XYZBlock, Inc.
Services-Prepackaged Software
- Revenue
- $24.2B
- 0.3% YoY
- Operating margin
- 7.1%
- 91% YoY
- EBITDA
- $2.1B
- 64% YoY
- Market cap
- $45.6B
- Employees
- 10,205
- $2M revenue each
- Net debt / EBITDA
- -0.3×
- −$707M net debt
- AI in 10-K
- 7.1
- mentions per 10K words
Takeover score 3 of 13
Fixable underperformance 1 of 7
- TSR below peersYes5 of 5 years3+ of last 5 years
- High CEO pay despite TSRNo$3 medianMedian CEO pay ≥ $15M while TSR trails
- Earnings not backed by cashNo198% of net incomeCash flow under 80% of net income
- Dilutive SBCNo5% of revenueOver 10% of revenue
- Payouts exceed cash flowNo90% of cash flowBuybacks + dividends over cash flow
- Goodwill-heavyNo31% of assetsOver 40% of assets
- Shareholder dissentNo83% lowest supportAny vote under 80% support
Buyer economics 1 of 4
- Low revenue per employeeNo$2M · 94th pctBottom quartile of its SIC industry
- Quiet on AINo7.1 per 10K words · 88th pctBottom quartile of AI mentions in 10-Ks
- Net cashYesNet cash · 0.3× EBITDAMore cash than debt, positive EBITDA
- Buyout-sizedNo$45.6B market capMarket cap $500M–$5B
Catalysts 1 of 2
- Active 13DNo0 filingsActive-intent 13D in 18 months
- Net insider sellingYes−$93M netNet sales over $10M in 12 months
Financials
| Metric | FY2021 | FY2022 | FY2023 | FY2024 | FY2025 | YoY |
|---|---|---|---|---|---|---|
| Revenue | $17.7B | $17.5B | $21.9B | $24.1B | $24.2B | 0.3% |
| Operating income | $161M | −$625M | −$279M | $892M | $1.7B | 91% |
| Net income | $166M | −$541M | $10M | $2.9B | $1.3B | 55% |
| Operating cash flow | $848M | $176M | $101M | $1.7B | $2.6B | 51% |
| Capex | $134M | $171M | $151M | $154M | $155M | 0.7% |
| Stock-based comp | $608M | $1.1B | $1.3B | $1.3B | $1.2B | 4.5% |
| Buybacks | $0 | $0 | $157M | $1.2B | $2.3B | 99% |
Deal filings
| Filed | Form | Acquirer | Price | Premium |
|---|---|---|---|---|
| Oct 5, 2021 | DEFM14A | Square, Inc. | $255.09 | 27% |
| Sep 23, 2021 | PREM14A | Square, Inc. | $255.09 | 27% |
13D filers
None on file.
Insider trading
- Open-market buys, 12 mo
- $0 · 0
- Open-market sells, 12 mo
- $93M · 149
- Net
- −$93M
Pay vs performance
| Year | CEO total comp | Comp actually paid | TSR (indexed) | Peer TSR |
|---|---|---|---|---|
| FY2025 | $3 | $3 | 30 | 229 |
| FY2024 | $3 | $3 | 39 | 179 |
| FY2023 | $3 | $3 | 36 | 132 |
| FY2022 | $3 | $3 | 29 | 82 |
| FY2021 | $3 | $3 | 74 | 126 |