Orpea reports annual loss of $4.4 billion on asset depreciation

(Reuters) - French nursing care provider Orpea, hit by multiple scandals including allegations of malpractice at its care homes, on Friday reported an annual net loss that was in line with the anticipated strong depreciation of its assets.

Orpea witnessed a tough 2022, following the publication of a book by independent journalist Victor Castanet, which sent shockwaves through France and much soul-searching over how the elderly are treated in nursing homes.

The company, which has requested conciliation talks with creditors and warned of impairments, said its net profit turned to a loss of 4.03 billion euros ($4.44 billion) in the fiscal year 2022, versus a gain of 65 million euros a year ago.

"2022 was year of rupture," Chief Executive Officer Laurent Guillot said in a call with journalists.

The group also said its net debt is now projected at 4.5 billion euros at the end of 2025, versus 4.9 billion euros previously announced.

The deadline for the general meeting to approve the 2022 accounts was extended until Dec. 29, 2023 by the president of the Commercial Court of Nanterre, Orpea added.

($1 = 0.9084 euros)

(Reporting by Diana Mandiá and Federica Mileo; editing by Uttaresh Venkateshwaran)