Pineapple Financial Receives Audit Opinion with Going Concern Explanation

Pineapple Financial (NYSE: PAPL) disclosed that its audited consolidated financial statements for the year ended August 31, 2025, include an auditor's explanatory paragraph regarding the company's ability to continue as a going concern.

Rhea-AI Summary

Pineapple Financial (NYSE: PAPL) disclosed that its audited consolidated financial statements for the year ended August 31, 2025, include an auditor's explanatory paragraph regarding the company's ability to continue as a going concern.

The Form 10-K was filed Dec 3, 2025 and amended Dec 12, 2025; the disclosure is required by NYSE American rules and does not amend prior filings.

Positive

• Disclosure complies with NYSE American reporting requirements
• Form 10-K was filed and subsequently amended Dec 12, 2025
• Company references footnote 1 for audited financial statement details

Negative

• Independent auditor included a going concern explanatory paragraph
• Audit opinion raises material uncertainty about ability to continue

Argus Mar 31 session

-5.00% close to close Open Argus

Details

News Market Reaction – PAPL

On Mar 31, the first trading day after this news, PAPL closed 5.00% below the previous close.

Data tracked by StockTitan Argus for the Mar 31 session.

Key Figures

Fiscal year end: August 31, 2025 10-K filing date: December 3, 2025 10-K amendment date: December 12, 2025 +2 more

Fiscal year end

August 31, 2025

Year covered by the audited consolidated financial statements

10-K filing date

December 3, 2025

Initial filing date of Form 10-K for fiscal 2025

10-K amendment date

December 12, 2025

Date the amended Form 10-K was filed

Section 401(h)

Section 401(h)

NYSE American Company Guide provision requiring disclosure

Section 610(b)

Section 610(b)

NYSE American Company Guide provision requiring disclosure

Historical Context

5 past events · Latest: Mar 19

5 events

1. Mar 19

   Treasury strategy

   24h Move

   +1.5%

   Monarq appointed to manage Digital Asset Treasury yield strategy and allocations.

2. Mar 12

   Share repurchase

   24h Move

   -5.7%

   Board authorized up to US$3,000,000 in common share buybacks for 2026.

3. Mar 10

   Cost reductions

   24h Move

   -0.7%

   Announced AI-driven transformation and >$2.5M targeted permanent annual cost savings.

4. Mar 06

   Investor outreach

   24h Move

   -3.0%

   Planned participation in Webull virtual webinar on digital asset treasury.

5. Feb 19

   Crypto treasury move

   24h Move

   +6.6%

   Completed $2.0M INJ purchase; disclosed $41.89M combined treasury vs ~$18M market cap.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

going concern, annual report on form 10-k, independent registered public accounting firm, audit report, +1 more

5 terms

going concern financial

"included an explanatory paragraph related to the Company's ability to continue as a going concern."

Going concern is the accounting assumption that a company will keep operating and meeting its obligations for the foreseeable future. The phrase matters most when a company or its auditors disclose substantial doubt about it, a formal warning that the business may not have enough resources to continue without raising money, restructuring, or selling assets. That language in a filing or press release signals elevated financial risk.

annual report on form 10-k regulatory

"as previously disclosed in its Annual Report on Form 10-K for the year ended August 31, 2025"

An annual report on Form 10‑K is a required, comprehensive filing that publicly traded companies give to regulators and investors summarizing their business, results of operations, detailed financial statements reviewed by independent auditors, material risks, legal issues and management’s discussion of performance. Investors use it like a company’s year‑end report card and medical checkup: it reveals how the business made money, where it is vulnerable, and the facts needed to compare value, judge risk and make informed investment decisions.

independent registered public accounting firm financial

"audit report from its independent registered public accounting firm that included an explanatory paragraph"

An independent registered public accounting firm is an outside accounting company officially registered with the government regulator to examine and report on a public company's financial records and controls. Investors treat its reports like an impartial inspector’s certificate — they add credibility to financial statements, help spot errors or misleading claims, and reduce the risk that shareholders are relying on unchecked or biased numbers.

audit report financial

"the audited consolidated financial statements, contained an audit report from its independent registered public accounting firm"

An audit report is an independent accountant’s written assessment of a company’s financial records and the systems that produce them, stating whether the financial statements can be relied on. For investors it’s like a trusted second opinion or home inspection: a clean report increases confidence that numbers are accurate, while exceptions or concerns signal higher risk, possible restatements, or problems that could affect a company’s value.

nyse american company guide regulatory

"required by Sections 401 (h) and 610(b) of the NYSE American Company Guide."

A handbook of rules and requirements that govern companies listed on the NYSE American market, covering eligibility to list, ongoing disclosure duties, corporate governance expectations, and trading practices. It matters to investors because it sets the minimum standards companies must meet to join and remain on that exchange — like a routine safety inspection that signals basic reliability and transparency — helping investors judge regulatory compliance, quality of public information, and potential risks to a stock’s value.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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Toronto, Ontario--(Newsfile Corp. - March 30, 2026) - Pineapple Financial Inc. (NYSE: PAPL), a leading fintech platform, announced that as previously disclosed in its Annual Report on Form 10-K for the year ended August 31, 2025, which was filed on December 3, 2025, and as amended and filed on December 12, 2025 with the Securities and Exchange Commission, the audited consolidated financial statements, contained an audit report from its independent registered public accounting firm that included an explanatory paragraph related to the Company's ability to continue as a going concern. See further discussion in footnote 1 to the Company's audited consolidated financial statements included in the Company's Annual Report on Form 10-K. Release of this information is required by Sections 401 (h) and 610(b) of the NYSE American Company Guide. It does not represent any change or amendment to any of the Company's filings for the fiscal year ended August 31, 2025.

About Pineapple Financial Inc.

Pineapple Financial Inc. ("Pineapple", or the "Company") is an award-winning fintech and leading Canadian mortgage brokerage network, focusing on both the long-term success of agents and brokers as well as the overall experience of homeowners. With hundreds of brokers within the network, Pineapple creates cutting-edge cloud-based tools and AI-driven systems to enable its brokers to help Canadians realize their dream of owning a home. Pineapple is active within the community and is proud to sponsor charities across Canada to improve the lives of fellow Canadians.

Safe Harbor Forward-Looking Statements

Certain statements in this announcement are forward-looking statements. These forward-looking statements involve known and unknown risks and uncertainties. They are based on the Company's current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and economic needs. Investors can identify these forward-looking statements by words or phrases such as "may," "will," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "is/are likely to," "potential," "continue" or other similar expressions. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances or changes in its expectations that arise after the date hereof, except as may be required by law. These statements are subject to uncertainties and risks including, but not limited to, the uncertainties related to market conditions, fluctuations in the market price of INJ, including risks related to volatility in the price of INJ, the timing and execution of Digital Asset Treasury capital deployment, the treatment of designated cash balances, and the assumptions underlying non-GAAP metrics such as mNAV, and any associated impairment charges that we may incur as a result of a decrease in the market price of INJ below the value at which INJ is carried on our balance sheet; changes in the accounting treatment relating to our INJ holdings; the Company's financial condition, customer acceptance of our INJ treasury strategy, and other factors discussed in the "Risk Factors" section of the registration statements, and periodic reports filed with the SEC. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure that such expectations will be correct. The Company cautions investors that actual results may differ materially from the anticipated results. It encourages investors to review other factors that may affect its future results in the Company's registration statement and other filings with the SEC. Additional factors are discussed in the Company's filings with the SEC, which are available for review at www.sec.gov.

Media Contact:
KCSA Strategic Communications
Kristin Cwalinski
pineapple@kcsa.com

Investor Relations:
KCSA Strategic Communications
Jack Perkins
pineapple@kcsa.com

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/290465

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What does the auditor's going concern paragraph mean for Pineapple Financial (PAPL)?

It signals an auditor-identified material uncertainty about the company's ability to continue operations. According to Pineapple Financial, the explanatory paragraph appears in the audited consolidated financial statements for the year ended August 31, 2025 and is discussed in footnote 1.

When were Pineapple Financial's (PAPL) Form 10-K filings made and amended regarding the going concern?

Pineapple Financial filed its Form 10-K on December 3, 2025 and amended it on December 12, 2025. According to Pineapple Financial, the amended filing includes the audited financial statements with the auditor's explanatory paragraph and footnote 1 discussion.

Does the going concern note change Pineapple Financial's (PAPL) prior filings or results?

No, the company states the disclosure does not amend any prior filings for the fiscal year ended August 31, 2025. According to Pineapple Financial, the release is required by NYSE American rules and reflects existing audit findings.

Why did Pineapple Financial (PAPL) issue this going concern disclosure on March 30, 2026?

The disclosure was released to comply with NYSE American Sections 401(h) and 610(b) reporting requirements. According to Pineapple Financial, this release communicates the auditor's explanatory paragraph already present in the 2025 audited statements.

Where can investors find details about the going concern in Pineapple Financial's (PAPL) filings?

Investors should review footnote 1 of the audited consolidated financial statements in the Form 10-K for the year ended August 31, 2025. According to Pineapple Financial, that footnote contains the company's discussion of the auditor's explanatory paragraph.