San Diego, CA -- (SBWIRE) -- 01/27/2015 -- An investigation on behalf of investors of LeapFrog Enterprises, Inc. (NYSE:LF) shares over potential securities laws violations by LeapFrog Enterprises and certain of its directors and officers in connection certain financial statements was announced.

Investors who purchased shares of LeapFrog Enterprises, Inc. (NYSE:LF) have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

The investigation by a law firm focuses on possible claims on behalf of purchasers of the securities of LeapFrog Enterprises, Inc. (NYSE:LF) concerning whether a series of statements by LeapFrog Enterprises regarding its business, its prospects and its operations were materially false and misleading at the time they were made.

On February 12, 2014 LeapFrog Enterprises, Inc announced financial results for the fourth quarter and year ended December 31, 2013. LeapFrog Enterprises, Inc. reported that its annual Total Revenue declined from $581.29 million in 2012 to $553.62 million in 2013 and that its Net Income fell from $86.45 million to $84.01 million.

On May 5, 2014 LeapFrog Enterprises, Inc announced financial results for the first quarter ended March 31, 2014. LeapFrog Enterprises, Inc reported that its first quarter Revenue declined from $82.93 million in 2013 to $56.88 million in 2014 and that its Net Loss in the first quarter increased from $3.01 milion in 2013 to $11.44 million in 2014.

On May 16, 2014 LeapFrog Enterprises, Inc announced that the Company's Board of Directors approved a fiscal year-end change from December 31 to March 31. Among other things, LeapFrog Enterprises, Inc issued its guidance and said that it expects it Net sales to be in a range of $554 million to $580 million compared to $554 million in 2013.

On, Aug. 4, 2014, LeapFrog Enterprises, Inc. (NYSE:LF) announced financial results for its first fiscal quarter ended June 30, 2014. 2014 LeapFrog Enterprises, Inc reported that its Revenue declined from $82.98 million for the three months that ended on June 30, 2013 to $46.97 million for the three months that ended on June 30, 2014 and that its respective Net Loss increased from $3.29 million to $16.36 million. Among other things, LeapFrog Enterprises, Inc revised its guidance and said that it expects it Net sales to be in the range of $480 million to $505 million compared to $528 million for the 12-month period ended March 31, 2014.

On Nov. 3, 2014, LeapFrog Enterprises, Inc announced financial results for its second fiscal quarter ended September 30, 2014. LeapFrog Enterprises, Inc reported that its Revenue declined from $200.98 million for the three months period that ended on Spetember 30, 2013 to $113.64 million for the three months period that ended on September 30, 2014 and that its Net Income of $26.37 million for the three months period that ended on Spetember 30, 2013 fell to a Net Loss of $2.02 million for the three months period that ended on Spetember 30, 2014. Among other things, LeapFrog Enterprises, Inc revised its guidance and said that it expects it Net sales to be in the range of $450 million to $470 million compared to $528 million for the twelve-month period ended March 31, 2014.

On January 22, 2015, LeapFrog Enterprises, Inc provided preliminary unaudited fiscal third quarter results for the three-month period ended December 31, 2014. LeapFrog Enterprises, Inc said that for its fiscal third quarter that ended on December 31, 2014 its Revenue will be approximately $145 million compared with prior guidance of $220 million to $240 million and that its Net loss will be approximately $124 million, which includes non-cash charges of approximately $20 million for goodwill impairment and approximately $87 million for deferred tax asset valuation allowance. The Chief Executive Officer of LeapFrog Enterprises, Inc John Barbour said that "We are very disappointed that our performance in the third quarter was significantly below our expectations and that we will not achieve our fiscal year guidance."

Shares of LeapFrog Enterprises, Inc. (NYSE:LF) declined from $11.46 per share in July 2013 to as low as $2.52 per share on January 23, 2015.

Those who purchased shares of LeapFrog Enterprises, Inc. (NYSE:LF) have certain options and should contact the Shareholders Foundation.

Contact:
Shareholders Foundation, Inc.
Michael Daniels
3111 Camino Del Rio North - Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com