A securities class action has been filed against Driven Brands Holdings Inc. (DRVN) on behalf of all persons who purchased or otherwise acquired Driven Brands common stock between May 9, 2023 through February 24, 2026. This case has been filed in the USDC – SDNY.
Throughout FY 2025, Driven Brands management reiterated specific financial guidance on successive quarterly earnings calls. On the Q4 2024 call (February 25, 2025), CFO Mike Diamond guided for revenue of $2.05 billion to $2.15 billion, adjusted EBITDA of $520 million to $550 million, and adjusted diluted EPS of $1.15 to $1.25. On the Q1 call (May 6, 2025) and Q2 call (August 5, 2025), Driven Brands reiterated the same outlook ranges. On the Q3 call (November 4, 2025), the Company narrowed guidance to revenue of $2.1 billion to $2.12 billion, adjusted EBITDA of $525 million to $535 million, and adjusted EPS of $1.23 to $1.28 — characterizing the narrowing as reflecting “strong third-quarter performance.”
On February 25, 2026, instead of delivering the FY 2025 results investors had been guided to expect, the Company announced a delay of the earnings release and disclosed that prior fiscal results would be restated. DRVN shares opened down 40% on the news.