OneSpan Investors With Losses Greater Than $50,000 Encouraged To Contact Kehoe Law Firm, P.C.
Kehoe Law Firm, P.C. is investigating potential securities claims on behalf of investors of OneSpan, Inc. (“OneSpan” or the “Company”) (NASDAQ: OSPN) to determine whether the Company engaged in securities fraud or other unlawful business practices.
On August 11, 2020, OneSpan filed a “Notification of Late Filing” with the SEC, which, among other things, stated that OneSpan “ . . . has determined that it is unable to file its Quarterly Report on Form 10-Q for the quarter ended June 30, 2020 . . . by August 10, 2020, . . . because it requires additional time to complete its financial statements. As previously announced, the Company identified immaterial errors related to certain contracts with customers involving term-based software licenses. The net contract assets that originated from a portion of these contracts in prior periods were not properly accounted for in subsequent periods, which caused overstatements of revenue.” [Emphasis added.]
OneSpan reported that “[t]he cumulative overstatements of revenue total $2.2 million over the period from the first quarter in the year ended December 31, 2018 to the quarter ended March 31, 2020 . . ..”
Additionally, the Company announced that “[r]evenue for the second quarter of 2020 was $55.0 million, a decrease of 2% from $56.2 million for the second quarter of 2019.”
On this news, OneSpan’s stock price dropped approximately 40% on August 12, 2020, thereby injuring investors.
Investors who purchased, or otherwise acquired, OneSpan’s common stock and suffered losses greater than $50,000 are encouraged to complete Kehoe Law Firm’s Securities Class Action Questionnaire or contact Kevin Cauley, Director, Business Development, (215) 792-6676, Ext. 802, [email protected], [email protected], to discuss the securities investigation or potential legal claims.