Gorilla Technology Releases Full Year Audited Financials for 2024

Rhea-AI Summary

Gorilla Technology (NASDAQ: GRRR) announced the upcoming filing of its full-year audited financials for 2024 on Form 20-F with the SEC. CEO Jay Chandan highlighted 2024 as a transformative year, marking the company's expansion from Southeast Asia to India and the Middle East, with growing momentum in Europe, North America, and Latin America.

Key developments include:

• Full remediation of all previously reported material weaknesses
• Upgraded financial systems and strengthened internal governance
• Achievement of full Sarbanes-Oxley compliance
• Enhanced business development engine focused on efficient deployment

Interim CFO Bruce Bower emphasized the company's strong financial foundation and readiness to scale. The company, specializing in Security Intelligence, Network Intelligence, Business Intelligence, and IoT technology, positions itself as a leader in the AI-driven era.

Positive

• Full remediation of all previously reported material weaknesses in financial controls
• Achievement of full Sarbanes-Oxley compliance
• Expansion across multiple regions: Southeast Asia, India, Middle East, with momentum in Europe, North America and Latin America
• Strong sales pipeline reported by management
• Streamlined operations and upgraded financial systems

Negative

• No specific financial metrics or growth numbers provided in the PR
• Operating in challenging macroeconomic environment (acknowledged by management)
• Recent CFO position filled by interim appointment, indicating potential leadership transition uncertainty

Insights

Financial Analyst

Gorilla resolves material weaknesses and achieves SOX compliance, signaling improved financial governance ahead of 2024 filing.

The announcement that Gorilla Technology has remediated all previously reported material weaknesses in its financial controls represents a significant development for investor confidence. Material weaknesses indicate potential deficiencies in a company's ability to produce reliable financial statements, so their resolution removes an important risk factor.

The press release confirms Gorilla is now fully Sarbanes-Oxley compliant following work with external consultants. This compliance framework mandates rigorous standards for financial reporting and disclosure controls, typically requiring substantial investment in processes, systems, and personnel.

Notably absent from this announcement are any actual financial figures or performance metrics for 2024. While management provides qualitative statements about business momentum, global expansion, and a strong sales pipeline, the substance of Gorilla's financial performance will only be available when the Form 20-F is filed after market close.

The system upgrades, experienced talent hiring, and strengthened internal governance mentioned in the release collectively address the infrastructure required for reliable financial reporting. This governance improvement represents important progress in establishing the foundation for trustworthy financial disclosure, though investors will need to evaluate the upcoming filing for a complete assessment of the company's financial health.

Corporate Governance Expert

Remediation of all material weaknesses and SOX compliance signals significantly improved financial controls, reducing reporting reliability risks.

The announcement that Gorilla Technology has fully remediated all previously reported material weaknesses represents a significant corporate governance achievement. Material weaknesses indicate substantial deficiencies in internal control over financial reporting that create reasonable possibility of material misstatements not being prevented or detected.

According to the press release, Gorilla implemented comprehensive improvements across three key areas: upgrading financial systems, hiring experienced talent, and strengthening internal governance. These measures collectively address the infrastructure required for reliable financial reporting. The company's statement that it worked extensively with an external consultant to achieve full Sarbanes-Oxley compliance demonstrates a methodical approach to addressing these control deficiencies.

For public companies, SOX compliance provides assurance that financial statements are prepared with appropriate controls and oversight. Section 404 of SOX specifically requires management and external auditors to report on the adequacy of internal controls over financial reporting - a requirement that becomes more complex for globally operating companies.

The remediation of these weaknesses doesn't necessarily indicate anything about the company's financial performance, but it does reduce a significant risk factor related to financial reporting reliability. Investors typically assign a risk premium to companies with material weaknesses, so this development may positively influence risk assessment models. The full details of the remediated controls will likely be available in the Form 20-F filing referenced in the release.

London, United Kingdom--(Newsfile Corp. - April 30, 2025) - Gorilla Technology Group Inc. (NASDAQ: GRRR) ("Gorilla" or the "Company"), a global solution provider in Security Intelligence, Network Intelligence, Business Intelligence and IoT technology, today announced that the filing of its full-year audited financials for the year ended 31 December 2024 on Form 20-F with the U.S. Securities and Exchange Commission will be made today after market close.

Jay Chandan, Chairman and CEO, commented: "2024 was the year we moved from transformation to acceleration. We have cemented our position in the AI ecosystem, and we are building the digital infrastructure that will power governments and enterprises for the next decade. Over the last 18 months, we have rapidly expanded across the globe - from Southeast Asia to India to the Middle East. We are also building strong momentum in Europe, North America and Latin America. We have built a business development engine which is underpinned by model of efficient deployment and long-term partnership. Our sales pipeline is strong, our operations are streamlined, and we are confident as we look to the future, even in the midst of a challenging macroeconomic environment."

Mr. Chandan continued, "The strength of our audited financials reflects the discipline, scale and ambition with which we are running the business. Our commitment to accuracy in financial reporting and disclosure reinforces that Gorilla stands on solid ground - operationally, financially and ethically."

Gorilla's 20-F will reflect the following updates to its financial controls and reporting:

• Gorilla has fully remediated all previously reported material weaknesses. This includes upgrading its financial systems, hiring experienced talent and strengthening its internal governance.
• Gorilla is fully Sarbanes-Oxley compliant, following extensive work with an external consultant, underscoring the depth and rigor of the Company's internal controls and processes, as well as its maturity as a U.S.-listed company.

Bruce Bower, Interim CFO, added, "We are pleased to progress our financial imperatives. Looking ahead, Gorilla will continue to uphold the rigor, discipline and integrity that this filing has demonstrated and confirms. The foundation is in place, and we are well-positioned to scale for the long-term. With a clear strategy, exceptional leadership and relentless execution, we believe Gorilla represents front-footed leadership in this new AI-driven era."

Further information and full financial statements can be found in the 20-F filed later today, after market close, on the SEC's website at www.sec.gov.

About Gorilla Technology Group Inc.

Headquartered in London U.K., Gorilla is a global solution provider in Security Intelligence, Network Intelligence, Business Intelligence and IoT technology. We provide a wide range of solutions, including Smart City, Network, Video, Security Convergence and IoT, across select verticals of Government & Public Services, Manufacturing, Telecom, Retail, Transportation & Logistics, Healthcare and Education, by using AI and Deep Learning Technologies.

Our expertise lies in revolutionizing urban operations, bolstering security and enhancing resilience. We deliver pioneering products that harness the power of AI in intelligent video surveillance, facial recognition, license plate recognition, edge computing, post-event analytics and advanced cybersecurity technologies. By integrating these AI-driven technologies, we empower Smart Cities to enhance efficiency, safety and cybersecurity measures, ultimately improving the quality of life for residents.

For more information, please visit our website: Gorilla-Technology.com.

Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Gorilla's actual results may differ from its expectations, estimates and projections and consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believes," "predicts," "potential," "might" and "continues," and similar expressions are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, statements regarding our beliefs about future revenues, our ability to attract the attention of customers and investors alike, Gorilla's ability to win additional projects and execute definitive contracts related thereto, along with those other risks described under the heading "Risk Factors" in the Form 20-F Gorilla will file with the Securities and Exchange Commission (the "SEC") on April 30, 2025 and those that are included in any of Gorilla's future filings with the SEC. These forward-looking statements involve significant risks and uncertainties that could cause actual results to differ materially from expected results. Most of these factors are outside of the control of Gorilla and are difficult to predict. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those indicated or anticipated by such forward-looking statements. Readers are cautioned not to place undue reliance upon any forward-looking statements, which speak only as of the date made. Gorilla undertakes no obligation to update forward-looking statements to reflect events or circumstances after the date they were made except as required by law or applicable regulation.

Investor Relations Contact:

Dave Gentry
RedChip Companies, Inc.
1-407-644-4256
GRRR@redchip.com

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/250289

FAQ

What financial improvements did Gorilla Technology (GRRR) report in its 2024 annual report?

Gorilla Technology (GRRR) reported full remediation of all previously reported material weaknesses, upgraded financial systems, strengthened internal governance, and achieved full Sarbanes-Oxley compliance in 2024.

Which global markets did Gorilla Technology (GRRR) expand into during 2024?

In 2024, Gorilla Technology expanded across Southeast Asia, India, the Middle East, and built strong momentum in Europe, North America, and Latin America.

How is Gorilla Technology (GRRR) positioned in the AI ecosystem as of 2024?

According to the 2024 report, Gorilla Technology has cemented its position in the AI ecosystem by building digital infrastructure for governments and enterprises, with a strong sales pipeline and streamlined operations.

What changes did Gorilla Technology (GRRR) make to its financial controls in 2024?

In 2024, Gorilla Technology hired experienced talent, upgraded financial systems, strengthened internal governance, and worked with external consultants to achieve Sarbanes-Oxley compliance.

How is Gorilla Technology (GRRR) addressing the challenging macroeconomic environment?

Gorilla Technology maintains confidence through its strong sales pipeline, streamlined operations, efficient deployment model, and long-term partnership approach, despite challenging macroeconomic conditions.