding net . Which may explainMarvel ’s interest . In the audit section of the written report , prepared by an independent auditor , it is noted that there is " satisfying Doubt About the Entity ’s power to Continue as a Going Concern , " the entity being IDW , and say ;

" the accompanying financial financial statement have been get up assuming that the Company will keep as a going business . As discussed in Note 19 to the fiscal financial statement , the collectability of certain receivables sell by the companionship ’s distributor are in question and the one dollar bill amount of the receivable in motion can not be estimated at this time and has posit that substantial incertitude exists about the Company ’s ability to continue as a conk out concern . "

They clarify further , in the previously observe Note 19 , stating ;

" PRH paid IDW for IDW product order by Diamond , and , as a solvent of Diamond ’s bankruptcy , PRH may not be able to collect all or any of the corresponding sum owe to PRH by Diamond . PRH has informally show to IDW that their discernment of the relevant terms of the contract bridge between IDW and PRH supply thatthe important majority of such ungathered amounts will be debit by PRH from future defrayal from PRH to IDW.IDW has not meet any formal written communication , or classic claim from PRH . IDW can not at this fourth dimension assess the likelihood that PRH will seek to debit any amounts against future payments to IDW , the amount of any such possible debit or the timing of any such debit . IDW is also making its own assessment of the relevant contractual language and the right and obligations of the parties in deference of the current situation . In light of the foregoing as of the day of the month of this report , we are ineffectual to regulate the possible impact , however it may have a important damaging impact on our next financial results and hard cash position . The Company will mold to understate any impact to the extent potential . "

As for the overall annual report , it notes that " At October 31 , 2024 , we had cash of $ 7,432,000 and work capital ( current assets in overindulgence of current liabilities ) of $ 17,772,000 , " and that IDWP ( the publication dowery of IDW Media Holdings ) had a " loss from surgical process " of $ 1.4 million in financial yr 2024 based on revenues of $ 26.4 million .   This was an improvement over 2023 ’s loss from operations of $ 3.9 million .

As for the immediate future tense for IDW and other publishers , expect those Penguin Random House contract to be gone over with the diminished of pins . While other publishing firm contracts may contain different price in regard to this situation , this may be why Marvel is seek representation in the Diamond failure proceedings . It may also be why Image has pull out completely from Diamond . It is possible that the subdistribution deals may not protect the publishers .

IDW ’s annual report   states that this situation " may have a significant negative impact on our future financial result and hard cash locating . " But what about the other publishing company ? you could be along with Bleeding Cool update to the Diamond bankruptcy floor you wo n’t find elsewhere bychecking and updating the Diamond Bankruptcy ticket .

When reached for comment , IDW replied with the following statement : " We will be plow all query during our upcoming profit call on Monday , February 3 , 2025 . IDW ’s direction will host this conference call , begin at 4:30 PM Eastern Time , specifically to employ in a Q&A session with participants . "

love this ? Please divvy up on social media !