Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Feb. 29, 2020 | Apr. 16, 2020 | Aug. 31, 2019 | |
Document and Entity Information [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Feb. 29, 2020 | ||
Document Transition Report | false | ||
Entity File Number | 1-12777 | ||
Entity Registrant Name | AZZ Inc. | ||
Entity Incorporation, State or Country Code | TX | ||
Entity Tax Identification Number | 75-0948250 | ||
Entity Address, Address Line One | One Museum Place, Suite 500 | ||
Entity Address, Address Line Two | 3100 West 7th Street | ||
Entity Address, City or Town | Fort Worth | ||
Entity Address, State or Province | TX | ||
Entity Address, Postal Zip Code | 76107 | ||
City Area Code | 817 | ||
Local Phone Number | 810-0095 | ||
Title of 12(b) Security | Common Stock | ||
Trading Symbol | AZZ | ||
Security Exchange Name | NYSE | ||
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 | ||
Entity Shell Company | false | ||
Entity Public Float | $ 1,066,597,439 | ||
Entity Common Stock, Shares Outstanding | 26,147,964 | ||
Documents Incorporated by Reference [Text Block] | Portions of the registrant's Proxy Statement for its 2020 Annual Meeting of Shareholders to be filed with the Securities and Exchange Commission pursuant to Regulation 14A not later than 120 days after the end of the fiscal year covered by this Annual Report on Form 10-K are incorporated by reference into Part III, Items 10-14 of this Annual Report on Form 10-K. | ||
Entity Central Index Key | 0000008947 | ||
Current Fiscal Year End Date | --02-28 | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2020 | ||
Amendment Flag | false |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Income Statement [Abstract] | |||
Revenues | $ 1,061,817 | $ 927,087 | $ 810,430 |
Costs and Expenses | |||
Cost of Goods and Services Sold | 824,589 | 728,466 | 650,121 |
Gross profit | 237,228 | 198,621 | 160,309 |
Selling, General and Administrative | 139,253 | 121,665 | 112,061 |
Loss on disposal of business | (18,632) | 0 | 0 |
Operating Income (Loss) | 79,343 | 76,956 | 48,248 |
Interest Expense | 13,463 | 14,971 | 13,860 |
Other Expense (Income) - net | 990 | (1,020) | 3,489 |
Income before income taxes | 64,890 | 63,005 | 30,899 |
Income Tax Expense | 16,656 | 11,797 | (14,270) |
Net Income | $ 48,234 | $ 51,208 | $ 45,169 |
Earnings Per Common Share | |||
Basic Earnings Per Share (usd per share) | $ 1.84 | $ 1.97 | $ 1.74 |
Diluted Earnings Per Share (usd per share) | $ 1.84 | $ 1.96 | $ 1.73 |
Weighted average number common shares (shares) | 26,191,000 | 26,038,000 | 25,970,000 |
Weighted average number common shares and potentially dilutive common shares (shares) | 26,281,000 | 26,107,000 | 26,036,000 |
Common Stock, Dividends, Per Share, Declared | $ 0.68 | $ 0.68 | $ 0.68 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Net Income | $ 48,234 | $ 51,208 | $ 45,169 |
Other Comprehensive Income (Loss): | |||
Unrealized Translation Gains (Losses) | (2,093) | (3,478) | 3,928 |
Interest rate swap (net of tax of $29, $29 and $29) | (54) | (54) | (54) |
Other Comprehensive Income (Loss) | (2,147) | (3,532) | 3,874 |
Comprehensive Income | $ 46,087 | $ 47,676 | $ 49,043 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Statement of Comprehensive Income [Abstract] | |||
Interest rate swap, income tax | $ (29) | $ (29) | $ (29) |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) shares in Thousands, $ in Thousands | Feb. 29, 2020 | Feb. 28, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 36,687 | $ 24,005 |
Accounts receivable, net of allowance for doubtful accounts of $x,xxx and $2,267 at February 29, 2020 and February 28, 2019, respectively | 139,214 | 144,887 |
Inventories, net | 99,841 | 124,847 |
Contract with Customer, Asset, after Allowance for Credit Loss | 70,093 | 75,561 |
Prepaid expenses and other | 8,727 | 9,245 |
Total current assets | 354,562 | 378,545 |
Property, plant, and equipment, net | 213,104 | 210,227 |
Operating Lease, Right-of-Use Asset | 43,208 | 45,870 |
Goodwill | 356,225 | 323,756 |
Intangibles and other assets | 106,732 | 130,172 |
Total Assets | 1,073,831 | 1,088,570 |
Current Liabilities: | ||
Accounts payable | 61,987 | 53,047 |
Income tax payable | 2,876 | 632 |
Accrued salaries and wages | 38,882 | 30,395 |
Other accrued liabilities | 26,868 | 17,631 |
Customer advance payment | 255 | 481 |
Contract with Customer, Liability | 18,418 | 56,928 |
Operating Lease, Liability, Current | 6,327 | 5,657 |
Long-term debt due within one year | 125,000 | 0 |
Total Current Liabilities | 280,613 | 164,771 |
Long-term debt due after one year | 77,878 | 240,745 |
Deferred income tax liabilities | 37,926 | 36,623 |
Other Liabilities, Noncurrent | 4,934 | 1,513 |
Operating Lease, Liability, Noncurrent | 38,114 | 41,190 |
Total liabilities | $ 439,465 | $ 484,842 |
Common Stock, Shares, Issued | 26,148 | 26,115 |
Shareholders' Equity: | ||
Common Stock, $1.00 par value; 100,000 shares authorized; xx,xxx and 26,115 shares issued and outstanding at February 29, 2020 and February 28, 2019, respectively | $ 26,148 | $ 26,115 |
Capital in excess of par value | 66,703 | 58,695 |
Retained earnings | 572,414 | 547,670 |
Accumulated other comprehensive income (loss) | (30,899) | (28,752) |
Total Shareholders’ Equity | 634,366 | 603,728 |
Total Liabilities and Shareholders’ Equity | $ 1,073,831 | $ 1,088,570 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Feb. 29, 2020 | Feb. 28, 2019 |
Accounts Receivable, Allowance for Doubtful Accounts | $ 4,951 | $ 2,267 |
Common Stock, Par Value (usd per share) | $ 1 | $ 1 |
Common Stock, Shares Authorized (shares) | 100,000,000 | 100,000,000 |
Common Stock, Shares, Issued | 26,148,000 | 26,115,000 |
Common Stock, Shares, Outstanding | 26,148,000 | 26,115,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Cash Flows From Operating Activities: | |||
Net Income | $ 48,234 | $ 51,208 | $ 45,169 |
Adjustments To Reconcile Net Income To Net Cash Provided By Operating Activities: | |||
Depreciation, Amortization and Accretion, Net | 50,194 | 50,245 | 50,526 |
Deferred income taxes | (2,617) | 3,731 | (20,637) |
Loss on disposal of business | (18,632) | 0 | 0 |
Share-based compensation expense | 6,290 | 4,659 | 6,121 |
Amortization of deferred debt issuance costs | 538 | 541 | 595 |
Provision for doubtful accounts | 2,734 | 2,153 | 3,007 |
Gain (Loss) on Disposition of Assets | 9,157 | 810 | 10,834 |
Net loss on sale of property, plant & equipment and insurance proceeds | (71) | 9 | 765 |
Effects of changes in operating assets and liabilities, net of acquisitions: | |||
Accounts Receivable | (1,006) | (8,131) | 3,492 |
Inventories | 25,875 | (595) | (9,927) |
Prepaid expenses and other assets | (291) | (4,883) | (2,376) |
Net change in contract assets and liabilities | (47,040) | 3,091 | 984 |
Accounts payable | 10,594 | (171) | 1,540 |
Other accrued liabilities and income taxes payable | 23,536 | 8,809 | (13,283) |
Net cash provided by operating activities: | 144,759 | 111,476 | 76,810 |
Cash flows from investing activities: | |||
Proceeds from the sale or insurance settlement of property, plant, and equipment | 340 | 1,543 | 458 |
Proceeds from sale of subsidiary, net | 23,584 | 0 | 0 |
Payments to Acquire Businesses, Net of Cash Acquired | 60,628 | 8,000 | 44,785 |
Purchases of property, plant and equipment | (35,044) | (25,616) | (29,612) |
Net cash used in investing activities: | (71,748) | (32,073) | (73,939) |
Cash flows from financing activities: | |||
Proceeds from issuance of common stock | 3,113 | 3,765 | 3,317 |
Payments for taxes related to net share settlement of equity awards | (1,231) | (573) | (1,218) |
Payments on revolving loan | (466,500) | (310,000) | (256,500) |
Proceeds from Lines of Credit | 428,500 | 264,000 | 349,000 |
Proceeds from long-term debt | 0 | (14,286) | (63,504) |
Cash dividends paid | (17,822) | (17,718) | (17,678) |
Net cash provided by (used in) financing activities | (59,739) | (74,812) | 5,899 |
Payments for Repurchase of Common Stock | 5,799 | 0 | 7,518 |
Effect of exchange rate changes on cash | (590) | (1,439) | 781 |
Net increase (decrease) in cash and cash equivalents | 12,682 | 3,152 | 9,551 |
Cash and cash equivalents at beginning of year | 24,005 | 20,853 | 11,302 |
Cash and cash equivalents at end of year | 36,687 | 24,005 | 20,853 |
Cash paid during the year for: | |||
Interest | 13,023 | 14,880 | 13,593 |
Income taxes | $ 18,802 | $ 3,291 | $ 8,701 |
Consolidated Statement of Share
Consolidated Statement of Shareholders' Equity - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] |
Balance, beginning balance (shares) at Feb. 28, 2017 | 25,964 | ||||
Balance, beginning balance at Feb. 28, 2017 | $ 533,136 | $ 25,964 | $ 42,922 | $ 493,344 | $ (29,094) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Stock compensation (shares) | 0 | ||||
Share-based compensation | 6,121 | $ 0 | 6,121 | ||
Stock Issued During Period, Shares, Restricted Stock Award, Gross | 65 | ||||
Restricted Stock Units | (1,218) | $ 65 | (1,283) | ||
Employee Stock Purchase Plan (shares) | 77 | ||||
Employee Stock Purchase Plan | 3,317 | $ 77 | 3,240 | ||
Retirement of treasury shares (in shares) | (147) | ||||
Retirement of treasury shares | (7,518) | $ (147) | (7,371) | 0 | |
Cash dividend paid | (17,678) | (17,678) | |||
Net income | 45,169 | 45,169 | |||
Foreign currency translation | 3,928 | 3,928 | |||
Interest rate swap, net of $29,205 of income tax | (54) | (54) | |||
Balance, ending balance (shares) at Feb. 28, 2018 | 25,959 | ||||
Balance, ending balance at Feb. 28, 2018 | 565,203 | $ 25,959 | 51,000 | 513,464 | (25,220) |
Cumulative Effect on Retained Earnings, Net of Tax | 716 | 716 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Stock compensation (shares) | 0 | ||||
Share-based compensation | 4,659 | $ 0 | 4,659 | ||
Stock Issued During Period, Shares, Restricted Stock Award, Gross | 55 | ||||
Restricted Stock Units | (573) | $ 55 | (628) | ||
Employee Stock Purchase Plan (shares) | 101 | ||||
Employee Stock Purchase Plan | 3,765 | $ 101 | 3,664 | ||
Cash dividend paid | (17,718) | (17,718) | |||
Net income | 51,208 | 51,208 | 0 | ||
Foreign currency translation | (3,478) | (3,478) | |||
Interest rate swap, net of $29,205 of income tax | (54) | (54) | |||
Balance, ending balance (shares) at Feb. 28, 2019 | 26,115 | ||||
Balance, ending balance at Feb. 28, 2019 | 603,728 | $ 26,115 | 58,695 | 547,670 | (28,752) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Stock compensation (shares) | 0 | ||||
Share-based compensation | 6,290 | $ 0 | 6,290 | ||
Stock Issued During Period, Shares, Restricted Stock Award, Gross | 74 | ||||
Restricted Stock Units | (1,231) | $ 74 | (1,305) | ||
Employee Stock Purchase Plan (shares) | 90 | ||||
Employee Stock Purchase Plan | 3,113 | $ 90 | 3,023 | ||
Retirement of treasury shares (in shares) | 131 | ||||
Retirement of treasury shares | 5,799 | $ 131 | 5,668 | ||
Cash dividend paid | (17,822) | (17,822) | |||
Net income | 48,234 | 48,234 | |||
Foreign currency translation | (2,093) | (2,093) | |||
Interest rate swap, net of $29,205 of income tax | (54) | (54) | |||
Balance, ending balance (shares) at Feb. 29, 2020 | 26,148 | ||||
Balance, ending balance at Feb. 29, 2020 | $ 634,366 | $ 26,148 | $ 66,703 | $ 572,414 | $ (30,899) |
Consolidated Statement of Sha_2
Consolidated Statement of Shareholders' Equity (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Statement of Stockholders' Equity [Abstract] | |||
Interest rate swap, income tax | $ (29) | $ (29) | $ (29) |
Summary of Significant Accounti
Summary of Significant Accounting Policies (Notes) | 12 Months Ended |
Feb. 29, 2020 | |
Accounting Policies [Abstract] | |
Summary of significant accounting policies | Note 1 – Summary of Significant Accounting Policies Organization AZZ Inc. (the “Company” “AZZ” or “We”) operates primarily in the United States of America and Canada and also has operations in China, Brazil, Poland and the Netherlands. Information about the Company's operations by segment is included in Note 12 to the consolidated financial statements. Basis of consolidation The consolidated financial statements were prepared in accordance with the accounting principles generally accepted in the United States of America and include the accounts of the Company and its wholly owned subsidiaries. All significant inter-company accounts and transactions have been eliminated in consolidation. Immaterial Error Corrections During the preparation of the consolidated financial statements for the year ended February 29, 2020, the Company identified two immaterial errors in its prior year consolidated financial statements and those financial statements have been revised to reflect the correction of such errors. In the consolidated statements of cash flows, payments for employee taxes related to net share settlement of equity awards and proceeds from the issuance of shares under the Company's Employee Stock Purchase Plan aggregating to $3.2 million and $2.1 million for the years ended February 28, 2019 and 2018, respectively, have been reclassified from operating activities to financing activities. In addition, the excess over par value related to repurchases of the Company's common stock were incorrectly reflected as a reduction of capital in excess of par value and should have been recorded as a reduction to retained earnings. The correction resulted in an increase to capital in excess of par value and a decrease in retained earnings of $12.6 million as of February 28. 2019 and 2018 and $5.2 million as of February 28, 2017, which has been corrected in the in the consolidated statement of shareholders’ equity and consolidated balance sheet for the applicable periods. Management evaluated the impact of such error corrections and concluded they were not material to any prior period. Use of estimates The preparation of the financial statements in conformity with generally accepted accounting principles in the United States of America ("GAAP") requires management to make estimates and assumptions that affect the amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Concentrations of credit risk Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of cash and cash equivalents and trade accounts receivable. The Company maintains cash and cash equivalents with various financial institutions. These financial institutions are located throughout the United States and Canada, as well as Europe, China and Brazil. The Company's policy is designed to limit exposure to any one institution. The Company performs periodic evaluations of the relative credit standing of those financial institutions that are considered in the Company's banking relationships and has not experienced any losses in such accounts. We believe we are not exposed to any significant credit risk related to cash and cash equivalents. Concentrations of credit risk with respect to trade accounts receivable are limited due to the Company’s diversity by virtue of its two operating segments, the number of customers, and the absence of a concentration of trade accounts receivable in a small number of customers. The Company performs continuous evaluations of its ability to collect trade accounts receivable and allowance for doubtful accounts based upon historical losses, economic conditions and customer specific events. After all collection efforts are exhausted and an account is deemed uncollectible, it is written off against the allowance for doubtful accounts. Recoveries, unless material, are recorded against amounts written off in a period. Collateral is usually not required from customers as a condition of sale. Revenue recognition The Company determines revenue recognition through the following steps: 1) Identification of the contract with a customer, 2) Identification of the performance obligations in the contract, 3) Determination of the transaction price, 4) Allocation of the transaction price to performance obligations in the contract, and 5) Recognition of revenue when, or as, the Company satisfies a performance obligation. Revenue is recognized when control of the promised goods or services is transferred to the Company’s customers, in an amount that reflects the consideration that it expects to be entitled to in exchange for those goods or services. The amount and timing of revenue recognition varies by segment based on the nature of the goods or services provided and the terms and conditions of the customer contract. Metal Coatings Segment AZZ’s Metal Coatings segment is a provider of hot dip galvanizing, powder coating, anodizing and plating, and other metal coating applications to the steel fabrication and other industries. Within this segment, the contract is typically governed by a customer purchase order or work order. The contract generally specifies the delivery of what constitutes a single performance obligation consisting of metal coating services. The Company combines contracts for revenue recognition purposes that are executed with the same customer within a short timeframe from each other and that purport to be for a single commercial objective. The Company recognizes revenue over time as the metal coating is applied to customer provided material as the process enhances a customer controlled asset. Contract modifications are rare within this segment and most contracts are on a fixed price basis with no variable consideration. Energy Segment AZZ's Energy segment is a provider of specialized products and services designed to support industrial, electrical and nuclear applications. Within this segment, the contract is governed by a customer purchase order and an executed product or services agreement. The contract generally specifies the delivery of what constitutes a single performance obligation consisting of either custom built products, custom services, or off-the-shelf products. When the Company does enter into an arrangement with multiple performance obligations, the transaction price is allocated to each performance obligation based on the relative standalone selling prices of the goods or services being provided to the customer and revenue is recognized upon the satisfaction of each performance obligation. The Company combines contracts for revenue recognition purposes that are executed with the same customer within a short timeframe from each other and that purport to be for a single commercial objective. For custom built products, the Company recognizes revenues over time provided that the goods do not have an alternative use to the Company and the Company has an unconditional right to payment for work completed to date plus a reasonable margin. For custom services, which consist of specialized welding and other professional services, the Company recognizes revenues over time as the services are rendered due to the fact that the services enhance a customer owned asset. For off-the-shelf products, which consist of tubing and lighting products, the Company recognizes revenue at a point-in-time upon the transfer of the goods to the customer. For revenues recognized over time, the Company generally uses the cost-to-cost method of revenue recognition. Under this approach, the extent of progress towards completion is measured based on the ratio of costs incurred to date versus the total estimated costs upon completion of the project. This requires the Company to estimate the total contract revenues, project costs and margin, which can involve significant management judgment. As a significant change in one or more of these estimates could affect the profitability of the Company’s contracts, management reviews and updates its contract related estimates regularly. The Company recognizes adjustments in estimated margin on contracts under a cumulative catch-up basis and subsequent revenues are recognized using the adjusted estimate. If the estimate of contract margin indicates an anticipated loss on the contract, the Company recognizes the total estimated loss in the period it is identified. Due to the custom nature of the goods and services provided, contracts within the Energy segment are often modified to account for changes in contract specifications and requirements. A contract modification exists when the modification either creates new, or changes the existing, enforceable rights and obligations in the contract. For the Company, most contract modifications are related to goods or services that are not distinct from those in the original contract due to the significant interrelationship or interdependencies between the deliverables. Such modifications are accounted for as if they were part of the original contract. As a result, the transaction price and the measure of progress for the performance obligation to which it relates, is recognized as an adjustment to revenue on a cumulative catch-up basis. In addition to fixed consideration, the Company’s contracts within its Energy segment can include variable consideration, including claims, incentive fees, liquidated damages or other penalties. The Company recognizes revenue for variable consideration when it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur. The Company estimates the amount of revenue to be recognized on variable consideration using the expected value or the most likely amount method, whichever is expected to better predict the amount. Contract Assets and Liabilities The timing of revenue recognition, billings and cash collections results in accounts receivable, contract assets (unbilled receivables), and contract liabilities (customer advances and deposits) on the consolidated balance sheets, primarily related to the Company’s Energy segment. Amounts are billed as work progresses in accordance with agreed upon contractual terms, either at periodic intervals (e.g., weekly or monthly) or upon achievement of contractual milestones. Billing can occur subsequent to revenue recognition, resulting in contract assets. In addition, the Company can receive advances or deposits from its customers, before revenue is recognized, resulting in contract liabilities. These assets and liabilities are reported on the consolidated balance sheets on a contract-by-contract basis at the end of each reporting period. The following table shows the changes in contract liabilities for fiscal year 2020 and 2019 (in thousands): 2020 2019 Balance at beginning of period $ 56,928 $ 22,698 Contract liabilities added during the period 14,292 54,331 Revenue recognized during the period (52,802 ) (20,101 ) Balance at end of period $ 18,418 $ 56,928 The Company expects to recognize revenues of approximately $14.9 million , $1.7 million , and $1.8 million in fiscal 2021, 2022 and 2023, respectively, related to the $18.4 million balance of contract liabilities as of February 29, 2020. The increases or decreases in accounts receivable, contract assets and contract liabilities during fiscal year 2020 were due primarily to normal timing differences between the Company’s performance and customer payments. The acquisitions for fiscal year 2020 described in Note 15 had no impact on contract assets or liabilities as of the date of acquisition. Other No general rights of return exist for customers and the Company establishes provisions for estimated warranties. The Company generally does not sell extended warranties. Revenue is recognized net of applicable sales and other taxes. The Company does not adjust the contract price for the effects of a significant financing component if the Company expects, at contract inception, that the period between when the Company transfers a good or service to a customer and when the customer pays for that good or service will be one year or less, which is generally the case. Sales commissions are deferred and recognized over the same period as the related revenues. Shipping and handling is treated as a fulfillment obligation instead of a separate performance obligation and such costs are expensed as incurred. Disaggregated Revenue Revenue by segment and geography is disclosed in Note 12. In addition, the following table presents disaggregated revenue by customer industry (in thousands): 2020 2019 2018 Net sales: Industrial - oil and gas, construction, and general $ 605,236 $ 526,465 $ 461,945 Transmission and distribution 254,836 212,433 194,503 Power generation 201,745 188,189 153,982 Total net sales $ 1,061,817 $ 927,087 $ 810,430 Cash and cash equivalents The Company considers cash and cash equivalents to include cash on hand, deposits with banks and all highly liquid investments with an original maturity of three months or less. Inventories Inventory is stated at the lower of cost or net realizable value. Cost is determined principally using a weighted-average method for the Energy segment and the first-in-first-out (FIFO) method for the Metal Coatings segment. The Company periodically evaluates inventories for excess quantities and obsolescence based on forecasted demand within specific time horizons, technological obsolescence, and an assessment of any inventory that is not in sellable condition, and establishes reserves for obsolescence until inventories are formally disposed of, then the Company writes-down disposed inventories. Property, plant and equipment Property and equipment are stated at cost less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the related assets as follows: Buildings and structures 10-25 years Machinery and equipment 3-15 years Furniture and fixtures 3-15 years Automotive equipment 3 years Computers and software 3-7 years Repairs and maintenance are charged to expense as incurred; renewals and betterments that significantly extend the useful life of the asset are capitalized. Amortizable Intangible and Long-lived assets Purchased intangible assets on the consolidated balance sheets are comprised of customer relationships, backlogs, engineering drawings and non-compete agreements. Such intangible assets (excluding indefinite-lived intangible assets) are amortized on a straight-line basis over the estimated useful lives of the assets ranging from two to nineteen years. The Company records impairment losses on long-lived assets, including identifiable intangible assets, when events and circumstances indicate that the assets might be impaired and the undiscounted projected cash flows associated with those assets are less than their carrying amount. In those situations, impairment loss on a long-lived asset is measured based on the excess of the carrying amount of the asset over the asset’s fair value, which is determined using Level 3 fair value inputs. For fiscal year 2020 , 2019 and 2018 the Company recorded impairment losses of $9.2 million , $0.8 million and $10.8 million respectively, related to the impairment of certain property, plant and equipment and other intangible assets. See note 5 for more information about the impairment charges. Goodwill and Other Indefinite-Lived Intangible Assets Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired in a business combination. Goodwill is not subject to amortization but is subject to an annual impairment test during December of each fiscal year, or earlier if indicators of potential impairment exist. Goodwill is tested for impairment at the reporting unit level. A reporting unit is an operating segment or a component of an operating segment. The test is calculated using an income approach and market approach, which are Level 3 fair value inputs. Based on the results of its analysis, the Company determines whether an impairment may exist. A significant change in projected cash flows or cost of capital for future years could result in an impairment of goodwill in future years. Variables impacting future cash flows include, but are not limited to, the level of customer demand for and response to products and services we offer to the power generation market, the electrical transmission and distribution markets, the general industrial market and the hot dip galvanizing market; changes in economic conditions of these various markets; raw material and natural gas costs and availability of experienced labor and management to implement our growth strategies. For fiscal years 2020, 2019 and 2018 no goodwill impairment loss was recorded. See note 8 for information about the goodwill write-off related to the divestiture of the nuclear logistics business. Other indefinite-lived intangible assets consist of certain tradenames acquired as part prior acquisitions. The Company tests the carrying value of these tradenames during December of each fiscal year, or more frequently when an event occurs or circumstances change that indicates the carrying value may not be recoverable by comparing the asset's fair value to its carrying value. Fair value, using Level 3 inputs, is measured using a relief-from-royalty approach, which assumes the fair value of the tradename is the discounted cash flows of the amount that would be paid had the Company not owned the tradename and instead licensed the tradename from another company. For fiscal 2020, 2019 and 2018, no impairment losses related to these indefinite-lived intangible assets were recorded. Debt issuance costs Debt issue costs related to the revolver are deferred within other assets and are amortized using the effective interest rate method over the term of the debt. Debt issue costs related to debt other than the revolver are deferred within total debt due after one year and are amortized using the effective interest rate method over the term of the debt. Income taxes The Company accounts for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, deferred tax assets and liabilities are determined on the basis of the differences between the financial statement and tax bases of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. The Company recognizes a valuation allowance against net deferred tax assets to the extent that the Company believes these net assets are not more likely than not to be realized. In making such a determination, the Company considers all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. If the Company determines that it would be able to realize its deferred tax assets in the future in excess of their net recorded amount, the Company would make an adjustment to the deferred tax asset valuation allowance, which would reduce the provision for income taxes. As applicable, the Company records uncertain tax positions on the basis of a two-step process whereby (1) the Company determines whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position and (2) for those tax positions that meet the more-likely-than-not recognition threshold, the Company recognizes the largest amount of tax benefit that is more than 50 percent likely to be realized upon ultimate settlement with the related tax authority. The Company is subject to taxation in the U.S. and various state, provincial and local and foreign jurisdictions. With few exceptions, as of February 29, 2020 , the Company is no longer subject to U.S. federal or state examinations by tax authorities for years before fiscal 2017. Financial instruments Fair value is an exit price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. Hierarchy Levels 1, 2, or 3 are terms for the priority of inputs to valuation techniques used to measure fair value. Hierarchy Level 1 inputs are quoted prices in active markets for identical assets or liabilities. Hierarchy Level 2 inputs are inputs other than quoted prices included with Level 1 that are directly or indirectly observable for the asset or liability. Hierarchy Level 3 inputs are inputs that are not observable in the market. The carrying amount of the Company's financial instruments (cash equivalents, accounts receivable, accounts payable, accrued liabilities and debt), excluding the Senior Notes, approximates the fair value of these instruments based upon either their short-term nature or their variable market rate of interest. As of February 29, 2020 and February 28, 2019 the fair value of the outstanding Senior Notes, as described in Note 11, was approximately $125.3 million and $127.4 million , respectively. These fair values were determined using the discounted cash flow at the market rate as well as the applicable market interest rates classified as Level 2 inputs. Derivative financial instruments From time to time, the Company uses derivatives to manage interest rate risk. The Company’s policy is to use derivatives for risk management purposes only, which includes maintaining the ratio between the Company’s fixed and floating rate debt obligations that management deems appropriate, and prohibits entering into such contracts for trading purposes. The Company enters into derivatives only with counterparties (primarily financial institutions) which have substantial financial wherewithal to minimize credit risk. The amount of gains or losses from the use of derivative financial instruments has not been and is not expected to be material to the Company’s consolidated financial statements. As of February 29, 2020 , the Company had no derivative financial instruments. Warranty reserves Within other accrued liabilities, a reserve has been established to provide for the estimated future cost of warranties on a portion of the Company’s delivered products. Warranties cover such factors as non-conformance to specifications and defects in material and workmanship. A provision for warranty on products is made on the basis of the Company's historical experience and identified warranty issues. Warranties typically arise after the product has been accepted by the customer. Management periodically reviews the individual claims and related reserves, and adjustments are made according to the warranty work performed or with agreements reached with customers after fully addressing their claims. The following table shows the changes in the Company’s accrued warranties for fiscal year 2020 , 2019 and 2018 (in thousands): 2020 2019 2018 Balance at beginning of period $ 1,751 $ 2,013 $ 2,098 Warranty costs incurred (2,118 ) (2,195 ) (2,225 ) Additions charged to income 4,069 1,933 2,140 Balance at end of period $ 3,702 $ 1,751 $ 2,013 Foreign Currency Translation The local currency is the functional currency for the Company’s foreign operations. Related assets and liabilities are translated into United States dollars at exchange rates existing at the balance sheet date, and revenues and expenses are translated at weighted-average exchange rates. The foreign currency translation adjustment is recorded as a separate component of shareholders’ equity and is included in accumulated other comprehensive income (loss). Accumulated Other Comprehensive Loss The components of accumulated other comprehensive loss consisted of the following as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 Foreign currency translation adjustments $ (30,949 ) $ (28,856 ) Interest rate swap 50 104 Accumulated other comprehensive loss $ (30,899 ) $ (28,752 ) Accruals for Contingent Liabilities The Company is subject to the possibility of various loss contingencies arising in the normal course of business. The amounts the Company may record for estimated claims, such as self-insurance programs, warranty, environmental and other contingent liabilities, requires the Company to make judgments regarding the amount of expenses that will ultimately be incurred. The Company uses past history and experience and other specific circumstances surrounding these claims in evaluating the amount of liability that should be recorded. Due to the inherent limitations in estimating future events, actual amounts paid or transferred may differ from those estimates. Leases The Company is a lessee under various operating leases for facilities and equipment. For such leases, the Company recognizes a right-of-use ("ROU") asset and lease liability on the consolidated balance sheet as of the lease commencement date based on the present value of the future minimum lease payments. An ROU asset represents the Company's right to use an underlying asset during the lease term and a lease liability represents the Company's obligation to make lease payments. However, for short-term leases with an initial term of twelve months or less that do not contain an option to purchase that is likely to be exercised, the Company does not record ROU assets or lease liabilities on the consolidated balance sheet. The Company's uses its incremental borrowing rate to determine the present value of future payments unless the implicit rate in the lease is readily determinable. In determining the future minimum lease payments, the Company incorporates options to extend or terminate the lease when it is reasonably certain that such options will be exercised. The ROU asset includes any initial direct costs incurred and is recorded net of any lease incentives received. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term as the ROU asset is amortized and the lease liability is accreted. For facilities leases, the Company accounts for lease and non-lease components on a combined basis, while for equipment leases, the lease and non-lease components are accounted for separately. Some of the Company's lease agreements may include rental payments that adjust periodically for inflation or are based on an index rate which are included as variable lease payments. The Company's lease agreements do not contain any material residual value guarantees or material restrictive covenants. Recently Issued Accounting Pronouncements Not Yet Adopted In June 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instrument s (“ASU 2016-13”), which modifies the measurement of expected credit losses of certain financial instruments, including the Company's accounts receivable and contract assets. The Company will adopt ASU 2016-13 in the first quarter of its fiscal 2021 utilizing the modified retrospective transition method. Based on the composition of the Company’s accounts receivable and contract assets, current market conditions, and historical credit loss activity, the adoption of ASU 2016-13 is not expected to have a material impact on its consolidated financial statements. In August 2018, the FASB issued ASU No. 2018-15, Intangibles—Goodwill and Other— Internal-Use Software (Subtopic 350-40) - Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract ("ASU 2018-15"), which aligns the accounting for implementation costs incurred in a hosting arrangement that is a service contract with the accounting for implementation costs incurred to develop or obtain internal-use software, in order to determine the applicable costs to capitalize and the applicable costs to expense as incurred. The Company will adopt ASU 2018-15 in the first quarter of its fiscal 2021. The standard can be applied either prospectively to implementation costs incurred after the date of adoption or retrospectively to all arrangements. The Company intends to adopt ASU 2018-15 using the prospective approach and the adoption is not expected to have a material impact on its consolidated financial statements. In December 2019, the FASB issued Accounting Standard Update No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes ("ASU 2019-12"), which simplifies the accounting for income taxes. The Company will adopt ASU 2019-12 in the first quarter of its fiscal year 2022 on a prospective basis and early adoption is permitted. The Company is currently evaluating the impact of the new guidance on its consolidated financial statements . |
Inventories (Notes)
Inventories (Notes) | 12 Months Ended |
Feb. 29, 2020 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories, net consisted of the following as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 Raw materials $ 88,837 $ 94,410 Work-in-process 5,543 19,067 Finished goods 5,461 11,370 $ 99,841 $ 124,847 |
Property, Plant and Equipment (
Property, Plant and Equipment (Notes) | 12 Months Ended |
Feb. 29, 2020 | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment Disclosure [Text Block] | Property, Plant and Equipment Property, plant and equipment consisted of the following as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 Land $ 21,826 $ 21,677 Building and structures 162,851 156,447 Machinery and equipment 252,726 245,588 Furniture, fixtures, software and computers 28,938 27,075 Automotive equipment 4,394 3,766 Construction in progress 16,466 13,065 487,201 467,618 Less accumulated depreciation (274,097 ) (257,391 ) Net property, plant, and equipment $ 213,104 $ 210,227 Depreciation expense was $33.1 million , $33.2 million , and $33.4 million for fiscal 2020 , 2019 , and 2018 |
Other Accrued Liabilities (Note
Other Accrued Liabilities (Notes) | 12 Months Ended |
Feb. 29, 2020 | |
Other Liabilities Disclosure [Abstract] | |
Other accrued liabilities | Other Accrued Liabilities Other accrued liabilities consisted of the following as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 Accrued interest $ 1,042 $ 1,196 Accrued warranty 3,702 1,751 Commissions 4,180 3,370 Personnel expenses 8,646 6,282 Group medical insurance 3,083 2,024 Sales and other taxes payable 3,098 1,301 Other 3,117 1,707 Total $ 26,868 $ 17,631 |
Restructuring and Other Related
Restructuring and Other Related Costs (Notes) | 12 Months Ended |
Feb. 29, 2020 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Related Activities Disclosure [Text Block] | Restructuring and Impairment Charges During fiscal year 2020, in conjunction with the divestiture of its nuclear logistics business, the Company decided to exit from the nuclear certified portion of its industrial welding solutions business within the Energy segment. The remaining industrial welding solutions business will continue. As a result of the exit, the Company incurred impairment charges of $9.2 million related to certain intangible assets and nuclear specific property, plant and equipment that are no longer being utilized. $2.0 million of the charge was recognized within costs of sales and the remaining $7.2 million was recognized within selling, general and administrative in the consolidated statement of income. During fiscal year 2019, as part of the Company's ongoing efforts to eliminate redundancies in its Metal Coatings segment, the Company consolidated two galvanizing facilities located in the Gulf Coast region of the United States. As a result of the consolidation, the Company recognized restructuring and other related costs of $1.3 million in fiscal 2019, comprised of $0.8 million for fixed asset impairments and $0.5 million for employee severance and other disposal costs. All costs were recognized within cost of sales in the consolidated statement of income. During fiscal year 2018, the Company recognized an impairment charge of $10.8 million within its Energy segment related to certain highly specialized welding equipment that was no longer being utilized due to lack of customer adoption of the advanced technology. All costs were classified within cost of sales. As of February 29, 2020 and February 28, 2019 , the Company had no restructuring liabilities outstanding. |
Employee Benefit Plans (Notes)
Employee Benefit Plans (Notes) | 12 Months Ended |
Feb. 29, 2020 | |
Postemployment Benefits [Abstract] | |
Employee benefit plans | Employee Benefit Plans 401(k) Retirement Plan The Company has a 401(k) retirement plan covering substantially all of its employees. Company contributions to the 401(k) retirement plan were $5.4 million, $5.0 million, and $4.8 million for fiscal 2020 , 2019 , and 2018 , respectively. Multiemployer Pension Plans In addition to the Company's 401(k) retirement plan, the Company participates in a number of multiemployer defined benefit pension plans for employees who are covered by collective bargaining agreements. The Company is not aware of any significant future obligations or funding requirements related to these plans other than the ongoing contributions that are paid as hours are worked by plan participants. However, the risks of participating in multiemployer pension plans are different from those in single-employer plans in that (i) assets contributed to the plan by one employer may be used to provide benefits to employees or former employees of other participating employers; (ii) if a participating employer stops contributing to the plan, the unfunded obligations of the plan may be required to be assumed by the remaining participating employers and (iii) if the Company chooses to stop participating in a multiemployer pension plan, it may be required to pay the plan a withdrawal amount based on the underfunded status of the plan. The following table outlines the Company's participation in multiemployer pension plans considered to be individually significant (dollar amounts in thousands): EIN/Pension Plan Number Pension Protection Act Reported Status (1) FIP/RP Status (2) Company Contributions (3) Surcharge Imposed (4) Expiration Date of Collective Bargaining Agreements Fiscal Year Pension Fund 2020 2019 2020 2019 2018 Boilermaker-Blacksmith National Pension Trust EIN:48-6168020 Critical Endangered Implemented $ 5,337 $ 5,651 $ 4,070 Yes Various through 12/31/2020 Contributions to other multiemployer pension plans 366 627 470 Total contributions $ 5,703 $ 6,278 $ 4,540 (1) The most recent Pension Protection Act zone status available for fiscal 2020 and 2019 is for the plan’s year-end as of December 31, 2019 and 2018, respectively. The zone status is based on information that the Company received from the plan and is certified by the plan’s actuary. A plan is generally classified in critical status if a funding deficiency is projected within four years or five years, depending on other criteria. A plan in critical status is classified in critical and declining status if it is projected to become insolvent in the next 15 or 20 years, depending on other criteria. A plan is classified in endangered status if its funded percentage is less than 80% or a funding deficiency is projected within seven years. If the plan satisfies both of these triggers, it is classified in seriously endangered status. A plan not classified in any other status is classified in the green zone. As of the date the financial statements were issued, Form 5500, which is filed by employee benefit plans to satisfy annual reporting requirements under the Employee Retirement Income Security Act and under the Internal Revenue Code, was not available for the plan year ended in 2019. (2) The “FIP/RP Status” column indicates plans for which a Funding Improvement Plan (“FIP”) or a Rehabilitation Plan (“RP”) has been implemented. (3) For the multiemployer pension plan considered to be individually significant, the Company was not listed in the Form 5500 as providing more than 5% of the total contributions for plan years ending December 31, 2018 and 2017. (4) A multiemployer pension plan that has been certified as endangered, seriously endangered or critical may begin to levy a statutory surcharge on contribution rates. Once authorized, the surcharge is at the rate of 5% for the first 12 months and 10% for any periods thereafter. Contributing employers, however, may eliminate the surcharge by entering into a collective bargaining agreement that meets the requirements of the applicable FIP or RP. |
Income Taxes (Notes)
Income Taxes (Notes) | 12 Months Ended |
Feb. 29, 2020 | |
Income Tax Disclosure [Abstract] | |
Income taxes | Income Taxes The provision for income taxes for fiscal year 2020 , 2019 and 2018 consisted of the following (in thousands): 2020 2019 2018 Income before income taxes: Domestic $ 44,406 $ 48,261 $ 24,282 Foreign 20,484 14,744 6,617 Income before income taxes $ 64,890 $ 63,005 $ 30,899 Current provision: Federal $ 12,563 $ 4,251 $ 3,445 Foreign 5,259 2,829 1,958 State and local 1,451 986 964 Total current provision for income taxes $ 19,273 $ 8,066 $ 6,367 Deferred provision (benefit): Federal $ (1,452 ) $ 2,970 $ (20,220 ) Foreign (21 ) 539 100 State and local (1,144 ) 222 (517 ) Total deferred provision for (benefit from) income taxes $ (2,617 ) $ 3,731 $ (20,637 ) Total provision for (benefit from) income taxes $ 16,656 $ 11,797 $ (14,270 ) In general, it is the Company's practice and intention to reinvest the earnings of its non-U.S. subsidiaries in those operations. Generally, such amounts become subject to foreign withholding tax upon the remittance of dividends and under certain other circumstances. The expense recognized in fiscal year 2018 related to the one-time tax on the mandatory deemed repatriation of foreign earnings was $1.4 million of which the Company has elected to pay the one-time tax evenly over a period of eight years with six years remaining. We continue to reinvest cash in foreign jurisdictions and have not recorded the effects of any applicable foreign withholding tax. A reconciliation from the federal statutory income tax rate to the effective income tax rate is as follows for the prior three fiscal years: 2020 2019 2018 Statutory federal income tax rate 21.0 % 21.0 % 32.7 % Permanent differences 0.1 0.5 1.6 State income taxes, net of federal income tax benefit — 0.4 0.4 Benefit of Section 199 of the Code, manufacturing deduction — — (2.2 ) Valuation allowance — (0.7 ) — Stock compensation — 0.5 (0.5 ) Tax credits 2.0 (4.1 ) (7.7 ) Foreign tax rate differential 1.4 1.1 (0.4 ) Deferred tax remeasurements — — (78.9 ) Uncertain tax positions 1.4 — — Transition tax — — 8.6 Other (0.2 ) — 0.2 Effective income tax rate 25.7 % 18.7 % (46.2 )% Deferred federal and state income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial accounting purposes and the amounts used for income tax purposes. Significant components of the Company’s net deferred income tax liability are as follows as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 Deferred income tax assets: Employee related items $ 3,194 $ 4,177 Inventories 823 758 Accrued warranty 548 369 Accounts receivable 1,379 (2,092 ) Lease liabilities 10,601 — Net operating loss carry forward 5,845 7,173 22,390 10,385 Less: valuation allowance (725 ) (3,015 ) Total deferred income tax assets 21,665 7,370 Deferred income tax liabilities: Depreciation methods and property basis differences (21,447 ) (19,066 ) Right-of-use lease assets (10,299 ) — Other assets and tax-deductible goodwill (27,845 ) (24,927 ) Total deferred income tax liabilities (59,591 ) (43,993 ) Net deferred income tax liabilities $ (37,926 ) $ (36,623 ) The following table summarizes the Net operating loss (NOL) carry-forward balances as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 Federal $ — $ — State $ 5,120 $ 6,352 Foreign $ 725 $ 821 As of February 29, 2020 , the Company had pretax state NOL carry-forwards of $113.1 million which, if unused, will begin to expire in 2026. As of fiscal year end 2020 and 2019 , a portion of the Company's deferred tax assets were the result of state and foreign jurisdiction NOL carry-forwards. The Company believes that it is more likely than not that the benefit from certain foreign NOL carry forwards will not be realized. In recognition of this risk, the Company has provided a valuation allowance of $0.7 million and $3.0 million as of fiscal year end 2020 and 2019 , respectively. The calculation of the Company's tax liabilities involves dealing with uncertainties in the application of complex tax laws and regulations in a multitude of jurisdictions across the Company's global operations. Generally accepted accounting principles in the United States of America ("GAAP") states that a tax benefit from an uncertain tax position may be recognized when it is more likely than not that the position will be sustained upon examination, including resolutions of any related appeals or litigation processes, on the basis of the technical merits. The Company may (1) record unrecognized tax benefits as liabilities in accordance with GAAP and (2) adjust these liabilities when the Company's judgment changes as a result of the evaluation of new information not previously available. Because of the complexity of some of these uncertainties, the ultimate resolution may result in a payment that is materially different from the Company's current estimate of the unrecognized tax benefit liabilities. These differences will be reflected as increases or decreases to income tax expense in the period in which new information is available A reconciliation of the beginning and ending balance of total unrecognized tax benefits for the year ended February 29, 2020 is as follows (in thousands): 2020 Balance at beginning of period $ — Increase for tax positions related to prior periods: Gross increases 2,531 Balance at end of period $ 2,531 After a review of its deferred tax balances during fiscal 2020, the Company recorded unrecognized tax benefits of $2.5 million within other long-term liabilities related to the amortization of goodwill and certain book reserve balances incorrectly deducted in prior years. The amortization relates to the Company deducting more expense than permitted for tax purposes. The Company recognizes accrued interest and penalties related to unrecognized tax benefits in income tax expense. Accrued interested and penalties included in the long-term liabilities related to penalties and interest for prior periods was $0.9 million as of February 29, 2020 . Certain prior year tax returns are currently being examined by taxing authorities in the United States. The Company believes that it has provided adequate reserves for its income tax uncertainties in all open tax years. As the outcome of the tax audits cannot be predicted with certainty, if any issues addressed in the Company's tax audits are resolved in a manner inconsistent with management's expectations, the Company could adjust its provision for income taxes in the future. The Company has operations and taxable presence in multiple jurisdictions in the U.S. and outside of the U.S. in Canada, the Netherlands, China, Poland and Brazil. The tax positions of the Company and its subsidiaries are subject to income tax audits by multiple tax jurisdictions around the world. The Company currently considers U.S. federal and state and Canada, to be significant tax jurisdictions. The Company’s U.S. federal and state tax returns since February 28, 2017 remain open to examination. With some exceptions, tax years prior to fiscal 2017 in jurisdictions outside of U.S. are generally closed. The statute of limitations for fiscal year end 2017 will expire in December 2020. The Company anticipates it is reasonably possible that a decrease of unrecognized tax benefits up to approximately $0.4 million may occur in the next 12 months, as the applicable statutes of limitations lapse. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Notes) | 12 Months Ended |
Feb. 29, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and intangible assets | Goodwill and Intangible Assets Goodwill and indefinite-lived intangible assets are not amortized but are subject to annual impairment tests. Other intangible assets are amortized over their estimated useful lives. Changes in goodwill by segment for fiscal year 2020 and 2019 were as follows (in thousands): 2020 Segment Opening Balance Acquisitions Divestiture Other Currency Translation Adjustment Closing Balance Metal Coatings $ 116,691 $ 39,419 $ — $ 1,413 $ (475 ) $ 157,048 Energy 207,065 — (7,888 ) — 199,177 Total $ 323,756 $ 39,419 $ (7,888 ) $ 1,413 $ (475 ) $ 356,225 2019 Segment Opening Balance Acquisitions Currency Translation Adjustment Closing Balance Metal Coatings $ 117,232 $ 73 $ (614 ) $ 116,691 Energy 204,075 2,990 — 207,065 Total $ 321,307 $ 3,063 $ (614 ) $ 323,756 The Company completed its annual goodwill impairment analysis in December 2019, and then subsequently in February 2020, and concluded that no indicators of impairment existed at any of its reporting units as of the testing date. In February 2020, the Company completed the sale of its nuclear logistics business reported within its Energy segment and recognized a loss on disposal of $18.6 million . As part of determining the loss on disposal, goodwill of $7.9 million was allocated to the disposal group on a relative fair value basis and was written-off upon the completion of the sale. The determination of the amount of goodwill to allocate to the disposal group as opposed to the ongoing operations required significant management judgment regarding future cash flows, discount rates and other market relevant data. See Note 15 for more information. Amortizable intangible assets consisted of the following as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 Customer related intangibles $ 177,090 $ 191,460 Non-compete agreements 8,659 8,546 Trademarks 1,469 4,569 Technology 2,554 7,400 Engineering drawings — 24,600 Backlog — 7,600 Gross intangible assets 189,772 244,175 Less accumulated amortization (91,298 ) (122,199 ) Total, net $ 98,474 $ 121,976 The Company recorded amortization expense of $17.1 million, $17.0 million and $17.1 million for fiscal 2020 , 2019 and 2018 , respectively, related to the amortizable intangible assets listed above. In addition, for fiscal 2020, intangibles with a carrying value of approximately $14.6 million were written-off as part of the sale of the nuclear logistics business and intangibles with a carrying value of approximately $7.2 million were impaired as part of the exit from the nuclear certified portion of the industrial welding solutions business. See Note 5 for more information. In addition to its amortizable intangible assets, the Company has recorded indefinite-lived intangible assets of $3.4 million on the consolidated balance sheets as of February 29, 2020 and February 28, 2019 , related to certain tradenames acquired as part of prior business acquisitions. These indefinite-lived intangible assets are not amortized, but are assessed for impairment annually or whenever an impairment may be indicated. During fiscal 2020 and 2019, the Company performed an annual review of its indefinite-lived intangibles and no impairment was indicated. The following summarizes the estimated amortization expense for the next five fiscal years and beyond (in thousands): 2021 $ 12,497 2022 12,462 2023 12,086 2024 10,151 2025 9,307 Thereafter 41,971 Total $ 98,474 |
Earnings Per Share (Notes)
Earnings Per Share (Notes) | 12 Months Ended |
Feb. 29, 2020 | |
Earnings Per Share [Abstract] | |
Earnings per share | Earnings Per Share Basic earnings per share is based on the weighted average number of shares outstanding during each year. Diluted earnings per share were similarly computed but have been adjusted for the dilutive effect of the weighted average number of restricted stock units, performance share units and stock appreciation rights outstanding. The following table sets forth the computation of basic and diluted earnings per share for fiscal year 2020 , 2019 and 2018 (in thousands, except per share data): 2020 2019 2018 Numerator: Net income for basic and diluted earnings per common share $ 48,234 $ 51,208 $ 45,169 Denominator: Denominator for basic earnings per common share–weighted average shares 26,191 26,038 25,970 Effect of dilutive securities: Employee and director stock awards 90 69 66 Denominator for diluted earnings per common share 26,281 26,107 26,036 Earnings per share basic and diluted: Basic earnings per common share $ 1.84 $ 1.97 $ 1.74 Diluted earnings per common share $ 1.84 $ 1.96 $ 1.73 For both fiscal 2020 and 2019 , approximately 0.1 million employee equity awards were excluded from the computation of diluted earnings per share as their effect would have been anti-dilutive. For fiscal 2018 |
Stock Compensation (Notes)
Stock Compensation (Notes) | 12 Months Ended |
Feb. 29, 2020 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Stock compensation | Share-based Compensation The Company has two share-based compensation plans, the 2014 Long Term Incentive Plan (the "2014 Plan") and the Amended and Restated 2005 Long Term Incentive Plan (the “2005 Plan”). The 2014 Plan provides for broad-based equity grants to employees, including executive officers, and members of the board of directors and permits the granting of restricted shares, restricted stock units, performance awards, stock appreciation rights and other stock-based awards. The maximum number of shares that may be issued under the 2014 Plan is 1.5 million shares and, as of February 29, 2020 , the Company had approximately 1.3 million shares reserved for future issuance under this plan. The 2005 Plan permitted the granting of stock appreciation rights and other equity-based awards to certain employees. This plan was terminated upon the effective date of the 2014 Plan and no future grants may be made under the 2005 Plan. There were stock appreciation rights granted under the 2005 Plan prior to its termination that remain outstanding, and if exercised, such awards will be settled from the balance of shares available for issuance under the 2005 Plan. As of February 29, 2020 , there were 0.1 million shares available for issuance under the 2005 Plan. The 2005 Plan will be formally retired when all remaining outstanding stock appreciation rights are exercised, forfeited or expire. All outstanding stock appreciation rights will expire on or before March 1, 2021. Restricted Stock Unit Awards Restricted stock unit ("RSU") awards are valued at the market price of the Company's common stock on the grant date. Awards generally vest ratably over a period of three years but these awards may vest early in accordance with the Plan’s accelerated vesting provisions. RSU awards have dividend equivalent rights (“DERs”), which entitle holders of RSUs to the same dividend value per share as holders of common stock. DERs are subject to the same vesting and other terms and conditions as the corresponding unvested RSUs. DERs are accumulated and paid when the underlying shares vest. A summary of the Company's restricted stock unit award activity (including DERs) for the year ended February 29, 2020 is as follows: Restricted Weighted Outstanding at beginning of year 146,532 $ 48.93 Granted 140,070 43.86 Vested (84,595 ) 54.63 Forfeited (7,061 ) 45.30 Outstanding at end of year 194,946 $ 44.34 The total fair value of restricted stock units vested during fiscal years 2020 , 2019 , and 2018 was $3.8 million, $2.1 million and $3.0 million, respectively. For fiscal years 2020 , 2019 and 2018 , there were 194,946 , 146,532 and 109,777 , respectively, of non-vested restricted stock units outstanding with weighted average grant date fair values of $44.34 , $48.93 and $56.62 , respectively. Performance Share Unit Awards The Company grants performance share unit ("PSU") awards to certain employees, which also include DERs as described above. These PSU awards have a three year performance cycle and will vest and become issuable, if at all, on the third anniversary of the award date. The PSU awards are subject to the Company’s degree of achievement of a target annual average adjusted return on assets during these three year periods and, in certain circumstances, vesting is based on the relative performance of a predetermined group of peer companies. In addition, these PSU awards may have vesting conditions or certain vesting multipliers, which are based on the Company’s total shareholder return during such three years in comparison to a defined specific industry peer group. The Company estimates the fair value of PSU awards with performance and service conditions using the value of the Company's common stock on the date of grant. The Company estimates the fair value of PSU awards with market conditions using a Monte Carlo simulation model on the date of grant. A summary of the Company’s performance share unit award activity (including DERs) for the year ended February 29, 2020 is as follows: Performance Stock Units Weighted Average Grant Date Fair Value Outstanding at beginning of year 83,125 $ 50.62 Granted 49,000 46.19 Vested — — Forfeited (22,189 ) 55.08 Outstanding at end of year 109,936 $ 47.75 The PSU awards in the table above are presented at the face value of the respective grants. However, the number of PSU awards that may ultimately vest can vary in a range 0% to 250% of the face amount of such awards depending on the outcome of the performance or market vesting conditions. Stock Appreciation Rights Stock appreciation rights ("SARs") are granted with an exercise price equal to the market value of the Company's common stock on the date of grant. These awards generally have a contractual term of 7 years and vest ratably over a period of 3 years although some may vest immediately on issuance. These awards are valued using the Black-Scholes option pricing model. The Company did not grant any SARs in fiscal year 2020 , 2019 or 2018 . A summary of the Company’s stock appreciation rights activity is as follows for fiscal year 2020 , 2019 and 2018 : 2020 2019 2018 SARs Weighted Average Exercise Price SARs Weighted Average Exercise Price SARs Weighted Average Exercise Price Outstanding at beginning of year 98,184 $ 44.46 148,513 $ 43.29 170,139 $ 42.02 Exercised (2,965 ) 44.58 (47,484 ) 40.84 (19,481 ) 31.94 Forfeited (393 ) 43.92 (2,845 ) 43.92 (2,145 ) 45.36 Outstanding at end of year 94,826 $ 44.58 98,184 $ 44.46 148,513 $ 43.29 Exercisable at end of year 94,826 $ 44.58 98,184 $ 44.46 148,513 $ 43.29 As of February 29, 2020 , the average remaining contractual term for both outstanding and exercisable stock appreciation rights was 0.88 years and these awards had no intrinsic value. The following table summarizes additional information about stock appreciation rights outstanding at February 29, 2020 . Range of SARs Outstanding and Exercisable Average Weighted $39.65 - $44.15 48,061 1.00 $ 43.85 $44.72 - 46.34 46,765 0.73 $ 45.33 $39.65 - $46.34 94,826 0.88 $ 44.58 Directors Grants The Company granted each of its independent directors a total of 2,124 , 1,823 and 2,040 shares of its common stock during fiscal years 2020 , 2019 and 2018 , respectively. These common stock grants were valued at $47.08 , $54.85 and $49.00 per share for fiscal years 2020 , 2019 and 2018 , respectively, which was the market price of the Company's common stock on the respective grant dates. Employee Stock Purchase Plan The Company also has an employee stock purchase plan, which allows employees of the Company to purchase common stock of the Company through accumulated payroll deductions. Offerings under this plan have a duration of 24 months (the "offering period"). On the first day of an offering period (the “enrollment date”) the participant is granted the option to purchase shares on each exercise date at the lower of 85% of the market value of a share of our common stock on the enrollment date or the exercise date. The participant’s right to purchase common stock under the plan is restricted to no more than $25,000 per calendar year and the participant may not purchase more than 5,000 shares during any offering period. Participants may terminate their interest in a given offering or a given exercise period by withdrawing all of their accumulated payroll deductions at any time prior to the end of the offering period. Share-based Compensation Expense The following table shows share-based compensation expense and the related income tax benefit included in the consolidated statements of income for fiscal year 2020 , 2019 and 2018 (in thousands): 2020 2019 2018 Compensation expense $ 6,290 $ 4,659 $ 6,121 Income tax benefits $ 1,321 $ 978 $ 2,122 Unrecognized compensation cost related to all the above at February 29, 2020 totaled $9.6 million. These costs are expected to be recognized over a weighted period of 1.73 years. The actual tax benefit realized for tax deductions from share-based compensation during each of these fiscal years totaled $(0.1) million , $(0.3) million and $0.2 million , respectively. The Company’s policy is to issue shares required under these plans from the Company’s authorized but unissued shares. The Company has no formal or informal plan to repurchase shares on the open market to satisfy these requirements. |
Debt (Notes)
Debt (Notes) | 12 Months Ended |
Feb. 29, 2020 | |
Debt Disclosure [Abstract] | |
Long-term debt | Debt Following is a summary of debt as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 2017 Revolving Line of Credit $ 78,000 $ 116,000 2011 Senior Notes 125,000 125,000 Total debt 203,000 241,000 Unamortized debt issuance costs (122 ) (255 ) Total debt, net 202,878 240,745 Less amount due within one year (125,000 ) — Debt due after one year, net $ 77,878 $ 240,745 2017 Revolving Credit Facility On March 27, 2013, the Company entered into a credit agreement (the “Credit Agreement”) with Bank of America and other lenders. The Credit Agreement provided for a $75.0 million term facility and a $225.0 million revolving credit facility that included a $75.0 million “accordion” feature. The Credit Agreement is used to provide for working capital needs, capital improvements, dividends, future acquisitions, letter of credit needs and potential share repurchases. On March 21, 2017, the Company executed the Amended and Restated Credit Agreement (the “2017 Credit Agreement”) with Bank of America and other lenders. The 2017 Credit Agreement amended the Credit Agreement by the following: (i) extending the maturity date until March 21, 2022, (ii) providing for a senior revolving credit facility in a principal amount of up to $450 million , with an additional $150 million accordion, (iii) including a $75 million sublimit for the issuance of standby and commercial letters of credit, (iv) including a $30 million sublimit for swing line loans, (v) restricting indebtedness incurred in respect of capital leases, synthetic lease obligations and purchase money obligations not to exceed $20 million , (vi) restricting investments in any foreign subsidiaries not to exceed $50 million in the aggregate, and (vii) including various financial covenants and certain restricted payments relating to dividends and share repurchases as specifically set forth in the 2017 Credit Agreement. The balance due on the $75.0 million term facility under the previous Credit Agreement was paid in full as a result of the execution of the 2017 Credit Agreement. The financial covenants, as defined in the 2017 Credit Agreement, require the Company to maintain on a consolidated basis a Leverage Ratio not to exceed 3.25 :1.0 and an Interest Coverage Ratio of at least 3.00 :1.0. The 2017 Credit Agreement will be used to finance working capital needs, capital improvements, dividends, future acquisitions, letter of credit needs and share repurchases. Interest rates for borrowings under the 2017 Credit Agreement are based on either a Eurodollar Rate or a Base Rate plus a margin ranging from 0.875% to 1.875% depending on our Leverage Ratio (as defined in the 2017 Credit Agreement). The Eurodollar Rate is defined as LIBOR for a term equivalent to the borrowing term (or other similar interbank rates if LIBOR is unavailable). The Base Rate is defined as the highest of the applicable Fed Funds rate plus 0.50% , the Prime rate, or the Eurodollar Rate plus 1.0% at the time of borrowing. The 2017 Credit Agreement also carries a Commitment Fee for the unfunded portion ranging from 0 .175% to 0 .30% per annum, depending on our Leverage Ratio. The effective interest rate was 4.06% as of February 29, 2020 . As of February 29, 2020 , we had $78.0 million of outstanding debt against the revolving credit facility and letters of credit outstanding in the amount of $14.4 million , which left approximately $357.6 million of additional credit available under the 2017 Credit Agreement. 2011 Senior Notes On January 21, 2011, the Company entered into a Note Purchase Agreement (the “2011 Agreement”), pursuant to which the Company issued $125.0 million aggregate principal amount of its 5.42% unsecured Senior Notes (the “2011 Notes”), through a private placement (the “2011 Note Offering”). Amounts under the agreement are due in a balloon payment on the January 2021 maturity date. Pursuant to the 2011 Agreement, the Company's payment obligations with respect to the 2011 Notes may be accelerated under certain circumstances. The 2011 Notes contain various financial covenants requiring the Company, among other things, to a) maintain on a consolidated basis net worth equal to at least the sum of $116.9 million plus 50.0% of future net income; b) maintain a ratio of indebtedness to EBITDA (as defined in Note Purchase Agreement) not to exceed 3.25 :1.00; c) maintain on a consolidated basis a Fixed Charge Coverage Ratio (as defined in the Note Purchase Agreement) of at least 2.0 :1.0; d) not at any time permit the aggregate amount of all Priority Indebtedness (as defined in the Note Purchase Agreement) to exceed 10.0% of Consolidated Net Worth (as defined in the Note Purchase Agreement). As of February 29, 2020, the 2011 Senior Notes are reflected in current liabilities as the maturity date is January 2021. The Company has the ability and intent to fully settle these notes on the maturity date through a combination of additional borrowings that are available under the 2017 Credit Agreement, existing cash and cash equivalent balances and through cash generated from ongoing operations. The Company was in compliance with all of its debt covenants as of February 29, 2020 and as of April 29,2020. Maturities of debt are as follows (in thousands): Fiscal year: Future Debt Maturities 2021 $ 125,000 2022 — 2023 78,000 2024 — 2025 — Thereafter — Total $ 203,000 |
Operating segments (Notes)
Operating segments (Notes) | 12 Months Ended |
Feb. 29, 2020 | |
Segment Reporting [Abstract] | |
Operating segments | Operating Segments Segment Information The Company’s Chief Executive Officer, who is the chief operating decision maker (“CODM”), reviews financial information presented on an operating segment basis for purposes of making operating decisions and assessing financial performance. Net sales and operating income (loss) are the primary measures used by the CODM to evaluate segment operating performance and to allocate resources to segments. Expenses related to certain centralized administration or executive functions that are not specifically related to an operating segment are included in Corporate. A summary of each of the Company's reportable segments is as follows: Metal Coatings - provides hot dip galvanizing, powder coating, anodizing and plating, and other metal coating applications to the steel fabrication and other industries through facilities located throughout the United States and Canada Energy - provides specialized products and services designed to support industrial and electrical applications. This segment's product offerings include custom switchgear, electrical enclosures, medium and high voltage bus ducts, explosion proof and hazardous duty lighting and tubular products. In addition, this segment focuses on extension of life cycle for the power generation, refining and industrial infrastructure, through automated weld overlay solutions for corrosion and erosion mitigation. The following tables show information by reportable segment for fiscal year 2020 , 2019 and 2018 (in thousands): 2020 2019 2018 Net sales: Metal Coatings $ 498,989 $ 440,264 $ 389,397 Energy 562,828 486,823 421,033 Total net sales $ 1,061,817 $ 927,087 $ 810,430 Operating income (loss): Metal Coatings $ 107,926 $ 83,591 $ 84,332 Energy 32,845 31,332 (1,766 ) Corporate (42,796 ) (37,967 ) (34,318 ) Loss on disposal of business (18,632 ) — — Total operating income $ 79,343 $ 76,956 $ 48,248 2020 2019 2018 Depreciation and amortization: Metal Coatings $ 30,042 $ 29,124 $ 28,617 Energy 18,414 19,405 19,996 Corporate 1,738 1,716 1,913 Total $ 50,194 $ 50,245 $ 50,526 2020 2019 2018 Expenditures for acquisitions, net of cash, and property, plant and equipment: Metal Coatings $ 82,972 $ 16,046 $ 39,474 Energy 9,588 14,608 32,903 Corporate 3,112 2,962 2,020 Total $ 95,672 $ 33,616 $ 74,397 Asset information by segment was as follows as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 Assets: Metal Coatings $ 504,632 $ 440,090 Energy 548,032 630,134 Corporate 21,167 18,346 Total assets $ 1,073,831 $ 1,088,570 Financial Information About Geographical Areas Financial information about geographical areas for the periods presented was as follows for fiscal year 2020 , 2019 and 2018 (in thousands): 2020 2019 2018 Geographic net sales: United States $ 850,656 $ 785,194 $ 653,150 Other countries 211,161 141,893 157,280 Total $ 1,061,817 $ 927,087 $ 810,430 2020 2019 Property, plant and equipment, net: United States $ 190,365 $ 189,281 Canada 16,385 16,961 Other Countries 6,354 3,985 Total $ 213,104 $ 210,227 |
Leases
Leases | 12 Months Ended |
Feb. 29, 2020 | |
Leases [Abstract] | |
Leases | Leases The Company is a lessee under various operating leases for facilities and equipment. The Company recognized operating lease costs of $18.4 million , $15.6 million and $13.9 million for fiscal years 2020 , 2019 and 2018 , respectively. As of February 29, 2020 , maturities of the Company's lease liabilities were as follows (in thousands): Fiscal year: Operating Leases 2021 $ 8,311 2022 7,990 2023 7,505 2024 6,687 2025 5,755 Thereafter 17,494 Total lease payments 53,742 Less imputed interest (9,301 ) Total $ 44,441 Supplemental information related to the Company's portfolio of operating leases was as follows (in thousands, except years and percentages): 2020 2019 Operating cash flows from operating leases included in lease liabilities $ 8,918 $ 8,454 ROU assets obtained in exchange for new operating lease liabilities $ 7,867 $ 10,948 Weighted-average remaining lease term - operating leases 7.94 years 9.23 years Weighted-average discount rate - operating leases 4.89 % 5.13 % |
Commitments and Contingencies (
Commitments and Contingencies (Notes) | 12 Months Ended |
Feb. 29, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and contingencies | Commitments and Contingencies Legal The Company and its subsidiaries are named defendants and plaintiffs in various routine lawsuits incidental to our business. These proceedings include labor and employment claims, use of the Company’s intellectual property, worker’s compensation, environmental matters, and various commercial disputes, all arising in the normal course of business. Although the outcome of these lawsuits or other proceedings cannot be predicted with certainty, and the amount of any potential liability that could arise with respect to such lawsuits or other matters cannot be predicted at this time, management, after consultation with legal counsel believes it has strong defenses to all of these matters and does not expect liabilities, if any, from these claims or proceedings, either individually or in the aggregate, to have a material effect on the Company’s financial position, results of operations or cash flows. Commodity pricing As of February 29, 2020 , the Company had non-cancelable forward contracts of approximately $43.2 million to purchase zinc at various volumes and prices. All such contracts expire in fiscal 2021. The Company had no other contracted commitments for any other commodities including steel, aluminum, natural gas, cooper, zinc, nickel based alloys, except for those entered into under the normal course of business. Other As of February 29, 2020 , the Company had outstanding letters of credit in the amount of $30.5 million . These letters of credit are issued for a number of reasons, but are most commonly issued in lieu of customer retention withholding payments covering warranty or performance periods. In addition, as of February 29, 2020 , a warranty reserve in the amount of $3.7 million was established to offset any future warranty claims. |
Acquisitions
Acquisitions | 12 Months Ended |
Feb. 29, 2020 | |
Business Combinations [Abstract] | |
Acquisitions | Acquisitions & Divestitures Divestiture Fiscal 2020 In February 2020, the Company completed the sale of its nuclear logistics business reported within its Energy segment. The Company received net cash proceeds of $23.6 million and recognized a loss on disposal of $18.6 million . The strategic decision to divest of the business reflects the Company's longer term strategy to focus on core businesses, markets and on its Metal Coatings segment. The historical annual sales, operating profit and net assets of the nuclear logistics business were not significant enough to qualify the sale as a discontinued operation. As part of determining the loss on disposal, goodwill was allocated to the disposal group on a relative fair value basis. The determination of the amount of goodwill to allocate to the disposal group as opposed to the ongoing operations required significant management judgment regarding future cash flows, discount rates and other market relevant data. Acquisitions Fiscal 2020 In April 2019, the Company completed the acquisition of all the outstanding shares of K2 Partners, Inc. (“K2”) and Tennessee Galvanizing, Inc. ("Tennessee Galvanizing"), two privately held companies. K2 provides powder coating and electroplating solutions to customers in the Midwest and Southeast from locations in Texas and Florida. Tennessee Galvanizing provides galvanizing solutions to customers throughout the United States. These acquisitions expanded the Company's geographical reach in metal coating solutions and broadened its offerings in strategic markets. The goodwill arising from these acquisitions was allocated to the Metal Coatings segment and is not deductible for income tax purposes. In August 2019, the Company completed the acquisition of the assets of NuZinc, LLC, a privately held plating company in the Dallas-Fort Worth area. The acquisition increased the Company's capability and capacity in electroplating solutions within its Metal Coatings segment. The goodwill arising from this acquisition was allocated to the Metal Coatings segment and is deductible for income tax purposes. In September 2019, the Company completed the acquisition of all the assets of Preferred Industries, Ltd. ("Preferred"), a privately held company based in the Dallas-Fort Worth area. Preferred provides powder and e-coating solutions to the automotive, HVAC, marine, transportation, medical, industrial, and plastics industries. The acquisition broadened the Company's offerings and expanded its network of surface technology plants. This acquisition was included in the Metal Coatings segment. The fair values of the net assets acquired, including property, plant and equipment, intangibles and goodwill may be subject to change as additional information is received and finalized. Accordingly, the provisional measurements of fair value for these items are subject to change. The Company expects to finalize the valuation as soon as practicable, but not later than one year from the acquisition dates. The following table summarizes the preliminary fair values of the assets acquired and liabilities assumed, in aggregate, related to these acquisitions as of the date of each respective acquisition (in thousands): Assets Accounts receivable $ 4,591 Inventories 1,830 Prepaid expenses and other 22 Property, plant and equipment 5,336 Intangibles 15,512 Goodwill 39,419 Liabilities Accounts payable and other accrued liabilities (1,575 ) Contingent consideration (2,000 ) Deferred income taxes (2,507 ) Total purchase price $ 60,628 In addition to the initial cash payment upon closing for the K2 acquisition, contingent consideration of up to $2.0 million is payable based on the achievement of specified operating results over the three year period following completion of the acquisition. The following table sets forth the components of identifiable intangible assets acquired and their estimated useful lives as of the date of each respective acquisition (in thousands): Fair Value Useful Life Customer relationships 15,360 15 years Non-compete agreements 152 3 years Total intangible assets $ 15,512 During fiscal 2020 , the acquired companies described above generated net sales of $27.9 million and net income of $2.6 million in the Company’s consolidated statements of income from the date of each respective acquisition. The following unaudited pro forma financial information summarizes the combined results of operations for the Company and the companies included as part of the fiscal 2020 acquisitions, as though the companies were combined as of the beginning of the Company’s fiscal 2019. The pro forma amounts presented are not necessarily indicative of either the actual consolidated results had the acquisitions occurred as of the beginning of fiscal 2019 or of future consolidated operating results. The unaudited pro forma financial information was as follows (in thousands): 2020 2019 Revenues $ 1,072,633 $ 966,007 Net income 49,702 57,693 Pro forma results presented above reflect: (i) incremental depreciation relating to fair value adjustments to property, plant, and equipment and (ii) amortization adjustments relating to fair value estimates of intangible assets. Pro forma adjustments described above have been tax affected using the Company's effective rate during the respective periods. Fiscal 2019 In March 2018, the Company purchased certain assets through a bankruptcy sales process from Lectrus Corporation, a privately-held corporation based in Chattanooga, Tennessee. Lectrus designs and manufactures custom electrical metal enclosures and provides electrical and mechanical integration. This acquisition expanded the Company's market reach to the Southwest states, brought additional capability to process large, multi-segment enclosures in Lectrus' large manufacturing facility and complemented AZZ's current metal enclosure businesses in the Energy segment. Fiscal 2018 In February 2018, the Company completed the acquisition of all the assets and outstanding shares of Rogers Brothers Company ("Rogers Brothers"), a privately held company, based in Rockford, Illinois. Rogers Brothers provides galvanizing solutions to a multi-state area within the Midwest. The acquisition supported AZZ's goal of continued geographic expansion as well as portfolio expansion of its metal coatings solutions. The goodwill arising from this acquisition was allocated to the Metal Coatings segment and was not deductible for income tax purposes. In September 2017, the Company completed the acquisition of all the assets and outstanding shares of Powergrid Solutions, Inc. ("PSI"), a privately held company, based in Oshkosh, Wisconsin. PSI designs, engineers and manufactures customized low and medium-voltage power quality, power generation and distribution equipment. PSI’s product portfolio includes metal-enclosed, metal-clad and padmount switchgear, serving the utility, commercial, industrial and renewable energy markets since 1982. The acquisition of PSI is a key addition to the Company's electrical switchgear portfolio. The addition of PSI’s low-voltage and padmount switchgear allowed AZZ to offer a comprehensive portfolio of customized switchgear solutions to both existing and new customers in a diverse set of industries. The goodwill arising from this acquisition was allocated to the Energy Segment and was deductible for income tax purposes. In June 2017, the Company completed the acquisition of the assets of Enhanced Powder Coating Ltd., (“EPC”), a privately held, high specification, National Aerospace and Defense Contractors Accreditation Program, ("NADCAP"), certified provider of powder coating, plating and anodizing services based in Gainesville, Texas. EPC, founded in 2003, offers a full spectrum of finish technology including powder coating, abrasive blasting and plating for heavy industrial, transportation, aerospace and light commercial industries. The acquisition of EPC is consistent with the Company's strategic initiative to grow its Metal Coatings segment with products and services that complement its industry-leading galvanizing business. The goodwill arising from this acquisition was allocated to the Metal Coatings Segment and was deductible for income tax purposes. Supplemental Disclosures During fiscal 2020 , 2019 and 2018 , the Company paid $60.6 million , $8.0 million and $44.8 million , respectively, for these acquisitions, net of cash acquired, and expensed acquisition related costs of $0.8 million , $0.2 million and $0.3 million , respectively. The goodwill resulting from these acquisitions during fiscal 2020 , 2019 and 2018 consists largely of the Company’s expected future product and services sales and synergies from combining the products and services and technology with the Company’s existing product and services portfolio. For fiscal year 2019 and 2018, the acquisitions were not significant individually or in the aggregate. Accordingly, disclosures of the purchase price allocations and unaudited pro forma results of operations have not been provided. |
Subsequent Events (Notes)
Subsequent Events (Notes) | 12 Months Ended |
Feb. 29, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent EventsIn March 2020, the World Health Organization declared the viral strain of coronavirus ("COVID-19") a global pandemic and recommended containment and mitigation measures worldwide, which has resulted in significant downward pressure on most economies around the world. In addition, many countries have implemented travel restrictions, making it more difficult to operate a business with a global footprint. As of the date of this filing, the Company's operations remain open globally and the Company's personnel and operations have been lightly impacted by the effects of COVID-19. The Company has experienced certain customer order deferrals until later in fiscal 2021, but there have been few outright customer order cancellations. Although we expect our business to be negative impacted to a certain degree, we are taking active steps to mitigate any negative impact, which are within our control. We are examining ways to most effectively utilize our assets, to reduce costs, and to preserve liquidity. As the COVID-19 pandemic is ongoing and the near term worldwide economic outlook remains uncertain, the we cannot reasonably estimate the length or severity of this pandemic, or the extent to which the disruption may materially impact the Company’s consolidated financial statements for fiscal year 2021. Consequences of prolonged economic decline could include, but not be limited to, reduced revenues, increased instances of uncollectable receivables, and increased asset impairments. |
Quarterly Financial Information
Quarterly Financial Information, Unaudited (Notes) | 12 Months Ended |
Feb. 29, 2020 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly financial information, Unaudited | Selected Quarterly Financial Data (Unaudited) Quarter ended May 31, August 31, November 30, February 29, (2) (in thousands, except per share data) Net sales $ 289,123 $ 236,190 $ 291,139 $ 245,365 Gross profit 66,107 52,686 67,331 51,104 Net income (loss) 21,284 15,558 22,035 (10,643 ) Basic net income (loss) per share (1) 0.81 0.59 0.84 (0.41 ) Diluted net income (loss) per share (1) 0.81 0.59 0.84 (0.41 ) Quarter ended May 31, August 31, November 30, February 28, (in thousands, except per share data) Net sales $ 262,236 $ 222,787 $ 239,516 $ 202,548 Gross profit 58,705 46,904 49,755 43,257 Net income 15,718 11,244 15,395 8,851 Basic net income per share (1) 0.60 0.43 0.59 0.34 Diluted net income per share (1) 0.60 0.43 0.59 0.34 (1) Basic and diluted net income (loss) per share are computed independently for each of the quarters presented. Therefore, the sum of quarterly basic and diluted per share information may not equal annual basic and diluted net income per share. (2) During the fourth quarter of fiscal 2020, the Company recorded a loss on disposal of $18.6 million related to the sale of its nuclear logistics business and recorded an impairment charge of $9.2 million related to the Company's exit from the nuclear certified portion of its industrial welding solutions business. |
Schedule II _ Valuation and Qua
Schedule II : Valuation and Qualiying Accounts and Reserves (Notes) | 12 Months Ended |
Feb. 28, 2019 | |
SEC Schedule, 12-09, Valuation and Qualifying Accounts [Abstract] | |
Schedule II : Valuation and Qualifying Accounts and Reserves | Schedule II AZZ Inc. Valuation and Qualifying Accounts and Reserves (In thousands) 2020 2019 2018 Allowance for Doubtful Accounts Balance at beginning of year $ 2,267 $ 569 $ 347 Additions charged to income 2,734 2,153 3,290 Write-offs, net (129 ) (451 ) (3,084 ) Other 106 — 16 Effect of exchange rate changes (27 ) (4 ) — Balance at end of year $ 4,951 $ 2,267 $ 569 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Feb. 29, 2020 | |
Accounting Policies [Abstract] | |
Basis of consolidation | Organization AZZ Inc. (the “Company” “AZZ” or “We”) operates primarily in the United States of America and Canada and also has operations in China, Brazil, Poland and the Netherlands. Information about the Company's operations by segment is included in Note 12 to the consolidated financial statements. Basis of consolidation The consolidated financial statements were prepared in accordance with the accounting principles generally accepted in the United States of America and include the accounts of the Company and its wholly owned subsidiaries. All significant inter-company accounts and transactions have been eliminated in consolidation. |
Use of estimates | Use of estimates The preparation of the financial statements in conformity with generally accepted accounting principles in the United States of America ("GAAP") requires management to make estimates and assumptions that affect the amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Concentration of credit risk | Concentrations of credit risk Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of cash and cash equivalents and trade accounts receivable. The Company maintains cash and cash equivalents with various financial institutions. These financial institutions are located throughout the United States and Canada, as well as Europe, China and Brazil. The Company's policy is designed to limit exposure to any one institution. The Company performs periodic evaluations of the relative credit standing of those financial institutions that are considered in the Company's banking relationships and has not experienced any losses in such accounts. We believe we are not exposed to any significant credit risk related to cash and cash equivalents. Concentrations of credit risk with respect to trade accounts receivable are limited due to the Company’s diversity by virtue of its two operating segments, the number of customers, and the absence of a concentration of trade accounts receivable in a small number of customers. The Company performs continuous evaluations of its ability to collect trade accounts receivable and allowance for doubtful accounts based upon historical losses, economic conditions and customer specific events. After all collection efforts are exhausted and an account is deemed uncollectible, it is written off against the allowance for doubtful accounts. Recoveries, unless material, are recorded against amounts written off in a period. Collateral is usually not required from customers as a condition of sale. |
Revenue recognition | Revenue recognition The Company determines revenue recognition through the following steps: 1) Identification of the contract with a customer, 2) Identification of the performance obligations in the contract, 3) Determination of the transaction price, 4) Allocation of the transaction price to performance obligations in the contract, and 5) Recognition of revenue when, or as, the Company satisfies a performance obligation. Revenue is recognized when control of the promised goods or services is transferred to the Company’s customers, in an amount that reflects the consideration that it expects to be entitled to in exchange for those goods or services. The amount and timing of revenue recognition varies by segment based on the nature of the goods or services provided and the terms and conditions of the customer contract. Metal Coatings Segment AZZ’s Metal Coatings segment is a provider of hot dip galvanizing, powder coating, anodizing and plating, and other metal coating applications to the steel fabrication and other industries. Within this segment, the contract is typically governed by a customer purchase order or work order. The contract generally specifies the delivery of what constitutes a single performance obligation consisting of metal coating services. The Company combines contracts for revenue recognition purposes that are executed with the same customer within a short timeframe from each other and that purport to be for a single commercial objective. The Company recognizes revenue over time as the metal coating is applied to customer provided material as the process enhances a customer controlled asset. Contract modifications are rare within this segment and most contracts are on a fixed price basis with no variable consideration. Energy Segment AZZ's Energy segment is a provider of specialized products and services designed to support industrial, electrical and nuclear applications. Within this segment, the contract is governed by a customer purchase order and an executed product or services agreement. The contract generally specifies the delivery of what constitutes a single performance obligation consisting of either custom built products, custom services, or off-the-shelf products. When the Company does enter into an arrangement with multiple performance obligations, the transaction price is allocated to each performance obligation based on the relative standalone selling prices of the goods or services being provided to the customer and revenue is recognized upon the satisfaction of each performance obligation. The Company combines contracts for revenue recognition purposes that are executed with the same customer within a short timeframe from each other and that purport to be for a single commercial objective. For custom built products, the Company recognizes revenues over time provided that the goods do not have an alternative use to the Company and the Company has an unconditional right to payment for work completed to date plus a reasonable margin. For custom services, which consist of specialized welding and other professional services, the Company recognizes revenues over time as the services are rendered due to the fact that the services enhance a customer owned asset. For off-the-shelf products, which consist of tubing and lighting products, the Company recognizes revenue at a point-in-time upon the transfer of the goods to the customer. For revenues recognized over time, the Company generally uses the cost-to-cost method of revenue recognition. Under this approach, the extent of progress towards completion is measured based on the ratio of costs incurred to date versus the total estimated costs upon completion of the project. This requires the Company to estimate the total contract revenues, project costs and margin, which can involve significant management judgment. As a significant change in one or more of these estimates could affect the profitability of the Company’s contracts, management reviews and updates its contract related estimates regularly. The Company recognizes adjustments in estimated margin on contracts under a cumulative catch-up basis and subsequent revenues are recognized using the adjusted estimate. If the estimate of contract margin indicates an anticipated loss on the contract, the Company recognizes the total estimated loss in the period it is identified. Due to the custom nature of the goods and services provided, contracts within the Energy segment are often modified to account for changes in contract specifications and requirements. A contract modification exists when the modification either creates new, or changes the existing, enforceable rights and obligations in the contract. For the Company, most contract modifications are related to goods or services that are not distinct from those in the original contract due to the significant interrelationship or interdependencies between the deliverables. Such modifications are accounted for as if they were part of the original contract. As a result, the transaction price and the measure of progress for the performance obligation to which it relates, is recognized as an adjustment to revenue on a cumulative catch-up basis. In addition to fixed consideration, the Company’s contracts within its Energy segment can include variable consideration, including claims, incentive fees, liquidated damages or other penalties. The Company recognizes revenue for variable consideration when it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur. The Company estimates the amount of revenue to be recognized on variable consideration using the expected value or the most likely amount method, whichever is expected to better predict the amount. Contract Assets and Liabilities The timing of revenue recognition, billings and cash collections results in accounts receivable, contract assets (unbilled receivables), and contract liabilities (customer advances and deposits) on the consolidated balance sheets, primarily related to the Company’s Energy segment. Amounts are billed as work progresses in accordance with agreed upon contractual terms, either at periodic intervals (e.g., weekly or monthly) or upon achievement of contractual milestones. Billing can occur subsequent to revenue recognition, resulting in contract assets. In addition, the Company can receive advances or deposits from its customers, before revenue is recognized, resulting in contract liabilities. These assets and liabilities are reported on the consolidated balance sheets on a contract-by-contract basis at the end of each reporting period. The following table shows the changes in contract liabilities for fiscal year 2020 and 2019 (in thousands): 2020 2019 Balance at beginning of period $ 56,928 $ 22,698 Contract liabilities added during the period 14,292 54,331 Revenue recognized during the period (52,802 ) (20,101 ) Balance at end of period $ 18,418 $ 56,928 The Company expects to recognize revenues of approximately $14.9 million , $1.7 million , and $1.8 million in fiscal 2021, 2022 and 2023, respectively, related to the $18.4 million balance of contract liabilities as of February 29, 2020. The increases or decreases in accounts receivable, contract assets and contract liabilities during fiscal year 2020 were due primarily to normal timing differences between the Company’s performance and customer payments. The acquisitions for fiscal year 2020 described in Note 15 had no impact on contract assets or liabilities as of the date of acquisition. Other No general rights of return exist for customers and the Company establishes provisions for estimated warranties. The Company generally does not sell extended warranties. Revenue is recognized net of applicable sales and other taxes. The Company does not adjust the contract price for the effects of a significant financing component if the Company expects, at contract inception, that the period between when the Company transfers a good or service to a customer and when the customer pays for that good or service will be one year or less, which is generally the case. Sales commissions are deferred and recognized over the same period as the related revenues. Shipping and handling is treated as a fulfillment obligation instead of a separate performance obligation and such costs are expensed as incurred. |
Cash and cash equivalents | Cash and cash equivalents |
Inventories | Inventories Inventory is stated at the lower of cost or net realizable value. Cost is determined principally using a weighted-average method for the Energy segment and the first-in-first-out (FIFO) method for the Metal Coatings segment. The Company periodically evaluates inventories for excess quantities and obsolescence based on forecasted demand within specific time horizons, technological obsolescence, and an assessment of any inventory that is not in sellable condition, and establishes reserves for obsolescence until inventories are formally disposed of, then the Company writes-down disposed inventories. |
Property, plant and equipment | Property, plant and equipment Property and equipment are stated at cost less accumulated depreciation. Depreciation is computed using the straight-line method over the estimated useful lives of the related assets as follows: Buildings and structures 10-25 years Machinery and equipment 3-15 years Furniture and fixtures 3-15 years Automotive equipment 3 years Computers and software 3-7 years Repairs and maintenance are charged to expense as incurred; renewals and betterments that significantly extend the useful life of the asset are capitalized. |
Intangible assets | Amortizable Intangible and Long-lived assets Purchased intangible assets on the consolidated balance sheets are comprised of customer relationships, backlogs, engineering drawings and non-compete agreements. Such intangible assets (excluding indefinite-lived intangible assets) are amortized on a straight-line basis over the estimated useful lives of the assets ranging from two to nineteen years. The Company records impairment losses on long-lived assets, including identifiable intangible assets, when events and circumstances indicate that the assets might be impaired and the undiscounted projected cash flows associated with those assets are less than their carrying amount. In those situations, impairment loss on a long-lived asset is measured based on the excess of the carrying amount of the asset over the asset’s fair value, which is determined using Level 3 fair value inputs. For fiscal year 2020 , 2019 and 2018 the Company recorded impairment losses of $9.2 million , $0.8 million and $10.8 million respectively, related to the impairment of certain property, plant and equipment and other intangible assets. See note 5 for more information about the impairment charges. Goodwill and Other Indefinite-Lived Intangible Assets Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired in a business combination. Goodwill is not subject to amortization but is subject to an annual impairment test during December of each fiscal year, or earlier if indicators of potential impairment exist. Goodwill is tested for impairment at the reporting unit level. A reporting unit is an operating segment or a component of an operating segment. The test is calculated using an income approach and market approach, which are Level 3 fair value inputs. Based on the results of its analysis, the Company determines whether an impairment may exist. A significant change in projected cash flows or cost of capital for future years could result in an impairment of goodwill in future years. Variables impacting future cash flows include, but are not limited to, the level of customer demand for and response to products and services we offer to the power generation market, the electrical transmission and distribution markets, the general industrial market and the hot dip galvanizing market; changes in economic conditions of these various markets; raw material and natural gas costs and availability of experienced labor and management to implement our growth strategies. For fiscal years 2020, 2019 and 2018 no goodwill impairment loss was recorded. See note 8 for information about the goodwill write-off related to the divestiture of the nuclear logistics business. Other indefinite-lived intangible assets consist of certain tradenames acquired as part prior acquisitions. The Company tests the carrying value of these tradenames during December of each fiscal year, or more frequently when an event occurs or circumstances change that indicates the carrying value may not be recoverable by comparing the asset's fair value to its carrying value. Fair value, using Level 3 inputs, is measured using a relief-from-royalty approach, which assumes the fair value of the tradename is the discounted cash flows of the amount that would be paid had the Company not owned the tradename and instead licensed the tradename from another company. For fiscal 2020, 2019 and 2018, no impairment losses related to these indefinite-lived intangible assets were recorded. |
Long-lived assets | The Company records impairment losses on long-lived assets, including identifiable intangible assets, when events and circumstances indicate that the assets might be impaired and the undiscounted projected cash flows associated with those assets are less than their carrying amount. In those situations, impairment loss on a long-lived asset is measured based on the excess of the carrying amount of the asset over the asset’s fair value, which is determined using Level 3 fair value inputs. |
Goodwill | Goodwill and Other Indefinite-Lived Intangible Assets Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired in a business combination. Goodwill is not subject to amortization but is subject to an annual impairment test during December of each fiscal year, or earlier if indicators of potential impairment exist. Goodwill is tested for impairment at the reporting unit level. A reporting unit is an operating segment or a component of an operating segment. The test is calculated using an income approach and market approach, which are Level 3 fair value inputs. Based on the results of its analysis, the Company determines whether an impairment may exist. A significant change in projected cash flows or cost of capital for future years could result in an impairment of goodwill in future years. Variables impacting future cash flows include, but are not limited to, the level of customer demand for and response to products and services we offer to the power generation market, the electrical transmission and distribution markets, the general industrial market and the hot dip galvanizing market; changes in economic conditions of these various markets; raw material and natural gas costs and availability of experienced labor and management to implement our growth strategies. For fiscal years 2020, 2019 and 2018 no goodwill impairment loss was recorded. See note 8 for information about the goodwill write-off related to the divestiture of the nuclear logistics business. Other indefinite-lived intangible assets consist of certain tradenames acquired as part prior acquisitions. The Company tests the carrying value of these tradenames during December of each fiscal year, or more frequently when an event occurs or circumstances change that indicates the carrying value may not be recoverable by comparing the asset's fair value to its carrying value. Fair value, using Level 3 inputs, is measured using a relief-from-royalty approach, which assumes the fair value of the |
Debt issue costs | Debt issuance costs Debt issue costs related to the revolver are deferred within other assets and are amortized using the effective interest rate method over the term of the debt. Debt issue costs related to debt other than the revolver are deferred within total debt due after one year and are amortized using the effective interest rate method over the term of the debt. |
Income taxes | Income taxes The Company accounts for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the financial statements. Under this method, deferred tax assets and liabilities are determined on the basis of the differences between the financial statement and tax bases of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. The Company recognizes a valuation allowance against net deferred tax assets to the extent that the Company believes these net assets are not more likely than not to be realized. In making such a determination, the Company considers all available positive and negative evidence, including future reversals of existing taxable temporary differences, projected future taxable income, tax-planning strategies, and results of recent operations. If the Company determines that it would be able to realize its deferred tax assets in the future in excess of their net recorded amount, the Company would make an adjustment to the deferred tax asset valuation allowance, which would reduce the provision for income taxes. As applicable, the Company records uncertain tax positions on the basis of a two-step process whereby (1) the Company determines whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position and (2) for those tax positions that meet the more-likely-than-not recognition threshold, the Company recognizes the largest amount of tax benefit that is more than 50 percent likely to be realized upon ultimate settlement with the related tax authority. The Company is subject to taxation in the U.S. and various state, provincial and local and foreign jurisdictions. With few exceptions, as of February 29, 2020 , the Company is no longer subject to U.S. federal or state examinations by tax authorities for years before fiscal 2017. |
Financial Instruments | Financial instruments Fair value is an exit price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. Hierarchy Levels 1, 2, or 3 are terms for the priority of inputs to valuation techniques used to measure fair value. Hierarchy Level 1 inputs are quoted prices in active markets for identical assets or liabilities. Hierarchy Level 2 inputs are inputs other than quoted prices included with Level 1 that are directly or indirectly observable for the asset or liability. Hierarchy Level 3 inputs are inputs that are not observable in the market. The carrying amount of the Company's financial instruments (cash equivalents, accounts receivable, accounts payable, accrued liabilities and debt), excluding the Senior Notes, approximates the fair value of these instruments based upon either their short-term nature or their variable market rate of interest. As of February 29, 2020 and February 28, 2019 the fair value of the outstanding Senior Notes, as described in Note 11, was approximately $125.3 million and $127.4 million , respectively. These fair values were determined using the discounted cash flow at the market rate as well as the applicable market interest rates classified as Level 2 inputs. |
Derivative financial instruments | Derivative financial instruments From time to time, the Company uses derivatives to manage interest rate risk. The Company’s policy is to use derivatives for risk management purposes only, which includes maintaining the ratio between the Company’s fixed and floating rate debt obligations that management deems appropriate, and prohibits entering into such contracts for trading purposes. The Company enters into derivatives only with counterparties (primarily financial institutions) which have substantial financial wherewithal to minimize credit risk. The amount of gains or losses from the use of derivative financial instruments has not been and is not expected to be material to the Company’s consolidated financial statements. As of February 29, 2020 , the Company had no derivative financial instruments. |
Warranty reserves | Warranty reserves Within other accrued liabilities, a reserve has been established to provide for the estimated future cost of warranties on a portion of the Company’s delivered products. Warranties cover such factors as non-conformance to specifications and defects in material and workmanship. A provision for warranty on products is made on the basis of the Company's historical experience and identified warranty issues. Warranties typically arise after the product has been accepted by the customer. Management periodically reviews the individual claims and related reserves, and adjustments are made according to the warranty work performed or with agreements reached with customers after fully addressing their claims. |
Foreign Currency Translation | Foreign Currency Translation The local currency is the functional currency for the Company’s foreign operations. Related assets and liabilities are translated into United States dollars at exchange rates existing at the balance sheet date, and revenues and expenses are translated at weighted-average exchange rates. The foreign currency translation adjustment is recorded as a separate component of shareholders’ equity and is included in accumulated other comprehensive income (loss). |
Long-Term Contingent Liability | Accruals for Contingent Liabilities |
Lessee, Leases [Policy Text Block] | Leases The Company is a lessee under various operating leases for facilities and equipment. For such leases, the Company recognizes a right-of-use ("ROU") asset and lease liability on the consolidated balance sheet as of the lease commencement date based on the present value of the future minimum lease payments. An ROU asset represents the Company's right to use an underlying asset during the lease term and a lease liability represents the Company's obligation to make lease payments. However, for short-term leases with an initial term of twelve months or less that do not contain an option to purchase that is likely to be exercised, the Company does not record ROU assets or lease liabilities on the consolidated balance sheet. The Company's uses its incremental borrowing rate to determine the present value of future payments unless the implicit rate in the lease is readily determinable. In determining the future minimum lease payments, the Company incorporates options to extend or terminate the lease when it is reasonably certain that such options will be exercised. The ROU asset includes any initial direct costs incurred and is recorded net of any lease incentives received. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term as the ROU asset is amortized and the lease liability is accreted. For facilities leases, the Company accounts for lease and non-lease components on a combined basis, while for equipment leases, the lease and non-lease components are accounted for separately. |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Issued Accounting Pronouncements Not Yet Adopted In June 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instrument s (“ASU 2016-13”), which modifies the measurement of expected credit losses of certain financial instruments, including the Company's accounts receivable and contract assets. The Company will adopt ASU 2016-13 in the first quarter of its fiscal 2021 utilizing the modified retrospective transition method. Based on the composition of the Company’s accounts receivable and contract assets, current market conditions, and historical credit loss activity, the adoption of ASU 2016-13 is not expected to have a material impact on its consolidated financial statements. In August 2018, the FASB issued ASU No. 2018-15, Intangibles—Goodwill and Other— Internal-Use Software (Subtopic 350-40) - Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract ("ASU 2018-15"), which aligns the accounting for implementation costs incurred in a hosting arrangement that is a service contract with the accounting for implementation costs incurred to develop or obtain internal-use software, in order to determine the applicable costs to capitalize and the applicable costs to expense as incurred. The Company will adopt ASU 2018-15 in the first quarter of its fiscal 2021. The standard can be applied either prospectively to implementation costs incurred after the date of adoption or retrospectively to all arrangements. The Company intends to adopt ASU 2018-15 using the prospective approach and the adoption is not expected to have a material impact on its consolidated financial statements. In December 2019, the FASB issued Accounting Standard Update No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes ("ASU 2019-12"), which simplifies the accounting for income taxes. The Company will adopt ASU 2019-12 in the first quarter of its fiscal year 2022 on a prospective basis and early adoption is permitted. The Company is currently evaluating the impact of the new guidance on its consolidated financial statements . |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended | |
Feb. 29, 2020 | Feb. 28, 2019 | |
Accounting Policies [Abstract] | ||
Schedule of Changes in Contract Liabilities | The following table shows the changes in contract liabilities for fiscal year 2020 and 2019 (in thousands): 2020 2019 Balance at beginning of period $ 56,928 $ 22,698 Contract liabilities added during the period 14,292 54,331 Revenue recognized during the period (52,802 ) (20,101 ) Balance at end of period $ 18,418 $ 56,928 | |
Disaggregation of Revenue | Disaggregated Revenue Revenue by segment and geography is disclosed in Note 12. In addition, the following table presents disaggregated revenue by customer industry (in thousands): 2020 2019 2018 Net sales: Industrial - oil and gas, construction, and general $ 605,236 $ 526,465 $ 461,945 Transmission and distribution 254,836 212,433 194,503 Power generation 201,745 188,189 153,982 Total net sales $ 1,061,817 $ 927,087 $ 810,430 | |
Property, Plant and Equipment | Depreciation is computed using the straight-line method over the estimated useful lives of the related assets as follows: Buildings and structures 10-25 years Machinery and equipment 3-15 years Furniture and fixtures 3-15 years Automotive equipment 3 years Computers and software 3-7 years Property, plant and equipment consisted of the following as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 Land $ 21,826 $ 21,677 Building and structures 162,851 156,447 Machinery and equipment 252,726 245,588 Furniture, fixtures, software and computers 28,938 27,075 Automotive equipment 4,394 3,766 Construction in progress 16,466 13,065 487,201 467,618 Less accumulated depreciation (274,097 ) (257,391 ) Net property, plant, and equipment $ 213,104 $ 210,227 | |
Schedule of Warranty Reserve | The following table shows the changes in the Company’s accrued warranties for fiscal year 2020 , 2019 and 2018 (in thousands): 2020 2019 2018 Balance at beginning of period $ 1,751 $ 2,013 $ 2,098 Warranty costs incurred (2,118 ) (2,195 ) (2,225 ) Additions charged to income 4,069 1,933 2,140 Balance at end of period $ 3,702 $ 1,751 $ 2,013 | |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles | ||
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The components of accumulated other comprehensive loss consisted of the following as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 Foreign currency translation adjustments $ (30,949 ) $ (28,856 ) Interest rate swap 50 104 Accumulated other comprehensive loss $ (30,899 ) $ (28,752 ) |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Feb. 29, 2020 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory | Inventories, net consisted of the following as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 Raw materials $ 88,837 $ 94,410 Work-in-process 5,543 19,067 Finished goods 5,461 11,370 $ 99,841 $ 124,847 |
Property, Plant and Equipment_2
Property, Plant and Equipment (Tables) | 12 Months Ended |
Feb. 29, 2020 | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment | Depreciation is computed using the straight-line method over the estimated useful lives of the related assets as follows: Buildings and structures 10-25 years Machinery and equipment 3-15 years Furniture and fixtures 3-15 years Automotive equipment 3 years Computers and software 3-7 years Property, plant and equipment consisted of the following as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 Land $ 21,826 $ 21,677 Building and structures 162,851 156,447 Machinery and equipment 252,726 245,588 Furniture, fixtures, software and computers 28,938 27,075 Automotive equipment 4,394 3,766 Construction in progress 16,466 13,065 487,201 467,618 Less accumulated depreciation (274,097 ) (257,391 ) Net property, plant, and equipment $ 213,104 $ 210,227 |
Other Accrued Liabilities (Tabl
Other Accrued Liabilities (Tables) | 12 Months Ended |
Feb. 29, 2020 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of Accrued Liabilities | Other accrued liabilities consisted of the following as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 Accrued interest $ 1,042 $ 1,196 Accrued warranty 3,702 1,751 Commissions 4,180 3,370 Personnel expenses 8,646 6,282 Group medical insurance 3,083 2,024 Sales and other taxes payable 3,098 1,301 Other 3,117 1,707 Total $ 26,868 $ 17,631 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Feb. 29, 2020 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | The provision for income taxes for fiscal year 2020 , 2019 and 2018 consisted of the following (in thousands): 2020 2019 2018 Income before income taxes: Domestic $ 44,406 $ 48,261 $ 24,282 Foreign 20,484 14,744 6,617 Income before income taxes $ 64,890 $ 63,005 $ 30,899 Current provision: Federal $ 12,563 $ 4,251 $ 3,445 Foreign 5,259 2,829 1,958 State and local 1,451 986 964 Total current provision for income taxes $ 19,273 $ 8,066 $ 6,367 Deferred provision (benefit): Federal $ (1,452 ) $ 2,970 $ (20,220 ) Foreign (21 ) 539 100 State and local (1,144 ) 222 (517 ) Total deferred provision for (benefit from) income taxes $ (2,617 ) $ 3,731 $ (20,637 ) Total provision for (benefit from) income taxes $ 16,656 $ 11,797 $ (14,270 ) |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation from the federal statutory income tax rate to the effective income tax rate is as follows for the prior three fiscal years: 2020 2019 2018 Statutory federal income tax rate 21.0 % 21.0 % 32.7 % Permanent differences 0.1 0.5 1.6 State income taxes, net of federal income tax benefit — 0.4 0.4 Benefit of Section 199 of the Code, manufacturing deduction — — (2.2 ) Valuation allowance — (0.7 ) — Stock compensation — 0.5 (0.5 ) Tax credits 2.0 (4.1 ) (7.7 ) Foreign tax rate differential 1.4 1.1 (0.4 ) Deferred tax remeasurements — — (78.9 ) Uncertain tax positions 1.4 — — Transition tax — — 8.6 Other (0.2 ) — 0.2 Effective income tax rate 25.7 % 18.7 % (46.2 )% |
Schedule of Deferred Tax Assets and Liabilities | Significant components of the Company’s net deferred income tax liability are as follows as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 Deferred income tax assets: Employee related items $ 3,194 $ 4,177 Inventories 823 758 Accrued warranty 548 369 Accounts receivable 1,379 (2,092 ) Lease liabilities 10,601 — Net operating loss carry forward 5,845 7,173 22,390 10,385 Less: valuation allowance (725 ) (3,015 ) Total deferred income tax assets 21,665 7,370 Deferred income tax liabilities: Depreciation methods and property basis differences (21,447 ) (19,066 ) Right-of-use lease assets (10,299 ) — Other assets and tax-deductible goodwill (27,845 ) (24,927 ) Total deferred income tax liabilities (59,591 ) (43,993 ) Net deferred income tax liabilities $ (37,926 ) $ (36,623 ) |
Summary of Operating Loss Carryforwards | The following table summarizes the Net operating loss (NOL) carry-forward balances as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 Federal $ — $ — State $ 5,120 $ 6,352 Foreign $ 725 $ 821 |
Schedule of Unrecognized Tax Benefits Roll Forward | A reconciliation of the beginning and ending balance of total unrecognized tax benefits for the year ended February 29, 2020 is as follows (in thousands): 2020 Balance at beginning of period $ — Increase for tax positions related to prior periods: Gross increases 2,531 Balance at end of period $ 2,531 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Feb. 29, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | Changes in goodwill by segment for fiscal year 2020 and 2019 were as follows (in thousands): 2020 Segment Opening Balance Acquisitions Divestiture Other Currency Translation Adjustment Closing Balance Metal Coatings $ 116,691 $ 39,419 $ — $ 1,413 $ (475 ) $ 157,048 Energy 207,065 — (7,888 ) — 199,177 Total $ 323,756 $ 39,419 $ (7,888 ) $ 1,413 $ (475 ) $ 356,225 2019 Segment Opening Balance Acquisitions Currency Translation Adjustment Closing Balance Metal Coatings $ 117,232 $ 73 $ (614 ) $ 116,691 Energy 204,075 2,990 — 207,065 Total $ 321,307 $ 3,063 $ (614 ) $ 323,756 |
Schedule of Finite-Lived Intangible Assets by Major Class | Amortizable intangible assets consisted of the following as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 Customer related intangibles $ 177,090 $ 191,460 Non-compete agreements 8,659 8,546 Trademarks 1,469 4,569 Technology 2,554 7,400 Engineering drawings — 24,600 Backlog — 7,600 Gross intangible assets 189,772 244,175 Less accumulated amortization (91,298 ) (122,199 ) Total, net $ 98,474 $ 121,976 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | he estimated amortization expense for the next five fiscal years and beyond (in thousands): 2021 $ 12,497 2022 12,462 2023 12,086 2024 10,151 2025 9,307 Thereafter 41,971 Total $ 98,474 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Feb. 29, 2020 | |
Earnings Per Share [Abstract] | |
Computation of basic and diluted earnings per share | The following table sets forth the computation of basic and diluted earnings per share for fiscal year 2020 , 2019 and 2018 (in thousands, except per share data): 2020 2019 2018 Numerator: Net income for basic and diluted earnings per common share $ 48,234 $ 51,208 $ 45,169 Denominator: Denominator for basic earnings per common share–weighted average shares 26,191 26,038 25,970 Effect of dilutive securities: Employee and director stock awards 90 69 66 Denominator for diluted earnings per common share 26,281 26,107 26,036 Earnings per share basic and diluted: Basic earnings per common share $ 1.84 $ 1.97 $ 1.74 Diluted earnings per common share $ 1.84 $ 1.96 $ 1.73 |
Stock Compensation (Tables)
Stock Compensation (Tables) | 12 Months Ended |
Feb. 29, 2020 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Restricted Stock Unit Awards Non-Vested | restricted stock unit award activity (including DERs) for the year ended February 29, 2020 is as follows: Restricted Weighted Outstanding at beginning of year 146,532 $ 48.93 Granted 140,070 43.86 Vested (84,595 ) 54.63 Forfeited (7,061 ) 45.30 Outstanding at end of year 194,946 $ 44.34 |
Share-based Payment Arrangement, Performance Shares, Outstanding Activity [Table Text Block] | for the year ended February 29, 2020 is as follows: Performance Stock Units Weighted Average Grant Date Fair Value Outstanding at beginning of year 83,125 $ 50.62 Granted 49,000 46.19 Vested — — Forfeited (22,189 ) 55.08 Outstanding at end of year 109,936 $ 47.75 |
Stock Appreciation Rights and Option Awards | A summary of the Company’s stock appreciation rights activity is as follows for fiscal year 2020 , 2019 and 2018 : 2020 2019 2018 SARs Weighted Average Exercise Price SARs Weighted Average Exercise Price SARs Weighted Average Exercise Price Outstanding at beginning of year 98,184 $ 44.46 148,513 $ 43.29 170,139 $ 42.02 Exercised (2,965 ) 44.58 (47,484 ) 40.84 (19,481 ) 31.94 Forfeited (393 ) 43.92 (2,845 ) 43.92 (2,145 ) 45.36 Outstanding at end of year 94,826 $ 44.58 98,184 $ 44.46 148,513 $ 43.29 Exercisable at end of year 94,826 $ 44.58 98,184 $ 44.46 148,513 $ 43.29 |
Share-based Compensation Activity | The following table summarizes additional information about stock appreciation rights outstanding at February 29, 2020 . Range of SARs Outstanding and Exercisable Average Weighted $39.65 - $44.15 48,061 1.00 $ 43.85 $44.72 - 46.34 46,765 0.73 $ 45.33 $39.65 - $46.34 94,826 0.88 $ 44.58 |
Share-based compensation expense and related income tax | for fiscal year 2020 , 2019 and 2018 (in thousands): 2020 2019 2018 Compensation expense $ 6,290 $ 4,659 $ 6,121 Income tax benefits $ 1,321 $ 978 $ 2,122 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Feb. 29, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Debt | 2020 2019 2017 Revolving Line of Credit $ 78,000 $ 116,000 2011 Senior Notes 125,000 125,000 Total debt 203,000 241,000 Unamortized debt issuance costs (122 ) (255 ) Total debt, net 202,878 240,745 Less amount due within one year (125,000 ) — Debt due after one year, net $ 77,878 $ 240,745 |
Schedule of Maturities of Long-term Debt | Maturities of debt are as follows (in thousands): Fiscal year: Future Debt Maturities 2021 $ 125,000 2022 — 2023 78,000 2024 — 2025 — Thereafter — Total $ 203,000 |
Operating segments (Tables)
Operating segments (Tables) | 12 Months Ended |
Feb. 29, 2020 | |
Segment Reporting [Abstract] | |
Operations and assets by segment | 2020 2019 2018 Net sales: Metal Coatings $ 498,989 $ 440,264 $ 389,397 Energy 562,828 486,823 421,033 Total net sales $ 1,061,817 $ 927,087 $ 810,430 Operating income (loss): Metal Coatings $ 107,926 $ 83,591 $ 84,332 Energy 32,845 31,332 (1,766 ) Corporate (42,796 ) (37,967 ) (34,318 ) Loss on disposal of business (18,632 ) — — Total operating income $ 79,343 $ 76,956 $ 48,248 2020 2019 2018 Depreciation and amortization: Metal Coatings $ 30,042 $ 29,124 $ 28,617 Energy 18,414 19,405 19,996 Corporate 1,738 1,716 1,913 Total $ 50,194 $ 50,245 $ 50,526 2020 2019 2018 Expenditures for acquisitions, net of cash, and property, plant and equipment: Metal Coatings $ 82,972 $ 16,046 $ 39,474 Energy 9,588 14,608 32,903 Corporate 3,112 2,962 2,020 Total $ 95,672 $ 33,616 $ 74,397 Asset information by segment was as follows as of February 29, 2020 and February 28, 2019 (in thousands): 2020 2019 Assets: Metal Coatings $ 504,632 $ 440,090 Energy 548,032 630,134 Corporate 21,167 18,346 Total assets $ 1,073,831 $ 1,088,570 Financial Information About Geographical Areas Financial information about geographical areas for the periods presented was as follows for fiscal year 2020 , 2019 and 2018 (in thousands): 2020 2019 2018 Geographic net sales: United States $ 850,656 $ 785,194 $ 653,150 Other countries 211,161 141,893 157,280 Total $ 1,061,817 $ 927,087 $ 810,430 2020 2019 Property, plant and equipment, net: United States $ 190,365 $ 189,281 Canada 16,385 16,961 Other Countries 6,354 3,985 Total $ 213,104 $ 210,227 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Feb. 29, 2020 | |
Leases [Abstract] | |
Lessee, Operating Lease, Liability, Maturity | As of February 29, 2020 , maturities of the Company's lease liabilities were as follows (in thousands): Fiscal year: Operating Leases 2021 $ 8,311 2022 7,990 2023 7,505 2024 6,687 2025 5,755 Thereafter 17,494 Total lease payments 53,742 Less imputed interest (9,301 ) Total $ 44,441 |
Lease, Cost | Supplemental information related to the Company's portfolio of operating leases was as follows (in thousands, except years and percentages): 2020 2019 Operating cash flows from operating leases included in lease liabilities $ 8,918 $ 8,454 ROU assets obtained in exchange for new operating lease liabilities $ 7,867 $ 10,948 Weighted-average remaining lease term - operating leases 7.94 years 9.23 years Weighted-average discount rate - operating leases 4.89 % 5.13 % |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Feb. 29, 2020 | |
Business Combinations [Abstract] | |
Schedule of assets acquired and liabilities assumed | The following table summarizes the preliminary fair values of the assets acquired and liabilities assumed, in aggregate, related to these acquisitions as of the date of each respective acquisition (in thousands): Assets Accounts receivable $ 4,591 Inventories 1,830 Prepaid expenses and other 22 Property, plant and equipment 5,336 Intangibles 15,512 Goodwill 39,419 Liabilities Accounts payable and other accrued liabilities (1,575 ) Contingent consideration (2,000 ) Deferred income taxes (2,507 ) Total purchase price $ 60,628 |
Schedule of components of identifiable intangible assets acquired | The following table sets forth the components of identifiable intangible assets acquired and their estimated useful lives as of the date of each respective acquisition (in thousands): Fair Value Useful Life Customer relationships 15,360 15 years Non-compete agreements 152 3 years Total intangible assets $ 15,512 |
Schedule of proforma information | The unaudited pro forma financial information was as follows (in thousands): 2020 2019 Revenues $ 1,072,633 $ 966,007 Net income 49,702 57,693 |
Quarterly Financial Informati_2
Quarterly Financial Information, Unaudited (Tables) | 12 Months Ended |
Feb. 29, 2020 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information | Quarter ended May 31, August 31, November 30, February 29, (2) (in thousands, except per share data) Net sales $ 289,123 $ 236,190 $ 291,139 $ 245,365 Gross profit 66,107 52,686 67,331 51,104 Net income (loss) 21,284 15,558 22,035 (10,643 ) Basic net income (loss) per share (1) 0.81 0.59 0.84 (0.41 ) Diluted net income (loss) per share (1) 0.81 0.59 0.84 (0.41 ) Quarter ended May 31, August 31, November 30, February 28, (in thousands, except per share data) Net sales $ 262,236 $ 222,787 $ 239,516 $ 202,548 Gross profit 58,705 46,904 49,755 43,257 Net income 15,718 11,244 15,395 8,851 Basic net income per share (1) 0.60 0.43 0.59 0.34 Diluted net income per share (1) 0.60 0.43 0.59 0.34 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Feb. 29, 2020USD ($) | Feb. 29, 2020USD ($)operating_segment | Feb. 28, 2019USD ($) | Feb. 28, 2018USD ($) | Feb. 28, 2017USD ($) | |
Business Acquisition [Line Items] | |||||
Gain (Loss) on Disposition of Assets | $ 9,200 | $ (9,157) | $ (810) | $ (10,834) | |
Number of operating segments | operating_segment | 2 | ||||
Reclassification from Operating Activities to Financing Activities | |||||
Business Acquisition [Line Items] | |||||
Immaterial error corrections | $ 3,200 | 2,100 | |||
Increase to Capital in Excess of Par Value and Decrease in Retained Earnings | |||||
Business Acquisition [Line Items] | |||||
Immaterial error corrections | $ 12,600 | $ 5,200 | |||
Maximum [Member] | |||||
Business Acquisition [Line Items] | |||||
Finite-Lived Intangible Asset, Useful Life | 19 years |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Contract Liability Details (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Feb. 28, 2022 | Feb. 28, 2021 | Feb. 29, 2020 | Feb. 28, 2019 | |
Contract Liability Details [Abstract] | ||||
Balance at beginning of period | $ 18,418 | $ 56,928 | $ 22,698 | |
Contract liabilities added during the period | 14,292 | 54,331 | ||
Revenue recognized during the period | (52,802) | (20,101) | ||
Balance at end of period | 18,418 | $ 56,928 | ||
Future Revenues | $ 1,800 | $ 1,700 | 14,900 | |
Revenue, Remaining Performance Obligation, Amount | $ 18,400 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Disaggregated Revenues (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Feb. 29, 2020 | Nov. 30, 2019 | Aug. 31, 2019 | May 31, 2019 | Feb. 28, 2019 | Nov. 30, 2018 | Aug. 31, 2018 | May 31, 2018 | Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Disaggregation of Revenue [Line Items] | |||||||||||
Revenues | $ 245,365 | $ 291,139 | $ 236,190 | $ 289,123 | $ 202,548 | $ 239,516 | $ 222,787 | $ 262,236 | $ 1,061,817 | $ 927,087 | $ 810,430 |
Industrial [Member] | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenues | 605,236 | 526,465 | 461,945 | ||||||||
Trasmission & Distribution [Member] | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenues | 254,836 | 212,433 | 194,503 | ||||||||
Power Generation [Member] | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenues | $ 201,745 | $ 188,189 | $ 153,982 |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies - Property, Plant, and Equipment (Details) | 12 Months Ended |
Feb. 29, 2020 | |
Building and Building Improvements [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Useful life | 10 years |
Building and Building Improvements [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Useful life | 25 years |
Machinery and Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Useful life | 3 years |
Machinery and Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Useful life | 15 years |
Furniture and Fixtures [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Useful life | 3 years |
Furniture and Fixtures [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Useful life | 15 years |
Vehicles [Member] | |
Property, Plant and Equipment [Line Items] | |
Useful life | 3 years |
Computers and Software [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Useful life | 3 years |
Computers and Software [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Useful life | 7 years |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies - Intangible Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Acquired Finite-Lived Intangible Assets [Line Items] | ||||
Gain (Loss) on Disposition of Assets | $ 9,200 | $ (9,157) | $ (810) | $ (10,834) |
Minimum [Member] | ||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||
Useful life | 2 years | |||
Maximum [Member] | ||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||
Useful life | 19 years |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies - Product Warranty Roll-forward (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Movement in Standard Product Warranty Accrual [Roll Forward] | |||
Balance, beginning balance | $ 1,751 | $ 2,013 | $ 2,098 |
Warranty costs incurred | (2,118) | (2,195) | (2,225) |
Additions charged to income | 4,069 | 1,933 | 2,140 |
Balance, ending balance | $ 3,702 | $ 1,751 | $ 2,013 |
Summary of Significant Accou_10
Summary of Significant Accounting Policies - Debt (Details) - Senior Notes [Member] - USD ($) | Feb. 29, 2020 | Feb. 28, 2019 | Jan. 21, 2011 |
Unsecured Senior Notes Due March 31, 2018 [Member] | |||
Debt Instrument [Line Items] | |||
Fair value of notes | $ 125,300,000 | $ 127,400,000 | |
Unsecured Senior Notes Due January 2021 [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, face amount | $ 125,000,000 |
Summary of Significant Accou_11
Summary of Significant Accounting Policies - Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands | Feb. 29, 2020 | Feb. 28, 2019 |
Accounting Policies [Abstract] | ||
Foreign currency translation adjustments | $ (30,949) | $ (28,856) |
Interest rate swap | 50 | 104 |
Accumulated other comprehensive loss | $ (30,899) | $ (28,752) |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Feb. 29, 2020 | Feb. 28, 2019 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 88,837 | $ 94,410 |
Work-in-process | 5,543 | 19,067 |
Finished goods | 5,461 | 11,370 |
Total Inventory | $ 99,841 | $ 124,847 |
Property, Plant and Equipment_3
Property, Plant and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation | $ 33,100 | $ 33,200 | $ 33,400 |
Property, Plant and Equipment, Gross | 487,201 | 467,618 | |
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment | (274,097) | (257,391) | |
Property, plant, and equipment, net | 213,104 | 210,227 | |
Land [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | 21,826 | 21,677 | |
Building and Building Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | 162,851 | 156,447 | |
Machinery and Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | 252,726 | 245,588 | |
Furniture and Fixtures [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | 28,938 | 27,075 | |
Vehicles [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | 4,394 | 3,766 | |
Construction in Progress [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property, Plant and Equipment, Gross | $ 16,466 | $ 13,065 |
Other Accrued Liabilities (Deta
Other Accrued Liabilities (Details) - USD ($) $ in Thousands | Feb. 29, 2020 | Feb. 28, 2019 |
Other Liabilities Disclosure [Abstract] | ||
Accrued interest | $ 1,042 | $ 1,196 |
Accrued warranty | 3,702 | 1,751 |
Commissions | 4,180 | 3,370 |
Personnel expenses | 8,646 | 6,282 |
Group medical insurance | 3,083 | 2,024 |
Sales and other taxes payable | 3,098 | 1,301 |
Other Sundry Liabilities, Current | 3,117 | 1,707 |
Total other accrued liabilities | $ 26,868 | $ 17,631 |
Restructuring and Other Relat_2
Restructuring and Other Related Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Restructuring Cost and Reserve [Line Items] | ||||
Gain (Loss) on Disposition of Assets | $ (9,200) | $ 9,157 | $ 810 | $ 10,834 |
Restructuring Charges | 1,300 | |||
Selling, General and Administrative Expenses [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Gain (Loss) on Disposition of Assets | 7,200 | |||
Cost of Sales [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Gain (Loss) on Disposition of Assets | 2,000 | |||
One-time Termination Benefits [Member] | Cost of Sales [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | 500 | |||
Other Restructuring [Member] | Cost of Sales [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring Charges | $ 800 |
Employee Benefit Plans (Details
Employee Benefit Plans (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Postemployment Benefits [Abstract] | |||
Costs recognized for postemployement benefit plan | $ 5.4 | $ 5 | $ 4.8 |
Employee Benefit Plans Multiemp
Employee Benefit Plans Multiemployer Plan (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Multiemployer Plans [Line Items] | |||
Entity Tax Identification Number | 75-0948250 | ||
Multiemployer Plan, Contributions by Employer | $ 5,703 | $ 6,278 | $ 4,540 |
Boilermaker-Blacksmith National Pension Trust [Member] | |||
Multiemployer Plans [Line Items] | |||
Entity ID Number | EIN:48-6168020Plan: 001 | ||
Zone Status | Critical | Endangered | |
Multiemployer Plans, Funding Improvement Plan and Rehabilitation Plan [Fixed List] | Implemented | ||
Multiemployer Plan, Contributions by Employer | $ 5,337 | $ 5,651 | 4,070 |
Multiemployer Plans, Surcharge [Fixed List] | Yes | ||
Multiemployer Plans, Collective-Bargaining Arrangement, Expiration Date | Various through 12/31/2020 | ||
Individually Insignificant Plans [Member] | |||
Multiemployer Plans [Line Items] | |||
Multiemployer Plan, Contributions by Employer | $ 366 | $ 627 | $ 470 |
Income Taxes - Provision of Inc
Income Taxes - Provision of Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Income (loss) before income taxes: | |||
Domestic | $ 44,406 | $ 48,261 | $ 24,282 |
Foreign | 20,484 | 14,744 | 6,617 |
Income before income taxes | 64,890 | 63,005 | 30,899 |
Current provision: | |||
Federal | 12,563 | 4,251 | 3,445 |
Foreign | 5,259 | 2,829 | 1,958 |
State and local | 1,451 | 986 | 964 |
Total current provision for income taxes | 19,273 | 8,066 | 6,367 |
Deferred provision (benefit): | |||
Federal | (1,452) | 2,970 | (20,220) |
Foreign | (21) | 539 | 100 |
State and local | (1,144) | 222 | (517) |
Deferred Income Tax Expense (Benefit) | (2,617) | 3,731 | (20,637) |
Total provision for income taxes | $ 16,656 | $ 11,797 | $ (14,270) |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 28, 2018 | Feb. 29, 2020 | Feb. 28, 2019 | |
Income Tax Disclosure [Abstract] | |||
Deferred Tax Assets, Valuation Allowance | $ 725 | $ 3,015 | |
Foreign Earnings Repatriated | $ 1,400 |
Income Taxes - Reconcilliation
Income Taxes - Reconcilliation of Effective Income Tax Rate (Details) | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Income Tax Disclosure [Abstract] | |||
Statutory federal income tax rate | 21.00% | 21.00% | 32.70% |
Effective Income Tax Rate Reconciliation, Nondeductible Expense, Meals and Entertainment, Percent | 0.10% | 0.50% | 1.60% |
State income taxes, net of federal income tax benefit | 0.00% | 0.40% | 0.40% |
Benefit of Section 199 of the Code, manufacturing deduction | 0.00% | 0.00% | (2.20%) |
Effective Income Tax Rate Reconciliation, Change in Deferred Tax Assets Valuation Allowance, Percent | 0.00% | (0.70%) | 0.00% |
Effective Income Tax Rate Reconciliation,Other Reconciling Items, Percent | 0.00% | 0.50% | (0.50%) |
Other | (0.20%) | 0.00% | 0.20% |
Effective Income Tax Rate Reconciliation, Tax Credit, Percent | 2.00% | (4.10%) | (7.70%) |
Effective Income Tax Rate Reconciliation, Foreign Income Tax Rate Differential, Percent | 1.40% | 1.10% | (0.40%) |
Effective Income Tax Rate Reconciliation, Change in Enacted Tax Rate, Percent | 0.00% | 0.00% | (78.90%) |
Effective Income Tax Rate Reconciliation, Tax Contingency, Percent | 1.40% | 0.00% | 0.00% |
Effective Income Tax Rate Reconciliation, Tax Contingency, Domestic, Percent | 0.00% | 0.00% | 8.60% |
Effective income tax rate | 25.70% | 18.70% | (46.20%) |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Feb. 29, 2020 | Feb. 28, 2019 |
Deferred income tax assets: | ||
Employee related items | $ 3,194 | $ 4,177 |
Inventories | 823 | 758 |
Accrued warranty | 548 | 369 |
Deferred Tax Assets, Tax Deferred Expense, Reserves and Accruals, Allowance for Doubtful Accounts | 1,379 | (2,092) |
Deferred Tax Assets, Lease Liabilities | 10,601 | 0 |
Net operating loss carry forward | 5,845 | 7,173 |
Total deferred income tax assets | 22,390 | 10,385 |
Deferred Tax Assets, Valuation Allowance | (725) | (3,015) |
Deferred Tax Assets, Net of Valuation Allowance | 21,665 | 7,370 |
Deferred income tax liabilities: | ||
Depreciation methods and property basis differences | (21,447) | (19,066) |
Deferred Tax Liabilities, Right-of-Use Assets | (10,299) | 0 |
Deferred Tax Liabilities, Goodwill and Intangible Assets | (27,845) | (24,927) |
Total deferred income tax liabilities | (59,591) | (43,993) |
Net deferred income tax liabilities | $ (37,926) | $ (36,623) |
Income Taxes - Schedule of Net
Income Taxes - Schedule of Net Operating Loss Carryforwards (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Feb. 29, 2020 | Feb. 28, 2019 | |
Operating Loss Carryforwards [Line Items] | ||
Deferred Tax Assets, Valuation Allowance | $ 725 | $ 3,015 |
Federal | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforward, tax impact | 0 | 0 |
State | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforward, tax impact | 5,120 | 6,352 |
Operating loss carryforwards | 113,100 | |
Foreign | ||
Operating Loss Carryforwards [Line Items] | ||
Operating loss carryforward, tax impact | $ 725 | $ 821 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Unrecognized Tax Benefits (Details) $ in Thousands | 12 Months Ended |
Feb. 29, 2020USD ($) | |
Income Tax Examination [Line Items] | |
Balance at beginning of period | $ 0 |
Gross increases | 2,531 |
Balance at end of period | 2,531 |
Other Long-Term Liabilities | |
Income Tax Examination [Line Items] | |
Gross increases | 2,500 |
Long-Term Liabilities | |
Income Tax Examination [Line Items] | |
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued | 900 |
Settlement with Taxing Authority | |
Income Tax Examination [Line Items] | |
Gross increases | $ 400 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Schedule of Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Feb. 29, 2020 | Feb. 28, 2019 | |
Goodwill [Roll Forward] | ||
Goodwill, beginning balance | $ 323,756 | $ 321,307 |
Acquisitions | 39,419 | 3,063 |
Divestiture | (7,888) | |
Other | 1,413 | |
Currency Translation Adjustment | (475) | (614) |
Goodwill, ending balance | 356,225 | 323,756 |
Galvanizing Services [Member] | ||
Goodwill [Roll Forward] | ||
Goodwill, beginning balance | 116,691 | 117,232 |
Acquisitions | 39,419 | 73 |
Divestiture | 0 | |
Other | 1,413 | |
Currency Translation Adjustment | (475) | (614) |
Goodwill, ending balance | 157,048 | 116,691 |
Energy [Member] | ||
Goodwill [Roll Forward] | ||
Goodwill, beginning balance | 207,065 | 204,075 |
Acquisitions | 0 | 2,990 |
Currency Translation Adjustment | 0 | 0 |
Goodwill, ending balance | $ 199,177 | $ 207,065 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Schedule of Amortizable Intangible Assets (Details) - USD ($) $ in Thousands | Feb. 29, 2020 | Feb. 28, 2019 |
Amortizable intangible assets | ||
Finite-lived intangible assets, gross | $ 189,772 | $ 244,175 |
Less accumulated amortization | (91,298) | (122,199) |
Finite-Lived Intangible Assets, Net | 98,474 | 121,976 |
Customer-Related Intangible Assets [Member] | ||
Amortizable intangible assets | ||
Finite-lived intangible assets, gross | 177,090 | 191,460 |
Noncompete Agreements [Member] | ||
Amortizable intangible assets | ||
Finite-lived intangible assets, gross | 8,659 | 8,546 |
Trademarks [Member] | ||
Amortizable intangible assets | ||
Finite-lived intangible assets, gross | 1,469 | 4,569 |
Technology [Member] | ||
Amortizable intangible assets | ||
Finite-lived intangible assets, gross | 2,554 | 7,400 |
Engineering Drawings [Member] | ||
Amortizable intangible assets | ||
Finite-lived intangible assets, gross | 0 | 24,600 |
Order or Production Backlog [Member] | ||
Amortizable intangible assets | ||
Finite-lived intangible assets, gross | $ 0 | $ 7,600 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Narrative (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 29, 2020 | Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Finite-Lived Intangible Assets [Line Items] | |||||
Document Period End Date | Feb. 29, 2020 | ||||
Gain (Loss) on Disposition of Business | $ (18,600) | $ (18,632) | $ 0 | $ 0 | |
Goodwill, Written off Related to Sale of Business Unit | 7,888 | ||||
Amortization of intangible assets | 17,100 | 17,000 | $ 17,100 | ||
Finite-Lived Intangible Assets, Net | $ 98,474 | 98,474 | 98,474 | $ 121,976 | |
Nuclear Logistics Business [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Gain (Loss) on Disposition of Business | (18,600) | ||||
Impairment of Intangible Assets, Finite-lived | 14,600 | ||||
Finite-Lived Intangible Assets, Net | $ 7,200 | $ 7,200 | $ 7,200 |
Goodwill and Intangible Asset_6
Goodwill and Intangible Assets - Schedule of Future Amortization (Details) - USD ($) $ in Thousands | Feb. 29, 2020 | Feb. 28, 2019 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
2021 | $ 12,497 | |
2022 | 12,462 | |
2023 | 12,086 | |
2024 | 10,151 | |
2025 | 9,307 | |
Thereafter | 41,971 | |
Finite-Lived Intangible Assets, Net | $ 98,474 | $ 121,976 |
Goodwill and Intangible Asset_7
Goodwill and Intangible Assets - Indefinite Lived Intangible Assets (Details) $ in Millions | Feb. 29, 2020USD ($) |
Indefinite-lived Intangible Assets [Line Items] | |
Indefinite-Lived Trade Names | $ 3.4 |
- Earnings Per Share (Details)
- Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Feb. 29, 2020 | Nov. 30, 2019 | Aug. 31, 2019 | May 31, 2019 | Feb. 28, 2019 | Nov. 30, 2018 | Aug. 31, 2018 | May 31, 2018 | Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Numerator: | |||||||||||
Net income | $ (10,643) | $ 22,035 | $ 15,558 | $ 21,284 | $ 8,851 | $ 15,395 | $ 11,244 | $ 15,718 | $ 48,234 | $ 51,208 | $ 45,169 |
Denominator: | |||||||||||
Denominator for basic earnings per common share-weighted average shares (shares) | 26,191,000 | 26,038,000 | 25,970,000 | ||||||||
Effect of dilutive securities: | |||||||||||
Employee and Director stock awards (shares) | 90,000 | 69,000 | 66,000 | ||||||||
Denominator for diluted earnings per common share (shares) | 26,281,000 | 26,107,000 | 26,036,000 | ||||||||
Earnings per share basic and diluted: | |||||||||||
Basic earnings per common share (usd per share) | $ (0.41) | $ 0.84 | $ 0.59 | $ 0.81 | $ 0.34 | $ 0.59 | $ 0.43 | $ 0.60 | $ 1.84 | $ 1.97 | $ 1.74 |
Diluted earnings per common share (usd per share) | $ (0.41) | $ 0.84 | $ 0.59 | $ 0.81 | $ 0.34 | $ 0.59 | $ 0.43 | $ 0.60 | $ 1.84 | $ 1.96 | $ 1.73 |
Earnings Per Share - Narrative
Earnings Per Share - Narrative (Details) shares in Millions | 12 Months Ended |
Feb. 29, 2020shares | |
Earnings Per Share [Abstract] | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0.1 |
Stock Compensation - Non-vested
Stock Compensation - Non-vested Restricted Stock Activity (Details) - Restricted Stock Units (RSUs) [Member] | 12 Months Ended |
Feb. 29, 2020$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |
Non-Vested Balance as of February 28, 2019 | shares | 146,532 |
Granted (shares) | shares | 140,070 |
Vested (shares) | shares | (84,595) |
Forfeited (shares) | shares | (7,061) |
Non-Vested Balance as of February 29, 2020 | shares | 194,946 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |
Non-Vested Balance as of February 28, 2019 | $ / shares | $ 48.93 |
Granted, Weighted Average Grant Date Fair Value (usd per share) | $ / shares | 43.86 |
Vested, Weighted Average Grant Date Fair Value (usd per share) | $ / shares | 54.63 |
Forfeited, Weighted Average Grant Date Fair Value (usd per share) | $ / shares | 45.30 |
Non-Vested Balance as of February 29, 2020 | $ / shares | $ 44.34 |
Stock Compensation Performance
Stock Compensation Performance Share Units (Details) - Performance Shares [Member] - $ / shares | 12 Months Ended | |
Feb. 29, 2020 | Feb. 28, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 46.19 | |
Non-vested shares outstanding, weighted average grant date fair value (usd per share) | $ 47.75 | $ 50.62 |
Non-vested shares outstanding (shares) | 109,936 | 83,125 |
Granted (shares) | 49,000 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period | 0 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeited in Period | (22,189) | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Weighted Average Grant Date Fair Value | $ 0 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Forfeitures, Weighted Average Grant Date Fair Value | $ 55.08 |
Stock Compensation - SARs and O
Stock Compensation - SARs and Option Awards Activity (Details) - Stock Appreciation Rights (SARs) [Member] - $ / shares | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments, Number of Shares [Roll Forward] | |||
Outstanding at beginning of year (shares) | 98,184 | 148,513 | 170,139 |
Exercised (shares) | (2,965) | (47,484) | (19,481) |
Forfeited (shares) | (393) | (2,845) | (2,145) |
Outstanding at end of year (shares) | 94,826 | 98,184 | 148,513 |
Exercisable at end of year (shares) | 94,826 | 98,184 | 148,513 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instrument, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Outstanding at beginning of year, Weighted Average Exercise Price (usd per share) | $ 44.46 | $ 43.29 | $ 42.02 |
Exercised, Weighted Average Exercise Price (usd per share) | 44.58 | 40.84 | 31.94 |
Forfeited, Weighted Average Exercise Price (usd per share) | 43.92 | 43.92 | 45.36 |
Outstanding at end of year, Weighted Average Exercise Price (usd per share) | 44.58 | 44.46 | 43.29 |
Exercisable at end of year, Weighted Average Exercise Price (usd per share) | $ 44.58 | $ 44.46 | $ 43.29 |
Stock Compensation - Schedule B
Stock Compensation - Schedule By Exercise Price Range (Details) - Stock Appreciation Rights (SARs) [Member] - $ / shares | 12 Months Ended | |||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | Feb. 28, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total Options/ SAR’s (shares) | 94,826 | 98,184 | 148,513 | 170,139 |
Weighted Average Exercise Price, Outstanding (usd per share) | $ 44.58 | $ 44.46 | $ 43.29 | $ 42.02 |
Options / SAR’s Currently Exercisable (shares) | 94,826 | 98,184 | 148,513 | |
Weighted Average Exercise Price, Exercisable (usd per share) | $ 44.58 | $ 44.46 | $ 43.29 | |
$39.65 - $44.15 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total Options/ SAR’s (shares) | 48,061 | |||
Average Remaining Life | 1 year | |||
Weighted Average Exercise Price, Outstanding (usd per share) | $ 43.85 | |||
$44.72 - 46.34 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total Options/ SAR’s (shares) | 46,765 | |||
Average Remaining Life | 8 months 23 days | |||
Weighted Average Exercise Price, Outstanding (usd per share) | $ 45.33 | |||
$39.65 - $46.34 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total Options/ SAR’s (shares) | 94,826 | |||
Average Remaining Life | 10 months 17 days | |||
Weighted Average Exercise Price, Outstanding (usd per share) | $ 44.58 | |||
Minimum [Member] | $39.65 - $44.15 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | 39.65 | |||
Minimum [Member] | $44.72 - 46.34 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | 44.72 | |||
Minimum [Member] | $39.65 - $46.34 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | 39.65 | |||
Maximum [Member] | $39.65 - $44.15 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | 44.15 | |||
Maximum [Member] | $44.72 - 46.34 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | 46.34 | |||
Maximum [Member] | $39.65 - $46.34 | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price | $ 46.34 |
Stock Compensation (Details Tex
Stock Compensation (Details Textual) | 12 Months Ended | |||
Feb. 29, 2020USD ($)share_based_compensation_plan$ / sharesshares | Feb. 28, 2019USD ($)$ / sharesshares | Feb. 28, 2018USD ($)$ / sharesshares | Feb. 28, 2017shares | |
Share Based Compensation (Textual) [Abstract] | ||||
Number of share-based compensation plans | share_based_compensation_plan | 2 | |||
Unrecognized compensation cost | $ | $ 9,600,000 | |||
Unrecongized compensation cost, amortization period | 1 year 8 months 23 days | |||
2014 Long Term Incentive Plan [Member] | ||||
Share Based Compensation (Textual) [Abstract] | ||||
Shares authorized (shares) | 1,500,000 | |||
Share for future issuance (shares) | 1,300,000 | |||
Employee Stock Purchase Plan [Member] | ||||
Share Based Compensation (Textual) [Abstract] | ||||
Granted option lower than | 85.00% | |||
Restricted common stock under plan | $ | $ 25,000 | |||
Common stock purchased during period (shares) | 5,000 | |||
Directors Grants [Member] | ||||
Share Based Compensation (Textual) [Abstract] | ||||
Shares of company common stock (shares) | 2,124 | 1,823 | 2,040 | |
Value of common stock grants (usd per share) | $ / shares | $ 47.08 | $ 54.85 | $ 49 | |
Restricted Stock Units (RSUs) [Member] | ||||
Share Based Compensation (Textual) [Abstract] | ||||
Vesting ratably term | 3 years | |||
Total fair value of vested shares | $ | $ 3,800,000 | $ 2,100,000 | $ 3,000,000 | |
Non-vested shares outstanding (shares) | 194,946 | 146,532 | 109,777 | |
Non-vested shares outstanding, weighted average grant date fair value (usd per share) | $ / shares | $ 44.34 | $ 48.93 | $ 56.62 | |
Performance Shares [Member] | ||||
Share Based Compensation (Textual) [Abstract] | ||||
Vesting ratably term | 3 years | |||
Non-vested shares outstanding (shares) | 109,936 | 83,125 | ||
Non-vested shares outstanding, weighted average grant date fair value (usd per share) | $ / shares | $ 47.75 | $ 50.62 | ||
Stock Appreciation Rights (SARs) [Member] | ||||
Share Based Compensation (Textual) [Abstract] | ||||
Share for future issuance (shares) | 100,000 | |||
Share Based Compensation Arrangement by Share Based Payment Award Options and Other than Option Outstanding Number | 94,826 | 98,184 | 148,513 | 170,139 |
Vesting ratably term | 3 years | |||
Term for the contract | 7 years | |||
Outstanding average contractual term | 10 months 17 days | |||
Minimum [Member] | Performance Shares [Member] | ||||
Share Based Compensation (Textual) [Abstract] | ||||
Vesting percentage of award | 0.00% | |||
Maximum [Member] | Performance Shares [Member] | ||||
Share Based Compensation (Textual) [Abstract] | ||||
Vesting percentage of award | 250.00% |
Stock Compensation - Share-base
Stock Compensation - Share-based Compensation and Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Share based compensation expense and related income tax benefits | |||
Compensation Expense | $ 6,290 | $ 4,659 | $ 6,121 |
Income tax benefits | 1,321 | 978 | 2,122 |
Excess Tax Benefit excluded from cash flow | $ (100) | $ (300) | $ 200 |
Debt - Schedule of Long-term D
Debt - Schedule of Long-term Debt (Details) - USD ($) $ in Thousands | Feb. 29, 2020 | Feb. 28, 2019 |
Debt Instrument [Line Items] | ||
Total | $ 202,878 | $ 240,745 |
Debt, Current | 125,000 | 0 |
Total | 203,000 | 241,000 |
Unamortized Debt Issuance Expense | (122) | (255) |
Long-term debt, exculding current maturities | 77,878 | 240,745 |
Senior Notes [Member] | Line of Credit [Member] | ||
Debt Instrument [Line Items] | ||
Total | 78,000 | 116,000 |
Senior Notes [Member] | Unsecured Senior Notes Due January 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Total | $ 125,000 | $ 125,000 |
Debt - Narrative (Details)
Debt - Narrative (Details) | Mar. 27, 2013USD ($) | Feb. 29, 2020USD ($) | Feb. 28, 2019USD ($) | Feb. 28, 2018USD ($) | Jan. 21, 2011USD ($) |
Debt Instrument [Line Items] | |||||
Long-term Debt | $ 202,878,000 | $ 240,745,000 | |||
Repayments of long term debt | 0 | 14,286,000 | $ 63,504,000 | ||
Senior Notes [Member] | Line of Credit [Member] | |||||
Debt Instrument [Line Items] | |||||
Accordion feature | $ 75,000,000 | ||||
Long-term Debt | 78,000,000 | 116,000,000 | |||
Covenant, maximum leverage ratio | 3.25 | ||||
Covenant, minimum fixed charge coverage ratio | 3 | ||||
Variable rate description | Eurodollar | ||||
Letters of credit outstanding | 14,400,000 | ||||
Remaining borrowing capacity on line of credit | 357,600,000 | ||||
Senior Notes [Member] | Unsecured Senior Notes Due January 2021 [Member] | |||||
Debt Instrument [Line Items] | |||||
Long-term Debt | 125,000,000 | $ 125,000,000 | |||
Covenant, net worth minimum | $ 116,900,000 | ||||
Covenant, minimum retention of future income | 50.00% | ||||
Covenant, minimum fixed charge coverage ratio | 2 | ||||
Debt instrument, face amount | $ 125,000,000 | ||||
Debt instrument, stated percentage | 5.42% | ||||
Covenant, minimum ratio of indebtedness to EBIDTA | 3.25 | ||||
Covenant, maximum percentage of priority indebtedness | 10.00% | ||||
Bank Of America And Other Lenders [Member] | Letter of Credit [Member] | |||||
Debt Instrument [Line Items] | |||||
Accordion feature | $ 150,000,000 | ||||
Bank Of America And Other Lenders [Member] | Line of Credit [Member] | |||||
Debt Instrument [Line Items] | |||||
Maximum borrowing capacity | 450,000,000 | ||||
Covenant, maximum capital lease obligations | 20,000,000 | ||||
Covenant, maximum investments in foreign subsidiaries | 50,000,000 | ||||
Repayments of long term debt | 75,000,000 | ||||
Revolving Credit Facility [Member] | Bank Of America And Other Lenders [Member] | Line of Credit [Member] | |||||
Debt Instrument [Line Items] | |||||
Maximum borrowing capacity | 225,000,000 | ||||
Accordion feature | $ 30,000,000 | ||||
Debt instrument, interest rate, effective percentage | 4.06% | ||||
Revolving Credit Facility [Member] | Bank Of America And Other Lenders [Member] | Line of Credit [Member] | Eurodollar [Member] | |||||
Debt Instrument [Line Items] | |||||
Basis spread | 1.00% | ||||
Revolving Credit Facility [Member] | Bank Of America And Other Lenders [Member] | Line of Credit [Member] | Eurodollar [Member] | Minimum [Member] | |||||
Debt Instrument [Line Items] | |||||
Basis spread | 0.875% | ||||
Commitment fees | 0.175% | ||||
Revolving Credit Facility [Member] | Bank Of America And Other Lenders [Member] | Line of Credit [Member] | Eurodollar [Member] | Maximum [Member] | |||||
Debt Instrument [Line Items] | |||||
Basis spread | 1.875% | ||||
Commitment fees | 0.30% | ||||
Revolving Credit Facility [Member] | Bank Of America And Other Lenders [Member] | Line of Credit [Member] | Base Rate [Member] | |||||
Debt Instrument [Line Items] | |||||
Basis spread | 0.50% | ||||
Line of Credit [Member] | Bank Of America And Other Lenders [Member] | Line of Credit [Member] | |||||
Debt Instrument [Line Items] | |||||
Maximum borrowing capacity | $ 75,000,000 | ||||
Accordion feature | $ 75,000,000 |
Debt - Schedule of Long-term_2
Debt - Schedule of Long-term Debt Maturities (Details) - USD ($) $ in Thousands | Feb. 29, 2020 | Feb. 28, 2019 |
Debt Disclosure [Abstract] | ||
2021 | $ 125,000 | |
2022 | 0 | |
2023 | 78,000 | |
2024 | 0 | |
2025 | 0 | |
Thereafter | 0 | |
Total | $ 203,000 | $ 241,000 |
Operating segments (Details)
Operating segments (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Feb. 29, 2020 | Nov. 30, 2019 | Aug. 31, 2019 | May 31, 2019 | Feb. 28, 2019 | Nov. 30, 2018 | Aug. 31, 2018 | May 31, 2018 | Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Operations and assets by segment | |||||||||||
Revenues | $ 245,365 | $ 291,139 | $ 236,190 | $ 289,123 | $ 202,548 | $ 239,516 | $ 222,787 | $ 262,236 | $ 1,061,817 | $ 927,087 | $ 810,430 |
Operating Income (Loss) | 79,343 | 76,956 | 48,248 | ||||||||
Gain (Loss) on Disposition of Business | (18,600) | (18,632) | 0 | 0 | |||||||
Depreciation | 50,194 | 50,245 | 50,526 | ||||||||
Payments to acquire property, plant, equipment and acquire businesses, net of cash | 95,672 | 33,616 | 74,397 | ||||||||
Assets | 1,073,831 | 1,088,570 | 1,073,831 | 1,088,570 | |||||||
Property, Plant and Equipment, Net | 213,104 | 210,227 | 213,104 | 210,227 | |||||||
Energy [Member] | |||||||||||
Operations and assets by segment | |||||||||||
Revenues | 498,989 | 440,264 | 389,397 | ||||||||
Operating Income (Loss) | 107,926 | 83,591 | 84,332 | ||||||||
Depreciation | 30,042 | 29,124 | 28,617 | ||||||||
Payments to acquire property, plant, equipment and acquire businesses, net of cash | 82,972 | 16,046 | 39,474 | ||||||||
Assets | 504,632 | 440,090 | 504,632 | 440,090 | |||||||
Galvanizing Services [Member] | |||||||||||
Operations and assets by segment | |||||||||||
Revenues | 562,828 | 486,823 | 421,033 | ||||||||
Operating Income (Loss) | 32,845 | 31,332 | (1,766) | ||||||||
Depreciation | 18,414 | 19,405 | 19,996 | ||||||||
Payments to acquire property, plant, equipment and acquire businesses, net of cash | 9,588 | 14,608 | 32,903 | ||||||||
Assets | 548,032 | 630,134 | 548,032 | 630,134 | |||||||
Corporate, Non-Segment [Member] | |||||||||||
Operations and assets by segment | |||||||||||
Operating Income (Loss) | (42,796) | (37,967) | (34,318) | ||||||||
Gain (Loss) on Disposition of Business | (18,632) | 0 | 0 | ||||||||
Depreciation | 1,738 | 1,716 | 1,913 | ||||||||
Payments to acquire property, plant, equipment and acquire businesses, net of cash | 3,112 | 2,962 | 2,020 | ||||||||
Assets | 21,167 | 18,346 | 21,167 | 18,346 | |||||||
UNITED STATES | |||||||||||
Operations and assets by segment | |||||||||||
Revenues | 850,656 | 785,194 | 653,150 | ||||||||
Property, Plant and Equipment, Net | 190,365 | 189,281 | 190,365 | 189,281 | |||||||
Non-US [Member] | |||||||||||
Operations and assets by segment | |||||||||||
Property, Plant and Equipment, Net | 6,354 | 3,985 | 6,354 | 3,985 | |||||||
CANADA | |||||||||||
Operations and assets by segment | |||||||||||
Property, Plant and Equipment, Net | $ 16,385 | $ 16,961 | 16,385 | 16,961 | |||||||
Other Countries [Member] | |||||||||||
Operations and assets by segment | |||||||||||
Revenues | $ 211,161 | $ 141,893 | $ 157,280 |
Leases - Lease Cost (Details)
Leases - Lease Cost (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Leases [Abstract] | |||
Operating lease, cost | $ 18.4 | $ 15.6 | $ 13.9 |
Leases - Lease Maturity (Detail
Leases - Lease Maturity (Details) $ in Thousands | Feb. 29, 2020USD ($) |
Leases [Abstract] | |
2020 | $ 8,311 |
2021 | 7,990 |
2022 | 7,505 |
2023 | 6,687 |
2024 | 5,755 |
Thereafter | 17,494 |
Total lease payments | 53,742 |
Less imputed interest | (9,301) |
Total | $ 44,441 |
Leases - Lease Details (Details
Leases - Lease Details (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Feb. 29, 2020 | Feb. 28, 2019 | |
Lease, Cost [Abstract] | ||
Operating cash flows from operating leases included in lease liabilities | $ 8,918 | $ 8,454 |
ROU assets obtained in exchange for new operating lease liabilities | $ 7,867 | $ 10,948 |
Weighted-average remaining lease term - operating leases | 7 years 11 months 8 days | 9 years 2 months 23 days |
Weighted-average discount rate - operating leases | 4.89% | 5.13% |
Commitments and Contingencies_2
Commitments and Contingencies (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Feb. 29, 2020 | Feb. 28, 2019 | |
Long-term Purchase Commitment [Line Items] | ||
Product Warranty Accrual, Current | $ 3,702 | $ 1,751 |
Forward Contracts [Member] | ||
Long-term Purchase Commitment [Line Items] | ||
Long-term Purchase Commitment, Amount | $ 43,200 |
Commitments and Contingencies -
Commitments and Contingencies - Product Warranty Accrual (Details) - USD ($) $ in Thousands | Feb. 29, 2020 | Feb. 28, 2019 |
Loss Contingencies [Line Items] | ||
Accrued warranty | $ 3,702 | $ 1,751 |
Energy [Member] | ||
Loss Contingencies [Line Items] | ||
Letters of credit outstanding | $ 30,500 |
Acquisitions - Purchase Price A
Acquisitions - Purchase Price Allocation (Details) - USD ($) $ in Thousands | Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 |
Purchase Price Allocation | |||
Goodwill | $ 356,225 | $ 323,756 | $ 321,307 |
2020 Acquisitions [Member] | |||
Purchase Price Allocation | |||
Accounts receivable | 4,591 | ||
Inventories | 1,830 | ||
Prepaid expenses and other | 22 | ||
Property, plant and equipment | 5,336 | ||
Intangibles | 15,512 | ||
Goodwill | 39,419 | ||
Accounts payable and other accrued liabilities | (1,575) | ||
Contingent consideration | (2,000) | ||
Deferred income taxes | (2,507) | ||
Total purchase price | $ 60,628 |
Acquisitions Acquisitions - Int
Acquisitions Acquisitions - Intangibles (Details) - 2020 Acquisitions [Member] $ in Thousands | 12 Months Ended |
Feb. 29, 2020USD ($) | |
Business Acquisition [Line Items] | |
Fair Value | $ 15,512 |
Customer relationships | |
Business Acquisition [Line Items] | |
Fair Value | $ 15,360 |
Useful Life | 15 years |
Non-compete agreements | |
Business Acquisition [Line Items] | |
Fair Value | $ 152 |
Useful Life | 3 years |
Acquisitions - Pro Forma Inform
Acquisitions - Pro Forma Information (Details) - 2020 Acquisitions [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Feb. 29, 2020 | Feb. 28, 2019 | |
Business Acquisition [Line Items] | ||
Revenues | $ 1,072,633 | $ 966,007 |
Net Income | $ 49,702 | $ 57,693 |
Acquisitions (Details Textual)
Acquisitions (Details Textual) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Feb. 29, 2020 | Feb. 29, 2020 | Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | Apr. 30, 2019 | |
Business Acquisition [Line Items] | ||||||
Proceeds from Divestiture of Businesses, Net of Cash Divested | $ 23,584 | $ 0 | $ 0 | |||
Gain (Loss) on Disposition of Business | $ (18,600) | (18,632) | 0 | 0 | ||
Payments to Acquire Businesses, Net of Cash Acquired | 60,628 | 8,000 | 44,785 | |||
Acquisition related costs | 800 | $ 200 | $ 300 | |||
K2 [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Business Combination, Maximum Contingent Consideration, Liability | $ 2,000 | |||||
2020 Acquisitions [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | 27,900 | |||||
Business Combination, Pro Forma Information, Earnings or Loss of Acquiree since Acquisition Date, Actual | $ 2,600 | |||||
Nuclear Logistics Business [Member] | ||||||
Business Acquisition [Line Items] | ||||||
Proceeds from Divestiture of Businesses, Net of Cash Divested | $ 23,600 | |||||
Gain (Loss) on Disposition of Business | $ (18,600) |
Quarterly Financial Informati_3
Quarterly Financial Information, Unaudited (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Feb. 29, 2020 | Nov. 30, 2019 | Aug. 31, 2019 | May 31, 2019 | Feb. 28, 2019 | Nov. 30, 2018 | Aug. 31, 2018 | May 31, 2018 | Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Revenues | $ 245,365 | $ 291,139 | $ 236,190 | $ 289,123 | $ 202,548 | $ 239,516 | $ 222,787 | $ 262,236 | $ 1,061,817 | $ 927,087 | $ 810,430 |
Gross profit | 51,104 | 67,331 | 52,686 | 66,107 | 43,257 | 49,755 | 46,904 | 58,705 | 237,228 | 198,621 | 160,309 |
Net income | $ (10,643) | $ 22,035 | $ 15,558 | $ 21,284 | $ 8,851 | $ 15,395 | $ 11,244 | $ 15,718 | $ 48,234 | $ 51,208 | $ 45,169 |
Basic earnings per common share (usd per share) | $ (0.41) | $ 0.84 | $ 0.59 | $ 0.81 | $ 0.34 | $ 0.59 | $ 0.43 | $ 0.60 | $ 1.84 | $ 1.97 | $ 1.74 |
Diluted earnings per common share (usd per share) | $ (0.41) | $ 0.84 | $ 0.59 | $ 0.81 | $ 0.34 | $ 0.59 | $ 0.43 | $ 0.60 | $ 1.84 | $ 1.96 | $ 1.73 |
Loss on disposal of business | $ (18,600) | $ (18,632) | $ 0 | $ 0 | |||||||
Gain (Loss) on Disposition of Assets | $ 9,200 | $ (9,157) | $ (810) | $ (10,834) |
Schedule II _ Valuation and Q_2
Schedule II : Valuation and Qualiying Accounts and Reserves (Details) - SEC Schedule, 12-09, Allowance, Credit Loss [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Feb. 29, 2020 | Feb. 28, 2019 | Feb. 28, 2018 | |
Allowance for Doubtful Accounts | |||
Balance at Beginning of year | $ 2,267 | $ 569 | $ 347 |
Valuation Allowances and Reserves, Adjustments | 2,734 | 2,153 | 3,290 |
SEC Schedule, 12-09, Valuation Allowances and Reserves, Deduction | (129) | (451) | (3,084) |
SEC Schedule, 12-09, Valuation Allowances and Reserves, Period Increase (Decrease) | (27) | (4) | 0 |
Valuation Allowances and Reserves, Adjustments | 106 | 0 | 16 |
Balance at end of year | $ 4,951 | $ 2,267 | $ 569 |