Northann Corp. Receives Non-Compliance Notice from NYSE American

Rhea-AI Summary

Northann Corp (NYSE American: NCL) received a non-compliance notice from NYSE American under Section 1003(a)(i) for failing to meet the requirement of $2 million stockholders' equity after reporting losses in two of its three most recent fiscal years. The company has until January 7, 2026 to deliver a Plan to regain compliance by June 8, 2027. Northann said it intends to pay outstanding Exchange fees and timely submit the Plan. If the Exchange accepts the Plan, the company will remain listed subject to periodic and quarterly monitoring. The notice does not immediately affect trading or SEC reporting, but the common stock will trade with a .BC designation indicating below-compliance status.

Positive

• Company intends to pay outstanding Exchange fees
• Will submit a compliance Plan by January 7, 2026
• If accepted, listing continues under Plan with monitoring

Negative

• Not in compliance with Section 1003(a)(i) (equity <$2M)
• Common stock receives ".BC" below-compliance trading designation
• Must regain compliance by June 8, 2027 or risk delisting

Key Figures

Equity requirement $2 million Minimum stockholders’ equity under NYSE American Section 1003(a)(i)

Loss history test 2 of 3 fiscal years Losses from continuing operations and/or net losses condition

Plan deadline January 7, 2026 Date by which company must submit compliance plan under Section 1009

Compliance target date June 8, 2027 Date by which company aims to regain continued listing compliance

Market Reality Check

$0.3500 Last Close

Volume Volume 97,615 is below 20-day average 113,831 (relative volume 0.86). normal

Technical Price 0.344 trades below 200-day MA at 1.8, signaling a weak longer-term trend.

Peers on Argus

Peers show mixed moves: ATER -3.96%, FGI +16.02%, CRWS +0.73%, NTZ -5.8%, FLXS +2.02%. The -4.42% move in NCL appears stock-specific rather than sector-driven.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Jul 02	Audit opinion disclosure	Negative	-3.0%	Going concern qualification disclosure under NYSE American Company Guide requirements.

Pattern Detected

Limited history shows prior negative regulatory/governance-related disclosure coinciding with a share price decline.

Recent Company History

This announcement follows a string of regulatory and financial pressures. On Jul 2, 2025, Northann disclosed a going concern qualification in its 2024 audit opinion, with the stock falling 2.96% the next day. Subsequent filings detailed substantial losses, low cash, a working capital deficit, and a 1-for-8 reverse split. Today’s NYSE American non-compliance notice on stockholders’ equity and recent losses continues a pattern of listing and capital-structure challenges for the company.

Market Pulse Summary

This announcement details that Northann fell below NYSE American’s continued listing standards tied to $2 million stockholders’ equity and recent losses. The company must submit a remediation plan by January 7, 2026 and regain compliance by June 8, 2027, while its stock continues trading with a “.BC” below-compliance flag. In light of earlier going concern disclosures, reverse split actions, and persistent losses, investors may focus on execution of the plan and subsequent NYSE reviews.

AI-generated analysis. Not financial advice.

Fort Lawn, SC, Dec. 11, 2025 (GLOBE NEWSWIRE) -- Northann Corp. (NYSE American: NCL) (the "Company" or "Northann"), today announced it received a notice from the staff of NYSE American LLC (the "Exchange") that the Company was not in compliance with the Exchange's continued listing standards under Section 1003(a)(i) of the NYSE American Company Guide. Section 1003(a)(i) requires a listed company to have stockholders' equity of $2 million or more if the listed company has reported losses from continuing operations and/or net losses in two of its three most recent fiscal years. In order to regain compliance with Section 1003(a)(i), the Company is now subject to the procedures and requirements of Section 1009 of the NYSE American Company Guide and has until January 7, 2026, to submit a plan (the "Plan") of actions it has taken or will take to regain compliance with the continued listing standards by June 8, 2027.

The Company intends to pay all of its outstanding fees to the Exchange, and timely deliver a Plan to the Exchange. If the Exchange accepts the Plan, the Company will be able to continue its listing during the Plan period and will be subject to periodic reviews including quarterly monitoring for compliance with the Plan until it has regained compliance.

Receipt of the notice from the Exchange has no immediate effect on the listing or trading of the Company’s common stock on the Exchange, and does not affect the Company’s business, operations or reporting requirements with the U.S. Securities and Exchange Commission. The common stock will continue to trade under the symbol “NCL”, but will have an added designation of “.BC” to indicate the status of the common stock as “below compliance”.

About Northann Corp.

Founded in 2022 and headquartered in Fort Lawn, South Carolina, Northann Corp. is a leader in additive manufacturing and 3D printing technologies for the building materials industry. Through its flagship brand, Benchwick, the Company provides innovative flooring, decking, and other construction products. Northann boasts a robust portfolio of over 60 granted or pending patents, underscoring its dedication to innovation and sustainability.

Safe Harbor Statement

This release may contain “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of words such as “estimate,” “plan,” “project,” “forecast,” “intend,” “will,” “expect,” “anticipate,” “believe,” “seek,” “target” or other similar expressions that predict or indicate future events or trends or that are not statements of historical facts. These forward-looking statements are inherently subject to risks, uncertainties, and assumptions. Actual results may differ materially due to several factors. Caution must be exercised in relying on these and other forward-looking statements. Due to known and unknown risks, Northann’s results may differ materially from its expectations and projections. While Northann may elect to update these forward-looking statements at some point in the future Northann specifically disclaims any obligation to do so. These forward-looking statements should not be relied upon as representing Northann’s assessments of any date after the date of this release. Accordingly, undue reliance should not be placed upon the forward-looking statements.

For further information, please contact:

Investor Relations:
Northann Corp.
ir@northann.com916-573-3803 

FAQ

What did Northann (NCL) disclose about NYSE American non-compliance on December 11, 2025?

Northann disclosed a notice for non-compliance with Section 1003(a)(i) due to stockholders' equity below $2 million after reported losses.

What deadline does Northann (NCL) have to submit a Plan to NYSE American?

Northann has until January 7, 2026 to submit a Plan of actions to regain compliance.

By what date must Northann (NCL) regain NYSE American compliance under the Plan?

The company must regain compliance by June 8, 2027 under the Exchange's procedures.

Will Northann's (NCL) stock stop trading after the non-compliance notice?

No; trading continues under the symbol NCL, but shares carry a .BC below-compliance designation.

How does a NYSE American compliance Plan affect Northann (NCL) listing status?

If the Exchange accepts the Plan, Northann can remain listed during the Plan period and will face periodic monitoring.

Does the non-compliance notice change Northann's (NCL) SEC reporting or operations?

No; the notice does not affect the company’s SEC reporting obligations or its business operations according to the disclosure.