Business Context and Reporting Period
This Form 6-K filing by Tantech Holdings Ltd. covers the month of August 2018, specifically dated August 23, 2018. The report serves as a Current Report of a Foreign Private Issuer under Rule 13a-16 or 15d-16 of the Securities Exchange Act of 1934.
Key Financial Metrics
The filing text does not provide a clear value for revenue, profit, cash flow, margins, debt, or liquidity. This document is a disclosure regarding corporate governance and auditing changes rather than a financial performance report.
Material Changes
The primary material change disclosed is the replacement of the independent registered public accounting firm:
- Previous Auditor: Friedman LLP was dismissed on August 21, 2018.
- New Auditor: Prager Metis CPAs, LLC was appointed on August 21, 2018.
- Reasoning: The filing states there were no disagreements with the previous auditor regarding accounting principles, practices, financial statement disclosure, or auditing scope/procedures during the fiscal years ended December 31, 2017 and 2016, or the subsequent interim period.
Guidance, Outlook, and Risks
The filing contains no financial guidance, outlook, or management commentary regarding future business performance. Regarding risks and contingencies:
- Audit Disagreements: The company confirmed no "reportable events" or disagreements occurred with the former auditor, Friedman LLP, during the two most recent fiscal years.
- Audit Opinions: Friedman's reports for the years ended December 31, 2017 and 2016 did not contain adverse opinions, disclaimers, or qualifications regarding uncertainty, audit scope, or accounting principles.
- Consultation with New Auditor: The company confirmed it did not consult Prager Metis on any accounting or auditing matters prior to their engagement.
Investor Verification Checklist
- Verify the effective date of the new auditor (Prager Metis CPAs, LLC) and the transition timeline.
- Confirm the absence of any undisclosed disagreements with the former auditor (Friedman LLP) by reviewing the attached Exhibit 99.1 (Letter from Friedman LLP).
- Review the company's next periodic financial report (Form 20-F) to assess the impact of the auditor change on future financial statement disclosures.