Edgio Names BDO as Independent Auditor

Rhea-AI Summary

Edgio, Inc. (NASDAQ: EGIO) has appointed BDO USA, P.C. as its independent registered public accounting firm for the fiscal year ended December 31, 2023, replacing Ernst & Young. The CEO, Todd Hinders, expressed confidence in BDO's ability to deliver high-quality audit services and handle complex accounting matters.

Insights

Financial Analyst

The appointment of BDO USA, P.C. as Edgio, Inc.'s new independent registered public accounting firm represents a significant shift in the company's financial oversight mechanisms. The change in auditors can often signal to investors and market analysts an evolution in a company's approach to transparency and financial diligence. BDO's reputation for handling complex accounting matters suggests that Edgio is prioritizing the integrity of its financial reporting. This transition may be interpreted as a strategic move to bolster investor confidence, particularly after the resignation of the previous audit firm, Ernst & Young.

It is important to note that auditor changes can sometimes raise questions about the reliability of past financial statements, even when there are no explicit issues reported. Therefore, stakeholders will be closely monitoring the first audit results under BDO for any restatements or discrepancies that could affect the company's financial health. Over the long term, if BDO provides a fresh perspective and identifies areas for improvement in financial reporting, it could lead to enhanced financial practices and potentially improved stock performance.

Market Research Analyst

From a market perspective, the announcement of a new auditor is not typically a major market-moving event. However, it can influence the perception of Edgio, Inc. within the financial community. BDO USA's entrance may be seen as a commitment to high-quality audits, which could positively affect the company's reputation among investors. The market will be keen to observe any strategic changes that come as a result of this new partnership, such as adjustments in financial strategy or corporate governance.

In the context of the broader industry, auditor changes are not uncommon, but they are still noteworthy. Investors often look for stability and consistency in a company's financial reporting and a seamless transition to BDO could reassure stakeholders looking for signs of operational continuity. Analysts will be particularly interested in the forthcoming 2023 audit results, as these will provide an early indication of the impact BDO's appointment has had on Edgio's financial disclosures and compliance with regulatory standards.

PHOENIX--(BUSINESS WIRE)-- Edgio, Inc. (NASDAQ: EGIO), the platform of choice for speed, security, and simplicity at the edge, today announced that its board of directors has appointed BDO USA, P.C. as the company’s independent registered public accounting firm for the fiscal year ended December 31, 2023, effective immediately. BDO USA, P.C. succeeds Ernst & Young, who resigned as Edgio’s audit firm in December.

"We are pleased to welcome BDO as the independent auditor for Edgio," said Todd Hinders, Edgio CEO. "BDO’s stellar reputation for delivering timely, high-quality audit services and expertise in handling complex accounting matters made it the ideal partner for Edgio. We look forward to a successful partnership with BDO, beginning with our 2023 audit."

About BDO USA

BDO is the brand name for BDO USA, P.C., a U.S. professional services firm providing assurance, tax, financial advisory and consulting services to a wide range of publicly traded and privately held companies. For more than 100 years, BDO has provided quality service through the active involvement of experienced and committed professionals. The firm serves clients through more than 60 offices and more than 800 independent alliance firm locations nationwide. As an independent Member Firm of BDO International Limited, BDO serves multi-national clients through a global network of more than 1,700 offices in over 160 countries.

BDO USA, P.C., a Virginia professional corporation, is the U.S. member of BDO International Limited, a UK company limited by guarantee, and forms part of the international BDO network of independent member firms. BDO is the brand name for the BDO network and for each of the BDO Member Firms. For more information, please visit: www.bdo.com.

About Edgio

Edgio (NASDAQ: EGIO) helps companies deliver online experiences and content faster, safer, and with more control. Our developer-friendly, globally scaled edge network, combined with our fully integrated application and media solutions, provide a single platform for the delivery of high-performing, secure web properties and streaming content. Through this fully integrated platform and end-to-end edge services, companies can deliver content quicker and more securely, thus boosting overall revenue and business value. To learn more, visit edg.io and follow us on Twitter, LinkedIn, and Facebook.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240129989273/en/

Investor relations contact:

Sameet Sinha

602-850-4973

ir@edg.io

Media relations contact:

Sally Winship Comollo

781-366-5580

swinship-comollo@edg.io

Source: Edgio, Inc.

FAQ

Who is the new independent registered public accounting firm appointed by Edgio, Inc.?

BDO USA, P.C. has been appointed as the new independent registered public accounting firm for Edgio, Inc.

When will BDO USA, P.C. begin its role as Edgio's independent auditor?

BDO USA, P.C. will begin its role as Edgio's independent auditor immediately for the fiscal year ended December 31, 2023.

Who was the previous audit firm for Edgio, Inc.?

Ernst & Young was the previous audit firm for Edgio, Inc.

Why did Ernst & Young resign as Edgio's audit firm?

Ernst & Young resigned as Edgio's audit firm in December.

What is the ticker symbol for Edgio, Inc.?

The ticker symbol for Edgio, Inc. is EGIO.