Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Jun. 30, 2019 | Jul. 26, 2019 | |
Document Information [Line Items] | ||
Entity Registrant Name | HAWKINS INC | |
Entity Central Index Key | 0000046250 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2019 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q1 | |
Current Fiscal Year End Date | --03-29 | |
Entity Filer Category | Accelerated Filer | |
Entity Emerging Growth Company | false | |
Entity interactive data | Yes | |
Current reporting status | Yes | |
Entity Shell Company | false | |
Entity Small Business | false | |
Entity Common Stock, Shares Outstanding | 10,665,227 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 5,607 | $ 9,199 |
Trade receivables — less allowance for doubtful accounts: $916 as of June 30, 2019 and $620 as of March 31, 2019 | 69,026 | 63,966 |
Inventories | 58,693 | 60,482 |
Income taxes receivable | 0 | 527 |
Prepaid expenses and other current assets | 4,777 | 5,235 |
Total current assets | 138,103 | 139,409 |
PROPERTY, PLANT, AND EQUIPMENT: | ||
PROPERTY, PLANT, AND EQUIPMENT: | 253,544 | 244,861 |
Less accumulated depreciation | 129,996 | 126,233 |
Net property, plant, and equipment | 123,548 | 118,628 |
OTHER ASSETS: | ||
Right-of-use assets | 9,941 | 0 |
Goodwill | 58,440 | 58,440 |
Intangible assets, net | 64,457 | 65,726 |
Other | 4,468 | 3,396 |
Total other assets | 137,306 | 127,562 |
Total assets | 398,957 | 385,599 |
CURRENT LIABILITIES: | ||
Accounts payable — trade | 31,971 | 29,314 |
Accrued payroll and employee benefits | 5,947 | 12,483 |
Income tax payable | 2,983 | 0 |
Current portion of long-term debt | 9,907 | 9,907 |
Short-term lease liability | 1,707 | 0 |
Container deposits | 1,362 | 1,299 |
Other current liabilities | 1,812 | 2,393 |
Total current liabilities | 55,689 | 55,396 |
LONG-TERM DEBT, LESS CURRENT PORTION | 74,682 | 74,658 |
LONG-TERM LEASE LIABILITY | 8,206 | 0 |
PENSION WITHDRAWAL LIABILITY | 5,233 | 5,316 |
DEFERRED INCOME TAXES | 26,606 | 26,673 |
OTHER LONG-TERM LIABILITIES | 5,149 | 5,695 |
Total liabilities | 175,565 | 167,738 |
COMMITMENTS AND CONTINGENCIES | 0 | 0 |
SHAREHOLDERS’ EQUITY: | ||
Common stock; authorized: 30,000,000 shares of $0.05 par value; 10,563,774 and 10,592,450 shares issued and outstanding as of June 30, 2019 and March 31, 2019, respectively | 528 | 530 |
Additional paid-in capital | 50,974 | 52,609 |
Retained earnings | 171,752 | 164,405 |
Accumulated other comprehensive income | 138 | 317 |
Total shareholders’ equity | 223,392 | 217,861 |
Total liabilities and shareholders’ equity | $ 398,957 | $ 385,599 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) (Unaudited) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts, trade receivables | $ 916 | $ 620 |
Shares authorized | 30,000,000 | 30,000,000 |
Common stock, par value (usd per share) | $ 0.05 | $ 0.05 |
Common Stock, Shares, Issued | 10,563,774 | 10,592,450 |
Common Stock, Shares, Outstanding | 10,563,774 | 10,592,450 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2019 | Jul. 01, 2018 | |
Income Statement [Abstract] | ||
Sales | $ 147,336 | $ 149,800 |
Cost of sales | (118,539) | (121,343) |
Gross profit | 28,797 | 28,457 |
Selling, general and administrative expenses | (14,836) | (14,979) |
Operating income | 13,961 | 13,478 |
Interest expense, net | (763) | (934) |
Other income (expense) | 117 | (2) |
Income before income taxes | 13,315 | 12,542 |
Income tax expense | (3,508) | (3,419) |
Net income | $ 9,807 | $ 9,123 |
Weighted average number of shares outstanding - basic | 10,604,306 | 10,648,226 |
Weighted average number of shares outstanding - diluted | 10,665,709 | 10,682,060 |
Basic earnings per share | ||
Basic earnings per share | $ 0.92 | $ 0.86 |
Diluted earnings per share | ||
Diluted earnings per share | 0.92 | 0.85 |
Cash dividends declared per common share | $ 0.23 | $ 0 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2019 | Jul. 01, 2018 | |
Net income | $ 9,807 | $ 9,123 |
Other comprehensive income (loss), net of tax: | ||
Unrealized (loss) gain on interest rate swap | (179) | 27 |
Total comprehensive income | 9,628 | 9,150 |
Interest Rate Swap [Member] | ||
Other comprehensive income (loss), net of tax: | ||
Unrealized (loss) gain on interest rate swap | $ (179) | $ 27 |
Condensed Consolidated Statem_3
Condensed Consolidated Statement of Shareholder's Equity Statement - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | AOCI Attributable to Parent [Member] |
Shares outstanding, beginning balance at Apr. 01, 2018 | 10,631,992 | ||||
Stockholders' equity, beginning balance at Apr. 01, 2018 | $ 202,247 | $ 532 | $ 53,877 | $ 147,242 | $ 596 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Cash dividends declared | 0 | ||||
Share-based compensation expense | 470 | 470 | |||
Vesting of restricted stock (shares) | 24,567 | ||||
Vesting of restricted stock | 0 | $ 1 | (1) | ||
Shares surrendered for payroll taxes (shares) | (8,105) | ||||
Shares surrendered for payroll taxes | (265) | $ 0 | (265) | ||
ESPP shares issued (shares) | 22,531 | ||||
ESPP shares issued | $ 677 | $ 1 | 676 | ||
Shares repurchased (shares) | 0 | 0 | |||
Shares repurchased | $ 0 | ||||
Other comprehensive income, net of tax | 27 | 27 | |||
Net income | 9,123 | 9,123 | |||
Shares outstanding, ending balance at Jul. 01, 2018 | 10,670,985 | ||||
Stockholders' equity, ending balance at Jul. 01, 2018 | 212,279 | $ 534 | 54,757 | 156,365 | 623 |
Shares outstanding, beginning balance at Mar. 31, 2019 | 10,592,450 | ||||
Stockholders' equity, beginning balance at Mar. 31, 2019 | 217,861 | $ 530 | 52,609 | 164,405 | 317 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Cash dividends declared | (2,460) | (2,460) | |||
Share-based compensation expense | 509 | 509 | |||
Vesting of restricted stock (shares) | 27,620 | ||||
Vesting of restricted stock | 0 | $ 1 | (1) | ||
Shares surrendered for payroll taxes (shares) | (9,160) | ||||
Shares surrendered for payroll taxes | $ (343) | $ (1) | (342) | ||
Shares repurchased (shares) | (47,136) | (47,136) | |||
Shares repurchased | $ (1,803) | $ (2) | (1,801) | ||
Other comprehensive income, net of tax | (179) | (179) | |||
Net income | 9,807 | 9,807 | |||
Shares outstanding, ending balance at Jun. 30, 2019 | 10,563,774 | ||||
Stockholders' equity, ending balance at Jun. 30, 2019 | $ 223,392 | $ 528 | $ 50,974 | $ 171,752 | $ 138 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2019 | Jul. 01, 2018 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net income | $ 9,807 | $ 9,123 |
Reconciliation to cash flows: | ||
Depreciation and amortization | 5,353 | 5,507 |
Operating leases | 69 | 0 |
Amortization of debt issuance costs | 23 | 34 |
Loss (gain) on deferred compensation assets | (117) | 2 |
Stock compensation expense | 509 | 470 |
Loss on property disposals | 6 | 78 |
Changes in operating accounts providing (using) cash: | ||
Trade receivables | (5,044) | (4,432) |
Inventories | 1,789 | (6,631) |
Accounts payable | 2,742 | 3,536 |
Accrued liabilities | (7,667) | (3,708) |
Income taxes | 3,510 | 3,419 |
Other | (870) | (583) |
Net cash provided by operating activities | 10,110 | 6,815 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchases of property, plant, and equipment | (9,159) | (2,371) |
Other | 63 | 35 |
Net cash used in investing activities | (9,096) | (2,336) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Cash dividends paid | (2,460) | (4,704) |
New shares issued | 0 | 677 |
Shares surrendered for payroll taxes | (343) | (265) |
Shares repurchased | (1,803) | 0 |
Net proceeds from revolver borrowings | 0 | 2,500 |
Payments on term loan borrowings | 0 | (2,500) |
Net cash used in financing activities | (4,606) | (4,292) |
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS | (3,592) | 187 |
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 9,199 | 4,990 |
CASH AND CASH EQUIVALENTS, END OF PERIOD | 5,607 | 5,177 |
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION | ||
Cash paid for interest | 756 | 872 |
Noncash investing activities - capital expenditures in accounts payable | $ 410 | $ 211 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Jun. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with the instructions for Form 10-Q and, accordingly, do not include all information and footnotes required by generally accepted accounting principles for complete financial statements. These financial statements should be read in conjunction with the consolidated financial statements and footnotes included in our Annual Report on Form 10-K for the fiscal year ended March 31, 2019 , previously filed with the Securities and Exchange Commission (“SEC”). In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments necessary to present fairly our financial position and the results of our operations and cash flows for the periods presented. All adjustments made to the interim condensed consolidated financial statements were of a normal recurring nature. All significant intercompany accounts and transactions have been eliminated in consolidation. The results of operations for the three months ended June 30, 2019 are not necessarily indicative of the results that may be expected for the full year. References to fiscal 2019 refer to the fiscal year ended March 31, 2019 and references to fiscal 2020 refer to the fiscal year ending March 29, 2020 . Use of Estimates. The preparation of condensed consolidated financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, particularly receivables, inventories, property, plant and equipment, right-of-use assets, goodwill, intangibles, accrued expenses, short-term and long-term lease liability, income taxes and related accounts and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Accounting Policies. The accounting policies we follow are set forth in Note 1 – Nature of Business and Significant Accounting Policies to our consolidated financial statements in our Annual Report on Form 10-K for the fiscal year ended March 31, 2019 , previously filed with the SEC. With the exception of our policy regarding leases (see below), there has been no significant change in our accounting policies since the end of fiscal 2019 . Leases. The Company determines if an arrangement is a lease at inception. Right-of-use (“ROU”) assets include operating leases. Lease liabilities for operating leases are classified in “short-term lease liabilities” and “long-term lease liabilities” in our condensed consolidated balance sheet. Operating assets and liabilities are recognized at commencement date based on the present value of the lease payments over the lease term. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. We use the implicit rate when readily determinable. Lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. Lease and non-lease components are generally accounted for separately for real estate leases. For non-real estate leases, we account for the lease and non-lease components as a single lease component. Recently Issued Accounting Pronouncements In June 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2016-13, Financial Instruments - Credit Losses (Topic 326), Measurement of Credit Losses on Financial Instruments . The amendments in this update replace the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses on instruments within its scope, including trade receivables. This update is intended to provide financial statement users with more decision-useful information about the expected credit losses. This ASU is effective for annual periods and interim periods for those annual periods beginning after December 15, 2019, which for us is our fiscal year beginning March 30, 2020. Entities may early adopt beginning after December 15, 2018. We are currently evaluating the impact of the adoption of ASU 2016-13 on our consolidated financial statements. Recently Adopted Accounting Pronouncements On April 1, 2019, we adopted ASU 2016-02, which provides new accounting guidance requiring lessees to recognize most leases as assets and liabilities on the balance sheet and disclose key information about leasing arrangements. The new standard establishes a ROU model that requires a lessee to recognize a ROU asset and lease liability on the balance sheet for all leases with a term longer than 12 months. Leases will be classified as finance or operating, with classification affecting the pattern and expense recognition in the income statement. We adopted this ASU using the modified retrospective method. See Note 11 to the condensed consolidated financial statements for further details. |
Revenue
Revenue | 3 Months Ended |
Jun. 30, 2019 | |
Disaggregation of Revenue [Abstract] | |
Revenue Recognition, Deferred Revenue [Policy Text Block] | Revenue Our revenue arrangements generally consist of a single performance obligation to transfer promised goods or services. We disaggregate revenues from contracts with customers by both operating segments and types of product sold. Reporting by operating segment is pertinent to understanding our revenues, as it aligns to how we review the financial performance of our operations. Types of products sold within each operating segment help us to further evaluate the financial performance of our segments. The following tables disaggregate external customer net sales by major revenue stream for the three months ended June 30, 2019 and July 1, 2018 : Three months ended June 30, 2019 (In thousands) Industrial Water Health and Total Bulk / Distributed specialty products (1) $ 15,090 $ 4,708 $ 24,603 $ 44,401 Manufactured, blended or repackaged products (2) 59,394 38,150 4,144 101,688 Other 841 394 12 1,247 Total external customer sales $ 75,325 $ 43,252 $ 28,759 $ 147,336 Three months ended July 1, 2018 (In thousands) Industrial Water Health and Total Bulk / Distributed specialty products (1) $ 14,936 $ 5,822 $ 30,677 $ 51,435 Manufactured, blended or repackaged products (2) 58,032 34,659 4,185 96,876 Other 1,050 388 51 1,489 Total external customer sales $ 74,018 $ 40,869 $ 34,913 $ 149,800 (1) For our Industrial and Water Treatment segments, this line includes our bulk products that we do not modify in any way, but receive, store, and ship from our facilities, or direct ship to our customers in large quantities. For our Health and Nutrition segment, this line includes our non-manufactured distributed specialty products, which may be sold out of one of our facilities or direct shipped to our customers. (2) For our Industrial and Water Treatment segments, this line includes our non-bulk specialty products that we either manufacture, blend, repackage, resell in their original form, or direct ship to our customers in smaller quantities, and services we provide for our customers. For our Health and Nutrition segment, this line includes products manufactured, processed or repackaged in our facility and/or with our equipment. Net sales include products and shipping charges, net of estimates for product returns and any related sales rebates. Revenue is measured as the amount of consideration we expect to receive in exchange for transferring products. All revenue is recognized when we satisfy our performance obligations under the contract. Our criteria for recording revenue is consistent between our operating segments and types of products sold. We recognize revenue upon transfer of control of the promised products to the customer, with revenue recognized at the point in time the customer obtains control of the products. In arrangements where product is shipped directly from the vendor to our customer, we act as the principal in the transaction as we direct the other party to provide the product to our customer on our behalf, take inventory risk, establish the selling price, and are exposed to credit risk for the collection of the invoiced amount. If there were circumstances where we were to manufacture products for customers that were unique to their specifications and we would be prohibited by contract to use the product for any alternate use, we would recognize revenue over time if all criteria were met. We have made a policy election to treat shipping costs for FOB shipping point sales as fulfillment costs. As such, we recognize revenue for all shipping charges, if applicable, at the same time we recognize revenue on the products delivered. We estimate product returns based on historical return rates. Using probability assessments, we estimate sales rebates expected to be paid over the term of the contract. The majority of our contracts have a single performance obligation and are short term in nature. Sales taxes that are collected from customers and remitted to governmental authorities are accounted for on a net basis and therefore are excluded from net sales. We offer certain customers cash discounts and volume rebates as sales incentives. The discounts and volume rebates are recorded as a reduction in sales at the time revenue is recognized in an amount estimated based on historical experience and contractual obligations. We periodically review the assumptions underlying our estimates of discounts and volume rebates and adjust revenues accordingly. |
Earnings per Share
Earnings per Share | 3 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Earnings per Share | Earnings per Share Basic earnings per share (“EPS”) are computed by dividing net earnings by the weighted-average number of common shares outstanding. Diluted EPS includes the dilutive impact of incremental shares assumed to be issued as performance units and restricted stock. Basic and diluted EPS were calculated using the following: Three Months Ended June 30, July 1, Weighted-average common shares outstanding—basic 10,604,306 10,648,226 Dilutive impact of performance units and restricted stock 61,403 33,834 Weighted-average common shares outstanding—diluted 10,665,709 10,682,060 For each of the three months ended June 30, 2019 and July 1, 2018 , there were no shares excluded from the calculation of weighted-average common shares for diluted EPS. |
Derivative Instruments
Derivative Instruments | 3 Months Ended |
Jun. 30, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments and Hedging Activities Disclosure [Text Block] | Derivative Instruments We have in place an interest rate swap agreement to manage the risk associated with a portion of our variable-rate long-term debt. We do not utilize derivative instruments for speculative purposes. The interest rate swap involves the exchange of fixed-rate and variable-rate payments without the exchange of the underlying notional amount on which the interest payments are calculated. The swap agreement will terminate on December 23, 2020. The notional amount of the swap agreement is currently $30 million through August 31, 2019 and reduces to $20 million from September 1, 2019 through December 23, 2020. We have designated this swap as a cash flow hedge and have determined that it qualifies for hedge accounting treatment. For so long as the hedge is effective, changes in fair value of the cash flow hedge are recorded in other comprehensive income (net of tax) until income or loss from the cash flows of the hedged item is realized. For the three months ended June 30, 2019 , we recorded $0.2 million in other comprehensive income related to unrealized losses (net of tax) on the cash flow hedge described above. For the three months ended July 1, 2018 , we recorded a nominal amount in other comprehensive income related to unrealized gains (net of tax) on the cash flow hedge. Included in other long-term assets on our condensed consolidated balance sheet was $0.2 million as of June 30, 2019 and $0.4 million as of March 31, 2019 related to the cash flow hedge. Unrealized gains and losses will be reflected in net income when the related cash flows or hedged transactions occur and offset the related performance of the hedged item. By their nature, derivative instruments are subject to market risk. Derivative instruments are also subject to credit risk associated with counterparties to the derivative contracts. Credit risk associated with derivatives is measured based on the replacement cost should the counterparty with a contract in a gain position to us fail to perform under the terms of the contract. We do not anticipate nonperformance by the counterparty. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement and Measurement Inputs, Recurring and Nonrecurring [Text Block] | Fair Value Measurements Our financial assets and liabilities are measured at fair value at the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). We classify the inputs used to measure fair value into the following hierarchy: Level 1: Quoted prices in active markets for identical assets or liabilities. Level 2: Quoted prices in active markets for similar assets or liabilities, or quoted prices for identical or similar assets or liabilities in markets that are not active, or inputs other than quoted prices that are observable or can be corroborated by observable market data for the asset or liability. Level 3: Unobservable inputs for the asset or liability that are supported by little or no market activity. These fair values are determined using pricing models for which the assumptions utilize management’s estimates or market participant assumptions. Assets and Liabilities Measured at Fair Value on a Recurring Basis. The fair value hierarchy requires the use of observable market data when available. In instances where inputs used to measure fair value fall into different levels of the fair value hierarchy, the fair value measurement has been determined based on the lowest level input that is significant to the fair value measurement in its entirety. Our assessment of the significance of a particular item to the fair value measurement in its entirety requires judgment, including the consideration of inputs specific to the asset or liability. Our financial assets that are measured at fair value on a recurring basis are an interest rate swap and assets held in a deferred compensation retirement plan. Both of these assets are classified as other long-term assets on our balance sheet, with the portion of the deferred compensation retirement plan assets expected to be paid within twelve months reclassified to current assets. The fair value of the interest rate swap is determined by the respective counterparties based on interest rate changes. Interest rate swaps are valued based on observable interest rate yield curves for similar instruments. The deferred compensation plan assets relate to contributions made to a non-qualified compensation plan, established in fiscal 2017, on behalf of certain employees who are classified as “highly compensated employees” as determined by IRS guidelines. The assets are part of a rabbi trust and the funds are held in mutual funds. The fair value of the deferred compensation is based on the quoted market prices for the mutual funds at the end of the period. The following tables summarize the balances of assets measured at fair value on a recurring basis as of June 30, 2019 and March 31, 2019 . 0 June 30, 2019 (In thousands) Level 1 Level 2 Level 3 Interest rate swap — $ 190 — Deferred compensation plan assets $ 4,007 — — March 31, 2019 (In thousands) Level 1 Level 2 Level 3 Interest rate swap — $ 435 — Deferred compensation plan assets $ 2,637 — — |
Assets Held for Sale
Assets Held for Sale | 3 Months Ended |
Jun. 30, 2019 | |
Property, Plant and Equipment Assets Held-for-sale Disclosure [Abstract] | |
Disclosure of Long Lived Assets Held-for-sale [Table Text Block] | Assets Held for Sale In fiscal 2019, management entered into a plan of action to dispose of an office building in St. Louis, Missouri currently utilized in the administration of our Industrial segment. The amount of office space in this facility is no longer needed due to current staffing levels, and management expects to relocate affected employees to leased space. The building is listed for sale at a price in excess of its current book value, and thus no impairment has been recognized. The $0.9 million net book value of this property is recorded as an asset held for sale within “Prepaid expenses and other current assets” on our balance sheet. |
Inventories
Inventories | 3 Months Ended |
Jun. 30, 2019 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories at June 30, 2019 and March 31, 2019 consisted of the following: June 30, March 31, (In thousands) Inventory (FIFO basis) $ 63,749 $ 65,526 LIFO reserve (5,056 ) (5,044 ) Net inventory $ 58,693 $ 60,482 The first in, first out (“FIFO”) value of inventories accounted for under the last in, first out (“LIFO”) method was $43.8 million at June 30, 2019 and $45.2 million at March 31, 2019 . The remainder of the inventory was valued and accounted for under the FIFO method. The LIFO reserve increased no minally during the three months ended June 30, 2019 and increased $0.3 million during the three months ended July 1, 2018 . The valuation of LIFO inventory for interim periods is based on our estimates of year-end inventory levels and costs. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 3 Months Ended |
Jun. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets The carrying amount of goodwill was $58.4 million as of June 30, 2019 and March 31, 2019 , of which $44.9 million was related to our Health and Nutrition segment. A summary of our intangible assets as of June 30, 2019 and March 31, 2019 is as follows: June 30, 2019 March 31, 2019 (In thousands) Gross Amount Accumulated Amortization Net Gross Amount Accumulated Amortization Net Finite-life intangible assets Customer relationships $ 78,383 $ (18,032 ) $ 60,351 $ 78,383 $ (16,910 ) $ 61,473 Trademarks and trade names 6,045 (3,247 ) 2,798 6,045 (3,115 ) 2,930 Other finite-life intangible assets 3,648 (3,567 ) 81 3,648 (3,552 ) 96 Total finite-life intangible assets 88,076 (24,846 ) 63,230 88,076 (23,577 ) 64,499 Indefinite-life intangible assets 1,227 — 1,227 1,227 — 1,227 Total intangible assets $ 89,303 $ (24,846 ) $ 64,457 $ 89,303 $ (23,577 ) $ 65,726 |
Debt
Debt | 3 Months Ended |
Jun. 30, 2019 | |
Debt Disclosure [Abstract] | |
Debt | Debt Debt at June 30, 2019 and March 31, 2019 consisted of the following: June 30, March 31, (In thousands) Senior secured revolving loan $ 85,000 $ 85,000 Less: unamortized debt issuance costs (411 ) (435 ) Total debt, net of debt issuance costs 84,589 84,565 Less: current portion of long-term debt (9,907 ) (9,907 ) Total long-term debt $ 74,682 $ 74,658 |
Income Taxes
Income Taxes | 3 Months Ended |
Jun. 30, 2019 | |
Income Tax [Abstract] | |
Income Tax Disclosure [Text Block] | Income Taxes We are subject to U.S. federal income tax as well as income tax of multiple state jurisdictions. The tax years prior to our fiscal year ended April 3, 2016 are closed to examination by the Internal Revenue Service, and with few exceptions, state and local income tax jurisdictions. Our effective tax rate for the three months ended June 30, 2019 was 26.3% and was 27.3% for the three months ended July 1, 2018 . The effective tax rate is impacted by projected levels of annual taxable income, permanent items, and state taxes. As of June 30, 2019 and March 31, 2019 , our balance sheet included a long-term liability for uncertain tax positions of $0.1 million , which arose from tax positions taken by Stauber Performance Ingredients, Inc. (“Stauber”) on its tax returns for periods prior to our acquisition. Because the Stauber acquisition agreement provides us with indemnification by the prior owners for any tax liabilities relating to pre-acquisition tax returns, we have also recorded an offsetting, long-term receivable of $0.1 million as of June 30, 2019 and March 31, 2019 . As a result, any change in the unrecognized tax benefit will not impact our effective tax rate in future periods. We expect these uncertain income tax amounts to decrease through September 2019 as the applicable examination periods for the relevant taxing authorities expire. |
Leases
Leases | 3 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Lessee, Operating Leases [Text Block] | Leases Adoption of ASU 2016-02, Leases. On April 1, 2019, we adopted ASU 2016-02 using the modified retrospective method applied to existing leases in place as of April 1, 2019. Leases entered into after April 1, 2019 are presented under the provisions of ASU 2016-02, while prior periods are not adjusted and continue to be reported in accordance with previous accounting guidance. Leases commencing or renewing after the adoption date are evaluated based on the guidance in ASU 2016-02 and may result in more finance leases being recognized even for the renewal of previously classified operating leases. We elected to adopt the ‘package of practical expedients’, which permitted us not to reassess under the new standard our prior conclusions about lease identification, lease classification and initial direct costs. We elected the short-term lease recognition exemption for all leases that qualified. This means, for those leases that qualified, we did not recognize right-of-use assets or lease liabilities, and this included not recognizing right-of-use assets or lease liabilities for existing short-term leases of those assets in transition. We also elected the practical expedient to not separate lease and non-lease components for all leases other than leases of real estate, and this included not separating lease and non-lease components for all leases other than leases of real estate in transition. We adopted ASU 2016-02 using the modified retrospective method, recognizing the cumulative effect of application as an adjustment to the opening balance sheet. The standard had a material impact on our condensed consolidated balance sheet, but did not have a material impact on our condensed consolidated statement of income or cash flows. The most significant impact was the recognition of the ROU asset and lease liabilities for operating leases, both of which were approximately $10.4 million upon adoption. Lease Obligations. As of June 30, 2019 , we were obligated under operating lease agreements for certain manufacturing facilities, warehouse space, the land on which some of our facilities sit, vehicles and information technology equipment. Our leases have remaining lease terms of 1 year to 25 years , some of which may include options to extend the lease for up to 10 years . As of June 30, 2019 , our operating lease components with initial or remaining terms in excess of one year were classified on the condensed consolidated balance sheet within right of use assets, short-term lease liability and long-term lease liability. Expense for leases less than 12 months for the three months ended June 30, 2019 was no t material. Total lease expense for the three months ended June 30, 2019 was $0.7 million . Other information related to our operating leases was as follows: (In thousands) June 30, 2019 Supplemental Cash Flow Information Operating cash flows from leases $ 69 Lease Term and Discount Rate Weighted average remaining lease term (years) 9.15 Weighted average discount rate 4.1 % Maturities of lease liabilities as of June 30, 2019 were as follows: (In thousands) Operating Leases Remaining fiscal 2020 $ 1,978 Fiscal 2021 1,583 Fiscal 2022 1,306 Fiscal 2023 1,176 Fiscal 2024 1,114 Thereafter 4,959 Total $ 12,116 Less: Interest (2,203 ) Present value of lease liabilities $ 9,913 As we have not restated prior year information for our adoption of ASC Topic 842, the following represents our future minimum lease payments for operating leases under ASC Topic 840 on March 31, 2019 : (In thousands) Operating Leases Fiscal 2020 $ 2,198 Fiscal 2021 1,783 Fiscal 2022 1,407 Fiscal 2023 1,352 Fiscal 2024 1,183 Thereafter 5,473 Total $ 13,396 |
Share Based Compensation
Share Based Compensation | 3 Months Ended |
Jun. 30, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-Based Compensation | Share-Based Compensation Performance-Based Restricted Stock Units . Our Board of Directors (the “Board”) approved a performance-based equity compensation arrangement for our executive officers during the first quarters of each of fiscal 2020 and fiscal 2019 . These performance-based arrangements provide for the grant of performance-based restricted stock units that represent a possible future issuance of restricted shares of our common stock based on a pre-tax income target for the applicable fiscal year. The actual number of restricted shares to be issued to each executive officer is determined when our final financial information becomes available after the applicable fiscal year and will be between zero shares and 69,632 shares in the aggregate for fiscal 2020 . The restricted shares issued, if any, will fully vest two years after the last day of the fiscal year on which the performance is based. We are recording the compensation expense for the outstanding performance share units and the converted restricted stock over the life of the awards. The following table represents the restricted stock activity for the three months ended June 30, 2019 : Shares Weighted- Average Grant Date Fair Value Unvested at beginning of period 32,883 $ 43.66 Granted 69,252 34.49 Vested (27,620 ) 46.01 Unvested at end of period 74,515 $ 34.27 We recorded compensation expense related to performance share units and restricted stock of $0.3 million for both the three months ended June 30, 2019 and July 1, 2018 . Substantially all of the compensation expense was recorded in selling, general and administrative expenses in the condensed consolidated statements of income. Restricted Stock Awards . As part of their retainer, each non-employee director receives an annual grant of restricted stock for their Board of Director services. The restricted stock awards are expensed over the requisite vesting period, which is one year from the date of issuance, based on the market value on the date of grant. As of June 30, 2019 , there were 8,352 shares of restricted stock with a grant date fair value of $35.90 outstanding under this program. Compensation expense for both the three months ended June 30, 2019 and July 1, 2018 related to restricted stock awards to the Board was $0.1 million . |
Share Repurchase Program
Share Repurchase Program | 3 Months Ended |
Jun. 30, 2019 | |
Investment Company, Capital Share Transactions, Stock Repurchased [Abstract] | |
Share Repurchase Program | Share Repurchase Program Our board of directors has authorized the repurchase of up to 800,000 shares of our outstanding common stock for cash on the open market or in privately negotiated transactions subject to applicable securities laws and regulations. Upon purchase of the shares, we reduce our common stock for the par value of the shares with the excess applied against additional paid-in capital. During the three months ended June 30, 2019 , we repurchased 47,136 shares at an aggregate purchase price of $1.8 million . No shares were repurchased during the first three months of fiscal 2019. As of June 30, 2019 , 457,244 shares remained available to be repurchased under the share repurchase program. |
Litigation, Commitments and Con
Litigation, Commitments and Contingencies | 3 Months Ended |
Jun. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Litigation, Commitments and Contingencies | Litigation, Commitments and Contingencies Litigation. There are no material pending legal proceedings, other than ordinary routine litigation incidental to the business, to which we or any of our subsidiaries are a party or of which any of our property is the subject. Legal fees associated with such matters are expensed as incurred. Environmental Remediation. During fiscal 2018, we recorded a liability of $0.6 million related to estimated remediation expenses associated with existing contamination at our Minneapolis facility. The liability was $0.3 million as of June 30, 2019 and $0.4 million as of March 31, 2019 . Given the many uncertainties involved in assessing environmental claims, our reserves may prove to be insufficient. While it is possible that additional expenses related to remediation will be incurred in future periods if currently unknown issues arise, we are unable to estimate the extent of any further financial impact at this time. |
Segment Information
Segment Information | 3 Months Ended |
Jun. 30, 2019 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information We have three reportable segments: Industrial, Water Treatment, and Health and Nutrition. The accounting policies of the segments are the same as those described in the summary of significant accounting policies in our fiscal 2019 Annual Report on Form 10-K. We evaluate performance based on profit or loss from operations before income taxes not including nonrecurring gains and losses. Reportable segments are defined primarily by product and type of customer. Segments are responsible for the sales, marketing and development of their products and services. Other than our Health and Nutrition segment, the segments do not have separate accounting, administration, customer service or purchasing functions. We allocate certain corporate expenses to our operating segments. There are no intersegment sales and no operating segments have been aggregated. No single customer’s revenues amounted to 10% or more of our total revenue. Sales are primarily within the United States and all assets are located within the United States. (In thousands) Industrial Water Treatment Health and Nutrition Total Three months ended June 30, 2019: Sales $ 75,325 $ 43,252 $ 28,759 $ 147,336 Gross profit 10,915 12,091 5,791 28,797 Selling, general, and administrative expenses 6,096 4,988 3,752 14,836 Operating income 4,819 7,103 2,039 13,961 Three months ended July 1, 2018: Sales $ 74,018 $ 40,869 $ 34,913 $ 149,800 Gross profit 10,443 11,437 6,577 28,457 Selling, general, and administrative expenses 5,487 5,101 4,391 14,979 Operating income 4,956 6,336 2,186 13,478 No significant changes to identifiable assets by segment occurred during the three months ended June 30, 2019 . |
Revenue (Tables)
Revenue (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Disaggregation of Revenue [Abstract] | |
Disaggregation of Revenue [Table Text Block] | The following tables disaggregate external customer net sales by major revenue stream for the three months ended June 30, 2019 and July 1, 2018 : Three months ended June 30, 2019 (In thousands) Industrial Water Health and Total Bulk / Distributed specialty products (1) $ 15,090 $ 4,708 $ 24,603 $ 44,401 Manufactured, blended or repackaged products (2) 59,394 38,150 4,144 101,688 Other 841 394 12 1,247 Total external customer sales $ 75,325 $ 43,252 $ 28,759 $ 147,336 Three months ended July 1, 2018 (In thousands) Industrial Water Health and Total Bulk / Distributed specialty products (1) $ 14,936 $ 5,822 $ 30,677 $ 51,435 Manufactured, blended or repackaged products (2) 58,032 34,659 4,185 96,876 Other 1,050 388 51 1,489 Total external customer sales $ 74,018 $ 40,869 $ 34,913 $ 149,800 (1) For our Industrial and Water Treatment segments, this line includes our bulk products that we do not modify in any way, but receive, store, and ship from our facilities, or direct ship to our customers in large quantities. For our Health and Nutrition segment, this line includes our non-manufactured distributed specialty products, which may be sold out of one of our facilities or direct shipped to our customers. (2) For our Industrial and Water Treatment segments, this line includes our non-bulk specialty products that we either manufacture, blend, repackage, resell in their original form, or direct ship to our customers in smaller quantities, and services we provide for our customers. For our Health and Nutrition segment, this line includes products manufactured, processed or repackaged in our facility and/or with our equipment. |
Earnings per Share (Tables)
Earnings per Share (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Summary of basic and diluted EPS | Basic and diluted EPS were calculated using the following: Three Months Ended June 30, July 1, Weighted-average common shares outstanding—basic 10,604,306 10,648,226 Dilutive impact of performance units and restricted stock 61,403 33,834 Weighted-average common shares outstanding—diluted 10,665,709 10,682,060 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value, Liabilities Measured on Recurring Basis [Table Text Block] | The following tables summarize the balances of assets measured at fair value on a recurring basis as of June 30, 2019 and March 31, 2019 . 0 June 30, 2019 (In thousands) Level 1 Level 2 Level 3 Interest rate swap — $ 190 — Deferred compensation plan assets $ 4,007 — — March 31, 2019 (In thousands) Level 1 Level 2 Level 3 Interest rate swap — $ 435 — Deferred compensation plan assets $ 2,637 — — |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Inventory Disclosure [Abstract] | |
Summary of Inventories | Inventories at June 30, 2019 and March 31, 2019 consisted of the following: June 30, March 31, (In thousands) Inventory (FIFO basis) $ 63,749 $ 65,526 LIFO reserve (5,056 ) (5,044 ) Net inventory $ 58,693 $ 60,482 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of intangible assets and goodwill | A summary of our intangible assets as of June 30, 2019 and March 31, 2019 is as follows: June 30, 2019 March 31, 2019 (In thousands) Gross Amount Accumulated Amortization Net Gross Amount Accumulated Amortization Net Finite-life intangible assets Customer relationships $ 78,383 $ (18,032 ) $ 60,351 $ 78,383 $ (16,910 ) $ 61,473 Trademarks and trade names 6,045 (3,247 ) 2,798 6,045 (3,115 ) 2,930 Other finite-life intangible assets 3,648 (3,567 ) 81 3,648 (3,552 ) 96 Total finite-life intangible assets 88,076 (24,846 ) 63,230 88,076 (23,577 ) 64,499 Indefinite-life intangible assets 1,227 — 1,227 1,227 — 1,227 Total intangible assets $ 89,303 $ (24,846 ) $ 64,457 $ 89,303 $ (23,577 ) $ 65,726 |
Debt (Tables)
Debt (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | Debt at June 30, 2019 and March 31, 2019 consisted of the following: June 30, March 31, (In thousands) Senior secured revolving loan $ 85,000 $ 85,000 Less: unamortized debt issuance costs (411 ) (435 ) Total debt, net of debt issuance costs 84,589 84,565 Less: current portion of long-term debt (9,907 ) (9,907 ) Total long-term debt $ 74,682 $ 74,658 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Operating Lease, Lease Income [Table Text Block] | As of June 30, 2019 , our operating lease components with initial or remaining terms in excess of one year were classified on the condensed consolidated balance sheet within right of use assets, short-term lease liability and long-term lease liability. |
Other information related to our operating leases [Table Text Block] | Other information related to our operating leases was as follows: (In thousands) June 30, 2019 Supplemental Cash Flow Information Operating cash flows from leases $ 69 Lease Term and Discount Rate Weighted average remaining lease term (years) 9.15 Weighted average discount rate 4.1 % |
Lessee, Operating Lease, Liability, Maturity [Table Text Block] | Maturities of lease liabilities as of June 30, 2019 were as follows: (In thousands) Operating Leases Remaining fiscal 2020 $ 1,978 Fiscal 2021 1,583 Fiscal 2022 1,306 Fiscal 2023 1,176 Fiscal 2024 1,114 Thereafter 4,959 Total $ 12,116 Less: Interest (2,203 ) Present value of lease liabilities $ 9,913 |
Schedule of Future Minimum Rental Payments for Operating Leases [Table Text Block] | As we have not restated prior year information for our adoption of ASC Topic 842, the following represents our future minimum lease payments for operating leases under ASC Topic 840 on March 31, 2019 : (In thousands) Operating Leases Fiscal 2020 $ 2,198 Fiscal 2021 1,783 Fiscal 2022 1,407 Fiscal 2023 1,352 Fiscal 2024 1,183 Thereafter 5,473 Total $ 13,396 |
Share Based Compensation (Table
Share Based Compensation (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Performance-Based Restricted Stock [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Summary of performance-based restricted stock units | The following table represents the restricted stock activity for the three months ended June 30, 2019 : Shares Weighted- Average Grant Date Fair Value Unvested at beginning of period 32,883 $ 43.66 Granted 69,252 34.49 Vested (27,620 ) 46.01 Unvested at end of period 74,515 $ 34.27 |
Segment Information (Tables)
Segment Information (Tables) | 3 Months Ended |
Jun. 30, 2019 | |
Segment Reporting [Abstract] | |
Summary of Segment Information | (In thousands) Industrial Water Treatment Health and Nutrition Total Three months ended June 30, 2019: Sales $ 75,325 $ 43,252 $ 28,759 $ 147,336 Gross profit 10,915 12,091 5,791 28,797 Selling, general, and administrative expenses 6,096 4,988 3,752 14,836 Operating income 4,819 7,103 2,039 13,961 Three months ended July 1, 2018: Sales $ 74,018 $ 40,869 $ 34,913 $ 149,800 Gross profit 10,443 11,437 6,577 28,457 Selling, general, and administrative expenses 5,487 5,101 4,391 14,979 Operating income 4,956 6,336 2,186 13,478 |
Revenue (Details)
Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2019 | Jul. 01, 2018 | |
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 147,336 | $ 149,800 |
Bulk / Distributed specialty products [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 44,401 | 51,435 |
Manufactured, blended or repackaged products [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 101,688 | 96,876 |
Other [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 1,247 | 1,489 |
Industrial [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 75,325 | 74,018 |
Industrial [Member] | Bulk / Distributed specialty products [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 15,090 | 14,936 |
Industrial [Member] | Manufactured, blended or repackaged products [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 59,394 | 58,032 |
Industrial [Member] | Other [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 841 | 1,050 |
Water Treatment [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 43,252 | 40,869 |
Water Treatment [Member] | Bulk / Distributed specialty products [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 4,708 | 5,822 |
Water Treatment [Member] | Manufactured, blended or repackaged products [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 38,150 | 34,659 |
Water Treatment [Member] | Other [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 394 | 388 |
Health and Nutrition [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 28,759 | 34,913 |
Health and Nutrition [Member] | Bulk / Distributed specialty products [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 24,603 | 30,677 |
Health and Nutrition [Member] | Manufactured, blended or repackaged products [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | 4,144 | 4,185 |
Health and Nutrition [Member] | Other [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Revenue | $ 12 | $ 51 |
Earnings per Share (Details)
Earnings per Share (Details) - shares | 3 Months Ended | |
Jun. 30, 2019 | Jul. 01, 2018 | |
Summary of basic and diluted EPS | ||
Weighted-average common shares outstanding—basic | 10,604,306 | 10,648,226 |
Dilutive impact of performance units and restricted stock | 61,403 | 33,834 |
Weighted-average common shares outstanding—diluted | 10,665,709 | 10,682,060 |
Earnings per Share (Details Tex
Earnings per Share (Details Textual) - shares | 3 Months Ended | |
Jun. 30, 2019 | Jul. 01, 2018 | |
Earnings Per Share [Abstract] | ||
Shares or stock options excluded from the calculation of diluted EPS | 0 | 0 |
Derivative Instruments (Details
Derivative Instruments (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Mar. 31, 2019 | |
Derivative [Line Items] | |||
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, before Tax | $ 179 | $ (27) | |
Interest Rate Swap [Member] | |||
Derivative [Line Items] | |||
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, before Tax | 179 | $ (27) | |
Cash Flow Hedge Derivative Instrument Assets at Fair Value | 190 | $ 435 | |
Interest Rate Swap [Member] | Debt Instrument, Redemption, Period Two [Member] | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | 30,000 | ||
Interest Rate Swap [Member] | Debt Instrument, Redemption, Period Three [Member] | |||
Derivative [Line Items] | |||
Derivative, Notional Amount | $ 20,000 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Deferred compensation plan assets | $ 4,007 | $ 2,637 |
Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Deferred compensation plan assets | 0 | 0 |
Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Deferred compensation plan assets | 0 | 0 |
Interest Rate Swap [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swap | 190 | 435 |
Interest Rate Swap [Member] | Fair Value, Inputs, Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swap | 0 | 0 |
Interest Rate Swap [Member] | Fair Value, Inputs, Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swap | 190 | 435 |
Interest Rate Swap [Member] | Fair Value, Inputs, Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swap | $ 0 | $ 0 |
Assets Held for Sale (Details)
Assets Held for Sale (Details) $ in Millions | Jun. 30, 2019USD ($) |
Property, Plant and Equipment Assets Held-for-sale Disclosure [Abstract] | |
Assets Held-for-sale | $ 0.9 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Summary of Inventories | ||
Inventory (FIFO basis) | $ 63,749 | $ 65,526 |
LIFO reserve | (5,056) | (5,044) |
Net inventory | $ 58,693 | $ 60,482 |
Inventories (Details Textual)
Inventories (Details Textual) - USD ($) $ in Millions | 3 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Mar. 31, 2019 | |
Inventory Disclosure [Abstract] | |||
Finished goods (LIFO basis) | $ 43.8 | $ 45.2 | |
Increase (decrease) in LIFO reserve | $ 0 | $ 0.3 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets (Details Textual) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Goodwill [Line Items] | ||
Goodwill | $ 58,440 | $ 58,440 |
Health and Nutrition [Member] | ||
Goodwill [Line Items] | ||
Goodwill | $ 44,900 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Summary of Finite-Lived Intangible Assets [Line Items] | ||
Finite-life intangible assets, Gross Carrying Amount | $ 88,076 | $ 88,076 |
Finite-life intangible assets, Accumulated Amortization | (24,846) | (23,577) |
Total finite-life intangible assets, Net | 63,230 | 64,499 |
Indefinite-life intangible assets gross | 1,227 | 1,227 |
Indefinite-life intangible assets, Accumulated Amortization | 0 | 0 |
Indefinite-life intangible assets | 1,227 | 1,227 |
Total Intangible Assets, Gross | 89,303 | 89,303 |
Total intangible assets, net | 64,457 | 65,726 |
Customer Relationships [Member] | ||
Summary of Finite-Lived Intangible Assets [Line Items] | ||
Finite-life intangible assets, Gross Carrying Amount | 78,383 | 78,383 |
Finite-life intangible assets, Accumulated Amortization | (18,032) | (16,910) |
Total finite-life intangible assets, Net | 60,351 | 61,473 |
Trademarks [Member] | ||
Summary of Finite-Lived Intangible Assets [Line Items] | ||
Finite-life intangible assets, Gross Carrying Amount | 6,045 | 6,045 |
Finite-life intangible assets, Accumulated Amortization | (3,247) | (3,115) |
Total finite-life intangible assets, Net | 2,798 | 2,930 |
Other finite-life intangible assets [Member] | ||
Summary of Finite-Lived Intangible Assets [Line Items] | ||
Finite-life intangible assets, Gross Carrying Amount | 3,648 | 3,648 |
Finite-life intangible assets, Accumulated Amortization | (3,567) | (3,552) |
Total finite-life intangible assets, Net | $ 81 | $ 96 |
Debt (Details)
Debt (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 |
Debt Disclosure [Abstract] | ||
Senior secured revolving loan | $ 85,000 | $ 85,000 |
Less: unamortized debt issuance costs | (411) | (435) |
Total debt, net of debt issuance costs | 84,589 | 84,565 |
Less: current portion of long-term debt | (9,907) | (9,907) |
Total long-term debt | $ 74,682 | $ 74,658 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Jun. 30, 2019 | Jul. 01, 2018 | Mar. 31, 2019 | |
Income Tax [Abstract] | |||
Effective Income Tax Rate Reconciliation, Percent | 26.30% | 27.30% | |
Unrecognized Tax Benefits | $ 100 | $ 100 | |
Business Combination, Indemnification Assets, Amount as of Acquisition Date | $ 100 | $ 100 |
Leases Balance Sheet (Details)
Leases Balance Sheet (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Apr. 01, 2019 | Mar. 31, 2019 |
Leases [Abstract] | |||
Operating Lease, Right-of-Use Asset | $ 9,941 | $ 10,400 | $ 0 |
Operating Lease, Liability, Current | 1,707 | 0 | |
Operating Lease, Liability, Noncurrent | 8,206 | $ 0 | |
Operating Lease, Liability | $ 9,913 | $ 10,400 |
Leases (Details)
Leases (Details) | 3 Months Ended |
Jun. 30, 2019USD ($) | |
Lessee, Lease, Description [Line Items] | |
Lessee, Operating Lease, Option to Extend | 10 years |
Short-term Lease, Expense | $ 0 |
Operating Lease, Expense | $ 700,000 |
Operating Lease, Weighted Average Remaining Lease Term | 9 years 1 month 25 days |
Operating Lease, Weighted Average Discount Rate, Percent | 4.10% |
Minimum [Member] | |
Lessee, Lease, Description [Line Items] | |
Lessee, Operating Lease, Renewal Term | 1 year |
Maximum [Member] | |
Lessee, Lease, Description [Line Items] | |
Lessee, Operating Lease, Renewal Term | 25 years |
Leases maturities (Details)
Leases maturities (Details) - USD ($) $ in Thousands | Jun. 30, 2019 | Apr. 01, 2019 | Mar. 31, 2019 |
Leases [Abstract] | |||
Remaining fiscal 2020 | $ 1,978 | ||
Fiscal 2021 | 1,583 | ||
Fiscal 2022 | 1,306 | ||
Fiscal 2023 | 1,176 | ||
Fiscal 2024 | 1,114 | ||
Thereafter | 4,959 | ||
Total | 12,116 | ||
Less: Interest | (2,203) | ||
Present value of lease liabilities | $ 9,913 | $ 10,400 | |
Fiscal 2020 | $ 2,198 | ||
Fiscal 2021 | 1,783 | ||
Fiscal 2022 | 1,407 | ||
Fiscal 2023 | 1,352 | ||
Fiscal 2024 | 1,183 | ||
Thereafter | 5,473 | ||
Total | $ 13,396 |
Share Based Compensation (Detai
Share Based Compensation (Details) - Performance-Based Restricted Stock [Member] | 3 Months Ended |
Jun. 30, 2019$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |
Beginning Balance, Weighted average grant date fair value (usd per share) | $ / shares | $ 43.66 |
Granted, Weighted average grant date fair value (usd per share) | $ / shares | 34.49 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | $ / shares | 46.01 |
Ending Balance, Weighted average grant date fair value (usd per share) | $ / shares | $ 34.27 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Unvested at beginning of period (Shares) | shares | 32,883 |
Granted (Shares) | shares | 69,252 |
Vested (Shares) | shares | (27,620) |
Unvested at end of period (Shares) | shares | 74,515 |
Share Based Compensation (Det_2
Share Based Compensation (Details Textual) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | |
Jun. 30, 2019 | Jul. 01, 2018 | |
Performance-Based Restricted Stock [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Range of restricted stock to be issued minimum (shares) | 0 | |
Range of restricted stock to be issued maximum (shares) | 69,632 | |
Vesting period | 2 years | |
Compensation expense | $ 0.3 | $ 0.3 |
Restricted Stock Awards [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting period | 1 year | |
Compensation expense | $ 0.1 | $ 0.1 |
Restricted stock awards outstanding (shares) | 8,352 | |
Restricted stock awards, weighted average exercise price (usd per share) | $ 35.90 |
Share Repurchase Program (Detai
Share Repurchase Program (Details) - USD ($) $ in Millions | 3 Months Ended | |
Jun. 30, 2019 | Jul. 01, 2018 | |
Investment Company, Capital Share Transactions, Stock Repurchased [Abstract] | ||
Stock Repurchase Program, Number of Shares Authorized to be Repurchased | 800,000 | |
Stock Repurchased During Period, Shares | 47,136 | 0 |
Stock Repurchased During Period, Value | $ 1.8 | |
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased | 457,244 |
Litigation, Commitments and C_2
Litigation, Commitments and Contingencies (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Apr. 01, 2018 | Jun. 30, 2019 | Mar. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |||
Environmental Remediation Expense | $ 0.6 | ||
Accrual for Environmental Loss Contingencies | $ 0.3 | $ 0.4 |
Segment Information (Details)
Segment Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Jun. 30, 2019 | Jul. 01, 2018 | |
Segment Reporting Information [Line Items] | ||
Sales | $ 147,336 | $ 149,800 |
Gross profit | 28,797 | 28,457 |
Selling, general, and administrative expenses | 14,836 | 14,979 |
Operating income | 13,961 | 13,478 |
Industrial [Member] | ||
Segment Reporting Information [Line Items] | ||
Sales | 75,325 | 74,018 |
Gross profit | 10,915 | 10,443 |
Selling, general, and administrative expenses | 6,096 | 5,487 |
Operating income | 4,819 | 4,956 |
Water Treatment [Member] | ||
Segment Reporting Information [Line Items] | ||
Sales | 43,252 | 40,869 |
Gross profit | 12,091 | 11,437 |
Selling, general, and administrative expenses | 4,988 | 5,101 |
Operating income | 7,103 | 6,336 |
Health and Nutrition [Member] | ||
Segment Reporting Information [Line Items] | ||
Sales | 28,759 | 34,913 |
Gross profit | 5,791 | 6,577 |
Selling, general, and administrative expenses | 3,752 | 4,391 |
Operating income | $ 2,039 | $ 2,186 |
Segment Information (Details Te
Segment Information (Details Textual) | 3 Months Ended |
Jun. 30, 2019Segment | |
Segment Reporting Information [Line Items] | |
Number of reportable segments (segments) | 3 |
Intersegment sales | 0 |
Number of operating segments aggregated (segments) | 0 |
Number of customer representing 10 percent or more of revenue (customers) | 0 |
Quarterly Financial Information, Segment Reporting, Segment Assets, Material Change | 0 |