Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Jan. 31, 2017 | Jun. 30, 2016 | |
Document Type | 10-K | ||
Amendment Flag | false | ||
Amendment Description | |||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | HSON | ||
Entity Registrant Name | Hudson Global, Inc. | ||
Entity Central Index Key | 1,210,708 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 31,708,428 | ||
Entity Public Float | $ 58,308,000 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Revenue | $ 422,744 | $ 463,197 | $ 581,192 |
Direct costs | 248,327 | 275,487 | 358,347 |
Gross margin | 174,417 | 187,710 | 222,845 |
Operating expenses: | |||
Salaries and related | 139,848 | 149,442 | 176,718 |
Office and general | 33,457 | 40,921 | 48,131 |
Marketing and promotion | 4,029 | 4,268 | 5,472 |
Depreciation and amortization | 3,090 | 3,845 | 5,559 |
Business reorganization | 1,580 | 5,828 | 3,789 |
Impairment of long-lived assets | 0 | 0 | 662 |
Total operating expenses | 182,004 | 204,304 | 240,331 |
Gain (Loss) on Disposition of Business | 0 | 19,835 | 0 |
Operating income (loss) | (7,587) | 3,241 | (17,486) |
Non-operating income (expense): | |||
Interest income (expense), net | (357) | (722) | (661) |
Other income (expense), net | (247) | (266) | 202 |
Income (loss) from continuing operations before provision for income taxes | (8,191) | 2,253 | (17,945) |
Provision for (benefit from) income taxes from continuing operations | 742 | 646 | (2,159) |
Income (Loss) from Continuing Operations | (8,933) | 1,607 | (15,786) |
Income (Loss) from Discontinued Operations, Net of Taxes | 143 | 722 | 2,592 |
Net income (loss) | $ (8,790) | $ 2,329 | $ (13,194) |
Earnings (loss) per share (EPS): | |||
Earnings (loss) per share from continuing operations, basic and diluted | $ (0.27) | $ 0.05 | $ (0.48) |
Earnings (loss) per share from discontinued operations, basic and diluted | 0.01 | 0.02 | 0.08 |
Earnings Per Share, Basic and Diluted | $ (0.26) | $ 0.07 | $ (0.40) |
Weighted-average shares outstanding: | |||
Weighted Average Number of Shares Outstanding, Basic | 33,174 | 33,869 | 32,843 |
Weighted Average Number of Shares Outstanding, Diluted | 33,174 | 34,084 | 32,843 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) Statement - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Net income (loss) | $ (8,790) | $ 2,329 | $ (13,194) |
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | (3,333) | (3,326) | (3,718) |
Other Comprehensive (Income) Loss, Pension and Other Postretirement Benefit Plans, Adjustment, Net of Tax | (28) | 5 | 158 |
Other Comprehensive Income (Loss), Net of Tax | (3,361) | (3,321) | (3,560) |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $ (12,151) | $ (992) | $ (16,754) |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Current assets: | ||
Cash and cash equivalents | $ 21,322 | $ 37,663 |
Accounts receivable, less allowance for doubtful accounts of $799 and $860, respectively | 58,517 | 62,420 |
Prepaid and other | 4,265 | 5,979 |
Current assets of discontinued operations | 38 | 81 |
Total current assets | 84,142 | 106,143 |
Property and equipment, net | 7,041 | 7,928 |
Deferred tax assets, non-current | 6,494 | 6,724 |
Other assets | 4,135 | 4,154 |
Total assets | 101,812 | 124,949 |
Current liabilities: | ||
Accounts payable | 4,666 | 5,184 |
Accrued expenses and other current liabilities | 36,154 | 40,344 |
Short-term borrowings | 7,770 | 2,368 |
Accrued business reorganization | 1,756 | 2,252 |
Current liabilities of discontinued operations | 233 | 1,443 |
Total current liabilities | 50,579 | 51,591 |
Deferred rent | 2,968 | 4,244 |
Income tax payable, non-current | 2,211 | 2,279 |
Other Liabilities, Noncurrent | 4,169 | 5,655 |
Total liabilities | 59,927 | 63,769 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Preferred stock, $0.001 par value, 10,000 shares authorized; none issued or outstanding | 0 | 0 |
Common stock, $0.001 par value, 100,000 shares authorized; issued 34,910 and 35,260 shares, respectively | 34 | 34 |
Additional paid-in capital | 482,265 | 480,816 |
Accumulated deficit | (440,478) | (428,287) |
Accumulated Other Comprehensive Income (Loss), Net of Tax | 6,931 | 10,292 |
Treasury stock, 3,145 and 646 shares, respectively, at cost | (6,867) | (1,675) |
Total stockholders’ equity | 41,885 | 61,180 |
Total liabilities and stockholders' equity | $ 101,812 | $ 124,949 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Allowance for doubtful accounts | $ 799 | $ 860 |
Preferred stock, par value (per share) | $ 0 | $ 0.001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, issued | 0 | 0 |
Preferred stock, outstanding | 0 | 0 |
Common stock, par value (per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, issued | 34,910,000 | 35,260,000 |
Treasury stock, shares | 3,145,000 | 646,000 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash flows from operating activities: | |||
Net income (loss) | $ (8,790) | $ 2,329 | $ (13,194) |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | |||
Depreciation and amortization | 3,090 | 3,845 | 5,835 |
Impairment of long-lived assets | 0 | 0 | 1,129 |
Provision for (recovery of) doubtful accounts | 226 | 178 | 97 |
Increase (Decrease) in Deferred Income Taxes | (208) | 189 | (102) |
Stock-based compensation | 1,449 | 4,231 | 1,325 |
Gain on sale and exit of businesses | 0 | (21,245) | (11,333) |
Other, net | 211 | 194 | 354 |
Changes in operating assets and liabilities, net of effect of dispositions: | |||
Decrease (increase) in accounts receivable | (582) | (1,254) | (7,117) |
Decrease (increase) in prepaid and other assets | 1,053 | 2,763 | (1,731) |
Increase (decrease) in accounts payable, accrued expenses and other liabilities | (3,317) | (7,902) | 4,213 |
Increase (decrease) in accrued business reorganization | (2,552) | (679) | 2,684 |
Net cash provided by (used in) operating activities | (9,420) | (17,351) | (17,840) |
Cash flows from investing activities: | |||
Capital expenditures | (2,766) | (3,061) | (5,346) |
Proceeds from Divestiture of Interest in Subsidiaries and Affiliates | 0 | 7,894 | 0 |
Proceeds from sale of assets, net of disposal costs | 42 | 16,815 | 22,077 |
Net cash provided by (used in) investing activities | (2,724) | 21,648 | 16,731 |
Cash flows from financing activities: | |||
Borrowings under credit agreements | 118,583 | 147,429 | 133,030 |
Repayments under credit agreements | (112,835) | (144,994) | (133,194) |
Repayment of capital lease obligations | (85) | (104) | (500) |
Payments of Ordinary Dividends, Common Stock | (3,401) | 0 | 0 |
Payments for deferred financing costs | 0 | (57) | (454) |
Payments for Repurchase of Common Stock | (5,127) | (1,386) | 0 |
Purchase of restricted stock from employees | (65) | (244) | (138) |
Net cash provided by (used in) financing activities | (2,930) | 644 | (1,256) |
Effect of exchange rates on cash and cash equivalents | (1,267) | (1,267) | (1,024) |
Net increase (decrease) in cash and cash equivalents | (16,341) | 3,674 | (3,389) |
Cash and cash equivalents, beginning of the period | 37,663 | 33,989 | 37,378 |
Cash and cash equivalents, end of the period | 21,322 | 37,663 | 33,989 |
Supplemental disclosures of cash flow information: | |||
Cash payments during the period for interest | 336 | 381 | 442 |
Cash payments during the period for income taxes, net of refunds | $ 918 | $ 89 | $ 970 |
CONSOLIDATED STATEMENT OF CHANG
CONSOLIDATED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands | Total | Common stock | Additional paid-in capital | Accumulated deficit | Accumulated other comprehensive income (loss) | Treasury stock |
Beginning Balance (in shares) at Dec. 31, 2013 | 33,332 | |||||
Beginning Balance at Dec. 31, 2013 | $ 74,385 | $ 34 | $ 475,461 | $ (417,422) | $ 17,173 | $ (861) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | (13,194) | (13,194) | ||||
Other comprehensive income (loss), translation adjustments | (3,718) | (3,718) | ||||
Other comprehensive income (loss), pension liability adjustment | 158 | 158 | ||||
Payments for Repurchase of Common Stock | 0 | |||||
Purchase of restricted stock from employees | (36) | |||||
Purchase of restricted stock from employees | $ (129) | (129) | ||||
Issuance of shares for 401(k) plan contribution (in shares) | 118 | 118 | ||||
Issuance of shares for 401(k) plan contribution | $ 430 | (97) | 527 | |||
Stock-based compensation (in shares) | 128 | |||||
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition | 1,325 | 1,325 | ||||
Ending Balance (in shares) at Dec. 31, 2014 | 33,542 | |||||
Ending Balance at Dec. 31, 2014 | 59,257 | $ 34 | 476,689 | (430,616) | 13,613 | (463) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | 2,329 | 2,329 | ||||
Other comprehensive income (loss), translation adjustments | (3,326) | (3,326) | ||||
Other comprehensive income (loss), pension liability adjustment | 5 | 5 | ||||
Stock Repurchased During Period, Shares | (528) | |||||
Payments for Repurchase of Common Stock | (1,386) | (1,386) | ||||
Purchase of restricted stock from employees | (108) | |||||
Purchase of restricted stock from employees | $ (244) | (244) | ||||
Issuance of shares for 401(k) plan contribution (in shares) | 116 | 116 | ||||
Issuance of shares for 401(k) plan contribution | $ 314 | (104) | 418 | |||
Stock-based compensation (in shares) | 1,589 | |||||
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition | 4,231 | 4,231 | ||||
Ending Balance (in shares) at Dec. 31, 2015 | 34,611 | |||||
Ending Balance at Dec. 31, 2015 | 61,180 | $ 34 | 480,816 | (428,287) | 10,292 | (1,675) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Net income (loss) | (8,790) | (8,790) | ||||
Other comprehensive income (loss), translation adjustments | (3,333) | (3,333) | ||||
Other comprehensive income (loss), pension liability adjustment | (28) | (28) | ||||
Dividends, Common Stock, Cash | (3,401) | (3,401) | ||||
Stock Repurchased During Period, Shares | (2,461) | |||||
Payments for Repurchase of Common Stock | (5,127) | (5,127) | ||||
Purchase of restricted stock from employees | (35) | |||||
Purchase of restricted stock from employees | $ (65) | (65) | ||||
Issuance of shares for 401(k) plan contribution (in shares) | 0 | |||||
Stock-based compensation (in shares) | (350) | |||||
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition | $ 1,449 | 1,449 | ||||
Ending Balance (in shares) at Dec. 31, 2016 | 31,765 | |||||
Ending Balance at Dec. 31, 2016 | $ 41,885 | $ 34 | $ 482,265 | $ (440,478) | $ 6,931 | $ (6,867) |
CONSOLIDATED STATEMENT OF STOCK
CONSOLIDATED STATEMENT OF STOCKHOLDERS' EQUITY (Parenthetical) - $ / shares | Jun. 24, 2016 | Mar. 25, 2016 | Dec. 31, 2016 |
Statement of Stockholders' Equity [Abstract] | |||
Cash dividend (in dollars per share) | $ 0.05 | $ 0.05 | $ 0.10 |
DESCRIPTION OF BUSINESS
DESCRIPTION OF BUSINESS | 12 Months Ended |
Dec. 31, 2016 | |
Description of Business [Abstract] | |
DESCRIPTION OF BUSINESS | DESCRIPTION OF BUSINESS Hudson Global, Inc. and its subsidiaries (the “Company”) are comprised of the operations, assets and liabilities of the three Hudson regional businesses of Hudson Americas, Hudson Asia Pacific, and Hudson Europe (“Hudson regional businesses” or “Hudson”). The Company provides specialized professional-level recruitment and related talent solutions worldwide. The Company’s core service offerings include Permanent Recruitment, Contracting, Recruitment Process Outsourcing (“RPO”) and Talent Management Solutions. As of December 31, 2016 , the Company had approximately 1,600 employees operating in 13 countries with three reportable geographic business segments: Hudson Americas, Hudson Asia Pacific, and Hudson Europe. The Company’s core service offerings include: Permanent Recruitment: Offered on both a retained and contingent basis, Hudson’s Permanent Recruitment services leverage its consultants, psychologists and other professionals in the development and delivery of its proprietary methods to identify, select and engage the best-fit talent for critical client roles. Contracting: In Contracting, Hudson provides a range of project management, interim management and professional contract staffing services. These services draw upon a combination of specialized recruiting and project management competencies to deliver a wide range of solutions. Hudson-employed professionals - either individually or as a team - are placed with client organizations for a defined period of time based on a client's specific business need. RPO: Hudson RPO delivers both permanent recruitment and contracting outsourced recruitment solutions tailored to the individual needs of primarily mid-to-large-cap multinational companies. Hudson RPO's delivery teams utilize state-of-the-art recruitment process methodologies and project management expertise in their flexible, turnkey solutions to meet clients' ongoing business needs. Hudson RPO services include complete recruitment outsourcing, project-based outsourcing, contingent workforce solutions and recruitment consulting. Talent Management Solutions: Featuring embedded proprietary talent assessment and selection methodologies, Hudson’s Talent Management capability encompasses services such as talent assessment (utilizing a variety of competency, attitude and experiential testing), interview training, executive coaching, employee development and outplacement. |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Unless otherwise stated, amounts are presented in United States of America (“U.S.”) dollars and all amounts are in thousands, except for number of shares and per share amounts. Certain prior year amounts have been reclassified to conform to the current year presentation for discontinued operations. See Note 4 for further details regarding the discontinued operations reclassification. Recently Adopted Accounting Standards In March 2016, the Financial Accounting Standards Board (the "FASB") issued Accounting Standards Update ("ASU") No. 2016-09, "Compensation - Stock Compensation (Topic 718)" ("ASU 2016-09") which is intended to simplify several aspects of the accounting for share-based payment awards transactions. ASU 2016-09 will be effective for annual periods beginning after December 15, 2016 and interim periods within those annual periods, and early adoption is permitted. The Company has elected to early adopt ASU 2016-09 as of January 1, 2016. The Company elected to account for forfeitures as they occur. The adoption of ASU 2016-09 did not have a material effect on the Company's financial statements and related disclosures. In August 2014, the FASB issued ASU No. 2014-15, "Presentation of Financial Statements - Going Concern (subtopic 205-40)" ("ASU 2014-15") , which requires management to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the entity’s ability to continue as a going concern. Management will be required to perform this assessment for both interim and annual reporting periods and must make certain disclosures if it concludes that substantial doubt exists. ASU 2014-15 is effective for annual periods ending after December 15, 2016 and for interim periods thereafter. The Company adopted ASU 2014-15 effective December 31, 2016. The adoption did not have a material impact on its consolidated financial statements. Principles of Consolidation The Consolidated Financial Statements include the accounts of the Company and all of its wholly-owned and majority-owned subsidiaries. All significant inter-company accounts and transactions between and among the Company and its subsidiaries have been eliminated in consolidation. 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 about future events. These estimates and the underlying assumptions affect the reported amounts of assets and liabilities, the disclosures about contingent assets and liabilities, and the reported amounts of revenue and expenses. Such estimates include the value of allowances for doubtful accounts, insurance recovery receivable, goodwill, intangible assets, and other long-lived assets, legal reserve and provision, estimated self-insured liabilities, assumptions used in the fair value of stock-based compensation and the valuation of deferred tax assets. These estimates and assumptions are based on management's best estimates and judgment. Management evaluates the estimates and assumptions on an ongoing basis using historical experience and other factors, including the current economic environment, which management believes to be reasonable under the circumstances. The Company adjusts such estimates and assumptions when facts and circumstances dictate. As future events and their effects cannot be determined with precision, actual results could differ significantly from those estimates. Instability in the global credit markets puts pressure on global economic conditions and may in turn impact the aforementioned estimates and assumptions. Nature of Business and Credit Risk The Company's revenue is earned from professional placement services, mid-level employee professional staffing and contracting services and human capital services. These services are provided to a large number of customers in many different industries. The Company operates throughout North America, the United Kingdom ("U.K."), Continental Europe, Australia, New Zealand and Asia. During 2016 , no single client accounted for more than 10% of the Company's total revenue. As of December 31, 2016 , no single client accounted for more than 10% of the Company's outstanding accounts receivable. Financial instruments, which potentially subject the Company to concentrations of credit risk, are primarily cash and accounts receivable. The Company performs continuing credit evaluations of its customers and does not require collateral. The Company has not experienced significant losses related to receivables. Revenue Recognition The Company recognizes revenue for temporary services at the time services are provided and revenue is recorded on a time and materials basis. Contracting revenue is reported on a gross basis when the Company acts as the principal in the transaction and is at risk for collection in accordance with FASB Accounting Standards Codification Topic (“ASC”) 605-45, “ Overall Considerations of Reporting Revenue Gross as a Principal versus Net as an Agent. ” The Company's revenues are derived from its gross billings, which are based on (i) the payroll cost of its worksite employees; and (ii) a markup computed as a percentage of the payroll cost. The Company recognizes revenue for permanent placements based on the nature of the fee arrangement. Revenue generated when the Company permanently places an individual with a client on a contingent basis is recorded at the time of acceptance of employment, net of an allowance for estimated fee reversals. Revenue generated when the Company permanently places an individual with a client on a retained basis is recorded ratably over the period services are rendered, net of an allowance for estimated fee reversals. ASC 605-45-50-3 and ASC 605-45-50-4, “ Taxes Collected from Customers and Remitted to Governmental Authorities, ” provide that the presentation of taxes on either a gross basis (included in revenue and expense) or net basis (excluded from revenue) is an accounting policy decision. The Company collects various taxes assessed by governmental authorities and records these amounts on a net basis. Operating Expenses Salaries and related expenses include the salaries, commissions, payroll taxes and employee benefits related to recruitment professionals, executive level employees, administrative staff and other employees of the Company who are not temporary contractors. Office and general expenses include occupancy, equipment leasing and maintenance, utilities, travel expenses, professional fees and provision for doubtful accounts. The Company expenses the costs of advertising and legal costs as incurred. Stock-Based Compensation The Company applies the fair value recognition provisions of ASC 718, " Compensation - Stock Compensation. " The Company determines the fair value as of the grant date. For awards with graded vesting conditions, the values of the awards are determined by valuing each tranche separately and expensing each tranche over the required service period. The service period is the period over which the related service is performed, which is generally the same as the vesting period. Prior to the adoption of ASU 2016-09, the Company recorded stock-based compensation expense net of estimated forfeitures. For stock options, the Black-Scholes option pricing model considers, among other factors, the expected volatility of the Company's stock price, risk-free interest rates, dividend rate and the expected life of the award. Expected volatilities are calculated based on the historical volatility of the Company's common stock. Volatility is determined using historical prices to estimate the expected future fluctuations in the Company's share price. The risk-free interest rate is based on the U.S. Treasury, the term of which is consistent with the expected term of the option. When the Company estimates the expected life of stock options, the Company determines its assumptions for the Black-Scholes option-pricing model in accordance with ASC 718 and Staff Accounting Bulletin ("SAB") No. 107. Significant assumptions used in the valuation of stock options include: • The expected term of stock options is estimated using the simplified method since the Company currently does not have sufficient stock option exercise history. • The expected risk free interest rate is based on the U.S. Treasury constant maturity interest rate which term is consistent with the expected term of the stock options. • The expected volatility is based on the historic volatility. In December 2007, the Securities and Exchange Commission (“SEC”) staff issued SAB No. 110, “Certain Assumptions Used In Valuation Methods - Expected Term" . SAB No. 110 allows companies to continue to use the simplified method, as defined in SAB No. 107, to estimate the expected term of stock options under certain circumstances. The simplified method for estimating expected term uses the mid-point between the vesting term and the contractual term of the stock option. The Company has analyzed the circumstances in which the use of the simplified method is allowed. The Company has opted to use the simplified method for stock options the Company granted because management believes that the Company does not have sufficient historical exercise data to provide a reasonable basis upon which to estimate the expected term. In accordance with ASC 718, the Company reflects the tax savings resulting from tax deductions in excess of income tax benefits as a financing cash flow in its Consolidated Statement of Cash Flows, when applicable. Income Taxes Earnings from the Company's global operations are subject to tax in various jurisdictions both within and outside the United States. The Company accounts for income taxes in accordance with ASC 740, “ Income Taxes ”. This standard establishes financial accounting and reporting standards for the effects of income taxes that result from an enterprise's activities. It requires an asset and liability approach for financial accounting and reporting of income taxes. The calculation of net deferred tax assets assumes sufficient future earnings for the realization of such assets as well as the continued application of currently anticipated tax rates. Included in net deferred tax assets is a valuation allowance for deferred tax assets where management believes it is more likely than not that the deferred tax assets will not be realized in the relevant jurisdiction. If we determine that a deferred tax asset will not be realizable, an adjustment to the deferred tax asset will result in a reduction of earnings at that time. See Note 7 to the Consolidated Financial Statements for further information regarding deferred tax assets and valuation allowance. ASC 740-10-55-3, “ Recognition and Measurement of Tax Positions - a Two Step Process, ” provides implementation guidance related to the accounting for uncertainty in income taxes recognized in an enterprise's financial statements and prescribes a two-step evaluation process for a tax position taken or expected to be taken in a tax return. The first step is recognition and the second is measurement. ASC 740 also provides guidance on derecognition, measurement, classification, disclosures, transition and accounting for interim periods. The Company provides tax reserves for U.S. Federal, state and local and international unrecognized tax benefits for all periods subject to audit. The development of reserves for these exposures requires judgments about tax issues, potential outcomes and timing, and is a subjective critical estimate. The Company assesses its tax positions and records tax benefits for all years subject to examination based upon management's evaluation of the facts, circumstances, and information available at the reporting dates. For those tax positions where it is more likely than not that a tax benefit will be sustained, the Company has recorded the largest amount of tax benefit with a greater than 50% likelihood of being realized upon settlement with a tax authority that has full knowledge of all relevant information. For those tax positions where it is not more likely than not that a tax benefit will be sustained, no tax benefit has been recognized in the financial statements. Where applicable, associated interest and penalties have also been recognized as a component of income tax expense. Although the outcome related to these exposures is uncertain, in management's opinion, adequate provisions for income taxes have been made for estimable potential liabilities emanating from these exposures. In certain circumstances, the ultimate outcome for exposures and risks involve significant uncertainties which render them inestimable. If actual outcomes differ materially from these estimates, including those that cannot be quantified, they could have material impact on the Company's results of operations. U.S. Federal income and foreign withholding taxes have not been provided on the undistributed earnings of foreign subsidiaries. The Company intends to reinvest these earnings in its foreign operations indefinitely, except where it is able to repatriate these earnings to the United States without a material incremental tax provision. The determination and estimation of the future income tax consequences in all relevant taxing jurisdictions involves the application of highly complex tax laws in the countries involved, particularly in the United States, and is based on the tax profile of the Company in the year of earnings repatriation. Accordingly, it is not practicable to determine the amount of tax associated with such undistributed earnings. Earnings (Loss) Per Share Basic earnings (loss) per share (“EPS”) is computed by dividing the Company’s net income (loss) by the weighted average number of shares outstanding during the period. When the effects are not anti-dilutive, diluted earnings (loss) per share is computed by dividing the Company’s net income (loss) by the weighted average number of shares outstanding and the impact of all dilutive potential common shares, primarily stock options “in-the-money” and unvested restricted stock. The dilutive impact of stock options and unvested restricted stock is determined by applying the “treasury stock” method. Performance-based restricted stock awards are included in the computation of diluted earnings per share only to the extent that the underlying performance conditions: (i) are satisfied prior to the end of the reporting period, or (ii) would be satisfied if the end of the reporting period were the end of the related performance period and the result would be dilutive under the treasury stock method. Stock awards subject to vesting or exercisability based on the achievement of market conditions are included in the computation of diluted earnings per share only when the market conditions are met. Income (loss) per share calculations for each quarter include the weighted average effect for the quarter; therefore, the sum of quarterly income (loss) per share amounts may not equal year-to-date income (loss) per share amounts, which reflect the weighted average effect on a year-to-date basis. Fair Value of Financial Instruments The carrying amounts reported in the Consolidated Balance Sheets for cash and cash equivalents, accounts receivable, accounts payable and short-term borrowings approximate fair value because of the immediate or short-term maturity of these financial instruments. Cash and Cash Equivalents For financial statement presentation purposes, the Company considers all highly liquid investments having an original maturity of three months or less as cash equivalents. Accounts Receivable The Company's accounts receivable balances are composed of trade and unbilled receivables. The Company maintains an allowance for doubtful accounts and makes ongoing estimates as to the ability to collect on the various receivables. If the Company determines that the allowance for doubtful accounts is not adequate to cover estimated losses, an expense to provide for doubtful accounts is recorded in office and general expenses. If an account is determined to be uncollectible, it is written off against the allowance for doubtful accounts. Management's assessment and judgment are vital requirements in assessing the ultimate realization of these receivables, including the current credit-worthiness, financial stability and effect of market conditions on each customer. Property and Equipment Property and equipment are stated at cost. Depreciation is computed primarily using the straight line method over the following estimated useful lives: Years Furniture and equipment 3 - 8 Capitalized software costs 3 - 5 Computer equipment 2 - 5 Leasehold improvements are amortized over the shorter of their estimated useful lives or the lease term. The amortization periods of material leasehold improvements are estimated at the inception of the lease term. Capitalized Software Costs Capitalized software costs consist of costs to purchase and develop software for internal use. The Company capitalizes certain incurred software development costs in accordance with ASC 350-40, “Intangibles Goodwill and Other: Internal-Use Software.” Costs incurred during the application-development stage for software purchased and further customized by outside vendors for the Company's use and software developed by a vendor for the Company's proprietary use have been capitalized. Costs incurred for the Company's own personnel who are directly associated with software development are capitalized as appropriate. Capitalized software costs are included in property and equipment. Impairment of Long-Lived Assets The Company periodically evaluates whether events or changes in circumstances have occurred that indicate long-lived assets may not be recoverable. When such circumstances are present, the Company assesses whether the carrying value will be recovered through the expected undiscounted future cash flows resulting from the use and eventual disposition of the long-lived asset. In the event the sum of the expected undiscounted future cash flows is less than the carrying value of the long-lived asset, an impairment loss equal to the excess of the long-lived asset's carrying value over its fair value is recorded. The fair values of long-lived assets are based on the Company's own judgments about the assumptions that market participants would use in pricing the asset or on observable market data, when available. Goodwill Impairment ASC 350-20-35,“ Intangibles-Goodwill and Other, Goodwill Subsequent Measurement, ” requires that goodwill not be amortized but be tested for impairment on an annual basis, or more frequently if circumstances warrant. The Company tests goodwill for impairment annually as of October 1, or more frequently if circumstances indicate that its carrying value might exceed its current fair value. Per the provisions of ASC 350, the Company may elect to first perform a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. In the qualitative assessment, the Company considers events and circumstances such as macroeconomic conditions, industry and market considerations, cost factors, overall financial performance and the trend of cash flows, other relevant company-specific events and the ''cushion'' between a reporting unit's fair value and carrying amount in the recent fair value calculation. If it is concluded that it is more likely than not that the fair value of a reporting unit is less than its carrying value, it is necessary to perform the currently prescribed two-step goodwill impairment test. Otherwise, the two-step goodwill impairment test is not required. The first step of the goodwill impairment test, used to identify potential impairment, compares the fair value of a reporting unit with its carrying amount, including goodwill. The Company tests goodwill for impairment at the reporting unit level. A reporting unit is an operating segment or one level below an operating segment (referred to as a component). A component of an operating segment is a reporting unit if the component constitutes a business for which discrete financial information is available and segment management regularly reviews the operating results of that component. The Company's reporting units are the components within the reportable segments identified in Note 19 . If the fair value of a reporting unit exceeds its carrying amount, the second step of the impairment test is unnecessary. If the carrying amount of a reporting unit exceeds its fair value, the second step of the goodwill impairment test is performed to measure the amount of impairment loss, if any. Step two compares the implied fair value of the reporting unit's goodwill with the current carrying amount of that goodwill. If the carrying value of a reporting unit's goodwill exceeds its implied fair value, an impairment amount equal to the difference is recorded. Foreign Currency Translation The financial position and results of operations of the Company's international subsidiaries are determined using local currency as the functional currency. Assets and liabilities of these subsidiaries are translated at the exchange rate in effect at each year-end. Statements of Operations accounts are translated at the average rate of exchange prevailing during each period. Translation adjustments arising from the use of differing exchange rates from period to period are included in the accumulated other comprehensive income (loss) account in stockholders' equity, other than translation adjustments on short-term intercompany balances, which are included in other income (expense). Gains and losses resulting from other foreign currency transactions are included in other income (expense). Intercompany receivable balances of a long-term investment nature are considered part of the Company's permanent investment in a foreign jurisdiction and the gains or losses on these balances are reported in other comprehensive income. Comprehensive Income (Loss) Comprehensive income (loss) is defined to include all changes in equity except those resulting from investments by owners and distributions to owners. The Company's other comprehensive income (loss) is primarily comprised of foreign currency translation adjustments, which relate to investments that are permanent in nature, and changes in unrecognized pension and post-retirement benefit costs. Recent Accounting Standard Updates Not Yet Adopted In November 2016, the FASB issued ASU No. 2016-18 "Statement of Cash Flows (Topic 230): Restricted Cash" ("ASU 2016-18"), which requires the inclusion of restricted cash with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. The ASU is effective for public business entities for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. The Company is currently evaluating the impact to its consolidated financial statements. In August 2016, the FASB issued ASU No. 2016-15, "Statement of Cash Flows (Topic 230) - Classification of Certain Cash Receipts and Cash Payments" ("ASU 2016-15"), which provides clarification on how companies present and classify certain cash receipts and cash payments in the statement of cash flows. ASU 2016-15 will be effective for fiscal periods beginning after December 15, 2017 and interim periods within those fiscal years. Early adoption is permitted. If an entity early adopts the amendments in an interim period, any adjustments must be reflected as of the beginning of the fiscal year that includes that interim period. An entity that elects early adoption must adopt all of the amendments in the same period. The Company is currently evaluating the impact to its consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-02, "Leases (Topic 842)" ("ASU 2016-02") , which amends the existing standards for lease accounting. This new standard requires the recognition of lease assets and lease liabilities on the balance sheet and the disclosure of key information about leasing arrangements including the amounts, timing, and uncertainty of cash flows arising from leases. ASU 2016-02 will be effective for the Company on January 1, 2019 and will require modified retrospective application as of the beginning of the earliest year presented in the financial statements. Early adoption is permitted. We plan to adopt this ASU on January 1, 2019, and are currently evaluating the impact to our consolidated financial statements. In May 2014, the FASB issued ASU No. 2014-09, "Revenue from Contracts with Customers (Topic 606)." This ASU is a comprehensive new revenue recognition model that requires a company to recognize revenue to depict the transfer of goods or services to a customer at an amount that reflects the consideration it expects to receive in exchange for those goods or services. This ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. In July 2015, the FASB amended the effective date of this ASU to fiscal years beginning after December 15, 2017 and early adoption is permitted only for fiscal years beginning after December 15, 2016. In March, April and May 2016, the FASB issued ASU 2016-08 “ Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net) ,” ASU 2016-10 “ Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing ,” and ASU 2016-12 " Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients " which provide further clarifications to be considered when implementing this ASU. The two permitted transition methods under the new standard are the full retrospective method, in which case the standard would be applied to each prior reporting period presented, or the modified retrospective method, in which case the cumulative effect of applying the standard would be recognized at the date of initial application. We have started evaluating the impact of this ASU as it relates to our revenue streams, as well as certain associated expenses, however, are unable at this time to assess whether the application of this ASU has a material impact on the recognition of our revenues. Depending on the results of our review, there could be changes to the classification and timing of recognition of revenues and expenses. We expect to complete our assessment process, including selecting a transition method for adoption, by the end of the third quarter of 2017 along with our implementation process prior to the adoption of this ASU on January 1, 2018. There have been no other new accounting pronouncements not yet effective that have significance, or potential significance, to the Company's Consolidated Financial Statements. |
DIVESTITURES (Notes)
DIVESTITURES (Notes) | 12 Months Ended |
Dec. 31, 2016 | |
DIVESTITURES [Line Items] | |
Mergers, Acquisitions and Dispositions Disclosures [Text Block] | DIVESTITURES Hudson Information Technology (US) business (the "US IT business") On June 15, 2015, the Company completed the sale (the "US IT Business Sale") of substantially all of the assets (excluding working capital) of its US IT business to Mastech, Inc. (the "Purchaser"). The completion of the US IT Business Sale was effective June 14, 2015. The US IT Business Sale was pursuant to an Asset Purchase Agreement, dated as of May 8, 2015, by and among the Company, Hudson Global Resources Management, Inc., a wholly owned subsidiary of the Company, and the Purchaser. At the closing of the Sale, the Company received from the Purchaser pursuant to the Asset Purchase Agreement the purchase price of $16,977 in cash. The US IT business pre-tax loss in accordance with ASC No. 205 "Reporting Discontinued Operations" ("ASC 205") for the year ended December 31, 2015 was $130 compared to a pre-tax profit of $2,167 for the same period in 2014. On the US IT Business Sale, for the year ended December 31, 2015, the Company recognized a pre-tax gain of $15,918 , net of closing and other direct transaction costs. Income tax on the gain of the US IT business sale was $11 . For U.S. Federal income tax purposes, the gain is offset in full by net operating loss carryforwards. For state and local income tax purposes, the gain is mostly offset by net operating loss carryforwards. As the divestiture did not meet the requirements for classification as discontinued operations, the gain on sale is presented as a component of income (loss) from operations. Netherlands business On May 7, 2015, the Company entered into a Share Purchase Agreement and completed the sale (the "Netherlands Business Sale") of its Netherlands business, to InterBalance Group B.V., effective April 30, 2015, in a management buyout for $9,029 , which included cash retained of $1,135 . As a result, for the year ended December 31, 2015 the Company recognized a gain of $2,841 on the divestiture of the Netherlands Business Sale, which included $2,799 of non-cash accumulated foreign currency translation losses. Income tax on the gain was $0 because the gain is exempt from Netherlands tax. As the divestiture did not meet the requirements for classification as discontinued operations, the gain on sale is presented as a component of income (loss) from operations. The Netherlands pre-tax profit in accordance with ASC 205 for the years ended December 31, 2015 and 2014 was $373 and $1,799 , respectively. Exit of Businesses in Central and Eastern Europe In February 2015, the Company's Board of Directors approved the exit of operations in certain countries within Central and Eastern Europe (Ukraine, Czech Republic and Slovakia). During the second quarter of 2015, the Company deemed the liquidation of its Central and Eastern Europe businesses to be substantially complete. In accordance with ASC 830, "Foreign Currency Matters," ("ASC 830") for the year ended December 31, 2015 the Company transferred $1,208 of accumulated foreign currency translation gains from accumulated other comprehensive income to the statement of operations within gain on sale and exit of businesses. Luxembourg In March 2015, the Company's management approved the exit of operations in Luxembourg. In the third quarter of 2015, the Company deemed the liquidation of its Luxembourg business to be substantially complete. In accordance with ASC 830, for the year ended December 31, 2015, the Company transferred $132 of accumulated foreign currency translation losses from accumulated other comprehensive income to the statement of operations within gain on sale and exit of businesses. |
DISCONTINUED OPERATIONS
DISCONTINUED OPERATIONS | 12 Months Ended |
Dec. 31, 2016 | |
Discontinued Operations [Abstract] | |
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block] | DISCONTINUED OPERATIONS Effective November 9, 2014, the Company completed the sale of substantially all of the assets and certain liabilities of its Legal eDiscovery business in the U.S. and U.K. to Document Technologies, LLC and DTI of London Limited for $23,000 in cash, and recorded a gain of $11,333 in connection with the sale excluding customary working capital adjustments. Based on the terms of the asset purchase agreement, the Company had no significant continuing involvement in the operations of the Legal eDiscovery business after the disposal transaction. In addition, the Company ceased operations in Sweden, which were included within the Hudson Europe segment, during the third quarter of 2014. The Company concluded that the divestiture of the Legal eDiscovery business and the cessation of operations in Sweden met the criteria for discontinued operations set forth in ASC No. 205, " Presentation of Financial Statements. " The Company reclassified its discontinued operations for all periods presented and has excluded the results of its discontinued operations from continuing operations and from segment results for all periods presented. The carrying amounts of the major classes of assets and liabilities from the Legal eDiscovery business and Sweden operations included as part of the discontinued operations were as follows: December 31, 2016 December 31, 2015 eDiscovery Sweden Total eDiscovery Sweden Total Total assets $ 38 $ — $ 38 $ 49 $ 32 $ 81 Total liabilities (a) $ 291 $ — $ 291 $ 1,439 $ 4 $ 1,443 a. Total liabilities primarily consisted of restructuring liabilities for lease termination payments and severance. Reported results for the discontinued operations by period were as follows: For The Year Ended December 31, 2016 eDiscovery Sweden Total Revenue $ 30 $ — $ 30 Gross margin 130 — 130 Business reorganization (111 ) — (111 ) Operating income (loss), excluding gain (loss) from sale of business 187 (19 ) 168 Other non-operating income (loss), including interest — — — Gain (loss) from sale of discontinued operations — — — Income (loss) from discontinued operations before income taxes 187 (19 ) 168 Provision (benefit) for income taxes (b) 25 — 25 Income (loss) from discontinued operations $ 162 $ (19 ) $ 143 For The Year Ended December 31, 2015 eDiscovery Sweden Total Revenue $ (1 ) $ 30 $ 29 Gross margin (30 ) 30 — Business reorganization 501 (29 ) 472 Operating income (loss), excluding gain (loss) from sale of business (731 ) 14 (717 ) Other non-operating income (loss), including interest (8 ) — (8 ) Gain (loss) from sale of discontinued operations 137 1,273 1,410 Income (loss) from discontinued operations before income taxes (602 ) 1,287 685 Provision (benefit) for income taxes (b) (37 ) — (37 ) Income (loss) from discontinued operations $ (565 ) $ 1,287 $ 722 For The Year Ended December 31, 2014 eDiscovery Sweden Total Revenue $ 54,620 $ 1,513 $ 56,133 Gross margin 9,227 864 10,091 Business reorganization 2,861 416 3,277 Impairment charges (a) 467 — 467 Operating income (loss), excluding gain (loss) from sale of business (5,491 ) (1,087 ) (6,578 ) Other non-operating income (loss), including interest (9 ) (33 ) (42 ) Gain (loss) from sale of discontinued operations 11,333 — 11,333 Income (loss) from discontinued operations before income taxes 5,833 (1,120 ) 4,713 Provision (benefit) for income taxes (b) 2,121 — 2,121 Income (loss) from discontinued operations $ 3,712 $ (1,120 ) $ 2,592 a. As a result of the divestiture of the Company's Legal eDiscovery business in the fourth quarter of 2014, the Company recorded impairment charges related to assets no longer in use of $467 in the U.S. and U.K. b. Income tax expense is provided at the effective tax rate by taxing jurisdiction and differs from the U.S. statutory tax rate of 35% due to the inability of the Company to recognize tax benefits on losses in the U.S. and certain foreign jurisdictions, variations from the U.S. tax rate in foreign jurisdictions, non-deductible expenses and other miscellaneous taxes. |
REVENUE, DIRECT COSTS AND GROSS
REVENUE, DIRECT COSTS AND GROSS MARGIN | 12 Months Ended |
Dec. 31, 2016 | |
Revenue, Direct Costs and Gross Margin [Abstract] | |
REVENUE, DIRECT COSTS AND GROSS MARGIN | REVENUE, DIRECT COSTS AND GROSS MARGIN The Company’s revenue, direct costs and gross margin were as follows: For The Year Ended December 31, 2016 Contracting Permanent Recruitment Talent Management Other Total Revenue $ 270,777 $ 112,582 $ 37,204 $ 2,181 $ 422,744 Direct costs (1) 236,654 2,429 7,216 2,028 248,327 Gross margin $ 34,123 $ 110,153 $ 29,988 $ 153 $ 174,417 For The Year Ended December 31, 2015 Contracting Permanent Recruitment Talent Management (2) Other Total Revenue $ 305,052 $ 118,934 $ 37,425 $ 1,786 $ 463,197 Direct costs (1) 262,322 2,733 8,681 1,751 275,487 Gross margin $ 42,730 $ 116,201 $ 28,744 $ 35 $ 187,710 For the Year Ended December 31, 2014 Contracting Permanent Recruitment Talent Management (2) Other Total Revenue $ 408,106 $ 126,686 $ 43,586 $ 2,814 $ 581,192 Direct costs (1) 345,586 2,369 7,980 2,412 358,347 Gross margin $ 62,520 $ 124,317 $ 35,606 $ 402 $ 222,845 (1) Direct costs include the direct staffing costs of salaries, payroll taxes, employee benefits, travel expenses and insurance costs for the Company’s contractors and reimbursed out-of-pocket expenses and other direct costs. Other than reimbursed out-of-pocket expenses, there are no other direct costs associated with the Permanent Recruitment and Other categories. Gross margin represents revenue less direct costs. The region where services are provided, the mix of contracting and permanent recruitment, and the functional nature of the staffing services provided can affect gross margin. (2) Talent Management has been recast from Other in this disclosure. |
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
STOCK-BASED COMPENSATION | STOCK-BASED COMPENSATION Equity Compensation Plans The Company maintains the Hudson Global, Inc. 2009 Incentive Stock and Awards Plan, as amended and restated on May 24, 2016 (the “ISAP”), pursuant to which it can issue equity-based compensation incentives to eligible participants. The ISAP permits the granting of stock options, restricted stock, and restricted stock units as well as other types of equity-based awards. The Compensation Committee of the Company’s Board of Directors (the “Compensation Committee”) will establish such conditions as it deems appropriate on the granting or vesting of stock options, restricted stock, restricted stock units and other types of equity-based awards. As determined by the Compensation Committee, equity awards may also be subject to immediate vesting upon the occurrence of certain events following a change in control of the Company. The Company primarily grants restricted stock and restricted stock units to its employees. A restricted stock unit is equivalent to one share of the Company’s common stock and is payable only in common stock of the Company issued under the ISAP. The Compensation Committee administers the ISAP and may designate any of the following as a participant under the ISAP: any officer or other employee of the Company or its affiliates or individuals engaged to become an officer or employee, consultants or other independent contractors who provide services to the Company or its affiliates and non-employee directors of the Company. On May 24, 2016, the Company's stockholders approved an amendment and restatement of the ISAP to, among other things, increase the number of shares of the Company's common stock that are reserved for issuance by 2,400,000 shares. As of December 31, 2016 , there were 2,834,298 shares of the Company’s common stock available for future issuance. All share issuances related to stock compensation plans are issued from the aforementioned stock available for future issuance under stockholder approved compensation plans. The Company’s stock plan agreements provided that a change in control of the Company will occur if, among other things, individuals who were directors as of the date of the agreement and any new director whose appointment or election was approved or recommended by a vote of at least two-thirds of the directors then in office who were either directors on the date of the agreement or whose appointment or election was previously so approved or recommended (each, a “continuing director”) cease to constitute a majority of the Company’s directors. A change in control occurred as of the Company's 2015 annual meeting of stockholders on June 15, 2015 under these agreements because continuing directors ceased to constitute a majority of the Company's directors. As a result, certain equity awards vested resulting in an accelerated stock-based compensation expense of $2,541 for the year ended December 31, 2015 . A summary of the quantity and vesting conditions for stock-based units granted to the Company's employees for the year ended December 31, 2016 was as follows: Vesting conditions Number of Restricted Stock Units Granted Performance and service conditions (1) (2) 500,000 (1) The performance conditions with respect to restricted stock units may be satisfied as follows: (a) For employees from the Americas, Asia Pacific and Europe 80% of the restricted stock units may be earned on the basis of performance as measured by "regional adjusted EBITDA," and 20% of the restricted stock units may be earned on the basis of performance as measured by "group adjusted EBITDA"; and (b) For employees from the Corporate office 100% of the restricted stock units may be earned on the basis of performance as measured by "group adjusted EBITDA." (2) To the extent restricted stock units are earned on the basis of performance, such restricted stock units will vest on the basis of service as follows: (a) 33% of the restricted stock units will vest on the first anniversary of the grant date; (b) 33% of the restricted stock units will vest on the second anniversary of the grant date; and (c) 34% of the restricted stock units will vest on the third anniversary of the grant date; provided that, in each case, the employee remains employed by the Company from the grant date through the applicable service vesting date. The Company also maintains the Director Deferred Share Plan (the “Director Plan”) pursuant to which it can issue restricted stock units to its non-employee directors. A restricted stock unit is equivalent to one share of the Company’s common stock and is payable only in common stock issued under the ISAP upon a director ceasing service as a member of the Board of Directors of the Company. The restricted stock units vest immediately upon grant and are credited to each of the non-employee director's retirement accounts under the Director Plan. Restricted stock units issued under the Director Plan contain the right to a dividend equivalent award in the form of additional restricted stock units. The dividend equivalent award is calculated using the same rate as the cash dividend paid on a share of the Company's common stock, and then divided by the closing price of the Company’s common stock on the date the dividend is paid to determine the number of additional restricted stock units to grant. Dividend equivalent awards have the same vesting terms as the underlying awards. During the year ended December 31, 2016 , the Company granted 263,477 restricted stock units to its non-employee directors pursuant to the Director Plan. As of December 31, 2016, non-employee directors held 459,656 deferred restricted stock units. For the years ended December 31, 2016 , 2015 and 2014 , the Company’s stock-based compensation expense related to stock options, restricted stock and restricted stock units, which are included in the accompanying Consolidated Statements of Operations, were as follows: For The Year Ended December 31, 2016 2015 2014 Stock options $ 17 $ 23 $ 85 Restricted stock 678 3,188 798 Restricted stock units 754 1,020 442 Total $ 1,449 $ 4,231 $ 1,325 Tax benefits recognized in jurisdictions where the Company has taxable income $ 90 $ 362 $ 98 As of December 31, 2016 and 2015 , unrecognized compensation expense and weighted average period over which the compensation expense is expected to be recognized relating to the unvested portion of the Company's stock options, restricted stock, and restricted stock unit awards, in each case, based on the Company's historical valuation treatment, were as follows: As of December 31, 2016 2015 Unrecognized Expense Weighted Average Period in Years Unrecognized Expense Weighted Average Period in Years Stock options $ — 0.00 $ 17 0.85 Restricted stock $ — 0.00 $ 701 0.75 Restricted stock units $ 195 1.55 $ — 0.00 Stock Options Stock options granted by the Company generally expire between five and ten years after the date of grant and have an exercise price of at least 100% of the fair market value of the underlying share of common stock on the date of grant and generally vest ratably over a four-year period. The following were the weighted average assumptions used to determine the fair value of stock options granted by the Company and the details of option activity as of and for the respective periods: As of December 31, 2016 2015 2014 Volatility (a) 48.9% (a) Risk free interest rate (a) 1.1% (a) Dividends (a) — (a) Expected life (years) (a) 2.75 (a) Weighted average fair value of options granted during the period (a) $0.81 (a) (a) Stock option assumptions are not provided above because there were no options granted during the years ended December 31, 2016 and 2014 . Changes in the Company’s stock options for the years ended December 31, 2016 , 2015 and 2014 were as follows: For The Year Ended December 31, 2016 2015 2014 Number of Options Weighted Average Exercise Price per Share Number of Options Weighted Average Exercise Price per Share Number of Options Weighted Average Exercise Price per Share Options outstanding at January 1, 206,000 $ 8.13 756,800 $ 8.78 800,350 $ 9.15 Granted — — 50,000 2.49 — — Forfeited — — (485,000 ) 7.32 — — Expired (82,500 ) 11.09 (115,800 ) 13.35 (43,550 ) 15.50 Options outstanding at December 31, 123,500 $ 6.16 206,000 $ 8.13 756,800 $ 8.78 Options exercisable at December 31, 123,500 $ 6.16 181,000 $ 8.91 756,800 $ 8.78 The cash proceeds from the exercise of stock options, associated income tax benefits, and total intrinsic value for stock options exercised based on the closing price of the Company's common stock were nil for the years ended December 31, 2016 , 2015 and 2014 . The weighted average remaining contractual term and the aggregated intrinsic value for stock options outstanding and exercisable as of December 31, 2016 and 2015 were as follows: As of December 31, 2016 2015 Remaining Contractual Term in Years Aggregated Intrinsic Value Remaining Contractual Term in Years Aggregated Intrinsic Value Stock options outstanding 2.35 $ — 2.22 $ 22 Stock options exercisable 2.35 $ — 1.86 $ 11 Restricted Stock Changes in the Company’s restricted stock for the years ended December 31, 2016 , 2015 and 2014 were as follows: For The Year Ended December 31, 2016 2015 2014 Number of Shares of Restricted Stock Weighted Average Grant Date Fair Value Number of Shares of Restricted Stock Weighted Average Grant Date Fair Value Number of Shares of Restricted Stock Weighted Average Grant Date Fair Value Unvested restricted stock at January 1, 680,000 $ 1.60 803,999 $ 3.00 997,802 $ 3.00 Granted — — 1,270,500 2.17 482,900 3.22 Vested (330,000 ) 2.45 (1,204,798 ) 2.90 (182,251 ) 5.21 Forfeited (350,000 ) 0.85 (189,701 ) 3.14 (494,452 ) 2.39 Unvested restricted stock at December 31, — $ — 680,000 $ 1.60 803,999 $ 3.00 The total fair value of restricted stock vested during the years ended December 31, 2016 , 2015 and 2014 were as follows: For The Year Ended December 31, 2016 2015 2014 Fair value of restricted stock vested $ 553 $ 2,675 $ 669 Restricted Stock Units Changes in the Company’s restricted stock units arising from grants to certain employees and non-employee directors for the years ended December 31, 2016 , 2015 and 2014 were as follows: For The Year Ended December 31, 2016 2015 2014 Number of Shares of Restricted Stock Unit Weighted Average Grant-Date Fair Value Number of Shares of Restricted Stock Unit Weighted Average Grant-Date Fair Value Number of Shares of Restricted Stock Unit Weighted Average Grant-Date Fair Value Unvested restricted stock units at January 1, — $ — 119,940 $ 3.57 115,869 $ 3.65 Granted 763,477 2.56 372,739 2.47 175,759 3.40 Vested (263,477 ) 2.12 (450,179 ) 2.70 (122,522 ) 3.86 Forfeited (20,000 ) 2.79 (42,500 ) 3.21 (49,166 ) 2.42 Unvested restricted stock units at December 31, 480,000 $ 2.79 — $ — 119,940 $ 3.57 The total fair value of restricted stock units vested during the years ended December 31, 2016 , 2015 and 2014 were as follows: For The Year Ended December 31, 2016 2015 2014 Fair value of restricted stock units vested $ 558 $ 1,022 $ 436 Defined Contribution Plan and Employer-matching contributions The Company maintains the Hudson Global, Inc. 401(k) Savings Plan (the “401(k) plan”). The 401(k) plan allows eligible employees to contribute up to 15% of their earnings to the 401(k) plan. The Company has the discretion to match employees’ contributions up to 3% of the employees' earnings through a contribution of the Company’s common stock or cash. Vesting of the Company’s contribution occurs over a five -year period. For the years ended December 31, 2016 , 2015 and 2014 , the Company’s expenses and contributions to satisfy the prior years’ employer-matching liability for the 401(k) plan were as follows: For The Year Ended December 31, ($ in thousands, except otherwise stated) 2016 2015 2014 Expense recognized for the 401(k) plan $ 155 $ 193 $ 385 Contributions to satisfy prior years' employer-matching liability Number of shares of the Company's common stock issued (in thousands) — 116 118 Market value per share of the Company's common stock on contribution date (in dollars) $ — $ 2.71 $ 3.65 Non-cash contribution made for employer matching liability $ — $ 314 $ 430 Additional cash contribution made for employer-matching liability 162 — — Total contribution made for employer-matching liability $ 162 $ 314 $ 430 |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES Income Tax Provision The domestic and foreign components of income (loss) before income taxes from continuing operations were as follows: Year ended December 31, 2016 2015 2014 Domestic $ (5,768 ) $ 3,607 $ (10,342 ) Foreign (2,423 ) (1,354 ) (7,603 ) Income (loss) from continuing operations before provision for income taxes $ (8,191 ) $ 2,253 $ (17,945 ) The provision for (benefit from) income taxes from continuing operations were as follows: Year ended December 31, 2016 2015 2014 Current tax provision (benefit): U.S. Federal $ — $ — $ (1,712 ) State and local (11 ) 18 (550 ) Foreign 981 439 205 Total current provision for (benefit from) income taxes 970 457 (2,057 ) Deferred tax provision (benefit): U.S. Federal — — — State and local — — — Foreign (228 ) 189 (102 ) Total deferred provision for (benefit from) income taxes (228 ) 189 (102 ) Total provision for (benefit from) income taxes from continuing operations $ 742 $ 646 $ (2,159 ) Tax Rate Reconciliation The effective tax rates for the years ended December 31, 2016 , 2015 and 2014 were negative 9.1% , 28.7% and 12.0% , respectively. These effective tax rates differ from the U.S. Federal statutory rate of 35% due to state income taxes, changes in valuation allowances in the U.S. and certain foreign jurisdictions which reduces or eliminates the effective tax rate on current year profits or losses, variations from the U.S. Federal statutory rate in foreign jurisdictions, taxes on repatriations of foreign profits, and non-deductible expenses. The effect of state tax rate changes in 2015 on deferred tax assets was offset by an increase in valuation allowance and has no net impact on effective tax rate. The following is a reconciliation of the effective tax rate from continuing operations for the years ended December 31, 2016 , 2015 and 2014 to the U.S. Federal statutory rate of 35%: Year ended December 31, 2016 2015 2014 Provision for (benefit from) continuing operations at Federal statutory rate of 35% $ (2,867 ) $ 787 $ (6,281 ) State income taxes, net of Federal income tax effect (7 ) 11 (357 ) Change in valuation allowance (5,045 ) 447 (3,427 ) Taxes related to foreign income 8,901 2,140 5,628 Effect of state tax rate changes on deferred tax assets — (6,834 ) — Nondeductible expenses 399 1,375 2,446 Others (639 ) 2,720 (168 ) Provision for (benefit from) income taxes $ 742 $ 646 $ (2,159 ) Deferred Taxes Assets (Liabilities) Deferred income taxes are provided for the tax effect of temporary differences between the financial reporting basis and the tax basis of assets and liabilities. As of December 31, 2015 the Company adopted ASU No. 2015-17, "Balance Sheet Classification of Deferred Taxes" on a prospective basis, which required that deferred tax assets and liabilities be classified as noncurrent in a classified statement of financial position. Accordingly, net deferred tax assets as of December 31, 2016 and 2015, have been classified as non-current in the accompanying Consolidated Balance Sheets. Significant temporary differences at December 31, 2016 and 2015 were as follows: As of December 31, 2016 2015 Deferred tax assets (liabilities): Allowance for doubtful accounts $ 157 $ 122 Property and equipment 1,024 321 Goodwill and intangibles 3,879 5,381 Accrued compensation 3,011 2,666 Accrued liabilities and other 2,311 3,244 Tax loss carry-forwards 152,197 154,028 Deferred tax assets (liabilities) gross, total 162,579 165,762 Valuation allowance (156,343 ) (159,298 ) Deferred tax assets (liabilities), net of valuation allowance, total $ 6,236 $ 6,464 Net Operating Losses (“NOLs”) and Valuation Allowance At December 31, 2016 , the Company had net NOLs for U.S. Federal tax purposes of approximately $326,295 . This total includes approximately $16,584 of tax losses that were not absorbed by Monster Worldwide, Inc. ("Monster") on its consolidated U.S. Federal tax returns through the spin off of the Company on April 1, 2003. NOLs expire at various dates through 2036 . As December 31, 2015, the NOL balance did not include a deduction in the amount of $5,222 attributable to stock options and restricted stock until such time as the Company recognizes the deferred tax asset associated with such deduction. During 2016, the Company adopted ASU 2016-09, as a result the NOL balance was increased by the $5,222 previously unrecognized deductions related to stock options and restricted stock and the valuation allowance was increased resulting in a net tax impact of $0 . The Company's utilization of NOLs is subject to an annual limitation imposed by Section 382 of the Internal Revenue Code, which may limit our ability to utilize all of the existing NOLs before the expiration dates. As of December 31, 2016 , certain international subsidiaries had NOLs for local tax purposes of $82,355 . With the exception of $75,273 of NOLs with an indefinite carry forward period as of December 31, 2016 , these losses will expire at various dates through 2036 , with $42 scheduled to expire during 2017 . The deferred tax recognized for NOLs are presented net of unrecognized tax benefits, where applicable. ASC 740-10-30-5 requires that a valuation allowance be established when it is more likely than not that all or a portion of a deferred tax asset will not be realized. In making this assessment, management considers the level of historical taxable income, scheduled reversals of deferred tax liabilities, tax planning strategies, and projected future taxable income. The provision for income tax includes a net tax benefit of $887 , resulting from changes in judgment regarding the realizability of deferred tax assets in future years. As of December 31, 2016 , $147,941 of the valuation allowance relates to the deferred tax asset for NOLs, $130,518 of which is U.S. Federal and state, and $17,423 of which is foreign, that management has determined will more likely than not expire prior to realization. The remaining valuation allowance of $8,402 relates to deferred tax assets on U.S. and foreign temporary differences that management estimates will not be realized due to the Company's U.S. and foreign tax losses. Uncertain Tax Positions As of December 31, 2016 and 2015 , the Company's unrecognized tax benefits, including interest and penalties, which would lower the Company’s annual effective income tax rate if recognized in the future, were as follows: As of December 31, 2016 2015 Gross unrecognized tax benefits excluding interest and penalties $ 2,039 $ 2,190 Less: amount presented as a reduction to a deferred tax asset 438 447 Unrecognized tax benefits, excluding interest and penalties $ 1,601 $ 1,743 Accrued interest and penalties 610 536 Total unrecognized tax benefits that would impact the effective tax rate $ 2,211 $ 2,279 The following table shows a reconciliation of the beginning and ending amounts of unrecognized tax benefits, exclusive of interest and penalties: Balance at January 1, 2016 $ 2,190 Additions based on tax positions related to the current year 87 Additions for tax positions of prior years 7 Lapse of statute of limitations (162 ) Currency Translation (83 ) Balance at December 31, 2016 $ 2,039 Estimated interest and penalties classified as part of the provision for income taxes in the Company’s Consolidated Statements of Operations for the years ended December 31, 2016 , 2015 and 2014 were as follows: Year ended December 31, 2016 2015 2014 Expense for (benefit of) estimated interest and penalties related to unrecognized tax benefits $ 77 $ 50 $ (150 ) Based on information available as of December 31, 2016 , it is reasonably possible that the total amount of unrecognized tax benefits could decrease in the range of $200 to $400 over the next 12 months as a result of projected resolutions of global tax examinations and controversies and potential lapses of the applicable statutes of limitations. In many cases, the Company’s unrecognized tax benefits are related to tax years that remain subject to examination by the relevant tax authorities. Tax years with NOLs remain open until such losses expire or the statutes of limitations for those years when the NOLs are used or expire. As of December 31, 2016 , the Company's open tax years remain subject to examination by the relevant tax authorities and currently under income tax examination were principally as follows: Year Earliest tax years remain subject to examination by the relevant tax authorities: U.S. Federal 2013 Other U.S. state and local jurisdictions 2012 U.K. 2015 Australia 2012 Majority of other foreign jurisdictions 2011 The Company believes that its tax reserves are adequate for all years subject to examination above. |
EARNINGS (LOSS) PER SHARE
EARNINGS (LOSS) PER SHARE | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
EARNINGS (LOSS) PER SHARE | EARNINGS (LOSS) PER SHARE A reconciliation of the numerators and denominators of the basic and diluted earnings (loss) per share calculations were as follows: For The Year Ended December 31, 2016 2015 2014 Earnings (loss) per share ("EPS"): EPS - basic and diluted Income (loss) from continuing operations $ (0.27 ) $ 0.05 $ (0.48 ) Income (loss) from discontinued operations 0.01 0.02 0.08 Net income (loss) $ (0.26 ) $ 0.07 $ (0.40 ) EPS numerator - basic and diluted: Income (loss) from continuing operations $ (8,933 ) $ 1,607 $ (15,786 ) Income (loss) from discontinued operations, net of income taxes 143 722 2,592 Net income (loss) $ (8,790 ) $ 2,329 $ (13,194 ) EPS denominator (in thousands): Weighted average common stock outstanding - basic 33,174 33,869 32,843 Common stock equivalents: stock options and other stock-based awards (a) — 215 — Weighted average number of common stock outstanding - diluted 33,174 34,084 32,843 (a) For the periods in which net losses are presented, the diluted weighted average number of shares of common stock outstanding did not differ from the basic weighted average number of shares of common stock outstanding because the effects of any potential common stock equivalents (see Note 6 for further details on outstanding stock options, unvested restricted stock units and unvested restricted stock) were anti-dilutive and therefore not included in the calculation of the denominator of dilutive earnings per share. The weighted average number of shares outstanding used in the computation of diluted net income (loss) per share for the years ended December 31, 2016 , 2015 and 2014 did not include the effect of the following potentially outstanding shares of common stock because the effect would have been anti-dilutive or market conditions have not been achieved: For The Year Ended December 31, 2016 2015 2014 Unvested restricted stock — 350,000 803,999 Unvested restricted stock units 480,000 — 119,940 Stock options 123,500 206,000 756,800 Total 603,500 556,000 1,680,739 |
RESTRICTED CASH
RESTRICTED CASH | 12 Months Ended |
Dec. 31, 2016 | |
Restricted Cash and Investments [Abstract] | |
RESTRICTED CASH | RESTRICTED CASH A summary of the Company’s restricted cash included in the accompanying Consolidated Balance Sheets as of December 31, 2016 and 2015 was as follows: As of December 31, 2016 2015 Included under the caption "Other assets": Collateral accounts $ 557 $ 229 Rental deposits 385 480 Total amount under the caption "Other assets": $ 942 $ 709 Included under the caption "Prepaid and other": Client guarantees $ 139 $ 118 Other 108 110 Total amount under the caption "Prepaid and other" $ 247 $ 228 Total restricted cash $ 1,189 $ 937 Collateral accounts primarily include deposits held under a collateral trust agreement, which supports the Company’s workers’ compensation policy and an outstanding letter of credit in the U.S. The rental deposits with banks include amounts held as guarantees from subtenants in the U.K. Client guarantees were held in banks in Belgium as deposits for various client projects. Other primarily includes bank guarantee for licensing in Switzerland. |
PROPERTY AND EQUIPMENT, NET
PROPERTY AND EQUIPMENT, NET | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment, Net [Abstract] | |
PROPERTY AND EQUIPMENT, NET | PROPERTY AND EQUIPMENT, NET As of December 31, 2016 and 2015 , property and equipment, net were as follows: As of December 31, 2016 2015 Computer equipment $ 5,888 $ 5,911 Furniture and equipment 2,244 2,668 Capitalized software costs 17,010 17,946 Leasehold and building improvements 13,699 15,522 38,841 42,047 Less: accumulated depreciation and amortization 31,800 34,119 Property and equipment, net $ 7,041 $ 7,928 The Company had expenditures of approximately $235 and $513 for acquired property and equipment, mainly consisting of software development, fixtures, computer equipment and leasehold improvements, which had not been placed in service as of December 31, 2016 and 2015 , respectively. Depreciation expense is not recorded for such assets until they are placed in service. Impairment of Long-Lived Assets During the fourth quarter of 2016 , the Company experienced continued declines in the operating results within certain markets. These events were deemed to be triggering events that required the Company to perform an impairment assessment with respect to long-lived assets, primarily property and equipment. The Company estimated the expected undiscounted future cash flows resulting from the long-lived assets' use and eventual disposition, and compared it to their carrying value. The undiscounted future cash flows exceeded the asset group's carrying value, indicating the Company's long-lived assets were not impaired. Non-Cash Capital Expenditures The Company has acquired certain computer equipment under capital lease agreements. The current portion of the capital lease obligations are included under the caption “Accrued expenses and other current liabilities” in the Consolidated Balance Sheets and the non-current portion of the capital lease obligations are included under the caption “Other non-current liabilities” in the Consolidated Balance Sheets as of December 31, 2016 and 2015 . A summary of the Company’s equipment acquired under capital lease agreements was as follows: As of December 31, 2016 2015 Capital lease obligation, current $ 65 $ 62 Capital lease obligation, non-current $ 140 $ 229 The Company acquired $0 and $0 of property and equipment under capital lease agreements for the years ended December 31, 2016 and 2015 , respectively. |
GOODWILL
GOODWILL | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL | GOODWILL The following is a summary of the changes in the carrying value of the Company’s goodwill, which was included under the caption of Other Assets in the accompanying Consolidated Balance Sheets, for the years ended December 31, 2016 and 2015 . The goodwill is related to the Company’s acquisition of the businesses of Tong Zhi (Beijing) Consulting Service Ltd and Guangzhou Dong Li Consulting Service Ltd. Carrying Value 2016 2015 Goodwill, January 1, $ 1,938 $ 2,029 Currency translation (126 ) (91 ) Goodwill, December 31, $ 1,812 $ 1,938 On October 1, 2016 and 2015 , the Company applied ASC 350-20-35, and performed quantitative assessments to determine whether it was more likely than not that the fair value of its China reporting unit was less than its carrying value. At the conclusion of its assessment, the Company determined the fair value of the reporting unit exceeded its carrying value. As such, the Company determined that no impairment of goodwill had taken place. At December 31 2016 , the Company performed additional assessment with respect to goodwill and determined that no impairment existed at its China reporting unit as of December 31, 2016. |
ACCRUED EXPENSES AND OTHER CURR
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | 12 Months Ended |
Dec. 31, 2016 | |
Payables and Accruals [Abstract] | |
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES | ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES As of December 31, 2016 and 2015 , the Company's accrued expenses and other current liabilities consisted of the following: December 31, 2016 2015 Salaries, commissions and benefits $ 21,843 $ 23,684 Sales, use, transaction and income taxes 7,438 7,876 Fees for professional services 1,148 1,760 Rent 1,920 1,218 Deferred revenue 1,024 1,722 Other accruals 2,781 4,084 Total accrued expenses and other current liabilities $ 36,154 $ 40,344 |
BUSINESS REORGANIZATION EXPENSE
BUSINESS REORGANIZATION EXPENSES | 12 Months Ended |
Dec. 31, 2016 | |
Restructuring and Related Activities [Abstract] | |
BUSINESS REORGANIZATION EXPENSES | NOTE 13 – BUSINESS REORGANIZATION The Company initiated and executed certain strategic actions requiring business reorganization ("2016 Exit Plan"). Business exit costs associated with the 2016 Exit Plan primarily consisted of employee termination benefits, lease termination payments and costs for elimination of contracts for certain discontinued services and locations. The Board previously approved other reorganization plans in prior years (the "Previous Plans"). Business exit costs associated with Previous Plans primarily consisted of employee termination benefits, lease termination payments and costs for elimination of contracts for certain discontinued services and locations. For the year ended December 31, 2016 , restructuring charges associated with these initiatives primarily included employee separation costs in Europe and Asia Pacific and lease termination payments for rationalized offices and professional fees in Europe under the 2016 Exit Plan and Previous Plans. Business reorganization from continuing operations for the years ended December 31, 2016 , 2015 and 2014 for the 2016 Exit Plan and the Previous Plans, collectively, were as follows: Year Ended December 31, 2016 2015 2014 Business reorganization from continuing operations Previous Plans $ 482 $ 5,828 $ 3,789 2016 Plan 1,098 — — Total business reorganization from continuing operations $ 1,580 $ 5,828 $ 3,789 The following table contains amounts for Changes in Estimate, Additional Charges, and Payments related to prior restructuring plans that were incurred or recovered during the year ended December 31, 2016 . The amounts for Changes in Estimate and Additional Charges are classified as business reorganization in the Company’s Consolidated Statements of Operations. Amounts in the “Payments” column represent primarily the cash payments associated with the reorganization plans. Changes in the accrued business reorganization for the year ended December 31, 2016 were as follows: December 31, Changes in Estimate Additional Charges Payments December 31, Lease termination payments $ 2,970 $ 301 $ 691 $ (1,689 ) $ 2,273 Employee termination benefits 1,186 (144 ) 460 (1,236 ) 266 Other associated costs 208 22 250 (448 ) 32 Total $ 4,364 $ 179 $ 1,401 $ (3,373 ) $ 2,571 Lease Termination Payments The business reorganization incurred for lease termination for the years ended December 31, 2016 , 2015 and 2014 by segment were as follows: Lease termination payments for the year ended December 31, Hudson Hudson Hudson Americas Asia Pacific Europe Corporate Total 2016 $ (16 ) $ (24 ) $ 1,022 $ 10 $ 992 2015 $ 503 $ 625 $ 1,358 $ 181 $ 2,667 2014 $ 91 $ 771 $ 40 $ — $ 902 Employee Termination Benefits The business reorganization incurred for employee termination benefits for the years ended December 31, 2016 , 2015 and 2014 by segment were as follows: Employee termination benefits for the year ended December 31, Hudson Hudson Hudson Americas Asia Pacific Europe Corporate Total 2016 $ (8 ) $ 273 $ 77 $ (26 ) $ 316 2015 $ 350 $ (2 ) $ 792 $ 969 $ 2,109 2014 $ 3 $ 510 $ 1,285 $ 967 $ 2,765 Other Associated Costs Other associated business reorganization incurred for contract cancellation costs and professional fees for the years ended December 31, 2016 , 2015 and 2014 by segment were as follows: Other Associated Costs for the year ended December 31, Hudson Hudson Hudson Americas Asia Pacific Europe Corporate Total 2016 $ (15 ) $ — $ 287 $ — $ 272 2015 $ 255 $ 47 $ 733 $ 17 $ 1,052 2014 $ — $ 40 $ 82 $ — $ 122 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES Leases The Company leases facilities and equipment under operating leases that expire at various dates through 2027 . Some of the operating leases provide for increasing rents over the term of the lease. Total rent expense under these leases is recognized ratably over the lease terms. As of December 31, 2016 , future minimum lease commitments under non-cancelable operating leases, which will be expensed as primarily in office and general expenses, were as follows: 2017 $ 15,355 2018 13,181 2019 8,758 2020 5,506 2021 1,615 Thereafter 1,027 $ 45,442 Rent and related expenses for operating leases of facilities and equipment recorded under the caption “Office and general” in the accompanying Consolidated Statements of Operations were $8,931 , $10,540 , and $14,441 for the years ended December 31, 2016 , 2015 and 2014 , respectively. Future minimum lease commitments have not been offset by expected future minimum sublease rental income of $5,893 , due in the future through 2020 under subleases with third parties. Commitments and sublease rentals based in currencies other than U.S. dollars were translated using exchange rates as of December 31, 2016 . Asset Retirement Obligations The Company has certain asset retirement obligations that are primarily the result of legal obligations for the removal of leasehold improvements and restoration of premises to their original condition upon termination of leases. The current portion of asset retirement obligations are included under the caption “Accrued expenses and other current liabilities” in the Consolidated Balance Sheets. The non-current portion of asset retirement obligations are included under the caption “Other non-current liabilities” in the Consolidated Balance Sheets. The Company’s asset retirement obligations that are included in the Consolidated Balance Sheets as of December 31, 2016 and 2015 were as follows: As of December 31, 2016 2015 Current portion of asset retirement obligations $ 78 $ 142 Non-current portion of asset retirement obligations 1,693 1,820 Total asset retirement obligations $ 1,771 $ 1,962 Consulting, Employment and Non-compete Agreements The Company has entered into various consulting, and employment agreements with certain key members of management. These agreements generally (i) are one year in length, (ii) contain restrictive covenants, (iii) under certain circumstances, provide for compensation and subject to providing the Company with a release, severance payments, and (iv) are automatically renewed annually unless either party gives sufficient notice of termination. Litigation and Complaints The Company is subject, from time to time, to various claims, lawsuits, contracts disputes and other complaints from, for example, clients, candidates, suppliers, landlords for both leased and subleased properties, former and current employees, and regulators or tax authorities arising in the ordinary course of business. The Company routinely monitors claims such as these, and records provisions for losses when the claim becomes probable and the amount due is estimable. Although the outcome of these claims cannot be determined, the Company believes that the final resolution of these matters will not have a material adverse effect on the Company’s financial condition, results of operations or liquidity. For matters that have reached the threshold of probable and estimable, the Company has established reserves for legal, regulatory and other contingent liabilities. The Company’s reserves were $105 and $109 as of December 31, 2016 and 2015 , respectively. Costs Associated with Termination As previously disclosed, in May 2015, the Company incurred compensation and benefits obligations to its former Chairman and Chief Executive Officer, Manuel Marquez, under his employment agreement, dated March 7, 2011, in connection with the Company providing Mr. Marquez notice of non-renewal of his employment agreement, which is treated as a termination without cause. The Company had accrued $747 as of March 31, 2016 in connection with compensation and benefits Mr. Marquez was entitled to upon a termination without cause, subject to his execution of a release. Mr. Marquez did not agree with the Company’s treatment of compensation and benefits under his employment agreement and, in August 2015, filed an arbitration claim against the Company for additional amounts of up to approximately $2,000 and reimbursement of his legal fees. On May 27, 2016, the arbitrator issued his decision on Mr. Marquez’s claim and awarded Mr. Marquez approximately $1,800 in additional compensation and benefits and approximately $700 toward the reimbursement of a portion of his legal fees incurred pursuing his claim. For the year ended December 31, 2016 , the Company recorded an additional charge of $3,025 for the resolution of this arbitration. |
CREDIT AGREEMENTS
CREDIT AGREEMENTS | 12 Months Ended |
Dec. 31, 2016 | |
Debt Disclosure [Abstract] | |
CREDIT AGREEMENTS | CREDIT AGREEMENTS Receivables Finance Agreement with Lloyds Bank Commercial Finance Limited and Lloyds Bank PLC On August 1, 2014, the Company’s U.K. subsidiary (“U.K. Borrower”) entered into a receivables finance agreement for an asset-based lending funding facility (the “Lloyds Agreement”) with Lloyds Bank PLC and Lloyds Bank Commercial Finance Limited (together, “Lloyds”). Until September 15, 2016, the Lloyds Agreement provided the U.K. Borrower with the ability to borrow up to $18,518 ( £15,000 ), at which time the U.K. Borrower entered into an amendment to the Lloyds Agreement that reduced the borrowing limit to $14,814 ( £12,000 ). Extensions of credit are based on a percentage of the eligible accounts receivable less required reserves from the Company's U.K. operations. The initial term was two years with renewal periods every three months thereafter. Borrowings under this facility are secured by substantially all of the assets of the U.K. Borrower. The credit facility under the Lloyds Agreement contains two tranches. The first tranche is a revolving facility based on the billed contracting and permanent recruitment activities in the U.K. operation ("Lloyds Tranche A"). The borrowing limit of Lloyds Tranche A is $14,197 ( £11,500 ) based on 83% of eligible billed contracting and permanent recruitment receivables. The second tranche is a revolving facility that is based on the unbilled work-in-progress (as defined under the receivables finance agreement) activities in the U.K. operation ("Lloyds Tranche B"). The borrowing limit of Lloyds Tranche B is $617 ( £500 ) based on 25% of eligible work-in-progress from the permanent recruitment. For both tranches, borrowings may be made with an interest rate based on a base rate as determined by Lloyds Bank PLC, based on the Bank of England base rate, plus 1.75% . The Lloyds Agreement contains various restrictions and covenants including (1) that true credit note dilution may not exceed 5% , measured at audit on a regular basis; (2) debt turn may not exceed 55 days over a three month rolling period; (3) dividends by the U.K. Borrower to the Company are restricted to the value of post tax profits; and (4) at the end of each month, there must be a minimum excess availability of $2,469 ( £2,000 ). The details of the Lloyds Agreement as of December 31, 2016 were as follows: December 31, Borrowing capacity $ 7,380 Less: outstanding borrowing (19 ) Additional borrowing availability $ 7,361 Interest rates on outstanding borrowing 2.00 % The Company was in compliance with all financial covenants under the Lloyds Agreement as of December 31, 2016 . Facility Agreement with National Australia Bank Limited On October 30, 2015, Hudson Global Resources (Aust) Pty Limited (“Hudson Australia”) and Hudson Global Resources (NZ) Limited (“Hudson New Zealand”), both subsidiaries of Hudson Global, Inc., entered into a Finance Agreement, dated as of October 27, 2015 (the “Finance Agreement”), with National Australia Bank Limited (“NAB”), a NAB Corporate Receivables Facility Agreement, dated as of October 27, 2015 (the “Australian Receivables Agreement”), with NAB and a BNZ Corporate Receivables Facility Agreement, dated as of October 27, 2015 (the “New Zealand Receivables Agreement”), with Bank of New Zealand (“BNZ”). The Finance Agreement provides a bank guarantee facility of up to $2,161 (AUD 3,000 ) for Hudson Australia and Hudson New Zealand. The Finance Agreement matures and becomes due and payable on October 27, 2018. A fee equal to 1.5% per annum will be charged on each bank guarantee issued under the Finance Agreement. The Finance Agreement bears a fee, payable semiannually in arrears, equal to 0.3% per annum of NAB’s commitment under the Finance Agreement. The Australian Receivables Agreement provides a receivables facility of up to $18,005 (AUD 25,000 ) for Hudson Australia, which is based on an agreed percentage of eligible accounts receivable, and of which up to $2,881 (AUD 4,000 ) may be used to support the working capital requirements of operations in China, Hong Kong and Singapore. The Australian Receivables Agreement does not have a stated maturity date and can be terminated by Hudson Australia or NAB upon 90 days written notice. Borrowings under the Australian Receivables Agreement may be made with an interest rate based on a market rate plus a margin of 1.5% per annum. The Australian Receivable Agreement bears a fee, payable monthly in advance, equal to $5 (AUD 6 ) per month. The New Zealand Receivables Agreement provides a receivables facility of up to $3,463 (NZD 5,000 ) for Hudson New Zealand, which is based on an agreed percentage of eligible accounts receivable. The New Zealand Receivables Agreement does not have a stated maturity date and can be terminated by Hudson New Zealand or BNZ upon 90 days written notice. Borrowings under the New Zealand Receivables Agreement may be made with an interest rate based on a market rate. The New Zealand Receivables Agreement bears a fee, payable monthly in advance, equal to $1 (NZD 1 ) per month. The details of the NAB Finance and Facility Agreements as of December 31, 2016 were as follows: December 31, Finance Agreement: Borrowing capacity $ 2,161 Less: outstanding borrowing (1,901 ) Additional borrowing availability $ 260 Interest rates on outstanding borrowing 1.50 % Australian Receivables Agreement: Borrowing capacity $ 15,606 Less: outstanding borrowing (7,751 ) Additional borrowing availability $ 7,855 Interest rates on outstanding borrowing 3.17 % New Zealand Receivables Agreement: Borrowing capacity $ 2,231 Less: outstanding borrowing — Additional borrowing availability $ 2,231 Interest rates on outstanding borrowing 4.00 % Amounts owing under the Finance Agreement, the Australian Receivables Agreement and the New Zealand Receivables Agreement are secured by substantially all of the assets of Hudson Australia and Hudson New Zealand. Each of the Finance Agreement, the Australian Receivables Agreement and the New Zealand Receivables Agreement contains various restrictions and covenants applicable to the Obligors, including: a requirement that the Obligors maintain (1) a minimum Fixed Charge Coverage Ratio (as defined in the NAB Facility Agreement) of 1.50 x as of the last day of each calendar quarter; and (2) a minimum Receivables Ratio (as defined by the NAB Facility Agreement) of 1.20 x. The Company was in compliance with all financial covenants under the NAB Facility Agreement as of December 31, 2016 . Other Credit Agreements The Company also has lending arrangements with local banks through its subsidiaries in Belgium and Singapore. The Belgium subsidiary had a $1,052 (€ 1,000 ) overdraft facility as of December 31, 2016 . Borrowings under the Belgium lending arrangement may be made using an interest rate based on the one month EURIBOR plus a margin, and the interest rate under each of these arrangements was 2.75% as of December 31, 2016 . The lending arrangement in Belgium has no expiration date and can be terminated with a 15 -day notice period. In Singapore, the Company’s subsidiary can borrow up to $138 (SGD 200 ) for working capital purposes. Interest on borrowings under this overdraft facility is based on the Singapore Prime Rate plus a margin of 1.75% , which was 6.0% on December 31, 2016 . The Singapore overdraft facility expires annually each August but can be renewed for one year periods at that time. The outstanding borrowings under the Belgium and Singapore lending agreements were $0 as of December 31, 2016 . Excluding the NAB Finance Agreement, the average monthly outstanding borrowings and weighted average interest rate for all the credit agreements above was $7,385 and 3.37% , respectively, for the year ended December 31, 2016 . The Company continues to use the aforementioned credit to support its ongoing global working capital requirements, capital expenditures and other corporate purposes and to support letters of credit. Letters of credit and bank guarantees are used primarily to support office leases. |
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY | 12 Months Ended |
Dec. 31, 2016 | |
Stockholders' Equity Attributable to Parent [Abstract] | |
Stockholders' Equity | STOCKHOLDERS' EQUITY The Company paid a cash dividend of $0.05 per share paid on June 24, 2016 to shareholders of record as of June 14, 2016. The Company also paid a cash dividend of $0.05 per share on March 25, 2016 to shareholders of record as of March 15, 2016. As a result, for the year ended December 31, 2016 , the Company paid $3,401 in dividends to shareholders. The cash dividend payments are applied to accumulated deficit. On July 30, 2015, the Company announced that its Board of Directors authorized the repurchase of up to $10,000 of the Company's common stock. The Company intends to make purchases from time to time as market conditions warrant. This authorization does not expire. During the year ended December 31, 2016 and 2015, the Company had repurchased 1,361,493 and 527,634 shares in the open market for a total cost of $3,147 and $1,386 , respectively. During the year ended December 31, 2016 , the Company also purchased 1,100,000 shares from Sagard Capital Partners, L.P. in a private transaction pursuant to a securities purchase agreement for a total cost of $1,980 or $1.80 per share. As of December 31, 2016 , under the July 30, 2015 authorization, the Company had repurchased 2,989,127 shares for a total cost of $6,513 . |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | 12 Months Ended |
Dec. 31, 2016 | |
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) [Abstract] | |
Comprehensive Income (Loss) Note [Text Block] | ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) Accumulated other comprehensive income (loss), net of tax, consisted of the following: December 31, 2016 2015 Foreign currency translation adjustments $ 6,826 $ 10,159 Pension plan obligations 105 133 Accumulated other comprehensive income (loss) $ 6,931 $ 10,292 As a result of the sale of the Netherlands business and substantially complete liquidation of certain foreign owned entities, the net foreign currency translation loss transferred from accumulated other comprehensive income and included in determining net income (loss) was $450 for year ended December 31, 2015 . No such adjustment was recorded in the current year. See Note 3 and 4 regarding the substantially complete liquidation of certain foreign owned entities and the sale of the Netherlands business. For the years ended December 31, 2016 and 2015 , the amounts of accumulated other comprehensive income (loss), which primarily pertained to pension plan obligations, were $22 and $19 , respectively, and reclassified to the Consolidated Statement of Operations under the caption "Salaries and related" expenses. |
SHELF REGISTRATION AND STOCKHOL
SHELF REGISTRATION AND STOCKHOLDER RIGHTS PLAN | 12 Months Ended |
Dec. 31, 2016 | |
Shelf Registrations Disclosure [Abstract] | |
SHELF REGISTRATION AND STOCKHOLDER RIGHTS PLAN | SHELF REGISTRATION AND STOCKHOLDER RIGHTS PLAN Acquisition Shelf Registration Statement The Company has a shelf registration on file with the SEC to enable it to issue up to 1,350,000 shares of its common stock from time to time in connection with acquisitions of businesses, assets or securities of other companies, whether by purchase, merger or any other form of acquisition or business combination. If any shares are issued using this shelf registration, the Company will not receive any proceeds from these offerings other than the assets, businesses or securities acquired. As of December 31, 2016 , all of the 1,350,000 shares were available for issuance. Stockholder Rights Plan On February 5, 2005 , the Board adopted a Rights Agreement between the Company and a rights agent (the "2005 Rights Agreement") and declared a dividend of one preferred share purchase right (a “Right”) for each outstanding share of common stock of the Company. The dividend was paid upon the close of business on February 28, 2005 to the stockholders of record on that date. Each Right entitles the registered holder to purchase from the Company one one-hundredth of a share of Series A Junior Participating Preferred Stock, par value $0.001 (“Preferred Shares”), of the Company, at a price of $8.50 per one one-hundredth of a Preferred Share, subject to adjustment. On January 15, 2015, the Board approved an amendment and restatement of the 2005 Rights Agreement by adopting an Amended and Restated Rights Agreement (the “Rights Agreement”) between the Company and a rights agent. The Board adopted the Rights Agreement in an effort to protect stockholder value by attempting to diminish the risk that the Company’s ability to use its net operating losses (“NOLs”) to reduce potential future federal income tax obligations may become substantially limited. If any person becomes a 4.99% or more stockholder of the Company, then each Right (subject to certain limitations) will entitle its holder to purchase, at the Right's then current exercise price, a number of shares of common stock of the Company or of the acquirer having a market value at the time of twice the Right's per share exercise price. The Company's Board of Directors may redeem the Rights for $0.001 per Right at any time prior to the time when the Rights become exercisable. The Rights will expire on the earliest of (i) January 15, 2018, (ii) the time at which the Rights are redeemed as described above, (iii) the time at which the Rights are exchanged as described in the Rights Agreement, (iv) the repeal of Section 382 of the Internal Revenue Code if the Board determines that the Rights Agreement is no longer necessary for the preservation of the Company’s NOLs, and (v) the beginning of a taxable year of the Company to which the Board determines that no NOLs may be carried forward. |
SEGMENT AND GEOGRAPHIC DATA
SEGMENT AND GEOGRAPHIC DATA | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
SEGMENT AND GEOGRAPHIC DATA | SEGMENT AND GEOGRAPHIC DATA Segment Reporting The Company operates in three reportable segments: the Hudson regional businesses of Hudson Americas, Hudson Asia Pacific, and Hudson Europe. Corporate expenses are reported separately from the three reportable segments and pertain to certain functions, such as executive management, corporate governance, human resources, accounting, administration, tax and treasury, and have been allocated to the reportable segments to the extent which the costs are attributable to the reportable segments. Segment information is presented in accordance with ASC 280, “ Segments Reporting.” This standard is based on a management approach that requires segmentation based upon the Company’s internal organization and disclosure of revenue and certain expenses based upon internal accounting methods. The Company’s financial reporting systems present various data for management to run the business, including internal profit and loss statements prepared on a basis not consistent with U.S. GAAP. Accounts receivable, net and long-lived assets are the only significant assets separated by segment for internal reporting purposes. Hudson Americas Hudson Asia Pacific Hudson Europe Corporate Inter- segment elimination Total For the Year Ended December 31, 2016 Revenue, from external customers $ 15,561 $ 236,839 $ 170,344 $ — $ — $ 422,744 Inter-segment revenue 20 — 314 — (334 ) — Total revenue $ 15,581 $ 236,839 $ 170,658 $ — $ (334 ) $ 422,744 Gross margin, from external customers $ 13,609 $ 84,126 $ 76,682 $ — $ — $ 174,417 Inter-segment gross margin (14 ) (271 ) 285 — — — Total gross margin $ 13,595 $ 83,855 $ 76,967 $ — $ — $ 174,417 Business reorganization $ (39 ) $ 248 $ 1,387 $ (16 ) $ — $ 1,580 EBITDA (loss) (a) $ 770 $ (338 ) $ 1,064 $ (6,240 ) $ — $ (4,744 ) Depreciation and amortization 49 1,744 892 405 — 3,090 Intercompany interest income (expense), net — — (204 ) 204 — — Interest income (expense), net — (318 ) (32 ) (7 ) — (357 ) Income (loss) from continuing operations before income taxes $ 721 $ (2,400 ) $ (64 ) $ (6,448 ) $ — $ (8,191 ) Provision for (benefit from) income taxes $ 30 $ (2,040 ) $ 2,761 $ (9 ) $ — $ 742 As of December 31, 2016 Accounts receivable, net $ 2,507 $ 32,271 $ 23,739 $ — $ — $ 58,517 Long-lived assets, net of accumulated depreciation and amortization $ 2 $ 7,049 $ 1,528 $ 359 $ — $ 8,938 Total assets $ 5,880 $ 51,331 $ 40,790 $ 3,811 $ — $ 101,812 Hudson Americas Hudson Asia Pacific Hudson Europe Corporate Inter- segment elimination Total For the Year Ended December 31, 2015 Revenue, from external customers $ 28,627 $ 219,391 $ 215,179 $ — $ — $ 463,197 Inter-segment revenue 41 — 498 — (539 ) — Total revenue $ 28,668 $ 219,391 $ 215,677 $ — $ (539 ) $ 463,197 Gross margin, from external customers $ 16,111 $ 89,682 $ 81,917 $ — $ — $ 187,710 Inter-segment gross margin 25 (477 ) 451 — 1 — Total gross margin $ 16,136 $ 89,205 $ 82,368 $ — $ 1 $ 187,710 Gain (loss) on sale and exit of businesses $ 15,918 $ — $ 3,917 $ — $ — $ 19,835 Business reorganization $ 1,108 $ 669 $ 2,883 $ 1,168 $ — $ 5,828 EBITDA (loss) (a) $ 13,354 $ 2,851 $ (207 ) $ (9,178 ) $ — $ 6,820 Depreciation and amortization 604 1,951 802 488 — 3,845 Intercompany interest income (expense), net — — (526 ) 526 — — Interest income (expense), net (342 ) (276 ) (94 ) (10 ) — (722 ) Income (loss) from continuing operations before income taxes $ 12,408 $ 624 $ (1,629 ) $ (9,150 ) $ — $ 2,253 Provision for (benefit from) income taxes 58 776 (176 ) (12 ) — 646 As of December 31, 2015 Accounts receivable, net $ 3,155 $ 29,824 $ 29,441 $ — $ — $ 62,420 Long-lived assets, net of accumulated depreciation and amortization $ 36 $ 7,382 $ 1,859 $ 674 $ — $ 9,951 Total assets $ 7,766 $ 49,246 $ 53,557 $ 14,380 $ — $ 124,949 Hudson Americas Hudson Asia Pacific Hudson Europe Corporate Inter- segment elimination Total For the Year Ended December 31, 2014 Revenue, from external customers $ 50,146 $ 246,873 $ 284,173 $ — $ — $ 581,192 Inter-segment revenue 60 — 198 — (258 ) — Total revenue $ 50,206 $ 246,873 $ 284,371 $ — $ (258 ) $ 581,192 Gross margin, from external customers $ 20,757 $ 93,014 $ 109,074 $ — $ — $ 222,845 Inter-segment gross margin 35 (143 ) 108 — — — Total gross margin $ 20,792 $ 92,871 $ 109,182 $ — $ — $ 222,845 Business reorganization $ 94 $ 1,322 $ 1,407 $ 966 $ — $ 3,789 Impairment of long-lived assets $ — $ 314 $ 348 $ — $ — $ 662 EBITDA (loss) (a) $ 117 $ (890 ) $ (1,187 ) $ (9,765 ) $ — $ (11,725 ) Depreciation and amortization 485 3,287 1,247 540 — 5,559 Intercompany interest income (expense), net — — (439 ) 439 — — Interest income (expense), net (90 ) (199 ) (37 ) (335 ) — (661 ) Income (loss) from continuing operations before income taxes $ (458 ) $ (4,376 ) $ (2,910 ) $ (10,201 ) $ — $ (17,945 ) Provision for (benefit from) income taxes $ (2,201 ) $ 11 $ 35 $ (4 ) $ — $ (2,159 ) As of December 31, 2014 Accounts receivable, net $ 6,695 $ 26,745 $ 40,639 $ — $ — $ 74,079 Long-lived assets, net of accumulated depreciation and amortization $ 860 $ 8,227 $ 2,171 $ 584 $ — $ 11,842 Total assets $ 10,553 $ 54,141 $ 65,105 $ 9,873 $ — $ 139,672 (a) SEC Regulation S-K 229.10(e)1(ii)(A) defines EBITDA as earnings before interest, taxes, depreciation and amortization. EBITDA is presented to provide additional information to investors about the Company's operations on a basis consistent with the measures that the Company uses to manage its operations and evaluate its performance. Management also uses this measurement to evaluate working capital requirements. EBITDA should not be considered in isolation or as a substitute for operating income and net income prepared in accordance with U.S. GAAP or as a measure of the Company's profitability. Geographic Data Reporting A summary of revenues for the years ended December 31, 2016 , 2015 and 2014 and long-lived assets and net assets by geographic area as of December 31, 2016 , 2015 and 2014 were as follows: Information by geographic region United Kingdom Australia China United States Continental Europe Other Asia Pacific Other Americas Total For the Year Ended December 31, 2016 Revenue (a) $ 116,508 $ 181,899 $ 16,203 $ 14,690 $ 53,837 $ 38,737 $ 870 $ 422,744 For the Year Ended December 31, 2015 Revenue (a) $ 154,931 $ 159,539 $ 25,401 $ 27,965 $ 60,248 $ 34,451 $ 662 $ 463,197 For the Year Ended December 31, 2014 Revenue (a) $ 181,155 $ 184,853 $ 20,976 $ 49,375 $ 103,018 $ 41,044 $ 771 $ 581,192 As of December 31, 2016 Long-lived assets, net (b) $ 1,259 $ 4,023 $ 2,381 $ 369 $ 261 $ 645 $ — $ 8,938 Net assets $ 9,101 $ 10,732 $ 5,762 $ 4,854 $ 7,284 $ 4,279 $ (127 ) $ 41,885 As of December 31, 2015 Long-lived assets, net (b) $ 1,707 $ 4,115 $ 2,835 $ 718 $ 144 $ 432 $ — $ 9,951 Net assets $ 17,371 $ 9,920 $ 9,386 $ 13,467 $ 7,176 $ 3,875 $ (15 ) $ 61,180 As of December 31, 2014 Long-lived assets, net (b) $ 1,834 $ 5,404 $ 2,186 $ 1,429 $ 330 $ 636 $ 23 $ 11,842 Net assets $ 18,894 $ 13,913 $ 6,198 $ 7,255 $ 9,366 $ 3,574 $ 57 $ 59,257 (a) Revenue by geographic region disclosed above is net of any inter-segment revenue and, therefore, represents only revenue from external customers according to the location of the operating subsidiary. (b) Comprised of property and equipment and goodwill, net of accumulated depreciation and amortization. Corporate assets are included in the United States. |
SELECTED QUARTERLY FINANCIAL DA
SELECTED QUARTERLY FINANCIAL DATA (unaudited) | 12 Months Ended |
Dec. 31, 2016 | |
Selected Quarterly Financial Information [Abstract] | |
SELECTED QUARTERLY FINANCIAL DATA (unaudited) | SELECTED QUARTERLY FINANCIAL DATA (unaudited) For The Year Ended December 31, 2016 First quarter Second quarter Third quarter Fourth quarter Revenue $ 101,227 $ 113,067 $ 108,136 $ 100,314 Gross margin $ 41,262 $ 46,839 $ 43,542 $ 42,774 Operating income (loss) $ (3,705 ) $ (2,425 ) $ (786 ) $ (671 ) Income (loss) from continuing operations $ (3,570 ) $ (3,347 ) $ (1,908 ) $ (108 ) Income (loss) from discontinued operations $ 83 $ 209 $ 35 $ (184 ) Net income (loss) $ (3,487 ) $ (3,138 ) $ (1,873 ) $ (292 ) Basic and diluted earnings (loss) per share from continuing operations $ (0.10 ) $ (0.10 ) $ (0.06 ) $ — Basic and diluted earnings (loss) per share from discontinued operations $ — $ 0.01 $ — $ (0.01 ) Basic and diluted earnings (loss) per share $ (0.10 ) $ (0.09 ) $ (0.06 ) $ (0.01 ) Basic and diluted weighted average shares outstanding (in thousands) 34,631 33,252 33,572 32,227 Common stock equivalents and outstanding stock options excluded from the calculation of diluted earnings (loss) per share (in thousands) 1,345 548 299 604 For The Year Ended December 31, 2015 First quarter Second quarter Third quarter Fourth quarter Revenue $ 124,317 $ 122,743 $ 110,028 $ 106,109 Gross margin $ 47,904 $ 50,222 $ 45,145 $ 44,439 Operating income (loss) $ (6,716 ) $ 13,643 $ (3,826 ) $ 140 Income (loss) from continuing operations $ (6,654 ) $ 12,774 $ (2,029 ) $ (2,484 ) Income (loss) from discontinued operations $ (184 ) $ 1,103 $ (55 ) $ (142 ) Net income (loss) $ (6,838 ) $ 13,877 $ (2,084 ) $ (2,626 ) Basic and diluted earnings (loss) per share from continuing operations $ (0.20 ) $ 0.38 $ (0.06 ) $ (0.07 ) Basic and diluted earnings (loss) per share from discontinued operations $ (0.01 ) $ 0.03 $ — $ — Basic and diluted earnings (loss) per share $ (0.21 ) $ 0.41 $ (0.06 ) $ (0.08 ) Basic weighted average shares outstanding (in thousands) 33,053 33,525 34,687 34,274 Diluted weighted average shares outstanding (in thousands) 33,053 34,007 34,687 34,274 Common stock equivalents and outstanding stock options excluded from the calculation of diluted earnings (loss) per share (in thousands) 1,903 979 1,124 886 Earnings (loss) per share calculations for each quarter include the weighted average effect for the quarter; therefore, the sum of quarterly earnings (loss) per share amounts may not equal year-to-date earnings (loss) per share amounts, which reflect the weighted average effect on a year-to-date basis. |
SCHEDULE I - CONDENSED FINANCIA
SCHEDULE I - CONDENSED FINANCIAL INFORMATION OF THE REGISTRANT | 12 Months Ended |
Dec. 31, 2016 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Financial Information of Parent Company Only Disclosure | HUDSON GLOBAL, INC. CONDENSED STATEMENTS OF OPERATIONS (PARENT COMPANY ONLY) (in thousands) Year Ended December 31, 2016 2015 2014 Operating expenses: Selling, general and administrative expenses $ 10,451 $ 13,327 $ 16,948 Depreciation and amortization 405 488 541 Business reorganization (16 ) 1,168 967 Operating loss (10,840 ) (14,983 ) (18,456 ) Other income (expense): Interest, net 197 516 103 Corporate costs allocation and other, net 4,195 5,318 8,150 Income (loss) from parent before provision for income taxes (6,448 ) (9,149 ) (10,203 ) Provision for (benefit from) income taxes for parent company (9 ) (12 ) (4 ) Equity in earnings (losses) of subsidiaries, net of income taxes (2,351 ) 11,466 (2,995 ) Net income (loss) $ (8,790 ) $ 2,329 $ (13,194 ) See notes to condensed financial statements. HUDSON GLOBAL, INC. CONDENSED BALANCE SHEETS (PARENT COMPANY ONLY) (in thousands) December 31, 2016 2015 ASSETS Current assets: Cash and cash equivalents $ 2,414 $ 13,025 Prepaid and other 220 196 Total current assets 2,634 13,221 Property and equipment, net 359 674 Investment in and advances to/from subsidiaries 39,965 50,770 Other assets 818 485 Total assets $ 43,776 $ 65,150 LIABILITIES AND STOCKHOLDERS’ EQUITY Current liabilities: Accounts payable, accrued expenses and other current liabilities $ 1,425 $ 3,494 Total current liabilities 1,425 3,494 Other non-current liabilities 466 476 Total liabilities 1,891 3,970 Stockholders’ equity 41,885 61,180 Total liabilities and stockholders' equity $ 43,776 $ 65,150 See notes to condensed financial statements. HUDSON GLOBAL, INC. CONDENSED STATEMENTS OF CASH FLOWS (PARENT COMPANY ONLY) (in thousands) For the Years Ended December 31, 2016 2015 2014 Cash flows from operating activities: Net income (loss) $ (8,790 ) $ 2,329 $ (13,194 ) Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: Dividends received from subsidiaries 1,593 7,468 — Non-cash (income) losses from subsidiaries, net of taxes 2,363 (11,466 ) 2,995 Depreciation and amortization 405 488 541 Stock-based compensation 390 637 405 Other, net — — 248 Changes in operating assets and liabilities: (Increase) decrease in prepaid and other assets (447 ) 1,921 (744 ) (Increase) decrease in due from subsidiaries 4,959 14,503 11,910 Increase (decrease) in accounts payable, accrued expenses and other liabilities (1,251 ) (1,269 ) 837 Increase (decrease) in accrued business reorganization (825 ) (120 ) 793 Net cash provided by (used in) operating activities (1,603 ) 14,491 3,791 Cash flows from investing activities: Capital expenditures — (897 ) — Advances to and investments in subsidiaries, net (415 ) (5,945 ) (4,126 ) Net cash provided by (used in) investing activities (415 ) (6,842 ) (4,126 ) Cash flows from financing activities: Borrowings under credit facility — — 22,081 Repayments under credit facility — — (22,081 ) Dividend payments (3,401 ) — — Purchase of treasury stock (5,127 ) (1,386 ) — Purchase of restricted stock from employees (65 ) (244 ) (129 ) Net cash provided by (used in) financing activities (8,593 ) (1,630 ) (129 ) Net increase (decrease) in cash and cash equivalents (10,611 ) 6,019 (464 ) Cash and cash equivalents, beginning of the period 13,025 7,006 7,470 Cash and cash equivalents, end of the period $ 2,414 $ 13,025 $ 7,006 See notes to condensed financial statements. NOTE 1 - BASIS OF PRESENTATION Hudson Global, Inc. (the “Parent Company”) is a holding company that conducts substantially all of its business through its subsidiaries. As specified in certain of its subsidiaries' credit agreements in the U.K., Australia and New Zealand, there are restrictions on the Parent Company's ability to obtain funds from certain of its subsidiaries through dividends, intercompany expenses or interest (refer to Note 15 , “Credit Agreements”, to the Parent Company's Consolidated Financial Statements). As of December 31, 2016 , the Parent Company was in a stockholders' equity position of $41,885 , and approximately $13,831 constituted restricted net assets as defined in Rule 4-08(e)(3) of Regulation S-X. The restricted net assets of the Parent Company's subsidiaries exceeded 25% of the consolidated net assets of the Parent Company and its subsidiaries, thus requiring this Schedule I, “Condensed Financial Information of the Registrant.” Accordingly, the results of operations and cash flows for the years ended December 31, 2016 , 2015 and 2014 , and the balance sheets as of December 31, 2016 and 2015 have been presented on a “Parent-only” basis. In these statements, the Parent Company's investments in its consolidated subsidiaries are presented under the equity method of accounting. The Parent-only financial statements should be read in conjunction with the Parent Company's audited Consolidated Financial Statements included elsewhere herein. NOTE 2 - DIVIDENDS RECEIVED The Parent Company received dividends of $1,593 , $7,468 and $0 in 2016 , 2015 and 2014 , respectively, from its consolidated subsidiaries . NOTE 3 - CREDIT AGREEMENTS Several of the Parent Company's subsidiaries have credit agreements with lenders. Borrowings under the credit agreements are based on an agreed percentage of eligible accounts receivable. Refer to Note 15 , “Credit Agreements” to the Parent Company's Consolidated Financial Statements for further details. |
SCHEDULE II VALUATION AND QUALI
SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS | 12 Months Ended |
Dec. 31, 2016 | |
Valuation and Qualifying Accounts [Abstract] | |
SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS | SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS (IN THOUSANDS) Column A Column B Column C Column D Column E Additions Balance at Charged to Balance at Beginning Costs/Expenses Deductions End Descriptions of Period (Recoveries) Other of Period 2014 Allowance for Doubtful Accounts $ 1,108 97 219 $ 986 Deferred tax assets-valuation allowance $ 162,278 (3,427 ) — $ 158,851 2015 Allowance for Doubtful Accounts $ 986 178 304 $ 860 Deferred tax assets-valuation allowance $ 158,851 447 — $ 159,298 2016 Allowance for Doubtful Accounts $ 860 226 287 $ 799 Deferred tax assets-valuation allowance $ 159,298 (5,045 ) (2,089 ) $ 156,342 |
SUMMARY OF SIGNIFICANT ACCOUN31
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Unless otherwise stated, amounts are presented in United States of America (“U.S.”) dollars and all amounts are in thousands, except for number of shares and per share amounts. Certain prior year amounts have been reclassified to conform to the current year presentation for discontinued operations. See Note 4 for further details regarding the discontinued operations reclassification. |
Recently Adopted Accounting Standards | Recently Adopted Accounting Standards In March 2016, the Financial Accounting Standards Board (the "FASB") issued Accounting Standards Update ("ASU") No. 2016-09, "Compensation - Stock Compensation (Topic 718)" ("ASU 2016-09") which is intended to simplify several aspects of the accounting for share-based payment awards transactions. ASU 2016-09 will be effective for annual periods beginning after December 15, 2016 and interim periods within those annual periods, and early adoption is permitted. The Company has elected to early adopt ASU 2016-09 as of January 1, 2016. The Company elected to account for forfeitures as they occur. The adoption of ASU 2016-09 did not have a material effect on the Company's financial statements and related disclosures. In August 2014, the FASB issued ASU No. 2014-15, "Presentation of Financial Statements - Going Concern (subtopic 205-40)" ("ASU 2014-15") , which requires management to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the entity’s ability to continue as a going concern. Management will be required to perform this assessment for both interim and annual reporting periods and must make certain disclosures if it concludes that substantial doubt exists. ASU 2014-15 is effective for annual periods ending after December 15, 2016 and for interim periods thereafter. The Company adopted ASU 2014-15 effective December 31, 2016. The adoption did not have a material impact on its consolidated financial statements. |
Principles of Consolidation | Principles of Consolidation The Consolidated Financial Statements include the accounts of the Company and all of its wholly-owned and majority-owned subsidiaries. All significant inter-company accounts and transactions between and among the Company and its subsidiaries have been eliminated in consolidation. |
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 about future events. These estimates and the underlying assumptions affect the reported amounts of assets and liabilities, the disclosures about contingent assets and liabilities, and the reported amounts of revenue and expenses. Such estimates include the value of allowances for doubtful accounts, insurance recovery receivable, goodwill, intangible assets, and other long-lived assets, legal reserve and provision, estimated self-insured liabilities, assumptions used in the fair value of stock-based compensation and the valuation of deferred tax assets. These estimates and assumptions are based on management's best estimates and judgment. Management evaluates the estimates and assumptions on an ongoing basis using historical experience and other factors, including the current economic environment, which management believes to be reasonable under the circumstances. The Company adjusts such estimates and assumptions when facts and circumstances dictate. As future events and their effects cannot be determined with precision, actual results could differ significantly from those estimates. Instability in the global credit markets puts pressure on global economic conditions and may in turn impact the aforementioned estimates and assumptions. |
Nature of Business and Credit Risk | Nature of Business and Credit Risk The Company's revenue is earned from professional placement services, mid-level employee professional staffing and contracting services and human capital services. These services are provided to a large number of customers in many different industries. The Company operates throughout North America, the United Kingdom ("U.K."), Continental Europe, Australia, New Zealand and Asia. During 2016 , no single client accounted for more than 10% of the Company's total revenue. As of December 31, 2016 , no single client accounted for more than 10% of the Company's outstanding accounts receivable. Financial instruments, which potentially subject the Company to concentrations of credit risk, are primarily cash and accounts receivable. The Company performs continuing credit evaluations of its customers and does not require collateral. The Company has not experienced significant losses related to receivables. |
Revenue Recognition | Revenue Recognition The Company recognizes revenue for temporary services at the time services are provided and revenue is recorded on a time and materials basis. Contracting revenue is reported on a gross basis when the Company acts as the principal in the transaction and is at risk for collection in accordance with FASB Accounting Standards Codification Topic (“ASC”) 605-45, “ Overall Considerations of Reporting Revenue Gross as a Principal versus Net as an Agent. ” The Company's revenues are derived from its gross billings, which are based on (i) the payroll cost of its worksite employees; and (ii) a markup computed as a percentage of the payroll cost. The Company recognizes revenue for permanent placements based on the nature of the fee arrangement. Revenue generated when the Company permanently places an individual with a client on a contingent basis is recorded at the time of acceptance of employment, net of an allowance for estimated fee reversals. Revenue generated when the Company permanently places an individual with a client on a retained basis is recorded ratably over the period services are rendered, net of an allowance for estimated fee reversals. ASC 605-45-50-3 and ASC 605-45-50-4, “ Taxes Collected from Customers and Remitted to Governmental Authorities, ” provide that the presentation of taxes on either a gross basis (included in revenue and expense) or net basis (excluded from revenue) is an accounting policy decision. The Company collects various taxes assessed by governmental authorities and records these amounts on a net basis. |
Operating Expenses | Operating Expenses Salaries and related expenses include the salaries, commissions, payroll taxes and employee benefits related to recruitment professionals, executive level employees, administrative staff and other employees of the Company who are not temporary contractors. Office and general expenses include occupancy, equipment leasing and maintenance, utilities, travel expenses, professional fees and provision for doubtful accounts. The Company expenses the costs of advertising and legal costs as incurred. |
Stock-Based Compensation | Stock-Based Compensation The Company applies the fair value recognition provisions of ASC 718, " Compensation - Stock Compensation. " The Company determines the fair value as of the grant date. For awards with graded vesting conditions, the values of the awards are determined by valuing each tranche separately and expensing each tranche over the required service period. The service period is the period over which the related service is performed, which is generally the same as the vesting period. Prior to the adoption of ASU 2016-09, the Company recorded stock-based compensation expense net of estimated forfeitures. For stock options, the Black-Scholes option pricing model considers, among other factors, the expected volatility of the Company's stock price, risk-free interest rates, dividend rate and the expected life of the award. Expected volatilities are calculated based on the historical volatility of the Company's common stock. Volatility is determined using historical prices to estimate the expected future fluctuations in the Company's share price. The risk-free interest rate is based on the U.S. Treasury, the term of which is consistent with the expected term of the option. When the Company estimates the expected life of stock options, the Company determines its assumptions for the Black-Scholes option-pricing model in accordance with ASC 718 and Staff Accounting Bulletin ("SAB") No. 107. Significant assumptions used in the valuation of stock options include: • The expected term of stock options is estimated using the simplified method since the Company currently does not have sufficient stock option exercise history. • The expected risk free interest rate is based on the U.S. Treasury constant maturity interest rate which term is consistent with the expected term of the stock options. • The expected volatility is based on the historic volatility. In December 2007, the Securities and Exchange Commission (“SEC”) staff issued SAB No. 110, “Certain Assumptions Used In Valuation Methods - Expected Term" . SAB No. 110 allows companies to continue to use the simplified method, as defined in SAB No. 107, to estimate the expected term of stock options under certain circumstances. The simplified method for estimating expected term uses the mid-point between the vesting term and the contractual term of the stock option. The Company has analyzed the circumstances in which the use of the simplified method is allowed. The Company has opted to use the simplified method for stock options the Company granted because management believes that the Company does not have sufficient historical exercise data to provide a reasonable basis upon which to estimate the expected term. In accordance with ASC 718, the Company reflects the tax savings resulting from tax deductions in excess of income tax benefits as a financing cash flow in its Consolidated Statement of Cash Flows, when applicable. |
Income Taxes | Income Taxes Earnings from the Company's global operations are subject to tax in various jurisdictions both within and outside the United States. The Company accounts for income taxes in accordance with ASC 740, “ Income Taxes ”. This standard establishes financial accounting and reporting standards for the effects of income taxes that result from an enterprise's activities. It requires an asset and liability approach for financial accounting and reporting of income taxes. The calculation of net deferred tax assets assumes sufficient future earnings for the realization of such assets as well as the continued application of currently anticipated tax rates. Included in net deferred tax assets is a valuation allowance for deferred tax assets where management believes it is more likely than not that the deferred tax assets will not be realized in the relevant jurisdiction. If we determine that a deferred tax asset will not be realizable, an adjustment to the deferred tax asset will result in a reduction of earnings at that time. See Note 7 to the Consolidated Financial Statements for further information regarding deferred tax assets and valuation allowance. ASC 740-10-55-3, “ Recognition and Measurement of Tax Positions - a Two Step Process, ” provides implementation guidance related to the accounting for uncertainty in income taxes recognized in an enterprise's financial statements and prescribes a two-step evaluation process for a tax position taken or expected to be taken in a tax return. The first step is recognition and the second is measurement. ASC 740 also provides guidance on derecognition, measurement, classification, disclosures, transition and accounting for interim periods. The Company provides tax reserves for U.S. Federal, state and local and international unrecognized tax benefits for all periods subject to audit. The development of reserves for these exposures requires judgments about tax issues, potential outcomes and timing, and is a subjective critical estimate. The Company assesses its tax positions and records tax benefits for all years subject to examination based upon management's evaluation of the facts, circumstances, and information available at the reporting dates. For those tax positions where it is more likely than not that a tax benefit will be sustained, the Company has recorded the largest amount of tax benefit with a greater than 50% likelihood of being realized upon settlement with a tax authority that has full knowledge of all relevant information. For those tax positions where it is not more likely than not that a tax benefit will be sustained, no tax benefit has been recognized in the financial statements. Where applicable, associated interest and penalties have also been recognized as a component of income tax expense. Although the outcome related to these exposures is uncertain, in management's opinion, adequate provisions for income taxes have been made for estimable potential liabilities emanating from these exposures. In certain circumstances, the ultimate outcome for exposures and risks involve significant uncertainties which render them inestimable. If actual outcomes differ materially from these estimates, including those that cannot be quantified, they could have material impact on the Company's results of operations. U.S. Federal income and foreign withholding taxes have not been provided on the undistributed earnings of foreign subsidiaries. The Company intends to reinvest these earnings in its foreign operations indefinitely, except where it is able to repatriate these earnings to the United States without a material incremental tax provision. The determination and estimation of the future income tax consequences in all relevant taxing jurisdictions involves the application of highly complex tax laws in the countries involved, particularly in the United States, and is based on the tax profile of the Company in the year of earnings repatriation. Accordingly, it is not practicable to determine the amount of tax associated with such undistributed earnings. |
Earnings (Loss) Per Share | Earnings (Loss) Per Share Basic earnings (loss) per share (“EPS”) is computed by dividing the Company’s net income (loss) by the weighted average number of shares outstanding during the period. When the effects are not anti-dilutive, diluted earnings (loss) per share is computed by dividing the Company’s net income (loss) by the weighted average number of shares outstanding and the impact of all dilutive potential common shares, primarily stock options “in-the-money” and unvested restricted stock. The dilutive impact of stock options and unvested restricted stock is determined by applying the “treasury stock” method. Performance-based restricted stock awards are included in the computation of diluted earnings per share only to the extent that the underlying performance conditions: (i) are satisfied prior to the end of the reporting period, or (ii) would be satisfied if the end of the reporting period were the end of the related performance period and the result would be dilutive under the treasury stock method. Stock awards subject to vesting or exercisability based on the achievement of market conditions are included in the computation of diluted earnings per share only when the market conditions are met. Income (loss) per share calculations for each quarter include the weighted average effect for the quarter; therefore, the sum of quarterly income (loss) per share amounts may not equal year-to-date income (loss) per share amounts, which reflect the weighted average effect on a year-to-date basis. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The carrying amounts reported in the Consolidated Balance Sheets for cash and cash equivalents, accounts receivable, accounts payable and short-term borrowings approximate fair value because of the immediate or short-term maturity of these financial instruments. |
Cash and Cash Equivalents | Cash and Cash Equivalents For financial statement presentation purposes, the Company considers all highly liquid investments having an original maturity of three months or less as cash equivalents. |
Accounts Receivable | Accounts Receivable The Company's accounts receivable balances are composed of trade and unbilled receivables. The Company maintains an allowance for doubtful accounts and makes ongoing estimates as to the ability to collect on the various receivables. If the Company determines that the allowance for doubtful accounts is not adequate to cover estimated losses, an expense to provide for doubtful accounts is recorded in office and general expenses. If an account is determined to be uncollectible, it is written off against the allowance for doubtful accounts. Management's assessment and judgment are vital requirements in assessing the ultimate realization of these receivables, including the current credit-worthiness, financial stability and effect of market conditions on each customer. |
Property and Equipment | Property and Equipment Property and equipment are stated at cost. Depreciation is computed primarily using the straight line method over the following estimated useful lives: Years Furniture and equipment 3 - 8 Capitalized software costs 3 - 5 Computer equipment 2 - 5 Leasehold improvements are amortized over the shorter of their estimated useful lives or the lease term. The amortization periods of material leasehold improvements are estimated at the inception of the lease term. |
Capitalized Software Costs | Capitalized Software Costs Capitalized software costs consist of costs to purchase and develop software for internal use. The Company capitalizes certain incurred software development costs in accordance with ASC 350-40, “Intangibles Goodwill and Other: Internal-Use Software.” Costs incurred during the application-development stage for software purchased and further customized by outside vendors for the Company's use and software developed by a vendor for the Company's proprietary use have been capitalized. Costs incurred for the Company's own personnel who are directly associated with software development are capitalized as appropriate. Capitalized software costs are included in property and equipment. |
Long-Lived Assets and Amortizable Intangibles | Impairment of Long-Lived Assets The Company periodically evaluates whether events or changes in circumstances have occurred that indicate long-lived assets may not be recoverable. When such circumstances are present, the Company assesses whether the carrying value will be recovered through the expected undiscounted future cash flows resulting from the use and eventual disposition of the long-lived asset. In the event the sum of the expected undiscounted future cash flows is less than the carrying value of the long-lived asset, an impairment loss equal to the excess of the long-lived asset's carrying value over its fair value is recorded. The fair values of long-lived assets are based on the Company's own judgments about the assumptions that market participants would use in pricing the asset or on observable market data, when available. |
Goodwill | Goodwill Impairment ASC 350-20-35,“ Intangibles-Goodwill and Other, Goodwill Subsequent Measurement, ” requires that goodwill not be amortized but be tested for impairment on an annual basis, or more frequently if circumstances warrant. The Company tests goodwill for impairment annually as of October 1, or more frequently if circumstances indicate that its carrying value might exceed its current fair value. Per the provisions of ASC 350, the Company may elect to first perform a qualitative assessment to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying value. In the qualitative assessment, the Company considers events and circumstances such as macroeconomic conditions, industry and market considerations, cost factors, overall financial performance and the trend of cash flows, other relevant company-specific events and the ''cushion'' between a reporting unit's fair value and carrying amount in the recent fair value calculation. If it is concluded that it is more likely than not that the fair value of a reporting unit is less than its carrying value, it is necessary to perform the currently prescribed two-step goodwill impairment test. Otherwise, the two-step goodwill impairment test is not required. The first step of the goodwill impairment test, used to identify potential impairment, compares the fair value of a reporting unit with its carrying amount, including goodwill. The Company tests goodwill for impairment at the reporting unit level. A reporting unit is an operating segment or one level below an operating segment (referred to as a component). A component of an operating segment is a reporting unit if the component constitutes a business for which discrete financial information is available and segment management regularly reviews the operating results of that component. The Company's reporting units are the components within the reportable segments identified in Note 19 . If the fair value of a reporting unit exceeds its carrying amount, the second step of the impairment test is unnecessary. If the carrying amount of a reporting unit exceeds its fair value, the second step of the goodwill impairment test is performed to measure the amount of impairment loss, if any. Step two compares the implied fair value of the reporting unit's goodwill with the current carrying amount of that goodwill. If the carrying value of a reporting unit's goodwill exceeds its implied fair value, an impairment amount equal to the difference is recorded. |
Foreign Currency Translation | Foreign Currency Translation The financial position and results of operations of the Company's international subsidiaries are determined using local currency as the functional currency. Assets and liabilities of these subsidiaries are translated at the exchange rate in effect at each year-end. Statements of Operations accounts are translated at the average rate of exchange prevailing during each period. Translation adjustments arising from the use of differing exchange rates from period to period are included in the accumulated other comprehensive income (loss) account in stockholders' equity, other than translation adjustments on short-term intercompany balances, which are included in other income (expense). Gains and losses resulting from other foreign currency transactions are included in other income (expense). Intercompany receivable balances of a long-term investment nature are considered part of the Company's permanent investment in a foreign jurisdiction and the gains or losses on these balances are reported in other comprehensive income. |
Comprehensive Income (Loss) | Comprehensive Income (Loss) Comprehensive income (loss) is defined to include all changes in equity except those resulting from investments by owners and distributions to owners. The Company's other comprehensive income (loss) is primarily comprised of foreign currency translation adjustments, which relate to investments that are permanent in nature, and changes in unrecognized pension and post-retirement benefit costs. Recent Accounting Standard Updates Not Yet Adopted In November 2016, the FASB issued ASU No. 2016-18 "Statement of Cash Flows (Topic 230): Restricted Cash" ("ASU 2016-18"), which requires the inclusion of restricted cash with cash and cash equivalents when reconciling the beginning-of-period and end-of-period total amounts shown on the statement of cash flows. The ASU is effective for public business entities for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. The Company is currently evaluating the impact to its consolidated financial statements. In August 2016, the FASB issued ASU No. 2016-15, "Statement of Cash Flows (Topic 230) - Classification of Certain Cash Receipts and Cash Payments" ("ASU 2016-15"), which provides clarification on how companies present and classify certain cash receipts and cash payments in the statement of cash flows. ASU 2016-15 will be effective for fiscal periods beginning after December 15, 2017 and interim periods within those fiscal years. Early adoption is permitted. If an entity early adopts the amendments in an interim period, any adjustments must be reflected as of the beginning of the fiscal year that includes that interim period. An entity that elects early adoption must adopt all of the amendments in the same period. The Company is currently evaluating the impact to its consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-02, "Leases (Topic 842)" ("ASU 2016-02") , which amends the existing standards for lease accounting. This new standard requires the recognition of lease assets and lease liabilities on the balance sheet and the disclosure of key information about leasing arrangements including the amounts, timing, and uncertainty of cash flows arising from leases. ASU 2016-02 will be effective for the Company on January 1, 2019 and will require modified retrospective application as of the beginning of the earliest year presented in the financial statements. Early adoption is permitted. We plan to adopt this ASU on January 1, 2019, and are currently evaluating the impact to our consolidated financial statements. In May 2014, the FASB issued ASU No. 2014-09, "Revenue from Contracts with Customers (Topic 606)." This ASU is a comprehensive new revenue recognition model that requires a company to recognize revenue to depict the transfer of goods or services to a customer at an amount that reflects the consideration it expects to receive in exchange for those goods or services. This ASU also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. In July 2015, the FASB amended the effective date of this ASU to fiscal years beginning after December 15, 2017 and early adoption is permitted only for fiscal years beginning after December 15, 2016. In March, April and May 2016, the FASB issued ASU 2016-08 “ Revenue from Contracts with Customers (Topic 606): Principal versus Agent Considerations (Reporting Revenue Gross versus Net) ,” ASU 2016-10 “ Revenue from Contracts with Customers (Topic 606): Identifying Performance Obligations and Licensing ,” and ASU 2016-12 " Revenue from Contracts with Customers (Topic 606): Narrow-Scope Improvements and Practical Expedients " which provide further clarifications to be considered when implementing this ASU. The two permitted transition methods under the new standard are the full retrospective method, in which case the standard would be applied to each prior reporting period presented, or the modified retrospective method, in which case the cumulative effect of applying the standard would be recognized at the date of initial application. We have started evaluating the impact of this ASU as it relates to our revenue streams, as well as certain associated expenses, however, are unable at this time to assess whether the application of this ASU has a material impact on the recognition of our revenues. Depending on the results of our review, there could be changes to the classification and timing of recognition of revenues and expenses. We expect to complete our assessment process, including selecting a transition method for adoption, by the end of the third quarter of 2017 along with our implementation process prior to the adoption of this ASU on January 1, 2018. There have been no other new accounting pronouncements not yet effective that have significance, or potential significance, to the Company's Consolidated Financial Statements. |
SUMMARY OF SIGNIFICANT ACCOUN32
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Property, plant and equipment | Property and equipment are stated at cost. Depreciation is computed primarily using the straight line method over the following estimated useful lives: Years Furniture and equipment 3 - 8 Capitalized software costs 3 - 5 Computer equipment 2 - 5 |
DISCONTINUED OPERATIONS (Tables
DISCONTINUED OPERATIONS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |
Schedule of Disposal Groups, Including Discontinued Operations, Income Statement, Balance Sheet and Additional Disclosures [Table Text Block] | The carrying amounts of the major classes of assets and liabilities from the Legal eDiscovery business and Sweden operations included as part of the discontinued operations were as follows: December 31, 2016 December 31, 2015 eDiscovery Sweden Total eDiscovery Sweden Total Total assets $ 38 $ — $ 38 $ 49 $ 32 $ 81 Total liabilities (a) $ 291 $ — $ 291 $ 1,439 $ 4 $ 1,443 a. Total liabilities primarily consisted of restructuring liabilities for lease termination payments and severance. Reported results for the discontinued operations by period were as follows: For The Year Ended December 31, 2016 eDiscovery Sweden Total Revenue $ 30 $ — $ 30 Gross margin 130 — 130 Business reorganization (111 ) — (111 ) Operating income (loss), excluding gain (loss) from sale of business 187 (19 ) 168 Other non-operating income (loss), including interest — — — Gain (loss) from sale of discontinued operations — — — Income (loss) from discontinued operations before income taxes 187 (19 ) 168 Provision (benefit) for income taxes (b) 25 — 25 Income (loss) from discontinued operations $ 162 $ (19 ) $ 143 For The Year Ended December 31, 2015 eDiscovery Sweden Total Revenue $ (1 ) $ 30 $ 29 Gross margin (30 ) 30 — Business reorganization 501 (29 ) 472 Operating income (loss), excluding gain (loss) from sale of business (731 ) 14 (717 ) Other non-operating income (loss), including interest (8 ) — (8 ) Gain (loss) from sale of discontinued operations 137 1,273 1,410 Income (loss) from discontinued operations before income taxes (602 ) 1,287 685 Provision (benefit) for income taxes (b) (37 ) — (37 ) Income (loss) from discontinued operations $ (565 ) $ 1,287 $ 722 For The Year Ended December 31, 2014 eDiscovery Sweden Total Revenue $ 54,620 $ 1,513 $ 56,133 Gross margin 9,227 864 10,091 Business reorganization 2,861 416 3,277 Impairment charges (a) 467 — 467 Operating income (loss), excluding gain (loss) from sale of business (5,491 ) (1,087 ) (6,578 ) Other non-operating income (loss), including interest (9 ) (33 ) (42 ) Gain (loss) from sale of discontinued operations 11,333 — 11,333 Income (loss) from discontinued operations before income taxes 5,833 (1,120 ) 4,713 Provision (benefit) for income taxes (b) 2,121 — 2,121 Income (loss) from discontinued operations $ 3,712 $ (1,120 ) $ 2,592 a. As a result of the divestiture of the Company's Legal eDiscovery business in the fourth quarter of 2014, the Company recorded impairment charges related to assets no longer in use of $467 in the U.S. and U.K. b. Income tax expense is provided at the effective tax rate by taxing jurisdiction and differs from the U.S. statutory tax rate of 35% due to the inability of the Company to recognize tax benefits on losses in the U.S. and certain foreign jurisdictions, variations from the U.S. tax rate in foreign jurisdictions, non-deductible expenses and other miscellaneous taxes. |
REVENUE, DIRECT COSTS AND GRO34
REVENUE, DIRECT COSTS AND GROSS MARGIN (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Revenue, Direct Costs and Gross Margin [Abstract] | |
Revenue, direct costs and gross margin | The Company’s revenue, direct costs and gross margin were as follows: For The Year Ended December 31, 2016 Contracting Permanent Recruitment Talent Management Other Total Revenue $ 270,777 $ 112,582 $ 37,204 $ 2,181 $ 422,744 Direct costs (1) 236,654 2,429 7,216 2,028 248,327 Gross margin $ 34,123 $ 110,153 $ 29,988 $ 153 $ 174,417 For The Year Ended December 31, 2015 Contracting Permanent Recruitment Talent Management (2) Other Total Revenue $ 305,052 $ 118,934 $ 37,425 $ 1,786 $ 463,197 Direct costs (1) 262,322 2,733 8,681 1,751 275,487 Gross margin $ 42,730 $ 116,201 $ 28,744 $ 35 $ 187,710 For the Year Ended December 31, 2014 Contracting Permanent Recruitment Talent Management (2) Other Total Revenue $ 408,106 $ 126,686 $ 43,586 $ 2,814 $ 581,192 Direct costs (1) 345,586 2,369 7,980 2,412 358,347 Gross margin $ 62,520 $ 124,317 $ 35,606 $ 402 $ 222,845 (1) Direct costs include the direct staffing costs of salaries, payroll taxes, employee benefits, travel expenses and insurance costs for the Company’s contractors and reimbursed out-of-pocket expenses and other direct costs. Other than reimbursed out-of-pocket expenses, there are no other direct costs associated with the Permanent Recruitment and Other categories. Gross margin represents revenue less direct costs. The region where services are provided, the mix of contracting and permanent recruitment, and the functional nature of the staffing services provided can affect gross margin. (2) Talent Management has been recast from Other in this disclosure. |
STOCK-BASED COMPENSATION (Table
STOCK-BASED COMPENSATION (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Quantity and vesting conditions for shares of restricted stock granted | A summary of the quantity and vesting conditions for stock-based units granted to the Company's employees for the year ended December 31, 2016 was as follows: Vesting conditions Number of Restricted Stock Units Granted Performance and service conditions (1) (2) 500,000 (1) The performance conditions with respect to restricted stock units may be satisfied as follows: (a) For employees from the Americas, Asia Pacific and Europe 80% of the restricted stock units may be earned on the basis of performance as measured by "regional adjusted EBITDA," and 20% of the restricted stock units may be earned on the basis of performance as measured by "group adjusted EBITDA"; and (b) For employees from the Corporate office 100% of the restricted stock units may be earned on the basis of performance as measured by "group adjusted EBITDA." (2) To the extent restricted stock units are earned on the basis of performance, such restricted stock units will vest on the basis of service as follows: (a) 33% of the restricted stock units will vest on the first anniversary of the grant date; (b) 33% of the restricted stock units will vest on the second anniversary of the grant date; and (c) 34% of the restricted stock units will vest on the third anniversary of the grant date; provided that, in each case, the employee remains employed by the Company from the grant date through the applicable service vesting date. |
Schedule of stock-based compensation expense | For the years ended December 31, 2016 , 2015 and 2014 , the Company’s stock-based compensation expense related to stock options, restricted stock and restricted stock units, which are included in the accompanying Consolidated Statements of Operations, were as follows: For The Year Ended December 31, 2016 2015 2014 Stock options $ 17 $ 23 $ 85 Restricted stock 678 3,188 798 Restricted stock units 754 1,020 442 Total $ 1,449 $ 4,231 $ 1,325 Tax benefits recognized in jurisdictions where the Company has taxable income $ 90 $ 362 $ 98 |
Schedule of unrecognized compensation cost, nonvested awards | As of December 31, 2016 and 2015 , unrecognized compensation expense and weighted average period over which the compensation expense is expected to be recognized relating to the unvested portion of the Company's stock options, restricted stock, and restricted stock unit awards, in each case, based on the Company's historical valuation treatment, were as follows: As of December 31, 2016 2015 Unrecognized Expense Weighted Average Period in Years Unrecognized Expense Weighted Average Period in Years Stock options $ — 0.00 $ 17 0.85 Restricted stock $ — 0.00 $ 701 0.75 Restricted stock units $ 195 1.55 $ — 0.00 |
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award [Table Text Block] | The following were the weighted average assumptions used to determine the fair value of stock options granted by the Company and the details of option activity as of and for the respective periods: As of December 31, 2016 2015 2014 Volatility (a) 48.9% (a) Risk free interest rate (a) 1.1% (a) Dividends (a) — (a) Expected life (years) (a) 2.75 (a) Weighted average fair value of options granted during the period (a) $0.81 (a) (a) Stock option assumptions are not provided above because there were no options granted during the years ended December 31, 2016 and 2014 . |
Changes in stock options | Changes in the Company’s stock options for the years ended December 31, 2016 , 2015 and 2014 were as follows: For The Year Ended December 31, 2016 2015 2014 Number of Options Weighted Average Exercise Price per Share Number of Options Weighted Average Exercise Price per Share Number of Options Weighted Average Exercise Price per Share Options outstanding at January 1, 206,000 $ 8.13 756,800 $ 8.78 800,350 $ 9.15 Granted — — 50,000 2.49 — — Forfeited — — (485,000 ) 7.32 — — Expired (82,500 ) 11.09 (115,800 ) 13.35 (43,550 ) 15.50 Options outstanding at December 31, 123,500 $ 6.16 206,000 $ 8.13 756,800 $ 8.78 Options exercisable at December 31, 123,500 $ 6.16 181,000 $ 8.91 756,800 $ 8.78 |
Weighted average remaining contractual term and Instrinsic value of stock options | The weighted average remaining contractual term and the aggregated intrinsic value for stock options outstanding and exercisable as of December 31, 2016 and 2015 were as follows: As of December 31, 2016 2015 Remaining Contractual Term in Years Aggregated Intrinsic Value Remaining Contractual Term in Years Aggregated Intrinsic Value Stock options outstanding 2.35 $ — 2.22 $ 22 Stock options exercisable 2.35 $ — 1.86 $ 11 |
Changes in restricted stock | Changes in the Company’s restricted stock for the years ended December 31, 2016 , 2015 and 2014 were as follows: For The Year Ended December 31, 2016 2015 2014 Number of Shares of Restricted Stock Weighted Average Grant Date Fair Value Number of Shares of Restricted Stock Weighted Average Grant Date Fair Value Number of Shares of Restricted Stock Weighted Average Grant Date Fair Value Unvested restricted stock at January 1, 680,000 $ 1.60 803,999 $ 3.00 997,802 $ 3.00 Granted — — 1,270,500 2.17 482,900 3.22 Vested (330,000 ) 2.45 (1,204,798 ) 2.90 (182,251 ) 5.21 Forfeited (350,000 ) 0.85 (189,701 ) 3.14 (494,452 ) 2.39 Unvested restricted stock at December 31, — $ — 680,000 $ 1.60 803,999 $ 3.00 |
Changes in restricted stock units | Changes in the Company’s restricted stock units arising from grants to certain employees and non-employee directors for the years ended December 31, 2016 , 2015 and 2014 were as follows: For The Year Ended December 31, 2016 2015 2014 Number of Shares of Restricted Stock Unit Weighted Average Grant-Date Fair Value Number of Shares of Restricted Stock Unit Weighted Average Grant-Date Fair Value Number of Shares of Restricted Stock Unit Weighted Average Grant-Date Fair Value Unvested restricted stock units at January 1, — $ — 119,940 $ 3.57 115,869 $ 3.65 Granted 763,477 2.56 372,739 2.47 175,759 3.40 Vested (263,477 ) 2.12 (450,179 ) 2.70 (122,522 ) 3.86 Forfeited (20,000 ) 2.79 (42,500 ) 3.21 (49,166 ) 2.42 Unvested restricted stock units at December 31, 480,000 $ 2.79 — $ — 119,940 $ 3.57 |
Schedule of expenses and contributions for the prior years' employer-matching liability for the 401(k) plan | For the years ended December 31, 2016 , 2015 and 2014 , the Company’s expenses and contributions to satisfy the prior years’ employer-matching liability for the 401(k) plan were as follows: For The Year Ended December 31, ($ in thousands, except otherwise stated) 2016 2015 2014 Expense recognized for the 401(k) plan $ 155 $ 193 $ 385 Contributions to satisfy prior years' employer-matching liability Number of shares of the Company's common stock issued (in thousands) — 116 118 Market value per share of the Company's common stock on contribution date (in dollars) $ — $ 2.71 $ 3.65 Non-cash contribution made for employer matching liability $ — $ 314 $ 430 Additional cash contribution made for employer-matching liability 162 — — Total contribution made for employer-matching liability $ 162 $ 314 $ 430 |
Restricted stock | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Disclosure of share based compensation arrangements other than options fair value vested | The total fair value of restricted stock vested during the years ended December 31, 2016 , 2015 and 2014 were as follows: For The Year Ended December 31, 2016 2015 2014 Fair value of restricted stock vested $ 553 $ 2,675 $ 669 |
Restricted stock units | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Disclosure of share based compensation arrangements other than options fair value vested | The total fair value of restricted stock units vested during the years ended December 31, 2016 , 2015 and 2014 were as follows: For The Year Ended December 31, 2016 2015 2014 Fair value of restricted stock units vested $ 558 $ 1,022 $ 436 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Schedule of income before income tax, domestic and foreign | The domestic and foreign components of income (loss) before income taxes from continuing operations were as follows: Year ended December 31, 2016 2015 2014 Domestic $ (5,768 ) $ 3,607 $ (10,342 ) Foreign (2,423 ) (1,354 ) (7,603 ) Income (loss) from continuing operations before provision for income taxes $ (8,191 ) $ 2,253 $ (17,945 ) |
Schedule of components of income tax expense (benefit) | The provision for (benefit from) income taxes from continuing operations were as follows: Year ended December 31, 2016 2015 2014 Current tax provision (benefit): U.S. Federal $ — $ — $ (1,712 ) State and local (11 ) 18 (550 ) Foreign 981 439 205 Total current provision for (benefit from) income taxes 970 457 (2,057 ) Deferred tax provision (benefit): U.S. Federal — — — State and local — — — Foreign (228 ) 189 (102 ) Total deferred provision for (benefit from) income taxes (228 ) 189 (102 ) Total provision for (benefit from) income taxes from continuing operations $ 742 $ 646 $ (2,159 ) |
Schedule of effective income tax rate reconciliation | The following is a reconciliation of the effective tax rate from continuing operations for the years ended December 31, 2016 , 2015 and 2014 to the U.S. Federal statutory rate of 35%: Year ended December 31, 2016 2015 2014 Provision for (benefit from) continuing operations at Federal statutory rate of 35% $ (2,867 ) $ 787 $ (6,281 ) State income taxes, net of Federal income tax effect (7 ) 11 (357 ) Change in valuation allowance (5,045 ) 447 (3,427 ) Taxes related to foreign income 8,901 2,140 5,628 Effect of state tax rate changes on deferred tax assets — (6,834 ) — Nondeductible expenses 399 1,375 2,446 Others (639 ) 2,720 (168 ) Provision for (benefit from) income taxes $ 742 $ 646 $ (2,159 ) |
Schedule of deferred tax assets and liabilities | Deferred income taxes are provided for the tax effect of temporary differences between the financial reporting basis and the tax basis of assets and liabilities. As of December 31, 2015 the Company adopted ASU No. 2015-17, "Balance Sheet Classification of Deferred Taxes" on a prospective basis, which required that deferred tax assets and liabilities be classified as noncurrent in a classified statement of financial position. Accordingly, net deferred tax assets as of December 31, 2016 and 2015, have been classified as non-current in the accompanying Consolidated Balance Sheets. Significant temporary differences at December 31, 2016 and 2015 were as follows: As of December 31, 2016 2015 Deferred tax assets (liabilities): Allowance for doubtful accounts $ 157 $ 122 Property and equipment 1,024 321 Goodwill and intangibles 3,879 5,381 Accrued compensation 3,011 2,666 Accrued liabilities and other 2,311 3,244 Tax loss carry-forwards 152,197 154,028 Deferred tax assets (liabilities) gross, total 162,579 165,762 Valuation allowance (156,343 ) (159,298 ) Deferred tax assets (liabilities), net of valuation allowance, total $ 6,236 $ 6,464 |
Summary of income tax contingencies | As of December 31, 2016 and 2015 , the Company's unrecognized tax benefits, including interest and penalties, which would lower the Company’s annual effective income tax rate if recognized in the future, were as follows: As of December 31, 2016 2015 Gross unrecognized tax benefits excluding interest and penalties $ 2,039 $ 2,190 Less: amount presented as a reduction to a deferred tax asset 438 447 Unrecognized tax benefits, excluding interest and penalties $ 1,601 $ 1,743 Accrued interest and penalties 610 536 Total unrecognized tax benefits that would impact the effective tax rate $ 2,211 $ 2,279 |
Summary of income tax contingencies | The following table shows a reconciliation of the beginning and ending amounts of unrecognized tax benefits, exclusive of interest and penalties: Balance at January 1, 2016 $ 2,190 Additions based on tax positions related to the current year 87 Additions for tax positions of prior years 7 Lapse of statute of limitations (162 ) Currency Translation (83 ) Balance at December 31, 2016 $ 2,039 |
Uncertain tax position interest and penalties | Estimated interest and penalties classified as part of the provision for income taxes in the Company’s Consolidated Statements of Operations for the years ended December 31, 2016 , 2015 and 2014 were as follows: Year ended December 31, 2016 2015 2014 Expense for (benefit of) estimated interest and penalties related to unrecognized tax benefits $ 77 $ 50 $ (150 ) |
Open years subject to tax examination | As of December 31, 2016 , the Company's open tax years remain subject to examination by the relevant tax authorities and currently under income tax examination were principally as follows: Year Earliest tax years remain subject to examination by the relevant tax authorities: U.S. Federal 2013 Other U.S. state and local jurisdictions 2012 U.K. 2015 Australia 2012 Majority of other foreign jurisdictions 2011 |
EARNINGS (LOSS) PER SHARE (Tabl
EARNINGS (LOSS) PER SHARE (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Schedule of earnings per share, basic and diluted | A reconciliation of the numerators and denominators of the basic and diluted earnings (loss) per share calculations were as follows: For The Year Ended December 31, 2016 2015 2014 Earnings (loss) per share ("EPS"): EPS - basic and diluted Income (loss) from continuing operations $ (0.27 ) $ 0.05 $ (0.48 ) Income (loss) from discontinued operations 0.01 0.02 0.08 Net income (loss) $ (0.26 ) $ 0.07 $ (0.40 ) EPS numerator - basic and diluted: Income (loss) from continuing operations $ (8,933 ) $ 1,607 $ (15,786 ) Income (loss) from discontinued operations, net of income taxes 143 722 2,592 Net income (loss) $ (8,790 ) $ 2,329 $ (13,194 ) EPS denominator (in thousands): Weighted average common stock outstanding - basic 33,174 33,869 32,843 Common stock equivalents: stock options and other stock-based awards (a) — 215 — Weighted average number of common stock outstanding - diluted 33,174 34,084 32,843 (a) For the periods in which net losses are presented, the diluted weighted average number of shares of common stock outstanding did not differ from the basic weighted average number of shares of common stock outstanding because the effects of any potential common stock equivalents (see Note 6 for further details on outstanding stock options, unvested restricted stock units and unvested restricted stock) were anti-dilutive and therefore not included in the calculation of the denominator of dilutive earnings per share. |
Schedule of antidilutive securities excluded from computation of earnings per share | The weighted average number of shares outstanding used in the computation of diluted net income (loss) per share for the years ended December 31, 2016 , 2015 and 2014 did not include the effect of the following potentially outstanding shares of common stock because the effect would have been anti-dilutive or market conditions have not been achieved: For The Year Ended December 31, 2016 2015 2014 Unvested restricted stock — 350,000 803,999 Unvested restricted stock units 480,000 — 119,940 Stock options 123,500 206,000 756,800 Total 603,500 556,000 1,680,739 |
RESTRICTED CASH (Tables)
RESTRICTED CASH (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Restricted Cash and Investments [Abstract] | |
Schedule of restricted cash and cash equivalents | A summary of the Company’s restricted cash included in the accompanying Consolidated Balance Sheets as of December 31, 2016 and 2015 was as follows: As of December 31, 2016 2015 Included under the caption "Other assets": Collateral accounts $ 557 $ 229 Rental deposits 385 480 Total amount under the caption "Other assets": $ 942 $ 709 Included under the caption "Prepaid and other": Client guarantees $ 139 $ 118 Other 108 110 Total amount under the caption "Prepaid and other" $ 247 $ 228 Total restricted cash $ 1,189 $ 937 |
PROPERTY AND EQUIPMENT, NET (Ta
PROPERTY AND EQUIPMENT, NET (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment, Net [Abstract] | |
Property, plant and equipment | As of December 31, 2016 and 2015 , property and equipment, net were as follows: As of December 31, 2016 2015 Computer equipment $ 5,888 $ 5,911 Furniture and equipment 2,244 2,668 Capitalized software costs 17,010 17,946 Leasehold and building improvements 13,699 15,522 38,841 42,047 Less: accumulated depreciation and amortization 31,800 34,119 Property and equipment, net $ 7,041 $ 7,928 |
Schedule of capital leased assets | A summary of the Company’s equipment acquired under capital lease agreements was as follows: As of December 31, 2016 2015 Capital lease obligation, current $ 65 $ 62 Capital lease obligation, non-current $ 140 $ 229 |
GOODWILL (Tables)
GOODWILL (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of goodwill | The following is a summary of the changes in the carrying value of the Company’s goodwill, which was included under the caption of Other Assets in the accompanying Consolidated Balance Sheets, for the years ended December 31, 2016 and 2015 . The goodwill is related to the Company’s acquisition of the businesses of Tong Zhi (Beijing) Consulting Service Ltd and Guangzhou Dong Li Consulting Service Ltd. Carrying Value 2016 2015 Goodwill, January 1, $ 1,938 $ 2,029 Currency translation (126 ) (91 ) Goodwill, December 31, $ 1,812 $ 1,938 |
ACCRUED EXPENSES AND OTHER CU41
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Payables and Accruals [Abstract] | |
Schedule of Accounts Payable and Accrued Liabilities | As of December 31, 2016 and 2015 , the Company's accrued expenses and other current liabilities consisted of the following: December 31, 2016 2015 Salaries, commissions and benefits $ 21,843 $ 23,684 Sales, use, transaction and income taxes 7,438 7,876 Fees for professional services 1,148 1,760 Rent 1,920 1,218 Deferred revenue 1,024 1,722 Other accruals 2,781 4,084 Total accrued expenses and other current liabilities $ 36,154 $ 40,344 |
BUSINESS REORGANIZATION EXPEN42
BUSINESS REORGANIZATION EXPENSES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Restructuring Cost and Reserve [Line Items] | |
Changes in accrued business reorganization expenses | Changes in the accrued business reorganization for the year ended December 31, 2016 were as follows: December 31, Changes in Estimate Additional Charges Payments December 31, Lease termination payments $ 2,970 $ 301 $ 691 $ (1,689 ) $ 2,273 Employee termination benefits 1,186 (144 ) 460 (1,236 ) 266 Other associated costs 208 22 250 (448 ) 32 Total $ 4,364 $ 179 $ 1,401 $ (3,373 ) $ 2,571 |
Business Reogranization Expenses | |
Restructuring Cost and Reserve [Line Items] | |
Business reorganization expenses | Business reorganization from continuing operations for the years ended December 31, 2016 , 2015 and 2014 for the 2016 Exit Plan and the Previous Plans, collectively, were as follows: Year Ended December 31, 2016 2015 2014 Business reorganization from continuing operations Previous Plans $ 482 $ 5,828 $ 3,789 2016 Plan 1,098 — — Total business reorganization from continuing operations $ 1,580 $ 5,828 $ 3,789 |
Facility Closing | |
Restructuring Cost and Reserve [Line Items] | |
Business reorganization expenses | The business reorganization incurred for lease termination for the years ended December 31, 2016 , 2015 and 2014 by segment were as follows: Lease termination payments for the year ended December 31, Hudson Hudson Hudson Americas Asia Pacific Europe Corporate Total 2016 $ (16 ) $ (24 ) $ 1,022 $ 10 $ 992 2015 $ 503 $ 625 $ 1,358 $ 181 $ 2,667 2014 $ 91 $ 771 $ 40 $ — $ 902 |
One-time Termination Benefits | |
Restructuring Cost and Reserve [Line Items] | |
Business reorganization expenses | The business reorganization incurred for employee termination benefits for the years ended December 31, 2016 , 2015 and 2014 by segment were as follows: Employee termination benefits for the year ended December 31, Hudson Hudson Hudson Americas Asia Pacific Europe Corporate Total 2016 $ (8 ) $ 273 $ 77 $ (26 ) $ 316 2015 $ 350 $ (2 ) $ 792 $ 969 $ 2,109 2014 $ 3 $ 510 $ 1,285 $ 967 $ 2,765 |
Other associated costs | |
Restructuring Cost and Reserve [Line Items] | |
Business reorganization expenses | Other associated business reorganization incurred for contract cancellation costs and professional fees for the years ended December 31, 2016 , 2015 and 2014 by segment were as follows: Other Associated Costs for the year ended December 31, Hudson Hudson Hudson Americas Asia Pacific Europe Corporate Total 2016 $ (15 ) $ — $ 287 $ — $ 272 2015 $ 255 $ 47 $ 733 $ 17 $ 1,052 2014 $ — $ 40 $ 82 $ — $ 122 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of future minimum rental payments for operating leases | As of December 31, 2016 , future minimum lease commitments under non-cancelable operating leases, which will be expensed as primarily in office and general expenses, were as follows: 2017 $ 15,355 2018 13,181 2019 8,758 2020 5,506 2021 1,615 Thereafter 1,027 $ 45,442 |
Schedule of asset retirement obligations | The Company’s asset retirement obligations that are included in the Consolidated Balance Sheets as of December 31, 2016 and 2015 were as follows: As of December 31, 2016 2015 Current portion of asset retirement obligations $ 78 $ 142 Non-current portion of asset retirement obligations 1,693 1,820 Total asset retirement obligations $ 1,771 $ 1,962 |
CREDIT AGREEMENTS CREDIT AGREEM
CREDIT AGREEMENTS CREDIT AGREEMENTS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Line of Credit Facility [Line Items] | |
Schedule of Line of Credit Facilities | The details of the NAB Finance and Facility Agreements as of December 31, 2016 were as follows: December 31, Finance Agreement: Borrowing capacity $ 2,161 Less: outstanding borrowing (1,901 ) Additional borrowing availability $ 260 Interest rates on outstanding borrowing 1.50 % Australian Receivables Agreement: Borrowing capacity $ 15,606 Less: outstanding borrowing (7,751 ) Additional borrowing availability $ 7,855 Interest rates on outstanding borrowing 3.17 % New Zealand Receivables Agreement: Borrowing capacity $ 2,231 Less: outstanding borrowing — Additional borrowing availability $ 2,231 Interest rates on outstanding borrowing 4.00 % |
Lloyds [Member] | |
Line of Credit Facility [Line Items] | |
Schedule of Line of Credit Facilities | The details of the Lloyds Agreement as of December 31, 2016 were as follows: December 31, Borrowing capacity $ 7,380 Less: outstanding borrowing (19 ) Additional borrowing availability $ 7,361 Interest rates on outstanding borrowing 2.00 % |
ACCUMULATED OTHER COMPREHENSI45
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Accumulated other comprehensive income (loss), net of tax, consisted of the following: December 31, 2016 2015 Foreign currency translation adjustments $ 6,826 $ 10,159 Pension plan obligations 105 133 Accumulated other comprehensive income (loss) $ 6,931 $ 10,292 |
SEGMENT AND GEOGRAPHIC DATA (Ta
SEGMENT AND GEOGRAPHIC DATA (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Segment Reporting [Abstract] | |
Schedule of segment reporting information | The Company operates in three reportable segments: the Hudson regional businesses of Hudson Americas, Hudson Asia Pacific, and Hudson Europe. Corporate expenses are reported separately from the three reportable segments and pertain to certain functions, such as executive management, corporate governance, human resources, accounting, administration, tax and treasury, and have been allocated to the reportable segments to the extent which the costs are attributable to the reportable segments. Segment information is presented in accordance with ASC 280, “ Segments Reporting.” This standard is based on a management approach that requires segmentation based upon the Company’s internal organization and disclosure of revenue and certain expenses based upon internal accounting methods. The Company’s financial reporting systems present various data for management to run the business, including internal profit and loss statements prepared on a basis not consistent with U.S. GAAP. Accounts receivable, net and long-lived assets are the only significant assets separated by segment for internal reporting purposes. Hudson Americas Hudson Asia Pacific Hudson Europe Corporate Inter- segment elimination Total For the Year Ended December 31, 2016 Revenue, from external customers $ 15,561 $ 236,839 $ 170,344 $ — $ — $ 422,744 Inter-segment revenue 20 — 314 — (334 ) — Total revenue $ 15,581 $ 236,839 $ 170,658 $ — $ (334 ) $ 422,744 Gross margin, from external customers $ 13,609 $ 84,126 $ 76,682 $ — $ — $ 174,417 Inter-segment gross margin (14 ) (271 ) 285 — — — Total gross margin $ 13,595 $ 83,855 $ 76,967 $ — $ — $ 174,417 Business reorganization $ (39 ) $ 248 $ 1,387 $ (16 ) $ — $ 1,580 EBITDA (loss) (a) $ 770 $ (338 ) $ 1,064 $ (6,240 ) $ — $ (4,744 ) Depreciation and amortization 49 1,744 892 405 — 3,090 Intercompany interest income (expense), net — — (204 ) 204 — — Interest income (expense), net — (318 ) (32 ) (7 ) — (357 ) Income (loss) from continuing operations before income taxes $ 721 $ (2,400 ) $ (64 ) $ (6,448 ) $ — $ (8,191 ) Provision for (benefit from) income taxes $ 30 $ (2,040 ) $ 2,761 $ (9 ) $ — $ 742 As of December 31, 2016 Accounts receivable, net $ 2,507 $ 32,271 $ 23,739 $ — $ — $ 58,517 Long-lived assets, net of accumulated depreciation and amortization $ 2 $ 7,049 $ 1,528 $ 359 $ — $ 8,938 Total assets $ 5,880 $ 51,331 $ 40,790 $ 3,811 $ — $ 101,812 Hudson Americas Hudson Asia Pacific Hudson Europe Corporate Inter- segment elimination Total For the Year Ended December 31, 2015 Revenue, from external customers $ 28,627 $ 219,391 $ 215,179 $ — $ — $ 463,197 Inter-segment revenue 41 — 498 — (539 ) — Total revenue $ 28,668 $ 219,391 $ 215,677 $ — $ (539 ) $ 463,197 Gross margin, from external customers $ 16,111 $ 89,682 $ 81,917 $ — $ — $ 187,710 Inter-segment gross margin 25 (477 ) 451 — 1 — Total gross margin $ 16,136 $ 89,205 $ 82,368 $ — $ 1 $ 187,710 Gain (loss) on sale and exit of businesses $ 15,918 $ — $ 3,917 $ — $ — $ 19,835 Business reorganization $ 1,108 $ 669 $ 2,883 $ 1,168 $ — $ 5,828 EBITDA (loss) (a) $ 13,354 $ 2,851 $ (207 ) $ (9,178 ) $ — $ 6,820 Depreciation and amortization 604 1,951 802 488 — 3,845 Intercompany interest income (expense), net — — (526 ) 526 — — Interest income (expense), net (342 ) (276 ) (94 ) (10 ) — (722 ) Income (loss) from continuing operations before income taxes $ 12,408 $ 624 $ (1,629 ) $ (9,150 ) $ — $ 2,253 Provision for (benefit from) income taxes 58 776 (176 ) (12 ) — 646 As of December 31, 2015 Accounts receivable, net $ 3,155 $ 29,824 $ 29,441 $ — $ — $ 62,420 Long-lived assets, net of accumulated depreciation and amortization $ 36 $ 7,382 $ 1,859 $ 674 $ — $ 9,951 Total assets $ 7,766 $ 49,246 $ 53,557 $ 14,380 $ — $ 124,949 Hudson Americas Hudson Asia Pacific Hudson Europe Corporate Inter- segment elimination Total For the Year Ended December 31, 2014 Revenue, from external customers $ 50,146 $ 246,873 $ 284,173 $ — $ — $ 581,192 Inter-segment revenue 60 — 198 — (258 ) — Total revenue $ 50,206 $ 246,873 $ 284,371 $ — $ (258 ) $ 581,192 Gross margin, from external customers $ 20,757 $ 93,014 $ 109,074 $ — $ — $ 222,845 Inter-segment gross margin 35 (143 ) 108 — — — Total gross margin $ 20,792 $ 92,871 $ 109,182 $ — $ — $ 222,845 Business reorganization $ 94 $ 1,322 $ 1,407 $ 966 $ — $ 3,789 Impairment of long-lived assets $ — $ 314 $ 348 $ — $ — $ 662 EBITDA (loss) (a) $ 117 $ (890 ) $ (1,187 ) $ (9,765 ) $ — $ (11,725 ) Depreciation and amortization 485 3,287 1,247 540 — 5,559 Intercompany interest income (expense), net — — (439 ) 439 — — Interest income (expense), net (90 ) (199 ) (37 ) (335 ) — (661 ) Income (loss) from continuing operations before income taxes $ (458 ) $ (4,376 ) $ (2,910 ) $ (10,201 ) $ — $ (17,945 ) Provision for (benefit from) income taxes $ (2,201 ) $ 11 $ 35 $ (4 ) $ — $ (2,159 ) As of December 31, 2014 Accounts receivable, net $ 6,695 $ 26,745 $ 40,639 $ — $ — $ 74,079 Long-lived assets, net of accumulated depreciation and amortization $ 860 $ 8,227 $ 2,171 $ 584 $ — $ 11,842 Total assets $ 10,553 $ 54,141 $ 65,105 $ 9,873 $ — $ 139,672 (a) SEC Regulation S-K 229.10(e)1(ii)(A) defines EBITDA as earnings before interest, taxes, depreciation and amortization. EBITDA is presented to provide additional information to investors about the Company's operations on a basis consistent with the measures that the Company uses to manage its operations and evaluate its performance. Management also uses this measurement to evaluate working capital requirements. EBITDA should not be considered in isolation or as a substitute for operating income and net income prepared in accordance with U.S. GAAP or as a measure of the Company's profitability. |
Revenue by geographic area | A summary of revenues for the years ended December 31, 2016 , 2015 and 2014 and long-lived assets and net assets by geographic area as of December 31, 2016 , 2015 and 2014 were as follows: Information by geographic region United Kingdom Australia China United States Continental Europe Other Asia Pacific Other Americas Total For the Year Ended December 31, 2016 Revenue (a) $ 116,508 $ 181,899 $ 16,203 $ 14,690 $ 53,837 $ 38,737 $ 870 $ 422,744 For the Year Ended December 31, 2015 Revenue (a) $ 154,931 $ 159,539 $ 25,401 $ 27,965 $ 60,248 $ 34,451 $ 662 $ 463,197 For the Year Ended December 31, 2014 Revenue (a) $ 181,155 $ 184,853 $ 20,976 $ 49,375 $ 103,018 $ 41,044 $ 771 $ 581,192 As of December 31, 2016 Long-lived assets, net (b) $ 1,259 $ 4,023 $ 2,381 $ 369 $ 261 $ 645 $ — $ 8,938 Net assets $ 9,101 $ 10,732 $ 5,762 $ 4,854 $ 7,284 $ 4,279 $ (127 ) $ 41,885 As of December 31, 2015 Long-lived assets, net (b) $ 1,707 $ 4,115 $ 2,835 $ 718 $ 144 $ 432 $ — $ 9,951 Net assets $ 17,371 $ 9,920 $ 9,386 $ 13,467 $ 7,176 $ 3,875 $ (15 ) $ 61,180 As of December 31, 2014 Long-lived assets, net (b) $ 1,834 $ 5,404 $ 2,186 $ 1,429 $ 330 $ 636 $ 23 $ 11,842 Net assets $ 18,894 $ 13,913 $ 6,198 $ 7,255 $ 9,366 $ 3,574 $ 57 $ 59,257 (a) Revenue by geographic region disclosed above is net of any inter-segment revenue and, therefore, represents only revenue from external customers according to the location of the operating subsidiary. (b) Comprised of property and equipment and goodwill, net of accumulated depreciation and amortization. Corporate assets are included in the United States. |
SELECTED QUARTERLY FINANCIAL 47
SELECTED QUARTERLY FINANCIAL DATA Quarterly Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information | SELECTED QUARTERLY FINANCIAL DATA (unaudited) For The Year Ended December 31, 2016 First quarter Second quarter Third quarter Fourth quarter Revenue $ 101,227 $ 113,067 $ 108,136 $ 100,314 Gross margin $ 41,262 $ 46,839 $ 43,542 $ 42,774 Operating income (loss) $ (3,705 ) $ (2,425 ) $ (786 ) $ (671 ) Income (loss) from continuing operations $ (3,570 ) $ (3,347 ) $ (1,908 ) $ (108 ) Income (loss) from discontinued operations $ 83 $ 209 $ 35 $ (184 ) Net income (loss) $ (3,487 ) $ (3,138 ) $ (1,873 ) $ (292 ) Basic and diluted earnings (loss) per share from continuing operations $ (0.10 ) $ (0.10 ) $ (0.06 ) $ — Basic and diluted earnings (loss) per share from discontinued operations $ — $ 0.01 $ — $ (0.01 ) Basic and diluted earnings (loss) per share $ (0.10 ) $ (0.09 ) $ (0.06 ) $ (0.01 ) Basic and diluted weighted average shares outstanding (in thousands) 34,631 33,252 33,572 32,227 Common stock equivalents and outstanding stock options excluded from the calculation of diluted earnings (loss) per share (in thousands) 1,345 548 299 604 For The Year Ended December 31, 2015 First quarter Second quarter Third quarter Fourth quarter Revenue $ 124,317 $ 122,743 $ 110,028 $ 106,109 Gross margin $ 47,904 $ 50,222 $ 45,145 $ 44,439 Operating income (loss) $ (6,716 ) $ 13,643 $ (3,826 ) $ 140 Income (loss) from continuing operations $ (6,654 ) $ 12,774 $ (2,029 ) $ (2,484 ) Income (loss) from discontinued operations $ (184 ) $ 1,103 $ (55 ) $ (142 ) Net income (loss) $ (6,838 ) $ 13,877 $ (2,084 ) $ (2,626 ) Basic and diluted earnings (loss) per share from continuing operations $ (0.20 ) $ 0.38 $ (0.06 ) $ (0.07 ) Basic and diluted earnings (loss) per share from discontinued operations $ (0.01 ) $ 0.03 $ — $ — Basic and diluted earnings (loss) per share $ (0.21 ) $ 0.41 $ (0.06 ) $ (0.08 ) Basic weighted average shares outstanding (in thousands) 33,053 33,525 34,687 34,274 Diluted weighted average shares outstanding (in thousands) 33,053 34,007 34,687 34,274 Common stock equivalents and outstanding stock options excluded from the calculation of diluted earnings (loss) per share (in thousands) 1,903 979 1,124 886 |
DESCRIPTION OF BUSINESS (Detail
DESCRIPTION OF BUSINESS (Details) | 12 Months Ended | |
Dec. 31, 2016employeesCountrysegments | Dec. 31, 2016employeesCountrySegment | |
Schedule of Segment Reporting Information By Segment, Gross Margin [Line Items] | ||
Number of countries in which entity operates | Country | 13 | 13 |
Number of reportable segments | 3 | 3 |
Minimum | ||
Schedule of Segment Reporting Information By Segment, Gross Margin [Line Items] | ||
Number of employees | employees | 1,600 | 1,600 |
SUMMARY OF SIGNIFICANT ACCOUN49
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) | 12 Months Ended |
Dec. 31, 2016 | |
Furniture and equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
Furniture and equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 8 years |
Capitalized software costs | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 3 years |
Capitalized software costs | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 5 years |
Computer equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 2 years |
Computer equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Property, Plant and Equipment, Useful Life | 5 years |
DIVESTITURES (Details)
DIVESTITURES (Details) - USD ($) | Jun. 15, 2015 | May 07, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Gain (Loss) on Disposition of Business | $ 0 | $ 19,835,000 | $ 0 | ||
Hudson Information Technology (US) Business [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Proceeds from Divestiture of Businesses | $ 16,977,000 | ||||
Income (Loss) from Individually Significant Component Disposed of or Held-for-sale, Excluding Discontinued Operations, before Income Tax | (130,000) | 2,167,000 | |||
Disposal Group, Not Discontinued Operation, Gain (Loss) on Disposal | 15,918,000 | ||||
Disposal Group, Not Discontinued Operation, Tax Expense (Benefit) | 11,000 | ||||
Netherlands Business Sale [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Proceeds from Divestiture of Businesses | $ 9,029,000 | ||||
Proceeds From Divestiture of Business, Cash Retained | 1,135,000 | ||||
Gain (Loss) on Disposition of Business | 2,841,000 | ||||
Disposal Group, Not Discontinued Operation, Tax Expense (Benefit) | 0 | ||||
Netherlands subsidiary | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Income (Loss) from Individually Significant Component Disposed of or Held-for-sale, Excluding Discontinued Operations, before Income Tax | 373,000 | $ 1,799,000 | |||
Foreign Currency Gain (Loss) [Member] | Netherlands Business Sale [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Reclassification Adjustment from AOCI, Realized upon Sale or Liquidation, before Tax | (2,799,000) | ||||
Reclassification out of Accumulated Other Comprehensive Income [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Reclassification Adjustment from AOCI, Realized upon Sale or Liquidation, before Tax | (450,000) | ||||
Reclassification out of Accumulated Other Comprehensive Income [Member] | Exit of Business in Central and Eastern Europe [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Reclassification Adjustment from AOCI, Realized upon Sale or Liquidation, before Tax | 1,208,000 | ||||
Reclassification out of Accumulated Other Comprehensive Income [Member] | Exit of Business in Luxembourg [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Reclassification Adjustment from AOCI, Realized upon Sale or Liquidation, before Tax | $ (132,000) |
DISCONTINUED OPERATIONS (Detail
DISCONTINUED OPERATIONS (Details) - USD ($) $ in Thousands | Nov. 09, 2014 | Dec. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Assets of Disposal Group, Including Discontinued Operation, Current | $ 38 | $ 81 | |||
Business reorganization | 1,580 | 5,828 | $ 3,789 | ||
Impairment of long-lived assets | $ 0 | $ 0 | $ 662 | ||
Impairment charges related to assets no longer in use | $ 467 | ||||
Effective income tax rate reconciliation, at federal statutory income tax rate | 35.00% | 35.00% | 35.00% | ||
eDiscovery [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Proceeds from Divestiture of Businesses | $ 23,000 | ||||
Revenue | $ 30 | $ (1) | $ 54,620 | ||
Gross margin | 130 | (30) | 9,227 | ||
Business reorganization | (111) | 501 | 2,861 | ||
Impairment of long-lived assets | 467 | ||||
Operating income (loss), excluding gain (loss) from sale of business | 187 | (731) | (5,491) | ||
Other non-operating income (loss), including interest | 0 | (8) | (9) | ||
Gain (loss) from sale of discontinued operations | 0 | 137 | 11,333 | ||
Income (loss) from discontinued operations before income taxes | 187 | (602) | 5,833 | ||
Provision (benefit) for income taxes | 25 | (37) | 2,121 | ||
Income (loss) from discontinued operations | 162 | (565) | 3,712 | ||
Sweden [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Revenue | 0 | 30 | 1,513 | ||
Gross margin | 0 | 30 | 864 | ||
Business reorganization | 0 | (29) | 416 | ||
Impairment of long-lived assets | 0 | ||||
Operating income (loss), excluding gain (loss) from sale of business | (19) | 14 | (1,087) | ||
Other non-operating income (loss), including interest | 0 | 0 | (33) | ||
Gain (loss) from sale of discontinued operations | 0 | 1,273 | 0 | ||
Income (loss) from discontinued operations before income taxes | (19) | 1,287 | (1,120) | ||
Provision (benefit) for income taxes | 0 | 0 | 0 | ||
Income (loss) from discontinued operations | (19) | 1,287 | (1,120) | ||
Discontinued Operations [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Assets of Disposal Group, Including Discontinued Operation, Current | 38 | 81 | |||
Liabilities of Disposal Group, Including Discontinued Operation | 291 | 1,443 | |||
Revenue | 30 | 29 | 56,133 | ||
Gross margin | 130 | 0 | 10,091 | ||
Business reorganization | (111) | 472 | 3,277 | ||
Impairment of long-lived assets | 467 | ||||
Operating income (loss), excluding gain (loss) from sale of business | 168 | (717) | (6,578) | ||
Other non-operating income (loss), including interest | 0 | (8) | (42) | ||
Gain (loss) from sale of discontinued operations | 0 | 1,410 | 11,333 | ||
Income (loss) from discontinued operations before income taxes | 168 | 685 | 4,713 | ||
Provision (benefit) for income taxes | 25 | (37) | 2,121 | ||
Income (loss) from discontinued operations | 143 | 722 | $ 2,592 | ||
Discontinued Operations [Member] | eDiscovery [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Disposal Group, Including Discontinued Operation, Other Assets | 38 | 49 | |||
Liabilities of Disposal Group, Including Discontinued Operation | 291 | 1,439 | |||
Discontinued Operations [Member] | Sweden [Member] | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Disposal Group, Including Discontinued Operation, Other Assets | 0 | 32 | |||
Liabilities of Disposal Group, Including Discontinued Operation | $ 0 | $ 4 |
REVENUE, DIRECT COSTS AND GRO52
REVENUE, DIRECT COSTS AND GROSS MARGIN (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Revenue Direct Costs And Gross Margin Line Items [Line Items] | |||||||||||
Revenue | $ 100,314 | $ 108,136 | $ 113,067 | $ 101,227 | $ 106,109 | $ 110,028 | $ 122,743 | $ 124,317 | $ 422,744 | $ 463,197 | $ 581,192 |
Direct costs | 248,327 | 275,487 | 358,347 | ||||||||
Gross margin | $ 42,774 | $ 43,542 | $ 46,839 | $ 41,262 | $ 44,439 | $ 45,145 | $ 50,222 | $ 47,904 | 174,417 | 187,710 | 222,845 |
Temporary Contracting | |||||||||||
Revenue Direct Costs And Gross Margin Line Items [Line Items] | |||||||||||
Revenue | 270,777 | 305,052 | 408,106 | ||||||||
Direct costs | 236,654 | 262,322 | 345,586 | ||||||||
Gross margin | 34,123 | 42,730 | 62,520 | ||||||||
Permanent Recruitment | |||||||||||
Revenue Direct Costs And Gross Margin Line Items [Line Items] | |||||||||||
Revenue | 112,582 | 118,934 | 126,686 | ||||||||
Direct costs | 2,429 | 2,733 | 2,369 | ||||||||
Gross margin | 110,153 | 116,201 | 124,317 | ||||||||
Talent Management [Member] | |||||||||||
Revenue Direct Costs And Gross Margin Line Items [Line Items] | |||||||||||
Revenue | 37,204 | 37,425 | 43,586 | ||||||||
Direct costs | 7,216 | 8,681 | 7,980 | ||||||||
Gross margin | 29,988 | 28,744 | 35,606 | ||||||||
Other Than Temporary Contracting, Permanent Recruitment and Talent Management [Member] [Member] | |||||||||||
Revenue Direct Costs And Gross Margin Line Items [Line Items] | |||||||||||
Revenue | 2,181 | 1,786 | 2,814 | ||||||||
Direct costs | 2,028 | 1,751 | 2,412 | ||||||||
Gross margin | $ 153 | $ 35 | $ 402 |
STOCK-BASED COMPENSATION STOCK-
STOCK-BASED COMPENSATION STOCK-BASED COMPENSATION FOR THE YEAR (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | May 24, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Common stock reserved for issuance to participants | 2,834,298 | 2,400,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award Accelerated Compensation Cost | $ 2,541 | |||
Share-based compensation arrangement award vesting period | 5 years | |||
Stock-based compensation | $ 1,449 | 4,231 | $ 1,325 | |
Employee Service Share-based Compensation, Tax Benefit from Compensation Expense | $ 90 | $ 362 | $ 98 | |
Stock options | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Granted, number of options outstanding | 0 | 50,000 | 0 | |
Stock Option Award Exercise Price as a Percentage of the Fair Market Value of a Share of Common Stock | 100.00% | |||
Share-based compensation arrangement award vesting period | 4 years | |||
Stock-based compensation | $ 17 | $ 23 | $ 85 | |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $ 0 | $ 17 | ||
Weighted average service period | 0 days | 10 months 6 days | ||
Restricted stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation | $ 678 | $ 3,188 | 798 | |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $ 0 | $ 701 | ||
Weighted average service period | 0 days | 9 months | ||
Restricted stock units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of Shares Issued under a Share-based Compensation Arrangement, Which Have Vesting Conditions associated with Performance and Service Conditions | 500,000 | |||
Stock-based compensation | $ 754 | $ 1,020 | $ 442 | |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $ 195 | $ 0 | ||
Weighted average service period | 1 year 6 months 18 days | 0 days | ||
Restricted Stock Unit to Board of Directors | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Granted, number of options outstanding | 263,477 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding, Number | 459,656 | |||
First Anniversary | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 33.00% | |||
Second Anniversary | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 33.00% | |||
Third Anniversary | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 34.00% | |||
Americas, Asia Pacific and Europe [Member] | Restricted stock units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other that Options, Percentage of Shares Issued Based on Performance of Adjusted EBITDA | 80.00% | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other that Options, Percentage of Shares Issued Based on Performance of Group Adjusted EBITDA | 20.00% | |||
Corporate, Non-Segment [Member] | Restricted stock units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other that Options, Percentage of Shares Issued Based on Performance of Group Adjusted EBITDA | 100.00% | |||
Minimum | Stock options | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 5 years | |||
Maximum | Stock options | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years |
STOCK-BASED COMPENSATION - Fair
STOCK-BASED COMPENSATION - Fair Value Inputs (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based compensation arrangement award vesting period | 5 years | ||
Stock options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Volatility | 48.90% | ||
Risk free interest rate | 1.10% | ||
Dividends | $ 0 | ||
Expected life (years) | 2 years 9 months | ||
Weighted average fair value of options granted during the period (in dollars per share) | $ 0.81 | ||
Granted, number of options outstanding | 0 | 50,000 | 0 |
Share-based compensation arrangement award vesting period | 4 years | ||
Maximum | Stock options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 10 years | ||
Minimum | Stock options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Expiration Period | 5 years |
STOCK-BASED COMPENSATION Stock
STOCK-BASED COMPENSATION Stock options activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Roll Forward] | |||
Stock options outstanding - remaining contractual term | 2 years 4 months 6 days | 2 years 2 months 19 days | |
Stock options exercisable - remaining contractual term | 2 years 4 months 6 days | 1 year 10 months 10 days | |
Stock options outstanding | $ 0 | $ 22 | |
Stock options exercisable | $ 0 | $ 11 | |
Stock options | |||
Share-based Compensation Arrangement by Share-based Payment Award, Outstanding, Weighted Average Exercise Price [Roll Forward] | |||
Options outstanding at January 1, weighted average exercise price per share | $ 8.13 | $ 8.78 | $ 9.15 |
Granted, weighted average exercise price per share | 0 | 2.49 | 0 |
Forfeited, weighted average exercise price per share | 0 | 7.32 | 0 |
Expired, weighted average exercise price per share | 11.09 | 13.35 | 15.50 |
Options outstanding at December 31, weighted average exercise price per share | 6.16 | 8.13 | 8.78 |
Options exercisable at December 31, weighted average exercise price per share | $ 6.16 | $ 8.91 | $ 8.78 |
Share-based Compensation Arrangement by Share-based Payment Award [Roll Forward] | |||
Options outstanding at January 1, number of options outstanding | 206,000 | 756,800 | 800,350 |
Granted, number of options outstanding | 0 | 50,000 | 0 |
Forfeited, number of options outstanding | 0 | (485,000) | 0 |
Expired, number of options outstanding | (82,500) | (115,800) | (43,550) |
Options outstanding at December 31, number of options outstanding | 123,500 | 206,000 | 756,800 |
Options exercisable at December 31, number of options outstanding | 123,500 | 181,000 | 756,800 |
STOCK-BASED COMPENSATION Restri
STOCK-BASED COMPENSATION Restricted stock (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Stock options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average service period | 0 days | 10 months 6 days | |
Restricted stock | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average service period | 0 days | 9 months | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Non-vested restricted stock (units) at January 1, weighted average grant date fair value | $ 1.60 | $ 3 | $ 3 |
Granted, weighted average grant date fair value | 0 | 2.17 | 3.22 |
Vested, weighted average grant date fair value | 2.45 | 2.90 | 5.21 |
Forfeitures, Weighted Average Grant Date Fair Value | 0.85 | 3.14 | 2.39 |
Non-vested restricted stock (units) at December 31, weighted average grant date fair value | $ 0 | $ 1.60 | $ 3 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Unvested restricted stock (units) at January 1, number of shares of restricted stock (unit) | 680,000 | 803,999 | 997,802 |
Granted, number of share of restricted stock (units) | 0 | 1,270,500 | 482,900 |
Vested, number of share of restricted stock (units) | (330,000) | (1,204,798) | (182,251) |
Forfeited, number of share of restricted stock (units) | (350,000) | (189,701) | (494,452) |
Unvested restricted stock (units) at December 31, number of shares of restricted stock (unit) | 0 | 680,000 | 803,999 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Total Fair Value | $ 553 | $ 2,675 | $ 669 |
Restricted stock units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average service period | 1 year 6 months 18 days | 0 days | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Non-vested restricted stock (units) at January 1, weighted average grant date fair value | $ 0 | $ 3.57 | $ 3.65 |
Granted, weighted average grant date fair value | 2.56 | 2.47 | 3.40 |
Vested, weighted average grant date fair value | 2.12 | 2.70 | 3.86 |
Forfeitures, Weighted Average Grant Date Fair Value | 2.79 | 3.21 | 2.42 |
Non-vested restricted stock (units) at December 31, weighted average grant date fair value | $ 2.79 | $ 0 | $ 3.57 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Unvested restricted stock (units) at January 1, number of shares of restricted stock (unit) | 0 | 119,940 | 115,869 |
Granted, number of share of restricted stock (units) | 763,477 | 372,739 | 175,759 |
Vested, number of share of restricted stock (units) | (263,477) | (450,179) | (122,522) |
Forfeited, number of share of restricted stock (units) | (20,000) | (42,500) | (49,166) |
Unvested restricted stock (units) at December 31, number of shares of restricted stock (unit) | 480,000 | 0 | 119,940 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested in Period, Total Fair Value | $ 558 | $ 1,022 | $ 436 |
STOCK-BASED COMPENSATION Rest57
STOCK-BASED COMPENSATION Restricted stock units (Details) - Restricted stock units - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Non-vested restricted stock (units) at January 1, weighted average grant date fair value | $ 0 | $ 3.57 | $ 3.65 |
Granted, weighted average grant date fair value | 2.56 | 2.47 | 3.40 |
Vested, weighted average grant date fair value | 2.12 | 2.70 | 3.86 |
Forfeitures, Weighted Average Grant Date Fair Value | 2.79 | 3.21 | 2.42 |
Non-vested restricted stock (units) at December 31, weighted average grant date fair value | $ 2.79 | $ 0 | $ 3.57 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Unvested restricted stock (units) at January 1, number of shares of restricted stock (unit) | 0 | 119,940 | 115,869 |
Granted, number of share of restricted stock (units) | 763,477 | 372,739 | 175,759 |
Vested, number of share of restricted stock (units) | (263,477) | (450,179) | (122,522) |
Forfeited, number of share of restricted stock (units) | (20,000) | (42,500) | (49,166) |
Unvested restricted stock (units) at December 31, number of shares of restricted stock (unit) | 480,000 | 0 | 119,940 |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $ 558 | $ 1,022 | $ 436 |
STOCK-BASED COMPENSATION Define
STOCK-BASED COMPENSATION Defined contribution plan and non-cash employer-matching contributions (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||
Defined contribution pan, maximum annual contribution per employee percent | 15.00% | ||
Defined contribution plan, employer matching contribution percent | 3.00% | ||
Share-based compensation arrangement award vesting period | 5 years | ||
Expense recognized for the 401(k) plan | $ 155 | $ 193 | $ 385 |
Number of shares of the Company's common stock issued (in thousands) | 0 | 116 | 118 |
Market value per share of the Company's common stock on contribution date (in dollars) | $ 0 | $ 2.71 | $ 3.65 |
Non-cash contribution made for employer matching liability | $ 0 | $ 314 | $ 430 |
Defined Contribution Plan, Employer Discretionary Contribution Amount | 162 | 0 | 0 |
Total contribution made for employer-matching liability | $ 162 | $ 314 | $ 430 |
INCOME TAXES Foreign and Domest
INCOME TAXES Foreign and Domestic Income Before Tax (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
Domestic | $ (5,768) | $ 3,607 | $ (10,342) |
Foreign | (2,423) | (1,354) | (7,603) |
Income (loss) from continuing operations before provision for income taxes | $ (8,191) | $ 2,253 | $ (17,945) |
INCOME TAXES Components Of Inco
INCOME TAXES Components Of Income Tax Expense Benefit (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Current tax provision (benefit): | |||
U.S. Federal | $ 0 | $ 0 | $ (1,712) |
State and local | (11) | 18 | (550) |
Foreign | 981 | 439 | 205 |
Total current provision for (benefit from) income taxes | 970 | 457 | (2,057) |
Deferred tax provision (benefit): | |||
U.S. Federal | 0 | 0 | 0 |
State and local | 0 | 0 | 0 |
Foreign | (228) | 189 | (102) |
Total deferred provision for (benefit from) income taxes | (228) | 189 | (102) |
Provision for (benefit from) income taxes | $ 742 | $ 646 | $ (2,159) |
INCOME TAXES Federal Statutory
INCOME TAXES Federal Statutory Income Tax Rate Reconciliation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Disclosure [Abstract] | |||
Provision for (benefit from) continuing operations at Federal statutory rate of 35% | $ (2,867) | $ 787 | $ (6,281) |
State income taxes, net of Federal income tax effect | (7) | 11 | (357) |
Change in valuation allowance | (5,045) | 447 | (3,427) |
Taxes related to foreign income | 8,901 | 2,140 | 5,628 |
Effect of state tax rate changes on deferred tax assets | 0 | (6,834) | 0 |
Others | 399 | 1,375 | 2,446 |
Effective Income Tax Rate Reconciliation, Other Adjustments, Amount | (639) | 2,720 | (168) |
Provision for (benefit from) income taxes | $ 742 | $ 646 | $ (2,159) |
INCOME TAXES Deferred Tax (Deta
INCOME TAXES Deferred Tax (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Deferred tax assets (liabilities): | ||
Allowance for doubtful accounts | $ 157 | $ 122 |
Property and equipment | 1,024 | 321 |
Goodwill and intangibles | 3,879 | 5,381 |
Accrued compensation | 3,011 | 2,666 |
Accrued liabilities and other | 2,311 | 3,244 |
Tax loss carry-forwards | 152,197 | 154,028 |
Deferred tax assets (liabilities) gross, total | 162,579 | 165,762 |
Valuation allowance | (156,343) | (159,298) |
Deferred tax assets (liabilities), net of valuation allowance, total | $ 6,236 | $ 6,464 |
INCOME TAXES FIN 48 accruals (D
INCOME TAXES FIN 48 accruals (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Income Tax Disclosure [Abstract] | ||
Gross unrecognized tax benefits excluding interest and penalties | $ 2,039 | $ 2,190 |
Amount presented as a reduction to a deferred tax asset | 438 | 447 |
Unrecognized tax benefits, excluding interest and penalties | 1,601 | 1,743 |
Accrued interest and penalties | 610 | 536 |
Total unrecognized tax benefits that would impact the effective tax rate | $ 2,211 | $ 2,279 |
INCOME TAXES Summary of Income
INCOME TAXES Summary of Income Tax Contingency (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |
Balance at January 1, 2012 | $ 2,190 |
Additions based on tax positions related to the current year | 87 |
Additions for tax positions of prior years | 7 |
Lapse of statute of limitations | (162) |
Currency Translation | (83) |
Balance at December 31, 2012 | $ 2,039 |
INCOME TAXES Interest and Penal
INCOME TAXES Interest and Penalties (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items] | |||
Expense for (benefit of) estimated interest and penalties related to unrecognized tax benefits | $ 77 | $ 50 | $ (150) |
Minimum | |||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items] | |||
Decrease in Unrecognized Tax Benefits is Reasonably Possible | 200 | ||
Maximum | |||
Significant Change in Unrecognized Tax Benefits is Reasonably Possible [Line Items] | |||
Decrease in Unrecognized Tax Benefits is Reasonably Possible | $ 400 |
INCOME TAXES (Details)
INCOME TAXES (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Operating Loss Carryforwards [Line Items] | |||
Effective income tax rate | (9.10%) | 28.70% | 12.00% |
Effective income tax rate reconciliation, at federal statutory income tax rate | 35.00% | 35.00% | 35.00% |
NOL not absorbed by former parent | $ 16,584,000 | ||
NOL not reflected on DTA from Stock Compensation Expenses | $ 5,222,000 | ||
Net tax impact from ASU 2016-09 | $ 0 | ||
Operating Loss Carryforwards, Expiration Dates | Dec. 31, 2036 | ||
Net tax benefit from changes in judgment regarding realizability of deferred tax assets | $ 887,000 | ||
Operating Loss Carryforwards, Valuation Allowance | 147,941,000 | ||
Deferred Tax Assets, Valuation Allowance | 8,402,000 | ||
Domestic Tax Authority | |||
Operating Loss Carryforwards [Line Items] | |||
NOL Carryforward | 326,295,000 | ||
Operating Loss Carryforwards, Valuation Allowance | 130,518,000 | ||
Foreign Tax Authority | |||
Operating Loss Carryforwards [Line Items] | |||
NOL Carryforward | 82,355,000 | ||
Operating loss that can carryforward indefinitely from foreign subsidiaries | 75,273,000 | ||
Operating Loss Carryforwards, Valuation Allowance | 17,423,000 | ||
Foreign Tax Authority | 2014 | |||
Operating Loss Carryforwards [Line Items] | |||
Operating loss subject to expiration in the next twelve months from foreign subsidiaries | 42,000 | ||
New Accounting Pronouncement, Early Adoption, Effect | Accounting Standards Update 2016-09 | |||
Operating Loss Carryforwards [Line Items] | |||
NOL Carryforward | $ 5,222,000 |
INCOME TAXES Open Years (Detail
INCOME TAXES Open Years (Details) | 24 Months Ended | 48 Months Ended | 60 Months Ended | 72 Months Ended |
Dec. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2016 | Dec. 31, 2016 | |
U.S. Federal | ||||
Tax Years Subject to Examination [Line Items] | ||||
Open Tax Year | 2,013 | |||
Other U.S. state and local jurisdictions | ||||
Tax Years Subject to Examination [Line Items] | ||||
Open Tax Year | 2,012 | |||
U.K. | ||||
Tax Years Subject to Examination [Line Items] | ||||
Open Tax Year | 2,015 | |||
Australia | ||||
Tax Years Subject to Examination [Line Items] | ||||
Open Tax Year | 2,012 | |||
Majority of other foreign jurisdictions | ||||
Tax Years Subject to Examination [Line Items] | ||||
Open Tax Year | 2,011 |
EARNINGS (LOSS) PER SHARE (Comp
EARNINGS (LOSS) PER SHARE (Computation of basic and diluted earnings (loss) per share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Earnings (loss) per share (EPS): | |||||||||||
Earnings (loss) per share from continuing operations, basic and diluted | $ 0 | $ (0.06) | $ (0.10) | $ (0.10) | $ (0.07) | $ (0.06) | $ 0.38 | $ (0.20) | $ (0.27) | $ 0.05 | $ (0.48) |
Earnings (loss) per share from discontinued operations, basic and diluted | (0.01) | 0 | 0.01 | 0 | 0 | 0 | 0.03 | (0.01) | 0.01 | 0.02 | 0.08 |
Earnings Per Share, Basic and Diluted | $ (0.01) | $ (0.06) | $ (0.09) | $ (0.10) | $ (0.08) | $ (0.06) | $ 0.41 | $ (0.21) | $ (0.26) | $ 0.07 | $ (0.40) |
EPS numerator - basic and diluted: | |||||||||||
Income (Loss) from Continuing Operations | $ (108) | $ (1,908) | $ (3,347) | $ (3,570) | $ (2,484) | $ (2,029) | $ 12,774 | $ (6,654) | $ (8,933) | $ 1,607 | $ (15,786) |
Income (Loss) from Discontinued Operations, Net of Taxes | (184) | 35 | 209 | 83 | (142) | (55) | 1,103 | (184) | 143 | 722 | 2,592 |
Net income (loss) | $ (292) | $ (1,873) | $ (3,138) | $ (3,487) | $ (2,626) | $ (2,084) | $ 13,877 | $ (6,838) | $ (8,790) | $ 2,329 | $ (13,194) |
EPS denominator (in thousands): | |||||||||||
Weighted-average common stock outstanding - basic (in shares) | 32,227 | 33,572 | 33,252 | 34,631 | 34,274 | 34,687 | 33,525 | 33,053 | 33,174 | 33,869 | 32,843 |
Common stock equivalents: stock options and other stock-based awards (a) (in shares) | 0 | 215 | 0 | ||||||||
Weighted-average number of common stock outstanding - diluted (in shares) | 34,274 | 34,687 | 34,007 | 33,053 | 33,174 | 34,084 | 32,843 |
EARNINGS (LOSS) PER SHARE (Anti
EARNINGS (LOSS) PER SHARE (Antidilutive securities excluded from the computation of earnings (loss) per share) (Details) - shares | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Common stock equivalents and outstanding stock options excluded from the calculation of diluted earnings (loss) per share (in thousands) | 604,000 | 299,000 | 548,000 | 1,345,000 | 886,000 | 1,124,000 | 979,000 | 1,903,000 | 603,500 | 556,000 | 1,680,739 |
Unvested restricted stock | |||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Common stock equivalents and outstanding stock options excluded from the calculation of diluted earnings (loss) per share (in thousands) | 0 | 350,000 | 803,999 | ||||||||
Unvested restricted stock units | |||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Common stock equivalents and outstanding stock options excluded from the calculation of diluted earnings (loss) per share (in thousands) | 480,000 | 0 | 119,940 | ||||||||
Stock options | |||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||
Common stock equivalents and outstanding stock options excluded from the calculation of diluted earnings (loss) per share (in thousands) | 123,500 | 206,000 | 756,800 |
RESTRICTED CASH (Details)
RESTRICTED CASH (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted cash | $ 1,189 | $ 937 |
Other assets | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted cash | 942 | 709 |
Other assets | Collateral accounts | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted cash | 557 | 229 |
Other assets | Rental deposits | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted cash | 385 | 480 |
Prepaid and other | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted cash | 247 | 228 |
Prepaid and other | Other | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted cash | 108 | 110 |
Prepaid and other | Client guarantees | ||
Restricted Cash and Cash Equivalents Items [Line Items] | ||
Restricted cash | $ 139 | $ 118 |
PROPERTY AND EQUIPMENT, NET (De
PROPERTY AND EQUIPMENT, NET (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 38,841 | $ 42,047 | |
Less: acccumulated depreciation and amortization | 31,800 | 34,119 | |
Property and equipment, net | 7,041 | 7,928 | |
Construction in Progress, Gross | 235 | 513 | |
Impairment of long-lived assets | 0 | 0 | $ 662 |
Capital lease obligation, current | 65 | 62 | |
Capital lease obligation, non-current | 140 | 229 | |
Capital lease obligations incurred | 0 | 0 | |
Computer equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 5,888 | 5,911 | |
Furniture and equipment | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 2,244 | 2,668 | |
Capitalized software costs | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | 17,010 | 17,946 | |
Leasehold and building improvements | |||
Property, Plant and Equipment [Line Items] | |||
Property, plant and equipment, gross | $ 13,699 | $ 15,522 |
GOODWILL (Details)
GOODWILL (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Goodwill [Roll Forward] | ||
Goodwill, January 1, | $ 1,938 | $ 2,029 |
Currency translation | (126) | (91) |
Goodwill, December 31, | $ 1,812 | $ 1,938 |
ACCRUED EXPENSES AND OTHER CU73
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Payables and Accruals [Abstract] | ||
Salaries, commissions and benefits | $ 21,843 | $ 23,684 |
Sales, use, transaction and income taxes | 7,438 | 7,876 |
Fees for professional services | 1,148 | 1,760 |
Rent | 1,920 | 1,218 |
Deferred revenue | 1,024 | 1,722 |
Other accruals | 2,781 | 4,084 |
Total accrued expenses and other current liabilities | $ 36,154 | $ 40,344 |
BUSINESS REORGANIZATION EXPEN74
BUSINESS REORGANIZATION EXPENSES REORGANIZATION EXPENSES BY PLAN (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | $ 1,580 | $ 5,828 | $ 3,789 |
2015 Restructuring Plan [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | 1,098 | 0 | 0 |
Previous Years Reorganization Plan [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | $ 482 | $ 5,828 | $ 3,789 |
BUSINESS REORGANIZATION EXPEN75
BUSINESS REORGANIZATION EXPENSES CHANGE IN ACCRUED REORGANIZATION EXPENSES (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Restructuring Reserve [Roll Forward] | |
Balance, beginning of year | $ 4,364 |
Changes in estimate | 179 |
Restructuring and Related Cost, Incurred Cost | 1,401 |
Payments | (3,373) |
Balance, end of period | 2,571 |
Facility Closing | |
Restructuring Reserve [Roll Forward] | |
Balance, beginning of year | 2,970 |
Changes in estimate | 301 |
Restructuring and Related Cost, Incurred Cost | 691 |
Payments | (1,689) |
Balance, end of period | 2,273 |
One-time Termination Benefits | |
Restructuring Reserve [Roll Forward] | |
Balance, beginning of year | 1,186 |
Changes in estimate | (144) |
Restructuring and Related Cost, Incurred Cost | 460 |
Payments | (1,236) |
Balance, end of period | 266 |
Other associated costs | |
Restructuring Reserve [Roll Forward] | |
Balance, beginning of year | 208 |
Changes in estimate | 22 |
Restructuring and Related Cost, Incurred Cost | 250 |
Payments | (448) |
Balance, end of period | $ 32 |
BUSINESS REORGANIZATION EXPEN76
BUSINESS REORGANIZATION EXPENSES LEASE TERMINATION PAYMENTS (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | $ 1,580 | $ 5,828 | $ 3,789 |
Hudson Americas | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | (39) | 1,108 | 94 |
Hudson Asia Pacific | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | 248 | 669 | 1,322 |
Hudson Europe | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | 1,387 | 2,883 | 1,407 |
Corporate | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | (16) | 1,168 | 966 |
Facility Closing | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | 992 | 2,667 | 902 |
Facility Closing | Hudson Americas | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | (16) | 503 | 91 |
Facility Closing | Hudson Asia Pacific | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | (24) | 625 | 771 |
Facility Closing | Hudson Europe | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | 1,022 | 1,358 | 40 |
Facility Closing | Corporate | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | $ 10 | $ 181 | $ 0 |
BUSINESS REORGANIZATION EXPEN77
BUSINESS REORGANIZATION EXPENSES EMPLOYMENT TERMINATION BENEFITS (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | $ 1,580 | $ 5,828 | $ 3,789 |
Hudson Americas | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | (39) | 1,108 | 94 |
Hudson Asia Pacific | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | 248 | 669 | 1,322 |
Hudson Europe | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | 1,387 | 2,883 | 1,407 |
Corporate | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | (16) | 1,168 | 966 |
One-time Termination Benefits | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | 316 | 2,109 | 2,765 |
One-time Termination Benefits | Hudson Americas | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | (8) | 350 | 3 |
One-time Termination Benefits | Hudson Asia Pacific | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | 273 | (2) | 510 |
One-time Termination Benefits | Hudson Europe | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | 77 | 792 | 1,285 |
One-time Termination Benefits | Corporate | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | (26) | 969 | 967 |
2015 Restructuring Plan [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | $ 1,098 | $ 0 | $ 0 |
BUSINESS REORGANIZATION EXPEN78
BUSINESS REORGANIZATION EXPENSES OTHER ASSOCIATED COSTS (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | $ 1,580 | $ 5,828 | $ 3,789 |
Hudson Americas | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | (39) | 1,108 | 94 |
Hudson Asia Pacific | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | 248 | 669 | 1,322 |
Hudson Europe | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | 1,387 | 2,883 | 1,407 |
Corporate | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | (16) | 1,168 | 966 |
Other associated costs | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | 272 | 1,052 | 122 |
Other associated costs | Hudson Americas | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | (15) | 255 | 0 |
Other associated costs | Hudson Asia Pacific | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | 0 | 47 | 40 |
Other associated costs | Hudson Europe | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | 287 | 733 | 82 |
Other associated costs | Corporate | |||
Restructuring Cost and Reserve [Line Items] | |||
Business reorganization | $ 0 | $ 17 | $ 0 |
COMMITMENTS AND CONTINGENCIES O
COMMITMENTS AND CONTINGENCIES Operating Leases, Rent Expense, Minimum Rentals (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Commitments And Contingencies [Line Items] | |||
Operating Leases, Rent Expense, Sublease Rentals | $ 5,893 | ||
2,017 | 15,355 | ||
2,018 | 13,181 | ||
2,019 | 8,758 | ||
2,020 | 5,506 | ||
2,021 | 1,615 | ||
Thereafter | 1,027 | ||
Total future minimum payments due | 45,442 | ||
Office and general | |||
Commitments And Contingencies [Line Items] | |||
Operating leases, rent expense | $ 8,931 | $ 10,540 | $ 14,441 |
Property Subject to Operating Lease [Member] | |||
Commitments And Contingencies [Line Items] | |||
Lease Expiration Date | Dec. 31, 2027 | ||
Property Subject to Sublease [Member] | |||
Commitments And Contingencies [Line Items] | |||
Lease Expiration Date | Dec. 31, 2020 |
COMMITMENTS AND CONTINGENCIES80
COMMITMENTS AND CONTINGENCIES (Details) - USD ($) $ in Thousands | May 27, 2016 | Dec. 31, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Aug. 31, 2015 |
Commitments And Contingencies [Line Items] | |||||
Loss Contingency Accrual | $ 105 | $ 109 | |||
Asset retirement obligation: | |||||
Asset Retirement Obligation, Current | 78 | 142 | |||
Asset Retirement Obligations, Noncurrent | 1,693 | 1,820 | |||
Total asset retirement obligations | $ 1,771 | $ 1,962 | |||
Management [Member] | |||||
Commitments And Contingencies [Line Items] | |||||
Length Of Agreements With Consultants, Key Management, And Others | one year | ||||
Chief Executive Officer [Member] | |||||
Commitments And Contingencies [Line Items] | |||||
Supplemental Unemployment Benefits, Severance Benefits | $ 747 | ||||
Loss Contingency, Estimate of Possible Loss | $ 2,000 | ||||
Increase (Decrease) in Postemployment Obligations | $ 1,800 | ||||
Legal Fees | $ 700 | ||||
Postemployment Benefits, Period Expense | $ 3,025 |
CREDIT AGREEMENTS CREDIT AGRE81
CREDIT AGREEMENTS CREDIT AGREEMENTS (Details) € in Thousands, £ in Thousands, SGD in Thousands, NZD in Thousands, AUD in Thousands, $ in Thousands | Sep. 15, 2016USD ($) | Sep. 30, 2015 | Dec. 31, 2016USD ($)Rate | Dec. 31, 2016AUDRate | Dec. 31, 2016SGDRate | Dec. 31, 2016GBP (£)Rate | Dec. 31, 2016NZDRate | Dec. 31, 2016EUR (€)Rate | Sep. 15, 2016GBP (£) | Aug. 01, 2014USD ($) | Aug. 01, 2014GBP (£) |
Line of Credit Facility [Line Items] | |||||||||||
Line of credit facility, average outstanding amount | $ 7,385 | ||||||||||
Debt, weighted average interest rate | 3.37% | 3.37% | 3.37% | 3.37% | 3.37% | 3.37% | |||||
Overdraft Facility [Member] | Singapore Subsidiary | Singapore Prime Rate | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Debt instrument, interest rate increase | 1.75% | ||||||||||
Lloyds [Member] | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 14,814 | £ 12,000 | $ 18,518 | £ 15,000 | |||||||
Initial Term (in Years) of the Credit Agreement | 2 | ||||||||||
Renewal Term (in months) after the initial term of the Lloyds Agreement | 3 | ||||||||||
Debt instrument, interest rate increase | 1.75% | ||||||||||
Percentage of true credit note dilution limit | 5.00% | ||||||||||
Debt Turns in days | 55 | ||||||||||
Debt Turn rolling period in months | 3 | ||||||||||
Line of Credit Facility, Covenant, Minimum Availability Required | $ 2,469 | £ 2,000 | |||||||||
Lloyds [Member] | Revolving Credit Facility [Member] | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Borrowing capacity | 7,380 | ||||||||||
Less: outstanding borrowing | (19) | ||||||||||
Line of credit facility, minimum excess availability | $ 7,361 | ||||||||||
Interest rates on outstanding borrowing | 2.00% | 2.00% | 2.00% | 2.00% | 2.00% | 2.00% | |||||
Lloyds [Member] | Credit Facility Lending based on Billed Revenue [Member] | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 14,197 | 11,500 | |||||||||
Percentage of eligible Temp receivable | 83.00% | ||||||||||
Lloyds [Member] | Credit Facility Lending based on Unbilled Revenue [Member] | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 617 | £ 500 | |||||||||
Percentage of eligible Permanent receivable | 25.00% | ||||||||||
National Australia Bank Limited and Bank of New Zealand [Member] | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Line of Credit Facility, Covenants, Minimum Fixed Charges Coverage Ratio Required | Rate | 150.00% | 150.00% | 150.00% | 150.00% | 150.00% | 150.00% | |||||
Line of Credit Facility, Covenants, Minimum Receivables Ratio | Rate | 120.00% | 120.00% | 120.00% | 120.00% | 120.00% | 120.00% | |||||
National Australia Bank Limited and Bank of New Zealand [Member] | Financial Guarantee Facility [Member] | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Financial guarantee capacity | $ 2,161 | AUD 3,000 | |||||||||
Debt Instrument, Fee Percent | 1.50% | ||||||||||
Less: outstanding financial guarantee requested | $ (1,901) | ||||||||||
Additional availability for financial guarantee | $ 260 | ||||||||||
Interest rates on financial guarantee requested | 1.50% | 1.50% | 1.50% | 1.50% | 1.50% | 1.50% | |||||
National Australia Bank Limited and Bank of New Zealand [Member] | Australian Receivables Facility [Member] [Domain] | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 2,881 | AUD 4,000 | |||||||||
National Australia Bank Limited and Bank of New Zealand [Member] | Australian Receivables Facility [Member] [Domain] | Australia | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 18,005 | AUD 25,000 | |||||||||
Debt instrument, interest rate increase | 1.50% | ||||||||||
Borrowing capacity | $ 15,606 | ||||||||||
Line of credit facility, minimum excess availability | $ 7,855 | ||||||||||
Interest rates on outstanding borrowing | 3.17% | 3.17% | 3.17% | 3.17% | 3.17% | 3.17% | |||||
Debt Instrument, Fee Amount | $ 5 | AUD 6 | |||||||||
Line of Credit Facility, Fair Value of Amount Outstanding | (7,751) | ||||||||||
National Australia Bank Limited and Bank of New Zealand [Member] | New Zealand Receivables Agreement [Member] | New Zealand Subsidiary | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | 3,463 | NZD 5,000 | |||||||||
Borrowing capacity | 2,231 | ||||||||||
Less: outstanding borrowing | 0 | ||||||||||
Line of credit facility, minimum excess availability | $ 2,231 | ||||||||||
Interest rates on outstanding borrowing | 4.00% | 4.00% | 4.00% | 4.00% | 4.00% | 4.00% | |||||
Debt Instrument, Fee Amount | $ 1 | NZD 1 | |||||||||
LIne of Credit Facility, Notice Period | 90 days | ||||||||||
National Australia Bank Limited [Member] | Financial Guarantee Facility [Member] | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Debt Instrument, Fee Percent | 0.30% | ||||||||||
Lending Arrangements Belgium, Netherlands and Singapore Banks | Overdraft Facility [Member] | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Less: outstanding borrowing | $ 0 | ||||||||||
Lending Arrangements Belgium Bank | Overdraft Facility [Member] | Belgium Subsidiary | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 1,052 | € 1,000 | |||||||||
LIne of Credit Facility, Notice Period | 15 days | ||||||||||
Lending Arrangements Netherlands and Belgium Banks | Overdraft Facility [Member] | EURIBOR | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Interest rates on outstanding borrowing | 2.75% | 2.75% | 2.75% | 2.75% | 2.75% | 2.75% | |||||
Lending Arrangements Singapore Bank | Singapore Subsidiary | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 138 | SGD 200 | |||||||||
Lending arrangement expiration | 1 year | ||||||||||
Lending Arrangements Singapore Bank | Overdraft Facility [Member] | Singapore Subsidiary | Singapore Prime Rate | |||||||||||
Line of Credit Facility [Line Items] | |||||||||||
Interest rates on outstanding borrowing | 6.00% | 6.00% | 6.00% | 6.00% | 6.00% | 6.00% |
STOCKHOLDERS' EQUITY (Details)
STOCKHOLDERS' EQUITY (Details) - USD ($) $ / shares in Units, $ in Thousands | Jun. 24, 2016 | Mar. 25, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2016 | Jul. 30, 2015 |
Cash dividend (in dollars per share) | $ 0.05 | $ 0.05 | $ 0.10 | ||||
Dividends, Common Stock, Cash | $ 3,401 | ||||||
Stock Repurchase Program, Authorized Amount | $ 10,000 | ||||||
Stock Repurchased During Period, Shares | 2,989,127 | ||||||
Payments for Repurchase of Common Stock | 5,127 | $ 1,386 | $ 0 | $ 6,513 | |||
Private Transaction Repurchases [Member] | |||||||
Treasury Stock, Value, Acquired, Cost Method | $ 1,980 | ||||||
Treasury Stock Acquired, Average Cost Per Share | $ 1.80 | ||||||
Treasury Stock, Shares, Acquired | 1,100,000 | ||||||
Open Market Repurchases [Member] | |||||||
Stock Repurchased During Period, Shares | 1,361,493 | 527,634 | |||||
Payments for Repurchase of Common Stock | $ 3,147 | ||||||
Treasury Stock, Value, Acquired, Cost Method | $ 1,386 |
ACCUMULATED OTHER COMPREHENSI83
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI, Pension and Other Postretirement Benefit Plans, for Net Gain (Loss), before Tax | $ (22) | $ (19) |
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax | 6,826 | 10,159 |
Accumulated Other Comprehensive Income (Loss), Pension and Other Postretirement Benefit Plans, Net of Tax | 105 | 133 |
Accumulated Other Comprehensive Income (Loss), Net of Tax | $ 6,931 | 10,292 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Reclassification Adjustment from AOCI, Realized upon Sale or Liquidation, before Tax | $ (450) |
SHELF REGISTRATION AND STOCKH84
SHELF REGISTRATION AND STOCKHOLDER RIGHTS PLAN (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Feb. 28, 2005 | |
Class of Stock [Line Items] | ||
Preferred stock par value | $ 0.001 | |
Price per share | $ 8.50 | |
Ownership percent to exercise purchase right | 4.99% | |
Redemption price | $ 0.001 | |
Acquisition Shelf Registration Statement | Common stock | ||
Class of Stock [Line Items] | ||
Shelf registration, maximum shares authorized | 1,350,000 | |
Shelf registration, shares available for issuance | 1,350,000 |
SEGMENT AND GEOGRAPHIC DATA Seg
SEGMENT AND GEOGRAPHIC DATA Segment Information (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2016USD ($) | Sep. 30, 2016USD ($) | Jun. 30, 2016USD ($) | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2016USD ($)segments | Dec. 31, 2016USD ($)Segment | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Segment Reporting Information [Line Items] | |||||||||||||
Number of reportable segments | 3 | 3 | |||||||||||
Revenue, from external customers | $ 422,744 | $ 463,197 | $ 581,192 | ||||||||||
Revenue from Related Parties | 0 | 0 | 0 | ||||||||||
Total revenue | $ 100,314 | $ 108,136 | $ 113,067 | $ 101,227 | $ 106,109 | $ 110,028 | $ 122,743 | $ 124,317 | 422,744 | 463,197 | 581,192 | ||
Gross margin, from external customers | 174,417 | 187,710 | 222,845 | ||||||||||
Inter-segment gross margin | 0 | 0 | 0 | ||||||||||
Gross margin | 42,774 | $ 43,542 | $ 46,839 | $ 41,262 | 44,439 | $ 45,145 | $ 50,222 | $ 47,904 | 174,417 | 187,710 | 222,845 | ||
Gain (Loss) on Disposition of Business | 0 | 19,835 | 0 | ||||||||||
Business reorganization | 1,580 | 5,828 | 3,789 | ||||||||||
Impairment of long-lived assets | 0 | 0 | 662 | ||||||||||
EBITDA (loss) (a) | (4,744) | 6,820 | (11,725) | ||||||||||
Depreciation and amortization | 3,090 | 3,845 | 5,559 | ||||||||||
Intercompany interest income (expense), net | 0 | 0 | 0 | ||||||||||
Interest income (expense), net | (357) | (722) | (661) | ||||||||||
Income (loss) from continuing operations before provision for income taxes | (8,191) | 2,253 | (17,945) | ||||||||||
Provision for (benefit from) income taxes from continuing operations | 742 | 646 | (2,159) | ||||||||||
Accounts receivable, net | 58,517 | 62,420 | 58,517 | $ 58,517 | $ 58,517 | 62,420 | 74,079 | ||||||
Long-lived assets, net of accumulated depreciation and amortization | 8,938 | 9,951 | 8,938 | 8,938 | 8,938 | 9,951 | 11,842 | ||||||
Total assets | 101,812 | 124,949 | 101,812 | 101,812 | 101,812 | 124,949 | 139,672 | ||||||
Hudson Americas | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Revenue, from external customers | 15,561 | 28,627 | 50,146 | ||||||||||
Revenue from Related Parties | 20 | 41 | 60 | ||||||||||
Total revenue | 15,581 | 28,668 | 50,206 | ||||||||||
Gross margin, from external customers | 13,609 | 16,111 | 20,757 | ||||||||||
Inter-segment gross margin | (14) | 25 | 35 | ||||||||||
Gross margin | 13,595 | 16,136 | 20,792 | ||||||||||
Gain (Loss) on Disposition of Business | 15,918 | ||||||||||||
Business reorganization | (39) | 1,108 | 94 | ||||||||||
Impairment of long-lived assets | 0 | ||||||||||||
EBITDA (loss) (a) | 770 | 13,354 | 117 | ||||||||||
Depreciation and amortization | 49 | 604 | 485 | ||||||||||
Intercompany interest income (expense), net | 0 | 0 | 0 | ||||||||||
Interest income (expense), net | 0 | (342) | (90) | ||||||||||
Income (loss) from continuing operations before provision for income taxes | 721 | 12,408 | (458) | ||||||||||
Provision for (benefit from) income taxes from continuing operations | 30 | 58 | (2,201) | ||||||||||
Accounts receivable, net | 2,507 | 3,155 | 2,507 | 2,507 | 2,507 | 3,155 | 6,695 | ||||||
Long-lived assets, net of accumulated depreciation and amortization | 2 | 36 | 2 | 2 | 2 | 36 | 860 | ||||||
Total assets | 5,880 | 7,766 | 5,880 | 5,880 | 5,880 | 7,766 | 10,553 | ||||||
Hudson Asia Pacific | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Revenue, from external customers | 236,839 | 219,391 | 246,873 | ||||||||||
Revenue from Related Parties | 0 | 0 | 0 | ||||||||||
Total revenue | 236,839 | 219,391 | 246,873 | ||||||||||
Gross margin, from external customers | 84,126 | 89,682 | 93,014 | ||||||||||
Inter-segment gross margin | (271) | (477) | (143) | ||||||||||
Gross margin | 83,855 | 89,205 | 92,871 | ||||||||||
Gain (Loss) on Disposition of Business | 0 | ||||||||||||
Business reorganization | 248 | 669 | 1,322 | ||||||||||
Impairment of long-lived assets | 314 | ||||||||||||
EBITDA (loss) (a) | (338) | 2,851 | (890) | ||||||||||
Depreciation and amortization | 1,744 | 1,951 | 3,287 | ||||||||||
Intercompany interest income (expense), net | 0 | 0 | 0 | ||||||||||
Interest income (expense), net | (318) | (276) | (199) | ||||||||||
Income (loss) from continuing operations before provision for income taxes | (2,400) | 624 | (4,376) | ||||||||||
Provision for (benefit from) income taxes from continuing operations | (2,040) | 776 | 11 | ||||||||||
Accounts receivable, net | 32,271 | 29,824 | 32,271 | 32,271 | 32,271 | 29,824 | 26,745 | ||||||
Long-lived assets, net of accumulated depreciation and amortization | 7,049 | 7,382 | 7,049 | 7,049 | 7,049 | 7,382 | 8,227 | ||||||
Total assets | 51,331 | 49,246 | 51,331 | 51,331 | 51,331 | 49,246 | 54,141 | ||||||
Hudson Europe | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Revenue, from external customers | 170,344 | 215,179 | 284,173 | ||||||||||
Revenue from Related Parties | 314 | 498 | 198 | ||||||||||
Total revenue | 170,658 | 215,677 | 284,371 | ||||||||||
Gross margin, from external customers | 76,682 | 81,917 | 109,074 | ||||||||||
Inter-segment gross margin | 285 | 451 | 108 | ||||||||||
Gross margin | 76,967 | 82,368 | 109,182 | ||||||||||
Gain (Loss) on Disposition of Business | 3,917 | ||||||||||||
Business reorganization | 1,387 | 2,883 | 1,407 | ||||||||||
Impairment of long-lived assets | 348 | ||||||||||||
EBITDA (loss) (a) | 1,064 | (207) | (1,187) | ||||||||||
Depreciation and amortization | 892 | 802 | 1,247 | ||||||||||
Intercompany interest income (expense), net | (204) | (526) | (439) | ||||||||||
Interest income (expense), net | (32) | (94) | (37) | ||||||||||
Income (loss) from continuing operations before provision for income taxes | (64) | (1,629) | (2,910) | ||||||||||
Provision for (benefit from) income taxes from continuing operations | 2,761 | (176) | 35 | ||||||||||
Accounts receivable, net | 23,739 | 29,441 | 23,739 | 23,739 | 23,739 | 29,441 | 40,639 | ||||||
Long-lived assets, net of accumulated depreciation and amortization | 1,528 | 1,859 | 1,528 | 1,528 | 1,528 | 1,859 | 2,171 | ||||||
Total assets | 40,790 | 53,557 | 40,790 | 40,790 | 40,790 | 53,557 | 65,105 | ||||||
Corporate | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Revenue, from external customers | 0 | 0 | 0 | ||||||||||
Revenue from Related Parties | 0 | 0 | 0 | ||||||||||
Total revenue | 0 | 0 | 0 | ||||||||||
Gross margin, from external customers | 0 | 0 | 0 | ||||||||||
Inter-segment gross margin | 0 | 0 | 0 | ||||||||||
Gross margin | 0 | 0 | 0 | ||||||||||
Gain (Loss) on Disposition of Business | 0 | ||||||||||||
Business reorganization | (16) | 1,168 | 966 | ||||||||||
Impairment of long-lived assets | 0 | ||||||||||||
EBITDA (loss) (a) | (6,240) | (9,178) | (9,765) | ||||||||||
Depreciation and amortization | 405 | 488 | 540 | ||||||||||
Intercompany interest income (expense), net | 204 | 526 | 439 | ||||||||||
Interest income (expense), net | (7) | (10) | (335) | ||||||||||
Income (loss) from continuing operations before provision for income taxes | (6,448) | (9,150) | (10,201) | ||||||||||
Provision for (benefit from) income taxes from continuing operations | (9) | (12) | (4) | ||||||||||
Accounts receivable, net | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||
Long-lived assets, net of accumulated depreciation and amortization | 359 | 674 | 359 | 359 | 359 | 674 | 584 | ||||||
Total assets | 3,811 | 14,380 | 3,811 | 3,811 | 3,811 | 14,380 | 9,873 | ||||||
Inter- segment elimination | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Revenue, from external customers | 0 | 0 | 0 | ||||||||||
Revenue from Related Parties | (334) | (539) | (258) | ||||||||||
Total revenue | (334) | (539) | (258) | ||||||||||
Gross margin, from external customers | 0 | 0 | 0 | ||||||||||
Inter-segment gross margin | 0 | 1 | 0 | ||||||||||
Gross margin | 0 | 1 | 0 | ||||||||||
Gain (Loss) on Disposition of Business | 0 | ||||||||||||
Business reorganization | 0 | 0 | 0 | ||||||||||
Impairment of long-lived assets | 0 | ||||||||||||
EBITDA (loss) (a) | 0 | 0 | 0 | ||||||||||
Depreciation and amortization | 0 | 0 | 0 | ||||||||||
Intercompany interest income (expense), net | 0 | 0 | 0 | ||||||||||
Interest income (expense), net | 0 | 0 | 0 | ||||||||||
Income (loss) from continuing operations before provision for income taxes | 0 | 0 | 0 | ||||||||||
Provision for (benefit from) income taxes from continuing operations | 0 | 0 | 0 | ||||||||||
Accounts receivable, net | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||
Long-lived assets, net of accumulated depreciation and amortization | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||
Total assets | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 |
SEGMENT AND GEOGRAPHIC DATA Geo
SEGMENT AND GEOGRAPHIC DATA Geographic Data Reporting (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Segment Reporting Information [Line Items] | ||||||||||||
Revenue | $ 100,314 | $ 108,136 | $ 113,067 | $ 101,227 | $ 106,109 | $ 110,028 | $ 122,743 | $ 124,317 | $ 422,744 | $ 463,197 | $ 581,192 | |
Long-lived assets, net of accumulated depreciation and amortization | 8,938 | 9,951 | 8,938 | 9,951 | 11,842 | |||||||
Total assets | 101,812 | 124,949 | 101,812 | 124,949 | 139,672 | |||||||
Net assets | 41,885 | 61,180 | 41,885 | 61,180 | 59,257 | $ 74,385 | ||||||
Hudson Americas | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Revenue | 15,581 | 28,668 | 50,206 | |||||||||
Long-lived assets, net of accumulated depreciation and amortization | 2 | 36 | 2 | 36 | 860 | |||||||
Total assets | 5,880 | 7,766 | 5,880 | 7,766 | 10,553 | |||||||
Hudson Asia Pacific | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Revenue | 236,839 | 219,391 | 246,873 | |||||||||
Long-lived assets, net of accumulated depreciation and amortization | 7,049 | 7,382 | 7,049 | 7,382 | 8,227 | |||||||
Total assets | 51,331 | 49,246 | 51,331 | 49,246 | 54,141 | |||||||
Hudson Europe | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Revenue | 170,658 | 215,677 | 284,371 | |||||||||
Long-lived assets, net of accumulated depreciation and amortization | 1,528 | 1,859 | 1,528 | 1,859 | 2,171 | |||||||
Total assets | 40,790 | 53,557 | 40,790 | 53,557 | 65,105 | |||||||
Corporate | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Revenue | 0 | 0 | 0 | |||||||||
Long-lived assets, net of accumulated depreciation and amortization | 359 | 674 | 359 | 674 | 584 | |||||||
Total assets | 3,811 | 14,380 | 3,811 | 14,380 | 9,873 | |||||||
Inter- segment elimination | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Revenue | (334) | (539) | (258) | |||||||||
Long-lived assets, net of accumulated depreciation and amortization | 0 | 0 | 0 | 0 | 0 | |||||||
Total assets | 0 | 0 | 0 | 0 | 0 | |||||||
United Kingdom | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Revenue | 116,508 | 154,931 | 181,155 | |||||||||
Long-lived assets, net of accumulated depreciation and amortization | 1,259 | 1,707 | 1,259 | 1,707 | 1,834 | |||||||
Net assets | 9,101 | 17,371 | 9,101 | 17,371 | 18,894 | |||||||
Australia | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Revenue | 181,899 | 159,539 | 184,853 | |||||||||
Long-lived assets, net of accumulated depreciation and amortization | 4,023 | 4,115 | 4,023 | 4,115 | 5,404 | |||||||
Net assets | 10,732 | 9,920 | 10,732 | 9,920 | 13,913 | |||||||
CHINA | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Revenue | 16,203 | 25,401 | 20,976 | |||||||||
Long-lived assets, net of accumulated depreciation and amortization | 2,381 | 2,835 | 2,381 | 2,835 | 2,186 | |||||||
Net assets | 5,762 | 9,386 | 5,762 | 9,386 | 6,198 | |||||||
United States | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Revenue | 14,690 | 27,965 | 49,375 | |||||||||
Long-lived assets, net of accumulated depreciation and amortization | 369 | 718 | 369 | 718 | 1,429 | |||||||
Net assets | 4,854 | 13,467 | 4,854 | 13,467 | 7,255 | |||||||
Continental Europe | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Revenue | 53,837 | 60,248 | 103,018 | |||||||||
Long-lived assets, net of accumulated depreciation and amortization | 261 | 144 | 261 | 144 | 330 | |||||||
Net assets | 7,284 | 7,176 | 7,284 | 7,176 | 9,366 | |||||||
Other Asia Pacific | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Revenue | 38,737 | 34,451 | 41,044 | |||||||||
Long-lived assets, net of accumulated depreciation and amortization | 645 | 432 | 645 | 432 | 636 | |||||||
Net assets | 4,279 | 3,875 | 4,279 | 3,875 | 3,574 | |||||||
Other Americas | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Revenue | 870 | 662 | 771 | |||||||||
Long-lived assets, net of accumulated depreciation and amortization | 0 | 0 | 0 | 0 | 23 | |||||||
Net assets | $ (127) | $ (15) | $ (127) | $ (15) | $ 57 |
SELECTED QUARTERLY FINANCIAL 87
SELECTED QUARTERLY FINANCIAL DATA Selected Quarterly Financial Data (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Revenue | $ 100,314 | $ 108,136 | $ 113,067 | $ 101,227 | $ 106,109 | $ 110,028 | $ 122,743 | $ 124,317 | $ 422,744 | $ 463,197 | $ 581,192 |
Gross margin | 42,774 | 43,542 | 46,839 | 41,262 | 44,439 | 45,145 | 50,222 | 47,904 | 174,417 | 187,710 | 222,845 |
Operating income (loss) | (671) | (786) | (2,425) | (3,705) | 140 | (3,826) | 13,643 | (6,716) | (7,587) | 3,241 | (17,486) |
Income (Loss) from Continuing Operations | (108) | (1,908) | (3,347) | (3,570) | (2,484) | (2,029) | 12,774 | (6,654) | (8,933) | 1,607 | (15,786) |
Income (Loss) from Discontinued Operations, Net of Taxes | (184) | 35 | 209 | 83 | (142) | (55) | 1,103 | (184) | 143 | 722 | 2,592 |
Net income (loss) | $ (292) | $ (1,873) | $ (3,138) | $ (3,487) | $ (2,626) | $ (2,084) | $ 13,877 | $ (6,838) | $ (8,790) | $ 2,329 | $ (13,194) |
Earnings (loss) per share from continuing operations, basic and diluted | $ 0 | $ (0.06) | $ (0.10) | $ (0.10) | $ (0.07) | $ (0.06) | $ 0.38 | $ (0.20) | $ (0.27) | $ 0.05 | $ (0.48) |
Earnings (loss) per share from discontinued operations, basic and diluted | (0.01) | 0 | 0.01 | 0 | 0 | 0 | 0.03 | (0.01) | 0.01 | 0.02 | 0.08 |
Earnings Per Share, Basic and Diluted | $ (0.01) | $ (0.06) | $ (0.09) | $ (0.10) | $ (0.08) | $ (0.06) | $ 0.41 | $ (0.21) | $ (0.26) | $ 0.07 | $ (0.40) |
Weighted Average Number of Shares Outstanding, Basic | 32,227,000 | 33,572,000 | 33,252,000 | 34,631,000 | 34,274,000 | 34,687,000 | 33,525,000 | 33,053,000 | 33,174,000 | 33,869,000 | 32,843,000 |
Weighted-average common stock outstanding - diluted (in shares) | 34,274,000 | 34,687,000 | 34,007,000 | 33,053,000 | 33,174,000 | 34,084,000 | 32,843,000 | ||||
Common stock equivalents and outstanding stock options excluded from the calculation of diluted earnings (loss) per share (in thousands) | 604,000 | 299,000 | 548,000 | 1,345,000 | 886,000 | 1,124,000 | 979,000 | 1,903,000 | 603,500 | 556,000 | 1,680,739 |
SCHEDULE I - CONDENSED FINANC88
SCHEDULE I - CONDENSED FINANCIAL INFORMATION OF THE REGISTRANT [Schedule] Condensed Statement of Operations (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Operating expenses: | |||||||||||
Depreciation and amortization | $ 3,090 | $ 3,845 | $ 5,559 | ||||||||
Business reorganization | 1,580 | 5,828 | 3,789 | ||||||||
Operating income (loss) | $ (671) | $ (786) | $ (2,425) | $ (3,705) | $ 140 | $ (3,826) | $ 13,643 | $ (6,716) | (7,587) | 3,241 | (17,486) |
Other income (expense): | |||||||||||
Interest income (expense), net | (357) | (722) | (661) | ||||||||
Other income (expense), net | (247) | (266) | 202 | ||||||||
Provision for (benefit from) income taxes from continuing operations | 742 | 646 | (2,159) | ||||||||
Net income (loss) | $ (292) | $ (1,873) | $ (3,138) | $ (3,487) | $ (2,626) | $ (2,084) | $ 13,877 | $ (6,838) | (8,790) | 2,329 | (13,194) |
Parent Company | |||||||||||
Operating expenses: | |||||||||||
Selling, general and administrative expenses | 10,451 | 13,327 | 16,948 | ||||||||
Depreciation and amortization | 405 | 488 | 541 | ||||||||
Business reorganization | (16) | 1,168 | 967 | ||||||||
Operating income (loss) | (10,840) | (14,983) | (18,456) | ||||||||
Other income (expense): | |||||||||||
Interest income (expense), net | 197 | 516 | 103 | ||||||||
Other income (expense), net | 4,195 | 5,318 | 8,150 | ||||||||
Income (Loss) from Subsidiaries, Net of Tax | (2,351) | 11,466 | (2,995) | ||||||||
Income (loss) from continuing operations before provision for income taxes | (6,448) | (9,149) | (10,203) | ||||||||
Provision for (benefit from) income taxes from continuing operations | (9) | (12) | (4) | ||||||||
Net income (loss) | $ (8,790) | $ 2,329 | $ (13,194) |
SCHEDULE I - CONDENSED FINANC89
SCHEDULE I - CONDENSED FINANCIAL INFORMATION OF THE REGISTRANT [Schedule] Condensed Balance Sheet (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Current assets: | ||||
Cash and cash equivalents | $ 21,322 | $ 37,663 | $ 33,989 | $ 37,378 |
Prepaid and other | 4,265 | 5,979 | ||
Total current assets | 84,142 | 106,143 | ||
Property and equipment, net | 7,041 | 7,928 | ||
Other assets | 4,135 | 4,154 | ||
Total assets | 101,812 | 124,949 | 139,672 | |
Current liabilities: | ||||
Total current liabilities | 50,579 | 51,591 | ||
Other Liabilities, Noncurrent | 4,169 | 5,655 | ||
Total liabilities | 59,927 | 63,769 | ||
Total stockholders’ equity | 41,885 | 61,180 | 59,257 | 74,385 |
Total liabilities and stockholders' equity | 101,812 | 124,949 | ||
Parent Company | ||||
Current assets: | ||||
Cash and cash equivalents | 2,414 | 13,025 | $ 7,006 | $ 7,470 |
Prepaid and other | 220 | 196 | ||
Total current assets | 2,634 | 13,221 | ||
Property and equipment, net | 359 | 674 | ||
Investment in and advances to/from subsidiaries | 39,965 | 50,770 | ||
Other assets | 818 | 485 | ||
Total assets | 43,776 | 65,150 | ||
Current liabilities: | ||||
Accounts payable, accrued expenses and other current liabilities | 1,425 | 3,494 | ||
Total current liabilities | 1,425 | 3,494 | ||
Other Liabilities, Noncurrent | 466 | 476 | ||
Total liabilities | 1,891 | 3,970 | ||
Total stockholders’ equity | 41,885 | 61,180 | ||
Total liabilities and stockholders' equity | $ 43,776 | $ 65,150 |
SCHEDULE I - CONDENSED FINANC90
SCHEDULE I - CONDENSED FINANCIAL INFORMATION OF THE REGISTRANT [Schedule] Condensed Statements of Cash Flows (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | 17 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2016 | |
Cash flows from operating activities: | ||||||||||||
Net income (loss) | $ (292) | $ (1,873) | $ (3,138) | $ (3,487) | $ (2,626) | $ (2,084) | $ 13,877 | $ (6,838) | $ (8,790) | $ 2,329 | $ (13,194) | |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ||||||||||||
Depreciation and amortization | 3,090 | 3,845 | 5,835 | |||||||||
Stock-based compensation | 1,449 | 4,231 | 1,325 | |||||||||
Other, net | 211 | 194 | 354 | |||||||||
Changes in operating assets and liabilities, net of effect of dispositions: | ||||||||||||
(Increase) decrease in prepaid and other assets | 1,053 | 2,763 | (1,731) | |||||||||
Increase (decrease) in accounts payable, accrued expenses and other liabilities | (3,317) | (7,902) | 4,213 | |||||||||
Increase (decrease) in accrued business reorganization | (2,552) | (679) | 2,684 | |||||||||
Net cash provided by (used in) operating activities | (9,420) | (17,351) | (17,840) | |||||||||
Cash flows from investing activities: | ||||||||||||
Capital expenditures | (2,766) | (3,061) | (5,346) | |||||||||
Net cash provided by (used in) investing activities | (2,724) | 21,648 | 16,731 | |||||||||
Cash flows from financing activities: | ||||||||||||
Borrowings under credit agreements | 118,583 | 147,429 | 133,030 | |||||||||
Payments of Ordinary Dividends, Common Stock | (3,401) | 0 | 0 | |||||||||
Payments for Repurchase of Common Stock | (5,127) | (1,386) | 0 | $ (6,513) | ||||||||
Purchase of restricted stock from employees | (65) | (244) | (138) | |||||||||
Net cash provided by (used in) financing activities | (2,930) | 644 | (1,256) | |||||||||
Net increase (decrease) in cash and cash equivalents | (16,341) | 3,674 | (3,389) | |||||||||
Cash and cash equivalents, beginning of the period | 37,663 | 33,989 | 37,663 | 33,989 | 37,378 | |||||||
Cash and cash equivalents, end of the period | 21,322 | 37,663 | 21,322 | 37,663 | 33,989 | 21,322 | ||||||
Parent Company | ||||||||||||
Cash flows from operating activities: | ||||||||||||
Net income (loss) | (8,790) | 2,329 | (13,194) | |||||||||
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ||||||||||||
Dividends received from subsidiaries | 1,593 | 7,468 | 0 | |||||||||
Non-cash (income) losses from subsidiaries, net of taxes | 2,363 | (11,466) | 2,995 | |||||||||
Depreciation and amortization | 405 | 488 | 541 | |||||||||
Stock-based compensation | 390 | 637 | 405 | |||||||||
Other, net | 0 | 0 | 248 | |||||||||
Changes in operating assets and liabilities, net of effect of dispositions: | ||||||||||||
(Increase) decrease in prepaid and other assets | (447) | 1,921 | (744) | |||||||||
(Increase) decrease in due from subsidiaries | 4,959 | 14,503 | 11,910 | |||||||||
Increase (decrease) in accounts payable, accrued expenses and other liabilities | (1,251) | (1,269) | 837 | |||||||||
Increase (decrease) in accrued business reorganization | (825) | (120) | 793 | |||||||||
Net cash provided by (used in) operating activities | (1,603) | 14,491 | 3,791 | |||||||||
Cash flows from investing activities: | ||||||||||||
Capital expenditures | 0 | (897) | 0 | |||||||||
Advances to and investments in subsidiaries, net | (415) | (5,945) | (4,126) | |||||||||
Net cash provided by (used in) investing activities | (415) | (6,842) | (4,126) | |||||||||
Cash flows from financing activities: | ||||||||||||
Borrowings under credit agreements | 0 | 0 | 22,081 | |||||||||
Repayments under credit facility | 0 | 0 | (22,081) | |||||||||
Payments of Ordinary Dividends, Common Stock | (3,401) | 0 | 0 | |||||||||
Payments for Repurchase of Common Stock | (5,127) | (1,386) | 0 | |||||||||
Purchase of restricted stock from employees | (65) | (244) | (129) | |||||||||
Net cash provided by (used in) financing activities | (8,593) | (1,630) | (129) | |||||||||
Net increase (decrease) in cash and cash equivalents | (10,611) | 6,019 | (464) | |||||||||
Cash and cash equivalents, beginning of the period | $ 13,025 | $ 7,006 | 13,025 | 7,006 | 7,470 | |||||||
Cash and cash equivalents, end of the period | $ 2,414 | $ 13,025 | $ 2,414 | $ 13,025 | $ 7,006 | $ 2,414 |
SCHEDULE I - CONDENSED FINANC91
SCHEDULE I - CONDENSED FINANCIAL INFORMATION OF THE REGISTRANT [Schedule] Notes to Condensed Financial Information of Registrant (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Condensed Financial Statements, Captions [Line Items] | ||||
Stockholders' equity attributable to parent | $ 41,885 | $ 61,180 | $ 59,257 | $ 74,385 |
Parent Company | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Stockholders' equity attributable to parent | $ 41,885 | 61,180 | ||
Restricted net asset percentage | 25.00% | |||
Dividends received from subsidiaries | $ 1,593 | $ 7,468 | $ 0 | |
Restricted Net Assets | Parent Company | ||||
Condensed Financial Statements, Captions [Line Items] | ||||
Stockholders' equity attributable to parent | $ 13,831 |
SCHEDULE II VALUATION AND QUA92
SCHEDULE II VALUATION AND QUALIFYING ACCOUNTS [Schedule] (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Allowance for Doubtful Accounts [Member] | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | $ 860 | $ 986 | $ 1,108 |
Additions Charged to Costs/Expenses (Recoveries) | 226 | 178 | 97 |
Deductions | 287 | 304 | 219 |
Balance at End of Period | 799 | 860 | 986 |
Valuation Allowance of Deferred Tax Assets [Member] | |||
Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance at Beginning of Period | 159,298 | 158,851 | 162,278 |
Additions Charged to Costs/Expenses (Recoveries) | (5,045) | 447 | (3,427) |
Deductions | (2,089) | 0 | 0 |
Balance at End of Period | $ 156,342 | $ 159,298 | $ 158,851 |