Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2019 | Jul. 29, 2019 | |
Document And Entity Information | ||
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2019 | |
Document Fiscal Year Focus | 2019 | |
Entity Registrant Name | TILE SHOP HOLDINGS, INC. | |
Security 12b Title | Common stock, $0.0001 par value | |
Trading Symbol | tts | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Ex Transition Period | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding (in shares) | 50,913,800 | |
Amendment Flag | false | |
Document Fiscal Period Focus | Q2 | |
Entity Central Index Key | 0001552800 | |
Current Fiscal Year End Date | --12-31 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 4,403 | $ 5,557 |
Restricted cash | 825 | 825 |
Receivables, net | 4,961 | 3,084 |
Inventories | 106,657 | 110,095 |
Income tax receivable | 3,646 | 3,548 |
Other current assets, net | 7,412 | 7,181 |
Total Current Assets | 127,904 | 130,290 |
Property, plant and equipment, net | 140,636 | 158,356 |
Right of use asset | 142,087 | |
Deferred tax assets | 5,290 | 7,225 |
Other assets | 1,408 | 1,759 |
Total Assets | 417,325 | 297,630 |
Current liabilities: | ||
Accounts payable | 23,600 | 25,853 |
Income tax payable | 30 | 179 |
Current portion of lease liability | 25,997 | |
Other accrued liabilities | 25,395 | 24,484 |
Total Current Liabilities | 75,022 | 50,516 |
Long-term debt | 63,000 | 53,000 |
Long-term lease liability, net | 137,340 | |
Financing lease obligation, net | 358 | 436 |
Deferred rent | 43,579 | |
Other long-term liabilities | 3,582 | 3,752 |
Total Liabilities | 279,302 | 151,283 |
Stockholders’ Equity: | ||
Common stock, par value $0.0001; authorized: 100,000,000 shares; issued and outstanding: 50,615,489 and 52,707,879 shares, respectively | 5 | 5 |
Preferred stock, par value $0.0001; authorized: 10,000,000 shares; issued and outstanding: 0 shares | ||
Additional paid-in-capital | 157,961 | 172,255 |
Accumulated deficit | (19,889) | (25,857) |
Accumulated other comprehensive income (loss) | (54) | (56) |
Total Stockholders' Equity | 138,023 | 146,347 |
Total Liabilities and Stockholders' Equity | $ 417,325 | $ 297,630 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2019 | Dec. 31, 2018 |
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 | 50,615,489 | 52,707,879 |
Common stock, shares outstanding | 50,615,489 | 52,707,879 |
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 Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Consolidated Statements of Income [Abstract] | ||||
Net sales | $ 88,903 | $ 92,914 | $ 175,811 | $ 184,048 |
Cost of sales | 27,543 | 27,602 | 52,609 | 54,698 |
Gross profit | 61,360 | 65,312 | 123,202 | 129,350 |
Selling, general and administrative expenses | 60,562 | 57,870 | 119,510 | 115,797 |
Income from operations | 798 | 7,442 | 3,692 | 13,553 |
Interest expense | (943) | (597) | (1,921) | (1,151) |
Other income | 2 | 37 | 17 | 72 |
(Loss) income before income taxes | (143) | 6,882 | 1,788 | 12,474 |
Provision for income taxes | (11) | (1,924) | (622) | (3,505) |
Net (loss) income | $ (154) | $ 4,958 | $ 1,166 | $ 8,969 |
(Loss) income per common share: | ||||
Basic | $ 0 | $ 0.10 | $ 0.02 | $ 0.17 |
Diluted | $ 0 | $ 0.10 | $ 0.02 | $ 0.17 |
Weighted average shares outstanding: | ||||
Basic | 50,999,341 | 51,887,094 | 51,476,442 | 51,884,402 |
Diluted | 50,999,341 | 52,019,881 | 51,573,410 | 51,996,263 |
Dividends declared per share | $ 0.05 | $ 0.05 | $ 0.10 | $ 0.10 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Consolidated Statements of Comprehensive Income [Abstract] | ||||
Net (loss) income | $ (154) | $ 4,958 | $ 1,166 | $ 8,969 |
Currency translation adjustment | (25) | (37) | 2 | (7) |
Other comprehensive (loss) income | (25) | (37) | 2 | (7) |
Comprehensive (loss) income | $ (179) | $ 4,921 | $ 1,168 | $ 8,962 |
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 |
Adoption of new accounting standards | $ (60) | $ (60) | |||
Beginning balance, adjusted | $ 5 | $ 180,109 | (36,299) | $ (1) | 143,814 |
Beginning balance at Dec. 31, 2017 | $ 5 | 180,109 | (36,239) | (1) | 143,874 |
Beginning balance (in shares) at Dec. 31, 2017 | 52,156,850 | ||||
Issuance of restricted shares (in shares) | 395,282 | ||||
Cancellation of restricted shares (in shares) | (44,042) | ||||
Stock based compensation | 1,215 | 1,215 | |||
Dividends paid | (5,200) | (5,200) | |||
Foreign currency translation adjustments | (7) | (7) | |||
Net income | 8,969 | 8,969 | |||
Balance at Jun. 30, 2018 | $ 5 | 176,124 | (27,331) | (8) | 148,790 |
Balance (in shares) at Jun. 30, 2018 | 52,508,090 | ||||
Beginning balance at Mar. 31, 2018 | $ 5 | 178,126 | (32,288) | 29 | 145,872 |
Beginning balance (in shares) at Mar. 31, 2018 | 52,429,157 | ||||
Issuance of restricted shares | 113,337 | ||||
Cancellation of restricted shares (in shares) | (34,404) | ||||
Stock based compensation | 598 | 598 | |||
Dividends paid | (2,600) | (2,600) | |||
Foreign currency translation adjustments | (37) | (37) | |||
Net income | 4,958 | 4,958 | |||
Balance at Jun. 30, 2018 | $ 5 | 176,124 | (27,331) | (8) | 148,790 |
Balance (in shares) at Jun. 30, 2018 | 52,508,090 | ||||
Adoption of new accounting standards | 4,802 | 4,802 | |||
Beginning balance, adjusted | $ 5 | 172,255 | (21,055) | (56) | 151,149 |
Beginning balance at Dec. 31, 2018 | $ 5 | 172,255 | (25,857) | (56) | $ 146,347 |
Beginning balance (in shares) at Dec. 31, 2018 | 52,707,879 | 52,707,879 | |||
Issuance of restricted shares (in shares) | 357,448 | ||||
Cancellation of restricted shares (in shares) | (142,815) | ||||
Repurchase of common stock | (10,455) | $ (10,455) | |||
Repurchase of common stock (in shares) | (2,307,023) | (2,307,023) | |||
Stock based compensation | 1,509 | $ 1,509 | |||
Tax withholdings related to net share settlements of stock-based compensation awards | (136) | (136) | |||
Dividends paid | (5,212) | (5,212) | |||
Foreign currency translation adjustments | 2 | 2 | |||
Net income | 1,166 | 1,166 | |||
Balance at Jun. 30, 2019 | $ 5 | 157,961 | (19,889) | (54) | $ 138,023 |
Balance (in shares) at Jun. 30, 2019 | 50,615,489 | 50,615,489 | |||
Adoption of new accounting standards | (1,738) | $ (1,738) | |||
Beginning balance, adjusted | $ 5 | 170,306 | (19,735) | (29) | 150,547 |
Beginning balance at Mar. 31, 2019 | $ 5 | 170,306 | (17,997) | (29) | 152,285 |
Beginning balance (in shares) at Mar. 31, 2019 | 52,901,733 | ||||
Issuance of restricted shares (in shares) | 76,275 | ||||
Cancellation of restricted shares (in shares) | (55,496) | ||||
Repurchase of common stock | (10,455) | (10,455) | |||
Repurchase of common stock (in shares) | (2,307,023) | ||||
Stock based compensation | 770 | 770 | |||
Tax withholdings related to net share settlements of stock-based compensation awards | (54) | (54) | |||
Dividends paid | (2,606) | (2,606) | |||
Foreign currency translation adjustments | (25) | (25) | |||
Net income | (154) | (154) | |||
Balance at Jun. 30, 2019 | $ 5 | $ 157,961 | $ (19,889) | $ (54) | $ 138,023 |
Balance (in shares) at Jun. 30, 2019 | 50,615,489 | 50,615,489 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Cash Flows From Operating Activities | ||
Net income | $ 1,166 | $ 8,969 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation & amortization | 16,200 | 13,978 |
Amortization of debt issuance costs | 298 | 338 |
Loss on disposals of property, plant and equipment | 85 | 344 |
Stock based compensation | 1,509 | 1,215 |
Deferred income taxes | 285 | 1,019 |
Changes in operating assets and liabilities: | ||
Receivables | (1,878) | (836) |
Inventories | 3,438 | (15,167) |
Prepaid expenses and other assets | (290) | (1,217) |
Accounts payable | 496 | 2,016 |
Income tax receivable / payable | (136) | 2,281 |
Accrued expenses and other liabilities | 786 | 6,336 |
Net cash provided by operating activities | 21,959 | 19,276 |
Cash Flows From Investing Activities | ||
Purchases of property, plant and equipment | (17,823) | (13,149) |
Proceeds from insurance | 610 | 15 |
Net cash used in investing activities | (17,213) | (13,134) |
Cash Flows From Financing Activities | ||
Payments of long-term debt and financing lease obligations | (33,102) | (32,638) |
Advances on line of credit | 43,000 | 35,000 |
Dividends paid | (5,212) | (5,200) |
Repurchase of common stock | (10,455) | |
Employee taxes paid for shares withheld | (136) | (30) |
Net cash used in financing activities | (5,905) | (2,868) |
Effect of exchange rate changes on cash | 5 | (8) |
Net change in cash | (1,154) | 3,266 |
Cash, cash equivalents and restricted cash beginning of period | 6,382 | 7,476 |
Cash, cash equivalents and restricted cash end of period | 5,228 | 10,742 |
Cash, cash equivalents and restricted cash end of period | 6,382 | 7,476 |
Supplemental disclosure of cash flow information | ||
Purchases of property, plant and equipment included in accounts payable and accrued expenses | 1,225 | 1,488 |
Cash paid for interest | 1,828 | 1,124 |
Cash paid for income taxes, net | $ 471 | $ 186 |
Background
Background | 6 Months Ended |
Jun. 30, 2019 | |
Background [Abstract] | |
Background | No te 1: Background  Tile Shop Holdings, Inc. (“Holdings,” and together with its wholly owned subsidiaries, the “Company”) was incorporated in Delaware in June 2012.  The Company is a specialty retailer of natural stone and man-made 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 June 30, 2019 , the Company had 140 stores in 31 states and the District of Columbia, with an average size of approximately 20,200 square feet. The Company 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 six months ended June 30, 2019 are not necessarily indicative of the results that may be expected for the fiscal year ending December 31, 2019 .  These statements should be read in conjunction with the Consolidated Financial Statements and footnotes included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2018 . 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 February 2016, the Financial Accounting Standards Board (“FASB”) issued a final standard that primarily requires organizations that lease assets to recognize the rights and obligations created by those leases on the consolidated balance sheet. This standard also requires expanded disclosures to help financial statement users better understand the amount, timing and uncertainty of cash flows arising from leases. The Company adopted this standard effective January 1, 2019 using a modified retrospective approach through a cumulative effect adjustment to retained earnings as of the beginning of the period of adoption.  The Company determines if an arrangement is a lease at inception. Operating leases are included in right of use assets and lease liabilities on the consolidated balance sheets. The right of use assets and lease liabilities are recognized as the present value of the future minimum lease payments over the lease term at commencement date. As most of the leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. The right of use asset is also adjusted for any lease payments made and excludes lease incentives and initial direct costs incurred. The Company’s lease terms may include options to extend or terminate the lease typically at the Company’s own discretion. The Company regularly evaluates the renewal options and when they are reasonably certain of exercise, the Company includes the renewal period in its lease term.  This standard provides a number of optional practical expedients in transition. The Company elected the package of three practical expedients permitted under the transition guidance within this standard, which among other things, allows the Company to carryforward the historical lease classification. The Company did not separate non-lease components from lease components by class of underlying assets and the Company did not apply the recognition requirements of the standard to short-term leases, as allowed by the standard.  The Company also elected to apply the hindsight practical expedient. Its election of the hindsight practical expedient resulted in the shortening of lease terms for certain existing leases and the useful lives of corresponding leasehold improvements. In its application of the hindsight practical expedient, the Company considered recent investments in leased properties and its overall real estate strategy, which resulted in the determination that most renewal options would not be reasonably certain in determining the expected lease term.  Upon adopting this standard, the Company established a right of use asset of $147.2 million and lease liabilities of $169.9 million, reduced deferred rent by $44.6 million, and recorded a cumulative effect adjustment to retained earnings of $22.0 million . This retained earnings impact was due to the election of the hindsight practical expedient which resulted in a decrease in the cumulative difference between the straight-line rent expense and rental payments that had been made between the inception of each lease and January 1, 2019. The change in the useful life assigned to certain leasehold improvements resulted in a $15.3 million reduction in fixed assets and retained earnings. The net impact of the cumulative effect adjustments also resulted in a $1.7 million reduction of deferred tax assets and a corresponding adjustment to retained earnings that was recorded during the three months ended June 30, 2019. The adoption of this standard did not have a material impact on net income or cash flows during the three and six months ended June 30, 2019. See Note 8 for further details.  Accounting Pronouncements Not Yet Adopted  In June 2016, the FASB issued a final standard on accounting for credit losses. The standard is effective for the Company in fiscal 2020 and requires a change in credit loss calculations using the expected loss method. The Company is evaluating the effect of this standard on its consolidated financial statements and related disclosures.   In August 2018, the FASB issued a final standard which provides guidance on the accounting for costs of implementation activities performed in a cloud computing arrangement that is a service contract. The standard requires customers of cloud computing services to recognize an intangible asset for the software license and, to the extent that payments attributable to the software license are made over time, a liability is also recognized. The standard also allows customers of cloud computing services to capitalize certain implementation costs. The standard is effective for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2019. The standard will become effective for the Company at the beginning of its 2020 fiscal year, although early adoption is permitted for all entities. The Company is evaluating the effect of the standard on its consolidated financial statements and related disclosures. |
Revenues
Revenues | 6 Months Ended |
Jun. 30, 2019 | |
Revenues [Abstract] | |
Revenues | Note 2: Revenues  Revenues are recognized when control of the promised goods or services is transferred to the Company’s customers, in an amount that reflects the consideration received in exchange for those goods or services. Sales taxes are excluded from revenues.  The following table presents revenues disaggregated by product category:     For the three months ended For the six months ended  June 30, June 30,  2019 2018 2019 2018  Man-made tiles 47 % 47 % 47 % 46 %  Natural stone tiles 29 28 29 28  Setting and maintenance materials 13 13 13 13  Accessories 10 10 10 11  Delivery service 1 2 1 2  Total 100 % 100 % 100 % 100 %  The Company generates revenues by selling tile products, setting and maintenance materials, accessories, and delivery services to its customers through its store locations. The timing of revenue recognition coincides with the transfer of control of goods and services ordered by the customer which falls into one of three categories described below:  · Revenue recognized when an order is placed – If a customer places an order in a store and the contents of their order are available, the Company recognizes revenue concurrent with the exchange of goods for consideration from the customer. · Revenue recognized when an order is picked up – If a customer places an order for items held in a centralized distribution center, the Company requests a deposit from the customer at the time they place the order. Subsequently when the contents of the customer’s order are delivered to the store, the customer returns to the store and picks up the items that were ordered. The Company recognizes revenue on this transaction when the customer picks up their order.  · Revenue recognized when an order is delivered – If a customer places an order in a store and requests delivery of their order, the Company prepares the contents of their order, initiates the delivery service, and recognizes revenue once the contents of the customer’s order are delivered.  The Company determines the transaction price of its contracts based on the pricing established at the time a customer places an order. The transaction price does not include sales tax as the Company is a pass-through conduit for collecting and remitting sales tax. Any discounts applied to an order are allocated proportionately to the base price of the goods and services ordered. Deposits made by customers are recorded in other accrued liabilities. Deferred revenues associated with customer deposits are recognized at the time the Company transfers control of the items ordered or renders the delivery service. In the event an order is partially fulfilled as of the end of a reporting period, revenue will be recognized based on the transaction price allocated to the goods delivered and services rendered. The customer deposit balance was $7.9 million and $7.4 million as of June 30, 2019 and December 31, 2018 , respectively. Revenues recognized during the six months ended June 30, 2019 that were included in the customer deposit balance as of the beginning of the period were $ 6.9 million.  Accounts receivable include amounts due from qualified professional customers who apply for credit. Customers who qualify for an account receive 30-day payment terms. The accounts receivable balance was $5.0 million and $3.1 million at June 30, 2019 and December 31, 2018, respectively. The Company expects that the customer will pay for the goods and services ordered within one year from the date the order is placed. Accordingly, the Company qualifies for the practical expedient outlined in ASC 606-10-32-18 and does not adjust the promised amount of consideration for the effects of the financing component.  Customers may return purchased items for an exchange or refund. The Company records a reserve for estimated product returns based on the historical returns trends and the current product sales performance. Historically, the sales returns reserve was presented net of cost of sales in other current liabilities. The Company presents the sales returns reserve as an other current liability and the estimated value of the inventory that will be returned as an other current asset in the Consolidated Balance Sheet. The components of the sales returns reserve reflected in the Consolidated Balance Sheet as of June 30, 2019 and December 31, 2018 are as follows:     (in thousands)  June 30, December 31,  2019 2018  Other current liabilities $ 5,462 $ 5,154  Other current assets 1,621 1,498  Sales returns reserve, net $ 3,841 $ 3,656  |
Inventories
Inventories | 6 Months Ended |
Jun. 30, 2019 | |
Inventories [Abstract] | |
Inventories | Note 3: Inventories  Inventories are stated at the lower of cost (determined on the weighted-average cost method) or net realizable value. Inventories consist primarily of merchandise held for sale. Inventories were comprised of the following as of June 30, 2019 and December 31, 2018 :     (in thousands)  June 30, December 31,  2019 2018  Finished goods $ 100,998 $ 98,776  Raw materials 2,669 2,114  Finished goods in transit 2,990 9,205  Total $ 106,657 $ 110,095  The Company provides 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 $0.5 million and $0.3 million as of June 30, 2019 and December 31, 2018 , respectively. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2019 | |
Income Taxes [Abstract] | |
Income Taxes | Note 4: Income Taxes  The Company's effective tax rate on net income before income taxes for the three months ended June 30, 2019 and 2018 was (7.7)% and 28.0% , respectively. The Company’s effective tax rate on net income before income taxes for the six months ended June 30, 2019 and 2018 was 34.8% and 28.1% , respectively. For the three months ended June 30, 2019 and 2018 , the Company recorded a provision for income taxes of $0.0 million and $1.9 million, respectively. For the six months ended June 30, 2019 and 2018 , the Company recorded a provision for income taxes of $0.6 million and $3.5 million, respectively. The decrease in the provision for income taxes is due to lower pretax earnings.  The Company records interest and penalties relating to uncertain tax positions in income tax expense. As of June 30, 2019 and 2018 , 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 | 6 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 5: 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:     (all amounts in thousands except share and per share data)  For the three months ended For the six months ended  June 30, June 30,  2019 2018 2019 2018  Net (loss) income $ (154) $ 4,958 $ 1,166 $ 8,969  Weighted average shares outstanding - basic 50,999,341 51,887,094 51,476,442 51,884,402  Effect of dilutive securities attributable to stock based awards - 132,787 96,968 111,861  Weighted average shares outstanding - diluted 50,999,341 52,019,881 51,573,410 51,996,263  (Loss) income per common share:  Basic $ 0.00 $ 0.10 $ 0.02 $ 0.17  Diluted $ 0.00 $ 0.10 $ 0.02 $ 0.17  Anti-dilutive securities excluded from earnings per share calculation 2,835,890 2,298,350 2,047,585 2,017,629   |
Other Accrued Liabilities
Other Accrued Liabilities | 6 Months Ended |
Jun. 30, 2019 | |
Other Accrued Liabilities [Abstract] | |
Other Accrued Liabilities | Note 6: Other Accrued Liabilities  Other accrued liabilities consisted of the following:      (in thousands)  June 30, December 31,  2019 2018  Customer deposits $ 7,902 $ 7,383  Sales returns reserve 5,462 5,154  Payroll and sales taxes 3,630 2,929  Accrued wages and salaries 3,059 3,689  Other current liabilities 5,342 5,329  Total other accrued liabilities $ 25,395 $ 24,484 |
Long-term Debt
Long-term Debt | 6 Months Ended |
Jun. 30, 2019 | |
Long-term Debt [Abstract] | |
Long-term Debt | Note 7: Long-term Debt  On September 18, 2018 , Holdings and its operating subsidiary, The Tile Shop, LLC, entered into a credit agreement with Bank of America, N.A., Fifth Third Bank and Citizens Bank (the “Credit Agreement”). The Credit Agreement provides the Company with a senior credit facility consisting of a $100.0 million revolving line of credit through September 18, 2023 . Borrowings pursuant to the Credit Agreement initially bear interest at a rate of adjusted LIBOR plus 1.75% and may bear interest in a range between adjusted LIBOR plus 1.50% to adjusted LIBOR plus 2.25% , depending on The Tile Shop’s consolidated total rent adjusted leverage ratio. At June 30, 2019 the base interest rate was 6.50% and the LIBOR-based interest rate was 4.40% . Borrowings outstanding consisted of $63.0 million on the revolving line of credit as of June 30, 2019 . In addition, the Company has standby letters of credit outstanding related to its workers compensation and medical insurance policies. As of June 30, 2019 and 2018 , the standby letters of credit totaled $1.3 million and $1.1 million, respectively. There was $35.7 million available for borrowing on the revolving line of credit as of June 30, 2019 , which may be used to support the Company’s growth and for working capital purposes.  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. 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, or make investments. The Credit Agreement also includes financial and other covenants, including covenants to maintain certain fixed charge coverage ratios and consolidated total rent adjusted leverage ratios. The Company was in compliance with the covenants as of June 30, 2019 . |
Leases
Leases | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Leases | Note 8: Leases  The Company leases its retail stores, certain distribution space, and office space. Leases generally have a term of ten to fifteen years, and contain renewal options. Assets acquired under operating leases are included in the Company’s right of use assets in the accompanying Consolidated Balance Sheet. The Company’s lease agreements do not contain significant residual value guarantees, restrictions or covenants. The depreciable life of assets and leasehold improvements is limited by the expected lease term.     Leases (in thousands) Classification June 30, 2019  Assets  Operating lease assets Right of use asset $ 142,087  Financing lease assets Property, plant and equipment, net of accumulated depreciation 138  Total leased assets $ 142,225   Liabilities  Current  Operating Current portion of lease liability $ 25,997  Financing Other accrued liabilities 151  Noncurrent  Operating Long-term lease liability, net 137,340  Financing Other long-term liabilities 358  Total lease liabilities $ 163,846      Three Months Ended Six Months Ended  Lease cost (in thousands) Classification June 30, 2019  Operating lease cost SG&A expenses $ 7,998 $ 16,010  Financing lease cost  Amortization of leased assets Depreciation and amortization 12 24  Interest on lease liabilities Interest expense 19 40  Variable lease cost (1) SG&A expenses 3,333 6,558  Short term lease cost SG&A expenses 218 482  Net lease cost $ 11,580 $ 23,114 (1) Variable lease costs consist primarily of taxes, insurance, and common area or other maintenance costs for the Company’s leased facilities.       Maturity of Lease Liabilities (in thousands) Operating Leases Financing Leases Total  2019 $ 17,606 $ 108 $ 17,714  2020 34,437 216 34,653  2021 32,868 215 33,083  2022 29,938 90 30,028  2023 25,104 - 25,104  Thereafter 53,377 - 53,377  Total lease payments 193,330 629 193,959  Less: interest (29,993) (120) (30,113)  Present value of lease liabilities $ 163,337 $ 509 $ 163,846      Three Months Ended Six Months Ended  Other Information (in thousands) June 30, 2019  Cash paid for amounts included in the measurement of lease liabilities  Operating cash flows from operating leases $ 8,709 $ 17,311  Operating cash flows from financing leases $ 14 $ 35  Financing cash flows from financing leases $ (48) $ (102)  Lease right-of-use assets obtained or modified in exchange for lease obligations $ 5,993 $ 5,993        Lease Term and Discount Rate June 30, 2019  Weighted-average remaining term (years)  Operating leases 6.3  Financing leases 2.9  Weighted-average discount rate  Operating leases 6.19 %  Financing leases 14.73 %  |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value of Financial Instruments [Abstract] | |
Fair Value of Financial Instruments | Note 9: 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 June 30, 2019 and December 31, 2018 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.       Pricing Fair Value at  Category June 30, 2019 December 31, 2018  Assets (in thousands)  Cash and cash equivalents Level 1 $ 4,403 $ 5,557  Restricted cash Level 1 825 825  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.  Fair value measurements also apply to certain non-financial assets and liabilities measured at fair value on a nonrecurring basis. Property, plant and equipment and right of use assets are measured at fair value when an impairment is recognized and the related assets are written down to fair value. The Company measured the fair value of these assets based on projected cash flows and an estimated risk-adjusted rate of return. Projected cash flows are considered L evel 3 inputs. During the three and six months ended June 30, 2018, the Company identified property, plant and equipment that would be disposed of prior to the end of their useful lives, which resulted in the recognition of a $0.3 million charge to write-down these assets to their estimated fair value. The Company did not recognize any significant impairment losses during the three and six months ended June 30, 2019 .  The carrying value of the Company’s borrowings under its Credit Agreement approximate fair value based upon Level 2 inputs of the market interest rates available to the Company for debt obligations with similar risks and maturities. |
Equity Incentive Plans
Equity Incentive Plans | 6 Months Ended |
Jun. 30, 2019 | |
Equity Incentive Plans [Abstract] | |
Equity Incentive Plans |  Note 10: 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 six months ended June 30, 2019 and 2018 include compensation expense for the portion of outstanding awards that vested during those periods. The Company recognizes stock based compensation expenses 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 $0.3 million and $0.2 million for the three months ended June 30, 2019 and 2018 , respectively. Total stock based compensation expense related to stock options was $0.5 million for both the six months ended June 30, 2019 and 2018 . Stock based compensation expense pertaining to stock options is included in selling, general and administrative expenses in the accompanying Consolidated Statements of Income.  As of June 30, 2019 , the Company had outstanding stock options to purchase 1,538,369 shares of common stock at a weighted average exercise price of $11.19 .  Restricted stock:  The Company awards restricted common shares to selected employees and to non-employee directors. Recipients are not required to provide any consideration upon vesting of the award. Restricted stock 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 certain performance 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 $0.5 million and $0.4 million for the three months ended June 30, 2019 and 2018 , respectively. Total stock based compensation expense related to restricted stock was $1.0 million and $0.7 million for the three months ended June 30, 2019 and 2018 , respectively. Stock based compensation expense pertaining to restricted stock awards is included in selling, general and administrative expenses in the accompanying Consolidated Statements of Income.  As of June 30, 2019 , the Company had 918,292 outstanding restricted common shares. |
New Market Tax Credit
New Market Tax Credit | 6 Months Ended |
Jun. 30, 2019 | |
New Market Tax Credit [Abstract] | |
New Market Tax Credit | Note 11: 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. In this transaction, which was conducted under a qualified New Markets Tax Credit (“NMTC”) program, Tile Shop Lending, Inc. (“Tile Shop Lending”) loaned $6.7 million to Twain Investment Fund 192 LLC (the “Investment Fund”) at an interest rate of 1.37% per year and with a maturity date of December 31, 2046. The Investment Fund then contributed the loan to a community development entity (a “CDE”), which, in turn, loaned the funds on similar terms to Tile Shop of Oklahoma, LLC, an indirect, wholly-owned subsidiary of Holdings. In December 2016, U.S. Bank also contributed $3.2 million to the Investment Fund and, by virtue of such contribution, is entitled to substantially all of the tax benefits derived from the NMTC, 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 the CDE 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 $3.2 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 $1.3 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 June 30, 2019 , the balance of the contribution liability was $2.1 million, of which $0.5 million was classified as other accrued liabilities on the Consolidated Balance Sheet and $1.6 million was classified as other long-term liabilities on the Consolidated Balance Sheet.  The Company is able to request reimbursement for certain expenditures made in connection with the expansion of its 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. As of June 30, 2019 , the balance in the Investment Fund available for reimbursement to the Company was $0.8 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 the $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 Tile Shop Investment Fund LLC. 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 consolidation. In 2013, the investors’ 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 the NMTC program. As of June 30, 2019 , the balance of the contribution liability was $0.7 million, of which $0.6 million was classified as other accrued liabilities on the Consolidated Balance Sheet and $0.1 million was classified as other long-term liabilities on the Consolidated Balance Sheet. |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2019 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Note 12: Related Party Transactions  On July 9, 2018, Fumitake Nishi, the brother-in-law of the Company’s director Robert Rucker and a former Company employee, informed the Company he had reacquired a majority of the equity of one of its key vendors, Nanyang Helin Stone Co. Ltd (“Nanyang”). Nanyang supplies the Company with natural stone products including hand-crafted mosaics, listellos and other accessories. During the twelve months ended December 31, 2018, the Company purchased $12.0 million of products from Nanyang. During the three and six months ended June 30, 2019 , the Company purchased $0.9 million and $2.1 million of products from Nanyang, respectively. Mr. Nishi’s employment with the Company was terminated on January 1, 2014 as a result of several violations of the Company’s code of business conduct and ethics policy. Certain of those violations involved his undisclosed ownership of Nanyang at that time.  Management and the Audit Committee have evaluated the relationship and determined that it would be in the Company’s best interests to continue purchasing products from Nanyang. The Company believes Nanyang provides an important combination of quality, product availability and pricing, and relying solely on other vendors to supply similar product to the Company would not be in the Company’s best interests. The Company and the Audit Committee have and will continue to review future purchases from Nanyang and compare the pricing for products purchased from Nanyang to the pricing of same or similar products purchased from unrelated vendors. |
Share Repurchase
Share Repurchase | 6 Months Ended |
Jun. 30, 2019 | |
Share Repurchase [Abstract] | |
Share Repurchase | Note 13: Share Repurchase  On April 29, 2019, the Board of Directors of the Company authorized a share repurchase program (the “Program”), pursuant to which the Company may, from time to time, purchase shares of its common stock for an aggregate repurchase price not to exceed $15,000,000 . The Program began on May 2, 2019 and will continue indefinitely until the full repurchase amount has been utilized or the Board of Directors terminates the Program.  Share repurchases were as follows:      Three and Six Months Ended  June 30, 2019  Shares of common stock 2,307,023  Aggregate purchase price (in thousands) $ 10,455   |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 14: Subsequent Events  On July 23, 2019 , the Company declared a $0.05 dividend to stockholders of record as of the close of business on July 29, 2019 . The dividend will be paid on August 9, 20 19 . |
Revenues (Tables)
Revenues (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Revenues [Abstract] | |
Schedule of Revenues Disaggregated by Product Category |    For the three months ended For the six months ended  June 30, June 30,  2019 2018 2019 2018  Man-made tiles 47 % 47 % 47 % 46 %  Natural stone tiles 29 28 29 28  Setting and maintenance materials 13 13 13 13  Accessories 10 10 10 11  Delivery service 1 2 1 2  Total 100 % 100 % 100 % 100 %  |
Schedule of Components of Returns Reserve |   (in thousands)  June 30, December 31,  2019 2018  Other current liabilities $ 5,462 $ 5,154  Other current assets 1,621 1,498  Sales returns reserve, net $ 3,841 $ 3,656  |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Inventories [Abstract] | |
Schedule of Inventories |    (in thousands)  June 30, December 31,  2019 2018  Finished goods $ 100,998 $ 98,776  Raw materials 2,669 2,114  Finished goods in transit 2,990 9,205  Total $ 106,657 $ 110,095  |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share |    (all amounts in thousands except share and per share data)  For the three months ended For the six months ended  June 30, June 30,  2019 2018 2019 2018  Net (loss) income $ (154) $ 4,958 $ 1,166 $ 8,969  Weighted average shares outstanding - basic 50,999,341 51,887,094 51,476,442 51,884,402  Effect of dilutive securities attributable to stock based awards - 132,787 96,968 111,861  Weighted average shares outstanding - diluted 50,999,341 52,019,881 51,573,410 51,996,263  (Loss) income per common share:  Basic $ 0.00 $ 0.10 $ 0.02 $ 0.17  Diluted $ 0.00 $ 0.10 $ 0.02 $ 0.17  Anti-dilutive securities excluded from earnings per share calculation 2,835,890 2,298,350 2,047,585 2,017,629  |
Other Accrued Liabilities (Tabl
Other Accrued Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Other Accrued Liabilities [Abstract] | |
Schedule of Other Accrued Liabilities |    (in thousands)  June 30, December 31,  2019 2018  Customer deposits $ 7,902 $ 7,383  Sales returns reserve 5,462 5,154  Payroll and sales taxes 3,630 2,929  Accrued wages and salaries 3,059 3,689  Other current liabilities 5,342 5,329  Total other accrued liabilities $ 25,395 $ 24,484  |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Schedule of Lease Assets and Liabilities |    Leases (in thousands) Classification June 30, 2019  Assets  Operating lease assets Right of use asset $ 142,087  Financing lease assets Property, plant and equipment, net of accumulated depreciation 138  Total leased assets $ 142,225   Liabilities  Current  Operating Current portion of lease liability $ 25,997  Financing Other accrued liabilities 151  Noncurrent  Operating Long-term lease liability, net 137,340  Financing Other long-term liabilities 358  Total lease liabilities $ 163,846  |
Summary of Lease Cost |    Three Months Ended Six Months Ended  Lease cost (in thousands) Classification June 30, 2019  Operating lease cost SG&A expenses $ 7,998 $ 16,010  Financing lease cost  Amortization of leased assets Depreciation and amortization 12 24  Interest on lease liabilities Interest expense 19 40  Variable lease cost (1) SG&A expenses 3,333 6,558  Short term lease cost SG&A expenses 218 482  Net lease cost $ 11,580 $ 23,114 (1) Variable lease costs consist primarily of taxes, insurance, and common area or other maintenance costs for the Company’s leased facilities. |
Maturity Of Lease Liabilities |    Maturity of Lease Liabilities (in thousands) Operating Leases Financing Leases Total  2019 $ 17,606 $ 108 $ 17,714  2020 34,437 216 34,653  2021 32,868 215 33,083  2022 29,938 90 30,028  2023 25,104 - 25,104  Thereafter 53,377 - 53,377  Total lease payments 193,330 629 193,959  Less: interest (29,993) (120) (30,113)  Present value of lease liabilities $ 163,337 $ 509 $ 163,846  |
Summary of Other Lease Information |    Three Months Ended Six Months Ended  Other Information (in thousands) June 30, 2019  Cash paid for amounts included in the measurement of lease liabilities  Operating cash flows from operating leases $ 8,709 $ 17,311  Operating cash flows from financing leases $ 14 $ 35  Financing cash flows from financing leases $ (48) $ (102)  Lease right-of-use assets obtained or modified in exchange for lease obligations $ 5,993 $ 5,993  |
Lease Term and Discount Rate |    Lease Term and Discount Rate June 30, 2019  Weighted-average remaining term (years)  Operating leases 6.3  Financing leases 2.9  Weighted-average discount rate  Operating leases 6.19 %  Financing leases 14.73 %  |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value of Financial Instruments [Abstract] | |
Summary of Fair Value of Financial Assets Measured on a Recurring Basis |    Pricing Fair Value at  Category June 30, 2019 December 31, 2018  Assets (in thousands)  Cash and cash equivalents Level 1 $ 4,403 $ 5,557  Restricted cash Level 1 825 825  |
Share Repurchase (Tables)
Share Repurchase (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Share Repurchase [Abstract] | |
Schedule of Share Repurchases |    Three and Six Months Ended  June 30, 2019  Shares of common stock 2,307,023  Aggregate purchase price (in thousands) $ 10,455  |
Background (Narrative) (Details
Background (Narrative) (Details) $ in Thousands | Jun. 30, 2019USD ($)ft²storestate | Jan. 01, 2019USD ($) | Dec. 31, 2018USD ($) |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Number of stores | store | 140 | ||
Number of states in which entity operates | state | 31 | ||
Area of stores | ft² | 20,200 | ||
Lease liabilities | $ 163,846 | ||
Deferred rent | $ 43,579 | ||
Retained earnings (accumulated deficit) | (19,889) | (25,857) | |
Property, plant and equipment, net | 140,636 | $ 158,356 | |
Accounting Standards Update 2016-02 [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Right of use asset | $ 147,200 | ||
Lease liabilities | 169,900 | ||
Deferred rent | (44,600) | ||
Retained earnings (accumulated deficit) | 22,000 | ||
Property, plant and equipment, net | $ 15,300 | ||
Deferred tax assets | $ 1,700 |
Revenues (Narrative) (Details)
Revenues (Narrative) (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2019 | Dec. 31, 2018 | |
Revenues [Abstract] | ||
Customer deposit balance | $ 7,902 | $ 7,383 |
Customer deposit balance, revenues recognized | 6,900 | |
Accounts receivable | $ 4,961 | $ 3,084 |
Revenues (Schedule of Revenues
Revenues (Schedule of Revenues Disaggregated by Product Category) (Details) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 100.00% | 100.00% | 100.00% | 100.00% |
Man-Made Tiles [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 47.00% | 47.00% | 47.00% | 46.00% |
Natural Stone Tiles [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 29.00% | 28.00% | 29.00% | 28.00% |
Setting And Maintenance Materials [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 13.00% | 13.00% | 13.00% | 13.00% |
Accessories [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 10.00% | 10.00% | 10.00% | 11.00% |
Delivery Service [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total revenue | 1.00% | 2.00% | 1.00% | 2.00% |
Revenues (Schedule of Component
Revenues (Schedule of Components of Returns Reserve) (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Revenues [Abstract] | ||
Other current liabilities | $ 5,462 | $ 5,154 |
Other current assets | 1,621 | 1,498 |
Sales return reserve, net | $ 3,841 | $ 3,656 |
Inventories (Schedule of Invent
Inventories (Schedule of Inventories) (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Inventories [Abstract] | ||
Finished goods | $ 100,998 | $ 98,776 |
Raw materials | 2,669 | 2,114 |
Finished goods in transit | 2,990 | 9,205 |
Total | 106,657 | 110,095 |
Inventory, provision for shrinkage and other | $ 500 | $ 300 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Income Taxes [Abstract] | ||||
Effective income tax rate | (7.70%) | 28.00% | 34.80% | 28.10% |
Provision for income taxes | $ 11,000 | $ 1,924,000 | $ 622,000 | $ 3,505,000 |
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 | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Earnings Per Share [Abstract] | ||||
Net (loss) income | $ (154) | $ 4,958 | $ 1,166 | $ 8,969 |
Weighted-average shares outstanding - basic | 50,999,341 | 51,887,094 | 51,476,442 | 51,884,402 |
Effect of dilutive securities attributable to stock-based awards | 132,787 | 96,968 | 111,861 | |
Weighted-average shares outstanding - diluted | 50,999,341 | 52,019,881 | 51,573,410 | 51,996,263 |
Income per common share: Basic | $ 0 | $ 0.10 | $ 0.02 | $ 0.17 |
Income per common share: Dilutive | $ 0 | $ 0.10 | $ 0.02 | $ 0.17 |
Anti-dilutive securities excluded from earnings per share calculation | 2,835,890 | 2,298,350 | 2,047,585 | 2,017,629 |
Other Accrued Liabilities (Sche
Other Accrued Liabilities (Schedule of Other Accrued Liabilities) (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Other Accrued Liabilities [Abstract] | ||
Customer deposits | $ 7,902 | $ 7,383 |
Sales return reserve | 5,462 | 5,154 |
Payroll and sales taxes | 3,630 | 2,929 |
Accrued wages and salaries | 3,059 | 3,689 |
Other current liabilities | 5,342 | 5,329 |
Total other accrued liabilities | $ 25,395 | $ 24,484 |
Long-term Debt (Narrative) (Det
Long-term Debt (Narrative) (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Rent Adjusted Leverage Ratio [Member] | ||
Debt Instrument [Line Items] | ||
Credit facility, spread on variable interest rate | 1.75% | |
Rent Adjusted Leverage Ratio [Member] | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Credit facility, spread on variable interest rate | 1.50% | |
Rent Adjusted Leverage Ratio [Member] | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Credit facility, spread on variable interest rate | 2.25% | |
Base Rate [Member] | ||
Debt Instrument [Line Items] | ||
Credit facility effective interest rate | 6.50% | |
London Interbank Offered Rate (LIBOR) [Member] | ||
Debt Instrument [Line Items] | ||
Credit facility effective interest rate | 4.40% | |
Credit Agreement [Member] | ||
Debt Instrument [Line Items] | ||
Credit facility, initiation date | Sep. 18, 2018 | |
Credit facility, maximum borrowing capacity | $ 100 | |
Credit facility, expiration date | Sep. 18, 2023 | |
Credit facility, amount outstanding | $ 63 | |
Credit facility, available borrowing capacity | 35.7 | |
Credit Agreement [Member] | Letter of Credit [Member] | ||
Debt Instrument [Line Items] | ||
Credit facility, amount outstanding | $ 1.3 | $ 1.1 |
Leases (Narrative) (Details)
Leases (Narrative) (Details) | Jun. 30, 2018 |
Minimum [Member] | |
Operating lease term | 10 years |
Maximum [Member] | |
Operating lease term | 15 years |
Leases (Schedule of Lease Asset
Leases (Schedule of Lease Assets and Liabilities) (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Leases [Abstract] | ||
Operating lease assets | $ 142,087 | |
Financing lease assets | 138 | |
Total leased assets | 142,225 | |
Current operating lease liabilities | 25,997 | |
Current finance lease liabilities | 151 | |
Noncurrent operating lease liabilities | 137,340 | |
Noncurrent finance lease liabilities | 358 | $ 436 |
Total lease liabilities | $ 163,846 |
Leases (Summary of Lease Cost)
Leases (Summary of Lease Cost) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2019 | ||
Leases [Abstract] | |||
Operating lease cost | $ 7,998 | $ 16,010 | |
Financing lease cost, Amortization of leased assets | 12 | 24 | |
Financing lease, Interest on lease liabilities | 19 | 40 | |
Variable lease cost | [1] | 3,333 | 6,558 |
Short-term lease cost | 218 | 482 | |
Net lease cost | $ 11,580 | $ 23,114 | |
[1] | Variable lease costs consist primarily of taxes, insurance, and common area or other maintenance costs for the Company's leased facilities. |
Leases (Maturity of Lease Liabi
Leases (Maturity of Lease Liabilities) (Details) $ in Thousands | Jun. 30, 2019USD ($) |
Leases [Abstract] | |
Operating Leases, 2019 | $ 17,606 |
Operating Leases, 2020 | 34,437 |
Operating Leases, 2021 | 32,868 |
Operating Leases, 2022 | 29,938 |
Operating Leases, 2023 | 25,104 |
Operating Leases, Thereafter | 53,377 |
Operating Leases, Total lease payments | 193,330 |
Operating Leases, Less: interest | (29,993) |
Operating Leases, Present value of lease liabilities | 163,337 |
Financing Leases, 2019 | 108 |
Financing Leases, 2020 | 216 |
Financing Leases, 2021 | 215 |
Financing Leases, 2022 | 90 |
Financing Leases, Total lease payments | 629 |
Financing Leases, Less: interest | (120) |
Financing Leases, Present value of lease liabilities | 509 |
Operating and Financing Leases, 2019 | 17,714 |
Operating and Financing Leases, 2020 | 34,653 |
Operating and Financing Leases, 2021 | 33,083 |
Operating and Financing Leases, 2022 | 30,028 |
Operating and Financing Leases, 2023 | 25,104 |
Operating and Financing Leases, Thereafter | 53,377 |
Operating and Financing Leases, Total lease payments | 193,959 |
Operating and Financing Leases, Less: interest | (30,113) |
Total lease liabilities | $ 163,846 |
Leases (Summary of Other Lease
Leases (Summary of Other Lease Information) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended |
Jun. 30, 2019 | Jun. 30, 2019 | |
Leases [Abstract] | ||
Operating cash flows from operating leases | $ 8,709 | $ 17,311 |
Operating cash flows from financing leases | 14 | 35 |
Financing cash flows from financing leases | (48) | (102) |
Lease right-of-use assets obtained or modified in exchange for lease obligations | $ 5,993 | $ 5,993 |
Leases (Lease Term and Discount
Leases (Lease Term and Discount Rate) (Details) | Jun. 30, 2019 |
Leases [Abstract] | |
Weighted-average remaining term (years), Operating leases | 6 years 3 months 18 days |
Weighted average remaining term (years), Financing leases | 2 years 10 months 24 days |
Weighted-average discount rate, Operating leases | 6.19% |
Weighted-average discount rate, Financing leases | 14.73% |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments (Narrative) (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Fair Value of Financial Instruments [Abstract] | ||||
Asset impairment charges | $ 0 | $ 300,000 | $ 0 | $ 300,000 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments (Summary of Fair Value of Financial Assets Measured on a Recurring Basis) (Details) - Level 1 [Member] - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | $ 4,403 | $ 5,557 |
Restricted cash | $ 825 | $ 825 |
Equity Incentive Plans (Narrati
Equity Incentive Plans (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | $ 0.3 | $ 0.2 | $ 0.5 | $ 0.5 |
Stock options outstanding | 1,538,369 | 1,538,369 | ||
Stock options outstanding, weighted average exercise price | $ 11.19 | $ 11.19 | ||
Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | $ 0.5 | $ 0.4 | $ 1 | $ 0.7 |
Restricted stock outstanding | 918,292 | 918,292 |
New Market Tax Credit (Narrativ
New Market Tax Credit (Narrative) (Details) - USD ($) $ in Millions | 1 Months Ended | 6 Months Ended | 12 Months Ended | |
Dec. 31, 2016 | Jul. 31, 2013 | Jun. 30, 2019 | Dec. 31, 2016 | |
New Market Tax Credit Disclosure [Line Items] | ||||
Restricted cash | $ 0.8 | |||
Chase and US Bank [Member] | ||||
New Market Tax Credit Disclosure [Line Items] | ||||
Contribution to affiliate | $ 5.6 | |||
Twain Investment Fund 192 [Member] | ||||
New Market Tax Credit Disclosure [Line Items] | ||||
Net proceeds from contribution | $ 1.9 | |||
Contribution liability compliance period | 7 years | |||
Contribution liability | $ 2.1 | |||
Contribution liability, current | 0.5 | |||
Contribution liability, noncurrent | $ 1.6 | |||
Twain Investment Fund 192 [Member] | U.S. Bank Community [Member] | ||||
New Market Tax Credit Disclosure [Line Items] | ||||
Contribution to affiliate | $ 3.2 | |||
Twain Investment Fund 192 [Member] | Tile Shop Holdings [Member] | ||||
New Market Tax Credit Disclosure [Line Items] | ||||
Syndicate costs | 1.3 | 1.3 | ||
Twain Investment Fund 192 [Member] | Tile Shop Lending [Member] | ||||
New Market Tax Credit Disclosure [Line Items] | ||||
Loan amount | $ 6.7 | |||
Loan interest rate | 1.37% | |||
Tile Shop Investment Fund [Member] | ||||
New Market Tax Credit Disclosure [Line Items] | ||||
Contribution to affiliate | $ 4.4 | |||
Contribution liability compliance period | 7 years | 7 years | ||
Contribution liability | $ 0.7 | |||
Contribution liability, current | 0.6 | |||
Contribution liability, noncurrent | $ 0.1 | |||
Tile Shop Investment Fund [Member] | Tile Shop Holdings [Member] | ||||
New Market Tax Credit Disclosure [Line Items] | ||||
Syndicate costs | $ 1.2 | |||
Tile Shop Investment Fund [Member] | Tile Shop Lending [Member] | ||||
New Market Tax Credit Disclosure [Line Items] | ||||
Loan amount | 13.5 | |||
Oklahoma [Member] | U.S. Bank Community [Member] | ||||
New Market Tax Credit Disclosure [Line Items] | ||||
Financing agreement project cost | $ 9.2 | $ 9.2 | ||
Chase and US Bank [Member] | Oklahoma [Member] | ||||
New Market Tax Credit Disclosure [Line Items] | ||||
Financing agreement project cost | $ 19.1 |
Related Party Transactions (Nar
Related Party Transactions (Narrative) (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended |
Jun. 30, 2019 | Jun. 30, 2019 | Dec. 31, 2018 | |
Nanyang Helin Stone Company [Member] | |||
Related Party Transaction [Line Items] | |||
Payments to related party | $ 0.9 | $ 2.1 | $ 12 |
Share Repurchase (Narrative) (D
Share Repurchase (Narrative) (Details) | Jun. 30, 2019USD ($) |
Share Repurchase [Abstract] | |
Stock repurchase program, authorized amount | $ 15,000,000 |
Share Repurchase (Schedule of S
Share Repurchase (Schedule of Share Repurchases) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended |
Jun. 30, 2019 | Jun. 30, 2019 | |
Share Repurchase [Abstract] | ||
Share of common stock | 2,307,023 | |
Aggregate purchase price | $ 10,455 | $ 10,455 |
Subsequent Events (Narrative) (
Subsequent Events (Narrative) (Details) - Subsequent Event [Member] | Jul. 23, 2019$ / shares |
Subsequent Event [Line Items] | |
Dividends payable, date declared | Jul. 23, 2019 |
Dividends payable, amount per share | $ 0.05 |
Dividends payable, date of record | Jul. 29, 2019 |
Dividends payable, date to be paid | Aug. 9, 2019 |