Company: ALIT
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001809104-25-000175
Chunk: 95

Company: Alight, Inc. / Delaware
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 1
Chunk 95
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million.

9

An additional loss on sale of the Divested Business of $7 million, net of tax, was recorded for the three months ended March 31, 2025 upon customary post closing selling price adjustments of the sale and reflects the impact of net proceeds received less cost to sell relative to the carrying value of the Divested Business net assets. Post-closing selling price adjustments and completion of other Purchase Agreement provisions in connection with the sale could result in further adjustments to the loss on sale amount which could be material.The following table presents the results as reported in Income (Loss) from Discontinued Operations, Net of Tax, within our Condensed Consolidated Statements of Comprehensive Income (Loss) (in millions):Three Months Ended March 31,20252024Revenue$24 $257 Cost of services, exclusive of depreciation and amortization24 187 Depreciation and amortization— 3 Gross Profit— 67 Operating ExpensesSelling, general and administrative— 37 Depreciation and intangible amortization— 8 Goodwill Impairment— — Total Operating Expenses— 45 Income (loss) from Discontinued Operations— 22 Interest expense— — Other (income) expense, net— 2 Income (Loss) from Discontinued Operations Before Income Taxes— 20 Loss on sale of disposition, net of tax7 — Income tax expense (benefit)1 15 Net Income (Loss) from Discontinued Operations, Net of Tax$(8)$5 The Company concluded that it controlled a portion of the Divested Business services subsequent to separation as a result of certain shared contractual relationships that had not been legally assigned as of March 31, 2025. As such, the Company determined it was the principal for these services and, therefore, during the three months ended March 31, 2025, the Company recorded $24 million of Revenue and Cost of services on a gross basis within discontinued operations in the accompanying Condensed Consolidated Statements of Comprehensive Income (Loss).The expense amounts reflected above represent only the direct costs attributable to the Divested Business and excludes allocations of corporate costs retained following the sale.

5. Other Financial DataCondensed Consolidated Balance Sheets InformationReceivables, netThe components of Receivables, net are as follows (in millions):March 31,2025December 31,2024Billed and unbilled receivables$448 $480 Allowance for expected