Varonis(US:VRNS) Globenewswire·2025-12-02 20:19Core Viewpoint - Varonis Systems, Inc. has faced significant financial challenges, including a substantial decline in subscription revenues, leading to a sharp drop in stock price and prompting an investigation into potential violations of federal securities laws [2][3]. Financial Performance - On October 28, 2025, Varonis reported third-quarter financial results that missed consensus estimates, with a 63.9% year-over-year decline in term license subscription revenues [2]. - The company announced a reduction in its full-year Annual Recurring Revenue (ARR) guidance due to underperformance in its on-premises subscription business, which is identified as a drag on total company ARR growth [2]. Stock Market Reaction - Following the announcement of poor financial results, Varonis' stock price plummeted by $30.66 per share, or 48.67%, closing at $32.34 per share on October 29, 2025 [2]. Legal Investigation - Kessler Topaz Meltzer & Check, LLP is investigating potential violations of federal securities laws on behalf of Varonis investors, indicating possible legal repercussions for the company [1][3].