Performant Receives Continued Listing Standard Notice from Nasdaq
January 02 2020 - 8:30AM
Performant Financial Corporation (Nasdaq:PFMT),(“the Company”), a
provider of technology-enabled recovery and related analytics
services, announced today that on December 27, 2019, it received a
letter from the Listing Qualifications Department of the NASDAQ
Stock Market (“NASDAQ”) indicating that, based upon the closing bid
price of the Company’s common stock for the last 30 consecutive
business days beginning on November 13, 2019 and ending on December
26, 2019, the Company no longer meets the requirement to maintain a
minimum bid price of $1 per share, as required by Marketplace Rule
5450(a)(1) (the "Rule") for continued listing.
In response to receiving the notification, Lisa Im, CEO of
Performant said, “We have been working hard to transform the
business over the last two years. A robust diversified business
with strong healthcare growth has emerged from a legacy business of
“large government education contracts”. We have done this through
both organic growth and through the acquisition of Premiere—which
allows us to accelerate our business in commercial recovery and
revenue cycle management. We planned on and continue to expect that
we will see positive EBITDA in Q4 of 2019, which we believe will
lead to revenue growth and positive EBITDA in 2020.”
“We thank our existing shareholders for their continued support,
and we look forward to executing toward our revenue growth and
positive EBITDA,” continued Im.
In accordance with applicable NASDAQ procedures, the Company
plans to notify NASDAQ in a timely manner that it intends to pursue
actions to meet the minimum average share price requirement. The
NASDAQ letter indicates that the Company will be provided 180
calendar days, or until June 24, 2020, to regain compliance with
the minimum $1.00 per share bid requirement. The letter further
indicates that the Company may regain compliance with the Rule if
at any time before June 24, 2020, should the bid price of the
Company's common stock close at $1.00 per share or above for a
minimum of 10 consecutive business days. The notice has no
immediate impact on the listing of the Company’s common stock,
which will continue to trade on the NASDAQ subject to the Company’s
compliance with the other continued listing requirements.
About Performant Financial Corporation
Performant Financial Corporation is a leading provider of
technology-enabled recovery and related analytics services. The
Company's services help identify and recover delinquent or
defaulted assets and improper payments for various government,
healthcare and financial services markets in the United States. The
Company was founded in 1976 and is headquartered in Livermore,
California. To learn more about Performant Financial, please visit
http://performantcorp.com/
Forward Looking Statements
This press release contains certain forward-looking statements
within the meaning of the Private Securities Litigation Reform Act
of 1995, including statements regarding our outlook for revenues,
and EBITDA in 2019 and 2020. These forward-looking statements are
based on current expectations, estimates, assumptions and
projections that are subject to change and actual results may
differ materially from the forward-looking statements. Factors that
could cause actual results to differ materially include, but are
not limited to, that the Company may not have sufficient cash flows
from operations or the availability of funds under its credit
agreement to fund ongoing operations and other liquidity needs,
that the Company’s indebtedness could adversely affect its business
and financial condition and could reduce the funds available for
other purposes and the failure to comply with covenants contained
in its credit agreement could result in an event of default that
could adversely affect its results of operations, that the Company
faces a long period to implement a new contract which may result in
the incurrence of expenses before the receipt of revenues from new
client relationships, the high level of revenue concentration among
the Company's largest customers and any termination in the
Company’s relationship with any of our significant clients would
result in a material decline in our revenues, that many of the
Company's customer contracts are subject to periodic renewal, are
not exclusive, do not provide for committed business volumes and
may be changed or terminated unilaterally and on short notice that
the Company may not be able to manage its potential growth
effectively, that the Company faces significant competition in all
of its markets, that continuing limitations on the scope of our
audit activity under our RAC contracts have significantly reduced
our revenue opportunities with this client, that the U.S. federal
government accounts for a significant portion of the Company's
revenues, that future legislative and regulatory changes may have
significant effects on the Company's business, that failure of the
Company's or third parties' operating systems and technology
infrastructure could disrupt the operation of the Company's
business and the threat of breach of the Company's security
measures or failure or unauthorized access to confidential data
that the Company possesses. More information on potential factors
that could affect the Company's financial condition and operating
results is included from time to time in the "Risk Factors" and
"Management's Discussion and Analysis of Financial Condition and
Results of Operations" sections of the Company's annual report on
Form 10-K for the year ended December 31, 2018 and subsequently
filed reports on Forms 10-Q and 8-K. The forward-looking statements
are made as of the date of this press release and the Company does
not undertake to update any forward-looking statements to conform
these statements to actual results or revised expectations.
Contact Information:
Richard
Zubek
Investor Relations
925-960-4988 investors@performantcorp.com
Performant Financial (NASDAQ:PFMT)
Historical Stock Chart
From Jun 2024 to Jul 2024
Performant Financial (NASDAQ:PFMT)
Historical Stock Chart
From Jul 2023 to Jul 2024