{
  "docId": "019dd923-622c-750b-8b99-856ed0788e9a",
  "docSlug": "40e9e62f0249",
  "documentTitle": "PowerSchool Holdings, Inc. (PWSC)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Spruce Point Capital Management",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2024-04-17 00:00:00",
  "orientation": "landscape",
  "aspectRatio": 1.3333334,
  "pageNumber": 28,
  "pageCount": 117,
  "prevPage": 27,
  "nextPage": 29,
  "slideType": "expose_contradiction",
  "function": "expose_contradiction",
  "density": "dense",
  "nDataPoints": 15,
  "notes": "Uses FOIA data to challenge the company's reported investor metrics.",
  "elementsJson": [
    "headline_text",
    "callout_box",
    "comparison_table",
    "screenshot"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b99-856ed0788e9a/28",
  "deckHref": "/decks/019dd923-622c-750b-8b99-856ed0788e9a",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b99-856ed0788e9a.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b99-856ed0788e9a#slide-28",
  "components": [
    {
      "bbox": null,
      "kind": "callout",
      "text": "Based on data from the FOIA revealing PowerSchool's top 5 customers, we believe PowerSchool may be forced to give significant discounts to be competitive when seeking deals with large customers.",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd952-fb92-756a-9da4-b41526cc6109",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.55,
        "w": 0.49,
        "x": 0.49,
        "y": 0.33
      },
      "kind": "image",
      "text": "PowerSchool Investor Presentation, December 2021",
      "attrs": null,
      "subkind": "screenshot",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "f26cc682-065e-406f-a35e-f62469b50065",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "metric",
      "text": "Annual Revenue Per Student: $11.73",
      "attrs": null,
      "subkind": "primary",
      "toolName": "Quantification",
      "toolSlug": "quantification",
      "confidence": null,
      "componentId": "019dd952-fb92-756a-9da4-b9ecc5234e28",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.14,
        "w": 0.96,
        "x": 0.02,
        "y": 0.16
      },
      "kind": "paragraph",
      "text": "Based on data from the FOIA revealing PowerSchool's top 5 customers, we believe PowerSchool may be forced to give significant discounts to be competitive when seeking deals with large customers. The annual revenue per student from these top 5 customers ranged from $3.62 - $6.16. However, around the same time in 2021, PowerSchool reported ARR of $528M with 45M+ students as customers, indicating that ARR per student for the total company was $11.73 – a result materially higher. Later in the report, we highlight that PWSC changed its revenue recognition language to disclose “discounts”.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "2069ed9e-5926-47b0-996d-b20f59cc711a",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.03,
        "w": 0.4,
        "x": 0.02,
        "y": 0.96
      },
      "kind": "source-note",
      "text": "Source: FOIA and PowerSchool Investor Presentation, December 2021",
      "attrs": null,
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "d5c563df-6962-46a6-a742-e3e3ce751bac",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.55,
        "w": 0.46,
        "x": 0.02,
        "y": 0.33
      },
      "kind": "table",
      "text": "Top 5 Education / Gov't Customers From 2021 table",
      "attrs": null,
      "subkind": "data",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "70d604ed-191a-45e1-bfaa-2971baf0836f",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.08,
        "w": 0.65,
        "x": 0.32,
        "y": 0.03
      },
      "kind": "title",
      "text": "We Believe PowerSchool May Need To Offer Big Discounts To Be Competitive",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "6ddefadf-37e0-4bea-9fe9-d192a0fd8a1a",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [
    {
      "name": "expose_contradiction",
      "slug": null,
      "matchId": "32396b4f-4a6e-4f72-aee1-182f914c96b8",
      "evidence": "Contrasts internal FOIA data with public investor presentation metrics to imply misleading disclosure.",
      "confidence": 1
    }
  ],
  "arcBeats": [],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}