Mistras (MG) 10-Q 9 Aug 17 2017 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2017	Aug. 02, 2017
Document and Entity Information
Entity Registrant Name	Mistras Group, Inc.
Entity Central Index Key	1,436,126
Document Type	10-Q
Document Period End Date	Jun. 30, 2017
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		28,250,751
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q2

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Current Assets
Cash and cash equivalents	$ 26,784	$ 19,154
Accounts receivable, net	129,221	130,852
Inventories	10,949	10,017
Deferred income taxes	0	6,230
Prepaid expenses and other current assets	16,526	16,399
Total current assets	183,480	182,652
Property, plant and equipment, net	76,218	73,149
Intangible assets, net	40,503	40,007
Goodwill	176,231	169,940
Deferred income taxes	2,085	1,086
Other assets	2,710	2,593
Total assets	481,227	469,427
Current Liabilities
Accounts payable	9,342	6,805
Accrued expenses and other current liabilities	56,841	58,697
Current portion of long-term debt	2,116	1,379
Current portion of capital lease obligations	6,386	6,488
Income taxes payable	3,814	4,342
Total current liabilities	78,499	77,711
Long-term debt, net of current portion	99,544	85,917
Obligations under capital leases, net of current portion	8,919	9,682
Deferred income taxes	12,859	17,584
Other long-term liabilities	8,157	7,789
Total liabilities	207,978	198,683
Commitments and contingencies
Equity
Preferred stock, 10,000,000 shares authorized	0	0
Common stock, $0.01 par value, 200,000,000 shares authorized, 29,306,510 and 29,216,745 shares issued	293	292
Additional paid-in capital	220,305	217,211
Treasury stock, at cost, 960,882 and 420,258 shares	(21,000)	(9,000)
Retained earnings	95,712	91,803
Accumulated other comprehensive loss	(22,232)	(29,724)
Total Mistras Group, Inc. stockholders’ equity	273,078	270,582
Non-controlling interests	171	162
Total equity	273,249	270,744
Total liabilities and equity	$ 481,227	$ 469,427

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Jun. 30, 2017	Dec. 31, 2016
Statement of Financial Position [Abstract]
Preferred stock, shares authorized (in shares)	10,000,000	10,000,000
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	200,000,000	200,000,000
Common stock, shares issued (in shares)	29,306,510	29,216,745
Treasury stock (in shares)	960,882	420,258

Unaudited Condensed Consolidate

Unaudited Condensed Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Income Statement [Abstract]
Revenue	$ 170,439	$ 178,340	$ 333,757	$ 345,795
Cost of revenue	118,825	121,044	233,828	239,273
Depreciation	5,271	5,761	10,433	11,017
Gross profit	46,343	51,535	89,496	95,505
Selling, general and administrative expenses	37,973	37,217	75,273	72,271
Research and engineering	552	623	1,195	1,285
Depreciation and amortization	2,613	2,865	5,116	5,627
Legal settlement	0	6,320	0	6,320
Acquisition-related expense (benefit), net	202	(330)	(341)	(483)
Income from operations	5,003	4,840	8,253	10,485
Interest expense	1,015	340	2,033	1,440
Income before provision for income taxes	3,988	4,500	6,220	9,045
Provision for income taxes	1,770	1,737	2,304	2,825
Net income	2,218	2,763	3,916	6,220
Less: net income attributable to non-controlling interests, net of taxes	1	2	7	12
Net income attributable to Mistras Group, Inc.	$ 2,217	$ 2,761	$ 3,909	$ 6,208
Earnings per common share:
Basic (in dollars per share)	$ 0.08	$ 0.10	$ 0.14	$ 0.21
Diluted (in dollars per share)	$ 0.07	$ 0.09	$ 0.13	$ 0.21
Weighted average common shares outstanding:
Basic (in shares)	28,437	28,932	28,562	28,924
Diluted (in shares)	29,599	30,152	29,754	30,083

Unaudited Condensed Consolidat5

Unaudited Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Statement of Comprehensive Income [Abstract]
Net income	$ 2,218	$ 2,763	$ 3,916	$ 6,220
Other comprehensive income:
Foreign currency translation adjustments	6,042	2,220	7,492	4,607
Comprehensive income	8,260	4,983	11,408	10,827
Less: comprehensive income attributable to non-controlling interest	3	3	9	12
Comprehensive income attributable to Mistras Group, Inc.	$ 8,257	$ 4,980	$ 11,399	$ 10,815

Unaudited Condensed Consolidat6

Unaudited Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016
Cash flows from operating activities
Net income	$ 3,916	$ 6,220
Adjustments to reconcile net income to net cash provided by operating activities
Depreciation and amortization	15,549	16,644
Deferred income taxes	308	(1,655)
Share-based compensation expense	3,420	3,195
Bad debt provision for a customer bankruptcy	1,200	0
Fair value adjustments to contingent consideration	(632)	(933)
Other	282	(1,075)
Changes in operating assets and liabilities, net of effect of acquisitions
Accounts receivable	2,703	7,930
Inventories	(815)	237
Prepaid expenses and other assets	344	(449)
Accounts payable	2,268	(1,271)
Accrued expenses and other liabilities	(4,749)	9,337
Income taxes payable	(822)	(402)
Net cash provided by operating activities	22,972	37,778
Cash flows from investing activities
Purchase of property, plant and equipment	(9,789)	(6,787)
Purchase of intangible assets	(688)	(829)
Acquisition of businesses, net of cash acquired	(4,500)	(33)
Proceeds from sale of equipment	759	281
Net cash used in investing activities	(14,218)	(7,368)
Cash flows from financing activities
Repayment of capital lease obligations	(3,300)	(4,221)
Proceeds from borrowings of long-term debt	3,784	648
Repayment of long-term debt	(1,032)	(1,645)
Proceeds from revolver	30,400	15,100
Repayment of revolver	(19,700)	(30,100)
Payment of contingent consideration for business acquisitions	(547)	(2,123)
Purchases of treasury stock	(12,000)	0
Taxes paid related to net share settlement of share-based awards	(607)	(62)
Excess tax benefit from share-based compensation	0	129
Proceeds from exercise of stock options	276	323
Net cash used in financing activities	(2,726)	(21,951)
Effect of exchange rate changes on cash and cash equivalents	1,602	384
Net change in cash and cash equivalents	7,630	8,843
Cash and cash equivalents
Beginning of period	19,154	9,599
End of period	26,784	18,442
Supplemental disclosure of cash paid
Interest	2,023	1,484
Income taxes	2,463	4,502
Noncash investing and financing
Equipment acquired through capital lease obligations	$ 2,199	$ 6,229

Description of Business and Bas

Description of Business and Basis of Presentation	6 Months Ended
	Jun. 30, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Description of Business and Basis of Presentation	Description of Business and Basis of Presentation Description of Business Mistras Group, Inc. and subsidiaries ("the Company") is a leading “one source” global provider of technology-enabled asset protection solutions used to evaluate the structural integrity and reliability of critical energy, industrial and public infrastructure. The Company combines industry-leading products and technologies, expertise in mechanical integrity (MI), non-destructive testing (NDT) and mechanical services and proprietary data analysis software to deliver a comprehensive portfolio of customized solutions, ranging from routine inspections to complex, plant-wide asset integrity assessments and management. These mission critical solutions enhance customers’ ability to extend the useful life of their assets, increase productivity, minimize repair costs, comply with governmental safety and environmental regulations, manage risk and avoid catastrophic disasters. The Company serves a global customer base of companies with asset-intensive infrastructure, including companies in the oil and gas, fossil and nuclear power, alternative and renewable energy, public infrastructure, chemicals, commercial aerospace and defense, transportation, primary metals and metalworking, pharmaceutical/biotechnology and food processing industries and research and engineering institutions. Basis of Presentation The condensed consolidated financial statements contained in this report are unaudited. In the opinion of management, the condensed consolidated financial statements include all adjustments, which are of a normal recurring nature, necessary for a fair presentation of the results for the interim periods of the fiscal years ending December 31, 2017 and 2016 . Certain items included in these statements are based on management’s estimates. Actual results may differ from those estimates. The results of operations for any interim period are not necessarily indicative of the results expected for the year. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with the notes to the audited consolidated financial statements contained in the Company’s Transition Report on Form 10-K (“2016 Transition Report”) for the transition period ended December 31, 2016 , as filed with the Securities and Exchange Commission on March 20, 2017 . Principles of Consolidation The accompanying unaudited condensed consolidated financial statements include the accounts of Mistras Group, Inc. and its wholly and majority-owned subsidiaries. For subsidiaries in which the Company’s ownership interest is less than 100%, the non-controlling interests are reported in stockholders’ equity in the accompanying condensed consolidated balance sheets. The non-controlling interests in net income, net of tax, is classified separately in the accompanying condensed consolidated statements of income. All significant intercompany accounts and transactions have been eliminated in consolidation. On January 3, 2017, the Company's Board of Directors approved a change in the Company's fiscal year end from May 31 to December 31, effective December 31, 2016. The transition period was for the seven months ended December 31, 2016 ("the transition period"). Prior to this change, the Company's International segment was consolidated on a one month lag. Therefore, for this interim report, the condensed consolidated income statements include a one month lag for the International segment for the three and six months ended June 30, 2016. Management does not believe that any events occurred during the one-month lag period that would have a material effect on the Company’s condensed consolidated financial statements. The one month lag was removed with the change in the Company's fiscal year noted above, and accordingly, the condensed consolidated income statements do not include a one month lag for the International segment's results for the three and six months ended June 30, 2017. Reclassification Certain amounts in prior periods have been reclassified to conform to the current year presentation. Such reclassifications did not have a material effect on the Company's financial condition or results of operations as previously reported. Customers One customer, primarily generated from the Services segment, accounted for approximately 12% of our revenues for the three and six months ended June 30, 2017 . This customer accounted for 11% of accounts receivable as of June 30, 2017. One customer accounted for 12% and 11% of our revenues for the three and six months ended June 30, 2016 . Significant Accounting Policies The Company’s significant accounting policies are disclosed in Note 2 — Summary of Significant Accounting Policies in the Company's 2016 Transition Report. On an ongoing basis, the Company evaluates its estimates and assumptions, including among other things, those related to revenue recognition, valuations of accounts receivable, long-lived assets, goodwill, deferred tax assets and uncertain tax positions. Since the date of the 2016 Transition Report, there have been no material changes to the Company's significant accounting policies. Recent Accounting Pronouncements In August 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, which defers the effective date of ASU 2014-09 for all entities by one year. This update is effective for public business entities for annual reporting periods beginning after December 15, 2017, including interim periods within those reporting periods. Earlier application is permitted only as of annual reporting periods beginning after December 15, 2016, including interim reporting periods within that reporting period. ASU 2014-09 will become effective for us beginning 2018, which is when we plan to adopt this standard. The ASU permits two methods of adoption: retrospectively to each prior reporting period presented (full retrospective method), or retrospectively with the cumulative effect of initially applying the guidance recognized at the date of initial application (the cumulative catch-up transition method). The ASU also requires expanded disclosures relating to the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. Additionally, qualitative and quantitative disclosures are required about customer contracts, significant judgments and changes in judgments, and assets recognized from the costs to obtain or fulfill a contract. We are still in the process of evaluating the effect of adoption on our condensed consolidated financial statements and are currently assessing our contracts with customers. We anticipate we will expand our condensed consolidated financial statement disclosures in order to comply with ASU 2014-09. In November 2015, the FASB issued ASU No. 2015-17, Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes. This amendment will simplify the presentation of deferred tax assets and liabilities on the balance sheet and require all deferred tax assets and liabilities to be treated as non-current. ASU 2015-17 is effective for fiscal years, and interim periods within those fiscal years beginning after December 15, 2016, with early adoption permitted. The Company adopted this guidance prospectively beginning in the first quarter of 2017, which did not have a material impact on the condensed consolidated financial statements and related disclosures. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). This amendment supersedes previous accounting guidance ( Topic 840) and requires all leases, with the exception of leases with a term of 12 months or less, to be recorded on the balance sheet as lease assets and lease liabilities. ASU 2016-02 is effective for fiscal years, and interim periods within those fiscal years beginning after December 15, 2018, with early adoption permitted. The standard requires lessees and lessors to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. The Company is evaluating the effect that ASU 2016-02 will have on its condensed consolidated financial statements and related disclosures. In March 2016, the FASB issued ASU No. 2016-09, Stock Compensation (Topic 718). This amendment simplifies certain aspects of accounting for share-based payment transactions, which include accounting for income taxes and the related impact on the statement of cash flows, an option to account for forfeitures when they occur in addition to the existing guidance to estimate the forfeitures of awards, classification of awards as either equity or liabilities and classification on the statement of cash flows for employee taxes paid to tax authorities on shares withheld for vesting. ASU 2016-09 is effective for fiscal years, and interim periods within those fiscal years beginning after December 15, 2016, with early adoption permitted. The Company adopted this guidance prospectively beginning in the first quarter of 2017, and accordingly, is recording excess tax benefits and tax deficiencies as a component of income tax expense. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230). This amendment will provide guidance on the presentation and classification of specific cash flow items to improve consistency within the statement of cash flows. ASU 2016-15 is effective for fiscal years, and interim periods within those fiscal years beginning after December 15, 2017, with early adoption permitted. The Company is evaluating the impact that ASU 2016-15 will have on its condensed consolidated financial statements and related disclosures. In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230). This amendment will clarify the presentation of restricted cash on the statement of cash flows. Amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning and ending cash balances on the statement of cash flows. ASU 2016-18 is effective for fiscal years, and interim periods within those fiscal years beginning after December 15, 2017, with early adoption permitted. The Company does not expect that ASU 2016-18 will have a material impact on its condensed consolidated financial statements and related disclosures. In January 2017, the FASB issued ASU No. 2017-04, Intangibles-Goodwill and Other (Topic 350). This amendment eliminates Step Two of the goodwill impairment test. Under the amendments in this update, entities should perform the annual goodwill impairment test by comparing the carrying value of its reporting units to their fair value. An entity should record an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. Tax deductibility of goodwill should be considered in evaluating any reporting unit's impairment loss to be taken. ASU 2017-04 is effective for fiscal years beginning after December 15, 2019, with early adoption permitted. The Company is evaluating the impact that ASU 2017-04 will have on its condensed consolidated financial statements and related disclosures. In May 2017, the FASB issued ASU 2017-09, Compensation-Stock Compensation (Topic 718) Scope of Modification Accounting. This amendment provides guidance concerning which changes to the terms or conditions of a share-based payment require an entity to apply modification accounting. Certain changes to stock awards, notably administrative changes, do not require modification accounting. There are three specific criteria that need to be met in order to prove that modification accounting is not required. ASU 2017-09 is effective for fiscal years, and interim period within those fiscal years, beginning after December 15, 2017, with early adoption permitted. The Company is evaluating the impact that ASU 2017-09 will have on its condensed consolidated financial statements and related disclosures.

Share-Based Compensation

Share-Based Compensation	6 Months Ended
	Jun. 30, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Share-Based Compensation	Share-Based Compensation The Company has share-based incentive awards outstanding to its eligible employees and non-employee directors under three equity incentive plans: (i) the 2007 Stock Option Plan (the 2007 Plan), (ii) the 2009 Long-Term Incentive Plan (the 2009 Plan) and (iii) the 2016 Long-Term Incentive Plan. No further awards may be granted under the 2007 and 2009 Plans, although awards granted under the 2007 and 2009 Plans remain outstanding in accordance with their terms. Awards granted under the 2016 Plan may be in the form of stock options, restricted stock units and other forms of share-based incentives, including performance restricted stock units, stock appreciation rights and deferred stock rights. Stock Options For the three months ended June 30, 2017 and 2016 , the Company did no t recognize any share-based compensation expense related to stock option awards. For the six months ended June 30, 2017 and 2016 , the Company did no t recognize any share-based compensation expense and recognized less than $0.1 million , respectively, related to stock option awards. No unrecognized compensation costs remained related to stock option awards as of June 30, 2017 . No stock options were granted during the three and six months ended June 30, 2017 and June 30, 2016 . A summary of the stock option activity, weighted average exercise prices and options outstanding as of June 30, 2017 and 2016 is as follows: For the six months ended June 30, 2017 2016 Common Stock Options Weighted Average Exercise Price Common Stock Options Weighted Average Exercise Price Outstanding at beginning of period: 2,167 $ 13.33 2,265 $ 13.16 Granted — $ — — $ — Exercised (37 ) $ 7.39 (33 ) $ 9.69 Expired or forfeited — $ — — $ — Outstanding at end of period: 2,130 $ 13.43 2,232 $ 13.21 Restricted Stock Unit Awards For the three months ended June 30, 2017 and June 30, 2016 , the Company recognized share-based compensation expense related to restricted stock unit awards of $1.2 million and $1.0 million , respectively. For the six months ended June 30, 2017 and June 30, 2016 , the Company recognized share-based compensation expense related to restricted stock unit awards of $2.3 million and $2.2 million , respectively. As of June 30, 2017 , there was $9.5 million of unrecognized compensation costs, net of estimated forfeitures, related to restricted stock unit awards, which are expected to be recognized over a remaining weighted average period of 2.5 years . During the first six months of 2017 and 2016 , the Company granted approximately 9,000 and 12,000 shares, respectively, of fully-vested common stock to its five non-employee directors, as provided for under the Company's non-employee director compensation plan. These shares had grant date fair values of $0.2 million and $0.3 million , respectively, which was recorded as share-based compensation expense during the six months ended June 30, 2017 and June 30, 2016 , respectively. During the first six months of 2017 and 2016 , approximately 8,000 restricted stock units vested for each period. The fair value of these units was $0.2 million for each respective period. Upon vesting, restricted stock units are generally net share-settled to cover the required minimum withholding tax and the remaining amount is converted into an equivalent number of shares of common stock. A summary of the Company's outstanding, non-vested restricted share units is presented below: For the six months ended June 30, 2017 2016 Units Weighted Units Weighted Outstanding at beginning of period: 569 $ 20.81 595 $ 18.89 Granted 124 $ 21.21 1 $ 23.11 Released (8 ) $ 21.99 (8 ) $ 21.96 Forfeited (11 ) $ 21.05 (18 ) $ 19.12 Outstanding at end of period: 674 $ 20.87 570 $ 18.85 Performance Restricted Stock Units The Company maintains Performance Restricted Stock Units (PRSUs) that have been granted to select executives and senior officers whose ultimate payout is based on the Company’s performance over a one -year period based on three metrics, as defined: (1) Operating Income, (2) Adjusted EBITDAS and (3) Revenue. There also is a discretionary portion of the PRSUs based on individual performance, at the discretion of the Compensation Committee (Discretionary PRSUs). PRSUs and Discretionary PRSUs generally vest ratably on each of the first four anniversary dates upon completion of the performance period, for a total requisite service period of up to five years and have no dividend rights. PRSUs are equity-classified and compensation costs are initially measured using the fair value of the underlying stock at the date of grant, assuming that the target performance conditions will be achieved. Compensation costs related to the PRSUs are subsequently adjusted for changes in the expected outcomes of the performance conditions. Discretionary PRSUs are liability-classified and adjusted to fair value (with a corresponding adjustment to compensation expense) based upon the targeted number of shares to be awarded and the fair value of the underlying stock each reporting period until approved by the Compensation Committee, at which point they are classified as equity. A summary of the Company's Performance Restricted Stock Unit activity is presented below: For the six months ended June 30, 2017 Units Weighted Outstanding at beginning of period: 290 $ 16.01 Granted 128 $ 20.42 Performance condition adjustments (60 ) $ 20.57 Released (64 ) $ 14.87 Forfeited — $ — Outstanding at end of period: 294 $ 17.15 During the six months ended June 30, 2017 , the Compensation Committee modified the awards issued during the transition period ended December 31, 2016 from a one year performance period to a seven month performance period to align the awards with the change in the Company's fiscal year from May 31 to December 31. Accordingly, for the six months ended June 30, 2017 , the Compensation Committee approved these transition period PRSUs, which resulted in a reduction of approximately 3,000 units. There was a reduction of approximately 57,000 units to the awards granted in 2017 during the three months ended June 30, 2017 . As of June 30, 2017, the liability related to Discretionary PRSUs was less than $0.1 million and is classified within accrued expenses and other current liabilities on the condensed consolidated balance sheet. For the three months ended June 30, 2017 and June 30, 2016 , the Company recognized aggregate share-based compensation expense related to the awards described above of approximately $0.5 million and $ 0.4 million , respectively. For the six months ended June 30, 2017 and June 30, 2016 , the Company recognized aggregate share-based compensation expense related to the awards described above of approximately $0.9 million and $0.8 million , respectively. At June 30, 2017 , there was $3.2 million of total unrecognized compensation costs related to approximately 294,000 non-vested performance restricted stock units, which are expected to be recognized over a remaining weighted average period of 2.4 years .

Earnings per Share

Earnings per Share	6 Months Ended
	Jun. 30, 2017
Earnings Per Share [Abstract]
Earnings per Share	Earnings per Share Basic earnings per share is computed by dividing net income by the weighted-average number of shares outstanding during the period. Diluted earnings per share is computed by dividing net income by the sum of (1) the weighted-average number of shares of common stock outstanding during the period, and (2) the dilutive effect of assumed conversion of equity awards using the treasury stock method. With respect to the number of weighted-average shares outstanding (denominator), diluted shares reflects: (i) the exercise of options to acquire common stock to the extent that the options’ exercise prices are less than the average market price of common shares during the period and (ii) the pro forma vesting of restricted stock units. The following table sets forth the computations of basic and diluted earnings per share: Three months ended Six months ended June 30, 2017 June 30, 2016 June 30, 2017 June 30, 2016 Basic earnings per share: Numerator: Net income attributable to Mistras Group, Inc. $ 2,217 $ 2,761 $ 3,909 $ 6,208 Denominator: Weighted average common shares outstanding 28,437 28,932 28,562 28,924 Basic earnings per share $ 0.08 $ 0.10 $ 0.14 $ 0.21 Diluted earnings per share: Numerator: Net income attributable to Mistras Group, Inc. $ 2,217 $ 2,761 $ 3,909 $ 6,208 Denominator: Weighted average common shares outstanding 28,437 28,932 28,562 28,924 Dilutive effect of stock options outstanding 802 833 841 807 Dilutive effect of restricted stock units outstanding 360 387 351 352 29,599 30,152 29,754 30,083 Diluted earnings per share $ 0.07 $ 0.09 $ 0.13 $ 0.21

Acquisitions

Acquisitions	6 Months Ended
	Jun. 30, 2017
Business Combinations [Abstract]
Acquisitions	Acquisitions During the six months ended June 30, 2017 , the Company completed one acquisition of a company located in the U.S. that provides NDT, chemical and special processing services. In this acquisition, the Company acquired assets of the acquiree in exchange for aggregate consideration of $4.5 million in cash, and contingent consideration up to $3.5 million to be earned based upon the acquired business achieving specific performance metrics over the initial three years of operations from the acquisition date. The Company accounted for this transaction in accordance with the acquisition method of accounting for business combinations. The assets and liabilities of the business acquired in 2017 were included in the Company's condensed consolidated balance sheet based upon their estimated fair values on the date of acquisition as determined in a preliminary purchase price allocation, using available information and making assumptions management believes are reasonable. The Company is still in the process of completing its valuation of the assets acquired. The results of operations for this acquisition are included in the Services segment's results from the date of acquisition. Goodwill of $3.3 million primarily relates to expected synergies and assembled workforce and is generally deductible for tax purposes. Other intangible assets, primarily related to customer relationships and covenants not to compete, were $2.7 million . The Company's preliminary purchase price allocations are included in the table below, summarizing the estimated fair value of the assets acquired and liabilities assumed at the date of acquisition: 2017 Number of Entities 1 Consideration transferred: Cash paid $ 4,500 Contingent consideration 2,508 Consideration transferred $ 7,008 Current assets Property, plant and equipment $ 845 Intangible assets 2,742 Goodwill 3,326 Current liabilities — Long-term deferred tax asset 95 Net assets acquired $ 7,008 Revenues and operating income included in the condensed consolidated statement of operations for 2017 from this acquisition for the period subsequent to the closing of this transaction was approximately $2.0 million and $0.2 million , respectively. As this acquisition was immaterial to the Company's 2017 results, no unaudited pro forma financial information has been included in this report. The Company is continuing its review of the fair value estimate of assets acquired and liabilities assumed for one entity acquired in the transition period ended December 31, 2016. This process will conclude as soon as the Company finalizes information regarding facts and circumstances that existed as of the acquisition date. Goodwill and other intangible assets recorded for this entity totaled $2.9 million and $3.2 million , respectively. This measurement period will not exceed one year from acquisition date. Acquisition-Related Expense In the course of its acquisition activities, the Company incurs costs in connection with due diligence, professional fees, and other expenses. Additionally, the Company adjusts the fair value of acquisition-related contingent consideration liabilities on a quarterly basis. These amounts are recorded as acquisition-related expense (benefit), net, on the condensed consolidated statements of income and were as follows for the three and six months ended June 30, 2017 and 2016 : Three months ended June 30, Six months ended June 30, 2017 2016 2017 2016 Due diligence, professional fees and other transaction costs $ 209 $ 445 $ 291 $ 549 Adjustments to fair value of contingent consideration liabilities (7 ) (775 ) (632 ) (1,032 ) Acquisition-related expense (benefit), net $ 202 $ (330 ) $ (341 ) $ (483 )

Accounts Receivable, net

Accounts Receivable, net	6 Months Ended
	Jun. 30, 2017
Receivables [Abstract]
Accounts Receivable, net	Accounts Receivable, net Accounts receivable consisted of the following: June 30, 2017 December 31, 2016 Trade accounts receivable $ 133,273 $ 133,704 Allowance for doubtful accounts (4,052 ) (2,852 ) Accounts receivable, net $ 129,221 $ 130,852

Property, Plant and Equipment,

Property, Plant and Equipment, net	6 Months Ended
	Jun. 30, 2017
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment, net	Property, Plant and Equipment, net Property, plant and equipment consisted of the following: Useful Life (Years) June 30, 2017 December 31, 2016 Land $ 1,893 $ 1,714 Buildings and improvements 30-40 21,864 19,261 Office furniture and equipment 5-8 13,335 12,574 Machinery and equipment 5-7 176,173 166,423 213,265 199,972 Accumulated depreciation and amortization (137,047 ) (126,823 ) Property, plant and equipment, net $ 76,218 $ 73,149 Depreciation expense for the three months ended June 30, 2017 and June 30, 2016 was $5.6 million and $6.2 million , respectively. Depreciation expense for the six months ended June 30, 2017 and June 30, 2016 was $11.1 million and $11.8 million , respectively.

Goodwill

Goodwill	6 Months Ended
	Jun. 30, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill	Goodwill Changes in the carrying amount of goodwill by segment is shown below: Services International Products and Systems Total Balance at December 31, 2016 $ 123,392 $ 33,351 $ 13,197 $ 169,940 Goodwill acquired during the period 3,326 — — 3,326 Adjustments to preliminary purchase price allocations (137 ) — — (137 ) Foreign currency translation 467 2,635 — 3,102 Balance at June 30, 2017 $ 127,048 $ 35,986 $ 13,197 $ 176,231 The Company reviews goodwill for impairment on a reporting unit basis on October 1 of each year and whenever events or changes in circumstances indicate the carrying value of goodwill may not be recoverable. As of June 30, 2017 , the Company did not identify any changes in circumstances that would indicate the carrying value of goodwill may not be recoverable. The Company's cumulative goodwill impairment as of June 30, 2017 and December 31, 2016 was $9.9 million , which is within its International segment.

Intangible Assets

Intangible Assets	6 Months Ended
	Jun. 30, 2017
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Intangible Assets	Intangible Assets The gross amount, accumulated amortization and net carrying amount of intangible assets were as follows: June 30, 2017 December 31, 2016 Useful Life (Years) Gross Amount Accumulated Amortization Net Carrying Amount Gross Amount Accumulated Amortization Net Carrying Amount Customer relationships 5-12 $ 86,442 $ (54,366 ) $ 32,076 $ 81,559 $ (50,417 ) $ 31,142 Software/Technology 3-15 18,902 (13,374 ) 5,528 18,128 (12,577 ) 5,551 Covenants not to compete 2-5 11,449 (10,020 ) 1,429 11,143 (9,647 ) 1,496 Other 2-5 7,385 (5,915 ) 1,470 7,266 (5,448 ) 1,818 Total $ 124,178 $ (83,675 ) $ 40,503 $ 118,096 $ (78,089 ) $ 40,007 Amortization expense for the three months ended June 30, 2017 and June 30, 2016 was $2.3 million and $2.4 million , respectively. Amortization expense for the six months ended June 30, 2017 and June 30, 2016 was $4.4 million and $4.8 million , respectively.

Accrued Expenses and Other Curr

Accrued Expenses and Other Current Liabilities	6 Months Ended
	Jun. 30, 2017
Payables and Accruals [Abstract]
Accrued Expenses and Other Current Liabilities	Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consisted of the following: June 30, 2017 December 31, 2016 Accrued salaries, wages and related employee benefits $ 25,956 $ 23,442 Contingent consideration, current portion 2,716 1,826 Accrued workers’ compensation and health benefits 5,592 6,351 Deferred revenue 6,396 3,743 Legal settlement accrual — 6,320 Other accrued expenses 16,181 17,015 Total accrued expenses and other liabilities $ 56,841 $ 58,697

Long-Term Debt

Long-Term Debt	6 Months Ended
	Jun. 30, 2017
Debt Disclosure [Abstract]
Long-Term Debt	Long-Term Debt Long-term debt consisted of the following: June 30, 2017 December 31, 2016 Senior credit facility $ 93,904 $ 82,776 Notes payable 259 320 Other 7,497 4,200 Total debt 101,660 87,296 Less: Current portion (2,116 ) (1,379 ) Long-term debt, net of current portion $ 99,544 $ 85,917 Senior Credit Facility The Company's revolving credit agreement with its banking group ("Credit Agreement") provides the Company with a $175.0 million revolving line of credit, which, under certain circumstances, can be increased to $225.0 million . The Company may borrow up to $30.0 million in non-U.S. Dollar currencies and use up to $10.0 million of the credit limit for the issuance of letters of credit. The Credit Agreement has a maturity date of October 30, 2019. As of June 30, 2017 , the Company had borrowings of $93.9 million and a total of $5.6 million of letters of credit outstanding under the Credit Agreement. Loans under the Credit Agreement bear interest at LIBOR plus an applicable LIBOR margin ranging from 1% to 1.75% , or a base rate less a margin of 1.25% to 0.375% , at the option of the Company, based upon the Company’s Funded Debt Leverage Ratio. Funded Debt Leverage Ratio is defined as the ratio of (1) all outstanding indebtedness for borrowed money and other interest-bearing indebtedness as of the date of determination to (2) EBITDA (which is (a) net income, less (b) income (or plus loss) from discontinued operations and extraordinary items, plus (c) income tax expenses, plus (d) interest expense, plus (e) depreciation, depletion, and amortization (including non-cash loss on retirement of assets), plus (f) stock compensation expense, less (g) cash expense related to stock compensation, plus or minus certain other adjustments) for the period of four consecutive fiscal quarters immediately preceding the date of determination. The Company has the benefit of the lowest margin if its Funded Debt Leverage Ratio is equal to or less than 0.5 to 1, and the margin increases as the ratio increases, to the maximum margin if the ratio is greater than 2.0 to 1. The Company will also bear additional costs for market disruption, regulatory changes effecting the lenders’ funding costs, and default pricing of an additional 2% interest rate margin on any amounts not paid when due. Amounts borrowed under the Credit Agreement are secured by liens on substantially all of the assets of the Company. The Credit Agreement contains financial covenants requiring that the Company maintain a Funded Debt Leverage Ratio of no greater than 3.25 to 1 and an Interest Coverage Ratio of at least 3.0 to 1. Interest Coverage Ratio is defined as the ratio, as of any date of determination, of (a) EBITDA for the 12 month period immediately preceding the date of determination, to (b) all interest, premium payments, debt discount, fees, charges and related expenses of the Company and its subsidiaries in connection with borrowed money (including capitalized interest) or in connection with the deferred purchase price of assets, in each case to the extent treated as interest in accordance with GAAP, paid during the 12 month period immediately preceding the date of determination. The Credit Agreement also limits the Company’s ability to, among other things, create liens, make investments, incur more indebtedness, merge or consolidate, make dispositions of property, pay dividends and make distributions to stockholders, enter into a new line of business, enter into transactions with affiliates and enter into burdensome agreements. The Credit Agreement does not limit the Company’s ability to acquire other businesses or companies except that the acquired business or company must be in the Company's line of business, the Company must be in compliance with the financial covenants on a pro forma basis after taking into account the acquisition, and, if the acquired business is a separate subsidiary, in certain circumstances the lenders will receive the benefit of a guaranty of the subsidiary and liens on its assets and a pledge of its stock. As of June 30, 2017 , the Company was in compliance with the terms of the Credit Agreement, and will continuously monitor its compliance with the covenants contained in its Credit Agreement. Notes Payable and Other In connection with certain of its acquisitions, the Company issued subordinated notes payable to the sellers. The maturity of the notes that remain outstanding are three years from the date of acquisition and bear interest at the prime rate for the Bank of Canada, currently 2.7% as of June 30, 2017. Interest expense is recorded in the condensed consolidated statements of income.

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jun. 30, 2017
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements The Company performs fair value measurements in accordance with the guidance provided by ASC 820, Fair Value Measurements and Disclosures. ASC 820 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Financial instruments measured at fair value on a recurring basis The fair value of contingent consideration liabilities was estimated using a discounted cash flow technique with significant inputs that are not observable in the market and thus represents a Level 3 fair value measurement as defined in ASC 820. The significant inputs in the Level 3 measurement not supported by market activity include the probability assessments of expected future cash flows related to the acquisitions, appropriately discounted considering the uncertainties associated with the obligation, and as calculated in accordance with the terms of the applicable acquisition agreements. The following table represents the changes in the fair value of Level 3 contingent consideration: Six months ended June 30, 2017 Beginning balance $ 3,094 Acquisitions 2,508 Payments (547 ) Accretion of liability 148 Revaluation (780 ) Foreign currency translation 22 Ending Balance $ 4,445 Financial instruments not measured at fair value on a recurring basis The Company has evaluated current market conditions and borrower credit quality and has determined that the carrying value of its long-term debt approximates fair value. The fair value of the Company’s notes payable and capital lease obligations approximates their carrying amounts based on anticipated interest rates which management believes would currently be available to the Company for similar issuances of debt.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2017
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Legal Proceedings and Government Investigations The Company is subject to periodic lawsuits, investigations and claims that arise in the ordinary course of business. The Company cannot predict with certainty the ultimate resolution of lawsuits, investigations and claims asserted against it. Except possibly for certain of the matters described below, the Company does not believe that any currently pending legal proceeding to which the Company is a party will have a material adverse effect on its business, results of operations, cash flows or financial condition. The costs of defense and amounts that may be recovered against the Company may be covered by insurance for certain matters. Litigation and Commercial Claims The Company settled a consolidated purported class and collective action that resulted from the consolidation of two cases originally filed in California state court in April 2015. In connection with the settlement, the Company recorded a pre-tax charge of $6.3 million during the three months ended June 30, 2016 and paid the settlement in February 2017. The Company is a defendant in the lawsuit AGL Services Company v. Mistras Group, Inc., pending in U.S. District Court for the Northern District of Georgia, filed November 2016. The case involves radiography work performed by the Company in 2013 on the construction of a pipeline project in the U.S. The owner of the pipeline project has claimed damages of approximately $6 million and contends that certain of the radiography images the Company’s technicians prepared regarding the project did not meet the code quality interpretation standards required by the American Petroleum Institute. The Company is currently unable to determine the likely outcome or reasonably estimate the amount or range of potential liability related to this matter, and accordingly, has not established any reserves for this matter. The Company’s subsidiary in France has been involved in a dispute with a former owner of a business purchased by the Company’s French subsidiary. The former owner received a judgment in his favor in the amount of approximately $0.4 million . The judgment is being appealed, but the Company recorded a reserve for the full amount of the judgment during the three months ended June 30, 2016. The Company is a defendant in a lawsuit, Triumph Aerostructures, LLC d/b/a Triumph Aerostructures-Vought Aircraft Division v. Mistras Group, Inc ., pending in Texas State district court, 193rd Judicial District, Dallas County, Texas, filed September 2016. The plaintiff alleges Mistras delivered a defective Ultrasonic inspection system in 2014 and is alleging damages of approximately $2.3 million . The Company is currently unable to determine the likely outcome or reasonably estimate the amount or range of potential liability related to this matter, and accordingly, has not established any reserves for this matter. Government Investigations In May 2015, the Company received a notice from the U.S. Environmental Protection Agency (“EPA”) that it performed a preliminary assessment at a leased facility the Company operates in Cudahy, California. Based upon the preliminary assessment, the EPA is conducting an investigation of the site, which includes taking groundwater and soil samples. The purpose of the investigation is to determine whether any hazardous materials were released from the facility. The Company has been informed that certain hazardous materials and pollutants have been found in the ground water in the general vicinity of the site and the EPA is attempting to ascertain the origination or source of these materials and pollutants. Given the historic industrial use of the site, the EPA determined that the site of the Cudahy facility should be examined, along with numerous other sites in the vicinity. At this time, the Company is unable to determine whether it has any liability in connection with this matter and if so, the amount or range of any such liability, and accordingly, has not established any reserves for this matter. Acquisition-related contingencies The Company is liable for contingent consideration in connection with certain of its acquisitions. As of June 30, 2017 , total potential acquisition-related contingent consideration ranged from zero to approximately $17.7 million and would be payable upon the achievement of specific performance metrics by certain of the acquired companies over the next 2.8 years of operations. See Note 4 - Acquisitions to these condensed consolidated financial statements for further discussion of the Company’s acquisitions.

Segment Disclosure

Segment Disclosure	6 Months Ended
	Jun. 30, 2017
Segment Reporting [Abstract]
Segment Disclosure	Segment Disclosure The Company’s three operating segments are: • Services. This segment provides asset protection solutions primarily in North America with the largest concentration in the United States and the Canadian services business, consisting primarily of non-destructive testing and inspection, mechanical and engineering services that are used to evaluate and maintain the structural integrity and reliability of critical energy, industrial and public infrastructure. • International. This segment offers services, products and systems similar to those of the Company’s other two segments to global markets, principally in Europe, the Middle East, Africa, Asia and South America, but not to customers in China and South Korea, which are served by the Products and Systems segment. • Products and Systems. This segment designs, manufactures, sells, installs and services the Company’s asset protection products and systems, including equipment and instrumentation, predominantly in the United States. Costs incurred for general corporate services, including finance, legal, and certain other costs that are provided to the segments are reported within Corporate and eliminations. Sales to the International segment from the Products and Systems segment and subsequent sales by the International segment of the same items are recorded and reflected in the operating performance of both segments. Additionally, engineering charges and royalty fees charged to the Services and International segments by the Products and Systems segment are reflected in the operating performance of each segment. All such intersegment transactions are eliminated in the Company’s consolidated financial reporting. Selected consolidated financial information by segment for the periods shown was as follows (intercompany transactions are eliminated in Corporate and eliminations): Three months ended Six months ended June 30, 2017 June 30, 2016 June 30, 2017 June 30, 2016 Revenues Services $ 134,043 $ 136,358 $ 260,372 $ 267,936 International 33,904 36,373 68,160 67,353 Products and Systems 5,107 6,467 10,657 13,148 Corporate and eliminations (2,615 ) (858 ) (5,432 ) (2,642 ) $ 170,439 $ 178,340 $ 333,757 $ 345,795 Three months ended Six months ended June 30, 2017 June 30, 2016 June 30, 2017 June 30, 2016 Gross profit Services $ 35,490 $ 36,490 $ 65,703 $ 68,948 International 8,828 11,867 19,288 20,540 Products and Systems 1,966 3,050 4,560 5,789 Corporate and eliminations 59 128 (55 ) 228 $ 46,343 $ 51,535 $ 89,496 $ 95,505 Three months ended Six months ended June 30, 2017 June 30, 2016 June 30, 2017 June 30, 2016 Income (loss) from operations Services $ 12,132 $ 7,372 $ 19,513 $ 18,711 International (190 ) 2,454 2,843 3,174 Products and Systems (892 ) (114 ) (1,340 ) (246 ) Corporate and eliminations (6,047 ) (4,872 ) (12,763 ) (11,154 ) $ 5,003 $ 4,840 $ 8,253 $ 10,485 Income (loss) by operating segment includes intercompany transactions, which are eliminated in Corporate and eliminations. Three months ended Six months ended June 30, 2017 June 30, 2016 June 30, 2017 June 30, 2016 Depreciation and amortization Services $ 5,468 $ 6,084 $ 10,787 $ 11,708 International 1,888 2,043 3,732 3,922 Products and Systems 585 577 1,153 1,166 Corporate and eliminations (57 ) (78 ) (123 ) (152 ) $ 7,884 $ 8,626 $ 15,549 $ 16,644 June 30, 2017 December 31, 2016 Intangible assets, net Services $ 20,265 $ 19,550 International 14,299 14,139 Products and Systems 5,123 5,482 Corporate and eliminations 816 836 $ 40,503 $ 40,007 June 30, 2017 December 31, 2016 Total assets Services $ 295,731 $ 291,539 International 144,303 130,427 Products and Systems 28,960 28,964 Corporate and eliminations 12,233 18,497 $ 481,227 $ 469,427 Revenues by geographic area for the three and six months ended June 30, 2017 and 2016 , respectively, were as follows: Three months ended Six months ended June 30, 2017 June 30, 2016 June 30, 2017 June 30, 2016 Revenues United States $ 119,029 $ 123,664 $ 230,560 $ 244,935 Other Americas 17,895 17,105 33,368 31,888 Europe 30,706 32,891 61,366 60,138 Asia-Pacific 2,809 4,680 8,463 8,834 $ 170,439 $ 178,340 $ 333,757 $ 345,795

Repurchase of Common Stock

Repurchase of Common Stock	6 Months Ended
	Jun. 30, 2017
Equity [Abstract]
Repurchase of Common Stock	Repurchase of Common Stock On October 7, 2015, the Company's Board of Directors approved a $50 million stock repurchase plan. As part of this plan, on August 17, 2016, the Company entered into an agreement with its CEO, Dr. Sotirios Vahaviolos, to purchase up to 1 million of his shares, commencing in October 2016. Pursuant to the agreement, in general, the Company will purchase from Dr. Vahaviolos up to $2 million of shares each month, at a 2% discount to the average daily closing price of the Company's common stock for the preceding month. During the six months ended June 30, 2017, the Company purchased approximately 541,000 shares from Dr. Vahaviolos at an average price of $22.20 per share and an aggregate cost of $12.0 million . From the inception of the plan through June 30, 2017, the Company has purchased approximately 815,000 shares from Dr. Vahaviolos at an average price of $22.10 per share for an aggregate cost of $18.0 million and approximately 146,000 shares in the open market at an average price of $20.48 per share for an aggregate cost of approximately $3.0 million . All such repurchased shares are classified as Treasury Stock on the condensed consolidated balance sheet. As of June 30, 2017, approximately $29.0 million remained available to repurchase shares under the stock repurchase plan.

Subsequent Events

Subsequent Events	6 Months Ended
	Jun. 30, 2017
Subsequent Events [Abstract]
Subsequent Events	Subsequent Events Subsequent to June 30, 2017, the Company completed an acquisition of a business, located in Canada, that provides maintenance and mechanical services via rope access to the industrial sector, for $3.9 million in cash upon closing. In addition to the cash consideration, the acquisition provides for possible contingent consideration of up to $2.3 million to be earned based upon the achievement of specific performance metrics over the next three years of operation. The Company is in the process of completing the preliminary purchase price allocation. The acquisition was not significant and no pro forma information has been included in this quarterly report on Form 10-Q.

Description of Business and B22

Description of Business and Basis of Presentation (Policies)	6 Months Ended
	Jun. 30, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	Basis of Presentation The condensed consolidated financial statements contained in this report are unaudited. In the opinion of management, the condensed consolidated financial statements include all adjustments, which are of a normal recurring nature, necessary for a fair presentation of the results for the interim periods of the fiscal years ending December 31, 2017 and 2016 . Certain items included in these statements are based on management’s estimates. Actual results may differ from those estimates. The results of operations for any interim period are not necessarily indicative of the results expected for the year. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with the notes to the audited consolidated financial statements contained in the Company’s Transition Report on Form 10-K (“2016 Transition Report”) for the transition period ended December 31, 2016 , as filed with the Securities and Exchange Commission on March 20, 2017 .
Principles of Consolidation	Principles of Consolidation The accompanying unaudited condensed consolidated financial statements include the accounts of Mistras Group, Inc. and its wholly and majority-owned subsidiaries. For subsidiaries in which the Company’s ownership interest is less than 100%, the non-controlling interests are reported in stockholders’ equity in the accompanying condensed consolidated balance sheets. The non-controlling interests in net income, net of tax, is classified separately in the accompanying condensed consolidated statements of income. All significant intercompany accounts and transactions have been eliminated in consolidation. On January 3, 2017, the Company's Board of Directors approved a change in the Company's fiscal year end from May 31 to December 31, effective December 31, 2016. The transition period was for the seven months ended December 31, 2016 ("the transition period"). Prior to this change, the Company's International segment was consolidated on a one month lag. Therefore, for this interim report, the condensed consolidated income statements include a one month lag for the International segment for the three and six months ended June 30, 2016. Management does not believe that any events occurred during the one-month lag period that would have a material effect on the Company’s condensed consolidated financial statements. The one month lag was removed with the change in the Company's fiscal year noted above, and accordingly, the condensed consolidated income statements do not include a one month lag for the International segment's results for the three and six months ended June 30, 2017.
Reclassification	Reclassification Certain amounts in prior periods have been reclassified to conform to the current year presentation. Such reclassifications did not have a material effect on the Company's financial condition or results of operations as previously reported.
Recent Accounting Pronouncements	Recent Accounting Pronouncements In August 2015, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date, which defers the effective date of ASU 2014-09 for all entities by one year. This update is effective for public business entities for annual reporting periods beginning after December 15, 2017, including interim periods within those reporting periods. Earlier application is permitted only as of annual reporting periods beginning after December 15, 2016, including interim reporting periods within that reporting period. ASU 2014-09 will become effective for us beginning 2018, which is when we plan to adopt this standard. The ASU permits two methods of adoption: retrospectively to each prior reporting period presented (full retrospective method), or retrospectively with the cumulative effect of initially applying the guidance recognized at the date of initial application (the cumulative catch-up transition method). The ASU also requires expanded disclosures relating to the nature, amount, timing, and uncertainty of revenue and cash flows arising from contracts with customers. Additionally, qualitative and quantitative disclosures are required about customer contracts, significant judgments and changes in judgments, and assets recognized from the costs to obtain or fulfill a contract. We are still in the process of evaluating the effect of adoption on our condensed consolidated financial statements and are currently assessing our contracts with customers. We anticipate we will expand our condensed consolidated financial statement disclosures in order to comply with ASU 2014-09. In November 2015, the FASB issued ASU No. 2015-17, Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes. This amendment will simplify the presentation of deferred tax assets and liabilities on the balance sheet and require all deferred tax assets and liabilities to be treated as non-current. ASU 2015-17 is effective for fiscal years, and interim periods within those fiscal years beginning after December 15, 2016, with early adoption permitted. The Company adopted this guidance prospectively beginning in the first quarter of 2017, which did not have a material impact on the condensed consolidated financial statements and related disclosures. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). This amendment supersedes previous accounting guidance ( Topic 840) and requires all leases, with the exception of leases with a term of 12 months or less, to be recorded on the balance sheet as lease assets and lease liabilities. ASU 2016-02 is effective for fiscal years, and interim periods within those fiscal years beginning after December 15, 2018, with early adoption permitted. The standard requires lessees and lessors to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. The Company is evaluating the effect that ASU 2016-02 will have on its condensed consolidated financial statements and related disclosures. In March 2016, the FASB issued ASU No. 2016-09, Stock Compensation (Topic 718). This amendment simplifies certain aspects of accounting for share-based payment transactions, which include accounting for income taxes and the related impact on the statement of cash flows, an option to account for forfeitures when they occur in addition to the existing guidance to estimate the forfeitures of awards, classification of awards as either equity or liabilities and classification on the statement of cash flows for employee taxes paid to tax authorities on shares withheld for vesting. ASU 2016-09 is effective for fiscal years, and interim periods within those fiscal years beginning after December 15, 2016, with early adoption permitted. The Company adopted this guidance prospectively beginning in the first quarter of 2017, and accordingly, is recording excess tax benefits and tax deficiencies as a component of income tax expense. In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230). This amendment will provide guidance on the presentation and classification of specific cash flow items to improve consistency within the statement of cash flows. ASU 2016-15 is effective for fiscal years, and interim periods within those fiscal years beginning after December 15, 2017, with early adoption permitted. The Company is evaluating the impact that ASU 2016-15 will have on its condensed consolidated financial statements and related disclosures. In November 2016, the FASB issued ASU No. 2016-18, Statement of Cash Flows (Topic 230). This amendment will clarify the presentation of restricted cash on the statement of cash flows. Amounts generally described as restricted cash and restricted cash equivalents should be included with cash and cash equivalents when reconciling the beginning and ending cash balances on the statement of cash flows. ASU 2016-18 is effective for fiscal years, and interim periods within those fiscal years beginning after December 15, 2017, with early adoption permitted. The Company does not expect that ASU 2016-18 will have a material impact on its condensed consolidated financial statements and related disclosures. In January 2017, the FASB issued ASU No. 2017-04, Intangibles-Goodwill and Other (Topic 350). This amendment eliminates Step Two of the goodwill impairment test. Under the amendments in this update, entities should perform the annual goodwill impairment test by comparing the carrying value of its reporting units to their fair value. An entity should record an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. Tax deductibility of goodwill should be considered in evaluating any reporting unit's impairment loss to be taken. ASU 2017-04 is effective for fiscal years beginning after December 15, 2019, with early adoption permitted. The Company is evaluating the impact that ASU 2017-04 will have on its condensed consolidated financial statements and related disclosures. In May 2017, the FASB issued ASU 2017-09, Compensation-Stock Compensation (Topic 718) Scope of Modification Accounting. This amendment provides guidance concerning which changes to the terms or conditions of a share-based payment require an entity to apply modification accounting. Certain changes to stock awards, notably administrative changes, do not require modification accounting. There are three specific criteria that need to be met in order to prove that modification accounting is not required. ASU 2017-09 is effective for fiscal years, and interim period within those fiscal years, beginning after December 15, 2017, with early adoption permitted. The Company is evaluating the impact that ASU 2017-09 will have on its condensed consolidated financial statements and related disclosures.
Fair Value Measurements	Fair Value Measurements The Company performs fair value measurements in accordance with the guidance provided by ASC 820, Fair Value Measurements and Disclosures. ASC 820 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Financial instruments measured at fair value on a recurring basis The fair value of contingent consideration liabilities was estimated using a discounted cash flow technique with significant inputs that are not observable in the market and thus represents a Level 3 fair value measurement as defined in ASC 820. The significant inputs in the Level 3 measurement not supported by market activity include the probability assessments of expected future cash flows related to the acquisitions, appropriately discounted considering the uncertainties associated with the obligation, and as calculated in accordance with the terms of the applicable acquisition agreements. Financial instruments not measured at fair value on a recurring basis The Company has evaluated current market conditions and borrower credit quality and has determined that the carrying value of its long-term debt approximates fair value. The fair value of the Company’s notes payable and capital lease obligations approximates their carrying amounts based on anticipated interest rates which management believes would currently be available to the Company for similar issuances of debt.

Share-Based Compensation (Table

Share-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Summary of stock option activity, weighted average exercise prices and options outstanding	A summary of the stock option activity, weighted average exercise prices and options outstanding as of June 30, 2017 and 2016 is as follows: For the six months ended June 30, 2017 2016 Common Stock Options Weighted Average Exercise Price Common Stock Options Weighted Average Exercise Price Outstanding at beginning of period: 2,167 $ 13.33 2,265 $ 13.16 Granted — $ — — $ — Exercised (37 ) $ 7.39 (33 ) $ 9.69 Expired or forfeited — $ — — $ — Outstanding at end of period: 2,130 $ 13.43 2,232 $ 13.21
Summary of Company's outstanding, nonvested restricted share units	A summary of the Company's outstanding, non-vested restricted share units is presented below: For the six months ended June 30, 2017 2016 Units Weighted Units Weighted Outstanding at beginning of period: 569 $ 20.81 595 $ 18.89 Granted 124 $ 21.21 1 $ 23.11 Released (8 ) $ 21.99 (8 ) $ 21.96 Forfeited (11 ) $ 21.05 (18 ) $ 19.12 Outstanding at end of period: 674 $ 20.87 570 $ 18.85 A summary of the Company's Performance Restricted Stock Unit activity is presented below: For the six months ended June 30, 2017 Units Weighted Outstanding at beginning of period: 290 $ 16.01 Granted 128 $ 20.42 Performance condition adjustments (60 ) $ 20.57 Released (64 ) $ 14.87 Forfeited — $ — Outstanding at end of period: 294 $ 17.15
Summary of Company's Performance Restricted Stock Units activity	A summary of the Company's outstanding, non-vested restricted share units is presented below: For the six months ended June 30, 2017 2016 Units Weighted Units Weighted Outstanding at beginning of period: 569 $ 20.81 595 $ 18.89 Granted 124 $ 21.21 1 $ 23.11 Released (8 ) $ 21.99 (8 ) $ 21.96 Forfeited (11 ) $ 21.05 (18 ) $ 19.12 Outstanding at end of period: 674 $ 20.87 570 $ 18.85 A summary of the Company's Performance Restricted Stock Unit activity is presented below: For the six months ended June 30, 2017 Units Weighted Outstanding at beginning of period: 290 $ 16.01 Granted 128 $ 20.42 Performance condition adjustments (60 ) $ 20.57 Released (64 ) $ 14.87 Forfeited — $ — Outstanding at end of period: 294 $ 17.15

Earnings per Share (Tables)

Earnings per Share (Tables)	6 Months Ended
	Jun. 30, 2017
Earnings Per Share [Abstract]
Schedule of computations of basic and diluted earnings per share	The following table sets forth the computations of basic and diluted earnings per share: Three months ended Six months ended June 30, 2017 June 30, 2016 June 30, 2017 June 30, 2016 Basic earnings per share: Numerator: Net income attributable to Mistras Group, Inc. $ 2,217 $ 2,761 $ 3,909 $ 6,208 Denominator: Weighted average common shares outstanding 28,437 28,932 28,562 28,924 Basic earnings per share $ 0.08 $ 0.10 $ 0.14 $ 0.21 Diluted earnings per share: Numerator: Net income attributable to Mistras Group, Inc. $ 2,217 $ 2,761 $ 3,909 $ 6,208 Denominator: Weighted average common shares outstanding 28,437 28,932 28,562 28,924 Dilutive effect of stock options outstanding 802 833 841 807 Dilutive effect of restricted stock units outstanding 360 387 351 352 29,599 30,152 29,754 30,083 Diluted earnings per share $ 0.07 $ 0.09 $ 0.13 $ 0.21

Acquisitions (Tables)

Acquisitions (Tables)	6 Months Ended
	Jun. 30, 2017
Business Combinations [Abstract]
Schedule of Preliminary Purchase Price Allocation	The Company's preliminary purchase price allocations are included in the table below, summarizing the estimated fair value of the assets acquired and liabilities assumed at the date of acquisition: 2017 Number of Entities 1 Consideration transferred: Cash paid $ 4,500 Contingent consideration 2,508 Consideration transferred $ 7,008 Current assets Property, plant and equipment $ 845 Intangible assets 2,742 Goodwill 3,326 Current liabilities — Long-term deferred tax asset 95 Net assets acquired $ 7,008
Schedule of Acquisition-Related Expenses	In the course of its acquisition activities, the Company incurs costs in connection with due diligence, professional fees, and other expenses. Additionally, the Company adjusts the fair value of acquisition-related contingent consideration liabilities on a quarterly basis. These amounts are recorded as acquisition-related expense (benefit), net, on the condensed consolidated statements of income and were as follows for the three and six months ended June 30, 2017 and 2016 : Three months ended June 30, Six months ended June 30, 2017 2016 2017 2016 Due diligence, professional fees and other transaction costs $ 209 $ 445 $ 291 $ 549 Adjustments to fair value of contingent consideration liabilities (7 ) (775 ) (632 ) (1,032 ) Acquisition-related expense (benefit), net $ 202 $ (330 ) $ (341 ) $ (483 )

Accounts Receivable, net (Table

Accounts Receivable, net (Tables)	6 Months Ended
	Jun. 30, 2017
Receivables [Abstract]
Schedule of accounts receivable	Accounts receivable consisted of the following: June 30, 2017 December 31, 2016 Trade accounts receivable $ 133,273 $ 133,704 Allowance for doubtful accounts (4,052 ) (2,852 ) Accounts receivable, net $ 129,221 $ 130,852

Property, Plant and Equipment27

Property, Plant and Equipment, net (Tables)	6 Months Ended
	Jun. 30, 2017
Property, Plant and Equipment [Abstract]
Schedule of Property, plant and equipment	Property, plant and equipment consisted of the following: Useful Life (Years) June 30, 2017 December 31, 2016 Land $ 1,893 $ 1,714 Buildings and improvements 30-40 21,864 19,261 Office furniture and equipment 5-8 13,335 12,574 Machinery and equipment 5-7 176,173 166,423 213,265 199,972 Accumulated depreciation and amortization (137,047 ) (126,823 ) Property, plant and equipment, net $ 76,218 $ 73,149

Goodwill (Tables)

Goodwill (Tables)	6 Months Ended
	Jun. 30, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Goodwill	Changes in the carrying amount of goodwill by segment is shown below: Services International Products and Systems Total Balance at December 31, 2016 $ 123,392 $ 33,351 $ 13,197 $ 169,940 Goodwill acquired during the period 3,326 — — 3,326 Adjustments to preliminary purchase price allocations (137 ) — — (137 ) Foreign currency translation 467 2,635 — 3,102 Balance at June 30, 2017 $ 127,048 $ 35,986 $ 13,197 $ 176,231

Intangible Assets (Tables)

Intangible Assets (Tables)	6 Months Ended
	Jun. 30, 2017
Intangible Assets, Net (Excluding Goodwill) [Abstract]
Schedule of gross amount, accumulated amortization and net carrying amount of intangible assets	The gross amount, accumulated amortization and net carrying amount of intangible assets were as follows: June 30, 2017 December 31, 2016 Useful Life (Years) Gross Amount Accumulated Amortization Net Carrying Amount Gross Amount Accumulated Amortization Net Carrying Amount Customer relationships 5-12 $ 86,442 $ (54,366 ) $ 32,076 $ 81,559 $ (50,417 ) $ 31,142 Software/Technology 3-15 18,902 (13,374 ) 5,528 18,128 (12,577 ) 5,551 Covenants not to compete 2-5 11,449 (10,020 ) 1,429 11,143 (9,647 ) 1,496 Other 2-5 7,385 (5,915 ) 1,470 7,266 (5,448 ) 1,818 Total $ 124,178 $ (83,675 ) $ 40,503 $ 118,096 $ (78,089 ) $ 40,007

Accrued Expenses and Other Cu30

Accrued Expenses and Other Current Liabilities (Tables)	6 Months Ended
	Jun. 30, 2017
Payables and Accruals [Abstract]
Schedule of accrued expenses and other current liabilities	Accrued expenses and other current liabilities consisted of the following: June 30, 2017 December 31, 2016 Accrued salaries, wages and related employee benefits $ 25,956 $ 23,442 Contingent consideration, current portion 2,716 1,826 Accrued workers’ compensation and health benefits 5,592 6,351 Deferred revenue 6,396 3,743 Legal settlement accrual — 6,320 Other accrued expenses 16,181 17,015 Total accrued expenses and other liabilities $ 56,841 $ 58,697

Long-Term Debt (Tables)

Long-Term Debt (Tables)	6 Months Ended
	Jun. 30, 2017
Debt Disclosure [Abstract]
Schedule of long-term debt	Long-term debt consisted of the following: June 30, 2017 December 31, 2016 Senior credit facility $ 93,904 $ 82,776 Notes payable 259 320 Other 7,497 4,200 Total debt 101,660 87,296 Less: Current portion (2,116 ) (1,379 ) Long-term debt, net of current portion $ 99,544 $ 85,917

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Jun. 30, 2017
Fair Value Disclosures [Abstract]
Schedule of changes in fair value of Level 3 contingent consideration	The following table represents the changes in the fair value of Level 3 contingent consideration: Six months ended June 30, 2017 Beginning balance $ 3,094 Acquisitions 2,508 Payments (547 ) Accretion of liability 148 Revaluation (780 ) Foreign currency translation 22 Ending Balance $ 4,445

Segment Disclosure (Tables)

Segment Disclosure (Tables)	6 Months Ended
	Jun. 30, 2017
Segment Reporting [Abstract]
Schedule of consolidated financial information by segment	Selected consolidated financial information by segment for the periods shown was as follows (intercompany transactions are eliminated in Corporate and eliminations): Three months ended Six months ended June 30, 2017 June 30, 2016 June 30, 2017 June 30, 2016 Revenues Services $ 134,043 $ 136,358 $ 260,372 $ 267,936 International 33,904 36,373 68,160 67,353 Products and Systems 5,107 6,467 10,657 13,148 Corporate and eliminations (2,615 ) (858 ) (5,432 ) (2,642 ) $ 170,439 $ 178,340 $ 333,757 $ 345,795 Three months ended Six months ended June 30, 2017 June 30, 2016 June 30, 2017 June 30, 2016 Gross profit Services $ 35,490 $ 36,490 $ 65,703 $ 68,948 International 8,828 11,867 19,288 20,540 Products and Systems 1,966 3,050 4,560 5,789 Corporate and eliminations 59 128 (55 ) 228 $ 46,343 $ 51,535 $ 89,496 $ 95,505 Three months ended Six months ended June 30, 2017 June 30, 2016 June 30, 2017 June 30, 2016 Income (loss) from operations Services $ 12,132 $ 7,372 $ 19,513 $ 18,711 International (190 ) 2,454 2,843 3,174 Products and Systems (892 ) (114 ) (1,340 ) (246 ) Corporate and eliminations (6,047 ) (4,872 ) (12,763 ) (11,154 ) $ 5,003 $ 4,840 $ 8,253 $ 10,485 Income (loss) by operating segment includes intercompany transactions, which are eliminated in Corporate and eliminations. Three months ended Six months ended June 30, 2017 June 30, 2016 June 30, 2017 June 30, 2016 Depreciation and amortization Services $ 5,468 $ 6,084 $ 10,787 $ 11,708 International 1,888 2,043 3,732 3,922 Products and Systems 585 577 1,153 1,166 Corporate and eliminations (57 ) (78 ) (123 ) (152 ) $ 7,884 $ 8,626 $ 15,549 $ 16,644 June 30, 2017 December 31, 2016 Intangible assets, net Services $ 20,265 $ 19,550 International 14,299 14,139 Products and Systems 5,123 5,482 Corporate and eliminations 816 836 $ 40,503 $ 40,007 June 30, 2017 December 31, 2016 Total assets Services $ 295,731 $ 291,539 International 144,303 130,427 Products and Systems 28,960 28,964 Corporate and eliminations 12,233 18,497 $ 481,227 $ 469,427
Schedule of revenues by geographic area	Revenues by geographic area for the three and six months ended June 30, 2017 and 2016 , respectively, were as follows: Three months ended Six months ended June 30, 2017 June 30, 2016 June 30, 2017 June 30, 2016 Revenues United States $ 119,029 $ 123,664 $ 230,560 $ 244,935 Other Americas 17,895 17,105 33,368 31,888 Europe 30,706 32,891 61,366 60,138 Asia-Pacific 2,809 4,680 8,463 8,834 $ 170,439 $ 178,340 $ 333,757 $ 345,795

Description of Business and B34

Description of Business and Basis of Presentation (Details)	3 Months Ended		6 Months Ended
	Jun. 30, 2017customer	Jun. 30, 2016customer	Jun. 30, 2017mocustomer	Jun. 30, 2016customer
Concentration Risk [Line Items]
Period lag in the consolidation of International segment subsidiaries (months)	1 month		1 month
Number of months less than the actual number of months from the acquisition date for which results of international segment subsidiaries are included in consolidation (months) | mo			1
Customer Concentration Risk | Revenues | Services
Concentration Risk [Line Items]
Concentration risk, number of customers	1	1	1	1
Concentration risk, percentage	12.00%	12.00%	12.00%	11.00%
Customer Concentration Risk | Accounts Receivable | Services
Concentration Risk [Line Items]
Concentration risk, number of customers	1		1
Concentration risk, percentage	11.00%		11.00%

Share-Based Compensation - Equi

Share-Based Compensation - Equity Incentive Plans (Details)	6 Months Ended
	Jun. 30, 2017planshares
Share-based compensation
Number of employee stock ownership plans (plan) | plan	3
2007 Plan
Share-based compensation
Number of awards that may be granted (in shares)	0
2009 Plan
Share-based compensation
Number of awards that may be granted (in shares)	0

Share-Based Compensation - Stoc

Share-Based Compensation - Stock Options (Details) - Stock Options - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Common Stock Options (in shares)
Outstanding at the beginning of the period: (in shares)			2,167,000	2,265,000
Granted (in shares)	0	0	0	0
Exercised (in shares)			(37,000)	(33,000)
Expired of forfeited (in shares)			0	0
Outstanding at the end of the period: (in shares)	2,130,000	2,232,000	2,130,000	2,232,000
Weighted Average Exercise Price (in dollar per share)
Outstanding at the beginning of period: (in dollars per share)			$ 13.33	$ 13.16
Granted (in dollars per share)			0	0
Exercised (in dollars per share)			7.39	9.69
Expired or forfeited (in dollars per share)			0	0
Outstanding at the end of period: (in dollars per share)	$ 13.43	$ 13.21	$ 13.43	$ 13.21
Recognized share-based compensation expense (less than)	$ 0	$ 0	$ 0	$ 100,000
Unrecognized compensation costs	$ 0		$ 0

Share-Based Compensation - Rest

Share-Based Compensation - Restricted Stock Unit Awards - Narrative (Details) - Restricted Stock Units shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017USD ($)	Jun. 30, 2016USD ($)	Jun. 30, 2017USD ($)directorshares	Jun. 30, 2016USD ($)directorshares
Share-based compensation
Recognized share-based compensation expense (benefit)	$ 1,200	$ 1,000	$ 2,300	$ 2,200
Unrecognized compensation cost, net of estimated forfeitures	$ 9,500		$ 9,500
Weighted-average period over which unrecognized compensation cost is expected to be recognized (years)			2 years 6 months
Fair value of shares vested			$ 200	$ 200
Shares vested (in shares) | shares			8	8
Non-employee directors
Share-based compensation
Fair value of shares vested			$ 9	$ 12
Number of non-employee directors to whom fully vested common stock is granted (director) | director			5	5
Number of fully vested common stock granted (in shares) | shares			200	300

Share-Based Compensation - Re38

Share-Based Compensation - Restricted Stock Units Awards - Activity (Details) - Restricted Stock Units - $ / shares shares in Thousands	6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016
Restricted Stock Units Awards (Units)
Outstanding at beginning of period: (in shares)	569	595
Granted (in shares)	124	1
Released (in shares)	(8)	(8)
Forfeited (in shares)	(11)	(18)
Outstanding at end of period: (in shares)	674	570
Weighted Average Grant-Date Fair Value (in dollars per share)
Outstanding at the beginning of period: (in dollars per share)	$ 20.81	$ 18.89
Granted (in dollars per share)	21.21	23.11
Released (in dollars per share)	21.99	21.96
Forfeited (in dollars per share)	21.05	19.12
Outstanding at end of period: (in dollars per share)	$ 20.87	$ 18.85

Share-Based Compensation - Perf

Share-Based Compensation - Performance Restricted Stock Units - Narrative (Details) - Performance Restricted Stock Units shares in Thousands, $ in Millions	3 Months Ended		6 Months Ended		7 Months Ended
	Jun. 30, 2017USD ($)shares	Jun. 30, 2016USD ($)	Jun. 30, 2017USD ($)performance_metricshares	Jun. 30, 2016USD ($)	Dec. 31, 2016shares
Share-based compensation
Performance period (years)			7 months		1 year
Nonvested shares outstanding (in shares) | shares	294		294		290
Fiscal 2016 Grants
Share-based compensation
Performance period (years)			1 year
Number of performance award metrics | performance_metric			3
Requisite service period (years)			5 years
Recognized share-based compensation expense (benefit) | $	$ 0.5	$ 0.4	$ 0.9	$ 0.8
Unrecognized compensation cost | $	$ 3.2		$ 3.2
Nonvested shares outstanding (in shares) | shares	294		294
Weighted-average period over which unrecognized compensation cost is expected to be recognized (years)			2 years 4 months 24 days
Fiscal 2016 Grants | Anniversary 1
Share-based compensation
Award vesting rights, percentage			25.00%
Fiscal 2016 Grants | Anniversary 2
Share-based compensation
Award vesting rights, percentage			25.00%
Fiscal 2016 Grants | Anniversary 3
Share-based compensation
Award vesting rights, percentage			25.00%
Fiscal 2016 Grants | Anniversary 4
Share-based compensation
Award vesting rights, percentage			25.00%
Fiscal 2016 Grants | Executive and Senior Officers
Share-based compensation
Reduction in nonvested shares authorized (in shares) | shares	57		3
Fiscal 2016 Grants | Executive and Senior Officers | Accrued expenses and other liabilities
Share-based compensation
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Share-based Liabilities | $	$ 0.1		$ 0.1

Share-Based Compensation - Pe40

Share-Based Compensation - Performance Restricted Stock Units - Activity (Details) - Performance Restricted Stock Units shares in Thousands	6 Months Ended
	Jun. 30, 2017$ / sharesshares
Performance Restricted Stock (Units)
Outstanding at beginning of period: (in shares) | shares	290
Granted (in shares) | shares	128
Performance condition adjustments (in shares) | shares	(60)
Released (in shares) | shares	(64)
Forfeited (in shares) | shares	0
Outstanding at end of period: (in shares) | shares	294
Weighted Average Grant-Date Fair Value (in dollars per share)
Outstanding at the beginning of period: (in dollars per share) | $ / shares	$ 16.01
Granted (in dollars per share) | $ / shares	20.42
Performance condition adjustments (in dollars per share) | $ / shares	20.57
Released (in dollars per share) | $ / shares	14.87
Forfeited (in dollars per share) | $ / shares	0
Outstanding at end of period: (in dollars per share) | $ / shares	$ 17.15

Earnings per Share (Details)

Earnings per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Basic earnings per share:
Net income attributable to Mistras Group, Inc.	$ 2,217	$ 2,761	$ 3,909	$ 6,208
Denominator:
Weighted average common shares outstanding (in shares)	28,437	28,932	28,562	28,924
Basic earnings per share (in dollars per share)	$ 0.08	$ 0.10	$ 0.14	$ 0.21
Denominator:
Weighted average common shares outstanding (in shares)	28,437	28,932	28,562	28,924
Dilutive effect of stock options outstanding (in shares)	802	833	841	807
Dilutive effect of restricted stock units outstanding (in shares)	360	387	351	352
Weighted average common shares outstanding, diluted (in shares)	29,599	30,152	29,754	30,083
Diluted earnings per share (in dollars per share)	$ 0.07	$ 0.09	$ 0.13	$ 0.21

Acquisitions - Narrative (Detai

Acquisitions - Narrative (Details) $ in Thousands	6 Months Ended	7 Months Ended
	Jun. 30, 2017USD ($)Entity	Dec. 31, 2016USD ($)Entity
Acquisitions
Goodwill	$ 176,231	$ 169,940
Fiscal 2017 Acquisitions
Acquisitions
Number of acquisitions | Entity	1
Cash paid for acquisition	$ 4,500
Contingent consideration	2,508
Goodwill	3,326
Other intangible assets	2,742
Revenues	2,000
Operating income	$ 200
Fiscal 2017 Acquisitions | U.S.
Acquisitions
Number of acquisitions | Entity	1
Cash paid for acquisition	$ 4,500
Contingent consideration	$ 3,500
Initial period over which potential acquisition-related contingent consideration would be payable	3 years
Goodwill	$ 3,300
Fiscal 2017 Acquisitions | U.S. | Customer Relationships and Covenants Not To Compete
Acquisitions
Other intangible assets	$ 2,700
Fiscal 2016 Acquisitions
Acquisitions
Number of acquisitions | Entity		1
Goodwill		$ 2,900
Other intangible assets		$ 3,200

Acquisitions - Preliminary Purc

Acquisitions - Preliminary Purchase Price Allocation (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2017USD ($)Entity	Dec. 31, 2016USD ($)
Consideration transferred:
Goodwill	$ 176,231	$ 169,940
Fiscal 2017 Acquisitions
Acquisitions
Number of Entities | Entity	1
Consideration transferred:
Cash paid	$ 4,500
Contingent consideration	2,508
Consideration transferred	7,008
Property, plant and equipment	845
Intangible assets	2,742
Goodwill	3,326
Current liabilities	0
Long-term deferred tax asset	95
Net assets acquired	$ 7,008

Acquisitions - Acquisition-Rela

Acquisitions - Acquisition-Related Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Acquisitions
Acquisition-related expense (benefit), net	$ 202	$ (330)	$ (341)	$ (483)
Fiscal 2017 Acquisitions
Acquisitions
Due diligence, professional fees and other transaction costs	209		291
Adjustments to fair value of contingent consideration liabilities	(7)		(632)
Acquisition-related expense (benefit), net	$ 202		$ (341)
Fiscal 2016 Acquisitions
Acquisitions
Due diligence, professional fees and other transaction costs		445		549
Adjustments to fair value of contingent consideration liabilities		(775)		(1,032)
Acquisition-related expense (benefit), net		$ (330)		$ (483)

Accounts Receivable, net (Detai

Accounts Receivable, net (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Receivables [Abstract]
Trade accounts receivable	$ 133,273	$ 133,704
Allowance for doubtful accounts	(4,052)	(2,852)
Accounts receivable, net	$ 129,221	$ 130,852

Property, Plant and Equipment46

Property, Plant and Equipment, net (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Property, Plant and Equipment, net
Property, plant and equipment, gross	$ 213,265		$ 213,265		$ 199,972
Accumulated depreciation and amortization	(137,047)		(137,047)		(126,823)
Property, plant and equipment, net	76,218		76,218		73,149
Depreciation expense	5,600	$ 6,200	11,100	$ 11,800
Land
Property, Plant and Equipment, net
Property, plant and equipment, gross	1,893		1,893		1,714
Buildings and improvements
Property, Plant and Equipment, net
Property, plant and equipment, gross	21,864		$ 21,864		19,261
Buildings and improvements | Minimum
Property, Plant and Equipment, net
Useful Life (Years)			30 years
Buildings and improvements | Maximum
Property, Plant and Equipment, net
Useful Life (Years)			40 years
Office furniture and equipment
Property, Plant and Equipment, net
Property, plant and equipment, gross	13,335		$ 13,335		12,574
Office furniture and equipment | Minimum
Property, Plant and Equipment, net
Useful Life (Years)			5 years
Office furniture and equipment | Maximum
Property, Plant and Equipment, net
Useful Life (Years)			8 years
Machinery and equipment
Property, Plant and Equipment, net
Property, plant and equipment, gross	$ 176,173		$ 176,173		$ 166,423
Machinery and equipment | Minimum
Property, Plant and Equipment, net
Useful Life (Years)			5 years
Machinery and equipment | Maximum
Property, Plant and Equipment, net
Useful Life (Years)			7 years

Goodwill (Details)

Goodwill (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2017	Dec. 31, 2016
Goodwill [Roll Forward]
Balance at December 31, 2016	$ 169,940
Goodwill acquired during the period	3,326
Adjustments to preliminary purchase price allocations	(137)
Foreign currency translation	3,102
Balance at June 30, 2017	176,231
Services
Goodwill [Roll Forward]
Balance at December 31, 2016	123,392
Goodwill acquired during the period	3,326
Adjustments to preliminary purchase price allocations	(137)
Foreign currency translation	467
Balance at June 30, 2017	127,048
International
Goodwill [Roll Forward]
Balance at December 31, 2016	33,351
Goodwill acquired during the period	0
Adjustments to preliminary purchase price allocations	0
Foreign currency translation	2,635
Balance at June 30, 2017	35,986
Goodwill, cumulative impairment loss	9,900	$ 9,900
Products and Systems
Goodwill [Roll Forward]
Balance at December 31, 2016	13,197
Goodwill acquired during the period	0
Adjustments to preliminary purchase price allocations	0
Foreign currency translation	0
Balance at June 30, 2017	$ 13,197

Intangible Assets (Details)

Intangible Assets (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016	Dec. 31, 2016
Intangible assets
Gross Amount	$ 124,178		$ 124,178		$ 118,096
Accumulated Amortization	(83,675)		(83,675)		(78,089)
Net Carrying Amount	40,503		40,503		40,007
Amortization expense	2,300	$ 2,400	4,400	$ 4,800
Customer relationships
Intangible assets
Gross Amount	86,442		86,442		81,559
Accumulated Amortization	(54,366)		(54,366)		(50,417)
Net Carrying Amount	32,076		$ 32,076		31,142
Customer relationships | Minimum
Intangible assets
Useful Life (Years)			5 years
Customer relationships | Maximum
Intangible assets
Useful Life (Years)			12 years
Software/Technology
Intangible assets
Gross Amount	18,902		$ 18,902		18,128
Accumulated Amortization	(13,374)		(13,374)		(12,577)
Net Carrying Amount	5,528		$ 5,528		5,551
Software/Technology | Minimum
Intangible assets
Useful Life (Years)			3 years
Software/Technology | Maximum
Intangible assets
Useful Life (Years)			15 years
Covenants not to compete
Intangible assets
Gross Amount	11,449		$ 11,449		11,143
Accumulated Amortization	(10,020)		(10,020)		(9,647)
Net Carrying Amount	1,429		$ 1,429		1,496
Covenants not to compete | Minimum
Intangible assets
Useful Life (Years)			2 years
Covenants not to compete | Maximum
Intangible assets
Useful Life (Years)			5 years
Other
Intangible assets
Gross Amount	7,385		$ 7,385		7,266
Accumulated Amortization	(5,915)		(5,915)		(5,448)
Net Carrying Amount	$ 1,470		$ 1,470		$ 1,818
Other | Minimum
Intangible assets
Useful Life (Years)			2 years
Other | Maximum
Intangible assets
Useful Life (Years)			5 years

Accrued Expenses and Other Cu49

Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Payables and Accruals [Abstract]
Accrued salaries, wages and related employee benefits	$ 25,956	$ 23,442
Contingent consideration, current portion	2,716	1,826
Accrued workers’ compensation and health benefits	5,592	6,351
Deferred revenue	6,396	3,743
Legal settlement accrual	0	6,320
Other accrued expenses	16,181	17,015
Total accrued expenses and other liabilities	$ 56,841	$ 58,697

Long-Term Debt - Schedule of Lo

Long-Term Debt - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands	Jun. 30, 2017	Dec. 31, 2016
Debt Instrument [Line Items]
Long-term debt	$ 101,660	$ 87,296
Less: Current portion	(2,116)	(1,379)
Long-term debt, net of current portion	99,544	85,917
Senior credit facility
Debt Instrument [Line Items]
Long-term debt	93,904	82,776
Notes payable
Debt Instrument [Line Items]
Long-term debt	259	320
Other
Debt Instrument [Line Items]
Long-term debt	$ 7,497	$ 4,200

Long-Term Debt - Narrative (Det

Long-Term Debt - Narrative (Details)	Oct. 31, 2014USD ($)Quarter	Jun. 30, 2017USD ($)
Senior credit facility
Senior Credit Facility
Maximum borrowing capacity	$ 175,000,000
Line of credit facility, higher borrowing capacity option	225,000,000
Maximum borrowing capacity in non-U.S. Dollar currencies	30,000,000
Maximum amount available for the issuance of letters of credit	$ 10,000,000
Outstanding borrowings		$ 93,900,000
Outstanding letters of credit		$ 5,600,000
Number of consecutive fiscal quarters used for calculating funded debt leverage ratio | Quarter	4
Funded debt leverage ratio at which the entity will have the benefit of lowest interest margin (less than or equal to)	0.5
Funded debt leverage ratio at which the entity will bear the maximum interest rate margin (greater than)	2
Additional interest rate margin if funded debt leverage ratio exceeds threshold (as a percent)	2.00%
Funded debt leverage ratio for additional interest payment (less than)	3.25
Interest coverage ratio (greater than)	3
Preceding period used for calculating Interest Coverage Ratio	12 months
Senior credit facility | LIBOR
Senior Credit Facility
Reference rate, description	LIBOR
Senior credit facility | LIBOR | Minimum
Senior Credit Facility
Margin (as a percent)	1.00%
Senior credit facility | LIBOR | Maximum
Senior Credit Facility
Margin (as a percent)	1.75%
Senior credit facility | Base rate
Senior Credit Facility
Reference rate, description	base rate
Senior credit facility | Base rate | Minimum
Senior Credit Facility
Margin (as a percent)	(0.375%)
Senior credit facility | Base rate | Maximum
Senior Credit Facility
Margin (as a percent)	(1.25%)
Notes payable
Notes Payable and Other
Interest rate (as a percent)		2.70%
Notes payable | Minimum
Notes Payable and Other
Maturity term from the date of acquisition		3 years

Fair Value Measurements (Detail

Fair Value Measurements (Details) - Level 3 $ in Thousands	6 Months Ended
	Jun. 30, 2017USD ($)
Contingent Consideration Liability [Roll Forward]
Beginning balance	$ 3,094
Acquisitions	2,508
Payments	(547)
Accretion of liability	148
Revaluation	(780)
Foreign currency translation	22
Ending Balance	$ 4,445

Commitments and Contingencies (

Commitments and Contingencies (Details)	1 Months Ended		3 Months Ended		6 Months Ended
	Nov. 30, 2016USD ($)	Sep. 30, 2016USD ($)	Jun. 30, 2017USD ($)claim	Jun. 30, 2016USD ($)	Jun. 30, 2017USD ($)	Jun. 30, 2016USD ($)
Litigation
Settlement charge			$ 0	$ 6,320,000	$ 0	$ 6,320,000
Remaining period over which potential acquisition-related contingent consideration would be payable					2 years 9 months 18 days
Consolidated class and collective action lawsuit
Litigation
Number of consolidated claims settled | claim			2
Settlement charge				6,300,000
Lawsuits for alleged quality defects
Litigation
Verbal demand for damages	$ 6,000,000
Dispute with former owner of company's French subsidiary | French subsidiary
Litigation
Litigation settlement received				$ 400,000
Damages from Product Defects | Ultrasonic Inspection System
Litigation
Verbal demand for damages		$ 2,300,000
Acquisition-related contingencies
Litigation
Potential acquisition-related contingent consideration, low end of range			$ 0		$ 0
Potential acquisition-related contingent consideration, high end of range			$ 17,700,000		$ 17,700,000

Segment Disclosure - Financial

Segment Disclosure - Financial Information by Segment (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017USD ($)	Jun. 30, 2016USD ($)	Jun. 30, 2017USD ($)segment	Jun. 30, 2016USD ($)	Dec. 31, 2016USD ($)
Segment Reporting [Abstract]
Number of operating segments | segment			3
Financial information by segment
Revenues	$ 170,439	$ 178,340	$ 333,757	$ 345,795
Gross profit	46,343	51,535	89,496	95,505
Income (loss) from operations	5,003	4,840	8,253	10,485
Depreciation and amortization	7,884	8,626	15,549	16,644
Intangible assets, net	40,503		40,503		$ 40,007
Total assets	481,227		481,227		469,427
Operating segments | Services
Financial information by segment
Revenues	134,043	136,358	260,372	267,936
Gross profit	35,490	36,490	65,703	68,948
Income (loss) from operations	12,132	7,372	19,513	18,711
Depreciation and amortization	5,468	6,084	10,787	11,708
Intangible assets, net	20,265		20,265		19,550
Total assets	295,731		295,731		291,539
Operating segments | International
Financial information by segment
Revenues	33,904	36,373	68,160	67,353
Gross profit	8,828	11,867	19,288	20,540
Income (loss) from operations	(190)	2,454	2,843	3,174
Depreciation and amortization	1,888	2,043	3,732	3,922
Intangible assets, net	14,299		14,299		14,139
Total assets	144,303		144,303		130,427
Operating segments | Products and Systems
Financial information by segment
Revenues	5,107	6,467	10,657	13,148
Gross profit	1,966	3,050	4,560	5,789
Income (loss) from operations	(892)	(114)	(1,340)	(246)
Depreciation and amortization	585	577	1,153	1,166
Intangible assets, net	5,123		5,123		5,482
Total assets	28,960		28,960		28,964
Corporate and eliminations
Financial information by segment
Revenues	(2,615)	(858)	(5,432)	(2,642)
Gross profit	59	128	(55)	228
Income (loss) from operations	(6,047)	(4,872)	(12,763)	(11,154)
Depreciation and amortization	(57)	$ (78)	(123)	$ (152)
Intangible assets, net	816		816		836
Total assets	$ 12,233		$ 12,233		$ 18,497

Segment Disclosure - Revenues b

Segment Disclosure - Revenues by Geographic Area (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2017	Jun. 30, 2016	Jun. 30, 2017	Jun. 30, 2016
Revenue and long-lived assets by geographic area
Revenues	$ 170,439	$ 178,340	$ 333,757	$ 345,795
United States
Revenue and long-lived assets by geographic area
Revenues	119,029	123,664	230,560	244,935
Other Americas
Revenue and long-lived assets by geographic area
Revenues	17,895	17,105	33,368	31,888
Europe
Revenue and long-lived assets by geographic area
Revenues	30,706	32,891	61,366	60,138
Asia-Pacific
Revenue and long-lived assets by geographic area
Revenues	$ 2,809	$ 4,680	$ 8,463	$ 8,834

Repurchase of Common Stock (Det

Repurchase of Common Stock (Details) - Stock Repurchase Plan - USD ($)	Aug. 17, 2016	Jun. 30, 2017	Jun. 30, 2017	Oct. 07, 2015
Class of Stock [Line Items]
Stock repurchase plan, amount approved				$ 50,000,000
Treasury stock repurchased (in shares)			146,000
Treasury stock acquired, average price (in dollars per share)			$ 20.48
Treasury stock acquired, aggregate cost			$ 3,000,000
Stock repurchase plan, remaining amount approved		$ 29,000,000	$ 29,000,000
Chairman and CEO
Class of Stock [Line Items]
Stock repurchase plan, amount approved (in shares)	1,000,000
Stock repurchase plan, amount approved each month from CEO	$ 2,000,000
Average daily price of common stock for the preceding month discount, percent	2.00%
Treasury stock repurchased (in shares)		541,000	815,000
Treasury stock acquired, average price (in dollars per share)		$ 22.20	$ 22.10
Treasury stock acquired, aggregate cost		$ 12,000,000	$ 18,000,000

Subsequent Events (Details)

Subsequent Events (Details) - Subsequent Event - Canada - Maintenance and Mechanical Services Via Rope [Member] $ in Millions	1 Months Ended
	Aug. 09, 2017USD ($)
Subsequent Event [Line Items]
Cash paid for acquisition	$ 3.9
Possible contingent consideration, maximum	$ 2.3
Initial period over which potential acquisition-related contingent consideration would be payable	3 years