Simulations Plus (SLP) Faces Investor Scrutiny After Asset Impairments and Grant Thornton Contests Company Statements About Dismissal -- Hagens Berman

Core Viewpoint - Simulations Plus, Inc. experienced a significant decline in share price following a substantial net loss and the dismissal of its independent auditor, raising concerns about asset valuations and corporate governance [1][2][4]. Financial Performance - The company reported a net loss of $67.3 million for Q3 2025, which included a $77.2 million impairment charge [1]. - The impairment charge was attributed to adjustments in the book value of assets to align with current market values [4]. Auditor Dismissal - Simulations Plus terminated its engagement with Grant Thornton on July 9, 2025, just a few months after hiring them on April 15, 2025 [1][4]. - The company cited issues related to segment reporting and internal controls over financial reporting as reasons for the auditor change, claiming no "reportable events" occurred [5]. Investigation - Hagens Berman, a national shareholders rights firm, has initiated an investigation into whether Simulations Plus misled investors regarding asset valuations and the reasons for the auditor's dismissal [2][7]. - Grant Thornton disputed the company's account, indicating that they had raised specific concerns during their review of the financial statements [6].