Perfect Moment Plan to Regain Compliance with Continued Listing Standards Accepted by NYSE American

Rhea-AI Summary

Perfect Moment (NYSE American: PMNT) has received acceptance from NYSE American for its plan to regain compliance with continued listing requirements by June 11, 2026. The company needs to address stockholders' equity issues following notifications received on December 11, 2024, and March 4, 2025, due to reported losses in recent fiscal years.

The company is implementing strategic initiatives including expansion into the luxury outerwear market and extending beyond traditional fall/winter seasons. Perfect Moment has strengthened its team with key hires from Canada Goose and opened its first U.S. distribution center, resulting in a 273 basis points improvement in gross margin for the fiscal third quarter through improved operating efficiency and reduced costs.

Positive

• Gross margin improved by 273 basis points in Q3
• New U.S. distribution center reducing operational costs
• Strategic expansion into broader luxury outerwear market
• Key executive hires from Canada Goose strengthening management team

Negative

• Company below required stockholders' equity threshold
• Reported losses in recent fiscal years
• Must achieve compliance by June 2026 to maintain NYSE American listing

Insights

Financial Analyst

Perfect Moment's NYSE American listing compliance plan acceptance resolves an immediate regulatory concern, providing breathing room until June 2026 to address underlying financial weaknesses. The exchange had notified the company twice in recent months about falling below the required stockholders' equity threshold due to sustained losses.

The 273 basis point gross margin improvement in Q3 signals early traction in their financial turnaround strategy. This margin expansion stems from operational efficiencies gained through their new U.S. distribution center, which reduced duty costs and shipping expenses while improving customer experience.

Management's strategic initiatives focus on three key growth vectors: expanding beyond seasonal skiwear into year-round luxury outerwear, transitioning from slope-focused to urban products, and extending their selling season beyond traditional fall/winter.

The executive talent acquisition from Canada Goose—particularly the new CFO/COO—brings valuable industry expertise from a successful public company in the luxury outerwear space. This strengthening of the management team aligns with their market expansion strategy.

While the compliance plan buys time, investors should recognize that fundamental financial challenges remain. The company must execute its growth and margin expansion initiatives effectively to rebuild stockholders' equity and create sustainable profitability.

LONDON--(BUSINESS WIRE)-- Perfect Moment Ltd. (NYSE American: PMNT), the high-performance, luxury skiwear and lifestyle brand that fuses technical excellence with fashion-led designs, has received notice of acceptance from the NYSE American of the company’s plan to regain compliance with the exchange’s continued listing requirements. The plan details the company's strategy to regain compliance with continued listing standards for stockholders’ equity by June 11, 2026.

The exchange notified Perfect Moment on December 11, 2024, and on March 4, 2025, regarding the company's stockholders' equity which currently stands below the required threshold due to reported losses in recent fiscal years. These notifications and the subsequent acceptance of the company’s plan to regain compliance does not impact Perfect Moment’s current trading status, daily operations or SEC reporting.

“Acceptance of our compliance plan by NYSE American provides us a clear pathway to regaining compliance,” stated Perfect Moment president and chief creative officer, Jane Gottschalk. “We are actively pursuing a number of strategic initiatives aimed at strengthening our financial position and delivering greater value to our shareholders.”

These initiatives include the company’s expansion into the larger and faster-growing luxury outerwear market, broadening its brand appeal from the slope to the city and extending its traditional fall/winter selling season throughout the year.

The company recently announced the strengthening of its production and management team with key hires from Canada Goose to support its growth and market expansion.

Chath Weerasinghe, the company’s new CFO and COO who recently joined from Canada Goose, commented: “We continue to make significant progress across our margin expansion projects, which has included the opening of our first U.S. distribution center. This new center has enabled us to improve our operating efficiency and customer experience while lowering duty cost and outbound and return shipping cost for the U.S. market.”

As a result of these lower costs, the company reported a gross margin improvement of 273 basis points for the fiscal third quarter.

About Perfect Moment

The Perfect Moment brand was born in 1984 in the mountains of Chamonix, France. The Perfect Moment brand was relaunched by Max and Jane Gottschalk in 2012 and was acquired by the company in 2017 and 2018. Perfect Moment is a high-performance luxury skiwear and lifestyle brand. It blends technical excellence with fashion-forward designs, creating pieces that effortlessly transition from the slopes to the city, the beach, and beyond.

Initially the vision of extreme sports filmmaker and professional skier Thierry Donard, the brand was built on a sense of adventure that has sustained for over 20 years. Donard, fueled by his personal experiences, was driven by a desire to create pieces that offered quality, style and performance, pushing the wearer in the pursuit of every athlete’s dream: to experience ‘The Perfect Moment.’

In 2012, British-Swiss entrepreneurial couple Jane and Max Gottschalk took ownership of the brand. Under Jane’s creative direction Perfect Moment was injected with a new style focus, one that reignited the spirit of the heritage brand, along with a commitment to improving fit, performance and the use of best-in-class functional materials. As such, the designs evolved into distinct statement pieces synonymous with the brand as we know it today.

Today, the brand is available globally, online and at major retailers, including MyTheresa, Net-a-Porter, Harrods, Selfridges, Saks, Bergdorf Goodman and Neiman Marcus.

Perfect Moments’ global luxury ski apparel market is expected to reach $1.7 billion in 2024 and grow at a compound annual growth rate (CAGR) of 6.2% through 2032, according to Business Research Insights. Its expanding market for luxury outerwear is expected to reach $17.9 billion in 2024 and grow at a 6.7% CAGR through 2033, reports Business Research Insights.

Learn more at www.perfectmoment.com.

Important Cautions Regarding Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical fact, contained in this press release are forward-looking statements. Forward-looking statements contained in this press release may be identified by the use of words such as “anticipate,” “believe,” “contemplate,” “could,” “estimate,” “expect,” “intend,” “seek,” “may,” “might,” “plan,” “potential,” “predict,” “project,” “target,” “aim,” “should,” “will” “would,” or the negative of these words or other similar expressions, although not all forward-looking statements contain these words. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based on our current expectations and are subject to inherent uncertainties, risks and assumptions that are difficult to predict. Further, certain forward-looking statements are based on assumptions as to future events that may not prove to be accurate. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ from those contained in the forward-looking statements, include those risks and uncertainties described more fully in the section titled “Risk Factors” in the final prospectus for our initial public offering and in our Form 10-K for the fiscal year ended March 31, 2024, filed with the Securities and Exchange Commission. Any forward-looking statements contained in this press release are made as of this date and are based on information currently available to us. We undertake no duty to update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250310842551/en/

Company Contact

Julie Robinson, Brand Director

Perfect Moment

Tel +44 7595178702

Email contact

Investor Contact

Ronald Both or Grant Stude

CMA Investor Relations

Tel (949) 432-7566

Email contact

Source: Perfect Moment Ltd.

FAQ

What is Perfect Moment's (PMNT) deadline to regain NYSE American listing compliance?

Perfect Moment must regain compliance with NYSE American's stockholders' equity requirements by June 11, 2026.

How much did Perfect Moment's (PMNT) gross margin improve in the fiscal third quarter?

Perfect Moment reported a gross margin improvement of 273 basis points in the fiscal third quarter.

What strategic initiatives is PMNT implementing to improve financial performance?

PMNT is expanding into luxury outerwear, broadening from slope to city appeal, extending beyond fall/winter seasons, and has opened a U.S. distribution center.

How does the NYSE American compliance issue affect PMNT's current trading status?

The compliance issue does not impact Perfect Moment's current trading status, daily operations, or SEC reporting requirements.