After pre-scheduling the release date for its fourth quarter financial results, Sundial Growers (NASDAQ: SNDL) last night stuck its tail between its legs. The company indicated late yesterday that it would not be filing its Q4 results today, and instead they will be delayed by up to two weeks.
Sundial had previously pre-scheduled the results to be released after market close today. Instead, they are now expected to be filed by April 14.
The delay in filing is said to be a result of the additional work required to meet SOX compliance. 2021 marks the first year in which the company must have what is referred to as an auditor attestation report under such compliance, which requires “a significant amount of additional work and in-depth procedures” from the company and its auditor as a result.
Evidently, when scheduling the release of its earnings previously the company was either unaware of such work remaining, or unaware of the need to meet such compliance. The company in turn is placing blame with its auditor, stating that the auditor “will be unable to issue an audit opinion before the end of March 2022.”
Sundial has filed for a management cease trade order as a result.
In place of filing the results, the company instead stated that its expects to have record adjusted EBITDA for the full year of 2021, with no other commentary provided.
The company also indicated that its purchase of Alcanna Inc (TSX: CLIQ) is now expected to close by March 31, 2022.
Sundial Growers last traded at $0.78 on the Nasdaq.
Information for this briefing was found via Edgar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
