NEW YORK, March 16, 2023 (GLOBE NEWSWIRE) -- Kaplan Fox & Kilsheimer LLP (www.kaplanfox.com) is investigating claims on behalf of investors of LivePerson, Inc. (“LivePerson” or the “Company”) (NASDAQ: LPSN).
If you would like to discuss our investigation, please contact us by emailing pmayer@kaplanfox.com or by calling (646) 315-9003, or click here.
On February 28, 2023, LivePerson filed a Notification of Late Filing on Form 12b-25 stating it was unable to file its Form 10-K for the year ended December 31, 2022 within the prescribed time period without unreasonable effort or expense because it required additional time to complete a review of revenue associated with a recently discontinued program of its subsidiary WildHealth (the “Program”), and to complete its in-process review of internal controls and procedures. Following this news, LivePerson’s shares declined $1.69 per share, about 14.3%, to close at $10.12 per share.
On March 6, 2023, LivePerson disclosed in a Form 8-K filing with the SEC that its review of WildHealth “is anticipated to affect fourth quarter 2022 revenue attributable to WildHealth’s participation in a Medicare demonstration program, due to suspension in November 2022 of Medicare reimbursements under the program and pending further governmental review.” Following this news, LivePerson shares declined more than 21% over the next six trading days to close at $9.02 per share on March 13, 2023.
Then, on March 15, 2023, after market, LivePerson issued a press release reporting its fourth quarter 2022 financial results, including a revenue decline and a revenue miss for the fourth quarter. Further, the Company disclosed that “[w]hile the Company currently believes that the services rendered under the Program in the fourth quarter of 2022 were valid, in view of the inherent uncertainty as to the timing and amount of further reimbursement for services rendered under the Program, the Company has elected to take a reserve for revenue associated with services delivered under the Program in the fourth quarter of 2022 for which payment has not been collected.” Additionally, the Company stated that “[h]ad the Company recognized revenues associated with services delivered under the Program during the fourth quarter of fiscal 2022, our revenue would have been within the previous guidance ranges for the fourth quarter and full year.”
Following this news, LivePerson stock plummeted in midday trading by over 50% on March 16, 2023.
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If you have any questions about this investigation, please contact:
Pamela Mayer
KAPLAN FOX & KILSHEIMER LLP
850 Third Avenue, 14th Floor
New York, New York 10022
(646) 315-9003
E-mail: pmayer@kaplanfox.com
Laurence D. King
KAPLAN FOX & KILSHEIMER LLP
1999 Harrison Street, Suite 1560
Oakland, California 94612
(415) 772-4704
Fax: (415) 772-4707
E-mail: lking@kaplanfox.com
