Spok Holdings, Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>Spok Holdings, Inc. has filed its 2023 annual report (10-K) detailing its financial performance and business operations for the fiscal year ending December 31, 2023.</b>

AI Summary

Spok Holdings, Inc (SPOK) filed a Annual Report (10-K) with the SEC on February 22, 2024. Spok Holdings, Inc. filed its 2023 Form 10-K on February 22, 2024. The filing covers the fiscal year ending December 31, 2023. The company's principal business is Radio Telephone Communications. Spok Holdings, Inc. was formerly known as USA Mobility, Inc. and Wizards-Patriots Holdings, Inc. The filing includes financial data for the fiscal years 2021, 2022, and 2023.

Why It Matters

For investors and stakeholders tracking Spok Holdings, Inc, this filing contains several important signals. This 10-K filing provides a comprehensive overview of Spok Holdings' financial health, operational segments, and strategic direction for investors and stakeholders. Understanding the details within this report is crucial for assessing the company's performance in the Radio Telephone Communications sector and its future prospects.

Risk Assessment

Risk Level: — Spok Holdings, Inc shows moderate risk based on this filing. The company operates in the Radio Telephone Communications sector, which is subject to regulatory changes and technological advancements, posing potential risks to its business model.

Analyst Insight

Review the detailed financial statements and risk factors in the 10-K to understand Spok Holdings' performance and potential challenges in the evolving communications market.

Key Numbers

• 2023-12-31 — Fiscal Year End (Conformed period of report)
• 2024-02-22 — Filing Date (Date the 10-K was filed)
• 4812 — SIC Code (Standard Industrial Classification for Radio Telephone Communications)

Key Players & Entities

• Spok Holdings, Inc. (company) — Filer name
• USA Mobility, Inc. (company) — Former company name
• Wizards-Patriots Holdings, Inc. (company) — Former company name
• Alexandria, VA (location) — Business and mailing address city and state

FAQ

Risk Factors

• Regulatory Environment [medium — regulatory]: The company operates in the highly regulated Radio Telephone Communications industry, subject to FCC regulations and potential changes that could impact services and operations.
• Technological Advancements [medium — market]: Rapid technological changes in the communications sector could render existing services obsolete or require significant investment in new technologies.

Key Dates

• 2023-12-31: Fiscal Year End — Marks the end of the reporting period for the 10-K.
• 2024-02-22: Filing Date — Official date the 10-K was submitted to the SEC.

Glossary

10-K

An annual report required by the U.S. Securities and Exchange Commission (SEC), which gives a comprehensive summary of a company's financial performance. (Provides a detailed overview of Spok Holdings' financial health and operations for the fiscal year.)

Radio Telephone Communications

A sector of telecommunications that involves the transmission of voice and data over radio waves, often for mobile or specialized communication needs. (Defines the primary industry in which Spok Holdings operates and is subject to its specific market dynamics and regulations.)

Key Financial Figures

• $0.0001 — ich registered Common Stock, par value $0.0001 per share SPOK NASDAQ Securities regi
• $13.29 — 8 million based on the closing price of $13.29 per share on the NASDAQ National Market
• $0.3125 — continue to pay a quarterly dividend of $0.3125 per share of common stock, or $1.250 an
• $1.250 — f $0.3125 per share of common stock, or $1.250 annually, in 2024. Products and Servi

Filing Documents

• spok-20231231.htm (10-K) — 1677KB
• ex108-2021ltip2021x2023per.htm (EX-10.8) — 2KB
• ex1013-2024stip.htm (EX-10.13) — 41KB
• ex231-202310kauditorconsent.htm (EX-23.1) — 2KB
• ex311-2023ceo302certificat.htm (EX-31.1) — 10KB
• ex312-2023cfo302certificat.htm (EX-31.2) — 10KB
• ex321-2023ceo906certificat.htm (EX-32.1) — 5KB
• ex322-2023cfo906certificat.htm (EX-32.2) — 4KB
• ex971-policyforrecoveryofe.htm (EX-97.1) — 34KB
• image_0.jpg (GRAPHIC) — 101KB
• screenshot2024-01x02171023.jpg (GRAPHIC) — 72KB
• screenshot2024-01x02171411.jpg (GRAPHIC) — 168KB
• spok-20231231_g1.jpg (GRAPHIC) — 48KB
• spok-20231231_g2.jpg (GRAPHIC) — 138KB
• spok_horxflatx4c.jpg (GRAPHIC) — 48KB
• 0001289945-24-000010.txt (&nbsp;) — 8889KB
• spok-20231231.xsd (EX-101.SCH) — 52KB
• spok-20231231_cal.xml (EX-101.CAL) — 91KB
• spok-20231231_def.xml (EX-101.DEF) — 228KB
• spok-20231231_lab.xml (EX-101.LAB) — 727KB
• spok-20231231_pre.xml (EX-101.PRE) — 466KB
• spok-20231231_htm.xml (XML) — 1013KB

Risk Factors

Item 1A. Risk Factors 15

Unresolved Staff Comments

Item 1B. Unresolved Staff Comments 25 Item 1C. Cy bersecurity 25

Properties

Item 2. Properties 26

Legal Proceedings

Item 3. Legal Proceedings 26

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 26 Part II

Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 26

[Reserved]

Item 6. [Reserved] 29

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

Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 29

Quantitative and Qualitative Disclosures About Market Risk

Item 7A. Quantitative and Qualitative Disclosures About Market Risk 44

Financial Statements and Supplementary Data

Item 8 Financial Statements and Supplementary Data 45

Changes in and Disagreements with Accountants on Accounting and Financial Disclosure

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 46

Controls and Procedures

Item 9A. Controls and Procedures 46

Other Information

Item 9B. Other Information 46

Disclosure Regarding Foreign Jurisdictions that Prevent Inspections

Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 47 Part III

Directors, Executive Officers and Corporate Governance

Item 10. Directors, Executive Officers and Corporate Governance 47

Executive Compensation

Item 11. Executive Compensation 47

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 47

Certain Relationships and Related Transactions, and Director Independence

Item 13. Certain Relationships and Related Transactions, and Director Independence 47

Principal Accountant Fees and Services

Item 14. Principal Accountant Fees and Services 47 Part IV

Exhibit and Financial Statement Schedules

Item 15. Exhibit and Financial Statement Schedules 48

Form 10-K Summary

Item 16. Form 10-K Summary 48

Signatures

Signatures 49 2 Table of Contents

Forward-Looking Statements

Forward-Looking Statements This Annual Report on Form 10-K contains forward-looking statements and information relating to Spok Holdings, Inc. and its subsidiaries ("Spok" or the "Company") that set forth anticipated results based on management's current plans, known trends and assumptions. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Statements that are predictive in nature, that depend upon or refer to future events or conditions, or that include words such as "anticipate," "believe," "estimate," "expect," "intend," "will," "target," "forecast" and similar expressions, as they relate to Spok, are forward-looking statements. Although these statements are based upon current plans, known trends and assumptions that management considers reasonable, they are subject to certain risks, uncertainties and assumptions, including but not limited to the following: Our ability to manage wireless network rationalization to lower our costs without causing disruption of service to our customers; Our ability to retain key management personnel and to attract and retain talent within the organization; The productivity of our sales organization and our ability to deliver effective customer support; Our ability to identify potential acquisitions, consummate and successfully integrate such acquisitions, and achieve the expected benefits of such acquisitions; Economic conditions such as recessionary economic cycles, higher interest rates, inflation and higher levels of unemployment; Risks related to our overall business strategy, including maximizing revenue and cash generation from our established businesses and returning capital to stockholders through dividends and repurchases of shares of our common stock; Competition for our services and products from new technologies or those offered and/or developed from firms that are substantially larger and have much greater financial and human capital resour

BUSINESS

ITEM 1. BUSINESS Overview Spok, Inc., a wholly owned subsidiary of Spok Holdings, Inc. (NASDAQ: SPOK), is proud to be a global leader in healthcare communications. We deliver clinical information to care teams when and where it matters most to improve patient outcomes. Top hospitals rely on Spok products and services to enhance workflows for clinicians, support administrative compliance, and provide a better experience for patients. Our headquarters is located at 5911 Kingstowne Village Pkwy, 6th Floor, Alexandria, Virginia 22315, and our telephone number is 800-611-8488. We maintain a website at http://www.spok.com . (This website address is for information only and is not intended to be an active link or to incorporate any website information into this Annual Report on Form 10-K for the year ended December 31, 2023 (the "2023 Form 10-K").) We deliver smart, reliable clinical communication and collaboration solutions to help protect the health, well-being, and safety of people in the United States and abroad, on a limited basis, in Europe, Canada, Australia, Asia and the Middle East. Our customers rely on Spok for workflow improvement, secure texting, paging services, contact center optimization, and public safety response. We develop, sell, and support enterprise-wide systems primarily for healthcare and other organizations needing to automate, centralize, and standardize their approach to clinical communications. Our solutions can be found in prominent hospitals, large government agencies, leading public safety institutions, colleges and universities; large hotels, resorts and casinos; and well-known manufacturers. We offer our services and products to three major market segments: healthcare, government, and large enterprise, with a greater emphasis on the healthcare market segment. In February 2022, our Board of Directors announced a new strategic business plan. In accordance with this plan, in 2022, we discontinued Spok Go and successfully eliminated all

View Full Filing

View this 10-K filing on SEC EDGAR