NEW YORK, Feb. 12, 2019 /PRNewswire/ -- Scott+Scott Attorneys at Law LLP ("Scott+Scott"), a national securities and consumer rights litigation firm, is investigating whether certain directors and officers of SITO Mobile, Ltd. ("SITO" or the "Company") (SITO) breached their fiduciary duties to the Company and its shareholders. If you are a SITO shareholder, you are encouraged to contact Scott+Scott for additional information.
Scott+Scott is investigating whether members of SITO's board of directors made false and/or misleading statements and/or failed to disclose that: (i) SITO's growth of bookings would not propel the Company's fourth fiscal quarter 2016 media placement revenues and revenue growth to the level represented during the Class Period; (ii) SITO was aware that the election would impact the Company's fourth fiscal quarter 2016 revenue; (iii) clients' campaign spending and media placement revenues in the fourth quarter 2016 was highly dependent on the elections; (iv) the Company's growth in media placement revenues would not occur in the fourth fiscal quarter 2016; and (v) as a result, the Company's public statements were materially false and misleading at all relevant times.
On January 3, 2017, the Company disclosed negative quarterly results for the quarter ending December 31, 2016 that were "negatively affected this year by restrained advertising spending during a period of heightened and elongated media focus on this year's U.S. election." The results contradicted positive statements made previously by the Company's Chief Executive Officer, Jerry Hug, on November 14, 2016 regarding revenue growth with "a very positive outlook for the remainder of this year and throughout 2017" and that there would not be a significant drop off from the election. On this news, SITO's market capitalization declined by approximately $40 million.
What You Can Do
If you are a SITO shareholder, you may have legal claims against the Company's directors and officers. If you wish to discuss this investigation, or have questions about this notice or your legal rights, please contact attorney Joe Pettigrew toll-free at (844) 818-6982 or at firstname.lastname@example.org, or visit the SITO investigation page on our website at https://scott-scott.com/investigation/sito/.
About Scott+Scott Attorneys at Law LLP
Scott+Scott has significant experience in prosecuting major securities, antitrust, and employee retirement plan actions throughout the United States. The firm represents pension funds, foundations, individuals, and other entities worldwide with offices in New York, London, Connecticut, California, and Ohio.