Nautilus, Inc. has revealed that it received notice from the New York Stock Exchange (NYSE) that it is not in compliance with NYSE’s listing criteria. The notice, issued on Sept. 21 was given because the average closing price of the company’s stock was less than $1.00 per share over a consecutive 30 trading-day period.
However, the notice did not result in the immediate delisting from the NYSE, Nautilus added, and the company’s common stock will continue to be listed and traded on the NYSE.
Nautilus intends to respond to the NYSE within ten business days of receipt of the notice of its intent to cure the deficiency.
According to NYSE rules, Nautilus has a period of six months following the receipt of the notice to regain compliance with the minimum share price requirement. The company may regain compliance at any time within the six-month period if, on the last trading day of any calendar month during the cure period, it has a closing share price of at least $1.00 and an average closing share price of at least $1.00 over the 30 trading-day period ending on the last trading day of that month.
The fitness company, which sold off its namesake brand trademark and related assets earlier this year for about $13 million, posted numerous improved financial metrics in August this year, but still reported lower sales and a net loss for the period. Nautilus confirmed its FY24 guidance that includes “significant year-over-year improvement” in its adjusted EBITDA loss for the full year.
