What changed in this filing

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Item 9A. Controls and Procedures

2026-05-21 compared with 2025-05-15 · 626 added, 559 removed, 1052 unchanged (53% of the section changed)

8 unchanged sentences

Our management is responsible for establishing and maintaining adequate internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) of the Exchange Act) for Gen Digital.

Our internal control over financial reporting is a process designed under the supervision of our CEO and CFO to provide reasonable assurance regarding the preparation and reliability of financial reporting and preparation of our financial statements for external purposes in accordance with generally accepted accounting principles.

Our management, with the participation of our Chief Executive Officer and our Chief Financial Officer, has conducted an evaluation of the effectiveness of our internal control over financial reporting as of March 28, 2025, based on criteria established in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).

Our management has concluded that, as of March 28, 2025, our internal control over financial reporting was effective at the reasonable assurance level based on these criteria.

The effectiveness of our internal control over financial reporting, as of March 28, 2025, has been audited by KPMG LLP, an independent registered public accounting firm, as stated in their report, which is included in Part IV, Item 15 of this Annual Report on Form 10-K.

Our management, with the participation of our Chief Executive Officer and our Chief Financial Officer, has conducted an evaluation of the effectiveness of our internal control over financial reporting as of April 3, 2026, based on criteria established in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO).

We completed the acquisition of MoneyLion in April 2025.

Management has excluded MoneyLion from its assessment of the effectiveness of Gen’s internal control over financial reporting as of April 3, 2026.

Total assets (excluding goodwill and intangibles) and total revenues of MoneyLion represent approximately 2%, or $354 million and 16%, or $823 million, respectively, of the Consolidated Financial Statement amounts as of, and for the fiscal year ended, April 3, 2026.

This exclusion is in accordance with the SEC staff’s general guidance that an assessment of an acquired business may be omitted from the scope of management’s assessment of the effectiveness of internal control over financial reporting during the first year after completion of an acquisition while integrating the acquired company.

Our management has concluded that, as of April 3, 2026, our internal control over financial reporting was effective at the reasonable assurance level based on these criteria.

The effectiveness of our internal control over financial reporting, as of April 3, 2026, has been audited by KPMG LLP, an independent registered public accounting firm, as stated in their report, which is included in Part IV, Item 15 of this Annual Report on Form 10-K.

There were no changes in our internal control over financial reporting identified in connection with the evaluation required by Rule 13a-15(d) and 15d-15(d) of the Exchange Act that occurred during the fiscal quarter ended March 28, 2025 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

There were no changes in our internal control over financial reporting identified in connection with the evaluation required by Rule 13a-15(d) and 15d-15(d) of the Exchange Act that occurred during the fiscal quarter ended April 3, 2026 that has materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

On April 17, 2025, we completed our acquisition of MoneyLion and are currently integrating MoneyLion into our operations and internal control processes.

Our initial assessment of MoneyLion’s internal control over financial reporting is ongoing.

We have designed and implemented new controls as needed.

MoneyLion Material Weakness

A material weakness is a deficiency or a combination of deficiencies in internal control over financial reporting such that there is a reasonable possibility that a material misstatement of a registrant’s financial statement will not be prevented or detected on a timely basis.

Prior to the acquisition by Gen, MoneyLion reported an identified material weakness in its internal control over financial reporting.

As a result, MoneyLion concluded that, as of December 31, 2024, its disclosure controls and procedures were not

effective in providing reasonable assurance that information required to be disclosed in reports filed or submitted under the Exchange Act was recorded, processed, summarized and reported within the time periods specified by SEC rules and forms.

The material weakness identified relates to MoneyLion’s Credit Builder Loan product, involving certain cash disbursements made to customer escrow accounts that were not in accordance with the product’s terms.

While the related transactions were properly reflected in the financial statements and no misstatements were identified, the control deficiency could have resulted in unauthorized disbursements of cash.

Accordingly, this deficiency was determined to constitute a material weakness.

MoneyLion has undertaken steps to remediate the material weakness and we are evaluating the steps that have been taken under Gen’s control framework.

(d) Limitations on Effectiveness of Controls

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Insider adoption or termination of trading arrangements

During the fiscal quarter ended March 28, 2025, none of our directors or officers (as defined in Section 16 of the Securities Exchange Act of 1934, as amended) informed us of the adoption or termination of a “Rule 10b5-1 trading arrangement” or “non-Rule 10b5-1 trading arrangement,” as defined in Regulation S-K, Item 408.

During the fiscal quarter ended April 3, 2026, none of our directors or officers (as defined in Section 16 of the Securities Exchange Act of 1934, as amended) informed us of the adoption or termination of a “Rule 10b5-1 trading arrangement” or “non-Rule 10b5-1 trading arrangement,” as defined in Regulation S-K, Item 408.

Disclosure Regarding Foreign Jurisdictions that Prevent Inspections

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Directors, Executive Officers and Corporate Governance

The information required by this item will be included under the caption “Directors, Executive Officers, and Corporate Governance” in our proxy statement for the 2025 Annual Meeting to be filed with the SEC within 120 days of the fiscal year ended March 28, 2025 (the 2025 Proxy Statement) and is incorporated herein by reference .

The information required by this item will be included under the captions “The Board and Its Committees”, “Our Executive Officers” and “Corporate Governance” in our proxy statement for the 2026 Annual Meeting to be filed with the SEC within 120 days of the fiscal year ended April 3, 2026 (the 2026 Proxy Statement) and is incorporated herein by reference .

With regard to the information required by this item regarding compliance with Section 16(a) of the Exchange Act, we will provide disclosure of delinquent Section 16(a) reports, if any, in the 2026 Proxy Statement, and such disclosure, if any, is incorporated herein by reference.

Insider trading arrangements and policies

We are committed to promoting high standards of ethical business conduct and compliance with applicable laws, rules and regulations.

As part of this commitment, we have adopted our Insider Trading Policy governing the purchase, sale, and/or other dispositions of our securities by our directors, officers, and employees that we believe is reasonably designed to promote compliance with insider trading laws, rules and regulations, and the exchange listing standards applicable to us.

A copy of our Insider Trading Policy is filed as Exhibit 19.01 to this Annual Report on Form 10-K.

Executive Compensation

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Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

The information required by this item will be included under the captions “Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters” and “Equity Compensation Plans” in our 2025 Proxy Statement and is incorporated herein by reference.

The information required by this item will be included under the captions “Security Ownership of Certain Beneficial Owners and Management” and “Equity Compensation Plan Information” in our 2026 Proxy Statement and is incorporated herein by reference.

Certain Relationships and Related Transactions, and Director Independence

The information required by this item will be included under the caption “Certain Relationships and Related Transactions, and Director Independence” in our 2025 Proxy Statement and is incorporated herein by reference.

The information required by this item will be included under the captions “Certain Relationships and Related Transactions” and “Board Independence” in our 2026 Proxy Statement and is incorporated herein by reference.

Principal Accountant Fees and Services

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Recent Accounting Standards

Assets Held for Sale

S ale of Instacash Advances

Business Combinations

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We have audited the accompanying consolidated balance sheets of Gen Digital Inc.

and subsidiaries (the Company) as of March 28, 2025 and March 29, 2024, the related consolidated statements of operations, comprehensive income (loss), stockholders’ equity (deficit), and cash flows for each of the years in the three-year period ended March 28, 2025, and the related notes (collectively, the consolidated financial statements).

We also have audited the Company’s internal control over financial reporting as of March 28, 2025, based on criteria established in Internal Control – Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission.

In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of the Company as of March 28, 2025 and March 29, 2024, and the results of its operations and its cash flows for each of the years in the three-year period ended March 28, 2025, in conformity with U.S.

and subsidiaries (the Company) as of April 3, 2026 and March 28, 2025, the related consolidated statements of operations, comprehensive income (loss), stockholders’ equity (deficit), and cash flows for each of the years in the three-year period ended April 3, 2026, and the related notes (collectively, the consolidated financial statements).

We also have audited the Company’s internal control over financial reporting as of April 3, 2026, based on criteria established in Internal Control – Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission.

In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the financial position of the Company as of April 3, 2026 and March 28, 2025, and the results of its operations and its cash flows for each of the years in the three-year period ended April 3, 2026, in conformity with U.S.

generally accepted accounting principles.

Also in our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of March 28, 2025 based on criteria established in Internal Control – Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission.

Also in our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of April 3, 2026 based on criteria established in Internal Control – Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission.

The Company acquired MoneyLion Inc.

during the year ended April 3, 2026, and management excluded from its assessment of the effectiveness of the Company’s internal control over financial reporting as of April 3, 2026, MoneyLion Inc.’s internal control over financial reporting associated with total assets (excluding goodwill and intangibles) and total revenues representing approximately 2%, or $354 million, and 16%, or $823 million, respectively, included in the consolidated financial statements of the Company as of and for the year ended April 3, 2026.

Our audit of internal control over financial reporting of the Company also excluded an evaluation of the internal control over financial reporting of MoneyLion Inc.

Basis for Opinions

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The processing of customer orders through to the determination of net revenues to be recognized is reliant upon multiple information technology (IT) systems.

The Company recorded $3,935 million of net revenues for the year ended March 28, 2025.

The Company recorded $5,000 million of net revenues for the year ended April 3, 2026.

We identified the evaluation of sufficiency of audit evidence over net revenues as a critical audit matter.

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We evaluated the sufficiency of audit evidence obtained over net revenues by assessing the results of procedures performed.

Assessment of uncertain tax positions

As discussed in Notes 1 and 13 to the consolidated financial statements, as of March 28, 2025, the Company recorded accruals for unrecognized tax benefits.

The Company evaluates uncertain tax positions to determine whether it is more likely than not that the tax position will be sustained upon examination by the taxing authorities based on the technical merits of the position.

As of March 28, 2025, the Company has a liability for gross unrecognized tax benefits of $1,153 million.

We identified the assessment of uncertain tax positions as a critical audit matter.

Complex auditor judgment, including the involvement of tax professionals with specialized skills and knowledge, was required to evaluate the Company’s determination of uncertain tax positions, which included assessing the Company’s interpretation and application of tax laws globally across multiple jurisdictions.

Accounting for the Sale of Instacash Advances

As discussed in Note 3 to the consolidated financial statements, the Company originates and sells Instacash Advances pursuant to a Master Receivables Purchase Agreement.

These advances are not loans and carry no contractual obligation for customer repayment.

The Company accounts for the transfer of these advances as sales of financial assets under ASC 860, Transfers and Servicing .

During the year, Instacash Advances sold aggregated $4,126 million with a resulting loss on sale of $205 million.

As of April 3, 2026, the Company was servicing $343 million of sold Instacash Advances.

We identified the evaluation of the accounting for Instacash Advances as a critical audit matter.

Complex auditor judgment was required to evaluate whether the terms and conditions of Instacash Advances met the criteria for sale of financial asset accounting under relevant accounting guidance.

The following are the primary procedures we performed to address this critical audit matter.

We evaluated the design and tested the operating effectiveness of certain internal controls over the Company’s uncertain tax positions process, including controls related to the determination of uncertain tax positions, which included assessing the Company’s interpretation and application of tax laws.

We evaluated the Company’s ability to identify and determine its uncertain tax positions by comparing historical uncertain tax positions to actual outcomes upon conclusion of tax examinations.

We involved tax professionals with specialized skills and knowledge, who assisted in:

● Obtaining an understanding of the Company’s overall tax structure across multiple jurisdictions and assessing the Company’s compliance with tax laws globally,

● Evaluating changes in tax law, and assessing the interpretation under the relevant jurisdictions’ tax law,

● Inspecting settlements with taxing authorities to assess the Company’s determination of its tax positions,

● Inspecting correspondence and agreements with taxing authorities, reading internal meeting minutes, and evaluating the status of income tax audits with relevant tax authorities, and

● Performing an assessment of the Company’s tax positions and comparing to the results of the Company’s assessment.

We evaluated the design and tested the operating effectiveness of an internal control related to the Instacash sale accounting.

We involved accounting professionals with specialized skills and knowledge, who assisted in evaluating management's accounting analysis and related disclosures and inspecting the underlying agreements to assess the application of the accounting guidance.

Additionally, for a sample of Instacash transactions, we compared the originations, transfers and repayments to the underlying documentation as well as the Company's accounting policy to determine that the transactions were accounted for in accordance with the relevant accounting guidance.

We have served as the Company’s auditor since 2002.

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(In millions, except par value per share amounts)

March 28, 2025 March 29, 2024

April 3, 2026 March 28, 2025

Current assets:

Cash and cash equivalents $ 1,006 $ 846

Cash, cash equivalents and restricted cash $ 411 $ 1,006

Accounts receivable, net 361 171

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Goodwill 10,996 10,237

Deferred income tax assets 1,153 1,218

Other long-term assets 192 269

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3,000 shares authorized;

617 and 623 shares issued and outstanding as of March 28, 2025 and March 29, 2024, respectively

598 and 617 shares issued and outstanding as of April 3, 2026 and March 28, 2025, respectively

Accumulated other comprehensive income (loss) 1 ( 33 )

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(In millions, except per share amounts)

March 28, 2025 March 29, 2024 March 31, 2023

April 3, 2026 March 28, 2025 March 29, 2024

Net revenues $ 5,000 $ 3,935 $ 3,800

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(In millions)

March 28, 2025 March 29, 2024 March 31, 2023

April 3, 2026 March 28, 2025 March 29, 2024

Net income (loss) $ 973 $ 643 $ 607

Other comprehensive income (loss), net of taxes:

Foreign currency translation adjustments ( 31 ) 10 ( 11 )

Net unrealized gain (loss) on interest rate derivative instruments ( 13 ) 16 —

Foreign currency translation gain (loss) 37 ( 31 ) 10

Net unrealized gain (loss) on interest rate derivative ( 3 ) ( 13 ) 16

Other comprehensive income (loss), net of taxes 34 ( 44 ) 26

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Shares Amount

Balance as of April 1, 2022 582 $ 1,851 $ ( 4 ) $ ( 1,973 ) $ ( 126 )

Balance as of March 31, 2023 640 $ 2,800 $ ( 15 ) $ ( 633 ) $ 2,152

Net income (loss) — — — 607 607

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Repurchases of common stock (1)

( 21 ) ( 444 ) — — ( 444 )

Cash dividends declared ($ 0.50 per share of common stock) and dividend equivalents accrued

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Stock-based compensation — 138 — — 138

Extinguishment of convertible debt — ( 100 ) — — ( 100 )

Cumulative effect adjustment from adoption of ASU 2020-06 (1)

— ( 7 ) — 6 ( 1 )

Acquisition consideration 94 2,141 — — 2,141

Balance as of March 29, 2024 623 2,227 11 ( 98 ) 2,140

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Stock-based compensation — 237 — — 237

Balance as of March 28, 2025 617 $ 2,066 $ ( 33 ) $ 236 $ 2,269

(1) Effective on April 2, 2022, we adopted ASU 2020-06 (Debt with Conversion and Other Options, ASC 470-20) using a modified retrospective method.

Fair value of replacement awards issued in connection with business acquisitions — 21 — — 21

Fair value of CVR issued in connection with business acquisitions — 73 — — 73

Balance as of April 3, 2026 598 $ 2,341 $ 1 $ 269 $ 2,611

(1) Amount includes excise tax on share repurchases.

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(In millions)

March 28, 2025 March 29, 2024 March 31, 2023

April 3, 2026 March 28, 2025 March 29, 2024

OPERATING ACTIVITIES:

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Stock-based compensation expense 237 133 138

Loss on sale of Instacash Advances 205 — —

Deferred income taxes 92 ( 32 ) ( 991 )

Loss (gain) on extinguishment of debt — — 9

Loss on extinguishment of debt 9 — —

Gain on sale of nonfinancial assets ( 15 ) — —

Gain on sale of properties — — ( 9 )

Non-cash operating lease expense 18 16 18

Impairment on non-marketable equity investments 30 40 —

Legal contract dispute cost (Note 1)

Change in fair value and impairment of non-marketable equity investments 79 30 40

Foreign currency remeasurement loss (gain) 54 ( 2 ) ( 18 )

Legal contract dispute cost (1)

Other 47 13 40

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Income taxes payable ( 96 ) ( 80 ) 446

Instacash Advances held for sale, net ( 205 ) — —

Other assets 16 86 861

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Payments for acquisitions, net of cash acquired ( 1,032 ) ( 84 ) —

Payments for originations of notes receivable ( 283 ) — —

Proceeds from principal repayments of notes receivable 253 — —

Proceeds from the maturities and sales of short-term investments 13 — —

Proceeds from the sale of properties 21 — 25

Proceeds from sale of nonfinancial assets 40 — —

Other ( 1 ) 3 ( 3 )

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FINANCING ACTIVITIES:

Repayments of debt and related equity component ( 1,311 ) ( 1,183 ) ( 3,047 )

Repayments of debt ( 3,620 ) ( 1,311 ) ( 1,183 )

Proceeds from issuance of debt, net of issuance costs (2)

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Net cash provided by (used in) financing activities ( 1,133 ) ( 970 ) ( 1,961 )

Effect of exchange rate fluctuations on cash and cash equivalents 9 ( 9 ) ( 28 )

Change in cash and cash equivalents 160 96 ( 1,137 )

Beginning cash and cash equivalents 846 750 1,887

Ending cash and cash equivalents $ 1,006 $ 846 $ 750

Effect of exchange rate fluctuations on cash, cash equivalents and restricted cash 4 9 ( 9 )

Change in cash, cash equivalents and restricted cash ( 595 ) 160 96

Beginning cash, cash equivalents and restricted cash 1,006 846 750

Ending cash, cash equivalents and restricted cash $ 411 $ 1,006 $ 846

(1) During fiscal 2025, in connection with a legal settlement terminating our agreement with an Avast e-commerce partner that acted as payment processor and merchant of record for a subset of customers, we released our claims to $ 66 million of outstanding accounts receivable (net of any fees payable) in exchange for the transfer of the related customer information to us.

The $ 66 million was charged off as general and administrative expense and is reflected as a non-cash item within the change in accounts receivable in operating activities for fiscal 2025.

No comparable activity occurred in fiscal 2026 or fiscal 2024.

(2) Issuance costs paid for issuance of debt for fiscal year ended 2026 and 2025 was $ 16 million and $ 9 million, respectively.

The accompanying Notes to the Consolidated Financial Statements are an integral part of these statements.

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Gen Digital Inc.

is a global company powering Digital Freedom with a family of trusted brands including Norton, Avast, LifeLock and more.

Our cyber safety portfolio provides protection across multiple channels and geographies, including security and performance, identity protection, and online privacy.

Our technology platforms bring together software and service capabilities into comprehensive and easy-to-use products and solutions across our brands.

We have also evolved beyond traditional cyber safety to offer adjacent trust-based solutions, including digital identity and access management, digital reputation, and restoration support services.

is a global leader in consumer Cyber Safety and Trust-Based Solutions, empowering people around the world to live safer digital lives while building confidence and control over their financial futures.

Through its trusted brands, including Norton, Avast, LifeLock and MoneyLion, Gen offers cybersecurity, online privacy, identity protection and financial wellness solutions to consumers worldwide.

Basis of presentation

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We have a 52/53-week fiscal year ending on the Friday closest to March 31.

Fiscal 2025, 2024 and 2023 in this report refers to fiscal years ended March 28, 2025, March 29, 2024 and March 31, 2023, respectively, each of which was a 52-week year.

Fiscal 2026, 2025 and 2024 in this report refers to fiscal years ended April 3, 2026, March 28, 2025 and March 29, 2024, respectively.

Fiscal year 2026 consisted of 53 weeks, whereas fiscal years 2025 and 2024 each consisted of 52 weeks.

Use of estimates

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GAAP requires management to make estimates, judgments and assumptions that affect the amounts reported and disclosed in the Consolidated Financial Statements and accompanying Notes.

Such estimates include, but are not limited to, valuation of business combinations including acquired intangible assets and goodwill, loss contingencies, the recognition and measurement of current and deferred income taxes, including assessment of unrecognized tax benefits, and valuation of assets and liabilities.

Such estimates include, but are not limited to, valuation of business combinations including acquired intangible assets and goodwill, loss contingencies, provision for credit losses, valuation of our contingent value rights (CVRs), the recognition and measurement of current and deferred income taxes, including assessment of unrecognized tax benefits, and valuation of assets and liabilities.

On an ongoing basis, management determines these estimates and assumptions based on historical experience and on various other assumptions that are believed to be reasonable.

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Revenue is recognized net of any taxes collected from customers and subsequently remitted to governmental authorities.

Our customers are primarily users of our products and solutions who sign up on our e-commerce platform and have a direct billing relationship with us.

Our customers are primarily users of our products and solutions and have a direct billing relationship with us.

However, our customers, also include users who do not have a direct billing relationship with us but register on our e-commerce site through our e-commerce partners.

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Revenue from these e-commerce partners is recognized on a gross basis, excluding fees paid to e-commerce partners.

We also generate revenue from stand-ready referral arrangements with third-party partners based on variable transaction prices.

Revenue from these arrangements is recognized in the period in which services are provided, to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is resolved.

We offer various channel rebates for our products.

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We record estimated reserves for rebates as an offset to revenue or contract liabilities.

As of March 28, 2025 and March 29, 2024, reserves for rebates, recorded in Other current liabilities, were $ 2 million and $ 4 million, respectively.

As of April 3, 2026 and March 28, 2025, reserves for rebates, recorded in Other current liabilities, were $ 4 million and $ 2 million, respectively.

For products that include content updates and services, rebates are recognized as a ratable offset to revenue or contract liabilities over the term of the subscription.

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Revenue from services is recognized as services are completed or ratably over the contractual period.

Sale of Instacash Advances

Sales of Instacash Advances (the amount advanced to the customer) are accounted for as a sale when we determine that the Instacash Advances meet all the necessary criteria, including legal isolation for transferred assets, lack of constraint on the transferee to pledge or exchange the transferred assets for their benefit and the transfer of control.

As a result, we no longer record these Instacash Advances in our Consolidated Financial Statements.

We have also concluded that our continuing involvement in the sales arrangement does not affect this determination.

We retain the servicing rights for the Instacash Advances sold and receive a market-based service fee for servicing the assets sold.

Instacash Advances held for sale are recorded at the lower of cost or fair value.

If fair value is lower than cost, the difference between cost and fair value is recorded as a component of loss on sale within our sales and marketing expense in the Consolidated Statement of Operations.

If we no longer have the intent to sell Instacash Advances held for sale, they are reclassified to Accounts Receivables, net at cost.

Net Interest Income on Notes Receivables

Net interest income on notes receivables is generated by interest earned on our Credit Builder Loan product, which are classified as notes receivables within accounts receivable, net on the Consolidated Balance Sheet.

Interest income and the related accrued interest receivables on notes receivables are accrued based upon the daily principal amount outstanding except for loans that are on nonaccrual status.

We recognize interest income using the effective interest method.

Our policy is to suspend recognition of interest income on notes receivables and place the loan on nonaccrual status when the account is 60 days or more past due on a contractual basis or when, in our estimation, the collectability of the account is uncertain and has not yet been charged-off.

Fair value measurements

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Accounts receivable are recorded at the invoiced amount and are not interest bearing.

We maintain an allowance for doubtful accounts or expected credit losses to reserve for expected uncollectible receivables.

We review our accounts receivable by aging category to identify specific customers with known disputes or collectability issues.

In addition, we maintain an allowance for all other receivables not included in the specific reserve by applying specific percentages of projected uncollectible receivables to the various aging categories.

In determining these percentages, we use judgment based on our historical collection experience and current economic trends as well as reasonable and supportable forecasts of future economic conditions.

Assets held for sale

Long-lived assets held for sale are recorded at the lower of carrying value or fair value less costs to sell.

Fair value is determined based on discounted cash flows, appraised values or management’s estimates, depending upon the nature of the assets and external data available.

We maintain an allowance for credit losses to reserve for expected uncollectible receivables.

We also maintain an allowance for credit losses on notes receivable, related accrued interest and retained Instacash Advances.

The allowance is recorded through a provision for credit losses and subsequent charge-offs, net of recoveries, are applied directly against this allowance.

We review our accounts receivable by aging category to identify specific customers or accounts with known disputes, delinquencies or collectability issues.

In addition, we maintain an allowance for all other receivables not included in the specific reserve by applying estimates of expected credit losses to receivables with similar risk characteristics.

Due to the short-term nature of certain receivables, recent delinquency and charge-off trends are a primary consideration in estimating expected credit losses for those balances.

Our policy is to charge off notes receivable, related accrued interest and certain trade receivables, net of expected recoveries, in the month an account becomes 90 days contractually past due or earlier in the month an account is determined to be uncollectible.

We determine past-due status based on contractual payment terms, which serve as a credit quality indicator.

Restricted Cash

Restricted cash consists of cash we are required to hold in reserve under our arrangements with certain vendors, including payment processors and partner banks, to support loan and Instacash Advance processing and funding activities.

All cash accounts are held in federally insured institutions, which may at times exceed federally insured limits.

Property and equipment

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leasehold improvements, the lesser of the life of the improvement or the initial lease term, and computer hardware and software and office furniture and equipment, 3 to 5 years.

Software development costs

The costs for the development of new software products and substantial enhancements to existing software products are expensed as incurred until technological feasibility has been established, at which time any additional costs would be capitalized in accordance with the accounting guidance for software.

Because our current process for developing software is essentially completed concurrently with the establishment of technological feasibility, which occurs upon the completion of a working model, no costs have been capitalized for any of the periods presented.

Internal-use software development costs

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We expense costs incurred related to the planning and post-implementation phases of development as incurred.

As of March 28, 2025 and March 29, 2024, capitalized costs, net of amortization, were $ 6 million and $ 5 million, respectively.

As of April 3, 2026 and March 28, 2025, capitalized costs, net of amortization, were $ 9 million and $ 6 million, respectively.

We determine if an arrangement is a lease at inception.

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We do not assume renewals in our determination of the lease term unless it is reasonably certain that we will exercise that option.

Lease costs for minimum lease payments for operating leases are recognized on a straight-line basis over the lease term.

Lease costs for minimum lease payments for

operating leases are recognized on a straight-line basis over the lease term.

Our lease agreements do not contain any residual value guarantees.

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Goodwill is recorded when consideration paid for an acquisition exceeds the fair value of net tangible and intangible assets acquired.

Goodwill is allocated to our reporting units, which are an operating segment or one level below an operating segment.

We perform an impairment assessment of goodwill at the reporting unit level at least annually in the fourth quarter of each fiscal year, or more frequently if events or changes in circumstances indicate that the asset may be impaired.

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Measurement of an impairment loss is based on the excess of the carrying amount of the asset group over its fair value.

In fiscal year 2025, based on our qualitative assessment, we recognized an impairment of $ 3 million related to our long-lived assets.

There were no impairments of long-lived assets recognized during fiscal 2026 and 2024.

In fiscal year 2025, based on our qualitative assessment, we recognized an impairment of $ 3 million related to our long-lived assets.

Contract liabilities

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Upon retirement, we allocate the value of treasury stock between Additional paid-in capital and Retained earnings.

Contingent Value Rights (CVRs)

We account for warrants as either equity-classified or liability-classified instruments based on an assessment of the warrant’s specific terms and applicable authoritative guidance in ASC 480, Distinguishing Liabilities from Equity and ASC 815, Derivatives and Hedging .

The assessment considers whether the warrants are freestanding financial instruments pursuant to ASC 480, meet the definition of liability pursuant to ASC 480, and whether the warrants meet all the requirements for equity classification under ASC 815, including whether the warrants are indexed to our own common stock, among other conditions for equity classification.

The currently outstanding CVRs issued as part of the MoneyLion acquisition consideration are classified as equity under these conditions.

Restructuring

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Stock-based compensation

We measure and recognize stock-based compensation for all stock-based awards, including restricted stock units (RSU), performance-based restricted stock units (PRU), stock options and rights to purchase shares under our employee stock

purchase plan (ESPP), based on their estimated fair value on the grant date.

We recognize the costs in our Consolidated Financial Statements on a straight-line basis over the award’s requisite service period except for PRUs with graded vesting, for which we recognize the costs on a graded basis.

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The fair value of each PRU that contains a market condition is estimated using the Monte Carlo simulation model.

The fair values of RSUs and PRUs are not discounted by the dividend yield because our RSUs and PRUs include dividend-equivalent rights, except for the 4 million unvested RSUs assumed as part of our acquisition of Avast.

We use the Black-Scholes model to determine the fair value of stock options and the fair value of rights to acquire shares of common stock under our ESPP .

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dollar against foreign currencies, changes in local regulatory or economic conditions, or piracy could adversely affect our operating results.

Financial instruments that potentially subject us to concentrations of risk consist principally of cash and cash equivalents and trade accounts receivable.

Our investment policy limits the amount of credit risk exposure to any one issuer and to any one country.

A majority of our trade receivables are derived from sales to E-commerce partners and retailers.

The credit risk in our trade accounts receivable is substantially mitigated by our credit evaluation process, reasonably short collection terms and the geographical dispersion of sales transactions.

E-commerce partners that accounted for over 10% of our total billed and unbilled accounts receivable, are as follows:

March 28, 2025 March 29, 2024

E-commerce partner A

E-commerce partner B

At the end of our third fiscal quarter of 2025, E-commerce Partner B, who acts as the payment processor and merchant of record for a subset of Avast customers, missed its contractually required payment.

Additional contractually required payments were missed in the first few weeks of our fourth fiscal quarter ending March 28, 2025.

In January 2025, E-commerce partner B cited financial difficulties, which raised our concerns about its solvency and ability to comply with the contractual terms of the agreement.

On January 16, 2025, we notified them of our termination of the agreement.

After further settlement discussions, the parties agreed to resolve all disputes between them, including but not limited to claims of breach of the agreement, and the parties entered into a legal settlement agreement.

Under the terms of the legal settlement agreement, E-commerce partner B transferred all of our customer information to us, and we released our claims to valid outstanding accounts receivable (net of any fees payable) from E-commerce partner B, totaling $ 66 million as of January 17, 2025, along with customary releases for the parties.

As a result, a total of $ 66 million of accounts receivable from E-commerce partner B were charged off as general and administrative expense during fiscal 2025.

We are exposed to credit risk principally through cash, cash equivalents and restricted cash and trade accounts receivable.

The associated risk of concentration for cash, cash equivalents and restricted cash is mitigated by maintaining balances with creditworthy financial institutions in accordance with our investment policy, which limits the amount of credit exposure to any one bank and to any one country.

At certain times, amounts on deposit may exceed federal deposit insurance limits.

A majority of our trade receivables are derived from sales to E-commerce partners and retailers that distribute our cyber safety products.

We also make consumer loans and advances to our Trust-Based Solutions customers.

The credit risk in our trade accounts receivable is substantially mitigated by our credit evaluation process, reasonably short collection terms, and the consumer nature and geographical dispersion of sales transactions.

We maintain an allowance for credit losses on our trade accounts receivable.

No e-commerce partners accounted for over 10% of our total billed and unbilled accounts receivable for the fiscal year ended April 3, 2026.

One e-commerce partner accounted for approximately 11 % of accounts receivable as of March 28, 2025.

Advertising and other promotional costs

7 unchanged sentences

As additional information becomes available, we reassess the potential liability related to our pending claims and litigation and may revise our estimates.

Revision of Prior Period Financial Statements

Historically, we had a practice of recognizing revenue for certain groups of customer renewals on the successful billing date, rather than the renewal start date.

This practice was instituted to align with our system which was configured and implemented

based on payment confirmation from e-commerce partners.

In the first quarter of fiscal 2025, we changed the practice to recognize revenue for these groups on the renewal start date.

We concluded that the impact of this change is not material to any previously issued annual or interim financial statements;

however, we have revised previously reported financial information.

We have corrected this error in the accompanying Consolidated Balance Sheet as of March 29, 2024 by increasing contract liabilities for $ 78 million, increasing other long-term assets for $ 21 million and decreasing retained earnings (accumulated deficit) for $ 57 million.

The Consolidated Statements of Operations for the years ended March 29, 2024 and March 31, 2023 included a decrease to net revenues of $ 12 million and $ 21 million, respectively, and a decrease to income tax expense (benefit) of $ 3 million and $ 6 million, respectively.

Government Regulation

We are subject to various state and federal laws and regulations in each of the states in which we operate, which are subject to change and may impose significant costs or limitations on the way we conduct or expand our business.

Our consumer loans and advances are originated under individual state laws, which may carry different rate and rate limits, and have varying terms and conditions depending upon the state in which they are offered.

We are also subject to state licensing requirements of each individual U.S.

state in which we operate, including with respect to certain consumer lending, life insurance and mortgage products and services that we offer directly or to which we connect consumers through third parties.

Other governmental regulations include, but are not limited to, imposed limits on certain charges, insurance products and required licensing and qualifications.

Recent Accounting Standards

Recently adopted authoritative guidance

ASU 2023-07, Segment Reporting (Topic 280):

Improvements to Reportable Segment Disclosures.

In November 2023, the Financial Accounting Standards Board (FASB) issued new guidance to update reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses and information used to assess segment performance.

The ASU also clarifies circumstances in which an entity can disclose multiple segment measures of profit or loss and provide new segment disclosure requirement for entities with a single reportable segment.

This is effective for fiscal years beginning after December 15, 2023 and interim periods within fiscal years beginning after December 15, 2024.

On March 30, 2024, the first day of fiscal 2025, we adopted this guidance and have provided the required disclosures in Note 17.

Although there are several other new accounting pronouncements issued or proposed by the FASB that we have adopted or will adopt, as applicable, we do not believe any of these accounting pronouncements has had, or will have, a material impact on our Consolidated Financial Statements or disclosures.

Assets Held for Sale

During fiscal 2020, we reclassified certain land and buildings previously reported as property and equipment to assets held for sale when the properties were approved for immediate sale in their present condition and the sale was expected to be completed within one year.

However, the commercial real estate market was adversely affected by the COVID-19 pandemic, which delayed the expected timing of such sales.

During the third quarter of fiscal 2024, we completed the sale of certain land and buildings in Tucson, Arizona, which were previously classified as held for sale, for cash consideration of $ 12 million, net of selling costs.

We recognized a gain on sale of $ 5 million.

During fiscal 2023, we determined land and buildings in Dublin, Ireland, which were previously reported as property and equipment, qualified as held for sale.

During the first quarter of fiscal 2024, we completed the sale of certain land and buildings in Dublin, Ireland, for cash consideration of $ 13 million, net of selling costs, and recognized a gain on sale of $ 4 million.

The remaining land and building in Dublin, Ireland, remains as held for sale.

We have taken into consideration the current real estate values and demand and continue to execute pla ns to sell the remaining property.

During the fiscal year 2025, we recognized immaterial impairments representing the difference between the fair value less cost to sell and the carrying value of the remaining land and building in Dublin, Ireland.

As of March 28, 2025, this property remains classified as assets held for sale.

During the second quarter of fiscal 2025, we determined certain land and buildings in Tettnang, Germany, which were previously reported as property and equipment, qualified as held for sale classification.

As a result, we reclassified the aggregate $ 12 million carrying value from property and equipment, net to assets held for sale in our Consolidated Balance Sheet.

Upon reclassification, we recognized an immaterial impairment representing the difference between the fair value less cost to sell and the carrying value of the property.

On December 18, 2024, we entered into an agreement to sell certain land and buildings in Tettnang, Germany, for cash consideration of approximately $ 9 million and a 5-year leaseback agreement for a portion of the property.

As of March 28, 2025, this property remains classified as assets held for sale.

Subsequent to March 28, 2025, the transaction closed and proceeds were received on April 2, 2025.

During fiscal 2025, we recognized immaterial impairments on our held for sale properties, which was included in Other Income (expense), net in our Consolidated Statement of Operations, because the fair value less costs to sell is less than the carrying value of our properties.

ASU 2023-09, Income Taxes (Topic 740):

Improvements to Income Tax Disclosures.

In December 2023, the FASB issued new guidance to update income tax disclosure requirements, requiring disaggregated information about an entity’s effective tax rate reconciliation as well as income taxes paid.

This is effective for fiscal years beginning after December 15, 2024.

We have adopted the standard in our Annual Report on Form 10-K for the fiscal year ended April 3, 2026 using a prospective approach in Note 13.

The adoption of the standard has resulted in the modification of our disclosures but had no impact on our consolidated financial position, results of operations or statement of cash flows.

Sale of Instacash Advances

Instacash Advance Product Overview

Instacash Advances are our non-recourse earned wage access (EWA) product that provides customers with early access to their anticipated income deposits.

Customers who link a bank account can access Instacash Advances at any time during a regular deposit period, up to an approved limit.

This product gives customers financial flexibility to address short-term cash needs.

Instacash Advance eligibility is based on verification of the customer’s identity, the linked bank account and identification of recurring income deposits.

Repayments are made via pre-authorized bank debits, which customers may cancel without penalty,

modify, defer, or reschedule within allowable limits.

Customers must be current on Instacash Advance repayments in order to access new ones.

Instacash Advances do not bear interest or mandatory fees.

There are no fees for standard fund delivery, although expedited delivery is available for an optional fee (Turbo Fee).

Customers may also leave an optional tip (Tip) for use of the service.

Accounting for Instacash Advances

Instacash Advances are not loans.

The customer has no contractual obligation to repay an Instacash Advance, although the customer must be current on Instacash Advance repayments to request another Instacash Advance.

At the point of Instacash Advance origination, the customer requests an available Instacash Advance amount, decides whether to incur an optional Turbo Fee and leave a tip, confirms the scheduled repayment date and authorizes automatic debit repayment.

In the absence of directly applicable authoritative guidance, although Instacash Advances do not meet the U.S.

GAAP definition of financial assets, we believe that financial asset accounting is the most relevant for financial reporting purposes, as there is a history of customers repaying the amount advanced.

We originate Instacash Advances with an intent to immediately sell, and sales of Instacash Advances are accounted for as sales under ASC 860, Transfers and Servicing (ASC 860), when all required conditions are met, including legal isolation of the transferred assets, no constraints on the transferee’s ability to pledge or exchange the assets, and no effective control over the assets.

Instacash Advances are sold pursuant to a Master Receivables Purchase Agreement (the Purchase Agreement) with Sound Point Capital Management LP (Sound Point).

The Purchase Agreement has an initial two-year term beginning on June 30, 2024, with a one-year extension option upon mutual agreement.

The Purchase Agreement allows the purchasers to acquire, on a committed basis and subject to certain conditions and concentration limits, a majority of our eligible Instacash Advances, up to an aggregate facility limit of $ 225 million at any given time.

During fiscal 2026, we sold $ 4,126 million of Instacash Advances under the Purchase Agreement and had no unused capacity as of April 3, 2026.

Optional Turbo Fees and Tips associated with Instacash Advances are excluded from the sale and are not transferred under the Purchase Agreement.

Each Instacash Advance portfolio is initially priced at a fixed discount based on historical portfolio performance and loss rates.

Future purchase prices are subject to adjustment based on the updated portfolio performance and changes to the applicable discount rate.

Consistent with ASC 860, Instacash Advances sold under the Purchase Agreement are removed from our balance sheet.

We retain the associated servicing rights and earn a market-based servicing fee.

Turbo Fees and Tips are recognized after performance is completed and cash is collected.

Instacash Advances that have been originated and are pending sale under the Purchase Agreement are classified as held for sale and are measured at the lower of cost or fair value.

During fiscal 2026, we recognized $ 205 million in loss on the mark-to-market and sale of Instacash Advances, which is recorded in sales and marketing in our Consolidated Statement of Operations.

If an Instacash Advance does not qualify for sale pursuant to the Purchase Agreement or if the intent to sell ceases, the Instacash Advance is reclassified to Accounts receivable, net, and carried at net realizable value.

In connection with the Purchase Agreement, MoneyLion Technologies Inc.

(the Servicer), a wholly owned subsidiary of ours, entered into a Servicing Agreement with Sound Point and the purchasers party thereto.

Under this agreement, we are responsible for servicing the sold receivables, including collections, remittances, and reporting.

We earn a fixed percentage of net collections as a servicing fee, which is recognized as income when collections are received.

As of April 3, 2026, we were responsible for servicing $ 343 million of Instacash Advances sold under the Purchase Agreement.

During fiscal 2026, we recognized $ 59 million in servicing income , recorded in Net revenues in our Consolidated Statement of Operations.

As of April 3, 2026, we had $ 32 million payable to Sound Point relating to the servicing activity, which will be settled using restricted cash and receivables from payment processors recorded in Other current assets.

Refer to Note 7 for a breakdown of our Instacash Advances balance, which is included in Accounts receivable, net in our Consolidated Balance Sheets.

Business Combinations

Fiscal 2023 Avast acquisition

During the second quarter of fiscal 2023, we acquired all of the outstanding common stock of Avast.

Avast has been included in our Consolidated Statements of Operations since the acquisition date.

Prior to the acquisition, Avast was a global leader in consumer cybersecurity, offering a comprehensive range of digital security and privacy products and services that protected and enhanced users’ online experiences.

With this acquisition, we are positioned to provide a broad and complementary consumer product portfolio with greater geographic diversification and access to a larger user base.

The total consideration for the acquisition of Avast was approximately $ 8,688 million, net of cash acquired.

Our final allocation of the aggregate purchase price for the acquisition as of September 12, 2022, was as follows:

(In millions) September 12, 2022

Fiscal 2025 acquisition

On January 28, 2025, we acquired all of the outstanding shares of a technology-enabled personal finance education and recommendation platform for an aggregate purchase price of $ 84 million, net of $ 1 million cash acquired.

The net purchase price was primarily allocated to goodwill and intangible assets of $ 52 million and $ 32 million, respectively.

Fiscal 2026 MoneyLion acquisition

On December 10, 2024, we entered into a definitive agreement to acquire MoneyLion.

We completed the acquisition of MoneyLion on April 17, 2025.

MoneyLion extends our identity solutions into offering comprehensive financial wellness through MoneyLion’s full-featured personal finance platform that includes credit building and financial management services.

Under the terms of the definitive agreement, each share of Class A common stock, par value $ 0.0001 per share, of MoneyLion, that was issued and outstanding as of immediately prior to the effective time of the acquisition was automatically cancelled, extinguished, and converted into the right to receive cash in an amount equal to $ 82.00 , without interest thereon.

Additionally, we cancelled all in-the money outstanding stock options, whether vested or unvested, and converted into the right to receive (i) an amount in cash, without interest thereon, equal to the product obtained by multiplying (a) the number of in-the-

money outstanding stock option immediately prior to the close by (b) the excess, if any, of MoneyLion’s closing stock price over the exercise price per share of such in-the-money stock option and (ii) one CVR in respect of each in-the-money stock option immediately prior to the close.

Any outstanding stock option with an exercise price greater than or equal to MoneyLion’s closing stock price per share was forfeited and canceled for no consideration.

We paid cash consideration of approximately $ 935 million for 100 % of MoneyLion’s issued and outstanding common stock and in-the-money outstanding stock options.

In addition, for each share owned, MoneyLion shareholders received at closing one CVR that entitles the holder to a contingent payment of $ 23.00 in the form of shares of our common stock (issuable based on an assumed share price of $ 30.48 per Gen share) if our average volume-weighted average share price reaches at least $ 37.50 per share over 30 consecutive trading days from December 10, 2024 until April 17, 2027.

As of the close of the acquisition, we issued 12 million CVRs representing a fair value of approximately $ 73 million.

Refer to Note 14 for further discussion on the CVRs.

Additionally, all outstanding and unvested RSUs and PSUs were assumed and converted into 4 million service-based RSUs of Gen’s common stock.

The conversion was calculated by multiplying the total number of unvested RSUs and PSUs by an equity conversion ratio of 3.48 .

All converted RSUs will vest in accordance with the vesting period set forth in the original award agreement assuming continued service by the recipients through such date.

The total fair value of these converted restricted stock awards was approximately $ 92 million, which $ 21 million was for pre-combination services and therefore, represents purchase consideration and $ 71 million will be recognized as stock-compensation expense over the requisite service period.

Consideration transferred

The total consideration for the acquisition of MoneyLion was approximately $ 951 million, net of cash acquired, and consisted of the following:

(In millions) April 17, 2025

Cash consideration for outstanding MoneyLion common shares

Fair value of assumed and converted equity awards

Fair value of CVRs

Total consideration 1,029

Less cash acquired

Net consideration transferred $ 951

Fair value of assets acquired and liabilities assumed

Our final allocation of the aggregate purchase price for the acquisition as of April 17, 2025 was as follows:

(In millions) April 17, 2025

Accounts receivable (1)

Other current assets 32

Assets held for sale

Property and equipment 2

1 unchanged sentence

Intangible assets 347

Goodwill 7,335

Other long-term assets 58

Total assets acquired 1,167

Accounts payable

Current liabilities 108

1 unchanged sentence

Operating lease liabilities 14

Long-term deferred tax liabilities 419

Other long-term obligations 52

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Total purchase price $ 951

Our estimates and assumptions were subject to refinement within the measurement period, which ended during the second quarter of fiscal 2024.

(1) Gross accounts receivable at acquisition date and the amount of receivables expected to be collected are materially the same.

Our estimates and assumptions were subject to refinement within the measurement period, which ended during the fourth quarter of fiscal 2026.

Adjustments to the purchase price during the measurement period required adjustments to be made to goodwill.

During the fourth quarter of fiscal 2026, we recorded measurement period adjustments resulting in a decrease to goodwill of $ 7 million, primarily related to deferred tax assets, which resulted in an increase of $ 7 million to other long-term assets.

The goodwill of $ 560 million represents the excess of the consideration transferred over the fair values of the assets acquired and liabilities assumed.

It is attributable to the expected synergies of the acquisition, including future cost savings from planned integration of infrastructure, facilities, personnel and systems, and other benefits that are anticipated to be generated by combining both companies.

Goodwill is allocated to our Trust-Based Solutions Segment.

The goodwill recognized is not expected to be deductible for U.S.

tax purposes.

See Note 6 for further information on goodwill.

The identified intangible assets and their respective useful lives, as of April 17, 2025, are as follows:

(In millions, except for useful lives) Fair Value Weighted-Average Estimated Useful Life

Customer and partner relationships (1)

Developed technology (2)

Finite-lived trade names and other (3)

Total identified intangible assets $ 347

(1) Customer and partner relationships include marketplace partner relationships, banking partner relationships, and customer relationships of $ 42 million, $ 4 million, and $ 56 million, respectively.

Marketplace partner relationships were valued using the multi-period excess earnings method (MPEEM), which is a form of the income approach, which considers significant assumptions like discount rate, long-term growth rate, and attrition factor.

Banking partner relationships and customer relationships were valued using the replacement cost approach.

The replacement cost approach is a valuation method that relies on estimating the replacement costs of assets based on the cost that a market participant would incur to generate the acquired portfolio of relationships.

(2) Developed technology was valued using the Relief-from-Royalty method, which is a form of the income approach, which considers significant assumptions like long-term growth rates, royalty rates, discount rates, and obsolescence rates.

(3) Finite-lived trade names and other include content library and the MoneyLion trade name intangibles of $ 14 million and $ 70 million, respectively.

Content library was valued using the replacement cost approach, which relies on estimating the replacement cost of the asset based on the cost of a market participant would incur to reconstruct a substitute asset of comparable utility.

The MoneyLion trade name was valued using the Relief-from-Royalty method, which considers significant assumptions like long-term growth rates, royalty rates, discount rates, and probability of use.

In connection with our acquisition of MoneyLion, we entered into the Second Amendment to Amended and Restated Credit Agreement (the Second Amendment) with certain financial institutions to fund a portion of the cash consideration paid, in which they agreed to provide to us a $ 750 million Incremental Term B Facility, which matures on April 16, 2032.

We incurred $ 9 million of debt issuance costs associated with the Incremental Term B Facility, which was capitalized and included in long-term debt in our Consolidated Balance Sheets.

See Note 10 for further information about this debt instrument and the related debt covenants.

Impact on operating results

Our results of operations for fiscal 2026 includes $ 823 million of net revenues attributable to MoneyLion beginning April 17, 2025.

It is impracticable to provide after-tax earnings attributable to MoneyLion subsequent to the acquisition due to the integration of our operations.

We do not consider MoneyLion to be a separate operating segment or reporting unit, but rather an integrated brand, selling and marketing strategy within our Trust-Based Solutions segment.

We recognized immaterial transaction costs during fiscal 2026.

These costs were primarily associated with legal and professional services, which were expensed as incurred and included in general and administrative expenses in our Consolidated Statement of Operations.

Unaudited pro forma information

The following unaudited pro forma financial information represents the combined historical results for the year ended March 31, 2023, as if the acquisition had been completed on April 3, 2021, the first day of fiscal 2022.

The results presented below include adjustments to conform Avast financial information, prepared in accordance with International Financial Reporting Standards (IFRS), to U.S.

GAAP as well as the impacts of material, nonrecurring pro forma adjustments, including amortization of acquired intangible assets, interest on debt issued to finance the acquisition, and acquisition-related transaction costs, and the income tax effect of the other pro forma adjustments.

The following unaudited pro forma financial information represents the combined historical results for the fiscal years 2026 and 2025, as if the acquisition had been completed on March 30, 2024, the first day of fiscal 2025.

The results below include the alignment of fiscal reporting periods and the impact of nonrecurring pro forma adjustments, including amortization of acquired intangible assets, interest on debt issued to finance the acquisition, stock-based compensation related to awards issued in conjunction with the acquisition, acquisition-related transaction costs, accounting policy alignment and the income tax effect of other pro forma adjustments.

The unaudited pro forma results do not include any anticipated synergies or other expected benefits of the acquisition.

The following table summarizes the unaudited pro forma financial information:

(In millions) March 31, 2023

(In millions) April 3, 2026 March 28, 2025

Net revenues $ 5,032 $ 4,469

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Fiscal 2026 acquisition

The net purchase price was primarily allocated to goodwill and intangible assets of $ 52 million and $ 32 million, respectively.

On March 10, 2026, we acquired all of the outstanding shares of a technology-enabled company that provides a digital personal insurance marketplace platform in the United States.

The platform delivers insurance comparison and advisory services using data-driven matching capabilities, real-time bidding technology, and conversational interfaces supported by licensed insurance advisors.

The acquisition brings additional insurance capabilities into the Engine by Gen marketplace.

The total purchase consideration was $ 175 million, net of $ 6 million cash acquired.

The acquisition was not material to our Consolidated Financial Statements for the fiscal year ended April 3, 2026.

Accordingly, we have not presented certain disclosures otherwise required by ASC 805, including the impact on our operating results or pro-forma financial information.

The accounting for the acquisition is preliminary as we continue to evaluate certain assets acquired and liabilities assumed.

The valuation of assets acquired and liabilities assumed remains in process.

As a result, the allocation of the purchase price has not been finalized.

We currently expect that the purchase consideration will be primarily allocated to goodwill in our Trust-Based Solutions Segment.

Based on preliminary estimates, approximately $ 171 million of the purchase consideration has been allocated to goodwill.

We expect to finalize the purchase price allocation during the measurement period, which will not exceed one year from the acquisition date.

Disaggregation of revenues

The following table summarizes the components of our net revenues:

(In millions) April 3, 2026 March 28, 2025 March 29, 2024

Subscription and service revenue (1)

$ 4,982 $ 3,935 $ 3,800

Net interest income on notes receivable

$ 5,000 $ 3,935 $ 3,800

(1) Subscription and service revenue includes amounts related to our Instacash Advances of $ 479 million in fiscal 2026.

Refer to Note 3 for additional information regarding our Instacash Advances.

Contract liabilities

1 unchanged sentence

Remaining performance obligations

Remaining performance obligations represent contracted revenue that has not been recognized, which include contract liabilities and amounts that will be billed and recognized as revenue in future periods.

As of March 28, 2025, we had $ 1,266 million of remaining performance obligations, excluding customer deposit liabilities of $ 657 million, of which we expect to recognize approximately 94 % as revenue over the next 12 months.

See Note 1 for a description of our revenue recognition policy and Note 17 for tabular disclosures of disaggregated revenue by solution and geographic region.

Remaining performance obligations represent contracted revenue that has not been recognized, which include contract liabilities and, when applicable, amounts that will be billed and recognized as revenue in future periods.

As of April 3, 2026, we had $ 1,320 million of remaining performance obligations, excluding customer deposit liabilities of $ 657 million, of which we expect to recognize approximately 94 % as revenue over the next 12 months.

See Note 1 for a description of our revenue recognition policy and Note 17 for tabular disclosures of disaggregated revenue by reportable segment and geographic region.

Goodwill and Intangible Assets

Subsequent to the completion of our acquisition of MoneyLion on April 17, 2025, our portfolio now spans two reportable segments, Cyber Safety Platform and Trust-Based Solutions.

See Note 17 for additional information on our reportable segments and Note 4 for additional information on our acquisition of MoneyLion.

As a result of the change in reportable segments, our reporting units also changed.

We used the relative fair value method to allocate goodwill to the associated reporting units.

In connection with the preparation of our Condensed Financial Statements for the fiscal quarter ended July 4, 2025, we tested goodwill for impairment immediately before and after the change.

As a result of these analyses, we determined that goodwill was not impaired before or after the change.

To determine the fair value of a reporting unit, we utilized a combination of the income and market approaches, applying equal weighting to both.

The income approach is estimated through discounted cash flow analysis, which requires us to use significant estimates and assumptions, including long-term growth rates, discount rates, and other inputs.

The market approach estimates the fair value of the reporting unit by utilizing the market comparable method, which is based on various market-based valuation multiples.

The changes in the carrying amount of goodwill are as follows:

(In millions)

(In millions) Cyber Safety Platform Trust-Based Solutions Total

Balance as of March 29, 2024 $ 7,389 $ 2,821 $ 10,210

Purchase accounting adjustments ( 14 )

Translation adjustments ( 18 ) ( 7 ) ( 25 )

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Translation adjustments 20 8 28

Balance as of March 28, 2025 $ 10,237

Balance as of April 3, 2026 $ 7,391 $ 3,605 $ 10,996

Intangible assets, net

The following table summarizes the components of our intangible assets, net:

March 28, 2025 March 29, 2024

April 3, 2026 March 28, 2025

(In millions) Gross

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Year Ended Consolidated Statements of Operations Classification

(In millions) March 28, 2025 March 29, 2024 March 31, 2023

(In millions) April 3, 2026 March 28, 2025 March 29, 2024

Customer relationships and other $ 218 $ 174 $ 233 Operating expenses

2 unchanged sentences

Total $ 477 $ 401 $ 462

As of March 28, 2025, future amortization expense related to intangible assets that have finite lives is as follows by fiscal year:

(In millions) March 28, 2025

As of April 3, 2026, future amortization expense related to intangible assets that have finite lives is as follows by fiscal year:

(In millions) April 3, 2026

Thereafter 35

Total $ 1,357

Asset purchase agreement

In October 2025, we entered into a purchase agreement to sell certain developed technology and assets for $ 40 million plus the assumption of liabilities related to our digital identity offering to a third-party, who previously licensed the use of the intellectual property from us.

We completed the transaction in November 2025.

Pursuant to the sale, we derecognized developed technology and other assets, net of associated liabilities, with an aggregate carrying value of approximately $ 22 million.

We accounted for the transaction as a sale of nonfinancial assets under ASC Topic 610-20, Gains and Losses from the Derecognition of Nonfinancial assets .

We recognized a gain on sale of nonfinancial assets of approximately $ 15 million during fiscal 2026, which is included as part of Other income (expense), net in our Consolidated Statement of Operations.

Supplementary Information

Cash and cash equivalents:

(In millions) March 28, 2025 March 29, 2024

Cash, cash equivalents and restricted cash:

(In millions) April 3, 2026 March 28, 2025

Cash $ 283 $ 462

Cash equivalents 119 544

Total cash and cash equivalents $ 1,006 $ 846

Restricted cash 9 —

Total cash, cash equivalents and restricted cash $ 411 $ 1,006

Accounts receivable, net:

(In millions) March 28, 2025 March 29, 2024

Accounts receivable $ 173 $ 165

(In millions) April 3, 2026 March 28, 2025

Trade receivable $ 225 $ 173

Notes receivable 135 —

Instacash Advances 10 —

Allowance for doubtful accounts ( 9 ) ( 2 )

Accounts receivable, net $ 171 $ 163

Total accounts receivable, net $ 361 $ 171

Assets held for sale:

(In millions) April 3, 2026 March 28, 2025

Properties held for sale $ — $ 22

Instacash Advances held for sale

Total assets held for sale

Properties held for sale

In April 2025, we completed the sale of certain land and buildings in Tettnang, Germany, which were previously classified to assets held for sale during the second quarter of fiscal year 2025 for cash consideration of $ 9 million, net of transaction costs, and recognized an immaterial loss on sale.

In October 2025, we completed the sale of certain land and buildings in Dublin, Ireland, which were previously classified to assets held for sale during the fourth quarter of fiscal year 2023 for cash consideration of $ 12 million, net of transaction costs, and recognized an immaterial gain on sale.

Instacash Advances held for sale

Instacash Advances held for sale as of April 3, 2026, represent Instacash Advances that we originated and are pending sale under the Purchase Agreement.

Refer to Note 3 for additional information regarding the sale of our Instacash Advances.

Other current assets:

(In millions) March 28, 2025 March 29, 2024

(In millions) April 3, 2026 March 28, 2025

Prepaid expenses $ 144 $ 136

3 unchanged sentences

Property and equipment, net:

(In millions) March 28, 2025 March 29, 2024

(In millions) April 3, 2026 March 28, 2025

Land $ 12 $ 12

2 unchanged sentences

Buildings 15 15

Building and leasehold improvements

Leasehold improvements 37 37

Construction in progress 11 2

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Other long-term assets:

(In millions) March 28, 2025 March 29, 2024

(In millions) April 3, 2026 March 28, 2025

Non-marketable equity investments $ 16 $ 109

Long-term income tax receivable and prepaid income taxes 84 66

Deferred income tax assets 1,218 1,236

Operating lease assets 54 49

Long-term prepaid royalty 5 21

Total other long-term assets $ 192 $ 269

Short-term contract liabilities:

(In millions) March 28, 2025 March 29, 2024

(In millions) April 3, 2026 March 28, 2025

Deferred revenue $ 1,247 $ 1,189

2 unchanged sentences

Other current liabilities:

(In millions) March 28, 2025 March 29, 2024

(In millions) April 3, 2026 March 28, 2025

Income taxes payable $ 47 $ 215

3 unchanged sentences

Accrued interest 6 86

Unremitted collections from servicing of trade receivables 32 —

Current operating lease liabilities 19 14

2 unchanged sentences

Other long-term liabilities:

(In millions) March 28, 2025 March 29, 2024

(In millions) April 3, 2026 March 28, 2025

Long-term accrued legal fees $ 304 $ 601

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Long-term income taxes payable:

(In millions) March 28, 2025 March 29, 2024

(In millions) April 3, 2026 March 28, 2025

Unrecognized tax benefits (including interest and penalties)

$ 1,584 $ 1,419

Deemed repatriation tax payable — 139

Other long-term income taxes 4 1

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Other income (expense), net:

(In millions) March 28, 2025 March 29, 2024 March 31, 2023

(In millions) April 3, 2026 March 28, 2025 March 29, 2024

Interest income $ 25 $ 28 $ 25

Foreign exchange gain (loss) (1)

Gain (loss) on early extinguishment of debt

Gain (loss) on equity investments

( 30 ) ( 40 ) ( 7 )

Loss on early extinguishment of debt ( 9 ) — —

Change in fair value and impairment of non-marketable equity investments ( 79 ) ( 30 ) ( 40 )

Gain on sale of nonfinancial assets 15 — —

Gain (loss) on sale of properties ( 1 ) — 9

4 unchanged sentences

Supplemental cash flow information:

(In millions) March 28, 2025 March 29, 2024 March 31, 2023

Income taxes paid (received), net

$ 425 $ ( 476 ) $ 456

(In millions) April 3, 2026 March 28, 2025 March 29, 2024

Income taxes paid (received), net of refunds $ 445 $ 425 $ ( 476 )

Interest expense paid $ 626 $ 557 $ 607

Cash paid for amounts included in the measurement of operating lease liabilities $ 18 $ 17 $ 24

Originations of certain trade receivables held for sale $ ( 4,126 ) $ — $ —

Proceeds from the sale of certain trade receivables $ 3,921 $ — $ —

Non-cash operating activities:

1 unchanged sentence

Reduction (increase) of operating lease assets as a result of lease terminations and modifications $ ( 5 ) $ ( 14 ) $ ( 20 )

$ ( 14 ) $ ( 20 ) $ 31

Non-cash investing and financing activities:

Purchases of property and equipment in current liabilities $ 4 $ 2 $ —

Non-cash consideration for the acquisition of Avast $ — $ — $ 2,141

Financial Instruments and Fair Value Measurements

The following table summarizes our financial instruments measured at fair value on a recurring basis:

March 28, 2025 March 29, 2024

April 3, 2026 March 28, 2025

(In millions) Fair Value Level 1 Level 2 Fair Value Level 1 Level 2

Money market funds $ 97 $ 97 $ — $ 544 $ 544 $ —

Time deposits 22 — 22 — — —

Interest rate swaps (1)

Total $ 119 $ 97 $ 22 $ 547 $ 544 $ 3

(1) The interest rate swap agreements expired on March 31, 2026 upon their maturity.

Financial instruments not recorded at fair value on a recurring basis include our non-marketable equity investments and long-term debt.

Non-marketable equity investments

As of March 28, 2025 and March 29, 2024, the carrying value of our non-marketable equity investments was $ 109 million and $ 136 million, respectively.

We recognized impairments of $ 30 million and $ 40 million on our non-marketable equity investments during fiscal years 2025 and 2024, respectively.

As of April 3, 2026 and March 28, 2025, the carrying value of our non-marketable equity investments was $ 16 million and $ 109 million, respectively, and is included in Other long-term assets in our Consolidated Balance Sheets.

During fiscal 2026, we sold an equity interest in a non-marketable equity investment.

In connection with the sale, we received both cash proceeds and non-cash proceeds in the form of an equity investment.

We recognized a gain of $ 11 million, which is included in Other income (expense), net in our Consolidated Statement of Operations.

We also recognized other immaterial losses on sales of our non-marketable equity investments during fiscal 2026, in Other income (expense), net in our Consolidated Statement of Operations.

We recognized impairments of $ 90 million, $ 30 million and $ 40 million on our non-marketable equity investments during fiscal years 2026, 2025 and 2024, respectively, in Other income (expense), net in our Consolidated Statements of Operations.

Current and long-term debt

As of March 28, 2025 and March 29, 2024, the total fair value of our current and long-term fixed rate debt was $ 2,475 million and $ 2,624 million, respectively.

The fair value of our variable rate debt approximated their carrying value.

As of April 3, 2026 and March 28, 2025, the total fair value of our current and long-term fixed-rate debt was $ 2,443 million and $ 2,475 million, respectively.

The fair value of our variable-rate debts approximated their carrying value.

The fair values of all our debt obligations were based on Level 2 inputs.

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The following summarizes our lease costs for fiscal 2026, 2025 and 2024:

(In millions) March 28, 2025 March 29, 2024 March 31, 2023

(In millions) April 3, 2026 March 28, 2025 March 29, 2024

Operating lease costs $ 18 $ 14 $ 12

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Other information related to our operating leases for fiscal 2026, 2025 and 2024 was as follows:

March 28, 2025 March 29, 2024 March 31, 2023

April 3, 2026 March 28, 2025 March 29, 2024

Weighted-average remaining lease term 4.2 years 4.7 years 4.6 years

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See Note 7 for cash flow information related to our operating leases.

As of March 28, 2025, the maturities of our lease liabilities by fiscal year are as follows:

As of April 3, 2026, the maturities of our lease liabilities by fiscal year are as follows:

(In millions)

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The following table summarizes components of our debt:

(In millions, except percentages) March 28, 2025 March 29, 2024 Effective

(In millions, except percentages) April 3, 2026 March 28, 2025 Effective

Interest Rate

5.0 % Senior Notes due April 15, 2025

$ — $ 1,100 5.00 %

Term A Facility due September 12, 2027 $ — $ 3,519 SOFR + % (1)

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Term B Facility due September 12, 2029 2,340 2,386 SOFR + % (2)

1.29 % Avira Mortgage due December 30, 2029 (1)

7.125 % Senior Notes due September 30, 2030

600 600 7.13 %

0.95 % Avira Mortgage due December 30, 2030 (1)

Extended Term A Facility due March 27, 2031

2,741 — SOFR + % (3)

Incremental Term B Facility due April 16, 2032 744 — SOFR + % (2)

6.25 % Senior Notes due April 1, 2033

950 950 6.25 %

Total principal amount 8,275 8,355

4 unchanged sentences

$ 8,015 $ 7,968

(1) The Avira Mortgages are denominated in a foreign currency so the balances of these mortgages may fluctuate based on changes in foreign currency exchange rates.

Additionally, in connection with the agreement to sell certain land and buildings in Tettnang, Germany, as discussed in Note 3, the Avira Mortgages were repaid during the fourth quarter of fiscal 2025.

(2) Term A Facility due 2027 bears interest at a rate equal to Term SOFR plus a credit spread adjustment (CSA) plus a margin based either on the current debt rating of our non-credit-enhanced, senior unsecured long-term debt or consolidated adjusted leverage as defined in the underlying loan agreement.

(3) Term B Facility due 2029 bears interest at a rate equal to Term SOFR plus 1.75 %.

(1) Term A Facility due 2027 bore interest at a rate equal to Term SOFR plus a credit spread adjustment (CSA) plus a margin based either on the then-applicable debt rating of our non-credit-enhanced, senior unsecured long-term debt or consolidated adjusted leverage as defined in the underlying loan agreement.

(2) Term B Facility due 2029 and Incremental Term B Facility due 2032 bear interest at a rate equal to Term SOFR plus 1.75 %.

(3) Extended Term A Facility due 2031 bears interest, at our option, at either (x) the base rate plus a margin or (y) the secured overnight financing rate (SOFR) plus a margin, in each case determined by the better of (a) our non-credit-enhanced, senior unsecured long-term debt rating and (b) our consolidated adjusted leverage ratio as defined in the underlying loan agreement.

The interest rates for the outstanding term loans are as follows:

March 28, 2025 March 29, 2024

April 3, 2026 March 28, 2025

Term A Facility due September 12, 2027 — % 5.92 %

Term B Facility due September 12, 2029 5.42 % 6.07 %

As of March 28, 2025, the future contractual maturities of debt by fiscal year are as follows:

Extended Term A Facility due March 27, 2031 5.05 % — %

Incremental Term B Facility due April 16, 2032 5.42 % — %

As of April 3, 2026, the future contractual maturities of debt by fiscal year, based on the currently effective stated maturity dates in force and excluding the impact of any earlier maturity that could result from a springing maturity date, are as follows:

(In millions)

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The Bridge Loan was undrawn and immediately terminated upon the close of the acquisition of Avast.

The Credit Agreement provides that we have the right at any time, subject to customary conditions, to request incremental revolving commitments and incremental term loans up to an unlimited amount, subject to certain customary conditions precedent and other provisions.

The Credit Agreement provides that we have the right at any time to request incremental revolving commitments and incremental term loans up to an unlimited amount, subject to certain customary conditions precedent and other provisions.

The lenders under these facilities will not be under any obligation to provide any such incremental loans or commitments.

1 unchanged sentence

The Credit Agreement replaced the existing credit facilities upon the close of the transaction.

The Revolving Facility and Term A Facility will mature in September 2027, and the Term Facility B will mature in September 2029;

the senior credit facilities remain senior secured.

On June 5, 2024, we entered into the First Amendment with certain financial institutions under the Credit Agreement, as amended (Amended Credit Agreement).

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Other than as described above, the Revolving Facility and the term loan facilities under the First Amendment continue to have the same terms as provided under the Credit Agreement.

Subsequent to March 28, 2025, on April 16, 2025, we entered into the Second Amendment with certain financial institutions under the Amended Credit Agreement to fund a portion of the cash consideration paid in connection with our acquisition of MoneyLion, in which they agreed to provide us with a $ 750 million Incremental Term B loan (Incremental Term B Facility or collectively with the Term B Facility, the Term Loan B Facilities), which matures on April 16, 2032.

On April 16, 2025, we entered into the Second Amendment with certain financial institutions under the Amended Credit Agreement to fund a portion of the cash consideration paid in connection with our acquisition of MoneyLion, in which they agreed to provide us with a $ 750 million Incremental Term B loan (Incremental Term B Facility or collectively with the Term B Facility, the Term Loan B Facilities), which matures on April 16, 2032.

The Incremental Term B Facility bears interest at the applicable benchmark rate plus 1.75 %.

The principal amounts of Term Facility A must be repaid in quarterly installments on the last business day of each calendar quarter equal to 1.25 % of the aggregate principal amount as of the date of the Amended Credit Agreement.

On March 27, 2026, we entered into the Third Amendment with certain financial institutions under the Amended Credit Agreement.

Pursuant to the Third Amendment, we (i) extended the maturity date of the $ 1,500 million Revolving Facility to March 27, 2031, (ii) established a new $ 2,741 million term A facility (Extended Term A Facility), the proceeds of which, together with cash on hand, were used to repay in full the Term A Facility and (iii) made certain other changes to the Amended Credit Agreement.

The Extended Term A Facility bears interest, at our option, at either (x) the base rate plus a margin or (y) SOFR plus a margin, in each case determined by the better of (a) our non-credit-enhanced, senior unsecured long-term debt rating and (b) our consolidated adjusted leverage ratio as defined in the Third Amendment under the Amended Credit Agreement.

The Term B Facility will mature on September 12, 2029, the Extended Term A Facility and the Revolving Facility will mature on March 27, 2031, and the Incremental Term B Facility will mature on April 16, 2032;

the senior credit facilities remain senior secured.

The Extended Term A Facility and the Revolving Facility (contractually maturing on March 27, 2031) are subject to a "springing maturity" provision.

Under this provision, the maturity dates of these facilities will be accelerated if we do not maintain a minimum liquidity threshold ahead of our other upcoming debt maturities.

The Springing Maturity Dates are July 1, 2027, June 13, 2029 and July 1, 2030, which are 91 days before the stated maturity of the 6.75 % Senior Notes (due 2027), the Term B Facility and the 7.125 % Senior Notes (due 2030), respectively.

The minimum liquidity threshold requires that unrestricted cash plus unused Revolving Facility commitments, excluding commitments of any defaulting lender, minus specific debt, be at least $ 640.5 million.

Before the 6.75 % Senior Notes (due 2027) are refinanced or repaid in full, the debt deduction includes only the aggregate principal amount of the 6.75 % Senior Notes.

After that, the debt deduction includes any remaining 6.75 % Senior Notes, the Term B Facilities and the 7.125 % Senior Notes.

If we do not satisfy the minimum liquidity threshold on the springing maturity date, the Extended Term A Facility matures on that date.

In connection with the refinancing of our Term A Facility, we wrote off $ 9 million of unamortized debt issuance costs, which was recognized as a loss on extinguishment of debt during the fourth quarter of fiscal 2026.

We capitalized approximately $ 7 million of new debt issuance costs in connection with the Extended Term A Facility and approximately $ 4 million in connection with the extension of the Revolving Facility, which will be amortized over the respective terms of the new facilities.

Additionally, we recognized an immaterial loss on extinguishment of debt related to the Revolving Facility for unamortized issuance costs associated with lenders who exited the facility during the fourth quarter of fiscal 2026.

The principal amounts of the Extended Term Loan A Facility must be repaid in quarterly installments on the last business day of each calendar quarter equal to 1.25 % of the aggregate principal amount as of the date of the Amended Credit Agreement.

The principal amounts of Term Loan B Facilities must be repaid in quarterly installments on the last business day of each calendar quarter equal to 0.25 % of the aggregate principal amount as of the date of the Amended Credit Agreement.

Quarterly installment payments commenced on March 31, 2023 for the Term A Facility and Term B Facility and will commence on December 31, 2025 for the Incremental Term B Facility.

Quarterly installment payments commenced on March 31, 2023 for the Term B Facility, on September 30, 2025 for the Incremental Term B Facility and will commence on June 30, 2026 for the Extended Term A Facility.

We may voluntarily repay outstanding principal balances under the Revolving Facility and term loan facilities without penalty or premium.

As of March 28, 2025, there were no borrowings outstanding under our Revolving Facility;

however, from time to time we utilize letters of credits as part of our ordinary course of business.

As of April 3, 2026, there were no borrowings outstanding under our Revolving Facility;

however, from time to time we utilize letters of credit as part of our ordinary course of business.

Letters of credit reduce our Revolving Facility commitment amounts.

As of March 28, 2025, we had $ 6 million in letters of credit.

Interest on our Term A facility borrowings under the Amended Credit Agreement, can be based on a base rate or the SOFR at our election.

Based on our debt ratings and our consolidated leverage ratios as determined in accordance with the Amended Credit Agreement, loans borrowed bear interest, in the case of base rate loans, at a per annum rate equal to the applicable base rate plus CSA plus a margin ranging from 0.125 % to 0.75 %, and in the case of the SOFR loans, SOFR, as adjusted for statutory reserves, plus a margin ranging from 1.125 % to 1.75 %.

As of April 3, 2026, we had outstanding letters of credit of $ 5 million.

Debt covenant compliance

The Amended Credit Agreement contains customary representations and warranties, affirmative and negative covenants.

Each of the Revolving Facility and Term A Facility are subject to a covenant that we maintain a consolidated leverage ratio less than or equal to (i) 6.0 to 1.0 from the second quarter of fiscal 2023 through the last day of the second quarter of fiscal 2024, (ii) 5.75 to 1.0 following the last day of the second quarter of fiscal 2024 through the last day of the second quarter of fiscal 2025 and (iii) 5.25 to 1.0 for each fiscal quarter thereafter;

provided that such maximum consolidated leverage ratio will increase to 5.75 to 1.0 for the four fiscal quarters ending immediately should we acquire property, business or assets in an aggregate amount greater than $ 250 million.

In addition, the Amended Credit Agreement contains customary events of default under which our payment obligations may be accelerated, including, among others, non-payment of principal, interest or other amounts when due, inaccuracy of representations and warranties, violation of certain covenants, payment and acceleration cross defaults with certain other indebtedness, certain undischarged judgments, bankruptcy, insolvency or inability to pay debts, change of control, the occurrence of certain events related to the Employee Retirement Income Security Act of 1974 (ERISA), and the Company experiencing a change of control.

As of March 28, 2025 we were in compliance with all financial debt covenants.

On February 9, 2017, we issued $ 1,100 million aggregate principal amount of our 5.0 % Senior Notes due April 15, 2025 (the 5.0 % Senior Notes).

The 5.0 % Senior Notes bear interest at a rate of 5.00 % per year, payable semiannually in arrears on April 15 and October 15 of each year, beginning on October 15, 2017.

On or after April 15, 2020, we may redeem some or all of the 5.0 % Senior Notes at the applicable redemption prices set forth in the supplemental indenture, plus accrued and unpaid interest.

The Amended Credit Agreement, which includes our Term Loans and Revolving Facility, contains customary representations and warranties, affirmative and negative covenants.

The Revolving Facility and Extended Term A Facility are subject to a covenant that we maintain a consolidated leverage ratio less than or equal to 5.25 to 1.0;

provided that such maximum consolidated leverage ratio will increase to 5.75 to 1.0 for the four fiscal quarters ending immediately after we acquire property, business or assets in an aggregate amount greater than $ 250 million.

As of April 3, 2026, we were in compliance with all financial debt covenants.

O n September 19, 2022, we issued two series of senior notes, consisting of 6.75 % Senior Notes due 2027 and 7.125 % Senior Notes due 2030, for an aggregate principal of $ 1,500 million.

They are senior unsecured obligations that rank equally in right of payment with all of our existing and future senior, unsecured, unsubordinated obligations and may be redeemed at any time, subject to the make-whole provisions contained in the applicable indenture relating to such series of notes.

Interest on these series of notes is payable semi-annually in arrears on March 31 and September 30 for both the 6.75 % Senior Notes and 7.125 % Senior Notes, commencing on March 31, 2023.

The First Call Dates of the 6.75 % Senior Notes due 2027 and 7.125 % Senior Notes due 2030 are September 30, 2024 and September 30, 2025, respectively.

These notes are senior unsecured obligations that rank equally in right of payment with all of our existing and future senior, unsecured, unsubordinated obligations and may be redeemed at any time, subject to the make-whole provisions contained in the applicable indenture relating to such series of notes.

Interest on these series of notes is payable semiannually in arrears on March 31 and September 30 for both the 6.75 % Senior Notes and 7.125 % Senior Notes, commencing on March 31, 2023.

The First Call Dates of the 6.75 % Senior Notes due 2027 and 7.125 % Senior Notes due 2030 were September 30, 2024 and September 30, 2025, respectively.

On and after the applicable First Call Dates, we may redeem the notes of a series at our option, in whole or in part, at any time and from time to time, at a set redemption price.

2 unchanged sentences

On or after April 1, 2028, we may redeem some or all of the 6.25 % Senior Notes at the applicable redemption prices set forth in the supplemental indenture, plus accrued and unpaid interest.

On February 28, 2025, using the net proceeds from the 6.25 % Senior Notes, together with cash on hand, we fully repaid the principal and accrued interest under the 5.0 % Senior Notes, which had an aggregate principal amount outstanding of $ 1,100 million.

In addition, we paid $ 20 million of accrued and unpaid interest through the redemption date.

The repayment was accounted for as an extinguishment of debt, resulting in an immaterial loss on extinguishment.

Convertible Senior Notes

On August 15, 2022, we settled the $ 525 million principal and conversion rights of our New 2.0 % Convertible Notes in cash.

The aggregate settlement amount of $ 630 million was based on $ 20.41 per underlying share into which the New 2.0 % Convertible Notes were convertible.

In addition, we paid $ 5 million of accrued and unpaid interest through the date of settlement.

The repayments resulted in an adjustment to stockholders’ equity of $ 100 million.

As of March 28, 2025 , we have extinguished all remaining convertible debt instruments.

The following table sets forth total interest expense recognized related to our convertible notes:

(In millions) March 31, 2023

Contractual interest expense $ 4

Payments in lieu of conversion price adjustments (1)

(1) Payments in lieu of conversion price adjustments consist of amounts paid to holders of the Convertible Senior Notes when our quarterly dividend to our common stockholders exceeds the amounts defined in the Convertible Senior Notes agreements.

During fiscal 2025 and 2024, we did not recognize any interest expense related to our Convertible Senior Notes as they were settled during the second quarter of fiscal year 2023.

Our primary objective in holding derivatives is to reduce the volatility of earnings and cash flow associated with changes in foreign currency exchange rates and interest rates.

4 unchanged sentences

Foreign currency exchange forward contracts

We conduct business in numerous currencies throughout our worldwide operations, and our entities hold monetary assets or liabilities, earn revenues, or incur costs in currencies other than the entity’s functional currency.

As a result, we are exposed to foreign exchange gains or losses, which impacts our operating results.

As a result, we are exposed to foreign exchange gains or losses, which impact our operating results.

As part of our foreign currency risk mitigation strategy, we have entered into monthly foreign exchange forward contracts to hedge foreign currency balance sheet exposure.

These forward contracts are not designated as hedging instruments.

We do not hedge our foreign currency exposure in a manner that entirely offsets the effects of the changes in foreign exchange rates.

We do not hedge our foreign currency exposure in a manner that entirely offsets the effects of changes in foreign exchange rates.

As of April 3, 2026 and March 28, 2025, the notional amounts of foreign exchange contracts not designated as hedging instruments was $ 337 million and $ 230 million, respectively.

Interest rate swap

In March 2023, we entered into interest rate swap agreements to mitigate risks associated with the variable interest rate of our Term A Facility.

These pay-fixed, receive-floating rate interest rate swaps have the economic effect of hedging the variability of forecasted interest payments until their maturity on March 31, 2026.

These pay-fixed, receive-floating rate interest rate swaps have the economic effect of hedging the variability of forecasted interest payments until their maturity.

Pursuant to the agreements, we have effectively converted $ 1 billion of our variable rate borrowings under our Term A Facility to fixed rates, with $ 500 million at a fixed rate of 3.762 % and $ 500 million at a fixed rate of 3.55 %.

These arrangements are designated as cash flow hedges for accounting purposes and as such, we will recognize the changes in the fair value of these interest rate swaps in Accumulated other comprehensive income (loss) (AOCI), and the periodic settlements or accrued settlements of the swap will be recognized within or against interest expense in our Consolidated Statements of Operations.

Cash flows related to these hedges are classified under operating activities in our Consolidated Statements of Cash Flows.

Summary of derivative instruments

The following table summarizes our outstanding derivative instruments as of March 28, 2025 and March 29, 2024:

Notional Amount Fair Value of Derivative Assets Fair Value of Derivative Liabilities

(In millions) March 28, 2025 March 29, 2024 March 28, 2025 March 29, 2024 March 28, 2025 March 29, 2024

Foreign exchange contracts not designated as hedging instrument (1)

$ 230 $ 345 $ — $ — $ — $ —

Interest rate swap contracts designed as cash flow hedge

1,000 1,000 3 16 — —

Total $ 1,230 $ 1,345 $ 3 $ 16 $ — $ —

(1) The fair values of the foreign exchange contracts are less than $ 1 million as of March 28, 2025 and March 29, 2024.

The following table summarizes the effect of our cash flow hedges on AOCI during the periods indicated:

(In millions) March 28, 2025 March 29, 2024 March 31, 2023

Interest rate swap contracts designated as cash flow hedges

$ — $ ( 32 ) $ —

The effect of our interest rate on AOCI was immaterial during fiscal 2025 and 2023.

The related gain (loss) recognized in our Consolidated Statements of Operations was as follows:

Year Ended Consolidated Statements of Operations Classification

(In millions) March 28, 2025 March 29, 2024 March 31, 2023

Foreign exchange contracts not designated as hedging instrument $ ( 2 ) $ ( 7 ) $ ( 7 ) Other income (expense), net

Interest rate swap contracts designated as cash flow hedges

13 16 — Interest expense

Total $ 11 $ 9 $ ( 7 )

As of March 28, 2025, we estimate that $ 3 million of net deferred gains related to our interest rate hedges will be recognized in earnings over the next 12 months.

The interest rate swap agreements matured on March 31, 2026.

These arrangements were designated as cash flow hedges for accounting purposes and as such, we recognized the changes in the fair value of these interest rate swaps in Accumulated other comprehensive income (loss) (AOCI), and the periodic settlements or accrued settlements of the swap were recognized within or against interest expense in our Consolidated Statements of Operations.

Cash flows related to these hedges were classified under operating activities in our Consolidated Statements of Cash Flows.

As of March 28, 2025, the notional amount of interest rate swaps designated as cash flow hedges was $ 1,000 million.

Due to the maturity of the interest rate swap agreements on March 31, 2026, there was no outstanding notional amount as of April 3, 2026.

The activity related to our foreign currency exchange forward contracts and interest rate swaps was immaterial as of April 3, 2026 and March 28, 2025, and for fiscal 2026, 2025 and 2024.

Restructuring and Other Costs

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Other exit and disposal costs include costs to exit and consolidate facilities in connection with restructuring events.

Separation costs primarily consist of consulting costs incurred in connection with our divestitures.

September 2022 Plan

In connection with our acquisition of Avast, our Board of Directors approved a restructuring plan (the September 2022 Plan) to realize cost savings and operational synergies, which became effective upon the close of acquisition on September 12, 2022.

Actions under this plan include the reduction of our workforce, contract terminations, facilities closures, and the sale of underutilized facilities as well as stock-based compensation charges for accelerated equity awards to certain terminated employees.

We expect that we will incur total costs up to $ 150 million following the completion of the acquisition.

These actions are expected to be completed by the end of calendar year 2025.

As of March 28, 2025, we have incurred costs of $ 132 million related to the September 2022 Plan.

Actions under this plan include the reduction of our workforce, contract terminations, facilities closures, the sale of underutilized facilities and stock-based compensation charges for accelerated equity awards to certain terminated employees.

As of April 3, 2026, we have incurred cumulative costs of $ 138 million related to the September 2022 Plan.

The majority of actions under the plan were completed by March 28, 2025.

Accordingly, the remaining activity and related accrual balance are not material, and only immaterial additional expenses were incurred during fiscal 2026.

April 2025 Plan

In connection with our acquisition of MoneyLion, our Board of Directors approved a restructuring plan (the April 2025 Plan).

Actions under this plan include the reduction of our workforce, contract terminations, facilities consolidation, asset write-offs and other restructuring costs.

The total estimated cost of the plan is approximately $ 30 million, of which $ 29 million has been incurred to date under the April 2025 Plan.

As of April 3, 2026, we had a restructuring liability of $ 10 million related to the April 2025 Plan.

Restructuring summary

Rollforwards of our activities and liability balances related to our September 2022 Plan are presented in the tables below:

(in millions) Liability Balance as of March 31, 2023

Cash Payments Non-Cash Items Liability Balance as of March 29, 2024

Rollforwards of our activities and liability balances related to our April 2025 Plan are presented in the tables below:

(In millions) Liability Balance as of March 28, 2025 Net Charges Cash Payments Non-Cash Items Liability Balance as of April 3, 2026

Severance and termination benefit costs $ — $ 25 $ ( 15 ) $ — $ 10

1 unchanged sentence

Stock-based compensation charges — 2 — ( 2 ) —

Asset write-offs — 1 — ( 1 ) —

Other exit and disposal costs — 1 ( 1 ) — —

Total $ — $ 29 $ ( 17 ) $ ( 2 ) $ 10

(In millions) Liability Balance as of March 29, 2024 Net Charges Cash Payments Non-Cash Items Liability Balance as of March 28, 2025

Severance and termination benefit costs $ 20 $ 2 $ ( 20 ) $ — $ 2

Other exit and disposal costs — 5 ( 5 ) — —

Total $ 20 $ 7 $ ( 25 ) $ — $ 2

The restructuring liabilities are included in Other current liabilities in our Consolidated Balance Sheets.

1 unchanged sentence

Our restructuring and other costs are presented in the table below:

(In millions) March 28, 2025 March 29, 2024 March 31, 2023

(In millions) April 3, 2026 March 28, 2025 March 29, 2024

Severance and termination benefit costs $ 29 $ 2 $ 42

4 unchanged sentences

Total restructuring and other $ 35 $ 7 $ 57

Our restructuring and other costs related to the September 2022 Plan are presented in the table below:

(In millions) April 3, 2026 March 28, 2025 March 29, 2024

Severance and termination benefit costs $ 4 $ 2 $ 42

Contract cancellation charges — — 5

Stock-based compensation charges — — 1

Asset write-offs — — 1

Other exit and disposal costs 2 5 8

Total restructuring and other $ 6 $ 7 $ 57

Our restructuring and other costs related to the April 2025 Plan are presented in the table below:

(In millions) April 3, 2026

Severance and termination benefit costs $ 25

Contract cancellation charges 1

Stock-based compensation charges 2

Other exit and disposal costs 1

Total restructuring and other costs $ 29

Occasionally, we incur costs related to past restructuring plans.

1 unchanged sentence

The components of our income (loss) before income taxes are as follows:

(In millions) March 28, 2025 March 29, 2024 March 31, 2023

(In millions) April 3, 2026 March 28, 2025 March 29, 2024

Domestic $ 941 $ 514 $ 70

International 570 515 377

Income (loss) before income taxes $ 1,029 $ 447 $ 783

Total income (loss) before income taxes

$ 1,511 $ 1,029 $ 447

The components of income tax expense (benefit) are as follows:

(In millions) March 28, 2025 March 29, 2024 March 31, 2023

(In millions) April 3, 2026 March 28, 2025 March 29, 2024

Federal $ 155 $ 246 $ 201

1 unchanged sentence

International 248 149 579

Total 416 823 ( 408 )

Total current income tax expense (benefit) 438 416 823

Federal 92 ( 33 ) ( 729 )

1 unchanged sentence

International ( 14 ) ( 10 ) ( 120 )

Total ( 30 ) ( 983 ) ( 143 )

Total deferred income tax expense (benefit) 100 ( 30 ) ( 983 )

Total income tax expense (benefit) $ 538 $ 386 $ ( 160 )

The difference between our effective income tax rate and the federal statutory income tax rate, following the adoption of ASU 2023-09, is as follows:

Year Ended April 3, 2026

(In millions, except for percentages)

Federal statutory tax rate $ 317 21 %

State and local income taxes, net of federal income tax effect (1)

Foreign tax effects:

Statutory rate difference between Ireland and United States ( 35 ) ( 2 ) %

Nondeductible interest 13 1 %

Czech Republic 19 1 %

Other foreign jurisdictions 1 0 %

Effect of changes in tax laws or rates enacted in the current period — — %

Effect of cross-border tax laws:

Global intangible low-taxed income 35 2 %

Subpart F income ( 21 ) ( 1 ) %

Foreign Tax Credits ( 20 ) ( 1 ) %

Other Tax Credits ( 4 ) 0 %

Changes in valuation allowances 17 1 %

Nontaxable or nondeductible items:

Stock-based compensation expense 18 1 %

Changes in unrecognized tax benefits 139 9 %

Other adjustments ( 11 ) ( 1 ) %

Income tax expense (benefit) $ 538 36 %

federal statutory income tax rates we have applied for fiscal 2025, 2024 and 2023 are as follows:

March 28, 2025 March 29, 2024 March 31, 2023

federal statutory income tax rate 21.0 % 21.0 % 21.0 %

The difference between our effective income tax and the federal statutory income tax is as follows:

(In millions) March 28, 2025 March 29, 2024 March 31, 2023

(1) The states and local jurisdictions that contribute to the majority (greater than 50%) of the tax effect in this category include California, Virginia, Illinois, New Jersey, New York, Pennsylvania, and Georgia.

As previously disclosed for fiscal 2025 and 2024, prior to the adoption of ASU 2023-09, the difference between our effective income tax and the U.S.

federal statutory income tax based on the 21% rate is as follows:

(In millions) March 28, 2025 March 29, 2024

Federal statutory tax expense (benefit) $ 216 $ 93

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The principal components of deferred tax assets and liabilities are as follows:

(In millions) March 28, 2025 March 29, 2024

(In millions) April 3, 2026 March 28, 2025

Deferred tax assets:

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Deferred income taxes reflect the net effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and their basis for income tax purposes and the tax effects of net operating losses and tax credit carryforwards.

The valuation allowance provided against our deferred tax assets as of March 28, 2025 of $ 107 million is provided primarily against state and foreign capital loss carryforwards and certain tax credits.

As of March 28, 2025, we have U.S.

The valuation allowance provided against our deferred tax assets as of April 3, 2026 of $ 184 million is provided primarily against state and foreign capital loss carryforwards and certain tax credits.

As of April 3, 2026, we have U.S.

federal net operating losses attributable to various acquired companies of approximately $ 535 million, of which $ 23 million begins to expire in fiscal 2027 and $ 512 million has an indefinite life.

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and future reversals of taxable temporary differences.

The valuation allowance for deferred tax assets as of March 28, 2025 was $ 107 million.

The valuation allowance was primarily related to tax attribute carryforwards that, in the judgement of management, are not more likely than not to be realized.

The valuation allowance for deferred tax assets as of April 3, 2026 was $ 184 million.

The valuation allowance was primarily related to tax attribute carryforwards that, in the judgment of management, are not more likely than not to be realized.

In the second quarter of fiscal 2024, as part of the Avast integration plan, which geographically realigned and simplified our business, we undertook a legal entity and operational restructuring.

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The aggregate changes in the balance of gross unrecognized tax benefits were as follows:

(In millions) March 28, 2025 March 29, 2024 March 31, 2023

(In millions) April 3, 2026 March 28, 2025 March 29, 2024

Balance at beginning of year $ 1,153 $ 1,163 $ 710

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Increase related to current year tax positions 5 9 467

Increase due to acquisition — — 28

Increase (decrease) related to foreign currency exchange rates 41 7 ( 30 )

Balance at end of year $ 1,199 $ 1,153 $ 1,163

There was a change of $ 10 million in gross unrecognized tax benefits during the year ended March 28, 2025, as disclosed above.

There was a change of $ 46 million in gross unrecognized tax benefits during the year ended April 3, 2026, as disclosed above.

This gross liability does not include offsetting tax benefits associated with the correlative effects of potential transfer pricing adjustments, interest deductions and state income taxes.

Of the total unrecognized tax benefits at March 28, 2025, $ 974 million, if recognized, would affect our effective tax rate.

Of the total unrecognized tax benefits at April 3, 2026, $ 994 million, if recognized, would affect our effective tax rate.

We recognize interest and/or penalties related to unrecognized tax benefits in income tax expense.

At March 28, 2025, before any tax benefits, we had $ 309 million of accrued interest and penalties on unrecognized tax benefits.

At April 3, 2026, before any tax benefits, we had $ 433 million of accrued interest and penalties on unrecognized tax benefits.

Interest included in our provision for income taxes was an expense of approximately $ 115 million for fiscal 2026.

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Our 2017 through 2025 fiscal years remain subject to examination by the Czech tax authorities.

The timing of the resolution of income tax examinations is highly uncertain, and the amounts ultimately paid, if any, upon resolution of the issues raised by the taxing authorities may differ materially from the amounts accrued for each year.

Although potential resolution of these matters involves multiple tax periods and jurisdictions, it is reasonably possible that the gross unrecognized tax benefits related to these audits could significantly change (whether by payment, release, or a combination of both) in the next 12 months;

however, an estimate of this range cannot be made.

Depending on the nature of the settlement or expiration of statutes of limitations, it could affect our income tax provision and therefore benefit the resulting effective tax rate.

We continue to monitor the progress of ongoing income tax controversies and the impact, if any, of the expected tolling of the statute of limitations in various taxing jurisdictions.

We continue to monitor the progress of ongoing income tax controversies and the impact, if any, of the anticipated tolling of applicable statutes of limitations across various taxing jurisdictions.

We provide U.S.

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or are exempted from further taxation.

As of March 28, 2025, the tax liability recorded on the undistributed earnings is approximately $ 4 million.

As of April 3, 2026, the tax liability recorded on the undistributed earnings is approximately $ 4 million.

The components of income taxes paid (received), net, is as follows:

(In millions) Year Ended April 3, 2026

federal $ 323

state and local 34

Czech Republic 45

Total income taxes paid (received), net $ 445

Stockholders' Equity

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All shares of common stock issued and outstanding and all RSUs and PRUs as of the record date will be entitled to the dividend and dividend equivalent rights (DERs), respectively, which will be paid out if and when the underlying shares are released.

However, the 4 million unvested RSUs assumed in connection with the acquisition of Avast will not be entitled to DERs.

However, the 4 million unvested RSUs assumed under the MoneyLion Inc.

Amended and Restated Omnibus Incentive Plan (the MoneyLion Plan) will not be entitled to DERs.

See Note 15 for further information about these equity awards.

Any future dividends and DERs will be subject to the approval of our Board of Directors.

In connection with the acquisition of MoneyLion, we issued 12 million equity-classified CVRs to MoneyLion shareholders and optionholders.

The CVRs entitle holders to receive a contingent payment of $ 23.00 per CVR, payable in shares of Gen’s common stock, if our average volume-weighted average share price equals or exceeds $ 37.50 over any 30 consecutive trading days from December 10, 2024 until April 17, 2027.

The CVRs were recorded as a component of additional paid-in capital at a fair value of approximately $ 73 million as of the acquisition date, based on a Monte-Carlo simulation valuation model.

As of April 3,

2026, there were 12 million CVRs outstanding.

Refer to Note 4 for additional information regarding the CVRs and our acquisition of MoneyLion.

Stock repurchase program

In May 2024, our Board of Directors authorized a new stock repurchase program through which we may repurchase shares of our common stock in an aggregate amount of up to $ 3 billion with no fixed expiration.

This new stock repurchase program will supersede any amounts under the prior stock repurchase programs.

Under our stock repurchase program, we may purchase shares of our outstanding common stock on the open market and through accelerated stock repurchase transactions.

As of March 28, 2025, we had $ 2,728 million remaining under the authorization to be completed in future periods.

The following table summarizes activity related to our stock repurchase program during the years ended March 28, 2025 and March 29, 2024:

As of April 3, 2026, we had $ 2,094 million remaining under the authorization to be completed in future periods.

The following table summarizes activity related to our stock repurchase program during the fiscal years ended April 3, 2026 and March 28, 2025:

(In millions, except per share amounts)

March 28, 2025 March 29, 2024

April 3, 2026 March 28, 2025

Number of shares repurchased 25 11

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Accumulated other comprehensive income (loss)

Accumulated other comprehensive income (loss), net of taxes, consisted of foreign currency translation adjustments:

Accumulated other comprehensive income (loss), net of taxes, consisted of foreign currency translation adjustments and net unrealized gain (loss) on derivative instruments:

(In millions) Foreign Currency

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Other comprehensive income (loss), net of taxes 37 ( 3 ) 34

Balance as of March 28, 2025 $ ( 36 ) $ 3 $ ( 33 )

Balance as of April 3, 2026 $ 1 $ — $ 1

Stock-Based Compensation and Other Benefit Plans

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Stock options granted under the 2013 Plan expire no more than 10 years from the date of grant.

In connection with our acquisition of Avast, we assumed the outstanding equity awards under two of Avast’s equity incentive plans (the Avast Holding B.V.

2014 Share Option Plan and the Rules of the Avast plc Long Term Incentive Plan (collectively, the Avast Plans)), which consisted of 4 million unvested RSUs.

The assumed RSUs generally retain the terms and conditions under which they were originally granted.

We intend to grant all additional shares that remain available for issuance under the Avast Plans.

Upon vesting, these assumed RSUs and any additional shares granted will settle into shares of our common stock.

In connection with our acquisition of MoneyLion, all the outstanding RSUs and certain PSUs of the MoneyLion Plan were assumed and converted into 4 million unvested RSUs.

The assumed and converted awards generally retain the terms and conditions under which they were originally granted.

Upon vesting, the assumed and converted RSUs and any additional shares granted will settle into shares of our common stock.

See Note 4 for further information about this business combination.

As of March 28, 2025, 27 million shares remained available for future grant, calculated using the maximum potential shares that could be earned and issued at vesting.

As of April 3, 2026, 26 million shares remained available for future grant, calculated using the maximum potential shares that could be earned and issued at vesting.

(In millions, except per share and year data) Number of

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Forfeited ( 2 ) $ 24.68

Outstanding as of March 28, 2025 9 $ 21.80

Outstanding as of April 3, 2026 10 $ 25.33

RSUs generally vest over a three-year period.

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Outstanding and unvested as of March 28, 2025 5 $ 28.42

Granted 2 $ 31.59

( 3 ) $ 25.83

Forfeited (2)

( 2 ) $ 27.92

Outstanding and unvested as of March 28, 2025 5 $ 28.42

Outstanding and unvested as of April 3, 2026 6 $ 42.99

( 1) Includes approximately 1.5 million additional performance shares issued based on above-target payouts.

(2) Includes approximately 2 million additional performance shares forfeited based on below-target payouts.

The total fair value of PRUs released in fiscal 2026, 2025 and 2024 was $ 34 million, $ 24 million and $ 20 million, respectively, which represents the market value of our common stock on the date the PRUs were released.

We have granted PRUs to certain of our executives.

Typically, these PRUs have a three-year vest period.

PRUs granted in fiscal 2025, 2024 and 2023 contain a combination of our company’s performance and market conditions.

The performance conditions are based on the achievement of specified one - or three-year non-GAAP financial metrics.

The market conditions are based on the achievement of our relative total shareholder return over a three - or five-year period.

Typically, 0 % to 200 % of target shares are eligible to be earned based on the achievement of the performance and market conditions.

We grant PRUs to certain executives.

These awards generally have a three-year vesting period.

PRUs granted in fiscal 2026, 2025 and 2024 include a combination of our company’s performance and market conditions.

Performance conditions are based on the achievement of specified non-GAAP financial or non-financial metrics over one - to four-year periods, depending on the nature of the award.

Market conditions are based on the Company’s relative total shareholder return over three - or five-year periods.

Depending on the level of achievement of the applicable performance and market conditions, between 0 % and 200 % (or higher for certain awards) of target shares may be earned.

Valuation of PRUs

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The valuation and the underlying weighted-average assumptions for PRUs are summarized below:

March 28, 2025 March 29, 2024 March 31, 2023

April 3, 2026 March 28, 2025 March 29, 2024

Expected term 4.2 years 2.9 years 2.9 years

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Risk-free interest rate 3.9 % 4.5 % 3.5 %

Expected dividend yield — % — % 1.3 %

Weighted-average grant date fair value of PRUs $ 40.42 $ 31.59 $ 22.83

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Eligible employees are offered shares through a 12 -month offering period, which consists of two consecutive 6 -month purchase periods, at 85 % of the lower of either the fair market value on the purchase date or the fair market value at the beginning of the offering period.

As of March 28, 2025, 40 million shares have been issued under this plan and 30 million shares remained available for future issuance.

As of April 3, 2026, 41 million shares have been issued under this plan and 29 million shares remained available for future issuance.

The following table summarizes activity related to the purchase rights issued under the ESPP:

(In millions) March 28, 2025 March 29, 2024 March 31, 2023

(In millions) April 3, 2026 March 28, 2025 March 29, 2024

Shares issued under the ESPP 1 1 1

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Dividend equivalent rights (DERs)

Our RSUs and PRUs, except for the 4 million unvested RSUs assumed under the Avast Plans, contain DERs that entitles the recipient of an award to receive cash dividend payments when the associated award is released.

Our RSUs and PRUs, except for the 4 million unvested RSUs assumed under the MoneyLion Plan, contain DERs that entitles the recipient of an award to receive cash dividend payments when the associated award is released.

The amount of DER equals to the cumulated dividends on the issued number of common stock that would have been payable since the date the associated award was granted.

As of March 28, 2025 and March 29, 2024, current dividends payable related to DER was $ 5 million and $ 4 million, respectively, recorded as part of Other current liabilities in the Consolidated Balance Sheets, and long-term dividends payable related to DER was $ 5 million and $ 4 million, respectively, recorded as part of Other long-term liabilities.

As of April 3, 2026 and March 28, 2025, current dividends payable related to DER was $ 9 million and $ 5 million, respectively, recorded as part of Other current liabilities in the Consolidated Balance Sheets, and long-term dividends payable related to DER was $ 4 million and $ 5 million, respectively, recorded as part of Other long-term liabilities.

Stock-based award modifications

There were no material stock-based award modifications in fiscal 2025.

There were no stock-based award modifications in fiscal 2026 and 2024.

There were no material stock-based award modifications in fiscal 2025.

Stock-based compensation expense

Total stock-based compensation expense and the related income tax benefit recognized for all of our equity incentive plans in our Consolidated Statements of Operations were as follows:

(In millions) March 28, 2025 March 29, 2024 March 31, 2023

(In millions) April 3, 2026 March 28, 2025 March 29, 2024

Cost of revenues $ ( 1 ) $ 4 $ 4

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Income tax benefit for stock-based compensation expense $ ( 33 ) $ ( 17 ) $ ( 16 )

As of March 28, 2025, the total unrecognized stock-based compensation expense related to our unvested stock-based awards was $ 191 million, which will be recognized over an estimated weighted-average amortization period of 1.7 years.

As of April 3, 2026, the total unrecognized stock-based compensation expense related to our unvested stock-based awards was $ 361 million, which will be recognized over an estimated weighted-average amortization period of 2.5 years.

Other employee benefit plans

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Our employer matching contributions to the 401(k) plan were as follows:

(In millions) March 28, 2025 March 29, 2024 March 31, 2023

(In millions) April 3, 2026 March 28, 2025 March 29, 2024

401(k) matching contributions $ 6 $ 4 $ 4

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Diluted net income per share also includes the incremental effect of dilutive potentially issuable common shares outstanding.

Dilutive potentially issuable common shares include the dilutive effect of the shares underlying convertible debt and employee equity awards.

Our remaining convertible debt was extinguished on August 15, 2022.

Dilutive potentially issuable common shares include the dilutive effect of employee equity awards.

The 12 million CVRs are excluded from the diluted net income per share calculation as the contingent conditions for issuance of common shares have not yet been met within the period.

The components of basic and diluted net income (loss) per share are as follows:

(In millions, except per share amounts) March 28, 2025 March 29, 2024 March 31, 2023

(In millions, except per share amounts) April 3, 2026 March 28, 2025 March 29, 2024

Net income (loss) $ 973 $ 643 $ 607

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Dilutive potentially issuable shares:

Convertible debt — — 6

Employee equity awards 7 7 5

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Segment and Geographic Information

We operate as one reportable segment.

Our Chief Operating Decision Maker is our Chief Executive Officer, who manages and reviews the business on a consolidated basis and uses consolidated net income (loss), as reported on our Consolidated Statements of Operations, as the primary measure of segment profit or loss to evaluate company performance and to allocate and prioritize resources during the planning and forecasting process.

The measure of segment assets is reported on the Consolidated Balance Sheets as Total Assets.

The following table is a reconciliation of our measure of segment profit or loss, significant segment expenses and other segment items:

(In millions) March 28, 2025 March 29, 2024 March 31, 2023

Our Chief Operating Decision Maker (CODM) is our Chief Executive Officer, who manages and reviews financial information presented on an operating segment basis for the purpose of making decisions and assessing financial performance.

The CODM assesses operating performance of each segment based on regularly provided segment revenue, segment operating income (loss) and margin, by comparing actual margin results to historical results and previously forecasted financial information.

Operating results by segment include costs or expenses directly attributable to each segment, and costs or expenses that are leveraged across our portfolio and therefore allocated between our two segments.

Our CODM reviews expenses on a consolidated basis and the expenses associated with our corporate investments.

Prior to fiscal 2026, we operated as one reportable segment, with consolidated net income (loss) serving as the primary measure of segment profit or loss.

Subsequent to the completion of our acquisition of MoneyLion on April 17, 2025, our portfolio now spans two reportable segments, Cyber Safety Platform and Trust-Based Solutions, with the primary measure of segment profit or loss being updated to segment operating income (loss).

Cyber Safety Platform includes our security, comprehensive suites, and privacy products, which deliver technology solutions and superior threat protection to help people navigate the digital world, securely, privately and with confidence.

Trust-Based Solutions includes our identity, reputation, and financial wellness products, which provide innovative solutions and insights that empower consumers to manage their identity, reputation and finances confidently.

The “Corporate” category includes expenses that are not allocated to either Cyber Safety Platform or Trust-Based Solutions for purposes of making operating decisions or assessing segment-level financial performance.

The expenses include restructuring and other costs, acquisition and integration costs, litigation settlement charges, and amortization of intangible assets.

Our operating segments are not evaluated using asset information.

Our CODM delegates the review of the segment performance to the general manager of each respective segment.

There are no intersegment transactions.

The accounting policies for segment reporting are the same as for our consolidated financial statements.

The following table presents details of our reportable segments and the “Corporate” category:

Cyber Safety Platform

Trust-Based Solutions

(In millions)

Year Ended April 03, 2026

$ 3,339 $ 1,661 $ — $ 5,000

Less significant expenses and other segment items:

Revenue share

E-Commerce fees

Product and cloud expense

Personnel expense

Marketing and affiliates expense

Support and outside service expense

Infrastructure and facilities expense (1)

Stock-based compensation

Amortization of intangible assets

Other segment items (1)

Interest expense

Other expense (income), net (3)

Income tax expense (benefit)

1,298 1,159 — 2,457

Net income (loss)

Operating income (loss)

$ 2,041 $ 502 $ ( 423 ) $ 2,120

(1) Infrastructure and facilities expense includes depreciation expense, which are disclosed in Note 7.

(2) Other segment items included in segment net income (loss) includes restructuring and other costs, acquisition and integration costs, litigation settlement charges, and legal contract dispute costs.

(3) Other expense (income), net, includes interest income, which is disclosed in Note 7.

Major solutions

The following table summarizes net revenues from our major solutions:

(In millions) March 28, 2025 March 29, 2024 March 31, 2023

Consumer security revenues $ 2,462 $ 2,409 $ 2,013

Identity and information protection revenues 1,423 1,328 1,239

Total cyber safety revenues

Year Ended March 28, 2025

$ 3,176 $ 759 $ — $ 3,935

Legacy revenues 50 63 65

Total net revenues

Other segment items (1)

1,265 372 — 1,637

From time to time, changes in our product hierarchy cause changes to the product categories above.

When changes occur, we recast historical amounts to match the current product hierarchy.

The changes have been reflected for all periods presented above.

Consumer security includes revenues from our Norton 360 Security offerings, Norton, Avast, AVG, and Avira Security and VPN offerings, and other consumer security and device performance solutions through our direct, partner and small business channels.

Identity and information protection includes revenues from our Norton 360 with LifeLock offerings, LifeLock identity theft protection and other identity information protection, financial wellness and privacy solutions.

Legacy includes revenues from products or solutions from markets that we have exited and in which we no longer operate, have been discontinued or identified to be discontinued, or remain in maintenance mode as a result of integration and product portfolio decisions.

Operating income (loss)

$ 1,911 $ 387 $ ( 688 ) $ 1,610

Year Ended March 29, 2024

Net Revenues $ 3,057 $ 743 $ — $ 3,800

Other segment items (1)

1,225 366 — 1,591

Operating income (loss) $ 1,832 $ 377 $ ( 1,099 ) $ 1,110

(1) Other segment items for our Cyber Safety Platform and Trust-Based Solutions include product costs, infrastructure and facilities expense, and compensation and benefits excluding stock-based compensation and expenses identified in “Corporate”.

The table below are the reconciling items included in “Corporate” category:

(In millions) April 3, 2026 March 28, 2025 March 29, 2024

Amortization of intangible assets

$ 477 $ 401 $ 462

Stock-based compensation

Unallocated cost of revenue and operating expenses

( 291 ) 153 499

$ 423 $ 688 $ 1,099

Geographic information

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The following table represents net revenues by geographic area for the periods presented:

(In millions) March 28, 2025 March 29, 2024 March 31, 2023

(In millions) April 3, 2026 March 28, 2025 March 29, 2024

Americas $ 3,533 $ 2,587 $ 2,484

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APJ includes Asia Pacific and Japan.

(1) From time to time, changes in allocation methodologies cause changes to the revenue by geographic area above.

When changes occur, we recast historical amounts to match the current methodology, such as for fiscal 2024 and 2023 where we aligned allocation methodologies across similar product categories.

Revenues from customers inside the U.S.

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No other individual country accounted for more than 10% of revenues.

The table below represents cash and cash equivalents held in the U.S.

The table below represents cash, cash equivalents and restricted cash held in the U.S.

and internationally in various foreign subsidiaries:

(In millions) March 28, 2025 March 29, 2024

(In millions) April 3, 2026 March 28, 2025

International 289 359

Total cash and cash equivalents

$ 1,006 $ 846

Total cash, cash equivalents and restricted cash $ 411 $ 1,006

The table below represents our property and equipment, net of accumulated depreciation and amortization, by geographic area, based on the physical location of the asset, at the end of each period presented:

(In millions) March 28, 2025 March 29, 2024

(In millions) April 3, 2026 March 28, 2025

Other countries (1)

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The following reflects estimated future payments for purchase obligations by fiscal year.

The amount of purchase obligations reflects estimated future payments as of March 28, 2025.

(In millions) March 28, 2025

The amount of purchase obligations reflects estimated future payments as of April 3, 2026.

(In millions) April 3, 2026

Total purchase obligations $ 638

Deemed repatriation taxes

Under the Tax Cuts and Jobs Act (H.R.1), we are required to pay a one-time transition tax on untaxed earnings of our foreign subsidiaries through July 2025.

The following reflects estimated future payments for deemed repatriation taxes by fiscal year:

(In millions) March 28, 2025

Total obligations $ 139

Indemnifications

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Litigation contingencies

From time to time, we are involved in legal proceedings, including, but not limited to, regulatory proceedings, claims, mediations, arbitrations and litigation, arising out of the ordinary court of business.

From time to time, we are involved in legal proceedings, including, but not limited to, regulatory proceedings, claims, mediations, arbitrations and litigation, incidental to our business.

We evaluate contingent liabilities including threatened or pending litigation in accordance with the authoritative guidance on contingencies.

We assess the likelihood of any adverse judgements or outcomes from potential claims or proceedings for accrual or disclosure in our Consolidated Financial Statements.

We assess the likelihood of any adverse judgments or outcomes from potential claims or proceedings for accrual or disclosure in our Consolidated Financial Statements.

A determination of the amount of an accrual required, if any, for these contingencies is made after the analysis of each separate matter.

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District Court for the Eastern District of Virginia.

Columbia originally brought suit alleging infringement of six patents owned by the university.

We won a favorable claim construction order on all six patents, and the claim construction was upheld by the Federal Circuit in 2016 on all but U.S.

8,601,322 and 8,074,115.

We also sought inter partes review by the Patent Trial and Appeal Board of the claims of the ‘322 and ‘115 Patents

and all but two claims of the ‘322 Patent and three claims of the ‘115 Patent were invalidated.

The remaining claims of the ‘322 and ‘115 Patents were the only claims that remained in suit at trial.

The jury found that our Norton Security products and Symantec Endpoint Protection products (the latter of which were sold by us to Broadcom as part of an Asset Purchase Agreement dated November 4, 2019) willfully infringe the ‘322 and ‘115 Patents through the use of SONAR/BASH behavioral protection technology.

The jury found that our Norton Security products and Symantec Endpoint Protection products (the latter of which were sold by us to Broadcom as part of an Asset Purchase Agreement dated November 4, 2019) willfully infringed two patents through the use of SONAR/BASH behavioral protection technology.

The jury awarded damages in the amount of $ 185 million.

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We believe that we have ceased the use of the technology found by the jury to infringe.

The jury also found that we did not fraudulently conceal its prosecution of U.S.

8,549,643 but did find that two Columbia professors were coinventors of this patent.

The jury also found that we did not fraudulently conceal its prosecution of a third patent but did find that two Columbia professors were coinventors of this patent.

No damages were awarded related to this patent.

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and (iii) attorneys’ fees subject to the parties meeting and conferring as to amount.

We have complied with the court’s order and submitted a stipulation regarding the final calculations of all outstanding interest, royalties and attorneys’ fees.

We have posted the required surety bond and have appealed the judgement to the Federal Circuit Court of Appeals, which remains pending.

At this time, our current estimate of probable losses from this matter is approximately $ 598 million, which we have accrued and recorded as part of Other long-term liabilities in the Consolidated Balance Sheets .

We complied with the court’s order and submitted a stipulation regarding the final calculations of all outstanding interest, royalties and attorneys’ fees.

We posted the required surety bond and appealed the judgment to the Federal Circuit Court of Appeals.

The Federal Circuit issued its decision on appeal and remanded the case to the district court for further proceedings, including consideration of whether Columbia’s patents are patent-eligible and if the patent claims are determined to be eligible, to reduce the damages award to eliminate the royalty based on foreign sales and reconsider its attorneys’ fees and enhanced damages decisions.

At this time, our current estimate of probable losses from this matter, within a range of potential outcomes, is approximately $ 254 million, a reduction of $ 354 million in our fourth quarter of fiscal 2026, which is accrued and recorded as part of Other long-term liabilities in the Consolidated Balance Sheets .

There is a reasonable possibility that a loss may be incurred in excess of our accrual for this matter;

however, such incremental loss cannot be reasonably estimated.

Securities Class Action and Derivative Litigation

Securities class action lawsuits, which have since been consolidated, were filed in May 2018 against us and certain of our former officers, in the U.S.

District Court for the Northern District of California.

The lead plaintiff’s consolidated amended complaint alleged that, during a purported class period of May 11, 2017 to August 2, 2018, defendants made false and misleading statements in violation of Sections 10(b) and 20(a), and that certain individuals violated Section 20A, of the Securities Exchange Act of 1934, as amended (the Exchange Act).

On May 24, 2021, the parties reached a proposed settlement and release of all claims in the class action, for $ 70 million, and on June 8, 2021, the parties executed a Stipulation and Agreement of Settlement, exclusive of any claims that may be brought by shareholders who opted out of the class action.

Of the $ 70 million, $ 67 million was covered under the applicable insurance policy with the remainder paid by us into escrow in September 2021.

The Court approved the settlement on February 12, 2022, releasing the settlement payment from escrow.

On November 22, 2021, investment funds managed by Orbis Investment Management Ltd.

which previously opted out of the securities class action, filed suit under the Exchange Act, the Arizona Securities Act, the Arizona Consumer Fraud Act and certain common law causes of action to recover alleged damages for losses incurred by the funds for their purchases or acquisitions of our common stock during the class period.

On February 7, 2023, our Motion to Dismiss was granted in part and denied in part.

The parties have now settled the matter and the action was dismissed with prejudice on April 26, 2023.

The impact of settlement was not material.

Purported shareholder derivative lawsuits were filed against us and certain of our former officers and current and former directors in the Delaware Court of Chancery ( In re Symantec Corp.

), Northern District of California ( Lee v.

Clark et al., ), and the District of Delaware ( Milliken vs.

These assert generally the same facts and circumstances as alleged in the securities class action and allege claims for breach of fiduciary duty and related claims.

On January 4, 2023, after reaching an agreement on the terms of the proposed settlement, which provides for, among other things, a payment of $ 12 million to the Company by the insurers of the Company’s directors and officers, the parties to the Chancery action filed a Stipulation and Agreement of Settlement, Compromise and Release in that Court, which was approved by the Court on May 4, 2023, over the objection of the Lee and Milliken plaintiffs, and releases all claims in the Chancery, Lee , and Milliken actions, as well as any other claims based on the same operative facts.

The parties in the Milliken action stipulated to a dismissal with prejudice, which was entered by that Court on May 12, 2023.

The parties in the Lee action stipulated to a dismissal with prejudice, which was entered by that Court on June 12, 2023.

All three shareholder derivative lawsuits are now resolved.

A fourth lawsuit filed in the Delaware Superior Court, Kukard v.

Symantec , brought claims derivatively on behalf of our 2008 Employee Stock Purchase Plan.

The parties reached a settlement, which received final approval from the Court on December 4, 2024, at which time judgment was entered.

The judgment was not appealed and is now final and the impact of the settlement was not material.

All related matters are now resolved.

During the first quarter of fiscal 2013, we were advised by the Commercial Litigation Branch of the Department of Justice’s (DOJ) Civil Division and the Civil Division of the U.S.

Attorney’s Office for the District of Columbia that the government is investigating our compliance with certain provisions of our U.S.

General Services Administration (GSA) Multiple Award Schedule Contract No.

GS-35F-0240T effective January 24, 2007, including provisions relating to pricing, country of origin, accessibility, and the disclosure of commercial sales practices.

As reported on the GSA’s publicly-available database, our total sales under the GSA Schedule contract were approximately $ 222 million from the period beginning January 2007 and ending September 2012.

We fully cooperated with the government throughout its investigation, and in January 2014, representatives of the government indicated that their initial analysis of our actual damages exposure from direct government sales under the GSA Schedule contract was approximately $ 145 million;

since the initial meeting, the government’s analysis of our potential damages exposure relating to direct sales increased.

The government also indicated they would pursue claims for certain sales to California, Florida, and New York as well as sales to the federal government through reseller GSA Schedule contracts, which could significantly increase our potential damages exposure.

In 2012, a sealed civil lawsuit was filed against us related to compliance with the GSA Schedule contract and contracts with California, Florida, and New York.

On July 18, 2014, the Court-imposed seal expired, and the government intervened in the lawsuit.

On September 16, 2014, the states of California and Florida intervened in the lawsuit, and the state of New York notified the Court that it would not intervene.

On October 3, 2014, the DOJ filed an amended complaint, which did not state a specific damages amount.

On October 17, 2014, California and Florida combined their claims with those of the DOJ and the relator on behalf of New York in an Omnibus Complaint, and a First Amended Omnibus Complaint was filed on October 8, 2015;

the state claims also do not state specific damages amounts.

On March 23, 2021, plaintiffs withdrew their demand for a jury trial and we consented to proceed with a bench trial, which concluded on March 24, 2022.

We settled with the State of Florida before trial and the State of New York during trial, both for immaterial amounts which have been paid.

On January 19, 2023, the Court issued its Findings of Facts and Conclusions of Law in which it found in favor of the United States in part and awarded damages and penalties in the amount of $ 1.3 million, which the Company then paid.

The Court also found in favor of the State of California in part and awarded penalties in the amount of $ 0.4 million, which the Company also paid.

The resulting Judgment was filed by the Court on January 20, 2023.

On February 16, 2023, plaintiffs filed Motions to Amend Judgment to revive the damages claimed at trial.

On January 16, 2024, the Court granted in part and denied in part the United States’ Motion to Amend and awarded $ 53 million in damages and penalties.

The State of California’s Motion to Amend was denied.

A subsequent motion to amend and correct the January 2024 judgment brought by the Company was denied.

The January 2024 judgment was paid by the Company in November 2024.

Additionally, the Company reached an agreement in principle to pay Relator’s counsel $ 12 million for its attorneys’ fees, which the Company paid in the fourth quarter of fiscal 2025.

The Company was dismissed from the case on February 26, 2025, and this matter is now fully resolved.

Jumpshot Matters

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Avast announced the decision to terminate its provision of data to, and wind down, Jumpshot on January 30, 2020.

As Avast has previously disclosed, it has been in communication with certain regulators and authorities prior to completion of the acquisition of Avast, and we will continue cooperating fully in respect of all regulatory enquiries.

As Avast has previously disclosed, it has been in communication with certain regulators and authorities prior to completion of our acquisition of Avast.

On December 23, 2019, the United States Federal Trade Commission (FTC) issued a Civil Investigative Demand (CID) to Avast seeking documents and information related to its privacy practices, including Jumpshot's past use of consumer information that was provided to it by Avast.

Avast responded cooperatively to the CID and related follow-up requests from the FTC.

On October 29, 2021, staff at the FTC sent Avast a draft complaint and proposed settlement order.

We engaged in ongoing negotiations with the FTC staff and have reached a negotiated agreement on the terms of a Consent Decree resolving this investigation, the terms of which are now final.

We engaged in ongoing negotiations with the FTC staff and reached a negotiated agreement on the terms of a Consent Decree resolving this investigation, the terms of which are now final.

This includes a provision for a non-material amount of monetary relief, which has been paid.

On February 27, 2020, the Czech Office for Personal Data Protection (the Czech DPA) initiated offense proceedings concerning Avast`s practices with respect to Jumpshot, the Czech DPA issued a decision in March 2022 finding that Avast had violated the GDPR and issued a fine of CZK 351 million, which is approximately $ 15 million.

On February 27, 2020, the Czech Office for Personal Data Protection (the Czech DPA) initiated offense proceedings concerning Avast`s practices with respect to Jumpshot.

The Czech DPA issued a decision in March 2022 finding that Avast had violated the GDPR and issued a fine of CZK 351 million (approximately $ 16 million).

Avast appealed the decision, which was affirmed by the Czech DPA on April 10, 2024.

Avast has now paid the fine levied by the DPA.

Avast paid the fine levied by the DPA.

On June 15, 2024, Avast brought a judicial action in the administrative law court challenging the decision of the Czech DPA.

That matter is still pending.

On October 7, 2025, the court affirmed the decision regarding liability;

however, it vacated the DPA’s decision regarding the determination of the fine.

Both the DPA and the Company have filed cassation complaints with the Supreme Administrative Law Court.

At this stage, the fine has been returned but the matter remains pending.

We have accrued an immaterial amount as our current estimate of probable loss from this matter.

On March 27, 2024, Stichting CUIC – Privacy Foundation for Collective Redress, a Dutch foundation (the Foundation), filed its writ of summons to initiate a collective action.

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On April 18, 2024, we received a letter before action from counsel in the United Kingdom asserting it may bring a representative action on behalf of a class of Avast users in the United Kingdom and Wales for breach of contract and misuse of private information and seeking unspecified damages and a permanent injunction.

No lawsuit has been commenced.

At this stage, we are unable to assess whether any material loss or adverse effect is probable or estimate the range of any potential loss.

On December 12, 2022, a putative class action, Lau v.

Gen Digital Inc.

and Jumpshot Inc.

(later restyled as Karwowski v.

Gen Digital Inc.

), was filed in the Northern District of California alleging violations of the Electronic Communications Privacy Act, California Invasion of Privacy Act, statutory larceny, unfair competition and various common law claims related to the provision of

customer data to Jumpshot.

The claims related to Jumpshot, and Jumpshot, Inc.

as a defendant, were dismissed on July 9, 2024, as a result of a Motion to Dismiss brought by the Company.

The remaining claims were then voluntarily dismissed, with prejudice, by the Plaintiffs.

Judgment was entered by the Court on October 23, 2024, as to those claims and on November 22, 2024, Plaintiffs filed a Notice of Appeal regarding the earlier dismissed Jumpshot-related claims and the appeal remains pending.

At this stage, we are unable to assess whether any material loss or adverse effect is probable as a result of this action or estimate the range of any potential loss.

We dispute these claims and intend to defend ourselves against them vigorously.

We have since entered into a final settlement agreement resolving this matter.

The settlement amount is immaterial, and the resolution did not have, and is not expected to have, a material adverse effect on our financial condition, results of operations or cash flows.

The outcome of the regulatory proceedings, government enforcement actions and litigation is difficult to predict, and the cost to defend, settle or otherwise resolve these matters may be significant.

5 unchanged sentences

MALKA Seller Members Litigation

On July 21, 2023, Jeffrey Frommer, Lyusen Krubich, Daniel Fried and Pat Capra, the former equity owners of MALKA (collectively, the “Seller Members”), brought a civil action in the SDNY against MoneyLion Technologies Inc.

alleging, among other things, breaches of the Membership Interest Purchase Agreement (the “MIPA”) governing the acquisition of MALKA (the “MALKA Acquisition”).

Among other claims, the Seller Members allege that they are entitled to payment of $ 25 million of Class A Common Stock pursuant to the earnout provisions set forth in the MIPA, based on the Seller Members’ assertion that MALKA achieved certain financial targets for the year ended December 31, 2022 (such payment, the “2022 Earnout Payment”).

The Company believes that the Seller Members are not entitled to any portion of the 2022 Earnout Payment under the terms of the MIPA and filed counterclaims against the Seller Members, alleging, among other things, fraud, negligent misrepresentation, conversion, breach of fiduciary duties and breach of contract and seeking compensatory damages and other remedies as a result of wrongdoing by the Seller Members.

The Company continues to vigorously pursue its remaining counterclaims and defend against the Seller Members’ claims, which the Company believes are meritless.

The bench trial of all remaining claims concluded on May 5, 2025, and a decision is currently pending.

At this stage, we are assessing the impact of this case on our allocation of the purchase price to the underlying assets acquired and liabilities assumed in the MoneyLion acquisition, and also for future periods if any material loss or adverse effect is probable or estimable.

CFPB Litigation

On September 29, 2022, the Consumer Financial Protection Bureau (the “CFPB”) initiated a civil action in the United States District Court for the Southern District of New York (“SDNY”) against MoneyLion Technologies Inc., ML Plus LLC and the Company's 38 state lending subsidiaries, alleging violations of the Military Lending Act and the Consumer Financial Protection Act.

The CFPB is seeking injunctive relief, redress for allegedly affected consumers and civil monetary penalties.

On January 10, 2023, the Company moved to dismiss the lawsuit, asserting various constitutional and merits-based arguments.

On March 24, 2025, the Court granted in part and denied in part the Company's motion to dismiss, substantially narrowing the case.

On April 22, 2025, the CFPB filed a second amended complaint.

The Company continues to maintain that the CFPB’s claims are meritless and is vigorously defending against the lawsuit.

On July 21, 2023, Jeffrey Frommer, Lyusen Krubich, Daniel Fried and Pat Capra, the former equity owners of MALKA, a subsidiary of MoneyLion (collectively, the “Seller Members”), brought a civil action in the Southern District of New York (“SDNY”) against MoneyLion Technologies Inc.

alleging, among other things, breaches of the Membership Interest Purchase Agreement governing the acquisition of MALKA.

MoneyLion filed counterclaims against the Sellers Members alleging, among other things, fraud, negligent misrepresentation, conversion, breach of fiduciary duties and breach of contract.

The court issued its decision on September 29, 2025, finding that MoneyLion breached the parties’ agreements and awarding the Sellers Members damages and attorneys’ fees and costs, for which we have accrued $ 48 million as a pre-acquisition contingency in Other long-term obligations in our Consolidated Balance Sheet.

On October 28, 2025, MoneyLion filed a notice of appeal.

See Note 4 for details regarding our purchase price allocation for our acquisition of MoneyLion.

NYAG Litigation

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and ML Plus LLC as defendants.

We believe the Attorney General’s claims are without merit and intend to vigorously defend against the lawsuit.

We are involved in a number of other judicial, arbitrable and administrative proceedings that are incidental to our business.

The Company maintains that the Attorney General’s claims are without merit and is vigorously defending against the lawsuit.

At this stage, the matter remains pending, and we are unable to assess whether any material loss or adverse effect is probable or estimate the range of any potential loss.

We are involved in a number of other judicial, arbitrable, administrative proceedings and government inquiries that are incidental to our business, including certain matters relating to products and services offered in the ordinary course of business subject to lending and other consumer laws and regulations.

Although adverse decisions (or settlements) may occur in one or more of the cases, it is not possible to estimate the possible loss or losses from each of these cases.

The final resolution of these lawsuits, individually or in the aggregate, is not expected to have a material adverse effect on our business, results of operations, financial condition or cash flows.

During fiscal 2025, 2024 and 2023, we incurred $ 132 million, $ 418 million and $ 29 million, respectively, related to the estimated accrual and final resolutions of our litigation contingencies in our Consolidated Statements of Operations.

During fiscal 2026, 2025 and 2024, we incurred(released) $( 334 ) million, $ 132 million and $ 418 million, respectively, related to the estimated accrual and final resolutions of our litigation contingencies in our Consolidated Statements of Operations.

Subsequent Events

Acquisition of MoneyLion

On December 10, 2024, we entered into a definitive agreement to acquire MoneyLion Inc.

We completed the acquisition of MoneyLion on April 17, 2025.

Under the terms of the definitive agreement, each share of Class A common stock, par value $ 0.0001 per share, of MoneyLion, that is issued and outstanding as of immediately prior to the effective time of the acquisition will be automatically cancelled, extinguished, and converted into the right to receive cash in an amount equal to $ 82.00 , without interest thereon, representing a cash value of approximately $ 1 billion.

In addition, for each share owned, MoneyLion shareholders will receive at closing one contingent value right (CVR) that entitles the holder to a contingent payment of $ 23.00 in the form of shares of our common stock (issuable based on an assumed share price of $ 30.48 per Gen share) if our average volume-weighted average share price reaches at least $ 37.50 per share over 30 consecutive trading days from December 10, 2024 until 24 months after close, representing an aggregate fair value of approximately $ 73 million.

Upon the closing of the acquisition, we cancelled all in-the money outstanding stock options, whether vested or unvested, and converted into the right to receive (i) an amount in cash, without interest thereon, equal to the product obtained by multiplying (a) the number of in-the-money outstanding stock option immediately prior to the close by (b) the excess, if any, MoneyLion’s closing stock price over the exercise price per share of such in-the-money stock option and (ii) one CVR in respect of each in-the-money stock option immediately prior to the close.

Any outstanding stock option with an exercise price greater than or equal to per share price of MoneyLion’s closing stock price was forfeited and canceled for no consideration.

Additionally, all outstanding and unvested restricted stock units (RSUs) and performance share units (PSUs) were assumed and converted into 3,727,957 service-based RSUs of Gen’s common stock.

The conversion was calculated by multiplying the total number of unvested RSUs and PSUs by an equity conversion ratio of 3.48 .

All converted RSUs will vest in accordance with the vesting period set forth in the original award agreement assuming continued service by the recipients through such date.

The fair value of these converted restricted stock awards has not yet been finalized.

See Note 10 for further information about this debt instrument and the related debt covenants.

The close date of the acquisition occurred subsequent to our fiscal quarter end, therefore the allocation of the purchase price to the underlying assets acquired and liabilities assumed is subject to a formal valuation process, which has not yet been completed.

We will reflect the initial purchase price allocation within our Form 10-Q for the first quarter of fiscal year 2026.

The purchase price allocation will be finalized as soon as practicable within the measurement period, but not later than one year following the acquisition close date.

Although the purchase price allocation for this acquisition is not yet available, we expect a substantial majority of the purchase price will be allocated to goodwill and intangible assets.

Fiscal 2027 Restructuring Program

On May 5, 2026, our Board of Directors approved a restructuring plan as part of our ongoing internal transformation efforts, including increased adoption of artificial intelligence technologies.

The initiative is intended to streamline operations and better align resources with strategic priorities.

We estimate that we will incur total costs of approximately $ 50 million in con nection with the plan, consisting of employee severance and termination benefits, facilities consolidation, contract termination and other restructuring costs.

Implementation is expected over the next twelve months, and estimates remain subject to change.

(2) Financial Statement Schedules

14 unchanged sentences

8-K 000-17781 3.01

Incorporated by Reference Filed

Exhibit Description Form File No.

Exhibit Filing Date

3.03 Certificate of Elimination of Series A Junior Preferred Stock.

1 unchanged sentence

4.01 Description of Securities.

4.03 Investment Agreement, dated as of February 3, 2016, by and among Registrant and Silver Lake Partners IV Cayman (AIV II), L.P.

8-K 000-17781 10.01 2/9/2016

4.04 First Amendment to Investment Agreement, dated as of March 2, 2016, by and among Registrant and Silver Lake Partners IV Cayman (AIV II), L.P.

8-K 000-17781 10.01 3/7/2016

4.05 Investment Agreement, dated as of June 12, 2016, by and among Registrant, Bain Capital Fund XI, L.P., Bain Capital Europe Fund IV, L.P.

and Silver Lake Partners IV Cayman (AIV II), L.P.

(including the form of Indenture attached as Exhibit A thereto).

8-K 000-17781 2.02 6/14/2016

4.06 Amendment to Investment Agreement, dated as of July 31, 2016, by and among Registrant, Bain Capital Fund XI, L.P., Bain Capital Europe Fund IV, L.P.

and Silver Lake Partners IV Cayman (AIV II), L.P.

10-Q 000-17781 2.03 8/5/2016

000-17781 4.01

4.02 Base Indenture, dated as of February 9, 2017, between Registrant and Wells Fargo Bank, National Association, as trustee.

2 unchanged sentences

8-K 000-17781 4.02 2/9/2017

4.09 Third Amendment to Investment Agreement, dated November 11, 2019, by and between NortonLifeLock Inc.

and Silver Lake Partners IV Cayman (AIV II), L.P., SLP IV Seal Holdings, L.P.

and SLP IV Seal II Holdings, L.P.

8-K 000-17781 10.01 11/12/2019

4.10 Second Amendment to Investment Agreement, dated November 11, 2019, by and between NortonLifeLock Inc.

and BC Bear cat SPV, LP, BCIP Venture Associates, BCIP Venture Associates-B, BCIP Associates IV (US), L.P., BCIP Associates IV-B (US), L.P., BCIP T Associates IV (US),

8-K 000-17781 10.02 11/12/2019

4.04 Second Supplemental Indenture, dated as of September 19, 2022, by and among the Company, each of the Guarantors (as defined therein) listed on the signature pages thereto and Computershare Trust Company, National Association, as successor to Wells Fargo Bank, National Association, as trustee (including the form of 6.750% Senior Notes due 2027 and form of 7.125% Senior Notes due 2030).

3 unchanged sentences

4.06 Fourth Supplemental Indenture, dated as of February 28, 2025, by and among Gen Digital Inc., as issuer, the guarantors party thereto and Computershare Trust Company, National Association, as successor to Wells Fargo Bank, National Association, as trustee (including the form of 6.250% Senior Notes due 2033).

Incorporated by Reference Filed

Exhibit Description Form File No.

Exhibit Filing Date

10.01(*) Form of Indemnification Agreement for Officers, Directors and Key Employees (form for agreements entered into between January 17, 2006 and March 6, 2016).

8-K 000-17781 10.01 1/23/2006

10.01(*) Form of Indemnification Agreement for Officers, Directors and Key Employees, as amended (form for agreements entered into after March 6, 2016).

2 unchanged sentences

10-K 000-17781 10.05 5/24/2010

Incorporated by Reference Filed

Exhibit Description Form File No.

Exhibit Filing Date

10.03(*) Registrant’s 2000 Director Equity Incentive Plan, as amended.

17 unchanged sentences

10-Q 000-17781 4.05 8/5/2016

10.13 Amendment Agreement, dated as of July 18, 2016, by and among Registrant, Symantec Operating Corporation, the Lenders and the New Term Lenders, Wells Fargo Bank, National Association, and JPMorgan Chase Bank, N.A.

10-Q 000-17781 4.02 8/5/2016

Incorporated by Reference Filed

1 unchanged sentence

Exhibit Filing Date

10.14 Amendment Agreement, dated as of July 18, 2016, by and among Registrant, Symantec Operating Corporation, the Lenders and the New Term Lenders, Wells Fargo Bank, National Association, and JPMorgan Chase Bank, N.A.

10-Q 000-17781 4.02 8/5/2016

10.14 Assignment and Assumption, dated October 3, 2016, to the Term Loan Agreement dated as of August 1, 2016, among Registrant, JPMorgan Chase Bank, N.A., as Administrative Agent, Bank of America, N.A., as Syndication Agent, and Barclays Bank PLC, Citibank, N.A., Wells Fargo Bank, National Association, Royal Bank of Canada, Mizuho Bank, Ltd., and TD Securities (USA) LLC, as Co-Documentation Agents, JPMorgan Chase Bank, N.A., Merrill Lynch, Pierce, Fenner & Smith Incorporated, Barclays Bank, PLC, Citigroup Global Markets Inc., Wells Fargo Securities, LLC, Royal Bank of Canada and Mizuho Bank, Ltd., as Joint Lead Arrangers and Joint Bookrunners.

11 unchanged sentences

10-K 000-17781 10.19 5/21/2021

Incorporated by Reference Filed

Exhibit Description Form File No.

Exhibit Filing Date

10.20(†) Environmental Indemnity Agreement, dated April 23, 1999, between Veritas and Fairchild Semiconductor Corporation, included as Exhibit C to that certain Agreement of Purchase and Sale, dated March 29, 1999, between Veritas and Fairchild Semiconductor of California.

2 unchanged sentences

10-Q 000-17781 10.01 11/16/2018

Incorporated by Reference Filed

Exhibit Description Form File No.

Exhibit Filing Date

10.22 Second Amendment and Limited Waiver to Term Loan dated as of June 22, 2018.

17 unchanged sentences

S-8 000-17781 99.01 9/12/2022

Incorporated by Reference Filed

Exhibit Description Form File No.

Exhibit Filing Date

10.30(*) Agreement, effective as of June 13, 2024 by and between Gen Digital Inc.

3 unchanged sentences

10-Q 000-17781 10.01 8/5/2022

Incorporated by Reference Filed

Exhibit Description Form File No.

Exhibit Filing Date

10.32 Second Amendment to Amended and Restated Credit Agreement, dated as of April 16, 2025, by and among Gen Digital Inc., the guarantors party thereto, Bank of America, N.A., as administrative agent, each Second Amendment Incremental Term B Loan Lender.

7 unchanged sentences

8-K 000-17781 99.01 4/17/2025

Form of PSU Grant Agreement (Annual) of MoneyLion Inc.

8-K 000-17781 99.02 4/17/2025

10.35 F or m of Performance Based Restr icted Stock Unit Award Agreement (VCP ) under Gen Digital Inc.

2013 Equity Incen tive Plan .

001-42603 10.01

10.36 Third Amendment to Amended and Restated Credit Agreement , dated as of March 27, 2026 , by and among Gen Digital Inc.

the guarantors party thereto, the lenders party thereto and Bank of America, N.A., as administrative agent .

10.37 Master Receivables Purchase Agreement, dated as of June 30, 2024, by and among Sound Point Capital Management, LP, SP Main Street Funding I LLC, the additional purchasers from time to time party thereto, and ML Plus LLC, as amended through March 16, 2026.

10.38 Servicing Agreement, dated as of June 30, 2024, by and among MoneyLion Technologies Inc., Sound Point Capital Management, LP, SP Main Street Funding I LLC, and the additional purchasers from time to time party thereto, as amended through March 16, 2026.

Insider Trading Policy.

001-42603 19.01 11/7/2025

21.01 Subsidiaries of Registrant.

5 unchanged sentences

97.01 Clawback Policy.

101.00 The following financial information from Gen Digital Inc.'s Annual Report on Form 10-K for the fiscal year ended March 28, 2025 are formatted in iXBRL (Inline eXtensible Business Reporting Language):

001-42603 97.01 5/15/2025

Incorporated by Reference Filed

Exhibit Description Form File No.

Exhibit Filing Date

101.00 The following financial information from Gen Digital Inc.'s Annual Report on Form 10-K for the fiscal year ended April 3, 2026 are formatted in iXBRL (Inline eXtensible Business Reporting Language):

(i) Consolidated Balance Sheets, (ii) Consolidated Statements of Operations, (iii) Consolidated Statements of Comprehensive Income (Loss), (iv) Consolidated Statements of Stockholders’ Equity (Deficit), (vi) Consolidated Statements of Cash Flows, and (vi) Notes to the Consolidated Financial Statements, tagged as blocks of text and including detailed tags.

12 unchanged sentences

Vincent Pilette

Chief Executive Officer, President and Director

Chief Executive Officer, President and Chairman of the Board

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the Registrant and in the capacities and on the dates indicated below.

Signature Title Date

/s/ Vincent Pilette Chief Executive Officer, President and Director

/s/ Vincent Pilette Chief Executive Officer, President and Chairman of the Board

(Principal Executive Officer)

3 unchanged sentences

Natalie Derse

Dangeard Chairman of the Board May 15, 2025

/s/ Sue Barsamian Director May 21, 2026

2 unchanged sentences

Brandt Director May 21, 2026

Director May 21, 2026

/s/ Nora Denzel Director May 21, 2026

Feld Director May 15, 2025

/s/ Emily Heath Director May 21, 2026

3 unchanged sentences

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 9A. Controls and Procedures