Ernst & Young has resigned as the auditor for Super Micro Computer after finding that it can no longer rely on management’s misrepresentations.

Ernst & Young LLP resigned as the auditor to troubled server maker Super Micro Computer Inc., citing concerns about the company's governance and transparency. The shares plummeted the most in six years.

Super Micro Computer Inc., the troubled server maker whose auditor resigned last month, delayed yet another filing as it continues to search for a new accounting firm.

AI server maker Super Micro Computer said on Wednesday it is unable to file its quarterly report on form 10-Q for the quarter ended Sept. 30, 2024 in a timely manner, amid its ongoing delay in filing an annual report.

The server maker disclosed it will be late with its quarterly filing in addition to its past annual one. Super Micro also said it needs additional time to find a new auditor.

Though more research is under progress, the board-appointed special committee of the company recently finished an inquiry based on first concerns expressed by former auditor Ernst & Young. Artificial intelligence server manufacturer Super Micro said that the completion of its Q1 2025 Form 10-Q filing depends on completing the Form 10-K for the fiscal year ending June 30,

Super Micro Computer, the chip maker that became a target of short seller Hindenburg Research earlier this year, said it needs additional time to file its 10-Q form for earnings in the quarter ending Sept.

Super Micro Computer (SMCI) faces delays in filing its quarterly report due to ongoing investigations and the need to select a new accounting firm.

The company's shares fell about 4% in premarket trading. The stock is down 55% since Ernst & Young resigned as auditor in October after earlier flagging concerns about the company's governance, transparency and internal control over financial reporting.