Adtran Holdings Faces Financial Restatements and Meeting Postponement

Adtran Holdings, Inc. announced the need to restate its financial statements for years ending December 31, 2023, and 2024, alongside interim periods for 2024. This move follows adjustments identified by subsidiary Adtran Networks SE, impacting inventory and increasing costs of goods sold by €5.7 million. Consequently, previously released 2024 and 2023 financial statements are deemed unreliable, prompting a restatement effort.

The company also discovered a material weakness in financial reporting controls, necessitating an extended period for filing its quarterly report due to these complexities. As a result, Adtran postponed its annual stockholders' meeting originally set for May 14, 2025, to allow shareholders time to review the revised financials.

Despite the announced restatements, Adtran anticipates minimal material impact on its Q1 2025 financial results. Going forward, the company aims to address internal control weaknesses while continuing to fulfill regulatory obligations.