Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2018 | Oct. 31, 2018 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | TPIC | |
Entity Registrant Name | TPI COMPOSITES, INC | |
Entity Central Index Key | 1,455,684 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | true | |
Entity Ex Transition Period | true | |
Entity Common Stock, Shares Outstanding | 34,510,890 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 110,838 | $ 148,113 |
Restricted cash | 2,845 | 3,849 |
Accounts receivable | 117,066 | 121,576 |
Contract assets | 122,265 | 105,619 |
Prepaid expenses and other current assets | 25,036 | 27,507 |
Inventories | 7,445 | 4,112 |
Total current assets | 385,495 | 410,776 |
Property, plant, and equipment, net | 150,931 | 123,480 |
Other noncurrent assets | 38,270 | 22,306 |
Total assets | 574,696 | 556,562 |
Current liabilities: | ||
Accounts payable and accrued expenses | 168,039 | 167,175 |
Accrued warranty | 32,704 | 30,419 |
Current maturities of long-term debt | 39,201 | 35,506 |
Contract liabilities | 8,335 | 2,763 |
Total current liabilities | 248,279 | 235,863 |
Long-term debt, net of debt issuance costs and current maturities | 93,583 | 85,879 |
Other noncurrent liabilities | 4,284 | 4,938 |
Total liabilities | 346,146 | 326,680 |
Commitments and contingencies (Note 10) | ||
Stockholders’ equity: (Note 4) | ||
Common shares, $0.01 par value, 100,000 shares authorized and 34,629 shares issued and 34,511 shares outstanding at September 30, 2018 and 100,000 shares authorized and 34,049 shares issued and 34,021 shares outstanding at December 31, 2017 | 346 | 340 |
Paid-in capital | 310,166 | 301,543 |
Accumulated other comprehensive loss | (21,977) | (558) |
Accumulated deficit | (56,805) | (70,932) |
Treasury stock, at cost, 118 shares at September 30, 2018 and 28 shares at December 31, 2017 | (3,180) | (511) |
Total stockholders’ equity | 228,550 | 229,882 |
Total liabilities and stockholders’ equity | $ 574,696 | $ 556,562 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Sep. 30, 2018 | Dec. 31, 2017 |
Statement Of Financial Position [Abstract] | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 34,629,000 | 34,049,000 |
Common stock, shares outstanding | 34,511,000 | 34,021,000 |
Treasury stock, shares | 118,000 | 28,000 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Income Statement [Abstract] | ||||
Net sales (Note 4) | $ 254,976 | $ 253,498 | $ 739,567 | $ 701,695 |
Cost of sales | 216,594 | 210,840 | 625,817 | 592,495 |
Startup and transition costs | 21,415 | 12,352 | 53,474 | 29,051 |
Total cost of goods sold | 238,009 | 223,192 | 679,291 | 621,546 |
Gross profit | 16,967 | 30,306 | 60,276 | 80,149 |
General and administrative expenses | 9,756 | 9,315 | 31,908 | 28,373 |
Income from operations | 7,211 | 20,991 | 28,368 | 51,776 |
Other income (expense): | ||||
Interest income | 45 | 48 | 129 | 78 |
Interest expense | (2,323) | (3,254) | (8,376) | (9,215) |
Loss on extinguishment of debt | (3,397) | |||
Realized gain (loss) on foreign currency remeasurement | (8,181) | 39 | (12,957) | (2,575) |
Miscellaneous income | 2,511 | 390 | 4,003 | 968 |
Total other expense | (7,948) | (2,777) | (20,598) | (10,744) |
Income (loss) before income taxes | (737) | 18,214 | 7,770 | 41,032 |
Income tax benefit (provision) | 10,269 | 3,523 | 6,357 | (4,505) |
Net income | $ 9,532 | $ 21,737 | $ 14,127 | $ 36,527 |
Weighted-average common shares outstanding: | ||||
Basic | 34,419 | 33,891 | 34,212 | 33,789 |
Diluted | 36,282 | 35,015 | 35,946 | 34,748 |
Net income per common share: | ||||
Basic | $ 0.28 | $ 0.64 | $ 0.41 | $ 1.08 |
Diluted | $ 0.26 | $ 0.62 | $ 0.39 | $ 1.05 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net income | $ 9,532 | $ 21,737 | $ 14,127 | $ 36,527 |
Other comprehensive income (loss): | ||||
Foreign currency translation adjustments | (15,621) | 1,231 | (21,908) | 2,808 |
Unrealized gain on hedging derivatives, net of taxes of $149 for the three and nine months ended September 30, 2018 | 297 | 489 | ||
Comprehensive income (loss) | $ (5,792) | $ 22,968 | $ (7,292) | $ 39,335 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2018 | Sep. 30, 2018 | |
Statement Of Income And Comprehensive Income [Abstract] | ||
Unrealized gain on hedging derivatives | $ 149 | $ 149 |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Cash flows from operating activities: | ||
Net income | $ 14,127 | $ 36,527 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 19,080 | 14,143 |
Share-based compensation expense | 6,971 | 4,794 |
Loss on extinguishment of debt | 3,397 | |
Amortization of debt issuance costs | 284 | 430 |
Deferred income taxes | (10,898) | (2,613) |
Changes in assets and liabilities: | ||
Accounts receivable | 2,052 | (66,438) |
Contract assets and liabilities | (13,466) | 7,604 |
Inventories | (3,489) | (335) |
Prepaid expenses and other current assets | 1,941 | 881 |
Other noncurrent assets | (4,503) | (7,615) |
Accounts payable and accrued expenses | 1,958 | 48,083 |
Accrued warranty | 2,285 | 8,135 |
Other noncurrent liabilities | (2,544) | (136) |
Net cash provided by operating activities | 17,195 | 43,460 |
Cash flows from investing activities: | ||
Purchase of property and equipment | (50,636) | (35,312) |
Net cash used in investing activities | (50,636) | (35,312) |
Cash flows from financing activities: | ||
Proceeds from revolving loans | 89,435 | |
Repayments of term and revolving loans | (74,972) | (2,812) |
Net proceeds from (repayments of) accounts receivable financing | (3,915) | 8,196 |
Proceeds from working capital loans | 6,620 | |
Repayments of working capital loans | (11,258) | |
Net proceeds from (repayments of) other debt | (14,174) | 4,556 |
Debt issuance costs | (281) | |
Proceeds from exercise of stock options | 2,211 | 988 |
Repurchase of common stock including shares withheld in lieu of income taxes | (2,859) | (1,264) |
Net cash provided by (used in) financing activities | (4,555) | 5,026 |
Impact of foreign exchange rates on cash, cash equivalents and restricted cash | (283) | 305 |
Net change in cash, cash equivalents and restricted cash | (38,279) | 13,479 |
Cash, cash equivalents and restricted cash, beginning of year | 152,437 | 129,863 |
Cash, cash equivalents and restricted cash, end of period | 114,158 | 143,342 |
Supplemental disclosures of cash flow information: | ||
Cash paid for interest | 8,546 | 8,717 |
Cash paid for income taxes, net | 4,279 | 14,134 |
Supplemental disclosures of noncash investing and financing activities: | ||
Accrued capital expenditures in accounts payable | 4,340 | 3,689 |
Equipment acquired through capital lease and financing obligations | $ 11,930 | $ 4,749 |
Summary of Operations and Signi
Summary of Operations and Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2018 | |
Accounting Policies [Abstract] | |
Summary of Operations and Significant Accounting Policies | Note 1. Summary of Operations and Significant Accounting Policies Description of Business TPI Composites, Inc. is the holding company that conducts substantially all of its business operations through its direct and indirect subsidiaries (collectively, the Company). The Company was founded in 1968 and has been producing composite wind blades since 2001. The Company’s knowledge and experience of composite materials and manufacturing originates with its predecessor company, Tillotson Pearson Inc., a leading manufacturer of high-performance sail and powerboats along with a wide range of composite structures used in other industrial applications. Following the separation from the boat building business in 2004, the Company reorganized in Delaware as LCSI Holding, Inc. and then changed its corporate name to TPI Composites, Inc. in 2008. The Company is currently headquartered in Scottsdale, Arizona and has expanded its global footprint to include domestic facilities in Newton, Iowa; Fall River, Massachusetts; Warren, Rhode Island and Santa Teresa, New Mexico and international facilities in Dafeng, China; Taicang Port, China; Taicang City, China; Yangzhou, China; Juárez, Mexico; Matamoros, Mexico; Izmir, Turkey and Kolding, Denmark. References to TPI Composites, Inc, the “Company,” “we,” “us” or “our” in these notes refer to TPI Composites, Inc. and its consolidated subsidiaries. Public Offerings and Stock Split In July 2016, we completed an initial public offering (IPO) of 7,187,500 shares of our common stock at a price of $11.00 per share, which included 937,500 shares issued pursuant to the underwriters’ over-allotment option. Certain of our existing shareholders, a non-employee director and executive officers purchased an aggregate of 1,250,000 shares of our common stock in the IPO included in the total issuance above. The net proceeds from the IPO were $67.2 million after deducting underwriting discounts and offering expenses. Immediately prior to the closing of the IPO, all shares of the then-outstanding redeemable preferred shares converted into an aggregate of 21,110,204 shares of our common stock and the redeemable preferred share warrants converted on a net issuance basis into 120,923 shares of our common stock. In addition, concurrent with the closing of the IPO, certain subordinated convertible promissory notes in the aggregate principal and interest amount of $11.9 million were converted into 1,079,749 shares of our common stock at the public offering price of $11.00 per share. Prior to the IPO, in July 2016 we amended our amended and restated certificate of incorporation to effect a 360-for-1 forward stock split of our common stock. As a result of the stock split, we have adjusted the share amounts authorized and issuable under the share-based compensation plans. All share and per share common stock information (including the share-based compensation plans) referenced throughout the unaudited condensed consolidated financial statements and notes thereto have been retroactively adjusted to reflect this stock split. The stock split did not cause an adjustment to the par value of the authorized shares of our common stock. In May 2017, we completed a secondary public offering of 5,075,000 shares of our common stock at a price of $16.35 per share, which included 575,000 shares issued pursuant to the underwriters’ option to purchase additional shares. All of the shares were sold by existing shareholders and certain of our executive officers. The selling shareholders received all of the net proceeds of $78.8 million from the secondary public offering. We did not sell any shares and did not receive any of the proceeds from the offering and the costs paid by us in connection with the offering of $0.8 million were recorded in general and administrative costs in the accompanying condensed consolidated statement of operations. Basis of Presentation We divide our business operations into four geographic operating segments—the United States (U.S.), Asia, Mexico and Europe, the Middle East and Africa (EMEA) as follows: • Our U.S. segment includes (1) the manufacturing of wind blades at our Newton, Iowa plant, (2) the manufacturing of precision molding and assembly systems used for the manufacture of wind blades at our Warren, Rhode Island facility, (3) the manufacturing of composite solutions for the transportation industry, which we also conduct at our existing Rhode Island facility as well as at our Fall River, Massachusetts facility and at a second manufacturing facility in Newton, Iowa which commenced operations in the second quarter of 2018, (4) wind blade inspection and repair services in North America, (5) our advanced engineering center in Kolding, Denmark, which provides technical and engineering resources to our manufacturing facilities and (6) our corporate headquarters, the costs of which are included in general and administrative expenses. • Our Asia segment includes (1) the manufacturing of wind blades at our facility in Taicang Port, China and at our two facilities in Dafeng, China, (2) the manufacturing of precision molding and assembly systems at our Taicang City, China facility and (3) wind blade inspection and repair services. In March 2018, we entered into a new lease agreement with a third party related to the lease of a new manufacturing facility in the Yangzhou Economic & Technical Development Zone in Yangzhou, China and we expect to commence operations at this facility in early 2019. • Our Mexico segment manufactures wind blades from our three facilities in Juárez, Mexico, the most recent of which commenced operations in January 2017. In April 2017, we entered into a new lease agreement with a third party for a new manufacturing facility in Matamoros, Mexico and we commenced operations at this facility in the third quarter of 2018. This segment also manufactures precision molding and assembly systems and performs wind blade inspection and repair services. • Our EMEA segment manufactures wind blades from our two facilities in Izmir, Turkey and also performs wind blade inspection and repair services. The accompanying condensed consolidated financial statements include the accounts of TPI Composites, Inc. and of our majority owned subsidiaries. All significant intercompany transactions and balances have been eliminated. The condensed consolidated financial statements included herein have been prepared by us without audit, pursuant to the rules and regulations of the SEC and should be read in conjunction with the audited consolidated financial statements for the year ended December 31, 2017 included in our Annual Report on Form 10-K. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (GAAP) have been condensed or omitted, as permitted by the SEC, although we believe the disclosures that are made are adequate to make the information presented herein not misleading. The accompanying condensed consolidated financial statements reflect, in the opinion of our management, all normal recurring adjustments necessary to present fairly our financial position at September 30, 2018, and the results of our operations, comprehensive income and cash flows for the periods presented. We restated our December 31, 2017 condensed consolidated balance sheet and the September 30, 2017 condensed consolidated statement of operations and cash flow for the effect of the adoption of Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement As previously announced, effective January 1, 2018, we adopted the requirements of Topic 606 using the full retrospective method as further described in Recently Issued Accounting Pronouncements - Revenue from Contracts with Customers Revenue from Contracts with Customers Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement Revenue Recognition The majority of our revenue is generated from long-term contracts associated with manufacturing of wind blades and related services. We account for a long-term contract when it has the approval from both parties, the rights of the parties are identified, payment terms are established, the contract has commercial substance and the collectability of consideration is probable. To determine the proper revenue recognition method for each long-term contract, we evaluate whether the original contract should be accounted for as one or more performance obligations. This evaluation requires judgment and the decisions reached could change the amount of revenue and gross profit recorded in a given period. As most of our contracts contain multiple performance obligations, we allocate the total transaction price to each performance obligation based on the estimated relative standalone selling prices of the promised goods or services underlying each performance obligation. Our manufacturing services are customer specific and involve production of items that cannot be sold to other customers due to the customers’ protected intellectual property; therefore, we allocate the total transaction price under our contracts with multiple performance obligations using the contractually stated prices, as these prices represent the relative standalone selling price based on an expected cost plus margin model. Revenue is primarily recognized over time as we have an enforceable right to payment upon termination and we may not use or sell the product to fulfill other customers’ contracts. In addition, the customer does not have return or refund rights for items produced that conform to the specifications included in the contract. Because control transfers over time, revenue is recognized based on the extent of progress towards the completion of the performance obligation. We use the cost-to-cost input measure of progress for our contracts as this method provides the best representation of the production progress towards satisfaction of the performance obligation as the materials are distinct to the product being manufactured because of customer specifications provided for in the contract, the costs incurred are proportional to the progress towards completion of the product, and the products do not involve significant pre-fabricated component parts. Under the cost-to-cost method, progress and the related revenue recognition is determined by a ratio of direct costs incurred to date in fulfillment of the contract to the total estimated direct costs required to complete the performance obligation. Determining the revenue to be recognized for services performed under our manufacturing contracts involves significant judgments and estimates relating to the total consideration to be received and the expected total costs to complete the performance obligation. The judgments and estimates relating to the total consideration to be received include the amount of variable consideration as our contracts typically provide the customer with a range of production output options from guaranteed minimum volume obligations to the production capacity of the facility, and customers will provide periodic non-cancellable commitments for the number of wind blades to be produced over the term of the agreement. We use historical experience, customer commitments and forecasted future production based on the capacity of the plant to estimate the total revenue to be received to complete the performance obligation. In addition, the amount of revenue per unit produced may vary based on the costs of production of the wind blades as we may be able to change the price per unit based on changes in the cost of production. Further, some of our contracts provide opportunities for us to share in labor and material cost savings as well as absorb some additional costs as an incentive for more efficient production, both of which impact the margin realized on the contract and ultimately the total amount of revenue to be recognized. Additionally, certain of our customer contracts provide for concessions by us for missed production deadlines. We estimate variable consideration at the most likely amount to which we expect to be entitled. We include estimated amounts in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is resolved. Our estimates of variable consideration and determination of whether to include estimated amounts in the transaction price are based largely on an assessment of our anticipated performance and all information available to us at the time of the estimate and may materially change as additional information becomes known. Our contracts may be modified to account for changes in specifications of products and changing requirements. If the contract modifications are for goods or services that are not distinct from the existing contract, they are accounted for as if they were part of the original contract. The effect of a contract modification on the transaction price and the measure of progress for the performance obligation to which it relates is recognized as an adjustment to revenue on a cumulative catch-up basis. If contract modifications are for goods and services that are distinct from the existing contract and increases the amount of consideration reflecting the standalone sale price of the additional goods or services, then the contract modification is accounted for as a separate contract and is evaluated for one or more performance obligations. Each reporting period, we evaluate the progress towards satisfaction of each performance obligation based on any contract modifications that have occurred, cost incurred to date, and an estimate of the expected future revenue and costs to be incurred to complete the performance obligation. Based on this analysis, any changes in estimates of revenue, cost of sales, contract assets and liabilities and the related impact to operating income are recognized on a cumulative catch-up basis, which recognizes in the current period the cumulative effect of the changes on current and prior periods based on the percentage of completion of the performance obligation. Wind blade pricing is based on annual commitments of volume as established in our customer’s contract and orders less than committed volume may result in a higher price per wind blade to our customers. Orders in excess of annual commitments may result in discounts to our customers from the contracted price for the committed volume. Our customers typically provide periodic purchase orders with the price per wind blade given the current cost of the bill of materials, labor requirements and volume desired. We record an allowance for expected utilization of early payment discounts which are reported as a reduction of the related revenue. Precision molding and assembly systems included in a customer’s contract are based upon the specific engineering requirements and design determined by the customer and are specific to the wind blade design and function desired. From the customer’s engineering specifications, a job cost estimate is developed along with a production plan, and the desired margin is applied based on the location the work is to be performed and complexity of the customer’s design. Precision molding and assembly systems are generally built to produce wind blades which may be manufactured by us in production runs specified in the customer contract. Contract assets primarily relate to our rights to consideration for work completed but not billed at the reporting date on manufacturing services contracts. The contract assets are transferred to accounts receivable when the rights become unconditional, which generally occurs when customers are invoiced upon the determination that a product conforms to the contract specifications and invoices are due based on each customers negotiated payment terms, which range from 15 to 65 days. We apply the practical expedient that allows us to exclude payment terms under one year from the transfer of a promised good or service from consideration of a significant financing component in its contracts. With regards to the production of precision molding and assembly systems, our contracts generally call for progress payments to be made in advance of production. Generally, payment is made at certain percentage of completion milestones with the final payment due upon delivery to the manufacturing facility. These progress payments are recorded within contract liabilities as current liabilities in the condensed consolidated balance sheets and are reduced as we record revenue over time. Our customers may request, in situations where they do not have space available to receive products or do not want to take possession of products immediately for other reasons, that their finished products be stored by us in one of our facilities. Most of our contracts provide for a limited number of wind blades to be stored during the period of the contract with any additional wind blades stored subject to additional storage fees, which are included in the wind blade performance obligation revenue. Revenue related to non-recurring engineering and freight services provided under our customer contracts is recognized at a point in time following the transfer of control of the promised services to the customer. Customers usually pay the carrier directly for the cost of shipping associated with items produced. When we pay the shipping costs, we apply the practical expedient that allows us to account for shipping and handling as a fulfillment costs and include the revenue in the associated performance obligation and the costs are included in cost of goods sold. Taxes assessed by a governmental authority that are both imposed on and concurrent with specific revenue-producing transactions, that are collected by us from a customer, are excluded from revenue. Warranty Expense We provide a limited warranty for our mold and wind blade products, including parts and labor, with terms and conditions that vary depending on the product sold, generally for periods that range from two to five years. Warranty expense is recorded based upon estimates of future repairs using a probability-based methodology that considers previous warranty claims, identified quality issues and industry practices. Once the warranty period has expired, any remaining unused warranty accrual for the specific products is reversed against the current year warranty expense amount. Warranty accrual at September 30 consisted of the following: 2018 (in thousands) Warranty accrual at beginning of year $ 30,419 Accrual during the period 8,200 Cost of warranty services provided during the period (3,153 ) Reversal of reserves upon warranty expiration (2,762 ) Warranty accrual at end of period $ 32,704 Treasury Stock Common stock purchased for treasury is recorded at historical cost. Transactions in treasury shares relate to share-based compensation plans and are recorded at weighted-average cost. Net Income Per Common Share Calculation The basic net income per common share is computed by dividing the net income by the weighted-average number of common shares outstanding during a period. Diluted net income per common share is computed by dividing the net income by the weighted-average number of common shares outstanding plus potentially dilutive securities using the treasury stock method. The table below reflects the calculation of the weighted-average number of common shares outstanding, using the treasury stock method, used in computing basic and diluted earnings per common share: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (in thousands) Basic weighted-average shares outstanding 34,419 33,891 34,212 33,789 Effect of dilutive awards 1,863 1,124 1,734 959 Diluted weighted-average shares outstanding 36,282 35,015 35,946 34,748 Share-based compensation awards of 7,000 shares and 63,000 shares were excluded from the computation of diluted net income per share for the three and nine months ended September 30, 2018, respectively, because their effect would be anti-dilutive. We did not have any potential dilutive securities which were excluded from the computation of diluted net income per share for the three and nine months ended September 30, 2017. Financial Instruments Interest Rate Swap We use interest rate swap contracts to mitigate our exposure to interest rate fluctuations associated with our new credit agreement (the Credit Agreement) that we entered into in April 2018. We do not use such swap contracts for speculative or trading purposes. To offset the variability of future interest payments on the Credit Agreement arising from changes in the London Interbank Offered Rate (LIBOR), in April 2018, we entered into an interest rate swap agreement with a financial institution for a notional amount of $75.0 million with an expiration date of April 2023. This interest rate swap effectively hedges $75.0 million of the $75.4 million of the then outstanding future variable rate LIBOR interest expense to a fixed rate interest expense. The derivative instrument qualified for accounting as a cash flow hedge in accordance with Financial Accounting Standards Board (FASB) Accounting Standard Codification (ASC) Topic 815, Derivatives and Hedging, The settlement value of the interest rate swap is $0.7 million as of September 30, 2018 and is included in other noncurrent assets in the condensed consolidated balance sheet. The unrealized gain on the swap of $0.6 million, net of tax, is included in the condensed consolidated statement of other comprehensive income (loss). Forward Contract We use forward contracts to mitigate our exposure associated with fluctuations in foreign currency exchange rates. We do not use such forward contracts for speculative or trading purposes. In August 2018, we provided a Turkish Lira denominated intercompany loan to an EMEA subsidiary in the amount of $15.0 million converted at the spot rate on the transaction date to 96.6 million Turkish Lira to fund their working capital requirements. We entered into a forward contract, with the same expiration as that of the intercompany loan’s maturity in October 2018, for a notional amount of 101.5 million Turkish Lira to reduce our exposure to currency fluctuations from the settlement of this Turkish Lira denominated intercompany loan of 96.6 million Turkish Lira and accrued interest of 4.9 million Turkish Lira. The derivative instrument qualifies for accounting as a cash flow hedge in accordance with FASB ASC Topic 815, Derivatives and Hedging, The settlement liability of the forward contract is $1.2 million as of September 30, 2018 and is included in accounts payable and accrued expenses in the condensed consolidated balance sheet. For the three and nine months ended September 30, 2018, a loss of $1.1 million has been included in realized loss on foreign currency remeasurement in the condensed consolidated statements of operations offsetting the remeasurement of the Turkish Lira denominated intercompany loan receivable. An additional $0.1 million unrealized loss on the forward contract, net of tax, is included in the condensed consolidated statement of other comprehensive income (loss). Use of Estimates The preparation of these condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Recently Issued Accounting Pronouncements Accounting Pronouncements Adopted in 2018 Revenue from Contracts with Customers In May 2014, the FASB issued Topic 606, which provides new recognition and disclosure requirements for revenue from contracts with customers that supersedes the existing revenue recognition guidance. The new recognition requirements focus on when the customer obtains control of the goods or services, rather than the current risks and rewards model of recognition. The core principle of the new standard is that an entity will recognize revenue when it transfers goods or services to its customers in an amount that reflects the consideration an entity expects to be entitled to for those goods or services. The new disclosure requirements included in these financial statements contain information intended to communicate the nature, amount, timing and any uncertainty of revenue and cash flows from the applicable contracts, including any significant judgments and changes in judgments and assets recognized from the costs to obtain or fulfill a contract. We adopted Topic 606 as of January 1, 2018 with retrospective application to January 1, 2016 through December 31, 2017. See Note 2, Revenue from Contracts with Customers Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement, Cash Flow Presentation In August 2016, the FASB issued ASU 2016-15, Classification of Certain Cash Receipts and Cash Payments Restricted Cash The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the condensed consolidated balance sheets which total the same such amounts in the condensed consolidated statements of cash flows: September 30, December 31, September 30, December 31, 2018 2017 2017 2016 (in thousands) Cash and cash equivalents $ 110,838 $ 148,113 $ 139,065 $ 119,066 Restricted cash 2,845 3,849 3,802 2,259 Restricted cash included within other noncurrent assets 475 475 475 8,538 Total cash, cash equivalents and restricted cash shown in the condensed consolidated statements of cash flows $ 114,158 $ 152,437 $ 143,342 $ 129,863 See Note 13, Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement, Income Taxes In December 2017, the SEC staff issued Staff Accounting Bulletin 118 (SAB 118), which provides relief for companies that have not completed their accounting for the effects of The Tax Cuts and Jobs Act (Tax Reform Act) but can determine a reasonable estimate of those effects to allow them to include a provisional amount based on their reasonable estimate in their financial statements. The guidance in SAB 118 also allows companies to adjust the provisional amounts during a one-year “measurement period” which is similar to the measurement period used when accounting for business combinations. In the accompanying consolidated financial statements, we have not yet completed our accounting for all the tax effects associated with the enactment of the Tax Reform Act. However, we have, in certain cases made a reasonable estimate of the effects on our existing carryforward attributes and the one-time transition tax. See Note 9, Income Taxes, Accounting Pronouncements Not Yet Adopted Leases In February 2016, the FASB issued ASU 2016-02, Leases Leases: Targeted Improvements We will adopt this new standard on the effective date using the alternative transition method provided by ASU 2018-11 and we are currently evaluating the potential changes from ASU 2018-11 to our future financial reporting and disclosures and designing and implementing related processes and controls. We expect that the standard will have a material impact on our total assets and liabilities for the addition of right-of-use assets and lease liabilities, but we do not expect it to have a material impact on our results of operations or liquidity. |
Revenue From Contracts with Cus
Revenue From Contracts with Customers | 9 Months Ended |
Sep. 30, 2018 | |
Revenue From Contract With Customer [Abstract] | |
Revenue From Contracts with Customers | Note 2. Revenue From Contracts with Customers The following tables represents the disaggregation of our net sales revenue by contract type for each of our reportable segments (in thousands): Three Months Ended September 30, 2018 U.S. Asia Mexico EMEA Total Wind blade sales $ 28,082 $ 61,139 $ 78,892 $ 66,795 $ 234,908 Precision molding and assembly systems sales 775 7,608 89 — 8,472 Transportation sales 6,769 — — — 6,769 Other sales 1,063 1,480 584 1,700 4,827 Total net sales $ 36,689 $ 70,227 $ 79,565 $ 68,495 $ 254,976 Nine Months Ended September 30, 2018 U.S. Asia Mexico EMEA Total Wind blade sales $ 100,723 $ 196,490 $ 190,530 $ 187,698 $ 675,441 Precision molding and assembly systems sales 4,997 25,516 1,067 — 31,580 Transportation sales 18,281 — — — 18,281 Other sales 3,507 3,822 2,285 4,651 14,265 Total net sales $ 127,508 $ 225,828 $ 193,882 $ 192,349 $ 739,567 Three Months Ended September 30, 2017 U.S. Asia Mexico EMEA Total Wind blade sales $ 41,293 $ 96,654 $ 59,634 $ 40,479 $ 238,060 Precision molding and assembly systems sales 500 4,161 823 — 5,484 Transportation sales 3,376 — — — 3,376 Other sales 2,556 2,138 237 1,647 6,578 Total net sales $ 47,725 $ 102,953 $ 60,694 $ 42,126 $ 253,498 Nine Months Ended September 30, 2017 U.S. Asia Mexico EMEA Total Wind blade sales $ 125,831 $ 245,633 $ 153,302 $ 134,752 $ 659,518 Precision molding and assembly systems sales 5,444 11,225 1,612 — 18,281 Transportation sales 9,084 — — — 9,084 Other sales 2,948 4,875 3,196 3,793 14,812 Total net sales $ 143,307 $ 261,733 $ 158,110 $ 138,545 $ 701,695 In addition, most of our net sales are made directly to our customers, primarily wind turbine manufacturers, under our long-term contracts which are typically five years in length. Contract Assets and Liabilities Contract assets consist of unbilled amounts typically resulting from revenue recognized over time for products in production and the revenue recognized exceeds the amount billed to the customer. The contract assets are recorded as current assets in the condensed consolidated balance sheets. Contract liabilities consist of advance payments in excess of costs incurred. These amounts were historically recorded as customer deposits which primarily related to progress payments received as precision molding and assembly systems were being manufactured. The contract liabilities are recorded as current liabilities in the condensed consolidated balance sheets and are reduced as we record revenue over time. These contract assets and liabilities are reported on the condensed consolidated balance sheets net on a contract-by-contract basis at the end of each reporting period, as demonstrated in the table below. Contract assets and contract liabilities consisted of the following: September 30, December 31, 2018 2017 $ Change (in thousands) Gross contract assets $ 137,083 $ 112,557 $ 24,526 Less: reclassification from contract liabilities (14,818 ) (6,938 ) (7,880 ) Contract assets $ 122,265 $ 105,619 $ 16,646 September 30, December 31, 2018 2017 $ Change (in thousands) Gross contract liabilities $ 23,153 $ 9,701 $ 13,452 Less: reclassification to contract assets (14,818 ) (6,938 ) (7,880 ) Contract liabilities $ 8,335 $ 2,763 $ 5,572 Contracts assets increased by $16.6 million from December 31, 2017 to September 30, 2018 due to incremental unbilled production during the nine months ended September 30, 2018. Contracts liabilities increased by $5.6 million from December 31, 2017 to September 30, 2018 due to the amounts billed to customers exceeding the progress billings received primarily related to precision molding and assembly systems being produced in the nine months ended September 30, 2018. The time it takes to produce a single blade is typically between 24 to 36 hours. The time it takes to produce a mold is typically between 3 to 6 months. For the three months ended September 30, 2018, we recognized no revenue, and for the nine months ended September 30, 2018, we recognized $2.8 million of revenue, in each case, that was included in the corresponding contract liability balance at the beginning of the period. Performance Obligations Remaining performance obligations represent the transaction price of firm orders for which work has not been performed and excludes any unexercised contract options. For the three and nine months ended September 30, 2018, net revenue recognized from our performance obligations satisfied in previous periods decreased by $3.9 million and $7.9 million, respectively. This primarily relates to changes in certain of our estimated total contract values and related percentage of completion estimates. As of September 30, 2018, the aggregate amount of the transaction price allocated to the remaining performance obligations was approximately $5.6 billion. We estimate that we will recognize the remaining performance obligations as revenue as follows: 5 percent in the remainder of 2018, 27 percent in 2019, 27 percent in 2020, 17 percent in 2021, 14 percent in 2022 and the remaining 10 percent in 2023. Pre-Production Investments We recognize an asset from the costs incurred to fulfill a contract when those costs meet all of the following criteria: (a) the costs relate directly to a contract or to an anticipated contract that we can specifically identify; (b) the costs generate or enhance our resources that will be used in satisfying performance obligations in the future; and, (c) the costs are expected to be recovered. We capitalize the costs related to training our workforce to execute the manufacturing services and other facility set-up costs related to preparing for production. We factor these costs into our estimated cost analysis for the overall contract. Costs capitalized are amortized over the number of units produced during the contract term. As of September 30, 2018, the cost and accumulated amortization of such assets totaled $4.8 million and $1.7 million, respectively. As of December 31, 2017, the cost and accumulated amortization of such assets totaled $2.4 million and $1.4 million, respectively. These amounts are included in other noncurrent assets in the condensed consolidated balance sheet. In applying the practical expedient as permitted under Topic 606, we recognize the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the asset that we otherwise would have recognized is one year or less. These costs are included in cost of goods sold. |
Significant Risks and Uncertain
Significant Risks and Uncertainties | 9 Months Ended |
Sep. 30, 2018 | |
Risks And Uncertainties [Abstract] | |
Significant Risks and Uncertainties | Note 3. Significant Risks and Uncertainties Our revenues and receivables are from a small number of customers. As such, our production levels are dependent on these customers’ orders. See Note 11, Concentration of Customers. We maintain our U.S. cash in bank deposit accounts that, at times, exceed U.S. federally insured limits. U.S. bank accounts are guaranteed by the Federal Deposit Insurance Corporation (FDIC) in an amount up to $250,000 during 2018 and 2017. At September 30, 2018 and December 31, 2017, we had $70.6 million and $98.9 million, respectively, of cash in deposit accounts in U.S. banks, which was in excess of FDIC limits. We have not experienced losses in any such accounts. We also maintain cash in bank deposit accounts outside the U.S. with no insurance. At September 30, 2018, this includes $29.6 million in China, $8.6 million in Turkey and $2.0 million in Mexico. We have not experienced losses in these accounts. In addition, at September 30, 2018, we have short-term deposits in interest bearing accounts of $2.8 million in China, which are reported as restricted cash in our condensed consolidated balance sheets. At September 30, 2018, we also have long-term deposits in interest bearing accounts of $0.5 million in Iowa which are reported as restricted cash within the caption other noncurrent assets in our condensed consolidated balance sheets. |
Related-Party Transactions
Related-Party Transactions | 9 Months Ended |
Sep. 30, 2018 | |
Related Party Transactions [Abstract] | |
Related-Party Transactions | Note 4. Related-Party Transactions Related party transactions include transactions between us and certain of our affiliates. The following transactions were in the normal course of operations and were measured at the exchange amount, which is the amount of consideration established and agreed to by the parties. We have entered into several agreements with subsidiaries of General Electric Company and its consolidated affiliates (GE) relating to the operation of its business. As a result of these agreements, GE has been a debtor, creditor and holder of both preferred and common shares. During the second quarter of 2017, GE reduced its holdings of our common shares to less than five percent of the total shares then outstanding and completely divested of our common shares during the third quarter of 2017. We have entered into five separate supply agreements with GE to manufacture wind blades in Newton, Iowa; Taicang Port, China; Juárez, Mexico (2) and Izmir, Turkey. The supply agreements in Taicang Port, China and Izmir, Turkey expired on December 31, 2017 and GE did not renew or extend these two contracts. For the six months ended June 30, 2017, we recorded related-party sales with GE of $198.6 million. Certain of our existing stockholders, consisting of entities associated with Element Partners, Angeleno Group and Landmark Partners, each of which is an affiliate of a member of the board of directors, as well as certain executive officers and a director, purchased an aggregate of 1,250,000 shares of our common stock in the IPO. In addition, all outstanding obligations and accrued interest under our subordinated convertible promissory notes held by certain existing stockholders, including Element Partners, Angeleno Group and Landmark Partners, were converted into an aggregate of 1,079,749 shares of our common stock concurrent with the closing of the IPO at the public offering price of $11.00 per share. In connection with our secondary offering in May 2017, certain entities associated with Element Partners, Angeleno Group, Landmark Partners and NGP Energy Technology Partners, L.P, as well as certain of our executive officers sold an aggregate of 5,075,000 shares of our common stock at the public offering price of $16.35 per share. |
Accounts Receivable
Accounts Receivable | 9 Months Ended |
Sep. 30, 2018 | |
Receivables [Abstract] | |
Accounts Receivable | Note 5. Accounts Receivable Accounts receivable consisted of the following: September 30, December 31, 2018 2017 (in thousands) Trade accounts receivable $ 112,258 $ 117,794 Other accounts receivable 4,808 3,782 Total accounts receivable $ 117,066 $ 121,576 |
Property, Plant, and Equipment,
Property, Plant, and Equipment, Net | 9 Months Ended |
Sep. 30, 2018 | |
Property Plant And Equipment [Abstract] | |
Property, Plant, and Equipment, Net | Note 6. Property, Plant and Equipment, Net Property, plant and equipment, net consisted of the following: September 30, December 31, 2018 2017 (in thousands) Machinery and equipment $ 113,686 $ 100,681 Buildings 15,001 14,711 Leasehold improvements 33,229 21,853 Office equipment and software 21,542 18,664 Furniture 18,703 19,017 Vehicles 287 294 Construction in progress 19,097 10,687 Total 221,545 185,907 Accumulated depreciation (70,614 ) (62,427 ) Property, plant and equipment, net $ 150,931 $ 123,480 Total depreciation expense for the three months ended September 30, 2018 and 2017 was $5.8 million and $5.1 million, respectively, and $18.6 million and $13.5 million for the nine months ended September 30, 2018 and 2017, respectively. |
Long-Term Debt, Net of Debt Iss
Long-Term Debt, Net of Debt Issuance Costs and Current Maturities | 9 Months Ended |
Sep. 30, 2018 | |
Debt Disclosure [Abstract] | |
Long-Term Debt, Net of Debt Issuance Costs and Current Maturities | Note 7. Long-Term Debt, Net of Debt Issuance Costs and Current Maturities Long-term debt, net of debt issuance costs and current maturities, consisted of the following: September 30, December 31, 2018 2017 (in thousands) Senior term loan—U.S. $ — $ 71,250 Senior revolving loan—U.S. 90,414 2,820 Accounts receivable financing—EMEA 10,185 14,100 Equipment financing—EMEA 13,412 16,901 Equipment capital lease—U.S. 26 536 Equipment capital lease—EMEA 7,404 5,058 Equipment capital lease—Mexico 12,268 12,844 Equipment loan—Mexico 5 47 Total long-term debt 133,714 123,556 Less: Debt issuance costs (930 ) (2,171 ) Total long-term debt, net of debt issuance costs 132,784 121,385 Less: Current maturities of long-term debt (39,201 ) (35,506 ) Long-term debt, net of debt issuance costs and current maturities $ 93,583 $ 85,879 In April 2018, we entered into a new credit agreement (the Credit Agreement) with four lenders consisting of a multi-currency, revolving credit facility in an aggregate principal amount of $150.0 million, including a $25.0 million letter of credit sub-facility. We drew down $75.4 million on the revolving credit facility in connection with the closing of the transactions contemplated by the Credit Agreement and used the proceeds to pay all outstanding amounts due and payable under our senior secured credit facility, various fees and expenses and related accrued interest. All borrowings and amounts outstanding under the Credit Agreement are scheduled to mature in April 2023. Interest accrues at a variable rate equal to LIBOR plus an initial margin of 1.5% (3.7% as of September 30, 2018), which may vary based on our total net leverage ratio as defined in the Credit Agreement. Interest is paid monthly and we are not obligated to make any principal repayments prior to the maturity date so long as we are not in default under the Credit Agreement. We may prepay borrowings without penalty under the Credit Agreement. In April 2018, we also entered into an interest rate swap arrangement to fix a notional amount of $75.0 million under the Credit Agreement at an effective interest rate of 4.2% for a period of five years. In August 2018, we borrowed an additional $15.0 million under the Credit Agreement in order to fund the working capital requirements of one of our EMEA subsidiaries. |
Share-Based Compensation Plans
Share-Based Compensation Plans | 9 Months Ended |
Sep. 30, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share-Based Compensation Plans | Note 8. Share-Based Compensation Plans Our Amended and Restated 2015 Stock Option and Incentive Plan (the 2015 Plan) provides for the issuance of incentive stock options, non-qualified stock options, stock appreciation rights, restricted stock units, restricted stock awards, unrestricted stock awards, cash-based awards, performance share awards and dividend equivalent rights to certain employees, non-employee directors and consultants. Under the 2015 Plan, we have granted awards of stock options, restricted stock units (RSUs) and performance-based restricted stock units (PSUs) to certain employees and non-employee directors. During the nine months ended September 30, 2018, we issued to certain employees and non-employee directors an aggregate of 149,012 timed-based RSUs, 121,836 PSUs that vest upon achievement of a cumulative, three-year Adjusted EBITDA target measured from January 1, 2018 through December 31, 2020, and 170,712 PSUs that vest upon achievement of certain stock price hurdles for the period of the grant date through December 31, 2020. 100% of the time-based RSUs vest on the third anniversary date of the grant date. Each of the time-based and performance-based awards are subject to the recipient’s continued service with us, the terms and conditions of the 2015 Plan and the applicable award agreement. The share-based compensation expense recognized in the condensed consolidated statements of operations was as follows: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (in thousands) Cost of goods sold $ 313 $ 210 $ 1,268 $ 755 General and administrative expenses 1,659 833 5,703 4,039 Total share-based compensation expense $ 1,972 $ 1,043 $ 6,971 $ 4,794 The share-based compensation expense recognized by award type was as follows: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (in thousands) RSUs $ 1,112 $ 382 $ 3,595 $ 1,546 Stock options 460 661 2,491 3,248 PSUs 400 - 885 - Total share-based compensation expense $ 1,972 $ 1,043 $ 6,971 $ 4,794 As of September 30, 2018, the unamortized cost of the outstanding RSUs and PSUs was $4.8 million and $3.9 million, respectively, which we expect to recognize in the condensed consolidated financial statements over weighted-average periods of approximately 1.7 years and 2.5 years, respectively. Additionally, the total unrecognized cost related to non-vested stock option awards was $2.3 million, which we expect to recognize in the condensed consolidated financial statements over a weighted-average period of approximately 1.5 years. The summary of activity under our incentive plans is as follows: Stock Options RSUs PSUs Shares Available for Grant Shares Weighted- Average Exercise Price Options Exercisable Units Weighted- Average Grant Date Fair Value Units Weighted- Average Grant Date Fair Value Balance as of December 31, 2017 4,731,117 3,203,290 $ 13.34 890,433 613,380 $ 15.02 — $ — Increase in shares authorized 1,360,826 — — — — — — Granted (451,212 ) 9,652 22.67 149,012 23.37 292,548 22.67 Exercised/vested — (186,959 ) 11.83 (298,036 ) 13.03 — — Forfeited/cancelled 115,067 (105,750 ) 13.00 (5,053 ) 23.04 (4,264 ) 22.67 Balance as of September 30, 2018 5,755,798 2,920,233 13.48 1,393,408 459,303 18.93 288,284 22.67 The fair value of RSUs which vested during the nine months ended September 30, 2018 was $3.9 million. In addition, during the nine months ended September 30, 2018, we repurchased 100,891 shares for $2.9 million related to tax withholding requirements on vested RSU awards. The following table summarizes the outstanding and exercisable stock option awards as of September 30, 2018: Options Outstanding Options Exercisable Range of Exercise Prices: Shares Weighted- Average Remaining Contractual Life ( in years Weighted- Average Exercise Price Shares Weighted- Average Exercise Price $8.49 16,397 1.8 $ 8.49 16,397 $ 8.49 $ 10.87 1,756,792 6.7 10.87 884,692 10.87 $11.00 to $16.53 624,251 7.3 16.19 291,229 16.34 $17.68 to $18.70 305,241 7.7 18.67 162,142 18.68 $18.77 to $22.67 217,552 9.0 19.92 38,948 20.14 $8.49 to $22.67 2,920,233 7.1 13.48 1,393,408 13.15 |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 9. Income Taxes Income taxes for the three and nine months ended September 30, 2018 were lower than for the three and nine months ended September 30, 2017 primarily due to the reversal of our valuation allowances related to our U.S. federal deferred tax assets in the three months ended September 30, 2018 totaling $10.9 million. This valuation allowance release was the result of our decision during the three months ended September 30, 2018 to account for the impact of the global intangible low-taxed income (GILTI) as a current period item. With this election and our adoption of ASC 606, we ceased to be in a cumulative loss position in the U.S. and we have positive evidence that our U.S. tax attributes will be fully realized in the future. We will continue to refine our provisional estimates of our computations of the GILTI, the deduction for foreign-derived intangible income (FDII) and other parts of the Tax Reform Act, which may result in changes to the expected impact for 2018. We also continue to not record a deferred tax liability related to unremitted foreign earnings as we maintain our assertion to permanently reinvest our unremitted foreign earnings. An ownership change under Sections 382 and 383 of the Internal Revenue Code was deemed to occur in June 2018. In general, a Section 382 and 383 ownership change occurs if there is a cumulative change in our ownership by “5% shareholders” (as defined in the Internal Revenue Code of 1986, as amended) that exceeds 50 percentage points over a rolling three-year period. Based on the analysis performed, however, we do not believe that the Section 382 and 383 annual limitation will materially impact our ability to utilize the tax attributes that existed as of the date of the ownership. Additional ownership changes in the future could result in additional limitations on our net operating loss carryforwards and credits. Income taxes for the three and nine months ended September 30, 2018 have also been adjusted to reflect China’s retroactive increase in the deduction for research and development expenses. No other changes in tax law during the quarter have had a material impact on our income tax provision. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 10. Commitments and Contingencies Legal Proceedings From time to time, we may be involved in disputes or litigation relating to claims arising out of our operations. In March 2015, a complaint was filed against us in the Superior Court of the State of Arizona (Maricopa County) by a former employee, alleging that we had agreed to make certain cash payments to such employee upon any future sale of the Company. We filed a motion to dismiss the complaint in April 2015, which was denied. We subsequently filed an answer to the complaint in July 2015 denying the substantive allegations of the complaint. The parties completed court-ordered mediation in December 2015 but were not able to reach a settlement. We filed a motion for summary judgment to dismiss the complaint in April 2016 and the court denied the motion in August 2016. The court recently postponed the trial date from August 2018 until June 2019. We continue to deny the substantive allegations of the complaint and intend to vigorously defend this lawsuit; however, we are currently unable to determine the ultimate outcome of this case. In August 2015, we entered into a transition agreement with our former Senior Vice President – Asia, pursuant to which that individual transitioned out of this role at the end of 2015 and was to serve in a consulting capacity in 2016 and 2017. In January 2016, following our discovery that the individual had materially violated the terms of the transition agreement, we terminated the consultancy for cause. In April 2016, an arbitration claim was filed in China by the individual with the Taicang Labor and Personnel Dispute Arbitration Committee alleging that we improperly terminated the transition agreement. The individual is demanding that we honor the terms of the transition agreement and pay compensation and fees under the transition agreement, which in the aggregate totals approximately $2.6 million. In addition, the individual is also challenging the validity of our termination of an option to purchase 164,880 shares of our common stock and 77,760 restricted stock units awarded under the 2015 Plan, which were canceled in January 2016 when the consultancy was terminated. The Taicang Labor and Personnel Dispute Arbitration Committee awarded damages to the individual of approximately $1.2 million but rejected the claims regarding the termination of the stock option and restricted stock unit awards. We subsequently appealed the arbitration award in favor of the individual to the Taicang Municipal People’s Court, which affirmed the arbitration award in June 2018. We have appealed this judgment to an appellate level court in the Jiangsu Province and the appeal remains pending. We previously established a reserve for these matters and do not believe the award, if upheld on appeal, will have a material impact on our operating results or financial condition. In June 2018, Iowa OSHA, a division of the Iowa Department of Labor, issued a citation and notification of penalty to us alleging that certain of our workplace practices and conditions at our Newton, Iowa wind blade manufacturing facility had violated the Iowa Occupational Safety and Health Act. Specifically, the citation cited us for multiple alleged violations and proposed that we pay an aggregate penalty of $0.2 million. In June 2018, we notified Iowa OSHA that we were contesting all of the alleged violations and proposed penalties. In June 2018, the Labor Commissioner of the Iowa Department of Labor subsequently filed a complaint with the State of Iowa Employment Appeal Board, petitioning the appeal board to affirm the citation and notification of penalty that Iowa OSHA issued to us. In July 2018, we then filed a response with the appeal board denying the substantive allegations of the complaint. A hearing date has been set for June 2019 and the matter remains pending. From time to time, we are party to various lawsuits, claims, and other legal proceedings that arise in the ordinary course of business, some of which are covered by insurance. Upon resolution of any pending legal matters, we may incur charges in excess of presently established reserves. Our management does not believe that any such charges would, individually or in the aggregate, have a material adverse effect on our financial condition, results of operations or cash flows. |
Concentration of Customers
Concentration of Customers | 9 Months Ended |
Sep. 30, 2018 | |
Risks And Uncertainties [Abstract] | |
Concentration of Customers | Note 11. Concentration of Customers Revenues from certain customers in excess of 10 percent of our total consolidated revenues are as follows: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 Customer Revenues % of Total Revenues % of Total Revenues % of Total Revenues % of Total (dollars in thousands) GE $ 81,699 32.0 % $ 98,962 39.0 % $ 244,534 33.1 % $ 297,550 42.4 % Vestas 73,584 28.9 72,366 28.6 226,153 30.6 181,215 25.8 Nordex Acciona 46,103 18.1 43,052 17.0 141,663 19.1 126,214 18.0 Siemens Gamesa 33,964 13.3 34,999 13.8 84,782 11.5 86,675 12.4 Other 19,626 7.7 4,119 1.6 42,435 5.7 10,041 1.4 Total $ 254,976 100.0 % $ 253,498 100.0 % $ 739,567 100.0 % $ 701,695 100.0 % Trade accounts receivable from certain customers in excess of 10 percent of our total consolidated trade accounts receivable are as follows: September 30, December 31, 2018 2017 Customer % of Total % of Total GE 9.5 % 18.9 % Vestas 41.1 % 52.4 % Nordex Acciona 34.6 % 19.5 % |
Segment Reporting
Segment Reporting | 9 Months Ended |
Sep. 30, 2018 | |
Segment Reporting [Abstract] | |
Segment Reporting | Note 12. Segment Reporting Our operating segments are defined geographically as the U.S., Asia, Mexico and EMEA. Financial results are aggregated into four reportable segments based on quantitative thresholds. All of our segments operate in their local currency, however a portion of the revenue attributable to our China and Mexico segments is derived in U.S. dollars because certain of our domestic subsidiaries are the contracting parties to the associated customer supply agreements. The following tables set forth certain information regarding each of our segments: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (in thousands) Revenues by segment: U.S. $ 36,689 $ 47,725 $ 127,508 $ 143,307 Asia 70,227 102,953 225,828 261,733 Mexico 79,565 60,694 193,882 158,110 EMEA 68,495 42,126 192,349 138,545 Total revenues $ 254,976 $ 253,498 $ 739,567 $ 701,695 Revenues by geographic location (1): U.S. $ 36,689 $ 47,725 $ 127,508 $ 143,307 China 70,227 102,953 225,828 261,733 Mexico 79,565 60,694 193,882 158,110 Turkey 68,495 42,126 192,349 138,545 Total revenues $ 254,976 $ 253,498 $ 739,567 $ 701,695 Income (loss) from operations: U.S. (2) $ (18,687 ) $ (7,474 ) $ (41,030 ) $ (21,148 ) Asia 7,401 22,104 23,204 55,452 Mexico 5,447 4,883 9,932 8,917 EMEA 13,050 1,478 36,262 8,555 Total income from operations $ 7,211 $ 20,991 $ 28,368 $ 51,776 September 30, December 31, 2018 2017 (in thousands) Property, plant and equipment, net: U.S. $ 34,865 $ 24,575 Asia (China) 30,345 28,887 Mexico 63,269 39,756 EMEA (Turkey) 22,452 30,262 Total property, plant and equipment, net $ 150,931 $ 123,480 (1) Revenues are attributable to countries based on the location where the product is manufactured or the services are performed. (2) The losses from operations in our U.S. segment includes corporate general and administrative costs of $9.8 million and $9.3 million for the three months ended September 30, 2018 and 2017, respectively, and $31.9 million and $28.4 million for the nine months ended September 30, 2018 and 2017. |
Adjustments to Previously Repor
Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement | 9 Months Ended |
Sep. 30, 2018 | |
New Accounting Pronouncements And Changes In Accounting Principles [Abstract] | |
Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement | Note 13. Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement As discussed in Note 1, Summary of Operations and Significant Accounting Policies Topic 606 and ASUs 2016-15 and 2016-18 were adopted by us The following tables summarize the effects of adopting Topic 606 and ASU 2016-18 had on our previously reported financial statements. Condensed Consolidated Balance Sheet (In thousands, except par value data) December 31, 2017 As Reported Adoption of Topic 606 As Adjusted (Unaudited) Assets Current assets: Cash and cash equivalents $ 148,113 $ — $ 148,113 Restricted cash 3,849 — 3,849 Accounts receivable 121,576 — 121,576 Contract assets — 105,619 105,619 Inventories 67,064 (62,952 ) 4,112 Inventories held for customer orders 64,858 (64,858 ) — Prepaid expenses and other current assets 27,507 — 27,507 Total current assets 432,967 (22,191 ) 410,776 Property, plant, and equipment, net 123,480 — 123,480 Goodwill 2,807 — 2,807 Intangible assets, net 150 958 1,108 Other noncurrent assets 14,130 4,261 18,391 Total assets $ 573,534 $ (16,972 ) $ 556,562 Liabilities and Stockholders’ Equity Current liabilities: Accounts payable and accrued expenses $ 166,743 $ — $ 166,743 Accrued warranty 29,163 1,256 30,419 Deferred revenue 81,048 (81,048 ) — Customer deposits 10,134 (9,702 ) 432 Current maturities of long-term debt 35,506 — 35,506 Contract liabilities — 2,763 2,763 Total current liabilities 322,594 (86,731 ) 235,863 Long-term debt, net of debt issuance costs and current maturities 85,879 — 85,879 Other noncurrent liabilities 4,444 494 4,938 Total liabilities 412,917 (86,237 ) 326,680 Commitments and contingencies Stockholders’ equity: Common shares, $0.01 par value, 100,000 shares authorized and 34,049 shares issued and 34,021 shares outstanding at December 31, 2017 340 — 340 Paid-in capital 301,543 — 301,543 Accumulated other comprehensive loss (558 ) — (558 ) Accumulated deficit (140,197 ) 69,265 (70,932 ) Treasury stock, at cost, 28 shares at December 31, 2017 (511 ) — (511 ) Total stockholders’ equity 160,617 69,265 229,882 Total liabilities and stockholders’ equity $ 573,534 $ (16,972 ) $ 556,562 The primary effects of the adoption of Topic 606 on our condensed consolidated balance sheet include 1) amounts being recognized as revenue for work performed as production takes place over time as contract assets, which differs from the prior practice of including the balances in inventory; 2) no longer reporting inventory held for customer orders or deferred revenue since revenue is now being recognized over the course of the production process, and before the product is delivered to the customer; 3) that contract liabilities are reported for amounts collected from customers in advance of the production of products, similar to our prior practice of recording customer deposits; and 4) the cumulative amount of the effect to prior periods’ net income related to the adoption of Topic 606 through December 31, 2017 is reflected in retained earnings. Condensed Consolidated Income Statement (In thousands, except per share data) Three Months Ended September 30, 2017 As Reported Adoption of Topic 606 As Adjusted (Unaudited) Net sales $ 243,354 $ 10,144 $ 253,498 Cost of sales 198,141 12,699 210,840 Startup and transition costs 12,352 — 12,352 Total cost of goods sold 210,493 12,699 223,192 Gross profit 32,861 (2,555 ) 30,306 General and administrative expenses 9,315 — 9,315 Income from operations 23,546 (2,555 ) 20,991 Other income (expense): Interest income 48 — 48 Interest expense (3,254 ) — (3,254 ) Realized gain on foreign currency remeasurement 39 — 39 Miscellaneous income 390 — 390 Total other expense (2,777 ) — (2,777 ) Income before income taxes 20,769 (2,555 ) 18,214 Income tax benefit (provision) (371 ) 3,894 3,523 Net income $ 20,398 $ 1,339 $ 21,737 Weighted-average common shares outstanding: Basic 33,891 33,891 33,891 Diluted 35,015 35,015 35,015 Net income per common share: Basic $ 0.60 $ 0.04 $ 0.64 Diluted $ 0.58 $ 0.04 $ 0.62 The primary effects of the adoption of Topic 606 on our condensed consolidated income statement relate to amounts being recognized as revenue for work performed as production takes place over time, which differs from the prior practice of recognizing revenue when the product was delivered to the customer. Condensed Consolidated Income Statement (In thousands, except per share data) Nine Months Ended September 30, 2017 As Reported Adoption of Topic 606 As Adjusted (Unaudited) Net sales $ 683,142 $ 18,553 $ 701,695 Cost of sales 568,659 23,836 592,495 Startup and transition costs 29,051 — 29,051 Total cost of goods sold 597,710 23,836 621,546 Gross profit 85,432 (5,283 ) 80,149 General and administrative expenses 28,373 — 28,373 Income from operations 57,059 (5,283 ) 51,776 Other income (expense): Interest income 78 — 78 Interest expense (9,215 ) — (9,215 ) Realized loss on foreign currency remeasurement (2,575 ) — (2,575 ) Miscellaneous income 968 — 968 Total other expense (10,744 ) — (10,744 ) Income before income taxes 46,315 (5,283 ) 41,032 Income tax provision (8,514 ) 4,009 (4,505 ) Net income $ 37,801 $ (1,274 ) $ 36,527 Weighted-average common shares outstanding: Basic 33,789 33,789 33,789 Diluted 34,748 34,748 34,748 Net income per common share: Basic $ 1.12 $ (0.04 ) $ 1.08 Diluted $ 1.09 $ (0.04 ) $ 1.05 The primary effects of the adoption of Topic 606 on our condensed consolidated income statement relate to amounts being recognized as revenue for work performed as production takes place over time, which differs from the prior practice of recognizing revenue when the product was delivered to the customer. Condensed Consolidated Statement of Comprehensive Income (In thousands) Three Months Ended September 30, 2017 As Reported Adoption of Topic 606 As Adjusted (Unaudited) Net income $ 20,398 $ 1,339 $ 21,737 Other comprehensive income: Foreign currency translation adjustments 1,231 — 1,231 Comprehensive income $ 21,629 $ 1,339 $ 22,968 Nine Months Ended September 30, 2017 As Reported Adoption of Topic 606 As Adjusted (Unaudited) Net income $ 37,801 $ (1,274 ) $ 36,527 Other comprehensive income: Foreign currency translation adjustments 2,808 — 2,808 Comprehensive income $ 40,609 $ (1,274 ) $ 39,335 Condensed Consolidated Statements of Changes in Stockholders’ Equity (In thousands) Common Paid-in Accumulated other comprehensive Accumulated Treasury stock, Total stockholders' Shares Amount capital loss deficit at cost equity (Unaudited) Balance at December 31, 2017 - as reported 34,049 $ 340 $ 301,543 $ (558 ) $ (140,197 ) $ (511 ) $ 160,617 Cumulative effect of the adoption of Topic 606 — — — — 69,265 — 69,265 Balance at December 31, 2017 - as adjusted 34,049 $ 340 $ 301,543 $ (558 ) $ (70,932 ) $ (511 ) $ 229,882 The adoption of Topic 606 increased our total stockholders’ equity in 2015 and 2016 by $61.2 million and $12.3 million, respectively and decreased our total stockholders’ equity in 2017 by $4.2 million. Condensed Consolidated Statements of Cash Flows (In thousands) Nine Months Ended September 30, 2017 As Reported Adoption of Topic 606 Adoption of ASU 2016-18 As Adjusted (Unaudited) Cash flows from operating activities: Net income $ 37,801 $ (1,274 ) $ — $ 36,527 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 13,622 521 — 14,143 Share-based compensation expense 4,794 — — 4,794 Amortization of debt issuance costs 430 — — 430 Deferred income taxes — (2,613 ) — (2,613 ) Changes in assets and liabilities: Accounts receivable (66,438 ) — — (66,438 ) Contract assets and liabilities — 7,604 — 7,604 Inventories (24,979 ) 24,644 — (335 ) Prepaid expenses and other current assets 881 — — 881 Other noncurrent assets 3,067 (2,619 ) (8,063 ) (7,615 ) Accounts payable and accrued expenses 47,498 585 — 48,083 Accrued warranty 8,238 (103 ) — 8,135 Customer deposits 9,019 (9,019 ) — — Deferred revenue 17,726 (17,726 ) — — Other noncurrent liabilities (136 ) — — (136 ) Net cash provided by operating activities 51,523 — (8,063 ) 43,460 Cash flows from investing activities: Purchase of property and equipment (35,312 ) — — (35,312 ) Net cash used in investing activities (35,312 ) — — (35,312 ) Cash flows from financing activities: Repayments of term loan (2,812 ) — — (2,812 ) Net proceeds from accounts receivable financing 8,196 — — 8,196 Proceeds from working capital loans 6,620 — — 6,620 Repayments of working capital loans (11,258 ) — — (11,258 ) Net proceeds from other debt 4,556 — — 4,556 Proceeds from exercise of stock options 988 — — 988 Repurchase of common stock including shares withheld in lieu of income taxes (1,264 ) — — (1,264 ) Restricted cash (1,543 ) — 1,543 — Net cash provided by financing activities 3,483 — 1,543 5,026 Impact of foreign exchange rates on cash and cash equivalents 305 — — 305 Net change in cash and cash equivalents 19,999 — (6,520 ) 13,479 Cash, cash equivalents and restricted cash, beginning of year 119,066 — 10,797 129,863 Cash, cash equivalents and restricted cash, end of period $ 139,065 $ — $ 4,277 $ 143,342 The primary effects of the adoption of Topic 606 on our condensed consolidated statement of cash flows include 1) the establishment of contract assets and liabilities; 2) the reduction of inventory and elimination of inventory held for customer orders; and 3) the elimination of deferred revenue. For more details on these items, see the disclosure related to the effect of the adoption of Topic 606 on our condensed consolidated balance sheet. As part of our adoption of Topic 606, we have elected to use the following practical expedients: - for completed contracts that have variable consideration, we have used the transaction price at the date on which the contract was completed, rather than estimating amounts for variable consideration in each comparative reporting period. - for modified contracts, we did not separately evaluate the effects of the contract modifications before the beginning of the earliest period presented. Instead, we reflected the aggregate effect of all of the modifications that occur before the beginning of the earliest period presented in determining the transaction price, identifying the satisfied and unsatisfied performance obligations, and allocating the transaction price to the performance obligations. - for all periods presented before the date of initial application, we did not disclose the amount of the transaction price allocated to remaining performance obligations, nor an explanation of when we expect to recognize that amount as revenue. The impact of applying the above practical expedients may change the period of revenue recognition but not the total amount to be recognized under the contract; therefore, we believe that the application of the practical expedients is not material to the comparability of the information presented above and the accounting and financial reporting related to the adoption of Topic 606. |
Summary of Operations and Sig_2
Summary of Operations and Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2018 | |
Accounting Policies [Abstract] | |
Description of Business | Description of Business TPI Composites, Inc. is the holding company that conducts substantially all of its business operations through its direct and indirect subsidiaries (collectively, the Company). The Company was founded in 1968 and has been producing composite wind blades since 2001. The Company’s knowledge and experience of composite materials and manufacturing originates with its predecessor company, Tillotson Pearson Inc., a leading manufacturer of high-performance sail and powerboats along with a wide range of composite structures used in other industrial applications. Following the separation from the boat building business in 2004, the Company reorganized in Delaware as LCSI Holding, Inc. and then changed its corporate name to TPI Composites, Inc. in 2008. The Company is currently headquartered in Scottsdale, Arizona and has expanded its global footprint to include domestic facilities in Newton, Iowa; Fall River, Massachusetts; Warren, Rhode Island and Santa Teresa, New Mexico and international facilities in Dafeng, China; Taicang Port, China; Taicang City, China; Yangzhou, China; Juárez, Mexico; Matamoros, Mexico; Izmir, Turkey and Kolding, Denmark. References to TPI Composites, Inc, the “Company,” “we,” “us” or “our” in these notes refer to TPI Composites, Inc. and its consolidated subsidiaries. |
Public Offerings and Stock Split | Public Offerings and Stock Split In July 2016, we completed an initial public offering (IPO) of 7,187,500 shares of our common stock at a price of $11.00 per share, which included 937,500 shares issued pursuant to the underwriters’ over-allotment option. Certain of our existing shareholders, a non-employee director and executive officers purchased an aggregate of 1,250,000 shares of our common stock in the IPO included in the total issuance above. The net proceeds from the IPO were $67.2 million after deducting underwriting discounts and offering expenses. Immediately prior to the closing of the IPO, all shares of the then-outstanding redeemable preferred shares converted into an aggregate of 21,110,204 shares of our common stock and the redeemable preferred share warrants converted on a net issuance basis into 120,923 shares of our common stock. In addition, concurrent with the closing of the IPO, certain subordinated convertible promissory notes in the aggregate principal and interest amount of $11.9 million were converted into 1,079,749 shares of our common stock at the public offering price of $11.00 per share. Prior to the IPO, in July 2016 we amended our amended and restated certificate of incorporation to effect a 360-for-1 forward stock split of our common stock. As a result of the stock split, we have adjusted the share amounts authorized and issuable under the share-based compensation plans. All share and per share common stock information (including the share-based compensation plans) referenced throughout the unaudited condensed consolidated financial statements and notes thereto have been retroactively adjusted to reflect this stock split. The stock split did not cause an adjustment to the par value of the authorized shares of our common stock. In May 2017, we completed a secondary public offering of 5,075,000 shares of our common stock at a price of $16.35 per share, which included 575,000 shares issued pursuant to the underwriters’ option to purchase additional shares. All of the shares were sold by existing shareholders and certain of our executive officers. The selling shareholders received all of the net proceeds of $78.8 million from the secondary public offering. We did not sell any shares and did not receive any of the proceeds from the offering and the costs paid by us in connection with the offering of $0.8 million were recorded in general and administrative costs in the accompanying condensed consolidated statement of operations. |
Basis of Presentation | Basis of Presentation We divide our business operations into four geographic operating segments—the United States (U.S.), Asia, Mexico and Europe, the Middle East and Africa (EMEA) as follows: • Our U.S. segment includes (1) the manufacturing of wind blades at our Newton, Iowa plant, (2) the manufacturing of precision molding and assembly systems used for the manufacture of wind blades at our Warren, Rhode Island facility, (3) the manufacturing of composite solutions for the transportation industry, which we also conduct at our existing Rhode Island facility as well as at our Fall River, Massachusetts facility and at a second manufacturing facility in Newton, Iowa which commenced operations in the second quarter of 2018, (4) wind blade inspection and repair services in North America, (5) our advanced engineering center in Kolding, Denmark, which provides technical and engineering resources to our manufacturing facilities and (6) our corporate headquarters, the costs of which are included in general and administrative expenses. • Our Asia segment includes (1) the manufacturing of wind blades at our facility in Taicang Port, China and at our two facilities in Dafeng, China, (2) the manufacturing of precision molding and assembly systems at our Taicang City, China facility and (3) wind blade inspection and repair services. In March 2018, we entered into a new lease agreement with a third party related to the lease of a new manufacturing facility in the Yangzhou Economic & Technical Development Zone in Yangzhou, China and we expect to commence operations at this facility in early 2019. • Our Mexico segment manufactures wind blades from our three facilities in Juárez, Mexico, the most recent of which commenced operations in January 2017. In April 2017, we entered into a new lease agreement with a third party for a new manufacturing facility in Matamoros, Mexico and we commenced operations at this facility in the third quarter of 2018. This segment also manufactures precision molding and assembly systems and performs wind blade inspection and repair services. • Our EMEA segment manufactures wind blades from our two facilities in Izmir, Turkey and also performs wind blade inspection and repair services. The accompanying condensed consolidated financial statements include the accounts of TPI Composites, Inc. and of our majority owned subsidiaries. All significant intercompany transactions and balances have been eliminated. The condensed consolidated financial statements included herein have been prepared by us without audit, pursuant to the rules and regulations of the SEC and should be read in conjunction with the audited consolidated financial statements for the year ended December 31, 2017 included in our Annual Report on Form 10-K. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States (GAAP) have been condensed or omitted, as permitted by the SEC, although we believe the disclosures that are made are adequate to make the information presented herein not misleading. The accompanying condensed consolidated financial statements reflect, in the opinion of our management, all normal recurring adjustments necessary to present fairly our financial position at September 30, 2018, and the results of our operations, comprehensive income and cash flows for the periods presented. We restated our December 31, 2017 condensed consolidated balance sheet and the September 30, 2017 condensed consolidated statement of operations and cash flow for the effect of the adoption of Accounting Standards Update (ASU) 2014-09, Revenue from Contracts with Customers Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement As previously announced, effective January 1, 2018, we adopted the requirements of Topic 606 using the full retrospective method as further described in Recently Issued Accounting Pronouncements - Revenue from Contracts with Customers Revenue from Contracts with Customers Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement |
Revenue Recognition | Revenue Recognition The majority of our revenue is generated from long-term contracts associated with manufacturing of wind blades and related services. We account for a long-term contract when it has the approval from both parties, the rights of the parties are identified, payment terms are established, the contract has commercial substance and the collectability of consideration is probable. To determine the proper revenue recognition method for each long-term contract, we evaluate whether the original contract should be accounted for as one or more performance obligations. This evaluation requires judgment and the decisions reached could change the amount of revenue and gross profit recorded in a given period. As most of our contracts contain multiple performance obligations, we allocate the total transaction price to each performance obligation based on the estimated relative standalone selling prices of the promised goods or services underlying each performance obligation. Our manufacturing services are customer specific and involve production of items that cannot be sold to other customers due to the customers’ protected intellectual property; therefore, we allocate the total transaction price under our contracts with multiple performance obligations using the contractually stated prices, as these prices represent the relative standalone selling price based on an expected cost plus margin model. Revenue is primarily recognized over time as we have an enforceable right to payment upon termination and we may not use or sell the product to fulfill other customers’ contracts. In addition, the customer does not have return or refund rights for items produced that conform to the specifications included in the contract. Because control transfers over time, revenue is recognized based on the extent of progress towards the completion of the performance obligation. We use the cost-to-cost input measure of progress for our contracts as this method provides the best representation of the production progress towards satisfaction of the performance obligation as the materials are distinct to the product being manufactured because of customer specifications provided for in the contract, the costs incurred are proportional to the progress towards completion of the product, and the products do not involve significant pre-fabricated component parts. Under the cost-to-cost method, progress and the related revenue recognition is determined by a ratio of direct costs incurred to date in fulfillment of the contract to the total estimated direct costs required to complete the performance obligation. Determining the revenue to be recognized for services performed under our manufacturing contracts involves significant judgments and estimates relating to the total consideration to be received and the expected total costs to complete the performance obligation. The judgments and estimates relating to the total consideration to be received include the amount of variable consideration as our contracts typically provide the customer with a range of production output options from guaranteed minimum volume obligations to the production capacity of the facility, and customers will provide periodic non-cancellable commitments for the number of wind blades to be produced over the term of the agreement. We use historical experience, customer commitments and forecasted future production based on the capacity of the plant to estimate the total revenue to be received to complete the performance obligation. In addition, the amount of revenue per unit produced may vary based on the costs of production of the wind blades as we may be able to change the price per unit based on changes in the cost of production. Further, some of our contracts provide opportunities for us to share in labor and material cost savings as well as absorb some additional costs as an incentive for more efficient production, both of which impact the margin realized on the contract and ultimately the total amount of revenue to be recognized. Additionally, certain of our customer contracts provide for concessions by us for missed production deadlines. We estimate variable consideration at the most likely amount to which we expect to be entitled. We include estimated amounts in the transaction price to the extent it is probable that a significant reversal of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is resolved. Our estimates of variable consideration and determination of whether to include estimated amounts in the transaction price are based largely on an assessment of our anticipated performance and all information available to us at the time of the estimate and may materially change as additional information becomes known. Our contracts may be modified to account for changes in specifications of products and changing requirements. If the contract modifications are for goods or services that are not distinct from the existing contract, they are accounted for as if they were part of the original contract. The effect of a contract modification on the transaction price and the measure of progress for the performance obligation to which it relates is recognized as an adjustment to revenue on a cumulative catch-up basis. If contract modifications are for goods and services that are distinct from the existing contract and increases the amount of consideration reflecting the standalone sale price of the additional goods or services, then the contract modification is accounted for as a separate contract and is evaluated for one or more performance obligations. Each reporting period, we evaluate the progress towards satisfaction of each performance obligation based on any contract modifications that have occurred, cost incurred to date, and an estimate of the expected future revenue and costs to be incurred to complete the performance obligation. Based on this analysis, any changes in estimates of revenue, cost of sales, contract assets and liabilities and the related impact to operating income are recognized on a cumulative catch-up basis, which recognizes in the current period the cumulative effect of the changes on current and prior periods based on the percentage of completion of the performance obligation. Wind blade pricing is based on annual commitments of volume as established in our customer’s contract and orders less than committed volume may result in a higher price per wind blade to our customers. Orders in excess of annual commitments may result in discounts to our customers from the contracted price for the committed volume. Our customers typically provide periodic purchase orders with the price per wind blade given the current cost of the bill of materials, labor requirements and volume desired. We record an allowance for expected utilization of early payment discounts which are reported as a reduction of the related revenue. Precision molding and assembly systems included in a customer’s contract are based upon the specific engineering requirements and design determined by the customer and are specific to the wind blade design and function desired. From the customer’s engineering specifications, a job cost estimate is developed along with a production plan, and the desired margin is applied based on the location the work is to be performed and complexity of the customer’s design. Precision molding and assembly systems are generally built to produce wind blades which may be manufactured by us in production runs specified in the customer contract. Contract assets primarily relate to our rights to consideration for work completed but not billed at the reporting date on manufacturing services contracts. The contract assets are transferred to accounts receivable when the rights become unconditional, which generally occurs when customers are invoiced upon the determination that a product conforms to the contract specifications and invoices are due based on each customers negotiated payment terms, which range from 15 to 65 days. We apply the practical expedient that allows us to exclude payment terms under one year from the transfer of a promised good or service from consideration of a significant financing component in its contracts. With regards to the production of precision molding and assembly systems, our contracts generally call for progress payments to be made in advance of production. Generally, payment is made at certain percentage of completion milestones with the final payment due upon delivery to the manufacturing facility. These progress payments are recorded within contract liabilities as current liabilities in the condensed consolidated balance sheets and are reduced as we record revenue over time. Our customers may request, in situations where they do not have space available to receive products or do not want to take possession of products immediately for other reasons, that their finished products be stored by us in one of our facilities. Most of our contracts provide for a limited number of wind blades to be stored during the period of the contract with any additional wind blades stored subject to additional storage fees, which are included in the wind blade performance obligation revenue. Revenue related to non-recurring engineering and freight services provided under our customer contracts is recognized at a point in time following the transfer of control of the promised services to the customer. Customers usually pay the carrier directly for the cost of shipping associated with items produced. When we pay the shipping costs, we apply the practical expedient that allows us to account for shipping and handling as a fulfillment costs and include the revenue in the associated performance obligation and the costs are included in cost of goods sold. Taxes assessed by a governmental authority that are both imposed on and concurrent with specific revenue-producing transactions, that are collected by us from a customer, are excluded from revenue. |
Warranty Expense | Warranty Expense We provide a limited warranty for our mold and wind blade products, including parts and labor, with terms and conditions that vary depending on the product sold, generally for periods that range from two to five years. Warranty expense is recorded based upon estimates of future repairs using a probability-based methodology that considers previous warranty claims, identified quality issues and industry practices. Once the warranty period has expired, any remaining unused warranty accrual for the specific products is reversed against the current year warranty expense amount. Warranty accrual at September 30 consisted of the following: 2018 (in thousands) Warranty accrual at beginning of year $ 30,419 Accrual during the period 8,200 Cost of warranty services provided during the period (3,153 ) Reversal of reserves upon warranty expiration (2,762 ) Warranty accrual at end of period $ 32,704 |
Treasury Stock | Treasury Stock Common stock purchased for treasury is recorded at historical cost. Transactions in treasury shares relate to share-based compensation plans and are recorded at weighted-average cost. |
Net Income Per Common Share Calculation | Net Income Per Common Share Calculation The basic net income per common share is computed by dividing the net income by the weighted-average number of common shares outstanding during a period. Diluted net income per common share is computed by dividing the net income by the weighted-average number of common shares outstanding plus potentially dilutive securities using the treasury stock method. The table below reflects the calculation of the weighted-average number of common shares outstanding, using the treasury stock method, used in computing basic and diluted earnings per common share: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (in thousands) Basic weighted-average shares outstanding 34,419 33,891 34,212 33,789 Effect of dilutive awards 1,863 1,124 1,734 959 Diluted weighted-average shares outstanding 36,282 35,015 35,946 34,748 Share-based compensation awards of 7,000 shares and 63,000 shares were excluded from the computation of diluted net income per share for the three and nine months ended September 30, 2018, respectively, because their effect would be anti-dilutive. We did not have any potential dilutive securities which were excluded from the computation of diluted net income per share for the three and nine months ended September 30, 2017. |
Financial Instruments | Financial Instruments Interest Rate Swap We use interest rate swap contracts to mitigate our exposure to interest rate fluctuations associated with our new credit agreement (the Credit Agreement) that we entered into in April 2018. We do not use such swap contracts for speculative or trading purposes. To offset the variability of future interest payments on the Credit Agreement arising from changes in the London Interbank Offered Rate (LIBOR), in April 2018, we entered into an interest rate swap agreement with a financial institution for a notional amount of $75.0 million with an expiration date of April 2023. This interest rate swap effectively hedges $75.0 million of the $75.4 million of the then outstanding future variable rate LIBOR interest expense to a fixed rate interest expense. The derivative instrument qualified for accounting as a cash flow hedge in accordance with Financial Accounting Standards Board (FASB) Accounting Standard Codification (ASC) Topic 815, Derivatives and Hedging, The settlement value of the interest rate swap is $0.7 million as of September 30, 2018 and is included in other noncurrent assets in the condensed consolidated balance sheet. The unrealized gain on the swap of $0.6 million, net of tax, is included in the condensed consolidated statement of other comprehensive income (loss). Forward Contract We use forward contracts to mitigate our exposure associated with fluctuations in foreign currency exchange rates. We do not use such forward contracts for speculative or trading purposes. In August 2018, we provided a Turkish Lira denominated intercompany loan to an EMEA subsidiary in the amount of $15.0 million converted at the spot rate on the transaction date to 96.6 million Turkish Lira to fund their working capital requirements. We entered into a forward contract, with the same expiration as that of the intercompany loan’s maturity in October 2018, for a notional amount of 101.5 million Turkish Lira to reduce our exposure to currency fluctuations from the settlement of this Turkish Lira denominated intercompany loan of 96.6 million Turkish Lira and accrued interest of 4.9 million Turkish Lira. The derivative instrument qualifies for accounting as a cash flow hedge in accordance with FASB ASC Topic 815, Derivatives and Hedging, The settlement liability of the forward contract is $1.2 million as of September 30, 2018 and is included in accounts payable and accrued expenses in the condensed consolidated balance sheet. For the three and nine months ended September 30, 2018, a loss of $1.1 million has been included in realized loss on foreign currency remeasurement in the condensed consolidated statements of operations offsetting the remeasurement of the Turkish Lira denominated intercompany loan receivable. An additional $0.1 million unrealized loss on the forward contract, net of tax, is included in the condensed consolidated statement of other comprehensive income (loss). |
Use of Estimates | Use of Estimates The preparation of these condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements Accounting Pronouncements Adopted in 2018 Revenue from Contracts with Customers In May 2014, the FASB issued Topic 606, which provides new recognition and disclosure requirements for revenue from contracts with customers that supersedes the existing revenue recognition guidance. The new recognition requirements focus on when the customer obtains control of the goods or services, rather than the current risks and rewards model of recognition. The core principle of the new standard is that an entity will recognize revenue when it transfers goods or services to its customers in an amount that reflects the consideration an entity expects to be entitled to for those goods or services. The new disclosure requirements included in these financial statements contain information intended to communicate the nature, amount, timing and any uncertainty of revenue and cash flows from the applicable contracts, including any significant judgments and changes in judgments and assets recognized from the costs to obtain or fulfill a contract. We adopted Topic 606 as of January 1, 2018 with retrospective application to January 1, 2016 through December 31, 2017. See Note 2, Revenue from Contracts with Customers Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement, |
Cash Flow Presentation | Cash Flow Presentation In August 2016, the FASB issued ASU 2016-15, Classification of Certain Cash Receipts and Cash Payments Restricted Cash The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the condensed consolidated balance sheets which total the same such amounts in the condensed consolidated statements of cash flows: September 30, December 31, September 30, December 31, 2018 2017 2017 2016 (in thousands) Cash and cash equivalents $ 110,838 $ 148,113 $ 139,065 $ 119,066 Restricted cash 2,845 3,849 3,802 2,259 Restricted cash included within other noncurrent assets 475 475 475 8,538 Total cash, cash equivalents and restricted cash shown in the condensed consolidated statements of cash flows $ 114,158 $ 152,437 $ 143,342 $ 129,863 See Note 13, Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement, |
Income Taxes | Income Taxes In December 2017, the SEC staff issued Staff Accounting Bulletin 118 (SAB 118), which provides relief for companies that have not completed their accounting for the effects of The Tax Cuts and Jobs Act (Tax Reform Act) but can determine a reasonable estimate of those effects to allow them to include a provisional amount based on their reasonable estimate in their financial statements. The guidance in SAB 118 also allows companies to adjust the provisional amounts during a one-year “measurement period” which is similar to the measurement period used when accounting for business combinations. In the accompanying consolidated financial statements, we have not yet completed our accounting for all the tax effects associated with the enactment of the Tax Reform Act. However, we have, in certain cases made a reasonable estimate of the effects on our existing carryforward attributes and the one-time transition tax. See Note 9, Income Taxes, |
Leases | Leases In February 2016, the FASB issued ASU 2016-02, Leases Leases: Targeted Improvements We will adopt this new standard on the effective date using the alternative transition method provided by ASU 2018-11 and we are currently evaluating the potential changes from ASU 2018-11 to our future financial reporting and disclosures and designing and implementing related processes and controls. We expect that the standard will have a material impact on our total assets and liabilities for the addition of right-of-use assets and lease liabilities, but we do not expect it to have a material impact on our results of operations or liquidity. |
Summary of Operations and Sig_3
Summary of Operations and Significant Accounting Policies (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Accounting Policies [Abstract] | |
Summary of Warranty Accrual | Warranty accrual at September 30 consisted of the following: 2018 (in thousands) Warranty accrual at beginning of year $ 30,419 Accrual during the period 8,200 Cost of warranty services provided during the period (3,153 ) Reversal of reserves upon warranty expiration (2,762 ) Warranty accrual at end of period $ 32,704 |
Calculation Of Weighted-Average Number Of Common Shares Outstanding | The table below reflects the calculation of the weighted-average number of common shares outstanding, using the treasury stock method, used in computing basic and diluted earnings per common share: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (in thousands) Basic weighted-average shares outstanding 34,419 33,891 34,212 33,789 Effect of dilutive awards 1,863 1,124 1,734 959 Diluted weighted-average shares outstanding 36,282 35,015 35,946 34,748 |
Reconciliation of Cash, Cash Equivalents and Restricted Cash | The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the condensed consolidated balance sheets which total the same such amounts in the condensed consolidated statements of cash flows: September 30, December 31, September 30, December 31, 2018 2017 2017 2016 (in thousands) Cash and cash equivalents $ 110,838 $ 148,113 $ 139,065 $ 119,066 Restricted cash 2,845 3,849 3,802 2,259 Restricted cash included within other noncurrent assets 475 475 475 8,538 Total cash, cash equivalents and restricted cash shown in the condensed consolidated statements of cash flows $ 114,158 $ 152,437 $ 143,342 $ 129,863 |
Revenue From Contracts with C_2
Revenue From Contracts with Customers (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Revenue From Contract With Customer [Abstract] | |
Summary of Disaggregation of Net Sales Revenue by Contract Type for Each of Reportable Segments | The following tables represents the disaggregation of our net sales revenue by contract type for each of our reportable segments (in thousands): Three Months Ended September 30, 2018 U.S. Asia Mexico EMEA Total Wind blade sales $ 28,082 $ 61,139 $ 78,892 $ 66,795 $ 234,908 Precision molding and assembly systems sales 775 7,608 89 — 8,472 Transportation sales 6,769 — — — 6,769 Other sales 1,063 1,480 584 1,700 4,827 Total net sales $ 36,689 $ 70,227 $ 79,565 $ 68,495 $ 254,976 Nine Months Ended September 30, 2018 U.S. Asia Mexico EMEA Total Wind blade sales $ 100,723 $ 196,490 $ 190,530 $ 187,698 $ 675,441 Precision molding and assembly systems sales 4,997 25,516 1,067 — 31,580 Transportation sales 18,281 — — — 18,281 Other sales 3,507 3,822 2,285 4,651 14,265 Total net sales $ 127,508 $ 225,828 $ 193,882 $ 192,349 $ 739,567 Three Months Ended September 30, 2017 U.S. Asia Mexico EMEA Total Wind blade sales $ 41,293 $ 96,654 $ 59,634 $ 40,479 $ 238,060 Precision molding and assembly systems sales 500 4,161 823 — 5,484 Transportation sales 3,376 — — — 3,376 Other sales 2,556 2,138 237 1,647 6,578 Total net sales $ 47,725 $ 102,953 $ 60,694 $ 42,126 $ 253,498 Nine Months Ended September 30, 2017 U.S. Asia Mexico EMEA Total Wind blade sales $ 125,831 $ 245,633 $ 153,302 $ 134,752 $ 659,518 Precision molding and assembly systems sales 5,444 11,225 1,612 — 18,281 Transportation sales 9,084 — — — 9,084 Other sales 2,948 4,875 3,196 3,793 14,812 Total net sales $ 143,307 $ 261,733 $ 158,110 $ 138,545 $ 701,695 |
Summary of Contract Assets and Contract Liabilities | Contract assets and contract liabilities consisted of the following: September 30, December 31, 2018 2017 $ Change (in thousands) Gross contract assets $ 137,083 $ 112,557 $ 24,526 Less: reclassification from contract liabilities (14,818 ) (6,938 ) (7,880 ) Contract assets $ 122,265 $ 105,619 $ 16,646 September 30, December 31, 2018 2017 $ Change (in thousands) Gross contract liabilities $ 23,153 $ 9,701 $ 13,452 Less: reclassification to contract assets (14,818 ) (6,938 ) (7,880 ) Contract liabilities $ 8,335 $ 2,763 $ 5,572 |
Accounts Receivable (Tables)
Accounts Receivable (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Receivables [Abstract] | |
Summary of Accounts Receivable | Accounts receivable consisted of the following: September 30, December 31, 2018 2017 (in thousands) Trade accounts receivable $ 112,258 $ 117,794 Other accounts receivable 4,808 3,782 Total accounts receivable $ 117,066 $ 121,576 |
Property, Plant, and Equipmen_2
Property, Plant, and Equipment, Net (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Property Plant And Equipment [Abstract] | |
Schedule of Property Plant and Equipment Net | Property, plant and equipment, net consisted of the following: September 30, December 31, 2018 2017 (in thousands) Machinery and equipment $ 113,686 $ 100,681 Buildings 15,001 14,711 Leasehold improvements 33,229 21,853 Office equipment and software 21,542 18,664 Furniture 18,703 19,017 Vehicles 287 294 Construction in progress 19,097 10,687 Total 221,545 185,907 Accumulated depreciation (70,614 ) (62,427 ) Property, plant and equipment, net $ 150,931 $ 123,480 |
Long-Term Debt, Net of Debt I_2
Long-Term Debt, Net of Debt Issuance Costs and Current Maturities (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt, Net of Debt Issuance Costs and Current Maturities | Long-term debt, net of debt issuance costs and current maturities, consisted of the following: September 30, December 31, 2018 2017 (in thousands) Senior term loan—U.S. $ — $ 71,250 Senior revolving loan—U.S. 90,414 2,820 Accounts receivable financing—EMEA 10,185 14,100 Equipment financing—EMEA 13,412 16,901 Equipment capital lease—U.S. 26 536 Equipment capital lease—EMEA 7,404 5,058 Equipment capital lease—Mexico 12,268 12,844 Equipment loan—Mexico 5 47 Total long-term debt 133,714 123,556 Less: Debt issuance costs (930 ) (2,171 ) Total long-term debt, net of debt issuance costs 132,784 121,385 Less: Current maturities of long-term debt (39,201 ) (35,506 ) Long-term debt, net of debt issuance costs and current maturities $ 93,583 $ 85,879 |
Share-Based Compensation Plans
Share-Based Compensation Plans (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Schedule of Share Based Compensation Expense Recognized in Condensed Consolidated Statements of Operations | The share-based compensation expense recognized in the condensed consolidated statements of operations was as follows: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (in thousands) Cost of goods sold $ 313 $ 210 $ 1,268 $ 755 General and administrative expenses 1,659 833 5,703 4,039 Total share-based compensation expense $ 1,972 $ 1,043 $ 6,971 $ 4,794 |
Schedule of Share-based Compensation Arrangements by Share-based Payment Award | The share-based compensation expense recognized by award type was as follows: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (in thousands) RSUs $ 1,112 $ 382 $ 3,595 $ 1,546 Stock options 460 661 2,491 3,248 PSUs 400 - 885 - Total share-based compensation expense $ 1,972 $ 1,043 $ 6,971 $ 4,794 |
Summary of Activity for Incentive Plans | The summary of activity under our incentive plans is as follows: Stock Options RSUs PSUs Shares Available for Grant Shares Weighted- Average Exercise Price Options Exercisable Units Weighted- Average Grant Date Fair Value Units Weighted- Average Grant Date Fair Value Balance as of December 31, 2017 4,731,117 3,203,290 $ 13.34 890,433 613,380 $ 15.02 — $ — Increase in shares authorized 1,360,826 — — — — — — Granted (451,212 ) 9,652 22.67 149,012 23.37 292,548 22.67 Exercised/vested — (186,959 ) 11.83 (298,036 ) 13.03 — — Forfeited/cancelled 115,067 (105,750 ) 13.00 (5,053 ) 23.04 (4,264 ) 22.67 Balance as of September 30, 2018 5,755,798 2,920,233 13.48 1,393,408 459,303 18.93 288,284 22.67 |
Summary of Outstanding and Exercisable Stock Option Awards | The following table summarizes the outstanding and exercisable stock option awards as of September 30, 2018: Options Outstanding Options Exercisable Range of Exercise Prices: Shares Weighted- Average Remaining Contractual Life ( in years Weighted- Average Exercise Price Shares Weighted- Average Exercise Price $8.49 16,397 1.8 $ 8.49 16,397 $ 8.49 $ 10.87 1,756,792 6.7 10.87 884,692 10.87 $11.00 to $16.53 624,251 7.3 16.19 291,229 16.34 $17.68 to $18.70 305,241 7.7 18.67 162,142 18.68 $18.77 to $22.67 217,552 9.0 19.92 38,948 20.14 $8.49 to $22.67 2,920,233 7.1 13.48 1,393,408 13.15 |
Concentration of Customers (Tab
Concentration of Customers (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Risks And Uncertainties [Abstract] | |
Schedule of Revenues from Customers | Revenues from certain customers in excess of 10 percent of our total consolidated revenues are as follows: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 Customer Revenues % of Total Revenues % of Total Revenues % of Total Revenues % of Total (dollars in thousands) GE $ 81,699 32.0 % $ 98,962 39.0 % $ 244,534 33.1 % $ 297,550 42.4 % Vestas 73,584 28.9 72,366 28.6 226,153 30.6 181,215 25.8 Nordex Acciona 46,103 18.1 43,052 17.0 141,663 19.1 126,214 18.0 Siemens Gamesa 33,964 13.3 34,999 13.8 84,782 11.5 86,675 12.4 Other 19,626 7.7 4,119 1.6 42,435 5.7 10,041 1.4 Total $ 254,976 100.0 % $ 253,498 100.0 % $ 739,567 100.0 % $ 701,695 100.0 % |
Schedule of Trade Accounts Receivable from Certain Customers | Trade accounts receivable from certain customers in excess of 10 percent of our total consolidated trade accounts receivable are as follows: September 30, December 31, 2018 2017 Customer % of Total % of Total GE 9.5 % 18.9 % Vestas 41.1 % 52.4 % Nordex Acciona 34.6 % 19.5 % |
Segment Reporting (Tables)
Segment Reporting (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
Segment Reporting [Abstract] | |
Schedule of Segment Information | The following tables set forth certain information regarding each of our segments: Three Months Ended Nine Months Ended September 30, September 30, 2018 2017 2018 2017 (in thousands) Revenues by segment: U.S. $ 36,689 $ 47,725 $ 127,508 $ 143,307 Asia 70,227 102,953 225,828 261,733 Mexico 79,565 60,694 193,882 158,110 EMEA 68,495 42,126 192,349 138,545 Total revenues $ 254,976 $ 253,498 $ 739,567 $ 701,695 Revenues by geographic location (1): U.S. $ 36,689 $ 47,725 $ 127,508 $ 143,307 China 70,227 102,953 225,828 261,733 Mexico 79,565 60,694 193,882 158,110 Turkey 68,495 42,126 192,349 138,545 Total revenues $ 254,976 $ 253,498 $ 739,567 $ 701,695 Income (loss) from operations: U.S. (2) $ (18,687 ) $ (7,474 ) $ (41,030 ) $ (21,148 ) Asia 7,401 22,104 23,204 55,452 Mexico 5,447 4,883 9,932 8,917 EMEA 13,050 1,478 36,262 8,555 Total income from operations $ 7,211 $ 20,991 $ 28,368 $ 51,776 September 30, December 31, 2018 2017 (in thousands) Property, plant and equipment, net: U.S. $ 34,865 $ 24,575 Asia (China) 30,345 28,887 Mexico 63,269 39,756 EMEA (Turkey) 22,452 30,262 Total property, plant and equipment, net $ 150,931 $ 123,480 (1) Revenues are attributable to countries based on the location where the product is manufactured or the services are performed. (2) The losses from operations in our U.S. segment includes corporate general and administrative costs of $9.8 million and $9.3 million for the three months ended September 30, 2018 and 2017, respectively, and $31.9 million and $28.4 million for the nine months ended September 30, 2018 and 2017. |
Adjustments to Previously Rep_2
Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement (Tables) | 9 Months Ended |
Sep. 30, 2018 | |
New Accounting Pronouncements And Changes In Accounting Principles [Abstract] | |
Summary of Effects of Adopting Topic 606 and ASU 2016-18 on Previously Reported Financial Statements | The following tables summarize the effects of adopting Topic 606 and ASU 2016-18 had on our previously reported financial statements. Condensed Consolidated Balance Sheet (In thousands, except par value data) December 31, 2017 As Reported Adoption of Topic 606 As Adjusted (Unaudited) Assets Current assets: Cash and cash equivalents $ 148,113 $ — $ 148,113 Restricted cash 3,849 — 3,849 Accounts receivable 121,576 — 121,576 Contract assets — 105,619 105,619 Inventories 67,064 (62,952 ) 4,112 Inventories held for customer orders 64,858 (64,858 ) — Prepaid expenses and other current assets 27,507 — 27,507 Total current assets 432,967 (22,191 ) 410,776 Property, plant, and equipment, net 123,480 — 123,480 Goodwill 2,807 — 2,807 Intangible assets, net 150 958 1,108 Other noncurrent assets 14,130 4,261 18,391 Total assets $ 573,534 $ (16,972 ) $ 556,562 Liabilities and Stockholders’ Equity Current liabilities: Accounts payable and accrued expenses $ 166,743 $ — $ 166,743 Accrued warranty 29,163 1,256 30,419 Deferred revenue 81,048 (81,048 ) — Customer deposits 10,134 (9,702 ) 432 Current maturities of long-term debt 35,506 — 35,506 Contract liabilities — 2,763 2,763 Total current liabilities 322,594 (86,731 ) 235,863 Long-term debt, net of debt issuance costs and current maturities 85,879 — 85,879 Other noncurrent liabilities 4,444 494 4,938 Total liabilities 412,917 (86,237 ) 326,680 Commitments and contingencies Stockholders’ equity: Common shares, $0.01 par value, 100,000 shares authorized and 34,049 shares issued and 34,021 shares outstanding at December 31, 2017 340 — 340 Paid-in capital 301,543 — 301,543 Accumulated other comprehensive loss (558 ) — (558 ) Accumulated deficit (140,197 ) 69,265 (70,932 ) Treasury stock, at cost, 28 shares at December 31, 2017 (511 ) — (511 ) Total stockholders’ equity 160,617 69,265 229,882 Total liabilities and stockholders’ equity $ 573,534 $ (16,972 ) $ 556,562 The primary effects of the adoption of Topic 606 on our condensed consolidated balance sheet include 1) amounts being recognized as revenue for work performed as production takes place over time as contract assets, which differs from the prior practice of including the balances in inventory; 2) no longer reporting inventory held for customer orders or deferred revenue since revenue is now being recognized over the course of the production process, and before the product is delivered to the customer; 3) that contract liabilities are reported for amounts collected from customers in advance of the production of products, similar to our prior practice of recording customer deposits; and 4) the cumulative amount of the effect to prior periods’ net income related to the adoption of Topic 606 through December 31, 2017 is reflected in retained earnings. Condensed Consolidated Income Statement (In thousands, except per share data) Three Months Ended September 30, 2017 As Reported Adoption of Topic 606 As Adjusted (Unaudited) Net sales $ 243,354 $ 10,144 $ 253,498 Cost of sales 198,141 12,699 210,840 Startup and transition costs 12,352 — 12,352 Total cost of goods sold 210,493 12,699 223,192 Gross profit 32,861 (2,555 ) 30,306 General and administrative expenses 9,315 — 9,315 Income from operations 23,546 (2,555 ) 20,991 Other income (expense): Interest income 48 — 48 Interest expense (3,254 ) — (3,254 ) Realized gain on foreign currency remeasurement 39 — 39 Miscellaneous income 390 — 390 Total other expense (2,777 ) — (2,777 ) Income before income taxes 20,769 (2,555 ) 18,214 Income tax benefit (provision) (371 ) 3,894 3,523 Net income $ 20,398 $ 1,339 $ 21,737 Weighted-average common shares outstanding: Basic 33,891 33,891 33,891 Diluted 35,015 35,015 35,015 Net income per common share: Basic $ 0.60 $ 0.04 $ 0.64 Diluted $ 0.58 $ 0.04 $ 0.62 The primary effects of the adoption of Topic 606 on our condensed consolidated income statement relate to amounts being recognized as revenue for work performed as production takes place over time, which differs from the prior practice of recognizing revenue when the product was delivered to the customer. Condensed Consolidated Income Statement (In thousands, except per share data) Nine Months Ended September 30, 2017 As Reported Adoption of Topic 606 As Adjusted (Unaudited) Net sales $ 683,142 $ 18,553 $ 701,695 Cost of sales 568,659 23,836 592,495 Startup and transition costs 29,051 — 29,051 Total cost of goods sold 597,710 23,836 621,546 Gross profit 85,432 (5,283 ) 80,149 General and administrative expenses 28,373 — 28,373 Income from operations 57,059 (5,283 ) 51,776 Other income (expense): Interest income 78 — 78 Interest expense (9,215 ) — (9,215 ) Realized loss on foreign currency remeasurement (2,575 ) — (2,575 ) Miscellaneous income 968 — 968 Total other expense (10,744 ) — (10,744 ) Income before income taxes 46,315 (5,283 ) 41,032 Income tax provision (8,514 ) 4,009 (4,505 ) Net income $ 37,801 $ (1,274 ) $ 36,527 Weighted-average common shares outstanding: Basic 33,789 33,789 33,789 Diluted 34,748 34,748 34,748 Net income per common share: Basic $ 1.12 $ (0.04 ) $ 1.08 Diluted $ 1.09 $ (0.04 ) $ 1.05 The primary effects of the adoption of Topic 606 on our condensed consolidated income statement relate to amounts being recognized as revenue for work performed as production takes place over time, which differs from the prior practice of recognizing revenue when the product was delivered to the customer. Condensed Consolidated Statement of Comprehensive Income (In thousands) Three Months Ended September 30, 2017 As Reported Adoption of Topic 606 As Adjusted (Unaudited) Net income $ 20,398 $ 1,339 $ 21,737 Other comprehensive income: Foreign currency translation adjustments 1,231 — 1,231 Comprehensive income $ 21,629 $ 1,339 $ 22,968 Nine Months Ended September 30, 2017 As Reported Adoption of Topic 606 As Adjusted (Unaudited) Net income $ 37,801 $ (1,274 ) $ 36,527 Other comprehensive income: Foreign currency translation adjustments 2,808 — 2,808 Comprehensive income $ 40,609 $ (1,274 ) $ 39,335 Condensed Consolidated Statements of Changes in Stockholders’ Equity (In thousands) Common Paid-in Accumulated other comprehensive Accumulated Treasury stock, Total stockholders' Shares Amount capital loss deficit at cost equity (Unaudited) Balance at December 31, 2017 - as reported 34,049 $ 340 $ 301,543 $ (558 ) $ (140,197 ) $ (511 ) $ 160,617 Cumulative effect of the adoption of Topic 606 — — — — 69,265 — 69,265 Balance at December 31, 2017 - as adjusted 34,049 $ 340 $ 301,543 $ (558 ) $ (70,932 ) $ (511 ) $ 229,882 The adoption of Topic 606 increased our total stockholders’ equity in 2015 and 2016 by $61.2 million and $12.3 million, respectively and decreased our total stockholders’ equity in 2017 by $4.2 million. Condensed Consolidated Statements of Cash Flows (In thousands) Nine Months Ended September 30, 2017 As Reported Adoption of Topic 606 Adoption of ASU 2016-18 As Adjusted (Unaudited) Cash flows from operating activities: Net income $ 37,801 $ (1,274 ) $ — $ 36,527 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 13,622 521 — 14,143 Share-based compensation expense 4,794 — — 4,794 Amortization of debt issuance costs 430 — — 430 Deferred income taxes — (2,613 ) — (2,613 ) Changes in assets and liabilities: Accounts receivable (66,438 ) — — (66,438 ) Contract assets and liabilities — 7,604 — 7,604 Inventories (24,979 ) 24,644 — (335 ) Prepaid expenses and other current assets 881 — — 881 Other noncurrent assets 3,067 (2,619 ) (8,063 ) (7,615 ) Accounts payable and accrued expenses 47,498 585 — 48,083 Accrued warranty 8,238 (103 ) — 8,135 Customer deposits 9,019 (9,019 ) — — Deferred revenue 17,726 (17,726 ) — — Other noncurrent liabilities (136 ) — — (136 ) Net cash provided by operating activities 51,523 — (8,063 ) 43,460 Cash flows from investing activities: Purchase of property and equipment (35,312 ) — — (35,312 ) Net cash used in investing activities (35,312 ) — — (35,312 ) Cash flows from financing activities: Repayments of term loan (2,812 ) — — (2,812 ) Net proceeds from accounts receivable financing 8,196 — — 8,196 Proceeds from working capital loans 6,620 — — 6,620 Repayments of working capital loans (11,258 ) — — (11,258 ) Net proceeds from other debt 4,556 — — 4,556 Proceeds from exercise of stock options 988 — — 988 Repurchase of common stock including shares withheld in lieu of income taxes (1,264 ) — — (1,264 ) Restricted cash (1,543 ) — 1,543 — Net cash provided by financing activities 3,483 — 1,543 5,026 Impact of foreign exchange rates on cash and cash equivalents 305 — — 305 Net change in cash and cash equivalents 19,999 — (6,520 ) 13,479 Cash, cash equivalents and restricted cash, beginning of year 119,066 — 10,797 129,863 Cash, cash equivalents and restricted cash, end of period $ 139,065 $ — $ 4,277 $ 143,342 |
Summary of Operations and Sig_4
Summary of Operations and Significant Accounting Policies - Public Offerings and Stock Split - Additional Information (Detail) | 1 Months Ended | |
May 31, 2017USD ($)$ / sharesshares | Jul. 31, 2016USD ($)$ / sharesshares | |
Initial Public Offering [Member] | ||
Operations And Summary Of Significant Accounting Policies [Line Items] | ||
Public offering shares | 7,187,500 | |
Share price | $ / shares | $ 11 | |
Net proceeds from Initial public offering | $ | $ 67,200,000 | |
Initial Public Offering [Member] | Subordinated Convertible Promissory Notes [Member] | ||
Operations And Summary Of Significant Accounting Policies [Line Items] | ||
Share price | $ / shares | $ 11 | |
Debt instrument convertible number of equity shares | 1,079,749 | |
Initial Public Offering [Member] | Common Stock Warrants [Member] | ||
Operations And Summary Of Significant Accounting Policies [Line Items] | ||
Number of common stock issue on conversion of preferred share | 120,923 | |
Initial Public Offering [Member] | Redeemable Preferred Shares [Member] | ||
Operations And Summary Of Significant Accounting Policies [Line Items] | ||
Number of common stock issue on conversion of preferred share | 21,110,204 | |
Initial Public Offering [Member] | Investors, Non-employee Director and Executive Officers [Member] | ||
Operations And Summary Of Significant Accounting Policies [Line Items] | ||
Public offering shares | 1,250,000 | |
Underwriters Over-allotment Option [Member] | ||
Operations And Summary Of Significant Accounting Policies [Line Items] | ||
Public offering shares | 937,500 | |
Underwriters Over-allotment Option [Member] | Existing Shareholders and Executive Officers [Member] | ||
Operations And Summary Of Significant Accounting Policies [Line Items] | ||
Public offering shares | 575,000 | |
Initial Public Offering and Stock Split [Member] | ||
Operations And Summary Of Significant Accounting Policies [Line Items] | ||
Conversion of convertible promissory notes | $ | $ 11,900,000 | |
Prior to IPO [Member] | ||
Operations And Summary Of Significant Accounting Policies [Line Items] | ||
Common stock forward stock split ratio | 360 | |
Secondary Public Offering [Member] | ||
Operations And Summary Of Significant Accounting Policies [Line Items] | ||
Public offering shares | 0 | |
Net proceeds from secondary public offering to selling shareholders | $ | $ 78,800,000 | |
Proceeds from secondary public offering | $ | 0 | |
Secondary Public Offering [Member] | General and Administrative Costs [Member] | ||
Operations And Summary Of Significant Accounting Policies [Line Items] | ||
Offering costs paid | $ | $ 800,000 | |
Secondary Public Offering [Member] | Existing Shareholders and Executive Officers [Member] | ||
Operations And Summary Of Significant Accounting Policies [Line Items] | ||
Public offering shares | 5,075,000 | |
Share price | $ / shares | $ 16.35 |
Summary of Operations and Sig_5
Summary of Operations and Significant Accounting Policies - Basis of Presentation - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2018SegmentFacility | |
Operations And Summary Of Significant Accounting Policies [Line Items] | |
Number of operating segments | Segment | 4 |
Mexico [Member] | |
Operations And Summary Of Significant Accounting Policies [Line Items] | |
Number of manufacturing facilities | 3 |
EMEA [Member] | |
Operations And Summary Of Significant Accounting Policies [Line Items] | |
Number of manufacturing facilities | 2 |
Asia Segment [Member] | Dafeng [Member] | |
Operations And Summary Of Significant Accounting Policies [Line Items] | |
Number of manufacturing facilities | 2 |
Summary of Operations and Sig_6
Summary of Operations and Significant Accounting Policies - Warranty Expense - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2018 | |
Minimum [Member] | |
Operations And Summary Of Significant Accounting Policies [Line Items] | |
Limited warranty period | 2 years |
Maximum [Member] | |
Operations And Summary Of Significant Accounting Policies [Line Items] | |
Limited warranty period | 5 years |
Summary of Operations and Sig_7
Summary of Operations and Significant Accounting Policies - Summary of Warranty Accrual (Detail) $ in Thousands | 9 Months Ended |
Sep. 30, 2018USD ($) | |
Product Warranties Disclosures [Abstract] | |
Warranty accrual at beginning of year | $ 30,419 |
Accrual during the period | 8,200 |
Cost of warranty services provided during the period | (3,153) |
Reversal of reserves upon warranty expiration | (2,762) |
Warranty accrual at end of period | $ 32,704 |
Summary of Operations and Sig_8
Summary of Operations and Significant Accounting Policies - Calculation Of Weighted-Average Number Of Common Shares Outstanding (Detail) - shares shares in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Earnings Per Share [Abstract] | ||||
Basic weighted-average shares outstanding | 34,419 | 33,891 | 34,212 | 33,789 |
Effect of dilutive awards | 1,863 | 1,124 | 1,734 | 959 |
Diluted weighted-average shares outstanding | 36,282 | 35,015 | 35,946 | 34,748 |
Summary of Operations and Sig_9
Summary of Operations and Significant Accounting Policies - Net Income Per Common Share Calculation - Additional Information (Detail) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Operations And Summary Of Significant Accounting Policies [Line Items] | ||||
Anti-dilutive shares excluded from computation of diluted net income per share | 0 | 0 | ||
Share-Based Compensation Awards [Member] | ||||
Operations And Summary Of Significant Accounting Policies [Line Items] | ||||
Anti-dilutive shares excluded from computation of diluted net income per share | 7,000 | 63,000 |
Summary of Operations and Si_10
Summary of Operations and Significant Accounting Policies - Financial Instruments - Additional Information (Detail) $ in Thousands, ₺ in Millions | 1 Months Ended | 3 Months Ended | 9 Months Ended | ||||
Aug. 31, 2018USD ($) | Aug. 31, 2018TRY (₺) | Apr. 30, 2018USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2017USD ($) | Sep. 30, 2018USD ($) | Sep. 30, 2017USD ($) | |
Operations And Summary Of Significant Accounting Policies [Line Items] | |||||||
Unrealized gain (loss), net of tax | $ 297 | $ 489 | |||||
Intercompany loan to subsidiary | $ 15,000 | ₺ 96.6 | |||||
Realized loss on foreign currency remeasurement | (15,621) | $ 1,231 | (21,908) | $ 2,808 | |||
Forward Contracts [Member] | |||||||
Operations And Summary Of Significant Accounting Policies [Line Items] | |||||||
Derivative notional amount | ₺ | ₺ 101.5 | ||||||
Derivative maturity month and year | 2018-10 | 2018-10 | |||||
Unrealized gain (loss), net of tax | (100) | (100) | |||||
Settlement of intercompany loan to reduce currency fluctuation | ₺ | ₺ 96.6 | ||||||
Settlement of accrued interest to reduce currency fluctuation | ₺ | ₺ 4.9 | ||||||
Settlement value of swap | 1,200 | 1,200 | |||||
Realized loss on foreign currency remeasurement | (1,100) | (1,100) | |||||
LIBOR [Member] | |||||||
Operations And Summary Of Significant Accounting Policies [Line Items] | |||||||
Derivative future variable rate interest expense | $ 75,400 | ||||||
Interest Rate Swap Arrangement [Member] | |||||||
Operations And Summary Of Significant Accounting Policies [Line Items] | |||||||
Derivative notional amount | $ 75,000 | ||||||
Derivative maturity month and year | 2023-04 | ||||||
Derivative, effective hedges amount | $ 75,000 | ||||||
Settlement value of swap | $ 700 | 700 | |||||
Unrealized gain (loss), net of tax | $ 600 |
Summary of Operations and Si_11
Summary of Operations and Significant Accounting Policies - Reconciliation of Cash, Cash Equivalents and Restricted Cash (Detail) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Dec. 31, 2016 |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||||
Cash and cash equivalents | $ 110,838 | $ 148,113 | ||
Restricted cash | 2,845 | 3,849 | ||
ASU 2016-15 [Member] | ||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||||
Cash and cash equivalents | 110,838 | 148,113 | $ 139,065 | $ 119,066 |
Restricted cash | 2,845 | 3,849 | 3,802 | 2,259 |
Restricted cash included within other noncurrent assets | 475 | 475 | 475 | 8,538 |
Total cash, cash equivalents and restricted cash shown in the condensed consolidated statements of cash flows | $ 114,158 | $ 152,437 | $ 143,342 | $ 129,863 |
Revenue From Contracts with C_3
Revenue From Contracts with Customers - Summary of Disaggregation of Net Sales Revenue by Contract Type for Each of Reportable Segments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | $ 254,976 | $ 253,498 | $ 739,567 | $ 701,695 |
Wind Blades [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 234,908 | 238,060 | 675,441 | 659,518 |
Precision Molding and Assembly Systems [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 8,472 | 5,484 | 31,580 | 18,281 |
Transportation [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 6,769 | 3,376 | 18,281 | 9,084 |
Other [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 4,827 | 6,578 | 14,265 | 14,812 |
U.S. Segment [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 36,689 | 47,725 | 127,508 | 143,307 |
U.S. Segment [Member] | Wind Blades [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 28,082 | 41,293 | 100,723 | 125,831 |
U.S. Segment [Member] | Precision Molding and Assembly Systems [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 775 | 500 | 4,997 | 5,444 |
U.S. Segment [Member] | Transportation [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 6,769 | 3,376 | 18,281 | 9,084 |
U.S. Segment [Member] | Other [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 1,063 | 2,556 | 3,507 | 2,948 |
Asia Segment [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 70,227 | 102,953 | 225,828 | 261,733 |
Asia Segment [Member] | Wind Blades [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 61,139 | 96,654 | 196,490 | 245,633 |
Asia Segment [Member] | Precision Molding and Assembly Systems [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 7,608 | 4,161 | 25,516 | 11,225 |
Asia Segment [Member] | Other [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 1,480 | 2,138 | 3,822 | 4,875 |
Mexico Segment [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 79,565 | 60,694 | 193,882 | 158,110 |
Mexico Segment [Member] | Wind Blades [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 78,892 | 59,634 | 190,530 | 153,302 |
Mexico Segment [Member] | Precision Molding and Assembly Systems [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 89 | 823 | 1,067 | 1,612 |
Mexico Segment [Member] | Other [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 584 | 237 | 2,285 | 3,196 |
EMEA Segment [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 68,495 | 42,126 | 192,349 | 138,545 |
EMEA Segment [Member] | Wind Blades [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | 66,795 | 40,479 | 187,698 | 134,752 |
EMEA Segment [Member] | Other [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Net sales revenue | $ 1,700 | $ 1,647 | $ 4,651 | $ 3,793 |
Revenue From Contracts with C_4
Revenue From Contracts with Customers - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2018 | Dec. 31, 2017 | |
Revenue from Contracts with Customers | |||
Increase in contracts assets | $ 16,646 | ||
Increase in contracts liabilities | 5,572 | ||
Contract liability revenue recognized | $ 0 | 2,800 | |
Net revenue recognized from performance obligations satisfied in previous periods, decrease amount | 3,900 | 7,900 | |
Transaction price allocated to remaining performance obligations | 5,600,000 | $ 5,600,000 | |
Estimate to recognize remaining performance obligations as revenue, percent in remainder of 2018 | 5.00% | ||
Estimate to recognize remaining performance obligations as revenue, percent in 2019 | 27.00% | ||
Estimate to recognize remaining performance obligations as revenue, percent in 2020 | 27.00% | ||
Estimate to recognize remaining performance obligations as revenue, percent in 2021 | 17.00% | ||
Estimate to recognize remaining performance obligations as revenue, percent in 2022 | 14.00% | ||
Estimate to recognize remaining performance obligations as revenue, percent in 2023 | 10.00% | ||
Revenue, practical expedient, incremental cost of obtaining contract | true | ||
Other Noncurrent Assets [Member] | |||
Revenue from Contracts with Customers | |||
Capitalized contract cost | 4,800 | $ 4,800 | $ 2,400 |
Capitalized contract cost, accumulated amortization | $ 1,700 | $ 1,700 | $ 1,400 |
Minimum [Member] | |||
Revenue from Contracts with Customers | |||
Production hours of single blade | 24 hours | ||
Production time of mold | 3 months | ||
Maximum [Member] | |||
Revenue from Contracts with Customers | |||
Production hours of single blade | 36 hours | ||
Production time of mold | 6 months | ||
Long-term Contract with Customer [Member] | Net Sales, Directly to Consumer [Member] | |||
Revenue from Contracts with Customers | |||
Contracts with customer, length | 5 years |
Revenue From Contracts with C_5
Revenue From Contracts with Customers - Summary of Contract Assets (Detail) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Dec. 31, 2017 | |
Revenue From Contract With Customer [Abstract] | ||
Gross contract assets | $ 137,083 | $ 112,557 |
Less: reclassification from contract liabilities | (14,818) | (6,938) |
Contract assets | 122,265 | $ 105,619 |
Gross contract assets, Change | 24,526 | |
Less: reclassification from contract liabilities, Change | (7,880) | |
Contract assets, Change | $ 16,646 |
Revenue From Contracts with C_6
Revenue From Contracts with Customers - Summary of Contract Liabilities (Detail) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Dec. 31, 2017 | |
Revenue From Contract With Customer [Abstract] | ||
Gross contract liabilities | $ 23,153 | $ 9,701 |
Less: reclassification to contract assets | (14,818) | (6,938) |
Contract liabilities | 8,335 | $ 2,763 |
Gross contract liabilities, Change | 13,452 | |
Less: reclassification to contract assets, Change | (7,880) | |
Contract liabilities, Change | $ 5,572 |
Significant Risks and Uncerta_2
Significant Risks and Uncertainties - Additional Information (Detail) - USD ($) | Sep. 30, 2018 | Dec. 31, 2017 |
Concentration Risk [Line Items] | ||
Cash in short-term deposits in interest bearing accounts | $ 2,845,000 | $ 3,849,000 |
U.S. [Member] | ||
Concentration Risk [Line Items] | ||
Cash in deposit accounts | 70,600,000 | 98,900,000 |
China [Member] | ||
Concentration Risk [Line Items] | ||
Cash in deposit accounts | 29,600,000 | |
Cash in short-term deposits in interest bearing accounts | 2,800,000 | |
Turkey [Member] | ||
Concentration Risk [Line Items] | ||
Cash in deposit accounts | 8,600,000 | |
Mexico [Member] | ||
Concentration Risk [Line Items] | ||
Cash in deposit accounts | 2,000,000 | |
Iowa [Member] | ||
Concentration Risk [Line Items] | ||
Cash in long term deposits in interest bearing accounts | 500,000 | |
Maximum [Member] | ||
Concentration Risk [Line Items] | ||
Cash deposit insured amount | $ 250,000 | $ 250,000 |
Related-Party Transactions - Ad
Related-Party Transactions - Additional Information (Detail) $ / shares in Units, $ in Millions | 1 Months Ended | 6 Months Ended | 9 Months Ended | ||
May 31, 2017$ / sharesshares | Jul. 31, 2016$ / sharesshares | Jun. 30, 2017USD ($) | Sep. 30, 2018Agreement | Dec. 31, 2017Agreement | |
Initial Public Offering [Member] | |||||
Related Party Transaction [Line Items] | |||||
Public offering shares | 7,187,500 | ||||
Share price | $ / shares | $ 11 | ||||
Secondary Public Offering [Member] | |||||
Related Party Transaction [Line Items] | |||||
Public offering shares | 0 | ||||
Investor, Executive Officers and Director [Member] | Initial Public Offering [Member] | |||||
Related Party Transaction [Line Items] | |||||
Public offering shares | 1,250,000 | ||||
Subordinated Convertible Promissory Notes [Member] | Initial Public Offering [Member] | |||||
Related Party Transaction [Line Items] | |||||
Debt instrument convertible number of equity shares | 1,079,749 | ||||
Share price | $ / shares | $ 11 | ||||
GE [Member] | |||||
Related Party Transaction [Line Items] | |||||
Number of supply agreements | Agreement | 5 | ||||
Proceeds from sales | $ | $ 198.6 | ||||
GE [Member] | Agreements in Taicang Port and Izmir [Member] | |||||
Related Party Transaction [Line Items] | |||||
Agreement expiration date | Dec. 31, 2017 | ||||
Number of agreements not extended | Agreement | 2 | ||||
GE [Member] | Maximum [Member] | |||||
Related Party Transaction [Line Items] | |||||
Percentage of common stock outstanding | 5.00% | ||||
Certain Entities Associated with Element Partners, Angeleno Group Landmark Partners and NGP Energy Technology Partners, L.P and Certain Executive Officers [Member] | Secondary Public Offering [Member] | |||||
Related Party Transaction [Line Items] | |||||
Public offering shares | 5,075,000 | ||||
Share price | $ / shares | $ 16.35 |
Accounts Receivable - Summary o
Accounts Receivable - Summary of Accounts Receivable (Detail) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total accounts receivable | $ 117,066 | $ 121,576 |
Trade Accounts Receivable [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total accounts receivable | 112,258 | 117,794 |
Other Accounts Receivable [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total accounts receivable | $ 4,808 | $ 3,782 |
Property, Plant, and Equipmen_3
Property, Plant, and Equipment, Net - Schedule of Property Plant and Equipment Net (Detail) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 221,545 | $ 185,907 |
Accumulated depreciation | (70,614) | (62,427) |
Property, plant and equipment, net | 150,931 | 123,480 |
Machinery and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 113,686 | 100,681 |
Buildings [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 15,001 | 14,711 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 33,229 | 21,853 |
Office Equipment and Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 21,542 | 18,664 |
Furniture [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 18,703 | 19,017 |
Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 287 | 294 |
Construction in Progress [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 19,097 | $ 10,687 |
Property, Plant, and Equipmen_4
Property, Plant, and Equipment, Net - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Property Plant And Equipment [Abstract] | ||||
Total depreciation expense | $ 5.8 | $ 5.1 | $ 18.6 | $ 13.5 |
Long-Term Debt, Net of Debt I_3
Long-Term Debt, Net of Debt Issuance Costs and Current Maturities - Schedule of Long-Term Debt, Net of Debt Issuance Costs and Current Maturities (Detail) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Total long-term debt | ||
Total long-term debt | $ 133,714 | $ 123,556 |
Less: Debt issuance costs | (930) | (2,171) |
Total long-term debt, net of debt issuance costs | 132,784 | 121,385 |
Less: Current maturities of long-term debt | (39,201) | (35,506) |
Long-term debt, net of debt issuance costs and current maturities | 93,583 | 85,879 |
Senior Term Loan [Member] | U.S. [Member] | ||
Total long-term debt | ||
Total long-term debt | 71,250 | |
Senior Revolving Loan [Member] | U.S. [Member] | ||
Total long-term debt | ||
Total long-term debt | 90,414 | 2,820 |
Accounts Receivable Financing [Member] | EMEA [Member] | ||
Total long-term debt | ||
Total long-term debt | 10,185 | 14,100 |
Equipment Financing [Member] | EMEA [Member] | ||
Total long-term debt | ||
Total long-term debt | 13,412 | 16,901 |
Equipment Capital Lease [Member] | U.S. [Member] | ||
Total long-term debt | ||
Total long-term debt | 26 | 536 |
Equipment Capital Lease [Member] | EMEA [Member] | ||
Total long-term debt | ||
Total long-term debt | 7,404 | 5,058 |
Equipment Capital Lease [Member] | Mexico [Member] | ||
Total long-term debt | ||
Total long-term debt | 12,268 | 12,844 |
Equipment Loan [Member] | Mexico [Member] | ||
Total long-term debt | ||
Total long-term debt | $ 5 | $ 47 |
Long-Term Debt, Net of Debt I_4
Long-Term Debt, Net of Debt Issuance Costs and Current Maturities - Additional Information (Detail) | 1 Months Ended | 9 Months Ended | |
Aug. 31, 2018USD ($) | Apr. 30, 2018USD ($)Lender | Sep. 30, 2018 | |
Debt Instrument [Line Items] | |||
Number of lenders | Lender | 4 | ||
Debt instrument, maturity month and year | 2023-04 | ||
Debt instrument frequency of periodic payment | monthly | ||
Debt instrument, payment terms | Interest is paid monthly and we are not obligated to make any principal repayments prior to the maturity date so long as we are not in default under the Credit Agreement. We may prepay borrowings without penalty under the Credit Agreement. | ||
Credit Agreement [Member] | |||
Debt Instrument [Line Items] | |||
Additional borrowed amount | $ 15,000,000 | ||
Interest Rate Swap Arrangement [Member] | |||
Debt Instrument [Line Items] | |||
Derivative notional amount | $ 75,000,000 | ||
Derivative effective rate | 4.20% | ||
Derivative term | 5 years | ||
LIBOR [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, variable interest rate | 1.50% | 3.70% | |
Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Credit facility, amount | $ 150,000,000 | ||
Proceeds from Lines of Credit | 75,400,000 | ||
Letter of Credit [Member] | |||
Debt Instrument [Line Items] | |||
Credit facility, amount | $ 25,000,000 |
Share-Based Compensation Plan_2
Share-Based Compensation Plans - Additional Information (Detail) $ in Millions | 9 Months Ended |
Sep. 30, 2018USD ($)shares | |
Timed-Based Restricted Stock Units [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Share-based compensation plans, shares issued | 149,012 |
Performance-Based Restricted Stock Units [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Share-based compensation plans, shares issued | 121,836 |
Performance-Based Restricted Stock Units [Member] | Certain Stock Price Hurdles [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Share-based compensation plans, shares issued | 170,712 |
Restricted Stock Units (RSUs) [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Share-based compensation plans, shares issued | 149,012 |
Unamortized amount of share-based compensation expense | $ | $ 4.8 |
Unrecognized cost expects to recognize, weighted-average period | 1 year 8 months 12 days |
Fair value of awards vested during period | $ | $ 3.9 |
Shares repurchased for awards | 100,891 |
Shares repurchased for tax withholding requirements, value | $ | $ 2.9 |
Performance-based Restricted Stock Units (PSUs) [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Share-based compensation plans, shares issued | 292,548 |
Unamortized amount of share-based compensation expense | $ | $ 3.9 |
Unrecognized cost expects to recognize, weighted-average period | 2 years 6 months |
Stock Options [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Unrecognized cost expects to recognize, weighted-average period | 1 year 6 months |
Total unrecognized cost related to non-vested stock option awards | $ | $ 2.3 |
Share-Based Compensation Plan_3
Share-Based Compensation Plans - Schedule of Share Based Compensation Expense Recognized in Condensed Consolidated Statements of Operations (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total share-based compensation expense | $ 1,972 | $ 1,043 | $ 6,971 | $ 4,794 |
Cost of Goods Sold [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total share-based compensation expense | 313 | 210 | 1,268 | 755 |
General and Administrative Costs [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total share-based compensation expense | $ 1,659 | $ 833 | $ 5,703 | $ 4,039 |
Share-Based Compensation Plan_4
Share-Based Compensation Plans - Schedule of Share-based Compensation Arrangements by Share-based Payment Award (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total share-based compensation expense | $ 1,972 | $ 1,043 | $ 6,971 | $ 4,794 |
Restricted Stock Units (RSUs) [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total share-based compensation expense | 1,112 | 382 | 3,595 | 1,546 |
Stock Options [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total share-based compensation expense | 460 | $ 661 | 2,491 | $ 3,248 |
Performance-based Restricted Stock Units (PSUs) [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Total share-based compensation expense | $ 400 | $ 885 |
Share-Based Compensation Plan_5
Share-Based Compensation Plans - Summary of Activity for Incentive Plans (Detail) | 9 Months Ended |
Sep. 30, 2018$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Stock Options, Shares Available for Grant, Beginning balance | 4,731,117 |
Stock Options, Shares Available for Grant, Increase in shares authorized | 1,360,826 |
Stock Options, Shares Available for Grant, Granted | (451,212) |
Stock Options, Shares Available for Grant, Exercised/vested | 0 |
Stock Options, Shares Available for Grant, Forfeited/cancelled | 115,067 |
Stock Options, Shares Available for Grant, Ending balance | 5,755,798 |
Stock Options, Shares, Beginning balance | 3,203,290 |
Stock Options, Shares, Increase in shares authorized | 0 |
Stock Options, Shares, Granted | 9,652 |
Stock Options, Shares, Exercised/vested | (186,959) |
Stock Options, Shares, Forfeited/cancelled | (105,750) |
Stock Options, Shares, Ending balance | 2,920,233 |
Stock Options, Weighted-Average Exercise Price, Beginning balance | $ / shares | $ 13.34 |
Stock Options, Weighted-Average Exercise Price, Increase in shares authorized | $ / shares | 0 |
Stock Options, Weighted-Average Exercise Price, Granted | $ / shares | 22.67 |
Stock Options, Weighted-Average Exercise Price, Exercised/vested | $ / shares | 11.83 |
Stock Options, Weighted-Average Exercise Price, Forfeited/cancelled | $ / shares | 13 |
Stock Options, Weighted-Average Exercise Price, Ending balance | $ / shares | $ 13.48 |
Stock Options, Options Exercisable, Beginning balance | 890,433 |
Stock Options, Options Exercisable, Ending balance | 1,393,408 |
Restricted Stock Units (RSUs) [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Units, Beginning balance | 613,380 |
Units, Increase in shares authorized | 0 |
Units, Granted | 149,012 |
Units, Exercised/vested | (298,036) |
Units, Forfeited/cancelled | (5,053) |
Units, Ending balance | 459,303 |
Weighted-Average Grant Date Fair Value, Beginning balance | $ / shares | $ 15.02 |
Weighted-Average Grant Date Fair Value, Increase in shares authorized | $ / shares | 0 |
Weighted-Average Grant Date Fair Value, Granted | $ / shares | 23.37 |
Weighted-Average Grant Date Fair Value, Exercised/vested | $ / shares | 13.03 |
Weighted-Average Grant Date Fair Value, Forfeited/cancelled | $ / shares | 23.04 |
Weighted-Average Grant Date Fair Value, Ending balance | $ / shares | $ 18.93 |
Performance-based Restricted Stock Units (PSUs) [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Units, Beginning balance | 0 |
Units, Increase in shares authorized | 0 |
Units, Granted | 292,548 |
Units, Exercised/vested | 0 |
Units, Forfeited/cancelled | (4,264) |
Units, Ending balance | 288,284 |
Weighted-Average Grant Date Fair Value, Beginning balance | $ / shares | $ 0 |
Weighted-Average Grant Date Fair Value, Increase in shares authorized | $ / shares | 0 |
Weighted-Average Grant Date Fair Value, Granted | $ / shares | 22.67 |
Weighted-Average Grant Date Fair Value, Exercised/vested | $ / shares | 0 |
Weighted-Average Grant Date Fair Value, Forfeited/cancelled | $ / shares | 22.67 |
Weighted-Average Grant Date Fair Value, Ending balance | $ / shares | $ 22.67 |
Share-Based Compensation Plan_6
Share-Based Compensation Plans - Summary of Outstanding and Exercisable Stock Option Awards (Detail) | 9 Months Ended |
Sep. 30, 2018$ / sharesshares | |
Range One [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of Exercise Prices, Minimum | $ 8.49 |
Options Outstanding, Shares | shares | 16,397 |
Options Outstanding, Weighted-Average Remaining Contractual Life (in years) | 1 year 9 months 18 days |
Options Outstanding, Weighted-Average Exercise Price | $ 8.49 |
Options Exercisable, Shares | shares | 16,397 |
Options Exercisable, Weighted-Average Exercise Price | $ 8.49 |
Range Two [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of Exercise Prices, Minimum | $ 10.87 |
Options Outstanding, Shares | shares | 1,756,792 |
Options Outstanding, Weighted-Average Remaining Contractual Life (in years) | 6 years 8 months 12 days |
Options Outstanding, Weighted-Average Exercise Price | $ 10.87 |
Options Exercisable, Shares | shares | 884,692 |
Options Exercisable, Weighted-Average Exercise Price | $ 10.87 |
Range Three [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of Exercise Prices, Minimum | 11 |
Range of Exercise Prices, Maximum | $ 16.53 |
Options Outstanding, Shares | shares | 624,251 |
Options Outstanding, Weighted-Average Remaining Contractual Life (in years) | 7 years 3 months 18 days |
Options Outstanding, Weighted-Average Exercise Price | $ 16.19 |
Options Exercisable, Shares | shares | 291,229 |
Options Exercisable, Weighted-Average Exercise Price | $ 16.34 |
Range Four [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of Exercise Prices, Minimum | 17.68 |
Range of Exercise Prices, Maximum | $ 18.70 |
Options Outstanding, Shares | shares | 305,241 |
Options Outstanding, Weighted-Average Remaining Contractual Life (in years) | 7 years 8 months 12 days |
Options Outstanding, Weighted-Average Exercise Price | $ 18.67 |
Options Exercisable, Shares | shares | 162,142 |
Options Exercisable, Weighted-Average Exercise Price | $ 18.68 |
Range Five [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of Exercise Prices, Minimum | 18.77 |
Range of Exercise Prices, Maximum | $ 22.67 |
Options Outstanding, Shares | shares | 217,552 |
Options Outstanding, Weighted-Average Remaining Contractual Life (in years) | 9 years |
Options Outstanding, Weighted-Average Exercise Price | $ 19.92 |
Options Exercisable, Shares | shares | 38,948 |
Options Exercisable, Weighted-Average Exercise Price | $ 20.14 |
Range Six [Member] | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | |
Range of Exercise Prices, Minimum | 8.49 |
Range of Exercise Prices, Maximum | $ 22.67 |
Options Outstanding, Shares | shares | 2,920,233 |
Options Outstanding, Weighted-Average Remaining Contractual Life (in years) | 7 years 1 month 6 days |
Options Outstanding, Weighted-Average Exercise Price | $ 13.48 |
Options Exercisable, Shares | shares | 1,393,408 |
Options Exercisable, Weighted-Average Exercise Price | $ 13.15 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) $ in Millions | 9 Months Ended |
Sep. 30, 2018USD ($) | |
Income Tax Disclosure [Line Items] | |
Deferred tax assets, valuation allowance | $ 10.9 |
Ownership Change [Member] | |
Income Tax Disclosure [Line Items] | |
Description of Ownership Change | An ownership change under Sections 382 and 383 of the Internal Revenue Code was deemed to occur in June 2018. In general, a Section 382 and 383 ownership change occurs if there is a cumulative change in our ownership by “5% shareholders” (as defined in the Internal Revenue Code of 1986, as amended) that exceeds 50 percentage points over a rolling three-year period. |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) $ in Millions | 1 Months Ended | |
Jun. 30, 2018 | Apr. 30, 2016 | |
Pending Litigation [Member] | OSHA [Member] | ||
Commitments and Contingencies [Line Items] | ||
Compensation and fees demanded by plaintiff | $ 0.2 | |
SVP–Asia [Member] | Transition Agreement [Member] | ||
Commitments and Contingencies [Line Items] | ||
Compensation and fees demanded by plaintiff | $ 2.6 | |
Termination of options to purchase common stock | 164,880 | |
Termination of options to purchase restricted stock | 77,760 | |
Compensation and fees damages awarded to plaintiff | $ 1.2 |
Concentration of Customers - Ad
Concentration of Customers - Additional Information (Detail) - Customer Concentration Risk [Member] | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Sales Revenues [Member] | |||||
Concentration Risk [Line Items] | |||||
Customer risk percentage | 100.00% | 100.00% | 100.00% | 100.00% | |
Sales Revenues [Member] | Minimum [Member] | |||||
Concentration Risk [Line Items] | |||||
Customer risk percentage | 10.00% | 10.00% | 10.00% | 10.00% | |
Accounts Receivable [Member] | Minimum [Member] | |||||
Concentration Risk [Line Items] | |||||
Customer risk percentage | 10.00% | 10.00% |
Concentration of Customers - Sc
Concentration of Customers - Schedule of Revenues from Customers (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Concentration Risk [Line Items] | ||||
Revenues | $ 254,976 | $ 253,498 | $ 739,567 | $ 701,695 |
Sales Revenues [Member] | Customer Concentration Risk [Member] | ||||
Concentration Risk [Line Items] | ||||
Revenues | $ 254,976 | $ 253,498 | $ 739,567 | $ 701,695 |
Percentage of Total | 100.00% | 100.00% | 100.00% | 100.00% |
Sales Revenues [Member] | GE [Member] | Customer Concentration Risk [Member] | ||||
Concentration Risk [Line Items] | ||||
Revenues | $ 81,699 | $ 98,962 | $ 244,534 | $ 297,550 |
Percentage of Total | 32.00% | 39.00% | 33.10% | 42.40% |
Sales Revenues [Member] | Vestas [Member] | Customer Concentration Risk [Member] | ||||
Concentration Risk [Line Items] | ||||
Revenues | $ 73,584 | $ 72,366 | $ 226,153 | $ 181,215 |
Percentage of Total | 28.90% | 28.60% | 30.60% | 25.80% |
Sales Revenues [Member] | Nordex Acciona [Member] | Customer Concentration Risk [Member] | ||||
Concentration Risk [Line Items] | ||||
Revenues | $ 46,103 | $ 43,052 | $ 141,663 | $ 126,214 |
Percentage of Total | 18.10% | 17.00% | 19.10% | 18.00% |
Sales Revenues [Member] | Siemens Gamesa [Member] | Customer Concentration Risk [Member] | ||||
Concentration Risk [Line Items] | ||||
Revenues | $ 33,964 | $ 34,999 | $ 84,782 | $ 86,675 |
Percentage of Total | 13.30% | 13.80% | 11.50% | 12.40% |
Sales Revenues [Member] | Other [Member] | Customer Concentration Risk [Member] | ||||
Concentration Risk [Line Items] | ||||
Revenues | $ 19,626 | $ 4,119 | $ 42,435 | $ 10,041 |
Percentage of Total | 7.70% | 1.60% | 5.70% | 1.40% |
Concentration of Customers - _2
Concentration of Customers - Schedule of Trade Accounts Receivable from Certain Customers (Detail) - Accounts Receivable [Member] - Customer Concentration Risk [Member] | 9 Months Ended | 12 Months Ended |
Sep. 30, 2018 | Dec. 31, 2017 | |
GE [Member] | ||
Concentration Risk [Line Items] | ||
Percentage of Total | 9.50% | 18.90% |
Vestas [Member] | ||
Concentration Risk [Line Items] | ||
Percentage of Total | 41.10% | 52.40% |
Nordex Acciona [Member] | ||
Concentration Risk [Line Items] | ||
Percentage of Total | 34.60% | 19.50% |
Segment Reporting - Additional
Segment Reporting - Additional Information (Detail) | 9 Months Ended |
Sep. 30, 2018Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 4 |
Segment Reporting - Schedule of
Segment Reporting - Schedule of Segment Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | Dec. 31, 2017 | |
Segment Reporting Information [Line Items] | |||||
Total revenues | $ 254,976 | $ 253,498 | $ 739,567 | $ 701,695 | |
Total income from operations | 7,211 | 20,991 | 28,368 | 51,776 | |
Total property, plant and equipment, net | 150,931 | 150,931 | $ 123,480 | ||
U.S. Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Total revenues | 36,689 | 47,725 | 127,508 | 143,307 | |
Total income from operations | (18,687) | (7,474) | (41,030) | (21,148) | |
Total property, plant and equipment, net | 34,865 | 34,865 | 24,575 | ||
Asia Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Total revenues | 70,227 | 102,953 | 225,828 | 261,733 | |
Total income from operations | 7,401 | 22,104 | 23,204 | 55,452 | |
Total property, plant and equipment, net | 30,345 | 30,345 | 28,887 | ||
Mexico Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Total revenues | 79,565 | 60,694 | 193,882 | 158,110 | |
Total income from operations | 5,447 | 4,883 | 9,932 | 8,917 | |
Total property, plant and equipment, net | 63,269 | 63,269 | 39,756 | ||
EMEA Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Total revenues | 68,495 | 42,126 | 192,349 | 138,545 | |
Total income from operations | 13,050 | 1,478 | 36,262 | 8,555 | |
Total property, plant and equipment, net | 22,452 | 22,452 | $ 30,262 | ||
U.S. [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Total revenues | 36,689 | 47,725 | 127,508 | 143,307 | |
China [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Total revenues | 70,227 | 102,953 | 225,828 | 261,733 | |
Mexico [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Total revenues | 79,565 | 60,694 | 193,882 | 158,110 | |
Turkey [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Total revenues | $ 68,495 | $ 42,126 | $ 192,349 | $ 138,545 |
Segment Reporting - Schedule _2
Segment Reporting - Schedule of Segment Information (Parenthetical) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Segment Reporting Information [Line Items] | ||||
General and administrative costs | $ 9,756 | $ 9,315 | $ 31,908 | $ 28,373 |
U.S. Segment [Member] | ||||
Segment Reporting Information [Line Items] | ||||
General and administrative costs | $ 9,800 | $ 9,300 | $ 31,900 | $ 28,400 |
Adjustments to Previously Rep_3
Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement - Condensed Consolidated Balance Sheet (Detail) - USD ($) $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 110,838 | $ 148,113 |
Restricted cash | 2,845 | 3,849 |
Accounts receivable | 117,066 | 121,576 |
Contract assets | 122,265 | 105,619 |
Inventories | 7,445 | 4,112 |
Prepaid expenses and other current assets | 25,036 | 27,507 |
Total current assets | 385,495 | 410,776 |
Property, plant, and equipment, net | 150,931 | 123,480 |
Goodwill | 2,807 | |
Intangible assets, net | 1,108 | |
Other noncurrent assets | 18,391 | |
Total assets | 574,696 | 556,562 |
Current liabilities: | ||
Accounts payable and accrued expenses | 166,743 | |
Accrued warranty | 32,704 | 30,419 |
Customer deposits | 432 | |
Current maturities of long-term debt | 39,201 | 35,506 |
Contract liabilities | 8,335 | 2,763 |
Total current liabilities | 248,279 | 235,863 |
Long-term debt, net of debt issuance costs and current maturities | 93,583 | 85,879 |
Other noncurrent liabilities | 4,284 | 4,938 |
Total liabilities | 346,146 | 326,680 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Common shares, $0.01 par value, 100,000 shares authorized and 34,049 shares issued and 34,021 shares outstanding at December 31, 2017 | 346 | 340 |
Paid-in capital | 310,166 | 301,543 |
Accumulated other comprehensive loss | (21,977) | (558) |
Accumulated deficit | (56,805) | (70,932) |
Treasury stock, at cost, 28 shares at December 31, 2017 | (3,180) | (511) |
Total stockholders’ equity | 228,550 | 229,882 |
Total liabilities and stockholders’ equity | $ 574,696 | 556,562 |
As Reported [Member] | ASU 2014-09 [Member] | ||
Current assets: | ||
Cash and cash equivalents | 148,113 | |
Restricted cash | 3,849 | |
Accounts receivable | 121,576 | |
Inventories | 67,064 | |
Inventories held for customer orders | 64,858 | |
Prepaid expenses and other current assets | 27,507 | |
Total current assets | 432,967 | |
Property, plant, and equipment, net | 123,480 | |
Goodwill | 2,807 | |
Intangible assets, net | 150 | |
Other noncurrent assets | 14,130 | |
Total assets | 573,534 | |
Current liabilities: | ||
Accounts payable and accrued expenses | 166,743 | |
Accrued warranty | 29,163 | |
Deferred revenue | 81,048 | |
Customer deposits | 10,134 | |
Current maturities of long-term debt | 35,506 | |
Total current liabilities | 322,594 | |
Long-term debt, net of debt issuance costs and current maturities | 85,879 | |
Other noncurrent liabilities | 4,444 | |
Total liabilities | 412,917 | |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Common shares, $0.01 par value, 100,000 shares authorized and 34,049 shares issued and 34,021 shares outstanding at December 31, 2017 | 340 | |
Paid-in capital | 301,543 | |
Accumulated other comprehensive loss | (558) | |
Accumulated deficit | (140,197) | |
Treasury stock, at cost, 28 shares at December 31, 2017 | (511) | |
Total stockholders’ equity | 160,617 | |
Total liabilities and stockholders’ equity | 573,534 | |
Adoption of Topic 606 [Member] | ASU 2014-09 [Member] | ||
Current assets: | ||
Contract assets | 105,619 | |
Inventories | (62,952) | |
Inventories held for customer orders | (64,858) | |
Total current assets | (22,191) | |
Intangible assets, net | 958 | |
Other noncurrent assets | 4,261 | |
Total assets | (16,972) | |
Current liabilities: | ||
Accrued warranty | 1,256 | |
Deferred revenue | (81,048) | |
Customer deposits | (9,702) | |
Contract liabilities | 2,763 | |
Total current liabilities | (86,731) | |
Other noncurrent liabilities | 494 | |
Total liabilities | (86,237) | |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Accumulated deficit | 69,265 | |
Total stockholders’ equity | 69,265 | |
Total liabilities and stockholders’ equity | $ (16,972) |
Adjustments to Previously Rep_4
Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement - Condensed Consolidated Balance Sheet (Parenthetical) (Detail) - $ / shares | Sep. 30, 2018 | Dec. 31, 2017 |
Revenue Initial Application Period Cumulative Effect Transition [Abstract] | ||
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 34,629,000 | 34,049,000 |
Common stock, shares outstanding | 34,511,000 | 34,021,000 |
Treasury stock, shares | 118,000 | 28,000 |
Adjustments to Previously Rep_5
Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement - Condensed Consolidated Income Statement (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Net sales | $ 254,976 | $ 253,498 | $ 739,567 | $ 701,695 |
Cost of sales | 216,594 | 210,840 | 625,817 | 592,495 |
Startup and transition costs | 21,415 | 12,352 | 53,474 | 29,051 |
Total cost of goods sold | 238,009 | 223,192 | 679,291 | 621,546 |
Gross profit | 16,967 | 30,306 | 60,276 | 80,149 |
General and administrative expenses | 9,756 | 9,315 | 31,908 | 28,373 |
Income from operations | 7,211 | 20,991 | 28,368 | 51,776 |
Other income (expense): | ||||
Interest income | 45 | 48 | 129 | 78 |
Interest expense | (2,323) | (3,254) | (8,376) | (9,215) |
Realized gain (loss) on foreign currency remeasurement | (8,181) | 39 | (12,957) | (2,575) |
Miscellaneous income | 2,511 | 390 | 4,003 | 968 |
Total other expense | (7,948) | (2,777) | (20,598) | (10,744) |
Income (loss) before income taxes | (737) | 18,214 | 7,770 | 41,032 |
Income tax benefit (provision) | 10,269 | 3,523 | 6,357 | (4,505) |
Net income | $ 9,532 | $ 21,737 | $ 14,127 | $ 36,527 |
Weighted-average common shares outstanding: | ||||
Basic | 34,419 | 33,891 | 34,212 | 33,789 |
Diluted | 36,282 | 35,015 | 35,946 | 34,748 |
Net income per common share: | ||||
Basic | $ 0.28 | $ 0.64 | $ 0.41 | $ 1.08 |
Diluted | $ 0.26 | $ 0.62 | $ 0.39 | $ 1.05 |
As Reported [Member] | ASU 2014-09 [Member] | ||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Net sales | $ 243,354 | $ 683,142 | ||
Cost of sales | 198,141 | 568,659 | ||
Startup and transition costs | 12,352 | 29,051 | ||
Total cost of goods sold | 210,493 | 597,710 | ||
Gross profit | 32,861 | 85,432 | ||
General and administrative expenses | 9,315 | 28,373 | ||
Income from operations | 23,546 | 57,059 | ||
Other income (expense): | ||||
Interest income | 48 | 78 | ||
Interest expense | (3,254) | (9,215) | ||
Realized gain (loss) on foreign currency remeasurement | 39 | (2,575) | ||
Miscellaneous income | 390 | 968 | ||
Total other expense | (2,777) | (10,744) | ||
Income (loss) before income taxes | 20,769 | 46,315 | ||
Income tax benefit (provision) | (371) | (8,514) | ||
Net income | $ 20,398 | $ 37,801 | ||
Weighted-average common shares outstanding: | ||||
Basic | 33,891 | 33,789 | ||
Diluted | 35,015 | 34,748 | ||
Net income per common share: | ||||
Basic | $ 0.60 | $ 1.12 | ||
Diluted | $ 0.58 | $ 1.09 | ||
Adoption of Topic 606 [Member] | ASU 2014-09 [Member] | ||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Net sales | $ 10,144 | $ 18,553 | ||
Cost of sales | 12,699 | 23,836 | ||
Total cost of goods sold | 12,699 | 23,836 | ||
Gross profit | (2,555) | (5,283) | ||
Income from operations | (2,555) | (5,283) | ||
Other income (expense): | ||||
Income (loss) before income taxes | (2,555) | (5,283) | ||
Income tax benefit (provision) | 3,894 | 4,009 | ||
Net income | $ 1,339 | $ (1,274) | ||
Weighted-average common shares outstanding: | ||||
Basic | 33,891 | 33,789 | ||
Diluted | 35,015 | 34,748 | ||
Net income per common share: | ||||
Basic | $ 0.04 | $ (0.04) | ||
Diluted | $ 0.04 | $ (0.04) |
Adjustments to Previously Rep_6
Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement - Condensed Consolidated Statement of Comprehensive Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2018 | Sep. 30, 2017 | Sep. 30, 2018 | Sep. 30, 2017 | |
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Net income | $ 9,532 | $ 21,737 | $ 14,127 | $ 36,527 |
Foreign currency translation adjustments | (15,621) | 1,231 | (21,908) | 2,808 |
Comprehensive income (loss) | $ (5,792) | 22,968 | $ (7,292) | 39,335 |
As Reported [Member] | ASU 2014-09 [Member] | ||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Net income | 20,398 | 37,801 | ||
Foreign currency translation adjustments | 1,231 | 2,808 | ||
Comprehensive income (loss) | 21,629 | 40,609 | ||
Adoption of Topic 606 [Member] | ASU 2014-09 [Member] | ||||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||||
Net income | 1,339 | (1,274) | ||
Comprehensive income (loss) | $ 1,339 | $ (1,274) |
Adjustments to Previously Rep_7
Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement - Condensed Consolidated Statements of Changes in Stockholders' Equity (Detail) - USD ($) shares in Thousands, $ in Thousands | Sep. 30, 2018 | Dec. 31, 2017 |
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||
Balance at December 31, 2017 | $ 228,550 | $ 229,882 |
As Reported [Member] | ASU 2014-09 [Member] | ||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||
Balance at December 31, 2017 | 160,617 | |
Adoption of Topic 606 [Member] | ASU 2014-09 [Member] | ||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||
Balance at December 31, 2017 | 69,265 | |
Cumulative effect of the adoption of Topic 606 | 69,265 | |
Common Stock [Member] | ||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||
Balance at December 31, 2017 | $ 340 | |
Beginning balance, shares | 34,049 | |
Common Stock [Member] | As Reported [Member] | ASU 2014-09 [Member] | ||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||
Balance at December 31, 2017 | $ 340 | |
Beginning balance, shares | 34,049 | |
Paid-in Capital [Member] | ||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||
Balance at December 31, 2017 | $ 301,543 | |
Paid-in Capital [Member] | As Reported [Member] | ASU 2014-09 [Member] | ||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||
Balance at December 31, 2017 | 301,543 | |
Accumulated Other Comprehensive Loss [Member] | ||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||
Balance at December 31, 2017 | (558) | |
Accumulated Other Comprehensive Loss [Member] | As Reported [Member] | ASU 2014-09 [Member] | ||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||
Balance at December 31, 2017 | (558) | |
Accumulated Deficit [Member] | ||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||
Balance at December 31, 2017 | (70,932) | |
Accumulated Deficit [Member] | As Reported [Member] | ASU 2014-09 [Member] | ||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||
Balance at December 31, 2017 | (140,197) | |
Accumulated Deficit [Member] | Adoption of Topic 606 [Member] | ASU 2014-09 [Member] | ||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||
Cumulative effect of the adoption of Topic 606 | 69,265 | |
Treasury Stock, at Cost [Member] | ||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||
Balance at December 31, 2017 | (511) | |
Treasury Stock, at Cost [Member] | As Reported [Member] | ASU 2014-09 [Member] | ||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | ||
Balance at December 31, 2017 | $ (511) |
Adjustments to Previously Rep_8
Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Adoption of Topic 606 [Member] | ASU 2014-09 [Member] | |||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||
Increase (decrease) in stockholder's equity | $ (4.2) | $ 12.3 | $ 61.2 |
Adjustments to Previously Rep_9
Adjustments to Previously Reported Financial Statements from the Adoption of an Accounting Pronouncement - Condensed Consolidated Statements of Cash Flows (Detail) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2018 | Sep. 30, 2017 | |
Cash flows from operating activities: | ||
Net income | $ 14,127 | $ 36,527 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 19,080 | 14,143 |
Share-based compensation expense | 6,971 | 4,794 |
Amortization of debt issuance costs | 284 | 430 |
Deferred income taxes | (10,898) | (2,613) |
Changes in assets and liabilities: | ||
Accounts receivable | 2,052 | (66,438) |
Contract assets and liabilities | (13,466) | 7,604 |
Inventories | (3,489) | (335) |
Prepaid expenses and other current assets | 1,941 | 881 |
Other noncurrent assets | (4,503) | (7,615) |
Accounts payable and accrued expenses | 48,083 | |
Accrued warranty | 2,285 | 8,135 |
Other noncurrent liabilities | (2,544) | (136) |
Net cash provided by operating activities | 17,195 | 43,460 |
Cash flows from investing activities: | ||
Purchase of property and equipment | (50,636) | (35,312) |
Net cash used in investing activities | (50,636) | (35,312) |
Cash flows from financing activities: | ||
Repayments of term loan | (74,972) | (2,812) |
Net proceeds from accounts receivable financing | (3,915) | 8,196 |
Proceeds from working capital loans | 6,620 | |
Repayments of working capital loans | (11,258) | |
Net proceeds from other debt | (14,174) | 4,556 |
Proceeds from exercise of stock options | 2,211 | 988 |
Repurchase of common stock including shares withheld in lieu of income taxes | (2,859) | (1,264) |
Net cash provided by (used in) financing activities | (4,555) | 5,026 |
Impact of foreign exchange rates on cash, cash equivalents and restricted cash | (283) | 305 |
Net change in cash, cash equivalents and restricted cash | (38,279) | 13,479 |
Cash, cash equivalents and restricted cash, beginning of year | 152,437 | 129,863 |
Cash, cash equivalents and restricted cash, end of period | $ 114,158 | 143,342 |
As Reported [Member] | ||
Cash flows from operating activities: | ||
Net income | 37,801 | |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 13,622 | |
Share-based compensation expense | 4,794 | |
Amortization of debt issuance costs | 430 | |
Changes in assets and liabilities: | ||
Accounts receivable | (66,438) | |
Inventories | (24,979) | |
Prepaid expenses and other current assets | 881 | |
Other noncurrent assets | 3,067 | |
Accounts payable and accrued expenses | 47,498 | |
Accrued warranty | 8,238 | |
Customer deposits | 9,019 | |
Deferred revenue | 17,726 | |
Other noncurrent liabilities | (136) | |
Net cash provided by operating activities | 51,523 | |
Cash flows from investing activities: | ||
Purchase of property and equipment | (35,312) | |
Net cash used in investing activities | (35,312) | |
Cash flows from financing activities: | ||
Repayments of term loan | (2,812) | |
Net proceeds from accounts receivable financing | 8,196 | |
Proceeds from working capital loans | 6,620 | |
Repayments of working capital loans | (11,258) | |
Net proceeds from other debt | 4,556 | |
Proceeds from exercise of stock options | 988 | |
Repurchase of common stock including shares withheld in lieu of income taxes | (1,264) | |
Restricted cash | (1,543) | |
Net cash provided by (used in) financing activities | 3,483 | |
Impact of foreign exchange rates on cash, cash equivalents and restricted cash | 305 | |
Net change in cash, cash equivalents and restricted cash | 19,999 | |
Cash, cash equivalents and restricted cash, beginning of year | 119,066 | |
Cash, cash equivalents and restricted cash, end of period | 139,065 | |
Adoption of ASU 2016-18 [Member] | ||
Changes in assets and liabilities: | ||
Other noncurrent assets | (8,063) | |
Net cash provided by operating activities | (8,063) | |
Cash flows from financing activities: | ||
Restricted cash | 1,543 | |
Net cash provided by (used in) financing activities | 1,543 | |
Net change in cash, cash equivalents and restricted cash | (6,520) | |
Cash, cash equivalents and restricted cash, beginning of year | 10,797 | |
Cash, cash equivalents and restricted cash, end of period | 4,277 | |
Adoption of Topic 606 [Member] | ASU 2014-09 [Member] | ||
Cash flows from operating activities: | ||
Net income | (1,274) | |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization | 521 | |
Deferred income taxes | (2,613) | |
Changes in assets and liabilities: | ||
Contract assets and liabilities | 7,604 | |
Inventories | 24,644 | |
Other noncurrent assets | (2,619) | |
Accounts payable and accrued expenses | 585 | |
Accrued warranty | (103) | |
Customer deposits | (9,019) | |
Deferred revenue | $ (17,726) |