Cover Page
Cover Page - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Feb. 15, 2024 | Jun. 30, 2023 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2023 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 000-20278 | ||
Entity Registrant Name | ENCORE WIRE CORPORATION | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 75-2274963 | ||
Entity Address, Address Line One | 1329 Millwood Road | ||
Entity Address, City or Town | McKinney, | ||
Entity Address, State or Province | TX | ||
Entity Address, Postal Zip Code | 75069 | ||
City Area Code | 972 | ||
Local Phone Number | 562-9473 | ||
Title of 12(b) Security | Common Stock, par value $.01 per share | ||
Trading Symbol | WIRE | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Document Financial Statement Error Correction [Flag] | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 2,125,052,538 | ||
Entity Common Stock, Shares Outstanding | 15,763,916 | ||
Documents Incorporated by Reference | Listed below are documents, parts of which are incorporated herein by reference, and the part of this report into which the document is incorporated: (1) Proxy statement for the 2024 annual meeting of stockholders – Part III | ||
Entity Central Index Key | 0000850460 | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2023 | |
Audit Information [Abstract] | |
Auditor Firm ID | 42 |
Auditor Name | Ernst & Young LLP |
Auditor Location | Dallas, Texas |
Balance Sheets
Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 560,635 | $ 730,557 |
Accounts receivable, net of allowance of $2,455 and $3,800 | 475,291 | 498,762 |
Inventories, net | 163,679 | 153,187 |
Income taxes receivable | 4,769 | 15,143 |
Prepaid expenses and other | 6,201 | 3,992 |
Total current assets | 1,210,575 | 1,401,641 |
Property, plant and equipment, net | 756,863 | 616,601 |
Other assets | 474 | 490 |
Total assets | 1,967,912 | 2,018,732 |
Current liabilities: | ||
Trade accounts payable | 80,548 | 62,780 |
Accrued liabilities | 79,590 | 81,381 |
Total current liabilities | 160,138 | 144,161 |
Deferred income taxes and other | 60,197 | 55,905 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Preferred stock value | 0 | 0 |
Common stock value | 273 | 271 |
Additional paid-in capital | 106,035 | 83,622 |
Treasury stock, at cost – 11,661,524 and 8,999,732 shares | (867,222) | (402,639) |
Retained earnings | 2,508,491 | 2,137,412 |
Total stockholders’ equity | 1,747,577 | 1,818,666 |
Total liabilities and stockholders’ equity | $ 1,967,912 | $ 2,018,732 |
Balance Sheets (Parenthetical)
Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Allowance for accounts receivable | $ 2,455 | $ 3,800 |
Preferred stock, par value (in usd per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 2,000,000 | 2,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, par value (in usd per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 40,000,000 | 40,000,000 |
Common stock, shares issued (in shares) | 27,276,834 | 27,139,611 |
Treasury stock (in shares) | 11,661,524 | 8,999,732 |
Statements of Income
Statements of Income - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Statement [Abstract] | |||
Net sales | $ 2,567,722 | $ 3,017,555 | $ 2,592,721 |
Cost of goods sold | 1,911,839 | 1,905,134 | 1,724,975 |
Gross profit | 655,883 | 1,112,421 | 867,746 |
Selling, general and administrative expenses | 204,510 | 197,418 | 168,543 |
Operating income | 451,373 | 915,003 | 699,203 |
Net interest and other income | 33,268 | 9,847 | 194 |
Income before income taxes | 484,641 | 924,850 | 699,397 |
Provision for income taxes | 112,242 | 207,009 | 157,975 |
Net income | $ 372,399 | $ 717,841 | $ 541,422 |
Earnings per common and common equivalent share - basic (in usd per share) | $ 22.07 | $ 37.47 | $ 26.49 |
Earnings per common and common equivalent share - diluted (in usd per share) | $ 21.62 | $ 36.91 | $ 26.22 |
Weighted average common and common equivalent shares outstanding – basic (in shares) | 16,873 | 19,159 | 20,439 |
Weighted average common and common equivalent shares outstanding – diluted (in shares) | 17,223 | 19,446 | 20,649 |
Cash dividends declared per share (in usd per share) | $ 0.08 | $ 0.08 | $ 0.08 |
Statements of Stockholders' Equ
Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Treasury Stock | Retained Earnings |
Beginning balance (in shares) at Dec. 31, 2020 | 27,025,000 | ||||
Beginning balance at Dec. 31, 2020 | $ 837,729 | $ 270 | $ 67,885 | $ (111,718) | $ 881,292 |
Beginning balance, treasury shares (in shares) at Dec. 31, 2020 | (6,468,000) | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 541,422 | 541,422 | |||
Exercise of stock options (in shares) | 35,000 | ||||
Exercise of stock options | 1,084 | $ 1 | 1,083 | ||
Stock-based compensation (in shares) | 23,000 | ||||
Stock-based compensation | 3,785 | 3,785 | |||
Dividend declared—$0.08 per share | $ (1,635) | (1,635) | |||
Purchase of treasury stock (in shares) | (475,557) | (476,000) | |||
Purchase of treasury stock | $ (43,296) | $ (43,296) | |||
Ending balance (in shares) at Dec. 31, 2021 | 27,083,000 | ||||
Ending balance at Dec. 31, 2021 | 1,339,089 | $ 271 | 72,753 | $ (155,014) | 1,421,079 |
Ending balance, treasury shares (in shares) at Dec. 31, 2021 | (6,944,000) | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | 717,841 | 717,841 | |||
Exercise of stock options (in shares) | 4,000 | ||||
Exercise of stock options | 207 | 207 | |||
Stock-based compensation (in shares) | 52,000 | ||||
Stock-based compensation | 10,662 | 10,662 | |||
Dividend declared—$0.08 per share | $ (1,508) | (1,508) | |||
Purchase of treasury stock (in shares) | (2,055,470) | (2,056,000) | |||
Purchase of treasury stock | $ (247,625) | $ (247,625) | |||
Ending balance (in shares) at Dec. 31, 2022 | 27,139,000 | ||||
Ending balance at Dec. 31, 2022 | $ 1,818,666 | $ 271 | 83,622 | $ (402,639) | 2,137,412 |
Ending balance, treasury shares (in shares) at Dec. 31, 2022 | (8,999,732) | (9,000,000) | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Net income | $ 372,399 | 372,399 | |||
Exercise of stock options (in shares) | 22,000 | 22,000 | |||
Exercise of stock options | $ 936 | 936 | |||
Stock-based compensation (in shares) | 115,000 | ||||
Stock-based compensation | 21,479 | $ 2 | 21,477 | ||
Dividend declared—$0.08 per share | $ (1,320) | (1,320) | |||
Purchase of treasury stock (in shares) | (2,661,792) | (2,662,000) | |||
Purchase of treasury stock | $ (464,583) | $ (464,583) | |||
Ending balance (in shares) at Dec. 31, 2023 | 27,276,000 | ||||
Ending balance at Dec. 31, 2023 | $ 1,747,577 | $ 273 | $ 106,035 | $ (867,222) | $ 2,508,491 |
Ending balance, treasury shares (in shares) at Dec. 31, 2023 | (11,661,524) | (11,662,000) |
Statements of Stockholders' E_2
Statements of Stockholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Statement of Stockholders' Equity [Abstract] | |||
Cash dividends declared per share (in usd per share) | $ 0.08 | $ 0.08 | $ 0.08 |
Statements of Cash Flows
Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Operating Activities | |||
Net income | $ 372,399 | $ 717,841 | $ 541,422 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 32,052 | 26,232 | 23,288 |
Deferred income taxes | 4,342 | 19,539 | 2,264 |
Stock-based compensation attributable to equity awards | 21,477 | 10,662 | 3,786 |
Other | 4,163 | 1,796 | 5,831 |
Changes in operating assets and liabilities: | |||
Accounts receivable | 22,126 | (7,636) | (216,808) |
Inventories | (10,492) | (52,371) | (8,494) |
Other assets | (2,318) | (980) | (62) |
Trade accounts payable and accrued liabilities | 1,083 | (12,008) | 66,886 |
Current income taxes receivable / payable | 10,374 | (14,192) | 305 |
Net cash provided by operating activities | 455,206 | 688,883 | 418,418 |
Investing Activities | |||
Purchases of property, plant and equipment | (164,563) | (148,350) | (118,252) |
Proceeds from sale of assets | 28 | 0 | 97 |
Net cash used in investing activities | (164,535) | (148,350) | (118,155) |
Financing Activities | |||
Deferred financing fees | 0 | 0 | (550) |
Purchase of treasury stock | (460,155) | (247,625) | (43,296) |
Proceeds from issuance of common stock, net | 938 | 207 | 1,083 |
Dividends paid | (1,376) | (1,548) | (1,633) |
Net cash used in financing activities | (460,593) | (248,966) | (44,396) |
Net increase (decrease) in cash and cash equivalents | (169,922) | 291,567 | 255,867 |
Cash and cash equivalents at beginning of period | 730,557 | 438,990 | 183,123 |
Cash and cash equivalents at end of period | $ 560,635 | $ 730,557 | $ 438,990 |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | Significant Accounting Policies Business The Company conducts its business in one segment, the manufacture of electric building wire, manufacturing a broad range of electrical wire and cables used to distribute power from the transmission grid to the wall outlet or switch. Encore’s diversified product portfolio and low-cost of production position it exceptionally well to play a key role in the transition to a more sustainable and reliable energy infrastructure. Our products are proudly made in America at our vertically-integrated, single-site, Texas campus. The Company sells its products through manufacturers’ representatives to wholesale electrical distributors servicing the residential, commercial, industrial and renewable energy sectors. Copper, a commodity product, is the principal raw material used in the Company’s manufacturing operations. The price of copper fluctuates, depending on general economic conditions and in relation to supply and demand and other factors, and has caused monthly variations in the cost of copper purchased by the Company. The Company cannot predict future copper prices or the effect of fluctuations in the cost of copper on the Company’s future operating results. Basis of Presentation The Company's financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”). In March 2020, the World Health Organization declared COVID-19 a global pandemic and recommended containment and mitigation measures worldwide. The Company is unable to predict the impact that COVID-19, or any ongoing variants, may have on our financial position and operating results in future periods. The duration or re-emergence of the outbreak and its long-term impact on our business remain uncertain. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Revenue Recognition Our revenue is derived by fulfilling customer orders for the purchase of our products, which include electrical building wire and cable. We recognize revenue at the point in time that control of the ordered products is transferred to the customer, which is typically upon shipment to the customer from our manufacturing facilities and based on agreed upon shipping terms on the related purchase order. Amounts billed and due from our customers are classified as accounts receivable on the balance sheet and require payment on a short-term basis through standard payment terms. Revenue is measured as the amount of consideration we expect to receive in exchange for fulfilling product orders. The amount of consideration we expect to receive and revenue we recognize includes estimates for trade payment discounts and customer rebates, which are estimated using historical experience and other relevant factors and is recorded within the same period that the revenue is recognized. We review and update these estimates regularly and the impact of any adjustments are recognized in the period the adjustments are identified. The adjustments resulting from updated estimates of trade payment discounts and customer rebates were not material. Freight Expenses The Company classifies shipping and handling costs as a component of selling, general and administrative expenses. Shipping and handling costs were approximately $51.2 million, $58.9 million and $47.2 million for the years ended December 31, 2023, 2022 and 2021, respectively. Derivatives The Company may purchase copper and aluminum at current market prices for delivery in future months. These purchases meet the definition of a derivative in Accounting Standards Codification 815, Derivatives and Hedging (ASC 815). These transactions also qualify for the exclusion from derivative accounting as they meet the normal purchase and normal sale criterion in ASC 815. Fair Value of Financial Instruments Certain items are required to be measured at fair value on a recurring basis, primarily cash equivalents held in banks. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. A three-level hierarchy is followed for disclosure to show the extent and level of judgment used to estimate fair value measurements: Level 1 – Inputs used to measure fair value are unadjusted quoted prices that are available in active markets for the identical assets or liabilities as of the reporting date. Level 2 – Inputs used to measure fair value, other than quoted prices included in Level 1, are either directly or indirectly observable as of the reporting date through correlation with market data, including quoted prices for similar assets and liabilities in active markets and quoted prices in markets that are not active. Level 2 also includes assets and liabilities that are valued using models or other pricing methodologies that do not require significant judgment since the input assumptions used in the models, such as interest rates and volatility factors, are corroborated by readily observable data from actively quoted markets for substantially the full term of the financial instrument. Level 3 – Inputs used to measure fair value are unobservable inputs that are supported by little or no market activity and reflect the use of significant management judgment. These values are generally determined using pricing models for which the assumptions utilize management’s estimates of market participant assumptions. At December 31, 2023 and 2022, the carrying value of cash and cash equivalents is based on Level 1 measurements. Concentrations of Credit Risk and Accounts Receivable Financial instruments that potentially subject the Company to a concentration of credit risk consist principally of cash and cash equivalents and accounts receivable. The Company places its cash and cash equivalents with high credit quality financial institutions. Accounts receivable represent amounts due from customers, primarily wholesale electrical distributors, related to the sale of the Company’s products. Such receivables are uncollateralized and are generally due from customers located throughout the United States. Encore has two customers, each of whom slightly exceeds 10% of the Company's total sales. The Company establishes an allowance for credit losses based upon the makeup of the current portfolio, past bad debt experience and current market conditions. Allowance for Credit Losses (In Thousands) 2023 2022 2021 Beginning balance January 1 $ 3,800 $ 3,800 $ 2,215 Write-offs of bad debts (45) — — Collection of previous write-offs — — 122 Adjustment to allowance for credit losses (1,300) — 1,463 Ending balance at December 31 $ 2,455 $ 3,800 $ 3,800 Cash and Cash Equivalents The Company considers all highly liquid instruments purchased with a maturity of three months or less to be cash equivalents. At December 31, 2023 and 2022, the Company’s cash equivalents consisted of investments in money market accounts with the Company’s banks. Inventories Inventories are stated at the lower of cost, using the LIFO method, or market. The Company evaluates the market value of its raw materials, work-in-process and finished goods inventory primarily based upon current raw material and finished goods prices at the end of each period. Property, Plant, and Equipment Property, plant and equipment is recorded at cost. Depreciation is recorded on a straight-line method over the estimated useful lives of the respective assets as follows: buildings and improvements, 3 to 45 years; machinery and equipment, 2 to 20 years; and furniture and fixtures, 5 to 20 years. Accelerated cost recovery methods are used for tax purposes. Repairs and maintenance costs are expensed as incurred. In accordance with its policy, the Company reviews the estimated useful lives of its fixed assets on an ongoing basis. This review indicated that the actual lives of its buildings were longer than the estimated useful lives used for depreciation purposes in the Company's financial statements. As a result, effective September 1, 2023, the Company changed some of its estimates of the useful lives of its buildings to better reflect the estimated periods during which these assets will remain in service. The estimated useful lives of some of the buildings that previously averaged 35 years were increased to an average of 45 years. The effect of this change in estimate was not material to the financial statements. Stock-Based Compensation Compensation cost for all stock-based compensation expected to vest is measured at fair value on the date of grant and recognized over the related service period. The fair value of stock awards is determined based on the number of shares granted and the quoted price of Encore’s common stock, and the fair value of stock options and stock appreciation rights is estimated on the date of grant using the Black-Scholes model. Such value is recognized as expense over the service period on a straight-line basis. Actual forfeitures are recorded as a cumulative adjustment in the period they occur. Earnings Per Share Earnings per common and common equivalent share is computed using the weighted average number of shares of common stock and common stock equivalents outstanding during each period. The dilutive effects of stock awards, which are common stock equivalents, are calculated using the treasury stock method. Income Taxes Income taxes are provided for based on the liability method, resulting in deferred income tax assets and liabilities arising due to temporary differences. Temporary differences are differences between the tax basis of assets and liabilities and their reported amounts in the financial statements that will result in taxable or deductible amounts in future years. The effect on deferred income tax assets and liabilities of a change in tax rates is recognized in income in the period the change in rate is enacted. Comprehensive Income Comprehensive income is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances from non-owner sources. There were no differences between comprehensive income and reported income in the periods presented. Recent Accounting Pronouncements The Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) is the sole source of authoritative U.S. GAAP, along with the Securities and Exchange Commission ("SEC") and Public Company Accounting Oversight Board (“PCAOB”) issued rules and regulations that apply only to SEC registrants. The FASB issues an Accounting Standard Update (“ASU”) to communicate changes to the codification. The Company considers the applicability and impact of all ASUs. No new standards were adopted in 2023. |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories consist of the following as of December 31: In Thousands 2023 2022 Raw materials $ 64,512 $ 69,567 Work-in-process 55,921 42,611 Finished goods 139,348 138,943 Total 259,781 251,121 Adjust to LIFO cost (96,102) (97,934) Inventory, net $ 163,679 $ 153,187 There were no liquidations of inventories that had a material impact on the Company’s results of operations for any period presented. |
Property, Plant and Equipment,
Property, Plant and Equipment, net | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment, net | Property, Plant and Equipment, net Property, plant and equipment consist of the following as of December 31: In Thousands 2023 2022 Land and land improvements $ 90,162 $ 85,286 Construction-in-progress 163,514 125,809 Buildings and improvements 313,691 232,758 Machinery and equipment 478,060 438,303 Furniture and fixtures 17,231 15,178 Property, plant and equipment, gross 1,062,658 897,334 Accumulated depreciation (305,795) (280,733) Property, plant and equipment, net $ 756,863 $ 616,601 Depreciation expense for the years ended December 31, 2023, 2022 and 2021 was $31.9 million, $26.1 million and $23.2 million, respectively. |
Accrued Liabilities
Accrued Liabilities | 12 Months Ended |
Dec. 31, 2023 | |
Accrued Liabilities, Current [Abstract] | |
Accrued Liabilities | Accrued Liabilities Accrued liabilities consist of the following as of December 31: In Thousands 2023 2022 Sales rebates payable $ 39,123 $ 40,909 Stock Appreciation Rights (SAR) Liability 22,182 20,282 Property taxes payable 5,827 5,287 Accrued salaries 6,947 7,616 Other accrued liabilities 5,511 7,287 Total accrued liabilities $ 79,590 $ 81,381 |
Debt
Debt | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Debt | Debt At December 31, 2023 and 2022, the Company had no debt outstanding. On February 9, 2021, the Company terminated its previous credit agreement and entered into a new Credit Agreement (the “2021 Credit Agreement”) with two banks, Bank of America, N.A., as administrative agent and letter of credit issuer, and Wells Fargo Bank, National Association, as syndication agent. The 2021 Credit Agreement extends through February 9, 2026 and provides for maximum borrowings of $200.0 million. At our request and subject to certain conditions, the commitments under the 2021 Credit Agreement may be increased by a maximum of up to $100.0 million as long as existing or new lenders agree to provide such additional commitments. The 2021 Credit Agreement contains provisions to replace LIBOR with a replacement rate as described in the 2021 Credit Agreement. On October 20, 2022, the Company entered into the First Amendment to the 2021 Credit Agreement (the “Amended 2021 Credit Agreement”) which replaced LIBOR with BSBY as permitted under the 2021 Credit Agreement. Borrowings under the line of credit bear interest, at the Company’s option, at either (1) BSBY plus a margin that varies from 1.000% to 1.875% depending upon the Leverage Ratio (as defined in the 2021 Credit Agreement), or (2) the base rate (which is the highest of the federal funds rate plus 0.5%, the prime rate, or BSBY plus 1.0%) plus 0% to 0.375% (depending upon the Leverage Ratio). A commitment fee ranging from 0.20% to 0.325% (depending upon the Leverage Ratio) is payable on the unused line of credit. At December 31, 2023, there were no borrowings outstanding under the Amended 2021 Credit Agreement, and letters of credit outstanding in the amount of $0.3 million left $199.7 million of credit available under the Amended 2021 Credit Agreement. Obligations under the Amended 2021 Credit Agreement are the only contractual borrowing obligations or commercial borrowing commitments of the Company. Obligations under the Amended 2021 Credit Agreement are unsecured and contain customary covenants and events of default. The Company was in compliance with the covenants as of December 31, 2023. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Inflation Reduction Act (“IRA”) was enacted on August 16, 2022. The IRA includes provisions imposing a 1% excise tax on share repurchases that occur after December 31, 2022, and introduces a 15% corporate alternative minimum tax on “adjusted financial statement income” of certain large corporations (generally, corporations reporting at least $1 billion of average adjusted pre-tax net income on their consolidated financial statements). Based on application of currently available guidance, the Company does not expect the IRA to have a material adverse impact to its financial statements . The provision for income tax expense is summarized as follows for the years ended December 31: In Thousands 2023 2022 2021 Current: Federal $ 100,472 $ 175,090 $ 143,392 State 7,428 12,379 12,319 Deferred: Federal 4,115 19,797 2,132 State 227 (257) 132 Total income tax expense $ 112,242 $ 207,009 $ 157,975 The differences between the provision for income taxes and income taxes computed using the federal income tax rate are as follows for the years ended December 31: In Thousands 2023 2022 2021 Amount computed using the statutory rate $ 101,775 $ 194,218 $ 146,873 State income taxes, net of federal tax benefit 6,047 9,576 9,836 162(m) disallowance 5,687 3,244 1,355 Other (1,267) (29) (89) Total income tax expense $ 112,242 $ 207,009 $ 157,975 The tax effect of each type of temporary difference giving rise to the net deferred tax liability at December 31 is as follows: In Thousands 2023 2022 Depreciation $ (65,688) $ (60,304) Inventory (2,462) (2,080) Allowance for credit losses 545 843 Uniform capitalization rules 1,110 574 Stock-based compensation 6,170 4,791 Other 343 536 Net deferred income tax liability $ (59,982) $ (55,640) The Company's inventory costing method for federal income tax purposes differs from the method allowed by GAAP. Both methods of inventory costing result in the same recovery of inventory. However, the timing of the recovery varies. As of December 31, 2023, the Company's tax inventory exceeds its book inventory, which created a deferred tax liability of $2.5 million. The Company made income tax payments of $97.7 million in 2023, $201.7 million in 2022 and $155.5 million in 2021. The Company’s federal income tax returns for the years subsequent to December 31, 2019 remain subject to examination. The Company’s income tax returns in major state income tax jurisdictions remain subject to examination for various periods subsequent to December 31, 2018. The Company has no reserves for uncertain tax positions as of December 31, 2023 and 2022. Interest and penalties resulting from audits by tax authorities have been immaterial and are included in the provision for income taxes in the statements of income. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation Total stock-based compensation expense by type of award was as follows for the years ended December 31: In Thousands 2023 2022 2021 Restricted Stock Units $ 20,738 $ 9,054 $ 1,889 Stock grants 1,018 724 489 Stock options 21 289 435 Stock appreciation rights (“SARs”) 23,438 7,319 22,188 Restricted Stock Awards 986 1,005 1,005 Total stock-based compensation expense $ 46,201 $ 18,391 $ 26,006 In 2020, the Board of Directors adopted a new incentive plan called the Encore Wire 2020 Long Term Incentive Plan (the “2020 LTIP”) which was approved by the Company’s stockholders at the 2020 Annual Meeting of Stockholders. The 2020 LTIP permits the granting of 1,000,000 securities in the form of options to purchase shares of common stock, stock appreciation rights, restricted common stock, restricted stock units, unrestricted common stock, dividend equivalents, cash awards, or performance awards to non-employee directors, officers and employees of the Company. As of December 31, 2023, 463,550 securities remained available for grant under the 2020 LTIP. Restricted Stock Units: Restricted units granted to employees vest ratably over a period of three years from the time the restricted units were granted. During the years ended December 31, 2023, 2022, and 2021 the Company granted 236,800 units, 177,200 units, and 98,600 units respectively, of restricted stock to employees pursuant to the 2020 Long Term Incentive Plan, with weighted grant date fair values of $149.62, $127.58, and $61.92 per unit, respectively. As of December 31, 2023, there was $32.3 million of total unrecognized compensation cost related to unvested units. That cost is expected to be recognized over a weighted-average period of 1.8 years. The following presents a summary of restricted stock activity for the year ended December 31, 2023: Weighted Average Number of Units Grant Date Fair Value Outstanding at January 1, 2023 241,436 $ 109.69 Granted 236,800 149.62 Vested (91,432) 103.97 Forfeited/Canceled — — Unvested at December 31, 2023 386,804 $ 135.49 Stock Grants: In May 2023, the Company granted 1,250 shares of stock to each of the 5 non-employee directors, with a grant date fair value of $162.93 per share. In May 2022, the Company granted 1,250 shares of stock to 4 non-employee directors with a grant date fair value of $123.45 per share. In September 2022, the Company granted 850 shares of stock to 1 non-employee director with a grant date fair value of $125.37 per share. In May 2021, the Company granted 1,250 shares of stock to each of the 5 non-employee directors, with a grant date fair value of $78.29 per share. Stock Options: No stock option awards were granted in 2023, 2022 or 2021. Options vest ratably over a period of five years from the time the options were granted. The maximum term of any option previously granted under the 2010 Stock Option Plan or granted in the future under the 2020 LTIP is ten years. New shares are issued upon the exercise of options. The following presents a summary of stock option activity for the year ended December 31, 2023: Number Weighted Weighted Aggregate Outstanding at January 1, 2023 275,500 $ 43.06 Exercised (22,000) 42.53 Forfeited/Canceled — — Outstanding at December 31, 2023 253,500 $ 43.10 2.7 years $ 43,222 Vested and exercisable at December 31, 2023 253,500 $ 43.10 2.7 years $ 43,222 During the years ended December 31, 2023, 2022 and 2021, the total intrinsic value of options exercised was $2.9 million, $0.2 million and $3.1 million, respectively. As of December 31, 2023, there was no unrecognized compensation cost related to non-vested stock options. Stock Appreciation Rights: In 2014, the Board of Directors adopted a new stock appreciation rights plan called the Encore Wire 2014 Stock Appreciation Rights Plan (the “2014 SARs Plan”). The 2014 SARs Plan permits the grant of SARs that may only be settled in cash to non-executive officers and employees of the Company. SARs granted to employees vest ratably over a period of five years from the time the SARs were granted. The maximum term of any SARs granted under the 2014 SARs Plan is ten years. These awards are classified as liability awards. The liability balances were $22.2 million and $20.3 million at December 31, 2023 and 2022, respectively, and are included in accrued liabilities. Compensation cost for these awards is determined using a fair value method and remeasured at each reporting date until the date of settlement. As of December 31, 2023, a total of 172,008 SARs were outstanding under the 2014 SARs Plan. No SARs were granted subsequent to 2020 as this plan was replaced with a long-term deferred cash compensation plan. The following presents a summary of SARs activity for the year ended December 31, 2023: Cash-settled SARs Weighted Weighted Aggregate Outstanding at January 1, 2023 332,164 $ 54.18 Exercised (153,556) 52.82 Forfeited/Canceled (6,600) 56.47 Outstanding at December 31, 2023 172,008 $ 55.31 5.4 years $ 27,228 Vested and exercisable at December 31, 2023 69,608 $ 53.51 5.0 years $ 11,143 The fair value of SARs outstanding during the years ended December 31, 2023, 2022 and 2021, are revalued each quarter using a Black-Scholes option pricing model and the following weighted average assumptions: Year Ended December 31, 2023 2022 2021 Risk-free interest rate 5.17 % 4.46 % 0.70 % Expected dividend yield 0.04 % 0.06 % 0.06 % Expected volatility 32.60 % 44.03 % 38.64 % Expected lives 0.6 years 1.3 years 2.1 years The Company bases expected volatilities on historical volatilities of Encore's common stock. The expected life represents the weighted average period of time that options granted are expected to be outstanding giving consideration to vesting periods and management’s consideration of historical exercise patterns. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of grant for periods corresponding to the expected life of the option. The expected dividend yield is based on the annualized dividend payment paid on common shares. During the years ended December 31, 2023, 2022 and 2021, the weighted average fair value of SARs was $159.92, $87.20 and $90.04, respectively, and the total intrinsic value of SARs exercised was $21.5 million, $9.1 million and $5.4 million, respectively. As of December 31, 2023, total unrecognized compensation cost related to non-vested SARs of $5.3 million was expected to be recognized over a weighted average period of 1.0 years. Restricted Stock Awards: Restricted shares granted to employees vest ratably over a period of five years from the time the restricted shares were granted. No restricted shares were granted subsequent to 2020. As of December 31, 2023, there was $0.4 million of total unrecognized compensation cost related to unvested shares. That cost is expected to be recognized over a weighted-average period of 0.8 years. The total fair value of shares vested during the year ending December 31, 2023 was $4.4 million. The following presents a summary of restricted stock activity for the year ended December 31, 2023: Weighted Average Number of Shares Grant Date Fair Value Outstanding at January 1, 2023 41,000 $ 57.00 Granted — — Vested (26,000) 56.60 Unvested at December 31, 2023 15,000 $ 57.69 |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Earnings Per Share The following table sets forth certain components of the computation of basic and diluted earnings per share for the years ended December 31: In Thousands 2023 2022 2021 Numerator: Net income $ 372,399 $ 717,841 $ 541,422 Denominator: Denominator for basic earnings per share – weighted average shares 16,873 19,159 20,439 Effect of dilutive securities: Employee stock awards 350 287 210 Denominator for diluted earnings per share – weighted average shares 17,223 19,446 20,649 Stock options to purchase common stock at exercise prices in excess of the average actual stock price for the period that were anti-dilutive and that were excluded from the determination of diluted earnings per share are as follows: In Thousands, Except Per Share Data 2023 2022 2021 Weighted average anti-dilutive stock options — — — Weighted average exercise price per share $ — $ — $ — |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Stockholders' Equity | Stockholders’ Equity On November 10, 2006, the Board of Directors approved a stock repurchase program authorizing the Company to repurchase up to an authorized number of shares of its common stock from time to time in the open market or private transactions at the Company's discretion. This authorization originally expired on December 31, 2007, and the Company’s Board of Directors has authorized several increases and annual extensions of this stock repurchase program, most recently in June 2023, authorizing the repurchase of up to 2,000,000 shares of our common stock. As of December 31, 2023, 813,617 shares remained authorized for repurchase through March 31, 2024. Under this program, the Company repurchased 2,661,792 shares of its stock in 2023, 2,055,470 shares in 2022 and 475,557 shares in 2021. Subsequently, in February 2024, the Board of Directors extended the repurchase authorization for up to 2,000,000 shares of our common stock through March 31, 2025. |
Contingencies
Contingencies | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contingencies | ContingenciesThere are no material pending proceedings to which the Company is a party or to which any of its property is subject. However, the Company is from time to time involved in litigation, certain other claims and arbitration matters arising in the ordinary course of its business. |
Encore Wire Corporation 401(k)
Encore Wire Corporation 401(k) Profit Sharing Plan | 12 Months Ended |
Dec. 31, 2023 | |
Retirement Benefits [Abstract] | |
Encore Wire Corporation 401(k) Profit Sharing Plan | Encore Wire Corporation 401(k) Profit Sharing PlanThe Company sponsors a 401(k) profit sharing plan (the “Plan”) that permits eligible employees to make self-directed contributions of their compensation, a portion of which is matched by the Company, subject to applicable limitations. At the discretion of its Board of Directors, the Company may, but is not required to, make profit-sharing contributions to the Plan on behalf of its employees. The Company’s matching contributions were $4.3 million, $3.7 million and $3.0 million in 2023, 2022 and 2021, respectively. |
Quarterly Financial Information
Quarterly Financial Information (Unaudited) | 12 Months Ended |
Dec. 31, 2023 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information (Unaudited) | Quarterly Financial Information (Unaudited) The following is a summary of the unaudited quarterly financial information for the two years ended December 31, 2023 and 2022 (in thousands, except per share data): Three Months Ended 2023 March 31 June 30 September 30 December 31 Net sales $ 660,492 $ 636,460 $ 636,991 $ 633,779 Gross profit 205,085 166,148 148,242 136,408 Net income 119,483 104,741 82,052 66,123 Earnings per common share – basic 6.60 6.13 4.93 4.21 Earnings per common share – diluted 6.50 6.01 4.82 4.10 Three Months Ended 2022 March 31 June 30 September 30 December 31 Net sales $ 723,072 $ 838,235 $ 762,363 $ 693,885 Gross profit 243,747 320,772 299,447 248,455 Net income 161,531 210,538 191,773 153,998 Earnings per common share – basic 8.08 10.84 10.11 8.43 Earnings per common share – diluted 7.96 10.71 9.97 8.28 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pay vs Performance Disclosure | |||||||||||
Net income | $ 66,123 | $ 82,052 | $ 104,741 | $ 119,483 | $ 153,998 | $ 191,773 | $ 210,538 | $ 161,531 | $ 372,399 | $ 717,841 | $ 541,422 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 31, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Business | Business The Company conducts its business in one segment, the manufacture of electric building wire, manufacturing a broad range of electrical wire and cables used to distribute power from the transmission grid to the wall outlet or switch. Encore’s diversified product portfolio and low-cost of production position it exceptionally well to play a key role in the transition to a more sustainable and reliable energy infrastructure. Our products are proudly made in America at our vertically-integrated, single-site, Texas campus. The Company sells its products through manufacturers’ representatives to wholesale electrical distributors servicing the residential, commercial, industrial and renewable energy sectors. |
Basis of Presentation | Basis of Presentation The Company's financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”). |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. |
Revenue Recognition | Revenue Recognition Our revenue is derived by fulfilling customer orders for the purchase of our products, which include electrical building wire and cable. We recognize revenue at the point in time that control of the ordered products is transferred to the customer, which is typically upon shipment to the customer from our manufacturing facilities and based on agreed upon shipping terms on the related purchase order. Amounts billed and due from our customers are classified as accounts receivable on the balance sheet and require payment on a short-term basis through standard payment terms. Revenue is measured as the amount of consideration we expect to receive in exchange for fulfilling product orders. The amount of consideration we expect to receive and revenue we recognize includes estimates for trade payment discounts and customer rebates, which are estimated using historical experience and other relevant factors and is recorded within the same period that the revenue is recognized. We review and update these estimates regularly and the impact of any adjustments are recognized in the period the adjustments are identified. The adjustments resulting from updated estimates of trade payment discounts and customer rebates were not material. |
Freight Expenses | Freight Expenses |
Derivatives | Derivatives The Company may purchase copper and aluminum at current market prices for delivery in future months. These purchases meet the definition of a derivative in Accounting Standards Codification 815, Derivatives and Hedging (ASC 815). These transactions also qualify for the exclusion from derivative accounting as they meet the normal purchase and normal sale criterion in ASC 815. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments Certain items are required to be measured at fair value on a recurring basis, primarily cash equivalents held in banks. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. A three-level hierarchy is followed for disclosure to show the extent and level of judgment used to estimate fair value measurements: Level 1 – Inputs used to measure fair value are unadjusted quoted prices that are available in active markets for the identical assets or liabilities as of the reporting date. Level 2 – Inputs used to measure fair value, other than quoted prices included in Level 1, are either directly or indirectly observable as of the reporting date through correlation with market data, including quoted prices for similar assets and liabilities in active markets and quoted prices in markets that are not active. Level 2 also includes assets and liabilities that are valued using models or other pricing methodologies that do not require significant judgment since the input assumptions used in the models, such as interest rates and volatility factors, are corroborated by readily observable data from actively quoted markets for substantially the full term of the financial instrument. Level 3 – Inputs used to measure fair value are unobservable inputs that are supported by little or no market activity and reflect the use of significant management judgment. These values are generally determined using pricing models for which the assumptions utilize management’s estimates of market participant assumptions. |
Concentrations of Credit Risk and Accounts Receivable | Concentrations of Credit Risk and Accounts Receivable Financial instruments that potentially subject the Company to a concentration of credit risk consist principally of cash and cash equivalents and accounts receivable. The Company places its cash and cash equivalents with high credit quality financial institutions. |
Concentrations of Credit Risk and Accounts Receivable | Concentrations of Credit Risk and Accounts Receivable Financial instruments that potentially subject the Company to a concentration of credit risk consist principally of cash and cash equivalents and accounts receivable. The Company places its cash and cash equivalents with high credit quality financial institutions. |
Cash and Cash Equivalents | Cash and Cash Equivalents |
Inventories | Inventories Inventories are stated at the lower of cost, using the LIFO method, or market. The Company evaluates the market value of its raw materials, work-in-process and finished goods inventory primarily based upon current raw material and finished goods prices at the end of each period. |
Property, Plant, and Equipment | Property, Plant, and Equipment |
Stock-Based Compensation | Stock-Based Compensation |
Earnings Per Share | Earnings Per Share Earnings per common and common equivalent share is computed using the weighted average number of shares of common stock and common stock equivalents outstanding during each period. The dilutive effects of stock awards, which are common stock equivalents, are calculated using the treasury stock method. |
Income Taxes | Income Taxes Income taxes are provided for based on the liability method, resulting in deferred income tax assets and liabilities arising due to temporary differences. Temporary differences are differences between the tax basis of assets and liabilities and their reported amounts in the financial statements that will result in taxable or deductible amounts in future years. The effect on deferred income tax assets and liabilities of a change in tax rates is recognized in income in the period the change in rate is enacted. |
Comprehensive Income | Comprehensive Income |
Recent Accounting Pronouncements | Recent Accounting Pronouncements The Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) is the sole source of authoritative U.S. GAAP, along with the Securities and Exchange Commission ("SEC") and Public Company Accounting Oversight Board (“PCAOB”) issued rules and regulations that apply only to SEC registrants. The FASB issues an Accounting Standard Update (“ASU”) to communicate changes to the codification. The Company considers the applicability and impact of all ASUs. No new standards were adopted in 2023. |
Significant Accounting Polici_3
Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Schedule of Allowance for Credit Losses | The Company establishes an allowance for credit losses based upon the makeup of the current portfolio, past bad debt experience and current market conditions. Allowance for Credit Losses (In Thousands) 2023 2022 2021 Beginning balance January 1 $ 3,800 $ 3,800 $ 2,215 Write-offs of bad debts (45) — — Collection of previous write-offs — — 122 Adjustment to allowance for credit losses (1,300) — 1,463 Ending balance at December 31 $ 2,455 $ 3,800 $ 3,800 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | Inventories consist of the following as of December 31: In Thousands 2023 2022 Raw materials $ 64,512 $ 69,567 Work-in-process 55,921 42,611 Finished goods 139,348 138,943 Total 259,781 251,121 Adjust to LIFO cost (96,102) (97,934) Inventory, net $ 163,679 $ 153,187 |
Property, Plant and Equipment_2
Property, Plant and Equipment, net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property, Plant and Equipment | Property, plant and equipment consist of the following as of December 31: In Thousands 2023 2022 Land and land improvements $ 90,162 $ 85,286 Construction-in-progress 163,514 125,809 Buildings and improvements 313,691 232,758 Machinery and equipment 478,060 438,303 Furniture and fixtures 17,231 15,178 Property, plant and equipment, gross 1,062,658 897,334 Accumulated depreciation (305,795) (280,733) Property, plant and equipment, net $ 756,863 $ 616,601 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accrued Liabilities, Current [Abstract] | |
Schedule of Accrued Liabilities | Accrued liabilities consist of the following as of December 31: In Thousands 2023 2022 Sales rebates payable $ 39,123 $ 40,909 Stock Appreciation Rights (SAR) Liability 22,182 20,282 Property taxes payable 5,827 5,287 Accrued salaries 6,947 7,616 Other accrued liabilities 5,511 7,287 Total accrued liabilities $ 79,590 $ 81,381 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income Tax Expenses | The provision for income tax expense is summarized as follows for the years ended December 31: In Thousands 2023 2022 2021 Current: Federal $ 100,472 $ 175,090 $ 143,392 State 7,428 12,379 12,319 Deferred: Federal 4,115 19,797 2,132 State 227 (257) 132 Total income tax expense $ 112,242 $ 207,009 $ 157,975 |
Schedule of Differences Between Provision for Income Taxes and Income Taxes Computed Using Federal Income Tax Rate | The differences between the provision for income taxes and income taxes computed using the federal income tax rate are as follows for the years ended December 31: In Thousands 2023 2022 2021 Amount computed using the statutory rate $ 101,775 $ 194,218 $ 146,873 State income taxes, net of federal tax benefit 6,047 9,576 9,836 162(m) disallowance 5,687 3,244 1,355 Other (1,267) (29) (89) Total income tax expense $ 112,242 $ 207,009 $ 157,975 |
Schedule of Net Deferred Tax Liability | The tax effect of each type of temporary difference giving rise to the net deferred tax liability at December 31 is as follows: In Thousands 2023 2022 Depreciation $ (65,688) $ (60,304) Inventory (2,462) (2,080) Allowance for credit losses 545 843 Uniform capitalization rules 1,110 574 Stock-based compensation 6,170 4,791 Other 343 536 Net deferred income tax liability $ (59,982) $ (55,640) |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Total Stock-Based Compensation Expense by Type of Award | Total stock-based compensation expense by type of award was as follows for the years ended December 31: In Thousands 2023 2022 2021 Restricted Stock Units $ 20,738 $ 9,054 $ 1,889 Stock grants 1,018 724 489 Stock options 21 289 435 Stock appreciation rights (“SARs”) 23,438 7,319 22,188 Restricted Stock Awards 986 1,005 1,005 Total stock-based compensation expense $ 46,201 $ 18,391 $ 26,006 |
Schedule of Restricted Stock and Restricted Stock Unit Activity | The following presents a summary of restricted stock activity for the year ended December 31, 2023: Weighted Average Number of Units Grant Date Fair Value Outstanding at January 1, 2023 241,436 $ 109.69 Granted 236,800 149.62 Vested (91,432) 103.97 Forfeited/Canceled — — Unvested at December 31, 2023 386,804 $ 135.49 The following presents a summary of restricted stock activity for the year ended December 31, 2023: Weighted Average Number of Shares Grant Date Fair Value Outstanding at January 1, 2023 41,000 $ 57.00 Granted — — Vested (26,000) 56.60 Unvested at December 31, 2023 15,000 $ 57.69 |
Schedule of Stock Option Activity | The following presents a summary of stock option activity for the year ended December 31, 2023: Number Weighted Weighted Aggregate Outstanding at January 1, 2023 275,500 $ 43.06 Exercised (22,000) 42.53 Forfeited/Canceled — — Outstanding at December 31, 2023 253,500 $ 43.10 2.7 years $ 43,222 Vested and exercisable at December 31, 2023 253,500 $ 43.10 2.7 years $ 43,222 |
Schedule of Stock Appreciation Rights Activity | The following presents a summary of SARs activity for the year ended December 31, 2023: Cash-settled SARs Weighted Weighted Aggregate Outstanding at January 1, 2023 332,164 $ 54.18 Exercised (153,556) 52.82 Forfeited/Canceled (6,600) 56.47 Outstanding at December 31, 2023 172,008 $ 55.31 5.4 years $ 27,228 Vested and exercisable at December 31, 2023 69,608 $ 53.51 5.0 years $ 11,143 |
Schedule of Stock Appreciation Rights Valuation Assumptions | The fair value of SARs outstanding during the years ended December 31, 2023, 2022 and 2021, are revalued each quarter using a Black-Scholes option pricing model and the following weighted average assumptions: Year Ended December 31, 2023 2022 2021 Risk-free interest rate 5.17 % 4.46 % 0.70 % Expected dividend yield 0.04 % 0.06 % 0.06 % Expected volatility 32.60 % 44.03 % 38.64 % Expected lives 0.6 years 1.3 years 2.1 years |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Basic and Diluted Earnings Per Share | The following table sets forth certain components of the computation of basic and diluted earnings per share for the years ended December 31: In Thousands 2023 2022 2021 Numerator: Net income $ 372,399 $ 717,841 $ 541,422 Denominator: Denominator for basic earnings per share – weighted average shares 16,873 19,159 20,439 Effect of dilutive securities: Employee stock awards 350 287 210 Denominator for diluted earnings per share – weighted average shares 17,223 19,446 20,649 |
Schedule of Anti-dilutive Excluded from Diluted Earnings Per Share | Stock options to purchase common stock at exercise prices in excess of the average actual stock price for the period that were anti-dilutive and that were excluded from the determination of diluted earnings per share are as follows: In Thousands, Except Per Share Data 2023 2022 2021 Weighted average anti-dilutive stock options — — — Weighted average exercise price per share $ — $ — $ — |
Quarterly Financial Informati_2
Quarterly Financial Information (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Unaudited Quarterly Financial Information | The following is a summary of the unaudited quarterly financial information for the two years ended December 31, 2023 and 2022 (in thousands, except per share data): Three Months Ended 2023 March 31 June 30 September 30 December 31 Net sales $ 660,492 $ 636,460 $ 636,991 $ 633,779 Gross profit 205,085 166,148 148,242 136,408 Net income 119,483 104,741 82,052 66,123 Earnings per common share – basic 6.60 6.13 4.93 4.21 Earnings per common share – diluted 6.50 6.01 4.82 4.10 Three Months Ended 2022 March 31 June 30 September 30 December 31 Net sales $ 723,072 $ 838,235 $ 762,363 $ 693,885 Gross profit 243,747 320,772 299,447 248,455 Net income 161,531 210,538 191,773 153,998 Earnings per common share – basic 8.08 10.84 10.11 8.43 Earnings per common share – diluted 7.96 10.71 9.97 8.28 |
Significant Accounting Polici_4
Significant Accounting Policies - Narrative (Details) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2023 USD ($) segment customer | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Sep. 01, 2023 | Aug. 31, 2023 | |
Significant Accounting Policies [Line Items] | |||||
Number of operating segments | segment | 1 | ||||
Shipping and handling cost | $ 204,510 | $ 197,418 | $ 168,543 | ||
Buildings and improvements | Minimum | |||||
Significant Accounting Policies [Line Items] | |||||
Estimated useful lives of property plant and equipment | 3 years | ||||
Buildings and improvements | Maximum | |||||
Significant Accounting Policies [Line Items] | |||||
Estimated useful lives of property plant and equipment | 45 years | ||||
Machinery and equipment | Minimum | |||||
Significant Accounting Policies [Line Items] | |||||
Estimated useful lives of property plant and equipment | 2 years | ||||
Machinery and equipment | Maximum | |||||
Significant Accounting Policies [Line Items] | |||||
Estimated useful lives of property plant and equipment | 20 years | ||||
Furniture and fixtures | Minimum | |||||
Significant Accounting Policies [Line Items] | |||||
Estimated useful lives of property plant and equipment | 5 years | ||||
Furniture and fixtures | Maximum | |||||
Significant Accounting Policies [Line Items] | |||||
Estimated useful lives of property plant and equipment | 20 years | ||||
Building | |||||
Significant Accounting Policies [Line Items] | |||||
Estimated useful lives of property plant and equipment | 45 years | 35 years | |||
Customer Concentration Risk | Sales Revenue, Net | |||||
Significant Accounting Policies [Line Items] | |||||
Customer concentration risk, number of customers | customer | 2 | ||||
Shipping and Handling | |||||
Significant Accounting Policies [Line Items] | |||||
Shipping and handling cost | $ 51,200 | $ 58,900 | $ 47,200 |
Significant Accounting Polici_5
Significant Accounting Policies - Schedule of Allowance for Credit Losses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Allowance for Doubtful Accounts Receivable [Roll Forward] | |||
Beginning balance January 1 | $ 3,800 | $ 3,800 | $ 2,215 |
Write-offs of bad debts | (45) | 0 | 0 |
Collection of previous write-offs | 0 | 0 | 122 |
Adjustment to allowance for credit losses | (1,300) | 0 | 1,463 |
Ending balance at December 31 | $ 2,455 | $ 3,800 | $ 3,800 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 64,512 | $ 69,567 |
Work-in-process | 55,921 | 42,611 |
Finished goods | 139,348 | 138,943 |
Total | 259,781 | 251,121 |
Adjust to LIFO cost | (96,102) | (97,934) |
Inventory, net | $ 163,679 | $ 153,187 |
Property, Plant and Equipment_3
Property, Plant and Equipment, net - Schedule of Property, Plant and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 1,062,658 | $ 897,334 |
Accumulated depreciation | (305,795) | (280,733) |
Property, plant and equipment, net | 756,863 | 616,601 |
Land and land improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 90,162 | 85,286 |
Construction-in-progress | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 163,514 | 125,809 |
Buildings and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 313,691 | 232,758 |
Machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 478,060 | 438,303 |
Furniture and fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 17,231 | $ 15,178 |
Property, Plant and Equipment_4
Property, Plant and Equipment, net - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment [Abstract] | |||
Depreciation | $ 31.9 | $ 26.1 | $ 23.2 |
Accrued Liabilities (Details)
Accrued Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Accrued Liabilities, Current [Abstract] | ||
Sales rebates payable | $ 39,123 | $ 40,909 |
Stock Appreciation Rights (SAR) Liability | 22,182 | 20,282 |
Property taxes payable | 5,827 | 5,287 |
Accrued salaries | 6,947 | 7,616 |
Other accrued liabilities | 5,511 | 7,287 |
Total accrued liabilities | $ 79,590 | $ 81,381 |
Debt (Details)
Debt (Details) | 12 Months Ended | ||||
Oct. 20, 2022 | Feb. 09, 2021 USD ($) bank | Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Line of Credit Facility [Line Items] | |||||
Debt outstanding | $ 0 | $ 0 | |||
Number of banks to which the company is party to a credit agreement | bank | 2 | ||||
Outstanding borrowings | 0 | ||||
Letters of credit outstanding | 300,000 | ||||
Remaining borrowing capacity | 199,700,000 | ||||
Total interest paid | 400,000 | 400,000 | $ 400,000 | ||
Total interest capitalized | $ 0 | $ 0 | $ 0 | ||
Credit Agreement | |||||
Line of Credit Facility [Line Items] | |||||
Calculated maximum borrowings | $ 200,000,000 | ||||
Available increase in borrowings under credit agreement | $ 100,000,000 | ||||
Credit Agreement | Minimum | |||||
Line of Credit Facility [Line Items] | |||||
Percentage of commitment fee | 0.20% | ||||
Credit Agreement | Maximum | |||||
Line of Credit Facility [Line Items] | |||||
Percentage of commitment fee | 0.325% | ||||
Credit Agreement | Credit Agreement Interest Rate Option One | Minimum | Bloomberg Short-Term Bank Yield Index (BSBY) | |||||
Line of Credit Facility [Line Items] | |||||
Debt instrument basis spread on variable rate | 1% | ||||
Credit Agreement | Credit Agreement Interest Rate Option One | Maximum | Bloomberg Short-Term Bank Yield Index (BSBY) | |||||
Line of Credit Facility [Line Items] | |||||
Debt instrument basis spread on variable rate | 1.875% | ||||
Credit Agreement | Credit Agreement Interest Rate Option Two | Bloomberg Short-Term Bank Yield Index (BSBY) | |||||
Line of Credit Facility [Line Items] | |||||
Debt instrument basis spread on variable rate | 1% | ||||
Credit Agreement | Credit Agreement Interest Rate Option Two | Minimum | Base Rate | |||||
Line of Credit Facility [Line Items] | |||||
Debt instrument basis spread on variable rate | 0% | ||||
Credit Agreement | Credit Agreement Interest Rate Option Two | Maximum | Federal Funds Rate | |||||
Line of Credit Facility [Line Items] | |||||
Debt instrument basis spread on variable rate | 0.50% | ||||
Credit Agreement | Credit Agreement Interest Rate Option Two | Maximum | Base Rate | |||||
Line of Credit Facility [Line Items] | |||||
Debt instrument basis spread on variable rate | 0.375% |
Income Taxes - Schedule of Inco
Income Taxes - Schedule of Income Tax Expenses (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Current: | |||
Federal | $ 100,472 | $ 175,090 | $ 143,392 |
State | 7,428 | 12,379 | 12,319 |
Deferred: | |||
Federal | 4,115 | 19,797 | 2,132 |
State | 227 | (257) | 132 |
Total income tax expense | $ 112,242 | $ 207,009 | $ 157,975 |
Income Taxes - Schedule of Diff
Income Taxes - Schedule of Differences Between Provision for Income Taxes and Income Taxes Computed Using Federal Income Tax Rate (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Amount computed using the statutory rate | $ 101,775 | $ 194,218 | $ 146,873 |
State income taxes, net of federal tax benefit | 6,047 | 9,576 | 9,836 |
162(m) disallowance | 5,687 | 3,244 | 1,355 |
Other | (1,267) | (29) | (89) |
Total income tax expense | $ 112,242 | $ 207,009 | $ 157,975 |
Income Taxes - Schedule of Net
Income Taxes - Schedule of Net Deferred Tax Liability (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Income Tax Disclosure [Abstract] | ||
Depreciation | $ (65,688) | $ (60,304) |
Inventory | (2,462) | (2,080) |
Allowance for credit losses | 545 | 843 |
Uniform capitalization rules | 1,110 | 574 |
Stock-based compensation | 6,170 | 4,791 |
Other | 343 | 536 |
Net deferred income tax liability | $ (59,982) | $ (55,640) |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Inventory | $ 2,462,000 | $ 2,080,000 | |
Income tax payments | 97,700,000 | 201,700,000 | $ 155,500,000 |
Reserve for uncertain tax positions | $ 0 | $ 0 |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock-based Compensation Expense by Type of Award (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | $ 46,201 | $ 18,391 | $ 26,006 |
Restricted Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | 20,738 | 9,054 | 1,889 |
Stock grants | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | 1,018 | 724 | 489 |
Stock options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | 21 | 289 | 435 |
Stock appreciation rights (“SARs”) | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | 23,438 | 7,319 | 22,188 |
Restricted Stock Awards | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total stock-based compensation expense | $ 986 | $ 1,005 | $ 1,005 |
Stock-Based Compensation - Narr
Stock-Based Compensation - Narrative (Details) | 1 Months Ended | 12 Months Ended | 36 Months Ended | ||||||
May 31, 2023 director $ / shares shares | Sep. 30, 2022 director $ / shares shares | May 31, 2022 director $ / shares shares | May 31, 2021 director $ / shares shares | Dec. 31, 2023 USD ($) $ / shares shares | Dec. 31, 2022 USD ($) $ / shares shares | Dec. 31, 2021 USD ($) $ / shares shares | Dec. 31, 2023 USD ($) shares | Dec. 31, 2020 shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of securities authorized | shares | 1,000,000 | ||||||||
Shares available to be granted (in shares) | shares | 463,550 | 463,550 | |||||||
Stock options granted (in shares) | shares | 0 | 0 | 0 | ||||||
Total intrinsic value of options exercised | $ 2,900,000 | $ 200,000 | $ 3,100,000 | ||||||
Total unrecognized compensation cost related to non-vested stock options | $ 0 | $ 0 | |||||||
Restricted Stock Units | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Award vesting period | 3 years | ||||||||
Granted (in shares) | shares | 236,800 | 177,200 | 98,600 | ||||||
Weighted average grant date fair value (in usd per share) | $ / shares | $ 149.62 | $ 127.58 | $ 61.92 | ||||||
Unrecognized compensation cost | $ 32,300,000 | 32,300,000 | |||||||
Weighted average period of compensation cost | 1 year 9 months 18 days | ||||||||
Stock grants | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Granted (in shares) | shares | 1,250 | 850 | 1,250 | 1,250 | |||||
Weighted average grant date fair value (in usd per share) | $ / shares | $ 162.93 | $ 125.37 | $ 123.45 | $ 78.29 | |||||
Number of non-employee directors | director | 5 | 1 | 4 | 5 | |||||
Employee stock awards | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Award vesting period | 5 years | ||||||||
Award expiration period | 10 years | ||||||||
Stock appreciation rights (“SARs”) | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Award vesting period | 5 years | ||||||||
Weighted average grant date fair value (in usd per share) | $ / shares | $ 159.92 | $ 87.20 | $ 90.04 | ||||||
Unrecognized compensation cost | $ 5,300,000 | 5,300,000 | |||||||
Weighted average period of compensation cost | 1 year | ||||||||
Award expiration period | 10 years | ||||||||
Liability balance | $ 22,200,000 | $ 20,300,000 | $ 22,200,000 | ||||||
Stock appreciation rights outstanding (in shares) | shares | 172,008 | 332,164 | 172,008 | ||||||
Intrinsic value of SARs exercised | $ 21,500,000 | $ 9,100,000 | $ 5,400,000 | ||||||
Restricted Stock Awards | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Award vesting period | 5 years | ||||||||
Granted (in shares) | shares | 0 | 0 | |||||||
Weighted average grant date fair value (in usd per share) | $ / shares | $ 0 | ||||||||
Unrecognized compensation cost | $ 400,000 | $ 400,000 | |||||||
Weighted average period of compensation cost | 9 months 18 days | ||||||||
Total fair value of shares vested during year | $ 4,400,000 |
Stock-Based Compensation - Sche
Stock-Based Compensation - Schedule of Restricted Stock Units (Details) - Restricted Stock Units - $ / shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Number of Shares | |||
Beginning balance (in shares) | 241,436 | ||
Granted (in shares) | 236,800 | 177,200 | 98,600 |
Vested (in shares) | (91,432) | ||
Forfeited/Canceled (in shares) | 0 | ||
Ending balance (in shares) | 386,804 | 241,436 | |
Weighted Average Grant Date Fair Value | |||
Beginning balance (in usd per share) | $ 109.69 | ||
Granted (in usd per share) | 149.62 | $ 127.58 | $ 61.92 |
Vested (in usd per share) | 103.97 | ||
Forfeited/Canceled (in usd per share) | 0 | ||
Ending balance (in usd per share) | $ 135.49 | $ 109.69 |
Stock-Based Compensation - Sc_2
Stock-Based Compensation - Schedule of Stock Option Activity (Details) $ / shares in Units, $ in Thousands | 12 Months Ended |
Dec. 31, 2023 USD ($) $ / shares shares | |
Number of Shares | |
Outstanding, beginning balance (in shares) | shares | 275,500 |
Exercised (in shares) | shares | (22,000) |
Forfeited/canceled (in shares) | shares | 0 |
Outstanding, ending balance (in shares) | shares | 253,500 |
Vested and exercisable, ending balance (in shares) | shares | 253,500 |
Weighted Average Exercise Price | |
Outstanding, beginning balance (in usd per share) | $ / shares | $ 43.06 |
Exercised (in usd per share) | $ / shares | 42.53 |
Forfeited/canceled (in usd per share) | $ / shares | 0 |
Outstanding, ending balance (in usd per share) | $ / shares | 43.10 |
Weighted average exercise price, vested and exercisable, ending balance (in usd per share) | $ / shares | $ 43.10 |
Weighted average remaining contractual term, ending balance | 2 years 8 months 12 days |
Weighted average remaining contractual term, vested and exercisable, ending balance | 2 years 8 months 12 days |
Aggregate intrinsic value ending balance | $ | $ 43,222 |
Aggregate intrinsic value, vested and exercisable ending balance | $ | $ 43,222 |
Stock-Based Compensation - Sc_3
Stock-Based Compensation - Schedule of Stock Appreciation Rights Activity (Details) $ / shares in Units, $ in Thousands | 12 Months Ended |
Dec. 31, 2023 USD ($) $ / shares shares | |
Cash-settled SARs | |
Vested and exercisable, ending balance (in shares) | 253,500 |
Stock appreciation rights (“SARs”) | |
Cash-settled SARs | |
Beginning balance (in shares) | 332,164 |
Exercised (in shares) | (153,556) |
Forfeited/Canceled (in shares) | (6,600) |
Ending balance (in shares) | 172,008 |
Vested and exercisable, ending balance (in shares) | 69,608 |
Weighted Average Exercise Price | |
Beginning balance (in usd per share) | $ / shares | $ 54.18 |
Exercised (in usd per share) | $ / shares | 52.82 |
Forfeited/Canceled (in usd per share) | $ / shares | 56.47 |
Ending balance (in usd per share) | $ / shares | 55.31 |
Vested and exercisable, ending balance (in usd per share) | $ / shares | $ 53.51 |
Outstanding, weighted average contractual term, ending balance | 5 years 4 months 24 days |
Vested and exercisable, weighted average contractual term, ending balance | 5 years |
Outstanding, aggregate intrinsic value, ending balance | $ | $ 27,228 |
Vested and exercisable, aggregate intrinsic value, ending balance | $ | $ 11,143 |
Stock-Based Compensation - St_2
Stock-Based Compensation - Stock Options and Stock Appreciation Rights Valuation Assumptions (Details) - Stock appreciation rights (“SARs”) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Risk-free interest rate | 5.17% | 4.46% | 0.70% |
Expected dividend yield | 0.04% | 0.06% | 0.06% |
Expected volatility | 32.60% | 44.03% | 38.64% |
Expected lives | 7 months 6 days | 1 year 3 months 18 days | 2 years 1 month 6 days |
Stock-Based Compensation - Sc_4
Stock-Based Compensation - Schedule of Restricted Stock Awards (Details) - Restricted Stock Awards - $ / shares | 12 Months Ended | 36 Months Ended |
Dec. 31, 2023 | Dec. 31, 2023 | |
Number of Shares | ||
Beginning balance (in shares) | 41,000 | |
Granted (in shares) | 0 | 0 |
Vested (in shares) | (26,000) | |
Ending balance (in shares) | 15,000 | 15,000 |
Weighted Average Grant Date Fair Value | ||
Beginning balance (in usd per share) | $ 57 | |
Granted (in usd per share) | 0 | |
Vested (in usd per share) | 56.60 | |
Ending balance (in usd per share) | $ 57.69 | $ 57.69 |
Earnings Per Share - Computatio
Earnings Per Share - Computation of Basic and Diluted Net Earnings (Loss) Per Share (Details) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Numerator: | |||||||||||
Net income | $ 66,123 | $ 82,052 | $ 104,741 | $ 119,483 | $ 153,998 | $ 191,773 | $ 210,538 | $ 161,531 | $ 372,399 | $ 717,841 | $ 541,422 |
Denominator: | |||||||||||
Denominator for basic earnings per share – weighted average shares (in shares) | 16,873 | 19,159 | 20,439 | ||||||||
Effect of dilutive securities: | |||||||||||
Denominator for diluted earnings per share – weighted average shares (in shares) | 17,223 | 19,446 | 20,649 | ||||||||
Employee stock awards | |||||||||||
Effect of dilutive securities: | |||||||||||
Employee stock options (in shares) | 350 | 287 | 210 |
Earnings Per Share - Anti-dilut
Earnings Per Share - Anti-dilutive Excluded from Diluted Earnings Per Share (Details) - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |||
Weighted average anti-dilutive stock options (in shares) | 0 | 0 | 0 |
Weighted average exercise price per share (in usd per share) | $ 0 | $ 0 | $ 0 |
Stockholders' Equity (Details)
Stockholders' Equity (Details) - shares | 12 Months Ended | ||||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Feb. 16, 2024 | Jun. 30, 2023 | |
Number of shares authorized to be repurchased (in shares) | 2,000,000 | ||||
Repurchase of common stock authorized remaining (in shares) | 813,617 | ||||
Purchase of treasury stock (in shares) | 2,661,792 | 2,055,470 | 475,557 | ||
Subsequent Event | |||||
Repurchase of common stock authorized remaining (in shares) | 2,000,000 |
Encore Wire Corporation 401(k_2
Encore Wire Corporation 401(k) Profit Sharing Plan (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Retirement Benefits [Abstract] | |||
Matching contributions made | $ 4.3 | $ 3.7 | $ 3 |
Quarterly Financial Informati_3
Quarterly Financial Information (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2023 | Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Net sales | $ 633,779 | $ 636,991 | $ 636,460 | $ 660,492 | $ 693,885 | $ 762,363 | $ 838,235 | $ 723,072 | $ 2,567,722 | $ 3,017,555 | $ 2,592,721 |
Gross profit | 136,408 | 148,242 | 166,148 | 205,085 | 248,455 | 299,447 | 320,772 | 243,747 | 655,883 | 1,112,421 | 867,746 |
Net income | $ 66,123 | $ 82,052 | $ 104,741 | $ 119,483 | $ 153,998 | $ 191,773 | $ 210,538 | $ 161,531 | $ 372,399 | $ 717,841 | $ 541,422 |
Earnings per common share - basic (in usd per share) | $ 4.21 | $ 4.93 | $ 6.13 | $ 6.60 | $ 8.43 | $ 10.11 | $ 10.84 | $ 8.08 | $ 22.07 | $ 37.47 | $ 26.49 |
Earnings per common share - diluted (in usd per share) | $ 4.10 | $ 4.82 | $ 6.01 | $ 6.50 | $ 8.28 | $ 9.97 | $ 10.71 | $ 7.96 | $ 21.62 | $ 36.91 | $ 26.22 |