Dun & Bradstreet(DNB) - 2021 Q2 - Quarterly Report

PART I. FINANCIAL INFORMATION Item 1. Condensed Consolidated Financial Statements (Unaudited) This section presents the unaudited condensed consolidated financial statements, including the statements of operations, balance sheets, cash flows, and shareholder equity, along with detailed notes explaining the basis of presentation, significant accounting policies, and specific financial line items Condensed Consolidated Statement of Operations and Comprehensive Income (Loss) (Unaudited) This statement provides a summary of the company's revenues, operating income, net income, and earnings per share for the specified periods | Metric | Three months ended June 30, 2021 ($M) | Three months ended June 30, 2020 ($M) | Six months ended June 30, 2021 ($M) | Six months ended June 30, 2020 ($M) | |:--------------------------------------------------------------------|:--------------------------------------|:--------------------------------------|:------------------------------------|:------------------------------------| | Revenue | 520.9 | 418.7 | 1,025.4 | 814.4 | | Operating income (loss) | 26.9 | (2.3) | 35.2 | (9.5) | | Net income (loss) attributable to Dun & Bradstreet Holdings, Inc. | (51.7) | (208.0) | (76.7) | (166.1) | | Basic earnings (loss) per share | (0.12) | (0.66) | (0.18) | (0.53) | | Diluted earnings (loss) per share | (0.12) | (0.66) | (0.18) | (0.53) | Condensed Consolidated Balance Sheets (Unaudited) This statement presents a snapshot of the company's assets, liabilities, and equity at specific points in time | Metric | June 30, 2021 ($M) | December 31, 2020 ($M) | |:----------------------------------------|:-------------------|:-----------------------| | Total current assets | 624.2 | 874.4 | | Total non-current assets | 9,236.2 | 8,345.9 | | Total assets | 9,860.4 | 9,220.3 | | Total current liabilities | 972.9 | 828.1 | | Total liabilities | 6,211.8 | 5,636.4 | | Total equity | 3,648.6 | 3,583.9 | | Total liabilities and stockholder equity | 9,860.4 | 9,220.3 | Condensed Consolidated Statements of Cash Flows (Unaudited) This statement details the cash inflows and outflows from operating, investing, and financing activities over specific periods | Cash Flow Activity | Six months ended June 30, 2021 ($M) | Six months ended June 30, 2020 ($M) | |:--------------------------------------------------|:------------------------------------|:------------------------------------|\ | Net cash provided by (used in) operating activities | 292.5 | 127.7 |\ | Net cash provided by (used in) investing activities | (749.0) | (68.5) |\ | Net cash provided by (used in) financing activities | 281.4 | (48.7) |\ | Increase (decrease) in cash and cash equivalents | (174.7) | 9.1 |\ | Cash and Cash Equivalents, End of Period | 177.6 | 93.5 | Condensed Consolidated Statements of Shareholder Equity (Deficit) (Unaudited) This statement outlines changes in the company's equity components, including capital surplus, accumulated deficit, and comprehensive loss, over specific periods | Equity Component | Balance, January 1, 2021 ($M) | Balance, June 30, 2021 ($M) | |:------------------------------------------------|:------------------------------|:----------------------------|\ | Capital Surplus | 4,310.1 | 4,482.3 |\ | Accumulated Deficit | (693.9) | (770.6) |\ | Accumulated other comprehensive loss | (90.6) | (123.5) |\ | Total Stockholder Equity (Deficit) | 3,525.6 | 3,587.9 |\ | NonControlling Interest | 58.3 | 60.7 |\ | Total Equity (Deficit) | 3,583.9 | 3,648.6 | Notes to Condensed Consolidated Financial Statements (Unaudited) These notes provide additional information and explanations for the figures presented in the condensed consolidated financial statements Note 1 -- Basis of Presentation This note describes the foundational principles and assumptions used in preparing the financial statements - The company manages its business and reports financial results through two segments: North America (U.S. and Canada) and International (U.K., Ireland, Northern Europe, Central Europe, Greater China, India, and Worldwide Network alliances)[26] - On January 8, 2021, the company acquired 100% ownership of Bisnode Business Information Group AB for $805.8 million, integrating its financial results into the International segment[27] - Effective January 1, 2021, the company eliminated the one-month reporting lag for subsidiaries outside North America, aligning all subsidiaries' year-ends to December 31, and applied this change retrospectively to all Successor periods[28] Note 2 -- Recent Accounting Pronouncements This note outlines recently adopted accounting standards and their impact on the financial statements - The company adopted ASU No. 2019-12, "Income Taxes (Topic 740)," on January 1, 2021, which simplifies income tax accounting but did not have a material impact on its consolidated financial statements[34] Note 3 -- Revenue This note provides details on the company's revenue recognition policies and disaggregation of revenue Future Revenue | Period | Future Revenue ($M) | |:-------------------|:--------------------|\ | Remainder of 2021 | 741.3 |\ | 2022 | 713.2 |\ | 2023 | 371.7 |\ | 2024 | 164.9 |\ | 2025 | 106.9 |\ | Thereafter | 250.0 |\ | Total | 2,348.0 | Revenue Recognition Timing | Revenue Recognition Timing | Three months ended June 30, 2021 ($M) | Three months ended June 30, 2020 ($M) | Six months ended June 30, 2021 ($M) | Six months ended June 30, 2020 ($M) | |:---------------------------|:--------------------------------------|:--------------------------------------|:------------------------------------|:------------------------------------|\ | At a point in time | 212.5 | 173.8 | 417.5 | 352.6 |\ | Over time | 308.4 | 244.9 | 607.9 | 461.8 |\ | Total revenue | 520.9 | 418.7 | 1,025.4 | 814.4 | - Deferred revenue increased by $114.3 million from December 31, 2020, to June 30, 2021, primarily due to cash payments received in advance of performance obligations and the acquisition of Bisnode, partially offset by $352.0 million of recognized revenue[38] Note 4 -- Restructuring Charge This note details the costs incurred for restructuring activities, including severance and contract termination expenses - Restructuring charges for the three months ended June 30, 2021, totaled $10.1 million, consisting of $8.0 million in severance costs for approximately 120 employees and $2.1 million in contract termination and other exit costs[45] - For the six months ended June 30, 2021, restructuring charges amounted to $15.9 million, including $12.7 million for severance impacting approximately 155 employees and $3.2 million for contract termination and other exit costs[47] [Note 5 -- Notes Payable and Indebtedness](index=13&type=section&