On February 15, 2024, securities analyst Hindenburg Research published a research report titled Temenos: Major Accounting Irregularities, Failed Products and An Illusive Turnaround. In the report, Hindenburg states it “uncovered hallmarks of manipulated earnings and major accounting irregularities [at Temenos]. This includes evidence of roundtripped revenue, sham partnerships, rampant pulling forward of contract renewals, backdated contracts, excessive capitalization of seemingly non-existent R&D investments and other classic accounting red flags.” For example, a former Temenos executive interviewed by Hindenburg stated that one major deal the Company promoted to investors was “a misrepresentation to the market of the reality of where the revenue was,” adding “I would question whether it really was a[n] above the board transaction or not.” The report is the product of Hindenburg’s four-month investigation in which it interviewed 25 former Temenos employees.

Following this report, the price of Temenos’ American Depositary Receipts (“ADR”) fell over 28% on February 15, 2024.