Katapult Holdings, Inc. (KPLT) is experiencing a tremendous incline of 11.43% in the aftermarket because Pomerantz Law Firm decides to investigate claims on behalf of investors of KPLT. However, the last trading session closed at $6.3 with an increase of 2.61%.
Pomerantz Law Firm decides to investigate claims on behalf of investors of KPLT
On 9th September 2021, it was announced that Pomerantz LLP is looking into claims on behalf of KPLT stockholders. KPLT and certain of its officials and directors will be investigated for securities fraud or any other illegal business activities.
HAGENS BERMAN, NATIONAL TRIAL ATTORNEYS, Updates KPLT, LIVE, ZY Investors on Securities Fraud, Encourages Investors with Losses to Contact the Firm
On 9th September 2021, KPLT stated that investors should contact Hagens Berman for updates. Moreover, investors who have incurred severe losses should contact the firm on an immediate basis.
According to the complaint, Defendants misrepresented and concealed the following facts:
- KPLT was experiencing declining e-commerce retail sales and consumer spending.
- Despite Defendants’ assertions that the Company was a clear and compelling value proposition for both consumers and merchants. Katapult lacked visibility into consumers’ buy decisions.
The truth was revealed on Aug. 10, 2021, barely two months after Katapult completed the transaction and issued its financial forecast for 2021.
Second Quarter 2021 Financial Results
KPLT announced second-quarter 2021 financial results on 10th August 2021. The total income was $77.5 million, up 27.6% from the previous year. Year-to-date sales were $158.1 million, up from $103.6 million the previous year, representing a 52.6 percent gain.
Gross originations were $64.4 million, up 1% from the first quarter of 2021 but down 17% from the same period last year. From the second quarter of 2019 to the second quarter of 2021, our compound annual growth rate for Gross Originations was 75.4 percent.
The net loss was $8.1 million, compared to a net income of $5.1 million in the second quarter of 2020. The adjusted net income was $1.5 million, down from $5.2 million in the second quarter of 2020 by 70.4 percent.
Adjusted EBITDA was $3.9 million, down 64.8 percent from $11.1 million in the second quarter of 2020, owing to greater investment in growth efforts, more typical seasonal lease payment performance, new hire expenses, and extra public company expenditures.
