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Super Micro Accounting Delay Caps CEO’s $6 Billion Wealth Drop

(Bloomberg) -- Super Micro Computer Inc.’s 10-K delay erased more than $800 million from Chairman Charles Liang’s net worth Wednesday, capping a wild ride that’s seen his fortune slump by nearly two-thirds from its March high.

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The San Jose, California based-company’s shares plunged 19% after it said it will delay filing its annual financial disclosures and will need additional time to assess its internal controls. That came a day after short-seller Hindenburg Research released a report alleging “glaring accounting red flags, evidence of undisclosed related party transactions, sanctions and export control failures, and customer issues.”

It marks a drastic shift for Super Micro and Liang, whose fortune is almost entirely derived from his stake in the company. His wealth briefly topped $9 billion in March, according to the Bloomberg Billionaires Index, when strong demand for its servers to run artificial-intelligence applications sent shares to an all-time high. Liang’s net worth fell to $3.5 billion on Wednesday, which is down 62% from its high but still up by $1.5 billion for the year.

Liang, 66, was born in Taiwan. He completed an electrical engineering degree at the National Taiwan University of Science & Technology before coming to the US to study at the University of Texas at Arlington.

He started Super Micro with his wife Sara Liu in 1993, initially producing server boards. Strong growth followed the decision to shift focus to high-efficiency power systems and components. Revenue rose from $1.2 billion in 2013 to $7.1 billion for the 2023 fiscal year.

(Updates with closing numbers, adds chart of Liang’s wealth)

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Source: finance.yahoo.com

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