Hagens Berman says PROCEPT faces securities suit over handpiece sales practices
Hagens Berman says a securities class action targets PROCEPT BioRobotics over alleged undisclosed handpiece sales practices, including bulk discounting and inventory pull-forward.
Hagens Berman Sobol Shapiro LLP says a securities class action has been filed against PROCEPT BioRobotics Corp. over alleged undisclosed sales practices tied to its single-use handpiece, a component of Aquablation therapy used to treat an enlarged prostate.
The firm says the complaint centers on whether PROCEPT adequately disclosed how it sold handpieces and whether reported sales and revenue were inflated by bulk orders and inventory pull-forward. The proposed class covers people who bought or otherwise acquired PROCEPT common stock between Feb. 28, 2024, and Feb. 25, 2026, the announcement says.
According to the PR Newswire announcement from Hagens Berman, the complaint alleges PROCEPT used an extensive discount program to encourage customers to place large orders above procedure demand. The firm says that practice pulled sales forward from future periods and made reported unit sales and revenue look stronger than they were.
The announcement says investors learned more through a series of partial disclosures. On Aug. 6, 2025, PROCEPT reported second-quarter 2025 results and, according to the announcement, said handpiece sales fell short of consensus estimates by a wide margin. On Nov. 4, 2025, the company reported third-quarter results, missed expected handpiece unit sales again and cut annual guidance to allow for what management called optimization of field inventory.
Hagens Berman says management also said at the Nov. 4 call that the company had not been managing customer inventory and that some customers were probably carrying too much. Then, on Feb. 25, 2026, the company reported fourth-quarter 2025 results and disclosed the actual number of procedures in the field, the announcement says.
That disclosure, according to the firm's summary, showed U.S. handpiece sales had exceeded procedures in each quarter since the first quarter of 2023. The announcement says cumulative excess customer inventory was more than 10,000 units and that U.S. handpiece sales fell sequentially by 30%.
Hagens Berman also says PROCEPT ended a previously undisclosed bulk order discount program that had been used to encourage large purchases in the final weeks of each quarter. The firm says the stock had fallen $22.06, or more than 48%, from the Aug. 6, 2025 close to Feb. 25, 2026.
The announcement quotes Reed Kathrein, a Hagens Berman partner, as saying the firm is examining whether PROCEPT intentionally pulled in sales from future quarters and whether its disclosures were transparent enough for investors.
The case is at the investor-notice stage, and the lead-plaintiff deadline is Sept. 22, 2026. The firm says investors who purchased or otherwise acquired PROCEPT shares during the class period may seek to be appointed lead plaintiff.
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