{
  "docId": "019dd923-622c-750b-8b98-5300aefcfd91",
  "docSlug": "ed69677379db",
  "documentTitle": "iRobot Corp (IRBT)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Spruce Point Management",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2014-05-20 00:00:00",
  "orientation": "landscape",
  "aspectRatio": 1.3333334,
  "pageNumber": 61,
  "pageCount": 64,
  "prevPage": 60,
  "nextPage": 62,
  "slideType": "expose_contradiction",
  "function": "expose_contradiction",
  "density": "dense",
  "nDataPoints": 28,
  "notes": "The slide uses red boxes to highlight specific high percentages of sales/marketing expense in 2012 and 2013.",
  "elementsJson": [
    "headline_text",
    "callout_box",
    "data_table",
    "footnote"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b98-5300aefcfd91/61",
  "deckHref": "/decks/019dd923-622c-750b-8b98-5300aefcfd91",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b98-5300aefcfd91.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b98-5300aefcfd91#slide-61",
  "components": [
    {
      "bbox": {
        "h": 0.15,
        "w": 0.86,
        "x": 0.07,
        "y": 0.26
      },
      "kind": "callout",
      "text": "IRBT would like analysts and investors to believe that it is a high-tech company worthy of a premium valuation. However, we observe that IRBT is now spending more on sales and marketing than actual research and development costs! In 2013, advertising campaigns caused sales and marketing expenses to exceed 17% of total revenues.",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "f4c07b05-b408-4309-a967-e2e1347fb95f",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "callout",
      "text": "IRBT would like analysts and investors to believe that it is a high-tech company worthy of a premium valuation. However, we observe that IRBT is now spending more on sales and marketing than actual research and development costs!",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd953-5377-73e2-a968-1c0c4b93c498",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "metric",
      "text": "Sales/Marketing Expense as % of sales: 17.2%",
      "attrs": null,
      "subkind": "primary",
      "toolName": "Quantification",
      "toolSlug": "quantification",
      "confidence": null,
      "componentId": "019dd953-5377-73e2-a968-229b6c704032",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.03,
        "w": 0.4,
        "x": 0.07,
        "y": 0.85
      },
      "kind": "source-note",
      "text": "Source: IRBT financials. Note: Excludes stock-comp expense",
      "attrs": null,
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "1c3971e1-fe97-4b07-a26f-47605b980941",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.35,
        "w": 0.86,
        "x": 0.07,
        "y": 0.48
      },
      "kind": "table",
      "text": "Financial table comparing R&D and Sales/Marketing expenses as a percentage of sales from 2011 to 2013.",
      "attrs": null,
      "subkind": "data",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "d5c17ae1-faaf-402d-8660-c51c3e16fb30",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.1,
        "w": 0.75,
        "x": 0.13,
        "y": 0.06
      },
      "kind": "title",
      "text": "Variant View: A Consumer Marketing Company, Not A High-Tech Company",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "eca6deb0-c2ab-466e-bd4f-ebc037a33ecb",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [
    {
      "name": "fraud-exposure",
      "slug": null,
      "matchId": "7c5ef01a-8967-406a-8795-751397ede0e9",
      "evidence": "The slide explicitly frames the company's narrative as a contradiction to its actual financial behavior to justify a lower valuation.",
      "confidence": 0.9
    }
  ],
  "arcBeats": [
    {
      "to": 64,
      "from": 4,
      "beatId": "9276d3d0-eba4-4814-902b-c80843925dd7",
      "arcName": "Overcoming the Monster",
      "arcSlug": "overcoming-monster",
      "beatName": "Expose Contradiction",
      "beatSlug": null,
      "evidence": "The document presents a series of contradictions and concerns about iRobot Corp's financials, market position, and growth prospects.",
      "position": 0,
      "confidence": 0.8,
      "parentBeatName": null,
      "parentBeatSlug": null
    }
  ],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}