$DAVA

Endava will restate its 2026 financial results due to accounting errors in customer and supplier agreements, impacting revenue. The company identified material weaknesses in internal controls and announced leadership changes, including the retirement of its CEO. Endava expects to file its 2026 Annual Report late and is discussing the impact on its revolving credit facility with lenders.

Endava plc (DAVA) is facing a class action lawsuit over allegations of delayed financials and potential accounting irregularities. The company's CFO is currently on leave. The situation may impact investor perceptions of risk.

Endava (NYSE:DAVA) shares dropped 10% after-hours Monday as CFO Mark Thurston was placed on leave due to an accounting investigation. The probe, led by independent counsel, focuses on customer and supplier agreements. Conor McShane of AlixPartners LLP is interim CFO. The company plans to release Q4 and full-year 2026 results by November 2, 2026.

Endava (NYSE:DAVA) reported FQ3 2026 revenue of £178.5 million, down 8.4% year over year, citing uneven demand and longer deal cycles. The company recorded a £364.6 million goodwill impairment and related tax charges, resulting in a diluted loss per share of £7.55. For FQ4, it expects revenue of £181.0–£185.0 million and adjusted diluted EPS of £0.09–£0.13.

Endava plc reported its Q3 2026 earnings, missing expectations with an EPS of $0.07 against an anticipated $0.27, and experiencing an 8.4% decrease in revenue year-over-year. The company attributed the miss to extended deal cycles, a slowdown in client demand due to macroeconomic factors including the Middle East conflict, and longer-than-expected execution of outcome-based contracts. Despite near-term challenges, Endava highlighted its strategic pivot towards AI-native delivery, which now accounts for 15% of total revenue, and its expanding partnerships with hyperscalers like Google and Mastercard.

Endava's latest business update has caused investors to rerate its valuation dramatically.

Paysafe Ltd ( NYSE:PSFE ) reported worse-than-expected third-quarter financial results and cut its FY25 guidance below estimates on Thursday. The company reported third-quarter adjusted earnings per share of 70 cents, missing the analyst consensus estimate of 73 cents.

Endava plc ( NYSE:DAVA ) posted mixed results for the first quarter on Tuesday. The company posted adjusted earnings of 20 cents per share, beating market estimates of 8 cents per share. The company's quarterly sales came in at $240.314 million versus expectations of $245.910 million.

Due partially to unexpected circumstances, it had a rough first quarter.

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