Super Micro Computer, Inc. (SMCI.US) submits financial report before deadline, stock price surges after hours.

Super Micro Computer, Inc. (SMCI.US) rose more than 25% in after-hours trading, after the company submitted financial reports that complied with NASDAQ regulations, easing concerns about the server manufacturer's potential delisting. The company reported its performance for the 2024 fiscal year in a filing submitted to the Securities and Exchange Commission (SEC) on Tuesday. Additionally, the company also submitted quarterly financial statements for the periods ending on September 30 and December 31. Super Micro Computer, Inc. stated, "While we have submitted all delinquent reports by February 25, 2025, we anticipate continued risks and challenges related to our previous failures to comply with reporting obligations to the SEC." The stock closed at $45.54 on Tuesday and surged to a high of $56.93 in after-hours trading. Prior to this, as the deadline approached, investors became increasingly anxious, and the stock fell 24% between February 19 and Tuesday's close. Super Micro Computer, Inc. failed to submit its annual financial report for the period ending on June 30 by the deadline in August 2024, in an attempt to avoid delisting. The company's auditing firm, Ernst & Young LLP, resigned in October of last year, citing concerns about corporate governance and transparency. Following a report by the short-selling firm Hindenburg Research, Super Micro Computer, Inc. is also facing an investigation by the U.S. Department of Justice. NASDAQ has extended the deadline for Super Micro Computer, Inc.'s delayed filings and compliance with listing rules until Tuesday. In December of last year, Super Micro Computer, Inc. stated that an independent review of its business found no evidence of misconduct but promised to appoint a new Chief Financial Officer and other executives. In a separate statement from the filing, Super Micro Computer, Inc. stated, "We have received a letter from NASDAQ staff confirming that the company is now back in compliance with filing requirements, and the matter is now closed." In its fiscal year report, Super Micro Computer, Inc. concluded that its internal controls over financial reporting were ineffective and had initiated remedial measures. However, the company warned that it may not be able to "remediate the material weaknesses in financial reporting internal controls." Super Micro also emphasized potential risks, including the inability to "regain lost business or commercial opportunities due to ongoing reputational damage." Earlier this month, CEO Charles Liang stated that there have been some negative impacts on the business due to the delay in filings. Super Micro Computer, Inc. has been releasing "business updates" in recent quarters with preliminary sales and profit results, instead of audited financial information. Earlier this month, the company announced sales expectations for the fiscal year ending in June 2026, far exceeding expectations at $40 billion.