2023 Q2 Form 10-K Financial Statement

#000084939923000014 Filed on May 25, 2023

View on sec.gov

Income Statement

Concept 2023 Q2 2023 Q1 2023
Revenue $946.0M $947.0M $3.338B
YoY Change 32.12% 19.38%
Cost Of Revenue $179.0M $190.0M $589.0M
YoY Change 77.23% 44.36%
Gross Profit $767.0M $757.0M $2.749B
YoY Change 24.72% 15.12%
Gross Profit Margin 81.08% 79.94% 82.35%
Selling, General & Admin $237.0M $237.0M $968.0M
YoY Change -40.45% -4.54%
% of Gross Profit 30.9% 31.31% 35.21%
Research & Development $90.00M $88.00M $313.0M
YoY Change 52.54% 23.72%
% of Gross Profit 11.73% 11.62% 11.39%
Depreciation & Amortization $125.0M $126.0M $329.0M
YoY Change 290.63% 135.0%
% of Gross Profit 16.3% 16.64% 11.97%
Operating Expenses $405.0M $386.0M $1.522B
YoY Change -15.45% 10.05%
Operating Profit $362.0M $371.0M $1.227B
YoY Change 166.18% 22.09%
Interest Expense -$163.0M -$163.0M -$394.0M
YoY Change 352.78% 207.81%
% of Operating Profit -45.03% -43.94% -32.11%
Other Income/Expense, Net $12.00M -$30.00M -$22.00M
YoY Change 1100.0% -113.5%
Pretax Income $204.0M $164.0M $804.0M
YoY Change 112.5% -22.84%
Income Tax $15.00M -$751.0M -$545.0M
% Of Pretax Income 7.35% -457.93% -67.79%
Net Earnings $189.0M $915.0M $1.349B
YoY Change 57.5% 61.36%
Net Earnings / Revenue 19.98% 96.62% 40.41%
Basic Earnings Per Share $0.30 $2.20
Diluted Earnings Per Share $0.29 $1.42 $2.16
COMMON SHARES
Basic Shares Outstanding 640.8M shares 639.1M shares 614.0M shares
Diluted Shares Outstanding 643.0M shares 624.0M shares

Balance Sheet

Concept 2023 Q2 2023 Q1 2023
SHORT-TERM ASSETS
Cash & Short-Term Investments $623.0M $750.0M $750.0M
YoY Change -67.05% -60.34%
Cash & Equivalents $623.0M $750.0M $174.0M
Short-Term Investments $0.00 $0.00
Other Short-Term Assets $297.0M $284.0M $176.0M
YoY Change 53.89% -5.88%
Inventory
Prepaid Expenses $118.0M $122.0M
Receivables $145.0M $168.0M $168.0M
Other Receivables $131.0M $139.0M $139.0M
Total Short-Term Assets $1.087B $1.233B $1.233B
YoY Change -51.9% -45.44%
LONG-TERM ASSETS
Property, Plant & Equipment $73.00M $76.00M $119.0M
YoY Change 21.67% -11.19%
Goodwill $10.24B $10.22B
YoY Change 256.46%
Intangibles $2.982B $3.097B
YoY Change 191.5%
Long-Term Investments $176.0M $176.0M $176.0M
YoY Change -1.12% -1.12%
Other Assets $1.366B $1.281B $436.0M
YoY Change 109.19% -3.11%
Total Long-Term Assets $14.70B $14.71B $14.71B
YoY Change 213.9% 214.2%
TOTAL ASSETS
Total Short-Term Assets $1.087B $1.233B $1.233B
Total Long-Term Assets $14.70B $14.71B $14.71B
Total Assets $15.79B $15.95B $15.95B
YoY Change 127.38% 129.68%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $65.00M $77.00M $77.00M
YoY Change 3.17% 22.22%
Accrued Expenses $529.0M $659.0M $659.0M
YoY Change -15.9% 4.77%
Deferred Revenue $1.631B $1.708B
YoY Change 29.03%
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $233.0M $233.0M $233.0M
YoY Change -76.7% -76.7%
Total Short-Term Liabilities $2.748B $2.849B $2.849B
YoY Change -10.34% -7.05%
LONG-TERM LIABILITIES
Long-Term Debt $9.327B $9.529B $9.529B
YoY Change 240.9% 248.28%
Other Long-Term Liabilities $44.00M $43.00M $974.0M
YoY Change -6.38% -16.03%
Total Long-Term Liabilities $9.371B $9.572B $10.50B
YoY Change 236.72% 169.58%
TOTAL LIABILITIES
Total Short-Term Liabilities $2.748B $2.849B $2.849B
Total Long-Term Liabilities $9.371B $9.572B $10.50B
Total Liabilities $13.45B $13.75B $13.75B
YoY Change 91.16% 95.38%
SHAREHOLDERS EQUITY
Retained Earnings -$396.0M -$585.0M
YoY Change -79.59%
Common Stock
YoY Change
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $2.337B $2.200B $2.200B
YoY Change
Total Liabilities & Shareholders Equity $15.79B $15.95B $15.95B
YoY Change 127.38% 129.68%

Cashflow Statement

Concept 2023 Q2 2023 Q1 2023
OPERATING ACTIVITIES
Net Income $189.0M $915.0M $1.349B
YoY Change 57.5% 61.36%
Depreciation, Depletion And Amortization $125.0M $126.0M $329.0M
YoY Change 290.63% 135.0%
Cash From Operating Activities $226.0M $324.0M $757.0M
YoY Change -30.67% -22.28%
INVESTING ACTIVITIES
Capital Expenditures $4.000M $1.000M $6.000M
YoY Change -300.0% 0.0%
Acquisitions $6.547B
YoY Change 16687.18%
Other Investing Activities $2.000M $0.00 -$2.000M
YoY Change -83.33% 100.0%
Cash From Investing Activities -$6.000M -$1.000M -$6.547B
YoY Change -160.0% -2108.28%
FINANCING ACTIVITIES
Cash Dividend Paid $83.00M $314.0M
YoY Change 3.63%
Common Stock Issuance & Retirement, Net $904.0M
YoY Change
Debt Paid & Issued, Net $208.0M
YoY Change
Cash From Financing Activities -$350.0M -383.0M $4.681B
YoY Change 61.29% -1505.71%
NET CHANGE
Cash From Operating Activities $226.0M 324.0M $757.0M
Cash From Investing Activities -$6.000M -1.000M -$6.547B
Cash From Financing Activities -$350.0M -383.0M $4.681B
Net Change In Cash -$127.0M -60.00M -$1.137B
YoY Change -206.72% -219.18%
FREE CASH FLOW
Cash From Operating Activities $226.0M $324.0M $757.0M
Capital Expenditures $4.000M $1.000M $6.000M
Free Cash Flow $222.0M $323.0M $751.0M
YoY Change -32.32% -22.42%

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CY2023 us-gaap Fiscal Period
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We have a 52/53-week fiscal year ending on the Friday closest to March 31. Fiscal 2023, 2022 and 2021 in this report refers to fiscal years ended March 31, 2023, April 1, 2022, and April 2, 2021, respectively, each of which was a 52-week year.
CY2023 us-gaap Use Of Estimates
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The preparation of Consolidated Financial Statements in conformity with GAAP requires management to make estimates, judgments and assumptions that affect the amounts reported in the Consolidated Financial Statements and accompanying Notes. Such estimates include, but are not limited to, valuation of business combinations including acquired intangible assets and goodwill, loss contingencies, the recognition and measurement of current and deferred income taxes, including the measurement of uncertain tax positions, and valuation of assets and liabilities. On an ongoing basis, management determines these estimates and assumptions based on historical experience and on various other assumptions that are believed to be reasonable. Third-party valuation specialists are also utilized for certain estimates. Actual results could differ from such estimates and assumptions due to risks and uncertainties, including uncertainty in the current economic environment as a result of macroeconomic factors such as inflation, fluctuations in foreign currency exchange rates relative to the U.S. dollars, our reporting currency, changes in interest rates, the COVID-19 pandemic and Russia’s invasion of Ukraine, and such differences may be material to the Consolidated Financial Statements.
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CY2023 us-gaap Concentration Risk Credit Risk
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A significant portion of our revenue is derived from international sales. Fluctuations of the U.S. dollar against foreign currencies, changes in local regulatory or economic conditions, or piracy could adversely affect our operating results.Financial instruments that potentially subject us to concentrations of risk consist principally of cash and cash equivalents, short-term investments and trade accounts receivable. Our investment policy limits the amount of credit risk exposure to any one issuer and to any one country. A majority of our trade receivables are derived from sales to distributors and retailers. The credit risk in our trade accounts receivable is substantially mitigated by our credit evaluation process, reasonably short collection terms and the geographical dispersion of sales transactions.
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TaxCutsAndJobsActOf2017TransitionTaxForAccumulatedForeignEarningsLiability
438000000 usd
CY2022Q2 us-gaap Loss Contingency Claims Settled Number
LossContingencyClaimsSettledNumber
6 patent
CY2022Q2 us-gaap Loss Contingency Claims Settled Number
LossContingencyClaimsSettledNumber
6 patent
CY2021Q2 us-gaap Litigation Settlement Amount Awarded To Other Party
LitigationSettlementAmountAwardedToOtherParty
70000000 usd
CY2021Q2 us-gaap Litigation Settlement Amount Awarded To Other Party
LitigationSettlementAmountAwardedToOtherParty
70000000 usd
CY2021Q2 gen Loss Contingency Insurance Recoveries
LossContingencyInsuranceRecoveries
67100000 usd
CY2023Q1 us-gaap Litigation Settlement Amount Awarded To Other Party
LitigationSettlementAmountAwardedToOtherParty
12000000 usd

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