Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | 30-May-14 | Sep. 30, 2013 | |
Document and Entity Information [Abstract] | ' | ' | ' |
Entity Registrant Name | 'EPLUS INC | ' | ' |
Entity Central Index Key | '0001022408 | ' | ' |
Current Fiscal Year End Date | '--03-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Filer Category | 'Accelerated Filer | ' | ' |
Entity Public Float | ' | ' | $201,674,843 |
Entity Common Stock, Shares Outstanding | ' | 7,507,334 | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 31-Mar-14 | ' | ' |
CONSOLIDATED_BALANCE_SHEETS
CONSOLIDATED BALANCE SHEETS (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $80,179 | $52,720 |
Short-term investments | 0 | 982 |
Accounts receivable-trade, net | 211,314 | 173,445 |
Accounts receivable-other, net | 31,902 | 18,809 |
Inventories-net | 22,629 | 14,795 |
Financing receivables-net, current | 57,749 | 46,071 |
Deferred costs | 10,819 | 9,361 |
Deferred tax assets | 3,742 | 2,023 |
Other current assets | 6,925 | 5,521 |
Total current assets | 425,259 | 323,727 |
Financing receivables and operating leases - net | 85,990 | 76,532 |
Property, equipment and other assets | 8,013 | 6,672 |
Goodwill and other intangible assets | 34,583 | 32,964 |
TOTAL ASSETS | 553,845 | 439,895 |
Current liabilities: | ' | ' |
Accounts payable-equipment | 6,772 | 5,379 |
Accounts payable-trade | 61,940 | 31,331 |
Accounts payable-floor plan | 93,416 | 66,251 |
Salaries and commissions payable | 12,401 | 12,911 |
Deferred revenue | 21,840 | 16,239 |
Other current liabilities | 15,382 | 17,407 |
Recourse notes payable - current | 1,460 | 390 |
Non-recourse notes payable - current | 30,907 | 22,169 |
Total current liabilities | 244,118 | 172,077 |
Recourse notes payable - long term | 2,100 | 1,094 |
Non-recourse notes payable - long term | 34,421 | 18,086 |
Deferred tax liability - long term | 5,001 | 6,818 |
Other liabilities | 1,822 | 3,588 |
TOTAL LIABILITIES | 287,462 | 201,663 |
COMMITMENTS AND CONTINGENCIES (Note 7) | ' | ' |
STOCKHOLDERS' EQUITY | ' | ' |
Preferred stock, $.01 per share par value; 2,000 shares authorized; none issued or outstanding | 0 | 0 |
Common stock, $.01 per share par value; 25,000 shares authorized; 13,026 issued and 8,036 outstanding at March 31, 2014 and 12,899 issued and 8,150 outstanding at March 31, 2013 | 130 | 129 |
Additional paid-in capital | 105,924 | 99,641 |
Treasury stock, at cost, 4,990 and 4,749 shares, respectively | -80,494 | -67,306 |
Retained earnings | 240,637 | 205,358 |
Accumulated other comprehensive income-foreign currency translation adjustment | 186 | 410 |
Total Stockholders' Equity | 266,383 | 238,232 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $553,845 | $439,895 |
CONSOLIDATED_BALANCE_SHEETS_Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, except Per Share data, unless otherwise specified | ||
STOCKHOLDERS' EQUITY | ' | ' |
Preferred stock, par value (in dollars per share) | $0.01 | $0.01 |
Preferred stock, shares authorized (in shares) | 2,000 | 2,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $0.01 | $0.01 |
Common stock, shares authorized (in shares) | 25,000 | 25,000 |
Common stock, shares issued (in shares) | 13,026 | 12,899 |
Common stock, shares outstanding (in shares) | 8,036 | 8,150 |
Treasury stock, shares (in shares) | 4,990 | 4,749 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) | 12 Months Ended | ||||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | ||
CONSOLIDATED STATEMENTS OF OPERATIONS [Abstract] | ' | ' | ' | ||
Sales of product and services | $1,013,374 | $936,228 | $784,951 | ||
Financing revenue | 35,896 | 38,384 | 30,899 | ||
Fee and other income | 8,266 | 8,500 | 9,731 | ||
TOTAL REVENUES | 1,057,536 | 983,112 | 825,581 | ||
COSTS AND EXPENSES | ' | ' | ' | ||
Cost of sales, product and services | 827,875 | 767,447 | 645,558 | ||
Direct lease costs | 12,748 | 10,892 | 8,508 | ||
Total cost of sales | 840,623 | 778,339 | 654,066 | ||
Professional and other fees | 9,041 | 13,098 | 11,744 | ||
Salaries and benefits | 123,151 | 110,963 | 98,268 | ||
General and administrative expenses | 22,675 | 20,099 | 20,499 | ||
Interest and financing costs | 1,948 | 1,868 | 1,430 | ||
Total expenses | 156,815 | 146,028 | 131,941 | ||
TOTAL COSTS AND EXPENSES | 997,438 | 924,367 | 786,007 | ||
EARNINGS BEFORE PROVISION FOR INCOME TAXES | 60,098 | 58,745 | 39,574 | ||
PROVISION FOR INCOME TAXES | 24,825 | 23,915 | 16,207 | ||
NET EARNINGS | $35,273 | $34,830 | $23,367 | ||
NET EARNINGS PER COMMON SHARE-BASIC (in dollars per share) | $4.41 | $4.37 | [1] | $2.82 | |
NET EARNINGS PER COMMON SHARE-DILUTED (in dollars per share) | $4.37 | [1] | $4.32 | [1] | $2.79 |
WEIGHTED AVERAGE SHARES OUTSTANDING-BASIC (in shares) | 7,927 | 7,810 | 8,002 | ||
WEIGHTED AVERAGE SHARES OUTSTANDING-DILUTED (in shares) | 7,999 | 7,903 | 8,095 | ||
[1] | Basic and diluted earnings per share are computed independently for each of the quarters presented. Therefore, the sum of quarterly basic and diluted per share information may not equal annual basic and diluted earnings per share. |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME [Abstract] | ' | ' | ' |
NET EARNINGS | $35,273 | $34,830 | $23,367 |
OTHER COMPREHENSIVE INCOME, NET OF TAX: | ' | ' | ' |
Foreign currency translation adjustments | -224 | -55 | -54 |
Other comprehensive loss | -224 | -55 | -54 |
TOTAL COMPREHENSIVE INCOME | $35,049 | $34,775 | $23,313 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Cash Flows From Operating Activities: | ' | ' | ' |
Net earnings | $35,273 | $34,830 | $23,367 |
Adjustments to reconcile net earnings to net cash (used in) provided by operating activities: | ' | ' | ' |
Depreciation and amortization | 14,755 | 12,168 | 9,365 |
Provision for credit losses, inventory obsolescence and sales returns | 853 | -192 | 3,244 |
Share-based compensation expense | 3,968 | 3,283 | 2,392 |
Excess tax benefit from exercise of stock options | -1,762 | -1,648 | -740 |
Deferred taxes | -3,536 | -991 | 1,413 |
Payments from lessees directly to lenders-operating leases | -7,539 | -5,567 | -4,371 |
Gain on disposal of property, equipment and operating lease equipment | -2,473 | -946 | -1,303 |
Gain on sale of notes receivable | -5,843 | -2,997 | -2,915 |
Excess increase in cash value of life insurance | -103 | -107 | -160 |
Other | 109 | 15 | -208 |
Changes in: | ' | ' | ' |
Accounts receivable - trade | -36,751 | -14,230 | -50,529 |
Accounts receivable - other | -2,621 | -3,610 | 99 |
Financing receivables | -30,792 | 18,763 | -17,086 |
Inventories | -7,724 | 8,764 | -13,775 |
Deferred costs, other intangible assets and other assets | -1,179 | -479 | 20,126 |
Accounts payable-equipment | 3,578 | -11,708 | 9,735 |
Accounts payable-trade | 29,512 | 4,568 | 10,218 |
Salaries and commissions payable, deferred revenue and other liabilities | 4,052 | 1,354 | -10,468 |
Net cash (used in) provided by operating activities | -8,223 | 41,270 | -21,596 |
Cash Flows From Investing Activities: | ' | ' | ' |
Purchases of short-term investments | 0 | -1,233 | -7,396 |
Maturities of short-term investments | 982 | 7,647 | 0 |
Proceeds from sale of property, equipment and operating lease equipment | 4,138 | 1,923 | 2,176 |
Purchases of property, equipment and operating lease equipment | -9,952 | -15,584 | -7,655 |
Purchases of assets to be leased or financed | -5,445 | 0 | 0 |
Issuance of notes receivable | -104,298 | -87,859 | -65,678 |
Repayments of notes receivable | 42,514 | 26,913 | 16,713 |
Proceeds from sale or transfer of notes receivable | 46,249 | 55,663 | 35,487 |
Premiums paid on life insurance | -140 | -128 | -65 |
Cash used in acquisitions, net of cash acquired | -2,845 | 0 | -11,805 |
Net cash used in investing activities | -28,797 | -12,658 | -38,223 |
Cash Flows From Financing Activities: | ' | ' | ' |
Borrowings of non-recourse and recourse notes payable | 51,547 | 32,746 | 14,137 |
Repayments of non-recourse and recourse notes payable | -2,252 | -3,105 | -3 |
Repurchase of common stock | -13,188 | -1,890 | -19,418 |
Dividends paid | -108 | -20,100 | 0 |
Proceeds from issuance of capital stock through option exercise | 560 | 1,167 | 623 |
Payments of contingent consideration | -1,027 | -473 | 0 |
Excess tax benefit from share based compensation | 1,762 | 1,648 | 740 |
Net borrowings (repayments) on floor plan facility | 27,165 | -19,660 | 21,767 |
Net cash provided by (used in) financing activities | 64,459 | -9,667 | 17,846 |
Effect of exchange rate changes on cash | 20 | -3 | -5 |
Net Increase in Cash and Cash Equivalents | 27,459 | 18,942 | -41,978 |
Cash and Cash Equivalents, Beginning of Period | 52,720 | 33,778 | 75,756 |
Cash and Cash Equivalents, End of Period | 80,179 | 52,720 | 33,778 |
Supplemental Disclosures of Cash Flow Information: | ' | ' | ' |
Cash paid for interest | 105 | 26 | 21 |
Cash paid for income taxes | 25,517 | 24,200 | 11,990 |
Schedule of Non-Cash Investing and Financing Activities: | ' | ' | ' |
Purchase of property and equipment included in accounts payable | 7 | 138 | 95 |
Purchase of operating lease equipment included in accounts payable | 116 | 175 | 0 |
Purchase of assets financed as notes receivables included in accounts payable | 1,140 | 0 | 0 |
Proceeds from sales of operating lease equipment included in accounts receivable | 861 | 34 | 495 |
Repayments of non-recourse and recourse notes payable | 22,146 | 15,872 | 15,671 |
Dividends declared included in other liabilities | 0 | 278 | 0 |
Vesting of share-based compensation | 7,838 | 4,648 | 2,216 |
Contingent consideration | 0 | 0 | 1,500 |
Origination and concurrent sale of notes receivable | $98,616 | $0 | $0 |
CONSOLIDATED_STATEMENTS_OF_STO
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (USD $) | Common Stock [Member] | Additional Paid-in Capital [Member] | Treasury Stock [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income [Member] | Total |
In Thousands, except Share data | ||||||
Balance at Mar. 31, 2011 | $125 | $89,792 | ($45,998) | $167,539 | $519 | $211,977 |
Balance (in shares) at Mar. 31, 2011 | 8,519,000 | ' | ' | ' | ' | ' |
Issuance of shares for option exercises and vesting of restricted shares | 1 | 621 | 0 | 0 | 0 | 622 |
Issuance of shares for option exercises and vesting of restricted shares (in shares) | 84,000 | ' | ' | ' | ' | ' |
Excess tax benefit of share based compensation | 0 | 740 | 0 | 0 | 0 | 740 |
Effect of share-based compensation, net of forfeitures | 1 | 2,392 | 0 | 0 | 0 | 2,393 |
Effect of share-based compensation, net of forfeitures (in shares) | 152,000 | ' | ' | ' | ' | ' |
Purchase of treasury stock | 0 | 0 | -19,418 | 0 | 0 | -19,418 |
Purchase of treasury stock (in shares) | -755,000 | ' | ' | ' | ' | ' |
Net earnings | 0 | 0 | 0 | 23,367 | 0 | 23,367 |
Foreign currency translation adjustment | 0 | 0 | 0 | 0 | -54 | -54 |
Balance at Mar. 31, 2012 | 127 | 93,545 | -65,416 | 190,906 | 465 | 219,627 |
Balance (in shares) at Mar. 31, 2012 | 8,000,000 | ' | ' | ' | ' | ' |
Issuance of shares for option exercises and vesting of restricted shares | 1 | 1,166 | 0 | 0 | 0 | 1,167 |
Issuance of shares for option exercises and vesting of restricted shares (in shares) | 105,000 | ' | ' | ' | ' | ' |
Excess tax benefit of share based compensation | 0 | 1,648 | 0 | 0 | 0 | 1,648 |
Effect of share-based compensation, net of forfeitures | 1 | 3,282 | 0 | 0 | 0 | 3,283 |
Effect of share-based compensation, net of forfeitures (in shares) | 102,000 | ' | ' | ' | ' | ' |
Purchase of treasury stock | 0 | 0 | -1,890 | 0 | 0 | -1,890 |
Purchase of treasury stock (in shares) | -57,000 | ' | ' | ' | ' | ' |
Dividends declared | 0 | 0 | 0 | -20,378 | 0 | -20,378 |
Net earnings | 0 | 0 | 0 | 34,830 | 0 | 34,830 |
Foreign currency translation adjustment | 0 | 0 | 0 | 0 | -55 | -55 |
Balance at Mar. 31, 2013 | 129 | 99,641 | -67,306 | 205,358 | 410 | 238,232 |
Balance (in shares) at Mar. 31, 2013 | 8,150,000 | ' | ' | ' | ' | 8,150,000 |
Issuance of shares for option exercises and vesting of restricted shares | 0 | 559 | 0 | 0 | 0 | 559 |
Issuance of shares for option exercises and vesting of restricted shares (in shares) | 40,000 | ' | ' | ' | ' | 40,000 |
Excess tax benefit of share based compensation | 0 | 1,762 | 0 | 0 | 0 | 1,762 |
Issuance of restricted stock awards | 1 | 0 | 0 | 0 | 0 | 1 |
Issuance of restricted stock awards (in shares) | 87,000 | ' | ' | ' | ' | ' |
Effect of share-based compensation, net of forfeitures | ' | 3,962 | 0 | 6 | 0 | 3,968 |
Purchase of treasury stock | 0 | 0 | -13,188 | 0 | 0 | -13,188 |
Purchase of treasury stock (in shares) | -241,000 | ' | ' | ' | ' | ' |
Net earnings | 0 | 0 | 0 | 35,273 | 0 | 35,273 |
Foreign currency translation adjustment | 0 | 0 | 0 | 0 | -224 | -224 |
Balance at Mar. 31, 2014 | $130 | $105,924 | ($80,494) | $240,637 | $186 | $266,383 |
Balance (in shares) at Mar. 31, 2014 | 8,036,000 | ' | ' | ' | ' | 8,036,000 |
CONSOLIDATED_STATEMENTS_OF_STO1
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Parenthetical) (USD $) | 12 Months Ended |
Mar. 31, 2013 | |
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY [Abstract] | ' |
Dividend declared (in dollars per share) | $2.50 |
ORGANIZATION_AND_SUMMARY_OF_SI
ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended | ||
Mar. 31, 2014 | |||
ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | ' | ||
ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ' | ||
1 | ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | ||
BASIS OF PRESENTATION — Our company was founded in 1990 and is a Delaware corporation. ePlus inc. is sometimes referred to in this Annual Report on Form 10-K as “we,” “our,” “us,” “ourselves,” or “ePlus.” The consolidated financial statements include the accounts of ePlus inc. and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. The accounts of businesses acquired during fiscal years 2014, 2013, and 2012 are included in the consolidated financial statements from the dates of acquisition. | |||
USE OF ESTIMATES — The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Estimates are used when accounting for items and matters including, but not limited to, revenue recognition, residual values, vendor consideration, lease classification, goodwill and intangibles, reserves for credit losses, inventory obsolescence, and the recognition and measurement of income tax assets and other provisions and contingencies. We base our estimates on historical experience and on various other assumptions that we believe to be reasonable under the circumstances. Actual results may differ from these estimates. | |||
REVENUE RECOGNITION — The majority of our revenues are derived from the following sources: sales of third-party products, software, software assurance, maintenance and services; sales of our services and software and financing revenues. For all these revenue sources, we determine whether we are the principal or agent in accordance with Accounting Standards Codification (“Codification”) Topic, Revenue Recognition, Subtopic Principal Agent Considerations. Our revenue recognition policies vary based upon these revenue sources. | |||
For arrangements with multiple elements, we allocate the total consideration to the deliverables based on an estimated selling price of our products and services. We determine the estimated selling price using cost plus a reasonable margin for each deliverable, which was based on our established policies and procedures for providing customers with quotes, as well as historical gross margins for our products and services. | |||
Sales of Product and Services | |||
Generally, sales of third-party product and software are recognized when the title and risk of loss are passed to the customer, there is persuasive evidence of an arrangement for sale, delivery has occurred, the sales price is fixed or determinable and collectability is reasonably assured. Using these tests, the vast majority of our product sales are recognized upon delivery due to our sales terms with our customers and with our vendors. For proper cutoff, we estimate the product delivered to our customers at the end of each quarter based upon an analysis of current quarter and historical delivery dates. | |||
Revenues from ePlus advanced professional services are generally recognized when the services are complete. Revenues from other ePlus services, such as maintenance, managed services and hosting services are recognized on a straight-line basis over the term of the arrangement. | |||
We sell software assurance, maintenance and service contracts where the services are performed by a third-party. Software assurance is a maintenance product that allows customers to upgrade at no additional cost to the latest technology if new applications are introduced during the period that the software assurance is in effect. As we enter into contracts with third-party service providers, we evaluate whether we are acting as a principal or agent in the transaction. As our customers are aware that the third-party service provider is to provide the services to them and that we are not responsible for the day-to-day provision of services in these arrangements, we concluded that we are acting as an agent and recognize revenue on a net basis at the date of sale. Under net sales recognition, the cost paid to the third-party service provider or vendor is recorded as a reduction to sales of product and services. Gross billings for products and services were $1,276 million, $1,164 million, and $978 million for the years ended March 31, 2014, 2013 and 2012, respectively. | |||
We present freight billed to our customers within sales of product and services, and the related freight charged to us within cost of sales, product and services. Sales tax amounts collected from customers for remittance to governmental authorities are presented on a net basis. | |||
Financing Revenue | |||
We lease products to customers that are accounted for in accordance with Codification Topic, Leases. In connection with those leases, we may also finance third-party software and services for our customers, which are classified as notes receivable. The terms of the notes receivable are often similar to the terms of the leases of IT equipment; that is, receivables are interest bearing and are often due over a period of time that corresponds with the terms of the leased IT equipment. | |||
The accounting for investments in leases and leased equipment is different depending on the type of lease. Each lease is classified as either a direct financing lease, sales-type lease, or operating lease, as appropriate. If a lease meets one or more of the following four criteria, the lease is classified as either a sales-type or direct financing lease; otherwise, it will be classified as an operating lease: | |||
· | the lease transfers ownership of the property to the lessee by the end of the lease term; | ||
· | the lease contains a bargain purchase option; | ||
· | the lease term is equal to 75 percent or more of the estimated economic life of the leased property; or | ||
· | the present value at the beginning of the lease term of the minimum lease payments equals or exceeds 90 percent of the fair value of the leased property at the inception of the lease. | ||
Revenue on direct financing and sales-type leases is deferred at the inception of the leases and is recognized over the term of the lease using the interest method. Revenue from operating leases is recognized ratably on a straight line basis over the term of the lease agreement. | |||
Codification Topic Transfers and Servicing, Subtopic Sales of Financial Assets, establishes criteria for determining whether a transfer of financial assets in exchange for cash or other consideration should be accounted for as a sale or as a pledge of collateral in a secured borrowing. Certain assignments of notes receivable and direct finance and sales-type leases we make on a non-recourse basis meet the criteria for surrender of control set forth by this subtopic and have therefore been treated as sales in our financial results. We recognize a net gain or loss on these transactions, which is included within financing revenue in our consolidated statements of operations. | |||
Revenues on the sales of equipment at the end of a lease are recognized at the date of sale. The net gain or loss on sales of such equipment is presented within financing revenues in our consolidated statements of operations. | |||
Software License Sales | |||
We recognize revenue for the licensing and hosting of our software in accordance with Codification Topic Software, Subtopic Revenue Recognition. We recognize revenue when all the following criteria exist: | |||
· | there is persuasive evidence that an arrangement exists; | ||
· | delivery has occurred; | ||
· | no significant obligations by us remain, which relate to services essential to the functionality of the software with regard to implementation; | ||
· | the sales price is determinable; and | ||
· | it is probable that collection will occur. | ||
The majority of our agreements are fixed term license agreements and the revenue is recognized over the contract term. Revenue from the sale of a perpetual license is recognized upon installation of the software. We recognize revenue from hosting our proprietary software for our customers over the contract term. Our hosting arrangements do not contain a contractual right to take possession of the software. Revenue from sales of our software is derived by our technology segment and is included in fee and other income on our consolidated statements of operations. | |||
Revenue from Other Transactions | |||
Other sources of revenue are derived from: (1) income from events that occur after the initial sale of a financial asset; (2) remarketing fees; (3) agent fees received from various vendors in the technology segment; (4) settlement fees related to disputes or litigation; and (5) interest and other miscellaneous income. These revenues are included in fee and other income on our consolidated statements of operations. | |||
FINANCING RECEIVABLES AND OPERATING LEASES — Financing receivables and operating leases consists of notes receivable, direct financing, sales-type leases and operating leases. The terms of lease and financing arrangements are typically between 2 to 5 years, with an average term of 36-38 months. | |||
Notes receivables consist of software and services that we finance for our customers. Interest income is recognized using the effective interest method and reported within financing revenue in our consolidated statement of operations. | |||
At the inception of our direct financing and sales-type leases, we record the net investment in leases, which consists of the sum of the minimum lease payments, initial direct costs (direct financing leases only), and unguaranteed residual value (gross investment) less the unearned income. For direct financing leases, the difference between the gross investment and the cost of the leased equipment is recorded as unearned income at the inception of the lease. Under sales-type leases, the difference between the fair value and cost of the leased property plus initial direct costs (net margins) is recorded as unearned revenue at the inception of the lease. | |||
At the inception of an operating lease, equipment under operating leases is recorded at cost and depreciated on a straight-line basis over its useful life to the estimated residual value. The estimated useful lives for equipment under operating leases ranges based on the nature of the equipment. The estimated useful life for information technology equipment is 42 months, while that of medical equipment is between 48 and 60 months. | |||
VENDOR CONSIDERATION — We receive payments and credits from vendors, including consideration pursuant to volume incentive programs and shared marketing expense programs. Many of these programs extend over one or more quarters’ sales activities. Different programs have different vendor/program specific goals to achieve. We estimate the amount of vendor consideration earned when it is probable and reasonably estimable using the best information available, including historical data. Amounts due from vendors as of March 31, 2014 and 2013 were $14.4 million and $11.9 million, respectively, which were included within accounts receivable-other, net in the accompanying balance sheets. | |||
· | Vendor consideration received pursuant to volume purchase incentive programs is allocated to inventory based on the applicable incentives from each vendor and is recorded in cost of sales, product and services, as the inventory is sold. | ||
· | Vendor consideration received pursuant to shared marketing expense programs is recorded as a reduction of the related selling and administrative expenses in the period the program takes place only if the consideration represents a reimbursement of specific, incremental, identifiable costs. Consideration that exceeds the specific, incremental, identifiable costs is classified as a reduction of cost of sales, product and services. | ||
RESIDUAL VALUES — Residual values, representing the unguaranteed estimated value of equipment at the termination of a lease, are recorded at the inception of each lease. The estimated residual values vary, both in amount and as a percentage of the original equipment cost, and depend upon several factors, including the equipment type, vendor's discount, market conditions, term of the lease, equipment supply and demand and by new product announcements by vendors. | |||
Unguaranteed residual values for direct financing and sales-type leases are recorded at their net present value and the unearned income is amortized over the life of the lease using the interest method. The residual values for operating leases are included in the leased equipment’s net book value. | |||
Residual values are evaluated on a quarterly basis and any impairment, other than temporary, is recorded in the period in which the impairment is determined. No upward revision of residual values is made subsequent to lease inception. | |||
RESERVES FOR CREDIT LOSSES — Our receivables consist of trade and other accounts receivable and financing receivables. We maintain our reserves for credit losses at a level believed to be adequate to absorb potential losses inherent in the respective balances. The reserve for credit losses is increased by provisions for potential credit losses, which increases expenses, and decreased by subsequent recoveries. The reserve for credit losses is decreased by write-offs and reductions to the provision for potential credit losses. Accounts are either written off or written down when the loss is both probable and determinable. | |||
Management’s determination of the adequacy of the reserves for credit losses for accounts receivable is based on the age of the receivable balance, the customer’s credit quality rating, an evaluation of historical credit losses, current economic conditions, and other relevant factors. Management’s determination of the adequacy of the reserve for credit losses for financing receivables may be based on the following factors: an internally assigned credit quality rating, historical credit loss experience, current economic conditions, volume, growth, the composition of the lease portfolio, the fair value of the underlying collateral, and the funding status (i.e. not funded, funded on a recourse or partial recourse basis, or funded on non-recourse basis). We assign an internal credit quality rating to each customer at the inception of the lease based on the customer’s financial status, rating agency reports and other financial information. We update the internal credit quality rating at least annually or when an indicator of a change in credit quality arises, such as a delinquency or bankruptcy. Also, management regularly reviews financing receivables to assess whether any balances should be impaired or placed on nonaccrual status. | |||
RESERVES FOR SALES RETURNS — Sales of product and services are reported net of allowances for returns which is maintained at a level believed by management to be adequate to absorb potential returns of sales of product and services in accordance with Codification Topic Revenue, Subtopic Product. Management's determination of the adequacy of the reserve is based on an evaluation of historical sales returns, current economic conditions, volume and other relevant factors. These determinations require considerable judgment in assessing the ultimate potential for sales returns and include consideration of the type and volume of products and services sold. | |||
CASH AND CASH EQUIVALENTS — We consider all highly liquid investments, including those with an original maturity of three months or less at the date of acquisition, to be cash equivalents. Cash and cash equivalents consist primarily of interest-bearing accounts and money market funds that consist of short-term U.S. treasury securities. There were no restrictions on the withdrawal of funds from our money market accounts as of March 31, 2014 and March 31, 2013. | |||
SHORT-TERM INVESTMENTS — We consider certificates of deposits with original maturities at the date of acquisition greater than 90 days but less than one year as short-term investments. Interest income is recognized when earned. | |||
INVENTORIES — Inventories are stated at the lower of cost (weighted average basis) or market and are shown net of allowance for obsolescence of $180 thousand and $125 thousand as of March 31, 2014 and 2013, respectively. | |||
DEFERRED COSTS AND DEFERRED REVENUES — Deferred costs include internal and third party costs associated with deferred revenue arrangements. Deferred revenue relates to professional, managed and hosting service. | |||
PROPERTY AND EQUIPMENT — Property and equipment are stated at cost, net of accumulated depreciation and amortization. Property and equipment obtained through an acquisition are stated at the fair market value as of the acquisition date. Depreciation and amortization are computed using the straight-line method over the estimated useful lives of the related assets, which range from three to ten years. Information Technology equipment is depreciated over three years. Perpetual software licenses are depreciated over five years. Furniture and certain fixtures are depreciated over five to ten years. Telecommunications equipment is depreciated over seven years. | |||
CAPITALIZATION OF COSTS OF SOFTWARE FOR INTERNAL USE — We capitalize costs for the development of internal use software under the guidelines of Codification Topic Intangibles—Goodwill and Other Intangibles, Subtopic Internal-Use Software. Software capitalized for internal use was $373 thousand and $171 thousand during the years ended March 31, 2014 and March 31, 2013, respectively, and is included in the accompanying consolidated balance sheets as a component of goodwill and other intangible assets. We had capitalized costs, net of amortization, of approximately $882 thousand and $766 thousand at March 31, 2014 and March 31, 2013, respectively. | |||
CAPITALIZATION OF COSTS OF SOFTWARE TO BE MADE AVAILABLE TO CUSTOMERS — In accordance with Codification Topic Software, Subtopic Costs of Software to Be Sold, Leased, or Marketed, software development costs are expensed as incurred until technological feasibility has been established. At such time, such costs are capitalized until the product is made available for release to customers. We capitalized $305 thousand and $351 thousand for the years ended March 31, 2014 and March 31, 2013, respectively. We had $789 thousand and $642 thousand of capitalized costs, net of amortization, at March 31, 2014 and March 31, 2013, respectively, which is included within goodwill and other intangible assets in the accompanying balance sheets. | |||
GOODWILL— Goodwill represents the premium paid over the fair value of net tangible and intangible assets we have acquired in business combinations. Goodwill is assigned to a reporting unit on the acquisition date. During the year ended March 31, 2014, we made an acquisition for the Technology reporting unit and have assigned goodwill to the Technology reporting unit. We have four reporting units based on the nature of the products and services offered: financing, technology, software procurement, and software document management. | |||
We review our goodwill for impairment annually in the third quarter of our fiscal year, or more frequently if indicators of impairment exist. A significant amount of judgment is involved in determining if an indicator of impairment has occurred. Such indicators may include a sustained, significant decline in our share price and market capitalization, a decline in our expected future cash flows, a significant adverse change in legal factors or in the business climate, unanticipated competition, and/or slower growth rates, among others. | |||
We first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. Qualitative factors we consider include, but are not limited to, macroeconomic conditions, industry and market conditions, company specific events, changes in circumstances, after tax cash flows and market capitalization. If the qualitative factors indicate that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, we perform the two step process to assess our goodwill for impairment. First, we compare the fair value of our reporting units with its carrying value. We estimate the fair value of the reporting unit using various valuation methodologies, including discounted expected future cash flows. If the fair value of the reporting unit exceeds its carrying value, goodwill is not impaired, and no further testing is necessary. If the net book value of our reporting unit exceeds its fair value, we perform a second test to measure the amount of impairment loss, if any. To measure the amount of any impairment loss, we determine the fair value of goodwill in the same manner as if our reporting unit were being acquired in a business combination. Specifically, we allocate the fair value of the reporting unit to all of the assets and liabilities of that unit, including any unrecognized intangible assets, in a hypothetical calculation that would yield the estimated fair value of goodwill. If the estimated fair value of goodwill is less than the goodwill recorded on our balance sheet, we record an impairment charge for the difference. | |||
FAIR VALUE MEASUREMENT — We follow the guidance in Codification Topic Fair Value Measurements and Disclosures which governs fair value accounting for financial assets and liabilities and non-financial assets and liabilities that are recognized or disclosed at fair value in the financial statements. The Company defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities, which are required to be disclosed at fair value, the Company considers the principal or most advantageous market in which the Company would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability, such as risk inherent in valuation techniques, transfer restrictions and credit risk. Topic Fair Value Measurements and Disclosures establishes a three-tier value hierarchy, which prioritizes the inputs used in measuring fair value and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement as follows: | |||
· | Level 1 – Observable inputs such as quoted prices for identical assets and liabilities in active markets; | ||
· | Level 2 – Inputs other than quoted prices, such as quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data. | ||
· | Level 3 – Unobservable inputs reflecting the Company’s own assumptions, consistent with reasonably available assumptions made by other market participants. | ||
This hierarchy requires us to use observable market data, when available, and to minimize the use of unobservable inputs when determining fair value. As of March 31, 2014, we measure money market funds at fair value on a recurring basis, which is based on quoted net asset values. Our goodwill is subjected to non-recurring fair value measurement. For financial instruments such as cash, short-term investments, accounts receivables, financing receivables, accounts payable and other current liabilities, we consider the recorded value of the financial instruments to approximate the fair value due to their short maturities. At March 31, 2014, the carrying amount of notes receivables, recourse and non-recourse payables were $40.7 million, $3.6 million and $65.3 million, respectively and the fair value of notes receivables, recourse and non-recourse payables were $42.4 million, $3.6 million and $65.4 million, respectively. At March 31, 2013, the carrying amount of notes receivables, recourse and non-recourse payables were $31.9 million, $1.5 million and $40.3 million, respectively and the fair value of notes receivables, recourse and non-recourse payables were $32.4 million, $1.5 million and $42.1 million, respectively. | |||
TREASURY STOCK — We account for treasury stock under the cost method and include treasury stock as a component of stockholders’ equity on the accompanying consolidated balance sheets. | |||
INCOME TAXES — Deferred income taxes are accounted for in accordance with Codification Topic Income Taxes. Under this method, deferred income tax assets and liabilities are determined based on the temporary differences between the financial statement reporting and tax bases of assets and liabilities, using tax rates currently in effect. Future tax benefits, such as net operating loss carry-forwards, are recognized to the extent that realization of these benefits is considered to be more likely than not. We review our deferred tax assets at least annually and make necessary valuation adjustments. | |||
In addition, we account for uncertain tax positions in accordance with Codification Topic Income Taxes. Specifically, the Topic prescribes a recognition threshold and a measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. The interpretation also provides guidance on the related de-recognition, classification, interest and penalties, accounting for interim periods, disclosure and transition of uncertain tax positions. In accordance with our accounting policy, we recognize accrued interest and penalties related to unrecognized tax benefits as a component of tax expense. | |||
EARNINGS PER SHARE — Earnings per share is calculated using the two-class method. Basic earnings per share is calculated by dividing net earnings attributable to common shareholders by the basic weighted average number of shares of common stock outstanding during each period. Diluted earnings per share reflects the potential dilution of securities that could participate in our earnings, including incremental shares issuable upon the assumed exercise of “in-the-money” stock options and other common stock equivalents during each period. | |||
SHARE-BASED COMPENSATION — We account for share-based compensation in accordance with Codification Topic Compensation—Stock Compensation. We recognize compensation cost for awards of restricted stock with graded vesting on a straight line basis over the requisite service period and we estimate forfeitures based on historical experience. There are no additional conditions for vesting other than service conditions. | |||
BUSINESS COMBINATIONS — We account for business combinations using the acquisition method in accordance with Codification Topic Business Combinations, which requires that the total purchase price of each of the acquired entities be allocated to the assets acquired and liabilities assumed based on their fair values at the acquisition date. The allocation process requires an analysis of intangible assets, such as customer relationships, trade names, acquired contractual rights and assumed contractual commitments and legal contingencies to identify and record all assets acquired and liabilities assumed at their fair value. | |||
Any premium paid over the fair value of the net tangible and intangible assets of the acquired business is recorded as goodwill. We recognize a gain in our income statement to the extent the purchase price is less than the fair value of assets acquired and liabilities assumed. The results of operations for an acquired company are included in our financial statements from the date of acquisition. | |||
CONCENTRATIONS OF RISK — Financial instruments that potentially subject us to concentrations of credit risk include cash and cash equivalents, short-term investments, accounts receivable, notes receivable and investments in direct financing and sales-type leases. Cash and cash equivalents and short-term investments are maintained principally with financial institutions in the United States, which have high credit ratings. Risk on accounts receivable, notes receivable and investments in direct financing and sales-type leases is reduced by the large number of diverse industries comprising our customer base and through the ongoing evaluation of collectability of our portfolio. Our credit risk is further mitigated through the underlying collateral and whether the lease is funded with recourse or non-recourse notes payable. | |||
A substantial portion of our sales of product and services are from sales of Cisco Systems, Hewlett-Packard, and NetApp products, which represented approximately 48%, 10% and 8%, respectively, of our technology segment sales of product and services for the year ended March 31, 2014, as compared to 48%, 11%, and 7%, respectively, of our technology segment sales of product and services for the year ended March 31, 2013, and 45%, 15%, and 7%, respectively, for the year ended March 31, 2012. Any changes in our vendors’ ability to provide products could have a material adverse effect on our business, results of operations and financial condition. | |||
For the year ended March 31, 2014, and 2013, sales to a large telecommunications company were approximately 11% and 14%, respectively, of total revenues, all of which related to our technology segment. No customer accounted for more than 10% of our revenues for the year ended March 31, 2012. | |||
RECLASSIFICATIONS — Historically, we have not presented a classified balance sheet due to the significant portion of assets within our financing segment, which has an operating cycle of more than one year. However, the percent of our total assets used in our technology segment, which has an operating cycle of less than one year, has increased. Accordingly, we are now of the view that a classified balance sheet is a better depiction of our consolidated operating cycle. All prior period amounts were updated to conform to this presentation. | |||
RECENTLY ACCOUNTING PRONOUNCEMENTS NOT YET ADOPTED — In May 2014, FASB issued ASU 2014-09, which will update ASC topic Revenue from Contracts with Customers. The principle of ASU 2014-09 is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which entity expects to be entitled in exchange for those goods or services. The effective date for ASU 2014-09 for us is for fiscal year beginning April 1, 2017. We are currently evaluating the impact it will have on our financial position and statement of operations. |
FINANCING_RECEIVABLES_AND_OPER
FINANCING RECEIVABLES AND OPERATING LEASES | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
FINANCING RECEIVABLES AND OPERATING LEASES [Abstract] | ' | ||||||||||||
FINANCING RECEIVABLES AND OPERATING LEASES | ' | ||||||||||||
2 | FINANCING RECEIVABLES AND OPERATING LEASES | ||||||||||||
FINANCING RECEIVABLES—NET | |||||||||||||
Our financing receivables, net consist of the following (in thousands): | |||||||||||||
31-Mar-14 | Notes | Lease-Related | Total Financing | ||||||||||
Receivables | Receivables | Receivables | |||||||||||
Minimum payments | $ | 43,707 | $ | 81,551 | $ | 125,258 | |||||||
Estimated unguaranteed residual value (1) | - | 8,275 | 8,275 | ||||||||||
Initial direct costs, net of amortization (2) | 354 | 537 | 891 | ||||||||||
Unearned income | - | (6,285 | ) | (6,285 | ) | ||||||||
Reserve for credit losses (3) | (3,364 | ) | (1,024 | ) | (4,388 | ) | |||||||
Total, net | $ | 40,697 | $ | 83,054 | $ | 123,751 | |||||||
Reported as: | |||||||||||||
Current | $ | 22,109 | $ | 35,640 | $ | 57,749 | |||||||
Long-term | 18,588 | 47,414 | 66,002 | ||||||||||
Total, net | $ | 40,697 | $ | 83,054 | $ | 123,751 | |||||||
-1 | Includes estimated unguaranteed residual values of $3,034 thousand for direct financing leases, which have been sold and accounted for as sales under Codification Topic Transfers and Servicing. | ||||||||||||
-2 | Initial direct costs are shown net of amortization of $525 thousand. | ||||||||||||
-3 | For details on reserve for credit losses, refer to Note 4, “Reserves for Credit Losses.” | ||||||||||||
31-Mar-13 | Notes | Lease-Related | Total Financing | ||||||||||
Receivables | Receivables | Receivables | |||||||||||
Minimum payments | $ | 35,030 | $ | 64,614 | $ | 99,644 | |||||||
Estimated unguaranteed residual value (1) | - | 7,557 | 7,557 | ||||||||||
Initial direct costs, net of amortization (2) | - | 684 | 684 | ||||||||||
Unearned income | - | (5,767 | ) | (5,767 | ) | ||||||||
Reserve for credit losses (3) | (3,137 | ) | (845 | ) | (3,982 | ) | |||||||
Total, net | $ | 31,893 | $ | 66,243 | $ | 98,136 | |||||||
Reported as: | |||||||||||||
Current | $ | 18,650 | $ | 27,421 | $ | 46,071 | |||||||
Long-term | 13,243 | 38,822 | 52,065 | ||||||||||
Total, net | $ | 31,893 | $ | 66,243 | $ | 98,136 | |||||||
-1 | Includes estimated unguaranteed residual values of $3,361 thousand for direct financing leases which have been sold and accounted for as sales under Codification Topic Transfers and Servicing. | ||||||||||||
-2 | Initial direct costs are shown net of amortization of $479 thousand. | ||||||||||||
-3 | For details on reserve for credit losses, refer to Note 4, “Reserves for Credit Losses.” | ||||||||||||
Future scheduled minimum lease payments for investments in direct financing and sales-type leases as of March 31, 2014 are as follows (in thousands): | |||||||||||||
Year ending March 31, 2015 | $ | 38,536 | |||||||||||
2016 | 26,495 | ||||||||||||
2017 | 13,790 | ||||||||||||
2018 | 2,513 | ||||||||||||
2019 and thereafter | 217 | ||||||||||||
Total | $ | 81,551 | |||||||||||
OPERATING LEASES—NET | |||||||||||||
Operating leases—net primarily represents leases that do not qualify as direct financing leases. The components of the operating leases—net are as follows (in thousands): | |||||||||||||
March 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Cost of equipment under operating leases | $ | 40,513 | $ | 46,106 | |||||||||
Accumulated depreciation | (20,525 | ) | (21,639 | ) | |||||||||
Investment in operating lease equipment—net (1) | $ | 19,988 | $ | 24,467 | |||||||||
-1 | Includes estimated unguaranteed residual values of $5,610 thousand and $7,763 thousand as of March 31, 2014 and 2013, respectively. | ||||||||||||
Future scheduled minimum lease rental payments as of March 31, 2014 are as follows (in thousands): | |||||||||||||
Year ending March 31, 2015 | $ | 8,932 | |||||||||||
2016 | 4,483 | ||||||||||||
2017 | 1,179 | ||||||||||||
2018 | 514 | ||||||||||||
2019 and thereafter | 434 | ||||||||||||
Total | $ | 15,542 | |||||||||||
TRANSFERS OF FINANCIAL ASSETS | |||||||||||||
We enter into arrangements to transfer the contractual payments due under financing receivables and operating lease agreements, which are accounted for as sales or secured borrowings in accordance with Codification Topic, Transfers and Servicing. For transfers accounted for as a secured borrowing, the corresponding investments serve as collateral for non-recourse notes payable. As of March 31, 2014 and 2013, we had financing receivables and operating leases of $72.3 million and $46.9 million, respectively that were collateral for non-recourse notes payable. See Note 6, "Notes Payable and Credit Facility." | |||||||||||||
For transfers accounted for as sales, we derecognize the carrying value of the asset transferred and recognize a net gain or loss on the sale, which are presented within financing revenues in the consolidated statement of operations. For the years ended March 31, 2014, 2013, and 2012, we recognized net gains of $8.5 million, $7.1 million, and $3.9 million, respectively, and total proceeds from these sales were $187.2 million $142.3 million, and $62.4 million, respectively. |
GOODWILL_AND_OTHER_INTANGIBLE_
GOODWILL AND OTHER INTANGIBLE ASSETS | 12 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||
GOODWILL AND OTHER INTANGIBLE ASSETS [Abstract] | ' | ||||||||||||||||||||||||
GOODWILL AND OTHER INTANGIBLE ASSETS | ' | ||||||||||||||||||||||||
3 | GOODWILL AND OTHER INTANGIBLE ASSETS | ||||||||||||||||||||||||
Our goodwill and other intangible assets consist of the following (in thousands): | |||||||||||||||||||||||||
31-Mar-14 | 31-Mar-13 | ||||||||||||||||||||||||
Gross Carrying Amount | Accumulated Amortization / Impairment Loss | Net Carrying Amount | Gross Carrying Amount | Accumulated Amortization / Impairment Loss | Net Carrying Amount | ||||||||||||||||||||
Goodwill | $ | 38,243 | $ | (8,673 | ) | $ | 29,570 | $ | 37,333 | $ | (8,673 | ) | $ | 28,660 | |||||||||||
Customer relationships & other intangibles | 8,013 | (4,671 | ) | 3,342 | 6,455 | (3,558 | ) | 2,897 | |||||||||||||||||
Capitalized software development | 2,616 | (945 | ) | 1,671 | 1,938 | (531 | ) | 1,407 | |||||||||||||||||
Total | $ | 48,872 | $ | (14,289 | ) | $ | 34,583 | $ | 45,726 | $ | (12,762 | ) | $ | 32,964 | |||||||||||
GOODWILL | |||||||||||||||||||||||||
Goodwill represents the premium paid over the fair value of the net tangible and intangible assets we have acquired in business combinations. All of our goodwill as of March 31, 2014 and 2013 related to our technology segment. The following table summarizes the amount of goodwill allocated to our reporting units: | |||||||||||||||||||||||||
March 31, | |||||||||||||||||||||||||
Reporting Unit | 2014 | 2013 | |||||||||||||||||||||||
Technology | $ | 28,481 | $ | 27,571 | |||||||||||||||||||||
Software Document Management | 1,089 | 1,089 | |||||||||||||||||||||||
Goodwill attributed to our technology reporting unit increased by $0.9 million due to the acquisition of AdviStor, Inc. in November, 2013. See Note 13, “Business Combinations,” for additional information. | |||||||||||||||||||||||||
As part of our annual impairment assessment performed during the year ended March 31, 2014, we performed a qualitative assessment and concluded that the fair value of our reporting units were, more likely than not, greater than their respective carrying amounts. No goodwill impairment charges were recorded during the years ended March 31, 2014, 2013 and 2012. | |||||||||||||||||||||||||
OTHER INTANGIBLE ASSETS | |||||||||||||||||||||||||
Total amortization expense for other intangible assets was $1.5 million, $1.3 million, and $0.5 million for the years ended March 31, 2014, 2013 and 2012, respectively. Amortization expense for other intangible assets is estimated to be $1.7 million, $1.5 million, $1.1 million, $0.4 million, and $0.2 million for the years ended March 31, 2015, 2016, 2017, 2018 and 2019, respectivel |
RESERVES_FOR_CREDIT_LOSSES
RESERVES FOR CREDIT LOSSES | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
RESERVES FOR CREDIT LOSSES [Abstract] | ' | ||||||||||||||||||||||||||||||||||||||||
RESERVES FOR CREDIT LOSSES | ' | ||||||||||||||||||||||||||||||||||||||||
4. RESERVES FOR CREDIT LOSSES | |||||||||||||||||||||||||||||||||||||||||
Activity in our reserves for credit losses for the years ended March 31, 2014, 2013 and 2012 were as follows (in thousands): | |||||||||||||||||||||||||||||||||||||||||
Accounts | Notes Receivable | Lease-Related | Total | ||||||||||||||||||||||||||||||||||||||
Receivable | Receivables | ||||||||||||||||||||||||||||||||||||||||
Balance April 1, 2013 | $ | 1,147 | $ | 3,137 | $ | 845 | $ | 5,129 | |||||||||||||||||||||||||||||||||
Provision for credit losses | 344 | 227 | 179 | 750 | |||||||||||||||||||||||||||||||||||||
Write-offs and other | (127 | ) | - | - | (127 | ) | |||||||||||||||||||||||||||||||||||
Balance March 31, 2014 | $ | 1,364 | $ | 3,364 | $ | 1,024 | $ | 5,752 | |||||||||||||||||||||||||||||||||
Accounts | Notes Receivable | Lease-Related | Total | ||||||||||||||||||||||||||||||||||||||
Receivable | Receivables | ||||||||||||||||||||||||||||||||||||||||
Balance April 1, 2012 | $ | 1,307 | $ | 2,963 | $ | 1,336 | $ | 5,606 | |||||||||||||||||||||||||||||||||
Provision for credit losses | (19 | ) | 174 | (488 | ) | (333 | ) | ||||||||||||||||||||||||||||||||||
Write-offs and other | (141 | ) | - | (3 | ) | (144 | ) | ||||||||||||||||||||||||||||||||||
Balance March 31, 2013 | $ | 1,147 | $ | 3,137 | $ | 845 | $ | 5,129 | |||||||||||||||||||||||||||||||||
Accounts | Notes Receivable | Lease-Related | Total | ||||||||||||||||||||||||||||||||||||||
Receivable | Receivables | ||||||||||||||||||||||||||||||||||||||||
Balance April 1, 2011 | $ | 944 | $ | 94 | $ | 1,733 | $ | 2,771 | |||||||||||||||||||||||||||||||||
Provision for credit losses | 739 | 2,869 | (395 | ) | 3,213 | ||||||||||||||||||||||||||||||||||||
Write-offs and other | (376 | ) | - | (2 | ) | (378 | ) | ||||||||||||||||||||||||||||||||||
Balance March 31, 2012 | $ | 1,307 | $ | 2,963 | $ | 1,336 | $ | 5,606 | |||||||||||||||||||||||||||||||||
Our reserve for credit losses and minimum lease payments associated with our investment in direct financing and sales- type lease balances disaggregated on the basis of our impairment method were as follows (in thousands): | |||||||||||||||||||||||||||||||||||||||||
31-Mar-14 | 31-Mar-13 | ||||||||||||||||||||||||||||||||||||||||
Notes | Lease-Related | Notes | Lease-Related | ||||||||||||||||||||||||||||||||||||||
Receivable | Receivables | Receivable | Receivables | ||||||||||||||||||||||||||||||||||||||
Reserves for credit losses: | |||||||||||||||||||||||||||||||||||||||||
Ending balance: collectively evaluated for impairment | $ | 265 | $ | 852 | $ | 310 | $ | 747 | |||||||||||||||||||||||||||||||||
Ending balance: individually evaluated for impairment | 3,099 | 172 | 2,827 | 98 | |||||||||||||||||||||||||||||||||||||
Ending balance | $ | 3,364 | $ | 1,024 | $ | 3,137 | $ | 845 | |||||||||||||||||||||||||||||||||
Minimum payments: | |||||||||||||||||||||||||||||||||||||||||
Ending balance: collectively evaluated for impairment | $ | 39,869 | $ | 81,114 | $ | 31,793 | $ | 64,246 | |||||||||||||||||||||||||||||||||
Ending balance: individually evaluated for impairment | 3,838 | 437 | 3,237 | 368 | |||||||||||||||||||||||||||||||||||||
Ending balance | $ | 43,707 | $ | 81,551 | $ | 35,030 | $ | 64,614 | |||||||||||||||||||||||||||||||||
The net credit exposure for the balance evaluated individually for impairment as of March 31, 2014 was $4.2 million, $3.3 million of which is related to one customer. During fiscal year 2012, we began selling and financing various products and services to a large law firm, which filed for bankruptcy in May 2012. As of March 31, 2014, we had $3.4 million of notes and lease-related receivables from this customer and total reserves for credit losses of $3.1 million, which represented our estimated probable loss. As of March 31, 2013, we had $3.4 million of notes receivables from this customer and total reserves for credit losses of $2.8 million. | |||||||||||||||||||||||||||||||||||||||||
The age of the recorded minimum lease payments and net credit exposure associated with our investment in direct financing and sales-type leases that are past due disaggregated based on our internally assigned credit quality rating (“CQR”) were as follows as of March 31, 2014 and 2013 (in thousands): | |||||||||||||||||||||||||||||||||||||||||
31-60 | 61-90 | Greater | Total | Current | Unbilled | Total | Unearned | Non- | Net | ||||||||||||||||||||||||||||||||
Days Past | Days Past | than 90 | Past Due | Minimum | Minimum | Income | Recourse | Credit | |||||||||||||||||||||||||||||||||
Due | Due | Days Past | Lease | Lease | Notes | Exposure | |||||||||||||||||||||||||||||||||||
Due | Payments | Payments | Payable | ||||||||||||||||||||||||||||||||||||||
31-Mar-14 | |||||||||||||||||||||||||||||||||||||||||
High CQR | $ | 194 | $ | 35 | $ | 106 | $ | 335 | $ | 502 | $ | 42,159 | $ | 42,996 | $ | (1,890 | ) | $ | (17,406 | ) | $ | 23,700 | |||||||||||||||||||
Average CQR | 33 | 57 | 18 | 108 | 86 | 37,924 | 38,118 | (3,401 | ) | (20,709 | ) | 14,008 | |||||||||||||||||||||||||||||
Low CQR | - | - | 61 | 61 | - | 376 | 437 | (55 | ) | - | 382 | ||||||||||||||||||||||||||||||
Total | 227 | 92 | 185 | 504 | 588 | 80,459 | 81,551 | (5,346 | ) | (38,115 | ) | 38,090 | |||||||||||||||||||||||||||||
31-Mar-13 | |||||||||||||||||||||||||||||||||||||||||
High CQR | $ | 454 | $ | 316 | $ | 28 | $ | 798 | $ | 322 | $ | 38,278 | $ | 39,398 | $ | (2,777 | ) | $ | (10,337 | ) | $ | 26,284 | |||||||||||||||||||
Average CQR | 51 | 51 | 5 | 107 | 101 | 24,640 | 24,848 | (1,596 | ) | (7,857 | ) | 15,395 | |||||||||||||||||||||||||||||
Low CQR | - | - | 61 | 61 | - | 307 | 368 | (39 | ) | - | 329 | ||||||||||||||||||||||||||||||
Total | 505 | 367 | 94 | 966 | 423 | 63,225 | 64,614 | (4,412 | ) | (18,194 | ) | 42,008 | |||||||||||||||||||||||||||||
The age of the recorded notes receivable balance disaggregated based on our internally assigned CQR were as follows as March 31, 2014 and 2013 (in thousands): | |||||||||||||||||||||||||||||||||||||||||
31-60 | 61-90 | Greater | Total | Current | Unbilled | Total Notes | Non- | Net | |||||||||||||||||||||||||||||||||
Days Past | Days | than 90 | Past Due | Notes | Receivable | Recourse | Credit | ||||||||||||||||||||||||||||||||||
Due | Past Due | Days Past | Receivable | Notes | Exposure | ||||||||||||||||||||||||||||||||||||
Due | Payable | ||||||||||||||||||||||||||||||||||||||||
31-Mar-14 | |||||||||||||||||||||||||||||||||||||||||
High CQR | $ | - | $ | 205 | $ | 148 | $ | 353 | $ | 2,317 | $ | 30,249 | $ | 32,919 | $ | (19,641 | ) | $ | 13,278 | ||||||||||||||||||||||
Average CQR | - | - | - | - | - | 6,950 | 6,950 | (3,491 | ) | 3,459 | |||||||||||||||||||||||||||||||
Low CQR | - | - | 791 | 791 | - | 3,047 | 3,838 | - | 3,838 | ||||||||||||||||||||||||||||||||
Total | $ | - | $ | 205 | $ | 939 | $ | 1,144 | $ | 2,317 | $ | 40,246 | $ | 43,707 | $ | (23,132 | ) | $ | 20,575 | ||||||||||||||||||||||
31-Mar-13 | |||||||||||||||||||||||||||||||||||||||||
High CQR | $ | 1,342 | $ | 127 | $ | 832 | $ | 2,301 | $ | 3,450 | $ | 22,097 | $ | 27,848 | $ | (5,621 | ) | $ | 22,227 | ||||||||||||||||||||||
Average CQR | 1,379 | - | - | 1,379 | - | 2,566 | 3,945 | (1,203 | ) | 2,742 | |||||||||||||||||||||||||||||||
Low CQR | - | - | 726 | 726 | - | 2,511 | 3,237 | - | 3,237 | ||||||||||||||||||||||||||||||||
Total | $ | 2,721 | $ | 127 | $ | 1,558 | $ | 4,406 | $ | 3,450 | $ | 27,174 | $ | 35,030 | $ | (6,824 | ) | $ | 28,206 | ||||||||||||||||||||||
We estimate losses on our net credit exposure to be between 0% - 5% for customers with high CQR, as these customers are investment grade or the equivalent of investment grade. We estimate losses on our net credit exposure to be between 2% - 25% for customers with average CQR, and between 25% - 100% for customers with low CQR, which includes customers in bankruptcy. |
PROPERTY_EQUIPMENT_OTHER_ASSET
PROPERTY, EQUIPMENT, OTHER ASSETS AND LIABILITIES | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
PROPERTY, EQUIPMENT, OTHER ASSETS AND LIABILITIES [Abstract] | ' | ||||||||
PROPERTY, EQUIPMENT, OTHER ASSETS AND LIABILITIES | ' | ||||||||
5. PROPERTY, EQUIPMENT, OTHER ASSETS AND LIABILITIES | |||||||||
PROPERTY AND EQUIPMENT—NET | |||||||||
Property and equipment—net consists of the following (in thousands): | |||||||||
March 31, | |||||||||
2014 | 2013 | ||||||||
Furniture, fixtures and equipment | $ | 11,463 | $ | 9,274 | |||||
Vehicles | 283 | 285 | |||||||
Capitalized software | 3,498 | 4,149 | |||||||
Leasehold improvements | 3,115 | 2,556 | |||||||
Total assets | 18,359 | 16,264 | |||||||
Accumulated depreciation and amortization | (14,066 | ) | (14,051 | ) | |||||
Property and equipment - net | $ | 4,293 | $ | 2,213 | |||||
For the years ended March 31, 2014, 2013 and 2012, depreciation expense on property and equipment was $1,330 thousand, $1,096 thousand, and $967 thousand, respectively. | |||||||||
OTHER ASSETS AND LIABILITIES | |||||||||
Our other assets and liabilities consist of the following (in thousands): | |||||||||
March 31, | |||||||||
2014 | 2013 | ||||||||
Other current assets: | |||||||||
Unbilled accounts receivable | $ | 386 | $ | 2,764 | |||||
Prepaid assets | 2,865 | 2,027 | |||||||
Supplemental benefit plan investments | 2,544 | - | |||||||
Other | 1,130 | 730 | |||||||
Total other current assets | $ | 6,925 | $ | 5,521 | |||||
Other assets: | |||||||||
Deferred costs | $ | 1,591 | $ | 873 | |||||
Supplemental benefit plan investments | - | 2,301 | |||||||
Other | 2,129 | 1,285 | |||||||
Other assets - long term | $ | 3,720 | $ | 4,459 | |||||
March 31, | |||||||||
2014 | 2013 | ||||||||
Other current liabilities | |||||||||
Accrued expenses | $ | 5,322 | $ | 9,533 | |||||
Deferred compensation | 2,544 | - | |||||||
Other | 7,516 | 7,874 | |||||||
Total other current liabilities | $ | 15,382 | $ | 17,407 | |||||
Other liabilities | |||||||||
Deferred revenue | $ | 1,822 | $ | 731 | |||||
Deferred compensation | - | 2,301 | |||||||
Other | - | 556 | |||||||
Total other liabilities - long term | $ | 1,822 | $ | 3,588 |
NOTES_PAYABLE_AND_CREDIT_FACIL
NOTES PAYABLE AND CREDIT FACILITY | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
NOTES PAYABLE AND CREDIT FACILITY [Abstract] | ' | ||||||||
NOTES PAYABLE AND CREDIT FACILITY | ' | ||||||||
6 | NOTES PAYABLE AND CREDIT FACILITY | ||||||||
Recourse and non-recourse obligations consist of the following (in thousands): | |||||||||
March 31, | |||||||||
2014 | 2013 | ||||||||
Recourse notes payable with interest rates ranging from 2.24% to 4.84% at March 31, 2014 and 4.84% at March 31, 2013 | |||||||||
Current | $ | 1,460 | $ | 390 | |||||
Long-term | 2,100 | 1,094 | |||||||
Total recourse notes payable | $ | 3,560 | $ | 1,484 | |||||
Non-recourse notes payable secured by financing receivables and investments in operating leases with interest rates ranging from 2.00% to 11.24% at March 31, 2014 and March 31, 2013 | |||||||||
Current | $ | 30,907 | $ | 22,169 | |||||
Long-term | 34,421 | 18,086 | |||||||
Total non-recourse notes payable | $ | 65,328 | $ | 40,255 | |||||
Principal and interest payments on the non-recourse notes payable are generally due monthly in amounts that are approximately equal to the total payments due from the customer under the leases or notes receivable that collateralize the notes payable. The weighted average interest rate for our non-recourse notes payable was 3.46% and 4.23%, as of March 31, 2014 and March 31, 2013, respectively. The weighted average interest rate for our recourse notes payable was 3.85% and 4.84%, as of March 31, 2014 and March 31, 2013, respectively. Under recourse financing, in the event of a default by a customer, the lender has recourse against the customer, the assets serving as collateral, and us. Under non-recourse financing, in the event of a default by a customer, the lender generally only has recourse against the customer, and the assets serving as collateral, but not against us. | |||||||||
Our technology segment, through our subsidiary ePlus Technology, inc., finances its operations with funds generated from operations, and with a credit facility with GE Commercial Distribution Finance Corporation (“GECDF”). This facility provides short-term capital for our technology segment. There are two components of the GECDF credit facility: (1) a floor plan component and (2) an accounts receivable component. Under the floor plan component, we had outstanding balances of $93.4 million and $66.3 million as of March 31, 2014 and 2013, respectively. Under the accounts receivable component, we had no outstanding balances as of March 31, 2014 and 2013. As of March 31, 2014, the facility agreement had an aggregate limit of the two components of $175 million, and the accounts receivable component had a sub-limit of $30 million, which bears interest assessed at a rate of the One Month LIBOR plus two and one half percent. | |||||||||
The credit facility has full recourse to ePlus Technology, inc. and is secured by a blanket lien against all its assets, such as receivables and inventory. Availability under the facility may be limited by the asset value of equipment we purchase or accounts receivable, and may be further limited by certain covenants and terms and conditions of the facility. These covenants include but are not limited to a minimum excess availability of the facility and minimum earnings before interest, taxes, depreciation and amortization (“EBITDA”) of ePlus Technology, inc. We were in compliance with these covenants as of March 31, 2014. In addition, the facility restricts the ability of ePlus Technology, inc. to transfer funds to its affiliates in the form of dividends, loans or advances with certain exceptions for dividends to ePlus inc. The facility also requires that financial statements of ePlus Technology, inc. be provided within 45 days of each quarter and 90 days of each fiscal year end and also includes that other operational reports be provided on a regular basis. Either party may terminate with 90 days’ advance notice. We are not, and do not believe that we are reasonably likely to be, in breach of the GECDF credit facility. In addition, we do not believe that the covenants of the GECDF credit facility materially limit our ability to undertake financing. In this regard, the covenants apply only to our subsidiary, ePlus Technology, inc. This credit facility is secured by the assets of only ePlus Technology, inc. and the guaranty as described below. | |||||||||
The facility provided by GECDF requires a guaranty of $10.5 million by ePlus inc. The guaranty requires ePlus inc. to deliver its annual audited financial statements by certain dates. We have delivered the annual audited financial statements for the year ended March 31, 2013, as required. The loss of the GECDF credit facility could have a material adverse effect on our future results as we currently rely on this facility and its components for daily working capital and liquidity for our technology segment and as an operational function of our accounts payable process. | |||||||||
We have an agreement with First Virginia Community Bank to provide us with a $0.5 million credit facility, which will mature October 26, 2014. The credit facility is available for use by us and our affiliates and the lender has full recourse to us. Borrowings under this facility bear interest at the Wall Street Journal U.S. Prime rate plus 1%. The primary purpose of the facility is to provide letters of credit for landlords, taxing authorities and bids. As of March 31, 2014 and 2013, we had no outstanding balance on this credit facility. | |||||||||
Recourse and non-recourse notes payable as of March 31, 2014, mature as follows (in thousands): | |||||||||
Recourse Notes | Non-Recourse | ||||||||
Payable | Notes Payable | ||||||||
Year ending March 31, 2015 | $ | 1,460 | $ | 30,907 | |||||
2016 | 237 | 22,769 | |||||||
2017 | 237 | 9,078 | |||||||
2018 | 1,627 | 2,261 | |||||||
2019 and thereafter | - | 313 | |||||||
$ | 3,561 | $ | 65,328 |
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended | ||||
Mar. 31, 2014 | |||||
COMMITMENTS AND CONTINGENCIES [Abstract] | ' | ||||
COMMITMENTS AND CONTINGENCIES | ' | ||||
7 | COMMITMENTS AND CONTINGENCIES | ||||
We lease office space and certain office equipment to conduct our business. Annual rent expense relating to these operating leases was $3.8 million, $3.5 million, and $2.4 million for the years ended March 31, 2014, 2013 and 2012, respectively. As of March 31, 2014, the future minimum lease payments are due as follows (in thousands): | |||||
(in thousands) | |||||
Year ending March 31, 2015 | $ | 4,263 | |||
2016 | 3,251 | ||||
2017 | 2,496 | ||||
2018 | 1,803 | ||||
2019 and thereafter | 655 | ||||
$ | 12,468 | ||||
Our future minimum lease payments increased by $5.7 million over the prior year due to new location leases or amendments to extend leases for our Herndon, VA, Pittsford, NY, Irvine CA, and Raleigh, NC locations. Our largest office location is in Herndon, VA, which has a lease expiration date of December 31, 2017. On March 4, 2014, the term of the contract was extended until December 31, 2017 and contains a renewal option to extend the lease through December 31, 2019. | |||||
Legal Proceedings | |||||
On May 19, 2009, we filed a complaint (the “Lawson litigation”) in the United States District Court for the Eastern District of Virginia (the “trial court”) against four defendants, alleging that they used or sold products, methods, processes, services and/or systems that infringe on certain of our patents. During July and August 2009, we entered into settlement and license agreements with three of the defendants. We obtained a jury verdict against the remaining defendant, Lawson Software, Inc. (“Lawson”) on January 27, 2011. The jury unanimously found that Lawson infringed certain ePlus patents relating to electronic procurement systems, and additionally found that all ePlus patent claims tried in court were not invalid. | |||||
On May 23, 2011, the trial court issued a permanent injunction, ordering Lawson and its successors to: immediately stop selling and servicing products relating to its electronic procurement systems that infringe our patents; cease providing any ongoing or future maintenance, training or installation of its infringing products; and refrain from publishing any literature or information that encourages the use or sale of its infringing products. Lawson appealed the trial court’s judgment, and we appealed the trial court’s evidentiary ruling which precluded us from seeking monetary damages. On November 21, 2012, the United States Court of Appeals for the Federal Circuit (the “Appeals Court”) reversed in part, vacated in part, affirmed in part, and remanded. The Appeals Court upheld the trial court’s ruling precluding us from seeking monetary damages. The Appeals Court also upheld the finding that the patent claims were not invalid and upheld, in part, the finding of infringement. On June 11, 2013, consistent with the Appeals Court’s decision, the trial court issued an Order modifying the injunction so that it would continue in full effect with respect to those configurations of Lawson’s electronic procurement systems that the Appeals Court affirmed are infringing. | |||||
On August 16, 2013, the trial court issued an order finding, by clear and convincing evidence, that Lawson is in contempt of the trial court’s May 23, 2011, injunction, entering judgment in our favor in the amount of $18.2 million, and ordering that Lawson pay to the court a daily coercive fine in the amount of $62,362 until Lawson establishes that it is in compliance with the injunction. Lawson filed an appeal and posted a bond, and collection of the judgment and imposition of the coercive fine have been stayed pending the appeal. In light of the Appeals Court’s January 29, 2014, decision on the reexamination proceeding described below and the USPTO’s cancellation of the relevant patent, we anticipate that the Appeals Court will vacate the injunction on a going-forward basis. However, we continue to believe that we are entitled to enforce the contempt judgment. Briefing on the appeal is complete, and oral argument was held on April 11, 2014. However, we do not know when the Appeals Court will issue a ruling. Court calendars and rulings are inherently unpredictable, and we cannot predict when any motion or appeal will be resolved, or the outcome thereof. | |||||
Patent litigation is extremely complex and issues regarding a patent’s validity can arise even subsequent to a patent’s issuance. On November 8, 2013, the Appeals Court affirmed the USPTO’s Patent Trial and Appeal Board’s adverse decision in a reexamination proceeding concerning the validity of the patent at issue in the Lawson litigation. On January 29, 2014, the Appeals Court denied our Motion for Rehearing, effectively concluding the reexamination proceeding. On April 3, 2014, the USPTO issued a notice canceling the patent. This unfavorable outcome of the reexamination proceeding may adversely affect the Lawson litigation, including the probable termination of the injunction described above. As noted above, court calendars and rulings are inherently unpredictable, and we cannot predict when any motion or appeal will be resolved, or the outcome thereof. | |||||
While we believe that we have a basis for our claims, these types of cases are complex in nature, are likely to have significant expenses associated with them, and we cannot predict whether we will be successful in our claim for a contempt finding or damages, whether any award ultimately received will exceed the costs incurred to pursue this matter, or how long it will take to bring this matter to resolution. | |||||
Other Matters | |||||
We may become party to various legal proceedings arising in the normal course of business, including preference payment claims asserted in customer bankruptcy proceedings, claims of alleged infringement of patents, trademarks, copyrights and other intellectual property rights, claims of alleged non-compliance with contract provisions, employment related claims, claims by competitors, vendors or customers, and claims related to alleged violations of laws and regulations. We accrue for costs associated with these contingencies when a loss is probable and the amount is reasonably estimable. Refer to Note 4, "Reserves for Credit Losses," for additional information regarding loss contingencies associated with our accounts, notes and lease-related receivables. |
EARNINGS_PER_SHARE
EARNINGS PER SHARE | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
EARNINGS PER SHARE [Abstract] | ' | ||||||||||||
EARNINGS PER SHARE | ' | ||||||||||||
8. EARNINGS PER SHARE | |||||||||||||
Basic earnings per share is computed by dividing net earnings attributable to common shares by the weighted average number of common shares outstanding for the period. Diluted net earnings per share include the potential dilution of securities that could participate in our earnings, but not securities that are anti-dilutive. Certain unvested shares of restricted stock awards (“RSAs”) contain non-forfeitable rights to dividends, whether paid or unpaid. As a result, these RSAs are considered participating securities because their holders have the right to participate in earnings with common stockholders. We use the two-class method to allocate net income between common shares and other participating securities. As of March 31, 2014, we had 45 thousand shares of RSAs that contained non-forfeitable rights to dividends, which vest over the next three months. We no longer grant RSAs that contain non-forfeitable rights to dividends. | |||||||||||||
The following table provides a reconciliation of the numerators and denominators used to calculate basic and diluted net earnings per common share as disclosed in our consolidated statements of operations for the fiscal years ended March 31, 2014, 2013, and 2012 (in thousands, except per share data). | |||||||||||||
Year Ended March 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Basic and diluted shares outstanding | |||||||||||||
Weighted average shares outstanding — basic | 7,927 | 7,810 | 8,002 | ||||||||||
Effect of dilutive shares | 72 | 93 | 93 | ||||||||||
Weighted average shares outstanding — diluted | 7,999 | 7,903 | 8,095 | ||||||||||
Calculation of earnings per share - basic | |||||||||||||
Net earnings | $ | 35,273 | $ | 34,830 | $ | 23,367 | |||||||
Net earnings attributable to participating securities | 307 | 668 | 764 | ||||||||||
Net earnings attributable to common shareholders | $ | 34,966 | $ | 34,162 | $ | 22,603 | |||||||
Earnings per share - basic | $ | 4.41 | $ | 4.37 | $ | 2.82 | |||||||
Calculation of earnings per share - diluted | |||||||||||||
Net earnings attributable to common shareholders— basic | $ | 34,966 | $ | 34,162 | $ | 22,603 | |||||||
Add: undistributed earnings attributable to participating securities | 3 | 4 | 9 | ||||||||||
Net earnings attributable to common shareholders— diluted | $ | 34,969 | $ | 34,166 | $ | 22,612 | |||||||
Earnings per share - diluted | $ | 4.37 | $ | 4.32 | $ | 2.79 | |||||||
All unexercised stock options were included in the computations of diluted earnings per common share for the years ended March 31, 2014, 2013 and 2012. |
STOCKHOLDERS_EQUITY
STOCKHOLDERS' EQUITY | 12 Months Ended |
Mar. 31, 2014 | |
STOCKHOLDERS' EQUITY [Abstract] | ' |
STOCKHOLDERS' EQUITY | ' |
9. STOCKHOLDERS’ EQUITY | |
On August 13, 2012, our Board of Directors authorized a new share repurchase plan, which authorized share repurchases up to 500,000 shares commencing on September 16, 2012 through September 15, 2013. On November 13, 2013, our Board of Directors authorized the Company to repurchase up to 750,000 shares of ePlus’ outstanding common stock over a 12-month period commencing on November 14, 2013. The purchases may be made from time to time in the open market, or in privately negotiated transactions, subject to availability. Any repurchased shares will have the status of treasury shares and may be used, when needed, for general corporate purposes. | |
During the year ended March 31, 2014, we repurchased 198,401 shares of our outstanding common stock at an average cost of $53.84 per share for a total purchase price of $10.7 million under the share repurchase plan, and 42,073 were repurchased to satisfy tax withholding obligations due to the vesting of employees’ restricted stock. During the year ended March 31, 2013, we repurchased 19,423 shares of our outstanding common stock at an average cost of $29.46 for a total purchase price of $572 thousand under the share repurchase plan, and 37,928 were repurchased to satisfy tax withholding obligations due to the vesting of employees’ restricted stock. | |
Since the inception of our initial repurchase program on September 20, 2001 to March 31, 2014, we have repurchased 4.9 million shares of our outstanding common stock at an average cost of $15.56 per share for a total purchase price of $76.0 million. |
SHAREBASED_COMPENSATION
SHARE-BASED COMPENSATION | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
SHARE-BASED COMPENSATION [Abstract] | ' | ||||||||
SHARE-BASED COMPENSATION | ' | ||||||||
10. SHARE-BASED COMPENSATION | |||||||||
Share-Based Plans | |||||||||
We have share-based awards outstanding under the following plans: (1) the 2008 Non-Employee Director Long-Term Incentive Plan (“2008 Director LTIP”), (2) the 2008 Employee Long-Term Incentive Plan (“2008 Employee LTIP”), and (3) the 2012 Employee Long-Term Incentive Plan (“2012 Employee LTIP”). For the year ended March 31, 2014, awards were issued under the 2008 Director LTIP and the 2012 Employee LTIP. All the share-based plans defined fair market value as the previous trading day's closing price when the grant date falls on a date the stock was not traded. | |||||||||
2008 Director LTIP | |||||||||
On September 15, 2008, our shareholders approved the 2008 Director LTIP that was adopted by the Board on June 25, 2008. Under the 2008 Director LTIP, 250,000 shares were authorized for grant to non-employee directors. The purpose of the 2008 Director LTIP is to align the economic interests of the directors with the interests of shareholders by including equity as a component of pay and to attract, motivate and retain experienced and knowledgeable directors. In addition, each director will receive an annual grant of restricted stock having a grant-date fair value equal to the cash compensation earned by an outside director during our fiscal year ended immediately before the respective annual grant-date. Directors may elect to receive their cash compensation in restricted stock. These restricted shares are prohibited from being sold, transferred, assigned, pledged or otherwise encumbered or disposed of. Half of these shares will vest on the one-year and second-year anniversary from the date of the grant. | |||||||||
2008 Employee LTIP | |||||||||
On September 15, 2008, our shareholders approved the 2008 Employee LTIP that was adopted by the Board on June 25, 2008. Under the 2008 Employee LTIP, 1,000,000 shares were authorized for grant of incentive stock options, nonqualified stock options, stock appreciation rights, restricted stock, restricted stock units, performance awards, or other share-based awards to ePlus employees. The purpose of the 2008 Employee LTIP was to encourage our employees to acquire a proprietary interest in the growth and performance of ePlus, thus enhancing the value of ePlus for the benefit of its stockholders, and to enhance our ability to attract and retain exceptionally qualified individuals. The 2008 Employee LTIP was administered by the Compensation Committee. Shares issuable under the 2008 Employee LTIP consisted of authorized but unissued shares or shares held in our treasury. Shares under the 2008 Employee LTIP were not used to compensate our outside directors, who may be compensated under the separate 2008 Director LTIP, as discussed above. Under the 2008 Employee LTIP, the Compensation Committee determined the time and method of exercise of the awards. Awards are no longer issued under this plan. | |||||||||
2012 Employee LTIP | |||||||||
On September 13, 2012, our shareholders approved the 2012 Employee LTIP that was adopted by the Board on July 10, 2012. Under the 2012 Employee LTIP, 750,000 shares were authorized for grant of incentive stock options, nonqualified stock options, stock appreciation rights, restricted stock, restricted stock units, performance awards, or other share-based awards to ePlus employees. The purpose of the 2012 Employee LTIP is to encourage our employees to acquire a proprietary interest in the growth and performance of ePlus, thus enhancing the value of ePlus for the benefit of its stockholders, and to enhance our ability to attract and retain exceptionally qualified individuals. The 2012 Employee LTIP is administered by the Compensation Committee. Shares issuable under the 2012 Employee LTIP may consist of authorized but unissued shares or shares held in our treasury. Shares under the 2012 Employee LTIP will not be used to compensate our outside directors, who may be compensated under the separate 2008 Director LTIP, as discussed above. Under the 2012 Employee LTIP, the Compensation Committee will determine the time and method of exercise of the awards. | |||||||||
Stock Option Activity | |||||||||
During the years ended March 31, 2014 and 2013, there were no stock options granted to employees. As of April 1, 2013, we had 40,000 options outstanding with an average exercise price between $12.73 and $15.25. During the year ended March 31, 2014, all 40,000 shares were exercised, which had an intrinsic value of $1.6 million. As of March 31, 2014, we had no outstanding stock options. | |||||||||
Restricted Stock Activity | |||||||||
We estimate the forfeiture rate of the restricted stock to be zero. As of March 31, 2014, we have granted 105,757 shares under the 2008 Director LTIP, 454,160 restricted shares under the 2008 Employee LTIP, and 77,115 restricted shares under the 2012 Employee LTIP. | |||||||||
A summary of the non-vested restricted shares is as follows: | |||||||||
Number of | Weighted | ||||||||
Shares | Average Grant- | ||||||||
date Fair Value | |||||||||
Nonvested April 1, 2013 | 246,048 | $ | 26.32 | ||||||
Granted | 87,021 | $ | 57.34 | ||||||
Vested | (132,615 | ) | $ | 24.45 | |||||
Forfeited | (334 | ) | $ | 23.06 | |||||
Nonvested March 31, 2014 | 200,120 | $ | 41.11 | ||||||
Upon each vesting period of the restricted stock awards, participants are subject to minimum tax withholding obligations. The 2008 Director LTIP, 2008 Employee LTIP and the 2012 Employee LTIP allows the Company, at the participant’s election, to withhold a sufficient number of shares due to the participant to satisfy their minimum tax withholding obligations. For the year ended March 31, 2014, the Company had withheld 42,073 shares of common stock at a value of $2.5 million, which was included in treasury stock. For the prior year ended March 31, 2013, the Company had withheld 37,928 shares of common stock at a value of $1.3 million, which was included in treasury stock. | |||||||||
Compensation Expense | |||||||||
We recognize compensation cost for awards of restricted stock with graded vesting on a straight line basis over the requisite service period and estimate the forfeiture rate to be zero, based on historical experience. There are no additional conditions for vesting other than service conditions. During the years ended March 31, 2014, 2013 and 2012 we recognized $4.0 million, $3.3 million and $2.4 million, respectively, of total share-based compensation expense. At March 31, 2014, there was no unrecognized compensation expense related to non-vested options. Unrecognized compensation expense related to non-vested restricted stock was $5.1 million, which will be fully recognized over the next 27 months. | |||||||||
We also provide our employees with a contributory 401(k) profit sharing plan. Employer contribution percentages are determined by us and are discretionary each year. The employer contributions vest pro-ratably over a four-year service period by the employees, after which, all employer contributions will be fully vested. For the years ended March 31, 2014, 2013 and 2012, our employer contributions for the plan were approximately $1.1 million, $1.1 million and $0.8 million, respectively. |
INCOME_TAXES
INCOME TAXES | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
INCOME TAXES [Abstract] | ' | ||||||||||||
INCOME TAXES | ' | ||||||||||||
11 | INCOME TAXES | ||||||||||||
We account for our tax positions in accordance with Codification Topic Income Taxes. Under the guidance, we evaluate uncertain tax positions based on the two-step approach. The first step is to evaluate each uncertain tax position for recognition by determining if the weight of available evidence indicates that it is more likely than not that the position will be sustained in an audit, including resolution of related appeals or litigation processes, if any. For tax positions that are not likely of being sustained upon audit, the second step requires us to estimate and measure the tax benefit as the largest amount that is more than 50 percent likely of being realized upon ultimate settlement. | |||||||||||||
As of March 31, 2013, we had $316 thousand of total gross unrecognized tax benefits recorded for uncertain income tax position in accordance with Income Taxes in the Codification. During the year ended March 31, 2014, this liability decreased to $149 thousand due to statutes of limitations expiring. | |||||||||||||
A reconciliation of the beginning and ending amount of gross unrecognized tax benefits is as follows (in thousands): | |||||||||||||
Year Ended March 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Beginning balance | $ | 316 | $ | 316 | |||||||||
Reductions to uncertain tax positions | (167 | ) | - | ||||||||||
Ending balance | $ | 149 | $ | 316 | |||||||||
At March 31, 2014, if the unrecognized tax benefits of $149 thousand were to be recognized, including the effect of interest, penalties and federal tax benefit, the impact would have been $193 thousand. At March 31, 2013, if the unrecognized tax benefits of $316 thousand were to be recognized, including the effect of interest, penalties and federal tax benefit, the impact would have been $434 thousand. | |||||||||||||
We recognize accrued interest and penalties related to unrecognized tax benefits in income tax expense. During the fiscal years ended March 31, 2014 and 2013, we recognized $7 thousand and $17 thousand, respectively, of interest related to uncertain tax positions, and did not recognize any additional penalties. We had $65 thousand and $197 thousand accrued for the payment of interest at March 31, 2014 and 2013, respectively. | |||||||||||||
We file income tax returns, including returns for our subsidiaries, with federal, state, local, and foreign jurisdictions. Tax years 2010, 2011 and 2012 are subjected to examination by federal and state taxing authorities. Various state and local income tax returns are also under examination by taxing authorities. We do not believe that the outcome of any examination will have a material impact on our financial statements. | |||||||||||||
A reconciliation of income taxes computed at the statutory federal income tax rate of 35% to the provision for income taxes included in the consolidated statements of operations is as follows (in thousands, except percentages): | |||||||||||||
Year Ended March 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Statutory federal income tax rate | 35 | % | 35 | % | 35 | % | |||||||
Income tax expense computed at the U.S. statutory federal rate | $ | 21,040 | $ | 20,555 | $ | 13,850 | |||||||
State income tax expense—net of federal benefit | 3,080 | 2,894 | 2,096 | ||||||||||
Non-deductible executive compensation | 248 | 150 | 152 | ||||||||||
Other | 457 | 316 | 109 | ||||||||||
Provision for income taxes | $ | 24,825 | $ | 23,915 | $ | 16,207 | |||||||
Effective income tax rate | 41.3 | % | 40.7 | % | 41 | % | |||||||
The effective income tax rate for the year ended March 31, 2014 was 41.3%, a change from 40.7% of the previous fiscal year. The change in the effective income tax rate is due to changes in state apportionment factors. | |||||||||||||
The components of the provision for income taxes are as follows (in thousands): | |||||||||||||
Year Ended March 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Current: | |||||||||||||
Federal | $ | 23,313 | $ | 20,041 | $ | 12,266 | |||||||
State | 5,033 | 4,453 | 3,088 | ||||||||||
Foreign | 15 | 36 | 59 | ||||||||||
Total current expense | 28,361 | 24,530 | 15,413 | ||||||||||
Deferred: | |||||||||||||
Federal | (3,274 | ) | (581 | ) | 814 | ||||||||
State | (262 | ) | (34 | ) | (20 | ) | |||||||
Total deferred expense (benefit) | (3,536 | ) | (615 | ) | 794 | ||||||||
Provision for income taxes | $ | 24,825 | $ | 23,915 | $ | 16,207 | |||||||
Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes. Significant components of our deferred tax assets and liabilities were as follows (in thousands): | |||||||||||||
March 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Deferred Tax Assets: | |||||||||||||
Accrued vacation | $ | 1,700 | $ | 1,345 | |||||||||
Provision for credit losses | 2,111 | 1,997 | |||||||||||
State net operating loss carryforward | 1,287 | 1,505 | |||||||||||
Book compensation on discounted stock options | - | 77 | |||||||||||
Deferred compensation | 1,010 | 898 | |||||||||||
Deferred revenue | 260 | 221 | |||||||||||
Foreign tax credit | 11 | - | |||||||||||
Federal net operating loss carry forward | 88 | 168 | |||||||||||
Other accruals and reserves | 1,740 | 2,043 | |||||||||||
Gross deferred tax assets | 8,207 | 8,254 | |||||||||||
Less: valuation allowance | (1,287 | ) | (1,505 | ) | |||||||||
Net deferred tax assets | 6,920 | 6,749 | |||||||||||
Deferred Tax Liabilities: | |||||||||||||
Basis difference in fixed assets | (1,056 | ) | (491 | ) | |||||||||
Basis difference in operating leases | (4,674 | ) | (8,765 | ) | |||||||||
Basis difference in tax deductible goodwill | (2,449 | ) | (2,288 | ) | |||||||||
Total deferred tax liabilities | (8,179 | ) | (11,544 | ) | |||||||||
Net deferred tax liabilities | $ | (1,259 | ) | $ | (4,795 | ) | |||||||
Reported as: | |||||||||||||
Deferred tax assets - current | $ | 3,742 | $ | 2,023 | |||||||||
Deferred tax liabilities - long-term | (5,001 | ) | (6,818 | ) | |||||||||
Net deferred tax liabilities | $ | (1,259 | ) | $ | (4,795 | ) | |||||||
As of March 31, 2014, we have state net operating losses of approximately $29.0 million, which will begin to expire in the year 2024. | |||||||||||||
The valuation allowance resulted from management's determination, based on available evidence, that it was more likely than not that the state net operating loss deferred tax asset balance of $1.3 million and $1.5 million as of March 31, 2014 and 2013, respectively, may not be realized. |
FAIR_VALUE_MEASUREMENTS
FAIR VALUE MEASUREMENTS | 12 Months Ended | ||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||
FAIR VALUE MEASUREMENTS [Abstract] | ' | ||||||||||||||||||||
FAIR VALUE MEASUREMENTS | ' | ||||||||||||||||||||
12. FAIR VALUE MEASUREMENTS | |||||||||||||||||||||
We account for the fair values of our assets and liabilities in accordance with Codification Topic Fair Value Measurement and Disclosure. Accordingly, we established a three-tier value hierarchy, which prioritizes the inputs used in measuring fair value. | |||||||||||||||||||||
The following tables summarize the fair value hierarchy of our financial instruments as of March 31, 2014 and 2013 (in thousands): | |||||||||||||||||||||
Fair Value Measurement Using | |||||||||||||||||||||
March 31, | Quoted Prices in | Significant Other | Significant | Total Gains | |||||||||||||||||
2014 | Active Markets | Observable Inputs | Unobservable | (Losses) | |||||||||||||||||
for Identical | (Level 2) | Inputs (Level 3) | |||||||||||||||||||
Assets (Level 1) | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Money market funds | $ | 54,267 | $ | 54,267 | $ | - | $ | - | $ | - | |||||||||||
Fair Value Measurement Using | |||||||||||||||||||||
31-Mar-13 | Quoted Prices in | Significant Other | Significant | Total Gains | |||||||||||||||||
Active Markets | Observable Inputs | Unobservable | (Losses) | ||||||||||||||||||
for Identical | (Level 2) | Inputs (Level 3) | |||||||||||||||||||
Assets (Level 1) | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Money market funds | $ | 24,140 | $ | 24,140 | $ | - | $ | - | $ | - | |||||||||||
Liabilities: | |||||||||||||||||||||
Contingent consideration | $ | 918 | $ | - | $ | - | $ | 918 | $ | - | |||||||||||
For the years ended March 31, 2014 and 2013, the adjustment to the fair value of the contingent consideration was an increase of $355 thousand and increase of $99 thousand, respectively, which was presented within general and administrative expenses in our consolidated statement of operations. We paid $1,273 thousand in consideration to satisfy our contingent liability. As of March 31, 2014, there were no outstanding amounts due under the contingent consideration arrangement. |
BUSINESS_COMBINATIONS
BUSINESS COMBINATIONS | 12 Months Ended | |
Mar. 31, 2014 | ||
BUSINESS COMBINATIONS [Abstract] | ' | |
BUSINESS COMBINATIONS | ' | |
13 | BUSINESS COMBINATIONS | |
On November 14, 2013, our subsidiary, ePlus Technology, inc., acquired the assets of AdviStor, Inc., a storage-focused solutions provider located in Pittsford, New York for $2.8 million in cash. As a result of the acquisition, we expanded our existing presence in upstate New York and added enhanced storage engineering and sales delivery capabilities. The purchase price has been allocated to the assets acquired and liabilities assumed based on their estimated fair values on the transaction date, including identifiable intangible assets of $1.6 million related to customer relationships with an estimated useful life of 6 years, and other net assets of $375 thousand. We recognized goodwill related to this transaction of $0.9 million, which was assigned to our technology reporting unit. All goodwill associated with this acquisition is deductible for tax purposes. |
SEGMENT_REPORTING
SEGMENT REPORTING | 12 Months Ended | ||||||||||||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||||||||||||
SEGMENT REPORTING [Abstract] | ' | ||||||||||||||||||||||||||||||||||||
SEGMENT REPORTING | ' | ||||||||||||||||||||||||||||||||||||
14 | SEGMENT REPORTING | ||||||||||||||||||||||||||||||||||||
Our operations are conducted through two business segments. Our technology segment includes sales of information technology products, third-party software, third-party maintenance, advanced professional and managed services and our proprietary software to commercial, state and local governments, and government contractors. Our financing segment consists of the financing of IT equipment, software and related services to commercial, state and local governments, and government contractors. Our reportable segment information was as follows (in thousands): | |||||||||||||||||||||||||||||||||||||
Year Ended March 31, | |||||||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||||||||||||||
Technology | Financing | Total | Technology | Financing | Total | Technology | Financing | Total | |||||||||||||||||||||||||||||
Sales of product and services | $ | 1,013,374 | $ | - | $ | 1,013,374 | $ | 936,228 | $ | - | $ | 936,228 | $ | 784,951 | $ | - | $ | 784,951 | |||||||||||||||||||
Financing revenue | - | 35,896 | 35,896 | - | 38,384 | 38,384 | - | 30,899 | 30,899 | ||||||||||||||||||||||||||||
Fee and other income | 8,037 | 229 | 8,266 | 6,949 | 1,551 | 8,500 | 7,455 | 2,276 | 9,731 | ||||||||||||||||||||||||||||
Total revenues | 1,021,411 | 36,125 | 1,057,536 | 943,177 | 39,935 | 983,112 | 792,406 | 33,175 | 825,581 | ||||||||||||||||||||||||||||
Cost of sales, product and services | 827,875 | - | 827,875 | 767,447 | - | 767,447 | 645,558 | - | 645,558 | ||||||||||||||||||||||||||||
Direct lease costs | - | 12,748 | 12,748 | - | 10,892 | 10,892 | - | 8,508 | 8,508 | ||||||||||||||||||||||||||||
Professional and other fees | 7,557 | 1,484 | 9,041 | 9,638 | 3,460 | 13,098 | 10,283 | 1,461 | 11,744 | ||||||||||||||||||||||||||||
Salaries and benefits | 113,481 | 9,670 | 123,151 | 100,447 | 10,516 | 110,963 | 88,321 | 9,947 | 98,268 | ||||||||||||||||||||||||||||
General and administrative expenses | 21,103 | 1,572 | 22,675 | 19,028 | 1,071 | 20,099 | 16,627 | 3,872 | 20,499 | ||||||||||||||||||||||||||||
Interest and financing costs | 84 | 1,864 | 1,948 | 89 | 1,779 | 1,868 | 93 | 1,337 | 1,430 | ||||||||||||||||||||||||||||
Total costs and expenses | 970,100 | 27,338 | 997,438 | 896,649 | 27,718 | 924,367 | 760,882 | 25,125 | 786,007 | ||||||||||||||||||||||||||||
Earnings before provision for income taxes | $ | 51,311 | $ | 8,787 | $ | 60,098 | $ | 46,528 | $ | 12,217 | $ | 58,745 | $ | 31,524 | $ | 8,050 | $ | 39,574 | |||||||||||||||||||
Depreciation and amortization | $ | 2,838 | $ | 11,917 | $ | 14,755 | $ | 2,369 | $ | 9,799 | $ | 12,168 | $ | 1,476 | $ | 7,889 | $ | 9,365 | |||||||||||||||||||
Purchases of property, equipment and operating lease equipment | $ | 4,238 | $ | 5,714 | $ | 9,952 | $ | 1,401 | $ | 14,183 | $ | 15,584 | $ | 1,568 | $ | 6,087 | $ | 7,655 | |||||||||||||||||||
Total assets | $ | 335,879 | $ | 217,966 | $ | 553,845 | $ | 255,257 | $ | 184,638 | $ | 439,895 | $ | 241,488 | $ | 192,200 | $ | 433,688 | |||||||||||||||||||
The geographic information for the years ended March 31, 2014, 2013 and 2012 was as follows (in thousands): | |||||||||||||||||||||||||||||||||||||
Year Ended March 31, | |||||||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||||||||||||||
Revenue | |||||||||||||||||||||||||||||||||||||
U.S. | $ | 1,042,446 | $ | 964,996 | $ | 812,364 | |||||||||||||||||||||||||||||||
Non U.S. | 15,090 | 18,116 | 13,217 | ||||||||||||||||||||||||||||||||||
Total | $ | 1,057,536 | $ | 983,112 | $ | 825,581 | |||||||||||||||||||||||||||||||
As of March 31, | |||||||||||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||||||||
U.S. | $ | 551,723 | $ | 437,509 | |||||||||||||||||||||||||||||||||
Non U.S. | 2,122 | 2,386 | |||||||||||||||||||||||||||||||||||
Total | $ | 553,845 | $ | 439,895 | |||||||||||||||||||||||||||||||||
For the year ended March 31, 2014, and 2013, sales to a large telecommunications company were approximately 11% and 14%, respectively, of total revenues, all of which related to our technology segment. No customer accounted for more than 10% of our revenues for the year ended March 31, 2012. |
QUARTERLY_DATA_UNAUDITED
QUARTERLY DATA -UNAUDITED | 12 Months Ended | ||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||
QUARTERLY DATA -UNAUDITED [Abstract] | ' | ||||||||||||||||||||
QUARTERLY DATA -UNAUDITED | ' | ||||||||||||||||||||
15 | QUARTERLY DATA —UNAUDITED | ||||||||||||||||||||
Condensed quarterly financial information is as follows (amounts in thousands, except per share amounts): | |||||||||||||||||||||
Year Ended March 31, 2014 | |||||||||||||||||||||
First | Second | Third | Fourth | Annual | |||||||||||||||||
Quarter | Quarter | Quarter | Quarter | Amount | |||||||||||||||||
Total revenues | $ | 259,317 | $ | 271,129 | $ | 267,182 | $ | 259,908 | $ | 1,057,536 | |||||||||||
Total costs and expenses | 245,964 | 256,434 | 249,129 | 245,911 | 997,438 | ||||||||||||||||
Earnings before provision for income taxes | 13,353 | 14,695 | 18,053 | 13,997 | 60,098 | ||||||||||||||||
Provision for income taxes | 5,503 | 6,104 | 7,443 | 5,775 | 24,825 | ||||||||||||||||
Net earnings | $ | 7,850 | $ | 8,591 | $ | 10,610 | $ | 8,222 | $ | 35,273 | |||||||||||
Net earnings per common share—Basic (1) | $ | 0.98 | $ | 1.07 | $ | 1.33 | $ | 1.04 | $ | 4.41 | |||||||||||
Net earnings per common share—Diluted (1) | $ | 0.97 | $ | 1.06 | $ | 1.32 | $ | 1.03 | $ | 4.37 | |||||||||||
Year Ended March 31, 2013 | |||||||||||||||||||||
First | Second | Third | Fourth | Annual | |||||||||||||||||
Quarter | Quarter | Quarter | Quarter | Amount | |||||||||||||||||
Total revenues | $ | 244,724 | $ | 260,051 | $ | 242,025 | $ | 236,312 | $ | 983,112 | |||||||||||
Total costs and expenses | 231,161 | 243,143 | 226,496 | 223,567 | 924,367 | ||||||||||||||||
Earnings before provision for income taxes | 13,563 | 16,908 | 15,529 | 12,745 | 58,745 | ||||||||||||||||
Provision for income taxes | 5,501 | 6,875 | 6,496 | 5,043 | 23,915 | ||||||||||||||||
Net earnings | $ | 8,062 | $ | 10,033 | $ | 9,033 | $ | 7,702 | $ | 34,830 | |||||||||||
Net earnings per common share—Basic (1) | $ | 1.01 | $ | 1.26 | $ | 1.11 | $ | 0.96 | $ | 4.37 | |||||||||||
Net earnings per common share—Diluted (1) | $ | 1 | $ | 1.25 | $ | 1.11 | $ | 0.95 | $ | 4.32 | |||||||||||
-1 | Basic and diluted earnings per share are computed independently for each of the quarters presented. Therefore, the sum of quarterly basic and diluted per share information may not equal annual basic and diluted earnings per share. |
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Mar. 31, 2014 | |
SUBSEQUENT EVENTS [Abstract] | ' |
SUBSEQUENT EVENTS | ' |
16. SUBSEQUENT EVENTS | |
In May 2014, a secondary offering took place in which selling shareholders sold 1,810,000 shares of ePlus inc. common stock, including shares subject to an over-allotment option. The Company did not receive proceeds from these sales. In connection with the secondary offering, the Company repurchased 400,000 shares of its common stock sold to the underwriters in the secondary offering for $19.0 million at a price per share equal to the price paid by the underwriters to purchase the shares from the selling shareholders in the offering. |
Schedule_II_Valuation_and_Qual
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended | ||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||
Schedule II - Valuation and Qualifying Accounts [Abstract] | ' | ||||||||||||||||
Schedule II - Valuation and Qualifying Accounts | ' | ||||||||||||||||
ePlus inc. AND SUBSIDIARIES | |||||||||||||||||
Schedule II - Valuation and Qualifying Accounts | |||||||||||||||||
(Dollars in thousands) | |||||||||||||||||
Balance at | Charged to | Deductions/ | Balance at End | ||||||||||||||
Beginning of | Costs and | Write-Offs | of Period | ||||||||||||||
Period | Expenses | ||||||||||||||||
Allowance for Sales Returns (1) | |||||||||||||||||
Year Ended March 31, 2012 | $ | 347 | $ | 1,054 | $ | (974 | ) | $ | 427 | ||||||||
Year Ended March 31, 2013 | 427 | 1,404 | (1,288 | ) | 543 | ||||||||||||
Year Ended March 31, 2014 | 543 | 1,079 | (1,030 | ) | 592 | ||||||||||||
Reserve for Credit Losses | |||||||||||||||||
Year Ended March 31, 2012 | $ | 2,771 | $ | 3,212 | $ | (377 | ) | $ | 5,606 | ||||||||
Year Ended March 31, 2013 | 5,606 | (333 | ) | (144 | ) | 5,129 | |||||||||||
Year Ended March 31, 2014 | 5,129 | 750 | (127 | ) | 5,752 | ||||||||||||
Valuation for Deferred Taxes | |||||||||||||||||
Year Ended March 31, 2012 | $ | 1,296 | $ | (79 | ) | $ | - | $ | 1,217 | ||||||||
Year Ended March 31, 2013 | 1,217 | 288 | - | 1,505 | |||||||||||||
Year Ended March 31, 2014 | 1,505 | (218 | ) | - | 1,287 | ||||||||||||
-1 | These amounts represent the gross margin effect of sales returns during the respective years. Expected merchandise returns after year-end for sales made before year-end were $3.6 million, $3.4 million, and $3.2 million as of March 31, 2014, 2013, and 2011, respectively. |
ORGANIZATION_AND_SUMMARY_OF_SI1
ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended | ||
Mar. 31, 2014 | |||
ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES [Abstract] | ' | ||
BASIS OF PRESENTATION | ' | ||
BASIS OF PRESENTATION — Our company was founded in 1990 and is a Delaware corporation. ePlus inc. is sometimes referred to in this Annual Report on Form 10-K as “we,” “our,” “us,” “ourselves,” or “ePlus.” The consolidated financial statements include the accounts of ePlus inc. and its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. The accounts of businesses acquired during fiscal years 2014, 2013, and 2012 are included in the consolidated financial statements from the dates of acquisition. | |||
USE OF ESTIMATES | ' | ||
USE OF ESTIMATES — The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting periods. Estimates are used when accounting for items and matters including, but not limited to, revenue recognition, residual values, vendor consideration, lease classification, goodwill and intangibles, reserves for credit losses, inventory obsolescence, and the recognition and measurement of income tax assets and other provisions and contingencies. We base our estimates on historical experience and on various other assumptions that we believe to be reasonable under the circumstances. Actual results may differ from these estimates. | |||
REVENUE RECOGNITION | ' | ||
REVENUE RECOGNITION — The majority of our revenues are derived from the following sources: sales of third-party products, software, software assurance, maintenance and services; sales of our services and software and financing revenues. For all these revenue sources, we determine whether we are the principal or agent in accordance with Accounting Standards Codification (“Codification”) Topic, Revenue Recognition, Subtopic Principal Agent Considerations. Our revenue recognition policies vary based upon these revenue sources. | |||
For arrangements with multiple elements, we allocate the total consideration to the deliverables based on an estimated selling price of our products and services. We determine the estimated selling price using cost plus a reasonable margin for each deliverable, which was based on our established policies and procedures for providing customers with quotes, as well as historical gross margins for our products and services. | |||
Sales of Product and Services | |||
Generally, sales of third-party product and software are recognized when the title and risk of loss are passed to the customer, there is persuasive evidence of an arrangement for sale, delivery has occurred, the sales price is fixed or determinable and collectability is reasonably assured. Using these tests, the vast majority of our product sales are recognized upon delivery due to our sales terms with our customers and with our vendors. For proper cutoff, we estimate the product delivered to our customers at the end of each quarter based upon an analysis of current quarter and historical delivery dates. | |||
Revenues from ePlus advanced professional services are generally recognized when the services are complete. Revenues from other ePlus services, such as maintenance, managed services and hosting services are recognized on a straight-line basis over the term of the arrangement. | |||
We sell software assurance, maintenance and service contracts where the services are performed by a third-party. Software assurance is a maintenance product that allows customers to upgrade at no additional cost to the latest technology if new applications are introduced during the period that the software assurance is in effect. As we enter into contracts with third-party service providers, we evaluate whether we are acting as a principal or agent in the transaction. As our customers are aware that the third-party service provider is to provide the services to them and that we are not responsible for the day-to-day provision of services in these arrangements, we concluded that we are acting as an agent and recognize revenue on a net basis at the date of sale. Under net sales recognition, the cost paid to the third-party service provider or vendor is recorded as a reduction to sales of product and services. Gross billings for products and services were $1,276 million, $1,164 million, and $978 million for the years ended March 31, 2014, 2013 and 2012, respectively. | |||
We present freight billed to our customers within sales of product and services, and the related freight charged to us within cost of sales, product and services. Sales tax amounts collected from customers for remittance to governmental authorities are presented on a net basis. | |||
Financing Revenue | |||
We lease products to customers that are accounted for in accordance with Codification Topic, Leases. In connection with those leases, we may also finance third-party software and services for our customers, which are classified as notes receivable. The terms of the notes receivable are often similar to the terms of the leases of IT equipment; that is, receivables are interest bearing and are often due over a period of time that corresponds with the terms of the leased IT equipment. | |||
The accounting for investments in leases and leased equipment is different depending on the type of lease. Each lease is classified as either a direct financing lease, sales-type lease, or operating lease, as appropriate. If a lease meets one or more of the following four criteria, the lease is classified as either a sales-type or direct financing lease; otherwise, it will be classified as an operating lease: | |||
· | the lease transfers ownership of the property to the lessee by the end of the lease term; | ||
· | the lease contains a bargain purchase option; | ||
· | the lease term is equal to 75 percent or more of the estimated economic life of the leased property; or | ||
· | the present value at the beginning of the lease term of the minimum lease payments equals or exceeds 90 percent of the fair value of the leased property at the inception of the lease. | ||
Revenue on direct financing and sales-type leases is deferred at the inception of the leases and is recognized over the term of the lease using the interest method. Revenue from operating leases is recognized ratably on a straight line basis over the term of the lease agreement. | |||
Codification Topic Transfers and Servicing, Subtopic Sales of Financial Assets, establishes criteria for determining whether a transfer of financial assets in exchange for cash or other consideration should be accounted for as a sale or as a pledge of collateral in a secured borrowing. Certain assignments of notes receivable and direct finance and sales-type leases we make on a non-recourse basis meet the criteria for surrender of control set forth by this subtopic and have therefore been treated as sales in our financial results. We recognize a net gain or loss on these transactions, which is included within financing revenue in our consolidated statements of operations. | |||
Revenues on the sales of equipment at the end of a lease are recognized at the date of sale. The net gain or loss on sales of such equipment is presented within financing revenues in our consolidated statements of operations. | |||
Software License Sales | |||
We recognize revenue for the licensing and hosting of our software in accordance with Codification Topic Software, Subtopic Revenue Recognition. We recognize revenue when all the following criteria exist: | |||
· | there is persuasive evidence that an arrangement exists; | ||
· | delivery has occurred; | ||
· | no significant obligations by us remain, which relate to services essential to the functionality of the software with regard to implementation; | ||
· | the sales price is determinable; and | ||
· | it is probable that collection will occur. | ||
The majority of our agreements are fixed term license agreements and the revenue is recognized over the contract term. Revenue from the sale of a perpetual license is recognized upon installation of the software. We recognize revenue from hosting our proprietary software for our customers over the contract term. Our hosting arrangements do not contain a contractual right to take possession of the software. Revenue from sales of our software is derived by our technology segment and is included in fee and other income on our consolidated statements of operations. | |||
Revenue from Other Transactions | |||
Other sources of revenue are derived from: (1) income from events that occur after the initial sale of a financial asset; (2) remarketing fees; (3) agent fees received from various vendors in the technology segment; (4) settlement fees related to disputes or litigation; and (5) interest and other miscellaneous income. These revenues are included in fee and other income on our consolidated statements of operations. | |||
FINANCING RECEIVABLES AND OPERATING LEASES | ' | ||
FINANCING RECEIVABLES AND OPERATING LEASES — Financing receivables and operating leases consists of notes receivable, direct financing, sales-type leases and operating leases. The terms of lease and financing arrangements are typically between 2 to 5 years, with an average term of 36-38 months. | |||
Notes receivables consist of software and services that we finance for our customers. Interest income is recognized using the effective interest method and reported within financing revenue in our consolidated statement of operations. | |||
At the inception of our direct financing and sales-type leases, we record the net investment in leases, which consists of the sum of the minimum lease payments, initial direct costs (direct financing leases only), and unguaranteed residual value (gross investment) less the unearned income. For direct financing leases, the difference between the gross investment and the cost of the leased equipment is recorded as unearned income at the inception of the lease. Under sales-type leases, the difference between the fair value and cost of the leased property plus initial direct costs (net margins) is recorded as unearned revenue at the inception of the lease. | |||
At the inception of an operating lease, equipment under operating leases is recorded at cost and depreciated on a straight-line basis over its useful life to the estimated residual value. The estimated useful lives for equipment under operating leases ranges based on the nature of the equipment. The estimated useful life for information technology equipment is 42 months, while that of medical equipment is between 48 and 60 months. | |||
VENDOR CONSIDERATION | ' | ||
VENDOR CONSIDERATION — We receive payments and credits from vendors, including consideration pursuant to volume incentive programs and shared marketing expense programs. Many of these programs extend over one or more quarters’ sales activities. Different programs have different vendor/program specific goals to achieve. We estimate the amount of vendor consideration earned when it is probable and reasonably estimable using the best information available, including historical data. Amounts due from vendors as of March 31, 2014 and 2013 were $14.4 million and $11.9 million, respectively, which were included within accounts receivable-other, net in the accompanying balance sheets. | |||
· | Vendor consideration received pursuant to volume purchase incentive programs is allocated to inventory based on the applicable incentives from each vendor and is recorded in cost of sales, product and services, as the inventory is sold. | ||
· | Vendor consideration received pursuant to shared marketing expense programs is recorded as a reduction of the related selling and administrative expenses in the period the program takes place only if the consideration represents a reimbursement of specific, incremental, identifiable costs. Consideration that exceeds the specific, incremental, identifiable costs is classified as a reduction of cost of sales, product and services. | ||
RESIDUAL VALUES | ' | ||
RESIDUAL VALUES — Residual values, representing the unguaranteed estimated value of equipment at the termination of a lease, are recorded at the inception of each lease. The estimated residual values vary, both in amount and as a percentage of the original equipment cost, and depend upon several factors, including the equipment type, vendor's discount, market conditions, term of the lease, equipment supply and demand and by new product announcements by vendors. | |||
Unguaranteed residual values for direct financing and sales-type leases are recorded at their net present value and the unearned income is amortized over the life of the lease using the interest method. The residual values for operating leases are included in the leased equipment’s net book value. | |||
Residual values are evaluated on a quarterly basis and any impairment, other than temporary, is recorded in the period in which the impairment is determined. No upward revision of residual values is made subsequent to lease inception. | |||
RESERVES FOR CREDIT LOSSES | ' | ||
RESERVES FOR CREDIT LOSSES — Our receivables consist of trade and other accounts receivable and financing receivables. We maintain our reserves for credit losses at a level believed to be adequate to absorb potential losses inherent in the respective balances. The reserve for credit losses is increased by provisions for potential credit losses, which increases expenses, and decreased by subsequent recoveries. The reserve for credit losses is decreased by write-offs and reductions to the provision for potential credit losses. Accounts are either written off or written down when the loss is both probable and determinable. | |||
Management’s determination of the adequacy of the reserves for credit losses for accounts receivable is based on the age of the receivable balance, the customer’s credit quality rating, an evaluation of historical credit losses, current economic conditions, and other relevant factors. Management’s determination of the adequacy of the reserve for credit losses for financing receivables may be based on the following factors: an internally assigned credit quality rating, historical credit loss experience, current economic conditions, volume, growth, the composition of the lease portfolio, the fair value of the underlying collateral, and the funding status (i.e. not funded, funded on a recourse or partial recourse basis, or funded on non-recourse basis). We assign an internal credit quality rating to each customer at the inception of the lease based on the customer’s financial status, rating agency reports and other financial information. We update the internal credit quality rating at least annually or when an indicator of a change in credit quality arises, such as a delinquency or bankruptcy. Also, management regularly reviews financing receivables to assess whether any balances should be impaired or placed on nonaccrual status. | |||
RESERVES FOR SALES RETURNS | ' | ||
RESERVES FOR SALES RETURNS — Sales of product and services are reported net of allowances for returns which is maintained at a level believed by management to be adequate to absorb potential returns of sales of product and services in accordance with Codification Topic Revenue, Subtopic Product. Management's determination of the adequacy of the reserve is based on an evaluation of historical sales returns, current economic conditions, volume and other relevant factors. These determinations require considerable judgment in assessing the ultimate potential for sales returns and include consideration of the type and volume of products and services sold. | |||
CASH AND CASH EQUIVALENTS | ' | ||
CASH AND CASH EQUIVALENTS — We consider all highly liquid investments, including those with an original maturity of three months or less at the date of acquisition, to be cash equivalents. Cash and cash equivalents consist primarily of interest-bearing accounts and money market funds that consist of short-term U.S. treasury securities. There were no restrictions on the withdrawal of funds from our money market accounts as of March 31, 2014 and March 31, 2013. | |||
SHORT-TERM INVESTMENTS | ' | ||
SHORT-TERM INVESTMENTS — We consider certificates of deposits with original maturities at the date of acquisition greater than 90 days but less than one year as short-term investments. Interest income is recognized when earned. | |||
INVENTORIES | ' | ||
INVENTORIES — Inventories are stated at the lower of cost (weighted average basis) or market and are shown net of allowance for obsolescence of $180 thousand and $125 thousand as of March 31, 2014 and 2013, respectively. | |||
DEFERRED COSTS AND DEFERRED REVENUES | ' | ||
DEFERRED COSTS AND DEFERRED REVENUES — Deferred costs include internal and third party costs associated with deferred revenue arrangements. Deferred revenue relates to professional, managed and hosting service. | |||
PROPERTY AND EQUIPMENT | ' | ||
PROPERTY AND EQUIPMENT — Property and equipment are stated at cost, net of accumulated depreciation and amortization. Property and equipment obtained through an acquisition are stated at the fair market value as of the acquisition date. Depreciation and amortization are computed using the straight-line method over the estimated useful lives of the related assets, which range from three to ten years. Information Technology equipment is depreciated over three years. Perpetual software licenses are depreciated over five years. Furniture and certain fixtures are depreciated over five to ten years. Telecommunications equipment is depreciated over seven years. | |||
CAPITALIZATION OF COSTS OF SOFTWARE FOR INTERNAL USE | ' | ||
CAPITALIZATION OF COSTS OF SOFTWARE FOR INTERNAL USE — We capitalize costs for the development of internal use software under the guidelines of Codification Topic Intangibles—Goodwill and Other Intangibles, Subtopic Internal-Use Software. Software capitalized for internal use was $373 thousand and $171 thousand during the years ended March 31, 2014 and March 31, 2013, respectively, and is included in the accompanying consolidated balance sheets as a component of goodwill and other intangible assets. We had capitalized costs, net of amortization, of approximately $882 thousand and $766 thousand at March 31, 2014 and March 31, 2013, respectively. | |||
CAPITALIZATION OF COSTS OF SOFTWARE TO BE MADE AVAILABLE TO CUSTOMERS | ' | ||
CAPITALIZATION OF COSTS OF SOFTWARE TO BE MADE AVAILABLE TO CUSTOMERS — In accordance with Codification Topic Software, Subtopic Costs of Software to Be Sold, Leased, or Marketed, software development costs are expensed as incurred until technological feasibility has been established. At such time, such costs are capitalized until the product is made available for release to customers. We capitalized $305 thousand and $351 thousand for the years ended March 31, 2014 and March 31, 2013, respectively. We had $789 thousand and $642 thousand of capitalized costs, net of amortization, at March 31, 2014 and March 31, 2013, respectively, which is included within goodwill and other intangible assets in the accompanying balance sheets. | |||
GOODWILL | ' | ||
GOODWILL— Goodwill represents the premium paid over the fair value of net tangible and intangible assets we have acquired in business combinations. Goodwill is assigned to a reporting unit on the acquisition date. During the year ended March 31, 2014, we made an acquisition for the Technology reporting unit and have assigned goodwill to the Technology reporting unit. We have four reporting units based on the nature of the products and services offered: financing, technology, software procurement, and software document management. | |||
We review our goodwill for impairment annually in the third quarter of our fiscal year, or more frequently if indicators of impairment exist. A significant amount of judgment is involved in determining if an indicator of impairment has occurred. Such indicators may include a sustained, significant decline in our share price and market capitalization, a decline in our expected future cash flows, a significant adverse change in legal factors or in the business climate, unanticipated competition, and/or slower growth rates, among others. | |||
We first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount. Qualitative factors we consider include, but are not limited to, macroeconomic conditions, industry and market conditions, company specific events, changes in circumstances, after tax cash flows and market capitalization. If the qualitative factors indicate that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, we perform the two step process to assess our goodwill for impairment. First, we compare the fair value of our reporting units with its carrying value. We estimate the fair value of the reporting unit using various valuation methodologies, including discounted expected future cash flows. If the fair value of the reporting unit exceeds its carrying value, goodwill is not impaired, and no further testing is necessary. If the net book value of our reporting unit exceeds its fair value, we perform a second test to measure the amount of impairment loss, if any. To measure the amount of any impairment loss, we determine the fair value of goodwill in the same manner as if our reporting unit were being acquired in a business combination. Specifically, we allocate the fair value of the reporting unit to all of the assets and liabilities of that unit, including any unrecognized intangible assets, in a hypothetical calculation that would yield the estimated fair value of goodwill. If the estimated fair value of goodwill is less than the goodwill recorded on our balance sheet, we record an impairment charge for the difference. | |||
FAIR VALUE MEASUREMENT | ' | ||
FAIR VALUE MEASUREMENT — We follow the guidance in Codification Topic Fair Value Measurements and Disclosures which governs fair value accounting for financial assets and liabilities and non-financial assets and liabilities that are recognized or disclosed at fair value in the financial statements. The Company defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities, which are required to be disclosed at fair value, the Company considers the principal or most advantageous market in which the Company would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability, such as risk inherent in valuation techniques, transfer restrictions and credit risk. Topic Fair Value Measurements and Disclosures establishes a three-tier value hierarchy, which prioritizes the inputs used in measuring fair value and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement as follows: | |||
· | Level 1 – Observable inputs such as quoted prices for identical assets and liabilities in active markets; | ||
· | Level 2 – Inputs other than quoted prices, such as quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data. | ||
· | Level 3 – Unobservable inputs reflecting the Company’s own assumptions, consistent with reasonably available assumptions made by other market participants. | ||
This hierarchy requires us to use observable market data, when available, and to minimize the use of unobservable inputs when determining fair value. As of March 31, 2014, we measure money market funds at fair value on a recurring basis, which is based on quoted net asset values. Our goodwill is subjected to non-recurring fair value measurement. For financial instruments such as cash, short-term investments, accounts receivables, financing receivables, accounts payable and other current liabilities, we consider the recorded value of the financial instruments to approximate the fair value due to their short maturities. At March 31, 2014, the carrying amount of notes receivables, recourse and non-recourse payables were $40.7 million, $3.6 million and $65.3 million, respectively and the fair value of notes receivables, recourse and non-recourse payables were $42.4 million, $3.6 million and $65.4 million, respectively. At March 31, 2013, the carrying amount of notes receivables, recourse and non-recourse payables were $31.9 million, $1.5 million and $40.3 million, respectively and the fair value of notes receivables, recourse and non-recourse payables were $32.4 million, $1.5 million and $42.1 million, respectively. | |||
TREASURY STOCK | ' | ||
TREASURY STOCK — We account for treasury stock under the cost method and include treasury stock as a component of stockholders’ equity on the accompanying consolidated balance sheets. | |||
INCOME TAXES | ' | ||
INCOME TAXES — Deferred income taxes are accounted for in accordance with Codification Topic Income Taxes. Under this method, deferred income tax assets and liabilities are determined based on the temporary differences between the financial statement reporting and tax bases of assets and liabilities, using tax rates currently in effect. Future tax benefits, such as net operating loss carry-forwards, are recognized to the extent that realization of these benefits is considered to be more likely than not. We review our deferred tax assets at least annually and make necessary valuation adjustments. | |||
In addition, we account for uncertain tax positions in accordance with Codification Topic Income Taxes. Specifically, the Topic prescribes a recognition threshold and a measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. The interpretation also provides guidance on the related de-recognition, classification, interest and penalties, accounting for interim periods, disclosure and transition of uncertain tax positions. In accordance with our accounting policy, we recognize accrued interest and penalties related to unrecognized tax benefits as a component of tax expense. | |||
EARNINGS PER SHARE | ' | ||
EARNINGS PER SHARE — Earnings per share is calculated using the two-class method. Basic earnings per share is calculated by dividing net earnings attributable to common shareholders by the basic weighted average number of shares of common stock outstanding during each period. Diluted earnings per share reflects the potential dilution of securities that could participate in our earnings, including incremental shares issuable upon the assumed exercise of “in-the-money” stock options and other common stock equivalents during each period. | |||
SHARE-BASED COMPENSATION | ' | ||
SHARE-BASED COMPENSATION — We account for share-based compensation in accordance with Codification Topic Compensation—Stock Compensation. We recognize compensation cost for awards of restricted stock with graded vesting on a straight line basis over the requisite service period and we estimate forfeitures based on historical experience. There are no additional conditions for vesting other than service conditions. | |||
BUSINESS COMBINATIONS | ' | ||
BUSINESS COMBINATIONS — We account for business combinations using the acquisition method in accordance with Codification Topic Business Combinations, which requires that the total purchase price of each of the acquired entities be allocated to the assets acquired and liabilities assumed based on their fair values at the acquisition date. The allocation process requires an analysis of intangible assets, such as customer relationships, trade names, acquired contractual rights and assumed contractual commitments and legal contingencies to identify and record all assets acquired and liabilities assumed at their fair value. | |||
Any premium paid over the fair value of the net tangible and intangible assets of the acquired business is recorded as goodwill. We recognize a gain in our income statement to the extent the purchase price is less than the fair value of assets acquired and liabilities assumed. The results of operations for an acquired company are included in our financial statements from the date of acquisition. | |||
CONCENTRATIONS OF RISK | ' | ||
CONCENTRATIONS OF RISK — Financial instruments that potentially subject us to concentrations of credit risk include cash and cash equivalents, short-term investments, accounts receivable, notes receivable and investments in direct financing and sales-type leases. Cash and cash equivalents and short-term investments are maintained principally with financial institutions in the United States, which have high credit ratings. Risk on accounts receivable, notes receivable and investments in direct financing and sales-type leases is reduced by the large number of diverse industries comprising our customer base and through the ongoing evaluation of collectability of our portfolio. Our credit risk is further mitigated through the underlying collateral and whether the lease is funded with recourse or non-recourse notes payable. | |||
A substantial portion of our sales of product and services are from sales of Cisco Systems, Hewlett-Packard, and NetApp products, which represented approximately 48%, 10% and 8%, respectively, of our technology segment sales of product and services for the year ended March 31, 2014, as compared to 48%, 11%, and 7%, respectively, of our technology segment sales of product and services for the year ended March 31, 2013, and 45%, 15%, and 7%, respectively, for the year ended March 31, 2012. Any changes in our vendors’ ability to provide products could have a material adverse effect on our business, results of operations and financial condition. | |||
For the year ended March 31, 2014, and 2013, sales to a large telecommunications company were approximately 11% and 14%, respectively, of total revenues, all of which related to our technology segment. No customer accounted for more than 10% of our revenues for the year ended March 31, 2012. | |||
RECLASSIFICATIONS | ' | ||
RECLASSIFICATIONS — Historically, we have not presented a classified balance sheet due to the significant portion of assets within our financing segment, which has an operating cycle of more than one year. However, the percent of our total assets used in our technology segment, which has an operating cycle of less than one year, has increased. Accordingly, we are now of the view that a classified balance sheet is a better depiction of our consolidated operating cycle. All prior period amounts were updated to conform to this presentation. |
FINANCING_RECEIVABLES_AND_OPER1
FINANCING RECEIVABLES AND OPERATING LEASES (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
FINANCING RECEIVABLES AND OPERATING LEASES [Abstract] | ' | ||||||||||||
Components of Notes Receivable Net and Investments in Leases | ' | ||||||||||||
Our financing receivables, net consist of the following (in thousands): | |||||||||||||
31-Mar-14 | Notes | Lease-Related | Total Financing | ||||||||||
Receivables | Receivables | Receivables | |||||||||||
Minimum payments | $ | 43,707 | $ | 81,551 | $ | 125,258 | |||||||
Estimated unguaranteed residual value (1) | - | 8,275 | 8,275 | ||||||||||
Initial direct costs, net of amortization (2) | 354 | 537 | 891 | ||||||||||
Unearned income | - | (6,285 | ) | (6,285 | ) | ||||||||
Reserve for credit losses (3) | (3,364 | ) | (1,024 | ) | (4,388 | ) | |||||||
Total, net | $ | 40,697 | $ | 83,054 | $ | 123,751 | |||||||
Reported as: | |||||||||||||
Current | $ | 22,109 | $ | 35,640 | $ | 57,749 | |||||||
Long-term | 18,588 | 47,414 | 66,002 | ||||||||||
Total, net | $ | 40,697 | $ | 83,054 | $ | 123,751 | |||||||
-1 | Includes estimated unguaranteed residual values of $3,034 thousand for direct financing leases, which have been sold and accounted for as sales under Codification Topic Transfers and Servicing. | ||||||||||||
-2 | Initial direct costs are shown net of amortization of $525 thousand. | ||||||||||||
-3 | For details on reserve for credit losses, refer to Note 4, “Reserves for Credit Losses.” | ||||||||||||
Future Scheduled Minimum Lease Payments | ' | ||||||||||||
Future scheduled minimum lease payments for investments in direct financing and sales-type leases as of March 31, 2014 are as follows (in thousands): | |||||||||||||
Year ending March 31, 2015 | $ | 38,536 | |||||||||||
2016 | 26,495 | ||||||||||||
2017 | 13,790 | ||||||||||||
2018 | 2,513 | ||||||||||||
2019 and thereafter | 217 | ||||||||||||
Total | $ | 81,551 | |||||||||||
Investment in Operating Lease Equipment - Net | ' | ||||||||||||
Operating leases—net primarily represents leases that do not qualify as direct financing leases. The components of the operating leases—net are as follows (in thousands): | |||||||||||||
March 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Cost of equipment under operating leases | $ | 40,513 | $ | 46,106 | |||||||||
Accumulated depreciation | (20,525 | ) | (21,639 | ) | |||||||||
Investment in operating lease equipment—net (1) | $ | 19,988 | $ | 24,467 | |||||||||
-1 | Includes estimated unguaranteed residual values of $5,610 thousand and $7,763 thousand as of March 31, 2014 and 2013, respectively. | ||||||||||||
Future Minimum Rental Payments for Operating Leases | ' | ||||||||||||
As of March 31, 2014, the future minimum lease payments are due as follows (in thousands): | |||||||||||||
(in thousands) | |||||||||||||
Year ending March 31, 2015 | $ | 4,263 | |||||||||||
2016 | 3,251 | ||||||||||||
2017 | 2,496 | ||||||||||||
2018 | 1,803 | ||||||||||||
2019 and thereafter | 655 | ||||||||||||
$ | 12,468 |
GOODWILL_AND_OTHER_INTANGIBLE_1
GOODWILL AND OTHER INTANGIBLE ASSETS (Tables) | 12 Months Ended | ||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||
GOODWILL AND OTHER INTANGIBLE ASSETS [Abstract] | ' | ||||||||||||||||||||||||
Components of Goodwill and Other Intangible Assets | ' | ||||||||||||||||||||||||
Our goodwill and other intangible assets consist of the following (in thousands): | |||||||||||||||||||||||||
31-Mar-14 | 31-Mar-13 | ||||||||||||||||||||||||
Gross | Accumulated | Net | Gross | Accumulated | Net | ||||||||||||||||||||
Carrying | Amortization / | Carrying | Carrying | Amortization / | Carrying | ||||||||||||||||||||
Amount | Impairment Loss | Amount | Amount | Impairment Loss | Amount | ||||||||||||||||||||
Goodwill | $ | 38,243 | $ | (8,673 | ) | $ | 29,570 | $ | 37,333 | $ | (8,673 | ) | $ | 28,660 | |||||||||||
Customer relationships & other intangibles | 8,013 | (4,671 | ) | 3,342 | 6,455 | (3,558 | ) | 2,897 | |||||||||||||||||
Capitalized software development | 2,616 | (945 | ) | 1,671 | 1,938 | (531 | ) | 1,407 | |||||||||||||||||
Total | $ | 48,872 | $ | (14,289 | ) | $ | 34,583 | $ | 45,726 | $ | (12,762 | ) | $ | 32,964 | |||||||||||
Summary of Goodwill Allocated to Reporting Units | ' | ||||||||||||||||||||||||
The following table summarizes the amount of goodwill allocated to our reporting units: | |||||||||||||||||||||||||
March 31, | |||||||||||||||||||||||||
Reporting Unit | 2014 | 2013 | |||||||||||||||||||||||
Technology | $ | 28,481 | $ | 27,571 | |||||||||||||||||||||
Software Document Management | 1,089 | 1,089 |
RESERVES_FOR_CREDIT_LOSSES_Tab
RESERVES FOR CREDIT LOSSES (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||||||||||||||||
RESERVES FOR CREDIT LOSSES [Abstract] | ' | ||||||||||||||||||||||||||||||||||||||||
Activity in Reserves for Credit Losses | ' | ||||||||||||||||||||||||||||||||||||||||
Activity in our reserves for credit losses for the years ended March 31, 2014, 2013 and 2012 were as follows (in thousands): | |||||||||||||||||||||||||||||||||||||||||
Accounts | Notes Receivable | Lease-Related | Total | ||||||||||||||||||||||||||||||||||||||
Receivable | Receivables | ||||||||||||||||||||||||||||||||||||||||
Balance April 1, 2013 | $ | 1,147 | $ | 3,137 | $ | 845 | $ | 5,129 | |||||||||||||||||||||||||||||||||
Provision for credit losses | 344 | 227 | 179 | 750 | |||||||||||||||||||||||||||||||||||||
Write-offs and other | (127 | ) | - | - | (127 | ) | |||||||||||||||||||||||||||||||||||
Balance March 31, 2014 | $ | 1,364 | $ | 3,364 | $ | 1,024 | $ | 5,752 | |||||||||||||||||||||||||||||||||
Accounts | Notes Receivable | Lease-Related | Total | ||||||||||||||||||||||||||||||||||||||
Receivable | Receivables | ||||||||||||||||||||||||||||||||||||||||
Balance April 1, 2012 | $ | 1,307 | $ | 2,963 | $ | 1,336 | $ | 5,606 | |||||||||||||||||||||||||||||||||
Provision for credit losses | (19 | ) | 174 | (488 | ) | (333 | ) | ||||||||||||||||||||||||||||||||||
Write-offs and other | (141 | ) | - | (3 | ) | (144 | ) | ||||||||||||||||||||||||||||||||||
Balance March 31, 2013 | $ | 1,147 | $ | 3,137 | $ | 845 | $ | 5,129 | |||||||||||||||||||||||||||||||||
Accounts | Notes Receivable | Lease-Related | Total | ||||||||||||||||||||||||||||||||||||||
Receivable | Receivables | ||||||||||||||||||||||||||||||||||||||||
Balance April 1, 2011 | $ | 944 | $ | 94 | $ | 1,733 | $ | 2,771 | |||||||||||||||||||||||||||||||||
Provision for credit losses | 739 | 2,869 | (395 | ) | 3,213 | ||||||||||||||||||||||||||||||||||||
Write-offs and other | (376 | ) | - | (2 | ) | (378 | ) | ||||||||||||||||||||||||||||||||||
Balance March 31, 2012 | $ | 1,307 | $ | 2,963 | $ | 1,336 | $ | 5,606 | |||||||||||||||||||||||||||||||||
Reserve for Credit Losses and Minimum Lease Payments Associated with Notes Receivable and Investment in Direct Financing and Sales-type Lease Balances Disaggregated on the Basis of Impairment Method | ' | ||||||||||||||||||||||||||||||||||||||||
Our reserve for credit losses and minimum lease payments associated with our investment in direct financing and sales- type lease balances disaggregated on the basis of our impairment method were as follows (in thousands): | |||||||||||||||||||||||||||||||||||||||||
31-Mar-14 | 31-Mar-13 | ||||||||||||||||||||||||||||||||||||||||
Notes | Lease-Related | Notes | Lease-Related | ||||||||||||||||||||||||||||||||||||||
Receivable | Receivables | Receivable | Receivables | ||||||||||||||||||||||||||||||||||||||
Reserves for credit losses: | |||||||||||||||||||||||||||||||||||||||||
Ending balance: collectively evaluated for impairment | $ | 265 | $ | 852 | $ | 310 | $ | 747 | |||||||||||||||||||||||||||||||||
Ending balance: individually evaluated for impairment | 3,099 | 172 | 2,827 | 98 | |||||||||||||||||||||||||||||||||||||
Ending balance | $ | 3,364 | $ | 1,024 | $ | 3,137 | $ | 845 | |||||||||||||||||||||||||||||||||
Minimum payments: | |||||||||||||||||||||||||||||||||||||||||
Ending balance: collectively evaluated for impairment | $ | 39,869 | $ | 81,114 | $ | 31,793 | $ | 64,246 | |||||||||||||||||||||||||||||||||
Ending balance: individually evaluated for impairment | 3,838 | 437 | 3,237 | 368 | |||||||||||||||||||||||||||||||||||||
Ending balance | $ | 43,707 | $ | 81,551 | $ | 35,030 | $ | 64,614 | |||||||||||||||||||||||||||||||||
Balance Disaggregated Based on Internally Assigned CQR | ' | ||||||||||||||||||||||||||||||||||||||||
The age of the recorded minimum lease payments and net credit exposure associated with our investment in direct financing and sales-type leases that are past due disaggregated based on our internally assigned credit quality rating (“CQR”) were as follows as of March 31, 2014 and 2013 (in thousands): | |||||||||||||||||||||||||||||||||||||||||
31-60 | 61-90 | Greater | Total | Current | Unbilled | Total | Unearned | Non- | Net | ||||||||||||||||||||||||||||||||
Days Past | Days Past | than 90 | Past Due | Minimum | Minimum | Income | Recourse | Credit | |||||||||||||||||||||||||||||||||
Due | Due | Days Past | Lease | Lease | Notes | Exposure | |||||||||||||||||||||||||||||||||||
Due | Payments | Payments | Payable | ||||||||||||||||||||||||||||||||||||||
31-Mar-14 | |||||||||||||||||||||||||||||||||||||||||
High CQR | $ | 194 | $ | 35 | $ | 106 | $ | 335 | $ | 502 | $ | 42,159 | $ | 42,996 | $ | (1,890 | ) | $ | (17,406 | ) | $ | 23,700 | |||||||||||||||||||
Average CQR | 33 | 57 | 18 | 108 | 86 | 37,924 | 38,118 | (3,401 | ) | (20,709 | ) | 14,008 | |||||||||||||||||||||||||||||
Low CQR | - | - | 61 | 61 | - | 376 | 437 | (55 | ) | - | 382 | ||||||||||||||||||||||||||||||
Total | 227 | 92 | 185 | 504 | 588 | 80,459 | 81,551 | (5,346 | ) | (38,115 | ) | 38,090 | |||||||||||||||||||||||||||||
31-Mar-13 | |||||||||||||||||||||||||||||||||||||||||
High CQR | $ | 454 | $ | 316 | $ | 28 | $ | 798 | $ | 322 | $ | 38,278 | $ | 39,398 | $ | (2,777 | ) | $ | (10,337 | ) | $ | 26,284 | |||||||||||||||||||
Average CQR | 51 | 51 | 5 | 107 | 101 | 24,640 | 24,848 | (1,596 | ) | (7,857 | ) | 15,395 | |||||||||||||||||||||||||||||
Low CQR | - | - | 61 | 61 | - | 307 | 368 | (39 | ) | - | 329 | ||||||||||||||||||||||||||||||
Total | 505 | 367 | 94 | 966 | 423 | 63,225 | 64,614 | (4,412 | ) | (18,194 | ) | 42,008 | |||||||||||||||||||||||||||||
Age of the Recorded Notes Receivable Balance Disaggregated Based on Internally Assigned CQR | ' | ||||||||||||||||||||||||||||||||||||||||
The age of the recorded notes receivable balance disaggregated based on our internally assigned CQR were as follows as March 31, 2014 and 2013 (in thousands): | |||||||||||||||||||||||||||||||||||||||||
31-60 | 61-90 | Greater | Total | Current | Unbilled | Total Notes | Non- | Net | |||||||||||||||||||||||||||||||||
Days Past | Days | than 90 | Past Due | Notes | Receivable | Recourse | Credit | ||||||||||||||||||||||||||||||||||
Due | Past Due | Days Past | Receivable | Notes | Exposure | ||||||||||||||||||||||||||||||||||||
Due | Payable | ||||||||||||||||||||||||||||||||||||||||
31-Mar-14 | |||||||||||||||||||||||||||||||||||||||||
High CQR | $ | - | $ | 205 | $ | 148 | $ | 353 | $ | 2,317 | $ | 30,249 | $ | 32,919 | $ | (19,641 | ) | $ | 13,278 | ||||||||||||||||||||||
Average CQR | - | - | - | - | - | 6,950 | 6,950 | (3,491 | ) | 3,459 | |||||||||||||||||||||||||||||||
Low CQR | - | - | 791 | 791 | - | 3,047 | 3,838 | - | 3,838 | ||||||||||||||||||||||||||||||||
Total | $ | - | $ | 205 | $ | 939 | $ | 1,144 | $ | 2,317 | $ | 40,246 | $ | 43,707 | $ | (23,132 | ) | $ | 20,575 | ||||||||||||||||||||||
31-Mar-13 | |||||||||||||||||||||||||||||||||||||||||
High CQR | $ | 1,342 | $ | 127 | $ | 832 | $ | 2,301 | $ | 3,450 | $ | 22,097 | $ | 27,848 | $ | (5,621 | ) | $ | 22,227 | ||||||||||||||||||||||
Average CQR | 1,379 | - | - | 1,379 | - | 2,566 | 3,945 | (1,203 | ) | 2,742 | |||||||||||||||||||||||||||||||
Low CQR | - | - | 726 | 726 | - | 2,511 | 3,237 | - | 3,237 | ||||||||||||||||||||||||||||||||
Total | $ | 2,721 | $ | 127 | $ | 1,558 | $ | 4,406 | $ | 3,450 | $ | 27,174 | $ | 35,030 | $ | (6,824 | ) | $ | 28,206 |
PROPERTY_EQUIPMENT_OTHER_ASSET1
PROPERTY, EQUIPMENT, OTHER ASSETS AND LIABILITIES (Tables) | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
PROPERTY, EQUIPMENT, OTHER ASSETS AND LIABILITIES [Abstract] | ' | ||||||||
Property and Equipment-Net | ' | ||||||||
Property and equipment—net consists of the following (in thousands): | |||||||||
March 31, | |||||||||
2014 | 2013 | ||||||||
Furniture, fixtures and equipment | $ | 11,463 | $ | 9,274 | |||||
Vehicles | 283 | 285 | |||||||
Capitalized software | 3,498 | 4,149 | |||||||
Leasehold improvements | 3,115 | 2,556 | |||||||
Total assets | 18,359 | 16,264 | |||||||
Accumulated depreciation and amortization | (14,066 | ) | (14,051 | ) | |||||
Property and equipment - net | $ | 4,293 | $ | 2,213 | |||||
Other Assets and Other Liabilities | ' | ||||||||
Our other assets and liabilities consist of the following (in thousands): | |||||||||
March 31, | |||||||||
2014 | 2013 | ||||||||
Other current assets: | |||||||||
Unbilled accounts receivable | $ | 386 | $ | 2,764 | |||||
Prepaid assets | 2,865 | 2,027 | |||||||
Supplemental benefit plan investments | 2,544 | - | |||||||
Other | 1,130 | 730 | |||||||
Total other current assets | $ | 6,925 | $ | 5,521 | |||||
Other assets: | |||||||||
Deferred costs | $ | 1,591 | $ | 873 | |||||
Supplemental benefit plan investments | - | 2,301 | |||||||
Other | 2,129 | 1,285 | |||||||
Other assets - long term | $ | 3,720 | $ | 4,459 | |||||
March 31, | |||||||||
2014 | 2013 | ||||||||
Other current liabilities | |||||||||
Accrued expenses | $ | 5,322 | $ | 9,533 | |||||
Deferred compensation | 2,544 | - | |||||||
Other | 7,516 | 7,874 | |||||||
Total other current liabilities | $ | 15,382 | $ | 17,407 | |||||
Other liabilities | |||||||||
Deferred revenue | $ | 1,822 | $ | 731 | |||||
Deferred compensation | - | 2,301 | |||||||
Other | - | 556 | |||||||
Total other liabilities - long term | $ | 1,822 | $ | 3,588 |
NOTES_PAYABLE_AND_CREDIT_FACIL1
NOTES PAYABLE AND CREDIT FACILITY (Tables) | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
NOTES PAYABLE AND CREDIT FACILITY [Abstract] | ' | ||||||||
Non-recourse and Recourse Obligations | ' | ||||||||
Recourse and non-recourse obligations consist of the following (in thousands): | |||||||||
March 31, | |||||||||
2014 | 2013 | ||||||||
Recourse notes payable with interest rates ranging from 2.24% to 4.84% at March 31, 2014 and 4.84% at March 31, 2013 | |||||||||
Current | $ | 1,460 | $ | 390 | |||||
Long-term | 2,100 | 1,094 | |||||||
Total recourse notes payable | $ | 3,560 | $ | 1,484 | |||||
Non-recourse notes payable secured by financing receivables and investments in operating leases with interest rates ranging from 2.00% to 11.24% at March 31, 2014 and March 31, 2013 | |||||||||
Current | $ | 30,907 | $ | 22,169 | |||||
Long-term | 34,421 | 18,086 | |||||||
Total non-recourse notes payable | $ | 65,328 | $ | 40,255 | |||||
Recourse and non-recourse Notes Payable | ' | ||||||||
Recourse and non-recourse notes payable as of March 31, 2014, mature as follows (in thousands): | |||||||||
Recourse Notes | Non-Recourse | ||||||||
Payable | Notes Payable | ||||||||
Year ending March 31, 2015 | $ | 1,460 | $ | 30,907 | |||||
2016 | 237 | 22,769 | |||||||
2017 | 237 | 9,078 | |||||||
2018 | 1,627 | 2,261 | |||||||
2019 and thereafter | - | 313 | |||||||
$ | 3,561 | $ | 65,328 |
COMMITMENTS_AND_CONTINGENCIES_
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended | ||||
Mar. 31, 2014 | |||||
COMMITMENTS AND CONTINGENCIES [Abstract] | ' | ||||
Future Minimum Rental Payments for Operating Leases | ' | ||||
As of March 31, 2014, the future minimum lease payments are due as follows (in thousands): | |||||
(in thousands) | |||||
Year ending March 31, 2015 | $ | 4,263 | |||
2016 | 3,251 | ||||
2017 | 2,496 | ||||
2018 | 1,803 | ||||
2019 and thereafter | 655 | ||||
$ | 12,468 |
EARNINGS_PER_SHARE_Tables
EARNINGS PER SHARE (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
EARNINGS PER SHARE [Abstract] | ' | ||||||||||||
Reconciliation of Numerators and Denominators Used to Calculate Basic and Diluted Earnings per Common Share | ' | ||||||||||||
The following table provides a reconciliation of the numerators and denominators used to calculate basic and diluted net earnings per common share as disclosed in our consolidated statements of operations for the fiscal years ended March 31, 2014, 2013, and 2012 (in thousands, except per share data). | |||||||||||||
Year Ended March 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Basic and diluted shares outstanding | |||||||||||||
Weighted average shares outstanding — basic | 7,927 | 7,810 | 8,002 | ||||||||||
Effect of dilutive shares | 72 | 93 | 93 | ||||||||||
Weighted average shares outstanding — diluted | 7,999 | 7,903 | 8,095 | ||||||||||
Calculation of earnings per share - basic | |||||||||||||
Net earnings | $ | 35,273 | $ | 34,830 | $ | 23,367 | |||||||
Net earnings attributable to participating securities | 307 | 668 | 764 | ||||||||||
Net earnings attributable to common shareholders | $ | 34,966 | $ | 34,162 | $ | 22,603 | |||||||
Earnings per share - basic | $ | 4.41 | $ | 4.37 | $ | 2.82 | |||||||
Calculation of earnings per share - diluted | |||||||||||||
Net earnings attributable to common shareholders— basic | $ | 34,966 | $ | 34,162 | $ | 22,603 | |||||||
Add: undistributed earnings attributable to participating securities | 3 | 4 | 9 | ||||||||||
Net earnings attributable to common shareholders— diluted | $ | 34,969 | $ | 34,166 | $ | 22,612 | |||||||
Earnings per share - diluted | $ | 4.37 | $ | 4.32 | $ | 2.79 |
SHAREBASED_COMPENSATION_Tables
SHARE-BASED COMPENSATION (Tables) | 12 Months Ended | ||||||||
Mar. 31, 2014 | |||||||||
SHARE-BASED COMPENSATION [Abstract] | ' | ||||||||
Summary of Nonvested Restricted Shares | ' | ||||||||
A summary of the non-vested restricted shares is as follows: | |||||||||
Number of | Weighted | ||||||||
Shares | Average Grant- | ||||||||
date Fair Value | |||||||||
Nonvested April 1, 2013 | 246,048 | $ | 26.32 | ||||||
Granted | 87,021 | $ | 57.34 | ||||||
Vested | (132,615 | ) | $ | 24.45 | |||||
Forfeited | (334 | ) | $ | 23.06 | |||||
Nonvested March 31, 2014 | 200,120 | $ | 41.11 |
INCOME_TAXES_Tables
INCOME TAXES (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
INCOME TAXES [Abstract] | ' | ||||||||||||
Reconciliation of gross unrecognized tax benefits | ' | ||||||||||||
A reconciliation of the beginning and ending amount of gross unrecognized tax benefits is as follows (in thousands): | |||||||||||||
Year Ended March 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Beginning balance | $ | 316 | $ | 316 | |||||||||
Reductions to uncertain tax positions | (167 | ) | - | ||||||||||
Ending balance | $ | 149 | $ | 316 | |||||||||
Reconciliation of income taxes to the statutory federal income tax rate | ' | ||||||||||||
A reconciliation of income taxes computed at the statutory federal income tax rate of 35% to the provision for income taxes included in the consolidated statements of operations is as follows (in thousands, except percentages): | |||||||||||||
Year Ended March 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Statutory federal income tax rate | 35 | % | 35 | % | 35 | % | |||||||
Income tax expense computed at the U.S. statutory federal rate | $ | 21,040 | $ | 20,555 | $ | 13,850 | |||||||
State income tax expense—net of federal benefit | 3,080 | 2,894 | 2,096 | ||||||||||
Non-deductible executive compensation | 248 | 150 | 152 | ||||||||||
Other | 457 | 316 | 109 | ||||||||||
Provision for income taxes | $ | 24,825 | $ | 23,915 | $ | 16,207 | |||||||
Effective income tax rate | 41.3 | % | 40.7 | % | 41 | % | |||||||
Components of the provision for income taxes | ' | ||||||||||||
The components of the provision for income taxes are as follows (in thousands): | |||||||||||||
Year Ended March 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Current: | |||||||||||||
Federal | $ | 23,313 | $ | 20,041 | $ | 12,266 | |||||||
State | 5,033 | 4,453 | 3,088 | ||||||||||
Foreign | 15 | 36 | 59 | ||||||||||
Total current expense | 28,361 | 24,530 | 15,413 | ||||||||||
Deferred: | |||||||||||||
Federal | (3,274 | ) | (581 | ) | 814 | ||||||||
State | (262 | ) | (34 | ) | (20 | ) | |||||||
Total deferred expense (benefit) | (3,536 | ) | (615 | ) | 794 | ||||||||
Provision for income taxes | $ | 24,825 | $ | 23,915 | $ | 16,207 | |||||||
Components of deferred tax assets and liabilities | ' | ||||||||||||
Significant components of our deferred tax assets and liabilities were as follows (in thousands): | |||||||||||||
March 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Deferred Tax Assets: | |||||||||||||
Accrued vacation | $ | 1,700 | $ | 1,345 | |||||||||
Provision for credit losses | 2,111 | 1,997 | |||||||||||
State net operating loss carryforward | 1,287 | 1,505 | |||||||||||
Book compensation on discounted stock options | - | 77 | |||||||||||
Deferred compensation | 1,010 | 898 | |||||||||||
Deferred revenue | 260 | 221 | |||||||||||
Foreign tax credit | 11 | - | |||||||||||
Federal net operating loss carry forward | 88 | 168 | |||||||||||
Other accruals and reserves | 1,740 | 2,043 | |||||||||||
Gross deferred tax assets | 8,207 | 8,254 | |||||||||||
Less: valuation allowance | (1,287 | ) | (1,505 | ) | |||||||||
Net deferred tax assets | 6,920 | 6,749 | |||||||||||
Deferred Tax Liabilities: | |||||||||||||
Basis difference in fixed assets | (1,056 | ) | (491 | ) | |||||||||
Basis difference in operating leases | (4,674 | ) | (8,765 | ) | |||||||||
Basis difference in tax deductible goodwill | (2,449 | ) | (2,288 | ) | |||||||||
Total deferred tax liabilities | (8,179 | ) | (11,544 | ) | |||||||||
Net deferred tax liabilities | $ | (1,259 | ) | $ | (4,795 | ) | |||||||
Reported as: | |||||||||||||
Deferred tax assets - current | $ | 3,742 | $ | 2,023 | |||||||||
Deferred tax liabilities - long-term | (5,001 | ) | (6,818 | ) | |||||||||
Net deferred tax liabilities | $ | (1,259 | ) | $ | (4,795 | ) |
FAIR_VALUE_MEASUREMENTS_Tables
FAIR VALUE MEASUREMENTS (Tables) | 12 Months Ended | ||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||
FAIR VALUE MEASUREMENTS [Abstract] | ' | ||||||||||||||||||||
Fair value hierarchy of financial instruments | ' | ||||||||||||||||||||
The following tables summarize the fair value hierarchy of our financial instruments as of March 31, 2014 and 2013 (in thousands): | |||||||||||||||||||||
Fair Value Measurement Using | |||||||||||||||||||||
March 31, | Quoted Prices in | Significant Other | Significant | Total Gains | |||||||||||||||||
2014 | Active Markets | Observable Inputs | Unobservable | (Losses) | |||||||||||||||||
for Identical | (Level 2) | Inputs (Level 3) | |||||||||||||||||||
Assets (Level 1) | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Money market funds | $ | 54,267 | $ | 54,267 | $ | - | $ | - | $ | - | |||||||||||
Fair Value Measurement Using | |||||||||||||||||||||
31-Mar-13 | Quoted Prices in | Significant Other | Significant | Total Gains | |||||||||||||||||
Active Markets | Observable Inputs | Unobservable | (Losses) | ||||||||||||||||||
for Identical | (Level 2) | Inputs (Level 3) | |||||||||||||||||||
Assets (Level 1) | |||||||||||||||||||||
Assets: | |||||||||||||||||||||
Money market funds | $ | 24,140 | $ | 24,140 | $ | - | $ | - | $ | - | |||||||||||
Liabilities: | |||||||||||||||||||||
Contingent consideration | $ | 918 | $ | - | $ | - | $ | 918 | $ | - |
SEGMENT_REPORTING_Tables
SEGMENT REPORTING (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||||||||||||||||||
SEGMENT REPORTING [Abstract] | ' | ||||||||||||||||||||||||||||||||||||
Segment Reporting Information, by Reportable Segment | ' | ||||||||||||||||||||||||||||||||||||
Our financing segment consists of the financing of IT equipment, software and related services to commercial, state and local governments, and government contractors. Our reportable segment information was as follows (in thousands): | |||||||||||||||||||||||||||||||||||||
Year Ended March 31, | |||||||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||||||||||||||
Technology | Financing | Total | Technology | Financing | Total | Technology | Financing | Total | |||||||||||||||||||||||||||||
Sales of product and services | $ | 1,013,374 | $ | - | $ | 1,013,374 | $ | 936,228 | $ | - | $ | 936,228 | $ | 784,951 | $ | - | $ | 784,951 | |||||||||||||||||||
Financing revenue | - | 35,896 | 35,896 | - | 38,384 | 38,384 | - | 30,899 | 30,899 | ||||||||||||||||||||||||||||
Fee and other income | 8,037 | 229 | 8,266 | 6,949 | 1,551 | 8,500 | 7,455 | 2,276 | 9,731 | ||||||||||||||||||||||||||||
Total revenues | 1,021,411 | 36,125 | 1,057,536 | 943,177 | 39,935 | 983,112 | 792,406 | 33,175 | 825,581 | ||||||||||||||||||||||||||||
Cost of sales, product and services | 827,875 | - | 827,875 | 767,447 | - | 767,447 | 645,558 | - | 645,558 | ||||||||||||||||||||||||||||
Direct lease costs | - | 12,748 | 12,748 | - | 10,892 | 10,892 | - | 8,508 | 8,508 | ||||||||||||||||||||||||||||
Professional and other fees | 7,557 | 1,484 | 9,041 | 9,638 | 3,460 | 13,098 | 10,283 | 1,461 | 11,744 | ||||||||||||||||||||||||||||
Salaries and benefits | 113,481 | 9,670 | 123,151 | 100,447 | 10,516 | 110,963 | 88,321 | 9,947 | 98,268 | ||||||||||||||||||||||||||||
General and administrative expenses | 21,103 | 1,572 | 22,675 | 19,028 | 1,071 | 20,099 | 16,627 | 3,872 | 20,499 | ||||||||||||||||||||||||||||
Interest and financing costs | 84 | 1,864 | 1,948 | 89 | 1,779 | 1,868 | 93 | 1,337 | 1,430 | ||||||||||||||||||||||||||||
Total costs and expenses | 970,100 | 27,338 | 997,438 | 896,649 | 27,718 | 924,367 | 760,882 | 25,125 | 786,007 | ||||||||||||||||||||||||||||
Earnings before provision for income taxes | $ | 51,311 | $ | 8,787 | $ | 60,098 | $ | 46,528 | $ | 12,217 | $ | 58,745 | $ | 31,524 | $ | 8,050 | $ | 39,574 | |||||||||||||||||||
Depreciation and amortization | $ | 2,838 | $ | 11,917 | $ | 14,755 | $ | 2,369 | $ | 9,799 | $ | 12,168 | $ | 1,476 | $ | 7,889 | $ | 9,365 | |||||||||||||||||||
Purchases of property, equipment and operating lease equipment | $ | 4,238 | $ | 5,714 | $ | 9,952 | $ | 1,401 | $ | 14,183 | $ | 15,584 | $ | 1,568 | $ | 6,087 | $ | 7,655 | |||||||||||||||||||
Total assets | $ | 335,879 | $ | 217,966 | $ | 553,845 | $ | 255,257 | $ | 184,638 | $ | 439,895 | $ | 241,488 | $ | 192,200 | $ | 433,688 | |||||||||||||||||||
Geographical Information | ' | ||||||||||||||||||||||||||||||||||||
The geographic information for the years ended March 31, 2014, 2013 and 2012 was as follows (in thousands): | |||||||||||||||||||||||||||||||||||||
Year Ended March 31, | |||||||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||||||||||||||
Revenue | |||||||||||||||||||||||||||||||||||||
U.S. | $ | 1,042,446 | $ | 964,996 | $ | 812,364 | |||||||||||||||||||||||||||||||
Non U.S. | 15,090 | 18,116 | 13,217 | ||||||||||||||||||||||||||||||||||
Total | $ | 1,057,536 | $ | 983,112 | $ | 825,581 | |||||||||||||||||||||||||||||||
As of March 31, | |||||||||||||||||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||||||||
U.S. | $ | 551,723 | $ | 437,509 | |||||||||||||||||||||||||||||||||
Non U.S. | 2,122 | 2,386 | |||||||||||||||||||||||||||||||||||
Total | $ | 553,845 | $ | 439,895 |
QUARTERLY_DATA_UNAUDITED_Table
QUARTERLY DATA -UNAUDITED (Tables) | 12 Months Ended | ||||||||||||||||||||
Mar. 31, 2014 | |||||||||||||||||||||
QUARTERLY DATA -UNAUDITED [Abstract] | ' | ||||||||||||||||||||
Condensed Quarterly Financial Information | ' | ||||||||||||||||||||
Condensed quarterly financial information is as follows (amounts in thousands, except per share amounts): | |||||||||||||||||||||
Year Ended March 31, 2014 | |||||||||||||||||||||
First | Second | Third | Fourth | Annual | |||||||||||||||||
Quarter | Quarter | Quarter | Quarter | Amount | |||||||||||||||||
Total revenues | $ | 259,317 | $ | 271,129 | $ | 267,182 | $ | 259,908 | $ | 1,057,536 | |||||||||||
Total costs and expenses | 245,964 | 256,434 | 249,129 | 245,911 | 997,438 | ||||||||||||||||
Earnings before provision for income taxes | 13,353 | 14,695 | 18,053 | 13,997 | 60,098 | ||||||||||||||||
Provision for income taxes | 5,503 | 6,104 | 7,443 | 5,775 | 24,825 | ||||||||||||||||
Net earnings | $ | 7,850 | $ | 8,591 | $ | 10,610 | $ | 8,222 | $ | 35,273 | |||||||||||
Net earnings per common share—Basic (1) | $ | 0.98 | $ | 1.07 | $ | 1.33 | $ | 1.04 | $ | 4.41 | |||||||||||
Net earnings per common share—Diluted (1) | $ | 0.97 | $ | 1.06 | $ | 1.32 | $ | 1.03 | $ | 4.37 | |||||||||||
Year Ended March 31, 2013 | |||||||||||||||||||||
First | Second | Third | Fourth | Annual | |||||||||||||||||
Quarter | Quarter | Quarter | Quarter | Amount | |||||||||||||||||
Total revenues | $ | 244,724 | $ | 260,051 | $ | 242,025 | $ | 236,312 | $ | 983,112 | |||||||||||
Total costs and expenses | 231,161 | 243,143 | 226,496 | 223,567 | 924,367 | ||||||||||||||||
Earnings before provision for income taxes | 13,563 | 16,908 | 15,529 | 12,745 | 58,745 | ||||||||||||||||
Provision for income taxes | 5,501 | 6,875 | 6,496 | 5,043 | 23,915 | ||||||||||||||||
Net earnings | $ | 8,062 | $ | 10,033 | $ | 9,033 | $ | 7,702 | $ | 34,830 | |||||||||||
Net earnings per common share—Basic (1) | $ | 1.01 | $ | 1.26 | $ | 1.11 | $ | 0.96 | $ | 4.37 | |||||||||||
Net earnings per common share—Diluted (1) | $ | 1 | $ | 1.25 | $ | 1.11 | $ | 0.95 | $ | 4.32 | |||||||||||
-1 | Basic and diluted earnings per share are computed independently for each of the quarters presented. Therefore, the sum of quarterly basic and diluted per share information may not equal annual basic and diluted earnings per share. |
ORGANIZATION_AND_SUMMARY_OF_SI2
ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
REVENUE RECOGNITION [Abstract] | ' | ' | ' |
Gross billings for products and services | $1,276,000,000 | $1,164,000,000 | $978,000,000 |
Lease criteria minimum estimated economic life (in hundredths) | 75.00% | ' | ' |
Lease criteria minimum fair value of lease payments at inception of lease (in hundredths) | 90.00% | ' | ' |
Amount due from vendors | 14,400,000 | 11,900,000 | ' |
INVENTORIES [Abstract] | ' | ' | ' |
Allowance for obsolescence | 180,000 | 125,000 | ' |
Carrying Amount [Member] | ' | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' |
Notes receivable, fair value disclosure | 40,700,000 | 31,900,000 | ' |
Recourse payable, fair value disclosure | 3,600,000 | 1,500,000 | ' |
Non-recourse payable, fair value disclosure | 65,300,000 | 40,300,000 | ' |
Fair Value [Member] | ' | ' | ' |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ' | ' | ' |
Notes receivable, fair value disclosure | 42,400,000 | 32,400,000 | ' |
Recourse payable, fair value disclosure | 3,600,000 | 1,500,000 | ' |
Non-recourse payable, fair value disclosure | $65,400,000 | $42,100,000 | ' |
Minimum [Member] | ' | ' | ' |
Operating Leased Assets [Line Items] | ' | ' | ' |
Financing receivables term | '2 years | ' | ' |
Maximum [Member] | ' | ' | ' |
Operating Leased Assets [Line Items] | ' | ' | ' |
Financing receivables term | '5 years | ' | ' |
Average Minimum [Member] | ' | ' | ' |
Operating Leased Assets [Line Items] | ' | ' | ' |
Financing receivables term | '36 months | ' | ' |
Average Maximum [Member] | ' | ' | ' |
Operating Leased Assets [Line Items] | ' | ' | ' |
Financing receivables term | '38 months | ' | ' |
Technology hardware [Member] | ' | ' | ' |
Operating Leased Assets [Line Items] | ' | ' | ' |
Operating lease term | '42 months | ' | ' |
Medical Equipment [Member] | Minimum [Member] | ' | ' | ' |
Operating Leased Assets [Line Items] | ' | ' | ' |
Operating lease term | '48 months | ' | ' |
Medical Equipment [Member] | Maximum [Member] | ' | ' | ' |
Operating Leased Assets [Line Items] | ' | ' | ' |
Operating lease term | '60 months | ' | ' |
ORGANIZATION_AND_SUMMARY_OF_SI3
ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, Property, Plant and Equipment (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
CAPITALIZATION OF COSTS OF SOFTWARE TO BE MADE AVAILABLE TO CUSTOMERS [Abstract] | ' | ' | ' |
Capitalized software development costs for software sold to customers | 305 | 351 | ' |
Capitalized for software sold to customers cost included in other assets | 789 | 642 | ' |
GOODWILL AND INTANGIBLE ASSETS [Abstract] | ' | ' | ' |
Reporting units | 4 | ' | ' |
Concentration Risk [Line Items] | ' | ' | ' |
Concentration benchmark | ' | ' | 10.00% |
Product sales [Member] | Cisco Systems [Member] | ' | ' | ' |
Concentration Risk [Line Items] | ' | ' | ' |
Percentage of concentration risk (in hundredths) | 48.00% | 48.00% | 45.00% |
Product sales [Member] | Hewlett Packard [Member] | ' | ' | ' |
Concentration Risk [Line Items] | ' | ' | ' |
Percentage of concentration risk (in hundredths) | 10.00% | 11.00% | 15.00% |
Product sales [Member] | NetApp [Member] | ' | ' | ' |
Concentration Risk [Line Items] | ' | ' | ' |
Percentage of concentration risk (in hundredths) | 8.00% | 7.00% | 7.00% |
Total revenue [Member] | Large Telecommunications Company [Member] | ' | ' | ' |
Concentration Risk [Line Items] | ' | ' | ' |
Percentage of concentration risk (in hundredths) | 11.00% | 14.00% | ' |
Software capitalized for internal [Member] | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Intangible assets | 373 | 171 | ' |
Other Assets | 882 | 766 | ' |
Minimum [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property, Plant and Equipment, Useful Life | '3 years | ' | ' |
Maximum [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property, Plant and Equipment, Useful Life | '10 years | ' | ' |
Technology equipment [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property, Plant and Equipment, Useful Life | '3 years | ' | ' |
Software [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property, Plant and Equipment, Useful Life | '5 years | ' | ' |
Furniture, fixtures and equipment [Member] | Minimum [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property, Plant and Equipment, Useful Life | '5 years | ' | ' |
Furniture, fixtures and equipment [Member] | Maximum [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property, Plant and Equipment, Useful Life | '10 years | ' | ' |
Telecommunications equipment [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Property, Plant and Equipment, Useful Life | '7 years | ' | ' |
FINANCING_RECEIVABLES_AND_OPER2
FINANCING RECEIVABLES AND OPERATING LEASES (Details) (USD $) | 12 Months Ended | |||||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2011 | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' | ||
Reserve for credit losses | ($5,752,000) | [1] | ($5,129,000) | [1] | ($5,606,000) | ($2,771,000) |
Reported as [Abstract] | ' | ' | ' | ' | ||
Estimated unguaranteed residual values for direct financing lease | 3,034,000 | 3,361,000 | ' | ' | ||
Accumulated amortization of initial direct cost | 525,000 | 479,000 | ' | ' | ||
Gain (Loss) on sale of financing receivables | 8,500,000 | 7,100,000 | 3,900,000 | ' | ||
Proceeds from sale of financing receivables | 187,200,000 | 142,300,000 | 62,400,000 | ' | ||
Future scheduled minimum lease payments [Abstract] | ' | ' | ' | ' | ||
Year ending March 31, 2015 | 38,536,000 | ' | ' | ' | ||
2016 | 26,495,000 | ' | ' | ' | ||
2017 | 13,790,000 | ' | ' | ' | ||
2018 | 2,513,000 | ' | ' | ' | ||
2019 and thereafter | 217,000 | ' | ' | ' | ||
Total | 81,551,000 | ' | ' | ' | ||
Investment in operating lease equipment - net [Abstract] | ' | ' | ' | ' | ||
Cost of equipment under operating lease | 40,513,000 | 46,106,000 | ' | ' | ||
Less: Accumulated depreciation and amortization | -20,525,000 | -21,639,000 | ' | ' | ||
Operating leases - net | 19,988,000 | [2] | 24,467,000 | [2] | ' | ' |
Unguaranteed residual value of operating lease equipment net | 5,610,000 | 7,763,000 | ' | ' | ||
Future scheduled minimum lease rental payments [Abstract] | ' | ' | ' | ' | ||
Year ending March 31, 2015 | 8,932,000 | ' | ' | ' | ||
2016 | 4,483,000 | ' | ' | ' | ||
2017 | 1,179,000 | ' | ' | ' | ||
2018 | 514,000 | ' | ' | ' | ||
2019 and thereafter | 434,000 | ' | ' | ' | ||
Total | 15,542,000 | ' | ' | ' | ||
Notes Receivable [Member] | ' | ' | ' | ' | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' | ||
Minimum lease payments | 43,707,000 | 35,030,000 | ' | ' | ||
Estimated unguaranteed residual value | 0 | [3] | 0 | [4] | ' | ' |
Initial direct costs, net of amortization | 354,000 | [5] | 0 | [6] | ' | ' |
Unearned income | 0 | 0 | ' | ' | ||
Reserve for credit losses | -3,364,000 | [1] | -3,137,000 | [1] | -2,963,000 | -94,000 |
Total, net | 40,697,000 | 31,893,000 | ' | ' | ||
Reported as [Abstract] | ' | ' | ' | ' | ||
Current | 22,109,000 | 18,650,000 | ' | ' | ||
Long-term | 18,588,000 | 13,243,000 | ' | ' | ||
Total, net | 40,697,000 | 31,893,000 | ' | ' | ||
Lease-Related Receivables [Member] | ' | ' | ' | ' | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' | ||
Minimum lease payments | 81,551,000 | 64,614,000 | ' | ' | ||
Estimated unguaranteed residual value | 8,275,000 | [3] | 7,557,000 | [4] | ' | ' |
Initial direct costs, net of amortization | 537,000 | [5] | 684,000 | [6] | ' | ' |
Unearned income | -6,285,000 | -5,767,000 | ' | ' | ||
Reserve for credit losses | -1,024,000 | [1] | -845,000 | [1] | -1,336,000 | -1,733,000 |
Total, net | 83,054,000 | 66,243,000 | ' | ' | ||
Reported as [Abstract] | ' | ' | ' | ' | ||
Current | 35,640,000 | 27,421,000 | ' | ' | ||
Long-term | 47,414,000 | 38,822,000 | ' | ' | ||
Total, net | 83,054,000 | 66,243,000 | ' | ' | ||
Financing Receivable [Member] | ' | ' | ' | ' | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ' | ' | ' | ' | ||
Minimum lease payments | 125,258,000 | 99,644,000 | ' | ' | ||
Estimated unguaranteed residual value | 8,275,000 | [3] | 7,557,000 | [4] | ' | ' |
Initial direct costs, net of amortization | 891,000 | [5] | 684,000 | [6] | ' | ' |
Unearned income | -6,285,000 | -5,767,000 | ' | ' | ||
Reserve for credit losses | -4,388,000 | [1] | -3,982,000 | [1] | ' | ' |
Total, net | 123,751,000 | 98,136,000 | ' | ' | ||
Reported as [Abstract] | ' | ' | ' | ' | ||
Current | 57,749,000 | 46,071,000 | ' | ' | ||
Long-term | 66,002,000 | 52,065,000 | ' | ' | ||
Total, net | $123,751,000 | $98,136,000 | ' | ' | ||
[1] | For details on reserve for credit losses, refer to Note 4, bReserves for Credit Losses.b | |||||
[2] | Includes estimated unguaranteed residual values of $5,610 thousand and $7,763 thousand as of March 31, 2014 and 2013, respectively. | |||||
[3] | Includes estimated unguaranteed residual values of $3,034 thousand for direct financing leases, which have been sold and accounted for as sales under Codification Topic Transfers and Servicing. | |||||
[4] | Includes estimated unguaranteed residual values of $3,361 thousand for direct financing leases which have been sold and accounted for as sales under Codification Topic Transfers and Servicing. | |||||
[5] | Initial direct costs are shown net of amortization of $525 thousand. | |||||
[6] | Initial direct costs are shown net of amortization of $479 thousand. |
GOODWILL_AND_OTHER_INTANGIBLE_2
GOODWILL AND OTHER INTANGIBLE ASSETS (Details) (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
GOODWILL AND OTHER INTANGIBLE ASSETS [Abstract] | ' | ' | ' |
Goodwill and other intangible assets, Gross carrying amount | $48,872,000 | $45,726,000 | ' |
Goodwill and other intangible assets, Accumulated amortization | -14,289,000 | -12,762,000 | ' |
Goodwill and other intangible assets Net | 34,583,000 | 32,964,000 | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Total amortization expense | 1,500,000 | 1,300,000 | 500,000 |
Goodwill [Line Items] | ' | ' | ' |
Goodwill Gross | 38,243,000 | 37,333,000 | ' |
Goodwill, Accumulated Amortization / Impairment Loss | -8,673,000 | -8,673,000 | ' |
Goodwill, Net Carrying Amount | 29,570,000 | 28,660,000 | ' |
Goodwill impairment charges recorded during the period | 0 | 0 | 0 |
Future amortization expense for years ended March 31 [Abstract] | ' | ' | ' |
2015 | 1,700,000 | ' | ' |
2016 | 1,500,000 | ' | ' |
2017 | 1,100,000 | ' | ' |
2018 | 400,000 | ' | ' |
2019 | 200,000 | ' | ' |
Technology [Member] | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Goodwill, Net Carrying Amount | 28,481,000 | 27,571,000 | ' |
Goodwill increased due to acquisition | 900,000 | ' | ' |
Software Document Management [Member] | ' | ' | ' |
Goodwill [Line Items] | ' | ' | ' |
Goodwill, Net Carrying Amount | 1,089,000 | 1,089,000 | ' |
Customer Relationships & other intangibles [Member] | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Intangibles assets, Gross carrying amount | 8,013,000 | 6,455,000 | ' |
Intangibles Assets, Accumulated amortization / Impairment Loss | -4,671,000 | -3,558,000 | ' |
Intangible assets, Net Carrying Amount | 3,342,000 | 2,897,000 | ' |
Capitalized Software Development [Member] | ' | ' | ' |
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' |
Intangibles assets, Gross carrying amount | 2,616,000 | 1,938,000 | ' |
Intangibles Assets, Accumulated amortization / Impairment Loss | -945,000 | -531,000 | ' |
Intangible assets, Net Carrying Amount | $1,671,000 | $1,407,000 | ' |
RESERVES_FOR_CREDIT_LOSSES_Det
RESERVES FOR CREDIT LOSSES (Details) (USD $) | 12 Months Ended | ||||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |||
Activity in reserves for credit losses [Roll Forward] | ' | ' | ' | ||
Balance at beginning of period | $5,129,000 | [1] | $5,606,000 | $2,771,000 | |
Provision for credit losses | 750,000 | -333,000 | 3,213,000 | ||
Write-offs and other | -127,000 | -144,000 | -378,000 | ||
Balance at end of period | 5,752,000 | [1] | 5,129,000 | [1] | 5,606,000 |
Minimum lease payments: [Abstract] | ' | ' | ' | ||
Ending balance: individually evaluated for impairment | 4,200,000 | ' | ' | ||
Total receivable | 211,314,000 | 173,445,000 | ' | ||
Accounts Receivable [Member] | ' | ' | ' | ||
Activity in reserves for credit losses [Roll Forward] | ' | ' | ' | ||
Balance at beginning of period | 1,147,000 | 1,307,000 | 944,000 | ||
Provision for credit losses | 344,000 | -19,000 | 739,000 | ||
Write-offs and other | -127,000 | -141,000 | -376,000 | ||
Balance at end of period | 1,364,000 | 1,147,000 | 1,307,000 | ||
Notes Receivable [Member] | ' | ' | ' | ||
Activity in reserves for credit losses [Roll Forward] | ' | ' | ' | ||
Balance at beginning of period | 3,137,000 | [1] | 2,963,000 | 94,000 | |
Provision for credit losses | 227,000 | 174,000 | 2,869,000 | ||
Write-offs and other | 0 | 0 | 0 | ||
Balance at end of period | 3,364,000 | [1] | 3,137,000 | [1] | 2,963,000 |
Reserve for credit losses [Abstract] | ' | ' | ' | ||
Ending balance: collectively evaluated for impairment | 265,000 | 310,000 | ' | ||
Ending balance: individually evaluated for impairment | 3,099,000 | 2,827,000 | ' | ||
Ending balance | 3,364,000 | 3,137,000 | ' | ||
Minimum lease payments: [Abstract] | ' | ' | ' | ||
Ending balance: collectively evaluated for impairment | 39,869,000 | 31,793,000 | ' | ||
Ending balance: individually evaluated for impairment | 3,838,000 | 3,237,000 | ' | ||
Ending balance | 43,707,000 | 35,030,000 | ' | ||
Lease-Related Receivables [Member] | ' | ' | ' | ||
Activity in reserves for credit losses [Roll Forward] | ' | ' | ' | ||
Balance at beginning of period | 845,000 | [1] | 1,336,000 | 1,733,000 | |
Provision for credit losses | 179,000 | -488,000 | -395,000 | ||
Write-offs and other | 0 | -3,000 | -2,000 | ||
Balance at end of period | 1,024,000 | [1] | 845,000 | [1] | 1,336,000 |
Reserve for credit losses [Abstract] | ' | ' | ' | ||
Ending balance: collectively evaluated for impairment | 852,000 | 747,000 | ' | ||
Ending balance: individually evaluated for impairment | 172,000 | 98,000 | ' | ||
Ending balance | 1,024,000 | 845,000 | ' | ||
Minimum lease payments: [Abstract] | ' | ' | ' | ||
Ending balance: collectively evaluated for impairment | 81,114,000 | 64,246,000 | ' | ||
Ending balance: individually evaluated for impairment | 437,000 | 368,000 | ' | ||
Ending balance | 81,551,000 | 64,614,000 | ' | ||
Large law firm [Member] | ' | ' | ' | ||
Minimum lease payments: [Abstract] | ' | ' | ' | ||
Notes Receivable | 3,400,000 | 3,400,000 | ' | ||
Total receivable | 3,100,000 | 2,800,000 | ' | ||
Customer [Member] | ' | ' | ' | ||
Minimum lease payments: [Abstract] | ' | ' | ' | ||
Ending balance: individually evaluated for impairment | $3,300,000 | ' | ' | ||
[1] | For details on reserve for credit losses, refer to Note 4, bReserves for Credit Losses.b |
RESERVES_FOR_CREDIT_LOSSES_CQR
RESERVES FOR CREDIT LOSSES, CQR (Details) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Lease-Related Receivables [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
31-60 Days Past Due | $227 | $505 |
61-90 Days Past Due | 92 | 367 |
Greater Than 90 Days Past Due | 185 | 94 |
Total Past Due | 504 | 966 |
Current | 588 | 423 |
Unbilled Minimum Lease Payments | 80,459 | 63,225 |
Total Minimum Lease Payments | 81,551 | 64,614 |
Unearned Income | -5,346 | -4,412 |
Non-Recourse Notes Payable | -38,115 | -18,194 |
Net Credit Exposure | 38,090 | 42,008 |
Notes Receivable [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
31-60 Days Past Due | 0 | 2,721 |
61-90 Days Past Due | 205 | 127 |
Greater Than 90 Days Past Due | 939 | 1,558 |
Total Past Due | 1,144 | 4,406 |
Current | 2,317 | 3,450 |
Unbilled Minimum Lease Payments | 40,246 | 27,174 |
Total Minimum Lease Payments | 43,707 | 35,030 |
Non-Recourse Notes Payable | -23,132 | -6,824 |
Net Credit Exposure | 20,575 | 28,206 |
High CQR [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Losses on net credit exposure, lower limit (in hundredths) | 0.00% | ' |
Losses on net credit exposure, upper limit (in hundredths) | 5.00% | ' |
High CQR [Member] | Lease-Related Receivables [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
31-60 Days Past Due | 194 | 454 |
61-90 Days Past Due | 35 | 316 |
Greater Than 90 Days Past Due | 106 | 28 |
Total Past Due | 335 | 798 |
Current | 502 | 322 |
Unbilled Minimum Lease Payments | 42,159 | 38,278 |
Total Minimum Lease Payments | 42,996 | 39,398 |
Unearned Income | -1,890 | -2,777 |
Non-Recourse Notes Payable | -17,406 | -10,337 |
Net Credit Exposure | 23,700 | 26,284 |
High CQR [Member] | Notes Receivable [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
31-60 Days Past Due | 0 | 1,342 |
61-90 Days Past Due | 205 | 127 |
Greater Than 90 Days Past Due | 148 | 832 |
Total Past Due | 353 | 2,301 |
Current | 2,317 | 3,450 |
Unbilled Minimum Lease Payments | 30,249 | 22,097 |
Total Minimum Lease Payments | 32,919 | 27,848 |
Non-Recourse Notes Payable | -19,641 | -5,621 |
Net Credit Exposure | 13,278 | 22,227 |
Average CQR [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Losses on net credit exposure, lower limit (in hundredths) | 2.00% | ' |
Losses on net credit exposure, upper limit (in hundredths) | 25.00% | ' |
Average CQR [Member] | Lease-Related Receivables [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
31-60 Days Past Due | 33 | 51 |
61-90 Days Past Due | 57 | 51 |
Greater Than 90 Days Past Due | 18 | 5 |
Total Past Due | 108 | 107 |
Current | 86 | 101 |
Unbilled Minimum Lease Payments | 37,924 | 24,640 |
Total Minimum Lease Payments | 38,118 | 24,848 |
Unearned Income | -3,401 | -1,596 |
Non-Recourse Notes Payable | -20,709 | -7,857 |
Net Credit Exposure | 14,008 | 15,395 |
Average CQR [Member] | Notes Receivable [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
31-60 Days Past Due | 0 | 1,379 |
61-90 Days Past Due | 0 | 0 |
Greater Than 90 Days Past Due | 0 | 0 |
Total Past Due | 0 | 1,379 |
Current | 0 | 0 |
Unbilled Minimum Lease Payments | 6,950 | 2,566 |
Total Minimum Lease Payments | 6,950 | 3,945 |
Non-Recourse Notes Payable | -3,491 | -1,203 |
Net Credit Exposure | 3,459 | 2,742 |
Low CQR [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Losses on net credit exposure, lower limit (in hundredths) | 25.00% | ' |
Losses on net credit exposure, upper limit (in hundredths) | 100.00% | ' |
Low CQR [Member] | Lease-Related Receivables [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
31-60 Days Past Due | 0 | 0 |
61-90 Days Past Due | 0 | 0 |
Greater Than 90 Days Past Due | 61 | 61 |
Total Past Due | 61 | 61 |
Current | 0 | 0 |
Unbilled Minimum Lease Payments | 376 | 307 |
Total Minimum Lease Payments | 437 | 368 |
Unearned Income | -55 | -39 |
Non-Recourse Notes Payable | 0 | 0 |
Net Credit Exposure | 382 | 329 |
Low CQR [Member] | Notes Receivable [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
31-60 Days Past Due | 0 | 0 |
61-90 Days Past Due | 0 | 0 |
Greater Than 90 Days Past Due | 791 | 726 |
Total Past Due | 791 | 726 |
Current | 0 | 0 |
Unbilled Minimum Lease Payments | 3,047 | 2,511 |
Total Minimum Lease Payments | 3,838 | 3,237 |
Non-Recourse Notes Payable | 0 | 0 |
Net Credit Exposure | $3,838 | $3,237 |
PROPERTY_EQUIPMENT_OTHER_ASSET2
PROPERTY, EQUIPMENT, OTHER ASSETS AND LIABILITIES (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Total assets | $18,359 | $16,264 | ' |
Accumulated depreciation and amortization | -14,066 | -14,051 | ' |
Property and equipment - net | 4,293 | 2,213 | ' |
Depreciation expense on property and equipment | 1,330 | 1,096 | 967 |
Other current assets [Abstract] | ' | ' | ' |
Unbilled accounts receivable | 386 | 2,764 | ' |
Prepaid assets | 2,865 | 2,027 | ' |
Supplemental benefit plan investments | 2,544 | 0 | ' |
Other | 1,130 | 730 | ' |
Total other current assets | 6,925 | 5,521 | ' |
Other assets [Abstract] | ' | ' | ' |
Deferred Costs | 1,591 | 873 | ' |
Supplemental benefit plan investments | 0 | 2,301 | ' |
Other | 2,129 | 1,285 | ' |
Other assets - long term | 3,720 | 4,459 | ' |
Other current liabilities [Abstract] | ' | ' | ' |
Accrued expenses | 5,322 | 9,533 | ' |
Deferred compensation | 2,544 | 0 | ' |
Other | 7,516 | 7,874 | ' |
Total other current liabilities | 15,382 | 17,407 | ' |
Other liabilities [Abstract] | ' | ' | ' |
Deferred revenue | 1,822 | 731 | ' |
Deferred compensation | 0 | 2,301 | ' |
Other | 0 | 556 | ' |
Total other liabilities - long term | 1,822 | 3,588 | ' |
Furniture, fixtures and equipment [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Total assets | 11,463 | 9,274 | ' |
Vehicles [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Total assets | 283 | 285 | ' |
Capitalized software [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Total assets | 3,498 | 4,149 | ' |
Leasehold improvements [Member] | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' |
Total assets | $3,115 | $2,556 | ' |
NOTES_PAYABLE_AND_CREDIT_FACIL2
NOTES PAYABLE AND CREDIT FACILITY (Details) (USD $) | 12 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2013 | |
Recourse notes payable with interest rates ranging from 2.24% to 4.84% at March 31, 2014 and 4.84% at March 31, 2013 [Abstract] | ' | ' |
Current | $1,460,000 | 390,000 |
Long-term | 2,100,000 | 1,094,000 |
Total recourse notes payable | 3,560,000 | 1,484,000 |
Non-recourse notes payable secured by financing receivables and investments in operating leases with interest rates ranging from 2.00% to 11.24% at March 31, 2014 and March 31, 2013 [Abstract] | ' | ' |
Current | 30,907,000 | 22,169,000 |
Long-term | 34,421,000 | 18,086,000 |
Total non-recourse notes payable | 65,328,000 | 40,255,000 |
Period of notice required to terminate credit facility at year end | '90 days | ' |
Period of notice required to terminate credit facility at quarter end | '45 days | ' |
GECDF [Member] | ' | ' |
Non-recourse notes payable secured by financing receivables and investments in operating leases with interest rates ranging from 2.00% to 11.24% at March 31, 2014 and March 31, 2013 [Abstract] | ' | ' |
Number of components under GECDF credit facility | 2 | ' |
Reference rate of credit facility | 'One Month LIBOR | ' |
Basis spread on reference rate (in hundredths) | 2.50% | ' |
Guarantor obligations for credit facility, maximum | 10,500,000 | ' |
First Commonwealth Bank of Virginia [Member] | ' | ' |
Non-recourse notes payable secured by financing receivables and investments in operating leases with interest rates ranging from 2.00% to 11.24% at March 31, 2014 and March 31, 2013 [Abstract] | ' | ' |
Amount outstanding under credit facility | 0 | 0 |
Maximum amount can be borrowed under credit facility | 500,000 | ' |
Reference rate of credit facility | 'U.S. Prime rate | ' |
Basis spread on reference rate (in hundredths) | 1.00% | ' |
Account receivable component [Member] | ' | ' |
Non-recourse notes payable secured by financing receivables and investments in operating leases with interest rates ranging from 2.00% to 11.24% at March 31, 2014 and March 31, 2013 [Abstract] | ' | ' |
Amount outstanding under credit facility | 0 | 0 |
Maximum amount can be borrowed under credit facility | 30,000,000 | ' |
Floor plan component [Member] | ' | ' |
Non-recourse notes payable secured by financing receivables and investments in operating leases with interest rates ranging from 2.00% to 11.24% at March 31, 2014 and March 31, 2013 [Abstract] | ' | ' |
Amount outstanding under credit facility | 93,400,000 | 66,300,000 |
Maximum amount can be borrowed under credit facility | 175,000,000 | ' |
Recourse Note Payable [Member] | ' | ' |
Non-recourse notes payable secured by financing receivables and investments in operating leases with interest rates ranging from 2.00% to 11.24% at March 31, 2014 and March 31, 2013 [Abstract] | ' | ' |
Interest rate of notes , minimum (in hundredths) | 2.24% | ' |
Interest rate of notes , maximum (in hundredths) | 4.84% | 4.84% |
Weighted average interest rate of notes (in hundredths) | 3.85% | 4.84% |
Debt Maturity [Abstract] | ' | ' |
Year ending March 31, 2015 | 1,460,000 | ' |
2016 | 237,000 | ' |
2017 | 237,000 | ' |
2018 | 1,627,000 | ' |
2019 and thereafter | 0 | ' |
Long-term Debt | 3,561,000 | ' |
Non-Recourse Note Payable [Member] | ' | ' |
Non-recourse notes payable secured by financing receivables and investments in operating leases with interest rates ranging from 2.00% to 11.24% at March 31, 2014 and March 31, 2013 [Abstract] | ' | ' |
Interest rate of notes , minimum (in hundredths) | 2.00% | 2.00% |
Interest rate of notes , maximum (in hundredths) | 11.24% | 11.24% |
Weighted average interest rate of notes (in hundredths) | 3.46% | 4.23% |
Debt Maturity [Abstract] | ' | ' |
Year ending March 31, 2015 | 30,907,000 | ' |
2016 | 22,769,000 | ' |
2017 | 9,078,000 | ' |
2018 | 2,261,000 | ' |
2019 and thereafter | 313,000 | ' |
Long-term Debt | $65,328,000 | ' |
COMMITMENTS_AND_CONTINGENCIES_1
COMMITMENTS AND CONTINGENCIES (Details) (USD $) | 12 Months Ended | |||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | 19-May-09 | |
Defendant | Defendant | |||
COMMITMENTS AND CONTINGENCIES [Abstract] | ' | ' | ' | ' |
Rent expense | $3,800,000 | $3,500,000 | $2,400,000 | ' |
Future Minimum Lease Payments [Abstract] | ' | ' | ' | ' |
Year ending March 31, 2015 | 4,263,000 | ' | ' | ' |
2016 | 3,251,000 | ' | ' | ' |
2017 | 2,496,000 | ' | ' | ' |
2018 | 1,803,000 | ' | ' | ' |
2019 and thereafter | 655,000 | ' | ' | ' |
Operating Leases, Future Minimum Payments Due | 12,468,000 | ' | ' | ' |
Increase in future minimum lease payments | 5,700,000 | ' | ' | ' |
Legal Proceedings [Abstract] | ' | ' | ' | ' |
Number of defendants infringing patents | ' | ' | ' | 4 |
Number of defendants entered into agreement | 3 | ' | ' | ' |
Judgment amount | 18,200,000 | ' | ' | ' |
Daily coercive fine | $62,362 | ' | ' | ' |
EARNINGS_PER_SHARE_Details
EARNINGS PER SHARE (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||||||||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | ||||||||||
Weighted average number diluted shares outstanding adjustment [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Restricted stock awards that contain non-forfeitable rights to dividends (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 45 | ' | ' | ||||||||||
Basic and Diluted Shares Outstanding [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Weighted average shares outstanding-basic (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 7,927 | 7,810 | 8,002 | ||||||||||
Effect of dilutive shares (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 72 | 93 | 93 | ||||||||||
Weighted average shares outstanding-diluted (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 7,999 | 7,903 | 8,095 | ||||||||||
Calculation of earnings per share - basic [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Net earnings | $8,222 | $10,610 | $8,591 | $7,850 | $7,702 | $9,033 | $10,033 | $8,062 | $35,273 | $34,830 | $23,367 | ||||||||||
Net earnings attributable to participating securities | ' | ' | ' | ' | ' | ' | ' | ' | 307 | 668 | 764 | ||||||||||
Net earnings attributable to common share holders | ' | ' | ' | ' | ' | ' | ' | ' | 34,966 | 34,162 | 22,603 | ||||||||||
Earnings per share - basic (in dollars per share) | $1.04 | [1] | $1.33 | [1] | $1.07 | [1] | $0.98 | [1] | $0.96 | [1] | $1.11 | [1] | $1.26 | [1] | $1.01 | [1] | $4.41 | $4.37 | [1] | $2.82 | |
Calculation of earnings per share - diluted [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Net earnings attributable to common shareholders- basic | ' | ' | ' | ' | ' | ' | ' | ' | 34,966 | 34,162 | 22,603 | ||||||||||
Add: undistributed earnings attributable to participating securities | ' | ' | ' | ' | ' | ' | ' | ' | 3 | 4 | 9 | ||||||||||
Net earnings attributable to common shareholders- diluted | ' | ' | ' | ' | ' | ' | ' | ' | $34,969 | $34,166 | $22,612 | ||||||||||
Earnings per share - diluted (in dollars per share) | $1.03 | [1] | $1.32 | [1] | $1.06 | [1] | $0.97 | [1] | $0.95 | [1] | $1.11 | [1] | $1.25 | [1] | $1 | [1] | $4.37 | [1] | $4.32 | [1] | $2.79 |
[1] | Basic and diluted earnings per share are computed independently for each of the quarters presented. Therefore, the sum of quarterly basic and diluted per share information may not equal annual basic and diluted earnings per share. |
STOCKHOLDERS_EQUITY_Details
STOCKHOLDERS' EQUITY (Details) (USD $) | 12 Months Ended | 150 Months Ended | |||
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Nov. 14, 2013 | Aug. 13, 2012 |
STOCKHOLDERS' EQUITY [Abstract] | ' | ' | ' | ' | ' |
Authorized number of shares under stock repurchase program (in shares) | ' | ' | ' | 750,000 | 500,000 |
Common stock repurchased during the period (in shares) | 198,401 | 19,423 | 4,900,000 | ' | ' |
Average cost of share repurchased (in dollars per share) | $53.84 | $29.46 | $15.56 | ' | ' |
Common stock repurchased during the period | $10,700 | $572 | $76,000 | ' | ' |
Shares repurchased to satisfy tax withholding obligation (in shares) | ' | 37,928 | ' | ' | ' |
SHAREBASED_COMPENSATION_Detail
SHARE-BASED COMPENSATION (Details) (USD $) | 12 Months Ended | 60 Months Ended | 60 Months Ended | 12 Months Ended | ||||||||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2014 | |
Stock Options [Member] | Restricted Stock [Member] | Restricted Stock [Member] | 2008 Director LTIP [Member] | 2008 Director LTIP [Member] | 2008 Employee LTIP [Member] | 2008 Employee LTIP [Member] | 2012 Employee LTIP [Member] | 2012 Employee LTIP [Member] | ||||
Restricted Stock [Member] | Restricted Stock [Member] | Restricted Stock [Member] | ||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares authorized (in shares) | ' | ' | ' | ' | ' | ' | 250,000 | ' | 1,000,000 | ' | 750,000 | ' |
Stock options granted to employees (in shares) | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Options outstanding (in shares) | ' | 40,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Average exercise price (in dollars per share) | $12.73 | $15.25 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares exercised | 40,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total intrinsic value of stock options exercised | ' | ' | ' | $1,600,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Estimated forfeiture rate (in hundredths) | ' | ' | ' | ' | 0.00% | ' | ' | ' | ' | ' | ' | ' |
Number of Shares [Rollforward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Nonvested (in shares) | ' | ' | ' | ' | 246,048 | ' | ' | ' | ' | ' | ' | ' |
Granted (in shares) | ' | ' | ' | ' | 87,021 | ' | ' | 105,757 | ' | 454,160 | ' | 77,115 |
Vested (in shares) | ' | ' | ' | ' | -132,615 | ' | ' | ' | ' | ' | ' | ' |
Forfeited (in shares) | ' | ' | ' | ' | -334 | ' | ' | ' | ' | ' | ' | ' |
Nonvested (in shares) | ' | ' | ' | ' | 200,120 | 246,048 | ' | ' | ' | ' | ' | ' |
Weighted Average Grant-date Fair Value [Rollforward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Nonvested (in dollars per share) | ' | ' | ' | ' | $26.32 | ' | ' | ' | ' | ' | ' | ' |
Granted (in dollars per share) | ' | ' | ' | ' | $57.34 | ' | ' | ' | ' | ' | ' | ' |
Vested (in dollars per share) | ' | ' | ' | ' | $24.45 | ' | ' | ' | ' | ' | ' | ' |
Forfeited (in dollars per share) | ' | ' | ' | ' | $23.06 | ' | ' | ' | ' | ' | ' | ' |
Nonvested (in dollars per share) | ' | ' | ' | ' | $41.11 | $26.32 | ' | ' | ' | ' | ' | ' |
Vested share-based awards withheld to satisfy income tax obligations (in shares) | ' | 37,928 | ' | ' | 42,073 | 37,928 | ' | ' | ' | ' | ' | ' |
Vested share-based awards withheld to satisfy income tax obligations | ' | ' | ' | ' | 2,500,000 | 1,300,000 | ' | ' | ' | ' | ' | ' |
Compensation Expense [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total share-based compensation expense | 4,000,000 | 3,300,000 | 2,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unrecognized compensation expense | ' | ' | ' | 0 | 5,100,000 | ' | ' | ' | ' | ' | ' | ' |
Unrecognized compensation expense, period for recognition | '27 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
401 (k) Profit Sharing Plan [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Employer contribution vesting period | '4 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Contribution to profit sharing plan | $1,100,000 | $1,100,000 | $800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
INCOME_TAXES_Details
INCOME TAXES (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Reconciliation of unrecognized tax benefits [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Beginning balance | ' | ' | ' | $316,000 | ' | ' | ' | $316,000 | $316,000 | $316,000 | ' |
Reductions to uncertain tax positions | ' | ' | ' | ' | ' | ' | ' | ' | -167,000 | 0 | ' |
Ending balance | 149,000 | ' | ' | ' | 316,000 | ' | ' | ' | 149,000 | 316,000 | 316,000 |
Unrecognized tax benefits that would impact effective tax rate | 193,000 | ' | ' | ' | 434,000 | ' | ' | ' | 193,000 | 434,000 | ' |
Interest on income taxes expense included in statement of operation | ' | ' | ' | ' | ' | ' | ' | ' | 7,000 | 17,000 | ' |
Accrued interest on income taxes | 65,000 | ' | ' | ' | 197,000 | ' | ' | ' | 65,000 | 197,000 | ' |
Reconciliation of income taxes to the statutory rate [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Statutory federal income tax rate (in hundredths) | ' | ' | ' | ' | ' | ' | ' | ' | 35.00% | 35.00% | 35.00% |
Income tax expense computed at the U.S. statutory federal rate | ' | ' | ' | ' | ' | ' | ' | ' | 21,040,000 | 20,555,000 | 13,850,000 |
State income tax expense - net of federal benefit | ' | ' | ' | ' | ' | ' | ' | ' | 3,080,000 | 2,894,000 | 2,096,000 |
Non-deductible executive compensation | ' | ' | ' | ' | ' | ' | ' | ' | 248,000 | 150,000 | 152,000 |
Other | ' | ' | ' | ' | ' | ' | ' | ' | 457,000 | 316,000 | 109,000 |
Provision for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 24,825,000 | 23,915,000 | 16,207,000 |
Effective income tax rate (in hundredths) | ' | ' | ' | ' | ' | ' | ' | ' | 41.30% | 40.70% | 41.00% |
Current: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Federal | ' | ' | ' | ' | ' | ' | ' | ' | 23,313,000 | 20,041,000 | 12,266,000 |
State | ' | ' | ' | ' | ' | ' | ' | ' | 5,033,000 | 4,453,000 | 3,088,000 |
Foreign | ' | ' | ' | ' | ' | ' | ' | ' | 15,000 | 36,000 | 59,000 |
Total current expense | ' | ' | ' | ' | ' | ' | ' | ' | 28,361,000 | 24,530,000 | 15,413,000 |
Deferred: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Federal | ' | ' | ' | ' | ' | ' | ' | ' | -3,274,000 | -581,000 | 814,000 |
State | ' | ' | ' | ' | ' | ' | ' | ' | -262,000 | -34,000 | -20,000 |
Total deferred expense (benefit) | ' | ' | ' | ' | ' | ' | ' | ' | -3,536,000 | -615,000 | 794,000 |
Provision for income taxes | 5,775,000 | 7,443,000 | 6,104,000 | 5,503,000 | 5,043,000 | 6,496,000 | 6,875,000 | 5,501,000 | 24,825,000 | 23,915,000 | 16,207,000 |
Deferred Tax Assets: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accrued vacation | 1,700,000 | ' | ' | ' | 1,345,000 | ' | ' | ' | 1,700,000 | 1,345,000 | ' |
Provision for credit losses | 2,111,000 | ' | ' | ' | 1,997,000 | ' | ' | ' | 2,111,000 | 1,997,000 | ' |
State net operating loss carryforward | 1,287,000 | ' | ' | ' | 1,505,000 | ' | ' | ' | 1,287,000 | 1,505,000 | ' |
Book compensation on discounted stock options | 0 | ' | ' | ' | 77,000 | ' | ' | ' | 0 | 77,000 | ' |
Deferred compensation | 1,010,000 | ' | ' | ' | 898,000 | ' | ' | ' | 1,010,000 | 898,000 | ' |
Deferred revenue | 260,000 | ' | ' | ' | 221,000 | ' | ' | ' | 260,000 | 221,000 | ' |
Foreign tax credit | 11,000 | ' | ' | ' | 0 | ' | ' | ' | 11,000 | 0 | ' |
Federal net operating loss carry forward | 88,000 | ' | ' | ' | 168,000 | ' | ' | ' | 88,000 | 168,000 | ' |
Other accruals and reserves | 1,740,000 | ' | ' | ' | 2,043,000 | ' | ' | ' | 1,740,000 | 2,043,000 | ' |
Gross deferred tax assets | 8,207,000 | ' | ' | ' | 8,254,000 | ' | ' | ' | 8,207,000 | 8,254,000 | ' |
Less: valuation allowance | -1,287,000 | ' | ' | ' | -1,505,000 | ' | ' | ' | -1,287,000 | -1,505,000 | ' |
Net deferred tax assets | 6,920,000 | ' | ' | ' | 6,749,000 | ' | ' | ' | 6,920,000 | 6,749,000 | ' |
Deferred Tax Liabilities: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basis difference in fixed assets | -1,056,000 | ' | ' | ' | -491,000 | ' | ' | ' | -1,056,000 | -491,000 | ' |
Basis difference in operating lease items | -4,674,000 | ' | ' | ' | -8,765,000 | ' | ' | ' | -4,674,000 | -8,765,000 | ' |
Basis difference in tax deductible goodwill | -2,449,000 | ' | ' | ' | -2,288,000 | ' | ' | ' | -2,449,000 | -2,288,000 | ' |
Total deferred tax liabilities | -8,179,000 | ' | ' | ' | -11,544,000 | ' | ' | ' | -8,179,000 | -11,544,000 | ' |
Net deferred tax liabilities | -1,259,000 | ' | ' | ' | -4,795,000 | ' | ' | ' | -1,259,000 | -4,795,000 | ' |
Reported as : [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred tax assets | 3,742,000 | ' | ' | ' | 2,023,000 | ' | ' | ' | 3,742,000 | 2,023,000 | ' |
Deferred tax liabilities - long-term | -5,001,000 | ' | ' | ' | -6,818,000 | ' | ' | ' | -5,001,000 | -6,818,000 | ' |
Net deferred tax liabilities | -1,259,000 | ' | ' | ' | -4,795,000 | ' | ' | ' | -1,259,000 | -4,795,000 | ' |
State and Local Jurisdiction [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Operating loss carryforwards | $29,000,000 | ' | ' | ' | ' | ' | ' | ' | $29,000,000 | ' | ' |
Expiration date | ' | ' | ' | ' | ' | ' | ' | ' | '2024 | ' | ' |
FAIR_VALUE_MEASUREMENTS_Detail
FAIR VALUE MEASUREMENTS (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Assets [Abstract] | ' | ' |
Money market funds | $54,267 | $24,140 |
Total Gains (Losses) | 0 | 0 |
Liabilities [Abstract] | ' | ' |
Contingent consideration | ' | 918 |
Total Gains (Losses) | ' | 0 |
Adjustment to fair value of contingent consideration | 355 | 99 |
Payments of contingent consideration | 1,273 | ' |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ' | ' |
Assets [Abstract] | ' | ' |
Money market funds | 54,267 | 24,140 |
Liabilities [Abstract] | ' | ' |
Contingent consideration | ' | 0 |
Significant Other Observable Inputs (Level 2) [Member] | ' | ' |
Assets [Abstract] | ' | ' |
Money market funds | 0 | 0 |
Liabilities [Abstract] | ' | ' |
Contingent consideration | ' | 0 |
Significant Unobservable Inputs (Level 3) [Member] | ' | ' |
Assets [Abstract] | ' | ' |
Money market funds | 0 | 0 |
Liabilities [Abstract] | ' | ' |
Contingent consideration | ' | $918 |
BUSINESS_COMBINATIONS_Details
BUSINESS COMBINATIONS (Details) (AdviStor, Inc. [Member], USD $) | 0 Months Ended |
Nov. 14, 2013 | |
Business Acquisition [Line Items] | ' |
Cash paid | $2,800,000 |
Estimated useful life | '6 years |
Other net assets | 375,000 |
Customer Relationships [Member] | ' |
Business Acquisition [Line Items] | ' |
Identifiable intangible assets | 1,600,000 |
Technology Reporting Unit [Member] | ' |
Business Acquisition [Line Items] | ' |
Recognized goodwill related to acquisition | $900,000 |
SEGMENT_REPORTING_Details
SEGMENT REPORTING (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Segment | |||||||||||
SEGMENT REPORTING [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of business segment | ' | ' | ' | ' | ' | ' | ' | ' | 2 | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales of product and services | ' | ' | ' | ' | ' | ' | ' | ' | $1,013,374 | $936,228 | $784,951 |
Financing revenue | ' | ' | ' | ' | ' | ' | ' | ' | 35,896 | 38,384 | 30,899 |
Fee and other income | ' | ' | ' | ' | ' | ' | ' | ' | 8,266 | 8,500 | 9,731 |
TOTAL REVENUES | 259,908 | 267,182 | 271,129 | 259,317 | 236,312 | 242,025 | 260,051 | 244,724 | 1,057,536 | 983,112 | 825,581 |
Cost of sales, product and services | ' | ' | ' | ' | ' | ' | ' | ' | 827,875 | 767,447 | 645,558 |
Direct lease costs | ' | ' | ' | ' | ' | ' | ' | ' | 12,748 | 10,892 | 8,508 |
Professional and other fees | ' | ' | ' | ' | ' | ' | ' | ' | 9,041 | 13,098 | 11,744 |
Salaries and benefits | ' | ' | ' | ' | ' | ' | ' | ' | 123,151 | 110,963 | 98,268 |
General and administrative expenses | ' | ' | ' | ' | ' | ' | ' | ' | 22,675 | 20,099 | 20,499 |
Interest and financing costs | ' | ' | ' | ' | ' | ' | ' | ' | 1,948 | 1,868 | 1,430 |
Total costs and expenses | ' | ' | ' | ' | ' | ' | ' | ' | 997,438 | 924,367 | 786,007 |
Earnings before provision for income taxes | 13,997 | 18,053 | 14,695 | 13,353 | 12,745 | 15,529 | 16,908 | 13,563 | 60,098 | 58,745 | 39,574 |
Depreciation and amortization | ' | ' | ' | ' | ' | ' | ' | ' | 14,755 | 12,168 | 9,365 |
Purchases of property, equipment and operating lease equipment | ' | ' | ' | ' | ' | ' | ' | ' | 9,952 | 15,584 | 7,655 |
Total assets | 553,845 | ' | ' | ' | 439,895 | ' | ' | ' | 553,845 | 439,895 | 433,688 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | 1,057,536 | 983,112 | 825,581 |
Assets | 553,845 | ' | ' | ' | 439,895 | ' | ' | ' | 553,845 | 439,895 | ' |
Percentage of total revenues (in hundredths) | ' | ' | ' | ' | ' | ' | ' | ' | 11.00% | 14.00% | ' |
U.S. [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | 1,042,446 | 964,996 | 812,364 |
Assets | 551,723 | ' | ' | ' | 437,509 | ' | ' | ' | 551,723 | 437,509 | ' |
Non U.S [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revenues | ' | ' | ' | ' | ' | ' | ' | ' | 15,090 | 18,116 | 13,217 |
Assets | 2,122 | ' | ' | ' | 2,386 | ' | ' | ' | 2,122 | 2,386 | ' |
Technology [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales of product and services | ' | ' | ' | ' | ' | ' | ' | ' | 1,013,374 | 936,228 | 784,951 |
Financing revenue | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Fee and other income | ' | ' | ' | ' | ' | ' | ' | ' | 8,037 | 6,949 | 7,455 |
TOTAL REVENUES | ' | ' | ' | ' | ' | ' | ' | ' | 1,021,411 | 943,177 | 792,406 |
Cost of sales, product and services | ' | ' | ' | ' | ' | ' | ' | ' | 827,875 | 767,447 | 645,558 |
Direct lease costs | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Professional and other fees | ' | ' | ' | ' | ' | ' | ' | ' | 7,557 | 9,638 | 10,283 |
Salaries and benefits | ' | ' | ' | ' | ' | ' | ' | ' | 113,481 | 100,447 | 88,321 |
General and administrative expenses | ' | ' | ' | ' | ' | ' | ' | ' | 21,103 | 19,028 | 16,627 |
Interest and financing costs | ' | ' | ' | ' | ' | ' | ' | ' | 84 | 89 | 93 |
Total costs and expenses | ' | ' | ' | ' | ' | ' | ' | ' | 970,100 | 896,649 | 760,882 |
Earnings before provision for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 51,311 | 46,528 | 31,524 |
Depreciation and amortization | ' | ' | ' | ' | ' | ' | ' | ' | 2,838 | 2,369 | 1,476 |
Purchases of property, equipment and operating lease equipment | ' | ' | ' | ' | ' | ' | ' | ' | 4,238 | 1,401 | 1,568 |
Total assets | 335,879 | ' | ' | ' | 255,257 | ' | ' | ' | 335,879 | 255,257 | 241,488 |
Financing [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sales of product and services | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Financing revenue | ' | ' | ' | ' | ' | ' | ' | ' | 35,896 | 38,384 | 30,899 |
Fee and other income | ' | ' | ' | ' | ' | ' | ' | ' | 229 | 1,551 | 2,276 |
TOTAL REVENUES | ' | ' | ' | ' | ' | ' | ' | ' | 36,125 | 39,935 | 33,175 |
Cost of sales, product and services | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 |
Direct lease costs | ' | ' | ' | ' | ' | ' | ' | ' | 12,748 | 10,892 | 8,508 |
Professional and other fees | ' | ' | ' | ' | ' | ' | ' | ' | 1,484 | 3,460 | 1,461 |
Salaries and benefits | ' | ' | ' | ' | ' | ' | ' | ' | 9,670 | 10,516 | 9,947 |
General and administrative expenses | ' | ' | ' | ' | ' | ' | ' | ' | 1,572 | 1,071 | 3,872 |
Interest and financing costs | ' | ' | ' | ' | ' | ' | ' | ' | 1,864 | 1,779 | 1,337 |
Total costs and expenses | ' | ' | ' | ' | ' | ' | ' | ' | 27,338 | 27,718 | 25,125 |
Earnings before provision for income taxes | ' | ' | ' | ' | ' | ' | ' | ' | 8,787 | 12,217 | 8,050 |
Depreciation and amortization | ' | ' | ' | ' | ' | ' | ' | ' | 11,917 | 9,799 | 7,889 |
Purchases of property, equipment and operating lease equipment | ' | ' | ' | ' | ' | ' | ' | ' | 5,714 | 14,183 | 6,087 |
Total assets | $217,966 | ' | ' | ' | $184,638 | ' | ' | ' | $217,966 | $184,638 | $192,200 |
QUARTERLY_DATA_UNAUDITED_Detai
QUARTERLY DATA -UNAUDITED (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||||||||||||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | ||||||||||
QUARTERLY DATA -UNAUDITED [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||||||||
Total revenues | $259,908 | $267,182 | $271,129 | $259,317 | $236,312 | $242,025 | $260,051 | $244,724 | $1,057,536 | $983,112 | $825,581 | ||||||||||
Total costs and expenses | 245,911 | 249,129 | 256,434 | 245,964 | 223,567 | 226,496 | 243,143 | 231,161 | 997,438 | 924,367 | 786,007 | ||||||||||
Earnings before provision for income taxes | 13,997 | 18,053 | 14,695 | 13,353 | 12,745 | 15,529 | 16,908 | 13,563 | 60,098 | 58,745 | 39,574 | ||||||||||
Provision for income taxes | 5,775 | 7,443 | 6,104 | 5,503 | 5,043 | 6,496 | 6,875 | 5,501 | 24,825 | 23,915 | 16,207 | ||||||||||
Net earnings | $8,222 | $10,610 | $8,591 | $7,850 | $7,702 | $9,033 | $10,033 | $8,062 | $35,273 | $34,830 | $23,367 | ||||||||||
Net earnings per common share - Basic (in dollars per share) | $1.04 | [1] | $1.33 | [1] | $1.07 | [1] | $0.98 | [1] | $0.96 | [1] | $1.11 | [1] | $1.26 | [1] | $1.01 | [1] | $4.41 | $4.37 | [1] | $2.82 | |
Net earnings per common share - Diluted (in dollars per share) | $1.03 | [1] | $1.32 | [1] | $1.06 | [1] | $0.97 | [1] | $0.95 | [1] | $1.11 | [1] | $1.25 | [1] | $1 | [1] | $4.37 | [1] | $4.32 | [1] | $2.79 |
[1] | Basic and diluted earnings per share are computed independently for each of the quarters presented. Therefore, the sum of quarterly basic and diluted per share information may not equal annual basic and diluted earnings per share. |
SUBSEQUENT_EVENTS_Details
SUBSEQUENT EVENTS (Details) (USD $) | 12 Months Ended | 150 Months Ended | 1 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2014 | 31-May-14 |
Subsequent Event [Member] | ||||
Subsequent Event [Line Items] | ' | ' | ' | ' |
Issuance of shares in secondary offering (in shares) | ' | ' | ' | 1,810,000 |
Repurchase of common stock (in shares) | 198,401 | 19,423 | 4,900,000 | 400,000 |
Repurchase of common stock value | $10,700 | $572 | $76,000 | $19,000 |
Schedule_II_Valuation_and_Qual1
Schedule II - Valuation and Qualifying Accounts (Details) (USD $) | 12 Months Ended | |||||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | ||||
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' | |||
Expected merchandise returns | $3,600,000 | $3,400,000 | $3,200,000 | |||
Allowance for Sales Returns [Member] | ' | ' | ' | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' | |||
Balance at Beginning of Period | 543,000 | [1] | 427,000 | [1] | 347,000 | [1] |
Charged to Costs and Expenses | 1,079,000 | [1] | 1,404,000 | [1] | 1,054,000 | [1] |
Deductions/Write-Offs | -1,030,000 | [1] | -1,288,000 | [1] | -974,000 | [1] |
Balance at End of Period | 592,000 | [1] | 543,000 | [1] | 427,000 | [1] |
Reserve for Credit Losses [Member] | ' | ' | ' | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' | |||
Balance at Beginning of Period | 5,129,000 | 5,606,000 | 2,771,000 | |||
Charged to Costs and Expenses | 750,000 | -333,000 | 3,212,000 | |||
Deductions/Write-Offs | -127,000 | -144,000 | -377,000 | |||
Balance at End of Period | 5,752,000 | 5,129,000 | 5,606,000 | |||
Valuation for Deferred Taxes [Member] | ' | ' | ' | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' | |||
Balance at Beginning of Period | 1,505,000 | 1,217,000 | 1,296,000 | |||
Charged to Costs and Expenses | -218,000 | 288,000 | -79,000 | |||
Deductions/Write-Offs | 0 | 0 | 0 | |||
Balance at End of Period | $1,287,000 | $1,505,000 | $1,217,000 | |||
[1] | These amounts represent the gross margin effect of sales returns during the respective years. Expected merchandise returns after year-end for sales made before year-end were $3.6 million, $3.4 million, and $3.2 million as of March 31, 2014, 2013, and 2011, respectively. |