Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2019 | Nov. 01, 2019 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2019 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | NSIT | |
Entity Registrant Name | INSIGHT ENTERPRISES INC | |
Entity Central Index Key | 0000932696 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Shell Company | false | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 35,256,041 | |
Entity File Number | 0-25092 | |
Entity Tax Identification Number | 86-0766246 | |
Entity Address, Address Line One | 6820 South Harl Avenue | |
Entity Address, City or Town | Tempe | |
Entity Address, State or Province | AZ | |
Entity Address, Postal Zip Code | 85283 | |
City Area Code | 480 | |
Local Phone Number | 333-3000 | |
Entity Incorporation, State or Country Code | DE | |
Title of 12(b) Security | Common stock, par value $0.01 | |
Security Exchange Name | NASDAQ | |
Document Quarterly Report | true | |
Document Transition Report | false |
Consolidated Balance Sheets (un
Consolidated Balance Sheets (unaudited) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 140,549 | $ 142,655 |
Accounts receivable, net of allowance for doubtful accounts of $10,243 and $10,462, respectively | 2,320,681 | 1,931,736 |
Inventories | 219,932 | 148,503 |
Other current assets | 120,972 | 115,683 |
Total current assets | 2,802,134 | 2,338,577 |
Property and equipment, net of accumulated depreciation and amortization of $255,916 and $331,700, respectively | 169,996 | 72,954 |
Goodwill | 358,384 | 166,841 |
Intangible assets, net of accumulated amortization of $65,922 and $52,942, respectively | 350,342 | 112,179 |
Deferred income taxes | 3,027 | 7,967 |
Other assets | 298,477 | 77,429 |
Total assets | 3,982,360 | 2,775,947 |
Current liabilities: | ||
Accounts payable—trade | 1,220,678 | 978,104 |
Accounts payable—inventory financing facilities | 207,658 | 304,130 |
Accrued expenses and other current liabilities | 254,677 | 190,733 |
Current portion of long-term debt | 1,142 | 1,395 |
Deferred revenue | 67,819 | 62,300 |
Total current liabilities | 1,751,974 | 1,536,662 |
Long-term debt | 835,714 | 195,525 |
Deferred income taxes | 58,665 | 683 |
Other liabilities | 233,369 | 56,088 |
Total liabilities | 2,879,722 | 1,788,958 |
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; 35,251 shares at September 30, 2019 and 35,482 shares at December 31, 2018 issued and outstanding | 353 | 355 |
Additional paid-in capital | 353,069 | 323,622 |
Retained earnings | 798,147 | 704,665 |
Accumulated other comprehensive loss – foreign currency translation adjustments | (48,931) | (41,653) |
Total stockholders’ equity | 1,102,638 | 986,989 |
Total liabilities and stockholders' equity | $ 3,982,360 | $ 2,775,947 |
Consolidated Balance Sheets (_2
Consolidated Balance Sheets (unaudited) (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Statement Of Financial Position [Abstract] | ||
Allowance for doubtful accounts receivable | $ 10,243 | $ 10,462 |
Accumulated depreciation and amortization of property and equipment | 255,916 | 331,700 |
Accumulated amortization of intangible assets | $ 65,922 | $ 52,942 |
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 | 35,251,000 | 35,482,000 |
Common stock, shares outstanding | 35,251,000 | 35,482,000 |
Consolidated Statements of Oper
Consolidated Statements of Operations (unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Net sales: | ||||
Total net sales | $ 1,912,547 | $ 1,747,726 | $ 5,434,034 | $ 5,331,090 |
Costs of goods sold: | ||||
Total costs of goods sold | 1,636,352 | 1,512,812 | 4,633,918 | 4,591,536 |
Gross profit | 276,195 | 234,914 | 800,116 | 739,554 |
Operating expenses: | ||||
Selling and administrative expenses | 223,215 | 184,095 | 613,767 | 561,739 |
Severance and restructuring expenses, net | 2,662 | 683 | 3,712 | 2,709 |
Acquisition related expenses | 5,896 | 188 | 9,059 | 282 |
Earnings from operations | 44,422 | 49,948 | 173,578 | 174,824 |
Non-operating (income) expense: | ||||
Interest income | (393) | (330) | (930) | (653) |
Interest expense | 8,087 | 6,132 | 17,511 | 17,249 |
Net foreign currency exchange (gain) loss | (391) | 539 | (10) | 19 |
Other (income) expense, net | (147) | 393 | 868 | 1,019 |
Earnings before income taxes | 37,266 | 43,214 | 156,139 | 157,190 |
Income tax expense | 10,134 | 11,060 | 39,682 | 40,554 |
Net earnings | $ 27,132 | $ 32,154 | $ 116,457 | $ 116,636 |
Net earnings per share: | ||||
Basic | $ 0.76 | $ 0.91 | $ 3.27 | $ 3.27 |
Diluted | $ 0.76 | $ 0.89 | $ 3.23 | $ 3.24 |
Shares used in per share calculations: | ||||
Basic | 35,512 | 35,468 | 35,631 | 35,622 |
Diluted | 35,868 | 35,957 | 36,027 | 36,012 |
Products [Member] | ||||
Net sales: | ||||
Total net sales | $ 1,668,880 | $ 1,548,273 | $ 4,729,887 | $ 4,724,888 |
Costs of goods sold: | ||||
Total costs of goods sold | 1,519,240 | 1,415,808 | 4,315,464 | 4,319,181 |
Services [Member] | ||||
Net sales: | ||||
Total net sales | 243,667 | 199,453 | 704,147 | 606,202 |
Costs of goods sold: | ||||
Total costs of goods sold | $ 117,112 | $ 97,004 | $ 318,454 | $ 272,355 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net earnings | $ 27,132 | $ 32,154 | $ 116,457 | $ 116,636 |
Other comprehensive income (loss), net of tax: | ||||
Foreign currency translation adjustments | (8,903) | 657 | (7,278) | (9,774) |
Total comprehensive income | $ 18,229 | $ 32,811 | $ 109,179 | $ 106,862 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity (unaudited) - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock [Member] | Treasury Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Loss [Member] | Retained Earnings [Member] |
Beginning Balance at Dec. 31, 2017 | $ 843,469 | $ 358 | $ 317,155 | $ (24,264) | $ 550,220 | |
Beginning Balance, Shares at Dec. 31, 2017 | 35,829 | |||||
Cumulative effect of accounting change | 7,176 | 7,176 | ||||
Issuance of common stock under employee stock plans, net of shares withheld for payroll taxes, Value | (3,195) | $ 3 | (3,198) | |||
Issuance of common stock under employee stock plans, net of shares withheld for payroll taxes, Shares | 288 | |||||
Stock-based compensation expense | 10,764 | 10,763 | 1 | |||
Repurchase of common stock, Amount | (22,069) | $ (22,069) | ||||
Repurchase of common stock, Shares | (641) | |||||
Retirement of treasury stock, Amount | $ (6) | $ 22,069 | (5,655) | (16,408) | ||
Retirement of treasury stock, Shares | (641) | 641 | ||||
Foreign currency translation adjustments, net of tax | (9,774) | (9,774) | ||||
Net earnings | 116,636 | 116,636 | ||||
Ending Balance at Sep. 30, 2018 | 943,007 | $ 355 | 319,065 | (34,038) | 657,625 | |
Ending Balance, Shares at Sep. 30, 2018 | 35,476 | |||||
Beginning Balance at Jun. 30, 2018 | 906,749 | $ 355 | 315,619 | (34,695) | 625,470 | |
Beginning Balance, Shares at Jun. 30, 2018 | 35,459 | |||||
Issuance of common stock under employee stock plans, net of shares withheld for payroll taxes, Value | (270) | (270) | ||||
Issuance of common stock under employee stock plans, net of shares withheld for payroll taxes, Shares | 17 | |||||
Stock-based compensation expense | 3,717 | 3,716 | 1 | |||
Foreign currency translation adjustments, net of tax | 657 | 657 | ||||
Net earnings | 32,154 | 32,154 | ||||
Ending Balance at Sep. 30, 2018 | 943,007 | $ 355 | 319,065 | (34,038) | 657,625 | |
Ending Balance, Shares at Sep. 30, 2018 | 35,476 | |||||
Beginning Balance at Dec. 31, 2018 | 986,989 | $ 355 | 323,622 | (41,653) | 704,665 | |
Beginning Balance, Shares at Dec. 31, 2018 | 35,482 | |||||
Issuance of common stock under employee stock plans, net of shares withheld for payroll taxes, Value | (6,419) | $ 3 | (6,422) | |||
Issuance of common stock under employee stock plans, net of shares withheld for payroll taxes, Shares | 310 | |||||
Stock-based compensation expense | 11,895 | 11,895 | ||||
Equity component of convertible senior notes, net of deferred tax of $14,819 and issuance costs of $1,700 | 44,731 | 44,731 | ||||
Issuance of warrants related to convertible senior notes | 34,440 | 34,440 | ||||
Purchase of note hedge related to convertible senior notes, net of deferred tax of $16,047 | (50,278) | (50,278) | ||||
Repurchase of common stock, Amount | (27,899) | $ (27,899) | ||||
Repurchase of common stock, Shares | (541) | |||||
Retirement of treasury stock, Amount | $ (5) | $ 27,899 | (4,919) | (22,975) | ||
Retirement of treasury stock, Shares | (541) | 541 | ||||
Foreign currency translation adjustments, net of tax | (7,278) | (7,278) | ||||
Net earnings | 116,457 | 116,457 | ||||
Ending Balance at Sep. 30, 2019 | 1,102,638 | $ 353 | 353,069 | (48,931) | 798,147 | |
Ending Balance, Shares at Sep. 30, 2019 | 35,251 | |||||
Beginning Balance at Jun. 30, 2019 | 1,079,583 | $ 358 | 325,263 | (40,028) | 793,990 | |
Beginning Balance, Shares at Jun. 30, 2019 | 35,781 | |||||
Issuance of common stock under employee stock plans, net of shares withheld for payroll taxes, Value | (266) | (266) | ||||
Issuance of common stock under employee stock plans, net of shares withheld for payroll taxes, Shares | 11 | |||||
Stock-based compensation expense | 4,098 | 4,098 | ||||
Equity component of convertible senior notes, net of deferred tax of $14,819 and issuance costs of $1,700 | 44,731 | 44,731 | ||||
Issuance of warrants related to convertible senior notes | 34,440 | 34,440 | ||||
Purchase of note hedge related to convertible senior notes, net of deferred tax of $16,047 | (50,278) | (50,278) | ||||
Repurchase of common stock, Amount | (27,899) | $ (27,899) | ||||
Repurchase of common stock, Shares | (541) | |||||
Retirement of treasury stock, Amount | $ (5) | $ 27,899 | (4,919) | (22,975) | ||
Retirement of treasury stock, Shares | (541) | 541 | ||||
Foreign currency translation adjustments, net of tax | (8,903) | (8,903) | ||||
Net earnings | 27,132 | 27,132 | ||||
Ending Balance at Sep. 30, 2019 | $ 1,102,638 | $ 353 | $ 353,069 | $ (48,931) | $ 798,147 | |
Ending Balance, Shares at Sep. 30, 2019 | 35,251 |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (unaudited) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2019 | Sep. 30, 2019 | |
Statement Of Stockholders Equity [Abstract] | ||
Equity component of convertible senior notes, Deferred tax | $ 14,819 | $ 14,819 |
Equity component of convertible senior notes, issuance cost | 1,700 | 1,700 |
Purchase of note hedge related to convertible senior notes, deferred tax | $ 16,047 | $ 16,047 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2019 | Sep. 30, 2018 | |
Cash flows from operating activities: | ||
Net earnings | $ 116,457 | $ 116,636 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||
Depreciation and amortization of property and equipment | 15,506 | 16,018 |
Amortization of intangible assets | 13,590 | 11,399 |
Provision for losses on accounts receivable | 2,695 | 2,572 |
Amortization of debt discount and issuance costs | 2,322 | |
Loss on extinguishment of debt | 352 | |
Write-downs of inventories | 3,281 | 2,410 |
Write-off of property and equipment | 367 | |
Non-cash stock-based compensation | 11,895 | 10,764 |
Deferred income taxes | 2,501 | 2,964 |
Changes in assets and liabilities: | ||
Decrease in accounts receivable | 68,057 | 222,047 |
(Increase) decrease in inventories | (17,946) | 24,373 |
(Increase) decrease in other assets | (99,681) | 31,555 |
Decrease in accounts payable | (39,191) | (201,147) |
(Decrease) increase in deferred revenue | (1,148) | 11,326 |
Increase (decrease) in accrued expenses and other liabilities | 89,905 | (4,043) |
Net cash provided by operating activities | 168,595 | 247,241 |
Cash flows from investing activities: | ||
Purchases of property and equipment | (16,922) | (13,046) |
Proceeds from sale of foreign entity | 479 | |
Acquisitions, net of cash and cash equivalents acquired | (664,287) | (74,938) |
Net cash used in investing activities | (681,209) | (87,505) |
Cash flows from financing activities: | ||
Borrowings on senior revolving credit facility | 242,936 | 569,232 |
Repayments on senior revolving credit facility | (242,936) | (686,732) |
Borrowings on accounts receivable securitization financing facility | 2,364,500 | 2,662,000 |
Repayments on accounts receivable securitization financing facility | (2,558,500) | (2,576,000) |
Repayments under Term Loan A | (9,844) | |
Repayments under other financing agreements | (183) | (2,312) |
Payments on finance lease obligations | (980) | (1,002) |
Net repayments under inventory financing facilities | (96,472) | (81,911) |
Proceeds from issuance of convertible senior notes | 341,250 | |
Proceeds from issuance of warrants | 34,440 | |
Purchase of note hedge related to convertible senior notes | (66,325) | |
Payment of debt issuance costs | (1,180) | (270) |
Payment of payroll taxes on stock-based compensation through shares withheld | (6,419) | (3,195) |
Repurchases of common stock | (27,899) | (22,069) |
Net cash provided by (used in) financing activities | 514,442 | (152,103) |
Foreign currency exchange effect on cash, cash equivalents and restricted cash balances | (3,960) | (2,434) |
(Decrease) increase in cash, cash equivalents and restricted cash | (2,132) | 5,199 |
Cash, cash equivalents and restricted cash at beginning of period | 144,293 | 107,445 |
Cash, cash equivalents and restricted cash at end of period | 142,161 | $ 112,644 |
ABL Facility [Member] | ||
Cash flows from financing activities: | ||
Borrowings on senior revolving credit facility | 986,754 | |
Repayments on senior revolving credit facility | $ (454,544) |
Basis of Presentation and Recen
Basis of Presentation and Recently Issued Accounting Standards | 9 Months Ended |
Sep. 30, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Basis of Presentation and Recently Issued Accounting Standards | 1. Basis of Presentation and Rece ntly Issued Accounting Standards We empower organizations of all sizes with Insight 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 consist of 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 September 30, 2019 and our results of operations for the three and nine months ended September 30, 2019 and 2018 and cash flows for the nine months ended September 30, 2019 and 2018. The consolidated balance sheet as of December 31, 2018 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 SEC 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 for the year ended December 31, 2018. Our results of operations include the results of PCM, Inc. (“PCM”) from its acquisition date of August 30, 2019 and Cardinal Solutions Group, Inc. (“Cardinal”) from its acquisition date of August 1, 2018. 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 In June 2016, the Financial Accounting Standards Board’s (“FASB”) issued Accounting Standard Update (“ASU”) No. 2016-13, “Financial Instruments – Credit Losses.” The new standard is intended to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit held at each reporting date. The new standard is effective for interim and annual periods beginning after December 15, 2019, and early adoption is permitted. We will adopt the new standard as of January 1, 2020 and do not expect the adoption to have a material effect on our consolidated financial statements. In April 2019, the FASB issued ASU No. 2019-04, “Codification Improvements to Topic 326, Financial Instruments – Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments.” The new standard provides changes for how a company considers expected recoveries and contractual extensions or renewal options when estimating expected credit losses. The new standard is effective with the adoption of ASU No. 2016-13. We will adopt the new standard as of January 1, 2020 and do not expect the adoption to have a material effect on our consolidated financial statements. Effective January 1, 2019, we adopted the FASB ASU No. 2016-02— Leases (Topic 842) Adoption of the new standard resulted in the recording of additional net operating lease ROU assets and lease liabilities of $65,922,000 and $70,512,000, respectively, as of January 1, 2019. The difference between the additional lease assets and lease liabilities reflected existing accrued and prepaid rent balances that were reclassified to the operating lease ROU asset at January 1, 2019. The standard did not materially impact our consolidated net earnings and had no impact on cash flows. There have been no other material changes in or additions to the recently issued accounting standards as previously reported in Note 1 to our Consolidated Financial Statements in Part II, Item 8 of our Annual Report on Form 10-K for the year ended December 31, 2018 that affect or may affect our current financial statements. |
Leases
Leases | 9 Months Ended |
Sep. 30, 2019 | |
Leases [Abstract] | |
Leases | 2. Leases We lease office space, distribution centers, land, vehicles and equipment. Lease agreements with an initial term of 12 months or less are not recorded on the balance sheet; we recognize lease expense for these leases on a straight-line basis over the lease term. Certain lease agreements include one or more options to renew, with renewal terms that can extend the lease term from one to five years The exercise of lease renewal options is at our sole discretion. Certain of our lease agreements include rental payments adjus ted periodically for inflation. Our lease agreements do not contain any material residual value guarantees or material restrictive covenants. Significant Leases Accounting Policy We determine if a contract or arrangement is, or contains, a lease at inception. Balances related to operating leases are included in other assets, other current liabilities, and other liabilities in our consolidated balance sheet. Balances related to financing leases are included in property and equipment, current portion of long-term debt, and long-term debt in our consolidated balance sheet. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. We use the implicit rate when readily determinable. The operating lease ROU asset includes any prepaid lease payments and additional direct costs and excludes lease incentives. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. The following table provides information about the financial statement classification of our lease balances reported within the consolidated balance sheets as of September 30, 2019 and January 1, 2019 (in thousands): Leases Classification September 30, 2019 January 1, 2019 Assets Operating lease assets Other assets $ 78,621 $ 65,922 Finance lease assets Property and equipment (a) 1,178 1,693 Total lease assets $ 79,799 $ 67,615 Liabilities Current Operating lease liabilities Accrued expenses and other current liabilities $ 19,502 $ 15,788 Finance lease liabilities Current portion of long-term debt 1,143 1,399 Non-current Operating lease liabilities Other liabilities 64,018 54,724 Finance lease liabilities Long-term debt 670 1,521 Total lease liabilities $ 85,333 $ 73,432 (a) Recorded net of accumulated amortization of $515,000 as of September 30, 2019 and there is no accumulated amortization as of January 1, 2019. The following table provides information about the financial statement classification of our lease expenses reported within the consolidated statement of operations for the three and nine months ended September 30, 2019 (in thousands): Lease cost Classification Three months ended September 30, 2019 Nine months ended September 30, 2019 Operating lease cost (a) (b) Selling and administrative expenses $ 5,197 $ 14,965 Finance lease cost Amortization of leased assets Selling and administrative expenses 171 515 Interest on lease liabilities Interest expense, net 22 72 Total lease cost $ 5,390 $ 15,552 (a) Includes immaterial amounts recorded to cost of goods sold. (b) Excludes short-term and variable lease costs, which are immaterial. Future minimum lease payments under non-cancelable leases as of September 30, 2019 are as follows (in thousands): Operating leases Finance leases Total Remainder of 2019 $ 6,008 $ 310 $ 6,318 2020 21,144 1,150 22,294 2021 17,812 432 18,244 2022 14,470 — 14,470 2023 8,984 — 8,984 After 2023 25,486 — 25,486 Total lease payments 93,904 1,892 95,796 Less: Interest (10,384 ) (79 ) (10,463 ) Present value of lease liabilities $ 83,520 $ 1,813 $ 85,333 Operating lease payments include $13.4 The following table provides information about the remaining lease terms and discount rates applied as of September 30, 2019: September 30, 2019 Weighted average remaining lease term (years) Operating leases 6.19 Finance leases 1.69 Weighted average discount rate (%) Operating leases 3.65 Finance leases 4.85 The following table provides other information related to leases for the nine months ended September 30, 2019 (in thousands): Nine months ended September 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 14,527 Leased assets obtained in exchange for new operating lease liabilities 5,901 Operating Leases pre-Topic 842 adoption We have non-cancelable operating leases with third parties, primarily for administrative and distribution center space and computer equipment. Our facilities leases generally provide for periodic rent increases and many contain escalation clauses and renewal options. We recognize rent expense on a straight-line basis over the lease term. Rental expense for these third-party operating leases was $20,114,000, $19,126,000 and $14,444,000 in 2018, 2017 and 2016, respectively, and is included in selling and administrative expenses. Future minimum lease payments under non-cancelable operating leases (with initial or remaining lease terms in excess of one year) as of December 31, 2018 are as follows (in thousands): Years Ending December 31, 2019 $ 21,499 2020 15,580 2021 12,121 2022 9,150 2023 6,296 Thereafter 7,238 Total minimum lease payments $ 71,884 Amounts in the table above exclude approximately $1.6 million in 2019 in non-cancellable rental income. |
Sales Recognition
Sales Recognition | 9 Months Ended |
Sep. 30, 2019 | |
Revenue From Contract With Customer [Abstract] | |
Sales Recognition | 3 . Sales Recognition In the following table, revenue is disaggregated by our reportable operating segments, which are primarily defined by Three Months Ended September 30, 2019 North America EMEA APAC Consolidated Major Offerings Hardware $ 1,020,083 $ 137,416 $ 9,243 $ 1,166,742 Software 295,730 186,839 19,569 502,138 Services 199,349 31,453 12,865 243,667 $ 1,515,162 $ 355,708 $ 41,677 $ 1,912,547 Major Client Groups Large Enterprise / Corporate $ 1,110,817 $ 277,536 $ 17,811 $ 1,406,164 Public Sector 165,085 59,174 6,178 230,437 Small and Medium-Sized Businesses 239,260 18,998 17,688 275,946 $ 1,515,162 $ 355,708 $ 41,677 $ 1,912,547 Revenue Recognition based on acting as Principal or Agent in the Transaction Gross revenue recognition (Principal) $ 1,448,385 $ 336,600 $ 35,979 $ 1,820,964 Net revenue recognition (Agent) 66,777 19,108 5,698 91,583 $ 1,515,162 $ 355,708 $ 41,677 $ 1,912,547 Three Months Ended September 30, 2018 North America EMEA APAC Consolidated Major Offerings Hardware $ 953,431 $ 147,497 $ 6,041 $ 1,106,969 Software 259,602 168,603 13,099 441,304 Services 158,426 29,080 11,947 199,453 $ 1,371,459 $ 345,180 $ 31,087 $ 1,747,726 Major Client Groups Large Enterprise / Corporate $ 986,665 $ 265,430 $ 10,715 $ 1,262,810 Public Sector 141,895 62,720 6,255 210,870 Small and Medium-Sized Businesses 242,899 17,030 14,117 274,046 $ 1,371,459 $ 345,180 $ 31,087 $ 1,747,726 Revenue Recognition based on acting as Principal or Agent in the Transaction Gross revenue recognition (Principal) $ 1,322,391 $ 326,671 $ 26,638 $ 1,675,700 Net revenue recognition (Agent) 49,068 18,509 4,449 72,026 $ 1,371,459 $ 345,180 $ 31,087 $ 1,747,726 Nine Months Ended September 30, 2019 North America EMEA APAC Consolidated Major Offerings Hardware $ 2,704,212 $ 451,892 $ 25,740 $ 3,181,844 Software 907,683 560,073 80,287 1,548,043 Services 551,215 113,092 39,840 704,147 $ 4,163,110 $ 1,125,057 $ 145,867 $ 5,434,034 Major Client Groups Large Enterprise / Corporate $ 3,159,269 $ 819,156 $ 47,903 $ 4,026,328 Public Sector 418,583 246,583 47,428 712,594 Small and Medium-Sized Businesses 585,258 59,318 50,536 695,112 $ 4,163,110 $ 1,125,057 $ 145,867 $ 5,434,034 Revenue Recognition based on acting as Principal or Agent in the Transaction Gross revenue recognition (Principal) $ 3,969,411 $ 1,051,101 $ 127,129 $ 5,147,641 Net revenue recognition (Agent) 193,699 73,956 18,738 286,393 $ 4,163,110 $ 1,125,057 $ 145,867 $ 5,434,034 Nine Months Ended September 30, 2018 North America EMEA APAC Consolidated Major Offerings Hardware $ 2,724,916 $ 505,844 $ 22,518 $ 3,253,278 Software 828,231 551,920 91,459 1,471,610 Services 465,458 104,086 36,658 606,202 $ 4,018,605 $ 1,161,850 $ 150,635 $ 5,331,090 Major Client Groups Large Enterprise / Corporate $ 2,945,880 $ 836,865 $ 37,770 $ 3,820,515 Public Sector 388,109 273,821 67,134 729,064 Small and Medium-Sized Businesses 684,616 51,164 45,731 781,511 $ 4,018,605 $ 1,161,850 $ 150,635 $ 5,331,090 Revenue Recognition based on acting as Principal or Agent in the Transaction Gross revenue recognition (Principal) $ 3,857,104 $ 1,093,110 $ 133,542 $ 5,083,756 Net revenue recognition (Agent) 161,501 68,740 17,093 247,334 $ 4,018,605 $ 1,161,850 $ 150,635 $ 5,331,090 The following table provides information about receivables, contract assets and contract liabilities as of September 30, 2019 and December 31, 2018 (in thousands): September 30, December 31, 2019 2018 Current receivables, which are included in “Accounts receivable, net” $ 2,320,681 $ 1,931,736 Non-current receivables, which are included in “Other assets” 150,455 38,157 Contract assets, which are included in “Other current assets” 117 892 Contract liabilities, which are included in “Deferred revenue” and “Other liabilities” 72,501 82,117 C hanges in the contract assets and the contract liabilities balances during the nine months ended September 30, 2019 are as follows (in thousands): Increase (Decrease) Contract Contract Assets Liabilities Balances at December 31, 2018 $ 892 $ 82,117 Reclassification of the beginning contract liabilities to revenue, as the result of performance obligations satisfied — (47,831 ) Cash received in advance and not recognized as revenue — 45,660 Reclassification of the beginning contract assets to receivables, as the result of rights to consideration becoming unconditional (892 ) — Contract assets recognized, net of reclassification to receivables 117 — Business Combination — (7,445 ) Balances at September 30, 2019 $ 117 $ 72,501 The following table includes estimated net sales related to performance obligations that are unsatisfied (or partially unsatisfied) as of September 30, 2019 that are expected to be recognized in the future (in thousands): Services Remainder of 2019 $ 40,161 2020 70,395 2021 23,815 2022 8,273 2023 and thereafter 3,781 Total remaining performance obligations $ 146,425 With the exception of remaining performance obligations associated with our OneCall Support Services contracts which are included in the table above regardless of original duration, r emaining performance obligations that have original expected durations of one year or less are not included in the table above. Amounts not included in the table above have an average original expected duration of eight 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 the table above. |
Net Earnings Per Share ("EPS")
Net Earnings Per Share ("EPS") | 9 Months Ended |
Sep. 30, 2019 | |
Earnings Per Share [Abstract] | |
Net Earnings Per Share ("EPS") | 4 . 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 September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Numerator: Net earnings $ 27,132 $ 32,154 $ 116,457 $ 116,636 Denominator: Weighted average shares used to compute basic EPS 35,512 35,468 35,631 35,622 Dilutive potential common shares due to dilutive RSUs, net of tax effect 356 489 396 390 Weighted average shares used to compute diluted EPS 35,868 35,957 36,027 36,012 Net earnings per share: Basic $ 0.76 $ 0.91 $ 3.27 $ 3.27 Diluted $ 0.76 $ 0.89 $ 3.23 $ 3.24 For the three and nine months ended September 30, 2019, 3,000 and 56,000, 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. There were 5,000 and 13,000 anti-dilutive RSUs for the three and nine months ended September 30, 2018, respectively. |
Debt, Inventory Financing Facil
Debt, Inventory Financing Facility, Finance Leases and Other Financing Obligations | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Debt, Inventory Financing Facilities, Finance Leases and Other Financing Obligations | 5 . Debt, Inventory Financing Facilities, Finance Leases and Other Financing Obligations Debt Our long-term debt consists of the following (in thousands): September 30, 2019 December 31, 2018 Senior revolving credit facility $ — $ — ABL revolving credit facility 553,000 — Accounts receivable securitization financing facility — 194,000 Convertible senior notes due 2025 282,043 — Finance leases and other financing obligations 1,813 2,920 Total 836,856 196,920 Less: current portion of long-term debt (1,142 ) (1,395 ) Long-term debt $ 835,714 $ 195,525 On August 30, 2019, we entered into a credit agreement (the “credit agreement”) providing for a senior secured revolving credit facility (the “ABL facility”), which has an aggregate U.S. dollar equivalent maximum borrowing amount of $1,200,000,000, including a maximum borrowing capacity that could be used for borrowing ,in certain foreign currencies of $150,000,000. While the ABL facility has a stated maximum amount, the actual availability under the ABL facility is limited by specified percentages of eligible accounts receivable and certain eligible inventory , in each case as set forth in the credit agreement . From time to time and at our option, we may request to increase the aggregate amount available for borrowing under the ABL facility by up to an aggregate of the U.S. dollar equivalent of $ 500,000,000 , subject to customary conditions , including receipt of commitments from lenders . The ABL facility is guaranteed by certain of our material subsidiaries and is secured by a lien on certain of our assets and certain of each other borrower’s and each guarantor’s assets. The interest rates applicable to borrowings under the ABL facility are based on the average aggregate excess availability under the ABL facility as set forth on a pricing grid in the credit agreement. The ABL facility matures on August 30, 2024 . As of September 30, 2019, eligible accounts receivable and inventory were sufficient to permit access to the full $ 1,200,000,000 facility amount, of which $ was outstanding. The ABL facility contains customary affirmative and negative covenants and events of default. If a default occurs (subject to customary grace periods and materiality thresholds) under the credit agreement, certain actions may be taken, including, but not limited to, possible termination of commitments and required payment of all outstanding principal amounts plus accrued interest and fees payable under the credit agreement. On August 30, 2019, we repaid in full and terminated our then existing senior revolving credit facility (the “revolving facility”). The revolving facility had an aggregate U.S. dollar equivalent maximum borrowing amount of $350,000,000, including a maximum borrowing capacity that could be used for borrowing in certain foreign currencies of $50,000,000. On August 30, 2019, we repaid in full and terminated our accounts receivable securitization financing facility (the “ABS facility”). The ABS facility had a maximum aggregate borrowing availability of $250,000,000, subject to limitations based on the quantity and quality of the underlying accounts receivable. Convertible Senior Notes due 2025 On August 15, 2019, we issued $300,000,000 aggregate principal amount of convertible senior notes (the “notes”) that mature on February 15, 2025. On August 23, 2019, we issued an additional $50,000,000 aggregate principal amount of the notes pursuant to the exercise in full by the initial purchasers of the notes of their option to purchase additional notes. The notes bear interest at an annual rate of 0.75% payable semiannually, in arrears, on February 15 th th Holders of the notes may convert their notes at their option at any time prior to the close of business on the business day immediately preceding June 15, 2024, under the following circumstances: (1) during any calendar quarter commencing after the calendar quarter ending on December 31, 2019 (and only during such calendar quarter), if the last reported sale price of our common stock for at least 20 trading days (whether or not consecutive) during a period of 30 consecutive trading days ending on, and including, the last trading day of the immediately preceding calendar quarter is greater than or equal to 130% of the conversion price on each applicable trading day; (2) during the five business day period after any five consecutive trading day period (the “measurement period”) in which the trading price of our common stock per $1,000 principal amount of notes for each trading day of the measurement period was less than 98% of the product of the last reported sale price of our common stock and the conversion rate on each such trading day; (3) if we call any or all of the notes for redemption, at any time prior to the close of business on the second scheduled trading day immediately preceding the redemption date; or (4) upon the occurrence of specified corporate events. On or after June 15, 2024 until the close of business on the second scheduled trading day immediately preceding the maturity date, the holders may convert their notes at any time, regardless of the foregoing circumstances. Upon conversion, we will pay or deliver cash, shares of our common stock or a combination of the two, at our discretion. The conversion rate will initially be 14.6376 shares of common stock per $1,000 principal amount of notes (equivalent to an initial conversion price of approximately $68.32 per share of common stock). The conversion rate is subject to change in certain circumstances and will not be adjusted for any accrued and unpaid interest. In addition, following certain events that occur prior to the maturity date or following our issuance of a notice of redemption, the conversion rate is subject to an increase for a holder who elects to convert their notes in connection with those events or during the related redemption period in certain circumstances. If we undergo a fundamental change, the holders may require us to repurchase for cash all or any portion of their notes at a fundamental change repurchase price equal to 100% of the principal amount of the notes to be repurchased, plus accrued and unpaid interest to, but excluding, the fundamental change repurchase date. As of September 30, 2019, none of the criteria for a fundamental change or a conversion rate adjustment had been met. The maximum number of shares issuable upon conversion, including the effect of a fundamental change and subject to other conversion rate adjustments, would be 6,788,208. We may redeem for cash all or any portion of the notes, at our option, on or after August 20, 2022 if the last reported sale price of our common stock has been at least 130% of the conversion price then in effect for at least 20 trading days (whether or not consecutive) during any 30 consecutive trading day period (including the last trading day of such period) ending on, and including, the trading day immediately preceding the date on which we provide notice of redemption at a redemption price equal to 100% of the principal amount of the notes to be redeemed, plus accrued and unpaid interest to, but excluding, the redemption date. No sinking fund is provided for the notes. The notes are subject to certain customary events of default and acceleration clauses. As of September 30, 2019, no such events have occurred. The notes consist of the following balances reported within the consolidated balance sheet as of September 30, 2019 (in thousands): Liability: Principal $ 350,000 Less: debt discount and issuance costs, net of accumulated accretion (67,957 ) Net carrying amount $ 282,043 Equity, net of deferred tax $ 44,731 The remaining life of the debt discount and issuance cost accretion is approximately 5.375 years. The effective interest rate on the liability component of the notes is 4.325%. The following table summarizes the equity components of the notes included in additional paid-in capital reported within the consolidated balance sheet as of September 30, 2019 (in thousands): Embedded Conversion Option Embedded Conversion Option - Debt Issuance Costs Deferred Tax Total Convertible Senior Notes due 2025 $ 61,250 $ (1,700 ) $ (14,819 ) $ 44,731 The following table summarizes the interest expense components resulting from the notes reported within the consolidated statement of operations for the three and nine months ended September 30, 2019 (in thousands): Interest expense Three months ended September 30, 2019 Nine months ended September 30, 2019 Contractual coupon interest $ 328 $ 328 Amortization of debt discount $ 1,235 $ 1,235 Amortization of debt issuance costs $ 163 $ 163 Convertible Note Hedge and Warrant Transaction In connection with the issuance of the notes, we entered into certain convertible note hedge and warrant transactions (the “Call Spread Transactions”) with respect to the Company’s common stock. The convertible note hedge consists of an option to purchase up to 5,123,160 common stock shares at a price of $68.32 per share. The hedge expires on February 15, 2025 and can only be concurrently executed upon the conversion of the notes. We paid approximately $66,325,000 for the convertible note hedge transaction. Additionally, we sold warrants to purchase 5,123,160 shares of common stock at a price of $103.12 per share. The warrants expire on May 15, 2025 and can only be exercised at maturity. The Company received aggregate proceeds of approximately $34,440,000 for the sale of the warrants. The Call Spread Transactions have no effect on the terms of the notes and reduce potential dilution by effectively increasing the initial conversion price of the notes to $103.12 per share of the Company’s common stock. Inventory Financing Facilities On July 10, 2019, we entered into an unsecured inventory financing facility with a maximum availability for vendor purchases of $200,000,000 with MUFG Bank Ltd (“MUFG”). Finance Lease and Other Financing Our finance lease obligations total ed $1,813,000 and $2,920,000 The current and long-term portions of our finance leases 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 September 30, 2019 and December 31, 2018. Further, see Note 2 for additional information. |
Restricted Cash
Restricted Cash | 9 Months Ended |
Sep. 30, 2019 | |
Cash And Cash Equivalents [Abstract] | |
Restricted Cash | 6 . Restricted Cash 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. 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 nine months ended September 30, 2019 and 2018 (in thousands): September 30, 2019 December 31, 2018 Cash and cash equivalents $ 140,549 $ 142,655 Restricted cash included in other current assets — 8 Restricted cash included in other non-current assets 1,612 1,630 Total cash, cash equivalents and restricted cash shown in the statement of cash flows $ 142,161 $ 144,293 September 30, 2018 December 31, 2017 Cash and cash equivalents $ 111,055 $ 105,831 Restricted cash included in other current assets 17 46 Restricted cash included in other non-current assets 1,572 1,568 Total cash, cash equivalents and restricted cash shown in the statement of cash flows $ 112,644 $ 107,445 |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Sep. 30, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-Based Compensation | 7. Stock-Based Compensation We recorded the following pre-tax amounts in selling and administrative expenses for stock-based compensation, by operating segment, in the accompanying consolidated financial statements (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 North America $ 3,102 $ 2,837 $ 8,965 $ 8,172 EMEA 860 754 2,544 2,234 APAC 136 126 386 358 Total Consolidated $ 4,098 $ 3,717 $ 11,895 $ 10,764 As of September 30, 2019, total compensation cost related to nonvested RSUs not yet recognized is $29,920,000, which is expected to be recognized over the next 1.33 years on a weighted-average basis. The following table summarizes our RSU activity during the nine months ended September 30, 2019: Number Weighted Average Grant Date Fair Value Fair Value Nonvested at January 1, 2019 1,020,930 $ 36.10 Granted (a) 414,405 56.15 Vested, including shares withheld to cover taxes (423,909 ) 33.87 $ 14,357,798 (b) Forfeited (60,129 ) 42.52 Nonvested at September 30, 2019 (a) 951,297 45.42 $ 52,977,730 (c) (a) Includes 84,602 RSUs subject to remaining performance conditions. The number of RSUs subject to performance conditions are based on the Company achieving 97% of its 2019 targeted financial results. These RSUs will be awarded at 100% this annual period due to the completion of a significant acquisition in the period. ( b ) The aggregate fair value of vested RSUs represents the total pre-tax fair value, based on the closing stock price on the day of vesting, which would have been received by holders of RSUs had all such holders sold their underlying shares on that date. ( c ) The aggregate fair value of the nonvested RSUs and the RSUs expected to vest represents the total pre-tax fair value, based on our closing stock price of $55.69 as of September 30, 2019, which would have been received by holders of RSUs had all such holders sold their underlying shares on that date. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 8 . Income Taxes Our effective tax rate for the three and nine months ended September 30, 2019 was 27.2% and 25.4%, respectively. For the three months ended September 30, 2019, 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, higher taxes on earnings in foreign jurisdictions, and the effect of non-deductible acquisition-related expenses partially offset by the recognition of tax benefits related to research and development activities. For the nine months ended September 30, 2019, 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, higher taxes on earnings in foreign jurisdictions, and the effect of non-deductible acquisition-related expenses partially offset by tax benefits on the settlement of employee share-based awards and the recognition of tax benefits related to research and development activities. Our effective tax rate for the three and nine months ended September 30, 2018 was 25.6% and 25.8%, respectively. For the three and nine months ended September 30, 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. As of September 30, 2019 and December 31, 2018, we had approximately $8,666,000 and $6,849,000, respectively, of unrecognized tax benefits. Of these amounts, approximately $417,000 and $313,000, 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 2017. 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 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 | 9 Months Ended |
Sep. 30, 2019 | |
Equity [Abstract] | |
Share Repurchase Program | 9 . Share Repurchase Program On February 13, 2018, our Board of Directors authorized the repurchase of up to $50,000,000 of our common stock. During the nine months ended September 30, 2019, we repurchased 541,117 shares of our common stock on the open market at a total cost of approximately $27,899,000 (an average price of $51.56 per share). repurchased 641,211 shares of our common stock on the open market at a total cost of approximately $22,069,000 (an average price of $34.42 per share). All shares repurchased were retired. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 10 . 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 September 30, 2019, we had approximately $3,739,000 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 September 30, 2019. 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 September 30, 2019. 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 incidental to the 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, employment claims, claims of alleged non-compliance with contract provisions, and claims related to alleged violations of laws and regulations. We regularly evaluate the status of the legal proceedings in which we are involved to assess whether a loss is probable or there is a reasonable possibility that a loss, or an additional loss, may have been incurred and determine if accruals are appropriate. If accruals are not appropriate, we further evaluate each legal proceeding to assess whether an estimate of possible loss or range of possible loss can be made. Although litigation is inherently unpredictable, we believe that we have adequate provisions for any probable and estimable losses. It is possible, nevertheless, that our consolidated financial position, results of operations or liquidity could be materially and adversely affected in any particular period by the work required pursuant to any legal proceedings or the resolution of any legal proceedings during such period. Legal expenses related to the defense of any legal proceeding or the negotiations, settlement, rulings and advice of outside legal counsel in connection with any legal proceeding are expensed as incurred. In connection with the acquisition of PCM, the Company has effectively assumed responsibility for PCM litigation matters, including various disputes related to PCM’s acquisition of certain assets of En Pointe Technologies in 2015. The seller of En Pointe Technologies and related entities providing various post-closing support functions to PCM have asserted claims regarding the sufficiency of earnout payments paid by PCM under the asset purchase agreement and the unwinding of the support functions post-closing. PCM has rejected and vigorously responded to those claims and is pursuing various counterclaims. The disputes are being heard by multiple courts and arbitrators in several different jurisdictions including California, Delaware and Pakistan. The Company cannot determine with certainty the costs or outcome of these matters. However, the Company is not involved in any pending or threatened legal proceedings, including the PCM litigation matters, 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 | 9 Months Ended |
Sep. 30, 2019 | |
Segment Reporting [Abstract] | |
Segment Information | 11. Segment Information We operate in three reportable geographic operating segments: North America; EMEA; and APAC with PCM being included in our North America and EMEA segments. 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. The following table summarizes net sales by offering for North America, EMEA and APAC for the three and nine months ended September 30, 2019 and 2018 (in thousands): North America EMEA APAC Three Months Ended September 30, Three Months Ended September 30, Three Months Ended September 30, Sales Mix 2019 2018 2019 2018 2019 2018 Hardware $ 1,020,083 $ 953,431 $ 137,416 $ 147,497 $ 9,243 $ 6,041 Software 295,730 259,602 186,839 168,603 19,569 13,099 Services 199,349 158,426 31,453 29,080 12,865 11,947 $ 1,515,162 $ 1,371,459 $ 355,708 $ 345,180 $ 41,677 $ 31,087 North America EMEA APAC Nine Months Ended September 30, Nine Months Ended September 30, Nine Months Ended September 30, Sales Mix 2019 2018 2019 2018 2019 2018 Hardware $ 2,704,212 $ 2,724,916 $ 451,892 $ 505,844 $ 25,740 $ 22,518 Software 907,683 828,231 560,073 551,920 80,287 91,459 Services 551,215 465,458 113,092 104,086 39,840 36,658 $ 4,163,110 $ 4,018,605 $ 1,125,057 $ 1,161,850 $ 145,867 $ 150,635 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 or nine months ended September 30, 2019 or 2018. 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 consider 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 September 30, 2019 North America EMEA APAC Consolidated Net sales: Products $ 1,315,813 $ 324,255 $ 28,812 $ 1,668,880 Services 199,349 31,453 12,865 243,667 Total net sales 1,515,162 355,708 41,677 1,912,547 Costs of goods sold: Products 1,195,020 297,789 26,431 1,519,240 Services 101,498 10,028 5,586 117,112 Total costs of goods sold 1,296,518 307,817 32,017 1,636,352 Gross profit 218,644 47,891 9,660 276,195 Operating expenses: Selling and administrative expenses 170,993 44,568 7,654 223,215 Severance and restructuring expenses 2,449 213 — 2,662 Acquisition-related expenses 5,896 — — 5,896 Earnings from operations $ 39,306 $ 3,110 $ 2,006 $ 44,422 Three Months Ended September 30, 2018 North America EMEA APAC Consolidated Net sales: Products $ 1,213,033 $ 316,100 $ 19,140 $ 1,548,273 Services 158,426 29,080 11,947 199,453 Total net sales 1,371,459 345,180 31,087 1,747,726 Costs of goods sold: Products 1,108,658 290,071 17,079 1,415,808 Services 83,474 7,875 5,655 97,004 Total costs of goods sold 1,192,132 297,946 22,734 1,512,812 Gross profit 179,327 47,234 8,353 234,914 Operating expenses: Selling and administrative expenses 134,792 42,206 7,097 184,095 Severance and restructuring expenses 253 430 — 683 Acquisition-related expenses 188 — — 188 Earnings from operations $ 44,094 $ 4,598 $ 1,256 $ 49,948 Nine Months Ended September 30, 2019 North America EMEA APAC Consolidated Net sales: Products $ 3,611,895 $ 1,011,965 $ 106,027 $ 4,729,887 Services 551,215 113,092 39,840 704,147 Total net sales 4,163,110 1,125,057 145,867 5,434,034 Costs of goods sold: Products 3,290,555 926,712 98,197 4,315,464 Services 272,245 29,021 17,188 318,454 Total costs of goods sold 3,562,800 955,733 115,385 4,633,918 Gross profit 600,310 169,324 30,482 800,116 Operating expenses: Selling and administrative expenses 452,441 139,365 21,961 613,767 Severance and restructuring expenses 3,260 328 124 3,712 Acquisition-related expenses 9,059 — — 9,059 Earnings from operations $ 135,550 $ 29,631 $ 8,397 $ 173,578 Nine Months Ended September 30, 2018 North America EMEA APAC Consolidated Net sales: Products $ 3,553,147 $ 1,057,764 $ 113,977 $ 4,724,888 Services 465,458 104,086 36,658 606,202 Total net sales 4,018,605 1,161,850 150,635 5,331,090 Costs of goods sold: Products 3,242,903 971,232 105,046 4,319,181 Services 230,487 25,370 16,498 272,355 Total costs of goods sold 3,473,390 996,602 121,544 4,591,536 Gross profit 545,215 165,248 29,091 739,554 Operating expenses: Selling and administrative expenses 402,638 137,383 21,718 561,739 Severance and restructuring expenses 1,034 1,545 130 2,709 Acquisition-related expenses 282 — — 282 Earnings from operations $ 141,261 $ 26,320 $ 7,243 $ 174,824 The following is a summary of our total assets by reportable operating segment (in thousands): September 30, 2019 December 31, 2018 North America $ 3,729,338 $ 2,660,886 EMEA 596,657 611,338 APAC 101,829 98,959 Corporate assets and intercompany eliminations, net (445,464 ) (595,236 ) Total assets $ 3,982,360 $ 2,775,947 We recorded the following pre-tax amounts, by reportable operating segment, for depreciation and amortization in the accompanying consolidated financial statements (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Depreciation and amortization of property and equipment: North America $ 4,371 $ 4,131 $ 12,114 $ 12,587 EMEA 1,013 1,052 2,980 3,053 APAC 140 123 412 378 5,524 5,306 15,506 16,018 Amortization of intangible assets: North America 5,765 3,949 13,037 10,670 EMEA 67 71 205 216 APAC 114 165 348 513 5,946 4,185 13,590 11,399 Total $ 11,470 $ 9,491 $ 29,096 $ 27,417 |
Acquisitions
Acquisitions | 9 Months Ended |
Sep. 30, 2019 | |
Business Combinations [Abstract] | |
Acquisitions | 12. PCM On August 30,2019, we completed our acquisition of PCM, acquiring 100 percent of the issued and outstanding shares of PCM for a cash purchase price of $745,562,000, which included cash and cash equivalents acquired of $84,637,000 and the payment of PCM’s outstanding debt. PCM is a provider of multi-vendor technology offerings, including hardware, software and services to small, mid-sized and corporate/enterprise commercial clients, state, local and federal governments and educational institutions across the United States, Canada and the United Kingdom. Based in El Segundo, California, PCM has 40 office locations globally and more than 4,000 teammates. We believe that this acquisition allows us to help existing PCM clients in positioning their businesses for future growth, transforming and securing their data platforms, creating modern and mobile experiences for their workforce and optimizing the procurement of technology. The addition of PCM complements our supply chain optimization solution offering, adding scale and clients in the mid-market and corporate space in North America. The following table summarizes the purchase price and the estimated fair value of the assets acquired and liabilities assumed at the date of acquisition (in thousands): Purchase price net of cash and cash equivalents acquired $ 660,925 Fair value of net assets acquired: Current assets $ 542,642 Identifiable intangible assets - see description below 251,400 Property and equipment 96,959 Other assets 32,373 Current liabilities (367,613 ) Long-term liabilities, including deferred taxes (86,996 ) Total fair value of net assets acquired 468,765 Excess purchase price over fair value of net assets acquired ("goodwill") $ 192,160 Under the acquisition method of accounting, the total purchase price as shown in the table above was allocated to the tangible and identifiable intangible assets acquired and liabilities assumed based on their estimated fair values. The excess of the purchase price over fair value of net assets acquired was recorded as goodwill. The estimated fair values of current assets and liabilities (other than deferred revenue and related deferred costs) are based upon their historical costs on the date of acquisition due to their short-term nature. The estimated fair values of the majority of property and equipment are also based upon historical costs as they approximate fair value. Certain long-term assets, including PCM’s IT systems, will be written down to the estimated fair value based on the economic benefit expected to be realized from the assets following the acquisition. The preliminary estimated fair value of identified intangible assets of $251,400,000 consists primarily of customer relationships, trade names and non-compete agreements, which are valued at $238,900,000, $8,400,000 and $4,100,000, respectively. These estimated values will be determined using the multiple-period excess earnings method, the relief from royalty method and the lost income method, respectively. The identifiable intangible assets resulting from the acquisition has been amortized using the straight-line method over the following estimated useful lives: customer relationships – 12-15 years; trade names – 1 year; non-compete agreements – 2-3 years. Amortization expense recognized relating to the acquired identifiable intangible assets for the period from the acquisition date through September 30, 2019 was $2,130,000. Goodwill of $192,160,000, which was recorded in our North America and EMEA operating segments, represents the excess of the purchase price over the estimated fair value assigned to tangible and identifiable intangible assets acquired and liabilities assumed from PCM. The goodwill is not amortized and will be tested for impairment annually in the fourth quarter of our fiscal year. The addition of the PCM technical employees to our team and the opportunity to grow our business are the primary factors making up the goodwill recognized as part of the transaction. None of the goodwill is tax deductible. The purchase price allocation is preliminary and was allocated using information currently available. Further information may lead to an adjustment of the purchase price allocation. We have consolidated the results of operations for PCM since its acquisition on August 30, 2019. Consolidated net sales and gross profit for the three and nine months ended September 30, 2019 each include $172,468,000 and $27,753,000, respectively, from PCM. The following table reports pro forma information as if the acquisition of PCM had been completed at the beginning of the earliest period presented (in thousands, except per share amounts): Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Net sales As reported $ 1,912,547 $ 1,747,726 $ 5,434,034 $ 5,331,090 Pro forma $ 2,322,828 $ 2,257,769 $ 6,910,356 $ 6,928,539 Net earnings As reported $ 27,132 $ 32,154 $ 116,457 $ 116,636 Pro forma $ 24,678 $ 31,876 $ 115,321 $ 114,250 Diluted earnings per share As reported $ 0.76 $ 0.89 $ 3.23 $ 3.24 Pro forma $ 0.69 $ 0.89 $ 3.20 $ 3.17 Cardinal Effective August 1, 2018, we acquired 100 percent of the issued and outstanding shares of Cardinal, a digital solutions provider based in Cincinnati, Ohio, with offices across the Midwest and Southeast United States, for a cash purchase price, net of cash acquired, of approximately $78,400,000, including final working capital and tax gross up adjustments. Cardinal provides technology solutions to digitally transform organizations through their expertise in mobile applications development, Internet of Things and cloud enabled business intelligence. We believe that this acquisition strengthens our services capabilities and will bring value to our clients within our digital innovation services solution offering. The fair value of net assets acquired was approximately $42,360,000, including $27,540,000 of identifiable intangible assets, consisting primarily of customer relationships that will be amortized using the straight line method over the estimated economic life of ten years. We finalized the fair value assumptions for identifiable intangible assets acquired in the fourth quarter of 2018. Goodwill acquired approximated $36,040,000 which was recorded in our North America operating segment. The goodwill is tax deductible. The working capital adjustment in the amount of $762,000 was finalized in the fourth quarter of 2018 and paid in January 2019. Additionally, we finalized the purchase price allocation when the tax gross up adjustment of $2,600,000 was agreed upon in April 2019. This resulted in a reduction of the previously recorded purchase price of $400,000 in the second quarter of 2019. Changes in Goodwill and Intangible Assets Other than the goodwill and intangible assets recorded in conjunction with the acquisitions of Cardinal and PCM, the only other change in consolidated goodwill and intangible assets as of September 30, 2019 compared to the balance as of December 31, 2018 resulted from foreign currency translation adjustments associated with the balances in our EMEA and APAC operating segments. |
Subsequent Event
Subsequent Event | 9 Months Ended |
Sep. 30, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Event | 13. Subsequent Event On November 1, 2019 we completed the purchase of real estate in Chandler, Arizona for approximately $48,000,000 that we intend to use as our global corporate headquarters. The property contains a building and some infrastructure in place that we will complete readying for our use over the next year. We intend to sell our current properties in Tempe, Arizona. |
Basis of Presentation and Rec_2
Basis of Presentation and Recently Issued Accounting Standards (Policies) | 9 Months Ended |
Sep. 30, 2019 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Recently Issued Accounting Standards | Recently Issued Accounting Standards In June 2016, the Financial Accounting Standards Board’s (“FASB”) issued Accounting Standard Update (“ASU”) No. 2016-13, “Financial Instruments – Credit Losses.” The new standard is intended to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments and other commitments to extend credit held at each reporting date. The new standard is effective for interim and annual periods beginning after December 15, 2019, and early adoption is permitted. We will adopt the new standard as of January 1, 2020 and do not expect the adoption to have a material effect on our consolidated financial statements. In April 2019, the FASB issued ASU No. 2019-04, “Codification Improvements to Topic 326, Financial Instruments – Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments.” The new standard provides changes for how a company considers expected recoveries and contractual extensions or renewal options when estimating expected credit losses. The new standard is effective with the adoption of ASU No. 2016-13. We will adopt the new standard as of January 1, 2020 and do not expect the adoption to have a material effect on our consolidated financial statements. Effective January 1, 2019, we adopted the FASB ASU No. 2016-02— Leases (Topic 842) Adoption of the new standard resulted in the recording of additional net operating lease ROU assets and lease liabilities of $65,922,000 and $70,512,000, respectively, as of January 1, 2019. The difference between the additional lease assets and lease liabilities reflected existing accrued and prepaid rent balances that were reclassified to the operating lease ROU asset at January 1, 2019. The standard did not materially impact our consolidated net earnings and had no impact on cash flows. There have been no other material changes in or additions to the recently issued accounting standards as previously reported in Note 1 to our Consolidated Financial Statements in Part II, Item 8 of our Annual Report on Form 10-K for the year ended December 31, 2018 that affect or may affect our current financial statements. |
Significant Leases Accounting Policy - Leases | Significant Leases Accounting Policy We determine if a contract or arrangement is, or contains, a lease at inception. Balances related to operating leases are included in other assets, other current liabilities, and other liabilities in our consolidated balance sheet. Balances related to financing leases are included in property and equipment, current portion of long-term debt, and long-term debt in our consolidated balance sheet. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. We use the implicit rate when readily determinable. The operating lease ROU asset includes any prepaid lease payments and additional direct costs and excludes lease incentives. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Leases [Abstract] | |
Schedule of Financial Statement Classification of Lease Balances With Consolidated Balance Sheet | The following table provides information about the financial statement classification of our lease balances reported within the consolidated balance sheets as of September 30, 2019 and January 1, 2019 (in thousands): Leases Classification September 30, 2019 January 1, 2019 Assets Operating lease assets Other assets $ 78,621 $ 65,922 Finance lease assets Property and equipment (a) 1,178 1,693 Total lease assets $ 79,799 $ 67,615 Liabilities Current Operating lease liabilities Accrued expenses and other current liabilities $ 19,502 $ 15,788 Finance lease liabilities Current portion of long-term debt 1,143 1,399 Non-current Operating lease liabilities Other liabilities 64,018 54,724 Finance lease liabilities Long-term debt 670 1,521 Total lease liabilities $ 85,333 $ 73,432 (a) Recorded net of accumulated amortization of $515,000 as of September 30, 2019 and there is no accumulated amortization as of January 1, 2019. |
Schedule of Financial Statement Classification of Lease Balances With Consolidated Statement of Operations | The following table provides information about the financial statement classification of our lease expenses reported within the consolidated statement of operations for the three and nine months ended September 30, 2019 (in thousands): Lease cost Classification Three months ended September 30, 2019 Nine months ended September 30, 2019 Operating lease cost (a) (b) Selling and administrative expenses $ 5,197 $ 14,965 Finance lease cost Amortization of leased assets Selling and administrative expenses 171 515 Interest on lease liabilities Interest expense, net 22 72 Total lease cost $ 5,390 $ 15,552 (a) Includes immaterial amounts recorded to cost of goods sold. (b) Excludes short-term and variable lease costs, which are immaterial. |
Schedule of Future Minimum Lease Payments Under Non-cancelable Leases | Future minimum lease payments under non-cancelable leases as of September 30, 2019 are as follows (in thousands): Operating leases Finance leases Total Remainder of 2019 $ 6,008 $ 310 $ 6,318 2020 21,144 1,150 22,294 2021 17,812 432 18,244 2022 14,470 — 14,470 2023 8,984 — 8,984 After 2023 25,486 — 25,486 Total lease payments 93,904 1,892 95,796 Less: Interest (10,384 ) (79 ) (10,463 ) Present value of lease liabilities $ 83,520 $ 1,813 $ 85,333 Operating lease payments include $13.4 |
Schedule of Weighted Average Remaining Term and Discount Rates | The following table provides information about the remaining lease terms and discount rates applied as of September 30, 2019: September 30, 2019 Weighted average remaining lease term (years) Operating leases 6.19 Finance leases 1.69 Weighted average discount rate (%) Operating leases 3.65 Finance leases 4.85 |
Schedule of Other Information Related to Leases | The following table provides other information related to leases for the nine months ended September 30, 2019 (in thousands): Nine months ended September 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 14,527 Leased assets obtained in exchange for new operating lease liabilities 5,901 |
Future Minimum Lease Payments | Future minimum lease payments under non-cancelable operating leases (with initial or remaining lease terms in excess of one year) as of December 31, 2018 are as follows (in thousands): Years Ending December 31, 2019 $ 21,499 2020 15,580 2021 12,121 2022 9,150 2023 6,296 Thereafter 7,238 Total minimum lease payments $ 71,884 |
Sales Recognition (Tables)
Sales Recognition (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Revenue From Contract With Customer [Abstract] | |
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 Three Months Ended September 30, 2019 North America EMEA APAC Consolidated Major Offerings Hardware $ 1,020,083 $ 137,416 $ 9,243 $ 1,166,742 Software 295,730 186,839 19,569 502,138 Services 199,349 31,453 12,865 243,667 $ 1,515,162 $ 355,708 $ 41,677 $ 1,912,547 Major Client Groups Large Enterprise / Corporate $ 1,110,817 $ 277,536 $ 17,811 $ 1,406,164 Public Sector 165,085 59,174 6,178 230,437 Small and Medium-Sized Businesses 239,260 18,998 17,688 275,946 $ 1,515,162 $ 355,708 $ 41,677 $ 1,912,547 Revenue Recognition based on acting as Principal or Agent in the Transaction Gross revenue recognition (Principal) $ 1,448,385 $ 336,600 $ 35,979 $ 1,820,964 Net revenue recognition (Agent) 66,777 19,108 5,698 91,583 $ 1,515,162 $ 355,708 $ 41,677 $ 1,912,547 Three Months Ended September 30, 2018 North America EMEA APAC Consolidated Major Offerings Hardware $ 953,431 $ 147,497 $ 6,041 $ 1,106,969 Software 259,602 168,603 13,099 441,304 Services 158,426 29,080 11,947 199,453 $ 1,371,459 $ 345,180 $ 31,087 $ 1,747,726 Major Client Groups Large Enterprise / Corporate $ 986,665 $ 265,430 $ 10,715 $ 1,262,810 Public Sector 141,895 62,720 6,255 210,870 Small and Medium-Sized Businesses 242,899 17,030 14,117 274,046 $ 1,371,459 $ 345,180 $ 31,087 $ 1,747,726 Revenue Recognition based on acting as Principal or Agent in the Transaction Gross revenue recognition (Principal) $ 1,322,391 $ 326,671 $ 26,638 $ 1,675,700 Net revenue recognition (Agent) 49,068 18,509 4,449 72,026 $ 1,371,459 $ 345,180 $ 31,087 $ 1,747,726 Nine Months Ended September 30, 2019 North America EMEA APAC Consolidated Major Offerings Hardware $ 2,704,212 $ 451,892 $ 25,740 $ 3,181,844 Software 907,683 560,073 80,287 1,548,043 Services 551,215 113,092 39,840 704,147 $ 4,163,110 $ 1,125,057 $ 145,867 $ 5,434,034 Major Client Groups Large Enterprise / Corporate $ 3,159,269 $ 819,156 $ 47,903 $ 4,026,328 Public Sector 418,583 246,583 47,428 712,594 Small and Medium-Sized Businesses 585,258 59,318 50,536 695,112 $ 4,163,110 $ 1,125,057 $ 145,867 $ 5,434,034 Revenue Recognition based on acting as Principal or Agent in the Transaction Gross revenue recognition (Principal) $ 3,969,411 $ 1,051,101 $ 127,129 $ 5,147,641 Net revenue recognition (Agent) 193,699 73,956 18,738 286,393 $ 4,163,110 $ 1,125,057 $ 145,867 $ 5,434,034 Nine Months Ended September 30, 2018 North America EMEA APAC Consolidated Major Offerings Hardware $ 2,724,916 $ 505,844 $ 22,518 $ 3,253,278 Software 828,231 551,920 91,459 1,471,610 Services 465,458 104,086 36,658 606,202 $ 4,018,605 $ 1,161,850 $ 150,635 $ 5,331,090 Major Client Groups Large Enterprise / Corporate $ 2,945,880 $ 836,865 $ 37,770 $ 3,820,515 Public Sector 388,109 273,821 67,134 729,064 Small and Medium-Sized Businesses 684,616 51,164 45,731 781,511 $ 4,018,605 $ 1,161,850 $ 150,635 $ 5,331,090 Revenue Recognition based on acting as Principal or Agent in the Transaction Gross revenue recognition (Principal) $ 3,857,104 $ 1,093,110 $ 133,542 $ 5,083,756 Net revenue recognition (Agent) 161,501 68,740 17,093 247,334 $ 4,018,605 $ 1,161,850 $ 150,635 $ 5,331,090 |
Summary of Information about Receivables, Contract Assets and Contract Liabilities | The following table provides information about receivables, contract assets and contract liabilities as of September 30, 2019 and December 31, 2018 (in thousands): September 30, December 31, 2019 2018 Current receivables, which are included in “Accounts receivable, net” $ 2,320,681 $ 1,931,736 Non-current receivables, which are included in “Other assets” 150,455 38,157 Contract assets, which are included in “Other current assets” 117 892 Contract liabilities, which are included in “Deferred revenue” and “Other liabilities” 72,501 82,117 |
Summary of Changes in Contract Assets and Contract Liabilities from Contract with Customers | C hanges in the contract assets and the contract liabilities balances during the nine months ended September 30, 2019 are as follows (in thousands): Increase (Decrease) Contract Contract Assets Liabilities Balances at December 31, 2018 $ 892 $ 82,117 Reclassification of the beginning contract liabilities to revenue, as the result of performance obligations satisfied — (47,831 ) Cash received in advance and not recognized as revenue — 45,660 Reclassification of the beginning contract assets to receivables, as the result of rights to consideration becoming unconditional (892 ) — Contract assets recognized, net of reclassification to receivables 117 — Business Combination — (7,445 ) Balances at September 30, 2019 $ 117 $ 72,501 |
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 September 30, 2019 that are expected to be recognized in the future (in thousands): Services Remainder of 2019 $ 40,161 2020 70,395 2021 23,815 2022 8,273 2023 and thereafter 3,781 Total remaining performance obligations $ 146,425 |
Net Earnings Per Share ("EPS")
Net Earnings Per Share ("EPS") (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
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 September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Numerator: Net earnings $ 27,132 $ 32,154 $ 116,457 $ 116,636 Denominator: Weighted average shares used to compute basic EPS 35,512 35,468 35,631 35,622 Dilutive potential common shares due to dilutive RSUs, net of tax effect 356 489 396 390 Weighted average shares used to compute diluted EPS 35,868 35,957 36,027 36,012 Net earnings per share: Basic $ 0.76 $ 0.91 $ 3.27 $ 3.27 Diluted $ 0.76 $ 0.89 $ 3.23 $ 3.24 |
Debt, Inventory Financing Fac_2
Debt, Inventory Financing Facilities, Finance Leases and Other Financing Obligations (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Our long-term debt consists of the following (in thousands): September 30, 2019 December 31, 2018 Senior revolving credit facility $ — $ — ABL revolving credit facility 553,000 — Accounts receivable securitization financing facility — 194,000 Convertible senior notes due 2025 282,043 — Finance leases and other financing obligations 1,813 2,920 Total 836,856 196,920 Less: current portion of long-term debt (1,142 ) (1,395 ) Long-term debt $ 835,714 $ 195,525 |
Schedule of Convertible Senior Notes Balances | The notes consist of the following balances reported within the consolidated balance sheet as of September 30, 2019 (in thousands): Liability: Principal $ 350,000 Less: debt discount and issuance costs, net of accumulated accretion (67,957 ) Net carrying amount $ 282,043 Equity, net of deferred tax $ 44,731 |
Summary of Equity Components of Notes Included in Additional Paid-in Capital | The following table summarizes the equity components of the notes included in additional paid-in capital reported within the consolidated balance sheet as of September 30, 2019 (in thousands): Embedded Conversion Option Embedded Conversion Option - Debt Issuance Costs Deferred Tax Total Convertible Senior Notes due 2025 $ 61,250 $ (1,700 ) $ (14,819 ) $ 44,731 |
Summary of Interest Expense Components Resulting From Notes | The following table summarizes the interest expense components resulting from the notes reported within the consolidated statement of operations for the three and nine months ended September 30, 2019 (in thousands): Interest expense Three months ended September 30, 2019 Nine months ended September 30, 2019 Contractual coupon interest $ 328 $ 328 Amortization of debt discount $ 1,235 $ 1,235 Amortization of debt issuance costs $ 163 $ 163 |
Restricted Cash (Tables)
Restricted Cash (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Cash And Cash Equivalents [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 nine months ended September 30, 2019 and 2018 (in thousands): September 30, 2019 December 31, 2018 Cash and cash equivalents $ 140,549 $ 142,655 Restricted cash included in other current assets — 8 Restricted cash included in other non-current assets 1,612 1,630 Total cash, cash equivalents and restricted cash shown in the statement of cash flows $ 142,161 $ 144,293 September 30, 2018 December 31, 2017 Cash and cash equivalents $ 111,055 $ 105,831 Restricted cash included in other current assets 17 46 Restricted cash included in other non-current assets 1,572 1,568 Total cash, cash equivalents and restricted cash shown in the statement of cash flows $ 112,644 $ 107,445 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Pre-tax Amounts by Operating Segment for Stock-Based Compensation | We recorded the following pre-tax amounts in selling and administrative expenses for stock-based compensation, by operating segment, in the accompanying consolidated financial statements (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 North America $ 3,102 $ 2,837 $ 8,965 $ 8,172 EMEA 860 754 2,544 2,234 APAC 136 126 386 358 Total Consolidated $ 4,098 $ 3,717 $ 11,895 $ 10,764 |
Summary of Restricted Stock Units Activity | The following table summarizes our RSU activity during the nine months ended September 30, 2019: Number Weighted Average Grant Date Fair Value Fair Value Nonvested at January 1, 2019 1,020,930 $ 36.10 Granted (a) 414,405 56.15 Vested, including shares withheld to cover taxes (423,909 ) 33.87 $ 14,357,798 (b) Forfeited (60,129 ) 42.52 Nonvested at September 30, 2019 (a) 951,297 45.42 $ 52,977,730 (c) (a) Includes 84,602 RSUs subject to remaining performance conditions. The number of RSUs subject to performance conditions are based on the Company achieving 97% of its 2019 targeted financial results. These RSUs will be awarded at 100% this annual period due to the completion of a significant acquisition in the period. ( b ) The aggregate fair value of vested RSUs represents the total pre-tax fair value, based on the closing stock price on the day of vesting, which would have been received by holders of RSUs had all such holders sold their underlying shares on that date. ( c ) The aggregate fair value of the nonvested RSUs and the RSUs expected to vest represents the total pre-tax fair value, based on our closing stock price of $55.69 as of September 30, 2019, which would have been received by holders of RSUs had all such holders sold their underlying shares on that date. |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
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 for the three and nine months ended September 30, 2019 and 2018 (in thousands): North America EMEA APAC Three Months Ended September 30, Three Months Ended September 30, Three Months Ended September 30, Sales Mix 2019 2018 2019 2018 2019 2018 Hardware $ 1,020,083 $ 953,431 $ 137,416 $ 147,497 $ 9,243 $ 6,041 Software 295,730 259,602 186,839 168,603 19,569 13,099 Services 199,349 158,426 31,453 29,080 12,865 11,947 $ 1,515,162 $ 1,371,459 $ 355,708 $ 345,180 $ 41,677 $ 31,087 North America EMEA APAC Nine Months Ended September 30, Nine Months Ended September 30, Nine Months Ended September 30, Sales Mix 2019 2018 2019 2018 2019 2018 Hardware $ 2,704,212 $ 2,724,916 $ 451,892 $ 505,844 $ 25,740 $ 22,518 Software 907,683 828,231 560,073 551,920 80,287 91,459 Services 551,215 465,458 113,092 104,086 39,840 36,658 $ 4,163,110 $ 4,018,605 $ 1,125,057 $ 1,161,850 $ 145,867 $ 150,635 |
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 September 30, 2019 North America EMEA APAC Consolidated Net sales: Products $ 1,315,813 $ 324,255 $ 28,812 $ 1,668,880 Services 199,349 31,453 12,865 243,667 Total net sales 1,515,162 355,708 41,677 1,912,547 Costs of goods sold: Products 1,195,020 297,789 26,431 1,519,240 Services 101,498 10,028 5,586 117,112 Total costs of goods sold 1,296,518 307,817 32,017 1,636,352 Gross profit 218,644 47,891 9,660 276,195 Operating expenses: Selling and administrative expenses 170,993 44,568 7,654 223,215 Severance and restructuring expenses 2,449 213 — 2,662 Acquisition-related expenses 5,896 — — 5,896 Earnings from operations $ 39,306 $ 3,110 $ 2,006 $ 44,422 Three Months Ended September 30, 2018 North America EMEA APAC Consolidated Net sales: Products $ 1,213,033 $ 316,100 $ 19,140 $ 1,548,273 Services 158,426 29,080 11,947 199,453 Total net sales 1,371,459 345,180 31,087 1,747,726 Costs of goods sold: Products 1,108,658 290,071 17,079 1,415,808 Services 83,474 7,875 5,655 97,004 Total costs of goods sold 1,192,132 297,946 22,734 1,512,812 Gross profit 179,327 47,234 8,353 234,914 Operating expenses: Selling and administrative expenses 134,792 42,206 7,097 184,095 Severance and restructuring expenses 253 430 — 683 Acquisition-related expenses 188 — — 188 Earnings from operations $ 44,094 $ 4,598 $ 1,256 $ 49,948 Nine Months Ended September 30, 2019 North America EMEA APAC Consolidated Net sales: Products $ 3,611,895 $ 1,011,965 $ 106,027 $ 4,729,887 Services 551,215 113,092 39,840 704,147 Total net sales 4,163,110 1,125,057 145,867 5,434,034 Costs of goods sold: Products 3,290,555 926,712 98,197 4,315,464 Services 272,245 29,021 17,188 318,454 Total costs of goods sold 3,562,800 955,733 115,385 4,633,918 Gross profit 600,310 169,324 30,482 800,116 Operating expenses: Selling and administrative expenses 452,441 139,365 21,961 613,767 Severance and restructuring expenses 3,260 328 124 3,712 Acquisition-related expenses 9,059 — — 9,059 Earnings from operations $ 135,550 $ 29,631 $ 8,397 $ 173,578 Nine Months Ended September 30, 2018 North America EMEA APAC Consolidated Net sales: Products $ 3,553,147 $ 1,057,764 $ 113,977 $ 4,724,888 Services 465,458 104,086 36,658 606,202 Total net sales 4,018,605 1,161,850 150,635 5,331,090 Costs of goods sold: Products 3,242,903 971,232 105,046 4,319,181 Services 230,487 25,370 16,498 272,355 Total costs of goods sold 3,473,390 996,602 121,544 4,591,536 Gross profit 545,215 165,248 29,091 739,554 Operating expenses: Selling and administrative expenses 402,638 137,383 21,718 561,739 Severance and restructuring expenses 1,034 1,545 130 2,709 Acquisition-related expenses 282 — — 282 Earnings from operations $ 141,261 $ 26,320 $ 7,243 $ 174,824 |
Summary of Total Assets by Reportable Operating Segment | The following is a summary of our total assets by reportable operating segment (in thousands): September 30, 2019 December 31, 2018 North America $ 3,729,338 $ 2,660,886 EMEA 596,657 611,338 APAC 101,829 98,959 Corporate assets and intercompany eliminations, net (445,464 ) (595,236 ) Total assets $ 3,982,360 $ 2,775,947 |
Pre-Tax Depreciation and Amortization by Operating Segment | We recorded the following pre-tax amounts, by reportable operating segment, for depreciation and amortization in the accompanying consolidated financial statements (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Depreciation and amortization of property and equipment: North America $ 4,371 $ 4,131 $ 12,114 $ 12,587 EMEA 1,013 1,052 2,980 3,053 APAC 140 123 412 378 5,524 5,306 15,506 16,018 Amortization of intangible assets: North America 5,765 3,949 13,037 10,670 EMEA 67 71 205 216 APAC 114 165 348 513 5,946 4,185 13,590 11,399 Total $ 11,470 $ 9,491 $ 29,096 $ 27,417 |
Acquisitions (Tables)
Acquisitions (Tables) | 9 Months Ended |
Sep. 30, 2019 | |
Business Combinations [Abstract] | |
Summary of Purchase Price and Estimated Fair Value of Assets Acquired and Liabilities Assumed | The following table summarizes the purchase price and the estimated fair value of the assets acquired and liabilities assumed at the date of acquisition (in thousands): Purchase price net of cash and cash equivalents acquired $ 660,925 Fair value of net assets acquired: Current assets $ 542,642 Identifiable intangible assets - see description below 251,400 Property and equipment 96,959 Other assets 32,373 Current liabilities (367,613 ) Long-term liabilities, including deferred taxes (86,996 ) Total fair value of net assets acquired 468,765 Excess purchase price over fair value of net assets acquired ("goodwill") $ 192,160 |
Summary of Pro Forma Information | The following table reports pro forma information as if the acquisition of PCM had been completed at the beginning of the earliest period presented (in thousands, except per share amounts): Three Months Ended September 30, Nine Months Ended September 30, 2019 2018 2019 2018 Net sales As reported $ 1,912,547 $ 1,747,726 $ 5,434,034 $ 5,331,090 Pro forma $ 2,322,828 $ 2,257,769 $ 6,910,356 $ 6,928,539 Net earnings As reported $ 27,132 $ 32,154 $ 116,457 $ 116,636 Pro forma $ 24,678 $ 31,876 $ 115,321 $ 114,250 Diluted earnings per share As reported $ 0.76 $ 0.89 $ 3.23 $ 3.24 Pro forma $ 0.69 $ 0.89 $ 3.20 $ 3.17 |
Basis of Presentation and Rec_3
Basis of Presentation and Recently Issued Accounting Standards - Additional Information (Detail) | 9 Months Ended | |
Sep. 30, 2019USD ($)Segment | Jan. 01, 2019USD ($) | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | ||
Number of operating segments | Segment | 3 | |
Additional lease liabilities | $ 83,520,000 | |
ASU 2016-02 [Member] | ||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | ||
Additional ROU assets | $ 65,922,000 | |
Additional lease liabilities | $ 70,512,000 | |
Cardinal Solutions Group, Inc [Member] | ||
Organization Consolidation And Presentation Of Financial Statements [Line Items] | ||
Business acquisition, effective date of acquisition | Aug. 1, 2018 |
Leases - Additional Information
Leases - Additional Information (Detail) - USD ($) | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Lessee Lease Description [Line Items] | ||||
Operating lease, existence of option to extend | true | |||
Operating lease, option to extend lease terms, description | Operating lease payments include $13.4 million related to options to extend lease terms that are reasonably certain of being exercised | |||
Operating lease payments | $ 93,904,000 | |||
Operating leases rental expense | $ 20,114,000 | $ 19,126,000 | $ 14,444,000 | |
Non-cancellable rental income, 2019 | $ 1,600,000 | |||
Options to Eextend Lease Terms [Member] | ||||
Lessee Lease Description [Line Items] | ||||
Operating lease payments | $ 13,400,000 | |||
Minimum [Member] | ||||
Lessee Lease Description [Line Items] | ||||
Operating lease renewal term | 1 year | |||
Maximum [Member] | ||||
Lessee Lease Description [Line Items] | ||||
Operating lease renewal term | 5 years |
Leases - Schedule of Financial
Leases - Schedule of Financial Statement Classification of Lease Balances With Consolidated Balance Sheet (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Jan. 01, 2019 |
Lessee Lease Description [Line Items] | ||
Total lease assets | $ 79,799 | $ 67,615 |
Total lease liabilities | 85,333 | 73,432 |
Other Assets [Member] | ||
Lessee Lease Description [Line Items] | ||
Operating lease assets | 78,621 | 65,922 |
Property and equipment [Member] | ||
Lessee Lease Description [Line Items] | ||
Finance lease assets | 1,178 | 1,693 |
Accrued expenses and other current liabilities [Member] | ||
Lessee Lease Description [Line Items] | ||
Operating lease liabilities | 19,502 | 15,788 |
Current portion of long-term debt [Member] | ||
Lessee Lease Description [Line Items] | ||
Finance lease liabilities | 1,143 | 1,399 |
Other liabilities [Member] | ||
Lessee Lease Description [Line Items] | ||
Operating lease liabilities | 64,018 | 54,724 |
Long-term debt [Member] | ||
Lessee Lease Description [Line Items] | ||
Finance lease liabilities | $ 670 | $ 1,521 |
Leases - Schedule of Financia_2
Leases - Schedule of Financial Statement Classification of Lease Balances With Consolidated Balance Sheet (Parenthetical) (Detail) - USD ($) | Sep. 30, 2019 | Jan. 01, 2019 |
Leases [Abstract] | ||
Finance lease assets, accumulated amortization | $ 515,000 | $ 0 |
Leases - Schedule of Financia_3
Leases - Schedule of Financial Statement Classification of Lease Balances With Consolidated Statement of Operations (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2019 | Sep. 30, 2019 | |
Lessee Lease Description [Line Items] | ||
Total lease cost | $ 5,390 | $ 15,552 |
Selling and Administrative Expenses [Member] | ||
Lessee Lease Description [Line Items] | ||
Operating lease cost | 5,197 | 14,965 |
Amortization of leased assets | 171 | 515 |
Interest Expense, Net [Member] | ||
Lessee Lease Description [Line Items] | ||
Interest on lease liabilities | $ 22 | $ 72 |
Leases - Schedule of Future Min
Leases - Schedule of Future Minimum Lease Payments Under Non-cancelable Leases (Detail) - USD ($) | Sep. 30, 2019 | Dec. 31, 2018 |
Operating Lease | ||
Remainder of 2019 | $ 6,008,000 | |
2020 | 21,144,000 | |
2021 | 17,812,000 | |
2022 | 14,470,000 | |
2023 | 8,984,000 | |
After 2023 | 25,486,000 | |
Total lease payments | 93,904,000 | |
Less: Interest | (10,384,000) | |
Present value of lease liabilities | 83,520,000 | |
Finance Lease | ||
Remainder of 2019 | 310,000 | |
2020 | 1,150,000 | |
2021 | 432,000 | |
Total lease payments | 1,892,000 | |
Less: Interest | (79,000) | |
Present value of lease liabilities | 1,813,000 | $ 2,920,000 |
Total | ||
Remainder of 2019 | 6,318,000 | |
2020 | 22,294,000 | |
2021 | 18,244,000 | |
2022 | 14,470,000 | |
2023 | 8,984,000 | |
After 2023 | 25,486,000 | |
Total lease payments | 95,796,000 | |
Less: Interest | (10,463,000) | |
Present value of lease liabilities | $ 85,333,000 |
Leases - Schedule of Weighted A
Leases - Schedule of Weighted Average Remaining Term and Discount Rates (Detail) | Sep. 30, 2019 |
Leases [Abstract] | |
Operating leases, Weighted average remaining lease term (years) | 6 years 2 months 8 days |
Finance leases, Weighted average remaining lease term (years) | 1 year 8 months 8 days |
Operating leases, Weighted average discount rate | 3.65% |
Finance leases, Weighted average discount rate | 4.85% |
Leases - Schedule of Cash Flows
Leases - Schedule of Cash Flows Associated With the Company's Leasing Activities (Detail) $ in Thousands | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Leases [Abstract] | |
Operating cash flows from operating leases | $ 14,527 |
Leased assets obtained in exchange for new operating lease liabilities | $ 5,901 |
Leases - Future Minimum Lease P
Leases - Future Minimum Lease Payment (Detail) $ in Thousands | Dec. 31, 2018USD ($) |
Leases [Abstract] | |
2019 | $ 21,499 |
2020 | 15,580 |
2021 | 12,121 |
2022 | 9,150 |
2023 | 6,296 |
Thereafter | 7,238 |
Total minimum lease payments | $ 71,884 |
Sales Recognition - Summary of
Sales Recognition - Summary of Revenue Disaggregated by Reportable Operating Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | $ 1,912,547 | $ 1,747,726 | $ 5,434,034 | $ 5,331,090 |
Gross Revenue Recognition (Principal) [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 1,820,964 | 1,675,700 | 5,147,641 | 5,083,756 |
Net Revenue Recognition (Agent) [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 91,583 | 72,026 | 286,393 | 247,334 |
Large Enterprise / Corporate [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 1,406,164 | 1,262,810 | 4,026,328 | 3,820,515 |
Public Sector [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 230,437 | 210,870 | 712,594 | 729,064 |
Small and Medium-Sized Businesses [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 275,946 | 274,046 | 695,112 | 781,511 |
North America Segment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 1,515,162 | 1,371,459 | 4,163,110 | 4,018,605 |
North America Segment [Member] | Gross Revenue Recognition (Principal) [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 1,448,385 | 1,322,391 | 3,969,411 | 3,857,104 |
North America Segment [Member] | Net Revenue Recognition (Agent) [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 66,777 | 49,068 | 193,699 | 161,501 |
North America Segment [Member] | Large Enterprise / Corporate [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 1,110,817 | 986,665 | 3,159,269 | 2,945,880 |
North America Segment [Member] | Public Sector [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 165,085 | 141,895 | 418,583 | 388,109 |
North America Segment [Member] | Small and Medium-Sized Businesses [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 239,260 | 242,899 | 585,258 | 684,616 |
EMEA Segment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 355,708 | 345,180 | 1,125,057 | 1,161,850 |
EMEA Segment [Member] | Gross Revenue Recognition (Principal) [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 336,600 | 326,671 | 1,051,101 | 1,093,110 |
EMEA Segment [Member] | Net Revenue Recognition (Agent) [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 19,108 | 18,509 | 73,956 | 68,740 |
EMEA Segment [Member] | Large Enterprise / Corporate [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 277,536 | 265,430 | 819,156 | 836,865 |
EMEA Segment [Member] | Public Sector [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 59,174 | 62,720 | 246,583 | 273,821 |
EMEA Segment [Member] | Small and Medium-Sized Businesses [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 18,998 | 17,030 | 59,318 | 51,164 |
APAC Segment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 41,677 | 31,087 | 145,867 | 150,635 |
APAC Segment [Member] | Gross Revenue Recognition (Principal) [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 35,979 | 26,638 | 127,129 | 133,542 |
APAC Segment [Member] | Net Revenue Recognition (Agent) [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 5,698 | 4,449 | 18,738 | 17,093 |
APAC Segment [Member] | Large Enterprise / Corporate [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 17,811 | 10,715 | 47,903 | 37,770 |
APAC Segment [Member] | Public Sector [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 6,178 | 6,255 | 47,428 | 67,134 |
APAC Segment [Member] | Small and Medium-Sized Businesses [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 17,688 | 14,117 | 50,536 | 45,731 |
Hardware Net Sales [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 1,166,742 | 1,106,969 | 3,181,844 | 3,253,278 |
Hardware Net Sales [Member] | North America Segment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 1,020,083 | 953,431 | 2,704,212 | 2,724,916 |
Hardware Net Sales [Member] | EMEA Segment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 137,416 | 147,497 | 451,892 | 505,844 |
Hardware Net Sales [Member] | APAC Segment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 9,243 | 6,041 | 25,740 | 22,518 |
Software Net Sales [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 502,138 | 441,304 | 1,548,043 | 1,471,610 |
Software Net Sales [Member] | North America Segment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 295,730 | 259,602 | 907,683 | 828,231 |
Software Net Sales [Member] | EMEA Segment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 186,839 | 168,603 | 560,073 | 551,920 |
Software Net Sales [Member] | APAC Segment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 19,569 | 13,099 | 80,287 | 91,459 |
Services Net Sales [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 243,667 | 199,453 | 704,147 | 606,202 |
Services Net Sales [Member] | North America Segment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 199,349 | 158,426 | 551,215 | 465,458 |
Services Net Sales [Member] | EMEA Segment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | 31,453 | 29,080 | 113,092 | 104,086 |
Services Net Sales [Member] | APAC Segment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Disaggregation of Revenue | $ 12,865 | $ 11,947 | $ 39,840 | $ 36,658 |
Sales Recognition - Summary o_2
Sales Recognition - Summary of Information about Receivables,Contract Assets and Contract Liabilities (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Disaggregation of Revenue [Line Items] | ||
Current receivables, which are included in “Accounts receivable, net” | $ 2,320,681 | $ 1,931,736 |
Contract assets, which are included in “Other current assets” | 117 | 892 |
Contract liabilities, which are included in “Deferred revenue” and “Other liabilities” | 72,501 | 82,117 |
Accounts Receivable, Net [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Current receivables, which are included in “Accounts receivable, net” | 2,320,681 | 1,931,736 |
Other Assets [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Non-current receivables, which are included in “Other assets” | 150,455 | 38,157 |
Other Current Assets [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Contract assets, which are included in “Other current assets” | 117 | 892 |
Deferred Revenue and Other Liabilities [Member] | ||
Disaggregation of Revenue [Line Items] | ||
Contract liabilities, which are included in “Deferred revenue” and “Other liabilities” | $ 72,501 | $ 82,117 |
Sales Recognition - Summary o_3
Sales Recognition - Summary of Changes in Contract Assets and Contract Liabilities from Contract with Customers (Detail) $ in Thousands | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Revenue From Contract With Customer [Abstract] | |
Beginning balance, Contract Assets | $ 892 |
Reclassification of the beginning contract assets to receivables, as the result of rights to consideration becoming unconditional, Contract Assets | (892) |
Contract assets recognized, net of reclassification to receivables, Contract Assets | 117 |
Ending balance, Contract Assets | 117 |
Beginning balance, Contract Liabilities | 82,117 |
Reclassification of the beginning contract liabilities to revenue, as the result of performance obligations satisfied, Contract Liabilities | (47,831) |
Cash received in advance and not recognized as revenue, Contract Liabilities | 45,660 |
Business Combination | (7,445) |
Ending balance, Contract Liabilities | $ 72,501 |
Sales Recognition - Summary o_4
Sales Recognition - Summary of Estimated Net Sales Related to Performance Obligation (Detail) - Services [Member] $ in Thousands | Sep. 30, 2019USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total remaining performance obligations | $ 146,425 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2019-10-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total remaining performance obligations | $ 40,161 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 3 months |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2020-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total remaining performance obligations | $ 70,395 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2021-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total remaining performance obligations | $ 23,815 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2022-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total remaining performance obligations | $ 8,273 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2023-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total remaining performance obligations | $ 3,781 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period |
Sales Recognition - Summary o_5
Sales Recognition - Summary of Estimated Net Sales Related to Performance Obligation (Detail 1) $ in Thousands | Sep. 30, 2019USD ($) |
Services [Member] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total remaining performance obligations | $ 146,425 |
Sales Recognition - Additional
Sales Recognition - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2019 | |
New Accounting Pronouncements And Changes In Accounting Principles [Abstract] | |
Description of expected duration | With the exception of remaining performance obligations associated with our OneCall Support Services contracts which are included in the table above regardless of original duration, remaining performance obligations that have original expected durations of one year or less are not included 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 | 13 months |
Net Earnings Per Share ("EPS"_2
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 | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Numerator: | ||||
Net earnings | $ 27,132 | $ 32,154 | $ 116,457 | $ 116,636 |
Denominator: | ||||
Weighted average shares used to compute basic EPS | 35,512 | 35,468 | 35,631 | 35,622 |
Dilutive potential common shares due to dilutive RSUs, net of tax effect | 356 | 489 | 396 | 390 |
Weighted average shares used to compute diluted EPS | 35,868 | 35,957 | 36,027 | 36,012 |
Net earnings per share: | ||||
Basic | $ 0.76 | $ 0.91 | $ 3.27 | $ 3.27 |
Diluted | $ 0.76 | $ 0.89 | $ 3.23 | $ 3.24 |
Net Earnings Per Share ("EPS"_3
Net Earnings Per Share ("EPS") - Additional Information (Detail) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Restricted Stock Units (RSUs) [Member] | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
RSUs excluded from the diluted EPS calculations | 3,000 | 5,000 | 56,000 | 13,000 |
Debt, Inventory Financing Fac_3
Debt, Inventory Financing Facilities, Finance Leases and Other Financing Obligations - Long-Term Debt (Detail) - USD ($) | Sep. 30, 2019 | Dec. 31, 2018 |
Long-term debt | ||
Accounts receivable securitization financing facility | $ 194,000,000 | |
Finance leases and other financing obligations | $ 1,813,000 | 2,920,000 |
Total | 836,856,000 | 196,920,000 |
Less: current portion of long-term debt | (1,142,000) | (1,395,000) |
Long-term debt | 835,714,000 | $ 195,525,000 |
ABL Facility [Member] | ||
Long-term debt | ||
Revolving credit facility | 553,000,000 | |
Convertible Senior Notes due 2025 [Member] | ||
Long-term debt | ||
Convertible senior notes due 2025 | $ 282,043,000 |
Debt, Inventory Financing Fac_4
Debt, Inventory Financing Facilities, Finance Leases and Other Financing Obligations - Additional Information (Detail) | Aug. 30, 2019USD ($) | Aug. 15, 2019USD ($) | Jul. 10, 2019USD ($) | Sep. 30, 2019USD ($)sharesd$ / shares | Aug. 23, 2019USD ($) | Dec. 31, 2018USD ($) |
Debt Instrument [Line Items] | ||||||
Payments to convertible note hedge transaction | $ 66,325,000 | |||||
Proceeds from issuance of warrants | 34,440,000 | |||||
Accounts payable-inventory financing facility | 207,658,000 | $ 304,130,000 | ||||
Finance lease obligations | 1,813,000 | $ 2,920,000 | ||||
Convertible Senior Notes due 2025 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Aggregate principal amount of convertible senior notes, issued amount | $ 300,000,000 | $ 350,000,000 | ||||
Convertible senior notes, maturity date | Feb. 15, 2025 | |||||
Additional aggregate principal amount of notes issued | $ 50,000,000 | |||||
Convertible senior notes, interest rate | 0.75% | |||||
Convertible senior notes, payable term | payable semiannually, in arrears, on February 15th and August 15th of each year. | |||||
Number of trading days | d | 20 | |||||
Number of consecutive trading days | d | 30 | |||||
Percentage of last reported sale price to conversion price on each applicable trading day | 130.00% | |||||
Principal amount per note used in conversion rate | $ 1,000 | |||||
Debt Conversion, initial conversion rate | shares | 14.6376 | |||||
Conversion price per share | $ / shares | $ 68.32 | |||||
Repurchase price as percentage of principal amount | 100.00% | |||||
Shares issuable upon conversion of debt | shares | 6,788,208 | |||||
Debt instrument, redemption price, percentage of principal amount redeemed | 100.00% | |||||
Convertible senior notes, remaining accretion period of debt discount and issuance cost | 5 years 4 months 15 days | |||||
Convertible senior notes, effective interest rate | 4.325% | |||||
Conversion price per share | $ / shares | $ 68.32 | |||||
Convertible note hedge expiration date | Feb. 15, 2025 | |||||
Payments to convertible note hedge transaction | $ 66,325,000 | |||||
Warrants sold to purchase of additional common stock | shares | 5,123,160 | |||||
Warrant price per share to purchase additional common stock | $ / shares | $ 103.12 | |||||
Warrants expiration date | May 15, 2025 | |||||
Proceeds from issuance of warrants | $ 34,440,000 | |||||
Convertible Senior Notes due 2025 [Member] | Scenario One [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Number of trading days | d | 20 | |||||
Number of consecutive trading days | d | 30 | |||||
Percentage of last reported sale price to conversion price on each applicable trading day | 130.00% | |||||
Convertible Senior Notes due 2025 [Member] | Scenario Two [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Number of consecutive trading days | d | 5 | |||||
Percentage of last reported sale price to conversion price on each applicable trading day | 98.00% | |||||
Measurement period | 5 days | |||||
Convertible Senior Notes due 2025 [Member] | Maximum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Option to purchase common stock, shares | shares | 5,123,160 | |||||
ABL Facility [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Credit facility, borrowing capacity | $ 1,200,000,000 | |||||
Line of credit maturity date | Aug. 30, 2024 | |||||
Amount of facility permitted by qualified receivables | $ 1,200,000,000 | |||||
Line of credit outstanding amount | 553,000,000 | |||||
ABL Facility [Member] | Maximum [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Credit facility, increase in amount available for borrowing | $ 500,000,000 | |||||
ABL Facility [Member] | Foreign Currency Borrowings [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Credit facility, borrowing capacity | 150,000,000 | |||||
Senior Revolving Credit Facility [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Credit facility, borrowing capacity | 350,000,000 | |||||
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 | |||||
Inventory Financing Facility [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Inventory financing facility maximum borrowing capacity | 450,000,000 | |||||
Accounts payable-inventory financing facility | $ 207,658,000 | |||||
Inventory Financing Facility [Member] | Wells Fargo [Member] | ||||||
Debt Instrument [Line Items] | ||||||
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% | |||||
Unsecured Inventory Financing Facility [Member] | Wells Fargo [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Inventory financing facility maximum borrowing capacity | $ 250,000,000 | |||||
Unsecured Inventory Financing Facility [Member] | MUFG Bank Ltd [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Accounts payable-inventory financing facility | $ 200,000,000 | |||||
Inventory financing facility interest rate if balances are not paid within stated vendor terms | prime plus 2.00% | |||||
Inventory financing facility rate if vendor terms not met equal prime plus | 2.00% |
Debt, Inventory Financing Fac_5
Debt, Inventory Financing Facilities, Finance Leases and Other Financing Obligations - Schedule of Convertible Senior Notes Balances (Detail) - Convertible Senior Notes due 2025 [Member] - USD ($) | Sep. 30, 2019 | Aug. 15, 2019 |
Liability: | ||
Principal | $ 350,000,000 | $ 300,000,000 |
Less: debt discount and issuance costs, net of accumulated accretion | (67,957,000) | |
Net carrying amount | 282,043,000 | |
Equity, net of deferred tax | $ 44,731,000 |
Debt, Inventory Financing Fac_6
Debt, Inventory Financing Facilities, Finance Leases and Other Financing Obligations - Summary of Equity Components of Notes Included in Additional Paid-in Capital (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2019 | Sep. 30, 2019 | |
Debt Instrument [Line Items] | ||
Embedded Conversion Option - Debt Issuance Costs | $ (1,700) | $ (1,700) |
Deferred Tax | (14,819) | (14,819) |
Total | $ 44,731 | 44,731 |
Convertible Senior Notes due 2025 [Member] | ||
Debt Instrument [Line Items] | ||
Embedded Conversion Option | 61,250 | |
Embedded Conversion Option - Debt Issuance Costs | (1,700) | |
Deferred Tax | (14,819) | |
Total | $ 44,731 |
Debt, Inventory Financing Fac_7
Debt, Inventory Financing Facilities, Finance Leases and Other Financing Obligations - Summary of Interest Expense Components Resulting From Notes (Detail) - Convertible Senior Notes due 2025 [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2019 | Sep. 30, 2019 | |
Debt Instrument [Line Items] | ||
Contractual coupon interest | $ 328 | $ 328 |
Amortization of debt discount | 1,235 | 1,235 |
Amortization of debt issuance costs | $ 163 | $ 163 |
Restricted Cash - Schedule of R
Restricted Cash - Schedule of Reconciliation of Cash, Cash Equivalents and Restricted Cash (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Dec. 31, 2017 |
Cash And Cash Equivalents [Abstract] | ||||
Cash and cash equivalents | $ 140,549 | $ 142,655 | $ 111,055 | $ 105,831 |
Restricted cash included in other current assets | $ 8 | $ 17 | $ 46 | |
Restricted Cash, Current, Asset, Statement of Financial Position [Extensible List] | us-gaap:OtherAssetsCurrent | us-gaap:OtherAssetsCurrent | us-gaap:OtherAssetsCurrent | us-gaap:OtherAssetsCurrent |
Restricted cash included in other non-current assets | $ 1,612 | $ 1,630 | $ 1,572 | $ 1,568 |
Restricted Cash, Noncurrent, Asset, Statement of Financial Position [Extensible List] | us-gaap:OtherAssetsNoncurrent | us-gaap:OtherAssetsNoncurrent | us-gaap:OtherAssetsNoncurrent | us-gaap:OtherAssetsNoncurrent |
Total cash, cash equivalents and restricted cash shown in the statement of cash flows | $ 142,161 | $ 144,293 | $ 112,644 | $ 107,445 |
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 | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ||||
Stock-based compensation expense related to restricted stock units (RSUs) | $ 4,098 | $ 3,717 | $ 11,895 | $ 10,764 |
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) | 3,102 | 2,837 | 8,965 | 8,172 |
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) | 860 | 754 | 2,544 | 2,234 |
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) | $ 136 | $ 126 | $ 386 | $ 358 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - Restricted Stock Units (RSUs) [Member] | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Total compensation cost related to RSU's not yet recognized | $ 29,920,000 |
Weighted average number of years for recognition of outstanding nonvested RSUs | 1 year 3 months 29 days |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Restricted Stock Units Activity (Detail) - Restricted Stock Units (RSUs) [Member] | 9 Months Ended |
Sep. 30, 2019USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Nonvested Number, Beginning balance | shares | 1,020,930 |
Number, Granted | shares | 414,405 |
Number, Vested, including shares withheld to cover taxes | shares | (423,909) |
Number, Forfeited | shares | (60,129) |
Nonvested Number, Ending balance | shares | 951,297 |
Nonvested Weighted Average Grant Date Fair Value, Beginning balance | $ / shares | $ 36.10 |
Weighted Average Grant Date Fair Value, Granted | $ / shares | 56.15 |
Weighted Average Grant Date Fair Value, Vested, including shares withheld to cover taxes | $ / shares | 33.87 |
Weighted Average Grant Date Fair Value, Forfeited | $ / shares | 42.52 |
Nonvested Weighted Average Grant Date Fair Value, Ending balance | $ / shares | $ 45.42 |
Fair Value, Vested, including shares withheld to cover taxes | $ | $ 14,357,798 |
Fair Value, Nonvested at end of period | $ | $ 52,977,730 |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of Restricted Stock Units Activity (Parenthetical) (Detail) | 9 Months Ended |
Sep. 30, 2019$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Closing stock price | $ / shares | $ 55.69 |
Percentage of award vested upon completion of acquisition | 100.00% |
Performance Based Restricted Stock Unit [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Total RSUs | shares | 84,602 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 | |
Income Tax [Line Items] | |||||
Effective tax rate | 27.20% | 25.60% | 25.40% | 25.80% | |
United States federal statutory income tax rate | 21.00% | 21.00% | 21.00% | 21.00% | |
Unrecognized tax benefits | $ 8,666,000 | $ 8,666,000 | $ 6,849,000 | ||
Unrecognized tax benefits, interest on income taxes accrued | $ 417,000 | $ 417,000 | $ 313,000 | ||
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 increase or decrease the balance of our gross unrecognized tax benefits. | ||||
Earliest Tax Year [Member] | |||||
Income Tax [Line Items] | |||||
Open tax year | 2012 | ||||
Latest Tax Year [Member] | |||||
Income Tax [Line Items] | |||||
Open tax year | 2017 |
Share Repurchase Program - Addi
Share Repurchase Program - Additional Information (Detail) - USD ($) | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Feb. 13, 2018 | |
Equity [Abstract] | |||
Common stock repurchase program, authorized amount | $ 50,000,000 | ||
Common stock repurchase program, number of shares repurchased | 541,117 | 641,211 | |
Repurchase program, approximate dollar value of shares purchased | $ 27,899,000 | $ 22,069,000 | |
Repurchase program, average price paid per share | $ 51.56 | $ 34.42 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2019USD ($) | |
Commitments And Contingencies Disclosure [Abstract] | |
Other commitment, Performance bonds outstanding | $ 3,739,000 |
Number of months of salary paid as severance | from three to twenty-four months |
Segment Information - Additiona
Segment Information - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2019Segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 3 |
Description of major customers net sales | None of our clients exceeded ten percent of consolidated net sales for the three or nine months ended September 30, 2019 or 2018. |
Segment Information - Net Sales
Segment Information - Net Sales by Offering for North America, EMEA and APAC (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Revenue from External Customer [Line Items] | ||||
Revenues from external customers | $ 1,912,547 | $ 1,747,726 | $ 5,434,034 | $ 5,331,090 |
North America Segment [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Revenues from external customers | 1,515,162 | 1,371,459 | 4,163,110 | 4,018,605 |
EMEA Segment [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Revenues from external customers | 355,708 | 345,180 | 1,125,057 | 1,161,850 |
APAC Segment [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Revenues from external customers | 41,677 | 31,087 | 145,867 | 150,635 |
Hardware Net Sales [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Revenues from external customers | 1,166,742 | 1,106,969 | 3,181,844 | 3,253,278 |
Hardware Net Sales [Member] | North America Segment [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Revenues from external customers | 1,020,083 | 953,431 | 2,704,212 | 2,724,916 |
Hardware Net Sales [Member] | EMEA Segment [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Revenues from external customers | 137,416 | 147,497 | 451,892 | 505,844 |
Hardware Net Sales [Member] | APAC Segment [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Revenues from external customers | 9,243 | 6,041 | 25,740 | 22,518 |
Software Net Sales [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Revenues from external customers | 502,138 | 441,304 | 1,548,043 | 1,471,610 |
Software Net Sales [Member] | North America Segment [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Revenues from external customers | 295,730 | 259,602 | 907,683 | 828,231 |
Software Net Sales [Member] | EMEA Segment [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Revenues from external customers | 186,839 | 168,603 | 560,073 | 551,920 |
Software Net Sales [Member] | APAC Segment [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Revenues from external customers | 19,569 | 13,099 | 80,287 | 91,459 |
Services Net Sales [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Revenues from external customers | 243,667 | 199,453 | 704,147 | 606,202 |
Services Net Sales [Member] | North America Segment [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Revenues from external customers | 199,349 | 158,426 | 551,215 | 465,458 |
Services Net Sales [Member] | EMEA Segment [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Revenues from external customers | 31,453 | 29,080 | 113,092 | 104,086 |
Services Net Sales [Member] | APAC Segment [Member] | ||||
Revenue from External Customer [Line Items] | ||||
Revenues from external customers | $ 12,865 | $ 11,947 | $ 39,840 | $ 36,658 |
Segment Information - Financial
Segment Information - Financial Information about Reportable Operating Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Segment Reporting Information [Line Items] | ||||
Total net sales | $ 1,912,547 | $ 1,747,726 | $ 5,434,034 | $ 5,331,090 |
Total costs of goods sold | 1,636,352 | 1,512,812 | 4,633,918 | 4,591,536 |
Gross profit | 276,195 | 234,914 | 800,116 | 739,554 |
Operating expenses: | ||||
Selling and administrative expenses | 223,215 | 184,095 | 613,767 | 561,739 |
Severance and restructuring expenses | 2,662 | 683 | 3,712 | 2,709 |
Acquisition-related expenses | 5,896 | 188 | 9,059 | 282 |
Earnings from operations | 44,422 | 49,948 | 173,578 | 174,824 |
Products [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total net sales | 1,668,880 | 1,548,273 | 4,729,887 | 4,724,888 |
Total costs of goods sold | 1,519,240 | 1,415,808 | 4,315,464 | 4,319,181 |
Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total net sales | 243,667 | 199,453 | 704,147 | 606,202 |
Total costs of goods sold | 117,112 | 97,004 | 318,454 | 272,355 |
North America Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total net sales | 1,515,162 | 1,371,459 | 4,163,110 | 4,018,605 |
Total costs of goods sold | 1,296,518 | 1,192,132 | 3,562,800 | 3,473,390 |
Gross profit | 218,644 | 179,327 | 600,310 | 545,215 |
Operating expenses: | ||||
Selling and administrative expenses | 170,993 | 134,792 | 452,441 | 402,638 |
Severance and restructuring expenses | 2,449 | 253 | 3,260 | 1,034 |
Acquisition-related expenses | 5,896 | 188 | 9,059 | 282 |
Earnings from operations | 39,306 | 44,094 | 135,550 | 141,261 |
North America Segment [Member] | Products [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total net sales | 1,315,813 | 1,213,033 | 3,611,895 | 3,553,147 |
Total costs of goods sold | 1,195,020 | 1,108,658 | 3,290,555 | 3,242,903 |
North America Segment [Member] | Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total net sales | 199,349 | 158,426 | 551,215 | 465,458 |
Total costs of goods sold | 101,498 | 83,474 | 272,245 | 230,487 |
EMEA Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total net sales | 355,708 | 345,180 | 1,125,057 | 1,161,850 |
Total costs of goods sold | 307,817 | 297,946 | 955,733 | 996,602 |
Gross profit | 47,891 | 47,234 | 169,324 | 165,248 |
Operating expenses: | ||||
Selling and administrative expenses | 44,568 | 42,206 | 139,365 | 137,383 |
Severance and restructuring expenses | 213 | 430 | 328 | 1,545 |
Earnings from operations | 3,110 | 4,598 | 29,631 | 26,320 |
EMEA Segment [Member] | Products [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total net sales | 324,255 | 316,100 | 1,011,965 | 1,057,764 |
Total costs of goods sold | 297,789 | 290,071 | 926,712 | 971,232 |
EMEA Segment [Member] | Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total net sales | 31,453 | 29,080 | 113,092 | 104,086 |
Total costs of goods sold | 10,028 | 7,875 | 29,021 | 25,370 |
APAC Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total net sales | 41,677 | 31,087 | 145,867 | 150,635 |
Total costs of goods sold | 32,017 | 22,734 | 115,385 | 121,544 |
Gross profit | 9,660 | 8,353 | 30,482 | 29,091 |
Operating expenses: | ||||
Selling and administrative expenses | 7,654 | 7,097 | 21,961 | 21,718 |
Severance and restructuring expenses | 124 | 130 | ||
Earnings from operations | 2,006 | 1,256 | 8,397 | 7,243 |
APAC Segment [Member] | Products [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total net sales | 28,812 | 19,140 | 106,027 | 113,977 |
Total costs of goods sold | 26,431 | 17,079 | 98,197 | 105,046 |
APAC Segment [Member] | Services [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Total net sales | 12,865 | 11,947 | 39,840 | 36,658 |
Total costs of goods sold | $ 5,586 | $ 5,655 | $ 17,188 | $ 16,498 |
Segment Information - Summary o
Segment Information - Summary of Total Assets by Reportable Operating Segment (Detail) - USD ($) $ in Thousands | Sep. 30, 2019 | Dec. 31, 2018 |
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | $ 3,982,360 | $ 2,775,947 |
Operating Segments [Member] | North America Segment [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | 3,729,338 | 2,660,886 |
Operating Segments [Member] | EMEA Segment [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | 596,657 | 611,338 |
Operating Segments [Member] | APAC Segment [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | 101,829 | 98,959 |
Intersegment Eliminations [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Total assets | $ (445,464) | $ (595,236) |
Segment Information - Pre-Tax D
Segment Information - Pre-Tax Depreciation and Amortization by Operating Segment (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Segment Reporting Information [Line Items] | ||||
Depreciation and amortization of property and equipment | $ 5,524 | $ 5,306 | $ 15,506 | $ 16,018 |
Amortization of intangible assets | 5,946 | 4,185 | 13,590 | 11,399 |
Depreciation and amortization, total | 11,470 | 9,491 | 29,096 | 27,417 |
North America Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Depreciation and amortization of property and equipment | 4,371 | 4,131 | 12,114 | 12,587 |
Amortization of intangible assets | 5,765 | 3,949 | 13,037 | 10,670 |
EMEA Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Depreciation and amortization of property and equipment | 1,013 | 1,052 | 2,980 | 3,053 |
Amortization of intangible assets | 67 | 71 | 205 | 216 |
APAC Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Depreciation and amortization of property and equipment | 140 | 123 | 412 | 378 |
Amortization of intangible assets | $ 114 | $ 165 | $ 348 | $ 513 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) | Aug. 30, 2019USD ($)OfficeTeammate | Apr. 30, 2019USD ($) | Jan. 31, 2019USD ($) | Aug. 01, 2018USD ($) | Sep. 30, 2019USD ($) | Jun. 30, 2019USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2019USD ($) | Sep. 30, 2018USD ($) | Dec. 31, 2018USD ($) |
Business Acquisition [Line Items] | ||||||||||
Amortization of intangible assets | $ 5,946,000 | $ 4,185,000 | $ 13,590,000 | $ 11,399,000 | ||||||
Goodwill | 358,384,000 | 358,384,000 | $ 166,841,000 | |||||||
Acquisitions, net of cash and cash equivalents acquired | 664,287,000 | 74,938,000 | ||||||||
North America Segment [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Amortization of intangible assets | 5,765,000 | $ 3,949,000 | 13,037,000 | $ 10,670,000 | ||||||
PCM [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Cash purchase price | $ 745,562,000 | |||||||||
Acquisition, percentage of issued and outstanding shares acquired | 100.00% | |||||||||
Cash and cash equivalents acquired | $ 84,637,000 | |||||||||
Number of office locations globally | Office | 40 | |||||||||
Identifiable intangible assets | $ 251,400,000 | |||||||||
Amortization of intangible assets | 2,130,000 | |||||||||
Goodwill | 192,160,000 | |||||||||
Tax deductible goodwill | 0 | |||||||||
Business combination, net sales from acquired entity | 172,468,000 | 172,468,000 | ||||||||
Business combination, gross profit from acquired entity | $ 27,753,000 | $ 27,753,000 | ||||||||
Acquisitions, net of cash and cash equivalents acquired | 660,925,000 | |||||||||
PCM [Member] | Customer Relationships [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Identifiable intangible assets | 238,900,000 | |||||||||
PCM [Member] | Trade Name [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Identifiable intangible assets | $ 8,400,000 | |||||||||
Useful Life | 1 year | |||||||||
PCM [Member] | Non-compete Agreements [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Identifiable intangible assets | $ 4,100,000 | |||||||||
PCM [Member] | Minimum [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Number of teammates | Teammate | 4,000 | |||||||||
PCM [Member] | Minimum [Member] | Customer Relationships [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Useful Life | 12 years | |||||||||
PCM [Member] | Minimum [Member] | Non-compete Agreements [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Useful Life | 2 years | |||||||||
PCM [Member] | Maximum [Member] | Customer Relationships [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Useful Life | 15 years | |||||||||
PCM [Member] | Maximum [Member] | Non-compete Agreements [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Useful Life | 3 years | |||||||||
Cardinal Solutions Group, Inc [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Acquisition, percentage of issued and outstanding shares acquired | 100.00% | |||||||||
Acquisitions, net of cash and cash equivalents acquired | $ 78,400,000 | |||||||||
Cardinal Solutions Group, Inc [Member] | North America Segment [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Identifiable intangible assets | 27,540,000 | |||||||||
Goodwill | 36,040,000 | |||||||||
Net assets acquired | $ 42,360,000 | |||||||||
Working capital adjustment in the amount paid | $ 762,000 | |||||||||
Acquisition, estimated tax adjustments | $ 2,600,000 | |||||||||
Reduction of the previously recorded purchase price | $ 400,000 | |||||||||
Cardinal Solutions Group, Inc [Member] | Customer Relationships [Member] | North America Segment [Member] | ||||||||||
Business Acquisition [Line Items] | ||||||||||
Estimated useful life of acquired intangible assets | 10 years |
Acquisitions - Summary of Purch
Acquisitions - Summary of Purchase Price and Estimated Fair Value of Assets Acquired and Liabilities Assumed (Detail) - USD ($) | Aug. 30, 2019 | Sep. 30, 2019 | Sep. 30, 2018 | Dec. 31, 2018 |
Business Acquisition [Line Items] | ||||
Purchase price net of cash and cash equivalents acquired | $ 664,287,000 | $ 74,938,000 | ||
Fair value of net assets acquired: | ||||
Excess purchase price over fair value of net assets acquired ("goodwill") | $ 358,384,000 | $ 166,841,000 | ||
PCM [Member] | ||||
Business Acquisition [Line Items] | ||||
Purchase price net of cash and cash equivalents acquired | $ 660,925,000 | |||
Fair value of net assets acquired: | ||||
Current assets | 542,642,000 | |||
Identifiable intangible assets - see description below | 251,400,000 | |||
Property and equipment | 96,959,000 | |||
Other assets | 32,373,000 | |||
Current liabilities | (367,613,000) | |||
Long-term liabilities, including deferred taxes | (86,996,000) | |||
Total fair value of net assets acquired | 468,765,000 | |||
Excess purchase price over fair value of net assets acquired ("goodwill") | $ 192,160,000 |
Acquisitions - Summary of Pro F
Acquisitions - Summary of Pro Forma Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2019 | Sep. 30, 2018 | Sep. 30, 2019 | Sep. 30, 2018 | |
Business Acquisition [Line Items] | ||||
Net sales, As reported | $ 1,912,547 | $ 1,747,726 | $ 5,434,034 | $ 5,331,090 |
Net earnings, As reported | $ 27,132 | $ 32,154 | $ 116,457 | $ 116,636 |
Diluted earnings per share, As reported | $ 0.76 | $ 0.89 | $ 3.23 | $ 3.24 |
PCM [Member] | ||||
Business Acquisition [Line Items] | ||||
Net sales, As reported | $ 1,912,547 | $ 1,747,726 | $ 5,434,034 | $ 5,331,090 |
Net sales, Pro forma | 2,322,828 | 2,257,769 | 6,910,356 | 6,928,539 |
Net earnings, As reported | 27,132 | 32,154 | 116,457 | 116,636 |
Net earnings, Pro forma | $ 24,678 | $ 31,876 | $ 115,321 | $ 114,250 |
Diluted earnings per share, As reported | $ 0.76 | $ 0.89 | $ 3.23 | $ 3.24 |
Diluted earnings per share, Pro forma | $ 0.69 | $ 0.89 | $ 3.20 | $ 3.17 |
Subsequent Event - Additional I
Subsequent Event - Additional Information (Detail) | Nov. 01, 2019USD ($) |
Arizona [Member] | Subsequent Event [Member] | |
Subsequent Event [Line Items] | |
Purchase of real estate | $ 48,000,000 |