PAVmed switches to new accounting firm post-acquisition

PAVmed Inc . (NASDAQ:PAVM), a medical device company with a market capitalization of $24.1 million and current stock price of $0.76, has announced a change in its certifying accountant on Monday. According to InvestingPro data, the company has shown a strong 20.3% return year-to-date, despite facing significant financial challenges. The New York-based company disclosed that Marcum LLP resigned from its role as the independent registered public accounting firm following the acquisition of Marcum’s attest business by CBIZ (NYSE:CBZ) CPAs P.C. on November 1, 2024. Subsequently, with the approval of PAVmed’s audit committee, CBIZ CPAs was appointed as the new independent registered public accounting firm on the same day.

The company’s previous financial statements for the fiscal years ending December 31, 2024, and December 31, 2023, audited by Marcum, did not contain any adverse opinion or disclaimer of opinion. The reports were not qualified or modified, except for an explanatory paragraph regarding PAVmed’s ability to continue as a going concern. This concern appears warranted, as InvestingPro analysis reveals a concerning current ratio of 0.06 and significant debt burden, with total debt to capital ratio at 0.58.

PAVmed confirmed that there were no disagreements or reportable events with Marcum during the fiscal years mentioned and up to the resignation date. Furthermore, there were no consultations with CBIZ CPAs regarding accounting principles or auditing scope that might have influenced their appointment.

In compliance with regulatory requirements, PAVmed provided Marcum with the content of this announcement before filing with the SEC. Marcum has responded with a letter, dated April 25, 2025, agreeing with the statements made by PAVmed in the filing. This letter is included as an exhibit in the Form 8-K report.

The change in accounting firms comes after a corporate acquisition and is a standard procedure in such circumstances. PAVmed’s operations and executive offices are located at 360 Madison Avenue, 25th Floor, New York, New York, 10017. The company, incorporated in Delaware, operates in the surgical and medical instruments and apparatus industry under the SIC code 3841.

This news is based on a press release statement and has been reported to provide investors with the latest corporate governance developments at PAVmed Inc. Investors should note that the company’s next earnings report is scheduled for May 16, 2025. InvestingPro subscribers have access to 12 additional key insights about PAVM’s financial health and future prospects, along with comprehensive analysis through the Pro Research Report, available for over 1,400 US stocks.

In other recent news, PAVmed Inc. reported a significant financial turnaround in Q4 2024, posting a GAAP net income of $1.3 million, or $0.12 per diluted share. This improvement was partly due to increased revenue from its subsidiary, Lucid (NASDAQ:LCID) Diagnostics, which achieved $1.2 million in revenue with a 45% increase in EsoGuard test sales. Lucid Diagnostics also completed a stock offering, raising approximately $16.1 million, which will be used for working capital and general corporate purposes. Additionally, Lucid Diagnostics announced plans for another underwritten public offering to further boost capital, with Canaccord Genuity LLC as the sole bookrunner. In strategic developments, PAVmed reduced its debt by $25 million through restructuring efforts. The company also secured $2.4 million in financing for Verus Health, focusing on implantable physiologic monitors. Analysts from firms like Maxim Group and Cantor Fitzgerald have shown interest in PAVmed’s strategic maneuvers and future prospects.

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