Quantum Corporation faces class-action lawsuit over allegedly improper revenue recognition.

• Quantum Corp. faces class-action lawsuit over revenue recognition. • Defendants allegedly made false statements and failed to disclose improper revenue recognition. • Quantum to restate its financial statements for the fiscal third quarter. • Investors purchased or acquired shares between Nov. 15, 2024, and Aug. 18, 2025, may be affected.

Quantum Corporation (NASDAQ: QMCO), a technology company focused on data management solutions, is facing a class-action lawsuit over alleged improper revenue recognition. Robbins LLP, Holzer & Holzer, LLC, and The Rosen Law Firm have all filed lawsuits on behalf of investors who purchased or acquired Quantum Corporation securities between November 15, 2024, and August 18, 2025 [1][2][3].

The lawsuits allege that Quantum Corporation made materially false and/or misleading statements and/or failed to disclose that the company improperly recognized revenue during the fiscal year ended March 31, 2025. As a result, the company will need to restate its previously filed financial statements for the fiscal third quarter ended December 31, 2024. These statements were materially false and misleading and/or lacked a reasonable basis at all times [1][2][3].

On August 8, 2025, Quantum Corporation announced that its 3Q24 financials could not be relied upon and would be restated to show a new decrease of approximately $3.9 million in revenue. Additionally, the company disclosed that there were deficiencies in its internal control over financial reporting and disclosure controls and procedures that constituted material weaknesses as of December 31, 2024 and March 31, 2025 [1][2]. On August 18, 2025, the company also announced that its CFO would be resigning after holding the position for less than five months [1].

Investors who purchased shares of Quantum Corporation during the specified period may be eligible to participate in the class action lawsuit. Shareholders who wish to serve as lead plaintiff for the class should contact Robbins LLP, Holzer & Holzer, LLC, or The Rosen Law Firm for more information [1][2][3]. The lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. You do not have to participate in the case to be eligible for a recovery. If you choose to take no action, you can remain an absent class member.

Quantum Corporation has appointed Gregg Pugmire as Vice President of Americas Sales to drive AI-driven data management growth. Despite this strategic appointment, the company faces significant hurdles, including delayed 10-Q filings and ongoing securities lawsuits. These governance risks could undermine investor confidence [3].

References:
[1] https://www.prnewswire.com/news-releases/investor-alert-robbins-llp-informs-investors-of-the-quantum-corporation-class-action-lawsuit-302547133.html
[2] https://www.morningstar.com/news/globe-newswire/9524142/investor-alert-class-action-lawsuit-filed-on-behalf-of-quantum-corp-qmco-investors-holzer-holzer-llc-encourages-investors-with-significant-losses-to-contact-the-firm
[3] https://www.ainvest.com/news/quantum-corporation-securities-fraud-lawsuit-opportunity-investors-lead-lawsuit-2509/