CHICAGO - Cosmos Health Inc. (NASDAQ:COSM), a global healthcare group, announced on Thursday that it has been notified by The Nasdaq Stock Market LLC of non-compliance with its listing rules due to the delayed filing of its annual report.
The notification, received on April 17, 2024, indicated that Cosmos Health had not filed its Annual Report on Form 10-K for the fiscal year ending December 31, 2023. As a result, the company does not meet Nasdaq's Listing Rule 5250(c)(1), which mandates timely submission of periodic financial reports.
Despite the non-compliance status, the trading of Cosmos Health shares on Nasdaq remains unaffected at this time. Still, an indicator of the company's non-compliance status will be disseminated over Nasdaq's market data network.
Cosmos Health has been given 60 days to submit a plan to regain compliance. If the plan is accepted by Nasdaq, the company may be granted an extension of up to 180 days from the original filing deadline to meet the requirements. Should the plan be rejected, Cosmos Health will have the opportunity to appeal the decision before a Nasdaq hearings panel.
Greg Siokas, CEO of Cosmos Health, expressed the company's commitment to addressing the issue, stating, "Our team is diligently working towards regaining compliance with the Nasdaq Listing Rules. We expect to achieve compliance in short order."
Cosmos Health, founded in 2009 and headquartered in Nevada, owns a range of proprietary pharmaceutical and nutraceutical brands. It operates through its subsidiary Cana Laboratories S.A. in the European Union, which is licensed under European Good Manufacturing Practices and certified by the European Medicines Agency.
The company also distributes pharmaceuticals and parapharmaceuticals in Greece and the UK and has expanded into the telehealth sector with the acquisition of ZipDoctor, Inc.
This announcement is based on a press release statement from Cosmos Health Inc. and does not include any speculative information regarding the company's future prospects or potential impact on the industry.
InvestingPro Insights
In light of Cosmos Health Inc.'s recent notification of non-compliance with Nasdaq's listing rules, it's important for investors to consider the company's financial health and market performance. According to real-time data from InvestingPro, Cosmos Health has a market capitalization of $10.24 million, reflecting the market's current valuation of the company.
The negative price-to-earnings (P/E) ratios, both standard and adjusted for the last twelve months as of Q3 2023, stand at -0.189 and -0.21 respectively, suggesting that the company has been unprofitable over this period.
Moreover, an InvestingPro Tip highlights that Cosmos Health operates with a significant debt burden, which may be a concern for investors considering the company's ability to manage its financial obligations amidst the compliance issue.
The stock's recent performance shows a 1-week total price return of -13.83%, indicating a sharp decline that could reflect investor sentiment following the announcement.
InvestingPro also provides further insights, noting that Cosmos Health's stock is currently trading near its 52-week low and has been identified as having a volatile price movement. This could be relevant for investors looking for potential entry points or considering the risk associated with the stock's fluctuations.
For those interested in a deeper dive into Cosmos Health's financial metrics and performance indicators, InvestingPro offers additional tips, such as the company's cash burn rate and gross profit margins. There are 16 more InvestingPro Tips available for Cosmos Health, which can be accessed by visiting https://www.investing.com/pro/COSM. To enrich your investment analysis, use the coupon code PRONEWS24 to get an additional 10% off a yearly or biyearly Pro and Pro+ subscription.
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