HOUSTON - Direct Digital Holdings, Inc. (Nasdaq: DRCT), an advertising technology company, disclosed today that it received a non-compliance notice from Nasdaq on Monday, April 17, 2024, due to a delay in filing its Annual Report for the fiscal year ended December 31, 2023.
The notice, which is a standard procedure when a listed company fails to meet Nasdaq's filing requirements, does not immediately affect the trading of the company's stock, which will continue under the ticker "DRCT."
The Nasdaq Listing Rule 5250(c)(1) mandates timely filing of financial reports as a condition for continued listing. Direct Digital Holdings has been given a 60-day period until June 16, 2024, to submit a plan to regain compliance.
If the plan is accepted, Nasdaq may grant an extension of up to 180 days from the original filing deadline, or until October 14, 2024, for the company to file its overdue Annual Report.
The company is actively working to complete the audit of its financial statements and aims to file the Annual Report as soon as possible to regain compliance with the Nasdaq Listing Rule.
Direct Digital Holdings operates through its subsidiaries, including Colossus SSP, Huddled Masses, and Orange 142, providing advertising platforms for both the sell-side and buy-side. The company's technology manages a substantial volume of clients and impressions across various media channels each month.
The press release also contains forward-looking statements, which involve known and unknown risks, uncertainties, and assumptions that could cause actual results to differ materially from those projected.
These statements include potential risks such as the company's ability to manage growth, competition within the digital advertising industry, and the impact of legislative and regulatory changes on its business practices.
This news article is based on a press release statement from Direct Digital Holdings.
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