---
schema_version: "secwatch.filing_event.v1"
accession: "0001104659-24-046836"
form_type: "8-K"
ticker: "XWEL"
cik: "0001410428"
company_name: "XWELL, Inc."
filed_at: "2024-04-12T23:59:59+00:00"
generated_at: "2026-06-03T23:19:30.373947+00:00"
event_type: "other_material"
sentiment: "negative"
materiality_score: 0.7
calibrated_materiality_score: 0.7
confidence: "high"
source: SEC EDGAR
---

# XWELL restates Q3 2023 financials on impairment accounting error; $1.6M understatement

## Summary
- Audit committee found GAAP misapplication in Treat segment impairment for Q3 2023.
- Preliminary estimate: impairment expenses understated by $1,613,000 in Q3 2023.
- Previously reported Q3 2023 impairment of ~$6.8M; restated financials will be in 2023 Form 10-K.
- No impact on cash, cash equivalents, or marketable securities balances.
- Management expects at least one material weakness in internal controls related to the restatement.

## SEC filing metadata
- accession: 0001104659-24-046836
- form_type: 8-K
- ticker: XWEL
- cik: 0001410428
- company_name: XWELL, Inc.
- filed_at: 2024-04-12T23:59:59+00:00
- event_type: other_material
- sentiment: negative
- materiality_score: 0.7
- calibrated_materiality_score: 0.7
- confidence: high
- sec_items: 4.02
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1410428/000110465924046836/0001104659-24-046836-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1410428/000110465924046836/tm2411774d1_8k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001104659-24-046836
- JSON: https://secwatch.observer/filing/0001104659-24-046836.json
- Plain text: https://secwatch.observer/filing/0001104659-24-046836.txt

## Key facts
- Auditor Changes
  XWELL, Inc. reported that prior financial statements should not be relied upon.
  - Action: non reliance
  - Auditor: Marcum LLP
  source text: the Audit Committee concluded that it is appropriate to correct the misapplication of GAAP described above for financial statements for Q3 2023 included in the Third Quarter Quarterly Report, by restating such unaudited financial information because the errors in the financial statements are material to the financial statements for Q3 2023. As a result, unaudited financial statements for Q3 2023 should no longer be relied on.
  evidence_url: https://www.sec.gov/Archives/edgar/data/1410428/000110465924046836/0001104659-24-046836-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.