La Rosa Holdings Corp. Announces Non-Reliance on Previously Issued FY2024 Financial Statements

Key Points for Investors

• Material Restatement: The Audit Committee of La Rosa Holdings Corp. (NASDAQ: LRHC) has determined that investors should no longer rely upon the company’s previously issued condensed consolidated statement of operations for the year ended December 31, 2024.
• Reason for Restatement: The company identified errors in the recognition of revenues and cost of revenues related to property management fee revenue. Gross property management fee revenue of \$10.8 million was incorrectly included in both revenue and cost of revenues for 2024.
• Impact on Financials: The adjustments will reduce both overall revenue and cost of sale. However, the company’s gross margin is not affected in dollar terms but the percentage gross margin for FY2024 will increase from 8.57% to 10.14%.
• Audit Committee & Auditor Involvement: These matters have been discussed with the company’s independent registered public accounting firm, CBIZ CPAs P.C.
• Emerging Growth Company Status: La Rosa Holdings Corp. remains an emerging growth company and is currently listed on NASDAQ under the symbol LRHC.

Details of the Announcement

On April 24, 2026, La Rosa Holdings Corp. (the “Company”) filed a Form 8-K disclosing that the Audit Committee of the Board of Directors concluded that corrections are required to the previously issued condensed consolidated statement of operations for the year ended December 31, 2024.

The restatement centers on the company’s property management fee revenue. Previously, the company had recognized gross property management fee revenue of \$10.8 million and a corresponding offset in cost of revenue. This approach was in error. The correction will reduce both recognized revenues and cost of revenues for the fiscal year 2024. Importantly, the company’s gross profit in dollar terms remains unchanged, but the gross margin percentage will increase from 8.57% to 10.14% for the fiscal year ended December 31, 2024.

The company’s independent audit firm, CBIZ CPAs P.C., has been informed and involved in these discussions. No other financial statements were indicated as affected, and there is no mention of fraud or financial distress.

The company’s SEC and NASDAQ registration remains unchanged, and it continues to be classified as an emerging growth company. The restatement does not affect the company’s gross profit but corrects the presentation of both revenue and cost of goods sold to comply with proper accounting standards.

This type of restatement is significant and may impact investor confidence and the company’s stock price in the short term, as it may raise questions about the quality of the company’s financial controls and reporting practices. However, the company has acted transparently and in consultation with its auditors, which is a positive sign for governance.

What Shareholders Need to Know

• The restatement is material and affects the presentation of revenues and cost of revenues for FY2024, but does not reduce the company’s gross profit in dollars.
• The gross margin percentage for FY2024 is now higher than previously reported, which may affect how investors value the company’s profitability and operational efficiency.
• This event may be considered price sensitive as it relates to the integrity of the company’s financial reporting and could result in increased scrutiny from regulators, investors, and analysts.
• Shareholders should monitor for further updates or amendments to filings, and for management commentary on controls and future guidance.

Company Snapshot

• Name: La Rosa Holdings Corp.
• Trading Symbol: LRHC
• Exchange: NASDAQ
• Business Address: 1420 Celebration Blvd, Suite 200, Celebration, FL 34747
• Emerging Growth Company: Yes
• Filing Date: April 24, 2026

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should review the company’s official filings and consult with their financial advisors before making investment decisions. The information is based on the company’s SEC filings as of the date indicated and may be subject to change.

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