{
  "docId": "019dd923-622c-750b-8b98-c6f1577ed5e1",
  "docSlug": "97e66c73c118",
  "documentTitle": "Hill-Rom Holdings, Inc. (HRC)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Ben Axler",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2019-10-29 00:00:00",
  "orientation": "landscape",
  "aspectRatio": 1.3333334,
  "pageNumber": 31,
  "pageCount": 80,
  "prevPage": 30,
  "nextPage": 32,
  "slideType": "expose_contradiction",
  "function": "expose_contradiction",
  "density": "balanced",
  "nDataPoints": 0,
  "notes": "The slide uses a table to demonstrate the accounting logic for organic growth, highlighting the specific point in time (Q4) when a divestiture adjustment is appropriate.",
  "elementsJson": [
    "headline_text",
    "paragraph",
    "callout_box",
    "data_table",
    "process_diagram"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b98-c6f1577ed5e1/31",
  "deckHref": "/decks/019dd923-622c-750b-8b98-c6f1577ed5e1",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b98-c6f1577ed5e1.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b98-c6f1577ed5e1#slide-31",
  "components": [
    {
      "bbox": {
        "h": 0.12,
        "w": 0.16,
        "x": 0.02,
        "y": 0.5
      },
      "kind": "callout",
      "text": "Management should not remove the divested business from the prior-year revenue base until the business unit has been divested",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "4d9a7ea3-fa73-4f9b-a99c-cf0a32a0f015",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.1,
        "w": 0.3,
        "x": 0.68,
        "y": 0.85
      },
      "kind": "legend",
      "text": "Q4: Business unit sold. Associated prior-year Q4 sales now subtracted from Base Year revenue to measure Organic Growth.",
      "attrs": null,
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "464b95ab-2320-4759-a65e-4106ccaecaf2",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.1,
        "w": 0.3,
        "x": 0.35,
        "y": 0.85
      },
      "kind": "legend",
      "text": "Q1-Q3: Business unit remains part of Hill-Rom. Associated revenue should not yet be adjusted out of Core Revenue.",
      "attrs": null,
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "dd4a2266-1daa-470f-a083-9ba9ecde7143",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "metric",
      "text": "Organic Revenue Growth",
      "attrs": null,
      "subkind": "primary",
      "toolName": "Quantification",
      "toolSlug": "quantification",
      "confidence": null,
      "componentId": "019dd953-203c-716b-be76-41785b2fac54",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.08,
        "w": 0.9,
        "x": 0.05,
        "y": 0.16
      },
      "kind": "paragraph",
      "text": "Spruce Point believes that management should not get credit for higher sales growth by preemptively removing the to-be-divested business from core revenue.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "6626cc7b-fa9b-4b96-b13a-27244e05b5e2",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.45,
        "w": 0.8,
        "x": 0.2,
        "y": 0.38
      },
      "kind": "table",
      "text": "Hypothetical Organic Revenue Growth Calculation With Business Line Divested In Q4 Of Current Year",
      "attrs": null,
      "subkind": "data",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "4a627812-cd63-4772-93f5-17536706894a",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.08,
        "w": 0.65,
        "x": 0.305,
        "y": 0.03
      },
      "kind": "title",
      "text": "Management Frequently Resets Revenue Base To Take Credit For Higher Core Sales Growth",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "af51d687-3426-4fdf-a933-0a64da7f7e91",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [
    {
      "name": "fraud-exposure",
      "slug": null,
      "matchId": "798e203f-b96d-4f06-9d3a-9ae4b5773e41",
      "evidence": "The slide exposes a specific accounting manipulation (premature revenue base reset) used to inflate growth metrics.",
      "confidence": 0.9
    }
  ],
  "arcBeats": [],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}