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  "documentTitle": "Floor & Decor Holdings, Inc. (FND)",
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  "authorName": "Spruce Point Capital Management",
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  "sourceTypeLabel": "Short seller",
  "presentationDate": "2024-07-01 00:00:00",
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  "notes": "Uses Wayback Machine screenshots to prove policy change.",
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      "text": "The Company accrues for estimated sales returns based on historical results. The allowance for sales returns at December 28, 2023 and December 29, 2022, was $27.4 million and $33.3 million, respectively.",
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      "text": "FND's sales return allowance declined in 2023, thereby improving net sales by ~$6 million.",
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      "text": "Prior to Oct 2022 policy",
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      "text": "sales return allowance: $6 million",
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      "text": "FND's sales return allowance declined in 2023, thereby improving net sales by ~$6 million. Overall sales only increased $149 million in 2023. However, upon closer inspection of FND's return policy we observe that it imposed stricter terms.",
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      "text": "The Company accrues for estimated sales returns based on historical results. The allowance for sales returns at December 28, 2023 and December 29, 2022, was $27.4 million and $33.3 million, respectively. — 2023 10-K",
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      "text": "Source: FND website and Wayback Machine, red emphasis Spruce Point",
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      "text": "Sales May Be Inflated From A Change of Return Policy Adverse To Customers",
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