Shares of Vinco Ventures (NASDAQ:BBIG) stock are in focus after the company announced that it had received a staff determination notification from the Nasdaq exchange. The staff determination was received because Vinco failed to file its Form 10-K, or annual report, for the period ending Dec. 31, 2022, on time.
The due dates for a Form 10-K vary based on what type of filer a company is. Vinco classifies itself as a non-accelerated filer and a smaller reporting company, which means that its Form 10-K was due on March 31.
Still, Vinco has reassured shareholders that it “continues to remain confident” that its 10-K will be filed by June 2. The company must submit updated information to the Nasdaq hearings panel with its updated plans to regain compliance no later than today, April 25.
BBIG Stock: Vinco Fails to File Form 10-K on Time
The filing of a 10-K is extremely important for shareholders, as it informs them of a company’s progress and future plans for the year. Unlike the Form 10-Q, or quarterly report, the 10-K contains audited statements. Vinco’s last 10-Q, which was for the quarter ending Sept. 30, showed revenue of $5.56 million compared to $229,004 a year ago. However, total costs of revenue was $6.79 million, which resulted in a gross profit deficit of $1.23 million.
Another point of concern is the company’s operating expenses, which totaled $171.88 million. Impairment expenses accounted for a large percentage of operating expense, tallying in at $152.41 million. These two figures resulted in an operating loss of $173.12 million.
For the quarter, net loss per share improved to a loss of 40 cents compared to a loss of $7.59 a year ago. At the same time, the weighted average number of common shares outstanding, both basic and diluted, increased to 245.17 million from 71.51 million.
Meanwhile, Vinco will hold its annual meeting of stockholders on April 27. Shareholders will vote on a total of 12 proposals, including a proposal to increase authorized shares to 750 million from 290 million. In addition, shareholders will be able to vote on a reverse stock split in a ratio between 1-for-2 and 1-for-20.
On the date of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
