Supermicro has reported the findings of an independent audit committee, indicating no evidence of misconduct found in their operations, in line with the previous report issued last month.
Previously, Supermicro faced issues when their auditors from Ernst & Young requested to resign citing transparency concerns, leading to a delay in reporting audited financial results to the SEC. Subsequently, BDO USA was appointed as the new auditor, allowing the company to continue trading in the NASDAQ market.
The audit committee reviewed various matters such as rehiring employees who had previously resigned amid investigations in 2017, sales record keeping especially towards the end of the quarter, exports to embargoed countries, and other related issues, all of which showed no transparency concerns.
The committee recommended the prompt appointment of a new CFO and additional financial management personnel to enhance oversight and support the company’s rapid growth.
Following this audit report, Supermicro’s stock price surged by nearly 30%.
Source: Supermicro and CNBC
TLDR: Supermicro’s independent audit committee found no evidence of misconduct, prompting a surge in stock price by 30%.
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