March 20, 2015
Bernstein Liebhard LLP is investigating whether Youku Tudou Inc. (“Youku Todou” or the “Company”) (NYSE: YOKU) issued materially false and misleading statements to investors in violation of the federal securities laws.
Youku Tudou is China’s leading online television company. On Tuesday, March 17, 2015, the Company announced that it would release its fourth quarter results on Thursday, March 19, 2015, raising red flags by giving investors only two days notice to prepare for Youku Tudou’s earnings announcement.
On March 19, the red flags became a reality as the Company reported a net loss of $51.3 million, compared to $4 million in the same quarter of 2013. Moreover, Youku Tudou disclosed that the SEC is investigating certain aspects of the Company’s past accounting relating to revenue recognition for multi-part deals, accounting of “non-monetary exchanges of licensed content” and the classification of licensed content as long-lived assets. The Company also announced that it is now “evaluating the impact to its 2014 and historical financial statements.”
In reaction to this news, Youku Tudou’s stock price dropped nearly 9%, from a March 19, 2015 closing price of $15.62 per share to $13.76 in intra-day trading on March 20, 2015.
If you invested in Youku Tudou and lost money, are interested in discussing your rights, and/or have information relating to the matter, please contact Joseph R. Seidman, Jr. at (877) 779-1414 or firstname.lastname@example.org.
Bernstein Liebhard LLP has pursued hundreds of securities, consumer and shareholder rights cases and recovered over $3 billion for its clients. The National Law Journal has recognized Bernstein Liebhard for twelve consecutive years as one of the top plaintiffs’ firms in the country.