Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2019 | Apr. 30, 2019 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | STANDARD MOTOR PRODUCTS, INC. | |
Entity Central Index Key | 0000093389 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Ex Transition Period | false | |
Entity Common Stock, Shares Outstanding | 22,356,695 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2019 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q1 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | ||
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) [Abstract] | |||
Net sales | [1] | $ 283,766 | $ 261,826 |
Cost of sales | 205,803 | 189,237 | |
Gross profit | 77,963 | 72,589 | |
Selling, general and administrative expenses | 60,000 | 57,717 | |
Restructuring and integration expenses | 0 | 2,836 | |
Other income (expense), net | (6) | 271 | |
Operating income | 17,957 | 12,307 | |
Other non-operating income (expense), net | 646 | (31) | |
Interest expense | 1,089 | 632 | |
Earnings from continuing operations before taxes | 17,514 | 11,644 | |
Provision for income taxes | 4,410 | 3,047 | |
Earnings from continuing operations | 13,104 | 8,597 | |
Loss from discontinued operations, net of income taxes | (888) | (608) | |
Net earnings | $ 12,216 | $ 7,989 | |
Net earnings per common share - Basic: | |||
Earnings from continuing operations (in dollars per share) | $ 0.58 | $ 0.38 | |
Discontinued operations (in dollars per share) | (0.04) | (0.02) | |
Net earnings per common share - Basic (in dollars per share) | 0.54 | 0.36 | |
Net earnings per common share - Diluted: | |||
Earnings from continuing operations (in dollars per share) | 0.57 | 0.37 | |
Discontinued operations (in dollars per share) | (0.04) | (0.02) | |
Net earnings per common share - Diluted (in dollars per share) | 0.53 | 0.35 | |
Dividends declared per share (in dollars per share) | $ 0.23 | $ 0.21 | |
Average number of common shares (in shares) | 22,421,795 | 22,498,510 | |
Average number of common shares and dilutive common shares (in shares) | 22,905,364 | 22,967,281 | |
[1] | Segment net sales include intersegment sales in our Engine Management and Temperature Control segments. |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) [Abstract] | ||
Net earnings | $ 12,216 | $ 7,989 |
Other comprehensive income (loss), net of tax: | ||
Foreign currency translation adjustments | 695 | 2,219 |
Pension and postretirement plans | (5) | (5) |
Total other comprehensive income, net of tax | 690 | 2,214 |
Comprehensive income | $ 12,906 | $ 10,203 |
CONSOLIDATED BALANCE SHEETS (Un
CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 11,746 | $ 11,138 |
Accounts receivable, less allowances for discounts and doubtful accounts of $6,643 and $5,687 for 2019 and 2018, respectively | 174,164 | 157,535 |
Inventories | 365,251 | 349,811 |
Unreturned customer inventories | 19,784 | 20,484 |
Prepaid expenses and other current assets | 9,412 | 7,256 |
Total current assets | 580,357 | 546,224 |
Property, plant and equipment, net of accumulated depreciation of $187,777 and $186,135 for 2019 and 2018, respectively | 88,850 | 90,754 |
Operating lease right-of-use assets | 37,301 | 0 |
Goodwill | 67,370 | 67,321 |
Other intangibles, net | 46,581 | 48,411 |
Deferred income taxes | 41,126 | 42,334 |
Investments in unconsolidated affiliates | 33,703 | 32,469 |
Other assets | 17,446 | 15,619 |
Total assets | 912,734 | 843,132 |
CURRENT LIABILITIES: | ||
Notes payable | 78,717 | 43,689 |
Current portion of other debt | 5,023 | 5,377 |
Accounts payable | 96,878 | 94,357 |
Sundry payables and accrued expenses | 32,116 | 31,033 |
Accrued customer returns | 55,318 | 57,433 |
Accrued core liability | 28,260 | 31,263 |
Accrued rebates | 31,357 | 28,870 |
Payroll and commissions | 17,901 | 20,564 |
Total current liabilities | 345,570 | 312,586 |
Long-term debt | 161 | 153 |
Noncurrent operating lease liabilities | 30,130 | 0 |
Other accrued liabilities | 19,996 | 18,075 |
Accrued asbestos liabilities | 43,837 | 45,117 |
Total liabilities | 439,694 | 375,931 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Common stock - par value $2.00 per share: Authorized - 30,000,000 shares; issued 23,936,036 shares | 47,872 | 47,872 |
Capital in excess of par value | 104,467 | 102,470 |
Retained earnings | 387,170 | 380,113 |
Accumulated other comprehensive income | (8,904) | (9,594) |
Treasury stock - at cost (1,565,916 shares and 1,503,284 shares in 2019 and 2018, respectively) | (57,565) | (53,660) |
Total stockholders' equity | 473,040 | 467,201 |
Total liabilities and stockholders' equity | $ 912,734 | $ 843,132 |
CONSOLIDATED BALANCE SHEETS (_2
CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
CURRENT ASSETS: | ||
Accounts receivable, allowances for discounts and doubtful accounts | $ 6,643 | $ 5,687 |
Property, plant and equipment, accumulated depreciation | $ 187,777 | $ 186,135 |
Stockholders' equity: | ||
Common stock, par value (in dollars per share) | $ 2 | $ 2 |
Common stock, shares authorized (in shares) | 30,000,000 | 30,000,000 |
Common stock, shares issued (in shares) | 23,936,036 | 23,936,036 |
Treasury stock - at cost (in shares) | 1,565,916 | 1,503,284 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net earnings | $ 12,216 | $ 7,989 |
Adjustments to reconcile net earnings to net cash used in operating activities: | ||
Depreciation and amortization | 6,178 | 6,016 |
Amortization of deferred financing cost | 56 | 86 |
Increase to allowance for doubtful accounts | 920 | 110 |
Increase to inventory reserves | 357 | 1,223 |
Amortization of deferred gain on sale of building | 0 | (218) |
Equity (income) loss from joint ventures | (661) | 171 |
Employee stock ownership plan allocation | 630 | 639 |
Stock-based compensation | 1,900 | 1,917 |
(Increase) decrease in deferred income taxes | 1,213 | (77) |
Loss on discontinued operations, net of tax | 888 | 608 |
Change in assets and liabilities: | ||
Increase in accounts receivable | (22,252) | (20,367) |
Increase in inventories | (14,656) | (3,390) |
(Increase) decrease in prepaid expenses and other current assets | (282) | 1,559 |
Increase in accounts payable | 1,181 | 10,674 |
Decrease in sundry payables and accrued expenses | (12,911) | (12,997) |
Net changes in other assets and liabilities | (1,503) | (95) |
Net cash used in operating activities | (26,726) | (6,152) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Acquisitions of and investments in businesses | 0 | (6,472) |
Net proceeds from sale of Grapevine, Texas facility | 4,801 | 0 |
Capital expenditures | (3,084) | (6,903) |
Other investing activities | 29 | 0 |
Net cash provided by (used in) investing activities | 1,746 | (13,375) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Net borrowings under line-of-credit agreements | 35,029 | 33,000 |
Net borrowings (payments) of other debt and capital lease obligations | (271) | 1,054 |
Purchase of treasury stock | (5,835) | (3,221) |
Increase in overdraft balances | 1,409 | 1,885 |
Dividends paid | (5,159) | (4,721) |
Net cash provided by financing activities | 25,173 | 27,997 |
Effect of exchange rate changes on cash | 415 | 433 |
Net increase in cash and cash equivalents | 608 | 8,903 |
CASH AND CASH EQUIVALENTS at beginning of period | 11,138 | 17,323 |
CASH AND CASH EQUIVALENTS at end of period | 11,746 | 26,226 |
Cash paid during the period for: | ||
Interest | 974 | 480 |
Income taxes | 2,156 | 671 |
Noncash investing activity: | ||
Accrual for additional investment in China joint venture | $ 0 | $ 3,473 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Unaudited) - USD ($) $ in Thousands | Common Stock [Member] | Common Stock [Member]Adjustments Due to Adoption of ASU 2014-09 [Member] | Capital in Excess of Par Value [Member] | Capital in Excess of Par Value [Member]Adjustments Due to Adoption of ASU 2014-09 [Member] | Retained Earnings [Member] | Retained Earnings [Member]Adjustments Due to Adoption of ASU 2014-09 [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Accumulated Other Comprehensive Income (Loss) [Member]Adjustments Due to Adoption of ASU 2014-09 [Member] | Treasury Stock [Member] | Treasury Stock [Member]Adjustments Due to Adoption of ASU 2014-09 [Member] | Total | Adjustments Due to Adoption of ASU 2014-09 [Member] |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Cumulative effect adjustment | ASC 606 [Member] | $ 0 | $ 0 | $ (1,189) | $ 0 | $ 0 | $ (1,189) | ||||||
Balance at beginning of period at Dec. 31, 2017 | $ 47,872 | $ 100,057 | $ 357,153 | $ (4,109) | $ (47,319) | $ 453,654 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Net earnings | 0 | 0 | 7,989 | 0 | 0 | 7,989 | ||||||
Other comprehensive income, net of tax | 0 | 0 | 0 | 2,214 | 0 | 2,214 | ||||||
Cash dividends paid | 0 | 0 | (4,721) | 0 | 0 | (4,721) | ||||||
Purchase of treasury stock | 0 | 0 | 0 | 0 | (2,912) | (2,912) | ||||||
Stock-based compensation | 0 | 1,824 | 0 | 0 | 93 | 1,917 | ||||||
Employee stock ownership plan | 0 | 765 | 0 | 0 | 1,792 | 2,557 | ||||||
Balance at end of period at Mar. 31, 2018 | 47,872 | 102,646 | 359,232 | (1,895) | (48,346) | 459,509 | ||||||
Balance at beginning of period at Dec. 31, 2018 | 47,872 | 102,470 | 380,113 | (9,594) | (53,660) | 467,201 | ||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Net earnings | 0 | 0 | 12,216 | 0 | 0 | 12,216 | ||||||
Other comprehensive income, net of tax | 0 | 0 | 0 | 690 | 0 | 690 | ||||||
Cash dividends paid | 0 | 0 | (5,159) | 0 | 0 | (5,159) | ||||||
Purchase of treasury stock | 0 | 0 | 0 | 0 | (6,327) | (6,327) | ||||||
Stock-based compensation | 0 | 1,252 | 0 | 0 | 648 | 1,900 | ||||||
Employee stock ownership plan | 0 | 745 | 0 | 0 | 1,774 | 2,519 | ||||||
Balance at end of period at Mar. 31, 2019 | $ 47,872 | $ 104,467 | $ 387,170 | $ (8,904) | $ (57,565) | $ 473,040 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2019 | |
Basis of Presentation [Abstract] | |
Basis of Presentation | Note 1. Basis of Presentation Standard Motor Products, Inc. and subsidiaries (referred to as the “Company,” “we,” “us,” or “our”) is engaged in the manufacture and distribution of premium replacement parts for motor vehicles in the automotive aftermarket industry with a complementary focus on heavy duty, industrial equipment and the original equipment market. The accompanying unaudited financial information should be read in conjunction with the audited consolidated financial statements and the notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2018. The unaudited consolidated financial statements include our accounts and all domestic and international companies in which we have more than a 50% equity ownership, except in instances where the minority shareholder maintains substantive participating rights, in which case we follow the equity method of accounting. Investments in unconsolidated affiliates are accounted for on the equity method, as we do not have a controlling financial interest but have the ability to exercise significant influence. All significant inter-company items have been eliminated. The accompanying unaudited consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring adjustments) considered necessary for a fair presentation have been included. The results of operations for the interim periods are not necessarily indicative of the results of operations for the entire year. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2019 | |
Summary of Significant Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 2. The preparation of consolidated annual and quarterly financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amount of assets and liabilities, the disclosure of contingent assets and liabilities at the date of our consolidated financial statements, and the reported amounts of revenue and expenses during the reporting periods. We have made a number of estimates and assumptions in the preparation of these consolidated financial statements. We can give no assurance that actual results will not differ from those estimates. Some of the more significant estimates include allowances for doubtful accounts, cash discounts, valuation of inventory, valuation of long-lived assets, goodwill and other intangible assets, depreciation and amortization of long-lived assets, product liability exposures, asbestos, environmental and litigation matters, valuation of deferred tax assets, share based compensation and sales returns and other allowances. There have been no material changes to our critical accounting policies and estimates from the information provided in Leases, Recently Issued Accounting Pronouncements Standards that were adopted Leases Effective January 1, 2019, we adopted ASU 2016-02, Leases, In adopting ASU 2016-02, we elected the package of practical expedients permitted under the transition guidance within the new standard, which among other things, allowed us to carry forward our historical lease identification and lease classifications. In addition, upon adoption, we evaluated all of our leases, and in particular our real estate leases, to determine the appropriate lease term. In evaluating our leases, we determined that the lease term for one of our leases should be lengthened, as we concluded that it is reasonably certain that we will exercise the five-year renewal option in the lease. The lease term for all of our other leases remained unchanged. Additionally, we elected to apply the provisions of ASU 2018-11, Targeted Improvements Adoption of the new standard resulted in the following changes in our consolidated balance sheet as of January 1, 2019 (in thousands): Balance at December 31, 2018 Adjustments Due to Adoption of ASU 2016-02 Balance at January 1, 2019 Balance Sheet Operating lease right-of-use asset $ — $ 38,580 $ 38,580 Sundry payables and accrued expenses 31,033 7,232 38,265 Noncurrent operating lease liabilities — 31,348 31,348 See Note 3 for further information regarding our adoption of ASU 2016-02. Standards that are not yet adopted as of March 31, 2019 The following table provides a brief description of recently issued accounting pronouncements that have not yet been adopted as of March 31, 2019, and that could have an impact on our financial statements: Standard Description Date of adoption Effects on the financial statements or other significant matters ASU Simplifying the Test for Goodwill Impairment This standard is intended to simplify the accounting for goodwill impairment. ASU 2017-04 removes Step 2 of the test, which requires a hypothetical purchase price allocation. A goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. January 1, 2020, with early adoption permitted The new standard should be applied prospectively. We will consider the new standard when performing our annual impairment test and evaluate when we will adopt the new standard. ASU 2016-13, Financial Instruments – Credit Losses This standard creates a single model to measure impairment on financial assets, which includes trade account receivables. An estimate of expected credit losses on trade account receivables over their contractual life will be required to be recorded at inception, based on historical information, current conditions, and reasonable and supportable forecasts. January 1, 2020, with early adoption permitted We do not anticipate that the adoption of this standard will have a material impact on the manner in which we estimate our allowance for doubtful accounts on trade accounts receivable, or on our consolidated financial statements. |
Leases
Leases | 3 Months Ended |
Mar. 31, 2019 | |
Leases [Abstract] | |
Leases | Note 3. Leases Significant Accounting Policy We determine if an arrangement is a lease at inception. For operating leases, we include and report operating lease right-of-use (“ROU”) assets, sundry payables and accrued expenses, and noncurrent operating lease liabilities on our consolidated balance sheet for leases with a term longer than twelve months. Finance leases are reported on our consolidated balance sheets in property, plant and equipment, current portion of other debt, and long-term debt. Operating lease ROU assets and operating lease liabilities are recognized at the lease commencement date based on the present value of the total lease payments over the lease term. Our ROU assets represent the right to use an underlying leased asset over the existing lease term, and the corresponding lease liabilities represent our obligation to make lease payments arising from the lease agreement. As most of our leases do not provide for an implicit rate, we use our secured incremental borrowing rate based on the information available when determining the present value of our lease payments. Our lease terms may include options to terminate, or extend, our lease when it is reasonably certain that we will execute the option. Lease agreements may contain lease and non-lease components, which are generally accounted for separately. Operating lease expense is recognized on a straight-line basis over the lease term. Quantitative Lease Disclosures We have operating and finance leases for our manufacturing facilities, warehouses, office space, automobiles, and certain equipment. Our leases have remaining lease terms of up to ten years, some of which may include one or more five-year renewal options. We have included the five-year renewal option for one of our leases in our operating lease payments as we concluded that it is reasonably certain that we will exercise the option. Leases with an initial term of twelve months or less are not recorded on the balance sheet. Operating lease expense is recognized on a straight-line basis over the lease term. Finance leases are not material. The following tables provide quantitative disclosures related to our operating leases as of and for the three months ended March 31, 2019: Balance Sheet Information March 31, 2019 Assets Operating lease right-of-use assets $ 37,301 Liabilities Sundry payables and accrued expenses $ 8,148 Noncurrent operating lease liabilities 30,130 Total operating lease liabilities $ 38,278 Expense and Cash Flow Information Three Months Ended March 31, 2019 Lease Expense Operating lease expense (a) $ 2,224 Supplemental Cash Flow Information Cash Paid for the amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 2,161 Right-of-use assets obtained in exchange for new lease obligations: Operating leases $ 566 (a) Excludes expenses related to non-lease components such as maintenance, property taxes, etc., and operating lease expense for leases with an initial term of 12 months or less, which is not material. Weighted Average Remaining Lease Term Operating leases 6.3 Years Weighted Average Discount Rate Operating leases 3.8 % Minimum Lease Payments At March 31, 2019, we are obligated to make minimum lease payments through 2028, under operating leases, which are as follows (in thousands): 2019 $ 6,413 2020 7,597 2021 6,983 2022 5,785 2023 5,277 Thereafter 11,316 Total lease payments $ 43,371 Less: Interest (5,093 ) Present value of lease liabilities $ 38,278 |
Business Acquisitions and Inves
Business Acquisitions and Investments | 3 Months Ended |
Mar. 31, 2019 | |
Business Acquisitions and Investments [Abstract] | |
Business Acquisitions and Investments | Note 4. Business Acquisitions and Investments 2018 Increase in Equity Investment Foshan GWO YNG SMP Vehicle Climate Control & Cooling Products Co. Ltd. In April 2014, we formed a 50/50 joint venture with Gwo Yng Enterprise Co., Ltd. (“Gwo Yng”), a China-based manufacturer of air conditioner accumulators, filter driers, hose assemblies and switches for the automotive aftermarket and OEM/OES markets. We acquired our 50% interest in the joint venture for approximately $14 million. We determined, at that time, that due to a lack of a voting majority and other qualitative factors, we do not control the operations of the joint venture and accordingly, our investment in the joint venture was accounted for under the equity method of accounting. In March 2018, we acquired an additional 15% equity interest in the joint venture for RMB 26,475,583 (approximately $4.2 million), thereby increasing our equity interest in the joint venture to 65%. The $4.2 million payment for our additional 15% investment was made in multiple cash installments, with $0.7 million paid in March 2018 and the balance paid on various dates throughout 2018. Although we have increased our equity interest in the joint venture to 65%, the minority shareholder will maintain participating rights that will allow it to participate in certain significant financial and operating decisions that occur in the ordinary course of business. As a result of the existence of these substantive participating rights of the minority shareholder, we will continue to account for our investment in the joint venture under the equity method of accounting. |
Restructuring and Integration E
Restructuring and Integration Expenses | 3 Months Ended |
Mar. 31, 2019 | |
Restructuring and Integration Expenses [Abstract] | |
Restructuring and Integration Expenses | Note 5. Restructuring and Integration Expenses The aggregated liabilities included in “sundry payables and accrued expenses” and “other accrued liabilities” in the consolidated balance sheet relating to the restructuring and integration activities as of December 31, 2018 and March 31, 2019 and activity for the three months ended March 31, 2019 consisted of the following (in thousands): Workforce Reduction Other Exit Costs Total Exit activity liability at December 31, 2018 $ 742 $ — $ 742 Restructuring and integration costs: Amounts provided for during 2019 — — — Cash payments (60 ) — (60 ) Exit activity liability at March 31 $ 682 $ — $ 682 Restructuring Costs Plant Rationalization Program In February 2016, in connection with our ongoing efforts to improve operating efficiencies and reduce costs, we finalized our intention to implement a plant rationalization initiative. As part of the plant rationalization, all of our Grapevine, Texas production activities have been relocated to facilities in Greenville, South Carolina and Reynosa, Mexico, and certain production activities were relocated from our Greenville, South Carolina manufacturing facility to our manufacturing facility in Bialystok, Poland. In addition, certain service functions were relocated from Grapevine, Texas to our administrative offices in Lewisville, Texas and our Grapevine, Texas facility was closed. In December 2018, we completed the sale of the property located in Grapevine, Texas. Net proceeds from the sale of $4.8 million were received in January 2019. The plant rationalization program is substantially completed. Cash payments made during the first three months of 2019 and the remaining aggregate liability related to the program as of March 31, 2019 consists of severance payments to former employees. Activity, by segment, for the three months ended March 31, 2019 related to our plant rationalization program consisted of the following (in thousands): Engine Management Temperature Control Other Total Exit activity liability at December 31 $ — $ 304 $ — $ 304 Restructuring and integration costs: Amounts provided for during 2019 — — — — Cash payments — (29 ) — (29 ) Exit activity liability at March 31, 2019 $ — $ 275 $ — $ 275 Orlando Plant Rationalization Program In January 2017, to further our ongoing efforts to improve operating efficiencies and reduce costs, we finalized our intention to implement a plant rationalization initiative at our Orlando, Florida facility. As part of the Orlando plant rationalization, all of our Orlando, Florida production activities have been relocated to our Independence, Kansas manufacturing facility. In addition, certain production activities were relocated from our Independence, Kansas manufacturing facility to our Reynosa, Mexico manufacturing facility and our Orlando, Florida facility was closed. The Orlando plant rationalization program is substantially completed. Cash payments made during the first three months of 2019 and the remaining aggregate liability related to the program as of March 31, 2019 consists of severance payments to former employees. Activity, by segment, for the three months ended March 31, 2019 related to our Orlando plant rationalization program consisted of the following (in thousands): Engine Management Temperature Control Other Total Exit activity liability at December 31 $ 438 $ — $ — $ 438 Restructuring and integration costs: Amounts provided for during 2019 — — — — Cash payments (31 ) — — (31 ) Exit activity liability at March 31, 2019 $ 407 $ — $ — $ 407 |
Sale of Receivables
Sale of Receivables | 3 Months Ended |
Mar. 31, 2019 | |
Sale of Receivables [Abstract] | |
Sale of Receivables | Note 6. Sale of Receivables From time to time, we sell undivided interests in certain of our receivables to financial institutions. We enter these agreements at our discretion when we determine that the cost of factoring is less than the cost of servicing our receivables with existing debt. Under the terms of the agreements, we retain no rights or interest, have no obligations with respect to the sold receivables, and do not service the receivables after the sale. As such, these transactions are being accounted for as a sale. Pursuant to these agreements, we sold $171.1 million and $157.5 million of receivables during the three months ended March 31, 2019 and 2018 |
Inventories
Inventories | 3 Months Ended |
Mar. 31, 2019 | |
Inventories [Abstract] | |
Inventories | Note 7. Inventories Inventories, which are stated at the lower of cost (determined by means of the first-in, first-out method) and net realizable value, consist of the following: March 31, 2019 December 31, 2018 (In thousands) Finished goods $ 239,889 $ 226,802 Work in process 9,174 10,527 Raw materials 116,188 112,482 Subtotal 365,251 349,811 Unreturned customer inventories 19,784 20,484 Total inventories $ 385,035 $ 370,295 |
Acquired Intangible Assets
Acquired Intangible Assets | 3 Months Ended |
Mar. 31, 2019 | |
Acquired Intangible Assets [Abstract] | |
Acquired Intangible Assets | Note 8. Acquired Intangible Assets Acquired identifiable intangible assets consist of the following: March 31, 2019 December 31, 2018 (In thousands) Customer relationships $ 87,256 $ 87,195 Trademarks and trade names 6,800 6,800 Non-compete agreements 3,193 3,193 Patents 723 723 Supply agreements 800 800 Leaseholds 160 160 Total acquired intangible assets 98,932 98,871 Less accumulated amortization (1) (53,184 ) (51,391 ) Net acquired intangible assets $ 45,748 $ 47,480 (1) Applies to all intangible assets, except for trademarks and trade names totaling $5.2 million, which have indefinite useful lives and, as such, are not being amortized. Total amortization expense for acquired intangible assets was $1.8 million and $1.9 million for the three months ended March 31, 2019 and 2018, respectively. Based on the current estimated useful lives assigned to our intangible assets, amortization expense is estimated to be $4.6 million for the remainder of 2019, $5.9 million in 2020, $4.5 million in 2021, $3 million in 2022 and $22.5 million in the aggregate for the years 2023 through 2031. |
Credit Facilities and Long-Term
Credit Facilities and Long-Term Debt | 3 Months Ended |
Mar. 31, 2019 | |
Credit Facilities and Long-Term Debt [Abstract] | |
Credit Facilities and Long-Term Debt | Note 9. Credit Facilities and Long-Term Debt Total debt outstanding is summarized as follows: March 31, 2019 December 31, 2018 (In thousands) Revolving credit facilities $ 78,717 $ 43,689 Other (1) 5,184 5,530 Total debt $ 83,901 $ 49,219 Current maturities of debt $ 83,740 $ 49,066 Long-term debt 161 153 Total debt $ 83,901 $ 49,219 (1) Other includes borrowings under our Polish overdraft facility of Zloty 19 million (approximately $5 million) and Zloty 19.9 million (approximately $5.3 million) as of March 31, 2019 and December 31, 2018, respectively. Revolving Credit Facility In December 2018, we amended our Credit Agreement with JPMorgan Chase Bank, N.A., as agent, and a syndicate of lenders. The amended credit agreement provides for a senior secured revolving credit facility with a line of credit of up to $250 million (with an additional $50 million accordion feature) and extends the maturity date to December 2023. The line of credit under the amended credit agreement also allows for a $10 million line of credit to Canada as part of the $250 million available for borrowing. Direct borrowings under the amended credit agreement bear interest at LIBOR plus a margin ranging from 1.25% to 1.75% based on our borrowing availability, or floating at the alternate base rate plus a margin ranging from 0.25% to 0.75% based on our borrowing availability, at our option. The amended credit agreement is guaranteed by certain of our subsidiaries and secured by certain of our assets. Borrowings under the amended credit agreement are secured by substantially all of our assets, including accounts receivable, inventory and certain fixed assets, and those of certain of our subsidiaries. Availability under the amended credit agreement is based on a formula of eligible accounts receivable, eligible drafts presented to the banks under our factoring agreements, eligible inventory, eligible equipment and eligible fixed assets. After taking into account outstanding borrowings under the amended credit agreement, there was an additional $168.1 million available for us to borrow pursuant to the formula at March 31, 2019 December At March 31, 2019, the weighted average interest rate on our amended credit agreement was 3.8%, which consisted of $75 million in direct borrowing at 3.6% and an alternative base rate loan of $3.7 million at 5.8%. At December At any time that our borrowing availability is less than the greater of either (a) $25 million, or 10% of the commitments if fixed assets are not included in the borrowing base, or (b) $31.25 million, or 12.5% of the commitments if fixed assets are included in the borrowing base, the terms of the amended credit agreement provide for, among other provisions, a financial covenant requiring us, on a consolidated basis, to maintain a fixed charge coverage ratio of 1:1 at the end of each fiscal quarter (rolling four quarters). As of March 31, Polish Overdraft Facility Our Polish subsidiary, SMP Poland sp. z.o.o., has entered into an overdraft facility with HSBC Bank Polska S.A. (“HSBC Poland”) for Zloty 30 million (approximately $7.8 million). The facility, as amended, expires in December 2019. Borrowings under the overdraft facility will bear interest at a rate equal to WIBOR + 0.75% and are guaranteed by Standard Motor Products, Inc., the ultimate parent company. At March 31, 2019 and December 31, 2018, borrowings under the overdraft facility were Zloty 19 million (approximately $5 million) and Zloty 19.9 million (approximately $5.3 million), respectively. Deferred Financing Costs We had deferred financing costs of $1 million and $1.1 million as of March 31, 2019 and December 31, 2018, respectively. Deferred financing costs are related to our revolving credit facility. Deferred financing costs as of March 31, 2019 are being amortized in the amounts of $0.2 million for the remainder of 2019, $0.2 million in 2020, $0.2 million in 2021, $0.2 million in 2022 and $0.2 million in 2023. |
Stock-Based Compensation Plans
Stock-Based Compensation Plans | 3 Months Ended |
Mar. 31, 2019 | |
Stock-Based Compensation Plans [Abstract] | |
Stock-Based Compensation Plans | Note 10. Stock-Based Compensation Plans We account for our stock-based compensation plans in accordance with the provisions of FASB ASC 718, Stock Compensation Restricted and Performance Stock Grants As part of the 2016 Omnibus Incentive Plan, we currently grant shares of restricted stock to eligible employees and our independent directors and performance-based stock to eligible employees. Selected executives and other key personnel are granted performance awards whose vesting is contingent upon meeting various performance measures with a retention feature. Performance-based shares are subject to a three-year measuring period and the achievement of performance targets and, depending upon the achievement of such performance targets, they may become vested on the third anniversary of the date of grant. Each period we evaluate the probability of achieving the applicable targets, and we adjust our accrual accordingly. Restricted shares granted to employees become fully vested upon the third anniversary of the date of grant; and for selected key executives, certain additional restricted share grants vest 25% upon the attainment of age 60, 25% upon the attainment of age 63 and become fully vested upon the attainment of age 65. Restricted shares granted to directors become fully vested upon the first anniversary of the date of grant. Commencing with the 2015 grants, restricted and performance shares issued to certain key executives and directors are subject to a one or two year holding period upon the lapse of the three year vesting period. Forfeitures on restricted stock grants are estimated at 5% for employees and 0% for executives and directors, respectively, based on our evaluation of historical and expected future turnover. Our restricted and performance-based share activity was as follows for the three months ended March 31, 2019: Shares Weighted Average Grant Date Fair Value Per Share Balance at December 31, 2018 870,041 $ 34.59 Granted — — Vested (17,807 ) 26.50 Forfeited (2,000 ) 44.95 Balance at March 31, 2019 850,234 $ 34.73 We recorded compensation expense related to restricted shares and performance-based shares of $1.9 million ($1.4 million, net of tax) and $1.9 million ($1.4 million, net of tax) for the three months ended March 31, 2019 and 2018, respectively. The unamortized compensation expense related to our restricted and performance-based shares was $13.8 million at March 31, 2019, and is expected to be recognized as they vest over a weighted average period of 4 years and 0.08 years for employees and directors, respectively. |
Employee Benefits
Employee Benefits | 3 Months Ended |
Mar. 31, 2019 | |
Employee Benefits [Abstract] | |
Employee Benefits | Note 11. Employee Benefits We provided, and continue to provide, certain medical and dental care benefits to eligible retired U.S. and Canadian employees. The postretirement medical plans to eligible U.S. employees, other than to former union employees, and eligible Canadian employees terminated on December 31, 2016. As related to the U.S. non-union employees, annually and through the year ended December 31, 2016, a fixed amount was credited into a Health Reimbursement account (“HRA”) to cover both medical and dental costs for all current and future eligible retirees. Balances in the HRA accounts upon termination of the plan at December 31, 2016 remained available for use until December 31, 2018. Any remaining balance at December 31, 2018 was forfeited. Postretirement medical and dental benefits to the remaining eligible 19 former union employees in the U.S. will continue to be provided. The postretirement medical and dental benefit obligation for the former union employees in the U.S. as of March 31, 2019, and the net periodic benefit cost for our postretirement benefit plans for the three months ended March 31, 2019 and 2018 were not material. We also have an Employee Stock Ownership Plan and Trust for employees who are not covered by a collective bargaining agreement. In connection therewith, we maintain an employee benefits trust to which we contribute shares of treasury stock. We are authorized to instruct the trustees to distribute such shares toward the satisfaction of our future obligations under the plan. The shares held in trust are not considered outstanding for purposes of calculating earnings per share until they are committed to be released. The trustees will vote the shares in accordance with their fiduciary duties. During the three months ended March 31, 2019, we contributed to the trust an additional 49,100 shares from our treasury and released 49,100 shares from the trust leaving 200 shares remaining in the trust as of March 31, 2019. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Mar. 31, 2019 | |
Fair Value Measurements [Abstract] | |
Fair Value Measurements | Note 12. Fair Value Measurements The carrying value of our financial instruments consisting of cash and cash equivalents, deferred compensation, and short term borrowings approximate their fair value. In each instance, fair value is determined after considering Level 1 inputs under the three-level fair value hierarchy. For fair value purposes, the carrying value of cash and cash equivalents approximates fair value due to the short maturity of those investments. The fair value of the assets held by the deferred compensation plan are based on the quoted market prices of the underlying funds which are held in registered investment companies. The carrying value of our revolving credit facilities, classified as short term borrowings, equals fair market value because the interest rate reflects current market rates. |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | Note 13. Earnings Per Share The following are reconciliations of the earnings available to common stockholders and the shares used in calculating basic and dilutive net earnings per common share (in thousands, except per share data): Three Months Ended March 31, Basic Net Earnings Per Common Share: 2019 2018 Earnings from continuing operations $ 13,104 $ 8,597 Loss from discontinued operations (888 ) (608 ) Net earnings available to common stockholders $ 12,216 $ 7,989 Weighted average common shares outstanding 22,422 22,499 Earnings from continuing operations per common share $ 0.58 $ 0.38 Loss from discontinued operations per common share (0.04 ) (0.02 ) Basic net earnings per common share $ 0.54 $ 0.36 Diluted Net Earnings Per Common Share: Earnings from continuing operations $ 13,104 $ 8,597 Loss from discontinued operations (888 ) (608 ) Net earnings available to common stockholders $ 12,216 $ 7,989 Weighted average common shares outstanding 22,422 22,499 Plus incremental shares from assumed conversions: Dilutive effect of restricted stock and performance stock 483 468 Weighted average common shares outstanding – Diluted 22,905 22,967 Earnings from continuing operations per common share $ 0.57 $ 0.37 Loss from discontinued operations per common share (0.04 ) (0.02 ) Diluted net earnings per common share $ 0.53 $ 0.35 The shares listed below were not included in the computation of diluted earnings per share because to do so would have been anti-dilutive for the periods presented or because they were excluded under the treasury method (in thousands): Three Months Ended March 31, 2019 2018 Restricted and performance shares 252 277 |
Industry Segments
Industry Segments | 3 Months Ended |
Mar. 31, 2019 | |
Industry Segments [Abstract] | |
Industry Segments | Note 14. Industry Segments We have two major reportable operating segments, each of which focuses on a specific line of replacement parts. Our Engine Management Segment manufactures and remanufactures ignition and emission parts, ignition wires, battery cables, fuel system parts and sensors for vehicle systems. Our Temperature Control Segment manufactures and remanufactures air conditioning compressors, air conditioning and heating parts, engine cooling system parts, power window accessories and windshield washer system parts. The following tables show our net sales, intersegment revenue and operating income by our operating segments (in thousands): Three Months Ended March 31, 2019 2018 Net Sales (a) Engine Management $ 213,189 $ 199,488 Temperature Control 68,924 60,231 All Other 1,653 2,107 Consolidated $ 283,766 $ 261,826 Intersegment Revenue (a) Engine Management $ 5,349 $ 5,991 Temperature Control 1,933 1,680 All Other (7,282 ) (7,671 ) Consolidated $ — $ — Operating Income Engine Management $ 22,344 $ 17,376 Temperature Control 2,050 831 All Other (6,437 ) (5,900 ) Consolidated $ 17,957 $ 12,307 (a) Segment net sales include intersegment sales in our Engine Management and Temperature Control segments. For the disaggregation of our net sales from contracts with customers by geographic area, major product group and major sales channels for each of our segments, see Note 15, “Net Sales.” |
Net Sales
Net Sales | 3 Months Ended |
Mar. 31, 2019 | |
Net Sales [Abstract] | |
Net Sales | Note 15. Net Sales Disaggregation of Net Sales We disaggregate our net sales from contracts with customers by geographic area, major product group, and major sales channels for each of our segments, as we believe it best depicts how the nature, amount, timing and uncertainty of our net sales are affected by economic factors. The following tables provide disaggregation of net sales information for the three months ended March 31, 2019 and 2018 (in thousands): Three months ended March 31, 2019 (a) Engine Management Temperature Control Other (b) Total Geographic Area: United States $ 187,894 $ 64,851 $ — $ 252,745 Canada 7,066 3,462 1,653 12,181 Mexico 4,488 155 — 4,643 Europe 3,097 157 — 3,254 Other foreign 10,644 299 — 10,943 Total $ 213,189 $ 68,924 $ 1,653 $ 283,766 Major Product Group: Ignition, emission control, fuel and safety related system products $ 176,061 $ — $ 1,392 $ 177,453 Wire and cable 37,128 — 80 37,208 Compressors — 39,811 (260 ) 39,551 Other climate control parts — 29,113 441 29,554 Total $ 213,189 $ 68,924 $ 1,653 $ 283,766 Major Sales Channel: Aftermarket $ 178,539 $ 60,541 $ 1,653 $ 240,733 OE/OES 29,140 7,875 — 37,015 Export 5,510 508 — 6,018 Total $ 213,189 $ 68,924 $ 1,653 $ 283,766 Three months ended March 31, 2018 (a) Engine Management Temperature Control Other (b) Total Geographic Area: United States $ 176,917 $ 56,201 $ — $ 233,118 Canada 7,804 3,301 2,107 13,212 Mexico 4,339 212 — 4,551 Europe 3,480 164 — 3,644 Other foreign 6,948 353 — 7,301 Total $ 199,488 $ 60,231 $ 2,107 $ 261,826 Major Product Group: Ignition, emission control, fuel and safety related system products $ 161,077 $ — $ 1,662 $ 162,739 Wire and cable 38,411 — 191 38,602 Compressors — 29,898 (56 ) 29,842 Other climate control parts — 30,333 310 30,643 Total $ 199,488 $ 60,231 $ 2,107 $ 261,826 Major Sales Channel: Aftermarket $ 169,310 $ 51,630 $ 2,107 $ 223,047 OE/OES 25,056 8,101 — 33,157 Export 5,122 500 — 5,622 Total $ 199,488 $ 60,231 $ 2,107 $ 261,826 (a) Segment net sales include intersegment sales in our Engine Management and Temperature Control segments. (b) Other consists of the elimination of intersegment sales from our Engine Management and Temperature Control segments as well as sales from our Canadian business unit that does not meet the criteria of a reportable operating segment. Intersegment compressor sales for the three months ended March 31, 2019 and 2018 exceeded third party sales from our Canadian business unit. Geographic Area We sell our line of products primarily in the United States, with additional sales in Canada, Mexico, Europe, Asia and Latin America. Sales are attributed to countries based upon the location of the customer. Our sales are substantially denominated in U.S. dollars. Major Product Group The Engine Management segment of the Company principally generates revenue from the sale of automotive engine replacement parts including ignition, emission control, fuel and safety related system products, and wire and cable parts. The Temperature Control segment of the Company principally generates revenue from the sale of automotive temperature control systems replacement parts including air conditioning compressors and other climate control parts. Major Sales Channel In the aftermarket channel, we sell our products to warehouse distributors and retailers. Our customers buy directly from us and sell directly to jobber stores, professional technicians and to “do-it-yourselfers” who perform automotive repairs on their personal vehicles. In the Original Equipment (“OE”) and Original Equipment Service (“OES”) channel, we sell our products to original equipment manufacturers who redistribute our products within their distribution network, independent dealerships and service dealer technicians. Lastly, in the Export channel, our domestic entities sell to customers outside the United States. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2019 | |
Commitments and Contingencies [Abstract] | |
Commitments and Contingencies | Note 16. Commitments and Contingencies Asbestos In 1986, we acquired a brake business, which we subsequently sold in March 1998 and which is accounted for as a discontinued operation in the accompanying statement of operations. When we originally acquired this brake business, we assumed future liabilities relating to any alleged exposure to asbestos-containing products manufactured by the seller of the acquired brake business. In accordance with the related purchase agreement, we agreed to assume the liabilities for all new claims filed on or after September 2001. Our ultimate exposure will depend upon the number of claims filed against us on or after September 2001, and the amounts paid for settlements, awards of asbestos-related damages, and defense of such claims. At March 31, 2019, approximately 1,490 cases were outstanding for which we may be responsible for any related liabilities. Since inception in September 2001 through March 31, 2019, the amounts paid for settled claims are approximately $27 million. We do not have insurance coverage for the indemnity and defense costs associated with the claims we face. In evaluating our potential asbestos-related liability, we have considered various factors including, among other things, an actuarial study of the asbestos related liabilities performed by an independent actuarial firm, our settlement amounts and whether there are any co-defendants, the jurisdiction in which lawsuits are filed, and the status and results of such claims. As is our accounting policy, we consider the advice of actuarial consultants with experience in assessing asbestos-related liabilities to estimate our potential claim liability. In addition, based on the information contained in the actuarial study and all other available information considered by us, we have concluded that no amount within the range of settlement payments was more likely than any other and, therefore, in assessing our asbestos liability we compare the low end of the range to our recorded liability to determine if an adjustment is required. The methodology used to project asbestos-related liabilities and costs in our actuarial study considered: (1) historical data available from publicly available studies; (2) an analysis of our recent claims history to estimate likely filing rates into the future; (3) an analysis of our currently pending claims; and (4) an analysis of our settlements to date in order to develop average settlement values. In accordance with our policy of performing an annual actuarial evaluation in the third quarter of each year, and whenever events or changes in circumstances indicate that additional provisions may be necessary, an actuarial study was performed as of August 31, 2018. The results of the August 31, 2018 study included an estimate of our undiscounted liability for settlement payments and awards of asbestos-related damages, excluding legal costs and any potential recovery from insurance carriers, ranging from $37.1 million to $56.9 million for the period through 2061. Based upon the results of the August 31, 2018 actuarial study, in September 2018 we increased our asbestos liability to $37.1 million, the low end of the range, and recorded an incremental pre-tax provision of $3.5 million in earnings (loss) from discontinued operations. In November 2018, we were involved in an asbestos liability case in California, in which a jury returned a verdict in favor of the plaintiff for the gross amount of $8.6 million in compensatory damages. Of this amount, we were held responsible for approximately $7.4 million. In February 2019, the court amended the verdict on the judgement, thereby increasing our responsibility to approximately $7.6 million. We plan to pursue all rights of appeal. While the verdict is being appealed, interest will accrue at a rate of ten percent (10%) per annum. As a result of the California asbestos liability case, in the fourth quarter of 2018, our actuarial firm revised the results of the August 31, 2018 study. The results of the revised actuarial study increased the low end of the estimated range of our undiscounted liability for settlement payments and awards of asbestos-related damages, excluding legal costs and any potential recovery from insurance carriers, from $37.1 million to $46.7 million, and increased the high end of the range from $56.9 million to $83.9 million for the period through 2061. Based upon the results of the revised actuarial study, in December 2018, and in accordance with our practice, we increased our asbestos liability to $46.7 million, the low end of the range, and recorded an additional incremental pre-tax provision of $10.1 million in earnings (loss) from discontinued operations. Future legal costs, which are expensed as incurred and reported in earnings (loss) from discontinued operations, are estimated, according to the revised study, to range from $45 million to $83.1 million. We plan to perform an annual actuarial evaluation during the third quarter of each year for the foreseeable future Other Litigation We are currently involved in various other legal claims and legal proceedings (some of which may involve substantial amounts), including claims related to commercial disputes, product liability, employment, and environmental. Although these legal claims and legal proceedings are subject to inherent uncertainties, based on our understanding and evaluation of the relevant facts and circumstances, we believe that the ultimate outcome of these matters will not, either individually or in the aggregate, have a material adverse effect on our . We may at any time determine that settling any of these matters is in our best interests, which settlement may include substantial payments. Warranties We generally warrant our products against certain manufacturing and other defects. These product warranties are provided for specific periods of time of the product depending on the nature of the product. As of March 31, 2019 and 2018, we have accrued $22.7 million and $20.6 million, respectively, for estimated product warranty claims included in accrued customer returns. The accrued product warranty costs are based primarily on historical experience of actual warranty claims. The following table provides the changes in our product warranties (in thousands): Three Months Ended March 31, 2019 2018 Balance, beginning of period $ 19,636 $ 20,929 Liabilities accrued for current year sales 26,396 21,242 Settlements of warranty claims (23,338 ) (21,611 ) Balance, end of period $ 22,694 $ 20,560 |
Subsequent Event
Subsequent Event | 3 Months Ended |
Mar. 31, 2019 | |
Subsequent Event [Abstract] | |
Subsequent Event | Note 17. Subsequent Event In April 2019, we acquired certain assets and liabilities of the Pollak business of Stoneridge, Inc. for approximately $40 million, subject to post-closing adjustments. The acquisition was funded through borrowings under our revolving credit facility with JPMorgan Chase Bank, N.A. Stoneridge’s Pollak business has manufacturing and distribution facilities in Canton, Massachusetts, El Paso, Texas, and Juarez, Mexico, and distributes a range of engine management products including sensors, switches, and connectors. The acquisition, to be reported as part of our Engine Management Segment, will enhance our growth opportunities in the OE/OES, heavy duty and commercial vehicle markets and add to our existing expertise in aftermarket distribution, product management and service. We will be relocating all production to our existing facilities, and are not acquiring any of the Pollak facilities or employees. We anticipate that the business will be fully integrated within 12 months. Revenues generated from the acquired business were approximately $45 million for the year ended December 31, 2018. In connection with the acquired business, we have not yet completed our preliminary assessment of the fair value of the assets acquired and liabilities assumed, including the valuation of intangible assets and goodwill due to the proximity of the acquisition to the issuance of these consolidated financial statements. Accordingly, and as permitted by FASB ASC, Business Combinations |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2019 | |
Summary of Significant Accounting Policies [Abstract] | |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements Standards that were adopted Leases Effective January 1, 2019, we adopted ASU 2016-02, Leases, In adopting ASU 2016-02, we elected the package of practical expedients permitted under the transition guidance within the new standard, which among other things, allowed us to carry forward our historical lease identification and lease classifications. In addition, upon adoption, we evaluated all of our leases, and in particular our real estate leases, to determine the appropriate lease term. In evaluating our leases, we determined that the lease term for one of our leases should be lengthened, as we concluded that it is reasonably certain that we will exercise the five-year renewal option in the lease. The lease term for all of our other leases remained unchanged. Additionally, we elected to apply the provisions of ASU 2018-11, Targeted Improvements Adoption of the new standard resulted in the following changes in our consolidated balance sheet as of January 1, 2019 (in thousands): Balance at December 31, 2018 Adjustments Due to Adoption of ASU 2016-02 Balance at January 1, 2019 Balance Sheet Operating lease right-of-use asset $ — $ 38,580 $ 38,580 Sundry payables and accrued expenses 31,033 7,232 38,265 Noncurrent operating lease liabilities — 31,348 31,348 See Note 3 for further information regarding our adoption of ASU 2016-02. Standards that are not yet adopted as of March 31, 2019 The following table provides a brief description of recently issued accounting pronouncements that have not yet been adopted as of March 31, 2019, and that could have an impact on our financial statements: Standard Description Date of adoption Effects on the financial statements or other significant matters ASU Simplifying the Test for Goodwill Impairment This standard is intended to simplify the accounting for goodwill impairment. ASU 2017-04 removes Step 2 of the test, which requires a hypothetical purchase price allocation. A goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. January 1, 2020, with early adoption permitted The new standard should be applied prospectively. We will consider the new standard when performing our annual impairment test and evaluate when we will adopt the new standard. ASU 2016-13, Financial Instruments – Credit Losses This standard creates a single model to measure impairment on financial assets, which includes trade account receivables. An estimate of expected credit losses on trade account receivables over their contractual life will be required to be recorded at inception, based on historical information, current conditions, and reasonable and supportable forecasts. January 1, 2020, with early adoption permitted We do not anticipate that the adoption of this standard will have a material impact on the manner in which we estimate our allowance for doubtful accounts on trade accounts receivable, or on our consolidated financial statements. |
Leases (Policies)
Leases (Policies) | 3 Months Ended |
Mar. 31, 2019 | |
Leases [Abstract] | |
Leases | Significant Accounting Policy We determine if an arrangement is a lease at inception. For operating leases, we include and report operating lease right-of-use (“ROU”) assets, sundry payables and accrued expenses, and noncurrent operating lease liabilities on our consolidated balance sheet for leases with a term longer than twelve months. Finance leases are reported on our consolidated balance sheets in property, plant and equipment, current portion of other debt, and long-term debt. Operating lease ROU assets and operating lease liabilities are recognized at the lease commencement date based on the present value of the total lease payments over the lease term. Our ROU assets represent the right to use an underlying leased asset over the existing lease term, and the corresponding lease liabilities represent our obligation to make lease payments arising from the lease agreement. As most of our leases do not provide for an implicit rate, we use our secured incremental borrowing rate based on the information available when determining the present value of our lease payments. Our lease terms may include options to terminate, or extend, our lease when it is reasonably certain that we will execute the option. Lease agreements may contain lease and non-lease components, which are generally accounted for separately. Operating lease expense is recognized on a straight-line basis over the lease term. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Summary of Significant Accounting Policies [Abstract] | |
Impact of Adopting ASU 2016-02 on Consolidated Balance Sheet | Adoption of the new standard resulted in the following changes in our consolidated balance sheet as of January 1, 2019 (in thousands): Balance at December 31, 2018 Adjustments Due to Adoption of ASU 2016-02 Balance at January 1, 2019 Balance Sheet Operating lease right-of-use asset $ — $ 38,580 $ 38,580 Sundry payables and accrued expenses 31,033 7,232 38,265 Noncurrent operating lease liabilities — 31,348 31,348 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Leases [Abstract] | |
Quantitative Disclosures Related to Operating Leases | The following tables provide quantitative disclosures related to our operating leases as of and for the three months ended March 31, 2019: Balance Sheet Information March 31, 2019 Assets Operating lease right-of-use assets $ 37,301 Liabilities Sundry payables and accrued expenses $ 8,148 Noncurrent operating lease liabilities 30,130 Total operating lease liabilities $ 38,278 Expense and Cash Flow Information Three Months Ended March 31, 2019 Lease Expense Operating lease expense (a) $ 2,224 Supplemental Cash Flow Information Cash Paid for the amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 2,161 Right-of-use assets obtained in exchange for new lease obligations: Operating leases $ 566 (a) Excludes expenses related to non-lease components such as maintenance, property taxes, etc., and operating lease expense for leases with an initial term of 12 months or less, which is not material. Weighted Average Remaining Lease Term Operating leases 6.3 Years Weighted Average Discount Rate Operating leases 3.8 % |
Minimum Lease Payments | At March 31, 2019, we are obligated to make minimum lease payments through 2028, under operating leases, which are as follows (in thousands): 2019 $ 6,413 2020 7,597 2021 6,983 2022 5,785 2023 5,277 Thereafter 11,316 Total lease payments $ 43,371 Less: Interest (5,093 ) Present value of lease liabilities $ 38,278 |
Restructuring and Integration_2
Restructuring and Integration Expenses (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Restructuring Reserve [Abstract] | |
Restructuring and Integration Expense (Income) | The aggregated liabilities included in “sundry payables and accrued expenses” and “other accrued liabilities” in the consolidated balance sheet relating to the restructuring and integration activities as of December 31, 2018 and March 31, 2019 and activity for the three months ended March 31, 2019 consisted of the following (in thousands): Workforce Reduction Other Exit Costs Total Exit activity liability at December 31, 2018 $ 742 $ — $ 742 Restructuring and integration costs: Amounts provided for during 2019 — — — Cash payments (60 ) — (60 ) Exit activity liability at March 31 $ 682 $ — $ 682 |
Plant Rationalization Program [Member] | |
Restructuring Reserve [Abstract] | |
Restructuring and Integration Expense (Income) | Activity, by segment, for the three months ended March 31, 2019 related to our plant rationalization program consisted of the following (in thousands): Engine Management Temperature Control Other Total Exit activity liability at December 31 $ — $ 304 $ — $ 304 Restructuring and integration costs: Amounts provided for during 2019 — — — — Cash payments — (29 ) — (29 ) Exit activity liability at March 31, 2019 $ — $ 275 $ — $ 275 |
Orlando Plant Rationalization Program [Member] | |
Restructuring Reserve [Abstract] | |
Restructuring and Integration Expense (Income) | Activity, by segment, for the three months ended March 31, 2019 related to our Orlando plant rationalization program consisted of the following (in thousands): Engine Management Temperature Control Other Total Exit activity liability at December 31 $ 438 $ — $ — $ 438 Restructuring and integration costs: Amounts provided for during 2019 — — — — Cash payments (31 ) — — (31 ) Exit activity liability at March 31, 2019 $ 407 $ — $ — $ 407 |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Inventories [Abstract] | |
Inventories | Inventories, which are stated at the lower of cost (determined by means of the first-in, first-out method) and net realizable value, consist of the following: March 31, 2019 December 31, 2018 (In thousands) Finished goods $ 239,889 $ 226,802 Work in process 9,174 10,527 Raw materials 116,188 112,482 Subtotal 365,251 349,811 Unreturned customer inventories 19,784 20,484 Total inventories $ 385,035 $ 370,295 |
Acquired Intangible Assets (Tab
Acquired Intangible Assets (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Acquired Intangible Assets [Abstract] | |
Acquired Identifiable Intangible Assets | Acquired identifiable intangible assets consist of the following: March 31, 2019 December 31, 2018 (In thousands) Customer relationships $ 87,256 $ 87,195 Trademarks and trade names 6,800 6,800 Non-compete agreements 3,193 3,193 Patents 723 723 Supply agreements 800 800 Leaseholds 160 160 Total acquired intangible assets 98,932 98,871 Less accumulated amortization (1) (53,184 ) (51,391 ) Net acquired intangible assets $ 45,748 $ 47,480 (1) Applies to all intangible assets, except for trademarks and trade names totaling $5.2 million, which have indefinite useful lives and, as such, are not being amortized. |
Credit Facilities and Long-Te_2
Credit Facilities and Long-Term Debt (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Credit Facilities and Long-Term Debt [Abstract] | |
Summary of Total Debt Outstanding | Total debt outstanding is summarized as follows: March 31, 2019 December 31, 2018 (In thousands) Revolving credit facilities $ 78,717 $ 43,689 Other (1) 5,184 5,530 Total debt $ 83,901 $ 49,219 Current maturities of debt $ 83,740 $ 49,066 Long-term debt 161 153 Total debt $ 83,901 $ 49,219 (1) Other includes borrowings under our Polish overdraft facility of Zloty 19 million (approximately $5 million) and Zloty 19.9 million (approximately $5.3 million) as of March 31, 2019 and December 31, 2018, respectively. |
Stock-Based Compensation Plans
Stock-Based Compensation Plans (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Stock-Based Compensation Plans [Abstract] | |
Restricted and Performance-based Share Activity | Our restricted and performance-based share activity was as follows for the three months ended March 31, 2019: Shares Weighted Average Grant Date Fair Value Per Share Balance at December 31, 2018 870,041 $ 34.59 Granted — — Vested (17,807 ) 26.50 Forfeited (2,000 ) 44.95 Balance at March 31, 2019 850,234 $ 34.73 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
Reconciliations of Earnings Available to Common Stockholders and Shares used in Calculating Basic and Dilutive Net Earnings per Common Share | The following are reconciliations of the earnings available to common stockholders and the shares used in calculating basic and dilutive net earnings per common share (in thousands, except per share data): Three Months Ended March 31, Basic Net Earnings Per Common Share: 2019 2018 Earnings from continuing operations $ 13,104 $ 8,597 Loss from discontinued operations (888 ) (608 ) Net earnings available to common stockholders $ 12,216 $ 7,989 Weighted average common shares outstanding 22,422 22,499 Earnings from continuing operations per common share $ 0.58 $ 0.38 Loss from discontinued operations per common share (0.04 ) (0.02 ) Basic net earnings per common share $ 0.54 $ 0.36 Diluted Net Earnings Per Common Share: Earnings from continuing operations $ 13,104 $ 8,597 Loss from discontinued operations (888 ) (608 ) Net earnings available to common stockholders $ 12,216 $ 7,989 Weighted average common shares outstanding 22,422 22,499 Plus incremental shares from assumed conversions: Dilutive effect of restricted stock and performance stock 483 468 Weighted average common shares outstanding – Diluted 22,905 22,967 Earnings from continuing operations per common share $ 0.57 $ 0.37 Loss from discontinued operations per common share (0.04 ) (0.02 ) Diluted net earnings per common share $ 0.53 $ 0.35 |
Anti-dilutive Securities Excluded from Computation of Earnings per Share | The shares listed below were not included in the computation of diluted earnings per share because to do so would have been anti-dilutive for the periods presented or because they were excluded under the treasury method (in thousands): Three Months Ended March 31, 2019 2018 Restricted and performance shares 252 277 |
Industry Segments (Tables)
Industry Segments (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Industry Segments [Abstract] | |
Sales and Operating Income by Operating Segments | The following tables show our net sales, intersegment revenue and operating income by our operating segments (in thousands): Three Months Ended March 31, 2019 2018 Net Sales (a) Engine Management $ 213,189 $ 199,488 Temperature Control 68,924 60,231 All Other 1,653 2,107 Consolidated $ 283,766 $ 261,826 Intersegment Revenue (a) Engine Management $ 5,349 $ 5,991 Temperature Control 1,933 1,680 All Other (7,282 ) (7,671 ) Consolidated $ — $ — Operating Income Engine Management $ 22,344 $ 17,376 Temperature Control 2,050 831 All Other (6,437 ) (5,900 ) Consolidated $ 17,957 $ 12,307 (a) Segment net sales include intersegment sales in our Engine Management and Temperature Control segments. |
Net Sales (Tables)
Net Sales (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Net Sales [Abstract] | |
Disaggregation of Net Sales | The following tables provide disaggregation of net sales information for the three months ended March 31, 2019 and 2018 (in thousands): Three months ended March 31, 2019 (a) Engine Management Temperature Control Other (b) Total Geographic Area: United States $ 187,894 $ 64,851 $ — $ 252,745 Canada 7,066 3,462 1,653 12,181 Mexico 4,488 155 — 4,643 Europe 3,097 157 — 3,254 Other foreign 10,644 299 — 10,943 Total $ 213,189 $ 68,924 $ 1,653 $ 283,766 Major Product Group: Ignition, emission control, fuel and safety related system products $ 176,061 $ — $ 1,392 $ 177,453 Wire and cable 37,128 — 80 37,208 Compressors — 39,811 (260 ) 39,551 Other climate control parts — 29,113 441 29,554 Total $ 213,189 $ 68,924 $ 1,653 $ 283,766 Major Sales Channel: Aftermarket $ 178,539 $ 60,541 $ 1,653 $ 240,733 OE/OES 29,140 7,875 — 37,015 Export 5,510 508 — 6,018 Total $ 213,189 $ 68,924 $ 1,653 $ 283,766 Three months ended March 31, 2018 (a) Engine Management Temperature Control Other (b) Total Geographic Area: United States $ 176,917 $ 56,201 $ — $ 233,118 Canada 7,804 3,301 2,107 13,212 Mexico 4,339 212 — 4,551 Europe 3,480 164 — 3,644 Other foreign 6,948 353 — 7,301 Total $ 199,488 $ 60,231 $ 2,107 $ 261,826 Major Product Group: Ignition, emission control, fuel and safety related system products $ 161,077 $ — $ 1,662 $ 162,739 Wire and cable 38,411 — 191 38,602 Compressors — 29,898 (56 ) 29,842 Other climate control parts — 30,333 310 30,643 Total $ 199,488 $ 60,231 $ 2,107 $ 261,826 Major Sales Channel: Aftermarket $ 169,310 $ 51,630 $ 2,107 $ 223,047 OE/OES 25,056 8,101 — 33,157 Export 5,122 500 — 5,622 Total $ 199,488 $ 60,231 $ 2,107 $ 261,826 (a) Segment net sales include intersegment sales in our Engine Management and Temperature Control segments. (b) Other consists of the elimination of intersegment sales from our Engine Management and Temperature Control segments as well as sales from our Canadian business unit that does not meet the criteria of a reportable operating segment. Intersegment compressor sales for the three months ended March 31, 2019 and 2018 exceeded third party sales from our Canadian business unit. |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Commitments and Contingencies [Abstract] | |
Changes in Product Warranties | The following table provides the changes in our product warranties (in thousands): Three Months Ended March 31, 2019 2018 Balance, beginning of period $ 19,636 $ 20,929 Liabilities accrued for current year sales 26,396 21,242 Settlements of warranty claims (23,338 ) (21,611 ) Balance, end of period $ 22,694 $ 20,560 |
Basis of Presentation (Details)
Basis of Presentation (Details) | Mar. 31, 2019 |
Basis of Presentation [Abstract] | |
Equity ownership in entities included in consolidated financial statements, minimum | 50.00% |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
New Accounting Pronouncements [Abstract] | ||
Renewal option period | 5 years | |
Balance Sheet [Abstract] | ||
Operating lease right-of-use asset | $ 37,301 | $ 0 |
Sundry payables and accrued expenses | 32,116 | 31,033 |
Noncurrent operating lease liabilities | $ 30,130 | 0 |
ASU 2016-02 [Member] | ||
Balance Sheet [Abstract] | ||
Operating lease right-of-use asset | 38,580 | |
Sundry payables and accrued expenses | 38,265 | |
Noncurrent operating lease liabilities | 31,348 | |
ASU 2016-02 [Member] | Adjustments due to Adoption of ASU 2016-02 [Member] | ||
Balance Sheet [Abstract] | ||
Operating lease right-of-use asset | 38,580 | |
Sundry payables and accrued expenses | 7,232 | |
Noncurrent operating lease liabilities | $ 31,348 |
Leases (Details)
Leases (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2019 | Dec. 31, 2018 | ||
Quantitative Lease Disclosures [Abstract] | |||
Renewal option period | 5 years | ||
Assets [Abstract] | |||
Operating lease right-of-use assets | $ 37,301 | $ 0 | |
Liabilities [Abstract] | |||
Sundry payables and accrued expenses | 8,148 | ||
Noncurrent operating lease liabilities | 30,130 | $ 0 | |
Present value of lease liabilities | 38,278 | ||
Lease Expense [Abstract] | |||
Operating lease expense | [1] | 2,224 | |
Cash Paid for the amounts included in the measurement of lease liabilities [Abstract] | |||
Operating cash flows from operating leases | 2,161 | ||
Right-of-use assets obtained in exchange for new lease obligations [Abstract] | |||
Operating leases | $ 566 | ||
Operating Leases [Abstract] | |||
Weighted average remaining lease term | 6 years 3 months 18 days | ||
Weighted average discount rate | 3.80% | ||
Minimum Lease Payments [Abstract] | |||
2019 | $ 6,413 | ||
2020 | 7,597 | ||
2021 | 6,983 | ||
2022 | 5,785 | ||
2023 | 5,277 | ||
Thereafter | 11,316 | ||
Total lease payments | 43,371 | ||
Less: Interest | (5,093) | ||
Present value of lease liabilities | $ 38,278 | ||
Maximum [Member] | |||
Quantitative Lease Disclosures [Abstract] | |||
Remaining operating lease terms | 10 years | ||
[1] | Excludes expenses related to non-lease components such as maintenance, property taxes, etc., and operating lease expense for leases with an initial term of 12 months or less, which is not material. |
Business Acquisitions and Inv_2
Business Acquisitions and Investments (Details) - Foshan GWO YNG SMP Vehicle Climate Control & Cooling Products Co. Ltd. [Member] $ in Millions | 1 Months Ended | |||
Mar. 31, 2018USD ($) | Mar. 31, 2019 | Mar. 31, 2018CNY (¥) | Apr. 30, 2014USD ($) | |
Business Combination, Description [Abstract] | ||||
Percentage of equity interest acquired in joint venture | 15.00% | 65.00% | 15.00% | 50.00% |
Investment in unconsolidated affiliates | $ 4.2 | ¥ 26,475,583 | $ 14 | |
Purchase price payment | $ 0.7 |
Restructuring and Integration_3
Restructuring and Integration Expenses (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Plant Rationalization Program [Abstract] | ||
Net proceeds from sale of Grapevine, Texas facility | $ 4,801 | $ 0 |
Restructuring and integration activities [Roll Forward] | ||
Exit activity liability, beginning of period | 742 | |
Restructuring and integration costs [Abstract] | ||
Amounts provided for during 2019 | 0 | |
Cash payments | (60) | |
Exit activity liability, end of period | 682 | |
Plant Rationalization Program [Member] | ||
Plant Rationalization Program [Abstract] | ||
Net proceeds from sale of Grapevine, Texas facility | 4,801 | |
Restructuring and integration activities [Roll Forward] | ||
Exit activity liability, beginning of period | 304 | |
Restructuring and integration costs [Abstract] | ||
Amounts provided for during 2019 | 0 | |
Cash payments | (29) | |
Exit activity liability, end of period | 275 | |
Orlando Plant Rationalization Program [Member] | ||
Restructuring and integration activities [Roll Forward] | ||
Exit activity liability, beginning of period | 438 | |
Restructuring and integration costs [Abstract] | ||
Amounts provided for during 2019 | 0 | |
Cash payments | (31) | |
Exit activity liability, end of period | 407 | |
Workforce Reduction [Member] | ||
Restructuring and integration activities [Roll Forward] | ||
Exit activity liability, beginning of period | 742 | |
Restructuring and integration costs [Abstract] | ||
Amounts provided for during 2019 | 0 | |
Cash payments | (60) | |
Exit activity liability, end of period | 682 | |
Other Exit Costs [Member] | ||
Restructuring and integration activities [Roll Forward] | ||
Exit activity liability, beginning of period | 0 | |
Restructuring and integration costs [Abstract] | ||
Amounts provided for during 2019 | 0 | |
Cash payments | 0 | |
Exit activity liability, end of period | 0 | |
Engine Management [Member] | Plant Rationalization Program [Member] | ||
Restructuring and integration activities [Roll Forward] | ||
Exit activity liability, beginning of period | 0 | |
Restructuring and integration costs [Abstract] | ||
Amounts provided for during 2019 | 0 | |
Cash payments | 0 | |
Exit activity liability, end of period | 0 | |
Engine Management [Member] | Orlando Plant Rationalization Program [Member] | ||
Restructuring and integration activities [Roll Forward] | ||
Exit activity liability, beginning of period | 438 | |
Restructuring and integration costs [Abstract] | ||
Amounts provided for during 2019 | 0 | |
Cash payments | (31) | |
Exit activity liability, end of period | 407 | |
Temperature Control [Member] | Plant Rationalization Program [Member] | ||
Restructuring and integration activities [Roll Forward] | ||
Exit activity liability, beginning of period | 304 | |
Restructuring and integration costs [Abstract] | ||
Amounts provided for during 2019 | 0 | |
Cash payments | (29) | |
Exit activity liability, end of period | 275 | |
Temperature Control [Member] | Orlando Plant Rationalization Program [Member] | ||
Restructuring and integration activities [Roll Forward] | ||
Exit activity liability, beginning of period | 0 | |
Restructuring and integration costs [Abstract] | ||
Amounts provided for during 2019 | 0 | |
Cash payments | 0 | |
Exit activity liability, end of period | 0 | |
Other [Member] | Plant Rationalization Program [Member] | ||
Restructuring and integration activities [Roll Forward] | ||
Exit activity liability, beginning of period | 0 | |
Restructuring and integration costs [Abstract] | ||
Amounts provided for during 2019 | 0 | |
Cash payments | 0 | |
Exit activity liability, end of period | 0 | |
Other [Member] | Orlando Plant Rationalization Program [Member] | ||
Restructuring and integration activities [Roll Forward] | ||
Exit activity liability, beginning of period | 0 | |
Restructuring and integration costs [Abstract] | ||
Amounts provided for during 2019 | 0 | |
Cash payments | 0 | |
Exit activity liability, end of period | $ 0 |
Sale of Receivables (Details)
Sale of Receivables (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Sale of Receivables [Abstract] | ||
Sale of receivables to financial institutions | $ 171.1 | $ 157.5 |
Charge related to sale of receivables | $ 5.7 | $ 5.4 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Inventories [Abstract] | ||
Finished goods | $ 239,889 | $ 226,802 |
Work in process | 9,174 | 10,527 |
Raw materials | 116,188 | 112,482 |
Subtotal | 365,251 | 349,811 |
Unreturned customer inventories | 19,784 | 20,484 |
Total inventories | $ 385,035 | $ 370,295 |
Acquired Intangible Assets (Det
Acquired Intangible Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2018 | ||
Indefinite Lived Intangible Assets [Abstract] | ||||
Total acquired intangible assets | $ 98,932 | $ 98,871 | ||
Less accumulated amortization | [1] | (53,184) | (51,391) | |
Net acquired intangible assets | 45,748 | 47,480 | ||
Amortization of acquired intangible assets [Abstract] | ||||
Amortization expense | 1,800 | $ 1,900 | ||
Estimated amortization expense, remainder of 2019 | 4,600 | |||
Estimated amortization expense in year 2020 | 5,900 | |||
Estimated amortization expense in year 2021 | 4,500 | |||
Estimated amortization expense in year 2022 | 3,000 | |||
Estimated amortization expense in years 2023 through 2031 | 22,500 | |||
Customer Relationships [Member] | ||||
Indefinite Lived Intangible Assets [Abstract] | ||||
Total acquired intangible assets | 87,256 | 87,195 | ||
Trademarks and Trade Names [Member] | ||||
Indefinite Lived Intangible Assets [Abstract] | ||||
Total acquired intangible assets | 6,800 | 6,800 | ||
Intangible assets acquired [Abstract] | ||||
Amount of acquired indefinite-lived intangible assets | 5,200 | |||
Non-compete Agreements [Member] | ||||
Indefinite Lived Intangible Assets [Abstract] | ||||
Total acquired intangible assets | 3,193 | 3,193 | ||
Patents [Member] | ||||
Indefinite Lived Intangible Assets [Abstract] | ||||
Total acquired intangible assets | 723 | 723 | ||
Supply Agreements [Member] | ||||
Indefinite Lived Intangible Assets [Abstract] | ||||
Total acquired intangible assets | 800 | 800 | ||
Leaseholds [Member] | ||||
Indefinite Lived Intangible Assets [Abstract] | ||||
Total acquired intangible assets | $ 160 | $ 160 | ||
[1] | Applies to all intangible assets, except for trademarks and trade names totaling $5.2 million, which have indefinite useful lives and, as such, are not being amortized. |
Credit Facilities and Long-Te_3
Credit Facilities and Long-Term Debt, Total Debt Outstanding (Details) $ in Thousands, zł in Millions | Mar. 31, 2019USD ($) | Mar. 31, 2019PLN (zł) | Dec. 31, 2018USD ($) | Dec. 31, 2018PLN (zł) | |
Credit Facilities and Long-Term Debt [Abstract] | |||||
Revolving credit facilities | $ 78,717 | $ 43,689 | |||
Other | [1] | 5,184 | 5,530 | ||
Total debt | 83,901 | 49,219 | |||
Current maturities of debt | 83,740 | 49,066 | |||
Long-term debt | 161 | 153 | |||
HSBC Bank Polska S.A. [Member] | |||||
Line of Credit Facility [Abstract] | |||||
Overdraft facility | $ 5,000 | zł 19 | $ 5,300 | zł 19.9 | |
[1] | Other includes borrowings under our Polish overdraft facility of Zloty 19 million (approximately $5 million) and Zloty 19.9 million (approximately $5.3 million) as of March 31, 2019 and December 31, 2018, respectively. |
Credit Facilities and Long-Te_4
Credit Facilities and Long-Term Debt, Revolving Credit Facility (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2018 | |
Line of Credit Facility [Abstract] | |||
Notes payable | $ 78,717 | $ 43,689 | |
Fixed Assets Not Included in Borrowing Base [Member] | Maximum [Member] | |||
Line of Credit Facility [Abstract] | |||
Borrowing base | $ 25,000 | ||
Borrowing base percentage | 10.00% | ||
Fixed Assets Included in Borrowing Base [Member] | |||
Line of Credit Facility [Abstract] | |||
Borrowing base | $ 31,250 | ||
Borrowing base percentage | 12.50% | ||
JPMorgan Chase Bank Credit Agreement [Member] | |||
Line of Credit Facility [Abstract] | |||
Maximum borrowing capacity | $ 250,000 | ||
Line of credit facility, additional borrowing capacity | $ 50,000 | ||
Maturity date | Dec. 31, 2023 | ||
Additional available borrowing capacity | $ 168,100 | ||
Notes payable | $ 78,717 | $ 43,689 | |
Weighted average interest rate | 3.80% | 3.90% | |
JPMorgan Chase Bank Credit Agreement [Member] | LIBOR [Member] | Minimum [Member] | |||
Line of Credit Facility [Abstract] | |||
Margin on variable rate | 1.25% | ||
JPMorgan Chase Bank Credit Agreement [Member] | LIBOR [Member] | Maximum [Member] | |||
Line of Credit Facility [Abstract] | |||
Margin on variable rate | 1.75% | ||
JPMorgan Chase Bank Credit Agreement [Member] | Alternate Base Rate [Member] | |||
Line of Credit Facility [Abstract] | |||
Notes payable | $ 3,689 | $ 3,717 | |
Weighted average interest rate | 5.80% | 5.80% | |
Average daily loan balance outstanding | $ 1,400 | $ 1,200 | $ 1,800 |
JPMorgan Chase Bank Credit Agreement [Member] | Alternate Base Rate [Member] | Minimum [Member] | |||
Line of Credit Facility [Abstract] | |||
Margin on variable rate | 0.25% | ||
JPMorgan Chase Bank Credit Agreement [Member] | Alternate Base Rate [Member] | Maximum [Member] | |||
Line of Credit Facility [Abstract] | |||
Margin on variable rate | 0.75% | ||
JPMorgan Chase Bank Credit Agreement [Member] | Direct Borrowings [Member] | |||
Line of Credit Facility [Abstract] | |||
Notes payable | $ 75,000 | $ 40,000 | |
Weighted average interest rate | 3.60% | 3.40% | |
Line of Credit [Member] | |||
Line of Credit Facility [Abstract] | |||
Coverage ratio | 1 | ||
Line of Credit [Member] | Pay Cash Dividend [Member] | |||
Line of Credit Facility [Abstract] | |||
Agreement permissions | $ 20,000 | ||
Line of Credit [Member] | Stock Repurchase [Member] | |||
Line of Credit Facility [Abstract] | |||
Agreement permissions | 20,000 | ||
Line of Credit [Member] | Stock Repurchase [Member] | Minimum [Member] | |||
Line of Credit Facility [Abstract] | |||
Borrowing base | 25,000 | ||
Line of Credit [Member] | Cash Dividend And Stock Repurchases [Member] | Minimum [Member] | |||
Line of Credit Facility [Abstract] | |||
Agreement permissions | 20,000 | ||
Line of Credit [Member] | Canada [Member] | |||
Line of Credit Facility [Abstract] | |||
Maximum borrowing capacity | $ 10,000 |
Credit Facilities and Long-Te_5
Credit Facilities and Long-Term Debt, Polish Overdraft Facility (Details) - HSBC Bank Polska S.A. [Member] zł in Millions, $ in Millions | 3 Months Ended | |||
Mar. 31, 2019USD ($) | Mar. 31, 2019PLN (zł) | Dec. 31, 2018USD ($) | Dec. 31, 2018PLN (zł) | |
Line of Credit Facility [Abstract] | ||||
Maximum borrowing capacity | $ 7.8 | zł 30 | ||
Overdraft facility expiration date | Dec. 31, 2019 | |||
Overdraft facility | $ 5 | zł 19 | $ 5.3 | zł 19.9 |
1M WIBOR [Member] | ||||
Line of Credit Facility [Abstract] | ||||
Basis spread on variable rate | 0.75% |
Credit Facilities and Long-Te_6
Credit Facilities and Long-Term Debt, Deferred Financing Costs (Details) - USD ($) $ in Millions | Mar. 31, 2019 | Dec. 31, 2018 |
Deferred Financing Costs [Abstract] | ||
Deferred financing costs | $ 1 | $ 1.1 |
Amortization of financing costs reminder of 2019 | 0.2 | |
Amortization of financing costs in 2020 | 0.2 | |
Amortization of financing costs in 2021 | 0.2 | |
Amortization of financing costs in 2022 | 0.2 | |
Amortization of financing costs in 2023 | $ 0.2 |
Stock-Based Compensation Plan_2
Stock-Based Compensation Plans (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Additional Disclosures [Abstract] | ||
Compensation expense, gross | $ 1,900 | $ 1,917 |
Performance-based Shares [Member] | ||
Restricted and Performance Stock Grants [Abstract] | ||
Measuring period for performance-based shares | 3 years | |
Restricted Shares [Member] | Employees [Member] | ||
Restricted and Performance Stock Grants [Abstract] | ||
Estimated forfeitures | 5.00% | |
Restricted Shares [Member] | Executives [Member] | ||
Restricted and Performance Stock Grants [Abstract] | ||
Estimated forfeitures | 0.00% | |
Restricted Shares [Member] | Directors [Member] | ||
Restricted and Performance Stock Grants [Abstract] | ||
Estimated forfeitures | 0.00% | |
Restricted Shares [Member] | Age 60 [Member] | ||
Restricted and Performance Stock Grants [Abstract] | ||
Vesting percentage | 25.00% | |
Restricted Shares [Member] | Age 63 [Member] | ||
Restricted and Performance Stock Grants [Abstract] | ||
Vesting percentage | 25.00% | |
Restricted Shares [Member] | Age 65 [Member] | ||
Restricted and Performance Stock Grants [Abstract] | ||
Vesting percentage | 100.00% | |
Restricted and Performance-Based Shares [Member] | ||
Restricted and performance-based stock, shares [Roll Forward] | ||
Beginning of period (in shares) | 870,041 | |
Granted (in shares) | 0 | |
Vested (in shares) | (17,807) | |
Forfeited (in shares) | (2,000) | |
End of period (in shares) | 850,234 | |
Restricted and performance-based stock, weighted average grant date fair value per share [Roll Forward] | ||
Beginning of period (in dollars per share) | $ 34.59 | |
Granted (in dollars per share) | 0 | |
Vested (in dollars per share) | 26.50 | |
Forfeited (in dollars per share) | 44.95 | |
End of period (in dollars per share) | $ 34.73 | |
Additional Disclosures [Abstract] | ||
Compensation expense, gross | $ 1,900 | 1,900 |
Compensation expense, net of tax | 1,400 | $ 1,400 |
Unamortized compensation expense | $ 13,800 | |
Restricted and Performance-Based Shares [Member] | Employees [Member] | ||
Additional Disclosures [Abstract] | ||
Weighted average period of recognition for unrecognized compensation expense | 4 years | |
Restricted and Performance-Based Shares [Member] | Directors [Member] | ||
Additional Disclosures [Abstract] | ||
Weighted average period of recognition for unrecognized compensation expense | 29 days | |
Restricted and Performance-Based Shares [Member] | Executives and Directors [Member] | ||
Restricted and Performance Stock Grants [Abstract] | ||
Expiration of vesting period | 3 years | |
Restricted and Performance-Based Shares [Member] | Executives and Directors [Member] | Minimum [Member] | ||
Restricted and Performance Stock Grants [Abstract] | ||
Post vesting holding period for restricted and performance shares issued | 1 year | |
Restricted and Performance-Based Shares [Member] | Executives and Directors [Member] | Maximum [Member] | ||
Restricted and Performance Stock Grants [Abstract] | ||
Post vesting holding period for restricted and performance shares issued | 2 years |
Employee Benefits (Details)
Employee Benefits (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2019USD ($)Employeeshares | |
Benefit Plan [Abstract] | |
Number of former union employees covered by the plan | Employee | 19 |
Supplemental Executive Retirement Plan [Member] | |
Defined Contribution Pension and Other Postretirement Plans Disclosure [Abstract] | |
Employer discretionary contribution amount | $ | $ 0.3 |
Employee Stock Ownership Plan and Trust (ESOP) [Member] | |
Employee Stock Ownership Plan (ESOP), Debt Structure [Abstract] | |
Additional shares contributed to ESOP (in shares) | 49,100 |
Shares released from trust (in shares) | 49,100 |
Total remaining balance of shares in the ESOP (in shares) | 200 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Basic Net Earnings Per Common Share [Abstract] | ||
Earnings from continuing operations | $ 13,104 | $ 8,597 |
Loss from discontinued operations | (888) | (608) |
Net earnings available to common stockholders | $ 12,216 | $ 7,989 |
Weighted average common shares outstanding (in shares) | 22,421,795 | 22,498,510 |
Earnings from continuing operations per common share (in dollars per share) | $ 0.58 | $ 0.38 |
Loss from discontinued operations per common share (in dollars per share) | (0.04) | (0.02) |
Net earnings per common share - Basic (in dollars per share) | $ 0.54 | $ 0.36 |
Diluted Net Earnings Per Common Share [Abstract] | ||
Earnings from continuing operations | $ 13,104 | $ 8,597 |
Loss from discontinued operations | (888) | (608) |
Net earnings available to common stockholders | $ 12,216 | $ 7,989 |
Weighted average common shares outstanding (in shares) | 22,421,795 | 22,498,510 |
Plus incremental shares from assumed conversions [Abstract] | ||
Dilutive effect of restricted stock and performance stock (in shares) | 483,000 | 468,000 |
Weighted average common shares outstanding - Diluted (in shares) | 22,905,364 | 22,967,281 |
Earnings from continuing operations per common share (in dollars per share) | $ 0.57 | $ 0.37 |
Loss from discontinued operations per common share (in dollars per share) | (0.04) | (0.02) |
Net earnings per common share - Diluted (in dollars per share) | $ 0.53 | $ 0.35 |
Restricted and Performance-Based Shares [Member] | ||
Earnings Per Share[Abstract] | ||
Antidilutive securities excluded from computation of earnings per share (in shares) | 252,000 | 277,000 |
Industry Segments (Details)
Industry Segments (Details) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2019USD ($)Segment | Mar. 31, 2018USD ($) | ||
Segment Reporting Information, Profit (Loss) [Abstract] | |||
Number of reportable operating segments | Segment | 2 | ||
Net sales | [1] | $ 283,766 | $ 261,826 |
Operating income | 17,957 | 12,307 | |
Intersegment Eliminations [Member] | |||
Segment Reporting Information, Profit (Loss) [Abstract] | |||
Net sales | [1] | 0 | 0 |
Engine Management [Member] | Reportable Segments [Member] | |||
Segment Reporting Information, Profit (Loss) [Abstract] | |||
Net sales | [1] | 213,189 | 199,488 |
Operating income | 22,344 | 17,376 | |
Engine Management [Member] | Intersegment Eliminations [Member] | |||
Segment Reporting Information, Profit (Loss) [Abstract] | |||
Net sales | [1] | 5,349 | 5,991 |
Temperature Control [Member] | Reportable Segments [Member] | |||
Segment Reporting Information, Profit (Loss) [Abstract] | |||
Net sales | [1] | 68,924 | 60,231 |
Operating income | 2,050 | 831 | |
Temperature Control [Member] | Intersegment Eliminations [Member] | |||
Segment Reporting Information, Profit (Loss) [Abstract] | |||
Net sales | [1] | 1,933 | 1,680 |
All Other [Member] | |||
Segment Reporting Information, Profit (Loss) [Abstract] | |||
Net sales | [1] | 1,653 | 2,107 |
Operating income | (6,437) | (5,900) | |
All Other [Member] | Intersegment Eliminations [Member] | |||
Segment Reporting Information, Profit (Loss) [Abstract] | |||
Net sales | [1] | $ (7,282) | $ (7,671) |
[1] | Segment net sales include intersegment sales in our Engine Management and Temperature Control segments. |
Net Sales (Details)
Net Sales (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | ||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | $ 283,766 | $ 261,826 |
Aftermarket [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 240,733 | 223,047 |
OE/OES [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 37,015 | 33,157 |
Export [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 6,018 | 5,622 |
Ignition, Emissions Control, Fuel and Safety Related System Products [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 177,453 | 162,739 |
Wire and Cable [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 37,208 | 38,602 |
Compressors [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 39,551 | 29,842 |
Other Climate Control Parts [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 29,554 | 30,643 |
United States [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 252,745 | 233,118 |
Canada [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 12,181 | 13,212 |
Mexico [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 4,643 | 4,551 |
Europe [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 3,254 | 3,644 |
Other Foreign [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 10,943 | 7,301 |
Engine Management [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 213,189 | 199,488 |
Engine Management [Member] | Aftermarket [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 178,539 | 169,310 |
Engine Management [Member] | OE/OES [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 29,140 | 25,056 |
Engine Management [Member] | Export [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 5,510 | 5,122 |
Engine Management [Member] | Ignition, Emissions Control, Fuel and Safety Related System Products [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 176,061 | 161,077 |
Engine Management [Member] | Wire and Cable [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 37,128 | 38,411 |
Engine Management [Member] | Compressors [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 0 | 0 |
Engine Management [Member] | Other Climate Control Parts [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 0 | 0 |
Engine Management [Member] | United States [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 187,894 | 176,917 |
Engine Management [Member] | Canada [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 7,066 | 7,804 |
Engine Management [Member] | Mexico [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 4,488 | 4,339 |
Engine Management [Member] | Europe [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 3,097 | 3,480 |
Engine Management [Member] | Other Foreign [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 10,644 | 6,948 |
Temperature Control [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 68,924 | 60,231 |
Temperature Control [Member] | Aftermarket [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 60,541 | 51,630 |
Temperature Control [Member] | OE/OES [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 7,875 | 8,101 |
Temperature Control [Member] | Export [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 508 | 500 |
Temperature Control [Member] | Ignition, Emissions Control, Fuel and Safety Related System Products [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 0 | 0 |
Temperature Control [Member] | Wire and Cable [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 0 | 0 |
Temperature Control [Member] | Compressors [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 39,811 | 29,898 |
Temperature Control [Member] | Other Climate Control Parts [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 29,113 | 30,333 |
Temperature Control [Member] | United States [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 64,851 | 56,201 |
Temperature Control [Member] | Canada [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 3,462 | 3,301 |
Temperature Control [Member] | Mexico [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 155 | 212 |
Temperature Control [Member] | Europe [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 157 | 164 |
Temperature Control [Member] | Other Foreign [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1] | 299 | 353 |
Other [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1],[2] | 1,653 | 2,107 |
Other [Member] | Aftermarket [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1],[2] | 1,653 | 2,107 |
Other [Member] | OE/OES [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1],[2] | 0 | 0 |
Other [Member] | Export [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1],[2] | 0 | 0 |
Other [Member] | Ignition, Emissions Control, Fuel and Safety Related System Products [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1],[2] | 1,392 | 1,662 |
Other [Member] | Wire and Cable [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1],[2] | 80 | 191 |
Other [Member] | Compressors [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1],[2] | (260) | (56) |
Other [Member] | Other Climate Control Parts [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1],[2] | 441 | 310 |
Other [Member] | United States [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1],[2] | 0 | 0 |
Other [Member] | Canada [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1],[2] | 1,653 | 2,107 |
Other [Member] | Mexico [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1],[2] | 0 | 0 |
Other [Member] | Europe [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1],[2] | 0 | 0 |
Other [Member] | Other Foreign [Member] | |||
Disaggregation of Revenue [Abstract] | |||
Disaggregation of net sales | [1],[2] | $ 0 | $ 0 |
[1] | Segment net sales include intersegment sales in our Engine Management and Temperature Control segments. | ||
[2] | Other consists of the elimination of intersegment sales from our Engine Management and Temperature Control segments as well as sales from our Canadian business unit that does not meet the criteria of a reportable operating segment. Intersegment compressor sales for the three months ended March 31, 2019 and 2018 exceeded third party sales from our Canadian business unit. |
Commitments and Contingencies,
Commitments and Contingencies, Asbestos (Details) - Asbestos [Member] $ in Millions | Feb. 28, 2019USD ($) | Nov. 30, 2018USD ($) | Aug. 31, 2018USD ($) | Mar. 31, 2019USD ($)Claim |
Asbestos [Abstract] | ||||
Pending claims, approximate number | Claim | 1,490 | |||
Payments for settled claims | $ 27 | |||
Compensatory damages, gross amount | $ 8.6 | |||
Compensatory damages, amount of company responsibility | $ 7.6 | 7.4 | ||
Litigation settlement accrued interest rate | 10.00% | |||
Minimum [Member] | ||||
Asbestos [Abstract] | ||||
Range of possible loss | $ 37.1 | 46.7 | ||
Maximum [Member] | ||||
Asbestos [Abstract] | ||||
Range of possible loss | 56.9 | 83.9 | ||
Discontinued Operations [Member] | ||||
Asbestos [Abstract] | ||||
Incremental pre-tax provision | $ 10.1 | $ 3.5 | ||
Discontinued Operations [Member] | Minimum [Member] | ||||
Asbestos [Abstract] | ||||
Range of possible loss | 45 | |||
Discontinued Operations [Member] | Maximum [Member] | ||||
Asbestos [Abstract] | ||||
Range of possible loss | $ 83.1 |
Commitments and Contingencies_2
Commitments and Contingencies, Warranties (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Changes in product warranties [Roll forward] | ||
Balance, beginning of period | $ 19,636 | $ 20,929 |
Liabilities accrued for current year sales | 26,396 | 21,242 |
Settlements of warranty claims | (23,338) | (21,611) |
Balance, end of period | $ 22,694 | $ 20,560 |
Subsequent Event (Details)
Subsequent Event (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2018 | Apr. 30, 2019 | ||
Business Acquisition [Abstract] | |||||
Net sales | [1] | $ 283,766 | $ 261,826 | ||
Pollak business of Stoneridge, Inc. [Member] | |||||
Business Acquisition [Abstract] | |||||
Net sales | $ 45,000 | ||||
Subsequent Event [Member] | Pollak business of Stoneridge, Inc. [Member] | |||||
Business Acquisition [Abstract] | |||||
Acquisition of assets and liabilities | $ 40,000 | ||||
[1] | Segment net sales include intersegment sales in our Engine Management and Temperature Control segments. |