Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2018 | Oct. 18, 2018 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | SYKE | |
Entity Registrant Name | SYKES ENTERPRISES INC | |
Entity Central Index Key | 1,010,612 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Emerging Growth Company | false | |
Entity Small Business | false | |
Entity Common Stock, Shares Outstanding | 42,781,399 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 157,268 | $ 343,734 |
Receivables, net | 353,909 | 341,958 |
Prepaid expenses | 23,047 | 22,132 |
Other current assets | 17,792 | 19,743 |
Assets held for sale | 1,173 | |
Total current assets | 553,189 | 727,567 |
Property and equipment, net | 138,812 | 160,790 |
Goodwill, net | 268,075 | 269,265 |
Intangibles, net | 152,310 | 140,277 |
Deferred charges and other assets | 33,946 | 29,193 |
Total assets | 1,146,332 | 1,327,092 |
Current liabilities: | ||
Accounts payable | 26,709 | 32,133 |
Accrued employee compensation and benefits | 104,979 | 102,899 |
Income taxes payable | 355 | 2,606 |
Deferred revenue and customer liabilities | 31,322 | 34,717 |
Other accrued expenses and current liabilities | 38,175 | 30,888 |
Total current liabilities | 201,540 | 203,243 |
Deferred grants | 2,353 | 3,233 |
Long-term debt | 82,000 | 275,000 |
Long-term income tax liabilities | 23,771 | 27,098 |
Other long-term liabilities | 24,832 | 22,039 |
Total liabilities | 334,496 | 530,613 |
Commitments and loss contingency (Note 13) | ||
Shareholders' equity: | ||
Preferred stock, $0.01 par value per share, 10,000 shares authorized; no shares issued and outstanding | ||
Common stock, $0.01 par value per share, 200,000 shares authorized; 42,781 and 42,899 shares issued, respectively | 428 | 429 |
Additional paid-in capital | 284,275 | 282,385 |
Retained earnings | 581,740 | 546,843 |
Accumulated other comprehensive income (loss) | (52,275) | (31,104) |
Treasury stock at cost: 125 and 117 shares, respectively | (2,332) | (2,074) |
Total shareholders' equity | 811,836 | 796,479 |
Total liabilities and shareholders' equity | $ 1,146,332 | $ 1,327,092 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2018 | Dec. 31, 2017 |
Statement Of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 42,781,000 | 42,899,000 |
Treasury stock, shares | 125,000 | 117,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Income Statement [Abstract] | ||||
Revenues | $ 399,333 | $ 407,309 | $ 1,210,489 | $ 1,166,761 |
Operating expenses: | ||||
Direct salaries and related costs | 261,474 | 267,489 | 801,470 | 763,240 |
General and administrative | 105,148 | 93,355 | 309,625 | 277,635 |
Depreciation, net | 14,072 | 14,227 | 43,468 | 41,395 |
Amortization of intangibles | 3,638 | 5,293 | 11,480 | 15,774 |
Impairment of long-lived assets | 555 | 680 | 9,256 | 5,071 |
Total operating expenses | 384,887 | 381,044 | 1,175,299 | 1,103,115 |
Income from operations | 14,446 | 26,265 | 35,190 | 63,646 |
Other income (expense): | ||||
Interest income | 183 | 169 | 529 | 468 |
Interest (expense) | (1,168) | (2,021) | (3,523) | (5,585) |
Other income (expense), net | 919 | 28 | 537 | 1,634 |
Total other income (expense), net | (66) | (1,824) | (2,457) | (3,483) |
Income before income taxes | 14,380 | 24,441 | 32,733 | 60,163 |
Income taxes | 628 | 2,746 | 855 | 10,911 |
Net income | $ 13,752 | $ 21,695 | $ 31,878 | $ 49,252 |
Net income per common share: | ||||
Basic | $ 0.33 | $ 0.52 | $ 0.76 | $ 1.18 |
Diluted | $ 0.33 | $ 0.52 | $ 0.76 | $ 1.17 |
Weighted average common shares outstanding: | ||||
Basic | 42,136 | 41,879 | 42,070 | 41,800 |
Diluted | 42,204 | 42,033 | 42,201 | 42,006 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net income | $ 13,752 | $ 21,695 | $ 31,878 | $ 49,252 |
Other comprehensive income (loss), net of taxes: | ||||
Foreign currency translation adjustments, net of taxes | (2,177) | 11,502 | (15,483) | 31,884 |
Unrealized gain (loss) on net investment hedges, net of taxes | (1,916) | (5,220) | ||
Unrealized gain (loss) on cash flow hedging instruments, net of taxes | (2,097) | 1,326 | (5,471) | 1,462 |
Unrealized actuarial gain (loss) related to pension liability, net of taxes | 16 | (19) | (113) | (58) |
Unrealized gain (loss) on postretirement obligation, net of taxes | (84) | (13) | (104) | (38) |
Other comprehensive income (loss), net of taxes | (4,342) | 10,880 | (21,171) | 28,030 |
Comprehensive income (loss) | $ 9,410 | $ 32,575 | $ 10,707 | $ 77,282 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Changes in Shareholders' Equity - 9 months ended Sep. 30, 2018 - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Treasury Stock [Member] |
Beginning Balance at Dec. 31, 2017 | $ 796,479 | $ 429 | $ 282,385 | $ 546,843 | $ (31,104) | $ (2,074) |
Beginning Balance, shares at Dec. 31, 2017 | 42,899 | |||||
Stock-based compensation expense | 5,317 | 5,317 | ||||
Issuance of common stock under equity award plans, net of forfeitures | 258 | (258) | ||||
Shares repurchased for tax withholding on equity awards | (3,686) | $ (1) | (3,685) | |||
Shares repurchased for tax withholding on equity awards, Share | (118) | |||||
Comprehensive income (loss) | 10,707 | 31,878 | (21,171) | |||
Ending Balance at Sep. 30, 2018 | 811,836 | $ 428 | $ 284,275 | 581,740 | $ (52,275) | $ (2,332) |
Ending Balance, shares at Sep. 30, 2018 | 42,781 | |||||
Cumulative effect of accounting change | Accounting Standards Update 2014-09 [Member] | $ 3,019 | $ 3,019 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Cash flows from operating activities: | ||
Net income | $ 31,878 | $ 49,252 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation | 43,852 | 41,778 |
Amortization of intangibles | 11,480 | 15,774 |
Amortization of deferred grants | (533) | (550) |
Impairment losses | 9,256 | 5,071 |
Unrealized foreign currency transaction (gains) losses, net | (686) | (1,714) |
Stock-based compensation expense | 5,317 | 4,429 |
Deferred income tax provision (benefit) | 229 | 7,395 |
Unrealized (gains) losses and premiums on financial instruments, net | 661 | 126 |
Amortization of deferred loan fees | 201 | 201 |
Imputed interest expense and fair value adjustments to contingent consideration | (529) | |
Other | 375 | 173 |
Changes in assets and liabilities, net of acquisitions: | ||
Receivables, net | (12,756) | (3,844) |
Prepaid expenses | (1,164) | 1,048 |
Other current assets | (1,101) | (4,523) |
Deferred charges and other assets | (3,731) | (667) |
Accounts payable | (1,490) | 2,937 |
Income taxes receivable / payable | (6,429) | (7,285) |
Accrued employee compensation and benefits | 3,426 | 12,038 |
Other accrued expenses and current liabilities | 10,447 | (697) |
Deferred revenue and customer liabilities | (1,612) | 2,476 |
Other long-term liabilities | 1,830 | (4,515) |
Net cash provided by operating activities | 89,450 | 118,374 |
Cash flows from investing activities: | ||
Capital expenditures | (36,853) | (48,430) |
Cash paid for business acquisitions, net of cash acquired | (21,845) | (9,075) |
Net investment hedge settlement | (5,122) | |
Purchase of intangible assets | (8,106) | (4,825) |
Investment in equity method investees | (5,000) | (5,012) |
Other | 698 | 49 |
Net cash (used for) investing activities | (71,106) | (72,415) |
Cash flows from financing activities: | ||
Payments of long-term debt | (220,000) | |
Proceeds from issuance of long-term debt | 27,000 | |
Shares repurchased for tax withholding on equity awards | (3,686) | (3,859) |
Payments of contingent consideration related to acquisitions | (4,760) | |
Other | 42 | 139 |
Net cash (used for) financing activities | (196,644) | (8,480) |
Effects of exchange rates on cash, cash equivalents and restricted cash | (8,186) | 24,133 |
Net increase (decrease) in cash, cash equivalents and restricted cash | (186,486) | 61,612 |
Cash, cash equivalents and restricted cash – beginning | 344,805 | 267,594 |
Cash, cash equivalents and restricted cash – ending | 158,319 | 329,206 |
Supplemental disclosures of cash flow information: | ||
Cash paid during period for interest | 2,893 | 4,852 |
Cash paid during period for income taxes | 15,423 | 21,169 |
Non-cash transactions: | ||
Property and equipment additions in accounts payable | 2,450 | 5,165 |
Unrealized gain (loss) on postretirement obligation, net of taxes in accumulated other comprehensive income (loss) | $ (104) | (38) |
Shares repurchased for tax withholding on equity awards included in current liabilities | $ 123 |
Overview and Basis of Presentat
Overview and Basis of Presentation | 9 Months Ended |
Sep. 30, 2018 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Overview and Basis of Presentation | Note 1. Overview and Basis of Presentation Business — Sykes Enterprises, Incorporated and consolidated subsidiaries (“SYKES” or the “Company”) is a leading provider of multichannel demand generation and global customer engagement services. SYKES provides differentiated full lifecycle customer engagement solutions and services to Global 2000 companies and their end customers primarily within the communications, financial services, technology, transportation and leisure, healthcare, retail and other industries. SYKES primarily provides customer engagement solutions and services with an emphasis on inbound multichannel demand generation, customer service and technical support to its clients’ customers. Utilizing SYKES’ integrated onshore/offshore global delivery model, SYKES provides its services through multiple communication channels including phone, e-mail, social media, text messaging, chat and digital self-service. SYKES also provides various enterprise support services in the United States that include services for its clients’ internal support operations, from technical staffing services to outsourced corporate help desk services. In Europe, SYKES also provides fulfillment services, which includes order processing, payment processing, inventory control, product delivery and product returns handling. The Company has operations in two reportable segments entitled (1) the Americas, in which the client base is primarily companies in the United States that are using the Company’s services to support their customer management needs, which includes the United States, Canada, Latin America, Australia and the Asia Pacific Rim; and (2) EMEA, which includes Europe, the Middle East and Africa. 2017 Tax Reform Act In December 2017, the President of the United States (“U.S.”) signed into law the Tax Cuts and Jobs Act (the “2017 Tax Reform Act”). In general, the 2017 Tax Reform Act reduces the U.S. federal corporate tax rate from 35% to 21%, effective in 2018. The 2017 Tax Reform Act moves from a worldwide business taxation approach to a participation exemption regime. The 2017 Tax Reform Act also imposes base-erosion prevention measures on non-U.S. earnings of U.S. entities, as well as a one-time mandatory deemed repatriation tax on accumulated non-U.S. earnings which was recorded in the fourth quarter of 2017. The impact of the 2017 Tax Reform Act on the consolidated financial results began with the fourth quarter of 2017, the period of enactment. This impact, along with the transitional taxes discussed in Note 11, Income Taxes, is reflected in the Other segment. Telecommunications Asset Acquisition In April 2017, the Company entered into a definitive Asset Purchase Agreement (the “Purchase Agreement”) to acquire certain assets from a Global 2000 telecommunications services provider. The aggregate purchase price of $7.5 million was paid on May 31, 2017, using cash on hand, resulting in $6.0 million of property and equipment and $1.5 million of customer relationship intangibles (the “Telecommunications Asset acquisition”). The Purchase Agreement contained customary representations and warranties, indemnification obligations and covenants. The results of the Telecommunications Assets’ operations have been included in the Company’s consolidated financial statements in the Americas segment since its acquisition on May 31, 2017. The Company accounted for the Telecommunications Asset acquisition in accordance with ASC 805, Business Combinations, WhistleOut Acquisition On July 9, 2018, the Company, as guarantor, and its wholly-owned subsidiaries, Sykes Australia Pty Ltd, an Australian company, and Clear Link Technologies, LLC, a Delaware limited liability company, entered into and closed a definitive Share Sale Agreement (the “WhistleOut Sale Agreement”) with WhistleOut Nominees Pty Ltd as trustee for the WhistleOut Holdings Unit Trust, CPC Investments USA Pty Ltd, JJZL Pty Ltd, Kenneth Wong as trustee for Wong Family Trust and C41 Pty Ltd as trustee for the Ottery Family Trust (together, the “WhistleOut Sellers”) to acquire all of the outstanding shares of WhistleOut Pty Ltd and WhistleOut Inc. (together, known as “WhistleOut”). The aggregate purchase price of AUD 30.2 million ($22.4 million), was paid at the closing of the transaction on July 9, 2018, resulting in $16.5 million of intangible assets, primarily indefinite-lived domain names, $2.4 million of fixed assets and $2.2 million of goodwill. The aggregate purchase price is subject to certain post-closing adjustments related to WhistleOut’s working capital. The purchase price was funded through $22.0 million of additional borrowings under the Company’s Credit Agreement. The WhistleOut Sale Agreement provides for a three-year, retention based earnout of AUD 14.0 million. The WhistleOut Sale Agreement contains customary representations and warranties, indemnification obligations and covenants. The Company accounted for the WhistleOut acquisition in accordance with ASC 805 , Business Combination (Topic 805) Simplifying the Accounting for Measurement-Period Adjustments Basis of Presentation — The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“generally accepted accounting principles” or “U.S. GAAP”) for interim financial information, the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three and nine months ended September 30, 2018 are not necessarily indicative of the results that may be expected for any future quarters or the year ending December 31, 2018. For further information, refer to the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2017, as filed with the Securities and Exchange Commission (“SEC”) on March 1, 2018. Principles of Consolidation — The condensed consolidated financial statements include the accounts of SYKES and its wholly-owned subsidiaries and controlled majority-owned subsidiaries. Investments in less than majority-owned subsidiaries in which the Company does not have a controlling interest, but does have significant influence, are accounted for as equity method investments. All intercompany transactions and balances have been eliminated in consolidation. Use of Estimates — The preparation of condensed consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Subsequent Events — Subsequent events or transactions have been evaluated through the date and time of issuance of the condensed consolidated financial statements. On October 17, 2018, the Company entered into a verbal agreement to settle an outstanding legal action for $1.2 million. See Note 13, Commitments and Loss Contingency, for further information. On October 18, 2018, the Company entered into a definitive Share Purchase Agreement (the “Symphony Purchase Agreement”) to acquire all the outstanding shares of Symphony Ventures Ltd (“Symphony”) for GBP 52.6 million ($67.9 million). The transaction closed on November 1, 2018. See Note 19, Subsequent Event, for further information. There were no other material subsequent events that required recognition or disclosure in the accompanying condensed consolidated financial statements. Cash, Cash Equivalents and Restricted cash — Cash and cash equivalents consist of cash and highly liquid short-term investments, primarily held in non-interest-bearing investments which have original maturities of less than 90 days. Restricted cash includes cash whereby the Company’s ability to use the funds at any time is contractually limited or is generally designated for specific purposes arising out of certain contractual or other obligations. The following table provides a reconciliation of cash and cash equivalents and restricted cash reported in the Condensed Consolidated Balance Sheets that sum to the amounts reported in the Condensed Consolidated Statements of Cash Flows (in thousands): September 30, 2018 December 31, 2017 September 30, 2017 December 31, 2016 Cash and cash equivalents $ 157,268 $ 343,734 $ 328,166 $ 266,675 Restricted cash included in "Other current assets" 158 154 107 160 Restricted cash included in "Deferred charges and other assets" 893 917 933 759 $ 158,319 $ 344,805 $ 329,206 $ 267,594 Investments in Equity Method Investees — The Company uses the equity method to account for investments in companies if the investment provides the ability to exercise significant influence, but not control, over operating and financial policies of the investee. The Company’s proportionate share of the net income or loss of an equity method investment is included in consolidated net income. Judgment regarding the level of influence over an equity method investment includes considering key factors such as the Company’s ownership interest, representation on the board of directors, participation in policy-making decisions and material intercompany transactions. The Company evaluates an equity method investment for impairment whenever events or changes in circumstances indicate that the carrying amount of the investment might not be recoverable. Factors considered by the Company when reviewing an equity method investment for impairment include the length of time (duration) and the extent (severity) to which the fair value of the equity method investment has been less than cost, the investee’s financial condition and near-term prospects, and the intent and ability to hold the investment for a period of time sufficient to allow for anticipated recovery. An impairment that is other-than-temporary is recognized in the period identified. As of September 30, 2018 and December 31, 2017, the Company did not identify any instances where the carrying values of its equity method investments were not recoverable. In July 2017, the Company made a strategic investment of $10.0 million in XSell Technologies, Inc. (“XSell”) for 32.8% of XSell’s preferred stock. The Company is incorporating XSell’s machine learning and artificial intelligence algorithms into its business. The Company believes this will increase the sales performance of its agents to drive revenue for its clients, improve the experience of the Company’s clients’ end customers and enhance brand loyalty, reduce the cost of customer care and leverage analytics and machine learning to source the best agents and improve their performance. The Company’s net investment in XSell of $9.4 million and $9.8 million was included in “Deferred charges and other assets” in the accompanying Condensed Consolidated Balance Sheets as of September 30, 2018 and December 31, 2017, respectively. The Company paid $5.0 million in July 2017 and the remaining $5.0 million in August 2018. The Company’s proportionate share of XSell’s income (loss) of $(0.2) million and less than $(0.1) million for the three months ended September 30, 2018 and 2017, respectively, and $(0.4) million and less than $(0.1) million for the nine months ended September 30, 2018 and 2017, respectively, was included in “Other income (expense), net” in the accompanying Condensed Consolidated Statements of Operations. Customer-Acquisition Advertising Costs — The Company’s advertising costs are expensed as incurred. Total advertising costs included in the accompanying Condensed Consolidated Statements of Operations were as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Customer-acquisition advertising costs included in "Direct salaries and related costs" $ 13,907 $ 9,188 $ 35,835 $ 27,599 Customer-acquisition advertising costs included in "General and administrative" 24 18 35 79 Reclassifications — Certain balances in the prior period have been reclassified to conform to current period presentation. New Accounting Standards Not Yet Adopted Leases In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-02, Leases (Topic 842) Leases The Company’s implementation team has compiled a detailed inventory of leases and a preliminary analysis of the impact to the financial statements. The Company continues to evaluate the critical factors of ASC 842. Based on an assessment of the Company’s business and system requirements, the implementation team is implementing a lease accounting software solution to assist the Company in complying with ASC. The Company expects the adoption of ASC 842 on January 1, 2019 to result in a material increase in the assets and liabilities on the consolidated balance sheets as a result of recognizing right-of-use assets and lease liabilities for existing operating leases based on the amount of the Company’s current lease commitments. The Company believes that the majority of its leases will maintain their current lease classification under ASC 842. The Company does not expect these amendments to have a material effect on its expense recognition timing or cash flows and, as a result, the Company expects the adoption of ASC 842 will result in an insignificant impact on the Company’s consolidated statements of income and on the consolidated statements of cash flows. The Company is continuing to evaluate the magnitude of the impact on financial statement presentation and related disclosures, as well as the optional practical expedients. The Company is also continuing to evaluate the full impact of ASC 842, as well as its impacts on its business processes, systems, and internal controls. Fair Value Measurements In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820) – Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”). These amendments These amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Certain of the amendments will be applied prospectively in the initial year of adoption while the remainder are required to be applied retrospectively to all periods presented upon their effective date. Early adoption is permitted. The Company is evaluating the timing of its adoption of ASU 2018-13 but does not expect a material impact on its disclosures. Retirement Benefits In August 2018, the FASB issued ASU 2018-14, Compensation – Retirement Benefits – Defined Benefit Plans - General (Subtopic 715-20) – Disclosure Framework – Changes to the Disclosure Requirements for Defined Benefit Plans (“ASU 2018-14”). These amendments These amendments are effective for fiscal years ending after December 15, 2020, with early adoption permitted. The Company is evaluating the timing of its adoption of ASU 2018-14 but does not expect a material impact on its disclosures. Cloud Computing In August 2018, the FASB issued ASU 2018-15, Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40) – Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (“ASU 2018-15”). These amendments These amendments are effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years, with early application permitted in any interim period after issuance of this update. The amendments should be applied either retrospectively or prospectively to all implementation costs incurred after the date of adoption. The Company is evaluating the timing of its adoption of ASU 2018-15 but does not expect a material impact on its financial condition, results of operations, cash flows and disclosures. Derivatives and Hedging In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815) – Targeted Improvements to Accounting for Hedge Activities (“ASU 2017-12”). These amendments These amendments are effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years, with early application permitted in any interim period after issuance of this update. The Company does not expect the adoption of ASU 2017-12 to materially impact its financial condition, results of operations, cash flows and disclosures. Financial Instruments – Credit Losses In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326) – Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). These amendments . These amendments are effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. Early adoption is permitted. The Company is currently evaluating the impact the guidance will have on its financial condition, results of operations and cash flows. New Accounting Standards Recently Adopted Revenue from Contracts with Customers In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606) Financial Instruments In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall (Subtopic 825-10) Recognition and Measurement of Financial Assets and Financial Liabilities Fair Value Measurements Statement of Cash Flows In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230) – Classification of Certain Cash Receipts and Cash Payments (“ASU 2016-15”). These amendments clarify the presentation of cash receipts and payments in eight specific situations. These amendments are effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. These amendments have been applied using a retrospective transition method to each period presented. The adoption of ASU 2016-15 on January 1, 2018 did not have a material impact on the Company’s cash flows. In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230) – Restricted Cash (A Consensus of the FASB Emerging Issues Task Force (“ASU 2016-18”). These amendments clarify how entities should present restricted cash and restricted cash equivalents in the statement of cash flows, requiring entities to show the changes in the total of cash, cash equivalents, restricted cash and restricted cash equivalents. These amendments are effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. These amendments have been applied using a retrospective transition method to each period presented. The inclusion of restricted cash increased the beginning balance of cash in the Condensed Consolidated Statements of Cash Flows by $1.1 million for the nine months ended September 30, 2018 and increased the beginning and ending balances of cash by $0.9 million and $1.0 million, respectively, for the nine months ended September 30, 2017. Other than the change in presentation within the accompanying Condensed Consolidated Statements of Cash Flows, the retrospective adoption of ASU 2016-18 on January 1, 2018 did not have a material impact on the Company’s consolidated financial statements. Income Taxes In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740) – Intra-Entity Transfers of Assets Other than Inventory (“ASU 2016-16”). These amendments These amendments are effective for annual reporting periods beginning after December 15, 2017, including interim reporting periods within those annual reporting periods. The adoption of ASU 2016-16 on January 1, 2018 did not have a material impact on the Company’s consolidated financial statements and no cumulative-effect adjustment to retained earnings was required. In January 2018, the FASB released guidance on the accounting for tax on the global intangible low-taxed income ("GILTI") provisions of the 2017 Tax Reform Act. The GILTI provisions impose a tax on foreign income in excess of a deemed return on tangible assets of foreign corporations. The guidance indicates that either accounting for deferred taxes related to GILTI inclusions or to treat any taxes on GILTI inclusions as period costs are both acceptable methods subject to an accounting policy election. The Company evaluated the accounting treatment options related to the GILTI provisions and elected to treat any potential GILTI inclusions as a current period cost. The election did not have a material impact on the Company’s consolidated financial statements. In March 2018, the FASB issued ASU 2018-05, Income Taxes (Topic 740): Amendments to SEC paragraphs pursuant to SEC Staff Accounting Bulletin No. 118 Income Tax Accounting Implications of the Tax Cuts and Jobs Act Other Comprehensive Income In February 2018, the FASB issued ASU 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220) These amendments can be applied either in the period of adoption or retrospectively to each period (or periods) in which the effect of the change in the U.S. federal corporate tax rate in the 2017 Tax Reform Act is recognized. The early adoption of ASU 2018-02 on June 30, 2018 had no impact on the Company’s consolidated financial statements or disclosures. Business Combinations In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805) – Clarifying the Definition of a Business (“ASU 2017-01”). These amendments These amendments are effective for annual periods beginning after December 15, 2017, including interim periods within those periods. These amendments were applied prospectively. The adoption of ASU 2017-01 on January 1, 2018 did not have a material impact on the Company’s consolidated financial statements. Retirement Benefits In March 2017, the FASB issued ASU 2017-07, Compensation – Retirement Benefits (Topic 715) – Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost (“ASU 2017-07”). These amendments These amendments are effective for annual periods beginning after December 15, 2017, including interim periods within those annual periods. These amendments were applied retrospectively for the presentation of the service cost component and the other components of net periodic pension cost and net periodic postretirement benefit cost in the income statement and prospectively, on and after the effective date, for the capitalization of the service cost component of net periodic pension cost and net periodic postretirement benefit in assets. The amendments allow a practical expedient that permits an employer to use the amounts disclosed in its pension and other postretirement benefit plan note for the prior comparative periods as the estimation basis for applying the retrospective presentation requirements. The Company adopted the income statement presentation aspects of ASU 2017-07 on a retrospective basis effective January 1, 2018. The following is a reconciliation of the effect of the reclassification of the interest cost and amortization of actuarial gain (loss) from operating expenses to other income (expense) in the Company’s Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 2017 (in thousands): As Previously Reported Adjustments Due to the Adoption of ASU 2017-07 As Revised Three Months Ended September 30, 2017: Direct salaries and related costs $ 267,516 $ (27 ) $ 267,489 General and administrative 93,364 (9 ) 93,355 Income from operations 26,229 36 26,265 Other income (expense), net 64 (36 ) 28 Nine Months Ended September 30, 2017: Direct salaries and related costs $ 763,324 $ (84 ) $ 763,240 General and administrative 277,664 (29 ) 277,635 Income from operations 63,533 113 63,646 Other income (expense), net 1,747 (113 ) 1,634 |
Revenues
Revenues | 9 Months Ended |
Sep. 30, 2018 | |
Revenue From Contract With Customer [Abstract] | |
Revenues | Note 2. Revenues Adoption of ASC 606, Revenue from Contracts with Customers On January 1, 2018, the Company adopted ASC 606, which includes ASU 2014-09 and all related amendments, using the modified retrospective method applied to those contracts which were not completed as of January 1, 2018. Results for reporting periods beginning after January 1, 2018 are presented under ASC 606, while prior period amounts were not adjusted and continue to be reported in accordance with the Company’s historic accounting for revenues under ASC 605, Revenue Recognition The Company recorded an increase to opening retained earnings of $3.0 million as of January 1, 2018 due to the cumulative impact of adopting ASC 606. The impact, all in the Americas segment, primarily related to the change in timing of revenue recognition associated with certain customer contracts that provide fees upon renewal, as well as changes in estimating variable consideration with respect to penalties and holdback provisions for failure to meet specified minimum service levels and other performance-based contingencies. Revenues recognized under ASC 606 are expected to be slightly higher during 2018 than revenues would have been under ASC 605. This is primarily attributable to the change in the timing of revenue recognition, as discussed above. The impact on revenues recognized for the three and nine months ended September 30, 2018 is reported below. The cumulative effect of the adjustments made to the Company’s Condensed Consolidated Balance Sheet as of December 31, 2017 for the line items impacted by the adoption of ASC 606 was as follows (in thousands): December 31, 2017 Adjustments Due to the Adoption of ASC 606 January Receivables, net $ 341,958 $ 825 $ 342,783 Deferred charges and other assets 29,193 2,045 31,238 Income taxes payable 2,606 697 3,303 Deferred revenue and customer liabilities 34,717 (1,048 ) 33,669 Other long-term liabilities 22,039 202 22,241 Retained earnings 546,843 3,019 549,862 The financial statement line items impacted by the adoption of ASC 606 in the Company’s Condensed Consolidated Balance Sheet as of September 30, 2018 were as follows (in thousands): As Reported Balances Without the Impact of the ASC 606 Adoption Effect of Adoption Increase (Decrease) Receivables, net $ 353,909 $ 351,299 $ 2,610 Deferred charges and other assets 33,946 28,025 5,921 Income taxes payable 355 (1,727 ) 2,082 Deferred revenue and customer liabilities 31,322 33,984 (2,662 ) Other long-term liabilities 24,832 24,415 417 Retained earnings 581,740 573,046 8,694 The financial statement line items impacted by the adoption of ASC 606 in the Company’s Condensed Consolidated Statement of Operations for the three months ended September 30, 2018 were as follows, along with the impact per share (in thousands, except per share data): As Reported Balances Without the Impact of the ASC 606 Adoption Effect of Adoption Increase (Decrease) Revenues $ 399,333 $ 397,343 $ 1,990 Income from operations 14,446 12,456 1,990 Income before income taxes 14,380 12,390 1,990 Income taxes 628 181 447 Net income 13,752 12,209 1,543 Net income per common share: Basic $ 0.33 $ 0.29 $ 0.04 Diluted $ 0.33 $ 0.29 $ 0.04 The financial statement line items impacted by the adoption of ASC 606 in the Company’s Condensed Consolidated Statement of Operations for the nine months ended September 30, 2018 were as follows, along with the impact per share (in thousands, except per share data): As Reported Balances Without the Impact of the ASC 606 Adoption Effect of Adoption Increase (Decrease) Revenues $ 1,210,489 $ 1,203,102 $ 7,387 Income from operations 35,190 27,803 7,387 Income before income taxes 32,733 25,346 7,387 Income taxes 855 (857 ) 1,712 Net income 31,878 26,203 5,675 Net income per common share: Basic $ 0.76 $ 0.62 $ 0.14 Diluted $ 0.76 $ 0.62 $ 0.14 The Company’s net cash provided by operating activities for the nine months ended September 30, 2018 did not change due to the adoption of ASC 606. Practical Expedients The Company utilized the practical expedient that allows for the application of ASC 606 to a portfolio of contracts (or performance obligations) with similar characteristics if the entity reasonably expects that the effects on the financial statements of applying this guidance to the portfolio would not differ materially from applying this guidance to the individual contracts (or performance obligations) within that portfolio. Costs of Obtaining Customer Contracts ASC 606 requires an entity to recognize as an asset the incremental costs of obtaining a contract with a customer if the entity expects to recover those costs. The incremental costs of obtaining a contract are those costs that an entity incurs to obtain a contract with a customer that it would not have incurred if the contract had not been obtained (e.g., a sales commission). Because the Company’s sales commissions are not directly incremental to obtaining customer contracts, they are expensed as incurred. Recognition of Revenues Accounting Policy The Company’s “Recognition of Revenues” accounting policy under ASC 606 is outlined below. For the Company’s accounting policy under ASC 605, see Note 1, Overview and Summary of Significant Accounting Policies, of the Company’s Annual Report on Form 10-K for the year ended December 31, 2017. The Company recognizes revenues in accordance with ASC 606, whereby revenues are recognized when control of the promised goods or services is transferred to the Company’s customers, in an amount that reflects the consideration it expects to be entitled to in exchange for those goods or services. Customer Engagement Solutions and Services Under ASC 606, the Company accounts for a contract with a client when it has approval, the contract is committed, the rights of the parties, including payment terms, are identified, the contract has commercial substance and consideration is probable of collection. The Company’s customer engagement solutions and services are classified as stand-ready performance obligations. Because the Company’s customers simultaneously receive and consume the benefits of its services as they are delivered, the performance obligations are satisfied over time. The Company recognizes revenues over time using output methods such as a per minute, per hour, per call, per transaction or per time and materials basis. These output methods faithfully depict the satisfaction of the Company’s obligation to deliver the services as requested and represent a direct measurement of value to the customer. The Company’s contracts have a single performance obligation as the promise to transfer the customer solutions and services are not separately identifiable from other promises in the contract, and therefore not distinct. The stated term of the Company’s contracts with customers range from 30 days to six years. The majority of these contracts include termination for convenience or without cause provisions allowing either party to cancel the contract without substantial cost or penalty within a defined notification period (“termination rights”), varying periods typically up to 180 days. Because of the termination rights, only the noncancelable portion qualifies as a legally enforceable contract under Step 1, Identify the Contract with a Customer, of ASC 606 (“Step 1”) and is accounted for as such, even if the customer is unlikely to exercise its termination right. Furthermore, the amounts excluded from assessment under Step 1 are, in effect, optional customer purchases of additional services. If the termination right is only provided to the customer, the unsatisfied performance obligations will be evaluated as a customer option. The Company typically does not include options in customer contracts that would result in a material right. If options to purchase additional services or options to renew are included in customer contracts, the Company evaluates the option in order to determine if the arrangement includes promises that may represent a material right and needs to be accounted for as a performance obligation in the contract with the customer. The Company’s primary billing terms are that payment is due within 30 or 60 days of the invoice date. Invoices are generally issued on a monthly basis as control transfers and/or as services are rendered. Revenue recognition is limited to the established transaction price, the amount to which the Company expects to be entitled to under the contract, including the amount of expected fees for those contracts with renewal provisions, and the amount that is not contingent upon delivery of any future product or service or meeting other specified performance obligations. The transaction price, once determined, is allocated to the single performance obligation on a contract by contract basis. The Company’s customer contracts include penalties and holdbacks provisions for failure to meet specified minimum service levels and other performance-based contingencies, as well as the right of certain of the Company’s clients to chargeback accounts that do not meet certain requirements for specified periods after a sale has occurred. Certain customers also receive cash discounts for early payment. These provisions are accounted for as variable consideration and are estimated using the expected value method based on historical service and pricing trends, the individual contract provisions, and the Company’s best judgment at the time. None of these variable consideration components are subject to constraint due to the short time period to resolution, the Company’s extensive history with similar transactions, and the limited number of possible outcomes and third-party influence. The portion of the consideration received under the contract that the Company expects to ultimately refund to the customer is excluded from the transaction price and is recorded as a refund liability. Other Revenues In the Americas, the Company provides a range of enterprise support services including technical staffing services and outsourced corporate help desk services, primarily in the U.S. Revenues for enterprise support services are recognized over time using output methods such as number of positions filled. In EMEA, the Company offers fulfillment services that are integrated with its customer care and technical support services. The Company’s fulfillment solutions include order processing, payment processing, inventory control, product delivery and product returns handling. Sales are recognized upon shipment to the customer and satisfaction of all obligations. The Company also has miscellaneous other revenues in the Other segment. In total, other revenues are immaterial, representing 0.5% and 0.5% of the Company’s consolidated total revenues for the three months ended September 30, 2018 and 2017, respectively, and 0.5% and 0.5% of the Company’s consolidated total revenues for the nine months ended September 30, 2018 and 2017, respectively. Disaggregated Revenues The Company disaggregates its revenues from contracts with customers by service type and geographic location (see Note 16, Segments and Geographic Information), for each of its reportable segments, as the Company believes it best depicts how the nature, amount, timing and uncertainty of its revenues and cash flows are affected by economic factors. The following table represents revenues from contracts with customers disaggregated by service type and by the reportable segment for each category (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Americas: Customer engagement solutions and services $ 328,535 $ 341,077 $ 995,723 $ 976,342 Other revenues 227 257 801 794 Total Americas 328,762 341,334 996,524 977,136 EMEA: Customer engagement solutions and services 68,859 64,230 208,302 184,135 Other revenues 1,684 1,727 5,588 5,429 Total EMEA 70,543 65,957 213,890 189,564 Other: Other revenues 28 18 75 61 Total Other 28 18 75 61 $ 399,333 $ 407,309 $ 1,210,489 $ 1,166,761 Trade Accounts Receivable The Company’s trade accounts receivable, net, consists of the following (in thousands): September 30, 2018 January 1, 2018 Trade accounts receivable, net, current (1) $ 340,391 $ 332,014 Trade accounts receivable, net, noncurrent (2) 6,066 2,078 $ 346,457 $ 334,092 (1) (2) The Company’s noncurrent trade accounts receivable result from contracts with customers that include renewal provisions that take effect subsequent to the satisfaction of the associated performance obligations. Payment is expected upon renewal, which occurs in bi-annual and annual increments over the associated expected contract term, the majority of which range from two to five years. Deferred Revenue and Customer Liabilities Deferred revenue and customer liabilities consists of the following (in thousands): September 30, 2018 January 1, 2018 Deferred revenue $ 4,507 $ 4,598 Customer arrangements with termination rights 17,789 21,755 Estimated refund liabilities (1) 9,026 7,316 $ 31,322 $ 33,669 (1) Deferred Revenue The Company receives up-front fees in connection with certain contracts. In accordance with ASC 606, the up-front fees are recorded as a contract liability only to the extent a legally enforceable contract exists, typically varying periods up to 180 days. Accordingly, the up-front fees allocated to the notification period are recorded as deferred revenue, while the fees that extend beyond the notification period are classified as a customer arrangement with termination rights. These up-front fees do not represent a significant financing component since they were structured primarily to reduce the administrative burden in managing the operations of certain contracts, to provide the customer with un-interrupted service, and to assist in managing the overall risk and profitability of providing the services. Revenues of $0.1 million and $4.3 million were recognized during the three and nine months ended September 30, 2018, respectively, from amounts included in deferred revenue at January 1, 2018. The Company expects to recognize the majority of its deferred revenue as of September 30, 2018 over the next 180 days. Customer Liabilities – Customer Arrangements with Termination Rights Customer arrangements with termination rights represent the amount of up-front fees received for unsatisfied performance obligations for periods that extend beyond the legally enforceable contract period. All customer arrangements with termination rights are classified as current as the customer can terminate the contracts and demand pro-rata refunds of the up-front fees over varying periods, typically up to 180 days. The Company expects to recognize the majority of the customer arrangements with termination rights into revenue as the Company has not historically experienced a high rate of contract terminations. Customer Liabilities – Refund Liabilities Refund liabilities represent consideration received under the contract that the Company expects to ultimately refund to the customer and primarily relates to estimated penalties, holdbacks and chargebacks. Penalties and holdbacks result from the failure to meet specified minimum service levels in certain contracts and other performance-based contingencies. Chargebacks reflect the right of certain of the Company’s clients to chargeback accounts that do not meet certain requirements for specified periods after a sale has occurred. Refund liabilities are generally resolved in 180 days, once it is determined whether the requisite service levels and client requirements were achieved to settle the contingency. |
Costs Associated with Exit or D
Costs Associated with Exit or Disposal Activities | 9 Months Ended |
Sep. 30, 2018 | |
Restructuring And Related Activities [Abstract] | |
Costs Associated with Exit or Disposal Activities | Note 3. Costs Associated with Exit or Disposal Activities During the second quarter of 2018, the Company initiated a restructuring plan to streamline excess capacity through targeted seat reductions (the “Americas 2018 Exit Plan”) in an on-going effort to manage and optimize capacity utilization. The Americas 2018 Exit Plan includes, but is not limited to, closing customer contact management centers and consolidating leased space in various locations in the U.S. and Canada. The Company anticipates finalizing the remainder of the site closures under the Americas 2018 Exit Plan by December 2018. The Company’s actions will result in a reduction in seats as well as anticipated general and administrative cost savings, and lower depreciation expense resulting from the 2018 site closures. The cumulative costs expected and incurred to date related to cash and non-cash expenditures as a result of the Americas 2018 Exit Plan are outlined below as of September 30, 2018 (in thousands): Costs Expected To Be Incurred Cumulative Costs Incurred To Date Expected Remaining Costs Lease obligations and facility exit costs (1) $ 7,344 $ 6,860 $ 484 Severance and related costs (2) 3,434 3,417 17 Severance and related costs (1) 665 550 115 Non-cash impairment charges 5,730 5,730 - $ 17,173 $ 16,557 $ 616 (1) (2) Direct salaries and related costs. The total costs expected to be incurred under the Americas 2018 Exit Plan increased $1.1 million during the three months ended September 30, 2018 as the Company progressed with its plan and actual costs became known. The expected remaining lease obligations, facility exit costs and severance charges are anticipated to be incurred during the fourth quarter of 2018. The Company has paid $5.2 million in cash through September 30, 2018. The following table summarizes the accrued liability and related charges for the three months ended September 30, 2018 (none in 2017) (in thousands): Lease Obligations and Facility Exit Costs Severance and Related Costs Total Balance at the beginning of the period $ 2,815 $ 490 $ 3,305 Charges included in "Direct salaries and related costs" - 3,015 3,015 Charges included in "General and administrative" 3,832 331 4,163 Cash payments (1,440 ) (3,209 ) (4,649 ) Balance sheet reclassifications (1) 119 - 119 Balance at the end of the period $ 5,326 $ 627 $ 5,953 (1) The following table summarizes the accrued liability and related charges for the nine months ended September 30, 2018 (none in 2017) (in thousands): Lease Obligations and Facility Exit Costs Severance and Related Costs Total Balance at the beginning of the period $ - $ - $ - Charges included in "Direct salaries and related costs" - 3,417 3,417 Charges included in "General and administrative" 6,860 550 7,410 Cash payments (1,869 ) (3,340 ) (5,209 ) Balance sheet reclassifications (1) 335 - 335 Balance at the end of the period $ 5,326 $ 627 $ 5,953 (1) Restructuring Liability Classification The following table summarizes the Company’s short-term and long-term accrued liabilities associated with the Americas 2018 Exit Plan as of September 30, 2018 (none in 2017) (in thousands): Americas 2018 Exit Plan Short-term accrued restructuring liability (1) $ 4,491 Short-term accrued restructuring liability (2) 627 Long-term accrued restructuring liability (3) 835 Ending accrual at September 30, 2018 $ 5,953 (1) (2) (3) The long-term accrued restructuring liability relates to future rent obligations to be paid through the remainder of the lease terms, the last of which ends in June 2021. |
Fair Value
Fair Value | 9 Months Ended |
Sep. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value | Note 4. Fair Value ASC 820, Fair Value Measurements and Disclosures requires disclosure about how fair value is determined for assets and liabilities and establishes a hierarchy for which these assets and liabilities must be grouped, based on significant levels of observable or unobservable inputs. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company’s market assumptions. This hierarchy requires the use of observable market data when available. These two types of inputs have created the following fair value hierarchy: • Level 1 — • Level 2 — • Level 3 — . Fair Value of Financial Instruments — The following methods and assumptions were used to estimate the fair value of each class of financial instruments for which it is practicable to estimate that value: • Cash, short-term and other investments, investments held in rabbi trust and accounts payable — • Foreign currency forward contracts and options — • Embedded derivatives — • Long-term debt — • Contingent consideration — Fair Value Measurements — ASC 820 defines fair value, establishes a framework for measuring fair value in accordance with generally accepted accounting principles and expands disclosures about fair value measurements. ASC 820-10-20 clarifies that fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. ASC 825, Financial Instruments permits an entity to measure certain financial assets and financial liabilities at fair value with changes in fair value recognized in earnings each period. The Company has not elected to use the fair value option permitted under ASC 825 for any of its financial assets and financial liabilities that are not already recorded at fair value. Determination of Fair Value — The Company generally uses quoted market prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access to determine fair value and classifies such items in Level 1. Fair values determined by Level 2 inputs utilize inputs other than quoted market prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted market prices in active markets for similar assets or liabilities, and inputs other than quoted market prices that are observable for the asset or liability. Level 3 inputs are unobservable inputs for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. If quoted market prices are not available, fair value is based upon internally developed valuation techniques that use, where possible, current market-based or independently sourced market parameters, such as interest rates, currency exchange rates, etc. Assets or liabilities valued using such internally generated valuation techniques are classified according to the lowest level input or value driver that is significant to the valuation. Thus, an item may be classified in Level 3 even though there may be some significant inputs that are readily observable. The following section describes the valuation methodologies used by the Company to measure assets and liabilities at fair value on a recurring basis, including an indication of the level in the fair value hierarchy in which each asset or liability is generally classified. Foreign Currency Forward Contracts and Options — The Company enters into foreign currency forward contracts and options over the counter and values such contracts using quoted market prices of comparable instruments or, if none are available, on pricing models or formulas using current market and model assumptions, including adjustments for credit risk. The key inputs include forward or option foreign currency exchange rates and interest rates. These items are classified in Level 2 of the fair value hierarchy. Embedded Derivatives — The Company uses significant unobservable inputs to determine the fair value of embedded derivatives, which are classified in Level 3 of the fair value hierarchy. These unobservable inputs include expected cash flows associated with the lease, currency exchange rates on the day of commencement, as well as forward currency exchange rates, the results of which are adjusted for credit risk. These items are classified in Level 3 of the fair value hierarchy. See Note 6, Financial Derivatives, for further information. Investments Held in Rabbi Trust — The investment assets of the rabbi trust are valued using quoted market prices in active markets, which are classified in Level 1 of the fair value hierarchy. For additional information about the deferred compensation plan, refer to Note 7, Investments Held in Rabbi Trust, and Note 15, Stock-Based Compensation. Contingent Consideration — The Company uses significant unobservable inputs to determine the fair value of contingent consideration, which is classified in Level 3 of the fair value hierarchy. The contingent consideration recorded related to the acquisition of Qelp B.V. and its subsidiary ( together, known as “Qelp”) and liabilities assumed as part of the Clear Link Holdings, LLC (“Clearlink”) acquisition was recognized at fair value using a discounted cash flow methodology and a discount rate of approximately 14.0% and 10.0%, respectively. The Company's assets and liabilities measured at fair value on a recurring basis subject to the requirements of ASC 820 consist of the following as of September 30, 2018 (in thousands): Fair Value Measurements Using: Balance at Quoted Prices in Active Markets For Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs September 30, 2018 Level 1 Level 2 Level 3 Assets: Foreign currency forward and option contracts (1) $ 307 $ - $ 307 $ - Embedded derivatives (1) 2 - - 2 Equity investments held in rabbi trust for the Deferred Compensation Plan (2) 9,116 9,116 - - Debt investments held in rabbi trust for the Deferred Compensation Plan (2) 3,453 3,453 - - $ 12,878 $ 12,569 $ 307 $ 2 Liabilities: Foreign currency forward and option contracts (1) $ 3,185 $ - $ 3,185 $ - Embedded derivatives (1) 404 - - 404 $ 3,589 $ - $ 3,185 $ 404 The Company's assets and liabilities measured at fair value on a recurring basis subject to the requirements of ASC 820 consist of the following as of December 31, 2017 (in thousands): Fair Value Measurements Using: Balance at Quoted Prices in Active Markets For Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs December 31, 2017 Level 1 Level 2 Level 3 Assets: Foreign currency forward and option contracts (1) $ 3,848 $ - $ 3,848 $ - Embedded derivatives (1) 52 - - 52 Equity investments held in rabbi trust for the Deferred Compensation Plan (2) 8,094 8,094 - - Debt investments held in rabbi trust for the Deferred Compensation Plan (2) 3,533 3,533 - - $ 15,527 $ 11,627 $ 3,848 $ 52 Liabilities: Foreign currency forward and option contracts (1) $ 256 $ - $ 256 $ - Embedded derivatives (1) 579 - - 579 $ 835 $ - $ 256 $ 579 (1) (2) Reconciliations of Fair Value Measurements Categorized within Level 3 of the Fair Value Hierarchy Embedded Derivatives in Lease Agreements A rollforward of the net asset (liability) activity in the Company’s fair value of the embedded derivatives is as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Balance at the beginning of the period $ (598 ) $ (171 ) $ (527 ) $ (555 ) Gains (losses) recognized in "Other income (expense), net" 159 (193 ) (6 ) 122 Settlements 38 66 118 134 Effect of foreign currency (1 ) (2 ) 13 (1 ) Balance at the end of the period $ (402 ) $ (300 ) $ (402 ) $ (300 ) Change in unrealized gains (losses) included in "Other income (expense), net" related to embedded derivatives held at the end of the period $ 153 $ (193 ) $ (19 ) $ 122 Contingent Consideration A rollforward of the activity in the Company’s fair value of the contingent consideration (liability) is as follows (none in 2018) (in thousands): Three Months Ended September 30, 2017 Nine Months Ended September 30, 2017 Balance at the beginning of the period $ (1,127 ) $ (6,100 ) Imputed interest (8 ) (76 ) Fair value gain (loss) adjustments (1) (96 ) 605 Settlements 232 4,760 Effect of foreign currency (1 ) (189 ) Balance at the end of the period $ (1,000 ) $ (1,000 ) Change in unrealized gains (losses) included in "General and administrative" related to contingent consideration outstanding at the end of the period $ - $ - (1) The Company recorded a fair value loss of $0.1 million and net fair value gain of $0.6 million in “General and administrative” during the three and nine months ended September 30, 2017, respectively, related to the Clearlink contingent consideration. All outstanding Clearlink contingent consideration liabilities remaining as of September 30, 2017 were paid prior to December 31, 2017. The Company paid $4.4 million in May 2017 to settle the outstanding Qelp contingent consideration obligation. The Company accreted interest expense each period using the effective interest method until the contingent consideration reached the estimated future value. Interest expense related to the contingent consideration was included in “Interest (expense)” in the accompanying Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 2017. Non-Recurring Fair Value Certain assets, under certain conditions, are measured at fair value on a nonrecurring basis utilizing Level 3 inputs, including goodwill, other intangible assets, other long-lived assets and equity method investments. For these assets, measurement at fair value in periods subsequent to their initial recognition would be applicable if these assets were determined to be impaired. The adjusted carrying values for assets measured at fair value on a nonrecurring basis (no liabilities) subject to the requirements of ASC 820 The following table summarizes the total impairment losses related to nonrecurring fair value measurements of certain assets (no liabilities) subject to the requirements of ASC 820 (in thousands): Total Impairment (Loss) Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Americas: Property and equipment, net $ (555 ) $ (680 ) $ (9,256 ) $ (5,071 ) In connection with the closure of certain under-utilized customer contact management centers and the consolidation of leased space in the U.S. and Canada, the Company recorded impairment charges of $0.6 million and $0.7 million during the three months ended September 30, 2018 and 2017, respectively, and $9.3 million and $4.9 million during the nine months ended September 2018 and 2017, respectively, related to leasehold improvements, equipment, furniture and fixtures which were not recoverable. See Note 3, Costs Associated with Exit or Disposal Activities, for further information. The Company recorded an impairment charge of $0.2 million related to the write-down of a vacant and unused parcel of land in the U.S. to its estimated fair value during the nine months ended September 30, 2017. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 9 Months Ended |
Sep. 30, 2018 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Note 5. Goodwill and Intangible Assets Intangible Assets The following table presents the Company’s purchased intangible assets as of September 30, 2018 (in thousands): Gross Intangibles Accumulated Amortization Net Intangibles Weighted Average Amortization Period (years) Intangible assets subject to amortization: Customer relationships $ 170,449 $ (104,144 ) $ 66,305 10 Trade names and trademarks 14,135 (10,070 ) 4,065 7 Non-compete agreements 2,037 (1,520 ) 517 3 Content library 524 (524 ) - 2 Proprietary software 1,040 (690 ) 350 4 Intangible assets not subject to amortization: Domain names 81,073 - 81,073 N/A $ 269,258 $ (116,948 ) $ 152,310 4 The following table presents the Company’s purchased intangible assets as of December 31, 2017 (in thousands): Gross Intangibles Accumulated Amortization Net Intangibles Weighted Average Amortization Period (years) Intangible assets subject to amortization: Customer relationships $ 170,853 $ (95,175 ) $ 75,678 10 Trade names and trademarks 14,138 (8,797 ) 5,341 7 Non-compete agreements 1,820 (1,052 ) 768 3 Content library 542 (542 ) - 2 Proprietary software 1,040 (585 ) 455 4 Intangible assets not subject to amortization: Domain names 58,035 - 58,035 N/A $ 246,428 $ (106,151 ) $ 140,277 6 The Company’s estimated future amortization expense for the succeeding years relating to the purchased intangible assets resulting from acquisitions completed prior to September 30, 2018 is as follows (in thousands): Years Ending December 31, Amount 2018 (remaining three months) 3,662 2019 14,153 2020 11,475 2021 6,921 2022 5,811 2023 4,955 2024 and thereafter 24,260 Goodwill Changes in goodwill for the nine months ended September 30, 2018 consisted of the following (in thousands): January Acquisition Effect of Foreign Currency September 30, 2018 Americas $ 258,496 $ 2,162 $ (2,874 ) $ 257,784 EMEA 10,769 - (478 ) 10,291 $ 269,265 $ 2,162 $ (3,352 ) $ 268,075 Changes in goodwill for the year ended December 31, 2017 consisted of the following (in thousands): January Acquisition Effect of Foreign Currency December 31, 2017 Americas $ 255,842 $ 390 $ 2,264 $ 258,496 EMEA 9,562 - 1,207 10,769 $ 265,404 $ 390 $ 3,471 $ 269,265 The Company performs its annual goodwill impairment test during the third quarter, or more frequently if indicators of impairment exist. For the annual goodwill impairment test, the Company elected to forgo the option to first assess qualitative factors and performed its annual quantitative goodwill impairment test as of July 31, 2018. Under ASC 350, the carrying value of assets is calculated at the reporting unit level. The quantitative assessment of goodwill includes comparing a reporting unit’s calculated fair value to its carrying value. The calculation of fair value requires significant judgments including estimation of future cash flows, which is dependent on internal forecasts, estimation of the long-term rate of growth, the useful life over which cash flows will occur and determination of the Company’s weighted average cost of capital. Changes in these estimates and assumptions could materially affect the determination of fair value and/or conclusions on goodwill impairment for each reporting unit. The process of evaluating the fair value of the reporting units is highly subjective and requires significant judgment and estimates as the reporting units operate in a number of markets and geographical regions. The Company considered the income and market approaches to determine its best estimates of fair value, which incorporated the following significant assumptions: • Revenue projections, including revenue growth during the forecast periods; • EBITDA margin projections over the forecast periods; • Estimated income tax rates; • Estimated capital expenditures; and • Discount rates based on various inputs, including the risks associated with the specific reporting units as well as their revenue growth and EBITDA margin assumptions. As of July 31, 2018, the Company concluded that goodwill was not impaired for all six of its reporting units with goodwill, . While the fair values of in excess of their carrying value, the Qelp and Clearlink reporting units’ . The Qelp and Clearlink reporting units are at risk of future impairment if projected operating results are not met or other inputs into the fair value measurement change. However, as of September 30, 2018, the Company believes there were no indicators of impairment related to Qelp’s $10.3 million of goodwill and Clearlink’s $71.2 million of goodwill. |
Financial Derivatives
Financial Derivatives | 9 Months Ended |
Sep. 30, 2018 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Financial Derivatives | Note 6. Financial Derivatives Cash Flow Hedges – The Company has derivative assets and liabilities relating to outstanding forward contracts and options, designated as cash flow hedges, as defined under ASC 815 Derivatives and Hedging (“ASC 815”), consisting of Philippine Peso, Costa Rican Colon, Hungarian Forint and Romanian Leu contracts. These contracts are entered into to hedge the exposure to variability in the cash flows of a specific asset or liability, or of a forecasted transaction that is attributable to changes in exchange rates. The deferred gains (losses) and related taxes on the Company’s cash flow hedges recorded in “Accumulated other comprehensive income (loss)” (“AOCI”) in the accompanying Condensed Consolidated Balance Sheets are as follows (in thousands): September 30, 2018 December 31, 2017 Deferred gains (losses) in AOCI $ (3,086 ) $ 2,550 Tax on deferred gains (losses) in AOCI 86 (79 ) Deferred gains (losses) in AOCI, net of taxes $ (3,000 ) $ 2,471 Deferred gains (losses) expected to be reclassified to "Revenues" from AOCI during the next twelve months $ (2,906 ) Deferred gains (losses) and other future reclassifications from AOCI will fluctuate with movements in the underlying market price of the forward contracts and options as well as the related settlement of forecasted transactions. Non-Designated Hedges Foreign Currency Forward Contracts – The Company also periodically enters into foreign currency hedge contracts that are not designated as hedges as defined under ASC 815. The purpose of these derivative instruments is to protect the Company’s interests against adverse foreign currency moves relating primarily to intercompany receivables and payables, and other assets and liabilities that are denominated in currencies other than the Company’s subsidiaries’ functional currencies. These contracts generally do not exceed 180 days in duration. Embedded Derivatives – The Company enters into c ertain lease agreements which require payments not denominated in the functional currency of any substantial party to the agreements. The foreign currency component of these contracts meets the criteria under ASC 815 as embedded derivatives. The Company has determined that the embedded derivatives are not clearly and closely related to the economic characteristics and risks of the host contracts (lease agreements), and separate, stand-alone instruments with the same terms as the embedded derivative instruments would otherwise qualify as derivative instruments, thereby requiring separation from the lease agreements and recognition at fair value. Such instruments do not qualify for hedge accounting under ASC 815. The Company had the following outstanding foreign currency forward contracts and options, and embedded derivatives (in thousands): September 30, 2018 December 31, 2017 Contract Type Notional Amount in USD Settle Through Date Notional Amount in USD Settle Through Date Cash flow hedges: Options: US Dollars/Philippine Pesos $ 50,500 December 2019 $ 78,000 December 2018 Forwards: US Dollars/Philippine Pesos 48,900 September 2019 3,000 June 2018 US Dollars/Costa Rican Colones 81,500 December 2019 70,000 March 2019 Euros/Hungarian Forints 859 December 2018 3,554 December 2018 Euros/Romanian Leis 3,471 December 2018 13,977 December 2018 Non-designated hedges: Forwards 5,894 December 2018 9,253 March 2018 Embedded derivatives 12,050 April 2030 13,519 April 2030 Master netting agreements exist with each respective counterparty to reduce credit risk by permitting net settlement of derivative positions. In the event of default by the Company or one of its counterparties, these agreements include a set-off clause that provides the non-defaulting party the right to net settle all derivative transactions, regardless of the currency and settlement date. The maximum amount of loss due to credit risk that, based on gross fair value, the Company would incur if parties to the derivative transactions that make up the concentration failed to perform according to the terms of the contracts was $0.3 million and $3.8 million as of September 30, 2018 and December 31, 2017, respectively. After consideration of these netting arrangements and offsetting positions by counterparty, the total net settlement amount as it relates to these positions are asset positions of $0 and $3.6 million as of September 30, 2018 and December 31, 2017, respectively, as of September 30, 2018 and December 31, 2017, respectively. Although legally enforceable master netting arrangements exist between the Company and each counterparty, the Company has elected to present the derivative assets and derivative liabilities on a gross basis in the accompanying Condensed Consolidated Balance Sheets. Additionally, the Company is not required to pledge, nor is it entitled to receive, cash collateral related to these derivative transactions. The following tables present the fair value of the Company’s derivative instruments included in the accompanying Condensed Consolidated Balance Sheets (in thousands) Derivative Assets September 30, 2018 December 31, 2017 Derivatives designated as cash flow hedging instruments under ASC 815: Foreign currency forward and option contracts (1) $ 306 $ 3,604 Foreign currency forward and option contracts (2) 1 - 307 3,604 Derivatives not designated as hedging instruments under ASC 815: Foreign currency forward contracts (1) - 244 Embedded derivatives (1) 2 9 Embedded derivatives (2) - 43 Total derivative assets $ 309 $ 3,900 Derivative Liabilities September 30, 2018 December 31, 2017 Derivatives designated as cash flow hedging instruments under ASC 815: Foreign currency forward and option contracts (3) $ 2,716 $ 175 Foreign currency forward and option contracts (4) 181 81 2,897 256 Derivatives not designated as hedging instruments under ASC 815: Foreign currency forward contracts (3) 288 - Embedded derivatives (3) 46 189 Embedded derivatives (4) 358 390 Total derivative liabilities $ 3,589 $ 835 (1) (2) (3) (4) The following table presents the effect of the Company’s derivative instruments included in the accompanying Condensed Consolidated Financial Statements for the three months ended September 30, 2018 and 2017 (in thousands) Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion) Gain (Loss) Reclassified From AOCI Into "Revenues" (Effective Portion) Gain (Loss) Recognized in "Revenues" on Derivatives (Ineffective Portion and Amount Excluded from Effectiveness Testing) September 30, September 30, September 30, 2018 2017 2018 2017 2018 2017 Derivatives designated as cash flow hedging instruments under ASC 815: Foreign currency forward and option contracts $ (1,839 ) $ 585 $ 206 $ (766 ) $ (23 ) $ - Derivatives designated as net investment hedging instruments under ASC 815: Foreign currency forward contracts - (2,979 ) - - - - $ (1,839 ) $ (2,394 ) $ 206 $ (766 ) $ (23 ) $ - The following table presents the gains (losses) recognized in “Other income (expense), net” of the Company’s derivative instruments included in the accompanying Condensed Consolidated Financial Statements for the three months ended September 30, 2018 and 2017 (in thousands) Three Months Ended September 30, 2018 2017 Derivatives not designated as hedging instruments under ASC 815: Foreign currency forward contracts $ (539 ) $ (252 ) Embedded derivatives 159 (193 ) $ (380 ) $ (445 ) The following table presents the effect of the Company’s derivative instruments included in the accompanying Condensed Consolidated Financial Statements for the nine months ended September 30, 2018 and 2017 (in thousands) Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion) Gain (Loss) Reclassified From AOCI Into "Revenues" (Effective Portion) Gain (Loss) Recognized in "Revenues" on Derivatives (Ineffective Portion and Amount Excluded from Effectiveness Testing) September 30, September 30, September 30, 2018 2017 2018 2017 2018 2017 Derivatives designated as cash flow hedging instruments under ASC 815: Foreign currency forward and option contracts $ (4,840 ) $ (881 ) $ 634 $ (2,346 ) $ (15 ) $ - Derivatives designated as net investment hedging instruments under ASC 815: Foreign currency forward contracts - (8,352 ) - - - - $ (4,840 ) $ (9,233 ) $ 634 $ (2,346 ) $ (15 ) $ - The following table presents the gains (losses) recognized in “Other income (expense), net” of the Company’s derivative instruments included in the accompanying Condensed Consolidated Financial Statements for the nine months ended September 30, 2018 and 2017 (in thousands) Nine Months Ended September 30, 2018 2017 Derivatives not designated as hedging instruments under ASC 815: Foreign currency forward contracts $ (1,801 ) $ (170 ) Embedded derivatives (6 ) 122 $ (1,807 ) $ (48 ) |
Investments Held in Rabbi Trust
Investments Held in Rabbi Trust | 9 Months Ended |
Sep. 30, 2018 | |
Investments Debt And Equity Securities [Abstract] | |
Investments Held in Rabbi Trust | Note 7. Investments Held in Rabbi Trust The Company’s investments held in rabbi trust, classified as trading securities and included in “Other current assets” in the accompanying Condensed Consolidated Balance Sheets, at fair value, consist of the following (in thousands): September 30, 2018 December 31, 2017 Cost Fair Value Cost Fair Value Mutual funds $ 8,588 $ 12,569 $ 8,096 $ 11,627 The mutual funds held in rabbi trust were 73% equity-based and 27% debt-based as of September 30, 2018. Net investment income (losses), included in “Other income (expense), net” in the accompanying Condensed Consolidated Statements of Operations consists of the following (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Net realized gains (losses) from sale of trading securities $ 10 $ 13 $ 42 $ 162 Dividend and interest income 31 28 99 67 Net unrealized holding gains (losses) 366 401 383 943 Net investment income (losses) $ 407 $ 442 $ 524 $ 1,172 |
Deferred Grants
Deferred Grants | 9 Months Ended |
Sep. 30, 2018 | |
Text Block [Abstract] | |
Deferred Grants | Note 8. Deferred Grants Deferred grants, net of accumulated amortization, consist of the following (in thousands): September 30, 2018 December 31, 2017 Property grants $ 2,460 $ 2,843 Lease grants 397 507 Employment grants 39 61 Total deferred grants 2,896 3,411 Less: Property grants - short-term (1),(2) (393 ) - Less: Lease grants - short-term (1) (111 ) (117 ) Less: Employment grants - short-term (1) (39 ) (61 ) Total long-term deferred grants $ 2,353 $ 3,233 (1) (2) |
Borrowings
Borrowings | 9 Months Ended |
Sep. 30, 2018 | |
Debt Disclosure [Abstract] | |
Borrowings | Note 9. Borrowings On May 12, 2015, the Company entered into a $440 million revolving credit facility (the “Credit Agreement”) with a group of lenders and KeyBank National Association, as Lead Arranger, Sole Book Runner, Administrative Agent, Swing Line Lender and Issuing Lender (“KeyBank”). The Credit Agreement is subject to certain borrowing limitations and includes certain customary financial and restrictive covenants. The Credit Agreement includes a $200 million alternate-currency sub-facility, a $10 million swingline sub-facility and a $35 million letter of credit sub-facility, and may be used for general corporate purposes including acquisitions, share repurchases, working capital support and letters of credit, subject to certain limitations. The Company is not currently aware of any inability of its lenders to provide access to the full commitment of funds that exist under the revolving credit facility, if necessary. However, there can be no assurance that such facility will be available to the Company, even though it is a binding commitment of the financial institutions. The Credit Agreement matures on May 12, 2020, and had outstanding borrowings of $82.0 million and $275.0 million at September 30, 2018 and December 31, 2017, respectively, included in “Long-term debt” in the accompanying Condensed Consolidated Balance Sheets. Borrowings under the Credit Agreement bear interest at the rates set forth in the Credit Agreement. In addition, the Company is required to pay certain customary fees, including a commitment fee determined quarterly based on the Company’s leverage ratio and due quarterly in arrears as calculated on the average unused amount of the Credit Agreement. The Credit Agreement is guaranteed by all the Company’s existing and future direct and indirect material U.S. subsidiaries and secured by a pledge of 100% of the non-voting and 65% of the voting capital stock of all the direct foreign subsidiaries of the Company and those of the guarantors. In May 2015, the Company paid an underwriting fee of $0.9 million for the Credit Agreement, which is deferred and amortized over the term of the loan, along with the deferred loan fees of $0.4 million related to the previous credit agreement. The following table presents information related to our credit agreements (dollars in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Average daily utilization $ 101,087 $ 267,000 $ 107,454 $ 267,000 Interest expense (1), (2) $ 923 $ 1,772 $ 2,839 $ 4,815 Weighted average interest rate (2) 3.6 % 2.6 % 3.6 % 2.4 % (1) (2) In January 2018, the Company repaid $175.0 million of long-term debt outstanding under its Credit Agreement, primarily using funds repatriated from its foreign subsidiaries. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 9 Months Ended |
Sep. 30, 2018 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Note 10. Accumulated Other Comprehensive Income (Loss) The components of accumulated other comprehensive income (loss) consist of the following (in thousands): Foreign Currency Translation Adjustments Unrealized Gain (Loss) on Net Investment Hedge Unrealized Gain (Loss) on Cash Flow Hedging Instruments Unrealized Actuarial Gain (Loss) Related to Pension Liability Unrealized Gain (Loss) on Postretirement Obligation Total Balance at January 1, 2017 $ (72,393 ) $ 6,266 $ (2,225 ) $ 1,125 $ 200 $ (67,027 ) Pre-tax amount 36,101 (8,352 ) 2,276 527 (30 ) 30,522 Tax (provision) benefit - 3,132 (54 ) (18 ) - 3,060 Reclassification of (gain) loss to net income - - 2,444 (53 ) (50 ) 2,341 Foreign currency translation (23 ) - 30 (7 ) - - Balance at December 31, 2017 (36,315 ) 1,046 2,471 1,574 120 (31,104 ) Pre-tax amount (15,757 ) - (4,855 ) - - (20,612 ) Tax (provision) benefit - - 201 57 - 258 Reclassification of (gain) loss to net income - - (662 ) (51 ) (104 ) (817 ) Foreign currency translation 274 - (155 ) (119 ) - - Balance at September 30, 2018 $ (51,798 ) $ 1,046 $ (3,000 ) $ 1,461 $ 16 $ (52,275 ) The following table summarizes the amounts reclassified to net income from accumulated other comprehensive income (loss) and the associated line item in the accompanying Condensed Consolidated Statements of Operations (in thousands): Three Months Ended September 30, Nine Months Ended September 30, Statements Operations 2018 2017 2018 2017 Location Gain (loss) on cash flow hedging instruments: (1) Pre-tax amount $ 183 $ (766 ) $ 619 $ (2,346 ) Revenues Tax (provision) benefit 19 25 43 83 Income taxes Reclassification to net income 202 (741 ) 662 (2,263 ) Actuarial gain (loss) related to pension liability: (2) Pre-tax amount 13 10 42 31 Other Tax (provision) benefit 3 - 9 - Income taxes Reclassification to net income 16 10 51 31 Gain (loss) on postretirement obligation: (2),(3) Reclassification to net income 84 12 104 37 Other Total reclassification of gain (loss) to net income $ 302 $ (719 ) $ 817 $ (2,195 ) (1) (2) (3) As discussed in Note 11, Income Taxes, for periods prior to December 31, 2017, any remaining outside basis differences associated with the Company’s investments in its foreign subsidiaries are considered to be indefinitely reinvested and no provision for income taxes on those earnings or translation adjustments has been provided. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 11. Income Taxes The Company’s effective tax rates were 4.4% and 11.2% for the three months ended September 30, 2018 and 2017, respectively. The decrease in the effective tax rate in 2018 compared to 2017 was primarily due to a $0.9 million increase in benefit associated with the resolution of uncertain tax positions and ancillary issues as well as a $0.5 million benefit related to the decrease in the provisional estimate recorded at December 31, 2017 as a result of the 2017 Tax Reform Act. The effective rate impact of these benefits was partially offset by the 2017 recognition of a $0.8 million benefit related to the increase in anticipated tax credits and reductions in estimated non-deferred foreign income, as well as a $0.3 million benefit for the release of a valuation allowance. In addition, the Company recognized a benefit of $0.3 million from the reduction in the U.S. federal corporate tax rate from 35% to 21% as a result of the 2017 Tax Reform Act. The decrease in the effective tax rate was also affected by shifts in earnings among the various jurisdictions in which the Company operates. Several additional factors, none of which are individually material, also impacted the rate. The difference between the Company’s effective tax rate as compared to the U.S. statutory federal tax rate of 21.0% was primarily due to the aforementioned factors as well as the recognition of tax benefits resulting from foreign tax rate differentials, income earned in certain tax holiday jurisdictions and tax credits, partially offset by the tax impact of permanent differences, state income and foreign withholding. The Company’s effective tax rates were 2.6% and 18.1% for the nine months ended September 30, 2018 and 2017, respectively. The decrease in the effective tax rate was primarily due to a net $3.1 million increase in benefit associated with the resolution of uncertain tax positions as well as the aforementioned $0.5 million decrease in the provisional estimate. This increase in benefit was partially offset by the recognition in 2017 of $1.1 million of discrete items mentioned above. In addition, the Company recognized a benefit of $1.4 million from the reduction in the U.S. federal corporate tax rate from 35% to 21% as a result of the 2017 Tax Reform Act. These net benefits were partially offset by a $0.6 million decrease in the amount of excess tax benefits from stock-based compensation recognized in the nine months ended September 30, 2018 as compared to September 30, 2017. The decrease in the effective tax rate was also affected by shifts in earnings among the various jurisdictions in which the Company operates. Several additional factors, none of which are individually material, also impacted the rate. The difference between the Company’s effective tax rate as compared to the U.S. statutory federal tax rate of 21.0% was primarily due to the aforementioned factors as well as the recognition of tax benefits resulting from foreign tax rate differentials, income earned in certain tax holiday jurisdictions and tax credits, partially offset by the tax impact of permanent differences, state income and foreign withholding. The 2017 Tax Reform Act made significant changes to the Internal Revenue Code, including, but not limited to, a federal corporate tax rate decrease from 35% to 21% for tax years beginning after December 31, 2017, the transition of U.S. international taxation from a worldwide tax system to a participation exemption regime Prior to December 31, 2017, no additional income taxes have been provided for any remaining outside basis differences inherent in the Company’s investments in its foreign subsidiaries as these amounts continue to be indefinitely reinvested in foreign operations. Determining the amount of unrecognized deferred tax liability related to any remaining outside basis difference in these entities is not practicable due to the inherent complexity of the multi-national tax environment in which the Company operates. On December 22, 2017, the SEC issued SAB 118 to address the application of U.S. GAAP in situations when a registrant does not have the necessary information available, prepared, or analyzed (including computations) in reasonable detail to complete the accounting for certain income tax effects of the 2017 Tax Reform Act. In accordance with SAB 118, the Company has determined that the deferred tax benefit recorded in connection with the remeasurement of certain deferred tax assets and liabilities and the current tax expense recorded in connection with the transition tax on the mandatory deemed repatriation of foreign earnings was a provisional amount and a reasonable estimate at September 30, 2018 and December 31, 2017. The Company recorded a $0.5 million adjustment to the provisional amount as of September 30, 2018. Any subsequent adjustment to these amounts will be recorded to current tax expense in the quarter of identification, but no later than one year from the enactment date. The 2017 Tax Reform Act instituted a number of new provisions effective January 1, 2018, including GILTI, Foreign Derived Intangible Income (“FDII”) and Base Erosion and Anti-Abuse Tax (“BEAT”). The Company made a reasonable estimate of the impact of each of these provisions of the 2017 Tax Reform Act on its effective tax rate for the three and nine months ended September 30, 2018 and determined that the resulting impact was not material. The Company will continue to refine its provisional estimates related to the GILTI, FDII and BEAT rules as additional information is made available. The Company received assessments for the Canadian 2003-2009 audit. Requests for Competent Authority Assistance were filed with both the Canadian Revenue Agency and the U.S. Internal Revenue Service and the Company paid mandatory security deposits to Canada as part of this process. As of June 30, 2017, the Company determined that all material aspects of the Canadian audit were effectively settled pursuant to ASC 740. As a result, the Company recognized an income tax benefit of $1.2 million, net of the U.S. tax impact, at that time and the deposits were applied against the anticipated liability. During the nine months ended September 30, 2018, the Company finalized procedures ancillary to the Canadian audit and recognized an additional $2.8 million income tax benefit due to the elimination of certain assessed penalties, interest and withholding taxes. With the effective settlement of the Canadian audit, the Company has no significant tax jurisdictions under audit; however, the Company is currently under audit in several tax jurisdictions. The Company believes it is adequately reserved for the remaining audits and their resolution is not expected to have a material impact on its financial conditions and results of operations. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2018 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 12. Earnings Per Share Basic earnings per share are based on the weighted average number of common shares outstanding during the periods. Diluted earnings per share includes the weighted average number of common shares outstanding during the respective periods and the further dilutive effect, if any, from stock appreciation rights, restricted stock, restricted stock units and shares held in rabbi trust using the treasury stock method. The numbers of shares used in the earnings per share computation are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Basic: Weighted average common shares outstanding 42,136 41,879 42,070 41,800 Diluted: Dilutive effect of stock appreciation rights, restricted stock, restricted stock units and shares held in rabbi trust 68 154 131 206 Total weighted average diluted shares outstanding 42,204 42,033 42,201 42,006 Anti-dilutive shares excluded from the diluted earnings per share calculation 23 14 11 16 On August 18, 2011, the Company’s Board of Directors (the “Board”) authorized the Company to purchase up to 5.0 million shares of its outstanding common stock (the “2011 Share Repurchase Program”). On March 16, 2016, the Board authorized an increase of 5.0 million shares to the 2011 Share Repurchase Program for a total of 10.0 million shares. A total of 5.3 million shares have been repurchased under the 2011 Share Repurchase Program since inception. The shares are purchased, from time to time, through open market purchases or in negotiated private transactions, and the purchases are based on factors, including but not limited to, the stock price, management discretion and general market conditions. The 2011 Share Repurchase Program has no expiration date. There were no shares repurchased under the Company’s 2011 Share Repurchase Program during the three and nine months ended September 30, 2018 and 2017. |
Commitments and Loss Contingenc
Commitments and Loss Contingency | 9 Months Ended |
Sep. 30, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Loss Contingency | Note 13. Commitments and Loss Contingency Commitments During the nine months ended September 30, 2018, the Company entered into several leases in the ordinary course of business. The following is a schedule of future minimum rental payments required under operating leases that have noncancelable lease terms as of September 30, 2018, including the impact of the leases assumed in connection with the acquisition of WhistleOut (in thousands): Amount 2018 (remaining three months) $ 579 2019 8,777 2020 9,319 2021 9,425 2022 8,621 2023 3,698 2024 and thereafter 8,321 $ 48,740 During the nine months ended September 30, 2018, the Company entered into agreements with third-party vendors in the ordinary course of business whereby the Company committed to purchase goods and services used in its normal operations. These agreements generally are not cancelable, range from one to five-year periods and may contain fixed or minimum annual commitments. Certain of these agreements allow for renegotiation of the minimum annual commitments. The following is a schedule of the future minimum purchases remaining under the agreements as of September 30, 2018, including the impact of purchase commitments assumed in connection with the acquisition of WhistleOut (in thousands): Amount 2018 (remaining three months) $ 7,856 2019 9,434 2020 3,730 2021 193 2022 - 2023 - 2024 and thereafter - $ 21,213 Loss Contingency Contingencies are recorded in the consolidated financial statements when it is probable that a liability will be incurred and the amount of the loss is reasonably estimable, or otherwise disclosed, in accordance with ASC 450, Contingencies (“ASC 450”). Significant judgment is required in both the determination of probability and the determination as to whether a loss is reasonably estimable. In the event the Company determines that a loss is not probable, but is reasonably possible, and it becomes possible to develop what the Company believes to be a reasonable range of possible loss, then the Company will include disclosures related to such matter as appropriate and in compliance with ASC 450. The Company received a state audit assessment and is currently rebutting the position. The Company has determined that the likelihood of a liability is reasonably possible and developed a range of possible loss up to $1.1 million, net of federal benefit. The Company, from time to time, is involved in legal actions arising in the ordinary course of business. On August 24, 2017, a collective action lawsuit was filed against the Company in the United States District Court for the District of Colorado (the “Court”), Slaughter v. Sykes Enterprises, Inc., Case No. 17 Civ. 2038. The lawsuit claimed that the Company failed to pay certain employees overtime compensation for the hours they worked over forty in a workweek, as required by the Fair Labor Standards Act. On October 17, 2018, the parties entered into a verbal agreement to fully resolve all claims and the fees for the plaintiffs’ attorneys for a total payment of $1.2 million. The settlement agreement must still be approved by the Court. A charge of $1.2 million was included in “General and administrative” in the accompanying Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 2018. As of September 30, 2018, the settlement had not been paid, and the $1.2 million has been included in “Other accrued expenses and current liabilities” in the accompanying Condensed Consolidated Balance Sheets as of September 30, 2018. With respect to any such other currently pending matters, management believes that the Company has adequate legal defenses and/or, when possible and appropriate, has provided adequate accruals related to those matters such that the ultimate outcome will not have a material adverse effect on the Company’s financial position, results of operations or cash flows. |
Defined Benefit Pension Plan an
Defined Benefit Pension Plan and Postretirement Benefits | 9 Months Ended |
Sep. 30, 2018 | |
Compensation And Retirement Disclosure [Abstract] | |
Defined Benefit Pension Plan and Postretirement Benefits | Note 14. Defined Benefit Pension Plan and Postretirement Benefits Defined Benefit Pension Plans The following table provides information about the net periodic benefit cost for the Company’s pension plans (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Service cost $ 106 $ 118 $ 329 $ 371 Interest cost 46 46 144 144 Recognized actuarial (gains) (13 ) (10 ) (42 ) (31 ) $ 139 $ 154 $ 431 $ 484 The Company’s service cost for its qualified pension plans was included in “Direct salaries and related costs” and “General and administrative” costs in its Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 3018 and 2017. The remaining components of net periodic benefit cost were included in “Other income (expense), net” in the Company’s Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 2018 and 2017. See Note 1, Overview and Basis of Presentation, for further information related to the adoption of ASU 2016-18. Employee Retirement Savings Plans The Company maintains a 401(k) plan covering defined employees who meet established eligibility requirements. Under the plan provisions, the Company matches 50% of participant contributions to a maximum matching amount of 2% of participant compensation. The Company’s contributions included in the accompanying Condensed Consolidated Statements of Operations were as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 401(k) plan contributions $ 392 $ 484 $ 1,195 $ 1,104 Split-Dollar Life Insurance Arrangement In 1996, the Company entered into a split-dollar life insurance arrangement to benefit the former Chairman and Chief Executive Officer of the Company. Under the terms of the arrangement, the Company retained a collateral interest in the policy to the extent of the premiums paid by the Company. The postretirement benefit obligation included in “Other long-term liabilities” and the unrealized gains (losses) included in “Accumulated other comprehensive income” in the accompanying Condensed Consolidated Balance Sheets were as follows (in thousands): September 30, 2018 December 31, 2017 Postretirement benefit obligation $ 15 $ 15 Unrealized gains (losses) in AOCI (1) 16 120 (1) |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Sep. 30, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-Based Compensation | Note 15. Stock-Based Compensation The Company’s stock-based compensation plans include the 2011 Equity Incentive Plan, the Non-Employee Director Fee Plan and the Deferred Compensation Plan. The following table summarizes the stock-based compensation expense (primarily in the Americas) and income tax benefits related to the stock-based compensation (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Stock-based compensation reversal (expense) (1) $ (1,567 ) $ 303 $ (5,317 ) $ (4,429 ) Income tax benefit (2) 376 (161 ) 1,276 1,661 (1) (2) There were no capitalized stock-based compensation costs as of September 30, 2018 and December 31, 2017. Beginning January 1, 2017, as a result of the adoption of ASU 2016-09, Compensation – Stock Compensation (Topic 718) – Improvements to Employee Share-Based Payment Accounting 2011 — The Company’s Board of Directors (the “Board”) adopted the Sykes Enterprises, Incorporated 2011 Equity Incentive Plan (the "2011 Plan”) on March 23, 2011, as amended on May 11, 2011 to reduce the number of shares of common stock available to 4.0 million shares. The 2011 Plan was approved by the shareholders at the May 2011 Annual Shareholders’ Meeting. The 2011 Plan replaced and superseded the Company’s 2001 Equity Incentive Plan (the “2001 Plan”), which expired on March 14, 2011. The outstanding awards granted under the 2001 Plan will remain in effect until their exercise, expiration or termination. The 2011 Plan permits the grant of restricted stock, stock appreciation rights, stock options and other stock-based awards to certain employees of the Company, members of the Company’s Board and certain non-employees who provide services to the Company in order to encourage them to remain in the employment of, or to faithfully provide services to, the Company and to increase their interest in the Company’s success. Stock Appreciation Rights The Board, at the recommendation of the Compensation and Human Resources Development Committee (the “Compensation Committee”), has approved in the past, and may approve in the future, awards of stock-settled stock appreciation rights (“SARs”) for eligible participants. SARs represent the right to receive, without payment to the Company, a certain number of shares of common stock, as determined by the Compensation Committee, equal to the amount by which the fair market value of a share of common stock at the time of exercise exceeds the grant price. The SARs are granted at the fair market value of the Company’s common stock on the date of the grant and vest one-third on each of the first three anniversaries of the date of grant, provided the participant is employed by the Company on such date. The SARs have a term of 10 years from the date of grant. The fair value of each SAR is estimated on the date of grant using the Black-Scholes valuation model that uses various assumptions. The following table summarizes the assumptions used to estimate the fair value of SARS granted: Nine Months Ended September 30, 2018 2017 Expected volatility 21.4 % 19.3 % Weighted-average volatility 21.4 % 19.3 % Expected dividend rate 0.0 % 0.0 % Expected term (in years) 5.0 5.0 Risk-free rate 2.5 % 1.9 % The following table summarizes SARs activity as of September 30, 2018 and for the nine months then ended: Stock Appreciation Rights Shares (000s) Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value (000s) Outstanding at January 1, 2018 734 $ - Granted 333 $ - Exercised (50 ) $ - Forfeited or expired (43 ) $ - Outstanding at September 30, 2018 974 $ - 8.4 $ 1,909 Vested or expected to vest at September 30, 2018 974 $ - 8.4 $ 1,909 Exercisable at September 30, 2018 356 $ - 7.3 $ 914 The following table summarizes information regarding SARs granted and exercised (in thousands, except per SAR amounts): Nine Months Ended September 30, 2018 2017 Number of SARs granted 333 396 Weighted average grant-date fair value per SAR $ 6.84 $ 6.24 Intrinsic value of SARs exercised $ 316 $ 1,678 Fair value of SARs vested $ 1,950 $ 1,846 The following table summarizes nonvested SARs activity as of September 30, 2018 and for the nine months then ended: Nonvested Stock Appreciation Rights Shares (000s) Weighted Average Grant-Date Fair Value Nonvested at January 1, 2018 600 $ 6.88 Granted 333 $ 6.84 Vested (272 ) $ 7.16 Forfeited or expired (43 ) $ 6.75 Nonvested at September 30, 2018 618 $ 6.74 As of September 30, 2018, there was $3.1 million of total unrecognized compensation cost, net of actual forfeitures, related to nonvested SARs granted under the 2011 Plan. This cost is expected to be recognized over a weighted average period of 1.4 years. Restricted Shares – The Board, at the recommendation of the Compensation Committee, has approved in the past, and may approve in the future, awards of performance and employment-based restricted shares (“restricted shares”) for eligible participants. In some instances, where the issuance of restricted shares has adverse tax consequences to the recipient, the Board may instead issue restricted stock units (“RSUs”). The restricted shares are shares of the Company’s common stock (or in the case of RSUs, represent an equivalent number of shares of the Company’s common stock) which are issued to the participant subject to (a) restrictions on transfer for a period of time and (b) forfeiture under certain conditions. The performance goals, including revenue growth and income from operations targets, provide a range of vesting possibilities from 0% to 100% and will be measured at the end of the performance period. If the performance conditions are met for the performance period, the shares will vest and all restrictions on the transfer of the restricted shares will lapse (or in the case of RSUs, an equivalent number of shares of the Company’s common stock will be issued to the recipient). The Company recognizes compensation cost, net of actual forfeitures, based on the fair value (which approximates the current market price) of the restricted shares (and RSUs) on the date of grant ratably over the requisite service period based on the probability of achieving the performance goals. Changes in the probability of achieving the performance goals from period to period will result in corresponding changes in compensation expense. The employment-based restricted shares currently outstanding vest one-third on each of the first three anniversaries of the date of grant, provided the participant is employed by the Company on such date. The following table summarizes nonvested restricted shares/RSUs activity as of September 30, 2018 and for the nine months then ended: Nonvested Restricted Shares and RSUs Shares (000s) Weighted Average Grant-Date Fair Value Nonvested at January 1, 2018 1,109 $ 28.50 Granted 492 $ 28.16 Vested (323 ) $ 25.78 Forfeited or expired (123 ) $ 28.15 Nonvested at September 30, 2018 1,155 $ 29.15 The following table summarizes information regarding restricted shares/RSUs granted and vested (in thousands, except per restricted share/RSU amounts): Nine Months Ended September 30, 2018 2017 Number of restricted shares/RSUs granted 492 480 Weighted average grant-date fair value per restricted share/RSU $ 28.16 $ 29.42 Fair value of restricted shares/RSUs vested $ 8,342 $ 6,868 As of September 30, 2018, there was $29.8 million of total unrecognized compensation cost, net of actual forfeitures, related to nonvested restricted shares/RSUs granted under the 2011 Plan. This cost is expected to be recognized over a weighted average period of 1.6 Non-Employee Director Fee Plan — The Company’s 2004 Non-Employee Director Fee Plan (the “2004 Fee Plan”), as amended on May 17, 2012, provided that all new non-employee directors joining the Board would receive an initial grant of shares of common stock on the date the new director is elected or appointed, the number of which will be determined by dividing $60,000 by the closing price of the Company’s common stock on the trading day immediately preceding the date a new director is elected or appointed, rounded to the nearest whole number of shares. The initial grant of shares vested in twelve equal quarterly installments, one-twelfth on the date of grant and an additional one-twelfth on each successive third monthly anniversary of the date of grant. The award lapses with respect to all unvested shares in the event the non-employee director ceases to be a director of the Company, and any unvested shares are forfeited. The 2004 Fee Plan also provided that each non-employee director would receive, on the day after the annual shareholders’ meeting, an annual retainer for service as a non-employee director (the “Annual Retainer”). Prior to May 17, 2012, the Annual Retainer was $95,000, of which $50,000 was payable in cash, and the remainder was paid in stock. The annual grant of cash vested in four equal quarterly installments, one-fourth on the day following the annual meeting of shareholders, and an additional one-fourth on each successive third monthly anniversary of the date of grant. The annual grant of shares paid to non-employee directors prior to May 17, 2012 vests in eight equal quarterly installments, one-eighth on the day following the annual meeting of shareholders, and an additional one-eighth on each successive third monthly anniversary of the date of grant. On May 17, 2012, upon the recommendation of the Compensation Committee, the Board adopted the Fifth Amended and Restated Non-Employee Director Fee Plan (the “Amendment”), which increased the common stock component of the Annual Retainer by $30,000, resulting in a total Annual Retainer of $125,000, of which $50,000 was payable in cash and the remainder paid in stock. In addition, the Amendment also changed the vesting period for the annual equity award, from a two-year vesting period, to a one-year vesting period (consisting of four equal quarterly installments, one-fourth on the date of grant and an additional one-fourth on each successive third monthly anniversary of the date of grant). The award lapses with respect to all unpaid cash and unvested shares in the event the non-employee director ceases to be a director of the Company, and any unvested shares and unpaid cash are forfeited. In addition to the Annual Retainer award, the 2004 Fee Plan also provided for any non-employee Chairman of the Board to receive an additional annual cash award of $100,000, and each non-employee director serving on a committee of the Board to receive an additional annual cash award. The additional annual cash award for the Chairperson of the Audit Committee is $20,000 and Audit Committee members are entitled to an annual cash award of $10,000. The annual cash awards for the Chairpersons of the Compensation Committee, Finance Committee and Nominating and Corporate Governance Committee are $15,000, $12,500 and $12,500, respectively, and all other members of such committees are entitled to an annual cash award of $7,500. The 2004 Fee Plan expired in May 2014, prior to the 2014 annual shareholders’ meeting. In March 2014, upon the recommendation of the Compensation Committee, the Board determined that, following the expiration of the 2004 Fee Plan, the compensation of non-employee Directors should continue on the same terms as provided in the Fifth Amended and Restated Non-Employee Director Fee Plan, except the amounts of cash and equity grants shall be determined annually by the Board and that the stock portion of such compensation would be issued under the 2011 Plan. At the Board’s regularly scheduled meeting on December 10, 2014, upon the recommendation of the Compensation Committee, the Board determined that the amount of the cash and equity compensation payable to non-employee directors beginning on the date of the 2015 annual shareholders’ meeting would be increased as follows: cash compensation would be increased by $5,000 per year to a total of $55,000 and equity compensation would be increased by $25,000 per year to a total of $100,000. No change would be made in the additional amounts payable to the Chairman of the Board or the Chairs or members of the various Board committees for their service on such committees, and no changes would be made in the payment terms described above for such cash and equity compensation. At the Board’s regularly scheduled meeting on December 6, 2016, upon the recommendation of the Compensation Committee, the Board determined that the amount of the cash compensation payable to non-employee directors beginning on the date of the 2017 annual shareholders’ meeting would be increased by $15,000 per year to a total of $70,000. The Board may pay additional cash compensation to any non-employee director for services on behalf of the Board over and above those typically expected of directors, including but not limited to service on a special committee of the Board. Directors who are executive officers of the Company receive no compensation for service as members of either the Board of Directors or any committees of the Board. The following table summarizes nonvested common stock share award activity as of September 30, 2018 and for the nine months then ended: Nonvested Common Stock Share Awards Shares (000s) Weighted Average Grant-Date Fair Value Nonvested at January 1, 2018 8 $ 32.21 Granted 34 $ 27.68 Vested (23 ) $ 29.15 Forfeited or expired (2 ) $ 27.68 Nonvested at September 30, 2018 17 $ 27.73 The following table summarizes information regarding common stock share awards granted and vested (in thousands, except per share award amounts): Nine Months Ended September 30, 2018 2017 Number of share awards granted 34 24 Weighted average grant-date fair value per share award $ 27.68 $ 32.93 Fair value of share awards vested $ 665 $ 640 As of September 30, 2018, there was $0.4 million of total unrecognized compensation cost, net of actual forfeitures, related to nonvested common stock share awards granted under the Fee Plan. This cost is expected to be recognized over a weighted average period of less than one year. Deferred Compensation Plan — The Company’s non-qualified Deferred Compensation Plan (the “Deferred Compensation Plan”), which is not shareholder-approved, was adopted by the Board effective December 17, 1998. It was last amended and restated on August 15, 2017, effective January 1, 2018. Eligibility is limited to a select group of key management and employees who are expected to receive an annualized base salary (which will not take into account bonuses or commissions) that exceeds the amount taken into account for purposes of determining highly compensated employees under Section 414(q) of the Internal Revenue Code of 1986 based on the current year’s base salary and applicable dollar amounts. The Deferred Compensation Plan provides participants with the ability to defer between 1% and 80% of their compensation (between 1% and 100% prior to June 30, 2016, the effective date of the first amendment) until the participant’s retirement, termination, disability or death, or a change in control of the Company. Using the Company’s common stock, the Company matches 50% of the amounts deferred by participants on a quarterly basis up to a total of $12,000 per year for the president, chief executive officer and executive vice presidents, $7,500 per year for senior vice presidents, global vice presidents and vice presidents, and, effective January 1, 2017, $5,000 per year for all other participants (there was no match for other participants prior to January 1, 2017, the effective date of the second amendment). Matching contributions and the associated earnings vest over a seven-year service period. Vesting will be accelerated in the event of the participant’s death or disability, a change in control or retirement (defined as separate from service after age 65). In the event of a distribution of benefits as a result of a change in control of the Company, the Company will increase the benefit by an amount sufficient to offset the income tax obligations created by the distribution of benefits. Deferred compensation amounts used to pay benefits, which are held in a rabbi trust, include investments in various mutual funds and shares of the Company’s common stock (see Note 7, Investments Held in Rabbi Trust). As of September 30, 2018 and December 31, 2017, liabilities of $12.5 million and $11.6 million, respectively, of the Deferred Compensation Plan were recorded in “Accrued employee compensation and benefits” in the accompanying Condensed Consolidated Balance Sheets. Additionally, the Company’s common stock match associated with the Deferred Compensation Plan, with a carrying value of approximately $2.3 million and $2.1 million as of September 30, 2018 and December 31, 2017, respectively, is included in “Treasury stock” in the accompanying Condensed Consolidated Balance Sheets. The following table summarizes nonvested common stock activity as of September 30, 2018 and for the nine months then ended: Nonvested Common Stock Shares (000s) Weighted Average Grant-Date Fair Value Nonvested at January 1, 2018 3 $ 29.56 Granted 13 $ 29.23 Vested (9 ) $ 28.92 Forfeited or expired - $ - Nonvested at September 30, 2018 7 $ 29.85 The following table summarizes information regarding shares of common stock granted and vested (in thousands, except per common stock amounts): Nine Months Ended September 30, 2018 2017 Number of shares of common stock granted 13 12 Weighted average grant-date fair value per common stock $ 29.23 $ 30.39 Fair value of common stock vested $ 281 $ 310 Cash used to settle the obligation $ 672 $ 590 As of September 30, 2018, there was $0.1 million of total unrecognized compensation cost, net of actual forfeitures, related to nonvested common stock granted under the Deferred Compensation Plan. This cost is expected to be recognized over a weighted average period of 3.6 years. |
Segments and Geographic Informa
Segments and Geographic Information | 9 Months Ended |
Sep. 30, 2018 | |
Segment Reporting [Abstract] | |
Segments and Geographic Information | Note 16. Segments and Geographic Information The Company operates within two regions, the Americas and EMEA. Each region represents a reportable segment comprised of aggregated regional operating segments, which portray similar economic characteristics. The Company aligns its business into two segments to effectively manage the business and support the customer care needs of every client and to respond to the demands of the Company’s global customers. The reportable segments consist of (1) the Americas, which includes the United States, Canada, Latin America, Australia and the Asia Pacific Rim, and provides outsourced customer engagement solutions (with an emphasis on inbound technical support, digital support and demand generation, and customer service) and technical staffing and (2) EMEA, which includes Europe, the Middle East and Africa, and provides outsourced customer engagement solutions (with an emphasis on technical support and customer service) and fulfillment services. The sites within Latin America, Australia and the Asia Pacific Rim are included in the Americas segment given the nature of the business and client profile, which is primarily made up of U.S.-based companies that are using the Company’s services in these locations to support their customer engagement needs. Information about the Company’s reportable segments is as follows (in thousands): Americas EMEA Other (1) Consolidated Three Months Ended September 30, 2018: Revenues $ 328,762 $ 70,543 $ 28 $ 399,333 Percentage of revenues 82.3 % 17.7 % 0.0 % 100.0 % Depreciation, net $ 11,838 $ 1,473 $ 761 $ 14,072 Amortization of intangibles $ 3,439 $ 199 $ - $ 3,638 Income (loss) from operations $ 25,666 $ 5,098 $ (16,318 ) $ 14,446 Total other income (expense), net (66 ) (66 ) Income taxes (628 ) (628 ) Net income $ 13,752 Three Months Ended September 30, 2017: Revenues $ 341,334 $ 65,957 $ 18 $ 407,309 Percentage of revenues 83.8 % 16.2 % 0.0 % 100.0 % Depreciation, net $ 12,064 $ 1,375 $ 788 $ 14,227 Amortization of intangibles $ 5,081 $ 212 $ - $ 5,293 Income (loss) from operations $ 35,932 $ 4,523 $ (14,190 ) $ 26,265 Total other income (expense), net (1,824 ) (1,824 ) Income taxes (2,746 ) (2,746 ) Net income $ 21,695 Nine Months Ended September 30, 2018: Revenues $ 996,524 $ 213,890 $ 75 $ 1,210,489 Percentage of revenues 82.3 % 17.7 % 0.0 % 100.0 % Depreciation, net $ 36,856 $ 4,360 $ 2,252 $ 43,468 Amortization of intangibles $ 10,846 $ 634 $ - $ 11,480 Income (loss) from operations $ 71,354 $ 11,957 $ (48,121 ) $ 35,190 Total other income (expense), net (2,457 ) (2,457 ) Income taxes (855 ) (855 ) Net income $ 31,878 Nine Months Ended September 30, 2017: Revenues $ 977,136 $ 189,564 $ 61 $ 1,166,761 Percentage of revenues 83.8 % 16.2 % 0.0 % 100.0 % Depreciation, net $ 35,374 $ 3,815 $ 2,206 $ 41,395 Amortization of intangibles $ 15,048 $ 726 $ - $ 15,774 Income (loss) from operations $ 100,031 $ 12,266 $ (48,651 ) $ 63,646 Total other income (expense), net (3,483 ) (3,483 ) Income taxes (10,911 ) (10,911 ) Net income $ 49,252 (1) The Company’s reportable segments are evaluated regularly by its chief operating decision maker to decide how to allocate resources and assess performance. The chief operating decision maker evaluates performance based upon reportable segment revenue and income (loss) from operations. Because assets by segment are not reported to or used by the Company’s chief operating decision maker to allocate resources, or to assess performance, total assets by segment are not disclosed. The following table represents a disaggregation of revenue from contracts with customers by geographic location and by the reportable segment for each category (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Americas: United States $ 161,429 $ 166,527 $ 498,523 $ 471,825 The Philippines 57,953 62,958 174,610 178,277 Costa Rica 33,120 32,882 96,168 99,131 Canada 25,549 28,423 77,566 85,165 El Salvador 20,732 19,792 61,327 56,506 People's Republic of China 8,337 9,659 25,834 28,201 Australia 8,619 7,634 24,021 20,724 Mexico 6,221 6,540 18,171 17,981 Other 6,802 6,919 20,304 19,326 Total Americas 328,762 341,334 996,524 977,136 EMEA: Germany 22,448 20,396 69,027 59,290 Sweden 13,422 14,639 41,226 42,983 United Kingdom 12,333 10,166 37,640 29,306 Romania 8,704 7,157 25,031 20,235 Other 13,636 13,599 40,966 37,750 Total EMEA 70,543 65,957 213,890 189,564 Total Other 28 18 75 61 $ 399,333 $ 407,309 $ 1,210,489 $ 1,166,761 Revenues are attributed to countries based on location of customer, except for revenues for The Philippines, Costa Rica, the People’s Republic of China and India which are primarily comprised of customers located in the U.S. but serviced by centers in those respective geographic locations. |
Other Income (Expense)
Other Income (Expense) | 9 Months Ended |
Sep. 30, 2018 | |
Other Income And Expenses [Abstract] | |
Other Income (Expense) | Note 17. Other Income (Expense) Other income (expense), net consists of the following (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Foreign currency transaction gains (losses) $ 1,066 $ (77 ) $ 3,155 $ 567 Gains (losses) on derivative instruments not designated as hedges (380 ) (445 ) (1,807 ) (48 ) Other miscellaneous income (expense) 233 550 (811 ) 1,115 $ 919 $ 28 $ 537 $ 1,634 |
Related Party Transactions
Related Party Transactions | 9 Months Ended |
Sep. 30, 2018 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Note 18. Related Party Transactions In January 2008, the Company entered into a lease for a customer engagement center located in Kingstree, South Carolina. The landlord, Kingstree Office One, LLC, is an entity controlled by John H. Sykes, the founder, former Chairman and former Chief Executive Officer of the Company and the father of Charles Sykes, President and Chief Executive Officer of the Company. The lease payments on the 20-year lease were negotiated at or below market rates, and the lease is cancellable at the option of the Company. The Company paid $0.1 million to the landlord during both the three months ended September 30, 2018 and 2017 and $0.3 million during both the nine months ended September 30, 2018 and 2017 under the terms of the lease. During the three and nine months ended September 30, 2018, the Company contracted to receive services from XSell, an equity method investee, for $0.1 million and $0.1 million, respectively. There were no such transactions in 2017. These related party transactions occurred in the normal course of business on terms and conditions that are similar to those of transactions with unrelated parties and, therefore, were measured at the exchange amount. |
Subsequent Event
Subsequent Event | 9 Months Ended |
Sep. 30, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Event | Note 19. Subsequent Event On October 18, 2018, the Company as guarantor and its wholly-owned subsidiary, SEI International Services S.a.r.l, a Luxembourg company, entered into the Symphony Purchase Agreement with Pascal Baker, Ian Barkin, David Brain, David Poole, FIS Nominee Limited, Baronsmead Venture Trust plc and Baronsmead Second Venture Trust plc (together, the “Symphony Sellers”) to acquire all of the outstanding shares of Symphony Ventures Ltd. Symphony, headquartered in London, England, provides robotic process automation (“RPA”) services, offering RPA consulting, implementation, hosting and managed services for front, middle and back-office processes. Symphony serves numerous industries globally, including financial services, healthcare, business services, manufacturing, consumer products, communications, media and entertainment. The aggregate purchase price of GBP 52.6 million ($67.9 million) is subject to certain post-closing adjustments related to Symphony’s working capital. The Company paid GBP 44.6 million ($57.6 million) at the closing of the transaction on November 1, 2018 using cash on hand as well as $31.0 million of additional borrowings under the Company’s Credit Agreement. The remaining GBP 8.0 million ($10.3 million) of purchase price has been deferred and will be paid in equal installments over the next three years. The Symphony Purchase Agreement also provides for a three-year, retention based earnout payable in RSUs with a value of GBP 3.0 million. The Symphony Purchase Agreement contains customary representations and warranties, indemnification obligations and covenants. |
Overview and Basis of Present_2
Overview and Basis of Presentation (Policies) | 9 Months Ended |
Sep. 30, 2018 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Business | Business — Sykes Enterprises, Incorporated and consolidated subsidiaries (“SYKES” or the “Company”) is a leading provider of multichannel demand generation and global customer engagement services. SYKES provides differentiated full lifecycle customer engagement solutions and services to Global 2000 companies and their end customers primarily within the communications, financial services, technology, transportation and leisure, healthcare, retail and other industries. SYKES primarily provides customer engagement solutions and services with an emphasis on inbound multichannel demand generation, customer service and technical support to its clients’ customers. Utilizing SYKES’ integrated onshore/offshore global delivery model, SYKES provides its services through multiple communication channels including phone, e-mail, social media, text messaging, chat and digital self-service. SYKES also provides various enterprise support services in the United States that include services for its clients’ internal support operations, from technical staffing services to outsourced corporate help desk services. In Europe, SYKES also provides fulfillment services, which includes order processing, payment processing, inventory control, product delivery and product returns handling. The Company has operations in two reportable segments entitled (1) the Americas, in which the client base is primarily companies in the United States that are using the Company’s services to support their customer management needs, which includes the United States, Canada, Latin America, Australia and the Asia Pacific Rim; and (2) EMEA, which includes Europe, the Middle East and Africa. 2017 Tax Reform Act In December 2017, the President of the United States (“U.S.”) signed into law the Tax Cuts and Jobs Act (the “2017 Tax Reform Act”). In general, the 2017 Tax Reform Act reduces the U.S. federal corporate tax rate from 35% to 21%, effective in 2018. The 2017 Tax Reform Act moves from a worldwide business taxation approach to a participation exemption regime. The 2017 Tax Reform Act also imposes base-erosion prevention measures on non-U.S. earnings of U.S. entities, as well as a one-time mandatory deemed repatriation tax on accumulated non-U.S. earnings which was recorded in the fourth quarter of 2017. The impact of the 2017 Tax Reform Act on the consolidated financial results began with the fourth quarter of 2017, the period of enactment. This impact, along with the transitional taxes discussed in Note 11, Income Taxes, is reflected in the Other segment. Telecommunications Asset Acquisition In April 2017, the Company entered into a definitive Asset Purchase Agreement (the “Purchase Agreement”) to acquire certain assets from a Global 2000 telecommunications services provider. The aggregate purchase price of $7.5 million was paid on May 31, 2017, using cash on hand, resulting in $6.0 million of property and equipment and $1.5 million of customer relationship intangibles (the “Telecommunications Asset acquisition”). The Purchase Agreement contained customary representations and warranties, indemnification obligations and covenants. The results of the Telecommunications Assets’ operations have been included in the Company’s consolidated financial statements in the Americas segment since its acquisition on May 31, 2017. The Company accounted for the Telecommunications Asset acquisition in accordance with ASC 805, Business Combinations, WhistleOut Acquisition On July 9, 2018, the Company, as guarantor, and its wholly-owned subsidiaries, Sykes Australia Pty Ltd, an Australian company, and Clear Link Technologies, LLC, a Delaware limited liability company, entered into and closed a definitive Share Sale Agreement (the “WhistleOut Sale Agreement”) with WhistleOut Nominees Pty Ltd as trustee for the WhistleOut Holdings Unit Trust, CPC Investments USA Pty Ltd, JJZL Pty Ltd, Kenneth Wong as trustee for Wong Family Trust and C41 Pty Ltd as trustee for the Ottery Family Trust (together, the “WhistleOut Sellers”) to acquire all of the outstanding shares of WhistleOut Pty Ltd and WhistleOut Inc. (together, known as “WhistleOut”). The aggregate purchase price of AUD 30.2 million ($22.4 million), was paid at the closing of the transaction on July 9, 2018, resulting in $16.5 million of intangible assets, primarily indefinite-lived domain names, $2.4 million of fixed assets and $2.2 million of goodwill. The aggregate purchase price is subject to certain post-closing adjustments related to WhistleOut’s working capital. The purchase price was funded through $22.0 million of additional borrowings under the Company’s Credit Agreement. The WhistleOut Sale Agreement provides for a three-year, retention based earnout of AUD 14.0 million. The WhistleOut Sale Agreement contains customary representations and warranties, indemnification obligations and covenants. The Company accounted for the WhistleOut acquisition in accordance with ASC 805 , Business Combination (Topic 805) Simplifying the Accounting for Measurement-Period Adjustments |
Basis of Presentation | Basis of Presentation — The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“generally accepted accounting principles” or “U.S. GAAP”) for interim financial information, the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three and nine months ended September 30, 2018 are not necessarily indicative of the results that may be expected for any future quarters or the year ending December 31, 2018. For further information, refer to the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2017, as filed with the Securities and Exchange Commission (“SEC”) on March 1, 2018. |
Principles of Consolidation | Principles of Consolidation — The condensed consolidated financial statements include the accounts of SYKES and its wholly-owned subsidiaries and controlled majority-owned subsidiaries. Investments in less than majority-owned subsidiaries in which the Company does not have a controlling interest, but does have significant influence, are accounted for as equity method investments. All intercompany transactions and balances have been eliminated in consolidation. |
Use of Estimates | Use of Estimates — The preparation of condensed consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Subsequent Events | Subsequent Events — Subsequent events or transactions have been evaluated through the date and time of issuance of the condensed consolidated financial statements. On October 17, 2018, the Company entered into a verbal agreement to settle an outstanding legal action for $1.2 million. See Note 13, Commitments and Loss Contingency, for further information. On October 18, 2018, the Company entered into a definitive Share Purchase Agreement (the “Symphony Purchase Agreement”) to acquire all the outstanding shares of Symphony Ventures Ltd (“Symphony”) for GBP 52.6 million ($67.9 million). The transaction closed on November 1, 2018. See Note 19, Subsequent Event, for further information. There were no other material subsequent events that required recognition or disclosure in the accompanying condensed consolidated financial statements. |
Cash, Cash Equivalents and Restricted Cash | Cash, Cash Equivalents and Restricted cash — Cash and cash equivalents consist of cash and highly liquid short-term investments, primarily held in non-interest-bearing investments which have original maturities of less than 90 days. Restricted cash includes cash whereby the Company’s ability to use the funds at any time is contractually limited or is generally designated for specific purposes arising out of certain contractual or other obligations. The following table provides a reconciliation of cash and cash equivalents and restricted cash reported in the Condensed Consolidated Balance Sheets that sum to the amounts reported in the Condensed Consolidated Statements of Cash Flows (in thousands): September 30, 2018 December 31, 2017 September 30, 2017 December 31, 2016 Cash and cash equivalents $ 157,268 $ 343,734 $ 328,166 $ 266,675 Restricted cash included in "Other current assets" 158 154 107 160 Restricted cash included in "Deferred charges and other assets" 893 917 933 759 $ 158,319 $ 344,805 $ 329,206 $ 267,594 |
Investments in Equity Method Investees | Investments in Equity Method Investees — The Company uses the equity method to account for investments in companies if the investment provides the ability to exercise significant influence, but not control, over operating and financial policies of the investee. The Company’s proportionate share of the net income or loss of an equity method investment is included in consolidated net income. Judgment regarding the level of influence over an equity method investment includes considering key factors such as the Company’s ownership interest, representation on the board of directors, participation in policy-making decisions and material intercompany transactions. The Company evaluates an equity method investment for impairment whenever events or changes in circumstances indicate that the carrying amount of the investment might not be recoverable. Factors considered by the Company when reviewing an equity method investment for impairment include the length of time (duration) and the extent (severity) to which the fair value of the equity method investment has been less than cost, the investee’s financial condition and near-term prospects, and the intent and ability to hold the investment for a period of time sufficient to allow for anticipated recovery. An impairment that is other-than-temporary is recognized in the period identified. As of September 30, 2018 and December 31, 2017, the Company did not identify any instances where the carrying values of its equity method investments were not recoverable. In July 2017, the Company made a strategic investment of $10.0 million in XSell Technologies, Inc. (“XSell”) for 32.8% of XSell’s preferred stock. The Company is incorporating XSell’s machine learning and artificial intelligence algorithms into its business. The Company believes this will increase the sales performance of its agents to drive revenue for its clients, improve the experience of the Company’s clients’ end customers and enhance brand loyalty, reduce the cost of customer care and leverage analytics and machine learning to source the best agents and improve their performance. The Company’s net investment in XSell of $9.4 million and $9.8 million was included in “Deferred charges and other assets” in the accompanying Condensed Consolidated Balance Sheets as of September 30, 2018 and December 31, 2017, respectively. The Company paid $5.0 million in July 2017 and the remaining $5.0 million in August 2018. The Company’s proportionate share of XSell’s income (loss) of $(0.2) million and less than $(0.1) million for the three months ended September 30, 2018 and 2017, respectively, and $(0.4) million and less than $(0.1) million for the nine months ended September 30, 2018 and 2017, respectively, was included in “Other income (expense), net” in the accompanying Condensed Consolidated Statements of Operations. |
Customer-Acquisition Advertising Costs | Customer-Acquisition Advertising Costs — The Company’s advertising costs are expensed as incurred. Total advertising costs included in the accompanying Condensed Consolidated Statements of Operations were as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Customer-acquisition advertising costs included in "Direct salaries and related costs" $ 13,907 $ 9,188 $ 35,835 $ 27,599 Customer-acquisition advertising costs included in "General and administrative" 24 18 35 79 |
Reclassifications | Reclassifications — Certain balances in the prior period have been reclassified to conform to current period presentation. |
New Accounting Standards Not Yet Adopted | New Accounting Standards Not Yet Adopted Leases In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-02, Leases (Topic 842) Leases The Company’s implementation team has compiled a detailed inventory of leases and a preliminary analysis of the impact to the financial statements. The Company continues to evaluate the critical factors of ASC 842. Based on an assessment of the Company’s business and system requirements, the implementation team is implementing a lease accounting software solution to assist the Company in complying with ASC. The Company expects the adoption of ASC 842 on January 1, 2019 to result in a material increase in the assets and liabilities on the consolidated balance sheets as a result of recognizing right-of-use assets and lease liabilities for existing operating leases based on the amount of the Company’s current lease commitments. The Company believes that the majority of its leases will maintain their current lease classification under ASC 842. The Company does not expect these amendments to have a material effect on its expense recognition timing or cash flows and, as a result, the Company expects the adoption of ASC 842 will result in an insignificant impact on the Company’s consolidated statements of income and on the consolidated statements of cash flows. The Company is continuing to evaluate the magnitude of the impact on financial statement presentation and related disclosures, as well as the optional practical expedients. The Company is also continuing to evaluate the full impact of ASC 842, as well as its impacts on its business processes, systems, and internal controls. Fair Value Measurements In August 2018, the FASB issued ASU 2018-13, Fair Value Measurement (Topic 820) – Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement (“ASU 2018-13”). These amendments These amendments are effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. Certain of the amendments will be applied prospectively in the initial year of adoption while the remainder are required to be applied retrospectively to all periods presented upon their effective date. Early adoption is permitted. The Company is evaluating the timing of its adoption of ASU 2018-13 but does not expect a material impact on its disclosures. Retirement Benefits In August 2018, the FASB issued ASU 2018-14, Compensation – Retirement Benefits – Defined Benefit Plans - General (Subtopic 715-20) – Disclosure Framework – Changes to the Disclosure Requirements for Defined Benefit Plans (“ASU 2018-14”). These amendments These amendments are effective for fiscal years ending after December 15, 2020, with early adoption permitted. The Company is evaluating the timing of its adoption of ASU 2018-14 but does not expect a material impact on its disclosures. Cloud Computing In August 2018, the FASB issued ASU 2018-15, Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40) – Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (“ASU 2018-15”). These amendments These amendments are effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years, with early application permitted in any interim period after issuance of this update. The amendments should be applied either retrospectively or prospectively to all implementation costs incurred after the date of adoption. The Company is evaluating the timing of its adoption of ASU 2018-15 but does not expect a material impact on its financial condition, results of operations, cash flows and disclosures. Derivatives and Hedging In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815) – Targeted Improvements to Accounting for Hedge Activities (“ASU 2017-12”). These amendments These amendments are effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years, with early application permitted in any interim period after issuance of this update. The Company does not expect the adoption of ASU 2017-12 to materially impact its financial condition, results of operations, cash flows and disclosures. Financial Instruments – Credit Losses In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326) – Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). These amendments . These amendments are effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years. Early adoption is permitted. The Company is currently evaluating the impact the guidance will have on its financial condition, results of operations and cash flows. |
New Accounting Standards Recently Adopted | New Accounting Standards Recently Adopted Revenue from Contracts with Customers In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers (Topic 606) Financial Instruments In January 2016, the FASB issued ASU 2016-01, Financial Instruments - Overall (Subtopic 825-10) Recognition and Measurement of Financial Assets and Financial Liabilities Fair Value Measurements Statement of Cash Flows In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230) – Classification of Certain Cash Receipts and Cash Payments (“ASU 2016-15”). These amendments clarify the presentation of cash receipts and payments in eight specific situations. These amendments are effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. These amendments have been applied using a retrospective transition method to each period presented. The adoption of ASU 2016-15 on January 1, 2018 did not have a material impact on the Company’s cash flows. In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230) – Restricted Cash (A Consensus of the FASB Emerging Issues Task Force (“ASU 2016-18”). These amendments clarify how entities should present restricted cash and restricted cash equivalents in the statement of cash flows, requiring entities to show the changes in the total of cash, cash equivalents, restricted cash and restricted cash equivalents. These amendments are effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. These amendments have been applied using a retrospective transition method to each period presented. The inclusion of restricted cash increased the beginning balance of cash in the Condensed Consolidated Statements of Cash Flows by $1.1 million for the nine months ended September 30, 2018 and increased the beginning and ending balances of cash by $0.9 million and $1.0 million, respectively, for the nine months ended September 30, 2017. Other than the change in presentation within the accompanying Condensed Consolidated Statements of Cash Flows, the retrospective adoption of ASU 2016-18 on January 1, 2018 did not have a material impact on the Company’s consolidated financial statements. Income Taxes In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740) – Intra-Entity Transfers of Assets Other than Inventory (“ASU 2016-16”). These amendments These amendments are effective for annual reporting periods beginning after December 15, 2017, including interim reporting periods within those annual reporting periods. The adoption of ASU 2016-16 on January 1, 2018 did not have a material impact on the Company’s consolidated financial statements and no cumulative-effect adjustment to retained earnings was required. In January 2018, the FASB released guidance on the accounting for tax on the global intangible low-taxed income ("GILTI") provisions of the 2017 Tax Reform Act. The GILTI provisions impose a tax on foreign income in excess of a deemed return on tangible assets of foreign corporations. The guidance indicates that either accounting for deferred taxes related to GILTI inclusions or to treat any taxes on GILTI inclusions as period costs are both acceptable methods subject to an accounting policy election. The Company evaluated the accounting treatment options related to the GILTI provisions and elected to treat any potential GILTI inclusions as a current period cost. The election did not have a material impact on the Company’s consolidated financial statements. In March 2018, the FASB issued ASU 2018-05, Income Taxes (Topic 740): Amendments to SEC paragraphs pursuant to SEC Staff Accounting Bulletin No. 118 Income Tax Accounting Implications of the Tax Cuts and Jobs Act Other Comprehensive Income In February 2018, the FASB issued ASU 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220) These amendments can be applied either in the period of adoption or retrospectively to each period (or periods) in which the effect of the change in the U.S. federal corporate tax rate in the 2017 Tax Reform Act is recognized. The early adoption of ASU 2018-02 on June 30, 2018 had no impact on the Company’s consolidated financial statements or disclosures. Business Combinations In January 2017, the FASB issued ASU 2017-01, Business Combinations (Topic 805) – Clarifying the Definition of a Business (“ASU 2017-01”). These amendments These amendments are effective for annual periods beginning after December 15, 2017, including interim periods within those periods. These amendments were applied prospectively. The adoption of ASU 2017-01 on January 1, 2018 did not have a material impact on the Company’s consolidated financial statements. Retirement Benefits In March 2017, the FASB issued ASU 2017-07, Compensation – Retirement Benefits (Topic 715) – Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost (“ASU 2017-07”). These amendments These amendments are effective for annual periods beginning after December 15, 2017, including interim periods within those annual periods. These amendments were applied retrospectively for the presentation of the service cost component and the other components of net periodic pension cost and net periodic postretirement benefit cost in the income statement and prospectively, on and after the effective date, for the capitalization of the service cost component of net periodic pension cost and net periodic postretirement benefit in assets. The amendments allow a practical expedient that permits an employer to use the amounts disclosed in its pension and other postretirement benefit plan note for the prior comparative periods as the estimation basis for applying the retrospective presentation requirements. The Company adopted the income statement presentation aspects of ASU 2017-07 on a retrospective basis effective January 1, 2018. The following is a reconciliation of the effect of the reclassification of the interest cost and amortization of actuarial gain (loss) from operating expenses to other income (expense) in the Company’s Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 2017 (in thousands): As Previously Reported Adjustments Due to the Adoption of ASU 2017-07 As Revised Three Months Ended September 30, 2017: Direct salaries and related costs $ 267,516 $ (27 ) $ 267,489 General and administrative 93,364 (9 ) 93,355 Income from operations 26,229 36 26,265 Other income (expense), net 64 (36 ) 28 Nine Months Ended September 30, 2017: Direct salaries and related costs $ 763,324 $ (84 ) $ 763,240 General and administrative 277,664 (29 ) 277,635 Income from operations 63,533 113 63,646 Other income (expense), net 1,747 (113 ) 1,634 |
Fair Value Measurements | ASC 820, Fair Value Measurements and Disclosures requires disclosure about how fair value is determined for assets and liabilities and establishes a hierarchy for which these assets and liabilities must be grouped, based on significant levels of observable or unobservable inputs. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company’s market assumptions. This hierarchy requires the use of observable market data when available. These two types of inputs have created the following fair value hierarchy: • Level 1 — • Level 2 — • Level 3 — . Fair Value of Financial Instruments — The following methods and assumptions were used to estimate the fair value of each class of financial instruments for which it is practicable to estimate that value: • Cash, short-term and other investments, investments held in rabbi trust and accounts payable — • Foreign currency forward contracts and options — • Embedded derivatives — • Long-term debt — • Contingent consideration — Fair Value Measurements — ASC 820 defines fair value, establishes a framework for measuring fair value in accordance with generally accepted accounting principles and expands disclosures about fair value measurements. ASC 820-10-20 clarifies that fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. |
Financial Instruments | ASC 825, Financial Instruments permits an entity to measure certain financial assets and financial liabilities at fair value with changes in fair value recognized in earnings each period. The Company has not elected to use the fair value option permitted under ASC 825 for any of its financial assets and financial liabilities that are not already recorded at fair value. Determination of Fair Value — The Company generally uses quoted market prices (unadjusted) in active markets for identical assets or liabilities that the Company has the ability to access to determine fair value and classifies such items in Level 1. Fair values determined by Level 2 inputs utilize inputs other than quoted market prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted market prices in active markets for similar assets or liabilities, and inputs other than quoted market prices that are observable for the asset or liability. Level 3 inputs are unobservable inputs for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability. If quoted market prices are not available, fair value is based upon internally developed valuation techniques that use, where possible, current market-based or independently sourced market parameters, such as interest rates, currency exchange rates, etc. Assets or liabilities valued using such internally generated valuation techniques are classified according to the lowest level input or value driver that is significant to the valuation. Thus, an item may be classified in Level 3 even though there may be some significant inputs that are readily observable. The following section describes the valuation methodologies used by the Company to measure assets and liabilities at fair value on a recurring basis, including an indication of the level in the fair value hierarchy in which each asset or liability is generally classified. Foreign Currency Forward Contracts and Options — The Company enters into foreign currency forward contracts and options over the counter and values such contracts using quoted market prices of comparable instruments or, if none are available, on pricing models or formulas using current market and model assumptions, including adjustments for credit risk. The key inputs include forward or option foreign currency exchange rates and interest rates. These items are classified in Level 2 of the fair value hierarchy. Embedded Derivatives — The Company uses significant unobservable inputs to determine the fair value of embedded derivatives, which are classified in Level 3 of the fair value hierarchy. These unobservable inputs include expected cash flows associated with the lease, currency exchange rates on the day of commencement, as well as forward currency exchange rates, the results of which are adjusted for credit risk. These items are classified in Level 3 of the fair value hierarchy. See Note 6, Financial Derivatives, for further information. Investments Held in Rabbi Trust — The investment assets of the rabbi trust are valued using quoted market prices in active markets, which are classified in Level 1 of the fair value hierarchy. For additional information about the deferred compensation plan, refer to Note 7, Investments Held in Rabbi Trust, and Note 15, Stock-Based Compensation. Contingent Consideration — The Company uses significant unobservable inputs to determine the fair value of contingent consideration, which is classified in Level 3 of the fair value hierarchy. The contingent consideration recorded related to the acquisition of Qelp B.V. and its subsidiary ( together, known as “Qelp”) and liabilities assumed as part of the Clear Link Holdings, LLC (“Clearlink”) acquisition was recognized at fair value using a discounted cash flow methodology and a discount rate of approximately 14.0% and 10.0%, respectively. |
Foreign Currency and Derivative Instruments | Cash Flow Hedges – The Company has derivative assets and liabilities relating to outstanding forward contracts and options, designated as cash flow hedges, as defined under ASC 815 Derivatives and Hedging (“ASC 815”), consisting of Philippine Peso, Costa Rican Colon, Hungarian Forint and Romanian Leu contracts. These contracts are entered into to hedge the exposure to variability in the cash flows of a specific asset or liability, or of a forecasted transaction that is attributable to changes in exchange rates. |
Earnings Per Share | Basic earnings per share are based on the weighted average number of common shares outstanding during the periods. Diluted earnings per share includes the weighted average number of common shares outstanding during the respective periods and the further dilutive effect, if any, from stock appreciation rights, restricted stock, restricted stock units and shares held in rabbi trust using the treasury stock method. |
Segments and Geographic Information | The Company operates within two regions, the Americas and EMEA. Each region represents a reportable segment comprised of aggregated regional operating segments, which portray similar economic characteristics. The Company aligns its business into two segments to effectively manage the business and support the customer care needs of every client and to respond to the demands of the Company’s global customers. |
Overview and Basis of Present_3
Overview and Basis of Presentation (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Summary of Cash and Cash Equivalents and Restricted Cash | The following table provides a reconciliation of cash and cash equivalents and restricted cash reported in the Condensed Consolidated Balance Sheets that sum to the amounts reported in the Condensed Consolidated Statements of Cash Flows (in thousands): September 30, 2018 December 31, 2017 September 30, 2017 December 31, 2016 Cash and cash equivalents $ 157,268 $ 343,734 $ 328,166 $ 266,675 Restricted cash included in "Other current assets" 158 154 107 160 Restricted cash included in "Deferred charges and other assets" 893 917 933 759 $ 158,319 $ 344,805 $ 329,206 $ 267,594 |
Schedule of Customer-Acquisition Advertising Costs | Total advertising costs included in the accompanying Condensed Consolidated Statements of Operations were as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Customer-acquisition advertising costs included in "Direct salaries and related costs" $ 13,907 $ 9,188 $ 35,835 $ 27,599 Customer-acquisition advertising costs included in "General and administrative" 24 18 35 79 |
Accounting Standards Update 2017-07 [Member] | |
Summary of Impact of Adoption of Accounting Standards | The following is a reconciliation of the effect of the reclassification of the interest cost and amortization of actuarial gain (loss) from operating expenses to other income (expense) in the Company’s Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 2017 (in thousands): As Previously Reported Adjustments Due to the Adoption of ASU 2017-07 As Revised Three Months Ended September 30, 2017: Direct salaries and related costs $ 267,516 $ (27 ) $ 267,489 General and administrative 93,364 (9 ) 93,355 Income from operations 26,229 36 26,265 Other income (expense), net 64 (36 ) 28 Nine Months Ended September 30, 2017: Direct salaries and related costs $ 763,324 $ (84 ) $ 763,240 General and administrative 277,664 (29 ) 277,635 Income from operations 63,533 113 63,646 Other income (expense), net 1,747 (113 ) 1,634 |
Accounting Standards Update 2014-09 [Member] | |
Summary of Impact of Adoption of Accounting Standards | The cumulative effect of the adjustments made to the Company’s Condensed Consolidated Balance Sheet as of December 31, 2017 for the line items impacted by the adoption of ASC 606 was as follows (in thousands): December 31, 2017 Adjustments Due to the Adoption of ASC 606 January Receivables, net $ 341,958 $ 825 $ 342,783 Deferred charges and other assets 29,193 2,045 31,238 Income taxes payable 2,606 697 3,303 Deferred revenue and customer liabilities 34,717 (1,048 ) 33,669 Other long-term liabilities 22,039 202 22,241 Retained earnings 546,843 3,019 549,862 |
Revenues (Tables)
Revenues (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Revenues from Contracts with Customers Disaggregated by Service Type | The following table represents revenues from contracts with customers disaggregated by service type and by the reportable segment for each category (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Americas: Customer engagement solutions and services $ 328,535 $ 341,077 $ 995,723 $ 976,342 Other revenues 227 257 801 794 Total Americas 328,762 341,334 996,524 977,136 EMEA: Customer engagement solutions and services 68,859 64,230 208,302 184,135 Other revenues 1,684 1,727 5,588 5,429 Total EMEA 70,543 65,957 213,890 189,564 Other: Other revenues 28 18 75 61 Total Other 28 18 75 61 $ 399,333 $ 407,309 $ 1,210,489 $ 1,166,761 |
Summary of Trade Accounts Receivable, Net | The Company’s trade accounts receivable, net, consists of the following (in thousands): September 30, 2018 January 1, 2018 Trade accounts receivable, net, current (1) $ 340,391 $ 332,014 Trade accounts receivable, net, noncurrent (2) 6,066 2,078 $ 346,457 $ 334,092 (1) (2) |
Components of Deferred Revenue and Customer Liabilities | Deferred revenue and customer liabilities consists of the following (in thousands): September 30, 2018 January 1, 2018 Deferred revenue $ 4,507 $ 4,598 Customer arrangements with termination rights 17,789 21,755 Estimated refund liabilities (1) 9,026 7,316 $ 31,322 $ 33,669 (1) |
Accounting Standards Update 2014-09 [Member] | |
Summary of Impact of Adoption of Accounting Standards | The financial statement line items impacted by the adoption of ASC 606 in the Company’s Condensed Consolidated Balance Sheet as of September 30, 2018 were as follows (in thousands): As Reported Balances Without the Impact of the ASC 606 Adoption Effect of Adoption Increase (Decrease) Receivables, net $ 353,909 $ 351,299 $ 2,610 Deferred charges and other assets 33,946 28,025 5,921 Income taxes payable 355 (1,727 ) 2,082 Deferred revenue and customer liabilities 31,322 33,984 (2,662 ) Other long-term liabilities 24,832 24,415 417 Retained earnings 581,740 573,046 8,694 The financial statement line items impacted by the adoption of ASC 606 in the Company’s Condensed Consolidated Statement of Operations for the three months ended September 30, 2018 were as follows, along with the impact per share (in thousands, except per share data): As Reported Balances Without the Impact of the ASC 606 Adoption Effect of Adoption Increase (Decrease) Revenues $ 399,333 $ 397,343 $ 1,990 Income from operations 14,446 12,456 1,990 Income before income taxes 14,380 12,390 1,990 Income taxes 628 181 447 Net income 13,752 12,209 1,543 Net income per common share: Basic $ 0.33 $ 0.29 $ 0.04 Diluted $ 0.33 $ 0.29 $ 0.04 The financial statement line items impacted by the adoption of ASC 606 in the Company’s Condensed Consolidated Statement of Operations for the nine months ended September 30, 2018 were as follows, along with the impact per share (in thousands, except per share data): As Reported Balances Without the Impact of the ASC 606 Adoption Effect of Adoption Increase (Decrease) Revenues $ 1,210,489 $ 1,203,102 $ 7,387 Income from operations 35,190 27,803 7,387 Income before income taxes 32,733 25,346 7,387 Income taxes 855 (857 ) 1,712 Net income 31,878 26,203 5,675 Net income per common share: Basic $ 0.76 $ 0.62 $ 0.14 Diluted $ 0.76 $ 0.62 $ 0.14 |
Costs Associated with Exit or_2
Costs Associated with Exit or Disposal Activities (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Restructuring And Related Activities [Abstract] | |
Cumulative Costs Expected and Incurred to Date Related to Cash and Non-Cash Expenditures as a Result of Exit Plan | The cumulative costs expected and incurred to date related to cash and non-cash expenditures as a result of the Americas 2018 Exit Plan are outlined below as of September 30, 2018 (in thousands): Costs Expected To Be Incurred Cumulative Costs Incurred To Date Expected Remaining Costs Lease obligations and facility exit costs (1) $ 7,344 $ 6,860 $ 484 Severance and related costs (2) 3,434 3,417 17 Severance and related costs (1) 665 550 115 Non-cash impairment charges 5,730 5,730 - $ 17,173 $ 16,557 $ 616 (1) (2) Direct salaries and related costs. |
Summary of Accrued Liability and Related Charges | The following table summarizes the accrued liability and related charges for the three months ended September 30, 2018 (none in 2017) (in thousands): Lease Obligations and Facility Exit Costs Severance and Related Costs Total Balance at the beginning of the period $ 2,815 $ 490 $ 3,305 Charges included in "Direct salaries and related costs" - 3,015 3,015 Charges included in "General and administrative" 3,832 331 4,163 Cash payments (1,440 ) (3,209 ) (4,649 ) Balance sheet reclassifications (1) 119 - 119 Balance at the end of the period $ 5,326 $ 627 $ 5,953 (1) The following table summarizes the accrued liability and related charges for the nine months ended September 30, 2018 (none in 2017) (in thousands): Lease Obligations and Facility Exit Costs Severance and Related Costs Total Balance at the beginning of the period $ - $ - $ - Charges included in "Direct salaries and related costs" - 3,417 3,417 Charges included in "General and administrative" 6,860 550 7,410 Cash payments (1,869 ) (3,340 ) (5,209 ) Balance sheet reclassifications (1) 335 - 335 Balance at the end of the period $ 5,326 $ 627 $ 5,953 (1) |
Summary of Company's Short-term and Long-term Accrued Liability with Exit Plan | The following table summarizes the Company’s short-term and long-term accrued liabilities associated with the Americas 2018 Exit Plan as of September 30, 2018 (none in 2017) (in thousands): Americas 2018 Exit Plan Short-term accrued restructuring liability (1) $ 4,491 Short-term accrued restructuring liability (2) 627 Long-term accrued restructuring liability (3) 835 Ending accrual at September 30, 2018 $ 5,953 (1) (2) (3) |
Fair Value (Tables)
Fair Value (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities Measured at Fair Value on a Recurring Basis | The Company's assets and liabilities measured at fair value on a recurring basis subject to the requirements of ASC 820 consist of the following as of September 30, 2018 (in thousands): Fair Value Measurements Using: Balance at Quoted Prices in Active Markets For Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs September 30, 2018 Level 1 Level 2 Level 3 Assets: Foreign currency forward and option contracts (1) $ 307 $ - $ 307 $ - Embedded derivatives (1) 2 - - 2 Equity investments held in rabbi trust for the Deferred Compensation Plan (2) 9,116 9,116 - - Debt investments held in rabbi trust for the Deferred Compensation Plan (2) 3,453 3,453 - - $ 12,878 $ 12,569 $ 307 $ 2 Liabilities: Foreign currency forward and option contracts (1) $ 3,185 $ - $ 3,185 $ - Embedded derivatives (1) 404 - - 404 $ 3,589 $ - $ 3,185 $ 404 The Company's assets and liabilities measured at fair value on a recurring basis subject to the requirements of ASC 820 consist of the following as of December 31, 2017 (in thousands): Fair Value Measurements Using: Balance at Quoted Prices in Active Markets For Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs December 31, 2017 Level 1 Level 2 Level 3 Assets: Foreign currency forward and option contracts (1) $ 3,848 $ - $ 3,848 $ - Embedded derivatives (1) 52 - - 52 Equity investments held in rabbi trust for the Deferred Compensation Plan (2) 8,094 8,094 - - Debt investments held in rabbi trust for the Deferred Compensation Plan (2) 3,533 3,533 - - $ 15,527 $ 11,627 $ 3,848 $ 52 Liabilities: Foreign currency forward and option contracts (1) $ 256 $ - $ 256 $ - Embedded derivatives (1) 579 - - 579 $ 835 $ - $ 256 $ 579 (1) (2) |
Rollforward of Net Asset (Liability) Activity of Fair Value of Embedded Derivatives | A rollforward of the net asset (liability) activity in the Company’s fair value of the embedded derivatives is as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Balance at the beginning of the period $ (598 ) $ (171 ) $ (527 ) $ (555 ) Gains (losses) recognized in "Other income (expense), net" 159 (193 ) (6 ) 122 Settlements 38 66 118 134 Effect of foreign currency (1 ) (2 ) 13 (1 ) Balance at the end of the period $ (402 ) $ (300 ) $ (402 ) $ (300 ) Change in unrealized gains (losses) included in "Other income (expense), net" related to embedded derivatives held at the end of the period $ 153 $ (193 ) $ (19 ) $ 122 |
Rollforward of Fair Value of Contingent Consideration (Liability) | A rollforward of the activity in the Company’s fair value of the contingent consideration (liability) is as follows (none in 2018) (in thousands): Three Months Ended September 30, 2017 Nine Months Ended September 30, 2017 Balance at the beginning of the period $ (1,127 ) $ (6,100 ) Imputed interest (8 ) (76 ) Fair value gain (loss) adjustments (1) (96 ) 605 Settlements 232 4,760 Effect of foreign currency (1 ) (189 ) Balance at the end of the period $ (1,000 ) $ (1,000 ) Change in unrealized gains (losses) included in "General and administrative" related to contingent consideration outstanding at the end of the period $ - $ - (1) |
Summary of Total Impairment Losses Related to Nonrecurring Fair Value Measurements of Certain Assets | The following table summarizes the total impairment losses related to nonrecurring fair value measurements of certain assets (no liabilities) subject to the requirements of ASC 820 (in thousands): Total Impairment (Loss) Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Americas: Property and equipment, net $ (555 ) $ (680 ) $ (9,256 ) $ (5,071 ) |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Company's Purchased Intangible Assets | The following table presents the Company’s purchased intangible assets as of September 30, 2018 (in thousands): Gross Intangibles Accumulated Amortization Net Intangibles Weighted Average Amortization Period (years) Intangible assets subject to amortization: Customer relationships $ 170,449 $ (104,144 ) $ 66,305 10 Trade names and trademarks 14,135 (10,070 ) 4,065 7 Non-compete agreements 2,037 (1,520 ) 517 3 Content library 524 (524 ) - 2 Proprietary software 1,040 (690 ) 350 4 Intangible assets not subject to amortization: Domain names 81,073 - 81,073 N/A $ 269,258 $ (116,948 ) $ 152,310 4 The following table presents the Company’s purchased intangible assets as of December 31, 2017 (in thousands): Gross Intangibles Accumulated Amortization Net Intangibles Weighted Average Amortization Period (years) Intangible assets subject to amortization: Customer relationships $ 170,853 $ (95,175 ) $ 75,678 10 Trade names and trademarks 14,138 (8,797 ) 5,341 7 Non-compete agreements 1,820 (1,052 ) 768 3 Content library 542 (542 ) - 2 Proprietary software 1,040 (585 ) 455 4 Intangible assets not subject to amortization: Domain names 58,035 - 58,035 N/A $ 246,428 $ (106,151 ) $ 140,277 6 |
Estimated Future Amortization Expense | The Company’s estimated future amortization expense for the succeeding years relating to the purchased intangible assets resulting from acquisitions completed prior to September 30, 2018 is as follows (in thousands): Years Ending December 31, Amount 2018 (remaining three months) 3,662 2019 14,153 2020 11,475 2021 6,921 2022 5,811 2023 4,955 2024 and thereafter 24,260 |
Changes in Goodwill | Changes in goodwill for the nine months ended September 30, 2018 consisted of the following (in thousands): January Acquisition Effect of Foreign Currency September 30, 2018 Americas $ 258,496 $ 2,162 $ (2,874 ) $ 257,784 EMEA 10,769 - (478 ) 10,291 $ 269,265 $ 2,162 $ (3,352 ) $ 268,075 Changes in goodwill for the year ended December 31, 2017 consisted of the following (in thousands): January Acquisition Effect of Foreign Currency December 31, 2017 Americas $ 255,842 $ 390 $ 2,264 $ 258,496 EMEA 9,562 - 1,207 10,769 $ 265,404 $ 390 $ 3,471 $ 269,265 |
Financial Derivatives (Tables)
Financial Derivatives (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Deferred Gains (Losses) and Related Taxes on Cash Flow Hedges | The deferred gains (losses) and related taxes on the Company’s cash flow hedges recorded in “Accumulated other comprehensive income (loss)” (“AOCI”) in the accompanying Condensed Consolidated Balance Sheets are as follows (in thousands): September 30, 2018 December 31, 2017 Deferred gains (losses) in AOCI $ (3,086 ) $ 2,550 Tax on deferred gains (losses) in AOCI 86 (79 ) Deferred gains (losses) in AOCI, net of taxes $ (3,000 ) $ 2,471 Deferred gains (losses) expected to be reclassified to "Revenues" from AOCI during the next twelve months $ (2,906 ) |
Outstanding Foreign Currency Forward Contracts, Options and Embedded Derivatives | The Company had the following outstanding foreign currency forward contracts and options, and embedded derivatives (in thousands): September 30, 2018 December 31, 2017 Contract Type Notional Amount in USD Settle Through Date Notional Amount in USD Settle Through Date Cash flow hedges: Options: US Dollars/Philippine Pesos $ 50,500 December 2019 $ 78,000 December 2018 Forwards: US Dollars/Philippine Pesos 48,900 September 2019 3,000 June 2018 US Dollars/Costa Rican Colones 81,500 December 2019 70,000 March 2019 Euros/Hungarian Forints 859 December 2018 3,554 December 2018 Euros/Romanian Leis 3,471 December 2018 13,977 December 2018 Non-designated hedges: Forwards 5,894 December 2018 9,253 March 2018 Embedded derivatives 12,050 April 2030 13,519 April 2030 |
Derivative Instruments Fair Value | The following tables present the fair value of the Company’s derivative instruments included in the accompanying Condensed Consolidated Balance Sheets (in thousands) Derivative Assets September 30, 2018 December 31, 2017 Derivatives designated as cash flow hedging instruments under ASC 815: Foreign currency forward and option contracts (1) $ 306 $ 3,604 Foreign currency forward and option contracts (2) 1 - 307 3,604 Derivatives not designated as hedging instruments under ASC 815: Foreign currency forward contracts (1) - 244 Embedded derivatives (1) 2 9 Embedded derivatives (2) - 43 Total derivative assets $ 309 $ 3,900 Derivative Liabilities September 30, 2018 December 31, 2017 Derivatives designated as cash flow hedging instruments under ASC 815: Foreign currency forward and option contracts (3) $ 2,716 $ 175 Foreign currency forward and option contracts (4) 181 81 2,897 256 Derivatives not designated as hedging instruments under ASC 815: Foreign currency forward contracts (3) 288 - Embedded derivatives (3) 46 189 Embedded derivatives (4) 358 390 Total derivative liabilities $ 3,589 $ 835 (1) (2) (3) (4) |
Effect of the Company's Derivative Instruments | The following table presents the effect of the Company’s derivative instruments included in the accompanying Condensed Consolidated Financial Statements for the three months ended September 30, 2018 and 2017 (in thousands) Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion) Gain (Loss) Reclassified From AOCI Into "Revenues" (Effective Portion) Gain (Loss) Recognized in "Revenues" on Derivatives (Ineffective Portion and Amount Excluded from Effectiveness Testing) September 30, September 30, September 30, 2018 2017 2018 2017 2018 2017 Derivatives designated as cash flow hedging instruments under ASC 815: Foreign currency forward and option contracts $ (1,839 ) $ 585 $ 206 $ (766 ) $ (23 ) $ - Derivatives designated as net investment hedging instruments under ASC 815: Foreign currency forward contracts - (2,979 ) - - - - $ (1,839 ) $ (2,394 ) $ 206 $ (766 ) $ (23 ) $ - The following table presents the gains (losses) recognized in “Other income (expense), net” of the Company’s derivative instruments included in the accompanying Condensed Consolidated Financial Statements for the three months ended September 30, 2018 and 2017 (in thousands) Three Months Ended September 30, 2018 2017 Derivatives not designated as hedging instruments under ASC 815: Foreign currency forward contracts $ (539 ) $ (252 ) Embedded derivatives 159 (193 ) $ (380 ) $ (445 ) The following table presents the effect of the Company’s derivative instruments included in the accompanying Condensed Consolidated Financial Statements for the nine months ended September 30, 2018 and 2017 (in thousands) Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion) Gain (Loss) Reclassified From AOCI Into "Revenues" (Effective Portion) Gain (Loss) Recognized in "Revenues" on Derivatives (Ineffective Portion and Amount Excluded from Effectiveness Testing) September 30, September 30, September 30, 2018 2017 2018 2017 2018 2017 Derivatives designated as cash flow hedging instruments under ASC 815: Foreign currency forward and option contracts $ (4,840 ) $ (881 ) $ 634 $ (2,346 ) $ (15 ) $ - Derivatives designated as net investment hedging instruments under ASC 815: Foreign currency forward contracts - (8,352 ) - - - - $ (4,840 ) $ (9,233 ) $ 634 $ (2,346 ) $ (15 ) $ - The following table presents the gains (losses) recognized in “Other income (expense), net” of the Company’s derivative instruments included in the accompanying Condensed Consolidated Financial Statements for the nine months ended September 30, 2018 and 2017 (in thousands) Nine Months Ended September 30, 2018 2017 Derivatives not designated as hedging instruments under ASC 815: Foreign currency forward contracts $ (1,801 ) $ (170 ) Embedded derivatives (6 ) 122 $ (1,807 ) $ (48 ) |
Investments Held in Rabbi Tru_2
Investments Held in Rabbi Trust (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Investments Debt And Equity Securities [Abstract] | |
Investments Held in Rabbi Trust, Classified as Trading | The Company’s investments held in rabbi trust, classified as trading securities and included in “Other current assets” in the accompanying Condensed Consolidated Balance Sheets, at fair value, consist of the following (in thousands): September 30, 2018 December 31, 2017 Cost Fair Value Cost Fair Value Mutual funds $ 8,588 $ 12,569 $ 8,096 $ 11,627 |
Components of Investment Income (Losses), Included in Other Income (Expense), Net in Accompanying Consolidated Statements of Operations | The mutual funds held in rabbi trust were 73% equity-based and 27% debt-based as of September 30, 2018. Net investment income (losses), included in “Other income (expense), net” in the accompanying Condensed Consolidated Statements of Operations consists of the following (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Net realized gains (losses) from sale of trading securities $ 10 $ 13 $ 42 $ 162 Dividend and interest income 31 28 99 67 Net unrealized holding gains (losses) 366 401 383 943 Net investment income (losses) $ 407 $ 442 $ 524 $ 1,172 |
Deferred Grants (Tables)
Deferred Grants (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Text Block [Abstract] | |
Schedule of Deferred Grants, Net of Accumulated Amortization | Deferred grants, net of accumulated amortization, consist of the following (in thousands): September 30, 2018 December 31, 2017 Property grants $ 2,460 $ 2,843 Lease grants 397 507 Employment grants 39 61 Total deferred grants 2,896 3,411 Less: Property grants - short-term (1),(2) (393 ) - Less: Lease grants - short-term (1) (111 ) (117 ) Less: Employment grants - short-term (1) (39 ) (61 ) Total long-term deferred grants $ 2,353 $ 3,233 (1) (2) |
Borrowings (Tables)
Borrowings (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Debt Disclosure [Abstract] | |
Information Related to Credit Agreements | The following table presents information related to our credit agreements (dollars in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Average daily utilization $ 101,087 $ 267,000 $ 107,454 $ 267,000 Interest expense (1), (2) $ 923 $ 1,772 $ 2,839 $ 4,815 Weighted average interest rate (2) 3.6 % 2.6 % 3.6 % 2.4 % (1) (2) |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Equity [Abstract] | |
Components of Accumulated Other Comprehensive Income (Loss) | The components of accumulated other comprehensive income (loss) consist of the following (in thousands): Foreign Currency Translation Adjustments Unrealized Gain (Loss) on Net Investment Hedge Unrealized Gain (Loss) on Cash Flow Hedging Instruments Unrealized Actuarial Gain (Loss) Related to Pension Liability Unrealized Gain (Loss) on Postretirement Obligation Total Balance at January 1, 2017 $ (72,393 ) $ 6,266 $ (2,225 ) $ 1,125 $ 200 $ (67,027 ) Pre-tax amount 36,101 (8,352 ) 2,276 527 (30 ) 30,522 Tax (provision) benefit - 3,132 (54 ) (18 ) - 3,060 Reclassification of (gain) loss to net income - - 2,444 (53 ) (50 ) 2,341 Foreign currency translation (23 ) - 30 (7 ) - - Balance at December 31, 2017 (36,315 ) 1,046 2,471 1,574 120 (31,104 ) Pre-tax amount (15,757 ) - (4,855 ) - - (20,612 ) Tax (provision) benefit - - 201 57 - 258 Reclassification of (gain) loss to net income - - (662 ) (51 ) (104 ) (817 ) Foreign currency translation 274 - (155 ) (119 ) - - Balance at September 30, 2018 $ (51,798 ) $ 1,046 $ (3,000 ) $ 1,461 $ 16 $ (52,275 ) |
Amounts Reclassified to Net Income from Accumulated Other Comprehensive Income (Loss) | The following table summarizes the amounts reclassified to net income from accumulated other comprehensive income (loss) and the associated line item in the accompanying Condensed Consolidated Statements of Operations (in thousands): Three Months Ended September 30, Nine Months Ended September 30, Statements Operations 2018 2017 2018 2017 Location Gain (loss) on cash flow hedging instruments: (1) Pre-tax amount $ 183 $ (766 ) $ 619 $ (2,346 ) Revenues Tax (provision) benefit 19 25 43 83 Income taxes Reclassification to net income 202 (741 ) 662 (2,263 ) Actuarial gain (loss) related to pension liability: (2) Pre-tax amount 13 10 42 31 Other Tax (provision) benefit 3 - 9 - Income taxes Reclassification to net income 16 10 51 31 Gain (loss) on postretirement obligation: (2),(3) Reclassification to net income 84 12 104 37 Other Total reclassification of gain (loss) to net income $ 302 $ (719 ) $ 817 $ (2,195 ) (1) (2) (3) |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Earnings Per Share [Abstract] | |
Numbers of Shares Used in Earnings Per Share Computation | The numbers of shares used in the earnings per share computation are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Basic: Weighted average common shares outstanding 42,136 41,879 42,070 41,800 Diluted: Dilutive effect of stock appreciation rights, restricted stock, restricted stock units and shares held in rabbi trust 68 154 131 206 Total weighted average diluted shares outstanding 42,204 42,033 42,201 42,006 Anti-dilutive shares excluded from the diluted earnings per share calculation 23 14 11 16 |
Commitments and Loss Continge_2
Commitments and Loss Contingency (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
Schedule of Future Minimum Rental Payments for Operating Leases | The following is a schedule of future minimum rental payments required under operating leases that have noncancelable lease terms as of September 30, 2018, including the impact of the leases assumed in connection with the acquisition of WhistleOut (in thousands): Amount 2018 (remaining three months) $ 579 2019 8,777 2020 9,319 2021 9,425 2022 8,621 2023 3,698 2024 and thereafter 8,321 $ 48,740 |
Schedule of Future Minimum Purchases Remaining under Agreements | The following is a schedule of the future minimum purchases remaining under the agreements as of September 30, 2018, including the impact of purchase commitments assumed in connection with the acquisition of WhistleOut (in thousands): Amount 2018 (remaining three months) $ 7,856 2019 9,434 2020 3,730 2021 193 2022 - 2023 - 2024 and thereafter - $ 21,213 |
Defined Benefit Pension Plan _2
Defined Benefit Pension Plan and Postretirement Benefits (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Compensation And Retirement Disclosure [Abstract] | |
Net Periodic Benefit Cost and Other Accumulated Comprehensive Income for Pension Plans | The following table provides information about the net periodic benefit cost for the Company’s pension plans (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Service cost $ 106 $ 118 $ 329 $ 371 Interest cost 46 46 144 144 Recognized actuarial (gains) (13 ) (10 ) (42 ) (31 ) $ 139 $ 154 $ 431 $ 484 |
Company's Contributions to Employee Retirement Savings Plans | The Company’s contributions included in the accompanying Condensed Consolidated Statements of Operations were as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 401(k) plan contributions $ 392 $ 484 $ 1,195 $ 1,104 |
Post-Retirement Benefit Obligation and Unrealized Gain (Losses) | The postretirement benefit obligation included in “Other long-term liabilities” and the unrealized gains (losses) included in “Accumulated other comprehensive income” in the accompanying Condensed Consolidated Balance Sheets were as follows (in thousands): September 30, 2018 December 31, 2017 Postretirement benefit obligation $ 15 $ 15 Unrealized gains (losses) in AOCI (1) 16 120 (1) |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Stock-Based Compensation Expense, Income Tax Benefits Related to Stock-Based Compensation and Excess Tax Benefits (Provision) Recorded by Company | The following table summarizes the stock-based compensation expense (primarily in the Americas) and income tax benefits related to the stock-based compensation (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Stock-based compensation reversal (expense) (1) $ (1,567 ) $ 303 $ (5,317 ) $ (4,429 ) Income tax benefit (2) 376 (161 ) 1,276 1,661 (1) (2) |
Stock Appreciation Rights (SARs) [Member] | 2011 Equity Incentive Plan [Member] | |
Summary of Assumptions Used to Estimate Fair Value | The following table summarizes the assumptions used to estimate the fair value of SARS granted: Nine Months Ended September 30, 2018 2017 Expected volatility 21.4 % 19.3 % Weighted-average volatility 21.4 % 19.3 % Expected dividend rate 0.0 % 0.0 % Expected term (in years) 5.0 5.0 Risk-free rate 2.5 % 1.9 % |
Summary of Stock Appreciation Rights Activity | The following table summarizes SARs activity as of September 30, 2018 and for the nine months then ended: Stock Appreciation Rights Shares (000s) Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Aggregate Intrinsic Value (000s) Outstanding at January 1, 2018 734 $ - Granted 333 $ - Exercised (50 ) $ - Forfeited or expired (43 ) $ - Outstanding at September 30, 2018 974 $ - 8.4 $ 1,909 Vested or expected to vest at September 30, 2018 974 $ - 8.4 $ 1,909 Exercisable at September 30, 2018 356 $ - 7.3 $ 914 |
Summary of Weighted Average Grant-Date Fair Value of Common Stock Units and Share Awards Granted and Vested | The following table summarizes information regarding SARs granted and exercised (in thousands, except per SAR amounts): Nine Months Ended September 30, 2018 2017 Number of SARs granted 333 396 Weighted average grant-date fair value per SAR $ 6.84 $ 6.24 Intrinsic value of SARs exercised $ 316 $ 1,678 Fair value of SARs vested $ 1,950 $ 1,846 |
Summary of Nonvested Common Stock Units and Share Awards | The following table summarizes nonvested SARs activity as of September 30, 2018 and for the nine months then ended: Nonvested Stock Appreciation Rights Shares (000s) Weighted Average Grant-Date Fair Value Nonvested at January 1, 2018 600 $ 6.88 Granted 333 $ 6.84 Vested (272 ) $ 7.16 Forfeited or expired (43 ) $ 6.75 Nonvested at September 30, 2018 618 $ 6.74 |
Restricted Shares and Restricted Stock Units (RSU's) [Member] | 2011 Equity Incentive Plan [Member] | |
Summary of Weighted Average Grant-Date Fair Value of Common Stock Units and Share Awards Granted and Vested | The following table summarizes information regarding restricted shares/RSUs granted and vested (in thousands, except per restricted share/RSU amounts): Nine Months Ended September 30, 2018 2017 Number of restricted shares/RSUs granted 492 480 Weighted average grant-date fair value per restricted share/RSU $ 28.16 $ 29.42 Fair value of restricted shares/RSUs vested $ 8,342 $ 6,868 |
Summary of Nonvested Common Stock Units and Share Awards | The following table summarizes nonvested restricted shares/RSUs activity as of September 30, 2018 and for the nine months then ended: Nonvested Restricted Shares and RSUs Shares (000s) Weighted Average Grant-Date Fair Value Nonvested at January 1, 2018 1,109 $ 28.50 Granted 492 $ 28.16 Vested (323 ) $ 25.78 Forfeited or expired (123 ) $ 28.15 Nonvested at September 30, 2018 1,155 $ 29.15 |
Common Stock Awards [Member] | Non-Employee Director Fee Plan [Member] | |
Summary of Weighted Average Grant-Date Fair Value of Common Stock Units and Share Awards Granted and Vested | The following table summarizes information regarding common stock share awards granted and vested (in thousands, except per share award amounts): Nine Months Ended September 30, 2018 2017 Number of share awards granted 34 24 Weighted average grant-date fair value per share award $ 27.68 $ 32.93 Fair value of share awards vested $ 665 $ 640 |
Summary of Nonvested Common Stock Units and Share Awards | The following table summarizes nonvested common stock share award activity as of September 30, 2018 and for the nine months then ended: Nonvested Common Stock Share Awards Shares (000s) Weighted Average Grant-Date Fair Value Nonvested at January 1, 2018 8 $ 32.21 Granted 34 $ 27.68 Vested (23 ) $ 29.15 Forfeited or expired (2 ) $ 27.68 Nonvested at September 30, 2018 17 $ 27.73 |
Common Stock Awards [Member] | Deferred Compensation Plan [Member] | |
Summary of Weighted Average Grant-Date Fair Value of Common Stock Units and Share Awards Granted and Vested | The following table summarizes information regarding shares of common stock granted and vested (in thousands, except per common stock amounts): Nine Months Ended September 30, 2018 2017 Number of shares of common stock granted 13 12 Weighted average grant-date fair value per common stock $ 29.23 $ 30.39 Fair value of common stock vested $ 281 $ 310 Cash used to settle the obligation $ 672 $ 590 |
Summary of Nonvested Common Stock Units and Share Awards | The following table summarizes nonvested common stock activity as of September 30, 2018 and for the nine months then ended: Nonvested Common Stock Shares (000s) Weighted Average Grant-Date Fair Value Nonvested at January 1, 2018 3 $ 29.56 Granted 13 $ 29.23 Vested (9 ) $ 28.92 Forfeited or expired - $ - Nonvested at September 30, 2018 7 $ 29.85 |
Segments and Geographic Infor_2
Segments and Geographic Information (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Segment Reporting [Abstract] | |
Company's Reportable Segments | Information about the Company’s reportable segments is as follows (in thousands): Americas EMEA Other (1) Consolidated Three Months Ended September 30, 2018: Revenues $ 328,762 $ 70,543 $ 28 $ 399,333 Percentage of revenues 82.3 % 17.7 % 0.0 % 100.0 % Depreciation, net $ 11,838 $ 1,473 $ 761 $ 14,072 Amortization of intangibles $ 3,439 $ 199 $ - $ 3,638 Income (loss) from operations $ 25,666 $ 5,098 $ (16,318 ) $ 14,446 Total other income (expense), net (66 ) (66 ) Income taxes (628 ) (628 ) Net income $ 13,752 Three Months Ended September 30, 2017: Revenues $ 341,334 $ 65,957 $ 18 $ 407,309 Percentage of revenues 83.8 % 16.2 % 0.0 % 100.0 % Depreciation, net $ 12,064 $ 1,375 $ 788 $ 14,227 Amortization of intangibles $ 5,081 $ 212 $ - $ 5,293 Income (loss) from operations $ 35,932 $ 4,523 $ (14,190 ) $ 26,265 Total other income (expense), net (1,824 ) (1,824 ) Income taxes (2,746 ) (2,746 ) Net income $ 21,695 Nine Months Ended September 30, 2018: Revenues $ 996,524 $ 213,890 $ 75 $ 1,210,489 Percentage of revenues 82.3 % 17.7 % 0.0 % 100.0 % Depreciation, net $ 36,856 $ 4,360 $ 2,252 $ 43,468 Amortization of intangibles $ 10,846 $ 634 $ - $ 11,480 Income (loss) from operations $ 71,354 $ 11,957 $ (48,121 ) $ 35,190 Total other income (expense), net (2,457 ) (2,457 ) Income taxes (855 ) (855 ) Net income $ 31,878 Nine Months Ended September 30, 2017: Revenues $ 977,136 $ 189,564 $ 61 $ 1,166,761 Percentage of revenues 83.8 % 16.2 % 0.0 % 100.0 % Depreciation, net $ 35,374 $ 3,815 $ 2,206 $ 41,395 Amortization of intangibles $ 15,048 $ 726 $ - $ 15,774 Income (loss) from operations $ 100,031 $ 12,266 $ (48,651 ) $ 63,646 Total other income (expense), net (3,483 ) (3,483 ) Income taxes (10,911 ) (10,911 ) Net income $ 49,252 (1) |
Operations by Geographic Location | The following table represents a disaggregation of revenue from contracts with customers by geographic location and by the reportable segment for each category (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Americas: United States $ 161,429 $ 166,527 $ 498,523 $ 471,825 The Philippines 57,953 62,958 174,610 178,277 Costa Rica 33,120 32,882 96,168 99,131 Canada 25,549 28,423 77,566 85,165 El Salvador 20,732 19,792 61,327 56,506 People's Republic of China 8,337 9,659 25,834 28,201 Australia 8,619 7,634 24,021 20,724 Mexico 6,221 6,540 18,171 17,981 Other 6,802 6,919 20,304 19,326 Total Americas 328,762 341,334 996,524 977,136 EMEA: Germany 22,448 20,396 69,027 59,290 Sweden 13,422 14,639 41,226 42,983 United Kingdom 12,333 10,166 37,640 29,306 Romania 8,704 7,157 25,031 20,235 Other 13,636 13,599 40,966 37,750 Total EMEA 70,543 65,957 213,890 189,564 Total Other 28 18 75 61 $ 399,333 $ 407,309 $ 1,210,489 $ 1,166,761 |
Other Income (Expense) (Tables)
Other Income (Expense) (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Other Income And Expenses [Abstract] | |
Other Income (Expense), Net | Other income (expense), net consists of the following (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2018 2017 2018 2017 Foreign currency transaction gains (losses) $ 1,066 $ (77 ) $ 3,155 $ 567 Gains (losses) on derivative instruments not designated as hedges (380 ) (445 ) (1,807 ) (48 ) Other miscellaneous income (expense) 233 550 (811 ) 1,115 $ 919 $ 28 $ 537 $ 1,634 |
Overview and Basis of Present_4
Overview and Basis of Presentation - Additional Information (Detail) $ in Thousands, £ in Millions, $ in Millions | Nov. 01, 2018USD ($) | Nov. 01, 2018GBP (£) | Oct. 18, 2018 | Oct. 17, 2018USD ($) | Jul. 09, 2018USD ($) | Jul. 09, 2018AUD ($) | May 31, 2017USD ($) | Aug. 31, 2018USD ($) | Jul. 31, 2017USD ($) | Apr. 30, 2017 | Sep. 30, 2018USD ($) | Sep. 30, 2017USD ($) | Sep. 30, 2018USD ($)Segment | Sep. 30, 2017USD ($) | Dec. 31, 2017USD ($) | Jan. 01, 2017USD ($) | Dec. 31, 2016USD ($) |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |||||||||||||||||
Number of reportable segments | Segment | 2 | ||||||||||||||||
Statutory federal income tax rate | 21.00% | 35.00% | 21.00% | 35.00% | |||||||||||||
Goodwill, net | $ 268,075 | $ 268,075 | $ 269,265 | $ 265,404 | |||||||||||||
Proceeds from issuance of long-term debt | 27,000 | ||||||||||||||||
Equity method investment paid | 5,000 | $ 5,012 | |||||||||||||||
Increase in cash, cash equivalents and restricted cash | 158,319 | $ 329,206 | 158,319 | 329,206 | 344,805 | 267,594 | |||||||||||
Accounting Standards Update 2016-18 [Member] | |||||||||||||||||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |||||||||||||||||
Increase in cash, cash equivalents and restricted cash | 1,100 | 1,000 | 1,100 | 1,000 | $ 900 | ||||||||||||
XSell Technologies Inc [Member] | |||||||||||||||||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |||||||||||||||||
Equity method investment, ownership percentage | 32.80% | ||||||||||||||||
Equity method investment paid | $ 5,000 | $ 5,000 | |||||||||||||||
XSell Technologies Inc [Member] | Other Income (Expense), Net [Member] | |||||||||||||||||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |||||||||||||||||
Income (loss) from equity method investments | (200) | (400) | |||||||||||||||
XSell Technologies Inc [Member] | Other Income (Expense), Net [Member] | Maximum [Member] | |||||||||||||||||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |||||||||||||||||
Income (loss) from equity method investments | $ (100) | $ (100) | |||||||||||||||
Deferred Charges and Other Assets [Member] | XSell Technologies Inc [Member] | |||||||||||||||||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |||||||||||||||||
Equity method investment | $ 10,000 | 9,400 | 9,400 | 9,800 | |||||||||||||
Subsequent Event [Member] | Slaughter Lawsuit [Member] | |||||||||||||||||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |||||||||||||||||
Outstanding legal action settlement, amount | $ 1,200 | ||||||||||||||||
Litigation verbal settlement agreement date | October 17, 2018 | ||||||||||||||||
Americas [Member] | |||||||||||||||||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |||||||||||||||||
Goodwill, net | $ 257,784 | $ 257,784 | $ 258,496 | $ 255,842 | |||||||||||||
Global 2000 Telecommunications Services Provider [Member] | Americas [Member] | |||||||||||||||||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |||||||||||||||||
Date of Acquisition agreement | Apr. 30, 2017 | ||||||||||||||||
Payments to acquire businesses, gross | $ 7,500 | ||||||||||||||||
Property and equipment acquired | 6,000 | ||||||||||||||||
Effective date of acquisition | May 31, 2017 | ||||||||||||||||
Global 2000 Telecommunications Services Provider [Member] | Americas [Member] | Customer Relationships [Member] | |||||||||||||||||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |||||||||||||||||
Intangibles acquired | $ 1,500 | ||||||||||||||||
WhistleOut [Member] | |||||||||||||||||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |||||||||||||||||
Payments to acquire businesses, gross | $ 22,400 | $ 30.2 | |||||||||||||||
Property and equipment acquired | $ 2,400 | ||||||||||||||||
Effective date of acquisition | Jul. 9, 2018 | Jul. 9, 2018 | |||||||||||||||
Business combination intangible assets, primarily indefinite-lived domain names acquired | $ 16,500 | ||||||||||||||||
Goodwill, net | $ 2,200 | ||||||||||||||||
Earnout period | 3 years | 3 years | |||||||||||||||
Earnout | $ 14 | ||||||||||||||||
WhistleOut [Member] | Current Credit Agreement [Member] | |||||||||||||||||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |||||||||||||||||
Proceeds from issuance of long-term debt | $ 22,000 | ||||||||||||||||
Symphony [Member] | Subsequent Event [Member] | |||||||||||||||||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |||||||||||||||||
Date of Acquisition agreement | Oct. 18, 2018 | ||||||||||||||||
Payments to acquire businesses, gross | $ 57,600 | £ 44.6 | |||||||||||||||
Effective date of acquisition | Nov. 1, 2018 | Nov. 1, 2018 | |||||||||||||||
Earnout period | 3 years | 3 years | |||||||||||||||
Aggregate purchase price | $ 67,900 | £ 52.6 | |||||||||||||||
Symphony [Member] | Current Credit Agreement [Member] | Subsequent Event [Member] | |||||||||||||||||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |||||||||||||||||
Proceeds from issuance of long-term debt | $ 31,000 | ||||||||||||||||
US Federal Rate Prior To The 2017 Tax Reform Act [Member] | |||||||||||||||||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |||||||||||||||||
Statutory federal income tax rate | 35.00% | 35.00% | 35.00% | ||||||||||||||
US 2017 Tax Reform Act [Member] | |||||||||||||||||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |||||||||||||||||
Statutory federal income tax rate | 21.00% | 21.00% |
Overview and Basis of Present_5
Overview and Basis of Presentation - Summary of Cash and Cash Equivalents and Restricted Cash (Detail) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Dec. 31, 2016 |
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Cash and cash equivalents | $ 157,268 | $ 343,734 | $ 328,166 | $ 266,675 |
Cash and Cash Equivalents and Restricted Cash | 158,319 | 344,805 | 329,206 | 267,594 |
Other Current Assets [Member] | ||||
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Restricted cash included in "Other current assets" | 158 | 154 | 107 | 160 |
Deferred Charges and Other Assets [Member] | ||||
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Restricted cash included in "Deferred charges and other assets" | $ 893 | $ 917 | $ 933 | $ 759 |
Overview and Basis of Present_6
Overview and Basis of Presentation - Schedule of Total Advertising Costs Included in Condensed Consolidated Statements of Operations (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Direct Salaries and Related Costs [Member] | ||||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | ||||
Customer-acquisition advertising costs included in "Direct salaries and related costs" | $ 13,907 | $ 9,188 | $ 35,835 | $ 27,599 |
General and Administrative [Member] | ||||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | ||||
Customer-acquisition advertising costs included in "Direct salaries and related costs" | $ 24 | $ 18 | $ 35 | $ 79 |
Overview and Basis of Present_7
Overview and Basis of Presentation - Schedule of Impact of Adopting ASU 2017-07 on Statement of Operations (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||||
Direct salaries and related costs | $ 261,474 | $ 267,489 | $ 801,470 | $ 763,240 |
General and administrative | 105,148 | 93,355 | 309,625 | 277,635 |
Income from operations | 14,446 | 26,265 | 35,190 | 63,646 |
Other income (expense), net | $ 919 | 28 | $ 537 | 1,634 |
As Previously Reported [Member] | ||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||||
Direct salaries and related costs | 267,516 | 763,324 | ||
General and administrative | 93,364 | 277,664 | ||
Income from operations | 26,229 | 63,533 | ||
Other income (expense), net | 64 | 1,747 | ||
Accounting Standards Update 2017-07 [Member] | Adjustments Due to the Adoption of ASU 2017-07 [Member] | ||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||||
Direct salaries and related costs | (27) | (84) | ||
General and administrative | (9) | (29) | ||
Income from operations | 36 | 113 | ||
Other income (expense), net | $ (36) | $ (113) |
Revenues - Additional Informati
Revenues - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Jan. 01, 2018 | |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Revenue, performance obligation satisfied over time, method used, description | The Company recognizes revenues over time using output methods such as a per minute, per hour, per call, per transaction or per time and materials basis. | ||||
Stated contract term | 30 days to six years | ||||
Non-cancelable contract term | Varying periods up to 180 days | ||||
Description of payment terms | The Company’s primary billing terms are that payment is due within 30 or 60 days of the invoice date. | ||||
Percentage of revenue | 100.00% | 100.00% | 100.00% | 100.00% | |
Deferred revenue recognized in the period | $ 100 | $ 4,300 | |||
Revenue remaining performance obligation expected timing of satisfaction explanation | The Company expects to recognize the majority of its deferred revenue as of September 30, 2018 over the next 180 days. | ||||
Refund liabilities timing of resolution explanation | Refund liabilities are generally resolved in 180 days, once it is determined whether the requisite service levels and client requirements were achieved to settle the contingency. | ||||
Other Revenues [Member] | |||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Percentage of revenue | 0.50% | 0.50% | 0.50% | 0.50% | |
Accounting Standards Update 2014-09 [Member] | |||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Retained earnings | $ 3,019 | $ 3,019 | |||
Accounting Standards Update 2014-09 [Member] | Retained Earnings [Member] | |||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Retained earnings | $ 3,019 | $ 3,019 | $ 3,000 |
Revenues - Summary of Impact of
Revenues - Summary of Impact of Adoption of Accounting Standards (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Jan. 01, 2018 | Dec. 31, 2017 | |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||||
Receivables, net | $ 353,909 | $ 353,909 | $ 342,783 | $ 341,958 | ||
Deferred charges and other assets | 33,946 | 33,946 | 31,238 | 29,193 | ||
Income taxes payable | 355 | 355 | 3,303 | 2,606 | ||
Deferred revenue and customer liabilities | 31,322 | 31,322 | 33,669 | 34,717 | ||
Other long-term liabilities | 24,832 | 24,832 | 22,241 | 22,039 | ||
Retained earnings | 581,740 | 581,740 | 549,862 | $ 546,843 | ||
Revenues | 399,333 | $ 407,309 | 1,210,489 | $ 1,166,761 | ||
Income from operations | 14,446 | 26,265 | 35,190 | 63,646 | ||
Income before income taxes | 14,380 | 24,441 | 32,733 | 60,163 | ||
Income taxes | 628 | 2,746 | 855 | 10,911 | ||
Net income | $ 13,752 | $ 21,695 | $ 31,878 | $ 49,252 | ||
Net income per common share: | ||||||
Basic | $ 0.33 | $ 0.52 | $ 0.76 | $ 1.18 | ||
Diluted | $ 0.33 | $ 0.52 | $ 0.76 | $ 1.17 | ||
Effect of Adoption Increase (Decrease) [Member] | Accounting Standards Update 2014-09 [Member] | ||||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||||
Receivables, net | $ 2,610 | $ 2,610 | 825 | |||
Deferred charges and other assets | 5,921 | 5,921 | 2,045 | |||
Income taxes payable | 2,082 | 2,082 | 697 | |||
Deferred revenue and customer liabilities | (2,662) | (2,662) | (1,048) | |||
Other long-term liabilities | 417 | 417 | 202 | |||
Retained earnings | 8,694 | 8,694 | $ 3,019 | |||
Revenues | 1,990 | 7,387 | ||||
Income from operations | 1,990 | 7,387 | ||||
Income before income taxes | 1,990 | 7,387 | ||||
Income taxes | 447 | 1,712 | ||||
Net income | $ 1,543 | $ 5,675 | ||||
Net income per common share: | ||||||
Basic | $ 0.04 | $ 0.14 | ||||
Diluted | $ 0.04 | $ 0.14 | ||||
Balances Without the Impact of the ASC 606 Adoption [Member] | Accounting Standards Update 2014-09 [Member] | ||||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||||
Receivables, net | $ 351,299 | $ 351,299 | ||||
Deferred charges and other assets | 28,025 | 28,025 | ||||
Income taxes payable | (1,727) | (1,727) | ||||
Deferred revenue and customer liabilities | 33,984 | 33,984 | ||||
Other long-term liabilities | 24,415 | 24,415 | ||||
Retained earnings | 573,046 | 573,046 | ||||
Revenues | 397,343 | 1,203,102 | ||||
Income from operations | 12,456 | 27,803 | ||||
Income before income taxes | 12,390 | 25,346 | ||||
Income taxes | 181 | (857) | ||||
Net income | $ 12,209 | $ 26,203 | ||||
Net income per common share: | ||||||
Basic | $ 0.29 | $ 0.62 | ||||
Diluted | $ 0.29 | $ 0.62 |
Revenues - Revenues from Contra
Revenues - Revenues from Contracts with Customers Disaggregated by Service Type (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 399,333 | $ 407,309 | $ 1,210,489 | $ 1,166,761 |
Americas [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 328,762 | 341,334 | 996,524 | 977,136 |
Americas [Member] | Customer Engagement Solutions and Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 328,535 | 341,077 | 995,723 | 976,342 |
Americas [Member] | Other Revenues [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 227 | 257 | 801 | 794 |
EMEA [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 70,543 | 65,957 | 213,890 | 189,564 |
EMEA [Member] | Customer Engagement Solutions and Services [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 68,859 | 64,230 | 208,302 | 184,135 |
EMEA [Member] | Other Revenues [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 1,684 | 1,727 | 5,588 | 5,429 |
Other Segment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | 28 | 18 | 75 | 61 |
Other Segment [Member] | Other Revenues [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenues | $ 28 | $ 18 | $ 75 | $ 61 |
Revenues - Summary of Trade Acc
Revenues - Summary of Trade Accounts Receivable, Net (Detail) - USD ($) $ in Thousands | Sep. 30, 2018 | Jan. 01, 2018 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Trade accounts receivable, net | $ 346,457 | $ 334,092 |
Receivables Net, Current [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Trade accounts receivable, net, current | 340,391 | 332,014 |
Deferred Charges and Other Assets [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Trade accounts receivable, net, noncurrent | $ 6,066 | $ 2,078 |
Revenues - Summary of Trade A_2
Revenues - Summary of Trade Accounts Receivable, Net (Parenthetical) (Detail) - Accounting Standards Update 2014-09 [Member] - Effect of Adoption Increase (Decrease) [Member] $ in Millions | Jan. 01, 2018USD ($) |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Trade accounts receivable, net, current | $ 0.8 |
Trade accounts receivable, net, noncurrent | $ 2.1 |
Revenues - Components of Deferr
Revenues - Components of Deferred Revenue and Customer Liabilities (Detail) - USD ($) $ in Thousands | Sep. 30, 2018 | Jan. 01, 2018 | Dec. 31, 2017 |
Schedule of Deferred Revenue and Customer Liabilities [Line Items] | |||
Deferred revenue and customer liabilities | $ 31,322 | $ 33,669 | $ 34,717 |
Deferred Revenue and Customer Liabilities [Member] | |||
Schedule of Deferred Revenue and Customer Liabilities [Line Items] | |||
Deferred revenue | 4,507 | 4,598 | |
Customer arrangements with termination rights | 17,789 | 21,755 | |
Estimated refund liabilities | $ 9,026 | $ 7,316 |
Revenues - Components of Defe_2
Revenues - Components of Deferred Revenue and Customer Liabilities (Parenthetical) (Detail) $ in Millions | Jan. 01, 2018USD ($) |
Accounting Standards Update 2014-09 [Member] | Effect of Adoption Increase (Decrease) [Member] | |
Deferred Revenue and Customer Liabilities [Abstract] | |
Estimated refund liabilities | $ 1 |
Costs Associated with Exit or_3
Costs Associated with Exit or Disposal Activities - Cumulative Costs Expected and Incurred to Date Related to Cash and Non-Cash Expenditures as a Result of Exit Plan (Detail) - 2018 Exit Plan [Member] - Americas [Member] $ in Thousands | Sep. 30, 2018USD ($) |
Restructuring Cost and Reserve [Line Items] | |
Costs Expected To Be Incurred | $ 17,173 |
Cumulative Costs Incurred To Date | 16,557 |
Expected Remaining Costs | 616 |
Lease Obligations and Facility Exit Costs [Member] | General and Administrative [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Costs Expected To Be Incurred | 7,344 |
Cumulative Costs Incurred To Date | 6,860 |
Expected Remaining Costs | 484 |
Severance and Related Costs [Member] | General and Administrative [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Costs Expected To Be Incurred | 665 |
Cumulative Costs Incurred To Date | 550 |
Expected Remaining Costs | 115 |
Severance and Related Costs [Member] | Direct Salaries and Related Costs [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Costs Expected To Be Incurred | 3,434 |
Cumulative Costs Incurred To Date | 3,417 |
Expected Remaining Costs | 17 |
Non-Cash Impairment Charges [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Costs Expected To Be Incurred | 5,730 |
Cumulative Costs Incurred To Date | $ 5,730 |
Cost Associated with Exit or Di
Cost Associated with Exit or Disposal Activities - Additional Information (Detail) $ in Millions | 3 Months Ended | 9 Months Ended |
Sep. 30, 2018USD ($) | Sep. 30, 2018USD ($) | |
Restructuring Cost and Reserve [Line Items] | ||
Cash payment related to restructuring | $ 5.2 | $ 5.2 |
Increase (decrease) restructuring and related cost expected cost | $ 1.1 | |
Americas [Member] | 2018 Exit Plan [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Lease termination date | Jun. 30, 2021 |
Costs Associated with Exit or_4
Costs Associated with Exit or Disposal Activities - Summary of Accrued Liability and Related Charges (Detail) - Americas [Member] - 2018 Exit Plan [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2018 | Sep. 30, 2018 | |
Restructuring Reserve [Roll Forward] | ||
Balance at the beginning of the period | $ 3,305 | |
Cash payments | (4,649) | $ (5,209) |
Balance sheet reclassifications | 119 | 335 |
Balance at the end of the period | 5,953 | 5,953 |
Direct Salaries and Related Costs [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Restructuring charges | 3,015 | 3,417 |
General and Administrative [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Restructuring charges | 4,163 | 7,410 |
Lease Obligations and Facility Exit Costs [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Balance at the beginning of the period | 2,815 | |
Cash payments | (1,440) | (1,869) |
Balance sheet reclassifications | 119 | 335 |
Balance at the end of the period | 5,326 | 5,326 |
Lease Obligations and Facility Exit Costs [Member] | General and Administrative [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Restructuring charges | 3,832 | 6,860 |
Severance and Related Costs [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Balance at the beginning of the period | 490 | 0 |
Cash payments | (3,209) | (3,340) |
Balance at the end of the period | 627 | 627 |
Severance and Related Costs [Member] | Direct Salaries and Related Costs [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Restructuring charges | 3,015 | 3,417 |
Severance and Related Costs [Member] | General and Administrative [Member] | ||
Restructuring Reserve [Roll Forward] | ||
Restructuring charges | $ 331 | $ 550 |
Costs Associated with Exit or_5
Costs Associated with Exit or Disposal Activities - Summary of Company's Short-term and Long-term Accrued Liability with Exit Plan (Detail) - 2018 Exit Plan [Member] - Americas [Member] - USD ($) $ in Thousands | Sep. 30, 2018 | Jun. 30, 2018 |
Restructuring Cost and Reserve [Line Items] | ||
Ending accrual at September 30, 2018 | $ 5,953 | $ 3,305 |
Other Accrued Expenses and Current Liabilities [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Short-term accrued restructuring liability | 4,491 | |
Accrued Employee Compensation and Benefits [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Short-term accrued restructuring liability | 627 | |
Other Long-Term Liabilities [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Long-term accrued restructuring liability | $ 835 |
Fair Value - Additional Informa
Fair Value - Additional Information (Detail) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||
May 31, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Payments of contingent consideration related to acquisitions | $ 4,760 | ||||
Impairment charge | $ 555 | $ 680 | $ 9,256 | 5,071 | |
Land [Member] | Property and Equipment [Member] | United States [Member] | Americas [Member] | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Impairment charge | 200 | ||||
Costumer Contact Management Center [Member] | Leasehold Improvements Equipment Furniture and Fixtures [Member] | Property and Equipment [Member] | U.S. and Canada [Member] | Americas [Member] | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Impairment charge | $ 600 | 700 | $ 9,300 | 4,900 | |
Qelp [Member] | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Payments of contingent consideration related to acquisitions | $ 4,400 | 4,400 | |||
Qelp [Member] | Measurement Input, Discount Rate [Member] | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Fair value discount rate | 14.00% | 14.00% | |||
Clearlink [Member] | General and Administrative [Member] | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Fair value gain (loss) adjustments on contingent consideration | (96) | 605 | |||
Clearlink [Member] | General and Administrative [Member] | (Gain) Loss Due to Changes in the Probability of Achievement of Revenue Targets [Member] | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Fair value gain (loss) adjustments on contingent consideration | $ (100) | $ 600 | |||
Clearlink [Member] | Measurement Input, Discount Rate [Member] | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Fair value discount rate | 10.00% | 10.00% |
Fair Value - Assets and Liabili
Fair Value - Assets and Liabilities Measured at Fair Value on a Recurring Basis (Detail) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Assets: | ||
Derivative Assets | $ 309 | $ 3,900 |
Total assets | 12,878 | 15,527 |
Liabilities: | ||
Derivative Liabilities | 3,589 | 835 |
Total liabilities | 3,589 | 835 |
Foreign Currency Forward and Option Contracts [Member] | Other Current Assets, Deferred Charges and Other Assets [Member] | ||
Assets: | ||
Derivative Assets | 307 | 3,848 |
Foreign Currency Forward and Option Contracts [Member] | Other Long-Term Liabilities and Other Accrued Expenses and Current Liabilities [Member] | ||
Liabilities: | ||
Derivative Liabilities | 3,185 | 256 |
Embedded Derivatives [Member] | Other Current Assets, Deferred Charges and Other Assets [Member] | ||
Assets: | ||
Derivative Assets | 2 | 52 |
Embedded Derivatives [Member] | Other Long-Term Liabilities and Other Accrued Expenses and Current Liabilities [Member] | ||
Liabilities: | ||
Derivative Liabilities | 404 | 579 |
Equity Investments Held in Rabbi Trust for the Deferred Compensation Plan [Member] | Other Current Assets [Member] | ||
Assets: | ||
Investments held in rabbi trust for the Deferred Compensation Plan | 9,116 | 8,094 |
Debt Investments Held in Rabbi Trust for the Deferred Compensation Plan [Member] | Other Current Assets [Member] | ||
Assets: | ||
Investments held in rabbi trust for the Deferred Compensation Plan | 3,453 | 3,533 |
Quoted Prices in Active Markets For Identical Assets Level 1 [Member] | ||
Assets: | ||
Total assets | 12,569 | 11,627 |
Quoted Prices in Active Markets For Identical Assets Level 1 [Member] | Equity Investments Held in Rabbi Trust for the Deferred Compensation Plan [Member] | Other Current Assets [Member] | ||
Assets: | ||
Investments held in rabbi trust for the Deferred Compensation Plan | 9,116 | 8,094 |
Quoted Prices in Active Markets For Identical Assets Level 1 [Member] | Debt Investments Held in Rabbi Trust for the Deferred Compensation Plan [Member] | Other Current Assets [Member] | ||
Assets: | ||
Investments held in rabbi trust for the Deferred Compensation Plan | 3,453 | 3,533 |
Significant Other Observable Inputs Level 2 [Member] | ||
Assets: | ||
Total assets | 307 | 3,848 |
Liabilities: | ||
Total liabilities | 3,185 | 256 |
Significant Other Observable Inputs Level 2 [Member] | Foreign Currency Forward and Option Contracts [Member] | Other Current Assets, Deferred Charges and Other Assets [Member] | ||
Assets: | ||
Derivative Assets | 307 | 3,848 |
Significant Other Observable Inputs Level 2 [Member] | Foreign Currency Forward and Option Contracts [Member] | Other Long-Term Liabilities and Other Accrued Expenses and Current Liabilities [Member] | ||
Liabilities: | ||
Derivative Liabilities | 3,185 | 256 |
Significant Unobservable Inputs Level 3 [Member] | ||
Assets: | ||
Total assets | 2 | 52 |
Liabilities: | ||
Total liabilities | 404 | 579 |
Significant Unobservable Inputs Level 3 [Member] | Embedded Derivatives [Member] | Other Current Assets, Deferred Charges and Other Assets [Member] | ||
Assets: | ||
Derivative Assets | 2 | 52 |
Significant Unobservable Inputs Level 3 [Member] | Embedded Derivatives [Member] | Other Long-Term Liabilities and Other Accrued Expenses and Current Liabilities [Member] | ||
Liabilities: | ||
Derivative Liabilities | $ 404 | $ 579 |
Fair Value - Rollforward of Net
Fair Value - Rollforward of Net Asset (Liability) Activity of Fair Value of Embedded Derivatives (Detail) - Embedded Derivatives [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Balance at the beginning of the period | $ (598) | $ (171) | $ (527) | $ (555) |
Settlements | 38 | 66 | 118 | 134 |
Effect of foreign currency | (1) | (2) | 13 | (1) |
Balance at the end of the period | (402) | (300) | (402) | (300) |
Other Income (Expense), Net [Member] | ||||
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Input Reconciliation [Roll Forward] | ||||
Gains (losses) recognized in "Other income (expense), net" | 159 | (193) | (6) | 122 |
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Abstract] | ||||
Change in unrealized gains (losses) included in "Other income (expense), net" related to embedded derivatives held at the end of the period | $ 153 | $ (193) | $ (19) | $ 122 |
Fair Value - Rollforward of Fai
Fair Value - Rollforward of Fair Value of Contingent Consideration (Liability) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2017 | Sep. 30, 2017 | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Contingent consideration (liability), Beginning Balance | $ (1,127) | $ (6,100) |
Imputed interest | (8) | (76) |
Settlements | 232 | 4,760 |
Effect of foreign currency | (1) | (189) |
Contingent Consideration (liability), Ending Balance | (1,000) | (1,000) |
Clearlink [Member] | General and Administrative [Member] | ||
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Fair value gain (loss) adjustments | $ (96) | $ 605 |
Fair Value - Summary of Total I
Fair Value - Summary of Total Impairment Losses Related to Nonrecurring Fair Value Measurements of Certain Assets (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||||
Impairment of long-lived assets | $ (555) | $ (680) | $ (9,256) | $ (5,071) |
Significant Unobservable Inputs Level 3 [Member] | Fair Value, Measurements, Nonrecurring [Member] | Property and Equipment [Member] | Americas [Member] | ||||
Fair Value Of Assets And Liabilities Measured On Non Recurring Basis [Line Items] | ||||
Impairment of long-lived assets | $ (555) | $ (680) | $ (9,256) | $ (5,071) |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Company's Purchased Intangible Assets (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018 | Dec. 31, 2017 | |
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Intangibles | $ 269,258 | $ 246,428 |
Accumulated Amortization | (116,948) | (106,151) |
Net Intangibles | $ 152,310 | $ 140,277 |
Weighted Average Amortization Period (years) | 4 years | 6 years |
Customer Relationships [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Intangibles | $ 170,449 | $ 170,853 |
Accumulated Amortization | (104,144) | (95,175) |
Net Intangibles | $ 66,305 | $ 75,678 |
Weighted Average Amortization Period (years) | 10 years | 10 years |
Trade Name and Trademarks [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Intangibles | $ 14,135 | $ 14,138 |
Accumulated Amortization | (10,070) | (8,797) |
Net Intangibles | $ 4,065 | $ 5,341 |
Weighted Average Amortization Period (years) | 7 years | 7 years |
Non-Compete Agreements [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Intangibles | $ 2,037 | $ 1,820 |
Accumulated Amortization | (1,520) | (1,052) |
Net Intangibles | $ 517 | $ 768 |
Weighted Average Amortization Period (years) | 3 years | 3 years |
Content Library [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Intangibles | $ 524 | $ 542 |
Accumulated Amortization | $ (524) | $ (542) |
Weighted Average Amortization Period (years) | 2 years | 2 years |
Proprietary Software [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Intangibles | $ 1,040 | $ 1,040 |
Accumulated Amortization | (690) | (585) |
Net Intangibles | $ 350 | $ 455 |
Weighted Average Amortization Period (years) | 4 years | 4 years |
Domain Names Not Subject To Amortization [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Gross Intangibles | $ 81,073 | $ 58,035 |
Net Intangibles | $ 81,073 | $ 58,035 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Estimated Future Amortization Expense (Detail) $ in Thousands | Sep. 30, 2018USD ($) |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |
2018 (remaining three months) | $ 3,662 |
2,019 | 14,153 |
2,020 | 11,475 |
2,021 | 6,921 |
2,022 | 5,811 |
2,023 | 4,955 |
2024 and thereafter | $ 24,260 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Changes in Goodwill (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018 | Dec. 31, 2017 | |
Goodwill [Line Items] | ||
Beginning Balance, Goodwill Net | $ 269,265 | $ 265,404 |
Acquisition | 2,162 | 390 |
Effect of Foreign Currency | (3,352) | 3,471 |
Ending Balance, Goodwill Net | 268,075 | 269,265 |
Americas [Member] | ||
Goodwill [Line Items] | ||
Beginning Balance, Goodwill Net | 258,496 | 255,842 |
Acquisition | 2,162 | 390 |
Effect of Foreign Currency | (2,874) | 2,264 |
Ending Balance, Goodwill Net | 257,784 | 258,496 |
EMEA [Member] | ||
Goodwill [Line Items] | ||
Beginning Balance, Goodwill Net | 10,769 | 9,562 |
Effect of Foreign Currency | (478) | 1,207 |
Ending Balance, Goodwill Net | $ 10,291 | $ 10,769 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Additional Information (Detail) | 9 Months Ended | ||
Sep. 30, 2018USD ($)Reporting_Unit | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Goodwill [Line Items] | |||
Number of reporting units | Reporting_Unit | 6 | ||
Number of reporting units, fair value in excess of carrying value | Reporting_Unit | 4 | ||
Goodwill | $ 268,075,000 | $ 269,265,000 | $ 265,404,000 |
Qelp [Member] | |||
Goodwill [Line Items] | |||
Goodwill Impairment Loss | 0 | ||
Goodwill | 10,300,000 | ||
Clearlink [Member] | |||
Goodwill [Line Items] | |||
Goodwill Impairment Loss | 0 | ||
Goodwill | $ 71,200,000 |
Financial Derivatives - Deferre
Financial Derivatives - Deferred Gains (Losses) and Related Taxes on Cash Flow Hedges (Detail) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Dec. 31, 2017 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ||
Deferred gains (losses) in AOCI | $ (3,086) | $ 2,550 |
Tax on deferred gains (losses) in AOCI | 86 | (79) |
Deferred gains (losses) in AOCI, net of taxes | (3,000) | $ 2,471 |
Deferred gains (losses) expected to be reclassified to "Revenues" from AOCI during the next twelve months | $ (2,906) |
Financial Derivatives - Additio
Financial Derivatives - Additional Information (Detail) - USD ($) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018 | Dec. 31, 2017 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ||
Maximum period of foreign currency hedge contracts | 180 days | |
Maximum amount of loss due to credit risk | $ 300,000 | $ 3,800,000 |
Total net settlement amount asset positions | 0 | 3,600,000 |
Total net settlement amount liability positions | $ 2,900,000 | $ 0 |
Financial Derivatives - Outstan
Financial Derivatives - Outstanding Foreign Currency Forward Contracts, Options and Embedded Derivatives (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018 | Dec. 31, 2017 | |
Derivatives Designated as Hedging Instruments under ASC 815 [Member] | Cash Flow Hedges [Member] | Option Contracts [Member] | US Dollars/Philippine Pesos [Member] | ||
Derivative [Line Items] | ||
Notional Amount | $ 50,500 | $ 78,000 |
Settle Through Date | Dec. 31, 2019 | Dec. 31, 2018 |
Derivatives Designated as Hedging Instruments under ASC 815 [Member] | Cash Flow Hedges [Member] | Forwards [Member] | US Dollars/Philippine Pesos [Member] | ||
Derivative [Line Items] | ||
Notional Amount | $ 48,900 | $ 3,000 |
Settle Through Date | Sep. 30, 2019 | Jun. 30, 2018 |
Derivatives Designated as Hedging Instruments under ASC 815 [Member] | Cash Flow Hedges [Member] | Forwards [Member] | US Dollars/Costa Rican Colones [Member] | ||
Derivative [Line Items] | ||
Notional Amount | $ 81,500 | $ 70,000 |
Settle Through Date | Dec. 31, 2019 | Mar. 31, 2019 |
Derivatives Designated as Hedging Instruments under ASC 815 [Member] | Cash Flow Hedges [Member] | Forwards [Member] | Euros/Hungarian Forints [Member] | ||
Derivative [Line Items] | ||
Notional Amount | $ 859 | $ 3,554 |
Settle Through Date | Dec. 31, 2018 | Dec. 31, 2018 |
Derivatives Designated as Hedging Instruments under ASC 815 [Member] | Cash Flow Hedges [Member] | Forwards [Member] | Euros/Romanian Leis [Member] | ||
Derivative [Line Items] | ||
Notional Amount | $ 3,471 | $ 13,977 |
Settle Through Date | Dec. 31, 2018 | Dec. 31, 2018 |
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Forwards [Member] | ||
Derivative [Line Items] | ||
Notional Amount | $ 5,894 | $ 9,253 |
Settle Through Date | Dec. 31, 2018 | Mar. 31, 2018 |
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Embedded Derivatives [Member] | ||
Derivative [Line Items] | ||
Notional Amount | $ 12,050 | $ 13,519 |
Settle Through Date | Apr. 30, 2030 | Apr. 30, 2030 |
Financial Derivatives - Derivat
Financial Derivatives - Derivative Instruments Fair Value (Detail) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | $ 309 | $ 3,900 |
Derivative Liabilities | 3,589 | 835 |
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Foreign Currency Forward Contracts [Member] | Other Current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | 244 | |
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Foreign Currency Forward Contracts [Member] | Other Accrued Expenses and Current Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | 288 | |
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Embedded Derivatives [Member] | Other Current Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | 2 | 9 |
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Embedded Derivatives [Member] | Deferred Charges and Other Assets [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | 43 | |
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Embedded Derivatives [Member] | Other Accrued Expenses and Current Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | 46 | 189 |
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Embedded Derivatives [Member] | Other Long-Term Liabilities [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | 358 | 390 |
Cash Flow Hedges [Member] | Derivatives Designated as Hedging Instruments under ASC 815 [Member] | Foreign Currency Forward Contracts [Member] | Option Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | 307 | 3,604 |
Derivative Liabilities | 2,897 | 256 |
Cash Flow Hedges [Member] | Derivatives Designated as Hedging Instruments under ASC 815 [Member] | Foreign Currency Forward Contracts [Member] | Other Current Assets [Member] | Option Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | 306 | 3,604 |
Cash Flow Hedges [Member] | Derivatives Designated as Hedging Instruments under ASC 815 [Member] | Foreign Currency Forward Contracts [Member] | Deferred Charges and Other Assets [Member] | Option Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | 1 | |
Cash Flow Hedges [Member] | Derivatives Designated as Hedging Instruments under ASC 815 [Member] | Foreign Currency Forward Contracts [Member] | Other Accrued Expenses and Current Liabilities [Member] | Option Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | 2,716 | 175 |
Cash Flow Hedges [Member] | Derivatives Designated as Hedging Instruments under ASC 815 [Member] | Foreign Currency Forward Contracts [Member] | Other Long-Term Liabilities [Member] | Option Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | $ 181 | $ 81 |
Financial Derivatives - Effect
Financial Derivatives - Effect of Company's Derivative Instruments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion) | $ (1,839) | $ (2,394) | $ (4,840) | $ (9,233) |
Gain (Loss) Reclassified From AOCI Into "Revenues" (Effective Portion) | 206 | (766) | 634 | (2,346) |
Gain (Loss) Recognized in "Revenues" on Derivatives (Ineffective Portion and Amount Excluded from Effectiveness Testing) | (23) | (15) | ||
Gain (Loss) Recognized in Other Income (Expense) on Derivatives | (380) | (445) | (1,807) | (48) |
Derivatives Designated as Hedging Instruments under ASC 815 [Member] | Cash Flow Hedges [Member] | Foreign Currency Forward Contracts [Member] | Option Contracts [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion) | (1,839) | 585 | (4,840) | (881) |
Gain (Loss) Reclassified From AOCI Into "Revenues" (Effective Portion) | 206 | (766) | 634 | (2,346) |
Gain (Loss) Recognized in "Revenues" on Derivatives (Ineffective Portion and Amount Excluded from Effectiveness Testing) | (23) | (15) | ||
Derivatives Designated as Hedging Instruments under ASC 815 [Member] | Net Investment Hedges [Member] | Foreign Currency Forward Contracts [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in AOCI on Derivatives (Effective Portion) | (2,979) | (8,352) | ||
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Other Income (Expense), Net [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in Other Income (Expense) on Derivatives | (380) | (445) | (1,807) | (48) |
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Foreign Currency Forward Contracts [Member] | Other Income (Expense), Net [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in Other Income (Expense) on Derivatives | (539) | (252) | (1,801) | (170) |
Derivatives Not Designated as Hedging Instruments under ASC 815 [Member] | Embedded Derivatives [Member] | Other Income (Expense), Net [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in Other Income (Expense) on Derivatives | $ 159 | $ (193) | $ (6) | $ 122 |
Investments Held in Rabbi Tru_3
Investments Held in Rabbi Trust - Investments Held in Rabbi Trust, Classified as Trading (Detail) - Mutual Funds [Member] - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Mutual funds, Cost | $ 8,588 | $ 8,096 |
Other Current Assets [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Mutual funds, Fair Value | $ 12,569 | $ 11,627 |
Investments Held in Rabbi Tru_4
Investments Held in Rabbi Trust - Additional Information (Detail) | Sep. 30, 2018 |
Equity-Based Securities [Member] | |
Schedule of Trading Securities and Other Trading Assets [Line Items] | |
Mutual funds held in rabbi trust | 73.00% |
Debt-Based Securities [Member] | |
Schedule of Trading Securities and Other Trading Assets [Line Items] | |
Mutual funds held in rabbi trust | 27.00% |
Investments Held in Rabbi Tru_5
Investments Held in Rabbi Trust - Components of Investment Income (Losses), Included in Other Income (Expense), Net in Accompanying Consolidated Statements of Operations (Detail) - Other Income (Expense), Net [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||||
Net realized gains (losses) from sale of trading securities | $ 10 | $ 13 | $ 42 | $ 162 |
Dividend and interest income | 31 | 28 | 99 | 67 |
Net unrealized holding gains (losses) | 366 | 401 | 383 | 943 |
Net investment income (losses) | $ 407 | $ 442 | $ 524 | $ 1,172 |
Deferred Grants - Schedule of D
Deferred Grants - Schedule of Deferred Grants, Net of Accumulated Amortization (Detail) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Deferred Revenue Arrangement [Line Items] | ||
Property grants | $ 2,460 | $ 2,843 |
Lease grants | 397 | 507 |
Employment grants | 39 | 61 |
Total deferred grants | 2,896 | 3,411 |
Total long-term deferred grants | 2,353 | 3,233 |
Other Accrued Expenses and Current Liabilities [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Less: Lease grants - short-term | (111) | (117) |
Less: Employment grants - short-term | (39) | $ (61) |
Other Accrued Expenses and Current Liabilities [Member] | Liabilities Related to Assets Held-for-Sale [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Less: Property grants - short-term | $ (393) |
Borrowings - Additional Informa
Borrowings - Additional Information (Detail) - USD ($) | 1 Months Ended | 9 Months Ended | |||
Jan. 31, 2018 | Sep. 30, 2018 | Dec. 31, 2017 | May 31, 2015 | May 12, 2015 | |
Line of Credit Facility [Line Items] | |||||
Outstanding borrowings | $ 82,000,000 | $ 275,000,000 | |||
Long-term debt repaid | $ 220,000,000 | ||||
Current Credit Agreement [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | $ 440,000,000 | ||||
Line of credit facility, expiration date | May 12, 2020 | ||||
Outstanding borrowings | $ 82,000,000 | $ 275,000,000 | |||
Credit agreement customary fees description | The Company is required to pay certain customary fees, including a commitment fee determined quarterly based on the Company’s leverage ratio and due quarterly in arrears as calculated on the average unused amount of the Credit Agreement | ||||
Underwriting fee for credit agreement | $ 900,000 | ||||
Long-term debt repaid | $ 175,000,000 | ||||
Current Credit Agreement [Member] | Non-Voting Capital Stock Direct Foreign Subsidiaries [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Percentage of capital stock pledged under credit agreement | 100.00% | ||||
Current Credit Agreement [Member] | Voting Capital Stock Direct Foreign Subsidiaries [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Percentage of capital stock pledged under credit agreement | 65.00% | ||||
Current Credit Agreement Alternate-Currency Sub-Facility [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | 200,000,000 | ||||
Current Credit Agreement Swingline Sub-Facility [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | 10,000,000 | ||||
Current Credit Agreement Letter of Credit Sub-Facility [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Maximum borrowing capacity | $ 35,000,000 | ||||
Prior Credit Agreement [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Underwriting fee for credit agreement | $ 400,000 |
Borrowings - Information Relate
Borrowings - Information Related to Credit Agreements (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Line Of Credit Facility [Abstract] | ||||
Average daily utilization | $ 101,087 | $ 267,000 | $ 107,454 | $ 267,000 |
Interest expense | $ 923 | $ 1,772 | $ 2,839 | $ 4,815 |
Weighted average interest rate | 3.60% | 2.60% | 3.60% | 2.40% |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) - Components of Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018 | Dec. 31, 2017 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning Balance | $ 796,479 | |
Ending Balance | 811,836 | $ 796,479 |
Foreign Currency Translation Adjustments [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning Balance | (36,315) | (72,393) |
Pre-tax amount | (15,757) | 36,101 |
Foreign currency translation | 274 | (23) |
Ending Balance | (51,798) | (36,315) |
Unrealized Gain (Loss) on Net Investment Hedge [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning Balance | 1,046 | 6,266 |
Pre-tax amount | (8,352) | |
Tax (provision) benefit | 3,132 | |
Ending Balance | 1,046 | 1,046 |
Unrealized Gain (Loss) on Cash Flow Hedging Instruments [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning Balance | 2,471 | (2,225) |
Pre-tax amount | (4,855) | 2,276 |
Tax (provision) benefit | 201 | (54) |
Reclassification of (gain) loss to net income | (662) | 2,444 |
Foreign currency translation | (155) | 30 |
Ending Balance | (3,000) | 2,471 |
Unrealized Actuarial Gain (Loss) Related to Pension Liability [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning Balance | 1,574 | 1,125 |
Pre-tax amount | 527 | |
Tax (provision) benefit | 57 | (18) |
Reclassification of (gain) loss to net income | (51) | (53) |
Foreign currency translation | (119) | (7) |
Ending Balance | 1,461 | 1,574 |
Unrealized Gain (Loss) on Postretirement Obligation [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning Balance | 120 | 200 |
Pre-tax amount | (30) | |
Reclassification of (gain) loss to net income | (104) | (50) |
Ending Balance | 16 | 120 |
Accumulated Other Comprehensive Income (Loss) [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning Balance | (31,104) | (67,027) |
Pre-tax amount | (20,612) | 30,522 |
Tax (provision) benefit | 258 | 3,060 |
Reclassification of (gain) loss to net income | (817) | 2,341 |
Ending Balance | $ (52,275) | $ (31,104) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Loss) - Amounts Reclassified to Net Income from Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Pre-tax amount | $ 14,380 | $ 24,441 | $ 32,733 | $ 60,163 |
Tax (provision) benefit | 628 | 2,746 | 855 | 10,911 |
Reclassification of gain (loss) to net income | 13,752 | 21,695 | 31,878 | 49,252 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassification of gain (loss) to net income | 302 | (719) | 817 | (2,195) |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Gain (Loss) on Cash Flow Hedging Instruments [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Tax (provision) benefit | 19 | 25 | 43 | 83 |
Reclassification of gain (loss) to net income | 202 | (741) | 662 | (2,263) |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Actuarial Gain (Loss) Related to Pension Liability [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Tax (provision) benefit | 3 | 9 | ||
Reclassification of gain (loss) to net income | 16 | 10 | 51 | 31 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Revenues [Member] | Gain (Loss) on Cash Flow Hedging Instruments [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Pre-tax amount | 183 | (766) | 619 | (2,346) |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Other Income (Expense), Net [Member] | Actuarial Gain (Loss) Related to Pension Liability [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Pre-tax amount | 13 | 10 | 42 | 31 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | Other Income (Expense), Net [Member] | Gain (Loss) on Postretirement Obligation [Member] | ||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||
Reclassification of gain (loss) to net income | $ 84 | $ 12 | $ 104 | $ 37 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Sep. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Jun. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Income Tax [Line Items] | ||||||||
Effective rate of tax | 4.40% | 11.20% | 2.60% | 18.10% | ||||
Increase in benefit associated with resolution of uncertain tax positions and ancillary issues | $ 0.9 | $ 3.1 | ||||||
Statutory federal income tax rate | 21.00% | 35.00% | 21.00% | 35.00% | ||||
Effective income tax rate tax credit and reductions in estimated non deferred foreign income | $ 0.8 | |||||||
Effective income tax rate valuation allowance | $ 0.3 | |||||||
Decrease in amount of excess tax benefits from stock-based compensation | $ 0.6 | |||||||
Effective income tax rate tax credit and reductions in estimated non deferred foreign income and valuation allowance | $ 1.1 | |||||||
Undistributed earnings of foreign subsidiaries | $ 531.8 | $ 531.8 | ||||||
Canada Revenue Agency [Member] | ||||||||
Income Tax [Line Items] | ||||||||
Income tax benefit recognized on settlement of Canadian audit | $ (1.2) | $ (1.2) | $ (2.8) | |||||
US Federal Rate Prior To The 2017 Tax Reform Act [Member] | ||||||||
Income Tax [Line Items] | ||||||||
Statutory federal income tax rate | 35.00% | 35.00% | 35.00% | |||||
US 2017 Tax Reform Act [Member] | ||||||||
Income Tax [Line Items] | ||||||||
Statutory federal income tax rate | 21.00% | 21.00% | ||||||
Change in tax rate, income tax expense (benefit) | $ 0.3 | $ 1.4 | ||||||
Additional income tax expense/benefit attributable to the enactment of the 2017 Tax Reform Act | $ (0.5) | 32.7 | $ (0.5) | $ 32.7 | ||||
US 2017 Tax Reform Act [Member] | One-Time Transition Tax on Mandatory Deemed Repatriation of Foreign Earnings [Member] | ||||||||
Income Tax [Line Items] | ||||||||
Additional income tax expense/benefit attributable to the enactment of the 2017 Tax Reform Act | 32.7 | 32.7 | ||||||
US 2017 Tax Reform Act [Member] | Foreign Withholding Taxes on Certain Anticipated Distributions [Member] | ||||||||
Income Tax [Line Items] | ||||||||
Additional income tax expense/benefit attributable to the enactment of the 2017 Tax Reform Act | 1 | 1 | ||||||
US 2017 Tax Reform Act [Member] | Remeasurement of Certain Deferred Tax Assets and Liabilities [Member] | ||||||||
Income Tax [Line Items] | ||||||||
Additional income tax expense/benefit attributable to the enactment of the 2017 Tax Reform Act | $ (1) | $ (1) |
Earnings Per Share - Numbers of
Earnings Per Share - Numbers of Shares Used in Earnings Per Share Computation (Detail) - shares shares in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Basic: | ||||
Weighted average common shares outstanding | 42,136 | 41,879 | 42,070 | 41,800 |
Diluted: | ||||
Dilutive effect of stock appreciation rights, restricted stock, restricted stock units and shares held in rabbi trust | 68 | 154 | 131 | 206 |
Total weighted average diluted shares outstanding | 42,204 | 42,033 | 42,201 | 42,006 |
Anti-dilutive shares excluded from the diluted earnings per share calculation | 23 | 14 | 11 | 16 |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Detail) - 2011 Share Repurchase Program [Member] - shares | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2016 | Mar. 16, 2016 | Aug. 18, 2011 | |
Equity, Class of Treasury Stock [Line Items] | |||||||
Maximum amount of shares authorized for repurchase | 10,000,000 | 5,000,000 | |||||
Total Number of Shares Repurchased | 0 | 0 | 0 | 0 | 5,300,000 | ||
Increase in shares authorized for repurchase | 5,000,000 |
Commitments and Loss Continge_3
Commitments and Loss Contingency - Schedule of Future Minimum Rental Payments under Operating Leases (Detail) $ in Thousands | Sep. 30, 2018USD ($) |
Operating Leases Future Minimum Payments Due [Abstract] | |
2018 (remaining three months) | $ 579 |
2,019 | 8,777 |
2,020 | 9,319 |
2,021 | 9,425 |
2,022 | 8,621 |
2,023 | 3,698 |
2024 and thereafter | 8,321 |
Total minimum payments required | $ 48,740 |
Commitments and Loss Continge_4
Commitments and Loss Contingency - Additional Information (Detail) - USD ($) | Oct. 17, 2018 | Sep. 30, 2018 | Sep. 30, 2018 |
Slaughter Lawsuit [Member] | |||
Long-term Purchase Commitment [Line Items] | |||
Loss contingency lawsuit filing date | August 24, 2017 | ||
Slaughter Lawsuit [Member] | General and Administrative [Member] | |||
Long-term Purchase Commitment [Line Items] | |||
Litigation charges in period | $ 1,200,000 | $ 1,200,000 | |
Slaughter Lawsuit [Member] | Other Accrued Expenses and Current Liabilities [Member] | |||
Long-term Purchase Commitment [Line Items] | |||
Litigation settlement accrual | 1,200,000 | $ 1,200,000 | |
Slaughter Lawsuit [Member] | Subsequent Event [Member] | |||
Long-term Purchase Commitment [Line Items] | |||
Litigation verbal settlement agreement date | October 17, 2018 | ||
Outstanding legal action settlement, amount | $ 1,200,000 | ||
Minimum [Member] | |||
Long-term Purchase Commitment [Line Items] | |||
Term of agreements with third party vendors | 1 year | ||
Loss Contingency, net of federal benefit | 0 | $ 0 | |
Maximum [Member] | |||
Long-term Purchase Commitment [Line Items] | |||
Term of agreements with third party vendors | 5 years | ||
Loss Contingency, net of federal benefit | $ 1,100,000 | $ 1,100,000 |
Commitments and Loss Continge_5
Commitments and Loss Contingency - Schedule of Future Minimum Purchases Remaining under Agreements (Detail) $ in Thousands | Sep. 30, 2018USD ($) |
Unrecorded Unconditional Purchase Obligation [Abstract] | |
2018 (remaining three months) | $ 7,856 |
2,019 | 9,434 |
2,020 | 3,730 |
2,021 | 193 |
2,022 | 0 |
2,023 | 0 |
2024 and thereafter | 0 |
Total minimum payments required | $ 21,213 |
Defined Benefit Pension Plan _3
Defined Benefit Pension Plan and Postretirement Benefits - Net Periodic Benefit Cost for Pension Plans (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Defined Benefit Plan Net Periodic Benefit Cost [Abstract] | ||||
Service cost | $ 106 | $ 118 | $ 329 | $ 371 |
Interest cost | 46 | 46 | 144 | 144 |
Recognized actuarial (gains) | (13) | (10) | (42) | (31) |
Net periodic benefit cost | $ 139 | $ 154 | $ 431 | $ 484 |
Defined Benefit Pension Plan _4
Defined Benefit Pension Plan and Postretirement Benefits - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2018 | |
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | |
Percentage of employer's contribution based on participants contribution | 50.00% |
Maximum [Member] | |
Pension Plans, Postretirement and Other Employee Benefits [Line Items] | |
Percentage of employer's contribution based on participants compensation | 2.00% |
Defined Benefit Pension Plan _5
Defined Benefit Pension Plan and Postretirement Benefits - Company's Contributions to Employee Retirement Savings Plans (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Compensation And Retirement Disclosure [Abstract] | ||||
401(k) plan contributions | $ 392 | $ 484 | $ 1,195 | $ 1,104 |
Defined Benefit Pension Plan _6
Defined Benefit Pension Plan and Postretirement Benefits - Post-Retirement Benefit Obligation and Unrealized Gain (Losses) (Detail) - Split-Dollar Life Insurance Arrangement [Member] - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Defined Benefit Plan Disclosure [Line Items] | ||
Postretirement benefit obligation | $ 15 | $ 15 |
Unrealized gains (losses) in AOCI | $ 16 | $ 120 |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock-Based Compensation Expense, Income Tax Benefits Related to Stock-Based Compensation and Excess Tax Benefits (Provision) Recorded by Company (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
General and Administrative [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation reversal (expense) | $ (1,567) | $ 303 | $ (5,317) | $ (4,429) |
Income Taxes [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Income tax benefit | $ 376 | $ (161) | $ 1,276 | $ 1,661 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - USD ($) | Dec. 06, 2016 | Dec. 10, 2014 | Dec. 31, 2016 | Jun. 30, 2016 | Sep. 30, 2018 | May 18, 2012 | May 16, 2012 | Dec. 31, 2017 | Jan. 01, 2017 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Capitalized stock-based compensation costs | $ 0 | $ 0 | |||||||
2011 Equity Incentive Plan [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of shares of common stock available under the 2011 plan | 4,000,000 | ||||||||
2011 Equity Incentive Plan [Member] | Stock Appreciation Rights (SARs) [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | ||||||||
Share-based compensation vesting period | One-third on each of the first three anniversaries of the date of grant | ||||||||
Weighted average period | 1 year 4 months 24 days | ||||||||
Total unrecognized compensation cost | $ 3,100,000 | ||||||||
2011 Equity Incentive Plan [Member] | Restricted Shares and Restricted Stock Units (RSU's) [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share-based compensation vesting period | One-third on each of the first three anniversaries of the date of grant | ||||||||
Weighted average period | 1 year 7 months 6 days | ||||||||
Total unrecognized compensation cost | $ 29,800,000 | ||||||||
2011 Equity Incentive Plan [Member] | Restricted Shares and Restricted Stock Units (RSU's) [Member] | Minimum [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Range of vesting possibilities | 0.00% | ||||||||
2011 Equity Incentive Plan [Member] | Restricted Shares and Restricted Stock Units (RSU's) [Member] | Maximum [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Range of vesting possibilities | 100.00% | ||||||||
Non-Employee Director Fee Plan [Member] | Common Stock Awards [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Total unrecognized compensation cost | $ 400,000 | ||||||||
Value of initial granted shares of common stock to new non employee director | $ 60,000 | ||||||||
Vesting period of initial granted shares of common stock to new non employee director | Twelve equal quarterly installments, one-twelfth on the date of grant and an additional one-twelfth on each successive third monthly anniversary of the date of grant. | ||||||||
Value of Annual Retainer to Non-Employee Director | $ 125,000 | $ 95,000 | |||||||
Annual Retainer payable in cash to Non Employee Director | $ 70,000 | $ 55,000 | 50,000 | $ 50,000 | |||||
Amended vesting period of cash Annual retainer to non-employee chairman and committee members | Vested in four equal quarterly installments, one-fourth on the day following the annual meeting of shareholders, and an additional one-fourth on each successive third monthly anniversary of the date of grant | ||||||||
Vesting period of annual granted shares of common stock to non-employee director | Vests in eight equal quarterly installments, one-eighth on the day following the annual meeting of shareholders, and an additional one-eighth on each successive third monthly anniversary of the date of grant | ||||||||
Increased stock component of annual retainer | 25,000 | $ 30,000 | |||||||
Vesting period for the annual equity award | 1 year | 2 years | |||||||
Amended vesting period of annual granted shares of common stock to non-employee director | Four equal quarterly installments, one-fourth on the date of grant and an additional one-fourth on each successive third monthly anniversary of the date of grant | ||||||||
Additional annual cash award to be given to any non employee chairman of board | $ 100,000 | ||||||||
Additional annual cash award to be given to Chairperson of the audit committee | 20,000 | ||||||||
Additional annual cash award to be given to audit committee members | 10,000 | ||||||||
Annual cash awards for the members of the Compensation Committee, Finance Committee and Nominating and Corporate Governance Committee | 7,500 | ||||||||
Annual cash awards for the Chairpersons of the Compensation Committee | 15,000 | ||||||||
Annual cash awards for the Chairpersons of the Finance Committee | 12,500 | ||||||||
Annual cash awards for the Chairpersons of the Nominating and Corporate Governance Committee | $ 12,500 | ||||||||
Plan expiration date | May 31, 2014 | ||||||||
Annual Retainer payable in stock to Non Employee Director | 100,000 | ||||||||
Increased cash component of annual retainer | $ 15,000 | $ 5,000 | |||||||
Non-Employee Director Fee Plan [Member] | Common Stock Awards [Member] | Maximum [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Weighted average period | 1 year | ||||||||
Deferred Compensation Plan [Member] | Accrued Employee Compensation and Benefits [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Accrued employee compensation and benefits | $ 12,500,000 | 11,600,000 | |||||||
Deferred Compensation Plan [Member] | Common Stock Awards [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Weighted average period | 3 years 7 months 6 days | ||||||||
Total unrecognized compensation cost | $ 100,000 | ||||||||
Percentage of contribution in respect of amounts deferred by certain senior management participants | 50.00% | ||||||||
Vesting period of matching contributions and associated earnings | 7 years | ||||||||
Deferred Compensation Plan [Member] | Common Stock Awards [Member] | Minimum [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Deferred compensation plan, percentage of employee deferral | 1.00% | 1.00% | |||||||
Deferred Compensation Plan [Member] | Common Stock Awards [Member] | Maximum [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Deferred compensation plan, percentage of employee deferral | 80.00% | 100.00% | |||||||
Amounts deferred by certain senior management personnel | $ 5,000,000 | ||||||||
Deferred Compensation Plan [Member] | Common Stock Awards [Member] | Maximum [Member] | President, Chief Executive Officer and Executive Vice Presidents [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Amounts deferred by certain senior management personnel | 12,000,000 | ||||||||
Deferred Compensation Plan [Member] | Common Stock Awards [Member] | Maximum [Member] | Senior Vice President, Global Vice Presidents and Vice Presidents [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Amounts deferred by certain senior management personnel | 7,500,000 | ||||||||
Retained Earnings [Member] | Accounting Standards Update 2016-09 [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Cumulative effect of accounting change | $ 200,000 | ||||||||
Treasury Stock [Member] | Deferred Compensation Plan [Member] | Common Stock Awards [Member] | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Common stock match associated with the deferred compensation plan carrying value | $ 2,300,000 | $ 2,100,000 |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Assumptions Used to Estimate Fair Value (Detail) - Stock Appreciation Rights (SARs) [Member] - 2011 Equity Incentive Plan [Member] | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Expected volatility | 21.40% | 19.30% |
Weighted-average volatility | 21.40% | 19.30% |
Expected dividend rate | 0.00% | 0.00% |
Expected term (in years) | 5 years | 5 years |
Risk-free rate | 2.50% | 1.90% |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of Stock Appreciation Rights Activity (Detail) - Stock Appreciation Rights (SARs) [Member] - 2011 Equity Incentive Plan [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Outstanding Shares, beginning balance | 734 | |
Granted, Shares | 333 | 396 |
Exercised, Shares | (50) | |
Forfeited or expired, Shares | (43) | |
Outstanding Shares, ending balance | 974 | |
Vested or expected to vest, Shares | 974 | |
Exercisable, Shares | 356 | |
Outstanding, Weighted Average Exercise Price, beginning balance | $ 0 | |
Granted, Weighted Average Exercise Price | 0 | |
Exercised, Weighted Average Exercise Price | 0 | |
Forfeited or expired, Weighted Average Exercise Price | 0 | |
Outstanding, Weighted Average Exercise Price, ending balance | 0 | |
Vested or expected to vest, Weighted Average Exercise Price | 0 | |
Exercisable, Weighted Average Exercise Price | $ 0 | |
Outstanding, Weighted Average Remaining Contractual Term | 8 years 4 months 24 days | |
Vested or expected to vest, Weighted Average Remaining Contractual Term | 8 years 4 months 24 days | |
Exercisable, Weighted Average Remaining Contractual Term | 7 years 3 months 18 days | |
Outstanding, Aggregate Intrinsic Value | $ 1,909 | |
Vested or expected to vest, Aggregate Intrinsic Value | 1,909 | |
Exercisable, Aggregate Intrinsic Value | $ 914 |
Stock-Based Compensation - Weig
Stock-Based Compensation - Weighted Average Grant Date of SARs Granted and Total Intrinsic Value of SARs Exercised (Detail) - Stock Appreciation Rights (SARs) [Member] - 2011 Equity Incentive Plan [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Granted, Shares | 333 | 396 |
Weighted average grant-date fair value per SAR | $ 6.84 | $ 6.24 |
Intrinsic value of SARs exercised | $ 316 | $ 1,678 |
Fair value of vested | $ 1,950 | $ 1,846 |
Stock-Based Compensation - Su_3
Stock-Based Compensation - Summary of Nonvested Stock Appreciation Rights (Detail) - Stock Appreciation Rights (SARs) [Member] - 2011 Equity Incentive Plan [Member] - $ / shares shares in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Nonvested Shares, beginning balance | 600 | |
Granted, Shares | 333 | 396 |
Vested, Shares | (272) | |
Forfeited or expired, Shares | (43) | |
Nonvested Shares, ending balance | 618 | |
Nonvested, Weighted Average Grant-Date Fair Value, beginning balance | $ 6.88 | |
Granted, Weighted Average Grant-Date Fair Value | 6.84 | $ 6.24 |
Vested, Weighted Average Grant-Date Fair Value | 7.16 | |
Forfeited or expired, Weighted Average Grant-Date Fair Value | 6.75 | |
Nonvested, Weighted Average Grant-Date Fair Value, ending balance | $ 6.74 |
Stock-Based Compensation - Su_4
Stock-Based Compensation - Summary of Nonvested Restricted Shares and Restricted Stock Units (Detail) - Restricted Shares and Restricted Stock Units (RSU's) [Member] - 2011 Equity Incentive Plan [Member] - $ / shares shares in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Nonvested Shares, beginning balance | 1,109 | |
Granted, Shares | 492 | 480 |
Vested, Shares | (323) | |
Forfeited, Shares | (123) | |
Nonvested Shares, ending balance | 1,155 | |
Nonvested, Weighted Average Grant-Date Fair Value, beginning balance | $ 28.50 | |
Granted, Weighted Average Grant-Date Fair Value | 28.16 | $ 29.42 |
Vested, Weighted Average Grant-Date Fair Value | 25.78 | |
Forfeited or expired, Weighted Average Grant-Date Fair Value | 28.15 | |
Nonvested, Weighted Average Grant-Date Fair Value, ending balance | $ 29.15 |
Stock-Based Compensation - Su_5
Stock-Based Compensation - Summary of Weighted Average Grant-Date Fair Value Granted and Total Fair Value of Restricted Shares and Restricted Stock Units Vested (Detail) - Restricted Shares and Restricted Stock Units (RSU's) [Member] - 2011 Equity Incentive Plan [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Granted, Shares | 492 | 480 |
Weighted average grant-date fair value | $ 28.16 | $ 29.42 |
Fair value of vested | $ 8,342 | $ 6,868 |
Stock-Based Compensation - Su_6
Stock-Based Compensation - Summary of Nonvested Common Stock Units and Share Awards (Detail) - Common Stock Awards [Member] - Non-Employee Director Fee Plan [Member] - $ / shares shares in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Nonvested Shares, beginning balance | 8 | |
Granted, Shares | 34 | 24 |
Vested, Shares | (23) | |
Forfeited, Shares | (2) | |
Nonvested Shares, ending balance | 17 | |
Nonvested, Weighted Average Grant-Date Fair Value, beginning balance | $ 32.21 | |
Granted, Weighted Average Grant-Date Fair Value | 27.68 | $ 32.93 |
Vested, Weighted Average Grant-Date Fair Value | 29.15 | |
Forfeited or expired, Weighted Average Grant-Date Fair Value | 27.68 | |
Nonvested, Weighted Average Grant-Date Fair Value, ending balance | $ 27.73 |
Stock-Based Compensation - Su_7
Stock-Based Compensation - Summary of Weighted Average Grant-Date Fair Value of Common Stock Units and Share Awards Granted and Total Fair Value of Common Stock Units and Share Awards Vested (Detail) - Common Stock Awards [Member] - Non-Employee Director Fee Plan [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Granted, Shares | 34 | 24 |
Granted, Weighted Average Grant-Date Fair Value | $ 27.68 | $ 32.93 |
Fair value of vested | $ 665 | $ 640 |
Stock-Based Compensation - Su_8
Stock-Based Compensation - Summary of Nonvested Common Stock (Detail) - Common Stock Awards [Member] - Deferred Compensation Plan [Member] - $ / shares shares in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Nonvested Shares, beginning balance | 3 | |
Granted, Shares | 13 | 12 |
Vested, Shares | (9) | |
Forfeited, Shares | 0 | |
Nonvested Shares, ending balance | 7 | |
Nonvested, Weighted Average Grant-Date Fair Value, beginning balance | $ 29.56 | |
Granted, Weighted Average Grant-Date Fair Value | 29.23 | $ 30.39 |
Vested, Weighted Average Grant-Date Fair Value | 28.92 | |
Forfeited or expired, Weighted Average Grant-Date Fair Value | 0 | |
Nonvested, Weighted Average Grant-Date Fair Value, ending balance | $ 29.85 |
Stock-Based Compensation - Su_9
Stock-Based Compensation - Summary of Weighted Average Grant-Date Fair Value of Common Stock Awarded and Cash Used to Settle Company's Obligation under Deferred Compensation (Detail) - Common Stock Awards [Member] - Deferred Compensation Plan [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Granted, Shares | 13 | 12 |
Weighted average grant-date fair value | $ 29.23 | $ 30.39 |
Fair value of vested | $ 281 | $ 310 |
Cash used to settle the obligation | $ 672 | $ 590 |
Segments and Geographic Infor_3
Segments and Geographic Information - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2018SegmentRegion | |
Segment Reporting [Abstract] | |
Number of operating regions | Region | 2 |
Number of reportable segments | Segment | 2 |
Segments and Geographic Infor_4
Segments and Geographic Information - Company's Reportable Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Segment Reporting Information [Line Items] | ||||
Revenues | $ 399,333 | $ 407,309 | $ 1,210,489 | $ 1,166,761 |
Percentage of revenues | 100.00% | 100.00% | 100.00% | 100.00% |
Depreciation, net | $ 14,072 | $ 14,227 | $ 43,468 | $ 41,395 |
Amortization of intangibles | 3,638 | 5,293 | 11,480 | 15,774 |
Income (loss) from operations | 14,446 | 26,265 | 35,190 | 63,646 |
Total other income (expense), net | (66) | (1,824) | (2,457) | (3,483) |
Income taxes | (628) | (2,746) | (855) | (10,911) |
Net income | 13,752 | 21,695 | 31,878 | 49,252 |
Americas [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 328,762 | 341,334 | 996,524 | 977,136 |
Americas [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | $ 328,762 | $ 341,334 | $ 996,524 | $ 977,136 |
Percentage of revenues | 82.30% | 83.80% | 82.30% | 83.80% |
Depreciation, net | $ 11,838 | $ 12,064 | $ 36,856 | $ 35,374 |
Amortization of intangibles | 3,439 | 5,081 | 10,846 | 15,048 |
Income (loss) from operations | 25,666 | 35,932 | 71,354 | 100,031 |
EMEA [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | 70,543 | 65,957 | 213,890 | 189,564 |
EMEA [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | $ 70,543 | $ 65,957 | $ 213,890 | $ 189,564 |
Percentage of revenues | 17.70% | 16.20% | 17.70% | 16.20% |
Depreciation, net | $ 1,473 | $ 1,375 | $ 4,360 | $ 3,815 |
Amortization of intangibles | 199 | 212 | 634 | 726 |
Income (loss) from operations | 5,098 | 4,523 | 11,957 | 12,266 |
Other Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues | $ 28 | $ 18 | $ 75 | $ 61 |
Percentage of revenues | 0.00% | 0.00% | 0.00% | 0.00% |
Depreciation, net | $ 761 | $ 788 | $ 2,252 | $ 2,206 |
Income (loss) from operations | (16,318) | (14,190) | (48,121) | (48,651) |
Total other income (expense), net | (66) | (1,824) | (2,457) | (3,483) |
Income taxes | $ (628) | $ (2,746) | $ (855) | $ (10,911) |
Segments and Geographic Infor_5
Segments and Geographic Information - Operation by Geographic Location (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Segment Reporting Information [Line Items] | ||||
Revenue | $ 399,333 | $ 407,309 | $ 1,210,489 | $ 1,166,761 |
Americas [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 328,762 | 341,334 | 996,524 | 977,136 |
Americas [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 328,762 | 341,334 | 996,524 | 977,136 |
Americas [Member] | Operating Segments [Member] | United States [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 161,429 | 166,527 | 498,523 | 471,825 |
Americas [Member] | Operating Segments [Member] | The Philippines [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 57,953 | 62,958 | 174,610 | 178,277 |
Americas [Member] | Operating Segments [Member] | Costa Rica [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 33,120 | 32,882 | 96,168 | 99,131 |
Americas [Member] | Operating Segments [Member] | Canada [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 25,549 | 28,423 | 77,566 | 85,165 |
Americas [Member] | Operating Segments [Member] | El Salvador [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 20,732 | 19,792 | 61,327 | 56,506 |
Americas [Member] | Operating Segments [Member] | China [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 8,337 | 9,659 | 25,834 | 28,201 |
Americas [Member] | Operating Segments [Member] | Australia [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 8,619 | 7,634 | 24,021 | 20,724 |
Americas [Member] | Operating Segments [Member] | Mexico [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 6,221 | 6,540 | 18,171 | 17,981 |
Americas [Member] | Operating Segments [Member] | Other [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 6,802 | 6,919 | 20,304 | 19,326 |
EMEA [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 70,543 | 65,957 | 213,890 | 189,564 |
EMEA [Member] | Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 70,543 | 65,957 | 213,890 | 189,564 |
EMEA [Member] | Operating Segments [Member] | Other [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 13,636 | 13,599 | 40,966 | 37,750 |
EMEA [Member] | Operating Segments [Member] | Germany [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 22,448 | 20,396 | 69,027 | 59,290 |
EMEA [Member] | Operating Segments [Member] | Sweden [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 13,422 | 14,639 | 41,226 | 42,983 |
EMEA [Member] | Operating Segments [Member] | United Kingdom [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 12,333 | 10,166 | 37,640 | 29,306 |
EMEA [Member] | Operating Segments [Member] | Romania [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 8,704 | 7,157 | 25,031 | 20,235 |
Other Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | $ 28 | $ 18 | $ 75 | $ 61 |
Other Income (Expense) - Other
Other Income (Expense) - Other Income (Expense), Net (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Other Nonoperating Income Expense [Abstract] | ||||
Foreign currency transaction gains (losses) | $ 1,066 | $ (77) | $ 3,155 | $ 567 |
Gains (losses) on derivative instruments not designated as hedges | (380) | (445) | (1,807) | (48) |
Other miscellaneous income (expense) | 233 | 550 | (811) | 1,115 |
Other income (expense) | $ 919 | $ 28 | $ 537 | $ 1,634 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) - USD ($) | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||
Jan. 31, 2008 | Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Schedule of Other Related Party Transactions [Line Items] | |||||
Duration of lease | 20 years | ||||
Payment to landlord under the lease terms | $ 100,000 | $ 100,000 | $ 300,000 | $ 300,000 | |
Equity Method Investee [Member] | XSell Technologies Inc [Member] | |||||
Schedule of Other Related Party Transactions [Line Items] | |||||
Related party transaction with equity method investee | $ 100,000 | $ 0 | $ 100,000 | $ 0 |
Subsequent Event - Additional I
Subsequent Event - Additional Information (Detail) $ in Thousands, £ in Millions | Nov. 01, 2018USD ($) | Nov. 01, 2018GBP (£) | Oct. 18, 2018 | Sep. 30, 2018USD ($) |
Subsequent Event [Line Items] | ||||
Additional borrowings | $ 27,000 | |||
Symphony [Member] | Subsequent Event [Member] | ||||
Subsequent Event [Line Items] | ||||
Date of Acquisition agreement | Oct. 18, 2018 | |||
Aggregate purchase price | $ 67,900 | £ 52.6 | ||
Effective date of acquisition | Nov. 1, 2018 | Nov. 1, 2018 | ||
Earnout period | 3 years | 3 years | ||
Earnout payable in RSUs | £ | £ 3 | |||
Payments to acquire businesses, gross | $ 57,600 | 44.6 | ||
Deferred purchase price | $ 10,300 | £ 8 | ||
Business combination consideration transferred liabilities incurred payment terms | equal installments over the next three years | equal installments over the next three years | ||
Symphony [Member] | Subsequent Event [Member] | Current Credit Agreement [Member] | ||||
Subsequent Event [Line Items] | ||||
Additional borrowings | $ 31,000 |