Pathward Financial Inc. has announced a significant regulatory issue concerning the reliability of its previously issued financial statements. On June 26, 2025, the company's Audit Committee, in consultation with management and Crowe LLP, the independent registered public accounting firm, concluded that financial statements from fiscal years ending September 30, 2024 and 2023, along with various interim periods, should not be relied upon due to identified errors. The errors pertain to the gross vs. net basis presentation and derivative accounting in the Consumer Solutions business. Consequently, Pathward Financial plans to restate these financial statements and address a material weakness in its internal control over financial reporting. The company is set to amend its Annual and Quarterly Reports, and will outline a remediation plan in its forthcoming report for the quarter ended March 31, 2025.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.