Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2019 | Apr. 30, 2019 | Sep. 28, 2018 | |
Document and Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Mar. 31, 2019 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Entity Registrant Name | MULTI COLOR Corp | ||
Entity Central Index Key | 0000819220 | ||
Current Fiscal Year End Date | --03-31 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Public Float | $ 874 | ||
Trading Symbol | LABL | ||
Entity Common Stock, Shares Outstanding | 20,543,353 | ||
Entity Shell Company | false | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | false |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Income Statement [Abstract] | |||
Net revenues | $ 1,725,554 | $ 1,300,912 | $ 923,295 |
Cost of revenues | 1,403,634 | 1,054,312 | 726,486 |
Gross profit | 321,920 | 246,600 | 196,809 |
Selling, general and administrative expenses | 160,710 | 129,601 | 84,922 |
Facility closure expenses | 711 | 1,419 | 921 |
Goodwill Impairment | 99,155 | 0 | 0 |
Operating income | 61,344 | 115,580 | 110,966 |
Interest expense | 75,399 | 54,027 | 25,488 |
Other (income) expense, net | 2,280 | 7,851 | (2,735) |
Income (loss) before income taxes | (16,335) | 53,702 | 88,213 |
Income tax expense (benefit) | 12,332 | (18,195) | 26,848 |
Net income (loss) | (28,667) | 71,897 | 61,365 |
Less: Net income (loss) attributable to noncontrolling interests | 374 | (54) | 369 |
Net income (loss) attributable to Multi-Color Corporation | $ (29,041) | $ 71,951 | $ 60,996 |
Weighted average shares and equivalents outstanding: | |||
Basic | 20,468 | 18,421 | 16,879 |
Diluted | 20,468 | 18,583 | 17,024 |
Basic earnings (loss) per common share | $ (1.42) | $ 3.91 | $ 3.61 |
Diluted earnings (loss) per common share | (1.42) | 3.87 | 3.58 |
Dividends per common share | $ 0.20 | $ 0.20 | $ 0.20 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 12 Months Ended | |||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | ||
Statement of Comprehensive Income [Abstract] | ||||
Net income (loss) | $ (28,667) | $ 71,897 | $ 61,365 | |
Other comprehensive income (loss): | ||||
Unrealized foreign currency translation gain (loss) | [1] | (136,726) | 93,892 | (25,254) |
Unrealized gain (loss) on derivative contracts, net of tax | [2] | 29,907 | (25,408) | 196 |
Change in minimum pension liability, net of tax | [3] | (28) | 34 | 174 |
Total other comprehensive income (loss) | (106,847) | 68,518 | (24,884) | |
Comprehensive income (loss) | (135,514) | 140,415 | 36,481 | |
Less: Comprehensive income (loss) attributable to noncontrolling interests | (1,298) | 1,686 | 157 | |
Comprehensive income (loss) attributable to Multi-Color Corporation | $ (134,216) | $ 138,729 | $ 36,324 | |
[1] | The amount for the years ended March 31, 2019, 2018 and 2017 includes a tax impact of $262, $(654) and $284, respectively, related to the settlement of foreign currency denominated intercompany loans. | |||
[2] | Amounts are net of tax of $(10,026), $10,423 and $(133) for the years ended March 31, 2019, 2018 and 2017, respectively. | |||
[3] | Amounts are net of tax of $9, $(21) and $(108) for the years ended March 31, 2019, 2018 and 2017, respectively. |
CONSOLIDATED STATEMENTS OF CO_2
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Statement of Comprehensive Income [Abstract] | |||
Unrealized foreign currency translation gain (loss), tax impact related to settlement of foreign currency denominated intercompany loans | $ 262 | $ (654) | $ 284 |
Unrealized gain (loss) on interest rate swaps, tax | 10,026 | 10,423 | (133) |
Additional minimum pension liability adjustment, tax | $ 9 | $ (21) | $ (108) |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 57,762 | $ 67,708 |
Accounts receivable, net | 300,945 | 306,542 |
Other receivables | 23,845 | 16,589 |
Inventories, net | 144,235 | 167,950 |
Prepaid expenses | 29,263 | 24,926 |
Other current assets | 40,769 | 17,468 |
Total current assets | 596,819 | 601,183 |
Property, plant and equipment, net | 528,077 | 510,002 |
Goodwill | 978,544 | 1,196,634 |
Intangible assets, net | 538,196 | 580,233 |
Other non-current assets | 6,755 | 12,097 |
Deferred income tax assets | 4,081 | 2,827 |
Total assets | 2,652,472 | 2,902,976 |
Current liabilities: | ||
Current portion of long-term debt | 23,059 | 20,864 |
Accounts payable | 197,899 | 192,341 |
Accrued expenses and other liabilities | 94,739 | 114,022 |
Total current liabilities | 315,697 | 327,227 |
Long-term debt | 1,514,294 | 1,577,821 |
Deferred income tax liabilities | 160,017 | 149,950 |
Other liabilities | 33,761 | 87,605 |
Total liabilities | 2,023,769 | 2,142,603 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Preferred stock, no par value, 1,000 shares authorized, no shares outstanding | 0 | 0 |
Common stock, no par value, stated value of $0.10 per share; 40,000 shares authorized, 20,860 and 20,753 shares issued at March 31, 2019 and 2018, respectively | 1,411 | 1,403 |
Paid-in capital | 406,846 | 402,252 |
Treasury stock, 317 and 307 shares at cost at March 31, 2019 and 2018, respectively | (12,079) | (11,528) |
Retained earnings | 355,973 | 384,671 |
Accumulated other comprehensive loss | (126,166) | (19,241) |
Total stockholders' equity attributable to Multi-Color Corporation | 625,985 | 757,557 |
Noncontrolling interests | 2,718 | 2,816 |
Total stockholders' equity | 628,703 | 760,373 |
Total liabilities and stockholders' equity | $ 2,652,472 | $ 2,902,976 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Mar. 31, 2019 | Mar. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Preferred stock, no par value | ||
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, no par value | ||
Common stock, stated value per share | $ 0.10 | $ 0.10 |
Common stock, shares authorized | 40,000,000 | 40,000,000 |
Common stock, shares issued | 20,860,000 | 20,753,000 |
Treasury stock, shares | 317,000 | 307,000 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock | Paid-In Capital | Treasury Stock | Retained Earnings | Accumulated Other Comprehensive Loss | Noncontrolling Interests |
Balance at Mar. 31, 2016 | $ 342,632 | $ 1,040 | $ 150,783 | $ (10,556) | $ 258,848 | $ (61,123) | $ 3,640 |
Balance, shares at Mar. 31, 2016 | 17,111 | ||||||
Net income (loss) | 61,365 | 60,996 | 369 | ||||
Other comprehensive income (loss) | (24,884) | (24,672) | (212) | ||||
Acquisitions | 62 | 62 | |||||
Issuance of common stock | 3,352 | $ 14 | 3,338 | ||||
Issuance of common stock, shares | 136 | ||||||
Excess tax benefit from stock-based compensation | 1,258 | 1,258 | |||||
Restricted stock grant | 0 | ||||||
Restricted stock grant, shares | 8 | ||||||
Restricted stock forfeitures | 0 | ||||||
Restricted stock forfeitures, shares | (1) | ||||||
Stock-based compensation | 3,042 | 3,042 | |||||
Shares acquired under employee plans | (612) | (612) | |||||
Common stock dividends | (3,383) | (3,383) | |||||
Acquisition of noncontrolling interest | (514) | (22) | (492) | ||||
Dividends paid to noncontrolling interests | (498) | (498) | |||||
Balance at Mar. 31, 2017 | 381,820 | $ 1,054 | 158,399 | (11,168) | 316,461 | (85,795) | 2,869 |
Balance, shares at Mar. 31, 2017 | 17,254 | ||||||
Net income (loss) | 71,897 | 71,951 | (54) | ||||
Other comprehensive income (loss) | 68,518 | 66,778 | 1,740 | ||||
Constantia Labels acquisition | 238,920 | $ 338 | 237,482 | 1,100 | |||
Constantia Labels acquisition, shares | 3,383 | ||||||
Issuance of common stock | 2,926 | $ 11 | 2,915 | ||||
Issuance of common stock, shares | 110 | ||||||
Restricted stock grant | 0 | ||||||
Restricted stock grant, shares | 9 | ||||||
Restricted stock forfeitures | 0 | ||||||
Restricted stock forfeitures, shares | (3) | ||||||
Stock-based compensation | 3,456 | 3,456 | |||||
Shares acquired under employee plans | (360) | (360) | |||||
Common stock dividends | (3,741) | (3,741) | |||||
Sale of Southeast Asian durables business | (2,715) | (231) | (2,484) | ||||
Acquisition of noncontrolling interest | (69) | 7 | (76) | ||||
Dividends paid to noncontrolling interests | (279) | (279) | |||||
Balance at Mar. 31, 2018 | 760,373 | $ 1,403 | 402,252 | (11,528) | 384,671 | (19,241) | 2,816 |
Balance, shares at Mar. 31, 2018 | 20,753 | ||||||
Net income (loss) | (28,667) | (29,041) | 374 | ||||
Topic 606 transition adjustment | 2,701 | 2,701 | |||||
ASU 2018-02 reclassification of stranded tax effects | 1,750 | (1,750) | |||||
Other comprehensive income (loss) | (106,847) | (105,175) | (1,672) | ||||
Constantia Labels acquisition | 1,200 | 1,200 | |||||
Issuance of common stock | 2,104 | $ 8 | 2,096 | ||||
Issuance of common stock, shares | 76 | ||||||
Restricted stock grant | 0 | ||||||
Restricted stock grant, shares | 19 | ||||||
Conversion of restricted share units | 0 | ||||||
Conversion of restricted share units, shares | 12 | ||||||
Stock-based compensation | 2,498 | 2,498 | |||||
Shares acquired under employee plans | (551) | (551) | |||||
Common stock dividends | (4,108) | (4,108) | |||||
Balance at Mar. 31, 2019 | $ 628,703 | $ 1,411 | $ 406,846 | $ (12,079) | $ 355,973 | $ (126,166) | $ 2,718 |
Balance, shares at Mar. 31, 2019 | 20,860 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net income (loss) | $ (28,667) | $ 71,897 | $ 61,365 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | |||
Depreciation | 60,474 | 46,913 | 33,480 |
Amortization of intangible assets | 43,618 | 26,009 | 14,425 |
Goodwill impairment | 99,155 | 0 | 0 |
Loss on sale of Southeast Asian durables business | 512 | ||
Loss on write-off of deferred financing fees | 186 | 660 | |
Impairment loss on fixed assets related to facility closures | 309 | ||
Amortization of deferred financing costs | 5,085 | 3,174 | 1,665 |
Loss on benefit plans related to facility closures | 55 | 133 | |
Gain on previously held equity interests | (690) | ||
Net (gain) loss on disposal of property, plant and equipment | 178 | 1,150 | (230) |
Net (gain) loss on derivative contracts | (976) | 4,018 | 103 |
Stock-based compensation expense | 2,498 | 3,456 | 3,042 |
Excess tax benefit from stock-based compensation | (1,258) | ||
Deferred income taxes, net | (10,294) | (39,289) | (2,938) |
Changes in assets and liabilities, net of acquisitions: | |||
Accounts receivable | (3,829) | (35,410) | (7,457) |
Inventories | (9,106) | (3,072) | (1,999) |
Prepaid expenses and other assets | (18,020) | (12,069) | 1,067 |
Accounts payable | 24,344 | (9,892) | 171 |
Accrued expenses and other liabilities | (5,516) | (1,205) | 6,331 |
Net cash provided by operating activities | 159,439 | 56,907 | 107,210 |
CASH FLOWS FROM INVESTING ACTIVITIES: | |||
Capital expenditures | (81,898) | (60,105) | (46,146) |
Investment in acquisitions, net of cash acquired | (1,024,644) | (28,839) | |
Net proceeds from sale of Southeast Asian durables business | 3,620 | ||
Proceeds from sale of property, plant and equipment | 3,266 | 798 | 1,350 |
Net cash used in investing activities | (78,632) | (1,080,331) | (73,635) |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Borrowings under revolving lines of credit | 348,719 | 478,519 | 265,746 |
Payments under revolving lines of credit | (398,452) | (618,804) | (292,797) |
Borrowings of long-term debt | 1,250,000 | 2,156 | |
Repayments of long-term debt | (22,699) | (10,808) | (6,572) |
Payment of acquisition related deferred payments | (8,343) | (10,697) | (1,784) |
Buyout of non-controlling interest | (514) | ||
Proceeds from issuance of common stock | 1,556 | 2,572 | 2,742 |
Excess tax benefit from stock-based compensation | 1,258 | ||
Debt issuance costs | (10) | (26,669) | |
Dividends paid | (4,106) | (4,024) | (3,876) |
Net cash provided by (used in) financing activities | (83,335) | 1,060,089 | (33,641) |
Effect of foreign exchange rate changes on cash | (7,418) | 5,814 | (2,414) |
Net increase (decrease) in cash and cash equivalents | (9,946) | 42,479 | (2,480) |
Cash and cash equivalents, beginning of year | 67,708 | 25,229 | 27,709 |
Cash and cash equivalents, end of year | $ 57,762 | $ 67,708 | $ 25,229 |
THE COMPANY
THE COMPANY | 12 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
THE COMPANY | (1) THE COMPANY Multi-Color Corporation (Multi-Color, MCC, we, us, our or the Company), headquartered near Cincinnati, Ohio, is a leader in global label solutions supporting a number of the world’s most prominent brands including leading producers of home & personal care, wine & spirits, food & beverage, healthcare and specialty consumer products. MCC serves international brand owners in the North American, Latin American, EMEA (Europe, Middle East and Africa) and Asia Pacific regions with a comprehensive range of the latest label technologies in Pressure Sensitive, Cut and Stack, In-Mold, Shrink Sleeve, Heat Transfer, Roll Fed, and Aluminum Labels. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | (2) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation References to 2019, 2018 and 2017 are for the fiscal years ended March 31, 2019, 2018 and 2017, respectively. The consolidated financial statements included herein have been prepared in conformity with accounting principles generally accepted in the United States of America (U.S. GAAP) and include the accounts of the Company and its wholly-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated. Certain prior year balances have been reclassified to conform to current year classifications. As of March 31, 2019, the Company’s operations were conducted through the Consumer Product Goods, Wine & Spirits and Food & Beverage operating segments, which are aggregated into one reportable segment in accordance with the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 280, “Segment Reporting.” The metrics used by management to assess the performance of the Company’s operating segments include revenue trends, gross profit margin and operating margin. The Company’s operating segments have historically had similar economic characteristics and are expected to have similar economic characteristics and long-term financial performance in future periods. Use of Estimates in Financial Statements In preparing financial statements in conformity with U.S. GAAP, management makes estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Business Combinations The Company allocates the purchase price of its acquisitions to the assets acquired and liabilities assumed based upon their respective fair values at the acquisition date. The Company utilizes management estimates and an independent third-party valuation firm to assist in determining these fair values. The excess of the acquisition price over the estimated fair value of the net assets is recorded as goodwill. Goodwill is adjusted for any changes to acquisition date fair value amounts made within the measurement period. Acquisition-related transaction costs are recognized separately from the business combination and expensed as incurred. Revenue Recognition On April 1, 2018, we adopted Accounting Standards Update (“ASU”) 2014-09, “Revenue from Contracts with Customers (Topic 606)” and all related amendments, which provides revised guidance for revenue recognition. The standard’s core principle is that an entity should recognize the revenue for transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods and services. The standard defines a five-step process to recognize revenue and requires more judgment and estimates within the revenue recognition process than required under previous U.S. GAAP, including identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price, and allocating the transaction price to each separate performance obligation. See Note 3 for discussion of our accounting policies under the revised guidance. Cost of Revenues Cost of revenues primarily consists of direct materials and supplies consumed in the manufacture of product, as well as manufacturing labor, depreciation expense and direct overhead expense necessary to acquire and convert the purchased materials and supplies into finished product. Cost of revenues also includes inbound freight costs and costs to distribute products to customers. Selling, General and Administrative Expenses Selling, general and administrative expenses (SG&A) primarily consist of sales and marketing costs, corporate and divisional administrative and other costs and depreciation and amortization expense related to non-manufacturing assets. Advertising costs are charged to expense as incurred and were minimal in 2019, 2018 and 2017. Research and Development Costs Our product development group focuses on research and development, product commercialization and technical service support. The group includes chemical, packaging and field engineers who are responsible for developing and commercializing innovative label and application solutions. Technical service personnel also assist customers and manufacturers in improving container and label performance. The services provided by this group differentiate us from many of our competitors and drive our selection for the most challenging projects. Research and development costs are charged to expense as incurred and were $8,065, $5,834 and $5,274 in 2019, 2018 and 2017, respectively. Cash and Cash Equivalents The Company records all highly liquid short-term investments with maturities of three months or less as cash equivalents. At March 31, 2019 and 2018, the Company had cash in foreign bank accounts of $56,914 and $66,061, respectively. Outstanding checks of $15,272 and $2,280 were included in accounts payable as of March 31, 2019 and 2018, respectively. Accounts Receivable Our customers are primarily major consumer product, food & beverage, wine & spirits and container companies. Accounts receivable consist of amounts due from customers in connection with our normal business activities and are carried at sales value less allowance for doubtful accounts. The allowance for doubtful accounts is established to reflect the expected losses of accounts receivable based on past collection history, age, account payment status compared to invoice payment terms and specific individual risks identified. The delinquency of a receivable account is determined based on these factors. The Company does not accrue interest on aged accounts receivable. Supply Chain Financing and Factoring The Company has entered into supply chain financing agreements with certain customers and factoring arrangements with certain banks. The receivables for the agreements are sold without recourse to the customers’ banks and are accounted for as sales of accounts receivable. Losses on the sale of these receivables are included in selling, general and administrative expenses in the consolidated statements of operations, and losses of $1,964, $1,325 and $561 were recorded during 2019, 2018 and 2017, respectively. Inventories Inventories are valued at the lower of cost or net realizable value and substantially all are maintained using the FIFO (first-in, first-out) or specific identification method. Excess and obsolete inventory allowances are generally established based on inventory age. Property, Plant and Equipment Property, plant and equipment are stated at cost, net of accumulated depreciation. Depreciation expense, which includes the amortization of assets recorded under capital leases, is calculated using the straight-line method over the estimated useful lives of the assets, or the remaining terms of the leases, as follows: Buildings 20-39 years Building improvements 15 years Machinery and equipment 3-15 years Computers 3-5 years Furniture and fixtures 5-10 years Goodwill and Other Acquired Intangible Assets Impairment reviews comparing fair value to carrying value are highly judgmental and involve the use of significant estimates and assumptions, which determine whether there is potential impairment and the amount of any impairment charge recorded. Fair value assessments involve estimates of discounted cash flows that are dependent upon discount rates and long-term assumptions regarding future sales and margin trends, market conditions, cash flow and multiples of revenue and earnings before interest, taxes, depreciation and amortization (“EBITDA”). Actual results may differ from these estimates. Fair value measurements used in the impairment reviews of goodwill and intangible assets are Level 3 measurements. See further information about our policy for fair value measurements within this section below. See further information regarding our impairment tests in Note 8. Goodwill. Goodwill has been assigned to reporting units for purposes of impairment testing. The reporting units are the Company’s divisions. The Company can evaluate qualitative factors to determine if it is more likely than not that the fair value of a reporting unit is less than the carrying value and whether it is necessary to perform the quantitative goodwill impairment test. The impairment test compares the fair value of the reporting unit to the carrying value. The market and income approaches were weighted 25% and 75%, respectively, based on judgement of the comparability of recent transactions and the risks inherent in estimating future cash flows. Intangible Assets. Impairment of Long-Lived Assets We review long-lived assets for impairment when events or changes in circumstances indicate that assets might be impaired and the related carrying amounts may not be recoverable. Changes in market conditions and/or losses of a production line could have a material impact on the consolidated statements of operations. The determination of whether impairment exists involves various estimates and assumptions, including the determination of the undiscounted cash flows estimated to be generated by the assets involved in the review. The cash flow estimates are based upon our historical experience, adjusted to reflect estimated future market and operating conditions. Measurement of an impairment loss requires a determination of fair value. We base our estimates of fair values on quoted market prices when available, independent appraisals as appropriate and industry trends or other market knowledge. Tests are performed over asset groups at the lowest level of identifiable cash flows. Income Taxes The Company is subject to income taxes in the United States and numerous foreign jurisdictions. Income taxes are recorded based on the current year amounts payable or refundable. Deferred income taxes are recognized at the enacted tax rates for the expected future tax consequences related to temporary differences between amounts reported for income tax purposes and financial reporting purposes as well as any tax attributes. Deferred income taxes are not provided for the undistributed earnings of subsidiaries operating outside of the U.S. that have been permanently reinvested in foreign operations. We regularly review our deferred income tax balances for each jurisdiction to estimate whether these deferred income tax balances are more likely than not to be realized based on the information currently available. Projected future taxable income is based on forecasted results and assumptions as to the jurisdiction in which the income will be earned. The timing of reversals of any existing temporary differences is based on our methods of accounting for income taxes and current tax legislation. Unless the deferred tax balances are more likely than not to be realized, a valuation allowance is established to reduce the carrying values of any deferred tax balances until circumstances indicate that realization becomes more likely than not. The Company establishes reserves for income tax related uncertainties based on estimates of whether it is more likely than not that the tax uncertainty would be sustained upon challenge by the appropriate tax authorities. Provisions for and changes to these reserves and any related net interest and penalties are included in income tax expense in the consolidated statements of operations. Significant judgment is required when evaluating our tax provisions and determining our provision for income taxes. We regularly review our tax positions and we adjust the reserves as circumstances change. Earnings per Common Share Basic earnings per common share (EPS) is computed by dividing net income (loss) attributable to Multi-Color Corporation by the weighted average number of common shares outstanding during the period. Diluted EPS is computed by dividing net income (loss) attributable to Multi-Color Corporation by the sum of the weighted average number of common shares outstanding during the period plus, if dilutive, potential common shares outstanding during the period. Potential common shares outstanding during the period consist of restricted shares and the incremental common shares issuable upon the exercise of stock options and are reflected in diluted EPS by application of the treasury stock method. Derivative Financial Instruments The Company accounts for derivative financial instruments by recognizing derivative instruments as either assets or liabilities in the consolidated balance sheets at fair value and recognizing the resulting gains or losses as adjustments to the consolidated statements of operations or accumulated other comprehensive income (loss). The Company does not hold or issue derivative financial instruments for trading or speculative purposes. For derivative instruments that hedge the exposure to variability in expected future cash flows that are designated and qualify as cash flow hedges, the gain or loss on the derivative instrument is reported as a component of AOCI in stockholders’ equity and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. To receive hedge accounting treatment, cash flow hedges must be highly effective in offsetting changes to expected future cash flows on hedged transactions. For derivative instruments that hedge the exposure to changes in the fair value of an asset or a liability and that are designated and qualify as fair value hedges, both the net gain or loss on the derivative instrument as well as the offsetting loss or gain on the hedged item attributable to the hedged risk are recognized in earnings in the current period. For derivative instruments that hedge the exposure to changes in foreign currency exchange rates used for translation of the net investment in a foreign operation and that are designated as a net investment hedge, the net gain or loss on the derivative instrument is reported in AOCI as part of the foreign currency translation adjustment. Derivatives that do not qualify as hedges are adjusted to fair value through earnings in the current period. Fair Value Measurements The carrying value of financial instruments approximates fair value. The Company 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. To increase consistency and comparability in fair value measurements, the Company uses a three-level hierarchy that prioritizes the use of observable inputs. The three levels are: Level 1 – Quoted market prices in active markets for identical assets and liabilities Level 2 – Observable inputs other than quoted market prices in active markets for identical assets and liabilities Level 3 – Unobservable inputs The determination of where an asset or liability falls in the hierarchy requires significant judgment. Fair value measurements of nonfinancial assets and nonfinancial liabilities are primarily used in goodwill, other intangible assets and long-lived assets impairment analyses, the valuation of acquired intangibles and in the valuation of assets held for sale. The Company tests goodwill for impairment annually, as of the last day of January of each fiscal year. Impairment is also tested when events or changes in circumstances indicate that the assets’ carrying values may be greater than the fair values. Goodwill and intangible assets are typically valued using Level 3 inputs. Foreign Exchange The functional currency of each of the Company’s subsidiaries is generally the currency of the country in which the subsidiary operates or the U.S. Dollar. Assets and liabilities of foreign operations are translated using period end exchange rates, and revenues and expenses are translated using average exchange rates during each period. Translation (gains) and losses are reported in accumulated other comprehensive loss as a component of stockholders’ equity and were $136,726, $(93,892) and $25,254 during 2019, 2018 and 2017, respectively. Transaction gains and (losses) are reported in other income and expense in the consolidated statements of operations and were $149, $3,899 and $(533) during 2019, 2018 and 2017, respectively. New Accounting Pronouncements On April 1, 2018, we adopted ASU 2014-09, “Revenue from Contracts with Customers (Topic 606)” and all related amendments, which provides revised guidance for revenue recognition. We adopted this guidance using the modified retrospective transition method, which means that periods beginning in fiscal 2019 are reported under this guidance while prior periods continue to be reported under previous guidance. See Note 3. In February 2018, the FASB issued ASU 2018-02, “Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (Topic 220),” which permits the reclassification of stranded tax effects resulting from the Tax Cuts and Jobs Act (the “Tax Act”) from accumulated other comprehensive income (AOCI) to retained earnings. This new guidance is effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years, which for the Company is the fiscal year beginning April 1, 2019. Early adoption is permitted, and the update must be applied either at the beginning of the period of adoption or retrospectively to each period in which the effects of the Tax Act related to items remaining in AOCI are recognized. The Company elected to early adopt this update in the second quarter of fiscal 2019. As part of this adoption, the Company elected to reclassify $1,750 of stranded income tax effects of the Tax Act from AOCI to retained earnings at the beginning of the second quarter of fiscal 2019. In January 2017, the FASB issued ASU 2017-04, “Intangibles-Goodwill and Other,” which simplifies the accounting for goodwill impairment. This update removes step 2 of the goodwill impairment test, which requires a hypothetical purchase price allocation. Goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. This update is effective for any annual or interim goodwill impairment tests in fiscal years beginning after December 15, 2019, which for the Company is any annual or interim goodwill impairment tests performed after April 1, 2020. Early adoption is permitted for any impairment tests performed after January 1, 2017. The Company elected to early adopt this update in the fourth quarter of fiscal 2019. Under the new guidance, the Company recognized goodwill impairment charges of $99,155 during the fourth quarter of fiscal 2019. See Note 8. In January 2017, the FASB issued ASU 2017-01, “Business Combinations,” which revises the definition of a business. The FASB’s new framework assists entities in evaluating whether a set (integrated set of assets and activities) should be accounted for as an acquisition of a business or a group of assets. The framework adds an initial screen to determine if substantially all of the fair value of the gross assets acquired is concentrated in a single asset or group of similar assets. If that screen is met, the set is not a business. This update was effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years, which for the Company was the fiscal year beginning April 1, 2018. The Company adopted this update effective April 1, 2018, and its adoption did not have an impact on the Company’s consolidated financial statements. In August 2016, the FASB issued ASU 2016-15, “Classification of Certain Cash Receipts and Cash Payments,” which addresses eight specific cash flow issues with the objective of reducing the existing diversity in practice in how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The specific issues addressed include debt prepayment or debt extinguishment costs, contingent consideration payments made after a business combination and separately identifiable cash flows and application of the predominance principle. This update was effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years, which for the Company was the fiscal year beginning April 1, 2018. The Company adopted this update effective April 1, 2018, and its adoption did not have an impact on the Company’s consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, “Leases,” which requires that lessees recognize almost all leases on the balance sheet as right-of-use assets and lease liabilities. For income statement purposes, leases will be classified as either finance leases or operating leases. This update is effective for annual periods beginning after December 15, 2018, including interim periods within those fiscal years, which for the Company is the fiscal year beginning April 1, 2019. We will adopt the standard using the modified retrospective method which will be applied to leases that exist or are entered into on or after April 1, 2019. As a result, we will not adjust our comparative period financial information or make the new required lease disclosures for periods before the effective date. The Company will elect to utilize the package of practical expedients that allows entities to 1) not reassess whether any expired or existing contracts are or contain leases, 2) retain the existing classification of lease contracts as of the date of adoption, and 3) not reassess initial direct costs for any existing leases. The Company is in the final stages of evaluating its existing lease portfolio and is continuing to assess and quantify the amount of right-of-use assets and lease liabilities that will be included on its balance sheet as of April 1, 2019, with an estimated amount of $125,000. The Company is in the process of implementing a new lease accounting and administration software solution to manage and account for leases under the new guidance and is updating certain of its business processes and internal controls to meet the reporting and disclosure requirements of the new standard. We believe that the new standard will have a material impact on our consolidated balance sheet due to the recognition of right-of-use assets and liabilities for our operating leases, but it is not expected to have a material impact on our statements of operations or cash flows. The ASU will also require disclosures to allow financial statement users to better understand the amount, timing and uncertainty of cash flows arising from leases. These disclosures include qualitative and quantitative requirements, providing additional information about the amounts recorded in the financial statements. No other new accounting pronouncement issued or effective during the fiscal year had or is expected to have a material impact on the consolidated financial statements. |
REVENUE RECOGNITION
REVENUE RECOGNITION | 12 Months Ended |
Mar. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE RECOGNITION | (3) Revenue Recognition On April 1, 2018, we adopted ASU 2014-09, “Revenue from Contracts with Customers (Topic 606)” and all related amendments, which provides revised guidance for revenue recognition. The standard’s core principle is that an entity should recognize the revenue for transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods and services. The standard defines a five-step process to recognize revenue and requires more judgment and estimates within the revenue recognition process than required under previous U.S. GAAP, including identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price, and allocating the transaction price to each separate performance obligation. We adopted the standard by applying the modified retrospective method to all contracts that were not completed as of the adoption date. The aggregate effect of any modifications to those contracts was reflected in identifying the satisfied and unsatisfied performance obligations, determining the transaction price, and allocating the price to the satisfied and unsatisfied performance obligations as of the adoption date. Accordingly, the comparative statements of operations and comparative balance sheet have not been restated. Adjustments due to ASU 2014-09 were as follows: Balance at March 31, 2018 Adjustments Balance at April 1, 2018 Assets: Accounts receivable, net $ 306,542 $ 253 $ 306,795 Inventories, net 167,950 (18,286 ) 149,664 Other current assets 17,468 21,657 39,125 Liabilities and Stockholders’ Equity: Accrued expenses and other liabilities $ 114,022 $ (215 ) $ 113,807 Deferred income tax liabilities 149,950 1,125 151,075 Accumulated other comprehensive loss (19,241 ) 13 (19,228 ) Retained earnings 384,671 2,701 387,372 Revenue is generated through the sale of products created to meet the packaging needs of our customers, culminating in a single performance obligation to produce labels with no alternate use, and revenue is recorded in an amount that reflects the net consideration that we expect to receive. Prices for our products are based on agreed upon rates with customers and do not include financing components or noncash consideration. The amount of consideration we receive and revenue we recognize is variable for certain customers and is impacted by incentives, including rebates, which are generally tied to achievement of certain sales volume levels. We recognize revenue when obligations under the terms of a contract with our customer are satisfied, in an amount that reflects the consideration we expect to receive in exchange for the product. Depending on the terms of the agreement with the customer, we recognize revenue either at a point-in-time (at shipment or delivery depending on agreed upon terms) or over-time when the Company has an enforceable right to payment for performance completed to date. We believe the costs incurred method is the best method to recognize our over-time revenue as costs incurred are proportionate to progress achieved in satisfying our performance obligations. The Company also has bill and hold arrangements with certain customers. For these arrangements, control over the product is transferred when the product is ready for physical transfer to the customer, as we have a present right to payment, the customer can direct the use of the product (i.e., request shipment to its facility), and legal title has passed to the customer. Revenue is recognized at the time the product is produced and we have transferred control to the customer. Payment terms typically range from 30-90 days, based upon agreed upon terms with the customer. Taxes assessed by a governmental authority that we collect from our customers that are both imposed on and concurrent with our revenue producing activities (such as sales tax, value-added tax, and excise taxes) are excluded from revenue. Shipping and handling costs incurred after control of the product is transferred to our customers are treated as fulfillment costs and not a separate performance obligation. MCC records contract assets when revenue is recognized but we have not yet invoiced the customer. This occurs when costs are incurred for the production of labels for over-time customers but the associated revenues have not been billed to the customer or when prepress costs related to fulfillment and completion of labels are incurred but the associated revenues for those labels have not been billed to the customer. Contract liabilities are recorded for expected shipping and handling charges for revenue recognized from over-time customers, billings to customers for prepress items to be utilized in the fulfilment and completion of labels that have not yet been fully utilized in the production process, and arrangements where MCC has billed the customer but has not yet shipped the labels and the transaction does not meet the criteria for bill and hold revenue recognition. Balance sheet location March 31, 2019 April 1, 2018 Contract assets Other current assets $ 29,143 $ 31,001 Contract liabilities Accrued expenses and other liabilities (10,654 ) (11,750 ) Net contract assets and liabilities $ 18,489 $ 19,251 MCC recognized revenues of $10,760 during fiscal year 2019, that were included in contract liabilities as of March 31, 2018. We elected the practical expedient to disregard the possible existence of a significant financing component related to payment on contracts as part of the adoption of ASU 2014-09, as we expect that customers will pay for the products within one year. Additionally, as all contracts are expected to have an original duration of one year or less, we elected the practical expedient to exclude disclosure of information regarding the aggregate amount and future timing of performance obligations that are unsatisfied or partially satisfied as of the end of the reporting period. The following table summarizes the March 31, 2019 consolidated statements of operations and consolidated balance sheet as if ASU 2014-09 had not been adopted and the adjustment required upon adoption of ASU 2014-09. Fiscal Year ended March 31, 2019 As Reported Adjustments Previous Standard Condensed Consolidated Statement of Income: Net revenues $ 1,725,554 $ 3,349 $ 1,728,903 Cost of revenues 1,403,634 2,713 1,406,347 Gross profit 321,920 636 322,556 Selling, general and administrative expenses 160,710 67 160,777 Operating income 61,344 569 61,913 Income tax benefit 12,332 206 12,538 Net income (loss) (28,667 ) 363 (28,304 ) As of March 31, 2019 As Reported Adjustments Previous Standard Condensed Consolidated Balance Sheet: Assets: Accounts receivable, net $ 300,945 $ (169 ) $ 300,776 Inventories, net 144,235 15,494 159,729 Other current assets 40,769 (18,230 ) 22,539 Liabilities and Stockholders’ Equity: Accrued expenses and other liabilities $ 94,739 $ 347 $ 95,086 Deferred income tax liabilities 160,017 (919 ) 159,098 Accumulated other comprehensive loss (126,166 ) 5 (126,161 ) Retained earnings 355,973 (2,338 ) 353,635 The following table presents our net revenues disaggregated by region and timing of revenue recognition for the fiscal year ended March 31, 2019. Fiscal Year ended March 31, 2019 Point-in-time Over-time North America $ 550,851 $ 224,380 Europe 672,349 3,970 Asia Pacific and Africa 246,657 2,684 South America 24,663 — Total $ 1,494,520 $ 231,034 |
ACQUISITIONS
ACQUISITIONS | 12 Months Ended |
Mar. 31, 2019 | |
Business Combinations [Abstract] | |
Acquisitions | (4) ACQUISITIONS Constantia Labels Summary On October 31, 2017, the Company completed its acquisition pursuant to the Sale and Purchase Agreement (as amended) with Constantia Flexibles Germany GmbH, Constantia Flexibles International GmbH, Constantia Flexibles Group GmbH and GPC Holdings B.V. (collectively, “Constantia Flexibles”), acquiring 100% of the Labels Division of Constantia Flexibles (“Constantia Labels”). Constantia Labels, headquartered in Vienna, Austria, is a leader in label solutions serving the food, beverage and consumer packaging goods industries. Constantia Labels has approximately 2,800 employees globally and 24 production plants across 14 countries, with major operations across Europe, Asia and North America. The acquisition included a 75% controlling interest in certain label operations in South Africa. The Company believes the combination of Constantia Labels’ food & beverage business with Multi-Color’s existing platforms, particularly in home & personal care and wine & spirits and emerging position in healthcare, will create a company with significant scale and geographic, end-market, customer and product diversification and additional growth opportunities. The results of Constantia Labels’ operations were included in the Company’s consolidated financial statements beginning on October 31, 2017. The purchase price for Constantia Labels consisted of the following: Cash from proceeds of borrowings $ 1,048,656 MCC common stock issued 237,820 Deferred payments 3,901 Contingent consideration 9,026 Purchase price, before cash acquired 1,299,403 Net cash acquired (11,234 ) Total purchase price $ 1,288,169 The Company issued 3,383 shares of its common stock to Constantia Flexibles as part of the consideration for the purchase of Constantia Labels. The Sale and Purchase Agreement provides for restrictions on the transfer of the shares issued to Constantia Flexibles and certain registration rights with respect to the shares. The fair value of the shares issued of $237,820 was calculated using the Company share price of $82.70, which was the closing price on October 31, 2017, discounted to reflect the temporary lack of liquidity. The cash portion of the purchase price was funded through the 4.875% Senior Notes due 2025 and funds from the Credit Agreement (see Note 9). The purchase price included deferred payments with a total fair value of $3,901, estimated as of the acquisition date, of which $807 was paid during the three months ended June 30, 2018 with the remaining to be paid out approximately 90 days after December 31, 2018, 2019 and 2020. In addition, the purchase price includes future performance based earnouts with a total fair value of $9,026, estimated as of the acquisition date. The future value of the earnouts is dependent upon whether the Verstraete in Mould Labels N.V. (Verstraete) business, which was acquired in conjunction with the Constantia Labels’ acquisition, meets or exceeds certain agreed upon EBITA (earnings before interest, taxes, and amortization) metrics over the three to five-year period following the acquisition. The earnouts have a minimum future payout of zero, and the maximum amount of the future payout is based on the amount of EBITA growth achieved relative to calendar 2017. The earnouts may be paid out approximately 90 days after December 31, 2020, 2021 or 2022. Net cash acquired includes $49,725 of cash acquired less $38,491 of assumed bank debt and capital leases. The Company spent $17,379 in acquisition expenses related to the Constantia Labels acquisition. These expenses were recorded in selling, general and administrative expenses in the consolidated statements of operations as follows: $18 in the third quarter of fiscal 2017, $744 in the first quarter of fiscal 2018, $3,545 in the second quarter of fiscal 2018, $11,299 in the third quarter of fiscal 2018, $632 in the fourth quarter of fiscal 2018, $1,246 in the first quarter of fiscal 2019 and a credit of $(105) in the second quarter of fiscal 2019. Purchase Price Allocation and Other Items Based on fair value estimates, the purchase price for Constantia Labels has been allocated to individual assets acquired and liabilities assumed as follows: Constantia Labels Assets Acquired Net cash acquired $ 11,234 Accounts receivable 117,248 Inventories 82,472 Property, plant and equipment 250,479 Intangible assets 432,400 Goodwill 673,561 Other assets 13,747 Total assets acquired 1,581,141 Liabilities Assumed: Accounts payable 93,812 Accrued income taxes payable 4,401 Accrued expenses and other liabilities 41,378 Deferred tax liabilities 139,847 Total liabilities assumed 279,438 Net assets acquired 1,301,703 Noncontrolling interests (2,300 ) Net assets acquired attributable to Multi-Color Corporation $ 1,299,403 The liabilities assumed in the Constantia Labels acquisition included a contingent liability of $9,671, estimated as of the acquisition date based on the Company’s best estimate. The contingent liability, payable to the pre-Constantia Flexibles owners of the respective entities, was based on future earnings of certain entities acquired. In the fourth quarter of fiscal 2018, $7,523 of the contingent liability was paid. The remaining contingent liability was paid during the three months ended March 31, 2019. The fair value of the noncontrolling interests for Constantia Labels was estimated based on market valuations performed by an independent third party using a combination of: (i) an income approach based on expected future discounted cash flows; and (ii) an asset approach. During fiscal 2019, the Company increased its valuation of the noncontrolling interests for Constantia Labels by $1,200. During fiscal 2019, goodwill decreased by $33,772 related to measurement period adjustments for the Constantia Labels acquisition. The measurement period adjustments primarily consisted of increases of $33,607 and $22,400 related to the valuation of property, plant and equipment and intangible assets, respectively, and decreases of $4,881 and $4,846 related to the valuation of net cash acquired (primarily due to the valuation of capital leases) and inventories, respectively. In addition, the valuation of deferred tax liabilities increased by $11,195 and accrued income taxes decreased by $3,574 due to completion of the final valuation of current and deferred income tax assets and liabilities. During fiscal 2019, we recognized a $(4,055) credit to depreciation expense and $911 During the fourth quarter of fiscal 2018, goodwill decreased by $8,912 due to finalization of the purchase price and increased by $4,083 related to measurement period adjustments for the Constantia Labels acquisition. The measurement period adjustments primarily consisted of a $1,768 and $5,311 decrease in the valuation of inventory and other assets, respectively, and a $1,601 increase in the valuation of accrued and other liabilities, partially offset by a $4,765 decrease in the valuation of the related deferred tax liabilities. The fair value of identifiable intangible assets acquired and their estimated useful lives are as follows: Constantia Labels Fair Value Useful Lives Customer relationships $ 407,300 19 years Technology 20,700 4 years Trade name 4,400 4 years Total identifiable intangible assets $ 432,400 Identifiable intangible assets are amortized over their useful lives based upon a number of assumptions including the estimated period of economic benefit and utilization. The weighted-average amortization period for identifiable intangible assets acquired in the Constantia Labels acquisition is 18 years. The goodwill for Constantia Labels is attributable to combining Constantia Labels’ food & beverage business with Multi-Color’s existing platforms, particularly in home & personal care and wine & spirits and emerging position in healthcare, thereby creating additional growth opportunities for both businesses utilizing the expanded global footprint and the acquired workforce. Goodwill arising from the Constantia Labels acquisition is not deductible for income tax purposes. The accounts receivable acquired as part of the Constantia Labels acquisition had a fair value of $117,248 at the acquisition date. The gross contractual value of the receivables prior to any adjustments was $119,883 and the estimated contractual cash flows that are not expected to be collected are $2,635. Pro Forma Information The following table provides the unaudited pro forma results of operations for the year ended March 31, 2018 and 2017 as if Constantia Labels had been acquired as of the beginning of fiscal year 2017. However, pro forma results do not include any anticipated synergies from the combination of the companies, and accordingly, are not necessarily indicative of the results that would have occurred if the acquisition had occurred on the date indicated or that may result in the future. 2018 2017 Net revenues $ 1,718,924 $ 1,588,090 Net income attributable to Multi-Color 87,147 78,768 Diluted earnings per share 4.24 3.86 The following is a reconciliation of actual net revenues and net income attributable to Multi-Color Corporation to unaudited pro forma net revenues and net income: 2018 2017 Net revenues Net income attributable to Multi-Color Net revenues Net income Multi-Color Corporation actual results $ 1,300,912 $ 71,951 $ 923,295 $ 60,996 Constantia Labels actual results (1) 418,012 23,426 664,795 52,109 Pro forma adjustments — (8,230 ) — (34,337 ) Pro forma results $ 1,718,924 $ 87,147 $ 1,588,090 $ 78,768 (1) Constantia Labels actual results include the seven months pre-acquisition The following table identifies the unaudited pro forma adjustments: 2018 2017 Constantia Labels financing costs $ 9,689 $ 15,524 Acquisition transaction costs 16,220 18 Incremental depreciation and amortization costs (8,468 ) (14,667 ) Incremental interest costs (29,368 ) (50,639 ) Tax effect of adjustments 3,697 15,427 Pro forma adjustments $ (8,230 ) $ (34,337 ) Other Acquisition Activity On October 11, 2017 9,557 On August 3, 2017 18- On January 3, 2017 In January 2017, the Company acquired an additional 67.6% of the common shares of Gironde Imprimerie Publicité (GIP) for $2,084 plus net debt assumed of $862. The purchase price included a deferred payment of $208 that was paid during the three months ended March 31, 2018. The Company acquired 30% of GIP as part of the Barat acquisition in fiscal 2016. Immediately prior to obtaining a controlling interest in GIP, the Company recognized a gain of $690 as a result of re-measuring our equity interest to its fair value of $771 based on the most recent share activity. In August 2017, the Company acquired the remaining 2.4% of the common shares of GIP in conjunction with the GEWA acquisition (see above). GIP is located in the Bordeaux region of France and specializes in producing labels for the wine & spirits market. On July 6, 2016 three On July 1, 2016 The results of operations of the acquisitions described above within this “Other Acquisition Activity” section have been included in the consolidated financial statements since the respective dates of acquisition and have been determined to be immaterial for purposes of additional disclosure. Sale of Southeast Asian durables business On July 3, 2017, the Company sold its 60% controlling interest in its Southeast Asian durables business to its minority shareholders for $3,620 in net cash proceeds. The Company recognized a loss of $512 on the sale of the business, which was recognized in other expense in the consolidated statements of operations. |
ACCOUNTS RECEIVABLE ALLOWANCE
ACCOUNTS RECEIVABLE ALLOWANCE | 12 Months Ended |
Mar. 31, 2019 | |
Receivables [Abstract] | |
ACCOUNTS RECEIVABLE ALLOWANCE | (5) ACCOUNTS RECEIVABLE ALLOWANCE The Company’s customers are primarily producers of home & personal care, wine & spirits, food & beverage, healthcare and specialty consumer products. Accounts receivable consist of amounts due from customers in connection with our normal business activities and are carried at sales value less allowance for doubtful accounts. The allowance for doubtful accounts is established to reflect the expected losses of accounts receivable based on past collection history, age, account payment status compared to invoice payment terms and specific individual risks identified. The following table summarizes the activity in the allowance for doubtful accounts: 2019 2018 2017 Balance at beginning of year $ 2,704 $ 2,273 $ 2,497 Provision 312 319 234 Accounts written-off (281 ) (62 ) (384 ) Foreign exchange (137 ) 174 (74 ) Balance at end of year $ 2,598 $ 2,704 $ 2,273 |
INVENTORIES
INVENTORIES | 12 Months Ended |
Mar. 31, 2019 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | (6) INVENTORIES The Company’s inventories as of March 31 consisted of the following: 2019 2018 Finished goods $ 60,493 $ 80,845 Work-in-process 21,010 21,156 Raw materials 62,732 65,949 Total inventories, net $ 144,235 $ 167,950 |
PROPERTY, PLANT AND EQUIPMENT
PROPERTY, PLANT AND EQUIPMENT | 12 Months Ended |
Mar. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY, PLANT AND EQUIPMENT | (7) PROPERTY, PLANT AND EQUIPMENT The Company’s property, plant and equipment as of March 31 consisted of the following: 2019 2018 Land $ 19,095 $ 13,766 Buildings, building improvements and leasehold improvements 123,517 114,790 Machinery and equipment 603,882 535,142 Furniture, fixtures, computer equipment and software 42,049 50,779 Construction in progress 24,313 31,505 Property, plant and equipment, gross 812,856 745,982 Accumulated depreciation (284,779 ) (235,980 ) Property, plant and equipment, net $ 528,077 $ 510,002 Total depreciation expense for 2019, 2018 and 2017 was $60,474, $46,913 and $33,480, respectively. As a result of our decision to close certain manufacturing facilities during fiscal 2019 and 2018, the Company determined that it was more likely than not that certain fixed assets at these facilities would be sold or otherwise disposed of significantly before the end of their estimated useful lives. As a result of the decision to close our manufacturing facility located in Cowansville, Canada, during fiscal 2019, non-cash fixed asset impairment charges of $ 309 As a result of the decision to consolidate our manufacturing facility located in Merignac, France into our existing facility in Libourne, France during fiscal 2018, non-cash fixed asset impairment charges of $125 were recorded, primarily to write off land and building improvements that were not transferred to Libourne and were abandoned. As a result of the decision to close our manufacturing facility located in Dormans, France, during fiscal 2018, non-cash fixed asset impairment charges of $25 were recorded, to adjust the carrying value of the land and building held for sale at the Dormans facility to their estimated fair value, less cost to sell, which were determined based on a quoted market price. The land and building at the Dormans facility were sold during fiscal 2018. These asset In addition, the Company performed impairment testing on long-lived assets at certain manufacturing locations during fiscal 2019 and 2018 due to the existence of impairment indicators. The estimated undiscounted future cash flows associated with the long-lived assets were greater than their carrying values, and therefore, no impairment was present in either of these two |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS | 12 Months Ended |
Mar. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND INTANGIBLE ASSETS | (8) GOODWILL AND INTANGIBLE ASSETS The changes in the Company’s goodwill consisted of the following: 2019 2018 Balance at beginning of year Goodwill, gross $ 1,210,179 $ 424,941 Accumulated impairment losses (13,545 ) (12,391 ) Goodwill, net 1,196,634 412,550 Activity during the year Acquisitions — 721,874 Adjustments to prior year acquisitions (34,478 ) (359 ) Currency translation (84,457 ) 63,096 Impairment (99,155 ) — Sale of Southeast Asian durables business — (527 ) Balance at end of year Goodwill, gross 1,089,010 1,210,179 Accumulated impairment losses (110,466 ) (13,545 ) Goodwill, net $ 978,544 $ 1,196,634 See Note 4 for further information regarding acquisitions. In conjunction with our annual impairment tests as of January 31, 2019 and January 31, 2018, the Company performed quantitative assessments for all of our reporting units. The impairment tests compare the fair value of each reporting unit to its carrying value. We estimated the fair value of each reporting unit using a combination of: (i) a market approach based on multiples of revenue and EBITDA from recent comparable transactions and other market data; and (ii) an income approach based on expected future cash flows discounted at rates ranging between 8.5% to 13.0% in 2019 and 8.5% to 11.5% in 2018. The discount rate reflects the risk associated with each respective reporting unit, including the industry and geographies in which they operate. In fiscal 2019, the market and income approaches were weighted 25% and 75%, respectively, based on judgment of the comparability of the recent transactions and the risks inherent in estimating future cash flows. We considered recent economic and industry trends, as well as risk in executing our current plans from the perspective of a hypothetical buyer in estimating expected future cash flows in the income approach. For most of our reporting units, the impairment test did not indicate impairment as the estimated fair value of the reporting units exceeded the carrying amount. For two of our reporting units, In-Mold Labels Food & Beverage and Europe Food & Beverage, both of which were acquired in fiscal 2018 as part of the Constantia Labels acquisition, the carrying amounts exceeded the estimated fair value of the reporting units. During the fourth quarter of fiscal 2019, the Company adopted ASC 2017-14, non-cash Significant assumptions used to estimate the fair value of our reporting units include estimates of future cash flows, discount rates and multiples of revenue and EBITDA. These assumptions are typically not considered individually because assumptions used to select one variable should also be considered when selecting other variables; however, sensitivity of the overall fair value assessment to each significant variable was also considered. No events or changes in circumstances occurred in 2019 and 2018 that required goodwill impairment testing in between annual tests. The Company’s intangible assets as of March 31 consisted of the following: 2019 2018 Gross Carrying Accumulated Net Gross Carrying Accumulated Net Carrying Customer relationships $ 641,385 $ (119,821 ) $ 521,564 $ 648,273 $ (87,560 ) $ 560,713 Technologies 21,540 (8,512 ) 13,028 21,721 (3,586 ) 18,135 Trademarks and trade names 4,372 (1,635 ) 2,737 99 (66 ) 33 Non-compete 3,824 (2,957 ) 867 3,880 (2,528 ) 1,352 Total $ 671,121 $ (132,925 ) $ 538,196 $ 673,973 $ (93,740 ) $ 580,233 The intangible assets were established in connection with completed acquisitions. They are amortized, using the straight-line method, over their estimated useful lives based on a number of assumptions including customer attrition rates, percentage of revenue attributable to technologies, royalty rates and projected future revenue growth. The weighted-average amortization period for the intangible assets acquired in fiscal 2018 is 18 years. There were no acquisitions in fiscal 2019. Total amortization expense of intangible assets for 2019, 2018 and 2017 was $43,618, $26,009 and $14,425, respectively. The estimated useful lives for each intangible asset class are as follows: Customer relationships 9 to 21 years Technologies 1 to 8 years Trademarks and trade names 1 to 4 years Non-compete 2 to 7 years The annual estimated amortization expense for future years is as follows: Fiscal 2020 $ 42,079 Fiscal 2021 41,635 Fiscal 2022 40,326 Fiscal 2023 37,300 Fiscal 2024 34,183 Thereafter 342,673 Total $ 538,196 The Company performed impairment testing on long-lived assets, including intangibles, at certain manufacturing locations during fiscal 2019 and 2018 due to the existence of impairment indicators. The estimated undiscounted future cash flows associated with the long-lived assets were greater than their carrying values, and therefore, no impairment was present in either of these two years related to intangible assets. |
DEBT
DEBT | 12 Months Ended |
Mar. 31, 2019 | |
Debt Disclosure [Abstract] | |
Debt | (9) DEBT The components of the Company’s debt as of March 31 consisted of the following: 2019 2018 Unamortized Debt Less Unamortized Debt Less Debt Issuance Unamortized Debt Issuance Unamortized Principal Costs Debt Issuance Costs Principal Costs Debt Issuance Costs 6.125% Senior Notes (1) $ 250,000 $ (2,473 ) $ 247,527 $ 250,000 $ (3,148 ) $ 246,852 4.875% Senior Notes (1) 600,000 (8,420 ) 591,580 600,000 (9,699 ) 590,301 Credit Agreement Term Loan A Facility (2) 135,625 (3,125 ) 132,500 148,125 (3,996 ) 144,129 Term Loan B Facility (3) 493,750 (5,165 ) 488,585 498,750 (6,280 ) 492,470 U.S. Revolving Credit Facility (4) (5) — — — 56,945 (5,442 ) 51,503 Australian Revolving Sub-Facility (4) 35,977 (473 ) 35,504 33,033 (605 ) 32,428 Capital leases 36,255 — 36,255 36,288 — 36,288 Other subsidiary debt 5,402 — 5,402 4,714 — 4,714 Total debt 1,557,009 (19,656 ) 1,537,353 1,627,855 (29,170 ) 1,598,685 Less current portion of debt (23,059 ) — (23,059 ) (20,864 ) — (20,864 ) Total long-term debt $ 1,533,950 $ (19,656 ) $ 1,514,294 $ 1,606,991 $ (29,170 ) $ 1,577,821 (1) The 6.125% Senior Notes are due on December 1, 2022. The 4.875% Senior Notes are due on November 1, 2025. (2) The Company is required to make mandatory principal payments on the outstanding borrowings under the Term Loan A Facility. The principal payments are due on the last day of March, June, September and December of each year, commencing on March 31, 2018 through the maturity date of October 31, 2022. (3) The Company is required to make mandatory principal payments on the outstanding borrowings under the Term Loan B Facility. The principal payments are due on the last day of March, June, September and December of each year, commencing on March 31, 2018 through the maturity date of October 31, 2024. (4) Borrowings under the U.S. Revolving Credit Facility and Australian Revolving Sub-Facility mature on October 31, 2022. (5) Unamortized debt issuance costs related to the U.S. Revolving Credit Facility were reclassified to prepaid expenses and other long-term assets in the consolidated balance sheet as of March 31, 2019, as there are no borrowings outstanding on the U.S. Revolving Credit Facility as of March 31, 2019. The carrying value of debt under the Credit Agreement approximates fair value. The fair value of the Senior Notes is based on observable inputs, including quoted market prices (Level 2). The fair values of the 4.875% Senior Notes and 6.125% Senior Notes were approximately $616,500 and $257,188, respectively, as of March 31, 2019. The fair 4.875 6.125% Senior Notes were 564,000 $258,750, The following is a schedule of future annual principal payments as of March 31, 2019: Debt Capital Leases Total Fiscal 2020 $ 18,509 $ 4,550 $ 23,059 Fiscal 2021 17,331 3,999 21,330 Fiscal 2022 22,005 3,107 25,112 Fiscal 2023 389,158 2,925 392,083 Fiscal 2024 5,000 2,635 7,635 Thereafter 1,068,751 19,039 1,087,790 Total $ 1,520,754 $ 36,255 $ 1,557,009 Senior Secured Credit Facility In conjunction with the Constantia Labels acquisition, effective October 31, 2017 the Company entered into a credit agreement (the “Credit Agreement”) with various lenders. The Credit Agreement replaced the Company’s previous credit agreement and consists of (i) a senior secured first lien term loan A facility (the “Term Loan A Facility”) in an aggregate initial principal amount of $150,000 with a five year maturity, (ii) a senior secured first lien term loan B facility (the “Term Loan B Facility”) in an aggregate initial principal amount of $500,000 with a seven year maturity, and (iii) a senior secured first lien revolving credit facility (the “Revolving Credit Facility”) in an aggregate principal amount up to $400,000, comprised of a $360,000 U.S. revolving credit facility (the “U.S. Revolving Credit Facility“) and a $40,000 U.S. Dollar equivalent Australian sub-facility (the “Australian Revolving Sub-Facility”), each with a five year maturity. On October 16, 2018, the Company amended the terms of the Term Loan B Facility upon entering into Amendment No. 1 to the Credit Agreement, which lowered the applicable margin payable on LIBOR indexed loans thereunder from 225 bps to 200 bps. The Credit Agreement contains customary mandatory and optional prepayment provisions and customary events of default. The Credit Agreement’s Term Loan A Facility, Term Loan B Facility and U.S. Revolving Credit Facility (together, the “U.S. facilities”) are guaranteed by substantially all of the Company’s direct and indirect wholly owned domestic subsidiaries, and such guarantors pledged substantially all their assets as collateral to secure the U.S. facilities. The Australian Revolving Sub-Facility is secured by substantially all of the assets of the Australian borrower and its direct and indirect subsidiaries. The Credit Agreement can be used for working capital, capital expenditures and other corporate purposes and to fund permitted acquisitions (as defined in the Credit Agreement). Loans under the Credit Agreement bear interest at variable rates plus a margin, based on the Company’s consolidated secured net leverage ratio. The weighted average interest rates on the Company’s borrowings are as follows: March 31, 2019 March 31, 2018 Term Loan A Facility 4.50 % 4.13 % Term Loan B Facility 4.50 % 4.13 % U.S. Revolving Credit Facility — 4.42 % Australian Revolving Sub-Facility 3.85 % 4.13 % The Credit Agreement contains customary representations and warranties as well as customary negative and affirmative covenants, which require the Company to maintain the following financial covenants at the end of each quarter: (i) the consolidated secured net leverage ratio as of the last day of any fiscal quarter of the Company shall not exceed 4.50 to 1.00 for the fiscal quarters ended during the period of March 31, 2017 through, and including June 30, 2019 and (ii) the consolidated secured net leverage ratio as of the last day of any fiscal quarter of the Company shall not exceed 4.25 to 1.00 for the fiscal quarters ended during the period of September 30, 2019 and thereafter. The Credit Agreement, the indenture governing the 4.875% Senior Notes (the “4.875% Senior Notes Indenture”) and the indenture governing the 6.125% Senior Notes limit the Company’s ability to incur additional indebtedness. Additional covenants contained in the Credit Agreement and the Indentures, among other things, restrict the ability of the Company to dispose of assets, incur guarantee obligations, make restricted payments, create liens, make equity or debt investments, change the business conducted by the Company and its subsidiaries, and engage in certain transactions with affiliates. Under the Credit Agreement and the Indentures, certain changes in control of the Company could result in the occurrence of an Event of Default. In addition, the Credit Agreement limits the ability of the Company to modify terms of the Indentures. As of March 31, 2019, the Company was in compliance with the covenants in the Credit Agreement and the Indentures. Available borrowings under the U.S. Revolving Credit Facility and Australian Revolving Sub-Facility were $354,241 and $ 4,023 4.875% Senior Notes The $600,000 aggregate principal amount of 4.875% Senior Notes due 2025 (the “4.875% Senior Notes”) were issued in October 2017 to fund the acquisition of Constantia Labels. The 4.875% Senior Notes are unsecured senior obligations of the Company. Interest is payable on the 4.875% Senior Notes on May and November of each year beginning May 1, 2018 until the maturity date of November 1, 2025. The Company’s obligations under the 4.875% Senior Notes are guaranteed by certain of the Company’s existing direct and indirect wholly-owned domestic subsidiaries. 6.125% Senior Notes The $250,000 aggregate principal amount of 6.125% Senior Notes due 2022 (the “6.125% Senior Notes”) were issued in November 2014. The 6.125% Senior Notes are unsecured senior obligations of the Company. Interest is payable on the 6.125% Senior Notes on June and December of each year beginning June 1, 2015 until the maturity date of December 1, 2022. The Company’s obligations under the 6.125% Senior Notes are guaranteed by certain of the Company’s existing direct and indirect wholly-owned domestic subsidiaries. Debt Issuance Costs In conjunction with Amendment No. 1 to the Credit Agreement, the Company paid $730 in third-party fees of which $720 related to a debt modification and were recorded to selling, general and administrative expenses during the third quarter of fiscal 2019. The remaining $10 in third-party fees related to new lenders entering the syndication and were deferred. In addition, $185 of existing unamortized debt issuance costs related to lenders exiting the Term Loan B were written-off to interest expense as a loss on extinguishment of debt. The remaining unamortized debt issuance costs related to a debt modification and, along with the new deferred costs, are being amortized over the remaining term of the Term Loan B Facility. In conjunction with the issuance of the Credit Agreement, the Company incurred $16,331 $660 in unamortized debt issuance costs related to a debt extinguishment were written-off to interest expense during the three months ended December 31, 2017. The remaining unamortized fees under the prior credit agreement related to a debt modification and are being amortized over the term of the Revolving Credit Facility. The Company incurred $10,338 in debt issuance costs associated with the issuance of the 4.875% Senior Notes, which are being deferred and amortized over the term of the 4.875% Senior Notes. The Company recorded $5,085, $3,174 and $1,665 in interest expense in 2019, 2018 and 2017, respectively, in the consolidated statements of to amortize deferred financing costs. The Company incurred $4,587 in commitment fees related to a senior unsecured bridge facility (the “Bridge Facility”), which were written off to interest expense upon expiration of the availability of the Bridge Facility in 2018. Capital Leases The present value of the net minimum payments on the capitalized leases as of March 31 is as follows: 2019 2018 Total minimum lease payments $ 44,688 $ 49,521 Less amount representing interest (8,433 ) (13,233 ) Present value of net minimum lease payments 36,255 36,288 Current portion (4,550 ) (4,191 ) Capitalized lease obligations, less current portion $ 31,705 $ 32,097 Included in the consolidated balance sheet as of March 31, 2019 under property, plant and equipment are cost and accumulated depreciation related to capitalized leases of $42,710 and $6,336, respectively. Included in the consolidated balance sheet as of March 31, 2018 under property, plant and equipment are cost and accumulated depreciation related to capitalized leases of $49,640 and $9,841, respectively. The capitalized leases carry interest rates from 0.97% to 12.25% and mature from fiscal 2020 to fiscal 2032. |
RISK MANAGEMENT ACTIVITIES AND
RISK MANAGEMENT ACTIVITIES AND FINANCIAL INSTRUMENTS | 12 Months Ended |
Mar. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Risk Management Activities and Financial Instruments | (10) RISK MANAGEMENT ACTIVITIES AND FINANCIAL INSTRUMENTS The Company is exposed to market risks, both directly and indirectly, such as currency fluctuations and interest rate movement. To the extent the Company deems it to be appropriate, derivative instruments and hedging activities are used as a risk management tool to mitigate the potential impact of certain risks, primarily foreign currency exchange risk and interest rate risk. The Company uses various types of derivative instruments including, but not limited to, forward contracts and swaps. The Company formally assesses, designates, and documents as a hedge of an underlying exposure each qualifying derivative instrument that will be accounted for as an accounting hedge at inception. Additionally, the Company assesses, both at inception and at least quarterly thereafter, whether the financial instruments used in the hedging transactions are effective at offsetting changes in either the fair values or cash flows of the underlying exposures. Interest Rate Risk Management The Company uses interest rate swap agreements (the “Swaps”) to minimize its exposure to interest rate fluctuations on variable rate debt borrowings. Swaps involve the exchange of fixed and variable rate interest payments and do not represent an actual exchange of the underlying notional amounts between the two parties. The Company had three forward starting non-amortizing Swaps with a total notional amount of $125,000 to convert variable rate debt to fixed rate debt. The Swaps became effective October 2012 and expired in August 2016. The Swaps resulted in interest payments based on an average fixed rate of 1.396% plus the applicable margin per the requirements in the previous credit agreement. In conjunction with entering into the previous credit agreement on November 21, 2014 (see Note 9), the Company de-designated the Swaps as a cash flow hedge. The cumulative loss on the Swaps recorded in accumulated other comprehensive income (AOCI) at the time of de-designation was reclassified into interest expense in the same periods during which the originally hedged transactions affected earnings, as these transactions were still probable of occurring. Subsequent to November 21, 2014, changes in the fair value of the de-designated Swaps were immediately recognized in interest expense. In conjunction with entering into the Credit Agreement (see Note 9), the Company entered into two spot non-amortizing Swaps with a total notional amount of $300,000 to convert variable rate debt to fixed rate debt. These Swaps became effective October 2017, expired in October 2018, and resulted in interest payments of 1.5625% plus the applicable margin per the requirements in the Credit Agreement. The Company also entered into two forward starting non-amortizing Swaps with a total notional amount of $300,000 to convert variable rate debt to fixed rate debt. These Swaps became effective in October 2018, will expire in October 2022, and result in interest payments of 2.1345% plus the applicable margin per the requirements in the Credit Agreement. In addition, the Company entered into a forward starting non-amortizing Swap with a total notional amount of $100,000 to convert variable rate debt to fixed rate debt. This Swap will become effective in May 2019, will expire in October 2022, and will result in interest payments of 2.8060% plus the applicable margin per the requirements of the Credit Agreement. Upon inception, the Swaps were designated as cash flow hedges under ASU 2017-12, with gains and losses, net of tax, measured on an ongoing basis, recorded in accumulated other comprehensive income (loss). Foreign Currency Risk Management Foreign currency exchange risk arises from our international operations as well as from transactions with customers or suppliers denominated in currencies other than the U.S. Dollar. The functional currency of each of the Company’s subsidiaries is generally the currency of the country in which the subsidiary operates or the U.S. Dollar. At times, the Company uses foreign currency forward contracts to minimize the impact of fluctuations in currency exchange rates. The Company periodically enters into foreign currency forward contracts to fix the purchase price of foreign currency denominated firm commitments. Certain of these forward contracts are designated as fair value hedges and changes in the fair value of the contracts are recorded in other income and expense in the consolidated statements of operations in the same period during which the related hedged items affect the consolidated statements of operations. In addition, the Company periodically enters into short-term foreign currency forward contracts to fix the U.S. Dollar value of certain intercompany loan payments, which typically settle in the following quarter. During 2019 and 2018, these forward contracts were not designated as hedging instruments; therefore, changes in the fair value of the contracts were immediately recognized in other income and expense in the consolidated statements of operations. In June 2018, the Company began entering into foreign exchange forward contracts to fix the purchase price in U.S. Dollars of foreign currency denominated raw materials. These forward contracts are designated as cash flow hedges with gains and losses, net of tax, measured on an ongoing basis, recorded in AOCI. Net Investment Hedging In September 2017, as a means of managing foreign currency risk related to our significant operations in Europe, the Company executed four fixed-for-fixed cross currency swaps, in which the Company will pay Euros and receive U.S. Dollars with a combined notional amount of €400,000, which mature in November 2025. This will effectively convert U.S. Dollar denominated debt to Euro denominated debt. The Company designated €205,000 of swap notional as a net investment hedge of the Company’s net investment in our European operations under ASU 2017-12 The remaining €195,000 of swap notional was not designated as an accounting hedge in September 2017. Therefore, changes in fair value of the derivative instruments were recognized in other income and expense in the consolidated statements of . Subsequently, in November 2017, the Company formally designated the remaining €195,000 of swap notional as a net investment hedge under ASU 2017-12, bringing the total designated notional value to €400,000. Effective November 1, 2017, hedge accounting was applied to the newly designated swap notional of €195,000. Disclosures about Derivative Instruments All of the Company’s derivative assets and liabilities measured at fair value are classified as Level 2 within the fair value hierarchy. The Company determines the fair values of its derivatives based on valuation models which project future cash flows and discount the future amounts to a present value using market based observable inputs including interest rate curves, foreign currency rates, futures and basis point spreads, as applicable. Fair Value Derivatives Designated as Hedging Instruments Balance Sheet Location 2019 2018 Assets: Cross currency swaps (Net investment hedges) Other current assets $ 5,127 $ 4,295 Interest rate swaps (Cash flow hedges) Other current assets 743 920 Foreign exchange forward contracts (Fair value hedges) Other current assets — 127 Foreign exchange forward contracts (Cash flow hedges) Other current assets 5 0 Interest rate swaps (Cash flow hedges) Other long-term assets — 4,956 Liabilities: Interest rate swaps (Cash flow hedges) Other current liabilities $ 377 $ — Foreign exchange forward contracts (Fair value hedges) Other current liabilities 234 190 Foreign exchange forward contracts (Cash flow hedges) Other current liabilities 345 — Cross currency swaps (Net investment hedges) Other long-term liabilities 1,563 50,019 Interest rate swaps (Cash flow hedges) Other long-term liabilities 2,353 — Fair Value Derivatives Not Designated as Hedging Instruments Balance Sheet Location 2019 2018 Assets: Foreign exchange forward contracts Other current assets $ 26 $ — Liabilities: Foreign exchange forward contracts Other current liabilities $ 30 $ 127 The amounts of gains and (losses) recognized in AOCI net of reclassifications into earnings, during the twelve months ended March 31, 2019 and 2018 are as follows: Derivatives Designated as Hedging Instruments 2019 2018 Cross currency swaps (Net investment hedges) (1) $ 36,545 $ (29,667 ) Interest rate swaps (Cash flow hedges) (6,111 ) 4,259 Foreign exchange forward contracts (527 ) — (1) The net gain of $36,545 $4,833 $43,480, net of tax of $ (11,768) The amounts of gains and (losses) reclassified from AOCI into earnings for the twelve months ended March 31, 2019 and 2018 are as follows: Derivatives Designated as Hedging Instruments 2019 2018 Cross currency swaps (1) $ 5,226 $ 4,234 Interest rate swaps (2) 674 (101 ) Foreign exchange forward contracts (2) (588 ) — (1) The Company had a $5,226 excluded component gain in AOCI which was recognized into income during the twelve months ended March 31, 2019. (2) During the next 12 months, $26 of gains included in the March 31, 2019 AOCI balance are expected to be reclassified into interest expense. The amounts of gains and (losses) included in earnings from qualifying and non-qualifying financial instruments used in hedging transactions for the twelve months ended March 31, 2019 and 2018 are as follows: Derivatives Not Designated as Hedging Instruments Statement of Income Location 2019 2018 Foreign currency contract-Constantia purchase price Other income (expense), net $ — $ 8,109 Foreign currency contracts-Other Other income (expense), net 6,161 (7,198 ) Gain (loss) on underlying hedged items Other income (expense), net (5,340 ) 6,510 Cross currency swaps Interest expense 976 (4,018 ) Derivatives Designated as Hedging Instruments Statement of Income Location 2019 2018 Foreign exchange forward contracts (Fair value hedges) Other income (expense), net $ (46 ) $ (245 ) Gain on underlying hedged items Other income (expense), net 46 245 |
ACCRUED EXPENSES AND OTHER LIAB
ACCRUED EXPENSES AND OTHER LIABILITIES | 12 Months Ended |
Mar. 31, 2019 | |
Payables and Accruals [Abstract] | |
ACCRUED EXPENSES AND OTHER LIABILITIES | (11) ACCRUED EXPENSES AND OTHER LIABILITIES The Company’s accrued expenses and other liabilities as of March 31 consisted of the following: 2019 2018 Accrued payroll and benefits $ 41,441 $ 45,418 Accrued income taxes 6,632 13,838 Professional fees 4,534 1,965 Accrued taxes other than income taxes 1,671 4,682 Accrued interest 13,746 16,480 Customer rebates 3,750 2,578 Exit and disposal costs related to facility closures 210 457 Deferred payments 1,881 9,735 Deferred revenue 10,654 11,887 Derivative liabilities 986 317 Other 9,234 6,665 Total accrued expenses and other liabilities $ 94,739 $ 114,022 |
EMPLOYEE BENEFIT PLANS
EMPLOYEE BENEFIT PLANS | 12 Months Ended |
Mar. 31, 2019 | |
Retirement Benefits [Abstract] | |
EMPLOYEE BENEFIT PLANS | (12) EMPLOYEE BENEFIT PLANS The Company maintains a 401K retirement savings plan (Plan) for U.S. employees who meet certain service requirements. The Plan provides for voluntary contributions by eligible U.S. employees up to a specified maximum percentage of gross pay. At the discretion of the Company’s Board of Directors, the Company may contribute a specified matching percentage of the employee contributions. The Company also makes contributions to various retirement savings plans for Australian employees as required by law equal to 9% of gross pay and to other voluntary and involuntary defined contribution plans in Scotland, China, Malaysia and other subsidiaries outside the U.S. Company contributions to these retirement savings plans were $10,194, $7,217 and $5,189 in 2019, 2018 and 2017, respectively. The Company sponsors several pension plans, including our pension plan for certain former U.S. employees as well as other subsidiary pension plans around the globe. Our U.S. pension plan is a single employer defined benefit pension plan (Pension Plan), which covers eligible union employees at our former Norway, Michigan plant who were hired prior to July 14, 1998. The Pension Plan provides benefits based on a flat payment formula and years of credited service at a normal retirement age of 65. The benefits are actuarially reduced for early retirement. The Company recorded $10, $56 and $145 of net periodic benefit cost in 2019, 2018 and 2017, respectively. The Company used a March 31 measurement date (the fiscal year end) for the Pension Plan in 2019 and 2018. The Pension Plan’s benefit obligation was $1,071 and $1,008 as of March 31, 2019 and 2018, respectively. The fair value of the Pension Plan’s assets was $632 and $498 as of March 31, 2019 and 2018, respectively. As of March 31, 2019 and 2018, the Pension Plan’s unfunded obligation was $439 and $510, respectively. Non-U.S. Plans Certain subsidiaries outside the U.S. sponsor defined benefit postretirement plans that cover eligible regular employees. The Company deposits funds and/or purchases investments to fund these plans in addition to providing reserves for these plans. Benefits under the defined benefit plans are typically based on years of service and the employee’s compensation. The range of assumptions that are used for the non-U.S. defined benefit plans reflect the different economic environments within the various countries. These defined benefit plans are recorded based upon local accounting standards and are immaterial to the Company’s financial position and results of operations. The Company’s largest defined benefit postretirement plan outside the U.S. covers eligible employees at our Münden, Germany plant (Münden Plan). The Münden Plan recorded $18 and $47 of net periodic benefit cost in 2019 and 2018, respectively. The Münden Plan’s benefit obligation, plan assets and unfunded obligation as of March 31, 2019 were $3,028, $2,958 and $70, respectively. The Münden Plan’s benefit obligation, plan assets and unfunded obligation as of March 31, 2018 were $3,075, $3,037 and $38, respectively. |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Mar. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | (13) INCOME TAXES Earnings before income taxes were as follows: 2019 2018 2017 U.S. $ 29,964 $ 6,848 $ 65,113 Foreign (46,299 ) 46,854 23,100 Total $ (16,335 ) $ 53,702 $ 88,213 The provision (benefit) for income taxes as of March 31 includes the following components: 2019 2018 2017 Current: Federal $ 420 $ 2,783 $ 16,889 State and local 2,306 611 2,498 Foreign 15,069 20,641 9,298 Total Current 17,795 24,035 28,685 Deferred: Federal 2,438 (18,406 ) 987 State and local (1,764 ) 70 (147 ) Foreign (6,137 ) (23,894 ) (2,677 ) Total Deferred (5,463 ) (42,230 ) (1,837 ) Total $ 12,332 $ (18,195 ) $ 26,848 The following is a reconciliation between the U.S. statutory federal income tax rate and the effective tax rate: 2019 2018 2017 U.S. federal statutory rate 21.0 % 31.5 % 35.0 % State and local income taxes, net of federal income tax benefit (1.9 )% 0.4 % 1.7 % Section 199 deduction — — (1.8 )% Foreign derived intangible income deduction 4.8 % — — International rate differential 45.1 % (5.1 )% (3.3 )% Unrecognized tax benefits 19.4 % 0.6 % (0.9 )% Foreign permanent differences 3.3 % (1.1 )% (2.1 )% Non-deductible transaction costs (8.3 )% 4.2 % 0.2 % Valuation allowances (3.6 )% 2.0 % 1.2 % U.S. Repatriation Tax 3.2 % 5.7 % — Goodwill impairment (176.6 )% — — Share-based Compensation 1.4 % (2.5 )% — Tax Rate Changes 18.0 % (70.8 )% — U.S. Research & Development Credit 6.6 % -1.5 % -0.8 % Other foreign taxes (6.9 )% 1.6 % 0.8 % Other (1.0 )% 1.1 % 0.4 % Effective tax rate (75.5 )% (33.9 )% 30.4 % During the fourth quarter of the Company’s fiscal year ended March 31, 2019, a goodwill impairment was recorded on various entities for which a tax deduction is not permitted. See Note 8 for additional details. On December 22, 2017, the U.S. government enacted comprehensive tax legislation commonly referred to as the Tax Cuts and Jobs Act (the “Tax Act”). The Tax Act significantly revises the future ongoing U.S. corporate income tax by, among other things, lowering U.S. corporate income tax rates and implementing a territorial tax system. As the Company has a March 31 fiscal year-end, the lower corporate income tax rate was phased in, resulting in a U.S. statutory federal rate of 31.5% for the Company’s fiscal year ending March 31, 2018, and 21% for subsequent fiscal years. The Tax Act eliminates the domestic manufacturing deduction and implements certain transitional impacts to the Company, including a one-time repatriation tax on deemed repatriation of historical earnings of foreign subsidiaries. In addition, the reduction of the U.S. corporate tax rate caused the Company to adjust the U.S. deferred tax assets and liabilities to the lower federal base rate of 21 As of March 31, 2018, the Company recorded a discrete net tax benefit of $18,268 as a result of the Tax Act, comprised of an estimated repatriation tax charge of $3,075 The majority of the Company’s earnings from foreign subsidiaries are considered permanently reinvested. The repatriation tax resulted in certain previously untaxed non-U.S. earnings being included in the U.S. federal and state 2017 taxable income. As a result of the Tax Act, the Company analyzed its global working capital requirements and the potential tax liabilities that would be incurred if certain non-U.S. subsidiaries made distributions, which include local country withholding tax and potential U.S. state taxation. At March 31, 2019, $1,189 of deferred tax was recorded for certain undistributed earnings of non-U.S. subsidiaries. Historically, no deferred taxes have been provided for any portion of the remaining undistributed earnings of the Company’s subsidiaries since these earnings have been, and will continue to be, permanently reinvested in these subsidiaries. For many reasons, including the number of legal entities and jurisdictions involved, the complexity of the Company’s legal entity structure, the complexity of tax laws in the relevant jurisdictions and the impact of projections of income for future years to any calculations, the Company believes it is not practicable to estimate, within any reasonable range, the amount of additional taxes which may be payable upon the distribution of earnings. On December 25, 2017, a Belgian tax reform bill was signed into law. $ 2,268 Effective April 1, 2017, the Company adopted ASU 2016-09, “ $227 Effective April 1, 2018, the Tax Act subjects a U.S. parent to current tax on its “global intangible low-taxed income” (“GILTI”). The Company does not anticipate incurring a GILTI liability in fiscal year 2019, however, to the extent that expense is incurred under the GILTI provisions, the Company will treat it as a component of income tax expense in the period incurred. Effective April 1, 2018, the Company adopted ASU 2014-09, “Revenue from Contracts with Customers (Topic 606)” and all related amendments, which provides revised guidance for revenue recognition. The standard was adopted by applying the modified retrospective method and all applicable deferred tax impacts were recorded as an adjustment to retained earnings on the date of adoption. The net deferred tax components as of March 31 consisted of the following: 2019 2018 Deferred tax liabilities: Book basis over tax basis of fixed assets $ (58,169 ) $ (44,717 ) Book basis over tax basis of intangible assets (128,273 ) (135,432 ) Interest rate swap (406 ) — Deferred financing costs (16 ) (297 ) Other (5,766 ) (6,370 ) Total deferred tax liabilities (192,630 ) (186,816 ) Deferred tax assets: Inventory reserves 2,165 925 Interest expense carryforwards 10,674 — Inventory capitalization 343 809 Allowance for doubtful accounts 201 242 Stock based compensation expense 1,307 1,305 Minimum pension liability 524 546 Loss carry forward amounts 35,771 25,110 Credit carry forward amounts 963 2,007 Interest rate swaps — 9,306 State basis over tax basis of fixed assets 1,554 667 Non-deductible accruals and other 8,491 10,148 Deferred compensation 234 699 Lease obligations 6,169 4,799 Gross deferred tax asset 68,396 56,563 Valuation allowance (31,702 ) (16,870 ) Net deferred tax asset 36,694 39,693 Net deferred tax liability $ (155,936 ) $ (147,123 ) As of March 31, 2019, Multi-Color had tax-effected federal, state, and foreign operating loss carryforwards of $0, $1,516, and $34,255 respectively. As of March 31, 2018, $1,922, and $22,174, respectively. $ 18,552 As of March 31, 2019 and 2018, Multi-Color had valuation allowances of $31,702 and $16,870, respectively. As of March 31, 2019 and 2018, $31,247 and $16,454, respectively, of the valuation allowances are related to certain deferred tax assets in foreign jurisdictions due to the uncertainty of the realization of future tax benefits from those assets. The increase in the valuation allowance during the year is primarily caused by adjustments to the opening balance sheet deferred tax balances associated with recording the Constantia acquisition. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities and projected future taxable income in making this assessment. At each reporting date, the Company considers both negative and positive evidence that impacts the assessment of the realization of deferred tax assets. The benefits of tax positions are not recorded unless it is more likely than not the tax position would be sustained upon challenge by the appropriate tax authorities. Tax benefits that are more likely than not to be sustained are measured at the largest amount of benefit that is cumulatively greater than a 50% likelihood of being realized. As of March 31, 2019 and 2018, the Company had liabilities of $5,846 and $7,038, respectively, recorded for unrecognized tax benefits for U.S. federal, state and foreign tax jurisdictions. During the years ended March 31, 2019 and 2018, $1,672 $120, 31, 2019 and 2018 was $1,408 and $2,641, respectively. The liability for unrecognized tax benefits is classified in other noncurrent liabilities on the consolidated balance sheets for the portion of the liability where payment of cash is not anticipated within one year of the balance sheet date. During the year ended March 31, 2019, the Company released $5,251 of reserves, including interest and penalties, related to uncertain tax positions for which the statutes of limitations have lapsed or there was a reduction in the tax position related to a prior year. The Company believes that it is reasonably possible that $2,068 of unrecognized tax benefits as of March 31, 2019 could be released within the next 12 months due to lapse of statute of limitations and settlements of certain foreign and domestic income tax matters. The unrecognized tax benefits that, if recognized, would favorably impact the effective tax rate are $5,453. A summary of the activity for the Company’s unrecognized tax benefits as of March 31 is as follows: 2019 2018 Beginning balance $ 7,038 $ 5,665 Additions based on tax positions related to the current year 616 1,843 Additions of tax positions of prior years 1,870 833 Settlements (146 ) (1,358 ) Reductions of tax positions of prior years (233 ) (44 ) Lapse of applicable statutes of limitations (3,059 ) (345 ) Currency translation (240 ) 444 Ending balance $ 5,846 $ 7,038 The Company files income tax returns in the U.S. federal jurisdiction, various foreign jurisdictions and various state and local jurisdictions where the statutes of limitations generally range from three to four years. At March 31, 2019, the Company is no longer subject to U.S. federal examinations by tax authorities for years before fiscal 2016. The Company is no longer subject to state and local examinations by tax authorities for years before fiscal 2015. In foreign jurisdictions, the Company is no longer subject to examinations by tax authorities for years before fiscal 1999. |
MAJOR CUSTOMERS
MAJOR CUSTOMERS | 12 Months Ended |
Mar. 31, 2019 | |
Risks and Uncertainties [Abstract] | |
MAJOR CUSTOMERS | (14) MAJOR CUSTOMERS During 2019, 2018 and 2017, sales to major customers (those exceeding 10% of the Company’s net revenues in one or more of the periods presented) approximated 10%, 14% and 17%, respectively, of the Company’s consolidated net revenues. All of these sales were made to The Procter & Gamble Company. In addition, accounts receivable balances from The Procter & Gamble Company approximated 2% and 3% of the Company’s total accounts receivable balance at March 31, 2019 and 2018, respectively. The loss or substantial reduction of the business of this major customer could have a material adverse impact on the Company’s results of operations and cash flows. As a result of a recent procurement savings initiative conducted by our major customer, this customer has diversified its supply of certain label products produced by the Company in North America. We have provided pricing concessions to retain volume but also expect volume from this customer will be reduced. These actions resulted in softer revenues for fiscal 2019 and are expected to continue throughout fiscal 2020. The Company believes that it remains a significant supplier of labels to this customer in North America and that the Company’s global footprint and the Company’s high quality and innovative products will provide the Company the opportunity to grow its relationship with this customer in new products and regions. We expect to offset these developments by continuing to focus on organic growth and internal improvement opportunities. We believe the Company’s operating margins will enhance over the longer term as we historically achieved through continued premiumization, innovation and efficiency gains. However, the loss or continued reduction of business of our major customer could have a material adverse impact on our results of operations and cash flow. |
EARNINGS PER COMMON SHARE
EARNINGS PER COMMON SHARE | 12 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
EARNINGS PER COMMON SHARE | (15) EARNINGS PER COMMON SHARE The following is a reconciliation of the number of shares used in the basic EPS and diluted EPS computations: 2019 2018 2017 Per Share Per Share Per Share Shares Amount Shares Amount Shares Amount Basic EPS 20,468 $ (1.42 ) 18,421 $ 3.91 16,879 $ 3.61 Effect of dilutive securities — — 162 (0.04 ) 145 (0.03 ) Diluted EPS 20,468 $ (1.42 ) 18,583 $ 3.87 17,024 $ 3.58 The Company excluded 386, 94 and 172 shares in the fiscal years ended March 31, 2019, 2018 and 2017, respectively, from the computation of diluted EPS because these shares would have an anti-dilutive effect. |
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION | 12 Months Ended |
Mar. 31, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
STOCK-BASED COMPENSATION | (16) STOCK-BASED COMPENSATION The Company maintains incentive plans which authorize the issuance of stock-based compensation including stock options, restricted stock and restricted share units to officers, key employees and non-employee directors. New shares are issued upon exercise of stock options or vesting of restricted stock or restricted share units. As of March 31, 2019, 894 shares of common stock remained reserved for future issuance under the 2012 Stock Incentive Plan, 2003 Stock Incentive Plan, as amended, and 2006 Director Equity Compensation Plan. The Company measures compensation costs related to stock-based transactions at the grant date, based on the fair value of the award, and recognizes them as expense over the requisite service period. For the year ended March 31, 2019, the Company recorded pre-tax compensation expense for stock-based incentive awards of $2,498 which increased selling, general and administrative expenses by $1,685 and cost of revenues by $813 and had an associated tax benefit of $475. For the year ended March 31, 2018, the Company recorded pre-tax compensation expense for stock-based incentive awards of $3,456 which increased selling, general and administrative expenses by $2,489 and cost of revenues by $967 and had an associated tax benefit of $898. For the year ended March 31, 2017, the Company recorded pre-tax compensation expense for stock-based incentive awards of $3,042 which increased selling, general and administrative expenses by $2,064 and cost of revenues by $978 and had an associated tax benefit of $943. Stock Options Stock options granted under the plans enable the holder to purchase common stock at an exercise price not less than the market value on the date of grant and will expire not more than ten years after the date of grant. The applicable options vest ratably over a five year period. The Company calculates the value of each employee stock option, estimated on the grant date, using the Black-Scholes model and the following weighted average assumptions: 2019 2018 2017 Expected life (years) 5.6 5.7 5.8 Risk-free interest rate 2.8 % 1.8 % 1.2 % Expected volatility 29.5 % 32.4 % 38.9 % Dividend yield 0.3 % 0.3 % 0.3 % The Company estimated volatility based on the historical volatility of its common stock. The risk-free interest rate is based on the U.S. Treasury yield for a term consistent with the expected life of the options in effect at the time of the grant. The dividend yield assumption is based on the Company’s history and expectation of dividend payouts. The expected life of the options represents the weighted-average period the stock options are expected to remain outstanding and is based on review of historical exercise behavior of option grants with similar vesting periods. The Company uses an estimated forfeiture rate based on historical data. The forfeitures are estimated at the time of grant and revised, if necessary, in subsequent periods if actual forfeitures differ from those estimates. A summary of the changes in the options outstanding for years ended March 31, 2019, 2018 and 2017 is shown below: Weighted Weighted Average Aggregate Average Exercise Remaining Life Intrinsic Options Price (Years) Value Outstanding at March 31, 2016 600 $ 34.50 Granted 32 $ 61.62 Exercised (136 ) $ 24.52 $ 5,664 Forfeited (25 ) $ 41.66 Outstanding at March 31, 2017 471 $ 38.84 Granted 119 $ 85.38 Exercised (110 ) $ 26.60 $ 5,990 Forfeited (14 ) $ 57.10 Outstanding at March 31, 2018 466 $ 53.10 Granted 45 $ 70.77 Exercised (76 ) $ 27.80 $ 2,403 Forfeited (18 ) $ 64.86 Outstanding at March 31, 2019 417 $ 59.09 6.4 $ 2,693 Exercisable at March 31, 2019 203 $ 45.86 5.0 $ 2,498 Exercisable at March 31, 2018 186 $ 33.72 5.0 $ 6,024 As of March 31, 2019, the total compensation cost related to nonvested options not yet recognized and the weighted-average period over which it is expected to be recognized is $3,474 and 2.9 years, respectively. The weighted average grant-date fair value of options granted during the year ended March 31, 2019, 2018 and 2017 was $22.67, $27.98 and $22.72, respectively. Cash received from options exercised during the year ended March 31, 2019 was $1,556. The total grant-date fair value of options vested during the year ended March 31, 2019, 2018 and 2017 was $2,162, $1,800 and $2,062, respectively. Restricted Stock Restricted stock grants under the plans typically vest over a three to five year period. The cost of these awards is determined using the fair value of the Company’s common stock on the date of the grant and is recognized on a straight-line basis over the period the restrictions lapse. A summary of the changes in restricted shares for the year ended March 31, 2019, 2018 and 2017 is shown below: Weighted Average Restricted Grant Date Shares Fair Value Non-vested restricted shares at March 31, 2016 25 $ 55.99 Granted 8 $ 64.50 Vested (15 ) $ 51.67 Forfeited (1 ) $ 64.05 Non-vested restricted shares at March 31, 2017 17 $ 62.72 Granted 9 $ 85.17 Vested (10 ) $ 63.46 Forfeited (3 ) $ 72.47 Non-vested restricted shares at March 31, 2018 13 $ 76.17 Granted 19 $ 64.72 Vested (7 ) $ 72.88 Forfeited — $ — Non-vested restricted shares at March 31, 2019 25 $ 68.32 As of March 31, 2019, the total compensation cost related to non-vested restricted shares not yet recognized and the weighted-average period over which it is expected to be recognized was $1,204 and 2.0 years. The total grant-date fair value of restricted shares vested during the year ended March 31, 2019, 2018 and 2017 was $472, $665 and $720, respectively. Restricted Share Units Restricted share units (RSUs) granted under the plans vest over a three-year period, and the number of RSUs that will vest is based on the Company’s level of achievement of a certain performance target. Based on the extent to which the performance condition is met, it is possible for none of the RSUs to vest or for a range up to the maximum to vest. The cost of these awards is determined using the fair value of the Company’s common stock on the date of grant and is recognized over the requisite service period based on the Company’s estimate of the probable outcome of the performance condition. We evaluate our estimate quarterly, and the expense is adjusted for any change in our estimate of the probable outcome. A summary of the changes in restricted share units for the years ended March 31, 2019, 2018 and 2017 are shown below: Weighted Average Grant Date RSUs Fair Value Non-vested RSUs at March 31, 2016 42 $ 64.05 Granted 35 $ 61.19 Forfeited (18 ) $ 62.59 Non-vested RSUs at March 31, 2017 59 $ 62.80 Granted 19 $ 85.90 Vested (12 ) $ 64.05 Forfeited (30 ) $ 67.51 Non-vested RSUs at March 31, 2018 36 $ 70.73 Granted 46 $ 66.62 Vested (10 ) $ 61.19 Forfeited (12 ) $ 61.19 Non-vested RSUs at March 31, 2019 60 $ 71.09 As of March 31, 2019, the total compensation cost related to non-vested RSUs not yet recognized was $739 based upon the Company’s estimate of the probable outcome of the performance condition. The weighted-average period over which it is expected to be recognized was 2.2 years. |
GEOGRAPHIC INFORMATION
GEOGRAPHIC INFORMATION | 12 Months Ended |
Mar. 31, 2019 | |
Text Block [Abstract] | |
GEOGRAPHIC INFORMATION | (17) GEOGRAPHIC INFORMATION During fiscal 2018, we acquired GEWA, TP Label, Constantia Labels and began producing labels from our start-up in Auckland, New Zealand. During fiscal 2017, we acquired Italstereo, I.L.A., Graphix and GIP. All of these acquisitions expanded the Company’s geographic presence. See Note 4 for further information regarding these acquisitions. The Company now manufactures labels in the North American, Latin American, EMEA (Europe, Middle East and Africa) and Asia Pacific regions. Net revenues, based on the geographic area from which the product is shipped, for the years ended March 31 and long-lived assets by geographic area as of March 31 are as follows: 2019 2018 2017 Net revenues: United States $ 660,275 $ 584,458 $ 511,551 Belgium 152,242 67,035 — Germany 132,973 62,184 — Other International 780,064 587,235 411,744 Total $ 1,725,554 $ 1,300,912 $ 923,295 2019 2018 Long-lived assets: United States $ 584,274 $ 649,413 Belgium (1) 408,171 (7,455 ) Germany 252,533 878,106 Other International 806,594 778,902 Total $ 2,051,572 $ 2,298,966 (1) We allocate goodwill to our foreign and domestic locations. In fiscal 2018, negative goodwill associated with the acquisition of Constantia Labels was allocated to our plant in Belgium, as the final goodwill allocation was not complete. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Mar. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | (18) COMMITMENTS AND CONTINGENCIES Operating Lease Agreements The Company has various equipment, office and facility operating leases. Leases expire on various dates through March 2032 and some of the leases contain clauses requiring escalating rent payments. Rent expense during 2019, 2018 and 2017 was $24,380, $17,953 and $12,767, respectively. The annual future minimum rental obligations as of March 31, 2019 are as follows: Fiscal 2020 $ 22,595 Fiscal 2021 19,569 Fiscal 2022 17,297 Fiscal 2023 13,168 Fiscal 2024 7,585 Thereafter 15,877 Total $ 96,091 Purchase Obligations The Company has entered into purchase agreements for various raw materials, uniforms, supplies, utilities, other services and property, plant and equipment. Total estimated purchase obligations are $36,414 at March 31, 2019. Litigation The Company is subject to various legal claims and contingencies that arise out of the normal course of business, including claims related to commercial transactions, product liability, health and safety, taxes, environmental matters, employee matters and other matters. Litigation is subject to numerous uncertainties and the outcome of individual claims and contingencies is not predictable. It is possible that some legal matters for which reserves have or have not been established could result in an unfavorable outcome for the Company and any such unfavorable outcome could be of a material nature or have a material adverse effect on our financial condition, results of operations and cash . |
SUPPLEMENTAL CASH FLOW DISCLOSU
SUPPLEMENTAL CASH FLOW DISCLOSURES | 12 Months Ended |
Mar. 31, 2019 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Cash Flow Disclosures | (19) SUPPLEMENTAL CASH FLOW DISCLOSURES Supplemental disclosures with respect to cash flow information and non-cash investing and financing activities are as follows: 2019 2018 2017 Supplemental Disclosures of Cash Flow Information: Interest paid $ 81,613 $ 32,844 $ 23,672 Income taxes paid, net of refunds 28,514 30,305 21,143 Supplemental Disclosures of Non-Cash Activities: Additional minimum pension liability $ 37 $ (55 ) $ (282 ) Capital expenditures incurred but not yet paid 5,958 9,958 3,323 Capital lease obligations incurred 1,882 — 864 Change in derivative contract fair value - asset position (4,397 ) 10,298 — Change in derivative contract fair value - liability position 45,434 (50,336 ) 225 Business combinations accounted for as a purchase: Assets acquired (excluding cash) $ 16,233 $ 1,612,925 $ 45,328 Liabilities assumed (15,033 ) (335,648 ) (16,669 ) Liabilities for contingent / deferred payments — (13,713 ) 242 MCC common stock issued — (237,820 ) — Noncontrolling interest (1,200 ) (1,100 ) (62 ) Net cash paid $ — $ 1,024,644 $ 28,839 |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE LOSS | 12 Months Ended |
Mar. 31, 2019 | |
Equity [Abstract] | |
ACCUMULATED OTHER COMPREHENSIVE LOSS | (20) ACCUMULATED OTHER COMPREHENSIVE LOSS The changes in the Company’s accumulated other comprehensive loss by component consisted of the following: Foreign Gains and (losses) currency on derivative Defined benefit items contracts pension items Total Balance at March 31, 2017 $ (85,593 ) $ — $ (202 ) $ (85,795 ) OCI before reclassifications (1) 91,928 (22,635 ) 3 69,296 Amounts reclassified from AOCI — (2,773 ) 31 (2,742 ) Net current period OCI 91,928 (25,408 ) 34 66,554 Balance at March 31, 2018 6,335 (25,408 ) (168 ) (19,241 ) OCI before reclassifications (2) (135,054 ) 33,894 (32 ) (101,192 ) Amounts reclassified from AOCI — (3,987 ) 4 (3,983 ) Net current period OCI (135,054 ) 29,907 (28 ) (105,175 ) ASU 2018-02 reclassifications of stranded tax effects (244 ) (1,506 ) — (1,750 ) Balance at March 31, 2019 $ (128,963 ) $ 2,993 $ (196 ) $ (126,166 ) (1) Net of tax of $9,063 (1 (2) Net of tax of $(11,351) and $11 for derivative contracts and defined benefit pension items, respectively. Reclassifications out of accumulated other comprehensive loss consisted of the following: 2019 2018 Gains and losses on cash flow hedges: Cross currency swaps (1) $ (5,226 ) $ (4,234 ) Interest rate swaps (1) (674 ) 101 Foreign exchange forward contracts (2) 588 — Tax 1,325 1,360 Net of tax (3,987 ) (2,773 ) Defined benefit pension items: Amortization of net actuarial losses (3) 6 7 Settlement and curtailments (3) — 44 Tax (2 ) (20 ) Net of tax 4 31 Total reclassifications, net of tax $ (3,983 ) $ (2,742 ) (1) Reclassified from AOCI into interest expense in the consolidated statements of operations. See Note 10. (2) Reclassified from AOCI into cost of revenues in the consolidated statements of operations. See Note 10. (3) Reclassified from AOCI into facility closure expenses in the consolidated statements of operations. These components are included in the computation of net periodic pension cost. See Note 12. |
FACILITY CLOSURES
FACILITY CLOSURES | 12 Months Ended |
Mar. 31, 2019 | |
Restructuring and Related Activities [Abstract] | |
FACILITY CLOSURES | (21) FACILITY CLOSURES Cowansville, Canada During the three months ended March 31, 2019, the Company announced plans to close our manufacturing facility located in Cowansville, Canada. Production ceased at the facility as of March 31, 2019, and the closure is expected to be substantially completed during the first quarter of fiscal 2020. Below is a summary of the exit and disposal costs related to the closure of the Cowansville facility: Total costs Total costs incurred Cumulative costs incurred 2019 March 31, 2019 Severance and other termination benefits $ 150 $ 111 $ 111 Other associated costs — — — Below is a reconciliation of the beginning and ending liability balances related to the exit and disposal costs: Balance at Amounts Amounts Balance at Severance and other termination benefits $ — 111 (54 ) $ 57 As a result of the decision to close our Cowansville facility, the Company determined that it was more likely than not that certain fixed assets at the Cowansville facility would be sold or otherwise disposed of significantly before the end of their estimated useful lives. During fiscal 2019, non-cash impairment charges of $309 were recorded to adjust the carrying value of certain machinery and equipment to their estimated fair value, less costs to sell, which were determined based upon a quoted market price. In addition, the Company recorded a net gain on the sale of property, plant and equipment of $55 related to assets at the Cowansville facility and wrote-off $118 in inventory that will be disposed of as a result of the closure. These items were recorded in facility closure expenses in the consolidated statements of operations in fiscal 2019. The cumulative costs incurred in conjunction with the closure as of March 31, 2019 are $483, which were recorded in facility closure expenses in the consolidated statements of operations in fiscal 2019. Melbourne, Australia During the three months ended June 30, 2018, the Company announced plans to consolidate our manufacturing facility located in Melbourne, Australia into our existing facility in Notting Hill, Australia. The transition was substantially completed during the second quarter of fiscal 2019 except for restoring the facility to its original leased condition, which is expected to be completed during the first quarter of fiscal 2020. Below is a summary of the total contractual termination benefits and exit and disposal costs related to the closure of the Melbourne facility: Total costs Total costs incurred Cumulative costs incurred 2019 March 31, 2019 Severance and other termination benefits $ 170 $ 170 $ 170 Other associated costs 700 900 612 612 Other associated costs primarily consist of costs to dismantle, transport and reassemble manufacturing equipment that was moved from Melbourne to Notting Hill, costs to prepare the Notting Hill facility for installation of the new equipment and costs to restore the facility to its original leased condition. Below is a reconciliation of the beginning and ending liability balances related to the contractual termination benefits and exit and disposal costs: Balance at Amounts Amounts Balance at March Severance and other termination benefits $ — 170 (170 ) $ — Other associated costs $ — 612 (459 ) $ 153 The cumulative costs incurred in conjunction with the closure are $782, which were recorded in integration expenses within selling, general and administrative expenses in the consolidated statements of operations in fiscal 2019. Merignac, France During the three months ended September 30, 2017, the Company announced plans to consolidate our manufacturing facility located in Merignac, France into our existing facility in Libourne, France. The transition was substantially completed in the third quarter of fiscal 2018. Below is a summary of the total contractual termination benefits and exit and disposal costs related to the closure of the Merignac facility: Total costs expected to be Total costs incurred Cumulative costs incurred 2019 2018 March 31, 2019 Severance and other termination benefits $ 663 $ (40 ) $ 703 $ 663 Other associated costs 566 750 220 347 567 Other associated costs primarily consisted of costs to dismantle, transport and reassemble manufacturing equipment that was moved to other manufacturing facilities and ongoing costs related to the leased facility until expiration or early termination of the related lease agreement. Below is a reconciliation of the beginning and ending liability balances related to the contractual termination benefits and exit and disposal costs: Balance at Amounts Amounts Balance at Severance and other termination benefits $ 457 (40 ) (417 ) $ — Other associated costs $ — 220 (220 ) $ — As a result of the decision to close our Merignac facility, the Company determined that it was more likely than not that certain fixed assets at the Merignac facility would be sold or otherwise disposed of significantly before the end of their estimated useful lives. During fiscal 2018, non-cash impairment charges of $125 related to these assets were recorded to write off land and building improvements that will not be transferred to Libourne and will be abandoned. In addition, the Company recorded a net loss on the sale of property, plant and equipment of $48 and $42 related to assets in Merignac that were not transferred to Libourne and were sold or abandoned during fiscal 2019 and 2018, respectively. In fiscal 2018, the Company reversed $102 in accrued pension related to employees that were terminated in conjunction with the closure. These items were recorded in facility closure expenses in the consolidated statements of operations. The cumulative costs incurred in conjunction with the closure as of March 31, 2019 are $1,343, which were recorded in facility closure expenses in the consolidated statements of operations, $228 and $1,115 in fiscal 2019 and 2018, respectively. Dormans, France During the three months ended June 30, 2017, the Company announced plans to close our manufacturing facility located in Dormans, France. Production at the facility ceased during the first quarter of fiscal 2018, and closure activities were substantially completed during the fourth quarter of fiscal 2018. Below is a summary of the exit and disposal costs related to the closure of the Dormans facility: 2018 Severance and other termination benefits $ 106 Other associated costs 23 Other associated costs primarily consisted of costs to dismantle, transport and reassemble manufacturing equipment that was moved to other manufacturing facilities. During fiscal 2018, the Company recorded non-cash impairment charges of $25 to adjust the carrying value of the land and building held for sale at the Dormans facility to their estimated fair value, less costs to sell, which were determined based on a quoted market price. The land and building at the Dormans facility were sold during fiscal 2018. During fiscal 2018, the Company recorded a net loss on the disposal of property, plant and equipment of $59 related to assets in Dormans that were not transferred to other facilities and were sold or abandoned. In addition, the Company wrote-off $47 in raw materials that were not transferred to other facilities. These items were recorded in facility closure expenses in the consolidated statements of operations. The cumulative costs incurred in conjunction with the closure as of March 31, 2019 are $260, which were recorded in facility closure expenses in the consolidated statements of operations in fiscal 2018. Sonoma, California On January 19, 2016, the Company announced plans to consolidate our manufacturing facility located in Sonoma, California, into our existing facility in Napa, California. The transition was substantially completed in the third quarter of fiscal 2017. During fiscal 2017, the Company incurred the following exit and disposal costs related to the closure of the Sonoma facility, which were recorded in facility closure expenses in the consolidated statements of operations: 2017 Severance and other termination benefits $ 6 Other associated costs 91 Other associated costs primarily consisted of costs to dismantle, transport and reassemble manufacturing equipment that was moved from Sonoma to Napa. During fiscal 2017, the Company recorded a net gain on the sale of property, plant and equipment of $185 related to assets in Sonoma that were not transferred to Napa and were sold. In addition, the Company wrote-off $140 in property, plant and equipment that was not transferred to Napa and was abandoned in fiscal 2017. These items were recorded in facility closure expenses in the consolidated statements of operations. Glasgow, Scotland During the three months ended March 31, 2016, the Company began the process to consolidate our two manufacturing facilities located in Glasgow, Scotland into one facility. The transition was substantially completed in the fourth quarter of fiscal 2017. During fiscal 2017, the Company incurred the following exit and disposal costs related to the consolidation of the Glasgow facilities, which were recorded in facility closure expenses in the consolidated statements of operations: 2017 Severance and other termination benefits $ 100 Other associated costs 539 Other associated costs primarily consisted of costs to dismantle, transport and reassemble manufacturing equipment that was moved in order to consolidate our two manufacturing facilities located in Glasgow into one facility. During fiscal 2017, the Company recorded a net gain on the sale of property, plant and equipment of $377 related to assets that were not transferred from the closing Glasgow facility to other locations and were sold, which was recorded in facility closure expenses in the consolidated statements of operations. Greensboro, North Carolina On October 5, 2015, the Company announced plans to consolidate our manufacturing facility located in Greensboro, North Carolina into other North American facilities. The transition was substantially completed in the fourth quarter of fiscal 2016. During fiscal 2017, the Company incurred the following exit and disposal costs related to the closure of the Greensboro facility, which were recorded in facility closure expenses in the consolidated statements of operations: 2017 Severance and other termination benefits $ (22 ) Contract termination costs (66 ) Other associated costs 207 Other associated costs primarily consisted of costs to dismantle, transport and reassemble manufacturing equipment that was moved from the Greensboro facility to other North American facilities and costs to return the facility to its original leased condition. Dublin, Ireland During the three months ended December 31, 2015, the Company began the process to consolidate our manufacturing facility located in Dublin, Ireland into our existing facility in Drogheda, Ireland (near Dublin). The consolidation was substantially completed in the first quarter of fiscal 2017. During fiscal 2017, the Company incurred the following exit and disposal costs related to the closure of the Dublin facility, which were recorded in facility closure expenses in the consolidated statements of operations: 2017 Severance and other termination benefits $ 102 Contract termination costs 177 Other associated costs 76 Other associated costs primarily consisted of costs to dismantle, transport and reassemble manufacturing equipment that was moved from Dublin to Drogheda and costs to relocate employees. Norway, Michigan and Watertown, Wisconsin During fiscal 2015, the Company decided to close our manufacturing facilities located in Norway, Michigan and Watertown, Wisconsin. Due to available capacity, we transitioned the Norway and Watertown business to other North American facilities. During fiscal 2018 and 2017, the Company recorded settlement expense of $44 and $133, respectively, related to the defined benefit pension plan that covers eligible former union employees of the Norway plant who were hired prior to July 14, 1998. These costs were recorded in facility closure expenses in the consolidated statements of operations. |
QUARTERLY DATA
QUARTERLY DATA | 12 Months Ended |
Mar. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
QUARTERLY DATA | (22) QUARTERLY DATA (UNAUDITED) Earnings per share amounts are computed independently each quarter. As a result, the sum of each quarter’s per share amount may not equal the total per share amount for the respective year. Quarter Fiscal 2019 First Second Third Fourth Net revenues $ 456,131 $ 434,913 $ 397,004 $ 437,506 Gross profit 88,010 86,785 65,381 81,744 Net income (loss) 18,092 23,805 11,475 (82,039 ) Net income (loss) attributable to Multi-Color Corporation 18,139 23,755 11,286 (82,221 ) Basic earnings (loss) per share $ 0.89 $ 1.16 $ 0.55 $ (4.01 ) Diluted earnings (loss) per share 0.88 1.16 0.55 (4.01 ) Fiscal 2019 results include $711 ($507 Quarter First Second Third Fourth Facility closure expenses $ 27 $ 114 $ 60 $ 510 Quarter Fiscal 2018 First Second Third Fourth Net revenues $ 242,440 $ 256,034 $ 352,699 $ 449,739 Gross profit 49,457 51,774 57,302 88,067 Net income 14,142 15,190 20,511 22,054 Net income attributable to Multi-Color Corporation 14,106 15,190 20,532 22,123 Basic earnings per share $ 0.83 $ 0.89 $ 1.06 $ 1.08 Diluted earnings per share 0.82 0.88 1.06 1.08 Fiscal 2018 results include $1,419 ($945 after-tax) in costs related to the closure of our manufacturing facilities located in Merignac and Dormans, France and Norway, Michigan. These expenses were recorded as follows: Quarter First Second Third Fourth Facility closure expenses $ 34 $ 95 $ 761 $ 529 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Mar. 31, 2019 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | (23) SUBSEQUENT EVENTS On February 24, 2019, the Company entered into an Agreement and Plan of Merger (the “Merger Agreement”) with W/S Packaging Holdings, Inc., a Delaware corporation (“Parent”), and Monarch Merger Corporation, an Ohio corporation and a wholly-owned subsidiary of Parent (“Sub”). The Merger Agreement provides for the merger of Sub with and into the Company, on the terms and subject to the conditions set forth in the Merger Agreement (the “Merger”), with the Company continuing as the surviving corporation in the Merger. As a result of the Merger, the Company will become a wholly-owned subsidiary of Parent. On April 5, 2019, the Company filed with the Securities and Exchange Commission a definitive proxy statement (the “Proxy Statement”) with respect to the Company’s special meeting of the shareholders held on May 16, 2019 in connection with the Merger. At the special meeting of the shareholders, the Company received approval of the proposal to adopt the Merger Agreement and approval of the proposal to approve, on a non-binding advisory basis, the compensation that may be paid or become payable to the Company’s named executive officers that is based on or otherwise relates to the Merger. On April 29, 2019, the Company was served with a complaint in an action captioned Eric Sabatini, Individually And On Behalf of All Others Similarly Situated, and Derivatively On Behalf of Multi-Color Corporation v. Nigel A. Vinecombe, Michael J. Henry, Vadis A. Rodato, Alex Baumgartner, Ari J. Benacerraf, Robert R. Buck, Charles B. Connolly, Robert W. Kuhn, Ronald Lienau and Multi-Color Corporation (the “Sabatini Complaint”) relating to the Merger Agreement and the Proxy Statement. The Sabatini Complaint was filed in the Hamilton County Court of Common Pleas in the State of Ohio and alleges, among other things, that the individual defendants breached their fiduciary duties to Company shareholders by failing to secure adequate merger consideration and failing to disclose material information in the Proxy Statement. The lawsuit asserts claims on behalf of a putative class of Company shareholders as well as derivatively on behalf of the Company. Among other remedies, the Sabatini Complaint seeks to enjoin the consummation of the Merger (or alternatively, rescission of the Merger in the event the defendants are able to consummate it), as well as damages, costs and attorneys’ and experts’ fees. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation References to 2019, 2018 and 2017 are for the fiscal years ended March 31, 2019, 2018 and 2017, respectively. The consolidated financial statements included herein have been prepared in conformity with accounting principles generally accepted in the United States of America (U.S. GAAP) and include the accounts of the Company and its wholly-owned subsidiaries. All significant intercompany accounts and transactions have been eliminated. Certain prior year balances have been reclassified to conform to current year classifications. As of March 31, 2019, the Company’s operations were conducted through the Consumer Product Goods, Wine & Spirits and Food & Beverage operating segments, which are aggregated into one reportable segment in accordance with the Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 280, “Segment Reporting.” The metrics used by management to assess the performance of the Company’s operating segments include revenue trends, gross profit margin and operating margin. The Company’s operating segments have historically had similar economic characteristics and are expected to have similar economic characteristics and long-term financial performance in future periods. |
Use of Estimates in Financial Statements | Use of Estimates in Financial Statements In preparing financial statements in conformity with U.S. GAAP, management makes estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements, as well as the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Business Combinations | Business Combinations The Company allocates the purchase price of its acquisitions to the assets acquired and liabilities assumed based upon their respective fair values at the acquisition date. The Company utilizes management estimates and an independent third-party valuation firm to assist in determining these fair values. The excess of the acquisition price over the estimated fair value of the net assets is recorded as goodwill. Goodwill is adjusted for any changes to acquisition date fair value amounts made within the measurement period. Acquisition-related transaction costs are recognized separately from the business combination and expensed as incurred. |
Revenue Recognition | Revenue Recognition On April 1, 2018, we adopted Accounting Standards Update (“ASU”) 2014-09, “Revenue from Contracts with Customers (Topic 606)” and all related amendments, which provides revised guidance for revenue recognition. The standard’s core principle is that an entity should recognize the revenue for transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods and services. The standard defines a five-step process to recognize revenue and requires more judgment and estimates within the revenue recognition process than required under previous U.S. GAAP, including identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price, and allocating the transaction price to each separate performance obligation. See Note 3 for discussion of our accounting policies under the revised guidance. |
Cost of Revenues | Cost of Revenues Cost of revenues primarily consists of direct materials and supplies consumed in the manufacture of product, as well as manufacturing labor, depreciation expense and direct overhead expense necessary to acquire and convert the purchased materials and supplies into finished product. Cost of revenues also includes inbound freight costs and costs to distribute products to customers. |
Selling, General and Administrative Expenses | Selling, General and Administrative Expenses Selling, general and administrative expenses (SG&A) primarily consist of sales and marketing costs, corporate and divisional administrative and other costs and depreciation and amortization expense related to non-manufacturing assets. Advertising costs are charged to expense as incurred and were minimal in 2019, 2018 and 2017. |
Research and Development Costs | Research and Development Costs Our product development group focuses on research and development, product commercialization and technical service support. The group includes chemical, packaging and field engineers who are responsible for developing and commercializing innovative label and application solutions. Technical service personnel also assist customers and manufacturers in improving container and label performance. The services provided by this group differentiate us from many of our competitors and drive our selection for the most challenging projects. Research and development costs are charged to expense as incurred and were $8,065, $5,834 and $5,274 in 2019, 2018 and 2017, respectively. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company records all highly liquid short-term investments with maturities of three months or less as cash equivalents. At March 31, 2019 and 2018, the Company had cash in foreign bank accounts of $56,914 and $66,061, respectively. Outstanding checks of $15,272 and $2,280 were included in accounts payable as of March 31, 2019 and 2018, respectively. |
Accounts Receivable | Accounts Receivable Our customers are primarily major consumer product, food & beverage, wine & spirits and container companies. Accounts receivable consist of amounts due from customers in connection with our normal business activities and are carried at sales value less allowance for doubtful accounts. The allowance for doubtful accounts is established to reflect the expected losses of accounts receivable based on past collection history, age, account payment status compared to invoice payment terms and specific individual risks identified. The delinquency of a receivable account is determined based on these factors. The Company does not accrue interest on aged accounts receivable. |
Supply Chain Financing and Factoring | Supply Chain Financing and Factoring The Company has entered into supply chain financing agreements with certain customers and factoring arrangements with certain banks. The receivables for the agreements are sold without recourse to the customers’ banks and are accounted for as sales of accounts receivable. Losses on the sale of these receivables are included in selling, general and administrative expenses in the consolidated statements of operations, and losses of $1,964, $1,325 and $561 were recorded during 2019, 2018 and 2017, respectively. |
Inventories | Inventories Inventories are valued at the lower of cost or net realizable value and substantially all are maintained using the FIFO (first-in, first-out) or specific identification method. Excess and obsolete inventory allowances are generally established based on inventory age. |
Property, Plant and Equipment | Property, Plant and Equipment Property, plant and equipment are stated at cost, net of accumulated depreciation. Depreciation expense, which includes the amortization of assets recorded under capital leases, is calculated using the straight-line method over the estimated useful lives of the assets, or the remaining terms of the leases, as follows: Buildings 20-39 years Building improvements 15 years Machinery and equipment 3-15 years Computers 3-5 years Furniture and fixtures 5-10 years |
Goodwill and Other Acquired Intangible Assets | Goodwill and Other Acquired Intangible Assets Impairment reviews comparing fair value to carrying value are highly judgmental and involve the use of significant estimates and assumptions, which determine whether there is potential impairment and the amount of any impairment charge recorded. Fair value assessments involve estimates of discounted cash flows that are dependent upon discount rates and long-term assumptions regarding future sales and margin trends, market conditions, cash flow and multiples of revenue and earnings before interest, taxes, depreciation and amortization (“EBITDA”). Actual results may differ from these estimates. Fair value measurements used in the impairment reviews of goodwill and intangible assets are Level 3 measurements. See further information about our policy for fair value measurements within this section below. See further information regarding our impairment tests in Note 8. Goodwill. Goodwill has been assigned to reporting units for purposes of impairment testing. The reporting units are the Company’s divisions. The Company can evaluate qualitative factors to determine if it is more likely than not that the fair value of a reporting unit is less than the carrying value and whether it is necessary to perform the quantitative goodwill impairment test. The impairment test compares the fair value of the reporting unit to the carrying value. The market and income approaches were weighted 25% and 75%, respectively, based on judgement of the comparability of recent transactions and the risks inherent in estimating future cash flows. Intangible Assets. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets We review long-lived assets for impairment when events or changes in circumstances indicate that assets might be impaired and the related carrying amounts may not be recoverable. Changes in market conditions and/or losses of a production line could have a material impact on the consolidated statements of operations. The determination of whether impairment exists involves various estimates and assumptions, including the determination of the undiscounted cash flows estimated to be generated by the assets involved in the review. The cash flow estimates are based upon our historical experience, adjusted to reflect estimated future market and operating conditions. Measurement of an impairment loss requires a determination of fair value. We base our estimates of fair values on quoted market prices when available, independent appraisals as appropriate and industry trends or other market knowledge. Tests are performed over asset groups at the lowest level of identifiable cash flows. |
Income Taxes | Income Taxes The Company is subject to income taxes in the United States and numerous foreign jurisdictions. Income taxes are recorded based on the current year amounts payable or refundable. Deferred income taxes are recognized at the enacted tax rates for the expected future tax consequences related to temporary differences between amounts reported for income tax purposes and financial reporting purposes as well as any tax attributes. Deferred income taxes are not provided for the undistributed earnings of subsidiaries operating outside of the U.S. that have been permanently reinvested in foreign operations. We regularly review our deferred income tax balances for each jurisdiction to estimate whether these deferred income tax balances are more likely than not to be realized based on the information currently available. Projected future taxable income is based on forecasted results and assumptions as to the jurisdiction in which the income will be earned. The timing of reversals of any existing temporary differences is based on our methods of accounting for income taxes and current tax legislation. Unless the deferred tax balances are more likely than not to be realized, a valuation allowance is established to reduce the carrying values of any deferred tax balances until circumstances indicate that realization becomes more likely than not. The Company establishes reserves for income tax related uncertainties based on estimates of whether it is more likely than not that the tax uncertainty would be sustained upon challenge by the appropriate tax authorities. Provisions for and changes to these reserves and any related net interest and penalties are included in income tax expense in the consolidated statements of operations. Significant judgment is required when evaluating our tax provisions and determining our provision for income taxes. We regularly review our tax positions and we adjust the reserves as circumstances change. |
Earnings per Common Share | Earnings per Common Share Basic earnings per common share (EPS) is computed by dividing net income (loss) attributable to Multi-Color Corporation by the weighted average number of common shares outstanding during the period. Diluted EPS is computed by dividing net income (loss) attributable to Multi-Color Corporation by the sum of the weighted average number of common shares outstanding during the period plus, if dilutive, potential common shares outstanding during the period. Potential common shares outstanding during the period consist of restricted shares and the incremental common shares issuable upon the exercise of stock options and are reflected in diluted EPS by application of the treasury stock method. |
Derivative Financial Instruments | Derivative Financial Instruments The Company accounts for derivative financial instruments by recognizing derivative instruments as either assets or liabilities in the consolidated balance sheets at fair value and recognizing the resulting gains or losses as adjustments to the consolidated statements of operations or accumulated other comprehensive income (loss). The Company does not hold or issue derivative financial instruments for trading or speculative purposes. For derivative instruments that hedge the exposure to variability in expected future cash flows that are designated and qualify as cash flow hedges, the gain or loss on the derivative instrument is reported as a component of AOCI in stockholders’ equity and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. To receive hedge accounting treatment, cash flow hedges must be highly effective in offsetting changes to expected future cash flows on hedged transactions. For derivative instruments that hedge the exposure to changes in the fair value of an asset or a liability and that are designated and qualify as fair value hedges, both the net gain or loss on the derivative instrument as well as the offsetting loss or gain on the hedged item attributable to the hedged risk are recognized in earnings in the current period. For derivative instruments that hedge the exposure to changes in foreign currency exchange rates used for translation of the net investment in a foreign operation and that are designated as a net investment hedge, the net gain or loss on the derivative instrument is reported in AOCI as part of the foreign currency translation adjustment. Derivatives that do not qualify as hedges are adjusted to fair value through earnings in the current period. |
Fair Value Measurements | Fair Value Measurements The carrying value of financial instruments approximates fair value. The Company 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. To increase consistency and comparability in fair value measurements, the Company uses a three-level hierarchy that prioritizes the use of observable inputs. The three levels are: Level 1 – Quoted market prices in active markets for identical assets and liabilities Level 2 – Observable inputs other than quoted market prices in active markets for identical assets and liabilities Level 3 – Unobservable inputs The determination of where an asset or liability falls in the hierarchy requires significant judgment. Fair value measurements of nonfinancial assets and nonfinancial liabilities are primarily used in goodwill, other intangible assets and long-lived assets impairment analyses, the valuation of acquired intangibles and in the valuation of assets held for sale. The Company tests goodwill for impairment annually, as of the last day of January of each fiscal year. Impairment is also tested when events or changes in circumstances indicate that the assets’ carrying values may be greater than the fair values. Goodwill and intangible assets are typically valued using Level 3 inputs. |
Foreign Exchange | Foreign Exchange The functional currency of each of the Company’s subsidiaries is generally the currency of the country in which the subsidiary operates or the U.S. Dollar. Assets and liabilities of foreign operations are translated using period end exchange rates, and revenues and expenses are translated using average exchange rates during each period. Translation (gains) and losses are reported in accumulated other comprehensive loss as a component of stockholders’ equity and were $136,726, $(93,892) and $25,254 during 2019, 2018 and 2017, respectively. Transaction gains and (losses) are reported in other income and expense in the consolidated statements of operations and were $149, $3,899 and $(533) during 2019, 2018 and 2017, respectively. |
New Accounting Pronouncements | New Accounting Pronouncements On April 1, 2018, we adopted ASU 2014-09, “Revenue from Contracts with Customers (Topic 606)” and all related amendments, which provides revised guidance for revenue recognition. We adopted this guidance using the modified retrospective transition method, which means that periods beginning in fiscal 2019 are reported under this guidance while prior periods continue to be reported under previous guidance. See Note 3. In February 2018, the FASB issued ASU 2018-02, “Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income (Topic 220),” which permits the reclassification of stranded tax effects resulting from the Tax Cuts and Jobs Act (the “Tax Act”) from accumulated other comprehensive income (AOCI) to retained earnings. This new guidance is effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years, which for the Company is the fiscal year beginning April 1, 2019. Early adoption is permitted, and the update must be applied either at the beginning of the period of adoption or retrospectively to each period in which the effects of the Tax Act related to items remaining in AOCI are recognized. The Company elected to early adopt this update in the second quarter of fiscal 2019. As part of this adoption, the Company elected to reclassify $1,750 of stranded income tax effects of the Tax Act from AOCI to retained earnings at the beginning of the second quarter of fiscal 2019. In January 2017, the FASB issued ASU 2017-04, “Intangibles-Goodwill and Other,” which simplifies the accounting for goodwill impairment. This update removes step 2 of the goodwill impairment test, which requires a hypothetical purchase price allocation. Goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. This update is effective for any annual or interim goodwill impairment tests in fiscal years beginning after December 15, 2019, which for the Company is any annual or interim goodwill impairment tests performed after April 1, 2020. Early adoption is permitted for any impairment tests performed after January 1, 2017. The Company elected to early adopt this update in the fourth quarter of fiscal 2019. Under the new guidance, the Company recognized goodwill impairment charges of $99,155 during the fourth quarter of fiscal 2019. See Note 8. In January 2017, the FASB issued ASU 2017-01, “Business Combinations,” which revises the definition of a business. The FASB’s new framework assists entities in evaluating whether a set (integrated set of assets and activities) should be accounted for as an acquisition of a business or a group of assets. The framework adds an initial screen to determine if substantially all of the fair value of the gross assets acquired is concentrated in a single asset or group of similar assets. If that screen is met, the set is not a business. This update was effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years, which for the Company was the fiscal year beginning April 1, 2018. The Company adopted this update effective April 1, 2018, and its adoption did not have an impact on the Company’s consolidated financial statements. In August 2016, the FASB issued ASU 2016-15, “Classification of Certain Cash Receipts and Cash Payments,” which addresses eight specific cash flow issues with the objective of reducing the existing diversity in practice in how certain cash receipts and cash payments are presented and classified in the statement of cash flows. The specific issues addressed include debt prepayment or debt extinguishment costs, contingent consideration payments made after a business combination and separately identifiable cash flows and application of the predominance principle. This update was effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years, which for the Company was the fiscal year beginning April 1, 2018. The Company adopted this update effective April 1, 2018, and its adoption did not have an impact on the Company’s consolidated financial statements. In February 2016, the FASB issued ASU 2016-02, “Leases,” which requires that lessees recognize almost all leases on the balance sheet as right-of-use assets and lease liabilities. For income statement purposes, leases will be classified as either finance leases or operating leases. This update is effective for annual periods beginning after December 15, 2018, including interim periods within those fiscal years, which for the Company is the fiscal year beginning April 1, 2019. We will adopt the standard using the modified retrospective method which will be applied to leases that exist or are entered into on or after April 1, 2019. As a result, we will not adjust our comparative period financial information or make the new required lease disclosures for periods before the effective date. The Company will elect to utilize the package of practical expedients that allows entities to 1) not reassess whether any expired or existing contracts are or contain leases, 2) retain the existing classification of lease contracts as of the date of adoption, and 3) not reassess initial direct costs for any existing leases. The Company is in the final stages of evaluating its existing lease portfolio and is continuing to assess and quantify the amount of right-of-use assets and lease liabilities that will be included on its balance sheet as of April 1, 2019, with an estimated amount of $125,000. The Company is in the process of implementing a new lease accounting and administration software solution to manage and account for leases under the new guidance and is updating certain of its business processes and internal controls to meet the reporting and disclosure requirements of the new standard. We believe that the new standard will have a material impact on our consolidated balance sheet due to the recognition of right-of-use assets and liabilities for our operating leases, but it is not expected to have a material impact on our statements of operations or cash flows. The ASU will also require disclosures to allow financial statement users to better understand the amount, timing and uncertainty of cash flows arising from leases. These disclosures include qualitative and quantitative requirements, providing additional information about the amounts recorded in the financial statements. No other new accounting pronouncement issued or effective during the fiscal year had or is expected to have a material impact on the consolidated financial statements. |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
Property, Plant and Equipment, Estimated Useful Lives | Depreciation expense, which includes the amortization of assets recorded under capital leases, is calculated using the straight-line method over the estimated useful lives of the assets, or the remaining terms of the leases, as follows: Buildings Building improvements 20-39 years 15 years Machinery and equipment 3-15 years Computers 3-5 years Furniture and fixtures 5-10 years |
REVENUE RECOGNITION (Tables)
REVENUE RECOGNITION (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Summary of Condensed Consolidated Statement of Income and Condensed Consolidated Balance sheet as If ASU 2014-09 Has Not Been Adopted and Adjustment Required Upon Adoption of ASU 2014-09 | The following table summarizes the March 31, 2019 consolidated statements of operations and consolidated balance sheet as if ASU 2014-09 had not been adopted and the adjustment required upon adoption of ASU 2014-09. Fiscal Year ended March 31, 2019 As Reported Adjustments Previous Standard Condensed Consolidated Statement of Income: Net revenues $ 1,725,554 $ 3,349 $ 1,728,903 Cost of revenues 1,403,634 2,713 1,406,347 Gross profit 321,920 636 322,556 Selling, general and administrative expenses 160,710 67 160,777 Operating income 61,344 569 61,913 Income tax benefit 12,332 206 12,538 Net income (loss) (28,667 ) 363 (28,304 ) As of March 31, 2019 As Reported Adjustments Previous Standard Condensed Consolidated Balance Sheet: Assets: Accounts receivable, net $ 300,945 $ (169 ) $ 300,776 Inventories, net 144,235 15,494 159,729 Other current assets 40,769 (18,230 ) 22,539 Liabilities and Stockholders’ Equity: Accrued expenses and other liabilities $ 94,739 $ 347 $ 95,086 Deferred income tax liabilities 160,017 (919 ) 159,098 Accumulated other comprehensive loss (126,166 ) 5 (126,161 ) Retained earnings 355,973 (2,338 ) 353,635 |
Summary of Net Contract Assets and Liabilities | Balance sheet location March 31, 2019 April 1, 2018 Contract assets Other current assets $ 29,143 $ 31,001 Contract liabilities Accrued expenses and other liabilities (10,654 ) (11,750 ) Net contract assets and liabilities $ 18,489 $ 19,251 |
Summary of Net Revenues Disaggregated by Region and Timing of Revenue Recognition | The following table presents our net revenues disaggregated by region and timing of revenue recognition for the fiscal year ended March 31, 2019. Fiscal Year ended March 31, 2019 Point-in-time Over-time North America $ 550,851 $ 224,380 Europe 672,349 3,970 Asia Pacific and Africa 246,657 2,684 South America 24,663 — Total $ 1,494,520 $ 231,034 |
Accounting Standards Update 2014-09 | |
Summary of Condensed Consolidated Statement of Income and Condensed Consolidated Balance sheet as If ASU 2014-09 Has Not Been Adopted and Adjustment Required Upon Adoption of ASU 2014-09 | Adjustments due to ASU 2014-09 were as follows: Balance at March 31, 2018 Adjustments Balance at April 1, 2018 Assets: Accounts receivable, net $ 306,542 $ 253 $ 306,795 Inventories, net 167,950 (18,286 ) 149,664 Other current assets 17,468 21,657 39,125 Liabilities and Stockholders’ Equity: Accrued expenses and other liabilities $ 114,022 $ (215 ) $ 113,807 Deferred income tax liabilities 149,950 1,125 151,075 Accumulated other comprehensive loss (19,241 ) 13 (19,228 ) Retained earnings 384,671 2,701 387,372 |
ACQUISITIONS (Tables)
ACQUISITIONS (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Purchase Price Allocation | Based on fair value estimates, the purchase price for Constantia Labels has been allocated to individual assets acquired and liabilities assumed as follows: Constantia Labels Assets Acquired Net cash acquired $ 11,234 Accounts receivable 117,248 Inventories 82,472 Property, plant and equipment 250,479 Intangible assets 432,400 Goodwill 673,561 Other assets 13,747 Total assets acquired 1,581,141 Liabilities Assumed: Accounts payable 93,812 Accrued income taxes payable 4,401 Accrued expenses and other liabilities 41,378 Deferred tax liabilities 139,847 Total liabilities assumed 279,438 Net assets acquired 1,301,703 Noncontrolling interests (2,300 ) Net assets acquired attributable to Multi-Color Corporation $ 1,299,403 |
Fair Value of Identifiable Intangible Assets Acquired and Estimated Useful Lives | The fair value of identifiable intangible assets acquired and their estimated useful lives are as follows: Constantia Labels Fair Value Useful Lives Customer relationships $ 407,300 19 years Technology 20,700 4 years Trade name 4,400 4 years Total identifiable intangible assets $ 432,400 |
Schedule of Pro Forma Information | The following table provides the unaudited pro forma results of operations for the year ended March 31, 2018 and 2017 as if Constantia Labels had been acquired as of the beginning of fiscal year 2017. However, pro forma results do not include any anticipated synergies from the combination of the companies, and accordingly, are not necessarily indicative of the results that would have occurred if the acquisition had occurred on the date indicated or that may result in the future. 2018 2017 Net revenues $ 1,718,924 $ 1,588,090 Net income attributable to Multi-Color 87,147 78,768 Diluted earnings per share 4.24 3.86 |
Reconciliation of Actual Net Revenues and Net Income Attributable to Multi-Color Corporation to Pro Forma Net Revenues and Net Income | The following is a reconciliation of actual net revenues and net income attributable to Multi-Color Corporation to unaudited pro forma net revenues and net income: 2018 2017 Net revenues Net income attributable to Multi-Color Net revenues Net income Multi-Color Corporation actual results $ 1,300,912 $ 71,951 $ 923,295 $ 60,996 Constantia Labels actual results (1) 418,012 23,426 664,795 52,109 Pro forma adjustments — (8,230 ) — (34,337 ) Pro forma results $ 1,718,924 $ 87,147 $ 1,588,090 $ 78,768 (1) Constantia Labels actual results include the seven months pre-acquisition |
Pro Forma Adjustments | The following table identifies the unaudited pro forma adjustments: 2018 2017 Constantia Labels financing costs $ 9,689 $ 15,524 Acquisition transaction costs 16,220 18 Incremental depreciation and amortization costs (8,468 ) (14,667 ) Incremental interest costs (29,368 ) (50,639 ) Tax effect of adjustments 3,697 15,427 Pro forma adjustments $ (8,230 ) $ (34,337 ) |
Constantia Labels | |
Purchase Price | The purchase price for Constantia Labels consisted of the following: Cash from proceeds of borrowings $ 1,048,656 MCC common stock issued 237,820 Deferred payments 3,901 Contingent consideration 9,026 Purchase price, before cash acquired 1,299,403 Net cash acquired (11,234 ) Total purchase price $ 1,288,169 |
ACCOUNTS RECEIVABLE ALLOWANCE (
ACCOUNTS RECEIVABLE ALLOWANCE (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Receivables [Abstract] | |
Summary of Activity in Allowance for Doubtful Accounts | The following table summarizes the activity in the allowance for doubtful accounts: 2019 2018 2017 Balance at beginning of year $ 2,704 $ 2,273 $ 2,497 Provision 312 319 234 Accounts written-off (281 ) (62 ) (384 ) Foreign exchange (137 ) 174 (74 ) Balance at end of year $ 2,598 $ 2,704 $ 2,273 |
INVENTORIES (Tables)
INVENTORIES (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | The Company’s inventories as of March 31 consisted of the following: 2019 2018 Finished goods $ 60,493 $ 80,845 Work-in-process 21,010 21,156 Raw materials 62,732 65,949 Total inventories, net $ 144,235 $ 167,950 |
PROPERTY, PLANT AND EQUIPMENT (
PROPERTY, PLANT AND EQUIPMENT (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property, Plant and Equipment | The Company’s property, plant and equipment as of March 31 consisted of the following: 2019 2018 Land $ 19,095 $ 13,766 Buildings, building improvements and leasehold improvements 123,517 114,790 Machinery and equipment 603,882 535,142 Furniture, fixtures, computer equipment and software 42,049 50,779 Construction in progress 24,313 31,505 Property, plant and equipment, gross 812,856 745,982 Accumulated depreciation (284,779 ) (235,980 ) Property, plant and equipment, net $ 528,077 $ 510,002 |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | The changes in the Company’s goodwill consisted of the following: 2019 2018 Balance at beginning of year Goodwill, gross $ 1,210,179 $ 424,941 Accumulated impairment losses (13,545 ) (12,391 ) Goodwill, net 1,196,634 412,550 Activity during the year Acquisitions — 721,874 Adjustments to prior year acquisitions (34,478 ) (359 ) Currency translation (84,457 ) 63,096 Impairment (99,155 ) — Sale of Southeast Asian durables business — (527 ) Balance at end of year Goodwill, gross 1,089,010 1,210,179 Accumulated impairment losses (110,466 ) (13,545 ) Goodwill, net $ 978,544 $ 1,196,634 |
Intangible Assets | The Company’s intangible assets as of March 31 consisted of the following: 2019 2018 Gross Carrying Accumulated Net Gross Carrying Accumulated Net Carrying Customer relationships $ 641,385 $ (119,821 ) $ 521,564 $ 648,273 $ (87,560 ) $ 560,713 Technologies 21,540 (8,512 ) 13,028 21,721 (3,586 ) 18,135 Trademarks and trade names 4,372 (1,635 ) 2,737 99 (66 ) 33 Non-compete 3,824 (2,957 ) 867 3,880 (2,528 ) 1,352 Total $ 671,121 $ (132,925 ) $ 538,196 $ 673,973 $ (93,740 ) $ 580,233 |
Estimated Useful Lives for Each Intangible Asset Class | The estimated useful lives for each intangible asset class are as follows: Customer relationships 9 to 21 years Technologies 1 to 8 years Trademarks and trade names 1 to 4 years Non-compete 2 to 7 years |
Annual Estimated Amortization Expense for Future Years | The annual estimated amortization expense for future years is as follows: Fiscal 2020 $ 42,079 Fiscal 2021 41,635 Fiscal 2022 40,326 Fiscal 2023 37,300 Fiscal 2024 34,183 Thereafter 342,673 Total $ 538,196 |
DEBT (Tables)
DEBT (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Debt Disclosure [Abstract] | |
Components of Debt | The components of the Company’s debt as of March 31 consisted of the following: 2019 2018 Unamortized Debt Less Unamortized Debt Less Debt Issuance Unamortized Debt Issuance Unamortized Principal Costs Debt Issuance Costs Principal Costs Debt Issuance Costs 6.125% Senior Notes (1) $ 250,000 $ (2,473 ) $ 247,527 $ 250,000 $ (3,148 ) $ 246,852 4.875% Senior Notes (1) 600,000 (8,420 ) 591,580 600,000 (9,699 ) 590,301 Credit Agreement Term Loan A Facility (2) 135,625 (3,125 ) 132,500 148,125 (3,996 ) 144,129 Term Loan B Facility (3) 493,750 (5,165 ) 488,585 498,750 (6,280 ) 492,470 U.S. Revolving Credit Facility (4) (5) — — — 56,945 (5,442 ) 51,503 Australian Revolving Sub-Facility (4) 35,977 (473 ) 35,504 33,033 (605 ) 32,428 Capital leases 36,255 — 36,255 36,288 — 36,288 Other subsidiary debt 5,402 — 5,402 4,714 — 4,714 Total debt 1,557,009 (19,656 ) 1,537,353 1,627,855 (29,170 ) 1,598,685 Less current portion of debt (23,059 ) — (23,059 ) (20,864 ) — (20,864 ) Total long-term debt $ 1,533,950 $ (19,656 ) $ 1,514,294 $ 1,606,991 $ (29,170 ) $ 1,577,821 (1) The 6.125% Senior Notes are due on December 1, 2022. The 4.875% Senior Notes are due on November 1, 2025. (2) The Company is required to make mandatory principal payments on the outstanding borrowings under the Term Loan A Facility. The principal payments are due on the last day of March, June, September and December of each year, commencing on March 31, 2018 through the maturity date of October 31, 2022. (3) The Company is required to make mandatory principal payments on the outstanding borrowings under the Term Loan B Facility. The principal payments are due on the last day of March, June, September and December of each year, commencing on March 31, 2018 through the maturity date of October 31, 2024. (4) Borrowings under the U.S. Revolving Credit Facility and Australian Revolving Sub-Facility mature on October 31, 2022. (5) Unamortized debt issuance costs related to the U.S. Revolving Credit Facility were reclassified to prepaid expenses and other long-term assets in the consolidated balance sheet as of March 31, 2019, as there are no borrowings outstanding on the U.S. Revolving Credit Facility as of March 31, 2019. |
Schedule of Future Annual Principal Payments | The following is a schedule of future annual principal payments as of March 31, 2019: Debt Capital Leases Total Fiscal 2020 $ 18,509 $ 4,550 $ 23,059 Fiscal 2021 17,331 3,999 21,330 Fiscal 2022 22,005 3,107 25,112 Fiscal 2023 389,158 2,925 392,083 Fiscal 2024 5,000 2,635 7,635 Thereafter 1,068,751 19,039 1,087,790 Total $ 1,520,754 $ 36,255 $ 1,557,009 |
Schedule of Weighted Average Interest Rates | The weighted average interest rates on the Company’s borrowings are as follows: March 31, 2019 March 31, 2018 Term Loan A Facility 4.50 % 4.13 % Term Loan B Facility 4.50 % 4.13 % U.S. Revolving Credit Facility — 4.42 % Australian Revolving Sub-Facility 3.85 % 4.13 % |
Net Minimum Payments on Capitalized Leases | The present value of the net minimum payments on the capitalized leases as of March 31 is as follows: 2019 2018 Total minimum lease payments $ 44,688 $ 49,521 Less amount representing interest (8,433 ) (13,233 ) Present value of net minimum lease payments 36,255 36,288 Current portion (4,550 ) (4,191 ) Capitalized lease obligations, less current portion $ 31,705 $ 32,097 |
RISK MANAGEMENT ACTIVITIES AN_2
RISK MANAGEMENT ACTIVITIES AND FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Summary of Fair Value of Qualifying and Non-qualifying Instruments Used in Hedging Transactions | Fair Value Derivatives Designated as Hedging Instruments Balance Sheet Location 2019 2018 Assets: Cross currency swaps (Net investment hedges) Other current assets $ 5,127 $ 4,295 Interest rate swaps (Cash flow hedges) Other current assets 743 920 Foreign exchange forward contracts (Fair value hedges) Other current assets — 127 Foreign exchange forward contracts (Cash flow hedges) Other current assets 5 0 Interest rate swaps (Cash flow hedges) Other long-term assets — 4,956 Liabilities: Interest rate swaps (Cash flow hedges) Other current liabilities $ 377 $ — Foreign exchange forward contracts (Fair value hedges) Other current liabilities 234 190 Foreign exchange forward contracts (Cash flow hedges) Other current liabilities 345 — Cross currency swaps (Net investment hedges) Other long-term liabilities 1,563 50,019 Interest rate swaps (Cash flow hedges) Other long-term liabilities 2,353 — Fair Value Derivatives Not Designated as Hedging Instruments Balance Sheet Location 2019 2018 Assets: Foreign exchange forward contracts Other current assets $ 26 $ — Liabilities: Foreign exchange forward contracts Other current liabilities $ 30 $ 127 |
Amounts of Gains and (Losses) Recognized in AOCI Net of Reclassifications Into Earnings | The amounts of gains and (losses) recognized in AOCI net of reclassifications into earnings, during the twelve months ended March 31, 2019 and 2018 are as follows: Derivatives Designated as Hedging Instruments 2019 2018 Cross currency swaps (Net investment hedges) (1) $ 36,545 $ (29,667 ) Interest rate swaps (Cash flow hedges) (6,111 ) 4,259 Foreign exchange forward contracts (527 ) — (1) The net gain of $36,545 $4,833 $43,480, net of tax of $ (11,768) |
Amounts of Gains and (Losses) Reclassified from AOCI into Earnings | The amounts of gains and (losses) reclassified from AOCI into earnings for the twelve months ended March 31, 2019 and 2018 are as follows: Derivatives Designated as Hedging Instruments 2019 2018 Cross currency swaps (1) $ 5,226 $ 4,234 Interest rate swaps (2) 674 (101 ) Foreign exchange forward contracts (2) (588 ) — (1) The Company had a $5,226 excluded component gain in AOCI which was recognized into income during the twelve months ended March 31, 2019. (2) During the next 12 months, $26 of gains included in the March 31, 2019 AOCI balance are expected to be reclassified into interest expense. |
Amounts of Gains and (Losses) Included in Earnings from Qualifying and Non-qualifying Financial Instruments Used in Hedging Transactions | The amounts of gains and (losses) included in earnings from qualifying and non-qualifying financial instruments used in hedging transactions for the twelve months ended March 31, 2019 and 2018 are as follows: Derivatives Not Designated as Hedging Instruments Statement of Income Location 2019 2018 Foreign currency contract-Constantia purchase price Other income (expense), net $ — $ 8,109 Foreign currency contracts-Other Other income (expense), net 6,161 (7,198 ) Gain (loss) on underlying hedged items Other income (expense), net (5,340 ) 6,510 Cross currency swaps Interest expense 976 (4,018 ) Derivatives Designated as Hedging Instruments Statement of Income Location 2019 2018 Foreign exchange forward contracts (Fair value hedges) Other income (expense), net $ (46 ) $ (245 ) Gain on underlying hedged items Other income (expense), net 46 245 |
ACCRUED EXPENSES AND OTHER LI_2
ACCRUED EXPENSES AND OTHER LIABILITIES (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Payables and Accruals [Abstract] | |
Summary of Accrued Expenses and Other Liabilities | The Company’s accrued expenses and other liabilities as of March 31 consisted of the following: 2019 2018 Accrued payroll and benefits $ 41,441 $ 45,418 Accrued income taxes 6,632 13,838 Professional fees 4,534 1,965 Accrued taxes other than income taxes 1,671 4,682 Accrued interest 13,746 16,480 Customer rebates 3,750 2,578 Exit and disposal costs related to facility closures 210 457 Deferred payments 1,881 9,735 Deferred revenue 10,654 11,887 Derivative liabilities 986 317 Other 9,234 6,665 Total accrued expenses and other liabilities $ 94,739 $ 114,022 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Schedule of Earnings before Income Taxes | Earnings before income taxes were as follows: 2019 2018 2017 U.S. $ 29,964 $ 6,848 $ 65,113 Foreign (46,299 ) 46,854 23,100 Total $ (16,335 ) $ 53,702 $ 88,213 |
Schedule of Provision (Benefit) for Income Taxes | The provision (benefit) for income taxes as of March 31 includes the following components: 2019 2018 2017 Current: Federal $ 420 $ 2,783 $ 16,889 State and local 2,306 611 2,498 Foreign 15,069 20,641 9,298 Total Current 17,795 24,035 28,685 Deferred: Federal 2,438 (18,406 ) 987 State and local (1,764 ) 70 (147 ) Foreign (6,137 ) (23,894 ) (2,677 ) Total Deferred (5,463 ) (42,230 ) (1,837 ) Total $ 12,332 $ (18,195 ) $ 26,848 |
Schedule of Reconciliation between U.S. Statutory Federal Income Tax Rate and Effective Tax Rate | The following is a reconciliation between the U.S. statutory federal income tax rate and the effective tax rate: 2019 2018 2017 U.S. federal statutory rate 21.0 % 31.5 % 35.0 % State and local income taxes, net of federal income tax benefit (1.9 )% 0.4 % 1.7 % Section 199 deduction — — (1.8 )% Foreign derived intangible income deduction 4.8 % — — International rate differential 45.1 % (5.1 )% (3.3 )% Unrecognized tax benefits 19.4 % 0.6 % (0.9 )% Foreign permanent differences 3.3 % (1.1 )% (2.1 )% Non-deductible transaction costs (8.3 )% 4.2 % 0.2 % Valuation allowances (3.6 )% 2.0 % 1.2 % U.S. Repatriation Tax 3.2 % 5.7 % — Goodwill impairment (176.6 )% — — Share-based Compensation 1.4 % (2.5 )% — Tax Rate Changes 18.0 % (70.8 )% — U.S. Research & Development Credit 6.6 % -1.5 % -0.8 % Other foreign taxes (6.9 )% 1.6 % 0.8 % Other (1.0 )% 1.1 % 0.4 % Effective tax rate (75.5 )% (33.9 )% 30.4 % |
Schedule of Net Deferred Tax Components | 2019 2018 Deferred tax liabilities: Book basis over tax basis of fixed assets $ (58,169 ) $ (44,717 ) Book basis over tax basis of intangible assets (128,273 ) (135,432 ) Interest rate swap (406 ) — Deferred financing costs (16 ) (297 ) Other (5,766 ) (6,370 ) Total deferred tax liabilities (192,630 ) (186,816 ) Deferred tax assets: Inventory reserves 2,165 925 Interest expense carryforwards 10,674 — Inventory capitalization 343 809 Allowance for doubtful accounts 201 242 Stock based compensation expense 1,307 1,305 Minimum pension liability 524 546 Loss carry forward amounts 35,771 25,110 Credit carry forward amounts 963 2,007 Interest rate swaps — 9,306 State basis over tax basis of fixed assets 1,554 667 Non-deductible accruals and other 8,491 10,148 Deferred compensation 234 699 Lease obligations 6,169 4,799 Gross deferred tax asset 68,396 56,563 Valuation allowance (31,702 ) (16,870 ) Net deferred tax asset 36,694 39,693 Net deferred tax liability $ (155,936 ) $ (147,123 ) |
Summary of Activity for Company's Unrecognized Tax Benefits | A summary of the activity for the Company’s unrecognized tax benefits as of March 31 is as follows: 2019 2018 Beginning balance $ 7,038 $ 5,665 Additions based on tax positions related to the current year 616 1,843 Additions of tax positions of prior years 1,870 833 Settlements (146 ) (1,358 ) Reductions of tax positions of prior years (233 ) (44 ) Lapse of applicable statutes of limitations (3,059 ) (345 ) Currency translation (240 ) 444 Ending balance $ 5,846 $ 7,038 |
EARNINGS PER COMMON SHARE (Tabl
EARNINGS PER COMMON SHARE (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
Reconciliation of Number of Shares Used in Basic and Diluted Earnings Per Share Computations | The following is a reconciliation of the number of shares used in the basic EPS and diluted EPS computations: 2019 2018 2017 Per Share Per Share Per Share Shares Amount Shares Amount Shares Amount Basic EPS 20,468 $ (1.42 ) 18,421 $ 3.91 16,879 $ 3.61 Effect of dilutive securities — — 162 (0.04 ) 145 (0.03 ) Diluted EPS 20,468 $ (1.42 ) 18,583 $ 3.87 17,024 $ 3.58 |
STOCK-BASED COMPENSATION (Table
STOCK-BASED COMPENSATION (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Weighted Average Assumptions | The Company calculates the value of each employee stock option, estimated on the grant date, using the Black-Scholes model and the following weighted average assumptions: 2019 2018 2017 Expected life (years) 5.6 5.7 5.8 Risk-free interest rate 2.8 % 1.8 % 1.2 % Expected volatility 29.5 % 32.4 % 38.9 % Dividend yield 0.3 % 0.3 % 0.3 % |
Summary of Changes in Options Outstanding | A summary of the changes in the options outstanding for years ended March 31, 2019, 2018 and 2017 is shown below: Weighted Weighted Average Aggregate Average Exercise Remaining Life Intrinsic Options Price (Years) Value Outstanding at March 31, 2016 600 $ 34.50 Granted 32 $ 61.62 Exercised (136 ) $ 24.52 $ 5,664 Forfeited (25 ) $ 41.66 Outstanding at March 31, 2017 471 $ 38.84 Granted 119 $ 85.38 Exercised (110 ) $ 26.60 $ 5,990 Forfeited (14 ) $ 57.10 Outstanding at March 31, 2018 466 $ 53.10 Granted 45 $ 70.77 Exercised (76 ) $ 27.80 $ 2,403 Forfeited (18 ) $ 64.86 Outstanding at March 31, 2019 417 $ 59.09 6.4 $ 2,693 Exercisable at March 31, 2019 203 $ 45.86 5.0 $ 2,498 Exercisable at March 31, 2018 186 $ 33.72 5.0 $ 6,024 |
Summary of Changes in Restricted Shares | A summary of the changes in restricted shares for the year ended March 31, 2019, 2018 and 2017 is shown below: Weighted Average Restricted Grant Date Shares Fair Value Non-vested restricted shares at March 31, 2016 25 $ 55.99 Granted 8 $ 64.50 Vested (15 ) $ 51.67 Forfeited (1 ) $ 64.05 Non-vested restricted shares at March 31, 2017 17 $ 62.72 Granted 9 $ 85.17 Vested (10 ) $ 63.46 Forfeited (3 ) $ 72.47 Non-vested restricted shares at March 31, 2018 13 $ 76.17 Granted 19 $ 64.72 Vested (7 ) $ 72.88 Forfeited — $ — Non-vested restricted shares at March 31, 2019 25 $ 68.32 |
Summary of Changes in Restricted Share Units | A summary of the changes in restricted share units for the years ended March 31, 2019, 2018 and 2017 are shown below: Weighted Average Grant Date RSUs Fair Value Non-vested RSUs at March 31, 2016 42 $ 64.05 Granted 35 $ 61.19 Forfeited (18 ) $ 62.59 Non-vested RSUs at March 31, 2017 59 $ 62.80 Granted 19 $ 85.90 Vested (12 ) $ 64.05 Forfeited (30 ) $ 67.51 Non-vested RSUs at March 31, 2018 36 $ 70.73 Granted 46 $ 66.62 Vested (10 ) $ 61.19 Forfeited (12 ) $ 61.19 Non-vested RSUs at March 31, 2019 60 $ 71.09 |
GEOGRAPHIC INFORMATION (Tables)
GEOGRAPHIC INFORMATION (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Text Block [Abstract] | |
Summary of Net Revenues and Long-lived Assets Based on Geographic Area | Net revenues, based on the geographic area from which the product is shipped, for the years ended March 31 and long-lived assets by geographic area as of March 31 are as follows: 2019 2018 2017 Net revenues: United States $ 660,275 $ 584,458 $ 511,551 Belgium 152,242 67,035 — Germany 132,973 62,184 — Other International 780,064 587,235 411,744 Total $ 1,725,554 $ 1,300,912 $ 923,295 2019 2018 Long-lived assets: United States $ 584,274 $ 649,413 Belgium (1) 408,171 (7,455 ) Germany 252,533 878,106 Other International 806,594 778,902 Total $ 2,051,572 $ 2,298,966 (1) We allocate goodwill to our foreign and domestic locations. In fiscal 2018, negative goodwill associated with the acquisition of Constantia Labels was allocated to our plant in Belgium, as the final goodwill allocation was not complete. |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Summary of Annual Future Minimum Rental Obligations | The annual future minimum rental obligations as of March 31, 2019 are as follows: Fiscal 2020 $ 22,595 Fiscal 2021 19,569 Fiscal 2022 17,297 Fiscal 2023 13,168 Fiscal 2024 7,585 Thereafter 15,877 Total $ 96,091 |
SUPPLEMENTAL CASH FLOW DISCLO_2
SUPPLEMENTAL CASH FLOW DISCLOSURES (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Disclosures of Cash Flow Information and Non-Cash Activities | Supplemental disclosures with respect to cash flow information and non-cash investing and financing activities are as follows: 2019 2018 2017 Supplemental Disclosures of Cash Flow Information: Interest paid $ 81,613 $ 32,844 $ 23,672 Income taxes paid, net of refunds 28,514 30,305 21,143 Supplemental Disclosures of Non-Cash Activities: Additional minimum pension liability $ 37 $ (55 ) $ (282 ) Capital expenditures incurred but not yet paid 5,958 9,958 3,323 Capital lease obligations incurred 1,882 — 864 Change in derivative contract fair value - asset position (4,397 ) 10,298 — Change in derivative contract fair value - liability position 45,434 (50,336 ) 225 Business combinations accounted for as a purchase: Assets acquired (excluding cash) $ 16,233 $ 1,612,925 $ 45,328 Liabilities assumed (15,033 ) (335,648 ) (16,669 ) Liabilities for contingent / deferred payments — (13,713 ) 242 MCC common stock issued — (237,820 ) — Noncontrolling interest (1,200 ) (1,100 ) (62 ) Net cash paid $ — $ 1,024,644 $ 28,839 |
ACCUMULATED OTHER COMPREHENSI_2
ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Equity [Abstract] | |
Schedule of Changes in Accumulated Other Comprehensive Loss by Component | The changes in the Company’s accumulated other comprehensive loss by component consisted of the following: Foreign Gains and (losses) currency on derivative Defined benefit items contracts pension items Total Balance at March 31, 2017 $ (85,593 ) $ — $ (202 ) $ (85,795 ) OCI before reclassifications (1) 91,928 (22,635 ) 3 69,296 Amounts reclassified from AOCI — (2,773 ) 31 (2,742 ) Net current period OCI 91,928 (25,408 ) 34 66,554 Balance at March 31, 2018 6,335 (25,408 ) (168 ) (19,241 ) OCI before reclassifications (2) (135,054 ) 33,894 (32 ) (101,192 ) Amounts reclassified from AOCI — (3,987 ) 4 (3,983 ) Net current period OCI (135,054 ) 29,907 (28 ) (105,175 ) ASU 2018-02 reclassifications of stranded tax effects (244 ) (1,506 ) — (1,750 ) Balance at March 31, 2019 $ (128,963 ) $ 2,993 $ (196 ) $ (126,166 ) (1) Net of tax of $9,063 (1 (2) Net of tax of $(11,351) and $11 for derivative contracts and defined benefit pension items, respectively. |
Schedule of (Gains) and Losses Reclassified from AOCI | Reclassifications out of accumulated other comprehensive loss consisted of the following: 2019 2018 Gains and losses on cash flow hedges: Cross currency swaps (1) $ (5,226 ) $ (4,234 ) Interest rate swaps (1) (674 ) 101 Foreign exchange forward contracts (2) 588 — Tax 1,325 1,360 Net of tax (3,987 ) (2,773 ) Defined benefit pension items: Amortization of net actuarial losses (3) 6 7 Settlement and curtailments (3) — 44 Tax (2 ) (20 ) Net of tax 4 31 Total reclassifications, net of tax $ (3,983 ) $ (2,742 ) (1) Reclassified from AOCI into interest expense in the consolidated statements of operations. See Note 10. (2) Reclassified from AOCI into cost of revenues in the consolidated statements of operations. See Note 10. (3) Reclassified from AOCI into facility closure expenses in the consolidated statements of operations. These components are included in the computation of net periodic pension cost. See Note 12. |
FACILITY CLOSURES (Tables)
FACILITY CLOSURES (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Cowansville Canada | |
Summary of Exit and Disposal Costs Related to Closure | Below is a summary of the exit and disposal costs related to the closure of the Cowansville facility: Total costs Total costs incurred Cumulative costs incurred 2019 March 31, 2019 Severance and other termination benefits $ 150 $ 111 $ 111 Other associated costs — — — |
Reconciliation of the Beginning and Ending Liability Balances Related to the Contractual Termination Benefits and Exit and Disposal Costs | Below is a reconciliation of the beginning and ending liability balances related to the exit and disposal costs: Balance at Amounts Amounts Balance at Severance and other termination benefits $ — 111 (54 ) $ 57 |
Melbourne Australia | |
Summary of Exit and Disposal Costs Related to Closure | Below is a summary of the total contractual termination benefits and exit and disposal costs related to the closure of the Melbourne facility: Total costs Total costs incurred Cumulative costs incurred 2019 March 31, 2019 Severance and other termination benefits $ 170 $ 170 $ 170 Other associated costs 700 900 612 612 |
Reconciliation of the Beginning and Ending Liability Balances Related to the Contractual Termination Benefits and Exit and Disposal Costs | Below is a reconciliation of the beginning and ending liability balances related to the contractual termination benefits and exit and disposal costs: Balance at Amounts Amounts Balance at March Severance and other termination benefits $ — 170 (170 ) $ — Other associated costs $ — 612 (459 ) $ 153 |
Merignac France | |
Summary of Exit and Disposal Costs Related to Closure | Below is a summary of the total contractual termination benefits and exit and disposal costs related to the closure of the Merignac facility: Total costs expected to be Total costs incurred Cumulative costs incurred 2019 2018 March 31, 2019 Severance and other termination benefits $ 663 $ (40 ) $ 703 $ 663 Other associated costs 566 750 220 347 567 |
Reconciliation of the Beginning and Ending Liability Balances Related to the Contractual Termination Benefits and Exit and Disposal Costs | Below is a reconciliation of the beginning and ending liability balances related to the contractual termination benefits and exit and disposal costs: Balance at Amounts Amounts Balance at Severance and other termination benefits $ 457 (40 ) (417 ) $ — Other associated costs $ — 220 (220 ) $ — |
Dormans France | |
Summary of Exit and Disposal Costs Related to Closure | Below is a summary of the exit and disposal costs related to the closure of the Dormans facility: 2018 Severance and other termination benefits $ 106 Other associated costs 23 |
Sonoma California | |
Summary of Exit and Disposal Costs Related to Closure | During fiscal 2017, the Company incurred the following exit and disposal costs related to the closure of the Sonoma facility, which were recorded in facility closure expenses in the consolidated statements of operations: 2017 Severance and other termination benefits $ 6 Other associated costs 91 |
Glasgow Scotland | |
Summary of Exit and Disposal Costs Related to Closure | During fiscal 2017, the Company incurred the following exit and disposal costs related to the consolidation of the Glasgow facilities, which were recorded in facility closure expenses in the consolidated statements of operations: 2017 Severance and other termination benefits $ 100 Other associated costs 539 |
Greensboro North Carolina | |
Summary of Exit and Disposal Costs Related to Closure | During fiscal 2017, the Company incurred the following exit and disposal costs related to the closure of the Greensboro facility, which were recorded in facility closure expenses in the consolidated statements of operations: 2017 Severance and other termination benefits $ (22 ) Contract termination costs (66 ) Other associated costs 207 |
Dublin Ireland | |
Summary of Exit and Disposal Costs Related to Closure | During fiscal 2017, the Company incurred the following exit and disposal costs related to the closure of the Dublin facility, which were recorded in facility closure expenses in the consolidated statements of operations: 2017 Severance and other termination benefits $ 102 Contract termination costs 177 Other associated costs 76 |
QUARTERLY DATA (Tables)
QUARTERLY DATA (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information | Earnings per share amounts are computed independently each quarter. As a result, the sum of each quarter’s per share amount may not equal the total per share amount for the respective year. Quarter Fiscal 2019 First Second Third Fourth Net revenues $ 456,131 $ 434,913 $ 397,004 $ 437,506 Gross profit 88,010 86,785 65,381 81,744 Net income (loss) 18,092 23,805 11,475 (82,039 ) Net income (loss) attributable to Multi-Color Corporation 18,139 23,755 11,286 (82,221 ) Basic earnings (loss) per share $ 0.89 $ 1.16 $ 0.55 $ (4.01 ) Diluted earnings (loss) per share 0.88 1.16 0.55 (4.01 ) Fiscal 2019 results include $711 ($507 Quarter First Second Third Fourth Facility closure expenses $ 27 $ 114 $ 60 $ 510 Quarter Fiscal 2018 First Second Third Fourth Net revenues $ 242,440 $ 256,034 $ 352,699 $ 449,739 Gross profit 49,457 51,774 57,302 88,067 Net income 14,142 15,190 20,511 22,054 Net income attributable to Multi-Color Corporation 14,106 15,190 20,532 22,123 Basic earnings per share $ 0.83 $ 0.89 $ 1.06 $ 1.08 Diluted earnings per share 0.82 0.88 1.06 1.08 Fiscal 2018 results include $1,419 ($945 after-tax) in costs related to the closure of our manufacturing facilities located in Merignac and Dormans, France and Norway, Michigan. These expenses were recorded as follows: Quarter First Second Third Fourth Facility closure expenses $ 34 $ 95 $ 761 $ 529 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Detail) $ in Thousands | 12 Months Ended | ||||
Mar. 31, 2019USD ($)Segment | Mar. 31, 2018USD ($) | Mar. 31, 2017USD ($) | Apr. 01, 2019USD ($) | ||
Number of reportable segment | Segment | 1 | ||||
Research and development cost | $ 8,065 | $ 5,834 | $ 5,274 | ||
Cash in foreign bank accounts | 57,762 | 67,708 | |||
Unrealized foreign currency translation loss | [1] | (136,726) | 93,892 | (25,254) | |
Transaction gains and (losses) reported in other income and expense | 149 | 3,899 | (533) | ||
Goodwill, Impairment Loss | $ 99,155 | 0 | 0 | ||
Valuation, Market Approach [Member] | |||||
Weighting of Valuation Technique | 25.00% | ||||
Valuation, Income Approach [Member] | |||||
Weighting of Valuation Technique | 75.00% | ||||
Accounting Standards Update 2016-02 [Member] | |||||
Operating Lease, Right-of-Use Asset | $ 125,000 | ||||
Operating Lease, Liability | $ 125,000 | ||||
Accumulated Other Comprehensive Loss | |||||
ASU 2018-02 reclassification of stranded tax effects | $ (1,750) | ||||
Selling, General and Administrative Expenses | |||||
Losses on sale of receivables | (1,964) | (1,325) | $ (561) | ||
Accounts Payable | |||||
Outstanding checks | 15,272 | 2,280 | |||
Foreign Bank Accounts | |||||
Cash in foreign bank accounts | $ 56,914 | $ 66,061 | |||
Maximum | |||||
Finite-Lived intangible asset, useful life | 21 years | ||||
[1] | The amount for the years ended March 31, 2019, 2018 and 2017 includes a tax impact of $262, $(654) and $284, respectively, related to the settlement of foreign currency denominated intercompany loans. |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Property, Plant and Equipment, Estimated Useful Lives (Detail) | 12 Months Ended |
Mar. 31, 2019 | |
Building improvements | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of assets | 15 years |
Maximum | Building | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of assets | 39 years |
Maximum | Machinery and equipment | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of assets | 15 years |
Maximum | Computer | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of assets | 5 years |
Maximum | Furniture and fixtures | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of assets | 10 years |
Minimum | Building | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of assets | 20 years |
Minimum | Machinery and equipment | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of assets | 3 years |
Minimum | Computer | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of assets | 3 years |
Minimum | Furniture and fixtures | |
Property, Plant and Equipment [Line Items] | |
Estimated useful life of assets | 5 years |
Revenue Recognition - Additiona
Revenue Recognition - Additional Information (Detail) $ in Thousands | 12 Months Ended |
Mar. 31, 2019USD ($) | |
Other Revenues [Line Items] | |
Contract with customer, liability, revenue recognized | $ 10,760 |
Minimum | Accounting Standards Update 2014-09 | |
Other Revenues [Line Items] | |
Customer payment terms | 30 days |
Maximum | Accounting Standards Update 2014-09 | |
Other Revenues [Line Items] | |
Customer payment terms | 90 days |
Revenue Recognition - Summary o
Revenue Recognition - Summary of Changes on Consolidated Balance Sheet due to Adoption of ASU 2014-09 (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Apr. 01, 2018 | Mar. 31, 2018 |
Assets: | |||
Accounts receivable, net | $ 300,945 | $ 306,542 | |
Inventories, net | 144,235 | 167,950 | |
Other current assets | 40,769 | 17,468 | |
Liabilities and Stockholders' Equity: | |||
Accrued expenses and other liabilities | 94,739 | 114,022 | |
Deferred income tax liabilities | 160,017 | 149,950 | |
Accumulated other comprehensive loss | (126,166) | (19,241) | |
Retained earnings | 355,973 | $ 384,671 | |
Accounting Standards Update 2014-09 | |||
Assets: | |||
Accounts receivable, net | $ 306,795 | ||
Inventories, net | 149,664 | ||
Other current assets | 39,125 | ||
Liabilities and Stockholders' Equity: | |||
Accrued expenses and other liabilities | 113,807 | ||
Deferred income tax liabilities | 151,075 | ||
Accumulated other comprehensive loss | (19,228) | ||
Retained earnings | 387,372 | ||
Adjustments | Accounting Standards Update 2014-09 | |||
Assets: | |||
Accounts receivable, net | (169) | 253 | |
Inventories, net | 15,494 | (18,286) | |
Other current assets | (18,230) | 21,657 | |
Liabilities and Stockholders' Equity: | |||
Accrued expenses and other liabilities | 347 | (215) | |
Deferred income tax liabilities | (919) | 1,125 | |
Accumulated other comprehensive loss | 5 | 13 | |
Retained earnings | $ (2,338) | $ 2,701 |
Revenue Recognition - Summary_2
Revenue Recognition - Summary of Net Contract Assets and Liabilities (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Apr. 01, 2018 |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Net contract assets and liabilities | $ 18,489 | $ 19,251 |
Other current assets | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Contract assets | 29,143 | 31,001 |
Accrued Expenses and Other Liabilities | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Contract liabilities | $ (10,654) | $ (11,750) |
Revenue Recognition - Summary_3
Revenue Recognition - Summary of Condensed Consolidated Statement of Income as if ASU 2014-09 Has Not Been Adopted and Adjustment Required Upon Adoption of ASU 2014-09 (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | |||||||||||
Net revenues | $ 437,506 | $ 397,004 | $ 434,913 | $ 456,131 | $ 449,739 | $ 352,699 | $ 256,034 | $ 242,440 | $ 1,725,554 | $ 1,300,912 | $ 923,295 |
Cost of revenues | 1,403,634 | 1,054,312 | 726,486 | ||||||||
Gross profit | 81,744 | 65,381 | 86,785 | 88,010 | 88,067 | 57,302 | 51,774 | 49,457 | 321,920 | 246,600 | 196,809 |
Selling, general and administrative expenses | 160,710 | 129,601 | 84,922 | ||||||||
Operating income | 61,344 | 115,580 | 110,966 | ||||||||
Income tax benefit | 12,332 | (18,195) | 26,848 | ||||||||
Net income (loss) | $ (82,039) | $ 11,475 | $ 23,805 | $ 18,092 | $ 22,054 | $ 20,511 | $ 15,190 | $ 14,142 | (28,667) | $ 71,897 | $ 61,365 |
Accounting Standards Update 2014-09 | Adjustments | |||||||||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | |||||||||||
Net revenues | 3,349 | ||||||||||
Cost of revenues | 2,713 | ||||||||||
Gross profit | 636 | ||||||||||
Selling, general and administrative expenses | 67 | ||||||||||
Operating income | 569 | ||||||||||
Income tax benefit | 206 | ||||||||||
Net income (loss) | 363 | ||||||||||
Accounting Standards Update 2014-09 | Calculated under Revenue Guidance in Effect before Topic 606 | |||||||||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | |||||||||||
Net revenues | 1,728,903 | ||||||||||
Cost of revenues | 1,406,347 | ||||||||||
Gross profit | 322,556 | ||||||||||
Selling, general and administrative expenses | 160,777 | ||||||||||
Operating income | 61,913 | ||||||||||
Income tax benefit | 12,538 | ||||||||||
Net income (loss) | $ (28,304) |
Revenue Recognition - Summary_4
Revenue Recognition - Summary of Condensed Consolidated Balance sheet as if ASU 2014-09 Has Not Been Adopted and Adjustment Required Upon Adoption of ASU 2014-09 (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Apr. 01, 2018 | Mar. 31, 2018 |
Assets: | |||
Accounts receivable, net | $ 300,945 | $ 306,542 | |
Inventories, net | 144,235 | 167,950 | |
Other current assets | 40,769 | 17,468 | |
Liabilities and Stockholders' Equity: | |||
Accrued expenses and other liabilities | 94,739 | 114,022 | |
Deferred income tax liabilities | 160,017 | 149,950 | |
Accumulated other comprehensive loss | (126,166) | (19,241) | |
Retained earnings | 355,973 | $ 384,671 | |
Accounting Standards Update 2014-09 | |||
Assets: | |||
Accounts receivable, net | $ 306,795 | ||
Inventories, net | 149,664 | ||
Other current assets | 39,125 | ||
Liabilities and Stockholders' Equity: | |||
Accrued expenses and other liabilities | 113,807 | ||
Deferred income tax liabilities | 151,075 | ||
Accumulated other comprehensive loss | (19,228) | ||
Retained earnings | 387,372 | ||
Accounting Standards Update 2014-09 | Calculated under Revenue Guidance in Effect before Topic 606 | |||
Assets: | |||
Accounts receivable, net | 300,776 | ||
Inventories, net | 159,729 | ||
Other current assets | 22,539 | ||
Liabilities and Stockholders' Equity: | |||
Accrued expenses and other liabilities | 95,086 | ||
Deferred income tax liabilities | 159,098 | ||
Accumulated other comprehensive loss | (126,161) | ||
Retained earnings | 353,635 | ||
Accounting Standards Update 2014-09 | Adjustments | |||
Assets: | |||
Accounts receivable, net | (169) | 253 | |
Inventories, net | 15,494 | (18,286) | |
Other current assets | (18,230) | 21,657 | |
Liabilities and Stockholders' Equity: | |||
Accrued expenses and other liabilities | 347 | (215) | |
Deferred income tax liabilities | (919) | 1,125 | |
Accumulated other comprehensive loss | 5 | 13 | |
Retained earnings | $ (2,338) | $ 2,701 |
Revenue Recognition - Summary_5
Revenue Recognition - Summary of Net Revenues Disaggregated by Region and Timing of Revenue Recognition (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Disaggregation of Revenue [Line Items] | |||||||||||
Net revenues | $ 437,506 | $ 397,004 | $ 434,913 | $ 456,131 | $ 449,739 | $ 352,699 | $ 256,034 | $ 242,440 | $ 1,725,554 | $ 1,300,912 | $ 923,295 |
Point-in-time | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net revenues | 1,494,520 | ||||||||||
Point-in-time | North America | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net revenues | 550,851 | ||||||||||
Point-in-time | Europe | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net revenues | 672,349 | ||||||||||
Point-in-time | Asia Pacific and Africa | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net revenues | 246,657 | ||||||||||
Point-in-time | South America | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net revenues | 24,663 | ||||||||||
Over-time | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net revenues | 231,034 | ||||||||||
Over-time | North America | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net revenues | 224,380 | ||||||||||
Over-time | Europe | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net revenues | 3,970 | ||||||||||
Over-time | Asia Pacific and Africa | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net revenues | 2,684 | ||||||||||
Over-time | South America | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Net revenues | $ 0 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) | Oct. 31, 2017USD ($)EmployeePlantCountry$ / sharesshares | Oct. 11, 2017USD ($) | Aug. 03, 2017USD ($) | Jul. 03, 2017USD ($) | Jan. 03, 2017USD ($) | Jul. 06, 2016USD ($) | Jul. 01, 2016USD ($) | Mar. 31, 2019 | Sep. 30, 2018USD ($) | Jun. 30, 2018USD ($) | Mar. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Sep. 30, 2017USD ($) | Jun. 30, 2017USD ($) | Dec. 31, 2016USD ($) | Mar. 31, 2019USD ($) | Mar. 31, 2018USD ($) | Mar. 31, 2017USD ($) | Mar. 31, 2016USD ($) | Jan. 31, 2017USD ($) |
Business Acquisition [Line Items] | ||||||||||||||||||||
Increased noncontrolling interest | $ 62,000 | |||||||||||||||||||
Goodwill, period increase (decrease) | $ (34,478,000) | $ (359,000) | ||||||||||||||||||
Accounts receivable acquired, fair value | $ 117,248,000 | |||||||||||||||||||
Percentage Of Controlling Interest Sold | 60.00% | |||||||||||||||||||
Proceeds from Sales of Business, Affiliate and Productive Assets | $ 3,620,000 | 3,620,000 | ||||||||||||||||||
Gain (Loss) on Disposition of Business | $ 512,000 | (512,000) | ||||||||||||||||||
Senior Notes | 4.875% Notes, due November 1, 2025 | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Debt instrument, interest rate | 4.875% | 4.875% | ||||||||||||||||||
Gironde Imprimerie Publicite | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Equity interest acquired | 67.60% | |||||||||||||||||||
Deferred payment | $ 208,000 | |||||||||||||||||||
Net debt assumed | 862,000 | |||||||||||||||||||
Purchase price, before debt assumed | $ 2,084,000 | |||||||||||||||||||
Constantia Labels | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Equity interest acquired | 100.00% | |||||||||||||||||||
Number of employees | Employee | 2,800 | |||||||||||||||||||
Number of plants | Plant | 24 | |||||||||||||||||||
Number of countries operated | Country | 14 | |||||||||||||||||||
Number of shared issued for acquisition | shares | 3,383,000 | |||||||||||||||||||
Fair value of the shares issued | $ 237,820,000 | |||||||||||||||||||
Price per share | $ / shares | $ 82.70 | |||||||||||||||||||
Deferred payment | $ 3,901,000 | $ 807,000 | ||||||||||||||||||
Deferred payment period | 90 days | |||||||||||||||||||
Future performance based earnout included in purchase price | $ 9,026,000 | |||||||||||||||||||
Future performance based earnouts future payout, minimum | $ 0 | |||||||||||||||||||
Future performance based earnouts future payout period, maximum | 90 days | |||||||||||||||||||
Cash acquired, allocated to purchase price | $ 49,725,000 | |||||||||||||||||||
Bank debt assumed | 38,491,000 | |||||||||||||||||||
Acquisition expenses | 17,379,000 | |||||||||||||||||||
Liabilities assumed, contingent liability | $ 9,671,000 | |||||||||||||||||||
Contingent liability paid | $ 7,523,000 | |||||||||||||||||||
Increased noncontrolling interest | $ 1,200,000 | |||||||||||||||||||
Goodwill, period increase (decrease) | 4,083,000 | $ (33,772,000) | ||||||||||||||||||
Goodwill, increase/decrease due to preliminary valuation of property plant and equipment | 33,607,000 | |||||||||||||||||||
Goodwill, increase/decrease due to preliminary valuation of intangible assets | 22,400,000 | |||||||||||||||||||
Goodwill, increase/decrease due to preliminary valuation of deferred tax liabilities | 11,195,000 | |||||||||||||||||||
Goodwill, increase/decrease due to preliminary valuation of capital leases | (4,881,000) | |||||||||||||||||||
Credit to depreciation expense related to acquisition | (4,055,000) | |||||||||||||||||||
Amortization expense related to acquisition | 911,000 | |||||||||||||||||||
Goodwill, decrease due to preliminary valuation of other assets | 5,311,000 | |||||||||||||||||||
Goodwill, increase/decrease due to valuation of accrued expenses | (3,574,000) | |||||||||||||||||||
Goodwill, decrease due to preliminary valuation of inventory | 1,768,000 | $ (4,846,000) | ||||||||||||||||||
Weighted-average amortization period for identifiable intangible assets acquired | 18 years | |||||||||||||||||||
Accounts receivable acquired, fair value | $ 117,248,000 | |||||||||||||||||||
The gross contractual value of receivables | 119,883,000 | |||||||||||||||||||
Estimated contractual cash flows not expected to be collected | 2,635,000 | |||||||||||||||||||
Purchase price, before cash acquired | 1,048,656,000 | |||||||||||||||||||
Total purchase price | $ 1,288,169,000 | |||||||||||||||||||
Goodwill, increase due to valuation of related current and deferred tax assets and liabilities | 4,765,000 | |||||||||||||||||||
Goodwill, increase due to valuation of accrued and other liabilities | $ 1,601,000 | |||||||||||||||||||
Decrease In Purchase Price Before Cash Acquired | 8,912,000 | |||||||||||||||||||
Constantia Labels | Selling, General and Administrative Expenses | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Acquisition expenses | $ 1,246,000 | $ 632,000 | $ 11,299,000 | $ 3,545,000 | $ 744,000 | $ 18,000 | ||||||||||||||
Credit of acquisition expenses | (105,000) | |||||||||||||||||||
Constantia Labels | South Africa | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Equity interest acquired | 75.00% | |||||||||||||||||||
Constantia Labels | Senior Notes | 4.875% Notes, due November 1, 2025 | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Debt instrument, interest rate | 4.875% | 4.875% | ||||||||||||||||||
Tanzania Printers | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Equity interest acquired | 100.00% | |||||||||||||||||||
Deferred payment period | 1 year | |||||||||||||||||||
Cash acquired, allocated to purchase price | $ 397,000 | |||||||||||||||||||
Date of acquisition | Oct. 11, 2017 | |||||||||||||||||||
Purchase price, before cash acquired | 15,929,000 | |||||||||||||||||||
Net debt assumed | 9,557,000 | |||||||||||||||||||
Indemnification Asset | $ 1,593,000 | |||||||||||||||||||
GEWA Etiketten GmbH | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Equity interest acquired | 100.00% | |||||||||||||||||||
Date of acquisition | Aug. 3, 2017 | |||||||||||||||||||
Net debt assumed | $ 5,228,000 | |||||||||||||||||||
Total purchase price | 21,846,000 | |||||||||||||||||||
Amount held in escrow account | $ 2,185,000 | |||||||||||||||||||
Period for releasing escrow deposit | 18 months | |||||||||||||||||||
GEWA Etiketten GmbH | Gironde Imprimerie Publicite | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Minority interest, percentage | 2.40% | |||||||||||||||||||
Graphix Labels and Packaging Pty Ltd | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Equity interest acquired | 100.00% | |||||||||||||||||||
Deferred payment | $ 1,631,000 | |||||||||||||||||||
Deferred payment period | 3 months | |||||||||||||||||||
Date of acquisition | Jan. 3, 2017 | |||||||||||||||||||
Total purchase price | $ 17,261,000 | |||||||||||||||||||
Barat Group | Gironde Imprimerie Publicite | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Minority interest, percentage | 30.00% | |||||||||||||||||||
Fair value of equity interest | $ 771,000 | |||||||||||||||||||
Gain recognized as a result of re-measuring the fair value of equity interest | $ 690,000 | |||||||||||||||||||
Industria Litografica Alessandrina S.r.l. | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Equity interest acquired | 100.00% | |||||||||||||||||||
Deferred payment | $ 819,000 | |||||||||||||||||||
Deferred payment period | 3 years | |||||||||||||||||||
Date of acquisition | Jul. 6, 2016 | |||||||||||||||||||
Net debt assumed | $ 3,547,000 | |||||||||||||||||||
Purchase price, before debt assumed | $ 6,301,000 | |||||||||||||||||||
Italstereo Resin Labels S.r.l. | ||||||||||||||||||||
Business Acquisition [Line Items] | ||||||||||||||||||||
Equity interest acquired | 100.00% | |||||||||||||||||||
Cash acquired, allocated to purchase price | $ 181,000 | |||||||||||||||||||
Date of acquisition | Jul. 1, 2016 | |||||||||||||||||||
Purchase price, before cash acquired | $ 3,342,000 | $ 133,000 | $ 201,000 |
Acquisitions - Purchase Price (
Acquisitions - Purchase Price (Detail) - USD ($) $ in Thousands | Oct. 31, 2017 | Mar. 31, 2018 | Jun. 30, 2018 |
Business Acquisition [Line Items] | |||
MCC common stock issued | $ 237,820 | ||
Net cash acquired | $ (11,234) | ||
Constantia Labels | |||
Business Acquisition [Line Items] | |||
Cash from proceeds of borrowings | 1,048,656 | ||
MCC common stock issued | 237,820 | ||
Deferred payments | 3,901 | $ 807 | |
Contingent consideration | 9,026 | ||
Purchase price, before cash acquired | 1,299,403 | ||
Net cash acquired | (11,234) | ||
Total purchase price | $ 1,288,169 |
Acquisitions - Purchase Price A
Acquisitions - Purchase Price Allocation (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 | Oct. 31, 2017 | Mar. 31, 2017 |
Assets Acquired: | ||||
Net cash acquired | $ 11,234 | |||
Accounts receivable | 117,248 | |||
Inventories | 82,472 | |||
Property, plant and equipment | 250,479 | |||
Intangible assets | 432,400 | |||
Goodwill | $ 978,544 | $ 1,196,634 | 673,561 | $ 412,550 |
Other assets | 13,747 | |||
Total assets acquired | 1,581,141 | |||
Liabilities Assumed: | ||||
Accounts payable | 93,812 | |||
Accrued income taxes payable | 4,401 | |||
Accrued expenses and other liabilities | 41,378 | |||
Deferred tax liabilities | 139,847 | |||
Total liabilities assumed | 279,438 | |||
Net assets acquired | 1,301,703 | |||
Noncontrolling interests | $ (1,200) | $ (1,100) | (2,300) | $ (62) |
Net assets acquired attributable to Multi-Color Corporation | $ 1,299,403 |
Acquisitions - Fair Value of Id
Acquisitions - Fair Value of Identifiable Intangible Assets Acquired and Estimated Useful Lives (Detail) $ in Thousands | Oct. 31, 2017USD ($) |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Fair Value | $ 432,400 |
Constantia Labels | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Fair Value | $ 432,400 |
Useful Lives | 18 years |
Constantia Labels | Customer Relationships | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Fair Value | $ 407,300 |
Useful Lives | 19 years |
Constantia Labels | Technology | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Fair Value | $ 20,700 |
Useful Lives | 4 years |
Constantia Labels | Trade Name | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Fair Value | $ 4,400 |
Useful Lives | 4 years |
Acquisitions - Schedule of Pro
Acquisitions - Schedule of Pro Forma Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Business Combinations [Abstract] | ||
Net revenues | $ 1,718,924 | $ 1,588,090 |
Net income attributable to Multi-Color | $ 87,147 | $ 78,768 |
Diluted earnings per share | $ 4.24 | $ 3.86 |
Acquisitions - Reconciliation o
Acquisitions - Reconciliation of Actual Net Revenues and Net Income Attributable to Multi-Color Corporation to Pro Forma Net Revenues and Net Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | ||
Business Acquisition, Pro Forma Information [Line Items] | ||||||||||||
Multi-Color Corporation actual results, Net Income | $ (82,221) | $ 11,286 | $ 23,755 | $ 18,139 | $ 22,123 | $ 20,532 | $ 15,190 | $ 14,106 | $ (29,041) | $ 71,951 | $ 60,996 | |
Pro forma adjustments, Net Income | (8,230) | (34,337) | ||||||||||
Pro forma results, Net Income | 87,147 | 78,768 | ||||||||||
Multi-Color Corporation actual results, Net Revenues | $ 437,506 | $ 397,004 | $ 434,913 | $ 456,131 | $ 449,739 | $ 352,699 | $ 256,034 | $ 242,440 | $ 1,725,554 | 1,300,912 | 923,295 | |
Pro forma results, Net Revenues | 1,718,924 | 1,588,090 | ||||||||||
Constantia Labels | ||||||||||||
Business Acquisition, Pro Forma Information [Line Items] | ||||||||||||
Constantia Labels actual results, Net Income | [1] | 23,426 | 52,109 | |||||||||
Constantia Labels actual results, Net Revenues | [1] | $ 418,012 | $ 664,795 | |||||||||
[1] | Constantia Labels actual results include the seven months pre-acquisition in fiscal 2018 and 12 months in fiscal 2017. Constantia Labels results for the five months post-acquisition in fiscal 2018 are included in the Multi-Color Corporation actual results. |
Acquisitions - Pro Forma Adjust
Acquisitions - Pro Forma Adjustments (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ||
Pro forma adjustments | $ (8,230) | $ (34,337) |
Financing Costs | Constantia Labels | ||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ||
Pro forma adjustments | 9,689 | 15,524 |
Acquisition Transaction Costs | ||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ||
Pro forma adjustments | 16,220 | 18 |
Incremental Depreciation and Amortization Costs | ||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ||
Pro forma adjustments | (8,468) | (14,667) |
Incremental Interest Costs | ||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ||
Pro forma adjustments | (29,368) | (50,639) |
Tax Effect of Adjustments | ||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | ||
Pro forma adjustments | $ 3,697 | $ 15,427 |
Accounts Receivable Allowance -
Accounts Receivable Allowance - Summary of Activity in Allowance for Doubtful Accounts (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Receivables [Abstract] | |||
Balance at beginning of year | $ 2,704 | $ 2,273 | $ 2,497 |
Provision | 312 | 319 | 234 |
Accounts written-off | (281) | (62) | (384) |
Foreign exchange | (137) | 174 | (74) |
Balance at end of year | $ 2,598 | $ 2,704 | $ 2,273 |
Inventories - Schedule of Inven
Inventories - Schedule of Inventories (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Inventory Disclosure [Abstract] | ||
Finished goods | $ 60,493 | $ 80,845 |
Work-in-process | 21,010 | 21,156 |
Raw materials | 62,732 | 65,949 |
Total inventories, net | $ 144,235 | $ 167,950 |
Property, Plant and Equipment -
Property, Plant and Equipment - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation expense | $ 60,474,000 | $ 46,913,000 | $ 33,480,000 |
Impairment loss on fixed assets | 0 | 0 | |
Merignac France | Facility closure expenses | |||
Property, Plant and Equipment [Line Items] | |||
Facility closure expenses related to impairment loss on fixed assets | 125,000 | ||
Impairment of Long Lived Assets to be Disposed of Related to Facility Closures | 125,000 | ||
Dublin Ireland | Facility closure expenses | |||
Property, Plant and Equipment [Line Items] | |||
Facility closure expenses related to impairment loss on fixed assets | 25,000 | ||
Impairment of Long Lived Assets to be Disposed of Related to Facility Closures | $ 25,000 | ||
Cowansville Canada | Facility closure expenses | |||
Property, Plant and Equipment [Line Items] | |||
Facility closure expenses related to impairment loss on fixed assets | 309,000 | ||
Impairment of Long Lived Assets to be Disposed of Related to Facility Closures | $ 309,000 |
Property, Plant and Equipment_2
Property, Plant and Equipment - Schedule of Property, Plant and Equipment (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 812,856 | $ 745,982 |
Accumulated depreciation | (284,779) | (235,980) |
Property, plant and equipment, net | 528,077 | 510,002 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 19,095 | 13,766 |
Buildings, building improvements and leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 123,517 | 114,790 |
Machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 603,882 | 535,142 |
Furniture, fixtures, computer equipment and software | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 42,049 | 50,779 |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 24,313 | $ 31,505 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Additional Information (Detail) - USD ($) | Oct. 31, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 |
Schedule Of Goodwill And Intangible Assets [Line Items] | ||||
Amortization expense of intangible assets | $ 43,618,000 | $ 26,009,000 | $ 14,425,000 | |
Impairment charges | $ 0 | $ 0 | ||
Constantia Labels [Member] | ||||
Schedule Of Goodwill And Intangible Assets [Line Items] | ||||
Weighted-average amortization period for identifiable intangible assets acquired | 18 years | |||
Valuation, Market Approach [Member] | ||||
Schedule Of Goodwill And Intangible Assets [Line Items] | ||||
Weighting Of Valuation Technique | 25.00% | |||
Valuation, Income Approach [Member] | ||||
Schedule Of Goodwill And Intangible Assets [Line Items] | ||||
Weighting Of Valuation Technique | 75.00% | |||
IML FoodAnd Beverage [Member] | ||||
Schedule Of Goodwill And Intangible Assets [Line Items] | ||||
Reporting Unit, Amount of Fair Value in Excess of Carrying Amount | $ 85,109,000 | |||
Europe FoodAnd Beverage [Member] | ||||
Schedule Of Goodwill And Intangible Assets [Line Items] | ||||
Reporting Unit, Amount of Fair Value in Excess of Carrying Amount | $ 14,046,000 | |||
Minimum | ||||
Schedule Of Goodwill And Intangible Assets [Line Items] | ||||
Goodwill Impairment Discounted At Rates | 8.50% | 8.50% | ||
Maximum | ||||
Schedule Of Goodwill And Intangible Assets [Line Items] | ||||
Goodwill Impairment Discounted At Rates | 13.00% | 11.50% |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Goodwill (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Goodwill [Roll Forward] | |||
Goodwill, gross, Beginning balance | $ 1,210,179 | $ 424,941 | |
Accumulated impairment losses, Beginning balance | (13,545) | (12,391) | |
Goodwill, net, Beginning balance | 1,196,634 | 412,550 | |
Acquisitions | 0 | 721,874 | |
Adjustments to prior year acquisitions | (34,478) | (359) | |
Currency translation | (84,457) | 63,096 | |
Impairment | 99,155 | 0 | $ 0 |
Sale of Southeast Asian durables business | 0 | (527) | |
Goodwill, gross, Ending Balance | 1,089,010 | 1,210,179 | 424,941 |
Accumulated impairment losses, Ending balance | (110,466) | (13,545) | (12,391) |
Goodwill, net, Ending balance | $ 978,544 | $ 1,196,634 | $ 412,550 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Intangible Assets (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 671,121 | $ 673,973 |
Accumulated Amortization | (132,925) | (93,740) |
Net Carrying Amount | 538,196 | 580,233 |
Customer Relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 641,385 | 648,273 |
Accumulated Amortization | (119,821) | (87,560) |
Net Carrying Amount | 521,564 | 560,713 |
Technologies | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 21,540 | 21,721 |
Accumulated Amortization | (8,512) | (3,586) |
Net Carrying Amount | 13,028 | 18,135 |
Trademarks and trade names | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 4,372 | 99 |
Accumulated Amortization | (1,635) | (66) |
Net Carrying Amount | 2,737 | 33 |
Non-compete Agreements | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 3,824 | 3,880 |
Accumulated Amortization | (2,957) | (2,528) |
Net Carrying Amount | $ 867 | $ 1,352 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Estimated Useful Lives for Each Intangible Asset Class (Detail) | 12 Months Ended |
Mar. 31, 2019 | |
Maximum | |
Intangible Assets, Useful Life | 21 years |
Customer relationships | Minimum | |
Intangible Assets, Useful Life | 9 years |
Customer relationships | Maximum | |
Intangible Assets, Useful Life | 21 years |
Technologies | Minimum | |
Intangible Assets, Useful Life | 1 year |
Technologies | Maximum | |
Intangible Assets, Useful Life | 8 years |
Trademarks and trade names | Minimum | |
Intangible Assets, Useful Life | 1 year |
Trademarks and trade names | Maximum | |
Intangible Assets, Useful Life | 4 years |
Non-compete agreements | Minimum | |
Intangible Assets, Useful Life | 2 years |
Non-compete agreements | Maximum | |
Intangible Assets, Useful Life | 7 years |
Goodwill and Intangible Asset_6
Goodwill and Intangible Assets - Annual Estimated Amortization Expense for Future Years (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | ||
Fiscal 2020 | $ 42,079 | |
Fiscal 2021 | 41,635 | |
Fiscal 2022 | 40,326 | |
Fiscal 2023 | 37,300 | |
Fiscal 2024 | 34,183 | |
Thereafter | 342,673 | |
Total | $ 538,196 | $ 580,233 |
Debt - Additional Information (
Debt - Additional Information (Detail) - USD ($) | Oct. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | Sep. 30, 2019 | Jun. 30, 2019 | Nov. 30, 2014 | |
Debt Instrument [Line Items] | ||||||||||
Unamortized debt issuance costs | $ 660,000 | $ 19,656,000 | $ 29,170,000 | |||||||
Interest expense to amortize deferred financing costs | $ 16,331,000 | 5,085,000 | 3,174,000 | $ 1,665,000 | ||||||
Third party fees | $ 730,000 | |||||||||
Deferred fees | 10,000 | |||||||||
Deferred Debt Issuance costs | 185,000 | 186,000 | 660,000 | |||||||
Property, plant and equipment capital leases | 42,710,000 | 49,640,000 | ||||||||
Accumulated depreciation related to capital leases | $ 6,336,000 | 9,841,000 | ||||||||
Expensed Third Party Fees Modification | $ 720,000 | |||||||||
Senior Unsecured Bridge Facility | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Commitment fees | 4,587,000 | |||||||||
Credit Agreement | Revolving Credit Facility | Scenario Forecast | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Maximum consolidated secured net leverage ratio | 425.00% | 450.00% | ||||||||
Credit Agreement | Revolving Credit Facility | Constantia Labels | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Aggregate commitment amount | $ 400,000,000 | |||||||||
Maturity period | 5 years | |||||||||
Credit Agreement | Term Loan A Facility, mature October 31, 2022 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt instrument, maturity date | Oct. 31, 2022 | |||||||||
Unamortized debt issuance costs | [1] | $ 3,125,000 | 3,996,000 | |||||||
Credit Agreement | Term Loan A Facility, mature October 31, 2022 | Constantia Labels | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Aggregate commitment amount | $ 150,000,000 | |||||||||
Maturity period | 5 years | |||||||||
Credit Agreement | Term Loan B Facility, mature October 31, 2024 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt instrument, maturity date | Oct. 31, 2024 | |||||||||
Unamortized debt issuance costs | [2] | $ 5,165,000 | 6,280,000 | |||||||
Credit Agreement | Term Loan B Facility, mature October 31, 2024 | Constantia Labels | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Aggregate commitment amount | $ 500,000,000 | |||||||||
Maturity period | 7 years | |||||||||
Credit Agreement | U.S. Revolving Credit Facility | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Available borrowings | $ 354,241,000 | |||||||||
Debt instrument, maturity date | Oct. 31, 2022 | |||||||||
Unamortized debt issuance costs | [3],[4] | $ 0 | 5,442,000 | |||||||
Credit Agreement | U.S. Revolving Credit Facility | Constantia Labels | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Aggregate commitment amount | $ 360,000,000 | |||||||||
Credit Agreement | Australian Revolving Sub-Facility | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Available borrowings | $ 4,023,000 | |||||||||
Debt instrument, maturity date | Oct. 31, 2022 | |||||||||
Unamortized debt issuance costs | [3] | $ 473,000 | 605,000 | |||||||
Credit Agreement | Australian Revolving Sub-Facility | Constantia Labels | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Aggregate commitment amount | 40,000,000 | |||||||||
Credit Agreement | Various Uncommitted Lines of Credit | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Available borrowings | 23,625,000 | |||||||||
Senior Notes | 4.875% Notes, due November 1, 2025 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Fair value of Notes | $ 616,500,000 | 564,000,000 | ||||||||
Debt instrument, interest rate | 4.875% | |||||||||
Aggregate principal amount | 600,000,000 | |||||||||
Debt instrument, interest payment description | Interest is payable on the 4.875% Senior Notes on May 1st and November 1st of each year beginning May 1, 2018 until the maturity date of November 1, 2025. | |||||||||
Debt instrument, maturity date | Nov. 1, 2025 | |||||||||
Debt issuance costs | $ 10,338,000 | |||||||||
Unamortized debt issuance costs | [5] | $ 8,420,000 | 9,699,000 | |||||||
Senior Notes | 4.875% Notes, due November 1, 2025 | Constantia Labels | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt instrument, interest rate | 4.875% | 4.875% | ||||||||
Debt instrument, maturity date | Nov. 1, 2025 | |||||||||
Senior Notes | 6.125% Notes, due December 1, 2022 | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Fair value of Notes | $ 257,188,000 | 258,750,000 | ||||||||
Debt instrument, interest rate | 6.125% | |||||||||
Debt instrument, maturity date | Dec. 1, 2022 | |||||||||
Unamortized debt issuance costs | [5] | $ 2,473,000 | $ 3,148,000 | |||||||
Senior Notes | 6.125% Notes, due December 1, 2022 | Constantia Labels | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Debt instrument, interest rate | 6.125% | |||||||||
Aggregate principal amount | $ 250,000,000 | |||||||||
Debt instrument, interest payment description | Interest is payable on the 6.125% Senior Notes on June 1st and December 1st of each year beginning June 1, 2015 until the maturity date of December 1, 2022. | |||||||||
Debt instrument, maturity date | Dec. 1, 2022 | |||||||||
Minimum | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Capital lease, interest rates | 0.97% | |||||||||
Maximum | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Capital lease, interest rates | 12.25% | |||||||||
[1] | The Company is required to make mandatory principal payments on the outstanding borrowings under the Term Loan A Facility. The principal payments are due on the last day of March, June, September and December of each year, commencing on March 31, 2018 through the maturity date of October 31, 2022. | |||||||||
[2] | The Company is required to make mandatory principal payments on the outstanding borrowings under the Term Loan B Facility. The principal payments are due on the last day of March, June, September and December of each year, commencing on March 31, 2018 through the maturity date of October 31, 2024. | |||||||||
[3] | Borrowings under the U.S. Revolving Credit Facility and Australian Revolving Sub-Facility mature on October 31, 2022. | |||||||||
[4] | Unamortized debt issuance costs related to the U.S. Revolving Credit Facility were reclassified to prepaid expenses and other long-term assets in the consolidated balance sheet as of March 31, 2019, as there are no borrowings outstanding on the U.S. Revolving Credit Facility as of March 31, 2019. | |||||||||
[5] | The 6.125% Senior Notes are due on December 1, 2022. The 4.875% Senior Notes are due on November 1, 2025. |
Debt - Components of Debt (Deta
Debt - Components of Debt (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2017 | |
Debt Instrument [Line Items] | ||||
Principal | $ 1,557,009 | $ 1,627,855 | ||
Unamortized Debt Issuance Costs | (19,656) | (29,170) | $ (660) | |
Less current portion of debt | (23,059) | (20,864) | ||
Debt Less Unamortized Debt Issuance Costs | 1,537,353 | 1,598,685 | ||
Total long-term debt, Principal | 1,533,950 | 1,606,991 | ||
Less current portion of debt, Debt Less Unamortized Debt Issuance Costs | (23,059) | (20,864) | ||
Total long-term debt, Debt Less Unamortized Debt Issuance Costs | 1,514,294 | 1,577,821 | ||
Credit Agreement | Term Loan A Facility, mature October 31, 2022 | ||||
Debt Instrument [Line Items] | ||||
Principal | [1] | 135,625 | 148,125 | |
Unamortized Debt Issuance Costs | [1] | (3,125) | (3,996) | |
Debt Less Unamortized Debt Issuance Costs | [1] | 132,500 | 144,129 | |
Credit Agreement | Term Loan B Facility, mature October 31, 2024 | ||||
Debt Instrument [Line Items] | ||||
Principal | [2] | 493,750 | 498,750 | |
Unamortized Debt Issuance Costs | [2] | (5,165) | (6,280) | |
Debt Less Unamortized Debt Issuance Costs | [2] | 488,585 | 492,470 | |
Credit Agreement | U.S. Revolving Credit Facility | ||||
Debt Instrument [Line Items] | ||||
Principal | [3],[4] | 0 | 56,945 | |
Unamortized Debt Issuance Costs | [3],[4] | 0 | (5,442) | |
Debt Less Unamortized Debt Issuance Costs | [3],[4] | 0 | 51,503 | |
Credit Agreement | Australian Revolving Sub-Facility | ||||
Debt Instrument [Line Items] | ||||
Principal | [3] | 35,977 | 33,033 | |
Unamortized Debt Issuance Costs | [3] | (473) | (605) | |
Debt Less Unamortized Debt Issuance Costs | [3] | 35,504 | 32,428 | |
Senior Notes | 6.125% Notes, due December 1, 2022 | ||||
Debt Instrument [Line Items] | ||||
Principal | [5] | 250,000 | 250,000 | |
Unamortized Debt Issuance Costs | [5] | (2,473) | (3,148) | |
Debt Less Unamortized Debt Issuance Costs | [5] | 247,527 | 246,852 | |
Senior Notes | 4.875% Notes, due November 1, 2025 | ||||
Debt Instrument [Line Items] | ||||
Principal | [5] | 600,000 | 600,000 | |
Unamortized Debt Issuance Costs | [5] | (8,420) | (9,699) | |
Debt Less Unamortized Debt Issuance Costs | [5] | 591,580 | 590,301 | |
Capital Leases | ||||
Debt Instrument [Line Items] | ||||
Principal | 36,255 | 36,288 | ||
Unamortized Debt Issuance Costs | 0 | |||
Debt Less Unamortized Debt Issuance Costs | 36,255 | 36,288 | ||
Other Subsidiary Debt | ||||
Debt Instrument [Line Items] | ||||
Principal | 5,402 | 4,714 | ||
Unamortized Debt Issuance Costs | 0 | |||
Debt Less Unamortized Debt Issuance Costs | $ 5,402 | $ 4,714 | ||
[1] | The Company is required to make mandatory principal payments on the outstanding borrowings under the Term Loan A Facility. The principal payments are due on the last day of March, June, September and December of each year, commencing on March 31, 2018 through the maturity date of October 31, 2022. | |||
[2] | The Company is required to make mandatory principal payments on the outstanding borrowings under the Term Loan B Facility. The principal payments are due on the last day of March, June, September and December of each year, commencing on March 31, 2018 through the maturity date of October 31, 2024. | |||
[3] | Borrowings under the U.S. Revolving Credit Facility and Australian Revolving Sub-Facility mature on October 31, 2022. | |||
[4] | Unamortized debt issuance costs related to the U.S. Revolving Credit Facility were reclassified to prepaid expenses and other long-term assets in the consolidated balance sheet as of March 31, 2019, as there are no borrowings outstanding on the U.S. Revolving Credit Facility as of March 31, 2019. | |||
[5] | The 6.125% Senior Notes are due on December 1, 2022. The 4.875% Senior Notes are due on November 1, 2025. |
Debt - Components of Debt (Pare
Debt - Components of Debt (Parenthetical) (Detail) | 12 Months Ended |
Mar. 31, 2019 | |
6.125% Notes, due December 1, 2022 | Senior Notes | |
Debt Instrument [Line Items] | |
Debt instrument, interest rate | 6.125% |
Debt instrument, maturity date | Dec. 1, 2022 |
4.875% Notes, due November 1, 2025 | Senior Notes | |
Debt Instrument [Line Items] | |
Debt instrument, interest rate | 4.875% |
Debt instrument, maturity date | Nov. 1, 2025 |
Term Loan A Facility, mature October 31, 2022 | Credit Agreement | |
Debt Instrument [Line Items] | |
Debt instrument, maturity date | Oct. 31, 2022 |
Term Loan B Facility, mature October 31, 2024 | Credit Agreement | |
Debt Instrument [Line Items] | |
Debt instrument, maturity date | Oct. 31, 2024 |
U.S. Revolving Credit Facility | Credit Agreement | |
Debt Instrument [Line Items] | |
Debt instrument, maturity date | Oct. 31, 2022 |
Australian Revolving Sub-Facility | Credit Agreement | |
Debt Instrument [Line Items] | |
Debt instrument, maturity date | Oct. 31, 2022 |
Debt - Schedule of Future Annua
Debt - Schedule of Future Annual Principal Payments (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Debt Instrument [Line Items] | ||
Fiscal 2020 | $ 23,059 | |
Fiscal 2021 | 21,330 | |
Fiscal 2022 | 25,112 | |
Fiscal 2023 | 392,083 | |
Fiscal 2024 | 7,635 | |
Thereafter | 1,087,790 | |
Total | 1,557,009 | $ 1,627,855 |
Debt | ||
Debt Instrument [Line Items] | ||
Fiscal 2020 | 18,509 | |
Fiscal 2021 | 17,331 | |
Fiscal 2022 | 22,005 | |
Fiscal 2023 | 389,158 | |
Fiscal 2024 | 5,000 | |
Thereafter | 1,068,751 | |
Total | 1,520,754 | |
Capital Leases | ||
Debt Instrument [Line Items] | ||
Fiscal 2020 | 4,550 | |
Fiscal 2021 | 3,999 | |
Fiscal 2022 | 3,107 | |
Fiscal 2023 | 2,925 | |
Fiscal 2024 | 2,635 | |
Thereafter | 19,039 | |
Total | $ 36,255 | $ 36,288 |
Debt - Schedule of Weighted Ave
Debt - Schedule of Weighted Average Interest Rates (Detail) - Credit Agreement | Mar. 31, 2019 | Mar. 31, 2018 |
Term Loan A Facility, mature October 31, 2022 | ||
Debt Instrument [Line Items] | ||
Weighted average interest rates | 4.50% | 4.13% |
Term Loan B Facility, mature October 31, 2024 | ||
Debt Instrument [Line Items] | ||
Weighted average interest rates | 4.50% | 4.13% |
U.S. Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
Weighted average interest rates | 4.42% | |
Australian Revolving Sub-Facility | ||
Debt Instrument [Line Items] | ||
Weighted average interest rates | 3.85% | 4.13% |
Debt - Net Minimum Payments on
Debt - Net Minimum Payments on Capitalized Leases (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Capital Leases, Future Minimum Payments, Net Present Value [Abstract] | ||
Total minimum lease payments | $ 44,688 | $ 49,521 |
Less amount representing interest | (8,433) | (13,233) |
Present value of net minimum lease payments | 36,255 | 36,288 |
Current portion | (4,550) | (4,191) |
Capitalized lease obligations, less current portion | $ 31,705 | $ 32,097 |
Risk Management Activities an_3
Risk Management Activities and Financial Instruments - Additional Information (Detail) € in Thousands, $ in Thousands | 1 Months Ended | 12 Months Ended | |
Sep. 30, 2017EUR (€)Derivative | Mar. 31, 2019USD ($)Derivative | Nov. 30, 2017EUR (€) | |
Credit Agreement | |||
Derivative [Line Items] | |||
Number of derivative instruments | Derivative | 2 | ||
Notional amount | $ | $ 300,000 | ||
Effective date of swaps | 2018-10 | ||
Swap expiration date | 2022-10 | ||
Fixed interest rate on swaps | 2.1345% | ||
Interest Rate Swaps | |||
Derivative [Line Items] | |||
Number of derivative instruments | Derivative | 3 | ||
Notional amount | $ | $ 125,000 | ||
Effective date of swaps | 2012-10 | ||
Swap expiration date | 2016-08 | ||
Fixed interest rate on swaps | 1.396% | ||
Cross Currency Swaps | |||
Derivative [Line Items] | |||
Number of derivative instruments | Derivative | 4 | ||
Notional amount | € | € 400,000 | ||
Maturity date | 2025-11 | ||
Cross Currency Swaps | Net Investment Hedges | |||
Derivative [Line Items] | |||
Notional amount | € | € 400,000 | ||
Cross Currency Swaps | Derivatives not designated as hedging instruments | |||
Derivative [Line Items] | |||
Notional amount | € | € 195,000 | ||
Cross Currency Swaps | Derivatives designated as hedging instruments | Net Investment Hedges | |||
Derivative [Line Items] | |||
Notional amount | € | € 205,000 | € 195,000 | |
Interest Rate Swap Agreements | Credit Agreement | |||
Derivative [Line Items] | |||
Number of derivative instruments | Derivative | 2 | ||
Notional amount | $ | $ 300,000 | ||
Effective date of swaps | 2017-10 | ||
Swap expiration date | 2018-10 | ||
Fixed interest rate on swaps | 1.5625% | ||
May Two Thousand Nineteen Swap Agreement | Credit Agreement | |||
Derivative [Line Items] | |||
Notional amount | $ | $ 100,000 | ||
Effective date of swaps | 2019-05 | ||
Swap expiration date | 2022-10 | ||
Fixed interest rate on swaps | 2.806% |
Risk Management Activities an_4
Risk Management Activities and Financial Instruments - Summary of Fair Value of Qualifying and Non-qualifying Instruments Used in Hedging Transactions (Detail) - Fair Value Inputs Level 2 - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Derivatives designated as hedging instruments | Net Investment Hedges | Cross Currency Swaps | Other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | $ 5,127 | $ 4,295 |
Derivatives designated as hedging instruments | Net Investment Hedges | Cross Currency Swaps | Other long-term liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | 1,563 | 50,019 |
Derivatives designated as hedging instruments | Cash Flow Hedges | Interest Rate Swaps | Other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 743 | 920 |
Derivatives designated as hedging instruments | Cash Flow Hedges | Interest Rate Swaps | Other long-term assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 4,956 | |
Derivatives designated as hedging instruments | Cash Flow Hedges | Interest Rate Swaps | Other current liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | 377 | |
Derivatives designated as hedging instruments | Cash Flow Hedges | Interest Rate Swaps | Other long-term liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | 2,353 | |
Derivatives designated as hedging instruments | Cash Flow Hedges | Foreign Currency Forward Contracts | Other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 5 | 0 |
Derivatives designated as hedging instruments | Cash Flow Hedges | Foreign Currency Forward Contracts | Other current liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | 345 | |
Derivatives designated as hedging instruments | Fair Value Hedges | Foreign Currency Forward Contracts | Other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 127 | |
Derivatives designated as hedging instruments | Fair Value Hedges | Foreign Currency Forward Contracts | Other current liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | 234 | 190 |
Derivatives not designated as hedging instruments | Foreign Currency Forward Contracts | Other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative assets | 26 | |
Derivatives not designated as hedging instruments | Foreign Currency Forward Contracts | Other current liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | $ 30 | $ 127 |
Risk Management Activities an_5
Risk Management Activities and Financial Instruments - Amounts of Gains and (Losses) Recognized in AOCI Net of Reclassifications Into Earnings (Detail) - Derivatives designated as hedging instruments - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | ||
Cross Currency Swaps | Net Investment Hedges | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative instruments, amounts of gains and (losses) recognized in AOCI net of reclassifications into earnings | $ 36,545 | ||
Cross Currency Swaps | Net Investment Hedges | Other Comprehensive Income | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative instruments, amounts of gains and (losses) recognized in AOCI net of reclassifications into earnings | [1] | 36,545 | $ (29,667) |
Interest Rate Swaps | Cash Flow Hedges | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative instruments, amounts of gains and (losses) recognized in AOCI net of reclassifications into earnings | (6,111) | $ 4,259 | |
Foreign Exchange Forward | Other Comprehensive Income | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative instruments, amounts of gains and (losses) recognized in AOCI net of reclassifications into earnings | $ (527) | ||
[1] | The net gain of $36,545 recognized in OCI on the cross currency swaps in a net investment hedge as of March 31, 2019 is comprised of an excluded component gain of $4,833 and an undiscounted spot gain of $43,480, net of tax of $(11,768). |
Risk Management Activities an_6
Risk Management Activities and Financial Instruments - Amounts of Gains and (Losses) Recognized in AOCI Net of Reclassifications Into Earnings (Parenthetical) (Detail) $ in Thousands | 12 Months Ended |
Mar. 31, 2019USD ($) | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Derivative instruments, excluded component gain (loss) | $ (11,768,000) |
Cross Currency Swaps | Net Investment Hedges | Derivatives designated as hedging instruments | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Derivative instruments, excluded component gain (loss) | 4,833 |
Derivative instruments, amount of gain (loss) recognized in AOCI | 36,545 |
Cross Currency Spot Swaps | Net Investment Hedges | Derivatives designated as hedging instruments | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Derivative instruments, amount of gain (loss) recognized in AOCI | $ 43,480 |
Risk Management Activities an_7
Risk Management Activities and Financial Instruments - Amounts of Gains and (Losses) Reclassified from AOCI into Earnings (Detail) - Cash Flow Hedging - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | ||
Cross Currency Swaps | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative instruments, amounts of gains and (losses) reclassified from AOCI into earnings | [1] | $ 5,226 | $ 4,234 |
Interest Rate Swaps | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative instruments, amounts of gains and (losses) reclassified from AOCI into earnings | [2] | 674 | $ (101) |
Foreign exchange forward contracts | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Derivative instruments, amounts of gains and (losses) reclassified from AOCI into earnings | [2] | $ (588) | |
[1] | The Company had a $5,226 excluded component gain in AOCI which was recognized into income during the twelve months ended March 31, 2019. | ||
[2] | During the next 12 months, $26 of gains included in the March 31, 2019 AOCI balance are expected to be reclassified into interest expense. |
Risk Management Activities an_8
Risk Management Activities and Financial Instruments - Amounts of Gains and (Losses) Reclassified from AOCI into Earnings (Parenthetical) (Detail) - Cash Flow Hedging $ in Thousands | 12 Months Ended |
Mar. 31, 2019USD ($) | |
Cross Currency Swaps | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Excluded component gain in AOCI which was recognized into income | $ 5,226 |
Interest Rate Swaps | Interest expense | |
Derivative Instruments, Gain (Loss) [Line Items] | |
Derivative instruments, gains and (losses) expected to be reclassified from AOCI into interest expense | $ 26 |
Risk Management Activities an_9
Risk Management Activities and Financial Instruments - Amounts of Gains and (Losses) Included in Earnings from Qualifying and Non-qualifying Financial Instruments used in Hedging Transactions (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Other income (expense), net | Derivatives not designated as hedging instruments | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (loss) on underlying hedged items | $ (5,340) | $ 6,510 |
Other income (expense), net | Derivatives not designated as hedging instruments | Foreign Currency Forward Contracts | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (loss) on derivatives | 6,161 | (7,198) |
Other income (expense), net | Derivatives not designated as hedging instruments | Foreign Currency Forward Contracts | Constantia Labels | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (loss) on derivatives | 8,109 | |
Other income (expense), net | Derivatives designated as hedging instruments | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (loss) on underlying hedged items | 46 | 245 |
Other income (expense), net | Derivatives designated as hedging instruments | Foreign Currency Forward Contracts | Fair Value Hedges | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (loss) on derivatives | (46) | (245) |
Interest expense | Derivatives not designated as hedging instruments | Cross Currency Swaps | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Gain (loss) on derivatives | $ 976 | $ (4,018) |
Accrued Expenses and Other Li_3
Accrued Expenses and Other Liabilities - Summary of Accrued Expenses and Other Liabilities (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Accrued Liabilities and Other Liabilities [Abstract] | ||
Accrued payroll and benefits | $ 41,441 | $ 45,418 |
Accrued income taxes | 6,632 | 13,838 |
Professional fees | 4,534 | 1,965 |
Accrued taxes other than income taxes | 1,671 | 4,682 |
Accrued interest | 13,746 | 16,480 |
Customer rebates | 3,750 | 2,578 |
Exit and disposal costs related to facility closures | 210 | 457 |
Deferred payments | 1,881 | 9,735 |
Deferred revenue | 10,654 | 11,887 |
Derivative liabilities | 986 | 317 |
Other | 9,234 | 6,665 |
Total accrued expenses and other liabilities | $ 94,739 | $ 114,022 |
Employee Benefit Plans - Additi
Employee Benefit Plans - Additional Information (Detail) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019USD ($)Age | Mar. 31, 2018USD ($) | Mar. 31, 2017USD ($) | |
Defined Benefit Plan Disclosure [Line Items] | |||
Contributions to retirement savings plan | $ 10,194 | $ 7,217 | $ 5,189 |
Australian Employees Retirement Savings Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Percentage of contributions to retirement savings plan | 9.00% | ||
Munden Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Net periodic benefit cost | $ 18 | 47 | |
Pension Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Normal retirement age | Age | 65 | ||
Benefits paid | $ 1,071 | 1,008 | |
Plan assets | 632 | 498 | |
Unfunded obligation | 439 | 510 | |
Non-U.S. Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Net periodic benefit cost | 10 | 56 | $ 145 |
Benefits paid | 3,028 | 3,075 | |
Plan assets | 2,958 | 3,037 | |
Unfunded obligation | $ 70 | $ 38 |
Income Taxes - Schedule of Earn
Income Taxes - Schedule of Earnings before Income Taxes (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest [Abstract] | |||
U.S. | $ 29,964 | $ 6,848 | $ 65,113 |
Foreign | (46,299) | 46,854 | 23,100 |
Income (loss) before income taxes | $ (16,335) | $ 53,702 | $ 88,213 |
Income Taxes - Schedule of Prov
Income Taxes - Schedule of Provision (Benefit) for Income Taxes (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Current: | |||
Federal | $ 420 | $ 2,783 | $ 16,889 |
State and local | 2,306 | 611 | 2,498 |
Foreign | 15,069 | 20,641 | 9,298 |
Total Current | 17,795 | 24,035 | 28,685 |
Deferred: | |||
Federal | 2,438 | (18,406) | 987 |
State and local | (1,764) | 70 | (147) |
Foreign | (6,137) | (23,894) | (2,677) |
Total Deferred | (5,463) | (42,230) | (1,837) |
Total | $ 12,332 | $ (18,195) | $ 26,848 |
Income Taxes - Schedule of Reco
Income Taxes - Schedule of Reconciliation between U.S. Statutory Federal Income Tax Rate and Effective Tax Rate (Detail) | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||
U.S. federal statutory rate | 21.00% | 31.50% | 35.00% |
State and local income taxes, net of federal income tax benefit | (1.90%) | 0.40% | 1.70% |
Section 199 deduction | (1.80%) | ||
Foreign derived intangible income deduction | 4.80% | ||
International rate differential | 45.10% | (5.10%) | (3.30%) |
Unrecognized tax benefits | 19.40% | 0.60% | (0.90%) |
Foreign permanent differences | 3.30% | (1.10%) | (2.10%) |
Non-deductible transaction costs | (8.30%) | 4.20% | 0.20% |
Valuation allowances | (3.60%) | 2.00% | 1.20% |
U.S. Repatriation Tax | 3.20% | 5.70% | |
Goodwill impairment | (176.60%) | ||
Share-based Compensation | 1.40% | (2.50%) | |
Tax Rate Changes | 18.00% | (70.80%) | |
U.S. Research & Development Credit | 6.60% | (1.50%) | (0.80%) |
Other foreign taxes | (6.90%) | 1.60% | 0.80% |
Other | (1.00%) | 1.10% | 0.40% |
Effective tax rate | (75.50%) | (33.90%) | 30.40% |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Income Tax Contingency [Line Items] | |||
Statutory federal tax rate | 21.00% | 31.50% | 35.00% |
Tax Cuts and Jobs Act of 2017, Incomplete Accounting, Provisional Income Tax Expense (Benefit) | $ 383 | $ 18,268 | |
Estimated repatriation tax charge | 3,075 | ||
Provisional valuation allowance on certain interest expense carryforwards | 21,343 | ||
Repatriation Tax Payable Period | 8 years | ||
Net deferred tax benefit due to rate change | $ (5,463) | (42,230) | $ (1,837) |
Excess tax benefit from stock-based compensation | 1,258 | ||
Federal operating loss carryforwards | 18,552 | 1,014 | |
State operating loss carryforwards | 1,516 | 1,922 | |
Foreign operating loss carryforwards | 34,255 | 22,174 | |
Valuation allowance | 31,702 | 16,870 | |
Liabilities for unrecognized tax benefits | 5,846 | 7,038 | $ 5,665 |
Interest and penalties recognized to income tax expense | 1,672 | 120 | |
Liability for interest and penalties | 1,408 | 2,641 | |
Unrecognized Tax Benefits Reductions Resulting From Lapse Of Applicable Statute Of Limitations Including Interest And Penalties | 5,251 | ||
Reasonably possible unrecognized tax benefits within next 12 months | 2,068 | ||
Amount of unrecognized tax benefits that would favorably impact effective tax rate | 5,453 | ||
Deferred tax for undistributed earnings of non-U.S. subsidiaries | 1,189 | ||
Deferred Tax Benefit Rate Change [Member] | |||
Income Tax Contingency [Line Items] | |||
Tax Cuts and Jobs Act of 2017, Incomplete Accounting, Provisional Income Tax Expense (Benefit) | 822 | ||
Administration of the Treasury, Belgium | |||
Income Tax Contingency [Line Items] | |||
Net deferred tax benefit due to rate change | 2,268 | 15,164 | |
Accounting Standards Update 2016-09 | |||
Income Tax Contingency [Line Items] | |||
Excess tax benefit from stock-based compensation | 227 | 1,462 | |
Adjustments to the IRC 965 Transition Tax [Member] | |||
Income Tax Contingency [Line Items] | |||
Tax Cuts and Jobs Act of 2017, Incomplete Accounting, Provisional Income Tax Expense (Benefit) | 528 | ||
Adjustments Due to Change in Indefinite Reinvestment Assertion [Member] | |||
Income Tax Contingency [Line Items] | |||
Tax Cuts and Jobs Act of 2017, Incomplete Accounting, Provisional Income Tax Expense (Benefit) | 967 | ||
Business Combinations | |||
Income Tax Contingency [Line Items] | |||
Federal operating loss carryforwards | $ 0 | ||
Minimum | |||
Income Tax Contingency [Line Items] | |||
Statutes Of Limitation Range | 3 years | ||
Maximum | |||
Income Tax Contingency [Line Items] | |||
Statutes Of Limitation Range | 4 years | ||
Foreign Tax Authority | |||
Income Tax Contingency [Line Items] | |||
Valuation allowance | $ 31,247 | $ 16,454 | |
Foreign Tax Authority | Earliest Tax Year | |||
Income Tax Contingency [Line Items] | |||
Year before which the Company is no longer subject to income tax examination | 1999 | ||
Foreign Tax Authority | Minimum | |||
Income Tax Contingency [Line Items] | |||
Expiration of operating loss carryforwards | Mar. 31, 2021 | ||
Foreign Tax Authority | Maximum | |||
Income Tax Contingency [Line Items] | |||
Expiration of operating loss carryforwards | Mar. 31, 2038 | ||
Domestic Tax Authority | |||
Income Tax Contingency [Line Items] | |||
Expiration of operating loss carryforwards | Mar. 31, 2037 | ||
Domestic Tax Authority | Earliest Tax Year | |||
Income Tax Contingency [Line Items] | |||
Year before which the Company is no longer subject to income tax examination | 2016 | ||
State and Local Jurisdiction | Earliest Tax Year | |||
Income Tax Contingency [Line Items] | |||
Year before which the Company is no longer subject to income tax examination | 2015 | ||
State and Local Jurisdiction | Minimum | |||
Income Tax Contingency [Line Items] | |||
Expiration of operating loss carryforwards | Mar. 31, 2020 | ||
State and Local Jurisdiction | Maximum | |||
Income Tax Contingency [Line Items] | |||
Expiration of operating loss carryforwards | Mar. 31, 2038 |
Income Taxes - Schedule of Net
Income Taxes - Schedule of Net Deferred Tax Components (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Deferred tax liabilities: | ||
Book basis over tax basis of fixed assets | $ (58,169) | $ (44,717) |
Book basis over tax basis of intangible assets | (128,273) | (135,432) |
Interest rate swap | (406) | |
Deferred financing costs | (16) | (297) |
Other | (5,766) | (6,370) |
Total deferred tax liabilities | (192,630) | (186,816) |
Deferred tax assets: | ||
Inventory reserves | 2,165 | 925 |
Interest expense carryforwards | 10,674 | |
Inventory capitalization | 343 | 809 |
Allowance for doubtful accounts | 201 | 242 |
Stock based compensation expense | 1,307 | 1,305 |
Minimum pension liability | 524 | 546 |
Loss carry forward amounts | 35,771 | 25,110 |
Credit carry forward amounts | 963 | 2,007 |
Interest rate swaps | 9,306 | |
State basis over tax basis of fixed assets | 1,554 | 667 |
Non-deductible accruals and other | 8,491 | 10,148 |
Deferred compensation | 234 | 699 |
Lease obligations | 6,169 | 4,799 |
Gross deferred tax asset | 68,396 | 56,563 |
Valuation allowance | (31,702) | (16,870) |
Net deferred tax asset | 36,694 | 39,693 |
Net deferred tax liability | $ (155,936) | $ (147,123) |
Income Taxes - Summary of Activ
Income Taxes - Summary of Activity for Company's Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Income Tax Disclosure [Abstract] | ||
Beginning balance | $ 7,038 | $ 5,665 |
Additions based on tax positions related to the current year | 616 | 1,843 |
Additions of tax positions of prior years | 1,870 | 833 |
Settlements | (146) | (1,358) |
Reductions of tax positions of prior years | (233) | (44) |
Lapse of applicable statutes of limitations | (3,059) | (345) |
Currency translation | (240) | 444 |
Ending balance | $ 5,846 | $ 7,038 |
Major Customers - Additional In
Major Customers - Additional Information (Detail) - Customer Concentration Risk - Procter And Gamble Company | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Sales Revenue, Net | |||
Concentration Risk [Line Items] | |||
Percentage from major customers | 10.00% | 14.00% | 17.00% |
Accounts Receivable | |||
Concentration Risk [Line Items] | |||
Percentage from major customers | 2.00% | 3.00% |
Earnings Per Common Share - Add
Earnings Per Common Share - Additional Information (Detail) - shares shares in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Earnings Per Share [Abstract] | |||
Anti-dilutive shares | 386 | 94 | 172 |
Earnings Per Common Share - Rec
Earnings Per Common Share - Reconciliation of Number of Shares Used in Basic and Diluted Earnings Per Share Computations (Detail) - $ / shares shares in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Earnings Per Share [Abstract] | |||||||||||
Basic EPS, Shares | 20,468 | 18,421 | 16,879 | ||||||||
Effect of dilutive securities, Shares | 0 | 162 | 145 | ||||||||
Diluted EPS, Share | 20,468 | 18,583 | 17,024 | ||||||||
Basic EPS, Per Share Amount | $ (4.01) | $ 0.55 | $ 1.16 | $ 0.89 | $ 1.08 | $ 1.06 | $ 0.89 | $ 0.83 | $ (1.42) | $ 3.91 | $ 3.61 |
Effect of dilutive securities, Per Share Amount | 0 | (0.04) | (0.03) | ||||||||
Diluted EPS, Per Share Amount | $ (4.01) | $ 0.55 | $ 1.16 | $ 0.88 | $ 1.08 | $ 1.06 | $ 0.88 | $ 0.82 | $ (1.42) | $ 3.87 | $ 3.58 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares of common stock remained reserved for future issuance | 894 | ||
Stock-based incentive awards, associated tax benefit | $ 475 | $ 898 | $ 943 |
Cash received from options exercised | 1,556 | 2,572 | 2,742 |
Selling, General and Administrative Expenses | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Pre-tax compensation expense | 1,685 | 2,489 | 2,064 |
Cost of revenues | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Pre-tax compensation expense | 813 | 967 | 978 |
Stock Compensation Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Pre-tax compensation expense | $ 2,498 | $ 3,456 | $ 3,042 |
Stock Options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 5 years | ||
Nonvested options, compensation cost not yet recognized | $ 3,474 | ||
Nonvested stock options, weighted average period | 2 years 10 months 24 days | ||
Weighted average grant-date fair value of options granted | $ 22.67 | $ 27.98 | $ 22.72 |
Cash received from options exercised | $ 1,556 | ||
Grant-date fair value of options vested | $ 2,162 | $ 1,800 | $ 2,062 |
Stock Options | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock options, expiration period | 10 years | ||
Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Nonvested stock options, weighted average period | 2 years | ||
Nonvested restricted shares, compensation cost not yet recognized | $ 1,204 | ||
Grant-date fair value of restricted shares vested | $ 472 | $ 665 | $ 720 |
Restricted Stock | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
Restricted Stock | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 5 years | ||
Restricted Stock Units (RSUs) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
Nonvested stock options, weighted average period | 2 years 2 months 12 days | ||
Nonvested restricted shares, compensation cost not yet recognized | $ 739 |
Stock-Based Compensation - Weig
Stock-Based Compensation - Weighted Average Assumptions (Detail) | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | |||
Expected life (years) | 5 years 7 months 6 days | 5 years 8 months 12 days | 5 years 9 months 18 days |
Risk-free interest rate | 2.80% | 1.80% | 1.20% |
Expected volatility | 29.50% | 32.40% | 38.90% |
Dividend yield | 0.30% | 0.30% | 0.30% |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Changes in Options Outstanding (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Options Outstanding, Beginning Balance | 466 | 471 | 600 |
Options, Granted | 45 | 119 | 32 |
Options, Exercised | (76) | (110) | (136) |
Options, Forfeited | (18) | (14) | (25) |
Options Outstanding, Ending Balance | 417 | 466 | 471 |
Options Exercisable, Ending Balance | 203 | 186 | |
Weighted Average Exercise Price, Outstanding, Beginning Balance | $ 53.10 | $ 38.84 | $ 34.50 |
Weighted Average Exercise Price, Granted | 70.77 | 85.38 | 61.62 |
Weighted Average Exercise Price, Exercised | 27.80 | 26.60 | 24.52 |
Weighted Average Exercise Price, Forfeited | 64.86 | 57.10 | 41.66 |
Weighted Average Exercise Price, Outstanding, Ending Balance | 59.09 | 53.10 | $ 38.84 |
Weighted Average Exercise Price, Exercisable, Ending Balance | $ 45.86 | $ 33.72 | |
Weighted Average Remaining Life (Years), Outstanding, Ending Balance | 6 years 4 months 24 days | ||
Weighted Average Remaining Life (Years), Exercisable, Ending Balance | 5 years | 5 years | |
Aggregate Intrinsic Value, Exercised | $ 2,403 | $ 5,990 | $ 5,664 |
Aggregate Intrinsic Value, Outstanding, Ending Balance | 2,693 | ||
Aggregate Intrinsic Value, Exercisable, Ending Balance | $ 2,498 | $ 6,024 |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of Changes in Restricted Shares (Detail) - Restricted Stock - $ / shares shares in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares, Beginning Balance | 13 | 17 | 25 |
Shares, Granted | 19 | 9 | 8 |
Shares, Vested | (7) | (10) | (15) |
Shares, Forfeited | 0 | (3) | (1) |
Shares, Ending Balance | 25 | 13 | 17 |
Weighted Average Grant Date Fair Value, Beginning Balance | $ 76.17 | $ 62.72 | $ 55.99 |
Weighted Average Grant Date Fair Value, Granted | 64.72 | 85.17 | 64.50 |
Weighted Average Grant Date Fair Value, Vested | 72.88 | 63.46 | 51.67 |
Weighted Average Grant Date Fair Value, Forfeited | 0 | 72.47 | 64.05 |
Weighted Average Grant Date Fair Value, Ending Balance | $ 68.32 | $ 76.17 | $ 62.72 |
Stock-Based Compensation - Su_3
Stock-Based Compensation - Summary of Changes in Restricted Share Units (Detail) - Restricted Stock Units (RSUs) - $ / shares | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares, Beginning Balance | 36,000 | 59,000 | 42,000 |
Shares, Granted | 46,000 | 19,000 | 35,000 |
Shares, Forfeited | (12,000) | (30,000) | (18,000) |
Vested | (10,000) | (12,000) | |
Shares, Ending Balance | 60,000 | 36,000 | 59,000 |
Weighted Average Grant Date Fair Value, Beginning Balance | $ 70.73 | $ 62.80 | $ 64.05 |
Weighted Average Grant Date Fair Value, Granted | 66.62 | 85.90 | 61.19 |
Weighted Average Grant Date Fair Value, Forfeited | $ 61.19 | $ 67.51 | 62.59 |
Vested | 61,190 | 64,050 | |
Weighted Average Grant Date Fair Value, Ending Balance | $ 71.09 | $ 70.73 | $ 62.80 |
Geographic Information - Summar
Geographic Information - Summary of Net Revenues and Long-lived Assets Based on Geographic Area (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Net revenues | $ 437,506 | $ 397,004 | $ 434,913 | $ 456,131 | $ 449,739 | $ 352,699 | $ 256,034 | $ 242,440 | $ 1,725,554 | $ 1,300,912 | $ 923,295 | |
Long-lived assets | 2,051,572 | 2,298,966 | 2,051,572 | 2,298,966 | ||||||||
United States | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Net revenues | 660,275 | 584,458 | 511,551 | |||||||||
Long-lived assets | 584,274 | 649,413 | 584,274 | 649,413 | ||||||||
Belgium | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Net revenues | 152,242 | 67,035 | ||||||||||
Long-lived assets | [1] | 408,171 | (7,455) | 408,171 | (7,455) | |||||||
Germany | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Net revenues | 132,973 | 62,184 | ||||||||||
Long-lived assets | 252,533 | 878,106 | 252,533 | 878,106 | ||||||||
Other International | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||||||||||||
Net revenues | 780,064 | 587,235 | $ 411,744 | |||||||||
Long-lived assets | $ 806,594 | $ 778,902 | $ 806,594 | $ 778,902 | ||||||||
[1] | We allocate goodwill to our foreign and domestic locations. In fiscal 2018, negative goodwill associated with the acquisition of Constantia Labels was allocated to our plant in Belgium, as the final goodwill allocation was not complete. |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |||
Lease expiration period | 2032-03 | 2032-03 | |
Operating leases rent expense | $ 24,380 | $ 17,953 | $ 12,767 |
Total estimated purchase obligations | $ 36,414 |
Commitments and Contingencies_2
Commitments and Contingencies - Summary of Annual Future Minimum Rental Obligations (Detail) $ in Thousands | Mar. 31, 2019USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
Fiscal 2020 | $ 22,595 |
Fiscal 2021 | 19,569 |
Fiscal 2022 | 17,297 |
Fiscal 2023 | 13,168 |
Fiscal 2024 | 7,585 |
Thereafter | 15,877 |
Total | $ 96,091 |
Supplemental Cash Flow Disclo_3
Supplemental Cash Flow Disclosures - Supplemental Disclosures of Cash Flow Information and Non-Cash Activities (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | Oct. 31, 2017 | |
Supplemental Disclosures of Cash Flow Information: | ||||
Interest paid | $ 81,613 | $ 32,844 | $ 23,672 | |
Income taxes paid, net of refunds | 28,514 | 30,305 | 21,143 | |
Supplemental Disclosures of Non-Cash Activities: | ||||
Additional minimum pension liability | 37 | (55) | (282) | |
Capital expenditures incurred but not yet paid | 5,958 | 9,958 | 3,323 | |
Capital lease obligations incurred | 1,882 | 864 | ||
Change in derivative contract fair value - asset position | (4,397) | 10,298 | ||
Change in derivative contract fair value - liability position | 45,434 | (50,336) | 225 | |
Business combinations accounted for as a purchase: | ||||
Assets acquired (excluding cash) | 16,233 | 1,612,925 | 45,328 | |
Liabilities assumed | (15,033) | (335,648) | (16,669) | |
Liabilities for contingent / deferred payments | (13,713) | 242 | ||
MCC common stock issued | (237,820) | |||
Noncontrolling interest | $ (1,200) | (1,100) | (62) | $ (2,300) |
Net cash paid | $ 1,024,644 | $ 28,839 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss - Schedule of Changes in Accumulated Other Comprehensive Loss by Component (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning balance | $ 757,557 | |
Ending balance | 625,985 | $ 757,557 |
Foreign currency items | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning balance | 6,335 | (85,593) |
OCI before reclassifications | (135,054) | 91,928 |
Total other comprehensive income (loss) | (135,054) | 91,928 |
ASU 2018-02 reclassifications of stranded tax effects | (244) | |
Ending balance | (128,963) | 6,335 |
Gains and (losses) on derivative contracts | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning balance | (25,408) | |
OCI before reclassifications | 33,894 | (22,635) |
Amounts reclassified from AOCI | 3,987 | (2,773) |
Total other comprehensive income (loss) | 29,907 | (25,408) |
ASU 2018-02 reclassifications of stranded tax effects | (1,506) | |
Ending balance | 2,993 | (25,408) |
Defined benefit pension items | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning balance | (168) | (202) |
OCI before reclassifications | (32) | 3 |
Amounts reclassified from AOCI | 4 | 31 |
Total other comprehensive income (loss) | (28) | 34 |
Ending balance | (196) | (168) |
Accumulated Other Comprehensive Loss | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Beginning balance | (19,241) | (85,795) |
OCI before reclassifications | (101,192) | 69,296 |
Amounts reclassified from AOCI | (3,983) | (2,742) |
Total other comprehensive income (loss) | (105,175) | 66,554 |
ASU 2018-02 reclassifications of stranded tax effects | (1,750) | |
Ending balance | $ (126,166) | $ (19,241) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss - Schedule of Changes in Accumulated Other Comprehensive Loss by Component (Parenthetical) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Gains and (losses) on derivative contracts | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Gains and losses on defined benefit pension and postretirement, tax | $ (11,351) | $ 9,063 |
Defined benefit pension items | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Gains and losses on defined benefit pension and postretirement, tax | $ 11 | $ (1) |
Accumulated Other Comprehensi_5
Accumulated Other Comprehensive Loss - Reclassifications out of Accumulated Other Comprehensive Loss (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||||
Income tax (expense) benefit | $ (12,332) | $ 18,195 | $ (26,848) | |||||||||
Net income (loss) attributable to Multi-Color Corporation | $ (82,221) | $ 11,286 | $ 23,755 | $ 18,139 | $ 22,123 | $ 20,532 | $ 15,190 | $ 14,106 | (29,041) | 71,951 | $ 60,996 | |
Gains and (losses) on derivative contracts | ||||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||||
Amounts reclassified from AOCI | (3,987) | 2,773 | ||||||||||
Defined benefit pension items | ||||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||||
Amounts reclassified from AOCI | (4) | (31) | ||||||||||
Gains and (losses) reclassified from AOCI | ||||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||||
Net income (loss) attributable to Multi-Color Corporation | (3,983) | (2,742) | ||||||||||
Gains and (losses) reclassified from AOCI | Gains and (losses) on derivative contracts | ||||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||||
Amounts reclassified from AOCI, tax | 1,325 | 1,360 | ||||||||||
Gains and (losses) reclassified from AOCI | Gains and (losses) on derivative contracts | Cross Currency Swaps | ||||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||||
Amounts reclassified from AOCI, before tax | [1] | (5,226) | (4,234) | |||||||||
Gains and (losses) reclassified from AOCI | Gains and (losses) on derivative contracts | Interest Rate Swaps | ||||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||||
Amounts reclassified from AOCI, before tax | [1] | (674) | 101 | |||||||||
Gains and (losses) reclassified from AOCI | Gains and (losses) on derivative contracts | Foreign exchange forward contracts | ||||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||||
Amounts reclassified from AOCI, before tax | [2] | 588 | ||||||||||
Gains and (losses) reclassified from AOCI | Defined benefit pension items | ||||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||||||
Amortization of net actuarial losses | [3] | 6 | 7 | |||||||||
Settlement and curtailments | [3] | 44 | ||||||||||
Income tax (expense) benefit | (2) | (20) | ||||||||||
Net income (loss) attributable to Multi-Color Corporation | $ 4 | $ 31 | ||||||||||
[1] | Reclassified from AOCI into interest expense in the consolidated statements of operations. See Note 10. | |||||||||||
[2] | Reclassified from AOCI into cost of revenues in the consolidated statements of operations. See Note 10. | |||||||||||
[3] | Reclassified from AOCI into facility closure expenses in the consolidated statements of operations. These components are included in the computation of net periodic pension cost. See Note 12. |
Facility Closures - Summary of
Facility Closures - Summary of Exit and Disposal Costs Related to Closure (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs incurred | $ 510 | $ 60 | $ 114 | $ 27 | $ 529 | $ 761 | $ 95 | $ 34 | $ 711 | $ 1,419 | |
Cowansville Canada | Severance and other termination benefits | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs expected to be incurred | 150 | 150 | |||||||||
Total costs incurred | 111 | ||||||||||
Cumulative costs incurred | 111 | 111 | |||||||||
Melbourne Australia | Severance and other termination benefits | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs expected to be incurred | 170 | 170 | |||||||||
Total costs incurred | 170 | ||||||||||
Cumulative costs incurred | 170 | 170 | |||||||||
Melbourne Australia | Other associated costs | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs incurred | 612 | ||||||||||
Cumulative costs incurred | 612 | 612 | |||||||||
Melbourne Australia | Other associated costs | Maximum [Member] | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs expected to be incurred | 900 | 900 | |||||||||
Melbourne Australia | Other associated costs | Minimum [Member] | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs expected to be incurred | 700 | 700 | |||||||||
Merignac France | Severance and other termination benefits | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs expected to be incurred | 663 | 663 | |||||||||
Total costs incurred | (40) | 703 | |||||||||
Cumulative costs incurred | 663 | 663 | |||||||||
Merignac France | Other associated costs | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs incurred | 220 | 347 | |||||||||
Cumulative costs incurred | 567 | 567 | |||||||||
Merignac France | Other associated costs | Maximum [Member] | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs expected to be incurred | 750 | 750 | |||||||||
Merignac France | Other associated costs | Minimum [Member] | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs expected to be incurred | $ 566 | $ 566 | |||||||||
Dormans France | Severance and other termination benefits | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs expected to be incurred | 106 | 106 | |||||||||
Dormans France | Other associated costs | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs expected to be incurred | $ 23 | $ 23 | |||||||||
Sonoma California | Severance and other termination benefits | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs expected to be incurred | $ 6 | ||||||||||
Sonoma California | Other associated costs | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs expected to be incurred | 91 | ||||||||||
Glasgow Scotland | Severance and other termination benefits | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs expected to be incurred | 100 | ||||||||||
Glasgow Scotland | Other associated costs | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs expected to be incurred | 539 | ||||||||||
Greensboro North Carolina | Severance and other termination benefits | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs incurred | (22) | ||||||||||
Greensboro North Carolina | Contract termination costs | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs incurred | (66) | ||||||||||
Greensboro North Carolina | Other associated costs | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs incurred | 207 | ||||||||||
Dublin Ireland | Severance and other termination benefits | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs expected to be incurred | 102 | ||||||||||
Dublin Ireland | Contract termination costs | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs expected to be incurred | 177 | ||||||||||
Dublin Ireland | Other associated costs | |||||||||||
Restructuring Cost and Reserve [Line Items] | |||||||||||
Total costs expected to be incurred | $ 76 |
Facility Closures - Reconciliat
Facility Closures - Reconciliation of Beginning and Ending Liability Balances Related to Exit and Disposal Costs (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||
Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | |
Restructuring Cost and Reserve [Line Items] | ||||||||||
Amounts Expensed | $ 510 | $ 60 | $ 114 | $ 27 | $ 529 | $ 761 | $ 95 | $ 34 | $ 711 | $ 1,419 |
Cowansville Canada | Severance and other termination benefits | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Amounts Expensed | 111 | |||||||||
Amounts Paid | (54) | |||||||||
Ending balance | 57 | 57 | ||||||||
Melbourne Australia | Severance and other termination benefits | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Amounts Expensed | 170 | |||||||||
Amounts Paid | (170) | |||||||||
Melbourne Australia | Other associated costs | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Amounts Expensed | 612 | |||||||||
Amounts Paid | (459) | |||||||||
Ending balance | $ 153 | 153 | ||||||||
Merignac France | Severance and other termination benefits | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Beginning balance | $ 457 | 457 | ||||||||
Amounts Expensed | (40) | 703 | ||||||||
Amounts Paid | (417) | |||||||||
Ending balance | $ 457 | 457 | ||||||||
Merignac France | Other associated costs | ||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||
Amounts Expensed | 220 | $ 347 | ||||||||
Amounts Paid | $ (220) |
Facility Closures - Additional
Facility Closures - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Restructuring Cost and Reserve [Line Items] | |||
Facility Closure Expenses | $ 711 | $ 1,419 | $ 921 |
Defined benefit pension plan, settlement expense | 44 | 133 | |
Cowansville Canada | |||
Restructuring Cost and Reserve [Line Items] | |||
Gain (loss) on sale of property, plant and equipment | 55 | ||
Cumulative costs | 483 | ||
Write-off of inventory | 118 | ||
Cowansville Canada | Facility closure expenses | |||
Restructuring Cost and Reserve [Line Items] | |||
Facility closure expenses related to impairment loss on fixed assets | 309 | ||
Melbourne Australia | |||
Restructuring Cost and Reserve [Line Items] | |||
Cumulative costs | 782 | ||
Merignac France | |||
Restructuring Cost and Reserve [Line Items] | |||
Gain (loss) on sale of property, plant and equipment | (48) | (42) | |
Reversed accrued pension related to employees | 102 | ||
Cumulative costs | 1,343 | ||
Facility Closure Expenses | 228 | 1,115 | |
Merignac France | Facility closure expenses | |||
Restructuring Cost and Reserve [Line Items] | |||
Facility closure expenses related to impairment loss on fixed assets | 125 | ||
Dormans France | |||
Restructuring Cost and Reserve [Line Items] | |||
Gain (loss) on sale of property, plant and equipment | (59) | ||
Cumulative costs | $ 260 | ||
Write-off of inventory | 47 | ||
Dormans France | Facility closure expenses | |||
Restructuring Cost and Reserve [Line Items] | |||
Facility closure expenses related to impairment loss on fixed assets | $ 25 | ||
Sonoma California | |||
Restructuring Cost and Reserve [Line Items] | |||
Gain (loss) on sale of property, plant and equipment | 185 | ||
Write-off of property, plant and equipment | 140 | ||
Glasgow Scotland | |||
Restructuring Cost and Reserve [Line Items] | |||
Gain (loss) on sale of property, plant and equipment | $ 377 |
Quarterly Data - Additional Inf
Quarterly Data - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||
Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | ||||||||||
Facility closure expenses | $ 510 | $ 60 | $ 114 | $ 27 | $ 529 | $ 761 | $ 95 | $ 34 | $ 711 | $ 1,419 |
Facility closure expenses, after-tax | $ 507 | $ 945 |
Quarterly Data - Quarterly Fina
Quarterly Data - Quarterly Financial Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Net revenues | $ 437,506 | $ 397,004 | $ 434,913 | $ 456,131 | $ 449,739 | $ 352,699 | $ 256,034 | $ 242,440 | $ 1,725,554 | $ 1,300,912 | $ 923,295 |
Gross profit | 81,744 | 65,381 | 86,785 | 88,010 | 88,067 | 57,302 | 51,774 | 49,457 | 321,920 | 246,600 | 196,809 |
Net income (loss) | (82,039) | 11,475 | 23,805 | 18,092 | 22,054 | 20,511 | 15,190 | 14,142 | (28,667) | 71,897 | 61,365 |
Net income (loss) attributable to Multi-Color Corporation | $ (82,221) | $ 11,286 | $ 23,755 | $ 18,139 | $ 22,123 | $ 20,532 | $ 15,190 | $ 14,106 | $ (29,041) | $ 71,951 | $ 60,996 |
Basic earnings (loss) per share | $ (4.01) | $ 0.55 | $ 1.16 | $ 0.89 | $ 1.08 | $ 1.06 | $ 0.89 | $ 0.83 | $ (1.42) | $ 3.91 | $ 3.61 |
Diluted earnings (loss) per share | $ (4.01) | $ 0.55 | $ 1.16 | $ 0.88 | $ 1.08 | $ 1.06 | $ 0.88 | $ 0.82 | $ (1.42) | $ 3.87 | $ 3.58 |
Facility closure expenses | $ 510 | $ 60 | $ 114 | $ 27 | $ 529 | $ 761 | $ 95 | $ 34 | $ 711 | $ 1,419 |