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As Of Filer Filing For·On·As Docs:Size 10/28/20 Diebold Nixdorf, Inc. 10-Q 9/30/20 100:13M |
Document/Exhibit Description Pages Size 1: 10-Q Quarterly Report HTML 1.43M 2: EX-22.1 Published Report re: Matters Submitted to a Vote HTML 25K of Security Holders 3: EX-31.1 Certification -- §302 - SOA'02 HTML 30K 4: EX-31.2 Certification -- §302 - SOA'02 HTML 30K 5: EX-32.1 Certification -- §906 - SOA'02 HTML 27K 6: EX-32.2 Certification -- §906 - SOA'02 HTML 27K 13: R1 Cover HTML 77K 14: R2 Condensed Consolidated Balance Sheets HTML 124K 15: R3 Condensed Consolidated Balance Sheets HTML 49K (Parenthetical) 16: R4 Condensed Consolidated Statements of Operations HTML 96K (Unaudited) 17: R5 Condensed Consolidated Statements of Comprehensive HTML 76K Income (Loss) (Unaudited) 18: R6 Condensed Consolidated Statements of Comprehensive HTML 36K Income (Loss) Parentheticals 19: R7 Condensed Consolidated Statements of Cash Flows HTML 134K (Unaudited) 20: R8 Accumulated Other Comprehensive Income (Loss) HTML 126K 21: R9 Basis of Presentation HTML 39K 22: R10 Leases (Notes) HTML 93K 23: R11 Earning Per Share HTML 50K 24: R12 Share-Based Compensation HTML 61K 25: R13 Income Taxes HTML 28K 26: R14 Inventories HTML 32K 27: R15 Investments HTML 64K 28: R16 Goodwill and Other Assets HTML 89K 29: R17 Guarantees and Product Warranties HTML 36K 30: R18 Restructuring HTML 86K 31: R19 Debt HTML 99K 32: R20 Redeemable Noncontrolling Interests HTML 36K 33: R21 Equity HTML 246K 34: R22 Acquisitions & Divestitures HTML 31K 35: R23 Benefit Plans HTML 86K 36: R24 Derivative Instruments and Hedging Activities HTML 51K 37: R25 Fair Value of Assets and Liabilities HTML 85K 38: R26 Commitments and Contingencies HTML 36K 39: R27 Segment Information HTML 131K 40: R28 Leases (Tables) HTML 94K 41: R29 Earnings Per Share (Tables) HTML 50K 42: R30 Share-Based Compensation (Tables) HTML 62K 43: R31 Inventories (Tables) HTML 33K 44: R32 Investments (Tables) HTML 60K 45: R33 Goodwill and Other Assets (Tables) HTML 88K 46: R34 Guarantees and Product Warranties (Tables) HTML 35K 47: R35 Restructuring (Tables) HTML 91K 48: R36 Debt (Tables) HTML 92K 49: R37 Redeemable Noncontrolling Interests (Tables) HTML 34K 50: R38 Equity (Tables) HTML 246K 51: R39 Accumulated Other Comprehensive Income (Loss) HTML 127K (Tables) 52: R40 Benefit Plans (Tables) HTML 82K 53: R41 Derivative Instruments and Hedging Activities HTML 42K (Tables) 54: R42 Fair Value of Assets and Liabilities (Tables) HTML 85K 55: R43 Segment Information (Tables) HTML 129K 56: R44 Leases (Details) HTML 48K 57: R45 Components of Lease Expense (Details) HTML 35K 58: R46 Maturities of lease liabilities (Details) HTML 62K 59: R47 Supplemental Cash Flow Information Related to HTML 37K Leases (Details) 60: R48 Supplemental Balance Sheet Information Related to HTML 40K Leases (Details) 61: R49 Earnings Per Share (Details) HTML 52K 62: R50 Share-Based Compensation - Stock Options (Details) HTML 68K 63: R51 Share-Based Compensation - Compensation Expense HTML 71K and Information on Non-Vested Shares (Details) 64: R52 Income Taxes (Details) HTML 27K 65: R53 Inventories (Details) HTML 34K 66: R54 Investments (Details) HTML 45K 67: R55 Investments (Textuals) (Details) HTML 53K 68: R56 Investments Investments Finance Lease Receivables HTML 39K (Details) 69: R57 Investments Finance Lease Receivables - Minimum HTML 40K Lease Receivables Schedule (Details) 70: R58 Investments Allowance for Credit Losses - Summary HTML 31K of Allowance for Credit Losses (Textuals) (Details) 71: R59 Goodwill and Other Assets (Details) HTML 52K 72: R60 Goodwill and Other Assets Schedule of Intangible HTML 50K Assets (Details) 73: R61 Goodwill and Other Assets (Textuals) (Details) HTML 34K 74: R62 Guarantees and Product Warranties (Details) HTML 41K 75: R63 Restructuring - Restructuring Charges By Statement HTML 40K of Income Account (Details) 76: R64 Restructuring - Restructuring Charges By Segment HTML 65K (Details) 77: R65 Restructuring Reserve Activity (Details) HTML 33K 78: R66 Restructuring (Textuals) (Details) HTML 40K 79: R67 Debt (Details) HTML 94K 80: R68 Debt (Textuals) (Details) HTML 170K 81: R69 Redeemable Noncontrolling Interests (Details) HTML 35K 82: R70 Redeemable Noncontrolling Interests Redeemable HTML 36K Noncontrolling Interests (Textuals) (Details) 83: R71 Equity (Details) HTML 87K 84: R72 Accumulated Other Comprehensive Income (Loss) HTML 65K (Details) 85: R73 Accumulated Other Comprehensive Income (Loss) HTML 40K Reclassification Adjustments (Details) 86: R74 Acquisitions & Divestitures (Details) HTML 70K 87: R75 Benefit Plans (Details) HTML 64K 88: R76 Derivative Instruments and Hedging Activities HTML 37K (Details) 89: R77 Derivative Instruments and Hedging Activities HTML 45K (Textuals) (Details) 90: R78 Fair Value of Assets and Liabilities - Fair Value HTML 92K Measurements (Details) 91: R79 Fair Value of Assets and Liabilities - Summary of HTML 35K Liabilities Recorded at Carrying Value (Details) 92: R80 Commitments and Contingencies (Details) HTML 38K 93: R81 Segment Information - (Details) HTML 82K 94: R82 Segment Information Segment Information By Revenue HTML 47K Type (Details) 95: R83 Segment Information - Revenue by Service/Product HTML 54K Solution (Details) 96: R84 Segment Information (Textuals) (Details) HTML 52K 98: XML IDEA XML File -- Filing Summary XML 181K 12: XML XBRL Instance -- dbd-20200930_htm XML 4.44M 97: EXCEL IDEA Workbook of Financial Reports XLSX 131K 8: EX-101.CAL XBRL Calculations -- dbd-20200930_cal XML 247K 9: EX-101.DEF XBRL Definitions -- dbd-20200930_def XML 980K 10: EX-101.LAB XBRL Labels -- dbd-20200930_lab XML 2.14M 11: EX-101.PRE XBRL Presentations -- dbd-20200930_pre XML 1.32M 7: EX-101.SCH XBRL Schema -- dbd-20200930 XSD 200K 99: JSON XBRL Instance as JSON Data -- MetaLinks 453± 673K 100: ZIP XBRL Zipped Folder -- 0000028823-20-000151-xbrl Zip 429K
dbd-20200930 |
i ☒ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
i ☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
i Ohio | i 34-0183970 | |||||||||||||
(State
or other jurisdiction of incorporation or organization) | (IRS Employer Identification Number) | |||||||||||||
i 5995 Mayfair Road, PO Box 3077, | i North Canton, | i Ohio | i 44720-8077 | |||||||||||
(Address of principal executive offices) | (Zip Code) |
Title of each class | Trading Symbol | Name of each exchange on which registered | ||||||||||||
i Common shares, $1.25 par value per share | i DBD | i New York Stock Exchange |
i Large accelerated filer | ☒ | Accelerated filer | ☐ | Non-accelerated filer | ☐ | ||||||||||||
Smaller reporting company | i ☐ | Emerging growth company | i ☐ |
September 30, 2020 | December 31, 2019 | |||||||||||||
(Unaudited) | ||||||||||||||
ASSETS | ||||||||||||||
Current assets | ||||||||||||||
Cash, cash equivalents and restricted cash | $ | i 277.3 | $ | i 280.9 | ||||||||||
Short-term investments | i 6.8 | i 10.0 | ||||||||||||
Trade
receivables, less allowances for doubtful accounts of $ i 43.0 and $ i 42.2, respectively | i 668.1 | i 619.3 | ||||||||||||
Inventories | i 542.6 | i 466.5 | ||||||||||||
Prepaid expenses | i 35.5 | i 51.3 | ||||||||||||
Current assets held for sale | i 67.9 | i 233.3 | ||||||||||||
Other current assets | i 242.8 | i 230.7 | ||||||||||||
Total current assets | i 1,841.0 | i 1,892.0 | ||||||||||||
Securities and other investments | i 9.2 | i 21.4 | ||||||||||||
Property,
plant and equipment, net of accumulated depreciation and amortization of $ i 558.6 and $ i 526.9,
respectively | i 198.3 | i 231.5 | ||||||||||||
Goodwill | i 773.7 | i 764.0 | ||||||||||||
Deferred income taxes | i 127.7 | i 120.8 | ||||||||||||
Customer relationships, net | i 408.5 | i 447.7 | ||||||||||||
Other assets | i 269.4 | i 313.2 | ||||||||||||
Total assets | $ | i 3,627.8 | $ | i 3,790.6 | ||||||||||
LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND EQUITY | ||||||||||||||
Current liabilities | ||||||||||||||
Notes payable | $ | i 18.3 | $ | i 32.5 | ||||||||||
Accounts payable | i 504.4 | i 471.5 | ||||||||||||
Deferred revenue | i 247.3 | i 320.5 | ||||||||||||
Payroll and other benefits liabilities | i 198.2 | i 224.7 | ||||||||||||
Other current liabilities | i 481.4 | i 550.4 | ||||||||||||
Total current liabilities | i 1,449.6 | i 1,599.6 | ||||||||||||
Long-term debt | i 2,427.9 | i 2,108.7 | ||||||||||||
Pensions, post-retirement and other benefits | i 228.9 | i 237.7 | ||||||||||||
Deferred income taxes | i 116.1 | i 134.5 | ||||||||||||
Other liabilities | i 197.1 | i 195.5 | ||||||||||||
Commitments and contingencies | i | i | ||||||||||||
Redeemable noncontrolling interests | i 19.9 | i 20.9 | ||||||||||||
Equity | ||||||||||||||
Diebold Nixdorf, Incorporated shareholders' equity | ||||||||||||||
Preferred shares, i i no /
par value, i i 1,000,000 /
authorized shares, i i none / issued | i — | i — | ||||||||||||
Common
shares, $ i i 1.25 / par value, i i 125,000,000 /
authorized shares, i 93,524,415 and i 92,208,247 issued shares, i 77,672,179
and i 76,813,013 outstanding shares, respectively | i 116.9 | i 115.3 | ||||||||||||
Additional capital | i 783.3 | i 773.9 | ||||||||||||
Accumulated deficit | ( i 690.2) | ( i 472.3) | ||||||||||||
Treasury
shares, at cost ( i 15,852,236 and i 15,395,234 shares, respectively) | ( i 576.6) | ( i 571.9) | ||||||||||||
Accumulated other comprehensive loss | ( i 440.0) | ( i 375.3) | ||||||||||||
Total Diebold Nixdorf, Incorporated shareholders' equity | ( i 806.6) | ( i 530.3) | ||||||||||||
Noncontrolling interests | ( i 5.1) | i 24.0 | ||||||||||||
Total equity | ( i 811.7) | ( i 506.3) | ||||||||||||
Total liabilities, redeemable noncontrolling interests and equity | $ | i 3,627.8 | $ | i 3,790.6 |
Three Months Ended | Nine Months Ended | ||||||||||||||||||||||
September 30, | September 30, | ||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||
Net sales | |||||||||||||||||||||||
Services | $ | i 588.9 | $ | i 643.0 | $ | i 1,736.4 | $ | i 1,931.0 | |||||||||||||||
Products | i 406.3 | i 435.8 | i 1,060.0 | i 1,326.1 | |||||||||||||||||||
i 995.2 | i 1,078.8 | i 2,796.4 | i 3,257.1 | ||||||||||||||||||||
Cost of sales | |||||||||||||||||||||||
Services | i 399.2 | i 462.4 | i 1,226.5 | i 1,423.3 | |||||||||||||||||||
Products | i 311.9 | i 345.0 | i 811.4 | i 1,037.1 | |||||||||||||||||||
i 711.1 | i 807.4 | i 2,037.9 | i 2,460.4 | ||||||||||||||||||||
Gross profit | i 284.1 | i 271.4 | i 758.5 | i 796.7 | |||||||||||||||||||
Selling and administrative expense | i 226.0 | i 219.9 | i 629.7 | i 674.3 | |||||||||||||||||||
Research, development and engineering expense | i 30.2 | i 36.8 | i 93.4 | i 109.8 | |||||||||||||||||||
Impairment of assets | i 4.1 | i — | i 4.1 | i — | |||||||||||||||||||
(Gain) loss on sale of assets, net | i — | ( i 8.5) | i 13.0 | i 6.6 | |||||||||||||||||||
i 260.3 | i 248.2 | i 740.2 | i 790.7 | ||||||||||||||||||||
Operating profit (loss) | i 23.8 | i 23.2 | i 18.3 | i 6.0 | |||||||||||||||||||
Other income (expense) | |||||||||||||||||||||||
Interest income | i 1.9 | i 1.9 | i 5.4 | i 7.0 | |||||||||||||||||||
Interest expense | ( i 144.3) | ( i 52.5) | ( i 240.6) | ( i 153.3) | |||||||||||||||||||
Foreign exchange gain, net | ( i 2.3) | ( i 1.8) | ( i 9.5) | ( i 4.1) | |||||||||||||||||||
Miscellaneous, net | ( i 1.5) | ( i 1.0) | i 4.1 | ( i 2.8) | |||||||||||||||||||
Loss before taxes | ( i 122.4) | ( i 30.2) | ( i 222.3) | ( i 147.2) | |||||||||||||||||||
Income tax (benefit) expense | ( i 21.5) | i 5.2 | ( i 4.9) | i 74.8 | |||||||||||||||||||
Equity in earnings of unconsolidated subsidiaries | i — | i 0.6 | i — | i — | |||||||||||||||||||
Net loss | ( i 100.9) | ( i 34.8) | ( i 217.4) | ( i 222.0) | |||||||||||||||||||
Net (loss) income attributable to noncontrolling interests | i 0.5 | i 0.9 | i 0.5 | ( i 3.3) | |||||||||||||||||||
Net loss attributable to Diebold Nixdorf, Incorporated | $ | ( i 101.4) | $ | ( i 35.7) | $ | ( i 217.9) | $ | ( i 218.7) | |||||||||||||||
Basic and diluted weighted-average shares outstanding | i 77.7 | i 76.8 | i 77.5 | i 76.6 | |||||||||||||||||||
Net loss attributable to Diebold Nixdorf, Incorporated | |||||||||||||||||||||||
Basic and diluted loss per share | $ | ( i 1.31) | $ | ( i 0.46) | $ | ( i 2.81) | $ | ( i 2.86) | |||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||
September 30 | September 30 | |||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||||||||||||
Net loss | $ | ( i 100.9) | $ | ( i 34.8) | $ | ( i 217.4) | $ | ( i 222.0) | ||||||||||||||||||
Other comprehensive income (loss), net of tax | ||||||||||||||||||||||||||
Translation adjustment | ( i 10.0) | ( i 91.7) | ( i 64.1) | ( i 73.3) | ||||||||||||||||||||||
Foreign
currency hedges (net of tax of $( i 0.1), $ i 0.0,
$ i 0.2 and $ i 0.0,
respectively) | ( i 0.4) | ( i 0.2) | i 1.8 | ( i 0.1) | ||||||||||||||||||||||
Interest rate hedges | ||||||||||||||||||||||||||
Net (loss) income recognized in other comprehensive income (net of tax of $( i 0.9), $ i 0.5,
$ i 4.0 and $ i 1.7,
respectively) | i 3.0 | ( i 3.0) | ( i 19.1) | ( i 8.7) | ||||||||||||||||||||||
Reclassification adjustment for amounts recognized in net income | ( i 0.4) | i 0.8 | i 4.9 | i 1.8 | ||||||||||||||||||||||
i 2.6 | ( i 2.2) | ( i 14.2) | ( i 6.9) | |||||||||||||||||||||||
Pension and other post-retirement benefits | ||||||||||||||||||||||||||
Net actuarial loss amortization (net of tax of $ i 0.6,
$( i 0.4), $ i 2.4
and $( i 1.2), respectively) | i 2.1 | i 2.2 | i 11.2 | i 6.0 | ||||||||||||||||||||||
Other | i — | i — | ( i 0.8) | i 0.1 | ||||||||||||||||||||||
Other comprehensive loss, net of tax | ( i 5.7) | ( i 91.9) | ( i 66.1) | ( i 74.2) | ||||||||||||||||||||||
Comprehensive loss | ( i 106.6) | ( i 126.7) | ( i 283.5) | ( i 296.2) | ||||||||||||||||||||||
Less: comprehensive loss attributable to noncontrolling interests | i 0.4 | ( i 0.1) | ( i 0.9) | ( i 4.1) | ||||||||||||||||||||||
Comprehensive loss attributable to Diebold Nixdorf, Incorporated | $ | ( i 107.0) | $ | ( i 126.6) | $ | ( i 282.6) | $ | ( i 292.1) |
Nine Months Ended | ||||||||||||||
September 30 | ||||||||||||||
2020 | 2019 | |||||||||||||
Cash flow from operating activities | ||||||||||||||
Net loss | $ | ( i 217.4) | $ | ( i 222.0) | ||||||||||
Adjustments to reconcile net loss to cash flow used by operating activities: | ||||||||||||||
Depreciation and amortization | i 75.1 | i 83.2 | ||||||||||||
Amortization of Wincor Nixdorf purchase accounting intangible assets | i 63.2 | i 71.8 | ||||||||||||
Amortization of deferred financing costs into interest expense | i 41.1 | i 16.3 | ||||||||||||
Share-based compensation | i 11.1 | i 19.4 | ||||||||||||
Debt prepayment costs | i 67.2 | i — | ||||||||||||
Loss (gain) on sale of assets, net | i 13.0 | i 6.6 | ||||||||||||
Impairment of assets | i 4.1 | i — | ||||||||||||
Deferred income taxes | ( i 36.4) | i 3.2 | ||||||||||||
Other | ( i 7.1) | i — | ||||||||||||
Changes in certain assets and liabilities | ||||||||||||||
Trade receivables | ( i 68.6) | i 110.1 | ||||||||||||
Inventories | ( i 83.8) | ( i 2.9) | ||||||||||||
Accounts payable | i 35.3 | ( i 6.9) | ||||||||||||
Deferred revenue | ( i 69.6) | ( i 50.3) | ||||||||||||
Sales tax and net value added tax | ( i 18.0) | ( i 13.7) | ||||||||||||
Income taxes | i 1.5 | i 60.5 | ||||||||||||
Prepaid expenses | i 16.1 | i 9.8 | ||||||||||||
Accrued salaries, wages and commissions | ( i 22.0) | i 14.0 | ||||||||||||
Restructuring | ( i 8.3) | ( i 27.9) | ||||||||||||
Warranty liability | ( i 2.4) | ( i 3.2) | ||||||||||||
Liabilities held for sale | ( i 22.3) | i 12.5 | ||||||||||||
Certain other assets and liabilities | i 18.8 | ( i 73.1) | ||||||||||||
Net cash provided (used) by operating activities | ( i 209.4) | i 7.4 | ||||||||||||
Cash flow from investing activities | ||||||||||||||
Capital expenditures | ( i 12.2) | ( i 30.2) | ||||||||||||
Proceeds from divestitures, net of cash divested | ( i 47.9) | i 29.8 | ||||||||||||
Proceeds from settlement of corporate-owned life insurance policies | i 15.6 | i — | ||||||||||||
Proceeds from maturities of short-term investments | i 154.3 | i 185.9 | ||||||||||||
Payments for purchases of short-term investments | ( i 142.7) | ( i 157.9) | ||||||||||||
Increase in certain other assets | ( i 7.8) | ( i 17.4) | ||||||||||||
Net cash provided (used) by investing activities | ( i 40.7) | i 10.2 | ||||||||||||
Cash flow from financing activities | ||||||||||||||
Debt issuance costs | ( i 26.4) | ( i 12.5) | ||||||||||||
Debt prepayment costs | ( i 67.2) | i — | ||||||||||||
Revolving credit facility borrowings (repayments), net | i 192.1 | ( i 125.0) | ||||||||||||
Other debt borrowings | i 1,107.8 | i 395.3 | ||||||||||||
Other debt repayments | ( i 1,039.5) | ( i 342.9) | ||||||||||||
Distributions to noncontrolling interest holders | i — | ( i 98.1) | ||||||||||||
Other | ( i 6.0) | ( i 1.7) | ||||||||||||
Net cash provided (used) by financing activities | i 160.8 | ( i 184.9) | ||||||||||||
Effect of exchange rate changes on cash and cash equivalents | ( i 7.7) | ( i 7.2) | ||||||||||||
Change in cash, cash equivalents and restricted cash | ( i 97.0) | ( i 174.5) | ||||||||||||
Add: Cash included in assets held for sale at beginning of period | i 97.2 | i 7.3 | ||||||||||||
Less: Cash included in assets held for sale at end of period | i 3.8 | i 38.9 | ||||||||||||
Cash, cash equivalents and restricted cash at the beginning of the period | i 280.9 | i 458.4 | ||||||||||||
Cash, cash equivalents and restricted cash at the end of the period | $ | i 277.3 | $ | i 252.3 |
Standards Adopted | Description | Effective Date | ||||||||||||
ASU 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement | This Accounting Standard Update (ASU) is designed to improve the effectiveness of disclosures by removing, modifying and adding disclosures related to fair value measurements. The adoption of this ASU did not have a significant impact on the Company's condensed consolidated financial statements. | January 1, 2020 | ||||||||||||
ASU 2018-18, Collaborative Arrangements (Topic 808): Clarifying the Interaction between Topic 808 and Topic 606 | The amendments in this ASU provide guidance on whether certain transactions between collaborative arrangement participants should be accounted for under Topic 606. The adoption of this ASU did not have a significant impact on the Company's condensed consolidated financial statements. | January 1, 2020 | ||||||||||||
ASU 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments | The amendments in this ASU replace the incurred loss impairment methodology with the current expected credit loss methodology. This will change the measurement of credit losses on financial instruments and the timing of when such losses are recorded. The adoption of this ASU did not have a significant impact on the Company's condensed consolidated financial statements. | January 1, 2020 | ||||||||||||
ASU 2019-01, Leases (Topic 842): Codification Improvements | This ASU is intended to clarify the Accounting Standard Codification (ASC) more generally and/or to correct unintended application of guidance. The amendments in this ASU include
three Issues: Determining the fair value of the underlying asset by lessors that are not manufacturers or dealers (Issue 1) Presentation on the statement of cash flows—sales-type and direct financing leases (Issue 2) and Transition disclosures related to Topic 250, Accounting Changes and Error Corrections (Issue 3). The adoption of this ASU did not have a significant impact on the Company’s condensed consolidated financial statements. | January 1, 2020 | ||||||||||||
ASU 2019-04, Codification Improvements to Topic 326, Financial Instruments-Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments | This ASU is designed to clarify, correct, and improve various aspects of the guidance in the following ASUs related to financial instruments: ASU 2016-01 - Financial Instruments - Overall (Subtopic 825-10) Recognition and Measurement of Financial Assets and Liabilities; ASU 2016-13 - Financial Instruments - Credit Losses (Topic 326) Measurement of Credit Losses on Financial Instruments; and ASU 2017-12 - Derivatives and Hedging (Topic 815): Targeted Improvements for Hedging Activities. The adoption of this ASU did not have a significant impact on the Company's condensed consolidated financial statements. | January 1, 2020 |
Securities
and Exchange Commission (SEC) Release # 33-10762, Financial Disclosures about Guarantors and Issuers of Guaranteed Securities and Affiliates Whose Securities Collateralize a Registrant’s Securities | On March 2, 2020, the SEC issued a final rule that amended the disclosure requirements related to certain registered securities under SEC Regulation S-X, Rule 3-10, which required separate financial statements for subsidiary issuers and guarantors of registered debt securities unless certain exceptions are met. The final rule replaces the previous requirement under Rule 3-10 to provide condensed consolidating financial information in the registrant’s financial statements with a requirement to provide alternative financial disclosures. As a result, we have excluded the footnote disclosures required under the previous Rule 3-10, and applied the final rule by including the summarized financial information and qualitative disclosures in Part I - Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations of this Quarterly Report on Form 10-Q and Exhibit 22.1, filed herewith. | January 4, 2021 (early adopted for the period ended September 30, 2020) |
September 30, 2020 | September 30, 2019 | ||||||||||
Weighted-average remaining lease terms (in years) | |||||||||||
Operating leases | i 4.2 | i 4.8 | |||||||||
Finance leases | i 3.8 | i 2.4 | |||||||||
Weighted-average discount rate | |||||||||||
Operating leases | i 11.5 | % | i 12.2 | % | |||||||
Finance leases | i 10.9 | % | i 24.1 | % |
Three Months Ended | Nine Months Ended | ||||||||||||||||||||||
September 30, | September 30, | ||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||
Lease expense | |||||||||||||||||||||||
Operating lease expense | $ | i 24.6 | $ | i 23.2 | $ | i 71.9 | $ | i 65.3 | |||||||||||||||
Finance lease expense | |||||||||||||||||||||||
Amortization of ROU lease assets | $ | i 0.4 | $ | i 0.1 | $ | i 1.1 | $ | i 0.4 | |||||||||||||||
Interest on lease liabilities | $ | i 0.1 | $ | i 0.1 | $ | i 0.4 | $ | i 0.3 | |||||||||||||||
Variable lease expense | $ | i 1.9 | $ | i 3.2 | $ | i 6.5 | $ | i 11.4 | |||||||||||||||
Operating | Finance | ||||||||||
2020 (excluding the nine months ended September 30, 2020) | $ | i 25.5 | $ | i 0.6 | |||||||
2021 | i 55.1 | i 2.0 | |||||||||
2022 | i 34.6 | i 1.3 | |||||||||
2023 | i 21.4 | i 0.6 | |||||||||
2024 | i 15.3 | i 0.5 | |||||||||
Thereafter | i 25.1 | i 0.8 | |||||||||
Total | i 177.0 | i 5.8 | |||||||||
Less: Present value discount | ( i 35.7) | ( i 0.9) | |||||||||
Lease liability | $ | i 141.3 | $ | i 4.9 |
Three Months Ended | Nine Months Ended | ||||||||||||||||||||||
September 30, | September 30, | ||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | ||||||||||||||||||||
Cash paid for amounts included in the measurement of lease liabilities | |||||||||||||||||||||||
Operating - operating cash flows | $ | i 28.3 | $ | i 22.3 | $ | i 72.3 | $ | i 63.6 | |||||||||||||||
Finance - financing cash flows | $ | i 0.4 | $ | i 0.1 | $ | i 1.2 | $ | i 0.3 | |||||||||||||||
Finance - operating cash flows | $ | i 0.2 | $ | i 0.2 | $ | i 0.6 | $ | i 0.4 | |||||||||||||||
ROU lease assets obtained in the exchange for lease liabilities | |||||||||||||||||||||||
Operating leases | $ | i 9.9 | $ | i 8.5 | $ | i 17.6 | $ | i 49.3 | |||||||||||||||
Finance leases | $ | i 0.1 | $ | i 0.2 | $ | i 4.0 | $ | i 2.3 |
September 30, 2020 | December 31, 2019 | ||||||||||
Assets | |||||||||||
Operating | $ | i 139.6 | $ | i 167.5 | |||||||
Finance | i 5.1 | i 2.4 | |||||||||
Total leased assets | $ | i 144.7 | $ | i 169.9 | |||||||
Current liabilities | |||||||||||
Operating | $ | i 52.2 | $ | i 62.8 | |||||||
Finance | i 1.7 | i 0.9 | |||||||||
Noncurrent liabilities | |||||||||||
Operating | i 89.1 | i 106.4 | |||||||||
Finance | i 3.2 | i 1.4 | |||||||||
Total lease liabilities | $ | i 146.2 | $ | i 171.5 |
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||||||||||||
Numerator | ||||||||||||||||||||||||||
Income (loss) used in basic and diluted loss per share | ||||||||||||||||||||||||||
Net loss | $ | ( i 100.9) | $ | ( i 34.8) | $ | ( i 217.4) | $ | ( i 222.0) | ||||||||||||||||||
Net (income) loss attributable to noncontrolling interests | i 0.5 | i 0.9 | i 0.5 | ( i 3.3) | ||||||||||||||||||||||
Net loss attributable to Diebold Nixdorf, Incorporated | $ | ( i 101.4) | $ | ( i 35.7) | $ | ( i 217.9) | $ | ( i 218.7) | ||||||||||||||||||
Denominator | ||||||||||||||||||||||||||
Weighted-average
number of common shares used in basic and diluted loss per share (1) | i 77.7 | i 76.8 | i 77.5 | i 76.6 | ||||||||||||||||||||||
Net loss attributable to Diebold Nixdorf, Incorporated | ||||||||||||||||||||||||||
Basic and diluted loss per share | $ | ( i 1.31) | $ | ( i 0.46) | $ | ( i 2.81) | $ | ( i 2.86) | ||||||||||||||||||
Anti-dilutive shares | ||||||||||||||||||||||||||
Anti-dilutive shares not used in calculating diluted weighted-average shares | i 2.3 | i 2.7 | i 2.6 | i 3.4 |
Number
of Shares | Weighted-Average Exercise Price | Weighted- Average Remaining Contractual Term | Aggregate Intrinsic Value (1) | |||||||||||||||||||||||
(per share) | (in years) | |||||||||||||||||||||||||
Outstanding at January 1, 2020 | i 2.4 | $ | i 14.89 | |||||||||||||||||||||||
Expired or forfeited | ( i 0.1) | $ | i 31.74 | |||||||||||||||||||||||
Granted | i 0.4 | $ | i 12.54 | |||||||||||||||||||||||
Outstanding at September 30, 2020 | i 2.7 | $ | i 14.30 | i 8 | $ | i 2.5 | ||||||||||||||||||||
Options exercisable September 30, 2020 | i 1.4 | $ | i 19.66 | i 7 | $ | i 1.2 | ||||||||||||||||||||
i 2.7 | $ | i 14.30 | i 8 | $ | i 2.5 |
Number of Shares | Weighted-Average Grant-Date Fair Value | |||||||||||||
RSUs: | ||||||||||||||
Non-vested at January 1, 2020 | i 2.2 | $ | i 9.99 | |||||||||||
Forfeited | ( i 0.1) | $ | i 13.11 | |||||||||||
Vested | ( i 1.0) | $ | i 12.60 | |||||||||||
Granted | i 0.9 | $ | i 10.64 | |||||||||||
Non-vested at September 30, 2020 | i 2.0 | $ | i 8.84 | |||||||||||
Performance Shares: | ||||||||||||||
Non-vested at January 1, 2020 | i 2.4 | $ | i 26.44 | |||||||||||
Forfeited | ( i 0.8) | $ | i 34.49 | |||||||||||
Vested | ( i 0.3) | $ | i 26.60 | |||||||||||
Non-vested at September 30, 2020 | i 1.3 | $ | i 21.73 | |||||||||||
September 30, 2020 | December 31, 2019 | |||||||||||||
Finished goods | $ | i 233.2 | $ | i 157.4 | ||||||||||
Service parts | i 167.6 | i 175.4 | ||||||||||||
Raw materials and work in process | i 141.8 | i 133.7 | ||||||||||||
Total inventories | $ | i 542.6 | $ | i 466.5 |
Cost Basis | Unrealized Gain / (Loss) | Fair Value | ||||||||||||||||||
As of September 30, 2020 | ||||||||||||||||||||
Short-term investments | ||||||||||||||||||||
Certificates of deposit | $ | i 6.8 | $ | i — | $ | i 6.8 | ||||||||||||||
Long-term investments | ||||||||||||||||||||
Assets held in a rabbi trust | $ | i 5.1 | $ | i 0.9 | $ | 6.0 | ||||||||||||||
As of December 31, 2019 | ||||||||||||||||||||
Short-term investments | ||||||||||||||||||||
Certificates of deposit | $ | i 10.0 | $ | i — | $ | i 10.0 | ||||||||||||||
Long-term investments | ||||||||||||||||||||
Assets held in a rabbi trust | $ | i 5.5 | $ | i 0.7 | $ | 6.2 |
September 30, 2020 | December 31, 2019 | ||||||||||
Gross minimum lease receivables | $ | i 40.1 | $ | i 41.8 | |||||||
Allowance for credit losses | ( i 0.3) | ( i 0.3) | |||||||||
Estimated unguaranteed residual values | i 0.2 | i 0.2 | |||||||||
i 40.0 | i 41.7 | ||||||||||
Less: | |||||||||||
Unearned interest income | ( i 1.5) | ( i 2.8) | |||||||||
Total | $ | i 38.5 | $ | i 38.9 |
2020 | i 11.9 | ||||
2021 | i 8.2 | ||||
2022 | i 7.2 | ||||
2023 | i 5.3 | ||||
2024 | i 4.6 | ||||
Thereafter | i 2.9 | ||||
$ | i 40.1 |
Eurasia Banking | Americas Banking | Retail | Total | ||||||||||||||||||||
Goodwill | $ | i 598.6 | $ | i 437.3 | $ | i 233.2 | $ | i 1,269.1 | |||||||||||||||
Accumulated impairment | ( i 291.7) | ( i 122.0) | ( i 57.2) | ( i 470.9) | |||||||||||||||||||
Balance at January 1, 2019 | $ | i 306.9 | $ | i 315.3 | $ | i 176.0 | $ | i 798.2 | |||||||||||||||
Transferred to assets held for sale | ( i 11.7) | i — | i — | ( i 11.7) | |||||||||||||||||||
Divestitures | ( i 0.4) | i — | ( i 3.9) | ( i 4.3) | |||||||||||||||||||
Currency translation adjustment | ( i 7.3) | ( i 6.0) | ( i 4.9) | ( i 18.2) | |||||||||||||||||||
Goodwill | $ | i 579.2 | $ | i 431.3 | $ | i 224.4 | $ | i 1,234.9 | |||||||||||||||
Accumulated impairment | ( i 291.7) | ( i 122.0) | ( i 57.2) | ( i 470.9) | |||||||||||||||||||
Balance at December 31, 2019 | $ | i 287.5 | $ | i 309.3 | $ | i 167.2 | $ | i 764.0 | |||||||||||||||
Transferred to assets held for sale | ( i 6.4) | ( i 2.4) | i — | ( i 8.8) | |||||||||||||||||||
Currency translation adjustment | i 7.3 | i 6.1 | i 5.1 | i 18.5 | |||||||||||||||||||
Goodwill | $ | i 580.1 | $ | i 435.0 | $ | i 229.5 | $ | i 1,244.6 | |||||||||||||||
Accumulated impairment | ( i 291.7) | ( i 122.0) | ( i 57.2) | ( i 470.9) | |||||||||||||||||||
Balance at September 30, 2020 | $ | i 288.4 | $ | i 313.0 | $ | i 172.3 | $ | i 773.7 |
September 30, 2020 | December 31, 2019 | |||||||||||||||||||||||||||||||||||||
Weighted-average remaining useful lives | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | Gross Carrying Amount | Accumulated Amortization | Net Carrying Amount | ||||||||||||||||||||||||||||||||
Customer relationships, net | i 5.4 years | $ | i 727.0 | $ | ( i 318.5) | $ | i 408.5 | $ | i 698.7 | $ | ( i 251.0) | $ | i 447.7 | |||||||||||||||||||||||||
Internally-developed software | i 1.3 years | i 192.4 | ( i 155.3) | i 37.1 | i 178.2 | ( i 132.2) | i 46.0 | |||||||||||||||||||||||||||||||
Development costs non-software | i 0.6 years | i 53.5 | ( i 53.2) | i 0.3 | i 51.5 | ( i 47.5) | i 4.0 | |||||||||||||||||||||||||||||||
Other intangibles | i 2.3 years | i 77.2 | ( i 73.6) | i 3.6 | i 79.3 | ( i 74.7) | i 4.6 | |||||||||||||||||||||||||||||||
Other intangible assets, net | i 323.1 | ( i 282.1) | i 41.0 | i 309.0 | ( i 254.4) | i 54.6 | ||||||||||||||||||||||||||||||||
Total | $ | i 1,050.1 | $ | ( i 600.6) | $ | i 449.5 | $ | i 1,007.7 | $ | ( i 505.4) | $ | i 502.3 |
September 30, 2020 | September 30, 2019 | |||||||||||||
Balance at January 1 | $ | i 36.9 | $ | i 40.1 | ||||||||||
Current period accruals | i 12.5 | i 10.5 | ||||||||||||
Current period settlements | ( i 14.8) | ( i 10.7) | ||||||||||||
Currency translation adjustment | ( i 1.4) | ( i 3.9) | ||||||||||||
Balance at September 30 | $ | i 33.2 | $ | i 36.0 |
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||||||||||||
Cost of sales – services | $ | i 0.8 | $ | i 2.0 | $ | i 3.2 | $ | i 6.1 | ||||||||||||||||||
Cost of sales – products | i 2.6 | i 0.1 | i 2.6 | i 0.1 | ||||||||||||||||||||||
Selling and administrative expense | i 10.0 | i 6.4 | i 26.5 | i 13.4 | ||||||||||||||||||||||
Research, development and engineering expense | i 0.4 | i 0.1 | i 3.0 | i 0.1 | ||||||||||||||||||||||
Loss on sale of assets, net | i — | i — | i — | i 0.1 | ||||||||||||||||||||||
Total | $ | i 13.8 | $ | i 8.6 | $ | i 35.3 | $ | i 19.8 |
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||||||||||||
Severance | ||||||||||||||||||||||||||
Eurasia Banking | $ | i 8.6 | $ | i 1.3 | $ | i 16.7 | $ | i 4.1 | ||||||||||||||||||
Americas Banking | i 0.7 | i 0.6 | i 1.8 | i 1.2 | ||||||||||||||||||||||
Retail | i 2.0 | i 0.9 | i 10.8 | i 4.5 | ||||||||||||||||||||||
Corporate | i 2.5 | i 5.8 | i 6.0 | i 9.9 | ||||||||||||||||||||||
Total severance | $ | i 13.8 | $ | i 8.6 | $ | i 35.3 | $ | i 19.7 | ||||||||||||||||||
Other - Americas Banking | i — | i — | i — | i 0.1 | ||||||||||||||||||||||
Total | $ | i 13.8 | $ | i 8.6 | $ | i 35.3 | $ | i 19.8 |
DN Now | |||||||||||||||||
Severance | Other | Total | |||||||||||||||
Eurasia Banking | $ | i 63.5 | $ | i — | $ | i 63.5 | |||||||||||
Americas Banking | i 12.2 | i 0.1 | i 12.3 | ||||||||||||||
Retail | i 33.0 | i — | i 33.0 | ||||||||||||||
Corporate | i 35.6 | i — | i 35.6 | ||||||||||||||
Total | $ | i 144.3 | $ | i 0.1 | $ | i 144.4 |
2020 | 2019 | |||||||||||||
Balance at January 1 | $ | i 42.6 | $ | i 56.9 | ||||||||||
Liabilities incurred | i 35.3 | i 19.8 | ||||||||||||
Liabilities paid/settled | ( i 42.8) | ( i 49.2) | ||||||||||||
Balance at September 30 | $ | i 35.1 | $ | i 27.5 |
September 30, 2020 | December 31, 2019 | |||||||||||||
Notes payable | ||||||||||||||
Uncommitted lines of credit | $ | i 7.0 | $ | i 5.0 | ||||||||||
Term Loan A-1 Facility | i — | i 16.3 | ||||||||||||
Term Loan B Facility - USD | i 4.8 | i 4.8 | ||||||||||||
Term Loan B Facility - Euro | i 4.9 | i 4.7 | ||||||||||||
Other | i 1.6 | i 1.7 | ||||||||||||
$ | i 18.3 | $ | i 32.5 | |||||||||||
Long-term debt | ||||||||||||||
Revolving Facility | $ | i 192.1 | $ | i — | ||||||||||
2022 Term Loan A Facility | i — | i 370.3 | ||||||||||||
Term Loan A-1 Facility | i — | i 602.6 | ||||||||||||
Term Loan B Facility - USD | i 386.9 | i 404.0 | ||||||||||||
Term Loan B Facility - Euro | i 394.4 | i 395.1 | ||||||||||||
2024 Senior Notes | i 400.0 | i 400.0 | ||||||||||||
2025 Senior Secured Notes - USD | i 700.0 | i — | ||||||||||||
2025 Senior Secured Notes - EUR | i 409.8 | i — | ||||||||||||
Other | i 3.4 | i 1.3 | ||||||||||||
i 2,486.6 | i 2,173.3 | |||||||||||||
Long-term deferred financing fees | ( i 58.7) | ( i 64.6) | ||||||||||||
$ | i 2,427.9 | $ | i 2,108.7 |
Nine Months Ended | ||||||||||||||
September 30, | ||||||||||||||
2020 | 2019 | |||||||||||||
Revolving credit facility borrowings | $ | i 653.1 | $ | i 703.4 | ||||||||||
Revolving credit facility repayments | $ | ( i 461.0) | $ | ( i 828.4) | ||||||||||
Other debt borrowings | ||||||||||||||
Proceeds from 2025 Senior Secured Notes - USD | $ | i 693.2 | $ | i — | ||||||||||
Proceeds from 2025 Senior Secured Notes - EUR | i 394.6 | i — | ||||||||||||
Proceeds from 2022 Term Loan A Facility under the Credit Agreement | i — | i 374.3 | ||||||||||||
International short-term uncommitted lines of credit borrowings | i 20.0 | i 21.0 | ||||||||||||
$ | i 1,107.8 | $ | i 395.3 | |||||||||||
Other debt repayments | ||||||||||||||
Payments on Term Loan A Facility under the Credit Agreement | $ | i — | $ | ( i 126.3) | ||||||||||
Payments on 2022 and Delayed Draw Term Loan A Facility under the Credit Agreement | ( i 370.3) | ( i 160.5) | ||||||||||||
Payments Term Loan A-1 Facility under the Credit Agreement | ( i 618.9) | ( i 12.2) | ||||||||||||
Payments on Term Loan B Facility - USD under the Credit Agreement | ( i 17.1) | ( i 3.6) | ||||||||||||
Payments on Term Loan B Facility - Euro under the Credit Agreement | ( i 16.4) | ( i 3.5) | ||||||||||||
International short-term uncommitted lines of credit and other repayments | ( i 16.8) | ( i 36.8) | ||||||||||||
$ | ( i 1,039.5) | $ | ( i 342.9) |
Financing and Replacement Facilities | Interest Rate Index and Margin | Maturity/Termination Dates | Initial Term (Years) | ||||||||||||||||||||
Credit Agreement facilities | |||||||||||||||||||||||
2022
Revolving Facility(i) | i LIBOR + 4.25% | April 2022 | i 3.2 | ||||||||||||||||||||
2023
Revolving Facility(ii) | i LIBOR + 4.25% | July 2023 | i 3.0 | ||||||||||||||||||||
Term
Loan B Facility - USD(i) | i LIBOR + 2.75% | November 2023 | i 7.5 | ||||||||||||||||||||
Term
Loan B Facility - Euro(iii) | i EURIBOR + 3.00% | November 2023 | i 7.5 | ||||||||||||||||||||
2024 Senior Notes | i 8.5% | April 2024 | i 8 | ||||||||||||||||||||
2025 Senior Secured Notes - USD | i 9.375% | July 2025 | i 5 | ||||||||||||||||||||
2025 Senior Secured Notes - EUR | i 9.0% | July 2025 | i 5 |
2020 | 2019 | |||||||||||||
Balance at January 1 | $ | i 20.9 | $ | i 130.4 | ||||||||||
Other comprehensive income | i — | ( i 1.7) | ||||||||||||
Redemption value adjustment | ( i 1.0) | ( i 18.6) | ||||||||||||
Redemption of shares | i — | ( i 88.6) | ||||||||||||
Balance at September 30 | $ | i 19.9 | $ | i 21.5 |
Accumulated Other Comprehensive Income (Loss) | Total Diebold Nixdorf, Incorporated Shareholders' Equity | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Common Shares | Additional Capital | Accumulated Deficit | Treasury Shares | Non-controlling Interests | Total
Equity | ||||||||||||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2019 | $ | i 115.3 | $ | i 773.9 | $ | ( i 472.3) | $ | ( i 571.9) | $ | ( i 375.3) | $ | ( i 530.3) | $ | i 24.0 | $ | ( i 506.3) | |||||||||||||||||||||||||||||||||||||
Net
loss | — | — | ( i 92.8) | — | — | ( i 92.8) | ( i 0.6) | $ | ( i 93.4) | ||||||||||||||||||||||||||||||||||||||||||||
Other
comprehensive loss | — | — | — | — | ( i 104.2) | ( i 104.2) | ( i 1.3) | $ | ( i 105.5) | ||||||||||||||||||||||||||||||||||||||||||||
Share-based
compensation issued | i 1.4 | ( i 1.4) | — | — | — | — | — | $ | i — | ||||||||||||||||||||||||||||||||||||||||||||
Share-based
compensation expense | — | i 4.0 | — | — | — | i 4.0 | — | $ | i 4.0 | ||||||||||||||||||||||||||||||||||||||||||||
Treasury
shares | — | — | — | ( i 4.6) | — | ( i 4.6) | — | $ | ( i 4.6) | ||||||||||||||||||||||||||||||||||||||||||||
Reclassification
of guaranteed dividend to accrued liabilities | — | — | — | — | — | — | — | $ | i — | ||||||||||||||||||||||||||||||||||||||||||||
Reclassifications
of redeemable noncontrolling interest | — | — | — | — | — | — | — | $ | i — | ||||||||||||||||||||||||||||||||||||||||||||
Divestitures,
net | — | — | — | — | — | — | ( i 4.8) | $ | ( i 4.8) | ||||||||||||||||||||||||||||||||||||||||||||
Balance,
March 31, 2020 | $ | i 116.7 | $ | i 776.5 | $ | ( i 565.1) | $ | ( i 576.5) | $ | ( i 479.5) | ( i 727.9) | $ | i 17.3 | $ | ( i 710.6) | ||||||||||||||||||||||||||||||||||||||
Net
loss | — | — | ( i 23.7) | — | — | ( i 23.7) | i 0.6 | $ | ( i 23.1) | ||||||||||||||||||||||||||||||||||||||||||||
Other
comprehensive loss | — | — | — | — | i 45.1 | i 45.1 | i — | $ | i 45.1 | ||||||||||||||||||||||||||||||||||||||||||||
Share-based
compensation issued | i 0.2 | ( i 0.2) | — | — | — | — | — | $ | i — | ||||||||||||||||||||||||||||||||||||||||||||
Share-based
compensation expense | — | i 3.6 | — | — | — | i 3.6 | — | $ | i 3.6 | ||||||||||||||||||||||||||||||||||||||||||||
Treasury
shares | — | — | — | ( i 0.1) | — | ( i 0.1) | — | $ | ( i 0.1) | ||||||||||||||||||||||||||||||||||||||||||||
Reclassification
of guaranteed dividend to accrued liabilities | — | — | — | — | — | — | — | $ | i — | ||||||||||||||||||||||||||||||||||||||||||||
Reclassifications
of redeemable noncontrolling interest | — | — | — | — | — | — | — | $ | i — | ||||||||||||||||||||||||||||||||||||||||||||
Divestitures, net | — | — | — | — | — | — | ( i 23.4) | $ | ( i 23.4) | ||||||||||||||||||||||||||||||||||||||||||||
Balance,
June 30, 2020 | $ | i 116.9 | $ | i 779.9 | $ | ( i 588.8) | $ | ( i 576.6) | $ | ( i 434.4) | ( i 703.0) | $ | ( i 5.5) | $ | ( i 708.5) | ||||||||||||||||||||||||||||||||||||||
Net loss | — | — | ( i 101.4) | — | — | ( i 101.4) | i 0.5 | $ | ( i 100.9) | ||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive loss | — | — | — | — | ( i 5.6) | ( i 5.6) | ( i 0.1) | $ | ( i 5.7) | ||||||||||||||||||||||||||||||||||||||||||||
Share-based compensation issued | i — | ( i 0.1) | — | — | — | ( i 0.1) | — | $ | ( i 0.1) | ||||||||||||||||||||||||||||||||||||||||||||
Share-based compensation expense | — | i 3.5 | — | — | — | i 3.5 | — | $ | i 3.5 | ||||||||||||||||||||||||||||||||||||||||||||
Treasury shares | — | — | — | i — | — | i — | — | $ | i — | ||||||||||||||||||||||||||||||||||||||||||||
Reclassification of guaranteed dividend to accrued liabilities | — | — | — | — | — | — | — | $ | i — | ||||||||||||||||||||||||||||||||||||||||||||
Reclassifications of redeemable noncontrolling interest | — | — | — | — | — | — | — | $ | i — | ||||||||||||||||||||||||||||||||||||||||||||
Divestitures, net | — | — | — | — | — | — | i — | $ | i — | ||||||||||||||||||||||||||||||||||||||||||||
Balance,
September 30, 2020 | i 116.9 | i 783.3 | ( i 690.2) | ( i 576.6) | ( i 440.0) | ( i 806.6) | ( i 5.1) | ( i 811.7) |
Accumulated Other Comprehensive Income (Loss) | Total Diebold Nixdorf, Incorporated Shareholders' Equity | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Common Shares | Additional Capital | Accumulated Deficit | Treasury Shares | Non-controlling Interests | Total
Equity | ||||||||||||||||||||||||||||||||||||||||||||||||
Balance, December 31, 2018 | $ | i 114.2 | $ | i 741.8 | $ | ( i 131.0) | $ | ( i 570.4) | $ | ( i 304.3) | $ | ( i 149.7) | $ | i 26.8 | $ | ( i 122.9) | |||||||||||||||||||||||||||||||||||||
Net
income (loss) | — | — | ( i 132.7) | — | — | ( i 132.7) | i 0.8 | ( i 131.9) | |||||||||||||||||||||||||||||||||||||||||||||
Other
comprehensive loss | — | — | — | — | ( i 1.9) | ( i 1.9) | i 2.7 | i 0.8 | |||||||||||||||||||||||||||||||||||||||||||||
Share-based
compensation issued | i 0.7 | ( i 0.7) | — | — | — | i — | — | i — | |||||||||||||||||||||||||||||||||||||||||||||
Share-based
compensation expense | — | i 9.3 | — | — | — | i 9.3 | — | i 9.3 | |||||||||||||||||||||||||||||||||||||||||||||
Treasury
shares | — | — | — | ( i 1.1) | — | ( i 1.1) | — | ( i 1.1) | |||||||||||||||||||||||||||||||||||||||||||||
Reclassification
of guaranteed dividend to accrued liabilities | — | — | — | — | — | i — | ( i 0.6) | ( i 0.6) | |||||||||||||||||||||||||||||||||||||||||||||
Reclassifications
of redeemable noncontrolling interest | — | i 10.6 | — | — | — | i 10.6 | i — | i 10.6 | |||||||||||||||||||||||||||||||||||||||||||||
Divestitures,
net | — | — | — | — | — | i — | ( i 3.0) | ( i 3.0) | |||||||||||||||||||||||||||||||||||||||||||||
Balance,
March 31, 2019 | $ | i 114.9 | $ | i 761.0 | $ | ( i 263.7) | $ | ( i 571.5) | $ | ( i 306.2) | $ | ( i 265.5) | $ | i 26.7 | $ | ( i 238.8) | |||||||||||||||||||||||||||||||||||||
Net
income (loss) | — | — | ( i 50.3) | — | — | ( i 50.3) | ( i 5.0) | ( i 55.3) | |||||||||||||||||||||||||||||||||||||||||||||
Other
comprehensive loss | — | — | — | — | i 18.6 | i 18.6 | ( i 2.5) | i 16.1 | |||||||||||||||||||||||||||||||||||||||||||||
Share-based
compensation issued | i 0.3 | ( i 0.3) | — | — | — | i — | — | i — | |||||||||||||||||||||||||||||||||||||||||||||
Share-based
compensation expense | — | i 4.8 | — | — | — | i 4.8 | — | i 4.8 | |||||||||||||||||||||||||||||||||||||||||||||
Treasury
shares | — | — | — | ( i 0.3) | — | ( i 0.3) | — | ( i 0.3) | |||||||||||||||||||||||||||||||||||||||||||||
Reclassification
of guaranteed dividend to accrued liabilities | — | — | — | — | — | i — | i 5.6 | i 5.6 | |||||||||||||||||||||||||||||||||||||||||||||
Reclassifications
of redeemable noncontrolling interest | — | ( i 0.2) | — | — | — | ( i 0.2) | i — | ( i 0.2) | |||||||||||||||||||||||||||||||||||||||||||||
Divestitures,
net | — | — | — | — | — | i — | i — | i — | |||||||||||||||||||||||||||||||||||||||||||||
Balance,
June 30, 2019 | $ | i 115.2 | $ | i 765.3 | $ | ( i 314.0) | $ | ( i 571.8) | $ | ( i 287.6) | $ | ( i 292.9) | $ | i 24.8 | $ | ( i 268.1) | |||||||||||||||||||||||||||||||||||||
Net
income (loss) | — | — | ( i 35.7) | — | — | ( i 35.7) | i 0.9 | ( i 34.8) | |||||||||||||||||||||||||||||||||||||||||||||
Other
comprehensive loss | — | — | — | — | ( i 90.9) | ( i 90.9) | ( i 1.0) | ( i 91.9) | |||||||||||||||||||||||||||||||||||||||||||||
Share-based
compensation issued | i — | i — | — | — | — | i — | — | i — | |||||||||||||||||||||||||||||||||||||||||||||
Share-based
compensation expense | — | i 5.3 | — | — | — | i 5.3 | — | i 5.3 | |||||||||||||||||||||||||||||||||||||||||||||
Treasury
shares | — | — | — | i — | — | i — | — | i — | |||||||||||||||||||||||||||||||||||||||||||||
Reclassification
of guaranteed dividend to accrued liabilities | — | — | — | — | — | i — | i — | i — | |||||||||||||||||||||||||||||||||||||||||||||
Reclassifications
of redeemable noncontrolling interest | — | i 0.2 | — | — | — | i 0.2 | i — | i 0.2 | |||||||||||||||||||||||||||||||||||||||||||||
Divestitures,
net | — | — | — | — | — | i — | i — | i — | |||||||||||||||||||||||||||||||||||||||||||||
Balance,
September 30, 2019 | $ | i 115.2 | $ | i 770.8 | $ | ( i 349.7) | $ | ( i 571.8) | $ | ( i 378.5) | $ | ( i 414.0) | $ | i 24.7 | $ | ( i 389.3) |
Translation | Foreign Currency Hedges | Interest Rate Hedges | Pension and Other Post-retirement Benefits | Other | Accumulated Other Comprehensive Income (Loss) | |||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2020 | $ | ( i 284.3) | $ | ( i 0.4) | $ | ( i 11.6) | $ | ( i 137.5) | $ | ( i 0.6) | $ | ( i 434.4) | ||||||||||||||||||||||||||||||||
Other
comprehensive income (loss) before reclassifications (1) | ( i 9.9) | ( i 0.4) | i 3.0 | i — | i — | ( i 7.3) | ||||||||||||||||||||||||||||||||||||||
Amounts reclassified from AOCI | i — | i — | ( i 0.4) | i 2.1 | i — | i 1.7 | ||||||||||||||||||||||||||||||||||||||
Net current-period other comprehensive income (loss) | ( i 9.9) | ( i 0.4) | i 2.6 | i 2.1 | i — | ( i 5.6) | ||||||||||||||||||||||||||||||||||||||
Balance at September 30, 2020 | $ | ( i 294.2) | $ | ( i 0.8) | $ | ( i 9.0) | $ | ( i 135.4) | $ | ( i 0.6) | $ | ( i 440.0) |
Translation | Foreign Currency Hedges | Interest Rate Hedges | Pension and Other Post-retirement Benefits | Other | Accumulated Other Comprehensive Income (Loss) | |||||||||||||||||||||||||||||||||||||||
Balance at June 30, 2019 | $ | ( i 174.7) | $ | ( i 1.8) | $ | i 5.9 | $ | ( i 117.2) | $ | i 0.2 | $ | ( i 287.6) | ||||||||||||||||||||||||||||||||
Other
comprehensive income (loss) before reclassifications (1) | ( i 90.7) | ( i 0.2) | ( i 3.0) | i — | i — | ( i 93.9) | ||||||||||||||||||||||||||||||||||||||
Amounts reclassified from AOCI | i — | i — | i 0.8 | i 2.2 | i — | i 3.0 | ||||||||||||||||||||||||||||||||||||||
Net current-period other comprehensive income (loss) | ( i 90.7) | ( i 0.2) | ( i 2.2) | i 2.2 | i — | ( i 90.9) | ||||||||||||||||||||||||||||||||||||||
Balance at September 30, 2019 | $ | ( i 265.4) | $ | ( i 2.0) | $ | i 3.7 | $ | ( i 115.0) | $ | i 0.2 | $ | ( i 378.5) |
Translation | Foreign Currency Hedges | Interest Rate Hedges | Pension and Other Post-retirement Benefits | Other | Accumulated Other Comprehensive Income (Loss) | |||||||||||||||||||||||||||||||||||||||
Balance at January 1, 2020 | $ | ( i 231.5) | $ | ( i 2.6) | $ | i 5.2 | $ | ( i 146.6) | $ | i 0.2 | $ | ( i 375.3) | ||||||||||||||||||||||||||||||||
Other
comprehensive income (loss) before reclassifications (1) | ( i 62.7) | i 1.8 | ( i 19.1) | i — | ( i 0.8) | ( i 80.8) | ||||||||||||||||||||||||||||||||||||||
Amounts reclassified from AOCI | i — | i — | i 4.9 | i 11.2 | i — | i 16.1 | ||||||||||||||||||||||||||||||||||||||
Net current-period other comprehensive income (loss) | ( i 62.7) | i 1.8 | ( i 14.2) | i 11.2 | ( i 0.8) | ( i 64.7) | ||||||||||||||||||||||||||||||||||||||
Balance at September 30, 2020 | $ | ( i 294.2) | $ | ( i 0.8) | $ | ( i 9.0) | $ | ( i 135.4) | $ | ( i 0.6) | $ | ( i 440.0) |
Translation | Foreign Currency Hedges | Interest Rate Hedges | Pension and Other Post-retirement Benefits | Other | Accumulated Other Comprehensive Income (Loss) | |||||||||||||||||||||||||||||||||||||||
Balance at January 1, 2019 | $ | ( i 192.1) | $ | ( i 1.9) | $ | i 10.6 | $ | ( i 121.0) | $ | i 0.1 | $ | ( i 304.3) | ||||||||||||||||||||||||||||||||
Other
comprehensive income (loss) before reclassifications (1) | ( i 73.3) | ( i 0.1) | ( i 8.7) | i — | i 0.1 | ( i 82.0) | ||||||||||||||||||||||||||||||||||||||
Amounts reclassified from AOCI | i — | i — | i 1.8 | i 6.0 | i — | i 7.8 | ||||||||||||||||||||||||||||||||||||||
Net current-period other comprehensive income (loss) | ( i 73.3) | ( i 0.1) | ( i 6.9) | i 6.0 | i 0.1 | ( i 74.2) | ||||||||||||||||||||||||||||||||||||||
Balance at September 30, 2019 | $ | ( i 265.4) | $ | ( i 2.0) | $ | i 3.7 | $ | ( i 115.0) | $ | i 0.2 | $ | ( i 378.5) |
Three Months Ended | Nine Months Ended | Affected Line Item in the Statement of Operations | ||||||||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||||||||||||||||||
Interest rate hedges | $ | ( i 0.4) | $ | i 0.8 | $ | i 4.9 | $ | i 1.8 | Interest expense | |||||||||||||||||||||||
Pension and post-retirement benefits: | ||||||||||||||||||||||||||||||||
Net actuarial gain (loss) amortization (net of tax of $ i 0.6,
$( i 1.9), $ i 2.4
and $( i 1.2), respectively) | i 2.1 | i 2.2 | i 11.2 | i 6.0 | (1) | |||||||||||||||||||||||||||
Total reclassifications for the period | $ | i 1.7 | $ | i 3.0 | $ | i 16.1 | $ | i 7.8 |
Pension Benefits | ||||||||||||||||||||||||||||||||||||||
U.S.Plans | Non-U.S. Plans | Other Benefits | ||||||||||||||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | 2020 | 2019 | |||||||||||||||||||||||||||||||||
Components of net periodic benefit cost | ||||||||||||||||||||||||||||||||||||||
Service cost | $ | i 1.0 | $ | i 0.9 | $ | i 2.5 | $ | i 2.5 | $ | i — | $ | i — | ||||||||||||||||||||||||||
Interest cost | i 4.7 | i 5.5 | i 1.1 | i 1.6 | i — | i 0.2 | ||||||||||||||||||||||||||||||||
Expected return on plan assets | ( i 6.3) | ( i 6.2) | ( i 3.3) | ( i 3.1) | i — | i — | ||||||||||||||||||||||||||||||||
Recognized net actuarial loss | i 1.9 | i 1.3 | ( i 0.2) | ( i 0.4) | i — | i 0.1 | ||||||||||||||||||||||||||||||||
Recognition establishment of Germany benefit obligation | i — | i — | i — | i 6.6 | i — | i — | ||||||||||||||||||||||||||||||||
Other | i — | i — | i 0.1 | i — | i — | i — | ||||||||||||||||||||||||||||||||
Net periodic pension benefit cost | $ | i 1.3 | $ | i 1.5 | $ | i 0.2 | $ | i 7.2 | $ | i — | $ | i 0.3 |
Pension Benefits | ||||||||||||||||||||||||||||||||||||||
U.S.Plans | Non-U.S. Plans | Other Benefits | ||||||||||||||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | 2020 | 2019 | |||||||||||||||||||||||||||||||||
Components of net periodic benefit cost | ||||||||||||||||||||||||||||||||||||||
Service cost | $ | i 2.9 | $ | i 2.7 | $ | i 7.6 | $ | i 7.4 | $ | i — | $ | i — | ||||||||||||||||||||||||||
Interest cost | i 14.2 | i 16.5 | i 3.1 | i 4.9 | i 0.1 | i 0.7 | ||||||||||||||||||||||||||||||||
Expected return on plan assets | ( i 19.1) | ( i 18.6) | ( i 9.8) | ( i 9.4) | i — | i — | ||||||||||||||||||||||||||||||||
Recognized net actuarial loss | i 5.8 | i 3.9 | ( i 0.5) | ( i 1.2) | ( i 0.1) | i 0.3 | ||||||||||||||||||||||||||||||||
Recognition establishment of Germany benefit obligation | i — | i — | i — | i 6.6 | i — | i — | ||||||||||||||||||||||||||||||||
Other | i — | i — | i 0.2 | i — | i — | i — | ||||||||||||||||||||||||||||||||
Net periodic pension benefit cost | $ | i 3.8 | $ | i 4.5 | $ | i 0.6 | $ | i 8.3 | $ | i — | $ | i 1.0 |
Derivative instrument | Classification on condensed consolidated statements of operations | Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||||||||||||||||||
Interest rate swaps and non-designated hedges | Interest expense | $ | ( i 5.3) | $ | ( i 1.0) | $ | ( i 10.2) | $ | ( i 2.5) | |||||||||||||||||||||||
Foreign exchange forward contracts and cash flow hedges | Net sales | i 0.4 | i 0.2 | i 0.9 | ( i 0.3) | |||||||||||||||||||||||||||
Foreign exchange forward contracts and cash flow hedges | Foreign exchange gain (loss), net | ( i 25.0) | i — | ( i 32.2) | i 0.7 | |||||||||||||||||||||||||||
Total | $ | ( i 29.9) | $ | ( i 0.8) | $ | ( i 41.5) | $ | ( i 2.1) |
September 30, 2020 | December 31, 2019 | |||||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements Using | Fair Value Measurements Using | |||||||||||||||||||||||||||||||||||||||||||
Classification on condensed consolidated Balance Sheets | Fair Value | Level 1 | Level 2 | Fair Value | Level 1 | Level 2 | ||||||||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||||||||
Short-term investments | ||||||||||||||||||||||||||||||||||||||||||||
Certificates of deposit | Short-term investments | $ | i 6.8 | $ | i 6.8 | $ | i — | $ | i 10.0 | $ | i 10.0 | $ | i — | |||||||||||||||||||||||||||||||
Assets held in rabbi trusts | Securities and other investments | i 6.0 | i 6.0 | i — | i 6.2 | i 6.2 | i — | |||||||||||||||||||||||||||||||||||||
Foreign exchange forward contracts | Other current assets | i 3.1 | i — | i 3.1 | i 2.9 | i — | i 2.9 | |||||||||||||||||||||||||||||||||||||
Interest rate swaps | Other current assets | i — | i — | i — | i 1.7 | i — | i 1.7 | |||||||||||||||||||||||||||||||||||||
Interest rate swaps | Securities and other investments | i — | i — | i — | i 0.1 | i — | i 0.1 | |||||||||||||||||||||||||||||||||||||
Total | $ | i 15.9 | $ | i 12.8 | $ | i 3.1 | $ | i 20.9 | $ | i 16.2 | $ | i 4.7 | ||||||||||||||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||||||||||||||
Foreign exchange forward contracts | Other current liabilities | $ | i 4.1 | $ | i — | $ | i 4.1 | $ | i 2.9 | $ | i — | $ | i 2.9 | |||||||||||||||||||||||||||||||
Interest rate swaps | Other liabilities | i 6.0 | i — | i 6.0 | i 2.3 | i — | i 2.3 | |||||||||||||||||||||||||||||||||||||
Deferred compensation | Other liabilities | i i 6.0 / | i 6.0 | i — | i 6.2 | i 6.2 | i — | |||||||||||||||||||||||||||||||||||||
Total | $ | i 16.1 | $ | i 6.0 | $ | i 10.1 | $ | i 11.4 | $ | i 6.2 | $ | i 5.2 |
September 30, 2020 | December 31, 2019 | |||||||||||||||||||||||||
Fair Value | Carrying Value | Fair Value | Carrying Value | |||||||||||||||||||||||
2024 Senior Notes | $ | i 363.2 | $ | i 400.0 | $ | i 387.0 | $ | i 400.0 | ||||||||||||||||||
2025 Senior Secured Notes - USD | $ | i 735.9 | $ | i 700.0 | $ | i — | $ | i — | ||||||||||||||||||
2025 Senior Secured Notes - EUR | $ | i 421.4 | $ | i 409.8 | $ | i — | $ | i — |
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||||||||||||
Net sales summary by segment | ||||||||||||||||||||||||||
Eurasia Banking | $ | i 364.2 | $ | i 405.2 | $ | i 1,012.4 | $ | i 1,218.0 | ||||||||||||||||||
Americas Banking | i 368.5 | i 403.7 | i 1,044.6 | i 1,186.3 | ||||||||||||||||||||||
Retail | i 262.5 | i 269.9 | i 739.4 | i 852.8 | ||||||||||||||||||||||
Total revenue | $ | i 995.2 | $ | i 1,078.8 | $ | i 2,796.4 | $ | i 3,257.1 | ||||||||||||||||||
Intersegment revenue | ||||||||||||||||||||||||||
Eurasia Banking | $ | i 32.9 | $ | i 35.4 | $ | i 86.7 | $ | i 137.4 | ||||||||||||||||||
Americas Banking | i 4.6 | i 3.1 | i 9.5 | i 10.8 | ||||||||||||||||||||||
Total intersegment revenue | $ | i 37.5 | $ | i 38.5 | $ | i 96.2 | $ | i 148.2 | ||||||||||||||||||
Segment operating profit | ||||||||||||||||||||||||||
Eurasia Banking | $ | i 49.9 | $ | i 41.5 | $ | i 119.9 | $ | i 114.0 | ||||||||||||||||||
Americas Banking | i 43.4 | i 28.8 | i 153.0 | i 79.8 | ||||||||||||||||||||||
Retail | i 22.9 | i 13.5 | i 49.7 | i 37.2 | ||||||||||||||||||||||
Total segment operating profit | i 116.2 | i 83.8 | i 322.6 | i 231.0 | ||||||||||||||||||||||
Corporate
charges not allocated to segments (1) | ( i 26.7) | ( i 17.4) | ( i 71.9) | ( i 63.5) | ||||||||||||||||||||||
Impairment of assets | ( i 4.1) | i — | ( i 4.1) | i — | ||||||||||||||||||||||
Restructuring and DN Now transformation expenses | ( i 41.8) | ( i 20.6) | ( i 110.2) | ( i 64.2) | ||||||||||||||||||||||
Net non-routine expense | ( i 19.8) | ( i 22.6) | ( i 118.1) | ( i 97.3) | ||||||||||||||||||||||
( i 92.4) | ( i 60.6) | ( i 304.3) | ( i 225.0) | |||||||||||||||||||||||
Operating profit (loss) | i 23.8 | i 23.2 | i 18.3 | i 6.0 | ||||||||||||||||||||||
Other income (expense) | ( i 146.2) | ( i 53.4) | ( i 240.6) | ( i 153.2) | ||||||||||||||||||||||
Loss before taxes | $ | ( i 122.4) | $ | ( i 30.2) | $ | ( i 222.3) | $ | ( i 147.2) |
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||
September 30, 2020 | September 30, 2020 | |||||||||||||||||||||||||
2020 | 2019 | 2020 | 2019 | |||||||||||||||||||||||
Segments | ||||||||||||||||||||||||||
Eurasia Banking | ||||||||||||||||||||||||||
Services | $ | i 198.5 | $ | i 241.8 | $ | i 597.1 | $ | i 740.0 | ||||||||||||||||||
Products | i 165.7 | i 163.4 | i 415.3 | i 478.0 | ||||||||||||||||||||||
Total Eurasia Banking | i 364.2 | i 405.2 | i 1,012.4 | i 1,218.0 | ||||||||||||||||||||||
Americas Banking | ||||||||||||||||||||||||||
Services | i 247.8 | i 252.6 | i 721.7 | i 746.0 | ||||||||||||||||||||||
Products | i 120.7 | i 151.1 | i 322.9 | i 440.3 | ||||||||||||||||||||||
Total Americas Banking | i 368.5 | i 403.7 | i 1,044.6 | i 1,186.3 | ||||||||||||||||||||||
Retail | ||||||||||||||||||||||||||
Services | i 142.6 | i 148.6 | i 417.6 | i 445.0 | ||||||||||||||||||||||
Products | i 119.9 | i 121.3 | i 321.8 | i 407.8 | ||||||||||||||||||||||
Total Retail | i 262.5 | i 269.9 | i 739.4 | i 852.8 | ||||||||||||||||||||||
Total net sales | $ | i 995.2 | $ | i 1,078.8 | $ | i 2,796.4 | $ | i 3,257.1 |
Timing of revenue recognition | 2020 | 2019 | ||||||||||||
Products transferred at a point in time | i 38 | % | i 41 | % | ||||||||||
Products and services transferred over time | i 62 | % | i 59 | % | ||||||||||
Net sales | i 100 | % | i 100 | % |
Contract balance information | Trade Receivables | Contract liabilities | ||||||||||||||||||
Balance at December 31 | $ | i 619.3 | $ | i 320.5 | ||||||||||||||||
Balance at September 30 | $ | i 668.1 | $ | i 247.3 |
Three Months Ended | Percent of Total Net Sales for the Three Months Ended | |||||||||||||||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||||||||||||||
2020 | 2019 | % Change | % Change
in CC (1) | 2020 | 2019 | |||||||||||||||||||||||||||||||||
Segments | ||||||||||||||||||||||||||||||||||||||
Eurasia Banking | ||||||||||||||||||||||||||||||||||||||
Services | $ | 198.5 | $ | 241.8 | (17.9) | (20.1) | 19.9 | 22.4 | ||||||||||||||||||||||||||||||
Products | 165.7 | 163.4 | 1.4 | (1.9) | 16.7 | 15.2 | ||||||||||||||||||||||||||||||||
Total Eurasia Banking | 364.2 | 405.2 | (10.1) | (12.7) | 36.6 | 37.6 | ||||||||||||||||||||||||||||||||
Americas Banking | ||||||||||||||||||||||||||||||||||||||
Services | 247.8 | 252.6 | (1.9) | 0.6 | 24.9 | 23.4 | ||||||||||||||||||||||||||||||||
Products | 120.7 | 151.1 | (20.1) | (14.0) | 12.1 | 14.0 | ||||||||||||||||||||||||||||||||
Total Americas Banking | 368.5 | 403.7 | (8.7) | (4.7) | 37.0 | 37.4 | ||||||||||||||||||||||||||||||||
Retail | ||||||||||||||||||||||||||||||||||||||
Services | 142.6 | 148.6 | (4.0) | (7.6) | 14.3 | 13.8 | ||||||||||||||||||||||||||||||||
Products | 119.9 | 121.3 | (1.2) | (4.4) | 12.0 | 11.2 | ||||||||||||||||||||||||||||||||
Total Retail | 262.5 | 269.9 | (2.7) | (6.2) | 26.3 | 25.0 | ||||||||||||||||||||||||||||||||
Total net sales | $ | 995.2 | $ | 1,078.8 | (7.7) | (8.2) | 99.9 | 100.0 |
Nine Months Ended | Percent of Total Net Sales for the Nine Months Ended | |||||||||||||||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||||||||||||||
2020 | 2019 | % Change | % Change in CC (1) | 2020 | 2019 | |||||||||||||||||||||||||||||||||
Segments | ||||||||||||||||||||||||||||||||||||||
Eurasia Banking | ||||||||||||||||||||||||||||||||||||||
Services | $ | 597.1 | $ | 740.0 | (19.3) | (18.6) | 21.4 | 22.7 | ||||||||||||||||||||||||||||||
Products | 415.3 | 478.0 | (13.1) | (12.6) | 14.8 | 14.7 | ||||||||||||||||||||||||||||||||
Total Eurasia Banking | 1,012.4 | 1,218.0 | (16.9) | (16.2) | 36.2 | 37.4 | ||||||||||||||||||||||||||||||||
Americas Banking | ||||||||||||||||||||||||||||||||||||||
Services | 721.7 | 746.0 | (3.3) | (1.1) | 25.8 | 22.9 | ||||||||||||||||||||||||||||||||
Products | 322.9 | 440.3 | (26.7) | (22.2) | 11.5 | 13.4 | ||||||||||||||||||||||||||||||||
Total Americas Banking | 1,044.6 | 1,186.3 | (11.9) | (8.8) | 37.4 | 36.4 | ||||||||||||||||||||||||||||||||
Retail | ||||||||||||||||||||||||||||||||||||||
Services | 417.6 | 445.0 | (6.2) | (5.5) | 14.9 | 13.7 | ||||||||||||||||||||||||||||||||
Products | 321.8 | 407.8 | (21.1) | (20.5) | 11.5 | 12.5 | ||||||||||||||||||||||||||||||||
Total Retail | 739.4 | 852.8 | (13.3) | (12.7) | 26.4 | 26.2 | ||||||||||||||||||||||||||||||||
Total net sales | $ | 2,796.4 | $ | 3,257.1 | (14.1) | (12.6) | 100.0 | 100.0 |
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||||||||||||||||||||||||||
2020 | 2019 | % Change | 2020 | 2019 | % Change | |||||||||||||||||||||||||||||||||||||||||||||
Gross profit - services | $ | 189.7 | $ | 180.6 | 5.0 | $ | 509.9 | $ | 507.7 | 0.4 | ||||||||||||||||||||||||||||||||||||||||
Gross profit - products | 94.4 | 90.8 | 4.0 | 248.6 | 289.0 | (14.0) | ||||||||||||||||||||||||||||||||||||||||||||
Total gross profit | $ | 284.1 | $ | 271.4 | 4.7 | $ | 758.5 | $ | 796.7 | (4.8) | ||||||||||||||||||||||||||||||||||||||||
Gross margin - services | 32.2 | % | 28.1 | % | 29.4 | % | 26.3 | % | ||||||||||||||||||||||||||||||||||||||||||
Gross margin - products | 23.2 | % | 20.8 | % | 23.5 | % | 21.8 | % | ||||||||||||||||||||||||||||||||||||||||||
Total gross margin | 28.5 | % | 25.2 | % | 27.1 | % | 24.5 | % | ||||||||||||||||||||||||||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||||||||||||||||||||
2020 | 2019 | % Change | 2020 | 2019 | % Change | |||||||||||||||||||||||||||||||||||||||
Selling and administrative expense | $ | 226.0 | $ | 219.9 | 2.8 | $ | 629.7 | $ | 674.3 | (6.6) | ||||||||||||||||||||||||||||||||||
Research, development and engineering expense | 30.2 | 36.8 | (17.9) | 93.4 | 109.8 | (14.9) | ||||||||||||||||||||||||||||||||||||||
Impairment of assets | 4.1 | — | N/M | 4.1 | — | N/M | ||||||||||||||||||||||||||||||||||||||
(Gain) loss on sale of assets, net | — | (8.5) | 100.0 | 13.0 | 6.6 | 97.0 | ||||||||||||||||||||||||||||||||||||||
Total operating expenses | $ | 260.3 | $ | 248.2 | 4.9 | $ | 740.2 | $ | 790.7 | (6.4) | ||||||||||||||||||||||||||||||||||
Percent of net sales | 26.2 | % | 23.0 | % | 26.5 | % | 24.3 | % | ||||||||||||||||||||||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||||||||||||||||||||
2020 | 2019 | % Change | 2020 | 2019 | % Change | |||||||||||||||||||||||||||||||||||||||
Operating profit (loss) | $ | 23.8 | $ | 23.2 | 2.6 | $ | 18.3 | $ | 6.0 | 205.0 | ||||||||||||||||||||||||||||||||||
Operating margin | 2.4 | % | 2.2 | % | 0.7 | % | 0.2 | % |
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||||||||||||||||||||
2020 | 2019 | % Change | 2020 | 2019 | % Change | |||||||||||||||||||||||||||||||||||||||
Interest income | $ | 1.9 | $ | 1.9 | — | $ | 5.4 | $ | 7.0 | (22.9) | ||||||||||||||||||||||||||||||||||
Interest expense | (144.3) | (52.5) | N/M | (240.6) | (153.3) | (56.9) | ||||||||||||||||||||||||||||||||||||||
Foreign exchange gain, net | (2.3) | (1.8) | (27.8) | (9.5) | (4.1) | N/M | ||||||||||||||||||||||||||||||||||||||
Miscellaneous, net | (1.5) | (1.0) | (50.0) | 4.1 | (2.8) | N/M | ||||||||||||||||||||||||||||||||||||||
Other income (expense), net | $ | (146.2) | $ | (53.4) | N/M | $ | (240.6) | $ | (153.2) | (57.0) |
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||||||||||||||||||||
2020 | 2019 | % Change | 2020 | 2019 | % Change | |||||||||||||||||||||||||||||||||||||||
Net loss | $ | (100.9) | $ | (34.8) | N/M | $ | (217.4) | $ | (222.0) | 2.1 | ||||||||||||||||||||||||||||||||||
Percent of net sales | (10.1) | % | (3.2) | % | (7.8) | % | (6.8) | % | ||||||||||||||||||||||||||||||||||||
Effective tax rate | 17.6 | % | (17.2) | % | 2.2 | % | (50.8) | % |
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||||||||||||||||||||
Eurasia Banking: | 2020 | 2019 | % Change | 2020 | 2019 | % Change | ||||||||||||||||||||||||||||||||||||||
Net sales | $ | 364.2 | $ | 405.2 | (10.1) | $ | 1,012.4 | $ | 1,218.0 | (16.9) | ||||||||||||||||||||||||||||||||||
Segment operating profit | $ | 49.9 | $ | 41.5 | 20.2 | $ | 119.9 | $ | 114.0 | 5.2 | ||||||||||||||||||||||||||||||||||
Segment operating profit margin | 13.7 | % | 10.2 | % | 11.8 | % | 9.4 | % |
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||||||||||||||||||||
Americas Banking: | 2020 | 2019 | % Change | 2020 | 2019 | % Change | ||||||||||||||||||||||||||||||||||||||
Net sales | $ | 368.5 | $ | 403.7 | (8.7) | $ | 1,044.6 | $ | 1,186.3 | (11.9) | ||||||||||||||||||||||||||||||||||
Segment operating profit | $ | 43.4 | $ | 28.8 | 50.7 | $ | 153.0 | $ | 79.8 | 91.7 | ||||||||||||||||||||||||||||||||||
Segment operating profit margin | 11.8 | % | 7.1 | % | 14.6 | % | 6.7 | % |
Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||||||||||||||||
September 30, | September 30, | |||||||||||||||||||||||||||||||||||||||||||
Retail: | 2020 | 2019 | % Change | 2020 | 2019 | % Change | ||||||||||||||||||||||||||||||||||||||
Net sales | $ | 262.5 | $ | 269.9 | (2.7) | $ | 739.4 | $ | 852.8 | (13.3) | ||||||||||||||||||||||||||||||||||
Segment operating profit | $ | 22.9 | $ | 13.5 | 69.6 | $ | 49.7 | $ | 37.2 | 33.6 | ||||||||||||||||||||||||||||||||||
Segment operating profit margin | 8.7 | % | 5.0 | % | 6.7 | % | 4.4 | % |
September 30, 2020 | December 31, 2019 | |||||||||||||
Cash and cash equivalents (excluding restricted cash) | $ | 273.7 | $ | 277.3 | ||||||||||
Additional cash availability from: | ||||||||||||||
Cash included in assets held for sale | 3.8 | 97.2 | ||||||||||||
Uncommitted lines of credit | 24.9 | 36.7 | ||||||||||||
Revolving Facility | 150.2 | 387.3 | ||||||||||||
Short-term investments | 6.8 | 10.0 | ||||||||||||
Total cash and cash availability | $ | 459.4 | $ | 808.5 |
Summary of cash flows: | September 30, 2020 | September 30, 2019 | ||||||||||||
Net cash provided (used) by operating activities | $ | (209.4) | $ | 7.4 | ||||||||||
Net cash provided (used) by investing activities | (40.7) | 10.2 | ||||||||||||
Net cash provided (used) by financing activities | 160.8 | (184.9) | ||||||||||||
Effect of exchange rate changes on cash and cash equivalents | (7.7) | (7.2) | ||||||||||||
Change in cash, cash equivalents and restricted cash | $ | (97.0) | $ | (174.5) |
Summarized Balance Sheets | ||||||||||||||
September 30, 2020 | December 31, 2019 | |||||||||||||
Total current assets | $ | 528.2 | $ | 919.3 | ||||||||||
Total non-current assets | $ | 1,434.5 | $ | 1,994.7 | ||||||||||
Total current liabilities | $ | 1,090.2 | $ | 1,127.3 | ||||||||||
Total non-current liabilities | $ | 2,220.9 | $ | 2,310.4 |
Summarized Statements of Operations | ||||||||||||||
Nine Months Ended | Year Ended | |||||||||||||
September 30, 2020 | December 31, 2019 | |||||||||||||
Net sales | $ | 833.8 | $ | 1,206.6 | ||||||||||
Cost of sales | 588.0 | 963.0 | ||||||||||||
Selling and administrative expense | 322.7 | 355.3 | ||||||||||||
Research, development and engineering expense | 23.0 | 40.1 | ||||||||||||
Impairment of assets | — | 5.1 | ||||||||||||
Loss (gain) on sale of assets, net | 0.1 | (6.1) | ||||||||||||
Interest income | 0.5 | 2.1 | ||||||||||||
Interest expense | (226.9) | (190.1) | ||||||||||||
Foreign exchange (loss) gain, net | (8.3) | 0.9 | ||||||||||||
Miscellaneous, net | 85.8 | 94.0 | ||||||||||||
Loss from continuing operations before taxes | $ | (248.9) | $ | (243.9) | ||||||||||
Net (loss) income | $ | (217.9) | $ | (341.3) | ||||||||||
Net (loss) income attributable to Diebold Nixdorf, Incorporated | $ | (217.9) | $ | (341.3) |
Summarized Balance Sheets | ||||||||||||||
September 30, 2020 | December 31, 2019 | |||||||||||||
Total current assets | $ | 178.5 | $ | 590.4 | ||||||||||
Total non-current assets | $ | 682.5 | $ | 743.2 |
Period | Total Number of Shares Purchased
(1) | Average Price Paid Per Share | Total Number of Shares Purchased as Part of Publicly Announced Plans (2) | Maximum Number of Shares that May Yet Be Purchased Under the Plans (2) | ||||||||||||||||||||||
July | 288 | $ | 10.78 | — | 2,426,177 | |||||||||||||||||||||
August | 2,168 | $ | 8.13 | — | 2,426,177 | |||||||||||||||||||||
September | — | $ | — | — | 2,426,177 | |||||||||||||||||||||
Total | 2,456 | $ | 8.44 | — |
DIEBOLD NIXDORF, INCORPORATED | ||||||||||||||
Date: | October 28, 2020 | /s/ Gerrard B. Schmid | ||||||||||||
By: | ||||||||||||||
President and Chief Executive Officer | ||||||||||||||
(Principal Executive Officer) | ||||||||||||||
Date: | October 28, 2020 | /s/ Jeffrey Rutherford | ||||||||||||
By: | ||||||||||||||
Senior Vice President and Chief Financial Officer | ||||||||||||||
(Principal Financial Officer) | ||||||||||||||
This ‘10-Q’ Filing | Date | Other Filings | ||
---|---|---|---|---|
7/20/23 | ||||
12/31/22 | ||||
9/30/22 | ||||
4/30/22 | ||||
12/31/21 | ||||
6/30/21 | 10-Q | |||
1/4/21 | ||||
12/31/20 | 10-K, 11-K, SD | |||
12/23/20 | ||||
Filed on: | 10/28/20 | 8-K | ||
10/23/20 | ||||
For Period end: | 9/30/20 | UPLOAD | ||
9/20/20 | ||||
7/20/20 | 8-K | |||
6/30/20 | 10-Q | |||
5/1/20 | 3, 8-K | |||
3/31/20 | 10-Q | |||
3/11/20 | 4 | |||
3/2/20 | ||||
2/27/20 | ||||
1/1/20 | ||||
12/31/19 | 10-K, 11-K, SD | |||
9/30/19 | 10-Q | |||
8/7/19 | 8-K | |||
6/30/19 | 10-Q | |||
3/31/19 | 10-Q | |||
1/1/19 | ||||
12/31/18 | 10-K, 11-K, SD | |||
8/30/18 | 8-K | |||
8/1/18 | 8-K | |||
5/9/17 | 8-K | |||
2/17/17 | 8-K | |||
2/14/17 | 4, 8-K | |||
9/26/16 | 3, 8-K | |||
2/12/14 | 4, SC 13G/A | |||
10/1/10 | ||||
List all Filings |
As Of Filer Filing For·On·As Docs:Size Issuer Filing Agent 7/24/20 Diebold Nixdorf, Inc. 8-K:1,2,9 7/20/20 13:3.8M Donnelley … Solutions/FA 5/04/17 Diebold Nixdorf, Inc. 10-Q 3/31/17 110:18M 2/17/17 Diebold Nixdorf, Inc. 8-K:5,8,9 2/14/17 5:5M 12/12/16 Diebold Nixdorf, Inc. 8-K:5,9 12/09/16 3:190K Donnelley … Solutions/FA 3/08/99 Diebold Nixdorf, Inc. 10-K405 12/31/98 7:180K Bowne BCL/FA 4/30/96 Diebold Nixdorf, Inc. 10-Q 3/31/96 3:27K Bowne BCL/FA 3/09/95 Diebold Nixdorf, Inc. 10-K 12/31/94 9:201K Bowne BCL/FA |