Farmmi regains compliance with NASDAQ listing standards

LISHUI, China - Farmmi, Inc. (NASDAQ: FAMI), a supplier of agricultural products, including edible mushrooms, announced today that it has successfully regained compliance with the NASDAQ’s minimum bid price requirement. On April 2, 2025, NASDAQ confirmed that the company meets the Listing Rule 5550(a)(2), closing the compliance matter. The stock currently trades at $1.70, maintaining a market capitalization of $2.13 million, according to InvestingPro data.

Farmmi, established in 1998, has been publicly traded on the NASDAQ stock exchange. The company’s business includes the supply, processing, and retailing of various agricultural products, with a focus on edible mushrooms such as Shiitake and Mu Er. Farmmi distributes its products through established channels and maintains a presence in the agricultural sector, though InvestingPro data shows challenging fundamentals with a revenue decline of 41.89% and thin gross profit margins of 6.04%.

The NASDAQ Listing Rule 5550(a)(2) requires listed securities to maintain a minimum bid price of $1.00 per share, and companies failing to meet this standard are subject to delisting procedures. Farmmi’s compliance reinstatement indicates that its stock has maintained the minimum bid price over the required timeframe, averting the risk of delisting.

Investors and stakeholders have been following Farmmi’s performance, particularly in light of the challenges posed by the Covid-19 pandemic, which affected many businesses and consumers worldwide. The company has also acknowledged the potential risks and uncertainties that could impact its future results, including economic conditions and the ability to manage growth effectively.

The information regarding Farmmi’s regained compliance is based on a press release statement, which serves as the source for this update. Farmmi has not offered any additional comments on the matter beyond the confirmation of compliance.

The news of compliance with NASDAQ’s listing requirements provides a positive signal to the market about Farmmi’s financial stability and adherence to stock exchange regulations. It remains an essential aspect for the company’s continued ability to attract investors and access capital markets.

This development is part of Farmmi’s ongoing efforts to maintain its market position and pursue growth within the agricultural industry, despite the various challenges and uncertainties it faces. InvestingPro analysis reveals the company’s overall financial health score is weak at 1.62, with 18 additional key insights available to subscribers, including detailed valuation metrics and growth indicators.

In other recent news, Farmmi, Inc. has announced a significant expansion of its logistics and warehousing operations in the United States with the addition of a new facility on the East Coast. The warehouse, located in Somerset, New Jersey, is part of Farmmi’s strategic initiative to enhance its distribution network and streamline logistics for East Coast customers. This expansion aims to strengthen the company’s competitive position in the U.S. market and support its long-term strategic goals. Additionally, Farmmi has announced a 1-for-12 share consolidation, which was approved by shareholders and will take effect on March 17, 2025. This move is intended to help the company comply with Nasdaq Marketplace Rule 5550(a)(2) to maintain its listing. The consolidation will reduce the number of issued and outstanding ordinary shares from approximately 15 million to about 1.25 million. These recent developments reflect Farmmi’s efforts to optimize its operations and comply with regulatory requirements.

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