PLBY Group to Restate Financials Due to Accounting Error

TL;DR

PLBY restating 2023 financials due to accounting error - expect delays.

AI Summary

PLBY Group, Inc. announced on March 11, 2024, that it will restate its previously issued financial statements for the fiscal year ended December 31, 2023, and interim periods within that year. This restatement is due to an error in accounting for a contingent liability related to a legal settlement. The company expects to file amended financial statements once the corrections are complete.

Why It Matters

This restatement indicates potential accounting issues that could affect investor confidence and the accuracy of past financial reporting.

Risk Assessment

Risk Level: medium — Restatements can signal underlying accounting control weaknesses or complexities, potentially impacting future reporting and investor trust.

Key Players & Entities

• PLBY Group, Inc. (company) — Registrant
• March 11, 2024 (date) — Date of earliest event reported
• December 31, 2023 (date) — Fiscal year end for restatement
• 10960 Wilshire Blvd., Suite 2200 Los Angeles, California 90024 (address) — Principal executive offices

FAQ

Key Financial Figures

• $0.0001 — nge on which registered Common Stock, $0.0001 par value per share PLBY Nasdaq Global

Filing Documents

• ply-20240311.htm (8-K) — 42KB
• ex991pressreleasererestate.htm (EX-99.1) — 17KB
• plby-logo.jpg (GRAPHIC) — 15KB
• 0001803914-24-000005.txt ( ) — 213KB
• ply-20240311.xsd (EX-101.SCH) — 2KB
• ply-20240311_lab.xml (EX-101.LAB) — 22KB
• ply-20240311_pre.xml (EX-101.PRE) — 13KB
• ply-20240311_htm.xml (XML) — 3KB

02 Non-Reliance on Previously Issued Financial Statements or a Related Audit Report or Completed Interim Review

Item 4.02 Non-Reliance on Previously Issued Financial Statements or a Related Audit Report or Completed Interim Review. On March 11, 2024, PLBY Group, Inc. (the "Company"), in consultation with the Audit Committee of the Company's Board of Directors (the "Audit Committee"), reached a determination that the Company's unaudited condensed consolidated financial statements and related disclosures for the three and six months ended June 30, 2023, as reported in the Company's Quarterly Report on Form 10-Q filed on August 9, 2023 (the "Original Second Quarter 2023 Form 10-Q"), and the three and nine months ended September 30, 2023, as reported in the Company's Quarterly Report on Form 10-Q filed on November 9, 2023 (the "Original Third Quarter 2023 Form 10-Q"), should be restated and no longer be relied upon due to errors in accounting for the impairment of a license contract and the classification of commission expense adjustments related to contract impairments recorded during such quarters. The Company has determined that it is appropriate to correct such errors in the Company's previously issued unaudited condensed consolidated financial statements by amending its Original Second Quarter 2023 Form 10-Q (as amended, the "Amended Second Quarter 2023 Form 10-Q") and its Original Third Quarter 2023 Form 10-Q (as amended, the "Amended Third Quarter 2023 Form 10-Q"). Any previously furnished or filed reports, related earnings releases, investor presentations or similar communications of the Company describing the unaudited condensed consolidated financial statements and related financial results in the Company's Original Second Quarter 2023 Form 10-Q and Original Third Quarter 2023 Form 10-Q should no longer be relied upon. Such errors did not impact any previously filed audited financial statements. The Audit Committee and management also discussed this conclusion with the Company's independent registered public accounting firm, BDO USA, P.C. In the Company's Original S

Forward-Looking Statements

Forward-Looking Statements This Current Report on Form 8-K includes "forward-looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. The Company's actual results may differ from their expectations, estimates, and projections and, consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believes," "predicts," "potential," "continue," and similar expressions (or the negative versions of such words or expressions) are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, the Company's expectations with respect to financial reporting and performance, as well as potential financial impacts of corrections of the Company's financial reporting and performance. 3 These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from those discussed in the forward-looking statements. Factors that may cause such differences include, but are not limited to: (1) the inability to maintain the listing of the Company's shares of common stock on Nasdaq; (2) the risk that the Company's completed or proposed transactions disrupt the Company's current plans and/or operations, including the risk that the Company does not complete any such proposed transactions or achieve the expected benefits from any transactions; (3) the ability to recognize the anticipated benefits of corporate transactions, commercial collaborations, commercialization of digital assets, cost reduction initiatives and proposed transactions, which may be affected by, among other things, competition, the ability of the Company to grow and manage growth profitably, and the Company's ability to retain its key employees; (4)

01 Financial Statements and Exhibits

Item 9.01 Financial Statements and Exhibits. (d) Exhibits Exhibit No. Description 99.1 Press Release, dated March 1 2 , 2024 104 Cover Page Interactive Data File (embedded within the Inline XBRL document) 4 SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Dated: March 12, 2024 PLBY GROUP, INC. By: /s/ Chris Riley Name: Chris Riley Title: General Counsel and Secretary

View Full Filing

View this 8-K filing on SEC EDGAR