Camber Energy Announces Compliance with NYSE Guidelines on Audit Opinion Disclosure
Camber Energy, Inc. announces receipt of a going concern qualification in its annual report, filed with the SEC. This does not alter the 2023 financial statements.
The disclosure of a going concern qualification by Camber Energy's independent auditors is a significant event for investors and market analysts. This qualification suggests that the auditors have substantial doubt about the company's ability to continue as a going concern over the next year. It often indicates that a company is facing significant financial distress and may be at risk of defaulting on its obligations or even bankruptcy if circumstances don't improve.
Investors should closely monitor the company's cash flow, debt levels and any plans for restructuring or raising additional capital. The market typically reacts negatively to such announcements, as they can affect the company's ability to secure financing and may lead to a decline in stock price due to the heightened risk profile. Long-term implications could include a potential delisting if the company fails to meet financial standards set by the exchange.
From a market perspective, the going concern qualification for Camber Energy signals a red flag to investors and stakeholders that the company's financial health is questionable. This may lead to a wider assessment of the energy sector, particularly for companies with similar financial structures or those operating in the same niche. Market sentiment could shift, causing investors to be more cautious, which might result in lower valuations for companies perceived as having similar risk profiles.
Moreover, this development could influence peer companies to re-evaluate their financial strategies and reporting practices to avoid similar situations. It's essential to consider the broader market implications, such as the potential for increased regulatory scrutiny on financial disclosures and the importance of transparency in financial reporting within the energy industry.
Legally, the announcement fulfills the New York Stock Exchange's requirements for disclosure, which is important for maintaining transparency with the market. However, the presence of a going concern qualification can have legal ramifications. The company may face increased scrutiny from regulators and could be subject to legal challenges, especially if stakeholders feel that the company's financial distress was not adequately communicated.
The company must navigate carefully to ensure all subsequent disclosures are accurate and timely to avoid regulatory penalties and maintain investor trust. Furthermore, it's important for the company to review its contractual obligations, as a going concern qualification could trigger clauses related to financial health in agreements with creditors, suppliers and partners.
03/25/2024 - 05:15 PM
HOUSTON, TX / ACCESSWIRE / March 25, 2024 / Camber Energy, Inc. (NYSE American:CEI) ("Camber" or the "Company"), today announced that, as previously disclosed in its annual report on Form 10-K for the fiscal year ended December 31, 2023, which was filed with the Securities and Exchange Commission on March 25, 2024, the audit opinion contained a going concern qualification from the Company's independent registered public accounting firm. This announcement is being made solely to comply with the New York Stock Exchange's Company Guide Sections 401(h) and 610(b), which require separate disclosure of receipt of an audit opinion that contains a going concern qualification. This announcement does not represent any change or amendment to the Company's 2023 audited financial statements or to its 2023 annual report on Form 10-K.
About Camber Energy, Inc.
Camber Energy, Inc. is a growth-oriented diversified energy company. Through its wholly-owned subsidiary, Viking Energy Group, Inc., Camber: (i) provides custom energy & power solutions to commercial and industrial clients in North America; (ii) holds an exclusive license in Canada to a patented carbon-capture system; and (iii) has a majority interest in: (a) an entity with intellectual property rights to a fully developed, patented, ready-for-market proprietary Medical & Bio-Hazard Waste Treatment system using Ozone Technology; and (b) entities with the intellectual property rights to fully developed, patent pending, ready-for-market proprietary Electric Transmission and Distribution Open Conductor Detection Systems. For more information, please visit the company's website at www.camber.energy .
Forward-Looking Statements
This press release may contain forward-looking information within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. Any statements that are not historical facts contained in this press release are "forward-looking statements", which statements may be identified by words such as "expects," "plans," "projects," "will," "may," "anticipates," "believes," "should," "intends," "estimates," and other words of similar meaning. Such forward-looking statements are based on current expectations, involve known and unknown risks, a reliance on third parties for information, transactions that may be cancelled, and other factors that may cause our actual results, performance or achievements, or developments in our industry, to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from anticipated results include risks and uncertainties related to the fluctuation of global economic conditions or economic conditions with respect to the oil and gas industry, the COVID-19 pandemic, the performance of management, actions of government regulators, vendors, and suppliers, our cash flows and ability to obtain financing, competition, general economic conditions and other factors that are detailed in Camber's filings with the Securities and Exchange Commission. We intend that all forward-looking statements be subject to the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995.
Camber cautions that the foregoing list of important factors is not complete, any forward-looking statement speaks only as of the date on which such statement is made, and Camber does not undertake to update any forward-looking statements that it may make, whether as a result of new information, future events or otherwise, except as required by applicable law. All subsequent written and oral forward-looking statements attributable to Camber or any person acting its behalf are expressly qualified in their entirety by the cautionary statements referenced above.
Contact Information
SOURCE: Camber Energy, Inc.
press release on accesswire.com
Camber Energy, Inc. announced the receipt of a going concern qualification in its annual report for the fiscal year ended December 31, 2023.
The annual report was filed with the Securities and Exchange Commission on March 25, 2024.
The going concern qualification indicates doubts about the company's ability to continue operations in the future without significant financial difficulties.
No, the announcement does not alter the 2023 audited financial statements or the 2023 annual report on Form 10-K.
