10-Q Filing

SECUREWORKS CORP CIK: 1468666 Q1 2020

Filing Information

Form Type	10-Q
Accession Number	`0001468666-19-000054`
Period End Date	20190430
Filing Date	20190605
Fiscal Year	2020
Fiscal Period	Q1
XBRL Instance	scwx10-qq1fy20x06052019_htm.xml

Filing Contents

This filing contains the following financial statements:

Balance Sheet 64 Income Statement 28 Cash Flow Statement 52 Stockholders Equity 22 Comprehensive Income 6

Balance Sheet 64 line items

Line Item	Tag	Value	Unit	Period
Accounts receivable, allowance for doubtful accounts	`AllowanceForDoubtfulAccountsReceivableCurrent`	$5.85M	USD	Point-in-time
Accounts receivable, allowance for doubtful accounts	`AllowanceForDoubtfulAccountsReceivableCurrent`	$6.16M	USD	Point-in-time
Preferred stock, par value (usd per share)	`PreferredStockParOrStatedValuePerShare`	$0.01	USD	Point-in-time
Preferred stock, par value (usd per share)	`PreferredStockParOrStatedValuePerShare`	$0.01	USD	Point-in-time
Cash and cash equivalents	`CashAndCashEquivalentsAtCarryingValue`	$111.18M	USD	Point-in-time
Cash and cash equivalents	`CashAndCashEquivalentsAtCarryingValue`	$129.59M	USD	Point-in-time
Preferred stock, shares authorized (in shares)	`PreferredStockSharesAuthorized`	200.00M	shares	Point-in-time
Preferred stock, shares authorized (in shares)	`PreferredStockSharesAuthorized`	200.00M	shares	Point-in-time
Preferred Stock, shares issued (in shares)	`PreferredStockSharesIssued`	0.00	shares	Point-in-time
Accounts receivable, net of allowances of $5,851 and $6,160, respectively	`AccountsReceivableNetCurrent`	$141.34M	USD	Point-in-time
Accounts receivable, net of allowances of $5,851 and $6,160, respectively	`AccountsReceivableNetCurrent`	$135.27M	USD	Point-in-time
Preferred Stock, shares issued (in shares)	`PreferredStockSharesIssued`	0.00	shares	Point-in-time
Inventories, net	`InventoryNet`	$632.00K	USD	Point-in-time
Inventories, net	`InventoryNet`	$468.00K	USD	Point-in-time
Other current assets	`OtherAssetsCurrent`	$24.85M	USD	Point-in-time
Other current assets	`OtherAssetsCurrent`	$27.60M	USD	Point-in-time
Total current assets	`AssetsCurrent`	$299.01M	USD	Point-in-time
Total current assets	`AssetsCurrent`	$271.93M	USD	Point-in-time
Property and equipment, net	`PropertyPlantAndEquipmentNet`	$35.98M	USD	Point-in-time
Property and equipment, net	`PropertyPlantAndEquipmentNet`	$35.61M	USD	Point-in-time
Treasury stock, shares (in shares)	`TreasuryStockShares`	857,000.00	shares	Point-in-time
Operating lease right-of-use assets, net	`OperatingLeaseRightOfUseAsset`	$27.19M	USD	Point-in-time
Treasury stock, shares (in shares)	`TreasuryStockShares`	819,000.00	shares	Point-in-time
Goodwill	`Goodwill`	$416.49M	USD	Point-in-time
Goodwill	`Goodwill`	$416.49M	USD	Point-in-time
Purchased intangible assets, net	`IntangibleAssetsNetExcludingGoodwill`	$199.51M	USD	Point-in-time
Purchased intangible assets, net	`IntangibleAssetsNetExcludingGoodwill`	$206.45M	USD	Point-in-time
Other non-current assets	`OtherAssetsNoncurrent`	$78.24M	USD	Point-in-time
Other non-current assets	`OtherAssetsNoncurrent`	$88.27M	USD	Point-in-time
Total assets	`Assets`	$1.04B	USD	Point-in-time
Total assets	`Assets`	$1.04B	USD	Point-in-time
Accounts payable	`AccountsPayableCurrent`	$16.18M	USD	Point-in-time
Accounts payable	`AccountsPayableCurrent`	$25.15M	USD	Point-in-time
Accrued and other	`AccruedLiabilitiesCurrent`	$63.98M	USD	Point-in-time
Accrued and other	`AccruedLiabilitiesCurrent`	$86.50M	USD	Point-in-time
Short-term deferred revenue	`ContractWithCustomerLiabilityCurrent`	$161.49M	USD	Point-in-time
Short-term deferred revenue	`ContractWithCustomerLiabilityCurrent`	$157.87M	USD	Point-in-time
Total current liabilities	`LiabilitiesCurrent`	$260.54M	USD	Point-in-time
Total current liabilities	`LiabilitiesCurrent`	$250.63M	USD	Point-in-time
Long-term deferred revenue	`ContractWithCustomerLiabilityNoncurrent`	$15.80M	USD	Point-in-time
Long-term deferred revenue	`ContractWithCustomerLiabilityNoncurrent`	$16.06M	USD	Point-in-time
Operating lease liabilities, non-current	`OperatingLeaseLiabilityNoncurrent`	$28.10M	USD	Point-in-time
Other non-current liabilities	`OtherLiabilitiesNoncurrent`	$66.85M	USD	Point-in-time
Other non-current liabilities	`OtherLiabilitiesNoncurrent`	$63.72M	USD	Point-in-time
Total liabilities	`Liabilities`	$343.45M	USD	Point-in-time
Total liabilities	`Liabilities`	$358.25M	USD	Point-in-time
Commitments and contingencies (Note 6)	`CommitmentsAndContingencies`	-	USD	Point-in-time
Commitments and contingencies (Note 6)	`CommitmentsAndContingencies`	-	USD	Point-in-time
Preferred stock - $0.01 par value: 200,000 shares authorized; 0 shares issued	`PreferredStockValue`	-	USD	Point-in-time
Preferred stock - $0.01 par value: 200,000 shares authorized; 0 shares issued	`PreferredStockValue`	-	USD	Point-in-time
Additional paid in capital	`AdditionalPaidInCapital`	$884.57M	USD	Point-in-time
Additional paid in capital	`AdditionalPaidInCapital`	$882.01M	USD	Point-in-time
Accumulated deficit	`RetainedEarningsAccumulatedDeficit`	$-184.53M	USD	Point-in-time
Accumulated deficit	`RetainedEarningsAccumulatedDeficit`	$-176.26M	USD	Point-in-time
Accumulated other comprehensive (loss) income	`AccumulatedOtherComprehensiveIncomeLossNetOfTax`	$-2.88M	USD	Point-in-time
Accumulated other comprehensive (loss) income	`AccumulatedOtherComprehensiveIncomeLossNetOfTax`	$-3.12M	USD	Point-in-time
Treasury stock, at cost - 857 and 819 shares, respectively	`TreasuryStockValue`	$14.43M	USD	Point-in-time
Treasury stock, at cost - 857 and 819 shares, respectively	`TreasuryStockValue`	$13.52M	USD	Point-in-time
Total stockholders' equity	`StockholdersEquity`	$680.75M	USD	Point-in-time
Total stockholders' equity	`StockholdersEquity`	$731.09M	USD	Point-in-time
Total stockholders' equity	`StockholdersEquity`	$718.42M	USD	Point-in-time
Total stockholders' equity	`StockholdersEquity`	$692.71M	USD	Point-in-time
Total liabilities and stockholders' equity	`LiabilitiesAndStockholdersEquity`	$1.04B	USD	Point-in-time
Total liabilities and stockholders' equity	`LiabilitiesAndStockholdersEquity`	$1.04B	USD	Point-in-time

Income Statement 28 line items

Line Item	Tag	Value	Unit	Period
Net revenue	`RevenueFromContractWithCustomerExcludingAssessedTax`	$126.16M	USD	1 Quarter
Net revenue	`RevenueFromContractWithCustomerExcludingAssessedTax`	$132.84M	USD	1 Quarter
Cost of revenue	`CostOfGoodsAndServicesSold`	$60.53M	USD	1 Quarter
Cost of revenue	`CostOfGoodsAndServicesSold`	$62.84M	USD	1 Quarter
Gross margin	`GrossProfit`	$65.63M	USD	1 Quarter
Gross margin	`GrossProfit`	$70.00M	USD	1 Quarter
Research and development	`ResearchAndDevelopmentExpense`	$22.35M	USD	1 Quarter
Research and development	`ResearchAndDevelopmentExpense`	$22.64M	USD	1 Quarter
Sales and marketing	`SellingAndMarketingExpense`	$38.19M	USD	1 Quarter
Sales and marketing	`SellingAndMarketingExpense`	$35.67M	USD	1 Quarter
General and administrative	`GeneralAndAdministrativeExpense`	$23.64M	USD	1 Quarter
General and administrative	`GeneralAndAdministrativeExpense`	$25.20M	USD	1 Quarter
Total operating expenses	`OperatingExpenses`	$84.47M	USD	1 Quarter
Total operating expenses	`OperatingExpenses`	$83.22M	USD	1 Quarter
Operating loss	`OperatingIncomeLoss`	$-17.59M	USD	1 Quarter
Operating loss	`OperatingIncomeLoss`	$-14.47M	USD	1 Quarter
Interest and other, net	`NonoperatingIncomeExpense`	$505.00K	USD	1 Quarter
Interest and other, net	`NonoperatingIncomeExpense`	$268.00K	USD	1 Quarter
Loss before income taxes	`IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest`	$-17.09M	USD	1 Quarter
Loss before income taxes	`IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest`	$-14.20M	USD	1 Quarter
Income tax benefit	`IncomeTaxExpenseBenefit`	$-3.27M	USD	1 Quarter
Income tax benefit	`IncomeTaxExpenseBenefit`	$-5.93M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-13.82M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-8.27M	USD	1 Quarter
Loss per common share (basic and diluted) (usd per share)	`IncomeLossFromContinuingOperationsPerBasicAndDilutedShare`	$-0.10	USD	1 Quarter
Loss per common share (basic and diluted) (usd per share)	`IncomeLossFromContinuingOperationsPerBasicAndDilutedShare`	$-0.17	USD	1 Quarter
Weighted-average common shares outstanding, (basic and diluted) (in shares)	`WeightedAverageNumberOfShareOutstandingBasicAndDiluted`	80.52M	shares	1 Quarter
Weighted-average common shares outstanding, (basic and diluted) (in shares)	`WeightedAverageNumberOfShareOutstandingBasicAndDiluted`	80.47M	shares	1 Quarter

Cash Flow Statement 52 line items

Line Item	Tag	Value	Unit	Period
Net loss	`NetIncomeLoss`	$-13.82M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-8.27M	USD	1 Quarter
Depreciation and amortization	`DepreciationDepletionAndAmortization`	$10.29M	USD	1 Quarter
Depreciation and amortization	`DepreciationDepletionAndAmortization`	$10.37M	USD	1 Quarter
Stock-based compensation expense	`ShareBasedCompensation`	$4.92M	USD	1 Quarter
Stock-based compensation expense	`ShareBasedCompensation`	$4.73M	USD	1 Quarter
Effects of exchange rate changes on monetary assets and liabilities denominated in foreign currencies	`ForeignCurrencyTransactionGainLossBeforeTax`	$377.00K	USD	1 Quarter
Effects of exchange rate changes on monetary assets and liabilities denominated in foreign currencies	`ForeignCurrencyTransactionGainLossBeforeTax`	$-70.00K	USD	1 Quarter
Income tax benefit	`DeferredIncomeTaxExpenseBenefit`	$-5.93M	USD	1 Quarter
Income tax benefit	`DeferredIncomeTaxExpenseBenefit`	$-3.27M	USD	1 Quarter
Provision for doubtful accounts	`ProvisionForDoubtfulAccounts`	$779.00K	USD	1 Quarter
Provision for doubtful accounts	`ProvisionForDoubtfulAccounts`	$1.49M	USD	1 Quarter
Accounts receivable	`IncreaseDecreaseInAccountsReceivable`	$-5.22M	USD	1 Quarter
Accounts receivable	`IncreaseDecreaseInAccountsReceivable`	$-9.18M	USD	1 Quarter
Net transactions with parent	`IncreaseDecreaseInDueFromRelatedPartiesCurrent`	$-1.10M	USD	1 Quarter
Net transactions with parent	`IncreaseDecreaseInDueFromRelatedPartiesCurrent`	$-5.85M	USD	1 Quarter
Inventories	`IncreaseDecreaseInInventories`	$-360.00K	USD	1 Quarter
Inventories	`IncreaseDecreaseInInventories`	$164.00K	USD	1 Quarter
Other assets	`IncreaseDecreaseInOtherNoncurrentAssets`	$2.35M	USD	1 Quarter
Other assets	`IncreaseDecreaseInOtherNoncurrentAssets`	$-2.75M	USD	1 Quarter
Accounts payable	`IncreaseDecreaseInAccountsPayable`	$8.96M	USD	1 Quarter
Accounts payable	`IncreaseDecreaseInAccountsPayable`	$-3.34M	USD	1 Quarter
Deferred revenue	`IncreaseDecreaseInContractWithCustomerLiability`	$8.67M	USD	1 Quarter
Deferred revenue	`IncreaseDecreaseInContractWithCustomerLiability`	$3.26M	USD	1 Quarter
Accrued and other liabilities	`IncreaseDecreaseInAccruedLiabilities`	$-30.83M	USD	1 Quarter
Accrued and other liabilities	`IncreaseDecreaseInAccruedLiabilities`	$-31.07M	USD	1 Quarter
Net cash used in operating activities	`NetCashProvidedByUsedInOperatingActivities`	$-3.02M	USD	1 Quarter
Net cash used in operating activities	`NetCashProvidedByUsedInOperatingActivities`	$-18.40M	USD	1 Quarter
Capital expenditures	`PaymentsToAcquirePropertyPlantAndEquipment`	$7.02M	USD	1 Quarter
Capital expenditures	`PaymentsToAcquirePropertyPlantAndEquipment`	$2.22M	USD	1 Quarter
Net cash used in investing activities	`NetCashProvidedByUsedInInvestingActivities`	$-2.22M	USD	1 Quarter
Net cash used in investing activities	`NetCashProvidedByUsedInInvestingActivities`	$-7.02M	USD	1 Quarter
Principal payments on financing arrangement with Dell Financial Services	`RepaymentsOfRelatedPartyDebt`	$1.10M	USD	1 Quarter
Principal payments on financing arrangement with Dell Financial Services	`RepaymentsOfRelatedPartyDebt`	-	USD	1 Quarter
Taxes paid on vested restricted shares	`PaymentOfFinancingAndStockIssuanceCosts`	$2.01M	USD	1 Quarter
Taxes paid on vested restricted shares	`PaymentOfFinancingAndStockIssuanceCosts`	$7.46M	USD	1 Quarter
Purchases of stock for treasury	`PaymentsForRepurchaseOfEquity`	-	USD	1 Quarter
Purchases of stock for treasury	`PaymentsForRepurchaseOfEquity`	$910.00K	USD	1 Quarter
Payments on financed capital expenditures	`RepaymentsOfLongTermCapitalLeaseObligations`	$500.00K	USD	1 Quarter
Payments on financed capital expenditures	`RepaymentsOfLongTermCapitalLeaseObligations`	-	USD	1 Quarter
Net cash used in financing activities	`NetCashProvidedByUsedInFinancingActivities`	$-8.38M	USD	1 Quarter
Net cash used in financing activities	`NetCashProvidedByUsedInFinancingActivities`	$-3.62M	USD	1 Quarter
Net decrease in cash and cash equivalents	`CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect`	$-24.24M	USD	1 Quarter
Net decrease in cash and cash equivalents	`CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect`	$-18.42M	USD	1 Quarter
Cash and cash equivalents at beginning of the period	`CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents`	$111.18M	USD	Point-in-time
Cash and cash equivalents at beginning of the period	`CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents`	$129.59M	USD	Point-in-time
Cash and cash equivalents at beginning of the period	`CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents`	$101.54M	USD	Point-in-time
Cash and cash equivalents at beginning of the period	`CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents`	$77.30M	USD	Point-in-time
Cash and cash equivalents at end of the period	`CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents`	$111.18M	USD	Point-in-time
Cash and cash equivalents at end of the period	`CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents`	$129.59M	USD	Point-in-time
Cash and cash equivalents at end of the period	`CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents`	$101.54M	USD	Point-in-time
Cash and cash equivalents at end of the period	`CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents`	$77.30M	USD	Point-in-time

Stockholders Equity 22 line items

Line Item	Tag	Value	Unit	Period
Balances, at beginning of the period	`StockholdersEquity`	$680.75M	USD	Point-in-time
Balances, at beginning of the period	`StockholdersEquity`	$731.09M	USD	Point-in-time
Balances, at beginning of the period	`StockholdersEquity`	$718.42M	USD	Point-in-time
Balances, at beginning of the period	`StockholdersEquity`	$692.71M	USD	Point-in-time
Net loss	`NetIncomeLoss`	$-13.82M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-8.27M	USD	1 Quarter
Other comprehensive loss	`OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax`	$-233.00K	USD	1 Quarter
Other comprehensive loss	`OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax`	$-1.57M	USD	1 Quarter
Vesting of restricted stock units	`StockIssuedDuringPeriodValueConversionOfConvertibleSecuritiesNetOfAdjustments`	-	USD	1 Quarter
Vesting of restricted stock units	`StockIssuedDuringPeriodValueConversionOfConvertibleSecuritiesNetOfAdjustments`	-	USD	1 Quarter
Grant of restricted stock awards	`StockIssuedDuringPeriodValueRestrictedStockAwardNetOfForfeitures`	-	USD	1 Quarter
Grant of restricted stock awards	`StockIssuedDuringPeriodValueRestrictedStockAwardNetOfForfeitures`	-	USD	1 Quarter
Common stock withheld as payment for withholding taxes upon the vesting of restricted shares	`AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationAndExerciseOfStockOptions`	$-2.01M	USD	1 Quarter
Common stock withheld as payment for withholding taxes upon the vesting of restricted shares	`AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationAndExerciseOfStockOptions`	$-7.46M	USD	1 Quarter
Stock-based compensation	`AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue`	$4.73M	USD	1 Quarter
Stock-based compensation	`AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue`	$4.92M	USD	1 Quarter
Shares repurchased (in shares)	`TreasuryStockSharesAcquired`	38,380.00	shares	1 Quarter
Shares repurchased	`TreasuryStockValueAcquiredCostMethod`	$910.00K	USD	1 Quarter
Balances, at end of the period	`StockholdersEquity`	$680.75M	USD	Point-in-time
Balances, at end of the period	`StockholdersEquity`	$731.09M	USD	Point-in-time
Balances, at end of the period	`StockholdersEquity`	$718.42M	USD	Point-in-time
Balances, at end of the period	`StockholdersEquity`	$692.71M	USD	Point-in-time

Comprehensive Income 6 line items

Line Item	Tag	Value	Unit	Period
Net loss	`NetIncomeLoss`	$-13.82M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-8.27M	USD	1 Quarter
Foreign currency translation adjustments, net of tax	`OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax`	$-233.00K	USD	1 Quarter
Foreign currency translation adjustments, net of tax	`OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax`	$-1.57M	USD	1 Quarter
Comprehensive loss	`ComprehensiveIncomeNetOfTax`	$-15.39M	USD	1 Quarter
Comprehensive loss	`ComprehensiveIncomeNetOfTax`	$-8.50M	USD	1 Quarter

Data is extracted from SEC EDGAR XBRL filings. Values shown are as reported in the filing.