2 weeks Ago By Adam Eckert
Super Micro Computer Inc SMCI provided a business update for the first quarter and reported preliminary results after the market close on Tuesday. Here’s everything you need to know . Preliminary Q1 Earnings: Super Micro expects to report first-quarter revenue of $5.
9 billion to $6 billion, down from its previous guidance range of $6 billion to $7 billion. The company anticipates adjusted earnings of 75 cents to 76 cents per share, versus its previous guidance of 67 cents to 83 cents per share. Super Micro expects a first-quarter gross margin of approximately 13.
3%. The company said it expects to report total cash and cash equivalents of $2.1 billion and total debt of approximately $2.
3 billion. Q2 Outlook: Super Micro expects second-quarter revenue of $5.5 billion to $6.
1 billion. The company anticipates second-quarter adjusted earnings of 56 cents to 65 cents per share. The company’s soft guidance appears to be weighing on shares after hours.
See Also: Magnificent 7 Basket Notches Over 200% Gain Since Biden’s Election: How Did Tech Giants Perform Under Trump? Business Update: Super Micro stock plunged last week after its independent auditor Ernst & Young (EY) resigned as the company’s registered public accounting firm, citing concerns related to governance, transparency and completeness of communications. Super Micro formed an independent Special Committee in response to information that was brought to the attention of its audit committee. The company announced Tuesday that the committee issued the following statement to Super Micro: “The Special Committee has completed its investigation based on a set of initial concerns raised by EY.
Following a three-month investigation led by Independent Counsel, the Committee’s investigation to date has found that the Audit Committee has acted independently and that there is no evidence of fraud or misconduct on the part of management or the Board of Directors. The Committee is recommending a series of remedial measures for the Company to strengthen its internal governance and oversight functions, and the Committee expects to deliver the full report on the completed work this week or next. The Special Committee has other work that is ongoing but expects it to be completed soon.
” Super Micro also announced Tuesday that it continues to work diligently on filing its Form 10-K for its fiscal year ended June 30, but “remains unable at this time to predict” when it will be filed. Super Micro hasn’t filed financial results with the SEC since May. The Form 10-K was due on Aug.
29. Super Micro received a notification from the Nasdaq stating that it was not in compliance with timely filing requirements on Sept. 20.
Super Micro said it filed an extension and has 60 days from the date of notice to regain compliance. If a plan is submitted and accepted by that time, the company could be granted up to 180 days to regain compliance. Super Micro said it plans to take all necessary steps to achieve compliance as soon as possible.
Super Micro’s management team will further discuss the company’s preliminary results and business update on a call with analysts and investors at 5 p.m. ET.
SMCI Price Action: Super Micro shares were down 13.39% in after-hours, trading at $24.09 at publication Tuesday, per Benzinga Pro .
Read Next: Super Micro Computer Posts Q1 Earnings: Are Delisting Fears Here To Stay Or Can The Stock Rebound? Photo: Shutterstock. © 2024 Benzinga.com.
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