GradingJun 12, 2024
IGI to Grade Charles & Colvard MoissaniteFinancialsOct 31, 2024
Charles & Colvard Faces Possible Nasdaq Delisting
The retailer said it will file the necessary paperwork to regain compliance as soon as it is able.
A 14-karat rose gold swirl bypass solitaire engagement ring set with a 1.10-carat “Forever One” cushion-cut moissanite by Charles & Colvard. The company is at risk of being delisted from the Nasdaq stock exchange after failing to file its annual report on time.
Research Triangle Park, N.C.—Charles & Colvard may be delisted from the Nasdaq due to noncompliance.
The North Carolina-based company announced Oct. 18 that it received a letter from the stock exchange stating it was not in compliance with the Nasdaq rule that requires the timely filing of all required periodic reports.
As of press time, the company has not filed its annual report via a Form 10-K for the fiscal year ending June 30, which was due to the exchange by Sept. 30.
Charles & Colvard filed a notification on Oct. 1 stating that it needed more time to complete the report due in part to the “pending outcome of confidential arbitration against the company.”
The company shared details of the dispute in its Q3 quarterly report, filed with the Securities and Exchange Commission on May 6.
Wolfspeed, a developer and manufacturer of wide-bandgap semiconductors (which allow devices to operate at much higher temperatures than conventional semiconductors), accused Charles & Colvard of breach of contract, claiming damages plus interest, cost, and attorney’s fees.
Charles & Colvard said it disputes the accusations.
While the Nasdaq notice doesn’t have an immediate effect on the company’s listing or trading of its common stock, it will have to regain compliance within 60 calendar days (by Dec. 17) or face delisting.
Alternatively, it can submit a plan to regain compliance to the Nasdaq by that day.
If the plan is accepted by the exchange, Charles & Colvard may be granted up to 180 calendar days, or until April 14, to regain compliance.
If the exchange does not accept the plan, the company can appeal the decision to a Nasdaq Hearings Panel.
“As stated in the company’s most recent press release, the company is working diligently to complete its Form 10-K and plans to file its Form 10-K as promptly as [is] practicable to regain compliance with the listing rule,” Charles & Colvard Chief Financial Officer Clint J. Pete said in a statement to National Jeweler.
Related stories will be right here …
The North Carolina-based company announced Oct. 18 that it received a letter from the stock exchange stating it was not in compliance with the Nasdaq rule that requires the timely filing of all required periodic reports.
As of press time, the company has not filed its annual report via a Form 10-K for the fiscal year ending June 30, which was due to the exchange by Sept. 30.
Charles & Colvard filed a notification on Oct. 1 stating that it needed more time to complete the report due in part to the “pending outcome of confidential arbitration against the company.”
The company shared details of the dispute in its Q3 quarterly report, filed with the Securities and Exchange Commission on May 6.
Wolfspeed, a developer and manufacturer of wide-bandgap semiconductors (which allow devices to operate at much higher temperatures than conventional semiconductors), accused Charles & Colvard of breach of contract, claiming damages plus interest, cost, and attorney’s fees.
Charles & Colvard said it disputes the accusations.
While the Nasdaq notice doesn’t have an immediate effect on the company’s listing or trading of its common stock, it will have to regain compliance within 60 calendar days (by Dec. 17) or face delisting.
Alternatively, it can submit a plan to regain compliance to the Nasdaq by that day.
If the plan is accepted by the exchange, Charles & Colvard may be granted up to 180 calendar days, or until April 14, to regain compliance.
If the exchange does not accept the plan, the company can appeal the decision to a Nasdaq Hearings Panel.
“As stated in the company’s most recent press release, the company is working diligently to complete its Form 10-K and plans to file its Form 10-K as promptly as [is] practicable to regain compliance with the listing rule,” Charles & Colvard Chief Financial Officer Clint J. Pete said in a statement to National Jeweler.
In its notification of late filing form, Charles & Colvard said it expects to report net sales were down by 25 percent year-over-year to $22.5 million for the fiscal year ending June 30.
The company said it expects to report a net loss that is “a significant change” compared with the net loss of $19.6 million reported last year.
It attributed the anticipated change in net loss to no income tax expense this year versus $5.9 million last year and the impact of a $5.9 million inventory write-down last year due to “pricing pressures and constrained consumer demand" that it will not have this fiscal year.
Charles & Colvard is best known for its moissanite jewelry but branched out into lab-grown diamonds in 2020, and lab-grown diamond prices have fallen precipitously since then.
The company previously faced the risk of being delisted due to a low stock price.
On June 12, 2023, Nasdaq sent the company a letter alerting it to noncompliance with a listing rule because its share price had not met the minimum bid price requirement of $1.
It was given 180 days to regain compliance as well as an additional 180 days after that, bringing it to June 2024.
To boost its stock price, Charles & Colvard announced in May that it would do a 1:10 reverse stock split.
In a reverse stock split, the number of shares a person owns is reduced while the price of each share is increased in a comparable way.
In a 1:10 reverse stock split, someone who owned $1,000 shares trading at $5 would then own 100 shares at $50 each after the split.
Charles & Colvard announced it had regained compliance in June.
Editor's Note: This story was edited post-publication to correct the reason for a change in net loss this fiscal year.
More on Financials
The Latest
CollectionsMay 29, 2026
Cultus Artem’s Necklace Is the Oasis in Las Vegas’ DesertThe “River of Heaven” necklace, our Piece of the Week debuting at Couture, combines 26 salt and pepper diamonds spaced by Tahitian pearls.
IndependentsMay 29, 2026
Meet the 2026 Retailer Hall of Fame InducteesThis year’s inductees include second-, third-, and fourth-generation jewelers.
Events & AwardsMay 28, 2026
JCK Announces Jesse Itzler as 2026 Keynote SpeakerThe author, speaker, and entrepreneur will give his presentation, “Spiritual Billionaire,” on Saturday morning.
Brought to you by
All Eyes on Gold Prices. Alternatives to Look For. And What to BEWARE of in VegasAs gold prices rise, today’s retailers are looking for alternatives at prices that will appeal to wider audiences.
Events & AwardsMay 28, 2026
JCK Rocks To Ride With NellyThree-time Grammy award-winning artist Nelly is set to perform at the annual event at Tao Beach on Sunday night.
Weekly QuizMay 28, 2026
This Week’s QuizTest your jewelry news knowledge by answering these questions.
MajorsMay 28, 2026
Signet Jewelers to Buy The Clear Cut Signet will integrate the online-only, natural diamond-focused jeweler into Blue Nile, which it wants to position as a higher-end retailer.
CollectionsMay 28, 2026
Meet The 17 Newcomers to Couture’s Design AtelierThese up-and-coming jewelry brands are bringing their distinct aesthetic and unique point-of-view to the Design Atelier for the first time.
Brought to you by
How Modern Training Is Becoming a Competitive Advantage for Jewelry RetailersWith the trade and customer trust in mind, GIA® developed NextGem™ – on-demand training designed specifically for retail.
GradingMay 28, 2026
GCAL By Sarine Launches 8X Cushion CutThe lab’s proprietary diamond cut grade has been expanded to include the popular fancy shape.
Events & AwardsMay 27, 2026
5 Security Tips for Las Vegas Jewelry Market Week 2026This year, it’s what could happen outside of show hours that worries JSA Executive Vice President Scott Guginsky.
ColumnistsMay 27, 2026
What Jewelers Can Learn From Luxury Fashion’s Digital PlaybookHigh-end fashion houses know how to emotionally connect with customers online. Retail jewelers should take note, Emmanuel Raheb writes.
Events & AwardsMay 27, 2026
Couture’s ‘The Iridescence’ Will Showcase 7 Emerging Jewelry DesignersThe designers are the third cohort of mentees from the show’s Belonging @ Couture mentorship program.
ColumnistsMay 26, 2026
The Key Mindset for Better Trade Show BuyingBuying discipline at trade shows starts with clarity about your inventory levels, Smith writes.
Events & AwardsMay 26, 2026
12 JCK Talks Sessions to Add to Your Las Vegas ScheduleThe trade show’s education series returns, with sessions on retail trends, AI, watches, marketing, corporate responsibility, and more.
Events & AwardsMay 26, 2026
CBG Brings Its Curated Designer Project to Las Vegas ShowThe Curated Designer Project has expanded to highlight eight independent jewelry designers during CBG’s Las Vegas show.
TrendsMay 26, 2026
Amanda’s Style File: A Cooldown Is ComingBring a cool tone to your summer jewelry with these white metal pieces.
Events & AwardsMay 22, 2026
Instore Buys JA New York ShowThe deal closed this week, which means Instore will produce the JA NY show slated to take place this fall.
CollectionsMay 22, 2026
Leigh Maxwell Celebrates 5 Years at Couture With ‘Bauble’ CollectionThe “Bauble” capsule collection of colorful one-of-a-kinds includes our Piece of the Week, the “Bauble” earrings, featuring rose zircon.
MajorsMay 22, 2026
Stuller’s New Packaging, Display Catalog Is Out The updated catalog has a newly dedicated section for gift wrapping.
PodcastsMay 21, 2026
Episode 5: Sotheby’s Frank Everett Puts the Auction Market in PerspectiveEverett covers colored stones’ surging popularity, the mellow return of the “Mellon Blue,” and his “The Devil Wears Prada” doppelgänger.
IndependentsMay 21, 2026
Springer’s Jewelers’ New Flagship Will Serve Next-Gen Luxury ShoppersFourth-generation CEO Lilly Mullen wants to emphasize experience, connection, and personalized service.
Events & AwardsMay 21, 2026
JA Announces Nina Pugliese Memorial ScholarshipThe new award, created in partnership with Henne Jewelers, honors the late designer’s legacy through supporting jewelry education.
SourcingMay 21, 2026
Botswana, Angola Join WFDBThe addition of the diamond-producing countries as nation affiliated members broadens the federation’s global representation, WFDB said.
CrimeMay 20, 2026
NYPD Warns of Jewelry Swap Scams Targeting SeniorsThe NYPD is warning elderly New Yorkers to keep their jewelry hidden when walking outside to avoid being a target.
IndependentsMay 20, 2026
Adornment & Theory’s New Store Feels Like Home Designer Viviana Langhoff has realized her dream of owning a space for her Chicago jewelry store that looks and feels like her brand.
Events & AwardsMay 20, 2026
Here Is Couture’s 2026 Education Lineup The sessions will run from Friday, May 29, to Sunday, May 31, with one being a live taping of an episode of Couture’s podcast.
Lab-GrownMay 20, 2026
Savannah Friedkin Jewelry Names New CEOFormer Stephanie Gottlieb Fine Jewelry executive Morgan P. Richardson is joining the lab-grown diamond jewelry brand.
