Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Jun. 30, 2023 | Aug. 02, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2023 | |
Current Fiscal Year End Date | --03-31 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q1 | |
Document Transition Report | false | |
Entity File Number | 001-33861 | |
Entity Registrant Name | MOTORCAR PARTS OF AMERICA INC | |
Entity Central Index Key | 0000918251 | |
Entity Incorporation, State or Country Code | NY | |
Entity Tax Identification Number | 11-2153962 | |
Entity Address, Address Line One | 2929 California Street | |
Entity Address, City or Town | Torrance | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 90503 | |
City Area Code | 310 | |
Local Phone Number | 212-7910 | |
Title of 12(b) Security | Common Stock, par value $0.01 per share | |
Trading Symbol | MPAA | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 19,595,355 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) | Jun. 30, 2023 | Mar. 31, 2023 |
Current assets: | ||
Cash and cash equivalents | $ 10,887,000 | $ 11,596,000 |
Short-term investments | 2,159,000 | 2,011,000 |
Accounts receivable - net | 146,645,000 | 119,868,000 |
Inventory | 364,187,000 | 356,254,000 |
Contract assets | 27,732,000 | 25,443,000 |
Prepaid expenses and other current assets | 20,566,000 | 22,306,000 |
Total current assets | 572,176,000 | 537,478,000 |
Plant and equipment - net | 44,244,000 | 46,052,000 |
Operating lease assets | 88,760,000 | 87,619,000 |
Long-term deferred income taxes | 32,417,000 | 32,625,000 |
Long-term contract assets | 314,463,000 | 318,381,000 |
Goodwill and intangible assets - net | 5,046,000 | 5,348,000 |
Other assets | 1,081,000 | 1,062,000 |
TOTAL ASSETS | 1,058,187,000 | 1,028,565,000 |
Current liabilities: | ||
Accounts payable and accrued liabilities | 142,965,000 | 141,766,000 |
Customer finished goods returns accrual | 33,378,000 | 37,984,000 |
Contract liabilities | 49,003,000 | 40,340,000 |
Revolving loan | 167,000,000 | 145,200,000 |
Other current liabilities | 5,170,000 | 4,871,000 |
Operating lease liabilities | 8,914,000 | 8,767,000 |
Current portion of term loan | 12,020,000 | 3,664,000 |
Total current liabilities | 418,450,000 | 382,592,000 |
Term loan, less current portion | 0 | 9,279,000 |
Convertible notes, related party | 31,252,000 | 30,994,000 |
Long-term contract liabilities | 194,708,000 | 193,606,000 |
Long-term deferred income taxes | 1,985,000 | 718,000 |
Long-term operating lease liabilities | 77,013,000 | 79,318,000 |
Other liabilities | 11,340,000 | 11,583,000 |
Total liabilities | 734,748,000 | 708,090,000 |
Commitments and contingencies | ||
Shareholders' equity: | ||
Preferred stock | 0 | 0 |
Common stock; par value $.01 per share, 50,000,000 shares authorized; 19,599,145 and 19,494,615 shares issued and outstanding at June 30, 2023 and March 31, 2023, respectively | 196,000 | 195,000 |
Additional paid-in capital | 232,866,000 | 231,836,000 |
Retained earnings | 87,337,000 | 88,747,000 |
Accumulated other comprehensive income (loss) | 3,040,000 | (303,000) |
Total shareholders' equity | 323,439,000 | 320,475,000 |
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | 1,058,187,000 | 1,028,565,000 |
Series A Junior Participating Preferred Stock [Member] | ||
Shareholders' equity: | ||
Preferred stock | $ 0 | $ 0 |
Related Party [Member] | ||
Current liabilities: | ||
Notes Payable, Noncurrent, Related Party, Type [Extensible Enumeration] | Convertible notes, related party |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2023 | Mar. 31, 2023 |
Shareholders' equity: | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, authorized (in shares) | 5,000,000 | 5,000,000 |
Preferred stock, issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, issued (in shares) | 19,599,145 | 19,494,615 |
Common stock, outstanding (in shares) | 19,599,145 | 19,494,615 |
Series A Junior Participating Preferred Stock [Member] | ||
Shareholders' equity: | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, authorized (in shares) | 20,000 | 20,000 |
Preferred stock, issued (in shares) | 0 | 0 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) | 3 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Condensed Consolidated Statements of Operations [Abstract] | ||
Net sales | $ 159,705,000 | $ 163,985,000 |
Cost of goods sold | 133,138,000 | 133,683,000 |
Gross profit | 26,567,000 | 30,302,000 |
Operating expenses: | ||
General and administrative | 12,602,000 | 13,634,000 |
Sales and marketing | 5,419,000 | 5,542,000 |
Research and development | 2,375,000 | 3,113,000 |
Foreign exchange impact of lease liabilities and forward contracts | (4,270,000) | 678,000 |
Total operating expenses | 16,126,000 | 22,967,000 |
Operating income | 10,441,000 | 7,335,000 |
Other Expenses: | ||
Interest expense, net | 11,720,000 | 6,921,000 |
Change in fair value of compound net derivative liability | 140,000 | 0 |
Total other expenses | 11,860,000 | 6,921,000 |
(Loss) income before income tax (benefit) expense | (1,419,000) | 414,000 |
Income tax (benefit) expense | (9,000) | 589,000 |
Net loss | $ (1,410,000) | $ (175,000) |
Basic net loss per share (in dollars per share) | $ (0.07) | $ (0.01) |
Diluted net loss per share (in dollars per share) | $ (0.07) | $ (0.01) |
Weighted average number of shares outstanding: | ||
Basic (in shares) | 19,508,626 | 19,123,354 |
Diluted (in shares) | 19,508,626 | 19,123,354 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) | 3 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Condensed Consolidated Statements of Comprehensive Income (Loss) [Abstract] | ||
Net loss | $ (1,410,000) | $ (175,000) |
Other comprehensive income (loss), net of tax: | ||
Foreign currency translation gain (loss) | 3,343,000 | (868,000) |
Total other comprehensive income (loss), net of tax | 3,343,000 | (868,000) |
Comprehensive income (loss) | $ 1,933,000 | $ (1,043,000) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Shareholders' Equity - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Total |
Beginning balance at Mar. 31, 2022 | $ 191,000 | $ 227,184,000 | $ 92,954,000 | $ (5,066,000) | $ 315,263,000 |
Beginning balance (in shares) at Mar. 31, 2022 | 19,104,751 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Compensation recognized under employee stock plans | $ 0 | 1,249,000 | 0 | 0 | 1,249,000 |
Exercise of stock options, net of shares withheld for employee taxes | $ 0 | 191,000 | 0 | 0 | 191,000 |
Exercise of stock options, net of shares withheld for employee taxes (in shares) | 25,543 | ||||
Issuance of common stock upon vesting of RSUs, net of shares withheld for employee taxes | $ 1,000 | (895,000) | 0 | 0 | (894,000) |
Issuance of common stock upon vesting of RSUs, net of shares withheld for employee taxes (in shares) | 84,684 | ||||
Foreign currency translation | $ 0 | 0 | 0 | (868,000) | (868,000) |
Net loss | 0 | 0 | (175,000) | 0 | (175,000) |
Ending balance at Jun. 30, 2022 | $ 192,000 | 227,729,000 | 92,779,000 | (5,934,000) | 314,766,000 |
Ending balance (in shares) at Jun. 30, 2022 | 19,214,978 | ||||
Beginning balance at Mar. 31, 2023 | $ 195,000 | 231,836,000 | 88,747,000 | (303,000) | $ 320,475,000 |
Beginning balance (in shares) at Mar. 31, 2023 | 19,494,615 | 19,494,615 | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||
Compensation recognized under employee stock plans | $ 0 | 1,310,000 | 0 | 0 | $ 1,310,000 |
Issuance of common stock upon vesting of RSUs, net of shares withheld for employee taxes | $ 1,000 | (280,000) | 0 | 0 | (279,000) |
Issuance of common stock upon vesting of RSUs, net of shares withheld for employee taxes (in shares) | 104,530 | ||||
Foreign currency translation | $ 0 | 0 | 0 | 3,343,000 | 3,343,000 |
Net loss | 0 | 0 | (1,410,000) | 0 | (1,410,000) |
Ending balance at Jun. 30, 2023 | $ 196,000 | $ 232,866,000 | $ 87,337,000 | $ 3,040,000 | $ 323,439,000 |
Ending balance (in shares) at Jun. 30, 2023 | 19,599,145 | 19,599,145 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows - USD ($) | 3 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Cash flows from operating activities: | ||
Net loss | $ (1,410,000) | $ (175,000) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization | 3,033,000 | 3,124,000 |
Amortization of interest | 713,000 | 306,000 |
Accrued interest on convertible notes, related party | 800,000 | 0 |
Amortization of core premiums paid to customers | 2,490,000 | 2,863,000 |
Amortization of finished goods premiums paid to customers | 167,000 | 181,000 |
Noncash lease expense | 2,504,000 | 1,939,000 |
Foreign exchange impact of lease liabilities and forward contracts | (4,270,000) | 678,000 |
Change in fair value of compound net derivative liability | 140,000 | 0 |
(Gain) loss on short-term investments | (121,000) | 294,000 |
Net provision for inventory reserves | 3,366,000 | 3,942,000 |
Net provision for customer payment discrepancies and credit losses | 1,159,000 | 300,000 |
Deferred income taxes | 1,595,000 | (62,000) |
Share-based compensation expense | 1,310,000 | 1,249,000 |
Loss on disposal of plant and equipment | 1,000 | 9,000 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (27,518,000) | 11,427,000 |
Inventory | (10,782,000) | (24,252,000) |
Prepaid expenses and other current assets | 2,391,000 | 1,122,000 |
Other assets | 16,000 | 6,000 |
Accounts payable and accrued liabilities | 927,000 | 5,898,000 |
Customer finished goods returns accrual | (4,679,000) | (9,289,000) |
Contract assets | (792,000) | (37,000) |
Contract liabilities | 9,320,000 | 1,384,000 |
Operating lease liabilities | (1,863,000) | (1,446,000) |
Other liabilities | 1,033,000 | (443,000) |
Net cash used in operating activities | (20,470,000) | (982,000) |
Cash flows from investing activities: | ||
Purchase of plant and equipment | (40,000) | (1,375,000) |
Purchase of short-term investments | (27,000) | (86,000) |
Net cash used in investing activities | (67,000) | (1,461,000) |
Cash flows from financing activities: | ||
Borrowings under revolving loan | 26,000,000 | 13,000,000 |
Repayments of revolving loan | (4,200,000) | (22,000,000) |
Repayments of term loan | (938,000) | (938,000) |
Payments for debt issuance costs | (418,000) | (21,000) |
Payments on finance lease obligations | (492,000) | (604,000) |
Exercise of stock options, net of cash used to pay employee taxes | 0 | 191,000 |
Cash used to net share settle equity awards | (279,000) | (894,000) |
Net cash provided by (used in) financing activities | 19,673,000 | (11,266,000) |
Effect of exchange rate changes on cash and cash equivalents | 155,000 | (90,000) |
Net decrease in cash and cash equivalents | (709,000) | (13,799,000) |
Cash and cash equivalents - Beginning of period | 11,596,000 | 23,016,000 |
Cash and cash equivalents - End of period | 10,887,000 | 9,217,000 |
Supplemental disclosures of cash flow information: | ||
Cash paid for interest, net | 10,120,000 | 6,548,000 |
Cash paid for income taxes, net of refunds | 645,000 | 712,000 |
Cash paid for operating leases | 3,081,000 | 2,647,000 |
Cash paid for finance leases | 554,000 | 672,000 |
Plant and equipment acquired under finance leases | 31,000 | 75,000 |
Assets acquired under operating leases | 0 | 144,000 |
Non-cash capital expenditures | 0 | 401,000 |
Debt issuance costs included in accounts payable and accrued liabilities | $ 187,000 | $ 0 |
Company Background and Organiza
Company Background and Organization | 3 Months Ended |
Jun. 30, 2023 | |
Basis of Presentation [Abstract] | |
Company Background and Organization | 1. Company Background and Organization Motorcar Parts of America, Inc. and its subsidiaries (the “Company”, or “MPA”) is a leading supplier of automotive aftermarket non-discretionary replacement parts, and test solutions and diagnostic equipment. These replacement parts are primarily sold to automotive retail chain stores and warehouse distributors throughout North America and to major automobile manufacturers for both their aftermarket programs and warranty replacement programs (“OES”). The Company’s test solutions and diagnostic equipment primarily serves the global automotive component and powertrain testing market. The Company’s products include (i) light duty and heavy duty rotating electrical products such as alternators and starters, (ii) wheel hub assemblies and bearings, (iii) brake-related products, which include brake calipers, brake boosters, brake rotors, brake pads, brake shoes, and brake master cylinders, and (iv) other products, which include (a) turbochargers and (b) test solutions and diagnostic equipment including: (i) applications for combustion engine vehicles, including bench top testers for alternators and starters, (ii) equipment for the pre- and post-production of electric vehicles, and (iii) software emulation of power systems applications for the electrification of all forms of transportation (including automobiles, trucks, the emerging electrification of systems within the aerospace industry, and electric vehicle charging stations). |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Jun. 30, 2023 | |
Basis of Presentation [Abstract] | |
Basis of Presentation | 2. Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three months ended June 30, 2023 are not necessarily indicative of the results that may be expected for the fiscal year ending March 31, 2024. This report should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto for the fiscal year ended March 31, 2023, which are included in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission (“SEC”) on June 14, 2023. The accompanying condensed consolidated financial statements have been prepared on a consistent basis with, and there have been no material changes to the accounting policies described in Note 2, Summary of Significant Accounting Policies, to the consolidated financial statements that are presented in the Company’s Annual Report on Form 10-K for the fiscal year ended March 31, 2023. |
Accounts Receivable - Net
Accounts Receivable - Net | 3 Months Ended |
Jun. 30, 2023 | |
Accounts Receivable - Net [Abstract] | |
Accounts Receivable - Net | 3. Accounts Receivable — Net The Company has trade accounts receivable that result from the sale of goods and services. Accounts receivable — net includes offset accounts related to allowances for credit losses, customer payment discrepancies, and returned goods authorizations (“RGAs”) issued for in-transit unit returns. The Company uses receivable discount programs with certain customers and their respective banks (see Note 10). Accounts receivable — net is comprised of the following: June 30, 2023 March 31, 2023 Accounts receivable — trade $ 165,486,000 $ 136,076,000 Allowance for credit losses (303,000 ) (339,000 ) Customer payment discrepancies (2,076,000 ) (1,634,000 ) Customer returns RGA issued (16,462,000 ) (14,235,000 ) Total accounts receivable — net $ 146,645,000 $ 119,868,000 |
Inventory
Inventory | 3 Months Ended |
Jun. 30, 2023 | |
Inventory [Abstract] | |
Inventory | 4. Inventory Inventory is comprised of the following: June 30, 2023 March 31, 2023 Inventory Raw materials $ 149,545,000 $ 147,880,000 Work-in-process 10,097,000 7,033,000 Finished goods 202,874,000 201,198,000 362,516,000 356,111,000 Less allowance for excess and obsolete inventory (16,412,000 ) (16,436,000 ) Inventory — net 346,104,000 339,675,000 Inventory unreturned 18,083,000 16,579,000 Total inventory $ 364,187,000 $ 356,254,000 |
Contract Assets
Contract Assets | 3 Months Ended |
Jun. 30, 2023 | |
Contract Assets [Abstract] | |
Contract Assets | 5. Contract Assets During the three months ended June 30, 2023 and 2022, the Company reduced the carrying value of Remanufactured Cores held at customers’ locations by $778,000 and $572,000, respectively. Contract assets are comprised of the following: June 30, 2023 March 31, 2023 Short-term contract assets Cores expected to be returned by customers $ 15,915,000 $ 13,463,000 Core premiums paid to customers 9,775,000 9,812,000 Upfront payments to customers 1,458,000 1,593,000 Finished goods premiums paid to customers 584,000 575,000 Total short-term contract assets $ 27,732,000 $ 25,443,000 Remanufactured cores held at customers’ locations $ 268,906,000 $ 271,628,000 Core premiums paid to customers 36,401,000 38,310,000 Long-term core inventory deposits 5,569,000 5,569,000 Finished goods premiums paid to customers 2,651,000 2,530,000 Upfront payments to customers 936,000 344,000 Total long-term contract assets $ 314,463,000 $ 318,381,000 |
Significant Customer and Other
Significant Customer and Other Information | 3 Months Ended |
Jun. 30, 2023 | |
Significant Customer and Other Information [Abstract] | |
Significant Customer and Other Information | 6. Significant Customer and Other Information Significant Customer Concentrations The largest customers accounted for the following percentage of consolidated net sales: Three Months Ended June 30, 2023 2022 Net sales Customer A 34 % 37 % Customer C 28 % 20 % Customer B 20 % 25 % Customer D 5 % 4 % Revenues for Customers A through C were derived from the Hard Parts segment and Test Solutions and Diagnostic Equipment segment. Revenues for Customer D were derived from the Hard Parts segment. See Note 17 for a discussion of the Company’s segments. The largest customers accounted for the following percentage of accounts receivable – trade: June 30, 2023 March 31, 2023 Accounts receivable - trade Customer A 34 % 33 % Customer C 30 % 21 % Customer B 15 % 18 % Customer D 8 % 12 % Geographic and Product Information The Company’s products are sold predominantly in North America and accounted for the following percentages of net sales: Three Months Ended June 30, 2023 2022 Product line Rotating electrical products 64 % 67 % Brake-related products 22 % 17 % Wheel hub products 11 % 12 % Other products 3 % 4 % 100 % 100 % Significant Supplier Concentrations The Company had no suppliers that accounted for more than 10% of inventory purchases for the three months ended June 30, 2023 and 2022. |
Debt
Debt | 3 Months Ended |
Jun. 30, 2023 | |
Debt [Abstract] | |
Debt | 7. Debt The Company is party to a $268,620,000 senior secured financing, (as amended from time to time, the “Credit Facility”), consisting of a $238,620,000 revolving loan facility (the “Revolving Facility”), subject to certain restrictions, and a $30,000,000 term loan facility (the “Term Loans”). The loans under the Credit Facility mature on May 28, 2026 and the lenders have a security interest in substantially all of the assets of the Company. The interest rate on the Company’s Term Loans and Revolving Facility was 8.52% and 8.46% respectively, at June 30, 2023, and 8.02% and 8.13% respectively, at March 31, 2023. On August 3, 2023, the Company entered into a seventh amendment to the Credit Facility, which among other things, (i) permits the Company to repay its outstanding balance of Term Loans, (ii) permits the exclusion of quarterly principal payments of Term Loans from the fixed charge coverage ratio (including retrospectively for the prior periods) for all quarters beginning June 30, 2023, (iii) resets the fixed charge coverage ratio financial covenant level for the quarters ending September 30, 2023 and December 31, 2023, (iv) eliminates the senior leverage ratio financial covenant effective with the quarter ended June 30, 2023, (v) extends the minimum undrawn availability financial covenant through the delivery of the June 30, 2024 compliance certificate, and (vi) excludes the amount of all amendment fees and expenses incurred in connection with this amendment as well as prior unamortized fees associated with the Term Loans from bank EBITDA and the fixed charge coverage ratio financial covenant. The modifications to the financial covenants were effective as of June 30, 2023. The Credit Facility, among other things, requires the Company to maintain certain financial covenants, including a maximum senior leverage ratio and a minimum fixed charge coverage ratio. The Company was in compliance with all amended financial covenants as of June 30, 2023. The following summarizes information about the Term Loans: June 30, 2023 March 31, 2023 Principal amount of Term Loans $ 12,187,000 $ 13,125,000 Unamortized financing fees (167,000 ) (182,000 ) Net carrying amount of Term Loans 12,020,000 12,943,000 Less current portion of Term Loans (12,020,000 ) (3,664,000 ) Long-term portion of Term Loans $ - $ 9,279,000 On August 3, 2023, the Company repaid the outstanding balance of its Term Loans and wrote-off the remaining unamortized financing fees recorded in connection with the Term Loans. The Company had $167,000,000 and $145,200,000 outstanding under the Revolving Facility at June 30, 2023 and March 31, 2023, respectively. In addition, $6,370,000 was outstanding for letters of credit at June 30, 2023. At June 30, 2023, after certain contractual adjustments, $65,250,000 was available under the Revolving Facility. Convertible Notes On March 31, 2023, the Company entered into a note purchase agreement, (the “Note Purchase Agreement”) with Bison Capital Partners VI, L.P. and Bison Capital Partners VI-A, L.P. (collectively, the “Purchasers”) and Bison Capital Partners VI, L.P., as the purchaser representative (the “Purchaser Representative”) for the issuance and sale of $32,000,000 in aggregate principal amount of convertible notes due in 2029 (the “Convertible Notes”), which was used for general corporate purposes. The Convertible Notes bear interest at a rate of 10.0% per annum, compounded annually, and payable (i) in kind or (ii) in cash, annually in arrears on April 1 of each year, commencing on April 1, 2024. The Convertible Notes have an initial conversion price of approximately $15.00 per share of common stock (“Conversion Option”). Unless and until the Company delivers a redemption notice, the Purchasers of the Convertible Notes may convert their Convertible Notes at any time at their option. Upon conversion, the Convertible Notes will be settled in shares of the Company’s common stock. Except in the case of the occurrence of a fundamental transaction, as defined in the form of convertible promissory note, the Company may not redeem the Convertible Notes prior to March 31, 2026. After March 31, 2026, the Company may redeem all or part of the Convertible Notes for a cash purchase (the “Company Redemption”) price. On June 8, 2023, the Company entered into the first amendment to the Note Purchase Agreement, which among other things, removed a provision that specified the Purchasers would be entitled to receive a dividend or distribution payable in certain circumstances. This amendment was effective as of March 31, 2023. On August 1, 2023, the Company entered into the second amendment to the Note Purchase Agreement, which amended the definition of “Permitted Restricted Payments” to permit the prepayment of the Company’s Term Loans. The Company’s Convertible Notes are comprised of the following: June 30, 2023 March 31, 2023 Principal amount of Convertible Notes $ 32,000,000 $ 32,000,000 Less: unamortized debt discount attributed to Compound Net Derivative Liability (8,229,000 ) (8,430,000 ) Less: unamortized debt discount attributed to debt issuance costs (1,089,000 ) (1,006,000 ) Carrying amount of the Convertible Notes 22,682,000 22,564,000 Plus: Compound Net Derivative Liability 8,570,000 8,430,000 Net carrying amount of Convertible Notes, related party $ 31,252,000 $ 30,994,000 In connection with the Note Purchase Agreement, the Company entered into common stock warrants (the “Warrants”) with the Purchasers, which mature on March 30, 2029. The fair value of the Warrants, using Level 3 inputs and the Monte Carlo simulation model, was zero at June 30, 2023 and March 31, 2023. The Company Redemption option has been combined with the Conversion Option as a compound net derivative liability (the “Compound Net Derivative Liability”). The Compound Net Derivative Liability has been recorded within convertible note, related party The Convertible Notes also contain additional features, such as, default interest and options related to a fundamental transaction, which were not separately accounted for as the value of such features were not material at June 30, 2023 and March 31, 2023. Interest expense related to the Convertible Notes is as follows: Three Months Ended June 30, 2023 Contractual interest expense $ 800,000 Accretion of debt discount 201,000 Amortization of issuance costs 27,000 Total interest expense $ 1,028,000 There are no future payments required under the Convertible Notes prior to their maturity, therefore, the principal amount of the Convertible Notes plus interest payable in kind, assuming no early redemption or conversion has occurred, of $56,704,000 would be paid on March 30, 2029. |
Contract Liabilities
Contract Liabilities | 3 Months Ended |
Jun. 30, 2023 | |
Contract Liabilities [Abstract] | |
Contract Liabilities | 8. Contract Liabilities Contract liabilities are comprised of the following: June 30, 2023 March 31, 2023 Short-term contract liabilities Customer allowances earned $ 23,518,000 $ 19,997,000 Customer core returns accruals 16,259,000 11,112,000 Accrued core payment 3,141,000 3,056,000 Customer deposits 3,037,000 3,232,000 Core bank liability 1,699,000 1,686,000 Finished goods liabilities 1,349,000 1,257,000 Total short-term contract liabilities $ 49,003,000 $ 40,340,000 Long-term contract liabilities Customer core returns accruals $ 171,982,000 $ 170,420,000 Core bank liability 13,152,000 13,582,000 Accrued core payment 9,213,000 9,171,000 Finished goods liabilities 361,000 433,000 Total long-term contract liabilities $ 194,708,000 $ 193,606,000 |
Leases
Leases | 3 Months Ended |
Jun. 30, 2023 | |
Leases [Abstract] | |
Leases | 9. Leases The Company leases various facilities in North America and Asia under operating leases expiring through August 2033. The Company has material nonfunctional currency leases that could have a material impact on the Company’s condensed consolidated statements of operations. As required for other monetary liabilities, lessees remeasure foreign currency-denominated lease liabilities using the exchange rate at each reporting date, but the lease assets are nonmonetary assets measured at historical rates and are not affected by subsequent changes in the exchange rates. In connection with the remeasurement of these leases, the Company recorded a gain of $3,770,000 and $20,000 during the three months ended June 30, 2023 and 2022, respectively. These amounts are included in foreign exchange impact of lease liabilities and forward contracts in the condensed consolidated statements of operations. Balance sheet information for leases is as follows: Leases Classification June 30, 2023 March 31, 2023 Assets: Operating Operating lease assets $ 88,760,000 $ 87,619,000 Finance Plant and equipment 5,001,000 5,549,000 Total leased assets $ 93,761,000 $ 93,168,000 Liabilities: Current Operating Operating lease liabilities $ 8,914,000 $ 8,767,000 Finance Other current liabilities 1,802,000 1,851,000 Long-term Operating Long-term operating lease liabilities 77,013,000 79,318,000 Finance Other liabilities 2,333,000 2,742,000 Total lease liabilities $ 90,062,000 $ 92,678,000 Lease cost recognized in the condensed consolidated statements of operations is as follows: Three Months Ended June 30, 2023 2022 Lease cost Operating lease cost $ 3,742,000 $ 3,165,000 Short-term lease cost 293,000 454,000 Variable lease cost 186,000 185,000 Finance lease cost: Amortization of finance lease assets 403,000 539,000 Interest on finance lease liabilities 62,000 68,000 Total lease cost $ 4,686,000 $ 4,411,000 Maturities of lease commitments at June 30, 2023 by fiscal year were as follows: Maturity of lease liabilities Operating Leases Finance Leases Total 2024 $ 10,383,000 $ 1,521,000 $ 11,904,000 2025 12,352,000 1,576,000 13,928,000 2026 12,042,000 844,000 12,886,000 2027 10,822,000 353,000 11,175,000 2028 10,725,000 194,000 10,919,000 Thereafter 53,929,000 2,000 53,931,000 Total lease payments 110,253,000 4,490,000 114,743,000 Less amount representing interest (24,326,000 ) (355,000 ) (24,681,000 ) Present value of lease liabilities $ 85,927,000 $ 4,135,000 $ 90,062,000 Other information about leases is as follows: June 30, 2023 March 31, 2023 Lease term and discount rate Weighted-average remaining lease term (years): Finance leases 2.7 2.9 Operating leases 8.9 9.0 Weighted-average discount rate: Finance leases 5.9 % 5.9 % Operating leases 5.8 % 5.8 % |
Accounts Receivable Discount Pr
Accounts Receivable Discount Programs | 3 Months Ended |
Jun. 30, 2023 | |
Accounts Receivable Discount Programs [Abstract] | |
Accounts Receivable Discount Programs | 10. Accounts Receivable Discount Programs The Company uses receivable discount programs with certain customers and their respective banks. Under these programs, the Company may sell those customers’ receivables to those banks at a discount to be agreed upon at the time the receivables are sold. These discount arrangements allow the Company to accelerate receipt of payment on customers’ receivables. The following is a summary of accounts receivable discount programs: Three Months Ended June 30, 2023 2022 Receivables discounted $ 104,332,000 $ 142,624,000 Weighted average number of days collection was accelerated 337 327 Annualized weighted average discount rate 6.4 % 3.7 % Amount of discount recognized as interest expense $ 6,252,000 $ 4,874,000 |
Net Loss per Share
Net Loss per Share | 3 Months Ended |
Jun. 30, 2023 | |
Net Loss per Share [Abstract] | |
Net Income (Loss) per Share | 11. Net Loss per Share Basic net loss per share is computed by dividing net loss by the weighted average number of shares of common stock outstanding during the period. Diluted net loss per share includes the effect, if any, from the potential exercise or conversion of securities, such as stock options, Warrants, and Convertible Notes (as defined in Note 7), which would result in the issuance of incremental shares of common stock to the extent such impact is not anti-dilutive. The following presents a reconciliation of basic and diluted net loss per share: Three Months Ended June 30, 2023 2022 Net loss $ (1,410,000 ) $ (175,000 ) Basic shares 19,508,626 19,123,354 Effect of potentially dilutive securities - - Diluted shares 19,508,626 19,123,354 Net loss per share: Basic net loss per share $ (0.07 ) $ (0.01 ) Diluted net loss per share $ (0.07 ) $ (0.01 ) Potential common shares that would have the effect of increasing diluted net income per share or decreasing diluted net loss per share are considered to be anti-dilutive and as such, these shares are not included in calculating diluted net loss per share. For the three months ended June 30, 2023 and 2022, there were 2,067,168 and 2,301,901, respectively, of potential common shares not included in the calculation of diluted net loss per share because their effect was anti-dilutive. In addition, for the three months ended June 30, 2023, there were 2,186,667 of potential common shares not included in the calculation of diluted loss per share under the “if-converted” method for the Convertible Notes because their effect was anti-dilutive. The potential common shares related to the Warrants issued in connection with the Convertible Notes (see Note 7) are anti-dilutive until they become exercisable and as of June 30, 2023, the Warrants were not exercisable. |
Income Taxes
Income Taxes | 3 Months Ended |
Jun. 30, 2023 | |
Income Taxes [Abstract] | |
Income Taxes | 12. Income Taxes The Company recorded an income tax benefit of $9,000, or an effective tax rate of 0.6%, and income tax expense of $589,000, or an effective tax rate of 142.3%, for the three months ended June 30, 2023 and 2022, respectively. Effective tax rates are based on current annual projections and any changes in future periods could result in an effective tax rate that is materially different from the current estimate. The effective tax rate for the three months ended June 30, 2023, was primarily impacted by (i) foreign income taxed at rates that are different from the federal statutory rate, (ii) non-deductible executive compensation under Internal Revenue Code Section 162(m), and (iii) specific jurisdictions that the Company does not expect to recognize the benefit of losses. The Company and its subsidiaries file income tax returns in the U.S. federal, various state, and foreign jurisdictions with varying statutes of limitations. At June 30, 2023, the Company is not under any examination in any material jurisdiction, and remains subject to examination from the years ended March 31, 2018. The Company believes no significant changes in the unrecognized tax benefits will occur within the next 12 months. |
Financial Risk Management and D
Financial Risk Management and Derivatives | 3 Months Ended |
Jun. 30, 2023 | |
Financial Risk Management and Derivatives [Abstract] | |
Financial Risk Management and Derivatives | 13. Financial Risk Management and Derivatives Purchases and expenses denominated in currencies other than the U.S. dollar, which are primarily related to the Company’s overseas facilities, expose the Company to market risk from material movements in foreign exchange rates between the U.S. dollar and the foreign currencies. The Company’s primary risk exposure is from fluctuations in the value of the Mexican peso and to a lesser extent the Chinese yuan. To mitigate these risks, the Company enters into forward foreign currency exchange contracts to exchange U.S. dollars for these foreign currencies. The extent to which forward foreign currency exchange contracts are used, is modified periodically in response to the Company’s estimate of market conditions and the terms and length of anticipated requirements. The Company enters into forward foreign currency exchange contracts in order to reduce the impact of foreign currency fluctuations and not to engage in currency speculation. The use of derivative financial instruments allows the Company to reduce its exposure to the risk that the eventual cash outflow resulting from funding the expenses of the foreign operations will be materially affected by changes in exchange rates between the U.S. dollar and the foreign currencies. The Company does not hold or issue financial instruments for trading purposes. The Company designates forward foreign currency exchange contracts for forecasted expenditure requirements to fund foreign operations. The Company had forward foreign currency exchange contracts with a U.S. dollar equivalent notional value of and at respectively. These contracts generally have a term of or less, at rates agreed at the inception of the contracts. The counterparty to these derivative transactions is a major financial institution with investment grade credit rating; however, the Company is exposed to credit risk with this institution. The credit risk is limited to the potential unrealized gains (which offset currency fluctuations adverse to the Company) in any such contract should this counterparty fail to perform as contracted. Any changes in the fair values of forward foreign currency exchange contracts are included in foreign exchange impact of lease liabilities and forward contracts in the condensed consolidated statements of operations. The following shows the effect of derivative instruments on the condensed consolidated statements of operations: Gain (Loss) Recognized as Foreign Exchange Impact of Lease Liabilities and Forward Contracts Three Months Ended Derivatives Not Designated as June 30, Hedging Instruments 2023 2022 Forward foreign currency exchange contracts $ 500,000 $ (698,000 ) The fair value of the forward foreign currency exchange contracts of $4,389,000 and $3,889,000 is included in prepaid expenses and other current assets in the condensed consolidated balance sheets at June 30, 2023 and March 31, 2023, respectively. The changes in the fair values of forward foreign currency exchange contracts are included in foreign exchange impact of lease liabilities and forward contracts in the condensed consolidated statements of cash flows for the three months ended June 30, 2023 and 2022. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Jun. 30, 2023 | |
Fair Value Measurements [Abstract] | |
Fair Value Measurements | 14. Fair Value Measurements The following summarizes financial assets and liabilities measured at fair value, by level within the fair value hierarchy: June 30, 2023 March 31, 2023 Fair Value Measurements Fair Value Measurements Using Inputs Considered as Using Inputs Considered as Fair Value Level 1 Level 2 Level 3 Fair Value Level 1 Level 2 Level 3 Assets Short-term investments Mutual funds $ 2,159,000 $ 2,159,000 $ - $ - $ 2,011,000 $ 2,011,000 $ - $ - Prepaid expenses and other current assets Forward foreign currency exchange contracts 4,389,000 - 4,389,000 - 3,889,000 - 3,889,000 - Liabilities Other current liabilities Deferred compensation 2,159,000 2,159,000 - - 2,011,000 2,011,000 - - Convertible notes, related party Compound Net Derivative Liability 8,570,000 - - 8,570,000 8,430,000 - - 8,430,000 Short-term Investments and Deferred Compensation The Company’s short-term investments, which fund its deferred compensation liabilities, consist of investments in mutual funds. These investments are classified as Level 1 as the shares of these mutual funds trade with sufficient frequency and volume to enable the Company to obtain pricing information on an ongoing basis. Forward Foreign Currency Exchange Contracts The forward foreign currency exchange contracts are primarily measured based on the foreign currency spot and forward rates quoted by the banks or foreign currency dealers (See Note 13) . Compound Net Derivative Liability The Company estimates the fair value of the Compound Net Derivative Liability (see Note 7) using Level 3 inputs and the Monte Carlo simulation model at the balance sheet date. The Monte Carlo simulation model requires the input of subjective assumptions including the expected volatility of the underlying stock. These subjective assumptions are based on both historical and other information. Changes in the values assumed and used in the model can materially affect the estimate of fair value. This amount is recorded within convertible notes, related party in the condensed consolidated balance sheets at June 30, 2023 and March 31, 2023. Any changes in the fair value of the Compound Net Derivative Liability are recorded in change in fair value of compound net derivative liability in the condensed consolidated statements of operations. The following assumptions were used to determine the fair value of the Compound Net Derivative Liability: June 30, 2023 March 31, 2023 Risk free interest rate 4.09 % 3.64 % Cost of equity 22.30 % 21.80 % Weighted average cost of capital 14.70 % 14.60 % Expected volatility of MPA common stock 50.00 % 50.00 % EBITDA volatility 40.00 % 35.00 % The following summarizes the activity for Level 3 fair value measurements: Three Months Ended June 30, 2023 Beginning balance $ 8,430,000 Changes in fair value of Compound Net Derivative Liability included in earnings 140,000 Ending balance $ 8,570,000 During the three months ended June 30, 2023, the Company had no significant measurements of assets or liabilities at fair value on a nonrecurring basis subsequent to their initial recognition. The carrying amounts of cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities approximate their fair value due to the short-term nature of these instruments. The carrying amounts of the revolving loan, term loan and other long-term liabilities approximate their fair value based on the variable nature of interest rates and current rates for instruments with similar characteristics. At June 30, 2023 and March 31, 2023, the net carrying amount of the Convertible Notes was $31,252,000 and $30,994,000, respectively, with unamortized debt discounts and debt issuance costs of $9,318,000 and $9,436,000, respectively, and Compound Net Derivative Liability of $8,570,000 and $8,430,000, respectively. The estimated fair value of the Company’s Convertible Notes was $32,752,000 using Level 3 inputs at June 30, 2023. The net carrying amount of the Convertible Notes approximated their fair value at March 31, 2023, as they were issued on March 31, 2023. |
Share-based Payments
Share-based Payments | 3 Months Ended |
Jun. 30, 2023 | |
Share-based Payments [Abstract] | |
Share-based Payments | 15. Share-based Payments Stock Options During the three months ended June 30, 2023 and 2022, no options to purchase shares of the Company’s common stock were granted. The following is a summary of stock option transactions: Number of Weighted Average Shares Exercise Price Outstanding at March 31, 2023 1,232,745 $ 20.20 Granted - $ - Exercised - $ - Forfeited/Cancelled (97,683 ) $ 19.34 Expired - $ - Outstanding at June 30, 2023 1,135,062 $ 20.28 At June 30, 2023, options to purchase 1,009 shares of common stock were unvested at a weighted average exercise price of $17.38. At June 30, 2023, there was $1,000 of total unrecognized compensation expense related to unvested stock option awards, which will be recognized over the weighted average remaining vesting period of approximately two months. Restricted Stock Units and Restricted Stock Awards (collectively “RSUs”) During the three months ended June 30, 2023, no RSUs were granted by the Company. During the three months ended June 30, 2022, the Company granted (i) performance-based restricted stock awards which had a threshold performance level of 33,333 shares, a target performance level of 66,667 shares, and a maximum performance level of 100,000 shares at the grant date and (ii) 176,590 of time-based vesting restricted stock units, respectively, based on the closing market price on the grant date. The following is a summary of non-vested RSUs: Number of Shares Weighted Average Grant Date Fair Value Outstanding at March 31, 2023 429,354 $ 15.07 Granted - $ - Vested (147,215 ) $ 15.66 Forfeited/Cancelled (76,585 ) $ 13.23 Outstanding at June 30, 2023 205,554 $ 15.33 At June 30, 2023, there was $2,484,000 of unrecognized compensation expense related to RSUs, which will be recognized over the weighted average remaining vesting period of approximately 1.5 years. Performance Stock Units (“PSUs”) During the three months ended June 30, 2023, the Company granted 533,856 PSUs, which vest, subject to continued employment, as follows: (i) if the stock price is greater than or equal to $10.00 per share, then 1/3 1/3 1/3 During the three months ended June 30, 2022, the Company granted 126,028 PSUs (at target performance levels), which cliff vest after three-years, subject to continued employment. These awards are contingent and granted separately for each of the following metrics: adjusted EBITDA, net sales, and relative total shareholder return (“TSR”). Compensation cost at the grant date is recognized on a straight-line basis over the requisite service period to the extent the conditions are deemed probable. The number of shares earned at the end of the three-year period will vary, based only on actual performance, from 0% to 150% of the target number of PSUs granted. Adjusted EBITDA and net sales are considered performance conditions. The Company will reassess the probability of achieving each performance condition separately each reporting period. TSR is considered a market condition because it measures the Company’s return against the performance of the Russell 3000, excluding companies classified as financials and real estate, over a given period of time. Compensation cost related to the TSR award will not be adjusted even if the market condition is not met. The Company calculated the fair value of the PSUs for each component individually. The fair value of PSUs subject to performance conditions is equal to the closing stock price on the grant date. The fair value of PSUs subject to a market condition is determined using the Monte Carlo simulation model. The following table summarizes the assumptions used in determining the fair value of the awards subject to market conditions: Three Months Ended June 30, 2023 2022 Risk free interest rate 4.32 % 3.35 % Expected life in years 0.8-1.8 3 Expected volatility of MPA common stock 54.20 % 51.30 % Expected average volatility of peer companies - % 62.70 % Average correlation coefficient of peer companies - % 27.50 % Expected dividend yield - - Grant date fair value $ 3.57-5.06 $ 16.02 The following is a summary of non-vested PSUs: Number of Shares Weighted Average Grant Date Fair Value Outstanding at March 31, 2023 192,696 $ 17.48 Granted 533,856 $ 4.20 Vested - $ - Forfeited - $ - Outstanding at June 30, 2023 726,552 $ 7.73 At June 30, 2023, there was $ of unrecognized compensation expense related to these awards, which will be recognized over the weighted average remaining vesting period of approximately years |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Jun. 30, 2023 | |
Commitments and Contingencies [Abstract] | |
Commitments and Contingencies | 16. Commitments and Contingencies Warranty Returns The Company allows its customers to return goods that their consumers have returned to them, whether or not the returned item is defective (“warranty returns”). The Company accrues an estimate of its exposure to warranty returns based on a historical analysis of the level of this type of return as a percentage of unit sales. Amounts charged to expense for these warranty returns are considered in arriving at the Company’s net sales. The following summarizes the changes in the warranty returns: Three Months Ended June 30, 2023 2022 Balance at beginning of period $ 19,830,000 $ 20,125,000 Charged to expense 31,112,000 30,920,000 Amounts processed (34,265,000 ) (33,177,000 ) Balance at end of period $ 16,677,000 $ 17,868,000 Contingencies The Company is subject to various lawsuits and claims. In addition, government agencies and self-regulatory organizations have the ability to conduct periodic examinations of and administrative proceedings regarding the Company’s business, and its compliance with law, code, and regulations related to all matters including but not limited to environmental, information security, taxes, levies, tariffs and such. |
Segment Information
Segment Information | 3 Months Ended |
Jun. 30, 2023 | |
Segment Information [Abstract] | |
Segment Information | 17. Segment Information Effective as of the fourth quarter of fiscal 2023, the Company revised its segment reporting as it determined that its three operating segments no longer met the criteria to be aggregated. The Company recast its prior year segment disclosures to conform to the current year’s presentation. The Company’s three operating segments are: • Hard Parts , including (i) light duty rotating electric products such as alternators and starters, (ii) wheel hub products, (iii) brake-related products, including brake calipers, brake boosters, brake rotors, brake pads and brake master cylinders, and (iv) turbochargers, • Test Solutions and Diagnostic Equipment , including (i) applications for combustion engine vehicles, including bench top testers for alternators and starters, (ii) equipment for the pre- and post-production of electric vehicles, and (iii) software emulation of power systems applications for the electrification of all forms of transportation (including automobiles, trucks, the emerging electrification of systems within the aerospace industry, and electric vehicle charging stations), and • Heavy Duty , including non-discretionary automotive aftermarket replacement hard parts for heavy-duty truck, industrial, marine, and agricultural applications. The Company’s Hard Parts operating segment meets the criteria of a reportable segment while Test Solutions and Diagnostic Equipment and Heavy Duty are not material, are not required to be separately reported, and are included within the “all other” category. Financial information relating to the Company’s segments is as follows: Three Months Ended June 30, 2023 Hard Parts All Other Total Net sales to external customers $ 149,747,000 $ 9,958,000 $ 159,705,000 Intersegment sales 132,000 95,000 227,000 Operating income (loss) 11,506,000 (1,079,000 ) 10,427,000 Depreciation and amortization 2,679,000 354,000 3,033,000 Segment assets 1,063,301,000 52,368,000 1,115,669,000 Capital expenditures 40,000 - 40,000 Three Months Ended June 30, 2022 Hard Parts All Other Total Net sales to external customers $ 152,428,000 $ 11,557,000 $ 163,985,000 Intersegment sales 147,000 142,000 289,000 Operating income (loss) 9,611,000 (2,280,000 ) 7,331,000 Depreciation and amortization 2,751,000 373,000 3,124,000 Segment assets 1,005,718,000 44,530,000 1,050,248,000 Capital expenditures 1,342,000 33,000 1,375,000 Three Months Ended June 30, Net sales 2023 2022 Total net sales for reportable segment $ 149,879,000 $ 152,575,000 Other net sales 10,053,000 11,699,000 Elimination of intersegment net sales (227,000 ) (289,000 ) Total consolidated net sales $ 159,705,000 $ 163,985,000 Three Months Ended June 30, Profit or loss 2023 2022 Total operating income for reportable segment $ 11,506,000 $ 9,611,000 Other operating loss (1,079,000 ) (2,280,000 ) Elimination of intersegment operating income 14,000 4,000 Interest expense, net (11,720,000 ) (6,921,000 ) Change in fair value of compound net derivative liability (140,000 ) - Total consolidated (loss) income before income tax (benefit) expense $ (1,419,000 ) $ 414,000 Assets June 30, 2023 March 31, 2023 Total assets for reportable segment $ 1,063,301,000 $ 1,032,739,000 Other assets 52,368,000 49,778,000 Elimination of intersegment assets (57,482,000 ) (53,952,000 ) Total consolidated assets $ 1,058,187,000 $ 1,028,565,000 |
Share Repurchases
Share Repurchases | 3 Months Ended |
Jun. 30, 2023 | |
Share Repurchases [Abstract] | |
Share Repurchases | 18. Share Repurchases In August 2018, the Company’s board of directors approved an increase in its share repurchase program from $20,000,000 to $37,000,000 of its common stock. During the three mont |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Jun. 30, 2023 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 19. Related Party Transactions Lease In December 2022, the Company entered into an operating lease for its 35,000 square foot manufacturing, warehouse, and office facility in Ontario, Canada, with a company co-owned by a member of management. The lease, which commenced January 1, 2023, has an initial term of one year with a base rent of approximately $27,000 per month and includes options to renew for up to four years. The rent expense recorded by the Company for the related party lease was $81,000 for the three months ended June 30, 2023. |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Jun. 30, 2023 | |
Insider Trading Arrangements [Line Items] | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 3 Months Ended |
Jun. 30, 2023 | |
Basis of Presentation [Abstract] | |
Basis of Presentation | The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three months ended June 30, 2023 are not necessarily indicative of the results that may be expected for the fiscal year ending March 31, 2024. This report should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto for the fiscal year ended March 31, 2023, which are included in the Company’s Annual Report on Form 10-K filed with the Securities and Exchange Commission (“SEC”) on June 14, 2023. The accompanying condensed consolidated financial statements have been prepared on a consistent basis with, and there have been no material changes to the accounting policies described in Note 2, Summary of Significant Accounting Policies, to the consolidated financial statements that are presented in the Company’s Annual Report on Form 10-K for the fiscal year ended March 31, 2023. |
Accounts Receivable - Net (Tabl
Accounts Receivable - Net (Tables) | 3 Months Ended |
Jun. 30, 2023 | |
Accounts Receivable - Net [Abstract] | |
Accounts Receivable | Accounts receivable — net is comprised of the following: June 30, 2023 March 31, 2023 Accounts receivable — trade $ 165,486,000 $ 136,076,000 Allowance for credit losses (303,000 ) (339,000 ) Customer payment discrepancies (2,076,000 ) (1,634,000 ) Customer returns RGA issued (16,462,000 ) (14,235,000 ) Total accounts receivable — net $ 146,645,000 $ 119,868,000 |
Inventory (Tables)
Inventory (Tables) | 3 Months Ended |
Jun. 30, 2023 | |
Inventory [Abstract] | |
Inventory Net | Inventory is comprised of the following: June 30, 2023 March 31, 2023 Inventory Raw materials $ 149,545,000 $ 147,880,000 Work-in-process 10,097,000 7,033,000 Finished goods 202,874,000 201,198,000 362,516,000 356,111,000 Less allowance for excess and obsolete inventory (16,412,000 ) (16,436,000 ) Inventory — net 346,104,000 339,675,000 Inventory unreturned 18,083,000 16,579,000 Total inventory $ 364,187,000 $ 356,254,000 |
Contract Assets (Tables)
Contract Assets (Tables) | 3 Months Ended |
Jun. 30, 2023 | |
Contract Assets [Abstract] | |
Contract Assets | Contract assets are comprised of the following: June 30, 2023 March 31, 2023 Short-term contract assets Cores expected to be returned by customers $ 15,915,000 $ 13,463,000 Core premiums paid to customers 9,775,000 9,812,000 Upfront payments to customers 1,458,000 1,593,000 Finished goods premiums paid to customers 584,000 575,000 Total short-term contract assets $ 27,732,000 $ 25,443,000 Remanufactured cores held at customers’ locations $ 268,906,000 $ 271,628,000 Core premiums paid to customers 36,401,000 38,310,000 Long-term core inventory deposits 5,569,000 5,569,000 Finished goods premiums paid to customers 2,651,000 2,530,000 Upfront payments to customers 936,000 344,000 Total long-term contract assets $ 314,463,000 $ 318,381,000 |
Significant Customer and Othe_2
Significant Customer and Other Information (Tables) | 3 Months Ended |
Jun. 30, 2023 | |
Significant Customer and Other Information [Abstract] | |
Concentrations of Risk | Significant Customer Concentrations The largest customers accounted for the following percentage of consolidated net sales: Three Months Ended June 30, 2023 2022 Net sales Customer A 34 % 37 % Customer C 28 % 20 % Customer B 20 % 25 % Customer D 5 % 4 % Revenues for Customers A through C were derived from the Hard Parts segment and Test Solutions and Diagnostic Equipment segment. Revenues for Customer D were derived from the Hard Parts segment. See Note 17 for a discussion of the Company’s segments. The largest customers accounted for the following percentage of accounts receivable – trade: June 30, 2023 March 31, 2023 Accounts receivable - trade Customer A 34 % 33 % Customer C 30 % 21 % Customer B 15 % 18 % Customer D 8 % 12 % Geographic and Product Information The Company’s products are sold predominantly in North America and accounted for the following percentages of net sales: Three Months Ended June 30, 2023 2022 Product line Rotating electrical products 64 % 67 % Brake-related products 22 % 17 % Wheel hub products 11 % 12 % Other products 3 % 4 % 100 % 100 % |
Debt (Tables)
Debt (Tables) | 3 Months Ended |
Jun. 30, 2023 | |
Debt [Abstract] | |
Information About the Term Loan | The following summarizes information about the Term Loans: June 30, 2023 March 31, 2023 Principal amount of Term Loans $ 12,187,000 $ 13,125,000 Unamortized financing fees (167,000 ) (182,000 ) Net carrying amount of Term Loans 12,020,000 12,943,000 Less current portion of Term Loans (12,020,000 ) (3,664,000 ) Long-term portion of Term Loans $ - $ 9,279,000 |
Convertible Debt | The Company’s Convertible Notes are comprised of the following: June 30, 2023 March 31, 2023 Principal amount of Convertible Notes $ 32,000,000 $ 32,000,000 Less: unamortized debt discount attributed to Compound Net Derivative Liability (8,229,000 ) (8,430,000 ) Less: unamortized debt discount attributed to debt issuance costs (1,089,000 ) (1,006,000 ) Carrying amount of the Convertible Notes 22,682,000 22,564,000 Plus: Compound Net Derivative Liability 8,570,000 8,430,000 Net carrying amount of Convertible Notes, related party $ 31,252,000 $ 30,994,000 |
Total Interest Expense Recognized Related to Convertible Notes | Interest expense related to the Convertible Notes is as follows: Three Months Ended June 30, 2023 Contractual interest expense $ 800,000 Accretion of debt discount 201,000 Amortization of issuance costs 27,000 Total interest expense $ 1,028,000 |
Contract Liabilities (Tables)
Contract Liabilities (Tables) | 3 Months Ended |
Jun. 30, 2023 | |
Contract Liabilities [Abstract] | |
Contract Liabilities | Contract liabilities are comprised of the following: June 30, 2023 March 31, 2023 Short-term contract liabilities Customer allowances earned $ 23,518,000 $ 19,997,000 Customer core returns accruals 16,259,000 11,112,000 Accrued core payment 3,141,000 3,056,000 Customer deposits 3,037,000 3,232,000 Core bank liability 1,699,000 1,686,000 Finished goods liabilities 1,349,000 1,257,000 Total short-term contract liabilities $ 49,003,000 $ 40,340,000 Long-term contract liabilities Customer core returns accruals $ 171,982,000 $ 170,420,000 Core bank liability 13,152,000 13,582,000 Accrued core payment 9,213,000 9,171,000 Finished goods liabilities 361,000 433,000 Total long-term contract liabilities $ 194,708,000 $ 193,606,000 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Jun. 30, 2023 | |
Leases [Abstract] | |
Balance Sheet Information for Leases | Balance sheet information for leases is as follows: Leases Classification June 30, 2023 March 31, 2023 Assets: Operating Operating lease assets $ 88,760,000 $ 87,619,000 Finance Plant and equipment 5,001,000 5,549,000 Total leased assets $ 93,761,000 $ 93,168,000 Liabilities: Current Operating Operating lease liabilities $ 8,914,000 $ 8,767,000 Finance Other current liabilities 1,802,000 1,851,000 Long-term Operating Long-term operating lease liabilities 77,013,000 79,318,000 Finance Other liabilities 2,333,000 2,742,000 Total lease liabilities $ 90,062,000 $ 92,678,000 |
Lease Cost Recognized in Consolidated Statement of Operations | Lease cost recognized in the condensed consolidated statements of operations is as follows: Three Months Ended June 30, 2023 2022 Lease cost Operating lease cost $ 3,742,000 $ 3,165,000 Short-term lease cost 293,000 454,000 Variable lease cost 186,000 185,000 Finance lease cost: Amortization of finance lease assets 403,000 539,000 Interest on finance lease liabilities 62,000 68,000 Total lease cost $ 4,686,000 $ 4,411,000 |
Maturity of Lease Commitments | Maturities of lease commitments at June 30, 2023 by fiscal year were as follows: Maturity of lease liabilities Operating Leases Finance Leases Total 2024 $ 10,383,000 $ 1,521,000 $ 11,904,000 2025 12,352,000 1,576,000 13,928,000 2026 12,042,000 844,000 12,886,000 2027 10,822,000 353,000 11,175,000 2028 10,725,000 194,000 10,919,000 Thereafter 53,929,000 2,000 53,931,000 Total lease payments 110,253,000 4,490,000 114,743,000 Less amount representing interest (24,326,000 ) (355,000 ) (24,681,000 ) Present value of lease liabilities $ 85,927,000 $ 4,135,000 $ 90,062,000 |
Other Information about Leases | Other information about leases is as follows: June 30, 2023 March 31, 2023 Lease term and discount rate Weighted-average remaining lease term (years): Finance leases 2.7 2.9 Operating leases 8.9 9.0 Weighted-average discount rate: Finance leases 5.9 % 5.9 % Operating leases 5.8 % 5.8 % |
Accounts Receivable Discount _2
Accounts Receivable Discount Programs (Tables) | 3 Months Ended |
Jun. 30, 2023 | |
Accounts Receivable Discount Programs [Abstract] | |
Accounts Receivable Discount Programs | The following is a summary of accounts receivable discount programs: Three Months Ended June 30, 2023 2022 Receivables discounted $ 104,332,000 $ 142,624,000 Weighted average number of days collection was accelerated 337 327 Annualized weighted average discount rate 6.4 % 3.7 % Amount of discount recognized as interest expense $ 6,252,000 $ 4,874,000 |
Net Loss per Share (Tables)
Net Loss per Share (Tables) | 3 Months Ended |
Jun. 30, 2023 | |
Net Loss per Share [Abstract] | |
Reconciliation of Basic and Diluted Net Loss Per Share | The following presents a reconciliation of basic and diluted net loss per share: Three Months Ended June 30, 2023 2022 Net loss $ (1,410,000 ) $ (175,000 ) Basic shares 19,508,626 19,123,354 Effect of potentially dilutive securities - - Diluted shares 19,508,626 19,123,354 Net loss per share: Basic net loss per share $ (0.07 ) $ (0.01 ) Diluted net loss per share $ (0.07 ) $ (0.01 ) |
Financial Risk Management and_2
Financial Risk Management and Derivatives (Tables) | 3 Months Ended |
Jun. 30, 2023 | |
Financial Risk Management and Derivatives [Abstract] | |
Derivative Instruments on Consolidated Statements of Operations | The following shows the effect of derivative instruments on the condensed consolidated statements of operations: Gain (Loss) Recognized as Foreign Exchange Impact of Lease Liabilities and Forward Contracts Three Months Ended Derivatives Not Designated as June 30, Hedging Instruments 2023 2022 Forward foreign currency exchange contracts $ 500,000 $ (698,000 ) |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Jun. 30, 2023 | |
Fair Value Measurements [Abstract] | |
Financial Assets and Liabilities Measured at Fair Value Recurring Basis | The following summarizes financial assets and liabilities measured at fair value, by level within the fair value hierarchy: June 30, 2023 March 31, 2023 Fair Value Measurements Fair Value Measurements Using Inputs Considered as Using Inputs Considered as Fair Value Level 1 Level 2 Level 3 Fair Value Level 1 Level 2 Level 3 Assets Short-term investments Mutual funds $ 2,159,000 $ 2,159,000 $ - $ - $ 2,011,000 $ 2,011,000 $ - $ - Prepaid expenses and other current assets Forward foreign currency exchange contracts 4,389,000 - 4,389,000 - 3,889,000 - 3,889,000 - Liabilities Other current liabilities Deferred compensation 2,159,000 2,159,000 - - 2,011,000 2,011,000 - - Convertible notes, related party Compound Net Derivative Liability 8,570,000 - - 8,570,000 8,430,000 - - 8,430,000 |
Fair Value Assumptions | The following assumptions were used to determine the fair value of the Compound Net Derivative Liability: June 30, 2023 March 31, 2023 Risk free interest rate 4.09 % 3.64 % Cost of equity 22.30 % 21.80 % Weighted average cost of capital 14.70 % 14.60 % Expected volatility of MPA common stock 50.00 % 50.00 % EBITDA volatility 40.00 % 35.00 % |
Activity for Level 3 Fair Value Measurements | The following summarizes the activity for Level 3 fair value measurements: Three Months Ended June 30, 2023 Beginning balance $ 8,430,000 Changes in fair value of Compound Net Derivative Liability included in earnings 140,000 Ending balance $ 8,570,000 |
Share-based Payments (Tables)
Share-based Payments (Tables) | 3 Months Ended |
Jun. 30, 2023 | |
Share-based Payments [Abstract] | |
Stock Option Transactions | The following is a summary of stock option transactions: Number of Weighted Average Shares Exercise Price Outstanding at March 31, 2023 1,232,745 $ 20.20 Granted - $ - Exercised - $ - Forfeited/Cancelled (97,683 ) $ 19.34 Expired - $ - Outstanding at June 30, 2023 1,135,062 $ 20.28 |
Restricted Stock Units Activity | The following is a summary of non-vested RSUs: Number of Shares Weighted Average Grant Date Fair Value Outstanding at March 31, 2023 429,354 $ 15.07 Granted - $ - Vested (147,215 ) $ 15.66 Forfeited/Cancelled (76,585 ) $ 13.23 Outstanding at June 30, 2023 205,554 $ 15.33 |
Monte Carlo Valuation Model Assumptions Used in Determining Fair Value of TSR Awards | The following table summarizes the assumptions used in determining the fair value of the awards subject to market conditions: Three Months Ended June 30, 2023 2022 Risk free interest rate 4.32 % 3.35 % Expected life in years 0.8-1.8 3 Expected volatility of MPA common stock 54.20 % 51.30 % Expected average volatility of peer companies - % 62.70 % Average correlation coefficient of peer companies - % 27.50 % Expected dividend yield - - Grant date fair value $ 3.57-5.06 $ 16.02 |
Performance Stock Units Activity | The following is a summary of non-vested PSUs: Number of Shares Weighted Average Grant Date Fair Value Outstanding at March 31, 2023 192,696 $ 17.48 Granted 533,856 $ 4.20 Vested - $ - Forfeited - $ - Outstanding at June 30, 2023 726,552 $ 7.73 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 3 Months Ended |
Jun. 30, 2023 | |
Commitments and Contingencies [Abstract] | |
Changes in Warranty Returns | The following summarizes the changes in the warranty returns: Three Months Ended June 30, 2023 2022 Balance at beginning of period $ 19,830,000 $ 20,125,000 Charged to expense 31,112,000 30,920,000 Amounts processed (34,265,000 ) (33,177,000 ) Balance at end of period $ 16,677,000 $ 17,868,000 |
Segment Information (Tables)
Segment Information (Tables) | 3 Months Ended |
Jun. 30, 2023 | |
Segment Information [Abstract] | |
Financial Information Relating to Segments | Financial information relating to the Company’s segments is as follows: Three Months Ended June 30, 2023 Hard Parts All Other Total Net sales to external customers $ 149,747,000 $ 9,958,000 $ 159,705,000 Intersegment sales 132,000 95,000 227,000 Operating income (loss) 11,506,000 (1,079,000 ) 10,427,000 Depreciation and amortization 2,679,000 354,000 3,033,000 Segment assets 1,063,301,000 52,368,000 1,115,669,000 Capital expenditures 40,000 - 40,000 Three Months Ended June 30, 2022 Hard Parts All Other Total Net sales to external customers $ 152,428,000 $ 11,557,000 $ 163,985,000 Intersegment sales 147,000 142,000 289,000 Operating income (loss) 9,611,000 (2,280,000 ) 7,331,000 Depreciation and amortization 2,751,000 373,000 3,124,000 Segment assets 1,005,718,000 44,530,000 1,050,248,000 Capital expenditures 1,342,000 33,000 1,375,000 Three Months Ended June 30, Net sales 2023 2022 Total net sales for reportable segment $ 149,879,000 $ 152,575,000 Other net sales 10,053,000 11,699,000 Elimination of intersegment net sales (227,000 ) (289,000 ) Total consolidated net sales $ 159,705,000 $ 163,985,000 Three Months Ended June 30, Profit or loss 2023 2022 Total operating income for reportable segment $ 11,506,000 $ 9,611,000 Other operating loss (1,079,000 ) (2,280,000 ) Elimination of intersegment operating income 14,000 4,000 Interest expense, net (11,720,000 ) (6,921,000 ) Change in fair value of compound net derivative liability (140,000 ) - Total consolidated (loss) income before income tax (benefit) expense $ (1,419,000 ) $ 414,000 Assets June 30, 2023 March 31, 2023 Total assets for reportable segment $ 1,063,301,000 $ 1,032,739,000 Other assets 52,368,000 49,778,000 Elimination of intersegment assets (57,482,000 ) (53,952,000 ) Total consolidated assets $ 1,058,187,000 $ 1,028,565,000 |
Accounts Receivable - Net (Deta
Accounts Receivable - Net (Details) - USD ($) | Jun. 30, 2023 | Mar. 31, 2023 |
Components of accounts receivable [Abstract] | ||
Accounts receivable - trade | $ 165,486,000 | $ 136,076,000 |
Allowance for credit losses | (303,000) | (339,000) |
Customer payment discrepancies | (2,076,000) | (1,634,000) |
Customer returns RGA issued | (16,462,000) | (14,235,000) |
Total accounts receivable - net | $ 146,645,000 | $ 119,868,000 |
Inventory (Details)
Inventory (Details) - USD ($) | Jun. 30, 2023 | Mar. 31, 2023 |
Inventory [Abstract] | ||
Raw materials | $ 149,545,000 | $ 147,880,000 |
Work-in-process | 10,097,000 | 7,033,000 |
Finished goods | 202,874,000 | 201,198,000 |
Inventory, gross | 362,516,000 | 356,111,000 |
Less allowance for excess and obsolete inventory | (16,412,000) | (16,436,000) |
Inventory - net | 346,104,000 | 339,675,000 |
Inventory unreturned | 18,083,000 | 16,579,000 |
Total inventory | $ 364,187,000 | $ 356,254,000 |
Contract Assets (Details)
Contract Assets (Details) - USD ($) | 3 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Mar. 31, 2023 | |
Contract Assets [Abstract] | |||
Long-term contract assets, write-down | $ 778,000 | $ 572,000 | |
Short-term contract assets [Abstract] | |||
Cores expected to be returned by customers | 15,915,000 | $ 13,463,000 | |
Core premiums paid to customers | 9,775,000 | 9,812,000 | |
Upfront payments to customers | 1,458,000 | 1,593,000 | |
Finished goods premiums paid to customers | 584,000 | 575,000 | |
Total short-term contract assets | 27,732,000 | 25,443,000 | |
Long-term contract assets [Abstract] | |||
Remanufactured cores held at customers' locations | 268,906,000 | 271,628,000 | |
Core premiums paid to customers | 36,401,000 | 38,310,000 | |
Long-term core inventory deposits | 5,569,000 | 5,569,000 | |
Finished goods premiums paid to customers | 2,651,000 | 2,530,000 | |
Upfront payments to customers | 936,000 | 344,000 | |
Total long-term contract assets | $ 314,463,000 | $ 318,381,000 |
Significant Customer and Othe_3
Significant Customer and Other Information (Details) | 3 Months Ended | 12 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | Mar. 31, 2023 | |
Net Sales [Member] | Customer Concentration Risk [Member] | Customer A [Member] | |||
Concentration Risk [Abstract] | |||
Concentration risk percentage | 34% | 37% | |
Net Sales [Member] | Customer Concentration Risk [Member] | Customer C [Member] | |||
Concentration Risk [Abstract] | |||
Concentration risk percentage | 28% | 20% | |
Net Sales [Member] | Customer Concentration Risk [Member] | Customer B [Member] | |||
Concentration Risk [Abstract] | |||
Concentration risk percentage | 20% | 25% | |
Net Sales [Member] | Customer Concentration Risk [Member] | Customer D [Member] | |||
Concentration Risk [Abstract] | |||
Concentration risk percentage | 5% | 4% | |
Net Sales [Member] | Product Concentration Risk [Member] | |||
Concentration Risk [Abstract] | |||
Concentration risk percentage | 100% | 100% | |
Net Sales [Member] | Product Concentration Risk [Member] | Rotating Electrical Products [Member] | |||
Concentration Risk [Abstract] | |||
Concentration risk percentage | 64% | 67% | |
Net Sales [Member] | Product Concentration Risk [Member] | Brake-Related Products [Member] | |||
Concentration Risk [Abstract] | |||
Concentration risk percentage | 22% | 17% | |
Net Sales [Member] | Product Concentration Risk [Member] | Wheel Hub Products [Member] | |||
Concentration Risk [Abstract] | |||
Concentration risk percentage | 11% | 12% | |
Net Sales [Member] | Product Concentration Risk [Member] | Other Products [Member] | |||
Concentration Risk [Abstract] | |||
Concentration risk percentage | 3% | 4% | |
Accounts Receivable - Trade [Member] | Customer Concentration Risk [Member] | Customer A [Member] | |||
Concentration Risk [Abstract] | |||
Concentration risk percentage | 34% | 33% | |
Accounts Receivable - Trade [Member] | Customer Concentration Risk [Member] | Customer C [Member] | |||
Concentration Risk [Abstract] | |||
Concentration risk percentage | 30% | 21% | |
Accounts Receivable - Trade [Member] | Customer Concentration Risk [Member] | Customer B [Member] | |||
Concentration Risk [Abstract] | |||
Concentration risk percentage | 15% | 18% | |
Accounts Receivable - Trade [Member] | Customer Concentration Risk [Member] | Customer D [Member] | |||
Concentration Risk [Abstract] | |||
Concentration risk percentage | 8% | 12% |
Debt, Revolving Facility and Te
Debt, Revolving Facility and Term loans (Details) - USD ($) | 3 Months Ended | |
Jun. 30, 2023 | Mar. 31, 2023 | |
Summarized information about the term loan [Abstract] | ||
Less current portion of Term Loans | $ (12,020,000) | $ (3,664,000) |
Long-term portion of Term Loans | $ 0 | $ 9,279,000 |
Revolving Facility [Member] | ||
Amended Credit Facility [Abstract] | ||
Interest rate at end of period | 8.46% | 8.13% |
Revolving Facility [Member] | Letters of Credit [Member] | ||
Summarized information about the term loan [Abstract] | ||
Outstanding balance under revolving loan | $ 6,370,000 | |
Term Loans [Member] | ||
Amended Credit Facility [Abstract] | ||
Interest rate at end of period | 8.52% | 8.02% |
Summarized information about the term loan [Abstract] | ||
Principal amount of Term Loans | $ 12,187,000 | $ 13,125,000 |
Unamortized financing fees | (167,000) | (182,000) |
Net carrying amount of Term Loans | 12,020,000 | 12,943,000 |
Less current portion of Term Loans | (12,020,000) | (3,664,000) |
Long-term portion of Term Loans | 0 | 9,279,000 |
Credit Facility [Member] | ||
Amended Credit Facility [Abstract] | ||
Maximum borrowing capacity | $ 268,620,000 | |
Debt instrument, maturity date | May 28, 2026 | |
Credit Facility [Member] | Revolving Facility [Member] | ||
Amended Credit Facility [Abstract] | ||
Maximum borrowing capacity | $ 238,620,000 | |
Summarized information about the term loan [Abstract] | ||
Outstanding balance under revolving loan | 167,000,000 | $ 145,200,000 |
Amount available under revolving facility | 65,250,000 | |
Credit Facility [Member] | Term Loans [Member] | ||
Amended Credit Facility [Abstract] | ||
Maximum borrowing capacity | $ 30,000,000 |
Debt, Convertible Notes (Detail
Debt, Convertible Notes (Details) - USD ($) | 3 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Mar. 31, 2023 | |
Convertible Notes [Abstract] | |||
Net carrying amount of Convertible Notes, related party | $ 31,252,000 | $ 30,994,000 | |
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Net carrying amount of Convertible Notes, related party | Net carrying amount of Convertible Notes, related party | |
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Net carrying amount of Convertible Notes, related party | Net carrying amount of Convertible Notes, related party | |
Change in fair value of compound net derivative liability | $ 140,000 | $ 0 | |
Interest Expense [Abstract] | |||
Contractual interest expense | 800,000 | $ 0 | |
Convertible Notes [Member] | |||
Convertible Notes [Abstract] | |||
Principal amount of Convertible Notes | 32,000,000 | $ 32,000,000 | |
Less: unamortized debt discount attributed to Compound Net Derivative Liability | (8,229,000) | (8,430,000) | |
Less: unamortized debt discount attributed to debt issuance costs | (1,089,000) | (1,006,000) | |
Carrying amount of the Convertible Notes | 22,682,000 | 22,564,000 | |
Plus: Compound Net Derivative Liability | 8,570,000 | 8,430,000 | |
Net carrying amount of Convertible Notes, related party | $ 31,252,000 | $ 30,994,000 | |
Interest rate | 10% | ||
Warrants maturity date | Mar. 30, 2029 | ||
Conversion price (in dollars per share) | $ 15 | ||
Warrants fair value | $ 0 | $ 0 | |
Derivative liability | 10,800,000 | 10,400,000 | |
Derivative assets | 2,230,000 | $ 1,970,000 | |
Change in fair value of compound net derivative liability | 140,000 | ||
Interest Expense [Abstract] | |||
Contractual interest expense | 800,000 | ||
Accretion of debt discount | 201,000 | ||
Amortization of issuance costs | 27,000 | ||
Total interest expense | 1,028,000 | ||
Convertible Notes Principal plus interest, Fiscal Year Future payment [Abstract] | |||
Total payments | $ 56,704,000 |
Contract Liabilities (Details)
Contract Liabilities (Details) - USD ($) | Jun. 30, 2023 | Mar. 31, 2023 |
Short-term contract liabilities [Abstract] | ||
Customer allowances earned | $ 23,518,000 | $ 19,997,000 |
Customer core returns accruals | 16,259,000 | 11,112,000 |
Accrued core payment | 3,141,000 | 3,056,000 |
Customer deposits | 3,037,000 | 3,232,000 |
Core bank liability | 1,699,000 | 1,686,000 |
Finished goods liabilities | 1,349,000 | 1,257,000 |
Total short-term contract liabilities | 49,003,000 | 40,340,000 |
Long-term contract liabilities [Abstract] | ||
Customer core returns accruals | 171,982,000 | 170,420,000 |
Core bank liability | 13,152,000 | 13,582,000 |
Accrued core payment | 9,213,000 | 9,171,000 |
Finished goods liabilities | 361,000 | 433,000 |
Total long-term contract liabilities | $ 194,708,000 | $ 193,606,000 |
Leases, General Information (De
Leases, General Information (Details) - USD ($) | 3 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Leases [Abstract] | ||
Gain in foreign currency-denominated lease liabilities | $ 3,770,000 | $ 20,000 |
Leases, Balance Sheet Informati
Leases, Balance Sheet Information (Details) - USD ($) | Jun. 30, 2023 | Mar. 31, 2023 |
Assets [Abstract] | ||
Operating, Operating lease assets | $ 88,760,000 | $ 87,619,000 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Operating, Operating lease assets | Operating, Operating lease assets |
Finance, Plant and equipment | $ 5,001,000 | $ 5,549,000 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Plant and equipment - net | Plant and equipment - net |
Total leased assets | $ 93,761,000 | $ 93,168,000 |
Current [Abstract] | ||
Operating, Operating lease liabilities | $ 8,914,000 | $ 8,767,000 |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Operating, Operating lease liabilities | Operating, Operating lease liabilities |
Finance, Other current liabilities | $ 1,802,000 | $ 1,851,000 |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Other current liabilities | Other current liabilities |
Long-term [Abstract] | ||
Operating, Long-term operating lease liabilities | $ 77,013,000 | $ 79,318,000 |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Operating, Long-term operating lease liabilities | Operating, Long-term operating lease liabilities |
Finance, Other liabilities | $ 2,333,000 | $ 2,742,000 |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other liabilities | Other liabilities |
Total lease liabilities | $ 90,062,000 | $ 92,678,000 |
Leases, Cost Recognized in Cons
Leases, Cost Recognized in Consolidated Statements of Income (Details) - USD ($) | 3 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Lease cost [Abstract] | ||
Operating lease cost | $ 3,742,000 | $ 3,165,000 |
Short-term lease cost | 293,000 | 454,000 |
Variable lease cost | 186,000 | 185,000 |
Finance lease cost [Abstract] | ||
Amortization of finance lease assets | 403,000 | 539,000 |
Interest on finance lease liabilities | 62,000 | 68,000 |
Total lease cost | $ 4,686,000 | $ 4,411,000 |
Leases, Maturities of Lease Com
Leases, Maturities of Lease Commitments (Details) - USD ($) | Jun. 30, 2023 | Mar. 31, 2023 |
Operating Leases [Abstract] | ||
2024 - remaining nine months | $ 10,383,000 | |
2025 | 12,352,000 | |
2026 | 12,042,000 | |
2027 | 10,822,000 | |
2028 | 10,725,000 | |
Thereafter | 53,929,000 | |
Total lease payments | 110,253,000 | |
Less amount representing interest | (24,326,000) | |
Present value of lease liabilities | 85,927,000 | |
Finance Leases [Abstract] | ||
2024 - remaining nine months | 1,521,000 | |
2025 | 1,576,000 | |
2026 | 844,000 | |
2027 | 353,000 | |
2028 | 194,000 | |
Thereafter | 2,000 | |
Total lease payments | 4,490,000 | |
Less amount representing interest | (355,000) | |
Present value of lease liabilities | 4,135,000 | |
Total [Abstract] | ||
2024 - remaining nine months | 11,904,000 | |
2025 | 13,928,000 | |
2026 | 12,886,000 | |
2027 | 11,175,000 | |
2028 | 10,919,000 | |
Thereafter | 53,931,000 | |
Total lease payments | 114,743,000 | |
Less amount representing interest | (24,681,000) | |
Present value of lease liabilities | $ 90,062,000 | $ 92,678,000 |
Leases, Other Information (Deta
Leases, Other Information (Details) | Jun. 30, 2023 | Mar. 31, 2023 |
Weighted-average remaining lease term (years) [Abstract] | ||
Finance leases | 2 years 8 months 12 days | 2 years 10 months 24 days |
Operating leases | 8 years 10 months 24 days | 9 years |
Weighted-average discount rate [Abstract] | ||
Finance leases | 5.90% | 5.90% |
Operating leases | 5.80% | 5.80% |
Accounts Receivable Discount _3
Accounts Receivable Discount Programs (Details) - USD ($) | 3 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Accounts Receivable Discount Programs [Abstract] | ||
Receivables discounted | $ 104,332,000 | $ 142,624,000 |
Weighted average number of days collection was accelerated | 337 days | 327 days |
Annualized weighted average discount rate | 6.40% | 3.70% |
Amount of discount as interest expense | $ 6,252,000 | $ 4,874,000 |
Net Loss per Share (Details)
Net Loss per Share (Details) - USD ($) | 3 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Reconciliation of basic and diluted net loss per share [Abstract] | ||
Net loss | $ (1,410,000) | $ (175,000) |
Basic shares (in shares) | 19,508,626 | 19,123,354 |
Effect of potentially dilutive securities (in shares) | 0 | 0 |
Diluted shares (in shares) | 19,508,626 | 19,123,354 |
Net loss per share, Basic [Abstract] | ||
Basic net loss per share (in dollars per share) | $ (0.07) | $ (0.01) |
Net loss per share, Diluted [Abstract] | ||
Diluted net loss per share (in dollars per share) | $ (0.07) | $ (0.01) |
Options [Member] | ||
Antidilutive Securities [Abstract] | ||
Antidilutive shares excluded from computation of earnings per share (in shares) | 2,067,168 | 2,301,901 |
Convertible Notes [Member] | ||
Antidilutive Securities [Abstract] | ||
Antidilutive shares excluded from computation of earnings per share (in shares) | 2,186,667 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | 3 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Income Taxes [Abstract] | ||
Income tax (benefit) expense | $ (9,000) | $ 589,000 |
Effective income tax rate | 0.60% | 142.30% |
Financial Risk Management and_3
Financial Risk Management and Derivatives (Details) - USD ($) | 3 Months Ended | ||
Jun. 30, 2023 | Jun. 30, 2022 | Mar. 31, 2023 | |
Foreign Currency Exchange Contracts [Abstract] | |||
Forward foreign currency exchange contracts | $ (140,000) | $ 0 | |
Forward foreign currency exchange contracts included in prepaid and other current assets | 4,389,000 | $ 3,889,000 | |
Forward Foreign Currency Exchange Contracts [Member] | |||
Foreign Currency Exchange Contracts [Abstract] | |||
Notional amount of foreign currency derivatives | 50,125,000 | $ 48,486,000 | |
Forward Foreign Currency Exchange Contracts [Member] | Foreign Exchange Impact of Lease Liabilities and Forward Contracts [Member] | |||
Foreign Currency Exchange Contracts [Abstract] | |||
Forward foreign currency exchange contracts | $ 500,000 | $ (698,000) | |
Forward Foreign Currency Exchange Contracts [Member] | Maximum [Member] | |||
Foreign Currency Exchange Contracts [Abstract] | |||
Derivative, term of contract | 1 year |
Fair Value Measurements (Detail
Fair Value Measurements (Details) | 3 Months Ended | |
Jun. 30, 2023 USD ($) | Mar. 31, 2023 USD ($) | |
Change in contingent consideration measured at fair value recurring basis using significant unobservable inputs (Level 3) [Roll Forward] | ||
Net carrying amount of convertible notes | $ 31,252,000 | $ 30,994,000 |
Compound Net Derivative Liability [Member] | ||
Change in contingent consideration measured at fair value recurring basis using significant unobservable inputs (Level 3) [Roll Forward] | ||
Beginning balance | 8,430,000 | |
Changes in fair value of Compound Net Derivative Liability included in earnings | 140,000 | |
Ending balance | 8,570,000 | |
Net carrying amount of convertible notes | 31,252,000 | 30,994,000 |
Unamortized debt discount and debt issuance costs | $ 9,318,000 | $ 9,436,000 |
Compound Net Derivative Liability [Member] | Risk Free Interest Rate [Member] | ||
Fair Value Valuation [Abstract] | ||
Assumptions for fair value of Compound Net Derivative Liability | 0.0409 | 0.0364 |
Compound Net Derivative Liability [Member] | Cost of Equity [Member] | ||
Fair Value Valuation [Abstract] | ||
Assumptions for fair value of Compound Net Derivative Liability | 0.223 | 0.218 |
Compound Net Derivative Liability [Member] | Weighted Average Cost of Capital [Member] | ||
Fair Value Valuation [Abstract] | ||
Assumptions for fair value of Compound Net Derivative Liability | 0.147 | 0.146 |
Compound Net Derivative Liability [Member] | Expected Volatility of MPA Common Stock [Member] | ||
Fair Value Valuation [Abstract] | ||
Assumptions for fair value of Compound Net Derivative Liability | 0.50 | 0.50 |
Compound Net Derivative Liability [Member] | EBITDA Volatility [Member] | ||
Fair Value Valuation [Abstract] | ||
Assumptions for fair value of Compound Net Derivative Liability | 0.40 | 0.35 |
Level 3 [Member] | Convertible Notes [Member] | ||
Change in contingent consideration measured at fair value recurring basis using significant unobservable inputs (Level 3) [Roll Forward] | ||
Estimated fair value of convertible notes | $ 32,752,000 | |
Recurring [Member] | ||
Short-term investments [Abstract] | ||
Mutual funds | 2,159,000 | $ 2,011,000 |
Prepaid expense and other current assets [Abstract] | ||
Forward foreign currency exchange contracts | 4,389,000 | 3,889,000 |
Other current liabilities [Abstract] | ||
Deferred compensation | 2,159,000 | 2,011,000 |
Convertible notes, related party [Abstract] | ||
Compound Net Derivative Liability | 8,570,000 | 8,430,000 |
Recurring [Member] | Level 1 [Member] | ||
Short-term investments [Abstract] | ||
Mutual funds | 2,159,000 | 2,011,000 |
Prepaid expense and other current assets [Abstract] | ||
Forward foreign currency exchange contracts | 0 | 0 |
Other current liabilities [Abstract] | ||
Deferred compensation | 2,159,000 | 2,011,000 |
Convertible notes, related party [Abstract] | ||
Compound Net Derivative Liability | 0 | 0 |
Recurring [Member] | Level 2 [Member] | ||
Short-term investments [Abstract] | ||
Mutual funds | 0 | 0 |
Prepaid expense and other current assets [Abstract] | ||
Forward foreign currency exchange contracts | 4,389,000 | 3,889,000 |
Other current liabilities [Abstract] | ||
Deferred compensation | 0 | 0 |
Convertible notes, related party [Abstract] | ||
Compound Net Derivative Liability | 0 | 0 |
Recurring [Member] | Level 3 [Member] | ||
Short-term investments [Abstract] | ||
Mutual funds | 0 | 0 |
Prepaid expense and other current assets [Abstract] | ||
Forward foreign currency exchange contracts | 0 | 0 |
Other current liabilities [Abstract] | ||
Deferred compensation | 0 | 0 |
Convertible notes, related party [Abstract] | ||
Compound Net Derivative Liability | $ 8,570,000 | $ 8,430,000 |
Share-based Payments - Stock Op
Share-based Payments - Stock Options Activity (Details) - Stock Options [Member] - USD ($) | 3 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Number of Shares [Roll Forward] | ||
Outstanding at beginning of period (in shares) | 1,232,745 | |
Granted (in shares) | 0 | 0 |
Exercised (in shares) | 0 | |
Forfeited/Cancelled (in shares) | (97,683) | |
Expired (in shares) | 0 | |
Outstanding at end of period (in shares) | 1,135,062 | |
Weighted Average Exercise Price [Roll Forward] | ||
Outstanding at beginning of period (in dollars per share) | $ 20.2 | |
Granted (in dollars per share) | 0 | |
Exercised (in dollars per share) | 0 | |
Forfeited/Cancelled (in dollars per share) | 19.34 | |
Expired (in dollars per share) | 0 | |
Outstanding at end of period (in dollars per share) | $ 20.28 | |
Number of stock options unvested (in shares) | 1,009 | |
Weighted average exercise price of stock options unvested (in dollars per share) | $ 17.38 | |
Total unrecognized compensation expense | $ 1,000 | |
Weighted average remaining vesting period over which compensation expense is expected to be recognized | 2 months |
Share-based Payments - Restrict
Share-based Payments - Restricted Stock Units (Details) - USD ($) | 3 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Restricted Stock [Member] | ||
Number of Shares [Roll Forward] | ||
Non-vested at beginning of period (in shares) | 429,354 | |
Granted (in shares) | 0 | |
Vested (in shares) | (147,215) | |
Forfeited/Cancelled (in shares) | (76,585) | |
Non-vested at end of period (in shares) | 205,554 | |
Weighted Average Grant Date Fair Value [Roll Forward] | ||
Non-vested at beginning of period (in dollars per share) | $ 15.07 | |
Granted (in dollars per share) | 0 | |
Vested (in dollars per share) | 15.66 | |
Forfeited/Cancelled (in dollars per share) | 13.23 | |
Non-vested at end of period (in dollars per share) | $ 15.33 | |
Total unrecognized compensation expense | $ 2,484,000 | |
Weighted average remaining vesting period over which compensation expense is expected to be recognized | 1 year 6 months | |
Restricted Stock, Threshold Performance Level [Member] | ||
Number of Shares [Roll Forward] | ||
Granted (in shares) | 33,333 | |
Restricted Stock, Target Performance Level [Member] | ||
Number of Shares [Roll Forward] | ||
Granted (in shares) | 66,667 | |
Restricted Stock, Maximum Performance Level [Member] | ||
Number of Shares [Roll Forward] | ||
Granted (in shares) | 100,000 | |
Restricted Stock, Time-based [Member] | ||
Number of Shares [Roll Forward] | ||
Granted (in shares) | 176,590 |
Share-based Payments - Performa
Share-based Payments - Performance Stock Units (Details) - Performance Stock Units [Member] | 3 Months Ended | |
Jun. 30, 2023 USD ($) d $ / shares shares | Jun. 30, 2022 $ / shares shares | |
Performance Stock Units ("PSUs") [Abstract] | ||
Number of trading days | d | 30 | |
Vesting period | 3 years | |
Monte Carlo valuation model assumptions used in determining the fair value of the TSR awards [Abstract] | ||
Risk free interest rate | 4.32% | 3.35% |
Expected life in years | 3 years | |
Expected volatility of MPA common stock | 54.20% | 51.30% |
Expected average volatility of peer companies | 0% | 62.70% |
Average correlation coefficient of peer companies | 0% | 27.50% |
Expected dividend yield | 0% | 0% |
Grant date fair value (in dollars per share) | $ 16.02 | |
Number of Shares [Roll Forward] | ||
Non-vested at beginning of period (in shares) | shares | 192,696 | |
Granted (in shares) | shares | 533,856 | 126,028 |
Vested (in shares) | shares | 0 | |
Forfeited (in shares) | shares | 0 | |
Non-vested at end of period (in shares) | shares | 726,552 | |
Weighted Average Grant Date Fair Value [Roll Forward] | ||
Non-vested at beginning of period (in dollars per share) | $ 17.48 | |
Granted (in dollars per share) | 4.2 | |
Vested (in dollars per share) | 0 | |
Forfeited (in dollars per share) | 0 | |
Non-vested at end of period (in dollars per share) | $ 7.73 | |
Total unrecognized compensation expense | $ | $ 3,827,000 | |
Weighted average remaining vesting period over which compensation expense is expected to be recognized | 1 year 8 months 12 days | |
Minimum [Member] | ||
Performance Stock Units ("PSUs") [Abstract] | ||
Awards vesting target percentage | 0% | |
Monte Carlo valuation model assumptions used in determining the fair value of the TSR awards [Abstract] | ||
Expected life in years | 9 months 18 days | |
Grant date fair value (in dollars per share) | $ 3.57 | |
Maximum [Member] | ||
Performance Stock Units ("PSUs") [Abstract] | ||
Awards vesting target percentage | 150% | |
Monte Carlo valuation model assumptions used in determining the fair value of the TSR awards [Abstract] | ||
Expected life in years | 1 year 9 months 18 days | |
Grant date fair value (in dollars per share) | $ 5.06 | |
Tranche One [Member] | ||
Performance Stock Units ("PSUs") [Abstract] | ||
Stock price (in dollars per share) | $ 10 | |
Percentage of stock price | 33% | |
Tranche Two [Member] | ||
Performance Stock Units ("PSUs") [Abstract] | ||
Stock price (in dollars per share) | $ 15 | |
Percentage of stock price | 33% | |
Tranche Three [Member] | ||
Performance Stock Units ("PSUs") [Abstract] | ||
Stock price (in dollars per share) | $ 20 | |
Percentage of stock price | 33% | |
Tranche Three [Member] | Minimum [Member] | ||
Performance Stock Units ("PSUs") [Abstract] | ||
Stock price (in dollars per share) | $ 17.5 | |
Eligible vesting percentage for recipients | 50% | |
Tranche Three [Member] | Maximum [Member] | ||
Performance Stock Units ("PSUs") [Abstract] | ||
Stock price (in dollars per share) | $ 25 | |
Eligible vesting percentage for recipients | 150% |
Commitments and Contingencies_2
Commitments and Contingencies (Details) - USD ($) | 3 Months Ended | |
Jun. 30, 2023 | Jun. 30, 2022 | |
Change in warranty returns [Roll Forward] | ||
Balance at beginning of period | $ 19,830,000 | $ 20,125,000 |
Charged to expense | 31,112,000 | 30,920,000 |
Amounts processed | (34,265,000) | (33,177,000) |
Balance at end of period | $ 16,677,000 | $ 17,868,000 |
Segment Information (Details)
Segment Information (Details) | 3 Months Ended | ||
Jun. 30, 2023 USD ($) Segment | Jun. 30, 2022 USD ($) | Mar. 31, 2023 USD ($) | |
Segment Information [Abstract] | |||
Number of operating segments | Segment | 3 | ||
Selected Financial Data [Abstract] | |||
Net sales | $ 159,705,000 | $ 163,985,000 | |
Operating income (loss) | 10,441,000 | 7,335,000 | |
Segment assets | 1,058,187,000 | $ 1,028,565,000 | |
Interest expense, net | (11,720,000) | (6,921,000) | |
Change in fair value of compound net derivative liability | (140,000) | 0 | |
(Loss) income before income tax expense | (1,419,000) | 414,000 | |
Hard Parts [Member] | |||
Selected Financial Data [Abstract] | |||
Net sales | 149,747,000 | 152,428,000 | |
All Other [Member] | |||
Selected Financial Data [Abstract] | |||
Net sales | 9,958,000 | 11,557,000 | |
Operating Segments [Member] | |||
Selected Financial Data [Abstract] | |||
Operating income (loss) | 10,427,000 | 7,331,000 | |
Depreciation and amortization | 3,033,000 | 3,124,000 | |
Segment assets | 1,115,669,000 | 1,050,248,000 | |
Capital expenditures | 40,000 | 1,375,000 | |
Operating Segments [Member] | Hard Parts [Member] | |||
Selected Financial Data [Abstract] | |||
Net sales | 149,879,000 | 152,575,000 | |
Operating income (loss) | 11,506,000 | 9,611,000 | |
Depreciation and amortization | 2,679,000 | 2,751,000 | |
Segment assets | 1,063,301,000 | 1,005,718,000 | 1,032,739,000 |
Capital expenditures | 40,000 | 1,342,000 | |
Operating Segments [Member] | All Other [Member] | |||
Selected Financial Data [Abstract] | |||
Net sales | 10,053,000 | 11,699,000 | |
Operating income (loss) | (1,079,000) | (2,280,000) | |
Depreciation and amortization | 354,000 | 373,000 | |
Segment assets | 52,368,000 | 44,530,000 | 49,778,000 |
Capital expenditures | 0 | 33,000 | |
Intersegment Sales [Member] | |||
Selected Financial Data [Abstract] | |||
Net sales | (227,000) | (289,000) | |
Operating income (loss) | 14,000 | 4,000 | |
Segment assets | (57,482,000) | $ (53,952,000) | |
Intersegment Sales [Member] | Hard Parts [Member] | |||
Selected Financial Data [Abstract] | |||
Net sales | 132,000 | 147,000 | |
Intersegment Sales [Member] | All Other [Member] | |||
Selected Financial Data [Abstract] | |||
Net sales | $ 95,000 | $ 142,000 |
Share Repurchases (Details)
Share Repurchases (Details) - Common Stock [Member] - USD ($) | 3 Months Ended | |
Jun. 30, 2023 | Aug. 31, 2018 | |
Stock Repurchase Program [Abstract] | ||
Stock repurchase program, approved amount | $ 37,000,000 | $ 20,000,000 |
Repurchase of shares (in shares) | 0 | |
Shares utilized, amount | $ 18,745,000 | |
Shares available for repurchase, amount | $ 18,255,000 | |
Shares repurchased and retired (in shares) | 837,007 |
Related Party Transactions (Det
Related Party Transactions (Details) - Company Co-owned by Member of Management [Member] - Manufacturing Facility [Member] | 3 Months Ended | |
Jun. 30, 2023 USD ($) | Dec. 31, 2022 USD ($) ft² | |
Operating Lease [Abstract] | ||
Area of facility | ft² | 35,000 | |
Initial lease term | 1 year | |
Base rent | $ 27,000 | |
Lease renewal term | 4 years | |
Rent expenses | $ 81,000 |