Log in
Log in
Or log in with
GoogleGoogle
Twitter Twitter
Facebook Facebook
Apple Apple     
Sign up
Or log in with
GoogleGoogle
Twitter Twitter
Facebook Facebook
Apple Apple     

EXELA TECHNOLOGIES, INC.

(XELA)
  Report
Real-time Estimate Cboe BZX  -  10:22:23 2023-02-07 am EST
0.0690 USD   +4.55%
01/19Exela Technologies' Intermediate in Talks With Third-Party Liquidity Sources After Failing to Meet Semiannual Coupon Payments
MT
01/18Exela Technologies, Inc. : Other Events (form 8-K)
AQ
01/10Exela Technologies Signs Strategic Partnership with Quintes Global
CI
SummaryQuotesChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisionsFunds 
SummaryMost relevantAll NewsAnalyst Reco.Other languagesPress ReleasesOfficial PublicationsSector news

EXELA TECHNOLOGIES, INC. : Non-Reliance on Previous Financials, Audits or Interim Review (form 8-K)

11/14/2022 | 05:32pm EST

Item 4.02. Non-Reliance on Previously Issued Financial Statements or a Related Audit Report or Completed Interim Review.

Subsequent to the filing of its Annual Report on Form 10-K for the fiscal year ended December 31, 2021 (the "Original 10-K"), Exela Technologies, Inc. (the "Company") re-evaluated its application of ASC Subtopic 205-40, Presentation of Financial Statements-Going Concern ("ASC 205-40") as of March 16, 2022, the date of the Original 10-K. Under ASC 205-40, the Company has the responsibility to evaluate whether conditions and/or events raise substantial doubt about its ability to meet its obligations as they become due within one year after the date that the financial statements are issued. In re-performing this evaluation as of the date of the Original 10-K, the Company determined the need to take into account the potential impact of certain true-up guaranties that the Company had issued in connection with the Revolving Loan Exchange and Prepayment Agreement, dated March 7, 2022, that had not previously been taken into account in its assessment. If the Company had taken the true-up guaranties into account in addition to other existing factors, the Company may not have had sufficient liquidity under its financial model to fund payment of this true-up obligation in addition to its other commitments for the twelve months following the date of the Original 10-K.

Based on this evaluation, management has determined that if that contingent liability created by the true up guaranty were to settle within one year from March 16, 2022, there was substantial doubt about the Company's ability to continue as a going concern for the twelve months following the date of the Original 10-K, which determination should have been disclosed in the Company's previously issued audited financial statements included in the Original 10-K (the "audited financial statements").

As a result of the foregoing, on November 9, 2022, the audit committee of the Company's board of directors concluded, after discussion with the Company's management, that the audited financial statements included within the Original 10-K should be restated and should no longer be relied upon. As such, the Company intends to restate the audited financial statements and related notes in Amendment No. 2 to the Original 10-K, to be filed with the SEC (the "Amendment") to restate management's conclusion that substantial doubt exists and to include appropriate related disclosures and to reclassify certain long-term debt from noncurrent to current, as discussed below (the "Restatement").

The Amendment includes reissued audit reports from KPMG LLP ("KPMG"), the Company's independent registered public accounting firm, due to the Restatement and other limited related changes to Part II, Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations, and Part II, Item 9A. Controls and Procedures. As result of issuance of an amended audit report including a going concern explanatory paragraph, the Company determined that the amount owed under a credit facility which is no longer existing as of the date of this report would become current, and accordingly restated it from noncurrent to current classification in the restated balance sheet as of December 31, 2021. The above changes did not have an effect on retained earnings, or other components of equity or net assets of the Company and result from management's conclusion that substantial doubt exists and the amended audit reports issued by KPMG to reflect such conclusion.

The Company has discussed with KPMG the matters described herein.

The Amendment is being filed concurrently with this report.

                                       2

© Edgar Online, source Glimpses

All news about EXELA TECHNOLOGIES, INC.
01/19Exela Technologies' Intermediate in Talks With Third-Party Liquidity Sources After Fail..
MT
01/18Exela Technologies, Inc. : Other Events (form 8-K)
AQ
01/10Exela Technologies Signs Strategic Partnership with Quintes Global
CI
01/06Exela Technologies, Inc. : Notice of Delisting or Failure to Satisfy a Continued Listing R..
AQ
2022Exela Recognized as a Major Player in IDC MarketScape for U.S. RCM Service Solutions 20..
AQ
2022Transcript : Exela Technologies, Inc. - Special Call
CI
2022Exela Technologies : Announces Contract Renewal with Law Firm
PU
2022Wall Street Set to Open Sharply Higher on Lower-Than-Expected Wholesale Inflation
MT
2022US Futures Trend Higher in Premarket Ahead of Wholesale Inflation Data
MT
2022Top Premarket Decliners
MT
More news
Analyst Recommendations on EXELA TECHNOLOGIES, INC.
More recommendations
Financials (USD)
Sales 2022 1 133 M - -
Net income 2022 -216 M - -
Net Debt 2022 965 M - -
P/E ratio 2022 -0,03x
Yield 2022 -
Capitalization 8,07 M 8,07 M -
EV / Sales 2022 0,86x
EV / Sales 2023 0,82x
Nbr of Employees 16 500
Free-Float 99,7%
Chart EXELA TECHNOLOGIES, INC.
Duration : Period :
Exela Technologies, Inc. Technical Analysis Chart | MarketScreener
Full-screen chart
Technical analysis trends EXELA TECHNOLOGIES, INC.
Short TermMid-TermLong Term
TrendsBearishBearishBearish
Income Statement Evolution
Consensus
Sell
Buy
Mean consensus OUTPERFORM
Number of Analysts 2
Last Close Price 0,07 $
Average target price 2,50 $
Spread / Average Target 3 688%
EPS Revisions
Managers and Directors
Shrikant Sortur Chief Financial Officer
Parvinder S. Chadha Executive Chairman
Sriram Ramanathan Chief Technology officer
John H. Rexford Independent Director
Martin P. Akins Independent Director
Sector and Competitors