Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2017 | Oct. 23, 2017 | |
Document And Entity Information | ||
Entity Registrant Name | TILE SHOP HOLDINGS, INC. | |
Entity Central Index Key | 1,552,800 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Fiscal Period Focus | Q3 | |
Document Period End Date | Sep. 30, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Current Fiscal Year End Date | --12-31 | |
Trading Symbol | tts | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding (in shares) | 52,158,065 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Current assets: | ||
Cash and cash equivalents | $ 12,429 | $ 6,067 |
Restricted cash | 855 | 3,000 |
Trade receivables, net | 2,663 | 2,414 |
Inventories | 70,927 | 74,295 |
Income tax receivable | 2,870 | 1,670 |
Other current assets, net | 4,675 | 8,755 |
Total Current Assets | 94,419 | 96,201 |
Property, plant and equipment, net | 151,388 | 141,037 |
Deferred tax assets | 17,919 | 21,391 |
Long-term restricted cash | 3,881 | |
Other assets | 2,223 | 2,763 |
Total Assets | 265,949 | 265,273 |
Current liabilities: | ||
Accounts payable | 28,406 | 20,321 |
Current portion of long-term debt | 8,193 | 6,286 |
Income tax payable | 157 | 120 |
Other accrued liabilities | 23,970 | 33,461 |
Total Current Liabilities | 60,726 | 60,188 |
Long-term debt, net | 5,689 | 22,126 |
Capital lease obligation, net | 608 | 697 |
Deferred rent | 40,372 | 37,595 |
Other long-term liabilities | 5,043 | 5,768 |
Total Liabilities | 112,438 | 126,374 |
Stockholders’ Equity: | ||
Common stock, par value $0.0001; authorized: 100,000,000 shares; issued and outstanding: 52,071,789 and 51,607,143 shares, respectively | 5 | 5 |
Preferred stock, par value $0.0001; authorized: 10,000,000 shares; issued and outstanding: 0 shares | ||
Additional paid-in-capital | 182,410 | 185,998 |
Accumulated deficit | (28,888) | (47,058) |
Accumulated other comprehensive loss | (16) | (46) |
Total Stockholders' Equity | 153,511 | 138,899 |
Total Liabilities and Stockholders' Equity | $ 265,949 | $ 265,273 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2017 | Dec. 31, 2016 |
Consolidated Balance Sheets [Abstract] | ||
Common stock, par value (per share) | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 52,071,789 | 51,607,143 |
Common stock, shares outstanding | 52,071,789 | 51,607,143 |
Preferred stock, par value (per share) | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Consolidated Statements of Operations [Abstract] | ||||
Net sales | $ 84,421 | $ 78,559 | $ 266,020 | $ 247,543 |
Cost of sales | 27,759 | 23,400 | 82,265 | 73,980 |
Gross profit | 56,662 | 55,159 | 183,755 | 173,563 |
Selling, general and administrative expenses | 52,285 | 47,361 | 154,245 | 142,300 |
Income from operations | 4,377 | 7,798 | 29,510 | 31,263 |
Interest expense | (505) | (363) | (1,438) | (1,382) |
Other income | 34 | 34 | 132 | 102 |
Income before income taxes | 3,906 | 7,469 | 28,204 | 29,983 |
Provision for income taxes | (1,468) | (2,886) | (10,034) | (11,793) |
Net income | $ 2,438 | $ 4,583 | $ 18,170 | $ 18,190 |
Income per common share: | ||||
Basic | $ 0.05 | $ 0.09 | $ 0.35 | $ 0.35 |
Diluted | $ 0.05 | $ 0.09 | $ 0.35 | $ 0.35 |
Weighted average shares outstanding: | ||||
Basic | 51,757,248 | 51,426,104 | 51,638,864 | 51,388,058 |
Diluted | 52,053,655 | 51,929,226 | 52,011,208 | 51,817,588 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Consolidated Statements of Comprehensive Income [Abstract] | ||||
Net income | $ 2,438 | $ 4,583 | $ 18,170 | $ 18,190 |
Currency translation adjustment | 22 | (2) | 30 | (10) |
Other comprehensive income (loss) | 22 | (2) | 30 | (10) |
Comprehensive income | $ 2,460 | $ 4,581 | $ 18,200 | $ 18,180 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity (Deficit) - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings (Deficit) [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Total |
Reclassification of impact of ASU 2016-09 | $ 687 | $ (536) | $ 151 | ||
Adjusted balance | $ 5 | 180,879 | (65,521) | $ (11) | 115,352 |
Balance at Dec. 31, 2015 | $ 5 | 180,192 | (64,985) | (11) | 115,201 |
Balance (in shares) at Dec. 31, 2015 | 51,437,973 | ||||
Issuance of restricted shares (in shares) | 73,384 | ||||
Stock based compensation | 4,333 | 4,333 | |||
Stock option exercises | 786 | 786 | |||
Stock option exercises (in shares) | 95,786 | ||||
Foreign currency translation adjustments | (35) | (35) | |||
Net income | 18,463 | 18,463 | |||
Balance at Dec. 31, 2016 | $ 5 | 185,998 | (47,058) | (46) | $ 138,899 |
Balance (in shares) at Dec. 31, 2016 | 51,607,143 | 51,607,143 | |||
Issuance of restricted shares (in shares) | 161,213 | ||||
Cancellation of restricted shares (in shares) | (9,939) | ||||
Stock based compensation | 2,759 | $ 2,759 | |||
Stock option exercises | 1,417 | 1,417 | |||
Stock option exercises (in shares) | 313,372 | ||||
Dividends paid | (7,764) | (7,764) | |||
Foreign currency translation adjustments | 30 | 30 | |||
Net income | 18,170 | 18,170 | |||
Balance at Sep. 30, 2017 | $ 5 | $ 182,410 | $ (28,888) | $ (16) | $ 153,511 |
Balance (in shares) at Sep. 30, 2017 | 52,071,789 | 52,071,789 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
Cash Flows From Operating Activities | ||
Net income | $ 18,170 | $ 18,190 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation & amortization | 19,395 | 16,954 |
Amortization of debt issuance costs | 526 | 416 |
Loss on disposals of property, plant and equipment | 205 | 420 |
Deferred rent | 2,911 | 1,767 |
Stock based compensation | 2,759 | 3,394 |
Deferred income taxes | 3,472 | 1,065 |
Changes in operating assets and liabilities: | ||
Trade receivables | (249) | (594) |
Inventories | 3,369 | 3,499 |
Prepaid expenses and other assets | 4,163 | (303) |
Accounts payable | 5,421 | 3,337 |
Income tax receivable / payable | (1,163) | (1,188) |
Accrued expenses and other liabilities | (9,624) | 3,721 |
Net cash provided by operating activities | 49,355 | 50,678 |
Cash Flows From Investing Activities | ||
Purchases of property, plant and equipment | (28,031) | (19,645) |
Net cash used in investing activities | (28,031) | (19,645) |
Cash Flows From Financing Activities | ||
Release of restricted cash | 6,026 | |
Payments of long-term debt and capital lease obligations | (44,672) | (32,132) |
Advances on line of credit | 30,000 | |
Dividends paid | (7,764) | |
Proceeds from exercise of stock options | 1,635 | 620 |
Employee taxes paid for shares withheld | (217) | |
Security deposits | (6) | |
Net cash used in financing activities | (14,992) | (31,518) |
Effect of exchange rate changes on cash | 30 | (10) |
Net change in cash | 6,362 | (495) |
Cash and cash equivalents beginning of period | 6,067 | 10,330 |
Cash and cash equivalents end of period | 12,429 | 9,835 |
Supplemental disclosure of cash flow information | ||
Purchases of property, plant and equipment included in accounts payable and accrued expenses | 4,935 | 816 |
Cash paid for interest | 1,453 | 1,483 |
Cash paid for incom taxes, net | $ 7,575 | $ 12,981 |
Background
Background | 9 Months Ended |
Sep. 30, 2017 | |
Background [Abstract] | |
Background | No te 1: Background The Tile Shop, LLC was formed on December 30, 2002, as a Delaware limited liability company and began operations on January 1, 2003. Tile Shop Holdings, Inc. (“Holdings,” and together with its wholly owned subsidiaries, the “Company”) was incorporated under the laws of the state of Delaware in June 2012 to become the parent company of The Tile Shop, LLC. The Company is a specialty retailer of manufactured and natural stone tiles, setting and maintenance materials, and related accessories in the United States. The Company manufactures its own setting and maintenance materials, such as thinset, grout, and sealers. The Company’s primary market is retail sales to consumers, contractors, designers and home builders. As of September 30, 2017 , the Company had 134 stores in 31 states and the District of Columbia, as well as an on-line retail operation. The Company also has distribution centers located in Michigan, New Jersey, Oklahoma, Virginia and Wisconsin. The Company has a sourcing operation located in China. The accompanying Consolidated Financial Statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information and with the rules and regulations for reporting on Form 10 - Q. Accordingly, they do not include certain information and disclosures required for comprehensive financial statements. In the opinion of management, all adjustments considered necessary for a fair presentation have been included and are of a normal recurring nature, including the elimination of all intercompany transactions. Operating results for the three and nine months ended September 30, 2017 are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2017 . These statements should be read in conjunction with the Consolidated Financial Statements and footnotes included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2016 . The accounting policies used in preparing these Consolidated Financial Statements are the same as those described in Note 1 to the Consolidated Financial Statements in such Form 10-K. Recently Adopted Accounting Pronouncements In July 2015, the Financial Accounting Standards Board (“ FASB ”) issued a standard that simplifies the subsequent measurement of inventory. Previously, an entity was required to measure inventory at the lower of cost or market, whereby market can be replacement cost, net realizable value, or net realizable value less an approximately normal profit margin. The changes require d that inventory be measured at the lower of cost and net realizable value, thereby eliminating the use of the other two market methodologies. Net realizable value is defined as the estimated selling prices in the ordinary course of business less reasonably predictable costs of completion, disposal, and transportation. The standard was effective for the Company at the beginning of fiscal 2017. The adoption of this new standard did not have a material effect on the Company’s financial statements. Accounting Pronouncements Not Yet Adopted In May 2014, the FASB issued a final standard on revenue from contracts with customers. This new standard introduces a comprehensive revenue recognition model that requires a company to recognize revenue to depict the transfer of goods or services to a customer at an amount that reflects the consideration it expects to receive in exchange for those goods or services. In 2016, the FASB issued several amendments to the standard, including principal versus agent considerations when another party is involved in providing goods or services to a customer, the application of identifying performance obligations, and the recognition of expected breakage amounts either proportionally in earnings as redemptions occur or when redemption is remote. Upon adoption of the standard, the Company expects to present the gross sales returns reserve as a component of other accrued liabilities and establish a return asset that will be classified as a component of other current assets, net in the Consolidated Balance Sheet. Currently, the Company presents its sales returns reserve net of the value of the return assets as a component of other accrued liabilities in the Consolidate d Balance Sheet. The Company continues to assess the impact of other aspects of this standard. As the Company finalizes its assessment, the Company will take steps to finalize its accounting policies, establish new processes and controls when warranted, and ensure information is captured to conform with the disclosure requirements outlined under the new standard. The standard is effective for the Company in fiscal 2018 and provides for either full retrospective adoption or modified retrospective adoption by which the cumulative effect of the change is recognized in retained earnings at the date of initial application. The Company has elected to adopt this standard using the modified retrospective approach. In February 2016, the FASB issued a standard that primarily requires organizations that lease assets to recognize the rights and obligations created by those leases on the Consolidated Balance Sheet. The standard is effective in 2019, with early adoption permitted. The Company is currently assessing the effect the new standard will have on its consolidated financial statements. In August 2016, the FASB issued an accounting standards update with new guidance on how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The amendments in the standards update provide guidance on eight specific cash flow issues. The standards update is effective for the Company in fiscal 2018 and shall be applied to the Company’s financial statements retrospectively. The Company is currently assessing the effect the new standard will have on its consolidated financial statements. In November 2016, the FASB issued new guidance on restricted cash on the statement of cash flows. The new guidance requires the classification and presentation of changes in restricted cash and cash equivalents in the statement of cash flows. Therefore, amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning and ending balances shown on the statement of cash flows. The new standard is effective for the Company in fiscal 2018, with early adoption permitted. The guidance should be applied retrospectively after adoption. The Company’s r estricted cash balance w as $0.9 million as of September 30, 2017 . Upon adopting the new standard, the Company anticipates that it will no longer present the release of restricted cash as a financing cash inflow. Instead, restricted cash and long-term restricted cash balances will be included in the beginning and ending cash, cash equivalents and restricted cash balances in the statement of cash flows . |
Inventories
Inventories | 9 Months Ended |
Sep. 30, 2017 | |
Inventories [Abstract] | |
Inventories | Note 2: Inventories Inventories are stated at the lower of cost (determined on the weighted-average cost method) or market. Inventories consist primarily of merchandise held for sale. Inventories were comprised of the following as of September 30, 2017 and December 31, 2016 : (in thousands) September 30, December 31, 2017 2016 Finished goods $ 55,792 $ 61,949 Raw materials 1,794 2,312 Finished goods in transit 13,341 10,034 Total $ 70,927 $ 74,295 The Company records provisions for losses related to shrinkage and other amounts that are otherwise not expected to be fully recoverable. These provisions are calculated based on historical shrinkage, selling price, margin and current business trends. The provision for losses related to shrinkage and other amounts was $0.7 million and $0.2 million as of September 30, 2017 and December 31, 2016 , respectively. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2017 | |
Income Taxes [Abstract] | |
Income Taxes | Note 3: Income taxes The Company’s effective tax rate on net income before income taxes for the three months ended September 30, 2017 and 2016 , was 37.6% and 38.6% , respectively. For the three months ended September 30, 2017 and 2016 , the Company recorded a provision for income taxes of $1.5 million and $2.9 million, respectively. The Company's effective tax rate on net income before income taxes for the nine months ended September 30, 2017 and 2016 was 35.6% and 39.3% , respectively. The improve ment in the effective tax rate is attributable to an increase in excess tax benefits recognized in connection with the exercise of stock options during 2017 . For the nine months ended September 30, 2017 and 2016 , the Company recorded a provision for income taxes of $10.0 million and $11.8 million, respectively. The Company records interest and penalties relating to uncertain tax positions in income tax expense. As of September 30, 2017 and 2016 , the Company has not recognized any liabilities for uncertain tax positions, nor have interest and penalties related to uncertain tax positions been accrued. |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2017 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 4: Earnings Per Share Basic earnings per share is calculated by dividing net income by the weighted-average number of common shares outstanding during the period. Diluted earnings per share is calculated by dividing net income by the weighted-average number of common shares outstanding, after taking into consideration all dilutive potential shares outstanding during the period. Basic and diluted earnings per share were calculated as follows: (dollars in thousands) For the three months ended For the nine months ended September 30, September 30, 2017 2016 2017 2016 Net income $ 2,438 $ 4,583 $ 18,170 $ 18,190 Weighted average basic shares outstanding 51,757,248 51,426,104 51,638,864 51,388,058 Effect of dilutive securities attributable to stock-based awards 296,407 503,122 372,344 429,530 Weighted average diluted shares outstanding 52,053,655 51,929,226 52,011,208 51,817,588 Income per common share: Basic $ 0.05 $ 0.09 $ 0.35 $ 0.35 Dilutive $ 0.05 $ 0.09 $ 0.35 $ 0.35 Anti-dilutive securities excluded from EPS calculation 511,122 347,699 298,721 409,599 |
Other Accrued Liabilities
Other Accrued Liabilities | 9 Months Ended |
Sep. 30, 2017 | |
Other Accrued Liabilities [Abstract] | |
Other Accrued Liabilities | Note 5: Other Accrued Liabilities Other accrued liabilities consisted of the following: (in thousands) September 30, December 31, 2017 2016 Customer deposits $ 8,721 $ 7,742 Sales return reserve 3,230 3,080 Payroll and sales taxes 3,174 2,691 Accrued wages and salaries 2,727 4,962 Shareholder litigation accrual - 9,500 Other current liabilities 6,118 5,486 Total other accrued liabilities $ 23,970 $ 33,461 |
Long-term Debt
Long-term Debt | 9 Months Ended |
Sep. 30, 2017 | |
Long-term Debt [Abstract] | |
Long-term Debt | Note 6: Long-term Debt On June 2, 2015, the Company and its operating subsidiary, The Tile Shop, LLC, entered into a credit agreement with Fifth Third Bank, Bank of America, N.A., and Huntington National Bank (as amended, the “Credit Agreement”). On December 9, 2016, the Credit Agreement was amended to permit an additional New Markets Tax Credit Financing arrangement and on February 10, 2017, the Credit Agreement was amended to permit the Company to make certain dividend payments. The Credit Agreement again was amended on July 17, 2017 to adjust the consolidated fixed charge coverage ratio from 2.00 :1 .00 to 1.50 :1.00 to provide greater flexibility in declaring and making dividend payments or other distributions to stockholders. The Credit Agreement provides the Company with a $125.0 million senior secured credit facility, comprised of a five -year $50.0 million term loan and a $75.0 million revolving line of credit. The Credit Agreement is secured by virtually all of the assets of the Company, including but not limited to, inventory, receivables, equipment and real property. Borrowings pursuant to the Credit Agreement bear interest at either a base rate or a LIBOR-based rate, at the option of the Company. The LIBOR-based rate will range from LIBOR plus 1.50% to 2.00% , depending on The Tile Shop’s leverage ratio. The base rate is equal to the greatest of: (a) the Federal funds rate plus 0.50% , (b) the Fifth Third Bank “prime rate,” and (c) the Eurodollar rate plus 1.00% , in each case plus 0.50% to 1.00% depending on The Tile Shop’s leverage ratio. At September 30, 2017 the base interest rate was 4.75% and the LIBOR-based interest rate was 2.73% . Borrowings outstanding consisted of $13.2 million on the term loan and no outstanding balance on the revolving line of credit as of September 30, 2017 . There was $75.0 million available for borrowing on the revolving line of credit as of September 30, 2017 . The Company can elect to prepay the term loan without incurring a penalty. Additional borrowings pursuant to the Credit Agreement may be used to support the Company’s growth and for working capital purposes. The term loan requires quarterly principal payments as follows (in thousands): Period December 31, 2017 to June 30, 2018 1,875 September 30, 2018 to March 31, 2020 2,500 The Credit Agreement contains customary events of default, conditions to borrowings, and restrictive covenants, including restrictions on the Company’s ability to dispose of assets, make acquisitions, incur additional debt, incur liens, make investments, or enter into transactions with affiliates on other than terms that could be obtained in an arm’s length transaction. The Credit Agreement also includes financial and other covenants including covenants to maintain certain fixed charge coverage ratios and rent adjusted leverage ratios. The Company was in compliance with the covenants as of September 30, 2017 . The Company has standby letter s of credit outstanding related to its worke rs compensation and medical insurance policies . As of September 30, 2017 and 2016 , the standby letter s of credit totaled $1.1 million. Long-term debt consisted of the following at September 30, 2017 and December 31, 2016 (in thousands): September 30, 2017 December 31, 2016 Unamortized Unamortized Debt Issuance Debt Issuance Principal Costs Principal Costs Term note payable - interest at 2.73% and 2.27% at September 30, 2017 and December 31, 2016, respectively $ 13,221 $ (44) $ 17,721 $ (114) Commercial bank credit facility - - 10,000 - Variable interest rate bonds ( 1.29% and 0.89% at September 30, 2017 and December 31, 2016), which mature April 1, 2023, collateralized by buildings and equipment 705 - 805 - Total debt obligations 13,926 (44) 28,526 (114) Less: current portion 8,230 (37) 6,350 (64) Debt obligations, net of current portion $ 5,696 $ (7) $ 22,176 $ (50) |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value of Financial Instruments [Abstract] | |
Fair Value of Financial Instruments | Note 7: Fair Value of Financial Instruments Fair value is the price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. To measure fair value, the Company uses a three-tier valuation hierarchy based upon observable and non-observable inputs: Level 1 – Unadjusted quoted prices that are available in active markets for the identical assets or liabilities at the measurement date. Level 2 – Significant other observable inputs available at the measurement date, other than quoted prices included in Level 1, either directly or indirectly, including: · Quoted prices for similar assets or liabilities in active markets; · Quoted prices for identical or similar assets in non-active markets; · Inputs other than quoted prices that are observable for the asset or liability; and · Inputs that are derived principally from or corroborated by other observable market data. Level 3 – Significant unobservable inputs that cannot be corroborated by observable market data and reflect the use of significant management judgment. The following table sets forth by Level within the fair value hierarchy the Company’s financial assets that were accounted for at fair value on a recurring basis at September 30, 2017 and December 31, 2016 according to the valuation techniques the Company uses to determine their fair values. There have been no transfers of assets among the fair value hierarchies presented. Fair Value at Pricing September 30, December 31, Category 2017 2016 Assets (in thousands) Cash and cash equivalents Level 1 $ 12,429 $ 6,067 Restricted cash Level 1 855 3,000 Long-term restricted cash Level 1 - 3,881 The following methods and assumptions were used to estimate the fair value of each class of financial instrument. There have been no changes in the valuation techniques used by the Company to value the Company’s financial instruments. · Cash and cash equivalents: Consists of cash on hand and bank deposits. The value was measured using quoted market prices in active markets. The carrying amount approximates fair value. · Restricted cash: Consists of cash and cash equivalents held in bank deposit accounts restricted as to withdrawal or that are under the terms of use for current operations. The value was measured using quoted market prices in active markets. The carrying amount approximates fair value. · Long-term restricted cash: Consists of cash and cash equivalents held in bank deposit accounts restricted as to withdrawal and designated for expenditure in the construction of noncurrent assets. The value was measured using quoted market prices in active markets. The carrying amount approximates fair value. Fair value measurements also apply to certain non-financial assets and liabilities measured at fair value on a nonrecurring basis. Property, plant and equipment is measured at fair value when an impairment is recognized and the related assets are written down to fair value. The Company did not recognize any significant impairment losses during 2017 or 2016 . The carrying value of the Company’s borrowings under its credit agreement approximate fair value based upon the market interest rates available to the Company for debt obligations with similar risks and maturities. |
Equity Incentive Plans
Equity Incentive Plans | 9 Months Ended |
Sep. 30, 2017 | |
Equity Incentive Plans [Abstract] | |
Equity Incentive Plans | Note 8: Equity Incentive Plans Stock options: The Company measures and recognizes compensation expense for all stock-based awards at fair value. The financial statements for the three and nine months ended September 30, 2017 and 2016 include compensation cost for the portion of outstanding awards that vested during those periods. The Company recognizes stock-based compensation costs on a straight-line basis over the requisite service period of the award, which is generally the option vesting term. Total stock-based compensation expense related to stock options was $0.6 million for both the three months ended September 30, 2017 and 2016 . Total stock-based compensation expense related to stock options was $1.7 million and $2.6 million for the nine months ended September 30, 2017 and 2016 , respectively. Stock-based compensation expense pertaining to stock options is included in selling, general and administrative expenses in the accompanying Consolidated Statements of Operations. As of September 30, 2017 , the Company had outstanding stock options to purchase 1,920,621 shares of common stock at a weighted average exercise price of $15.10 . Restricted stock: The Company awards restricted common shares to selected employees and to non-employee directors. Recipients are not required to provide any consideration other than continued service. Restricted share awards are subject to certain restrictions on transfer, and all or part of the shares awarded may be subject to forfeiture upon the occurrence of certain events, including employment termination. Certain awards are also subject to forfeiture if the Company fails to attain its adjusted EBITDA targets. The restricted stock is valued at its grant date fair value and expensed over the requisite service period or the vesting term of the awards. The Company adjusts the cumulative expense recognized on awards with performance conditions based on the probability of achieving the performance condition. Total stock-based compensation expense related to restricted stock was $0.4 million and $0.3 million for the three months ended September 30, 2017 and 2016 , respectively. Total stock-based compensation expense related to restricted stock was $1.1 million and $0.8 million for the nine months ended September 30, 2017 and 2016 , respectively. Stock-based compensation expense pertaining to restricted stock awards is included in selling, general and administrative expenses in the accompanying Consolidated Statements of Operations. As of September 30, 2017 , the Company had 198,406 outstanding restricted common shares. |
New Market Tax Credit
New Market Tax Credit | 9 Months Ended |
Sep. 30, 2017 | |
New Market Tax Credit [Abstract] | |
New Market Tax Credit | Note 9: New Market Tax Credit 2016 New Market Tax Credit In December 2016, the Company entered into a financing transaction with U.S. Bank Community, LLC (“U.S. Bank”) related to a $9.2 million expansion of the Company’s facility in Durant, Oklahoma. U.S. Bank made a capital contribution to, and Tile Shop Lending , Inc. (“Tile Shop Lending”) made a loan to, Twain Investment Fund 192 LLC (the “Investment Fund”) under a qualified New Markets Tax Credit (“NMTC”) program. The NMTC program was provided for in the Community Renewal Tax Relief Act of 2000 (the “Act”) and is intended to induce capital investment in qualified lower income communities. The Act permits taxpayers to claim credits against their Federal income taxes for up to 39% of qualified investments in the equity of community development entities (“CDEs”). CDEs are privately managed investment institutions that are certified to make qualified low-income community investments. In December 2016, Tile Shop Lending loaned $6.7 million to the Investment Fund at an interest rate of 1.37% per year and with a maturity of December 31, 2046 . The Investment Fund then contributed the loan to a CDE, which, in turn, loaned the funds on similar terms to Tile Shop of Oklahoma, LLC, an indirect, wholly-owned subsidiary of Holdings. The proceeds of the loans from the CDEs (including loans representing the capital contribution made by U.S. Bank , net of syndication fees) were used to partially fund the distribution center project. In December 2016, U.S. Bank also contributed $3.1 million to the Investment Funds and, by virtue of such contribution, is entitled to substantially all of the tax benefits derived from the NMTCs, while the Company effectively received net loan proceeds equal to U.S. Bank’s contributions to the Investment Fund. This transaction includes a put/call provision whereby the Company may be obligated or entitled to repurchase U.S. Bank’s interest. The Company believes that U.S. Bank will exercise the put option in December 2023 at the end of the recapture period. The value attributed to the put/call is de minimis. The NMTC is subject to 100% recapture for a period of seven years as provided in the Internal Revenue Code. The Company is required to be in compliance with various regulations and contractual provisions that apply to the NMTC arrangement. Non-compliance with applicable requirements could result in projected tax benefits not being realized and, therefore, could require the Company to indemnify U.S. Bank for any loss or recapture of NMTCs related to the financing until such time as the obligation to deliver tax benefits is relieved. The Company does not anticipate any credit recaptures will be required in connection with this arrangement. The Company has determined that the financing arrangement with the Investment Fund and CDEs contains a variable interest entity (“VIE”). The ongoing activities of the Investment Fund – collecting and remitting interest and fees and NMTC compliance – were all considered in the initial design and are not expected to significantly affect economic performance throughout the life of the Investment Fund. Management considered the contractual arrangements that obligate the Company to deliver tax benefits and provide various other guarantees to the structure; U.S. Bank’s lack of a material interest in the underling economics of the project; and the fact that the Company is obligated to absorb losses of the Investment Fund. The Company concluded that it is the primary beneficiary of the VIE and consolidated the Investment Fund, as a VIE, in accordance with the accounting standards for consolidation. In 2016, U.S. Bank’s contributions of $3.1 million, net of syndications fees, were included in cash, restricted cash, other accrued liabilities and other long-term liabilities in the Consolidated Balance Sheet. The Company incurred $1.2 million of syndication fees in connection with this transaction, which were classified as other current assets and other non-current assets in the Consolidated Balance Sheet. The Company is recognizing the benefit of this net $1.9 million contribution over the seven -year compliance period as it is being earned through the on-going compliance with the conditions of the NMTC program. As of September 30, 2017 , the balance of the contribution liability was $2.9 million, of which $0.5 million is classified as other accrued liabilities on the Consolidated Balance Sheet and $2.4 million is classified as other long-term liabilities on the Consolidated Balance Sheet. T he Company is able to request reimbursement for certain expenditures made in connection with the expansion of the distribution center in Durant, Oklahoma from the Investment Fund. Expenditures that qualify for reimbursement include building costs, equipment purchases, and other expenditures tied to the expansion of the facility. During the nine months ended September 30, 2017 , the Company received reimbursements totaling $6.0 million from the investment fund. As of September 30, 2017 , the balance in the Investment Fund available for reimbursement to the Company was $0.9 million. 2013 New Market Tax Credit In July 2013, the Company entered into a financing transaction with U.S. Bank and Chase Community Equity (“Chase”, and collectively with US. Bank , the “investors”) related to a $19.1 million acquisition, rehabilitation, and construction of the Company’s distribution center and manufacturing facilities in Durant, Oklahoma. In this transaction, Tile Shop Lending loaned $13.5 million to the Tile Shop Investment Fund LLC. The investors contributed $5.6 million to the Tile Shop Investment Fund LLC. The investors are entitled to the tax benefits derived from the NMTC by virtue of their contribution while the Company received the proceeds, net of syndication fees, to apply toward the construction project. This transaction includes a put/call provision whereby the Company may be obligated or entitled to repurchase the investors’ interest. The Company believes that the investors will exercise the put option in September 2020 at the end of the recapture period. The value attributed to the put/call is de minimis. The NMTC is subject to 100% recapture for a period of seven years as provided in the Internal Revenue Code. The Company is required to be in compliance with various regulations and contractual provisions that apply to the NMTC arrangement. Non-compliance with applicable requirements could result in projected tax benefits not being realized and, therefore, could require the Company to indemnify the investors for any loss or recapture of NMTCs related to the financing until such time as the obligation to deliver tax benefits is relieved. The Company does not anticipate any credit recaptures will be required in connection with this arrangement. The Company determined that this financing arrangement contains a VIE. The ongoing activities of the Tile Shop Investment Fund LLC – collecting and remitting interest and fees and NMTC compliance – were all considered in the initial design and are not expected to significantly affect economic performance throughout the life of the Tile Shop Investment Fund LLC. Management considered the contractual arrangements that obligate the Company to deliver tax benefits and provide various other guarantees to the structure; the investors lack of a material interest in the underling economics of the project; and the fact that the Company is obligated to absorb losses of the Investment Fund. The Company concluded that it is the primary beneficiary of the VIE and consolidated the Tile Shop Investment Fund LLC, as a VIE, in accordance with the accounting standards for consolida tion. In 2013, the investor s ’ contributions, of $5.6 million, net of syndication fees , were included in cash, restricted cash, other accrued liabilities and other long-term liabilities in the Consolidated Balance Sheet. The Company incurred $1.2 million of syndication fees in connection with this transaction which were classified as other current assets and other non-current assets in the Consolidated Balance Sheet. The Company is recognizing the benefit of this net $4.4 million contribution over the seven -year compliance period as it is being earned through the on-going compliance with the conditions of th e NMTC program. As of September 30, 2017 , the balance of the contribution liability was $1.9 million, of which $0.7 million is classified as other accrued liabilities on the Consolidated Balance Sheet and $1.2 million is classified as other long -term liabilities on the Consolidated Balance Sheet. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2017 | |
Commitments and Contingencies [Abstract] | |
Commitments and Contingencies | Note 10: Commitments and Contingencies The Company, was a defendant in a consolidated class action arising in 2013 alleging it failed to disclose certain related party transactions in the Company’s SEC filings and press releases. In January 2017, the plaintiffs and the Company agreed to settle the lawsuit for $9.5 million . The court approved the settlement, and entered an order dismissing the action on June 14, 2017. The Company also is a nominal d efendant in three actions brought derivatively on behalf of the Company by three shareholders in 2015. The plaintiffs allege that the defendant-directors and/or officer s breached their fiduciary duties by failing to adopt adequate internal controls for the Company, by approving false and misleading statements issued by the Company, by causing the Company to violate generally accepted accounting principles and SEC regulations, by engaging in or approving alleged insider trading, and by permitting the Company’s primary product to contain illegal amounts of lead. The complaints also allege claims for insider trading and/or unjust enrichment. The Company moved to dismiss the actions, or in the alternative, to stay the actions. Those motions have not yet been decided. By letter dated May 19, 2016, a shareholder of the Company demanded that the Board of Directors investigate alleged breaches of fiduciary duty related to the same matters described above and take action against certain present and former officers and directors of the Company. The Board of Directors has appointed a committee of two independent directors to investigate and evaluate the matters raised in the demand letter, and to recommend to the Company’s Board of Directors what actions, if any , should be taken by the Company with respect to the matters raised in the demand letter. Given the uncertainty of litigation and the current stage of the derivative actions, the Company cannot reasonably estimate the possible loss or range of loss that may result. The Company maintains directors and officers liability insurance policies that may reduce the Company’s exposure, if any. In the event the Company incurs a loss, the Company will pursue recoveries to the maximum extent available under these policies. The Company is also, from time to time, subject to claims and disputes arising in the normal course of business. In the opinion of management, while the outcome of such claims and disputes cannot be predicted with certainty, the Company’s ultimate liability in connection with these matters is not expected to have a material adverse effect on the results of operations, financial position, or cash flows. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 11: Subsequent Events On October 17, 2017 , the Company declared a $0.05 dividend to stockholders of record as of the close of business on October 31, 2017 . The dividend will be paid on November 1 4 , 2017 . |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Inventories [Abstract] | |
Schedule of Inventories | (in thousands) September 30, December 31, 2017 2016 Finished goods $ 55,792 $ 61,949 Raw materials 1,794 2,312 Finished goods in transit 13,341 10,034 Total $ 70,927 $ 74,295 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share | (dollars in thousands) For the three months ended For the nine months ended September 30, September 30, 2017 2016 2017 2016 Net income $ 2,438 $ 4,583 $ 18,170 $ 18,190 Weighted average basic shares outstanding 51,757,248 51,426,104 51,638,864 51,388,058 Effect of dilutive securities attributable to stock-based awards 296,407 503,122 372,344 429,530 Weighted average diluted shares outstanding 52,053,655 51,929,226 52,011,208 51,817,588 Income per common share: Basic $ 0.05 $ 0.09 $ 0.35 $ 0.35 Dilutive $ 0.05 $ 0.09 $ 0.35 $ 0.35 Anti-dilutive securities excluded from EPS calculation 511,122 347,699 298,721 409,599 |
Other Accrued Liabilities (Tabl
Other Accrued Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Other Accrued Liabilities [Abstract] | |
Schedule of Other Accrued Liabilities | (in thousands) September 30, December 31, 2017 2016 Customer deposits $ 8,721 $ 7,742 Sales return reserve 3,230 3,080 Payroll and sales taxes 3,174 2,691 Accrued wages and salaries 2,727 4,962 Shareholder litigation accrual - 9,500 Other current liabilities 6,118 5,486 Total other accrued liabilities $ 23,970 $ 33,461 |
Long-term Debt (Tables)
Long-term Debt (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Long-term Debt [Abstract] | |
Summary of Quarterly Term Loan Principal Payments | Period December 31, 2017 to June 30, 2018 1,875 September 30, 2018 to March 31, 2020 2,500 |
Schedule of Long-Term Debt | September 30, 2017 December 31, 2016 Unamortized Unamortized Debt Issuance Debt Issuance Principal Costs Principal Costs Term note payable - interest at 2.73% and 2.27% at September 30, 2017 and December 31, 2016, respectively $ 13,221 $ (44) $ 17,721 $ (114) Commercial bank credit facility - - 10,000 - Variable interest rate bonds ( 1.29% and 0.89% at September 30, 2017 and December 31, 2016), which mature April 1, 2023, collateralized by buildings and equipment 705 - 805 - Total debt obligations 13,926 (44) 28,526 (114) Less: current portion 8,230 (37) 6,350 (64) Debt obligations, net of current portion $ 5,696 $ (7) $ 22,176 $ (50) |
Fair Value of Financial Instr23
Fair Value of Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value of Financial Instruments [Abstract] | |
Summary of Fair Value of Financial Assets Measured on a Recurring Basis | Fair Value at Pricing September 30, December 31, Category 2017 2016 Assets (in thousands) Cash and cash equivalents Level 1 $ 12,429 $ 6,067 Restricted cash Level 1 855 3,000 Long-term restricted cash Level 1 - 3,881 |
Background (Narrative) (Details
Background (Narrative) (Details) $ in Thousands | Sep. 30, 2017USD ($)storestate | Dec. 31, 2016USD ($) |
Background [Abstract] | ||
Number of stores | store | 134 | |
Number of states in which entity operates | state | 31 | |
Restricted cash | $ | $ 855 | $ 3,000 |
Inventories (Schedule of Invent
Inventories (Schedule of Inventories) (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Inventories [Abstract] | ||
Finished goods | $ 55,792 | $ 61,949 |
Raw materials | 1,794 | 2,312 |
Finished goods in transit | 13,341 | 10,034 |
Total | 70,927 | 74,295 |
Inventory, provision for shrinkage and other | $ 700 | $ 200 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Income Taxes [Abstract] | ||||
Effective income tax rate | 37.60% | 38.60% | 35.60% | 39.30% |
Provision for income taxes | $ 1,468,000 | $ 2,886,000 | $ 10,034,000 | $ 11,793,000 |
Liability for uncertain tax positions | $ 0 | $ 0 | 0 | 0 |
Income tax interest and penalties related to uncertain tax positions | $ 0 | $ 0 |
Earnings Per Share (Schedule of
Earnings Per Share (Schedule of Earnings Per Share) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |||||
Net income | $ 2,438 | $ 4,583 | $ 18,170 | $ 18,190 | $ 18,463 |
Weighted average basic shares outstanding | 51,757,248 | 51,426,104 | 51,638,864 | 51,388,058 | |
Effect of dilutive securities attributable to stock-based awards | 296,407 | 503,122 | 372,344 | 429,530 | |
Weighted average diluted shares outstanding | 52,053,655 | 51,929,226 | 52,011,208 | 51,817,588 | |
Basic income per common share | $ 0.05 | $ 0.09 | $ 0.35 | $ 0.35 | |
Dilutive income per common share | $ 0.05 | $ 0.09 | $ 0.35 | $ 0.35 | |
Anti-dilutive securities excluded from EPS calculation | 511,122 | 347,699 | 298,721 | 409,599 |
Other Accrued Liabilities (Sche
Other Accrued Liabilities (Schedule of Other Accrued Liabilities) (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Other Accrued Liabilities [Abstract] | ||
Customer deposits | $ 8,721 | $ 7,742 |
Sales return reserve | 3,230 | 3,080 |
Payroll and sales taxes | 3,174 | 2,691 |
Accrued wages and salaries | 2,727 | 4,962 |
Shareholder litigation accrual | 9,500 | |
Other current liabilities | 6,118 | 5,486 |
Total other accrued liabilities | $ 23,970 | $ 33,461 |
Long-term Debt (Narrative) (Det
Long-term Debt (Narrative) (Details) - USD ($) | Jul. 17, 2017 | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Minimum [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||
Debt Instrument [Line Items] | ||||
Credit facility effective interest rate | 1.50% | |||
Maximum [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||
Debt Instrument [Line Items] | ||||
Credit facility effective interest rate | 2.00% | |||
Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Credit facility, maximum borrowing capacity | $ 75,000,000 | |||
Credit facility, available borrowing capacity | $ 75,000,000 | |||
Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Credit facility effective interest rate | 2.73% | 2.27% | ||
Letter of Credit [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of credit outstanding | $ 1,100,000 | $ 1,100,000 | ||
Credit Agreement [Member] | ||||
Debt Instrument [Line Items] | ||||
Credit facility, maximum borrowing capacity | $ 125,000,000 | |||
Credit Agreement [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||
Debt Instrument [Line Items] | ||||
Credit facility effective interest rate | 2.73% | |||
Credit Agreement [Member] | Federal Funds Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Credit facility, spread on variable interest rate | 0.50% | |||
Credit Agreement [Member] | Eurodollar [Member] | ||||
Debt Instrument [Line Items] | ||||
Credit facility, spread on variable interest rate | 1.00% | |||
Credit Agreement [Member] | Base Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Credit facility effective interest rate | 4.75% | |||
Credit Agreement [Member] | Minimum [Member] | ||||
Debt Instrument [Line Items] | ||||
Credit facility, interest rate based on leverage ratio | 0.50% | |||
Credit Agreement [Member] | Maximum [Member] | ||||
Debt Instrument [Line Items] | ||||
Credit facility, interest rate based on leverage ratio | 1.00% | |||
Credit Agreement [Member] | Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of credit outstanding | $ 0 | |||
Credit Agreement [Member] | Term Loan [Member] | ||||
Debt Instrument [Line Items] | ||||
Credit facility, maximum borrowing capacity | $ 50,000,000 | |||
Credit facility term | 5 years | |||
Loan payable | $ 13,200,000 | |||
Credit Agreement, Third Amendment [Member] | Minimum [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, fixed charge coverage ratio | 150.00% | |||
Credit Agreement, Third Amendment [Member] | Maximum [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, fixed charge coverage ratio | 200.00% |
Long-Term Debt (Summary of Quar
Long-Term Debt (Summary of Quarterly Term Loan Principal Payments) (Details) $ in Thousands | 9 Months Ended |
Sep. 30, 2017USD ($) | |
December 31, 2017 to June 30, 2018 [Member] | |
Debt Instrument [Line Items] | |
Quarterly principal payments | $ 1,875 |
September 30, 2018 to March 31, 2020 [Member] | |
Debt Instrument [Line Items] | |
Quarterly principal payments | $ 2,500 |
Long-term Debt (Schedule of Lon
Long-term Debt (Schedule of Long-Term Debt) (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Debt Instrument [Line Items] | ||
Principal, Total debt obligations | $ 13,926 | $ 28,526 |
Unamortized Debt Issuance Costs, Total debt obligations | (44) | (114) |
Principal, Less: current portion | 8,230 | 6,350 |
Unamortized Debt Issuance Costs, Less: current portion | (37) | (64) |
Principal, Debt obligations, net of current poriton | 5,696 | 22,176 |
Unamortized Debt Issuance Costs, Debt obligations, net of current portion | (7) | (50) |
Term Loan [Member] | ||
Debt Instrument [Line Items] | ||
Principal, Total debt obligations | 13,221 | 17,721 |
Unamortized Debt Issuance Costs, Total debt obligations | $ (44) | $ (114) |
Effective interest rate | 2.73% | 2.27% |
Revolving Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Principal, Total debt obligations | $ 10,000 | |
Variable Rate Debt [Member] | ||
Debt Instrument [Line Items] | ||
Principal, Total debt obligations | $ 705 | $ 805 |
Effective interest rate | 1.29% | 0.89% |
Fair Value of Financial Instr32
Fair Value of Financial Instruments (Narrative) (Details) - USD ($) | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
Fair Value of Financial Instruments [Abstract] | ||
Asset impairment charges | $ 0 | $ 0 |
Fair Value of Financial Instr33
Fair Value of Financial Instruments (Summary of Fair Value of Financial Assets Measured on a Recurring Basis) (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Restricted cash | $ 855 | $ 3,000 |
Long-term restricted cash | 3,881 | |
Level 1 [Member] | Fair Value, Measurements, Recurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 12,429 | 6,067 |
Restricted cash | $ 855 | 3,000 |
Long-term restricted cash | $ 3,881 |
Equity Incentive Plans (Narrati
Equity Incentive Plans (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | $ 0.6 | $ 0.6 | $ 1.7 | $ 2.6 |
Stock options outstanding | 1,920,621 | 1,920,621 | ||
Stock options outstanding, weighted average exercise price | $ 15.10 | $ 15.10 | ||
Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | $ 0.4 | $ 0.3 | $ 1.1 | $ 0.8 |
Restricted stock outstanding | 198,406 | 198,406 |
New Market Tax Credit (Narrativ
New Market Tax Credit (Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | 9 Months Ended | |
Dec. 31, 2016 | Jul. 31, 2013 | Sep. 30, 2017 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Restricted cash | $ 0.9 | ||
Reimbursements received | $ 6 | ||
Chase and US Bank [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Contribution to affiliate | $ 5.6 | ||
Twain Investment Fund 192 [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Net proceeds from contribution | $ 1.9 | ||
Contribution liability compliance period | 7 years | ||
Contribution liability | $ 2.9 | ||
Contribution liability, current | 0.5 | ||
Contribution liability, noncurrent | $ 2.4 | ||
Twain Investment Fund 192 [Member] | U.S. Bank Community [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Contribution to affiliate | 3.1 | ||
Twain Investment Fund 192 [Member] | Tile Shop Holdings [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Syndicate costs | 1.2 | ||
Twain Investment Fund 192 [Member] | Tile Shop Lending [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loan amount | $ 6.7 | ||
Loan interest rate | 1.37% | ||
Tile Shop Investment Fund [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Contribution to affiliate | 4.4 | ||
Contribution liability compliance period | 7 years | ||
Contribution liability | $ 1.9 | ||
Contribution liability, current | 0.7 | ||
Contribution liability, noncurrent | $ 1.2 | ||
Tile Shop Investment Fund [Member] | Tile Shop Holdings [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Syndicate costs | 1.2 | ||
Tile Shop Investment Fund [Member] | Tile Shop Lending [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loan amount | 13.5 | ||
U.S. Bank Community [Member] | Oklahoma [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing agreement project cost | $ 9.2 | ||
Chase and US Bank [Member] | Oklahoma [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing agreement project cost | $ 19.1 |
Commitments and Contingencies (
Commitments and Contingencies (Narrative) (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2017USD ($)lawsuitplaintiffitem | |
Related Party Transactions Class Action [Member] | |
Loss Contingencies [Line Items] | |
Settlement amount | $ | $ 9.5 |
Tile Shop Holdings, Inc. Stockholder Derivative Litigation [Member] | |
Loss Contingencies [Line Items] | |
Number of plaintiffs | plaintiff | 3 |
Number of actions | lawsuit | 3 |
Number of committee members | item | 2 |
Subsequent Events (Narrative) (
Subsequent Events (Narrative) (Details) - Subsequent Event [Member] | Oct. 17, 2017$ / shares |
Subsequent Event [Line Items] | |
Dividends payable, date declared | Oct. 17, 2017 |
Dividends payable, amount per share | $ 0.05 |
Dividends payable, date of record | Oct. 31, 2017 |
Dividends payable, date to be paid | Nov. 14, 2017 |