(Bloomberg) — Super Micro Computer Inc. said Nasdaq Inc. has given the company additional time to comply with listing rules, reducing the short-term risk that the embattled server maker could be delisted from the stock exchange.
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Super Micro said it received a letter from Nasdaq on Friday giving the company until Feb. 25 to file its financial report for the fiscal year ending June 30, as well as its quarterly earnings report for the period ending Sept. 30 , “and any other required records.”
It’s been a tumultuous year for Super Micro. The maker of high-performance servers missed the deadline in August to file its annual financial report and its accountant, Ernst & Young LLP, resigned in October over concerns about the company’s governance and transparency. Super Micro is also facing a U.S. Department of Justice investigation following a damaging report from short seller Hindenburg Research.
Shares rose as much as 13% in extended trading Friday after closing at $43.93 in New York. The stock hit a high of $118.80 in March on investor enthusiasm that Super Micro would benefit from selling its servers to power artificial intelligence workloads. But shares fell to a low of $18.01 due to accounting issues, Ernst & Young’s resignation and the risk of delisting.
The extension “could give the company the necessary time to file its 10-K and 10-Q reports before the deadline,” wrote Woo Jin Ho, an analyst at Bloomberg Intelligence.
In November, Super Micro appointed BDO USA as its independent auditor and submitted a plan to comply with Nasdaq rules. Earlier this week, Super Micro said an independent review of its operations found no evidence of wrongdoing, but recommended the appointment of new top financial and legal leaders.
Super Micro said in a statement Friday that it plans to file financial documents before the Feb. 25 deadline.
(Updates with stock price reaction in fourth paragraph.)
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