Kehoe Law Firm, P.C. is investigating potential securities fraud and breach of fiduciary duty claims on behalf of investors of Driven Brands Holdings Inc. (“Driven Brands” or “Company”) (NASDAQ: DRVN).

On February 23, 2026, Driven Brands reported that “. . . the Audit Committee of the Board of Directors, after consultation with the Company’s management, concluded there were material errors in [the Company’s] previously issued consolidated financial statements for the fiscal year ended December 28, 2024 . . . and the fiscal year ended December 30, 2023 . . . contained in the Company’s Annual Report on Form 10-K for the fiscal year 2024, and in [the Company’s] previously issued unaudited condensed consolidated financial statements for each of the quarterly and year-to-date periods within fiscal year 2024 as well as the quarterly and year-to-date periods for the periods ended September 27, 2025, June 28, 2025 and March 29, 2025, and concluded that such financial statements should not be relied upon and required restatement (the ‘Restatement’).”

The Company also reported that “. . . the Report of [its] Independent Registered Public Accounting Firm on the financial statements and internal control over financial reporting should not be relied upon.” [Emphasis added].

On this news the stock price of Driven Brands dropped more than 36% in pre-market trading on February 25, 2026.

Delayed 10-K Filing

In an SEC Form 12b-25 “Notification of Late Filing” dated February 25, 2026, Driven Brands reported that it “. . . needs additional time to prepare its Form 10-K for the year ended December 27, 2025 . . . as a result of its determination, on February 23, 2026, that it must restate its previously issued consolidated financial statements for the fiscal years ended December 28, 2024 and December 30, 2023, and the Company’s previously issued unaudited condensed consolidated financial statements for each of the quarterly and year-to-date periods within the fiscal year ended December 28, 2024 as well as the quarterly and year-to-date periods for the periods ended September 27, 2025, June 28, 2025 and March 29, 2025 (the ‘Restatement’), as disclosed in the Company’s Current Report on Form 8-K filed under Item 4.02 on February 25, 2026.”

Additionally, the Company reported that “[i]n connection with the Restatement, management has identified material weaknesses in the Company’s internal control over financial reporting resulting in the conclusion that our internal control over financial reporting and disclosure controls and procedures were not effective as of December 27, 2025.” [Emphasis added]. 

Driven Brands Investors May Have Legal Claims

Driven Brands investors are encouraged to complete Kehoe Law Firm’s Stockholder Information Request Form or contact either John Kehoe, Esq., (215) 792-6676, Ext. 801, [email protected], or Michael Yarnoff, Esq., (215) 792-6676, Ext. 804, [email protected], [email protected], to learn more about the investigation and receive a free, no-obligation evaluation of potential legal claims.  

About Kehoe Law Firm, P.C.

Kehoe Law Firm, P.C. is a nationally recognized, plaintiff-side class action firm dedicated to protecting investors and consumers from fraud and misconduct. Our attorneys have served as Lead or Co-Lead Counsel in major securities cases, recovering over $10 billion for institutional and individual investors.

Our firm litigates securities fraud, fiduciary breaches, unfair mergers and acquisitions, and antitrust violations, while also representing whistleblowers and advocating for victims of data breaches, consumer fraud, vehicle and product defects, employment law violations, retirement plan mismanagement, and other corporate and business misconduct. With a results-driven approach, we pursue justice and substantial recoveries for those we represent.

Kehoe Law Firm’s class action legal services are provided on a contingency-fee basis, meaning clients are not responsible for any fees or litigation expenses.

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Tel: 215-792-6676

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