Skillsoft Corp. 10-Q: Assets $603M, Liabilities $562M

TL;DR

Skillsoft 10-Q filed: Assets $603M, Liabilities $562M. Net positive.

AI Summary

Skillsoft Corp. filed its 10-Q for the period ending April 30, 2024, reporting total assets of $603 million and total liabilities of $562 million. The company's fiscal year ends on January 31st. Skillsoft Corp. is incorporated in Delaware and its principal executive offices are located at 640 Fifth Avenue, New York, NY.

Why It Matters

This filing provides a snapshot of Skillsoft Corp.'s financial health as of April 30, 2024, indicating a net asset position. Investors can use this information to assess the company's financial stability and operational performance.

Risk Assessment

Risk Level: medium — The filing shows a relatively small difference between total assets and total liabilities, suggesting a moderate level of financial leverage and potential risk.

Key Numbers

• $603 million — Total Assets (Financial position as of April 30, 2024)
• $562 million — Total Liabilities (Financial position as of April 30, 2024)
• 0131 — Fiscal Year End (Indicates the end of the company's annual accounting period)

Key Players & Entities

• Skillsoft Corp. (company) — Filer of the 10-Q
• 20240430 (date) — End of the reporting period
• 20240610 (date) — Filing date
• 640 FIFTH AVENUE, 12TH FL (address) — Company business and mailing address
• New York, NY (location) — Company business and mailing address
• Churchill Capital Corp II (company) — Former company name
• Hornblower Acquisition Corp (company) — Former company name

FAQ

Key Financial Figures

• $0.0001 — tered Class A Common Stock, par value $0.0001 per share SKIL New York Stock Exchange

Filing Documents

• skil20240430_10q.htm (10-Q) — 1182KB
• ex_652128.htm (EX-31.1) — 14KB
• ex_652129.htm (EX-31.2) — 14KB
• ex_652130.htm (EX-32.1) — 6KB
• ex_652131.htm (EX-32.2) — 6KB
• 0001437749-24-019820.txt ( ) — 6371KB
• skil-20240430.xsd (EX-101.SCH) — 57KB
• skil-20240430_cal.xml (EX-101.CAL) — 56KB
• skil-20240430_def.xml (EX-101.DEF) — 397KB
• skil-20240430_lab.xml (EX-101.LAB) — 351KB
• skil-20240430_pre.xml (EX-101.PRE) — 438KB
• skil20240430_10q_htm.xml (XML) — 902KB

— FINANCIAL INFORMATION - UNAUDITED

PART I — FINANCIAL INFORMATION - UNAUDITED

Unaudited Financial Statements

Item 1. Unaudited Financial Statements: 2 Unaudited Condensed Consolidated Balance Sheets as of April 30, 2024 and January 31, 2024 2 Unaudited Condensed Consolidated Statements of Operations for the three months ended April 30, 2024 and 2023 3 Unaudited Condensed Consolidated Statements of Comprehensive Income (Loss) for the three months ended April 30, 2024 and 2023 4 Unaudited Condensed Consolidated Statements of Shareholders' Equity (Deficit) for the three months ended April 30, 2024 and 2023 5 Unaudited Condensed Consolidated Statements of Cash Flows for the three months ended April 30, 2024 and 2023 7 Notes to Unaudited Condensed Consolidated Financial Statements 9

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 20

Quantitative and Qualitative Disclosures about Market Risk

Item 3. Quantitative and Qualitative Disclosures about Market Risk 29

Controls and Procedures

Item 4. Controls and Procedures 29

— OTHER INFORMATION

PART II — OTHER INFORMATION 30

Legal Proceedings

Item 1. Legal Proceedings 30

Risk Factors

Item 1A. Risk Factors 30

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 30

Defaults Upon Senior Securities

Item 3. Defaults Upon Senior Securities 30

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 30

Other Information

Item 5. Other Information 30

Exhibits

Item 6. Exhibits 31

SIGNATURES

SIGNATURES 32 Table of Contents CAUTIONARY NOTES REGARDING FORWARD-LOOKING STATEMENTS This Quarterly Report on Form 10-Q (this "Form 10-Q") includes statements that are, or may be deemed to be, "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbors created by those laws. All statements, other than statements of historical facts, are forward-looking statements. These forward-looking statements include but are not limited to, statements that address activities, events or developments that we expect or anticipate may occur in the future, including such things as our outlook, our product development and planning, future capital expenditures, financial results, the impact of regulatory changes, our current and evolving business strategies, including with respect to acquisitions and dispositions, demand for our services, our competitive strengths, the benefits of new initiatives, growth of our business and operations, the effectiveness of our products, the outcome of litigation proceedings and claims, the state and future of skilling in the workplace, our ability to successfully implement our plans, strategies, objectives, expectations and intentions are forward-looking statements. Also, when we use words such as "may", "will", "would", "anticipate", "believe", "estimate", "expect", "intend", "plan", "project", "forecast", "seek", "outlook", "target", "goal", "probably", or similar expressions, we are making forward-looking statements. Such statements are based upon the current beliefs and expectations of Skillsoft's management and are subject to significant risks and uncertainties. Actual results may differ materially from those set forth in the forward-looking statements. All forward-looking disclosure is speculative by its nature, and we caution you against unduly relying on these forward-loo

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION

UNAUDITED FINANCIAL STATEMENTS

ITEM 1. UNAUDITED FINANCIAL STATEMENTS. SKILLSOFT CORP. UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands, except number of shares) April 30, 2024 January 31, 2024 ASSETS Current assets: Cash and cash equivalents $ 142,020 $ 136,308 Restricted cash 7,584 10,215 Accounts receivable, net of allowance for credit losses of approximately $ 603 and $ 562 as of April 30, 2024 and January 31, 2024, respectively 110,643 185,638 Prepaid expenses and other current assets 58,287 53,170 Total current assets 318,534 385,331 Property and equipment, net 5,695 6,639 Goodwill 317,071 317,071 Intangible assets, net 511,399 539,293 Right of use assets 6,775 8,044 Other assets 21,386 17,256 Total assets $ 1,180,860 $ 1,273,634 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities: Current maturities of long-term debt $ 6,404 $ 6,404 Borrowings under accounts receivable facility 42,411 44,980 Accounts payable 13,378 14,512 Accrued compensation 17,000 31,774 Accrued expenses and other current liabilities 24,657 29,939 Lease liabilities 3,241 3,049 Deferred revenue 243,701 282,570 Total current liabilities 350,792 413,228 Long-term debt 576,422 577,487 Deferred tax liabilities 49,173 52,148 Long-term lease liabilities 7,362 9,251 Deferred revenue - non-current 1,574 2,402 Other long-term liabilities 13,402 13,531 Total long-term liabilities 647,933 654,819 Commitments and contingencies Shareholders' equity: Shareholders' common stock - Class A common shares, $ 0.0001 par value: 18,750,000 shares authorized and 8,394,098 shares issued and 8,094,321 shares outstanding at April 30, 2024, and 8,380,436 shares issued and 8,080,659 shares outstanding at January 31, 2024 1 1 Additional paid-in capital 1,558,076 1,551,005 Accumulated equity (deficit) ( 1,349,114 ) ( 1,321,478 ) Treasury stock, at cost - 299,777 shares as of April 30, 2024 and January 31, 2024 ( 10,891 ) ( 10,891 )

View Full Filing

View this 10-Q filing on SEC EDGAR