Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2015 | Nov. 02, 2015 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2015 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | ORBC | |
Entity Registrant Name | ORBCOMM Inc. | |
Entity Central Index Key | 1,361,983 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 70,576,427 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Current assets: | ||
Cash and cash equivalents | $ 58,490 | $ 91,565 |
Cash held for acquisition | 123,000 | |
Accounts receivable, net of allowance for doubtful accounts of $764 and $706, respectively | 34,453 | 23,194 |
Inventories | 17,077 | 11,650 |
Prepaid expenses and other current assets | 4,961 | 2,333 |
Deferred income taxes | 3,208 | 814 |
Total current assets | 118,189 | 252,556 |
Satellite network and other equipment, net | 195,238 | 180,621 |
Goodwill | 101,899 | 39,870 |
Intangible assets, net | 91,660 | 26,334 |
Restricted cash | 1,195 | 1,195 |
Other assets | 7,269 | 5,921 |
Deferred income taxes | 51 | 51 |
Total assets | 515,501 | 506,548 |
Current liabilities: | ||
Accounts payable | 8,975 | 8,750 |
Accrued liabilities | 22,668 | 20,336 |
Current portion of deferred revenue | 4,821 | 3,525 |
Total current liabilities | 36,464 | 32,611 |
Note payable - related party | 1,275 | 1,389 |
Note payable | 150,000 | 150,000 |
Deferred revenue, net of current portion | 2,532 | 2,579 |
Deferred tax liabilities | 20,555 | 5,696 |
Other liabilities | 6,015 | 5,764 |
Total liabilities | $ 216,841 | $ 198,039 |
Commitments and contingencies | ||
ORBCOMM Inc. stockholders' equity | ||
Common stock, par value $0.001; 250,000,000 shares authorized; 70,504,396 and 70,109,488 shares issued at September 30, 2015 and December 31, 2014 | $ 71 | $ 70 |
Additional paid-in capital | 380,120 | 376,297 |
Accumulated other comprehensive income | (991) | (583) |
Accumulated deficit | (81,654) | (68,137) |
Less treasury stock, at cost; 29,990 shares at September 30, 2015 and December 31, 2014 | (96) | (96) |
Total ORBCOMM Inc. stockholders' equity | 298,386 | 308,460 |
Noncontrolling interest | 274 | 49 |
Total equity | 298,660 | 308,509 |
Total liabilities and equity | 515,501 | 506,548 |
Series A Convertible Preferred Stock [Member] | ||
ORBCOMM Inc. stockholders' equity | ||
Preferred Stock Series A, par value $0.001; 1,000,000 shares authorized; 93,707 and 90,973 shares issued and outstanding at September 30, 2015 and December 31, 2014 | $ 936 | $ 909 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Allowances for doubtful accounts | $ 764 | $ 706 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 250,000,000 | 250,000,000 |
Common stock, shares issued | 70,504,396 | 70,109,488 |
Treasury stock, shares | 29,990 | 29,990 |
Series A Convertible Preferred Stock [Member] | ||
Preferred Stock, par value | $ 0.001 | $ 0.001 |
Preferred Stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred Stock, shares issued | 93,707 | 90,973 |
Preferred Stock, shares outstanding | 93,707 | 90,973 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Revenues: | ||||
Service revenues | $ 25,048 | $ 15,184 | $ 72,833 | $ 44,512 |
Product sales | 21,036 | 7,942 | 60,464 | 22,262 |
Total revenues | 46,084 | 23,126 | 133,297 | 66,774 |
Cost of revenues, exclusive of depreciation and amortization shown below: | ||||
Cost of services | 8,766 | 5,291 | 24,788 | 14,991 |
Cost of product sales | 15,424 | 5,524 | 44,162 | 16,098 |
Gross profit | 21,894 | 12,311 | 64,347 | 35,685 |
Operating expenses: | ||||
Selling, general and administrative | 10,668 | 8,720 | 33,134 | 23,840 |
Product development | 1,202 | 788 | 4,628 | 2,108 |
Depreciation and amortization | 6,331 | 2,481 | 19,426 | 6,470 |
Impairment loss - satellite network | 12,748 | |||
Acquisition - related and integration costs | 500 | 247 | 4,061 | 1,613 |
Income (loss) from operations | 3,193 | 75 | (9,650) | 1,654 |
Other income (expense): | ||||
Interest income | 90 | 14 | 246 | 31 |
Other (expense) income | (85) | 62 | 307 | 107 |
Interest expense | (1,332) | (2) | (3,906) | (3) |
Total other (expense) income | (1,327) | 74 | (3,353) | 135 |
Income (loss) before income taxes | 1,866 | 149 | (13,003) | 1,789 |
Income taxes | 221 | 145 | 312 | 745 |
Net income (loss) | 1,645 | 4 | (13,315) | 1,044 |
Less: Net income (loss) attributable to the noncontrolling interests | 54 | 37 | 175 | 105 |
Net income (loss) attributable to ORBCOMM Inc. | 1,591 | (33) | (13,490) | 939 |
Net income (loss) attributable to ORBCOMM Inc. common stockholders | $ 1,582 | $ (33) | $ (13,517) | $ 920 |
Per share information-basic: | ||||
Net income (loss) attributable to ORBCOMM Inc. common stockholders | $ 0.02 | $ 0 | $ (0.19) | $ 0.02 |
Per share information-diluted: | ||||
Net income (loss) attributable to ORBCOMM Inc. common stockholders | $ 0.02 | $ 0 | $ (0.19) | $ 0.02 |
Weighted average common shares outstanding: | ||||
Basic | 70,460 | 55,247 | 70,376 | 54,561 |
Diluted | 71,918 | 55,247 | 70,376 | 56,275 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net income (loss) | $ 1,645 | $ 4 | $ (13,315) | $ 1,044 |
Other comprehensive income (loss), net of tax: | ||||
Foreign currency translation adjustments | 186 | (367) | (358) | (425) |
Other comprehensive income (loss) | 186 | (367) | (358) | (425) |
Comprehensive income (loss) | 1,831 | (363) | (13,673) | 619 |
Less: Comprehensive (income) loss attributable to noncontrolling interests | (50) | (93) | (225) | (168) |
Comprehensive income (loss) attributable to ORBCOMM Inc. | $ 1,781 | $ (456) | $ (13,898) | $ 451 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Cash flows from operating activities: | ||
Net income (loss) | $ (13,315) | $ 1,044 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Change in allowance for doubtful accounts | 167 | 350 |
Change in the fair value of acquisition-related contingent consideration | (674) | (579) |
Amortization of the fair value adjustment related to warranty liabilities acquired through acquisitions | (12) | (156) |
Amortization of deferred financing fees | 348 | |
Depreciation and amortization | 19,426 | 6,470 |
Impairment loss - satellite network | 12,748 | |
Stock-based compensation | 3,214 | 2,627 |
Foreign exchange gains | (419) | (192) |
Increase in fair value of indemnification assets | (126) | |
Loss on settlement agreement in connection with the indemnification assets | 97 | |
Deferred income taxes | 62 | 333 |
Other | 201 | |
Changes in operating assets and liabilities, net of acquisitions: | ||
Accounts receivable | 3,408 | (73) |
Inventories | (4,275) | (5,576) |
Prepaid expenses and other assets | (470) | (716) |
Accounts payable and accrued liabilities | (8,730) | 1,178 |
Deferred revenue | (118) | 614 |
Other liabilities | (175) | 388 |
Net cash provided by operating activities | 11,185 | 5,884 |
Cash flows from investing activities, net of acquisitions: | ||
Acquisition of businesses, net of cash acquired | (133,078) | (28,883) |
Capital expenditures | (32,106) | (41,892) |
Cash released from escrow for acquisition | 123,000 | |
Proceeds received from settlement agreement in connection with the indemnification assets | 691 | |
Proceeds from warranty claim on acquired inventory | 167 | |
Net cash used in investing activities | (42,184) | (69,917) |
Cash flows from financing activities | ||
Proceeds received from issuance of common stock in connection with public offering, net of underwriters' discounts and commissions and offering costs | 36,607 | |
Proceeds received from issuance of long-term debt | 10,000 | |
Cash paid for debt issuance costs | (842) | |
Proceeds received from exercise of stock options | 244 | 62 |
Payment of deferred purchase consideration | (1,106) | (25) |
Principal payment of revolving credit facility | (10,000) | |
Principal payments of capital leases | (72) | (135) |
Net cash (used in) provided by financing activities | (1,776) | 36,509 |
Effect of exchange rate changes on cash and cash equivalents | (300) | (276) |
Net decrease in cash and cash equivalents | (33,075) | (27,800) |
Beginning of period | 91,565 | 68,354 |
End of period | 58,490 | 40,554 |
Cash paid for | ||
Interest | 6,747 | 3,206 |
Income taxes | 584 | 237 |
Noncash investing and financing activities: | ||
Capital expenditures incurred not yet paid | 2,030 | 6,372 |
Stock-based compensation included in capital expenditures | 130 | 227 |
Series A convertible preferred stock dividend paid in kind | 27 | 19 |
Issuance of common stock as consideration for acquisition of Euroscan | 2,243 | |
Common stock issued as payment for MPUs | 358 | 213 |
Acquisition-related contingent consideration | $ 542 | 4,809 |
Unpaid debt issuance costs included in accrued liabilities | $ 1,524 |
Condensed Consolidated Stateme7
Condensed Consolidated Statements of Changes in Equity - USD ($) $ in Thousands | Total | Euroscan Holding B.V. [Member] | Series A Convertible Preferred Stock [Member] | Common Stock [Member] | Common Stock [Member]Euroscan Holding B.V. [Member] | Additional Paid-in Capital [Member] | Additional Paid-in Capital [Member]Euroscan Holding B.V. [Member] | Accumulated Other Comprehensive Income [Member] | Accumulated Deficit [Member] | Treasury Stock [Member] | Noncontrolling Interests [Member] |
Beginning balances at Dec. 31, 2013 | $ 192,948 | $ 1,019 | $ 48 | $ 255,358 | $ 235 | $ (63,416) | $ (96) | $ (200) | |||
Beginning balances, shares at Dec. 31, 2013 | 102,054 | 48,216,480 | 29,990 | ||||||||
Vesting of restricted stock units, shares | 279,538 | ||||||||||
Stock-based compensation | 2,580 | 2,580 | |||||||||
Proceeds received from issuance of common stock in connection with public offering, net of underwriters' discounts and commissions and offering costs of $2,228 | 36,607 | $ 6 | 36,601 | ||||||||
Proceeds received from issuance of common stock in connection with public offering, net of underwriters' discounts and commissions and offering costs, shares | 6,325,000 | ||||||||||
Common stock issued as payment for MPUs | 213 | 213 | |||||||||
Common stock issued as payment for MPUs, shares | 33,594 | ||||||||||
Conversion of Series A convertible preferred stock to common stock | $ (147) | 147 | |||||||||
Conversion of Series A convertible preferred stock to common stock, shares | (14,850) | 24,740 | |||||||||
Issuance of common stock as consideration for acquisition of Euroscan | 2,243 | $ 2,243 | $ 1 | $ 2,242 | |||||||
Issuance of common stock in connection with the acquisition, shares | 291,230 | ||||||||||
Series A convertible preferred stock dividend paid in kind | $ 19 | (19) | |||||||||
Series A convertible preferred stock dividend paid in kind, shares | 1,940 | ||||||||||
Exercise of SARs, shares | 84,686 | ||||||||||
Exercise of stock options | 62 | 62 | |||||||||
Exercise of stock options, shares | 20,792 | ||||||||||
Net income (loss) | 1,044 | 939 | 105 | ||||||||
Foreign currency translation adjustments | (425) | (488) | 63 | ||||||||
Ending balances at Sep. 30, 2014 | 235,272 | $ 891 | $ 55 | 297,203 | (253) | (62,496) | $ (96) | (32) | |||
Ending balances, shares at Sep. 30, 2014 | 89,144 | 55,276,060 | 29,990 | ||||||||
Beginning balances at Dec. 31, 2014 | 308,509 | $ 909 | $ 70 | 376,297 | (583) | (68,137) | $ (96) | 49 | |||
Beginning balances, shares at Dec. 31, 2014 | 90,973 | 70,109,488 | 29,990 | ||||||||
Vesting of restricted stock units, shares | 227,382 | ||||||||||
Stock-based compensation | 3,222 | $ 1 | 3,221 | ||||||||
Common stock issued as payment for MPUs | 358 | 358 | |||||||||
Common stock issued as payment for MPUs, shares | 54,801 | ||||||||||
Series A convertible preferred stock dividend paid in kind | $ 27 | (27) | |||||||||
Series A convertible preferred stock dividend paid in kind, shares | 2,734 | ||||||||||
Exercise of SARs, shares | 62,725 | ||||||||||
Exercise of stock options | 244 | 244 | |||||||||
Exercise of stock options, shares | 50,000 | ||||||||||
Net income (loss) | (13,315) | (13,490) | 175 | ||||||||
Foreign currency translation adjustments | (358) | (408) | 50 | ||||||||
Ending balances at Sep. 30, 2015 | $ 298,660 | $ 936 | $ 71 | $ 380,120 | $ (991) | $ (81,654) | $ (96) | $ 274 | |||
Ending balances, shares at Sep. 30, 2015 | 93,707 | 70,504,396 | 29,990 |
Condensed Consolidated Stateme8
Condensed Consolidated Statements of Changes in Equity (Parenthetical) $ in Thousands | 9 Months Ended |
Sep. 30, 2015USD ($) | |
Statement Of Stockholders Equity [Abstract] | |
Underwriters' discounts and commissions and offering costs | $ 2,228 |
Organization and Business
Organization and Business | 9 Months Ended |
Sep. 30, 2015 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Organization and Business | 1. Organization and Business ORBCOMM Inc. (“ORBCOMM” or the “Company”), a Delaware corporation, is a global wireless data communications company focused on machine-to-machine (“M2M”) communications. The Company’s services are designed to enable businesses and government agencies to track, monitor, and control and communicate with fixed and mobile assets. The Company operates a two-way global wireless data messaging system optimized for narrowband data communication. The Company also provides customers with technology to proactively monitor, manage and remotely control refrigerated transportation and other mobile assets. This technology enables the Company to expand its global technology platform by transferring capabilities across new and existing vertical markets and deliver complementary products to our channel partners and resellers worldwide. The Company provides these services through a constellation of 30 owned low-Earth orbit, or LEO, satellites, one AIS microsatellite and accompanying ground infrastructure, as well as terrestrial-based cellular communication services through reseller agreements with major cellular wireless providers. The addition of SkyWave’s higher bandwidth, low-latency satellite products and services that leverage the IsatDataPro (IDP) technology further expands the breadth of the Company’s solutions portfolio. The Company’s satellite-based system uses small, low power, fixed or mobile satellite subscriber communicators for connectivity, and cellular wireless subscriber identity modules (“SIMS”) that are connected to the cellular wireless providers’ networks, with these systems capable of being connected to other public or private networks, including the Internet (collectively, the “ORBCOMM System”). |
Summary of Significant Accounti
Summary of Significant Accounting Principles | 9 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Principles | 2. Summary of Significant Accounting Principles Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared pursuant to the rules of the Securities and Exchange Commission (the “SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted pursuant to SEC rules. These financial statements should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2014, as amended. In the opinion of management, the financial statements as of September 30, 2015 and for the quarters and nine months ended September 30, 2015 and 2014 include all adjustments (including normal recurring accruals) necessary for a fair presentation of the consolidated financial position, results of operations, comprehensive income and cash flows for the periods presented. The results of operations for the interim periods are not necessarily indicative of the results to be expected for the full year. The financial statements include the accounts of the Company, its wholly-owned and majority-owned subsidiaries, and investments in variable interest entities in which the Company is determined to be the primary beneficiary. All significant intercompany accounts and transactions have been eliminated in consolidation. The portions of majority-owned subsidiaries that the Company does not own are reflected as noncontrolling interests in the condensed consolidated balance sheets. Investments Investments in entities over which the Company has the ability to exercise significant influence but does not have a controlling interest are accounted for under the equity method of accounting. The Company considers several factors in determining whether it has the ability to exercise significant influence with respect to investments, including, but not limited to, direct and indirect ownership level in the voting securities, active participation on the board of directors, approval of operating and budgeting decisions and other participatory and protective rights. Under the equity method, the Company’s proportionate share of the net income or loss of such investee is reflected in the Company’s condensed consolidated results of operations. When the Company does not exercise significant influence over the investee, the investment is accounted under the cost method. Although the Company owns interests in companies that it accounts for pursuant to the equity method, the investments in those entities had no carrying value as of September 30, 2015 and December 31, 2014. The Company has no guarantees or other funding obligations to those entities. The Company had no equity or losses of those investees for the quarters and nine months ended September 30, 2015 and 2014. Acquisition-related and integration costs Acquisition-related and integration costs are expensed as incurred and are presented separately on the condensed consolidated statement of operations. These costs may include professional services expenses and identifiable integration costs directly relating to acquisitions. Fair Value of Financial Instruments The Company has no financial assets or liabilities that are measured at fair value on a recurring basis. However, if certain triggering events occur the Company is required to evaluate the non-financial assets for impairment and any resulting asset impairment would require that a non-financial asset be recorded at the fair value. Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 820 “ Fair Value Measurement Disclosure,” The carrying value of the Company’s financial instruments, including cash, accounts receivable, note receivable and accounts payable approximated their fair value due to the short-term nature of these items. The carrying value of the Secured Credit Facilities, as defined below, approximated its fair value as the debt is at variable interest rates. Concentration of Credit Risk The Company’s customers are primarily commercial organizations. Accounts receivable are generally unsecured. Accounts receivable are due in accordance with payment terms included in contracts negotiated with customers. Amounts due from customers are stated net of an allowance for doubtful accounts. The Company determines its allowance for doubtful accounts by considering a number of factors, including the length of time accounts are past due, the customer’s current ability to pay its obligations to the Company and the condition of the general economy and the industry as a whole. The Company writes-off accounts receivable when they are deemed uncollectible. One customer, Hub City Terminals, Inc., comprised 11.0% of the Company’s consolidated total revenues for the quarter ended September 30, 2015. There were no customers with revenues greater than 10% of the Company’s consolidated total revenues for the nine months ended September 30, 2015. Two customers, Caterpillar Inc. and Komatsu Ltd., comprised 13.5% and 11.6%, respectively, of the Company’s total revenues for the quarter ended September 30, 2014 and 13.3% and 11.3%, respectively, of the Company’s total revenues for the nine months ended September 30, 2014. The following table presents customers with accounts receivable greater than 10% of the Company’s consolidated accounts receivable for the periods shown: September 30, December 31, 2015 2014 Hub City Terminals, Inc. 18.0 % * Walmart Stores, Inc. * 15.0 % Caterpillar Inc. * 13.6 % * Balance is less than 10% of consolidated accounts receivable As of September 30, 2015, the Company did not maintain in-orbit insurance coverage for its first generation satellites to address the risk of potential systemic anomalies, failures or catastrophic events affecting its satellite constellation. The Company maintains in-orbit insurance coverage over its next-generation satellites, as described in “Note 15 – Commitments and Contingencies.” Inventories Inventories are stated at the lower of cost or market, determined on a first-in, first-out basis. The Company’s inventory consists primarily of finished goods, raw materials and purchased parts to be utilized by its contract manufacturer. The Company reviews inventory quantities on hand and evaluates the realizability of inventories and adjusts the carrying value as necessary based on forecasted product demand. A provision is made for potential losses on obsolete inventories when identified. Valuation of Long-Lived Assets Property and equipment and other long-lived assets are tested for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. The Company measures recoverability by comparing the carrying amount to the projected cash flows the assets are expected to generate. An impairment loss is recognized to the extent that carrying value exceeds fair value. Our satellite constellation and related assets, including satellites under construction, are evaluated as a single asset group whenever facts or circumstances indicate that the carrying value may not be recoverable. If indicators of impairment are identified, recoverability of long-lived assets is measured by comparing their carrying amount to the projected cash flows the assets are expected to generate. Determining whether an impairment has occurred typically requires the use of significant estimates and assumptions, including the allocation of cash flows to assets or asset groups and, if required, an estimate of fair value for those assets or asset groups. If a satellite were to fail during launch or while in-orbit, the resulting loss would be charged to expense in the period it is determined that the satellite is not recoverable. The amount of any such loss would be reduced to the extent of insurance proceeds estimated to be received. An impairment loss of $12,748 related to one of the Company’s in-orbit next-generation (“OG2”) satellites was recorded during the quarter ended June 30, 2015. Refer to “Note 6 – Satellite Network and Other Equipment” for more information. Warranty Costs The Company accrues for warranty coverage, typically one-year, on product sales estimated at the time of sale based on historical costs to repair or replace products for customers compared to historical product revenues. The warranty accrual is included in accrued liabilities on the condensed consolidated balance sheet. Refer to “Note 8 – Accrued Liabilities” for more information. Recent Accounting Pronouncements In May 2014, the FASB issued Accounting Standards Update (“ASU”) No. 2014-09 “ Revenue from Contracts with Customers ” (“ASU 2014-09”), which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. ASU 2014-09 will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. In July 2015, the FASB affirmed its proposal to defer the effective date of ASU No. 2014-09 for all entities by one year. As a result, the new standard is effective for the Company on January 1, 2018. Early adoption prior to the original effective date is not permitted. The standard permits the use of either the retrospective or cumulative effect transition method. The Company is evaluating the effect that ASU 2014-09 will have on its consolidated financial statements and related disclosures. The Company has not yet selected a transition method nor has it determined the effect of the standard on its ongoing financial reporting. In April 2015, the FASB issued ASU No. 2015-03 “ Interest - Imputation of Interest (Subtopic 835-30) – Simplifying the Presentation of Debt Issuance Costs In July 2015, the FASB issued ASU No. 2015-11 “ Simplifying the Measurement of Inventory In September 2015, the FASB issued ASU No. 2015-16 “ Simplifying the Accounting for Measurement - Period Adjustments |
Acquisitions
Acquisitions | 9 Months Ended |
Sep. 30, 2015 | |
Business Combinations [Abstract] | |
Acquisitions | 3. Acquisitions SkyWave Mobile Communications Inc. On January 1, 2015, pursuant to an Arrangement Agreement dated November 1, 2014, among the Company, the Company’s acquisition subsidiary, SkyWave Mobile Communications Inc. (“SkyWave”) and the representatives of certain SkyWave shareholders, the Company completed the acquisition of 100% of the outstanding shares of SkyWave for total consideration of $130,203 consisting of (i) $122,373 cash consideration, inclusive of a working capital settlement of $300, of which $10,600 was deposited in escrow in connection with certain indemnification obligations; and (ii) $7,500 in the form of a promissory note settled by the transfer of assets to Inmarsat Global Limited (“Inmarsat”) pursuant to an agreement with Inmarsat (the “SkyWave Acquisition”). The $7,500 note was not considered part of the purchase price for accounting purposes. Preliminary Estimated Purchase Price Allocation The transaction has been accounted for using the acquisition method of accounting in accordance with FASB ASC Topic 805 “ Business Combinations. Amount Cash $ 110 Accounts receivable 13,898 Inventory 1,335 Other current assets 2,180 Property, plant and equipment 4,769 Intangible assets 67,214 Other noncurrent assets 6,108 Total identifiable assets acquired 95,614 Accounts payable and accrued expenses 9,987 Deferred revenues 1,070 Other liabilities 1,168 Deferred tax liabilities 17,527 Total liabilities assumed 29,752 Net identifiable assets acquired 65,862 Goodwill 56,511 Total preliminary purchase price $ 122,373 Intangible Assets The estimated fair value of the technology and trademark intangible assets was determined using the “relief from royalty method” under the income approach, which is a valuation technique that provides an estimate of the fair value of an asset based on the costs savings that are available through ownership of the asset by the avoidance of paying royalties to license the use of the assets from another owner (the “Technology and Trademark Valuation Technique”). The estimated fair value of the customer lists was determined using the “excess earnings method” under the income approach, which represents the total income to be generated by the asset. Some of the more significant assumptions inherent in the development of those asset valuations include the projected revenue associated with the asset, the appropriate discount rate to select in order to measure the risk inherent in each future cash flow stream, the assessment of each asset’s life cycle, as well as other factors (the “Customer List Valuation Technique”). The discount rate used to arrive at the present value at the acquisition date of the customer lists, technology and trademarks was 23%. The remaining useful lives of the technology and trademarks were based on historical product development cycles, the projected rate of technology migration and a market participant’s use of these intangible assets and the pattern of projected economic benefit of these intangible assets. The remaining useful lives of customer lists were based on the customer attrition and the projected economic benefit of these customers. Estimated Useful life (years) Amount Customer lists 10 $ 59,371 IDP Technology 10 5,463 M2M and DGS Technology 5 1,318 Trademarks 5 1,062 $ 67,214 Goodwill The SkyWave Acquisition furthers the Company’s strategy to provide the most complete set of options and capabilities in the industry. SkyWave’s distribution channels in South America, Asia and the Middle East, along with Inmarsat’s support, provide the Company with a broader global distribution and provides the Company access to new geographies in Eastern Europe and Asia while adding diverse vertical markets such as security and marine. The addition of SkyWave’s higher bandwidth, low-latency satellite products and services that leverage the IsatDataPro (IDP) technology, which is now jointly owned by the Company and Inmarsat, also further expands the breadth of the Company’s solutions portfolio. These factors contributed to a preliminary estimated purchase price resulting in the recognition of goodwill. In September 2015, the Company reached a conclusion to make the Internal Revenue Code (“IRS”) Section 338(g) election to treat the acquisition as a deemed asset sale. The election has been made prospectively and did not have an impact on the opening balance sheet. Indemnification Asset In connection with the Arrangement Agreement, the Company and its acquisition subsidiary entered into an escrow agreement with the representatives of certain SkyWave shareholders and an escrow agent. Under the terms of this escrow agreement, (i) $9,750 was placed in an indemnity escrow account to be held through March 31, 2016 to fund any indemnification obligations to the Company under the Arrangement Agreement; (ii) $850 was placed in a pre-closing tax escrow account through the date on which all applicable statutes of limitations (as the same may be extended or waived) for each pre-closing tax period ending on or after June 30, 2009 have expired to fund any indemnification obligations to the Company against any pre-close tax liabilities due; and (iii) $503 was placed in a working capital escrow account to fund any working capital obligations as described under the Arrangement Agreement. During the nine months ended September 30, 2015, the Company and the representative of the SkyWave shareholders agreed to a working capital settlement of $300, as well as tax liability settlements totaling $330, reducing the purchase price to $122,373. Unaudited Pro Forma Results of Operation The following table presents the unaudited pro forma consolidated operating results for the Company, as though the SkyWave Acquisition had occurred as of the beginning of the prior annual reporting period. The unaudited pro forma results reflect certain adjustments related to past operating performance, the impact of the debt issued, acquisition costs and acquisition accounting adjustments, such as increased depreciation and amortization expense based on the fair valuation of assets acquired and the related tax effects. The pro forma results do not include any anticipated synergies which may be achievable subsequent to the acquisition date. Accordingly, such pro forma amounts are not necessarily indicative of the results that actually would have occurred had the acquisition been completed on the dates indicated, nor are they indicative of the future operating results of the combined company: (in thousands; except per share amounts) Quarter ended September 2014 Nine months ended September 2014 Net revenues $ 39,011 $ 112,568 Net income attributable to common shareholders $ 6,245 $ 3,599 Earnings per share: Basic $ 0.09 $ 0.05 Diluted $ 0.09 $ 0.05 InSync, Inc. On January 16, 2015, pursuant to a Share Purchase Agreement entered into by the Company, IDENTEC Group AG (“IDENTEC” or the “Seller”) and InSync Software, Inc. (“InSync”), the Company completed the acquisition of 100% of the outstanding shares of InSync from IDENTEC for an aggregate consideration of (i) $11,100 in cash, comprised of various components and subject to net working capital adjustments, of which $1,320 was deposited in escrow in connection with certain indemnification obligations; and (ii) additional contingent consideration of up to $5,000 (the “InSync Acquisition”). Preliminary Estimated Purchase Price Allocation The transaction has been accounted for using the Acquisition Method. The excess of the purchase price over the net assets was recorded as goodwill. The preliminary allocation of the purchase price was based upon a preliminary valuation and the estimates and assumptions are subject to change during the one year measurement period. During the nine months ended September 30, 2015, the Company recorded a measurement period adjustment related to the intangible asset valuation and other working capital accounts, which resulted in an increase in goodwill of $134. The total consideration for the InSync Acquisition was $11,642 in a debt-free cash-free transaction. The preliminary estimated purchase price allocation for the acquisition, net of the estimated fair value of the contingent consideration is as follows: Amount Cash $ 288 Accounts receivable 1,141 Other current assets 204 Deferred tax assets 2,342 Property, plant and equipment 51 Intangible assets 5,788 Other noncurrent assets 55 Total identifiable assets acquired 9,869 Accounts payable and accrued expenses 1,080 Deferred revenues 296 Deferred tax liabilities 2,342 Total liabilities assumed 3,718 Net identifiable assets acquired 6,151 Goodwill 5,491 Total preliminary purchase price $ 11,642 Contingent Consideration Additional consideration is conditionally due to the Seller upon achievement of certain financial milestones. The fair value measurement of the contingent consideration obligation is determined using Level 3 unobservable inputs supported by little or no market activity based on our own assumptions. The estimated fair value of the contingent consideration was determined based on the Company’s preliminary estimates using the probability-weighted discounted cash flow approach. The Company recorded a reduction of the contingent liability of $25 and $542 in Selling, General and Administrative (“SG&A”) expense in the condensed consolidated statement of operations for the quarter and nine months ended September 30, 2015, respectively. Intangible Assets The estimated fair value of the technology and trademark intangible assets was determined using Technology and Trademark Valuation Technique. The estimated fair value of the customer lists was determined using the Customer List Valuation Technique. The discount rate used to arrive at the present value at the acquisition date of the customer lists, technology and trademarks was 15%. The remaining useful lives of the technology and trademarks were based on historical product development cycles, the projected rate of technology migration and a market participant’s use of these intangible assets and the pattern of projected economic benefit of these intangible assets. The remaining useful lives of customer lists were based on the customer attrition and the projected economic benefit of these customers. Estimated Useful life (years) Amount Customer lists 14 $ 5,056 Technology 10 632 Trademarks 4 100 $ 5,788 Goodwill The InSync Acquisition supports the Company’s strategy to provide the most complete set of applications and capabilities in the M2M industry, while broadening the Company’s market access to a wide range of industries. With the addition of InSync’s versatile, turn-key software applications, the Company will enable its customers to rapidly build and deploy M2M enterprise solutions in core markets including transportation & distribution, cold chain, warehousing, supply chain, yard management, and manufacturing. These factors contributed to a preliminary estimated purchase price resulting in recognition of goodwill. The goodwill attributable to the acquisition is not deductible for tax purposes. Indemnification Asset In connection with the Share Purchase Agreement, the Company entered into an escrow agreement with the Seller and an escrow agent. Under the terms of the agreement, $1,320 was placed in an escrow account through April 16, 2016 to fund any indemnification obligations to the Company under the Share Purchase Agreement. Euroscan Holding B.V. On March 11, 2014, pursuant to the Share Purchase Agreement entered into by the Company and MWL Management B.V., R.Q. Management B.V., WBB GmbH, ING Corporate Investments Participaties B.V. and Euroscan Holding B.V., as sellers (the “Share Purchase Agreement”), the Company completed the acquisition of 100% of the outstanding equity of Euroscan Holding B.V., including, indirectly, its wholly-owned subsidiaries Euroscan B.V., Euroscan GmbH Vertrieb Technischer Geräte, Euroscan Technology Ltd. and Ameriscan, Inc. (collectively, the “Euroscan Group” or “Euroscan”) for an aggregate consideration of (i) $29,163, inclusive of net working capital adjustments and net cash (on a debt free, cash free basis); (ii) issuance of 291,230 shares of the Company’s common stock, valued at $7.70 per share, which reflected the Company’s closing price on the acquisition date; and (iii) additional contingent considerations of up to $6,547 (the “Euroscan Acquisition”). The Euroscan Acquisition allows the Company to complement its North American operations in M2M by adding significant distribution channel in Europe and other key geographies where Euroscan has market share. Contingent Consideration Additional consideration is conditionally due to MWL Management B.V. and R.Q. Management B.V. upon achievement of financial and operational milestones. The fair value measurement of the contingent consideration obligation is determined using Level 3 unobservable inputs supported by little or no market activity based on our own assumptions. The estimated fair value of the contingent consideration was determined based on the Company’s preliminary estimates using the probability-weighted discounted cash flow approach. As of September 30, 2015 and December 31, 2014, the Company recorded $715 and $989, respectively, in accrued expenses and $1,882 and $2,663, respectively, in other non-current liabilities on the condensed consolidated balance sheet. Changes in the fair value of the contingent consideration obligations are recorded in the condensed consolidated statement of operations. The Company recorded a reduction in the contingent liability of $316 in SG&A expenses in the condensed consolidated statements of operations for the quarter and nine months ended September 30, 2015. In addition, for the quarter and nine months ended September 30, 2015, charges of $76 and $252, respectively, were recorded in SG&A expenses in the condensed consolidated statement of operations for accretion associated with the contingent consideration. |
Stock-based Compensation
Stock-based Compensation | 9 Months Ended |
Sep. 30, 2015 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-based Compensation | 4. Stock-based Compensation The Company’s stock-based compensation plans consist of a 2006 Long-Term Incentives Plan (the “2006 LTIP”), under which there were 2,566,920 shares available for grant as of September 30, 2015. Total stock-based compensation recorded by the Company for the quarter ended September 30, 2015 and 2014 was $979 and $852, respectively, and for the nine months ended September 30, 2015 and 2014 was $3,214 and $2,627, respectively. Total capitalized stock-based compensation for the quarter ended September 30, 2015 and 2014 was $51 and $99, respectively, and for the nine months ended September 30, 2015 and 2014 was $129 and $227, respectively. The following table summarizes the components of stock-based compensation expense in the condensed consolidated statements of operations for the quarters and nine months ended September 30, 2015 and 2014: Quarters ended Nine months ended September 30, September 30, 2015 2014 2015 2014 Cost of services $ 57 $ 49 $ 256 $ 127 Cost of product sales 11 (7 ) 35 42 Selling, general and administrative 852 763 2,733 2,283 Product development 59 47 190 175 Total $ 979 $ 852 $ 3,214 $ 2,627 As of September 30, 2015, the Company had unrecognized compensation costs for stock appreciation rights and restricted stock units totaling $2,539. 2006 LTIP Time-Based Stock Appreciation Rights A summary of the Company’s time-based Stock Appreciation Rights (“SARs”) for the nine months ended September 30, 2015 is as follows: Weighted- Average Aggregate Weighted- Remaining Intrinsic Number of Average Contractual Value Shares Exercise Price Term (years) (In thousands) Outstanding at January 1, 2015 3,853,367 $ 4.53 Granted 483,000 6.07 Exercised (128,050 ) 4.05 Forfeited or expired (75,100 ) 6.50 Outstanding at September 30, 2015 4,133,217 $ 4.69 5.91 $ 4,753 Exercisable at September 30, 2015 3,300,317 $ 4.25 5.01 $ 4,934 Vested and expected to vest at September 30, 2015 4,133,217 $ 4.69 5.91 $ 4,753 For the quarters ended September 30, 2015 and 2014, the Company recorded stock-based compensation expense of $638 and $344 relating to these SARs, respectively. For the nine months ended September 30, 2015 and 2014, the Company recorded stock-based compensation expense of $1,596 and $1,185 relating to these SARs, respectively. As of September 30, 2015, $1,660 of total unrecognized compensation cost related to these SARs is expected to be recognized through August 2018. The weighted-average grant date fair value of the time-based SARs granted during the nine months ended September 30, 2015 was $3.40. The intrinsic value of the SARs exercised during the nine months ended September 30, 2015 was $298. Performance-Based Stock Appreciation Rights A summary of the Company’s performance-based SARs for the nine months ended September 30, 2015 is as follows: Weighted- Average Aggregate Weighted- Remaining Intrinsic Number of Average Contractual Value Shares Exercise Price Term (years) (In thousands) Outstanding at January 1, 2015 786,034 $ 5.51 Granted 8,000 5.65 Exercised (11,200 ) 2.83 Forfeited or expired (160 ) 5.65 Outstanding at September 30, 2015 782,674 $ 5.55 4.64 $ 1,278 Exercisable at September 30, 2015 778,674 $ 5.55 4.62 $ 1,278 Vested and expected to vest at September 30, 2015 782,674 $ 5.55 4.64 $ 1,278 For the quarters ended September 30, 2015 and 2014, the Company recorded stock-based compensation expense of $3 and $0 relating to these SARs, respectively. For the nine months ended September 30, 2015 and 2014, the Company recorded stock-based compensation expense of $19 and $47 relating to these SARs, respectively. As of September 30, 2015, $6 of total unrecognized compensation cost related to these SARs is expected to be recognized through March 2016. The intrinsic value of the SARs exercised was $42 for the nine months ended September 30, 2015. The fair value of each time-based and performance-based SAR award is estimated on the date of grant using the Black-Scholes option pricing model with the assumptions described below. For the periods indicated the expected volatility was based on the Company’s historical volatility over the expected terms of SAR awards. Estimated forfeitures were based on voluntary and involuntary termination behavior, as well as analysis of actual forfeitures. The risk-free interest rate was based on the U.S. Treasury yield curve at the time of the grant over the expected term of the SAR grants. Nine months ended September 30, 2015 2014 Risk-free interest rate 1.35% and 1.82% 1.81% and 1.94% Expected life (years) 6.0 6.0 Estimated volatility factor 62.74% 66.07% to 67.34% Expected dividends None None Time-based Restricted Stock Units A summary of the Company’s time-based Restricted Stock Units (“RSUs”) for the nine months ended September 30, 2015 is as follows: Shares Weighted- Average Grant Date Fair Value Balance at January 1, 2015 90,255 $ 7.04 Granted 104,270 6.25 Vested (90,255 ) 7.04 Forfeited or expired — — Balance at September 30, 2015 104,270 $ 6.25 For the quarters ended September 30, 2015 and 2014, the Company recorded stock-based compensation expense of $149 and $169 related to these RSUs, respectively. For the nine months ended September 30, 2015 and 2014, the Company recorded stock-based compensation expense of $420 and $426 related to these RSUs, respectively. As of September 30, 2015, $324 of total unrecognized compensation cost related to these RSUs is expected to be recognized through January 2018. Performance-based Restricted Stock Units A summary of the Company’s performance-based RSUs for the nine months ended September 30, 2015 is as follows: Shares Weighted- Average Grant Date Fair Value Balance at January 1, 2015 321,525 $ 6.41 Granted 76,375 6.14 Vested (137,127 ) 6.09 Forfeited or expired (25,123 ) 6.23 Balance at September 30, 2015 235,650 $ 6.52 For the quarters ended September 30, 2015 and 2014, the Company recorded stock-based compensation expense of $294 and $264 related to these RSUs, respectively. For the nine months ended September 30, 2015 and 2014, the Company recorded stock-based compensation expense of $1,044 and $695 related to these RSUs, respectively. As of September 30, 2015, $549 of total unrecognized compensation cost related to these RSUs is expected to be recognized through March 2016. The fair values of the time-based and performance-based RSU awards are based upon the closing stock price of the Company’s common stock on the date of grant. Performance Units The Company grants Market Performance Units (“MPUs”) to its senior executives based on stock price performance over a three-year period measured on December 31 for each performance period. The MPUs will vest at the end of each performance period only if the Company satisfies the stock price performance targets and continued employment by the senior executives through the dates the Compensation Committee has determined that the targets have been achieved. The value of the MPUs that will be earned each year ranges up to 15% of each of the senior executives’ annual base salaries depending on the Company’s stock price performance target for that year. The value of the MPUs can be paid in either cash or common stock or a combination at the Company’s option. The MPUs are classified as a liability and are revalued at the end of each reporting period based on the awards fair value over a three-year period. As the MPUs contain both a performance and service condition, the MPUs have been treated as a series of three separate awards, or tranches, for purposes of recognizing stock-based compensation expense. The Company recognizes stock-based compensation expense on a tranche-by-tranche basis over the requisite service period for that specific tranche. The Company estimated the fair value of the MPUs using a Monte Carlo Simulation Model that used the following assumptions: Nine months ended September 30, 2015 2014 Risk-free interest rate 0.00% 0.02% to 0.70% Estimated volatility factor 29.00% to 36.00% 34.00% to 40.00% Expected dividends None None For the quarters ended September 30, 2015 and 2014, the Company recorded stock-based compensation expense of $(105) and $75 relating to these MPUs, respectively. For the nine months ended September 30, 2015 and 2014, the Company recorded stock-based compensation expense of $135 and $274 relating to these MPUs, respectively. In January 2015, the Company issued 54,801 shares of its common stock as a form of payment in connection with MPUs for achieving the fiscal year 2013 and 2014 stock performance target. 2004 Stock Option Plan During the nine months ended September 30, 2015, 50,000 stock options were exercised at a weighted-average exercise price of $4.88 per share and a total intrinsic value of $55. There are no stock options outstanding and available for exercise as of September 30, 2015. |
Net Income (Loss) Attributable
Net Income (Loss) Attributable to ORBCOMM Inc. Common Stockholders | 9 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
Net Income (Loss) Attributable to ORBCOMM Inc. Common Stockholders | 5. Net Income (Loss) Attributable to ORBCOMM Inc. Common Stockholders The Company accounts for earnings per share (“EPS”) in accordance with FASB ASC Topic 260, “ Earnings Per Share Quarters Ended Nine Months Ended September 30, September 30, (In thousands, expect per share data) 2015 2014 2015 2014 Net income (loss) attributable to ORBCOMM Inc. common stockholders $ 1,582 $ (33 ) $ (13,517 ) $ 920 Weighted average number of common shares outstanding: Basic number of common shares outstanding 70,460 55,247 70,376 54,561 Dilutive effect of grants of stock options, unvested SARs and RSUs and shares of Series A convertible preferred stock 1,458 — — 1,714 Diluted number of common shares outstanding 71,918 55,247 70,376 56,275 Earnings per share: Basic $ 0.02 $ (0.00 ) $ (0.19 ) $ 0.02 Diluted $ 0.02 $ (0.00 ) $ (0.19 ) $ 0.02 The following represents amounts not included in the above calculation of diluted EPS as their impact was anti-dilutive under the treasury stock method: Quarters ended Nine months ended September 30, September 30, (Shares in thousands) 2015 2014 2015 2014 SARs 606 * * 737 * Not applicable due to the loss for the period. The computation of net income (loss) attributable to ORBCOMM Inc. common stockholders for quarters and nine months ended September 30, 2015 and 2014 is as follows: Quarters ended Nine months ended September 30, September 30, 2015 2014 2015 2014 Net income (loss) attributable to ORBCOMM Inc. $ 1,591 $ (33 ) $ (13,490 ) $ 939 Preferred stock dividends on Series A convertible preferred stock (9 ) — (27 ) (19 ) Net income (loss) attributable to ORBCOMM Inc. common stockholders $ 1,582 $ (33 ) $ (13,517 ) $ 920 |
Satellite Network and Other Equ
Satellite Network and Other Equipment | 9 Months Ended |
Sep. 30, 2015 | |
Text Block [Abstract] | |
Satellite Network and Other Equipment | 6. Satellite Network and Other Equipment Satellite network and other equipment consisted of the following: Useful life September 30, December 31, (years) 2015 2014 Land $ 381 $ 381 Satellite network 1-10 105,721 116,444 Capitalized software 3-7 11,141 7,013 Computer hardware 3 3,623 2,761 Other 2-7 6,709 4,703 Assets under construction 109,711 81,099 237,286 212,401 Less: accumulated depreciation and amortization (42,048 ) (31,780 ) $ 195,238 $ 180,621 During the nine months ended September 30, 2015 and 2014, the Company capitalized costs attributable to the design and development of internal-use software in the amount of $2,617 and $2,084, respectively. Depreciation and amortization expense for the quarters ended September 30, 2015 and 2014 was $3,703 and $1,708, respectively, including amortization of internal-use software of $452 and $259, respectively. Depreciation and amortization expense for the nine months ended September 30, 2015 and 2014 was $11,554 and $4,446, respectively, including amortization of internal-use software of $1,236 and $669, respectively. Depreciation and Amortization for the quarter and nine months ended September 30, 2015 reflects the impact of the Company’s next-generation OG2 satellites being placed into service on September 15, 2014. Assets under construction primarily consist of milestone payments pursuant to procurement agreements, which includes the design, development, launch and other direct costs relating to the construction of the next-generation satellites and upgrades to its infrastructure and ground segment. Refer to “Note 15 – Commitments and Contingencies” for more information regarding the construction of the Company’s next-generation satellites. In January 2015, the Company lost communication with one of its first generation Plane B satellites. In the quarter ended March 31, 2015, the Company removed $137 from satellite network and accumulated depreciation, respectively, representing the fully depreciated value of the satellite. In September 2015, the satellite reestablished communication with the Company’s ground stations. There was no impact on the condensed consolidated balance sheet for the reestablishment of communications with this satellite. In June 2015, the Company lost communication with one of its in-orbit OG2 satellites. The Company recorded a non-cash impairment charge of $12,748 on the condensed consolidated statement of operations in the quarter ended June 30, 2015 to write off the net book value of the satellite. In addition, the Company decreased satellite network and other equipment and the associated accumulated depreciation on the condensed consolidated balance sheet by $13,788 and $1,040, respectively. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 9 Months Ended |
Sep. 30, 2015 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | 7. Goodwill and Intangible Assets Goodwill represents the excess of the purchase price of an acquired business over the estimated fair values of the underlying net tangible and intangible assets. Goodwill consisted of the following: Amount Balance at January 1, 2015 $ 39,870 Additions through acquisitions 62,002 Other adjustments 27 Balance at September 30, 2015 $ 101,899 During the nine months ended September 30, 2015, the following key items impacted goodwill: · The Company recognized goodwill of $56,511 in connection with the SkyWave Acquisition · The Company recognized goodwill of $5,491 in connection with the InSync Acquisition Goodwill is allocated to the Company’s one reportable segment, which is its only reporting unit. The Company’s intangible assets consisted of the following: September 30, 2015 December 31, 2014 Useful life Accumulated Accumulated (years) Cost amortization Net Cost amortization Net Customer lists 5 , $ 86,277 $ (9,141 ) $ 77,136 $ 21,850 $ (2,939 ) $ 18,911 Patents and technology 5 and 10 16,082 (3,621 ) 12,461 8,473 (2,259 ) 6,214 Trade names and trademarks 3, 5 and 10 2,853 (790 ) 2,063 1,690 (481 ) 1,209 $ 105,212 $ (13,552 ) $ 91,660 $ 32,013 $ (5,679 ) $ 26,334 The weighted-average amortization period for the intangible assets is 10.3 years. The weighted-average amortization period for customer lists, patents and technology and trade names and trademarks is 10.5, 9.3 and 7.3 years, respectively. On January 1, 2015, the Company acquired intangible assets in connection with the SkyWave Acquisition of $67,214, including $59,371 relating to customer lists, $6,781 relating to technology and $1,062 relating to trademarks. On January 16, 2015, the Company acquired intangible assets in connection with the InSync Acquisition of $5,788, including $5,056 relating to customer lists, $632 relating to technology and $100 relating to trademarks. Amortization expense was $2,628 and $773 for the quarters ended September 30, 2015 and 2014, respectively. Amortization expense was $7,872 and $2,024 for the nine months ended September 30, 2015 and 2014, respectively. Estimated annual amortization expense for intangible assets subsequent to September 30, 2015 is as follows: Amount 2015 (remaining) $ 2,658 2016 10,544 2017 10,395 2018 10,357 2019 10,320 Thereafter 47,386 $ 91,660 |
Accrued Liabilities
Accrued Liabilities | 9 Months Ended |
Sep. 30, 2015 | |
Payables And Accruals [Abstract] | |
Accrued Liabilities | 8. Accrued Liabilities The Company’s accrued liabilities consisted of the following: September 30, December 31, 2015 2014 Accrued compensation and benefits $ 5,518 $ 4,453 Warranty 2,407 1,470 Corporate income tax payable 177 455 Contingent earn-out amount 715 1,115 Accrued satellite network and other equipment 1,102 1,188 Accrued inventory purchases 1,181 475 Milestone payable 5,460 5,460 Accrued interest expense 1,051 1,083 Accrued acquisition-related costs — 417 Accrued credit facility financing fees — 734 Accrued professional fees 443 448 Accrued airtime charges 792 — Other accrued expenses 3,822 3,038 $ 22,668 $ 20,336 For the nine months ended September 30, 2015 and 2014, changes in accrued warranty obligations consisted of the following: Nine Months Ended September 30, 2015 2014 Balance at January 1, $ 1,470 $ 2,199 Warranty liabilities assumed from acquisition 450 96 Amortization of fair value adjustment of warranty liabilities acquired through acquisitions (12 ) (156 ) Reduction of warranty liabilities assumed in connection with acquisitions (174 ) (648 ) Warranty expense 912 278 Warranty charges (239 ) (581 ) Balance at September 30, $ 2,407 $ 1,188 |
Deferred Revenues
Deferred Revenues | 9 Months Ended |
Sep. 30, 2015 | |
Deferred Revenue Disclosure [Abstract] | |
Deferred Revenues | 9. Deferred Revenues Deferred revenues consisted of the following: September 30, December 31, 2015 2014 Service activation fees $ 4,568 $ 3,411 Prepaid services 2,644 2,509 Prepaid product revenues — 15 Warranty revenues 141 169 7,353 6,104 Less current portion (4,821 ) (3,525 ) Long-term portion $ 2,532 $ 2,579 |
Note Payable-Related Party
Note Payable-Related Party | 9 Months Ended |
Sep. 30, 2015 | |
Debt Disclosure [Abstract] | |
Note Payable-Related Party | 10. Note Payable-Related Party In connection with the acquisition of a majority interest in Satcom in 2005, the Company recorded an indebtedness to OHB Technology A.G. (formerly known as OHB Teledata A.G.), a stockholder of the Company. At September 30, 2015 and December 31, 2014, the principal balance of the note payable was €1,138 and it had a carrying value of $1,275 and $1,389, respectively. The carrying value was based on the note’s estimated fair value at the time of acquisition. The difference between the carrying value and principal balance was being amortized to interest expense over the estimated life of the note of six years which ended in September 30, 2011. This note does not bear interest and has no fixed repayment term. Repayment will be made from the distribution profits, as defined in the note agreement, of ORBCOMM Europe LLC, a wholly owned subsidiary of the Company. The note has been classified as long-term and the Company does not expect any repayments to be required prior to September 30, 2016. |
Note Payable
Note Payable | 9 Months Ended |
Sep. 30, 2015 | |
Debt Disclosure [Abstract] | |
Note Payable | 11. Note Payable Secured Credit Facilities On September 30, 2014, the Company entered into a credit agreement (the “Credit Agreement”) with Macquarie CAF LLC (“Macquarie” or the “Lender”) in order to refinance the Company’s Senior Notes. Pursuant to the Credit Agreement, the Lender provided secured credit facilities (the “Secured Credit Facilities”) in an aggregate amount of $160,000 comprised of (i) a term loan facility in an aggregate principal amount of up to $70,000 (the “Initial Term Loan Facility”); (ii) a $10,000 revolving credit facility (the “Revolving Credit Facility”); (iii) a term loan facility in an aggregate principal amount of up to $10,000 (the “Term B2 Facility”), the proceeds of which were drawn and used on January 16, 2015 to finance the InSync Acquisition; and (iv) a term loan facility in an aggregate principal amount of up to $70,000 (the “Term B3 Facility”), the proceeds of which were used on January 1, 2015 to partially finance the SkyWave Acquisition. Proceeds of the Initial Term Loan Facility and Revolving Credit Facility were funded on October 10, 2014 and were used to repay in full the Company’s Senior Notes and pay certain related fees, expenses and accrued interest, as well as for general corporate purposes. The Secured Credit Facilities mature five years after the initial fund date of the Initial Term Loan Facility (the “Maturity Date”), but are subject to mandatory prepayments in certain circumstances. The Secured Credit Facilities will bear interest, at the Company’s election, of a per annum rate equal to either (a) a base rate plus 3.75% or (b) LIBOR plus 4.75%, with a LIBOR floor of 1.00%. The Secured Credit Facilities will be secured by a first priority security interest in substantially all of the Company’s and its subsidiaries’ assets. Subject to the terms set forth in the Credit Agreement, the Company may make optional prepayments on the Secured Credit Facilities at any time prior to the Maturity Date. The remaining principal balance is due on the Maturity Date. The Credit Agreement contains customary representations and warranties, conditions to funding, covenants and events of default. The covenants set forth in the Credit Agreement include, among other things, prohibitions on the Company and its subsidiaries against incurring certain indebtedness and investments (other than permitted acquisitions and other exceptions as specified therein), providing certain guarantees and incurring certain liens. In addition, the Credit Agreement includes a leverage ratio and consolidated liquidity covenant, as defined, whereby the Company is permitted to have a maximum consolidated leverage ratio as of the last day of any fiscal quarter of up to 5.00 to 1.00 and a minimum consolidated liquidity of $7,500 as of the last day of any fiscal quarter. The Credit Agreement provides for certain events of default, the occurrence of which could result in the acceleration of the Company’s obligations under the Credit Agreement. In connection with entering into the Credit Agreement, and the subsequent funding of the Initial Term Loan Facility, Revolving Credit Facility, Term B2 Facility and the Term B3 Facility, the Company incurred approximately $4,721 of debt issuance costs. For the quarter and nine months ended September 30, 2015, amortization of the debt issuance costs was $106 and $345, respectively. For the quarter and nine months ended September 30, 2015, the Company capitalized $1,138 and $3,550, respectively, of interest expense and amortization of the debt issuance costs associated with the Initial Term Loan Facility and Revolving Credit Facility to construction of the next-generation satellites. The Company recorded charges of $1,332 and $3,906 to interest expense on its statement of operations for the quarter and nine months ended September 30, 2015, respectively, related to interest expense and amortization of debt issuance costs associated with the Term B2 and Term B3 Facilities. At September 30, 2015, no amounts were outstanding under the Revolving Credit Facility. The net availability under the Revolving Credit Facility was $10,000. As of September 30, 2015, the Company was in compliance with all financial covenants. $45,000 9.5% Senior Notes On January 4, 2013, the Company issued $45,000 aggregate principal amount of Senior Notes (“Senior Notes”) due January 4, 2018. Interest was payable quarterly at a rate of 9.5% per annum. The Senior Notes were secured by a first priority security interest in substantially all of the Company’s and its subsidiaries’ assets. The covenants in the Senior Notes limited the Company’s ability to, among other things, (i) incur additional indebtedness and liens; (ii) sell, transfer, lease or otherwise dispose of the Company’s or subsidiaries assets; or (iii) merge or consolidate with other companies. The Company was also required to obtain launch and one year in-orbit insurance for the next-generation satellites under the terms of the Senior Notes. The Company was also required to comply with a maintenance covenant of either having available liquidity of $10,000 (the sum of (a) cash and cash equivalents plus (b) the total amount available to be borrowed under a working capital facility) or a leverage ratio (consolidated total debt to consolidated adjusted EBITDA, adjusted for stock-based compensation, certain other non-cash items and other agreed upon other charges) of not more than 4.5 to 1.0. In connection with the issuance of the Senior Notes, the Company incurred approximately $1,390 of debt issuance costs, to be amortized through January 4, 2018. For the quarter and nine months ended September 30, 2014, amortization of the debt issuance costs was $66 and $202, respectively. For the quarter and nine months ended September 30, 2014, the Company capitalized all of the interest expense and amortization of the debt issuance costs to construction of the next-generation satellites. The Senior Notes were redeemed in full on October 10, 2014. |
Stockholders' Equity
Stockholders' Equity | 9 Months Ended |
Sep. 30, 2015 | |
Equity [Abstract] | |
Stockholders' Equity | 12. Stockholders’ Equity Series A convertible preferred stock During the nine months ended September 30, 2015, the Company issued dividends in the amount of 2,734 preferred shares to the holders of the Series A convertible preferred stock. As of September 30, 2015, dividends in arrears were $9. Common Stock In January 2015, the Company issued 54,801 shares of its common stock as form of payment in connection with MPUs for achieving the fiscal year 2013 and 2014 stock performance target. As of September 30, 2015, the Company has reserved 7,702,729 shares of common stock for future issuances related to employee stock compensation plans. |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2015 | |
Segment Reporting [Abstract] | |
Segment Information | 13. Segment Information The Company operates in one reportable segment, M2M data communications. Other than satellites in orbit, goodwill and intangible assets, long-lived assets outside of the United States are not significant. The Company’s foreign exchange exposure is limited as approximately 97% of the Company’s consolidated revenue is collected in US dollars. The following table summarizes revenues on a percentage basis by geographic regions, based on the country in which the customer is located. Quarters ended September 30, Nine months ended September 30, 2015 2014 2015 2014 United States 67 % 72 % 65 % 75 % South America 11 % — 13 % — Japan 2 % 7 % 2 % 6 % Europe 19 % 17 % 19 % 15 % Other 1 % 4 % 1 % 4 % 100 % 100 % 100 % 100 % |
Income taxes
Income taxes | 9 Months Ended |
Sep. 30, 2015 | |
Income Tax Disclosure [Abstract] | |
Income taxes | 14. Income taxes For the quarter ended September 30, 2015, the Company’s income tax provision was $221, compared to $145 for the prior year period. For the nine months ended September 30, 2015, the Company’s income tax provision was $312, compared to $745 for the prior year period. The change in the income tax provision for the nine months ended September 30, 2015 is primarily related to a change in the geographical mix of income which decreased taxable non-U.S. earnings before income taxes when compared to the prior year period. If the Company’s current estimates change in future periods, the impact on the deferred tax assets and liabilities may change correspondingly. As of September 30, 2015 and December 31, 2014, the Company maintained a valuation allowance against its net deferred tax assets primarily attributable to operations in the United States, as the realization of such assets was not considered more likely than not. There were no changes to the Company’s unrecognized tax benefits during the nine months ended September 30, 2015. The Company does not expect any significant changes to its unrecognized tax positions during the next twelve months. The Company recognizes interest and penalties related to uncertain tax positions in income tax expense. No interest and penalties related to uncertain tax positions were recognized during the nine months ended September 30, 2015. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2015 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 15. Commitments and Contingencies Next-generation satellite procurement On May 5, 2008, the Company entered into a procurement agreement with SNC pursuant to which SNC is constructing eighteen LEO satellites in three sets of satellites (“shipsets”) for the Company’s next-generation satellites (the “Initial Satellites”). Under the agreement, SNC is also providing launch support services, a test satellite (excluding the mechanical structure), a satellite software simulator and the associated ground support equipment. The total contract price for the Initial Satellites under the procurement agreement is $117,000, subject to reduction upon failure to achieve certain in-orbit operational milestones with respect to the Initial Satellites or if the pre-ship reviews of each shipset are delayed more than 60-120 days after the specified time periods described below. The Company has agreed to pay SNC up to $1,500 in incentive payments for the successful operation of the Initial Satellites five years following the successful completion of in-orbit testing for the third shipset of eight satellites. On August 31, 2010, the Company entered into two additional task order agreements with SNC in connection with the procurement agreement discussed above. Under the terms of the launch vehicle changes task order agreement, SNC will perform the activities to launch eighteen of the Company’s next-generation satellites on a SpaceX Falcon 1e or Falcon 9 launch vehicle. The total price for the launch activities is cost reimbursable up to $4,110 and the contract is cancelable by the Company, less a credit of $1,528. Under the terms of the engineering change requests and enhancements task order agreement, SNC will design and make changes to each of the next-generation satellites in order to accommodate an additional payload-to-bus interface. The total price for the engineering changes requests is cost reimbursable up to $317. Both task order agreements are payable monthly as the services are performed, provided that with respect to the launch vehicle changes task order agreement, the credit in the amount of $1,528 will first be deducted against amounts accrued thereunder until the entire balance is expended. On August 23, 2011, the Company and SNC entered into a definitive First Amendment to the procurement agreement (the “First Amendment”). The First Amendment amends certain terms of the procurement agreement and supplements or amends five separate task order agreements, between May 20, 2010 and December 15, 2010 (“Task Orders #1-5”). Between July 3, 2012 and April 18, 2014, the Company and SNC entered into five additional task order agreements for additional cost up to $2,700. The First Amendment modifies the milestone payment schedule under the procurement agreement dated May 5, 2008 but does not change the total contract price (excluding optional satellites and costs under the Original Task Orders) of $117,000. Payments under the First Amendment extended into the second quarter of 2014, subject to SNC’s successful completion of each payment milestone. The First Amendment also settles the liquidated delay damages triggered under the procurement agreement and provides an ongoing mechanism for the Company to obtain pricing proposals to order up to thirty optional satellites substantially identical to the Initial Satellites for which firm fixed pricing previously had expired under the procurement agreement dated May 5, 2008. The Company anticipates $3,900 in total liquidated delay damages will be available to offset milestone and task order payments. On March 20, 2014, the Company and SNC entered into a definitive Second Amendment to the procurement agreement (the “Second Amendment”). The Second Amendment amends certain terms of the procurement agreement dated May 5, 2008, as amended by the First Amendment and supplemented by nine separate Task Orders entered into prior to that date (collectively, “Task Orders #1-9”). The Second Amendment modifies the number of satellites in each shipset to reflect the actual number of satellites to be launched in each of the two missions. The Second Amendment also modifies the payment milestone schedule under the First Amendment but does not change the total contract price (excluding optional satellites and costs under Task Orders #1-9) of $117,000. As of September 30, 2015, the Company has made milestone payments of $11,472 to SNC under the procurement agreement. The Company anticipates making additional payments of approximately $21,450 under the agreement during the remainder of 2015. On September 21, 2012, SpaceX and the Company entered into a Secondary Payload Launch Services Agreement totaling $4,000 of the original $46,600 to launch the next-generation prototype which occurred on October 7, 2012. On December 21, 2012, the Company and SpaceX entered into a Launch Services Agreement (the “Falcon 9 Agreement”) pursuant to which SpaceX will provide launch services (the “Launch Services”) for the carriage into LEO of up to 17 ORBCOMM next-generation satellites. Under the Falcon 9 Agreement, SpaceX will also provide to the Company satellite-to-launch vehicle integration and launch support services, as well as certain related optional services. The total price under the Falcon 9 Agreement (excluding any optional services) is $42,600 subject to certain adjustments, which reflects pricing agreed under the 2009 agreement for Launch Services. The amounts due under the Falcon 9 Agreement are payable by the Company in installments from the date of execution of the Falcon 9 Agreement through the performance of each Launch Service. The Falcon 9 Agreement anticipated that the Launch Services for 17 Satellites would be performed by the second quarter of 2014, subject to certain rights of ORBCOMM and SpaceX to reschedule the Launch Services as needed. Either the Company or SpaceX may postpone and reschedule either Launch Service based on satellite and launch vehicle readiness, among other factors, subject to the payment of certain fees by the party requesting or causing the delay following 6 months of delay with respect to either of the two Launch Services. Both the Company and SpaceX have customary termination rights under the Falcon 9 Agreement, including for material breaches and aggregate delays beyond 365 days by the other party. The Company has the right to terminate either of the Launch Services subject to the payment of a termination fee in an amount that would be based on the date ORBCOMM exercises its termination right. On July 14, 2014, the Company launched six of its OG2 satellites aboard a SpaceX Falcon 9 launch vehicle. The OG2 satellites were separated from the Falcon 9 vehicle into orbit. On September 15, 2014, following an in-orbit testing period, the Company initiated commercial service for the six OG2 satellites. The satellites provide both M2M messaging and AIS service for its global customers. On April 13, 2015, the Company and SpaceX entered into Amendment #1 to the Falcon 9 Agreement (the “First LSA Amendment”). The First LSA Amendment amends certain terms of the Falcon 9 Agreement dated December 21, 2012 applicable to the second launch period including (i) the milestone payment schedule related to the second launch, but does not change the total contract price of $42,600 and (ii) establishing a launch window for the second launch, as well as modifying other terms and conditions relating to the second launch as originally set forth in the Falcon 9 Agreement. As of September 30, 2015, the Company made milestone payments of $5,325 under the Falcon 9 Agreement. The Company anticipates making additional payments of approximately $1,065 under the agreement. In April 2014, the Company obtained launch and one year in-orbit insurance for the OG2 satellite program. For the first launch of six satellites, the Company obtained (i) a maximum total of $66,000 of launch plus one year in-orbit insurance coverage; and (ii) $22,000 of launch vehicle flight only insurance coverage (“Launch One”). The total premium cost for Launch One was $9,953. For the second launch of eleven satellites, the Company obtained (i) a maximum total of $120,000 of launch plus one year in-orbit insurance coverage; and (ii) $22,000 of launch vehicle flight only insurance coverage (“Launch Two”). The total premium cost for Launch Two is $16,454. In April 2014, the Company paid the total premium for Launch One and 5% of the total premium for Launch Two, with the balance of the premium cost for Launch Two becoming due 30 days prior to the scheduled launch of the second mission. The majority of the premium payments are recorded as satellite network and other equipment, net in the consolidated balance sheet as of September 30, 2015. The Launch One coverage took effect on July 14, 2014, following the launch and insertion of the first six satellites into orbit. The policy contains a three satellite deductible across both missions under the launch plus one-year insurance coverage whereby claims are payable in excess of the first three satellites in the aggregate for both Launch One and Launch Two combined that are total losses or constructive total losses. The launch vehicle only coverage requires the loss of all satellites on the applicable mission as a result of the launch vehicle flight in order to collect under that portion of the insurance policy. The policy is also subject to specified exclusions and material change limitations customary in the industry. These exclusions include losses resulting from war, anti-satellite devices, insurrection, terrorist acts, government confiscation, radioactive contamination, electromagnetic interference, loss of revenue and third party liability. In June 2015, the Company lost communication with one of its in-orbit OG2 satellites. The Company recorded a non-cash impairment charge of $12,748 on the condensed consolidated statement of operations in the quarter ended June 30, 2015 to write off the net book value of the satellite. In addition, the Company decreased satellite network and other equipment and the associated accumulated depreciation on the condensed consolidated balance sheet by $13,788 and $1,040, respectively. We have notified our in-orbit insurers that the loss of the OG2 satellite may result in a constructive total loss of that satellite. Under the insurance terms mentioned above, this satellite will be the first of the three satellite deductible in the aggregate for both Launch One and Launch Two, under which no claim is payable. On July 14, 2015, the Company obtained an additional one year in-orbit insurance for the five OG2 satellites currently in-orbit for a maximum total of $40,000. The additional in-orbit coverage took effect on July 15, 2015, following the end of the coverage period for the initial launch and one year in-orbit insurance. The policy contains a one satellite deductible across the five in-orbit OG2 satellites whereby claims are payable in excess of the first satellite that is a total loss or constructive total loss. The policy is also subject to a specific exclusion for losses that have resulted from an anomaly with the same signatures as the initial OG2 satellite loss. There are other specified exclusions and material change limitations customary in the industry which include losses resulting from war, antisatellite devices, insurrection, terrorist acts, government confiscation, radioactive contamination, electromagnetic interference, loss of revenue and third party liability. Airtime credits In 2001, in connection with the organization of ORBCOMM Europe and the reorganization of the ORBCOMM business in Europe, the Company agreed to grant certain country representatives in Europe approximately $3,736 in airtime credits. The Company has not recorded the airtime credits as a liability for the following reasons: (i) the Company has no obligation to pay the unused airtime credits if they are not utilized; and (ii) the airtime credits are earned by the country representatives only when the Company generates revenue from the country representatives. The airtime credits have no expiration date. Accordingly, the Company is recording airtime credits as services are rendered and these airtime credits are recorded net of revenues from the country representatives. For the quarters ended September 30, 2015 and 2014 airtime credits used totaled approximately $7 and $8, respectively. For the nine months ended September 30, 2015 and 2014 airtime credits used totaled approximately $22 and $23, respectively. As of September 30, 2015 and 2014 unused credits granted by the Company were approximately $2,045 and $2,074, respectively. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2015 | |
Subsequent Events [Abstract] | |
Subsequent Events | 16. Subsequent Events On October 6, 2015, a wholly owned subsidiary of the Company completed the acquisition of substantially all the assets of WAM Technologies, LLC (“WAM”), for a purchase price of $8,500, subject to net working capital adjustments, pursuant to an Asset Purchase Agreement entered into on October 5, 2015 |
Summary of Significant Accoun25
Summary of Significant Accounting Principles (Policies) | 9 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed consolidated financial statements have been prepared pursuant to the rules of the Securities and Exchange Commission (the “SEC”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted pursuant to SEC rules. These financial statements should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2014, as amended. In the opinion of management, the financial statements as of September 30, 2015 and for the quarters and nine months ended September 30, 2015 and 2014 include all adjustments (including normal recurring accruals) necessary for a fair presentation of the consolidated financial position, results of operations, comprehensive income and cash flows for the periods presented. The results of operations for the interim periods are not necessarily indicative of the results to be expected for the full year. The financial statements include the accounts of the Company, its wholly-owned and majority-owned subsidiaries, and investments in variable interest entities in which the Company is determined to be the primary beneficiary. All significant intercompany accounts and transactions have been eliminated in consolidation. The portions of majority-owned subsidiaries that the Company does not own are reflected as noncontrolling interests in the condensed consolidated balance sheets. |
Investments | Investments Investments in entities over which the Company has the ability to exercise significant influence but does not have a controlling interest are accounted for under the equity method of accounting. The Company considers several factors in determining whether it has the ability to exercise significant influence with respect to investments, including, but not limited to, direct and indirect ownership level in the voting securities, active participation on the board of directors, approval of operating and budgeting decisions and other participatory and protective rights. Under the equity method, the Company’s proportionate share of the net income or loss of such investee is reflected in the Company’s condensed consolidated results of operations. When the Company does not exercise significant influence over the investee, the investment is accounted under the cost method. Although the Company owns interests in companies that it accounts for pursuant to the equity method, the investments in those entities had no carrying value as of September 30, 2015 and December 31, 2014. The Company has no guarantees or other funding obligations to those entities. The Company had no equity or losses of those investees for the quarters and nine months ended September 30, 2015 and 2014. |
Acquisition-related and integration costs | Acquisition-related and integration costs Acquisition-related and integration costs are expensed as incurred and are presented separately on the condensed consolidated statement of operations. These costs may include professional services expenses and identifiable integration costs directly relating to acquisitions. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments The Company has no financial assets or liabilities that are measured at fair value on a recurring basis. However, if certain triggering events occur the Company is required to evaluate the non-financial assets for impairment and any resulting asset impairment would require that a non-financial asset be recorded at the fair value. Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 820 “ Fair Value Measurement Disclosure,” The carrying value of the Company’s financial instruments, including cash, accounts receivable, note receivable and accounts payable approximated their fair value due to the short-term nature of these items. The carrying value of the Secured Credit Facilities, as defined below, approximated its fair value as the debt is at variable interest rates. |
Concentration of Credit Risk | Concentration of Credit Risk The Company’s customers are primarily commercial organizations. Accounts receivable are generally unsecured. Accounts receivable are due in accordance with payment terms included in contracts negotiated with customers. Amounts due from customers are stated net of an allowance for doubtful accounts. The Company determines its allowance for doubtful accounts by considering a number of factors, including the length of time accounts are past due, the customer’s current ability to pay its obligations to the Company and the condition of the general economy and the industry as a whole. The Company writes-off accounts receivable when they are deemed uncollectible. One customer, Hub City Terminals, Inc., comprised 11.0% of the Company’s consolidated total revenues for the quarter ended September 30, 2015. There were no customers with revenues greater than 10% of the Company’s consolidated total revenues for the nine months ended September 30, 2015. Two customers, Caterpillar Inc. and Komatsu Ltd., comprised 13.5% and 11.6%, respectively, of the Company’s total revenues for the quarter ended September 30, 2014 and 13.3% and 11.3%, respectively, of the Company’s total revenues for the nine months ended September 30, 2014. The following table presents customers with accounts receivable greater than 10% of the Company’s consolidated accounts receivable for the periods shown: September 30, December 31, 2015 2014 Hub City Terminals, Inc. 18.0 % * Walmart Stores, Inc. * 15.0 % Caterpillar Inc. * 13.6 % * Balance is less than 10% of consolidated accounts receivable As of September 30, 2015, the Company did not maintain in-orbit insurance coverage for its first generation satellites to address the risk of potential systemic anomalies, failures or catastrophic events affecting its satellite constellation. The Company maintains in-orbit insurance coverage over its next-generation satellites, as described in “Note 15 – Commitments and Contingencies.” |
Inventories | Inventories Inventories are stated at the lower of cost or market, determined on a first-in, first-out basis. The Company’s inventory consists primarily of finished goods, raw materials and purchased parts to be utilized by its contract manufacturer. The Company reviews inventory quantities on hand and evaluates the realizability of inventories and adjusts the carrying value as necessary based on forecasted product demand. A provision is made for potential losses on obsolete inventories when identified. |
Valuation of Long-Lived Assets | Valuation of Long-Lived Assets Property and equipment and other long-lived assets are tested for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. The Company measures recoverability by comparing the carrying amount to the projected cash flows the assets are expected to generate. An impairment loss is recognized to the extent that carrying value exceeds fair value. Our satellite constellation and related assets, including satellites under construction, are evaluated as a single asset group whenever facts or circumstances indicate that the carrying value may not be recoverable. If indicators of impairment are identified, recoverability of long-lived assets is measured by comparing their carrying amount to the projected cash flows the assets are expected to generate. Determining whether an impairment has occurred typically requires the use of significant estimates and assumptions, including the allocation of cash flows to assets or asset groups and, if required, an estimate of fair value for those assets or asset groups. If a satellite were to fail during launch or while in-orbit, the resulting loss would be charged to expense in the period it is determined that the satellite is not recoverable. The amount of any such loss would be reduced to the extent of insurance proceeds estimated to be received. An impairment loss of $12,748 related to one of the Company’s in-orbit next-generation (“OG2”) satellites was recorded during the quarter ended June 30, 2015. Refer to “Note 6 – Satellite Network and Other Equipment” for more information. |
Warranty Costs | Warranty Costs The Company accrues for warranty coverage, typically one-year, on product sales estimated at the time of sale based on historical costs to repair or replace products for customers compared to historical product revenues. The warranty accrual is included in accrued liabilities on the condensed consolidated balance sheet. Refer to “Note 8 – Accrued Liabilities” for more information. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In May 2014, the FASB issued Accounting Standards Update (“ASU”) No. 2014-09 “ Revenue from Contracts with Customers ” (“ASU 2014-09”), which requires an entity to recognize the amount of revenue to which it expects to be entitled for the transfer of promised goods or services to customers. ASU 2014-09 will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective. In July 2015, the FASB affirmed its proposal to defer the effective date of ASU No. 2014-09 for all entities by one year. As a result, the new standard is effective for the Company on January 1, 2018. Early adoption prior to the original effective date is not permitted. The standard permits the use of either the retrospective or cumulative effect transition method. The Company is evaluating the effect that ASU 2014-09 will have on its consolidated financial statements and related disclosures. The Company has not yet selected a transition method nor has it determined the effect of the standard on its ongoing financial reporting. In April 2015, the FASB issued ASU No. 2015-03 “ Interest - Imputation of Interest (Subtopic 835-30) – Simplifying the Presentation of Debt Issuance Costs In July 2015, the FASB issued ASU No. 2015-11 “ Simplifying the Measurement of Inventory In September 2015, the FASB issued ASU No. 2015-16 “ Simplifying the Accounting for Measurement - Period Adjustments |
Summary of Significant Accoun26
Summary of Significant Accounting Principles (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Customers with Accounts Receivable Greater than 10% | The following table presents customers with accounts receivable greater than 10% of the Company’s consolidated accounts receivable for the periods shown: September 30, December 31, 2015 2014 Hub City Terminals, Inc. 18.0 % * Walmart Stores, Inc. * 15.0 % Caterpillar Inc. * 13.6 % * Balance is less than 10% of consolidated accounts receivable |
Acquisitions (Tables)
Acquisitions (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
SkyWave Mobile Communications Inc. [Member] | |
Purchase Price Allocation for Acquisition | The preliminary purchase price allocation for the acquisition, net of the assets transferred to Inmarsat, is as follows Amount Cash $ 110 Accounts receivable 13,898 Inventory 1,335 Other current assets 2,180 Property, plant and equipment 4,769 Intangible assets 67,214 Other noncurrent assets 6,108 Total identifiable assets acquired 95,614 Accounts payable and accrued expenses 9,987 Deferred revenues 1,070 Other liabilities 1,168 Deferred tax liabilities 17,527 Total liabilities assumed 29,752 Net identifiable assets acquired 65,862 Goodwill 56,511 Total preliminary purchase price $ 122,373 |
Summary of Useful Lives of Customer Relationships Based on Customer Attrition | The remaining useful lives of customer lists were based on the customer attrition and the projected economic benefit of these customers. Estimated Useful life (years) Amount Customer lists 10 $ 59,371 IDP Technology 10 5,463 M2M and DGS Technology 5 1,318 Trademarks 5 1,062 $ 67,214 |
Summary of Pro Forma Results of Operation | The following table presents the unaudited pro forma consolidated operating results for the Company, as though the SkyWave Acquisition had occurred as of the beginning of the prior annual reporting period. The unaudited pro forma results reflect certain adjustments related to past operating performance, the impact of the debt issued, acquisition costs and acquisition accounting adjustments, such as increased depreciation and amortization expense based on the fair valuation of assets acquired and the related tax effects. The pro forma results do not include any anticipated synergies which may be achievable subsequent to the acquisition date. Accordingly, such pro forma amounts are not necessarily indicative of the results that actually would have occurred had the acquisition been completed on the dates indicated, nor are they indicative of the future operating results of the combined company: (in thousands; except per share amounts) Quarter ended September 2014 Nine months ended September 2014 Net revenues $ 39,011 $ 112,568 Net income attributable to common shareholders $ 6,245 $ 3,599 Earnings per share: Basic $ 0.09 $ 0.05 Diluted $ 0.09 $ 0.05 |
Insync, Inc [Member] | |
Purchase Price Allocation for Acquisition | The preliminary estimated purchase price allocation for the acquisition, net of the estimated fair value of the contingent consideration is as follows Amount Cash $ 288 Accounts receivable 1,141 Other current assets 204 Deferred tax assets 2,342 Property, plant and equipment 51 Intangible assets 5,788 Other noncurrent assets 55 Total identifiable assets acquired 9,869 Accounts payable and accrued expenses 1,080 Deferred revenues 296 Deferred tax liabilities 2,342 Total liabilities assumed 3,718 Net identifiable assets acquired 6,151 Goodwill 5,491 Total preliminary purchase price $ 11,642 |
Summary of Useful Lives of Customer Relationships Based on Customer Attrition | The remaining useful lives of customer lists were based on the customer attrition and the projected economic benefit of these customers. Estimated Useful life (years) Amount Customer lists 14 $ 5,056 Technology 10 632 Trademarks 4 100 $ 5,788 |
Stock-based Compensation (Table
Stock-based Compensation (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Summary Components of Stock-Based Compensation Expense | The following table summarizes the components of stock-based compensation expense in the condensed consolidated statements of operations for the quarters and nine months ended September 30, 2015 and 2014: Quarters ended Nine months ended September 30, September 30, 2015 2014 2015 2014 Cost of services $ 57 $ 49 $ 256 $ 127 Cost of product sales 11 (7 ) 35 42 Selling, general and administrative 852 763 2,733 2,283 Product development 59 47 190 175 Total $ 979 $ 852 $ 3,214 $ 2,627 |
Time-Based Stock Appreciation Rights [Member] | |
Summary of Stock Appreciation Rights | A summary of the Company’s time-based Stock Appreciation Rights (“SARs”) for the nine months ended September 30, 2015 is as follows: Weighted- Average Aggregate Weighted- Remaining Intrinsic Number of Average Contractual Value Shares Exercise Price Term (years) (In thousands) Outstanding at January 1, 2015 3,853,367 $ 4.53 Granted 483,000 6.07 Exercised (128,050 ) 4.05 Forfeited or expired (75,100 ) 6.50 Outstanding at September 30, 2015 4,133,217 $ 4.69 5.91 $ 4,753 Exercisable at September 30, 2015 3,300,317 $ 4.25 5.01 $ 4,934 Vested and expected to vest at September 30, 2015 4,133,217 $ 4.69 5.91 $ 4,753 |
Performance-Based Stock Appreciation Rights [Member] | |
Summary of Stock Appreciation Rights | A summary of the Company’s performance-based SARs for the nine months ended September 30, 2015 is as follows: Weighted- Average Aggregate Weighted- Remaining Intrinsic Number of Average Contractual Value Shares Exercise Price Term (years) (In thousands) Outstanding at January 1, 2015 786,034 $ 5.51 Granted 8,000 5.65 Exercised (11,200 ) 2.83 Forfeited or expired (160 ) 5.65 Outstanding at September 30, 2015 782,674 $ 5.55 4.64 $ 1,278 Exercisable at September 30, 2015 778,674 $ 5.55 4.62 $ 1,278 Vested and expected to vest at September 30, 2015 782,674 $ 5.55 4.64 $ 1,278 |
Fair Value of Stock Appreciation Rights Estimated | The fair value of each time-based and performance-based SAR award is estimated on the date of grant using the Black-Scholes option pricing model with the assumptions described below. For the periods indicated the expected volatility was based on the Company’s historical volatility over the expected terms of SAR awards. Estimated forfeitures were based on voluntary and involuntary termination behavior, as well as analysis of actual forfeitures. The risk-free interest rate was based on the U.S. Treasury yield curve at the time of the grant over the expected term of the SAR grants. Nine months ended September 30, 2015 2014 Risk-free interest rate 1.35% and 1.82% 1.81% and 1.94% Expected life (years) 6.0 6.0 Estimated volatility factor 62.74% 66.07% to 67.34% Expected dividends None None |
Time-Based Restricted Stock Units [Member] | |
Summary of Restricted Stock Units | A summary of the Company’s time-based Restricted Stock Units (“RSUs”) for the nine months ended September 30, 2015 is as follows: Shares Weighted- Average Grant Date Fair Value Balance at January 1, 2015 90,255 $ 7.04 Granted 104,270 6.25 Vested (90,255 ) 7.04 Forfeited or expired — — Balance at September 30, 2015 104,270 $ 6.25 |
Performance-Based Restricted Stock Units [Member] | |
Summary of Restricted Stock Units | A summary of the Company’s performance-based RSUs for the nine months ended September 30, 2015 is as follows: Shares Weighted- Average Grant Date Fair Value Balance at January 1, 2015 321,525 $ 6.41 Granted 76,375 6.14 Vested (137,127 ) 6.09 Forfeited or expired (25,123 ) 6.23 Balance at September 30, 2015 235,650 $ 6.52 |
Performance Units [Member] | |
Fair Value of Stock Appreciation Rights Estimated | As the MPUs contain both a performance and service condition, the MPUs have been treated as a series of three separate awards, or tranches, for purposes of recognizing stock-based compensation expense. The Company recognizes stock-based compensation expense on a tranche-by-tranche basis over the requisite service period for that specific tranche. The Company estimated the fair value of the MPUs using a Monte Carlo Simulation Model that used the following assumptions: Nine months ended September 30, 2015 2014 Risk-free interest rate 0.00% 0.02% to 0.70% Estimated volatility factor 29.00% to 36.00% 34.00% to 40.00% Expected dividends None None |
Net Income (Loss) Attributabl29
Net Income (Loss) Attributable to ORBCOMM Inc. Common Stockholders (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
Summary of Basic and Diluted Calculations of EPS | The following sets forth the basic and diluted calculations of EPS for the quarters and nine months ended September 30, 2015 and 2014: Quarters Ended Nine Months Ended September 30, September 30, (In thousands, expect per share data) 2015 2014 2015 2014 Net income (loss) attributable to ORBCOMM Inc. common stockholders $ 1,582 $ (33 ) $ (13,517 ) $ 920 Weighted average number of common shares outstanding: Basic number of common shares outstanding 70,460 55,247 70,376 54,561 Dilutive effect of grants of stock options, unvested SARs and RSUs and shares of Series A convertible preferred stock 1,458 — — 1,714 Diluted number of common shares outstanding 71,918 55,247 70,376 56,275 Earnings per share: Basic $ 0.02 $ (0.00 ) $ (0.19 ) $ 0.02 Diluted $ 0.02 $ (0.00 ) $ (0.19 ) $ 0.02 |
Schedule of Amounts Not Included in Calculation of Diluted EPS | The following represents amounts not included in the above calculation of diluted EPS as their impact was anti-dilutive under the treasury stock method: Quarters ended Nine months ended September 30, September 30, (Shares in thousands) 2015 2014 2015 2014 SARs 606 * * 737 * Not applicable due to the loss for the period. |
Summary of Net Income (Loss) Attributable to ORBCOMM Inc. Common Stockholders | The computation of net income (loss) attributable to ORBCOMM Inc. common stockholders for quarters and nine months ended September 30, 2015 and 2014 is as follows: Quarters ended Nine months ended September 30, September 30, 2015 2014 2015 2014 Net income (loss) attributable to ORBCOMM Inc. $ 1,591 $ (33 ) $ (13,490 ) $ 939 Preferred stock dividends on Series A convertible preferred stock (9 ) — (27 ) (19 ) Net income (loss) attributable to ORBCOMM Inc. common stockholders $ 1,582 $ (33 ) $ (13,517 ) $ 920 |
Satellite Network and Other E30
Satellite Network and Other Equipment (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Disclosure Text Block [Abstract] | |
Summary of Satellite Network and Other Equipment | Satellite network and other equipment consisted of the following: Useful life September 30, December 31, (years) 2015 2014 Land $ 381 $ 381 Satellite network 1-10 105,721 116,444 Capitalized software 3-7 11,141 7,013 Computer hardware 3 3,623 2,761 Other 2-7 6,709 4,703 Assets under construction 109,711 81,099 237,286 212,401 Less: accumulated depreciation and amortization (42,048 ) (31,780 ) $ 195,238 $ 180,621 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Components of Goodwill | Goodwill consisted of the following: Amount Balance at January 1, 2015 $ 39,870 Additions through acquisitions 62,002 Other adjustments 27 Balance at September 30, 2015 $ 101,899 |
Components of Intangible Assets | The Company’s intangible assets consisted of the following: September 30, 2015 December 31, 2014 Useful life Accumulated Accumulated (years) Cost amortization Net Cost amortization Net Customer lists 5 , $ 86,277 $ (9,141 ) $ 77,136 $ 21,850 $ (2,939 ) $ 18,911 Patents and technology 5 and 10 16,082 (3,621 ) 12,461 8,473 (2,259 ) 6,214 Trade names and trademarks 3, 5 and 10 2,853 (790 ) 2,063 1,690 (481 ) 1,209 $ 105,212 $ (13,552 ) $ 91,660 $ 32,013 $ (5,679 ) $ 26,334 |
Estimated Annual Amortization Expense for Intangible Assets | Estimated annual amortization expense for intangible assets subsequent to September 30, 2015 is as follows: Amount 2015 (remaining) $ 2,658 2016 10,544 2017 10,395 2018 10,357 2019 10,320 Thereafter 47,386 $ 91,660 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Payables And Accruals [Abstract] | |
Components of Accrued Liabilities | The Company’s accrued liabilities consisted of the following: September 30, December 31, 2015 2014 Accrued compensation and benefits $ 5,518 $ 4,453 Warranty 2,407 1,470 Corporate income tax payable 177 455 Contingent earn-out amount 715 1,115 Accrued satellite network and other equipment 1,102 1,188 Accrued inventory purchases 1,181 475 Milestone payable 5,460 5,460 Accrued interest expense 1,051 1,083 Accrued acquisition-related costs — 417 Accrued credit facility financing fees — 734 Accrued professional fees 443 448 Accrued airtime charges 792 — Other accrued expenses 3,822 3,038 $ 22,668 $ 20,336 |
Summary of Accrued Warranty Obligations | For the nine months ended September 30, 2015 and 2014, changes in accrued warranty obligations consisted of the following: Nine Months Ended September 30, 2015 2014 Balance at January 1, $ 1,470 $ 2,199 Warranty liabilities assumed from acquisition 450 96 Amortization of fair value adjustment of warranty liabilities acquired through acquisitions (12 ) (156 ) Reduction of warranty liabilities assumed in connection with acquisitions (174 ) (648 ) Warranty expense 912 278 Warranty charges (239 ) (581 ) Balance at September 30, $ 2,407 $ 1,188 |
Deferred Revenues (Tables)
Deferred Revenues (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Deferred Revenue Disclosure [Abstract] | |
Summary of Deferred Revenues | Deferred revenues consisted of the following: September 30, December 31, 2015 2014 Service activation fees $ 4,568 $ 3,411 Prepaid services 2,644 2,509 Prepaid product revenues — 15 Warranty revenues 141 169 7,353 6,104 Less current portion (4,821 ) (3,525 ) Long-term portion $ 2,532 $ 2,579 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Segment Reporting [Abstract] | |
Summary of Revenues on Percentage Basis by Geographic Regions | The following table summarizes revenues on a percentage basis by geographic regions, based on the country in which the customer is located. Quarters ended September 30, Nine months ended September 30, 2015 2014 2015 2014 United States 67 % 72 % 65 % 75 % South America 11 % — 13 % — Japan 2 % 7 % 2 % 6 % Europe 19 % 17 % 19 % 15 % Other 1 % 4 % 1 % 4 % 100 % 100 % 100 % 100 % |
Organization and Business - Add
Organization and Business - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2015Satellite | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Number of assets operated communications and broadcasting equipment | 30 |
Number of micro satellites owned | 1 |
Summary of Significant Accoun36
Summary of Significant Accounting Principles - Additional Information (Detail) | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Sep. 30, 2015USD ($)Customer | Sep. 30, 2014USD ($) | Dec. 31, 2014USD ($) | |
Summary Of Significant Accounting Policies [Line Items] | ||||||
Equity method investments | $ 0 | $ 0 | $ 0 | |||
Guarantee or other funding obligations under equity method investment | 0 | 0 | ||||
Losses from equity method investment | $ 0 | $ 0 | $ 0 | $ 0 | ||
Number of customers with revenues greater than 10% | Customer | 0 | |||||
Impairment loss - satellite network | $ 12,748,000 | $ 12,748,000 | ||||
Typical warranty coverage period on product sales | 1 year | |||||
Sales [Member] | Customer Concentration Risk [Member] | Hub City Terminals, Inc. [Member] | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Customers with revenues greater than 10% | 11.00% | |||||
Sales [Member] | Customer Concentration Risk [Member] | Caterpillar Inc. [Member] | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Customers with revenues greater than 10% | 13.50% | 13.30% | ||||
Sales [Member] | Customer Concentration Risk [Member] | Komatsu Ltd. [Member] | ||||||
Summary Of Significant Accounting Policies [Line Items] | ||||||
Customers with revenues greater than 10% | 11.60% | 11.30% |
Summary of Significant Accoun37
Summary of Significant Accounting Principles - Customers with Accounts Receivable Greater than 10% (Detail) - Customer Concentration Risk [Member] - Accounts Receivable [Member] | 9 Months Ended | 12 Months Ended |
Sep. 30, 2015 | Dec. 31, 2014 | |
Hub City Terminals, Inc. [Member] | ||
Revenue, Major Customer [Line Items] | ||
Customers with accounts receivable greater than 10% | 18.00% | |
Walmart Stores, Inc. [Member] | ||
Revenue, Major Customer [Line Items] | ||
Customers with accounts receivable greater than 10% | 15.00% | |
Caterpillar Inc. [Member] | ||
Revenue, Major Customer [Line Items] | ||
Customers with accounts receivable greater than 10% | 13.60% |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) - USD ($) | Jan. 16, 2015 | Jan. 02, 2015 | Mar. 11, 2014 | Sep. 30, 2015 | Sep. 30, 2015 | Jan. 01, 2015 | Dec. 31, 2014 |
Business Acquisition [Line Items] | |||||||
Portion of contingent consideration in accrued expenses | $ 715,000 | $ 715,000 | $ 1,115,000 | ||||
SkyWave Mobile Communications Inc. [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Acquisition effective date | Jan. 1, 2015 | ||||||
Arrangement Agreement date | Nov. 1, 2014 | ||||||
Aggregate consideration payable in cash and common stock | $ 130,203,000 | ||||||
Cash consideration paid | 122,373,000 | $ 122,373,000 | |||||
Working capital settlement | $ 300,000 | ||||||
Amount deposited in escrow to fund any indemnification obligations | $ 10,600,000 | ||||||
Business acquisition, settled by promissory note | $ 7,500,000 | ||||||
Outstanding equity percentage | 100.00% | ||||||
Increase (decrease) in goodwill | (969,000) | ||||||
SkyWave Mobile Communications Inc. [Member] | Indemnification Asset [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Amount deposited in escrow to fund any indemnification obligations | $ 9,750,000 | ||||||
Pre-closing tax amount deposited in escrow account | 850,000 | ||||||
Working capital amount deposited in escrow account | $ 503,000 | ||||||
Tax liability settlements | $ 330,000 | ||||||
SkyWave Mobile Communications Inc. [Member] | Technology and Trademarks [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Discount rate to reflect risk characteristics of intangible assets | 23.00% | ||||||
Insync, Inc [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Acquisition effective date | Jan. 16, 2015 | ||||||
Aggregate consideration payable in cash and common stock | $ 11,642,000 | ||||||
Cash consideration paid | 11,100,000 | ||||||
Amount deposited in escrow to fund any indemnification obligations | $ 1,320,000 | ||||||
Outstanding equity percentage | 100.00% | ||||||
Increase (decrease) in goodwill | $ 134,000 | ||||||
Change in fair value of earn-outs amounts | 25,000 | $ 542,000 | |||||
Insync, Inc [Member] | Maximum [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Contingent consideration payable | $ 5,000,000 | ||||||
Insync, Inc [Member] | Indemnification Asset [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Amount deposited in escrow to fund any indemnification obligations | $ 1,320,000 | ||||||
Insync, Inc [Member] | Technology and Trademarks [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Discount rate to reflect risk characteristics of intangible assets | 15.00% | ||||||
Euroscan Holding B.V. [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Acquisition effective date | Mar. 11, 2014 | ||||||
Aggregate consideration payable in cash and common stock | $ 29,163,000 | ||||||
Outstanding equity percentage | 100.00% | ||||||
Change in fair value of earn-outs amounts | 316,000 | $ 316,000 | |||||
Number of common stock shares issued for consideration | 291,230 | ||||||
Common stock issued, per share | $ 7.70 | ||||||
Portion of contingent consideration in accrued expenses | 715,000 | 715,000 | 989,000 | ||||
Portion of contingent consideration in other non-current liabilities | 1,882,000 | 1,882,000 | $ 2,663,000 | ||||
Contingent consideration accretion recorded in Selling, general and administrative expenses | $ 76,000 | $ 252,000 | |||||
Euroscan Holding B.V. [Member] | Maximum [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Contingent consideration payable | $ 6,547,000 |
Acquisitions - Purchase Price A
Acquisitions - Purchase Price Allocation for Acquisition (Detail) $ in Thousands | Sep. 30, 2015USD ($) |
SkyWave Mobile Communications Inc. [Member] | |
Business Acquisition [Line Items] | |
Cash | $ 110 |
Accounts receivable | 13,898 |
Inventory | 1,335 |
Other current assets | 2,180 |
Property, plant and equipment | 4,769 |
Intangible assets | 67,214 |
Other noncurrent assets | 6,108 |
Total identifiable assets acquired | 95,614 |
Accounts payable and accrued expenses | 9,987 |
Deferred revenues | 1,070 |
Other liabilities | 1,168 |
Deferred tax liabilities | 17,527 |
Total liabilities assumed | 29,752 |
Net identifiable assets acquired | 65,862 |
Goodwill | 56,511 |
Total preliminary purchase price | 122,373 |
Insync, Inc [Member] | |
Business Acquisition [Line Items] | |
Cash | 288 |
Accounts receivable | 1,141 |
Other current assets | 204 |
Deferred tax assets | 2,342 |
Property, plant and equipment | 51 |
Intangible assets | 5,788 |
Other noncurrent assets | 55 |
Total identifiable assets acquired | 9,869 |
Accounts payable and accrued expenses | 1,080 |
Deferred revenues | 296 |
Deferred tax liabilities | 2,342 |
Total liabilities assumed | 3,718 |
Net identifiable assets acquired | 6,151 |
Goodwill | 5,491 |
Total preliminary purchase price | $ 11,642 |
Acquisitions - Summary of Usefu
Acquisitions - Summary of Useful Lives of Customer Relationships Based on Customer Attrition (Detail) $ in Thousands | 9 Months Ended |
Sep. 30, 2015USD ($) | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Estimated Useful life (in years) | 10 years 3 months 18 days |
Customer Lists [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Estimated Useful life (in years) | 10 years 6 months |
SkyWave Mobile Communications Inc. [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Total intangible assets | $ 67,214 |
SkyWave Mobile Communications Inc. [Member] | Customer Lists [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Estimated Useful life (in years) | 10 years |
Total intangible assets | $ 59,371 |
SkyWave Mobile Communications Inc. [Member] | IDP Technology [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Estimated Useful life (in years) | 10 years |
Total intangible assets | $ 5,463 |
SkyWave Mobile Communications Inc. [Member] | M2M and DGS Technology [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Estimated Useful life (in years) | 5 years |
Total intangible assets | $ 1,318 |
SkyWave Mobile Communications Inc. [Member] | Trademarks [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Estimated Useful life (in years) | 5 years |
Total intangible assets | $ 1,062 |
Insync, Inc [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Total intangible assets | $ 5,788 |
Insync, Inc [Member] | Customer Lists [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Estimated Useful life (in years) | 14 years |
Total intangible assets | $ 5,056 |
Insync, Inc [Member] | IDP Technology [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Estimated Useful life (in years) | 10 years |
Total intangible assets | $ 632 |
Insync, Inc [Member] | Trademarks [Member] | |
Acquired Finite-Lived Intangible Assets [Line Items] | |
Estimated Useful life (in years) | 4 years |
Total intangible assets | $ 100 |
Acquisitions - Summary of Pro F
Acquisitions - Summary of Pro Forma Results of Operation (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Business Acquisition [Line Items] | ||||
Net revenues | $ 46,084 | $ 23,126 | $ 133,297 | $ 66,774 |
SkyWave Mobile Communications Inc. [Member] | ||||
Business Acquisition [Line Items] | ||||
Net revenues | 39,011 | 112,568 | ||
Net income attributable to common shareholders | $ 6,245 | $ 3,599 | ||
Earnings per share: | ||||
Basic | $ 0.09 | $ 0.05 | ||
Diluted | $ 0.09 | $ 0.05 |
Stock-based Compensation - Addi
Stock-based Compensation - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Jan. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Stock-based compensation expense | $ 979 | $ 852 | $ 3,214 | $ 2,627 | ||
Stock-based compensation, capitalized | 51 | 99 | 129 | 227 | ||
Unrecognized compensation costs for all share-based payment arrangements | $ 2,539 | $ 2,539 | ||||
Common stock, shares issued | 70,504,396 | 70,504,396 | 70,109,488 | |||
Time-Based Stock Appreciation Rights [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Unrecognized compensation costs for all share-based payment arrangements | $ 1,660 | $ 1,660 | ||||
Stock-based compensation expense | $ 638 | 344 | $ 1,596 | 1,185 | ||
Weighted-average grant date fair value of SARs | $ 3.40 | $ 3.40 | ||||
Intrinsic value of SARs | $ 298 | $ 298 | ||||
Performance-Based Stock Appreciation Rights [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Unrecognized compensation costs for all share-based payment arrangements | 6 | 6 | ||||
Stock-based compensation expense | 3 | 0 | 19 | 47 | ||
Intrinsic value of SARs | 42 | 42 | ||||
Time-Based Restricted Stock Units [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Unrecognized compensation costs for all share-based payment arrangements | 324 | 324 | ||||
Stock-based compensation expense | $ 149 | 169 | $ 420 | 426 | ||
Weighted-average grant date fair value of SARs | $ 6.25 | $ 6.25 | $ 7.04 | |||
Performance-Based Restricted Stock Units [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Unrecognized compensation costs for all share-based payment arrangements | $ 549 | $ 549 | ||||
Stock-based compensation expense | $ 294 | 264 | $ 1,044 | 695 | ||
Weighted-average grant date fair value of SARs | $ 6.52 | $ 6.52 | $ 6.41 | |||
Performance Units [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Stock-based compensation expense | $ (105) | $ 75 | $ 135 | $ 274 | ||
Maximum percentage of MPUs for senior executives | 15.00% | 15.00% | ||||
Fair value period of MPUs | 3 years | |||||
Common stock, shares issued | 54,801 | |||||
Market Performance Units [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Term of MPUs | 3 years | |||||
2006 LTIP [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Number of shares available for grant | 2,566,920 | 2,566,920 | ||||
2004 Stock Option Plan [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Intrinsic value of stock options exercised | $ 55 | $ 55 | ||||
Number of stock options exercised | 50,000 | |||||
Weighted average exercise price of stock options | $ 4.88 | $ 4.88 | ||||
Stock options outstanding | 0 | 0 | ||||
Stock options available for exercise | 0 | 0 |
Stock-based Compensation - Summ
Stock-based Compensation - Summary Components of Stock-Based Compensation Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | $ 979 | $ 852 | $ 3,214 | $ 2,627 |
Cost of Services [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | 57 | 49 | 256 | 127 |
Cost of Product Sales [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | 11 | (7) | 35 | 42 |
Selling, General and Administrative [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | 852 | 763 | 2,733 | 2,283 |
Product Development [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock-based compensation expense | $ 59 | $ 47 | $ 190 | $ 175 |
Stock-based Compensation - Su44
Stock-based Compensation - Summary of Stock Appreciation Rights (Detail) $ / shares in Units, $ in Thousands | 9 Months Ended |
Sep. 30, 2015USD ($)$ / sharesshares | |
Time-Based Stock Appreciation Rights [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Shares, Outstanding, Beginning Balance | 3,853,367 |
Number of Shares, Granted | 483,000 |
Number of Shares, Exercised | (128,050) |
Number of Shares, Forfeited or expired | (75,100) |
Number of Shares, Outstanding, Ending Balance | 4,133,217 |
Number of Shares, Exercisable | 3,300,317 |
Number of Shares, Vested and expected to vest | 4,133,217 |
Weighted-Average Exercise Price, Outstanding, Beginning Balance | $ / shares | $ 4.53 |
Weighted-Average Exercise Price, Granted | $ / shares | 6.07 |
Weighted-Average Exercise Price, Exercised | $ / shares | 4.05 |
Weighted-Average Exercise Price, Forfeited or expired | $ / shares | 6.50 |
Weighted-Average Exercise Price, Outstanding, Ending Balance | $ / shares | 4.69 |
Weighted-Average Exercise Price, Exercisable | $ / shares | 4.25 |
Weighted-Average Exercise Price, Vested and expected to vest | $ / shares | $ 4.69 |
Weighted-Average Remaining Contractual Term, Outstanding | 5 years 10 months 28 days |
Weighted-Average Remaining Contractual Term, Exercisable | 5 years 4 days |
Weighted-Average Remaining Contractual Term, Vested and expected to vest | 5 years 10 months 28 days |
Aggregate Intrinsic Value, Outstanding, Ending balance | $ | $ 4,753 |
Aggregate Intrinsic Value, Exercisable | $ | 4,934 |
Aggregate Intrinsic Value, Vested and expected to vest | $ | $ 4,753 |
Performance-Based Stock Appreciation Rights [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Shares, Outstanding, Beginning Balance | 786,034 |
Number of Shares, Granted | 8,000 |
Number of Shares, Exercised | (11,200) |
Number of Shares, Forfeited or expired | (160) |
Number of Shares, Outstanding, Ending Balance | 782,674 |
Number of Shares, Exercisable | 778,674 |
Number of Shares, Vested and expected to vest | 782,674 |
Weighted-Average Exercise Price, Outstanding, Beginning Balance | $ / shares | $ 5.51 |
Weighted-Average Exercise Price, Granted | $ / shares | 5.65 |
Weighted-Average Exercise Price, Exercised | $ / shares | 2.83 |
Weighted-Average Exercise Price, Forfeited or expired | $ / shares | 5.65 |
Weighted-Average Exercise Price, Outstanding, Ending Balance | $ / shares | 5.55 |
Weighted-Average Exercise Price, Exercisable | $ / shares | 5.55 |
Weighted-Average Exercise Price, Vested and expected to vest | $ / shares | $ 5.55 |
Weighted-Average Remaining Contractual Term, Outstanding | 4 years 7 months 21 days |
Weighted-Average Remaining Contractual Term, Exercisable | 4 years 7 months 13 days |
Weighted-Average Remaining Contractual Term, Vested and expected to vest | 4 years 7 months 21 days |
Aggregate Intrinsic Value, Outstanding, Ending balance | $ | $ 1,278 |
Aggregate Intrinsic Value, Exercisable | $ | 1,278 |
Aggregate Intrinsic Value, Vested and expected to vest | $ | $ 1,278 |
Stock-based Compensation - Fair
Stock-based Compensation - Fair Value of Stock Appreciation Rights Estimated, Black-Scholes Option Pricing Model (Detail) - Performance-Based Stock Appreciation Rights [Member] - USD ($) | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Risk-free interest rate, Minimum | 1.35% | 1.81% |
Risk-free interest rate, Maximum | 1.82% | 1.94% |
Expected life (years) | 6 years | 6 years |
Estimated volatility factor, Minimum | 62.74% | 66.07% |
Estimated volatility factor, Maximum | 64.63% | 67.34% |
Expected dividends | $ 0 | $ 0 |
Stock-based Compensation - Su46
Stock-based Compensation - Summary of Restricted Stock Units (Detail) | 9 Months Ended |
Sep. 30, 2015$ / sharesshares | |
Time-Based Restricted Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Shares, Outstanding, Beginning Balance | 90,255 |
Number of Shares, Granted | 104,270 |
Number of Shares, Vested | (90,255) |
Number of Shares, Outstanding, Ending Balance | 104,270 |
Weighted-Average Grant Date Fair Value, Beginning balance | $ / shares | $ 7.04 |
Weighted-Average Grant Date Fair Value, Granted | $ / shares | 6.25 |
Weighted-Average Grant Date Fair Value, Vested | $ / shares | 7.04 |
Weighted-Average Grant Date Fair Value, Ending balance | $ / shares | $ 6.25 |
Performance-Based Restricted Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of Shares, Outstanding, Beginning Balance | 321,525 |
Number of Shares, Granted | 76,375 |
Number of Shares, Vested | (137,127) |
Number of Shares, Forfeited or expired | (25,123) |
Number of Shares, Outstanding, Ending Balance | 235,650 |
Weighted-Average Grant Date Fair Value, Beginning balance | $ / shares | $ 6.41 |
Weighted-Average Grant Date Fair Value, Granted | $ / shares | 6.14 |
Weighted-Average Grant Date Fair Value, Vested | $ / shares | 6.09 |
Weighted-Average Grant Date Fair Value, Forfeited or expired | $ / shares | 6.23 |
Weighted-Average Grant Date Fair Value, Ending balance | $ / shares | $ 6.52 |
Stock-based Compensation - Fa47
Stock-based Compensation - Fair Value of Market Performance Units Estimated, Monte Carlo Simulation Model (Detail) - Performance Units [Member] - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Risk-free interest rate, Minimum | 0.00% | 0.02% |
Risk-free interest rate, Maximum | 0.71% | 0.70% |
Estimated volatility factor, Minimum | 29.00% | 34.00% |
Estimated volatility factor, Maximum | 36.00% | 40.00% |
Expected dividends | $ 0 | $ 0 |
Net Income (Loss) Attributabl48
Net Income (Loss) Attributable to ORBCOMM Inc. Common Stockholders - Summary of Basic and Diluted Calculations of EPS (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Earnings Per Share [Abstract] | ||||
Net income (loss) attributable to ORBCOMM Inc. common stockholders | $ 1,582 | $ (33) | $ (13,517) | $ 920 |
Weighted average number of common shares outstanding: | ||||
Basic number of common shares outstanding | 70,460 | 55,247 | 70,376 | 54,561 |
Dilutive effect of grants of stock options, unvested SARs and RSUs and shares of Series A convertible preferred stock | 1,458 | 1,714 | ||
Diluted number of common shares outstanding | 71,918 | 55,247 | 70,376 | 56,275 |
Earnings per share: | ||||
Basic | $ 0.02 | $ 0 | $ (0.19) | $ 0.02 |
Diluted | $ 0.02 | $ 0 | $ (0.19) | $ 0.02 |
Net Income (Loss) Attributabl49
Net Income (Loss) Attributable to ORBCOMM Inc. Common Stockholders - Schedule of Amounts Not Included in Calculation of Diluted EPS (Detail) - shares shares in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2015 | Sep. 30, 2014 | |
SARs [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Anti-dilutive securities | 606 | 737 |
Net Income (Loss) Attributabl50
Net Income (Loss) Attributable to ORBCOMM Inc. Common Stockholders - Summary of Net Income (Loss) Attributable to ORBCOMM Inc. Common Stockholders (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Earnings Per Share [Abstract] | ||||
Net income (loss) attributable to ORBCOMM Inc. | $ 1,591 | $ (33) | $ (13,490) | $ 939 |
Preferred stock dividends on Series A convertible preferred stock | (9) | (27) | (19) | |
Net income (loss) attributable to ORBCOMM Inc. common stockholders | $ 1,582 | $ (33) | $ (13,517) | $ 920 |
Satellite Network and Other E51
Satellite Network and Other Equipment - Summary of Satellite Network and Other Equipment (Detail) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 237,286 | $ 212,401 |
Less: accumulated depreciation and amortization | (42,048) | (31,780) |
Property, plant and equipment, net | 195,238 | 180,621 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 381 | 381 |
Satellite Network [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 105,721 | 116,444 |
Satellite Network [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, useful life | 1 year | |
Satellite Network [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, useful life | 10 years | |
Capitalized Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 11,141 | 7,013 |
Capitalized Software [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, useful life | 3 years | |
Capitalized Software [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, useful life | 7 years | |
Computer Hardware [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 3,623 | 2,761 |
Property, plant and equipment, useful life | 3 years | |
Other [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 6,709 | 4,703 |
Other [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, useful life | 2 years | |
Other [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, useful life | 7 years | |
Assets under Construction [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 109,711 | $ 81,099 |
Satellite Network and Other E52
Satellite Network and Other Equipment - Additional Information (Detail) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||
Jun. 30, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Property, Plant and Equipment [Line Items] | |||||||
Depreciation and amortization expense | $ 6,331 | $ 2,481 | $ 19,426 | $ 6,470 | |||
Non-cash impairment charge | $ 12,748 | 12,748 | |||||
OG2 Satellite Procurement [Member] | |||||||
Property, Plant and Equipment [Line Items] | |||||||
Depreciation and amortization expense | 3,703 | 1,708 | 11,554 | 4,446 | |||
Internal-use Software [Member] | |||||||
Property, Plant and Equipment [Line Items] | |||||||
Company capitalized costs attributable to the design and development of internal-use software | 2,617 | 2,084 | |||||
Internal-use Software [Member] | OG2 Satellite Procurement [Member] | |||||||
Property, Plant and Equipment [Line Items] | |||||||
Amortization of internal-use software | $ 452 | $ 259 | 1,236 | $ 669 | |||
Satellite Network [Member] | |||||||
Property, Plant and Equipment [Line Items] | |||||||
Removal/decrease in satellite network and other equipment | $ 137 | ||||||
In-orbit OG2 Satellites One [Member] | |||||||
Property, Plant and Equipment [Line Items] | |||||||
Removal/decrease in satellite network and other equipment | 13,788 | ||||||
Non-cash impairment charge | $ 12,748 | $ 12,748 | |||||
Accumulated depreciation on equipment | $ 1,040 |
Goodwill and Intangible Asset53
Goodwill and Intangible Assets - Components of Goodwill (Detail) $ in Thousands | 9 Months Ended |
Sep. 30, 2015USD ($) | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Beginning balance | $ 39,870 |
Additions through acquisitions | 62,002 |
Other adjustments | 27 |
Ending balance | $ 101,899 |
Goodwill and Intangible Asset54
Goodwill and Intangible Assets - Additional Information (Detail) - USD ($) $ in Thousands | Jan. 16, 2015 | Jan. 02, 2015 | Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 |
Acquired Finite-Lived Intangible Assets [Line Items] | ||||||
Goodwill | $ 62,002 | |||||
Weighted-average amortization period intangible assets | 10 years 3 months 18 days | |||||
Amortization of intangible assets | $ 2,628 | $ 773 | $ 7,872 | $ 2,024 | ||
Customer Lists [Member] | ||||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||||
Weighted-average amortization period intangible assets | 10 years 6 months | |||||
Patents and Technology [Member] | ||||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||||
Weighted-average amortization period intangible assets | 9 years 3 months 18 days | |||||
Trade Names and Trademarks [Member] | ||||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||||
Weighted-average amortization period intangible assets | 7 years 3 months 18 days | |||||
SkyWave Mobile Communications Inc. [Member] | ||||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||||
Goodwill | $ 56,511 | |||||
Acquired intangible assets | $ 67,214 | |||||
SkyWave Mobile Communications Inc. [Member] | Customer Lists [Member] | ||||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||||
Weighted-average amortization period intangible assets | 10 years | |||||
Acquired intangible assets | 59,371 | |||||
SkyWave Mobile Communications Inc. [Member] | IDP Technology [Member] | ||||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||||
Weighted-average amortization period intangible assets | 10 years | |||||
Acquired intangible assets | 6,781 | |||||
SkyWave Mobile Communications Inc. [Member] | Trademarks [Member] | ||||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||||
Weighted-average amortization period intangible assets | 5 years | |||||
Acquired intangible assets | $ 1,062 | |||||
Insync, Inc [Member] | ||||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||||
Goodwill | $ 5,491 | |||||
Acquired intangible assets | $ 5,788 | |||||
Insync, Inc [Member] | Customer Lists [Member] | ||||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||||
Weighted-average amortization period intangible assets | 14 years | |||||
Acquired intangible assets | 5,056 | |||||
Insync, Inc [Member] | IDP Technology [Member] | ||||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||||
Weighted-average amortization period intangible assets | 10 years | |||||
Acquired intangible assets | 632 | |||||
Insync, Inc [Member] | Trademarks [Member] | ||||||
Acquired Finite-Lived Intangible Assets [Line Items] | ||||||
Weighted-average amortization period intangible assets | 4 years | |||||
Acquired intangible assets | $ 100 |
Goodwill and Intangible Asset55
Goodwill and Intangible Assets - Components of Intangible Assets (Detail) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Dec. 31, 2014 | |
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite lived intangible assets, Cost | $ 105,212 | $ 32,013 |
Finite lived intangible assets, Accumulated amortization | (13,552) | (5,679) |
Finite lived intangible assets, Net | 91,660 | 26,334 |
Customer Lists [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite lived intangible assets, Cost | 86,277 | 21,850 |
Finite lived intangible assets, Accumulated amortization | (9,141) | (2,939) |
Finite lived intangible assets, Net | $ 77,136 | 18,911 |
Customer Lists [Member] | Minimum [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Useful life (years) | 5 years | |
Customer Lists [Member] | Range One [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Useful life (years) | 7 years | |
Customer Lists [Member] | Range Two [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Useful life (years) | 10 years | |
Customer Lists [Member] | Range Three [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Useful life (years) | 12 years | |
Customer Lists [Member] | Maximum [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Useful life (years) | 14 years | |
Patents and Technology [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite lived intangible assets, Cost | $ 16,082 | 8,473 |
Finite lived intangible assets, Accumulated amortization | (3,621) | (2,259) |
Finite lived intangible assets, Net | $ 12,461 | 6,214 |
Patents and Technology [Member] | Minimum [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Useful life (years) | 5 years | |
Patents and Technology [Member] | Maximum [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Useful life (years) | 10 years | |
Trade Names and Trademarks [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Finite lived intangible assets, Cost | $ 2,853 | 1,690 |
Finite lived intangible assets, Accumulated amortization | (790) | (481) |
Finite lived intangible assets, Net | $ 2,063 | $ 1,209 |
Trade Names and Trademarks [Member] | Minimum [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Useful life (years) | 3 years | |
Trade Names and Trademarks [Member] | Range One [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Useful life (years) | 5 years | |
Trade Names and Trademarks [Member] | Maximum [Member] | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Useful life (years) | 10 years |
Goodwill and Intangible Asset56
Goodwill and Intangible Assets - Estimated Annual Amortization Expense for Intangible Assets (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Goodwill And Intangible Assets Disclosure [Abstract] | ||
2015 (remaining) | $ 2,658 | |
2,016 | 10,544 | |
2,017 | 10,395 | |
2,018 | 10,357 | |
2,019 | 10,320 | |
Thereafter | 47,386 | |
Finite lived intangible assets, Net | $ 91,660 | $ 26,334 |
Accrued Liabilities - Component
Accrued Liabilities - Components of Accrued Liabilities (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Payables And Accruals [Abstract] | ||
Accrued compensation and benefits | $ 5,518 | $ 4,453 |
Warranty | 2,407 | 1,470 |
Corporate income tax payable | 177 | 455 |
Contingent earn-out amount | 715 | 1,115 |
Accrued satellite network and other equipment | 1,102 | 1,188 |
Accrued inventory purchases | 1,181 | 475 |
Milestone payable | 5,460 | 5,460 |
Accrued interest expense | 1,051 | 1,083 |
Accrued acquisition-related costs | 417 | |
Accrued credit facility financing fees | 734 | |
Accrued professional fees | 443 | 448 |
Accrued airtime charges | 792 | |
Other accrued expenses | 3,822 | 3,038 |
Total accrued liabilities | $ 22,668 | $ 20,336 |
Accrued Liabilities - Summary o
Accrued Liabilities - Summary of Accrued Warranty Obligations (Detail) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Payables And Accruals [Abstract] | ||
Balance at January 1, | $ 1,470 | $ 2,199 |
Warranty liabilities assumed from acquisition | 450 | 96 |
Amortization of the fair value adjustment related to warranty liabilities acquired through acquisitions | (12) | (156) |
Reduction of warranty liabilities assumed in connection with acquisitions | (174) | (648) |
Warranty expense | 912 | 278 |
Warranty charges | (239) | (581) |
Balance at September 30, | $ 2,407 | $ 1,188 |
Deferred Revenues - Summary of
Deferred Revenues - Summary of Deferred Revenues (Detail) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Deferred Revenue Disclosure [Abstract] | ||
Service activation fees | $ 4,568 | $ 3,411 |
Prepaid services | 2,644 | 2,509 |
Prepaid product revenues | 15 | |
Warranty revenues | 141 | 169 |
Total deferred revenue | 7,353 | 6,104 |
Less current portion | (4,821) | (3,525) |
Long-term portion | $ 2,532 | $ 2,579 |
Note Payable-Related Party - Ad
Note Payable-Related Party - Additional Information (Detail) € in Thousands, $ in Thousands | 9 Months Ended | |||
Sep. 30, 2015USD ($) | Sep. 30, 2015EUR (€) | Dec. 31, 2014USD ($) | Dec. 31, 2014EUR (€) | |
Debt Disclosure [Abstract] | ||||
Principal balance of the note payable | € | € 1,138 | € 1,138 | ||
Carrying value note payable | $ 1,275 | $ 1,389 | ||
Note payable estimated life | 6 years |
Note Payable - Additional Infor
Note Payable - Additional Information (Detail) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | Jan. 04, 2013 | |
Debt Instrument [Line Items] | |||||
Interest expense | $ 1,332,000 | $ 2,000 | $ 3,906,000 | $ 3,000 | |
9.5% Senior Secured Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Issuance of senior secured notes | $ 45,000,000 | ||||
Debt issuance costs | $ 1,390,000 | ||||
Amortization of debt issuance costs | 66,000 | 202,000 | |||
Note bears interest rate | 9.50% | 9.50% | |||
Leverage ratio | 450.00% | ||||
Maturity date | Jan. 4, 2018 | ||||
Senior Notes, redemption date | Oct. 10, 2014 | ||||
Secured Credit Facilities [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt issuance costs | $ 4,721,000 | ||||
Amortization of debt issuance costs | $ 106,000 | 345,000 | |||
Capitalization of interest expense and amortization of debt issuance costs | 1,138,000 | 3,550,000 | |||
Amounts outstanding under Revolving Credit Facility | 0 | 0 | |||
Net availability under the Revolving Credit Facility | 10,000,000 | $ 10,000,000 | |||
Secured Credit Facilities [Member] | Credit Agreement [Member] | Base Rate [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate, Description | Base rate plus 3.75% | ||||
Interest rate, Percentage | 3.75% | ||||
Secured Credit Facilities [Member] | Credit Agreement [Member] | LIBOR [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate, Description | LIBOR plus 4.75% | ||||
Interest rate, Percentage | 4.75% | ||||
Secured Credit Facilities [Member] | Credit Agreement [Member] | Interest Rate Floor [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest rate, Description | LIBOR floor of 1.00% | ||||
Interest rate, Percentage | 1.00% | ||||
Maximum [Member] | Secured Credit Facilities [Member] | Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Issuance of senior secured notes | 160,000,000 | 160,000,000 | |||
Consolidated leverage ratio | 5 | ||||
Maximum [Member] | Revolving Credit Facility [Member] | Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Issuance of senior secured notes | 10,000,000 | 10,000,000 | |||
Minimum [Member] | 9.5% Senior Secured Notes [Member] | |||||
Debt Instrument [Line Items] | |||||
Available liquidity | 10,000,000 | $ 10,000,000 | |||
Minimum [Member] | Secured Credit Facilities [Member] | Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Consolidated leverage ratio | 1 | ||||
Consolidated liquidation cost | $ 7,500,000 | ||||
Senior Notes [Member] | Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, description | Pursuant to the Credit Agreement, the Lender provided secured credit facilities (the “Secured Credit Facilities”) in an aggregate amount of $160,000 comprised of (i) a term loan facility in an aggregate principal amount of up to $70,000 (the “Initial Term Loan Facility”); (ii) a $10,000 revolving credit facility (the “Revolving Credit Facility”); (iii) a term loan facility in an aggregate principal amount of up to $10,000 (the “Term B2 Facility”), the proceeds of which were drawn and used on January 16, 2015 to finance the InSync Acquisition; and (iv) a term loan facility in an aggregate principal amount of up to $70,000 (the “Term B3 Facility”), the proceeds of which were used on January 1, 2015 to partially finance the SkyWave Acquisition. Proceeds of the Initial Term Loan Facility and Revolving Credit Facility were funded on October 10, 2014 and were used to repay in full the Company’s Senior Notes and pay certain related fees, expenses and accrued interest, as well as for general corporate purposes. | ||||
Secured Credit Facilities , Maturity period | 5 years | ||||
Initial Term Loan Facility [Member] | Maximum [Member] | Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Issuance of senior secured notes | 70,000,000 | 70,000,000 | |||
Term B2 Facility [Member] | Secured Credit Facilities [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest expense | $ 1,332,000 | $ 3,906,000 | |||
Term B2 Facility [Member] | Maximum [Member] | Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Issuance of senior secured notes | 10,000,000 | 10,000,000 | |||
Term B3 Facility [Member] | Maximum [Member] | Credit Agreement [Member] | |||||
Debt Instrument [Line Items] | |||||
Issuance of senior secured notes | $ 70,000,000 | $ 70,000,000 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Detail) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2015 | Jan. 31, 2015 | Dec. 31, 2014 | |
Class of Stock [Line Items] | |||
Common stock, shares issued | 70,504,396 | 70,109,488 | |
Common stock, capital shares reserved for future issuance | 7,702,729 | ||
Performance Units [Member] | |||
Class of Stock [Line Items] | |||
Common stock, shares issued | 54,801 | ||
Series A Convertible Preferred Stock [Member] | |||
Class of Stock [Line Items] | |||
Preferred stock dividends issued | 2,734 | ||
Dividends in arrears | $ 9 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2015Segment | |
Segment Reporting Information [Line Items] | |
Number of reportable segment | 1 |
Maximum [Member] | |
Segment Reporting Information [Line Items] | |
Percentage of foreign revenue collected in US dollars | 97.00% |
Segment Information - Summary o
Segment Information - Summary of Revenues on Percentage Basis by Geographic Regions (Detail) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Segment Reporting Information [Line Items] | ||||
Revenues on a percentage basis by geographic regions, based on the country | 100.00% | 100.00% | 100.00% | 100.00% |
United States [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues on a percentage basis by geographic regions, based on the country | 67.00% | 72.00% | 65.00% | 75.00% |
South America [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues on a percentage basis by geographic regions, based on the country | 11.00% | 13.00% | ||
Japan [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues on a percentage basis by geographic regions, based on the country | 2.00% | 7.00% | 2.00% | 6.00% |
Europe [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues on a percentage basis by geographic regions, based on the country | 19.00% | 17.00% | 19.00% | 15.00% |
Other [Member] | ||||
Segment Reporting Information [Line Items] | ||||
Revenues on a percentage basis by geographic regions, based on the country | 1.00% | 4.00% | 1.00% | 4.00% |
Income taxes - Additional Infor
Income taxes - Additional Information (Detail) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Income Tax Disclosure [Abstract] | ||||
Income tax provision (benefit) | $ 221,000 | $ 145,000 | $ 312,000 | $ 745,000 |
Unrecognized tax benefits, period change | 0 | |||
Interest and penalties related to uncertain tax positions | $ 0 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) | Sep. 30, 2015USD ($) | Jul. 14, 2015USD ($) | Apr. 13, 2015USD ($) | Jul. 14, 2014Satellite | Dec. 21, 2012USD ($) | Sep. 21, 2012USD ($) | Aug. 23, 2011USD ($)Satellite | May. 05, 2008USD ($)Satellite | Jun. 30, 2015USD ($) | Apr. 30, 2014USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Jun. 30, 2014Satellite | Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Dec. 31, 2001USD ($) | Apr. 18, 2014USD ($) | Mar. 20, 2014USD ($) | Aug. 31, 2010USD ($)SatelliteAgreement |
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Non-cash impairment charge | $ 12,748,000 | $ 12,748,000 | ||||||||||||||||||
In-orbit OG2 Satellites One [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Non-cash impairment charge | $ 12,748,000 | $ 12,748,000 | ||||||||||||||||||
Removal/decrease in satellite network and other equipment | 13,788,000 | |||||||||||||||||||
Accumulated depreciation on equipment | 1,040,000 | |||||||||||||||||||
Procurement Agreement Five Additional Task Order [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Procurement agreement fixed price contract amount | $ 2,700,000 | |||||||||||||||||||
Launch Plus One Year In Orbit Insurance Coverage for First Launch of Six Satellites [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Insurance coverage on launch of satellite program | $ 66,000,000 | |||||||||||||||||||
Launch Vehicle Flight Only Insurance Coverage for First Launch of Six Satellites [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Insurance coverage on launch of satellite program | 22,000,000 | |||||||||||||||||||
First Launch of Six Satellites [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Premium cost for launch of satellite | 9,953,000 | |||||||||||||||||||
Launch Plus One Year In Orbit Insurance Coverage for Second Launch of Eleven Satellites [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Insurance coverage on launch of satellite program | 120,000,000 | |||||||||||||||||||
Launch Vehicle Flight Only Insurance Coverage for Second Launch of Eleven Satellites [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Insurance coverage on launch of satellite program | 22,000,000 | |||||||||||||||||||
Second Launch of Eleven Satellites [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Premium cost for launch of satellite | $ 16,454,000 | |||||||||||||||||||
Percentage of premium as to aggregate premium | 5.00% | |||||||||||||||||||
Launch Plus One Year In-orbit Insurance Coverage for Five Satellites [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Insurance coverage on launch of satellite program | $ 40,000,000 | |||||||||||||||||||
First Amendment [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Procurement agreement contract price excluding optional satellites | $ 117,000,000 | |||||||||||||||||||
Second Amendment [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Procurement agreement contract price excluding optional satellites | $ 117,000,000 | |||||||||||||||||||
Falcon 9 Agreement [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Contract price | $ 42,600,000 | $ 42,600,000 | $ 4,000,000 | |||||||||||||||||
Number of satellites | Satellite | 17 | |||||||||||||||||||
Milestone payments | $ 5,325,000 | |||||||||||||||||||
Potential future milestone payments | 1,065,000 | |||||||||||||||||||
Contract original price | $ 46,600,000 | |||||||||||||||||||
OG2 Satellite Procurement [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Number of satellites | Satellite | 6 | |||||||||||||||||||
Procurement Agreement [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Unused credits granted | 2,045,000 | $ 2,045,000 | $ 2,074,000 | 2,045,000 | $ 2,074,000 | |||||||||||||||
Procurement Agreement [Member] | Airtime [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Credits provided | $ 7,000 | $ 8,000 | 22,000 | $ 23,000 | ||||||||||||||||
Procurement Agreement [Member] | Airtime [Member] | Europe [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Credits provided | $ 3,736,000 | |||||||||||||||||||
Procurement Agreement [Member] | SNC [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Incentive payments | $ 1,500,000 | |||||||||||||||||||
Number of satellites | Satellite | 8 | |||||||||||||||||||
Additional task order agreements | Agreement | 2 | |||||||||||||||||||
LEO satellites | Satellite | 18 | |||||||||||||||||||
Amount of credit available | $ 1,528,000 | |||||||||||||||||||
Milestone payments | $ 11,472,000 | |||||||||||||||||||
Potential future milestone payments | $ 21,450,000 | |||||||||||||||||||
Procurement Agreement [Member] | SNC [Member] | Launch Activities [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Cost reimbursable | 4,110,000 | |||||||||||||||||||
Procurement Agreement [Member] | SNC [Member] | Engineering Changes [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Cost reimbursable | $ 317,000 | |||||||||||||||||||
Procurement Agreement [Member] | Second Amendment [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Liquidated delay damages | $ 3,900,000 | |||||||||||||||||||
Maximum [Member] | Procurement Agreement [Member] | SNC [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Contract price | $ 117,000,000 | |||||||||||||||||||
Delayed shipset | 120 days | |||||||||||||||||||
Maximum [Member] | Procurement Agreement [Member] | Second Amendment [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Number of satellites | Satellite | 30 | |||||||||||||||||||
Minimum [Member] | Procurement Agreement [Member] | SNC [Member] | ||||||||||||||||||||
Long-term Purchase Commitment [Line Items] | ||||||||||||||||||||
Delayed shipset | 60 days |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - WAM Technologies, LLC [Member] - Subsequent Event [Member] $ in Thousands | Oct. 06, 2015USD ($) |
Subsequent Event [Line Items] | |
Aggregate consideration payable in cash and common stock | $ 8,500 |
Arrangement Agreement date | Oct. 5, 2015 |
Acquisition effective date | Oct. 6, 2015 |