- Company Works to File its Delinquent Quarterly Reports for 2023 as it Continues its Business Transition Plan Including Cost-Cutting and Streamlining its Corporate Structure -
TUCSON, Ariz., Dec. 7, 2023 /PRNewswire/ -- COMSovereign Holding Corp. (NASDAQ: COMS and COMSP) ("COMSovereign" or the "Company"), a U.S.-based developer of 4G LTE Advanced and 5G communication systems and solutions, announced the filing of its annual report on Form 10-K for the year ended December 31, 2022.
"When I joined the Company a year ago, we developed and implemented a comprehensive business transition designed to address the significant operational and accounting challenges COMSovereign faced. Foremost among these challenges was a complex portfolio of 16 operating units, each of which required extensive, individual audits and appraisal of goodwill and intangibles. That is why the filing of the 10-K is just one of the many accomplishments our team has achieved as we work to move the business forward," said David Knight, CEO and President of COMSovereign. "Importantly, in 2023, we have successfully transformed the business, creating a single, focused, and unified reporting entity that is better able to support our core wireless connectivity and aerial platform businesses. It is this integrated and streamlined focus which will be a key enabler for us as we continue serving the needs of our customers and partners today and into the future," stated David Knight.
Business Transition Achievements and Recent Highlights
The Company has successfully completed a number of activities under its business transition plan including:
- Continued product sales and support of new and existing customers and expanded is partner network, including the recent deployment of Fastback's Intelligent Backhaul Radios Deployed at the nation's leading travel stop network and new a reseller agreement with SIFF.IO to provide enhanced wireless network monitoring and compliance software-as-a-service capability.
- The sale and disposition of certain non-core assets, streamlining and re-focusing its operations, reducing annual G&A and overhead expenses including a 75% reduction in headcount.
- Greatly simplified the Company's operating structure, significantly eliminating complexities and inefficiencies, successfully consolidating the business into a single reporting entity in 2023, eliminating many of the challenges which caused the delayed in its financial reporting.
"With the filing of our 10-K behind us, we are committed to a goal of completing our outstanding quarterly reports for the first, second and third quarters of 2023 as soon as possible as we continue our work to ultimately return the Company to a current-filer status. As we approach the start of 2024, our team continues to focus on supporting the needs of our customers and on the ways we can best maximize the value of our product portfolio, technologies, and intellectual property. We anticipate updating our shareholders on our planned developments early next year as we position the Company for continued progress," added Mr. Knight.
As announced on October 20, 2023, the Company received notice from the Nasdaq Listing Qualifications Staff (the "Staff") indicating that the Staff had determined to delist the Company's securities from Nasdaq unless the Company timely requests a hearing before the Nasdaq Hearings Panel (the "Panel") for its non-compliance with the filing requirement set forth in Nasdaq Listing Rule 5250(c)(1) because it had not yet filed its Form 10-K for the year ended December 31, 2022, and Forms 10-Q for the periods ended March 31, 2023, and June 30, 2023. The Panel has granted the Company's request for a hearing at which it will present its plan to evidence compliance with Nasdaq's filing requirements and other matters. The Company is currently addressing its non-compliance with Nasdaq's timely quarterly filings due to the delayed completion of its Form 10-K Annual Report.
For more information about COMSovereign, please visit www.COMSovereign.com and connect with us on Facebook and Twitter.
About COMSovereign Holding Corp.
COMSovereign Holding Corp. (Nasdaq: COMS) has assembled a portfolio of communications technology companies that enhance connectivity across the entire data transmission spectrum. Through strategic acquisitions and organic research and development efforts, COMSovereign has become a U.S.-based communications provider able to provide 4G LTE Advanced and 5G telecom solutions to network operators and enterprises. For more information about COMSovereign, please visit www.COMSovereign.com.
Forward-Looking Statements
Certain statements in this press release that are not historical facts are forward-looking statements that reflect management's current expectations, assumptions, and estimates of future performance and economic conditions, and involve risks and uncertainties that could cause actual results to differ materially from those anticipated by the statements made herein. Forward-looking statements are generally identifiable by the use of forward-looking terminology such as "believe," "expects," "may," "looks to," "will," "should," "plan," "intend," "on condition," "target," "see," "potential," "estimates," "preliminary," or "anticipates" or the negative thereof or comparable terminology, or by discussion of strategy or goals or other future events, circumstances, or effects. Further information relating to factors that may impact the Company's results and forward-looking statements are disclosed in the Company's filings with the SEC. The forward-looking statements contained in this press release are made as of the date of this press release, and the Company disclaims any intention or obligation, other than imposed by law, to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.
Contacts:
Steve Gersten, Director of Investor Relations
COMSovereign Holding Corp.
813-334-9745
investors@comsovereign.com
and
Media Relations for COMSovereign Holding Corp.:
Michael Glickman
MWGCO, Inc.
917-397-2272
mike@mwgco.net
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SOURCE COMSovereign Holding Corp.
