$REZI

RESIDEO TECHNOLOGIES, INC.

CIK:0001740332|SEC Filings

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jul. 04, 2026	Jun. 28, 2025	Jul. 04, 2026	Jun. 28, 2025
Income Statement [Abstract]
Revenue	$ 1,981	$ 1,943	$ 3,893	$ 3,713
Cost of goods sold	1,386	1,374	2,747	2,633
Gross profit	595	569	1,146	1,080
Operating expenses:
Research and development expenses	48	41	96	76
Selling, general and administrative expenses	332	319	672	625
Intangible asset amortization	31	30	62	60
Restructuring expenses	22	2	28	6
Business separation costs	31	0	55	0
Total operating expenses	464	392	913	767
Income from operations	131	177	233	313
Indemnification Agreement expense	0	882	0	972
Other (income) expense, net	(81)	9	(81)	15
Interest expense, net	46	24	93	49
Net income (loss) before taxes	166	(738)	221	(723)
Provision for income taxes	69	87	86	96
Net income (loss)	97	(825)	135	(819)
Less: preferred stock dividends	8	8	17	17
Less: undistributed income allocated to preferred stockholders	10	0	13	0
Net income (loss) available to common stockholders, basic	79	(833)	105	(836)
Net income (loss) available to common stockholders, diluted	$ 79	$ (833)	$ 105	$ (836)
Earnings (loss) per common share:
Basic (in dollars per share)	$ 0.52	$ (5.59)	$ 0.70	$ (5.65)
Diluted (in dollars per share)	$ 0.51	$ (5.59)	$ 0.68	$ (5.65)
Weighted average common shares outstanding:
Weighted average basic number of common shares outstanding (in shares)	151	149	151	148
Weighted average diluted number of common shares outstanding (in shares)	154	149	155	148

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions	6 Months Ended
	Jul. 04, 2026	Jun. 28, 2025
Cash Flows From Operating Activities:
Net income (loss)	$ 135	$ (819)
Adjustments to reconcile net income (loss) to net cash in operating activities:
Depreciation and amortization	101	96
Restructuring expenses	28	6
Stock-based compensation expense	28	30
Deferred income taxes	43	4
Other, net	0	4
Changes in assets and liabilities:
Accounts receivable, net	(149)	(85)
Inventories, net	(45)	4
Other current assets	(2)	(26)
Accounts payable	(8)	8
Accrued liabilities	(50)	73
Non-current obligations payable under the Tax Matters Agreement	(88)	0
Non-current obligations payable under the Indemnification Agreement	0	902
Other, net	10	(62)
Net cash provided by operating activities	3	135
Cash Flows From Investing Activities:
Capital expenditures	(65)	(51)
Other investing activities	10	0
Net cash used in investing activities	(55)	(51)
Cash Flows From Financing Activities:
Proceeds from issuance of long-term debt	400	0
Repayments of long-term debt	(9)	(2)
Acquisition of treasury stock to cover stock award tax withholding	(33)	(16)
Preferred stock dividend payments	(17)	(17)
Other financing activities, net	1	2
Net cash provided by (used in) financing activities	342	(33)
Effect of foreign exchange rate changes on cash, cash equivalents and restricted cash	(3)	10
Net increase in cash, cash equivalents and restricted cash	287	61
Cash, cash equivalents and restricted cash at beginning of year	662	693
Cash, cash equivalents and restricted cash at end of year	$ 949	$ 754

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions	Jul. 04, 2026	Dec. 31, 2025
Current assets:
Cash and cash equivalents	$ 549	$ 661
Restricted cash	400	0
Accounts receivable, net	1,214	1,073
Inventories, net	1,392	1,354
Other current assets	270	270
Total current assets	3,825	3,358
Property, plant and equipment, net	445	447
Goodwill	3,088	3,100
Intangible assets, net	1,049	1,091
Other assets	374	437
Total assets	8,781	8,433
Current liabilities:
Accounts payable	1,116	1,131
Accrued liabilities	605	624
Total current liabilities	1,721	1,755
Long-term debt	3,560	3,167
Other long-term liabilities	494	594
Total liabilities	5,775	5,516
COMMITMENTS AND CONTINGENCIES (Note 15)
Stockholders’ equity:
Preferred stock, $0.001 par value: 100 shares authorized, 0.5 shares issued and outstanding, and $500 liquidation preference at July 4, 2026 and December 31, 2025	482	482
Common stock, $0.001 par value: 700 shares authorized, 160 and 152 shares issued and outstanding at July 4, 2026, respectively, and 158 and 150 shares issued and outstanding at December 31, 2025, respectively	0	0
Additional paid-in capital	2,424	2,391
Retained earnings	463	345
Accumulated other comprehensive loss	(186)	(157)
Treasury stock at cost	(177)	(144)
Total stockholders’ equity	3,006	2,917
Total liabilities and stockholders’ equity	$ 8,781	$ 8,433