HOBOKEN, N.J. - Quantum (NASDAQ:QMCO) Computing Inc. (Nasdaq: QUBT), a company specializing in integrated photonics and quantum optics technology, disclosed today the filing of its amended annual report on Form 10-K/A for the years ended December 31, 2023, and 2022. The restatement, filed with the U.S. Securities and Exchange Commission, follows a change in the company's auditor and includes several non-cash adjustments to its financial statements.
The reaudit was initiated after the company's previous auditor, BF Borgers CPA PC, was suspended by the SEC on May 3, 2024. Subsequently, on June 6, 2024, BPM LLP was appointed as the new independent registered public accounting firm for Quantum Computing Inc.
The adjustments made in the restated financials primarily involve corrections to purchase accounting from the June 2022 merger with QPhoton, LLC, the accounting for Series A Preferred dividends and warrants, stock-based compensation expenses, and the accounting for debt and equity issuance costs. Additionally, the company revised its approach to reserving collection risk for notes receivable and adjusted the recognition period for certain operating expenditures.
According to the restatement, there were no material impacts on the company's cash balances or operating cash flows. The detailed tables in the filing revealed changes in revenue, gross profit, operating expenses, and other income and expenses, resulting in an amended net loss and loss per share for the years 2022 and 2023. The restatement also showed adjustments in total assets, total liabilities, and total stockholders' equity.
Quantum Computing Inc. plans to file its Form 10-Qs for the quarters ending March 31, 2024, and June 30, 2024, to regain compliance with Nasdaq Listing Rule 5250(c)(1) as soon as possible.
This announcement is based on a press release statement from Quantum Computing Inc. and is intended to provide investors with an update on the company's financial restatement process. The company's products are designed to deliver quantum computing capabilities for various applications, including high-performance computing, artificial intelligence, cybersecurity, and remote sensing.
In other recent news, Quantum Computing Inc. is facing potential delisting from the Nasdaq Stock Market due to non-compliance with a listing rule, resulting from a delay in submitting its quarterly financial report. The technology firm has until December 16, 2024, to file the required documents and regain compliance, following a change in its accounting oversight with BPM LLP appointed as its new independent registered public accounting firm.
In other developments, Quantum Computing Inc. has added Dr. Javad Shabani, an Associate Professor of Physics at New York University, to its Board of Directors, a move expected to enhance the company's technological advancement efforts. The company also recently sold its advanced quantum LiDAR prototype to Johns Hopkins University for testing and evaluation, marking a significant step in underwater LiDAR technology.
On the financial front, Ascendiant Capital has adjusted its outlook on Quantum Computing Inc., reducing the 12-month price target to $8.25 from the previous $8.75, while maintaining a Buy rating on the company's stock. These are among the recent developments shaping the trajectory of Quantum Computing Inc.
InvestingPro Insights
Quantum Computing Inc. (Nasdaq: QUBT) has been actively adjusting its financial statements, reflecting a commitment to transparency and regulatory compliance. To provide investors with a clearer picture of the company's financial health and market performance, here are some key insights based on real-time data from InvestingPro:
InvestingPro Data:
- The company's market capitalization stands at $61.71 million, indicating its size within the technology sector.
- Revenue for the last twelve months as of Q1 2024 is reported at $0.26 million, with a significant growth of 17.74%.
- Despite the growth in revenue, the company's operating income margin for the same period is notably negative at -10064.32%, highlighting challenges in achieving profitability.
InvestingPro Tips:
- Analysts do not anticipate Quantum Computing Inc. to be profitable this year, which aligns with the reported negative operating income margin.
- The stock's price movements have been quite volatile, a factor that investors should consider when evaluating the risk associated with this investment.
For investors seeking a deeper dive into Quantum Computing Inc.'s financials and market performance, InvestingPro offers additional tips. There are currently 12 more tips available on InvestingPro that could provide further insights into the company's valuation, cash flow, and industry positioning. These tips can be accessed at https://www.investing.com/pro/QUBT and may be particularly valuable for those considering an investment in the company or monitoring its progress post-restatement.
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