Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2014 | Oct. 24, 2014 | |
Document Document And Entity Information [Abstract] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Sep-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Entity Registrant Name | 'Spok Holdings, Inc | ' |
Entity Central Index Key | '0001289945 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 21,682,845 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $106,940 | $89,075 |
Accounts receivable, net | 21,823 | 18,084 |
Prepaid expenses and other | 7,518 | 7,399 |
Inventory | 2,676 | 2,221 |
Deferred income tax assets, net | 3,545 | 3,389 |
Total current assets | 142,502 | 120,168 |
Property and equipment, net | 19,703 | 21,122 |
Goodwill | 133,031 | 133,031 |
Other intangible assets, net | 21,201 | 25,368 |
Deferred income tax assets, net | 17,517 | 25,494 |
Other assets | 1,219 | 1,715 |
TOTAL ASSETS | 335,173 | 326,898 |
Current liabilities: | ' | ' |
Accounts payable and accrued liabilities | 11,163 | 9,885 |
Accrued compensation and benefits | 11,258 | 13,919 |
Deferred revenue | 24,507 | 23,023 |
Total current liabilities | 46,928 | 46,827 |
Deferred revenue | 642 | 862 |
Other long-term liabilities | 9,321 | 9,259 |
TOTAL LIABILITIES | 56,891 | 56,948 |
Commitments and contingencies | ' | ' |
Stockholders' equity: | ' | ' |
Preferred stock | 0 | 0 |
Common stock | 2 | 2 |
Additional paid-in capital | 130,040 | 127,264 |
Retained earnings | 148,240 | 142,684 |
TOTAL STOCKHOLDERS' EQUITY | 278,282 | 269,950 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $335,173 | $326,898 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Income (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Income Statement [Abstract] | ' | ' | ' | ' |
Wireless Revenue, net | $32,855 | $37,067 | $100,724 | $113,617 |
Software Revenue, net | 16,936 | 12,602 | 48,280 | 41,450 |
Revenues: | ' | ' | ' | ' |
Total revenues | 49,791 | 49,669 | 149,004 | 155,067 |
Operating expenses: | ' | ' | ' | ' |
Cost of revenue | 8,000 | 6,787 | 21,985 | 20,415 |
Service, rental and maintenance | 10,988 | 11,820 | 34,200 | 36,029 |
Selling and marketing | 7,072 | 6,388 | 22,098 | 19,320 |
General and administrative | 10,866 | 11,282 | 33,991 | 34,635 |
Severance and restructuring | 545 | 0 | 569 | 2 |
Depreciation, amortization and accretion | 4,247 | 3,858 | 12,628 | 11,487 |
Total operating expenses | 41,718 | 40,135 | 125,471 | 121,888 |
Operating income | 8,073 | 9,534 | 23,533 | 33,179 |
Interest expense, net | -63 | -68 | -194 | -196 |
Other (expense) income, net | -2 | 84 | -180 | 90 |
Income before income tax expense | 8,008 | 9,550 | 23,159 | 33,073 |
Income tax expense | -3,356 | -3,788 | -9,326 | -13,558 |
Net income | $4,652 | $5,762 | $13,833 | $19,515 |
Basic net income per common share | $0.21 | $0.27 | $0.64 | $0.90 |
Diluted net income per common share | $0.21 | $0.26 | $0.63 | $0.89 |
Basic weighted average common shares outstanding | 21,651,347 | 21,629,289 | 21,643,951 | 21,653,692 |
Diluted weighted average common shares outstanding | 22,135,554 | 21,919,238 | 22,089,892 | 21,916,063 |
Cash dividends declared per common share | $0.13 | $0.13 | $0.38 | $0.38 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Cash flows from operating activities: | ' | ' |
Net income | $13,833 | $19,515 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Depreciation, amortization and accretion | 12,628 | 11,487 |
Amortization of deferred financing costs | 194 | 194 |
Deferred income tax expense | 7,726 | 12,226 |
Amortization of stock based compensation | 2,816 | 2,200 |
Provision for doubtful accounts, service credits and other | 875 | 1,337 |
Adjustment of non-cash transaction taxes | -259 | -354 |
Loss/(Gain) on disposals of property and equipment | -2 | 172 |
Changes in assets and liabilities: | ' | ' |
Accounts receivable | -4,615 | 3,129 |
Prepaid expenses and other assets | -240 | -285 |
Accounts payable and accrued liabilities | -1,968 | -8,025 |
Deferred revenue | 1,264 | -2,292 |
Net cash provided by operating activities | 32,252 | 39,304 |
Cash flows from investing activities: | ' | ' |
Purchase of property and equipment | -6,327 | -7,772 |
Proceeds from disposals of property and equipment | 63 | 10 |
Net cash used in investing activities | -6,264 | -7,762 |
Cash flows from financing activities: | ' | ' |
Cash dividends to stockholders | -8,123 | -9,606 |
Net cash used in financing activities | -8,123 | -9,606 |
Net increase/(decrease) in cash and cash equivalents | 17,865 | 21,936 |
Cash and cash equivalents, beginning of period | 89,075 | 61,046 |
Cash and cash equivalents, end of period | 106,940 | 82,982 |
Supplemental disclosure: | ' | ' |
Interest paid | 7 | 9 |
Income taxes paid | $1,327 | $926 |
Business
Business | 9 Months Ended |
Sep. 30, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Business | ' |
Business — On July 8, 2014, the Company changed its name from USA Mobility, Inc. to Spōk Holdings, Inc. | |
Spōk Holdings, Inc. and its subsidiaries (collectively, “SPŌK” or the “Company”), through its indirect wholly-owned subsidiary, Spōk, Inc., is a comprehensive provider of critical communication solutions for enterprises. As a single source provider, the Company operates the largest one-way paging and advanced two-way paging networks in the United States and provides mission critical unified communication software solutions nationally and internationally (in Europe, Australia, Asia and the Middle East). | |
Effective January 1, 2014, the legal entity, Amcom Software, Inc. ("Amcom"), was merged into Spōk, Inc. (formerly USA Mobility Wireless, Inc.), an indirect wholly-owned subsidiary of Spōk Holdings, Inc. Our sole operating subsidiary is now Spōk, Inc. In addition, management was reorganized to consolidate the separate management structures for the wireless and software segments into one integrated management structure. Effective January 1, 2014, the Company is structured as one operating (and reportable) segment, a unified communication business. To allow for the comparability of financial results, certain interim revenue and operating expenses were reclassified to conform to the current year's presentation of reports within one segment. |
Preparation_of_Interim_Financi
Preparation of Interim Financial Statements | 9 Months Ended |
Sep. 30, 2014 | |
Quarterly Financial Information Disclosure [Abstract] | ' |
Preparation of Interim Financial Statements | ' |
Preparation of Interim Financial Statements — Our condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and the rules and regulations of the United States Securities and Exchange Commission (the “SEC”). Amounts shown on the condensed consolidated statements of income within the operating expense categories of cost of revenue; service, rental and maintenance; selling and marketing; and general and administrative are recorded exclusive of severance and restructuring costs, depreciation, amortization and accretion. These items are shown separately on the condensed consolidated statements of income within operating expenses. Foreign currency translation adjustments were deemed immaterial and consequently, no statements of comprehensive income are presented. | |
The financial information included herein, other than the condensed consolidated balance sheet as of December 31, 2013, is unaudited. The condensed consolidated balance sheet at December 31, 2013 has been derived from, but does not include all the disclosures contained in the audited consolidated financial statements as of and for the year ended December 31, 2013. In management’s opinion, our unaudited condensed consolidated statements include all adjustments and accruals that are necessary for a fair presentation of the results of all interim periods reported herein. | |
These condensed consolidated financial statements should be read in conjunction with the consolidated financial statements and accompanying notes included in the Company's Annual Report on Form 10-K for the year ended December 31, 2013 (the “2013 Annual Report”). The condensed consolidated statements of income for the interim periods presented are not necessarily indicative of the results that may be expected for a full year. | |
The accompanying condensed consolidated financial statements include our accounts and the accounts of our wholly owned direct and indirect subsidiaries. All significant intercompany accounts and transactions have been eliminated in consolidation. | |
Due to the integration of the management structure and consolidation of certain sales support functions effective January 1, 2014, certain prior year's interim revenue and operating expenses were reclassified to conform to the current year's presentation. In 2014, we will report wireless and software revenue, and have reclassified the revenue previously reported in the Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2013 (the "Third Quarter 2013 Form 10-Q") to conform with the current year's presentation. In the third quarter of 2013, wireless revenue of $37.07 million was reported as $35.54 million in service, rental and maintenance, net of service credits and $1.53 million of software revenue and other, net. Also, in the third quarter of 2013, software revenue of $12.60 million was reported in software revenue and other, net. We reclassified payroll and related expenses among functional departments and eliminated general and administrative overhead expenses previously allocated to cost of revenue, service, rental and maintenance and selling and marketing. The reclassifications resulted in the following increases and (decreases) to the Third Quarter 2013 Form 10-Q reported operating expenses: Cost of revenue of $1.43 million; service, rental and maintenance of ($0.73) million; selling and marketing of $0.15 million and general and administrative of ($0.85) million. The changes had no impact on previously reported total operating expenses and operating income. | |
The preparation of these condensed consolidated financial statements requires management to make judgments and estimates that affect the amounts reported in our condensed consolidated financial statements and accompanying notes. Actual results may differ from these estimates under different assumptions or conditions. |
Risks_and_Other_Important_Fact
Risks and Other Important Factors | 9 Months Ended |
Sep. 30, 2014 | |
Risks and Uncertainties [Abstract] | ' |
Risks and Other Important Factors | ' |
Risks and Other Important Factors — See “Item 1A. Risk Factors” of Part II of this Quarterly Report on Form 10-Q (“Quarterly Report”) and "Item 1A. Risk Factors" of Part I of the 2013 Annual Report, which describes key risks associated with our operations and industry. |
Recent_and_New_Accounting_Pron
Recent and New Accounting Pronouncements | 9 Months Ended |
Sep. 30, 2014 | |
Accounting Changes and Error Corrections [Abstract] | ' |
Recent and New Accounting Pronouncements | ' |
Recent and New Accounting Pronouncements — In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers. ASU 2014-09 creates a five-step model that requires companies to exercise judgment when considering all relevant facts and circumstances in the determination of when and how revenue is recognized. For publicly held companies, ASU No. 2014-09 is effective for annual reporting periods beginning after December 15, 2016, and any interim periods that fall within that reporting period. Early application is not permitted. The new standard will be effective on January 1, 2017 for SPŌK. 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 not selected a transition method. We are also evaluating the potential impact from this ASU on our consolidated financial statements. |
Prepaid_Expenses_and_Other
Prepaid Expenses and Other | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | ||||||||
Prepaid Expenses and Other | ' | ||||||||
Prepaid Expenses and Other — Prepaid expenses and other consisted of the following: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Other receivables | $ | 751 | $ | 748 | |||||
Tax receivables | 169 | 158 | |||||||
Deposits | 428 | 597 | |||||||
Prepaid insurance | 187 | 524 | |||||||
Prepaid rent | 153 | 259 | |||||||
Prepaid repairs and maintenance | 1,163 | 687 | |||||||
Prepaid taxes | 475 | 641 | |||||||
Prepaid commissions | 3,208 | 2,696 | |||||||
Prepaid expenses | 984 | 1,089 | |||||||
Total prepaid expenses and other | $ | 7,518 | $ | 7,399 | |||||
Prepaid repairs and maintenance increased by $0.5 million during the nine months ended September 30, 2014 due primarily to the annual renewal of maintenance contracts associated with information technology services. Prepaid commissions increased by $0.5 million during the nine months ended September 30, 2014 due primarily to the increase in sales orders. |
Inventory
Inventory | 9 Months Ended |
Sep. 30, 2014 | |
Inventory Disclosure [Abstract] | ' |
Inventory | ' |
Inventory — Inventory of $2.7 million and $2.2 million at September 30, 2014 and December 31, 2013, respectively, consisted of third-party hardware and software held for resale. We use the first in, first out cost method. Inventory increased by $0.5 million during the nine months ended September 30, 2014 due primarily to the increase in the purchase of third party hardware associated with sales orders and the volume of orders processed. |
Depreciation_Amortization_and_
Depreciation, Amortization and Accretion | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Depreciation, Amortization And Accretion [Abstract] | ' | ||||||||||||||||
Depreciation, Amortization and Accretion | ' | ||||||||||||||||
Depreciation, Amortization and Accretion — The total depreciation, amortization and accretion expenses related primarily to property and equipment, amortizable intangible assets, and asset retirement obligations for the three months ended September 30, 2014 and 2013 were $4.2 million and $3.9 million, respectively; and for the nine months ended September 30, 2014 and 2013 were $12.6 million and $11.5 million, respectively. The consolidated balances consisted of the following for the periods stated: | |||||||||||||||||
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(Dollars in thousands) | |||||||||||||||||
Depreciation | $ | 2,555 | $ | 2,451 | $ | 7,846 | $ | 7,278 | |||||||||
Amortization | 1,503 | 1,252 | 4,218 | 3,749 | |||||||||||||
Accretion | 189 | 155 | 564 | 460 | |||||||||||||
Total depreciation, amortization and accretion | $ | 4,247 | $ | 3,858 | $ | 12,628 | $ | 11,487 | |||||||||
Goodwill_and_Amortizable_Intan
Goodwill and Amortizable Intangible Assets | 9 Months Ended | ||||||||||||||
Sep. 30, 2014 | |||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||
Goodwill and Amortizable Intangible Assets | ' | ||||||||||||||
Goodwill and Amortizable Intangible Assets — Goodwill at September 30, 2014 and December 31, 2013 was $133.0 million. Goodwill is not amortized but is evaluated for impairment at least annually, or when events or circumstances suggest a potential impairment has occurred. We have selected the fourth quarter to perform this annual impairment test. We will evaluate goodwill for impairment between annual tests if indicators of impairment exist. There were no indicators of impairment as of September 30, 2014. | |||||||||||||||
Amortizable intangible assets at September 30, 2014 primarily include customer related intangibles, technology based intangibles, contract based intangibles and marketing intangibles that resulted from our acquisition of Amcom in 2011 and IMCO Technologies Corporation (“IMCO”) in 2012. Such intangibles are being amortized over periods ranging from two to ten years. | |||||||||||||||
The gross carrying amount of amortizable intangible assets was $41.6 million at September 30, 2014 and the accumulated amortization was $20.4 million. The net consolidated balance of amortizable intangible assets consisted of the following: | |||||||||||||||
September 30, 2014 | |||||||||||||||
Useful Life | Gross Carrying | Accumulated | Net Balance | ||||||||||||
(In Years) | Amount | Amortization | |||||||||||||
(Dollars in thousands) | |||||||||||||||
Customer relationships | 10 | $ | 25,002 | $ | (8,959 | ) | $ | 16,043 | |||||||
Acquired technology | 2 - 4 | 8,452 | (7,272 | ) | 1,180 | ||||||||||
Non-compete agreements | 5 | 2,370 | (2,215 | ) | 155 | ||||||||||
Trademarks | 3 | 5,754 | (1,931 | ) | 3,823 | ||||||||||
Total amortizable intangible assets | $ | 41,578 | $ | (20,377 | ) | $ | 21,201 | ||||||||
Estimated amortization of intangible assets for future periods was as follows: | |||||||||||||||
(Dollars in thousands) | |||||||||||||||
For the remaining three months ending December 31, 2014 | $ | 1,503 | |||||||||||||
For the year ending December 31: | |||||||||||||||
2015 | 4,735 | ||||||||||||||
2016 | 4,160 | ||||||||||||||
2017 | 2,886 | ||||||||||||||
2018 | 2,500 | ||||||||||||||
Thereafter | 5,417 | ||||||||||||||
Total amortizable intangible assets | $ | 21,201 | |||||||||||||
Other_Assets
Other Assets | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | ||||||||
Other Assets | ' | ||||||||
Other Assets — Other assets were as follows: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Deferred financing costs | $ | 262 | $ | 456 | |||||
Deposits | 195 | 195 | |||||||
Prepaid royalty | 244 | 245 | |||||||
Other assets | 518 | 819 | |||||||
Total other assets | $ | 1,219 | $ | 1,715 | |||||
Accounts_Payable_and_Accrued_L
Accounts Payable and Accrued Liabilities | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Payables and Accruals [Abstract] | ' | ||||||||
Accounts Payable and Accrued Liabilities | ' | ||||||||
Accounts Payable and Accrued Liabilities — Accounts payable and accrued liabilities were as follows: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Accounts payable | $ | 2,531 | $ | 1,726 | |||||
Accrued network costs | 1,146 | 1,169 | |||||||
Accrued taxes | 3,938 | 3,959 | |||||||
Asset retirement obligations | 410 | 358 | |||||||
Accrued outside services | 993 | 1,049 | |||||||
Accrued accounting and legal | 177 | 212 | |||||||
Accrued recognition awards | 262 | 327 | |||||||
Accrued other | 871 | 851 | |||||||
Deferred rent | 77 | 77 | |||||||
Escheat liability | 23 | 5 | |||||||
Lease incentive | 168 | 152 | |||||||
Dividends payable - 2011 Long-Term Incentive Plan ("LTIP") | 567 | — | |||||||
Total accounts payable and accrued liabilities | $ | 11,163 | $ | 9,885 | |||||
Accrued taxes are based on our estimate of outstanding state and local taxes. This balance may be adjusted in the future as we settle with various taxing jurisdictions. The issuance of our common stock associated with the vesting of restricted stock units (“RSUs”) awarded under the 2011 LTIP is expected to be made during the first quarter of 2015. Therefore, the related dividends payable (the line item Dividends payable - 2011 LTIP) was reclassified from other long-term liabilities to accounts payable and accrued liabilities in 2014 based on the expected payment in the first quarter of 2015. |
Asset_Retirement_Obligations
Asset Retirement Obligations | 9 Months Ended | ||||||||||||
Sep. 30, 2014 | |||||||||||||
Asset Retirement Obligation Disclosure [Abstract] | ' | ||||||||||||
Asset Retirement Obligations | ' | ||||||||||||
Asset Retirement Obligations — We recognize liabilities and corresponding assets for future obligations associated with the retirement of assets. We have paging equipment assets, principally transmitters, which are located on leased locations. The underlying leases generally require the removal of equipment at the end of the lease term; therefore, a future obligation exists. | |||||||||||||
At January 1, 2014, we had recognized cumulative asset retirement costs of $3.8 million. During the nine months ended September 30, 2014, we recorded an increase of $0.1 million in asset retirement costs for a total of $3.9 million at September 30, 2014. The asset retirement cost additions during the nine months ended September 30, 2014 increased paging equipment assets and are being depreciated over the related estimated lives of 51 to 57 months. The asset retirement costs and the corresponding liabilities that have been recorded to date generally relate to either current plans to consolidate networks or to the removal of assets at an estimated future terminal date. | |||||||||||||
The components of the changes in the asset retirement obligation liabilities were: | |||||||||||||
Short-Term | Long-Term | Total | |||||||||||
Portion | Portion | ||||||||||||
(Dollars in thousands) | |||||||||||||
Balance at January 1, 2014 | $ | 358 | $ | 7,599 | $ | 7,957 | |||||||
Accretion | 21 | 543 | 564 | ||||||||||
Additions | — | 141 | 141 | ||||||||||
Reclassifications | 373 | (373 | ) | — | |||||||||
Amounts paid | (342 | ) | — | (342 | ) | ||||||||
Balance at September 30, 2014 | $ | 410 | $ | 7,910 | $ | 8,320 | |||||||
The balances above were included with accounts payable and accrued liabilities and other long-term liabilities, respectively, at September 30, 2014. |
Deferred_Revenue
Deferred Revenue | 9 Months Ended |
Sep. 30, 2014 | |
Revenue Recognition [Abstract] | ' |
Deferred Revenue | ' |
Deferred Revenue — Deferred revenue at September 30, 2014 was $24.5 million for the current portion and $0.6 million for the non-current portion. Deferred revenue at December 31, 2013 was $23.0 million for the current portion and $0.9 million for the non-current portion. Deferred revenue at September 30, 2014 primarily consisted of unearned maintenance, software license and professional services revenue. Unearned maintenance revenue represents a contractual liability to provide maintenance support over a defined period of time for which payment has generally been received. Unearned software license and professional services revenue represents a contractual liability to provide professional services more substantive than post contract support for which not all payments have been received. We will recognize revenue when the service or software is provided or otherwise meets our revenue recognition criteria. |
LongTerm_Debt
Long-Term Debt | 9 Months Ended |
Sep. 30, 2014 | |
Debt Disclosure [Abstract] | ' |
Long-Term Debt | ' |
Long-Term Debt — On November 8, 2011, we executed the First Amendment to our Amended and Restated Credit Agreement (“Amended Credit Agreement”) with Wells Fargo Capital Finance, LLC (“Wells Fargo”). The Amended Credit Agreement increased the amount of the revolving credit facility to $40.0 million. The maturity date for the revolving credit facility is September 3, 2015. We may make a London Interbank Offered Rate (“LIBOR”) election for any amount of our debt for a period of 1, 2 or 3 months at a time; however, we may not have more than 5 individual LIBOR loans in effect at any given time. We may only exercise the LIBOR rate election for an amount of at least $1.0 million. | |
Borrowings under this facility are secured by a lien on substantially all of our existing assets, interests in assets and proceeds owned or acquired by us. | |
As of September 30, 2014, we had no outstanding debt and the Amended Credit Agreement remains in effect with approximately $40.0 million of available borrowing capacity subject to maintaining a minimum liquidity threshold of $25.0 million and with reductions for outstanding letters of credit. The $25.0 million liquidity threshold can be satisfied by maintaining cash on hand or borrowing capacity under the Amended Credit Agreement. | |
We are exposed to changes in interest rates should we have borrowings under the Amended Credit Agreement. The floating interest rate debt exposes us to interest rate risk, with the primary interest rate exposure resulting from changes in LIBOR. The definitive extent of the interest rate risk is not quantifiable or predictable because of the variability of future interest rates and business financing requirements. We do not customarily use derivative instruments to manage our interest rate risk profile. | |
We are subject to certain financial covenants on a quarterly basis under the terms of the Amended Credit Agreement. These financial covenants consist of a leverage ratio and a fixed charge coverage ratio. We are in compliance with all of the required financial covenants as of September 30, 2014. | |
We have also established control agreements with the financial institutions that maintain our cash and investment accounts. These agreements permit Wells Fargo to exercise control over our cash and investment accounts should we default under provisions of the Amended Credit Agreement. We are not in default under the Amended Credit Agreement and do not anticipate that Wells Fargo would need to exercise its rights under these control agreements during the term of the Amended Credit Agreement. |
Other_LongTerm_Liabilities
Other Long-Term Liabilities | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Other Liabilities Disclosure [Abstract] | ' | ||||||||
Other Long-Term Liabilities | ' | ||||||||
Other Long-Term Liabilities — Other long-term liabilities consisted of the following: | |||||||||
30-Sep-14 | 31-Dec-13 | ||||||||
(Dollars in thousands) | |||||||||
Asset retirement obligations | $ | 7,910 | $ | 7,599 | |||||
Dividends payable — 2011 LTIP | — | 409 | |||||||
Escheat liability | 239 | 509 | |||||||
Capital lease payable | 11 | 23 | |||||||
Lease incentive | 461 | 180 | |||||||
Deferred rent | 422 | 259 | |||||||
Royalty payable | 278 | 280 | |||||||
Total other long-term liabilities | $ | 9,321 | $ | 9,259 | |||||
The issuance of our common stock for vested RSUs awarded under the 2011 LTIP is expected to be made during the first quarter of 2015. Therefore, the related dividends payable (the line item Dividends payable - 2011 LTIP) was reclassified to accounts payable and accrued liabilities from other long-term liabilities in 2014 based on the expected payment in the first quarter of 2015. The increase in the lease incentive liability during the nine months ended September 30, 2014 relates to a new office lease located in New York. |
Stockholders_Equity
Stockholders' Equity | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||
Stockholders' Equity | ' | ||||||||||||||||
Stockholders’ Equity — Our authorized capital stock consists of 75 million shares of common stock, par value $0.0001 per share, and 25 million shares of preferred stock, par value $0.0001 per share. | |||||||||||||||||
Changes in Stockholders’ Equity. Changes in stockholders’ equity for the nine months ended September 30, 2014 consisted of: | |||||||||||||||||
(Dollars in thousands) | |||||||||||||||||
Balance at January 1, 2014 | $ | 269,950 | |||||||||||||||
Net income for the nine months ended September 30, 2014 | 13,833 | ||||||||||||||||
Cash dividends declared | (8,283 | ) | |||||||||||||||
Amortization of stock based compensation | 2,816 | ||||||||||||||||
Other | (34 | ) | |||||||||||||||
Balance at September 30, 2014 | $ | 278,282 | |||||||||||||||
General. At September 30, 2014 and December 31, 2013, there were 21,675,735 and 21,652,341 shares of common stock outstanding, respectively, and no shares of preferred stock outstanding. | |||||||||||||||||
The following table summarizes the activities under the 2012 Equity Incentive Award Plan (the "2012 Equity Plan") from inception through September 30, 2014: | |||||||||||||||||
Activity | |||||||||||||||||
Total equity securities available at May 16, 2012 | 2,194,986 | ||||||||||||||||
Add: 2011 LTIP RSUs forfeited by eligible employees | 209,382 | ||||||||||||||||
Add: Restricted shares of common stock ("restricted stock") forfeited by non-executive member of the Board of Directors | 3,189 | ||||||||||||||||
Less: 2011 LTIP RSUs awarded to eligible employees | (557,484 | ) | |||||||||||||||
Less: Common stock awarded to eligible employees | (5,820 | ) | |||||||||||||||
Less: Restricted stock awarded to non-executive members of the Board of Directors | (47,855 | ) | |||||||||||||||
Less: Short-Term Incentive Plan (“STIP”) common stock awarded to an eligible employee | (41,702 | ) | |||||||||||||||
Total equity securities available at September 30, 2014 | 1,754,696 | ||||||||||||||||
On July 8, 2014, our Board of Directors granted 5,820 shares of common stock to certain eligible employees under the 2012 Equity Plan. The grant date fair value was $0.1 million based upon the closing price per share of our common stock of $15.74. | |||||||||||||||||
The following table details activities with respect to outstanding RSUs under the 2011 LTIP for the three months ended September 30, 2014: | |||||||||||||||||
Shares | Weighted- | Total Unrecognized Compensation Cost (net of estimated forfeitures) | Weighted-Average | ||||||||||||||
Average Grant | (In thousands) | Period Over Which | |||||||||||||||
Date Fair Value | Cost is Expected to | ||||||||||||||||
be Recognized | |||||||||||||||||
(In months) | |||||||||||||||||
Non-vested RSUs at July 1, 2014 | 559,689 | $ | 12.41 | ||||||||||||||
Granted | — | — | |||||||||||||||
Vested | — | — | |||||||||||||||
Forfeited | — | — | |||||||||||||||
Non-vested RSUs at September 30, 2014 | 559,689 | $ | 12.41 | $ | 930 | 3 | |||||||||||
The following table reflects the stock based compensation expense for the awards under the 2012 Equity Plan and predecessor equity plan: | |||||||||||||||||
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||
Equity Awards | 2014 | 2013 | 2014 | 2013 | |||||||||||||
(Dollars in thousands) | |||||||||||||||||
Common stock | $ | 85 | $ | — | $ | 85 | $ | — | |||||||||
2011 LTIP | 930 | 906 | 2,486 | 2,040 | |||||||||||||
Board of Directors Compensation | 91 | 40 | 245 | 160 | |||||||||||||
Total stock based compensation | $ | 1,106 | $ | 946 | $ | 2,816 | $ | 2,200 | |||||||||
The increase in 2011 LTIP stock based compensation expense for the nine months ended September 30, 2014 compared to the same period in 2013 was due to the issuance of additional RSUs in the third quarter of 2013. The increase in stock based compensation expense was offset by forfeitures in the second quarter of 2014, which decreased the outstanding RSUs to 559,689 on September 30, 2014 as compared to 642,582 RSUs on September 30, 2013. The increase in stock based compensation expense related to the Board of Directors for the nine months ended September 30, 2014 compared to the same period in 2013 reflects the compensation increase for Board of Director members effective in the third quarter of 2013. | |||||||||||||||||
Cash Dividends to Stockholders. The following table details our cash dividend payments made in 2014. Cash dividends paid as disclosed in the statements of cash flows for the nine months ended September 30, 2014 and 2013 included previously declared cash dividends on shares of vested restricted stock issued to our non-executive directors. Cash dividends on RSUs and restricted stock have been accrued and are paid when the applicable vesting conditions are met. Accrued cash dividends on forfeited restricted stock and RSUs are also forfeited. | |||||||||||||||||
Declaration Date | Record Date | Payment Date | Per Share Amount | Total Payment(1) | |||||||||||||
(Dollars in thousands) | |||||||||||||||||
March 5 | March 18 | March 28 | $ | 0.125 | $ | 2,707 | |||||||||||
April 30 | May 22 | June 25 | 0.125 | 2,707 | |||||||||||||
July 30 | August 19 | September 10 | 0.125 | 2,707 | |||||||||||||
Total | $ | 0.375 | $ | 8,121 | |||||||||||||
(1) | The total payment reflects the cash dividends paid in relation to common stock and vested restricted stock. | ||||||||||||||||
Future Cash Dividends to Stockholders. On October 29, 2014, our Board of Directors declared a regular quarterly cash dividend of $0.125 per share of common stock, with a record date of November 18, 2014, and a payment date of December 10, 2014. This cash dividend of approximately $2.7 million will be paid from available cash on hand. | |||||||||||||||||
Common Stock Repurchase Program. The Board of Directors on October 29, 2014 extended the common stock repurchase program through December 31, 2015. In extending the common stock repurchase plan, the Board of Directors also maintained the repurchase authority of $15.0 million as of January 1, 2015. In addition for 2015, the Board of Directors intends to return a total of $26.0 million to stockholders in the form of dividends and/or common stock repurchases. | |||||||||||||||||
Additional Paid-in Capital. For the nine months ended September 30, 2014, additional paid-in capital increased by $2.7 million to $130.0 million at September 30, 2014 from $127.3 million at December 31, 2013. The increase in the nine months ended September 30, 2014 was due primarily to recognition of stock based compensation. | |||||||||||||||||
Net Income per Common Share. Basic net income per common share is computed on the basis of the weighted average common shares outstanding. Diluted net income per common share is computed on the basis of the weighted average common shares outstanding plus the effect of all potentially dilutive common shares including outstanding restricted stock and RSUs, which are treated as contingently issuable shares, using the “treasury stock” method. The components of basic and diluted net income per common share were as follows for the periods stated: | |||||||||||||||||
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(Dollars in thousands, except share and per share amounts) | |||||||||||||||||
Net income | $ | 4,652 | $ | 5,762 | $ | 13,833 | $ | 19,515 | |||||||||
Weighted average shares of common stock outstanding | 21,651,347 | 21,629,289 | 21,643,951 | 21,653,692 | |||||||||||||
Dilutive effect of restricted stock and RSUs | 484,207 | 289,949 | 445,941 | 262,371 | |||||||||||||
Weighted average shares of common stock and common stock equivalents | 22,135,554 | 21,919,238 | 22,089,892 | 21,916,063 | |||||||||||||
Net income per common share | |||||||||||||||||
Basic | $ | 0.21 | $ | 0.27 | $ | 0.64 | $ | 0.9 | |||||||||
Diluted | $ | 0.21 | $ | 0.26 | $ | 0.63 | $ | 0.89 | |||||||||
Stock_Based_Compensation
Stock Based Compensation | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||||
Stock Based Compensation | ' | ||||||||||||||||
Stock Based Compensation — Compensation expense associated with RSUs and restricted stock was recognized based on the fair value of the instruments, over the instruments’ vesting period. The following table reflects the statements of income line items for stock based compensation expense for the periods stated: | |||||||||||||||||
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||
Operating Expense Category | 2014 | 2013 | 2014 | 2013 | |||||||||||||
(Dollars in thousands) | |||||||||||||||||
Cost of revenue | $ | 108 | $ | 64 | $ | 270 | $ | 162 | |||||||||
Service, rental and maintenance | 56 | 59 | $ | 78 | $ | 99 | |||||||||||
Selling and marketing | 151 | 122 | 413 | 360 | |||||||||||||
General and administrative | 791 | 701 | 2,055 | 1,579 | |||||||||||||
Total stock based compensation | $ | 1,106 | $ | 946 | $ | 2,816 | $ | 2,200 | |||||||||
The increase in stock based compensation expense during the three and nine months ended September 30, 2014, respectively, compared to the same periods in 2013, was primarily due to higher amortization expenses associated with new RSUs granted in the third quarter of 2013 and common stock granted in the third quarter of 2014. |
Income_Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2014 | |
Income Tax Disclosure [Abstract] | ' |
Income Taxes | ' |
Income Taxes — We file a consolidated U.S. Federal income tax return and income tax returns in state, local and foreign jurisdictions (Canada and Australia) as required. | |
At September 30, 2014, we had total deferred income tax assets of $140.3 million and a valuation allowance of $119.3 million resulting in an estimated recoverable amount of deferred income tax assets of $21.0 million. This reflected a change from the December 31, 2013 balance of deferred income tax assets of $148.2 million and a valuation allowance of $119.3 million resulting in an estimated recoverable amount of $28.9 million. The change reflects the expected usage of the deferred income tax assets based on estimated 2014 taxable income. | |
We consider both positive and negative evidence when evaluating the recoverability of our deferred income tax assets. The assessment is required to determine whether based on all available evidence, it is more likely than not (i.e., greater than a 50% probability) whether all or some portion of the deferred income tax assets will be realized in the future. During the fourth quarter of each year, we prepare a multi-year forecast of taxable income for our operations. The forecasts of taxable income are not sufficient to result in the full realization of our deferred income tax assets due to the continuing decline in our revenue and taxable income as customers switch to other communication solutions and delay purchasing and implementation decisions. | |
The anticipated effective income tax rate is expected to continue to differ from the Federal statutory rate of 35% primarily due to the effect of state income taxes, the effect of changes to the deferred income tax asset valuation allowance, permanent differences between book and taxable income and certain discrete items. | |
As of September 30, 2014, we had approximately $345.7 million of Federal net operating losses (“NOLs”) available to offset future taxable income. Section 382 of the Internal Revenue Code limited NOLs, as of January 1, 2014, to a total of $50.4 million which may be used at a rate of $6.1 million per year, and is included in the total Federal NOLs. |
Related_Party_Transactions
Related Party Transactions | 9 Months Ended |
Sep. 30, 2014 | |
Related Party Transactions [Abstract] | ' |
Related Party Transactions | ' |
Related Party Transactions — A member of our Board of Directors also serves as a director for an entity that leases transmission tower sites to the Company. During the fourth quarter of 2013, this entity acquired another one of our vendors, Global Tower Partners. For the three months ended September 30, 2014 and 2013, we incurred $1.0 million and $1.0 million, respectively, and for the nine months ended September 30, 2014 and 2013, we incurred $3.2 million and $3.0 million, respectively, from the entity on which the individual serves as a director, in site rent expenses that were included in service, rental and maintenance expenses. |
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies | ' |
Commitments and Contingencies — There have been no material changes during the nine months ended September 30, 2014 to the commitments and contingencies previously reported in the 2013 Annual Report except as noted below. | |
In March 2014, we entered into an exclusive agreement with a vendor to purchase a minimum number of paging devices over a three-year period. We have a purchase commitment of $8.3 million over this three year contractual term. | |
In April 2014, we entered into an agreement with a vendor for certain information technology services over a three-year contract term. The total contractual obligation is $1.6 million. | |
In April 2014, we amended an existing agreement with a vendor for our headquarters office space in Springfield, Virginia. We extended the original lease term for an additional 3 years with the new lease term expiring on March 31, 2018. In addition, we retained an adjacent office space for a lease period of 4 years also expiring on March 31, 2018. The additional rent expense, net of rent abatement, associated with the amendment is estimated to be approximately $1.2 million over the amended lease term. | |
In October 2014, we amended an existing agreement with a vendor for our office space in Plano, Texas. We extended the original lease term for an additional 2 years with the new lease term expiring on September 30, 2018. The additional rent expense, net of rent abatement, associated with the amendment is estimated to be approximately $1.1 million over the amended lease terms. |
Segment_Reporting
Segment Reporting | 9 Months Ended |
Sep. 30, 2014 | |
Segment Reporting [Abstract] | ' |
Segment Reporting | ' |
Segment Reporting — On March 3, 2011, the Company (formerly USA Mobility, Inc.) acquired Amcom, and after this acquisition, the Company determined, pursuant to Financial Accounting Standards Board (“FASB”) Accounting Standards Codification 280 - Segment Reporting (“ASC 280”), that the Company had two reportable segments, a wireless segment and a software segment, which were also the Company’s operating segments. Generally through December 31, 2013, the Company maintained two separate operations with distinct operating structures. Starting in 2013, the Company undertook an internal reorganization and reorientation. That reorganization was designed to unify the Company's wireless and software product offerings under one brand identity and to establish one company dedicated to operational excellence, customer focus and creative problem solving. Our approach was to maximize favorable operational attributes and eliminate redundancies to affect: one integrated sales force selling software and wireless solutions; one set of overhead; one customer message and experience; one platform for future acquisitions; and to grow our revenue on a profitable basis to create long-term stockholder value. A key element of this strategy included consolidation of our legal entities and management. Effective January 1, 2014 the legal entity, Amcom Software, Inc., was merged into Spōk, Inc. (formerly USA Mobility Wireless, Inc.), an indirect wholly owned subsidiary of the Company. Our sole operating subsidiary is now Spōk, Inc. In addition, management was reorganized to consolidate the separate management structures for the wireless and software segments into one integrated management structure. Effective January 1, 2014, the Company is structured as one operating (and reportable) segment, a unified communication business. The Chief Executive Officer (who is also the chief operating decision maker as defined by ASC 280) views the business as one operation and assesses performance and allocates resources on the basis of consolidated operations. |
Prepaid_Expenses_and_Other_Tab
Prepaid Expenses and Other (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | ||||||||
Prepaid Expenses and Other | ' | ||||||||
Prepaid expenses and other consisted of the following: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Other receivables | $ | 751 | $ | 748 | |||||
Tax receivables | 169 | 158 | |||||||
Deposits | 428 | 597 | |||||||
Prepaid insurance | 187 | 524 | |||||||
Prepaid rent | 153 | 259 | |||||||
Prepaid repairs and maintenance | 1,163 | 687 | |||||||
Prepaid taxes | 475 | 641 | |||||||
Prepaid commissions | 3,208 | 2,696 | |||||||
Prepaid expenses | 984 | 1,089 | |||||||
Total prepaid expenses and other | $ | 7,518 | $ | 7,399 | |||||
Depreciation_Amortization_and_1
Depreciation, Amortization and Accretion (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Depreciation, Amortization And Accretion [Abstract] | ' | ||||||||||||||||
Summary of Depreciation, Amortization and Accretion | ' | ||||||||||||||||
The consolidated balances consisted of the following for the periods stated: | |||||||||||||||||
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(Dollars in thousands) | |||||||||||||||||
Depreciation | $ | 2,555 | $ | 2,451 | $ | 7,846 | $ | 7,278 | |||||||||
Amortization | 1,503 | 1,252 | 4,218 | 3,749 | |||||||||||||
Accretion | 189 | 155 | 564 | 460 | |||||||||||||
Total depreciation, amortization and accretion | $ | 4,247 | $ | 3,858 | $ | 12,628 | $ | 11,487 | |||||||||
Goodwill_and_Amortizable_Intan1
Goodwill and Amortizable Intangible Assets (Tables) | 9 Months Ended | ||||||||||||||
Sep. 30, 2014 | |||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||
Net Consolidated Balance of Amortizable Intangible Assets | ' | ||||||||||||||
The net consolidated balance of amortizable intangible assets consisted of the following: | |||||||||||||||
September 30, 2014 | |||||||||||||||
Useful Life | Gross Carrying | Accumulated | Net Balance | ||||||||||||
(In Years) | Amount | Amortization | |||||||||||||
(Dollars in thousands) | |||||||||||||||
Customer relationships | 10 | $ | 25,002 | $ | (8,959 | ) | $ | 16,043 | |||||||
Acquired technology | 2 - 4 | 8,452 | (7,272 | ) | 1,180 | ||||||||||
Non-compete agreements | 5 | 2,370 | (2,215 | ) | 155 | ||||||||||
Trademarks | 3 | 5,754 | (1,931 | ) | 3,823 | ||||||||||
Total amortizable intangible assets | $ | 41,578 | $ | (20,377 | ) | $ | 21,201 | ||||||||
Estimated Amortization of Intangible Assets | ' | ||||||||||||||
Estimated amortization of intangible assets for future periods was as follows: | |||||||||||||||
(Dollars in thousands) | |||||||||||||||
For the remaining three months ending December 31, 2014 | $ | 1,503 | |||||||||||||
For the year ending December 31: | |||||||||||||||
2015 | 4,735 | ||||||||||||||
2016 | 4,160 | ||||||||||||||
2017 | 2,886 | ||||||||||||||
2018 | 2,500 | ||||||||||||||
Thereafter | 5,417 | ||||||||||||||
Total amortizable intangible assets | $ | 21,201 | |||||||||||||
Other_Assets_Tables
Other Assets (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | ||||||||
Schedule of Other Assets | ' | ||||||||
Other assets were as follows: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Deferred financing costs | $ | 262 | $ | 456 | |||||
Deposits | 195 | 195 | |||||||
Prepaid royalty | 244 | 245 | |||||||
Other assets | 518 | 819 | |||||||
Total other assets | $ | 1,219 | $ | 1,715 | |||||
Accounts_Payable_and_Accrued_L1
Accounts Payable and Accrued Liabilities (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Payables and Accruals [Abstract] | ' | ||||||||
Components of Accounts Payable and Accrued Liabilities | ' | ||||||||
Accounts payable and accrued liabilities were as follows: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(Dollars in thousands) | |||||||||
Accounts payable | $ | 2,531 | $ | 1,726 | |||||
Accrued network costs | 1,146 | 1,169 | |||||||
Accrued taxes | 3,938 | 3,959 | |||||||
Asset retirement obligations | 410 | 358 | |||||||
Accrued outside services | 993 | 1,049 | |||||||
Accrued accounting and legal | 177 | 212 | |||||||
Accrued recognition awards | 262 | 327 | |||||||
Accrued other | 871 | 851 | |||||||
Deferred rent | 77 | 77 | |||||||
Escheat liability | 23 | 5 | |||||||
Lease incentive | 168 | 152 | |||||||
Dividends payable - 2011 Long-Term Incentive Plan ("LTIP") | 567 | — | |||||||
Total accounts payable and accrued liabilities | $ | 11,163 | $ | 9,885 | |||||
Asset_Retirement_Obligations_T
Asset Retirement Obligations (Tables) | 9 Months Ended | ||||||||||||
Sep. 30, 2014 | |||||||||||||
Asset Retirement Obligation Disclosure [Abstract] | ' | ||||||||||||
Changes in Asset Retirement Obligation Liabilities | ' | ||||||||||||
The components of the changes in the asset retirement obligation liabilities were: | |||||||||||||
Short-Term | Long-Term | Total | |||||||||||
Portion | Portion | ||||||||||||
(Dollars in thousands) | |||||||||||||
Balance at January 1, 2014 | $ | 358 | $ | 7,599 | $ | 7,957 | |||||||
Accretion | 21 | 543 | 564 | ||||||||||
Additions | — | 141 | 141 | ||||||||||
Reclassifications | 373 | (373 | ) | — | |||||||||
Amounts paid | (342 | ) | — | (342 | ) | ||||||||
Balance at September 30, 2014 | $ | 410 | $ | 7,910 | $ | 8,320 | |||||||
Other_LongTerm_Liabilities_Tab
Other Long-Term Liabilities (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Other Liabilities Disclosure [Abstract] | ' | ||||||||
Summary of Other Long-Term Liabilities | ' | ||||||||
Other long-term liabilities consisted of the following: | |||||||||
30-Sep-14 | 31-Dec-13 | ||||||||
(Dollars in thousands) | |||||||||
Asset retirement obligations | $ | 7,910 | $ | 7,599 | |||||
Dividends payable — 2011 LTIP | — | 409 | |||||||
Escheat liability | 239 | 509 | |||||||
Capital lease payable | 11 | 23 | |||||||
Lease incentive | 461 | 180 | |||||||
Deferred rent | 422 | 259 | |||||||
Royalty payable | 278 | 280 | |||||||
Total other long-term liabilities | $ | 9,321 | $ | 9,259 | |||||
Stockholders_Equity_Tables
Stockholders' Equity (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||
Changes in Stockholders' Equity | ' | ||||||||||||||||
Changes in Stockholders’ Equity. Changes in stockholders’ equity for the nine months ended September 30, 2014 consisted of: | |||||||||||||||||
(Dollars in thousands) | |||||||||||||||||
Balance at January 1, 2014 | $ | 269,950 | |||||||||||||||
Net income for the nine months ended September 30, 2014 | 13,833 | ||||||||||||||||
Cash dividends declared | (8,283 | ) | |||||||||||||||
Amortization of stock based compensation | 2,816 | ||||||||||||||||
Other | (34 | ) | |||||||||||||||
Balance at September 30, 2014 | $ | 278,282 | |||||||||||||||
Activities Under Equity Plan | ' | ||||||||||||||||
The following table summarizes the activities under the 2012 Equity Incentive Award Plan (the "2012 Equity Plan") from inception through September 30, 2014: | |||||||||||||||||
Activity | |||||||||||||||||
Total equity securities available at May 16, 2012 | 2,194,986 | ||||||||||||||||
Add: 2011 LTIP RSUs forfeited by eligible employees | 209,382 | ||||||||||||||||
Add: Restricted shares of common stock ("restricted stock") forfeited by non-executive member of the Board of Directors | 3,189 | ||||||||||||||||
Less: 2011 LTIP RSUs awarded to eligible employees | (557,484 | ) | |||||||||||||||
Less: Common stock awarded to eligible employees | (5,820 | ) | |||||||||||||||
Less: Restricted stock awarded to non-executive members of the Board of Directors | (47,855 | ) | |||||||||||||||
Less: Short-Term Incentive Plan (“STIP”) common stock awarded to an eligible employee | (41,702 | ) | |||||||||||||||
Total equity securities available at September 30, 2014 | 1,754,696 | ||||||||||||||||
Summary of Outstanding RSUs under 2011 LTIP | ' | ||||||||||||||||
The following table details activities with respect to outstanding RSUs under the 2011 LTIP for the three months ended September 30, 2014: | |||||||||||||||||
Shares | Weighted- | Total Unrecognized Compensation Cost (net of estimated forfeitures) | Weighted-Average | ||||||||||||||
Average Grant | (In thousands) | Period Over Which | |||||||||||||||
Date Fair Value | Cost is Expected to | ||||||||||||||||
be Recognized | |||||||||||||||||
(In months) | |||||||||||||||||
Non-vested RSUs at July 1, 2014 | 559,689 | $ | 12.41 | ||||||||||||||
Granted | — | — | |||||||||||||||
Vested | — | — | |||||||||||||||
Forfeited | — | — | |||||||||||||||
Non-vested RSUs at September 30, 2014 | 559,689 | $ | 12.41 | $ | 930 | 3 | |||||||||||
Schedule of Stock Based Compensation Expense for Awards Under Equity Plans | ' | ||||||||||||||||
The following table reflects the stock based compensation expense for the awards under the 2012 Equity Plan and predecessor equity plan: | |||||||||||||||||
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||
Equity Awards | 2014 | 2013 | 2014 | 2013 | |||||||||||||
(Dollars in thousands) | |||||||||||||||||
Common stock | $ | 85 | $ | — | $ | 85 | $ | — | |||||||||
2011 LTIP | 930 | 906 | 2,486 | 2,040 | |||||||||||||
Board of Directors Compensation | 91 | 40 | 245 | 160 | |||||||||||||
Total stock based compensation | $ | 1,106 | $ | 946 | $ | 2,816 | $ | 2,200 | |||||||||
Cash Dividends Declared | ' | ||||||||||||||||
Declaration Date | Record Date | Payment Date | Per Share Amount | Total Payment(1) | |||||||||||||
(Dollars in thousands) | |||||||||||||||||
March 5 | March 18 | March 28 | $ | 0.125 | $ | 2,707 | |||||||||||
April 30 | May 22 | June 25 | 0.125 | 2,707 | |||||||||||||
July 30 | August 19 | September 10 | 0.125 | 2,707 | |||||||||||||
Total | $ | 0.375 | $ | 8,121 | |||||||||||||
(1) | The total payment reflects the cash dividends paid in relation to common stock and vested restricted stock. | ||||||||||||||||
Basic and Diluted Net Income Per Common Shares | ' | ||||||||||||||||
The components of basic and diluted net income per common share were as follows for the periods stated: | |||||||||||||||||
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(Dollars in thousands, except share and per share amounts) | |||||||||||||||||
Net income | $ | 4,652 | $ | 5,762 | $ | 13,833 | $ | 19,515 | |||||||||
Weighted average shares of common stock outstanding | 21,651,347 | 21,629,289 | 21,643,951 | 21,653,692 | |||||||||||||
Dilutive effect of restricted stock and RSUs | 484,207 | 289,949 | 445,941 | 262,371 | |||||||||||||
Weighted average shares of common stock and common stock equivalents | 22,135,554 | 21,919,238 | 22,089,892 | 21,916,063 | |||||||||||||
Net income per common share | |||||||||||||||||
Basic | $ | 0.21 | $ | 0.27 | $ | 0.64 | $ | 0.9 | |||||||||
Diluted | $ | 0.21 | $ | 0.26 | $ | 0.63 | $ | 0.89 | |||||||||
Stock_Based_Compensation_Table
Stock Based Compensation (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||||
Stock Based Compensation Expense | ' | ||||||||||||||||
The following table reflects the statements of income line items for stock based compensation expense for the periods stated: | |||||||||||||||||
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | ||||||||||||||||
Operating Expense Category | 2014 | 2013 | 2014 | 2013 | |||||||||||||
(Dollars in thousands) | |||||||||||||||||
Cost of revenue | $ | 108 | $ | 64 | $ | 270 | $ | 162 | |||||||||
Service, rental and maintenance | 56 | 59 | $ | 78 | $ | 99 | |||||||||||
Selling and marketing | 151 | 122 | 413 | 360 | |||||||||||||
General and administrative | 791 | 701 | 2,055 | 1,579 | |||||||||||||
Total stock based compensation | $ | 1,106 | $ | 946 | $ | 2,816 | $ | 2,200 | |||||||||
Preparation_of_Interim_Financi1
Preparation of Interim Financial Statements - Additional Information (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | |
Wireless revenue, net | $32,855,000 | $37,067,000 | $100,724,000 | $113,617,000 |
Software revenue, net | 16,936,000 | 12,602,000 | 48,280,000 | 41,450,000 |
Cost of revenue | 8,000,000 | 6,787,000 | 21,985,000 | 20,415,000 |
Service, rental and maintenance | 10,988,000 | 11,820,000 | 34,200,000 | 36,029,000 |
Selling and marketing | 7,072,000 | 6,388,000 | 22,098,000 | 19,320,000 |
General and administrative | 10,866,000 | 11,282,000 | 33,991,000 | 34,635,000 |
Total operating expenses | 41,718,000 | 40,135,000 | 125,471,000 | 121,888,000 |
Operating income | 8,073,000 | 9,534,000 | 23,533,000 | 33,179,000 |
Scenario, Previously Reported [Member] | ' | ' | ' | ' |
Wireless revenue, net | ' | 35,540,000 | ' | ' |
Restatement Adjustment [Member] | ' | ' | ' | ' |
Wireless revenue, net | ' | 1,530,000 | ' | ' |
Cost of revenue | ' | 1,430,000 | ' | ' |
Service, rental and maintenance | ' | -730,000 | ' | ' |
Selling and marketing | ' | 150,000 | ' | ' |
General and administrative | ' | -850,000 | ' | ' |
Total operating expenses | ' | 0 | ' | ' |
Operating income | ' | $0 | ' | ' |
Prepaid_Expenses_and_Other_Pre
Prepaid Expenses and Other - Prepaid Expenses and Other (Detail) (USD $) | 9 Months Ended | |
Sep. 30, 2014 | Dec. 31, 2013 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | ' |
Other receivables | $751,000 | $748,000 |
Tax receivables | 169,000 | 158,000 |
Deposits | 428,000 | 597,000 |
Prepaid insurance | 187,000 | 524,000 |
Prepaid rent | 153,000 | 259,000 |
Prepaid repairs and maintenance | 1,163,000 | 687,000 |
Prepaid taxes | 475,000 | 641,000 |
Prepaid commissions | 3,208,000 | 2,696,000 |
Prepaid expenses | 984,000 | 1,089,000 |
Total prepaid expenses and other | 7,518,000 | 7,399,000 |
Increase (Decrease) in prepaid repairs and maintenance | 500,000 | ' |
Increase (Decrease) in Prepaid Commissions | $500,000 | ' |
Inventory_Additional_Informati
Inventory - Additional Information (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Inventory Disclosure [Abstract] | ' | ' |
Inventory | $2,676 | $2,221 |
Depreciation_Amortization_and_2
Depreciation, Amortization and Accretion - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Depreciation, Amortization And Accretion [Abstract] | ' | ' | ' | ' |
Depreciation, amortization and accretion expense | $4,247 | $3,858 | $12,628 | $11,487 |
Depreciation_Amortization_and_3
Depreciation, Amortization and Accretion - Summary of Depreciation, Amortization and Accretion (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Depreciation, Amortization And Accretion [Abstract] | ' | ' | ' | ' |
Depreciation | $2,555 | $2,451 | $7,846 | $7,278 |
Amortization | 1,503 | 1,252 | 4,218 | 3,749 |
Accretion | 189 | 155 | 564 | 460 |
Total depreciation, amortization and accretion | $4,247 | $3,858 | $12,628 | $11,487 |
Goodwill_and_Amortizable_Intan2
Goodwill and Amortizable Intangible Assets - Additional Information (Detail) (USD $) | 9 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2014 |
Finite-Lived Intangible Assets [Line Items] | ' |
Amortizable intangible assets, Gross Carrying Amount | 41,578 |
Amortizable intangible assets, Accumulated Amortization | 20,377 |
Minimum [Member] | ' |
Finite-Lived Intangible Assets [Line Items] | ' |
Amortizable intangible assets, Useful Life | '2 years |
Maximum [Member] | ' |
Finite-Lived Intangible Assets [Line Items] | ' |
Amortizable intangible assets, Useful Life | '10 years |
Non-compete Agreements [Member] | ' |
Finite-Lived Intangible Assets [Line Items] | ' |
Amortizable intangible assets, Useful Life | '5 years |
Amortizable intangible assets, Gross Carrying Amount | 2,370 |
Amortizable intangible assets, Accumulated Amortization | 2,215 |
Goodwill_and_Amortizable_Intan3
Goodwill and Amortizable Intangible Assets - Net Consolidated Balance of Amortizable Intangible Assets (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 |
In Thousands, unless otherwise specified | Customer Relationships [Member] | Acquired Technology [Member] | Non-compete Agreements [Member] | Trademarks [Member] | Minimum [Member] | Minimum [Member] | Maximum [Member] | Maximum [Member] | ||
Acquired Technology [Member] | Acquired Technology [Member] | |||||||||
Finite-Lived Intangible Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total amortizable intangible assets | $21,201 | $25,368 | $16,043 | $1,180 | $155 | $3,823 | ' | ' | ' | ' |
Amortizable intangible assets, Accumulated Amortization | -20,377 | ' | -8,959 | -7,272 | -2,215 | -1,931 | ' | ' | ' | ' |
Amortizable intangible assets, Gross Carrying Amount | $41,578 | ' | $25,002 | $8,452 | $2,370 | $5,754 | ' | ' | ' | ' |
Amortizable intangible assets, Useful Life | ' | ' | '10 years | ' | '5 years | '3 years | '2 years | '2 years | '10 years | '4 years |
Goodwill_and_Amortizable_Intan4
Goodwill and Amortizable Intangible Assets - Estimated Amortization of Intangible Assets (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ' |
For the remaining three months ending December 31, 2014 | $1,503 | ' |
2015 | 4,735 | ' |
2016 | 4,160 | ' |
2017 | 2,886 | ' |
2018 | 2,500 | ' |
Thereafter | 5,417 | ' |
Total amortizable intangible assets | $21,201 | $25,368 |
Other_Assets_Schedule_of_Other
Other Assets - Schedule of Other Assets (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | ' |
Deferred financing costs | $262 | $456 |
Deposits | 195 | 195 |
Prepaid royalty | 244 | 245 |
Other assets | 518 | 819 |
Total other assets | $1,219 | $1,715 |
Accounts_Payable_and_Accrued_L2
Accounts Payable and Accrued Liabilities - Components of Accounts Payable and Accrued Liabilities (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Payables and Accruals [Abstract] | ' | ' |
Accounts payable | $2,531 | $1,726 |
Accrued network costs | 1,146 | 1,169 |
Accrued taxes | 3,938 | 3,959 |
Asset retirement obligations | 410 | 358 |
Accrued outside services | 993 | 1,049 |
Accrued accounting and legal | 177 | 212 |
Accrued recognition awards | 262 | 327 |
Accrued other | 871 | 851 |
Deferred rent | 77 | 77 |
Escheat liability | 23 | 5 |
Lease incentive | 168 | 152 |
Dividends payable - 2011 Long-Term Incentive Plan (LTIP) | 567 | 0 |
Total accounts payable and accrued liabilities | $11,163 | $9,885 |
Asset_Retirement_Obligations_A
Asset Retirement Obligations - Additional Information (Detail) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2014 | Dec. 31, 2013 |
Asset Retirement Obligation Liabilities [Line Items] | ' | ' |
Cumulative asset retirement costs | $3.90 | $3.80 |
Increase in asset retirement costs | $0.10 | ' |
Minimum [Member] | ' | ' |
Asset Retirement Obligation Liabilities [Line Items] | ' | ' |
Estimated lives for depreciation of asset retirement cost additions | '51 months | ' |
Maximum [Member] | ' | ' |
Asset Retirement Obligation Liabilities [Line Items] | ' | ' |
Estimated lives for depreciation of asset retirement cost additions | '57 months | ' |
Asset_Retirement_Obligations_C
Asset Retirement Obligations - Changes in Asset Retirement Obligation Liabilities (Detail) (USD $) | 9 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2014 |
Asset Retirement Obligation Liabilities [Line Items] | ' |
Beginning balance | $7,957 |
Accretion | 564 |
Additions | 141 |
Reclassifications | 0 |
Amounts paid | -342 |
Ending balance | 8,320 |
Short-Term Portion [Member] | ' |
Asset Retirement Obligation Liabilities [Line Items] | ' |
Beginning balance | 358 |
Accretion | 21 |
Additions | 0 |
Reclassifications | 373 |
Amounts paid | -342 |
Ending balance | 410 |
Long-Term Portion [Member] | ' |
Asset Retirement Obligation Liabilities [Line Items] | ' |
Beginning balance | 7,599 |
Accretion | 543 |
Additions | 141 |
Reclassifications | -373 |
Amounts paid | 0 |
Ending balance | $7,910 |
Deferred_Revenue_Additional_In
Deferred Revenue - Additional Information (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Revenue Recognition [Abstract] | ' | ' |
Deferred revenue, current | $24,507 | $23,023 |
Deferred revenue, non-current | $642 | $862 |
LongTerm_Debt_Additional_Infor
Long-Term Debt - Additional Information (Detail) (USD $) | 9 Months Ended | |
Sep. 30, 2014 | Nov. 08, 2011 | |
SecurityLoan | ||
Debt Disclosure [Abstract] | ' | ' |
Line Of Credit Facility Minimum Liquidity Amount | $25,000,000 | ' |
Line of Credit Facility, Remaining Borrowing Capacity | 40,000,000 | ' |
Long-term Debt | 0 | ' |
Maximum amount of the revolving credit facility | ' | 40,000,000 |
Maturity date for the revolving credit facility | 3-Sep-15 | ' |
Period for which LIBOR election for amount of debt made | 'One, two or three months at a time | ' |
Maximum number of individual LIBOR loans | 5 | ' |
Minimum amount required for LIBOR rate election | 1,000,000 | ' |
Outstanding borrowings under credit facility | $0 | ' |
Other_LongTerm_Liabilities_Sum
Other Long-Term Liabilities - Summary of Other Long-Term Liabilities (Detail) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Other Liabilities Disclosure [Abstract] | ' | ' |
Asset retirement obligations | $7,910 | $7,599 |
Dividends payable - 2011 LTIP | 0 | 409 |
Escheat liability | 239 | 509 |
Capital lease payable | 11 | 23 |
Lease incentive | 461 | 180 |
Deferred rent | 422 | 259 |
Royalty payable | 278 | 280 |
Total other long-term liabilities | $9,321 | $9,259 |
Stockholders_Equity_Additional
Stockholders' Equity - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 0 Months Ended | 28 Months Ended | 3 Months Ended | 28 Months Ended | |||||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | Oct. 29, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Sep. 30, 2013 | |
Subsequent Event [Member] | Non-executive directors [Member] | 2011 LTIP [Member] | 2011 LTIP [Member] | 2011 LTIP [Member] | 2011 LTIP [Member] | ||||||
Restricted Stock [Member] | Restricted Stock Units [Member] | Restricted Stock Units [Member] | Restricted Stock Units [Member] | Restricted Stock Units [Member] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amortization of stock based compensation | $1,106,000 | $946,000 | $2,816,000 | $2,200,000 | ' | ' | ' | ' | ' | ' | ' |
Common stock authorized | 75,000,000 | ' | 75,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock par value | $0.00 | ' | $0.00 | ' | ' | ' | ' | ' | ' | ' | ' |
Preferred stock authorized | 25,000,000 | ' | 25,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Preferred stock par value | $0.00 | ' | $0.00 | ' | ' | ' | ' | ' | ' | ' | ' |
Common stock outstanding | 21,675,735 | ' | 21,675,735 | ' | 21,652,341 | ' | ' | ' | ' | ' | ' |
Preferred stock outstanding | 0 | ' | 0 | ' | 0 | ' | ' | ' | ' | ' | ' |
Restricted stock units awarded to CEO | ' | ' | ' | ' | ' | ' | 47,855 | 0 | 557,484 | ' | ' |
Restricted stock unit forfeitures | ' | ' | ' | ' | ' | ' | 3,189 | 0 | 209,382 | ' | ' |
Outstanding restricted stock units | ' | ' | ' | ' | ' | ' | ' | 559,689 | 559,689 | 559,689 | 642,582 |
Dividends declared | ' | ' | ' | ' | ' | 2,700,000 | ' | ' | ' | ' | ' |
Stock Repurchase Program, Authorized Amount | ' | ' | ' | ' | ' | 15,000,000 | ' | ' | ' | ' | ' |
Expected Amount For Dividends And/Or Common Stock Repurchases | ' | ' | ' | ' | ' | 26,000,000 | ' | ' | ' | ' | ' |
Dividend rate | ' | ' | ' | ' | ' | $0.13 | ' | ' | ' | ' | ' |
Declaration date | ' | ' | ' | ' | ' | 29-Oct-14 | ' | ' | ' | ' | ' |
Record Date | ' | ' | ' | ' | ' | 18-Nov-14 | ' | ' | ' | ' | ' |
Payment Date | ' | ' | ' | ' | ' | 10-Dec-14 | ' | ' | ' | ' | ' |
Increase in additional paid-in capital | ' | ' | 2,700,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Additional paid-in capital | $130,040,000 | ' | $130,040,000 | ' | $127,264,000 | ' | ' | ' | ' | ' | ' |
Stockholders_Equity_Changes_in
Stockholders' Equity - Changes in Stockholders' Equity (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Equity [Abstract] | ' | ' | ' | ' |
Beginning Balance | ' | ' | $269,950 | ' |
Net income for the nine months ended September 30, 2014 | 4,652 | 5,762 | 13,833 | 19,515 |
Cash dividends declared | ' | ' | -8,283 | ' |
Amortization of stock based compensation | ' | ' | 2,816 | ' |
Issued, purchased, retired common stock, and other | ' | ' | -34 | ' |
Ending Balance | $278,282 | ' | $278,282 | ' |
Stockholders_Equity_Activities
Stockholders' Equity - Activities Under Equity Plan (Detail) (USD $) | Sep. 30, 2014 | 16-May-12 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Jul. 08, 2014 | Sep. 30, 2014 |
In Millions, except Share data, unless otherwise specified | Short-Term Incentive Plan ("STIP") [Member] | Restricted Stock Units [Member] | Restricted Stock Units [Member] | Common Stock [Member] | Common Stock [Member] | Restricted Stock [Member] | ||
2011 LTIP [Member] | 2011 LTIP [Member] | Two Thousand Twelve Equity Plan [Member] | Non-executive directors [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Total equity securities available at May 16, 2012 | ' | 2,194,986 | ' | ' | ' | ' | ' | ' |
Add: 2011 LTIP RSUs forfeited by eligible employees | ' | ' | ' | 0 | 209,382 | ' | ' | 3,189 |
Less: Equity Plan shares awarded | ' | ' | -41,702 | 0 | -557,484 | -5,820 | -5,820 | -47,855 |
Total equity securities available at September 30, 2014 | 1,754,696 | ' | ' | ' | ' | ' | ' | ' |
Adjustment of Warrants Granted for Services | ' | ' | ' | ' | ' | ' | $0.10 | ' |
Granted, Weighted Average Grant Date Fair Value | ' | ' | ' | $0 | ' | ' | $15.74 | ' |
Stockholders_Equity_Summary_of
Stockholders' Equity - Summary of outstanding RSUs under the 2011 LTIP (Detail) (Restricted Stock Units [Member], 2011 LTIP [Member], USD $) | 3 Months Ended | 28 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 |
Restricted Stock Units [Member] | 2011 LTIP [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Non-vested RSUs at January 1, 2014, shares | 559,689 | ' | 642,582 |
Granted, Shares | 0 | 557,484 | ' |
Vested, Shares | 0 | ' | ' |
Forfeited, Shares | 0 | -209,382 | ' |
Non-vested RSUs at March 31, 2014, shares | 559,689 | 559,689 | 642,582 |
Non-vested RSUs at January 1, 2014, Weighted Average Grant Date Fair Value | $12.41 | ' | ' |
Granted, Weighted Average Grant Date Fair Value | $0 | ' | ' |
Vested, Weighted Average Grant Date Fair Value | $0 | ' | ' |
Forfeited, Weighted Average Grant Date Fair Value | $0 | ' | ' |
Non-vested RSUs at March 31, 2014, Weighted Average Grant Date Fair Value | $12.41 | $12.41 | ' |
Non-vested RSUs at March 31, 2014, Total Unrecognized Compensation Cost (net of estimated forfeitures) | $930 | $930 | ' |
Non-vested RSUs at March 31, 2014, Weighted-Average Period Over Which Cost is Expected to be Recognized | '3 months | ' | ' |
Stockholders_Equity_Restricted
Stockholders' Equity - Restricted Stock Vested by or Granted to Non-Executive Directors (Detail) (Restricted Stock [Member], Non-executive directors [Member]) | 28 Months Ended |
Sep. 30, 2014 | |
Restricted Stock [Member] | Non-executive directors [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Restricted Stock Granted | 47,855 |
Stockholders_Equity_Schedule_o
Stockholders' Equity - Schedule of Stock Based Compensation Expense for Awards Under Equity Plans (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Share based Compensation Allocation of Recognized Period Cost [Line Items] | ' | ' | ' | ' |
Total stock based compensation | $1,106 | $946 | $2,816 | $2,200 |
Common Stock [Member] | ' | ' | ' | ' |
Share based Compensation Allocation of Recognized Period Cost [Line Items] | ' | ' | ' | ' |
Total stock based compensation | 85 | 0 | 85 | 0 |
2011 LTIP [Member] | ' | ' | ' | ' |
Share based Compensation Allocation of Recognized Period Cost [Line Items] | ' | ' | ' | ' |
Total stock based compensation | 930 | 906 | 2,486 | 2,040 |
Board of Directors Compensation [Member] | ' | ' | ' | ' |
Share based Compensation Allocation of Recognized Period Cost [Line Items] | ' | ' | ' | ' |
Total stock based compensation | $91 | $40 | $245 | $160 |
Stockholders_Equity_Cash_Divid
Stockholders' Equity - Cash Dividends Declared to Stockholders (Detail) (Common Stock [Member], USD $) | 9 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Per Share Amount | $0.38 |
Total Payment | $8,121 |
Installment One [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Declaration date | 5-Mar-14 |
Record Date | 18-Mar-14 |
Payment Date | 28-Mar-14 |
Per Share Amount | $0.13 |
Total Payment | 2,707 |
Installment Two [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Declaration date | 30-Apr-14 |
Record Date | 22-May-14 |
Payment Date | 25-Jun-14 |
Per Share Amount | $0.13 |
Total Payment | 2,707 |
Installment Three [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Declaration date | 30-Jul-14 |
Record Date | 19-Aug-14 |
Payment Date | 10-Sep-14 |
Per Share Amount | $0.13 |
Total Payment | $2,707 |
Stockholders_Equity_Basic_and_
Stockholders' Equity - Basic and Diluted Net Income Per Common Shares (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Equity [Abstract] | ' | ' | ' | ' |
Net income | $4,652 | $5,762 | $13,833 | $19,515 |
Weighted average shares of common stock outstanding | 21,651,347 | 21,629,289 | 21,643,951 | 21,653,692 |
Dilutive effect of restricted stock and RSUs | 484,207 | 289,949 | 445,941 | 262,371 |
Weighted average shares of common stock and common stock equivalents | 22,135,554 | 21,919,238 | 22,089,892 | 21,916,063 |
Basic | $0.21 | $0.27 | $0.64 | $0.90 |
Diluted | $0.21 | $0.26 | $0.63 | $0.89 |
Stock_Based_Compensation_Stock
Stock Based Compensation - Stock Based Compensation Expense (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Share based Compensation Allocation of Recognized Period Cost [Line Items] | ' | ' | ' | ' |
Total stock based compensation | $1,106 | $946 | $2,816 | $2,200 |
Cost of Sales [Member] | ' | ' | ' | ' |
Share based Compensation Allocation of Recognized Period Cost [Line Items] | ' | ' | ' | ' |
Total stock based compensation | 108 | 64 | 270 | 162 |
Service, Rental and Maintenance [Member] | ' | ' | ' | ' |
Share based Compensation Allocation of Recognized Period Cost [Line Items] | ' | ' | ' | ' |
Total stock based compensation | 56 | 59 | 78 | 99 |
Selling and Marketing [Member] | ' | ' | ' | ' |
Share based Compensation Allocation of Recognized Period Cost [Line Items] | ' | ' | ' | ' |
Total stock based compensation | 151 | 122 | 413 | 360 |
General and Administrative [Member] | ' | ' | ' | ' |
Share based Compensation Allocation of Recognized Period Cost [Line Items] | ' | ' | ' | ' |
Total stock based compensation | $791 | $701 | $2,055 | $1,579 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Jan. 02, 2014 | Dec. 31, 2013 |
Income Tax Disclosure [Abstract] | ' | ' | ' |
Deferred tax assets, gross | $140.30 | ' | $148.20 |
Valuation allowance | 119.3 | ' | 119.3 |
Estimated recoverable deferred income tax assets | 21 | ' | 28.9 |
Percentage of probability of deferred income tax realized in future | 50.00% | ' | ' |
Valuation allowance, methodologies and assumptions | '"more likely than not" (greater than a 50% probability) | ' | ' |
Federal income tax at statutory rate | 35.00% | ' | ' |
Approximate Federal net operating losses ("NOLs") available to offset future taxable income | 345.7 | ' | ' |
Limited net operating losses rate under "IRC Section 382" | ' | 50.4 | ' |
Allowable net operating losses utilize per year under "IRC Section 382" | ' | $6.10 | ' |
Related_Party_Transactions_Add
Related Party Transactions - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Related Party Transactions [Abstract] | ' | ' | ' | ' |
Site rent expense | $1 | $1 | $3.20 | $3 |
Commitments_and_Contingencies_
Commitments and Contingencies - Purchase Commitment (Details) (USD $) | 1 Months Ended | |
In Millions, unless otherwise specified | Mar. 31, 2014 | Apr. 30, 2014 |
Paging Equipment Assets [Member] | Information Technology Services [Member] | |
Long-term Purchase Commitment [Line Items] | ' | ' |
Long-term Purchase Commitment, Period | '3 years | '3 years |
Long-term Purchase Commitment, Amount | $8.30 | $1.60 |
Commitments_and_Contingencies_1
Commitments and Contingencies - Operating Leases (Details) (USD $) | Apr. 30, 2014 | Oct. 31, 2014 | Apr. 30, 2014 | Apr. 30, 2014 | Oct. 31, 2014 |
In Millions, unless otherwise specified | Subsequent Event [Member] | Headquarter Office Space Lease [Member] | Office Space Adjacent to Headquarters [Member] | Office Building [Member] | |
Subsequent Event [Member] | |||||
Operating Leased Assets [Line Items] | ' | ' | ' | ' | ' |
Lessee Leasing Arrangements, Operating Leases, Term of Contract | ' | ' | '3 years | '4 years | '2 years |
Lease Expiration Date | ' | ' | 31-Mar-18 | 31-Mar-18 | 30-Sep-18 |
Operating Leases Rent Expenses | $1.20 | $1.10 | ' | ' | ' |
Segment_Reporting_Additional_I
Segment Reporting - Additional Information (Details) | Jan. 02, 2014 |
Segment | |
Segment Reporting [Abstract] | ' |
Number of reportable operating segments | 1 |