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
MajorsOct 23, 2026
PGI USA Set to Close at Year’s EndThe closure is part of a global restructuring that also includes PGI winding down its operations in Japan, South Korea, and Hong Kong.
SourcingOct 23, 2026
Rachel Chalchinsky’s ‘Survivor Tribute’ RingThe ring, our Piece of the Week, was designed by eight-year breast cancer survivor Rachel Chalchinsky of Color Source Gems.
TechnologyOct 23, 2026
JA Unveils New Website, LogoThe website offers enhanced member benefit access, industry directories, educational resources, a job board, and access to the MJSA Journal.
Brought to you by
A Diamond Is Forever Launches 2026 Holiday Campaign Championing Natural DiamondsA Diamond Is Forever's holiday campaign reimagines natural diamond icons for a new generation celebrating individuality.
CrimeOct 22, 2026
Jeweler Shot and Killed in His Suburban Cincinnati Store Tara Sinchuri was the owner of Everest Jewels in Fairfield, Ohio, and a father of three. He was found dead in his store on Tuesday.
Weekly QuizOct 22, 2026
This Week’s QuizTest your jewelry news knowledge by answering these questions.
MajorsOct 22, 2026
Neiman Marcus Has Gifts for the Jewelry Lover Who Has EverythingBespoke experiences from Buccellati and Verdura are on the retailer’s 2026 “Fantasy Gifts” list.
Events & AwardsOct 22, 2026
JIS Fall 2026 Reports Record-Breaking Attendance The number of participants at the fall show was up 12 percent.
Brought to you by
Open an Account, Get $50 Off Your First Order. No Code Needed.Built on Relationships. Refined by Craft.
CollectionsOct 22, 2026
Billie Eilish, Finneas Co-Design Collection for John HardyThe Academy and Grammy award-winning siblings have collaborated with John Hardy on a new jewelry line inspired by their personal style.
PodcastsOct 21, 2026
Episode 10: This Episode Is Haunted Diana Singer shared the stories of two “cursed” diamonds on this month’s podcast, which was inexplicably riddled with technical issues.
IndependentsOct 21, 2026
Gardner-Collier Jewelry to Close After 9 Decades in BusinessThe family-owned jeweler has three locations across Missouri and Iowa.
SourcingOct 21, 2026
Venetia Mines Final Carats Ahead of 2-Year ShutdownThe De Beers-owned diamond mine in South Africa is being put on ice as part of a round of previously announced cost-cutting measures.
CollectionsOct 21, 2026
Helzberg, Nordstrom Carrying New Jewelry Collection From Off-WhiteThe collection centers designs with clean geometric lines, chunky sculptural pieces, and recognizable details from the luxury fashion brand.
SourcingOct 21, 2026
Gemfields’ Mixed-Quality Ruby Auction Earns $52MThe miner said it saw particularly strong prices for larger, fine-quality rubies at the sale.
CrimeOct 20, 2026
Security Guard Charged With Murder in Shooting at Texas MallThe guard opened fire on a man who was smashing a jewelry display case at La Gran Plaza in Fort Worth last week, police said.
IndependentsOct 20, 2026
David Gardner’s Jewelers Unveils Newly Expanded, Revamped ShowroomThe Texas jeweler added 2,000 square feet to its reimagined showroom, complete with a new design studio and an event space.
SourcingOct 20, 2026
The $50M Victoria’s Secret ‘Fantasy Bra’ By The NumbersJacob & Co.'s diamond masterpiece is the most expensive Fantasy Bra ever worn on the Victoria’s Secret Fashion Show runway.
CollectionsOct 20, 2026
Mignon Faget’s Collection Chooses Handmade Over AIThe “Atelier” collection was inspired by the tools, rituals, and objects in an artist’s studio as a quiet rebuttal to an automated world.
MajorsOct 19, 2026
The Knot to Acquire Rival Wedding Planning Platform ZolaThe pending acquisition is an “exciting opportunity” for wedding vendors to grow their business, said The Knot Worldwide’s CEO.
SourcingOct 19, 2026
Jewelry Design Competition Show Airs in Thailand"The Secret Gems" features eight Thai jewelry brands paired with a team of young craftspeople who create jewelry together to win challenges.
CollectionsOct 19, 2026
John Hardy Enters the Medallion Chat With Talisman Collection The brand’s “Modern Talisman” capsule collection introduces pendants inspired by the mythology, natural world, and spiritual ethos of Bali.
IndependentsOct 19, 2026
The Stories of 5 Jewelers Celebrating Their Centennials in 2026Independent jewelers from New Mexico to New Jersey answer the question: What has kept your store in business for 100 years?
SurveysOct 16, 2026
How Inflation, Gas Prices Will Affect Holiday Sales The NRF is expecting holiday sales to increase this year, but consumers and retailers alike are facing Grinch-like headwinds.
CollectionsOct 16, 2026
Christina Puchi’s Earrings Hold the UniverseOur Piece of the Week gathers the planets, represented by a variety of colored gemstones, in a pair of 14-karat yellow gold earrings.
IndependentsOct 16, 2026
Reeds Jewelers Expands, Relocates FlagshipThe New York-based jeweler is moving its Amherst flagship store to a larger location in nearby Snyder.
MajorsOct 16, 2026
Katy Chen Appointed Executive Vice President of Graff USA Chen, who worked at Cartier and Tiffany & Co., will lead retail sales and operations for the luxury jeweler’s 11 U.S. stores.
IndependentsOct 15, 2026
Retailer Hall of Fame 2026: Amy and Elise Greenberg For 40 years, sisters Amy and Elise Greenberg have helmed their 126-year-old family business, leading with appreciation and integrity.
