Company: WKC
Filing Date: 2025-10-24
Form Type: 10-Q
Source: 0000789460-25-000030
Chunk: 34

Company: WORLD KINECT CORP
Filing Date: 2025-10-24
Form: 10-Q
Item: Part I, Item 1
Chunk 34
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 and December 31, 2024, respectively. Changes to the expected credit loss provision during the nine months ended September 30, 2025 resulted from the Company's assessment of reasonable and supportable forward-looking information, including global economic outlook considerations. Based on an aging analysis as of September 30, 2025, 94% of our accounts receivable were outstanding less than 60 days.The following table sets forth activities in our allowance for expected credit losses (in millions):For the Nine Months Ended September 30,20252024Balance as of January 1,$23.7 $20.8 Charges to allowance for credit losses5.7 5.5 Write-off of uncollectible receivables(8.5)(5.6)Recoveries of credit losses0.3 1.3 Translation adjustments(0.2)(0.3)Balance as of September 30,$21.0 $21.5 

7

Receivable Purchase AgreementsWe have receivable purchase agreements ("RPAs") that allow for the sale of our qualifying accounts receivable in exchange for cash consideration equal to the total balance, less a discount margin, depending on the outstanding accounts receivable at any given time. During the third quarter of 2025, we amended one of our RPAs to extend the term of the agreement and reduce the overall fee structure. Accounts receivable sold under the RPAs are accounted for as sales and excluded from Accounts receivable, net of allowance for credit losses on the accompanying Condensed Consolidated Balance Sheets. Fees paid under the RPAs are recorded within Interest expense and other financing costs, net on the Condensed Consolidated Statements of Income and Comprehensive Income.During the nine months ended September 30, 2025 and 2024, we sold receivables under the RPAs with an aggregate face value of $8.5 billion and $8.9 billion and recognized fees of $24.4 million and $29.5 million, respectively.

3. Acquisitions and Divestitures

2025 AcquisitionsOn September 3, 2025, we entered into a definitive agreement with Universal Weather and Aviation to acquire their Trip Support Services ("TSS") division for a total purchase price of approximately $220 million. The total consideration is subject to working capital adjustments and will consist of $160 million of cash payable at closing and $60 million payable over four years. The transaction is subject to customary closing conditions and is expected