Arhaus(US:ARHS) Prnewswireยท2024-06-04 19:20Core Viewpoint - Rosen Law Firm is investigating potential securities claims on behalf of shareholders of Arhaus, Inc. due to allegations of materially misleading business information issued by the company [1][2]. Group 1: Company Financial Issues - On April 29, 2024, Arhaus filed a Current Report on Form 8-K with the SEC, stating that its previously issued unaudited condensed consolidated financial statements for the period ended September 30, 2023 should no longer be relied upon and need to be restated due to identified errors [2]. - The errors pertained to cash receipts from landlord reimbursements being incorrectly included in property, furniture, and equipment, which also led to inaccuracies in cash flows for operating and investing activities [2]. - The estimated impact of these errors is an increase in net cash provided by operating activities and an increase in net cash used in investing activities, ranging from approximately $1 million to $5 million for the nine months ended September 30, 2023 [2]. Group 2: Market Reaction - Following the announcement of the financial restatement, Arhaus's stock price fell by $0.80 per share, or 5.9%, closing at $12.66 per share on April 30, 2024 [2]. Group 3: Legal Action and Representation - Rosen Law Firm is preparing a class action to seek recovery of investor losses, allowing shareholders who purchased Arhaus securities to potentially receive compensation without any out-of-pocket fees [1]. - The firm emphasizes the importance of selecting qualified legal counsel with a successful track record in securities class actions, highlighting its own achievements in recovering significant amounts for investors [3].