Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2023 | Oct. 31, 2023 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2023 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | PGTI | |
Entity Registrant Name | PGT Innovations, Inc. | |
Entity Central Index Key | 0001354327 | |
Current Fiscal Year End Date | --12-30 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Shell Company | false | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity File Number | 001-37971 | |
Entity Tax Identification Number | 20-0634715 | |
Entity Address, Address Line One | 1070 Technology Drive | |
Entity Address, City or Town | North Venice | |
Entity Address, State or Province | FL | |
Entity Address, Postal Zip Code | 34275 | |
City Area Code | 941 | |
Local Phone Number | 480-1600 | |
Entity Common Stock, Shares Outstanding | 57,049,895 | |
Title of 12(b) Security | Common stock, par value $0.01 per share | |
Security Exchange Name | NYSE | |
Entity Interactive Data Current | Yes | |
Entity Incorporation, State or Country Code | DE | |
Document Quarterly Report | true | |
Document Transition Report | false |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Oct. 01, 2022 | Sep. 30, 2023 | Oct. 01, 2022 | ||
Income Statement [Abstract] | |||||
Net sales | $ 399,931 | $ 385,837 | $ 1,161,694 | $ 1,151,020 | |
Cost of sales | 238,159 | 236,035 | 696,740 | 701,495 | |
Gross profit | 161,772 | 149,802 | 464,954 | 449,525 | |
Selling, general and administrative expenses | 101,872 | 102,399 | 297,790 | 307,786 | |
Restructuring costs and charges, net | [1] | (794) | 1,722 | ||
Income from operations | 60,694 | 47,403 | 165,442 | 141,739 | |
Interest expense, net | 7,772 | 6,889 | 23,642 | 21,124 | |
Income before income taxes | 52,922 | 40,514 | 141,800 | 120,615 | |
Income tax expense | 13,715 | 10,100 | 36,412 | 29,910 | |
Net income | 39,207 | 30,414 | 105,388 | 90,705 | |
Less: Net income attributable to redeemable non-controlling interest ("RNCI") | (373) | (1,101) | (1,334) | ||
Net income attributable to the Company | 39,207 | 30,041 | 104,287 | 89,371 | |
Calculation of net income per common share attributable to common shareholders: | |||||
Net Income (Loss) | 39,207 | 30,041 | 104,287 | 89,371 | |
Decrease (increase) in redemption value of RNCI | 271 | (1,637) | (1,514) | ||
Net income attributable to common shareholders | $ 39,207 | $ 30,312 | $ 102,650 | $ 87,857 | |
Net income per common share attributable to common shareholders: | |||||
Basic | $ 0.68 | $ 0.51 | $ 1.75 | $ 1.47 | |
Diluted | $ 0.67 | $ 0.5 | $ 1.74 | $ 1.46 | |
Weighted average number of common shares outstanding: | |||||
Basic | 58,012 | 59,964 | 58,796 | 59,908 | |
Diluted | 58,291 | 60,402 | 59,092 | 60,201 | |
[1] For the nine months ended September 30, 2023, restructuring costs and charges, net, totaling $ 1.7 million relates to the Southeast segment income from operations, which includes a gain of $ 0.8 million in the three months ended September 30, 2023 relating to the forgiveness of a portion of the operating lease liability by the landlord of the Charlotte, NC location, which we satisfied in the third quarter of 2023. See Note 18 for additional information. |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Oct. 01, 2022 | Sep. 30, 2023 | Oct. 01, 2022 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 39,207 | $ 30,414 | $ 105,388 | $ 90,705 |
Other comprehensive income (loss) before tax: | ||||
Increase (decrease) in fair value of derivatives | 892 | (2,633) | (11) | (9,487) |
Reclassification to earnings | 289 | 2,416 | 130 | (3,344) |
Other comprehensive income (loss) before tax | 1,181 | (217) | 119 | (12,831) |
Income tax expense (benefit) related to other comprehensive income (loss) | 304 | (56) | 31 | (3,296) |
Other comprehensive income (loss), net of tax | 877 | (161) | 88 | (9,535) |
Comprehensive income | 40,084 | 30,253 | 105,476 | 81,170 |
Less: Comprehensive income attributable to redeemable non-controlling interest | (373) | (1,101) | (1,334) | |
Comprehensive income attributable to the Company | $ 40,084 | $ 29,880 | $ 104,375 | $ 79,836 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 37,675 | $ 66,548 |
Accounts receivable, net | 149,288 | 160,107 |
Inventories | 117,942 | 112,672 |
Contract assets, net | 53,948 | 47,919 |
Prepaid expenses | 15,441 | 11,763 |
Other current assets | 15,096 | 16,532 |
Total current assets | 389,390 | 415,541 |
Property, plant and equipment, net | 216,466 | 208,354 |
Operating lease right-of-use asset, net | 103,087 | 104,121 |
Intangible assets, net | 427,250 | 447,052 |
Goodwill | 462,630 | 460,415 |
Other assets, net | 9,839 | 4,766 |
Total assets | 1,608,662 | 1,640,249 |
Current liabilities: | ||
Accounts payable and accrued liabilities | 150,428 | 168,961 |
Current portion of operating lease liability | 18,108 | 16,393 |
Total current liabilities | 168,536 | 185,354 |
Long-term debt, net | 631,768 | 642,134 |
Operating lease liability, less current portion | 93,414 | 95,159 |
Deferred income taxes | 47,438 | 47,407 |
Other liabilities | 6,135 | 7,459 |
Total liabilities | 947,291 | 977,513 |
Commitments and contingencies | ||
Redeemable non-controlling interest | 34,721 | |
Shareholders' equity: | ||
Preferred stock; par value $.01 per share; 10,000 shares authorized; no shares outstanding | ||
Common stock; par value $.01 per share; 200,000 shares authorized; 64,512 and 63,940 shares issued and 57,262 and 59,912 shares outstanding at September 30, 2023 and December 31, 2022, respectively | 645 | 639 |
Additional paid-in-capital | 449,617 | 442,116 |
Accumulated other comprehensive income | 311 | 223 |
Retained earnings | 306,452 | 204,891 |
Treasury stock at cost (5,800 shares and 2,760 shares at September 30, 2023 and December 31, 2022, respectively) | (95,654) | (19,854) |
Total shareholders' equity | 661,371 | 628,015 |
Total liabilities, redeemable non-controlling interest and shareholders' equity | $ 1,608,662 | $ 1,640,249 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, Shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, Shares authorized | 200,000,000 | 200,000,000 |
Common stock, shares issued | 64,512,000 | 63,940,000 |
Common stock, shares outstanding | 57,262,000 | 59,912,000 |
Treasury stock, Shares | 5,800,000 | 2,760,000 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2023 | Oct. 01, 2022 | |
Cash flows from operating activities: | ||
Net income | $ 105,388 | $ 90,705 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation | 26,607 | 25,359 |
Amortization | 19,802 | 19,725 |
Provision for credit losses | 2,213 | 7,395 |
Stock-based compensation expense | 9,054 | 7,638 |
Amortization of deferred financing costs | 986 | 921 |
Asset impairment charges | 2,131 | |
Non-cash portion of restructuring costs and charges, net | 1,679 | |
Loss (gain) on sales of assets | 84 | (166) |
Change in operating assets and liabilities: | ||
Accounts receivable | 1,005 | (35,166) |
Inventories | (5,635) | (21,145) |
Contract assets, net, prepaid expenses, other current and other assets | 6,970 | 6,213 |
Accounts payable, accrued and other liabilities | (28,322) | 48,531 |
Net cash provided by operating activities | 139,831 | 152,141 |
Cash flows from investing activities: | ||
Purchases of property, plant and equipment | (38,205) | (24,741) |
Business combinations | (744) | (787) |
Proceeds from sales of assets | 1,171 | 41 |
Net cash used in investing activities | (37,778) | (25,487) |
Cash flows from financing activities: | ||
Payment of fair value of contingent consideration in Anlin Acquisition | (4,348) | (2,362) |
Redemption of redeemable non-controlling interest | (37,459) | |
Proceeds of amounts drawn from revolving credit facility | 50,000 | |
Payments of borrowing under revolving credit facility | (61,352) | |
Purchases of treasury stock under share repurchase program | (75,131) | |
Income taxes paid from stock withheld relating to vesting of equity awards | (3,362) | (1,888) |
Proceeds from issuance of common stock under employee stock purchase plan (ESPP) | 726 | 291 |
Net cash used in financing activities | (130,926) | (3,959) |
Net (decrease) increase in cash and cash equivalents | (28,873) | 122,695 |
Cash and cash equivalents at beginning of period | 66,548 | 96,146 |
Cash and cash equivalents at end of period | 37,675 | 218,841 |
Non-cash activity: | ||
Accrual of excise tax liability in treasury stock | (669) | |
Additions to right-of-use asset | 15,912 | 13,625 |
Additions to operating lease liability | (15,912) | (13,625) |
Property, plant and equipment additions in accounts payable | $ 590 | $ 79 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Shareholders' Equity - USD ($) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Retained Earnings [Member] | Treasury Stock [Member] |
Beginning Balance at Jan. 01, 2022 | $ 529,097,000 | $ 635,000 | $ 433,347,000 | $ 7,006,000 | $ 106,398,000 | $ (18,289,000) |
Beginning Balance, Shares at Jan. 01, 2022 | 59,696,117 | |||||
Vesting of restricted stock, Shares | 359,360 | |||||
Grants of restricted stock | $ 6,000 | (6,000) | ||||
Forfeitures of restricted stock | $ (1,000) | 1,000 | ||||
Stock withheld in lieu of taxes | (1,888,000) | (1,888,000) | ||||
Stock withheld in lieu of taxes, Shares | (95,001) | |||||
Retirement of stock withheld in lieu of taxes | $ (1,000) | (1,498,000) | (389,000) | 1,888,000 | ||
Stock-based compensation | 7,638,000 | 7,638,000 | ||||
Common stock issued under ESPP | 291,000 | 291,000 | ||||
Common stock issued under ESPP, Shares | 17,964 | |||||
Net Income (Loss) | 89,371,000 | 89,371,000 | ||||
Decrease (increase) in value of RNCI | (1,514,000) | (1,514,000) | ||||
Other comprehensive loss, net of tax expense (benefit) | (9,535,000) | (9,535,000) | ||||
Ending Balance at Oct. 01, 2022 | 613,460,000 | $ 639,000 | 439,773,000 | (2,529,000) | 193,866,000 | (18,289,000) |
Ending Balance, Shares at Oct. 01, 2022 | 59,978,440 | |||||
Beginning Balance at Jul. 02, 2022 | 580,805,000 | $ 639,000 | 437,207,000 | (2,368,000) | 163,616,000 | (18,289,000) |
Beginning Balance, Shares at Jul. 02, 2022 | 59,946,691 | |||||
Vesting of restricted stock, Shares | 42,258 | |||||
Stock withheld in lieu of taxes | (225,000) | (225,000) | ||||
Stock withheld in lieu of taxes, Shares | (10,509) | |||||
Retirement of stock withheld in lieu of taxes | (163,000) | (62,000) | 225,000 | |||
Stock-based compensation | 2,729,000 | 2,729,000 | ||||
Net Income (Loss) | 30,041,000 | 30,041,000 | ||||
Decrease (increase) in value of RNCI | 271,000 | 271,000 | ||||
Other comprehensive loss, net of tax expense (benefit) | (161,000) | (161,000) | ||||
Ending Balance at Oct. 01, 2022 | 613,460,000 | $ 639,000 | 439,773,000 | (2,529,000) | 193,866,000 | (18,289,000) |
Ending Balance, Shares at Oct. 01, 2022 | 59,978,440 | |||||
Beginning Balance at Dec. 31, 2022 | 628,015,000 | $ 639,000 | 442,116,000 | 223,000 | 204,891,000 | (19,854,000) |
Beginning Balance, Shares at Dec. 31, 2022 | 59,911,556 | |||||
Vesting of restricted stock, Shares | 502,758 | |||||
Grants of restricted stock | $ 10,000 | (10,000) | ||||
Forfeitures of restricted stock | $ (3,000) | 3,000 | ||||
Purchases of treasury stock | (75,800,000) | (75,800,000) | ||||
Purchases of treasury stock, Shares | (3,040,280) | |||||
Stock withheld in lieu of taxes | (3,362,000) | (3,362,000) | ||||
Stock withheld in lieu of taxes, Shares | (146,500) | |||||
Retirement of stock withheld in lieu of taxes | $ (1,000) | (2,272,000) | (1,089,000) | 3,362,000 | ||
Stock-based compensation | 9,054,000 | 9,054,000 | ||||
Common stock issued under ESPP | 726,000 | 726,000 | ||||
Common stock issued under ESPP, Shares | 34,687 | |||||
Net Income (Loss) | 104,287,000 | 104,287,000 | ||||
Decrease (increase) in value of RNCI | (1,637,000) | (1,637,000) | ||||
Other comprehensive loss, net of tax expense (benefit) | 88,000 | 88,000 | ||||
Ending Balance at Sep. 30, 2023 | 661,371,000 | $ 645,000 | 449,617,000 | 311,000 | 306,452,000 | (95,654,000) |
Ending Balance, Shares at Sep. 30, 2023 | 57,262,221 | |||||
Beginning Balance at Jul. 01, 2023 | 647,807,000 | $ 641,000 | 446,222,000 | (566,000) | 267,250,000 | (65,740,000) |
Beginning Balance, Shares at Jul. 01, 2023 | 58,337,327 | |||||
Vesting of restricted stock, Shares | 1,422 | |||||
Grants of restricted stock | $ 4,000 | (4,000) | ||||
Purchases of treasury stock | (29,914,000) | (29,914,000) | ||||
Purchases of treasury stock, Shares | (1,090,119) | |||||
Stock withheld in lieu of taxes | (12,000) | (12,000) | ||||
Stock withheld in lieu of taxes, Shares | (422) | |||||
Retirement of stock withheld in lieu of taxes | (7,000) | (5,000) | 12,000 | |||
Stock-based compensation | 3,085,000 | 3,085,000 | ||||
Common stock issued under ESPP | 321,000 | 321,000 | ||||
Common stock issued under ESPP, Shares | 14,013 | |||||
Net Income (Loss) | 39,207,000 | 39,207,000 | ||||
Other comprehensive loss, net of tax expense (benefit) | 877,000 | 877,000 | ||||
Ending Balance at Sep. 30, 2023 | $ 661,371,000 | $ 645,000 | $ 449,617,000 | $ 311,000 | $ 306,452,000 | $ (95,654,000) |
Ending Balance, Shares at Sep. 30, 2023 | 57,262,221 |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Shareholders' Equity (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Oct. 01, 2022 | Sep. 30, 2023 | Oct. 01, 2022 | |
Statement of Stockholders' Equity [Abstract] | ||||
Income tax expense (benefit) related to other comprehensive loss | $ (304) | $ 56 | $ (31) | $ 3,296 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Oct. 01, 2022 | Sep. 30, 2023 | Oct. 01, 2022 | |
Pay vs Performance Disclosure | ||||
Net Income (Loss) | $ 39,207 | $ 30,041 | $ 104,287 | $ 89,371 |
Insider Trading Arrangements
Insider Trading Arrangements | 9 Months Ended |
Sep. 30, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Description of Business and Bas
Description of Business and Basis of Presentation | 9 Months Ended |
Sep. 30, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of Business and Basis of Presentation | NOTE 1. DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION About PGT Innovations, Inc. PGT Innovations, Inc. (“PGTI”, “we,” or the “Company”), formerly named PGT, Inc., is a leading manufacturer of impact-resistant aluminum and vinyl-framed windows and doors and offers a broad range of fully customizable window and door products, as well as fully custom overhead garage doors. The majority of our sales are to customers in the state of Florida; however, we also sell products in many other states, the Caribbean, Canada, and in South and Central America. Our acquisition of Eco Enterprises ("Eco Acquisition") in February 2021 expands our range of product offerings in our major market of southeast Florida. We also have sales of products that are designed to unify indoor and outdoor living spaces, through our Western Windows Systems’ (“WWS”) division, and most of its sales are in the western United States. Our acquisitions of Anlin Windows and Doors ("Anlin") in October 2021 and Martin Door Holdings, Inc. ("Martin") in October 2022 expanded our presence in the west. The acquisition of Martin, which produces residential and commercial garage doors, expands the Company into building products adjacent to its portfolio of window and door brands. Products are sold primarily through an authorized dealer and distributor network. We began selling window and door products in the direct-to-consumer channel, a “factory-direct” sales model, through our acquisition of NewSouth Windows Solutions ("NewSouth") in February 2020. We were incorporated in the state of Delaware on December 16, 2003, as JLL Window Holdings, Inc. On February 15, 2006, our Company was renamed PGT, Inc. On December 14, 2016, we announced that we changed our name to PGT Innovations, Inc. and, effective on December 28, 2016, the listing of our common stock was transferred to the New York Stock Exchange (“NYSE”) from the NASDAQ Global Market and began trading on the NYSE under the ticker symbol of “PGTI”. We are headquartered in North Venice, Florida, where we have manufacturing operations, as well as two glass tempering and laminating plants and one insulated glass plant. We also have Florida-based manufacturing operations in Ft. Myers, Tampa, and the greater Miami area. Outside of Florida, we have manufacturing operations in Arizona, California and, more recently, Utah, with the acquisition of Martin. All references to PGTI or our Company apply to the consolidated financial statements of PGT Innovations, Inc. unless otherwise noted. Basis of Presentation These condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and do not include all the information and footnotes required by United States Generally Accepted Accounting Principles (“GAAP”) for complete financial statements. Our condensed consolidated financial statements are unaudited; however, in the opinion of management, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the interim periods are not necessarily indicative of the results that may be expected for the remainder of the current year or for any future periods. The Company’s fiscal three and nine months ended September 30, 2023 and October 1, 2022 consisted of 13 and 39 weeks, respectively. The condensed consolidated balance sheet as of December 31, 2022, is derived from the audited consolidated financial statements, but does not include all disclosures required by GAAP. The condensed consolidated balance sheet as of December 31, 2022, and the unaudited condensed consolidated financial statements as of and for the periods ended September 30, 2023, and October 1, 2022, should be read in conjunction with the more detailed audited consolidated financial statements for the year ended December 31, 2022, included in the Company’s most recent Annual Report on Form 10-K. The accounting policies used in the preparation of these unaudited condensed consolidated financial statements are consistent with the accounting policies described in the Notes to Consolidated Financial Statements included in the Company’s Annual Report on Form 10-K. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could materially differ from those estimates. We have two reportable segments: the Southeast segment and the Western segment. The Southeast reporting segment, which is also an operating segment, is composed of sales from our facilities in Florida. The Western reporting segment, also an operating segment, is composed of sales from our facilities in Arizona, Utah and California. See Note 15 for segment disclosures. |
Revenue Recognition and Contrac
Revenue Recognition and Contracts with Customers | 9 Months Ended |
Sep. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition and Contracts with Customers | NOTE 2. REVENUE RECOGNITION AND CONTRACTS WITH CUSTOMERS Disaggregation of Revenue from Contracts with Customers As discussed in Note 1, we have two reportable segments: our Southeast segment and our Western segment. The following table provides information about our net sales by reporting segment, product category and market for the three and nine months ended September 30, 2023 and October 1, 2022: Three Months Ended Nine Months Ended September 30, October 1, September 30, October 1, Disaggregation of revenue (in millions) : 2023 2022 2023 2022 Reporting segment: Southeast $ 302.9 $ 288.2 $ 873.0 $ 867.5 Western 97.0 97.6 288.7 283.5 Total net sales $ 399.9 $ 385.8 $ 1,161.7 $ 1,151.0 Product category: Impact-resistant $ 251.8 $ 227.7 $ 716.6 $ 688.5 Nonimpact-resistant 148.1 158.1 445.1 462.5 Total net sales $ 399.9 $ 385.8 $ 1,161.7 $ 1,151.0 Market: New construction $ 149.9 $ 160.9 $ 453.8 $ 484.3 Repair and remodel 250.0 224.9 707.9 666.7 Total net sales $ 399.9 $ 385.8 $ 1,161.7 $ 1,151.0 The Company’s Western segment includes both custom and volume products. This segment’s volume products are not made-to-order and are of standardized sizes and design specifications. Therefore, the Company’s assessment is that the Western segment’s volume products have alternative uses, and that control of these products passes to the customer at a point in time, which is typically when the product has been delivered to the customer. For the three months ended September 30, 2023 and October 1, 2022, the Western segment’s net sales of its volume products were $ 20.9 million and $ 26.6 million, respectively. For the nine months ended September 30, 2023 and October 1, 2022, the Western segment’s net sales of its volume products were $ 61.7 million and $ 82.6 million, respectively. Contract Balances Contract assets represent sales recognized in excess of billings related to finished goods not yet shipped and certain unused glass components not yet placed into the production process for which revenue is recognized over time. Contract liabilities relate to customer deposits at the end of reporting periods. At September 30, 2023 and December 31, 2022, those contract liabilities totaled $ 27.0 million and $ 39.1 million, respectively, of which $ 20.7 million and $ 33.4 million, respectively, are classified within accrued liabilities, and $ 6.3 million and $ 5.7 million, respectively, are classified as a reduction to the contract assets to which they relate. Contract assets, net, totaled $ 53.9 million at September 30, 2023 and $ 47.9 million at December 31, 2022, in the accompanying condensed consolidated balance sheets. Because of the short-term nature of our performance obligations, as discussed below, substantially all of our performance obligations are satisfied within the quarter following the end of a reporting period. As such, substantially all of the contract liabilities at December 31, 2022 were satisfied in the first quarter of 2023, and contract assets at December 31, 2022 were transferred to accounts receivable in the first quarter of 2023. Also, substantially all of the contract liabilities at September 30, 2023 will be satisfied in the fourth quarter of 2023, and contract assets at September 30, 2023 will be transferred to accounts receivable in the fourth quarter of 2023. Contract liabilities at September 30, 2023 represents cash received during the three-month period ended September 30, 2023, excluding amounts recognized as revenue during that period. Contract assets at September 30, 2023 represents revenue recognized during the three-month period ended September 30, 2023, excluding amounts transferred to accounts receivable during that period. Contract liabilities at December 31, 2022 represents cash received during the three-month period ended December 31, 2022, excluding amounts recognized as revenue during that period. Contract assets at December 31, 2022 represents revenue recognized during the three-month period ended December 31, 2022, excluding amounts transferred to accounts receivable during that period. Allowance for Credit Losses We measure all expected credit losses for financial assets held at the reporting date based on an expected loss model which includes historical experience, current conditions, and reasonable and supportable forecasts. In the ordinary course of business, we extend credit to qualified dealers and distributors, generally on a non-collateralized basis. The Company maintains an allowance for credit losses which is based on management’s assessments of the amount which may become uncollectible in the future and is determined through consideration of our write-off history, specific identification of uncollectible accounts based in part on the customer’s past due balance (based on contractual terms), and consideration of prevailing economic and industry conditions, and may include anticipated unfavorable impacts of current macro-economic conditions on the businesses of our customers, such as dealers and distributors. As of September 30, 2023 and December 31, 2022, we had gross accounts receivable of $ 163.8 million and $ 173.8 million, respectively, and an allowance for credit losses of $ 14.5 million and $ 13.7 million, respectively. |
Warranty
Warranty | 9 Months Ended |
Sep. 30, 2023 | |
Guarantees and Product Warranties [Abstract] | |
Warranty | NOTE 3. WARRANTY Most of our manufactured products are sold with warranties. Warranty periods, which vary by product components, generally range from 1 to 10 years ; however, the warranty period for a limited number of specifically identified components in certain applications is a lifetime. The majority of the products sold have warranties on components which range from 1 to 3 years . The amount charged to expense for warranties is based on management’s assessment of the cost per service call and the number of service calls expected to be incurred to satisfy warranty obligations on the current net sales. During the three months ended September 30, 2023, we recorded warranty expense at a rate of approximately 2.5 % of sales, which was higher than the rate during the three months ended October 1, 2022 of 1.8 % of sales. The increase in the warranty expense rate in the three months ended September 30, 2023, compared with the rate during the three months ended October 1, 2022, is a result of servicing a higher number of overall warranty claims in the third quarter of 2023, resulting in a higher level of service warranty expense, whereas the rate in the third quarter of 2022 was lower on average as there was a decrease in the use of higher-cost contract labor. During the nine months ended September 30, 2023, we recorded warranty expense at a rate of approximately 2.3 % of sales, which was slightly higher than the rate during the nine months ended October 1, 2022 of 2.0 % of sales. The following table summarizes current period charges, adjustments to previous estimates, as well as settlements, which represent actual costs incurred during the period for the three and nine months ended September 30, 2023 and October 1, 2022. The reserve is determined through assessing our claims history. Of the accrued warranty reserve of $ 16.0 million at September 30, 2023, $ 12.5 million is classified within accrued expenses as current liabilities on the condensed consolidated balance sheet at September 30, 2023, with the remainder classified within other liabilities as non-current liabilities. Of the accrued warranty reserve of $ 15.4 million at December 31, 2022, $ 12.4 million is classified within accrued expenses as current liabilities on the condensed consolidated balance sheet at December 31, 2022, with the remainder classified within other liabilities as non-current liabilities. Beginning Acquisition- Charged End of Accrued Warranty of Period Related to Expense Adjustments Settlements Period (in thousands) Three months ended September 30, 2023 $ 16,113 $ — $ 10,045 $ ( 524 ) $ ( 9,601 ) $ 16,033 Three months ended October 1, 2022 $ 16,151 $ ( 2,537 ) $ 6,880 $ 750 $ ( 5,763 ) $ 15,481 Nine months ended September 30, 2023 $ 15,388 $ — $ 27,050 $ 420 $ ( 26,825 ) $ 16,033 Nine months ended October 1, 2022 $ 13,504 $ ( 2,537 ) $ 22,872 $ 1,263 $ ( 19,621 ) $ 15,481 |
Inventories
Inventories | 9 Months Ended |
Sep. 30, 2023 | |
Inventory Disclosure [Abstract] | |
Inventories | NOTE 4. INVENTORIES Inventories consist principally of raw materials purchased for the manufacture of our products. We have limited finished goods inventory since the substantial majority of our products are custom, made-to-order and the revenue on these products, as well as the related cost, has been fully recognized upon completion of the manufacturing process. Finished goods inventory and work-in-progress costs include direct materials, direct labor, and overhead. All inventories are stated at the lower of cost (first-in, first-out method) or net realizable value. Inventories consisted of the following: September 30, December 31, 2023 2022 (in thousands) Raw materials $ 112,893 $ 109,679 Work-in-progress 3,281 916 Finished goods 1,768 2,077 Inventories $ 117,942 $ 112,672 |
Stock Based Compensation
Stock Based Compensation | 9 Months Ended |
Sep. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stock Based Compensation | NOTE 5. STOCK BASED-COMPENSATION Stock-Based Compensation Expense We record stock compensation expense over an equity award’s vesting period based on the award’s fair value at the date of grant. We recorded compensation expense for stock-based awards of $ 3.1 million for the three months ended September 30, 2023, of which $ 2.7 million is classified within selling, general and administrative expenses, and $ 2.7 million for the three months ended October 1, 2022, of which $ 2.3 million is classified within selling, general and administrative expenses. We recorded compensation expense for stock-based awards of $ 9.1 million for the nine months ended September 30, 2023, of which $ 7.8 million is classified within selling, general and administrative expenses, and $ 7.6 million for the nine months ended October 1, 2022, of which $ 6.6 million is classified within selling, general and administrative expenses. Portions of stock compensation expense not classified within selling, general and administrative expenses are classified within cost of sales. As of September 30, 2023, there was $ 22.6 million in total unrecognized compensation cost related entirely to restricted share awards, including time-vesting and those with performance conditions. These costs are expected to be recognized in earnings on an accelerated basis over the weighted average remaining vesting period of 2.2 years at September 30, 2023. All-Employee Grant On September 1, 2023, we issued 347,475 shares of restricted stock to all employees of the Company (the "All-Employee Grant") who do not participate in the Company’s long-term incentive plan. These shares are not subject to adjustment based on any performance or other criteria, but rather, cliff-vest on September 1, 2026, the third anniversary of the grant date, assuming the grantee is employed by the Company on that date. Employees were granted an amount of shares based on their years-of-service as of September 1, 2023, which included 50 shares to those employees who reached at least their one-year anniversary, 75 shares to those who reached at least their two-year anniversary, and 100 shares to those who reached at least their five-year anniversary. Any employee who had not yet reached their one-year anniversary as of September 1, 2023, will be eligible to receive a grant of 50 shares in a second grant to be made on September 1, 2024. The grant date fair value of the All-Employee Grant was $ 28.19 per share. |
Acquisition
Acquisition | 9 Months Ended |
Sep. 30, 2023 | |
Business Combinations [Abstract] | |
Acquisition | NOTE 6. ACQUISITION MARTIN DOORS On October 14, 2022 , we completed the acquisition of the Martin Doors brand. The acquisition was done by WWS Acquisition, LLC, a Missouri limited liability company, indirectly wholly-owned by PGT Innovations, Inc., which acquired all of the shares of stock of Martin Door Holdings, Inc., a Utah corporation, headquartered in Salt Lake City, Utah, a custom manufacturer of overhead garage doors and hardware serving the Western U.S. (the "Martin Acquisition"), pursuant to that certain Share Purchase Agreement dated as of October 14, 2022 (the “Martin Purchase Agreement”). The fair value of consideration transferred in the Martin Acquisition was $ 188.5 million, composed entirely of cash, including $ 185.0 million for purchase price and $ 3.5 million in working capital adjustments, of which $ 2.8 million was estimated and paid at closing, and approximately $ 0.7 million was paid in the first quarter of 2023 upon finalization of the net working capital calculation. The cash portion of the Martin Acquisition was financed with borrowings under the revolving credit facility ("New Revolving Credit Facility") established under fifth amendment ("Fifth Amendment") to the 2016 Credit Agreement ("2016 Credit Agreement due 2027") of $ 98.4 million, with the remaining $ 90.1 million, which includes the approximately $ 0.7 million final net working capital adjustment paid in the first quarter of 2023, funded with cash on hand. Generally, cash on hand for the Martin Acquisition was provided by cash generated through operations. Purchase Price Allocation The preliminary estimated fair value of assets acquired, liabilities assumed and subsequent adjustments to that allocation as of our reporting date, are as follows : Initial Adjustments to Preliminary Accounts receivable $ 6,653 $ ( 194 ) $ 6,459 Inventories 9,543 ( 364 ) 9,179 Contract assets, net 5,242 — 5,242 Prepaid expenses and other assets 90 — 90 Property and equipment 11,422 ( 1,196 ) 10,226 Operating lease right-of-use asset 12,259 — 12,259 Intangible assets 91,900 — 91,900 Total assets acquired 137,109 ( 1,754 ) 135,355 Accounts payable ( 2,482 ) — ( 2,482 ) Accrued and other liabilities ( 1,270 ) 283 ( 987 ) Deferred tax liabilities ( 23,604 ) — ( 23,604 ) Operating lease liability ( 12,259 ) — ( 12,259 ) Total liabilities assumed ( 39,615 ) 283 ( 39,332 ) Net assets acquired 97,494 ( 1,471 ) 96,023 Goodwill 90,300 2,215 92,515 Fair value of consideration transferred $ 187,794 $ 744 $ 188,538 Consideration: Cash $ 187,794 $ 744 $ 188,538 Fair value of consideration transferred $ 187,794 $ 744 $ 188,538 The fair value of certain working capital related items, including Martin’s accounts receivable, prepaid expenses and other assets, and accounts payable and accrued and other liabilities, approximated their book values at the date of the Martin Acquisition. The fair value of inventory was estimated by major category, at net realizable value, which we believe approximates the price a market participant could achieve in a current sale. The substantial majority of inventories at the acquisition date was comprised of raw materials. The fair value of property and equipment and remaining useful lives were estimated by management, with the assistance of a third-party valuation firm, using the cost approach. Valuations of the intangible assets were done using income and royalty relief approaches based on projections provided by management, which we consider to be Level 3 inputs, with the assistance of a third-party valuation firm. During the nine months of 2023, we made immaterial adjustments to our purchase allocation relating to accounts receivable, inventories, property and equipment, and accrued and other liabilities. We incurred acquisition costs totaling $ 4.8 million relating to legal expenses, representations and warranties insurance, diligence, accounting and other services in the Martin Acquisition in the year ended December 31, 2022. Because the Martin Acquisition was an acquisition of stock, Martin's assets and liabilities retain their tax bases at the time of the acquisition. Therefore, none of the identifiable intangible assets or goodwill acquired in the Martin Acquisition are deductible for tax purposes. As of September 30, 2023, goodwill is estimated to be $ 92.5 million. Martin's goodwill is included as part of the Western reporting unit. We believe Martin's goodwill relates to the expansion of our footprint in a key, strategic market we have identified as a geographic area of growth for our Company, as well as being a key component of our strategy to expand into adjacent building material products, other than windows and doors. Pro forma results of operations, as well as net sales and income attributable to the Martin Acquisition are not presented as it did not have a material impact on our results of operations. Valuation of Identified Intangible Assets The valuation of the identifiable intangible assets acquired in the Martin Acquisition and our estimate of their respective useful lives are as follows: Initial Preliminary Useful Life Valuation (in years) (in thousands) Trade name $ 24,000 indefinite Customer relationships 52,700 15 Customer-related backlog (amortized in 2022) 400 < 1 Developed technology 14,600 3 - 14 Non-compete-related intangible 200 5 Intangible assets $ 91,900 |
Net Income Per Common Share
Net Income Per Common Share | 9 Months Ended |
Sep. 30, 2023 | |
Earnings Per Share [Abstract] | |
Net Income Per Common Share | NOTE 7. NET INCOME PER COMMON SHARE Basic earnings per share (“EPS”) attributable to PGT Innovations, Inc. common stockholders for the nine months ended September 30, 2023, and the three and nine months ended October 1, 2022, is computed using the two-class method by dividing net income attributable to common shareholders, after deducting the redemption adjustment related to the redeemable noncontrolling interest, by the average number of common shares outstanding during the period. Diluted EPS attributable to PGT Innovations, Inc. common stockholders for the nine months ended September 30, 2023, and the three and nine months ended October 1, 2022, is computed using the two-class method by dividing net income attributable to common shareholders, after deducting the redemption adjustment related to the redeemable noncontrolling interest, by the average number of common shares outstanding, including the dilutive effect of common stock equivalents computed using the treasury stock method and the average share price during the period. Basic EPS for the three months ended September 30, 2023, is computed by dividing net income attributable to common shareholders by the average number of common shares outstanding during the period. Diluted EPS for the three months ended September 30, 2023, is computed by dividing net income attributable to common shareholders by the average number of common shares outstanding, including the dilutive effect of common stock equivalents computed using the treasury stock method and the average share price during the period. Anti-dilutive securities excluded from the calculation of weighted average shares outstanding for the three and nine months ended September 30, 2023 and October 1, 2022 were insignificant. The table below presents the calculation of EPS and a reconciliation of weighted average common shares used in the calculation of basic and diluted EPS: Three Months Ended Nine Months Ended September 30, October 1, September 30, October 1, 2023 2022 2023 2022 (in thousands, except per share amounts) Net income $ 39,207 $ 30,414 $ 105,388 $ 90,705 Less: Net income attributable to RNCI — ( 373 ) ( 1,101 ) ( 1,334 ) Net income attributable to the Company 39,207 30,041 104,287 89,371 Decrease (increase) in redemption value of RNCI — 271 ( 1,637 ) ( 1,514 ) Net income attributable to common shareholders $ 39,207 $ 30,312 $ 102,650 $ 87,857 Weighted-average number of common shares outstanding - Basic 58,012 59,964 58,796 59,908 Add: Dilutive shares from equity plans 279 438 296 293 Weighted-average number of common shares outstanding - Diluted 58,291 60,402 59,092 60,201 Net income per common share attributable to common shareholders: Basic $ 0.68 $ 0.51 $ 1.75 $ 1.47 Diluted $ 0.67 $ 0.50 $ 1.74 $ 1.46 |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 9 Months Ended |
Sep. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | NOTE 8. GOODWILL AND OTHER INTANGIBLE ASSETS Goodwill and intangible assets are as follows: Initial September 30, December 31, Useful Life 2023 2022 (in years) (in thousands) Goodwill $ 462,630 $ 460,415 indefinite Other intangible assets: Trade names (indefinite-lived) $ 225,018 $ 225,018 indefinite Customer relationships and customer-related assets 340,047 340,047 < 1 - 15 Trade name (amortizable) 22,200 22,200 15 Developed technology 20,500 20,500 3 - 14 Non-compete agreement 3,538 3,538 2 - 5 Software license 590 590 2 Less: Accumulated amortization ( 184,643 ) ( 164,841 ) Subtotal 202,232 222,034 Other intangible assets, net $ 427,250 $ 447,052 Goodwill at December 31, 2022 $ 460,415 Increase relating to Martin Acquisition net working capital payment 744 Net other measurement period changes in Martin Acquisition 1,471 Goodwill at September 30, 2023 $ 462,630 Estimated amortization of our amortizable intangible assets for future years is as follows: (in thousands) Total Remainder of 2023 $ 6,505 2024 25,971 2025 25,640 2026 21,241 2027 20,987 Thereafter 101,888 Total $ 202,232 Amortization expense relating to amortizable intangible assets for the three months ended September 30, 2023 and October 1, 2022, was $ 6.5 million and $ 5.8 million, respectively. Amortization expense relating to amortizable intangible assets for the nine months ended September 30, 2023 and October 1, 2022, was $ 19.8 million and $ 19.7 million, respectively. We perform our annual goodwill and indefinite-lived intangible asset impairment testing as of the first day of our fiscal fourth quarter of each year, and at interim periods if needed based on occurrence of triggering events. During the three and nine months ended September 30, 2023, we did not identify any events which we believe would trigger the need for tests for impairments of our indefinite-lived intangibles assets prior to our annual assessment date. However, in 2023, we have experienced challenging macro-economic conditions in the markets for our products of our Western segment. Although experiencing some improvement in the third quarter of 2023, should these conditions persist, when combined with potential increases in discount rates due to the rising interest rate environment in 2023, no assurances can be given that any future tests for impairment will indicate that it is more likely than not that the fair values of our indefinite-lived intangible assets will exceed their carrying values for the remainder of 2023. As of September 30, 2023 and December 31, 2022, the carrying value of our Southeast reporting unit goodwill is $ 228.3 million and $ 228.3 million, respectively. As of September 30, 2023 and December 31, 2022, the carrying value of our Western reporting unit goodwill is $ 234.3 million and $ 232.1 million, respectively. |
Long-Term Debt
Long-Term Debt | 9 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | NOTE 9. LONG-TERM DEBT September 30, December 31, 2023 2022 (in thousands) 2021 Senior Notes due 2029, maturing in October 2029 $ 575,000 $ 575,000 2016 Credit Agreement due 2027, maturing in October 2027 65,000 76,352 Long-term debt 640,000 651,352 Deferred financing costs ( 8,232 ) ( 9,218 ) Long-term debt, net $ 631,768 $ 642,134 2021 Senior Notes due 2029 On September 24, 2021, we completed the issuance of $ 575.0 million aggregate principal amount of 4.375 % senior notes (“2021 Senior Notes due 2029”), issued at 100 % of their principal amount. The 2021 Senior Notes due 2029 are jointly and severally and fully and unconditionally guaranteed on a senior unsecured basis by each of the Company’s existing and future restricted subsidiaries, other than any restricted subsidiary of the Company that does not guarantee the existing senior secured credit facilities or any permitted refinancing thereof. The 2021 Senior Notes due 2029 are senior unsecured obligations of the Company and the guarantors, respectively, and rank pari passu in right of payment with all existing and future senior debt and senior to all existing and future subordinated debt of the Company and the guarantors. The 2021 Senior Notes due 2029 were offered under Rule 144A of the Securities Act, and in transactions outside the United States under Regulation S of the Securities Act, and have not been, and will not be, registered under the Securities Act. The 2021 Senior Notes due 2029 mature on October 1, 2029 . Interest on the 2021 Senior Notes due 2029 is payable semi-annually, in arrears, which began on April 1, 2022, with interest accruing at a rate of 4.375 % per annum from September 24, 2021. We incurred financing costs relating to bank fees and professional services costs relating to the offering and issuance of the 2021 Senior Notes due 2029 totaling $ 8.7 million, which included a 1.25 % lender spread on the total principal value of the 2021 Senior Notes due 2029, or $ 7.2 million, and $ 1.5 million of other costs, all of which are being amortized under the effective interest method. As of September 30, 2023, the face value of debt outstanding under the 2021 Senior Notes due 2029 was $ 575.0 million, and accrued interest was $ 12.6 million. Proceeds from the 2021 Senior Notes due 2029 were used, in part, to redeem in full the $ 425.0 million of 2018 Senior Notes due 2026, including the related fees, costs, and the prepayment call premium of $ 21.5 million, representing 5.063 % of the $ 425.0 million face value then outstanding, prepay the outstanding term loan borrowings under the then existing 2016 Credit Agreement of $ 60.0 million and the related fees and costs, and finance our acquisition of Anlin (the "Anlin Acquisition") in the fourth quarter of 2021. The indenture for the 2021 Senior Notes due 2029 gives us the option to redeem some or all of the 2021 Senior Notes due 2029 at the redemption prices and on the terms specified in the indenture governing the 2021 Senior Notes due 2029. The indenture governing the 2021 Senior Notes due 2029 does not require us to make any mandatory redemptions or sinking fund payments. However, upon the occurrence of a change of control, as defined in the indenture, the Company is required to offer to repurchase the notes at 101 % of the aggregate principal amount thereof, plus accrued and unpaid interest, if any, to the date of purchase. We also may make optional redemptions at various premiums including a make-whole call at the then current treasury rate plus 50 basis points prior to October 1, 2024, then 102.188 % on or after August 1, 2024, 101.094 % on or after August 2025, then at 100.000 % on or after August 1, 2026. The indenture for the 2021 Senior Notes due 2029 includes certain covenants limiting the ability of the Company and any guarantors to, (i) incur additional indebtedness; (ii) pay dividends on or make distributions in respect of capital stock or make certain other restricted payments or investments; (iii) enter into agreements that restrict distributions from restricted subsidiaries; (iv) sell or otherwise dispose of assets; (v) enter into transactions with affiliates; (vi) create or incur liens; merge, consolidate or sell all or substantially all of the Company’s assets; (vii) place restrictions on the ability of subsidiaries to pay dividends or make other payments to the Company; and (viii) designate the Company’s subsidiaries as unrestricted subsidiaries. These covenants are subject to a number of important exceptions and qualifications. 2016 Credit Agreement due 2027 On February 16, 2016 , we entered into the 2016 Credit Agreement. From 2016 to 2022, we entered into various amendments to the 2016 Credit Agreement, including the amendment in October 2022, as described below. On October 13, 2022, the Company entered into the Fifth Amendment of the 2016 Credit Agreement due 2027. The Fifth Amendment provides for, among other things, the New Revolving Credit Facility, which is a new five-year revolving credit facility in an aggregate principal amount of $ 250.0 million. The New Revolving Credit Facility refinances and replaces the previously existing $ 80.0 million revolving credit facility under the 2016 Credit Agreement due 2027. The Company’s obligations under the 2016 Credit Agreement due 2027 continue to be secured by substantially all of its and its direct and indirect subsidiaries’ assets, and is senior in position to the 2021 Senior Notes due 2029. Contemporaneously with the Fifth Amendment, the Company drew down $ 160.0 million of funds available under the New Revolving Credit Facility. Proceeds totaling $ 61.6 million from the $ 160.0 million drawdown were used to repay then existing term loan borrowings under the 2016 Credit Agreement totaling $ 60.0 million, plus accrued interest and fees totaling $ 1.6 million. As discussed below, the remaining $ 98.4 million of proceeds were used to fund the cash portion of the Martin Acquisition. The Company has made net repayments of the $ 160.0 million of initial borrowings under the New Revolving Credit Facility totaling $ 95.0 million through September 30, 2023. Interest on borrowings under the New Revolving Credit Facility is payable either quarterly or at the expiration of any Secured Overnight Financing Rate ("SOFR") interest period applicable thereto. Borrowings under the New Revolving Credit Facility accrue interest at a rate equal to, at our option, a base rate (with a floor of 100 basis points) plus a percentage spread (ranging from 0.75 % to 1.75 %) based on our first lien net leverage ratio or SOFR (with a floor of 0 basis points) plus a percentage spread (ranging from 1.75 % to 2.75 %) based on our first lien net leverage ratio. After giving effect to the Fifth Amendment, we pay a quarterly commitment fee on the unused portion of the New Revolving Credit Facility equal to a percentage spread (ranging from 0.25 % to 0.35 %) based on our first lien net leverage ratio. The Fifth Amendment also modifies the application of the financial covenant under the 2016 Credit Agreement such that testing will occur on a quarterly basis, and requires we maintain a first lien net leverage ratio of not more than 4.00 to 1.00 . We were in compliance with this covenant as of September 30, 2023. The 2016 Credit Agreement due 2027 includes certain covenants limiting the ability of the Company and any guarantors to, (i) incur additional indebtedness; (ii) pay dividends on or make distributions in respect of capital stock or make certain other restricted payments or investments; (iii) sell or otherwise dispose of assets; (iv) enter into transactions with affiliates; (v) create or incur liens; (vi) merge, consolidate or sell all or substantially all of the Company’s assets; (vii) place restrictions on the ability of subsidiaries to pay dividends or make other payments to the Company; (viii) make investments and (ix) designate the Company’s subsidiaries as unrestricted subsidiaries. These covenants are subject to a number of important exceptions and qualifications. As of September 30, 2023, borrowings outstanding under the $ 250.0 million New Revolving Credit Facility totaled $ 65.0 million, and accrued interest was $ 252 thousand. There were $ 8.5 million in letters of credit outstanding. Availability under the New Revolving Credit Facility at September 30, 2023 totaled $ 176.5 million. The weighted average all-in interest rate for borrowings under the existing revolving credit facility of the 2016 Credit Agreement due 2027 was 7.01 % at September 30, 2023, and 6.07 % at December 31, 2022. The Martin Acquisition was financed in part with the $ 250.0 million available under the New Revolving Credit Facility provided by the Fifth Amendment of our 2016 Credit Agreement due 2027, under which we drew $ 160.0 million on October 14, 2022, the proceeds of which were used to pay $ 98.4 million of the $ 187.8 million total fair value of consideration transferred at closing, and $ 61.6 million to prepay our $ 60.0 million existing term loans under the Fourth Amendment of our 2016 Credit Agreement due 2027, plus $ 1.6 million in fees, costs and accrued interest. The remainder of the total fair value of consideration transferred at closing, totaling $ 89.4 million, was funded with cash on hand previously generated through operations. Deferred Financing Costs Activity relating to deferred financing costs, which is classified as a reduction of the carrying value of long-term debt, for the nine months ended September 30, 2023, is as follows: (in thousands) Total At beginning of year $ 9,218 Less: Amortization expense ( 986 ) At end of period $ 8,232 Estimated amortization expense relating to deferred financing costs for the years indicated as of September 30, 2023, is as follows: (in thousands) Total Remainder of 2023 $ 334 2024 1,366 2025 1,442 2026 1,466 2027 1,440 Thereafter 2,184 Total $ 8,232 The contractual future maturities of long-term debt outstanding, as of September 30, 2023, are as follows (at face value): (in thousands) Remainder of 2023 $ — 2024 — 2025 — 2026 — 2027 65,000 Thereafter 575,000 Total $ 640,000 |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments And Contingencies | NOTE 10. COMMITMENTS AND CONTINGENCIES Legal Proceedings Our Company is a party to various legal proceedings in the ordinary course of business. Although the ultimate disposition of those proceedings cannot be predicted with certainty, management believes the outcome of any claim that is pending or threatened, either individually or in the aggregate, will not have a material adverse effect on our operations, financial position or cash flows. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 11. INCOME TAXES The income tax provision for interim periods is comprised of tax on ordinary income provided at the most recent estimated annual effective tax rate, adjusted for the tax effect of discrete items. We estimate the annual effective tax rate quarterly based on the forecasted annual pre-tax results of our operations. The tax effects of items that are unrelated to current year ordinary income are recognized entirely as discrete items in the period identified, including share-based compensation, changes in tax laws and adjustments to the actual liability determined upon filing tax returns. We had income tax expense of $ 13.7 million for the three months ended September 30, 2023, compared with income tax expense of $ 10.1 million for the three months ended October 1, 2022. Our effective tax rate for the three months ended September 30, 2023, was 25.9 % , compared with 24.9 % for the three months ended October 1, 2022. We had income tax expense of $ 36.4 million for the nine months ended September 30, 2023, compared with income tax expense of $ 29.9 million for the nine months ended October 1, 2022. Our effective tax rate for the nine months ended September 30, 2023, was 25.7 % , compared with 24.8 % for the nine months ended October 1, 2022. Our income tax expense for the five months ended May 26, 2023, the date we acquired the 25 % share of Eco we previously did not own, and the nine months ended October 1, 2022, includes income tax expenses of $ 0.9 million and $ 1.0 million, respectively, relating to our 75 % share of the pre-tax earnings of Eco. Income tax expense in the three and nine months ended September 30, 2023, and October 1, 2022, includes discrete items of income tax expense relating to excess taxes from the lapses of restrictions on stock awards and adjustments to tax expense relating to research credit true-ups we made during the third quarter of each period. Income tax expense in the nine months ended October 1, 2022 also includes a refund from the state of Florida, received by the Company in the second quarter of 2022, relating to excess taxes received by the state in 2021, which was $ 584 thousand, benefiting tax expense by $ 462 thousand, net of its Federal tax effect. Excluding discrete items of income tax, the effective tax rates for the three months ended September 30, 2023 and October 1, 2022, would have been an income tax expense rate of 26.7 % and 26.2 % , respectively. Excluding discrete items of income tax, the effective tax rates for the nine months ended September 30, 2023 and October 1, 2022, would have been an income tax expense rate of 26.2 % and 25.7 % , respectively. During the first nine months of 2023, we made payments of estimated taxes totaling $ 39.7 million. During the first nine months of 2022, we made payments of estimated taxes, net of refunds, totaling $ 20.9 million. |
Fair Value
Fair Value | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair Value | NOTE 12. FAIR VALUE Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. A three-tier fair value hierarchy is used to prioritize the inputs used in measuring fair value. The hierarchy gives the highest priority to unadjusted quoted market prices in active markets for identical assets or liabilities and the lowest priority to unobservable inputs. A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. The three levels of the fair value hierarchy are as follows: Level 1 Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. Level 2 Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 3 Prices or valuations that require inputs that are both significant to the fair value measurement and unobservable. The accounting guidance concerning fair value allows us to elect to measure financial instruments at fair value and report the changes in fair value through earnings. This election can only be made at certain specified dates and is irrevocable once made. We do not have a policy regarding specific assets or liabilities to elect to measure at fair value, but rather we make the election on an instrument-by-instrument basis as they are acquired or incurred. During the three or nine months ended September 30, 2023 or October 1, 2022, we did no t make any transfers between Level 2 and Level 3 financial assets. We conduct reviews on a quarterly basis to verify pricing, assess liquidity, and determine if significant inputs have changed that would impact the fair value hierarchy disclosure. Fair Value of Financial Instruments Our financial instruments include cash and cash equivalents, accounts and notes receivable, and accounts payable and accrued liabilities, whose carrying amounts approximate their fair values due to their short-term nature. Our financial instruments also include borrowings under the 2016 Credit Agreement due 2027, as well as the 2021 Senior Notes due 2029, all classified as long-term debt. The fair value of borrowings under the 2016 Credit Agreement due 2027 approximated its carrying value due to its variable-rate nature, and were approximately $ 65.0 million and $ 76.4 million as of September 30, 2023, and December 31, 2022, respectively. The fair value of the 2021 Senior Notes due 2029 is based on debt with similar terms and characteristics and was approximately $ 531.9 million as of September 30, 2023, compared to a principal outstanding value of $ 575.0 million, and the fair value was approximately $ 480.8 million as of December 31, 2022, compared to a principal outstanding value of $ 575.0 million. Items Measured at Fair Value The following are measured in the condensed consolidated financial statements at fair value on a recurring basis and are categorized in the table below based upon the lowest level of significant input to the valuation (in thousands): Fair Value Measurements Assets (Liabilities) Quoted Significant Prices in Other Significant Active Observable Unobservable Markets Inputs Inputs September 30, 2023 Total (Level 1) (Level 2) (Level 3) Description Aluminum contracts $ 443 $ — $ 443 $ — MTP contracts ( 24 ) — ( 24 ) — $ 419 $ — $ 419 $ — Fair Value Measurements Assets (Liabilities) Quoted Significant Prices in Other Significant Active Observable Unobservable Markets Inputs Inputs December 31, 2022 Total (Level 1) (Level 2) (Level 3) Description Aluminum contracts $ — $ — $ — $ — MTP contracts 300 — 300 — $ 300 $ — $ 300 $ — See Note 13 for a description of the methods and assumptions used in the determination of the fair values of our aluminum forward and Midwest Transaction Premium (“MTP”) contracts, as well as the basis for classifying these assets and liabilities as Level 2. |
Derivatives
Derivatives | 9 Months Ended |
Sep. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | NOTE 13. DERIVATIVES Aluminum Contracts and Midwest Transaction Premium We enter into aluminum forward contracts to hedge the fluctuations in the purchase price of aluminum extrusion we use in production, and to hedge the fluctuations in the price of the delivery component of our aluminum extrusion purchases, known as the Midwest Transaction Premium, or MTP. Our contracts are designated as cash flow hedges since they are highly effective in offsetting changes in the cash flows attributable to forecasted purchases of aluminum and the related MTP. We record our aluminum hedge contracts at fair value, based on trading values for aluminum forward contracts. Aluminum forward contracts identical to those held by us trade on the London Metal Exchange (“LME”). The LME provides a transparent forum and is the world’s largest center for the trading of futures contracts for non-ferrous metals. The prices are used by the metals industry worldwide as the basis for contracts for the movement of physical material throughout the production cycle. Based on this high degree of volume and liquidity in the LME, we believe the valuation price at any measurement date for contracts with identical terms as to prompt date, trade date and trade price as those we hold at any time represents a contract’s exit price to be used for purposes of determining fair value. We record our MTP hedge contracts at fair value, based on the Platts MW US Transaction price per pound assessment, which has been a benchmark for decades in the North American aluminum industry. Platts surveys the North American market daily to capture trades, bids and offers on a delivered Midwest basis. Data is normalized to reflect the typical price per pound between the largest number of market participants, for delivery within 7 to 30 days from date of publication, net- 30-day payment terms, for typical order quantities, chemistries and freight allowances. The survey is extensive and encompasses both domestic and offshore producers, traders and brokers that are varied in scope. Based on the extensive nature of this pricing mechanism, we believe the Platts MW US Transaction price at any time represents a contract’s exit price to be used for purposes of determining fair value. Guidance under the Financial Instruments Topic 825 of the Codification requires us to record our hedge contracts at fair value and consider our credit risk for contracts in a liability position, and our counter-party’s credit risk for contracts in an asset position, in determining fair value. We assess our counter-party’s risk of non-performance when measuring the fair value of financial instruments in an asset position by evaluating their financial position, including cash on hand, as well as their credit ratings. We assess our risk of non-performance when measuring the fair value of our financial instruments in a liability position by evaluating our credit ratings, our current liquidity including cash on hand and availability under our revolving credit facility as compared to the maturities of the financial liabilities. We do not offset the estimated fair value amounts recognized for derivatives executed with the same counterparty under the same master netting arrangement. At September 30, 2023, the fair value of our aluminum forward contracts was in an asset position of $ 0.4 million. We had 18 outstanding forward contracts for the purchase of 13.2 million pounds of aluminum through June 2024, at an average price of $ 1.04 per pound, which excludes the Midwest premium, with maturity dates of between one month and nine months . At September 30, 2023, the fair value of our MTP contracts was de minimis. We had 1 outstanding MTP contract to hedge the Platts US MW Transaction price per pound for the delivery of 2.5 million pounds of aluminum through December 2023, at an average price of $ 0.21 per pound, with a maturity date of three months . We assessed the risk of non-performance of the Company and our counterparty to these contracts, as applicable, and determined it was immaterial and, therefore, did not record any adjustment to their fair values as of September 30, 2023. We assess the effectiveness of our aluminum forward and MTP contracts by comparing the change in the fair value of the forward contract to the change in the expected cash to be paid for the hedged item. The effective portion of the gain or loss on our aluminum forward contracts is reported as a component of accumulated other comprehensive income and is reclassified into earnings in the same line item in the income statement as the hedged item in the same period or periods during which the transaction affects earnings. We expect the amount of accumulated other comprehensive income of approximately $ 0.4 million in the accompanying condensed consolidated balance sheet as of September 30, 2023, to be reclassified to earnings within the next twelve months. The fair values of our aluminum hedges and MTP contracts are classified in the accompanying condensed consolidated balance sheets at September 30, 2023 and December 31, 2022, as follows (in thousands): Derivative Assets Derivative Liabilities September 30, 2023 September 30, 2023 Derivatives designated as hedging instruments under Subtopic 815-20: Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivative instruments: Aluminum contracts Other current assets $ 473 Accrued liabilities $ ( 30 ) MTP contracts Other current assets — Accrued liabilities ( 24 ) Aluminum contracts Other assets — Other liabilities — MTP contracts Other assets — Other liabilities — Total derivative instruments Total derivative assets $ 473 Total derivative liabilities $ ( 54 ) Derivative Assets Derivative Liabilities December 31, 2022 December 31, 2022 Derivatives designated as hedging instruments under Subtopic 815-20: Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivative instruments: Aluminum contracts Other current assets $ — Accrued liabilities $ — MTP contracts Other current assets 300 Accrued liabilities — Aluminum contracts Other assets — Other liabilities — MTP contracts Other assets — Other liabilities — Total derivative instruments Total derivative assets $ 300 Total derivative liabilities $ — The ending accumulated balance for the aluminum forward and MTP contracts included in accumulated other comprehensive income, net of tax, was an accumulated other comprehensive income of $ 0.3 million as of September 30, 2023, and was an accumulated other comprehensive income of $ 0.2 million at December 31, 2022. The income tax effects of accumulated comprehensive income are released as amounts are reclassified out of accumulated comprehensive income at the income tax rate used at the time those income tax effects were provided, which generally represents our blended statutory income tax rate. The following represents the gains (losses) on derivative financial instruments, and their classifications within the accompanying condensed consolidated financial statements, for the three and nine months ended September 30, 2023 and October 1, 2022 (in thousands): Derivatives in Cash Flow Hedging Relationships Amount of Gain or (Loss) Location of Gain or (Loss) Amount of Gain or (Loss) Three Months Ended Three Months Ended September 30, October 1, September 30, October 1, 2023 2022 2023 2022 Aluminum contracts $ 1,027 $ ( 2,012 ) Cost of sales $ ( 302 ) $ ( 3,185 ) MTP contracts $ ( 135 ) $ ( 621 ) Cost of sales $ 13 $ 769 Derivatives in Cash Flow Hedging Relationships Amount of Gain or (Loss) Location of Gain or (Loss) Amount of Gain or (Loss) Nine Months Ended Nine Months Ended September 30, October 1, September 30, October 1, 2023 2022 2023 2022 Aluminum contracts $ 78 $ ( 9,427 ) Cost of sales $ ( 365 ) $ ( 597 ) MTP contracts $ ( 89 ) $ ( 60 ) Cost of sales $ 235 $ 3,941 We classify cash flows related to derivative instruments as operating activities in the condensed consolidated statements of cash flows. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 9 Months Ended |
Sep. 30, 2023 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income | NOTE 14. ACCUMULATED OTHER COMPREHENSIVE INCOME The following table shows the components of accumulated other comprehensive income for the three and nine months ended September 30, 2023 and October 1, 2022 (in thousands): Three months ended September 30, 2023 Aluminum MTP (in thousands) Contracts Contracts Total Balance at July 1, 2023 $ ( 658 ) $ 92 $ ( 566 ) Increase (decrease) in fair value of derivatives 1,027 ( 135 ) 892 Amounts reclassified from accumulated other comprehensive income 302 ( 13 ) 289 Tax effect ( 342 ) 38 ( 304 ) Net current-period other comprehensive income (loss) 987 ( 110 ) 877 Balance at September 30, 2023 $ 329 $ ( 18 ) $ 311 Nine months ended September 30, 2023 Aluminum MTP (in thousands) Contracts Contracts Total Balance at December 31, 2022 $ — $ 223 $ 223 Increase (decrease) in fair value of derivatives 78 ( 89 ) ( 11 ) Amounts reclassified from accumulated other comprehensive income 365 ( 235 ) 130 Tax effect ( 114 ) 83 ( 31 ) Net current-period other comprehensive income (loss) 329 ( 241 ) 88 Balance at September 30, 2023 $ 329 $ ( 18 ) $ 311 Three months ended October 1, 2022 Aluminum MTP (in thousands) Contracts Contracts Total Balance at July 2, 2022 $ ( 3,846 ) $ 1,478 $ ( 2,368 ) Decrease in fair value of derivatives ( 2,012 ) ( 621 ) ( 2,633 ) Amounts reclassified from accumulated other comprehensive income (loss) 3,185 ( 769 ) 2,416 Tax effect ( 279 ) 335 56 Net current-period other comprehensive income (loss) 894 ( 1,055 ) ( 161 ) Balance at October 1, 2022 $ ( 2,952 ) $ 423 $ ( 2,529 ) Nine months ended October 1, 2022 Aluminum MTP (in thousands) Contracts Contracts Total Balance at January 1, 2022 $ 3,610 $ 3,396 $ 7,006 Decrease in fair value of derivatives ( 9,427 ) ( 60 ) ( 9,487 ) Amounts reclassified from accumulated other comprehensive income (loss) 597 ( 3,941 ) ( 3,344 ) Tax effect 2,268 1,028 3,296 Net current-period other comprehensive loss ( 6,562 ) ( 2,973 ) ( 9,535 ) Balance at October 1, 2022 $ ( 2,952 ) $ 423 $ ( 2,529 ) |
Segments
Segments | 9 Months Ended |
Sep. 30, 2023 | |
Segment Reporting [Abstract] | |
Segments | NOTE 15. SEGMENTS We have two reportable segments: the Southeast segment and the Western segment. The Southeast reporting segment, which is also an operating segment, is composed of sales from our facilities in Florida. The Western reporting segment, also an operating segment, is composed of sales from our facilities in Arizona, Utah and California. Centralized financial and operational oversight, including resource allocation and assessment of performance on an income from operations basis, is performed by our CEO, whom we have determined to be our chief operating decision maker (“CODM”), with oversight by the Board of Directors. The following table represents summary financial data attributable to our operating segments for the three and nine months ended September 30, 2023, and October 1, 2022. Results of the Western segment for the three and nine months ended September 30, 2023 include the results of Martin, acquired October 14, 2022, whereas such results are not included for the three and nine month ended October 1, 2022. Corporate overhead has been allocated to each segment using an allocation method we believe is reasonable (in thousands): Three Months Ended Nine Months Ended September 30, October 1, September 30, October 1, 2023 2022 2023 2022 Net sales: Southeast segment $ 302,942 $ 288,246 $ 872,964 $ 867,505 Western segment 96,989 97,591 288,730 283,515 Total net sales $ 399,931 $ 385,837 $ 1,161,694 $ 1,151,020 Income from operations: Southeast segment $ 43,465 $ 30,037 $ 123,940 $ 96,607 Western segment 16,435 17,366 43,224 45,132 Restructuring costs and charges, net (1) 794 — ( 1,722 ) — Total income from operations 60,694 47,403 165,442 141,739 Interest expense, net 7,772 6,889 23,642 21,124 Total income before income taxes $ 52,922 $ 40,514 $ 141,800 $ 120,615 (1) For the nine months ended September 30, 2023, restructuring costs and charges, net, totaling $ 1.7 million relates to the Southeast segment income from operations, which includes a gain of $ 0.8 million in the three months ended September 30, 2023 relating to the forgiveness of a portion of the operating lease liability by the landlord of the Charlotte, NC location, which we satisfied in the third quarter of 2023. See Note 18 for additional information. Depreciation expense for the three months ended September 30, 2023 and October 1, 2022, was $ 6.9 million and $ 6.7 million for our Southeast segment, respectively, and $ 1.9 million and $ 1.6 million for our Western segment, respectively. Depreciation expense for the nine months ended September 30, 2023 and October 1, 2022, was $ 20.6 million and $ 20.6 million for our Southeast segment, respectively, and $ 6.0 million and $ 4.7 million for our Western segment, respectively. Amortization expense for the three months ended September 30, 2023 and October 1, 2022, was $ 2.0 million, and $ 2.7 million for our Southeast segment, respectively, and $ 4.5 million and $ 3.1 million for our Western segment, respectively. Amortization expense for the nine months ended September 30, 2023 and October 1, 2022, was $ 6.0 million, and $ 8.1 million for our Southeast segment, respectively, and $ 13.8 million and $ 11.6 million for our Western segment, respectively. Total assets of our Southeast segment as of September 30, 2023 and December 31, 2022 were $ 908.3 million and $ 909.6 million, respectively. Total assets of our Western segment as of September 30, 2023 and December 31, 2022 were $ 700.4 million and $ 730.6 million, respectively. |
Reedemable Non-Controlling Inte
Reedemable Non-Controlling Interest | 9 Months Ended |
Sep. 30, 2023 | |
Noncontrolling Interest [Abstract] | |
Reedemable Non-Controlling Interest | NOTE 16. REEDEMABLE NON-CONTROLLING INTEREST On February 1, 2021, we completed an acquisition of a 75 % ownership stake in Eco. The seller of Eco obtained the remaining equity interest in the newly formed company, Eco Enterprises. The seller’s redeemable non-controlling interest ("RNCI") was initially established at fair value. The agreement between PGT Innovations, Inc. and the seller provided the Company with a call right for seller’s equity interest during the third year following the acquisition date. If the Company did not exercise its right to call by the third anniversary, the agreement provided the seller with a put right which could have been exercised during the 15 -day period following the third anniversary. Effective on May 26, 2023, the Company exercised its call-right to purchase the remaining 25 % ownership stake in Eco it previously did not own. The redemption price of the remaining 25 % was calculated by the Company pursuant to the operating agreement based on the performance metric included therein, and was determined to be $ 37.5 million, which was agreed with by the seller. Subsequent to this redemption, the Company's ownership of Eco Enterprises is now 100 % . The following table presents the changes in the Company’s redeemable non-controlling interest for the nine months ended September 30, 2023, and October 1, 2022: Nine Months Ended September 30, October 1, (in thousands) 2023 2022 Balance at beginning of period $ 34,721 $ 36,863 Net income attributable to redeemable non-controlling interest 1,101 1,334 Change in value of redeemable non-controlling interest 1,637 1,514 Redemption of redeemable non-controlling interest ( 37,459 ) — Balance at end of period $ — $ 39,711 |
Shareholders' Equity
Shareholders' Equity | 9 Months Ended |
Sep. 30, 2023 | |
Equity [Abstract] | |
Shareholders' Equity | NOTE 17. SHAREHOLDERS' EQUITY 2023 Share Repurchase Program On February 7, 2023, the Company announced that its Board of Directors approved a new, share repurchase program which authorizes the Company to purchase up to $ 250.0 million of its common stock. This program permits the Company to purchase shares of its common stock from time to time through open-market purchases, in privately negotiated transactions, or by other means, including through the use of trading plans intended to qualify under Rule 10b5-1 under the Securities Exchange Act of 1934, as amended, in accordance with applicable securities laws and other restrictions. During the nine months ended September 30, 2023, we repurchased a total of 3,040,280 shares under this program at a total cost of $ 75.1 million, which excludes the 1 % excise tax imposed on corporate stock buy-backs by the Inflation Reduction Act of 2022. The timing and total amount of stock repurchases will depend upon business, economic and market conditions, corporate and regulatory requirements, prevailing stock prices, and other considerations. The share repurchase program had an initial term of 3 years , through February 3, 2026, and may be suspended or discontinued at any time, and does not obligate the company to acquire any amount of common stock. Shareholder Rights Plan On March 30, 2023, we announced that our Board of Directors had unanimously approved the adoption of a limited-duration shareholder rights plan (the “Rights Plan”) which includes the declaration of a dividend distribution of one right (each, a “Right”) for each outstanding share of the Company’s common stock to stockholders of record as of the close of business on April 10, 2023. Each Right entitles the registered holder to purchase from the Company 0.001 of a share of Series A Participating Preferred Stock, par value $ 0.01 per share, of the Company at an exercise price of $ 90.00 , subject to adjustment. The complete terms of the Rights are set forth in a Rights Agreement, dated as of March 30, 2023, between the Company and American Stock Transfer & Trust Company, LLC, as rights agent (the "Rights Agreement"). The Rights expire on the earliest of (1) March 30, 2024, unless such date is extended, or (2) the redemption or exchange of the Rights as described above. The Board adopted the Rights Plan in response to a likely accumulation of the Company's shares by a strategic investor. The intent of the Rights Plan is to reduce the likelihood that any entity, person or group gains control of the Company through open market accumulation of the Company's shares without paying all other shareholders an appropriate control premium or without providing the Board sufficient time to make informed judgments and take actions that it believes are in the best interests of its other shareholders. Under the Rights Plan, the rights will become exercisable if an entity, person or group acquires beneficial ownership of 10 % or more of the Company's outstanding common stock in a transaction not approved by the Board. In the event that the Rights become exercisable due to the triggering ownership threshold being crossed, each Right will entitle its holder (other than the person, entity or group triggering the Rights Plan, whose Rights will become void and will not be exercisable) to purchase, at the then-current exercise price, additional shares of common stock having a then-current market value of twice the exercise price of the Right. |
Restructuring Costs and Charges
Restructuring Costs and Charges,, Net | 9 Months Ended |
Sep. 30, 2023 | |
Restructuring Charges [Abstract] | |
Restructuring Costs and Charges, Net | NOTE 18. RESTRUCTURING COSTS AND CHARGES, NET During the second quarter of 2023, the Company’s management approved a plan to exit the North Carolina market relating to its NewSouth brand. As a result of this decision, the Company determined to close its NewSouth showrooms in Raleigh-Durham and Charlotte, North Carolina, which resulted in restructuring costs and charges, net, totaling $ 1.7 million in the nine months ended September 30, 2023, which includes a gain of $ 0.8 million in the three months ended September 30, 2023 relating to the forgiveness of a portion of the operating lease liability by the landlord of the Charlotte, NC location, which we satisfied in the third quarter of 2023. Of the $ 1.7 million, after consideration of the lease liability forgiveness, restructuring costs and charges, net, includes $ 2.0 million of total impairments of the right-of-use assets of the leases of the Raleigh-Durham and Charlotte, North Carolina showroom facilities, and $ 0.4 relating to write-offs of the related leasehold improvements. The remainder represents personnel-related costs, which were paid by the end of the 2023 second quarter. |
Description of Business and B_2
Description of Business and Basis of Presentation (Policies) | 9 Months Ended |
Sep. 30, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation These condensed consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and do not include all the information and footnotes required by United States Generally Accepted Accounting Principles (“GAAP”) for complete financial statements. Our condensed consolidated financial statements are unaudited; however, in the opinion of management, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair presentation have been included. Operating results for the interim periods are not necessarily indicative of the results that may be expected for the remainder of the current year or for any future periods. The Company’s fiscal three and nine months ended September 30, 2023 and October 1, 2022 consisted of 13 and 39 weeks, respectively. The condensed consolidated balance sheet as of December 31, 2022, is derived from the audited consolidated financial statements, but does not include all disclosures required by GAAP. The condensed consolidated balance sheet as of December 31, 2022, and the unaudited condensed consolidated financial statements as of and for the periods ended September 30, 2023, and October 1, 2022, should be read in conjunction with the more detailed audited consolidated financial statements for the year ended December 31, 2022, included in the Company’s most recent Annual Report on Form 10-K. The accounting policies used in the preparation of these unaudited condensed consolidated financial statements are consistent with the accounting policies described in the Notes to Consolidated Financial Statements included in the Company’s Annual Report on Form 10-K. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could materially differ from those estimates. We have two reportable segments: the Southeast segment and the Western segment. The Southeast reporting segment, which is also an operating segment, is composed of sales from our facilities in Florida. The Western reporting segment, also an operating segment, is composed of sales from our facilities in Arizona, Utah and California. See Note 15 for segment disclosures. |
Revenue Recognition and Contr_2
Revenue Recognition and Contracts with Customers (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Net Sales by Reporting Segment, Product Category and Market | The following table provides information about our net sales by reporting segment, product category and market for the three and nine months ended September 30, 2023 and October 1, 2022: Three Months Ended Nine Months Ended September 30, October 1, September 30, October 1, Disaggregation of revenue (in millions) : 2023 2022 2023 2022 Reporting segment: Southeast $ 302.9 $ 288.2 $ 873.0 $ 867.5 Western 97.0 97.6 288.7 283.5 Total net sales $ 399.9 $ 385.8 $ 1,161.7 $ 1,151.0 Product category: Impact-resistant $ 251.8 $ 227.7 $ 716.6 $ 688.5 Nonimpact-resistant 148.1 158.1 445.1 462.5 Total net sales $ 399.9 $ 385.8 $ 1,161.7 $ 1,151.0 Market: New construction $ 149.9 $ 160.9 $ 453.8 $ 484.3 Repair and remodel 250.0 224.9 707.9 666.7 Total net sales $ 399.9 $ 385.8 $ 1,161.7 $ 1,151.0 |
Warranty (Tables)
Warranty (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Guarantees and Product Warranties [Abstract] | |
Summary of Current Period Charges, Adjustments to Previous Estimates, Settlements representing Actual Costs Incurred with regard to Accrued Warranty | The following table summarizes current period charges, adjustments to previous estimates, as well as settlements, which represent actual costs incurred during the period for the three and nine months ended September 30, 2023 and October 1, 2022. Beginning Acquisition- Charged End of Accrued Warranty of Period Related to Expense Adjustments Settlements Period (in thousands) Three months ended September 30, 2023 $ 16,113 $ — $ 10,045 $ ( 524 ) $ ( 9,601 ) $ 16,033 Three months ended October 1, 2022 $ 16,151 $ ( 2,537 ) $ 6,880 $ 750 $ ( 5,763 ) $ 15,481 Nine months ended September 30, 2023 $ 15,388 $ — $ 27,050 $ 420 $ ( 26,825 ) $ 16,033 Nine months ended October 1, 2022 $ 13,504 $ ( 2,537 ) $ 22,872 $ 1,263 $ ( 19,621 ) $ 15,481 |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Inventory Disclosure [Abstract] | |
Summary of Inventories | Inventories consisted of the following: September 30, December 31, 2023 2022 (in thousands) Raw materials $ 112,893 $ 109,679 Work-in-progress 3,281 916 Finished goods 1,768 2,077 Inventories $ 117,942 $ 112,672 |
Acquisition (Tables)
Acquisition (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Business Acquisition [Line Items] | |
Schedule of Fair Value of Assets and Liabilities Assumed | : Initial Adjustments to Preliminary Accounts receivable $ 6,653 $ ( 194 ) $ 6,459 Inventories 9,543 ( 364 ) 9,179 Contract assets, net 5,242 — 5,242 Prepaid expenses and other assets 90 — 90 Property and equipment 11,422 ( 1,196 ) 10,226 Operating lease right-of-use asset 12,259 — 12,259 Intangible assets 91,900 — 91,900 Total assets acquired 137,109 ( 1,754 ) 135,355 Accounts payable ( 2,482 ) — ( 2,482 ) Accrued and other liabilities ( 1,270 ) 283 ( 987 ) Deferred tax liabilities ( 23,604 ) — ( 23,604 ) Operating lease liability ( 12,259 ) — ( 12,259 ) Total liabilities assumed ( 39,615 ) 283 ( 39,332 ) Net assets acquired 97,494 ( 1,471 ) 96,023 Goodwill 90,300 2,215 92,515 Fair value of consideration transferred $ 187,794 $ 744 $ 188,538 Consideration: Cash $ 187,794 $ 744 $ 188,538 Fair value of consideration transferred $ 187,794 $ 744 $ 188,538 |
Schedule for Valuation of Identifiable Intangible Assets Acquired and Estimate of Useful Lives | The valuation of the identifiable intangible assets acquired in the Martin Acquisition and our estimate of their respective useful lives are as follows: Initial Preliminary Useful Life Valuation (in years) (in thousands) Trade name $ 24,000 indefinite Customer relationships 52,700 15 Customer-related backlog (amortized in 2022) 400 < 1 Developed technology 14,600 3 - 14 Non-compete-related intangible 200 5 Intangible assets $ 91,900 |
Net Income Per Common Share (Ta
Net Income Per Common Share (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Earnings Per Share [Abstract] | |
Calculation of EPS and Reconciliation of Weighted Average Common Shares Used in Calculation of Basic and Diluted EPS | The table below presents the calculation of EPS and a reconciliation of weighted average common shares used in the calculation of basic and diluted EPS: Three Months Ended Nine Months Ended September 30, October 1, September 30, October 1, 2023 2022 2023 2022 (in thousands, except per share amounts) Net income $ 39,207 $ 30,414 $ 105,388 $ 90,705 Less: Net income attributable to RNCI — ( 373 ) ( 1,101 ) ( 1,334 ) Net income attributable to the Company 39,207 30,041 104,287 89,371 Decrease (increase) in redemption value of RNCI — 271 ( 1,637 ) ( 1,514 ) Net income attributable to common shareholders $ 39,207 $ 30,312 $ 102,650 $ 87,857 Weighted-average number of common shares outstanding - Basic 58,012 59,964 58,796 59,908 Add: Dilutive shares from equity plans 279 438 296 293 Weighted-average number of common shares outstanding - Diluted 58,291 60,402 59,092 60,201 Net income per common share attributable to common shareholders: Basic $ 0.68 $ 0.51 $ 1.75 $ 1.47 Diluted $ 0.67 $ 0.50 $ 1.74 $ 1.46 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill and Intangible Assets Net | Goodwill and intangible assets are as follows: Initial September 30, December 31, Useful Life 2023 2022 (in years) (in thousands) Goodwill $ 462,630 $ 460,415 indefinite Other intangible assets: Trade names (indefinite-lived) $ 225,018 $ 225,018 indefinite Customer relationships and customer-related assets 340,047 340,047 < 1 - 15 Trade name (amortizable) 22,200 22,200 15 Developed technology 20,500 20,500 3 - 14 Non-compete agreement 3,538 3,538 2 - 5 Software license 590 590 2 Less: Accumulated amortization ( 184,643 ) ( 164,841 ) Subtotal 202,232 222,034 Other intangible assets, net $ 427,250 $ 447,052 Goodwill at December 31, 2022 $ 460,415 Increase relating to Martin Acquisition net working capital payment 744 Net other measurement period changes in Martin Acquisition 1,471 Goodwill at September 30, 2023 $ 462,630 |
Estimated Amortization for Future Fiscal Year | Estimated amortization of our amortizable intangible assets for future years is as follows: (in thousands) Total Remainder of 2023 $ 6,505 2024 25,971 2025 25,640 2026 21,241 2027 20,987 Thereafter 101,888 Total $ 202,232 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt | September 30, December 31, 2023 2022 (in thousands) 2021 Senior Notes due 2029, maturing in October 2029 $ 575,000 $ 575,000 2016 Credit Agreement due 2027, maturing in October 2027 65,000 76,352 Long-term debt 640,000 651,352 Deferred financing costs ( 8,232 ) ( 9,218 ) Long-term debt, net $ 631,768 $ 642,134 |
Activity Relating to Deferred Financing Costs | Activity relating to deferred financing costs, which is classified as a reduction of the carrying value of long-term debt, for the nine months ended September 30, 2023, is as follows: (in thousands) Total At beginning of year $ 9,218 Less: Amortization expense ( 986 ) At end of period $ 8,232 |
Estimated Amortization Expense Relating to Deferred Financing Costs | Estimated amortization expense relating to deferred financing costs for the years indicated as of September 30, 2023, is as follows: (in thousands) Total Remainder of 2023 $ 334 2024 1,366 2025 1,442 2026 1,466 2027 1,440 Thereafter 2,184 Total $ 8,232 |
Contractual Future Maturities of Long-Term Debt | The contractual future maturities of long-term debt outstanding, as of September 30, 2023, are as follows (at face value): (in thousands) Remainder of 2023 $ — 2024 — 2025 — 2026 — 2027 65,000 Thereafter 575,000 Total $ 640,000 |
Fair Value (Tables)
Fair Value (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value on Recurring Basis | The following are measured in the condensed consolidated financial statements at fair value on a recurring basis and are categorized in the table below based upon the lowest level of significant input to the valuation (in thousands): Fair Value Measurements Assets (Liabilities) Quoted Significant Prices in Other Significant Active Observable Unobservable Markets Inputs Inputs September 30, 2023 Total (Level 1) (Level 2) (Level 3) Description Aluminum contracts $ 443 $ — $ 443 $ — MTP contracts ( 24 ) — ( 24 ) — $ 419 $ — $ 419 $ — Fair Value Measurements Assets (Liabilities) Quoted Significant Prices in Other Significant Active Observable Unobservable Markets Inputs Inputs December 31, 2022 Total (Level 1) (Level 2) (Level 3) Description Aluminum contracts $ — $ — $ — $ — MTP contracts 300 — 300 — $ 300 $ — $ 300 $ — |
Derivatives (Tables)
Derivatives (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Summary of Fair Value of Hedges | The fair values of our aluminum hedges and MTP contracts are classified in the accompanying condensed consolidated balance sheets at September 30, 2023 and December 31, 2022, as follows (in thousands): Derivative Assets Derivative Liabilities September 30, 2023 September 30, 2023 Derivatives designated as hedging instruments under Subtopic 815-20: Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivative instruments: Aluminum contracts Other current assets $ 473 Accrued liabilities $ ( 30 ) MTP contracts Other current assets — Accrued liabilities ( 24 ) Aluminum contracts Other assets — Other liabilities — MTP contracts Other assets — Other liabilities — Total derivative instruments Total derivative assets $ 473 Total derivative liabilities $ ( 54 ) Derivative Assets Derivative Liabilities December 31, 2022 December 31, 2022 Derivatives designated as hedging instruments under Subtopic 815-20: Balance Sheet Location Fair Value Balance Sheet Location Fair Value Derivative instruments: Aluminum contracts Other current assets $ — Accrued liabilities $ — MTP contracts Other current assets 300 Accrued liabilities — Aluminum contracts Other assets — Other liabilities — MTP contracts Other assets — Other liabilities — Total derivative instruments Total derivative assets $ 300 Total derivative liabilities $ — |
Gains (Losses) on Derivative Financial Instruments | The following represents the gains (losses) on derivative financial instruments, and their classifications within the accompanying condensed consolidated financial statements, for the three and nine months ended September 30, 2023 and October 1, 2022 (in thousands): Derivatives in Cash Flow Hedging Relationships Amount of Gain or (Loss) Location of Gain or (Loss) Amount of Gain or (Loss) Three Months Ended Three Months Ended September 30, October 1, September 30, October 1, 2023 2022 2023 2022 Aluminum contracts $ 1,027 $ ( 2,012 ) Cost of sales $ ( 302 ) $ ( 3,185 ) MTP contracts $ ( 135 ) $ ( 621 ) Cost of sales $ 13 $ 769 Derivatives in Cash Flow Hedging Relationships Amount of Gain or (Loss) Location of Gain or (Loss) Amount of Gain or (Loss) Nine Months Ended Nine Months Ended September 30, October 1, September 30, October 1, 2023 2022 2023 2022 Aluminum contracts $ 78 $ ( 9,427 ) Cost of sales $ ( 365 ) $ ( 597 ) MTP contracts $ ( 89 ) $ ( 60 ) Cost of sales $ 235 $ 3,941 We classify cash flows related to derivative instruments as operating activities in the condensed consolidated statements of cash flows. |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Equity [Abstract] | |
Components of Accumulated Other Comprehensive Income | The following table shows the components of accumulated other comprehensive income for the three and nine months ended September 30, 2023 and October 1, 2022 (in thousands): Three months ended September 30, 2023 Aluminum MTP (in thousands) Contracts Contracts Total Balance at July 1, 2023 $ ( 658 ) $ 92 $ ( 566 ) Increase (decrease) in fair value of derivatives 1,027 ( 135 ) 892 Amounts reclassified from accumulated other comprehensive income 302 ( 13 ) 289 Tax effect ( 342 ) 38 ( 304 ) Net current-period other comprehensive income (loss) 987 ( 110 ) 877 Balance at September 30, 2023 $ 329 $ ( 18 ) $ 311 Nine months ended September 30, 2023 Aluminum MTP (in thousands) Contracts Contracts Total Balance at December 31, 2022 $ — $ 223 $ 223 Increase (decrease) in fair value of derivatives 78 ( 89 ) ( 11 ) Amounts reclassified from accumulated other comprehensive income 365 ( 235 ) 130 Tax effect ( 114 ) 83 ( 31 ) Net current-period other comprehensive income (loss) 329 ( 241 ) 88 Balance at September 30, 2023 $ 329 $ ( 18 ) $ 311 Three months ended October 1, 2022 Aluminum MTP (in thousands) Contracts Contracts Total Balance at July 2, 2022 $ ( 3,846 ) $ 1,478 $ ( 2,368 ) Decrease in fair value of derivatives ( 2,012 ) ( 621 ) ( 2,633 ) Amounts reclassified from accumulated other comprehensive income (loss) 3,185 ( 769 ) 2,416 Tax effect ( 279 ) 335 56 Net current-period other comprehensive income (loss) 894 ( 1,055 ) ( 161 ) Balance at October 1, 2022 $ ( 2,952 ) $ 423 $ ( 2,529 ) Nine months ended October 1, 2022 Aluminum MTP (in thousands) Contracts Contracts Total Balance at January 1, 2022 $ 3,610 $ 3,396 $ 7,006 Decrease in fair value of derivatives ( 9,427 ) ( 60 ) ( 9,487 ) Amounts reclassified from accumulated other comprehensive income (loss) 597 ( 3,941 ) ( 3,344 ) Tax effect 2,268 1,028 3,296 Net current-period other comprehensive loss ( 6,562 ) ( 2,973 ) ( 9,535 ) Balance at October 1, 2022 $ ( 2,952 ) $ 423 $ ( 2,529 ) |
Segments (Tables)
Segments (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Segment Reporting [Abstract] | |
Summary of Financial Data Attributable to Operating Segments | The following table represents summary financial data attributable to our operating segments for the three and nine months ended September 30, 2023, and October 1, 2022. Results of the Western segment for the three and nine months ended September 30, 2023 include the results of Martin, acquired October 14, 2022, whereas such results are not included for the three and nine month ended October 1, 2022. Corporate overhead has been allocated to each segment using an allocation method we believe is reasonable (in thousands): Three Months Ended Nine Months Ended September 30, October 1, September 30, October 1, 2023 2022 2023 2022 Net sales: Southeast segment $ 302,942 $ 288,246 $ 872,964 $ 867,505 Western segment 96,989 97,591 288,730 283,515 Total net sales $ 399,931 $ 385,837 $ 1,161,694 $ 1,151,020 Income from operations: Southeast segment $ 43,465 $ 30,037 $ 123,940 $ 96,607 Western segment 16,435 17,366 43,224 45,132 Restructuring costs and charges, net (1) 794 — ( 1,722 ) — Total income from operations 60,694 47,403 165,442 141,739 Interest expense, net 7,772 6,889 23,642 21,124 Total income before income taxes $ 52,922 $ 40,514 $ 141,800 $ 120,615 (1) For the nine months ended September 30, 2023, restructuring costs and charges, net, totaling $ 1.7 million relates to the Southeast segment income from operations, which includes a gain of $ 0.8 million in the three months ended September 30, 2023 relating to the forgiveness of a portion of the operating lease liability by the landlord of the Charlotte, NC location, which we satisfied in the third quarter of 2023. See Note 18 for additional information. |
Reedemable Non-Controlling In_2
Reedemable Non-Controlling Interest (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Noncontrolling Interest [Abstract] | |
Summary of Changes in Redeemable Non-Controlling Interest | The following table presents the changes in the Company’s redeemable non-controlling interest for the nine months ended September 30, 2023, and October 1, 2022: Nine Months Ended September 30, October 1, (in thousands) 2023 2022 Balance at beginning of period $ 34,721 $ 36,863 Net income attributable to redeemable non-controlling interest 1,101 1,334 Change in value of redeemable non-controlling interest 1,637 1,514 Redemption of redeemable non-controlling interest ( 37,459 ) — Balance at end of period $ — $ 39,711 |
Description of Business and B_3
Description of Business and Basis of Presentation - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2023 Plant Segment | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Number of reportable segments | Segment | 2 |
Glass Tempering and Laminating Plant [Member] | North Venice [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Number of plants | 2 |
Insulation Glass Plants [Member] | North Venice [Member] | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Number of plants | 1 |
Revenue Recognition and Contr_3
Revenue Recognition and Contracts with Customers - Additional Information (Detail) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 USD ($) | Oct. 01, 2022 USD ($) | Sep. 30, 2023 USD ($) Segment | Oct. 01, 2022 USD ($) | Dec. 31, 2022 USD ($) | |
Disaggregation Of Revenue [Line Items] | |||||
Number of reportable segments | Segment | 2 | ||||
Net sales | $ 399,931 | $ 385,837 | $ 1,161,694 | $ 1,151,020 | |
Contract liabilities | 27,000 | 27,000 | $ 39,100 | ||
Contract assets, net | 53,948 | 53,948 | 47,919 | ||
Accounts receivable, gross | 163,800 | 163,800 | 173,800 | ||
Allowance for credit losses | 14,500 | 14,500 | 13,700 | ||
Accrued Liabilities [Member] | |||||
Disaggregation Of Revenue [Line Items] | |||||
Contract liabilities | 20,700 | 20,700 | 33,400 | ||
Reduction to Contract Assets [Member] | |||||
Disaggregation Of Revenue [Line Items] | |||||
Contract liabilities | 6,300 | 6,300 | $ 5,700 | ||
Western Segment [Member] | |||||
Disaggregation Of Revenue [Line Items] | |||||
Net sales | 96,989 | 97,591 | 288,730 | 283,515 | |
Western Segment [Member] | Volume Products [Member] | Passes at Point in Time [Member] | |||||
Disaggregation Of Revenue [Line Items] | |||||
Net sales | $ 20,900 | $ 26,600 | $ 61,700 | $ 82,600 |
Revenue Recognition and Contr_4
Revenue Recognition and Contracts with Customers - Net Sales by Reporting Segment, Product Category and Market (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Oct. 01, 2022 | Sep. 30, 2023 | Oct. 01, 2022 | |
Disaggregation Of Revenue [Line Items] | ||||
Net sales | $ 399,931 | $ 385,837 | $ 1,161,694 | $ 1,151,020 |
Southeast Segment [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 302,942 | 288,246 | 872,964 | 867,505 |
Western Segment [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 96,989 | 97,591 | 288,730 | 283,515 |
Impact-Resistant [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 251,800 | 227,700 | 716,600 | 688,500 |
Nonimpact-Resistant [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 148,100 | 158,100 | 445,100 | 462,500 |
New Construction [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | 149,900 | 160,900 | 453,800 | 484,300 |
Repair and Remodel [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales | $ 250,000 | $ 224,900 | $ 707,900 | $ 666,700 |
Warranty - Additional Informati
Warranty - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Oct. 01, 2022 | Sep. 30, 2023 | Oct. 01, 2022 | Dec. 31, 2022 | |
Product Warranty Liability [Line Items] | |||||
Warranty expense, average rate | 2.50% | 1.80% | 2.30% | 2% | |
Warranty expense rate description | The increase in the warranty expense rate in the three months ended September 30, 2023, compared with the rate during the three months ended October 1, 2022, is a result of servicing a higher number of overall warranty claims in the third quarter of 2023, resulting in a higher level of service warranty expense, whereas the rate in the third quarter of 2022 was lower on average as there was a decrease in the use of higher-cost contract labor. | ||||
Accrued warranty reserve | $ 16 | $ 16 | $ 15.4 | ||
Accrued Expenses [Member] | |||||
Product Warranty Liability [Line Items] | |||||
Accrued warranty reserve, current | $ 12.5 | $ 12.5 | $ 12.4 | ||
Minimum [Member] | |||||
Product Warranty Liability [Line Items] | |||||
Warranty periods | 1 year | ||||
Warranty period of the majority of products sold | 1 year | ||||
Maximum [Member] | |||||
Product Warranty Liability [Line Items] | |||||
Warranty periods | 10 years | ||||
Warranty period of the majority of products sold | 3 years |
Warranty - Summary of Current P
Warranty - Summary of Current Period Charges, Adjustments to Previous Estimates, Settlements representing Actual Costs Incurred with regard to Accrued Warranty (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Oct. 01, 2022 | Sep. 30, 2023 | Oct. 01, 2022 | |
Guarantees and Product Warranties [Abstract] | ||||
Accrued Warranty, Beginning of Period | $ 16,113 | $ 16,151 | $ 15,388 | $ 13,504 |
Accrued Warranty, Acquisition-Related | (2,537) | (2,537) | ||
Accrued Warranty, Charged to Expense | 10,045 | 6,880 | 27,050 | 22,872 |
Accrued Warranty, Adjustments | (524) | 750 | 420 | 1,263 |
Accrued Warranty, Settlements | (9,601) | (5,763) | (26,825) | (19,621) |
Accrued Warranty, End of Period | $ 16,033 | $ 15,481 | $ 16,033 | $ 15,481 |
Inventories - Summary of Invent
Inventories - Summary of Inventories (Detail) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 112,893 | $ 109,679 |
Work-in-progress | 3,281 | 916 |
Finished goods | 1,768 | 2,077 |
Inventories | $ 117,942 | $ 112,672 |
Stock Based-Compensation - Addi
Stock Based-Compensation - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 01, 2023 | Sep. 30, 2023 | Oct. 01, 2022 | Sep. 30, 2023 | Oct. 01, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Compensation expense for stock based awards | $ 3,100 | $ 2,700 | $ 9,054 | $ 7,638 | |
Restricted Stock [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Total unrecognized compensation | 22,600 | $ 22,600 | |||
Weighted-average period | 2 years 2 months 12 days | ||||
All-Employee Grant [Member] | Restricted Stock [Member] | Employees [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Restricted stock awards | 347,475 | ||||
Weighted average fair value of common stock | $ 28.19 | ||||
All-Employee Grant [Member] | Restricted Stock [Member] | Employees [Member] | Less Than One year Anniversary [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Restricted stock awards | 50 | ||||
All-Employee Grant [Member] | Restricted Stock [Member] | Employees [Member] | One Year Anniversary [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Restricted stock awards | 50 | ||||
All-Employee Grant [Member] | Restricted Stock [Member] | Employees [Member] | Two Year Anniversary [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Restricted stock awards | 75 | ||||
All-Employee Grant [Member] | Restricted Stock [Member] | Employees [Member] | Minimum [Member] | Five Year Anniversary [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Restricted stock awards | 100 | ||||
Selling, General and Administrative Expenses [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Compensation expense for stock based awards | $ 2,700 | $ 2,300 | $ 7,800 | $ 6,600 |
Acquisition - Additional Inform
Acquisition - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||||
Oct. 14, 2022 | Oct. 13, 2022 | Apr. 01, 2023 | Sep. 30, 2023 | Dec. 31, 2022 | |
Business Acquisition [Line Items] | |||||
Goodwill | $ 462,630 | $ 460,415 | |||
Martin Acquisition [Member] | |||||
Business Acquisition [Line Items] | |||||
Fair value of consideration | $ 188,538 | ||||
Cash payment to acquire business | $ 188,538 | $ 98,400 | |||
Business combination, effective date of acquisition | Oct. 14, 2022 | ||||
Business combination, acquisition related costs | $ 4,800 | ||||
Goodwill | 92,515 | $ 92,500 | |||
Martin Acquisition [Member] | SPA [Member] | |||||
Business Acquisition [Line Items] | |||||
Fair value of consideration | 188,500 | ||||
Working capital adjustments | 3,500 | ||||
Enterprise value | 185,000 | ||||
Payment for estimated net working capital | 2,800 | $ 700 | |||
Martin Acquisition [Member] | 2016 Credit Agreement Due 2027 [Member] | |||||
Business Acquisition [Line Items] | |||||
Cash payment to acquire business | $ 98,400 | ||||
Martin Acquisition [Member] | Cash On Hand [Member] | |||||
Business Acquisition [Line Items] | |||||
Cash payment to acquire business | 89,400 | ||||
Martin Acquisition [Member] | Cash On Hand [Member] | 2016 Credit Agreement Due 2027 [Member] | |||||
Business Acquisition [Line Items] | |||||
Cash payment to acquire business | $ 90,100 | ||||
Net working capital adjustment paid | $ 700 |
Acquisition - Schedule of Fair
Acquisition - Schedule of Fair Value of Assets and Liabilities Assumed (Detail) - USD ($) $ in Thousands | Oct. 14, 2022 | Oct. 13, 2022 | Sep. 30, 2023 | Dec. 31, 2022 |
Business Acquisition [Line Items] | ||||
Goodwill | $ 462,630 | $ 460,415 | ||
Martin Acquisition [Member] | ||||
Business Acquisition [Line Items] | ||||
Accounts receivable | $ 6,459 | |||
Inventories | 9,179 | |||
Contract assets, net | 5,242 | |||
Prepaid expenses and other assets | 90 | |||
Property and equipment | 10,226 | |||
Operating lease right-of-use asset | 12,259 | |||
Intangible assets | 91,900 | |||
Total assets acquired | 135,355 | |||
Accounts payable | (2,482) | |||
Accrued and other liabilities | (987) | |||
Deferred tax liabilities | (23,604) | |||
Operating lease liability | (12,259) | |||
Total liabilities assumed | (39,332) | |||
Net assets acquired | 96,023 | |||
Goodwill | 92,515 | $ 92,500 | ||
Fair value of consideration transferred | 188,538 | |||
Cash | 188,538 | $ 98,400 | ||
Fair value of consideration transferred | 188,538 | |||
Martin Acquisition [Member] | Previously Reported [Member] | ||||
Business Acquisition [Line Items] | ||||
Accounts receivable | 6,653 | |||
Inventories | 9,543 | |||
Contract assets, net | 5,242 | |||
Prepaid expenses and other assets | 90 | |||
Property and equipment | 11,422 | |||
Operating lease right-of-use asset | 12,259 | |||
Intangible assets | 91,900 | |||
Total assets acquired | 137,109 | |||
Accounts payable | (2,482) | |||
Accrued and other liabilities | (1,270) | |||
Deferred tax liabilities | (23,604) | |||
Operating lease liability | (12,259) | |||
Total liabilities assumed | (39,615) | |||
Net assets acquired | 97,494 | |||
Goodwill | 90,300 | |||
Fair value of consideration transferred | 187,794 | |||
Cash | 187,794 | |||
Fair value of consideration transferred | 187,794 | |||
Martin Acquisition [Member] | Adjustments to Allocation [Member] | ||||
Business Acquisition [Line Items] | ||||
Accounts receivable | (194) | |||
Inventories | (364) | |||
Property and equipment | (1,196) | |||
Total assets acquired | (1,754) | |||
Accrued and other liabilities | 283 | |||
Total liabilities assumed | 283 | |||
Net assets acquired | (1,471) | |||
Goodwill | 2,215 | |||
Fair value of consideration transferred | 744 | |||
Cash | 744 | |||
Fair value of consideration transferred | $ 744 |
Acquisition - Schedule for Valu
Acquisition - Schedule for Valuation of Identifiable Intangible Assets Acquired and Estimate of Useful Lives (Detail) - Martin Acquisition [Member] $ in Thousands | Oct. 14, 2022 USD ($) |
Business Acquisition [Line Items] | |
Preliminary Valuation Amount | $ 91,900 |
Trade names [Member] | |
Business Acquisition [Line Items] | |
Preliminary Valuation Amount | 24,000 |
Customer relationships [Member] | |
Business Acquisition [Line Items] | |
Preliminary Valuation Amount | $ 52,700 |
Initial Useful Life (in years) | 15 years |
Customer-related backlog [Member] | |
Business Acquisition [Line Items] | |
Preliminary Valuation Amount | $ 400 |
Customer-related backlog [Member] | Maximum [Member] | |
Business Acquisition [Line Items] | |
Initial Useful Life (in years) | 1 year |
Developed technology [Member] | |
Business Acquisition [Line Items] | |
Preliminary Valuation Amount | $ 14,600 |
Developed technology [Member] | Minimum [Member] | |
Business Acquisition [Line Items] | |
Initial Useful Life (in years) | 3 years |
Developed technology [Member] | Maximum [Member] | |
Business Acquisition [Line Items] | |
Initial Useful Life (in years) | 14 years |
Non-compete-related intangible [Member] | |
Business Acquisition [Line Items] | |
Preliminary Valuation Amount | $ 200 |
Initial Useful Life (in years) | 5 years |
Net Income Per Common Share - C
Net Income Per Common Share - Calculation of EPS and Reconciliation of Weighted Average Common Shares Used in Calculation of Basic and Diluted EPS (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Oct. 01, 2022 | Sep. 30, 2023 | Oct. 01, 2022 | |
Earnings Per Share [Abstract] | ||||
Net income | $ 39,207 | $ 30,414 | $ 105,388 | $ 90,705 |
Less: Net income attributable to RNCI | (373) | (1,101) | (1,334) | |
Net income attributable to the Company | 39,207 | 30,041 | 104,287 | 89,371 |
Decrease (increase) in redemption value of RNCI | 271 | (1,637) | (1,514) | |
Net income attributable to common shareholders | $ 39,207 | $ 30,312 | $ 102,650 | $ 87,857 |
Weighted-average number of common shares outstanding - Basic | 58,012 | 59,964 | 58,796 | 59,908 |
Add: Dilutive shares from equity plans | 279 | 438 | 296 | 293 |
Weighted-average number of common shares outstanding - Diluted | 58,291 | 60,402 | 59,092 | 60,201 |
Net income per common share attributable to common shareholders: | ||||
Basic | $ 0.68 | $ 0.51 | $ 1.75 | $ 1.47 |
Diluted | $ 0.67 | $ 0.5 | $ 1.74 | $ 1.46 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets - Schedule of Goodwill and Intangible Assets Net (Detail) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2023 | Dec. 31, 2022 | |
Indefinite-lived Intangible Assets [Line Items] | ||
Less: Accumulated amortization | $ (184,643) | $ (164,841) |
Subtotal | 202,232 | 222,034 |
Other intangible assets, net | 427,250 | 447,052 |
Goodwill at December 31, 2022 | 460,415 | |
Goodwill at September 30, 2023 | 462,630 | |
Martin Acquisition [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Increase relating to Martin Acquisition net working capital payment | 744 | |
Net other measurement period changes in Martin Acquisition | 1,471 | |
Goodwill at September 30, 2023 | 92,500 | |
Trade names [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Intangible assets | 225,018 | 225,018 |
Customer relationships and customer-related assets [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Intangible assets | $ 340,047 | 340,047 |
Customer relationships and customer-related assets [Member] | Minimum [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Initial Useful Life (in years) | 1 year | |
Customer relationships and customer-related assets [Member] | Maximum [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Initial Useful Life (in years) | 15 years | |
Trade name [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Intangible assets | $ 22,200 | 22,200 |
Initial Useful Life (in years) | 15 years | |
Developed technology [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Intangible assets | $ 20,500 | 20,500 |
Developed technology [Member] | Minimum [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Initial Useful Life (in years) | 3 years | |
Developed technology [Member] | Maximum [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Initial Useful Life (in years) | 14 years | |
Non-compete agreement [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Intangible assets | $ 3,538 | 3,538 |
Non-compete agreement [Member] | Minimum [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Initial Useful Life (in years) | 2 years | |
Non-compete agreement [Member] | Maximum [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Initial Useful Life (in years) | 5 years | |
Software license [Member] | ||
Indefinite-lived Intangible Assets [Line Items] | ||
Intangible assets | $ 590 | $ 590 |
Initial Useful Life (in years) | 2 years |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets - Estimated Amortization for Future Fiscal Year (Detail) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remainder of 2023 | $ 6,505 | |
2024 | 25,971 | |
2025 | 25,640 | |
2026 | 21,241 | |
2027 | 20,987 | |
Thereafter | 101,888 | |
Subtotal | $ 202,232 | $ 222,034 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Oct. 01, 2022 | Sep. 30, 2023 | Oct. 01, 2022 | Dec. 31, 2022 | |
Indefinite-lived Intangible Assets [Line Items] | |||||
Amortization of intangible assets | $ 6,500 | $ 5,800 | $ 19,800 | $ 19,700 | |
Goodwill | 462,630 | 462,630 | $ 460,415 | ||
Southeast Segment [Member] | |||||
Indefinite-lived Intangible Assets [Line Items] | |||||
Goodwill | 228,300 | 228,300 | 228,300 | ||
Western Segment [Member] | |||||
Indefinite-lived Intangible Assets [Line Items] | |||||
Goodwill | $ 234,300 | $ 234,300 | $ 232,100 |
Long Term Debt - Schedule of Lo
Long Term Debt - Schedule of Long-term Debt (Detail) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Debt Instrument [Line Items] | ||
Long-term debt | $ 640,000 | $ 651,352 |
Deferred financing costs | (8,232) | (9,218) |
Long-term debt, net | 631,768 | 642,134 |
2016 Credit Agreement due 2027, Maturing in October 2027 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | 65,000 | 76,352 |
2021 Senior Notes due 2029, Maturing in October 2029 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 575,000 | $ 575,000 |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Detail) - USD ($) $ in Thousands | 9 Months Ended | ||||||
Oct. 14, 2022 | Oct. 13, 2022 | Sep. 24, 2021 | Feb. 16, 2016 | Sep. 30, 2023 | Dec. 31, 2022 | Oct. 31, 2019 | |
Line of Credit Facility [Line Items] | |||||||
Face value of debt outstanding | $ 640,000 | $ 651,352 | |||||
Letters of credit outstanding | 8,500 | ||||||
Martin Acquisition [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Cash payment to acquire business | $ 188,538 | $ 98,400 | |||||
Fair value of consideration | 188,538 | ||||||
Cash On Hand [Member] | Martin Acquisition [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Cash payment to acquire business | 89,400 | ||||||
Previously Reported [Member] | Martin Acquisition [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Cash payment to acquire business | 187,794 | ||||||
Fair value of consideration | 187,794 | ||||||
SPA [Member] | Martin Acquisition [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Fair value of consideration | 188,500 | ||||||
Fair value of consideration | 187,800 | ||||||
Term Loans [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Payments of term loan | 61,600 | ||||||
Prepayments of term loan | 60,000 | ||||||
Fees and costs relating to prepayment of term loan | 1,600 | ||||||
2016 Credit Agreement Due 2024 [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Prepayment of term loan | 60,000 | ||||||
2016 Credit Agreement Due 2027 [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Face value of debt outstanding | $ 65,000 | $ 76,352 | |||||
Debt instrument, covenant compliance | the ability of the Company and any guarantors to, (i) incur additional indebtedness; (ii) pay dividends on or make distributions in respect of capital stock or make certain other restricted payments or investments; (iii) sell or otherwise dispose of assets; (iv) enter into transactions with affiliates; (v) create or incur liens; (vi) merge, consolidate or sell all or substantially all of the Company’s assets; (vii) place restrictions on the ability of subsidiaries to pay dividends or make other payments to the Company; (viii) make investments and (ix) designate the Company’s subsidiaries as unrestricted subsidiaries. These covenants are subject to a number of important exceptions and qualifications. | ||||||
Credit agreement date | Feb. 16, 2016 | ||||||
2016 Credit Agreement Due 2027 [Member] | Martin Acquisition [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Cash payment to acquire business | 98,400 | ||||||
2016 Credit Agreement Due 2027 [Member] | Cash On Hand [Member] | Martin Acquisition [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Cash payment to acquire business | 90,100 | ||||||
2016 Credit Agreement Due 2027 [Member] | Maximum [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Threshold net leverage ratio | 4 | ||||||
2016 Credit Agreement Due 2027 [Member] | Minimum [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Threshold net leverage ratio | 1 | ||||||
New Revolving Credit Facility [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Face value of debt outstanding | 250,000 | $ 65,000 | |||||
Proceeds from lines of credit | $ 160,000 | ||||||
Repayments of term loan | 95,000 | ||||||
Accrued interest | 252 | ||||||
Term of credit facility | 5 years | ||||||
Credit available under the credit facility | $ 176,500 | ||||||
New Revolving Credit Facility [Member] | Martin Acquisition [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Face value of debt outstanding | 250,000 | ||||||
Proceeds from lines of credit | 160,000 | ||||||
Cash payment to acquire business | $ 98,400 | ||||||
New Revolving Credit Facility [Member] | Maximum [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Credit facility amortization percentage | 0.35% | ||||||
New Revolving Credit Facility [Member] | Minimum [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Credit facility amortization percentage | 0.25% | ||||||
New Revolving Credit Facility [Member] | Base Rate [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Basis points, floor | 100% | ||||||
New Revolving Credit Facility [Member] | Base Rate [Member] | Maximum [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Basis spread on LIBOR | 1.75% | ||||||
New Revolving Credit Facility [Member] | Base Rate [Member] | Minimum [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Basis spread on LIBOR | 0.75% | ||||||
New Revolving Credit Facility [Member] | SOFR [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Basis points, floor | 0% | ||||||
New Revolving Credit Facility [Member] | SOFR [Member] | Maximum [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Basis spread on LIBOR | 2.75% | ||||||
New Revolving Credit Facility [Member] | SOFR [Member] | Minimum [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Basis spread on LIBOR | 1.75% | ||||||
Term Loan Facility [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Proceeds from lines of credit | $ 160,000 | ||||||
Proceeds of term loan | 61,600 | ||||||
Repayments of term loan | 60,000 | ||||||
Fees and costs relating to prepayment of term loan | $ 1,600 | ||||||
Revolving Credit Facility [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Weighted average interest rate | 7.01% | 6.07% | |||||
Revolving Credit Facility due 2024 [Member] | Maximum [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Face value of debt outstanding | $ 80,000 | ||||||
Revolving Credit Facility Due Two Thousand Twenty Seven [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Face value of debt outstanding | $ 250,000 | ||||||
2018 Senior Notes due 2026 [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Debt instrument, face amount | 425,000 | ||||||
Repayments of debt | $ 425,000 | ||||||
Repurchase notes percentage of aggregate principal amount | 5.063% | ||||||
Prepayment of term loan | $ 21,500 | ||||||
2021 Senior Notes Due 2029 [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Long-term debt | $ 575,000 | ||||||
Accrued Interest rate | 4.375% | ||||||
Percentage of principal amount issued | 100% | ||||||
Debt instrument, maturity date | Oct. 01, 2029 | ||||||
Financing Costs | $ 8,700 | ||||||
Percentage of lender spread on principal amount | 1.25% | ||||||
Financing costs lender spread | $ 7,200 | ||||||
Financing costs other | $ 1,500 | ||||||
Face value of debt outstanding | 575,000 | ||||||
Accrued interest | $ 12,600 | ||||||
Repurchase notes percentage of aggregate principal amount | 101% | ||||||
2021 Senior Notes Due 2029 [Member] | Prior to October 1, 2024 [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Basis points, floor | 50% | ||||||
2021 Senior Notes Due 2029 [Member] | On or After August 1, 2024 [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Debt instrument, redemption percentage | 102.188% | ||||||
2021 Senior Notes Due 2029 [Member] | On or After August 2025 [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Debt instrument, redemption percentage | 101.094% | ||||||
2021 Senior Notes Due 2029 [Member] | On or After August 1, 2026 [Member] | |||||||
Line of Credit Facility [Line Items] | |||||||
Debt instrument, redemption percentage | 100% |
Long-Term Debt - Activity Relat
Long-Term Debt - Activity Relating to Deferred Financing Costs (Detail) $ in Thousands | 9 Months Ended |
Sep. 30, 2023 USD ($) | |
Debt Instrument [Line Items] | |
At beginning of year | $ 9,218 |
Less: Amortization expense | (986) |
At end of period | $ 8,232 |
Long-Term Debt - Estimated Amor
Long-Term Debt - Estimated Amortization Expense Relating to Deferred Financing Costs (Detail) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Debt Disclosure [Abstract] | ||
Remainder of 2023 | $ 334 | |
2024 | 1,366 | |
2025 | 1,442 | |
2026 | 1,466 | |
2027 | 1,440 | |
Thereafter | 2,184 | |
Total | $ 8,232 | $ 9,218 |
Long-Term Debt - Contractual Fu
Long-Term Debt - Contractual Future Maturities of Long-Term Debt (Detail) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Debt Disclosure [Abstract] | ||
Remainder of 2023 | $ 0 | |
2024 | 0 | |
2025 | 0 | |
2026 | 0 | |
2027 | 65,000 | |
Thereafter | 575,000 | |
Total | $ 640,000 | $ 651,352 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 5 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Oct. 01, 2022 | Jul. 02, 2022 | May 26, 2023 | Sep. 30, 2023 | Oct. 01, 2022 | |
Income Taxes [Line Items] | ||||||
Income tax expense | $ 13,715 | $ 10,100 | $ 36,412 | $ 29,910 | ||
Effective tax rates | 25.90% | 24.90% | 25.70% | 24.80% | ||
Pre-tax earnings | $ 52,922 | $ 40,514 | $ 141,800 | $ 120,615 | ||
Income tax benefit net of federal tax effect | $ 462 | |||||
Income tax expense benefit excess tax received by state | $ 584 | |||||
Effective tax rates, excluding discrete item | 26.70% | 26.20% | 26.20% | 25.70% | ||
Payment of estimated income taxes | $ 39,700 | $ 20,900 | ||||
ECO [Member] | ||||||
Income Taxes [Line Items] | ||||||
Percentage of ownership stake | 75% | 25% | 75% | |||
Pre-tax earnings | $ 900 | $ 1,000 |
Fair Value - Additional Informa
Fair Value - Additional Information (Detail) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Oct. 01, 2022 | Sep. 30, 2023 | Oct. 01, 2022 | Dec. 31, 2022 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Fair value of assets, level 2 to level 3 transfers | $ 0 | $ 0 | $ 0 | $ 0 | |
Long-term debt | 640,000,000 | 640,000,000 | $ 651,352,000 | ||
2016 Credit Agreement Due 2027 [Member] | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Fair value of current long-term debt | 65,000,000 | 65,000,000 | 76,400,000 | ||
Long-term debt | 65,000,000 | 65,000,000 | 76,352,000 | ||
2021 Senior Notes Due 2029 [Member] | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Fair value of current long-term debt | 531,900,000 | 531,900,000 | 480,800,000 | ||
Long-term debt | $ 575,000,000 | $ 575,000,000 | $ 575,000,000 |
Fair Value - Schedule of Fair V
Fair Value - Schedule of Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets (Liabilities) | $ 419 | $ 300 |
Aluminum Contracts [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets (Liabilities) | 443 | |
MTP Contracts [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets (Liabilities) | (24) | 300 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets (Liabilities) | 419 | 300 |
Significant Other Observable Inputs (Level 2) [Member] | Aluminum Contracts [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets (Liabilities) | 443 | |
Significant Other Observable Inputs (Level 2) [Member] | MTP Contracts [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets (Liabilities) | $ (24) | $ 300 |
Derivatives - Additional Inform
Derivatives - Additional Information (Detail) $ in Thousands, lb in Millions | 9 Months Ended | |
Sep. 30, 2023 USD ($) Forwardcontract lb $ / lb | Dec. 31, 2022 USD ($) | |
Derivative [Line Items] | ||
Derivative assets | $ 473 | $ 300 |
Derivative liability | 54 | |
Fair Value of Derivative | $ 400 | |
MTP Contracts [Member] | ||
Derivative [Line Items] | ||
Typical order quantities payment terms net | 30 days | |
Number of outstanding forward contracts | Forwardcontract | 1 | |
Derivative, amount of hedged item | lb | 2.5 | |
Derivative average price | $ / lb | 0.21 | |
Maturity period of contract, maximum | 3 months | |
Aluminum Forward Contracts [Member] | ||
Derivative [Line Items] | ||
Derivative liability | $ 400 | |
Number of outstanding forward contracts | Forwardcontract | 18 | |
Derivative, amount of hedged item | lb | 13.2 | |
Derivative average price | $ / lb | 1.04 | |
Maturity period of contract, minimum | 1 month | |
Maturity period of contract, maximum | 9 months | |
Aluminum Contracts and MTP Contracts [Member] | ||
Derivative [Line Items] | ||
Accumulated other comprehensive income, net of tax | $ 300 | $ 200 |
Derivatives - Summary of Fair V
Derivatives - Summary of Fair Value of Hedges (Detail) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Derivative Instruments And Hedging Activities [Line Items] | ||
Total derivative instruments Assets | $ 473 | $ 300 |
Total derivative instruments Liabilities | (54) | |
Aluminum Contracts [Member] | ||
Derivative Instruments And Hedging Activities [Line Items] | ||
Total derivative instruments Assets | $ 473 | |
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Other Assets, Current | |
Total derivative instruments Liabilities | $ (30) | |
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Accounts Payable and Accrued Liabilities, Current | |
MTP Contracts [Member] | ||
Derivative Instruments And Hedging Activities [Line Items] | ||
Total derivative instruments Assets | $ 300 | |
Derivative Asset, Statement of Financial Position [Extensible Enumeration] | Other Assets, Current | |
Total derivative instruments Liabilities | $ (24) | |
Derivative Liability, Statement of Financial Position [Extensible Enumeration] | Accounts Payable and Accrued Liabilities, Current |
Derivatives - Gains (Losses) on
Derivatives - Gains (Losses) on Derivative Financial Instruments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Oct. 01, 2022 | Sep. 30, 2023 | Oct. 01, 2022 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain or (Loss) Recognized in OCI(L) on Derivatives | $ 892 | $ (2,633) | $ (11) | $ (9,487) |
Aluminum Contracts [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain or (Loss) Reclassified from Accumulated OCI(L) into Income | $ (302) | $ (3,185) | $ (365) | $ (597) |
Derivative Instrument, Gain (Loss) Reclassified from AOCI into Income, Effective Portion, Statement of Income or Comprehensive Income [Extensible Enumeration] | Cost of Goods and Services Sold | Cost of Goods and Services Sold | Cost of Goods and Services Sold | Cost of Goods and Services Sold |
Aluminum Contracts [Member] | Inventory Classified as Cost of Sales [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain or (Loss) Recognized in OCI(L) on Derivatives | $ 1,027 | $ (2,012) | $ 78 | $ (9,427) |
MTP Contracts [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain or (Loss) Reclassified from Accumulated OCI(L) into Income | $ 13 | $ 769 | $ 235 | $ 3,941 |
Derivative Instrument, Gain (Loss) Reclassified from AOCI into Income, Effective Portion, Statement of Income or Comprehensive Income [Extensible Enumeration] | Cost of Goods and Services Sold | Cost of Goods and Services Sold | Cost of Goods and Services Sold | Cost of Goods and Services Sold |
MTP Contracts [Member] | Inventory Classified as Cost of Sales [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain or (Loss) Recognized in OCI(L) on Derivatives | $ (135) | $ (621) | $ (89) | $ (60) |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income - Components of Accumulated Other Comprehensive Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2023 | Oct. 01, 2022 | Sep. 30, 2023 | Oct. 01, 2022 | Jul. 01, 2023 | Dec. 31, 2022 | Jul. 02, 2022 | Jan. 01, 2022 | |
Components of Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Beginning Balance | $ 661,371 | $ 661,371 | $ 628,015 | |||||
Increase (decrease) in fair value of derivatives | 892 | $ (2,633) | (11) | $ (9,487) | ||||
Amounts reclassified from accumulated other comprehensive income (loss) | 289 | 2,416 | 130 | (3,344) | ||||
Tax effect | (304) | 56 | (31) | 3,296 | ||||
Other comprehensive income (loss), net of tax | 877 | (161) | 88 | (9,535) | ||||
Ending Balance | 661,371 | 661,371 | 628,015 | |||||
Accumulated Other Comprehensive Income (Loss) [Member] | ||||||||
Components of Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Beginning Balance | 311 | (2,529) | 311 | (2,529) | $ (566) | 223 | $ (2,368) | $ 7,006 |
Other comprehensive income (loss), net of tax | 877 | (161) | 88 | (9,535) | ||||
Ending Balance | 311 | (2,529) | 311 | (2,529) | (566) | 223 | (2,368) | 7,006 |
Aluminum Contracts [Member] | ||||||||
Components of Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Increase (decrease) in fair value of derivatives | 1,027 | (2,012) | 78 | (9,427) | ||||
Amounts reclassified from accumulated other comprehensive income (loss) | 302 | 3,185 | 365 | 597 | ||||
Tax effect | (342) | (279) | (114) | 2,268 | ||||
Other comprehensive income (loss), net of tax | 987 | 894 | 329 | (6,562) | ||||
Aluminum Contracts [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | ||||||||
Components of Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Beginning Balance | 329 | (2,952) | 329 | (2,952) | (658) | (3,846) | 3,610 | |
Ending Balance | 329 | (2,952) | 329 | (2,952) | (658) | (3,846) | 3,610 | |
MTP Contracts [Member] | ||||||||
Components of Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Increase (decrease) in fair value of derivatives | (135) | (621) | (89) | (60) | ||||
Amounts reclassified from accumulated other comprehensive income (loss) | (13) | (769) | (235) | (3,941) | ||||
Tax effect | 38 | 335 | 83 | 1,028 | ||||
Other comprehensive income (loss), net of tax | (110) | (1,055) | (241) | (2,973) | ||||
MTP Contracts [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | ||||||||
Components of Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||||||
Beginning Balance | (18) | 423 | (18) | 423 | 92 | 223 | 1,478 | 3,396 |
Ending Balance | $ (18) | $ 423 | $ (18) | $ 423 | $ 92 | $ 223 | $ 1,478 | $ 3,396 |
Segments - Additional Informati
Segments - Additional Information (Detail) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 USD ($) | Oct. 01, 2022 USD ($) | Sep. 30, 2023 USD ($) Segment | Oct. 01, 2022 USD ($) | Dec. 31, 2022 USD ($) | |
Segment Reporting Information [Line Items] | |||||
Number of reportable segments | Segment | 2 | ||||
Depreciation expense | $ 26,607 | $ 25,359 | |||
Amortization expense | 19,802 | 19,725 | |||
Assets | $ 1,608,662 | 1,608,662 | $ 1,640,249 | ||
Southeast Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Depreciation expense | 6,900 | $ 6,700 | 20,600 | 20,600 | |
Amortization expense | 2,000 | 2,700 | 6,000 | 8,100 | |
Assets | 908,300 | 908,300 | 909,600 | ||
Western Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Depreciation expense | 1,900 | 1,600 | 6,000 | 4,700 | |
Amortization expense | 4,500 | $ 3,100 | 13,800 | $ 11,600 | |
Assets | $ 700,400 | $ 700,400 | $ 730,600 |
Segments - Summary of Financial
Segments - Summary of Financial Data Attributable to Operating Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Oct. 01, 2022 | Sep. 30, 2023 | Oct. 01, 2022 | ||
Net sales: | |||||
Total net sales | $ 399,931 | $ 385,837 | $ 1,161,694 | $ 1,151,020 | |
Income from operations: | |||||
Total income from operations | 60,694 | 47,403 | 165,442 | 141,739 | |
Restructuring costs and charges | [1] | 794 | (1,722) | ||
Interest expense, net | 7,772 | 6,889 | 23,642 | 21,124 | |
Total income before income taxes | 52,922 | 40,514 | 141,800 | 120,615 | |
Southeast Segment [Member] | |||||
Net sales: | |||||
Total net sales | 302,942 | 288,246 | 872,964 | 867,505 | |
Income from operations: | |||||
Total income from operations | 43,465 | 30,037 | 123,940 | 96,607 | |
Restructuring costs and charges | (1,700) | ||||
Western Segment [Member] | |||||
Net sales: | |||||
Total net sales | 96,989 | 97,591 | 288,730 | 283,515 | |
Income from operations: | |||||
Total income from operations | $ 16,435 | $ 17,366 | $ 43,224 | $ 45,132 | |
[1] For the nine months ended September 30, 2023, restructuring costs and charges, net, totaling $ 1.7 million relates to the Southeast segment income from operations, which includes a gain of $ 0.8 million in the three months ended September 30, 2023 relating to the forgiveness of a portion of the operating lease liability by the landlord of the Charlotte, NC location, which we satisfied in the third quarter of 2023. See Note 18 for additional information. |
Segments - Summary of Financi_2
Segments - Summary of Financial Data Attributable to Operating Segments (Parenthetical) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2023 | ||
Segment Reporting Information [Line Items] | |||
Restructuring costs and charges, net | [1] | $ (794) | $ 1,722 |
Gain of Forgiveness Portion of Operating Lease Liability by Landlord of the Charlotte, NC [Member] | |||
Segment Reporting Information [Line Items] | |||
Restructuring costs and charges, net | (800) | ||
Southeast Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Restructuring costs and charges, net | $ 1,700 | ||
Southeast Segment [Member] | Gain of Forgiveness Portion of Operating Lease Liability by Landlord of the Charlotte, NC [Member] | |||
Segment Reporting Information [Line Items] | |||
Restructuring costs and charges, net | $ (800) | ||
[1] For the nine months ended September 30, 2023, restructuring costs and charges, net, totaling $ 1.7 million relates to the Southeast segment income from operations, which includes a gain of $ 0.8 million in the three months ended September 30, 2023 relating to the forgiveness of a portion of the operating lease liability by the landlord of the Charlotte, NC location, which we satisfied in the third quarter of 2023. See Note 18 for additional information. |
Reedemable Non-Controlling In_3
Reedemable Non-Controlling Interest - Additional Information (Detail) - USD ($) $ in Thousands | 9 Months Ended | |||||
May 26, 2023 | Feb. 01, 2021 | Sep. 30, 2023 | Dec. 31, 2022 | Oct. 01, 2022 | Jan. 01, 2022 | |
Redeemable Noncontrolling Interest [Line Items] | ||||||
Accretion value of redeemable non-controlling interest | $ 34,721 | $ 39,711 | $ 36,863 | |||
ECO [Member] | ||||||
Redeemable Noncontrolling Interest [Line Items] | ||||||
Sellers equity interest call right exercise description | The agreement between PGT Innovations, Inc. and the seller provided the Company with a call right for seller’s equity interest during the third year following the acquisition date. | |||||
Sellers equity interest put right exercise period following call right exercise period | 15 days | |||||
Eco Enterprises, LLC [Member] | ||||||
Redeemable Noncontrolling Interest [Line Items] | ||||||
Noncontrolling interest, ownership percentage by parent | 25% | 75% | 100% | |||
Redeemable noncontrolling interest value | $ 37,500 | |||||
Eco Enterprises, LLC [Member] | ECO [Member] | ||||||
Redeemable Noncontrolling Interest [Line Items] | ||||||
Sellers equity interest call right exercise purchase price description | Effective on May 26, 2023, the Company exercised its call-right to purchase the remaining 25% ownership stake in Eco it previously did not own. The redemption price of the remaining 25% was calculated by the Company pursuant to the operating agreement based on the performance metric included therein, and was determined to be $37.5 million, which was agreed with by the seller. Subsequent to this redemption, the Company's ownership of Eco Enterprises is now 100%. |
Reedemable Non-Controlling In_4
Reedemable Non-Controlling Interest - Summary of Changes in Redeemable Non-Controlling Interest (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Oct. 01, 2022 | Sep. 30, 2023 | Oct. 01, 2022 | |
Noncontrolling Interest [Abstract] | |||
Balance at beginning of period | $ 34,721 | $ 36,863 | |
Net income attributable to redeemable non-controlling interest | $ 373 | 1,101 | 1,334 |
Change in value of redeemable non-controlling interest | (271) | 1,637 | 1,514 |
Redemption of redeemable non-controlling interest | $ (37,459) | ||
Balance at end of period | $ 39,711 | $ 39,711 |
Shareholders' Equity - Addition
Shareholders' Equity - Additional Information (Detail) | 9 Months Ended | |||
Mar. 30, 2023 Right $ / shares shares | Sep. 30, 2023 USD ($) $ / shares shares | Feb. 07, 2023 USD ($) | Dec. 31, 2022 $ / shares | |
Schedule Of Equity [Line Items] | ||||
Preferred stock, par value | $ 0.01 | $ 0.01 | ||
2023 Share Repurchase Program [Member] | ||||
Schedule Of Equity [Line Items] | ||||
Stock repurchase program, authorized amount | $ | $ 250,000,000 | |||
Shares repurchased | shares | 3,040,280 | |||
Total cost of common stock repurchased | $ | $ 75,100,000 | |||
Percentage excise tax imposed | 1% | |||
Share repurchase program an initial term | 3 years | |||
Shareholder Rights Plan [Member] | ||||
Schedule Of Equity [Line Items] | ||||
Number of dividend rights declared | Right | 1 | |||
Rights expiration, description | The Rights expire on the earliest of (1) March 30, 2024, unless such date is extended, or (2) the redemption or exchange of the Rights as described above. | |||
Rights exercisable upon minimum percentage of beneficial ownership acquired | 10% | |||
Shareholder Rights Plan [Member] | Series A Participating Preferred Stock [Member] | ||||
Schedule Of Equity [Line Items] | ||||
Preferred stock dividends issued | shares | 0.001 | |||
Preferred stock, par value | $ 0.01 | |||
Shares issued, exercise price | $ 90 |
Restructuring Costs and Charg_2
Restructuring Costs and Charges, Net - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2023 | ||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring costs and charges, net | [1] | $ (794) | $ 1,722 |
Gain of Forgiveness Portion of Operating Lease Liability by Landlord of the Charlotte, NC [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring costs and charges, net | $ (800) | ||
Consideration of Lease Liability Forgiveness [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring costs and charges, net | 1,700 | ||
Impairments of Right-of-use Assets of Leases of Raleigh-durham and Charlotte, North Carolina Showroom Facilities [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring costs and charges, net | 2,000 | ||
Write-offs of Leasehold Improvements [Member] | |||
Restructuring Cost and Reserve [Line Items] | |||
Restructuring costs and charges, net | $ 400 | ||
[1] For the nine months ended September 30, 2023, restructuring costs and charges, net, totaling $ 1.7 million relates to the Southeast segment income from operations, which includes a gain of $ 0.8 million in the three months ended September 30, 2023 relating to the forgiveness of a portion of the operating lease liability by the landlord of the Charlotte, NC location, which we satisfied in the third quarter of 2023. See Note 18 for additional information. |