Snap One Holdings Corp.

CIK:0001856430|SEC Filings

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 29, 2024	Mar. 31, 2023
Income Statement [Abstract]
Net sales	$ 246,078	$ 252,040
Costs and expenses:
Cost of sales, exclusive of depreciation and amortization	137,611	145,813
Selling, general, and administrative expenses	90,820	93,797
Depreciation and amortization	15,369	15,202
Total costs and expenses	243,800	254,812
Income (loss) from operations	2,278	(2,772)
Other expenses (income):
Interest expense	14,237	13,949
Other expense (income), net	(51)	827
Total other expenses	14,186	14,776
Loss before income taxes	(11,908)	(17,548)
Income tax expense (benefit)	11,025	(3,000)
Net loss	$ (22,933)	$ (14,548)
Net loss per share, basic (in dollars per share)	$ (0.30)	$ (0.19)
Net loss per share, diluted (in dollars per share)	$ (0.30)	$ (0.19)
Weighted average shares outstanding - basic (in shares)	76,360	75,291
Weighted average shares outstanding - diluted (in shares)	76,360	75,291

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 29, 2024	Mar. 31, 2023
Cash flows from operating activities:
Net loss	$ (22,933)	$ (14,548)
Adjustments to reconcile net loss to net cash from operating activities:
Depreciation and amortization	15,369	15,202
Amortization of debt issuance costs	827	772
Deferred income taxes	6,601	(5,869)
Equity-based compensation	5,913	7,763
Non-cash operating lease expense	2,518	3,310
Bad debt expense	159	307
Non Cash Compensation Forfeiture	(1,787)	0
Interest rate cap (income) expense	(170)	818
Fair value adjustment to contingent value rights	(1,200)	600
Valuation adjustment to TRA liability	(367)	144
Other, net	0	130
Change in operating assets and liabilities:
Accounts receivable	(173)	(2,614)
Inventories	18,435	1,205
Prepaid expenses and other assets	(2,261)	1,268
Accounts payable, accrued liabilities, and operating lease liabilities	(14,964)	(11,118)
Net cash provided by (used in) operating activities	5,967	(2,630)
Cash flows from investing activities:
Purchases of property and equipment	(2,080)	(9,164)
Other, net	0	39
Net cash used in investing activities	(2,080)	(9,125)
Cash flows from financing activities:
Payments on long-term debt	(1,300)	(1,300)
Proceeds from revolving credit facility	0	38,000
Proceeds from interest rate cap	490	0
Repurchase and retirement of common stock	0	(293)
Payment of tax withholding obligation on settlement of equity awards	(2,439)	(1,024)
Payments of tax receivable agreement	(21,107)	(10,191)
Payments of contingent consideration	0	(250)
Net cash (used in) provided by financing activities	(24,356)	24,942
Effect of exchange rate changes on cash and cash equivalents	697	148
Net increase (decrease) in cash and cash equivalents	(19,772)	13,335
Cash and cash equivalents at beginning of the period	61,023	21,117
Cash and cash equivalents at end of the period	41,251	34,452
Supplementary cash flow information:
Cash paid for interest	14,341	14,098
Cash paid for taxes, net	519	969
Noncash investing and financing activities:
Capital expenditure in accounts payable	$ 238	$ 937

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 29, 2024	Dec. 29, 2023
Current assets:
Cash and cash equivalents	$ 41,251	$ 61,023
Accounts receivable, net	45,340	45,879
Inventories	249,241	268,793
Prepaid expenses	23,403	21,067
Other current assets	2,312	2,678
Total current assets	361,547	399,440
Long-term assets:
Property and equipment, net	44,595	45,560
Goodwill	592,186	592,389
Other intangible assets, net	492,693	505,077
Operating lease right-of-use assets	49,752	51,851
Other assets	9,042	8,611
Total assets	1,549,815	1,602,928
Current liabilities:
Current maturities of long-term debt	3,900	3,900
Accounts payable	59,202	67,295
Accrued liabilities	58,513	62,631
Current operating lease liability	11,611	11,456
Current tax receivable agreement liability	12,827	21,107
Total current liabilities	146,053	166,389
Long-term liabilities:
Long-term debt, net of current portion	495,070	495,620
Deferred income tax liabilities, net	33,809	26,975
Operating lease liability, net of current portion	49,582	52,090
Tax receivable agreement liability, net of current portion	67,735	80,929
Other liabilities	18,997	21,068
Total liabilities	811,246	843,071
Commitments and contingencies (Note 13)
Stockholders’ equity:
Common stock, $0.01 par value, 500,000 shares authorized; 76,472 shares issued and outstanding as of March 29, 2024 and 75,944 shares issued and outstanding at December 29, 2023	765	759
Preferred stock, $0.01 par value; 50,000 shares authorized, no shares issued and outstanding	0	0
Additional paid-in capital	873,746	872,065
Accumulated deficit	(132,347)	(109,414)
Accumulated other comprehensive loss	(3,595)	(3,553)
Total stockholders’ equity	738,569	759,857
Total liabilities and stockholders’ equity	$ 1,549,815	$ 1,602,928