$ADIG

ADI GLOBAL DISTRIBUTION INC.

CIK:0002105139|SEC Filings

CONDENSED COMBINED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jul. 04, 2026	Jun. 28, 2025	Jul. 04, 2026	Jun. 28, 2025
Income Statement [Abstract]
Net revenue	$ 1,286	$ 1,277	$ 2,492	$ 2,398
Cost of goods sold	994	994	1,944	1,873
Gross profit	292	283	548	525
Operating expenses:
Selling, general and administrative expenses	206	190	405	371
Research and development expenses	11	9	23	17
Intangible asset amortization	25	23	49	46
Transaction related expenses	18	3	26	4
Restructuring expenses	7	1	7	5
Total operating expenses	267	226	510	443
Income from operations	25	57	38	82
Indemnification agreement expense	0	331	0	364
Other expense (income), net	2	(2)	2	(2)
Interest expense	16	4	33	12
Interest income	(1)	(2)	(3)	(4)
Income (loss) before taxes	8	(274)	6	(288)
Provision for income taxes	2	9	1	10
Net income (loss)	$ 6	$ (283)	$ 5	$ (298)

CONDENSED COMBINED 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)	$ 5	$ (298)
Adjustments to reconcile net income to net cash in operating activities:
Depreciation and amortization	59	57
Restructuring expenses	7	5
Stock-based compensation expense	12	12
Operating lease right-of-use-asset amortization	20	17
Other, net	4	1
Changes in assets and liabilities:
Accounts receivable, net	(96)	(95)
Inventories, net	(24)	6
Other current assets	(15)	(10)
Accounts payable	(18)	36
Accrued liabilities	(8)	(18)
Lease liabilities	(17)	(17)
Obligations payable under the Indemnification Agreement	0	337
Other, net	(5)	(1)
Net cash (used in) provided by operating activities	(76)	32
Cash Flows From Investing Activities:
Capital expenditures	(26)	(21)
Related party loan activity, net	13	(1)
Other investing activities, net	1	0
Net cash used in investing activities	(12)	(22)
Cash Flows From Financing Activities:
Proceeds from issuance of long-term debt	400	0
Net transfers from (to) parent	147	(35)
Proceeds from loans due to related parties	17	0
Net (decrease) increase in due to related parties related to cash pooling arrangements	(65)	5
Other financing activities, net	(1)	0
Net cash provided by (used in) financing activities	498	(30)
Effect of exchange rate changes on cash and cash equivalents	(3)	7
Net increase (decrease) in cash, cash equivalents and restricted cash	407	(13)
Cash, cash equivalents and restricted cash at beginning of period	124	137
Cash, cash equivalents and restricted cash at end of period	$ 531	$ 124

CONDENSED COMBINED BALANCE SHEETS (UNAUDITED) - USD ($) $ in Millions	Jul. 04, 2026	Dec. 31, 2025
Current assets:
Cash and cash equivalents	$ 131	$ 124
Restricted cash	400	0
Accounts receivable, net	751	659
Inventories, net	1,057	1,036
Due from related parties - current	$ 14	0
Other Receivable, after Allowance for Credit Loss, Current, Related Party [Extensible Enumeration]	Related Party
Other current assets	$ 169	154
Total current assets	2,522	1,973
Property, plant and equipment, net	109	107
Goodwill	1,063	1,066
Intangible assets, net	706	744
Operating lease right-of-use assets	223	236
Due from related parties - non-current	$ 0	$ 13
Other Receivable, after Allowance for Credit Loss, Noncurrent, Related Party [Extensible Enumeration]	Related Party	Related Party
Other assets	$ 16	$ 13
Total assets	4,639	4,152
Current liabilities:
Accounts payable	695	717
Accrued liabilities	168	175
Current portion of operating lease liabilities	38	37
Due to related parties - current	$ 1	$ 68
Other Liability, Current, Related Party [Extensible Enumeration]	Related Party	Related Party
Total current liabilities	$ 902	$ 997
Long-term debt	988	1,185
Non-current portion of operating lease liabilities	198	209
Deferred tax liabilities	60	60
Total liabilities	2,184	2,468
Commitments and Contingencies (Note 13)
Equity:
Net parent investment	2,505	1,726
Accumulated other comprehensive loss, net	(50)	(42)
Total equity	2,455	1,684
Total liabilities and equity	4,639	4,152
Related Party
Current liabilities:
Other liabilities	20	0
Nonrelated Party
Current liabilities:
Other liabilities	$ 16	$ 17