2024 Q1 Form 10-K Financial Statement

#000106508824000036 Filed on February 28, 2024

View on sec.gov

Income Statement

Concept 2024 Q1 2023 Q4 2023
Revenue $2.556B $2.562B $10.11B
YoY Change 1.83% 2.07% 3.24%
Cost Of Revenue $700.0M $710.0M $2.833B
YoY Change 0.0% 4.26% 5.71%
Gross Profit $1.856B $1.852B $7.279B
YoY Change 2.54% 1.26% 2.3%
Gross Profit Margin 72.61% 72.29% 71.98%
Selling, General & Admin $779.0M $938.0M $3.413B
YoY Change -3.59% 11.4% 10.13%
% of Gross Profit 41.97% 50.65% 46.89%
Research & Development $351.0M $399.0M $1.544B
YoY Change -0.28% 17.35% 16.09%
% of Gross Profit 18.91% 21.54% 21.21%
Depreciation & Amortization $76.00M $98.00M $441.0M
YoY Change -28.97% -8.41% -0.23%
% of Gross Profit 4.09% 5.29% 6.06%
Operating Expenses $1.225B $1.341B $5.338B
YoY Change -2.16% 13.36% 12.03%
Operating Profit $631.0M $511.0M $1.941B
YoY Change 13.08% -20.9% -17.4%
Interest Expense $66.00M $621.0M $263.0M
YoY Change -61.63% 135.23% 11.91%
% of Operating Profit 10.46% 121.53% 13.55%
Other Income/Expense, Net
YoY Change
Pretax Income $536.0M $1.031B $3.707B
YoY Change -26.58% 24.37% -331.54%
Income Tax $97.00M $303.0M $932.0M
% Of Pretax Income 18.1% 29.39% 25.14%
Net Earnings $438.0M $724.0M $2.767B
YoY Change -22.75% 7.74% -318.05%
Net Earnings / Revenue 17.14% 28.26% 27.36%
Basic Earnings Per Share $0.85 $5.22
Diluted Earnings Per Share $0.85 $1.40 $5.19
COMMON SHARES
Basic Shares Outstanding 518.0M shares 519.0M shares 530.0M shares
Diluted Shares Outstanding 519.0M shares 533.0M shares

Balance Sheet

Concept 2024 Q1 2023 Q4 2023
SHORT-TERM ASSETS
Cash & Short-Term Investments $8.113B $8.992B $8.992B
YoY Change 18.09% 20.94% 20.94%
Cash & Equivalents $2.130B $1.985B $1.985B
Short-Term Investments $5.983B $7.007B $7.007B
Other Short-Term Assets $1.185B $988.0M $818.0M
YoY Change 24.87% 12.27% -7.05%
Inventory
Prepaid Expenses $144.0M $116.0M
Receivables $89.00M $94.00M $94.00M
Other Receivables $1.130B $1.112B $1.112B
Total Short-Term Assets $10.41B $11.02B $11.02B
YoY Change 21.03% 18.58% 18.58%
LONG-TERM ASSETS
Property, Plant & Equipment $1.281B $1.243B $1.736B
YoY Change 3.72% 0.4% -0.86%
Goodwill $4.235B $4.267B
YoY Change -1.21% 0.12%
Intangibles
YoY Change
Long-Term Investments $1.546B $1.129B $1.129B
YoY Change -6.7% -36.72%
Other Assets $429.0M $379.0M $3.358B
YoY Change -31.9% -34.77% -10.76%
Total Long-Term Assets $11.01B $10.60B $10.60B
YoY Change -3.45% -8.27% -8.27%
TOTAL ASSETS
Total Short-Term Assets $10.41B $11.02B $11.02B
Total Long-Term Assets $11.01B $10.60B $10.60B
Total Assets $21.42B $21.62B $21.62B
YoY Change 7.07% 3.69% 3.69%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $300.0M $267.0M $1.321B
YoY Change 7.14% 2.3% 28.38%
Accrued Expenses $1.518B $2.162B $2.162B
YoY Change -17.0% 18.01% 18.01%
Deferred Revenue $33.00M $34.00M
YoY Change -26.67% 0.0%
Short-Term Debt $0.00 $750.0M $0.00
YoY Change -34.78%
Long-Term Debt Due $1.550B $750.0M $750.0M
YoY Change -34.78% -34.78%
Total Short-Term Liabilities $5.233B $4.520B $4.520B
YoY Change 63.23% 5.83% 5.83%
LONG-TERM LIABILITIES
Long-Term Debt $6.174B $6.973B $6.973B
YoY Change -20.04% -9.69% -9.69%
Other Long-Term Liabilities $959.0M $936.0M $1.323B
YoY Change -10.29% -10.17% -9.38%
Total Long-Term Liabilities $959.0M $7.909B $8.296B
YoY Change -10.29% -9.75% -9.64%
TOTAL LIABILITIES
Total Short-Term Liabilities $5.233B $4.520B $4.520B
Total Long-Term Liabilities $959.0M $7.909B $8.296B
Total Liabilities $15.15B $15.22B $15.22B
YoY Change 3.61% -3.01% -3.01%
SHAREHOLDERS EQUITY
Retained Earnings $36.83B $36.53B
YoY Change 5.99% 6.46%
Common Stock $2.000M $2.000M
YoY Change 0.0% 0.0%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $6.273B $6.396B $6.396B
YoY Change
Total Liabilities & Shareholders Equity $21.42B $21.62B $21.62B
YoY Change 7.07% 3.69% 3.69%

Cashflow Statement

Concept 2024 Q1 2023 Q4 2023
OPERATING ACTIVITIES
Net Income $438.0M $724.0M $2.767B
YoY Change -22.75% 7.74% -318.05%
Depreciation, Depletion And Amortization $76.00M $98.00M $441.0M
YoY Change -28.97% -8.41% -0.23%
Cash From Operating Activities $615.0M $122.0M $2.426B
YoY Change -26.87% -82.16% 7.63%
INVESTING ACTIVITIES
Capital Expenditures $143.0M $126.0M $456.0M
YoY Change 8.33% -17.65% 1.56%
Acquisitions $0.00
YoY Change -100.0%
Other Investing Activities -$2.000M -$154.0M $38.00M
YoY Change -107.14% -86.5% -46.48%
Cash From Investing Activities $250.0M -$280.0M $240.0M
YoY Change -64.34% -78.36% -90.25%
FINANCING ACTIVITIES
Cash Dividend Paid $139.0M $528.0M
YoY Change 3.73% 7.98%
Common Stock Issuance & Retirement, Net $1.318B
YoY Change -56.87%
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -$686.0M -379.0M -$2.450B
YoY Change -50.58% -150.94% -35.39%
NET CHANGE
Cash From Operating Activities $615.0M 122.0M $2.426B
Cash From Investing Activities $250.0M -280.0M $240.0M
Cash From Financing Activities -$686.0M -379.0M -$2.450B
Net Change In Cash $168.0M -537.0M $221.0M
YoY Change 5.66% -500.75% -74.48%
FREE CASH FLOW
Cash From Operating Activities $615.0M $122.0M $2.426B
Capital Expenditures $143.0M $126.0M $456.0M
Free Cash Flow $472.0M -$4.000M $1.970B
YoY Change -33.43% -100.75% 9.14%

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<div style="padding-left:13.5pt;text-align:justify"><span style="color:#000000;font-family:'Arial',sans-serif;font-size:10pt;font-style:italic;font-weight:700;line-height:120%">Use of Estimates </span></div>The preparation of consolidated financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, we evaluate our estimates, including those related to provisions for transaction losses, legal contingencies, income taxes, revenue recognition, stock-based compensation, investments, including Level 3 investments, warrant and the recoverability of goodwill and intangible assets. We base our estimates on historical experience and on various other assumptions that we believe to be reasonable under the circumstances. Actual results could differ from those estimates
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<div style="padding-left:13.5pt;text-align:justify"><span style="color:#000000;font-family:'Arial',sans-serif;font-size:10pt;font-style:italic;font-weight:700;line-height:120%">Concentration of credit risk</span></div><div style="text-align:justify;text-indent:24.75pt"><span><br/></span></div><div style="text-align:justify;text-indent:27pt"><span style="color:#000000;font-family:'Arial',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Our cash, cash equivalents, accounts receivable, customer accounts and funds receivable, available-for-sale debt securities and derivative instruments are potentially subject to concentration of credit risk. Cash and cash equivalents are placed with financial institutions that management believes are of high credit quality. In each of the years ended December 31, 2023, 2022 and 2021, no customer accounted for more than 10% of net revenues. Our derivative instruments expose us to credit risk to the extent that our counterparties may be unable to meet the terms of the agreements.</span></div>
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