Company: QXO-PB
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001628280-25-040367
Chunk: 88

Company: QXO, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 88
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, the Term Loan Facility and the Notes, QXO Building Products is limited in making certain restricted payments, including dividends on its common stock. Based on the provisions in the respective debt agreements and given the Company’s intention to not pay common stock dividends in the foreseeable future, the Company does not believe that the restrictions are significant.

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10. Leases

The Company primarily operates in leased facilities, which are accounted for as operating leases. The real estate leases expire between 2025 and 2037. The Company also leases equipment such as trucks and forklifts. Equipment leases are accounted for as either operating or finance leases. The equipment leases expire between 2025 and 2032.The following table presents components of lease costs recognized in the condensed consolidated statements of operations: Three Months Ended June 30,Six Months Ended June 30,(in millions)2025202420252024Operating lease costs$28.4 $0.1 $29.4 $0.1 Finance lease costs:Amortization of right-of-use assets7.7 — 7.7 0.1 Interest on lease obligations2.0 — 2.0 — Variable lease costs3.2 — 3.2 — Total lease costs$41.3 $0.1 $42.3 $0.2 The following table presents supplemental cash flow information related to the Company’s leases: Six Months Ended June 30,(in millions)20252024Cash paid for amounts included in measurement of lease obligations:Operating cash outflows from operating leases$26.4 $0.1 Operating cash outflows from finance leases$2.0 $— Financing cash outflows from finance leases$7.2 $0.1 Right-of-use assets obtained in exchange for new finance lease liabilities$9.3 $— Right-of-use assets obtained in exchange for new operating lease liabilities$12.3 $— As of June 30, 2025, the Company’s operating leases had a weighted-average remaining lease term of 6.3 years and a weighted-average discount rate of 6.26%, and the Company’s finance leases had a weighted-average remaining lease term of 4.4 years and a weighted-average discount rate of 6.50%. The following table summarizes future lease payments for each of the next five years ending December 31 and thereafter:(in millions)Operating Le