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  "docSlug": "c54d9b8bb206",
  "documentTitle": "Verint Systems, Inc. (VRNT)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Spruce Point Capital Management",
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  "sourceTypeLabel": "Short seller",
  "presentationDate": "2019-05-23 00:00:00",
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  "notes": "Spruce Point Capital Management activist deck slide.",
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      "text": "This strongly suggests that organic growth since FY15 has been flat at best, and severely negative at worst. Management’s lack of clarity regarding underlying organic sales growth is suspicious to us in this context.",
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      "text": "Acquisition Spending vs. Incremental Sales and OCF",
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      "text": "Acquisition Spending vs. Incremental Sales and OCF: Five-Year Totals",
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      "text": "organic growth: $1B",
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      "text": "Despite spending just under $1B on acquisitions since FY15, sales have grown by just ~$320M for a 6% CAGR, and operating cash flow by ~$40M for a 4% CAGR. Note that ~$220M of this ~$320 growth in sales occurred in FY15, following Verint's $605M acquisition of Kana. Since then, management has spent an additional $366M on M&A to generate just ~$100M in incremental sales and ~$20M in incremental operating cash flow. This strongly suggests that organic growth since FY15 has been flat at best, and severely negative at worst. Management's lack of clarity regarding underlying organic sales growth is suspicious to us in this context.",
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      "text": "Source: VRNT SEC Filings",
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      "text": "Where's The Growth?",
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