San Diego, CA -- (SBWIRE) -- 12/11/2023 -- An investor, who purchased NASDAQ: EXFY shares, filed a lawsuit against Expensify, Inc. over alleged violations of Federal Securities Laws made in connection with the Company's initial public offering conducted on or about November 11, 2021 (the "IPO" or "Offering).

Investors who purchased a significant amount of shares of Expensify, Inc. (NASDAQ: EXFY) have certain options and for certain investors are short and strict deadlines running. Deadline: January 29, 2024. NASDAQ: EXFY investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

Portland, OR based Expensify, Inc. provides a cloud-based expense management software platform to individuals, small businesses, and corporations in the United States and internationally. On or around November 10, 2021, Expensify, Inc. conducted its initial public offering ("IPO"), issuing over 9.7 million shares of its Class A common stock to the public at $27 per share.

Then, on March 30, 2022, Expensify, Inc. announced its fourth quarter and full year fiscal 2021 results, including fourth quarter GAAP earnings per share of -$0.82, missing consensus estimates by $0.74. The Company also reported that "[a]n IPO-related bonus expense of $14.2 million impacted net (loss) income" for the fourth quarter, leading to a net loss of $21.9 million, compared to a net income of $1.7 million for the same period the prior year, which "was primarily due to the IPO-related bonus"; and that "[a]n IPO-related bonus expense of $48.4 million impacted net (loss) income and Adjusted EBITDA" for the full fiscal year, leading to a net loss of $13.6 million, compared to a net loss of $1.7 million for the same period the prior year, which "was primarily due to the IPO-related bonus."

On June 12, 2023, Morgan Stanley downgraded Expensify, Inc to Underweight from Equal-weight, citing structural headwinds and the Company's risk-reward profile.

On August 8, 2023, Expensify, Inc announced its second quarter 2023 financial and operating results. Among other items, Expensify reported GAAP EPS of -$0.14, missing consensus estimate of -$0.07, and revenue of $38.9 million, which likewise missed the consensus estimate of $41.5 million. Expensify also withdrew its previously issued revenue growth guidance. Following Expensify's disclosures, JMP Securities downgraded the Company to Market Perform from Market Outperform.

On November 7, 2023, Expensify, Inc announced third quarter 2023 financial and operating results that once again missed consensus estimates amid macroeconomic headwinds. Among other items, Expensify reported a Q3 GAAP loss of $0.21 per share and a 14.1% year-over-year revenue decline.

Shares of Expensify, Inc. (NASDAQ: EXFY) declined to $15.2 per share on November 08, 2023.

The plaintiff claims that the Offering Documents that were filed in connection with the Company's IPO made false and/or misleading statements and/or failed to disclose that: Expensify's revenue growth was highly susceptible to structural and macroeconomic headwinds, that as a result, the Company overstated the efficacy of its business model and the likelihood it would meet the long-term growth projections touted in the Offering Documents, that accordingly, the Company's post-IPO financial position and/or business prospects were overstated, and that as a result, Defendants' statements about the Company's business, operations, and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant times.

Those who purchased shares of Expensify, Inc. (NASDAQ: EXFY) have certain options and should contact the Shareholders Foundation.

Contact:
Shareholders Foundation, Inc.
Michael Daniels
3111 Camino Del Rio North - Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com

About The Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, , which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigation, and/or settlements are not filed/reached and/or related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.