Governance & Derivative
FIGS, Inc. (NYSE: FIGS)
Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC (“KSF”), announces that KSF has commenced an investigation into FIGS, Inc. (NYSE: FIGS).
In May 2022, the Company released disappointing 1Q2022 financial results and full year outlook for 2022, disclosing declines in expected 2022 net revenues, adjusted gross EBITDA margin, and expected gross margin, due to a “significant increase in the Company’s use of air freight to help mitigate supply chain challenges.” The Company further disclosed that “[f]or the rest of the year, we plan to significantly increase our use of airfreight to reduce our exposure to these unpredictable transit times,” contrary to the Company’s prior reassurances regarding its ability to maintain an efficient and steady supply chain.
Thereafter, the Company and certain of its executives were also sued in a securities class action lawsuit, charging them with failing to disclose material information during the Class Period in violation of federal securities laws, which remains pending.
KSF’s investigation is focusing on whether FIGS’ officers and/or directors breached their fiduciary duties to its shareholders or otherwise violated state or federal laws.
If you have information that would assist KSF in its investigation, or have been a long-term holder of FIGS shares and would like to discuss your legal rights, you may, without obligation or cost to you, call toll-free at 1-833-938-0905 or email KSF Managing Partner Lewis Kahn (firstname.lastname@example.org), or fill out the form on this page.