{
  "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": 34,
  "pageCount": 80,
  "prevPage": 33,
  "nextPage": 35,
  "slideType": "expose_contradiction",
  "function": "expose_contradiction",
  "density": "balanced",
  "nDataPoints": 10,
  "notes": "The chart shows a divergence between reported core revenue growth and adjusted core revenue growth starting in Q2 2019.",
  "elementsJson": [
    "headline_text",
    "paragraph",
    "line_chart",
    "callout_box"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b98-c6f1577ed5e1/34",
  "deckHref": "/decks/019dd923-622c-750b-8b98-c6f1577ed5e1",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b98-c6f1577ed5e1.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b98-c6f1577ed5e1#slide-34",
  "components": [
    {
      "bbox": {
        "h": 0.06,
        "w": 0.9,
        "x": 0.05,
        "y": 0.91
      },
      "kind": "callout",
      "text": "Rather than show continued core growth contraction in Q3 FY19, management was able to show steady to expanding core growth by failing to adjust for the impact of recent acquisitions.",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "07f41e0a-b604-4b52-98bd-ed36ddf8d20a",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.45,
        "w": 0.6,
        "x": 0.2,
        "y": 0.35
      },
      "kind": "chart",
      "text": "Core Revenue Growth",
      "attrs": null,
      "subkind": "line",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "20344742-c926-43cd-8ba3-9085c86e537a",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "metric",
      "text": "Core Revenue Growth: 100bps",
      "attrs": null,
      "subkind": "primary",
      "toolName": "Quantification",
      "toolSlug": "quantification",
      "confidence": null,
      "componentId": "019dd953-203c-716b-be76-8fff6041e918",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.12,
        "w": 0.9,
        "x": 0.05,
        "y": 0.17
      },
      "kind": "paragraph",
      "text": "By failing to adjust core revenue growth for the impact of acquisitions, we calculate that management was able to add just over 100bps to core revenue growth in Q3 FY19. While management did admit that acquisitions contributed approximately 100bps of revenue growth during the quarter, we feel that, by failing to adjust core revenue growth for the impact of acquisitions, Hill-Rom is inappropriately attempting to inflate a key metric which management knows to be a major focus of the analyst community. There is no good reason not to adjust core growth for M&A.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "db75594e-0ed2-4c41-9d74-055904fa8408",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.08,
        "w": 0.65,
        "x": 0.31,
        "y": 0.03
      },
      "kind": "title",
      "text": "Including M&A In Core Revenue Flatters Key Top-Line Growth Metric",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "0400aaab-b6b6-4177-8e51-f65fd509d236",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [
    {
      "name": "fraud-exposure",
      "slug": null,
      "matchId": "1922ef47-1bb3-49a7-b6a1-428f8aebd19c",
      "evidence": "The slide explicitly accuses management of inflating metrics to mislead analysts.",
      "confidence": 0.9
    }
  ],
  "arcBeats": [],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}