Super Micro Computer has received an extension from Nasdaq, pushing back a potential delisting until at least February. The server maker had been facing the possibility of being removed from the stock exchange due to its delayed submission of audited year-end financials and quarterly reports.
However, Super Micro expects to file updated reports by February, which would allow it to maintain its listing on the Nasdaq Global Select Market for now. If the company files all required reports by the deadline, its common stock will remain listed, as long as it remains in compliance with Nasdaq’s listing rules.
The extension comes after a period of uncertainty for the company, following a huge rally driven by surging sales of Nvidia-based computer clusters for artificial intelligence. Super Micro has seen significant growth, with sales expected to reach about $25 billion in fiscal 2025, a 67% increase from the previous year.
Despite this growth, the company’s reputation has been affected by several controversies, including a short position and allegations of accounting manipulation by activist investor Hindenburg Research. However, an internal probe found no evidence of misconduct, and the company has since appointed new leadership to address these concerns.
The Nasdaq delisting process can take around a year, depending on deadlines and appeals. Super Micro was previously delisted from the exchange in 2018, but this extension gives it more time to resolve its outstanding issues.
Source: https://www.cnbc.com/2024/12/06/super-micro-gets-nasdaq-extension-can-file-financials-by-february.html