LAFAYETTE, Colo. - urban-gro, Inc. (NASDAQ: UGRO), a firm specializing in professional services and design-build solutions for the Controlled Environment Agriculture (CEA) and various commercial sectors, has announced the selection of Sadler, Gibb & Associates LLC as its new independent registered public accounting firm. This decision follows a comprehensive evaluation process and has received the approval of the company's Board of Directors and Audit Committee.
The appointment of Sadler, Gibb & Associates comes as urban-gro continues to establish itself as a significant player in the design and construction management arena for controlled environment agriculture, a sector involving the production of plants in controlled settings. This industry includes, but is not limited to, indoor farming, greenhouses, and vertical farming. urban-gro's services are also extended to industrial, healthcare, and other commercial projects.
urban-gro's engagement with Sadler, Gibb & Associates reflects the company's commitment to maintaining robust accounting and financial reporting practices. The firm's choice of an auditor is crucial for investor confidence, ensuring that the financial statements and disclosures are impartially reviewed and comply with regulatory requirements.
The company, with its headquarters in Lafayette, Colorado, operates across North America and Europe, emphasizing innovation, collaboration, and creativity to deliver on client expectations. Their work ranges from architectural and engineering services to the actual construction management of projects, encapsulating the company slogan "Your Vision - Built."
The information about the new auditor appointment is based on a press release statement from urban-gro. While the release provides insight into the company's business operations and areas of expertise, the key news here is the change in the company's accounting oversight, which is an essential aspect for current and potential investors.
urban-gro, traded on NASDAQ under the ticker symbol UGRO, has not disclosed any further details regarding the transition or the reasons for the change in their accounting firm. The company's focus on the CEA sector places it within a niche yet growing market that has been gaining traction due to increased interest in sustainable and controlled food production methods.
InvestingPro Insights
As urban-gro, Inc. (NASDAQ: UGRO) solidifies its position within the Controlled Environment Agriculture (CEA) sector and undertakes significant financial oversight changes, investors may be keen to understand how the company's financial health and market performance align with these strategic moves. The following insights are derived from real-time data provided by InvestingPro, offering a snapshot of urban-gro's current financial status and market behavior.
The market capitalization of urban-gro stands at 19.22 million USD, reflecting the size of the company within the stock market. Despite the growth potential in the CEA sector, urban-gro's Price to Earnings (P/E) ratio is currently negative at -1.18, indicating that the company is not profitable at this point. Moreover, the adjusted P/E ratio for the last twelve months as of Q1 2024 is also negative at -1.36, suggesting that profitability remains a challenge.
Investors should note that urban-gro's revenue has grown by 12.08% over the last twelve months as of Q1 2024, showing a positive trend in the company's ability to generate sales. However, it's important to consider that the company's stock has experienced significant price volatility, as indicated by a 25.36% drop in the one-month price total return and a 31.28% decrease in the three-month price total return. On a more positive note, the six-month price total return has seen a 38.05% uptick, suggesting some recovery in the stock's performance.
Two InvestingPro Tips for urban-gro highlight the company's financial challenges: urban-gro is quickly burning through cash and suffers from weak gross profit margins, which are at 15.03%. Additionally, analysts do not anticipate the company will be profitable this year, reinforcing the need for prospective investors to carefully weigh these factors.
For those looking to delve deeper into urban-gro's financials and stock performance, InvestingPro offers additional insights. There are currently 12 more InvestingPro Tips available, which can be accessed by visiting https://www.investing.com/pro/UGRO. For readers interested in an annual or biannual Pro and Pro+ subscription, use the coupon code PRONEWS24 to receive an additional 10% off.
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