Inspired Entertainment’s failure to publish its third-quarter 2023 results has threatened the company’s listing on the NASDAQ exchange.
Authorities from the exchange have given Inspired 60 days to submit its results, after the North American igaming provider’s Form 10-Q remains unsubmitted to the Security and Exchange Commission.
While the lack of submission signals non-compliance with the NASDAQ’s regulations, Inspired will have the option to request additional time for submission and to resolve the issue of its Q3 results.
The firm has until January 22 to publish its Q3 performance, with the option to extend this date by an additional 180 days to May 7 if the company publishes a plan deemed acceptable by the exchange.
If Inspired fails to meet exchange’s conditions, and the company fails to hand its financial results for 2023’s third quarter, the igaming provider risks being removed from the NASDAQ altogether.
Earlier this month, the group noted that it needed an extension to publish its Q3 results following an audit from KPMG that identified accounting errors with US GAAP within the results.
Inspired statement read: “The errors relate primarily to the application of the relevant accounting standards to projects, including the timing of capitalization with respect to software development projects and the nature of costs eligible for capitalization.
“The Company is currently undertaking a review of other financial statement line items and related accounting policies to ensure US GAAP compliance. The Company is currently unable to determine whether this review will result in further adjustments being required.
“The Company does not believe that the foregoing changes will have any impact on the Company’s cash position or overall business plan.
“Although the Company cannot at this time estimate when it will file the amended reports, it is diligently pursuing completion of the restatement and intends to make such filings as soon as reasonably practicable.”
In light of this information, the igaming provider warned investors that its financial results for the end of 2022 can no longer be considered totally accurate, with the same going for its financial statement for 2021.
