Socket Mobile faces Nasdaq delisting notice after stockholders' equity falls below $2.5 million requirement
FREMONT, Aug 24. Socket Mobile, Inc. received a delisting notice from Nasdaq on August 24, 2026, after the company's stockholders' equity of $2,382,624 fell short of the exchange's $2.5 million minimum continued listing requirement. Shares of SCKT remain listed and trading on the Nasdaq Capital Market, the company disclosed in a Form 8-K.
Key takeaways
- Socket Mobile received a Nasdaq delisting notice on August 24, 2026, after its stockholders' equity of $2,382,624 fell below the $2.5 million minimum continued listing requirement under Nasdaq Listing Rule 5550(b)(1).
- SCKT common stock remains listed and trading on the Nasdaq Capital Market, and the notice has no immediate effect on listing or trading.
- As of August 24, the company also failed to meet either alternative standard: a $35 million market value of listed securities or $500,000 in net income from continuing operations.
- Nasdaq gave Socket Mobile 45 calendar days, until October 8, 2026, to submit a plan to regain compliance, with a possible extension of up to 180 calendar days from the notice date.
- Socket Mobile said it intends to submit the compliance plan by the deadline but cautioned there is no assurance Nasdaq will accept it or that it will regain compliance.
FREMONT, Aug 24. Socket Mobile, Inc. received a delisting notice from Nasdaq on August 24, 2026, after the company's stockholders' equity of $2,382,624 fell short of the exchange's $2.5 million minimum continued listing requirement. Shares of SCKT remain listed and trading on the Nasdaq Capital Market, the company disclosed in a Form 8-K.
The notice came from the Listing Qualifications Department of The Nasdaq Stock Market LLC and cited noncompliance with Nasdaq Listing Rule 5550(b)(1). The equity figure was drawn from Socket Mobile's Quarterly Report on Form 10-Q for the period ended June 30, 2026. As of August 24, the company also did not satisfy either of the two alternative continued listing standards, according to the Notice.
Nasdaq Listing Rule 5550(b)(2) requires a market value of listed securities of at least $35 million. Nasdaq Listing Rule 5550(b)(3) requires net income from continuing operations of at least $500,000 in the most recently completed fiscal year or in two of the three most recently completed fiscal years. The company met neither threshold, the filing shows.
Compliance path and deadline
Nasdaq gave Socket Mobile 45 calendar days, until October 8, 2026, to submit a plan to regain compliance. If Nasdaq accepts the plan, the exchange may grant an extension of up to 180 calendar days from the date of the Notice to evidence compliance. If the plan is not accepted, the company may appeal to a Nasdaq Hearings Panel.
Socket Mobile said it intends to submit the compliance plan within the deadline and is evaluating available actions to satisfy the Minimum Stockholders' Equity Requirement. The filing stated there can be no assurance that Nasdaq will accept the plan, grant an extension, or that the company will regain or maintain compliance with Nasdaq's continued listing requirements.
The Notice carries no immediate effect on listing or trading. Common stock of Socket Mobile, a Delaware corporation headquartered at 40675 Encyclopedia Circle in Fremont, California, continues to trade under SCKT.
Lynn Zhao, Vice President, Finance and Administration and Chief Financial Officer, signed the filing on August 28, 2026.