Document And Entity Information
Document And Entity Information | 12 Months Ended |
Dec. 31, 2017shares | |
Document Information [Line Items] | |
Entity Registrant Name | FirstService Corp |
Entity Central Index Key | 1,637,810 |
Trading Symbol | fsv |
Current Fiscal Year End Date | --12-31 |
Entity Filer Category | Smaller Reporting Company |
Entity Current Reporting Status | Yes |
Entity Voluntary Filers | No |
Entity Well-known Seasoned Issuer | No |
Document Type | 40-F |
Document Period End Date | Dec. 31, 2017 |
Document Fiscal Year Focus | 2,017 |
Document Fiscal Period Focus | FY |
Amendment Flag | false |
Multiple Voting Shares [Member] | |
Document Information [Line Items] | |
Entity Common Stock, Shares Outstanding (in shares) | 1,325,694 |
Subordinate Voting Shares [Member] | |
Document Information [Line Items] | |
Entity Common Stock, Shares Outstanding (in shares) | 34,590,689 |
Consolidated Statements of Earn
Consolidated Statements of Earnings - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Revenues | $ 1,705,456 | $ 1,482,889 |
Cost of revenues (exclusive of depreciation and amortization shown below) | 1,189,373 | 1,050,087 |
Selling, general and administrative expenses | 358,238 | 305,222 |
Depreciation | 27,695 | 22,774 |
Amortization of intangible assets | 14,354 | 14,195 |
Goodwill impairment charge (note 7) | 6,150 | |
Acquisition-related items (note 3) | 2,019 | 61 |
Operating earnings | 107,627 | 90,550 |
Interest expense, net | 9,867 | 9,152 |
Other income, net | (1,520) | (232) |
Earnings before income tax | 99,280 | 81,630 |
Income tax (note 12) | 22,607 | 27,387 |
Net earnings | 76,673 | 54,243 |
Non-controlling interest share of earnings | 8,228 | 5,238 |
Non-controlling interest redemption increment (note 9) | 15,367 | 15,408 |
Net earnings attributable to Company | $ 53,078 | $ 33,597 |
Net earnings per common share (note 13) | ||
Basic (in dollars per share) | $ 1.48 | $ 0.93 |
Diluted (in dollars per share) | $ 1.45 | $ 0.92 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Earnings - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Net earnings | $ 76,673 | $ 54,243 |
Foreign currency translation gain | 1,916 | 465 |
Comprehensive earnings | 78,589 | 54,708 |
Less: Comprehensive earnings attributable to non-controlling shareholders | 23,595 | 20,646 |
Comprehensive earnings attributable to Company | $ 54,994 | $ 34,062 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Current assets | ||
Cash and cash equivalents | $ 57,187 | $ 43,384 |
Restricted cash | 9,707 | 13,450 |
Accounts receivable, net of allowance of $10,751 (December 31, 2016 - $8,815) | 182,442 | 164,074 |
Income tax recoverable | 4,400 | 2,581 |
Inventories (note 4) | 37,956 | 29,712 |
Prepaid expenses and other current assets | 29,631 | 25,853 |
Deferred income tax (note 12) | 24,738 | |
321,323 | 303,792 | |
Other receivables | 3,515 | 3,796 |
Other assets | 1,401 | 1,319 |
Fixed assets (note 5) | 85,056 | 73,083 |
Deferred income tax (note 12) | 674 | 1,693 |
Intangible assets (note 6) | 133,844 | 121,115 |
Goodwill (note 7) | 291,920 | 266,166 |
516,410 | 467,172 | |
837,733 | 770,964 | |
Current liabilities | ||
Accounts payable | 40,184 | 32,358 |
Accrued liabilities (note 4) | 114,096 | 102,908 |
Income tax payable | 5,117 | |
Unearned revenues | 34,358 | 28,872 |
Long-term debt - current (note 8) | 2,751 | 1,043 |
Contingent acquisition consideration - current (note 15) | 12,640 | 2,882 |
Deferred income tax (note 12) | 1,942 | |
204,029 | 175,122 | |
Long-term debt - non-current (note 8) | 266,874 | 249,866 |
Contingent acquisition consideration (note 15) | 5,778 | 7,560 |
Other liabilities | 35,426 | 23,869 |
Deferred income tax (note 12) | 4,685 | 31,167 |
312,763 | 312,462 | |
Redeemable non-controlling interests (note 9) | 117,708 | 102,352 |
Shareholders' equity | 203,233 | 181,028 |
$ 837,733 | $ 770,964 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Accounts receivable, allowance | $ 10,751 | $ 8,815 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] | Total |
Balance (in shares) at Dec. 31, 2015 | 35,939,011 | ||||
Balance at Dec. 31, 2015 | $ 136,071 | $ 43,980 | $ (10,152) | $ (2,873) | $ 167,026 |
Net earnings | 33,597 | 33,597 | |||
Other comprehensive earnings | 465 | 465 | |||
Subsidiaries’ equity transactions | (979) | (979) | |||
Stock option expense | 2,744 | 2,744 | |||
Stock options exercised (in shares) | 133,600 | ||||
Stock options exercised | $ 3,021 | (1,115) | 1,906 | ||
Tax benefit on options exercised | 1,605 | 1,605 | |||
Dividends | (15,821) | (15,821) | |||
Purchased for cancellation (in shares) | (230,000) | ||||
Purchased for cancellation | $ (903) | (8,612) | (9,515) | ||
Balance (in shares) at Dec. 31, 2016 | 35,842,611 | ||||
Balance at Dec. 31, 2016 | $ 138,189 | 46,235 | (988) | (2,408) | 181,028 |
Net earnings | 53,078 | 53,078 | |||
Other comprehensive earnings | 1,916 | 1,916 | |||
Subsidiaries’ equity transactions | 465 | 465 | |||
Stock option expense | 4,132 | $ 4,132 | |||
Stock options exercised (in shares) | 345,150 | 345,150 | |||
Stock options exercised | $ 6,666 | (2,148) | $ 4,518 | ||
Dividends | (17,598) | (17,598) | |||
Purchased for cancellation (in shares) | (271,378) | ||||
Purchased for cancellation | $ (1,085) | (16,000) | (17,085) | ||
Tax re-allocation from spin-out | (7,221) | (7,221) | |||
Balance (in shares) at Dec. 31, 2017 | 35,916,383 | ||||
Balance at Dec. 31, 2017 | $ 143,770 | $ 41,463 | $ 18,492 | $ (492) | $ 203,233 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Net earnings | $ 76,673 | $ 54,243 |
Items not affecting cash: | ||
Depreciation and amortization | 42,049 | 36,969 |
Goodwill, Impairment Loss | 6,150 | |
Deferred income tax | (7,110) | 1,304 |
Other | 5,664 | 2,342 |
Incremental tax benefit on stock options exercised | (1,605) | |
Changes in non-cash working capital: | ||
Accounts receivable | (15,029) | (21,077) |
Inventories | (821) | (4,542) |
Prepaid expenses and other current assets | (3,656) | (1,793) |
Accounts payable | 5,013 | (72) |
Accrued liabilities | (2,854) | 13,352 |
Income tax payable | (13,460) | 12,929 |
Unearned revenues | 4,611 | 10,194 |
Other liabilities | 18,598 | 6,883 |
Contingent acquisition consideration paid | (193) | (122) |
Net cash provided by operating activities | 115,635 | 109,005 |
Investing activities | ||
Acquisitions of businesses, net of cash acquired (note 3) | (39,573) | (90,852) |
Purchases of fixed assets | (36,257) | (29,122) |
Changes in restricted cash | 3,743 | (9,681) |
Other investing activities | (3,831) | (1,188) |
Net cash used in investing activities | (75,918) | (130,843) |
Financing activities | ||
Increase in long-term debt | 61,063 | 101,160 |
Repayment of long-term debt | (43,641) | (51,775) |
Purchases of non-controlling interests | (7,782) | (3,259) |
Sale of interests in subsidiaries to non-controlling interests | 843 | 2,202 |
Contingent acquisition consideration paid | (2,599) | (2,368) |
Proceeds received on exercise of stock options | 4,518 | 1,906 |
Incremental tax benefit on stock options exercised | 1,605 | |
Dividends paid to common shareholders | (17,141) | (15,471) |
Distributions paid to non-controlling interests | (4,504) | (4,985) |
Repurchases of Subordinate Voting Shares | (17,085) | (9,515) |
Net cash provided by (used) in financing activities | (26,328) | 19,500 |
Effect of exchange rate changes on cash | 414 | 162 |
Increase (decrease) in cash and cash equivalents | 13,803 | (2,176) |
Cash and cash equivalents, beginning of year | 43,384 | 45,560 |
Cash and cash equivalents, end of year | $ 57,187 | $ 43,384 |
Note 1 - Description of the Bus
Note 1 - Description of the Business | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Business Description and Basis of Presentation [Text Block] | 1. Description of the business FirstService Corporation (the “Company”) is a North American provider of residential property management and other essential property services to residential and commercial customers. The Company’s operations are conducted in two FirstService Residential is a full-service property manager and in many markets provides a full range of ancillary services primarily in the following areas: (i) on-site staffing, including building engineering and maintenance, full-service amenity management, security, concierge and front desk personnel, and landscaping; (ii) proprietary banking and insurance products; and (iii) energy conservation and management solutions. FirstService Brands provides a range of essential property services to residential and commercial customers in North America through franchise networks and company-owned locations. The principal brands in this division include Paul Davis Restoration, California Closets, Certa Pro Painters, Pillar to Post Home Inspectors, Floor Coverings International, College Pro Painters, Century Fire Protection, and Service America. |
Note 2 - Summary of Significant
Note 2 - Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Significant Accounting Policies [Text Block] | 2. Summary of significant accounting policies The preparation of consolidated financial statements in accordance with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. The most significant estimates are related to the determination of fair values of assets acquired and liabilities assumed in business combinations, recoverability of goodwill and intangible assets, estimated fair value of contingent consideration related to acquisitions, and the collectability of accounts receivable. Actual results could be materially different from these estimates. Significant accounting policies are summarized as follows: Basis of consolidation The consolidated financial statements include the accounts of the Company, its majority-owned subsidiaries and those variable interest entities where the Company is the primary beneficiary. Where the Company does not Cash and cash equivalents Cash equivalents consist of short-term interest-bearing securities, which are readily convertible into cash and have original maturities at the date of purchase of three Restricted cash Restricted cash consists of cash over which the Company has legal ownership but is restricted as to its availability or intended use, including funds held on behalf of clients and franchisees. Inventories Inventories are carried at the lower of cost and net realizable value. Cost is determined using the weighted average method. Work-in-progress inventory relates to construction contracts and real estate project management projects in process and are accounted for using the percentage of completion method. Fixed assets Fixed assets are carried at cost less accumulated depreciation. The costs of additions and improvements are capitalized, while maintenance and repairs are expensed as incurred. Fixed assets are reviewed for impairment whenever events or circumstances indicate that the carrying value of an asset group may not Buildings 20 40 Vehicles 3 5 Furniture and equipment 3 10 Computer equipment and software 3 5 Leasehold improvements term of the lease to a maximum of 10 Fair value The Company uses the fair value measurements framework for financial assets and liabilities and for non-financial assets and liabilities that are recognized or disclosed at fair value on a non-recurring basis. The framework defines fair value, gives guidance for measurement and disclosure, and establishes a three three Level 1 Level 2 Level 3 no Financing fees Financing fees related to the revolving credit facility and Senior Notes are deferred and amortized to interest expense using the effective interest method. Goodwill and intangible assets Goodwill represents the excess of purchase price over the fair value of assets acquired and liabilities assumed in a business combination and is not Intangible assets are recorded at fair value on the date they are acquired. Indefinite life intangible assets are not Customer lists and relationships straight-line over 4 20 Franchise rights by pattern of use, currently estimated at 2.5% 15% Trademarks and trade names straight-line over 5 35 Management contracts and other straight-line over life of contract ranging from 2 15 Backlog straight-line over 6 12 The Company reviews the carrying value of finite life intangible assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset group may not Goodwill and indefinite life intangible assets are tested for impairment annually, on August 1, Impairment of goodwill is tested at the reporting unit level. The Company has six first not not no not On August 1, 2017, No. 2017 04 2 not one zero 7 Impairment of indefinite life intangible assets is tested by comparing the carrying amount to the estimated fair value on an individual intangible asset basis. Redeemable non-controlling interests Redeemable non-controlling interests (“RNCI”) are recorded at the greater of (i) the redemption amount or (ii) the amount initially recorded as RNCI at the date of inception of the minority equity position. This amount is recorded in the “mezzanine” section of the balance sheet, outside of shareholders’ equity. Changes in the RNCI amount are recognized immediately as they occur. Revenue recognition and unearned revenues (a) Franchisor operations The Company operates several franchise systems within its FirstService Brands segment. Initial franchise fees are recognized when all material services or conditions related to the sale of the franchise have been performed or satisfied. Royalty revenues are recognized based on a contracted percentage of franchisee revenues, as reported by the franchisees. Revenues from administrative and other support services, as applicable, are recognized as the services are provided. (b) Revenues from construction contracts and service operations other than franchisor operations Revenues are recognized at the time the service is rendered. Certain services including but not Stock-based compensation For equity classified awards, compensation cost is measured at the grant date based on the estimated fair value of the award. The related stock option compensation expense is allocated using the graded attribution method. Notional value appreciation plans Under these plans, subsidiary employees are compensated if the notional value of the subsidiary increases. Awards under these plans generally have a term of up to fifteen five Foreign currency translation Assets, liabilities and operations of foreign subsidiaries are recorded based on the functional currency of each entity. For certain foreign operations, the functional currency is the local currency, in which case the assets, liabilities and operations are translated at current exchange rates from the local currency to the reporting currency, the US dollar. The resulting unrealized gains or losses are reported as a component of accumulated other comprehensive earnings. Realized and unrealized foreign currency gains or losses related to any foreign dollar denominated monetary assets and liabilities are included in net earnings. Income tax Income tax has been provided using the asset and liability method whereby deferred income tax assets and liabilities are recognized for the expected future income tax consequences of events that have been recognized in the consolidated financial statements or income tax returns. Deferred income tax assets and liabilities are measured using enacted income tax rates expected to apply to taxable income in the years in which temporary differences are expected to reverse, be recovered or settled. The effect on deferred income tax assets and liabilities of a change in income tax rates is recognized in earnings in the period in which the change occurs. A valuation allowance is recorded unless it is more likely than not On January 1, 2017, No. 2015 17. no not not On January 1, 2017, No. 2016 09 $8,460. The Company recognizes uncertainty in tax positions taken or expected to be taken in a tax return by recording a liability for unrecognized tax benefits on its balance sheet. Uncertainties are quantified by applying a prescribed recognition threshold and measurement attribute. The Company classifies interest and penalties associated with income tax positions in income tax expense. Business combinations All business combinations are accounted for using the purchase method of accounting. Transaction costs are expensed as incurred. The fair value of the contingent consideration is classified as a financial liability and is recorded on the balance sheet at the acquisition date and is re-measured at fair value at the end of each period until the end of the contingency period, with fair value adjustments recognized in earnings. |
Note 3 - Acquisitions
Note 3 - Acquisitions | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Business Combination Disclosure [Text Block] | 3. Acquisitions 2017 The Company acquired controlling interests in nine five four Details of these acquisitions are as follows: Aggregate Current assets $ 9,593 Long-term assets 3,394 Current liabilities (8,495 ) Long-term liabilities (850 ) Deferred Tax Liabilities (3,408 ) Redeemable non-controlling interest (3,360 ) $ (3,126 ) Note consideration $ (1,000 ) Cash consideration, net of cash acquired of $1,426 (39,573 ) Acquisition date fair value of contingent consideration (9,280 ) Total purchase consideration $ (49,853 ) Acquired intangible assets $ 23,589 Goodwill $ 29,390 2016 The Company acquired controlling interests in thirteen five eight three three six Adjustments recorded since the date of acquisition as a result of valuation and management review of certain accounts resulted in an increase of goodwill and intangible assets of $642 $1,928, Details of these acquisitions are as follows: Aggregate Current assets $ 40,022 Non-current assets 10,282 Current liabilities (19,299 ) Long-term liabilities (556 ) Deferred Tax Liabilities (14,646 ) Redeemable non-controlling interest (10,612 ) $ 5,191 Note consideration (3,434 ) Cash consideration, net of cash acquired of $5,002 $ (90,852 ) Acquisition date fair value of contingent consideration (9,998 ) Total purchase consideration $ (104,284 ) Acquired intangible assets $ 54,438 Goodwill $ 44,655 “Acquisition-related items” included both transaction costs and contingent acquisition consideration fair value adjustments. Acquisition-related transaction costs for the year ended December 31, 2017 $705 2016 $682 $1,314 2016 $621 In all years presented, the fair values of non-controlling interests were determined using an income approach with reference to a discounted cash flow model using the same assumptions implied in determining the purchase consideration. The purchase price allocations of acquisitions resulted in the recognition of goodwill. The primary factors contributing to goodwill are assembled workforces, synergies with existing operations and future growth prospects. For acquisitions completed during the year ended December 31, 2017, $10,218 2016 $7,511 The Company typically structures its business acquisitions to include contingent consideration. Vendors, at the time of acquisition, are entitled to receive a contingent consideration payment if the acquired businesses achieve specified earnings levels during the one two not nil. The fair value of the contingent consideration liability recorded on the consolidated balance sheet as at December 31, 2017 $18,418 15 $16,519 $19,434. November 2019. December 31, 2017, $2,792 2016 $2,490 The acquisitions referred to above were accounted for by the purchase method of accounting for business combinations. Accordingly, the accompanying consolidated statements of earnings do not December 31, 2017 The amounts of revenues and earnings contributed from the date of acquisition and included in the Company’s consolidated results for the year ended December 31, 2017, January 1, 2016, Revenues Net earnings Actual from acquired entities for 2017 $ 44,910 $ 2,211 Supplemental pro forma for 2017 (unaudited) 1,750,519 78,989 Supplemental pro forma for 2016 (unaudited) 1,651,491 61,624 Supplemental pro forma results were adjusted for non-recurring items. |
Note 4 - Components of Working
Note 4 - Components of Working Capital Accounts | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Supplemental Balance Sheet Disclosures [Text Block] | 4. Components of working capital accounts December 31, December 31, Inventories Work-in-progress $ 18,545 $ 15,529 Finished goods 9,964 6,071 Supplies and other 9,447 8,112 $ 37,956 $ 29,712 Accrued liabilities Accrued payroll and benefits $ 65,967 $ 60,546 Value appreciation plans 2,883 4,767 Customer advances 1,468 501 Other 43,778 37,094 $ 114,096 $ 102,908 |
Note 5 - Fixed Assets
Note 5 - Fixed Assets | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | 5. Fixed assets December 31, 2017 Cost Accumulated Net Land $ 2,521 $ - $ 2,521 Buildings 10,456 4,701 5,755 Vehicles 60,227 37,934 22,293 Furniture and equipment 64,003 44,565 19,438 Computer equipment and software 93,007 69,309 23,698 Leasehold improvements 29,389 18,038 11,351 $ 259,603 $ 174,547 $ 85,056 December 31, 2016 Cost Accumulated Net Land $ 2,520 $ - $ 2,520 Buildings 10,366 4,529 5,837 Vehicles 52,497 33,739 18,758 Furniture and equipment 54,194 37,807 16,387 Computer equipment and software 81,516 59,896 21,620 Leasehold improvements 23,550 15,589 7,961 $ 224,643 $ 151,560 $ 73,083 Included in fixed assets are vehicles, office and computer equipment under capital lease at a cost of $8,109 2016 $6,548 $3,935 2016 $2,826 |
Note 6 - Intangible Assets
Note 6 - Intangible Assets | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Intangible Assets Disclosure [Text Block] | 6. Intangible assets December 31, 2017 Gross Accumulated Net Customer lists and relationships $ 116,938 $ 48,698 $ 68,240 Franchise rights 44,392 19,695 24,697 Trademarks and trade names 26,766 13,742 13,024 Management contracts and other 45,621 17,738 27,883 $ 233,717 $ 99,873 $ 133,844 December 31, 2016 Gross Accumulated Net Customer lists and relationships $ 104,258 $ 34,161 $ 70,097 Franchise rights 39,137 17,230 21,907 Trademarks and trade names 26,069 11,825 14,244 Management contracts and other 36,515 21,648 14,867 $ 205,979 $ 84,864 $ 121,115 During the year ended December 31, 2017, Amount Estimated Customer lists and relationships $ 8,249 11.5 Franchise rights 6,232 8.6 Trademarks and trade names 721 14.5 Management Contracts and other 8,387 18.8 $ 23,589 13.4 The following is the estimated annual amortization expense for recorded intangible assets for each of the next five December 31: 2018 $ 13,613 2019 13,318 2020 12,574 2021 10,974 2022 10,289 |
Note 7 - Goodwill
Note 7 - Goodwill | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Goodwill Disclosure [Text Block] | 7. Goodwill FirstService FirstService Consolidated Balance, December 31, 2015 $ 167,449 $ 53,197 $ 220,646 Goodwill acquired during the year 5,696 38,959 44,655 Other items 18 169 187 Foreign exchange 510 168 678 Balance, December 31, 2016 173,673 92,493 266,166 Goodwill acquired during the year 13,358 16,032 29,390 Accumulated goodwill impairment loss - (6,150 ) (6,150 ) Other items (32 ) 898 866 Foreign exchange 1,224 424 1,648 Balance, December 31, 2017 $ 188,223 $ 103,697 $ 291,920 A test for goodwill impairment is required to be completed annually, in the Company’s case as of August 1, August 1, 2017, 3 $3,752 $2,398 No |
Note 8 - Long-term Debt
Note 8 - Long-term Debt | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Long-term Debt [Text Block] | 8. Long-term debt December 31, Revolving credit facility $ 113,801 3.84% Notes 150,000 Capital leases maturing at various dates through 2022 2,109 Other long-term debt maturing at various dates up to 2023 3,715 269,625 Less: current portion 2,751 Long-term debt - non-current $ 266,874 The Company has $150 3.84%. January 16, 2025, five January 16, 2021. The Company has a credit agreement with a syndicate of banks to provide a committed multi-currency revolving credit facility (the “Facility”) of $200 5 June 1, 2020 1.25% 2.50% 2017 2.5%. $80,811 December 31, 2017. December 31, 2017, $5,389 $6,198 December 31, 2016). 0.25% 0.50% $50 The Facility and the Senior Notes rank equally in terms of seniority. The Company has granted the lenders under the Facility and holders of the Senior Notes various collateral, including an interest in all of the assets of the Company. The covenants under the Facility and the Senior Notes require the Company to maintain certain ratios, including financial leverage, interest coverage and net worth. The Company is limited from undertaking certain mergers, acquisitions and dispositions without prior approval. The effective interest rate on the Company’s long-term debt for the year ended December 31, 2017 3.6%. five December 31 2018 $ 2,749 2019 1,130 2020 114,437 2021 30,451 2021 and thereafter 120,858 |
Note 9 - Redeemable Non-control
Note 9 - Redeemable Non-controlling Interests | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Noncontrolling Interest Disclosure [Text Block] | 9. Redeemable non-controlling interests The minority equity positions in the Company’s subsidiaries are referred to as redeemable non-controlling interests (“RNCI”). The RNCI are considered to be redeemable securities. Accordingly, the RNCI is recorded at the greater of (i) the redemption amount or (ii) the amount initially recorded as RNCI at the date of inception of the minority equity position. This amount is recorded in the “mezzanine” section of the balance sheet, outside of shareholders’ equity. Changes in the RNCI amount are recognized immediately as they occur. The following table provides a reconciliation of the beginning and ending RNCI amounts: 2017 2016 Balance, January 1 $ 102,352 $ 77,559 RNCI share of earnings 8,228 5,238 RNCI redemption increment 15,367 15,408 Distributions paid to RNCI (4,504 ) (4,985 ) Purchases of interests from RNCI, net (6,939 ) (1,057 ) RNCI recognized on business acquisitions 3,360 10,612 Other (156 ) (423 ) Balance, December 31 $ 117,708 $ 102,352 The Company has shareholders’ agreements in place at each of its non-wholly owned subsidiaries. These agreements allow the Company to “call” the non-controlling interest at a price determined with the use of a formula price, which is usually equal to a fixed multiple of average annual net earnings before extraordinary items, income taxes, interest, depreciation, and amortization. The agreements also have redemption features which allow the owners of the RNCI to “put” their equity to the Company at the same price subject to certain limitations. The formula price is referred to as the redemption amount and may December 31, 2017 $116,558 2016 $100,569 December 31, 2017, 1,700,000 $0.55 December 31, 2017. |
Note 10 - Capital Stock
Note 10 - Capital Stock | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Stockholders' Equity Note Disclosure [Text Block] | 10. Capital stock The authorized capital stock of the Company is as follows: An unlimited number of Preferred Shares; An unlimited number of Subordinate Voting Shares having one An unlimited number of Multiple Voting Shares having 20 one The following table provides a summary of total capital stock issued and outstanding: Subordinate Voting Shares Multiple Voting Shares Total Common Shares Number Amount Number Amount Number Amount Balance, December 31, 2017 34,590,689 $ 143,622 1,325,694 $ 148 35,916,383 $ 143,770 Pursuant to the amended management services agreement with the Company dated and effective as of the 1st June, 2015, may not two first 5% C$2.351. second 5% C$4.578. December 31, 2017, C$87.93 December 31, 2017), US$251,220. |
Note 11 - Stock-based Compensat
Note 11 - Stock-based Compensation | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | 11. Stock-based compensation The Company has a stock option plan for certain officers and key full-time employees of the Company and its subsidiaries. Options are granted at the market price for the underlying shares on the date of grant. Each option vests over a four five one December 31, 2017, 758,000 Grants under the Company’s stock option plan are equity-classified awards. Stock option activity for the year ended December 31, 2017 Number of Weighted Weighted average Aggregate Shares issuable under options - Beginning of period 1,351,400 $ 23.05 Granted 390,500 54.88 Exercised (345,150 ) 13.09 Shares issuable under options - December 31, 2017 1,396,750 $ 34.41 2.7 $ 49,595 Options exercisable - End of period 512,100 $ 25.63 1.9 $ 22,682 The Company incurred stock-based compensation expense related to these awards of $4,132 December 31, 2017 ( 2016 $2,744 As at December 31, 2017, $12.85 $54.88 December 31, 2017, $49,595 2.7 The following table summarizes information about option exercises during year ended December 31, 2017: 2017 Number of options exercised 345,150 Aggregate fair value $ 21,169 Intrinsic value 16,650 Amount of cash received 4,519 Tax benefit recognized $ 6,476 As at December 31, 2017, $3,947 4 December 31, 2017, $11,363 2016 $7,908 The fair value of each option grant is estimated on the date of grant using the Black-Scholes option pricing model, utilizing the following weighted average assumptions: 2017 Risk free rate 1.5 % Expected life in years 4.75 Expected volatility 31.0 % Dividend yield 1.0 % Weighted average fair value per option granted $ 14.57 The risk-free interest rate is based on the implied yield of a zero four |
Note 12 - Income Tax
Note 12 - Income Tax | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 12. Income tax Income tax differs from the amounts that would be obtained by applying the statutory rate to the respective year’s earnings before tax. Differences result from the following items: 2017 2016 Income tax expense using combined statutory rate of 26.5% (2016 - 26.5%, 2015 - 26.5%) $ 26,310 $ 21,632 Permanent differences 359 434 Tax effect of flow through entities (186 ) (243 ) Adjustments to tax liabilities for prior periods (1,712 ) (456 ) Effects of changes in U.S. enacted tax rates (2,514 ) - Changes in liability for unrecognized tax benefits - (156 ) Non-deductible stock-based compensation 1,095 727 Excess tax benefits related to stock-based compensation (5,749 ) - Foreign, state and provincial tax rate differential 5,246 4,972 Other taxes (242 ) 477 Provision for income taxes as reported $ 22,607 $ 27,387 Earnings before income tax by jurisdiction comprise the following: 2017 2016 Canada $ 4,375 $ 16,989 United States 94,905 64,641 Total $ 99,280 $ 81,630 Income tax expense (recovery) comprises the following: 2017 2016 Current Canada $ (791 ) $ 3,689 United States 29,966 21,945 29,175 25,634 Deferred Canada (294 ) (317 ) United States (6,274 ) 2,070 (6,568 ) 1,753 Total $ 22,607 $ 27,387 The significant components of deferred income tax are as follows: 2017 2016 Deferred income tax assets Loss carry-forwards $ 1,580 $ 1,066 Expenses not currently deductible 14,184 18,120 Stock-based compensation 1,602 2,956 Basis differences of partnerships and other entities 683 1,047 Allowance for doubtful accounts 1,596 3,457 Inventory and other reserves 191 542 19,836 27,188 Deferred income tax liabilities Depreciation and amortization 21,631 31,168 Prepaid and other expenses deducted for tax purposes 1,423 1,942 23,054 33,110 Net deferred income tax asset (liability) before valuation allowance (3,218 ) (5,922 ) Valuation allowance 793 756 Net deferred income tax asset (liability) $ (4,011 ) $ (6,678 ) The recoverability of deferred income tax assets is dependent on generating sufficient taxable income before the 20 not not The Company has gross operating loss carry-forwards as follows: Loss carry forward Gross losses not recognized Net 2017 2016 2017 2016 2017 2016 Canada $ 2,167 $ 2,082 $ - $ - $ 2,167 $ 2,082 United States 10,575 7,902 6,870 6,470 3,705 1,432 These amounts above are available to reduce future federal, state, and provincial income taxes in their respective jurisdictions. Net operating loss carry-forward balances attributable to the United States and Canada expire over the next 6 20 Cumulative unremitted earnings of US and foreign subsidiaries approximated $353,976 December 31, 2017 ( 2016 $297,631 not A reconciliation of the beginning and ending amounts of the liability for unrecognized tax benefits is as follows: Balance, December 31, 2015 $ 292 Decreases based on tax positions related to 2016 (144 ) Balance, December 31, 2016 148 Balance, December 31, 2017 $ 148 Of the $148 2016 $148 $148, 2016 $148 December 31, 2017, no 2016 $12 December 31, 2017, $38 2016 $38 The Company’s significant tax jurisdictions include the United States and Canada. The number of years with open tax audits varies depending on the tax jurisdictions. Generally, income tax returns filed with the Canada Revenue Agency and related provinces are open for three four three five New U.S. tax legislation was enacted in December 2017. not The Company does not may may |
Note 13 - Net Earnings Per Comm
Note 13 - Net Earnings Per Common Share | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 13. Net earnings per common share The following table reconciles the denominator used to calculate earnings per common share: 2017 2016 Shares issued and outstanding at beginning of period 35,842,611 35,939,011 Weighted average number of shares: Issued during the period 203,725 72,023 Repurchased during the period (137,596 ) (45,247 ) Weighted average number of shares used in computing basic earnings per share 35,908,740 35,965,787 Assumed exercise of stock options, net of shares assumed acquired under the Treasury Stock Method 650,536 399,997 Number of shares used in computing diluted earnings per share 36,559,276 36,365,784 |
Note 14 - Other Supplemental In
Note 14 - Other Supplemental Information | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Additional Financial Information Disclosure [Text Block] | 14. Other supplemental information 2017 2016 Franchisor operations Revenues $ 114,182 $ 105,077 Operating earnings 33,960 31,807 Initial franchise fee revenues 4,601 6,054 Depreciation and amortization 5,030 3,923 Total assets 109,889 98,816 Cash payments made during the period Income taxes $ 43,893 $ 9,968 Interest 9,489 8,648 Non-cash financing activities Increases in capital lease obligations $ 1,235 $ 1,785 Other expenses Rent expense $ 28,977 $ 25,422 |
Note 15 - Financial Instruments
Note 15 - Financial Instruments | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Financial Instruments Disclosure [Text Block] | 15. Financial instruments Concentration of credit risk The Company is subject to credit risk with respect to its cash and cash equivalents, accounts receivable and other receivables. Concentrations of credit risk with respect to cash and cash equivalents are limited by the use of multiple large and reputable banks. Concentrations of credit risk with respect to the receivables are limited due to the large number of entities comprising the Company’s customer base and their dispersion across many different service lines. Interest rate risk The Company maintains an interest rate risk management strategy that uses interest rate hedging contracts from time to time. The Company’s specific goals are to: (i) manage interest rate sensitivity by modifying the characteristics of its debt and (ii) lower the long-term cost of its borrowed funds. Fluctuations in interest rates affect the fair value of the hedging contracts as their value depends on the prevailing market interest rate. Hedging contracts are monitored on a monthly basis. Foreign currency risk Foreign currency risk is related to the portion of the Company’s business transactions denominated in currencies other than U.S. dollars. A portion of revenue is generated by the Company’s Canadian operations. The Company’s head office expenses are incurred in Canadian dollars which is hedged by Canadian dollar denominated revenue. Fair values of financial instruments The following table provides the financial assets and liabilities carried at fair value measured on a recurring basis as of December 31, 2017: Carrying value at Fair value measurements December 31, 2017 Level 1 Level 2 Level 3 Contingent consideration liability $ 18,418 $ - $ - $ 18,418 The inputs to the measurement of the fair value of contingent consideration related to acquisitions are Level 3 8% 10% 9%. 2% $192. Balance, December 31, 2016 $ 10,442 Amounts recognized on acquisitions 9,280 Fair value adjustments 1,314 Resolved and settled in cash (2,792 ) Other 174 Balance, December 31, 2017 $ 18,418 Less: current portion $ 12,640 Non-current portion $ 5,778 The carrying amounts for cash and cash equivalents, restricted cash, accounts receivable, accounts payable and accrued liabilities approximate fair values due to the short maturity of these instruments, unless otherwise indicated. The inputs to the measurement of the fair value of long term debt are Level 3 2.0% 2.5% 2017 2016 Carrying Fair Carrying Fair Other receivables $ 3,515 $ 3,515 $ 3,796 $ 3,796 Long-term debt 269,625 282,109 250,909 263,660 Other receivables include notes receivable from non-controlling shareholders and other non-current receivables. |
Note 16 - Commitments and Conti
Note 16 - Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 16. Commitments and contingencies (a) Lease commitments Minimum operating lease payments are as follows: Year ended December 31 2017 $ 23,334 2018 19,785 2019 17,071 2020 14,065 2021 10,600 Thereafter 17,252 (b) Contingencies In the normal course of operations, the Company is subject to routine claims and litigation incidental to its business. Litigation currently pending or threatened against the Company includes disputes with former employees and commercial liability claims related to services provided by the Company. The Company believes resolution of such proceedings, combined with amounts set aside, will not |
Note 17 - Related Party Transac
Note 17 - Related Party Transactions | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Related Party Transactions Disclosure [Text Block] | 17. Related party transactions The Company has entered into office space rental arrangements and property management contracts with senior managers of certain subsidiaries. These senior managers are usually also minority shareholders of the subsidiaries. The business purpose of the transactions is to rent office space for the Company and to generate property management revenues for the Company. The recorded amount of the rent expense for the year ended December 31, 2017 $1.4 2016 $0.6 10 As at December 31, 2017, $2.5 December 31, 2016 - $2.5 5 10 |
Note 18 - Segmented Information
Note 18 - Segmented Information | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | 18. Segmented information Operating segments The Company has two 2017 FirstService FirstService Corporate Consolidated Revenues $ 1,174,332 $ 531,124 $ - $ 1,705,456 Depreciation and amortization 21,794 20,244 11 42,049 Goodwill impairment charge - 6,150 - 6,150 Operating earnings (loss) 77,569 46,655 (16,597 ) 107,627 Other income, net 1,520 Interest expense, net (9,867 ) Income taxes (22,607 ) Net earnings $ 76,673 Total assets $ 403,408 $ 425,912 $ 8,413 $ 837,733 Total additions to long lived assets 47,227 53,321 - 100,548 2016 FirstService FirstService Corporate Consolidated Revenues $ 1,112,820 $ 370,069 $ - $ 1,482,889 Depreciation and amortization 20,924 15,982 63 36,969 Operating earnings (loss) 62,539 41,173 (13,162 ) 90,550 Other expense, net 232 Interest expense, net (9,152 ) Income taxes (27,387 ) Net earnings $ 54,243 Total assets $ 371,780 $ 393,321 $ 5,863 $ 770,964 Total additions to long lived assets 25,039 114,178 - 139,217 Geographic information Revenues in each geographic region are reported by customer locations. 2017 2016 United States Revenues $ 1,610,068 $ 1,393,950 Total long-lived assets 469,919 420,087 Canada Revenues $ 95,388 $ 88,939 Total long-lived assets 40,901 40,277 Consolidated Revenues $ 1,705,456 $ 1,482,889 Total long-lived assets 510,820 460,364 |
Note 19 - Impact of Recently Is
Note 19 - Impact of Recently Issued Accounting Standards | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Description of New Accounting Pronouncements Not yet Adopted [Text Block] | 19. Impact of recently issued accounting standards In May 2014, No. 2014 09, January 1, 2018. first 2018 2017 $27,000, $1,600, $12,000. In February 2016, No. 2016 02, January 1, 2019, may In November 2016, No. 2016 18, January 1, 2018 |
Note 20 - Subsequent Event
Note 20 - Subsequent Event | 12 Months Ended |
Dec. 31, 2017 | |
Notes to Financial Statements | |
Subsequent Events [Text Block] | 20. Subsequent event On January 17, 2018, $250,000, $200,000, January 2023 June 2020. $100,000 |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Consolidation, Policy [Policy Text Block] | Basis of consolidation The consolidated financial statements include the accounts of the Company, its majority-owned subsidiaries and those variable interest entities where the Company is the primary beneficiary. Where the Company does not |
Cash and Cash Equivalents, Policy [Policy Text Block] | Cash and cash equivalents Cash equivalents consist of short-term interest-bearing securities, which are readily convertible into cash and have original maturities at the date of purchase of three |
Cash and Cash Equivalents, Restricted Cash and Cash Equivalents, Policy [Policy Text Block] | Restricted cash Restricted cash consists of cash over which the Company has legal ownership but is restricted as to its availability or intended use, including funds held on behalf of clients and franchisees. |
Inventory, Policy [Policy Text Block] | Inventories Inventories are carried at the lower of cost and net realizable value. Cost is determined using the weighted average method. Work-in-progress inventory relates to construction contracts and real estate project management projects in process and are accounted for using the percentage of completion method. |
Property, Plant and Equipment, Policy [Policy Text Block] | Fixed assets Fixed assets are carried at cost less accumulated depreciation. The costs of additions and improvements are capitalized, while maintenance and repairs are expensed as incurred. Fixed assets are reviewed for impairment whenever events or circumstances indicate that the carrying value of an asset group may not Buildings 20 40 Vehicles 3 5 Furniture and equipment 3 10 Computer equipment and software 3 5 Leasehold improvements term of the lease to a maximum of 10 |
Fair Value Measurement, Policy [Policy Text Block] | Fair value The Company uses the fair value measurements framework for financial assets and liabilities and for non-financial assets and liabilities that are recognized or disclosed at fair value on a non-recurring basis. The framework defines fair value, gives guidance for measurement and disclosure, and establishes a three three Level 1 Level 2 Level 3 no |
Deferred Charges, Policy [Policy Text Block] | Financing fees Financing fees related to the revolving credit facility and Senior Notes are deferred and amortized to interest expense using the effective interest method. |
Goodwill and Intangible Assets, Goodwill, Policy [Policy Text Block] | Goodwill and intangible assets Goodwill represents the excess of purchase price over the fair value of assets acquired and liabilities assumed in a business combination and is not Intangible assets are recorded at fair value on the date they are acquired. Indefinite life intangible assets are not Customer lists and relationships straight-line over 4 20 Franchise rights by pattern of use, currently estimated at 2.5% 15% Trademarks and trade names straight-line over 5 35 Management contracts and other straight-line over life of contract ranging from 2 15 Backlog straight-line over 6 12 The Company reviews the carrying value of finite life intangible assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset group may not Goodwill and indefinite life intangible assets are tested for impairment annually, on August 1, Impairment of goodwill is tested at the reporting unit level. The Company has six first not not no not On August 1, 2017, No. 2017 04 2 not one zero 7 Impairment of indefinite life intangible assets is tested by comparing the carrying amount to the estimated fair value on an individual intangible asset basis. |
Consolidation, Subsidiaries or Other Investments, Consolidated Entities, Policy [Policy Text Block] | Redeemable non-controlling interests Redeemable non-controlling interests (“RNCI”) are recorded at the greater of (i) the redemption amount or (ii) the amount initially recorded as RNCI at the date of inception of the minority equity position. This amount is recorded in the “mezzanine” section of the balance sheet, outside of shareholders’ equity. Changes in the RNCI amount are recognized immediately as they occur. |
Revenue Recognition, Policy [Policy Text Block] | Revenue recognition and unearned revenues (a) Franchisor operations The Company operates several franchise systems within its FirstService Brands segment. Initial franchise fees are recognized when all material services or conditions related to the sale of the franchise have been performed or satisfied. Royalty revenues are recognized based on a contracted percentage of franchisee revenues, as reported by the franchisees. Revenues from administrative and other support services, as applicable, are recognized as the services are provided. (b) Revenues from construction contracts and service operations other than franchisor operations Revenues are recognized at the time the service is rendered. Certain services including but not |
Share-based Compensation, Option and Incentive Plans Policy [Policy Text Block] | Stock-based compensation For equity classified awards, compensation cost is measured at the grant date based on the estimated fair value of the award. The related stock option compensation expense is allocated using the graded attribution method. |
Notional Value Appreciation Plan [Policy Text Block] | Notional value appreciation plans Under these plans, subsidiary employees are compensated if the notional value of the subsidiary increases. Awards under these plans generally have a term of up to fifteen five |
Foreign Currency Transactions and Translations Policy [Policy Text Block] | Foreign currency translation Assets, liabilities and operations of foreign subsidiaries are recorded based on the functional currency of each entity. For certain foreign operations, the functional currency is the local currency, in which case the assets, liabilities and operations are translated at current exchange rates from the local currency to the reporting currency, the US dollar. The resulting unrealized gains or losses are reported as a component of accumulated other comprehensive earnings. Realized and unrealized foreign currency gains or losses related to any foreign dollar denominated monetary assets and liabilities are included in net earnings. |
Income Tax, Policy [Policy Text Block] | Income tax Income tax has been provided using the asset and liability method whereby deferred income tax assets and liabilities are recognized for the expected future income tax consequences of events that have been recognized in the consolidated financial statements or income tax returns. Deferred income tax assets and liabilities are measured using enacted income tax rates expected to apply to taxable income in the years in which temporary differences are expected to reverse, be recovered or settled. The effect on deferred income tax assets and liabilities of a change in income tax rates is recognized in earnings in the period in which the change occurs. A valuation allowance is recorded unless it is more likely than not On January 1, 2017, No. 2015 17. no not not On January 1, 2017, No. 2016 09 $8,460. The Company recognizes uncertainty in tax positions taken or expected to be taken in a tax return by recording a liability for unrecognized tax benefits on its balance sheet. Uncertainties are quantified by applying a prescribed recognition threshold and measurement attribute. The Company classifies interest and penalties associated with income tax positions in income tax expense. |
Business Combinations Policy [Policy Text Block] | Business combinations All business combinations are accounted for using the purchase method of accounting. Transaction costs are expensed as incurred. The fair value of the contingent consideration is classified as a financial liability and is recorded on the balance sheet at the acquisition date and is re-measured at fair value at the end of each period until the end of the contingency period, with fair value adjustments recognized in earnings. |
Note 3 - Acquisitions (Tables)
Note 3 - Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | Aggregate Current assets $ 9,593 Long-term assets 3,394 Current liabilities (8,495 ) Long-term liabilities (850 ) Deferred Tax Liabilities (3,408 ) Redeemable non-controlling interest (3,360 ) $ (3,126 ) Note consideration $ (1,000 ) Cash consideration, net of cash acquired of $1,426 (39,573 ) Acquisition date fair value of contingent consideration (9,280 ) Total purchase consideration $ (49,853 ) Acquired intangible assets $ 23,589 Goodwill $ 29,390 Aggregate Current assets $ 40,022 Non-current assets 10,282 Current liabilities (19,299 ) Long-term liabilities (556 ) Deferred Tax Liabilities (14,646 ) Redeemable non-controlling interest (10,612 ) $ 5,191 Note consideration (3,434 ) Cash consideration, net of cash acquired of $5,002 $ (90,852 ) Acquisition date fair value of contingent consideration (9,998 ) Total purchase consideration $ (104,284 ) Acquired intangible assets $ 54,438 Goodwill $ 44,655 |
Business Acquisition, Pro Forma Information [Table Text Block] | Revenues Net earnings Actual from acquired entities for 2017 $ 44,910 $ 2,211 Supplemental pro forma for 2017 (unaudited) 1,750,519 78,989 Supplemental pro forma for 2016 (unaudited) 1,651,491 61,624 |
Note 4 - Components of Workin30
Note 4 - Components of Working Capital Accounts (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Inventory, Current [Table Text Block] | December 31, December 31, Inventories Work-in-progress $ 18,545 $ 15,529 Finished goods 9,964 6,071 Supplies and other 9,447 8,112 $ 37,956 $ 29,712 Accrued liabilities Accrued payroll and benefits $ 65,967 $ 60,546 Value appreciation plans 2,883 4,767 Customer advances 1,468 501 Other 43,778 37,094 $ 114,096 $ 102,908 |
Note 5 - Fixed Assets (Tables)
Note 5 - Fixed Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | December 31, 2017 Cost Accumulated Net Land $ 2,521 $ - $ 2,521 Buildings 10,456 4,701 5,755 Vehicles 60,227 37,934 22,293 Furniture and equipment 64,003 44,565 19,438 Computer equipment and software 93,007 69,309 23,698 Leasehold improvements 29,389 18,038 11,351 $ 259,603 $ 174,547 $ 85,056 December 31, 2016 Cost Accumulated Net Land $ 2,520 $ - $ 2,520 Buildings 10,366 4,529 5,837 Vehicles 52,497 33,739 18,758 Furniture and equipment 54,194 37,807 16,387 Computer equipment and software 81,516 59,896 21,620 Leasehold improvements 23,550 15,589 7,961 $ 224,643 $ 151,560 $ 73,083 |
Note 6 - Intangible Assets (Tab
Note 6 - Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Finite-Lived Intangible Assets [Table Text Block] | December 31, 2017 Gross Accumulated Net Customer lists and relationships $ 116,938 $ 48,698 $ 68,240 Franchise rights 44,392 19,695 24,697 Trademarks and trade names 26,766 13,742 13,024 Management contracts and other 45,621 17,738 27,883 $ 233,717 $ 99,873 $ 133,844 December 31, 2016 Gross Accumulated Net Customer lists and relationships $ 104,258 $ 34,161 $ 70,097 Franchise rights 39,137 17,230 21,907 Trademarks and trade names 26,069 11,825 14,244 Management contracts and other 36,515 21,648 14,867 $ 205,979 $ 84,864 $ 121,115 |
Schedule of Acquired Finite-Lived Intangible Assets by Major Class [Table Text Block] | Amount Estimated Customer lists and relationships $ 8,249 11.5 Franchise rights 6,232 8.6 Trademarks and trade names 721 14.5 Management Contracts and other 8,387 18.8 $ 23,589 13.4 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | 2018 $ 13,613 2019 13,318 2020 12,574 2021 10,974 2022 10,289 |
Note 7 - Goodwill (Tables)
Note 7 - Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Goodwill [Table Text Block] | FirstService FirstService Consolidated Balance, December 31, 2015 $ 167,449 $ 53,197 $ 220,646 Goodwill acquired during the year 5,696 38,959 44,655 Other items 18 169 187 Foreign exchange 510 168 678 Balance, December 31, 2016 173,673 92,493 266,166 Goodwill acquired during the year 13,358 16,032 29,390 Accumulated goodwill impairment loss - (6,150 ) (6,150 ) Other items (32 ) 898 866 Foreign exchange 1,224 424 1,648 Balance, December 31, 2017 $ 188,223 $ 103,697 $ 291,920 |
Note 8 - Long-term Debt (Tables
Note 8 - Long-term Debt (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Debt [Table Text Block] | December 31, Revolving credit facility $ 113,801 3.84% Notes 150,000 Capital leases maturing at various dates through 2022 2,109 Other long-term debt maturing at various dates up to 2023 3,715 269,625 Less: current portion 2,751 Long-term debt - non-current $ 266,874 |
Schedule of Maturities of Long-term Debt [Table Text Block] | 2018 $ 2,749 2019 1,130 2020 114,437 2021 30,451 2021 and thereafter 120,858 |
Note 9 - Redeemable Non-contr35
Note 9 - Redeemable Non-controlling Interests (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Redeemable Noncontrolling Interest [Table Text Block] | 2017 2016 Balance, January 1 $ 102,352 $ 77,559 RNCI share of earnings 8,228 5,238 RNCI redemption increment 15,367 15,408 Distributions paid to RNCI (4,504 ) (4,985 ) Purchases of interests from RNCI, net (6,939 ) (1,057 ) RNCI recognized on business acquisitions 3,360 10,612 Other (156 ) (423 ) Balance, December 31 $ 117,708 $ 102,352 |
Note 10 - Capital Stock (Tables
Note 10 - Capital Stock (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Stock by Class [Table Text Block] | Subordinate Voting Shares Multiple Voting Shares Total Common Shares Number Amount Number Amount Number Amount Balance, December 31, 2017 34,590,689 $ 143,622 1,325,694 $ 148 35,916,383 $ 143,770 |
Note 11 - Stock-based Compens37
Note 11 - Stock-based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Share-based Compensation, Stock Options, Activity [Table Text Block] | Number of Weighted Weighted average Aggregate Shares issuable under options - Beginning of period 1,351,400 $ 23.05 Granted 390,500 54.88 Exercised (345,150 ) 13.09 Shares issuable under options - December 31, 2017 1,396,750 $ 34.41 2.7 $ 49,595 Options exercisable - End of period 512,100 $ 25.63 1.9 $ 22,682 |
Stock Options Exercised [Table Text Block] | 2017 Number of options exercised 345,150 Aggregate fair value $ 21,169 Intrinsic value 16,650 Amount of cash received 4,519 Tax benefit recognized $ 6,476 |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | 2017 Risk free rate 1.5 % Expected life in years 4.75 Expected volatility 31.0 % Dividend yield 1.0 % Weighted average fair value per option granted $ 14.57 |
Note 12 - Income Tax (Tables)
Note 12 - Income Tax (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Effective Income Tax Rate Reconciliation [Table Text Block] | 2017 2016 Income tax expense using combined statutory rate of 26.5% (2016 - 26.5%, 2015 - 26.5%) $ 26,310 $ 21,632 Permanent differences 359 434 Tax effect of flow through entities (186 ) (243 ) Adjustments to tax liabilities for prior periods (1,712 ) (456 ) Effects of changes in U.S. enacted tax rates (2,514 ) - Changes in liability for unrecognized tax benefits - (156 ) Non-deductible stock-based compensation 1,095 727 Excess tax benefits related to stock-based compensation (5,749 ) - Foreign, state and provincial tax rate differential 5,246 4,972 Other taxes (242 ) 477 Provision for income taxes as reported $ 22,607 $ 27,387 |
Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block] | 2017 2016 Canada $ 4,375 $ 16,989 United States 94,905 64,641 Total $ 99,280 $ 81,630 |
Schedule of Components of Income Tax Expense (Benefit) [Table Text Block] | 2017 2016 Current Canada $ (791 ) $ 3,689 United States 29,966 21,945 29,175 25,634 Deferred Canada (294 ) (317 ) United States (6,274 ) 2,070 (6,568 ) 1,753 Total $ 22,607 $ 27,387 |
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | 2017 2016 Deferred income tax assets Loss carry-forwards $ 1,580 $ 1,066 Expenses not currently deductible 14,184 18,120 Stock-based compensation 1,602 2,956 Basis differences of partnerships and other entities 683 1,047 Allowance for doubtful accounts 1,596 3,457 Inventory and other reserves 191 542 19,836 27,188 Deferred income tax liabilities Depreciation and amortization 21,631 31,168 Prepaid and other expenses deducted for tax purposes 1,423 1,942 23,054 33,110 Net deferred income tax asset (liability) before valuation allowance (3,218 ) (5,922 ) Valuation allowance 793 756 Net deferred income tax asset (liability) $ (4,011 ) $ (6,678 ) |
Summary of Operating Loss Carryforwards [Table Text Block] | Loss carry forward Gross losses not recognized Net 2017 2016 2017 2016 2017 2016 Canada $ 2,167 $ 2,082 $ - $ - $ 2,167 $ 2,082 United States 10,575 7,902 6,870 6,470 3,705 1,432 |
Summary of Income Tax Contingencies [Table Text Block] | Balance, December 31, 2015 $ 292 Decreases based on tax positions related to 2016 (144 ) Balance, December 31, 2016 148 Balance, December 31, 2017 $ 148 |
Note 13 - Net Earnings Per Co39
Note 13 - Net Earnings Per Common Share (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | 2017 2016 Shares issued and outstanding at beginning of period 35,842,611 35,939,011 Weighted average number of shares: Issued during the period 203,725 72,023 Repurchased during the period (137,596 ) (45,247 ) Weighted average number of shares used in computing basic earnings per share 35,908,740 35,965,787 Assumed exercise of stock options, net of shares assumed acquired under the Treasury Stock Method 650,536 399,997 Number of shares used in computing diluted earnings per share 36,559,276 36,365,784 |
Note 14 - Other Supplemental 40
Note 14 - Other Supplemental Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Other Supplement Information [Table Text Block] | 2017 2016 Franchisor operations Revenues $ 114,182 $ 105,077 Operating earnings 33,960 31,807 Initial franchise fee revenues 4,601 6,054 Depreciation and amortization 5,030 3,923 Total assets 109,889 98,816 Cash payments made during the period Income taxes $ 43,893 $ 9,968 Interest 9,489 8,648 Non-cash financing activities Increases in capital lease obligations $ 1,235 $ 1,785 Other expenses Rent expense $ 28,977 $ 25,422 |
Note 15 - Financial Instrumen41
Note 15 - Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | Carrying value at Fair value measurements December 31, 2017 Level 1 Level 2 Level 3 Contingent consideration liability $ 18,418 $ - $ - $ 18,418 |
Schedule of Business Acquisitions by Acquisition, Contingent Consideration [Table Text Block] | Balance, December 31, 2016 $ 10,442 Amounts recognized on acquisitions 9,280 Fair value adjustments 1,314 Resolved and settled in cash (2,792 ) Other 174 Balance, December 31, 2017 $ 18,418 Less: current portion $ 12,640 Non-current portion $ 5,778 |
Fair Value, by Balance Sheet Grouping [Table Text Block] | 2017 2016 Carrying Fair Carrying Fair Other receivables $ 3,515 $ 3,515 $ 3,796 $ 3,796 Long-term debt 269,625 282,109 250,909 263,660 |
Note 16 - Commitments and Con42
Note 16 - Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | Year ended December 31 2017 $ 23,334 2018 19,785 2019 17,071 2020 14,065 2021 10,600 Thereafter 17,252 |
Note 18 - Segmented Informati43
Note 18 - Segmented Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | 2017 FirstService FirstService Corporate Consolidated Revenues $ 1,174,332 $ 531,124 $ - $ 1,705,456 Depreciation and amortization 21,794 20,244 11 42,049 Goodwill impairment charge - 6,150 - 6,150 Operating earnings (loss) 77,569 46,655 (16,597 ) 107,627 Other income, net 1,520 Interest expense, net (9,867 ) Income taxes (22,607 ) Net earnings $ 76,673 Total assets $ 403,408 $ 425,912 $ 8,413 $ 837,733 Total additions to long lived assets 47,227 53,321 - 100,548 2016 FirstService FirstService Corporate Consolidated Revenues $ 1,112,820 $ 370,069 $ - $ 1,482,889 Depreciation and amortization 20,924 15,982 63 36,969 Operating earnings (loss) 62,539 41,173 (13,162 ) 90,550 Other expense, net 232 Interest expense, net (9,152 ) Income taxes (27,387 ) Net earnings $ 54,243 Total assets $ 371,780 $ 393,321 $ 5,863 $ 770,964 Total additions to long lived assets 25,039 114,178 - 139,217 |
Schedule of Revenue from External Customers and Long-Lived Assets, by Geographical Areas [Table Text Block] | 2017 2016 United States Revenues $ 1,610,068 $ 1,393,950 Total long-lived assets 469,919 420,087 Canada Revenues $ 95,388 $ 88,939 Total long-lived assets 40,901 40,277 Consolidated Revenues $ 1,705,456 $ 1,482,889 Total long-lived assets 510,820 460,364 |
Note 1 - Description of the B44
Note 1 - Description of the Business (Details Textual) | 12 Months Ended |
Dec. 31, 2017 | |
Number of Reportable Segments | 2 |
Note 2 - Summary of Significa45
Note 2 - Summary of Significant Accounting Policies (Details Textual) $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Finite-Lived Intangible Asset, Useful Life | 13 years 146 days |
Number of Reporting Units | 6 |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 5 years |
Income Tax Expense (Benefit), Continuing Operations, Adjustment of Deferred Tax (Asset) Liability | $ 8,460 |
Customer Lists and Relationships [Member] | |
Finite-Lived Intangible Asset, Useful Life | 11 years 182 days |
Trademarks and Trade Names [Member] | |
Finite-Lived Intangible Asset, Useful Life | 14 years 182 days |
Minimum [Member] | |
Finite Lived Intangible Asset Useful Life Franchise Rights | 2.50% |
Minimum [Member] | Customer Lists and Relationships [Member] | |
Finite-Lived Intangible Asset, Useful Life | 4 years |
Minimum [Member] | Trademarks and Trade Names [Member] | |
Finite-Lived Intangible Asset, Useful Life | 5 years |
Minimum [Member] | Management Contracts and Other [Member] | |
Finite-Lived Intangible Asset, Useful Life | 2 years |
Minimum [Member] | Order or Production Backlog [Member] | |
Finite-Lived Intangible Asset, Useful Life | 180 days |
Maximum [Member] | |
Finite Lived Intangible Asset Useful Life Franchise Rights | 15.00% |
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 15 years |
Maximum [Member] | Customer Lists and Relationships [Member] | |
Finite-Lived Intangible Asset, Useful Life | 20 years |
Maximum [Member] | Trademarks and Trade Names [Member] | |
Finite-Lived Intangible Asset, Useful Life | 35 years |
Maximum [Member] | Management Contracts and Other [Member] | |
Finite-Lived Intangible Asset, Useful Life | 15 years |
Maximum [Member] | Order or Production Backlog [Member] | |
Finite-Lived Intangible Asset, Useful Life | 1 year |
Building [Member] | Minimum [Member] | |
Property, Plant and Equipment, Useful Life | 20 years |
Building [Member] | Maximum [Member] | |
Property, Plant and Equipment, Useful Life | 40 years |
Vehicles [Member] | Minimum [Member] | |
Property, Plant and Equipment, Useful Life | 3 years |
Vehicles [Member] | Maximum [Member] | |
Property, Plant and Equipment, Useful Life | 5 years |
Furniture and Fixtures [Member] | Minimum [Member] | |
Property, Plant and Equipment, Useful Life | 3 years |
Furniture and Fixtures [Member] | Maximum [Member] | |
Property, Plant and Equipment, Useful Life | 10 years |
Computer Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment, Useful Life | 3 years |
Computer Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment, Useful Life | 5 years |
Leasehold Improvements [Member] | Maximum [Member] | |
Property, Plant and Equipment, Useful Life | 10 years |
Note 3 - Acquisitions (Details
Note 3 - Acquisitions (Details Textual) $ in Thousands | 12 Months Ended | 24 Months Ended | |
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2017USD ($) | |
Number of Businesses Acquired | 9 | 13 | |
Business Combination, Acquisition Related Costs | $ 705 | $ 682 | |
Business Combination, Contingent Consideration Arrangements, Change in Amount of Contingent Consideration, Liability | (193) | (122) | |
Business Acquisition, Goodwill, Expected Tax Deductible Amount | 10,218 | 7,511 | $ 10,218 |
Business Combination, Contingent Consideration, Liability | 18,418 | 18,418 | |
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, Low | 16,519 | 16,519 | |
Business Combination, Contingent Consideration Arrangements, Range of Outcomes, Value, High | 19,434 | 19,434 | |
Contingent Consideration Paid | 2,792 | 2,490 | |
Fair Value, Inputs, Level 3 [Member] | |||
Business Combination, Contingent Consideration Arrangements, Change in Amount of Contingent Consideration, Liability | 1,314 | (621) | |
Business Combination, Contingent Consideration, Liability | $ 18,418 | $ 10,442 | 18,418 |
Acquisitions 2016 [Member] | |||
Goodwill, Purchase Accounting Adjustments | 642 | ||
Business Combination, Provisional Information, Initial Accounting Incomplete, Adjustment, Intangibles | $ 1,928 | ||
FirstService Residential Segment [Member] | |||
Number of Businesses Acquired | 5 | 5 | |
FirstService Brands Segment [Member] | |||
Number of Businesses Acquired | 4 | 8 | |
FirstService Brands Segment [Member] | California Closets [Member] | |||
Number of Businesses Acquired | 3 | ||
FirstService Brands Segment [Member] | Paul Davis Restoration [Member] | |||
Number of Businesses Acquired | 3 | ||
FirstService Brands Segment [Member] | California Closets and Paul Davis Restoration [Member] | |||
Number of Businesses Acquired | 6 |
Note 3 - Acquisitions - Acquisi
Note 3 - Acquisitions - Acquisition Details (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Goodwill | $ 29,390 | $ 44,655 |
Acquisitions 2017 [Member] | ||
Current assets | 9,593 | |
Long-term assets | 3,394 | |
Current liabilities | (8,495) | |
Long-term liabilities | (850) | |
Deferred Tax Liabilities | (3,408) | |
Redeemable non-controlling interest | (3,360) | |
Business acquisition total | (3,126) | |
Note consideration | (1,000) | |
Cash consideration, net of cash acquired | (39,573) | |
Acquisition date fair value of contingent consideration | (9,280) | |
Total purchase consideration | (49,853) | |
Acquired intangible assets | 23,589 | |
Goodwill | $ 29,390 | |
Acquisitions 2016 [Member] | ||
Current assets | 40,022 | |
Long-term assets | 10,282 | |
Current liabilities | (19,299) | |
Long-term liabilities | (556) | |
Deferred Tax Liabilities | (14,646) | |
Redeemable non-controlling interest | (10,612) | |
Business acquisition total | 5,191 | |
Note consideration | (3,434) | |
Cash consideration, net of cash acquired | (90,852) | |
Acquisition date fair value of contingent consideration | (9,998) | |
Total purchase consideration | (104,284) | |
Acquired intangible assets | 54,438 | |
Goodwill | $ 44,655 |
Note 3 - Acquisitions - Acqui48
Note 3 - Acquisitions - Acquisition Details (Details) (Parentheticals) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Acquisitions 2017 [Member] | ||
Cash consideration, net of cash acquired | $ 1,426 | |
Acquisitions 2016 [Member] | ||
Cash consideration, net of cash acquired | $ 5,002 |
Note 3 - Acquisitions - Busines
Note 3 - Acquisitions - Business Acquisitions, Pro Forma Revenue and Earnings (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Actual from acquired entities for 2016, revenues | $ 44,910 | |
Actual from acquired entities for 2016, net earnings | 2,211 | |
Supplemental pro forma (unaudited), revenues | 1,750,519 | $ 1,651,491 |
Supplemental pro forma (unaudited), net earnings | $ 78,989 | $ 61,624 |
Note 4 - Components of Workin50
Note 4 - Components of Working Capital Accounts - Components of Working Capital Accounts (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Work-in-progress | $ 18,545 | $ 15,529 |
Finished goods | 9,964 | 6,071 |
Supplies and other | 9,447 | 8,112 |
37,956 | 29,712 | |
Accrued liabilities | ||
Accrued payroll and benefits | 65,967 | 60,546 |
Value appreciation plans | 2,883 | 4,767 |
Customer advances | 1,468 | 501 |
Other | 43,778 | 37,094 |
$ 114,096 | $ 102,908 |
Note 5 - Fixed Assets (Details
Note 5 - Fixed Assets (Details Textual) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Capital Leased Assets, Gross | $ 8,109 | $ 6,548 |
Capital Leases, Balance Sheet, Assets by Major Class, Net | $ 3,935 | $ 2,826 |
Note 5 - Fixed Assets - Compone
Note 5 - Fixed Assets - Components of Fixed Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Cost | $ 259,603 | $ 224,643 |
Accumulated depreciation | 174,547 | 151,560 |
Net | 85,056 | 73,083 |
Land [Member] | ||
Cost | 2,521 | 2,520 |
Accumulated depreciation | ||
Net | 2,521 | 2,520 |
Building [Member] | ||
Cost | 10,456 | 10,366 |
Accumulated depreciation | 4,701 | 4,529 |
Net | 5,755 | 5,837 |
Vehicles [Member] | ||
Cost | 60,227 | 52,497 |
Accumulated depreciation | 37,934 | 33,739 |
Net | 22,293 | 18,758 |
Furniture and Fixtures [Member] | ||
Cost | 64,003 | 54,194 |
Accumulated depreciation | 44,565 | 37,807 |
Net | 19,438 | 16,387 |
Computer Equipment [Member] | ||
Cost | 93,007 | 81,516 |
Accumulated depreciation | 69,309 | 59,896 |
Net | 23,698 | 21,620 |
Leasehold Improvements [Member] | ||
Cost | 29,389 | 23,550 |
Accumulated depreciation | 18,038 | 15,589 |
Net | $ 11,351 | $ 7,961 |
Note 6 - Intangible Assets - Co
Note 6 - Intangible Assets - Components of Intangible Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Gross carrying amount | $ 233,717 | $ 205,979 |
Accumulated amortization | 99,873 | 84,864 |
Net | 133,844 | 121,115 |
Customer Lists and Relationships [Member] | ||
Gross carrying amount | 116,938 | 104,258 |
Accumulated amortization | 48,698 | 34,161 |
Net | 68,240 | 70,097 |
Franchise Rights [Member] | ||
Gross carrying amount | 44,392 | 39,137 |
Accumulated amortization | 19,695 | 17,230 |
Net | 24,697 | 21,907 |
Trademarks and Trade Names [Member] | ||
Gross carrying amount | 26,766 | 26,069 |
Accumulated amortization | 13,742 | 11,825 |
Net | 13,024 | 14,244 |
Other Intangible Assets [Member] | ||
Gross carrying amount | 45,621 | 36,515 |
Accumulated amortization | 17,738 | 21,648 |
Net | $ 27,883 | $ 14,867 |
Note 6 - Intangible Assets - Ac
Note 6 - Intangible Assets - Acquired Intangible Assets (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Amount | $ 23,589 |
Finite-Lived Intangible Asset, Useful Life | 13 years 146 days |
Customer Lists and Relationships [Member] | |
Amount | $ 8,249 |
Finite-Lived Intangible Asset, Useful Life | 11 years 182 days |
Franchise Rights [Member] | |
Amount | $ 6,232 |
Finite-Lived Intangible Asset, Useful Life | 8 years 219 days |
Trademarks and Trade Names [Member] | |
Amount | $ 721 |
Finite-Lived Intangible Asset, Useful Life | 14 years 182 days |
Other Intangible Assets [Member] | |
Amount | $ 8,387 |
Finite-Lived Intangible Asset, Useful Life | 18 years 292 days |
Note 6 - Intangible Assets - Es
Note 6 - Intangible Assets - Estimated Annual Amortization Expense for Recorded Intangible Assets (Details) $ in Thousands | Dec. 31, 2017USD ($) |
2,018 | $ 13,613 |
2,019 | 13,318 |
2,020 | 12,574 |
2,021 | 10,974 |
2,022 | $ 10,289 |
Note 7 - Goodwill (Details Text
Note 7 - Goodwill (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Goodwill, Impairment Loss | $ 6,150 | |
Income Tax Expense (Benefit) | 22,607 | $ 27,387 |
FirstService Brands Segment, Service America Reporting Unit [Member] | ||
Goodwill, Impairment Loss | 3,752 | |
Income Tax Expense (Benefit) | $ (2,398) |
Note 7 - Goodwill - Components
Note 7 - Goodwill - Components of Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Balance | $ 266,166 | $ 220,646 |
Goodwill acquired during the year | 29,390 | 44,655 |
Other items | 866 | 187 |
Foreign exchange | 1,648 | 678 |
Accumulated goodwill impairment loss | (6,150) | |
Balance | 291,920 | 266,166 |
FirstService Residential Segment [Member] | ||
Balance | 173,673 | 167,449 |
Goodwill acquired during the year | 13,358 | 5,696 |
Other items | (32) | 18 |
Foreign exchange | 1,224 | 510 |
Accumulated goodwill impairment loss | ||
Balance | 188,223 | 173,673 |
FirstService Brands Segment [Member] | ||
Balance | 92,493 | 53,197 |
Goodwill acquired during the year | 16,032 | 38,959 |
Other items | 898 | 169 |
Foreign exchange | 424 | 168 |
Accumulated goodwill impairment loss | (6,150) | |
Balance | $ 103,697 | $ 92,493 |
Note 8 - Long-term Debt (Detail
Note 8 - Long-term Debt (Details Textual) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Senior Notes | $ 150,000 | |
Number of Annual Principal Payments | 5 | |
Debt Instrument, Interest Rate, Effective Percentage | 3.60% | |
Revolving Credit Facility [Member] | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 200,000 | |
Debt Instrument, Term | 5 years | |
Debt, Weighted Average Interest Rate | 2.50% | |
Line of Credit Facility, Remaining Borrowing Capacity | $ 80,811 | |
Letters of Credit Outstanding, Amount | 5,389 | $ 6,198 |
Line of Credit Facility Additional Borrowing Capacity | $ 50,000 | |
Revolving Credit Facility [Member] | Minimum [Member] | ||
Debt Instrument, Basis Spread on Variable Rate | 1.25% | |
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.25% | |
Revolving Credit Facility [Member] | Maximum [Member] | ||
Debt Instrument, Basis Spread on Variable Rate | 2.50% | |
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.50% | |
Senior Notes [Member] | ||
Debt Instrument, Interest Rate, Stated Percentage | 3.84% |
Note 8 - Long-term Debt - Long-
Note 8 - Long-term Debt - Long-term Debt and Convertible Debentures (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Revolving credit facility | $ 113,801 | |
Senior Notes | 150,000 | |
Capital leases maturing at various dates through 2022 | 2,109 | |
Other long-term debt maturing at various dates up to 2023 | 3,715 | |
269,625 | ||
Less: current portion | 2,751 | $ 1,043 |
Long-term debt - non-current | $ 266,874 | $ 249,866 |
Note 8 - Long-term Debt - Lon60
Note 8 - Long-term Debt - Long-term Debt and Convertible Debentures (Details) (Parentheticals) | Dec. 31, 2017 |
Senior Notes [Member] | |
Debt Instrument, Interest Rate, Stated Percentage | 3.84% |
Note 8 - Long-term Debt - Princ
Note 8 - Long-term Debt - Principal Repayments on Long-term Debt (Details) $ in Thousands | Dec. 31, 2017USD ($) |
2,018 | $ 2,749 |
2,019 | 1,130 |
2,020 | 114,437 |
2,021 | 30,451 |
2021 and thereafter | $ 120,858 |
Note 9 - Redeemable Non-contr62
Note 9 - Redeemable Non-controlling Interests (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Redeemable Noncontrolling Interest, Equity, Carrying Amount | $ 117,708 | $ 102,352 | $ 77,559 |
Subordinate Non-controlling Interest Shares | 1,700,000 | ||
Potential Increase Decrease to Dilutive Earnings Per Share Put or Call Options Settled with Subordinate Voting Shares | $ 0.55 | ||
Redemption Amount [Member] | |||
Redeemable Noncontrolling Interest, Equity, Carrying Amount | $ 116,558 | $ 100,569 |
Note 9 - Redeemable Non-contr63
Note 9 - Redeemable Non-controlling Interests - Reconciliation of the Beginning and Ending NCI Amounts (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Balance, January 1 | $ 102,352 | $ 77,559 |
Non-controlling interest share of earnings | 8,228 | 5,238 |
Non-controlling interest redemption increment (note 9) | 15,367 | 15,408 |
Distributions paid to RNCI | (4,504) | (4,985) |
RNCI recognized on business acquisitions | 3,360 | 10,612 |
Less: Comprehensive earnings attributable to non-controlling shareholders | 23,595 | 20,646 |
Balance, December 31 | 117,708 | 102,352 |
Non-controlling Interest Share Of Earnings [Member] | ||
Non-controlling interest share of earnings | 8,228 | 5,238 |
Non-controlling Interest Redemption Increment [Member] | ||
Non-controlling interest redemption increment (note 9) | 15,367 | 15,408 |
Non-controlling Interest Distributions Paid To NCI [Member] | ||
Distributions paid to RNCI | (4,504) | (4,985) |
Non-controlling Interest Purchase Of Interests From NCI Net [Member] | ||
Purchases of interests from RNCI, net | (6,939) | (1,057) |
Non-controlling Interest Share Of Other Comprehensive Earnings [Member] | ||
Less: Comprehensive earnings attributable to non-controlling shareholders | $ (156) | $ (423) |
Note 10 - Capital Stock (Detail
Note 10 - Capital Stock (Details Textual) - 12 months ended Dec. 31, 2017 | USD ($) | CADCAD / shares |
FC Co [Member] | First Payment [Member] | ||
Percentage Payment of Shares Outstanding | 5.00% | |
Payment Formula Base Price | CAD 2.351 | |
FC Co [Member] | Second Payment [Member] | ||
Percentage Payment of Shares Outstanding | 5.00% | |
Payment Formula Base Price | CAD 4.578 | |
Multiple Voting Shares [Member] | ||
Number of Votes for Multiple Voting Shares | 20 | |
Subordinate Voting Shares [Member] | ||
Share Price | CAD / shares | CAD 87.93 | |
Contingent Liabiilty Upon Sale of Control | $ | $ 251,220 |
Note 10 - Capital Stock - Capit
Note 10 - Capital Stock - Capital Stock Issued and Outstanding (Details) $ in Thousands | Dec. 31, 2017USD ($)shares |
Capital stock issued and outstanding, shares (in shares) | shares | 35,916,383 |
Capital stock issued and outstanding, amount | $ | $ 143,770 |
Subordinate Voting Shares [Member] | |
Capital stock issued and outstanding, shares (in shares) | shares | 34,590,689 |
Capital stock issued and outstanding, amount | $ | $ 143,622 |
Multiple Voting Shares [Member] | |
Capital stock issued and outstanding, shares (in shares) | shares | 1,325,694 |
Capital stock issued and outstanding, amount | $ | $ 148 |
Note 11 - Stock-based Compens66
Note 11 - Stock-based Compensation (Details Textual) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 5 years | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Lower Range Limit | $ 12.85 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range, Upper Range Limit | $ 54.88 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Exercisable, Aggregate Intrinsic Value | $ 49,595 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Exercisable, Weighted Average Remaining Contractual Term | 2 years 255 days | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 3,947 | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 4 years | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested in Period, Fair Value | $ 11,363 | $ 7,908 |
Employee Stock Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years | |
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 5 years | |
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant | 758,000 | |
Allocated Share-based Compensation Expense | $ 4,132 | $ 2,744 |
Note 11 - Stock-based Compens67
Note 11 - Stock-based Compensation - Stock Option Activity (Details) $ / shares in Units, $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($)$ / sharesshares | |
Shares issuable under options - Beginning of period, number of options (in shares) | shares | 1,351,400 |
Shares issuable under options - Beginning of period, weighted average exercise price (in dollars per share) | $ / shares | $ 23.05 |
Granted, number of options (in shares) | shares | 390,500 |
Granted, weighted average exercise price (in dollars per share) | $ / shares | $ 54.88 |
Exercised, number of options (in shares) | shares | (345,150) |
Exercised, weighted average exercise price (in dollars per share) | $ / shares | $ 13.09 |
Shares issuable under options - December 31, 2017, number of options (in shares) | shares | 1,396,750 |
Shares issuable under options - December 31, 2017, weighted average exercise price (in dollars per share) | $ / shares | $ 34.41 |
Shares issuable under options - December 31, 2017, weighted average remaining contractual life (Year) | 2 years 255 days |
Shares issuable under options - December 31, 2017, weighted average remaining contractual life | $ | $ 49,595 |
Options exercisable - End of period, number of options (in shares) | shares | 512,100 |
Options exercisable - End of period, weighted average exercise price (in dollars per share) | $ / shares | $ 25.63 |
Options exercisable - End of period, weighted average remaining contractual life (Year) | 1 year 328 days |
Options exercisable - End of period, weighted average remaining contractual life | $ | $ 22,682 |
Note 11 - Stock-based Compens68
Note 11 - Stock-based Compensation - Options Exercised (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Number of options exercised (in shares) | 345,150 | |
Aggregate fair value | $ 4,518 | $ 1,906 |
Employee Stock Option [Member] | ||
Number of options exercised (in shares) | 345,150 | |
Aggregate fair value | $ 21,169 | |
Intrinsic value | 16,650 | |
Amount of cash received | 4,519 | |
Tax benefit recognized | $ 6,476 |
Note 11 - Stock-based Compens69
Note 11 - Stock-based Compensation - Fair Value of Each Option Grant Assumptions Used (Details) | 12 Months Ended |
Dec. 31, 2017$ / shares | |
Risk free rate | 1.50% |
Expected life in years (Year) | 4 years 273 days |
Expected volatility | 31.00% |
Dividend yield | 1.00% |
Weighted average fair value per option granted (in dollars per share) | $ 14.57 |
Note 12 - Income Tax (Details T
Note 12 - Income Tax (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Tax Credit Carryforward Duration Limit | 20 years | ||
Undistributed Earnings of Foreign Subsidiaries | $ 353,976 | $ 297,631 | |
Unrecognized Tax Benefits | 148 | 148 | $ 292 |
Unrecognized Tax Benefits that Would Impact Effective Tax Rate | 148 | 148 | |
Tax Adjustments, Settlements, and Unusual Provisions | 0 | 12 | |
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued | $ 38 | $ 38 | |
Minimum [Member] | Foreign Tax Authority [Member] | Canada Revenue Agency [Member] | |||
Income Tax Return Examination Period | 3 years | ||
Minimum [Member] | Foreign Tax Authority [Member] | Internal Revenue Service (IRS) [Member] | |||
Income Tax Return Examination Period | 3 years | ||
Maximum [Member] | Foreign Tax Authority [Member] | Canada Revenue Agency [Member] | |||
Income Tax Return Examination Period | 4 years | ||
Maximum [Member] | Foreign Tax Authority [Member] | Internal Revenue Service (IRS) [Member] | |||
Income Tax Return Examination Period | 5 years | ||
Canada and United States [Member] | Minimum [Member] | |||
Tax Credit Carryforward Duration Limit | 6 years | ||
Canada and United States [Member] | Maximum [Member] | |||
Tax Credit Carryforward Duration Limit | 20 years |
Note 12 - Income Tax - Effectiv
Note 12 - Income Tax - Effective Income Tax Rate Reconciliation (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Income tax expense using combined statutory rate of 26.5% (2016 - 26.5%, 2015 - 26.5%) | $ 26,310 | $ 21,632 |
Permanent differences | 359 | 434 |
Tax effect of flow through entities | (186) | (243) |
Adjustments to tax liabilities for prior periods | (1,712) | (456) |
Effects of changes in U.S. enacted tax rates | (2,514) | |
Changes in liability for unrecognized tax benefits | (156) | |
Non-deductible stock-based compensation | 1,095 | 727 |
Excess tax benefits related to stock-based compensation | (5,749) | |
Foreign, state and provincial tax rate differential | 5,246 | 4,972 |
Other taxes | (242) | 477 |
Total | $ 22,607 | $ 27,387 |
Note 12 - Income Tax - Effect72
Note 12 - Income Tax - Effective Income Tax Rate Reconciliation (Details) (Parentheticals) | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income tax expense using combined statutory rate, statutory rate | 26.50% | 26.50% | 26.50% |
Note 12 - Income Tax - Earning
Note 12 - Income Tax - Earning Before Income Tax by Jurisdiction (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Earnings before income tax | $ 99,280 | $ 81,630 |
Canada Revenue Agency [Member] | Foreign Tax Authority [Member] | ||
Earnings before income tax | 4,375 | 16,989 |
Internal Revenue Service (IRS) [Member] | Domestic Tax Authority [Member] | ||
Earnings before income tax | $ 94,905 | $ 64,641 |
Note 12 - Income Tax - Provisio
Note 12 - Income Tax - Provision for (Recovery of) Income Tax (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Current | ||
Current income tax expense (recovery) | $ 29,175 | $ 25,634 |
Deferred | ||
Deferred income tax expense (recovery) | (6,568) | 1,753 |
Total | 22,607 | 27,387 |
Canada Revenue Agency [Member] | ||
Current | ||
Canada, current income tax expense (recovery) | (791) | 3,689 |
Deferred | ||
Canada, deferred income tax expense (recovery) | (294) | (317) |
Internal Revenue Service (IRS) [Member] | ||
Current | ||
United States, current income tax expense (recovery) | 29,966 | 21,945 |
Deferred | ||
United States, deferred income tax expense (recovery) | $ (6,274) | $ 2,070 |
Note 12 - Income Tax - Deferred
Note 12 - Income Tax - Deferred Income Tax Components (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Deferred income tax assets | ||
Loss carry-forwards | $ 1,580 | $ 1,066 |
Expenses not currently deductible | 14,184 | 18,120 |
Stock-based compensation | 1,602 | 2,956 |
Basis differences of partnerships and other entities | 683 | 1,047 |
Allowance for doubtful accounts | 1,596 | 3,457 |
Inventory and other reserves | 191 | 542 |
19,836 | 27,188 | |
Depreciation and amortization | 21,631 | 31,168 |
Prepaid and other expenses deducted for tax purposes | 1,423 | 1,942 |
23,054 | 33,110 | |
Net deferred income tax asset (liability) before valuation allowance | (3,218) | (5,922) |
Valuation allowance | 793 | 756 |
Net deferred income tax asset (liability) | $ (4,011) | $ (6,678) |
Note 12 - Income Tax - Gross Op
Note 12 - Income Tax - Gross Operating Loss Carryforwards (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Loss carry forward | $ 1,580 | $ 1,066 |
Foreign Tax Authority [Member] | Canada Revenue Agency [Member] | ||
Loss carry forward | 2,167 | 2,082 |
Valuation allowance | ||
Net | 2,167 | 2,082 |
Domestic Tax Authority [Member] | Internal Revenue Service (IRS) [Member] | ||
Loss carry forward | 10,575 | 7,902 |
Valuation allowance | 6,870 | 6,470 |
Net | $ 3,705 | $ 1,432 |
Note 12 - Income Tax - Unrecogn
Note 12 - Income Tax - Unrecognized Tax Benefits (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Balance | $ 292 |
Decreases based on tax positions related to 2016 | (144) |
Balance | $ 148 |
Note 13 - Net Earnings Per Co78
Note 13 - Net Earnings Per Common Share - Reconciliation of the Denominator Used to Calculate Earnings Per Common Share (Details) - shares | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Jan. 01, 2017 | Jan. 01, 2016 | |
Shares issued and outstanding at beginning of period (in shares) | 35,842,611 | 35,939,011 | ||
Issued during the period (in shares) | 203,725 | 72,023 | ||
Repurchased during the period (in shares) | (137,596) | (45,247) | ||
Weighted average number of shares used in computing basic earnings per share (in shares) | 35,908,740 | 35,965,787 | ||
Assumed exercise of stock options, net of shares assumed acquired under the Treasury Stock Method (in shares) | 650,536 | 399,997 | ||
Number of shares used in computing diluted earnings per share (in shares) | 36,559,276 | 36,365,784 |
Note 14 - Other Supplemental 79
Note 14 - Other Supplemental Information - Summary of Other Supplemental Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Revenues | $ 1,705,456 | $ 1,482,889 |
Operating earnings (loss) | 107,627 | 90,550 |
Total assets | 837,733 | 770,964 |
Cash payments made during the period | ||
Income taxes | 43,893 | 9,968 |
Interest | 9,489 | 8,648 |
Non-cash financing activities | ||
Increases in capital lease obligations | 1,235 | 1,785 |
Other expenses | ||
Operating Leases, Rent Expense | 28,977 | 25,422 |
Franchisor Operations [Member] | ||
Revenues | 114,182 | 105,077 |
Operating earnings (loss) | 33,960 | 31,807 |
Initial franchise fee revenues | 4,601 | 6,054 |
Depreciation and amortization | 5,030 | 3,923 |
Total assets | $ 109,889 | $ 98,816 |
Note 15 - Financial Instrumen80
Note 15 - Financial Instruments (Details Textual) - Fair Value, Inputs, Level 3 [Member] $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($) | |
Contingent Consideration Liability [Member] | |
Fair Value Inputs Discount Rate Data Point Concentration | 9.00% |
Fair Value Inputs Weighted Average Discount Rate Increase | 2.00% |
Reduction in Fair Value of Contingent Consideration Liability | $ 192 |
Minimum [Member] | Contingent Consideration Liability [Member] | |
Fair Value Inputs, Discount Rate | 8.00% |
Minimum [Member] | Fair Values For Other Financial Instruments [Member] | |
Fair Value Inputs, Discount Rate | 2.00% |
Maximum [Member] | Contingent Consideration Liability [Member] | |
Fair Value Inputs, Discount Rate | 10.00% |
Maximum [Member] | Fair Values For Other Financial Instruments [Member] | |
Fair Value Inputs, Discount Rate | 2.50% |
Note 15 - Financial Instrumen81
Note 15 - Financial Instruments - Financial Assets and Liabilities Carried at Fair Value (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Business Combination, Contingent Consideration, Liability | $ 18,418 | |
Fair Value, Inputs, Level 1 [Member] | ||
Business Combination, Contingent Consideration, Liability | ||
Fair Value, Inputs, Level 2 [Member] | ||
Business Combination, Contingent Consideration, Liability | ||
Fair Value, Inputs, Level 3 [Member] | ||
Business Combination, Contingent Consideration, Liability | $ 18,418 | $ 10,442 |
Note 15 - Financial Instrumen82
Note 15 - Financial Instruments - Change in Fair Value of Contingent Consideration Liability (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Business Combination, Contingent Consideration Arrangements, Change in Amount of Contingent Consideration, Liability | $ (193) | $ (122) |
Balance, December 31, 2017 | 18,418 | |
Less: current portion | 12,640 | 2,882 |
Non-current portion | 5,778 | 7,560 |
Fair Value, Inputs, Level 3 [Member] | ||
Balance, December 31, 2016 | 10,442 | |
Amounts recognized on acquisitions | 9,280 | |
Business Combination, Contingent Consideration Arrangements, Change in Amount of Contingent Consideration, Liability | 1,314 | (621) |
Resolved and settled in cash | (2,792) | |
Other | 174 | |
Balance, December 31, 2017 | 18,418 | $ 10,442 |
Less: current portion | 12,640 | |
Non-current portion | $ 5,778 |
Note 15 - Financial Instrumen83
Note 15 - Financial Instruments - Estimated of Fair Values of Other Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Other receivables, carrying amount | $ 3,515 | $ 3,796 |
Other receivables, fair value | 3,515 | 3,796 |
Long-term debt, carrying amount | 269,625 | 250,909 |
Long-term debt, fair value | $ 282,109 | $ 263,660 |
Note 16 Commitments and Conting
Note 16 Commitments and Contingencies - Minimum Operating Lease Payments (Details) $ in Thousands | Dec. 31, 2017USD ($) |
2,017 | $ 23,334 |
2,018 | 19,785 |
2,019 | 17,071 |
2,020 | 14,065 |
2,021 | 10,600 |
Thereafter | $ 17,252 |
Note 17 - Related Party Trans85
Note 17 - Related Party Transactions (Details Textual) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Operating Leases, Rent Expense | $ 28,977 | $ 25,422 |
Due from Related Parties | 2,500 | 2,500 |
Minority Shareholders of Subsidiaries [Member] | ||
Operating Leases, Rent Expense | $ 1,400 | $ 600 |
Lessee, Operating Lease, Term of Contract | 10 years | |
Minority Shareholders of Subsidiaries [Member] | Minimum [Member] | ||
Debt Instrument, Term | 5 years | |
Minority Shareholders of Subsidiaries [Member] | Maximum [Member] | ||
Debt Instrument, Term | 10 years |
Note 18 - Segmented Informati86
Note 18 - Segmented Information (Details Textual) | 12 Months Ended |
Dec. 31, 2017 | |
Number of Operating Segments | 2 |
Note 18 - Segmented Informati87
Note 18 - Segmented Information - Operating Segments (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Revenues | $ 1,705,456 | $ 1,482,889 |
Depreciation and amortization | 42,049 | 36,969 |
Goodwill, Impairment Loss | 6,150 | |
Operating earnings (loss) | 107,627 | 90,550 |
Other income, net | 1,520 | 232 |
Interest expense, net | (9,867) | (9,152) |
Income taxes | (22,607) | (27,387) |
Net earnings | 76,673 | 54,243 |
Total assets | 837,733 | 770,964 |
Total additions to long lived assets | 100,548 | 139,217 |
FirstService Residential Segment [Member] | ||
Revenues | 1,174,332 | 1,112,820 |
Depreciation and amortization | 21,794 | 20,924 |
Goodwill, Impairment Loss | ||
Operating earnings (loss) | 77,569 | 62,539 |
Other income, net | ||
Interest expense, net | ||
Income taxes | ||
Net earnings | ||
Total assets | 403,408 | 371,780 |
Total additions to long lived assets | 47,227 | 25,039 |
FirstService Brands Segment [Member] | ||
Revenues | 531,124 | 370,069 |
Depreciation and amortization | 20,244 | 15,982 |
Goodwill, Impairment Loss | 6,150 | |
Operating earnings (loss) | 46,655 | 41,173 |
Other income, net | ||
Interest expense, net | ||
Income taxes | ||
Net earnings | ||
Total assets | 425,912 | 393,321 |
Total additions to long lived assets | 53,321 | 114,178 |
Corporate Segment [Member] | ||
Revenues | ||
Depreciation and amortization | 11 | 63 |
Goodwill, Impairment Loss | ||
Operating earnings (loss) | (16,597) | (13,162) |
Other income, net | ||
Interest expense, net | ||
Income taxes | ||
Net earnings | ||
Total assets | 8,413 | 5,863 |
Total additions to long lived assets |
Note 18 - Segmented Informati88
Note 18 - Segmented Information - Revenues and Long-lived Assets by Geographic Location (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Revenues | $ 1,705,456 | $ 1,482,889 |
Total long-lived assets | 510,820 | 460,364 |
UNITED STATES | ||
Revenues | 1,610,068 | 1,393,950 |
Total long-lived assets | 469,919 | 420,087 |
CANADA | ||
Revenues | 95,388 | 88,939 |
Total long-lived assets | $ 40,901 | $ 40,277 |
Note 19 - Impact of Recently 89
Note 19 - Impact of Recently Issued Accounting Standards (Details Textual) - Scenario, Forecast [Member] - Year Ended December 31, 2017 [Member] $ in Millions | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Increase in Revenues From Revenue Recognition Changes Due to ASU 2014-09 [Member] | |
Prior Period Reclassification Adjustment | $ 27 |
Decrease in Net Earnings From Revenue Recognition Changes Due to ASU 2014-09 [Member] | |
Prior Period Reclassification Adjustment | 1.6 |
Decrease in Retained Earnings From Revenue Recognition Changes Due to ASU 2014-09 [Member] | |
Prior Period Reclassification Adjustment | $ 12 |
Note 20 - Subsequent Event (Det
Note 20 - Subsequent Event (Details Textual) - Revolving Credit Facility [Member] - USD ($) $ in Thousands | Jan. 17, 2018 | Dec. 31, 2017 |
Line of Credit Facility, Maximum Borrowing Capacity | $ 200,000 | |
Line of Credit Facility Additional Borrowing Capacity | $ 50,000 | |
Subsequent Event [Member] | ||
Line of Credit Facility, Maximum Borrowing Capacity | $ 250,000 | |
Line of Credit Facility Additional Borrowing Capacity | $ 100,000 |