Hydrofarm Holdings Group, Inc. Announces Change in Independent Auditor

Key Highlights for Investors

• Hydrofarm Holdings Group, Inc. (NASDAQ: HYFM) has appointed a new independent registered public accounting firm, CBIZ CPAs P.C., for the fiscal year ending December 31, 2026.
• Deloitte & Touche LLP (“Deloitte”) has been dismissed as the Company’s independent auditor, effective April 14, 2026.
• No disagreements or reportable events were noted between the Company and Deloitte for the fiscal years ended December 31, 2025 and 2024, or the interim period through April 14, 2026.
• Deloitte’s reports for those fiscal years were not qualified, modified, or subject to any adverse or disclaimer of opinion regarding the Company’s financial statements.
• The Company did not consult with CBIZ CPAs on any matter relating to accounting principles or practices, auditing scope, or financial reporting matters prior to their appointment.
• Deloitte has provided a letter to the U.S. Securities and Exchange Commission (SEC) confirming its agreement with the Company’s disclosures regarding this auditor transition.

What Shareholders Need to Know

The decision to change the Company’s independent auditor can be a significant event for shareholders, as it often reflects underlying shifts in corporate governance, financial strategy, or cost management. The Audit Committee of the Board of Directors conducted a selection process before choosing CBIZ CPAs P.C. as the new auditor. The transition appears to be routine, with both the Company and Deloitte affirming there were no disagreements or reportable events that might raise concerns about the Company’s accounting practices or financial reporting.

Importantly, Deloitte’s audit opinions for fiscal years 2024 and 2025 were clean, with no reservations or modifications. This history of clean audits and the absence of disputes provide reassurance to investors regarding the integrity of Hydrofarm’s financial reporting.

The Company has stated that it did not consult with CBIZ CPAs about any specific accounting matters or events prior to their engagement. This indicates that the auditor switch is not related to any particular transaction or potential change in the Company’s accounting approach.

Potential Share Price Sensitivity

While auditor changes can sometimes lead to share price volatility—especially if prompted by disputes or negative opinions—there is no indication of such issues in this case. Both the Company and its former auditor have confirmed a smooth transition, and there is no evidence of accounting irregularities or disagreements. Deloitte’s letter to the SEC explicitly agrees with the Company’s disclosures.

Shareholders should monitor upcoming financial disclosures and the first audit opinion issued by CBIZ CPAs, as this will provide further confirmation that the Company’s financial reporting remains robust and reliable under new oversight.

Additional Corporate Information

• Company Name: Hydrofarm Holdings Group, Inc.
• Trading Symbol: HYFM
• Stock Exchange: NASDAQ
• Business Address: 1510 Main Street, Shoemakersville, PA 19555
• Fiscal Year End: December 31
• Emerging Growth Company Status: The Company does not identify as an emerging growth company.
• SEC CIK: 0001695295

Conclusion

The transition to a new independent registered public accounting firm is an important corporate event, but based on the disclosures provided, there is no evidence of accounting or governance concerns. The transition has been handled transparently and with the approval of all parties involved, reducing the likelihood of negative financial impact or share price volatility. Investors are encouraged to stay informed of future filings and audit results as the new auditor completes its first review cycle.

Disclaimer: This article is for informational purposes only and does not constitute investment advice or a recommendation to buy, sell, or hold any securities. Investors should conduct their own due diligence and consult professional advisors before making investment decisions. The author and publisher assume no responsibility for any actions taken based on the information provided herein.

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