Cover Page
Cover Page - shares | 3 Months Ended | |
Mar. 31, 2020 | May 04, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2020 | |
Document Transition Report | false | |
Entity File Number | 0-22462 | |
Entity Registrant Name | GIBRALTAR INDUSTRIES, INC. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 16-1445150 | |
Entity Address, Address Line One | 3556 Lake Shore Road | |
Entity Address, Address Line Two | P.O. Box 2028 | |
Entity Address, City or Town | Buffalo | |
Entity Address, State or Province | NY | |
Entity Address, Postal Zip Code | 14219-0228 | |
City Area Code | 716 | |
Local Phone Number | 826-6500 | |
Title of 12(b) Security | Common Stock, $0.01 par value per share | |
Trading Symbol | ROCK | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 32,408,882 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q1 | |
Entity Central Index Key | 0000912562 | |
Current Fiscal Year End Date | --12-31 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Income Statement [Abstract] | ||
Net Sales | $ 249,439 | $ 227,417 |
Cost of sales | 193,052 | 183,517 |
Gross profit | 56,387 | 43,900 |
Selling, general, and administrative expense | 41,197 | 33,334 |
Income from operations | 15,190 | 10,566 |
Interest (income) expense | (47) | 2,061 |
Other expense | 192 | 589 |
Income before taxes | 15,045 | 7,916 |
Provision for income taxes | 2,986 | 1,571 |
Net income | $ 12,059 | $ 6,345 |
Net earnings per share: | ||
Basic (in USD per share) | $ 0.37 | $ 0.20 |
Diluted (in USD per share) | $ 0.37 | $ 0.19 |
Weighted average shares outstanding: | ||
Basic (in shares) | 32,586 | 32,279 |
Diluted (in shares) | 32,883 | 32,617 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Other Comprehensive Income (Loss), Net of Tax [Abstract] | ||
Net income | $ 12,059 | $ 6,345 |
Other comprehensive (loss) income: | ||
Foreign currency translation adjustment | (5,898) | 842 |
Minimum pension and post retirement benefit plan adjustments | 18 | 12 |
Other comprehensive (loss) income | (5,880) | 854 |
Total comprehensive income | $ 6,179 | $ 7,199 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 85,966 | $ 191,363 |
Accounts receivable, net of allowance of $5,781 and $6,330 | 172,452 | 147,515 |
Inventories | 88,585 | 78,476 |
Prepaid expenses and other current assets | 16,149 | 19,748 |
Total current assets | 363,152 | 437,102 |
Property, plant, and equipment, net | 95,882 | 95,409 |
Operating lease assets | 33,991 | 27,662 |
Goodwill | 382,045 | 329,705 |
Acquired intangibles | 107,528 | 92,592 |
Other assets | 1,924 | 1,980 |
Total assets | 984,522 | 984,450 |
Current liabilities: | ||
Accounts payable | 102,816 | 83,136 |
Accrued expenses | 84,140 | 98,463 |
Billings in excess of cost | 34,567 | 47,598 |
Total current liabilities | 221,523 | 229,197 |
Deferred income taxes | 39,999 | 40,334 |
Non-current operating lease liabilities | 24,968 | 19,669 |
Other non-current liabilities | 20,675 | 21,286 |
Shareholders’ equity: | ||
Preferred stock, $0.01 par value; authorized 10,000 shares; none outstanding | 0 | 0 |
Common stock, $0.01 par value; authorized 50,000 shares; 33,388 shares and 33,192 shares issued and outstanding in 2020 and 2019 | 334 | 332 |
Additional paid-in capital | 297,269 | 295,582 |
Retained earnings | 417,436 | 405,668 |
Accumulated other comprehensive loss | (11,271) | (5,391) |
Cost of 986 and 906 common shares held in treasury in 2020 and 2019 | (26,411) | (22,227) |
Total shareholders’ equity | 677,357 | 673,964 |
Total liabilities and shareholders' equity | $ 984,522 | $ 984,450 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Accounts receivable, allowance | $ 5,781 | $ 6,330 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, shares issued (in shares) | 33,388,000 | 33,192,000 |
Treasury stock, shares (in shares) | 986,000 | 906,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Cash Flows from Operating Activities | ||
Net income | $ 12,059 | $ 6,345 |
Adjustments to reconcile net income to net cash used in operating activities: | ||
Depreciation and amortization | 5,338 | 4,941 |
Stock compensation expense | 1,665 | 2,371 |
(Benefit of) provision for deferred income taxes | (216) | 393 |
Other, net | 411 | 2,456 |
Changes in operating assets and liabilities, excluding the effects of acquisitions: | ||
Accounts receivable | (7,059) | (27,623) |
Inventories | (6,004) | 35 |
Other current assets and other assets | 6,144 | 165 |
Accounts payable | (17,789) | 5,332 |
Accrued expenses and other non-current liabilities | (37,561) | (31,903) |
Net cash used in operating activities | (43,012) | (37,488) |
Cash Flows from Investing Activities | ||
Acquisitions, net of cash acquired | (54,539) | (264) |
Net proceeds from sale of property and equipment | 52 | 22 |
Purchases of property, plant, and equipment | (2,822) | (3,132) |
Net cash used in investing activities | (57,309) | (3,374) |
Cash Flows from Financing Activities | ||
Long-term debt payments | 0 | (210,000) |
Payment of debt issuance costs | 0 | (1,235) |
Purchase of treasury stock at market prices | (4,184) | (2,151) |
Net proceeds from issuance of common stock | 24 | 139 |
Net cash used in financing activities | (4,160) | (213,247) |
Effect of exchange rate changes on cash | (916) | 612 |
Net decrease in cash and cash equivalents | (105,397) | (253,497) |
Cash and cash equivalents at beginning of year | 191,363 | 297,006 |
Cash and cash equivalents at end of period | $ 85,966 | $ 43,509 |
Consolidated Statement of Share
Consolidated Statement of Shareholders' Equity - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Loss | Treasury Stock |
Balance, shares at Dec. 31, 2018 | 32,887 | 796 | ||||
Balance, value at Dec. 31, 2018 | $ 596,693 | $ 329 | $ 282,525 | $ 338,995 | $ (7,234) | $ (17,922) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 6,345 | 6,345 | ||||
Foreign currency translation adjustment | 842 | 842 | ||||
Minimum pension and post retirement benefit plan adjustments, net of taxes of $7 | 12 | 12 | ||||
Stock compensation expense | 2,371 | 2,371 | ||||
Stock options exercised, shares | 12 | |||||
Stock options exercised | 139 | 139 | ||||
Net settlement of restricted stock units, shares | 127 | 59 | ||||
Net settlement of restricted stock units | (2,151) | $ 1 | (1) | $ (2,151) | ||
Balance, shares at Mar. 31, 2019 | 33,026 | 855 | ||||
Balance, value at Mar. 31, 2019 | 605,833 | $ 330 | 285,034 | 346,922 | (6,380) | $ (20,073) |
Balance, shares at Dec. 31, 2019 | 33,192 | 906 | ||||
Balance, value at Dec. 31, 2019 | 673,964 | $ 332 | 295,582 | 405,668 | (5,391) | $ (22,227) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income | 12,059 | 12,059 | ||||
Foreign currency translation adjustment | (5,898) | (5,898) | ||||
Minimum pension and post retirement benefit plan adjustments, net of taxes of $7 | 18 | 18 | ||||
Stock compensation expense | 1,665 | 1,665 | ||||
Stock options exercised, shares | 3 | |||||
Stock options exercised | 24 | 24 | ||||
Net settlement of restricted stock units, shares | 193 | 80 | ||||
Net settlement of restricted stock units | (4,184) | $ 2 | (2) | $ (4,184) | ||
Balance, shares at Mar. 31, 2020 | 33,388 | 986 | ||||
Balance, value at Mar. 31, 2020 | $ 677,357 | $ 334 | $ 297,269 | $ 417,436 | $ (11,271) | $ (26,411) |
Consolidated Statement of Sha_2
Consolidated Statement of Shareholders' Equity (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Statement of Stockholders' Equity [Abstract] | ||
Adjustment to pension benefit liability, taxes | $ 7 | $ 4 |
Consolidated Financial Statemen
Consolidated Financial Statements | 3 Months Ended |
Mar. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
CONSOLIDATED FINANCIAL STATEMENTS | CONSOLIDATED FINANCIAL STATEMENTS The accompanying unaudited consolidated financial statements have been prepared by management in accordance with U.S. generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. In the opinion of management, all adjustments consisting of normal recurring adjustments considered necessary for the fair presentation of results for the interim period have been included. The Company's operations are seasonal; for this and other reasons, such as the impact of the COVID-19 pandemic, financial results for any interim period are not necessarily indicative of the results expected for the full year. The accompanying unaudited consolidated financial statements should be read in conjunction with the financial statements and notes thereto included in our annual Form 10-K for the year ended December 31, 2019 . The balance sheet at December 31, 2019 has been derived from the audited financial statements at that date, but does not include all of the information and footnotes required by U.S. generally accepted accounting principles for complete financial statements. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements (Notes) | 3 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
RECENT ACCOUNTING PRONOUNCEMENTS | RECENT ACCOUNTING PRONOUNCEMENTS Recent Accounting Pronouncements Adopted Standard Description Financial Statement Effect or Other Significant Matters ASU No. 2016-13 Financial Instruments - Credit Losses (Topic 326) The objective of this standard is to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit, including trade receivables, held by an entity at each reporting date. The amendments in this update replace the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The standard is effective for the Company as of January 1, 2020. The Company adopted the amendments in this update using the modified retrospective approach through a cumulative-effect adjustment to retained earnings of $291,000, net of $96,000 of income taxes, on the opening consolidated balance sheet as of January 1, 2020. The Company's financial assets that are in the scope of the standard are contract assets and accounts receivables which are short-term in nature. Additionally, the Company has identified and implemented appropriate changes to the Company's business processes, policies and internal controls to support reporting and disclosures. Date of adoption: Q1 2020 ASU 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 The amendments in this update require an entity to apply the same requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract as the entity would for implementation costs incurred to develop or obtain internal-use software. The accounting for the service element is not affected by the amendments in this update. The standard is effective for the Company as of January 1, 2020. The Company adopted the amendments in this update using the prospective method of adoption, and the adoption did not have a material impact to the Company's financial statements. Date of adoption: Q1 2020 Recent Accounting Pronouncements Not Yet Adopted Standard Description Financial Statement Effect or Other Significant Matters ASU No. 2019-12 Income Taxes (Topic 740), Simplifying the Accounting for Income Taxes The amendments in this update simplify the accounting for income taxes by removing certain exceptions to the general principles in Topic 740 and improve consistent application by clarifying and amending existing guidance. The amendments of this standard are effective for fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. Early adoption is permitted, including adoption in any interim period for which financial statements have not been issued, with the amendments to be applied on a respective, modified retrospective or prospective basis, depending on the specific amendment. The Company is currently evaluating the requirements of this standard. The standard is not expected to have a material impact on the Company's financial statements. Date of adoption: Q1 2021 |
Accounts Receivable and Allowan
Accounts Receivable and Allowance for Doubtful Accounts | 3 Months Ended |
Mar. 31, 2020 | |
Receivables [Abstract] | |
ACCOUNTS RECEIVABLE AND ALLOWANCE FOR DOUBTFUL ACCOUNTS | ACCOUNTS RECEIVABLE AND ALLOWANCE FOR DOUBTFUL ACCOUNTS Accounts receivable consists of the following (in thousands): March 31, 2020 December 31, 2019 Trade accounts receivable $ 156,399 $ 133,238 Costs in excess of billings 21,834 20,607 Total accounts receivables 178,233 153,845 Less allowance for doubtful accounts and contract assets (5,781 ) (6,330 ) Accounts receivable $ 172,452 $ 147,515 Refer to Note 4 "Revenue" concerning the Company's costs in excess of billings. The Company is exposed to credit losses through sales of products and services. The Company’s expected loss allowance methodology for accounts receivable and costs in excess of billings (collectively "accounts receivable") is developed using historical collection experience, current and future economic and market conditions, and a review of the current status of customers' accounts receivables. Due to the short-term nature of such accounts receivable, the estimated amount of accounts receivable that may not be collected is based on aging of the accounts receivable balances. Additionally, specific allowance amounts are established to record the appropriate provision for customers that no longer share risk characteristics similar with other accounts receivable. The Company’s monitoring activities include timely account reconciliation, dispute resolution, payment confirmation, consideration of customers' financial condition and macroeconomic conditions. Balances are written off when determined to be uncollectible. The Company considered the current and expected future economic and market conditions surrounding the coronavirus ("COVID-19") pandemic and determined that the estimate of credit losses was not significantly impacted as of March 31, 2020. Estimates are used to determine the allowance. It is based on assessment of anticipated payment and all other historical, current and future information that is reasonably available. The following table provides a roll-forward of the allowance for credit losses that is deducted from the amortized cost basis of accounts receivable to present the net amount expected to be collected. Beginning balance as of January 1, 2020 $ 6,330 Adoption of ASU 2016-13, cumulative-effect adjustment to retained earnings 387 Bad debt expense 69 Write-off charged against the allowance and other adjustments (1,005 ) Ending balance as of March 31, 2020 $ 5,781 |
Revenue Revenue
Revenue Revenue | 3 Months Ended |
Mar. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue | REVENUE Sales includes revenue from contracts with customers for designing, engineering, manufacturing and installation of solar racking systems and greenhouse structures; extraction systems; roof and foundation ventilation products; centralized mail systems and electronic package solutions; rain dispersion products and roofing accessories; expanded and perforated metal; perimeter security solutions; expansion joints and structural bearings. Refer to Note 14 "Segment Information" for additional information related to revenue recognized by timing of transfer of control by reportable segment. As of March 31, 2020 , the Company's remaining performance obligations are part of contracts that have an original expected duration of one year or less. Contract assets consist of costs in excess of billings. Contract liabilities consist of billings in excess of cost and unearned revenue. The following table presents the beginning and ending balances of costs in excess of billings, billings in excess of cost and unearned revenue as of March 31, 2020 and December 31, 2019, respectively, and revenue recognized during the three months ended March 31, 2020 and 2019, respectively, that was in billings in excess of cost and unearned revenue at the beginning of the period (in thousands): March 31, 2020 December 31, 2019 Costs in excess of billings $ 21,834 $ 20,607 Billings in excess of cost (34,567 ) (47,598 ) Unearned revenue (19,388 ) (17,311 ) Three Months Ended March 31, 2020 Three Months Ended March 31, 2019 Revenue recognized in the period from: Amounts included in billings in excess of cost at the beginning of the period $ 29,221 $ 9,697 Amounts included in unearned revenue at the beginning of the period $ 9,619 $ 4,661 |
Inventories
Inventories | 3 Months Ended |
Mar. 31, 2020 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | INVENTORIES Inventories consist of the following (in thousands): March 31, 2020 December 31, 2019 Raw material $ 50,601 $ 45,700 Work-in-process 9,471 5,988 Finished goods 28,513 26,788 Total inventories $ 88,585 $ 78,476 |
Acquisitions
Acquisitions | 3 Months Ended |
Mar. 31, 2020 | |
Business Combinations [Abstract] | |
ACQUISITIONS | ACQUISITIONS On February 13, 2020, the Company purchased substantially all of the assets of Delta Separations, LLC, a California limited liability company, and Teaching Tech, LLC, a California limited liability company (collectively described as "Delta Separations"). Delta Separations was a privately-held engineering company primarily engaged in the assembly and sale of centrifugal ethanol-based extraction systems. The results of Delta Separations have been included in the Company's consolidated financial results since the date of acquisition within the Company's Renewable Energy and Conservation segment. The preliminary purchase consideration for the acquisition of Delta Separations was $47.2 million , which includes a working capital adjustment and certain other adjustments provided for in the asset purchase agreement expected to be remitted in the next three to six months, at which time a final purchase price will be determined. The purchase price for the acquisition of the assets was preliminarily allocated to the assets acquired and liabilities assumed based upon their respective fair values. The excess consideration was recorded as goodwill and approximated $39.3 million , all of which is deductible for tax purposes. Goodwill represents future economic benefits arising from other assets acquired that could not be individually identified including workforce additions, growth opportunities, and presence in the extraction processing markets. The preliminary allocation of the purchase consideration to the fair value of the assets acquired and liabilities assumed is as follows as of the date of the acquisition (in thousands): Working capital $ 3,183 Property, plant and equipment 337 Acquired intangible assets 7,600 Other assets 923 Other liabilities (4,189 ) Goodwill 39,335 Fair value of purchase consideration $ 47,189 The intangible assets acquired in this acquisition consisted of the following (in thousands): Fair Value Weighted-Average Amortization Period Trademarks $ 2,000 5 years Technology 2,200 10 years Customer relationships 3,400 5 years Total $ 7,600 On January 15, 2020, the Company purchased substantially all of the assets of Thermo Energy Systems, Inc., a Canadian-based, privately held provider of commercial greenhouse solutions in North America supporting the plant based organic food market. The results of Thermo Energy Systems have been included in the Company's consolidated financial results since the date of acquisition within the Company's Renewable Energy and Conservation segment. The preliminary purchase consideration for the acquisition of Thermo Energy Systems was $7.3 million . The purchase price for the acquisition was preliminarily allocated to the assets acquired and liabilities assumed based upon their respective estimated fair values and the remaining consideration was recorded to goodwill. Goodwill of approximately $13.3 million was recorded, all of which is deductible for tax purposes. Goodwill represents future economic benefits arising from other assets acquired that could not be individually identified including workforce additions, growth opportunities, and increased presence in the commercial greenhouse markets. The preliminary allocation of the purchase consideration to the estimated fair value of the assets acquired and liabilities assumed is as follows as of the date of the acquisition (in thousands): Cash $ 58 Working capital (16,464 ) Property, plant and equipment 1,029 Acquired intangible assets 9,386 Other assets 1,285 Other liabilities (1,285 ) Goodwill 13,324 Fair value of purchase consideration $ 7,333 The intangible assets acquired in this acquisition consisted of the following (in thousands): Fair Value Weighted-Average Amortization Period Trademarks $ 635 3 years Technology 2,541 15 years Customer relationships 6,210 10 years Total $ 9,386 On August 30, 2019, the Company acquired all of the outstanding membership interests of Apeks LLC ("Apeks"), a designer and manufacturer of botanical oil extraction systems and equipment. The results of Apeks have been included in the Company's consolidated financial results since the date of acquisition within the Company's Renewable Energy and Conservation segment. The aggregate purchase consideration for the acquisition of Apeks was $12.6 million , which includes a working capital adjustment and certain other adjustments provided for in the stock purchase agreement. The purchase price for the acquisition was preliminarily allocated to the assets acquired and liabilities assumed based upon their respective fair values. The excess consideration was recorded as goodwill and approximated $5.9 million , all of which is deductible for tax purposes. Goodwill represents future economic benefits arising from other assets acquired that could not be individually identified including workforce additions, growth opportunities, and presence in the extraction processing markets. The preliminary allocation of the purchase consideration to the fair value of the assets acquired and liabilities assumed is as follows as of the date of the acquisition (in thousands): Cash $ 4,154 Working capital (1,412 ) Property, plant and equipment 1,059 Acquired intangible assets 3,400 Other assets 508 Other liabilities (1,081 ) Goodwill 5,933 Fair value of purchase consideration $ 12,561 The intangible assets acquired in this acquisition consisted of the following (in thousands): Fair Value Weighted-Average Amortization Period Trademarks $ 1,900 5 years Technology 900 7 years Customer relationships 600 6 years Total $ 3,400 In determining the allocation of the purchase price to the assets acquired and the liabilities assumed, the Company uses all available information to make fair value determinations using Level 3 unobservable inputs in which little or no market data exists, and therefore, engages independent valuation specialists to assist in the fair value determination of the acquired long-lived assets. The acquisitions of Delta Separations, Thermo Energy Systems and Apeks were funded from available cash on hand. The Company incurred certain acquisition-related costs composed of legal and consulting fees. These costs were recognized as a component of selling, general, and administrative expenses in the consolidated statement of operations. During the three months ended March 31, 2020 , the Company incurred $1.3 million of acquisition-related costs. The Company did no t incur any acquisition-related costs during the three months ended March 31, 2019 . |
Goodwill and Related Intangible
Goodwill and Related Intangible Assets | 3 Months Ended |
Mar. 31, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND RELATED INTANGIBLE ASSETS | GOODWILL AND RELATED INTANGIBLE ASSETS Goodwill The changes in the carrying amount of goodwill for the three months ended March 31, 2020 are as follows (in thousands): Renewable Energy & Conservation Residential Products Industrial and Infrastructure Products Total Balance at December 31, 2019 $ 77,602 $ 198,075 $ 54,028 $ 329,705 Acquired goodwill 52,659 — — 52,659 Adjustments to prior year acquisitions 75 — — 75 Foreign currency translation 75 — (469 ) (394 ) Balance at March 31, 2020 $ 130,411 $ 198,075 $ 53,559 $ 382,045 The Company conducts its annual goodwill impairment test as of October 31 each year. All of the Company’s ten reporting units had fair values exceeding their carrying values as of October 31, 2019. In addition to the annual impairment test, the Company is required to regularly assess whether a triggering event has occurred which would require interim impairment testing. The Company considered the current and future macroeconomic and market conditions, along with its current market capitalization, projected cash flows and internal and external forecasts, and projections relating to the impact of the COVID-19 pandemic on each of its reporting units. The Company determined that a triggering event has not occurred which would require an interim impairment test to be performed. Acquired Intangible Assets Acquired intangible assets consist of the following (in thousands): March 31, 2020 December 31, 2019 Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Weighted-Average Amortization Period Indefinite-lived intangible assets: Trademarks $ 45,770 $ — $ 45,770 $ — Indefinite Finite-lived intangible assets: Trademarks 8,693 4,239 6,139 4,105 3 to 15 Years Unpatented technology 34,289 16,354 29,544 15,807 5 to 20 Years Customer relationships 80,777 41,490 71,195 40,294 5 to 17 Years Non-compete agreements 1,649 1,567 1,649 1,499 4 to 10 Years 125,408 63,650 108,527 61,705 Total acquired intangible assets $ 171,178 $ 63,650 $ 154,297 $ 61,705 The following table summarizes the acquired intangible asset amortization expense for the three months ended March 31 (in thousands): Three Months Ended 2020 2019 Amortization expense $ 2,078 $ 1,797 Amortization expense related to acquired intangible assets for the remainder of fiscal 2020 and the next five years thereafter is estimated as follows (in thousands): 2020 2021 2022 2023 2024 2025 Amortization expense $ 5,311 $ 6,937 $ 6,459 $ 5,921 $ 5,666 $ 5,566 |
Long-Term Debt
Long-Term Debt | 3 Months Ended |
Mar. 31, 2020 | |
Long-term Debt, Unclassified [Abstract] | |
LONG-TERM DEBT | LONG-TERM DEBT The Company did no t have any long-term debt outstanding at March 31, 2020 and December 31, 2019 . Senior Credit Agreement On January 24, 2019, the Company entered into a Sixth Amended and Restated Credit Agreement ("Senior Credit Agreement"), which amends and restates the Company’s Fifth Amended and Restated Credit Agreement dated December 9, 2015, and provides for a revolving credit facility and letters of credit in an aggregate amount equal to $400 million . The Company can request additional financing from the lenders to increase the revolving credit facility to $700 million or enter into a term loan of up to $300 million subject to conditions set forth in the Senior Credit Agreement. The 2019 Senior Credit Agreement contains three financial covenants. As of March 31, 2020, the Company is in compliance with all three covenants. Borrowings under the Senior Credit Agreement are secured by the trade receivables, inventory, personal property, equipment, and general intangibles of the Company’s significant domestic subsidiaries. Standby letters of credit of $5.9 million have been issued under the Senior Credit Agreement on behalf of the Company as of March 31, 2020 . These letters of credit reduce the amount otherwise available under the revolving credit facility. As of March 31, 2020 , the Company had $394.1 million of availability under the revolving credit facility. No borrowings were outstanding under the Company's revolving credit facility at March 31, 2020 and December 31, 2019 . |
Accumulated Other Comprehensive
Accumulated Other Comprehensive (Loss) Income | 3 Months Ended |
Mar. 31, 2020 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME | ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME The following tables summarize the cumulative balance of each component of accumulated other comprehensive loss, net of tax, for the three months ended March 31, (in thousands): Foreign Currency Translation Adjustment Minimum pension and post retirement benefit plan Total Pre-Tax Amount Tax (Benefit) Expense Accumulated Other Balance at December 31, 2019 $ (4,173 ) $ (1,939 ) $ (6,112 ) $ (721 ) $ (5,391 ) Minimum pension and post retirement health care plan adjustments — 25 25 7 18 Foreign currency translation adjustment (5,898 ) — (5,898 ) — (5,898 ) Balance at March 31, 2020 $ (10,071 ) $ (1,914 ) $ (11,985 ) $ (714 ) $ (11,271 ) Foreign Currency Translation Adjustment Minimum pension and post retirement benefit plan Total Pre-Tax Amount Tax (Benefit) Expense Accumulated Other Balance at December 31, 2018 $ (5,939 ) $ (2,040 ) $ (7,979 ) $ (745 ) $ (7,234 ) Minimum pension and post retirement health care plan adjustments — 16 16 4 12 Foreign currency translation adjustment 842 — 842 — 842 Balance at March 31, 2019 $ (5,097 ) $ (2,024 ) $ (7,121 ) $ (741 ) $ (6,380 ) |
Equity-Based Compensation
Equity-Based Compensation | 3 Months Ended |
Mar. 31, 2020 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
EQUITY-BASED COMPENSATION | EQUITY-BASED COMPENSATION On May 4, 2018, the shareholders of the Company approved the adoption of the Gibraltar Industries, Inc. 2018 Equity Incentive Plan (the "2018 Plan"). The 2018 Plan provides for the issuance of up to 1,000,000 shares of common stock and supplements the remaining shares available for issuance under the existing Gibraltar Industries, Inc. 2015 Equity Incentive Plan (the "2015 Plan"). Both the 2018 Plan and the 2015 Plan allow the Company to grant equity-based incentive compensation awards, in the form of non-qualified options, restricted shares, restricted stock units, performance shares, performance stock units, and stock rights to eligible participants. In 2016, the shareholders of the Company approved the adoption of the Gibraltar Industries, Inc. 2016 Stock Plan for Non-Employee Directors ("Non-Employee Directors Plan") which allows the Company to grant awards of shares of the Company's common stock to non-employee Directors of the Company and permits the Directors to defer receipt of such shares pursuant to the terms of the Non-Employee Directors Plan. Equity Based Awards - Settled in Stock The following table sets forth the number of equity-based awards granted during the three months ended March 31, which will convert to shares upon vesting, along with the weighted average grant date fair values: 2020 2019 Awards Number of Awards (1) Weighted Average Grant Date Fair Value Number of Awards (2) Weighted Average Grant Date Fair Value Performance stock units 123,870 $ 53.29 145,420 $ 40.55 Restricted stock units 42,101 $ 52.31 117,821 $ 39.37 (1) The Company’s performance stock units (“PSUs”) represent shares granted for which the final number of shares earned depends on financial performance or market conditions. The number of shares to be issued may vary between 0% and 200% of the number of performance stock units granted depending on the relative achievement to targeted thresholds. The Company's PSUs with a financial performance condition are based on either the Company’s return on invested capital (“ROIC”) over a one-year period performance period or revenue, gross profit and operating profit thresholds over a two or three-year performance period. The Company's PSUs with a market condition are based on the ranking of the Company’s total shareholder return (“TSR”) performance, on a percentile basis, over a three year performance period compared to the S&P Small Cap Industrial sector, over the same three year performance period. (2) Performance stock units granted in 2019 have converted to 168,688 shares to be issued to recipients in the first quarter of 2022, representing 116% of the targeted 2019 award, based on the Company’s actual ROIC compared to ROIC target for the performance period ended December 31, 2019. Equity Based Awards - Settled in Cash The Company's equity-based liability includes awards under a management stock purchase plan. As of March 31, 2020 , the Company's total share-based liabilities recorded on the consolidated balance sheet were $28.7 million , of which $12.2 million was included in non-current liabilities. The share-based liabilities as of December 31, 2019 were $28.0 million , of which $13.2 million was included in non-current liabilities. The Management Stock Purchase Plan ("MSPP") provides participants the ability to defer a portion of their compensation, convertible to unrestricted investments, restricted stock units, or a combination of both, or defer a portion of their Directors’ fees, convertible to restricted stock units. Employees eligible to defer a portion of their compensation also receive a company-matching award in restricted stock units equal to a percentage of their compensation. The deferrals and company-matching are credited to an account that represents a share-based liability. The portion of the account deferred to unrestricted investments is measured at fair market value of the unrestricted investments, and the portion of the account deferred to restricted stock units and company-matching restricted stock units is measured at a 200 -day average of the Company stock price. The account will be converted to and settled in cash payable to participants upon retirement or a termination of their service to the Company. The following table provides the number of restricted stock units credited to active participant accounts and the payments made with respect to restricted stock units issued under the MSPP during the three months ended March 31, : 2020 2019 Restricted stock units credited 52,411 51,608 Share-based liabilities paid (in thousands) $ 4,433 $ 4,933 |
Exit Activity Costs and Asset I
Exit Activity Costs and Asset Impairments | 3 Months Ended |
Mar. 31, 2020 | |
Restructuring and Related Activities [Abstract] | |
EXIT ACTIVITY COSTS AND ASSET IMPAIRMENTS | EXIT ACTIVITY COSTS AND ASSET IMPAIRMENTS The Company has incurred exit activity costs and asset impairment charges as a result of its 80/20 simplification and portfolio management initiatives. These initiatives have resulted in the identification of low-volume, low margin, internally-produced products which have been or will be outsourced or discontinued, the simplification of processes, in the sale and exiting of less profitable businesses or products lines, and the reduction in our manufacturing footprint. Exit activity costs were incurred during the three months ended March 31, 2020 and 2019 which related to moving and closing costs, contract terminations, and severance incurred as a result of process simplification initiatives. No facilities were closed as a result of these initiatives during these respective periods. The following tables set forth the exit activity costs (recoveries) incurred by segment during the three months ended March 31, related to the restructuring activities described above (in thousands): Three months ended March 31, 2020 2019 Renewable Energy and Conservation $ 18 $ 94 Residential Products 221 151 Industrial and Infrastructure Products (2 ) (33 ) Corporate 54 7 Total exit activity costs $ 291 $ 219 The following table provides a summary of where the exit activity costs (recoveries) were recorded in the consolidated statements of income for the three months ended March 31, (in thousands): Three Months Ended 2020 2019 Cost of sales $ 87 $ (34 ) Selling, general, and administrative expense 204 253 Net exit activity charges $ 291 $ 219 The following table reconciles the beginning and ending liability for exit activity costs relating to the Company’s facility consolidation efforts (in thousands): 2020 2019 Balance at January 1 $ 5,449 $ 1,923 Exit activity costs recognized 291 219 Cash payments (4,728 ) (550 ) Balance at March 31 $ 1,012 $ 1,592 |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES The following table summarizes the provision for income taxes for continuing operations (in thousands) for the three months ended March 31, and the applicable effective tax rates: Three Months Ended 2020 2019 Provision for income taxes $ 2,986 $ 1,571 Effective tax rate 19.8 % 19.8 % The effective tax rate for the three months ended March 31, 2020 and 2019, respectively, was less than the U.S. federal statutory rate of 21% due to favorable discrete items partially offset by state taxes and nondeductible permanent differences. |
Earnings per Share
Earnings per Share | 3 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | EARNINGS PER SHARE Basic earnings and diluted weighted-average shares outstanding are as follows for the three months ended March 31, (in thousands): Three Months Ended 2020 2019 Numerator: Net income available to common shareholders $ 12,059 $ 6,345 Denominator for basic earnings per share: Weighted average shares outstanding 32,586 32,279 Denominator for diluted earnings per share: Weighted average shares outstanding 32,586 32,279 Common stock options and stock units 297 338 Weighted average shares and conversions 32,883 32,617 The weighted average number of diluted shares does not include potential anti-dilutive common shares issuable pursuant to equity based incentive compensation awards, aggregating to 18,000 and 258,000 for the three months ended March 31, 2020 and 2019 , respectively. |
Segment Information
Segment Information | 3 Months Ended |
Mar. 31, 2020 | |
Segment Reporting Information, Revenue for Reportable Segment [Abstract] | |
SEGMENT INFORMATION | SEGMENT INFORMATION The Company is organized into three reportable segments on the basis of the production process and products and services provided by each segment, identified as follows: (i) Renewable Energy and Conservation, which primarily includes designing, engineering, manufacturing and installation of solar racking, electrical balance of systems, extraction systems and greenhouse structures; (ii) Residential Products, which primarily includes roof and foundation ventilation products, rain dispersion products and roofing accessories, centralized mail systems and electronic package solutions; and (iii) Industrial and Infrastructure Products, which primarily includes expanded and perforated metal, perimeter security systems, expansion joints, and structural bearings. When determining the reportable segments, the Company aggregated operating segments based on their similar economic and operating characteristics. The following table illustrates certain measurements used by management to assess performance of the segments described above for the three months ended March 31, (in thousands): Three Months Ended 2020 2019 Net sales: Renewable Energy and Conservation $ 96,497 $ 68,837 Residential Products 103,419 103,709 Industrial and Infrastructure Products 49,801 55,188 Less: Intersegment sales (278 ) (317 ) Net Industrial and Infrastructure Products 49,523 54,871 Total consolidated net sales $ 249,439 $ 227,417 Income from operations: Renewable Energy and Conservation $ 5,699 $ 1,632 Residential Products 13,725 12,090 Industrial and Infrastructure Products 3,989 4,129 Unallocated Corporate Expenses (8,223 ) (7,285 ) Total consolidated income from operations $ 15,190 $ 10,566 The following tables illustrate revenue disaggregated by timing of transfer of control to the customer for the three months ended March 31 (in thousands): Three Months Ended March 31, 2020 Renewable Energy and Conservation Residential Products Industrial and Infrastructure Products Total Net sales: Point in Time $ 14,588 $ 102,331 $ 39,495 $ 156,414 Over Time 81,909 1,088 10,028 93,025 Total net sales $ 96,497 $ 103,419 $ 49,523 $ 249,439 Three Months Ended March 31, 2019 Renewable Energy and Conservation Residential Products Industrial and Infrastructure Products Total Net sales: Point in Time $ 7,290 $ 102,892 $ 45,287 $ 155,469 Over Time 61,547 817 9,584 71,948 Total net sales $ 68,837 $ 103,709 $ 54,871 $ 227,417 |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements (Policies) | 3 Months Ended |
Mar. 31, 2020 | |
Accounting Policies [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Adopted Standard Description Financial Statement Effect or Other Significant Matters ASU No. 2016-13 Financial Instruments - Credit Losses (Topic 326) The objective of this standard is to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit, including trade receivables, held by an entity at each reporting date. The amendments in this update replace the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The standard is effective for the Company as of January 1, 2020. The Company adopted the amendments in this update using the modified retrospective approach through a cumulative-effect adjustment to retained earnings of $291,000, net of $96,000 of income taxes, on the opening consolidated balance sheet as of January 1, 2020. The Company's financial assets that are in the scope of the standard are contract assets and accounts receivables which are short-term in nature. Additionally, the Company has identified and implemented appropriate changes to the Company's business processes, policies and internal controls to support reporting and disclosures. Date of adoption: Q1 2020 ASU 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 The amendments in this update require an entity to apply the same requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract as the entity would for implementation costs incurred to develop or obtain internal-use software. The accounting for the service element is not affected by the amendments in this update. The standard is effective for the Company as of January 1, 2020. The Company adopted the amendments in this update using the prospective method of adoption, and the adoption did not have a material impact to the Company's financial statements. Date of adoption: Q1 2020 Recent Accounting Pronouncements Not Yet Adopted Standard Description Financial Statement Effect or Other Significant Matters ASU No. 2019-12 Income Taxes (Topic 740), Simplifying the Accounting for Income Taxes The amendments in this update simplify the accounting for income taxes by removing certain exceptions to the general principles in Topic 740 and improve consistent application by clarifying and amending existing guidance. The amendments of this standard are effective for fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. Early adoption is permitted, including adoption in any interim period for which financial statements have not been issued, with the amendments to be applied on a respective, modified retrospective or prospective basis, depending on the specific amendment. The Company is currently evaluating the requirements of this standard. The standard is not expected to have a material impact on the Company's financial statements. Date of adoption: Q1 2021 |
Recent Accounting Pronounceme_3
Recent Accounting Pronouncements - (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles | Recent Accounting Pronouncements Adopted Standard Description Financial Statement Effect or Other Significant Matters ASU No. 2016-13 Financial Instruments - Credit Losses (Topic 326) The objective of this standard is to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit, including trade receivables, held by an entity at each reporting date. The amendments in this update replace the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The standard is effective for the Company as of January 1, 2020. The Company adopted the amendments in this update using the modified retrospective approach through a cumulative-effect adjustment to retained earnings of $291,000, net of $96,000 of income taxes, on the opening consolidated balance sheet as of January 1, 2020. The Company's financial assets that are in the scope of the standard are contract assets and accounts receivables which are short-term in nature. Additionally, the Company has identified and implemented appropriate changes to the Company's business processes, policies and internal controls to support reporting and disclosures. Date of adoption: Q1 2020 ASU 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 The amendments in this update require an entity to apply the same requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract as the entity would for implementation costs incurred to develop or obtain internal-use software. The accounting for the service element is not affected by the amendments in this update. The standard is effective for the Company as of January 1, 2020. The Company adopted the amendments in this update using the prospective method of adoption, and the adoption did not have a material impact to the Company's financial statements. Date of adoption: Q1 2020 Recent Accounting Pronouncements Not Yet Adopted Standard Description Financial Statement Effect or Other Significant Matters ASU No. 2019-12 Income Taxes (Topic 740), Simplifying the Accounting for Income Taxes The amendments in this update simplify the accounting for income taxes by removing certain exceptions to the general principles in Topic 740 and improve consistent application by clarifying and amending existing guidance. The amendments of this standard are effective for fiscal years beginning after December 15, 2020, including interim periods within those fiscal years. Early adoption is permitted, including adoption in any interim period for which financial statements have not been issued, with the amendments to be applied on a respective, modified retrospective or prospective basis, depending on the specific amendment. The Company is currently evaluating the requirements of this standard. The standard is not expected to have a material impact on the Company's financial statements. Date of adoption: Q1 2021 |
Accounts Receivable and Allow_2
Accounts Receivable and Allowance for Doubtful Accounts (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Receivables [Abstract] | |
Schedule of Accounts Receivable | Accounts receivable consists of the following (in thousands): March 31, 2020 December 31, 2019 Trade accounts receivable $ 156,399 $ 133,238 Costs in excess of billings 21,834 20,607 Total accounts receivables 178,233 153,845 Less allowance for doubtful accounts and contract assets (5,781 ) (6,330 ) Accounts receivable $ 172,452 $ 147,515 The following table provides a roll-forward of the allowance for credit losses that is deducted from the amortized cost basis of accounts receivable to present the net amount expected to be collected. Beginning balance as of January 1, 2020 $ 6,330 Adoption of ASU 2016-13, cumulative-effect adjustment to retained earnings 387 Bad debt expense 69 Write-off charged against the allowance and other adjustments (1,005 ) Ending balance as of March 31, 2020 $ 5,781 |
Revenue (Tables)
Revenue (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Contract with Customer, Asset and Liability | The following table presents the beginning and ending balances of costs in excess of billings, billings in excess of cost and unearned revenue as of March 31, 2020 and December 31, 2019, respectively, and revenue recognized during the three months ended March 31, 2020 and 2019, respectively, that was in billings in excess of cost and unearned revenue at the beginning of the period (in thousands): March 31, 2020 December 31, 2019 Costs in excess of billings $ 21,834 $ 20,607 Billings in excess of cost (34,567 ) (47,598 ) Unearned revenue (19,388 ) (17,311 ) Three Months Ended March 31, 2020 Three Months Ended March 31, 2019 Revenue recognized in the period from: Amounts included in billings in excess of cost at the beginning of the period $ 29,221 $ 9,697 Amounts included in unearned revenue at the beginning of the period $ 9,619 $ 4,661 |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Inventory Disclosure [Abstract] | |
Schedule Of Inventories | Inventories consist of the following (in thousands): March 31, 2020 December 31, 2019 Raw material $ 50,601 $ 45,700 Work-in-process 9,471 5,988 Finished goods 28,513 26,788 Total inventories $ 88,585 $ 78,476 |
Acquisitions (Tables)
Acquisitions (Tables) | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Business Combinations [Abstract] | ||
Allocation Of Purchase Consideration To The Assets Acquired And Liabilities Assumed | The preliminary allocation of the purchase consideration to the fair value of the assets acquired and liabilities assumed is as follows as of the date of the acquisition (in thousands): Working capital $ 3,183 Property, plant and equipment 337 Acquired intangible assets 7,600 Other assets 923 Other liabilities (4,189 ) Goodwill 39,335 Fair value of purchase consideration $ 47,189 The preliminary allocation of the purchase consideration to the estimated fair value of the assets acquired and liabilities assumed is as follows as of the date of the acquisition (in thousands): Cash $ 58 Working capital (16,464 ) Property, plant and equipment 1,029 Acquired intangible assets 9,386 Other assets 1,285 Other liabilities (1,285 ) Goodwill 13,324 Fair value of purchase consideration $ 7,333 | The preliminary allocation of the purchase consideration to the fair value of the assets acquired and liabilities assumed is as follows as of the date of the acquisition (in thousands): Cash $ 4,154 Working capital (1,412 ) Property, plant and equipment 1,059 Acquired intangible assets 3,400 Other assets 508 Other liabilities (1,081 ) Goodwill 5,933 Fair value of purchase consideration $ 12,561 |
Intangible Assets Acquired | The intangible assets acquired in this acquisition consisted of the following (in thousands): Fair Value Weighted-Average Amortization Period Trademarks $ 2,000 5 years Technology 2,200 10 years Customer relationships 3,400 5 years Total $ 7,600 The intangible assets acquired in this acquisition consisted of the following (in thousands): Fair Value Weighted-Average Amortization Period Trademarks $ 635 3 years Technology 2,541 15 years Customer relationships 6,210 10 years Total $ 9,386 | The intangible assets acquired in this acquisition consisted of the following (in thousands): Fair Value Weighted-Average Amortization Period Trademarks $ 1,900 5 years Technology 900 7 years Customer relationships 600 6 years Total $ 3,400 |
Goodwill and Related Intangib_2
Goodwill and Related Intangible Assets (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule Of Changes In Carrying Amount Of Goodwill | The changes in the carrying amount of goodwill for the three months ended March 31, 2020 are as follows (in thousands): Renewable Energy & Conservation Residential Products Industrial and Infrastructure Products Total Balance at December 31, 2019 $ 77,602 $ 198,075 $ 54,028 $ 329,705 Acquired goodwill 52,659 — — 52,659 Adjustments to prior year acquisitions 75 — — 75 Foreign currency translation 75 — (469 ) (394 ) Balance at March 31, 2020 $ 130,411 $ 198,075 $ 53,559 $ 382,045 |
Schedule Of Acquired Intangible Assets | Acquired intangible assets consist of the following (in thousands): March 31, 2020 December 31, 2019 Gross Carrying Amount Accumulated Amortization Gross Carrying Amount Accumulated Amortization Weighted-Average Amortization Period Indefinite-lived intangible assets: Trademarks $ 45,770 $ — $ 45,770 $ — Indefinite Finite-lived intangible assets: Trademarks 8,693 4,239 6,139 4,105 3 to 15 Years Unpatented technology 34,289 16,354 29,544 15,807 5 to 20 Years Customer relationships 80,777 41,490 71,195 40,294 5 to 17 Years Non-compete agreements 1,649 1,567 1,649 1,499 4 to 10 Years 125,408 63,650 108,527 61,705 Total acquired intangible assets $ 171,178 $ 63,650 $ 154,297 $ 61,705 |
Schedule of Acquired Intangible Asset Amortization Expense | The following table summarizes the acquired intangible asset amortization expense for the three months ended March 31 (in thousands): Three Months Ended 2020 2019 Amortization expense $ 2,078 $ 1,797 |
Schedule Of Amortization Expense | Amortization expense related to acquired intangible assets for the remainder of fiscal 2020 and the next five years thereafter is estimated as follows (in thousands): 2020 2021 2022 2023 2024 2025 Amortization expense $ 5,311 $ 6,937 $ 6,459 $ 5,921 $ 5,666 $ 5,566 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive (Loss) Income (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule Of Components Of Accumulated Other Comprehensive Loss | The following tables summarize the cumulative balance of each component of accumulated other comprehensive loss, net of tax, for the three months ended March 31, (in thousands): Foreign Currency Translation Adjustment Minimum pension and post retirement benefit plan Total Pre-Tax Amount Tax (Benefit) Expense Accumulated Other Balance at December 31, 2019 $ (4,173 ) $ (1,939 ) $ (6,112 ) $ (721 ) $ (5,391 ) Minimum pension and post retirement health care plan adjustments — 25 25 7 18 Foreign currency translation adjustment (5,898 ) — (5,898 ) — (5,898 ) Balance at March 31, 2020 $ (10,071 ) $ (1,914 ) $ (11,985 ) $ (714 ) $ (11,271 ) Foreign Currency Translation Adjustment Minimum pension and post retirement benefit plan Total Pre-Tax Amount Tax (Benefit) Expense Accumulated Other Balance at December 31, 2018 $ (5,939 ) $ (2,040 ) $ (7,979 ) $ (745 ) $ (7,234 ) Minimum pension and post retirement health care plan adjustments — 16 16 4 12 Foreign currency translation adjustment 842 — 842 — 842 Balance at March 31, 2019 $ (5,097 ) $ (2,024 ) $ (7,121 ) $ (741 ) $ (6,380 ) |
Equity-Based Compensation (Tabl
Equity-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Schedule Of Number Of Awards And Weighted Average Grant Date Fair Value | The following table sets forth the number of equity-based awards granted during the three months ended March 31, which will convert to shares upon vesting, along with the weighted average grant date fair values: 2020 2019 Awards Number of Awards (1) Weighted Average Grant Date Fair Value Number of Awards (2) Weighted Average Grant Date Fair Value Performance stock units 123,870 $ 53.29 145,420 $ 40.55 Restricted stock units 42,101 $ 52.31 117,821 $ 39.37 (1) The Company’s performance stock units (“PSUs”) represent shares granted for which the final number of shares earned depends on financial performance or market conditions. The number of shares to be issued may vary between 0% and 200% of the number of performance stock units granted depending on the relative achievement to targeted thresholds. The Company's PSUs with a financial performance condition are based on either the Company’s return on invested capital (“ROIC”) over a one-year period performance period or revenue, gross profit and operating profit thresholds over a two or three-year performance period. The Company's PSUs with a market condition are based on the ranking of the Company’s total shareholder return (“TSR”) performance, on a percentile basis, over a three year performance period compared to the S&P Small Cap Industrial sector, over the same three year performance period. (2) Performance stock units granted in 2019 have converted to 168,688 shares to be issued to recipients in the first quarter of 2022, representing 116% of the targeted 2019 award, based on the Company’s actual ROIC compared to ROIC target for the performance period ended December 31, 2019. |
Management Stock Purchase Plan | The following table provides the number of restricted stock units credited to active participant accounts and the payments made with respect to restricted stock units issued under the MSPP during the three months ended March 31, : 2020 2019 Restricted stock units credited 52,411 51,608 Share-based liabilities paid (in thousands) $ 4,433 $ 4,933 |
Exit Activity Costs and Asset_2
Exit Activity Costs and Asset Impairments (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Restructuring and Related Activities [Abstract] | |
Summary Of Exit Activity Costs And Asset Impairments | The following tables set forth the exit activity costs (recoveries) incurred by segment during the three months ended March 31, related to the restructuring activities described above (in thousands): Three months ended March 31, 2020 2019 Renewable Energy and Conservation $ 18 $ 94 Residential Products 221 151 Industrial and Infrastructure Products (2 ) (33 ) Corporate 54 7 Total exit activity costs $ 291 $ 219 The following table provides a summary of where the exit activity costs (recoveries) were recorded in the consolidated statements of income for the three months ended March 31, (in thousands): Three Months Ended 2020 2019 Cost of sales $ 87 $ (34 ) Selling, general, and administrative expense 204 253 Net exit activity charges $ 291 $ 219 |
Reconciliation Of Liability For Exit Activity Costs Relating To Facility Consolidation Efforts | The following table reconciles the beginning and ending liability for exit activity costs relating to the Company’s facility consolidation efforts (in thousands): 2020 2019 Balance at January 1 $ 5,449 $ 1,923 Exit activity costs recognized 291 219 Cash payments (4,728 ) (550 ) Balance at March 31 $ 1,012 $ 1,592 |
Income Taxes (Tables)
Income Taxes (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Summary Of Provision For Income Taxes For Continuing Operations | The following table summarizes the provision for income taxes for continuing operations (in thousands) for the three months ended March 31, and the applicable effective tax rates: Three Months Ended 2020 2019 Provision for income taxes $ 2,986 $ 1,571 Effective tax rate 19.8 % 19.8 % |
Earnings per Share (Tables)
Earnings per Share (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Earnings Per Share [Abstract] | |
Schedule Of Computation Of Basic And Diluted Loss Per Share | Basic earnings and diluted weighted-average shares outstanding are as follows for the three months ended March 31, (in thousands): Three Months Ended 2020 2019 Numerator: Net income available to common shareholders $ 12,059 $ 6,345 Denominator for basic earnings per share: Weighted average shares outstanding 32,586 32,279 Denominator for diluted earnings per share: Weighted average shares outstanding 32,586 32,279 Common stock options and stock units 297 338 Weighted average shares and conversions 32,883 32,617 |
Segment Information (Tables)
Segment Information (Tables) | 3 Months Ended |
Mar. 31, 2020 | |
Segment Reporting Information, Revenue for Reportable Segment [Abstract] | |
Reconciliation Of Sales To Earnings Before Income Taxes by Segment | The following table illustrates certain measurements used by management to assess performance of the segments described above for the three months ended March 31, (in thousands): Three Months Ended 2020 2019 Net sales: Renewable Energy and Conservation $ 96,497 $ 68,837 Residential Products 103,419 103,709 Industrial and Infrastructure Products 49,801 55,188 Less: Intersegment sales (278 ) (317 ) Net Industrial and Infrastructure Products 49,523 54,871 Total consolidated net sales $ 249,439 $ 227,417 Income from operations: Renewable Energy and Conservation $ 5,699 $ 1,632 Residential Products 13,725 12,090 Industrial and Infrastructure Products 3,989 4,129 Unallocated Corporate Expenses (8,223 ) (7,285 ) Total consolidated income from operations $ 15,190 $ 10,566 |
Disaggregation of Revenue | The following tables illustrate revenue disaggregated by timing of transfer of control to the customer for the three months ended March 31 (in thousands): Three Months Ended March 31, 2020 Renewable Energy and Conservation Residential Products Industrial and Infrastructure Products Total Net sales: Point in Time $ 14,588 $ 102,331 $ 39,495 $ 156,414 Over Time 81,909 1,088 10,028 93,025 Total net sales $ 96,497 $ 103,419 $ 49,523 $ 249,439 Three Months Ended March 31, 2019 Renewable Energy and Conservation Residential Products Industrial and Infrastructure Products Total Net sales: Point in Time $ 7,290 $ 102,892 $ 45,287 $ 155,469 Over Time 61,547 817 9,584 71,948 Total net sales $ 68,837 $ 103,709 $ 54,871 $ 227,417 |
Recent Accounting Pronounceme_4
Recent Accounting Pronouncements - Narrative (Details) - USD ($) | Jan. 01, 2020 | Mar. 31, 2020 | Mar. 31, 2019 | Jan. 01, 2019 |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Cumulative effect of new accounting principle in period of adoption | $ (291,000) | $ 1,582,000 | ||
Income tax benefit | $ (2,986,000) | $ (1,571,000) | ||
Accounting Standards Update 2016-13 | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Income tax benefit | 96,000 | |||
Retained Earnings | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Cumulative effect of new accounting principle in period of adoption | (291,000) | $ 1,582,000 | ||
Retained Earnings | Accounting Standards Update 2016-13 | ||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Cumulative effect of new accounting principle in period of adoption | $ (291,000) |
Accounts Receivable and Allow_3
Accounts Receivable and Allowance for Doubtful Accounts - Schedule of Receivables (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Receivables [Abstract] | ||
Trade accounts receivable | $ 156,399 | $ 133,238 |
Costs in excess of billings | 21,834 | 20,607 |
Total accounts receivables | 178,233 | 153,845 |
Less allowance for doubtful accounts and contract assets | (5,781) | (6,330) |
Accounts receivable | $ 172,452 | $ 147,515 |
Accounts Receivable and Allow_4
Accounts Receivable and Allowance for Doubtful Accounts - Schedule of Accounts Receivable Allowance for Credit Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Jan. 01, 2020 | |
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||
Beginning balance as of January 1, 2020 | $ 6,330 | |
Adoption of ASU 2016-13, cumulative-effect adjustment to retained earnings | 5,781 | |
Bad debt expense | 69 | |
Write-off charged against the allowance and other adjustments | (1,005) | |
Ending balance as of March 31, 2020 | $ 5,781 | |
Cumulative Effect, Period of Adoption, Adjustment | ||
Accounts Receivable, Allowance for Credit Loss [Roll Forward] | ||
Adoption of ASU 2016-13, cumulative-effect adjustment to retained earnings | $ 387 |
Revenue - Narrative (Details)
Revenue - Narrative (Details) | Mar. 31, 2020 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-04-01 | Maximum | |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | |
Remaining performance obligation expected timing of satisfaction | 1 year |
Revenue - Contract Assets and L
Revenue - Contract Assets and Liabilities (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Capitalized Contract Cost [Line Items] | |||
Costs in excess of billings | $ 21,834 | $ 20,607 | |
Amounts included in billings in excess of cost at the beginning of the period | 29,221 | $ 9,697 | |
Amounts included in unearned revenue at the beginning of the period | 9,619 | $ 4,661 | |
Billings in excess of cost | |||
Capitalized Contract Cost [Line Items] | |||
Contract with customer liability | (34,567) | (47,598) | |
Unearned revenue | |||
Capitalized Contract Cost [Line Items] | |||
Contract with customer liability | $ (19,388) | $ (17,311) |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Dec. 31, 2019 |
Inventory Disclosure [Abstract] | ||
Raw material | $ 50,601 | $ 45,700 |
Work-in-process | 9,471 | 5,988 |
Finished goods | 28,513 | 26,788 |
Total inventories | $ 88,585 | $ 78,476 |
Acquisitions (Narrative) (Detai
Acquisitions (Narrative) (Details) - USD ($) $ in Thousands | Feb. 13, 2020 | Jan. 15, 2020 | Aug. 30, 2019 | Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 |
Business Acquisition [Line Items] | ||||||
Goodwill | $ 382,045 | $ 329,705 | ||||
Delta Separations | ||||||
Business Acquisition [Line Items] | ||||||
Aggregate consideration for acquisition | $ 47,200 | |||||
Goodwill | $ 39,335 | |||||
Thermo Energy Systems | ||||||
Business Acquisition [Line Items] | ||||||
Aggregate consideration for acquisition | $ 7,300 | |||||
Goodwill | $ 13,324 | |||||
Apeks | ||||||
Business Acquisition [Line Items] | ||||||
Aggregate consideration for acquisition | $ 12,600 | |||||
Goodwill | $ 5,933 | |||||
Selling, general and administrative costs | ||||||
Business Acquisition [Line Items] | ||||||
Acquisition related costs | $ 1,300 | $ 0 |
Acquisitions (Allocation of Pur
Acquisitions (Allocation of Purchase Consideration to the Assets Acquired and Liabilities Assumed) (Details) - USD ($) $ in Thousands | Mar. 31, 2020 | Feb. 13, 2020 | Jan. 15, 2020 | Dec. 31, 2019 | Aug. 30, 2019 |
Business Acquisition [Line Items] | |||||
Goodwill | $ 382,045 | $ 329,705 | |||
Delta Separations | |||||
Business Acquisition [Line Items] | |||||
Working capital | $ 3,183 | ||||
Property, plant and equipment | 337 | ||||
Acquired intangible assets | 7,600 | ||||
Other assets | 923 | ||||
Other liabilities | (4,189) | ||||
Goodwill | 39,335 | ||||
Fair value of purchase consideration | $ 47,189 | ||||
Thermo Energy Systems | |||||
Business Acquisition [Line Items] | |||||
Cash | $ 58 | ||||
Working capital | (16,464) | ||||
Property, plant and equipment | 1,029 | ||||
Acquired intangible assets | 9,386 | ||||
Other assets | 1,285 | ||||
Other liabilities | (1,285) | ||||
Goodwill | 13,324 | ||||
Fair value of purchase consideration | $ 7,333 | ||||
Apeks | |||||
Business Acquisition [Line Items] | |||||
Cash | $ 4,154 | ||||
Working capital | (1,412) | ||||
Property, plant and equipment | 1,059 | ||||
Acquired intangible assets | 3,400 | ||||
Other assets | 508 | ||||
Other liabilities | (1,081) | ||||
Goodwill | 5,933 | ||||
Fair value of purchase consideration | $ 12,561 |
Acquisitions (Schedule of Acqui
Acquisitions (Schedule of Acquired Intangible Assets) (Details) - USD ($) $ in Thousands | Feb. 13, 2020 | Jan. 15, 2020 | Aug. 30, 2019 |
Delta Separations | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Fair Value, finite-lived intangible assets acquired | $ 7,600 | ||
Delta Separations | Trademarks | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Fair Value, finite-lived intangible assets acquired | $ 2,000 | ||
Estimated Useful Life | 5 years | ||
Delta Separations | Technology | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Fair Value, finite-lived intangible assets acquired | $ 2,200 | ||
Estimated Useful Life | 10 years | ||
Delta Separations | Customer relationships | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Fair Value, finite-lived intangible assets acquired | $ 3,400 | ||
Estimated Useful Life | 5 years | ||
Thermo Energy Systems | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Fair Value, finite-lived intangible assets acquired | $ 9,386 | ||
Thermo Energy Systems | Trademarks | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Fair Value, finite-lived intangible assets acquired | $ 635 | ||
Estimated Useful Life | 3 years | ||
Thermo Energy Systems | Technology | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Fair Value, finite-lived intangible assets acquired | $ 2,541 | ||
Estimated Useful Life | 15 years | ||
Thermo Energy Systems | Customer relationships | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Fair Value, finite-lived intangible assets acquired | $ 6,210 | ||
Estimated Useful Life | 10 years | ||
Apeks | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Fair Value, finite-lived intangible assets acquired | $ 3,400 | ||
Apeks | Trademarks | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Fair Value, finite-lived intangible assets acquired | $ 1,900 | ||
Estimated Useful Life | 5 years | ||
Apeks | Technology | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Fair Value, finite-lived intangible assets acquired | $ 900 | ||
Estimated Useful Life | 7 years | ||
Apeks | Customer relationships | |||
Acquired Finite-Lived Intangible Assets [Line Items] | |||
Fair Value, finite-lived intangible assets acquired | $ 600 | ||
Estimated Useful Life | 6 years |
Goodwill and Related Intangib_3
Goodwill and Related Intangible Assets (Schedule of Changes in Carrying Amount of Goodwill) (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2020USD ($) | |
Goodwill [Roll Forward] | |
Balance at December 31, 2019 | $ 329,705 |
Acquired goodwill | 52,659 |
Adjustments to prior year acquisitions | 75 |
Foreign currency translation | (394) |
Balance at March 31, 2020 | 382,045 |
Renewable Energy and Conservation | |
Goodwill [Roll Forward] | |
Balance at December 31, 2019 | 77,602 |
Acquired goodwill | 52,659 |
Adjustments to prior year acquisitions | 75 |
Foreign currency translation | 75 |
Balance at March 31, 2020 | 130,411 |
Residential Products | |
Goodwill [Roll Forward] | |
Balance at December 31, 2019 | 198,075 |
Acquired goodwill | 0 |
Adjustments to prior year acquisitions | 0 |
Foreign currency translation | 0 |
Balance at March 31, 2020 | 198,075 |
Industrial and Infrastructure Products | |
Goodwill [Roll Forward] | |
Balance at December 31, 2019 | 54,028 |
Acquired goodwill | 0 |
Adjustments to prior year acquisitions | 0 |
Foreign currency translation | (469) |
Balance at March 31, 2020 | $ 53,559 |
Goodwill and Related Intangib_4
Goodwill and Related Intangible Assets (Schedule of Acquired Intangible Assets) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Dec. 31, 2019 | |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount, Finite-lived intangible assets | $ 125,408 | $ 108,527 |
Total acquired intangible assets, Gross Carrying Amount | 171,178 | 154,297 |
Accumulated Amortization, Finite-lived intangible assets | 63,650 | 61,705 |
Total acquired intangible assets, Accumulated Amortization | 63,650 | 61,705 |
Trademarks | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount, Finite-lived intangible assets | 8,693 | 6,139 |
Accumulated Amortization, Finite-lived intangible assets | 4,239 | 4,105 |
Unpatented technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount, Finite-lived intangible assets | 34,289 | 29,544 |
Accumulated Amortization, Finite-lived intangible assets | 16,354 | 15,807 |
Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount, Finite-lived intangible assets | 80,777 | 71,195 |
Accumulated Amortization, Finite-lived intangible assets | 41,490 | 40,294 |
Non-compete agreements | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount, Finite-lived intangible assets | 1,649 | 1,649 |
Accumulated Amortization, Finite-lived intangible assets | 1,567 | 1,499 |
Trademarks | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount, Indefinite-lived intangible assets | 45,770 | 45,770 |
Accumulated Amortization, Indefinite-lived intangible assets | $ 0 | $ 0 |
Minimum | Trademarks | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated Life | 3 years | |
Minimum | Unpatented technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated Life | 5 years | |
Minimum | Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated Life | 5 years | |
Minimum | Non-compete agreements | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated Life | 4 years | |
Maximum | Trademarks | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated Life | 15 years | |
Maximum | Unpatented technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated Life | 20 years | |
Maximum | Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated Life | 17 years | |
Maximum | Non-compete agreements | ||
Finite-Lived Intangible Assets [Line Items] | ||
Estimated Life | 10 years |
Goodwill and Related Intangib_5
Goodwill and Related Intangible Assets (Schedule of Amortization Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Amortization expense | $ 2,078 | $ 1,797 |
2020 | 5,311 | |
2021 | 6,937 | |
2022 | 6,459 | |
2023 | 5,921 | |
2024 | 5,666 | |
2025 | $ 5,566 |
Long-Term Debt (Narrative) (Det
Long-Term Debt (Narrative) (Details) | 3 Months Ended | ||
Mar. 31, 2020USD ($)covenant | Dec. 31, 2019USD ($) | Jan. 24, 2019USD ($) | |
Debt Instrument [Line Items] | |||
Carrying value of outstanding debt | $ 0 | $ 0 | |
Revolving Credit Facility | Senior Credit Agreement | |||
Debt Instrument [Line Items] | |||
Revolving credit facility, availability amount | 394,100,000 | ||
Borrowings outstanding | 0 | $ 0 | |
Standby Letters of Credit | Senior Credit Agreement | |||
Debt Instrument [Line Items] | |||
Letters of credit issued | $ 5,900,000 | ||
Line of Credit | 2019 Senior Credit Agreement | |||
Debt Instrument [Line Items] | |||
Current borrowing capacity | $ 400,000,000 | ||
Letters of credit issued | 700,000,000 | ||
Number of debt covenants | covenant | 3 | ||
Medium-term Notes | 2019 Senior Credit Agreement | |||
Debt Instrument [Line Items] | |||
Debt instrument, issued value | $ 300,000,000 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive (Loss) Income (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
AOCI before tax, beginning balance | $ (6,112) | $ (7,979) |
Accumulated other comprehensive income, tax, beginning balance | (721) | (745) |
Accumulated Other Comprehensive Income Beginning Balance | (5,391) | (7,234) |
Other comprehensive income (loss), net of tax | (5,880) | 854 |
AOCI before tax, ending balance | (11,985) | (7,121) |
Accumulated other comprehensive income, tax, ending balance | (714) | (741) |
Accumulated Other Comprehensive Income Ending Balance | (11,271) | (6,380) |
Accumulated Translation Adjustment | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
AOCI before tax, beginning balance | (4,173) | (5,939) |
Other comprehensive income adjustments | (5,898) | 842 |
Other comprehensive income (loss), net of tax | (5,898) | 842 |
AOCI before tax, ending balance | (10,071) | (5,097) |
Accumulated Defined Benefit Plans Adjustment | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
Other comprehensive income adjustments | 25 | 16 |
Other comprehensive income (loss), tax | 7 | 4 |
Other comprehensive income (loss), net of tax | 18 | 12 |
Minimum pension and post retirement benefit plan adjustments | Accumulated Defined Benefit Plans Adjustment | ||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||
AOCI before tax, beginning balance | (1,939) | (2,040) |
Other comprehensive income adjustments | 25 | 16 |
AOCI before tax, ending balance | $ (1,914) | $ (2,024) |
Equity-Based Compensation - Inc
Equity-Based Compensation - Incentive Plan (Details) | May 04, 2018shares |
2018 Plan | Common Stock | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares authorized (in shares) | 1,000,000 |
Equity-Based Compensation (Sche
Equity-Based Compensation (Schedule of Number of Awards and Weighted Average Grant Date Fair Value) (Details) - $ / shares | 3 Months Ended | ||
Mar. 31, 2022 | Mar. 31, 2020 | Mar. 31, 2019 | |
Performance stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of awards (in shares) | 123,870 | 145,420 | |
Weighted average grant date fair value (in USD per share) | $ 53.29 | $ 40.55 | |
Restricted stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of awards (in shares) | 42,101 | 117,821 | |
Weighted average grant date fair value (in USD per share) | $ 52.31 | $ 39.37 | |
2018 Plan | Performance stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares to be issued on conversion as percentage of total award | 116.00% | ||
2018 Plan | Scenario, Forecast | Performance stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares to be issued on conversion (in shares) | 168,688 | ||
Minimum | Performance stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Grants based on targeted thresholds, percent | 0.00% | ||
Maximum | Performance stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Grants based on targeted thresholds, percent | 200.00% | ||
Return on Invested Capital | 2018 Plan | Performance stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Performance period | 1 year | ||
Gross Profit Threshold | Minimum | 2018 Plan | Performance stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Performance period | 2 years | ||
Gross Profit Threshold | Maximum | 2018 Plan | Performance stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Performance period | 3 years | ||
Total Shareholder Return | 2018 Plan | Performance stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Performance period | 3 years |
Equity-Based Compensation (Equi
Equity-Based Compensation (Equity Based Awards - Settled in Cash) (Details) - USD ($) | 3 Months Ended | ||
Mar. 31, 2020 | Mar. 31, 2019 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Accrued equity based compensation | $ 28,700,000 | $ 28,000,000 | |
Non Current Liabilities | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Accrued equity based compensation | 12,200,000 | $ 13,200,000 | |
Management Stock Purchase Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based liabilities paid (in thousands) | $ 4,433,000 | $ 4,933,000 | |
Management Stock Purchase Plan | Restricted stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Average company stock price measurement period | 200 days | ||
Restricted stock units credited (in shares) | $ 52,411 | $ 51,608 |
Exit Activity Costs and Asset_3
Exit Activity Costs and Asset Impairments (Narrative) (Details) - facility | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Restructuring and Related Activities [Abstract] | ||
Number of facilities closed | 0 | 0 |
Exit Activity Costs and Asset_4
Exit Activity Costs and Asset Impairments (Summary of Exit Activity Costs and Asset Impairments by Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Restructuring Cost and Reserve [Line Items] | ||
Total exit activity costs | $ 291 | $ 219 |
Renewable Energy and Conservation | ||
Restructuring Cost and Reserve [Line Items] | ||
Total exit activity costs | 18 | 94 |
Residential Products | ||
Restructuring Cost and Reserve [Line Items] | ||
Total exit activity costs | 221 | 151 |
Industrial and Infrastructure Products | ||
Restructuring Cost and Reserve [Line Items] | ||
Total exit activity costs | (2) | (33) |
Corporate | ||
Restructuring Cost and Reserve [Line Items] | ||
Total exit activity costs | $ 54 | $ 7 |
Exit Activity Costs and Asset_5
Exit Activity Costs and Asset Impairments (Summary of Exit Activity Costs and Asset Impairments) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Charges | $ 291 | $ 219 |
Cost of sales | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Charges | 87 | (34) |
Selling, general, and administrative expense | ||
Restructuring Cost and Reserve [Line Items] | ||
Restructuring Charges | $ 204 | $ 253 |
Exit Activity Costs and Asset_6
Exit Activity Costs and Asset Impairments (Reconciles of Liability for Exit Activity Costs Relating to Facility Consolidation Efforts) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Restructuring Reserve [Roll Forward] | ||
Beginning balance | $ 5,449 | $ 1,923 |
Exit activity costs (recoveries), net | 291 | 219 |
Cash payments | (4,728) | (550) |
Ending balance | $ 1,012 | $ 1,592 |
Income Taxes (Provision For Inc
Income Taxes (Provision For Income Taxes For Continuing Operations) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Income Tax Disclosure [Abstract] | ||
Provision for income taxes | $ 2,986 | $ 1,571 |
Effective tax rate | 19.80% | 19.80% |
Earnings per Share (Details)
Earnings per Share (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Net income | $ 12,059 | $ 6,345 |
Weighted average basic shares outstanding (in shares) | 32,586,000 | 32,279,000 |
Common stock options and restricted stock (in shares) | 297,000 | 338,000 |
Weighted average shares outstanding, diluted (in shares) | 32,883,000 | 32,617,000 |
Common shares | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Antidilutive securities excluded from earnings per share calculation (in shares) | 18,000 | 258,000 |
Segment Information (Details)
Segment Information (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020USD ($)segment | Mar. 31, 2019USD ($) | |
Segment Reporting, Other Significant Reconciling Item [Line Items] | ||
Number of reportable segments | segment | 3 | |
Net Sales | $ 249,439 | $ 227,417 |
Total consolidated income from operations | 15,190 | 10,566 |
Renewable Energy and Conservation | ||
Segment Reporting, Other Significant Reconciling Item [Line Items] | ||
Net Sales | 96,497 | 68,837 |
Residential Products | ||
Segment Reporting, Other Significant Reconciling Item [Line Items] | ||
Net Sales | 103,419 | 103,709 |
Industrial and Infrastructure Products | ||
Segment Reporting, Other Significant Reconciling Item [Line Items] | ||
Net Sales | 49,523 | 54,871 |
Operating Segments | Renewable Energy and Conservation | ||
Segment Reporting, Other Significant Reconciling Item [Line Items] | ||
Net Sales | 96,497 | 68,837 |
Total consolidated income from operations | 5,699 | 1,632 |
Operating Segments | Residential Products | ||
Segment Reporting, Other Significant Reconciling Item [Line Items] | ||
Net Sales | 103,419 | 103,709 |
Total consolidated income from operations | 13,725 | 12,090 |
Operating Segments | Industrial and Infrastructure Products | ||
Segment Reporting, Other Significant Reconciling Item [Line Items] | ||
Net Sales | 49,801 | 55,188 |
Total consolidated income from operations | 3,989 | 4,129 |
Intersegment Elimination | ||
Segment Reporting, Other Significant Reconciling Item [Line Items] | ||
Net Sales | (278) | (317) |
Corporate | ||
Segment Reporting, Other Significant Reconciling Item [Line Items] | ||
Unallocated Corporate Expenses | $ (8,223) | $ (7,285) |
Segment Information - Disaggreg
Segment Information - Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Mar. 31, 2019 | |
Disaggregation of Revenue [Line Items] | ||
Net Sales | $ 249,439 | $ 227,417 |
Renewable Energy and Conservation | ||
Disaggregation of Revenue [Line Items] | ||
Net Sales | 96,497 | 68,837 |
Residential Products | ||
Disaggregation of Revenue [Line Items] | ||
Net Sales | 103,419 | 103,709 |
Industrial and Infrastructure Products | ||
Disaggregation of Revenue [Line Items] | ||
Net Sales | 49,523 | 54,871 |
Point in Time | ||
Disaggregation of Revenue [Line Items] | ||
Net Sales | 156,414 | 155,469 |
Point in Time | Renewable Energy and Conservation | ||
Disaggregation of Revenue [Line Items] | ||
Net Sales | 14,588 | 7,290 |
Point in Time | Residential Products | ||
Disaggregation of Revenue [Line Items] | ||
Net Sales | 102,331 | 102,892 |
Point in Time | Industrial and Infrastructure Products | ||
Disaggregation of Revenue [Line Items] | ||
Net Sales | 39,495 | 45,287 |
Over Time | ||
Disaggregation of Revenue [Line Items] | ||
Net Sales | 93,025 | 71,948 |
Over Time | Renewable Energy and Conservation | ||
Disaggregation of Revenue [Line Items] | ||
Net Sales | 81,909 | 61,547 |
Over Time | Residential Products | ||
Disaggregation of Revenue [Line Items] | ||
Net Sales | 1,088 | 817 |
Over Time | Industrial and Infrastructure Products | ||
Disaggregation of Revenue [Line Items] | ||
Net Sales | $ 10,028 | $ 9,584 |
Uncategorized Items - rock-2020
Label | Element | Value |
AOCI Attributable to Parent [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ 0 |