Carbo Ceramics (CRRTQ) 10-Q 28 Apr 16 2016 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2016	Apr. 22, 2016
Document Information [Line Items]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2016
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q1
Trading Symbol	CRR
Entity Registrant Name	CARBO CERAMICS INC
Entity Central Index Key	1,009,672
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		23,463,379

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Current assets:
Cash and cash equivalents	$ 41,462	$ 78,866
Trade accounts and other receivables, net	25,038	48,596
Inventories:
Finished goods	84,744	77,537
Raw materials and supplies	23,644	27,021
Total inventories	108,388	104,558
Prepaid expenses and other current assets	3,613	3,762
Income tax receivable	37,569
Deferred income taxes		49,495
Total current assets	216,070	285,277
Property, plant and equipment:
Land and land improvements	45,527	45,774
Land-use and mineral rights	19,696	19,877
Buildings	86,910	83,500
Machinery and equipment	645,599	642,396
Construction in progress	93,334	96,084
Total property, plant and equipment	891,066	887,631
Less accumulated depreciation and amortization	362,450	349,900
Net property, plant and equipment	528,616	537,731
Goodwill	3,500	3,500
Intangible and other assets, net	11,337	9,861
Total assets	759,523	836,369
Current liabilities:
Bank borrowings	12,349	33,000
Accounts payable	6,733	10,709
Accrued payroll and benefits	2,771	6,003
Accrued freight	373	3,068
Accrued utilities	1,729	2,414
Accrued income taxes		139
Derivative instruments	6,010	6,240
Other accrued expenses	12,483	8,717
Total current liabilities	42,448	70,290
Deferred income taxes	39,867	63,858
Long-term portion of bank borrowings	52,651	55,000
Derivative instruments	$ 4,361	$ 4,915
Shareholders' equity:
Preferred stock, par value $0.01 per share, 5,000 shares authorized, none outstanding
Common stock, par value $0.01 per share, 80,000,000 shares authorized; 23,476,536 and 23,280,696 shares issued and outstanding at March 31, 2016 and December 31, 2015, respectively	$ 235	$ 233
Additional paid-in capital	67,311	65,067
Retained earnings	588,909	614,708
Accumulated other comprehensive loss	(36,259)	(37,702)
Total shareholders' equity	620,196	642,306
Total liabilities and shareholders' equity	$ 759,523	$ 836,369

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	Mar. 31, 2016	Dec. 31, 2015
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, share authorized	5,000	5,000
Preferred stock, share outstanding	0	0
Common stock, par value	$ 0.01	$ 0.01
Common stock, share authorized	80,000,000	80,000,000
Common stock, share issued	23,476,536	23,280,696
Common stock, share outstanding	23,476,536	23,280,696

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Revenues	$ 33,102	$ 73,747
Cost of sales	56,743	99,745
Gross loss	(23,641)	(25,998)
Selling, general and administrative expenses	11,475	16,547
Loss (gain) on disposal or impairment of assets	948	(32)
Operating loss	(36,064)	(42,513)
Other expense:
Interest expense, net	(797)	(2)
Foreign currency exchange gain (loss), net	129	(48)
Other, net	(53)	(81)
Nonoperating income (expense), total	(721)	(131)
Loss before income taxes	(36,785)	(42,644)
Income tax benefit	(12,101)	(14,042)
Net loss	$ (24,684)	$ (28,602)
Loss per share:
Basic	$ (1.07)	$ (1.24)
Diluted	$ (1.07)	(1.24)
Other information:
Dividends declared per common share (See Note 4)		$ 0.43

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Net loss	$ (24,684)	$ (28,602)
Other comprehensive gain (loss):
Foreign currency translation adjustment	1,443	(402)
Deferred income taxes	0	0
Other comprehensive gain (loss), net of tax	1,443	(402)
Comprehensive loss	$ (23,241)	$ (29,004)

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Operating activities
Net loss	$ (24,684)	$ (28,602)
Adjustments to reconcile net loss to net cash (used in) provided by operating activities:
Depreciation and amortization	12,291	12,994
Provision for doubtful accounts	424	91
Deferred income taxes	(11,897)	(14,043)
Lower of cost or market inventory adjustment		4,372
Loss (gain) on disposal or impairment of assets	948	(32)
Foreign currency transaction gain (loss), net	(129)	48
Stock compensation expense	1,564	2,242
Change in fair value of derivative instruments	(784)	12,547
Changes in operating assets and liabilities:
Trade accounts and other receivables	23,339	63,785
Inventories	(5,937)	1,871
Prepaid expenses and other current assets	169	711
Long-term other expenses	(4)	78
Accounts payable	(439)	(6,778)
Accrued expenses	(2,879)	(11,648)
Income tax receivable, net	(277)	15,479
Net cash (used in) provided by operating activities	(8,295)	53,115
Investing activities
Capital expenditures	(6,088)	(22,887)
Net cash used in investing activities	(6,088)	(22,887)
Financing activities
Proceeds from bank borrowings		50,000
Repayments on bank borrowings	(23,000)
Dividends paid		(7,682)
Purchase of common stock	(418)	(549)
Net cash (used in) provided by financing activities	(23,418)	41,769
Effect of exchange rate changes on cash	397	(152)
Net (decrease) increase in cash and cash equivalents	(37,404)	71,845
Cash and cash equivalents at beginning of period	78,866	24,298
Cash and cash equivalents at end of period	41,462	96,143
Supplemental cash flow information
Interest paid	966	164
Income taxes paid	$ 0	$ 0

Basis of Presentation

Basis of Presentation	3 Months Ended
	Mar. 31, 2016
Basis of Presentation	1. Basis of Presentation The accompanying unaudited consolidated financial statements of CARBO Ceramics Inc. have been prepared in accordance with United States generally accepted accounting principles (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required for complete financial statements. In the opinion of management, all adjustments, consisting only of normal recurring adjustments, considered necessary for a fair presentation have been included. The results of the interim periods presented herein are not necessarily indicative of the results to be expected for any other interim period or the full year. The consolidated balance sheet as of December 31, 2015 has been derived from the audited financial statements at that date. These financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto for the year ended December 31, 2015 included in the annual report on Form 10-K of CARBO Ceramics Inc. for the year ended December 31, 2015. The consolidated financial statements include the accounts of CARBO Ceramics Inc. and its operating subsidiaries (the “Company”). All significant intercompany transactions have been eliminated. In late 2014 and early 2015, a severe decline in oil and natural gas prices led to a significant decline in oil and natural gas industry drilling activities and capital spending. Beginning in early 2015, the Company implemented a number of initiatives to preserve cash and lower costs, including: (1) reducing workforce across the organization, (2) lowering production output levels in order to align with lower demand, (3) limiting capital expenditures and (4) reducing dividends. As a result of these measures, the Company temporarily idled production and furloughed employees at alternating manufacturing plants. The Company continues to depreciate these assets. During 2016, the Company also implemented programs that allow it to further reduce cash compensation. Further, the Company recently idled the majority of the production activities at its New Iberia, Louisiana plant and its Toomsboro, Georgia facility until such time as market conditions warrant bringing them back online. Additionally, the construction projects relating to the second production line at Millen, Georgia and the second phase of the retrofit of an existing plant with the new KRYPTOSPHERE ® Lower of Cost or Market Adjustments During the three-month period ended March 31, 2015, the Company reviewed the carrying values of all inventories and concluded that certain inventories in China had been impacted by changes in market conditions. Current market prices had fallen below carrying costs for certain inventories. Consequently, during the three-month period ended March 31, 2015, the Company recognized a $4,372 loss in cost of sales, primarily to adjust finished goods and raw materials carrying values to the lower market prices on inventories inside China. The adjustments were based on current market prices for these or similar products, as determined by actual sales, bids, and/or quotes from third parties. As of March 31, 2016, the Company reviewed the carrying values of all inventories and concluded that no adjustments were warranted for finished goods and raw materials intended for use in the Company’s manufacturing process. Manufacturing Production Levels Below Normal Capacity As a result of the Company substantially reducing manufacturing production levels, including by idling certain facilities, certain production costs have been expensed instead of being capitalized into inventory. The Company expenses fixed production overhead amounts in excess of amounts that would have been allocated to each unit of production at normal production levels. For the three months ended March 31, 2016 and 2015, the Company expensed $9,707 and $8,421, respectively, in production costs. Long-lived and other noncurrent assets impairment considerations As noted, the Company temporarily idled production at various manufacturing facilities throughout the quarter ended March 31, 2016. The Company does not necessarily assess temporarily idled assets for impairment unless events or circumstances indicate that the carrying amounts of those assets may not be recoverable. Short-term stoppages of production for less than one year may significantly impact the long-term expected cash flows of the idled facility. As of March 31, 2016, as a result of changes in the planned usage of certain long-term bauxite raw materials, the Company evaluated the carrying value of those bauxite raw materials. Based upon this evaluation, during the three months ended March 31, 2016, the Company recognized an impairment charge of $1,065 on these bauxite raw material inventories. As of March 31, 2016, the Company concluded that there were no events or circumstances that would indicate that carrying amounts of other long-lived and other noncurrent assets might be further impaired. However, the Company continues to monitor market conditions closely. Further deterioration of market conditions could result in impairment charges being taken on these and/or other long-lived and other noncurrent assets, including the Company’s manufacturing plants, goodwill and intangible assets. The Company will evaluate long-lived and other noncurrent assets for impairment at such time that events or circumstances indicate that carrying amounts might be impaired.

Loss Per Share

Loss Per Share	3 Months Ended
	Mar. 31, 2016
Loss Per Share	2. Loss Per Share The following table sets forth the computation of basic and diluted loss per share under the two-class method: Three months ended 2016 2015 Numerator for basic and diluted loss per share: Net loss $ (24,684 ) $ (28,602 ) Effect of reallocating undistributed earnings of participating securities — — Net loss available under the two-class method $ (24,684 ) $ (28,602 ) Denominator: Denominator for basic loss per share—weighted-average shares 23,062,560 22,974,880 Effect of dilutive potential common shares — — Denominator for diluted loss per share—adjusted weighted-average shares 23,062,560 22,974,880 Basic loss per share $ (1.07 ) $ (1.24 ) Diluted loss per share $ (1.07 ) $ (1.24 )

Common Stock Repurchase Program

Common Stock Repurchase Program	3 Months Ended
	Mar. 31, 2016
Common Stock Repurchase Program	3. Common Stock Repurchase Program On January 28, 2015, the Company’s Board of Directors authorized the repurchase of up to two million shares of the Company’s common stock. Shares are effectively retired at the time of purchase. As of March 31, 2016, the Company had not repurchased any shares under the plan.

Natural Gas Derivative Instrume

Natural Gas Derivative Instruments	3 Months Ended
	Mar. 31, 2016
Natural Gas Derivative Instruments	4. Natural Gas Derivative Instruments Natural gas is used to fire the kilns at the Company’s domestic manufacturing plants. In an effort to mitigate potential volatility in the cost of natural gas purchases and reduce exposure to short-term spikes in the price of this commodity, from time to time, the Company enters into contracts to purchase a portion of the anticipated monthly natural gas requirements at specified prices. Contracts are geographic by plant location. As a result of the Company’s significantly reducing production levels and not taking delivery of all of the contracted natural gas quantities, the Company accounts for relevant contracts as derivative instruments. Derivative accounting requires the natural gas contracts to be recognized as either assets or liabilities at fair value with an offsetting entry in earnings. The Company uses the income approach in determining the fair value of these derivative instruments. The model used considers the difference, as of each balance sheet date, between the contracted prices and the New York Mercantile Exchange (“NYMEX”) forward strip price for each contracted period. The estimated cash flows from these contracts are discounted using a discount rate of 5.5%, which reflects the nature of the contracts as well as the timing and risk of estimated cash flows associated with the contracts. The discount rate had an immaterial impact on the fair value of the contracts for the three months ended March 31, 2016. The last of these natural gas contract will expire in December 2018. As a result, during the three months ended March 31, 2016, the Company recognized a loss on derivative instruments of $227 in cost of sales. The cumulative present value of the losses on these natural gas derivative contracts as of March 31, 2016 are presented as current and long-term liabilities, as applicable, in the Consolidated Balance Sheet. At March 31, 2016, the Company had contracted for delivery a total of 7,020,000 MMBtu of natural gas at an average price of $4.46 per MMBtu through December 31, 2018. Contracts covering 5,850,000 MMBtu are subject to accounting as derivative instruments. Future decreases in the NYMEX forward strip prices will result in additional derivative losses while future increases in the NYMEX forward strip prices will result in derivative gains. Future gains or losses will approximate the change in NYMEX natural gas prices relative to the total quantity of natural gas under contracts now subject to accounting as derivatives. The historical average NYMEX natural gas contract settlement prices for the three months ended March 31, 2016 and 2015 were $2.09 per MMBtu and $2.98 per MMBtu, respectively.

Fair Value Measurements

Fair Value Measurements	3 Months Ended
	Mar. 31, 2016
Fair Value Measurements	5. Fair Value Measurements The Company’s derivative instruments are measured at fair value on a recurring basis. U.S. GAAP establishes a fair value hierarchy that has three levels based on the reliability of the inputs used to determine the fair value. These levels include: (1) Level 1, defined as inputs such as unadjusted quoted prices in active markets for identical assets or liabilities; (2) Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and (3) Level 3, defined as unobservable inputs for use when little or no market data exists, therefore requiring an entity to develop its own assumptions. The Company’s natural gas derivative instruments are included within Level 2 of the fair value hierarchy (see Note 4 herein for additional information on the derivative instruments). The following table sets forth by level within the fair value hierarchy the Company’s assets and liabilities that were accounted for at fair value: Fair value as of March 31, 2016 Level 1 Level 2 Level 3 Total Assets $ — $ — $ — $ — Liabilities: Derivative instruments — (10,371 ) — (10,371 ) Total fair value $ — $ (10,371 ) $ — $ (10,371 ) Fair value as of December 31, 2015 Level 1 Level 2 Level 3 Total Assets $ — $ — $ — $ — Liabilities: Derivative instruments — (11,155 ) — (11,155 ) Total fair value $ — $ (11,155 ) $ — $ (11,155 ) At March 31, 2016, the fair value of the Company’s bank borrowings approximated the carrying value.

Stock Based Compensation

Stock Based Compensation	3 Months Ended
	Mar. 31, 2016
Stock Based Compensation	6. Stock Based Compensation The 2014 CARBO Ceramics Inc. Omnibus Incentive Plan (the “2014 Omnibus Incentive Plan”) provides for the granting of cash-based awards, stock options (both non-qualified and incentive) and other equity-based awards (including stock appreciation rights, phantom stock, restricted stock, restricted stock units, performance shares, deferred share units or share-denominated performance units) to employees and non-employee directors. As of March 31, 2016, 318,506 shares were available for issuance under the 2014 Omnibus Incentive Plan. Although the 2009 CARBO Ceramics Inc. Omnibus Incentive Plan (the “2009 Omnibus Incentive Plan”) has expired, certain nonvested restricted shares granted under that plan remain outstanding in accordance with its terms. Additionally, certain units of phantom stock remain outstanding under the 2009 Omnibus Incentive Plan, as described below. A summary of restricted stock activity and related information for the three months ended March 31, 2016 is presented below: Shares Weighted- Grant-Date Nonvested at January 1, 2016 266,152 $ 51.39 Granted 234,412 $ 17.27 Vested (99,855 ) $ 59.44 Forfeited (11,541 ) $ 32.71 Nonvested at March 31, 2016 389,168 $ 29.32 As of March 31, 2016, there was $9,968 of total unrecognized compensation cost related to restricted shares granted under both the expired 2009 Omnibus Incentive Plan and the 2014 Omnibus Incentive Plan. That cost is expected to be recognized over a weighted-average period of 2.4 years. The total fair value of shares vested during the three months ended March 31, 2016 was $5,935. The Company made market-based cash awards to certain executives of the Company pursuant to the 2014 Omnibus Incentive Plan. As of March 31, 2016, the total target award outstanding was $2,077. The payout of awards can range from 0% to 200% based on the Company’s Relative Total Shareholder Return calculated over a three year period beginning January 1 of the year each grant was made. The Company also made phantom stock awards to key international employees pursuant to the expired 2009 Omnibus Incentive Plan prior to its expiration and pursuant to the 2014 Omnibus Incentive Plan. The units subject to a phantom stock award vest and cease to be forfeitable in equal annual installments over a three-year period. Participants awarded units of phantom stock are entitled to a lump sum cash payment equal to the fair market value of a share of Common Stock on the vesting date. In no event will Common Stock of the Company be issued with regard to outstanding phantom stock awards. As of March 31, 2016, there were 18,180 units of phantom stock granted under the expired 2009 Omnibus Incentive Plan, of which 13,737 have vested and 3,954 have been forfeited. As of March 31, 2016, there were 11,115 units of phantom stock granted under the 2014 Omnibus Incentive Plan, of which 1,302 have vested and 2,292 have been forfeited. As of March 31, 2016, nonvested units of phantom stock under the 2009 Omnibus Incentive Plan and the 2014 Omnibus Incentive Plan had a total value of $114, a portion of which is accrued as a liability within Accrued Payroll and Benefits.

Bank Borrowings

Bank Borrowings	3 Months Ended
	Mar. 31, 2016
Bank Borrowings	7. Bank Borrowings The Company maintains a credit agreement, which until April 2016 included a revolving line of credit, with a bank lender. As of January 31, 2016, February 29, 2016 and March 31, 2016, the Company failed to comply with the asset coverage ratio covenant in such credit agreement. In connection with entering into Agreement and Amendment No. 7 to the Credit Agreement referred to below (the “Amended Credit Agreement”), the bank lender waived non-compliance with the asset coverage ratio for the months of January, February and March 2016. As of March 31, 2016, the Company’s outstanding debt under its prior revolving line of credit was $65,000, of which $12,349 was classified as current and $52,651 was classified as long-term. As of March 31, 2016, the weighted average interest rate was 4.719% based on LIBOR-based rate borrowings. The Company had $9,355 and $8,875 in standby letters of credit issued as of March 31, 2016 and December 31, 2015, respectively, primarily as collateral relating to our natural gas commitments. As of December 31, 2015, the Company’s outstanding debt under the credit agreement was $88,000, of which $33,000 was classified as current and $55,000 was classified as long-term. As of December 31, 2015, the weighted average interest rate was 4.664% based on LIBOR-based rate borrowings. Interest cost for the three months ended March 31, 2016 and 2015 was $980 and $306, respectively, of which $80 and $165 was capitalized into the cost of property, plant and equipment in the three months ended March 31, 2016 and 2015, respectively. In April 2016, the Company restructured its revolving credit agreement by entering into the Amended Credit Agreement, as it is reasonably likely the Company would have been unable to comply with certain financial covenants under the prior credit agreement. The Amended Credit Agreement consists of a $65,000 fully drawn term loan, which replaced the previous $90,000 revolving line of credit, and up to $15,000 in standby letters of credit (approximately $9,000 of which has been drawn). The Company’s obligations under the Amended Credit Agreement are secured by a pledge of substantially all of the Company’s domestic assets and guaranteed by its two domestic operating subsidiaries. Such obligations bear interest at a floating rate of LIBOR plus 7.00%. Under the Amended Credit Agreement, all of the cash of the Company, including any of the subsidiary guarantors that is held in U.S. banks must be deposited into accounts at the administrative agent and therefore will be subject to set-off in the event, and to the extent, CARBO Ceramics Inc. or any of the subsidiary guarantors is unable to satisfy its obligations under the Amended Credit Agreement. The Amended Credit Agreement requires minimum quarterly repayments of principal of $3,033 during each of the three remaining quarters in 2016, and $3,250 per quarter thereafter until its maturity on December 31, 2018. The Amended Credit Agreement eliminates the financial covenants contained in the prior credit agreement, but instead requires the Company to maintain minimum cash amounts held with the administrative agent at the end of each calendar month commencing August 2016 as follows: $40,000 from August 2016 until March 2017; $30,000 from April 2017 until December 2017; and $25,000 thereafter. The Company is required to use proceeds from the sale of certain assets to repay principal amounts outstanding under the Amended Credit Agreement. As of April 28, 2016, the Company’s outstanding debt under the Amended Credit Agreement was $65,000.

Foreign Currencies

Foreign Currencies	3 Months Ended
	Mar. 31, 2016
Foreign Currencies	8. Foreign Currencies As of March 31, 2016, the Company’s net investment that is subject to foreign currency fluctuations totaled $16,649, and the Company has recorded a cumulative foreign currency translation loss of $36,259, all related to Russia. This cumulative translation loss is included in and is the only component of accumulated other comprehensive loss within shareholders’ equity. No income tax benefits have been recorded on these losses as a result of the uncertainty about recoverability of the related deferred income tax benefits.

New Accounting Pronouncements

New Accounting Pronouncements	3 Months Ended
	Mar. 31, 2016
New Accounting Pronouncements	9. New Accounting Pronouncements In March 2016, the FASB issued ASU No. 2016-09, “ Compensation – Stock Compensation (Topic 718) In February 2016, the FASB issued ASU No. 2016-02, “ Leases (Topic 842) In November 2015, the FASB issued ASU No. 2015-17, “ Income Taxes (Topic 740) – Balance Sheet Classification of Deferred Taxes In August 2015, the FASB issued ASU No. 2015-14, “ Revenue from Contracts with Customers (Topic 606) – Deferral of the Effective Date Revenue from Contracts with Customers (Topic 606) In July 2015, the FASB issued ASU No. 2015-11, “Inventory (Topic 330),” In April 2015, the FASB issued ASU No. 2015-03, “Interest – Imputation of Interest (Subtopic 835-30),” “Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements – Amendments to SEC Paragraphs Pursuant to Staff Announcement at June 18, 2015 EITF Meeting (SEC Update),” In January 2015, the FASB issued ASU No. 2015-01, “ Income Statement – Extraordinary and Unusual Items (Subtopic 225-20): Simplifying Income Statement Presentation by Eliminating the Concept of Extraordinary Items In June 2014, the FASB issued ASU No. 2014-12, “ Compensation – Stock Compensation (Topic 718): Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period (a consensus of the FASB Emerging Issues Task Force)

Legal Proceedings

Legal Proceedings	3 Months Ended
	Mar. 31, 2016
Legal Proceedings	10. Legal Proceedings The Company is subject to legal proceedings, claims and litigation arising in the ordinary course of business. While the outcome of these matters is currently not determinable, management does not expect that the ultimate costs to resolve these matters will have a material adverse effect on the Company’s consolidated financial position, results of operations, or cash flows.

Subsequent Events

Subsequent Events	3 Months Ended
	Mar. 31, 2016
Subsequent Events	11. Subsequent Events In April 2016, the Company received an income tax refund of $37,397 related to the carryback of its 2015 net operating loss to its 2013 and 2014 income tax returns. In April 2016, the Company restructured its revolving credit agreement by entering into the Amended Credit Agreement, as it is reasonably likely the Company would have been unable to comply with certain financial covenants under the prior credit agreement. The Amended Credit Agreement consists of a $65,000 fully drawn term loan, which replaced the previous $90,000 revolving line of credit, and up to $15,000 in standby letters of credit (approximately $9,000 of which has been drawn). The Company’s obligations under the Amended Credit Agreement are secured by a pledge of substantially all of the Company’s domestic assets and guaranteed by its two domestic operating subsidiaries. Such obligations bear interest at a floating rate of LIBOR plus 7.00%. Under the Amended Credit Agreement, all of the cash of the Company, including any of the subsidiary guarantors that is held in U.S. banks must be deposited into accounts at the administrative agent and therefore will be subject to set-off in the event, and to the extent, CARBO Ceramics Inc. or any of the subsidiary guarantors is unable to satisfy their obligations under the Amended Credit Agreement. The Amended Credit Agreement requires minimum quarterly repayments of principal of $3,033 during each of the three remaining quarters in 2016, and $3,250 per quarter thereafter until its maturity on December 31, 2018. The Amended Credit Agreement eliminates the financial covenants contained in the prior credit agreement, but instead requires the Company to maintain minimum cash amounts held with the administrative agent at the end of each calendar month commencing August 2016 as follows: $40,000 from August 2016 until March 2017; $30,000 from April 2017 until December 2017; and $25,000 thereafter. In connection with the Amended Credit Agreement, the lender waived non-compliance with the asset coverage ratio for the months of January, February, and March 2016. The Company is required to use proceeds from the sale of certain assets to repay principal amounts outstanding under the Amended Credit Agreement.

Basis of Presentation (Policies

Basis of Presentation (Policies)	3 Months Ended
	Mar. 31, 2016
Lower of Cost or Market Adjustments	Lower of Cost or Market Adjustments During the three-month period ended March 31, 2015, the Company reviewed the carrying values of all inventories and concluded that certain inventories in China had been impacted by changes in market conditions. Current market prices had fallen below carrying costs for certain inventories. Consequently, during the three-month period ended March 31, 2015, the Company recognized a $4,372 loss in cost of sales, primarily to adjust finished goods and raw materials carrying values to the lower market prices on inventories inside China. The adjustments were based on current market prices for these or similar products, as determined by actual sales, bids, and/or quotes from third parties. As of March 31, 2016, the Company reviewed the carrying values of all inventories and concluded that no adjustments were warranted for finished goods and raw materials intended for use in the Company’s manufacturing process.
Manufacturing Production Levels Below Normal Capacity	Manufacturing Production Levels Below Normal Capacity As a result of the Company substantially reducing manufacturing production levels, including by idling certain facilities, certain production costs have been expensed instead of being capitalized into inventory. The Company expenses fixed production overhead amounts in excess of amounts that would have been allocated to each unit of production at normal production levels. For the three months ended March 31, 2016 and 2015, the Company expensed $9,707 and $8,421, respectively, in production costs.
Long-lived and other noncurrent assets impairment considerations	Long-lived and other noncurrent assets impairment considerations As noted, the Company temporarily idled production at various manufacturing facilities throughout the quarter ended March 31, 2016. The Company does not necessarily assess temporarily idled assets for impairment unless events or circumstances indicate that the carrying amounts of those assets may not be recoverable. Short-term stoppages of production for less than one year may significantly impact the long-term expected cash flows of the idled facility. As of March 31, 2016, as a result of changes in the planned usage of certain long-term bauxite raw materials, the Company evaluated the carrying value of those bauxite raw materials. Based upon this evaluation, during the three months ended March 31, 2016, the Company recognized an impairment charge of $1,065 on these bauxite raw material inventories. As of March 31, 2016, the Company concluded that there were no events or circumstances that would indicate that carrying amounts of other long-lived and other noncurrent assets might be further impaired. However, the Company continues to monitor market conditions closely. Further deterioration of market conditions could result in impairment charges being taken on these and/or other long-lived and other noncurrent assets, including the Company’s manufacturing plants, goodwill and intangible assets. The Company will evaluate long-lived and other noncurrent assets for impairment at such time that events or circumstances indicate that carrying amounts might be impaired.

Loss Per Share (Tables)

Loss Per Share (Tables)	3 Months Ended
	Mar. 31, 2016
Computation of Basic and Diluted Loss per Share under Two-Class Method	The following table sets forth the computation of basic and diluted loss per share under the two-class method: Three months ended 2016 2015 Numerator for basic and diluted loss per share: Net loss $ (24,684 ) $ (28,602 ) Effect of reallocating undistributed earnings of participating securities — — Net loss available under the two-class method $ (24,684 ) $ (28,602 ) Denominator: Denominator for basic loss per share—weighted-average shares 23,062,560 22,974,880 Effect of dilutive potential common shares — — Denominator for diluted loss per share—adjusted weighted-average shares 23,062,560 22,974,880 Basic loss per share $ (1.07 ) $ (1.24 ) Diluted loss per share $ (1.07 ) $ (1.24 )

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	3 Months Ended
	Mar. 31, 2016
Fair Value Measurements of Financial Assets and Liabilities on Recurring and Non Recurring Basis	The following table sets forth by level within the fair value hierarchy the Company’s assets and liabilities that were accounted for at fair value: Fair value as of March 31, 2016 Level 1 Level 2 Level 3 Total Assets $ — $ — $ — $ — Liabilities: Derivative instruments — (10,371 ) — (10,371 ) Total fair value $ — $ (10,371 ) $ — $ (10,371 ) Fair value as of December 31, 2015 Level 1 Level 2 Level 3 Total Assets $ — $ — $ — $ — Liabilities: Derivative instruments — (11,155 ) — (11,155 ) Total fair value $ — $ (11,155 ) $ — $ (11,155 )

Stock Based Compensation (Table

Stock Based Compensation (Tables)	3 Months Ended
	Mar. 31, 2016
Summary of Restricted Stock Activity and Related Information	A summary of restricted stock activity and related information for the three months ended March 31, 2016 is presented below: Shares Weighted- Grant-Date Nonvested at January 1, 2016 266,152 $ 51.39 Granted 234,412 $ 17.27 Vested (99,855 ) $ 59.44 Forfeited (11,541 ) $ 32.71 Nonvested at March 31, 2016 389,168 $ 29.32

Basis of Presentation - Additio

Basis of Presentation - Additional Information (Detail) $ in Thousands	3 Months Ended
	Mar. 31, 2016USD ($)Project	Mar. 31, 2015USD ($)
Significant Accounting Policies [Line Items]
Number of projects suspended | Project	2
Percentage of suspended assets relating to two projects	90.00%
Projects completed percentage	90.00%
Lower of Cost or Market Inventory Adjustments		$ 4,372
Production cost	$ 9,707	$ 8,421
Bauxite raw materials
Significant Accounting Policies [Line Items]
Impairment of long-term portion of the bauxite raw material	$ 1,065

Computation of Basic and Dilute

Computation of Basic and Diluted Loss per Share under Two-Class Method (Detail) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2016	Mar. 31, 2015
Numerator for basic and diluted loss per share:
Net loss	$ (24,684)	$ (28,602)
Effect of reallocating undistributed earnings of participating securities	0	0
Net loss available under the two-class method	$ (24,684)	$ (28,602)
Denominator:
Denominator for basic loss per share-weighted-average shares	23,062,560	22,974,880
Effect of dilutive potential common shares	0	0
Denominator for diluted loss per share-adjusted weighted-average shares	23,062,560	22,974,880
Basic loss per share	$ (1.07)	$ (1.24)
Diluted loss per share	$ (1.07)	$ (1.24)

Common Stock Repurchase Progr24

Common Stock Repurchase Program - Additional Information (Detail) - shares	3 Months Ended
	Mar. 31, 2016	Jan. 28, 2015
Equity, Class of Treasury Stock [Line Items]
Shares repurchased	0
Maximum
Equity, Class of Treasury Stock [Line Items]
Board of Directors authorized the repurchase of common stock		2,000,000

Natural Gas Derivative Instru25

Natural Gas Derivative Instruments - Additional Information (Detail) $ in Thousands	3 Months Ended
	Mar. 31, 2016USD ($)MMBTU$ / MMBTU	Mar. 31, 2015$ / MMBTU
Natural gas derivative contract
Derivative [Line Items]
Estimated cash flows, discount rate	5.50%
Last derivative contract expiration month and year	2018-12
Contracts volume, derivative instruments | MMBTU	5,850,000
Average price | $ / MMBTU	2.09	2.98
Natural gas derivative contract | 2015 through December 31, 2018
Derivative [Line Items]
Contracts volume, derivative instruments | MMBTU	7,020,000
Average price | $ / MMBTU	4.46
Cost of Sales
Derivative [Line Items]
Loss on derivative instruments | $	$ 227

Fair Value Measurements of Fina

Fair Value Measurements of Financial Assets and Liabilities on Recurring and Non Recurring Basis (Detail) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets	$ 0	$ 0
Liabilities:
Derivative instruments	(10,371)	(11,155)
Total fair value	(10,371)	(11,155)
Fair Value, Inputs, Level 1
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets	0	0
Fair Value, Inputs, Level 2
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets	0	0
Liabilities:
Derivative instruments	(10,371)	(11,155)
Total fair value	(10,371)	(11,155)
Fair Value, Inputs, Level 3
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Assets	$ 0	$ 0

Stock Based Compensation - Addi

Stock Based Compensation - Additional Information (Detail) $ in Thousands	3 Months Ended
	Mar. 31, 2016USD ($)shares
Omnibus Incentive Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares available for issuance under the plan	318,506
Omnibus Incentive Plan | Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation expense, net | $	$ 9,968
Unrecognized compensation expense, net, weighted average period	2 years 4 months 24 days
Total fair value of restricted stock vested | $	$ 5,935
Omnibus Incentive Plan | Phantom Share Units (PSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	3 years
Total fair value of units outstanding | $	$ 114
2014 Omnibus Incentive Plan | Executive Officer
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Cash awards | $	$ 2,077
Vesting period	3 years
2014 Omnibus Incentive Plan | Executive Officer | Beginning January 1, 2015 through December 31, 2017
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage	200.00%
2014 Omnibus Incentive Plan | Executive Officer | Beginning January 1, 2015 through December 31, 2017 | Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting percentage	0.00%
2014 Omnibus Incentive Plan | Phantom Share Units (PSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Units granted	11,115
Units vested	1,302
Units forfeited	2,292
2009 Omnibus Incentive Plan | Phantom Share Units (PSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Units granted	18,180
Units vested	13,737
Units forfeited	3,954

Summary of Restricted Stock Act

Summary of Restricted Stock Activity and Related Information (Detail) - Restricted Stock Units (RSUs)	3 Months Ended
	Mar. 31, 2016$ / sharesshares
Shares
Beginning Balance | shares	266,152
Granted | shares	234,412
Vested | shares	(99,855)
Forfeited | shares	(11,541)
Ending Balance | shares	389,168
Weighted-Average Grant-Date Fair Value Per Share
Beginning Balance | $ / shares	$ 51.39
Granted | $ / shares	17.27
Vested | $ / shares	59.44
Forfeited | $ / shares	32.71
Ending Balance | $ / shares	$ 29.32

Bank Borrowings - Additional In

Bank Borrowings - Additional Information (Detail)	1 Months Ended	3 Months Ended
	Apr. 28, 2016USD ($)Subsidiary	Mar. 31, 2016USD ($)	Mar. 31, 2015USD ($)	Dec. 31, 2015USD ($)
Line of Credit Facility [Line Items]
Line of credit facility, current		$ 12,349,000		$ 33,000,000
Line of credit facility, long term		52,651,000		55,000,000
Interest cost		980,000	$ 306,000
Amended Loan Agreement | Subsequent Event
Line of Credit Facility [Line Items]
Long-term debt	$ 65,000,000
Revolving Line of credit, replaced amount	90,000,000
Standby letters of credit	15,000,000
Standby letters of credit, drawn amount	9,000,000
Minimum quarterly repayments, thereafter	$ 3,250,000
Number of operating subsidiaries | Subsidiary	2
Amended Loan Agreement | Subsequent Event | August 2016 until March 2017
Line of Credit Facility [Line Items]
Required minimum cash balance to maintain	$ 40,000,000
Amended Loan Agreement | Subsequent Event | April 2017 until December 2017
Line of Credit Facility [Line Items]
Required minimum cash balance to maintain	30,000,000
Amended Loan Agreement | Subsequent Event | Thereafter
Line of Credit Facility [Line Items]
Required minimum cash balance to maintain	25,000,000
Amended Loan Agreement | Subsequent Event | Quarter Two, 2016
Line of Credit Facility [Line Items]
Minimum quarterly repayments, remainder	3,033,000
Amended Loan Agreement | Subsequent Event | Quarter Three, 2016
Line of Credit Facility [Line Items]
Minimum quarterly repayments, remainder	3,033,000
Amended Loan Agreement | Subsequent Event | Quarter Four, 2016
Line of Credit Facility [Line Items]
Minimum quarterly repayments, remainder	$ 3,033,000
Property, Plant and Equipment
Line of Credit Facility [Line Items]
Interest cost capitalized		80,000	$ 165,000
Standby Letters of Credit
Line of Credit Facility [Line Items]
Line of credit, maximum borrowing capacity		9,355,000		8,875,000
Old Revolving Credit Facility
Line of Credit Facility [Line Items]
Line of credit facility, amount outstanding		65,000,000		88,000,000
Line of credit facility, current		12,349,000		33,000,000
Line of credit facility, long term		$ 55,000,000		$ 55,000,000
Line of credit, weighted average interest rate		4.719%		4.664%
Revolving Credit Facility | Amended Loan Agreement | Subsequent Event
Line of Credit Facility [Line Items]
Revolving credit facility, maturity date	Dec. 31, 2018
Revolving Credit Facility | Amended Loan Agreement | Subsequent Event | London Interbank Offered Rate (LIBOR)
Line of Credit Facility [Line Items]
Revolving Credit Facility, percentage points added to the reference rate	7.00%

Foreign Currencies - Additional

Foreign Currencies - Additional Information (Detail) - USD ($) $ in Thousands	Mar. 31, 2016	Dec. 31, 2015
Schedule of Foreign Currency Balance [Line Items]
Investment subject to foreign currency fluctuations	$ 16,649
Cumulative foreign currency translation loss, net of deferred income tax benefit	$ (36,259)	$ (37,702)

New Accounting Pronouncements -

New Accounting Pronouncements - Additional Information (Detail) - Accounting Standards Update 2016-09 $ / shares in Units, $ in Thousands	3 Months Ended
	Mar. 31, 2016USD ($)$ / shares
Item Effected [Line Items]
Cumulative effect reduction to retained earnings	$ 697
Tax deficiencies	$ 1,634
Tax deficiencies, per share | $ / shares	$ 0.07

Subsequent Events - Additional

Subsequent Events - Additional Information (Detail) - Subsequent Event	1 Months Ended
	Apr. 28, 2016USD ($)Subsidiary
Subsequent Event [Line Items]
Income tax refund received	$ 37,397,000
Amended Loan Agreement
Subsequent Event [Line Items]
Long-term debt	65,000,000
Revolving Line of credit, replaced amount	90,000,000
Standby letters of credit	15,000,000
Standby letters of credit, drawn amount	9,000,000
Minimum quarterly repayments, thereafter	$ 3,250,000
Number of operating subsidiaries | Subsidiary	2
Amended Loan Agreement | August 2016 until March 2017
Subsequent Event [Line Items]
Required minimum cash balance to maintain	$ 40,000,000
Amended Loan Agreement | April 2017 until December 2017
Subsequent Event [Line Items]
Required minimum cash balance to maintain	30,000,000
Amended Loan Agreement | Thereafter
Subsequent Event [Line Items]
Required minimum cash balance to maintain	25,000,000
Amended Loan Agreement | Quarter Two, 2016
Subsequent Event [Line Items]
Minimum quarterly repayments, remainder	3,033,000
Amended Loan Agreement | Quarter Three, 2016
Subsequent Event [Line Items]
Minimum quarterly repayments, remainder	3,033,000
Amended Loan Agreement | Quarter Four, 2016
Subsequent Event [Line Items]
Minimum quarterly repayments, remainder	$ 3,033,000
Amended Loan Agreement | Revolving Credit Facility
Subsequent Event [Line Items]
Revolving credit facility, maturity date	Dec. 31, 2018
Amended Loan Agreement | Revolving Credit Facility | London Interbank Offered Rate (LIBOR)
Subsequent Event [Line Items]
Revolving Credit Facility, percentage points added to the reference rate	7.00%