Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Mar. 31, 2019 | Apr. 26, 2019 | |
Document And Entity Information [Abstract] | ||
Entity Registrant Name | ICF International, Inc. | |
Entity Central Index Key | 0001362004 | |
Trading Symbol | ICFI | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding (in shares) | 18,830,058 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2019 | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Current Assets: | ||
Cash and cash equivalents | $ 5,689 | $ 11,694 |
Contract receivables, net | 222,472 | 230,966 |
Contract assets | 151,805 | 126,688 |
Prepaid expenses and other assets | 15,548 | 16,253 |
Income tax receivable | 4,222 | 6,505 |
Total Current Assets | 399,736 | 392,106 |
Property and Equipment, net | 50,888 | 48,105 |
Other Assets: | ||
Restricted cash - non-current | 1,292 | |
Goodwill | 720,360 | 715,644 |
Other intangible assets, net | 33,520 | 35,494 |
Operating lease - right-of-use assets | 127,587 | |
Other assets | 22,530 | 21,221 |
Total Assets | 1,354,621 | 1,213,862 |
Current Liabilities: | ||
Accounts payable | 87,039 | 102,599 |
Contract liabilities | 35,936 | 33,494 |
Operating lease liabilities - current | 30,324 | |
Accrued salaries and benefits | 50,014 | 44,103 |
Accrued subcontractors and other direct costs | 49,955 | 58,791 |
Accrued expenses and other current liabilities | 27,902 | 39,072 |
Total Current Liabilities | 281,170 | 278,059 |
Long-term Liabilities: | ||
Long-term debt | 232,318 | 200,424 |
Operating lease liabilities - non-current | 112,676 | |
Deferred rent | 13,938 | |
Deferred income taxes | 43,344 | 40,165 |
Other | 22,542 | 20,859 |
Total Liabilities | 692,050 | 553,445 |
Commitments and Contingencies (Note 15) | ||
Stockholders’ Equity: | ||
Preferred stock, par value $.001; 5,000,000 shares authorized; none issued | ||
Common stock, par value $.001; 70,000,000 shares authorized; 22,660,508 and 22,445,576 shares issued as of March 31, 2019 and December 31, 2018, respectively; 18,865,729 and 18,817,495 shares outstanding as of March 31, 2019 and December 31, 2018, respectively | 23 | 22 |
Additional paid-in capital | 330,763 | 326,208 |
Retained earnings | 499,126 | 486,442 |
Treasury stock | (155,073) | (139,704) |
Accumulated other comprehensive loss | (12,268) | (12,551) |
Total Stockholders’ Equity | 662,571 | 660,417 |
Total Liabilities and Stockholders’ Equity | $ 1,354,621 | $ 1,213,862 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Mar. 31, 2019 | Dec. 31, 2018 |
Statement Of Financial Position [Abstract] | ||
Preferred stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, authorized (in shares) | 70,000,000 | 70,000,000 |
Common stock, issued (in shares) | 22,660,508 | 22,445,576 |
Common stock, outstanding (in shares) | 18,865,729 | 18,817,495 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Income Statement [Abstract] | ||
Revenue | $ 341,254 | $ 302,780 |
Direct costs | 215,949 | 188,826 |
Operating costs and expenses: | ||
Indirect and selling expenses | 96,519 | 89,659 |
Depreciation and amortization | 4,762 | 4,469 |
Amortization of intangible assets | 2,135 | 2,244 |
Total operating costs and expenses | 103,416 | 96,372 |
Operating income | 21,889 | 17,582 |
Interest expense | (2,453) | (1,666) |
Other (expense) income | (412) | 104 |
Income before income taxes | 19,024 | 16,020 |
Provision for income taxes | 3,706 | 3,603 |
Net income | $ 15,318 | $ 12,417 |
Earnings per Share: | ||
Basic | $ 0.81 | $ 0.67 |
Diluted | $ 0.80 | $ 0.65 |
Weighted-average Shares: | ||
Basic | 18,825 | 18,670 |
Diluted | 19,263 | 19,158 |
Cash dividends declared per common share | $ 0.14 | $ 0.14 |
Other comprehensive income, net of tax | $ 283 | $ 1,609 |
Comprehensive income, net of tax | $ 15,601 | $ 14,026 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Cash Flows from Operating Activities | ||
Net income | $ 15,318 | $ 12,417 |
Adjustments to reconcile net income to net cash used in operating activities: | ||
Bad debt expense | (159) | 628 |
Deferred income taxes | 3,144 | 2,640 |
Non-cash equity compensation | 4,151 | 2,391 |
Depreciation and amortization | 6,897 | 6,712 |
Facilities consolidation reserve | (67) | (64) |
Amortization of debt issuance costs | 127 | 130 |
Other adjustments, net | (264) | (535) |
Changes in operating assets and liabilities: | ||
Net contract assets and liabilities | (23,152) | (11,413) |
Contract receivables | 8,236 | 3,319 |
Prepaid expenses and other assets | 1,353 | (5,107) |
Accounts payable | (15,561) | (6,942) |
Accrued salaries and benefits | 5,913 | 834 |
Accrued subcontractors and other direct costs | (8,796) | (13,540) |
Accrued expenses and other current liabilities | (8,705) | 4,457 |
Income tax receivable and payable | (757) | (2,120) |
Other liabilities | (366) | 346 |
Net Cash Used in Operating Activities | (12,688) | (5,847) |
Cash Flows from Investing Activities | ||
Capital expenditures for property and equipment and capitalized software | (7,539) | (3,236) |
Payments for business acquisitions, net of cash received | (1,819) | (11,835) |
Net Cash Used in Investing Activities | (9,358) | (15,071) |
Cash Flows from Financing Activities | ||
Advances from working capital facilities | 163,240 | 138,240 |
Payments on working capital facilities | (131,346) | (112,999) |
Payments on capital expenditure obligations | (814) | |
Debt issue costs | (21) | |
Proceeds from exercise of options | 404 | 1,800 |
Dividends paid | (2,636) | |
Net payments for stockholder issuances and buybacks | (15,218) | (9,109) |
Net Cash Provided by Financing Activities | 14,444 | 17,097 |
Effect of Exchange Rate Changes on Cash, Cash Equivalents, and Restricted Cash | 305 | 120 |
Decrease in Cash, Cash Equivalents, and Restricted Cash | (7,297) | (3,701) |
Cash, Cash Equivalents, and Restricted Cash, Beginning of Period | 12,986 | 24,266 |
Cash, Cash Equivalents, and Restricted Cash, End of Period | 5,689 | 20,565 |
Supplemental Disclosure of Cash Flow Information | ||
Interest | 1,597 | 1,596 |
Income taxes | $ 1,066 | $ 615 |
Basis of Presentation and Natur
Basis of Presentation and Nature of Operations | 3 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Nature of Operations | Basis of Presentation The accompanying consolidated financial statements include the accounts of ICF International, Inc. and its subsidiaries (collectively, the “Company”), and have been prepared in accordance with United States (“U.S.”) generally accepted accounting principles (“U.S. GAAP”). All significant intercompany transactions and balances have been eliminated. Nature of Operations The Company provides professional services and technology-based solutions to government and commercial clients, including management, marketing, technology, and policy consulting and implementation services in the areas of: energy, environment, and infrastructure; health, education and social programs; safety and security; and consumer and financial services. The Company offers a full range of services to these clients throughout the entire life cycle of a policy, program, project, or initiative, from research, analysis, assessment and advice to design and implementation of programs and technology-based solutions, as well as the provision of engagement services and programs. The Company’s major clients are U.S. federal government departments and agencies, most significantly the Department of Health and Human Services, Department of State and Department of Defense. The Company also serves U.S. state (including territories) and local government departments and agencies, international governments, and commercial clients worldwide. Commercial clients include airlines, airports, electric and gas utilities, oil companies, banks and other financial services companies, transportation, travel and hospitality firms, non-profits/associations, law firms, manufacturing firms, retail chains, and distribution companies. The term “federal” or “federal government” refers to the U.S. federal government, and “state and local” or “state and local government” refers to U.S. state and local governments and U.S. territorial governments, unless otherwise indicated. The Company, incorporated in Delaware, is headquartered in Fairfax, Virginia. It maintains offices throughout the world, including 65 or more offices in the U.S. and U.S. territories and 15 or more offices in key regions outside the U.S., including offices in the United Kingdom, Belgium, China, India, and Canada. Interim Results The unaudited consolidated financial statements included in this Quarterly Report on Form 10-Q have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). These rules and regulations permit some of the information and footnote disclosures normally included in financial statements, prepared in accordance U.S. GAAP, to be condensed or omitted. In management’s opinion, the unaudited consolidated financial statements contain all adjustments that are of a normal recurring nature, necessary for a fair presentation of the results of operations and financial position of the Company for the interim periods presented. The Company reports operating results and financial data in one operating segment and reporting unit. Operating results for the three months periods ended March 31, 2019 and 2018 are not necessarily indicative of the results that may be expected for the full year. These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements for the fiscal year ended December 31, 2018 and the notes thereto included in the Company’s Annual Report on Form 10-K, filed with the SEC on February 27, 2019 (the “Annual Report”). Reclassifications Certain amounts in the 2018 consolidated financial statements have been reclassified to conform to the current year presentation. The reclassifications were immaterial. Significant Accounting Policies Leases The Company determines if an arrangement is a lease at inception. Operating leases are included in operating lease right-of-use (“ROU”) assets, other liabilities (current and non-current) on the consolidated balance sheets. Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments as of the commencement date. Since most lease agreements do not provide an implicit rate, the Company uses its incremental borrowing rate as of the commencement date in estimating the present value of future payments. The operating lease ROU asset is based on the present value of future lease payments and excludes impacts from lease incentives and initial costs incurred to obtain the lease. Lease terms, for the purposes of determining each lease’s present value, include options to extend or terminate the lease if it is reasonably certain and economically reasonable that the Company will exercise that option. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. The Company uses leases to obtain use of a variety of different resources, including those for the use of facilities or equipment. These agreements may contain both lease and non-lease components which are generally accounted for separately. For equipment leases (including copier leases), the Company accounts for the lease component as well as insignificant non-lease components as a single lease. Recent Accounting Pronouncements Recent Accounting Pronouncements Adopted Leases In February 2016, the Financial Accounting Standards Board (“FASB”) issued a new standard related to leases, Accounting Standard Update (“ASU”) 2016-02, Leases (Topic 842), to increase transparency and comparability among organizations by requiring the recognition of ROU assets and lease liabilities on the balance sheet for those leases classified as operating leases. Under the new standard, required disclosures enable users of financial statements to assess the amount, timing and uncertainty of cash flows arising from leases. The Company, using a modified retrospective adoption approach, is also required to recognize and measure leases existing at the beginning of the period of adoption, with certain practical expedients available. The Company adopted the standard effective January 1, 2019. The Company choose the following practical expedients: not to re-assess existing and expired contracts to determine if they contain embedded leases; not to re-assess lease classification on existing leases; not to re-assess initial direct costs of obtaining leases; to account for lease and non-lease components as a single lease component for equipment leases; and to only apply the standard to leases with a term of twelve months or greater. The most significant impact of adopting the standard was the recognition of ROU assets and lease liabilities for operating leases on the Company’s consolidated balance sheet but it did not have an impact on the Company’s consolidated statements of comprehensive income or consolidated statements of cash flow. The impact to the consolidated balance sheets before and after the adoption are as follows: January 1, 2019 Before Adoption Adoption Adjustments After Adoption Operating lease - right-of-use assets $ — $ 137,152 $ 137,152 Operating lease liabilities - current — 30,951 30,951 Accrued expenses and other current liabilities 1,843 (1,843 ) — Operating lease liabilities - non-current — 121,982 121,982 Deferred rent 13,938 (13,938 ) — Stock Compensation In June 2018, the FASB issued ASU 2018-07, Compensation—Stock Compensation (Topic 718). The standard simplifies the accounting for share-based compensation to non-employees by aligning the guidance with share-based payments to employees. It is effective for interim and annual reporting periods beginning after December 15, 2018. The Company’s adoption of ASU 2018-07 did not have a material impact on the consolidated financial statements. Recent Accounting Pronouncements Not Yet Adopted Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract In August 2018, the FASB issued ASU 2018-15, Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40). The standard aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is considered a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. The standard also requires the entity to expense the capitalized implementation costs of a hosting arrangement over the term of the hosting arrangement and present the expense related to the capitalized implementation costs in the same line item in the statement of income as the fees associated with the hosting arrangement. The standard is effective for interim periods and fiscal years beginning after December 15, 2019 with early adoption permitted. The standard may be implemented using either the retrospective or prospective method. The Company is currently in the process of evaluating the impact of adoption and mode of adoption but does not anticipate that there will be a material impact on the consolidated financial statements as a result of adopting the standard. |
Contract Receivables, Net
Contract Receivables, Net | 3 Months Ended |
Mar. 31, 2019 | |
Receivables [Abstract] | |
Contract Receivables, Net | NOTE 2 – CONTRACT RECEIVABLES, NET Contract receivables, net consisted of the following: March 31, 2019 December 31, 2018 Billed and billable $ 227,583 $ 236,250 Allowance for doubtful accounts (5,111 ) (5,284 ) Contract receivables, net $ 222,472 $ 230,966 |
Goodwill
Goodwill | 3 Months Ended |
Mar. 31, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill | NOTE 3 – GOODWILL The changes in the carrying amount of goodwill during the three-months period ended March 31, 2019 were as follows: Balance as of December 31, 2018 $ 715,644 Goodwill resulting from business combination - Olson (1) 3,047 Goodwill resulting from business combination - We Are Vista ( 2 ) 579 Effect of foreign currency translation 1,090 Balance as of March 31, 2019 $ 720,360 (1) In 2019, the Company recorded changes to goodwill representing an immaterial correction of an error for income tax balances related to acquired assets and liabilities from the business combination that occurred in 2014. These balances were not significant to our previously reported financial position. (2) Goodwill measurement period adjustment related to the settlement of the working capital adjustment under the purchase agreement. |
Long-Term Debt
Long-Term Debt | 3 Months Ended |
Mar. 31, 2019 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | NOTE 4 – LONG-TERM DEBT On May 17, 2017, the Company entered into a Fifth Amended and Restated Business Loan and Security Agreement with a syndication of 11 commercial banks (the “Credit Facility”). The Credit Facility: (i) included modifications to the Company’s Fourth Amended and Restated Business Loan and Security Agreement, (ii) matures on May 17, 2022, (iii) increased the borrowing ceiling up to $600.0 million without a borrowing base requirement, taking into account financial, performance-based limitations, and (iv) provided for an “accordion,” which permits additional revolving credit commitments of up to $300.0 million, subject to lenders’ approval. The Company has the option to borrow funds under the Credit Facility at interest rates based on both LIBOR (1, 3, or 6 month rates) and the Base Rate (as defined herein), at its discretion, plus their applicable margins. Base Rates are fluctuating per annum rates of interest equal to the highest of (i) the Federal Funds Open Rate, plus 0.5%, (ii) the Prime Rate, and (iii) the daily LIBOR rate, plus a LIBOR Margin between 1.00% and 2.00% based on its Leverage Ratio (as defined under the Credit Facility). The interest accrued based on LIBOR rates is to be paid on the last business day of the interest period (1, 3, or 6 months), while interest accrued based on the Base Rate is to be paid in quarterly installments. The Credit Facility also provides for letters of credit aggregating up to $60.0 million, which reduce the funds available under the Credit Facility when issued. The unused portion of the Credit Facility is subject to a commitment fee between 0.13% and 0.25% per annum based on the Leverage Ratio. The Credit Facility is collateralized by substantially all of the assets of the Company and requires that the Company remain in compliance with certain financial and non-financial covenants. The financial covenants require, among other things, that the Company maintain at all times an Interest Coverage Ratio (as defined under the Credit Facility) of not less than 3.00 to 1.00 and a Leverage Ratio of not more than 3.75 to 1.00 (subject to adjustment, in certain circumstances) As of March 31, 2019, the Company had $232.3 million long-term debt outstanding, ten outstanding letters of credit totaling $3.1 million, and unused borrowing capacity of $364.6 million |
Leases
Leases | 3 Months Ended |
Mar. 31, 2019 | |
Leases [Abstract] | |
Leases | NOTE 5 – LEASES The Company has operating leases for facilities and equipment which have remaining terms ranging from 1 to 29 years. The leases may include options to extend the lease periods for up to 5 years at rates approximating market rates and/or options to terminate the leases within 1 year. The leases may include a residual value guarantee or a responsibility to return the property to its original state of use. Certain leases contain provisions that provide for rental increases based on consumer price indices. The change in rent expense resulting from changes in these indices are included within variable rent. Operating leases consisted of the following at March 31, 2019: Real estate facilities $ 132,596 Office equipment 2,062 Other 486 135,144 Amortization of right-of-use assets (7,557 ) Total operating lease right-of-use assets $ 127,587 Rent expense is recognized on a straight-line basis over the lease term, net of sublease payments. Rent expense consists of the following: Three Months Ended March 31, 2019 Operating lease costs $ 8,896 Short-term lease costs 681 Variable lease costs 12 Total operating lease costs 9,589 Sublease income — Total rent expense $ 9,589 Future minimum lease payments under non-cancellable leases as of March 31, 2019 were as follows: March 31, 2020 $ 34,825 March 31, 2021 32,970 March 31, 2022 31,653 March 31, 2023 25,967 March 31, 2024 13,065 Thereafter 18,694 Total future minimum lease payments 157,174 Less: Interest (14,174 ) Total operating lease liabilities $ 143,000 Operating lease liabilities - current $ 30,324 Operating lease liabilities - non-current 112,676 Total operating lease liabilities $ 143,000 Other information related to operating leases is as follows: Three Months Ended March 31, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 9,389 Right-of-use assets obtained in exchange for new operating lease liabilities $ 2,159 Weighted-average remaining lease term - operating leases 5.1 Weighted-average discount rate - operating leases 3.8 % At March 31, 2019, the Company had additional operating leases that have not yet commenced of $16.6 million. Such operating leases will commence within the next year and with lease terms of 1 year to 28 years. |
Other Comprehensive Income (Los
Other Comprehensive Income (Loss) and Accumulated Other Comprehensive Loss | 3 Months Ended |
Mar. 31, 2019 | |
Accumulated Other Comprehensive Income Loss Net Of Tax [Abstract] | |
Other Comprehensive Income (Loss) and Accumulated Other Comprehensive Loss | NOTE 6 – OTHER COMPREHENSIVE INCOME (LOSS) AND ACCUMULATED OTHER COMPREHENSIVE LOSS Other comprehensive income (loss) includes foreign currency translation adjustments arising from the conversion of financial statements of foreign subsidiaries into U.S. dollars, the amortization of the gain on the sale of an interest rate hedge agreement, and the change in the fair value of current interest rate hedge agreements. Components of accumulated other comprehensive loss as of March 31, 2019 and 2018 are as follows: Three Months Ended March 31, 2019 Foreign Currency Translation Adjustments Gain on Sale of Interest Rate Hedge Agreement (1) Change in Fair Value of Interest Rate Hedge Agreements (2)(5) Total Accumulated other comprehensive (loss) income at January 1, 2019 $ (14,168 ) $ 2,164 $ (547 ) $ (12,551 ) Current period other comprehensive (loss) income: Other comprehensive income (loss) before reclassifications 1,254 — (1,164 ) 90 Amounts reclassified from accumulated other comprehensive income — (180 ) 23 (157 ) Effect of taxes (3) — 47 303 350 Total current period other comprehensive (loss) income 1,254 (133 ) (838 ) 283 Accumulated other comprehensive (loss) income at March 31, 2019 $ (12,914 ) $ 2,031 $ (1,385 ) $ (12,268 ) Three Months Ended March 31, 2018 Foreign Currency Translation Adjustments Gain on Sale of Interest Rate Hedge Agreement (1) Change in Fair Value of Interest Rate Hedge Agreement (2) Total Accumulated other comprehensive (loss) income at January 1, 2018 $ (7,638 ) $ 2,158 $ 441 $ (5,039 ) Reclassification of stranded tax effects due to adoption of accounting principle (4) (1,307 ) 478 — (829 ) Adjusted beginning balance (8,945 ) 2,636 441 (5,868 ) Current period other comprehensive income (loss): Other comprehensive income before reclassifications 1,578 — 445 2,023 Amounts reclassified from accumulated other comprehensive income — (120 ) — (120 ) Effect of taxes (3) (341 ) 47 — (294 ) Total current period other comprehensive (loss) income 1,237 (73 ) 445 1,609 Accumulated other comprehensive (loss) income at March 31, 2018 $ (7,708 ) $ 2,563 $ 886 $ (4,259 ) (1) Represents the unamortized value of an interest rate hedge agreement, designated as a cash flow hedge, which was sold on December 1, 2016. The fair value of the interest rate hedge agreement, at the date of the sale, was recorded in other comprehensive income, net of tax, and is being reclassified to interest expense when earnings are impacted by the hedged items and as interest payments are made on the Credit Facility from January 31, 2018 to January 31, 2023. (2) Represents the change in fair value of interest rate hedge agreements designated as a cash flow hedge. The fair value of the interest rate hedge agreements was recorded in other comprehensive income and will be reclassified to interest expense when earnings are impacted by the hedged items and as interest payments are made on the Credit Facility from August 31, 2018 to August 31, 2023. (3) The Company’s effective tax rate for the three months ended March 31, 2019 and 2018 was 19.5% and 22.5%, respectively. (4) The Company has adjusted the balance at December 31, 2017 of accumulated other comprehensive loss for the stranded tax effects caused by the enactment of the Tax Act. (5) The fair value of the fixed interest rate swap asset is included in other liabilities on the consolidated balance sheet. |
Stockholders' Equity
Stockholders' Equity | 3 Months Ended |
Mar. 31, 2019 | |
Stockholders Equity Note [Abstract] | |
Stockholders' Equity | NOTE 7 – STOCKHOLDERS’ EQUITY Changes in stockholders’ equity for the three months ended March 31, 2019 and 2018 are as follows: Three Months Ended March 31, 2019 Common Stock Additional Paid-in Retained Treasury Stock Accumulated Other Comprehensive Shares Amount Capital Earnings Shares Amount Loss Total Balance at January 1, 2019 18,817 $ 22 $ 326,208 $ 486,442 3,629 $ (139,704 ) $ (12,551 ) $ 660,417 Net income — — — 15,318 — — — 15,318 Other comprehensive income — — — — — — 283 283 Equity compensation — — 4,151 — — — — 4,151 Exercise of stock options 11 — 404 — — — — 404 Issuance of shares pursuant to vesting of stock units 255 1 — — — — — 1 Net payments for stock issuances and buybacks (217 ) — — — 217 (15,369 ) — (15,369 ) Dividends declared — — — (2,634 ) — — — (2,634 ) Balance at March 31, 2019 18,866 $ 23 $ 330,763 $ 499,126 3,846 $ (155,073 ) $ (12,268 ) $ 662,571 Three Months Ended March 31, 2018 Common Stock Additional Paid-in Retained Treasury Stock Accumulated Other Comprehensive Shares Amount Capital Earnings Shares Amount Loss Total Balance at January 1, 2018 18,662 $ 22 $ 307,821 $ 434,766 3,357 $ (121,540 ) $ (5,039 ) $ 616,030 Net income — — — 12,417 — — — 12,417 Other comprehensive income — — — — — — 1,609 1,609 Equity compensation — — 2,320 — — 71 — 2,391 Exercise of stock options 76 — 1,800 — — — — 1,800 Issuance of shares pursuant to vesting of stock units 187 — — — (3 ) — — — Net payments for stock issuances and buybacks (158 ) — — — 158 (9,109 ) — (9,109 ) Reclassification of stranded tax effects due to adoption of accounting principle — — — 829 — — (829 ) — Dividends declared — — — (2,637 ) — — — (2,637 ) Balance at March 31, 2018 18,767 $ 22 $ 311,941 $ 445,375 3,512 $ (130,578 ) $ (4,259 ) $ 622,501 |
Restricted Cash
Restricted Cash | 3 Months Ended |
Mar. 31, 2019 | |
Cash And Cash Equivalents [Abstract] | |
Restricted Cash | NOTE 8 – RESTRICTED CASH The following table provides a reconciliation of cash and cash equivalents and restricted cash reported within the consolidated balance sheet for the periods presented to the total of cash, cash equivalents, and restricted cash shown in the consolidated statement of cash flows for the three months ended March 31, 2019 and 2018: 2019 2018 Beginning Ending Beginning Ending Cash and cash equivalents $ 11,694 $ 5,689 $ 11,809 $ 19,292 Restricted cash - current (1) — — 11,191 — Restricted cash - non-current 1,292 — 1,266 1,273 Total of cash, cash equivalents, and restricted cash shown in the consolidated statement of cash flows $ 12,986 $ 5,689 $ 24,266 $ 20,565 (1) Restricted cash – current at the beginning of 2018 represents amount held in an escrow account for a business acquisition. |
Revenue Recognition
Revenue Recognition | 3 Months Ended |
Mar. 31, 2019 | |
Disaggregation Of Revenue [Abstract] | |
Revenue Recognition | NOTE 9 – REVENUE RECOGNITION Disaggregation of Revenue The Company disaggregates revenue from clients, most of which is earned over time, into categories that depict how the nature, amount and uncertainty of revenue and cash flows are affected by economic factors. Those categories are client market, client type and contract mix. Client market revenue information provides insight into the breadth of the Company’s expertise. In classifying revenue by client market, the Company attributes revenue from a client to the market that the Company believes is the client’s primary market. The Company also classifies revenue by the type of entity for which it does business, which is an indicator of the diversity of its client base. The Company attributes revenue generated as a subcontractor to a commercial company as government revenue when the ultimate client is a government agency or department. Finally, disaggregation by contract mix provides insight in terms of the degree of performance risk that the Company has assumed. Fixed-price contracts are considered to provide the highest amount of performance risk as the Company is required to deliver a scope of work or level of effort for a negotiated fixed price. Time-and-materials contracts require the Company to provide skilled employees on contracts for negotiated fixed hourly rates. Since the Company is not required to deliver a scope of work, but merely skilled employees, it considers these contracts to be less risky than a fixed-price agreement. Cost-based contracts are considered to provide the lowest amount of performance risk since the Company is generally reimbursed for all contract costs incurred in performance of contract deliverables with only the amount of incentive or award fees (if applicable) dependent on the achievement of negotiated performance requirements. Increases in revenue from energy, environment, and infrastructure client markets, and U.S. state and local governments in the three months ended March 31, 2019 compared to the prior year period were primarily due to work performed on disaster recovery and relief efforts which also caused an increase in revenue generated through time-and-materials contracts. Consumer and financial client market revenue increased primarily due to acquisitions during the prior year. Three Months Ended March 31, 2019 March 31, 2018 Dollars Percent Dollars Percent Client Markets: Energy, environment, and infrastructure $ 153,651 45 % $ 124,250 41 % Health, education, and social programs 121,337 35 % 122,928 41 % Safety and security 29,052 9 % 25,475 8 % Consumer and financial 37,214 11 % 30,127 10 % Total $ 341,254 100 % $ 302,780 100 % Three Months Ended March 31, 2019 March 31, 2018 Dollars Percent Dollars Percent Client Type: U.S. federal government $ 131,823 39 % $ 134,185 44 % U.S. state and local government 65,522 19 % 31,313 10 % International government 27,158 8 % 28,767 10 % Total Government 224,503 66 % 194,265 64 % Commercial 116,751 34 % 108,515 36 % Total $ 341,254 100 % $ 302,780 100 % Three Months Ended March 31, 2019 March 31, 2018 Dollars Percent Dollars Percent Contract Mix: Fixed-price $ 133,534 39 % $ 122,328 40 % Time-and-materials 156,347 46 % 124,342 41 % Cost-based 51,373 15 % 56,110 19 % Total $ 341,254 100 % $ 302,780 100 % Contract Balances: Contract assets consist primarily of unbilled amounts resulting from long-term contracts when revenue recognized exceeds the amount billed often due to billing schedule timing. Contract liabilities result from advance payments received on a contract or from billings in excess of revenue recognized on long-term contracts due to billing schedule timing. The net contact assets (liabilities) increased $22.7 million due primarily to increases in contract assets offset partially by increases in contract liabilities. The increase in contract assets is primarily due to hurricane relief and rebuild work for U.S. state and local governments, which is considered part of the energy, environment and infrastructure client market, and most of which has been performed on time-and-materials agreements. There were no material changes to contract balances due to impairments or business combinations during the period. March 31, 2019 December 31, 2018 $ Change % Change Contract assets $ 151,805 $ 126,688 $ 25,117 19.8 % Contract liabilities (35,936 ) (33,494 ) (2,442 ) 7.3 % Net contract assets (liabilities) $ 115,869 $ 93,194 $ 22,675 24.3 % Performance Obligations: The Company had $1.4 billion in unfulfilled performance obligations as of March 31, 2019, which primarily entail the future delivery of services for which revenue will be recognized over time. The obligations relate to continued or additional services required on contracts and were generally valued using an estimated cost plus margin approach, with variable consideration being estimated at the most likely amount. The Company expects to satisfy these performance obligations, on average, in one year. |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 10 – The Company’s effective tax rate for the three months ended March 31, 2019 and 2018 was 19.5% and 22.5%, respectively. The Company is subject to federal income taxes as well as to taxes in various state, local and foreign jurisdictions. Tax statutes and regulations within each jurisdiction are subject to interpretation and require the application of significant judgment. The Company’s 2015 through 2017 tax years remain subject to examination by the Internal Revenue Service for federal tax purposes. Certain significant state, local and foreign tax returns also remain open under the applicable statute of limitations and are subject to examination for the tax years from 2014 to 2017. The Company’s total liability for unrecognized tax benefits as of March 31, 2019 was $0.2 million. There were $0.2 million in tax positions that, if recognized, would have a favorable impact on the Company’s effective tax rate. The Company does not recognize accrued interest and penalties related to unrecognized tax benefits as a component of tax expense. The Company has made no provision for deferred U.S. income taxes or additional foreign taxes on future unremitted earnings of its controlled foreign subsidiaries because the Company considers these earnings to be permanently invested. On December 20, 2017, the U.S. Congress passed the Tax Cuts and Jobs Act (the “Tax Act”), which was signed into law on December 22, 2017 and was generally effective beginning January 1, 2018. The Company has been impacted in several ways as a result of the Tax Act, including, but not limited to, a permanent reduction in the federal corporate income tax rate from 35% to 21%. The Company completed the accounting for the tax effects of the enactment of the Tax Act in the fourth quarter of 2018. The Tax Act subjects U.S. corporations to current tax on global intangible low-taxed income (or “GILTI”) earned by certain foreign subsidiaries. Pursuant to FASB Staff Q&A, Topic 740 No. 5, Accounting for Global Intangible Low-Taxed Income, states that an entity can make an accounting policy election to either recognize deferred taxes for temporary differences expected to reverse as GILTI in future years or provide for the tax expense related to GILTI resulting from those items in the year the tax is incurred. The Company elected in the first quarter of fiscal year 2018 to recognize the resulting tax on GILTI as a period expense in the period the tax is incurred. The GILTI tax provision for the quarter ended March 31, 2019 and 2018 was immaterial. |
Accounting for Stock Compensati
Accounting for Stock Compensation | 3 Months Ended |
Mar. 31, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Accounting for Stock Compensation | NOTE 11 – ACCOUNTING FOR STOCK COMPENSATION On April 4, 2018, the Company’s board of directors approved the 2018 Omnibus Incentive Plan (the “2018 Omnibus Plan”), which was subsequently approved by the stockholders and became effective on May 31, 2018 (the “Effective Date”). The 2018 Omnibus Plan replaced the previous 2010 Omnibus Incentive Plan (the “Prior Plan”). On or after the Effective Date, the 2018 Omnibus Plan allows the Company to grant 1,185,000 shares using stock options, stock appreciation rights, restricted stock, restricted stock units (“RSUs”), performance units and performance share awards (“PSAs”), and other stock-based awards to all officers, key employees, and non-employee directors of the Company. Outstanding shares granted under the Prior Plan, totaling 347,629 as of March 31, 2019, remain subject to its terms and conditions, and no additional awards from the Prior Plan are to be made after the Effective Date. As of March 31, 2019, the Company had approximately 915,297 shares available for grant under the 2018 Omnibus Plan. The 2018 Omnibus Plan also gives the Company the ability to issue cash-settled RSUs (“CSRSUs”). The CSRSUs have no impact on the shares available for grant under the Omnibus Plan, nor on the calculated shares used in earnings per share (“EPS”) calculations. During the three months ended March 31, 2019, the Company granted to its employees 136,480 shares in the form of RSUs with an average grant date fair value of $76.56, and the equivalent value of 95,638 shares in the form of CSRSUs with an average grant date fair value of $76.56. During the three months ended March 31, 2019, the Company also granted 47,290 shares in the form of PSAs to its employees with a grant date fair value of $82.38 per share. The RSUs, CSRSUs and PSAs granted are generally subject to service-based vesting conditions, with the PSAs also having performance-based vesting conditions. The performance conditions for the PSAs granted in 2019 have a performance period from January 1, 2019 through December 31, 2021 and the performance conditions are consistent with the PSAs granted in prior years. The Company recognized stock-based compensation expense of $6.7 million and $4.9 million for the three months ended March 31, 2019 and 2018, respectively. Unrecognized compensation expense of approximately $21.3 million as of March 31, 2019 related to unsettled RSUs is expected to be recognized over a weighted-average period of 2.2 1.9 1.7 |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | NOTE 12 – EARNINGS PER SHARE Earnings per share (“EPS”) is computed by dividing reported net income by the weighted-average number of shares outstanding. Diluted EPS considers the potential dilution that could occur if common stock equivalents were exercised or converted into stock. The difference between the basic and diluted weighted-average equivalent shares with respect to the Company’s EPS calculation was due entirely to the assumed exercise of stock options and the vesting and settlement of RSUs and PSAs. PSAs are included in the computation of diluted shares only to the extent that the underlying performance conditions (i) are satisfied as of the end of the reporting period or (ii) would be considered satisfied if the end of the reporting period were also the end of the applicable performance period and the result would be dilutive under the treasury stock method. As of March 31, 2019, the PSAs granted during the year ended December 31, 2017 met the related performance conditions for the initial performance period and were included in the calculation of diluted EPS. However, the PSAs granted during the year ended December 31, 2018 and during the three months ended March 31, 2019 have not yet completed their initial two-year performance period and therefore were excluded in the calculation of diluted EPS. There were 31,840 and 26,420 weighted-average shares excluded from the calculation of EPS because they were anti-dilutive for the three months ended March 31, 2019 and 2018, respectively. The dilutive effect of stock options, RSUs, and PSAs for each period reported is summarized below: Three Months Ended March 31, 2019 2018 Net Income $ 15,318 $ 12,417 Weighted-average number of basic shares outstanding during the period 18,825 18,670 Dilutive effect of stock options, RSUs, and performance shares 438 488 Weighted-average number of diluted shares outstanding during the period 19,263 19,158 Basic earnings per share $ 0.81 $ 0.67 Diluted earnings per share $ 0.80 $ 0.65 |
Share Repurchase Program
Share Repurchase Program | 3 Months Ended |
Mar. 31, 2019 | |
Equity [Abstract] | |
Share Repurchase Program | NOTE 13 – SHARE REPURCHASE PROGRAM The Company’s current share repurchase program allows for share repurchases in the aggregate up to $100.0 million under share repurchase plans approved by the board of directors pursuant to Rules 10b5-1 and 10b-18 under the Securities Exchange Act of 1934. The Credit Facility permits unlimited share repurchases, provided the Company’s Leverage Ratio, prior to and after giving effect to such repurchases, is not greater than 3.25 to 1.00. As of March 31, 2019, $77.5 million remained available for share repurchases under the approved share repurchase program. |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Events | NOTE 14 – On May 2, 2019, the Company’s board of directors approved a $0.14 per share cash dividend. The dividend will be paid on July 16, 2019 to shareholders of record as of the close of business on June 14, 2019. |
Contingencies
Contingencies | 3 Months Ended |
Mar. 31, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Contingencies | NOTE 15 – Litigation and Claims The Company is involved in various legal matters and proceedings arising in the ordinary course of business. While these matters and proceedings cause it to incur costs, including, but not limited to, attorneys’ fees, the Company currently believes that any ultimate liability arising out of these matters and proceedings will not have a material adverse effect on its financial position, results of operations, or cash flows. Road Home Contract On June 10, 2016, the Office of Community Development (the “OCD”) of the State of Louisiana filed a written administrative demand with the Louisiana Commissioner of Administration against ICF Emergency Management Services, L.L.C. (“ICF Emergency”), a subsidiary of the Company, in connection with ICF Emergency’s administration of the Road Home Program (“Program”). The Program contract was a three-year, $912 million contract awarded to the Company in 2006. The Program ended, as scheduled, in 2009. The Program was primarily intended to help homeowners and landlords of small rental properties affected by Hurricanes Rita and Katrina. In its administrative demand, the OCD sought approximately $200.8 million in alleged overpayments to the Program’s grant recipients. The State of Louisiana separately supplemented the amount of recovery it is seeking in total to approximately $220.2 million. The State of Louisiana, through the Division of Administration, also filed suit in Louisiana state court on June 10, 2016. The State of Louisiana broadly alleges and seeks recoupment for the same claim made in the administrative proceeding submission before the Louisiana Commissioner of Administration. On September 21, 2016, the Commissioner of the Division of Administration notified OCD and the Company of his decision to defer jurisdiction of the administrative demand filed by the OCD. In so doing, the Commissioner declined to reach a decision on the merits and stated that his deferral would not be deemed to grant or deny any portion of the OCD’s claim. The Commissioner subsequently authorized the parties to proceed on the matter in the previously filed judicial proceeding. The Company continues to believe that this claim has no merit and intends to vigorously defend its position. The Company has therefore not recorded a liability. |
Basis of Presentation and Nat_2
Basis of Presentation and Nature of Operations (Policies) | 3 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying consolidated financial statements include the accounts of ICF International, Inc. and its subsidiaries (collectively, the “Company”), and have been prepared in accordance with United States (“U.S.”) generally accepted accounting principles (“U.S. GAAP”). All significant intercompany transactions and balances have been eliminated. |
Leases | Leases The Company determines if an arrangement is a lease at inception. Operating leases are included in operating lease right-of-use (“ROU”) assets, other liabilities (current and non-current) on the consolidated balance sheets. Operating lease ROU assets and operating lease liabilities are recognized based on the present value of the future minimum lease payments as of the commencement date. Since most lease agreements do not provide an implicit rate, the Company uses its incremental borrowing rate as of the commencement date in estimating the present value of future payments. The operating lease ROU asset is based on the present value of future lease payments and excludes impacts from lease incentives and initial costs incurred to obtain the lease. Lease terms, for the purposes of determining each lease’s present value, include options to extend or terminate the lease if it is reasonably certain and economically reasonable that the Company will exercise that option. Lease expense for minimum lease payments is recognized on a straight-line basis over the lease term. The Company uses leases to obtain use of a variety of different resources, including those for the use of facilities or equipment. These agreements may contain both lease and non-lease components which are generally accounted for separately. For equipment leases (including copier leases), the Company accounts for the lease component as well as insignificant non-lease components as a single lease. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Recent Accounting Pronouncements Adopted Leases In February 2016, the Financial Accounting Standards Board (“FASB”) issued a new standard related to leases, Accounting Standard Update (“ASU”) 2016-02, Leases (Topic 842), to increase transparency and comparability among organizations by requiring the recognition of ROU assets and lease liabilities on the balance sheet for those leases classified as operating leases. Under the new standard, required disclosures enable users of financial statements to assess the amount, timing and uncertainty of cash flows arising from leases. The Company, using a modified retrospective adoption approach, is also required to recognize and measure leases existing at the beginning of the period of adoption, with certain practical expedients available. The Company adopted the standard effective January 1, 2019. The Company choose the following practical expedients: not to re-assess existing and expired contracts to determine if they contain embedded leases; not to re-assess lease classification on existing leases; not to re-assess initial direct costs of obtaining leases; to account for lease and non-lease components as a single lease component for equipment leases; and to only apply the standard to leases with a term of twelve months or greater. The most significant impact of adopting the standard was the recognition of ROU assets and lease liabilities for operating leases on the Company’s consolidated balance sheet but it did not have an impact on the Company’s consolidated statements of comprehensive income or consolidated statements of cash flow. The impact to the consolidated balance sheets before and after the adoption are as follows: January 1, 2019 Before Adoption Adoption Adjustments After Adoption Operating lease - right-of-use assets $ — $ 137,152 $ 137,152 Operating lease liabilities - current — 30,951 30,951 Accrued expenses and other current liabilities 1,843 (1,843 ) — Operating lease liabilities - non-current — 121,982 121,982 Deferred rent 13,938 (13,938 ) — Stock Compensation In June 2018, the FASB issued ASU 2018-07, Compensation—Stock Compensation (Topic 718). The standard simplifies the accounting for share-based compensation to non-employees by aligning the guidance with share-based payments to employees. It is effective for interim and annual reporting periods beginning after December 15, 2018. The Company’s adoption of ASU 2018-07 did not have a material impact on the consolidated financial statements. Recent Accounting Pronouncements Not Yet Adopted Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract In August 2018, the FASB issued ASU 2018-15, Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40). The standard aligns the requirements for capitalizing implementation costs incurred in a hosting arrangement that is considered a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. The standard also requires the entity to expense the capitalized implementation costs of a hosting arrangement over the term of the hosting arrangement and present the expense related to the capitalized implementation costs in the same line item in the statement of income as the fees associated with the hosting arrangement. The standard is effective for interim periods and fiscal years beginning after December 15, 2019 with early adoption permitted. The standard may be implemented using either the retrospective or prospective method. The Company is currently in the process of evaluating the impact of adoption and mode of adoption but does not anticipate that there will be a material impact on the consolidated financial statements as a result of adopting the standard. |
Basis of Presentation and Nat_3
Basis of Presentation and Nature of Operations (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
Schedule of Impact to Consolidated Balance Sheets Before and After the Adoption | The most significant impact of adopting the standard was the recognition of ROU assets and lease liabilities for operating leases on the Company’s consolidated balance sheet but it did not have an impact on the Company’s consolidated statements of comprehensive income or consolidated statements of cash flow. The impact to the consolidated balance sheets before and after the adoption are as follows: January 1, 2019 Before Adoption Adoption Adjustments After Adoption Operating lease - right-of-use assets $ — $ 137,152 $ 137,152 Operating lease liabilities - current — 30,951 30,951 Accrued expenses and other current liabilities 1,843 (1,843 ) — Operating lease liabilities - non-current — 121,982 121,982 Deferred rent 13,938 (13,938 ) — |
Contract Receivables, Net (Tabl
Contract Receivables, Net (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Receivables [Abstract] | |
Summary of Contract Receivables, Net | Contract receivables, net consisted of the following: March 31, 2019 December 31, 2018 Billed and billable $ 227,583 $ 236,250 Allowance for doubtful accounts (5,111 ) (5,284 ) Contract receivables, net $ 222,472 $ 230,966 |
Goodwill (Tables)
Goodwill (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Schedule of Changes in Carrying Amount of Goodwill | The changes in the carrying amount of goodwill during the three-months period ended March 31, 2019 were as follows: Balance as of December 31, 2018 $ 715,644 Goodwill resulting from business combination - Olson (1) 3,047 Goodwill resulting from business combination - We Are Vista ( 2 ) 579 Effect of foreign currency translation 1,090 Balance as of March 31, 2019 $ 720,360 (1) In 2019, the Company recorded changes to goodwill representing an immaterial correction of an error for income tax balances related to acquired assets and liabilities from the business combination that occurred in 2014. These balances were not significant to our previously reported financial position. (2) Goodwill measurement period adjustment related to the settlement of the working capital adjustment under the purchase agreement. |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Leases [Abstract] | |
Summary of Operating Leases | Operating leases consisted of the following at March 31, 2019: Real estate facilities $ 132,596 Office equipment 2,062 Other 486 135,144 Amortization of right-of-use assets (7,557 ) Total operating lease right-of-use assets $ 127,587 |
Summary of Rent Expense | Rent expense is recognized on a straight-line basis over the lease term, net of sublease payments. Rent expense consists of the following: Three Months Ended March 31, 2019 Operating lease costs $ 8,896 Short-term lease costs 681 Variable lease costs 12 Total operating lease costs 9,589 Sublease income — Total rent expense $ 9,589 |
Summary of Future Minimum Lease Payments Under Non-Cancellable Leases | Future minimum lease payments under non-cancellable leases as of March 31, 2019 were as follows: March 31, 2020 $ 34,825 March 31, 2021 32,970 March 31, 2022 31,653 March 31, 2023 25,967 March 31, 2024 13,065 Thereafter 18,694 Total future minimum lease payments 157,174 Less: Interest (14,174 ) Total operating lease liabilities $ 143,000 Operating lease liabilities - current $ 30,324 Operating lease liabilities - non-current 112,676 Total operating lease liabilities $ 143,000 |
Summary of Other Information Related to Operating Leases | Other information related to operating leases is as follows: Three Months Ended March 31, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 9,389 Right-of-use assets obtained in exchange for new operating lease liabilities $ 2,159 Weighted-average remaining lease term - operating leases 5.1 Weighted-average discount rate - operating leases 3.8 % |
Other Comprehensive Income (L_2
Other Comprehensive Income (Loss) and Accumulated Other Comprehensive Loss (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Accumulated Other Comprehensive Income Loss Net Of Tax [Abstract] | |
Components of Other Comprehensive Income and Components of Accumulated Other Comprehensive Loss | Other comprehensive income (loss) includes foreign currency translation adjustments arising from the conversion of financial statements of foreign subsidiaries into U.S. dollars, the amortization of the gain on the sale of an interest rate hedge agreement, and the change in the fair value of current interest rate hedge agreements. Components of accumulated other comprehensive loss as of March 31, 2019 and 2018 are as follows: Three Months Ended March 31, 2019 Foreign Currency Translation Adjustments Gain on Sale of Interest Rate Hedge Agreement (1) Change in Fair Value of Interest Rate Hedge Agreements (2)(5) Total Accumulated other comprehensive (loss) income at January 1, 2019 $ (14,168 ) $ 2,164 $ (547 ) $ (12,551 ) Current period other comprehensive (loss) income: Other comprehensive income (loss) before reclassifications 1,254 — (1,164 ) 90 Amounts reclassified from accumulated other comprehensive income — (180 ) 23 (157 ) Effect of taxes (3) — 47 303 350 Total current period other comprehensive (loss) income 1,254 (133 ) (838 ) 283 Accumulated other comprehensive (loss) income at March 31, 2019 $ (12,914 ) $ 2,031 $ (1,385 ) $ (12,268 ) Three Months Ended March 31, 2018 Foreign Currency Translation Adjustments Gain on Sale of Interest Rate Hedge Agreement (1) Change in Fair Value of Interest Rate Hedge Agreement (2) Total Accumulated other comprehensive (loss) income at January 1, 2018 $ (7,638 ) $ 2,158 $ 441 $ (5,039 ) Reclassification of stranded tax effects due to adoption of accounting principle (4) (1,307 ) 478 — (829 ) Adjusted beginning balance (8,945 ) 2,636 441 (5,868 ) Current period other comprehensive income (loss): Other comprehensive income before reclassifications 1,578 — 445 2,023 Amounts reclassified from accumulated other comprehensive income — (120 ) — (120 ) Effect of taxes (3) (341 ) 47 — (294 ) Total current period other comprehensive (loss) income 1,237 (73 ) 445 1,609 Accumulated other comprehensive (loss) income at March 31, 2018 $ (7,708 ) $ 2,563 $ 886 $ (4,259 ) (1) Represents the unamortized value of an interest rate hedge agreement, designated as a cash flow hedge, which was sold on December 1, 2016. The fair value of the interest rate hedge agreement, at the date of the sale, was recorded in other comprehensive income, net of tax, and is being reclassified to interest expense when earnings are impacted by the hedged items and as interest payments are made on the Credit Facility from January 31, 2018 to January 31, 2023. (2) Represents the change in fair value of interest rate hedge agreements designated as a cash flow hedge. The fair value of the interest rate hedge agreements was recorded in other comprehensive income and will be reclassified to interest expense when earnings are impacted by the hedged items and as interest payments are made on the Credit Facility from August 31, 2018 to August 31, 2023. (3) The Company’s effective tax rate for the three months ended March 31, 2019 and 2018 was 19.5% and 22.5%, respectively. (4) The Company has adjusted the balance at December 31, 2017 of accumulated other comprehensive loss for the stranded tax effects caused by the enactment of the Tax Act. (5) The fair value of the fixed interest rate swap asset is included in other liabilities on the consolidated balance sheet. |
Stockholders' Equity (Tables)
Stockholders' Equity (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Stockholders Equity Note [Abstract] | |
Schedule of Changes in Stockholders' Equity | Changes in stockholders’ equity for the three months ended March 31, 2019 and 2018 are as follows: Three Months Ended March 31, 2019 Common Stock Additional Paid-in Retained Treasury Stock Accumulated Other Comprehensive Shares Amount Capital Earnings Shares Amount Loss Total Balance at January 1, 2019 18,817 $ 22 $ 326,208 $ 486,442 3,629 $ (139,704 ) $ (12,551 ) $ 660,417 Net income — — — 15,318 — — — 15,318 Other comprehensive income — — — — — — 283 283 Equity compensation — — 4,151 — — — — 4,151 Exercise of stock options 11 — 404 — — — — 404 Issuance of shares pursuant to vesting of stock units 255 1 — — — — — 1 Net payments for stock issuances and buybacks (217 ) — — — 217 (15,369 ) — (15,369 ) Dividends declared — — — (2,634 ) — — — (2,634 ) Balance at March 31, 2019 18,866 $ 23 $ 330,763 $ 499,126 3,846 $ (155,073 ) $ (12,268 ) $ 662,571 Three Months Ended March 31, 2018 Common Stock Additional Paid-in Retained Treasury Stock Accumulated Other Comprehensive Shares Amount Capital Earnings Shares Amount Loss Total Balance at January 1, 2018 18,662 $ 22 $ 307,821 $ 434,766 3,357 $ (121,540 ) $ (5,039 ) $ 616,030 Net income — — — 12,417 — — — 12,417 Other comprehensive income — — — — — — 1,609 1,609 Equity compensation — — 2,320 — — 71 — 2,391 Exercise of stock options 76 — 1,800 — — — — 1,800 Issuance of shares pursuant to vesting of stock units 187 — — — (3 ) — — — Net payments for stock issuances and buybacks (158 ) — — — 158 (9,109 ) — (9,109 ) Reclassification of stranded tax effects due to adoption of accounting principle — — — 829 — — (829 ) — Dividends declared — — — (2,637 ) — — — (2,637 ) Balance at March 31, 2018 18,767 $ 22 $ 311,941 $ 445,375 3,512 $ (130,578 ) $ (4,259 ) $ 622,501 |
Restricted Cash (Tables)
Restricted Cash (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Restricted Cash And Cash Equivalents Current [Abstract] | |
Reconciliation of Cash and Cash Equivalents, and Restricted Cash | The following table provides a reconciliation of cash and cash equivalents and restricted cash reported within the consolidated balance sheet for the periods presented to the total of cash, cash equivalents, and restricted cash shown in the consolidated statement of cash flows for the three months ended March 31, 2019 and 2018: 2019 2018 Beginning Ending Beginning Ending Cash and cash equivalents $ 11,694 $ 5,689 $ 11,809 $ 19,292 Restricted cash - current (1) — — 11,191 — Restricted cash - non-current 1,292 — 1,266 1,273 Total of cash, cash equivalents, and restricted cash shown in the consolidated statement of cash flows $ 12,986 $ 5,689 $ 24,266 $ 20,565 (1) Restricted cash – current at the beginning of 2018 represents amount held in an escrow account for a business acquisition. |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Disaggregation Of Revenue [Abstract] | |
Disaggregation of Revenue | Disaggregation of Revenue Three Months Ended March 31, 2019 March 31, 2018 Dollars Percent Dollars Percent Client Markets: Energy, environment, and infrastructure $ 153,651 45 % $ 124,250 41 % Health, education, and social programs 121,337 35 % 122,928 41 % Safety and security 29,052 9 % 25,475 8 % Consumer and financial 37,214 11 % 30,127 10 % Total $ 341,254 100 % $ 302,780 100 % Three Months Ended March 31, 2019 March 31, 2018 Dollars Percent Dollars Percent Client Type: U.S. federal government $ 131,823 39 % $ 134,185 44 % U.S. state and local government 65,522 19 % 31,313 10 % International government 27,158 8 % 28,767 10 % Total Government 224,503 66 % 194,265 64 % Commercial 116,751 34 % 108,515 36 % Total $ 341,254 100 % $ 302,780 100 % Three Months Ended March 31, 2019 March 31, 2018 Dollars Percent Dollars Percent Contract Mix: Fixed-price $ 133,534 39 % $ 122,328 40 % Time-and-materials 156,347 46 % 124,342 41 % Cost-based 51,373 15 % 56,110 19 % Total $ 341,254 100 % $ 302,780 100 % |
Schedule of Contract Balances and Changes in Contract Balances | Contract Balances: March 31, 2019 December 31, 2018 $ Change % Change Contract assets $ 151,805 $ 126,688 $ 25,117 19.8 % Contract liabilities (35,936 ) (33,494 ) (2,442 ) 7.3 % Net contract assets (liabilities) $ 115,869 $ 93,194 $ 22,675 24.3 % |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
Schedule of Dilutive Effect of Stock Options RSUs and PSAs | The dilutive effect of stock options, RSUs, and PSAs for each period reported is summarized below: Three Months Ended March 31, 2019 2018 Net Income $ 15,318 $ 12,417 Weighted-average number of basic shares outstanding during the period 18,825 18,670 Dilutive effect of stock options, RSUs, and performance shares 438 488 Weighted-average number of diluted shares outstanding during the period 19,263 19,158 Basic earnings per share $ 0.81 $ 0.67 Diluted earnings per share $ 0.80 $ 0.65 |
Basis of Presentation and Nat_4
Basis of Presentation and Nature of Operations - Additional Information (Details) | 3 Months Ended |
Mar. 31, 2019OfficeSegment | |
Basis of Presentation and Nature of Operations [Line Items] | |
Number of operating segments | Segment | 1 |
Number of reporting segments | Segment | 1 |
Domestic | Minimum | |
Basis of Presentation and Nature of Operations [Line Items] | |
Number of offices | Office | 65 |
International | Minimum | |
Basis of Presentation and Nature of Operations [Line Items] | |
Number of offices | Office | 15 |
Basis of Presentation and Nat_5
Basis of Presentation and Nature of Operations - Schedule of Impact to Consolidated Balance Sheets Before and After the Adoption (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
Basis of Presentation and Nature of Operations [Line Items] | |||
Operating lease - right-of-use assets | $ 127,587 | ||
Operating lease liabilities - current | 30,324 | ||
Accrued expenses and other current liabilities | 27,902 | $ 39,072 | |
Operating lease liabilities - non-current | $ 112,676 | ||
Deferred rent | $ 13,938 | ||
Accounting Standards Update 2016-02 | |||
Basis of Presentation and Nature of Operations [Line Items] | |||
Operating lease - right-of-use assets | $ 137,152 | ||
Operating lease liabilities - current | 30,951 | ||
Operating lease liabilities - non-current | 121,982 | ||
Accounting Standards Update 2016-02 | Before Adoption | |||
Basis of Presentation and Nature of Operations [Line Items] | |||
Accrued expenses and other current liabilities | 1,843 | ||
Deferred rent | 13,938 | ||
Accounting Standards Update 2016-02 | Adoption Adjustments | |||
Basis of Presentation and Nature of Operations [Line Items] | |||
Operating lease - right-of-use assets | 137,152 | ||
Operating lease liabilities - current | 30,951 | ||
Accrued expenses and other current liabilities | (1,843) | ||
Operating lease liabilities - non-current | 121,982 | ||
Deferred rent | $ (13,938) |
Contract Receivables, Net - Sum
Contract Receivables, Net - Summary of Contract Receivables, Net (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Receivables [Abstract] | ||
Billed and billable | $ 227,583 | $ 236,250 |
Allowance for doubtful accounts | (5,111) | (5,284) |
Contract receivables, net | $ 222,472 | $ 230,966 |
Goodwill - Schedule of Changes
Goodwill - Schedule of Changes in Carrying Amount of Goodwill (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019USD ($) | ||
Goodwill [Line Items] | ||
Balance as of December 31, 2018 | $ 715,644 | |
Effect of foreign currency translation | 1,090 | |
Balance as of March 31, 2019 | 720,360 | |
Olson | ||
Goodwill [Line Items] | ||
Goodwill resulting from business combinations | 3,047 | [1] |
Vista Limited | ||
Goodwill [Line Items] | ||
Goodwill resulting from business combinations | $ 579 | [2] |
[1] | In 2019, the Company recorded changes to goodwill representing an immaterial correction of an error for income tax balances related to acquired assets and liabilities from the business combination that occurred in 2014. These balances were not significant to our previously reported financial position. | |
[2] | Goodwill measurement period adjustment related to the settlement of the working capital adjustment under the purchase agreement. |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Details) | May 17, 2017USD ($)Bank | Mar. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Mar. 31, 2018 |
Debt Instrument [Line Items] | ||||
Credit facility syndication, number of commercial banks | Bank | 11 | |||
Line of credit facility, expiration date | May 17, 2022 | |||
Line of credit facility, maximum borrowing capacity without borrowing base requirement | $ 600,000,000 | |||
Line of credit facility, accordion feature, additional revolving credit commitments under existing loan facility | 300,000,000 | |||
Line of credit facility, maximum borrowing capacity | $ 60,000,000 | |||
Line of credit facility, interest coverage ratio covenant | 300.00% | |||
Line of credit facility, leverage ratio covenant | 375.00% | |||
Long-term debt | $ 232,318,000 | $ 200,424,000 | ||
Number of letters of credit, outstanding | 10 | |||
Letters of credit outstanding, amount | $ 3,100,000 | |||
Line of credit facility, remaining borrowing capacity | 364,600,000 | |||
Line of credit facility, current borrowing capacity | $ 273,900,000 | |||
Long-term debt, weighted average interest rate, at point in time | 3.76% | 2.84% | ||
Minimum | ||||
Debt Instrument [Line Items] | ||||
Line of Credit Facility, Committement Fee Unused Capacity | 0.13% | |||
Maximum | ||||
Debt Instrument [Line Items] | ||||
Line of Credit Facility, Committement Fee Unused Capacity | 0.25% | |||
Federal Funds Open Rate | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 0.50% | |||
London Interbank Offered Rate (LIBOR) | Minimum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 1.00% | |||
London Interbank Offered Rate (LIBOR) | Maximum | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, basis spread on variable rate | 2.00% |
Leases - Additional Information
Leases - Additional Information (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Lessee Lease Description [Line Items] | |
Operating leases, option to extend lease | The leases may include options to extend the lease periods for up to 5 years |
Operating leases, existence of option to extend | true |
Operating leases, option to terminate lease | options to terminate the leases within 1 year |
Operating leases, existence of option to terminate | true |
Operating leases, residual value guarantee description | The leases may include a residual value guarantee or a responsibility to return the property to its original state of use. |
Operating leases, existence of residual value guarantee | true |
Additional operating leases not yet commenced, value | $ 16.6 |
Minimum | |
Lessee Lease Description [Line Items] | |
Operating leases, remaining lease term | 1 year |
Additional operating leases not yet commenced, lease terms | 1 year |
Maximum | |
Lessee Lease Description [Line Items] | |
Operating leases, remaining lease term | 29 years |
Operating leases, extendable lease term | 5 years |
Operating leases, termination lease term | 1 year |
Additional operating leases not yet commenced, lease terms | 28 years |
Leases - Summary of Operating L
Leases - Summary of Operating Leases (Details) $ in Thousands | Mar. 31, 2019USD ($) |
Lessee Lease Description [Line Items] | |
Operating lease right of use assets, gross | $ 135,144 |
Amortization of right-of-use assets | (7,557) |
Total operating lease right-of-use assets | 127,587 |
Real Estate Facilities | |
Lessee Lease Description [Line Items] | |
Operating lease right of use assets, gross | 132,596 |
Office Equipment | |
Lessee Lease Description [Line Items] | |
Operating lease right of use assets, gross | 2,062 |
Other | |
Lessee Lease Description [Line Items] | |
Operating lease right of use assets, gross | $ 486 |
Leases - Summary of Rent Expens
Leases - Summary of Rent Expense (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Leases [Abstract] | |
Operating lease costs | $ 8,896 |
Short-term lease costs | 681 |
Variable lease costs | 12 |
Total operating lease costs | 9,589 |
Total rent expense | $ 9,589 |
Leases - Summary of Future Mini
Leases - Summary of Future Minimum Lease Payments Under Non-Cancellable Leases (Details) $ in Thousands | Mar. 31, 2019USD ($) |
Leases [Abstract] | |
March 31, 2020 | $ 34,825 |
March 31, 2021 | 32,970 |
March 31, 2022 | 31,653 |
March 31, 2023 | 25,967 |
March 31, 2024 | 13,065 |
Thereafter | 18,694 |
Total future minimum lease payments | 157,174 |
Less: Interest | (14,174) |
Total operating lease liabilities | 143,000 |
Operating lease liabilities - current | 30,324 |
Operating lease liabilities - non-current | 112,676 |
Total operating lease liabilities | $ 143,000 |
Leases - Summary of Other Infor
Leases - Summary of Other Information Related to Operating Leases (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Leases [Abstract] | |
Operating cash flows from operating leases | $ 9,389 |
Right-of-use assets obtained in exchange for new operating lease liabilities | $ 2,159 |
Weighted-average remaining lease term - operating leases | 5 years 1 month 6 days |
Weighted-average discount rate - operating leases | 3.80% |
Other Comprehensive Income (L_3
Other Comprehensive Income (Loss) and Accumulated Other Comprehensive Loss - Components of Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 3 Months Ended | ||||
Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2017 | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||||
Balance | $ 660,417 | $ 616,030 | |||
Current period other comprehensive (loss) income: | |||||
Total current period other comprehensive (loss) income | 283 | 1,609 | |||
Balance | 662,571 | 622,501 | |||
Foreign Currency Translation Adjustments | |||||
Accumulated Other Comprehensive Income Loss [Line Items] | |||||
Balance | (14,168) | (7,638) | |||
Reclassification of stranded tax effects due to adoption of accounting principle | [1] | (1,307) | |||
Adjusted beginning balance | $ (8,945) | ||||
Current period other comprehensive (loss) income: | |||||
Other comprehensive income (loss) before reclassifications | 1,254 | 1,578 | |||
Effect of taxes | [2] | (341) | |||
Total current period other comprehensive (loss) income | 1,254 | 1,237 | |||
Balance | (12,914) | (7,708) | |||
Gain on Sale of Interest Rate Hedge Agreement | |||||
Accumulated Other Comprehensive Income Loss [Line Items] | |||||
Balance | [3] | 2,164 | 2,158 | ||
Reclassification of stranded tax effects due to adoption of accounting principle | [1],[3] | 478 | |||
Adjusted beginning balance | [3] | 2,636 | |||
Current period other comprehensive (loss) income: | |||||
Amounts reclassified from accumulated other comprehensive income | [3] | (180) | (120) | ||
Effect of taxes | [2],[3] | 47 | 47 | ||
Total current period other comprehensive (loss) income | [3] | (133) | (73) | ||
Balance | [3] | 2,031 | 2,563 | ||
Change in Fair Value of Interest Rate Hedge Agreements | |||||
Accumulated Other Comprehensive Income Loss [Line Items] | |||||
Balance | [4] | (547) | [5] | 441 | |
Adjusted beginning balance | [4] | 441 | |||
Current period other comprehensive (loss) income: | |||||
Other comprehensive income (loss) before reclassifications | [4] | (1,164) | [5] | 445 | |
Amounts reclassified from accumulated other comprehensive income | [4],[5] | 23 | |||
Effect of taxes | [2],[4],[5] | 303 | |||
Total current period other comprehensive (loss) income | [4] | (838) | [5] | 445 | |
Balance | [4] | (1,385) | [5] | 886 | |
Accumulated Other Comprehensive Loss | |||||
Accumulated Other Comprehensive Income Loss [Line Items] | |||||
Balance | (12,551) | (5,039) | |||
Reclassification of stranded tax effects due to adoption of accounting principle | [1] | (829) | |||
Adjusted beginning balance | $ (5,868) | ||||
Current period other comprehensive (loss) income: | |||||
Other comprehensive income (loss) before reclassifications | 90 | 2,023 | |||
Amounts reclassified from accumulated other comprehensive income | (157) | (120) | |||
Effect of taxes | [2] | 350 | (294) | ||
Total current period other comprehensive (loss) income | 283 | 1,609 | |||
Balance | $ (12,268) | $ (4,259) | |||
[1] | The Company has adjusted the balance at December 31, 2017 of accumulated other comprehensive loss for the stranded tax effects caused by the enactment of the Tax Act. | ||||
[2] | The Company’s effective tax rate for the three months ended March 31, 2019 and 2018 was 19.5% and 22.5%, respectively. | ||||
[3] | Represents the unamortized value of an interest rate hedge agreement, designated as a cash flow hedge, which was sold on December 1, 2016. The fair value of the interest rate hedge agreement, at the date of the sale, was recorded in other comprehensive income, net of tax, and is being reclassified to interest expense when earnings are impacted by the hedged items and as interest payments are made on the Credit Facility from January 31, 2018 to January 31, 2023. | ||||
[4] | Represents the change in fair value of interest rate hedge agreements designated as a cash flow hedge. The fair value of the interest rate hedge agreements was recorded in other comprehensive income and will be reclassified to interest expense when earnings are impacted by the hedged items and as interest payments are made on the Credit Facility from August 31, 2018 to August 31, 2023. | ||||
[5] | The fair value of the fixed interest rate swap asset is included in other liabilities on the consolidated balance sheet. |
Other Comprehensive Income (L_4
Other Comprehensive Income (Loss) and Accumulated Other Comprehensive Loss - Components of Accumulated Other Comprehensive Loss (Parenthetical) (Details) | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Accumulated Other Comprehensive Income Loss Net Of Tax [Abstract] | ||
Effective tax rate | 19.50% | 22.50% |
Stockholders' Equity - Schedule
Stockholders' Equity - Schedule of Changes in Stockholders' Equity (Details) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Balance | $ 660,417 | $ 616,030 |
Net income | 15,318 | 12,417 |
Other comprehensive income | 283 | 1,609 |
Equity compensation | 4,151 | 2,391 |
Exercise of stock options | 404 | 1,800 |
Issuance of shares pursuant to vesting of stock units | 1 | |
Net payments for stock issuances and buybacks | (15,369) | (9,109) |
Dividends declared | (2,634) | (2,637) |
Balance | 662,571 | 622,501 |
Common Stock | ||
Balance | $ 22 | $ 22 |
Balance (in shares) | 18,817 | 18,662 |
Exercise of stock options (in shares) | 11 | 76 |
Issuance of shares pursuant to vesting of stock units | $ 1 | |
Issuance of shares pursuant to vesting of stock units (in shares) | 255 | 187 |
Net payments for stock issuances and buybacks (in shares) | (217) | (158) |
Balance | $ 23 | $ 22 |
Balance (in shares) | 18,866 | 18,767 |
Additional Paid-in Capital | ||
Balance | $ 326,208 | $ 307,821 |
Equity compensation | 4,151 | 2,320 |
Exercise of stock options | 404 | 1,800 |
Balance | 330,763 | 311,941 |
Retained Earnings | ||
Balance | 486,442 | 434,766 |
Net income | 15,318 | 12,417 |
Reclassification of stranded tax effects due to adoption of accounting principle | 829 | |
Dividends declared | (2,634) | (2,637) |
Balance | 499,126 | 445,375 |
Treasury Stock | ||
Balance | $ (139,704) | $ (121,540) |
Balance (in shares) | 3,629 | 3,357 |
Equity compensation | $ 71 | |
Issuance of shares pursuant to vesting of stock units (in shares) | (3) | |
Net payments for stock issuances and buybacks | $ (15,369) | $ (9,109) |
Net payments for stock issuances and buybacks (in shares) | 217 | 158 |
Balance | $ (155,073) | $ (130,578) |
Balance (in shares) | 3,846 | 3,512 |
Accumulated Other Comprehensive Loss | ||
Balance | $ (12,551) | $ (5,039) |
Other comprehensive income | 283 | 1,609 |
Reclassification of stranded tax effects due to adoption of accounting principle | (829) | |
Balance | $ (12,268) | $ (4,259) |
Restricted Cash - Reconciliatio
Restricted Cash - Reconciliation of Cash and Cash Equivalents, and Restricted Cash to the Total of Cash, Cash Equivalents, and Restricted Cash (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | |
Cash And Cash Equivalents [Abstract] | |||||
Cash and cash equivalents | $ 5,689 | $ 11,694 | $ 19,292 | $ 11,809 | |
Restricted cash - current | [1] | 11,191 | |||
Restricted cash - non-current | 1,292 | 1,273 | 1,266 | ||
Total of cash, cash equivalents, and restricted cash shown in the consolidated statement of cash flows | $ 5,689 | $ 12,986 | $ 20,565 | $ 24,266 | |
[1] | Restricted cash – current at the beginning of 2018 represents amount held in an escrow account for a business acquisition. |
Revenue Recognition - Disaggreg
Revenue Recognition - Disaggregation of Revenue (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients | $ 341,254 | $ 302,780 |
Fixed-Price | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients | 133,534 | 122,328 |
Time-and-Materials | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients | 156,347 | 124,342 |
Cost-Based | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients | 51,373 | 56,110 |
U.S. Federal Government | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients | 131,823 | 134,185 |
U.S. State and Local Government | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients | 65,522 | 31,313 |
International Government | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients | 27,158 | 28,767 |
Total Government | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients | 224,503 | 194,265 |
Commercial | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients | $ 116,751 | $ 108,515 |
Customer Concentration Risk | Revenue from Contract with Customer | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients, Percent | 100.00% | 100.00% |
Customer Concentration Risk | Revenue from Contract with Customer | Fixed-Price | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients, Percent | 39.00% | 40.00% |
Customer Concentration Risk | Revenue from Contract with Customer | Time-and-Materials | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients, Percent | 46.00% | 41.00% |
Customer Concentration Risk | Revenue from Contract with Customer | Cost-Based | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients, Percent | 15.00% | 19.00% |
Customer Concentration Risk | Revenue from Contract with Customer | U.S. Federal Government | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients, Percent | 39.00% | 44.00% |
Customer Concentration Risk | Revenue from Contract with Customer | U.S. State and Local Government | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients, Percent | 19.00% | 10.00% |
Customer Concentration Risk | Revenue from Contract with Customer | International Government | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients, Percent | 8.00% | 10.00% |
Customer Concentration Risk | Revenue from Contract with Customer | Total Government | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients, Percent | 66.00% | 64.00% |
Customer Concentration Risk | Revenue from Contract with Customer | Commercial | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients, Percent | 34.00% | 36.00% |
Energy Environmental And Infrastructure | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients | $ 153,651 | $ 124,250 |
Energy Environmental And Infrastructure | Customer Concentration Risk | Revenue from Contract with Customer | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients, Percent | 45.00% | 41.00% |
Health Education And Social Programs | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients | $ 121,337 | $ 122,928 |
Health Education And Social Programs | Customer Concentration Risk | Revenue from Contract with Customer | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients, Percent | 35.00% | 41.00% |
Safety And Security | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients | $ 29,052 | $ 25,475 |
Safety And Security | Customer Concentration Risk | Revenue from Contract with Customer | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients, Percent | 9.00% | 8.00% |
Consumer And Financial | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients | $ 37,214 | $ 30,127 |
Consumer And Financial | Customer Concentration Risk | Revenue from Contract with Customer | ||
Disaggregation Of Revenue [Line Items] | ||
Revenue from clients, Percent | 11.00% | 10.00% |
Revenue Recognition - Additiona
Revenue Recognition - Additional Information (Detail) $ in Thousands | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Disaggregation Of Revenue [Abstract] | |
Net contract assets (liabilities) | $ 22,675 |
Revenue Recognition - Schedule
Revenue Recognition - Schedule of Changes in Contract Balances Due to Adoption of New Accounting Standards (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Dec. 31, 2018 | |
Revenue From Contract With Customer [Abstract] | ||
Contract assets | $ 151,805 | $ 126,688 |
Contract liabilities | (35,936) | (33,494) |
Net contract assets (liabilities) | 115,869 | $ 93,194 |
Change in contract assets | 25,117 | |
Change in contract liabilities | (2,442) | |
Change in net contract assets (liabilities) | $ 22,675 | |
Percentage of change in contract assets | 19.80% | |
Percentage of change in contract liabilities | 7.30% | |
Percentage of change in net contract assets (liabilities) | 24.30% |
Revenue Recognition - Additio_2
Revenue Recognition - Additional Information (Detail1) - Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2019-04-01 $ in Billions | Mar. 31, 2019USD ($) |
Revenue From Contract With Customer [Line Items] | |
Unfulfilled performance obligation | $ 1.4 |
Expected period to satisfy performance obligations | 1 year |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | Dec. 31, 2017 | |
Income Taxes [Line Items] | |||
Effective income tax rate reconciliation, percent | 19.50% | 22.50% | |
Unrecognized tax benefits | $ 0.2 | ||
Unrecognized tax benefits that would impact effective tax rate | $ 0.2 | ||
Federal corporate income tax rate | 21.00% | 35.00% | |
Internal Revenue Service (IRS) | Earliest Tax Year | |||
Income Taxes [Line Items] | |||
Open tax year | 2015 | ||
Internal Revenue Service (IRS) | Latest Tax Year | |||
Income Taxes [Line Items] | |||
Open tax year | 2017 | ||
State Local and Foreign Jurisdictions | Earliest Tax Year | |||
Income Taxes [Line Items] | |||
Open tax year | 2014 | ||
State Local and Foreign Jurisdictions | Latest Tax Year | |||
Income Taxes [Line Items] | |||
Open tax year | 2017 |
Accounting for Stock Compensa_2
Accounting for Stock Compensation - Additional Information (Details) - USD ($) $ / shares in Units, $ in Millions | Apr. 04, 2018 | Mar. 31, 2019 | Mar. 31, 2018 |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Allocated share-based compensation expense | $ 6.7 | $ 4.9 | |
Restricted Stock Units (RSUs) | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 136,480 | ||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period, weighted average grant date fair value | $ 76.56 | ||
Employee service share-based compensation, nonvested awards, compensation cost not yet recognized | $ 21.3 | ||
Employee service share-based compensation, nonvested awards, compensation cost not yet recognized, period for recognition | 2 years 2 months 12 days | ||
Cash Settled RSUs | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 95,638 | ||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period, weighted average grant date fair value | $ 76.56 | ||
Employee service share-based compensation, nonvested awards, compensation cost not yet recognized | $ 15 | ||
Employee service share-based compensation, nonvested awards, compensation cost not yet recognized, period for recognition | 1 year 10 months 24 days | ||
Performance Shares | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period | 47,290 | ||
Share-based compensation arrangement by share-based payment award, equity instruments other than options, grants in period, weighted average grant date fair value | $ 82.38 | ||
Employee service share-based compensation, nonvested awards, compensation cost not yet recognized | $ 7 | ||
Employee service share-based compensation, nonvested awards, compensation cost not yet recognized, period for recognition | 1 year 8 months 12 days | ||
Omnibus Plan | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Share-based compensation arrangement by share-based payment award, number of shares grants | 1,185,000 | 347,629 | |
Share-based compensation arrangement by share-based payment award, number of additional awards | 0 | ||
Share-based compensation arrangement by share-based payment award, number of shares available for grant | 915,297 |
Earnings Per Share - Additional
Earnings Per Share - Additional Information (Details) - shares | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Antidilutive securities excluded from computation of earnings per share, amount | 31,840 | 26,420 |
Performance Shares | Initial Performance Vesting Period | ||
Share-based compensation arrangement by share-based payment award, award vesting period | 2 years |
Earnings Per Share - Schedule o
Earnings Per Share - Schedule of Dilutive Effect of Stock Options RSUs and PSAs (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Earnings Per Share [Abstract] | ||
Net Income | $ 15,318 | $ 12,417 |
Weighted-average number of basic shares outstanding during the period | 18,825 | 18,670 |
Dilutive effect of stock options, RSUs, and performance shares | 438 | 488 |
Weighted-average number of diluted shares outstanding during the period | 19,263 | 19,158 |
Basic earnings per share | $ 0.81 | $ 0.67 |
Diluted earnings per share | $ 0.80 | $ 0.65 |
Share Repurchase Program - Addi
Share Repurchase Program - Additional Information (Details) | Mar. 31, 2019USD ($) |
Equity [Abstract] | |
Stock repurchase program, authorized amount | $ 100,000,000 |
Line of credit facility, condition permited for unlimited share repurchases, leverage ratio | 3.25 |
Stock repurchase program, remaining authorized repurchase amount | $ 77,500,000 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Details) - Subsequent Event | May 02, 2019$ / shares |
Subsequent Event [Line Items] | |
Dividend declaration date | May 2, 2019 |
Cash dividend per share | $ 0.14 |
Dividend payment date | Jul. 16, 2019 |
Dividend close of record date | Jun. 14, 2019 |
Contingencies - Additional Info
Contingencies - Additional Information (Details) - USD ($) $ in Millions | Jun. 10, 2016 | Mar. 31, 2019 |
Loss Contingencies [Line Items] | ||
Community development related to claim | $ 220.2 | |
OCD vs ICF Emergency | ||
Loss Contingencies [Line Items] | ||
Loss contingency damages sought value | $ 200.8 | |
Road Home Contract | ||
Loss Contingencies [Line Items] | ||
Contract term, period | 3 years | |
Contract award, value | $ 912 |