Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2016 | Apr. 29, 2016 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | STONERIDGE INC | |
Entity Central Index Key | 1,043,337 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Trading Symbol | sri | |
Entity Common Stock Shares Outstanding | 27,837,392 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2016 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2,016 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Current assets: | ||
Cash and cash equivalents | $ 48,373 | $ 54,361 |
Accounts receivable, less reserves of $1,159 and $1,066, respectively | 112,649 | 94,937 |
Inventories, net | 69,367 | 61,009 |
Prepaid expenses and other current assets | 24,918 | 21,602 |
Total current assets | 255,307 | 231,909 |
Long-term assets: | ||
Property, plant and equipment, net | 88,563 | 85,264 |
Intangible assets, net and goodwill | 39,404 | 36,699 |
Investments and other long-term assets, net | 10,452 | 10,380 |
Total long-term assets | 138,419 | 132,343 |
Total assets | 393,726 | 364,252 |
Current liabilities: | ||
Current portion of debt | 16,827 | 13,905 |
Accounts payable | 69,261 | 55,225 |
Accrued expenses and other current liabilities | 38,799 | 38,920 |
Total current liabilities | 124,887 | 108,050 |
Long-term liabilities: | ||
Revolving credit facility | 100,000 | 100,000 |
Long-term debt, net | 4,206 | 4,458 |
Deferred income taxes | 43,092 | 41,332 |
Other long-term liabilities | 3,783 | 3,983 |
Total long-term liabilities | $ 151,081 | $ 149,773 |
Shareholders' equity: | ||
Preferred Shares, without par value, 5,000 shares authorized, none issued | ||
Common Shares, without par value, 60,000 shares authorized, 28,958 and 28,907 shares issued and 27,838 and 27,912 shares outstanding March 31, 2016 and December 31, 2015, respectively, with no stated value | ||
Additional paid-in capital | $ 200,350 | $ 199,254 |
Common Shares held in treasury, 1,120 and 995 shares at March 31, 2016 and December 31, 2015, respectively, at cost | (5,552) | (4,208) |
Accumulated deficit | (24,866) | (32,105) |
Accumulated other comprehensive loss | (65,544) | (69,822) |
Total Stoneridge Inc. shareholders' equity | 104,388 | 93,119 |
Noncontrolling interest | 13,370 | 13,310 |
Total shareholders' equity | 117,758 | 106,429 |
Total liabilities and shareholders' equity | $ 393,726 | $ 364,252 |
CONDENSED CONSOLIDATED BALANCE3
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Statement Of Financial Position [Abstract] | ||
Accounts receivable, reserves (in dollars) | $ 1,159 | $ 1,066 |
Preferred shares, authorized | 5,000,000 | 5,000,000 |
Preferred shares, no par value | ||
Preferred shares, issued | 0 | 0 |
Common shares, authorized | 60,000,000 | 60,000,000 |
Common shares, no par value | ||
Common shares, issued | 28,958,000 | 28,907,000 |
Common shares, outstanding | 27,838,000 | 27,912,000 |
Common shares held in treasury, shares | 1,120,000 | 995,000 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Income Statement [Abstract] | ||
Net sales | $ 162,616 | $ 162,825 |
Costs and expenses: | ||
Cost of goods sold | 117,455 | 119,177 |
Selling, general and administrative | 25,772 | 30,742 |
Design and development | 10,883 | 9,780 |
Operating income (loss) | 8,506 | 3,126 |
Interest expense, net | 1,514 | 1,278 |
Equity in earnings of investee | (143) | (189) |
Other (income) expense, net | 181 | (213) |
Income before income taxes from continuing operations | 6,954 | 2,250 |
Income tax expense from continuing operations | 845 | 147 |
Income from continuing operations | 6,109 | 2,103 |
Loss from discontinued operations | (168) | |
Net income | 6,109 | 1,935 |
Net loss attributable to noncontrolling interest | (1,130) | (409) |
Net income attributable to Stoneridge, Inc. | $ 7,239 | $ 2,344 |
Earnings per share attributable to continuing operations attributable to Stoneridge, Inc.: | ||
Basic (in dollars per share) | $ 0.26 | $ 0.10 |
Diluted (in dollars per share) | 0.26 | 0.09 |
Loss per share attributable to discontinued operations: | ||
Basic (in dollars per share) | (0.01) | |
Diluted (in dollars per share) | (0.01) | |
Earnings per share attributable to Stoneridge, Inc.: | ||
Basic (in dollars per share) | 0.26 | 0.09 |
Diluted (in dollars per share) | $ 0.26 | $ 0.08 |
Weighted-average shares outstanding: | ||
Basic (in shares) | 27,675,938 | 27,145,873 |
Diluted (in shares) | 28,155,773 | 27,892,679 |
CONDENSED CONSOLIDATED STATEME5
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Statement Of Other Comprehensive Income [Abstract] | ||
Net income (loss) | $ 6,109 | $ 1,935 |
Less: income (loss) attributable to noncontrolling interest | (1,130) | (409) |
Net income attributable to Stoneridge, Inc. | 7,239 | 2,344 |
Other comprehensive loss, net of tax attributable to Stoneridge, Inc.: | ||
Foreign currency translation adjustments | 4,728 | (14,962) |
Benefit plan liability | (45) | |
Unrealized loss on derivatives | (450) | 935 |
Other comprehensive income (loss), net of tax attributable to Stoneridge, Inc. | 4,278 | (14,072) |
Comprehensive income (loss) attributable to Stoneridge, Inc. | $ 11,517 | $ (11,728) |
CONDENSED CONSOLIDATED STATEME6
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
OPERATING ACTIVITIES: | ||
Net income (loss) | $ 6,109 | $ 1,935 |
Adjustments to reconcile net income (loss) to net cash provided by (used for) operating activities: | ||
Depreciation | 4,542 | 5,128 |
Amortization, including accretion of debt discount | 822 | 1,085 |
Deferred income taxes | 320 | 301 |
Earnings of equity method investee | (143) | (189) |
Loss on sale of fixed assets | (67) | (14) |
Share-based compensation expense | 960 | 3,325 |
Loss on disposal of business | 168 | |
Changes in operating assets and liabilities, net of effect of business acquisition: | ||
Accounts receivable, net | (15,456) | (15,821) |
Inventories, net | (5,658) | (8,347) |
Prepaid expenses and other assets | (2,977) | (2,501) |
Accounts payable | 13,932 | 11,938 |
Accrued expenses and other liabilities | (1,252) | (1,287) |
Net cash provided by (used for) operating activities | 1,132 | (4,279) |
INVESTING ACTIVITIES: | ||
Capital expenditures | (6,817) | (8,490) |
Proceeds from sale of fixed assets | 81 | 17 |
Net cash used for investing activities | (6,736) | (8,473) |
FINANCING ACTIVITIES: | ||
Proceeds from issuance of debt | 2,922 | 2,073 |
Repayments of debt | (2,816) | (5,245) |
Other financing costs | (35) | |
Repurchase of Common Shares to satisfy employee tax withholding | (1,344) | (1,181) |
Net cash used for financing activities | (1,238) | (4,388) |
Effect of exchange rate changes on cash and cash equivalents | 854 | (2,012) |
Net change in cash and cash equivalents | (5,988) | (19,152) |
Cash and cash equivalents at beginning of period | 54,361 | 43,021 |
Cash and cash equivalents at end of period | 48,373 | 23,869 |
Supplemental disclosure of cash flow information: | ||
Cash paid for interest | 1,391 | 1,241 |
Cash paid for income taxes, net | 549 | 760 |
Supplemental disclosure of non-cash financing activities: | ||
Bank payment of vendor payables under short-term debt obligations | $ 704 | $ 582 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2016 | |
Basis of Presentation [Abstract] | |
Basis of Presentation | (1) Basis of Presentation The accompanying condensed consolidated financial statements have been prepared by Stoneridge, Inc. (the “Company”) without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). The information furnished in the condensed consolidated financial statements includes normal recurring adjustments and reflects all adjustments, which are, in the opinion of management, necessary for a fair presentation of such financial statements. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles have been condensed or omitted pursuant to the SEC's rules and regulations. The results of operations for the three months ended March 31, 2016 are not necessarily indicative of the results to be expected for the full year. While the Company believes that the disclosures are adequate to make the information presented not misleading, it is suggested that these condensed consolidated financial statements be read in conjunction with the audited consolidated financial statements and the notes thereto included in the Company's 2015 Form 10-K. |
Recently Issued Accounting Stan
Recently Issued Accounting Standards | 3 Months Ended |
Mar. 31, 2016 | |
Recently Issued Accounting Standards [Abstract] | |
Recently Issued Accounting Standards | (2) Recently Issued Accounting Standards Accounting Standards Not Yet Adopted In March 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-09 , “ Compensation - Stock Compensation (Topic 718) ” which is intended to simplify several aspects of the accounting for share-based payment award transactions including how excess tax benefits should be classified in the Company’s condensed consolidated financial statements. The new standard also permits companies to recognize forfeitures as they occur as an alternative to utilizing estimated forfeitures rates which has been the required practice. The new accounting standard will be effective f or fiscal years beginning after December 15, 2016, including interim periods within that year. The Company is currently evaluating the impact of adopting this standard in its condensed consolidated financial statements. In February 2016, the FASB issued ASU 2016 – 02, “Leases (Topic 842)” which will require that a lessee recognize assets and liabilities on the balance sheet for all leases with a lease term of more than twelve months, with the result being the recognition of a right of use asset and a lease liability. The amendment is effective for fiscal years beginning after December 15, 2018, including interim periods within that year. The Company expects to adopt this standard as of January 1, 2019. The Company is currently evaluating the impact of adopting this standard on its condensed consolidated financial statements, which will require right of use assets and lease liabilities be recorded in the condensed consolidated balance sheet for operating leases. In November 2015, the FASB issued ASU 2015 – 17, “Income Taxes (Topic 740)” which simplifies the presentation of deferred income taxes. Currently entities are required to separate deferred income tax liabilities and assets into current and noncurrent amounts in the balance sheet. ASU 2015-17 requires that all deferred income taxes be classified as noncurrent in the balance sheet. The amendment is effective for fiscal years beginning after December 15, 2016 including interim periods within those fiscal years and may be applied either prospectively or retrospectively with early adoption permitted. The Company is currently evaluating the impact of adopting this standard on its condensed consolidated financial statements. In July 2015, the FASB issued ASU 2015-11 “Simplifying the Measurement of Inventory” which requires that inventory be measured at the lower of cost or net realizable value. Prior to the issuance of the new guidance, inventory was measured at the lower of cost or market. Replacing the concept of market with the single measurement of net realizable value is intended to reduce cost and complexity. The new accounting standard is effective for fiscal years beginning after December 15, 2016. The Company expects to adopt this standard as of January 1, 2017, which is not expected to have a material impact on the Company’s condensed consolidated financial statements or disclosures. In May 2014, the FASB issued ASU 2014-09 “Revenue from Contracts with Customers” which is the new comprehensive revenue recognition standard that will supersede existing revenue recognition guidance under U.S. GAAP. The standard's core principle is that a company will recognize revenue when it transfers promised goods or services to a customer in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. To achieve this principle, an entity identifies the contract with a customer, identifies the separate performance obligations in the contract, determines the transaction price, allocates the transaction price to the separate performance obligations and recognizes revenue when each separate performance obligation is satisfied. This ASU allows for both retrospective and prospective methods of adoption. In July 2015, the FASB approved a one-year deferral of the effective date of the standard. As such, the new standard will become effective for annual and interim periods beginning after December 15, 2017 with early adoption on the original effective date permitted. The Company is currently evaluating the impact of adopting this standard on its condensed consolidated financial statements. Accounting Standards Adopted In September 2015, the FASB issued ASU 2015 – 16, “Business Combinations” which simplifies the accounting for measurement-period adjustments related to business combinations. ASU 2015-16 requires that an acquirer recognize adjustments to provisional amounts that are identified during the measurement period in the reporting period in which the adjustment amounts are determined. The amendments in the ASU require that the acquirer record, in the same period’s financial statements, the effect on earnings of changes in depreciation, amortization, or other income effects, if any, as a result of the change to the provisional amounts, calculated as if the accounting had been completed at the acquisition date. The amendment is effective for fiscal years beginning after December 15, 2015, including interim periods within those fiscal years and is to be applied prospectively to adjustments to provisional amounts that occur after the effective date of this ASU with earlier application permitted for financial statements that have not been issued. The Company adopted this standard as of January 1, 2016, which did not have an impact on the Company’s condensed consolidated financial statements or disclosures. In April 2015, the FASB issued ASU 2015-03, “Simplifying the Presentation of Debt Issuance Costs” which amends the current presentation of certain debt issuance costs in the balance sheet. ASU 2015-03 requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts, instead of as an asset. The recognition and measurement of debt issuance costs are not affected by the amendments in this ASU. The guidance in ASU 2015-03 did not address the presentation or subsequent measurement of debt issuance costs related to line of credit arrangements. Given the absence of authoritative guidance, in June 2015 the FASB issued ASU 2015-15, “Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements,” which states that the SEC will not object to an entity deferring and presenting debt issuance costs related to revolving credit arrangements as an asset and subsequently amortizing them. These amendments are to be applied retrospectively and are effective for public companies for fiscal years, and for interim periods within those fiscal years, beginning after December 15, 2015, with early adoption permitted. As permitted by the ASU, the Company adopted these standards in the third quarter of 2015, which had no impact on the Company’s consolidated financial statements. The Company elected to continue to present deferred financing costs related to its revolving credit facility within long-term assets in the Company’s condensed consolidated balance sheets as permitted under the standard . |
Discontinued Operations
Discontinued Operations | 3 Months Ended |
Mar. 31, 2016 | |
Discontinued Operations [Abstract] | |
Discontinued Operations | (3) Discontinued Operations Wiring Business On May 26, 2014, the Company entered into an asset purchase agreement to sell substantially all of the assets and liabilities of the former Wiring segment to Motherson Sumi Systems Ltd., an India-based manufacturer of diversified products for the global automotive industry and a limited company incorporated under the laws of the Republic of India, a nd MSSL (GB) LIMITED, a limited company incorporated under the laws of the United Kingdom (collectively, “Motherson”) , for $65 ,700 in cash and the assumption of certain related liabilities of the Wiring business. On August 1, 2014, the Company completed the sale of substantially all of the assets and liabilities of its Wiring business to Motherson for $71,386 in cash that consisted of the stated purchase price and estimated working capital on the closing date. The final purchase price was subject to post-closing working capital and other adjustments . Upon the final resolution of the working capital and other adjustments in the second quarter of 2015, the Company returned $1,230 in cash to Motherson. The Company also entered into short-term transition services agreement s with Motherson substantially all of which concluded in the second quarter of 2015 associated with information systems, accounting, administrative , occupancy and support services as well as contract manufacturing and production support in Estonia. The Company had post-disposition sales to the Wiring business acquired by Motherson for the three months ended March 31, 2016 and 2015 of $5,686 and $7,228 respectively . The Company had post-disposition purchases from the Wiring business acquired by Motherson of $108 and $168 for the three months ended March 31, 2016 and 2015, respectively. There was no activity related to discontinued operations for the Wiring business in the condensed consolidated statements of operations for the three months ended March 31, 2016. The following table display s summarized activity in the condensed consolidated statements of operations for discontinued operations related to the Wiring business: Three months ended March 31 2015 Loss on disposal (A) $ (178) Income tax expense on loss on disposal 10 Loss on disposal, net of tax (168) Loss from discontinued operations $ (168) ( A ) Included in loss on disposal for the three months ended March 31, 201 5 were transaction costs of $46 and a working capital adjustment of $ 132 . |
Inventories
Inventories | 3 Months Ended |
Mar. 31, 2016 | |
Inventories [Abstract] | |
Inventories | (4) Inventories Inventories are valued at the lower of cost (using either the first-in, first-out (“FIFO”) or average cost methods) or market. The Company evaluates and adjusts as necessary its excess and obsolescence reserve on a quarterly basis. Excess inventories are quantities of items that exceed anticipated sales or usage for a reasonable period. The Company has guidelines for calculating provisions for excess inventories based on the number of months of inventories on hand compared to anticipated sales or usage. Management uses its judgment to forecast sales or usage and to determine what constitutes a reasonable period. Inventory cost includes material, labor and overhead. Inventories consisted of the following: March 31, December 31, 2016 2015 Raw materials $ 40,498 $ 36,021 Work-in-progress 8,581 7,162 Finished goods 20,288 17,826 Total inventories, net $ 69,367 $ 61,009 Inventory valued using the FIFO method was $43,639 and $35,378 at March 31, 2016 and December 31, 2015, respectively. Inventory valued using the average cost method was $25,728 and $25,631 at March 31, 2016 and December 31, 2015, respectively. . |
Financial Instruments and Fair
Financial Instruments and Fair Value Measurements | 3 Months Ended |
Mar. 31, 2016 | |
Financial Instruments and Fair Value Measurements [Abstract] | |
Financial Instruments and Fair Value Measurements | (5) Financial Instruments and Fair Value Measurements Financial Instruments A financial instrument is cash or a contract that imposes an obligation to deliver, or conveys a right to receive cash or another financial instrument. The carrying values of cash and cash equivalents, accounts receivable and accounts payable are considered to be representative of fair value because of the short maturity of these instruments. Derivative Instruments and Hedging Activities On March 31, 2016, the Company had open foreign currency forward contracts which are used solely for hedging and not for speculative purposes. Management believes that its use of these instruments to reduce risk is in the Company's best interest. The counterparties to these financial instruments are financial institutions with investment grade credit ratings. Foreign Currency Exchange Rate Risk The Company conducts business internationally and therefore is exposed to foreign currency exchange rate risk. The Company uses derivative financial instruments as cash flow and fair value hedges to manage its exposure to fluctuations in foreign currency exchange rates by reducing the effect of such fluctuations on foreign currency denominated intercompany transactions, inventory purchases and other foreign currency exposures. The currencies hedged by the Company during 2016 and 2015 included the euro and Mexican peso. In addition, the Company hedged the U.S. dollar against the Swedish krona and euro on behalf of its European subsidiaries in 2016 and 2015. These forward contracts were executed to hedge forecasted transactions and have been accounted for as cash flow hedges. As such, the effective portion of the unrealized gain or loss was deferred and reported in the Company’s condensed consolidated balance sheets as a component of accumulated other comprehensive loss. The cash flow hedges were highly effective. The effectiveness of the transactions has been and will be measured on an ongoing basis using regression analysis and forecasted future purchases of the currency. In certain instances, the foreign currency forward contracts do not qualify for hedge accounting or are not designated as hedges, and therefore are marked-to-market with gains and losses recognized in the Company's condensed consolidated statement of operations as a component of other (income) expense, net. The Company's foreign currency forward contracts offset a portion of the gains and losses on the underlying foreign currency denominated transactions as follows: Euro-denominated Foreign Currency Forward Contract At March 31, 2016 and December 31, 2015, the Company held a foreign currency forward contract with underlying notional amounts of $1,730 and $1,647 , respectively, to reduce the exposure related to the Company's euro-denominated intercompany loans. This contract expires in June 2016 . The euro-denominated foreign currency forward contract was not designated as a hedging instrument. The Company recognized a loss of $82 and a gain of $388 for the three months ended March 31 , 201 6 and 201 5, respectively, in the condensed consolidated statements of operations as a component of other (income) expense, net related to the euro-denominated contract. U.S. dollar-denominated Foreign Currency Forward Contracts – Cash Flow Hedge s The Company entered into on behalf of one of its European Electronics subsidiaries whose functional currency is the Swedish krona, U.S. dollar-denominated currency contracts with a notional amount at March 31, 2016 of $7,621 which expire ratably on a monthly basis from April 2016 through December 2016 , compared to a notional amount of $10,007 at December 31, 2015. The Company entered into on behalf of one of its European Electronics subsidiaries whose functional currency is the euro, U.S. dollar-denominated currency contracts with a notional amount at March 31, 2016 of $1,802 which expire ratably on a monthly basis from April 2016 through December 2016 , compared to a notional amount of $2,421 at December 31, 201 5 . The Company evaluated the effectiveness of the U.S. dollar-denominated foreign currency forward contracts held as of March 31, 2016 and December 31, 2015 and concluded that the hedges were effective. Mexican peso-denominated Foreign Currency Forward Contracts – Cash Flow Hedge The Company holds Mexican peso-denominated foreign currency forward contracts with notional amounts at March 31, 2016 of $7,237 which expire ratably on a monthly basis from April 2016 through December 2016, compared to a notional amount of $9,780 at December 31, 2015. The Company evaluated the effectiveness of the Mexican peso-denominated foreign currency forward contracts held as of March 31, 2016 and December 31, 2015 and concluded that the hedges were effective. The notional amounts and fair values of derivative instruments in the condensed consolidated balance sheets were as follows: Prepaid expenses Notional and other current assets / Accrued expenses and amounts (A) other long-term assets other current liabilities March 31, December 31, March 31, December 31, March 31, December 31, 2016 2015 2016 2015 2016 2015 Derivatives designated as hedging instruments Cash Flow Hedges: Forward currency contracts $16,660 $22,208 $3 $474 $63 $84 Derivatives not designated as hedging instruments Forward currency contracts $1,730 $1,647 - - $5 $9 (A) Notional amounts represent the gross contract in U.S. dollars of the derivatives outstanding. Amounts recorded for the cash flow hedges in other comprehensive loss and in net income for the three months ended March 31 are as follows: Gain (loss) recorded Loss reclassified from in other comprehensive other comprehensive income income (loss) (loss) into net income 2016 2015 2016 2015 Derivatives designated as cash flow hedges: Forward currency contracts $ (494) $ 797 $ (44) $ (138) Total derivatives designated as cash flow hedges $ (494) $ 797 $ (44) $ (138) Gains and losses reclassified from other comprehensive income (loss) into net income were recognized in cost of goods sold in the Company's condensed consolidated statements of operations. The net deferred loss of $ 60 on the cash flow hedge derivatives will be reclassified from other comprehensive income (loss) to the condensed consolidated statements of operations through December 2016. Fair Value Measurements The following table presents the Company’s assets and liabilities that are measured at fair value on a recurring basis and are categorized using the three levels of the fair value hierarchy based on the reliability of the inputs used. March 31 , December 31, 2016 2015 Fair values estimated using Level 1 Level 2 Level 3 Fair value inputs (A) inputs (B) inputs (C) Fair value Financial assets carried at fair value: Forward currency contracts $ 3 $ - $ 3 $ - $ 474 Total financial assets carried at fair value $ 3 $ - $ 3 $ - $ 474 Financial liabilities carried at fair value: Forward currency contracts $ 68 $ - $ 68 $ - $ 93 Total financial liabilities carried at fair value $ 68 $ - $ 68 $ - $ 93 (A) Fair values estimated using Level 1 inputs, which consist of quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. The Company did not have any recurring fair value estimates using Level 1 inputs at March 31, 2016 or December 31, 201 5 . (B) Fair values estimated using Level 2 inputs, other than quoted prices, that are observable for the asset or liability, either directly or indirectly and include among other things, quoted prices for similar assets or liabilities in markets that are active or inactive as well as inputs other than quoted prices that are observable. For forward currency contracts , inputs include foreign currency exchange rates . (C) Fair values estimated using Level 3 inputs consist of significant unobservable inputs. The Company did not have any recurring fair value estimates using Level 3 inputs at March 31 , 201 6 or December 31, 201 5 . |
Share-Based Compensation
Share-Based Compensation | 3 Months Ended |
Mar. 31, 2016 | |
Share-Based Compensation [Abstract] | |
Share-Based Compensation | (6) Share-Based Compensation Compensation expense for share-based compensation arrangements, which is recognized in the condensed consolidated statements of operations as a component of selling, general and administrative expenses, was $960 for the three months ended March 31, 2016 compared to $3,325 for the three months ended March 31, 2015 which includ ed $2,225 from the accelerated vesting in connection with the retirement of the Company’s former President and Chief Executive Officer. |
Debt
Debt | 3 Months Ended |
Mar. 31, 2016 | |
Debt [Abstract] | |
Debt | (7) Debt Debt consisted of the following at March 31, 2016 and December 31, 2015: Interest rates at March 31, December 31, March 31, 2016 2015 2016 Maturity Revolving Credit Facility Credit facility $ 100,000 $ 100,000 1.69% September 2019 Debt PST short-term obligations 14,205 11,556 4.85% - 19.66% 2016 - 2017 PST long-term notes 6,504 6,428 6.2% - 8.0% 2017 - 2021 Other 324 379 Total debt 21,033 18,363 Less: current portion (16,827) (13,905) Total long-term debt, net $ 4,206 $ 4,458 Revolving Cred it Facility On November 2, 2007, the Company entered into an asset-based credit facility, which permits borrowing up to a maximum level of $100,000 . The Company entered into an Amended and Restated Credit and Security Agreement and a Second Amended and Restated Credit and Security Agreement on September 20, 2010 and December 1, 2011, respectively. On September 12, 2014, the Company entered into a Third Amended and Restated Credit Agreement (the “Amended Agreement” or “Credit Facility” ). The Amended Agreement provides for a $300,000 revolving credit facility, which replace d the Company’s existing $100,000 asset-based credit facility and includes a l etter of credit subfacility, swing line subfacility and multicurrency subfacility. The Amended Agreement also has an accordion feature which allows the Company to increase the availability by up to $80,000 upon the satisfaction of certain conditions. The Amended Agreement extend ed the ter mination date to September 12, 2019 from December 1, 2016. On March 26, 2015, the Company entered into Amendment No. 1 (the “Amendment”) to the Amended Agreement which modified the definition of Consolidated EBITDA to allow for the add back of cash premiums and other non-cash charges related to the amendment and restatement of the Amended Agreement and the early extinguishment of the Company’s 9.5% Senior Secured Notes. Consolidated EBITDA is used in computing the Company’s leverage ratio and interest coverage ratio which are covenants within the Amended Agreement. On February 23, 2016, the Company entered into Amendment No. 2 to the Amended Agreement which amended and waived any default or potential defaults with respect to the pledging as collateral additional shares issued by a wholly owned subsidiary and newly issued shares associated with the formation of a new subsidiary. Borrowings under the Amended Agreement will bear interest at either the Base Rate , as defined, or the LIBOR Rate, at the Company’s option, plus the applicable margin as set f orth in the Amended Agreement. The Company is also subject to a commitment fee ranging from 0.20% to 0.35% based on the Company’s leverage ratio. The agreement governing our Credit Facility requires the Company to maintain a maximum leverage ratio of 3.00 to 1.00, and a minimum interest coverage ratio of 3.50 to 1.00 and places a maximum annual limit on capital expenditures. The Amended Agreement also contains other affirmative and negative covenants and events of default that are customary for credit arrangements of this type including covenants which place restrictions and/or limitations on the Company’s ability to borrow money, make capital expenditures and pay dividends. Borrowings outstanding on the Credit Facility at both March 31, 2016 and December 31, 2015 were $100,000 . The Company was in compliance with all credit facility covenants at March 31, 2016 and December 31, 2015 . Debt PST maintains several short-term obligations and long- term notes used for working capital purposes which have fixed annual interest rate s . The weighted-average interest rates of short-term and long-term debt of PST at March 31 , 201 6 were 16.0% and 7.3% , r espectively . Depending on the specific note, interest is payable either monthly or annually. Principal payments on PST debt at March 31, 2016 are as follows : $ 16,503 from April 2016 through March 2017, $ 1,400 from April 2017 through December 2017, $ 1,082 in 2018, $ 1,058 in 20 19, $363 in 2020 and $303 in 2021. The Company was in compliance with all debt covenants at March 31, 2016 and December 31, 2015. The Company's wholly-owned subsidiary located in Stockholm, Sweden, has an overdraft credit line which allows overdrafts on the subsidiary's bank account up to a maximum level of 20,000 Swedish krona, or $2,464 and $2,369 , at March 31, 2016 and December 31, 201 5 , respectively. At March 31, 2016 and December 31, 201 5 , there was no balance outstandi ng on this bank account . |
Earnings (Loss) Per Share
Earnings (Loss) Per Share | 3 Months Ended |
Mar. 31, 2016 | |
Earnings (Loss) Per Share [Abstract] | |
Earnings (Loss) Per Share | (8) Earnings (Loss) Per Share Basic earnings (loss) per share was computed by divi ding net income (loss) by the weighted- average number of Common Shares outstand ing for each respective period. Diluted earnings (loss) per share was calculated by dividing net income (loss) by the weighted-average of all potentially dilutive Common Shares that were outstanding during the periods presented. Weighted-average Common Shares outstanding used in calculating basic and diluted earnings (loss) per share were as follows: Three months ended March 31 2016 2015 Basic weighted-average Common Shares outstanding 27,675,938 27,145,873 Effect of dilutive shares 479,835 746,806 Diluted weighted-average Common Shares outstanding 28,155,773 27,892,679 Performance- based rest ricted Common Shares outstanding at March 31, 2016 and March 31, 2015 were 0 and 234,450 , respectively. There were also 803,100 and 710,235 performance-based right to receive Common Shares outstanding at March 31, 2016 and 2015, respectively. These performance-based restricted and right to receive Common Shares are included in the computation of diluted earnings per share based on the number of Common Shares that would be issuable if the end of the quarter were the end of the contingency period . |
Changes in Accumulated Other Co
Changes in Accumulated Other Comprehensive Loss by Component | 3 Months Ended |
Mar. 31, 2016 | |
Changes in Accumulated Other Comprehensive Loss by Component [Abstract] | |
Changes in Accumulated Other Comprehensive Loss by Component | ( 9 ) Changes in Accumulated Other Comprehensive Loss by Component Changes in accumulated other comprehensive loss for the three months ended March 31, 2016 and 2015 were as follows: Foreign Unrealized Benefit currency gain (loss) plan translation on derivatives liability Total Balance at January 1, 2016 $ (70,296) $ 390 $ 84 $ (69,822) Other comprehensive income (loss) before reclassifications 4,728 (494) - 4,234 Amounts reclassified from accumulated other comprehensive loss - 44 - 44 Net other comprehensive income (loss), net of tax 4,728 (450) - 4,278 Balance at March 31, 2016 $ (65,568) $ (60) $ 84 $ (65,544) Balance at January 1, 2015 $ (45,603) $ 1 $ 129 $ (45,473) Other comprehensive income (loss) before reclassifications (14,962) 797 (45) (14,210) Amounts reclassified from accumulated other comprehensive loss - 138 - 138 Net other comprehensive income (loss), net of tax (14,962) 935 (45) (14,072) Balance at March 31, 2015 $ (60,565) $ 936 $ 84 $ (59,545) |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2016 | |
Commitments and Contingencies [Abstract] | |
Commitments and Contingencies | (1 0 ) Commitments and Contingencies In the ordinary course of business, the Company is subject to a broad range of claims and legal proceedings that relate to contractual allegations, product liability, tax audits, patent infringement, employment-related matters and environmental matters. The Company establishes accruals for matters which it believes that losses are probable and can be reasonably estimable. Although it is not possible to predict with certainty the outcome of these matters, the Company is of the opinion that the ultimate resolution of these matters will not have a material adverse effect on its consolidated results of operations or financial position. As a result of environmental studies performed at the Company’s former facility located in Sarasota, Florida, the Company became aware of soil and groundwater contamination at the site. The Company engaged an environmental engineering consultant to assess the level of contamination and to develop a remediation and monitoring plan for the site. Soil remediation at the site was completed during the year ended December 31, 2010. A s the remedial action plan has been approved by the Florida Department of Environmental Protection , ground water remediation began in the fourth quarter of 2015. During the three months ended March 1, 2016 and 2015, e nvironmental remediation costs incurred were immaterial. At March 31, 2016 and December 31, 201 5 , the Company accrued a remaining undiscounted liability of $505 and $532 , respectively, related to future remediation costs . At March 31, 2016 and December 31, 201 5 , $441 and $469 , respectively, was recorded as a component of accrued expenses and other current liabilities on the condensed consolidated balance sheets while the remaining amount was recorded as a component of other long-term liabilities. A majority of the costs associated with the recorded liability will be incurred at the start of the groundwater remediation, with the balance relating to monitoring costs to be incurred over multiple years. The recorded liability is based on assumptions in the remedial action plan. Although the Company sold the Sarasota facility and related property in December 2011, the liability to remediate the site contamination remains the responsibility of the Company. Due to the ongoing site remediation, the closing terms of the sale agreement included a requirement for the Company to maintain a $2,000 letter of credit for the benefit of the buyer. The Company has a legal proceeding, Verde v. Stoneridge, Inc. et al . , currently pending in the United States District Court for the Eastern District of Texas, Cause No. 6:14-cv-00225- KNM. The p laintiff filed this putative class action against the Company and others on March 26, 2014. The p laintiff alleges that the Company was involved in the vertical chain of manufacture, distribution, and sale of a control device (“CD”) that was incorporated into a Dodge Ram truck purchased by Plaintiff in 2006. Plaintiff alleges that the Company breached express warranties and indemnification provisions by supplying a defective CD that was not capable of performing its intended function. The putative class consists of all Texas residents who own manual transmission Chrysler vehicles model years 1994–2007 equipped with the subject CD. Plaintiff seeks recovery of economic loss damages incurred by him and the putative class members associated with inspecting and replacing the allegedly defective CD, as well as attorneys’ fees and costs. Plaintiff filed his motion for class certification seeking to certify a class of Texas residents who own or lease certain automobiles sold by Chrysler from 1998–2007. Plaintiff alleges this putative class would include approximately 120,000 people. In the motion for class certification, the Plaintiff states that damages are no more than $1 per person. A hearing on the Plaintiff’s motion for class certification was held on November 1 6 , 2015 , and the United States District Court has not yet ruled on class certification . On April 8, 2016, the Magistrate Judge granted the Company’s motion for partial summary judgment dismissing the Plaintiff’s indemnification claim; the United States District Court has not yet ruled on whether to adopt the Magistrate Judge’s ruling. Similarly, Royal v. Stoneridge, Inc. et al. is another legal proceeding currently pending in the United States District Court for the Western District of Oklahoma, Cause No. 5:14-cv-01410-F. Plaintiff s filed this putative class action against the Company, Stoneridge Control Devices, Inc., and others on December 19, 2014. Plaintiff s allege that the Company was involved in the vertical chain of manufacture, distribution, and sale of a CD that was incorporated into Dodge Ram trucks purchased by Plaintiff s between 1999 and 2006. Plaintiff s allege that the Company and Stoneridge Control Devices, Inc. breached various express and implied warranties, including the implied warranty of merchantability. Plaintiff s also seek indemnity from the Company and Stoneridge Control Devices, Inc. The putative class consists of all owners of vehicles equipped with the subject CD, which includes various Dodge Ram trucks and other manual transmission vehicles manufactured from 1997–2007, which Plaintiffs allege is more than one million vehicles. Plaintiff s seek recovery of economic loss damages associated with inspecting and replacing the allegedly defective CD, diminished value of the subject CDs and the trucks in which they were installed, and attorneys’ fees and costs. The amount of compensatory or other damages sought by Plaintiff s and the putative class members is unknown. On January 12, 2016, the United States District Court granted in part the Company’s and Stoneridge Control Devices, Inc.’s motions for summary judgment, and dismissed four of the Plaintiffs’ five claims against the Company and Stoneridge Control Devices, Inc. Plaintiffs have filed a motion for reconsideration of the United States District Court’s ruling, which remains pending. The Company is vigorously defending itself against the Plaintiffs’ allegations , and has and will continue to challenge the claims as well as class action certification. The Company believes the likelihood of loss is not probable or reasonably estimable , and therefore no liability has been recorded for these claims at March 31 , 201 6 . In September 2013, two legal proceeding s were initiated by Actia Automotive (“Actia”) in a French court (the tribunal de grande instance de Paris) alleging infringement of its patents by the Company’s Electronics segment. T he euro (“€”) and U.S. dollar equivalent (“$”) that Actia is seeking has been €7,000 ($8,000) for each claim for injunctive relief and monetary damages resulting from such alleged infringement. The Company believes that its products did not infringe on any of the patents claimed by Actia, and the claim s are without merit. The Company is vigorously defending itself against these allegations , and it has challenged certain Actia patents in the European Patent Office . In September 2015, the French court ruled in favor of the Company on one claim, which is subject to appeal by Actia . There have been no significant changes to the facts and circumstances related to the remaining claim for the three months ended March 31 , 201 6 . The Company believes the likelihood of loss is not probable between its defenses and challenges to Actia’s patents . As such, no liab ility has been recorded for these claim s at March 31, 2016 . On May 24, 2013, the State Revenue Services of São Paulo issued a tax deficiency notice against PST claiming that the vehicle tracking and monitoring services it provides should be classified as communication services, and therefore subject to the State Value Added Tax – ICMS. The State Revenue Services assessment imposed the 25.0% ICMS tax on all revenues of PST related to the vehicle tracking and monitoring services rendered during the period from January 2009 through December 2010. The Brazilian real (“R$”) and U.S. dollar equivalent (“$”) of the aggregate tax assessment is approximately R$92,500 ( $26,0 0 0 ) which is comprised of Value Added Tax – ICMS of R$13,200 ( $3,700 ) interest of R$11,400 ( $3,200 ) and penalties of R$67,900 ( $19,100 ) . The Company believes that the vehicle tracking and monitoring services are non-communication services, as defined under Brazilian tax law, subject to the municipal ISS tax, not communication services subject to state ICMS tax as claimed by the State Revenue Services of São Paulo. PST has, and will continue to collect the municipal ISS tax on the vehicle tracking and monitoring services in compliance with Brazilian tax law and will defend its tax position. PST has received a legal opinion that the merits of the case are favorable to PST, determining among other things that the imposition on the subsidiary of the State ICMS by the State Revenue Services of São Paulo is not in accordance with the Brazilian tax code. Management believes, based on the legal opinion of the Company’s Brazilian legal counsel and the results of the Brazil Administrative Court's ruling in favor of another vehicle tracking and monitoring company related to the tax deficiency notice it received, the likelihood of loss is not probable although it may take years to resolve. As a result of the above, as of March 31, 2016 and December 31, 201 5 , no accrual has been recorded with respect to the tax assessment. An unfavorable judgment on this issue for the years assessed and for subsequent years could result in significant costs to PST and adversely affect its results of operations. There have been no significant changes to the facts and circumstances related to this notice for the three months ended March 31, 2016. In addition, PST has civil, labor and other tax contingencies for which the likelihood of loss is deemed to be reasonably possible, but not probable, by the Company’s legal advisors in Brazil. As a result, no provision has been recorded with respect to these contingencies, which amounted to R$26,700 ( $7,500 ) and R$25,400 ( $6,500 ) at March 31, 2016 and December 31, 201 5 , respectively. An unfavorable outcome on these contingencies could result in significant cost to PST and adversely affect its results of operations. Product Warranty and Recall Amounts accrued for product warranty and recall claims are established based on the Company's best estimate of the amounts necessary to settle existing and future claims on products sold as of the balance sheet dates. These accruals are based on several factors including past experience, production changes, industry developments and various other considerations including insurance coverage . The Company can provide no assurances that it will not experience material claims or that it will not incur significant costs to defend or settle such claims beyond the amounts accrued or beyond what the Company may recover from its suppliers. The current portion of product warranty and recall is included as a component of accrued expenses and other current liabilities i n the condensed consolidated balance sheets. Product warranty and recall included $2,076 and $1,973 of a long-term liability at March 31, 2016 and December 31, 201 5 , respectively, which is included as a component of other long-term liabilities i n the condensed consolidated balance sheets. The following provides a reconciliation of changes in product warranty and recall liability: Three months ended March 31 2016 2015 Product warranty and recall at beginning of period $ 6,419 $ 7,601 Accruals for products shipped during period 1,358 1,381 Aggregate changes in pre-existing liabilities due to claim developments (302) (57) Settlements made during the period (348) (1,745) Product warranty and recall at end of period $ 7,127 $ 7,180 |
Business Realignment
Business Realignment | 3 Months Ended |
Mar. 31, 2016 | |
Business Realignment [Abstract] | |
Business Realignment | (11) Business Realignment The Company regularly evaluates the performance of its businesses and cost structures, including personnel, and makes necessary changes thereto in order to optimize its results. The Company also evaluates the required skill sets of its personnel and periodically makes strategic changes. As a consequence of these actions, the Company incurs severance related costs which are referred to as business realignment charges. Business realignment charges by reportable segment were as follows: Three months ended March 31 2016 Electronics (A) 1,180 PST (B) 722 Total business realignment charges $ 1,902 (A) Severance costs related to selling, general and administrative and design and development were $196 and $984 , respectively. (B) Severance costs related to cost of goods sold, selling, general and administrative and design and development were $179 , $468 and $75 , respectively. Business realignment charges classified by statement of operations line item were as follows: Three months ended March 31 2016 Cost of goods sold $ 179 Selling, general and administrative 664 Design and development 1,059 Total business realignment charges $ 1,902 There were no business realignment charges recorded for the three months ended March 31, 2015. |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2016 | |
Income Taxes [Abstract] | |
Income Taxes | (12) Income Taxes The Company computes its consolidated income tax provision each quarter based on a projected annual effective tax rate, as required. The Company is required to reduce deferred tax assets by a valuation allowance if, based on all available evidence, it is considered more likely than not that some portion or all of the benefit of the deferred tax assets will not be realized in future periods. The Company also records the income tax impact of certain discrete, unusual or infrequently occurring items including changes in judgment about valuation allowances and effects of changes in tax laws or rates, in the interim period in which they occur. When a company maintains a valuation allowance in a particular jurisdiction, no net tax expense or (benefit) will typically be provided on income (loss) for that jurisdiction on an annual basis. Jurisdictions with projected income that maintain a valuation allowance typically will form part of the projected annual effective tax rate calculation discussed above. However, jurisdictions with a projected loss for the year that maintain a valuation allowance are excluded from the projected annual effective income tax rate calculation. Instead, the income tax for these jurisdictions is computed separately. The actual year to date income tax expense (benefit) is the product of the most current projected annual effective income tax rate and the actual year to date pre-tax income (loss) adjusted for any discrete tax items. The income tax expense (benefit) for a particular quarter is the difference between the year to date calculation of income tax expense (benefit) and the year to date calculation for the prior quarter. Therefore, the actual effective income tax rate during a particular quarter can vary significantly based upon the jurisdictional mix and timing of actual earnings compared to projected annual earnings, permanent items, earnings for those jurisdictions that maintain a valuation allowance, tax associated with jurisdictions excluded from the projected annual effective income tax rate calculation and discrete items. The Company recognized an income tax expense of $845 and $147 from continuing operations for federal, state and foreign income taxes for the three months ended March 31, 2016 and 2015, respectively. The increase in tax expense for the three months ended March 31, 2016 compared to the same period for 2015 was primarily due to the increase in consolidated earnings. In addition, tax expense increased due to the PST operating loss which generated a benefit for the first quarter of 2015, however, due to the valuation allowance position taken in the fourth quarter of 2015, no longer provides a tax benefit in 2016. T he effective tax rate increased to 12.2% in the first quarter of 2016 from 6.5% in the first quarter of 2015 primarily due to the PST loss which, due to a full valuation allowance, negatively impacts the effective tax rate. The impact of PST on the effective tax rate was partially offset by the income of the U.S. operations which, due to a full valuation allowance, positively impacts the effective tax rate. |
Segment Reporting
Segment Reporting | 3 Months Ended |
Mar. 31, 2016 | |
Segment Reporting [Abstract] | |
Segment Reporting | (1 3 ) Segment Reporting Operating segments are defined as components of an enterprise that are evaluated regularly by the Company's chief operating decision maker in deciding how to allocate resources and in assessing performance. The Company's chief operating decision maker is the chief executive officer. The Company has three reportable segments , Control Devices, Electronics and PST , which also represent its operating segments. The Control Devices reportable segment produces sensors, switches, valves and actuators. The Electronics reportable segment produces electronic instrument clusters, electronic control units and driver information systems. The PST reportable segment designs and manufactures electronic vehicle security alarms, convenience accessories, vehicle tracking devices and monitoring services and in-vehicle audio and video devices. The accounting policies of the Company's reportable segments are the same as those described in Note 2, “Summary of Significant Accounting Policies” of the Company's 2015 Form 10-K. The Company's management evaluates the performance of its reportable segments based primarily on revenues from external customers and operating income (loss) . Inter-segment sales are accounted for on terms similar to those to third parties and are eliminated upon consolidation. A summary of financial information by reportable segment is as follows: Three months ended March 31 2016 2015 Net Sales: Control Devices $ 92,368 $ 79,870 Inter-segment sales 533 688 Control Devices net sales 92,901 80,558 Electronics 52,636 56,432 Inter-segment sales 7,027 4,966 Electronics net sales 59,663 61,398 PST 17,612 26,523 Inter-segment sales - - PST net sales 17,612 26,523 Eliminations (7,560) (5,654) Total net sales $ 162,616 $ 162,825 Operating Income (Loss): Control Devices $ 13,517 $ 9,605 Electronics 3,820 3,424 PST (3,117) (2,650) Unallocated Corporate (A) (5,714) (7,253) Total operating income $ 8,506 $ 3,126 Depreciation and Amortization: Control Devices $ 2,309 $ 2,459 Electronics 1,040 956 PST 1,850 2,687 Corporate 70 14 Total depreciation and amortization (B) $ 5,269 $ 6,116 Interest Expense, net: Control Devices $ 61 $ 85 Electronics 39 45 PST 750 420 Corporate 664 728 Total interest expense, net $ 1,514 $ 1,278 Capital Expenditures: Control Devices $ 2,727 $ 4,035 Electronics 3,131 1,938 PST 854 1,373 Corporate 105 1,144 Total capital expenditures $ 6,817 $ 8,490 March 31, December 31, 2016 2015 Total Assets: Control Devices $ 145,383 $ 127,649 Electronics 110,540 97,443 PST 105,181 100,143 Corporate (C) 280,641 288,806 Eliminations (248,019) (249,789) Total assets $ 393,726 $ 364,252 (A) Unallocated Corporate expenses include, among other items, finance, legal , human resources and information technology costs as well as share-based compensation. (B) These amounts represent depreciation and amortization on property, plant and eq uipment and certain intangible assets. (C) Assets located at Corporate consist primarily of cash, intercompany loan receivables, equity investments and investments in subsidiaries. The following table presents net sales and long-term assets for each of the geographic areas in which the Company operates: Three months ended March 31 2016 2015 Net Sales: North America $ 99,119 $ 89,753 South America 17,612 26,523 Europe and Other 45,885 46,549 Total net sales $ 162,616 $ 162,825 March 31, December 31, 2016 2015 Long-term Assets: North America $ 60,547 $ 60,099 South America 60,799 56,943 Europe and Other 17,073 15,301 Total long-term assets $ 138,419 $ 132,343 |
Investments
Investments | 3 Months Ended |
Mar. 31, 2016 | |
Investments [Abstract] | |
Investments | (1 4 ) Investments Minda Stoneridge Instruments Ltd. The Company has a 49% interest in Minda Stoneridge Instruments Ltd. (“Minda”) , a company based in India that manufactures electronics, instrumentation equipment and sensors primarily for the motorcycle and commercial vehicle market. The investment is accounted for under the equity method of accounting. The Company's investment in Minda , recorded as a component of investments and other long-term assets, net on the condensed consolidated balance sheets, was $7,067 and $6,929 at March 31, 2016 and December 31, 201 5 , respectively. Equity in earnings of Minda included in the condensed consolidated statements of operations was $143 and $189 , for the three months ended March 31, 2016 and 2015 , respectively. PST Eletrônica Ltda. The Company has a 74% controlling interest in PST. Noncontrolling interest in PST increased to $13,370 at March 31, 2016 due to comprehensive income of $60 resulting from a favorable change in foreign currency translation of $1,190 partially offset by a pr oportionate share of its net loss of $1,130 for the three months ended March 31, 2016 . N oncontrolling interest in PST de creased to $18,321 at March 31, 2015 due to comprehensive loss of $4,229 resulting from a proportionate share of its net loss of $409 and an unfavorable change in foreign currency translation of $3,820 . PST has dividends payable declared in previous years to noncontrolling interest of $10,842 Brazilian real ( $3,046 ) at March 31, 2016. |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Discontinued Operations [Abstract] | |
Statements of Operations for Discontinued Operations | The following table display s summarized activity in the condensed consolidated statements of operations for discontinued operations related to the Wiring business: Three months ended March 31 2015 Loss on disposal (A) $ (178) Income tax expense on loss on disposal 10 Loss on disposal, net of tax (168) Loss from discontinued operations $ (168) ( A ) Included in loss on disposal for the three months ended March 31, 201 5 were transaction costs of $46 and a working capital adjustment of $ 132 . |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Inventories [Abstract] | |
Schedule of Inventory, Current | Inventory cost includes material, labor and overhead. Inventories consisted of the following: March 31, December 31, 2016 2015 Raw materials $ 40,498 $ 36,021 Work-in-progress 8,581 7,162 Finished goods 20,288 17,826 Total inventories, net $ 69,367 $ 61,009 |
Financial Instruments and Fai23
Financial Instruments and Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Financial Instruments and Fair Value Measurements [Abstract] | |
Notional Amounts and Fair Values of Derivative Instruments in the Consolidated Balance | The notional amounts and fair values of derivative instruments in the condensed consolidated balance sheets were as follows: Prepaid expenses Notional and other current assets / Accrued expenses and amounts (A) other long-term assets other current liabilities March 31, December 31, March 31, December 31, March 31, December 31, 2016 2015 2016 2015 2016 2015 Derivatives designated as hedging instruments Cash Flow Hedges: Forward currency contracts $16,660 $22,208 $3 $474 $63 $84 Derivatives not designated as hedging instruments Forward currency contracts $1,730 $1,647 - - $5 $9 (A) Notional amounts represent the gross contract in U.S. dollars of the derivatives outstanding. |
Amounts Recorded for the Cash Flow Hedges in Other Comprehensive Income (Loss) in Shareholders' Equity and in Net Income | Amounts recorded for the cash flow hedges in other comprehensive loss and in net income for the three months ended March 31 are as follows: Gain (loss) recorded Loss reclassified from in other comprehensive other comprehensive income income (loss) (loss) into net income 2016 2015 2016 2015 Derivatives designated as cash flow hedges: Forward currency contracts $ (494) $ 797 $ (44) $ (138) Total derivatives designated as cash flow hedges $ (494) $ 797 $ (44) $ (138) |
Schedule of Assets and Liabilities that are Measured at Fair Value on a Recurring Basis | The following table presents the Company’s assets and liabilities that are measured at fair value on a recurring basis and are categorized using the three levels of the fair value hierarchy based on the reliability of the inputs used. March 31 , December 31, 2016 2015 Fair values estimated using Level 1 Level 2 Level 3 Fair value inputs (A) inputs (B) inputs (C) Fair value Financial assets carried at fair value: Forward currency contracts $ 3 $ - $ 3 $ - $ 474 Total financial assets carried at fair value $ 3 $ - $ 3 $ - $ 474 Financial liabilities carried at fair value: Forward currency contracts $ 68 $ - $ 68 $ - $ 93 Total financial liabilities carried at fair value $ 68 $ - $ 68 $ - $ 93 (A) Fair values estimated using Level 1 inputs, which consist of quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. The Company did not have any recurring fair value estimates using Level 1 inputs at March 31, 2016 or December 31, 201 5 . (B) Fair values estimated using Level 2 inputs, other than quoted prices, that are observable for the asset or liability, either directly or indirectly and include among other things, quoted prices for similar assets or liabilities in markets that are active or inactive as well as inputs other than quoted prices that are observable. For forward currency contracts , inputs include foreign currency exchange rates . (C) Fair values estimated using Level 3 inputs consist of significant unobservable inputs. The Company did not have any recurring fair value estimates using Level 3 inputs at March 31 , 201 6 or December 31, 201 5 . |
Debt (Tables)
Debt (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Debt [Abstract] | |
Schedule of Debt | Debt consisted of the following at March 31, 2016 and December 31, 2015: Interest rates at March 31, December 31, March 31, 2016 2015 2016 Maturity Revolving Credit Facility Credit facility $ 100,000 $ 100,000 1.69% September 2019 Debt PST short-term obligations 14,205 11,556 4.85% - 19.66% 2016 - 2017 PST long-term notes 6,504 6,428 6.2% - 8.0% 2017 - 2021 Other 324 379 Total debt 21,033 18,363 Less: current portion (16,827) (13,905) Total long-term debt, net $ 4,206 $ 4,458 |
Earnings (Loss) Per Share (Tabl
Earnings (Loss) Per Share (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Earnings (Loss) Per Share [Abstract] | |
Schedule of Weighted-Average Number of Shares | Weighted-average Common Shares outstanding used in calculating basic and diluted earnings (loss) per share were as follows: Three months ended March 31 2016 2015 Basic weighted-average Common Shares outstanding 27,675,938 27,145,873 Effect of dilutive shares 479,835 746,806 Diluted weighted-average Common Shares outstanding 28,155,773 27,892,679 |
Changes in Accumulated Other 26
Changes in Accumulated Other Comprehensive Loss by Component (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Changes in Accumulated Other Comprehensive Loss by Component [Abstract] | |
Changes in Accumulated Other Comprehensive Loss by Component | Changes in accumulated other comprehensive loss for the three months ended March 31, 2016 and 2015 were as follows: Foreign Unrealized Benefit currency gain (loss) plan translation on derivatives liability Total Balance at January 1, 2016 $ (70,296) $ 390 $ 84 $ (69,822) Other comprehensive income (loss) before reclassifications 4,728 (494) - 4,234 Amounts reclassified from accumulated other comprehensive loss - 44 - 44 Net other comprehensive income (loss), net of tax 4,728 (450) - 4,278 Balance at March 31, 2016 $ (65,568) $ (60) $ 84 $ (65,544) Balance at January 1, 2015 $ (45,603) $ 1 $ 129 $ (45,473) Other comprehensive income (loss) before reclassifications (14,962) 797 (45) (14,210) Amounts reclassified from accumulated other comprehensive loss - 138 - 138 Net other comprehensive income (loss), net of tax (14,962) 935 (45) (14,072) Balance at March 31, 2015 $ (60,565) $ 936 $ 84 $ (59,545) |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Commitments and Contingencies [Abstract] | |
Schedule of Product Warranty Liability | The following provides a reconciliation of changes in product warranty and recall liability: Three months ended March 31 2016 2015 Product warranty and recall at beginning of period $ 6,419 $ 7,601 Accruals for products shipped during period 1,358 1,381 Aggregate changes in pre-existing liabilities due to claim developments (302) (57) Settlements made during the period (348) (1,745) Product warranty and recall at end of period $ 7,127 $ 7,180 |
Business Realignment (Tables)
Business Realignment (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Business Realignment [Abstract] | |
Schedule of Restructuring and Related Costs | Business realignment charges by reportable segment were as follows: Three months ended March 31 2016 Electronics (A) 1,180 PST (B) 722 Total business realignment charges $ 1,902 (A) Severance costs related to selling, general and administrative and design and development were $196 and $984 , respectively. (B) Severance costs related to cost of goods sold, selling, general and administrative and design and development were $179 , $468 and $75 , respectively. |
Schedule of Business Realignment Charges Classified by Statement of Operations | Business realignment charges classified by statement of operations line item were as follows: Three months ended March 31 2016 Cost of goods sold $ 179 Selling, general and administrative 664 Design and development 1,059 Total business realignment charges $ 1,902 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 3 Months Ended |
Mar. 31, 2016 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | A summary of financial information by reportable segment is as follows: Three months ended March 31 2016 2015 Net Sales: Control Devices $ 92,368 $ 79,870 Inter-segment sales 533 688 Control Devices net sales 92,901 80,558 Electronics 52,636 56,432 Inter-segment sales 7,027 4,966 Electronics net sales 59,663 61,398 PST 17,612 26,523 Inter-segment sales - - PST net sales 17,612 26,523 Eliminations (7,560) (5,654) Total net sales $ 162,616 $ 162,825 Operating Income (Loss): Control Devices $ 13,517 $ 9,605 Electronics 3,820 3,424 PST (3,117) (2,650) Unallocated Corporate (A) (5,714) (7,253) Total operating income $ 8,506 $ 3,126 Depreciation and Amortization: Control Devices $ 2,309 $ 2,459 Electronics 1,040 956 PST 1,850 2,687 Corporate 70 14 Total depreciation and amortization (B) $ 5,269 $ 6,116 Interest Expense, net: Control Devices $ 61 $ 85 Electronics 39 45 PST 750 420 Corporate 664 728 Total interest expense, net $ 1,514 $ 1,278 Capital Expenditures: Control Devices $ 2,727 $ 4,035 Electronics 3,131 1,938 PST 854 1,373 Corporate 105 1,144 Total capital expenditures $ 6,817 $ 8,490 March 31, December 31, 2016 2015 Total Assets: Control Devices $ 145,383 $ 127,649 Electronics 110,540 97,443 PST 105,181 100,143 Corporate (C) 280,641 288,806 Eliminations (248,019) (249,789) Total assets $ 393,726 $ 364,252 (A) Unallocated Corporate expenses include, among other items, finance, legal , human resources and information technology costs as well as share-based compensation. (B) These amounts represent depreciation and amortization on property, plant and eq uipment and certain intangible assets. (C) Assets located at Corporate consist primarily of cash, intercompany loan receivables, equity investments and investments in subsidiaries. |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas | The following table presents net sales and long-term assets for each of the geographic areas in which the Company operates: Three months ended March 31 2016 2015 Net Sales: North America $ 99,119 $ 89,753 South America 17,612 26,523 Europe and Other 45,885 46,549 Total net sales $ 162,616 $ 162,825 March 31, December 31, 2016 2015 Long-term Assets: North America $ 60,547 $ 60,099 South America 60,799 56,943 Europe and Other 17,073 15,301 Total long-term assets $ 138,419 $ 132,343 |
Discontinued Operations (Narrat
Discontinued Operations (Narrative) (Details) - USD ($) $ in Thousands | Aug. 01, 2014 | Mar. 31, 2016 | Jun. 30, 2015 | Mar. 31, 2015 | May. 26, 2014 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Post-disposition sales to Motherson acquired Wiring business | $ 5,686 | $ 7,228 | |||
Post-disposition purchases from Motherson acquired Wiring business | $ 108 | $ 168 | |||
Wiring [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Cash received for sale of business segment | $ 71,386 | ||||
Preliminary sales price | $ 65,700 | ||||
Payment for working capital adjustment related to segment sale | $ 1,230 |
Discontinued Operations Stateme
Discontinued Operations Statements of Operations (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2015USD ($) | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Loss on disposal, net of tax | $ (168) | |
Loss from discontinued operations | (168) | |
Gain (loss) on disposal from working capital and other adjustments | (132) | |
Transaction costs related to Wiring sale | 46 | |
Wiring [Member] | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Loss on disposal | (178) | [1] |
Income tax expense on loss on disposal | 10 | |
Loss on disposal, net of tax | (168) | |
Loss from discontinued operations | $ (168) | |
[1] | Included in loss on disposal for the three months ended March 31, 2015 were transaction costs of $46 and a working capital adjustment of $132. |
Inventories (Narrative) (Detail
Inventories (Narrative) (Details) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Inventories [Abstract] | ||
Inventory amount, FIFO | $ 43,639 | $ 35,378 |
Inventory amount, weighted average cost | $ 25,728 | $ 25,631 |
Inventories (Schedule of Invent
Inventories (Schedule of Inventories) (Details) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 |
Inventories [Abstract] | ||
Raw materials | $ 40,498 | $ 36,021 |
Work-in-progress | 8,581 | 7,162 |
Finished goods | 20,288 | 17,826 |
Total inventories, net | $ 69,367 | $ 61,009 |
Financial Instruments and Fai34
Financial Instruments and Fair Value Measurements (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2015 | ||
Euro-Denominated Foreign Currency Forward Contracts [Member] | ||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||
Gain (loss) on derivative instruments held for trading purposes, net | $ (82) | $ 388 | ||
Cash Flow Hedging [Member] | ||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||
Amount from cash flow hedge derivatives to be reclassified | 60 | |||
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Forward Currency Contracts [Member] | ||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||
Notional amounts | 16,660 | $ 22,208 | [1] | |
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | U.S. Dollar Denominated Foreign Currency Forward Contracts, Swedish Krona Functional Currency [Member] | ||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||
Notional amounts | 7,621 | 10,007 | ||
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | U.S. Dollar Denominated Foreign Currency Forward Contracts Euro Functional Currency [Member] | ||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||
Notional amounts | 1,802 | 2,421 | ||
Designated as Hedging Instrument [Member] | Cash Flow Hedging [Member] | Mexican Peso-Denominated Foreign Currency Forward Contracts [Member] | ||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||
Notional amounts | 7,237 | 9,780 | ||
Not Designated as Hedging Instrument [Member] | Forward Currency Contracts [Member] | ||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||
Notional amounts | 1,730 | 1,647 | [1] | |
Not Designated as Hedging Instrument [Member] | Euro-Denominated Foreign Currency Forward Contracts [Member] | ||||
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items] | ||||
Notional amounts | $ 1,730 | $ 1,647 | ||
[1] | Notional amounts represent the gross contract in U.S. dollars of the derivatives outstanding. |
Financial Instruments and Fai35
Financial Instruments and Fair Value Measurements (Schedule of Derivative Instruments in Statement of Financial Position, Fair Value) (Details) - Forward Currency Contracts [Member] - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 | |
Not Designated as Hedging Instrument [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Notional amounts | $ 1,730 | $ 1,647 | [1] |
Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Notional amounts | 16,660 | 22,208 | [1] |
Other Assets [Member] | Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Cash flow hedges , other derivatives | 3 | 474 | |
Other Liabilities [Member] | Not Designated as Hedging Instrument [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Fair value of other derivatives | (5) | (9) | |
Other Liabilities [Member] | Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Cash flow hedges , other derivatives | $ (63) | $ (84) | |
[1] | Notional amounts represent the gross contract in U.S. dollars of the derivatives outstanding. |
Financial Instruments and Fai36
Financial Instruments and Fair Value Measurements (Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss)) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Derivatives designated as cash flow hedges: | ||
Gain (loss) recorded in other comprehensive income (loss) | $ (494) | $ 797 |
Gain (loss) reclassified from other comprehensive income (loss) into net income (loss) | (44) | (138) |
Designated as Hedging Instrument [Member] | Forward Currency Contracts [Member] | ||
Derivatives designated as cash flow hedges: | ||
Gain (loss) recorded in other comprehensive income (loss) | (494) | 797 |
Gain (loss) reclassified from other comprehensive income (loss) into net income (loss) | $ (44) | $ (138) |
Financial Instruments and Fai37
Financial Instruments and Fair Value Measurements (Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis) (Details) - USD ($) $ in Thousands | Mar. 31, 2016 | Dec. 31, 2015 | |
Financial assets carried at fair value: | |||
Forward currency contracts | $ 3 | $ 474 | |
Total financial assets carried at fair value | 3 | 474 | |
Financial liabilities carried at fair value: | |||
Forward currency contracts | 68 | 93 | |
Total financial liabilities carried at fair value | $ 68 | $ 93 | |
Fair Value, Inputs, Level 1 [Member] | |||
Financial assets carried at fair value: | |||
Forward currency contracts | [1] | ||
Total financial assets carried at fair value | [1] | ||
Financial liabilities carried at fair value: | |||
Forward currency contracts | [1] | ||
Total financial liabilities carried at fair value | [1] | ||
Fair Value, Inputs, Level 2 [Member] | |||
Financial assets carried at fair value: | |||
Forward currency contracts | [2] | $ 3 | |
Total financial assets carried at fair value | [2] | 3 | |
Financial liabilities carried at fair value: | |||
Forward currency contracts | [2] | 68 | |
Total financial liabilities carried at fair value | [2] | $ 68 | |
Fair Value, Inputs, Level 3 [Member] | |||
Financial assets carried at fair value: | |||
Forward currency contracts | [3] | ||
Total financial assets carried at fair value | [3] | ||
Financial liabilities carried at fair value: | |||
Forward currency contracts | [3] | ||
Total financial liabilities carried at fair value | [3] | ||
[1] | Fair values estimated using Level 1 inputs, which consist of quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. The Company did not have any recurring fair value estimates using Level 1 inputs at March 31, 2016 or December 31, 2015. | ||
[2] | Fair values estimated using Level 2 inputs, other than quoted prices, that are observable for the asset or liability, either directly or indirectly and include among other things, quoted prices for similar assets or liabilities in markets that are active or inactive as well as inputs other than quoted prices that are observable. For forward currency contracts, inputs include foreign currency exchange rates. | ||
[3] | Fair values estimated using Level 3 inputs consist of significant unobservable inputs. The Company did not have any recurring fair value estimates using Level 3 inputs at March 31, 2016 or December 31, 2015 |
Share-Based Compensation (Narra
Share-Based Compensation (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
CEO Retirement Additional Expense [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Additional stock compensation expense in connection with retirement of former President and CEO | $ 2,225 | |
Selling, General and Administrative [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Allocated share-based compensation expense | $ 960 | $ 3,325 |
Debt (Narrative) (Details)
Debt (Narrative) (Details) SEK in Thousands, $ in Thousands | 3 Months Ended | |||||
Mar. 31, 2016SEK | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Sep. 12, 2014USD ($) | Oct. 04, 2010 | Nov. 02, 2007USD ($) | |
Debt Instrument [Line Items] | ||||||
Borrowings outstanding | $ 100,000 | $ 100,000 | ||||
Maximum leverage ratio | 300.00% | 300.00% | ||||
Minimum interest coverage ratio | 350.00% | 350.00% | ||||
Senior Notes [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt interest rate | 9.50% | |||||
Revolving Credit Facility [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Debt interest rate | 1.69% | 1.69% | ||||
Line of credit facility, maximum borrowing capacity | $ 300,000 | $ 100,000 | ||||
Increase in maximum borrowing capacity of credit facility | $ 80,000 | |||||
Borrowings outstanding | $ 100,000 | 100,000 | ||||
Line of credit expiration date | Sep. 12, 2019 | |||||
Revolving Credit Facility [Member] | Maximum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Credit facility, commitment fee percentage | 0.35% | |||||
Revolving Credit Facility [Member] | Minimum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Credit facility, commitment fee percentage | 0.20% | |||||
Term Loan [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Line of credit, current | $ 0 | 0 | ||||
Credit Facility [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Credit Facility covenant compliance | The Company was in compliance with all credit facility covenants at March 31, 2016 and December 31, 2015 | |||||
PST Debt [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Notes covenant compliance | The Company was in compliance with all debt covenants at March 31, 2016 and December 31, 2015. | |||||
PST Eletronicaltda [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Long-term debt, weighted average interest rate | 7.30% | 7.30% | ||||
Short-term debt, weighted average interest rate | 16.00% | 16.00% | ||||
PST Eletronicaltda [Member] | Term Loan [Member] | ||||||
Debt Instrument [Line Items] | ||||||
April 2016 through March 2017 | $ 16,503 | |||||
April 2017 to December 2017 | 1,400 | |||||
2,018 | 1,082 | |||||
2,019 | 1,058 | |||||
2,020 | 363 | |||||
2,021 | 303 | |||||
Electronics [Member] | Line of Credit [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Line of credit facility, maximum borrowing capacity | SEK 20,000 | $ 2,464 | $ 2,369 |
Debt (Schedule of Debt) (Detail
Debt (Schedule of Debt) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2016 | Dec. 31, 2015 | Oct. 04, 2010 | |
Debt Instrument [Line Items] | |||
Revolving credit facility | $ 100,000 | $ 100,000 | |
Debt: | |||
Total debt | 21,033 | 18,363 | |
Less: current portion | (16,827) | (13,905) | |
Total long-term debt, net | 4,206 | 4,458 | |
Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Revolving credit facility | $ 100,000 | 100,000 | |
Debt: | |||
Debt interest rate | 1.69% | ||
Debt, maturity | September 2,019 | ||
Senior Notes [Member] | |||
Debt: | |||
Debt interest rate | 9.50% | ||
PST Short-Term Notes [Member] | |||
Debt Instrument [Line Items] | |||
Short-term debt | $ 14,205 | 11,556 | |
Debt: | |||
Debt maturity period range start | 2,016 | ||
Debt maturity period range end | 2,017 | ||
PST Short-Term Notes [Member] | Maximum [Member] | |||
Debt: | |||
Interest rate maximum | 19.66% | ||
PST Short-Term Notes [Member] | Minimum [Member] | |||
Debt: | |||
Interest rate minimum | 4.85% | ||
PST Long-Term Notes [Member] | |||
Debt: | |||
Total long-term debt, net | $ 6,504 | 6,428 | |
Debt maturity period range start | 2,017 | ||
Debt maturity period range end | 2,021 | ||
PST Long-Term Notes [Member] | Maximum [Member] | |||
Debt: | |||
Interest rate maximum | 8.00% | ||
PST Long-Term Notes [Member] | Minimum [Member] | |||
Debt: | |||
Interest rate minimum | 6.20% | ||
Other [Member] | |||
Debt: | |||
Total debt | $ 324 | $ 379 |
Earnings (Loss) Per Share (Nara
Earnings (Loss) Per Share (Narative) (Details) - shares | Mar. 31, 2016 | Mar. 31, 2015 |
Performance Based Restricted Common Shares [Member] | ||
Common shares, non-vested | 0 | 234,450 |
Performance Based Right to Received Common Shares [Member] | ||
Common shares, non-vested | 803,100 | 710,235 |
Earnings (Loss) Per Share (Weig
Earnings (Loss) Per Share (Weighted Average Shares Oustanding Used in Calculating Basic and Diluted Net Income Per Share) (Details) - shares | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Earnings (Loss) Per Share [Abstract] | ||
Basic weighted-average common shares outstanding | 27,675,938 | 27,145,873 |
Effect of dilutive shares | 479,835 | 746,806 |
Diluted weighted-average common shares outstanding | 28,155,773 | 27,892,679 |
Changes in Accumulated Other 43
Changes in Accumulated Other Comprehensive Loss by Component (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2015 | Dec. 31, 2014 | |
Changes in Accumulated Other Comprehensive Loss by Component [Abstract] | ||||
Foreign currency translation, Beginning balance | $ (70,296) | $ (45,603) | ||
Foreign currency translation, Other comprehensive income (loss) before reclassifications | 4,728 | (14,962) | ||
Other comprehensive income (loss), Foreign currency transaction and translation adjustment, net of tax | 4,728 | (14,962) | ||
Foreign currency translation, Ending balance | (65,568) | (60,565) | ||
Unrealized gain (loss) on hedging activities, Beginning balance | 390 | 1 | ||
Unrealized gain (loss) on hedging activities, Other comprehensive income (loss) before reclassifications | (494) | 797 | ||
Unrealized gain (loss) on hedging activities, Amounts reclassified from accumulated other comprehensive loss | 44 | 138 | ||
Unrealized gain (loss) on hedging activities, Net other comprehensive income (loss), net of tax | (450) | 935 | ||
Unrealized gain (loss) on hedging activities, Ending balance | (60) | 936 | ||
Benefit plan liability, Beginning balance | 84 | 129 | ||
Benefit plan liability, Other comprehensive loss before reclassifications | (45) | |||
Benefit plan liability, Other comprehensive income (loss) | (45) | |||
Benefit plan liability, Ending balance | 84 | 84 | ||
Total, Other comprehensive income (loss) before reclassifications | 4,234 | (14,210) | ||
Total, Amounts reclassified from accumulated other comprehensive loss | 44 | 138 | ||
Other comprehensive income (loss), net of tax | 4,278 | (14,072) | ||
Accumulated other comprehensive income (loss), net of tax, total | $ (65,544) | $ (59,545) | $ (69,822) | $ (45,473) |
Commitments and Contingencies44
Commitments and Contingencies (Narrative) (Details) € in Thousands, BRL in Thousands, $ in Thousands, item in Millions | 3 Months Ended | 24 Months Ended | ||||
Mar. 31, 2016EUR (€)itemcustomer | Dec. 31, 2010 | Mar. 31, 2016BRL | Mar. 31, 2016USD ($) | Dec. 31, 2015BRL | Dec. 31, 2015USD ($) | |
Short-term Debt [Line Items] | ||||||
Environmental remediation accrued undiscounted liability | $ 505 | $ 532 | ||||
Number of people the plaintiff states have damages | customer | 120,000 | |||||
Number of vehicles the plaintiff states are effected | item | 1 | |||||
Maximum loss per plaintiff | 1 | |||||
Percentage of state value added tax | 25.00% | |||||
Product warranty and recall accrual | 2,076 | 1,973 | ||||
Electronics [Member] | ||||||
Short-term Debt [Line Items] | ||||||
Loss contingency, estimate of possible loss | € 14,000 | 16,000 | ||||
Accrued Expenses and Other Current Liabilities [Member] | ||||||
Short-term Debt [Line Items] | ||||||
Environmental remediation accrued undiscounted liability | 441 | 469 | ||||
Letter of Credit [Member] | ||||||
Short-term Debt [Line Items] | ||||||
Line of credit | 2,000 | |||||
PST Eletronicaltda [Member] | ||||||
Short-term Debt [Line Items] | ||||||
Loss contingencies aggregate tax assessment not accrued | BRL 92,500 | 26,000 | ||||
PST Eletronicaltda [Member] | Civil, labor and other tax contingencies [Member] | ||||||
Short-term Debt [Line Items] | ||||||
Loss contingency, estimate of possible loss | 26,700 | 7,500 | BRL 25,400 | $ 6,500 | ||
PST Eletronicaltda [Member] | Value Added Tax [Member] | ||||||
Short-term Debt [Line Items] | ||||||
Loss contingencies aggregate tax assessment not accrued | 13,200 | 3,700 | ||||
PST Eletronicaltda [Member] | Interest On Tax [Member] | ||||||
Short-term Debt [Line Items] | ||||||
Loss contingencies aggregate tax assessment not accrued | 11,400 | 3,200 | ||||
PST Eletronicaltda [Member] | Penalties On Tax [Member] | ||||||
Short-term Debt [Line Items] | ||||||
Loss contingencies aggregate tax assessment not accrued | BRL 67,900 | $ 19,100 |
Commitments and Contingencies45
Commitments and Contingencies (Reconciliation of Changes in Product Warranty and Recall Liability) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Commitments and Contingencies [Abstract] | ||
Product warranty and recall at beginning of period | $ 6,419 | $ 7,601 |
Accruals for products shipped during period | 1,358 | 1,381 |
Aggregate changes in pre-existing liabilities due to claim developments | (302) | (57) |
Settlements made during the period | (348) | (1,745) |
Product warranty and recall at end of period | $ 7,127 | $ 7,180 |
Business Realignment (Narrative
Business Realignment (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Restructuring Cost and Reserve [Line Items] | ||
Total business realignment charges | $ 1,902 | $ 0 |
Selling, General and Administrative [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Total business realignment charges | 664 | |
Cost of Goods Sold [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Total business realignment charges | 179 | |
Design and Development Expense [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Total business realignment charges | $ 1,059 |
Business Realignment (Schedule
Business Realignment (Schedule of Restructuring and Related Costs) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | ||
Restructuring Cost and Reserve [Line Items] | |||
Total business realignment charges | $ 1,902 | $ 0 | |
Cost of Goods Sold [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Total business realignment charges | 179 | ||
Selling, General and Administrative [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Total business realignment charges | 664 | ||
Design and Development Expense [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Total business realignment charges | 1,059 | ||
Electronics [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Total business realignment charges | [1] | 1,180 | |
Electronics [Member] | Selling, General and Administrative [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Severance costs | 196 | ||
Electronics [Member] | Design and Development Expense [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Severance costs | 984 | ||
PST Segment [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Total business realignment charges | [2] | 722 | |
PST Segment [Member] | Cost of Goods Sold [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Severance costs | 179 | ||
PST Segment [Member] | Selling, General and Administrative [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Severance costs | 468 | ||
PST Segment [Member] | Design and Development Expense [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Severance costs | $ 75 | ||
[1] | Severance costs related to selling, general and administrative and design and development were $196 and $984, respectively. | ||
[2] | Severance costs related to cost of goods sold, selling, general and administrative and design and development were $179, $468 and $75, respectively. |
Business Realignment (Schedul48
Business Realignment (Schedule of Business Realignment Charges Classified by Statement of Operations) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Restructuring Cost and Reserve [Line Items] | ||
Total business realignment charges | $ 1,902 | $ 0 |
Cost of Goods Sold [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Total business realignment charges | 179 | |
Selling, General and Administrative [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Total business realignment charges | 664 | |
Design and Development Expense [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Total business realignment charges | $ 1,059 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2016 | Mar. 31, 2015 | |
Income Taxes [Abstract] | ||
Income tax expense from continuing operations | $ 845 | $ 147 |
Effective income tax rate | 12.20% | 6.50% |
Segment Reporting (Narrative) (
Segment Reporting (Narrative) (Details) | 3 Months Ended |
Mar. 31, 2016segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 3 |
Segment Reporting (Schedule of
Segment Reporting (Schedule of Segment Reporting Information, by Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2015 | ||
Net Sales: | ||||
Total net sales | $ 162,616 | $ 162,825 | ||
Income (Loss) Before Income Taxes: | ||||
Total operating income (loss) | 8,506 | 3,126 | ||
Total income before income taxes | 6,954 | 2,250 | ||
Interest Expense, net: | ||||
Interest expense, net | 1,514 | 1,278 | ||
Capital Expenditures: | ||||
Capital expenditures | 6,817 | 8,490 | ||
Total Assets: | ||||
Total assets | 393,726 | $ 364,252 | ||
Continuing Operations [Member] | ||||
Net Sales: | ||||
Total net sales | 162,616 | 162,825 | ||
Depreciation and Amortization: | ||||
Total depreciation and amortization | [1] | 5,269 | 6,116 | |
Interest Expense, net: | ||||
Interest expense, net | 1,514 | 1,278 | ||
Capital Expenditures: | ||||
Capital expenditures | 6,817 | 8,490 | ||
Total Assets: | ||||
Total assets | 393,726 | 364,252 | ||
Operating Segments [Member] | Continuing Operations [Member] | ||||
Income (Loss) Before Income Taxes: | ||||
Total operating income (loss) | 8,506 | 3,126 | ||
Intersegment Eliminations [Member] | Continuing Operations [Member] | ||||
Net Sales: | ||||
Total net sales | (7,560) | (5,654) | ||
Total Assets: | ||||
Total assets | (248,019) | (249,789) | ||
Electronics [Member] | ||||
Net Sales: | ||||
Total net sales | 59,663 | 61,398 | ||
Electronics [Member] | Operating Segments [Member] | Continuing Operations [Member] | ||||
Net Sales: | ||||
Total net sales | 52,636 | 56,432 | ||
Income (Loss) Before Income Taxes: | ||||
Total operating income (loss) | 3,820 | 3,424 | ||
Depreciation and Amortization: | ||||
Total depreciation and amortization | 1,040 | 956 | ||
Interest Expense, net: | ||||
Interest expense, net | 39 | 45 | ||
Capital Expenditures: | ||||
Capital expenditures | 3,131 | 1,938 | ||
Total Assets: | ||||
Total assets | 110,540 | 97,443 | ||
Electronics [Member] | Inter-Segment [Member] | Continuing Operations [Member] | ||||
Net Sales: | ||||
Total net sales | 7,027 | 4,966 | ||
Control Devices [Member] | ||||
Net Sales: | ||||
Total net sales | 92,901 | 80,558 | ||
Control Devices [Member] | Operating Segments [Member] | Continuing Operations [Member] | ||||
Net Sales: | ||||
Total net sales | 92,368 | 79,870 | ||
Income (Loss) Before Income Taxes: | ||||
Total operating income (loss) | 13,517 | 9,605 | ||
Depreciation and Amortization: | ||||
Total depreciation and amortization | 2,309 | 2,459 | ||
Interest Expense, net: | ||||
Interest expense, net | 61 | 85 | ||
Capital Expenditures: | ||||
Capital expenditures | 2,727 | 4,035 | ||
Total Assets: | ||||
Total assets | 145,383 | 127,649 | ||
Control Devices [Member] | Inter-Segment [Member] | Continuing Operations [Member] | ||||
Net Sales: | ||||
Total net sales | 533 | 688 | ||
Corporate [Member] | Continuing Operations [Member] | ||||
Interest Expense, net: | ||||
Interest expense, net | 664 | 728 | ||
Capital Expenditures: | ||||
Capital expenditures | 105 | 1,144 | ||
Total Assets: | ||||
Total assets | [2] | 280,641 | 288,806 | |
Corporate [Member] | Operating Segments [Member] | Continuing Operations [Member] | ||||
Income (Loss) Before Income Taxes: | ||||
Total operating income (loss) | [3] | (5,714) | (7,253) | |
Depreciation and Amortization: | ||||
Total depreciation and amortization | 70 | 14 | ||
PST [Member] | ||||
Net Sales: | ||||
Total net sales | 17,612 | 26,523 | ||
PST [Member] | Operating Segments [Member] | Continuing Operations [Member] | ||||
Net Sales: | ||||
Total net sales | 17,612 | 26,523 | ||
Income (Loss) Before Income Taxes: | ||||
Total operating income (loss) | (3,117) | (2,650) | ||
Depreciation and Amortization: | ||||
Total depreciation and amortization | 1,850 | 2,687 | ||
Interest Expense, net: | ||||
Interest expense, net | 750 | 420 | ||
Capital Expenditures: | ||||
Capital expenditures | 854 | $ 1,373 | ||
Total Assets: | ||||
Total assets | $ 105,181 | $ 100,143 | ||
PST [Member] | Inter-Segment [Member] | Continuing Operations [Member] | ||||
Net Sales: | ||||
Total net sales | ||||
[1] | These amounts represent depreciation and amortization on property, plant and equipment and certain intangible assets. | |||
[2] | Assets located at Corporate consist primarily of cash, intercompany loan receivables, equity investments and investments in subsidiaries. | |||
[3] | Unallocated Corporate expenses include, among other items, finance, legal, human resources and information technology costs as well as share-based compensation. |
Segment Reporting (Schedule o52
Segment Reporting (Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas) (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2016 | Mar. 31, 2015 | Dec. 31, 2015 | |
Net Sales: | |||
Total net sales | $ 162,616 | $ 162,825 | |
Long-term Assets: | |||
Total long-term assets | 138,419 | $ 132,343 | |
Continuing Operations [Member] | |||
Net Sales: | |||
Total net sales | 162,616 | 162,825 | |
Long-term Assets: | |||
Total long-term assets | 138,419 | 132,343 | |
Continuing Operations [Member] | North America [Member] | |||
Net Sales: | |||
Total net sales | 99,119 | 89,753 | |
Long-term Assets: | |||
Total long-term assets | 60,547 | 60,099 | |
Continuing Operations [Member] | South America [Member] | |||
Net Sales: | |||
Total net sales | 17,612 | 26,523 | |
Long-term Assets: | |||
Total long-term assets | 60,799 | 56,943 | |
Continuing Operations [Member] | Europe and Other [Member] | |||
Net Sales: | |||
Total net sales | 45,885 | $ 46,549 | |
Long-term Assets: | |||
Total long-term assets | $ 17,073 | $ 15,301 |
Investments (Narrative) (Detail
Investments (Narrative) (Details) BRL in Thousands, $ in Thousands | 3 Months Ended | ||||
Mar. 31, 2016USD ($) | Mar. 31, 2015USD ($) | Mar. 31, 2016BRL | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | |
Schedule of Equity Method Investments [Line Items] | |||||
Income (loss) from equity method investments | $ 143 | $ 189 | |||
Noncontrolling interest | $ 13,370 | $ 13,310 | |||
Less: income (loss) attributable to noncontrolling interest | $ (1,130) | (409) | |||
PST Eletronicaltda [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Percentage ownership in consolidated subsidiary | 74.00% | ||||
Noncontrolling interest | 18,321 | 13,370 | |||
Foreign currency translation adjustments | $ 1,190 | (3,820) | |||
Less: income (loss) attributable to noncontrolling interest | (1,130) | (409) | |||
Comprehensive income (loss) related to noncontrolling interest | 60 | (4,229) | |||
Dividends payable | BRL 10,842 | $ 3,046 | |||
Minda Stoneridge Instruments Ltd [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Equity method investment, ownership percentage | 49.00% | 49.00% | |||
Equity method investments | $ 7,067 | $ 6,929 | |||
Income (loss) from equity method investments | $ 143 | $ 189 |