Investigation announced for Investors who lost money with shares of Dril-Quip, Inc. (NYSE: DRQ)

An investigation was announced for investors of Dril-Quip, Inc. (NYSE: DRQ) shares over potential securities laws violations by Dril-Quip, Inc.

Investors who purchased shares of Dril-Quip, Inc. (NYSE: DRQ), have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

The investigation by a law firm focuses on possible claims on behalf of purchasers of the securities of Dril-Quip, Inc. (NYSE: DRQ) concerning whether a series of statements by Dril-Quip, Inc. regarding its business, its prospects and its operations were materially false and misleading at the time they were made.

Houston, TX based Dril-Quip, Inc., together with its subsidiaries, designs, manufactures, sells, and services engineered drilling and production equipment for offshore and onshore applications worldwide. Dril-Quip, Inc. reported that its annual Total Revenue rose from $361.92 million in 2022 to $424.06 million in 2023, and that its Net Loss of $1.62 million in 2022 turned to a Net Income of $0.6 million in 2023.

On July 8, 2024, after the market closed, Dril-Quip, Inc. filed a current report on Form 8-K with the SEC. In this current report, Dril-Quip, Inc. disclosed that it had become "became aware of an error in the classification of certain inventory write-downs from 2021. [. . .] The Company classified these charges as "Restructuring and other charges"; however, these charges should have been classified in "Cost of sales" in the Consolidated Statement of Income (Loss) for the fiscal year ended December 31, 2021, in accordance with ASC 420-10-S99-3. As a result, "Cost of sales" was understated and "Restructuring and other charges" was overstated by $67 million for the fiscal year ended December 31, 2021 (the "Affected Period")."
Further, Dril-Quip, Inc. disclosed that "after considering the recommendations of management and discussion with the Company's independent registered public accounting firm[,] the Audit Committee of our board of directors ("Audit Committee") concluded that the consolidated financial statements for the Affected Period should no longer be relied upon due to the error described above. Any previously issued or filed reports, press releases, earnings releases and investor presentations or other communications describing the Company's consolidated financial statements and other related financial information covering the Affected Period also should no longer be relied upon."
Finally, Dril-Quip, Inc. disclosed that the "Management has also concluded that, in light of the findings described above, the Company's disclosure controls and procedures as of December 31, 2023 were not effective", and that it intended "to complete and file restated consolidated financial statements for the Affected Period[.]"

Shares of Dril-Quip, Inc. (NYSE: DRQ) declined from $30.93 per share on September 12, 2023, to as low as $14.07 per share on August 05, 2024.

Those who purchased shares of Dril-Quip, Inc. (NYSE: DRQ) have certain options and should contact the Shareholders Foundation.

Contact:
Michael Daniels
Shareholders Foundation, Inc.
3111 Camino Del Rio North
Suite 423
San Diego, CA 92108
Tel: +1-(858)-779-1554
E-Mail: mail@shareholdersfoundation.com

About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, and an investor advocacy group, which does research related to shareholder issues and informs investors of securities lawsuits, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigations, and/or settlements are not filed/initiated/reached and/or are not related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.

This release was published on openPR.