Super Micro Computer (SMCI.O), a leading server maker, is confident that its stock will not be delisted from the Nasdaq, according to CEO Charles Liang. The company has received a warning letter from Nasdaq requiring it to file delayed financial reports by February 25.
In an interview at the Reuters NEXT conference in New York, Liang assured investors that Super Micro would meet its obligations and provide the necessary financial reports on time. This comes after the company faced criticism over governance and internal controls related to financial reporting.
In July, Ernst & Young, Super Micro’s auditor, raised concerns about the company’s governance and internal controls. A special committee formed by the board determined that EY’s statements were not backed up by facts, but found some lapses by an executive, including failing to disclose rehired former employees in a timely manner.
Despite this setback, Super Micro has seen significant growth due to its involvement with companies like Elon Musk’s xAI, which uses its facility for developing the “Colossus” supercomputer. The company is working to address its governance and internal controls issues and is confident that it can meet Nasdaq’s requirements.
Source: https://www.reuters.com/technology/super-micro-ceo-confident-stock-will-not-be-delisted-2024-12-10