XIAMEN, China - Qudian Inc . (NYSE: NYSE:QD), a technology company focused on consumer credit solutions, has announced the appointment of BDO China Shu Lun Pan Certified Public Accountants LLP as its new independent registered public accounting firm, effective today. The appointment follows the company's decision to replace Ernst & Young Hua Ming LLP (EY), which had previously served as its auditor.
The company's board and audit committee approved the change, which was not due to any disagreements with EY on accounting practices, financial disclosures, or auditing procedures. EY's audits for the fiscal years ending December 31, 2022, and 2023, did not contain any adverse opinions or qualifications related to uncertainties, audit scope, or accounting principles.
Throughout the past two fiscal years and the interim period leading up to BDO's engagement, Qudian reports no disagreements or reportable events with EY as defined by SEC regulations. Similarly, the company did not consult with BDO on any accounting principles or auditing opinions that would influence its financial statements, nor were there any disagreements or reportable events with BDO during this period.
Qudian is coordinating with both EY and BDO to ensure a smooth transition. The company has expressed its gratitude to EY for its professional service over the past years.
This change comes as Qudian continues to explore innovative logistics services to meet consumer demands in e-commerce, building upon its technological capabilities. The information regarding the auditor change is based on a press release statement from Qudian Inc.
In other recent news, Qudian Inc., a finance services company based in China, has announced its Q1 2024 financial results. The company disclosed its unaudited financial results in a Form 6-K filing with the Securities and Exchange Commission, maintaining business activities in line with previous quarters. However, the specific details of the financial results were not included in the provided excerpt.
The report was signed by Min Luo, the Chairman and Chief Executive Officer of Qudian Inc., ensuring the company's compliance with the Securities Exchange Act of 1934. The company, listed under the SEC file number 001-38230, will continue to file annual reports under the SEC Form 20-F, designated for foreign private issuers.
While the financial results' impact on Qudian Inc.'s stock and the broader financial market cannot be assessed without specific figures, these are the latest developments. Investors and interested parties are advised to consult the full 6-K filing for a comprehensive understanding of Qudian Inc.'s financial performance. This announcement is part of Qudian Inc.'s regular reporting schedule and does not necessarily indicate any significant change in the company's financial health or operations.
InvestingPro Insights
As Qudian Inc. (NYSE: QD) embarks on a new chapter with BDO China Shu Lun Pan Certified Public Accountants LLP, it's important for investors to consider the company's financial health and market performance. According to InvestingPro data, Qudian has a market capitalization of $331.46 million. Despite challenges, the company has shown a significant quarterly revenue growth of 155.5% in Q1 2024, highlighting potential in its innovative approaches to e-commerce logistics.
InvestingPro Tips suggest that analysts are optimistic about sales growth in the current year for Qudian. This aligns with the company's strategic moves to adapt and thrive in the consumer credit solutions space. Additionally, Qudian is trading at a low Price / Book multiple of 0.22, which might appeal to value investors looking for potentially undervalued stocks. However, it's worth noting that the company has struggled with weak gross profit margins, at -20.42%, and analysts are not expecting profitability this year.
For those considering an investment in Qudian, it's beneficial to explore the comprehensive analysis available through InvestingPro. With additional insights and tips, including how liquid assets compare to short-term obligations and the expected net income trajectory, investors can make more informed decisions. There are currently 10 InvestingPro Tips available for Qudian Inc., which can be accessed at https://www.investing.com/pro/QD.
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