The company said that for the 3 months ended March 29, 2024, operating results for the BodyArmor trademark came in below its expectations, so it revised its projections, and because the trademark's fair value fell below its carrying value, it recorded an impairment charge of $760 million.

10-QQuarterly reportFiled Jul 29, 2024Period of report Jun 28, 2024Summary published (UTC) Oct 23, 2026

Key points

AI summary

The company said that for the 3 months ended March 29, 2024, operating results for the BodyArmor trademark came in below its expectations, so it revised its projections, and because the trademark's fair value fell below its carrying value, it recorded an impairment charge of $760 million.
The company said worldwide concentrate sales volume rose 5% and unit case volume rose 2% for the 3 months ended June 28, 2024. It said net operating revenues were $12,363 million, up $391 million (3%) from $11,972 million a year earlier.
The company estimated that if all of the adjustments proposed by the IRS were upheld and the Tax Court Methodology were applied through 2023, the potential aggregate incremental tax and interest liability could be about $16 billion as of December 31, 2023. It estimated the payment for the 2007 through 2009 tax years at about $6.0 billion, including interest accrued through June 28, 2024.
The company said net cash provided by operating activities for the 6 months ended June 28, 2024 decreased $516 million (11%) from $4,629 million a year earlier, to $4,113 million. It cited unfavorable foreign currency exchange rate fluctuations, higher tax payments and additional annual incentive payments as the main factors.

Key figures

Quarter ended June 28, 2024

Revenue: $12.4B
Operating income: $2.6B
Net income: $2.4B
EPS: $0.56
Gross profit: $7.6B

From the XBRL financial data filed with the SEC · not processed by AI.

Summary

AI-written

Analysis scope · Management's discussion (MD&A)We analyzed excerpts of the Management's Discussion and Analysis (MD&A) section (with omissions). Other sections of the report, such as the notes to the financial statements and risk factors, were not reviewed.

BodyArmor Trademark $760 million Impairment Charge

The company said that for the 3 months ended March 29, 2024, operating results for the BodyArmor trademark came in below its expectations, so it revised its projections, and because the trademark's fair value fell below its carrying value, it recorded an impairment charge of $760 million.

Source · Based on the MD&A text of the filing

Q2 2024 Volume and Net Operating Revenues

The company said worldwide concentrate sales volume rose 5% and unit case volume rose 2% for the 3 months ended June 28, 2024. It said net operating revenues were $12,363 million, up $391 million (3%) from $11,972 million a year earlier.

Source · Based on the MD&A text of the filing

Estimated $16 billion Burden from IRS Litigation

The company estimated that if all of the adjustments proposed by the IRS were upheld and the Tax Court Methodology were applied through 2023, the potential aggregate incremental tax and interest liability could be about $16 billion as of December 31, 2023. It estimated the payment for the 2007 through 2009 tax years at about $6.0 billion, including interest accrued through June 28, 2024.

Source · Based on the MD&A text of the filing

6-Month Operating Cash Flow and Currency Impact

The company said net cash provided by operating activities for the 6 months ended June 28, 2024 decreased $516 million (11%) from $4,629 million a year earlier, to $4,113 million. It cited unfavorable foreign currency exchange rate fluctuations, higher tax payments and additional annual incentive payments as the main factors.

Source · Based on the MD&A text of the filing

AI summarized the filing and translated the summary into English; it may differ from the original. For reference only, not investment advice. AI translated the published Korean report into English. Figures are copied as filed, not recalculated.

Original filing

The filing as submitted to SEC EDGAR. You can check the figures and statements of this summary against it.

View the original filing on SEC EDGAR ↗

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