Diagnostic Ventures Inc., a Newport Beach medical equipment leasing company, said it expects to report a loss of between $275,000 and $350,000 for the 12 months ended June 30 because of a change in its accounting methods. The company also said it is restating results for the first three quarters of its 1987 fiscal year.
Previously, the company, which became publicly held last November, had reported a net profit of $230,586 on revenues of $6.2 million for the first nine months of the fiscal year.
The 18-month-old company said the loss is attributable to its auditors' recommendation that the company defer posting lease income until the periods actually covered by the leases. The auditors' recommendations are in line with standard accounting principals and are required by the U.S. Securities and Exchange Commission.