Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2018 | Apr. 27, 2018 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | NSIT | |
Entity Registrant Name | INSIGHT ENTERPRISES INC | |
Entity Central Index Key | 932,696 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 35,436,195 |
Consolidated Balance Sheets (un
Consolidated Balance Sheets (unaudited) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 100,237 | $ 105,831 |
Accounts receivable, net of allowance for doubtful accounts of $10,101 and $10,158, respectively | 1,751,321 | 1,814,560 |
Inventories | 194,743 | 194,529 |
Inventories not available for sale | 645 | 36,956 |
Other current assets | 119,404 | 152,467 |
Total current assets | 2,166,350 | 2,304,343 |
Property and equipment, net of accumulated depreciation and amortization of $325,608 and $335,078, respectively | 75,579 | 75,252 |
Goodwill | 131,403 | 131,431 |
Intangible assets, net of accumulated amortization of $40,949 and $37,357, respectively | 97,158 | 100,778 |
Deferred income taxes | 16,019 | 17,064 |
Other assets | 85,902 | 56,783 |
Total assets | 2,572,411 | 2,685,651 |
Current liabilities: | ||
Accounts payable - trade | 882,782 | 899,075 |
Accounts payable - inventory financing facility | 228,102 | 319,468 |
Accrued expenses and other current liabilities | 175,147 | 175,860 |
Current portion of long-term debt | 16,358 | 16,592 |
Deferred revenue | 70,955 | 88,979 |
Total current liabilities | 1,373,344 | 1,499,974 |
Long-term debt | 245,569 | 296,576 |
Deferred income taxes | 672 | 717 |
Other liabilities | 72,225 | 44,915 |
Total liabilities | 1,691,810 | 1,842,182 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Preferred stock, $0.01 par value, 3,000 shares authorized; no shares issued | ||
Common stock, $0.01 par value, 100,000 shares authorized; 35,848 shares at March 31, 2018 and 35,829 shares at December 31, 2017 issued and outstanding | 358 | 358 |
Additional paid-in capital | 315,493 | 317,155 |
Retained earnings | 584,423 | 550,220 |
Accumulated other comprehensive loss - foreign currency translation adjustments | (19,673) | (24,264) |
Total stockholders' equity | 880,601 | 843,469 |
Total liabilities and stockholders' equity | $ 2,572,411 | $ 2,685,651 |
Consolidated Balance Sheets (u3
Consolidated Balance Sheets (unaudited) (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Allowance for doubtful accounts receivable | $ 10,101 | $ 10,158 |
Accumulated depreciation and amortization of property and equipment | 325,608 | 335,078 |
Accumulated amortization of intangible assets | $ 40,949 | $ 37,357 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 3,000,000 | 3,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 35,848,000 | 35,829,000 |
Common stock, shares outstanding | 35,848,000 | 35,829,000 |
Consolidated Statements of Oper
Consolidated Statements of Operations (unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Net sales: | ||
Products | $ 1,582,155 | $ 1,321,969 |
Services | 180,748 | 155,574 |
Total net sales | 1,762,903 | 1,477,543 |
Costs of goods sold: | ||
Products | 1,438,734 | 1,201,057 |
Services | 84,164 | 68,259 |
Total costs of goods sold | 1,522,898 | 1,269,316 |
Gross profit | 240,005 | 208,227 |
Operating expenses: | ||
Selling and administrative expenses | 188,180 | 177,632 |
Severance and restructuring expenses | 1,644 | 4,695 |
Acquisition-related expenses | 2,947 | |
Earnings from operations | 50,181 | 22,953 |
Non-operating (income) expense: | ||
Interest income | (153) | (431) |
Interest expense | 6,015 | 3,933 |
Net foreign currency exchange (gain) loss | (245) | 380 |
Other expense, net | 302 | 315 |
Earnings before income taxes | 44,262 | 18,756 |
Income tax expense | 11,517 | 4,908 |
Net earnings | $ 32,745 | $ 13,848 |
Net earnings per share: | ||
Basic | $ 0.91 | $ 0.39 |
Diluted | $ 0.90 | $ 0.38 |
Shares used in per share calculations: | ||
Basic | 35,913 | 35,602 |
Diluted | 36,263 | 36,185 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Statement of Comprehensive Income [Abstract] | ||
Net earnings | $ 32,745 | $ 13,848 |
Other comprehensive income (loss), net of tax: | ||
Foreign currency translation adjustments | 4,591 | 7,280 |
Total comprehensive income | $ 37,336 | $ 21,128 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Cash flows from operating activities: | ||
Net earnings | $ 32,745 | $ 13,848 |
Adjustments to reconcile net earnings to net cash provided by (used in) operating activities: | ||
Depreciation and amortization of property and equipment | 5,433 | 6,830 |
Amortization of intangible assets | 3,611 | 4,223 |
Provision for losses on accounts receivable | 346 | 921 |
Write-downs of inventories | 629 | 392 |
Write-off of property and equipment | 303 | |
Non-cash stock-based compensation | 3,184 | 3,412 |
Deferred income taxes | 979 | (573) |
Changes in assets and liabilities, net of acquisitions and sale of foreign entity: | ||
Decrease in accounts receivable | 188,138 | 182,710 |
Decrease (increase) in inventories | 4,444 | (22,257) |
(Increase) decrease in other assets | (28,517) | 1,043 |
Decrease in accounts payable | (97,104) | (334,221) |
Increase in deferred revenue | 16,177 | 9,808 |
Increase (decrease) in accrued expenses and other liabilities | 20,377 | (18,238) |
Net cash provided by (used in) operating activities | 150,745 | (152,102) |
Cash flows from investing activities: | ||
Purchases of property and equipment | (5,044) | (10,052) |
Acquisitions, net of cash and cash equivalents acquired | (180,859) | |
Net cash used in investing activities | (5,044) | (190,911) |
Cash flows from financing activities: | ||
Borrowings on senior revolving credit facility | 276,684 | 169,109 |
Repayments on senior revolving credit facility | (392,184) | (169,109) |
Borrowings on accounts receivable securitization financing facility | 1,024,000 | 918,500 |
Repayments on accounts receivable securitization financing facility | (955,000) | (762,000) |
Borrowings under Term Loan A | 175,000 | |
Repayments under Term Loan A | (3,281) | |
Repayments under other financing agreements | (1,234) | (3,419) |
Payments on capital lease obligations | (288) | (128) |
Net repayments under inventory financing facility | (91,366) | (4,172) |
Payment of debt issuance costs | (1,123) | |
Payment of payroll taxes on stock-based compensation through shares withheld | (2,884) | (4,526) |
Repurchases of common stock | (7,679) | |
Net cash (used in) provided by financing activities | (153,232) | 318,132 |
Foreign currency exchange effect on cash, cash equivalents and restricted cash balances | 1,937 | 5,820 |
Decrease in cash, cash equivalents and restricted cash | (5,594) | (19,061) |
Cash, cash equivalents and restricted cash at beginning of period | 107,445 | 205,946 |
Cash, cash equivalents and restricted cash at end of period | $ 101,851 | $ 186,885 |
Basis of Presentation and Recen
Basis of Presentation and Recently Issued Accounting Standards | 3 Months Ended |
Mar. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Recently Issued Accounting Standards | 1. Basis of Presentation and Recently Issued Accounting Standards We are a Fortune 500 global IT provider helping businesses of all sizes – from small and medium sized firms to worldwide enterprises, governments, schools and health care organizations – define, architect, implement and manage Intelligent Technology Solutions TM Operating Segment Geography North America United States and Canada EMEA Europe, Middle East and Africa APAC Asia-Pacific Our offerings in North America and certain countries in EMEA and APAC include hardware, software and services. Our offerings in the remainder of our EMEA and APAC segments are largely software and certain software-related services. In the opinion of management, the accompanying unaudited consolidated financial statements contain all adjustments necessary to present fairly our financial position as of March 31, 2018 and our results of operations and cash flows for the three months ended March 31, 2018 and 2017. The consolidated balance sheet as of December 31, 2017 was derived from the audited consolidated balance sheet at such date. The accompanying unaudited consolidated financial statements and notes have been prepared in accordance with the rules and regulations promulgated by the Securities and Exchange Commission and consequently do not include all of the disclosures normally required by United States generally accepted accounting principles (“GAAP”). The results of operations for interim periods are not necessarily indicative of results for the full year, due in part to the seasonal nature of our business. These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements, including the related notes thereto, in our Annual Report on Form 10-K The consolidated financial statements include the accounts of Insight Enterprises, Inc. and its wholly owned subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. The preparation of consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements. Additionally, these estimates and assumptions affect the reported amounts of net sales and expenses during the reporting period. Actual results could differ from those estimates. On an ongoing basis, we evaluate our estimates, including those related to sales recognition, anticipated achievement levels under partner funding programs, assumptions related to stock-based compensation valuation, allowances for doubtful accounts, valuation of inventories, litigation-related obligations, valuation allowances for deferred tax assets and impairment of long-lived assets, including purchased intangibles and goodwill, if indicators of potential impairment exist. Recently Issued Accounting Standards Other than the adoption of the Financial Accounting Standards Board’s (“FASB”) Accounting Standard Update (“ASU”) No. 2014-09, Form 10-K We adopted ASU No. 2016-18, No. 2016-15, No. 2016-01, As a result of the adoption of ASU No. 2016-18, beginning-of-period end-of-period March 31, December 31, 2017 Cash and cash equivalents $ 100,237 $ 105,831 Restricted cash included in other current assets 10 46 Restricted cash included in other non-current 1,604 1,568 Total cash, cash equivalents and restricted cash shown in the statement of cash flows $ 101,851 $ 107,445 March 31, December 31, 2016 Cash and cash equivalents $ 183,709 $ 202,882 Restricted cash included in other current assets 78 51 Restricted cash included in other non-current 3,098 3,013 Total cash, cash equivalents and restricted cash shown in the statement of cash flows $ 186,885 $ 205,946 Amounts included in restricted cash represent those required to be set aside by a contractual agreement with a lessor related to certain leased office space in foreign jurisdictions. Restricted cash shown in the statement of cash flows for the three months ended March 31, 2017 also includes funds deposited with a financial institution in Australia to provide a guarantee on our behalf as security for any funds we might draw under our revolving loan facility in China. The deposited funds were restricted in that we could not withdraw them as long as the related loan facility was in place. These amounts were reported in other non-current |
New Accounting Standard - Sales
New Accounting Standard - Sales Recognition | 3 Months Ended |
Mar. 31, 2018 | |
Accounting Changes and Error Corrections [Abstract] | |
New Accounting Standard - Sales Recognition | 2. New Accounting Standard – Sales Recognition We adopted ASU No. 2014-09, 340-40, We applied Topic 606 using the modified retrospective transition method. Upon initially applying the new standard, the net cumulative effect from prior periods of applying the guidance in Topic 606 was recognized as a cumulative effect adjustment to the opening balance of retained earnings in our consolidated balance sheet as of January 1, 2018. Additionally, we have elected the option to only account for contracts that remained open as of the January 1, 2018 transition date in accordance with Topic 606. Revenue recognition for contracts for which substantially all of the revenue was recognized in accordance with the revenue guidance in effect before January 1, 2018 has not been changed. The comparative information as of December 31, 2017 and for the years ended December 31, 2017 and 2016 have not been adjusted and continue to be reported under the previously applicable accounting standards. The details of the significant changes and quantitative impact of the changes are set forth below. • In sales transactions for certain security software products that are sold with integral third-party delivered software maintenance, we changed our accounting to record both the software license and the accompanying software maintenance on a net basis, as the agent in the arrangement, given the predominant nature of the goods and services provided to the customer. Under previous guidance, we bifurcated the sale of the software license from the sale of the maintenance contract, recorded the sale of the software product on a gross sales recognition basis and recorded the sale of the software maintenance on a net sales recognition basis. This change has no effect on reported gross profit dollars associated with these transactions. • The accounting for inventories not available for sale, otherwise known as bill and hold arrangements, changed such that a portion of revenue under the contracts is recognized earlier than we were recognizing under previous accounting standards. Bill and hold arrangements are inventory balances owned by our clients that we are warehousing and will be deploying to the clients’ locations in a future period. • The accounting for renewals of certain software term licenses changed to delay revenue recognition until the beginning of the renewal period. Under previous guidance, we recognized revenue as the renewal order was completed. • The accounting for certain contracts with our clients that include payment terms that exceed one year changed such that we recognize revenue at the point in time when control of the product is transferred to the client or over the period of time that the service is provided to the client. To the extent that a significant financing component exists in these arrangements, we will record interest income associated with the financing component of the arrangement over the payment terms of the arrangement. Under previous guidance, we deferred revenue recognition under these contracts until payments became due as a result of the extended payment terms. • The timing of revenue recognition for certain services contracts also changed to align with an appropriate input or output method. For example, the timing of revenue recognition for certain services contracts with stated milestone terms changed to an earlier point in time when control transfers to the customer. Under previous guidance, we recognized revenue based on the milestones stated in the contract with our customer. • The accounting for sales commissions on contracts with performance periods that exceed one year changed such that we record such sales commissions as an asset and amortize them to expense over the related contract performance period. Under previous guidance, sales commissions were expensed in the period the transaction was generated. The total cumulative effect adjustment from prior periods that we recognized in our consolidated balance sheet as of January 1, 2018 as an adjustment to retained earnings was $7,176,000. The following tables summarize the effects of adopting Topic 606 on the Company’s consolidated financial statements as of March 31, 2018 and for the three months then ended (in thousands): BALANCE SHEET AT MARCH 31, 2018 As Reported Adjustments Pre-Topic Cash and cash equivalents $ 100,237 $ — $ 100,237 Accounts receivable, net 1,751,321 (80,928 ) 1,670,393 Inventories 194,743 — 194,743 Inventories not available for sale 645 65,470 66,115 Other current assets 119,404 34,790 154,194 Total current assets 2,166,350 19,332 2,185,682 Property and equipment, net 75,579 — 75,579 Goodwill 131,403 — 131,403 Intangible assets, net 97,158 — 97,158 Deferred income taxes 16,019 — 16,019 Other assets 85,902 (28,709 ) 57,193 $ 2,572,411 $ (9,377 ) $ 2,563,034 Accounts payable – trade $ 882,782 $ (27,199 ) $ 855,583 Accounts payable – inventory financing facility 228,102 — 228,102 Accrued expenses and other current liabilities 175,147 (13,000 ) 162,147 Current portion of long-term debt 16,358 — 16,358 Deferred revenue 70,955 65,146 136,101 Total current liabilities 1,373,344 24,947 1,398,291 Long-term debt 245,569 — 245,569 Deferred income taxes 672 — 672 Other liabilities 72,225 (26,269 ) 45,956 1,691,810 (1,322 ) 1,690,488 Stockholders’ equity: Preferred stock — — — Common stock 358 — 358 Additional paid-in 315,493 — 315,493 Retained earnings 584,423 (7,991 ) 576,432 Accumulated other comprehensive loss – foreign currency translation adjustments (19,673 ) (64 ) (19,737 ) Total stockholders’ equity 880,601 (8,055 ) 872,546 $ 2,572,411 $ (9,377 ) $ 2,563,034 STATEMENT OF OPERATIONS FOR THE THREE MONTHS ENDED MARCH 31, 2018 As Reported Adjustments Pre-Topic Net sales: Products $ 1,582,155 $ (9,497 ) $ 1,572,658 Services 180,748 (1,996 ) 178,752 Total net sales 1,762,903 (11,493 ) 1,751,410 Costs of goods sold: Products 1,438,734 (11,069 ) 1,427,665 Services 84,164 516 84,680 Total costs of goods sold 1,522,898 (10,553 ) 1,512,345 Gross profit 240,005 (940 ) 239,065 Operating expenses: Selling and administrative expenses 188,180 78 188,258 Severance and restructuring expenses 1,644 — 1,644 Earnings from operations 50,181 (1,018 ) 49,163 Non-operating 5,919 — 5,919 Earnings before income taxes 44,262 (1,018 ) 43,244 Income tax expense 11,517 (203 ) 11,314 Net earnings $ 32,745 $ (815 ) $ 31,930 Net earnings per share: Basic $ 0.91 $ (0.02 ) $ 0.89 Diluted $ 0.90 $ (0.02 ) $ 0.88 Shares used in per share calculations: Basic 35,913 — 35,913 Diluted 36,263 — 36,263 STATEMENT OF CASH FLOWS FOR THE THREE MONTHS ENDED MARCH 31, 2018 The adoption of Topic 606 had no effect on net cash provided by operating activities, net cash used in investing activities or net cash used in financing activities for the three months ended March 31, 2018. The adjustment to net earnings noted above in reconciling our reported results of operations for the quarter under Topic 606 to pre-Topic Significant Accounting Policy Revenue is measured based on the consideration specified in a contract with a client, and excludes any sales incentives and amounts collected on behalf of third parties. The Company recognizes revenue when it satisfies a performance obligation by transferring control of a product or service to a client. Taxes assessed by a governmental authority that are both imposed on and concurrent with a specific revenue-producing transaction, that are collected by the Company from a client, are excluded from revenue. This is consistent with our accounting treatment prior to the adoption of Topic 606, whereby we reported sales net of any sales-based taxes assessed by governmental authorities that are imposed on and concurrent with sales transactions. We record the freight we bill to our clients as net sales and the related freight costs we pay as costs of goods sold. This is consistent with our accounting treatment prior to the adoption of Topic 606. Nature of Goods and Services We sell hardware and software products on both a stand-alone basis without any services and as solutions bundled with services. When we provide a combination of hardware and software products with the provision of services, we separately identify our performance obligations under our contract with the client as the distinct goods (hardware and/or software products) or services that will be provided. The total transaction price for an arrangement with multiple performance obligations is allocated at contract inception to each distinct performance obligation in proportion to its stand-alone selling price. The stand-alone selling price is the price at which we would sell a promised good or service separately to a client. Observable stand-alone prices are used when they are available. If not available, we estimate the price based on observable inputs, including direct labor hours and allocable costs. Hardware Offerings We recognize hardware product revenue at the point in time when a client takes control of the hardware, which typically occurs when title and risk of loss have passed to the client at its destination. Our selling terms and conditions were modified during the fourth quarter of 2017 to specify F.O.B. destination contractual terms such that control is transferred from the Company at the point in time when the product is received by the client. Prior to the adoption of Topic 606, because we either (i) had a general practice of covering client losses while products were in transit despite title and risk of loss contractually transferring at the point of shipment or (ii) had specifically stated F.O.B. destination contractual terms with the client, delivery was not deemed to have occurred until the point in time when the product was received by the client. The transaction price for hardware sales is adjusted for estimated product returns that we expect to occur under our return policy based upon historical return rates. We leverage drop-shipment arrangements with many of our partners and suppliers to deliver products to our clients without having to physically hold the inventory at our warehouses, thereby increasing efficiency and reducing costs. We recognize revenue for drop-shipment arrangements on a gross basis as the principal in the transaction when the product is received by the client because we control the product prior to transfer to the client. We also assume primary responsibility for fulfillment in the arrangement, we assume inventory risk if the product is returned by the client, we set the price of the product charged to the client and we work closely with our clients to determine their hardware and software specifications. This is consistent with our accounting treatment prior to the adoption of Topic 606. Bill and Hold Transactions We offer a service to our customers whereby clients may purchase product that we procure on their behalf and, at our clients’ direction, store the product in our warehouse for a designated period of time, with the intention of deploying the product to the clients’ designated locations at a later date. These warehousing services are designed to help our clients with inventory management challenges associated with technology roll-outs, product that is moving to end of life, and/or clients needing integrated stock available for immediate deployment. In some circumstances, we may also perform lab integration services on a portion of the product prior to shipment to our clients for a separate fee. The client is invoiced and title transfers to the client upon receipt of the product at our warehouse. These product contracts are non-cancelable The warehousing services and lab integration fees are considered separate performance obligations. Under previous accounting guidance, prior to the adoption of Topic 606, it was determined that these product sales transactions did not meet the revenue recognition criteria under GAAP. Therefore, we did not record product net sales, and the inventories were classified as inventories not available for sale on our consolidated balance sheet, until the product was delivered to the clients’ designated location. If clients remitted payment before we delivered the product to them, we recorded the payments received as deferred revenue on our consolidated balance sheet until such time as the product was delivered. Software Offerings We recognize revenue from software sales at the point in time when the client acquires the right to use or copy software under license and control transfers to the client. Revenue is recognized upon the commencement of the term of the software license agreement or when the renewal term begins, as applicable. This is a change from our accounting treatment prior to the adoption of Topic 606, whereby revenue from renewals of software licenses was recognized when the parties agreed to the renewal or extension, provided that all other revenue recognition criteria had been met. Although the revenue recognition treatment for term software license renewals has changed as described above, a substantial portion of the software licenses we sell are perpetual software licenses and do not require renewal or extension after their initial purchase by the client. Such perpetual licenses are periodically subject to true-up, pre-existing true-ups true-up, true-up Software Maintenance Software maintenance agreements provide our clients with the right to obtain any software upgrades, bug fixes and help desk and other support services directly from the software publisher at no additional charge during the term of the software maintenance agreements. We act as the software publisher’s agent in selling these software maintenance agreements and do not assume any performance obligation to the client under the agreements. As a result, we are the agent in these transactions and these sales are recorded on a net sales recognition basis. Under net sales recognition, the cost of the software maintenance agreement is recorded as a reduction to sales, resulting in net sales equal to the gross profit on the transaction, and there are no costs of goods sold. Because we are acting as the software publisher’s agent, revenue is recognized when the parties agree to the initial purchase, renewal or extension as our agency services are then complete. This is consistent with our accounting treatment prior to the adoption of Topic 606. As discussed in Note 10, we report all fees earned from activities reported net within our services net sales category in our statements of operations. Cloud / Software-as-a-Service Cloud or software-as-a-service software-as-a Services Sales We design, procure, deploy, implement and manage solutions that combine hardware, software and services to help businesses run smarter. Such services are provided by us or third-party sub-contract We recognize revenue for sales of services by measuring progress toward complete satisfaction of the related service performance obligation. Billings for such services that are made in advance of the related revenue recognized are recorded as a contract liability. Specific revenue recognition practices for certain of our services offerings are described in further detail below. Time and Materials Services Contracts. Fixed Fee Services Contracts. OneCall Support Services Contracts. On our balance sheet, a significant portion of our contract liabilities balance relates to OneCall support services agreements for which clients have paid or have been invoiced but for which we have not yet recognized the applicable services revenue. We also defer incremental direct costs to fulfill our service contracts that we prepay to third parties for direct support of our fulfillment of the service contract to our clients under our contract terms and amortize them into operations over the term of the contracts. The recognition of revenue and related costs for our stand ready obligation under our OneCall service contracts on a straight-line basis over the term of the contract is consistent with our accounting treatment prior to the adoption of Topic 606. Vendor Direct Support Services Contracts. follow-up Third-party Provided Services. sub-contractor sub-contractor Disaggregation of Revenue In the following table, revenue is disaggregated by our reportable operating segments, which are primarily defined by their related geographies, as well as by major product offering, by major client group and by recognition on either a gross basis as a principal in the arrangement, or on a net basis as an agent, for the three months ended March 31, 2018 (in thousands): Three Months Ended March 31, 2018 North EMEA APAC Consolidated Major Product Offering Hardware $ 873,341 $ 187,010 $ 7,160 $ 1,067,511 Software 290,476 184,918 39,250 514,644 Services 143,581 28,487 8,680 180,748 $ 1,307,398 $ 400,415 $ 55,090 $ 1,762,903 Major Client Groups Large Enterprise / Corporate $ 979,894 $ 265,921 $ 13,034 $ 1,258,849 Public Sector 111,604 116,614 29,931 258,149 Small and Medium-Sized 215,900 17,880 12,125 245,905 $ 1,307,398 $ 400,415 $ 55,090 $ 1,762,903 Revenue Recognition based on acting as Principal or Agent in the Transaction Gross revenue recognition (Principal) $ 1,259,489 $ 383,077 $ 52,920 $ 1,695,486 Net revenue recognition (Agent) 47,909 17,338 2,170 67,417 $ 1,307,398 $ 400,415 $ 55,090 $ 1,762,903 Contract Balances The following table provides information about receivables, contract assets and contract liabilities from contracts with customers as of March 31, 2018 and January 1, 2018 (in thousands): March 31, January 1, Current receivables, which are included in “Accounts receivable, net” $ 1,794,794 $ 1,849,803 Non-current 41,748 29,675 Contract assets, which are included in “Other current assets” 1,040 595 Contract liabilities, which are included in “Deferred revenue” and “Other liabilities” 89,533 86,743 Significant changes in the contract assets and the contract liabilities balances during the three months ended March 31, 2018 are as follows (in thousands): Increase (Decrease) Contract Contract Balances at January 1, 2018 $ 595 $ 86,743 Reclassification of the beginning contract liabilities to revenue, as the result of performance obligations satisfied — (19,473 ) Cash received in advance and not recognized as revenue — 22,263 Reclassification of the beginning contract assets to receivables, as the result of rights to consideration becoming unconditional (395 ) — Contract assets recognized, net of reclassification to receivables 840 — Balances at March 31, 2018 $ 1,040 $ 89,533 Transaction price allocated to the remaining performance obligations The following table includes estimated net sales related to performance obligations that are unsatisfied (or partially unsatisfied) as of March 31, 2018 that are expected to be recognized in the future (in thousands): Products Services Total Remaining nine months of 2018 $ 370 $ 78,500 $ 78,870 2019 193 47,727 47,920 2020 84 20,998 21,082 2021 6 6,867 6,873 2022 — 3,110 3,110 2023 — 910 910 2024 and thereafter — 24 24 Total remaining performance obligations $ 653 $ 158,136 $ 158,789 Topic 606 allows for certain practical expedients which we have elected to apply. As a result, we do not disclose information about remaining performance obligations that have original expected durations of one year or less in the table above. Amounts not included in the table above have an average original expected duration of eight months. Additionally, for our time and material contracts, whereby we have the right to consideration from a client in an amount that corresponds directly with the value to the client of our performance completed to date, we recognized revenue in the amount to which we have a right to invoice as of March 31, 2018 and do not disclose information about related remaining performance obligations in the table above. Our time and material contracts have an average expected duration of 11 months. The majority of our backlog historically has been and continues to be open cancelable purchase orders. We do not believe that backlog as of any particular date is predictive of future results, therefore we do not include performance obligations under open cancelable purchase orders, which do not qualify for revenue recognition in accordance with Topic 606 as of March 31, 2018, in the table above. Assets recognized for costs of obtaining a contract with a customer We believe that the only significant incremental costs incurred to obtain contracts with our clients within the scope of Topic 606 are sales commissions. The majority of our contracts are completed within a one-year |
Net Earnings Per Share ("EPS")
Net Earnings Per Share ("EPS") | 3 Months Ended |
Mar. 31, 2018 | |
Earnings Per Share [Abstract] | |
Net Earnings Per Share ("EPS") | 3. Net Earnings Per Share (“EPS”) Basic EPS is computed by dividing net earnings available to common stockholders by the weighted average number of common shares outstanding during each period. Diluted EPS is computed on the basis of the weighted average number of shares of common stock plus the effect of dilutive potential common shares outstanding during the period using the treasury stock method. Dilutive potential common shares include outstanding restricted stock units (“RSUs”). A reconciliation of the denominators of the basic and diluted EPS calculations follows (in thousands, except per share data): Three Months Ended March 31, 2018 2017 Numerator: Net earnings $ 32,745 $ 13,848 Denominator: Weighted average shares used to compute basic EPS 35,913 35,602 Dilutive potential common shares due to dilutive RSUs, net of tax effect 350 583 Weighted average shares used to compute diluted EPS 36,263 36,185 Net earnings per share: Basic $ 0.91 $ 0.39 Diluted $ 0.90 $ 0.38 For the three months ended March 31, 2018 and 2017, 20,000 and 96,000, respectively, of our RSUs were not included in the diluted EPS calculations because their inclusion would have been anti-dilutive. These share-based awards could be dilutive in the future. |
Debt, Inventory Financing Facil
Debt, Inventory Financing Facility, Capital Leases and Other Financing Obligations | 3 Months Ended |
Mar. 31, 2018 | |
Debt Disclosure [Abstract] | |
Debt, Inventory Financing Facility, Capital Leases and Other Financing Obligations | 4. Debt, Inventory Financing Facility, Capital Leases and Other Financing Obligations Debt Our long-term debt consists of the following (in thousands): March 31, December 31, 2017 Senior revolving credit facility $ 2,000 $ 117,500 Term Loan A (less unamortized debt issuance costs of $811 and $873, respectively) 162,158 165,377 Accounts receivable securitization financing facility 94,000 25,000 Capital leases and other financing obligations 3,769 5,291 Total 261,927 313,168 Less: current portion of long-term debt (16,358 ) (16,592 ) Long-term debt $ 245,569 $ 296,576 Our senior revolving credit facility (“revolving facility”) has an aggregate U.S. dollar equivalent maximum borrowing amount of $350,000,000, including a maximum borrowing capacity that may be used for borrowing in certain foreign currencies of $50,000,000, and matures on June 23, 2021. In January 2017, we amended our revolving facility to expand the facility by $175,000,000 in the form of an incremental Term Loan A (“TLA”). The TLA requires amortization payments of 5%, 7.5%, 10%, 12.5% and 15% of the original principal balance in years one through five, respectively, to be paid quarterly through March 31, 2021, with the remaining balance of $107,187,500 due at maturity on June 23, 2021. Our accounts receivable securitization financing facility (the “ABS facility”) has a maximum aggregate borrowing availability of $250,000,000, and matures on June 23, 2019. While the ABS facility has a stated maximum amount, the actual availability under the ABS facility is limited by the quantity and quality of the underlying accounts receivable. As of March 31, 2018, qualified receivables were sufficient to permit access to the full $250,000,000 facility amount, of which $94,000,000 was outstanding. Our consolidated debt balance that can be outstanding at the end of any fiscal quarter under our revolving facility, our TLA and our ABS facility is limited by certain financial covenants, particularly a maximum leverage ratio. The maximum leverage ratio is calculated as aggregate debt outstanding divided by the sum of our trailing twelve month net earnings (loss) plus (i) interest expense, excluding non-cash (iv) non-cash non-recurring non-cash Inventory Financing Facility Our inventory financing facility was amended on March 23, 2018 to increase the aggregate availability for vendor purchases under the facility from $325,000,000 to $400,000,000, of which $228,102,000 was outstanding at March 31, 2018. The inventory financing facility matures on June 23, 2021. In conjunction with the increase in the aggregate availability under the facility, we no longer have the option to request additional increases in the aggregate amount available under the inventory financing facility without amending the facility. If balances are not paid within stated vendor terms, they will accrue interest at prime plus 1.25%. Amounts outstanding under this facility are classified separately as accounts payable—inventory financing facility in the accompanying consolidated balance sheets. Capital Lease and Other Financing Obligations Our capital lease obligations totaled $2,775,000 and $2,802,000 as of March 31, 2018 and December 31, 2017, respectively. In conjunction with our acquisition of Datalink effective January 6, 2017, we acquired certain obligations associated with Datalink’s financing of the equipment that it leased to its clients. These financing obligations totaled $994,000 and $2,489,000 as of March 31, 2018 and December 31, 2017, respectively. The current and long-term portions of our capital lease and other financing obligations are included in the current and long-term portions of long-term debt in the table above and in our consolidated balance sheets as of March 31, 2018 and December 31, 2017. |
Severance and Restructuring Act
Severance and Restructuring Activities | 3 Months Ended |
Mar. 31, 2018 | |
Restructuring and Related Activities [Abstract] | |
Severance and Restructuring Activities | 5. Severance and Restructuring Activities During the three months ended March 31, 2018, we recorded severance expense in each of our operating segments. The charges in all three operating segments for the three months ended March 31, 2018 primarily related to severance actions taken to realign certain roles and responsibilities. The following table details the activity related to these resource actions for the three months ended March 31, 2018 and the outstanding obligations as of March 31, 2018 (in thousands): North America EMEA APAC Consolidated Balances at December 31, 2017 $ 1,631 $ 2,994 $ 15 $ 4,640 Severance costs, net of adjustments 443 1,074 127 1,644 Cash payments (791 ) (2,506 ) (142 ) (3,439 ) Foreign currency translation adjustments (20 ) 81 — 61 Balances at March 31, 2018 $ 1,263 $ 1,643 $ — $ 2,906 The remaining outstanding obligations are expected to be paid during the next 12 months and, therefore, are included in accrued expenses and other current liabilities in the accompanying consolidated balance sheets. |
Stock-Based Compensation
Stock-Based Compensation | 3 Months Ended |
Mar. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | 6. Stock-Based Compensation We recorded the following pre-tax Three Months Ended March 31, 2018 2017 North America $ 2,390 $ 2,538 EMEA 690 745 APAC 104 129 Total Consolidated $ 3,184 $ 3,412 As of March 31, 2018, total compensation cost related to nonvested RSUs not yet recognized is $28,174,000, which is expected to be recognized over the next 1.41 years on a weighted-average basis. The following table summarizes our RSU activity during the three months ended March 31, 2018: Number Weighted Average Fair Value Nonvested at January 1, 2018 892,113 $ 32.86 Granted (a) 377,045 35.30 Vested, including shares withheld to cover taxes (321,924 ) 29.65 $ 11,355,845 (b) Forfeited (14,185 ) 33.14 Nonvested at March 31, 2018 (a) 933,049 34.95 $ 32,591,402 (c) (a) Includes 116,967 RSUs subject to remaining performance conditions. The number of RSUs subject to performance conditions are based on the Company achieving 97% of its 2018 targeted financial results. The number of RSUs ultimately awarded under the performance-based RSUs varies based on actual achieved financial results for 2018. (b) The aggregate fair value of vested RSUs represents the total pre-tax (c) The aggregate fair value of the nonvested RSUs and the RSUs expected to vest represents the total pre-tax |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 7. Income Taxes Our effective tax rate for the three months ended March 31, 2018 and 2017 was 26.0% and 26.2%, respectively. For the three months ended March 31, 2018, our effective tax rate was higher than the United States federal statutory rate of 21.0% due primarily to state income taxes, net of federal benefit. For the three months ended March 31, 2017, our effective tax rate was lower than the United States federal statutory rate of 35.0% due primarily to the recognition of $1,996,000 of tax benefits on the settlement of employee share-based awards in accordance with a new accounting standard, which was adopted effective January 1, 2017, and the recognition of certain tax benefits related to the release of reserves for specific uncertain tax positions during the quarter. Additionally, the effect of lower taxes on earnings in foreign jurisdictions was offset partially by losses in certain foreign jurisdictions, resulting in an increase in the valuation allowance for deferred tax assets related to these foreign operating losses. These decreases in our effective tax rate were partially offset by state income taxes, net of federal benefit, and the effect of non-deductible In December 2017, U.S. federal tax reform was enacted as part of the U.S. Tax Cuts and Jobs Act. Although we recorded a tax charge in 2017 in connection with the enactment of the U.S. Tax Cuts and Jobs Act, we have not completed our accounting related to all of its provisions. U.S. income taxes attributable to the remeasurement of U.S. deferred income taxes, the mandatory deemed repatriation provision and the state tax effects of these items are provisional amounts. For the quarter ended March 31, 2018, we have not made any changes to these provisional estimates, and we are continuing to analyze and model the impacts of the U.S. federal tax reform and will record said impacts as they become more certain. As of March 31, 2018 and December 31, 2017, we had approximately $4,300,000 and $4,273,000, respectively, of unrecognized tax benefits. Of these amounts, approximately $268,000 and $287,000, respectively, related to accrued interest. In the future, if recognized, the liability associated with uncertain tax positions would affect our effective tax rate. We do not believe there will be any changes over the next 12 months that would have a material effect on our effective tax rate. Several of our subsidiaries are currently under audit for tax years 2012 through 2015. Although the timing of the resolutions and/or closures of audits is highly uncertain, it is reasonably possible that the examination phase of these audits may be concluded within the next 12 months, which could significantly increase or decrease the balance of our gross unrecognized tax benefits. However, based on the status of the various examinations in multiple jurisdictions, an estimate of the range of reasonably possible outcomes cannot be made at this time, but the estimated effect on our income tax expense and net earnings is not expected to be significant. |
Share Repurchase Program
Share Repurchase Program | 3 Months Ended |
Mar. 31, 2018 | |
Equity [Abstract] | |
Share Repurchase Program | 8. Share Repurchase Program On February 13, 2018, our Board of Directors authorized the repurchase of up to $50,000,000 of our common stock. Our share repurchases will be made on the open market, subject to Rule 10b-18 10b5-1 |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 9. Commitments and Contingencies Contractual In the ordinary course of business, we issue performance bonds to secure our performance under certain contracts or state tax requirements. As of March 31, 2018, we had approximately $1,962,000 of performance bonds outstanding. These bonds are issued on our behalf by a surety company on an unsecured basis; however, if the surety company is ever required to pay out under the bonds, we have contractually agreed to reimburse the surety company. Management believes that payments, if any, related to these performance bonds are not probable at March 31, 2018. Accordingly, we have not accrued any liabilities related to such performance bonds in our consolidated financial statements. Employment Contracts and Severance Plans We have employment contracts with, and severance plans covering, certain officers and management teammates under which severance payments would become payable in the event of specified terminations without cause or terminations under certain circumstances after a change in control. In addition, vesting of outstanding nonvested RSUs would accelerate following a change in control. If severance payments under the current employment agreements or plan payments were to become payable, the severance payments would generally range from three to twenty-four months of salary. Indemnifications From time to time, in the ordinary course of business, we enter into contractual arrangements under which we agree to indemnify either our clients or third-party service providers from certain losses incurred relating to services performed on our behalf or for losses arising from defined events, which may include litigation or claims relating to past performance. These arrangements include, but are not limited to, the indemnification of our clients for certain claims arising out of our performance under our sales contracts, the indemnification of our landlords for certain claims arising from our use of leased facilities and the indemnification of the lenders that provide our credit facilities for certain claims arising from their extension of credit to us. Such indemnification obligations may not be subject to maximum loss clauses. Management believes that payments, if any, related to these indemnifications are not probable at March 31, 2018. Accordingly, we have not accrued any liabilities related to such indemnifications in our consolidated financial statements. We have entered into separate indemnification agreements with certain of our executive officers and with each of our directors. These agreements require us, among other requirements, to indemnify such officers and directors against expenses (including attorneys’ fees), judgments and settlements incurred by such individual in connection with any action arising out of such individual’s status or service as our executive officer or director (subject to exceptions such as where the individual failed to act in good faith or in a manner the individual reasonably believed to be in, or not opposed to, the best interests of the Company) and to advance expenses incurred by such individual with respect to which such individual may be entitled to indemnification by us. There are no pending legal proceedings that involve the indemnification of any of the Company’s directors or officers. Contingencies Related to Third-Party Review From time to time, we are subject to potential claims and assessments from third parties. We are also subject to various governmental, client and partner audits. We continually assess whether or not such claims have merit and warrant accrual. Where appropriate, we accrue estimates of anticipated liabilities in the consolidated financial statements. Such estimates are subject to change and may affect our results of operations and our cash flows. Legal Proceedings From time to time, we are party to various legal proceedings arising in the ordinary course of business, including preference payment claims asserted in client bankruptcy proceedings, indemnification claims, claims of alleged infringement of patents, trademarks, copyrights and other intellectual property rights, claims of alleged non-compliance The Company is not involved in any pending or threatened legal proceedings that it believes would reasonably be expected to have a material adverse effect on its business, financial condition or results of operations. |
Segment Information
Segment Information | 3 Months Ended |
Mar. 31, 2018 | |
Segment Reporting [Abstract] | |
Segment Information | 10. Segment Information We operate in three reportable geographic operating segments: North America; EMEA; and APAC. Our offerings in North America and certain countries in EMEA and APAC include IT hardware, software and services. Our offerings in the remainder of our EMEA and APAC segments are largely software and certain software-related services. During the year ended December 31, 2017, subsequent to our acquisition of Datalink, our consolidated net sales from the provision of services approximated 10%. As such, beginning with our results of operations for the year ended December 31, 2017, we began reporting net sales from the provision of services and the related costs of goods sold separately from net sales of products and the related costs of goods sold on the face of our consolidated statement of operations. We continued this presentation in the three months ended March 31, 2018, and expect to continue this presentation in future periods. For comparability purposes, net sales and costs of goods sold for the three months ended March 31, 2017 have been expanded to conform to the current year presentation. These changes in presentation had no effect on previously reported total net sales, total costs of goods sold or gross profit amounts. In conjunction with these changes in presentation, because fees earned from activities reported net are considered services revenues, we reclassified certain revenue streams for which we act as the agent in the transaction to net sales from services. Previously, we included these net revenue streams within our software and, to a lesser extent, hardware sales mix categories based on the type of product being sold (e.g., fees earned for the sale of software maintenance and certain software licenses were included in software sales and fees earned for the sale of certain third-party provided training and warranty services were included in hardware sales when we historically disclosed and analyzed our sales mix). For comparability purposes, our sales mix among our hardware, software and services categories for the three months ended March 31, 2017 has been reclassified to conform to the current year presentation. These reclassifications had no effect on previously reported total net sales amounts. The following table summarizes net sales by offering for North America, EMEA and APAC including the effect of the reclassifications on the previously reported net sales by sales mix amounts for the three months ended March 31, 2017 (in thousands): North America EMEA APAC Sales Mix 2018 2017 2018 2017 2018 2017 (As (As (As Hardware $ 873,341 $ 710,864 $ 187,010 $ 138,877 $ 7,160 $ 4,080 Software 290,476 273,983 184,918 169,318 39,250 24,847 Services 143,581 126,105 28,487 22,160 8,680 7,309 $ 1,307,398 $ 1,110,952 $ 400,415 $ 330,355 $ 55,090 $ 36,236 In North America, EMEA and APAC, fees earned from activities reported on a net basis totaling $21,981,000, $10,876,000 and $2,172,000, respectively, that were previously reported as part of our software or hardware product categories in the three months ended March 31, 2017, were reclassified to services to conform to the current year presentation. On a consolidated basis, these reclassified amounts included a total of only $71,000 of fees previously included within the hardware sales mix category for the three months ended March 31, 2017. All significant intercompany transactions are eliminated upon consolidation, and there are no differences between the accounting policies used to measure profit and loss for our segments or on a consolidated basis. Net sales are defined as net sales to external clients. None of our clients exceeded ten percent of consolidated net sales for the three months ended March 31, 2018 or 2017. A portion of our operating segments’ selling and administrative expenses arise from shared services and infrastructure that we have historically provided to them in order to realize economies of scale and to use resources efficiently. These expenses, collectively identified as corporate charges, include senior management expenses, internal audit, legal, tax, insurance services, treasury and other corporate infrastructure expenses. Charges are allocated to our operating segments, and the allocations have been determined on a basis that we considered to be a reasonable reflection of the utilization of services provided to or benefits received by the operating segments. The following tables present our results of operations by reportable operating segment for the periods indicated (in thousands): Three Months Ended March 31, 2018 North America EMEA APAC Consolidated Net sales: Products $ 1,163,817 $ 371,928 $ 46,410 $ 1,582,155 Services 143,581 28,487 8,680 180,748 Total net sales 1,307,398 400,415 55,090 1,762,903 Costs of goods sold: Products 1,057,989 337,907 42,838 1,438,734 Services 74,038 6,716 3,410 84,164 Total costs of goods sold 1,132,027 344,623 46,248 1,522,898 Gross profit 175,371 55,792 8,842 240,005 Operating expenses: Selling and administrative expenses 132,640 48,283 7,257 188,180 Severance and restructuring expenses 443 1,074 127 1,644 Earnings from operations $ 42,288 $ 6,435 $ 1,458 $ 50,181 Three Months Ended March 31, 2017 North America EMEA APAC Consolidated Net sales: Products $ 984,847 $ 308,195 $ 28,927 $ 1,321,969 Services 126,105 22,160 7,309 155,574 Total net sales 1,110,952 330,355 36,236 1,477,543 Costs of goods sold: Products 891,587 282,509 26,961 1,201,057 Services 61,064 5,300 1,895 68,259 Total costs of goods sold 952,651 287,809 28,856 1,269,316 Gross profit 158,301 42,546 7,380 208,227 Operating expenses: Selling and administrative expenses 131,010 40,143 6,479 177,632 Severance and restructuring expenses 1,104 3,530 61 4,695 Acquisition-related expenses 2,947 — — 2,947 Earnings (loss) from operations $ 23,240 $ (1,127 ) $ 840 $ 22,953 The following is a summary of our total assets by reportable operating segment (in thousands): March 31, December 31, 2017 North America $ 2,349,002 $ 2,337,573 EMEA 576,292 530,242 APAC 112,778 101,169 Corporate assets and intercompany eliminations, net (465,661 ) (283,333 ) Total assets $ 2,572,411 $ 2,685,651 We recorded the following pre-tax Three Months Ended 2018 2017 Depreciation and amortization of property and equipment: North America $ 4,298 $ 5,553 EMEA 1,003 1,150 APAC 132 127 5,433 6,830 Amortization of intangible assets: North America 3,360 4,012 EMEA 74 12 APAC 177 199 3,611 4,223 Total $ 9,044 $ 11,053 |
Basis of Presentation and Rec17
Basis of Presentation and Recently Issued Accounting Standards (Policies) | 3 Months Ended |
Mar. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Recently Issued Accounting Standards | Recently Issued Accounting Standards Other than the adoption of the Financial Accounting Standards Board’s (“FASB”) Accounting Standard Update (“ASU”) No. 2014-09, Form 10-K We adopted ASU No. 2016-18, No. 2016-15, No. 2016-01, As a result of the adoption of ASU No. 2016-18, beginning-of-period end-of-period March 31, December 31, 2017 Cash and cash equivalents $ 100,237 $ 105,831 Restricted cash included in other current assets 10 46 Restricted cash included in other non-current 1,604 1,568 Total cash, cash equivalents and restricted cash shown in the statement of cash flows $ 101,851 $ 107,445 March 31, December 31, 2016 Cash and cash equivalents $ 183,709 $ 202,882 Restricted cash included in other current assets 78 51 Restricted cash included in other non-current 3,098 3,013 Total cash, cash equivalents and restricted cash shown in the statement of cash flows $ 186,885 $ 205,946 Amounts included in restricted cash represent those required to be set aside by a contractual agreement with a lessor related to certain leased office space in foreign jurisdictions. Restricted cash shown in the statement of cash flows for the three months ended March 31, 2017 also includes funds deposited with a financial institution in Australia to provide a guarantee on our behalf as security for any funds we might draw under our revolving loan facility in China. The deposited funds were restricted in that we could not withdraw them as long as the related loan facility was in place. These amounts were reported in other non-current |
Basis of Presentation and Rec18
Basis of Presentation and Recently Issued Accounting Standards (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Reconciliation of Cash, Cash Equivalents and Restricted Cash | The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the balance sheets that sum to the total of the same such amounts shown in the statements of cash flows for the three months ended March 31, 2018 and 2017 (in thousands): March 31, December 31, 2017 Cash and cash equivalents $ 100,237 $ 105,831 Restricted cash included in other current assets 10 46 Restricted cash included in other non-current 1,604 1,568 Total cash, cash equivalents and restricted cash shown in the statement of cash flows $ 101,851 $ 107,445 March 31, December 31, 2016 Cash and cash equivalents $ 183,709 $ 202,882 Restricted cash included in other current assets 78 51 Restricted cash included in other non-current 3,098 3,013 Total cash, cash equivalents and restricted cash shown in the statement of cash flows $ 186,885 $ 205,946 |
New Accounting Standard - Sal19
New Accounting Standard - Sales Recognition (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Summary of Revenue Disaggregated by Reportable Operating Segments | In the following table, revenue is disaggregated by our reportable operating segments, which are primarily defined by their related geographies, as well as by major product offering, by major client group and by recognition on either a gross basis as a principal in the arrangement, or on a net basis as an agent, for the three months ended March 31, 2018 (in thousands): Three Months Ended March 31, 2018 North EMEA APAC Consolidated Major Product Offering Hardware $ 873,341 $ 187,010 $ 7,160 $ 1,067,511 Software 290,476 184,918 39,250 514,644 Services 143,581 28,487 8,680 180,748 $ 1,307,398 $ 400,415 $ 55,090 $ 1,762,903 Major Client Groups Large Enterprise / Corporate $ 979,894 $ 265,921 $ 13,034 $ 1,258,849 Public Sector 111,604 116,614 29,931 258,149 Small and Medium-Sized 215,900 17,880 12,125 245,905 $ 1,307,398 $ 400,415 $ 55,090 $ 1,762,903 Revenue Recognition based on acting as Principal or Agent in the Transaction Gross revenue recognition (Principal) $ 1,259,489 $ 383,077 $ 52,920 $ 1,695,486 Net revenue recognition (Agent) 47,909 17,338 2,170 67,417 $ 1,307,398 $ 400,415 $ 55,090 $ 1,762,903 |
Summmary of Information about Receivables,Contract Assets and Contract Liabilities from Contract with Customers | The following table provides information about receivables, contract assets and contract liabilities from contracts with customers as of March 31, 2018 and January 1, 2018 (in thousands): March 31, January 1, Current receivables, which are included in “Accounts receivable, net” $ 1,794,794 $ 1,849,803 Non-current 41,748 29,675 Contract assets, which are included in “Other current assets” 1,040 595 Contract liabilities, which are included in “Deferred revenue” and “Other liabilities” 89,533 86,743 |
Summary of Changes in Contract Assets and Contract Liabilities from Contract with Customers | Significant changes in the contract assets and the contract liabilities balances during the three months ended March 31, 2018 are as follows (in thousands): Increase (Decrease) Contract Contract Balances at January 1, 2018 $ 595 $ 86,743 Reclassification of the beginning contract liabilities to revenue, as the result of performance obligations satisfied — (19,473 ) Cash received in advance and not recognized as revenue — 22,263 Reclassification of the beginning contract assets to receivables, as the result of rights to consideration becoming unconditional (395 ) — Contract assets recognized, net of reclassification to receivables 840 — Balances at March 31, 2018 $ 1,040 $ 89,533 |
Summary of Estimated Net Sales Related to Performance Obligation | The following table includes estimated net sales related to performance obligations that are unsatisfied (or partially unsatisfied) as of March 31, 2018 that are expected to be recognized in the future (in thousands): Products Services Total Remaining nine months of 2018 $ 370 $ 78,500 $ 78,870 2019 193 47,727 47,920 2020 84 20,998 21,082 2021 6 6,867 6,873 2022 — 3,110 3,110 2023 — 910 910 2024 and thereafter — 24 24 Total remaining performance obligations $ 653 $ 158,136 $ 158,789 |
Accounting Standards Update 2014-09 [Member] | |
Summary of Impact of Adoption of Topic 606 On Financial Statements | BALANCE SHEET AT MARCH 31, 2018 As Reported Adjustments Pre-Topic Cash and cash equivalents $ 100,237 $ — $ 100,237 Accounts receivable, net 1,751,321 (80,928 ) 1,670,393 Inventories 194,743 — 194,743 Inventories not available for sale 645 65,470 66,115 Other current assets 119,404 34,790 154,194 Total current assets 2,166,350 19,332 2,185,682 Property and equipment, net 75,579 — 75,579 Goodwill 131,403 — 131,403 Intangible assets, net 97,158 — 97,158 Deferred income taxes 16,019 — 16,019 Other assets 85,902 (28,709 ) 57,193 $ 2,572,411 $ (9,377 ) $ 2,563,034 Accounts payable – trade $ 882,782 $ (27,199 ) $ 855,583 Accounts payable – inventory financing facility 228,102 — 228,102 Accrued expenses and other current liabilities 175,147 (13,000 ) 162,147 Current portion of long-term debt 16,358 — 16,358 Deferred revenue 70,955 65,146 136,101 Total current liabilities 1,373,344 24,947 1,398,291 Long-term debt 245,569 — 245,569 Deferred income taxes 672 — 672 Other liabilities 72,225 (26,269 ) 45,956 1,691,810 (1,322 ) 1,690,488 Stockholders’ equity: Preferred stock — — — Common stock 358 — 358 Additional paid-in 315,493 — 315,493 Retained earnings 584,423 (7,991 ) 576,432 Accumulated other comprehensive loss – foreign currency translation adjustments (19,673 ) (64 ) (19,737 ) Total stockholders’ equity 880,601 (8,055 ) 872,546 $ 2,572,411 $ (9,377 ) $ 2,563,034 STATEMENT OF OPERATIONS FOR THE THREE MONTHS ENDED MARCH 31, 2018 As Reported Adjustments Pre-Topic Net sales: Products $ 1,582,155 $ (9,497 ) $ 1,572,658 Services 180,748 (1,996 ) 178,752 Total net sales 1,762,903 (11,493 ) 1,751,410 Costs of goods sold: Products 1,438,734 (11,069 ) 1,427,665 Services 84,164 516 84,680 Total costs of goods sold 1,522,898 (10,553 ) 1,512,345 Gross profit 240,005 (940 ) 239,065 Operating expenses: Selling and administrative expenses 188,180 78 188,258 Severance and restructuring expenses 1,644 — 1,644 Earnings from operations 50,181 (1,018 ) 49,163 Non-operating 5,919 — 5,919 Earnings before income taxes 44,262 (1,018 ) 43,244 Income tax expense 11,517 (203 ) 11,314 Net earnings $ 32,745 $ (815 ) $ 31,930 Net earnings per share: Basic $ 0.91 $ (0.02 ) $ 0.89 Diluted $ 0.90 $ (0.02 ) $ 0.88 Shares used in per share calculations: Basic 35,913 — 35,913 Diluted 36,263 — 36,263 |
Net Earnings Per Share ("EPS")
Net Earnings Per Share ("EPS") (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Earnings Per Share [Abstract] | |
Reconciliation of Denominators of Basic and Diluted EPS Calculations | A reconciliation of the denominators of the basic and diluted EPS calculations follows (in thousands, except per share data): Three Months Ended March 31, 2018 2017 Numerator: Net earnings $ 32,745 $ 13,848 Denominator: Weighted average shares used to compute basic EPS 35,913 35,602 Dilutive potential common shares due to dilutive RSUs, net of tax effect 350 583 Weighted average shares used to compute diluted EPS 36,263 36,185 Net earnings per share: Basic $ 0.91 $ 0.39 Diluted $ 0.90 $ 0.38 |
Debt, Inventory Financing Fac21
Debt, Inventory Financing Facility, Capital Leases and Other Financing Obligations (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Our long-term debt consists of the following (in thousands): March 31, December 31, 2017 Senior revolving credit facility $ 2,000 $ 117,500 Term Loan A (less unamortized debt issuance costs of $811 and $873, respectively) 162,158 165,377 Accounts receivable securitization financing facility 94,000 25,000 Capital leases and other financing obligations 3,769 5,291 Total 261,927 313,168 Less: current portion of long-term debt (16,358 ) (16,592 ) Long-term debt $ 245,569 $ 296,576 |
Severance and Restructuring A22
Severance and Restructuring Activities (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Restructuring and Related Activities [Abstract] | |
Activity Related to Resource Actions and Outstanding Obligations | The following table details the activity related to these resource actions for the three months ended March 31, 2018 and the outstanding obligations as of March 31, 2018 (in thousands): North America EMEA APAC Consolidated Balances at December 31, 2017 $ 1,631 $ 2,994 $ 15 $ 4,640 Severance costs, net of adjustments 443 1,074 127 1,644 Cash payments (791 ) (2,506 ) (142 ) (3,439 ) Foreign currency translation adjustments (20 ) 81 — 61 Balances at March 31, 2018 $ 1,263 $ 1,643 $ — $ 2,906 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Pre-tax Amounts by Operating Segment for Stock-Based Compensation | We recorded the following pre-tax Three Months Ended March 31, 2018 2017 North America $ 2,390 $ 2,538 EMEA 690 745 APAC 104 129 Total Consolidated $ 3,184 $ 3,412 |
Summary of Restricted Stock Units Activity | The following table summarizes our RSU activity during the three months ended March 31, 2018: Number Weighted Average Grant Date Fair Value Fair Value Nonvested at January 1, 2018 892,113 $ 32.86 Granted (a) 377,045 35.30 Vested, including shares withheld to cover taxes (321,924 ) 29.65 $ 11,355,845 (b) Forfeited (14,185 ) 33.14 Nonvested at March 31, 2018 (a) 933,049 34.95 $ 32,591,402 (c) (a) Includes 116,967 RSUs subject to remaining performance conditions. The number of RSUs subject to performance conditions are based on the Company achieving 97% of its 2018 targeted financial results. The number of RSUs ultimately awarded under the performance-based RSUs varies based on actual achieved financial results for 2018. (b) The aggregate fair value of vested RSUs represents the total pre-tax (c) The aggregate fair value of the nonvested RSUs and the RSUs expected to vest represents the total pre-tax |
Segment Information (Tables)
Segment Information (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Segment Reporting [Abstract] | |
Net Sales by Offering for North America, EMEA and APAC | The following table summarizes net sales by offering for North America, EMEA and APAC including the effect of the reclassifications on the previously reported net sales by sales mix amounts for the three months ended March 31, 2017 (in thousands): North America EMEA APAC Three Months Ended Sales Mix 2018 2017 2018 2017 2018 2017 (As (As (As Hardware $ 873,341 $ 710,864 $ 187,010 $ 138,877 $ 7,160 $ 4,080 Software 290,476 273,983 184,918 169,318 39,250 24,847 Services 143,581 126,105 28,487 22,160 8,680 7,309 $ 1,307,398 $ 1,110,952 $ 400,415 $ 330,355 $ 55,090 $ 36,236 |
Financial Information about Reportable Operating Segments | The following tables present our results of operations by reportable operating segment for the periods indicated (in thousands): Three Months Ended March 31, 2018 North America EMEA APAC Consolidated Net sales: Products $ 1,163,817 $ 371,928 $ 46,410 $ 1,582,155 Services 143,581 28,487 8,680 180,748 Total net sales 1,307,398 400,415 55,090 1,762,903 Costs of goods sold: Products 1,057,989 337,907 42,838 1,438,734 Services 74,038 6,716 3,410 84,164 Total costs of goods sold 1,132,027 344,623 46,248 1,522,898 Gross profit 175,371 55,792 8,842 240,005 Operating expenses: Selling and administrative expenses 132,640 48,283 7,257 188,180 Severance and restructuring expenses 443 1,074 127 1,644 Earnings from operations $ 42,288 $ 6,435 $ 1,458 $ 50,181 Three Months Ended March 31, 2017 North America EMEA APAC Consolidated Net sales: Products $ 984,847 $ 308,195 $ 28,927 $ 1,321,969 Services 126,105 22,160 7,309 155,574 Total net sales 1,110,952 330,355 36,236 1,477,543 Costs of goods sold: Products 891,587 282,509 26,961 1,201,057 Services 61,064 5,300 1,895 68,259 Total costs of goods sold 952,651 287,809 28,856 1,269,316 Gross profit 158,301 42,546 7,380 208,227 Operating expenses: Selling and administrative expenses 131,010 40,143 6,479 177,632 Severance and restructuring expenses 1,104 3,530 61 4,695 Acquisition-related expenses 2,947 — — 2,947 Earnings (loss) from operations $ 23,240 $ (1,127 ) $ 840 $ 22,953 |
Summary of Total Assets by Reportable Operating Segment | The following is a summary of our total assets by reportable operating segment (in thousands): March 31, December 31, 2017 North America $ 2,349,002 $ 2,337,573 EMEA 576,292 530,242 APAC 112,778 101,169 Corporate assets and intercompany eliminations, net (465,661 ) (283,333 ) Total assets $ 2,572,411 $ 2,685,651 |
Pre-Tax Depreciation and Amortization by Operating Segment | We recorded the following pre-tax Three Months Ended 2018 2017 Depreciation and amortization of property and equipment: North America $ 4,298 $ 5,553 EMEA 1,003 1,150 APAC 132 127 5,433 6,830 Amortization of intangible assets: North America 3,360 4,012 EMEA 74 12 APAC 177 199 3,611 4,223 Total $ 9,044 $ 11,053 |
Basis of Presentation and Rec25
Basis of Presentation and Recently Issued Accounting Standards - Additional Information (Detail) | 3 Months Ended |
Mar. 31, 2018Segment | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Number of operating segments | 3 |
Caase Group, B.V. [Member] | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Business acquisition, effective date of acquisition | Sep. 26, 2017 |
Datalink Corporation [Member] | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Business acquisition, effective date of acquisition | Jan. 6, 2017 |
Basis of Presentation and Rec26
Basis of Presentation and Recently Issued Accounting Standards - Schedule of Reconciliation of Cash, Cash Equivalents and Restricted Cash (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | Dec. 31, 2016 |
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Cash and cash equivalents | $ 100,237 | $ 105,831 | $ 183,709 | $ 202,882 |
Total cash, cash equivalents and restricted cash shown in the statement of cash flows | 101,851 | 107,445 | 186,885 | 205,946 |
Other Current Assets [Member] | ||||
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Restricted cash included in other current assets | 10 | 46 | 78 | 51 |
Other Noncurrent Assets [Member] | ||||
Restricted Cash and Cash Equivalents Items [Line Items] | ||||
Restricted cash included in other non-current assets | $ 1,604 | $ 1,568 | $ 3,098 | $ 3,013 |
New Accounting Standard - Sal27
New Accounting Standard - Sales Recognition - Additional Information (Detail) - USD ($) | 3 Months Ended | ||
Mar. 31, 2018 | Jan. 01, 2018 | Dec. 31, 2017 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Cumulative impact of adoption of accounting standards in retained earnings | $ 584,423,000 | $ 550,220,000 | |
Description of expected duration | Topic 606 allows for certain practical expedients which we have elected to apply. As a result, we do not disclose information about remaining performance obligations that have original expected durations of one year or less in the table above. Amounts not included in the table above have an average original expected duration of eight months. | ||
Time and material contracts expected duration | 11 months | ||
Performance period of contracts | 1 year | ||
Related asset balance | $ 1,040,000 | $ 595,000 | |
Expected recognition period of related asset | 36 months | ||
Contract period | The majority of our contracts are completed within a one-yearperformance period, and for contracts with a specified term of one year or less | ||
Accounting Standards Update 2014-09 [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Related asset balance | $ 2,467,000 | ||
Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | Accounting Standards Update 2014-09 [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Cumulative impact of adoption of accounting standards in retained earnings | $ (7,991,000) | $ 7,176,000 |
New Accounting Standard - Sal28
New Accounting Standard - Sales Recognition - Summary of Impact of Adoption of Topic 606 On Balance Sheet (Detail) - USD ($) | Mar. 31, 2018 | Jan. 01, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | Dec. 31, 2016 |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Cash and cash equivalents | $ 100,237,000 | $ 105,831,000 | $ 183,709,000 | $ 202,882,000 | |
Accounts receivable, net | 1,751,321,000 | 1,814,560,000 | |||
Inventories | 194,743,000 | 194,529,000 | |||
Inventories not available for sale | 645,000 | 36,956,000 | |||
Other current assets | 119,404,000 | 152,467,000 | |||
Total current assets | 2,166,350,000 | 2,304,343,000 | |||
Property and equipment, net | 75,579,000 | 75,252,000 | |||
Goodwill | 131,403,000 | 131,431,000 | |||
Intangible assets, net | 97,158,000 | 100,778,000 | |||
Deferred income taxes | 16,019,000 | 17,064,000 | |||
Other assets | 85,902,000 | 56,783,000 | |||
Total assets | 2,572,411,000 | 2,685,651,000 | |||
Accounts payable - trade | 882,782,000 | 899,075,000 | |||
Accounts payable - inventory financing facility | 228,102,000 | 319,468,000 | |||
Accrued expenses and other current liabilities | 175,147,000 | 175,860,000 | |||
Current portion of long-term debt | 16,358,000 | 16,592,000 | |||
Deferred revenue | 70,955,000 | 88,979,000 | |||
Total current liabilities | 1,373,344,000 | 1,499,974,000 | |||
Long-term debt | 245,569,000 | 296,576,000 | |||
Deferred income taxes | 672,000 | 717,000 | |||
Other liabilities | 72,225,000 | 44,915,000 | |||
Total liabilities | 1,691,810,000 | 1,842,182,000 | |||
Stockholders' equity: | |||||
Preferred stock | |||||
Common stock | 358,000 | 358,000 | |||
Additional paid-incapital | 315,493,000 | 317,155,000 | |||
Retained earnings | 584,423,000 | 550,220,000 | |||
Accumulated other comprehensive loss - foreign currency translation adjustments | (19,673,000) | (24,264,000) | |||
Total stockholders' equity | 880,601,000 | 843,469,000 | |||
Total liabilities and stockholders' equity | 2,572,411,000 | $ 2,685,651,000 | |||
Calculated under Revenue Guidance in Effect before Topic 606 [Member] | Accounting Standards Update 2014-09 [Member] | |||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Cash and cash equivalents | 100,237,000 | ||||
Accounts receivable, net | 1,670,393,000 | ||||
Inventories | 194,743,000 | ||||
Inventories not available for sale | 66,115,000 | ||||
Other current assets | 154,194,000 | ||||
Total current assets | 2,185,682,000 | ||||
Property and equipment, net | 75,579,000 | ||||
Goodwill | 131,403,000 | ||||
Intangible assets, net | 97,158,000 | ||||
Deferred income taxes | 16,019,000 | ||||
Other assets | 57,193,000 | ||||
Total assets | 2,563,034,000 | ||||
Accounts payable - trade | 855,583,000 | ||||
Accounts payable - inventory financing facility | 228,102,000 | ||||
Accrued expenses and other current liabilities | 162,147,000 | ||||
Current portion of long-term debt | 16,358,000 | ||||
Deferred revenue | 136,101,000 | ||||
Total current liabilities | 1,398,291,000 | ||||
Long-term debt | 245,569,000 | ||||
Deferred income taxes | 672,000 | ||||
Other liabilities | 45,956,000 | ||||
Total liabilities | 1,690,488,000 | ||||
Stockholders' equity: | |||||
Preferred stock | |||||
Common stock | 358,000 | ||||
Additional paid-incapital | 315,493,000 | ||||
Retained earnings | 576,432,000 | ||||
Accumulated other comprehensive loss - foreign currency translation adjustments | (19,737,000) | ||||
Total stockholders' equity | 872,546,000 | ||||
Total liabilities and stockholders' equity | 2,563,034,000 | ||||
Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | Accounting Standards Update 2014-09 [Member] | |||||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Accounts receivable, net | (80,928,000) | ||||
Inventories not available for sale | 65,470,000 | ||||
Other current assets | 34,790,000 | ||||
Total current assets | 19,332,000 | ||||
Other assets | (28,709,000) | ||||
Total assets | (9,377,000) | ||||
Accounts payable - trade | (27,199,000) | ||||
Accrued expenses and other current liabilities | (13,000,000) | ||||
Deferred revenue | 65,146,000 | ||||
Total current liabilities | 24,947,000 | ||||
Other liabilities | (26,269,000) | ||||
Total liabilities | (1,322,000) | ||||
Stockholders' equity: | |||||
Preferred stock | |||||
Retained earnings | (7,991,000) | $ 7,176,000 | |||
Accumulated other comprehensive loss - foreign currency translation adjustments | (64,000) | ||||
Total stockholders' equity | (8,055,000) | ||||
Total liabilities and stockholders' equity | $ (9,377,000) |
New Accounting Standard - Sal29
New Accounting Standard - Sales Recognition - Summary of Impact of Adoption of Topic 606 On Statement of Operations (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Net sales: | ||
Products | $ 1,582,155 | $ 1,321,969 |
Services | 180,748 | 155,574 |
Total net sales | 1,762,903 | 1,477,543 |
Costs of goods sold: | ||
Products | 1,438,734 | 1,201,057 |
Services | 84,164 | 68,259 |
Total costs of goods sold | 1,522,898 | 1,269,316 |
Gross profit | 240,005 | 208,227 |
Operating expenses: | ||
Selling and administrative expenses | 188,180 | 177,632 |
Severance and restructuring expenses | 1,644 | 4,695 |
Earnings from operations | 50,181 | 22,953 |
Non-operating expense, net | 5,919 | |
Earnings before income taxes | 44,262 | 18,756 |
Income tax expense | 11,517 | 4,908 |
Net earnings | $ 32,745 | $ 13,848 |
Net earnings per share: | ||
Basic | $ 0.91 | $ 0.39 |
Diluted | $ 0.90 | $ 0.38 |
Shares used in per share calculations: | ||
Basic | 35,913 | 35,602 |
Diluted | 36,263 | 36,185 |
Calculated under Revenue Guidance in Effect before Topic 606 [Member] | Accounting Standards Update 2014-09 [Member] | ||
Net sales: | ||
Products | $ 1,572,658 | |
Services | 178,752 | |
Total net sales | 1,751,410 | |
Costs of goods sold: | ||
Products | 1,427,665 | |
Services | 84,680 | |
Total costs of goods sold | 1,512,345 | |
Gross profit | 239,065 | |
Operating expenses: | ||
Selling and administrative expenses | 188,258 | |
Severance and restructuring expenses | 1,644 | |
Earnings from operations | 49,163 | |
Non-operating expense, net | 5,919 | |
Earnings before income taxes | 43,244 | |
Income tax expense | 11,314 | |
Net earnings | $ 31,930 | |
Net earnings per share: | ||
Basic | $ 0.89 | |
Diluted | $ 0.88 | |
Shares used in per share calculations: | ||
Basic | 35,913 | |
Diluted | 36,263 | |
Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | Accounting Standards Update 2014-09 [Member] | ||
Net sales: | ||
Products | $ (9,497) | |
Services | (1,996) | |
Total net sales | (11,493) | |
Costs of goods sold: | ||
Products | (11,069) | |
Services | 516 | |
Total costs of goods sold | (10,553) | |
Gross profit | (940) | |
Operating expenses: | ||
Selling and administrative expenses | 78 | |
Earnings from operations | (1,018) | |
Earnings before income taxes | (1,018) | |
Income tax expense | (203) | |
Net earnings | $ (815) | |
Net earnings per share: | ||
Basic | $ (0.02) | |
Diluted | $ (0.02) |
New Accounting Standard - Sal30
New Accounting Standard - Sales Recognition - Summary of Revenue Disaggregated by Reportable Operating Segments (Detail) $ in Thousands | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | $ 1,762,903 |
Gross Revenue Recognition (Principal) [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 1,695,486 |
Net Revenue Recognition (Agent) [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 67,417 |
Large Enterprise / Corporate [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 1,258,849 |
Public Sector [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 258,149 |
Small and Medium-Sized Businesses [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 245,905 |
Hardware Net Sales [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 1,067,511 |
Software Net Sales [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 514,644 |
Services Net Sales [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 180,748 |
North America Segment [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 1,307,398 |
North America Segment [Member] | Gross Revenue Recognition (Principal) [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 1,259,489 |
North America Segment [Member] | Net Revenue Recognition (Agent) [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 47,909 |
North America Segment [Member] | Large Enterprise / Corporate [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 979,894 |
North America Segment [Member] | Public Sector [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 111,604 |
North America Segment [Member] | Small and Medium-Sized Businesses [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 215,900 |
North America Segment [Member] | Hardware Net Sales [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 873,341 |
North America Segment [Member] | Software Net Sales [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 290,476 |
North America Segment [Member] | Services Net Sales [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 143,581 |
EMEA Segment [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 400,415 |
EMEA Segment [Member] | Gross Revenue Recognition (Principal) [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 383,077 |
EMEA Segment [Member] | Net Revenue Recognition (Agent) [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 17,338 |
EMEA Segment [Member] | Large Enterprise / Corporate [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 265,921 |
EMEA Segment [Member] | Public Sector [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 116,614 |
EMEA Segment [Member] | Small and Medium-Sized Businesses [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 17,880 |
EMEA Segment [Member] | Hardware Net Sales [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 187,010 |
EMEA Segment [Member] | Software Net Sales [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 184,918 |
EMEA Segment [Member] | Services Net Sales [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 28,487 |
APAC Segment [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 55,090 |
APAC Segment [Member] | Gross Revenue Recognition (Principal) [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 52,920 |
APAC Segment [Member] | Net Revenue Recognition (Agent) [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 2,170 |
APAC Segment [Member] | Large Enterprise / Corporate [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 13,034 |
APAC Segment [Member] | Public Sector [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 29,931 |
APAC Segment [Member] | Small and Medium-Sized Businesses [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 12,125 |
APAC Segment [Member] | Hardware Net Sales [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 7,160 |
APAC Segment [Member] | Software Net Sales [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | 39,250 |
APAC Segment [Member] | Services Net Sales [Member] | |
Disaggregation of Revenue [Line Items] | |
Disaggregation of Revenue | $ 8,680 |
New Accounting Standard - Sal31
New Accounting Standard - Sales Recognition - Summary of Information about Receivables,Contract Assets and Contract Liabilities from Contract with Customers (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Jan. 01, 2018 | Dec. 31, 2017 |
Disaggregation of Revenue [Line Items] | |||
Current receivables, which are included in "Accounts receivable, net" | $ 1,751,321 | $ 1,814,560 | |
Contract assets, which are included in "Other current assets" | 1,040 | 595 | |
Contract liabilities, which are included in "Deferred revenue" and "Other liabilities" | 89,533 | $ 86,743 | |
Accounts Receivable, Net [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Current receivables, which are included in "Accounts receivable, net" | 1,794,794 | $ 1,849,803 | |
Other Assets [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Non-current receivables, which are included in "Other assets" | 41,748 | 29,675 | |
Other Current Assets [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Contract assets, which are included in "Other current assets" | 1,040 | 595 | |
Deferred Revenue and Other Liabilities [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Contract liabilities, which are included in "Deferred revenue" and "Other liabilities" | $ 89,533 | $ 86,743 |
New Accounting Standard - Sal32
New Accounting Standard - Sales Recognition - Summary of Changes in Contract Assets and Contract Liabilities from Contract with Customers (Detail) $ in Thousands | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Revenue from Contract with Customer [Abstract] | |
Beginning balance, Contract Assets | $ 595 |
Reclassification of the beginning contract assets to receivables, as the result of rights to consideration becoming unconditional, Contract Assets | (395) |
Contract assets recognized, net of reclassification to receivables, Contract Assets | 840 |
Ending balance, Contract Assets | 1,040 |
Beginning balance, Contract Liabilities | 86,743 |
Reclassification of the beginning contract liabilities to revenue, as the result of performance obligations satisfied, Contract Liabilities | (19,473) |
Cash received in advance and not recognized as revenue, Contract Liabilities | 22,263 |
Ending balance, Contract Liabilities | $ 89,533 |
New Accounting Standard - Sal33
New Accounting Standard - Sales Recognition - Summary of Estimated Net Sales Related to Performance Obligation (Detail) $ in Thousands | Mar. 31, 2018USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining nine months of 2018 | $ 78,870 |
2,019 | 47,920 |
2,020 | 21,082 |
2,021 | 6,873 |
2,022 | 3,110 |
2,023 | 910 |
2024 and thereafter | 24 |
Total remaining performance obligations | 158,789 |
Product [Member] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining nine months of 2018 | 370 |
2,019 | 193 |
2,020 | 84 |
2,021 | 6 |
Total remaining performance obligations | 653 |
Services [Member] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Remaining nine months of 2018 | 78,500 |
2,019 | 47,727 |
2,020 | 20,998 |
2,021 | 6,867 |
2,022 | 3,110 |
2,023 | 910 |
2024 and thereafter | 24 |
Total remaining performance obligations | $ 158,136 |
Net Earnings Per Share ("EPS"34
Net Earnings Per Share ("EPS") - Reconciliation of Denominators of Basic and Diluted EPS Calculations (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Numerator: | ||
Net earnings | $ 32,745 | $ 13,848 |
Denominator: | ||
Weighted average shares used to compute basic EPS | 35,913 | 35,602 |
Dilutive potential common shares due to dilutive RSUs, net of tax effect | 350 | 583 |
Weighted average shares used to compute diluted EPS | 36,263 | 36,185 |
Net earnings per share: | ||
Basic | $ 0.91 | $ 0.39 |
Diluted | $ 0.90 | $ 0.38 |
Net Earnings Per Share ("EPS"35
Net Earnings Per Share ("EPS") - Additional Information (Detail) - shares | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Restricted Stock Units (RSUs) [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
RSUs excluded from the diluted EPS calculations | 20,000 | 96,000 |
Debt, Inventory Financing Fac36
Debt, Inventory Financing Facility, Capital Leases and Other Financing Obligations - Long-Term Debt (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Long-term debt | ||
Senior revolving credit facility | $ 2,000 | $ 117,500 |
Term Loan A (less unamortized debt issuance costs of $811 and $873, respectively) | 162,158 | 165,377 |
Accounts receivable securitization financing facility | 94,000 | 25,000 |
Capital leases and other financing obligations | 3,769 | 5,291 |
Total | 261,927 | 313,168 |
Total | 261,927 | 313,168 |
Less: current portion of long-term debt | (16,358) | (16,592) |
Long-term debt | $ 245,569 | $ 296,576 |
Debt, Inventory Financing Fac37
Debt, Inventory Financing Facility, Capital Leases and Other Financing Obligations - Long-Term Debt (Parenthetical) (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Debt Disclosure [Abstract] | ||
Unamortized debt issuance cost | $ 811 | $ 873 |
Debt, Inventory Financing Fac38
Debt, Inventory Financing Facility, Capital Leases and Other Financing Obligations - Additional Information (Detail) | 1 Months Ended | 3 Months Ended | |||
Jan. 31, 2017USD ($) | Mar. 31, 2018USD ($) | Mar. 23, 2018USD ($) | Mar. 22, 2018USD ($) | Dec. 31, 2017USD ($) | |
Debt Instrument [Line Items] | |||||
Accounts receivable securitization financing facility | $ 94,000,000 | $ 25,000,000 | |||
Accounts payable-inventory financing facility | 228,102,000 | 319,468,000 | |||
Capital lease obligations | 2,775,000 | 2,802,000 | |||
Amount owed under other financing agreement | 994,000 | $ 2,489,000 | |||
Senior Revolving Credit Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Credit facility, borrowing capacity | $ 350,000,000 | ||||
Incremental borrowings under Term Loan A | $ 175,000,000 | ||||
Line of credit maturity date | Jun. 23, 2021 | ||||
Percentage of amortization payments year one | 5.00% | ||||
Percentage of amortization payments year two | 7.50% | ||||
Percentage of amortization payments year three | 10.00% | ||||
Percentage of amortization payments year four | 12.50% | ||||
Percentage of amortization payments year five | 15.00% | ||||
Repayment of borrowing date | Mar. 31, 2021 | ||||
Line of credit due at maturity | $ 107,187,500 | ||||
Outstanding borrowings at period end | 2,000,000 | ||||
Senior Revolving Credit Facility [Member] | Foreign Currency Borrowings [Member] | |||||
Debt Instrument [Line Items] | |||||
Credit facility, borrowing capacity | 50,000,000 | ||||
ABS Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Credit facility, borrowing capacity | $ 250,000,000 | ||||
Line of credit maturity date | Jun. 23, 2019 | ||||
Amount of facility permitted by qualified receivables | $ 250,000,000 | ||||
Accounts receivable securitization financing facility | 94,000,000 | ||||
Outstanding borrowings at period end | 94,000,000 | ||||
Senior Revolving Credit Facility Term Loan A and Asset Backed Securitization Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Credit facility, borrowing capacity | $ 762,969,000 | ||||
Maximum leverage ratio times adjusted earnings | 3.25 | ||||
Inventory Financing Facility [Member] | |||||
Debt Instrument [Line Items] | |||||
Inventory financing facility maximum borrowing capacity | $ 400,000,000 | $ 325,000,000 | |||
Inventory financing facility maturity date | Jun. 23, 2021 | ||||
Accounts payable-inventory financing facility | $ 228,102,000 | ||||
Inventory financing facility interest rate if balances are not paid within stated vendor terms | Prime plus 1.25% | ||||
Inventory financing facility rate if vendor terms not met equal prime plus | 1.25% | ||||
Term Loan A [Member] | |||||
Debt Instrument [Line Items] | |||||
Outstanding borrowings at period end | $ 162,969,000 |
Severance and Restructuring A39
Severance and Restructuring Activities - Activity Related to Resource Actions and Outstanding Obligations (Detail) $ in Thousands | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Restructuring Cost and Reserve [Line Items] | |
Beginning balance | $ 4,640 |
Severance costs, net of adjustments | 1,644 |
Cash payments | (3,439) |
Foreign currency translation adjustments | 61 |
Ending balance | 2,906 |
North America Segment [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Beginning balance | 1,631 |
Severance costs, net of adjustments | 443 |
Cash payments | (791) |
Foreign currency translation adjustments | (20) |
Ending balance | 1,263 |
EMEA Segment [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Beginning balance | 2,994 |
Severance costs, net of adjustments | 1,074 |
Cash payments | (2,506) |
Foreign currency translation adjustments | 81 |
Ending balance | 1,643 |
APAC Segment [Member] | |
Restructuring Cost and Reserve [Line Items] | |
Beginning balance | 15 |
Severance costs, net of adjustments | 127 |
Cash payments | $ (142) |
Stock-Based Compensation - Pre-
Stock-Based Compensation - Pre-tax Amounts by Operating Segment for Stock-Based Compensation (Detail) - Restricted Stock Units (RSUs) [Member] - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Stock-based compensation expense related to restricted stock units (RSUs) | $ 3,184 | $ 3,412 |
Selling and Administrative Expenses [Member] | North America Segment [Member] | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Stock-based compensation expense related to restricted stock units (RSUs) | 2,390 | 2,538 |
Selling and Administrative Expenses [Member] | EMEA Segment [Member] | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Stock-based compensation expense related to restricted stock units (RSUs) | 690 | 745 |
Selling and Administrative Expenses [Member] | APAC Segment [Member] | ||
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||
Stock-based compensation expense related to restricted stock units (RSUs) | $ 104 | $ 129 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - Restricted Stock Units (RSUs) [Member] | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Total compensation cost related to RSU's not yet recognized | $ 28,174,000 |
Weighted average number of years for recognition of outstanding nonvested RSUs | 1 year 4 months 28 days |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Restricted Stock Units Activity (Detail) - Restricted Stock Units (RSUs) [Member] | 3 Months Ended |
Mar. 31, 2018USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Nonvested Number, Beginning balance | shares | 892,113 |
Number, Granted | shares | 377,045 |
Number, Vested, including shares withheld to cover taxes | shares | (321,924) |
Number, Forfeited | shares | (14,185) |
Nonvested Number, Ending balance | shares | 933,049 |
Nonvested Weighted Average Grant Date Fair Value, Beginning balance | $ / shares | $ 32.86 |
Weighted Average Grant Date Fair Value, Granted | $ / shares | 35.30 |
Weighted Average Grant Date Fair Value, Vested, including shares withheld to cover taxes | $ / shares | 29.65 |
Weighted Average Grant Date Fair Value, Forfeited | $ / shares | 33.14 |
Nonvested Weighted Average Grant Date Fair Value, Ending balance | $ / shares | $ 34.95 |
Fair Value, Vested, including shares withheld to cover taxes | $ | $ 11,355,845 |
Fair Value, Nonvested at end of period | $ | $ 32,591,402 |
Stock-Based Compensation - Su43
Stock-Based Compensation - Summary of Restricted Stock Units Activity (Parenthetical) (Detail) - $ / shares | 3 Months Ended | |
Mar. 31, 2018 | Mar. 29, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Closing stock price | $ 34.93 | |
Performance Based Restricted Stock Unit [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Total RSUs | 116,967 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Income Tax [Line Items] | |||
Effective tax rate | 26.00% | 26.20% | |
United States federal statutory income tax rate | 21.00% | 35.00% | |
Tax benefit on the settlement of employee share-based awards | $ 1,996,000 | ||
Unrecognized tax benefits | $ 4,300,000 | $ 4,273,000 | |
Unrecognized tax benefits, interest on income taxes accrued | $ 268,000 | $ 287,000 | |
Period during which examination phase of tax audits may conclude, description | Although the timing of the resolutions and/or closures of audits is highly uncertain, it is reasonably possible that the examination phase of these audits may be concluded within the next 12 months which could significantly increase or decrease the balance of our gross unrecognized tax benefits. | ||
Earliest Tax Year [Member] | |||
Income Tax [Line Items] | |||
Open tax year | 2,012 | ||
Latest Tax Year [Member] | |||
Income Tax [Line Items] | |||
Open tax year | 2,015 |
Share Repurchase Program - Addi
Share Repurchase Program - Additional Information (Detail) - USD ($) | 3 Months Ended | ||
Mar. 31, 2018 | Feb. 13, 2018 | Mar. 31, 2017 | |
Equity [Abstract] | |||
Common stock repurchase program, authorized amount | $ 50,000,000 | $ 0 | |
Common stock repurchase program, number of shares authorized | 221,256 | ||
Repurchase program, approximate dollar value of shares purchased | $ 7,679,000 | ||
Repurchase program, average price paid per share | $ 34.71 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Commitments and Contingencies Disclosure [Abstract] | |
Other commitment, Performance bonds outstanding | $ 1,962,000 |
Number of months of salary paid as severance | From three to twenty-four months |
Segment Information - Additiona
Segment Information - Additional Information (Detail) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2018Segment | Mar. 31, 2017USD ($) | Dec. 31, 2017 | |
Revenue from External Customer [Line Items] | |||
Number of operating segments | Segment | 3 | ||
Description of major customers net sales | None of our clients exceeded ten percent of consolidated net sales in 2017, 2016 or 2015. | ||
Product Concentration Risk [Member] | Net Sales [Member] | |||
Revenue from External Customer [Line Items] | |||
Net sales from provision of services | 10.00% | ||
Hardware Net Sales [Member] | |||
Revenue from External Customer [Line Items] | |||
Reclassified to services | $ 71,000 | ||
APAC Segment [Member] | Software And Hardware Net Sales Reclassified To Services [Member] | |||
Revenue from External Customer [Line Items] | |||
Reclassified to services | 2,172,000 | ||
EMEA Segment [Member] | Software And Hardware Net Sales Reclassified To Services [Member] | |||
Revenue from External Customer [Line Items] | |||
Reclassified to services | 10,876,000 | ||
North America Segment [Member] | Software And Hardware Net Sales Reclassified To Services [Member] | |||
Revenue from External Customer [Line Items] | |||
Reclassified to services | $ 21,981,000 |
Segment Information - Net Sales
Segment Information - Net Sales by Offering for North America, EMEA and APAC (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Revenue from External Customer [Line Items] | ||
Revenues from external customers | $ 1,762,903 | $ 1,477,543 |
North America Segment [Member] | ||
Revenue from External Customer [Line Items] | ||
Revenues from external customers | 1,307,398 | 1,110,952 |
North America Segment [Member] | Hardware Net Sales [Member] | ||
Revenue from External Customer [Line Items] | ||
Revenues from external customers | 873,341 | 710,864 |
North America Segment [Member] | Software Net Sales [Member] | ||
Revenue from External Customer [Line Items] | ||
Revenues from external customers | 290,476 | 273,983 |
North America Segment [Member] | Services Net Sales [Member] | ||
Revenue from External Customer [Line Items] | ||
Revenues from external customers | 143,581 | 126,105 |
EMEA Segment [Member] | ||
Revenue from External Customer [Line Items] | ||
Revenues from external customers | 400,415 | 330,355 |
EMEA Segment [Member] | Hardware Net Sales [Member] | ||
Revenue from External Customer [Line Items] | ||
Revenues from external customers | 187,010 | 138,877 |
EMEA Segment [Member] | Software Net Sales [Member] | ||
Revenue from External Customer [Line Items] | ||
Revenues from external customers | 184,918 | 169,318 |
EMEA Segment [Member] | Services Net Sales [Member] | ||
Revenue from External Customer [Line Items] | ||
Revenues from external customers | 28,487 | 22,160 |
APAC Segment [Member] | ||
Revenue from External Customer [Line Items] | ||
Revenues from external customers | 55,090 | 36,236 |
APAC Segment [Member] | Hardware Net Sales [Member] | ||
Revenue from External Customer [Line Items] | ||
Revenues from external customers | 7,160 | 4,080 |
APAC Segment [Member] | Software Net Sales [Member] | ||
Revenue from External Customer [Line Items] | ||
Revenues from external customers | 39,250 | 24,847 |
APAC Segment [Member] | Services Net Sales [Member] | ||
Revenue from External Customer [Line Items] | ||
Revenues from external customers | $ 8,680 | $ 7,309 |
Segment Information - Financial
Segment Information - Financial Information about Reportable Operating Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Segment Reporting Information [Line Items] | ||
Products | $ 1,582,155 | $ 1,321,969 |
Services | 180,748 | 155,574 |
Total net sales | 1,762,903 | 1,477,543 |
Products | 1,438,734 | 1,201,057 |
Services | 84,164 | 68,259 |
Total costs of goods sold | 1,522,898 | 1,269,316 |
Gross profit | 240,005 | 208,227 |
Operating expenses: | ||
Selling and administrative expenses | 188,180 | 177,632 |
Severance and restructuring expenses | 1,644 | 4,695 |
Acquisition-related expenses | 2,947 | |
Earnings (loss) from operations | 50,181 | 22,953 |
North America Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Products | 1,163,817 | 984,847 |
Services | 143,581 | 126,105 |
Total net sales | 1,307,398 | 1,110,952 |
Products | 1,057,989 | 891,587 |
Services | 74,038 | 61,064 |
Total costs of goods sold | 1,132,027 | 952,651 |
Gross profit | 175,371 | 158,301 |
Operating expenses: | ||
Selling and administrative expenses | 132,640 | 131,010 |
Severance and restructuring expenses | 443 | 1,104 |
Acquisition-related expenses | 2,947 | |
Earnings (loss) from operations | 42,288 | 23,240 |
EMEA Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Products | 371,928 | 308,195 |
Services | 28,487 | 22,160 |
Total net sales | 400,415 | 330,355 |
Products | 337,907 | 282,509 |
Services | 6,716 | 5,300 |
Total costs of goods sold | 344,623 | 287,809 |
Gross profit | 55,792 | 42,546 |
Operating expenses: | ||
Selling and administrative expenses | 48,283 | 40,143 |
Severance and restructuring expenses | 1,074 | 3,530 |
Earnings (loss) from operations | 6,435 | (1,127) |
APAC Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Products | 46,410 | 28,927 |
Services | 8,680 | 7,309 |
Total net sales | 55,090 | 36,236 |
Products | 42,838 | 26,961 |
Services | 3,410 | 1,895 |
Total costs of goods sold | 46,248 | 28,856 |
Gross profit | 8,842 | 7,380 |
Operating expenses: | ||
Selling and administrative expenses | 7,257 | 6,479 |
Severance and restructuring expenses | 127 | 61 |
Earnings (loss) from operations | $ 1,458 | $ 840 |
Segment Information - Summary o
Segment Information - Summary of Total Assets by Reportable Operating Segment (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | $ 2,572,411 | $ 2,685,651 |
Operating Segments [Member] | North America Segment [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | 2,349,002 | 2,337,573 |
Operating Segments [Member] | EMEA Segment [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | 576,292 | 530,242 |
Operating Segments [Member] | APAC Segment [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | 112,778 | 101,169 |
Intersegment Eliminations [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | $ (465,661) | $ (283,333) |
Segment Information - Pre-Tax D
Segment Information - Pre-Tax Depreciation and Amortization by Operating Segment (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Segment Reporting Information [Line Items] | ||
Depreciation and amortization of property and equipment | $ 5,433 | $ 6,830 |
Amortization of intangible assets | 3,611 | 4,223 |
Depreciation and amortization, total | 9,044 | 11,053 |
North America Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Depreciation and amortization of property and equipment | 4,298 | 5,553 |
Amortization of intangible assets | 3,360 | 4,012 |
EMEA Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Depreciation and amortization of property and equipment | 1,003 | 1,150 |
Amortization of intangible assets | 74 | 12 |
APAC Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Depreciation and amortization of property and equipment | 132 | 127 |
Amortization of intangible assets | $ 177 | $ 199 |