Progress gets another subpoena (NASDAQ:PRGS)

Progress Software (NASDAQ:PRGS) on Friday said that it had got a subpoena from the U.S. District of Columbia asking for documents and information related to a cybersecurity incident involving the company’s file-transfer software.

Progress (PRGS) stock was down 2.2% to $57.12 after hours.

The company last year disclosed that in May, its investigative team had found a zero-day vulnerability in the MOVEit file-transfer software, which led to the personal information and records of many customers being compromised.

“On January 18, 2024, Progress (PRGS) received a subpoena from the Office of the Attorney General for the District of Columbia seeking various documents and information relating to the MOVEit Vulnerability,” the company said in a regulatory filing on Friday.

The subpoena adds to a list of several inquiries being made into the MOVEit vulnerability by domestic and foreign data privacy regulators as well as U.S. federal agencies. Progress (PRGS) received a subpoena from the Securities and Exchange Commission on October 2 last year, and a preservation notice from the Federal Trade Commission on December 21.

Progress (PRGS) also said that it had got formal letters from 31 customers and others that claim to have been impacted by the MOVEit vulnerability, some of which indicated that they intended to seek compensation from the company.

Progress (PRGS) last week delivered a Q4 2023 top and bottom line beat. For full year 2023, the company reported revenue of $694.4M (+15% Y/Y). PRGS in Friday’s filing said that MOVEit Transfer and MOVEit Cloud represented less than 4% of its full year 2023 revenue.

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