Inno Holdings Inc. (NASDAQ: INHD) completed a 1‑for‑24 reverse stock split effective December 22, 2025, consolidating 24 existing shares into one and reducing the total shares outstanding from 97.9 million to 4.1 million. The company filed an amendment to its Texas certificate of formation on December 18, 2025, and the split will take effect at 12:01 a.m. Eastern Time on the closing day.
The reverse split is a strategic move to preserve the company’s Nasdaq listing after a series of compliance challenges. In April 2024, Nasdaq notified Inno that it had failed to maintain the required $1.00 bid price for 30 consecutive business days, giving the company until October 9, 2024, to remedy the situation. A prior 1‑for‑10 reverse split, effective October 10, 2024, was also undertaken to address the same issue, underscoring a persistent struggle to keep the share price above the minimum threshold.
Financially, Inno’s performance has been weak. For the year ended September 30, 2025, revenue was $2.85 million and the company posted a net loss of $7.01 million. Gross profit margins hovered around 2 % or fell to –11 % in some periods, and operating and net margins were –157 % and –249 % respectively. Revenue growth over the past three years declined by 37.6 %, and the company has been unprofitable for the last twelve months.
The reverse split is intended to strengthen the capital structure and reduce the number of shares to a level that better reflects the company’s market capitalization of roughly $1.4 million. By consolidating shares, the company hopes to improve liquidity and meet Nasdaq’s continued listing requirements, while also signaling a proactive approach to managing its capital base.
Inno’s business description varies across sources, with some labeling it a trade‑focused electronic products trading company and others describing it as a building‑technology firm specializing in cold‑formed steel‑framing technology. The company’s recent history of multiple financings and strategic partnerships has been met with cautious investor sentiment, and each event has been followed by negative market reaction, reflecting concerns about the company’s long‑term viability.
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