☑ | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
☐ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
New York | 11-2153962 | |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
2929 California Street, Torrance, California | 90503 | |
(Address of principal executive offices) | (Zip Code) |
Title of each class | Trading symbol(s) | Name of each exchange on which registered |
Common Stock, par value $0.01 per share | MPAA | The Nasdaq Global Select Market |
Large accelerated filer ☐ | Accelerated filer ☑ |
Non-accelerated filer ☐ | Smaller reporting company ☐ |
Emerging growth company ☐ |
PART I — FINANCIAL INFORMATION | ||
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PART II — OTHER INFORMATION | ||
Item 1. | Financial Statements |
September 30, 2023 | March 31, 2023 | December 31, 2023 | March 31, 2023 | |||||||||||||
ASSETS | (Unaudited) | (Unaudited) | ||||||||||||||
Current assets: | ||||||||||||||||
Cash and cash equivalents | $ | 10,293,000 | $ | 11,596,000 | $ | 12,155,000 | $ | 11,596,000 | ||||||||
Short-term investments | 2,036,000 | 2,011,000 | 2,206,000 | 2,011,000 | ||||||||||||
Accounts receivable — net | 161,120,000 | 119,868,000 | 93,008,000 | 119,868,000 | ||||||||||||
Inventory | 366,405,000 | 356,254,000 | 393,777,000 | 356,254,000 | ||||||||||||
Contract assets | 29,946,000 | 25,443,000 | 25,236,000 | 25,443,000 | ||||||||||||
Prepaid expenses and other current assets | 18,415,000 | 22,306,000 | 17,978,000 | 22,306,000 | ||||||||||||
Total current assets | 588,215,000 | 537,478,000 | 544,360,000 | 537,478,000 | ||||||||||||
Plant and equipment — net | 41,368,000 | 46,052,000 | 39,644,000 | 46,052,000 | ||||||||||||
Operating lease assets | 84,881,000 | 87,619,000 | 85,187,000 | 87,619,000 | ||||||||||||
Long-term deferred income taxes | 32,206,000 | 32,625,000 | 2,447,000 | 32,625,000 | ||||||||||||
Long-term contract assets | 313,613,000 | 318,381,000 | 318,323,000 | 318,381,000 | ||||||||||||
Goodwill and intangible assets — net | 4,721,000 | 5,348,000 | 4,461,000 | 5,348,000 | ||||||||||||
Other assets | 1,768,000 | 1,062,000 | 1,511,000 | 1,062,000 | ||||||||||||
TOTAL ASSETS | $ | 1,066,772,000 | $ | 1,028,565,000 | $ | 995,933,000 | $ | 1,028,565,000 | ||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||
Current liabilities: | ||||||||||||||||
Accounts payable and accrued liabilities | $ | 162,879,000 | $ | 141,766,000 | $ | 178,881,000 | $ | 141,766,000 | ||||||||
Customer finished goods returns accrual | 29,956,000 | 37,984,000 | 37,883,000 | 37,984,000 | ||||||||||||
Contract liabilities | 53,368,000 | 40,340,000 | 43,848,000 | 40,340,000 | ||||||||||||
Revolving loan | 165,000,000 | 145,200,000 | 115,000,000 | 145,200,000 | ||||||||||||
Other current liabilities | 5,032,000 | 4,871,000 | 5,369,000 | 4,871,000 | ||||||||||||
Operating lease liabilities | 8,737,000 | 8,767,000 | 8,564,000 | 8,767,000 | ||||||||||||
Current portion of term loan | - | 3,664,000 | - | 3,664,000 | ||||||||||||
Total current liabilities | 424,972,000 | 382,592,000 | 389,545,000 | 382,592,000 | ||||||||||||
Term loan, less current portion | - | 9,279,000 | - | 9,279,000 | ||||||||||||
Convertible notes, related party | 31,819,000 | 30,994,000 | 33,226,000 | 30,994,000 | ||||||||||||
Long-term contract liabilities | 198,086,000 | 193,606,000 | 206,590,000 | 193,606,000 | ||||||||||||
Long-term deferred income taxes | 73,000 | 718,000 | 74,000 | 718,000 | ||||||||||||
Long-term operating lease liabilities | 75,698,000 | 79,318,000 | 73,725,000 | 79,318,000 | ||||||||||||
Other liabilities | 10,988,000 | 11,583,000 | 11,021,000 | 11,583,000 | ||||||||||||
Total liabilities | 741,636,000 | 708,090,000 | 714,181,000 | 708,090,000 | ||||||||||||
Commitments and contingencies | ||||||||||||||||
Shareholders’ equity: | ||||||||||||||||
Preferred stock; par value $0.01 per share, 5,000,000 shares authorized; none issued | - | - | - | - | ||||||||||||
Series A junior participating preferred stock; par value $0.01 per share, 20,000 shares authorized; none issued | - | - | - | - | ||||||||||||
Common stock; par value $0.01 per share, 50,000,000 shares authorized; 19,599,195 and 19,494,615 shares issued and outstanding at September 30, 2023 and March 31, 2023, respectively | 196,000 | 195,000 | ||||||||||||||
Common stock; par value $0.01 per share, 50,000,000 shares authorized; 19,662,380 and 19,494,615 shares issued and outstanding at December 31, 2023 and March 31, 2023, respectively | 197,000 | 195,000 | ||||||||||||||
Additional paid-in capital | 234,399,000 | 231,836,000 | 235,823,000 | 231,836,000 | ||||||||||||
Retained earnings | 85,379,000 | 88,747,000 | 38,165,000 | 88,747,000 | ||||||||||||
Accumulated other comprehensive income (loss) | 5,162,000 | (303,000 | ) | 7,567,000 | (303,000 | ) | ||||||||||
Total shareholders’ equity | 325,136,000 | 320,475,000 | 281,752,000 | 320,475,000 | ||||||||||||
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY | $ | 1,066,772,000 | $ | 1,028,565,000 | $ | 995,933,000 | $ | 1,028,565,000 |
Three Months Ended | Six Months Ended | Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||
September 30, | September 30, | December 31, | December 31, | |||||||||||||||||||||||||||||
2023 | 2022 | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||||
Net sales | $ | 196,639,000 | $ | 172,543,000 | $ | 356,344,000 | $ | 336,528,000 | $ | 171,862,000 | $ | 151,819,000 | $ | 528,206,000 | $ | 488,347,000 | ||||||||||||||||
Cost of goods sold | 155,491,000 | 146,027,000 | 288,629,000 | 279,710,000 | 141,819,000 | 130,826,000 | 430,448,000 | 410,536,000 | ||||||||||||||||||||||||
Gross profit | 41,148,000 | 26,516,000 | 67,715,000 | 56,818,000 | 30,043,000 | 20,993,000 | 97,758,000 | 77,811,000 | ||||||||||||||||||||||||
Operating expenses: | ||||||||||||||||||||||||||||||||
General and administrative | 14,325,000 | 14,846,000 | 26,927,000 | 28,480,000 | 15,198,000 | 13,599,000 | 42,125,000 | 42,079,000 | ||||||||||||||||||||||||
Sales and marketing | 5,688,000 | 6,066,000 | 11,107,000 | 11,608,000 | 5,931,000 | 5,634,000 | 17,038,000 | 17,242,000 | ||||||||||||||||||||||||
Research and development | 2,438,000 | 2,670,000 | 4,813,000 | 5,783,000 | 2,539,000 | 2,547,000 | 7,352,000 | 8,330,000 | ||||||||||||||||||||||||
Foreign exchange impact of lease liabilities and forward contracts | 4,760,000 | 1,082,000 | 490,000 | 1,760,000 | (3,149,000 | ) | (4,313,000 | ) | (2,659,000 | ) | (2,553,000 | ) | ||||||||||||||||||||
Total operating expenses | 27,211,000 | 24,664,000 | 43,337,000 | 47,631,000 | 20,519,000 | 17,467,000 | 63,856,000 | 65,098,000 | ||||||||||||||||||||||||
Operating income | 13,937,000 | 1,852,000 | 24,378,000 | 9,187,000 | 9,524,000 | 3,526,000 | 33,902,000 | 12,713,000 | ||||||||||||||||||||||||
Other expenses: | ||||||||||||||||||||||||||||||||
Interest expense, net | 15,383,000 | 9,283,000 | 27,103,000 | 16,204,000 | 18,297,000 | 11,471,000 | 45,400,000 | 27,675,000 | ||||||||||||||||||||||||
Change in fair value of compound net derivative liability | 390,000 | - | 530,000 | - | 1,160,000 | - | 1,690,000 | - | ||||||||||||||||||||||||
Loss on extinguishment of debt | 168,000 | - | 168,000 | - | - | - | 168,000 | - | ||||||||||||||||||||||||
Total other expenses | 15,941,000 | 9,283,000 | 27,801,000 | 16,204,000 | 19,457,000 | 11,471,000 | 47,258,000 | 27,675,000 | ||||||||||||||||||||||||
Loss before income tax benefit | (2,004,000 | ) | (7,431,000 | ) | (3,423,000 | ) | (7,017,000 | ) | ||||||||||||||||||||||||
Income tax benefit | (46,000 | ) | (914,000 | ) | (55,000 | ) | (325,000 | ) | ||||||||||||||||||||||||
Net loss | $ | (1,958,000 | ) | $ | (6,517,000 | ) | $ | (3,368,000 | ) | $ | (6,692,000 | ) | ||||||||||||||||||||
Basic net loss per share | $ | (0.10 | ) | $ | (0.34 | ) | $ | (0.17 | ) | $ | (0.35 | ) | ||||||||||||||||||||
Diluted net loss per share | $ | (0.10 | ) | $ | (0.34 | ) | $ | (0.17 | ) | $ | (0.35 | ) | ||||||||||||||||||||
Loss before income tax expense (benefit) | (9,933,000 | ) | (7,945,000 | ) | (13,356,000 | ) | (14,962,000 | ) | ||||||||||||||||||||||||
Income tax expense (benefit) | 37,281,000 | (8,971,000 | ) | 37,226,000 | (9,296,000 | ) | ||||||||||||||||||||||||||
Net (loss) income | $ | (47,214,000 | ) | $ | 1,026,000 | $ | (50,582,000 | ) | $ | (5,666,000 | ) | |||||||||||||||||||||
Basic net (loss) income per share | $ | (2.40 | ) | $ | 0.05 | $ | (2.58 | ) | $ | (0.29 | ) | |||||||||||||||||||||
Diluted net (loss) income per share | $ | (2.40 | ) | $ | 0.05 | $ | (2.58 | ) | $ | (0.29 | ) | |||||||||||||||||||||
Weighted average number of shares outstanding: | ||||||||||||||||||||||||||||||||
Basic | 19,599,162 | 19,272,557 | 19,554,142 | 19,197,181 | 19,634,306 | 19,474,871 | 19,580,960 | 19,383,531 | ||||||||||||||||||||||||
Diluted | 19,599,162 | 19,272,557 | 19,554,142 | 19,197,181 | 19,634,306 | 19,634,153 | 19,580,960 | 19,383,531 |
Three Months Ended | Six Months Ended | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
Net loss | $ | (1,958,000 | ) | $ | (6,517,000 | ) | $ | (3,368,000 | ) | $ | (6,692,000 | ) | ||||
Other comprehensive income (loss), net of tax: | ||||||||||||||||
Foreign currency translation gain (loss) | 2,122,000 | 687,000 | 5,465,000 | (181,000 | ) | |||||||||||
Total other comprehensive income (loss), net of tax | 2,122,000 | 687,000 | 5,465,000 | (181,000 | ) | |||||||||||
Comprehensive income (loss) | $ | 164,000 | $ | (5,830,000 | ) | $ | 2,097,000 | $ | (6,873,000 | ) |
Three Months Ended | Nine Months Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
Net (loss) income | $ | (47,214,000 | ) | $ | 1,026,000 | $ | (50,582,000 | ) | $ | (5,666,000 | ) | |||||
Other comprehensive income, net of tax: | ||||||||||||||||
Foreign currency translation gain | 2,405,000 | 2,123,000 | 7,870,000 | 1,942,000 | ||||||||||||
Total other comprehensive income, net of tax | 2,405,000 | 2,123,000 | 7,870,000 | 1,942,000 | ||||||||||||
Comprehensive (loss) income | $ | (44,809,000 | ) | $ | 3,149,000 | $ | (42,712,000 | ) | $ | (3,724,000 | ) |
Common Stock | Common Stock | |||||||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total | Shares | Amount | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total | |||||||||||||||||||||||||||||||||||||
Balance at March 31, 2023 | 19,494,615 | $ | 195,000 | $ | 231,836,000 | $ | 88,747,000 | $ | (303,000 | ) | $ | 320,475,000 | 19,494,615 | $ | 195,000 | $ | 231,836,000 | $ | 88,747,000 | $ | (303,000 | ) | $ | 320,475,000 | ||||||||||||||||||||||||
Compensation recognized under employee stock plans | - | - | 1,310,000 | - | - | 1,310,000 | - | - | 1,310,000 | - | - | 1,310,000 | ||||||||||||||||||||||||||||||||||||
Issuance of common stock upon vesting of RSUs, net of shares withheld for employee taxes | 104,530 | 1,000 | (280,000 | ) | - | - | (279,000 | ) | 104,530 | 1,000 | (280,000 | ) | - | - | (279,000 | ) | ||||||||||||||||||||||||||||||||
Foreign currency translation | - | - | - | - | 3,343,000 | 3,343,000 | - | - | - | - | 3,343,000 | 3,343,000 | ||||||||||||||||||||||||||||||||||||
Net loss | - | - | - | (1,410,000 | ) | - | (1,410,000 | ) | - | - | - | (1,410,000 | ) | - | (1,410,000 | ) | ||||||||||||||||||||||||||||||||
Balance at June 30, 2023 | 19,599,145 | $ | 196,000 | $ | 232,866,000 | $ | 87,337,000 | $ | 3,040,000 | $ | 323,439,000 | 19,599,145 | $ | 196,000 | $ | 232,866,000 | $ | 87,337,000 | $ | 3,040,000 | $ | 323,439,000 | ||||||||||||||||||||||||||
Compensation recognized under employee stock plans | - | - | 1,533,000 | - | - | 1,533,000 | - | - | 1,533,000 | - | - | 1,533,000 | ||||||||||||||||||||||||||||||||||||
Issuance of common stock upon vesting of RSUs, net of shares withheld for employee taxes | 50 | - | - | - | - | - | 50 | - | - | - | - | - | ||||||||||||||||||||||||||||||||||||
Foreign currency translation | - | - | - | - | 2,122,000 | 2,122,000 | - | - | - | - | 2,122,000 | 2,122,000 | ||||||||||||||||||||||||||||||||||||
Net loss | - | - | - | (1,958,000 | ) | - | (1,958,000 | ) | - | - | - | (1,958,000 | ) | - | (1,958,000 | ) | ||||||||||||||||||||||||||||||||
Balance at September 30, 2023 | 19,599,195 | $ | 196,000 | $ | 234,399,000 | $ | 85,379,000 | $ | 5,162,000 | $ | 325,136,000 | 19,599,195 | $ | 196,000 | $ | 234,399,000 | $ | 85,379,000 | $ | 5,162,000 | $ | 325,136,000 | ||||||||||||||||||||||||||
Compensation recognized under employee stock plans | - | - | 1,425,000 | - | - | 1,425,000 | ||||||||||||||||||||||||||||||||||||||||||
Issuance of common stock upon vesting of RSUs, net of shares withheld for employee taxes | 63,185 | 1,000 | (1,000 | ) | - | - | - | |||||||||||||||||||||||||||||||||||||||||
Foreign currency translation | - | - | - | - | 2,405,000 | 2,405,000 | ||||||||||||||||||||||||||||||||||||||||||
Net loss | - | - | - | (47,214,000 | ) | - | (47,214,000 | ) | ||||||||||||||||||||||||||||||||||||||||
Balance at December 31, 2023 | 19,662,380 | $ | 197,000 | $ | 235,823,000 | $ | 38,165,000 | $ | 7,567,000 | $ | 281,752,000 |
Common Stock | Common Stock | |||||||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total | Shares | Amount | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Total | |||||||||||||||||||||||||||||||||||||
Balance at March 31,2022 | 19,104,751 | $ | 191,000 | $ | 227,184,000 | $ | 92,954,000 | $ | (5,066,000 | ) | $ | 315,263,000 | 19,104,751 | $ | 191,000 | $ | 227,184,000 | $ | 92,954,000 | $ | (5,066,000 | ) | $ | 315,263,000 | ||||||||||||||||||||||||
Compensation recognized under employee stock plans | - | - | 1,249,000 | - | - | 1,249,000 | - | - | 1,249,000 | - | - | 1,249,000 | ||||||||||||||||||||||||||||||||||||
Exercise of stock options, net of shares withheld for employee taxes | 25,543 | - | 191,000 | - | - | 191,000 | 25,543 | - | 191,000 | - | - | 191,000 | ||||||||||||||||||||||||||||||||||||
Issuance of common stock upon vesting of RSUs, net of shares withheld for employee taxes | 84,684 | 1,000 | (895,000 | ) | - | - | (894,000 | ) | 84,684 | 1,000 | (895,000 | ) | - | - | (894,000 | ) | ||||||||||||||||||||||||||||||||
Foreign currency translation | - | - | - | - | (868,000 | ) | (868,000 | ) | - | - | - | - | (868,000 | ) | (868,000 | ) | ||||||||||||||||||||||||||||||||
Net loss | - | - | - | (175,000 | ) | - | (175,000 | ) | - | - | - | (175,000 | ) | - | (175,000 | ) | ||||||||||||||||||||||||||||||||
Balance at June 30, 2022 | 19,214,978 | $ | 192,000 | $ | 227,729,000 | $ | 92,779,000 | $ | (5,934,000 | ) | $ | 314,766,000 | 19,214,978 | $ | 192,000 | $ | 227,729,000 | $ | 92,779,000 | $ | (5,934,000 | ) | $ | 314,766,000 | ||||||||||||||||||||||||
Compensation recognized under employee stock plans | - | - | 1,251,000 | - | - | 1,251,000 | - | - | 1,251,000 | - | - | 1,251,000 | ||||||||||||||||||||||||||||||||||||
Exercise of stock options, net of shares withheld for employee taxes | 193,378 | 2,000 | 584,000 | - | - | 586,000 | 193,378 | 2,000 | 584,000 | - | - | 586,000 | ||||||||||||||||||||||||||||||||||||
Issuance of common stock upon vesting of RSUs, net of shares withheld for employee taxes | 14,792 | - | (75,000 | ) | - | - | (75,000 | ) | 14,792 | - | (75,000 | ) | - | - | (75,000 | ) | ||||||||||||||||||||||||||||||||
Foreign currency translation | - | - | - | - | 687,000 | 687,000 | - | - | - | - | 687,000 | 687,000 | ||||||||||||||||||||||||||||||||||||
Net loss | - | - | - | (6,517,000 | ) | - | (6,517,000 | ) | - | - | - | (6,517,000 | ) | - | (6,517,000 | ) | ||||||||||||||||||||||||||||||||
Balance at September 30, 2022 | 19,423,148 | $ | 194,000 | $ | 229,489,000 | $ | 86,262,000 | $ | (5,247,000 | ) | $ | 310,698,000 | 19,423,148 | $ | 194,000 | $ | 229,489,000 | $ | 86,262,000 | $ | (5,247,000 | ) | $ | 310,698,000 | ||||||||||||||||||||||||
Compensation recognized under employee stock plans | - | - | 1,021,000 | - | - | 1,021,000 | ||||||||||||||||||||||||||||||||||||||||||
Exercise of stock options, net of shares withheld for employee taxes | 14,058 | - | 121,000 | - | - | 121,000 | ||||||||||||||||||||||||||||||||||||||||||
Issuance of common stock upon vesting of RSUs, net of shares withheld for employee taxes | 53,653 | 1,000 | (1,000 | ) | - | - | - | |||||||||||||||||||||||||||||||||||||||||
Foreign currency translation | - | - | - | - | 2,123,000 | 2,123,000 | ||||||||||||||||||||||||||||||||||||||||||
Net income | - | - | - | 1,026,000 | - | 1,026,000 | ||||||||||||||||||||||||||||||||||||||||||
Balance at December 31, 2022 | 19,490,859 | $ | 195,000 | $ | 230,630,000 | $ | 87,288,000 | $ | (3,124,000 | ) | $ | 314,989,000 |
Six Months Ended | Nine Months Ended | |||||||||||||||
September 30, | December 31, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
Cash flows from operating activities: | ||||||||||||||||
Net loss | $ | (3,368,000 | ) | $ | (6,692,000 | ) | $ | (50,582,000 | ) | $ | (5,666,000 | ) | ||||
Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||||||||||
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ||||||||||||||||
Depreciation and amortization | 5,966,000 | 6,214,000 | 8,844,000 | 9,322,000 | ||||||||||||
Amortization of interest and loss on extinguishment of debt | 1,772,000 | 698,000 | 2,528,000 | 1,131,000 | ||||||||||||
Accrued interest on convertible notes, related party | 1,600,000 | - | 2,400,000 | - | ||||||||||||
Amortization of core premiums paid to customers | 4,994,000 | 5,759,000 | 7,627,000 | 8,670,000 | ||||||||||||
Amortization of finished goods premiums paid to customers | 370,000 | 349,000 | 575,000 | 513,000 | ||||||||||||
Noncash lease expense | 5,063,000 | 3,873,000 | 7,614,000 | 5,955,000 | ||||||||||||
Foreign exchange impact of lease liabilities and forward contracts | 490,000 | 1,760,000 | (2,659,000 | ) | (2,553,000 | ) | ||||||||||
Change in fair value of compound net derivative liability | 530,000 | - | 1,690,000 | - | ||||||||||||
(Gain) loss on short -term investments | (86,000 | ) | 387,000 | |||||||||||||
(Gain) loss on short-term investments | (237,000 | ) | 281,000 | |||||||||||||
Net provision for inventory reserves | 6,770,000 | 8,715,000 | 9,637,000 | 14,248,000 | ||||||||||||
Net provision for customer payment discrepancies and credit losses | 1,419,000 | 1,012,000 | 1,112,000 | 1,250,000 | ||||||||||||
Deferred income taxes | (145,000 | ) | (1,230,000 | ) | 29,721,000 | 212,000 | ||||||||||
Share-based compensation expense | 2,843,000 | 2,500,000 | 4,268,000 | 3,521,000 | ||||||||||||
Loss on disposal of plant and equipment | 8,000 | 16,000 | 9,000 | 17,000 | ||||||||||||
Changes in operating assets and liabilities: | ||||||||||||||||
Accounts receivable | (42,576,000 | ) | 3,370,000 | 26,272,000 | 7,560,000 | |||||||||||
Inventory | (16,871,000 | ) | (26,286,000 | ) | (46,558,000 | ) | (20,888,000 | ) | ||||||||
Prepaid expenses and other current assets | 1,962,000 | (3,039,000 | ) | 5,316,000 | (12,696,000 | ) | ||||||||||
Other assets | (704,000 | ) | (70,000 | ) | (392,000 | ) | 314,000 | |||||||||
Accounts payable and accrued liabilities | 24,509,000 | 4,176,000 | 38,734,000 | (19,518,000 | ) | |||||||||||
Customer finished goods returns accrual | (8,065,000 | ) | (10,533,000 | ) | (190,000 | ) | (5,054,000 | ) | ||||||||
Contract assets | (4,971,000 | ) | (15,556,000 | ) | (7,639,000 | ) | (14,486,000 | ) | ||||||||
Contract liabilities | 16,953,000 | 16,126,000 | 15,561,000 | 14,700,000 | ||||||||||||
Operating lease liabilities | (4,090,000 | ) | (3,249,000 | ) | (6,368,000 | ) | (5,135,000 | ) | ||||||||
Other liabilities | 457,000 | (5,254,000 | ) | 1,162,000 | (3,126,000 | ) | ||||||||||
Net cash used in operating activities | (5,170,000 | ) | (16,954,000 | ) | ||||||||||||
Net cash provided by (used in) operating activities | 48,445,000 | (21,428,000 | ) | |||||||||||||
Cash flows from investing activities: | ||||||||||||||||
Purchase of plant and equipment | (169,000 | ) | (2,644,000 | ) | (462,000 | ) | (3,607,000 | ) | ||||||||
Purchase of short -term investments | 61,000 | (173,000 | ) | |||||||||||||
Purchase of short-term investments | 42,000 | (248,000 | ) | |||||||||||||
Net cash used in investing activities | (108,000 | ) | (2,817,000 | ) | (420,000 | ) | (3,855,000 | ) | ||||||||
Cash flows from financing activities: | ||||||||||||||||
Borrowings under revolving loan | 32,005,000 | 40,000,000 | 64,005,000 | 58,000,000 | ||||||||||||
Repayments of revolving loan | (12,205,000 | ) | (32,000,000 | ) | (94,205,000 | ) | (38,000,000 | ) | ||||||||
Repayments of term loan | (13,125,000 | ) | (1,875,000 | ) | (13,125,000 | ) | (2,813,000 | ) | ||||||||
Payments for debt issuance costs | (1,426,000 | ) | (21,000 | ) | (2,617,000 | ) | (376,000 | ) | ||||||||
Payments on finance lease obligations | (962,000 | ) | (1,223,000 | ) | (1,425,000 | ) | (1,842,000 | ) | ||||||||
Exercise of stock options, net of cash used to pay employee taxes | - | 777,000 | - | 898,000 | ||||||||||||
Cash used to net share settle equity awards | (279,000 | ) | (969,000 | ) | (279,000 | ) | (969,000 | ) | ||||||||
Net cash provided by financing activities | 4,008,000 | 4,689,000 | ||||||||||||||
Net cash (used in) provided by financing activities | (47,646,000 | ) | 14,898,000 | |||||||||||||
Effect of exchange rate changes on cash and cash equivalents | (33,000 | ) | (323,000 | ) | 180,000 | (52,000 | ) | |||||||||
Net decrease in cash and cash equivalents | (1,303,000 | ) | (15,405,000 | ) | ||||||||||||
Net increase (decrease) in cash and cash equivalents | 559,000 | (10,437,000 | ) | |||||||||||||
Cash and cash equivalents — Beginning of period | 11,596,000 | 23,016,000 | 11,596,000 | 23,016,000 | ||||||||||||
Cash and cash equivalents — End of period | $ | 10,293,000 | $ | 7,611,000 | $ | 12,155,000 | $ | 12,579,000 | ||||||||
Supplemental disclosures of cash flow information: | ||||||||||||||||
Cash paid for interest, net | $ | 23,831,000 | $ | 15,343,000 | $ | 40,826,000 | $ | 26,425,000 | ||||||||
Cash paid for income taxes, net of refunds | 4,890,000 | 12,336,000 | 8,143,000 | 13,135,000 | ||||||||||||
Cash paid for operating leases | 6,558,000 | 5,642,000 | 10,025,000 | 8,760,000 | ||||||||||||
Cash paid for finance leases | 1,081,000 | 1,355,000 | 1,595,000 | 2,042,000 | ||||||||||||
Plant and equipment acquired under finance leases | 33,000 | 529,000 | 33,000 | 609,000 | ||||||||||||
Assets acquired under operating leases | 867,000 | 967,000 | 879,000 | 7,530,000 | ||||||||||||
Non-cash capital expenditures | 120,000 | 272,000 | 71,000 | 77,000 | ||||||||||||
Debt issuance costs included in accounts payable and accrued liabilities | 97,000 | - | 1,340,000 | - |
September 30, 2023 | March 31, 2023 | December 31, 2023 | March 31, 2023 | |||||||||||||
Accounts receivable — trade | $ | 182,879,000 | $ | 136,076,000 | $ | 109,804,000 | $ | 136,076,000 | ||||||||
Allowance for credit losses | (312,000 | ) | (339,000 | ) | (189,000 | ) | (339,000 | ) | ||||||||
Customer payment discrepancies | (1,848,000 | ) | (1,634,000 | ) | (1,360,000 | ) | (1,634,000 | ) | ||||||||
Customer returns RGA issued | (19,599,000 | ) | (14,235,000 | ) | (15,247,000 | ) | (14,235,000 | ) | ||||||||
Total accounts receivable — net | $ | 161,120,000 | $ | 119,868,000 | $ | 93,008,000 | $ | 119,868,000 |
September 30, 2023 | March 31, 2023 | December 31, 2023 | March 31, 2023 | |||||||||||||
Inventory | ||||||||||||||||
Raw materials | $ | 152,835,000 | $ | 147,880,000 | $ | 167,612,000 | $ | 147,880,000 | ||||||||
Work-in-process | 11,078,000 | 7,033,000 | 9,872,000 | 7,033,000 | ||||||||||||
Finished goods | 200,270,000 | 201,198,000 | 213,239,000 | 201,198,000 | ||||||||||||
364,183,000 | 356,111,000 | 390,723,000 | 356,111,000 | |||||||||||||
Less allowance for excess and obsolete inventory | (16,490,000 | ) | (16,436,000 | ) | (16,429,000 | ) | (16,436,000 | ) | ||||||||
Inventory — net | 347,693,000 | 339,675,000 | 374,294,000 | 339,675,000 | ||||||||||||
Inventory unreturned | 18,712,000 | 16,579,000 | 19,483,000 | 16,579,000 | ||||||||||||
Total inventory | $ | 366,405,000 | $ | 356,254,000 | $ | 393,777,000 | $ | 356,254,000 |
September 30, 2023 | March 31, 2023 | December 31, 2023 | March 31, 2023 | |||||||||||||
Short-term contract assets | ||||||||||||||||
Cores expected to be returned by customers | $ | 17,982,000 | $ | 13,463,000 | $ | 13,338,000 | $ | 13,463,000 | ||||||||
Core premiums paid to customers | 9,669,000 | 9,812,000 | 9,684,000 | 9,812,000 | ||||||||||||
Upfront payments to customers | 1,509,000 | 1,593,000 | 1,471,000 | 1,593,000 | ||||||||||||
Finished goods premiums paid to customers | 786,000 | 575,000 | 743,000 | 575,000 | ||||||||||||
Total short-term contract assets | $ | 29,946,000 | $ | 25,443,000 | $ | 25,236,000 | $ | 25,443,000 | ||||||||
Long-term contract assets | ||||||||||||||||
Remanufactured cores held at customers’ locations | $ | 269,371,000 | $ | 271,628,000 | $ | 275,768,000 | $ | 271,628,000 | ||||||||
Core premiums paid to customers | 34,493,000 | 38,310,000 | 32,384,000 | 38,310,000 | ||||||||||||
Long-term core inventory deposits | 5,569,000 | 5,569,000 | 5,569,000 | 5,569,000 | ||||||||||||
Finished goods premiums paid to customers | 2,604,000 | 2,530,000 | 2,481,000 | 2,530,000 | ||||||||||||
Upfront payments to customers | 1,576,000 | 344,000 | 2,121,000 | 344,000 | ||||||||||||
Total long-term contract assets | $ | 313,613,000 | $ | 318,381,000 | $ | 318,323,000 | $ | 318,381,000 |
Three Months Ended September 30, | Six Months Ended September 30, | Three Months Ended December 31, | Nine Months Ended December 31, | |||||||||||||||||||||||||||||
2023 | 2022 | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||||
Net sales | ||||||||||||||||||||||||||||||||
Customer A | 37 | % | 39 | % | 35 | % | 38 | % | 34 | % | 36 | % | 35 | % | 38 | % | ||||||||||||||||
Customer C | 27 | % | 26 | % | 27 | % | 23 | % | 26 | % | 21 | % | 27 | % | 22 | % | ||||||||||||||||
Customer B | 21 | % | 20 | % | 20 | % | 22 | % | 23 | % | 27 | % | 21 | % | 24 | % | ||||||||||||||||
Customer D | 4 | % | 4 | % | 5 | % | 4 | % | 4 | % | 4 | % | 5 | % | 4 | % |
September 30, 2023 | March 31, 2023 | December 31, 2023 | March 31, 2023 | |||||||||||||
Accounts receivable - trade | ||||||||||||||||
Customer A | 40 | % | 33 | % | 40 | % | 33 | % | ||||||||
Customer B | 20 | % | 18 | % | ||||||||||||
Customer C | 24 | % | 21 | % | 12 | % | 21 | % | ||||||||
Customer B | 17 | % | 18 | % | ||||||||||||
Customer D | 6 | % | 12 | % | 8 | % | 12 | % |
Three Months Ended September 30, | Six Months Ended September 30, | Three Months Ended December 31, | Nine Months Ended December 31, | |||||||||||||||||||||||||||||
2023 | 2022 | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||||
Product line | ||||||||||||||||||||||||||||||||
Rotating electrical products | 67 | % | 67 | % | 66 | % | 67 | % | 65 | % | 66 | % | 66 | % | 67 | % | ||||||||||||||||
Brake-related products | 20 | % | 20 | % | 21 | % | 19 | % | 21 | % | 20 | % | 21 | % | 19 | % | ||||||||||||||||
Wheel hub products | 9 | % | 11 | % | 10 | % | 11 | % | 11 | % | 10 | % | 10 | % | 11 | % | ||||||||||||||||
Other products | 4 | % | 2 | % | 3 | % | 3 | % | 3 | % | 4 | % | 3 | % | 3 | % | ||||||||||||||||
100 | % | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % |
September 30, 2023 | March 31, 2023 | December 31, 2023 | March 31, 2023 | |||||||||||||
Principal amount of Convertible Notes | $ | 32,000,000 | $ | 32,000,000 | $ | 32,000,000 | $ | 32,000,000 | ||||||||
Less: unamortized debt discount attributed to Compound Net Derivative Liability | (8,021,000 | ) | (8,430,000 | ) | (7,804,000 | ) | (8,430,000 | ) | ||||||||
Less: unamortized debt discount attributed to debt issuance costs | (1,120,000 | ) | (1,006,000 | ) | (1,090,000 | ) | (1,006,000 | ) | ||||||||
Carrying amount of the Convertible Notes | 22,859,000 | 22,564,000 | 23,106,000 | 22,564,000 | ||||||||||||
Plus: Compound Net Derivative Liability | 8,960,000 | 8,430,000 | 10,120,000 | 8,430,000 | ||||||||||||
Net carrying amount of Convertible Notes, related party | $ | 31,819,000 | $ | 30,994,000 | $ | 33,226,000 | $ | 30,994,000 |
Three Months Ended | Six Months Ended | Three Months Ended | Nine Months Ended | |||||||||||||
September 30, | September 30, | December 31, | December 31, | |||||||||||||
2023 | 2023 | 2023 | 2023 | |||||||||||||
Contractual interest expense | $ | 800,000 | $ | 1,600,000 | $ | 800,000 | $ | 2,400,000 | ||||||||
Accretion of debt discount | 208,000 | 409,000 | 217,000 | 626,000 | ||||||||||||
Amortization of debt issuance costs | 30,000 | 57,000 | 30,000 | 87,000 | ||||||||||||
Total interest expense | $ | 1,038,000 | $ | 2,066,000 | $ | 1,047,000 | $ | 3,113,000 |
September 30, 2023 | March 31, 2023 | December 31, 2023 | March 31, 2023 | |||||||||||||
Short-term contract liabilities | ||||||||||||||||
Customer allowances earned | $ | 26,469,000 | $ | 19,997,000 | $ | 21,771,000 | $ | 19,997,000 | ||||||||
Customer core returns accruals | 17,594,000 | 11,112,000 | 12,807,000 | 11,112,000 | ||||||||||||
Accrued core payment | 3,258,000 | 3,056,000 | 3,470,000 | 3,056,000 | ||||||||||||
Customer deposits | 2,766,000 | 3,232,000 | 3,329,000 | 3,232,000 | ||||||||||||
Core bank liability | 1,713,000 | 1,686,000 | 1,726,000 | 1,686,000 | ||||||||||||
Finished goods liabilities | 1,568,000 | 1,257,000 | 745,000 | 1,257,000 | ||||||||||||
Total short-term contract liabilities | $ | 53,368,000 | $ | 40,340,000 | $ | 43,848,000 | $ | 40,340,000 | ||||||||
Long-term contract liabilities | ||||||||||||||||
Customer core returns accruals | $ | 175,923,000 | $ | 170,420,000 | $ | 186,341,000 | $ | 170,420,000 | ||||||||
Core bank liability | 12,719,000 | 13,582,000 | 12,283,000 | 13,582,000 | ||||||||||||
Accrued core payment | 9,155,000 | 9,171,000 | 7,749,000 | 9,171,000 | ||||||||||||
Finished goods liabilities | 289,000 | 433,000 | 217,000 | 433,000 | ||||||||||||
Total long-term contract liabilities | $ | 198,086,000 | $ | 193,606,000 | $ | 206,590,000 | $ | 193,606,000 |
Leases | Classification | September 30, 2023 | March 31, 2023 | Classification | December 31, 2023 | March 31, 2023 | ||||||||||||||
Assets: | ||||||||||||||||||||
Operating | Operating lease assets | $ | 84,881,000 | $ | 87,619,000 | Operating lease assets | $ | 85,187,000 | $ | 87,619,000 | ||||||||||
Finance | Plant and equipment | 4,604,000 | 5,549,000 | Plant and equipment | 4,251,000 | 5,549,000 | ||||||||||||||
Total leased assets | $ | 89,485,000 | $ | 93,168,000 | $ | 89,438,000 | $ | 93,168,000 | ||||||||||||
Liabilities: | ||||||||||||||||||||
Current | ||||||||||||||||||||
Operating | Operating lease liabilities | $ | 8,737,000 | $ | 8,767,000 | Operating lease liabilities | $ | 8,564,000 | $ | 8,767,000 | ||||||||||
Finance | Other current liabilities | 1,693,000 | 1,851,000 | Other current liabilities | 1,564,000 | 1,851,000 | ||||||||||||||
Long-term | ||||||||||||||||||||
Operating | Long-term operating lease liabilities | 75,698,000 | 79,318,000 | Long-term operating lease liabilities | 73,725,000 | 79,318,000 | ||||||||||||||
Finance | Other liabilities | 1,972,000 | 2,742,000 | Other liabilities | 1,640,000 | 2,742,000 | ||||||||||||||
Total lease liabilities | $ | 88,100,000 | $ | 92,678,000 | $ | 85,493,000 | $ | 92,678,000 |
Three Months Ended | Six Months Ended | Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||
September 30, | September 30, | December 31, | December 31, | |||||||||||||||||||||||||||||
2023 | 2022 | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||||
Lease cost | ||||||||||||||||||||||||||||||||
Operating lease cost | $ | 3,761,000 | $ | 3,130,000 | $ | 7,503,000 | $ | 6,295,000 | $ | 3,740,000 | $ | 3,232,000 | $ | 11,243,000 | $ | 9,527,000 | ||||||||||||||||
Short-term lease cost | 350,000 | 559,000 | 643,000 | 1,013,000 | 274,000 | 340,000 | 917,000 | 1,353,000 | ||||||||||||||||||||||||
Variable lease cost | 146,000 | 179,000 | 332,000 | 364,000 | 138,000 | 164,000 | 470,000 | 528,000 | ||||||||||||||||||||||||
Finance lease cost: | ||||||||||||||||||||||||||||||||
Amortization of finance lease assets | 391,000 | 489,000 | 794,000 | 1,028,000 | 361,000 | 503,000 | 1,155,000 | 1,531,000 | ||||||||||||||||||||||||
Interest on finance lease liabilities | 57,000 | 64,000 | 119,000 | 132,000 | 51,000 | 68,000 | 170,000 | 200,000 | ||||||||||||||||||||||||
Total lease cost | $ | 4,705,000 | $ | 4,421,000 | $ | 9,391,000 | $ | 8,832,000 | $ | 4,564,000 | $ | 4,307,000 | $ | 13,955,000 | $ | 13,139,000 |
Maturity of lease liabilities | Operating Leases | Finance Leases | Total | Operating Leases | Finance Leases | Total | ||||||||||||||||||
2024 - remaining six months | $ | 6,959,000 | $ | 996,000 | $ | 7,955,000 | ||||||||||||||||||
2024 - remaining three months | $ | 3,506,000 | $ | 483,000 | $ | 3,989,000 | ||||||||||||||||||
2025 | 12,457,000 | 1,576,000 | 14,033,000 | 12,514,000 | 1,577,000 | 14,091,000 | ||||||||||||||||||
2026 | 12,154,000 | 844,000 | 12,998,000 | 12,200,000 | 844,000 | 13,044,000 | ||||||||||||||||||
2027 | 10,962,000 | 353,000 | 11,315,000 | 10,974,000 | 353,000 | 11,327,000 | ||||||||||||||||||
2028 | 10,871,000 | 194,000 | 11,065,000 | 10,873,000 | 194,000 | 11,067,000 | ||||||||||||||||||
Thereafter | 54,475,000 | 2,000 | 54,477,000 | 54,486,000 | 2,000 | 54,488,000 | ||||||||||||||||||
Total lease payments | 107,878,000 | 3,965,000 | 111,843,000 | 104,553,000 | 3,453,000 | 108,006,000 | ||||||||||||||||||
Less amount representing interest | (23,443,000 | ) | (300,000 | ) | (23,743,000 | ) | (22,264,000 | ) | (249,000 | ) | (22,513,000 | ) | ||||||||||||
Present value of lease liabilities | $ | 84,435,000 | $ | 3,665,000 | $ | 88,100,000 | $ | 82,289,000 | $ | 3,204,000 | $ | 85,493,000 |
September 30, 2023 | March 31, 2023 | December 31, 2023 | March 31, 2023 | |||||||||||||
Lease term and discount rate | ||||||||||||||||
Weighted-average remaining lease term (years): | ||||||||||||||||
Finance leases | 2.6 | 2.9 | 2.4 | 2.9 | ||||||||||||
Operating leases | 8.7 | 9.0 | 8.5 | 9.0 | ||||||||||||
Weighted-average discount rate: | ||||||||||||||||
Finance leases | 6.0 | % | 5.9 | % | 6.0 | % | 5.9 | % | ||||||||
Operating leases | 5.8 | % | 5.8 | % | 5.8 | % | 5.8 | % |
Six Months Ended | Nine Months Ended | |||||||||||||||
September 30, | December 31, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
Receivables discounted | $ | 255,303,000 | $ | 283,359,000 | $ | 465,073,000 | $ | 428,868,000 | ||||||||
Weighted average number of days collection was accelerated | 338 | 327 | 334 | 323 | ||||||||||||
Annualized weighted average discount rate | 6.6 | % | 4.4 | % | 6.8 | % | 5.0 | % | ||||||||
Amount of discount recognized as interest expense | $ | 15,940,000 | $ | 11,293,000 | $ | 29,395,000 | $ | 19,131,000 |
Three Months Ended | Six Months Ended | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
Net loss | $ | (1,958,000 | ) | $ | (6,517,000 | ) | $ | (3,368,000 | ) | $ | (6,692,000 | ) | ||||
Basic shares | 19,599,162 | 19,272,557 | 19,554,142 | 19,197,181 | ||||||||||||
Effect of potentially dilutive securities | - | - | - | - | ||||||||||||
Diluted shares | 19,599,162 | 19,272,557 | 19,554,142 | 19,197,181 | ||||||||||||
Net loss per share: | ||||||||||||||||
Basic net loss per share | $ | (0.10 | ) | $ | (0.34 | ) | $ | (0.17 | ) | $ | (0.35 | ) | ||||
Diluted net loss per share | $ | (0.10 | ) | $ | (0.34 | ) | $ | (0.17 | ) | $ | (0.35 | ) |
Three Months Ended | Nine Months Ended | |||||||||||||||
December 31, | December 31, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
Net (loss) income | $ | (47,214,000 | ) | $ | 1,026,000 | $ | (50,582,000 | ) | $ | (5,666,000 | ) | |||||
Basic shares | 19,634,306 | 19,474,871 | 19,580,960 | 19,383,531 | ||||||||||||
Effect of potentially dilutive securities | - | 159,282 | - | - | ||||||||||||
Diluted shares | 19,634,306 | 19,634,153 | 19,580,960 | 19,383,531 | ||||||||||||
Net (loss) income per share: | ||||||||||||||||
Basic net (loss) income per share | $ | (2.40 | ) | $ | 0.05 | $ | (2.58 | ) | $ | (0.29 | ) | |||||
Diluted net (loss) income per share | $ | (2.40 | ) | $ | 0.05 | $ | (2.58 | ) | $ | (0.29 | ) |
Loss Recognized as Foreign Exchange Impact of Lease Liabilities and Forward Contracts | Gain (Loss) Recognized as Foreign Exchange Impact of Lease Liabilities and Forward Contracts | |||||||||||||||||||||||||||||||
Three Months Ended | Six Months Ended | Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||
Derivatives Not Designated as | September 30, | September 30, | December 31, | December 31, | ||||||||||||||||||||||||||||
Hedging Instruments | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||
Forward foreign currency exchange contracts | $ | (2,812,000 | ) | $ | (41,000 | ) | $ | (2,312,000 | ) | $ | (739,000 | ) | $ | 541,000 | $ | 1,184,000 | $ | (1,771,000 | ) | $ | 445,000 |
September 30, 2023 | March 31, 2023 | December 31, 2023 | March 31, 2023 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Measurements | Fair Value Measurements | Fair Value Measurements | Fair Value Measurements | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Using Inputs Considered as | Using Inputs Considered as | Using Inputs Considered as | Using Inputs Considered as | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value | Level 1 | Level 2 | Level 3 | Fair Value | Level 1 | Level 2 | Level 3 | Fair Value | Level 1 | Level 2 | Level 3 | Fair Value | Level 1 | Level 2 | Level 3 | |||||||||||||||||||||||||||||||||||||||||||||||||
Assets | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Short-term investments | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mutual funds | $ | 2,036,000 | $ | 2,036,000 | $ | - | $ | - | $ | 2,011,000 | $ | 2,011,000 | $ | - | $ | - | $ | 2,206,000 | $ | 2,206,000 | $ | - | $ | - | $ | 2,011,000 | $ | 2,011,000 | $ | - | $ | - | ||||||||||||||||||||||||||||||||
Prepaid expenses and other current assets | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Forward foreign currency exchange contracts | 1,577,000 | - | 1,577,000 | - | 3,889,000 | - | 3,889,000 | - | 2,118,000 | - | 2,118,000 | - | 3,889,000 | - | 3,889,000 | - | ||||||||||||||||||||||||||||||||||||||||||||||||
Liabilities | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other current liabilities | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Deferred compensation | 2,036,000 | 2,036,000 | - | - | 2,011,000 | 2,011,000 | - | - | 2,206,000 | 2,206,000 | - | - | 2,011,000 | 2,011,000 | - | - | ||||||||||||||||||||||||||||||||||||||||||||||||
Convertible notes, related party | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Compound Net Derivative Liability | 8,960,000 | - | - | 8,960,000 | 8,430,000 | - | - | 8,430,000 | 10,120,000 | - | - | 10,120,000 | 8,430,000 | - | - | 8,430,000 |
September 30, 2023 | March 31, 2023 | December 31, 2023 | March 31, 2023 | |||||||||||||
Risk free interest rate | 4.70 | % | 3.64 | % | 4.02 | % | 3.64 | % | ||||||||
Cost of equity | 22.90 | % | 21.80 | % | 23.10 | % | 21.80 | % | ||||||||
Weighted average cost of capital | 15.10 | % | 14.60 | % | 15.50 | % | 14.60 | % | ||||||||
Expected volatility of MPA common stock | 50.00 | % | 50.00 | % | 50.00 | % | 50.00 | % | ||||||||
EBITDA volatility | 40.00 | % | 35.00 | % | 40.00 | % | 35.00 | % |
Three Months Ended | Six Months Ended | Three Months Ended | Nine Months Ended | |||||||||||||
September 30, | September 30, | December 31, | December 31, | |||||||||||||
2023 | 2023 | 2023 | 2023 | |||||||||||||
Beginning balance | $ | 8,570,000 | $ | 8,430,000 | $ | 8,960,000 | $ | 8,430,000 | ||||||||
Changes in fair value of Compound Net Derivative Liability included in earnings | 390,000 | 530,000 | 1,160,000 | 1,690,000 | ||||||||||||
Ending balance | $ | 8,960,000 | $ | 8,960,000 | $ | 10,120,000 | $ | 10,120,000 |
Six Months Ended | Nine Months Ended | |||||||
September 30, | December 31, | |||||||
2023 | 2023 | |||||||
Weighted average risk free interest rate | 4.53 | % | 4.53 | % | ||||
Weighted average expected holding period (years) | 6.57 | 6.57 | ||||||
Weighted average expected volatility | 51.29 | % | 51.29 | % | ||||
Weighted average expected dividend yield | - | - | ||||||
Weighted average fair value of options granted | $ | 3.75 | $ | 3.75 |
Number of Shares | Weighted Average Exercise Price | Number of Shares | Weighted Average Exercise Price | |||||||||||||
Outstanding at March 31, 2023 | 1,232,745 | $ | 20.20 | 1,232,745 | $ | 20.20 | ||||||||||
Granted | 132,133 | $ | 9.32 | 132,133 | $ | 9.32 | ||||||||||
Exercised | - | $ | - | - | $ | - | ||||||||||
Forfeited/Cancelled | (108,456 | ) | $ | 19.59 | (111,262 | ) | $ | 19.64 | ||||||||
Expired | (134,533 | ) | $ | 9.32 | (140,533 | ) | $ | 9.66 | ||||||||
Outstanding at September 30, 2023 | 1,121,889 | $ | 20.28 | |||||||||||||
Outstanding at December 31, 2023 | 1,113,083 | $ | 20.30 |
Number of Shares | Weighted Average Grant Date Fair Value | Number of Shares | Weighted Average Grant Date Fair Value | |||||||||||||
Outstanding at March 31, 2023 | 429,354 | $ | 15.07 | 429,354 | $ | 15.07 | ||||||||||
Granted | - | $ | - | 100,624 | $ | 7.95 | ||||||||||
Vested | (147,300 | ) | $ | 15.67 | (210,485 | ) | $ | 15.58 | ||||||||
Forfeited/Cancelled | (77,025 | ) | $ | 13.24 | (77,626 | ) | $ | 13.25 | ||||||||
Outstanding at September 30, 2023 | 205,029 | $ | 15.33 | |||||||||||||
Outstanding at December 31, 2023 | 241,867 | $ | 12.25 |
Six Months Ended September 30, | Nine Months Ended December 31, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
Risk free interest rate | 4.32-4.35 | % | 3.35 | % | 4.32-4.35 | % | 3.35 | % | ||||||||
Expected life in years | 0.2-1.8 | 3 | 0.2-1.8 | 3 | ||||||||||||
Expected volatility of MPA common stock | 54.2-55.1 | % | 51.30 | % | 54.2-55.1 | % | 51.30 | % | ||||||||
Expected average volatility of peer companies | - | % | 62.70 | % | - | % | 62.70 | % | ||||||||
Average correlation coefficient of peer companies | - | % | 27.50 | % | - | % | 27.50 | % | ||||||||
Expected dividend yield | - | - | - | - | ||||||||||||
Grant date fair value | $ | 3.57-8.37 | $ | 16.02 | $ | 3.57-8.37 | $ | 16.02 |
Number of Shares | Weighted Average Grant Date Fair Value | Number of Shares | Weighted Average Grant Date Fair Value | |||||||||||||
Outstanding at March 31, 2023 | 192,696 | $ | 17.48 | 192,696 | $ | 17.48 | ||||||||||
Granted | 585,583 | $ | 4.50 | 585,583 | $ | 4.50 | ||||||||||
Vested | - | $ | - | - | $ | - | ||||||||||
Forfeited | (1,162 | ) | $ | 5.91 | (2,614 | ) | $ | 6.09 | ||||||||
Outstanding at September 30, 2023 | 777,117 | $ | 7.72 | |||||||||||||
Outstanding at December 31, 2023 | 775,665 | $ | 7.72 |
Three Months Ended September 30, | Six Months Ended September 30, | Three Months Ended December 31, | Nine Months Ended December 31, | |||||||||||||||||||||||||||||
2023 | 2022 | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | |||||||||||||||||||||||||
Balance at beginning of period | $ | 16,677,000 | $ | 17,868,000 | $ | 19,830,000 | $ | 20,125,000 | $ | 16,197,000 | $ | 18,461,000 | $ | 19,830,000 | $ | 20,125,000 | ||||||||||||||||
Charged to expense | 37,022,000 | 33,895,000 | 68,134,000 | 64,815,000 | 34,532,000 | 31,621,000 | 102,666,000 | 96,436,000 | ||||||||||||||||||||||||
Amounts processed | (37,502,000 | ) | (33,302,000 | ) | (71,767,000 | ) | (66,479,000 | ) | (34,599,000 | ) | (32,510,000 | ) | (106,366,000 | ) | (98,989,000 | ) | ||||||||||||||||
Balance at end of period | $ | 16,197,000 | $ | 18,461,000 | $ | 16,197,000 | $ | 18,461,000 | $ | 16,130,000 | $ | 17,572,000 | $ | 16,130,000 | $ | 17,572,000 |
• | Hard Parts, including (i) light duty rotating electric products such as alternators and starters, (ii) wheel hub products, (iii) brake-related products, including brake calipers, brake boosters, brake rotors, brake pads and brake master cylinders, and (iv) turbochargers, |
• | Test Solutions and Diagnostic Equipment, including (i) applications for combustion engine vehicles, including bench top testers for alternators and starters, (ii) equipment for the pre- and post-production of electric vehicles, and (iii) software emulation of power system applications for the electrification of all forms of transportation (including automobiles, trucks, the emerging electrification of systems within the aerospace industry, and electric vehicle charging stations), and |
• | Heavy Duty, including non-discretionary automotive aftermarket replacement hard parts for heavy-duty truck, industrial, marine, and agricultural applications. |
Three Months Ended September 30, 2023 | Three Months Ended December 31, 2023 | |||||||||||||||||||||||
Hard Parts | All Other | Total | Hard Parts | All Other | Total | |||||||||||||||||||
Net sales to external customers | $ | 184,421,000 | $ | 12,218,000 | $ | 196,639,000 | $ | 161,254,000 | $ | 10,608,000 | $ | 171,862,000 | ||||||||||||
Intersegment sales | 68,000 | 38,000 | 106,000 | 242,000 | 116,000 | 358,000 | ||||||||||||||||||
Operating income (loss) | 15,203,000 | (1,300,000 | ) | 13,903,000 | 9,993,000 | (473,000 | ) | 9,520,000 | ||||||||||||||||
Depreciation and amortization | 2,589,000 | 344,000 | 2,933,000 | 2,557,000 | 321,000 | 2,878,000 | ||||||||||||||||||
Segment assets | 1,074,783,000 | 51,668,000 | 1,126,451,000 | 1,005,470,000 | 51,965,000 | 1,057,435,000 | ||||||||||||||||||
Capital expenditures | 91,000 | 38,000 | 129,000 | 221,000 | 72,000 | 293,000 |
Three Months Ended September 30, 2022 | Three Months Ended December 31, 2022 | |||||||||||||||||||||||
Hard Parts | All Other | Total | Hard Parts | All Other | Total | |||||||||||||||||||
Net sales to external customers | $ | 166,061,000 | $ | 6,482,000 | $ | 172,543,000 | $ | 139,809,000 | $ | 12,010,000 | $ | 151,819,000 | ||||||||||||
Intersegment sales | 203,000 | 16,000 | 219,000 | 128,000 | 27,000 | 155,000 | ||||||||||||||||||
Operating income (loss) | 7,174,000 | (5,215,000 | ) | 1,959,000 | 4,191,000 | (678,000 | ) | 3,513,000 | ||||||||||||||||
Depreciation and amortization | 2,724,000 | 366,000 | 3,090,000 | 2,737,000 | 371,000 | 3,108,000 | ||||||||||||||||||
Segment assets | 1,022,669,000 | 42,823,000 | 1,065,492,000 | 1,020,855,000 | 50,225,000 | 1,071,080,000 | ||||||||||||||||||
Capital expenditures | 1,194,000 | 75,000 | 1,269,000 | 778,000 | 185,000 | 963,000 |
Six Months Ended September 30, 2023 | Nine Months Ended December 31, 2023 | |||||||||||||||||||||||
Hard Parts | All Other | Total | Hard Parts | All Other | Total | |||||||||||||||||||
Net sales to external customers | $ | 334,168,000 | $ | 22,176,000 | $ | 356,344,000 | $ | 495,422,000 | $ | 32,784,000 | $ | 528,206,000 | ||||||||||||
Intersegment sales | 200,000 | 133,000 | 333,000 | 442,000 | 249,000 | 691,000 | ||||||||||||||||||
Operating income (loss) | 26,709,000 | (2,379,000 | ) | 24,330,000 | 36,702,000 | (2,852,000 | ) | 33,850,000 | ||||||||||||||||
Depreciation and amortization | 5,268,000 | 698,000 | 5,966,000 | 7,825,000 | 1,019,000 | 8,844,000 | ||||||||||||||||||
Capital expenditures | 131,000 | 38,000 | 169,000 | 352,000 | 110,000 | 462,000 |
Six Months Ended September 30, 2022 | Nine Months Ended December 31, 2022 | |||||||||||||||||||||||
Hard Parts | All Other | Total | Hard Parts | All Other | Total | |||||||||||||||||||
Net sales to external customers | $ | 318,489,000 | $ | 18,039,000 | $ | 336,528,000 | $ | 458,298,000 | $ | 30,049,000 | $ | 488,347,000 | ||||||||||||
Intersegment sales | 350,000 | 158,000 | 508,000 | 478,000 | 185,000 | 663,000 | ||||||||||||||||||
Operating income (loss) | 16,785,000 | (7,495,000 | ) | 9,290,000 | 20,976,000 | (8,173,000 | ) | 12,803,000 | ||||||||||||||||
Depreciation and amortization | 5,475,000 | 739,000 | 6,214,000 | 8,212,000 | 1,110,000 | 9,322,000 | ||||||||||||||||||
Capital expenditures | 2,536,000 | 108,000 | 2,644,000 | 3,314,000 | 293,000 | 3,607,000 |
Three Months Ended | Six Months Ended | Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||
September 30, | September 30, | December 31, | December 31, | |||||||||||||||||||||||||||||
Net sales | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||
Total net sales for reportable segment | $ | 184,489,000 | $ | 166,264,000 | $ | 334,368,000 | $ | 318,839,000 | $ | 161,496,000 | $ | 139,937,000 | $ | 495,864,000 | $ | 458,776,000 | ||||||||||||||||
Other net sales | 12,256,000 | 6,498,000 | 22,309,000 | 18,197,000 | 10,724,000 | 12,037,000 | 33,033,000 | 30,234,000 | ||||||||||||||||||||||||
Elimination of intersegment net sales | (106,000 | ) | (219,000 | ) | (333,000 | ) | (508,000 | ) | (358,000 | ) | (155,000 | ) | (691,000 | ) | (663,000 | ) | ||||||||||||||||
Total consolidated net sales | $ | 196,639,000 | $ | 172,543,000 | $ | 356,344,000 | $ | 336,528,000 | $ | 171,862,000 | $ | 151,819,000 | $ | 528,206,000 | $ | 488,347,000 |
Three Months Ended | Six Months Ended | Three Months Ended | Nine Months Ended | |||||||||||||||||||||||||||||
September 30, | September 30, | December 31, | December 31, | |||||||||||||||||||||||||||||
Profit or loss | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||
Total operating income for reportable segment | $ | 15,203,000 | $ | 7,174,000 | $ | 26,709,000 | $ | 16,785,000 | $ | 9,993,000 | $ | 4,191,000 | $ | 36,702,000 | $ | 20,976,000 | ||||||||||||||||
Other operating loss | (1,300,000 | ) | (5,215,000 | ) | (2,379,000 | ) | (7,495,000 | ) | (473,000 | ) | (678,000 | ) | (2,852,000 | ) | (8,173,000 | ) | ||||||||||||||||
Elimination of intersegment operating income | 34,000 | (107,000 | ) | 48,000 | (103,000 | ) | ||||||||||||||||||||||||||
Elimination of intersegment operating income (loss) | 4,000 | 13,000 | 52,000 | (90,000 | ) | |||||||||||||||||||||||||||
Interest expense, net | (15,383,000 | ) | (9,283,000 | ) | (27,103,000 | ) | (16,204,000 | ) | (18,297,000 | ) | (11,471,000 | ) | (45,400,000 | ) | (27,675,000 | ) | ||||||||||||||||
Change in fair value of compound net derivative liability | (390,000 | ) | - | (530,000 | ) | - | (1,160,000 | ) | - | (1,690,000 | ) | - | ||||||||||||||||||||
Loss on extinguishment of debt | (168,000 | ) | - | (168,000 | ) | - | - | - | (168,000 | ) | - | |||||||||||||||||||||
Total consolidated loss before income tax benefit | $ | (2,004,000 | ) | $ | (7,431,000 | ) | $ | (3,423,000 | ) | $ | (7,017,000 | ) | ||||||||||||||||||||
Total consolidated loss before income tax expense (benefit) | $ | (9,933,000 | ) | $ | (7,945,000 | ) | $ | (13,356,000 | ) | $ | (14,962,000 | ) |
Assets | September 30, 2023 | March 31, 2023 | December 31, 2023 | March 31, 2023 | ||||||||||||
Total assets for reportable segment | $ | 1,074,783,000 | $ | 1,032,739,000 | $ | 1,005,470,000 | $ | 1,032,739,000 | ||||||||
Other assets | 51,668,000 | 49,778,000 | 51,965,000 | 49,778,000 | ||||||||||||
Elimination of intersegment assets | (59,679,000 | ) | (53,952,000 | ) | (61,502,000 | ) | (53,952,000 | ) | ||||||||
Total consolidated assets | $ | 1,066,772,000 | $ | 1,028,565,000 | $ | 995,933,000 | $ | 1,028,565,000 |
Item 2. | Management’s Discussion and Analysis of Financial Condition and Results of Operations |
• | Hard Parts, including (i) light duty rotating electric products such as alternators and starters, (ii) wheel hub products, (iii) brake-related products, including brake calipers, brake boosters, brake rotors, brake pads and brake master cylinders, and (iv) turbochargers, |
• | Test Solutions and Diagnostic Equipment, including (i) applications for combustion engine vehicles, including bench top testers for alternators and starters, (ii) equipment for the pre- and post-production of electric vehicles, and (iii) software emulation of power system applications for the electrification of all forms of transportation (including automobiles, trucks, the emerging electrification of systems within the aerospace industry, and electric vehicle charging stations), and |
• | Heavy Duty, including non-discretionary automotive aftermarket replacement hard parts for heavy-duty truck, industrial, marine, and agricultural applications. |
Three Months Ended | ||||||||||||||||
Three Months Ended September 30, | December 31, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
Cash flow provided by (used in) operations | $ | 15,300,000 | $ | (15,972,000 | ) | $ | 53,615,000 | $ | (4,474,000 | ) | ||||||
Finished goods turnover (annualized) (1) | 4.1 | 3.3 | 3.6 | 3.1 |
(1) | Annualized finished goods turnover for the fiscal quarter is calculated by multiplying cost of goods sold for the quarter by 4 and dividing the result by the average between beginning and ending non-core finished goods inventory values for the fiscal quarter. We believe this provides a useful measure of our ability to turn our inventory into revenues. |
Three Months Ended | ||||||||||||||||
Three Months Ended September 30, | December 31, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
Net sales | $ | 196,639,000 | $ | 172,543,000 | $ | 171,862,000 | $ | 151,819,000 | ||||||||
Cost of goods sold | 155,491,000 | 146,027,000 | 141,819,000 | 130,826,000 | ||||||||||||
Gross profit | 41,148,000 | 26,516,000 | 30,043,000 | 20,993,000 | ||||||||||||
Gross profit percentage | 20.9 | % | 15.4 | % | 17.5 | % | 13.8 | % |
Three Months Ended | ||||||||||||||||
Three Months Ended September 30, | December 31, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
General and administrative | $ | 14,325,000 | $ | 14,846,000 | $ | 15,198,000 | $ | 13,599,000 | ||||||||
Sales and marketing | 5,688,000 | 6,066,000 | 5,931,000 | 5,634,000 | ||||||||||||
Research and development | 2,438,000 | 2,670,000 | 2,539,000 | 2,547,000 | ||||||||||||
Foreign exchange impact of lease liabilities and forward contracts | 4,760,000 | 1,082,000 | (3,149,000 | ) | (4,313,000 | ) | ||||||||||
Percent of net sales | ||||||||||||||||
General and administrative | 7.3 | % | 8.6 | % | 8.8 | % | 9.0 | % | ||||||||
Sales and marketing | 2.9 | % | 3.5 | % | 3.5 | % | 3.7 | % | ||||||||
Research and development | 1.2 | % | 1.5 | % | 1.5 | % | 1.7 | % | ||||||||
Foreign exchange impact of lease liabilities and forward contracts | 2.4 | % | 0.6 | % | (1.8 | )% | (2.8 | )% |
Six Months Ended September 30, | Nine Months Ended | |||||||||||||||
2023 | 2022 | December 31, | ||||||||||||||
Cash flow used in operations | $ | (5,170,000 | ) | $ | (16,954,000 | ) | ||||||||||
2023 | 2022 | |||||||||||||||
Cash flow provided by (used in) operations | $ | 48,445,000 | $ | (21,428,000 | ) | |||||||||||
Finished goods turnover (annualized) (1) | 3.8 | 3.3 | 3.7 | 3.3 |
(1) | Annualized finished goods turnover for the fiscal period is calculated by multiplying cost of goods sold for the period by |
Nine Months Ended | ||||||||||||||||
Six Months Ended September 30, | December 31, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
Net sales | $ | 356,344,000 | $ | 336,528,000 | $ | 528,206,000 | $ | 488,347,000 | ||||||||
Cost of goods sold | 288,629,000 | 279,710,000 | 430,448,000 | 410,536,000 | ||||||||||||
Gross profit | 67,715,000 | 56,818,000 | 97,758,000 | 77,811,000 | ||||||||||||
Gross profit percentage | 19.0 | % | 16.9 | % | 18.5 | % | 15.9 | % |
Nine Months Ended | ||||||||||||||||
Six Months Ended September 30, | December 31, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
General and administrative | $ | 26,927,000 | $ | 28,480,000 | $ | 42,125,000 | $ | 42,079,000 | ||||||||
Sales and marketing | 11,107,000 | 11,608,000 | 17,038,000 | 17,242,000 | ||||||||||||
Research and development | 4,813,000 | 5,783,000 | 7,352,000 | 8,330,000 | ||||||||||||
Foreign exchange impact of lease liabilities and forward contracts | 490,000 | 1,760,000 | (2,659,000 | ) | (2,553,000 | ) | ||||||||||
Percent of net sales | ||||||||||||||||
General and administrative | 7.6 | % | 8.5 | % | 8.0 | % | 8.6 | % | ||||||||
Sales and marketing | 3.1 | % | 3.4 | % | 3.2 | % | 3.5 | % | ||||||||
Research and development | 1.4 | % | 1.7 | % | 1.4 | % | 1.7 | % | ||||||||
Foreign exchange impact of lease liabilities and forward contracts | 0.1 | % | 0.5 | % | (0.5 | )% | (0.5 | )% |
Six Months Ended September 30, | Nine Months Ended December 31, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
Cash flows (used in) provided by: | ||||||||||||||||
Cash flows provided by (used in): | ||||||||||||||||
Operating activities | $ | (5,170,000 | ) | $ | (16,954,000 | ) | $ | 48,445,000 | $ | (21,428,000 | ) | |||||
Investing activities | (108,000 | ) | (2,817,000 | ) | (420,000 | ) | (3,855,000 | ) | ||||||||
Financing activities | 4,008,000 | 4,689,000 | (47,646,000 | ) | 14,898,000 | |||||||||||
Effect of exchange rates on cash and cash equivalents | (33,000 | ) | (323,000 | ) | 180,000 | (52,000 | ) | |||||||||
Net decrease in cash and cash equivalents | $ | (1,303,000 | ) | $ | (15,405,000 | ) | ||||||||||
Additional selected cash flow data: | ||||||||||||||||
Net increase (decrease) in cash and cash equivalents | $ | 559,000 | $ | (10,437,000 | ) | |||||||||||
Additional Selected Cash flow data: | ||||||||||||||||
Depreciation and amortization | $ | 5,966,000 | $ | 6,214,000 | $ | 8,844,000 | $ | 9,322,000 | ||||||||
Capital expenditures | 169,000 | 2,644,000 | 462,000 | 3,607,000 |
Six Months Ended September 30, | Nine Months Ended December 31, | |||||||||||||||
2023 | 2022 | 2023 | 2022 | |||||||||||||
Receivables discounted | $ | 255,303,000 | $ | 283,359,000 | $ | 465,073,000 | $ | 428,868,000 | ||||||||
Weighted average number of days collection was accelerated | 338 | 327 | 334 | 323 | ||||||||||||
Annualized weighted average discount rate | 6.6 | % | 4.4 | % | 6.8 | % | 5.0 | % | ||||||||
Amount of discount recognized as interest expense | $ | 15,940,000 | $ | 11,293,000 | $ | 29,395,000 | $ | 19,131,000 |
Item 3. | Quantitative and Qualitative Disclosures About Market Risk |
Item 4. | Controls and Procedures |
Item 1. | Legal Proceedings |
Item 1A. | Risk Factors |
Item 2. | Unregistered Sales of Equity Securities and Use of Proceeds |
Periods | Total Number of Shares Purchased | Average Price Paid Per Share | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs | Approximate Dollar Value of Shares That May Yet Be Purchased Under the Plans or Programs (1) | Total Number of Shares Purchased | Average Price Paid Per Share | Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs | Approximate Dollar Value of Shares That May Yet Be Purchased Under the Plans or Programs (1) | ||||||||||||||||||||||||
July 1 - July 31, 2023: | ||||||||||||||||||||||||||||||||
October 1 - October 31, 2023: | ||||||||||||||||||||||||||||||||
Open market and privately negotiated purchases | - | $ | - | - | $ | 18,255,000 | - | $ | - | - | $ | 18,255,000 | ||||||||||||||||||||
August 1 - August 31, 2023: | ||||||||||||||||||||||||||||||||
November 1 - November 30, 2023: | ||||||||||||||||||||||||||||||||
Open market and privately negotiated purchases | - | $ | - | - | 18,255,000 | - | $ | - | - | 18,255,000 | ||||||||||||||||||||||
September 1 - September 30, 2023: | ||||||||||||||||||||||||||||||||
December 1 - December 31, 2023: | ||||||||||||||||||||||||||||||||
Open market and privately negotiated purchases | - | $ | - | - | 18,255,000 | - | $ | - | - | 18,255,000 | ||||||||||||||||||||||
Total | 0 | 0 | $ | 18,255,000 | 0 | 0 | $ | 18,255,000 |
(1) | As of |
Item 3. | Defaults Upon Senior Securities |
(a) | Exhibits: |
Number | Description of Exhibit | Method of Filing | |||
3.1 | Certificate of Incorporation of the Company | Incorporated by reference to Exhibit 3.1 to the Company’s Registration Statement on Form SB-2 declared effective on March 22, 1994 (the “1994 Registration Statement”). | |||
3.2 | Amendment to Certificate of Incorporation of the Company | Incorporated by reference to Exhibit 3.2 to the Company’s Registration Statement on Form S-1 (No. 33-97498) declared effective on November 14, 1995. | |||
Amendment to Certificate of Incorporation of the Company | |||||
Amendment to Certificate of Incorporation of the Company | |||||
Amendment to Certificate of Incorporation of the Company | |||||
Amended and Restated By-Laws of Motorcar Parts of America, Inc. | |||||
Certificate of Amendment of the Certificate of Incorporation of the Company | |||||
Amendment to the Amended and Restated By-Laws of Motorcar Parts of America, Inc., as adopted on June 9, 2016 | |||||
Amendment to the Amended and Restated By-Laws of the Company | |||||
Third Amendment to the Amended and Restated By-Laws of Motorcar Parts of America, Inc., as adopted on January 26, 2022 | |||||
Description of the Registrant’s Securities Registered Pursuant to Section 12 of the Securities Exchange Act of 1934 | |||||
2004 Non-Employee Director Stock Option Plan | |||||
2010 Incentive Award Plan | |||||
Amended and Restated 2010 Incentive Award Plan |
Number | Description of Exhibit | Method of Filing | ||||
Second Amended and Restated 2010 Incentive Award Plan | ||||||
2014 Non-Employee Director Incentive Award Plan | ||||||
Third Amended and Restated 2010 Incentive Award Plan | ||||||
Fourth Amended and Restated 2010 Incentive Award Plan | ||||||
2022 Incentive Award Plan | ||||||
Form of Convertible Promissory Note | ||||||
Form of Common Stock Warrant | ||||||
First Amended and Restated Convertible Promissory Note | ||||||
First Amended and Restated Common Stock Warrant | ||||||
Seventh Amendment to Amended and Restated Loan Agreement, dated as of August 3, 2023, among Motorcar Parts of America, Inc., D & V Electronics Ltd., Dixie Electric Ltd., and Dixie Electric Inc., each lender from time to time party thereto, and PNC Bank, National Association, as administrative agent | ||||||
Second Amendment to the Note Purchase Agreement | ||||||
10.3 | Eighth Amendment to Amended and Restated Loan Agreement, dated as of December 12, 2023, among Motorcar Parts of America, Inc., D & V Electronics Ltd., Dixie Electric Ltd., and Dixie Electric Inc., each lender from time to time party thereto, and PNC Bank, National Association, as administrative agent | |||||
Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes Oxley Act of 2002 | Filed herewith. | |||||
Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes Oxley Act of 2002 | Filed herewith. | |||||
Certification of Chief Accounting Officer pursuant to Section 302 of the Sarbanes Oxley Act of 2002 | Filed herewith. | |||||
Certifications of Chief Executive Officer, Chief Financial Officer and Chief Accounting Officer pursuant to Section 906 of the Sarbanes Oxley Act of 2002 | Filed herewith. |
Number | Description of Exhibit | Method of Filing | |||
| |||||
101.INS | Inline XBRL Instance Document (the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the inline XBRL document). | ||||
101.SCM | Inline XBRL Taxonomy Extension Schema Document | ||||
101.CAL | Inline XBRL Taxonomy Extension Calculation Linkbase Document | ||||
101.DEF | Inline XBRL Taxonomy Extension Definition Linkbase Document | ||||
101.LAB | Inline XBRL Taxonomy Extension Label Linkbase Document | ||||
101.PRE | Inline XBRL Taxonomy Extension Presentation Linkbase Document | ||||
104 | Cover Page Interactive Data File (formatted as inline XBRL and contained in Exhibit 101) |
MOTORCAR PARTS OF AMERICA, INC. | |||
Dated: | By: | /s/ David Lee | |
David Lee | |||
Chief Financial Officer | |||
Dated: | By: | /s/ Kamlesh Shah | |
Kamlesh Shah | |||
Chief Accounting Officer |