B. Riley Financial receives Nasdaq delinquency notice

LOS ANGELES - B. Riley Financial, Inc. (NASDAQ:RILY), a diversified financial services company trading at $3.12 per share, has been notified by Nasdaq of non-compliance with its listing rules due to a delay in filing its quarterly financial report. The company’s stock has experienced significant volatility, declining nearly 89% over the past year. According to InvestingPro analysis, the company’s current market capitalization stands at approximately $94.5 million, with its Fair Value assessment suggesting the stock is fairly valued at current levels. The expected delinquency notification, received on May 21, 2025, pertains to the company’s Form 10-Q for the quarter ended March 31, 2025, which has not been filed within the stipulated timeframe.

Nasdaq’s Listing Rule 5250(c)(1) mandates that listed entities submit all required periodic financial reports to the Securities and Exchange Commission (SEC) in a timely manner. Although this notification does not immediately affect B. Riley Financial’s listing on the Nasdaq stock exchange, the company must present a plan by June 2, 2025, to regain compliance. InvestingPro data reveals the company’s financial health score is currently rated as ’FAIR’, with particularly strong scores in cash flow and relative value metrics. Subscribers can access 8 additional key ProTips and comprehensive analysis through the platform’s detailed research reports. This plan is a follow-up to a previous notice regarding the company’s late Form 10-K filing for the period ending December 31, 2024.

If Nasdaq accepts B. Riley Financial’s compliance plan, the exchange may grant the company up to 180 calendar days from the original due date of the initial delinquent filing, or until September 29, 2025, to meet the listing requirements.

B. Riley Financial has indicated its intention to submit the required plan by the upcoming deadline. This development is part of the company’s ongoing financial reporting and compliance efforts.

B. Riley Financial provides a wide array of services, including investment banking, institutional brokerage, private wealth and investment management, and financial consulting, among others. The company also engages in senior secured loan underwriting and investment to benefit its shareholders. Despite recent challenges, the company maintains a strong current ratio of 4.17, indicating sufficient liquid assets to meet short-term obligations. Additionally, B. Riley has maintained dividend payments for 11 consecutive years, though its dividend has recently been reduced by 50%.

This announcement contains forward-looking statements, which are based on current management expectations and are subject to uncertainties and changes in circumstances. For deeper insights into B. Riley’s financial health and future prospects, investors can access comprehensive analysis and valuation metrics through InvestingPro, which offers exclusive access to over 1,400 detailed Pro Research Reports designed to transform complex financial data into actionable intelligence. B. Riley Financial has cautioned readers not to place undue reliance on these statements, which only reflect the company’s position as of the date of the press release.

The company’s performance and compliance with Nasdaq’s listing rules will continue to be monitored, and further updates will be provided in accordance with SEC regulations. This article is based on a press release statement from B. Riley Financial, Inc.

In other recent news, B. Riley Financial has announced a significant reduction in its debt by approximately $46 million through a private bond exchange agreement with an institutional investor. This transaction involved exchanging $139 million in outstanding Senior Notes for $93 million in newly issued 8.00% Senior Secured Second Lien Notes due January 1, 2028. The company also issued warrants for about 372,000 common shares, exercisable over a seven-year term. In a separate development, B. Riley Financial has appointed Scott Yessner as the new Chief Financial Officer, effective June 3, 2025, succeeding Phillip Ahn. Yessner has a strong background in finance, having previously led significant improvements in EBITDA and company valuations at other firms. Additionally, B. Riley Financial has received a delinquency notice from Nasdaq for the delayed submission of its annual report, which requires the company to submit a compliance plan by June 2, 2025. The company plans to file the overdue report before the Nasdaq deadline. These developments reflect B. Riley Financial’s ongoing efforts to strengthen its financial position and management team while addressing regulatory requirements.

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