Dive Brief:

• Super Micro Computer said Friday that the Nasdaq Stock Market granted the tech firm’s request for an extension and will allow it to postpone filing its fiscal 2024 10-K and its fiscal Q1 2025 10-Q until Feb. 25, along with any other required filings, according to a release and a securities filing late Friday.
• The San Jose, California-based company’s 10-K for the year ended June 30 was due on Aug. 29, its 10-Q for the period ended Sept. 30 was due Nov. 12, according to a Nov. 20 filing with the Securities and Exchange Commission.
• In a letter to Super Micro Friday, the Nasdaq said it made an exception to Listing Rule 5250(c)(1) through Feb. 25 and that, “if the company files all the required reports by February 25, 2025, the common stock will remain listed, so long as the Company remains in compliance with Nasdaq’s listing rules,” according to the company’s filing. 

Dive Insight:

The reprieve for Super Micro’s filing woes closed out a week that began with the company announcing an independent special committee charged with investigating the integrity of the company’s audit committee and management found “no evidence of misconduct” by management or the board and that the audit committee had acted independently.

At the same time, the final report did detail some missteps, CFO Dive previously reported. It recommended the company “transition” to a new CFO and noted certain process “lapses.” Those include the company not informing its registered public accounting firm, EY, before inking a June 2024 consulting arrangement, which has since been terminated, with the company’s former CFO, who resigned following the 2017 investigation. Super Micro will transition to a new CFO, it said, with current finance chief David Weigand staying until his successor arrives.

A report from JPMorgan analysts last week said it would be important to see whether Nasdaq granted Super Micro’s request for the extension that the company now has. Additionally, the analysts said it would be key to see whether the company’s new independent auditors, BDO, accept the findings of the committee, CFO Dive previously reported. JPMorgan declined to comment on the extension Monday and did not issue a new report, according to a company spokesperson.  

In the wake of the news, Super Micro’s shares traded up as much as 5% in mid afternoon trading Monday, though they closed at $4.16, up just 0.52% on the day. They are still roughly 40% below where they were trading six months ago, which was before concerns about its internal controls and news of the delayed financial reports surfaced in August. The company, which is viewed as an AI play, also is involved with a Memphis, Tennessee supercomputer facility that Elon Musk’s artificial intelligence startup xAI is set to expand.