Company: SLNH
Filing Date: 2025-02-03
Form Type: S-1/A
Source: 0001493152-25-004555
Chunk: 174

Company: Soluna Holdings, Inc
Filing Date: 2025-02-03
Form: S-1/A
Chunk 174
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 or net assets.

Correction of an Error

While preparing the Company’s Form 10-K for the year ended December 31, 2023, the Company identified the following errors related to the presentation of basic and diluted Earnings Per Share (“EPS”) in its historical filing for the year ended December 31, 2022, and for the quarters ended March 31, 2023, June 30, 2023, and September 30, 2023:

| ● | Inclusion                                                                                       
 of the net income/loss from noncontrolling interest in the numerator;                           |
| ● | Inclusion                                                                                       
 of the cumulative undeclared preferred dividends in the numerator;                              |
| ● | Exclusion                                                                                       
 of shares issuance for little or no cash consideration (ie: penny warrants) in the denominator. |

In accordance with SEC Staff Accounting Bulletin No. 99, “Materiality,” and SEC Staff Accounting Bulletin No. 108, “Considering the Effects of Prior Year Misstatements when Quantifying Misstatements in Current Year Financial Statements;” the Company evaluated the errors and has determined that the related impacts were not material to any prior annual or 10-Q report, but that correcting the cumulative impact of such errors would be significant to our EPS for the year ended December 31, 2023. Accordingly, the Company has corrected such immaterial errors by adjusting its December 31, 2022 consolidated statement of operations related to the calculation of earnings per share. The Company will also correct previously reported interim financial information for such immaterial errors in future filings, as applicable. The following summarizes the effect of the revision on each financial statement line item.

The following analysis provides a comparison amongst the basic and diluted EPS as reported on the Form 10-K for the year ended December 31, 2022, and the final revised basic and diluted EPS calculation to correct all identified errors:

Schedule of Error Corrections of Basic and Diluted EPS

|                                                                     |     | As reported             
 on Form                 
 10-K for the year ended 
 December 31, 2022 (1)   |         |   |     | As revised   
 on Form 10-K |         |   |     | Change |       |   |
|:--------------------------------------------------------------------|:----|:------------------------|--------:|:--|:----|:-------------|--------:|:--|:----|:-------|:------|:--|
| Basic and Diluted net loss per share from continuing operations     |     | $