Originally Posted by
zoooropa
But you are discounting the overall point, the SLB's have absolutely nothing to do with the OE. Zero. Nada. Nunca. Zilch. The SLB's do not equal higher operating income which flows to net because the SLB's are added AFTER NET. Read slower...SLB's are not revenue. SLB's are not revenue. SLB's are not baked into NET. If F9 has a zero net income quarter and they have an SLB that additional cash is added to the cash on hand, NOT net income. The net would still be zero. HF people this isn't differential equations this is 1+1=2.
I maintain you're incorrect. Let's get on the same reference though.
I’ll use F9's June 30, 2024 10-Q as the reference.
Page 14: "The Company recognized sale-leaseback gain transactions of $77 million, $148 million, $17 million and $57 million during the three and six months ended June 30, 2024 and 2023, respectively, which are included as a component of
other operating expenses within the
Company’s condensed consolidated statements of operations."
Page 27: “Other operating” resulted in a net gain of $1 million during the three months ended June 30, 2024, as compared to an expense of $53 million during the three months ended June 30, 2023. This movement was
primarily driven by the increase in sale-leaseback gains….”
Page 4: Is where you find “Condensed Consolidated Statements of Operations"
Page 4: “Other Operating” (described above) is under “Operating Expenses”, and reflects the $1M gain in "Other Operating" on page 27.
These other operating expenses are entered ABOVE and BEFORE “Net income” (loss).
Thus the SLBs affect net income.