8-K: Lucid Diagnostics Inc. Announces Change in Independent Registered Public Accounting Firm

Lucid Diagnostics Inc. reports that CBIZ CPAs replaced Marcum LLP as their independent registered public accounting firm following CBIZ CPAs' acquisition of Marcum's attest business.

Summary

• Lucid Diagnostics Inc. announced a change in its independent registered public accounting firm on April 23, 2025.
• Marcum LLP resigned as the company's auditor due to CBIZ CPAs P.C.'s acquisition of Marcum's attest business on November 1, 2024.
• With the approval of the audit committee, CBIZ CPAs was engaged as the new independent registered public accounting firm on April 23, 2025.
• The audit report from Marcum for the fiscal years ended December 31, 2024 and 2023, did not contain any adverse opinions, disclaimers, qualifications, or modifications, except for an explanatory paragraph regarding the company's ability to continue as a going concern.
• Lucid Diagnostics Inc. stated that there were no disagreements or reportable events with Marcum during the fiscal years ended December 31, 2024 and 2023, and through April 23, 2025.
• The company did not consult with CBIZ CPAs regarding accounting principles or the type of audit opinion before their engagement.

Sentiment

Score: 6

Explanation: The sentiment is neutral. The change in accounting firm is due to an acquisition, which is a common occurrence. However, the mention of 'going concern' in the previous auditor's report introduces a slight negative aspect.

Positives

• The transition to a new accounting firm appears to be smooth, with no reported disagreements or reportable events with the previous firm, Marcum LLP.
• Marcum's audit reports for 2023 and 2024 did not contain any adverse opinions or disclaimers.

Negatives

• Marcum's audit reports for 2023 and 2024 included an explanatory paragraph about the company's ability to continue as a going concern.

Risks

• The explanatory paragraph in Marcum's audit reports regarding the company's ability to continue as a going concern could raise concerns among investors.

Industry Context

Changes in auditing firms are relatively common, especially following acquisitions or mergers within the accounting industry. Companies are required to disclose such changes to maintain transparency with investors.

Comparison to Industry Standards

• The process of changing accounting firms is standard practice and well-defined by SEC regulations.
• Companies like General Electric, which replaced KPMG with Deloitte, and Tesla, which replaced HL&B with PricewaterhouseCoopers, have also undergone similar transitions.
• The disclosure requirements outlined in Item 4.01 of Form 8-K ensure that investors are informed about the reasons for the change and any potential disagreements or reportable events.

Stakeholder Impact

• Shareholders should be aware of the change in accounting firm, but it is not expected to have a significant impact on the company's operations or financial reporting.
• Employees in the finance and accounting departments may experience some changes in processes and procedures as the new accounting firm implements its systems.

Key Dates

Keywords

independent registered public accounting firm, CBIZ CPAs, Marcum LLP, audit committee, resignation, engagement, accounting, auditing, Lucid Diagnostics Inc.