Cover
Cover - shares | 6 Months Ended | |
Jun. 30, 2020 | Jul. 31, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2020 | |
Document Transition Report | false | |
Entity File Number | 0-28000 | |
Entity Registrant Name | PRGX Global, Inc. | |
Entity Incorporation, State or Country Code | GA | |
Entity Tax Identification Number | 58-2213805 | |
Entity Address, Address Line One | 600 Galleria Parkway | |
Entity Address, Address Line Two | Suite 100 | |
Entity Address, City or Town | Atlanta | |
Entity Address, State or Province | GA | |
Entity Address, Postal Zip Code | 30339-5986 | |
City Area Code | 770 | |
Local Phone Number | 779-3900 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Title of 12(b) Security | Common Stock, no par value | |
Trading Symbol | PRGX | |
Security Exchange Name | NASDAQ | |
Entity Common Stock, Shares Outstanding | 23,612,686 | |
Entity Central Index Key | 0001007330 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q2 | |
Current Fiscal Year Focus | --12-31 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Income Statement [Abstract] | ||||
Revenue, net | $ 39,011 | $ 41,974 | $ 75,850 | $ 80,778 |
Operating expenses: | ||||
Cost of revenue | 20,584 | 26,312 | 43,118 | 51,547 |
Selling, general and administrative expenses | 14,726 | 15,748 | 28,190 | 29,665 |
Depreciation of property, equipment and software assets | 1,965 | 2,381 | 4,106 | 4,584 |
Amortization of intangible assets | 828 | 872 | 1,657 | 1,734 |
Total operating expenses | 38,103 | 45,313 | 77,071 | 87,530 |
Operating income (loss) from continuing operations | 908 | (3,339) | (1,221) | (6,752) |
Foreign currency transaction losses on short-term intercompany balances | (819) | (77) | 637 | 129 |
Interest expense, net | 303 | 592 | 645 | 1,065 |
Other loss (income) | 2 | 11 | 2 | (8) |
Income (loss) from continuing operations before income tax | 1,422 | (3,865) | (2,505) | (7,938) |
Income tax expense | 1,004 | 311 | 960 | 479 |
Net income (loss) from continuing operations | 418 | (4,176) | (3,465) | (8,417) |
Discontinued operations: | ||||
Loss from discontinued operations | 0 | (103) | 0 | (258) |
Net loss from discontinued operations | 0 | (103) | 0 | (258) |
Net income (loss) | $ 418 | $ (4,279) | $ (3,465) | $ (8,675) |
Basic income (loss) per common share (Note 2): | ||||
Basic income (loss) from continuing operations (in usd per share) | $ 0.02 | $ (0.18) | $ (0.15) | $ (0.37) |
Basic loss from discontinued operations (in usd per share) | 0 | 0 | 0 | (0.01) |
Total basic net income (loss) per common share | 0.02 | (0.18) | (0.15) | (0.38) |
Diluted income (loss) per common share (Note 2): | ||||
Diluted income (loss) from continuing operations (in usd per share) | 0.02 | (0.18) | (0.15) | (0.37) |
Diluted loss from discontinued operations (in usd per share) | 0 | 0 | 0 | (0.01) |
Total diluted income (loss) per common share (in usd per share) | $ 0.02 | $ (0.18) | $ (0.15) | $ (0.38) |
Weighted-average common shares outstanding (Note 2): | ||||
Basic (in shares) | 22,606 | 22,763 | 22,542 | 22,687 |
Diluted (in shares) | 22,716 | 22,763 | 22,542 | 22,687 |
Revenue, Product and Service [Extensible List] | us-gaap:ServiceMember |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent [Abstract] | ||||
Net income (loss) | $ 418 | $ (4,279) | $ (3,465) | $ (8,675) |
Foreign currency translation adjustments, net of tax | 748 | (269) | (1,200) | 244 |
Comprehensive income (loss) | $ 1,166 | $ (4,548) | $ (4,665) | $ (8,431) |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 21,061 | $ 14,982 |
Restricted cash | 123 | 46 |
Receivables: | ||
Billed | 32,748 | 38,201 |
Unbilled | 3,312 | 4,911 |
Net receivables | 36,060 | 43,112 |
Employee advances and miscellaneous receivables, net | 740 | 704 |
Total receivables | 36,800 | 43,816 |
Prepaid expenses and other current assets | 4,062 | 5,582 |
Total current assets | 62,046 | 64,426 |
Property, equipment and software | 66,950 | 63,557 |
Less accumulated depreciation and amortization | (47,813) | (45,811) |
Property, equipment and software, net | 19,137 | 17,746 |
Operating lease right-of-use assets (Note 9) | 11,044 | 10,969 |
Goodwill | 14,962 | 15,070 |
Intangible assets, less accumulated amortization of $48,206 in 2020 and $47,097 in 2019 | 9,714 | 11,506 |
Unbilled receivables | 865 | 1,282 |
Deferred income taxes | 3,636 | 3,921 |
Other assets | 531 | 546 |
Total assets | 121,935 | 125,466 |
Current liabilities: | ||
Accounts payable and accrued expenses | 2,094 | 4,326 |
Accrued payroll and related expenses | 14,070 | 12,951 |
Current portion of operating lease liabilities (Note 9) | 4,077 | 3,717 |
Refund liabilities | 4,152 | 4,513 |
Deferred revenue | 1,970 | 2,217 |
Current portion of debt (Note 5) | 0 | 17 |
Total current liabilities | 26,363 | 27,741 |
Long-term debt (Note 5) | 36,650 | 36,603 |
Long-term operating lease liabilities (Note 9) | 7,368 | 7,435 |
Refund liabilities | 21 | 9 |
Deferred income taxes (Note 8) | 628 | 628 |
Total liabilities | 71,030 | 72,416 |
Commitments and contingencies (Note 7) | ||
Shareholders’ equity (Note 2): | ||
Common stock, no par value; $.01 stated value per share. Authorized 50,000,000 shares; 23,612,686 shares issued and outstanding at June 30, 2020 and 23,369,433 shares issued and outstanding at December 31, 2019 | 236 | 234 |
Additional paid-in capital | 584,922 | 582,404 |
Accumulated deficit | (532,641) | (529,176) |
Accumulated other comprehensive loss | (1,612) | (412) |
Total shareholders’ equity | 50,905 | 53,050 |
Total liabilities and shareholders' equity | $ 121,935 | $ 125,466 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Allowances for contract receivables | $ 1,379 | $ 1,781 |
Accumulated amortization on intangible assets | $ 48,206 | $ 47,097 |
Common stock, stated value per share (in usd per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 50,000,000 | 50,000,000 |
Common stock, shares issued (in shares) | 23,612,686 | 23,369,433 |
Common stock, shares outstanding (in shares) | 23,612,686 | 23,369,433 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] | Accumulated Other Comprehensive Loss [Member] |
Beginning balance (in shares) at Dec. 31, 2018 | 23,186,258 | ||||
Beginning balance at Dec. 31, 2018 | $ 66,329 | $ 232 | $ 582,574 | $ (515,456) | $ (1,021) |
Increase (Decrease) in Stockholders' Equity | |||||
Net (loss) income | (8,675) | (8,675) | |||
Foreign currency translation adjustments | 244 | 244 | |||
Issuances of common stock: | |||||
Restricted share awards (in shares) | 516,955 | ||||
Restricted share awards | 0 | $ 5 | (5) | ||
Restricted shares remitted by employees for taxes (in shares) | (99,885) | ||||
Restricted shares remitted by employees for taxes | (750) | $ (1) | (749) | ||
Stock option exercises (in shares) | 45,380 | ||||
Stock option exercises | 221 | 221 | |||
Performance-based restricted stock unit settlement (in shares) | 203,524 | ||||
Performance-based restricted stock unit settlement | $ 2 | (2) | |||
Restricted stock unit settlement (in shares) | 27,516 | ||||
Restricted stock unit settlement | 0 | ||||
Forfeited restricted share awards (in shares) | (24,590) | ||||
Forfeited restricted share awards | 0 | ||||
Repurchase of common stock (in shares) | (243,755) | ||||
Repurchase of common stock | (2,228) | $ (2) | (2,226) | ||
Stock-based compensation expense | 3,169 | 3,169 | |||
Ending balance (in shares) at Jun. 30, 2019 | 23,611,403 | ||||
Ending balance at Jun. 30, 2019 | 58,310 | $ 236 | 582,982 | (524,131) | (777) |
Beginning balance (in shares) at Mar. 31, 2019 | 23,438,058 | ||||
Beginning balance at Mar. 31, 2019 | 61,230 | $ 234 | 581,356 | (519,852) | (508) |
Increase (Decrease) in Stockholders' Equity | |||||
Net (loss) income | (4,279) | (4,279) | |||
Foreign currency translation adjustments | (269) | (269) | |||
Issuances of common stock: | |||||
Restricted share awards (in shares) | 183,403 | ||||
Restricted share awards | 0 | $ 2 | (2) | ||
Restricted shares remitted by employees for taxes (in shares) | (38,304) | ||||
Restricted shares remitted by employees for taxes | (246) | $ 0 | (246) | ||
Stock option exercises (in shares) | 35,319 | ||||
Stock option exercises | 170 | 170 | |||
Restricted stock unit settlement (in shares) | 17,517 | ||||
Restricted stock unit settlement | 0 | ||||
Forfeited restricted share awards (in shares) | (24,590) | ||||
Forfeited restricted share awards | 0 | ||||
Stock-based compensation expense | 1,704 | 1,704 | |||
Ending balance (in shares) at Jun. 30, 2019 | 23,611,403 | ||||
Ending balance at Jun. 30, 2019 | $ 58,310 | $ 236 | 582,982 | (524,131) | (777) |
Beginning balance (in shares) at Dec. 31, 2019 | 23,369,433 | 23,369,433 | |||
Beginning balance at Dec. 31, 2019 | $ 53,050 | $ 234 | 582,404 | (529,176) | (412) |
Increase (Decrease) in Stockholders' Equity | |||||
Net (loss) income | (3,465) | (3,465) | |||
Foreign currency translation adjustments | (1,200) | (1,200) | |||
Issuances of common stock: | |||||
Restricted share awards (in shares) | 429,269 | ||||
Restricted share awards | 0 | $ 4 | (4) | ||
Restricted shares remitted by employees for taxes (in shares) | (112,020) | ||||
Restricted shares remitted by employees for taxes | (398) | $ (1) | (397) | ||
Restricted stock unit settlement (in shares) | 61,521 | ||||
Restricted stock unit settlement | 0 | ||||
Forfeited restricted share awards (in shares) | (31,655) | ||||
Forfeited restricted share awards | 0 | ||||
Repurchase of common stock (in shares) | (103,862) | ||||
Repurchase of common stock | (284) | $ (1) | (283) | ||
Stock-based compensation expense | $ 3,202 | 3,202 | |||
Ending balance (in shares) at Jun. 30, 2020 | 23,612,686 | 23,612,686 | |||
Ending balance at Jun. 30, 2020 | $ 50,905 | $ 236 | 584,922 | (532,641) | (1,612) |
Beginning balance (in shares) at Mar. 31, 2020 | 23,595,079 | ||||
Beginning balance at Mar. 31, 2020 | 47,978 | $ 236 | 583,161 | (533,059) | (2,360) |
Increase (Decrease) in Stockholders' Equity | |||||
Net (loss) income | 418 | 418 | |||
Foreign currency translation adjustments | 748 | 748 | |||
Issuances of common stock: | |||||
Restricted share awards (in shares) | 30,769 | ||||
Restricted share awards | 0 | $ 0 | 0 | ||
Restricted shares remitted by employees for taxes (in shares) | (27,977) | ||||
Restricted shares remitted by employees for taxes | (115) | $ 0 | (115) | ||
Restricted stock unit settlement (in shares) | 17,519 | ||||
Restricted stock unit settlement | 0 | ||||
Forfeited restricted share awards (in shares) | (2,704) | ||||
Forfeited restricted share awards | 0 | ||||
Stock-based compensation expense | $ 1,876 | 1,876 | |||
Ending balance (in shares) at Jun. 30, 2020 | 23,612,686 | 23,612,686 | |||
Ending balance at Jun. 30, 2020 | $ 50,905 | $ 236 | $ 584,922 | $ (532,641) | $ (1,612) |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Cash flows from operating activities: | ||
Net income (loss) | $ (3,465) | $ (8,675) |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 5,763 | 6,318 |
Operating lease right-of-use asset expense | 2,195 | 2,248 |
Amortization of deferred loan costs | 48 | 117 |
Noncash interest expense | 643 | 0 |
Stock-based compensation expense | 3,196 | 3,046 |
Foreign currency transaction losses on short-term intercompany balances | 637 | 129 |
Deferred income taxes | 338 | 0 |
Changes in operating assets and liabilities | ||
Billed receivables | 4,550 | 6,593 |
Unbilled receivables | 2,018 | (851) |
Prepaid expenses and other current assets | 1,438 | (1,296) |
Operating lease liabilities | (1,979) | 0 |
Other assets | (53) | (1,567) |
Accounts payable and accrued expenses | (3,890) | (2,930) |
Accrued payroll and related expenses | 1,326 | (4,970) |
Refund liabilities | (270) | (314) |
Deferred revenue | (224) | (292) |
Net cash provided by (used in) operating activities | 12,271 | (2,444) |
Cash flows from investing activities: | ||
Purchases of property, equipment and software, net of disposal proceeds | (5,620) | (7,640) |
Net cash used in investing activities | (5,620) | (7,640) |
Cash flows from financing activities: | ||
Repayments of credit facility | (38,000) | (3,000) |
Proceeds from credit facility | 38,000 | 14,400 |
Payment of deferred loan costs | 0 | (394) |
Payment of earnout liability related to business acquisitions | 0 | (479) |
Restricted stock repurchased from employees for withholding taxes | (398) | (750) |
Repurchases of common stock | (284) | (2,228) |
Proceeds from option exercises | 0 | 221 |
Net cash (used in) provided by financing activities | (682) | 7,770 |
Effect of exchange rates on cash and cash equivalents | 187 | (55) |
Net increase (decrease) in cash, cash equivalents and restricted cash | 6,156 | (2,369) |
Cash, cash equivalents and restricted cash at beginning of period | 15,028 | 14,019 |
Cash, cash equivalents and restricted cash at end of period | 21,184 | 11,650 |
Supplemental disclosure of cash flow information: | ||
Cash paid during the period for interest | 716 | 385 |
Cash paid during the period for income taxes, net of refunds received | $ 804 | $ 1,638 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying Condensed Consolidated Financial Statements (Unaudited) of PRGX Global, Inc. and its wholly-owned subsidiaries have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information and with the instructions for the Quarterly Report on Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three and six-month periods ended June 30, 2020 are not necessarily indicative of the results that may be expected for the year ending December 31, 2020. Except as otherwise indicated or unless the context otherwise requires, “PRGX,” “we,” “us,” “our” and the “Company” refer to PRGX Global, Inc. and its subsidiaries. For further information, refer to the Consolidated Financial Statements and the related Notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019. Significant Accounting Policies A summary of the Company's significant accounting policies is included in Note 1 of the “Notes to Consolidated Financial Statements” contained in the Company's Annual Report on Form 10-K for the year ended December 31, 2019. The Company did not experience any significant changes during the quarter ended June 30, 2020 in any of the Critical Accounting Policies from those contained in the Company's Form 10-K for the year ended December 31, 2019. COVID-19 In December 2019, a novel strain of coronavirus was first identified, and in March 2020, the World Health Organization categorized COVID-19, the disease resulting from this coronavirus strain, as a pandemic. To help control the spread of the virus and protect the health and safety of our employees and customers, many of the Company's teams worldwide have been working remotely since the middle of March. The Company evaluates the recoverability of goodwill annually in the fourth quarter of each year or sooner if events or changes in circumstances indicate that the carrying amount may exceed its fair value. The impairment test performed in the fourth quarter of 2019 indicated significant excess fair value over carrying value for the Recovery Audit Services reporting units. The Company evaluated whether there were indicators of impairment as of June 30, 2020 as a result of COVID-19 conditions including deterioration in the macro-economic environment and the volatility in our share price. While there were negative macro-economic factors, the positive evidence outweighed the negative evidence of the fair value of our reporting units more likely than not exceeding the carrying amount of those units as of June 30, 2020. Further, since the negative financial impacts on the Company from the COVID-19 pandemic have not been significant to date, COVID-19 considerations do not significantly affect the assumptions underpinning our long-term revenue and cash flow growth rates, operating models and business strategies. Therefore, the Company did not consider the COVID-19 pandemic to require an interim quantitative goodwill impairment analysis. As a result, no impairment charges for goodwill and indefinite-lived intangible assets were recorded during the three and six months ended June 30, 2020. The Company also evaluated its remaining assets, particularly accounts receivable. The allowance for doubtful accounts is calculated based on historical experience and various other information available. The Company also assessed incremental risks due to the COVID-19 pandemic on our customers' financial viability. The Company did not experience a significant deterioration of its accounts receivable portfolio during the quarter ended June 30, 2020. The Company will continue to monitor the collectability of its accounts receivable balances. The Company received an immaterial amount of COVID-19-related rent concessions for certain office space leases in the second quarter of 2020. Consistent with updated guidance from the Financial Accounting Standards Board (“FASB”) in April 2020, the Company elected to treat COVID-19-related rent concessions as variable rent. While the Company is having ongoing conversations with landlords, it does not expect significant concessions for the remainder of the year. On March 27, 2020, the U.S. government enacted the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”), which among other things, provides employer payroll tax credits for wages paid to employees who are unable to work during the COVID-19 pandemic and options to defer payroll tax payments. Based on evaluation of the CARES Act, the Company is deferring qualified payroll and other tax payments as permitted by the CARES Act. The full extent of the future impact of COVID-19 on the Company’s operations is uncertain. Such events, including a prolonged or recurring outbreak, are generally outside of our control and could have a material adverse impact on our business, operating results and financial conditions in future reporting periods. Impact of Recently Issued Accounting Standards A summary of the new accounting standards issued by the FASB and included in the Accounting Standards Codification ("ASC") that apply to PRGX is included below: Adopted by the Company in Fiscal Year 2020 FASB ASU 2018-13 - In August 2018, the FASB issued Accounting Standards Update ("ASU") 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement , which adds and modifies certain disclosure requirements for fair value measurements. Under the new guidance, entities will no longer be required to disclose the amount of and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy, or valuation processes for Level 3 fair value measurements. However, public companies are required to disclose the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements, and related changes in unrealized gains and losses included in other comprehensive income. Certain provisions of the ASU must be applied retrospectively, while others must be applied prospectively. The Company adopted this ASU on January 1, 2020. The adoption of this ASU did not have a material impact on the Company's condensed consolidated financial statements. FASB ASU 2018-15 - In August 2018, the FASB issued ASU No. 2018-15, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract , which aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. The Company adopted this ASU prospectively on January 1, 2020. The adoption of this ASU did not have a material impact on the Company's condensed consolidated financial statements. Accounting Standards Not Yet Adopted FASB ASU 2016-13 - In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments , which requires entities to record expected credit losses for certain financial instruments, including trade receivables, as an allowance that reflects the entity's current estimate of credit losses expected to be incurred. ASU 2016-13 is effective for annual periods beginning after December 15, 2022, including interim periods within those annual periods, and early adoption is permitted. The Company is currently evaluating the effect that the adoption of this standard will have on the Company's condensed consolidated financial statements. FASB ASU 2019-12 - In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes , which simplifies accounting for income taxes, changes the accounting for certain income tax transactions and makes certain improvements to the codification. These amendments will be effective for fiscal years and interim periods within those fiscal years, beginning after December 15, 2020, with early adoption permitted. The Company is currently evaluating the new standard to determine the impact it will have on the Company’s condensed consolidated financial statements. FASB ASU 2020-04 - In March 2020, the FASB issued ASU No. 2020-04, Facilitation of the Effects of Reference Rate Reform on Financial Reporting, which provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships and other transactions affected by the discontinuation of the London Interbank Offered Rate (LIBOR) and other interbank offered rates. Companies may adopt this guidance at any time but no later than December 31, 2022. The Company is currently evaluating the new standard to determine the impact it will have on the Company’s condensed consolidated financial statements. |
Net Income (Loss) Per Common Sh
Net Income (Loss) Per Common Share | 6 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
Net Income (Loss) Per Common Share | Net Income (Loss) Per Common Share The following table sets forth the computations of basic and diluted net income (loss) per common share for the three and six months ended June 30, 2020 and 2019 (in thousands, except per share data): Three Months Six Months 2020 2019 2020 2019 Numerator: Net income (loss) from continuing operations $ 418 $ (4,176) $ (3,465) $ (8,417) Net loss from discontinued operations $ — $ (103) $ — $ (258) Denominator: Weighted-average common shares outstanding 22,606 22,763 22,542 22,687 Effect of dilutive securities from stock-based compensation plans 110 — — — Weighted-average diluted common shares outstanding 22,716 22,763 22,542 22,687 Basic net income (loss) per common share from continuing operations $ 0.02 $ (0.18) $ (0.15) $ (0.37) Basic net loss per common share from discontinued operations — — — (0.01) Total basic net income (loss) per common share $ 0.02 $ (0.18) $ (0.15) $ (0.38) Diluted income (loss) per common share from continuing operations $ 0.02 $ (0.18) $ (0.15) $ (0.37) Diluted loss per common share from discontinued operations — — — (0.01) Total diluted income (loss) per common share $ 0.02 $ (0.18) $ (0.15) $ (0.38) Anti-dilutive securities excluded from diluted net income (loss) per share calculation 4,011 4,277 4,120 4,277 |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jun. 30, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation The Company has two stock-based compensation plans under which outstanding equity awards have been granted, the 2008 Equity Incentive Plan ("2008 EIP") and the 2017 Equity Incentive Compensation Plan ("2017 EICP") (collectively, the "Plans"). No additional awards may be granted under the 2008 EIP. Awards granted outside of the Plans are referred to as inducement awards. During the three months ended June 30, 2020, equity awards were granted to non-employee directors, and in the six months ended June 30, 2020, equity awards were granted to non-employee directors and certain key employees. The awards included restricted stock, restricted stock units, and performance-based restricted stock units ("PBUs"). Summary of Grant Activity The following is a summary of grant activity for the three and six months ended June 30, 2020 (in thousands, except number of awards): Three Months Ended June 30, 2020 Six Months Ended June 30, 2020 # of Awards Granted Grant Date Fair Value # of Awards Granted Grant Date Fair Value Restricted stock 30,769 $ 120 429,269 $ 1,830 Restricted stock units 123,076 480 142,076 562 PBUs — — 659,301 2,828 153,845 $ 600 1,230,646 $ 5,220 The awards granted in the three months ended June 30, 2020 had the following terms: • The restricted stock and restricted stock units vest one year from grant date. The awards granted in the six months ended June 30, 2020 had the following terms: • 398,500 shares of the restricted stock vest over three years in approximately equal annual installments and 30,769 shares of the restricted stock vest one year from grant date. • 123,076 restricted stock units vest one year from grant date and 19,000 restricted stock units vest over three years in approximately equal annual installments. • The vesting of the PBUs is subject to the satisfaction of certain specified financial performance conditions for the two-year performance period ending on December 31, 2021. PBUs that vest will be settled in shares of the Company's common stock. Stock-based compensation expense for these PBUs is being recognized at the target level of financial performance, as if 100% of the awards will vest. The Company reevaluates this likelihood on a quarterly basis. Additional Information As of June 30, 2020, there were approximately 1.8 million shares available for future grant under the 2017 EICP. Stock-based compensation expense for the three months ended June 30, 2020 and 2019 was $1.9 million and $1.7 million, respectively, and $3.2 million and $3.0 million for the six months ended June 30, 2020 and 2019, respectively, and is included in Selling, general and administrative expenses |
Operating Segments and Related
Operating Segments and Related Information | 6 Months Ended |
Jun. 30, 2020 | |
Segment Reporting [Abstract] | |
Operating Segments and Related Information | Operating Segments and Related Information The Company conducts its operations through the following three reportable segments: Recovery Audit Services – Americas represents recovery audit services provided in the United States of America (“U.S.”), Canada and Latin America. Recovery Audit Services – Europe/Asia-Pacific represents recovery audit services provided in Europe, Asia and the Pacific region. Adjacent Services represents data transformation, spend analytics and associated advisory services. The unallocated portion of corporate selling, general and administrative expenses not specifically attributable to the three reportable segments is included in Corporate Support . Discontinued Operations There was no activity in the Company's discontinued operations segment for the three and six months ended June 30, 2020. The following table presents the discontinued operations of the Healthcare Claims Recovery Audit ("HCRA") services business in the Consolidated Statements of Operations, for the three and six months ended June 30, 2019 (in thousands): Three Months Ended June 30, Six Months 2019 2019 Revenue, net $ — $ — Cost of sales 96 245 Selling, general and administrative expense 7 13 Depreciation and amortization — — Loss from discontinued operations before income taxes $ (103) $ (258) Income tax expense — — Loss from discontinued operations $ (103) $ (258) The following table presents the discontinued operations of the HCRA services business in the Consolidated Statements of Cash Flows, for the six months ended June 30, 2019 (in thousands): Six Months Ended June 30, 2019 Net cash (used in) provided by operating activities $ (258) Net cash (used in) provided by investing activities — Net cash (used in) provided by financing activities — Decrease in cash and cash equivalents $ (258) The Company evaluates the performance of its reportable segments based upon revenue and measures of profit or loss referred to as EBITDA and Adjusted EBITDA. The Company defines Adjusted EBITDA as earnings from continuing operations before interest and taxes (“EBIT”), adjusted for depreciation and amortization (“EBITDA”), and then further adjusted for unusual and other significant items that management views as distorting the operating results of the various segments from period to period. Such adjustments include restructuring charges, stock-based compensation, bargain purchase gains, acquisition-related charges and benefits (acquisition transaction costs, acquisition obligations classified as compensation, and fair value adjustments to acquisition-related contingent consideration), tangible and intangible asset impairment charges, certain litigation costs and litigation settlements, certain severance charges and foreign currency transaction gains and losses on short-term intercompany balances viewed by management as individually or collectively significant. The Company does not have any inter-segment revenue. Segment information for the three and six months ended June 30, 2020 and 2019 (in thousands) is as follows: Recovery Recovery Audit Adjacent Corporate Total Three Months Ended June 30, 2020 Revenue, net $ 26,962 $ 11,157 $ 892 $ — $ 39,011 Net income from continuing operations 418 Income tax expense 1,004 Interest expense, net 303 EBIT $ 8,895 $ 4,426 $ 24 $ (11,620) $ 1,725 Depreciation of property, equipment and software 1,777 155 33 — 1,965 Amortization of intangible assets 408 41 379 — 828 EBITDA $ 11,080 $ 4,622 $ 436 $ (11,620) $ 4,518 Other loss — — — 2 2 Foreign currency transaction (gains) losses on short-term intercompany balances (176) (752) — 109 (819) Transformation, severance, and other expenses 327 181 47 117 672 Investigation and settlement of employment matter — — — 1,306 1,306 Stock-based compensation — — — 1,876 1,876 Adjusted EBITDA from continuing operations $ 11,231 $ 4,051 $ 483 $ (8,210) $ 7,555 Recovery Recovery Audit Adjacent Corporate Total Three Months Ended June 30, 2019 Revenue, net $ 28,935 $ 11,836 $ 1,203 $ — $ 41,974 Net loss from continuing operations (4,176) Income tax expense 311 Interest expense, net 592 EBIT $ 6,960 $ 1,877 $ (2,914) $ (9,196) $ (3,273) Depreciation of property, equipment and software 1,919 182 280 — 2,381 Amortization of intangible assets 438 48 386 — 872 EBITDA $ 9,317 $ 2,107 $ (2,248) $ (9,196) $ (20) Other loss 1 — — 10 11 Foreign currency transaction (gains) losses on short-term intercompany balances (106) (99) 6 122 (77) Transformation, severance, and other expenses 250 122 605 303 1,280 Stock-based compensation — — — 1,662 1,662 Adjusted EBITDA from continuing operations $ 9,462 $ 2,130 $ (1,637) $ (7,099) $ 2,856 Recovery Audit Services – Americas Recovery Audit Services – Europe/Asia- Pacific Adjacent Services Corporate Support Total Six Months Ended June 30, 2020 Revenue, net $ 53,185 $ 20,942 $ 1,723 $ — $ 75,850 Net loss from continuing operations (3,465) Income tax expense 960 Interest expense, net 645 EBIT $ 13,373 $ 5,865 $ 162 $ (21,260) $ (1,860) Depreciation of property, equipment and software 3,715 324 67 — 4,106 Amortization of intangible assets 816 83 758 — 1,657 EBITDA $ 17,904 $ 6,272 $ 987 $ (21,260) $ 3,903 Other loss — — — 2 2 Foreign currency transaction (gains) losses on short-term intercompany balances 720 122 4 (209) 637 Transformation, severance, and other expenses 1,015 389 127 448 1,979 Investigation and settlement of employment matter — — — 1,306 1,306 Stock-based compensation — — — 3,196 3,196 Adjusted EBITDA from continuing operations $ 19,639 $ 6,783 $ 1,118 $ (16,517) $ 11,023 Recovery Audit Services – Americas Recovery Audit Services – Europe/Asia- Pacific Adjacent Services Corporate Support Total Six Months Ended June 30, 2019 Revenue, net $ 56,308 $ 21,595 $ 2,875 $ — $ 80,778 Net loss from continuing operations (8,417) Income tax expense 479 Interest expense, net 1,065 EBIT $ 12,964 $ 2,190 $ (5,059) $ (16,968) $ (6,873) Depreciation of property, equipment and software 3,681 344 559 — 4,584 Amortization of intangible assets 876 85 773 — 1,734 EBITDA $ 17,521 $ 2,619 $ (3,727) $ (16,968) $ (555) Other loss (income) 1 9 — (18) (8) Foreign currency transaction (gains) losses on short-term intercompany balances (179) 300 — 8 129 Transformation, severance, and other expenses 378 245 623 731 1,977 Stock-based compensation — — — 3,046 3,046 Adjusted EBITDA from continuing operations $ 17,721 $ 3,173 $ (3,104) $ (13,201) $ 4,589 |
Debt
Debt | 6 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
Debt | Debt On March 14, 2019, the Company, as co-borrower with PRGX USA, Inc. (“PRGX-USA” and, collectively with the Company, the "Borrowers"), a wholly-owned subsidiary that is the Company’s principal domestic operating subsidiary, entered into a five-year Credit Agreement (the “BOA Credit Facility”) with Bank of America, N.A. (“BOA”) and Synovus Bank as the initial lenders thereunder, and with BOA as the letter-of-credit issuer thereunder, as the swingline lender thereunder, and as the administrative agent (the “Administrative Agent”) for the lenders from time to time party thereto. The BOA Credit Facility consists of a $60.0 million senior revolving credit facility (the “Revolver”), with a $5.0 million subfacility for the issuance of letters of credit, and a $5.0 million swingline loan subfacility (the “Swingline Loan”). The BOA Credit Facility is guaranteed by each of PRGX’s direct and indirect domestic wholly-owned subsidiaries (other than PRGX-USA), except for certain immaterial domestic subsidiaries. None of PRGX’s direct or indirect foreign subsidiaries have guaranteed the BOA Credit Facility. The BOA Credit Facility is secured by substantially all of the assets of PRGX, PRGX-USA and each guarantor (including the equity interests in substantially all of the Company’s domestic subsidiaries and up to sixty-five percent (65%) of the equity interests of certain of the Company’s first-tier material foreign subsidiaries). The BOA Credit Facility will mature on March 14, 2024. Interest is payable quarterly in arrears. There are no prepayment penalties in the event the Company elects to prepay and terminate the BOA Credit Facility prior to its scheduled maturity date, subject to breakage and redeployment costs in certain limited circumstances. The Revolver bears interest at a rate per annum comprised of a specified index rate based on LIBOR plus an applicable interest rate margin determined under the BOA Credit Facility. For U.S. Dollar-denominated loans under the Revolver, at the option of the Borrowers, such loans shall bear interest at a rate per annum equal to (x) the LIBOR daily floating rate plus an applicable interest rate margin determined under the BOA Credit Facility or (y) the base rate plus the applicable interest rate margin, each as determined under the BOA Credit Facility. Although the Company does not anticipate the need for Swingline Loans, were any Swingline Loans to be made they would bear interest at the base rate plus the applicable interest rate margin for base rate loans, each as determined under the BOA Credit Facility. The applicable interest rate margin varies from 1.50% per annum to 2.25% per annum, for LIBOR daily floating rate loans, and from 0.50% per annum to 1.25% per annum, for loans based on the base rate, and in either case depending on the Company’s consolidated leverage ratio, and is determined in accordance with a pricing grid under the BOA Credit Facility. The BOA Credit Facility includes customary affirmative, negative, and financial covenants binding on the Company, including delivery of financial statements and other reports and maintenance of existence. The negative covenants limit the ability of the Company, among other things, to incur debt, incur liens, make investments and sell assets, but does provide for certain permitted repurchases of shares of its capital stock and the declaration and payment of certain dividends on its capital stock. The financial covenants included in the BOA Credit Facility set forth a maximum consolidated leverage ratio and a minimum consolidated fixed charge coverage ratio for the Company, each which will be tested on a quarterly basis; and with the Company having the ability to increase the maximum leverage ratio for a limited time when needed in connection with permitted acquisitions. In addition, the BOA Credit Facility includes customary events of default. As of June 30, 2020, there was $37.0 million in debt outstanding under the BOA Credit Facility that will be due March 14, 2024. The amount available for additional borrowing under the BOA Credit Facility was $23.0 million as of June 30, 2020. Based on the terms of the BOA Credit Facility, on June 30, 2020 the applicable interest rate (inclusive of the applicable interest rate margin) for LIBOR daily floating rate loans (the only type outstanding on June 30, 2020) was approximately 2.18%. As of June 30, 2020, the Company was required to pay a commitment fee of 0.25% per annum, payable quarterly, on the unused portion of the BOA Credit Facility. Long-term debt as of June 30, 2020 and December 31, 2019 consists of the following (in thousands): As of As of Credit facility (1) $ 37,000 $ 37,000 DFC (2) (350) (397) Net credit facility 36,650 36,603 Finance lease obligations (1) — 17 Total debt 36,650 36,620 Less: Current portion of long-term debt — 17 Long-term debt, excluding current portion $ 36,650 $ 36,603 (1) Principal portion of long-term debt. Refer to Future Commitments table below for principal payments to be made on long-term debt. (2) DFC refers to deferred financing costs related to the Company's long-term debt. Future Commitments The following is a summary of the combined principal maturities of all long-term debt and principal payments to be made under the Company’s credit facility for each of the fiscal years presented in the table below (in thousands): Year Ending December 31, 2020 $ — 2021 — 2022 — 2023 — 2024 37,000 Total $ 37,000 |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 6 Months Ended |
Jun. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The Company records cash equivalents at cost, which approximates fair market value. The carrying values for receivables from clients, unbilled receivables, accounts payable, deferred revenue and other accrued liabilities reasonably approximate fair market value due to the nature of the financial instrument and the short-term maturity of these items. The Company records bank debt, if any, as of the period end date based on the effective borrowing rate and repayment terms when originated. The Company had $37.0 million in bank debt outstanding as of both June 30, 2020 and December 31, 2019. The Company believes the carrying value of the bank debt approximates its fair value. The Company considers the factors used in determining the fair value of this debt to be Level 3 inputs (significant unobservable inputs). |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Legal Proceedings The Company is party to a variety of legal proceedings arising in the normal course of business. While the results of these proceedings cannot be predicted with certainty, management believes that the final outcome of these proceedings will not have a material adverse effect on the Company's financial position, results of operations or cash flows. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Reported income tax expense in each period primarily results from taxes on the income of foreign subsidiaries. The effective tax rates generally differ from the expected tax rate due primarily to the Company’s deferred tax asset valuation allowance on the domestic earnings and taxes on income of foreign subsidiaries. Significant judgment is required in evaluating the Company's uncertain tax positions and determining its provision for income taxes. In addition, the Company is subject to the continuous examination of its income tax returns by the Internal Revenue Service in the U.S. and other tax authorities. The Company regularly assesses the likelihood of adverse outcomes resulting from these examinations to determine the adequacy of its provision for income taxes. The Company applies a “more-likely-than-not” recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. PRGX refers to GAAP for guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure, and transition. In accordance with FASB ASC 740, the Company's policy for recording interest and penalties associated with tax positions is to record such items as a component of income before income taxes. A number of years may elapse before a tax position is audited and finally resolved or when a tax assessment is raised. The number of years subject to tax assessments also varies by tax jurisdiction. |
Leases
Leases | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Leases | Leases The Company primarily leases office space and certain office equipment using noncancelable operating leases. Operating lease right-of-use assets and liabilities are recognized at the commencement date based on the present value of lease payments over the lease term. As the implicit rate is not readily determinable in most of the Company's lease agreements, the Company uses its estimated secured incremental borrowing rate, which takes into consideration the relevant term of the underlying lease, in determining the present value of lease payments. Lease expense is recognized on a straight-line basis over the lease terms. Certain of our lease agreements include variable lease payments, primarily related to common area maintenance, insurance and taxes. The variable portion of payments is not included in the initial measurement of the right-of-use asset or lease liability due to the uncertainty of the payment amount and are recorded as lease expense in the period incurred. The Company's leases have original lease periods expiring between 2020 and 2027, which may include the option to extend the lease when it is reasonably certain the Company will exercise that option. The Company does not have lease agreements with residual value guarantees, sale leaseback terms or material restrictive covenants. The components of lease expense, lease term and discount rate are as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Operating lease cost $ 1,086 $ 1,182 $ 2,187 $ 2,448 Short-term lease cost 17 21 34 42 Variable lease cost 178 411 372 454 Sublease income (18) (18) (36) (35) Total lease cost $ 1,263 $ 1,596 $ 2,557 $ 2,909 As of June 30, 2020 and December 31, 2019, the weighted average remaining lease term and weighted average discount rate for the Company's operating leases were as follows: June 30, 2020 December 31, 2019 Weighted Average Remaining Lease Term 3.7 years 3.5 years Weighted Average Discount Rate 3.6 % 4.1 % The following is a schedule, by years, of maturities of lease liabilities as of June 30, 2020 (in thousands): Operating Leases The remainder of 2020 $ 4,396 2021 3,632 2022 1,905 2023 1,462 2024 887 Thereafter 637 Total undiscounted cash flows 12,919 Less imputed interest (1,474) Present value of lease liabilities $ 11,445 Supplemental cash flow information related to the Company's operating leases are as follows (in thousands): Six Months 2020 2019 Non-cash activity: Right-of-use assets obtained in exchange for operating lease obligations $ 2,271 $ 14,479 Operating cash flows: Cash paid for amounts included in the measurement of lease liabilities $ 1,106 $ 2,442 |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 6 Months Ended |
Jun. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Impact of Recently Issued Accounting Standards | Impact of Recently Issued Accounting Standards A summary of the new accounting standards issued by the FASB and included in the Accounting Standards Codification ("ASC") that apply to PRGX is included below: Adopted by the Company in Fiscal Year 2020 FASB ASU 2018-13 - In August 2018, the FASB issued Accounting Standards Update ("ASU") 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement , which adds and modifies certain disclosure requirements for fair value measurements. Under the new guidance, entities will no longer be required to disclose the amount of and reasons for transfers between Level 1 and Level 2 of the fair value hierarchy, or valuation processes for Level 3 fair value measurements. However, public companies are required to disclose the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements, and related changes in unrealized gains and losses included in other comprehensive income. Certain provisions of the ASU must be applied retrospectively, while others must be applied prospectively. The Company adopted this ASU on January 1, 2020. The adoption of this ASU did not have a material impact on the Company's condensed consolidated financial statements. FASB ASU 2018-15 - In August 2018, the FASB issued ASU No. 2018-15, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract , which aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. The Company adopted this ASU prospectively on January 1, 2020. The adoption of this ASU did not have a material impact on the Company's condensed consolidated financial statements. Accounting Standards Not Yet Adopted FASB ASU 2016-13 - In June 2016, the FASB issued ASU 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments , which requires entities to record expected credit losses for certain financial instruments, including trade receivables, as an allowance that reflects the entity's current estimate of credit losses expected to be incurred. ASU 2016-13 is effective for annual periods beginning after December 15, 2022, including interim periods within those annual periods, and early adoption is permitted. The Company is currently evaluating the effect that the adoption of this standard will have on the Company's condensed consolidated financial statements. FASB ASU 2019-12 - In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes , which simplifies accounting for income taxes, changes the accounting for certain income tax transactions and makes certain improvements to the codification. These amendments will be effective for fiscal years and interim periods within those fiscal years, beginning after December 15, 2020, with early adoption permitted. The Company is currently evaluating the new standard to determine the impact it will have on the Company’s condensed consolidated financial statements. FASB ASU 2020-04 - In March 2020, the FASB issued ASU No. 2020-04, Facilitation of the Effects of Reference Rate Reform on Financial Reporting, which provides optional expedients and exceptions for applying GAAP to contracts, hedging relationships and other transactions affected by the discontinuation of the London Interbank Offered Rate (LIBOR) and other interbank offered rates. Companies may adopt this guidance at any time but no later than December 31, 2022. The Company is currently evaluating the new standard to determine the impact it will have on the Company’s condensed consolidated financial statements. |
Fair value of financial instruments | Fair Value of Financial Instruments The Company records cash equivalents at cost, which approximates fair market value. The carrying values for receivables from clients, unbilled receivables, accounts payable, deferred revenue and other accrued liabilities reasonably approximate fair market value due to the nature of the financial instrument and the short-term maturity of these items. The Company records bank debt, if any, as of the period end date based on the effective borrowing rate and repayment terms when originated. The Company had $37.0 million in bank debt outstanding as of both June 30, 2020 and December 31, 2019. The Company believes the carrying value of the bank debt approximates its fair value. The Company considers the factors used in determining the fair value of this debt to be Level 3 inputs (significant unobservable inputs). |
Income Taxes | Income Taxes Reported income tax expense in each period primarily results from taxes on the income of foreign subsidiaries. The effective tax rates generally differ from the expected tax rate due primarily to the Company’s deferred tax asset valuation allowance on the domestic earnings and taxes on income of foreign subsidiaries. Significant judgment is required in evaluating the Company's uncertain tax positions and determining its provision for income taxes. In addition, the Company is subject to the continuous examination of its income tax returns by the Internal Revenue Service in the U.S. and other tax authorities. The Company regularly assesses the likelihood of adverse outcomes resulting from these examinations to determine the adequacy of its provision for income taxes. The Company applies a “more-likely-than-not” recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. PRGX refers to GAAP for guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure, and transition. In accordance with FASB ASC 740, the Company's policy for recording interest and penalties associated with tax positions is to record such items as a component of income before income taxes. A number of years may elapse before a tax position is audited and finally resolved or when a tax assessment is raised. The number of years subject to tax assessments also varies by tax jurisdiction. |
Net Income (Loss) Per Common _2
Net Income (Loss) Per Common Share (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Earnings Per Share [Abstract] | |
Computations of basic and diluted earnings (loss) per common share | The following table sets forth the computations of basic and diluted net income (loss) per common share for the three and six months ended June 30, 2020 and 2019 (in thousands, except per share data): Three Months Six Months 2020 2019 2020 2019 Numerator: Net income (loss) from continuing operations $ 418 $ (4,176) $ (3,465) $ (8,417) Net loss from discontinued operations $ — $ (103) $ — $ (258) Denominator: Weighted-average common shares outstanding 22,606 22,763 22,542 22,687 Effect of dilutive securities from stock-based compensation plans 110 — — — Weighted-average diluted common shares outstanding 22,716 22,763 22,542 22,687 Basic net income (loss) per common share from continuing operations $ 0.02 $ (0.18) $ (0.15) $ (0.37) Basic net loss per common share from discontinued operations — — — (0.01) Total basic net income (loss) per common share $ 0.02 $ (0.18) $ (0.15) $ (0.38) Diluted income (loss) per common share from continuing operations $ 0.02 $ (0.18) $ (0.15) $ (0.37) Diluted loss per common share from discontinued operations — — — (0.01) Total diluted income (loss) per common share $ 0.02 $ (0.18) $ (0.15) $ (0.38) Anti-dilutive securities excluded from diluted net income (loss) per share calculation 4,011 4,277 4,120 4,277 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Share-based Compensation, Activity | The following is a summary of grant activity for the three and six months ended June 30, 2020 (in thousands, except number of awards): Three Months Ended June 30, 2020 Six Months Ended June 30, 2020 # of Awards Granted Grant Date Fair Value # of Awards Granted Grant Date Fair Value Restricted stock 30,769 $ 120 429,269 $ 1,830 Restricted stock units 123,076 480 142,076 562 PBUs — — 659,301 2,828 153,845 $ 600 1,230,646 $ 5,220 |
Operating Segments and Relate_2
Operating Segments and Related Information (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Segment Reporting [Abstract] | |
Schedule of discontinued operations information | The following table presents the discontinued operations of the Healthcare Claims Recovery Audit ("HCRA") services business in the Consolidated Statements of Operations, for the three and six months ended June 30, 2019 (in thousands): Three Months Ended June 30, Six Months 2019 2019 Revenue, net $ — $ — Cost of sales 96 245 Selling, general and administrative expense 7 13 Depreciation and amortization — — Loss from discontinued operations before income taxes $ (103) $ (258) Income tax expense — — Loss from discontinued operations $ (103) $ (258) The following table presents the discontinued operations of the HCRA services business in the Consolidated Statements of Cash Flows, for the six months ended June 30, 2019 (in thousands): Six Months Ended June 30, 2019 Net cash (used in) provided by operating activities $ (258) Net cash (used in) provided by investing activities — Net cash (used in) provided by financing activities — Decrease in cash and cash equivalents $ (258) |
Segment information | Recovery Audit Services – Americas Recovery Audit Services – Europe/Asia- Pacific Adjacent Services Corporate Support Total Six Months Ended June 30, 2020 Revenue, net $ 53,185 $ 20,942 $ 1,723 $ — $ 75,850 Net loss from continuing operations (3,465) Income tax expense 960 Interest expense, net 645 EBIT $ 13,373 $ 5,865 $ 162 $ (21,260) $ (1,860) Depreciation of property, equipment and software 3,715 324 67 — 4,106 Amortization of intangible assets 816 83 758 — 1,657 EBITDA $ 17,904 $ 6,272 $ 987 $ (21,260) $ 3,903 Other loss — — — 2 2 Foreign currency transaction (gains) losses on short-term intercompany balances 720 122 4 (209) 637 Transformation, severance, and other expenses 1,015 389 127 448 1,979 Investigation and settlement of employment matter — — — 1,306 1,306 Stock-based compensation — — — 3,196 3,196 Adjusted EBITDA from continuing operations $ 19,639 $ 6,783 $ 1,118 $ (16,517) $ 11,023 Recovery Audit Services – Americas Recovery Audit Services – Europe/Asia- Pacific Adjacent Services Corporate Support Total Six Months Ended June 30, 2019 Revenue, net $ 56,308 $ 21,595 $ 2,875 $ — $ 80,778 Net loss from continuing operations (8,417) Income tax expense 479 Interest expense, net 1,065 EBIT $ 12,964 $ 2,190 $ (5,059) $ (16,968) $ (6,873) Depreciation of property, equipment and software 3,681 344 559 — 4,584 Amortization of intangible assets 876 85 773 — 1,734 EBITDA $ 17,521 $ 2,619 $ (3,727) $ (16,968) $ (555) Other loss (income) 1 9 — (18) (8) Foreign currency transaction (gains) losses on short-term intercompany balances (179) 300 — 8 129 Transformation, severance, and other expenses 378 245 623 731 1,977 Stock-based compensation — — — 3,046 3,046 Adjusted EBITDA from continuing operations $ 17,721 $ 3,173 $ (3,104) $ (13,201) $ 4,589 |
Debt (Tables)
Debt (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | Long-term debt as of June 30, 2020 and December 31, 2019 consists of the following (in thousands): As of As of Credit facility (1) $ 37,000 $ 37,000 DFC (2) (350) (397) Net credit facility 36,650 36,603 Finance lease obligations (1) — 17 Total debt 36,650 36,620 Less: Current portion of long-term debt — 17 Long-term debt, excluding current portion $ 36,650 $ 36,603 (1) Principal portion of long-term debt. Refer to Future Commitments table below for principal payments to be made on long-term debt. (2) DFC refers to deferred financing costs related to the Company's long-term debt. |
Schedule of Maturities of Long-term Debt | The following is a summary of the combined principal maturities of all long-term debt and principal payments to be made under the Company’s credit facility for each of the fiscal years presented in the table below (in thousands): Year Ending December 31, 2020 $ — 2021 — 2022 — 2023 — 2024 37,000 Total $ 37,000 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
Leases [Abstract] | |
Components of Lease Expense, Lease Term and Discount Rate | The components of lease expense, lease term and discount rate are as follows (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Operating lease cost $ 1,086 $ 1,182 $ 2,187 $ 2,448 Short-term lease cost 17 21 34 42 Variable lease cost 178 411 372 454 Sublease income (18) (18) (36) (35) Total lease cost $ 1,263 $ 1,596 $ 2,557 $ 2,909 |
Weighted Average Remaining Lease Term and Weighted Average Discount Rate | As of June 30, 2020 and December 31, 2019, the weighted average remaining lease term and weighted average discount rate for the Company's operating leases were as follows: June 30, 2020 December 31, 2019 Weighted Average Remaining Lease Term 3.7 years 3.5 years Weighted Average Discount Rate 3.6 % 4.1 % |
Maturity of Lease Liabilities | The following is a schedule, by years, of maturities of lease liabilities as of June 30, 2020 (in thousands): Operating Leases The remainder of 2020 $ 4,396 2021 3,632 2022 1,905 2023 1,462 2024 887 Thereafter 637 Total undiscounted cash flows 12,919 Less imputed interest (1,474) Present value of lease liabilities $ 11,445 |
Supplemental Cash Flow Information | Supplemental cash flow information related to the Company's operating leases are as follows (in thousands): Six Months 2020 2019 Non-cash activity: Right-of-use assets obtained in exchange for operating lease obligations $ 2,271 $ 14,479 Operating cash flows: Cash paid for amounts included in the measurement of lease liabilities $ 1,106 $ 2,442 |
Basis of Presentation Basis of
Basis of Presentation Basis of Presentation (Details) - USD ($) | 3 Months Ended | 6 Months Ended |
Jun. 30, 2020 | Jun. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Goodwill and intangible asset impairment | $ 0 | $ 0 |
Net Income (Loss) Per Common _3
Net Income (Loss) Per Common Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Numerator: | ||||
Net income (loss) from continuing operations | $ 418 | $ (4,176) | $ (3,465) | $ (8,417) |
Net loss from discontinued operations | $ 0 | $ (103) | $ 0 | $ (258) |
Denominator: | ||||
Weighted-average common shares outstanding | 22,606 | 22,763 | 22,542 | 22,687 |
Effect of dilutive securities from stock-based compensation plans | 110 | 0 | 0 | 0 |
Weighted-average diluted common shares outstanding | 22,716 | 22,763 | 22,542 | 22,687 |
Basic net income (loss) per common share from continuing operations (in usd per share) | $ 0.02 | $ (0.18) | $ (0.15) | $ (0.37) |
Basic net loss per common share from discontinued operations (in usd per share) | 0 | 0 | 0 | (0.01) |
Total basic net income (loss) per common share | 0.02 | (0.18) | (0.15) | (0.38) |
Diluted income (loss) per common share from continuing operations (in usd per share) | 0.02 | (0.18) | (0.15) | (0.37) |
Diluted loss per common share from discontinued operations (in usd per share) | 0 | 0 | 0 | (0.01) |
Total diluted income (loss) per common share (in usd per share) | $ 0.02 | $ (0.18) | $ (0.15) | $ (0.38) |
Anti-dilutive securities excluded from diluted net loss per share calculation (in shares) | 4,011 | 4,277 | 4,120 | 4,277 |
Stock-Based Compensation - Narr
Stock-Based Compensation - Narrative (Details) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020USD ($)shares | Jun. 30, 2019USD ($) | Jun. 30, 2020USD ($)compensation_planshares | Jun. 30, 2019USD ($) | |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Number of stock-based compensation plans | compensation_plan | 2 | |||
Shares available for grant (in shares) | 1,800,000 | 1,800,000 | ||
Compensation expense | $ | $ 1.9 | $ 1.7 | $ 3.2 | $ 3 |
Nonvested awards compensation costs not yet recognized | $ | $ 8.6 | $ 8.6 | ||
Nonvested awards, compensation costs not yet recognized, period for recognition | 1 year 8 months 12 days | |||
Restricted Stock [Member] | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Grants other than options (in shares) | 30,769 | 429,269 | ||
Restricted Stock Units (RSUs) [Member] | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Grants other than options (in shares) | 123,076 | 142,076 | ||
Performance-Based Restricted Stock Units [Member] | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Grants other than options (in shares) | 0 | 659,301 | ||
Performance period | 2 years | |||
Target percent for PBU's used to calculate stock compensation expense (percent) | 100.00% | |||
Awards Vesting over 3 Years, Grant 1 [Member] | Restricted Stock [Member] | ||||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||||
Performance period | 1 year |
Stock-Based Compensation Stock-
Stock-Based Compensation Stock-Based Compensation Grant Date Fair Value (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended |
Jun. 30, 2020 | Jun. 30, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Equity grants in period (in shares) | 153,845 | 1,230,646 |
Equity grants in period, grant date fair value | $ 600 | $ 5,220 |
Restricted Stock [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Grants other than options (in shares) | 30,769 | 429,269 |
Grants other than options, grant date fair value | $ 120 | $ 1,830 |
Restricted Stock [Member] | Vesting over Three Years | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Grants other than options (in shares) | 398,500 | |
Vesting period | 3 years | |
Restricted Stock [Member] | Vesting over One Year | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Grants other than options (in shares) | 30,769 | |
Vesting period | 1 year | |
Restricted Stock Units (RSUs) [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Grants other than options (in shares) | 123,076 | 142,076 |
Grants other than options, grant date fair value | $ 480 | $ 562 |
Restricted Stock Units (RSUs) [Member] | Vesting over Three Years | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Grants other than options (in shares) | 19,000 | |
Vesting period | 3 years | |
Restricted Stock Units (RSUs) [Member] | Vesting over One Year | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Grants other than options (in shares) | 123,076 | |
Vesting period | 1 year | |
Performance-Based Restricted Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Grants other than options (in shares) | 0 | 659,301 |
Grants other than options, grant date fair value | $ 0 | $ 2,828 |
Vesting period | 2 years |
Operating Segments and Relate_3
Operating Segments and Related Information - Narrative (Details) | 6 Months Ended |
Jun. 30, 2020segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 3 |
Operating Segments and Relate_4
Operating Segments and Related Information - Results of Discontinued Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Segment Reporting [Abstract] | ||||
Revenue, net | $ 0 | $ 0 | ||
Cost of sales | 96 | 245 | ||
Selling, general and administrative expense | 7 | 13 | ||
Depreciation and amortization | 0 | 0 | ||
Loss from discontinued operations before income taxes | $ 0 | (103) | $ 0 | (258) |
Income tax expense | 0 | 0 | ||
Loss from discontinued operations | $ (103) | $ (258) |
Operating Segments and Relate_5
Operating Segments and Related Information Operating Segments and Related Information - Discontinued Statement of Cash Flows (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Segment Reporting [Abstract] | |
Net cash (used in) provided by operating activities | $ (258) |
Net cash (used in) provided by investing activities | 0 |
Net cash (used in) provided by financing activities | 0 |
Decrease in cash and cash equivalents | $ (258) |
Operating Segments and Relate_6
Operating Segments and Related Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Segment information | ||||
Revenue, net | $ 39,011 | $ 41,974 | $ 75,850 | $ 80,778 |
Net income (loss) from continuing operations | 418 | (4,176) | (3,465) | (8,417) |
Income tax expense | 1,004 | 311 | 960 | 479 |
Interest expense, net | 303 | 592 | 645 | 1,065 |
EBIT | 1,725 | (3,273) | (1,860) | (6,873) |
Depreciation of property, equipment and software | 1,965 | 2,381 | 4,106 | 4,584 |
Amortization of intangible assets | 828 | 872 | 1,657 | 1,734 |
EBITDA | 4,518 | (20) | 3,903 | (555) |
Other loss | 2 | 11 | 2 | (8) |
Foreign currency transaction (gains) losses on short-term intercompany balances | (819) | (77) | 637 | 129 |
Transformation, severance, and other expenses | 672 | 1,280 | 1,979 | 1,977 |
Investigation and settlement of employment matter | 1,306 | 1,306 | ||
Stock-based compensation | 1,876 | 1,662 | 3,196 | 3,046 |
Adjusted EBITDA from continuing operations | 7,555 | 2,856 | 11,023 | 4,589 |
Recovery Audit Services - Americas [Member] | ||||
Segment information | ||||
Revenue, net | 26,962 | 28,935 | 53,185 | 56,308 |
EBIT | 8,895 | 6,960 | 13,373 | 12,964 |
Depreciation of property, equipment and software | 1,777 | 1,919 | 3,715 | 3,681 |
Amortization of intangible assets | 408 | 438 | 816 | 876 |
EBITDA | 11,080 | 9,317 | 17,904 | 17,521 |
Other loss | 0 | 1 | 0 | 1 |
Foreign currency transaction (gains) losses on short-term intercompany balances | (176) | (106) | 720 | (179) |
Transformation, severance, and other expenses | 327 | 250 | 1,015 | 378 |
Investigation and settlement of employment matter | 0 | 0 | ||
Stock-based compensation | 0 | 0 | 0 | 0 |
Adjusted EBITDA from continuing operations | 11,231 | 9,462 | 19,639 | 17,721 |
Recovery Audit Services - Europe/Asia-Pacific [Member] | ||||
Segment information | ||||
Revenue, net | 11,157 | 11,836 | 20,942 | 21,595 |
EBIT | 4,426 | 1,877 | 5,865 | 2,190 |
Depreciation of property, equipment and software | 155 | 182 | 324 | 344 |
Amortization of intangible assets | 41 | 48 | 83 | 85 |
EBITDA | 4,622 | 2,107 | 6,272 | 2,619 |
Other loss | 0 | 0 | 0 | 9 |
Foreign currency transaction (gains) losses on short-term intercompany balances | (752) | (99) | 122 | 300 |
Transformation, severance, and other expenses | 181 | 122 | 389 | 245 |
Investigation and settlement of employment matter | 0 | 0 | ||
Stock-based compensation | 0 | 0 | 0 | 0 |
Adjusted EBITDA from continuing operations | 4,051 | 2,130 | 6,783 | 3,173 |
Adjacent Services [Member] | ||||
Segment information | ||||
Revenue, net | 892 | 1,203 | 1,723 | 2,875 |
EBIT | 24 | (2,914) | 162 | (5,059) |
Depreciation of property, equipment and software | 33 | 280 | 67 | 559 |
Amortization of intangible assets | 379 | 386 | 758 | 773 |
EBITDA | 436 | (2,248) | 987 | (3,727) |
Other loss | 0 | 0 | 0 | 0 |
Foreign currency transaction (gains) losses on short-term intercompany balances | 0 | 6 | 4 | 0 |
Transformation, severance, and other expenses | 47 | 605 | 127 | 623 |
Investigation and settlement of employment matter | 0 | 0 | ||
Stock-based compensation | 0 | 0 | 0 | 0 |
Adjusted EBITDA from continuing operations | 483 | (1,637) | 1,118 | (3,104) |
Corporate Support [Member] | ||||
Segment information | ||||
Revenue, net | 0 | 0 | 0 | 0 |
EBIT | (11,620) | (9,196) | (21,260) | (16,968) |
Depreciation of property, equipment and software | 0 | 0 | 0 | 0 |
Amortization of intangible assets | 0 | 0 | 0 | 0 |
EBITDA | (11,620) | (9,196) | (21,260) | (16,968) |
Other loss | 2 | 10 | 2 | (18) |
Foreign currency transaction (gains) losses on short-term intercompany balances | 109 | 122 | (209) | 8 |
Transformation, severance, and other expenses | 117 | 303 | 448 | 731 |
Investigation and settlement of employment matter | 1,306 | 1,306 | ||
Stock-based compensation | 1,876 | 1,662 | 3,196 | 3,046 |
Adjusted EBITDA from continuing operations | $ (8,210) | $ (7,099) | $ (16,517) | $ (13,201) |
Debt (Narrative) (Details)
Debt (Narrative) (Details) - USD ($) | Mar. 14, 2019 | Jun. 30, 2020 | Dec. 31, 2019 |
Line of Credit Facility [Line Items] | |||
Amount of line of credit outstanding | $ 36,650,000 | $ 36,603,000 | |
Revolving Credit Facility [Member] | Line of Credit [Member] | Bank Of America [Member] | |||
Line of Credit Facility [Line Items] | |||
Credit facility, term | 5 years | ||
Maximum borrowing capacity of credit facility | $ 60,000,000 | ||
Amount of line of credit outstanding | $ 37,000,000 | ||
Stated interest rate (percent) | 2.18% | ||
Remaining borrowing capacity | $ 23,000,000 | ||
Commitment fee (percent) | 0.25% | ||
Bridge Loan [Member] | Line of Credit [Member] | Bank Of America [Member] | |||
Line of Credit Facility [Line Items] | |||
Maximum borrowing capacity of credit facility | $ 5,000,000 | ||
Debt instrument secured, equity interest (percent) | 65.00% | ||
Letter of Credit [Member] | Line of Credit [Member] | Bank Of America [Member] | |||
Line of Credit Facility [Line Items] | |||
Maximum borrowing capacity of credit facility | $ 5,000,000 | ||
Minimum [Member] | Senior Notes [Member] | |||
Line of Credit Facility [Line Items] | |||
Stated interest rate (percent) | 1.50% | ||
Minimum [Member] | Base Rate [Member] | Senior Notes [Member] | |||
Line of Credit Facility [Line Items] | |||
Stated interest rate (percent) | 0.50% | ||
Maximum [Member] | London Interbank Offered Rate (LIBOR) [Member] | Senior Notes [Member] | |||
Line of Credit Facility [Line Items] | |||
Stated interest rate (percent) | 2.25% | ||
Maximum [Member] | Base Rate [Member] | Senior Notes [Member] | |||
Line of Credit Facility [Line Items] | |||
Stated interest rate (percent) | 1.25% |
Debt (Schedule of Debt) (Detail
Debt (Schedule of Debt) (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | ||
Total | $ 37,000 | |
Net credit facility | 36,650 | $ 36,620 |
Current portion of debt | 0 | 17 |
Long-term debt, excluding current portion | 36,650 | 36,603 |
Revolving Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Total | 37,000 | 37,000 |
DFC | (350) | (397) |
Net credit facility | 36,650 | 36,603 |
Finance Lease Obligations [Member] | ||
Debt Instrument [Line Items] | ||
Net credit facility | $ 0 | $ 17 |
Debt (Future Minimum Liabilitie
Debt (Future Minimum Liabilities) (Details) $ in Thousands | Jun. 30, 2020USD ($) |
Debt Disclosure [Abstract] | |
2020 | $ 0 |
2021 | 0 |
2022 | 0 |
2023 | 0 |
2024 | 37,000 |
Total | $ 37,000 |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Dec. 31, 2019 |
Bank Loan Obligations [Member] | ||
Fair Value of Financial Instruments (Textual) [Abstract] | ||
Fair value of long term debt | $ 37 | $ 37 |
Leases - Components of Lease Ex
Leases - Components of Lease Expense, Lease Term and Discount Rate (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Leases [Abstract] | |||||
Operating lease cost | $ 1,086 | $ 1,182 | $ 2,187 | $ 2,448 | |
Short-term lease cost | 17 | 21 | 34 | 42 | |
Variable lease cost | 178 | 411 | 372 | 454 | |
Sublease income | (18) | (18) | (36) | (35) | |
Total lease cost | $ 1,263 | $ 1,596 | $ 2,557 | $ 2,909 | |
Weighted Average Remaining Lease Term | 3 years 8 months 12 days | 3 years 8 months 12 days | 3 years 6 months | ||
Weighted Average Discount Rate | 3.60% | 3.60% | 4.10% |
Leases - Operating Lease, Matur
Leases - Operating Lease, Maturity of Lease Liabilities (Details) $ in Thousands | Jun. 30, 2020USD ($) |
Leases [Abstract] | |
The remainder of 2020 | $ 4,396 |
2021 | 3,632 |
2022 | 1,905 |
2023 | 1,462 |
2024 | 887 |
Thereafter | 637 |
Total undiscounted cash flows | 12,919 |
Less imputed interest | (1,474) |
Present value of lease liabilities | $ 11,445 |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Non-cash activity: | ||
Right-of-use assets obtained in exchange for operating lease obligations | $ 2,271 | $ 14,479 |
Operating cash flows: | ||
Cash paid for amounts included in the measurement of lease liabilities | $ 1,106 | $ 2,442 |