Summary by Moomoo AI
Exela Technologies, Inc. has communicated with the Securities and Exchange Commission (SEC) regarding changes to its financial reporting practices, specifically concerning non-GAAP financial measures. In a letter dated February 22, 2024, Exela acknowledged the SEC's feedback and outlined its decision to alter the presentation of its Adjusted EBITDA in future filings. The company will no longer include optimization and restructuring expenses, certain non-cash charges, and contract costs in its Adjusted EBITDA calculations, a change from its historical practice. This adjustment follows discussions with the SEC's Division of Corporation Finance, Office of Trade & Services on January 16 and February 20, 2024. Exela provided a reconciliation of Adjusted EBITDA for the fiscal year ended December 31, 2022, showing a revised figure of $66,650 thousand compared to the historically presented $139,893 thousand. The company has committed to providing clear disclosure of these changes in future filings and reaffirmed its responsibility for the accuracy of its disclosures.