$APG

APi Group Corp

CIK:0001796209|SEC Filings

Condensed Consolidated Statements of Operations (Unaudited) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Net revenues	$ 2,254	$ 1,990	$ 4,236	$ 3,709
Cost of revenues	1,551	1,375	2,913	2,552
Gross profit	703	615	1,323	1,157
Selling, general, and administrative expenses	528	472	1,045	930
Operating income	175	143	278	227
Interest expense, net	36	37	66	75
Investment expense (income) and other, net	1	(2)	3	(2)
Other expense, net	37	35	69	73
Income before income taxes	138	108	209	154
Income tax provision	39	31	53	42
Net income	99	77	156	112
Net income attributable to common shareholders:
Net income attributable to common shareholders	$ 89	$ 69	$ 140	$ 100
Net income per common share:
Basic (in dollars per share)	$ 0.21	$ 0.17	$ 0.32	$ 0.24
Diluted (in dollars per share)	$ 0.20	$ 0.16	$ 0.32	$ 0.24
Weighted average shares outstanding:
Basic (in shares)	432,738,694	415,269,213	432,114,533	415,560,022
Diluted (in shares)	436,896,510	427,649,550	435,988,487	422,271,774
Series A Preferred Stock
Net income attributable to common shareholders:
Income allocable to Series A Preferred Stock	$ (10)	$ (8)	$ (16)	$ (12)

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Cash flows from operating activities:
Net income	$ 156	$ 112
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation	42	42
Amortization	131	119
Restructuring charges, net of cash paid	(4)	(2)
Deferred taxes	(1)	(1)
Share-based compensation expense	23	21
Profit-sharing expense	15	14
Non-cash lease expense	61	56
Net periodic pension cost	12	11
Other, net	(2)	2
Changes in operating assets and liabilities, net of effects of acquisitions:
Accounts receivable	(89)	(12)
Contract assets	(133)	(77)
Inventories	(9)	(3)
Prepaid expenses and other current assets	(38)	(36)
Accounts payable	15	7
Accrued liabilities and income taxes payable	(26)	(56)
Contract liabilities	124	37
Other assets and liabilities	(109)	(89)
Net cash provided by operating activities	168	145
Cash flows from investing activities:
Acquisitions, net of cash acquired	(816)	(111)
Purchases of property and equipment	(49)	(39)
Proceeds from sales of property and equipment	4	10
Net cash used in investing activities	(861)	(140)
Cash flows from financing activities:
Net short-term debt	280	0
Proceeds from long-term borrowings	795	0
Payments on long-term borrowings	(303)	(4)
Payments of debt issuance costs	(16)	0
Repurchases of common stock	(66)	(75)
Payments of acquisition-related consideration	(13)	(2)
Restricted shares tendered for taxes	(38)	(20)
Net cash provided by (used in) financing activities	639	(101)
Effect of foreign currency exchange rate change on cash, cash equivalents, and restricted cash	(8)	28
Net decrease in cash, cash equivalents, and restricted cash	(62)	(68)
Cash, cash equivalents, and restricted cash, beginning of period	913	501
Cash, cash equivalents, and restricted cash, end of period	851	433
Supplemental cash flow disclosures:
Cash paid for interest, net of interest income	60	70
Cash paid for income taxes, net of refunds	55	63
Accrued consideration issued in business combinations	10	9
Shares of common stock issued to profit sharing plan	$ 30	$ 24

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions	Jun. 30, 2026	Dec. 31, 2025
Current assets:
Cash and cash equivalents	$ 851	$ 912
Accounts receivable, net of allowances of $9 and $14 at June 30, 2026 and December 31, 2025, respectively	1,706	1,563
Inventories	172	145
Contract assets	630	484
Prepaid expenses and other current assets	171	125
Total current assets	3,530	3,229
Property and equipment, net	429	397
Operating lease right-of-use assets	303	301
Goodwill	3,643	3,167
Intangible assets, net	1,736	1,584
Deferred tax assets	20	40
Pension and post-retirement assets	129	129
Other assets	157	89
Total assets	9,947	8,936
Current liabilities:
Short-term and current portion of long-term debt	306	5
Accounts payable	554	526
Contingent consideration and compensation liabilities	51	60
Accrued salaries and wages	372	444
Contract liabilities	815	694
Operating and finance leases	100	98
Other accrued liabilities	343	323
Total current liabilities	2,541	2,150
Long-term debt, less current portion	3,217	2,754
Pension and post-retirement obligations	48	50
Contingent consideration and compensation liabilities	12	8
Operating and finance leases	219	215
Deferred tax liabilities	248	205
Other noncurrent liabilities	146	146
Total liabilities	6,431	5,528
Commitments and contingencies (Note 14)
Shareholders’ equity:
Series A Preferred Stock, $0.0001 par value; 7,000,000 authorized shares; 4,000,000 shares issued and outstanding at June 30, 2026 and December 31, 2025	0	0
Common stock, $0.0001 par value; 1,000,000,000 authorized shares at June 30, 2026 and December 31, 2025; 431,694,335 shares and 415,915,273 shares issued at June 30, 2026 and December 31, 2025, respectively (excluding 15,212,810 shares declared for stock dividend at December 31, 2025)	0	0
Additional paid-in capital	3,255	3,296
Retained earnings	673	517
Accumulated other comprehensive loss	(412)	(405)
Total shareholders’ equity	3,516	3,408
Total liabilities and shareholders’ equity	$ 9,947	$ 8,936