Callouts & quotes from 2,092+ activist slides

"With the FOIA data collected from the Florida DOT indicating a -22% decline in contact awards, and ROAD's commentary that new backlog over the period that Florida revenues ramped supported higher margins, we estimate the impact to the Company's EBITDA in FY25 to be approximately $10 - $15 million or approximately 3% - 5% of EBITDA."

"Over the last five years, despite having a significantly profitable core Digital Telephony business, DSP appears to have managed itself to a slight operating loss (and slight EBITDA gain) almost every year, regardless of the Company's revenue, by making substantial investments in R&D and SG&A that have shown little if any progress."

"“The profit arising from license income sales to joint ventures in 2015 represents revenue of £15,310,000 offset by an elimination of unrealised profit of £7,286,000 relating to our retained interest in the Compound Semiconductor Centre Limited joint venture. No such elimination has occurred in 2016.” — IQE Annual Report disclosure"

"To estimate 2017 revenues per program, we used the following data and estimates: 2017 revenues by school disclosed in company filings, 2017 top 15 programs by new student enrollment, Tuition data (credits to complete degree and cost per credit) obtained on schools websites where available, UNC enrollment data (from FOIA request)."

"On its FQ4 earnings call, Intuit management revealed that $50 million of Desktop revenue was pulled into FQ1-FQ3 and $60 million was pulled into FQ4, both from FQ1 2025. Thus, total QuickBooks software YoY revenue growth was between 166 to 563 basis points lower than reported (assuming equal allocation of the revenue to FQ1-FQ3)."

"“We’re going to have higher margins with the delivery of these cost synergies, and we haven’t quantified the benefits of any revenue synergies but we would clearly expect to be able to grow at higher rates over the longer term than we would independently”.... “And we see some very specific opportunities” — Amcor CEO, Aug 7, 2018"

"Agriculture is DuPont's most important business, representing ~40% of total segment revenue and ~47% of total segment PTOI excluding Performance Chemicals... It concerns us that Agriculture seemingly borrowed from 2014 to make DuPont's overall 2013 numbers. — Trian letter to DuPont's lead director, Alexander Cutler dated 2/10/14"

"We believe Stryker's 2018 acquisitions were abysmal. It spent $2,451 million on acquisitions (and recorded an additional $108 million for acquisition and integration related charges), which contributed $236 million of revenue. However, according to the proxy statement, the operating income contribution was negative -$3 million."

"Procept generally recognizes systems revenue upon delivery to either the customer or distributor, which strikes us as relatively straight forward. However, we note that Procept disclosed a material weakness in its internal controls at IPO, and the Company's auditors consider systems revenue recognition a critical audit matter."

"We believe Stryker's 2019 acquisitions were abysmal. It spent $802 million on acquisitions (and recorded an additional $208 million for acquisition and integration related charges), which contributed $354 million of revenue. However, according to the proxy statement, the operating income contribution was negative -$7 million."

"We believe Prestige is overvalued on both a revenue and EBITDA basis. Given Prestige's poor organic growth prospects, lack of competitive advantage, eroding market share, declining financial transparency, low quality management and governance practices, it is well justified for the Company to trade at a discount to its peers."

"When management is inevitably forced to curtail its use of operating-type sale/leasebacks to support sales today, the resulting decline in revenue growth could be even more dramatic, as there will be no remaining deferred revenue or profit associated with these operating leasebacks left to be recognized in subsequent periods."

"When management is inevitably forced to curtail its use of operating-type sale/leasebacks to support sales today, the resulting decline in revenue growth could be even more dramatic, as there will be no remaining deferred revenue or profit associated with these operating leasebacks left to be recognized in subsequent periods."

"The retail segment contributed approximately 44% of total USA Sector revenues. Two of its retail brands maintained their #1 market share positions. Frigo Cheese Heads continued to lead the string cheese brand category in the USA market and Treasure Cave continued to lead the crumbled blue cheese category. — 2018 Annual Report"

"bARR & ARR should not be considered as predictors of future revenues but only as indicators of the direction in which revenues may be trending. Actual revenue results in the future as determined in accordance with GAAP may be significantly different to the amounts indicated as bARR or ARR at any time. — authID Inc. Disclaimer"

"Harmony’s sales are dependent on a handful of physicians, paid via a speakers program that ex-employees described as a blatant kickback scheme; one of Harmony’s top speakers estimated that he and four others he knows are responsible for 5-700 of all Wakix patients - 20-30% of total revenue depending on how one does the math"

"ENFN claims that managed service revenue increased by $1.6 million from new clients and $2.7 million from existing clients, offset by churn (which is not quantified) for a total of $4.3 million. However, total segment revenue only increased by $2.7 million. Therefore, we estimate revenue lost from churn to be ~$1.6 million."

"So [the customer] can basically pay a financer monthly, and the financer obviously pays Samsara directly upfront. So Samsara recognizes that revenue or that purchase immediately, while the [customer] and the financer have the kind of payment relationship. — Former Samsara Senior Account Executive (Tegus Interview, 11/10/22)"

"It's a bit of a quagmire because they announced a PDN study with the potential for a new indication. Well, the physician community is using it for that anyhow. Okay, maybe if the physician community is reimbursed for it, but they're coding funky anyhow. I don't know how much of an uptick it's going to give them in revenue."

""It's all a question of what Time Inc.'s revenue growth potential is and how they see their business model evolving, and how stable are Time Inc.'s revenues going forward. Can Time Inc. be a killer brand online? If not, they'd better figure out ways to harvest cash from cost-cutting." — Richard Greenfield, research analyst"

"Dynetics and SDA showing in results. With a combined $376 million in revenue contribution during the quarter, the Dynetics and SDA acquisitions continue to prove to be a source of significant growth during the pandemic, especially as Dynetics remains well positioned with DoD priorities. — Baird Equity Research, Nov 2, 2020"

"Chinook, in our opinion, improperly recorded collaboration and licensing revenues from SanReno in 2021 and 2022. This seems to have been an intentional mischaracterization to create the false impression that Chinook’s pipeline, especially atrasentan, can be easily monetized and generate repeatable and sustainable revenue."

"[T]hose quantities of oil and gas, which ... can be estimated with reasonable certainty to be economically producible ... under existing economic conditions [...] [E]conomically producible ... a resource which generates revenue that exceeds, or is reasonably expected to exceed, the costs of the operation. — SEC Definition"

"We believe the market wildly overvalues the entirety of BR by not considering that 40% of its business is tied to low/no margin distribution revenue and services such as credit statement printing. Its gross margins and capex spending (due to aggressive capitalization of costs) are vastly below financial technology peers."

"You will also see in our compensation discussion and analysis in our annual circular that in 2018 management is now compensated on cash flow in addition to revenue and EBITDA. And that'll be a friendly reminder to everyone on the leadership team to pay attention to that. — Maxar CEO Lance Q4'17 Conference Call (Feb 2018)"

"The acquired E&I business contributed revenues of $443.9 million and net earnings of $34.1 million from September 21, 2022 to December 31, 2022. The acquired businesses contributed revenues of $72.8 million and net earnings of $4.8 million from their respective acquisition dates to December 31, 2022. — 2022 Annual Report"

"Needham: Growth has come it at the low end, growing by ~2x, but that includes abnormal and unexplained Q4 2022 revenue that management needs to explain. Future growth is likely to be much slower. Barclays: Offices are closing. Now fewer foreign office locations are listed on the website. — Spruce Point Capital Management"

"Southwest is led by a team that has proven unable to adapt to the modern airline industry; the Company’s release today seems to admit as much by stating that the revenue guidance reduction was the result of “complexities in adapting” to the current environment — complexities that Southwest’s peers seem able to adapt to."

"The issue with the circular revenue with Synlogic, basically, they provided Synlogic $30 million, Synlogic turned around and paid it to them, so they were registering their own money as revenue, and then they tried to make a strain for Synlogic, and it didn't work, and then they had to go to Zymergen and get the strain."

"Year End 2021: "You'll recall that weather has a very direct impact on gas consumption and associated revenue. So we closely monitor the heating degree days as an indicator." — WTRG Earnings Call; "February 2023 will go into the record books for several reasons, but first on the list is for the lack of snow." — CBS News"

"In the twelve months ended December 31, 2020, Inteliquent recorded revenues of USD 533 million, Gross Profit of USD 256 million, EBITDA of USD 135 million, and capex of 32 million. Adjusted for a Covid-related uplift that is considered to be temporary, revenues are estimated to have been — Sinch Acquisition News Release"

"“No recession, I would think [Mailchimp revenue grows] probably 5% to 10%. And I'm really just thinking there about pricing increases. Unless they solve for some reason why more customers are going to start like coming to them again. That's really through pricing increases.” — Former Manager at Mailchimp, Tegus, 2/6/23"

""[Sino-Forest] can categorically say Sino-Forest is not the ‘near total fraud’ and ‘Ponzi scheme’ as alleged by Muddy Waters...Far from being a ‘near total fraud’ and ‘Ponzi scheme’ as alleged by Muddy Waters, Sino-Forest is a real company, with real assets and real revenue." — Sino-Forest Independent Committee Report"

"DV does not disclose the contribution to revenues from acquisitions to calculate organic growth. The CFO recently referenced M&A as accelerating organic growth. However, based on our analysis we disagree and find that absent the contribution from OpenSlate and Meetrics that organic revenue growth decelerated in 2022."

"DiRicco, who prepared SOC's 2012 corporate income tax returns, was convicted in 1989 for conspiring to defraud the United States, aiding and abetting in the preparation of false tax returns, and obstruction of justice; and, in 2000, for interference with administration of internal revenue laws — Legal filing excerpt."

"Pramac has a troubled history. It was listed on the Italian stock exchange (PRA IM) in 2007 and its fortunes swiftly declined. The Company once issued lofty goals of achieving €322m and €48m of revenue and EBITDA by 2014. However, trading in shares were suspended indefinitely in 2012 and Pramac filed for bankruptcy."

"Heska’s market cap grew 218% from the close of the scil transaction through the end of 2020. However, despite scil adding a relatively large chunk of negative-growth, ~30% gross margin revenue and Heska consensus 2021E EBITDA estimates not changing, the implied value of scil and CVM grew 282% over just eight months."

"“That has surprised me. I would’ve bought more stock if I knew that. Yeah, because back in the day when I was doing that, you couldn’t get that kind of revenue (growth). Well, the only years we had it was where we jumped into the consumer market and it turned around and bit us in the ass.” — MPWR’s Former Executive"

"Q3. Revenue growth guidance for 2017 of 9% was encouraging as the company announced its plans to sell a new product at Lowe’s this year and enter direct distribution in the UK. For a growth story that had stalled, the resumption of revenue growth is clearly an important sign. — Stifel Earnings Analysis - 8 Feb 2017"

"We believe that the FY25 revenue guidance increase earlier this month of $10 million is substantially explained by the expected contributions from the Ambry Genetics acquisition and the new Pathos/AstraZeneca deal, two factors that we estimate should have added nearly $46 million to projected revenue for the year."

"Decoupling the provision of the monitoring device from real-time cardiac event supervision and report preparation would dramatically alter the economics of iRhythm’s business, as it would likely result in reduced revenue and effectively relegate the Company to simply supplying a largely commoditized patch product."

"The average monthly GZ 1-1 revenue would be at most only Rmb 14.7 million, less than half of the Rmb 32.9+ million draw down needed to cover the difference between our low-end estimate of the deferred revenue’s Rmb ~75 million carrying value and the Rmb 42.1 million shown on the SAIC files as at December 31, 2016."

"On your second question, so about 21% of our revenue in Q4 was spent on inventory, on our IoT devices and on inventory. And so with a minus 3% free cash flow margin, our free cash flow margin sans dollars going out the door for inventory would have been positive 18%. — Samsara CFO Phillips, Q4 FY2023 Earnings Call"

"Our metric of fully loaded customer acquisition costs as a percent of online revenue has barely declined from its Q4 2021 peak and remains materially above 2020 levels. In addition, we believe that calculating CAC based on net subscribers provides a useful reference point for a business like HIMS with high churn."

"If conscious of the full extent of the revenue headwinds of which management appeared to be aware, would Advent have still been willing to purchase Forescout for $33 per share, just one quarter after the stock fell as low as ~$25 after a posting a top-line miss similar to what it would have posted on the Q4 call?"

"If conscious of the full extent of the revenue headwinds of which management appeared to be aware, would Advent have still been willing to purchase Forescout for $33 per share, just one quarter after the stock fell as low as ~$25 after a posting a top-line miss similar to what it would have posted on the Q4 call?"

"To summarise, TFS’s mark-to-model approach to biological asset valuations and revenue recognition policies allow it to leverage real capital. Accordingly, we believe that the only factor that would prevent this business from being a Ponzi scheme is whether or not the underlying products are a feasible investment."

"“We use EBITDA Less Float to measure the profitability of our core business (excluding “float” revenue, over which we have less control), and believe EBITDA Less Float acts as a guardrail to ensure that Core Revenue performance is achieved in a sustainable way.” — BILL 2024 Definitive Proxy Statement (10/25/24)"

"Spruce Point believes Kornit Digital (“the Company” or KRNT) saw 2018 revenues, and particularly cash flow, driven entirely by Amazon’s expansion of its Merch program, which are likely to taper based on a slow-down of program growth, and would leave a gaping hole in Kornit’s aggressive revenue growth strategy."

"A simple re-rating of ACMR to its direct comparables set - other Chinese WFE national champions that will continue to be directed revenue by Chinese semiconductor customers for many years to come as the country aggressively builds out its homegrown industry - implies multi-bagger returns for ACMR shareholders."

""Operating expenses as a percentage of revenue, excluding intangible amortization, increased approximately 50 basis points as compared to the prior year period due to the impact of recent acquisitions that have a higher operating expense load relative to sales, given their start-up nature." — CFO Ragen Q1 2022"

"Ms. Xu worked at NQ for less than six months, as marketing director, and then left NQ in 2007 in order to buy her stake in YDT; YDT is a separate and completely independent business from NQ; and NQ accounts for only 60% of YDT’s revenue. — NQ “Response to J Capital Report, ‘NQ Not At Any Price,’” August, 2013."

"“Big picture, Disney's cost base is $4.8 billion larger than Netflix at similar revenue levels which given Disney's library, brand equity ability to window content and ownership of significant Media Networks to help promote their DTC platforms doesn't make sense at face value.” — MoffettNathanson, January 2024"

"“Big picture, Disney's cost base is $4.8 billion larger than Netflix at similar revenue levels which given Disney's library, brand equity ability to window content and ownership of significant Media Networks to help promote their DTC platforms doesn't make sense at face value.” — MoffettNathanson, January 2024"

"There are extreme reporting anomalies with AMR’s former Trading & Logistics (T&L) segment. Were 2017 revenues between AMR / ANR $478 or $566 million? Furthermore, why was no EBITDA eliminated in the merger when AMR shows $89.3 million of segment EBITDA with 84% of the segment’s purchased coal coming from ANR?"

"Perion’s PP&E, operating lease assets, and capital expenditures in relation to its revenues are so far below the advertising technology industry average that it raises material concerns that either they are wildly underspending to develop and maintain their technology assets, or that their sales are inflated."

"“Recurring revenue, on both a GAAP and non-GAAP basis, is the portion of our revenue that we believe is likely to be renewed in the future, and primarily consists of initial and renewal PCS, SaaS, term-based licenses, and managed services, which are recognized over time.” — VRNT Q4 FY19 Earnings Press Release"

"The critical question for the FTC is whether the revenues that primarily support the commissions paid to all participants are generated from purchases of goods and services that are not simply incidental to the purchase of the right to participate in a money-making venture. — FTC Staff Advisory Opinion (2004)"

"With KRNT’s share price up 55% YTD and near all-time highs, Spruce Point finds certain events concerning in the overall context of management touting record results and ‘game changing’ new product innovations, and promoting an Amazon deal where we find concerning revenue recognition and accounting anomalies."

"Kornit’s share price is effectively at the average analyst price target which is near all-time highs, yet none of the analysts have closely investigated the impact of Amazon payments and revenues tapering off, but instead anchor their estimates to management hitting ambitious long-term $500m revenue targets."