BENSALEM, Pa.–(BUSINESS WIRE)–Law Offices of Howard G. Smith continues its investigation on behalf of Cambium Networks Corporation (“Cambium Networks” or the “Company”) (NASDAQ: CMBM) investors concerning the Company’s possible violations of federal securities laws.
On October 4, 2023, Cambium Networks issued a press release announcing its preliminary results for the third quarter of 2023. Therein, the Company disclosed that it now “expects revenues of between $40.0-$45.0 million compared to the previous outlook of $62.0-$70.0 million provided on Aug. 1, 2023.” The Company attributed the downward revision to a delay in government defense orders, sluggish revenues in the Point-to-Multi-Point business, a decrease in orders and an increase in stock rotations from distributors in the Enterprise business, and “continued economic headwinds.”
On this news, Cambium Networks’ stock price fell $2.87, or 36.2%, to close at $5.05 per share on October 5, 2023, thereby injuring investors.
Then, on March 15, 2024, Cambium Networks disclosed that it was updating the financial information for the quarter ended December 31, 2023, “to reflect an increase to the valuation allowance against its deferred tax assets and an increase to the loss on supplier commitments.” Additionally, the Company stated that it had identified two material weaknesses “related to the design of [its] internal controls for the accounting of excess and obsolescence reserves” and “related to the accounting interpretation and accounting for the deferred tax asset valuation allowance.”
If you purchased Cambium Networks securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to howardsmith@howardsmithlaw.com, or visit our website at www.howardsmithlaw.com.
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Contacts
Law Offices of Howard G. Smith
Howard G. Smith, Esquire
215-638-4847
888-638-4847
howardsmith@howardsmithlaw.com
www.howardsmithlaw.com