Taitron Announces Voluntary Nasdaq Delisting, CFO Resignation and Third Quarter 2025 Results

Rhea-AI Summary

Taitron (NASDAQ:TAIT) announced a voluntary Nasdaq delisting and plans to deregister under the Exchange Act after its shares are held by fewer than 300 holders of record.

The company expects to file Form 25 on or about Nov 24, 2025, with the Nasdaq delisting effective on or about Dec 4, 2025, and to file Form 15 on or about Dec 8, 2025, after which periodic reporting is expected to be suspended and then terminate 90 days later.

Management changes: CFO David Vanderhorst resigned as CFO and Secretary effective Nov 10, 2025, will remain as Controller, and CEO Stewart Wang has assumed principal financial and accounting officer duties.

Q3 2025 results: Net product revenue $529,000 (Q3 2024: $1,187,000), Q3 net loss $58,000 (Q3 2024 net income $245,000); nine-month revenue declined to $2.778M from $3.374M and retained earnings fell to $3.638M from $5.122M.

Positive

• Board cites cost savings from ending Nasdaq listing and SEC reporting
• CEO assumed principal financial roles to maintain continuity

Negative

• Nasdaq delisting effective ~Dec 4, 2025 and public reporting to be suspended
• Q3 product revenue -55% YoY ($529k vs $1,187k)
• Q3 net loss $58k vs prior quarter net income $245k
• Nine-month revenue -18% YoY ($2.778M vs $3.374M)
• Retained earnings down 29% ($3.638M vs $5.122M at 12/31/24)
• Accrued restructuring reserve $1.256M recognized as of Sept 30, 2025

Insights

Corporate Finance Analyst

Taitron will delist from Nasdaq, suspend public reporting, and reported weaker revenue with a quarterly loss.

The company plans a voluntary Nasdaq delisting effective on or about December 4, 2025, and intends to file a Form 15 on or about December 8, 2025 to suspend Exchange Act reporting; the board cited compliance costs and management burden as the rationale. The common stock is owned by fewer than 300 holders of record, and the company noted possible but uncertain continuation of trading on the OTC Pink tier.

Reported operating figures show a decline in quarterly revenue to $529,000 from $1,187,000 year-over-year, and a quarterly net loss of $(58,000) versus net income of $245,000 previously; nine-month results include a net loss of $(671,000). Liquidity appears to include $3,960,000 cash and $5,929,000 short-term investments, while shareholders' equity fell to $15,062,000. CEO Stewart Wang has assumed the principal financial and accounting officer duties after the CFO resigned as CFO and Secretary but will remain as Controller.

These actions materially reduce public disclosure and change market accessibility; the timeline to monitor is the Form 25 filing around November 24, 2025, Nasdaq effectiveness around December 4, 2025, and the Form 15 and 90-day suspension completion after December 8, 2025. Watch cash, short-term investments, and whether market makers support OTC quotation, as those determine post-delisting liquidity in the near term.

Notice of Plan to Voluntary Delist from Nasdaq and Deregister its Common Stock

LOS ANGELES, Nov. 14, 2025 (GLOBE NEWSWIRE) -- Taitron Components Incorporated (NASDAQ:TAIT) announces the Company will voluntarily delist its common stock from The Nasdaq Stock Market (“Nasdaq”) and, based upon ownership of its shares by fewer than 300 holders of record, deregister its common stock under the Securities Exchange Act of 1934 and suspend its public reporting obligations.

Our Board of Directors concluded that the costs of maintaining the Nasdaq listing and remaining a public reporting company, including costs of compliance, the demands on management time and the Company resources required to maintain its listed and registered status, outweigh the benefits to the Company and its stockholders of continued Nasdaq listing and SEC reporting.

The Company will file a Form 25 with the Securities and Exchange Commission on or about November 24, 2025, and the Nasdaq delisting is expected to become effective on or about December 4, 2025, at which time trading on Nasdaq will cease. The common stock may thereafter be eligible for quotation on the Pink tier of OTC Markets Group if market makers commit to making a market in the Company’s shares. The Company can provide no assurance that trading in its common stock will continue on the OTC Markets Group or otherwise. After the Nasdaq delisting becomes effective, the Company will file a Form 15 with the Securities and Exchange Commission on or about December 8, 2025, at which time the Company anticipates that its obligation to file periodic reports under the Exchange Act, including annual, quarterly and current reports on Form 10-K, Form 10-Q and Form 8-K, respectively, will be suspended, and that all requirements associated with being an Exchange Act-registered company, including the requirement to file current and periodic reports, will terminate permanently 90 days thereafter.

Departure of Chief Financial Officer

On November 10, 2025, David Vanderhorst resigned as Chief Financial Officer and Secretary of the Company, effective immediately. Mr. Vanderhorst will remain an employee of the Company, serving as the Company’s Controller. The Company’s President and Chief Executive Officer, Stewart Wang, has assumed the duties of principal financial officer and principal accounting officer of the Company.

Third Quarter 2025 Results

On November 14, 2025 the Company announced its Third Quarter 2025 results.

TAITRON COMPONENTS INCORPORATED Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) (Unaudited)
	Three Months Ended September 30,								Nine Months Ended September 30,
		2025				2024				2025				2024
Net product revenue	$	529,000			$	1,187,000			$	2,778,000			$	3,374,000
Cost of products sold		202,000				635,000				1,109,000				1,664,000
Gross profit		327,000				552,000				1,669,000				1,710,000
Selling, general and administrative expenses		516,000				530,000				1,651,000				1,683,000
Restructuring and severance expenses		-				-				1,680,000				-
Operating income (loss)		(189,000	)			22,000				(1,662,000	)			27,000
Interest income, net		54,000				68,000				158,000				223,000
Other income (expense), net		77,000				163,000				841,000				976,000
Income (loss) before income taxes		(58,000	)			253,000				(663,000	)			1,226,000
Income tax provision		-				(8,000	)			(8,000	)			(23,000	)
Net income (loss)	$	(58,000	)		$	245,000			$	(671,000	)		$	1,203,000
Net income (loss) per share: Basic	$	(0.01	)		$	0.04			$	(0.11	)		$	0.20
Diluted	$	(0.01	)		$	0.04			$	(0.11	)		$	0.20
Weighted average shares outstanding: Basic		6,021,180				6,021,180				6,021,180				6,021,180
Diluted		6,021,180				5,999,180				6,021,180				6,011,180
Cash dividends declared per common share	$	0.035			$	0.050			$	0.135			$	0.150
Net income (loss)	$	(58,000	)		$	245,000			$	(671,000	)		$	1,203,000
Other comprehensive income (loss):
Foreign currency translation adjustment		5,000				36,000				(19,000	)			8,000
Comprehensive income (loss)		(53,000	)			281,000				(690,000	)			1,211,000

TAITRON COMPONENTS INCORPORATED Condensed Consolidated Balance Sheets
	September 30,				December 31,
		2025				2024
Assets	(Unaudited)
Current assets:
Cash and cash equivalents	$	3,960,000			$	4,208,000
Accounts receivable, less allowances of $7,000		445,000				421,000
Short-term investments (Note 2)		5,929,000				5,179,000
Inventories, less reserves for obsolescence of $5,161,000, and $5,152,000, respectively (Note 3)		2,098,000				2,949,000
Prepaid expenses and other current assets (Note 4)		227,000				308,000
Total current assets		12,659,000				13,065,000
Property and equipment, net		2,883,000				3,029,000
Deferred taxes		1,543,000				1,542,000
Total assets	$	17,085,000			$	17,636,000
Liabilities and Equity
Current liabilities:
Accounts payable	$	492,000			$	251,000
Accrued liabilities		275,000				822,000
Accrued restructuring reserve		1,256,000				-
Total current liabilities		2,023,000				1,073,000
Commitments and contingencies (Note 6)
Equity:
Shareholders' equity:
Preferred stock, $0.001 par value. Authorized 5,000,000 shares; None issued or outstanding		-				-
Class A common stock, $0.001 par value. Authorized 20,000,000 shares; 5,258,568 shares issued and outstanding		5,000				5,000
Class B common stock, $0.001 par value. Authorized, issued and outstanding 762,612 shares		1,000				1,000
Additional paid-in capital		11,486,000				11,484,000
Accumulated other comprehensive loss		(68,000	)			(49,000	)
Retained earnings		3,638,000				5,122,000
Total equity		15,062,000				16,563,000
Total liabilities and equity	$	17,085,000			$	17,636,000

Safe Harbor Statement

Statements contained in the exhibit to this report that state the Company’s or its management’s expectations or predictions of the future are forward-looking statements intended to be covered by the safe harbor provisions of the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended. It is important to note that the Company’s actual results could differ materially from those projected in such forward-looking statements. Factors that could affect those results include those mentioned in the documents that the Company has filed with the Securities and Exchange Commission.

CONTACTS:

Taitron Components Incorporated

Stewart Wang – T: 661-257-6060

FAQ

When will TAIT stop trading on Nasdaq and what happens next?

Taitron expects Nasdaq trading to cease on or about Dec 4, 2025; the stock may seek quotation on OTC Pink but continued trading is not assured.

How will TAIT deregister and when will SEC reporting stop?

The company plans to file Form 15 on or about Dec 8, 2025; periodic reporting is expected to be suspended then and terminate 90 days later.

What management change did TAIT announce on Nov 10, 2025?

CFO and Secretary David Vanderhorst resigned those roles effective Nov 10, 2025, will remain as Controller, and CEO Stewart Wang assumed principal financial officer duties.

What were TAIT's key Q3 2025 financials (net product revenue and net income/loss)?

Q3 2025 net product revenue was $529,000 and the company reported a $58,000 net loss for the quarter.

How did TAIT's nine-month 2025 revenue compare to 2024?

Nine-month revenue for 2025 was $2.778M versus $3.374M in 2024, a decline of about 18%.

Will TAIT shareholders face reporting or liquidity changes after delisting?

Yes; delisting will suspend SEC reporting and may reduce liquidity if the stock moves to OTC Pink or otherwise lacks market-maker support.