Daktronics stock plummets, company doubts ability to “continue as a going concern”
Daktronics image

The future of Brookings-based Daktronics is in doubt today following a filing by the company with the Securities and Exchange Commission.

Shares of Daktronics plummeted Wednesday after the company filed the paperwork

The electronic display and scoreboard manufacturer saw its stock price fall 39-percent after filing paperwork to delay the release of its earnings report. That paperwork says the comapny needs to “address the determination that there is a substantial doubt about the company’s ability to continue as a going concern.”

The filing also noted an issue with required financial reporting.

The company extended its earnings report until Dec. 12. Daktronics has confirmed the filings and says more information would be released during the earnings report conference call.

The company’s SEC filing points to supply chain issues and increasing costs. The company reported that it would need to generate additional cash flow to meet its obligations due in the next year.

Worldwide, Daktronics employs more than 2,500 people, about half of them in South Dakota.

 

December 8, 2022