After significant financial filing delays in 2023, Urban One hasn’t quite shaken off the leftover slowdown. The broadcaster helmed by Alfred Liggins has announced a delay in submitting its Annual Report on Form 10-K for the fiscal year ending December 31, 2023, to the Securities and Exchange Commission.
The delay is attributed to the need for additional time to gather and review necessary documentation to complete the Form 10-K and allow for the completion of audits by the Company’s independent accounting firm, Ernst & Young.
Urban One successfully warded off a Nasdaq delisting in January, but this new development could cause an issue.
The concern stemmed from a violation of Nasdaq’s Periodic Filing Rule, triggered by an accounting error with BDO. After switching to Ernst & Young in July, Urban One submitted its overdue Quarterly Report for the quarter ending September 30, 2023, on December 22, resolving the critical issues.
Despite this correction, Urban One remains under a Mandatory Panel Monitor by Nasdaq until December 29 to ensure continued adherence to the filing rule, and any failure to comply during this period could lead to immediate delisting risks, without the chance for presenting a new compliance plan or a cure period.
The company would then have to appeal directly to the original Hearing Panel or request a new panel for a hearing.
Urban One says it is actively working to file its final 2023 report as soon as possible but has confirmed it would not meet the original March 15 deadline.
The broadcaster reassures that there will be no revisions to its previously audited financial statements and anticipates the financial results for the fourth quarter and the full fiscal year of 2023 will align with the financial guidance provided during its third-quarter earnings call, indicating no material deviations.
