Core Points - America's Car-Mart, Inc. has received a notice from Nasdaq regarding non-compliance due to the delayed filing of its Annual Report for the fiscal year ended April 30, 2025 [1][2] - The delay is attributed to the need for additional disclosures related to loan modifications for borrowers facing financial difficulties, as per accounting standards [2] - The company must submit a plan to regain compliance within 60 days, by September 29, 2025, and may receive an extension of up to 180 days to comply [3] Company Overview - America's Car-Mart operates automotive dealerships in 12 states and is one of the largest publicly held automotive retailers in the U.S., focusing on the "Integrated Auto Sales and Finance" segment of the used car market [5] - The company emphasizes superior customer service and strong personal relationships with customers, primarily operating in smaller cities throughout the South-Central United States [5]

Core Viewpoint - America's Car-Mart, Inc. is working to complete omitted disclosures related to loan modifications for customers facing financial difficulties, which will be included in its Annual Report on Form 10-K for the fiscal year ended April 30, 2025 [1][3] Group 1: Disclosure Requirements - The company identified the need to include disclosures related to loan modifications in accordance with Financial Accounting Standards Board Accounting Standards Codification (ASC) 310-10-50-42 through 50-44 [3] - The company determined that its previously issued financial statements contain material omissions of required disclosures under these ASC provisions [3][4] Group 2: Specific Omissions - Required disclosures include qualitative and quantitative information about the types of modifications utilized, total period-end amortized cost basis of modified receivables, and the percentage of modifications made to debtors experiencing financial difficulty [4] - The financial effect of modifications by type, including changes to contractual terms and the incremental effect of principal forgiveness, was also omitted [4] - Performance of receivables in the 12 months following a modification for debtors experiencing financial difficulty was not disclosed [4] Group 3: Internal Control and Reporting - The company identified deficiencies in its internal control over financial reporting related to the omitted disclosures and expects to report material weaknesses in its Form 10-K [5] - Management determined that certain previously issued financial statements should no longer be relied upon due to the omission of loan modification information [6] - The affected periods include quarterly reports for fiscal years 2024 and 2025 through January 31, 2025, and the annual report for fiscal year 2024 [6] Group 4: Impact on Financial Statements - The additional disclosures required will not affect the accuracy of the company's previously reported financial results, including earnings, balance sheet, cash flows, or shareholder equity [7][9] - The company plans to report the omitted loan modification disclosures for the non-reliance periods in its Form 10-K [7] Group 5: Filing and Compliance - The company is working to complete the necessary disclosures and will file its Form 10-K as soon as practicable [8] - The company expects to receive a notice from Nasdaq regarding non-compliance with timely filing requirements, but does not anticipate an immediate effect on the listing or trading of its common stock [10] Group 6: Company Overview - America's Car-Mart operates automotive dealerships in 12 states and is one of the largest publicly held automotive retailers in the U.S., focusing on the "Integrated Auto Sales and Finance" segment of the used car market [11]