{
  "docId": "019dd923-622c-750b-8b99-09b0063ec30e",
  "docSlug": "f01a5a9839a9",
  "documentTitle": "Leidos Holdings, Inc. (LDOS)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Ben Axler",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2021-02-16 00:00:00",
  "orientation": "landscape",
  "aspectRatio": 1.3333334,
  "pageNumber": 58,
  "pageCount": 77,
  "prevPage": 57,
  "nextPage": 59,
  "slideType": "expose_contradiction",
  "function": "expose_contradiction",
  "density": "overcrowded",
  "nDataPoints": 12,
  "notes": "The slide uses a callout box to contrast a quote from a 10-Q filing against a calculation derived from an investor presentation.",
  "elementsJson": [
    "headline_text",
    "paragraph",
    "data_table",
    "callout_box",
    "screenshot"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b99-09b0063ec30e/58",
  "deckHref": "/decks/019dd923-622c-750b-8b99-09b0063ec30e",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b99-09b0063ec30e.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b99-09b0063ec30e#slide-58",
  "components": [
    {
      "bbox": {
        "h": 0.21,
        "w": 0.38,
        "x": 0.61,
        "y": 0.42
      },
      "kind": "callout",
      "text": "The decrease in revenues for the nine months ended October 2, 2020... was partially offset by a net increase in volumes on certain programs, program wins and a $23 million impact from our acquisition of IMX Medical Management Services, Inc. (\"IMX\") in the third quarter of fiscal 2019",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "1389efc2-0ae2-479b-b75d-ce1b78254846",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.11,
        "w": 0.54,
        "x": 0.45,
        "y": 0.85
      },
      "kind": "callout",
      "text": "Leidos revenues have increased ($11+$7+$11) = $29m from the IMX acquisition in 2020 not by $23m as described in the 10-Q",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "7ac70ae1-a45b-4a3b-a185-271bcdfc0b4d",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "metric",
      "text": "revenue variance: $6m",
      "attrs": null,
      "subkind": "primary",
      "toolName": "Quantification",
      "toolSlug": "quantification",
      "confidence": null,
      "componentId": "019dd953-64cd-733b-aca6-028dc32fcd62",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.09,
        "w": 0.92,
        "x": 0.05,
        "y": 0.17
      },
      "kind": "paragraph",
      "text": "Here's more evidence to suggest that Leidos is misstating revenues from IMX. In Q3 2020, it provided conflicting revenue disclosure. To illustrate, its investor presentation shows a $29m YTD revenue contribution, whereas the 10-Q describes a $23m YTD increase. That's a $6m unexplained variance and raises the possibility that Leidos has booked fake revenue, or is keeping two sets of books.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "2626a9fb-e73f-4bd8-abcd-eaf37c68a51c",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "quote",
      "text": "\"The decrease in revenues for the nine months ended October 2, 2020, as compared to the nine months ended September 27, 2019, was primarily attributable to approximately $96 million related to timing of program execution due to COVID-19, a $73 million impact from the sale of our health staff augmentation business in the third quarter of fiscal 2019 and the completion of certain contracts. This was partially offset by a net increase in volumes on certain programs, program wins and a $23 million impact from our acquisition of IMX Medical Management Services, Inc. (\"IMX\") in the third quarter of fiscal 2019\" — Q3 2020 10-Q p.34",
      "attrs": null,
      "subkind": null,
      "toolName": "Authority citation",
      "toolSlug": "authority-citation",
      "confidence": null,
      "componentId": "019dd953-64cd-733b-aca5-ff5756d481a1",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.03,
        "w": 0.95,
        "x": 0.03,
        "y": 0.95
      },
      "kind": "source-note",
      "text": "Source: Q3 2020 Presentation / Q3 2020 10-Q p.34",
      "attrs": null,
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "0be87918-b817-4cb2-8116-9bd91d150b2d",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.43,
        "w": 0.57,
        "x": 0.12,
        "y": 0.39
      },
      "kind": "table",
      "text": "Table showing revenue breakdown by segment (Defense, Civil, Health, Total) across quarters from 1Q19 to 3Q20.",
      "attrs": null,
      "subkind": "data",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "78aeb784-bfdf-414e-90fc-a3238a96c116",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.08,
        "w": 0.65,
        "x": 0.31,
        "y": 0.03
      },
      "kind": "title",
      "text": "We Believe Organic Growth Can't Be Trusted (Cont'd)",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "51dc7118-e7cc-43bb-976f-59790d359213",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.03,
        "w": 0.35,
        "x": 0.03,
        "y": 0.33
      },
      "kind": "title",
      "text": "Organic Revenue Calculation",
      "attrs": null,
      "subkind": "subtitle",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "47dc6604-6cfc-4850-8523-c137eb3cae51",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [
    {
      "name": "fraud-exposure",
      "slug": null,
      "matchId": "884dcecd-b3bd-440d-86dc-ac676d270996",
      "evidence": "Direct comparison of conflicting financial disclosures to allege misstatement.",
      "confidence": 1
    }
  ],
  "arcBeats": [],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}