Business Context and Reporting Period
This Form 8-K filing by Leslie's, Inc. (LESL) is dated April 24, 2025. The report addresses a regulatory notice received from The Nasdaq Stock Market LLC regarding the continued listing status of the Company's common stock on The Nasdaq Global Select Market.
Key Financial Metrics
The filing text does not provide specific values for revenue, profit, cash flow, margins, debt, or liquidity. The report focuses exclusively on the stock price compliance issue rather than financial performance metrics.
Material Changes
The material event reported is the receipt of a Notice from Nasdaq indicating that the Company's common stock is subject to potential delisting. This action is triggered because the bid price of the common stock closed below the minimum $1.00 per share requirement for 30 consecutive business days, violating Nasdaq Listing Rule 5550(a)(2).
Guidance, Outlook, and Risks
- Compliance Timeline: The Company has 180 calendar days from the date of the Notice, until October 21, 2025, to regain compliance.
- Regaining Compliance: Compliance can be achieved if the bid price closes at $1.00 per share or more for a minimum of 10 consecutive business days before the Compliance Date.
- Alternative Path: If compliance is not met by the deadline, the Company may be eligible for an additional 180-day period, provided it transfers its listing to The Nasdaq Capital Market and meets relevant initial listing standards (excluding the Bid Price Rule).
- Risks: Management states there can be no assurance that the Company will be able to regain compliance with the Bid Price Rule.
Investor Verification Checklist
- Verify the current closing bid price of Leslie's, Inc. stock to assess proximity to the $1.00 threshold.
- Monitor the Company's stock performance over the next 10 consecutive business days to determine if immediate compliance is achieved.
- Review future filings for any announcements regarding a potential reverse stock split or transfer to The Nasdaq Capital Market.
- Confirm the Company's market value of publicly held shares to evaluate eligibility for the Nasdaq Capital Market if the initial compliance period expires.