AMMO, INC. Restates Financials Due to Control Weaknesses
Ticker: POWWP · Form: 8-K · Filed: Oct 3, 2024 · CIK: 1015383
| Field | Detail |
|---|---|
| Company | Ammo, Inc. (POWWP) |
| Form Type | 8-K |
| Filed Date | Oct 3, 2024 |
| Risk Level | high |
| Pages | 4 |
| Reading Time | 5 min |
| Key Dollar Amounts | $0.001 |
| Sentiment | bearish |
Sentiment: bearish
Topics: restatement, internal controls, financial reporting
Related Tickers: POWW
TL;DR
AMMO's financials are unreliable; they're restating them due to control problems.
AI Summary
AMMO, INC. announced on September 27, 2024, that it will not rely on previously issued financial statements for the fiscal year ended March 31, 2024, and interim periods thereafter. This decision stems from an ongoing review of the company's internal controls over financial reporting, which has identified material weaknesses. The company expects to file restated financial statements once the review is complete.
Why It Matters
This indicates potential issues with the company's financial reporting accuracy and could lead to investor uncertainty until restated financials are provided.
Risk Assessment
Risk Level: high — The non-reliance on previously issued financial statements and identification of material weaknesses in internal controls suggest significant potential inaccuracies in past reporting.
Key Players & Entities
- AMMO, INC. (company) — Registrant
- September 27, 2024 (date) — Date of earliest event reported
- March 31, 2024 (date) — Fiscal year end for previously issued financial statements
- Delaware (jurisdiction) — State of incorporation
FAQ
What specific periods do the non-relied-upon financial statements cover?
The company will not rely on previously issued financial statements for the fiscal year ended March 31, 2024, and interim periods thereafter.
What is the reason for not relying on the previously issued financial statements?
The company is conducting a review of its internal controls over financial reporting and has identified material weaknesses.
When does AMMO, INC. expect to file restated financial statements?
The company expects to file the restated financial statements once the review is complete, but a specific date is not provided in this filing.
What is the filing date of this 8-K report?
This 8-K report was filed on October 3, 2024, with the earliest event reported being September 27, 2024.
What is the company's state of incorporation?
AMMO, INC. is incorporated in Delaware.
Filing Stats: 1,132 words · 5 min read · ~4 pages · Grade level 13.7 · Accepted 2024-10-03 17:20:37
Key Financial Figures
- $0.001 — nge on which registered Common Stock, $0.001 par value POWW The Nasdaq Stock Mar
Filing Documents
- form8-k.htm (8-K) — 49KB
- ex99-1.htm (EX-99.1) — 7KB
- ex99-1_001.jpg (GRAPHIC) — 19KB
- ex99-1_002.jpg (GRAPHIC) — 7KB
- 0001493152-24-039407.txt ( ) — 312KB
- poww-20240927.xsd (EX-101.SCH) — 4KB
- poww-20240927_def.xml (EX-101.DEF) — 29KB
- poww-20240927_lab.xml (EX-101.LAB) — 36KB
- poww-20240927_pre.xml (EX-101.PRE) — 26KB
- form8-k_htm.xml (XML) — 6KB
financial statements and auditors' reports previously reported by the Company should no longer be relied upon
financial statements and auditors' reports previously reported by the Company should no longer be relied upon: - Financial such year, including the auditors' report on the financial statements and the auditors' report on internal controls. - Financial such year, including the auditors' report on the financial statements and the auditors' report on internal controls. - Financial such year, including the auditors' report on the financial statements. - Financial on the financial statements. (collectively the "Affected Periods") As previously reported on September 24, 2024, based in part on information provided by PKF, a Special Committee of the Board of Directors ("Board") of Ammo, Inc. ("Company" or "AMMO") retained a law firm to conduct an independent investigation ("Investigation"), focused on fiscal years 2020 through 2023, including determining whether the Company and its management control persons at the time: (i) accurately disclosed all executive officers, members of management, and potential related party transactions in fiscal years 2020 through 2023; (ii) properly characterized certain fees paid for investor relations and legal services as reductions of proceeds from capital raises rather than period expenses in fiscal years 2021 and 2022; and (iii) appropriately valued unrestricted stock awards to officers, directors, employees and others in fiscal years 2020 through 2022 (collectively the "Investigation Issues.") The Investigation is ongoing, and therefore, the Company at this time is unable to determine whether it must correct financial statements for the Affected Periods, or if su
SIGNATURES
SIGNATURES 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. AMMO, INC. Dated: October 3, 2024 By: /s/ Jared R. Smith Jared R. Smith Chief Executive Officer