10-Q Filing

SECUREWORKS CORP CIK: 1468666 Q1 2016

Filing Information

Form Type	10-Q
Accession Number	`0001628280-16-016884`
Period End Date	20160430
Filing Date	20160601
Fiscal Year	2016
Fiscal Period	Q1
XBRL Instance	scwx-20160429.xml

Filing Contents

This filing contains the following financial statements:

Balance Sheet 57 Income Statement 28 Cash Flow Statement 56 Stockholders Equity 13 Comprehensive Income 8

Balance Sheet 57 line items

Line Item	Tag	Value	Unit	Period
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
Preferred stock, shares authorized	`PreferredStockSharesAuthorized`	200.00M	shares	Point-in-time
Preferred stock, shares authorized	`PreferredStockSharesAuthorized`	200.00M	shares	Point-in-time
Cash and cash equivalents	`CashAndCashEquivalentsAtCarryingValue`	$6.67M	USD	Point-in-time
Cash and cash equivalents	`CashAndCashEquivalentsAtCarryingValue`	$11.94M	USD	Point-in-time
Cash and cash equivalents	`CashAndCashEquivalentsAtCarryingValue`	$123.71M	USD	Point-in-time
Cash and cash equivalents	`CashAndCashEquivalentsAtCarryingValue`	$33.42M	USD	Point-in-time
Preferred Stock, shares issued	`PreferredStockSharesIssued`	0.00	shares	Point-in-time
Accounts receivable, net	`AccountsReceivableNetCurrent`	$116.36M	USD	Point-in-time
Accounts receivable, net	`AccountsReceivableNetCurrent`	$108.86M	USD	Point-in-time
Inventories, net	`InventoryNet`	$4.22M	USD	Point-in-time
Inventories, net	`InventoryNet`	$3.55M	USD	Point-in-time
Other current assets	`OtherAssetsCurrent`	$26.87M	USD	Point-in-time
Other current assets	`OtherAssetsCurrent`	$26.21M	USD	Point-in-time
Total current assets	`AssetsCurrent`	$179.54M	USD	Point-in-time
Total current assets	`AssetsCurrent`	$263.66M	USD	Point-in-time
Property and equipment, net	`PropertyPlantAndEquipmentNet`	$22.77M	USD	Point-in-time
Property and equipment, net	`PropertyPlantAndEquipmentNet`	$23.55M	USD	Point-in-time
Goodwill	`Goodwill`	$416.49M	USD	Point-in-time
Goodwill	`Goodwill`	$416.49M	USD	Point-in-time
Purchased intangible assets, net	`IntangibleAssetsNetExcludingGoodwill`	$282.72M	USD	Point-in-time
Purchased intangible assets, net	`IntangibleAssetsNetExcludingGoodwill`	$289.66M	USD	Point-in-time
Other non-current assets	`OtherAssetsNoncurrent`	$9.34M	USD	Point-in-time
Other non-current assets	`OtherAssetsNoncurrent`	$25.81M	USD	Point-in-time
Total assets	`Assets`	$1.01B	USD	Point-in-time
Total assets	`Assets`	$917.78M	USD	Point-in-time
Accounts payable	`AccountsPayableCurrent`	$23.12M	USD	Point-in-time
Accounts payable	`AccountsPayableCurrent`	$22.13M	USD	Point-in-time
Accrued and other	`AccruedLiabilitiesCurrent`	$60.41M	USD	Point-in-time
Accrued and other	`AccruedLiabilitiesCurrent`	$39.49M	USD	Point-in-time
Short-term deferred revenue	`DeferredRevenueCurrent`	$109.47M	USD	Point-in-time
Short-term deferred revenue	`DeferredRevenueCurrent`	$115.08M	USD	Point-in-time
Short-term debt	`ShortTermBorrowings`	$27.99M	USD	Point-in-time
Short-term debt	`ShortTermBorrowings`	-	USD	Point-in-time
Total current liabilities	`LiabilitiesCurrent`	$219.99M	USD	Point-in-time
Total current liabilities	`LiabilitiesCurrent`	$177.69M	USD	Point-in-time
Long-term deferred revenue	`DeferredRevenueNoncurrent`	$18.35M	USD	Point-in-time
Long-term deferred revenue	`DeferredRevenueNoncurrent`	$17.69M	USD	Point-in-time
Other non-current liabilities	`OtherLiabilitiesNoncurrent`	$104.34M	USD	Point-in-time
Other non-current liabilities	`OtherLiabilitiesNoncurrent`	$90.98M	USD	Point-in-time
Total liabilities	`Liabilities`	$329.33M	USD	Point-in-time
Total liabilities	`Liabilities`	$299.72M	USD	Point-in-time
Commitments and Contingencies	`CommitmentsAndContingencies`	-	USD	Point-in-time
Commitments and Contingencies	`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`	$711.92M	USD	Point-in-time
Additional paid in capital	`AdditionalPaidInCapital`	$846.99M	USD	Point-in-time
Accumulated deficit	`RetainedEarningsAccumulatedDeficit`	$-134.27M	USD	Point-in-time
Accumulated deficit	`RetainedEarningsAccumulatedDeficit`	$-122.65M	USD	Point-in-time
Accumulated other comprehensive loss	`AccumulatedOtherComprehensiveIncomeLossNetOfTax`	$-1.03M	USD	Point-in-time
Accumulated other comprehensive loss	`AccumulatedOtherComprehensiveIncomeLossNetOfTax`	$-1.52M	USD	Point-in-time
Total stockholders' equity	`StockholdersEquity`	$588.46M	USD	Point-in-time
Total stockholders' equity	`StockholdersEquity`	$712.50M	USD	Point-in-time
Total liabilities and stockholders' equity	`LiabilitiesAndStockholdersEquity`	$1.01B	USD	Point-in-time
Total liabilities and stockholders' equity	`LiabilitiesAndStockholdersEquity`	$917.78M	USD	Point-in-time

Income Statement 28 line items

Line Item	Tag	Value	Unit	Period
Net revenue	`Revenues`	$99.79M	USD	1 Quarter
Net revenue	`Revenues`	$77.40M	USD	1 Quarter
Cost of revenue	`CostOfRevenue`	$44.00M	USD	1 Quarter
Cost of revenue	`CostOfRevenue`	$49.85M	USD	1 Quarter
Gross margin	`GrossProfit`	$33.40M	USD	1 Quarter
Gross margin	`GrossProfit`	$49.94M	USD	1 Quarter
Research and development	`ResearchAndDevelopmentExpense`	$13.60M	USD	1 Quarter
Research and development	`ResearchAndDevelopmentExpense`	$11.83M	USD	1 Quarter
Sales and marketing	`SellingAndMarketingExpense`	$27.50M	USD	1 Quarter
Sales and marketing	`SellingAndMarketingExpense`	$22.12M	USD	1 Quarter
General and administrative	`GeneralAndAdministrativeExpense`	$27.85M	USD	1 Quarter
General and administrative	`GeneralAndAdministrativeExpense`	$25.78M	USD	1 Quarter
Total operating expenses	`OperatingExpenses`	$68.94M	USD	1 Quarter
Total operating expenses	`OperatingExpenses`	$59.73M	USD	1 Quarter
Operating loss	`OperatingIncomeLoss`	$-19.00M	USD	1 Quarter
Operating loss	`OperatingIncomeLoss`	$-26.33M	USD	1 Quarter
Interest and other, net	`NonoperatingIncomeExpense`	$-818.00K	USD	1 Quarter
Interest and other, net	`NonoperatingIncomeExpense`	$365.00K	USD	1 Quarter
Loss before income taxes	`IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest`	$-27.15M	USD	1 Quarter
Loss before income taxes	`IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest`	$-18.64M	USD	1 Quarter
Income tax benefit	`IncomeTaxExpenseBenefit`	$-9.32M	USD	1 Quarter
Income tax benefit	`IncomeTaxExpenseBenefit`	$-7.01M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-17.83M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-11.63M	USD	1 Quarter
Net loss per common share, basic and diluted (usd per share)	`IncomeLossFromContinuingOperationsPerBasicAndDilutedShare`	$-0.17	USD	1 Quarter
Net loss per common share, basic and diluted (usd per share)	`IncomeLossFromContinuingOperationsPerBasicAndDilutedShare`	$-0.25	USD	1 Quarter
Weighted average number of shares outstanding, basic and diluted	`WeightedAverageNumberOfShareOutstandingBasicAndDiluted`	70.33M	shares	1 Quarter
Weighted average number of shares outstanding, basic and diluted	`WeightedAverageNumberOfShareOutstandingBasicAndDiluted`	70.00M	shares	1 Quarter

Cash Flow Statement 56 line items

Line Item	Tag	Value	Unit	Period
Net loss	`NetIncomeLoss`	$-17.83M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-11.63M	USD	1 Quarter
Depreciation and amortization	`DepreciationDepletionAndAmortization`	$9.63M	USD	1 Quarter
Depreciation and amortization	`DepreciationDepletionAndAmortization`	$10.58M	USD	1 Quarter
Change in fair value of convertible notes	`FairValueAdjustmentOfWarrants`	-	USD	1 Quarter
Change in fair value of convertible notes	`FairValueAdjustmentOfWarrants`	$132.00K	USD	1 Quarter
Stock-based compensation expense	`ShareBasedCompensation`	$200.00K	USD	1 Quarter
Stock-based compensation expense	`ShareBasedCompensation`	$360.00K	USD	1 Quarter
Effects of exchange rate changes on monetary assets and liabilities denominated in foreign currencies	`ForeignCurrencyTransactionGainLossBeforeTax`	$459.00K	USD	1 Quarter
Effects of exchange rate changes on monetary assets and liabilities denominated in foreign currencies	`ForeignCurrencyTransactionGainLossBeforeTax`	$-339.00K	USD	1 Quarter
Income tax benefit	`DeferredIncomeTaxExpenseBenefit`	$-9.32M	USD	1 Quarter
Income tax benefit	`DeferredIncomeTaxExpenseBenefit`	$-7.01M	USD	1 Quarter
Other non cash impacts	`OtherNoncashIncomeExpense`	-	USD	1 Quarter
Other non cash impacts	`OtherNoncashIncomeExpense`	$-2.92M	USD	1 Quarter
Provision for doubtful accounts	`ProvisionForDoubtfulAccounts`	$939.00K	USD	1 Quarter
Provision for doubtful accounts	`ProvisionForDoubtfulAccounts`	$590.00K	USD	1 Quarter
Accounts receivable	`IncreaseDecreaseInAccountsReceivable`	$11.11M	USD	1 Quarter
Accounts receivable	`IncreaseDecreaseInAccountsReceivable`	$-7.37M	USD	1 Quarter
Net transaction with parent	`IncreaseDecreaseInDueFromRelatedPartiesCurrent`	-	USD	1 Quarter
Net transaction with parent	`IncreaseDecreaseInDueFromRelatedPartiesCurrent`	$10.86M	USD	1 Quarter
Inventories	`IncreaseDecreaseInInventories`	$670.00K	USD	1 Quarter
Inventories	`IncreaseDecreaseInInventories`	$-462.00K	USD	1 Quarter
Other assets	`IncreaseDecreaseInOtherNoncurrentAssets`	$2.04M	USD	1 Quarter
Other assets	`IncreaseDecreaseInOtherNoncurrentAssets`	$3.89M	USD	1 Quarter
Accounts payable	`IncreaseDecreaseInAccountsPayable`	$1.11M	USD	1 Quarter
Accounts payable	`IncreaseDecreaseInAccountsPayable`	$995.00K	USD	1 Quarter
Deferred revenue	`IncreaseDecreaseInDeferredRevenue`	$4.96M	USD	1 Quarter
Deferred revenue	`IncreaseDecreaseInDeferredRevenue`	$9.60M	USD	1 Quarter
Accrued and other liabilities	`IncreaseDecreaseInAccruedLiabilities`	$7.81M	USD	1 Quarter
Accrued and other liabilities	`IncreaseDecreaseInAccruedLiabilities`	$-7.57M	USD	1 Quarter
Net cash used in operating activities	`NetCashProvidedByUsedInOperatingActivities`	$-8.18M	USD	1 Quarter
Net cash used in operating activities	`NetCashProvidedByUsedInOperatingActivities`	$-16.21M	USD	1 Quarter
Capital expenditures	`PaymentsToAcquirePropertyPlantAndEquipment`	$3.47M	USD	1 Quarter
Capital expenditures	`PaymentsToAcquirePropertyPlantAndEquipment`	$3.09M	USD	1 Quarter
Net cash used in investing activities	`NetCashProvidedByUsedInInvestingActivities`	$-3.09M	USD	1 Quarter
Net cash used in investing activities	`NetCashProvidedByUsedInInvestingActivities`	$-3.47M	USD	1 Quarter
Net proceeds from initial public offering	`ProceedsFromIssuanceInitialPublicOffering`	$99.97M	USD	1 Quarter
Net proceeds from initial public offering	`ProceedsFromIssuanceInitialPublicOffering`	-	USD	1 Quarter
Capital contribution from parent	`ProceedsFromContributionsFromParent`	$10.00M	USD	1 Quarter
Capital contribution from parent	`ProceedsFromContributionsFromParent`	-	USD	1 Quarter
Net transfers from parent	`ProceedsFromContributionsFromPaymentsOfDistributionsToAffiliates`	-	USD	1 Quarter
Net transfers from parent	`ProceedsFromContributionsFromPaymentsOfDistributionsToAffiliates`	$16.53M	USD	1 Quarter
Net cash provided by financing activities	`NetCashProvidedByUsedInFinancingActivities`	$109.97M	USD	1 Quarter
Net cash provided by financing activities	`NetCashProvidedByUsedInFinancingActivities`	$16.53M	USD	1 Quarter
Net increase in cash and cash equivalents	`CashAndCashEquivalentsPeriodIncreaseDecrease`	$5.27M	USD	1 Quarter
Net increase in cash and cash equivalents	`CashAndCashEquivalentsPeriodIncreaseDecrease`	$90.29M	USD	1 Quarter
Cash and cash equivalents at beginning of the period	`CashAndCashEquivalentsAtCarryingValue`	$6.67M	USD	Point-in-time
Cash and cash equivalents at beginning of the period	`CashAndCashEquivalentsAtCarryingValue`	$11.94M	USD	Point-in-time
Cash and cash equivalents at beginning of the period	`CashAndCashEquivalentsAtCarryingValue`	$123.71M	USD	Point-in-time
Cash and cash equivalents at beginning of the period	`CashAndCashEquivalentsAtCarryingValue`	$33.42M	USD	Point-in-time
Cash and cash equivalents at end of the period	`CashAndCashEquivalentsAtCarryingValue`	$6.67M	USD	Point-in-time
Cash and cash equivalents at end of the period	`CashAndCashEquivalentsAtCarryingValue`	$11.94M	USD	Point-in-time
Cash and cash equivalents at end of the period	`CashAndCashEquivalentsAtCarryingValue`	$123.71M	USD	Point-in-time
Cash and cash equivalents at end of the period	`CashAndCashEquivalentsAtCarryingValue`	$33.42M	USD	Point-in-time
Conversion of convertible notes to common stock	`DebtConversionConvertedInstrumentAmount1`	$28.12M	USD	1 Quarter
Conversion of convertible notes to common stock	`DebtConversionConvertedInstrumentAmount1`	-	USD	1 Quarter

Stockholders Equity 13 line items

Line Item	Tag	Value	Unit	Period
Beginning balance, amount	`StockholdersEquity`	$588.46M	USD	Point-in-time
Beginning balance, amount	`StockholdersEquity`	$712.50M	USD	Point-in-time
Net loss	`NetIncomeLoss`	$-17.83M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-11.63M	USD	1 Quarter
Other comprehensive loss	`OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax`	$127.00K	USD	1 Quarter
Other comprehensive loss	`OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax`	$494.00K	USD	1 Quarter
Issuance of common stock, value	`StockIssuedDuringPeriodValueNewIssues`	$96.69M	USD	1 Quarter
Conversion of convertible notes to common stock, net of adjustments	`StockIssuedDuringPeriodValueConversionOfConvertibleSecuritiesNetOfAdjustments`	$28.12M	USD	1 Quarter
Restricted stock awards	`StockIssuedDuringPeriodValueRestrictedStockAwardNetOfForfeitures`	-	USD	1 Quarter
Net transfers from parent	`AdjustmentsToAdditionalPaidInCapitalContributionsFromParent`	$10.00M	USD	1 Quarter
Stock-based compensation	`AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue`	$360.00K	USD	1 Quarter
Ending balance, amount	`StockholdersEquity`	$588.46M	USD	Point-in-time
Ending balance, amount	`StockholdersEquity`	$712.50M	USD	Point-in-time

Comprehensive Income 8 line items

Line Item	Tag	Value	Unit	Period
Foreign currency translation adjustments, tax	`OtherComprehensiveIncomeLossForeignCurrencyTranslationAdjustmentTax`	-	USD	1 Quarter
Foreign currency translation adjustments, tax	`OtherComprehensiveIncomeLossForeignCurrencyTranslationAdjustmentTax`	-	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-17.83M	USD	1 Quarter
Net loss	`NetIncomeLoss`	$-11.63M	USD	1 Quarter
Foreign currency translation adjustments, net of zero tax	`OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax`	$127.00K	USD	1 Quarter
Foreign currency translation adjustments, net of zero tax	`OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax`	$494.00K	USD	1 Quarter
Comprehensive loss	`ComprehensiveIncomeNetOfTax`	$-17.70M	USD	1 Quarter
Comprehensive loss	`ComprehensiveIncomeNetOfTax`	$-11.13M	USD	1 Quarter

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