Scooter and micromobility company Bird has to fly at a slightly higher altitude — at least if it wants to keep its New York Stock Exchange (NYSE) listing. The company issued a press release on Friday noting that it had received word from the NYSE that its share price was “not in compliance” with the exchange’s requirement that Class A Common Stock for a listed company be at least $1.00 over the course of a consecutive 30-day trading period.
Bird’s share price has followed a fairly consistent downward trajectory since its debut via a SPAC merger last November. The closing price has remained below $1 per share since around mid-May, just after when it reported its first fiscal quarterly earnings for 2022. Those results saw revenue, gross margins and ride profit drop quarter over quarter — those ride profits grew considerably year over year.
The non-compliance note from NYSE doesn’t mean immediate delisting — it’s a preliminary step that gives Bird six months to get back in compliance, which means holding an average share price of at least $1 across a span of 30 consecutive trading days and also having a share value above $1 on the final trading day of that same month. To get above water, Bird says in its release that it will be considering a number of options, including a reverse stock split (pending shareholder approval).
Bird’s share price closed at $0.5558 on the trading day.