ADMA Biologics, Inc. (ADMA) Investigation

ADMA Biologics is a U.S. based, end-to-end commercial biopharmaceutical company that manufactures, markets, and develops specialty biologics for the treatment of immunodeficient patients at risk for infection and others at risk for certain infectious diseases.

One of the company’s main products is ASCENIV, a product indicated for the treatment of Primary Humoral Immunodeficiency.

The investigation is focused on ADMA’s repeated assurances that its financial statements have been prepared in accordance with Generally Accepted Accounting Principles (“GAAP”) and that its internal control over financial reporting is effective.

Investors’ expectations were dashed on March 24, 2026, when Culper published its findings. Among the matters Culper reported was ADMA’s skyrocketing days sales outstanding (“DSO”), which Culper reported as 113 days as of December 31, 2025 compared to 43 days at the prior year end.

Culper explained the DSO spike, saying “[w]e spoke with two high-level employees at one of ADMA’s two largest distributors, each of whom told us independently that starting in 2025, ADMA induced the distributor to stock excess ASCENIV by offering rebates and extended payment terms in order to meet order expectations[]” and explained that “[d]istributors take unwanted product without having to pay for it, ADMA books the revenues, and reports growth that was never there.”

 Culper also said “[w]e believe that, had ADMA held payment terms steady rather than extending terms to inflate reported revenues, the Company would have reported year-over-year revenue declines of 3% in 2025[,]” concluding that “more than the entirety of ADMA’s reported growth is explained by channel stuffing.”

Lastly, Culper accused ADMA of concealing sales to an undisclosed related party.

 The market swiftly reacted, sending the price of ADMA shares down over 16% that day, and reportedly drawing a prominent analyst downgrade from overweight to neutral.

FREQUENTLY ASKED QUESTIONS ABOUT THE CASE

What is the ADMA investigation about?

We are investigating Culper’s claims and, if true, whether ADMA may have violated applicable accounting rules including revenue recognition rules.

WHAT SHOULD I DO?

I worked at ADMA. What should I do?

If you were an employee of ADMA, you may have valuable information that could be relevant to the investigation. Hagens Berman is one of the nation’s top whistleblower law firms, and has successfully represented many individuals who come forward with information regarding corporate malfeasance. Under the new SEC Whistleblower program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, contact Reed Kathrein at 844-916-0895 or [email protected].

There are multiple law firms participating, do I need to contact all of them?

No, you do not need to contact all participating law firms. Generally, class-action investigations and lawsuits are consolidated into a single case to streamline the legal process, and attorneys from only a few law firms are selected to serve in a leadership role on the consolidated case. Hagens Berman has a proven track record of being appointed to leadership roles in complex, multidistrict litigation regarding investor fraud and other consumer rights issues, and your claim will be handled by attorneys who have helped secure approximately $325 billion in class-action settlements on behalf of individuals who have suffered due to corporate malfeasance and the wrongdoing of other powerful institutions.

AM I ELIGIBLE?

What is the threshold amount to be eligible? What are “substantial” losses?

The threshold amount and the definition of "substantial" losses may vary depending on a number of factors specific to the case, including the size of the company, market cap, shares outstanding and who holds them and the damages alleged by the fraud. In general, to be eligible to participate in a class-action lawsuit, you must be able to demonstrate that you suffered financial losses as a result of the alleged wrongdoing and that your losses meet the criteria set by the court or law firm. Fill out the form and submit your losses.

CAN I PARTICIPATE?

Am I affected? What do I need to do to participate?

If you were an investor in ADMA, you may be affected and eligible to participate in the case. To determine your eligibility and potential involvement, fill out the form and submit your losses.

Can any ADMA investor participate?

In most class-action investigations and cases, any investor who meets the eligibility criteria, including purchasing the shares during the relevant period, can participate, regardless of the size of their investment. Fill out the form to find out your rights.

I bought on a non-U.S. Exchange. Can I participate?

No. This investigation only covers shares bought on a U.S. exchange, i.e. NASDAQ or NYSE. Fill out the form to find out your rights.

Am I included if I still hold my shares, or do I need to sell to participate?

Participation is based on purchasing shares during the relevant period, rather than your current holdings. Accordingly, you do not need to sell to participate. Fill out the form to find out your rights.