SMCI issues letter to customers and partners: CEO has 'strong' confidence in teams

Investing.com -- Supermicro (SMCI) issued a letter to its customers and partners on Tuesday, addressing recent developments concerning the company's delayed filing of its Annual Report for the fiscal year ending June 30, 2024, and a report published by a short-seller.

In the letter, CEO Charles Liang reassured stakeholders that these issues will not impact the company's products or its ability to deliver innovative IT solutions.

Liang said Supermicro's production capabilities remain unaffected, with operations continuing at full pace to meet customer demand.

"Our production capabilities are unaffected and continue operating at pace to meet customer demand," said Liang. "Our world-class engineering and support teams are also unaffected and continue to build and deploy large-scale AI Total Solutions."

He highlighted the company's ongoing success, particularly in its liquid-cooled AI Total Solutions, noting that Supermicro has shipped approximately 2,000 DLC liquid-cooled AI racks this year—an achievement representing more than 75% of the market.

Regarding the delayed Annual Report, Liang explained that the Audit Committee of the Board of Directors has formed a committee to review internal controls and other matters.

However, he reassured stakeholders by stating, "We don't anticipate any material changes in our fourth quarter or fiscal year 2024 financial results," indicating confidence in the company's financial stability.

"This is good news. I continue to have strong confidence in our finance and internal teams," he added.

Liang also addressed the recent short-seller report from Hindenburg Research, saying it as contained "false or inaccurate statements" intended to harm the company's stock price.

He reaffirmed Supermicro's commitment to its customers, stating that their experience remains the company's top priority.

Looking ahead to 2025, Liang expressed optimism, stating: "As we look ahead to 2025, we are closing out a historic year with winning products, a record number of orders, a strong and growing backlog of design wins and leading market positions across a number of areas."

He concluded by thanking customers for their continued trust and partnership, emphasizing the company's focus on growth and innovation.

Source: Investing.com