Scott+Scott Attorneys at Law LLP Alerts Investors to Securities Class Action Against Arlo Technologies, Inc.

Scott+Scott
Attorneys at Law LLP (“Scott+Scott”), a national securities and
consumer rights litigation firm, is notifying investors that a federal
class action lawsuit has been filed against Arlo Technologies, Inc.
(“Arlo” or the “Company”) (NYSE:ARLO) and certain of its officers and
directors (collectively, “Defendants”). If you purchased Arlo securities
pursuant and/or traceable to the Company’s initial public offering
(“IPO”) in August 2018, you are encouraged to contact a Scott+Scott
attorney at (844) 818-6982 for more information.

Arlo provides smart connected devices that can purportedly monitor
environments in real-time using its cloud-based platform.

The complaint alleges that Defendants made materially false and
misleading statements regarding the Company’s business, operational and
compliance policies. Specifically, Defendants made false and/or
misleading statements and/or failed to disclose that: (i) there was a
flaw and/or quality issue with Arlo’s newly designed battery for its
Ultra camera systems; (ii) this flaw and/or quality issue with the Ultra
battery could result in a shipping delay of Arlo’s Ultra product; (iii)
such a shipping delay endangered Arlo’s chances of launching the Ultra
product in time for the crucial holiday season; (iv) such a shipping
delay would allow Arlo’s competitors to capitalize on the Ultra
product’s missed launch, thereby increasing their own market share; (v)
Arlo’s consumers had been experiencing battery drain issues and other
battery-related issues in connection with recent firmware updates; (vi)
because of the foregoing, Arlo’s fourth quarter 2018 results and
consumer base would be negatively impacted; and (vii) as a result,
Arlo’s Registration Statement was materially false and misleading at all
relevant times.

On December 3, 2018, Arlo reported a delay in shipments of Ultra, citing
“a quality issue with the battery from one of its suppliers” that was
discovered during the product’s final testing phase. As a result of the
delay, Arlo also lowered its fourth quarter 2018 financial guidance,
advising investors that it anticipated “net revenue to be in the range
of $125 million to $130 million, non-GAAP gross margin to be
approximately 10%, and non-GAAP operating loss to be approximately 20%
of revenue.”

Following this news, Arlo’s stock price fell $2.75 per share, or 22.86%,
to close at $9.28 on December 3, 2018. This constituted a decline of
$6.72, or approximately 42%, from the IPO price of $16.00 per share.

What You Can Do

If you purchased Arlo securities in or traceable to the Company’s IPO,
or if you have questions about this notice or your legal rights, please
contact attorney Joe Pettigrew at (844) 818-6982, or at [email protected].
The lead plaintiff deadline is March 25, 2019.

About Scott+Scott Attorneys at Law LLP

Scott+Scott has significant experience in prosecuting major securities,
antitrust, and employee retirement plan actions throughout the United
States. The firm represents pension funds, foundations, individuals, and
other entities worldwide with offices in New York, London, Connecticut,
California, and Ohio.

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