Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Dec. 30, 2018 | Feb. 04, 2019 | |
Document Document And Entity Information [Abstract] | ||
Entity Registrant Name | UNIFI INC | |
Entity Central Index Key | 100,726 | |
Trading Symbol | ufi | |
Current Fiscal Year End Date | --06-30 | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding (in shares) | 18,385,553 | |
Document Type | 10-Q | |
Document Period End Date | Dec. 30, 2018 | |
Document Fiscal Year Focus | 2,019 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Dec. 30, 2018 | Jun. 24, 2018 |
ASSETS | ||
Cash and cash equivalents | $ 26,653 | $ 44,890 |
Receivables, net | 79,294 | 86,273 |
Inventories | 134,642 | 126,311 |
Income taxes receivable | 9,291 | 10,291 |
Other current assets | 18,120 | 6,529 |
Total current assets | 268,000 | 274,294 |
Property, plant and equipment, net | 205,053 | 205,516 |
Deferred income taxes | 3,166 | 3,288 |
Investments in unconsolidated affiliates | 113,618 | 112,639 |
Other non-current assets | 4,546 | 6,070 |
Total assets | 594,383 | 601,807 |
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||
Accounts payable | 43,527 | 48,970 |
Accrued expenses | 12,463 | 17,720 |
Income taxes payable | 1,818 | 1,317 |
Current portion of long-term debt | 13,982 | 16,996 |
Total current liabilities | 71,790 | 85,003 |
Long-term debt | 116,078 | 113,553 |
Other long-term liabilities | 5,457 | 5,337 |
Income tax payable | 470 | |
Deferred income taxes | 7,131 | 7,663 |
Total liabilities | 200,456 | 212,026 |
Commitments and contingencies | ||
Common stock, $0.10 par value (500,000,000 shares authorized; 18,382,797 and 18,352,824 shares issued and outstanding as of December 30, 2018 and June 24, 2018, respectively) | 1,838 | 1,835 |
Capital in excess of par value | 59,619 | 56,726 |
Retained earnings | 375,195 | 371,753 |
Accumulated other comprehensive loss | (42,725) | (40,533) |
Total shareholders’ equity | 393,927 | 389,781 |
Total liabilities and shareholders’ equity | $ 594,383 | $ 601,807 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Unaudited) (Parentheticals) - $ / shares | Dec. 30, 2018 | Jun. 24, 2018 |
Statement Of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.10 | $ 0.10 |
Common stock, shares authorized (in shares) | 500,000,000 | 500,000,000 |
Common stock, shares issued (in shares) | 18,382,797 | 18,352,824 |
Common stock, shares outstanding (in shares) | 18,382,797 | 18,352,824 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 30, 2018 | Dec. 24, 2017 | Dec. 30, 2018 | Dec. 24, 2017 | |
Income Statement [Abstract] | ||||
Net sales | $ 167,711 | $ 167,478 | $ 349,322 | $ 331,720 |
Cost of sales | 153,555 | 144,802 | 315,147 | 285,752 |
Gross profit | 14,156 | 22,676 | 34,175 | 45,968 |
Selling, general and administrative expenses | 14,822 | 14,626 | 29,233 | 27,489 |
Provision (benefit) for bad debts | 32 | (72) | 163 | (131) |
Other operating expense (income), net | 99 | 348 | (141) | 663 |
Operating (loss) income | (797) | 7,774 | 4,920 | 17,947 |
Interest income | (152) | (181) | (299) | (262) |
Interest expense | 1,355 | 1,190 | 2,822 | 2,375 |
Loss on extinguishment of debt | 131 | 131 | ||
Equity in earnings of unconsolidated affiliates | (1,014) | (211) | (1,253) | (3,298) |
(Loss) income before income taxes | (1,117) | 6,976 | 3,519 | 19,132 |
(Benefit) provision for income taxes | (2,288) | (4,826) | 536 | (1,630) |
Net income | $ 1,171 | $ 11,802 | $ 2,983 | $ 20,762 |
Net income per common share: | ||||
Basic | $ 0.06 | $ 0.65 | $ 0.16 | $ 1.14 |
Diluted | $ 0.06 | $ 0.63 | $ 0.16 | $ 1.12 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive (Loss) Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 30, 2018 | Dec. 24, 2017 | Dec. 30, 2018 | Dec. 24, 2017 | |
Net income | $ 1,171 | $ 11,802 | $ 2,983 | $ 20,762 |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | 1,986 | (2,341) | (1,509) | 524 |
Changes in interest rate swaps, net of tax of $219, $0, $219 and $0, respectively | (953) | 1,077 | (725) | 1,492 |
Other comprehensive income (loss), net | 730 | (1,751) | (2,192) | 1,423 |
Comprehensive income | 1,901 | 10,051 | 791 | 22,185 |
Unconsolidated Affiliates [Member] | ||||
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | $ (303) | $ (487) | $ 42 | $ (593) |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Comprehensive (Loss) Income (Unaudited) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 30, 2018 | Dec. 24, 2017 | Dec. 30, 2018 | Dec. 24, 2017 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Changes in interest rate swaps, tax | $ 219 | $ 0 | $ 219 | $ 0 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Dec. 30, 2018 | Dec. 24, 2017 | |
Statement Of Cash Flows [Abstract] | ||
Cash and cash equivalents at beginning of year | $ 44,890 | $ 35,425 |
Operating activities: | ||
Net income | 2,983 | 20,762 |
Adjustments to reconcile net income to net cash (used in) provided by operating activities: | ||
Equity in earnings of unconsolidated affiliates | (1,253) | (3,298) |
Distributions received from unconsolidated affiliates | 630 | 8,678 |
Depreciation and amortization expense | 11,652 | 11,135 |
Non-cash compensation expense | 3,039 | 3,569 |
Deferred income taxes | (332) | (6,282) |
Other, net | (269) | (206) |
Changes in assets and liabilities: | ||
Receivables, net | 6,504 | 267 |
Inventories | (17,139) | (4,556) |
Other current assets | (3,163) | (210) |
Accounts payable and accrued expenses | (8,263) | (8,796) |
Income taxes | 1,088 | (945) |
Other, net | 548 | 271 |
Net cash (used in) provided by operating activities | (3,975) | 20,389 |
Investing activities: | ||
Capital expenditures | (12,342) | (11,360) |
Other, net | (20) | 15 |
Net cash used in investing activities | (12,362) | (11,345) |
Financing activities: | ||
Proceeds from ABL Revolver | 53,500 | 59,200 |
Payments on ABL Revolver | (65,100) | (46,600) |
Proceeds from ABL Term Loan | 20,000 | |
Payments on ABL Term Loan | (5,000) | (5,000) |
Payments on capital lease obligations | (3,583) | (3,528) |
Proceeds from stock option exercises | 244 | 219 |
Payments of debt financing fees | (665) | |
Other | (690) | (328) |
Net cash (used in) provided by financing activities | (1,294) | 3,963 |
Effect of exchange rate changes on cash and cash equivalents | (606) | 183 |
Net (decrease) increase in cash and cash equivalents | (18,237) | 13,190 |
Cash and cash equivalents at end of period | $ 26,653 | $ 48,615 |
Background
Background | 6 Months Ended |
Dec. 30, 2018 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Background | 1. Background Unifi, Inc., a New York corporation formed in 1969 (together with its subsidiaries, “UNIFI,” the “Company,” “we,” “us” or “our”), is a multi-national company that manufactures and sells innovative recycled and synthetic products made from polyester and nylon primarily to other yarn manufacturers and knitters and weavers (UNIFI’s direct customers) that produce yarn and/or fabric for the apparel, hosiery, home furnishings, automotive, industrial and other end-use markets (UNIFI’s indirect customers). We refer to these indirect customers as “brand partners.” Polyester yarns include partially oriented yarn (“POY”), textured, solution and package dyed, twisted, beamed and draw wound yarns, and each is available in virgin or recycled varieties. Recycled solutions, made from both pre-consumer and post-consumer waste, include plastic bottle flake (“Flake”) and polyester polymer beads (“Chip”). Nylon yarns include virgin or recycled textured, solution dyed and spandex covered yarns. UNIFI maintains one of the textile industry’s most comprehensive product offerings that include a range of specialized, premium value-added (“PVA”) and commodity solutions, with principal geographic markets in the Americas and Asia. UNIFI has direct manufacturing operations in four countries and participates in joint ventures in Israel and the United States, the most significant of which is a 34% non-controlling partnership interest in Parkdale America, LLC (“PAL”), a significant unconsolidated affiliate that produces cotton and synthetic yarns for sale to the global textile industry and apparel market. |
Basis of Presentation; Condense
Basis of Presentation; Condensed Notes | 6 Months Ended |
Dec. 30, 2018 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Basis of Presentation; Condensed Notes | 2. Basis of Presentation; Condensed Notes The accompanying condensed consolidated financial statements are unaudited and have been prepared in accordance with generally accepted accounting principles in the United States (“GAAP”) for interim financial information. As contemplated by the instructions of the Securities and Exchange Commission (the “SEC”) to Form 10-Q, the following notes have been condensed and, therefore, do not contain all disclosures required in connection with annual financial statements. Reference should be made to UNIFI’s year-end audited consolidated financial statements and related notes thereto contained in its Annual Report on Form 10-K for the fiscal year ended June 24, 2018 (the “2018 Form 10-K”). The financial information included in this report has been prepared by UNIFI, without audit. In the opinion of management, all adjustments, which consist of normal, recurring adjustments, considered necessary for a fair statement of the results for interim periods have been included. Nevertheless, the results shown for interim periods are not necessarily indicative of results to be expected for the full year. The preparation of financial statements in conformity with GAAP requires management to make use of estimates and assumptions that affect the amounts reported and certain financial statement disclosures. Actual results may vary from these estimates. All amounts, except per share amounts, are presented in thousands (000s), except as otherwise noted. The fiscal quarter for Unifi, Inc. and its subsidiary in El Salvador ended on December 30, 2018, the last Sunday in December. The fiscal quarter for Unifi, Inc.’s Brazilian, Chinese, Colombian and Sri Lankan subsidiaries ended on December 31, 2018. There were no significant transactions or events that occurred between Unifi, Inc.’s fiscal quarter end and such wholly owned subsidiaries’ subsequent fiscal quarter end. The three-month periods ended December 30, 2018 and December 24, 2017 consisted of 13 fiscal weeks. The six-month periods ended December 30, 2018 and December 24, 2017 consisted of 27 and 26 fiscal weeks, respectively. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 6 Months Ended |
Dec. 30, 2018 | |
New Accounting Pronouncements And Changes In Accounting Principles [Abstract] | |
Recent Accounting Pronouncements | 3. Recent Accounting Pronouncements Issued and Pending Adoption In February 2016, the Financial Accounting Standards Board (the “FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, Leases (Topic 842) Under the guidance in the SEC Staff Announcement on July 20, 2017 relating to the transition to ASU No. 2016-02, due to its status as a significant subsidiary of Unifi, Inc., PAL expects to adopt the new lease guidance in its fiscal 2020. PAL is currently evaluating the impact of the new lease guidance. Recently Adopted In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) . Subsequent ASUs were issued to provide clarity and defer the effective date of the new guidance. The new revenue recognition guidance (the “New Revenue Recognition Guidance”) eliminated the transaction- and industry-specific revenue recognition guidance under previous GAAP and replaced it with a principles-based approach. Upon adoption in fiscal 2019, UNIFI determined that the impact of the New Revenue Recognition Guidance is immaterial. Accordingly, UNIFI utilized the modified retrospective method of adoption and recorded the impact of open contracts as of June 24, 2018 as an adjustment to the opening balance of fiscal 2019 retained earnings, and prior period balances are not adjusted. “ Revenue earned in fourth quarter fiscal 2018 related to contracts open at June 24, 2018 $ 8,593 Less associated cost of sales 7,992 Less associated income tax 142 Adjustment to retained earnings for contracts open at June 24, 2018 $ 459 Under the guidance in the SEC Staff Announcement on July 20, 2017 relating to the transition to ASU No. 2014-09, due to its status as a significant subsidiary of Unifi, Inc., PAL expects to adopt the New Revenue Recognition Guidance in its fiscal 2019. PAL is currently evaluating the impact of the New Revenue Recognition Guidance. Based on UNIFI’s review of ASUs issued since the filing of the 2018 Form 10-K, there have been no other newly issued or newly applicable accounting pronouncements that have had, or are expected to have, a significant impact on UNIFI’s consolidated financial statements. |
Revenue Recognition
Revenue Recognition | 6 Months Ended |
Dec. 30, 2018 | |
Revenue From Contract With Customer [Abstract] | |
Revenue Recognition | 4. Revenue Recognition In fiscal 2019, UNIFI adopted the New Revenue Recognition Guidance. Details surrounding the impact of adoption and the additional disclosures follow. Revenue is recognized when performance obligations under the terms of a contract with a customer are satisfied, which primarily occurs at a point in time, upon either shipment or delivery to the customer. Revenue is also recognized over time for certain contracts in which the associated inventory produced has no alternative use The following table presents disaggregated revenues for UNIFI: For the Three Months Ended For the Six Months Ended December 30, 2018 December 24, 2017 December 30, 2018 December 24, 2017 Third-party textile manufacturer $ 165,338 $ 165,366 $ 344,659 $ 327,527 Service 2,373 2,112 4,663 4,193 Net sales $ 167,711 $ 167,478 $ 349,322 $ 331,720 Third-Party Textile Manufacturer Third-party textile manufacturer revenue is primarily generated through sales to direct customers. Such sales represent satisfaction of UNIFI’s performance obligations required by the associated revenue contracts. Each of UNIFI’s reportable segments derives revenue from sales to third-party textile manufacturers. Service Revenue Service revenue is primarily generated, as services are rendered, through fulfillment of toll manufacturing of textile products or transportation services governed by written agreements. Such toll manufacturing and transportation services represent satisfaction of UNIFI’s performance obligations required by the associated revenue contracts. The Polyester Segment derives service revenue for toll manufacturing, and the All Other category derives service revenue for transportation services. Variable Consideration Volume-based incentives Volume-based incentives involve rebates or refunds of cash that are redeemable if the customer satisfies certain order volume thresholds during a defined time period. Under these incentive programs, UNIFI estimates the anticipated rebate to be paid and allocates a portion of the estimated cost of the rebate to each underlying sales transaction with the customer. Product claims UNIFI generally offers customers claims support or remuneration for defective products. UNIFI estimates the amount of its product sales that may be claimed as defective by its customers and records this estimate as a reduction of revenue in the period the related product revenue is recognized. For all variable consideration, where appropriate, UNIFI estimates the amount using the expected value, which takes into consideration historical experience, current contractual requirements, specific known market events and forecasted customer buying and payment patterns. Overall, these reserves reflect UNIFI’s best estimates of the amount of consideration to which the customer is entitled based on the terms of the contracts. Impact of adoption of New Revenue Recognition Guidance The following table summarizes the impact of the adoption of the New Revenue Recognition Guidance on UNIFI's applicable financial statement line items for the six months ended December 30, 2018. Any impact to other financial statement line items is insignificant and excluded from the below. Financial Statement Line Item Treatment under previous Revenue Recognition Guidance Adjustments in connection with New Revenue Recognition Guidance As reported under New Revenue Recognition Guidance Revenue $ 347,311 $ 2,011 $ 349,322 Cost of sales $ 313,115 $ 2,032 $ 315,147 Gross profit (loss) $ 34,196 $ (21 ) $ 34,175 Inventory $ 144,619 $ (9,977 ) $ 134,642 Contract assets $ — $ 10,537 $ 10,537 Contract assets represents the estimated revenue attributable to UNIFI in connection with completed performance obligations under contracts with customers for which revenue is recognized over time. The contract assets are classified to receivables when the right to payment becomes unconditional. The $10,537 change in the contract assets balance from June 24, 2018 to December 30, 2018 represents the routine recognition of satisfied performance obligations, in connection with adoption of and treatment under the New Revenue Recognition Guidance. |
Receivables, Net
Receivables, Net | 6 Months Ended |
Dec. 30, 2018 | |
Receivables [Abstract] | |
Receivables, Net | 5. Receivables, Net Receivables, net consists of the following: December 30, 2018 June 24, 2018 Customer receivables $ 80,905 $ 87,633 Allowance for uncollectible accounts (2,186 ) (2,059 ) Reserves for yarn quality claims (842 ) (564 ) Net customer receivables 77,877 85,010 Other receivables 1,417 1,263 Total receivables, net $ 79,294 $ 86,273 There have been no material changes in UNIFI’s allowance for uncollectible accounts or reserves for yarn quality claims since June 24, 2018. |
Inventories
Inventories | 6 Months Ended |
Dec. 30, 2018 | |
Inventory Disclosure [Abstract] | |
Inventories | 6. Inventories Inventories consists of the following: December 30, 2018 June 24, 2018 Raw materials $ 55,353 $ 45,448 Supplies 8,036 7,314 Work in process 6,852 8,834 Finished goods 66,742 66,314 Gross inventories 136,983 127,910 Inventory reserves (2,341 ) (1,599 ) Total inventories $ 134,642 $ 126,311 In connection with UNIFI’s utilization of the modified retrospective method of adopting the New Revenue Recognition Guidance, prior period balances are not adjusted to reflect the impact that the New Revenue Recognition Guidance would have had on prior periods. See Note 4, “Revenue Recognition,” for further detail regarding the impact of the New Revenue Recognition Guidance to fiscal 2019. |
Other Current Assets
Other Current Assets | 6 Months Ended |
Dec. 30, 2018 | |
Other Assets Current [Abstract] | |
Other Current Assets | 7. Other Current Assets Other current assets consists of the following: December 30, 2018 June 24, 2018 Contract assets $ 10,537 $ — Vendor deposits 4,097 3,703 Prepaid expenses 2,247 1,802 Value-added taxes receivable 1,239 1,024 Total other current assets $ 18,120 $ 6,529 Vendor deposits primarily relates to down payments made toward the purchase of inventory. Prepaid expenses consists of advance payments for insurance, professional fees, membership dues, subscriptions, marketing and information technology services. Value-added taxes receivable relates to recoverable taxes associated with the sales and purchase activities of UNIFI’s foreign operations. |
Property, Plant and Equipment,
Property, Plant and Equipment, Net | 6 Months Ended |
Dec. 30, 2018 | |
Property Plant And Equipment [Abstract] | |
Property, Plant and Equipment, Net | 8. Property, Plant and Equipment, Net Property, plant and equipment (“PP&E”), net consists of the following: December 30, 2018 June 24, 2018 Land $ 2,852 $ 2,860 Land improvements 15,173 15,118 Buildings and improvements 159,089 157,354 Assets under capital leases 34,302 34,568 Machinery and equipment 596,012 589,237 Computers, software and office equipment 20,418 19,723 Transportation equipment 4,984 5,029 Construction in progress 8,656 8,651 Gross PP&E 841,486 832,540 Less: accumulated depreciation (628,009 ) (619,654 ) Less: accumulated amortization – capital leases (8,424 ) (7,370 ) Total PP&E, net $ 205,053 $ 205,516 Depreciation expense and repair and maintenance expenses were as follows: For the Three Months Ended For the Six Months Ended December 30, 2018 December 24, 2017 December 30, 2018 December 24, 2017 Depreciation expense $ 5,261 $ 5,237 $ 10,924 $ 10,360 Repair and maintenance expenses 4,987 4,779 10,847 9,504 |
Accrued Expenses
Accrued Expenses | 6 Months Ended |
Dec. 30, 2018 | |
Payables And Accruals [Abstract] | |
Accrued Expenses | 9. Accrued Expenses Accrued expenses consists of the following: December 30, 2018 June 24, 2018 Payroll and fringe benefits $ 8,017 $ 10,833 Other 4,446 6,887 Total accrued expenses $ 12,463 $ 17,720 Other consists primarily of accruals for utilities, property taxes, employee-related claims and payments, interest, marketing expenses, freight expenses, rent, other non-income related taxes and deferred revenue. |
Long-Term Debt
Long-Term Debt | 6 Months Ended |
Dec. 30, 2018 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | 10. Long-Term Debt Debt Obligations The following table presents the total balances outstanding for UNIFI’s debt obligations, their scheduled maturity dates and the weighted average interest rates for borrowings as well as the applicable current portion of long-term debt: Weighted Average Scheduled Interest Rate as of Principal Amounts as of Maturity Date December 30, 2018 December 30, 2018 June 24, 2018 ABL Revolver December 2023 4.3% $ 16,500 $ 28,100 ABL Term Loan (1) December 2023 3.8% 100,000 85,000 Capital lease obligations (2) 3.8% 14,604 18,107 Total debt 131,104 131,207 Current portion of capital lease obligations (6,482 ) (6,996 ) Current portion of other long-term debt (7,500 ) (10,000 ) Unamortized debt issuance costs (1,044 ) (658 ) Total long-term debt $ 116,078 $ 113,553 (1) Includes the effects of interest rate swaps. (2) Scheduled maturity dates for capital lease obligations range from January 2019 to November 2027. ABL Facility On December 18, 2018, Unifi, Inc. and certain of its subsidiaries entered into a Third Amendment to Amended and Restated Credit Agreement and Second Amendment to Amended and Restated Guaranty and Security Agreement (the “2018 Amendment”). The 2018 Amendment amended the Amended and Restated Credit Agreement, dated as of March 26, 2015, among Unifi, Inc. and a syndicate of lenders, as previously amended (as further amended by the 2018 Amendment, the “Credit Agreement”). The Credit Agreement provides for a $200,000 senior secured credit facility (the “ABL Facility”), including a $100,000 revolving credit facility (the “ABL Revolver”) and a term loan that can be reset up to a maximum amount of $100,000, once per fiscal year, if certain conditions are met (the “ABL Term Loan”). The ABL Facility has a maturity date of December 18, 2023. The 2018 Amendment made the following changes to the Credit Agreement, among others: (i) extended the Maturity Date from March 26, 2020 to December 18, 2023, and (ii) decreased the Applicable Margin pricing structure for Base Rate Loans and LIBOR Rate Loans by 25 basis points. In addition, in connection with the 2018 Amendment, the principal amount of the Term Loan was reset from $80,000 to $100,000. Net proceeds from this Term Loan reset were used to pay down the amount outstanding on the ABL Revolver. Scheduled Debt Maturities The following table presents the scheduled maturities of UNIFI’s outstanding debt obligations for the remainder of fiscal 2019, the following four fiscal years and thereafter: Fiscal 2019 Fiscal 2020 Fiscal 2021 Fiscal 2022 Fiscal 2023 Thereafter ABL Revolver $ — $ — $ — $ — $ — $ 16,500 ABL Term Loan 2,500 10,000 10,000 10,000 10,000 57,500 Capital lease obligations 3,442 5,559 2,634 2,417 91 461 Total $ 5,942 $ 15,559 $ 12,634 $ 12,417 $ 10,091 $ 74,461 |
Other Long-Term Liabilities
Other Long-Term Liabilities | 6 Months Ended |
Dec. 30, 2018 | |
Other Liabilities Disclosure [Abstract] | |
Other Long-Term Liabilities | 11. Other Long-Term Liabilities Other long-term liabilities consists of the following: December 30, 2018 June 24, 2018 Supplemental post-employment plan $ 2,940 $ 3,045 Uncertain tax positions 541 131 Other 1,976 2,161 Total other long-term liabilities $ 5,457 $ 5,337 Other primarily includes certain retiree and post-employment medical and disability liabilities, deferred revenue and deferred energy incentive credits. |
Income Taxes
Income Taxes | 6 Months Ended |
Dec. 30, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 12. Income Taxes The provision (benefit) for income taxes was as follows: For the Three Months Ended For the Six Months Ended December 30, 2018 December 24, 2017 December 30, 2018 December 24, 2017 (Benefit) provision for income taxes $ (2,288 ) $ (4,826 ) $ 536 $ (1,630 ) Effective tax rate 204.8 % (69.2 )% 15.2 % (8.5 )% U.S. Tax Reform On December 22, 2017, the U.S. government enacted comprehensive tax legislation H.R. 1, formerly known as the Tax Cuts and Jobs Act. H.R. 1 includes significant changes to existing tax law, including a permanent reduction to the U.S. federal corporate income tax rate from 35% to 21%, full expensing for investments in new and used qualified property, additional limitations on the deduction of compensation paid to specified executive officers, and the transition of the U.S. international tax system from a worldwide tax to a territorial tax system. As a fiscal-year taxpayer, certain provisions of H.R. 1 impacted UNIFI in fiscal 2018, including the change in the U.S. federal corporate income tax rate and the one-time transition tax (“toll charge”), while other provisions became effective for UNIFI at the beginning of fiscal 2019. On December 22, 2017, Staff Accounting Bulletin No. 118 (“SAB 118”) was issued to address the application of GAAP in situations where a registrant does not have the necessary information available, prepared or analyzed in reasonable detail to complete the accounting for certain income tax effects of H.R. 1. SAB 118 provides that when reasonable estimates can be made, the provisional accounting should be based on such estimates, and when reasonable estimates cannot be made, the provisional accounting may be based on the law in effect before H.R. 1. UNIFI has applied the guidance in SAB 118 when accounting for the enactment-date effects of H.R. 1. Accordingly, in fiscal 2018 UNIFI re-measured U.S. deferred tax assets and liabilities based on the income tax rates at which the deferred tax assets and liabilities are expected to reverse in the future, resulting in $4,297 of tax benefit for the year ended June 24, 2018. UNIFI also recorded $3,901 of tax expense related to the toll charge, net of foreign tax credits. For a description of the impact of H.R. 1 for the year ended June 24, 2018, reference is made to Note 14, “Income Taxes,” in UNIFI’s 2018 Annual Report on Form 10-K. The SAB 118 measurement period for UNIFI ended on December 22, 2018. UNIFI did not make any final measurement period adjustments to the tax benefit recorded in the year ended June 24, 2018 to re-measure U.S. deferred tax assets and liabilities. During the three months ended December 30, 2018, UNIFI recorded a final measurement period adjustment of $(1,734) to decrease the amount of the toll charge, net of foreign tax credits, from $3,901 to $2,167, a rate impact of 155.2%. Although UNIFI no longer considers these amounts to be provisional, the income tax effects of H.R. 1 may change following future legislation or further interpretation of H.R. 1 based on the publication of guidance from the U.S. Internal Revenue Service (the “IRS”) and state tax authorities. The Global Intangible Low-Taxed Income (“GILTI”) provisions included in H.R. 1 require that certain income earned by foreign subsidiaries must be currently included in the gross income of the U.S. shareholder. These provisions are effective for UNIFI in fiscal 2019. The GILTI provisions are complex and subject to continuing regulatory interpretation by the IRS. UNIFI is required to make an accounting policy election to either treat taxes resulting from GILTI as a current-period expense when they are incurred or factor such amounts into the measurement of deferred taxes. UNIFI has elected to recognize GILTI as a current-period expense. Under this policy, UNIFI has not provided deferred taxes related to temporary differences that, upon their reversal, will affect the amount of income subject to GILTI in the period. Income Tax Expense UNIFI’s provision for income taxes for the six months ended December 30, 2018 and December 24, 2017 has been calculated by applying an estimate of the annual effective tax rate for the full fiscal year to year-to-date income or loss. Tax effects of significant unusual or infrequently occurring items are excluded from the estimated annual effective tax rate calculation and recognized in the interim period in which they occur. The effective tax rate for the three months ended December 30, 2018 was higher than the U.S. federal statutory rate primarily due to the benefits of tax credits related to prior years which exceed the loss before income taxes. These benefits were partially offset by earnings taxed at higher rates in foreign jurisdictions, losses in tax jurisdictions for which no tax benefit could be recognized, the effects of the GILTI provisions enacted in H.R. 1, and non-deductible executive compensation. The effective tax rate for the six months ended December 30, 2018 was lower than the U.S. federal statutory rate primarily due to the benefits of tax credits related to prior years. These benefits were partially offset by earnings taxed at higher rates in foreign jurisdictions, losses in tax jurisdictions for which no tax benefit could be recognized, the effects of the GILTI provisions enacted in H.R. 1, and non-deductible executive compensation. The effective tax rate for the three and six months ended December 24, 2017 was lower than the U.S. federal statutory rate primarily due to the one-time tax benefit resulting from the revaluation of UNIFI’s domestic deferred tax balances for the lower U.S. statutory tax rate, the release of a valuation allowance on certain historical net operating losses (“NOLs”), and foreign income being taxed at lower rates. These benefits were partially offset by a provisional amount for the toll charge, net of foreign tax credits, and losses in tax jurisdictions for which no tax benefit could be recognized. UNIFI regularly assesses the outcomes of both completed and ongoing examinations to ensure that its provision for income taxes is sufficient. Certain returns that remain open to examination have utilized carryforward tax attributes generated in prior tax years, including NOLs, which could potentially be revised upon examination. Valuation Allowance UNIFI regularly assesses whether it is more-likely-than-not that some portion or all of its deferred tax assets will not be realized. UNIFI considers the scheduled reversal of taxable temporary differences, taxable income in carryback years, projected future taxable income and tax planning strategies in making this assessment. Since UNIFI operates in multiple jurisdictions, the assessment is made on a jurisdiction-by-jurisdiction basis, taking into account the effects of local tax law. The components of UNIFI’s deferred tax valuation allowance are as follows: December 30, 2018 June 24, 2018 Investment in a former domestic unconsolidated affiliate $ (3,942 ) $ (3,942 ) Equity-method investment in PAL (1,470 ) (1,580 ) Certain losses carried forward (1) (1,562 ) (1,562 ) State NOLs (166 ) (169 ) Other foreign NOLs (1,903 ) (2,460 ) Foreign tax credits (13,713 ) (5,430 ) Total deferred tax valuation allowance $ (22,756 ) $ (15,143 ) (1) Certain U.S. NOLs and capital losses outside the U.S. consolidated tax filing group. |
Shareholders' Equity
Shareholders' Equity | 6 Months Ended |
Dec. 30, 2018 | |
Stockholders Equity Note [Abstract] | |
Shareholders' Equity | 13. Shareholders’ Equity For the three-months ended December 30, 2018: Shares Common Stock Capital in Excess of Par Value Retained Earnings Accumulated Other Comprehensive Loss Total Shareholders’ Equity Balance at September 30, 2018 18,380 $ 1,838 $ 57,706 $ 374,024 $ (43,455 ) $ 390,113 Conversion of restricted stock units 3 — — — — — Stock-based compensation — — 1,913 — — 1,913 Other comprehensive income, net of tax — — — — 730 730 Net income — — — 1,171 — 1,171 Balance at December 30, 2018 18,383 $ 1,838 $ 59,619 $ 375,195 $ (42,725 ) $ 393,927 For the six-months ended December 30, 2018: Shares Common Stock Capital in Excess of Par Value Retained Earnings Accumulated Other Comprehensive Loss Total Shareholders’ Equity Balance at June 24, 2018 18,353 $ 1,835 $ 56,726 $ 371,753 $ (40,533 ) $ 389,781 Options exercised 16 2 242 — — 244 Conversion of restricted stock units 17 1 (1 ) — — — Stock-based compensation 1 — 2,785 — — 2,785 Common stock withheld in satisfaction of tax withholding obligations under net share settle transactions (4 ) — (133 ) — — (133 ) Other comprehensive loss, net of tax — — — — (2,192 ) (2,192 ) Adoption of the New Revenue Recognition Guidance — — — 459 — 459 Net income — — — 2,983 — 2,983 Balance at December 30, 2018 18,383 $ 1,838 $ 59,619 $ 375,195 $ (42,725 ) $ 393,927 For the three-months ended December 24, 2017: Shares Common Stock Capital in Excess of Par Value Retained Earnings Accumulated Other Comprehensive Loss Total Shareholders’ Equity Balance at September 24, 2017 18,261 $ 1,826 $ 53,104 $ 348,900 $ (29,706 ) $ 374,124 Options exercised 23 3 (3 ) — — — Conversion of restricted stock units 3 — — — — — Stock-based compensation 4 — 2,114 — — 2,114 Other comprehensive loss, net of tax — — — — (1,751 ) (1,751 ) Net income — — — 11,802 — 11,802 Balance at December 24, 2017 18,291 $ 1,829 $ 55,215 $ 360,702 $ (31,457 ) $ 386,289 For the six-months ended December 24, 2017: Shares Common Stock Capital in Excess of Par Value Retained Earnings Accumulated Other Comprehensive Loss Total Shareholders’ Equity Balance at June 25, 2017 18,230 $ 1,823 $ 51,923 $ 339,940 $ (32,880 ) $ 360,806 Options exercised 54 6 213 — — 219 Conversion of restricted stock units 3 — — — — — Stock-based compensation 4 — 3,079 — — 3,079 Other comprehensive income, net of tax — — — — 1,423 1,423 Net income — — — 20,762 — 20,762 Balance at December 24, 2017 18,291 $ 1,829 $ 55,215 $ 360,702 $ (31,457 ) $ 386,289 No dividends were paid during the six months ended December 30, 2018 or in the two most recently completed fiscal years. Stock Repurchase Program On April 23, 2014, UNIFI announced that its Board of Directors (the “Board”) had approved a stock repurchase program (the “2014 SRP”) under which UNIFI was authorized to acquire up to $50,000 of its common stock. UNIFI made no repurchases of its shares of common stock during the six months ended December 30, 2018. Through October 31, 2018 (the date the 2014 SRP was terminated, as discussed below), UNIFI had repurchased a total of 806 shares, at an average price of $27.79 (for a total of $22,409, inclusive of commission costs) pursuant to the 2014 SRP. On October 31, 2018, UNIFI announced that the Board had terminated the 2014 SRP and approved a new stock repurchase program (the “2018 SRP”) under which UNIFI is authorized to acquire up to $50,000 of its common stock. Under the 2018 SRP, purchases will be made from time to time in the open market at prevailing market prices, through private transactions or block trades. The timing and amount of repurchases will depend on market conditions, share price, applicable legal requirements and other factors. The share repurchase authorization is discretionary and has no expiration date. As of December 30, 2018, $50,000 remained available for repurchase under the 2018 SRP. |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Dec. 30, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-Based Compensation | 14. Stock-Based Compensation On October 23, 2013, UNIFI’s shareholders approved the Unifi, Inc. 2013 Incentive Compensation Plan (the “2013 Plan”). The 2013 Plan replaced the 2008 Unifi, Inc. Long-Term Incentive Plan (the “2008 LTIP”). No additional awards can be granted under the 2008 LTIP; however, prior awards outstanding under the 2008 LTIP remain subject to that plan’s provisions. The 2013 Plan authorized the issuance of 1,000 shares of common stock, subject to certain increases in the event outstanding awards under the 2008 LTIP expire, are forfeited or otherwise terminate unexercised. The 2013 Plan expired in accordance with its terms on October 24, 2018, and the Unifi, Inc. Amended and Restated 2013 Incentive Compensation Plan (the “Amended 2013 Plan”) became effective on that same day, upon approval by shareholders at UNIFI’s annual meeting of shareholders held on October 31, 2018. The Amended 2013 Plan increased the number of shares available for future issuance pursuant to awards granted under the Amended 2013 Plan to 1,250 and removed provisions no longer applicable due to the recent changes to Section 162(m) of the Internal Revenue Code of 1986, as amended. The material terms and provisions of the Amended 2013 Plan are otherwise similar to those of the 2013 Plan. The following table provides information as of December 30, 2018 with respect to the number of securities remaining available for future issuance under the Amended 2013 Plan: Authorized under the Amended 2013 Plan 1,250 Plus: Awards expired, forfeited or otherwise terminated unexercised 17 Less: Awards granted to employees (257 ) Less: Awards granted to non-employee directors (47 ) Available for issuance under the Amended 2013 Plan 963 During the six months ended December 30, 2018 and December 24, 2017, UNIFI granted stock options to purchase 188 and 54 shares of common stock, respectively. During the six months ended December 30, 2018 and December 24, 2017, UNIFI granted 69 and 90 restricted stock units, respectively. During the six months ended December 30, 2018 and December 24, 2017, UNIFI granted 47 and 0 vested share units, respectively. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments and Non-Financial Assets and Liabilities | 6 Months Ended |
Dec. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments and Non-Financial Assets and Liabilities | 15. Fair Value of Financial Instruments and Non-Financial Assets and Liabilities UNIFI may use derivative financial instruments such as foreign currency forward contracts or interest rate swaps to reduce its ongoing business exposures to fluctuations in foreign currency exchange rates or interest rates. UNIFI does not enter into derivative contracts for speculative purposes. The following table presents details regarding UNIFI’s hedging activities: For the Three Months Ended For the Six Months Ended December 30, 2018 December 24, 2017 December 30, 2018 December 24, 2017 Interest expense $ 1,355 $ 1,190 $ 2,822 $ 2,375 Decrease (increase) in fair value of interest rate swaps 1,173 (1,077 ) 944 (1,492 ) Impact of interest rate swaps on interest expense (71 ) 123 (106 ) 254 For the six months ended December 30, 2018 and December 24, 2017, there were no significant changes to UNIFI’s assets and liabilities measured at fair value, and there were no transfers into or out of the levels of the fair value hierarchy. UNIFI believes that there have been no significant changes to its credit risk profile or the interest rates available to UNIFI for debt issuances with similar terms and average maturities, and UNIFI estimates that the fair values of its debt obligations approximate the carrying amounts. Other financial instruments include cash and cash equivalents, receivables, accounts payable and accrued expenses. The financial statement carrying amounts of these items approximate the fair value due to their short-term nature. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 6 Months Ended |
Dec. 30, 2018 | |
Accumulated Other Comprehensive Income Loss Net Of Tax [Abstract] | |
Accumulated Other Comprehensive Loss | 16. Accumulated Other Comprehensive Loss The components of and the changes in accumulated other comprehensive loss, net of tax, as applicable, consist of the following: Foreign Currency Translation Adjustments Changes in Interest Rate Swaps Accumulated Other Comprehensive Loss Balance at June 24, 2018 $ (42,268 ) $ 1,735 $ (40,533 ) Other comprehensive loss, net of tax (1,467 ) (725 ) (2,192 ) Balance at December 30, 2018 $ (43,735 ) $ 1,010 $ (42,725 ) A summary of the after-tax effects of the components of other comprehensive (loss) income, net for the three-month and six-month periods ended December 30, 2018 and December 24, 2017 is included in the accompanying condensed consolidated statements of comprehensive (loss) income. |
Earnings Per Share
Earnings Per Share | 6 Months Ended |
Dec. 30, 2018 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 17. Earnings Per Share The components of the calculation of earnings per share (“EPS”) are as follows: For the Three Months Ended For the Six Months Ended December 30, 2018 December 24, 2017 December 30, 2018 December 24, 2017 Net income $ 1,171 $ 11,802 $ 2,983 $ 20,762 Basic weighted average shares 18,382 18,273 18,374 18,260 Net potential common share equivalents – stock options and restricted stock units 323 378 327 338 Diluted weighted average shares 18,705 18,651 18,701 18,598 Excluded from diluted weighted average shares: Anti-dilutive common share equivalents 498 60 500 290 The calculation of EPS is based on the weighted average number of Unifi, Inc.’s common shares outstanding for the applicable period. The calculation of diluted EPS presents the effect of all potential dilutive common shares that were outstanding during the respective period, unless the effect of doing so is anti-dilutive. |
Investments in Unconsolidated A
Investments in Unconsolidated Affiliates and Variable Interest Entities | 6 Months Ended |
Dec. 30, 2018 | |
Equity Method Investments And Joint Ventures [Abstract] | |
Investments in Unconsolidated Affiliates and Variable Interest Entities | 18. Investments in Unconsolidated Affiliates and Variable Interest Entities UNIFI currently maintains investments in three entities classified as unconsolidated affiliates: PAL; U.N.F. Industries, Ltd. (“UNF”); and UNF America LLC (“UNFA”). As of December 30, 2018, UNIFI’s investment in PAL was $110,922 and UNIFI’s combined investments in UNF and UNFA were $2,696, each of which is reflected within investments in unconsolidated affiliates in the accompanying condensed consolidated balance sheets. Parkdale America, LLC PAL is a limited liability company treated as a partnership for income tax reporting purposes. UNIFI accounts for its investment in PAL using the equity method of accounting. PAL is subject to price risk related to anticipated fixed-price yarn sales. To protect the gross margin of these sales, PAL may enter into cotton futures to manage changes in raw material prices. The derivative instruments used are listed and traded on an exchange and are valued using quoted prices classified within Level 1 of the fair value hierarchy. As of December 30, 2018, PAL had no futures contracts designated as cash flow hedges. The reconciliation between UNIFI’s share of the underlying equity of PAL and its investment is as follows: Underlying equity as of December 30, 2018 $ 129,013 Initial excess capital contributions 53,363 Impairment charge recorded by UNIFI in fiscal 2007 (74,106 ) Anti-trust lawsuit against PAL in which UNIFI did not participate 2,652 Investment as of December 30, 2018 $ 110,922 U.N.F. Industries, Ltd. Raw material and production services for UNF are provided by Nilit Ltd. under separate supply and services agreements. UNF’s fiscal year end is December 31, and it is a registered Israeli private company located in Migdal Ha-Emek, Israel. UNF America LLC Raw material and production services for UNFA are provided by Nilit America Inc. under separate supply and services agreements. UNFA’s fiscal year end is December 31, and it is a limited liability company treated as a partnership for income tax reporting purposes located in Ridgeway, Virginia. In conjunction with the formation of UNFA, UNIFI entered into a supply agreement with UNF and UNFA whereby UNIFI agreed to purchase all of its first quality nylon POY requirements for texturing (subject to certain exceptions) from either UNF or UNFA. The agreement has no stated minimum purchase quantities and pricing is negotiated every six months, based on market rates. As of December 30, 2018, UNIFI’s open purchase orders related to this agreement were $9,660. UNIFI’s raw material purchases under this supply agreement consist of the following: For the Six Months Ended December 30, 2018 December 24, 2017 UNF $ 1,006 $ 1,141 UNFA 12,558 10,406 Total $ 13,564 $ 11,547 As of December 30, 2018 and June 24, 2018, UNIFI had combined accounts payable due to UNF and UNFA of $3,264 and $2,301, respectively. UNIFI has determined that UNF and UNFA are variable interest entities and that UNIFI is the primary beneficiary of these entities, based on the terms of the supply agreement discussed above. As a result, these entities should be consolidated with UNIFI’s financial results. As UNIFI purchases substantially all of the output from the two entities, the two entities’ balance sheets constitute 3% or less of UNIFI’s current assets, total assets and total liabilities, and such balances are not expected to comprise a larger portion in the future, UNIFI has not included the accounts of UNF and UNFA in its consolidated financial statements. The financial results of UNF and UNFA are included in UNIFI’s consolidated financial statements with a one-month lag, using the equity method of accounting and with intercompany profits eliminated in accordance with UNIFI’s accounting policy. Other than the supply agreement discussed above, UNIFI does not provide any other commitments or guarantees related to either UNF or UNFA. Condensed balance sheet and income statement information for UNIFI’s unconsolidated affiliates (including reciprocal balances) is presented in the tables below. PAL is defined as significant and its information is separately disclosed. PAL does not meet the criteria for segment reporting. As of December 30, 2018 As of June 24, 2018 PAL Other Total PAL Other Total Current assets $ 298,674 $ 9,000 $ 307,674 $ 289,683 $ 7,598 $ 297,281 Noncurrent assets 156,468 780 157,248 162,242 875 163,117 Current liabilities 72,544 4,388 76,932 71,026 3,722 74,748 Noncurrent liabilities 3,153 — 3,153 3,389 — 3,389 Shareholders’ equity and capital accounts 379,445 5,392 384,837 377,510 4,751 382,261 UNIFI’s portion of undistributed earnings 42,044 1,357 43,401 41,429 887 42,316 For the Three Months Ended December 30, 2018 For the Three Months Ended December 24, 2017 PAL Other Total PAL Other Total Net sales $ 191,150 $ 7,274 $ 198,424 $ 176,577 $ 6,756 $ 183,333 Gross profit 5,695 1,484 7,179 2,379 1,628 4,007 Income (loss) from operations 1,163 1,039 2,202 (1,922 ) 1,185 (737 ) Net income (loss) 2,241 1,115 3,356 (1,398 ) 1,198 (200 ) Depreciation and amortization 10,817 47 10,864 10,885 47 10,932 Cash received by PAL under cotton rebate program 3,402 — 3,402 4,701 — 4,701 Earnings recognized by PAL for cotton rebate program 3,035 — 3,035 3,191 — 3,191 Distributions received 126 — 126 — 1,500 1,500 For the Six Months Ended December 30, 2018 For the Six Months Ended December 24, 2017 PAL Other Total PAL Other Total Net sales $ 401,652 $ 13,039 $ 414,691 $ 379,368 $ 12,449 $ 391,817 Gross profit 10,203 2,438 12,641 16,089 2,582 18,671 Income from operations 1,795 1,551 3,346 8,034 1,694 9,728 Net income 2,192 1,641 3,833 6,948 1,716 8,664 Depreciation and amortization 21,291 95 21,386 20,485 94 20,579 Cash received by PAL under cotton rebate program 5,720 — 5,720 6,942 — 6,942 Earnings recognized by PAL for cotton rebate program 6,249 — 6,249 6,446 — 6,446 Distributions received 130 500 630 7,178 1,500 8,678 |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Dec. 30, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 19. Commitments and Contingencies Collective Bargaining Agreements While employees of UNIFI’s Brazilian operations are unionized, none of the labor force employed by UNIFI’s domestic or other foreign subsidiaries is currently covered by a collective bargaining agreement. Environmental On September 30, 2004, UNIFI completed its acquisition of polyester filament manufacturing assets located in Kinston, North Carolina from Invista S.a.r.l. (“INVISTA”). The land for the Kinston site was leased pursuant to a 99-year ground lease (the “Ground Lease”) with E.I. DuPont de Nemours (“DuPont”). Since 1993, DuPont has been investigating and cleaning up the Kinston site under the supervision of the U.S. Environmental Protection Agency and the North Carolina Department of Environmental Quality (“DEQ”) pursuant to the Resource Conservation and Recovery Act Corrective Action program. The program requires DuPont to identify all potential areas of environmental concern (“AOCs”), assess the extent of containment at the identified AOCs and remediate the AOCs to comply with applicable regulatory standards. Effective March 20, 2008, UNIFI entered into a lease termination agreement associated with conveyance of certain assets at the Kinston site to DuPont. This agreement terminated the Ground Lease and relieved UNIFI of any future responsibility for environmental remediation, other than participation with DuPont, if so called upon, with regard to UNIFI’s period of operation of the Kinston site, which was from 2004 to 2008. At this time, UNIFI has no basis to determine if or when it will have any responsibility or obligation with respect to the AOCs or the extent of any potential liability for the same. UNIFI continues to own property acquired in the 2004 transaction with INVISTA that has contamination from DuPont’s operations and is monitored by DEQ. This site has been remediated by DuPont, and DuPont has received authority from DEQ to discontinue further remediation, other than natural attenuation. Prior to transfer of responsibility to UNIFI, DuPont has a duty to monitor and report the environmental status of the site to DEQ. UNIFI expects to assume that responsibility by the end of its third quarter of fiscal 2019 and will be entitled to receive from DuPont seven years of monitoring and reporting costs, less certain adjustments. At that time, UNIFI expects to assume responsibility for any future remediation of the site. At this time, UNIFI has no basis to determine if or when it will have any obligation to perform further remediation or the potential cost thereof. Leases UNIFI routinely leases sales and administrative office space, warehousing and distribution centers, manufacturing space, transportation equipment, manufacturing equipment, and other information technology and office equipment from third parties. UNIFI has assumed various financial obligations and commitments in the normal course of its operating and financing activities. Financial obligations are considered to represent known future cash payments that UNIFI is required to make under existing contractual arrangements, such as debt and lease agreements. |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Dec. 30, 2018 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 20. Related Party Transactions For details regarding the nature of certain related party relationships, see Note 24, “Related Party Transactions,” to the consolidated financial statements in the 2018 Form 10-K. There were no related party receivables as of December 30, 2018 or June 24, 2018. Related party payables consists of the following: December 30, 2018 June 24, 2018 Salem Leasing Corporation (included within accounts payable) $ 283 $ 306 Salem Leasing Corporation (capital lease obligation) 844 875 Total related party payables $ 1,127 $ 1,181 Related party transactions in excess of $120 for the current or prior two fiscal years consist of the following amounts for the periods presented: For the Three Months Ended For the Six Months Ended Affiliated Entity Transaction Type December 30, 2018 December 24, 2017 December 30, 2018 December 24, 2017 Salem Leasing Corporation Transportation equipment costs and capital lease debt service $ 1,019 $ 969 $ 2,040 $ 1,950 Salem Global Logistics, Inc. Freight service income — 50 — 92 |
Business Segment Information
Business Segment Information | 6 Months Ended |
Dec. 30, 2018 | |
Segment Reporting [Abstract] | |
Business Segment Information | 21. Business Segment Information UNIFI defines operating segments as components of the organization for which discrete financial information is available and operating results are evaluated on a regular basis by UNIFI’s Chief Executive Officer, who is the chief operating decision maker (the “CODM”), in order to assess performance and allocate resources. Characteristics of the organization which were relied upon in making the determination of reportable segments include the nature of the products sold, the organization’s internal structure, the trade policies in the geographic regions in which UNIFI operates, and the information that is regularly reviewed by the CODM for the purpose of assessing performance and allocating resources. UNIFI ’s operating segments are aggregated into three reportable segments (the Polyester Segment, the Nylon Segment and the International Segment) based on similarities between the operating segments’ economic characteristics, nature of products sold, type of customer, methods of distribution and regulatory environment. • The operations within the Polyester Segment exhibit similar long-term economic characteristics and primarily sell into an economic trading zone covered by the North American Free Trade Agreement (“NAFTA”) and the Dominican Republic—Central America Free Trade Agreement (“CAFTA-DR”) to similar customers utilizing similar methods of distribution. These operations derive revenues primarily from polyester-based products with sales primarily to other yarn manufacturers and knitters and weavers that produce yarn and/or fabric for the apparel, hosiery, automotive, home furnishings, industrial and other end-use markets. The Polyester Segment consists of sales and manufacturing operations in the United States and El Salvador. • The operations within the Nylon Segment exhibit similar long-term economic characteristics and primarily sell into an economic trading zone covered by NAFTA and CAFTA-DR to similar customers utilizing similar methods of distribution. The Nylon Segment includes an immaterial operating segment in Colombia that sells similar nylon-based textile products to similar customers in Colombia and Mexico utilizing similar methods of distribution. These operations derive revenues primarily from nylon-based products with sales to knitters and weavers that produce fabric primarily for the apparel and hosiery markets. The Nylon Segment consists of sales and manufacturing operations in the United States and Colombia. • The operations within the International Segment exhibit similar long-term economic characteristics and sell to similar customers utilizing similar methods of distribution in geographic regions that are outside of the NAFTA and CAFTA-DR economic trading zone. The International Segment primarily sells polyester-based products to knitters and weavers that produce fabric for the apparel, automotive, home furnishings, industrial and other end-use markets primarily in the South American and Asian regions. The International Segment includes a manufacturing location in Brazil and sales offices in Brazil, China and Sri Lanka. In addition to UNIFI’s reportable segments, the selected financial information presented below includes an All Other category. All Other consists primarily of for-hire transportation services. For-hire transportation services revenue is derived from performing common carrier services utilizing UNIFI’s fleet of transportation equipment. The operations within All Other (i) are not subject to review by the CODM at a level consistent with UNIFI’s other operations, (ii) are not regularly evaluated using the same metrics applied to UNIFI’s other operations and (iii) do not qualify for aggregation with an existing reportable segment. Therefore, such operations are excluded from reportable segments. UNIFI evaluates the operating performance of its segments based upon Segment Profit, which represents segment gross profit plus segment depreciation expense. This measurement of segment profit best aligns segment reporting with the current assessments and evaluations performed by, and information provided to, the CODM. The accounting policies for the segments are consistent with UNIFI’s accounting policies. Intersegment sales are omitted from the below financial information, as they are (i) insignificant to UNIFI’s segments and eliminated from consolidated reporting and (ii) excluded from segment evaluations performed by the CODM. Selected financial information is presented below: For the Three Months Ended December 30, 2018 Polyester Nylon International All Other Total Net sales $ 85,789 $ 22,647 $ 58,237 $ 1,038 $ 167,711 Cost of sales 83,820 20,615 48,161 959 153,555 Gross profit 1,969 2,032 10,076 79 14,156 Segment depreciation expense 3,937 499 367 68 4,871 Segment Profit $ 5,906 $ 2,531 $ 10,443 $ 147 $ 19,027 For the Three Months Ended December 24, 2017 Polyester Nylon International All Other Total Net sales $ 90,316 $ 25,103 $ 51,046 $ 1,013 $ 167,478 Cost of sales 81,740 22,027 40,072 963 144,802 Gross profit 8,576 3,076 10,974 50 22,676 Segment depreciation expense 3,973 552 397 64 4,986 Segment Profit $ 12,549 $ 3,628 $ 11,371 $ 114 $ 27,662 For the Six Months Ended December 30, 2018 Polyester Nylon International All Other Total Net sales $ 185,920 $ 50,596 $ 110,590 $ 2,216 $ 349,322 Cost of sales 177,223 46,420 89,491 2,013 315,147 Gross profit 8,697 4,176 21,099 203 34,175 Segment depreciation expense 8,189 1,060 726 143 10,118 Segment Profit $ 16,886 $ 5,236 $ 21,825 $ 346 $ 44,293 For the Six Months Ended December 24, 2017 Polyester Nylon International All Other Total Net sales $ 178,054 $ 51,930 $ 99,705 $ 2,031 $ 331,720 Cost of sales 160,565 45,540 77,733 1,914 285,752 Gross profit 17,489 6,390 21,972 117 45,968 Segment depreciation expense 7,840 1,089 813 129 9,871 Segment Profit $ 25,329 $ 7,479 $ 22,785 $ 246 $ 55,839 The reconciliations of segment gross profit to consolidated (loss) income before income taxes are as follows: For the Three Months Ended For the Six Months Ended December 30, 2018 December 24, 2017 December 30, 2018 December 24, 2017 Polyester $ 1,969 $ 8,576 $ 8,697 $ 17,489 Nylon 2,032 3,076 4,176 6,390 International 10,076 10,974 21,099 21,972 All Other 79 50 203 117 Segment gross profit 14,156 22,676 34,175 45,968 Selling, general and administrative expenses 14,822 14,626 29,233 27,489 Provision (benefit) for bad debts 32 (72 ) 163 (131 ) Other operating expense (income), net 99 348 (141 ) 663 Operating (loss) income (797 ) 7,774 4,920 17,947 Interest income (152 ) (181 ) (299 ) (262 ) Interest expense 1,355 1,190 2,822 2,375 Loss on extinguishment of debt 131 — 131 — Equity in earnings of unconsolidated affiliates (1,014 ) (211 ) (1,253 ) (3,298 ) (Loss) income before income taxes $ (1,117 ) $ 6,976 $ 3,519 $ 19,132 The reconciliations of segment total assets to consolidated total assets are as follows: December 30, 2018 June 24, 2018 Polyester $ 283,249 $ 284,261 Nylon 61,517 57,378 International 96,648 95,006 Segment total assets 441,414 436,645 Other current assets 17,222 30,945 Other PP&E 18,740 17,373 Other non-current assets 3,389 4,205 Investments in unconsolidated affiliates 113,618 112,639 Total assets $ 594,383 $ 601,807 |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 6 Months Ended |
Dec. 30, 2018 | |
Additional Cash Flow Elements And Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | 22. Supplemental Cash Flow Information Cash payments for interest and taxes consist of the following: For the Six Months Ended December 30, 2018 December 24, 2017 Interest, net of capitalized interest of $123 and $85, respectively $ 2,876 $ 2,130 Income tax payments, net 474 5,340 Cash payments for taxes shown above consist primarily of income and withholding tax payments made by UNIFI in both U.S. and foreign jurisdictions, net of refunds. Non-Cash Investing and Financing Activities As of December 30, 2018 and June 24, 2018, $1,702 and $3,187, respectively, were included in accounts payable for unpaid capital expenditures. As of December 24, 2017 and June 25, 2017, $2,610 and $3,234, respectively, were included in accounts payable for unpaid capital expenditures. |
Basis of Presentation; Conden_2
Basis of Presentation; Condensed Notes (Policies) | 6 Months Ended |
Dec. 30, 2018 | |
Accounting Policies [Abstract] | |
Fiscal Period | The fiscal quarter for Unifi, Inc. and its subsidiary in El Salvador ended on December 30, 2018, the last Sunday in December. The fiscal quarter for Unifi, Inc.’s Brazilian, Chinese, Colombian and Sri Lankan subsidiaries ended on December 31, 2018. There were no significant transactions or events that occurred between Unifi, Inc.’s fiscal quarter end and such wholly owned subsidiaries’ subsequent fiscal quarter end. The three-month periods ended December 30, 2018 and December 24, 2017 consisted of 13 fiscal weeks. The six-month periods ended December 30, 2018 and December 24, 2017 consisted of 27 and 26 fiscal weeks, respectively. |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
New Accounting Pronouncements And Changes In Accounting Principles [Abstract] | |
Schedule of Adjustment to Opening Balance of Fiscal 2019 Retained Earnings | Upon adoption in fiscal 2019, UNIFI determined that the impact of the New Revenue Recognition Guidance is immaterial. Accordingly, UNIFI utilized the modified retrospective method of adoption and recorded the impact of open contracts as of June 24, 2018 as an adjustment to the opening balance of fiscal 2019 retained earnings, and prior period balances are not adjusted. “ Revenue earned in fourth quarter fiscal 2018 related to contracts open at June 24, 2018 $ 8,593 Less associated cost of sales 7,992 Less associated income tax 142 Adjustment to retained earnings for contracts open at June 24, 2018 $ 459 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Revenue From Contract With Customer [Abstract] | |
Disaggregated Revenues for UNIFI | The following table presents disaggregated revenues for UNIFI: For the Three Months Ended For the Six Months Ended December 30, 2018 December 24, 2017 December 30, 2018 December 24, 2017 Third-party textile manufacturer $ 165,338 $ 165,366 $ 344,659 $ 327,527 Service 2,373 2,112 4,663 4,193 Net sales $ 167,711 $ 167,478 $ 349,322 $ 331,720 |
Summary of Impact of Adoption of New Revenue Recognition Guidance | The following table summarizes the impact of the adoption of the New Revenue Recognition Guidance on UNIFI's applicable financial statement line items for the six months ended December 30, 2018. Any impact to other financial statement line items is insignificant and excluded from the below. Financial Statement Line Item Treatment under previous Revenue Recognition Guidance Adjustments in connection with New Revenue Recognition Guidance As reported under New Revenue Recognition Guidance Revenue $ 347,311 $ 2,011 $ 349,322 Cost of sales $ 313,115 $ 2,032 $ 315,147 Gross profit (loss) $ 34,196 $ (21 ) $ 34,175 Inventory $ 144,619 $ (9,977 ) $ 134,642 Contract assets $ — $ 10,537 $ 10,537 |
Receivables, Net (Tables)
Receivables, Net (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Receivables [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable | Receivables, net consists of the following: December 30, 2018 June 24, 2018 Customer receivables $ 80,905 $ 87,633 Allowance for uncollectible accounts (2,186 ) (2,059 ) Reserves for yarn quality claims (842 ) (564 ) Net customer receivables 77,877 85,010 Other receivables 1,417 1,263 Total receivables, net $ 79,294 $ 86,273 |
Inventories (Tables)
Inventories (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Inventory Disclosure [Abstract] | |
Inventories Components | Inventories consists of the following: December 30, 2018 June 24, 2018 Raw materials $ 55,353 $ 45,448 Supplies 8,036 7,314 Work in process 6,852 8,834 Finished goods 66,742 66,314 Gross inventories 136,983 127,910 Inventory reserves (2,341 ) (1,599 ) Total inventories $ 134,642 $ 126,311 |
Other Current Assets (Tables)
Other Current Assets (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Other Assets Current [Abstract] | |
Schedule of Other Current Assets | Other current assets consists of the following: December 30, 2018 June 24, 2018 Contract assets $ 10,537 $ — Vendor deposits 4,097 3,703 Prepaid expenses 2,247 1,802 Value-added taxes receivable 1,239 1,024 Total other current assets $ 18,120 $ 6,529 |
Property, Plant and Equipment_2
Property, Plant and Equipment, Net (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Property Plant And Equipment [Abstract] | |
Property, Plant and Equipment Components | Property, plant and equipment (“PP&E”), net consists of the following: December 30, 2018 June 24, 2018 Land $ 2,852 $ 2,860 Land improvements 15,173 15,118 Buildings and improvements 159,089 157,354 Assets under capital leases 34,302 34,568 Machinery and equipment 596,012 589,237 Computers, software and office equipment 20,418 19,723 Transportation equipment 4,984 5,029 Construction in progress 8,656 8,651 Gross PP&E 841,486 832,540 Less: accumulated depreciation (628,009 ) (619,654 ) Less: accumulated amortization – capital leases (8,424 ) (7,370 ) Total PP&E, net $ 205,053 $ 205,516 |
Schedule of Depreciation Expense and Repair and Maintenance Expense | Depreciation expense and repair and maintenance expenses were as follows: For the Three Months Ended For the Six Months Ended December 30, 2018 December 24, 2017 December 30, 2018 December 24, 2017 Depreciation expense $ 5,261 $ 5,237 $ 10,924 $ 10,360 Repair and maintenance expenses 4,987 4,779 10,847 9,504 |
Accrued Expenses (Tables)
Accrued Expenses (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Payables And Accruals [Abstract] | |
Schedule of Accrued Liabilities | Accrued expenses consists of the following: December 30, 2018 June 24, 2018 Payroll and fringe benefits $ 8,017 $ 10,833 Other 4,446 6,887 Total accrued expenses $ 12,463 $ 17,720 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Debt Disclosure [Abstract] | |
Long-Term Debt Components | The following table presents the total balances outstanding for UNIFI’s debt obligations, their scheduled maturity dates and the weighted average interest rates for borrowings as well as the applicable current portion of long-term debt: Weighted Average Scheduled Interest Rate as of Principal Amounts as of Maturity Date December 30, 2018 December 30, 2018 June 24, 2018 ABL Revolver December 2023 4.3% $ 16,500 $ 28,100 ABL Term Loan (1) December 2023 3.8% 100,000 85,000 Capital lease obligations (2) 3.8% 14,604 18,107 Total debt 131,104 131,207 Current portion of capital lease obligations (6,482 ) (6,996 ) Current portion of other long-term debt (7,500 ) (10,000 ) Unamortized debt issuance costs (1,044 ) (658 ) Total long-term debt $ 116,078 $ 113,553 (1) Includes the effects of interest rate swaps. (2) Scheduled maturity dates for capital lease obligations range from January 2019 to November 2027. |
Scheduled Maturities of Outstanding Debt Obligations | The following table presents the scheduled maturities of UNIFI’s outstanding debt obligations for the remainder of fiscal 2019, the following four fiscal years and thereafter: Fiscal 2019 Fiscal 2020 Fiscal 2021 Fiscal 2022 Fiscal 2023 Thereafter ABL Revolver $ — $ — $ — $ — $ — $ 16,500 ABL Term Loan 2,500 10,000 10,000 10,000 10,000 57,500 Capital lease obligations 3,442 5,559 2,634 2,417 91 461 Total $ 5,942 $ 15,559 $ 12,634 $ 12,417 $ 10,091 $ 74,461 |
Other Long-Term Liabilities (Ta
Other Long-Term Liabilities (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Other Liabilities Disclosure [Abstract] | |
Other Long-Term Liabilities Components | Other long-term liabilities consists of the following: December 30, 2018 June 24, 2018 Supplemental post-employment plan $ 2,940 $ 3,045 Uncertain tax positions 541 131 Other 1,976 2,161 Total other long-term liabilities $ 5,457 $ 5,337 |
Income Taxes (Tables)
Income Taxes (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Income Tax Disclosure [Abstract] | |
Schedule of Provision for Income Taxes | The provision (benefit) for income taxes was as follows: For the Three Months Ended For the Six Months Ended December 30, 2018 December 24, 2017 December 30, 2018 December 24, 2017 (Benefit) provision for income taxes $ (2,288 ) $ (4,826 ) $ 536 $ (1,630 ) Effective tax rate 204.8 % (69.2 )% 15.2 % (8.5 )% |
Schedule of Components of Deferred Tax Valuation Allowance | The components of UNIFI’s deferred tax valuation allowance are as follows: December 30, 2018 June 24, 2018 Investment in a former domestic unconsolidated affiliate $ (3,942 ) $ (3,942 ) Equity-method investment in PAL (1,470 ) (1,580 ) Certain losses carried forward (1) (1,562 ) (1,562 ) State NOLs (166 ) (169 ) Other foreign NOLs (1,903 ) (2,460 ) Foreign tax credits (13,713 ) (5,430 ) Total deferred tax valuation allowance $ (22,756 ) $ (15,143 ) (1) Certain U.S. NOLs and capital losses outside the U.S. consolidated tax filing group. |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Stockholders Equity Note [Abstract] | |
Schedule of Stockholders' Equity | For the three-months ended December 30, 2018: Shares Common Stock Capital in Excess of Par Value Retained Earnings Accumulated Other Comprehensive Loss Total Shareholders’ Equity Balance at September 30, 2018 18,380 $ 1,838 $ 57,706 $ 374,024 $ (43,455 ) $ 390,113 Conversion of restricted stock units 3 — — — — — Stock-based compensation — — 1,913 — — 1,913 Other comprehensive income, net of tax — — — — 730 730 Net income — — — 1,171 — 1,171 Balance at December 30, 2018 18,383 $ 1,838 $ 59,619 $ 375,195 $ (42,725 ) $ 393,927 For the six-months ended December 30, 2018: Shares Common Stock Capital in Excess of Par Value Retained Earnings Accumulated Other Comprehensive Loss Total Shareholders’ Equity Balance at June 24, 2018 18,353 $ 1,835 $ 56,726 $ 371,753 $ (40,533 ) $ 389,781 Options exercised 16 2 242 — — 244 Conversion of restricted stock units 17 1 (1 ) — — — Stock-based compensation 1 — 2,785 — — 2,785 Common stock withheld in satisfaction of tax withholding obligations under net share settle transactions (4 ) — (133 ) — — (133 ) Other comprehensive loss, net of tax — — — — (2,192 ) (2,192 ) Adoption of the New Revenue Recognition Guidance — — — 459 — 459 Net income — — — 2,983 — 2,983 Balance at December 30, 2018 18,383 $ 1,838 $ 59,619 $ 375,195 $ (42,725 ) $ 393,927 For the three-months ended December 24, 2017: Shares Common Stock Capital in Excess of Par Value Retained Earnings Accumulated Other Comprehensive Loss Total Shareholders’ Equity Balance at September 24, 2017 18,261 $ 1,826 $ 53,104 $ 348,900 $ (29,706 ) $ 374,124 Options exercised 23 3 (3 ) — — — Conversion of restricted stock units 3 — — — — — Stock-based compensation 4 — 2,114 — — 2,114 Other comprehensive loss, net of tax — — — — (1,751 ) (1,751 ) Net income — — — 11,802 — 11,802 Balance at December 24, 2017 18,291 $ 1,829 $ 55,215 $ 360,702 $ (31,457 ) $ 386,289 For the six-months ended December 24, 2017: Shares Common Stock Capital in Excess of Par Value Retained Earnings Accumulated Other Comprehensive Loss Total Shareholders’ Equity Balance at June 25, 2017 18,230 $ 1,823 $ 51,923 $ 339,940 $ (32,880 ) $ 360,806 Options exercised 54 6 213 — — 219 Conversion of restricted stock units 3 — — — — — Stock-based compensation 4 — 3,079 — — 3,079 Other comprehensive income, net of tax — — — — 1,423 1,423 Net income — — — 20,762 — 20,762 Balance at December 24, 2017 18,291 $ 1,829 $ 55,215 $ 360,702 $ (31,457 ) $ 386,289 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Summary of Number of Securities Remaining Available for Future Issuance | The following table provides information as of December 30, 2018 with respect to the number of securities remaining available for future issuance under the Amended 2013 Plan: Authorized under the Amended 2013 Plan 1,250 Plus: Awards expired, forfeited or otherwise terminated unexercised 17 Less: Awards granted to employees (257 ) Less: Awards granted to non-employee directors (47 ) Available for issuance under the Amended 2013 Plan 963 |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments and Non-Financial Assets and Liabilities (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Schedule of Hedging Activities | The following table presents details regarding UNIFI’s hedging activities: For the Three Months Ended For the Six Months Ended December 30, 2018 December 24, 2017 December 30, 2018 December 24, 2017 Interest expense $ 1,355 $ 1,190 $ 2,822 $ 2,375 Decrease (increase) in fair value of interest rate swaps 1,173 (1,077 ) 944 (1,492 ) Impact of interest rate swaps on interest expense (71 ) 123 (106 ) 254 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Accumulated Other Comprehensive Income Loss Net Of Tax [Abstract] | |
Schedule of Changes in Accumulated Other Comprehensive Loss, Net of Tax | The components of and the changes in accumulated other comprehensive loss, net of tax, as applicable, consist of the following: Foreign Currency Translation Adjustments Changes in Interest Rate Swaps Accumulated Other Comprehensive Loss Balance at June 24, 2018 $ (42,268 ) $ 1,735 $ (40,533 ) Other comprehensive loss, net of tax (1,467 ) (725 ) (2,192 ) Balance at December 30, 2018 $ (43,735 ) $ 1,010 $ (42,725 ) |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Earnings Per Share | The components of the calculation of earnings per share (“EPS”) are as follows: For the Three Months Ended For the Six Months Ended December 30, 2018 December 24, 2017 December 30, 2018 December 24, 2017 Net income $ 1,171 $ 11,802 $ 2,983 $ 20,762 Basic weighted average shares 18,382 18,273 18,374 18,260 Net potential common share equivalents – stock options and restricted stock units 323 378 327 338 Diluted weighted average shares 18,705 18,651 18,701 18,598 Excluded from diluted weighted average shares: Anti-dilutive common share equivalents 498 60 500 290 |
Investments in Unconsolidated_2
Investments in Unconsolidated Affiliates and Variable Interest Entities (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Schedule Of Equity Method Investments [Line Items] | |
Schedule of Raw Material Purchases under Supply Agreement | UNIFI’s raw material purchases under this supply agreement consist of the following: For the Six Months Ended December 30, 2018 December 24, 2017 UNF $ 1,006 $ 1,141 UNFA 12,558 10,406 Total $ 13,564 $ 11,547 |
Schedule of Unaudited, Condensed Balance Sheet Information for Unconsolidated Affiliates | Condensed balance sheet and income statement information for UNIFI’s unconsolidated affiliates (including reciprocal balances) is presented in the tables below. PAL is defined as significant and its information is separately disclosed. PAL does not meet the criteria for segment reporting. As of December 30, 2018 As of June 24, 2018 PAL Other Total PAL Other Total Current assets $ 298,674 $ 9,000 $ 307,674 $ 289,683 $ 7,598 $ 297,281 Noncurrent assets 156,468 780 157,248 162,242 875 163,117 Current liabilities 72,544 4,388 76,932 71,026 3,722 74,748 Noncurrent liabilities 3,153 — 3,153 3,389 — 3,389 Shareholders’ equity and capital accounts 379,445 5,392 384,837 377,510 4,751 382,261 UNIFI’s portion of undistributed earnings 42,044 1,357 43,401 41,429 887 42,316 |
Schedule of Unaudited, Condensed Income Statement Information for Unconsolidated Affiliates | For the Three Months Ended December 30, 2018 For the Three Months Ended December 24, 2017 PAL Other Total PAL Other Total Net sales $ 191,150 $ 7,274 $ 198,424 $ 176,577 $ 6,756 $ 183,333 Gross profit 5,695 1,484 7,179 2,379 1,628 4,007 Income (loss) from operations 1,163 1,039 2,202 (1,922 ) 1,185 (737 ) Net income (loss) 2,241 1,115 3,356 (1,398 ) 1,198 (200 ) Depreciation and amortization 10,817 47 10,864 10,885 47 10,932 Cash received by PAL under cotton rebate program 3,402 — 3,402 4,701 — 4,701 Earnings recognized by PAL for cotton rebate program 3,035 — 3,035 3,191 — 3,191 Distributions received 126 — 126 — 1,500 1,500 For the Six Months Ended December 30, 2018 For the Six Months Ended December 24, 2017 PAL Other Total PAL Other Total Net sales $ 401,652 $ 13,039 $ 414,691 $ 379,368 $ 12,449 $ 391,817 Gross profit 10,203 2,438 12,641 16,089 2,582 18,671 Income from operations 1,795 1,551 3,346 8,034 1,694 9,728 Net income 2,192 1,641 3,833 6,948 1,716 8,664 Depreciation and amortization 21,291 95 21,386 20,485 94 20,579 Cash received by PAL under cotton rebate program 5,720 — 5,720 6,942 — 6,942 Earnings recognized by PAL for cotton rebate program 6,249 — 6,249 6,446 — 6,446 Distributions received 130 500 630 7,178 1,500 8,678 |
Parkdale America LLC [Member] | |
Schedule Of Equity Method Investments [Line Items] | |
Schedule of Reconciliation Between Share of Underlying Equity | The reconciliation between UNIFI’s share of the underlying equity of PAL and its investment is as follows: Underlying equity as of December 30, 2018 $ 129,013 Initial excess capital contributions 53,363 Impairment charge recorded by UNIFI in fiscal 2007 (74,106 ) Anti-trust lawsuit against PAL in which UNIFI did not participate 2,652 Investment as of December 30, 2018 $ 110,922 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Related Party Transactions [Abstract] | |
Related Party Payables | Related party payables consists of the following: December 30, 2018 June 24, 2018 Salem Leasing Corporation (included within accounts payable) $ 283 $ 306 Salem Leasing Corporation (capital lease obligation) 844 875 Total related party payables $ 1,127 $ 1,181 |
Schedule of Related Party Transactions | Related party transactions in excess of $120 for the current or prior two fiscal years consist of the following amounts for the periods presented: For the Three Months Ended For the Six Months Ended Affiliated Entity Transaction Type December 30, 2018 December 24, 2017 December 30, 2018 December 24, 2017 Salem Leasing Corporation Transportation equipment costs and capital lease debt service $ 1,019 $ 969 $ 2,040 $ 1,950 Salem Global Logistics, Inc. Freight service income — 50 — 92 |
Business Segment Information (T
Business Segment Information (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Segment Reporting [Abstract] | |
Selected Financial Information for Polyester, Nylon, International and Other Segments | Selected financial information is presented below: For the Three Months Ended December 30, 2018 Polyester Nylon International All Other Total Net sales $ 85,789 $ 22,647 $ 58,237 $ 1,038 $ 167,711 Cost of sales 83,820 20,615 48,161 959 153,555 Gross profit 1,969 2,032 10,076 79 14,156 Segment depreciation expense 3,937 499 367 68 4,871 Segment Profit $ 5,906 $ 2,531 $ 10,443 $ 147 $ 19,027 For the Three Months Ended December 24, 2017 Polyester Nylon International All Other Total Net sales $ 90,316 $ 25,103 $ 51,046 $ 1,013 $ 167,478 Cost of sales 81,740 22,027 40,072 963 144,802 Gross profit 8,576 3,076 10,974 50 22,676 Segment depreciation expense 3,973 552 397 64 4,986 Segment Profit $ 12,549 $ 3,628 $ 11,371 $ 114 $ 27,662 For the Six Months Ended December 30, 2018 Polyester Nylon International All Other Total Net sales $ 185,920 $ 50,596 $ 110,590 $ 2,216 $ 349,322 Cost of sales 177,223 46,420 89,491 2,013 315,147 Gross profit 8,697 4,176 21,099 203 34,175 Segment depreciation expense 8,189 1,060 726 143 10,118 Segment Profit $ 16,886 $ 5,236 $ 21,825 $ 346 $ 44,293 For the Six Months Ended December 24, 2017 Polyester Nylon International All Other Total Net sales $ 178,054 $ 51,930 $ 99,705 $ 2,031 $ 331,720 Cost of sales 160,565 45,540 77,733 1,914 285,752 Gross profit 17,489 6,390 21,972 117 45,968 Segment depreciation expense 7,840 1,089 813 129 9,871 Segment Profit $ 25,329 $ 7,479 $ 22,785 $ 246 $ 55,839 |
Reconciliations of Segment Gross Profit to Consolidated (loss) Income Before Income Taxes | The reconciliations of segment gross profit to consolidated (loss) income before income taxes are as follows: For the Three Months Ended For the Six Months Ended December 30, 2018 December 24, 2017 December 30, 2018 December 24, 2017 Polyester $ 1,969 $ 8,576 $ 8,697 $ 17,489 Nylon 2,032 3,076 4,176 6,390 International 10,076 10,974 21,099 21,972 All Other 79 50 203 117 Segment gross profit 14,156 22,676 34,175 45,968 Selling, general and administrative expenses 14,822 14,626 29,233 27,489 Provision (benefit) for bad debts 32 (72 ) 163 (131 ) Other operating expense (income), net 99 348 (141 ) 663 Operating (loss) income (797 ) 7,774 4,920 17,947 Interest income (152 ) (181 ) (299 ) (262 ) Interest expense 1,355 1,190 2,822 2,375 Loss on extinguishment of debt 131 — 131 — Equity in earnings of unconsolidated affiliates (1,014 ) (211 ) (1,253 ) (3,298 ) (Loss) income before income taxes $ (1,117 ) $ 6,976 $ 3,519 $ 19,132 |
Reconciliation of Segment Total Assets to Consolidated Total Assets | The reconciliations of segment total assets to consolidated total assets are as follows: December 30, 2018 June 24, 2018 Polyester $ 283,249 $ 284,261 Nylon 61,517 57,378 International 96,648 95,006 Segment total assets 441,414 436,645 Other current assets 17,222 30,945 Other PP&E 18,740 17,373 Other non-current assets 3,389 4,205 Investments in unconsolidated affiliates 113,618 112,639 Total assets $ 594,383 $ 601,807 |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 6 Months Ended |
Dec. 30, 2018 | |
Supplemental Cash Flow Information [Abstract] | |
Schedule of Cash Payments for Interest and Taxes | Cash payments for interest and taxes consist of the following: For the Six Months Ended December 30, 2018 December 24, 2017 Interest, net of capitalized interest of $123 and $85, respectively $ 2,876 $ 2,130 Income tax payments, net 474 5,340 |
Background - Additional Informa
Background - Additional Information (Details) | Dec. 30, 2018Entity |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Number of countries in which entity operates | 4 |
Parkdale America LLC [Member] | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Equity method investment, ownership percentage | 34.00% |
Recent Accounting Pronounceme_3
Recent Accounting Pronouncements - Additional Information (Details) $ in Thousands | Jun. 24, 2018USD ($) |
New Accounting Pronouncements And Changes In Accounting Principles [Abstract] | |
Estimated future minimum lease payments under non-cancelable operating leases | $ 5,800 |
Recent Accounting Pronounceme_4
Recent Accounting Pronouncements - Schedule of Adjustment to Opening Balance of Fiscal 2019 Retained Earnings (Details) - USD ($) $ in Thousands | Jun. 24, 2018 | Dec. 30, 2018 | Dec. 24, 2017 | Dec. 30, 2018 | Dec. 24, 2017 |
Retained Earnings Adjustments [Line Items] | |||||
Revenue earned in fourth quarter fiscal 2018 related to contracts open at June 24, 2018 | $ 167,711 | $ 167,478 | $ 349,322 | $ 331,720 | |
Less associated cost of sales | 153,555 | 144,802 | 315,147 | 285,752 | |
Less associated income tax | $ (2,288) | $ (4,826) | 536 | $ (1,630) | |
ASU No. 2014-09 [Member] | |||||
Retained Earnings Adjustments [Line Items] | |||||
Revenue earned in fourth quarter fiscal 2018 related to contracts open at June 24, 2018 | $ 8,593 | ||||
Less associated cost of sales | 7,992 | ||||
Less associated income tax | 142 | ||||
Adjustment to retained earnings for contracts open at June 24, 2018 | $ 459 | $ 459 |
Revenue Recognition - Disaggreg
Revenue Recognition - Disaggregated Revenues for UNIFI (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 30, 2018 | Dec. 24, 2017 | Dec. 30, 2018 | Dec. 24, 2017 | |
Disaggregation Of Revenue [Line Items] | ||||
Net sales | $ 167,711 | $ 167,478 | $ 349,322 | $ 331,720 |
Third-Party Textile Manufacturer [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 165,338 | 165,366 | 344,659 | 327,527 |
Service [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | $ 2,373 | $ 2,112 | $ 4,663 | $ 4,193 |
Revenue Recognition - Summary o
Revenue Recognition - Summary of Impact of Adoption of New Revenue Recognition Guidance (Details) - USD ($) $ in Thousands | Jun. 24, 2018 | Dec. 30, 2018 | Dec. 24, 2017 | Dec. 30, 2018 | Dec. 24, 2017 |
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Revenue | $ 167,711 | $ 167,478 | $ 349,322 | $ 331,720 | |
Cost of sales | 153,555 | 144,802 | 315,147 | 285,752 | |
Gross profit (loss) | 14,156 | $ 22,676 | 34,175 | $ 45,968 | |
Inventories | $ 126,311 | 134,642 | 134,642 | ||
Contract assets | 10,537 | 10,537 | |||
ASU No. 2014-09 [Member] | |||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Revenue | 8,593 | ||||
Cost of sales | $ 7,992 | ||||
ASU No. 2014-09 [Member] | Treatment Under Previous Revenue Recognition Guidance [Member] | |||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Revenue | 347,311 | ||||
Cost of sales | 313,115 | ||||
Gross profit (loss) | 34,196 | ||||
Inventories | 144,619 | 144,619 | |||
ASU No. 2014-09 [Member] | Adjustments In Connection With New Revenue Recognition Guidance [Member] | |||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||||
Revenue | 2,011 | ||||
Cost of sales | 2,032 | ||||
Gross profit (loss) | (21) | ||||
Inventories | (9,977) | (9,977) | |||
Contract assets | $ 10,537 | $ 10,537 |
Revenue Recognition - Additiona
Revenue Recognition - Additional Information (Details) $ in Thousands | 6 Months Ended |
Dec. 30, 2018USD ($) | |
Revenue From Contract With Customer [Abstract] | |
Change in contract assets balance | $ 10,537 |
Receivables, Net - Schedule of
Receivables, Net - Schedule of Accounts, Notes, Loans and Financing Receivable (Details) - USD ($) $ in Thousands | Dec. 30, 2018 | Jun. 24, 2018 |
Receivables [Abstract] | ||
Customer receivables | $ 80,905 | $ 87,633 |
Allowance for uncollectible accounts | (2,186) | (2,059) |
Reserves for yarn quality claims | (842) | (564) |
Net customer receivables | 77,877 | 85,010 |
Other receivables | 1,417 | 1,263 |
Total receivables, net | $ 79,294 | $ 86,273 |
Inventories - Inventories Compo
Inventories - Inventories Components (Details) - USD ($) $ in Thousands | Dec. 30, 2018 | Jun. 24, 2018 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 55,353 | $ 45,448 |
Supplies | 8,036 | 7,314 |
Work in process | 6,852 | 8,834 |
Finished goods | 66,742 | 66,314 |
Gross inventories | 136,983 | 127,910 |
Inventory reserves | (2,341) | (1,599) |
Total inventories | $ 134,642 | $ 126,311 |
Other Current Assets - Schedule
Other Current Assets - Schedule of Other Current Assets (Details) - USD ($) $ in Thousands | Dec. 30, 2018 | Jun. 24, 2018 |
Other Assets Current [Abstract] | ||
Contract assets | $ 10,537 | |
Vendor deposits | 4,097 | $ 3,703 |
Prepaid expenses | 2,247 | 1,802 |
Value-added taxes receivable | 1,239 | 1,024 |
Total other current assets | $ 18,120 | $ 6,529 |
Property, Plant and Equipment_3
Property, Plant and Equipment, Net - Property, Plant and Equipment Components (Details) - USD ($) $ in Thousands | Dec. 30, 2018 | Jun. 24, 2018 |
Property Plant And Equipment [Line Items] | ||
Gross PP&E | $ 841,486 | $ 832,540 |
Less: accumulated depreciation | (628,009) | (619,654) |
Less: accumulated amortization – capital leases | (8,424) | (7,370) |
Total PP&E, net | 205,053 | 205,516 |
Land [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross PP&E | 2,852 | 2,860 |
Land Improvements [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross PP&E | 15,173 | 15,118 |
Buildings and Improvements [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross PP&E | 159,089 | 157,354 |
Assets under Capital Leases [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross PP&E | 34,302 | 34,568 |
Machinery and Equipment [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross PP&E | 596,012 | 589,237 |
Computers, Software and Office Equipment [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross PP&E | 20,418 | 19,723 |
Transportation Equipment [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross PP&E | 4,984 | 5,029 |
Construction in Progress [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross PP&E | $ 8,656 | $ 8,651 |
Property, Plant and Equipment_4
Property, Plant and Equipment, Net - Schedule of Depreciation Expense and Repair and Maintenance Expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 30, 2018 | Dec. 24, 2017 | Dec. 30, 2018 | Dec. 24, 2017 | |
Property Plant And Equipment [Abstract] | ||||
Depreciation expense | $ 5,261 | $ 5,237 | $ 10,924 | $ 10,360 |
Repair and maintenance expenses | $ 4,987 | $ 4,779 | $ 10,847 | $ 9,504 |
Accrued Expenses - Schedule of
Accrued Expenses - Schedule of Accrued Liabilities (Details) - USD ($) $ in Thousands | Dec. 30, 2018 | Jun. 24, 2018 |
Payables And Accruals [Abstract] | ||
Payroll and fringe benefits | $ 8,017 | $ 10,833 |
Other | 4,446 | 6,887 |
Total accrued expenses | $ 12,463 | $ 17,720 |
Long-Term Debt - Long-Term Debt
Long-Term Debt - Long-Term Debt Components (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Dec. 30, 2018 | Jun. 24, 2018 | ||
Debt Instrument [Line Items] | |||
Capital lease obligations | $ 14,604 | $ 18,107 | |
Total debt | 131,104 | 131,207 | |
Current portion of capital lease obligations | (6,482) | (6,996) | |
Current portion of other long-term debt | (7,500) | (10,000) | |
Unamortized debt issuance costs | (1,044) | (658) | |
Total long-term debt | $ 116,078 | 113,553 | |
Capital Lease Obligations [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Interest Rate, Effective Percentage | 3.80% | ||
ABL Revolver [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Maturity Date | 2023-12 | ||
Debt Instrument, Interest Rate, Effective Percentage | 4.30% | ||
Long-term Debt | $ 16,500 | 28,100 | |
ABL Term Loan [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Maturity Date | [1] | 2023-12 | |
Weighted average interest rate | [1] | 3.80% | |
Outstanding balances of term loan | [1] | $ 100,000 | $ 85,000 |
[1] | Includes the effects of interest rate swaps. |
Long-Term Debt - Long-Term De_2
Long-Term Debt - Long-Term Debt Components (Details) (Parenthetical) | 6 Months Ended |
Dec. 30, 2018 | |
Debt Disclosure [Abstract] | |
Capital lease obligations, scheduled maturity start date | 2019-01 |
Capital lease obligations, scheduled maturity end date | 2027-11 |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Details) - ABL Facility [Member] - Credit Agreement [Member] - USD ($) | Dec. 18, 2018 | Dec. 17, 2018 |
Debt Instrument [Line Items] | ||
Debt agreement maximum borrowing capacity | $ 200,000,000 | |
Principal amount of term loan | $ 100,000 | $ 80,000 |
Debt instrument maturity date | Dec. 18, 2023 | Mar. 26, 2020 |
Base Rate [Member] | ||
Debt Instrument [Line Items] | ||
Decrease in the applicable margin rate percentage | 0.25% | |
Revolving Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Line of credit facility, maximum borrowing capacity | $ 100,000,000 |
Long-Term Debt - Scheduled Matu
Long-Term Debt - Scheduled Maturities of Outstanding Debt Obligations (Details) $ in Thousands | Dec. 30, 2018USD ($) |
Debt Instrument Redemption [Line Items] | |
Fiscal 2,019 | $ 5,942 |
Fiscal 2,020 | 15,559 |
Fiscal 2,021 | 12,634 |
Fiscal 2,022 | 12,417 |
Fiscal 2,023 | 10,091 |
Thereafter | 74,461 |
Capital Lease Obligations [Member] | |
Debt Instrument Redemption [Line Items] | |
Fiscal 2,019 | 3,442 |
Fiscal 2,020 | 5,559 |
Fiscal 2,021 | 2,634 |
Fiscal 2,022 | 2,417 |
Fiscal 2,023 | 91 |
Thereafter | 461 |
ABL Revolver [Member] | |
Debt Instrument Redemption [Line Items] | |
Thereafter | 16,500 |
ABL Term Loan [Member] | |
Debt Instrument Redemption [Line Items] | |
Fiscal 2,019 | 2,500 |
Fiscal 2,020 | 10,000 |
Fiscal 2,021 | 10,000 |
Fiscal 2,022 | 10,000 |
Fiscal 2,023 | 10,000 |
Thereafter | $ 57,500 |
Other Long-Term Liabilities - O
Other Long-Term Liabilities - Other Long-Term Liabilities Components (Details) - USD ($) $ in Thousands | Dec. 30, 2018 | Jun. 24, 2018 |
Other Liabilities Disclosure [Abstract] | ||
Supplemental post-employment plan | $ 2,940 | $ 3,045 |
Uncertain tax positions | 541 | 131 |
Other | 1,976 | 2,161 |
Total other long-term liabilities | $ 5,457 | $ 5,337 |
Income Taxes - Schedule of Prov
Income Taxes - Schedule of Provision (Benefit) for Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 30, 2018 | Dec. 24, 2017 | Dec. 30, 2018 | Dec. 24, 2017 | |
Income Tax Disclosure [Abstract] | ||||
(Benefit) provision for income taxes | $ (2,288) | $ (4,826) | $ 536 | $ (1,630) |
Effective tax rate | 204.80% | (69.20%) | 15.20% | (8.50%) |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | |
Dec. 30, 2018 | Dec. 30, 2018 | Dec. 31, 2017 | Jun. 24, 2018 | |
Income Tax Disclosure [Abstract] | ||||
U.S. Federal corporate income tax rate | 21.00% | 35.00% | ||
Tax benefit resulting from re-measurement of deferred tax assets and liabilities | $ 4,297 | |||
Tax expense, net of foreign tax credits | $ 3,901 | |||
Decrease in toll charge net of foreign tax credits | $ (1,734) | |||
Tax expense, net of foreign tax credits | $ 2,167 | |||
Deferred tax assets, effective tax rate | 155.20% |
Income Taxes - Schedule of Comp
Income Taxes - Schedule of Components of Deferred Tax Valuation Allowance (Details) - USD ($) $ in Thousands | Dec. 30, 2018 | Jun. 24, 2018 | |
Valuation Allowance [Line Items] | |||
Deferred tax valuation allowance | $ (22,756) | $ (15,143) | |
Investment in Former Domestic Unconsolidated Affiliate [Member] | |||
Valuation Allowance [Line Items] | |||
Deferred tax valuation allowance | (3,942) | (3,942) | |
Equity-method Investment in Parkdale America LLC [Member] | |||
Valuation Allowance [Line Items] | |||
Deferred tax valuation allowance | (1,470) | (1,580) | |
Certain Losses Carried Forward [Member] | |||
Valuation Allowance [Line Items] | |||
Deferred tax valuation allowance | [1] | (1,562) | (1,562) |
State NOLs [Member] | |||
Valuation Allowance [Line Items] | |||
Deferred tax valuation allowance | (166) | (169) | |
Other Foreign NOLs [Member] | |||
Valuation Allowance [Line Items] | |||
Deferred tax valuation allowance | (1,903) | (2,460) | |
Foreign Tax Credits [Member] | |||
Valuation Allowance [Line Items] | |||
Deferred tax valuation allowance | $ (13,713) | $ (5,430) | |
[1] | Certain U.S. NOLs and capital losses outside the U.S. consolidated tax filing group. |
Shareholders' Equity - Schedule
Shareholders' Equity - Schedule of Stockholders Equity (Details) - USD ($) $ in Thousands | Jun. 24, 2018 | Dec. 30, 2018 | Dec. 24, 2017 | Dec. 30, 2018 | Dec. 24, 2017 |
Stockholders Equity [Line Items] | |||||
Beginning Balance | $ 390,113 | $ 374,124 | $ 389,781 | $ 360,806 | |
Beginning Balance (in shares) | 18,352,824 | ||||
Options exercised | $ 244 | 219 | |||
Stock-based compensation | 1,913 | 2,114 | 2,785 | 3,079 | |
Common stock withheld in satisfaction oftax withholding obligations under net sharesettle transactions | (133) | ||||
Other comprehensive income (loss), net of tax | 730 | (1,751) | (2,192) | 1,423 | |
Net income | 1,171 | 11,802 | 2,983 | 20,762 | |
Ending Balance | $ 389,781 | $ 393,927 | 386,289 | $ 393,927 | 386,289 |
Ending Balance (in shares) | 18,352,824 | 18,382,797 | 18,382,797 | ||
ASU No. 2014-09 [Member] | |||||
Stockholders Equity [Line Items] | |||||
Adoption of the New Revenue Recognition Guidance | $ 459 | $ 459 | |||
Common Stock [Member] | |||||
Stockholders Equity [Line Items] | |||||
Beginning Balance | $ 1,838 | $ 1,826 | $ 1,835 | $ 1,823 | |
Beginning Balance (in shares) | 18,380,000 | 18,261,000 | 18,353,000 | 18,230,000 | |
Options exercised | $ 3 | $ 2 | $ 6 | ||
Options exercised (in shares) | 23,000 | 16,000 | 54,000 | ||
Conversion of restricted stock units | $ 1 | ||||
Conversion of restricted stock units (in shares) | 3,000 | 3,000 | 17,000 | 3,000 | |
Stock-based compensation (in shares) | 4,000 | 1,000 | 4,000 | ||
Common stock withheld in satisfaction of tax withholding obligations under net share settle transactions, (in shares) | (4,000) | ||||
Ending Balance | $ 1,835 | $ 1,838 | $ 1,829 | $ 1,838 | $ 1,829 |
Ending Balance (in shares) | 18,353,000 | 18,383,000 | 18,291,000 | 18,383,000 | 18,291,000 |
Capital in Excess of Par Value [Member] | |||||
Stockholders Equity [Line Items] | |||||
Beginning Balance | $ 57,706 | $ 53,104 | $ 56,726 | $ 51,923 | |
Options exercised | (3) | 242 | 213 | ||
Conversion of restricted stock units | (1) | ||||
Stock-based compensation | 1,913 | 2,114 | 2,785 | 3,079 | |
Common stock withheld in satisfaction oftax withholding obligations under net sharesettle transactions | (133) | ||||
Ending Balance | $ 56,726 | 59,619 | 55,215 | 59,619 | 55,215 |
Retained Earnings [Member] | |||||
Stockholders Equity [Line Items] | |||||
Beginning Balance | 374,024 | 348,900 | 371,753 | 339,940 | |
Net income | 1,171 | 11,802 | 2,983 | 20,762 | |
Ending Balance | 371,753 | 375,195 | 360,702 | 375,195 | 360,702 |
Retained Earnings [Member] | ASU No. 2014-09 [Member] | |||||
Stockholders Equity [Line Items] | |||||
Adoption of the New Revenue Recognition Guidance | 459 | ||||
Accumulated Other Comprehensive Loss [Member] | |||||
Stockholders Equity [Line Items] | |||||
Beginning Balance | (43,455) | (29,706) | (40,533) | (32,880) | |
Other comprehensive income (loss), net of tax | 730 | (1,751) | (2,192) | 1,423 | |
Ending Balance | $ (40,533) | $ (42,725) | $ (31,457) | $ (42,725) | $ (31,457) |
Shareholders' Equity - Addition
Shareholders' Equity - Additional Information (Details) - USD ($) | Oct. 31, 2018 | Dec. 30, 2018 | Jun. 24, 2018 | Jun. 25, 2017 | Oct. 31, 2018 | Apr. 23, 2014 |
Equity Class Of Treasury Stock [Line Items] | ||||||
Payments of Dividends | $ 0 | $ 0 | $ 0 | |||
2014 Stock Repurchase Program [Member] | ||||||
Equity Class Of Treasury Stock [Line Items] | ||||||
Stock Repurchase Program, Authorized Amount | $ 50,000,000 | |||||
Stock repurchased during period, shares | 806,000 | |||||
Stock repurchased, average price paid per share | $ 27.79 | |||||
Stock repurchased during period, value | $ 22,409,000 | |||||
Stock repurchase program termination date | Oct. 31, 2018 | |||||
2014 Stock Repurchase Program [Member] | Common Stock [Member] | ||||||
Equity Class Of Treasury Stock [Line Items] | ||||||
Stock repurchased during period, shares | 0 | |||||
2018 Stock Repurchase Program [Member] | ||||||
Equity Class Of Treasury Stock [Line Items] | ||||||
Stock Repurchase Program, Authorized Amount | $ 50,000,000 | $ 50,000,000 | ||||
Stock Repurchase Program, Remaining Authorized Repurchase Amount | $ 50,000,000 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Details) - shares | 6 Months Ended | |||
Dec. 30, 2018 | Dec. 24, 2017 | Oct. 24, 2018 | Oct. 23, 2013 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 47,000 | 0 | ||
Stock Options [Member] | Common Stock [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Share-based compensation arrangement by share-based payment award, options, grants in period, gross | 188,000 | 54,000 | ||
Restricted Stock Units (RSUs) [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 69,000 | 90,000 | ||
The 2013 Incentive Compensation Plan [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Share-based compensation arrangement by share-based payment award, Number of shares authorized | 1,000,000 | |||
Expiration date | Oct. 24, 2018 | |||
The Amended and Restated 2013 Incentive Compensation Plan [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Share-based compensation arrangement by share-based payment award, Number of shares authorized | 1,250,000 | |||
Number of shares available for future issuance | 963,000 | 1,250,000 |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Number of Securities Remaining Available for Future Issuance (Details) - shares | 2 Months Ended | 6 Months Ended | ||
Dec. 30, 2018 | Dec. 30, 2018 | Dec. 24, 2017 | Oct. 24, 2018 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Less: Awards granted to non-employee directors | (47,000) | 0 | ||
Amended 2013 Plan [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Authorized under the Amended 2013 Plan | 1,250,000 | 1,250,000 | ||
Available for issuance under the Amended 2013 Plan | 963,000 | 963,000 | 1,250,000 | |
Amended 2013 Plan [Member] | Awards Expired, Forfeited or Otherwise Terminated Unexercised [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Plus: Awards expired, forfeited or otherwise terminated unexercised | 17,000 | |||
Amended 2013 Plan [Member] | Awards Granted to Employees [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Less: Awards granted to employees | (257,000) | |||
Amended 2013 Plan [Member] | Awards Granted to Non-Employee Directors [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Less: Awards granted to non-employee directors | (47,000) |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments and Non-Financial Assets and Liabilities - Schedule of Hedging Activities (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 30, 2018 | Dec. 24, 2017 | Dec. 30, 2018 | Dec. 24, 2017 | |
Fair Value Disclosures [Abstract] | ||||
Interest expense | $ 1,355 | $ 1,190 | $ 2,822 | $ 2,375 |
Decrease (increase) in fair value of interest rate swaps | 1,173 | (1,077) | 944 | (1,492) |
Impact of interest rate swaps on interest expense | $ (71) | $ 123 | $ (106) | $ 254 |
Fair Value of Financial Instr_4
Fair Value of Financial Instruments and Non-Financial Assets and Liabilities - Additional Information (Details) - USD ($) | 6 Months Ended | |
Dec. 30, 2018 | Dec. 24, 2017 | |
Fair Value Disclosures [Abstract] | ||
Fair value assets and liabilities amount transfers into or out of the levels | $ 0 | $ 0 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss - Schedule of Changes in Accumulated Other Comprehensive Loss, Net of Tax (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 30, 2018 | Dec. 24, 2017 | Dec. 30, 2018 | Dec. 24, 2017 | |
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Balance at June 24, 2018 | $ (40,533) | |||
Other comprehensive loss, net of tax | $ 730 | $ (1,751) | (2,192) | $ 1,423 |
Balance at December 30, 2018 | (42,725) | (42,725) | ||
Foreign Currency Translation Adjustments [Member] | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Balance at June 24, 2018 | (42,268) | |||
Other comprehensive loss, net of tax | (1,467) | |||
Balance at December 30, 2018 | (43,735) | (43,735) | ||
Changes in Interest Rate Swaps [Member] | ||||
Accumulated Other Comprehensive Income Loss [Line Items] | ||||
Balance at June 24, 2018 | 1,735 | |||
Other comprehensive loss, net of tax | (725) | |||
Balance at December 30, 2018 | $ 1,010 | $ 1,010 |
Earnings Per Share - Computatio
Earnings Per Share - Computation of Basic and Diluted Earnings Per Share (Details) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 30, 2018 | Dec. 24, 2017 | Dec. 30, 2018 | Dec. 24, 2017 | |
Earnings Per Share [Abstract] | ||||
Net income | $ 1,171 | $ 11,802 | $ 2,983 | $ 20,762 |
Basic weighted average shares | 18,382 | 18,273 | 18,374 | 18,260 |
Net potential common share equivalents – stock options and restricted stock units | 323 | 378 | 327 | 338 |
Diluted weighted average shares | 18,705 | 18,651 | 18,701 | 18,598 |
Excluded from diluted weighted average shares: | ||||
Anti-dilutive common share equivalents | 498 | 60 | 500 | 290 |
Investments in Unconsolidated_3
Investments in Unconsolidated Affiliates and Variable Interest Entities - Additional Information (Details) $ in Thousands | 6 Months Ended | |
Dec. 30, 2018USD ($)EntityFuturesContract | Jun. 24, 2018USD ($) | |
Schedule Of Equity Method Investments [Line Items] | ||
Unconsolidated Entities, Number | Entity | 3 | |
Equity method investments | $ 113,618 | $ 112,639 |
Parkdale America LLC [Member] | ||
Schedule Of Equity Method Investments [Line Items] | ||
Equity method investments | $ 110,922 | |
Number of futures contracts designated as cash flow hedges | FuturesContract | 0 | |
UNF and UNF America [Member] | ||
Schedule Of Equity Method Investments [Line Items] | ||
Equity method investments | $ 2,696 | |
Purchase commitment, remaining minimum amount committed | 9,660 | |
Accounts payable, related parties | $ 3,264 | $ 2,301 |
Percentage of current and total assets and total liabilities accounted for by equity method investments | 3.00% |
Investments in Unconsolidated_4
Investments in Unconsolidated Affiliates and Variable Interest Entities - Schedule of Reconciliation Between Share of Underlying Equity (Details) - USD ($) $ in Thousands | Dec. 30, 2018 | Jun. 24, 2018 |
Schedule Of Equity Method Investments [Line Items] | ||
Equity method investments | $ 113,618 | $ 112,639 |
Parkdale America LLC [Member] | ||
Schedule Of Equity Method Investments [Line Items] | ||
Underlying equity as of December 30, 2018 | 129,013 | |
Equity method investments | 110,922 | |
Parkdale America LLC [Member] | Initial Excess Capital Contributions [Member] | ||
Schedule Of Equity Method Investments [Line Items] | ||
Equity method investment difference between carrying amount and underlying equity | 53,363 | |
Parkdale America LLC [Member] | Impairment Charge Recorded in 2007 [Member] | ||
Schedule Of Equity Method Investments [Line Items] | ||
Equity method investment difference between carrying amount and underlying equity | (74,106) | |
Parkdale America LLC [Member] | Antitrust Lawsuit Against PAL [Member] | ||
Schedule Of Equity Method Investments [Line Items] | ||
Equity method investment difference between carrying amount and underlying equity | $ 2,652 |
Investments in Unconsolidated_5
Investments in Unconsolidated Affiliates and Variable Interest Entities - Schedule of Raw Material Purchases under Supply Agreement (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Dec. 30, 2018 | Dec. 24, 2017 | |
UNF [Member] | ||
Schedule Of Equity Method Investments [Line Items] | ||
Raw material purchases under supply agreement | $ 1,006 | $ 1,141 |
UNF America [Member] | ||
Schedule Of Equity Method Investments [Line Items] | ||
Raw material purchases under supply agreement | 12,558 | 10,406 |
UNF and UNF America [Member] | ||
Schedule Of Equity Method Investments [Line Items] | ||
Raw material purchases under supply agreement | $ 13,564 | $ 11,547 |
Investments in Unconsolidated_6
Investments in Unconsolidated Affiliates and Variable Interest Entities - Schedule of Unaudited, Condensed Balance Sheet Information for Unconsolidated Affiliates (Details) - USD ($) $ in Thousands | Dec. 30, 2018 | Jun. 24, 2018 |
Schedule Of Equity Method Investments [Line Items] | ||
Current assets | $ 307,674 | $ 297,281 |
Noncurrent assets | 157,248 | 163,117 |
Current liabilities | 76,932 | 74,748 |
Noncurrent liabilities | 3,153 | 3,389 |
Shareholders’ equity and capital accounts | 384,837 | 382,261 |
UNIFI’s portion of undistributed earnings | 43,401 | 42,316 |
Parkdale America LLC [Member] | ||
Schedule Of Equity Method Investments [Line Items] | ||
Current assets | 298,674 | 289,683 |
Noncurrent assets | 156,468 | 162,242 |
Current liabilities | 72,544 | 71,026 |
Noncurrent liabilities | 3,153 | 3,389 |
Shareholders’ equity and capital accounts | 379,445 | 377,510 |
UNIFI’s portion of undistributed earnings | 42,044 | 41,429 |
UNF and UNF America [Member] | ||
Schedule Of Equity Method Investments [Line Items] | ||
Current assets | 9,000 | 7,598 |
Noncurrent assets | 780 | 875 |
Current liabilities | 4,388 | 3,722 |
Shareholders’ equity and capital accounts | 5,392 | 4,751 |
UNIFI’s portion of undistributed earnings | $ 1,357 | $ 887 |
Investments in Unconsolidated_7
Investments in Unconsolidated Affiliates and Variable Interest Entities - Schedule of Unaudited, Condensed Income Statement Information for Unconsolidated Affiliates (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 30, 2018 | Dec. 24, 2017 | Dec. 30, 2018 | Dec. 24, 2017 | |
Schedule Of Equity Method Investments [Line Items] | ||||
Net sales | $ 198,424 | $ 183,333 | $ 414,691 | $ 391,817 |
Gross profit | 7,179 | 4,007 | 12,641 | 18,671 |
Income (loss) from operations | 2,202 | (737) | 3,346 | 9,728 |
Net income (loss) | 3,356 | (200) | 3,833 | 8,664 |
Depreciation and amortization | 10,864 | 10,932 | 21,386 | 20,579 |
Cash received by PAL under cotton rebate program | 3,402 | 4,701 | 5,720 | 6,942 |
Earnings recognized by PAL for cotton rebate program | 3,035 | 3,191 | 6,249 | 6,446 |
Distributions received | 126 | 1,500 | 630 | 8,678 |
Parkdale America LLC [Member] | ||||
Schedule Of Equity Method Investments [Line Items] | ||||
Net sales | 191,150 | 176,577 | 401,652 | 379,368 |
Gross profit | 5,695 | 2,379 | 10,203 | 16,089 |
Income (loss) from operations | 1,163 | (1,922) | 1,795 | 8,034 |
Net income (loss) | 2,241 | (1,398) | 2,192 | 6,948 |
Depreciation and amortization | 10,817 | 10,885 | 21,291 | 20,485 |
Cash received by PAL under cotton rebate program | 3,402 | 4,701 | 5,720 | 6,942 |
Earnings recognized by PAL for cotton rebate program | 3,035 | 3,191 | 6,249 | 6,446 |
Distributions received | 126 | 130 | 7,178 | |
UNF and UNF America [Member] | ||||
Schedule Of Equity Method Investments [Line Items] | ||||
Net sales | 7,274 | 6,756 | 13,039 | 12,449 |
Gross profit | 1,484 | 1,628 | 2,438 | 2,582 |
Income (loss) from operations | 1,039 | 1,185 | 1,551 | 1,694 |
Net income (loss) | 1,115 | 1,198 | 1,641 | 1,716 |
Depreciation and amortization | $ 47 | 47 | 95 | 94 |
Distributions received | $ 1,500 | $ 500 | $ 1,500 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Details) | Sep. 30, 2004 | Dec. 30, 2018 |
Commitments And Contingencies Disclosure [Abstract] | ||
The term of a former ground lease | 99 years | |
Number of years of monitoring and reporting costs of an individual site | 7 years |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Details) - USD ($) | 6 Months Ended | 12 Months Ended | |
Dec. 30, 2018 | Jun. 24, 2018 | Jun. 25, 2017 | |
Related Party Transaction [Line Items] | |||
Related party receivables | $ 0 | $ 0 | |
Director [Member] | |||
Related Party Transaction [Line Items] | |||
Related Party Transaction, Threshold for Individual Disclosure | $ 120,000 | $ 120,000 | $ 120,000 |
Related Party Transactions - Re
Related Party Transactions - Related Party Receivables and Payables (Details) - USD ($) $ in Thousands | Dec. 30, 2018 | Jun. 24, 2018 |
Related Party Transaction [Line Items] | ||
Capital lease obligations | $ 14,604 | $ 18,107 |
Total related party payables | 1,127 | 1,181 |
Salem Leasing Corporation [Member] | ||
Related Party Transaction [Line Items] | ||
Accounts payable, related parties | 283 | 306 |
Capital lease obligations | $ 844 | $ 875 |
Related Party Transactions - Sc
Related Party Transactions - Schedule of Related Party Transactions (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 30, 2018 | Dec. 24, 2017 | Dec. 30, 2018 | Dec. 24, 2017 | |
Salem Leasing Corporation [Member] | ||||
Related Party Transaction [Line Items] | ||||
Expenses with related party | $ 1,019 | $ 969 | $ 2,040 | $ 1,950 |
Salem Global Logistics Inc [Member] | ||||
Related Party Transaction [Line Items] | ||||
Revenues from related parties | $ 50 | $ 92 |
Business Segment Information -
Business Segment Information - Additional Information (Details) | 6 Months Ended |
Dec. 30, 2018Segment | |
Segment Reporting [Abstract] | |
Number of Reportable Segments | 3 |
Business Segment Information _2
Business Segment Information - Selected Financial Information for Polyester, Nylon, International and Other Segments (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 30, 2018 | Dec. 24, 2017 | Dec. 30, 2018 | Dec. 24, 2017 | |
Segment Reporting Information [Line Items] | ||||
Net sales | $ 167,711 | $ 167,478 | $ 349,322 | $ 331,720 |
Cost of sales | 153,555 | 144,802 | 315,147 | 285,752 |
Gross profit | 14,156 | 22,676 | 34,175 | 45,968 |
Segment depreciation expense | 4,871 | 4,986 | 10,118 | 9,871 |
Segment Profit | 19,027 | 27,662 | 44,293 | 55,839 |
Polyester [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 85,789 | 90,316 | 185,920 | 178,054 |
Cost of sales | 83,820 | 81,740 | 177,223 | 160,565 |
Gross profit | 1,969 | 8,576 | 8,697 | 17,489 |
Segment depreciation expense | 3,937 | 3,973 | 8,189 | 7,840 |
Segment Profit | 5,906 | 12,549 | 16,886 | 25,329 |
Nylon [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 22,647 | 25,103 | 50,596 | 51,930 |
Cost of sales | 20,615 | 22,027 | 46,420 | 45,540 |
Gross profit | 2,032 | 3,076 | 4,176 | 6,390 |
Segment depreciation expense | 499 | 552 | 1,060 | 1,089 |
Segment Profit | 2,531 | 3,628 | 5,236 | 7,479 |
International [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 58,237 | 51,046 | 110,590 | 99,705 |
Cost of sales | 48,161 | 40,072 | 89,491 | 77,733 |
Gross profit | 10,076 | 10,974 | 21,099 | 21,972 |
Segment depreciation expense | 367 | 397 | 726 | 813 |
Segment Profit | 10,443 | 11,371 | 21,825 | 22,785 |
Other Segments [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 1,038 | 1,013 | 2,216 | 2,031 |
Cost of sales | 959 | 963 | 2,013 | 1,914 |
Gross profit | 79 | 50 | 203 | 117 |
Segment depreciation expense | 68 | 64 | 143 | 129 |
Segment Profit | $ 147 | $ 114 | $ 346 | $ 246 |
Business Segment Information _3
Business Segment Information - Reconciliations of Segment Gross Profit to Consolidated (loss) Income Before Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Dec. 30, 2018 | Dec. 24, 2017 | Dec. 30, 2018 | Dec. 24, 2017 | |
Segment Reporting Reconciling Item For Operating Profit Loss From Segment To Consolidated [Line Items] | ||||
Gross profit | $ 14,156 | $ 22,676 | $ 34,175 | $ 45,968 |
Selling, general and administrative expenses | 14,822 | 14,626 | 29,233 | 27,489 |
Provision (benefit) for bad debts | 32 | (72) | 163 | (131) |
Other operating expense (income), net | 99 | 348 | (141) | 663 |
Operating (loss) income | (797) | 7,774 | 4,920 | 17,947 |
Interest income | (152) | (181) | (299) | (262) |
Interest expense | 1,355 | 1,190 | 2,822 | 2,375 |
Loss on extinguishment of debt | 131 | 131 | ||
Equity in earnings of unconsolidated affiliates | (1,014) | (211) | (1,253) | (3,298) |
(Loss) income before income taxes | (1,117) | 6,976 | 3,519 | 19,132 |
Polyester [Member] | ||||
Segment Reporting Reconciling Item For Operating Profit Loss From Segment To Consolidated [Line Items] | ||||
Gross profit | 1,969 | 8,576 | 8,697 | 17,489 |
Nylon [Member] | ||||
Segment Reporting Reconciling Item For Operating Profit Loss From Segment To Consolidated [Line Items] | ||||
Gross profit | 2,032 | 3,076 | 4,176 | 6,390 |
International [Member] | ||||
Segment Reporting Reconciling Item For Operating Profit Loss From Segment To Consolidated [Line Items] | ||||
Gross profit | 10,076 | 10,974 | 21,099 | 21,972 |
Other Segments [Member] | ||||
Segment Reporting Reconciling Item For Operating Profit Loss From Segment To Consolidated [Line Items] | ||||
Gross profit | $ 79 | $ 50 | $ 203 | $ 117 |
Business Segment Information _4
Business Segment Information - Reconciliation of Segment Total Assets to Consolidated Total Assets (Details) - USD ($) $ in Thousands | Dec. 30, 2018 | Jun. 24, 2018 |
Segment Reporting Asset Reconciling Item [Line Items] | ||
Total assets | $ 594,383 | $ 601,807 |
Other current assets | 18,120 | 6,529 |
Property, plant and equipment, net | 205,053 | 205,516 |
Other non-current assets | 4,546 | 6,070 |
Investments in unconsolidated affiliates | 113,618 | 112,639 |
Operating Segments [Member] | ||
Segment Reporting Asset Reconciling Item [Line Items] | ||
Total assets | 441,414 | 436,645 |
Operating Segments [Member] | Polyester [Member] | ||
Segment Reporting Asset Reconciling Item [Line Items] | ||
Total assets | 283,249 | 284,261 |
Operating Segments [Member] | Nylon [Member] | ||
Segment Reporting Asset Reconciling Item [Line Items] | ||
Total assets | 61,517 | 57,378 |
Operating Segments [Member] | International [Member] | ||
Segment Reporting Asset Reconciling Item [Line Items] | ||
Total assets | 96,648 | 95,006 |
Corporate, Non-Segment [Member] | ||
Segment Reporting Asset Reconciling Item [Line Items] | ||
Other current assets | 17,222 | 30,945 |
Property, plant and equipment, net | 18,740 | 17,373 |
Other non-current assets | 3,389 | 4,205 |
Investments in unconsolidated affiliates | $ 113,618 | $ 112,639 |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information - Schedule of Cash Payments for Interest and Taxes (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Dec. 30, 2018 | Dec. 24, 2017 | |
Supplemental Cash Flow Elements [Abstract] | ||
Interest, net of capitalized interest of $123 and $85, respectively | $ 2,876 | $ 2,130 |
Income tax payments, net | $ 474 | $ 5,340 |
Supplemental Cash Flow Inform_4
Supplemental Cash Flow Information - Schedule of Cash Payments for Interest and Taxes (Details) (Parenthetical) - USD ($) $ in Thousands | 6 Months Ended | |
Dec. 30, 2018 | Dec. 24, 2017 | |
Supplemental Cash Flow Elements [Abstract] | ||
Interest capitalized | $ 123 | $ 85 |
Supplemental Cash Flow Inform_5
Supplemental Cash Flow Information - Additional Information (Details) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | ||
Dec. 30, 2018 | Dec. 24, 2017 | Jun. 24, 2018 | Jun. 25, 2017 | |
Supplemental Cash Flow Information [Abstract] | ||||
Capital expenditures incurred but not yet paid | $ 1,702 | $ 2,610 | $ 3,187 | $ 3,234 |