Flux Power to write down $1.7M in inventory

Flux Power “announced that it has identified $1.7 million of excess and obsolete inventory primarily related to product innovation and design of our products during a period of rapid growth over the last several years. As a result, the Company will restate previously issued financial statements for fiscal year 2023 and the interim periods of fiscal year 2024. The inventory write-down is a non-cash charge and will not impact cashflow. However, as a part of the restatement process, the Company may include additional adjustments other than inventory that may be identified during its review. The Company also expects that its $16 million revolving credit facility with its financing partner Gibraltar Business Capital remains available subject to meeting certain lending criteria under the Loan Agreement.”