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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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FORM
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QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the quarterly period ended
or
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the transition period from to
Commission file number
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(Exact name of registrant as specified in its charter)
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(State or other jurisdiction of incorporation or organization) |
| (IRS Employer Identification No.) |
(Address of principal executive offices) (Zip Code)
(Registrant’s telephone number, including area code)
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(Former name, former address and former fiscal year, if changed since last report)
Securities registered pursuant to Section 12(b) of the Act:
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Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
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Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).
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Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
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Accelerated Filer o | Non-Accelerated Filer o | Smaller Reporting Company | |
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| Emerging Growth Company |
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
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| Yes o No |
The number of shares of the registrant’s common stock outstanding as of May 3, 2022:
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TABLE OF CONTENTS
PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
Condensed Consolidated Statements of Operations and Comprehensive Income (Unaudited)
(In millions, except per share data)
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| Three Months Ended | ||||
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| March 31, | ||||
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| 2022 |
| 2021 | ||
Revenue |
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| $ | |
Cost of services rendered and products sold |
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Selling and administrative expenses |
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Amortization expense |
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Acquisition-related costs |
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Restructuring and other charges |
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Interest expense |
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Interest and net investment income |
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Income before Income Taxes |
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Provision for income taxes |
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Equity in earnings of joint ventures |
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Net Income |
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| $ | |
Other Comprehensive Income, Net of Income Taxes: |
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Net unrealized gains on derivative instruments |
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Foreign currency translation gain |
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Other Comprehensive Income, Net of Income Taxes |
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Total Comprehensive Income |
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| $ | |
Weighted-average common shares outstanding - Basic |
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Weighted-average common shares outstanding - Diluted |
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Basic Earnings Per Share: |
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Net Income |
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Diluted Earnings Per Share: |
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Net Income |
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See accompanying Notes to the unaudited Condensed Consolidated Financial Statements
Condensed Consolidated Statements of Financial Position
(In millions, except share data)
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| (Unaudited) |
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| As of |
| As of | ||
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| March 31, |
| December 31, | ||
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| 2022 |
| 2021 | ||
Assets: |
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Current Assets: |
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Cash and cash equivalents |
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Receivables, less allowances of $ |
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Inventories |
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Prepaid expenses and other assets |
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Total Current Assets |
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Other Assets: |
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Property and equipment, net |
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Operating lease right-of-use assets |
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Goodwill |
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Intangible assets, primarily trade names, service marks and trademarks, net |
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Restricted cash |
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Notes receivable |
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Long-term marketable securities |
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Deferred customer acquisition costs |
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Other assets |
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Total Assets |
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| $ | |
Liabilities and Stockholders' Equity: |
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Current Liabilities: |
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Accounts payable |
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Accrued liabilities: |
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Payroll and related expenses |
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Self-insured claims and related expenses |
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Accrued interest payable |
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Other |
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Deferred revenue |
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Current portion of lease liability |
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Current portion of long-term debt |
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Total Current Liabilities |
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Long-Term Debt |
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Other Long-Term Liabilities: |
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Deferred taxes |
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Other long-term obligations, primarily self-insured claims |
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Long-term lease liability |
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Total Other Long-Term Liabilities |
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Stockholders' Equity: |
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Common stock $ |
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Additional paid-in capital |
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Retained Earnings |
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Accumulated other comprehensive income (loss) |
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Less common stock held in treasury, at cost ( |
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Total Stockholders' Equity |
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Total Liabilities and Stockholders' Equity |
| $ | |
| $ | |
See accompanying Notes to the unaudited Condensed Consolidated Financial Statements
Condensed Consolidated Statements of Stockholders’ Equity (Unaudited)
(In millions)
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| Retained |
| Accumulated |
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| Additional |
| Earnings |
| Other |
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| Common |
| Paid-in |
| (Accumulated |
| Comprehensive |
| Treasury |
| Total | ||||||||||
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| Shares |
| Stock |
| Capital |
| Deficit) |
| (Loss) Income |
| Shares |
| Amount |
| Equity | ||||||||
Balance December 31, 2020 |
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Net income |
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Other comprehensive income, net of tax |
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Total comprehensive income |
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Issuance of common stock |
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Exercise of stock options |
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Stock-based employee compensation |
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Repurchase of common stock |
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Balance March 31, 2021 |
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Balance December 31, 2021 |
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Net income |
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Other comprehensive income, net of tax |
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Total comprehensive income |
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Exercise of stock options |
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Stock-based employee compensation |
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Balance March 31, 2022 |
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See accompanying Notes to the unaudited Condensed Consolidated Financial Statements
Condensed Consolidated Statements of Cash Flows (Unaudited)
(In millions)
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| Three Months Ended | ||||
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| March 31, | ||||
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| 2022 |
| 2021 | ||
Cash and Cash Equivalents and Restricted Cash at Beginning of Period |
| $ | |
| $ | |
Cash Flows from Operating Activities |
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Net Income |
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Equity in earnings of joint venture |
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Depreciation expense |
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Amortization expense |
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Amortization of debt issuance costs |
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Amortization of lease right-of-use assets |
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Payments on fumigation related matters |
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Deferred income tax provision |
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Stock-based compensation expense |
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Restructuring and other charges |
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Payments for restructuring and other charges |
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Acquisition-related costs |
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