Super Micro Computer Denies Allegations from Hindenburg Research

Super Micro Computer on Tuesday denied claims made by short-seller Hindenburg Research in its reported findings last week, stating that it contained “false or inaccurate statements” about the AI server maker. This marks the company’s first comments on the allegations made against it.

Super Micro Computer Response to Allegations:

In its statement, Super Micro described the report as containing “misleading presentations of information that we have previously shared publicly.” The company indicated that it would address those statements “in due course,” although no further elaboration was provided at this time. Following the announcement, Super Micro’s shares rose more than 2% in early trading.

Hindenburg Research did not directly respond to a Reuters request for comment regarding Super Micro’s denial. Last week, Hindenburg disclosed a short position in Super Micro and alleged “accounting manipulation,” citing evidence of undisclosed related-party transactions and failures to adhere to export controls, among other issues.

A day after the short-sellers short-sellers report, Super Micro announced a delay in filing its annual report, pointing to a need to assess “its internal controls over financial reporting.” This news led to a significant fall in the company’s stock, which tumbled about 19%.

Investigation by Hindenburg:

Hindenburg claimed that its allegations resulted from a three-month investigation that included interviews with former senior employees of Super Micro and a review of litigation records.

Despite the allegations and delays surrounding its annual report, Super Micro reiterated that it expects no material changes in its fourth-quarter or fiscal-year financial results. CEO Charles Liang stated, “Neither of these events affects our products or our ability and capacity to deliver (IT solutions)… Our production capabilities are unaffected and continue operating at pace to meet customer demand.”