SHAREHOLDER ALERT: Pomerantz Law Firm Investigates Claims On Behalf of Investors of PowerFleet, Inc. - PWFL

Core Viewpoint - PowerFleet, Inc. is under investigation for potential securities fraud and unlawful business practices following its failure to timely file its Annual Report for the fiscal year ended December 31, 2023, and the need to restate previous financial statements [1][2]. Financial Reporting Issues - PowerFleet disclosed that its previously released financial statements for the fiscal years ended December 31, 2021, and 2022, as well as interim periods during 2022 and 2023, should no longer be relied upon and will be restated [2]. - The company indicated that the accounting treatment related to the redemption premium of its Series A convertible preferred stock required correction, leading to an increase in net loss attributable to common stockholders by approximately $5 million, $6 million, and $5 million for the fiscal years ended December 31, 2021, 2022, and the nine months ended September 30, 2023, respectively [3]. - Additionally, increases in convertible redeemable preferred stock are expected to be approximately $11 million, $16 million, and $21 million as of December 31, 2021, 2022, and September 30, 2023, respectively, along with corresponding decreases in additional paid-in capital [3]. Market Reaction - Following the announcement of these issues, PowerFleet's stock price fell by $0.31 per share, or 6.54%, closing at $4.43 per share on April 8, 2024 [4].