Fortrea Holdings Inc
For the period ended Sep 30, 2024. Filed Nov 8, 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 30, 2024 · Filed Nov 8, 2024
FTRE$22.24+1.3%Stored close · as of Nov 9, 2026
Extracted filing text, with the paragraph anchors used by the comparison.
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Condensed
CONDENSED CONSOLIDATED AND COMBINED STATEMENTS OF CHANGES IN EQUITY
| Common Stock | |||||||
|---|---|---|---|---|---|---|---|
| Shares | Amounts | Additional Paid-in Capital | Former Parent Investment | Accumulated Deficit | AccumulatedOtherComprehensiveLoss | TotalEquity | |
| Balance at December 31, 2023 | 88.8 | $0.1 | $1,998.0 | $— | $(68.5) | $(215.5) | $1,714.1 |
| Net loss | — | — | — | — | (101.0) | — | (101.0) |
| Other comprehensive loss, net of tax | — | — | — | — | — | (26.1) | (26.1) |
| Stock compensation | — | — | 15.1 | — | — | — | 15.1 |
| Issuance of common stock | 0.6 | — | — | — | — | — | — |
| Net share settlement tax payments from issuance of stock to employees | — | — | (10.4) | — | — | — | (10.4) |
| Other | — | — | 0.2 | — | — | — | 0.2 |
| Balance at March 31, 2024 | 89.4 | $0.1 | $2,002.9 | $— | $(169.5) | $(241.6) | $1,591.9 |
| Net loss | — | — | — | — | (138.4) | — | (138.4) |
| Other comprehensive loss, net of tax | — | — | — | — | — | (7.4) | (7.4) |
| Stock compensation | — | — | 15.0 | — | — | — | 15.0 |
| Issuance of common stock | 0.1 | — | — | — | — | — | — |
| Balance at June 30, 2024 | 89.5 | $0.1 | $2,017.9 | $— | $(307.9) | $(249.0) | $1,461.1 |
| Net loss | — | — | — | — | (27.9) | — | (27.9) |
| Other comprehensive loss, net of tax | — | — | — | — | — | 70.9 | 70.9 |
| Stock compensation | — | — | 13.0 | — | — | — | 13.0 |
| Issuance of common stock under employee stock plans | 0.2 | — | — | — | — | — | — |
| Net share settlement tax payments from issuance of stock to employees | — | — | (3.6) | — | — | — | (3.6) |
| Balance at September 30, 2024 | 89.7 | $0.1 | $2,027.3 | $— | $(335.8) | $(178.1) | $1,513.5 |
CONDENSED CONSOLIDATED AND COMBINED STATEMENTS OF CHANGES IN EQUITY
| Common Stock | |||||||
|---|---|---|---|---|---|---|---|
| Shares | Amounts | Additional Paid-in Capital | Former Parent Investment | Accumulated Deficit | AccumulatedOtherComprehensiveLoss | TotalEquity | |
| Balance at December 31, 2022 | — | $— | $— | $3,614.8 | $— | $(274.8) | $3,340.0 |
| Net income | — | — | — | 12.5 | — | — | 12.5 |
| Other comprehensive income, net of tax | — | — | — | — | — | 19.1 | 19.1 |
| Net transfers from Former Parent | — | — | — | 31.2 | — | — | 31.2 |
| Balance at March 31, 2023 | — | — | — | 3,658.5 | — | (255.7) | 3,402.8 |
| Net income | — | — | — | 30.8 | — | — | 30.8 |
| Other comprehensive income, net of tax | — | — | — | — | — | 32.0 | 32.0 |
| Special payment to Former Parent | — | — | — | (1,595.0) | — | — | (1,595.0) |
| Net transfers to Former Parent | — | — | — | (122.9) | — | — | (122.9) |
| Reclassification of Former Parent investment to additional paid-in capital | — | — | 1,971.4 | (1,971.4) | — | — | — |
| Issuance of common stock | 88.8 | 0.1 | — | — | — | — | 0.1 |
| Balance at June 30, 2023 | 88.8 | 0.1 | 1,971.4 | — | — | (223.7) | 1,747.8 |
| Net loss | — | — | — | — | (14.0) | — | (14.0) |
| Other comprehensive loss, net of tax | — | — | — | — | — | (54.4) | (54.4) |
| Stock compensation | — | — | 11.1 | — | — | — | 11.1 |
| Balance at September 30, 2023 | 88.8 | $0.1 | $1,982.5 | $— | $(14.0) | $(278.1) | $1,690.5 |
CONDENSED CONSOLIDATED AND COMBINED STATEMENTS OF CASH FLOWS
(in millions) (unaudited)
| Nine Months Ended September 30, | ||
|---|---|---|
| 2024 | 2023 | |
| CASH FLOWS FROM OPERATING ACTIVITIES: | ||
| Net income (loss) | $(267.3) | $29.3 |
| Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
| Depreciation and amortization | 66.1 | 73.6 |
| Stock compensation | 43.1 | 27.2 |
| Credit loss expense | 17.0 | 21.9 |
| Operating lease right-of-use asset expense | 10.8 | 20.9 |
| Operating lease right-of-use asset impairment | 4.8 | — |
| Goodwill and other asset impairments | 24.0 | — |
| Deferred income taxes | (23.2) | (13.3) |
| Loss on sale of business | 23.2 | — |
| Write-off of debt issuance costs | 12.2 | — |
| Other, net | 4.7 | 3.5 |
| Changes in assets and liabilities: | ||
| Decrease (Increase) in accounts receivable and unbilled services, net | 290.9 | (45.0) |
| (Increase) decrease in prepaid expenses and other | (33.3) | 0.6 |
| Increase in accounts payable | 5.8 | 45.9 |
| Increase (decrease) in deferred revenue | 106.4 | (6.0) |
| Decrease in accrued expenses and other | (39.5) | (8.6) |
| Net cash provided by operating activities | 245.7 | 150.0 |
| CASH FLOWS FROM INVESTING ACTIVITIES: | ||
| Capital expenditures | (28.7) | (30.9) |
| Proceeds from sale of business, net | 276.6 | — |
| Proceeds from sale of assets | 0.2 | 8.1 |
| Net cash provided by (used for) investing activities | 248.1 | (22.8) |
| CASH FLOWS FROM FINANCING ACTIVITIES: | ||
| Proceeds from revolving credit facilities | 617.0 | 24.0 |
| Payments on revolving credit facilities | (617.0) | (24.0) |
| Proceeds from term loans | — | 1,061.4 |
| Proceeds from issuance of senior notes | — | 570.0 |
| Debt issuance costs | — | (26.4) |
| Principal payments of long-term debt | (482.7) | (7.7) |
| Payments for taxes related to net share settlement of stock awards | (14.0) | — |
| Special payment to Former Parent | — | (1,595.0) |
| Net transfers to Former Parent | — | (135.4) |
| Net cash used for financing activities | (496.7) | (133.1) |
| Effect of exchange rate changes on cash and cash equivalents | (0.4) | (0.7) |
| Net change in cash and cash equivalents | (3.3) | (6.6) |
| Cash and cash equivalents at beginning of period | 108.6 | 110.4 |
| Cash and cash equivalents at end of period | $105.3 | $103.8 |
The cash flows related to discontinued operations have not been segregated and are included in the condensed consolidated and combined statements of cash flows.
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