TomoTherapy, manufacturer of the Hi-Art radiation therapy treatment system, has reported it is restating its financial statements for the year ended Dec. 31, 2008. For the fourth quarter of 2008, the Madison, Wis.-based company reported a net loss of $11.5 million, and revenues of $86.3 million.
The Management and the Audit Committee of its board of directors concluded that the company's 2008 financial statements "should not be relied upon due to errors relating to the accounting for income taxes, including a potential overstatement of the valuation allowance."
The Madison, Wis.-based TomoTherapy said it is currently investigating the identified errors and the underlying causes for such errors, and intends to file an amendment to its 2008 Form 10-K, which will contain restated financial statements as of and for the year ended Dec. 31, 2008.
In connection with the restatement, the company said it believes that "a material weakness in its internal control over financial reporting existed as of Dec. 31, 2008," and said it is completing an evaluation of the design of the procedures and controls surrounding complex tax accounting matters.
The company said it plans to implement procedures to ensure that matters of this nature are analyzed and recorded appropriately in its financial statements.