[News] Super Micro’s Delisting Threat Intensifies Despite New Auditor Appointment

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Super Micro Computer (SMCI) is once again facing the prospect of delisting from the Nasdaq exchange, despite appointing BDO USA as its new independent auditor.

Nasdaq Rejects Extension Request

According to Wccftech, Nasdaq has rejected Super Micro’s request for additional time to submit its overdue financial reports. The company disclosed in an SEC filing that it received a notice on November 19, 2024, from Nasdaq’s Listing Qualifications Department, citing non-compliance with listing rule 5250(c)(1).

The filing detailed the issue:

“On November 19, 2024, the Company received a notification letter (the “Letter”) from the Listing Qualifications Department of the Nasdaq Stock Market LLC (“Nasdaq”) indicating that the Company is not in compliance with Nasdaq Listing Rule 5250(c)(1), as a result of the Company’s delay in filing its Quarterly Report on Form 10-Q for the period ended September 30, 2024 (the “Q1 2025 Form 10-Q”) and its continued delay in filing its Annual Report on Form 10-K for the period ending June 30, 2024 (the “2024 Form 10-K”). The 2024 Form 10-K was due on August 29, 2024 and the Q1 2025 Form 10-Q was due on November 12, 2024.”

The company further noted:

“The Letter has no immediate effect on the listing or trading of the Company’s common stock on the NASDAQ Global Select Market.”

Wccftech also reported that SMCI still has the option to appeal Nasdaq’s decision. For now, the stock will remain listed and continue trading.

Super Micro’s challenges were compounded by the resignation of Ernst & Young as its auditor in October, citing undisclosed reasons. In response, the company appointed BDO USA on November 18, 2024, and submitted a compliance plan to Nasdaq, seeking more time to meet listing requirements.

(Photo credit: Super Micro Computer)