2023 Q3 Form 10-Q Financial Statement

#000005849223000027 Filed on August 08, 2023

View on sec.gov

Income Statement

Concept 2023 Q3 2023 Q2 2022 Q2
Revenue $1.175B $1.221B $1.350B
YoY Change -10.1% -9.53% 5.08%
Cost Of Revenue $961.1M $1.000B $1.066B
YoY Change -9.66% -6.16% 6.55%
Gross Profit $214.3M $221.1M $268.4M
YoY Change -7.03% -17.62% -0.33%
Gross Profit Margin 18.23% 18.11% 19.88%
Selling, General & Admin $109.1M $119.2M $105.4M
YoY Change 8.67% 13.09% -6.39%
% of Gross Profit 50.91% 53.91% 39.27%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $45.00M $16.80M $44.50M
YoY Change 2.04% -62.25% -7.48%
% of Gross Profit 21.0% 7.6% 16.58%
Operating Expenses $109.1M $125.4M $105.4M
YoY Change 8.67% 18.98% -6.39%
Operating Profit $105.2M $95.70M $163.0M
YoY Change -19.14% -41.29% 4.02%
Interest Expense $22.00M -$22.00M $21.10M
YoY Change 7.32% -204.27% 8.21%
% of Operating Profit 20.91% -22.99% 12.94%
Other Income/Expense, Net
YoY Change
Pretax Income $70.90M $73.70M $123.0M
YoY Change -24.17% -40.08% -19.71%
Income Tax $18.00M $19.50M $27.80M
% Of Pretax Income 25.39% 26.46% 22.6%
Net Earnings $52.80M $54.20M $95.20M
YoY Change -26.05% -43.07% -15.15%
Net Earnings / Revenue 4.49% 4.44% 7.05%
Basic Earnings Per Share $0.39 $0.40 $0.70
Diluted Earnings Per Share $0.39 $0.40 $0.70
COMMON SHARES
Basic Shares Outstanding 133.2M shares 133.1M shares 136.3M shares
Diluted Shares Outstanding 136.8M shares 136.6M shares 136.7M shares

Balance Sheet

Concept 2023 Q3 2023 Q2 2022 Q2
SHORT-TERM ASSETS
Cash & Short-Term Investments $273.9M $272.4M $269.9M
YoY Change 21.09% 0.93% 16.54%
Cash & Equivalents $273.9M $272.4M $269.9M
Short-Term Investments
Other Short-Term Assets $66.10M $72.90M $72.40M
YoY Change -3.5% 0.69% 10.7%
Inventory $834.9M $857.8M $1.027B
Prepaid Expenses
Receivables $626.9M $702.7M $671.7M
Other Receivables $84.40M $0.00 $50.90M
Total Short-Term Assets $1.886B $1.906B $2.092B
YoY Change -5.74% -8.89% 10.4%
LONG-TERM ASSETS
Property, Plant & Equipment $776.7M $1.001B $750.4M
YoY Change 4.79% 33.42% -4.52%
Goodwill $1.475B $1.477B $1.430B
YoY Change 1.78% 3.26% -1.99%
Intangibles $622.5M $644.7M $665.5M
YoY Change -9.66% -3.13% -9.77%
Long-Term Investments
YoY Change
Other Assets $116.7M $115.5M $103.2M
YoY Change 12.75% 11.92% -2.09%
Total Long-Term Assets $3.191B $3.239B $3.139B
YoY Change 0.54% 3.18% -3.58%
TOTAL ASSETS
Total Short-Term Assets $1.886B $1.906B $2.092B
Total Long-Term Assets $3.191B $3.239B $3.139B
Total Assets $5.078B $5.144B $5.231B
YoY Change -1.89% -1.65% 1.56%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $534.1M $507.4M $602.0M
YoY Change 4.21% -15.71% -1.63%
Accrued Expenses $295.4M $56.30M $278.3M
YoY Change 6.41% -79.77% -8.12%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $8.900M $8.200M $301.3M
YoY Change 20.27% -97.28% 493.11%
Total Short-Term Liabilities $1.009B $955.6M $1.331B
YoY Change 4.57% -28.23% 20.26%
LONG-TERM LIABILITIES
Long-Term Debt $1.963B $2.016B $1.790B
YoY Change -8.0% 12.68% -9.39%
Other Long-Term Liabilities $108.6M $167.2M $133.8M
YoY Change -26.22% 24.96% -28.3%
Total Long-Term Liabilities $2.433B $2.184B $2.285B
YoY Change -8.11% -4.42% -8.87%
TOTAL LIABILITIES
Total Short-Term Liabilities $1.009B $955.6M $1.331B
Total Long-Term Liabilities $2.433B $2.184B $2.285B
Total Liabilities $3.442B $3.476B $3.616B
YoY Change -4.73% -3.88% 0.05%
SHAREHOLDERS EQUITY
Retained Earnings $3.021B $3.031B $3.041B
YoY Change -1.04% -0.33% 5.42%
Common Stock $575.4M $572.2M $561.3M
YoY Change 1.88% 1.94% 2.69%
Preferred Stock
YoY Change
Treasury Stock (at cost) $1.881B
YoY Change 1.69%
Treasury Stock Shares
Shareholders Equity $1.635B $1.669B $1.614B
YoY Change
Total Liabilities & Shareholders Equity $5.078B $5.144B $5.231B
YoY Change -1.89% -1.65% 1.56%

Cashflow Statement

Concept 2023 Q3 2023 Q2 2022 Q2
OPERATING ACTIVITIES
Net Income $52.80M $54.20M $95.20M
YoY Change -26.05% -43.07% -15.15%
Depreciation, Depletion And Amortization $45.00M $16.80M $44.50M
YoY Change 2.04% -62.25% -7.48%
Cash From Operating Activities $143.8M $110.6M $89.80M
YoY Change 119.54% 23.16% 119.56%
INVESTING ACTIVITIES
Capital Expenditures $22.20M $30.50M -$22.10M
YoY Change -189.88% -238.01% -11.6%
Acquisitions
YoY Change
Other Investing Activities $7.400M $4.300M $400.0K
YoY Change -111.8% 975.0% -100.43%
Cash From Investing Activities -$14.80M -$26.20M -$21.70M
YoY Change -83.07% 20.74% -81.76%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -125.9M -149.3M -110.3M
YoY Change 957.98% 35.36% 261.64%
NET CHANGE
Cash From Operating Activities 143.8M 110.6M 89.80M
Cash From Investing Activities -14.80M -26.20M -21.70M
Cash From Financing Activities -125.9M -149.3M -110.3M
Net Change In Cash 3.100M -64.90M -42.20M
YoY Change -109.17% 53.79% -61.14%
FREE CASH FLOW
Cash From Operating Activities $143.8M $110.6M $89.80M
Capital Expenditures $22.20M $30.50M -$22.10M
Free Cash Flow $121.6M $80.10M $111.9M
YoY Change 34.81% -28.42% 69.8%

Facts In Submission

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INTERIM PRESENTATION<div style="margin-top:5pt;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">The interim financial statements of Leggett &amp; Platt, Incorporated (we, us, or our) included herein have not been audited by an independent registered public accounting firm. The statements include all adjustments, including normal recurring accruals, which management considers necessary for a fair statement of our financial position and operating results for the periods presented. We have prepared the statements pursuant to the rules and regulations of the Securities and Exchange Commission (SEC). Accordingly, certain information and footnote disclosures normally included in financial statements prepared in conformity with accounting principles generally accepted in the United States of America (GAAP) have been condensed or omitted pursuant to such rules and regulations. The operating results for interim periods are not necessarily indicative of results to be expected for an entire year.</span></div><div style="margin-top:5pt;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">The December 31, 2022 financial position data included herein was derived from the audited consolidated financial statements, but does not include all disclosures required by GAAP.</span></div><div style="margin-top:9pt;text-indent:14.4pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:700;line-height:120%;text-decoration:underline">Accounts Receivable and Accounts Payable Programs</span></div><div style="margin-top:5pt;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">We participate in trade receivables sales programs in combination with certain customers and third-party banking institutions. Under each of these programs, we sell our entire interest in the trade receivable for 100% of face value, less a discount. Because control of the sold receivable is transferred to the buyer at the time of sale, accounts receivable balances sold are removed from the Consolidated Condensed Balance Sheets and the related proceeds are reported as cash provided by operating activities in the Consolidated Condensed Statements of Cash Flows. We had approximately $65.0 of trade receivables that were sold and removed from our balance sheets at both June 30, 2023 and December 31, 2022.</span></div><div style="margin-top:5pt;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">We sometimes utilize third-party programs that allow our suppliers to be paid earlier at a discount. While these programs assist us in negotiating payment terms with our suppliers, we continue to make payments based on our customary terms. A vendor can elect to take payment from a third party earlier with a discount, and in that case, we pay the third party on the original due date of the invoice. Contracts with our suppliers are negotiated independently of supplier participation in the programs, and we cannot increase payment terms pursuant to the programs. The accounts payable associated with the third-party programs, which remain on our Consolidated Condensed Balance Sheets, were approximately $95.0 at June 30, 2023 and $80.0 at December 31, 2022.</span></div><div style="margin-top:5pt;text-indent:22.5pt"><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">While we utilize the above items as tools in our cash flow management, and offer them as options to facilitate customer and vendor operating cycles, if there were to be a cessation of these programs, we do not expect it would materially impact our operating cash flows or liquidity.</span></div>
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