Argo Blockchain shares tumble as it prepares to suspend trading amid widening losses
Argo Blockchain has seen its stock tumble as it prepares to suspend trading of its shares over issues with its accounts as it posted widening losses.
The crypto miner’s shares fell as much as 25 per cent as it conceded it had failed to finalise its accounts by the deadline required by London listing rules, forcing it to request a temporary suspension of the listing of its shares.
The firm put accounting delays down to a letter it received from the US securities regulator over the treatment of its digital assets.
The letter forced the company to restate its 2023 accounts, decreasing the net loss figure and reclassifying cashflows, holding up the publication of its 2024 results.
“The delay is due to management time and auditor resources being directed toward the restatement of the company’s annual report …for the year ended 31 December 2023,” Argo said.
“The company’s auditor, PKF Littlejohn LLP, has advised the company that, while the audit process is near completion, it will not be finalised by the deadline.”
Argo’s preliminary results show the company suffered widening losses of $54.4m in 2024, a jump of 57 per cent compared to the previous year, while total revenues declined slightly to $47m.
Argo’s accounting difficulties are the latest blow to the company after it was warned that the stock’s low price risked forcing the company to cancel its Nasdaq listing over a breach of the minimum bid price requirement.
The firm, which operates crypto mining sites in Quebec and Texas, has been given until July to see its share price recover.
In January, CEO Thomas Chippas announced he would stepping down from his position effective 28 February 2025, after barely more than a year in the role.
The company’s shares have fallen more than 80 per cent over the past year.