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  "documentTitle": "Floor & Decor Holdings, Inc. (FND)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Spruce Point Capital Management",
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  "sourceTypeLabel": "Short seller",
  "presentationDate": "2024-07-01 00:00:00",
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  "notes": "The slide uses a table to compare FND's cash flow from payables against peers like Home Depot and Lowe's to demonstrate the outlier status.",
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      "text": "Over the past three years, FND's change in payables reported through cash from operations has totaled $245 million which dwarfs industry peers.",
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      "text": "Cash Generated by Accounts Payables: $245 million",
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      "text": "Over the past three years, FND's change in payables reported through cash from operations has totaled $245 million which dwarfs industry peers. As disclosed by the Company, vendors participating in its supply chain finance program extend its payment terms and pay in approximately 40 days. The Company also receives volume rebates from suppliers that are recorded as a reduction to inventory and a subsequent reduction to cost of sales when the product is sold. FND does not discuss the quantitative impact on margins of vendor rebates for investors to access the benefits. However, FND did disclose that beginning in 2020, it started collecting the rebates at the end of each quarter, whereas they used to be collected annually after the fiscal year end.",
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      "text": "Source: Company 10-K filings",
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      "text": "Abnormal Cash Generated With Payables",
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