IRVINE, Calif. - WM Technology, Inc. (NASDAQ: MAPS), the parent company of Weedmaps, is grappling with Nasdaq compliance after failing to file its required financial reports on time. The technology firm received a delinquency notification from Nasdaq on May 14, 2024, for not submitting its quarterly report for the period ending March 31, 2024, as well as its annual report for the year ending December 31, 2023.
The Nasdaq Listing Rule 5250(c)(1) mandates that listed companies must file periodic financial reports promptly with the Securities and Exchange Commission (SEC). This latest notice does not immediately affect the company's listing on the Nasdaq stock exchange.
WM Technology attributed the delay in filing its quarterly report to a recent change in executive finance leadership, which has also impeded the completion of its annual report. The company had previously informed the market of its late filing through a Form 12b-25 filed on May 13, 2024.
In an earlier notice from Nasdaq on April 8, 2024, the company was given until June 3, 2024, to present a plan to regain compliance with the listing rule. Nasdaq may grant an extension of up to 180 days from the annual report's original due date, or until September 30, 2024, to meet the requirements.
WM Technology is working diligently to finalize its financial statements and intends to file the annual report promptly, hoping to do so before the deadline to submit the compliance plan. The filing of the quarterly report will follow the completion of the annual report.
Founded in 2008, WM Technology operates Weedmaps, a well-known cannabis marketplace, and provides eCommerce and compliance software solutions for the cannabis industry. The company advocates for full U.S. legalization, social equity, and education about cannabis through partnerships and experts.
InvestingPro Insights
In the midst of WM Technology's (NASDAQ: MAPS) challenges with Nasdaq compliance, investors are closely monitoring the company's financial health and market performance. According to InvestingPro data, WM Technology has a market capitalization of $164.33 million, reflecting its current valuation in the market. Despite the company's impressive gross profit margin of 93.22% for the last twelve months as of Q1 2023, it's important to note that analysts have observed a revenue decline of 11.14% during the same period.
An InvestingPro Tip indicates that analysts have revised their earnings upwards for the upcoming period, suggesting a potential improvement in the company's financial outlook. Furthermore, the InvestingPro Tip that analysts predict WM Technology will be profitable this year provides a glimmer of optimism for investors concerned about the company's current lack of profitability and recent price movements.
While the company is trading at a high Price / Book multiple of 8.24, indicating a premium compared to its book value, it's also worth considering the large price uptick over the last six months, with a 39.24% total return. This suggests that despite the recent compliance issues, investor sentiment may remain positive based on the company's market performance and future prospects.
For investors seeking a more comprehensive analysis, there are additional InvestingPro Tips available on the platform. By using the coupon code PRONEWS24, readers can access these insights with an additional 10% off a yearly or biyearly Pro and Pro+ subscription. These tips can provide a deeper understanding of WM Technology's financial position and market potential, aiding investors in making informed decisions.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.