Super Micro Computer (SMCI) said in a filing with the Securities and Exchange Commission late Monday that it has submitted a compliance plan to avoid delisting from the Nasdaq.
The company said its compliance plan shows it is on track to submit delayed filings to the SEC “and become current with its periodic reports within the discretionary period available to the Nasdaq staff to grant.”
Barron’s reported on Friday after the bell that Super Micro would submit its plan to prevent delisting by Monday’s deadline, citing people familiar with the matter. Super Micro shares jumped 25% in after hours trading following the filing late Monday; the stock surged 15.9% during regular trading to start the week.
Shares have tumbled roughly 65% over the past three months. After gaining as much as 300% earlier this year, SMCI stock is now down over 20% in 2024.
The AI server maker and Nvidia (NVDA) customer also said Monday that the company has hired a new auditor, BDO, after its prior accountant, EY, resigned in late October.
Super Micro has been grappling with the fallout from an August report by short selling firm Hindenburg Research, which shed light on potential accounting malpractices, violations of export controls, and shady relationships between top executives and Super Micro partners.
Following the report, the company delayed its annual 10-K filing to the Securities and Exchange Commission. The company is also reportedly being investigated by the Department of Justice. Adding to its woes, Super Micro last week delayed filing its quarterly 10-Q report to the SEC. EY’s resignation, in particular, sent Super Micro stock tumbling more than 30% in a single day in late October.
Shares of the company also fell sharply following Super Micro’s fiscal first quarter earnings report Nov. 5, which missed Wall Street’s expectations, sending shares down 18% in the day following the results.
Elsewhere on Monday, the company announced product updates during the Supercomputing Conference in Atlanta, including its next generation AI servers using Nvidia Blackwell chips.
“Supermicro has the expertise, delivery speed, and capacity to deploy the largest liquid-cooled AI data center projects in the world, containing 100,000 GPUs, which Supermicro and NVIDIA contributed to and recently deployed,” said CEO Charles Liang in a statement Monday.
“We now have solutions that use the NVIDIA Blackwell platform.”
Nvidia will report its next quarterly earnings on Wednesday.
Super Micro rose to prominence over the past year as the generative artificial intelligence boom propelled sales for its AI servers and other AI tech. In its fiscal year 2024, Super Micro’s adjusted earnings rose nearly 90% to $2.21 per share, and revenue soared 110% to $15 billion.
