KinderCare Learning Companies Inc
For the period ended Sep 28, 2024. Filed Nov 21, 2024.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 28, 2024 · Filed Nov 21, 2024
KLC$2.33+11.0%Stored close · as of Nov 9, 2026
Extracted filing text, with the paragraph anchors used by the comparison.
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Condensed Consolidated Statements of Cash Flows (Unaudited)
| Nine Months Ended | ||
|---|---|---|
| September 28, 2024 | September 30, 2023 | |
| Operating activities: | ||
| Net income | $40,743 | $87,731 |
| Adjustments to reconcile net income to cash provided by operating activities: | ||
| Depreciation and amortization | 87,393 | 80,582 |
| Impairment losses | 7,140 | 7,081 |
| Change in deferred taxes | (761) | (2,690) |
| Loss on extinguishment of long-term debt, net | 895 | 3,957 |
| Loss on extinguishment of indebtedness to related party | — | 472 |
| Amortization of debt issuance costs | 4,956 | 5,589 |
| Equity-based compensation | 22,316 | 13,873 |
| Realized and unrealized gains from investments held in deferred compensation asset trusts | (3,285) | (1,001) |
| Gain on disposal of property and equipment | (1,505) | (642) |
| Changes in assets and liabilities, net of effects of acquisitions: | ||
| Accounts receivable | (12,936) | (10,028) |
| Prepaid expenses and other current assets | (15,809) | 32,968 |
| Other assets | (2,898) | (1,246) |
| Accounts payable and accrued liabilities | 60,100 | 30,747 |
| Leases | 2,321 | (8,455) |
| Deferred revenue | 2,374 | 1,637 |
| Other current liabilities | (19,549) | 25,403 |
| Other long-term liabilities | (14,759) | 43,452 |
| Related party payables | — | (1,666) |
| Cash provided by operating activities | 156,736 | 307,764 |
| Investing activities: | ||
| Purchases of property and equipment | (94,614) | (89,774) |
| Payments for acquisitions, net of cash acquired | (10,497) | (3,638) |
| Proceeds from the disposal of property and equipment | 1,537 | 834 |
| Investments in deferred compensation asset trusts | (6,767) | (5,402) |
| Proceeds from deferred compensation asset trust redemptions | 1,639 | 1,438 |
| Cash used in investing activities | (108,702) | (96,542) |
| Financing activities: | ||
| Distribution to KC Parent | (320,000) | — |
| Proceeds from issuance of long-term debt | 264,338 | 1,258,750 |
| Repayment of long-term debt | — | (1,310,881) |
| Repayment of indebtedness to related party | — | (56,328) |
| Principal payments of long-term debt | (7,933) | (2,943) |
| Payments of debt issuance costs | (230) | (7,320) |
| Repayments of promissory notes | (339) | (777) |
| Payments of financing lease obligations | (1,223) | (1,370) |
| Payments of deferred offering costs | (1,725) | — |
| Payments of contingent consideration for acquisitions | — | (6,917) |
| Cash used in financing activities | (67,112) | (127,786) |
| Net change in cash, cash equivalents, and restricted cash | (19,078) | 83,436 |
| Cash, cash equivalents, and restricted cash at beginning of period | 156,412 | 105,469 |
| Cash, cash equivalents, and restricted cash at end of period | $137,334 | $188,905 |
Condensed Consolidated Statements of Cash Flows (Unaudited) (continued)
| Nine Months Ended | ||
|---|---|---|
| September 28, 2024 | September 30, 2023 | |
| Reconciliation of cash, cash equivalents, and restricted cash to the unaudited condensed consolidated balance sheets: | ||
| Cash and cash equivalents | $137,240 | $188,641 |
| Restricted cash included within other assets | 94 | 264 |
| Total cash, cash equivalents, and restricted cash at end of period | $137,334 | $188,905 |
| Supplemental cash flow information: | ||
| Cash paid for interest | $75,750 | $102,634 |
| Cash paid for income taxes, net of refunds | 37,079 | 19,447 |
| Cash paid for amounts included in the measurement of operating lease liabilities | 217,564 | 213,297 |
| Non-cash operating activities: | ||
| Operating lease right-of-use assets obtained in exchange for operating lease liabilities | $143,824 | $41,977 |
| Reclassification of equity-classified stock options and restricted stock units to liability-classified | — | 6,750 |
| Non-cash investing and financing activities: | ||
| Property and equipment additions included in accounts payable and accrued liabilities | $8,537 | $5,780 |
| Finance lease right-of-use assets obtained in exchange for finance lease liabilities | 110 | 2,697 |
| Reductions to finance lease right-of-use assets resulting from reductions to finance lease liabilities | — | 512 |
| Deferred offering costs included in accounts payable and accrued liabilities | 6,997 | — |
| Measurement period and other adjustments to reduce contingent consideration payable | — | 32 |
Notes to Condensed Consolidated Financial Statements (Unaudited)
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