Anaplan investors may receive additional information about the case by clicking the link "Submit Your Information" above.
According to the complaint, Anaplan develops and publishes a cloud platform for business applications which it delivers as a subscription service. One of the most important financial metrics for investors in analyzing Anaplan’s performance is “calculated billings,” which is defined as revenue plus the sequential change in total deferred revenue as presented on the balance sheet. Calculated billings is used by investors to evaluate subscription businesses, such as Anaplan, that do not directly disclose billings as part of their financial reporting. Calculated billings is a vitally important metric to Anaplan investors because it is widely seen as a predictor of future revenue growth. If calculated billings grows faster than revenue in a given period, it suggests that future revenue growth would eventually increase to reach the billings growth number. Conversely, if calculated billings is growing slower than revenue, it suggests that future revenue growth will decrease.
The Class Period commences on November 21, 2019, when Anaplan announced its fiscal third quarter results that beat analyst estimates and Anaplan actually raised its revenue guidance.
The complaint alleges that, on February 27, 2020, Anaplan announced that, although it slightly exceeded revenue guidance for the quarter ($98.2mm versus $97.5mm estimate), which grew at rate of 42% year-over-year, its calculated billings for the fourth quarter fell far short of expectations. Specifically, billings were only $126 million, representing a growth rate of 25%, which was well below consensus estimates of $138 million, and roughly half of Anaplan’s historical growth rates of 46% to 59%, and far less than Anaplan’s rate of revenue growth of over 40%.
Following this news, Anaplan’s stock price fell 25% in a single day, falling from $58.09 to $44.03.
The complaint alleges that, throughout the Class Period, the defendants made false and/or misleading statements and/or failed to disclose to investors that: (1) Anaplan was undergoing sales organization and execution challenges; (2) these organizational challenges were causing Anaplan to miss on closing very important large deals; and (3) as a result, Anaplan’s financial guidance for “calculated billings growth” was baseless and unattainable. Further, while in possession of this material non-public information, Anaplan insiders dumped approximately $30 million worth of Anaplan stock at artificially inflated prices.
If you are a member of the class described above, you may no later than October 23, 2020 move the Court to serve as lead plaintiff of the class, if you so choose.
A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Filling out the online form above or communicating with any counsel is not necessary to participate or share in any recovery achieved in this case. Any member of the purported class may move the court to serve as a lead plaintiff through counsel of his/her choice, or may choose to do nothing and remain an inactive class member.
Kessler Topaz Meltzer & Check, LLP has not filed a complaint in this matter. If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check, LLP toll free at 1-844-887-9500 or 1-610-667-7706, or via e-mail at firstname.lastname@example.org. If you would like additional information about the suit, please click on the link "Submit Your Information" above and fill out the form as promptly as possible.
Kessler Topaz Meltzer & Check, LLP
James Maro, Esq. or Adrienne Bell, Esq.
280 King of Prussia Road
Radnor, PA 19087
1-844-887-9500 (toll free) or 1-610-667-7706
Or by e-mail at email@example.com