SNDKSandisk

Technology · Computer Storage · Nasdaq

Prior to February 21, 2025, we were wholly owned by Western Digital Corporation (“WDC”). 10-K, Item 1

Headquarters: Milpitas, CA
CEO: David Goeckeler
Next results: around Jan 28, 2027

What the 10-K filed 2026-08-17 says about risks that are not on the face of the balance sheet, from the notes to the financial statements, Legal Proceedings and the MD&A (and, for big customers and key suppliers, Business and Risk Factors). Tickdelta picks sentences with specifics (amounts, accruals, covenant ratios) and quotes them as filed. New marks a sentence with nothing like it in the 10-K filed 2025-08-21.

Big customers

Customers the company names as a large share of revenue or receivables (it must name any worth 10% of revenue).

“For 2026, 2025 and 2024, no single customer accounted for more than 10% of the Company’s net revenue.”
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“For 2026, 2025, and 2024, the Company’s top 10 customers accounted for 44%, 40% and 41% of the Company’s net revenue, respectively.”
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“As of July 3, 2026, the Company had net accounts receivable of $4.7 billion and three customers accounted for approximately 19%, 12% and 10%, respectively, of the Company’s outstanding accounts receivable.”
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“As of June 27, 2025, the Company had net accounts receivable of $1.1 billion, and one customer accounted for 11% of the Company’s outstanding accounts receivable.”
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Key suppliers

Parts or manufacturing that depend on one or a few suppliers.

“Many of the components and much of the equipment we acquire must be specifically designed for use in our products or for developing and manufacturing our products and are only available from a limited number of suppliers, some of whom are our sole-source suppliers.”
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“Where we rely on a limited number of suppliers or a single supplier, the risk of supplier loss due to industry consolidation or a decline in financial performance is increased.”
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“In addition, some key components are purchased from single-source vendors for which alternative sources are currently not available.”
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Lawsuits and legal claims

1 new

Pending cases, settlements and what the company has set aside for them.

New “This $807 million gain was offset by a $118 million increase in other expenses which was primarily due to the settlement of certain non-operating legal matters, partially offset by a $48 million increase in interest income related to cash and investment accounts.”
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“If a loss contingency is probable and the amount of the loss can be reasonably estimated, the Company records an accrual for the calculated loss exposure.”
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Guarantees and indemnities

Promises to pay someone else's debts or losses if they cannot.

“As a result of this agreement, we recorded a tax indemnification liability of $112 million on February 21, 2025, which was recognized as an adjustment to the Net investment from Western Digital Corporation.”
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“The remaining tax indemnification liability of $128 million is classified as Other liabilities in the Consolidated Balance Sheets as of July 3, 2026.”
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“It is not possible to determine the maximum potential amount under these indemnification agreements due to the limited history of prior indemnification claims and the unique facts and circumstances involved in each particular agreement.”
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“Total guarantee obligations $ 565 $ 358 $923”
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“The tax indemnification liability of $128 million and $110 million was classified as Other liabilities in the Consolidated Balance Sheets as of July 3, 2026 and June 27, 2025, respectively.”
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Debt covenants

Conditions in loan agreements that, if broken, can make debt due early.

“As of July 3, 2026, we were in compliance with the Loan Agreement financial covenant that prohibits us from exceeding a maximum Leverage Ratio.”
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“As of July 3, 2026, and as of June 27, 2025, we were in compliance with all covenants under these Japanese lease facilities.”
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“The Loan Agreement also includes a financial covenant, which is solely for the benefit of the lenders under the Revolving Credit Facility, that prohibits the Company from exceeding a maximum Leverage Ratio (as defined in the Loan Agreement).”
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“As of July 3, 2026, the Company was in compliance with the financial covenant.”
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Commitments off the balance sheet

1 new

Contracts the company must pay for later: purchase obligations, take-or-pay deals.

New “Subsequent to the balance sheet date, the Company entered into two additional NBMs with an aggregate transaction price of $31.3 billion.These agreements provide for customer purchase commitments for specified product volumes over multi-year periods.”
Read it in the 10-K ↗

Sentences are chosen by their words, not read by AI, so some can be off topic. Always check the filing. Open the 10-K ↗

Work on SNDK in a spreadsheet: Excel workbook (a sheet per section, ten years by column, charts, links to the filings) · CSV. For a Google Sheet that stays up to date, paste =IMPORTDATA("https://tickdelta.com/company/SNDK/export.csv") into a cell.