Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jul. 30, 2016 | Sep. 02, 2016 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Jul. 30, 2016 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q2 | |
Trading Symbol | ALOT | |
Entity Registrant Name | AstroNova, Inc. | |
Entity Central Index Key | 8,146 | |
Current Fiscal Year End Date | --01-31 | |
Entity Filer Category | Smaller Reporting Company | |
Entity Common Stock, Shares Outstanding | 7,465,097 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Jul. 30, 2016 | Jan. 31, 2016 |
CURRENT ASSETS | ||
Cash and Cash Equivalents | $ 14,900 | $ 10,043 |
Securities Available for Sale | 8,864 | 10,376 |
Accounts Receivable, net | 15,228 | 15,325 |
Inventories | 17,566 | 14,890 |
Line of Credit Receivable | 140 | 150 |
Note Receivable | 191 | |
Prepaid Expenses and Other Current Assets | 1,827 | 3,539 |
Total Current Assets | 58,525 | 54,514 |
PROPERTY, PLANT AND EQUIPMENT | 40,125 | 39,713 |
Less Accumulated Depreciation | (30,822) | (29,906) |
Property, Plant and Equipment, net | 9,303 | 9,807 |
OTHER ASSETS | ||
Intangible Assets, net | 5,622 | 5,980 |
Goodwill | 4,521 | 4,521 |
Deferred Tax Assets | 2,798 | 3,049 |
Other | 93 | 92 |
Total Other Assets | 13,034 | 13,642 |
TOTAL ASSETS | 80,862 | 77,963 |
CURRENT LIABILITIES | ||
Accounts Payable | 5,362 | 3,192 |
Accrued Compensation | 2,445 | 3,436 |
Other Liabilities and Accrued Expenses | 1,922 | 2,209 |
Deferred Revenue | 490 | 529 |
Income Taxes Payable | 265 | 182 |
Total Current Liabilities | 10,484 | 9,548 |
Deferred Tax Liabilities | 99 | 78 |
Other Long Term Liabilities | 951 | 964 |
TOTAL LIABILITIES | 11,534 | 10,590 |
SHAREHOLDERS' EQUITY | ||
Common Stock, $0.05 Par Value, Authorized 13,000,000 shares; Issued 9,799,794 shares and 9,666,290 shares at July 30, 2016 and January 31, 2016, respectively | 490 | 483 |
Additional Paid-in Capital | 46,822 | 45,675 |
Retained Earnings | 43,487 | 42,212 |
Treasury Stock, at Cost, 2,365,636 and 2,323,545 shares at July 30, 2016 and January 31, 2016, respectively | (20,637) | (20,022) |
Accumulated Other Comprehensive Loss, net of tax | (834) | (975) |
TOTAL SHAREHOLDERS' EQUITY | 69,328 | 67,373 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ 80,862 | $ 77,963 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Jul. 30, 2016 | Jan. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Common Stock, Par Value | $ 0.05 | $ 0.05 |
Common Stock, Shares Authorized | 13,000,000 | 13,000,000 |
Common Stock, Shares Issued | 9,799,794 | 9,666,290 |
Treasury Stock, Shares | 2,365,636 | 2,323,545 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 30, 2016 | Aug. 01, 2015 | Jul. 30, 2016 | Aug. 01, 2015 | |
Income Statement [Abstract] | ||||
Net Sales | $ 25,339 | $ 23,938 | $ 49,449 | $ 46,144 |
Cost of Sales | 15,034 | 14,092 | 29,671 | 27,268 |
Gross Profit | 10,305 | 9,846 | 19,778 | 18,876 |
Operating Expenses: | ||||
Selling and Marketing | 4,777 | 4,664 | 9,608 | 8,992 |
Research and Development | 1,755 | 1,565 | 3,199 | 3,361 |
General and Administrative | 2,025 | 1,783 | 3,676 | 3,241 |
Operating Expenses | 8,557 | 8,012 | 16,483 | 15,594 |
Operating Income, net | 1,748 | 1,834 | 3,295 | 3,282 |
Other Income (Expense) | 40 | 21 | (12) | 254 |
Income before Income Taxes | 1,788 | 1,855 | 3,283 | 3,536 |
Income Tax Provision | 496 | 687 | 972 | 1,158 |
Net Income | $ 1,292 | $ 1,168 | $ 2,311 | $ 2,378 |
Net Income per Common Share-Basic: | $ 0.17 | $ 0.16 | $ 0.31 | $ 0.33 |
Net Income per Common Share-Diluted: | $ 0.17 | $ 0.16 | $ 0.31 | $ 0.32 |
Weighted Average Number of Common Shares Outstanding: | ||||
Basic | 7,418 | 7,278 | 7,388 | 7,269 |
Diluted | 7,587 | 7,469 | 7,560 | 7,459 |
Dividends Declared Per Common Share | $ 0.07 | $ 0.07 | $ 0.14 | $ 0.14 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 30, 2016 | Aug. 01, 2015 | Jul. 30, 2016 | Aug. 01, 2015 | |
Statement of Comprehensive Income [Abstract] | ||||
Net Income | $ 1,292 | $ 1,168 | $ 2,311 | $ 2,378 |
Other Comprehensive Income (Loss), Net of Taxes and Reclassification Adjustments: | ||||
Foreign Currency Translation Adjustments | (193) | (122) | 134 | (113) |
Unrealized Holding Gain (Loss) on Securities Available for Sale | 9 | 4 | 7 | (15) |
Other Comprehensive Income (Loss) | (184) | (118) | 141 | (128) |
Comprehensive Income | $ 1,108 | $ 1,050 | $ 2,452 | $ 2,250 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 6 Months Ended | |
Jul. 30, 2016 | Aug. 01, 2015 | |
Cash Flows from Operating Activities: | ||
Net Income | $ 2,311 | $ 2,378 |
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities: | ||
Depreciation and Amortization | 1,255 | 946 |
Share-Based Compensation | 546 | 444 |
Deferred Income Tax Provision (Benefit) | 270 | (18) |
Changes in Assets and Liabilities, net of acquisition: | ||
Accounts Receivable | 127 | (1,067) |
Inventories | (2,656) | 1,646 |
Income Taxes | 400 | 863 |
Accounts Payable and Accrued Expenses | 995 | (842) |
Other | 1,135 | (191) |
Net Cash Provided by Operating Activities | 4,383 | 4,159 |
Cash Flows from Investing Activities: | ||
Proceeds from Sales/Maturities of Securities Available for Sale | 1,921 | 5,003 |
Purchases of Securities Available for Sale | (400) | (3,127) |
Acquisition of RITEC's Ruggedized Printer Business | (7,360) | |
Payments Received on Line of Credit and Note Receivable | 188 | 208 |
Additions to Property, Plant and Equipment | (377) | (1,291) |
Net Cash Provided (Used) by Investing Activities | 1,332 | (6,567) |
Cash Flows from Financing Activities: | ||
Proceeds (Use) from Common Shares Issued Under Employee Benefit Plans and Employee Stock Option Plans, Net of Payment of Minimum Tax Withholdings | (7) | 197 |
Dividends Paid | (1,036) | (1,022) |
Net Cash Used by Financing Activities | (1,043) | (825) |
Effect of Exchange Rate Changes on Cash and Cash Equivalents | 185 | 331 |
Net Increase (Decrease) in Cash and Cash Equivalents | 4,857 | (2,902) |
Cash and Cash Equivalents, Beginning of Period | 10,043 | 7,958 |
Cash and Cash Equivalents, End of Period | 14,900 | 5,056 |
Supplemental Disclosures of Cash Flow Information: | ||
Cash Paid During the Period for Income Taxes, Net of Refunds | $ 314 | $ 264 |
Overview
Overview | 6 Months Ended |
Jul. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Overview | (1) Overview On September 25, 2015, Astro-Med, Inc. announced it would immediately begin doing business as AstroNova on a worldwide basis. The name change is part of the plan to modernize the Company and effectively communicate our strategy. The AstroNova name and brand emphasizes our traditional strengths in aerospace and acknowledges our expanding presence in test & measurement, product identification and other new areas where we can apply our data visualization technology. On May 18, 2016, the name change was formally approved by the Company’s shareholders, and the Company’s Restated Articles of Incorporation were amended to officially change the Company’s name to AstroNova, Inc. The Company’s common stock trades on the NASDAQ Global Market stock exchange under its new name, AstroNova, Inc., using the ticker symbol, ALOT. Headquartered in West Warwick, Rhode Island, AstroNova, Inc. leverages its expertise in data visualization technologies to design, develop, manufacture and distribute a broad range of specialty printers and data acquisition and analysis systems. Our products are distributed through our own sales force and authorized dealers in the United States. We also sell to customers outside of the United States primarily through our Company offices in Canada, China, Europe, Mexico and Southeast Asia as well as through independent dealers and representatives. AstroNova, Inc. products are used around the world in a wide range of aerospace, apparel, automotive, avionics, chemical, computer peripherals, communications, distribution, food and beverage, general manufacturing, packaging and transportation applications. The business consists of two segments, Product Identification (previously known as our QuickLabel segment), which includes products sold under the QuickLabel ® Products sold under the QuickLabel brand are used in industrial and commercial product packaging and automatic identification applications to digitally print custom labels and other visual identification marks on demand. Products sold under the AstroNova Test & Measurement brand acquire and record visual and electronic signal data from local and networked data streams and sensors. The recorded data is processed and analyzed and then stored and presented in various visual output formats. In the aerospace market, the Company has a long history of using its data visualization technologies to provide high-resolution printers for use in airborne applications. Unless otherwise indicated, references to “AstroNova,” the “Company,” “we,” “our,” and “us” in this Quarterly Report on Form 10-Q refer to AstroNova, Inc. and its consolidated subsidiaries. |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jul. 30, 2016 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | (2) Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission, and reflect all adjustments consisting of normal recurring adjustments which, in the opinion of management, are necessary for a fair presentation of the results of the interim periods included herein. These financial statements do not include all disclosures associated with annual financial statements and, accordingly, should be read in conjunction with footnotes contained in the Company’s Annual Report on Form 10-K for the fiscal year ended January 31, 2016. Results of operations for the interim periods presented herein are not necessarily indicative of the results that may be expected for the full year. The presentation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported and disclosed in the condensed consolidated financial statements and accompanying notes. Some of the more significant estimates relate to the allowances for doubtful accounts and credits, inventory valuation, impairment of long-lived assets and goodwill, income taxes, share-based compensation, accrued expenses and warranty reserves. Management’s estimates are based on the facts and circumstances available at the time estimates are made, historical experience, risk of loss, general economic conditions and trends, and management’s assessments of the probable future outcome of these matters. Consequently, actual results could differ from those estimates. Certain amounts in the prior year’s financial statements have been reclassified to conform to the current year’s presentation. |
Principles of Consolidation
Principles of Consolidation | 6 Months Ended |
Jul. 30, 2016 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | (3) Principles of Consolidation The accompanying condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant intercompany accounts and transactions are eliminated in consolidation. |
Acquisition
Acquisition | 6 Months Ended |
Jul. 30, 2016 | |
Business Combinations [Abstract] | |
Acquisition | (4) Acquisition On June 19, 2015, the Company completed the acquisition of the aerospace printer product line for civil and commercial aircraft from Rugged Information Technology Equipment Corporation (RITEC) under the terms of an Asset Purchase Agreement dated June 18, 2015. The products of RITEC consist of aerospace printers for use in commercial aircraft sold primarily to aircraft manufacturers, tier one contractors and directly to airlines around the world. AstroNova’s aerospace printer product line is part of the Test & Measurement (T&M) product group and is reported as part of the T&M segment. The Company began shipment of the RITEC products in the third quarter of fiscal 2016. The purchase price of the acquisition was $7,360,000 which was funded using available cash and investment securities. Of the $7,360,000 purchase price, $750,000 was being held in escrow for twelve months following the acquisition date to support an indemnity to the Company in the event of any breach in the representations, warranties or covenants of RITEC. During this year’s fiscal second quarter, the Company recovered $99,000 of the escrow amount which was recorded as other income in the condensed consolidated statements of income for the three and six months period ended July 30, 2016. The assets acquired from RITEC consist principally of accounts receivable and certain intangible assets. Acquisition related costs of approximately $109,000 were included in the general and administrative expenses in the Company’s consolidated statements of income for fiscal year ended January 31, 2016. The acquisition was accounted for under the acquisition method in accordance with the guidance provided by FASB ASC 805, “Business Combinations.” AstroNova also entered into a Transition Services Agreement, under which RITEC will provide transition services and continue to manufacture products in the acquired product line until the Company transitions the manufacturing to its West Warwick, Rhode Island facility, which the Company anticipates will be completed by the third quarter of fiscal 2017. Upon expiration of the Transition Services Agreement, AstroNova will purchase any inventory held by RITEC at its book value (net of reserves), which the Company estimates will be approximately $200,000. Also as part of the Asset Purchase Agreement, we entered into a 5-year License Agreement, which grants RITEC certain rights to use the intellectual property acquired by the Company in the design, development, marketing, manufacture, sale and servicing of aerospace printers for aircraft sold to the military end-user market and printers sold to other non-aircraft market segments. RITEC will pay royalties equal to 7.5% of the selling price on all products sold into the military end-user aircraft market during the License Agreement period. The purchase price of the acquisition has been allocated on the basis of the fair value as follows: (In thousands) Accounts Receivable $ 50 Identifiable Intangible Assets 3,780 Goodwill 3,530 Total Purchase Price $ 7,360 The fair value of the intangible assets acquired was estimated by applying the income approach. This fair value measurement is based on significant inputs that are not observable in the market and therefore, represent a Level 3 measurement as defined in ASC 820, “Fair Value Measurement and Disclosure,” which requires management judgment due to the absence of quoted market prices. Key assumptions include (1) a weighted average cost of capital of 15.5%; (2) a range of earnings projections from $110,000-$700,000 and (3) a range of contract renewal probability from 30%-100%. Goodwill of $3,530,000, which is deductible for tax purposes, represents the excess of the purchase price over the estimated fair value assigned to the tangible and identifiable intangible assets acquired from RITEC. The carrying amount of the goodwill was allocated to the T&M segment of the Company. The following table reflects the fair value of the acquired identifiable intangible assets and related estimated useful lives: (In thousands) Fair Value Useful Life (Years) Customer Contract Relationships $ 2,830 10 Non-Competition Agreement 950 5 Total $ 3,780 Assuming the acquisition of RITEC occurred on February 1, 2015, the impact on net sales, net income and earnings per share would not have been material to the Company for the period ended August 1, 2015. |
Net Income Per Common Share
Net Income Per Common Share | 6 Months Ended |
Jul. 30, 2016 | |
Earnings Per Share [Abstract] | |
Net Income Per Common Share | (5) Net Income Per Common Share Basic net income per share is calculated by dividing net income by the weighted average number of shares outstanding during the period. Diluted net income per share is calculated by dividing net income by the weighted average number of shares and, if dilutive, common equivalent shares, determined using the treasury stock method for stock options, restricted stock awards and restricted stock units outstanding during the period. A reconciliation of the shares used in calculating basic and diluted net income per share is as follows: Three Months Ended Six Months Ended July 30, 2016 August 1, 2015 July 30, 2016 August 1, 2015 Weighted Average Common Shares Outstanding—Basic 7,418,312 7,278,329 7,388,123 7,268,745 Effect of Dilutive Options, Restricted Stock Awards and Restricted Stock Units 168,300 190,934 172,022 190,676 Weighted Average Common Shares Outstanding—Diluted 7,586,612 7,469,263 7,560,145 7,459,421 For the three and six months ended July 30, 2016 the diluted per share amounts do not reflect common equivalent shares outstanding of 413,121 and 468,121, respectively. For the three and six months ended August 1, 2015 the diluted per share amounts do not reflect common equivalent shares outstanding of 424,100. These outstanding common equivalent shares were not included due to their anti-dilutive effect. Anti-dilutive shares consist of those common stock equivalents that have either an exercise price above the average stock price for the period, or the common stock equivalent’s related average unrecognized stock compensation expense is sufficient to “buy back” the entire amount of shares. Restricted stock units which vest based upon achievement of performance targets are excluded from the diluted shares outstanding unless the performance targets have been met as of the end of the reporting period, regardless of whether such performance targets are probable of achievement as of the end of the measurement period. |
Intangible Assets
Intangible Assets | 6 Months Ended |
Jul. 30, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | (6) Intangible Assets Intangible assets are as follows: July 30, 2016 January 31, 2016 (In thousands) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Miltope: Customer Contract Relationships $ 3,100 $ (933 ) $ 2,167 $ 3,100 $ (758 ) $ 2,342 RITEC: Customer Contract Relationships 2,830 (119 ) 2,711 2,830 (31 ) 2,799 Non-Competition Agreement 950 (206 ) 744 950 (111 ) 839 Intangible Assets, net $ 6,880 $ (1,258 ) $ 5,622 $ 6,880 $ (900 ) $ 5,980 There were no impairments to intangible assets during the three or six months ended July 30, 2016 and August 1, 2015. Amortization expense of $179,000 and $105,000 related to the above acquired intangibles has been included in the condensed consolidated statement of income for the three months ended July 30, 2016 and August 1, 2015, respectively. Amortization expense of $358,000 and $194,000 related to the above acquired intangibles has been included in the condensed consolidated statement of income for the six months ended July 30, 2016 and August 1, 2015, respectively. Estimated amortization expense for the next five years is as follows: (In thousands) 2017 2018 2019 2020 2021 Estimated amortization expense $715 $774 $769 $803 $ 706 |
Share-Based Compensation
Share-Based Compensation | 6 Months Ended |
Jul. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-Based Compensation | (7) Share-Based Compensation AstroNova has two equity incentive plans – the 2007 Equity Incentive Plan (the “2007 Plan”) and the 2015 Equity Incentive Plan (the “2015 Plan”). Under these plans, the Company may grant incentive stock options, non-qualified stock options, stock appreciation rights, time or performance based restricted stock units (RSUs), restricted stock awards (RSAs), and other stock-based awards to executives, key employees, directors and other eligible individuals. At July 30, 2016, 84,813 shares were available for grant under the 2007 Plan, of which 50,000 are reserved for stock options that the Company is obligated to issue to its CEO in fiscal 2018 pursuant to an Equity Incentive Award Agreement dated as of November 24, 2014 (the “CEO Equity Incentive Agreement”). The 2007 Plan will expire in May 2017. The 2015 Plan authorizes the issuance of up to 500,000 shares (subject to adjustment for stock dividends and stock splits) and at July 30, 2016, 159,738 shares were available for grant under the 2015 Plan. The 2015 Plan will expire in May 2025. Options granted to date to employees under both plans vest over four years and expire after ten years. The exercise price of each stock option is established at the discretion of the Compensation Committee; however, any incentive stock options granted under the 2007 Plan, and all options granted under the 2015 Plan, must be issued at an exercise price of not less than the fair market value of the Company’s common stock on the date of grant. Under the plans, each non-employee director receives an automatic annual grant of ten-year options to purchase 5,000 shares of stock upon the adjournment of each annual shareholders meeting. Each such option is exercisable at the fair market value of the Company’s common stock as of the grant date, and vests immediately prior to the next succeeding annual shareholders’ meeting. Accordingly, on May 18, 2016, 30,000 options were issued to the non-employee directors. In addition to the plans, the Company has a Non-Employee Director Annual Compensation Program (the “Program”). Prior to August 1, 2016, this program provided that each non-employee director be entitled to an annual cash retainer of $7,000 (the “Annual Cash Retainer”), plus $500 for each Board and committee meeting attended. In addition, the Chairman of the Board received an annual retainer of $6,000, and the Chairs of the Audit and Compensation Committees each received an annual retainer of $4,000 (“Chair Retainer”). The non-employee directors could elect, for any fiscal year, to receive all or a portion of the Annual Cash Retainer and/or Chair Retainer (collectively the “Cash Retainer”) in the form of common stock of the Company, which was issued under one of the Plans. If a non-employee director elected to receive all or a portion of the Cash Retainer in the form of common stock, such shares were issued in four quarterly installments on the first day of each fiscal quarter, and the number of shares of common stock issued was based on the fair market value of the Company’s common stock on the date such installment was payable. The common stock received in lieu of such Cash Retainer was fully vested upon issuance. However, a non-employee director who received common stock in lieu of all or a portion of the Cash Retainer could not sell, transfer, assign, pledge or otherwise encumber the common stock prior to the first anniversary of the date on which such shares were issued. In the event of the death or disability of a non-employee director, or a change in control of the Company, any shares of common stock issued in lieu of the Cash Retainer would no longer be subject to such restrictions on transfer. During the first and second quarter of fiscal 2017, 567 and 601 shares were awarded to non-employee directors in lieu of the Cash Retainer. In addition, under the Program, each non-employee director received RSAs with a value equal to $20,000 (the “Equity Retainer”) upon the adjournment of each annual shareholders’ meeting. The Equity Retainer vests on the earlier of 12 months after the grant date or the date immediately prior to the next annual meeting of the shareholders following the meeting at which such RSAs were granted. However, a non-employee director could not sell, transfer, assign, pledge or otherwise encumber the vested common stock prior to the second anniversary of the vesting date. In the event of the death or disability of a non-employee director, or a change in control of the Company, the RSAs would immediately vest and would no longer be subject to such restrictions on transfer. During the second quarter of fiscal 2017, 8,262 shares were awarded as the Equity Retainer to the non-employee directors. Effective August 1, 2016, the Non-Employee Director Annual Compensation Program was amended. Under the amended Program, and commencing on the first business day of the third fiscal quarter of fiscal 2017, each non-employee director will receive an automatic grant of RSAs on the first business day of each fiscal quarter. The number of whole shares to be granted each quarter is equal to 25% of the number calculated by dividing the director compensation amount by the fair market value of the Company’s stock on such day. The director annual compensation amount is $55,000 for the remainder of fiscal year 2017, $65,000 for fiscal 2018, and $75,000 for fiscal 2019. In addition, the Chairman of the Board receives RSAs with an aggregate value of $6,000, and the Chairs of the Audit and Compensation Committees each receive RSAs with an aggregate value of $4,000, also issued in quarterly installments and calculated in the same manner as the directors’ RSA grants. RSAs granted pursuant to the amended Program become fully vested on the first anniversary of the date of grant. In April 2013 (fiscal year 2014), the Company granted options and RSUs to officers (“2014 RSUs”). The 2014 RSUs vested as follows: twenty-five percent vested on the third anniversary of the grant date, fifty percent vested upon the Company achieving its cumulative budgeted net sales target for fiscal years 2014 through 2016 (the “Measurement Period”), and twenty-five percent vested upon the Company achieving a target average annual ORONA (operating income return on net assets as calculated under the Domestic Management Bonus Plan) for the Measurement Period. The grantee may not sell, transfer or otherwise dispose of more than fifty percent of the common stock issued upon vesting of the 2014 RSUs until the first anniversary of the vesting date. On February 1, 2014, the Company accelerated the vesting of 4,166 of the 2014 RSUs held by Everett Pizzuti in connection with his retirement. In April 2016, 9,300 of the 2014 RSUs vested, as the Company achieved the targeted average annual ORONA, as defined in the plan, for the Measurement Period and another 9,300 vested as a result of the third year anniversary date of the grant. In March 2015 (fiscal year 2016), the Company granted 50,000 options and 537 RSAs to its CEO pursuant to the CEO Equity Incentive Agreement, and 35,000 options to other key employees. The options and RSAs vest in four equal annual installments commencing on the first anniversary of the grant date. In May 2015 (fiscal year 2016), the Company granted an aggregate of 80,000 time-based and 155,000 performance-based RSUs (“2016 RSUs”) to certain officers of the Company. The time-based 2016 RSUs vest in four equal annual installments commencing on the first anniversary of the grant date. The performance-based 2016 RSUs vest over three years based upon the increase in net sales, if any, achieved each fiscal year relative to a three-year net sales increase goal. Performance-based 2016 RSUs that are earned based on organic revenue growth will be fully vested when earned, while those earned based on revenue growth via acquisitions will vest annually over a three-year period following the fiscal year in which the revenue growth occurs. Any performance-based 2016 RSUs that have not been earned at the end of the three-year performance period will be forfeited. The expense for such shares is recognized in the fiscal year in which the results are achieved, however, the shares are not fully earned until approved by the Compensation Committee in the first quarter of the following fiscal year. Based upon revenue in fiscal 2016, 15,810 of the performance based 2016 RSUs were earned in the first quarter of fiscal 2017. In March 2016 (fiscal year 2017), the Company granted 50,000 options and 4,030 RSAs to its CEO pursuant to the CEO Equity Incentive Agreement. The options and RSAs vest in four equal annual installments commencing on the first anniversary of the grant date. In May 2016, the Company granted 37,000 options to certain key employees. The options vest in four equal installments commencing on the first anniversary of the grant date. We account for compensation cost related to share-based payments based on the estimated fair value of the award. We have estimated the fair value of each option on the date of grant using the Black-Scholes option-pricing model. Our estimate requires a number of complex and subjective assumptions including our stock price volatility, employee exercise patterns (expected life of the options), the risk-free interest rate and the Company’s dividend yield. The stock price volatility assumption is based on the historical weekly price data of our common stock over a period equivalent to the weighted average expected life of our options. Management evaluated whether there were factors during that period which were unusual and would distort the volatility figure if used to estimate future volatility and concluded that there were no such factors. In determining the expected life of the option grants, the Company has observed the actual terms of prior grants with similar characteristics and the actual vesting schedule of the grant and has assessed the expected risk tolerance of different option groups. The risk-free interest rate is based on the actual U.S. Treasury zero coupon rate for bonds matching the expected term of the option as of the option grant date. The dividend assumption is based upon the prior year’s average dividend yield. Our accounting for share-based compensation for RSUs and RSAs is also based on the fair value method. The fair value of the RSUs and RSAs is based on the closing market price of the Company’s common stock on the date of grant. Reductions in compensation expense associated with forfeited awards are estimated at the date of grant, and this estimated forfeiture rate is adjusted periodically based on actual forfeiture experience. Share-based compensation expense was recognized as follows: Three Months Ended Six Months Ended (In thousands) July 30, 2016 August 1, 2015 July 30, 2016 August 1, 2015 Stock Options $ 87 $ 70 $ 168 $ 144 Restricted Stock Awards and Restricted Stock Units 142 228 372 296 Employee Stock Purchase Plan 3 3 6 4 Total $ 232 $ 301 $ 546 $ 444 Stock Options The fair value of stock options granted during the six months ended July 30, 2016 and August 1, 2015 was estimated using the following weighted average assumptions: Six Months Ended July 30, 2016 August 1, 2015 Risk Free Interest Rate 1.4 % 1.6 % Expected Volatility 28.2 % 22.7 % Expected Life (in years) 5.0 5.0 Dividend Yield 1.9 % 2.0 % The weighted average fair value per share for options granted was $2.86 and $3.46 during the first and second quarters of fiscal 2017, respectively, compared to $2.43 and $2.44 during the first and second quarters of fiscal 2016. Aggregated information regarding stock options granted under the plans for the six months ended July 30, 2016 is summarized below: Number of Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life (in Years) Aggregate Intrinsic Value Outstanding at January 31, 2016 657,936 $ 11.00 6.1 $ 3,083,000 Granted 117,000 14.79 Exercised (67,757 ) 8.43 Forfeited (975 ) 13.71 Canceled (3,023 ) 8.98 Outstanding at July 30, 2016 703,181 $ 11.88 6.5 $ 2,807,040 Exercisable at July 30, 2016 437,606 $ 10.64 5.1 $ 2,298,670 As of July 30, 2016, there was approximately $629,000 of unrecognized compensation expense related to stock options which is expected to be recognized over a weighted average period of approximately 2.5 years. Restricted Stock Units (RSUs) and Restricted Stock Awards (RSAs) Aggregated information regarding RSUs and RSAs granted under the Plan for the six months ended July 30, 2016 is summarized below: RSAs & RSUs Weighted Average Grant Date Fair Value Unvested at January 31, 2016 293,088 $ 13.28 Granted 13,460 14.70 Vested (62,632 ) 12.88 Forfeited (18,600 ) 10.07 Unvested at July 30, 2016 225,316 $ 13.75 As of July 30, 2016, there was approximately $1,104,000 of unrecognized compensation expense related to RSUs and RSAs which is expected to be recognized over a weighted average period of 2.4 years. Employee Stock Purchase Plan AstroNova has an Employee Stock Purchase Plan allowing eligible employees to purchase shares of common stock at a 15% discount from fair value on the date of purchase. A total of 247,500 shares were originally reserved for issuance under this plan. During the quarters ended July 30, 2016 and August 1, 2015, there were 1,507 and 1,293 shares, respectively, purchased under this plan. As of July 30, 2016, 48,486 shares remain available. |
Inventories
Inventories | 6 Months Ended |
Jul. 30, 2016 | |
Inventory Disclosure [Abstract] | |
Inventories | (8) Inventories Inventories are stated at the lower of cost (first-in, first-out) or market and include material, labor and manufacturing overhead. The components of inventories are as follows: (In thousands) July 30, 2016 January 31, 2016 Materials and Supplies $ 11,993 $ 10,197 Work-In-Process 1,063 1,025 Finished Goods 9,000 7,491 22,056 18,713 Inventory Reserve (4,490 ) (3,823 ) $ 17,566 $ 14,890 |
Income Taxes
Income Taxes | 6 Months Ended |
Jul. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | (9) Income Taxes The Company’s effective tax rates for the period, which are based on the projected effective tax rate for the full year, are as follows: Three Months Ended Six Months Ended Fiscal 2017 27.7 % 29.6 % Fiscal 2016 37.0 % 32.7 % During the three months ended July 30, 2016, the Company recognized income tax expense of $496,000. The effective tax rate in this period was directly impacted by a $97,000 tax benefit relating to the filing of amended returns and a $39,000 tax benefit related to disqualifying dispositions of Company stock. During the three months ended August 1, 2015, the Company recognized income tax expense of $687,000. During the six months ended July 30, 2016, the Company recognized income tax expense of $972,000. The effective tax rate in this period was directly impacted by a $97,000 tax benefit relating to the filing of amended returns; a $52,000 tax benefit related to the statute of limitations expiring on a previously uncertain tax position and a $39,000 tax benefit related to disqualifying dispositions of Company stock. During the six months ended August 1, 2015, the Company recognized income tax expense of $1,158,000. The effective tax rate in this period was directly impacted by a $135,000 tax benefit related to the statute of limitations expiring on a previously uncertain tax position. As of July 30, 2016, the Company’s cumulative unrecognized tax benefits totaled $578,000 compared to $591,000 as of January 31, 2016. There were no other developments affecting unrecognized tax benefits during the quarter ended July 30, 2016. |
Note Receivable and Line of Cre
Note Receivable and Line of Credit Issued | 6 Months Ended |
Jul. 30, 2016 | |
Receivables [Abstract] | |
Note Receivable and Line of Credit Issued | (10) Note Receivable and Line of Credit Issued On January 30, 2012, the Company completed the sale of its label manufacturing operations in Asheboro, North Carolina to Label Line Ltd. The net sale price of $1,000,000 was received in the form of a promissory note issued by Label Line Ltd. which was secured by a first lien on various collateral, including the Asheboro plant and plant assets. The note bears interest at 3.75% and was payable in sixteen quarterly installments of principal and interest which commenced on January 30, 2013. In February 2016, the balance remaining on this note was paid in full. The terms of the Asheboro sale also included an agreement for AstroNova to provide Label Line Ltd. with additional financing in the form of a revolving line of credit in the amount of $600,000. This line of credit is secured by a first lien on various collateral of Label Line Ltd., including the Asheboro plant and plant assets, and bears interest at a rate equal to the United States prime rate plus an additional margin of two percent on the outstanding credit balance. The term of this revolving line of credit has been extended through January 31, 2017. As of July 30, 2016, $140,000 remains outstanding on this revolving line of credit. |
Segment Information
Segment Information | 6 Months Ended |
Jul. 30, 2016 | |
Segment Reporting [Abstract] | |
Segment Information | (11) Segment Information AstroNova reports two segments: Product Identification (previously the QuickLabel segment) and Test & Measurement (T&M). The Company evaluates segment performance based on the segment profit before corporate expenses. Summarized below are the Net Sales and Segment Operating Profit for each reporting segment: Three Months Ended Six Months Ended Net Sales Segment Operating Profit Net Sales Segment Operating Profit (In thousands) July 30, 2016 August 1, 2015 July 30, 2016 August 1, 2015 July 30, 2016 August 1, 2015 July 30, 2016 August 1, 2015 Product Identification $ 17,628 $ 17,100 $ 2,632 $ 2,720 $ 34,234 $ 32,744 $ 4,628 $ 4,698 T&M 7,711 6,838 1,141 897 15,215 13,400 2,343 1,825 Total $ 25,339 $ 23,938 3,773 3,617 $ 49,449 $ 46,144 6,971 6,523 Corporate Expenses 2,025 1,783 3,676 3,241 Operating Income 1,748 1,834 3,295 3,282 Other Income (Expense)—Net 40 21 (12 ) 254 Income Before Income Taxes 1,788 1,855 3,283 3,536 Income Tax Provision 496 687 972 1,158 Net Income $ 1,292 $ 1,168 $ 2,311 $ 2,378 |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 6 Months Ended |
Jul. 30, 2016 | |
Accounting Changes and Error Corrections [Abstract] | |
Recent Accounting Pronouncements | (12) Recent Accounting Pronouncements Revenue Recognition In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2014-09, “Revenue from Contracts with Customers (Topic 606).” ASU 2014-09 completes the joint effort by the FASB and International Accounting Standards Board to improve financial reporting by creating common revenue recognition guidance for U.S. GAAP and International Financial Reporting Standards. ASU 2014-09 applies to all companies that enter into contracts with customers to transfer goods or services. In August 2015, the FASB modified ASU 2014-09 to be effective for annual reporting periods beginning after December 15, 2017 (Q1 fiscal 2019 for AstroNova), including interim periods within that reporting period. As modified, the FASB permits the adoption of the new revenue standard early, but not before annual periods beginning after December 15, 2016. Entities have the choice to apply ASU 2014-09 either retrospectively to each reporting period presented or by recognizing the cumulative effect of applying ASU 2014-09 at the date of initial application and not adjusting comparative information. In March 2016, the FASB issued ASU 2016-08, “Revenue from Contracts with Customers (Topic 606) –Principal versus Agent Consideration.” In April 2016, the FASB issued ASU 2016-10, “Revenue from Contracts with Customers (Topic 606) -Identifying Performance Obligations and Licensing.” In May 2016, the FASB issued ASU 2016-11, “Revenue from Contracts with Customers (Topic 606) and Derivatives and Hedging (Topic 815) – Rescission of SEC Guidance Because of ASU 2014-09 and 2014-16” and ASU 2016-12, “Revenue from Contracts with Customers (Topic 606) –Narrow Scope Improvements and Practical Expedients.” All of these ASUs do not change the core principle of the guidance in Topic 606 (as amended by ASU 2014-09), but rather provide further guidance to improve the operability and understandability of the implementation guidance included in ASU 2014-09. The effective date for all of these ASUs is the same as the effective date of ASU 2014-09 as amended by ASU 2015-14, for annual reporting periods beginning after December 15, 2017, including interim periods within those years. The Company is currently evaluating the requirements of these ASUs along with ASU 2014-09 and has not yet determined its impact on the Company’s consolidated financial statements. Share-Based Compensation In March 2016, the FASB issued ASU 2016-09, “Compensation – Stock Compensation (Topic 718) – Improvements to Employee Share-Based Payment Accounting.” ASU 2016-09 simplifies several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. For public entities, ASU 2016-09 is effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods (Q1 fiscal 2018 for AstroNova). As permitted by ASU 2016-09, we adopted this guidance prospectively in fiscal 2017. The adoption of this guidance did not have a material effect on the Company’s consolidated financial statements. Leases In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842).” ASU 2016-02 supersedes current guidance related to accounting for leases and is intended to increase transparency and comparability among organizations by requiring lessees to recognize assets and liabilities in the balance sheet for operating leases with lease terms greater than twelve months. The update also requires improved disclosures to help users of financial statements better understand the amount, timing and uncertainty of cash flows arising from leases. ASU 2016-02 will be effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years (Q1 fiscal 2020 for AstroNova), with early adoption permitted. At adoption, this update will be applied using a modified retrospective approach. The Company is currently evaluating the effect of this new guidance on the Company’s consolidated financial statements. Inventory In July 2015, the FASB issued ASU 2015-11, “Inventory (Topic 330).” ASU 2015-11 requires inventory to be measured at the lower of cost and net realizable value instead of at lower of cost or market. This guidance does not apply to inventory that is measured using last-in, first out (LIFO) or the retail inventory method but applies to all other inventory including inventory measured using first-in, first-out (FIFO) or the average cost method. ASU 2015-11 will be effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years (Q1 fiscal 2018 for AstroNova) and should be applied prospectively. Early adoption is permitted as of the beginning of an interim or annual reporting period. AstroNova is currently evaluating the effect of this new guidance on the Company’s consolidated financial statements. No other new accounting pronouncements, issued or effective during the second quarter of the current year, have had or are expected to have a material impact on our consolidated financial statements. |
Securities Available for Sale
Securities Available for Sale | 6 Months Ended |
Jul. 30, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities Available for Sale | (13) Securities Available for Sale Pursuant to our investment policy, securities available for sale include state and municipal securities with various contractual or anticipated maturity dates ranging from 1 to 31 months. Securities available for sale are carried at fair value, with unrealized gains and losses reported as a component of accumulated other comprehensive income (loss) in shareholders’ equity until realized. Realized gains and losses from the sale of available for sale securities, if any, are determined on a specific identification basis. A decline in the fair value of any available for sale security below cost that is determined to be other than temporary will result in a write-down of its carrying amount to fair value. No such impairment charges were recorded for any period presented. All short-term investment securities have original maturities greater than 90 days. The fair value, amortized cost and gross unrealized gains and losses of securities available for sale are as follows: (In thousands) July 30, 2016 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value State and Municipal Obligations $ 8,842 $ 22 $ — $ 8,864 January 31, 2016 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value State and Municipal Obligations $ 10,363 $ 15 $ (2 ) $ 10,376 |
Fair Value
Fair Value | 6 Months Ended |
Jul. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value | (14) Fair Value We measure our financial assets at fair value on a recurring basis in accordance with the guidance provided in ASC 820, “Fair Value Measurement and Disclosures” which defines fair value as 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). In addition, ASC 820 establishes a three-tiered hierarchy for inputs used in management’s determination of fair value of financial instruments that emphasizes the use of observable inputs over the use of unobservable inputs by requiring that observable inputs be used when available. Observable inputs are inputs that reflect management’s belief about the assumptions market participants would use in pricing a financial instrument based on the best information available in the circumstances. The fair value hierarchy is summarized as follows: • Level 1—Quoted prices in active markets for identical assets or liabilities; • Level 2—Inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; and • Level 3—Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Cash and cash equivalents, accounts receivable, accounts payable, line of credit receivable, accrued compensation, other liabilities and accrued expenses and income tax payable are reflected in the condensed consolidated balance sheet at carrying value, which approximates fair value due to the short term nature of the these instruments. Assets measured at fair value on a recurring basis are summarized below: (In thousands) July 30, 2016 Level 1 Level 2 Level 3 Total Money Market Funds (included in Cash and Cash Equivalents) $ 5,910 $ — $ — $ 5,910 State and Municipal Obligations (included in Securities Available for Sale) — 8,864 — 8,864 Total $ 5,910 $ 8,864 $ — $ 14,774 January 31, 2016 Level 1 Level 2 Level 3 Total Money Market Funds (included in Cash and Cash Equivalents) $ 4,340 $ — $ — $ 4,340 State and Municipal Obligations (included in Securities Available for Sale) — 10,376 — 10,376 Total $ 4,340 $ 10,376 $ — $ 14,716 For our money market funds and state and municipal obligations, we utilize the market approach to measure fair value. The market approach is based on using quoted prices for identical or similar assets. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 6 Months Ended |
Jul. 30, 2016 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Loss | (15) Accumulated Other Comprehensive Loss The changes in the balance of accumulated other comprehensive loss by component are as follows: (In thousands) Foreign Currency Translation Adjustments Unrealized Holding Gain on Available for Sale Securities Total Balance at January 31, 2016 $ (983 ) $ 8 $ (975 ) Other Comprehensive Income 134 7 141 Balance at July 30, 2016 $ (849 ) $ 15 $ (834 ) The amounts presented above in other comprehensive income are net of any applicable taxes. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jul. 30, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | (16) Commitments and Contingencies Product Replacement Program In April 2013, tests conducted by the Company revealed that one of its suppliers had been using a non-conforming part in power supplies for certain models of AstroNova’s Test & Measurement printers. No malfunctions have been reported by customers as a result of the non-conforming material. Upon identifying this issue, AstroNova immediately suspended production of the printers, notified all customers and contacted the supplier who confirmed the problem. AstroNova is continuing to work with its customers to replace the non-conforming material on existing printers with conforming material. The estimated costs associated with the replacement program were $672,000, which was based upon the number of printers shipped during the period the non-conforming material was used. Those estimated costs were recognized and recorded as a reserve in the first quarter of fiscal 2014. Since fiscal 2014, the Company has expended a total of $411,000 in replacement costs which have been charged against this reserve. The remaining reserve amount of $261,000 is included in other accrued expenses in the accompanying condensed consolidated balance sheet at July 30, 2016. Since the supplier deviated from the agreed upon specifications for the power supply while providing certificates of conformance to the original specifications, in January 2014, AstroNova received a non-refundable $450,000 settlement from the supplier for recovery of the costs and expense associated with this issue. In addition to this cash settlement, the Company had received lower product prices from the supplier through the first quarter of fiscal 2017. |
Line of Credit
Line of Credit | 6 Months Ended |
Jul. 30, 2016 | |
Debt Disclosure [Abstract] | |
Line of Credit | (17) Line of Credit The Company has a $10 million revolving line of credit available for ongoing working capital requirements, business acquisitions or general corporate purposes as needed. This line of credit is scheduled to expire on August 30, 2017. Any borrowings made under this line of credit bear interest at either a fluctuating base rate equal to the highest of (i) the Prime Rate, (ii) 1.50% above the daily one month LIBOR, and (iii) the Federal Funds Rate in effect plus 1.50% or at a fixed rate of LIBOR plus an agreed upon margin of between 0% and 2.25%, based on the Company’s funded debt to EBITDA ratio as defined in the agreement. In addition, the agreement provides for two financial covenant requirements, namely, Total Funded Debt to Adjusted EBITDA (as defined) of not greater than 3 to 1 and a Fixed Charge Coverage Ratio (as defined) of not less than 1.25 to 1, both measured at the end of each quarter on a rolling four quarter basis. As of July 30, 2016, there have been no borrowings against this line of credit and the Company was in compliance with its financial covenants. |
Recent Accounting Pronounceme24
Recent Accounting Pronouncements (Policies) | 6 Months Ended |
Jul. 30, 2016 | |
Accounting Changes and Error Corrections [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Revenue Recognition In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2014-09, “Revenue from Contracts with Customers (Topic 606).” ASU 2014-09 completes the joint effort by the FASB and International Accounting Standards Board to improve financial reporting by creating common revenue recognition guidance for U.S. GAAP and International Financial Reporting Standards. ASU 2014-09 applies to all companies that enter into contracts with customers to transfer goods or services. In August 2015, the FASB modified ASU 2014-09 to be effective for annual reporting periods beginning after December 15, 2017 (Q1 fiscal 2019 for AstroNova), including interim periods within that reporting period. As modified, the FASB permits the adoption of the new revenue standard early, but not before annual periods beginning after December 15, 2016. Entities have the choice to apply ASU 2014-09 either retrospectively to each reporting period presented or by recognizing the cumulative effect of applying ASU 2014-09 at the date of initial application and not adjusting comparative information. In March 2016, the FASB issued ASU 2016-08, “Revenue from Contracts with Customers (Topic 606) –Principal versus Agent Consideration.” In April 2016, the FASB issued ASU 2016-10, “Revenue from Contracts with Customers (Topic 606) -Identifying Performance Obligations and Licensing.” In May 2016, the FASB issued ASU 2016-11, “Revenue from Contracts with Customers (Topic 606) and Derivatives and Hedging (Topic 815) – Rescission of SEC Guidance Because of ASU 2014-09 and 2014-16” and ASU 2016-12, “Revenue from Contracts with Customers (Topic 606) –Narrow Scope Improvements and Practical Expedients.” All of these ASUs do not change the core principle of the guidance in Topic 606 (as amended by ASU 2014-09), but rather provide further guidance to improve the operability and understandability of the implementation guidance included in ASU 2014-09. The effective date for all of these ASUs is the same as the effective date of ASU 2014-09 as amended by ASU 2015-14, for annual reporting periods beginning after December 15, 2017, including interim periods within those years. The Company is currently evaluating the requirements of these ASUs along with ASU 2014-09 and has not yet determined its impact on the Company’s consolidated financial statements. Share-Based Compensation In March 2016, the FASB issued ASU 2016-09, “Compensation – Stock Compensation (Topic 718) – Improvements to Employee Share-Based Payment Accounting.” ASU 2016-09 simplifies several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. For public entities, ASU 2016-09 is effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods (Q1 fiscal 2018 for AstroNova). As permitted by ASU 2016-09, we adopted this guidance prospectively in fiscal 2017. The adoption of this guidance did not have a material effect on the Company’s consolidated financial statements. Leases In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842).” ASU 2016-02 supersedes current guidance related to accounting for leases and is intended to increase transparency and comparability among organizations by requiring lessees to recognize assets and liabilities in the balance sheet for operating leases with lease terms greater than twelve months. The update also requires improved disclosures to help users of financial statements better understand the amount, timing and uncertainty of cash flows arising from leases. ASU 2016-02 will be effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years (Q1 fiscal 2020 for AstroNova), with early adoption permitted. At adoption, this update will be applied using a modified retrospective approach. The Company is currently evaluating the effect of this new guidance on the Company’s consolidated financial statements. Inventory In July 2015, the FASB issued ASU 2015-11, “Inventory (Topic 330).” ASU 2015-11 requires inventory to be measured at the lower of cost and net realizable value instead of at lower of cost or market. This guidance does not apply to inventory that is measured using last-in, first out (LIFO) or the retail inventory method but applies to all other inventory including inventory measured using first-in, first-out (FIFO) or the average cost method. ASU 2015-11 will be effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years (Q1 fiscal 2018 for AstroNova) and should be applied prospectively. Early adoption is permitted as of the beginning of an interim or annual reporting period. AstroNova is currently evaluating the effect of this new guidance on the Company’s consolidated financial statements. No other new accounting pronouncements, issued or effective during the second quarter of the current year, have had or are expected to have a material impact on our consolidated financial statements. |
Acquisition (Tables)
Acquisition (Tables) - RITEC [Member] | 6 Months Ended |
Jul. 30, 2016 | |
Purchase Price of Acquisition Allocated on Basis of Fair Value | The purchase price of the acquisition has been allocated on the basis of the fair value as follows: (In thousands) Accounts Receivable $ 50 Identifiable Intangible Assets 3,780 Goodwill 3,530 Total Purchase Price $ 7,360 |
Fair Value of the Acquired Identifiable Intangible Assets and Related Estimated Useful Lives | The following table reflects the fair value of the acquired identifiable intangible assets and related estimated useful lives: (In thousands) Fair Value Useful Life (Years) Customer Contract Relationships $ 2,830 10 Non-Competition Agreement 950 5 Total $ 3,780 |
Net Income Per Common Share (Ta
Net Income Per Common Share (Tables) | 6 Months Ended |
Jul. 30, 2016 | |
Earnings Per Share [Abstract] | |
Reconciliation of Shares Used in Calculating Basic and Diluted | A reconciliation of the shares used in calculating basic and diluted net income per share is as follows: Three Months Ended Six Months Ended July 30, 2016 August 1, 2015 July 30, 2016 August 1, 2015 Weighted Average Common Shares Outstanding—Basic 7,418,312 7,278,329 7,388,123 7,268,745 Effect of Dilutive Options, Restricted Stock Awards and Restricted Stock Units 168,300 190,934 172,022 190,676 Weighted Average Common Shares Outstanding—Diluted 7,586,612 7,469,263 7,560,145 7,459,421 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 6 Months Ended |
Jul. 30, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Fair Value of Acquired Identifiable Intangible Assets and Related Estimated Useful Lives | Intangible assets are as follows: July 30, 2016 January 31, 2016 (In thousands) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Miltope: Customer Contract Relationships $ 3,100 $ (933 ) $ 2,167 $ 3,100 $ (758 ) $ 2,342 RITEC: Customer Contract Relationships 2,830 (119 ) 2,711 2,830 (31 ) 2,799 Non-Competition Agreement 950 (206 ) 744 950 (111 ) 839 Intangible Assets, net $ 6,880 $ (1,258 ) $ 5,622 $ 6,880 $ (900 ) $ 5,980 |
Summary of Estimated Amortization Expense | Estimated amortization expense for the next five years is as follows: (In thousands) 2017 2018 2019 2020 2021 Estimated amortization expense $715 $774 $769 $803 $ 706 |
Share-Based Compensation (Table
Share-Based Compensation (Tables) | 6 Months Ended |
Jul. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-Based Compensation Expense | Share-based compensation expense was recognized as follows: Three Months Ended Six Months Ended (In thousands) July 30, 2016 August 1, 2015 July 30, 2016 August 1, 2015 Stock Options $ 87 $ 70 $ 168 $ 144 Restricted Stock Awards and Restricted Stock Units 142 228 372 296 Employee Stock Purchase Plan 3 3 6 4 Total $ 232 $ 301 $ 546 $ 444 |
Fair Value of Stock Options Granted | The fair value of stock options granted during the six months ended July 30, 2016 and August 1, 2015 was estimated using the following weighted average assumptions: Six Months Ended July 30, 2016 August 1, 2015 Risk Free Interest Rate 1.4 % 1.6 % Expected Volatility 28.2 % 22.7 % Expected Life (in years) 5.0 5.0 Dividend Yield 1.9 % 2.0 % |
Aggregated Information Regarding Stock Options Granted | Aggregated information regarding stock options granted under the plans for the six months ended July 30, 2016 is summarized below: Number of Options Weighted Average Exercise Price Weighted Average Remaining Contractual Life (in Years) Aggregate Intrinsic Value Outstanding at January 31, 2016 657,936 $ 11.00 6.1 $ 3,083,000 Granted 117,000 14.79 Exercised (67,757 ) 8.43 Forfeited (975 ) 13.71 Canceled (3,023 ) 8.98 Outstanding at July 30, 2016 703,181 $ 11.88 6.5 $ 2,807,040 Exercisable at July 30, 2016 437,606 $ 10.64 5.1 $ 2,298,670 |
Aggregated Information Regarding RSUs and RSAs Granted | Aggregated information regarding RSUs and RSAs granted under the Plan for the six months ended July 30, 2016 is summarized below: RSAs & RSUs Weighted Average Grant Date Fair Value Unvested at January 31, 2016 293,088 $ 13.28 Granted 13,460 14.70 Vested (62,632 ) 12.88 Forfeited (18,600 ) 10.07 Unvested at July 30, 2016 225,316 $ 13.75 |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Jul. 30, 2016 | |
Inventory Disclosure [Abstract] | |
Components of Inventories | Inventories are stated at the lower of cost (first-in, first-out) or market and include material, labor and manufacturing overhead. The components of inventories are as follows: (In thousands) July 30, 2016 January 31, 2016 Materials and Supplies $ 11,993 $ 10,197 Work-In-Process 1,063 1,025 Finished Goods 9,000 7,491 22,056 18,713 Inventory Reserve (4,490 ) (3,823 ) $ 17,566 $ 14,890 |
Income Taxes (Tables)
Income Taxes (Tables) | 6 Months Ended |
Jul. 30, 2016 | |
Income Tax Disclosure [Abstract] | |
Projected Effective Tax Rate for Periods | The Company’s effective tax rates for the period, which are based on the projected effective tax rate for the full year, are as follows: Three Months Ended Six Months Ended Fiscal 2017 27.7 % 29.6 % Fiscal 2016 37.0 % 32.7 % |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jul. 30, 2016 | |
Segment Reporting [Abstract] | |
Net Sales and Segment Operating Profit for Each Reporting Segment | Summarized below are the Net Sales and Segment Operating Profit for each reporting segment: Three Months Ended Six Months Ended Net Sales Segment Operating Profit Net Sales Segment Operating Profit (In thousands) July 30, 2016 August 1, 2015 July 30, 2016 August 1, 2015 July 30, 2016 August 1, 2015 July 30, 2016 August 1, 2015 Product Identification $ 17,628 $ 17,100 $ 2,632 $ 2,720 $ 34,234 $ 32,744 $ 4,628 $ 4,698 T&M 7,711 6,838 1,141 897 15,215 13,400 2,343 1,825 Total $ 25,339 $ 23,938 3,773 3,617 $ 49,449 $ 46,144 6,971 6,523 Corporate Expenses 2,025 1,783 3,676 3,241 Operating Income 1,748 1,834 3,295 3,282 Other Income (Expense)—Net 40 21 (12 ) 254 Income Before Income Taxes 1,788 1,855 3,283 3,536 Income Tax Provision 496 687 972 1,158 Net Income $ 1,292 $ 1,168 $ 2,311 $ 2,378 |
Securities Available for Sale (
Securities Available for Sale (Tables) | 6 Months Ended |
Jul. 30, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
Fair Value, Amortized Cost and Gross Unrealized Gains and Losses of the Securities | The fair value, amortized cost and gross unrealized gains and losses of securities available for sale are as follows: (In thousands) July 30, 2016 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value State and Municipal Obligations $ 8,842 $ 22 $ — $ 8,864 January 31, 2016 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value State and Municipal Obligations $ 10,363 $ 15 $ (2 ) $ 10,376 |
Fair Value (Tables)
Fair Value (Tables) | 6 Months Ended |
Jul. 30, 2016 | |
Fair Value Disclosures [Abstract] | |
Assets Measured at Fair Value on a Recurring Basis | Assets measured at fair value on a recurring basis are summarized below: (In thousands) July 30, 2016 Level 1 Level 2 Level 3 Total Money Market Funds (included in Cash and Cash Equivalents) $ 5,910 $ — $ — $ 5,910 State and Municipal Obligations (included in Securities Available for Sale) — 8,864 — 8,864 Total $ 5,910 $ 8,864 $ — $ 14,774 January 31, 2016 Level 1 Level 2 Level 3 Total Money Market Funds (included in Cash and Cash Equivalents) $ 4,340 $ — $ — $ 4,340 State and Municipal Obligations (included in Securities Available for Sale) — 10,376 — 10,376 Total $ 4,340 $ 10,376 $ — $ 14,716 |
Accumulated Other Comprehensi34
Accumulated Other Comprehensive Loss (Tables) | 6 Months Ended |
Jul. 30, 2016 | |
Equity [Abstract] | |
Changes in Balance of Accumulated Other Comprehensive Loss | The changes in the balance of accumulated other comprehensive loss by component are as follows: (In thousands) Foreign Currency Translation Adjustments Unrealized Holding Gain on Available for Sale Securities Total Balance at January 31, 2016 $ (983 ) $ 8 $ (975 ) Other Comprehensive Income 134 7 141 Balance at July 30, 2016 $ (849 ) $ 15 $ (834 ) |
Overview - Additional Informati
Overview - Additional Information (Detail) | 6 Months Ended |
Jul. 30, 2016Segments | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of operating segments | 2 |
Acquisition - Additional Inform
Acquisition - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |
Jul. 30, 2016 | Jul. 30, 2016 | Aug. 01, 2015 | Jan. 31, 2016 | |
Business Acquisition [Line Items] | ||||
Purchase price of the acquisition | $ 7,360,000 | |||
Fair value assumptions, Weighted average cost of capital | 15.50% | |||
Fair value key assumptions | Key assumptions include (1) a weighted average cost of capital of 15.5%; (2) a range of earnings projections from $110,000-$700,000 and (3) a range of contract renewal probability from 30%-100%. | |||
Minimum [Member] | ||||
Business Acquisition [Line Items] | ||||
Fair value assumptions, Earnings projections | $ 110,000 | |||
Fair value assumptions, Contract renewal probability | 30.00% | |||
Maximum [Member] | ||||
Business Acquisition [Line Items] | ||||
Fair value assumptions, Earnings projections | $ 700,000 | |||
Fair value assumptions, Contract renewal probability | 100.00% | |||
RITEC [Member] | ||||
Business Acquisition [Line Items] | ||||
Completion date of acquisition | Jun. 19, 2015 | |||
Date of asset purchase agreement | Jun. 18, 2015 | |||
Purchase price of the acquisition | $ 7,360,000 | |||
Amount held in escrow related to business acquisition | $ 750,000 | $ 750,000 | ||
Duration of escrow deposits | 12 months | |||
Escrow amount recovered | 99,000 | $ 99,000 | ||
General and administrative expenses | $ 109,000 | |||
Estimated inventory purchase | 200,000 | $ 200,000 | ||
Percentage of royalties on sale price of products | 7.50% | |||
Initial royalty payment period | 5 years | |||
License agreement, Amortization period | 5 years | |||
Goodwill deductible for tax purposes | $ 3,530,000 | $ 3,530,000 |
Acquisition - Purchase Price of
Acquisition - Purchase Price of Acquisition Allocated on Basis of Fair Value (Detail) - USD ($) $ in Thousands | Jul. 30, 2016 | Jan. 31, 2016 | Jun. 19, 2015 |
Business Acquisition [Line Items] | |||
Goodwill | $ 4,521 | $ 4,521 | |
RITEC [Member] | |||
Business Acquisition [Line Items] | |||
Accounts Receivable | $ 50 | ||
Identifiable Intangible Assets | $ 3,780 | 3,780 | |
Goodwill | 3,530 | ||
Total Purchase Price | $ 7,360 |
Acquisition - Fair Value of the
Acquisition - Fair Value of the Acquired Identifiable Intangible Assets and Related Estimated Useful Lives (Detail) - RITEC [Member] - USD ($) $ in Thousands | 6 Months Ended | |
Jul. 30, 2016 | Jun. 19, 2015 | |
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Fair Value | $ 3,780 | $ 3,780 |
Customer Contract Relationships [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Fair Value | $ 2,830 | |
Useful Life | 10 years | |
Non-Competition Agreement [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Fair Value | $ 950 | |
Useful Life | 5 years |
Net Income Per Common Share - R
Net Income Per Common Share - Reconciliation of Shares Used in Calculating Basic and Diluted (Detail) - shares | 3 Months Ended | 6 Months Ended | ||
Jul. 30, 2016 | Aug. 01, 2015 | Jul. 30, 2016 | Aug. 01, 2015 | |
Earnings Per Share [Abstract] | ||||
Weighted Average Common Shares Outstanding-Basic | 7,418,000 | 7,278,000 | 7,388,000 | 7,269,000 |
Effect of Dilutive Options, Restricted Stock Awards and Restricted Stock Units | 168,300 | 190,934 | 172,022 | 190,676 |
Weighted Average Common Shares Outstanding-Diluted | 7,587,000 | 7,469,000 | 7,560,000 | 7,459,000 |
Net Income Per Common Share - A
Net Income Per Common Share - Additional Information (Detail) - shares | 3 Months Ended | 6 Months Ended | ||
Jul. 30, 2016 | Aug. 01, 2015 | Jul. 30, 2016 | Aug. 01, 2015 | |
Earnings Per Share [Abstract] | ||||
Number of common equivalent shares | 413,121 | 424,100 | 468,121 | 424,100 |
Intangible Assets - Fair Value
Intangible Assets - Fair Value of Acquired Identifiable Intangible Assets and Related Estimated Useful Lives (Detail) - USD ($) $ in Thousands | Jul. 30, 2016 | Jan. 31, 2016 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 6,880 | $ 6,880 |
Accumulated Amortization | (1,258) | (900) |
Net Carrying Amount | 5,622 | 5,980 |
Customer Contract Relationships [Member] | Miltope [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 3,100 | 3,100 |
Accumulated Amortization | (933) | (758) |
Net Carrying Amount | 2,167 | 2,342 |
Customer Contract Relationships [Member] | RITEC [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 2,830 | 2,830 |
Accumulated Amortization | (119) | (31) |
Net Carrying Amount | 2,711 | 2,799 |
Non-Competition Agreement [Member] | RITEC [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 950 | 950 |
Accumulated Amortization | (206) | (111) |
Net Carrying Amount | $ 744 | $ 839 |
Intangible Assets - Summary of
Intangible Assets - Summary of Estimated Amortization Expense (Detail) $ in Thousands | Jul. 30, 2016USD ($) |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |
2,017 | $ 715 |
2,018 | 774 |
2,019 | 769 |
2,020 | 803 |
2,021 | $ 706 |
Intangible Assets - Additional
Intangible Assets - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jul. 30, 2016 | Aug. 01, 2015 | Jul. 30, 2016 | Aug. 01, 2015 | |
Impairment of Intangible Assets (Excluding Goodwill) [Abstract] | ||||
Impairments of intangible assets | $ 0 | $ 0 | $ 0 | $ 0 |
Amortization expense | $ 179,000 | $ 105,000 | $ 358,000 | $ 194,000 |
Share-Based Compensation - Addi
Share-Based Compensation - Additional Information (Detail) | Aug. 01, 2016USD ($) | May 18, 2016shares | Feb. 01, 2014shares | May 31, 2016Installmentshares | Mar. 31, 2016Installmentshares | May 31, 2015Installmentshares | Mar. 31, 2015Installmentshares | Jul. 30, 2016USD ($)$ / sharesshares | Apr. 30, 2016$ / sharesshares | Aug. 01, 2015USD ($)$ / sharesshares | May 02, 2015$ / shares | Jul. 30, 2016USD ($)Equity_Planshares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of equity incentive plan | Equity_Plan | 2 | |||||||||||
Number of options, granted | 117,000 | |||||||||||
Non-employee director is entitled to an annual cash retainer | $ | $ 7,000 | |||||||||||
Non-employee director received restricted stock award value | $ | $ 20,000 | |||||||||||
Non-employee director received restricted stock award shares | 8,262 | |||||||||||
Maximum disposal restricted percentage of RSU | 50.00% | |||||||||||
Options granted weighted average fair value per share | $ / shares | $ 3.46 | $ 2.86 | $ 2.44 | $ 2.43 | ||||||||
Reservation of shares under Stock Purchase Plan | 247,500 | |||||||||||
2007 Equity Incentive Plan [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Incentive plan, expiration period | 2017-05 | |||||||||||
Shares available for grant under the Plan | 84,813 | 84,813 | ||||||||||
2015 Equity Incentive Plan [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Incentive plan, expiration period | 2025-05 | |||||||||||
Shares available for grant under the Plan | 159,738 | 159,738 | ||||||||||
Employee Stock Purchase Plan [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Shares available for grant under the Plan | 48,486 | 48,486 | ||||||||||
Employee Stock Purchase Plan discount rate | 15.00% | |||||||||||
Shares purchase under Employee Stock Purchase Plan | 1,507 | 1,293 | ||||||||||
Maximum [Member] | 2015 Equity Incentive Plan [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Maximum number of shares of common stock of the Company authorized for issuance | 500,000 | 500,000 | ||||||||||
Chief Executive Officer [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of options, granted | 50,000 | 50,000 | ||||||||||
Chief Executive Officer [Member] | 2007 Equity Incentive Plan [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Shares available for grant under the Plan | 50,000 | 50,000 | ||||||||||
Non-Employee Director [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Non-employee director is entitled to an annual cash retainer additional | $ | $ 500 | |||||||||||
Chairman of Board [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Amount of Chair Retainer payable | $ | 6,000 | |||||||||||
Chair of Audit Committee [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Amount of Chair Retainer payable | $ | 4,000 | |||||||||||
Chair of Compensation Committee [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Amount of Chair Retainer payable | $ | $ 4,000 | |||||||||||
Other Key Employees [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of options, granted | 35,000 | |||||||||||
Certain Key Employees [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of options, granted | 37,000 | |||||||||||
Stock Options [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of annual vesting installments | Installment | 4 | |||||||||||
Unrecognized compensation expense related to options | $ | $ 629,000 | $ 629,000 | ||||||||||
Unrecognized compensation expense to be recognized, Weighted average period | 2 years 6 months | |||||||||||
Stock Options [Member] | 2007 Equity Incentive Plan [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Award vesting period | 4 years | |||||||||||
Option expiration period | 10 years | |||||||||||
Stock Options [Member] | 2015 Equity Incentive Plan [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Award vesting period | 4 years | |||||||||||
Option expiration period | 10 years | |||||||||||
Equity Incentive Plan [Member] | Non-Employee Director [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Option expiration period | 10 years | |||||||||||
Number of options, granted | 30,000 | 5,000 | ||||||||||
Number of stock options grant to each non-employee director | 601 | 567 | ||||||||||
RSA [Member] | Chief Executive Officer [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Restricted stocks, granted | 4,030 | 537 | ||||||||||
RSA [Member] | Non-Employee Director [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Award vesting period | 12 months | |||||||||||
Restricted Stock And Stock Option [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of annual vesting installments | Installment | 4 | 4 | ||||||||||
2014 Restricted Stock Units (RSUs) [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of accelerated vesting shares | 4,166 | |||||||||||
Number of vesting shares | 9,300 | |||||||||||
Unrecognized compensation expense to be recognized, Weighted average period | 2 years 4 months 24 days | |||||||||||
Unrecognized compensation expense related to RSUs and RSAs | $ | $ 1,104,000 | $ 1,104,000 | ||||||||||
2014 Restricted Stock Units (RSUs) [Member] | Third Anniversary [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of vesting shares | 9,300 | |||||||||||
2014 Restricted Stock Units (RSUs) [Member] | Officer [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Cumulative budgeted net sales target measurement period | 2014 through 2016 | |||||||||||
2014 Restricted Stock Units (RSUs) [Member] | Officer [Member] | Net Sales Target [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Restricted stock unit vested percentage | 50.00% | |||||||||||
2014 Restricted Stock Units (RSUs) [Member] | Officer [Member] | ORONA Target [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Restricted stock unit vested percentage | 25.00% | |||||||||||
2014 Restricted Stock Units (RSUs) [Member] | Officer [Member] | Third Anniversary [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Restricted stock unit vested percentage | 25.00% | |||||||||||
Time Based RSUs [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Restricted stocks, granted | 80,000 | |||||||||||
Number of annual vesting installments | Installment | 4 | |||||||||||
Performance Based RSUs [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Award vesting period | 3 years | |||||||||||
Restricted stocks, granted | 155,000 | |||||||||||
Performance Based Restricted Stock Units RSUs [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Number of vesting shares | 15,810 | |||||||||||
Subsequent Event [Member] | Non-Employee Director [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Granting percentage of shares | 25.00% | |||||||||||
Director compensation amount, remainder of fiscal 2017 | $ | $ 55,000 | |||||||||||
Director compensation amount, fiscal 2018 | $ | 65,000 | |||||||||||
Director compensation amount, fiscal 2019 | $ | 75,000 | |||||||||||
Subsequent Event [Member] | Chairman of Board [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Non-employee director received restricted stock award value | $ | 6,000 | |||||||||||
Subsequent Event [Member] | Chairs of Audit and Compensation Committees [Member] | ||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||||||||
Non-employee director received restricted stock award value | $ | $ 4,000 |
Share-Based Compensation - Shar
Share-Based Compensation - Share-Based Compensation Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 30, 2016 | Aug. 01, 2015 | Jul. 30, 2016 | Aug. 01, 2015 | |
Share-based Compensation [Abstract] | ||||
Stock Options | $ 87 | $ 70 | $ 168 | $ 144 |
Restricted Stock Awards and Restricted Stock Units | 142 | 228 | 372 | 296 |
Employee Stock Purchase Plan | 3 | 3 | 6 | 4 |
Total | $ 232 | $ 301 | $ 546 | $ 444 |
Share-Based Compensation - Fair
Share-Based Compensation - Fair Value of Stock Options Granted (Detail) | 6 Months Ended | |
Jul. 30, 2016 | Aug. 01, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||
Risk Free Interest Rate | 1.40% | 1.60% |
Expected Volatility | 28.20% | 22.70% |
Expected Life (in years) | 5 years | 5 years |
Dividend Yield | 1.90% | 2.00% |
Share-Based Compensation - Aggr
Share-Based Compensation - Aggregated Information Regarding Stock Options Granted (Detail) - USD ($) | 6 Months Ended | 12 Months Ended |
Jul. 30, 2016 | Jan. 31, 2016 | |
Share-based Compensation [Abstract] | ||
Beginning balance, Number of Options | 657,936 | |
Granted, Number of Options | 117,000 | |
Exercised, Number of Options | (67,757) | |
Forfeited, Number of Options | (975) | |
Canceled, Number of Options | (3,023) | |
Ending balance, Number of Options | 703,181 | 657,936 |
Exercisable, Number of Options | 437,606 | |
Beginning balance, Weighted Average Exercise Price | $ 11 | |
Granted, Weighted Average Exercise Price | 14.79 | |
Exercised, Weighted Average Exercise Price | 8.43 | |
Forfeited, Weighted Average Exercise Price | 13.71 | |
Canceled, Weighted Average Exercise Price | 8.98 | |
Ending balance, Weighted Average Exercise Price | 11.88 | $ 11 |
Exercisable, Weighted Average Exercise Price | $ 10.64 | |
Weighted Average Remaining Contractual Life (in Years) | 6 years 6 months | 6 years 1 month 6 days |
Exercisable, Weighted Average Remaining Contractual Life (in Years) | 5 years 1 month 6 days | |
Beginning balance, Aggregated Intrinsic Value | $ 3,083,000 | |
Ending balance, Aggregated Intrinsic Value | 2,807,040 | $ 3,083,000 |
Exercisable, Aggregate Intrinsic Value | $ 2,298,670 |
Share-Based Compensation - Ag48
Share-Based Compensation - Aggregated Information Regarding RSUs and RSAs Granted (Detail) - Restricted Stock Award And Restricted Stock Unit [Member] | 6 Months Ended |
Jul. 30, 2016$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Beginning balance, Outstanding Restricted Stock Units and Restricted Stock Awards | shares | 293,088 |
Granted, Restricted Stock Units and Restricted Stock Awards | shares | 13,460 |
Vested, Restricted Stock Units and Restricted Stock Awards | shares | (62,632) |
Forfeited, Restricted Stock Units and Restricted Stock Awards | shares | (18,600) |
Ending balance, Outstanding Restricted Stock Units and Restricted Stock Awards | shares | 225,316 |
Beginning balance, Weighted Average Grant Date Fair Value | $ / shares | $ 13.28 |
Granted, Weighted Average Grant Date Fair Value | $ / shares | 14.70 |
Vested, Weighted Average Grant Date Fair Value | $ / shares | 12.88 |
Forfeited, Weighted Average Grant Date Fair Value | $ / shares | 10.07 |
Ending balance, Weighted Average Grant Date Fair Value | $ / shares | $ 13.75 |
Inventories - Components of Inv
Inventories - Components of Inventories (Detail) - USD ($) $ in Thousands | Jul. 30, 2016 | Jan. 31, 2016 |
Inventory Disclosure [Abstract] | ||
Materials and Supplies | $ 11,993 | $ 10,197 |
Work-In-Process | 1,063 | 1,025 |
Finished Goods | 9,000 | 7,491 |
Inventory, Gross | 22,056 | 18,713 |
Inventory Reserve | (4,490) | (3,823) |
Inventories | $ 17,566 | $ 14,890 |
Income Taxes - Projected Effect
Income Taxes - Projected Effective Tax Rate for Periods (Detail) | 3 Months Ended | 6 Months Ended | ||
Jul. 30, 2016 | Aug. 01, 2015 | Jul. 30, 2016 | Aug. 01, 2015 | |
Income Tax Disclosure [Abstract] | ||||
Effective tax rates for income from continuing operations | 27.70% | 37.00% | 29.60% | 32.70% |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jul. 30, 2016 | Aug. 01, 2015 | Jul. 30, 2016 | Aug. 01, 2015 | Jan. 31, 2016 | |
Income Tax Disclosure [Abstract] | |||||
Income tax expense | $ 496,000 | $ 687,000 | $ 972,000 | $ 1,158,000 | |
Income tax benefit from filing of amended return | 97,000 | 97,000 | |||
Income tax benefit from disqualifying dispositions of stock | 39,000 | 39,000 | |||
Income tax benefit from expiration of the statue of limitations | 52,000 | $ 135,000 | |||
Cumulative unrecognized tax benefits | 578,000 | $ 578,000 | $ 591,000 | ||
Developments affecting unrecognized tax benefits | $ 0 |
Note Receivable and Line of C52
Note Receivable and Line of Credit Issued - Additional Information (Detail) | Jan. 30, 2012USD ($) | Jul. 30, 2016USD ($)Installment | Jan. 31, 2016USD ($) |
Receivables [Abstract] | |||
Net sale price | $ 1,000,000 | ||
Promissory note interest rate | 3.75% | ||
Interest commencement date | Jan. 30, 2013 | ||
Interest installments | Installment | 16 | ||
Revolving line of credit issued maximum | $ 600,000 | ||
Interest rate on outstanding credit balance | 2.00% | ||
Line of credit facility maturity date | Jan. 31, 2017 | ||
Extended revolving line of credit | $ 140,000 | $ 150,000 |
Segment Information - Net Sales
Segment Information - Net Sales and Segment Operating Profit for Each Reporting Segment (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jul. 30, 2016 | Aug. 01, 2015 | Jul. 30, 2016 | Aug. 01, 2015 | |
Segment Reporting Information [Line Items] | ||||
Net Sales | $ 25,339 | $ 23,938 | $ 49,449 | $ 46,144 |
Corporate Expenses | 2,025 | 1,783 | 3,676 | 3,241 |
Operating Income | 1,748 | 1,834 | 3,295 | 3,282 |
Other Income (Expense)-Net | 40 | 21 | (12) | 254 |
Income Before Income Taxes | 1,788 | 1,855 | 3,283 | 3,536 |
Income Tax Provision | 496 | 687 | 972 | 1,158 |
Net Income | 1,292 | 1,168 | 2,311 | 2,378 |
Operating Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Operating Income | 3,773 | 3,617 | 6,971 | 6,523 |
Operating Segments [Member] | Product Identification [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 17,628 | 17,100 | 34,234 | 32,744 |
Operating Income | 2,632 | 2,720 | 4,628 | 4,698 |
Operating Segments [Member] | T&M [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 7,711 | 6,838 | 15,215 | 13,400 |
Operating Income | $ 1,141 | $ 897 | $ 2,343 | $ 1,825 |
Securities Available for Sale -
Securities Available for Sale - Additional Information (Detail) | 6 Months Ended |
Jul. 30, 2016USD ($) | |
Schedule of Available-for-sale Securities [Line Items] | |
Impairment charges on available for sale security | $ 0 |
Minimum [Member] | |
Schedule of Available-for-sale Securities [Line Items] | |
Original maturity of short-term investments | 90 days |
Anticipated maturity period | 1 month |
Maximum [Member] | |
Schedule of Available-for-sale Securities [Line Items] | |
Anticipated maturity period | 31 months |
Securities Available for Sale55
Securities Available for Sale - Fair Value, Amortized Cost and Gross Unrealized Gains and Losses of the Securities (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jul. 30, 2016 | Jan. 31, 2016 | |
Schedule of Available-for-sale Securities [Line Items] | ||
Fair Value | $ 8,864 | $ 10,376 |
State and Municipal Obligations [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 8,842 | 10,363 |
Gross Unrealized Gains | 22 | 15 |
Gross Unrealized Losses | (2) | |
Fair Value | $ 8,864 | $ 10,376 |
Fair Value Measurements - Asset
Fair Value Measurements - Assets Measured at Fair Value on a Recurring Basis (Detail) - USD ($) $ in Thousands | Jul. 30, 2016 | Jan. 31, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Money Market Funds (included in Cash and Cash Equivalents) | $ 5,910 | $ 4,340 |
State and Municipal Obligations (included in Securities Available for Sale) | 8,864 | 10,376 |
Total | 14,774 | 14,716 |
Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Money Market Funds (included in Cash and Cash Equivalents) | 5,910 | 4,340 |
Total | 5,910 | 4,340 |
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
State and Municipal Obligations (included in Securities Available for Sale) | 8,864 | 10,376 |
Total | $ 8,864 | $ 10,376 |
Accumulated Other Comprehensi57
Accumulated Other Comprehensive Loss - Changes in Balance of Accumulated Other Comprehensive Loss (Detail) $ in Thousands | 6 Months Ended |
Jul. 30, 2016USD ($) | |
Schedule of Capitalization, Equity [Line Items] | |
Beginning Balance | $ (975) |
Other Comprehensive Income | 141 |
Ending Balance | (834) |
Foreign Currency Translation Adjustments [Member] | |
Schedule of Capitalization, Equity [Line Items] | |
Beginning Balance | (983) |
Other Comprehensive Income | 134 |
Ending Balance | (849) |
Unrealized Holding Gain (Loss) on Available for Sale Securities [Member] | |
Schedule of Capitalization, Equity [Line Items] | |
Beginning Balance | 8 |
Other Comprehensive Income | 7 |
Ending Balance | $ 15 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended |
Jan. 31, 2014 | May 04, 2013 | Jul. 30, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |||
Estimated replacement cost | $ 672,000 | ||
Replacement cost charged against reserve | $ 411,000 | ||
Other accrued expenses | $ 261,000 | ||
Amount received from supplier for recovery | $ 450,000 | ||
Lower product prices period | Through fiscal 2017 |
Line of Credit - Additional Inf
Line of Credit - Additional Information (Detail) | 6 Months Ended |
Jul. 30, 2016USD ($) | |
Line of Credit Facility [Line Items] | |
Revolving line of credit | $ 10,000,000 |
Line of credit, interest rate description | Any borrowings made under this line of credit bear interest at either a fluctuating base rate equal to the highest of (i) the Prime Rate, (ii) 1.50% above the daily one month LIBOR, and (iii) the Federal Funds Rate in effect plus 1.50% or at a fixed rate of LIBOR plus an agreed upon margin of between 0% and 2.25%, based on the Company's funded debt to EBITDA ratio as defined in the agreement. |
Borrowings against new line of credit | $ 0 |
Fixed Charge Coverage Ratio | 300.00% |
Funded debt to adjusted EBITDA ratio | 125.00% |
Line of credit expire date | Jan. 31, 2017 |
London Interbank Offered Rate (LIBOR) [Member] | |
Line of Credit Facility [Line Items] | |
Percentage above rate | 1.50% |
London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | |
Line of Credit Facility [Line Items] | |
Percentage above rate | 0.00% |
London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | |
Line of Credit Facility [Line Items] | |
Percentage above rate | 2.25% |
Federal Funds Effective Swap Rate [Member] | |
Line of Credit Facility [Line Items] | |
Percentage above rate | 1.50% |
Revolving Credit Facility [Member] | |
Line of Credit Facility [Line Items] | |
Line of credit expire date | Aug. 30, 2017 |