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NEW YORK - Graphjet Technology (NASDAQ:GTI), currently trading at $0.12 and down 86% year-to-date, announced Thursday that its shareholders approved a share consolidation proposal at an extraordinary general meeting, authorizing the board to implement a consolidation ratio ranging from 1-for-50 to 1-for-150.
The company’s board has selected a 1-for-60 ratio for the consolidation of issued and unissued ordinary shares. Graphjet plans to file Amended and Restated Memorandum and Articles of Association in the Cayman Islands once the effective date is determined, with implementation expected "as soon as practicable," according to the company. InvestingPro data shows the stock trading near its Fair Value, with a concerning Financial Health Score of 1.19, rated as ’Weak’.
"This approval shows the shareholders’ confidence in our plan to comply with the requirements of The Nasdaq Global Market," said Chris Lai, CEO of Graphjet Technology. "We are confident that the Company will be able to regain compliance in the near future."
Lai also noted that Graphjet filed its Form 10-Q for December 31, 2024 on August 5, 2025, and is working to complete the Form 10-Q for March 31, 2025, with plans to file all required Form 10-Qs before the September 15, 2025 deadline set by the Nasdaq Hearing Panel.
Graphjet Technology, founded in 2019 in Malaysia, produces graphene and graphite using a patented technology that recycles palm kernel shells, a waste product from palm seed oil production. With a market capitalization of $18.34 million, the company is scheduled to report earnings on August 12, 2025. Discover more detailed financial metrics and analysis with InvestingPro.
The information in this article is based on a company press release.
In other recent news, Graphjet Technology announced the arrival of new machinery and equipment at its Malaysian factory, which is expected to significantly boost production capacity. The company stated that this upgraded technology will increase production by approximately seven times, enhancing both the quantity and quality of graphite produced. Additionally, Graphjet Technology has received conditional approval from the Nasdaq Hearings Panel to maintain its listing, provided it meets specific requirements, including demonstrating compliance with the minimum bid price by August 2025 and filing periodic reports by September 2025.
The company’s CEO, Chris Lai, has committed to filing overdue quarterly reports by mid-September 2025, addressing concerns raised during a recent Nasdaq hearing. In a separate development, Graphjet hosted a delegation from a Japanese trading firm to discuss the supply of sustainable graphite materials. The Japanese firm, which operates globally and serves major clients like Toshiba and Hitachi, expressed interest in Graphjet’s innovative technology. These developments reflect the company’s ongoing efforts to enhance production capabilities and maintain its market position.
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