Adt Inc. (ADT) 10-Q Quarterly Report May 2020

ADT Inc. (NYSE: ADT), a leading provider of security, automation, and smart home solutions serving consumer and business customers in the United States, today reported the results for its first quarter of 2020.

FIRST QUARTER 2020 HIGHLIGHTS COMPARED TO PRIOR YEAR⁽¹⁾

•Total revenue of $1,370 million, up 10% from $1,243 million

•Net loss of $300 million, compared to net loss of $66 million

•Net cash provided by operating activities of $250 million, compared to $509 million

•Net cash used in investing activities of $338 million, compared to $400 million

•Net cash provided by financing activities of $158 million, compared to net cash used in financing activities of $380 million

•Adjusted EBITDA of $539 million, compared to $621 million

•Free Cash Flow before special items of $173 million, up from $171 million, despite $66 million increase in cash interest due to quarterly timing of payments

•Trailing twelve-month revenue payback improved to 2.3 years from 2.4 years

•Trailing twelve-month gross customer revenue attrition of 13.5%, an increase of 20 bps

"Financial results were strong for the quarter despite the onset of COVID-19 related disruptions that escalated during the month of March,” stated Jim DeVries, ADT's President and CEO. “Our top priority during the COVID-19 crisis has been and remains the health and well-being of our associates and customers, and we have implemented a number of initiatives and programs in support of these efforts. The resilience of ADT’s business model and strong financial foundation has enabled us to serve our customers uninterrupted during these unprecedented times. As the U.S. economy begins to reopen, ADT will continue to protect the welfare of our associates and customers, while shifting from a moderately defensive stance to a more opportunistic long-term value creation focus.”

The following information was filed by Adt Inc. (ADT) on Thursday, May 7, 2020 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.

Please wait while we load the requested 10-Q report or click the link below:

https://last10k.com/sec-filings/report/1703056/000170305620000074/adtinc10-q3x31x2020.htm

View differences made from one quarter to another to evaluate Adt Inc.'s financial trajectory

Compare SEC Filings Year-over-Year (YoY) and Quarter-over-Quarter (QoQ) — *Sample 10-K Year-over-Year (YoY) Comparison*

Compare this 10-Q Quarterly Report to its predecessor by reading our highlights to see what text and tables were ~~removed~~ , added and changed by Adt Inc..

Continue

Assess how Adt Inc.'s management team is paid from their Annual Proxy

Adt Inc.'s Definitive Proxy Statement (Form DEF 14A) filed after their 2020 10-K Annual Report includes:

Voting Procedures
Board Members
Executive Team
Salaries, Bonuses, Perks
Peers / Competitors

Continue

Rating
Learn More

Filter Sentiment:

All

Positive

Negative

Filter Category:

All

Financial

Revenue

M & A

Other

Filter Subcategory:

All

Earnings

Cash Flow

Expense

Income

Product

Dividend

Other

Inside Adt Inc.'s 10-Q Quarterly Report:

Financial - Earnings Highlight
Our definition of Adjusted EBITDA, a reconciliation of Adjusted EBITDA to net income (loss) (the most comparable GAAP measure), and additional information, including a description of the limitations relating to the use of Adjusted EBITDA, are provided under "-Non-GAAP Measures."

Financial - Cash Flow Highlight
The following table is a summary of our cash flow activity for the periods presented: Cash Flows from Operating Activities The decrease in cash flows provided by operating activities was primarily due to (i) $81 million related to the settlement of a pre-existing relationship in connection with the Defenders Acquisition, (ii) an increase in interest payments of $66 million as a result of changes to the timing of interest payments as a result of our recent financing transactions, (iii) an increase in selling, general and administrative expenses largely due to the Defenders Acquisition, (iv) an increase in the volume of certain transactions in which equipment was sold outright to customers, and (v) the sale of ADT Canada.
Financial - Shares Highlight
We may effect these repurchases pursuant to one or more trading plans to be adopted in accordance with Rule 10b5-1 (each, a "10b5-1 plan") under the Exchange Act, in privately negotiated transactions, in open market transactions, or pursuant to an accelerated share repurchase program.
Financial - Cash Flow Highlight
Cash Flows from Investing Activities The decrease in cash flows used in investing activities was primarily due to (i) a decrease in the volume of dealer additions and an advance payment received for dealer charge-backs in connection with the Defenders Acquisition, and (ii) a decrease in the amount of subscriber capital expenditures as a result of the Equipment Model Ownership Change.
Financial - Earnings Highlight
Further, we believe Adjusted EBITDA provides a meaningful measure of operating profitability because we use it for evaluating our business performance, making budgeting decisions, and comparing our performance against that of other peer companies using similar measures.
Financial - Shares
On February 27, 2019, we...Read more
Financial - Expense
The proceeds from the Second...Read more
Other - Other
We believe our cash position,...Read more
Financial - Income
The effective tax rate primarily...Read more
Revenue - Product
These decreases were offset by...Read more
Other - Other
Without limiting the generality of...Read more
Financial - Earnings
These measures are not financial...Read more
Financial - Cash Flow
(2) Adjusted EBITDA and Free...Read more
Other - Other
Factors that could cause such...Read more
M & A - Other
In order to optimize returns...Read more
Financial - Expense
Three Months Ended March 31,...Read more
Financial - Cash Flow
To provide investors with additional...Read more
Other - Other
The effective tax rate primarily...Read more
Revenue - Product
As a result of our...Read more
Financial - Cash Flow
Cash Flows from Financing Activities...Read more
Financial - Cash Flow
Our definition of Free Cash...Read more
Revenue - Product
Prime Notes The indenture underlying...Read more
Financial - Dividend
During the three months ended...Read more
Other - Other
Refer to the "-Non-GAAP Measures"...Read more
Financial - Shares
During the three months ended...Read more
M & A - Other
The decrease in RMR was...Read more
Revenue - Product
During April 2020, we amended...Read more
Revenue - Product
The decrease in RMR to...Read more
Financial - Earnings
Adjusted EBITDA We believe that...Read more
Revenue - Product
In connection with our transition...Read more
Financial - Expense
Depreciation and Intangible Asset Amortization...Read more
Financial - Expense
We seek to minimize these...Read more
Other - Other
Due to the evolving and...Read more
Other - Other
We will sell or contribute...Read more
Financial - Expense
Cost of Revenue The increase...Read more
Financial - Earnings
We define Adjusted EBITDA as...Read more
Other - Other
Our ability to increase monthly...Read more
Financial - Earnings
These limitations are best addressed...Read more
Revenue - Product
Furthermore, we believe the economic...Read more
Other - Other
The monthly fees that we...Read more
Financial - Income
Income Tax Benefit Income tax...Read more

Financial Statements, Disclosures and Schedules

Inside this 10-Q Quarterly Report

Material Contracts, Statements, Certifications & more

Adt Inc. provided additional information to their SEC Filing as exhibits

Exhibit 10.22: Material Contract

Exhibit 10.23: Material Contract

Exhibit 10.38: Material Contract

Exhibit 10.47: Material Contract

Exhibit 10.48: Material Contract

Exhibit 31.1: Rule 13A-14(A)/15D-14(A) Certification

Exhibit 31.2: Rule 13A-14(A)/15D-14(A) Certification

Exhibit 32.1: Section 1350 Certification

Exhibit 32.2: Section 1350 Certification

Ticker: ADT
CIK: 1703056
Form Type: 10-Q Quarterly Report
Accession Number: 0001703056-20-000074
Submitted to the SEC: Thu May 07 2020 5:13:18 PM EST
Accepted by the SEC: Thu May 07 2020
Period: Tuesday, March 31, 2020
Industry: Detective Guard And Armored Car Services