{
  "docId": "019dd923-622c-750b-8b99-a7a7a3284557",
  "docSlug": "1b5c4ae912d9",
  "documentTitle": "Dycom Industries, Inc. (DY)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Spruce Point Capital Management",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2025-02-19 00:00:00",
  "orientation": "landscape",
  "aspectRatio": 1.3333334,
  "pageNumber": 19,
  "pageCount": 43,
  "prevPage": 18,
  "nextPage": 20,
  "slideType": "expose_contradiction",
  "function": "expose_contradiction",
  "density": "overcrowded",
  "nDataPoints": 10,
  "notes": "Uses a red box and arrow to highlight the omission of Charter from the FY 2023/2024 table.",
  "elementsJson": [
    "headline_text",
    "callout_box",
    "screenshot",
    "data_table",
    "footnote"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b99-a7a7a3284557/19",
  "deckHref": "/decks/019dd923-622c-750b-8b99-a7a7a3284557",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b99-a7a7a3284557.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b99-a7a7a3284557#slide-19",
  "components": [
    {
      "bbox": {
        "h": 0.08,
        "w": 0.98,
        "x": 0.02,
        "y": 0.17
      },
      "kind": "callout",
      "text": "Not only did DY change the disclosure style of Customer Credit Concentration from a tabular to a text view, but also it clearly failed to disclose that Charter was a key credit risk in its latest 10-K. By Q2'25 it disclosed that it had $108.2 million outstanding to Charter, which was larger than Comcast's $104.7 million exposure at FY 2024.",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "30761220-fc4d-4bca-8653-d3dcf668bd09",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.07,
        "w": 0.38,
        "x": 0.42,
        "y": 0.595
      },
      "kind": "callout",
      "text": "Warning: Charter exposure of $108.2m was larger than Comcast's $104.7m but not included in the table below",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "522c074f-f3c2-486c-a33a-8d757a721c32",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "callout",
      "text": "Not only did DY change the disclosure style of Customer Credit Concentration from a tabular to a text view, but also it clearly failed to disclose that Charter was a key credit risk in its latest 10-K.",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd952-ee37-76cb-8482-de3b27f5baf0",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "metric",
      "text": "Customer credit concentration: $108.2 million",
      "attrs": null,
      "subkind": "primary",
      "toolName": "Quantification",
      "toolSlug": "quantification",
      "confidence": null,
      "componentId": "019dd952-ee37-76cb-8482-e049ac27f515",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.03,
        "w": 0.98,
        "x": 0.02,
        "y": 0.3
      },
      "kind": "paragraph",
      "text": "Q2 2025 Customer Credit Concentration Disclosure",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "80d39faf-7f57-46a0-ad16-101d4769d358",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.12,
        "w": 0.98,
        "x": 0.02,
        "y": 0.4
      },
      "kind": "paragraph",
      "text": "We have two customers whose combined amounts of accounts receivable and contract assets, net, exceeded 10% of total combined accounts receivable and contract assets, net. The combined amounts of accounts receivable and contract assets, net, for Lumen Technologies were $402.7, or 25.9%, and $345.0, or 27.4%, as of July 27, 2024 and January 27, 2024, respectively, and Charter Communications were $164.25, or 10.6%, and $108.2, or 8.6%, as of July 27, 2024 and January 27, 2024, respectively, of the total combined accounts receivable and contract assets, net.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "c97b4f83-d80f-4ffd-906d-045d23e5fe77",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.02,
        "w": 0.2,
        "x": 0.02,
        "y": 0.97
      },
      "kind": "source-note",
      "text": "Source: FY 24 10-K and Q2'25 10-Q",
      "attrs": null,
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "d51048df-3aa7-4147-86f3-594dc10ae915",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.2,
        "w": 0.98,
        "x": 0.02,
        "y": 0.71
      },
      "kind": "table",
      "text": "FY 2023 and 2024 Customer Credit Concentration Disclosure table",
      "attrs": null,
      "subkind": "data",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "e77f72a7-b5d2-445f-8161-201ec4c1f4b8",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.08,
        "w": 0.55,
        "x": 0.31,
        "y": 0.02
      },
      "kind": "title",
      "text": "Omission of Charter Customer Credit Concentration Risk",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "69adb33b-3d42-4ba9-8a36-fe0b909d7702",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [
    {
      "name": "fraud-exposure",
      "slug": null,
      "matchId": "9cac8893-a7b7-467a-824d-46fe90d0287c",
      "evidence": "Highlighting omission of material credit risk in financial disclosures",
      "confidence": 0.9
    }
  ],
  "arcBeats": [
    {
      "to": 24,
      "from": 10,
      "beatId": "38bef52a-4142-4519-9fb6-8c0be13ac0cd",
      "arcName": "Problem-Agitate-Solution",
      "arcSlug": "problem-agitate-solution",
      "beatName": "Agitate (Make it worse)",
      "beatSlug": "problem-agitate-solution-agitate-make-it-worse",
      "evidence": "The document agitates the problems with DY, highlighting issues such as DSO expansion, revenue recognition errors/revisions, and potential cash flow embellishment.",
      "position": 1,
      "confidence": 0.8,
      "parentBeatName": "Development",
      "parentBeatSlug": "development"
    }
  ],
  "loops": [
    {
      "to": 24,
      "from": 10,
      "name": "Mece Breakdown",
      "slug": "40-mece-breakdown",
      "bestFor": "Problem structuring, ensuring completeness, strategic analysis",
      "matchId": "02225060-c029-4bb4-a388-8bd977fde175",
      "evidence": "The document breaks down various concerns with DY, including financial and business issues.",
      "position": 2,
      "objective": "What are the specific concerns with DY?",
      "structure": "The Whole -> Category A (distinct) -> Category B (distinct) -> Category C (distinct) -> Complete Coverage",
      "confidence": 0.6,
      "description": "Divide a complex topic into mutually exclusive, collectively exhaustive categories"
    }
  ],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}