Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2019 | Aug. 01, 2019 | |
Document and Entity Information [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Jun. 30, 2019 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Registrant Name | Marcus & Millichap, Inc. | |
Entity Interactive Data Current | Yes | |
Title of 12(b) Security | Common Stock | |
Trading Symbol | MMI | |
Security Exchange Name | NYSE | |
Entity File Number | 001-36155 | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 35-2478370 | |
Entity Address, Address Line One | 23975 Park Sorrento | |
Entity Address, City or Town | Calabasas | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 91302 | |
City Area Code | 818 | |
Local Phone Number | 212-2250 | |
Entity Shell Company | false | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Common Stock, Shares Outstanding | 39,090,861 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2019 | |
Document Fiscal Period Focus | Q2 | |
Entity Central Index Key | 0001578732 | |
Current Fiscal Year End Date | --12-31 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Current assets: | ||
Cash and cash equivalents | $ 206,758 | $ 214,683 |
Commissions receivable | 5,768 | 4,948 |
Prepaid expenses | 9,593 | 7,904 |
Income tax receivable | 4,762 | 0 |
Marketable securities, available-for-sale | 118,909 | 137,436 |
Other assets, net | 6,233 | 6,368 |
Total current assets | 352,023 | 371,339 |
Prepaid rent | 0 | 13,892 |
Property and equipment, net | 20,854 | 19,550 |
Operating lease right-of-use assets, net | 93,090 | 0 |
Marketable securities, available-for-sale | 80,329 | 83,209 |
Assets held in rabbi trust | 9,119 | 8,268 |
Deferred tax assets, net | 18,525 | 22,959 |
Goodwill and other intangible assets, net | 14,889 | 15,385 |
Other assets | 50,845 | 31,778 |
Total assets | 639,674 | 566,380 |
Current liabilities: | ||
Accounts payable and other liabilities | 11,115 | 11,035 |
Notes payable to former stockholders | 6,564 | 1,087 |
Deferred compensation and commissions | 31,638 | 47,910 |
Income tax payable | 0 | 4,486 |
Operating lease liabilities | 17,400 | 0 |
Accrued bonuses and other employee related expenses | 14,050 | 28,338 |
Total current liabilities | 80,767 | 92,856 |
Deferred compensation and commissions | 38,964 | 49,887 |
Notes payable to former stockholders | 0 | 6,564 |
Operating lease liabilities | 67,429 | 0 |
Deferred rent and other liabilities | 2,001 | 7,499 |
Total liabilities | 189,161 | 156,806 |
Commitments and contingencies | 0 | 0 |
Stockholders' equity: | ||
Preferred stock, $0.0001 par value: Authorized shares – 25,000,000; issued and outstanding shares – none at June 30, 2019 and December 31, 2018, respectively | 0 | 0 |
Common stock, $0.0001 par value: Authorized shares – 150,000,000; issued and outstanding shares – 39,090,861 and 38,814,464 at June 30, 2019 and December 31, 2018, respectively | 4 | 4 |
Additional paid-in capital | 100,098 | 97,458 |
Stock notes receivable from employees | (4) | (4) |
Retained earnings | 348,258 | 311,341 |
Accumulated other comprehensive income | 2,157 | 775 |
Total stockholders' equity | 450,513 | 409,574 |
Total liabilities and stockholders' equity | $ 639,674 | $ 566,380 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Jun. 30, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 25,000,000 | 25,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 150,000,000 | 150,000,000 |
Common stock, shares issued | 39,090,861 | 38,814,464 |
Common stock, shares outstanding | 39,090,861 | 38,814,464 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF NET AND COMPREHENSIVE INCOME - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Revenues: | ||||
Revenue | $ 209,593 | $ 199,402 | $ 370,300 | $ 373,943 |
Operating expenses: | ||||
Cost of services | 127,847 | 119,869 | 219,535 | 221,518 |
Selling, general and administrative expense | 52,836 | 49,080 | 101,754 | 97,133 |
Depreciation and amortization expense | 1,932 | 1,503 | 3,764 | 2,878 |
Total operating expenses | 182,615 | 170,452 | 325,053 | 321,529 |
Operating income | 26,978 | 28,950 | 45,247 | 52,414 |
Other income (expense), net | 3,119 | 1,724 | 6,494 | 2,933 |
Interest expense | (340) | (352) | (689) | (712) |
Income before provision for income taxes | 29,757 | 30,322 | 51,052 | 54,635 |
Provision for income taxes | 8,478 | 8,155 | 14,135 | 14,457 |
Net income | 21,279 | 22,167 | 36,917 | 40,178 |
Marketable securities, available-for-sale: | ||||
Change in unrealized gains (losses) | 856 | (172) | 1,714 | (664) |
Less: reclassification adjustment for net (gains) losses included in other income (expense), net | (9) | 8 | (18) | 8 |
Net change, net of tax of $283, $(57), $571 and $(221) for the three and six months ended June 30, 2019 and 2018, respectively | 847 | (164) | 1,696 | (656) |
Foreign currency translation (loss) gain, net of tax of $0 for each of the three and six months ended June 30, 2019 and 2018 | (216) | 34 | (314) | 73 |
Total other comprehensive income (loss) | 631 | (130) | 1,382 | (583) |
Comprehensive income | $ 21,910 | $ 22,037 | $ 38,299 | $ 39,595 |
Earnings per share: | ||||
Basic | $ 0.54 | $ 0.57 | $ 0.94 | $ 1.03 |
Diluted | $ 0.54 | $ 0.56 | $ 0.93 | $ 1.02 |
Weighted average common shares outstanding: | ||||
Basic | 39,395 | 39,154 | 39,353 | 39,124 |
Diluted | 39,527 | 39,385 | 39,524 | 39,298 |
Real Estate Brokerage Commissions [Member] | ||||
Revenues: | ||||
Revenue | $ 188,680 | $ 181,640 | $ 333,617 | $ 344,165 |
Financing Fees [Member] | ||||
Revenues: | ||||
Revenue | 17,742 | 15,563 | 31,474 | 25,287 |
Other Revenues [Member] | ||||
Revenues: | ||||
Revenue | $ 3,171 | $ 2,199 | $ 5,209 | $ 4,491 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF NET AND COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Income Statement [Abstract] | ||||
Marketable securities net change, tax | $ 283 | $ (57) | $ 571 | $ (221) |
Foreign currency translation (loss) gain, tax | $ 0 | $ 0 | $ 0 | $ 0 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS EQUITY - USD ($) $ in Thousands | Total | Preferred Stock [Member] | Common Stock [Member] | Additional Paid-In Capital [Member] | Stock Notes Receivable From Employees [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] |
Beginning Balance at Dec. 31, 2017 | $ 314,888 | $ 0 | $ 4 | $ 89,877 | $ (4) | $ 224,071 | $ 940 |
Beginning Balance, Shares at Dec. 31, 2017 | 0 | 38,374,011 | |||||
Cumulative effect of a change in accounting principle at Dec. 31, 2017 | 0 | $ 0 | $ 0 | 0 | 0 | 13 | (13) |
Balance as adjusted at Dec. 31, 2017 | 314,888 | $ 0 | $ 4 | 89,877 | (4) | 224,084 | 927 |
Balance as adjusted, Shares at Dec. 31, 2017 | 0 | 38,374,011 | |||||
Net and comprehensive income | 39,595 | $ 0 | $ 0 | 0 | 0 | 40,178 | (583) |
Stock-based compensation | 5,772 | $ 0 | $ 0 | 5,772 | 0 | 0 | 0 |
Stock-based compensation, Shares | 0 | 0 | |||||
Shares issued pursuant to employee stock purchase plan | 356 | $ 0 | $ 0 | 356 | 0 | 0 | 0 |
Shares issued pursuant to employee stock purchase plan, Shares | 0 | 13,028 | |||||
Issuance of common stock for vesting of restricted stock units | 0 | $ 0 | $ 0 | 0 | 0 | 0 | 0 |
Issuance of common stock for vesting of restricted stock units, Shares | 0 | 274,740 | |||||
Issuance of common stock for unvested restricted stock awards | 0 | $ 0 | $ 0 | 0 | 0 | 0 | 0 |
Issuance of common stock for unvested restricted stock awards, Shares | 0 | 12,852 | |||||
Shares withheld related to net share settlement of stock-based awards | (1,714) | $ 0 | $ 0 | (1,714) | 0 | 0 | 0 |
Shares withheld related to net share settlement of stock-based awards, shares | 0 | (52,919) | |||||
Ending Balance at Jun. 30, 2018 | 358,897 | $ 0 | $ 4 | 94,291 | (4) | 264,262 | 344 |
Ending Balance, Shares at Jun. 30, 2018 | 0 | 38,621,712 | |||||
Beginning Balance at Mar. 31, 2018 | 333,409 | $ 0 | $ 4 | 90,840 | (4) | 242,095 | 474 |
Beginning Balance, Shares at Mar. 31, 2018 | 0 | 38,578,834 | |||||
Net and comprehensive income | 22,037 | $ 0 | $ 0 | 0 | 0 | 22,167 | (130) |
Stock-based compensation | 3,159 | $ 0 | $ 0 | 3,159 | 0 | 0 | 0 |
Stock-based compensation, Shares | 0 | 0 | |||||
Shares issued pursuant to employee stock purchase plan | 356 | $ 0 | $ 0 | 356 | 0 | 0 | 0 |
Shares issued pursuant to employee stock purchase plan, Shares | 0 | 13,028 | |||||
Issuance of common stock for vesting of restricted stock units | 0 | $ 0 | $ 0 | 0 | 0 | 0 | 0 |
Issuance of common stock for vesting of restricted stock units, Shares | 0 | 21,810 | |||||
Issuance of common stock for unvested restricted stock awards | 0 | $ 0 | $ 0 | 0 | 0 | 0 | 0 |
Issuance of common stock for unvested restricted stock awards, Shares | 0 | 12,852 | |||||
Shares withheld related to net share settlement of stock-based awards | (64) | $ 0 | $ 0 | (64) | 0 | 0 | 0 |
Shares withheld related to net share settlement of stock-based awards, shares | 0 | (4,812) | |||||
Ending Balance at Jun. 30, 2018 | 358,897 | $ 0 | $ 4 | 94,291 | (4) | 264,262 | 344 |
Ending Balance, Shares at Jun. 30, 2018 | 0 | 38,621,712 | |||||
Beginning Balance at Dec. 31, 2018 | 409,574 | $ 0 | $ 4 | 97,458 | (4) | 311,341 | 775 |
Beginning Balance, Shares at Dec. 31, 2018 | 0 | 38,814,464 | |||||
Net and comprehensive income | 38,299 | $ 0 | $ 0 | 0 | 0 | 36,917 | 1,382 |
Stock-based compensation | 4,926 | $ 0 | $ 0 | 4,926 | 0 | 0 | 0 |
Stock-based compensation, Shares | 0 | 0 | |||||
Shares issued pursuant to employee stock purchase plan | 338 | $ 0 | $ 0 | 338 | 0 | 0 | 0 |
Shares issued pursuant to employee stock purchase plan, Shares | 0 | 11,022 | |||||
Issuance of common stock for vesting of restricted stock units | 0 | $ 0 | $ 0 | 0 | 0 | 0 | 0 |
Issuance of common stock for vesting of restricted stock units, Shares | 0 | 325,219 | |||||
Issuance of common stock for unvested restricted stock awards | 0 | $ 0 | $ 0 | 0 | 0 | 0 | 0 |
Issuance of common stock for unvested restricted stock awards, Shares | 0 | 10,542 | |||||
Shares withheld related to net share settlement of stock-based awards | (2,624) | $ 0 | $ 0 | (2,624) | 0 | 0 | 0 |
Shares withheld related to net share settlement of stock-based awards, shares | 0 | (70,386) | |||||
Ending Balance at Jun. 30, 2019 | 450,513 | $ 0 | $ 4 | 100,098 | (4) | 348,258 | 2,157 |
Ending Balance, Shares at Jun. 30, 2019 | 0 | 39,090,861 | |||||
Beginning Balance at Mar. 31, 2019 | 426,092 | $ 0 | $ 4 | 97,587 | (4) | 326,979 | 1,526 |
Beginning Balance, Shares at Mar. 31, 2019 | 0 | 39,042,434 | |||||
Net and comprehensive income | 21,910 | $ 0 | $ 0 | 0 | 0 | 21,279 | 631 |
Stock-based compensation | 2,585 | $ 0 | $ 0 | 2,585 | 0 | 0 | 0 |
Stock-based compensation, Shares | 0 | 0 | |||||
Shares issued pursuant to employee stock purchase plan | 338 | $ 0 | $ 0 | 338 | 0 | 0 | 0 |
Shares issued pursuant to employee stock purchase plan, Shares | 0 | 11,022 | |||||
Issuance of common stock for vesting of restricted stock units | 0 | $ 0 | $ 0 | 0 | 0 | 0 | 0 |
Issuance of common stock for vesting of restricted stock units, Shares | 0 | 40,823 | |||||
Issuance of common stock for unvested restricted stock awards | 0 | $ 0 | $ 0 | 0 | 0 | 0 | 0 |
Issuance of common stock for unvested restricted stock awards, Shares | 0 | 10,542 | |||||
Shares withheld related to net share settlement of stock-based awards | (412) | $ 0 | $ 0 | (412) | 0 | 0 | 0 |
Shares withheld related to net share settlement of stock-based awards, shares | 0 | (13,960) | |||||
Ending Balance at Jun. 30, 2019 | $ 450,513 | $ 0 | $ 4 | $ 100,098 | $ (4) | $ 348,258 | $ 2,157 |
Ending Balance, Shares at Jun. 30, 2019 | 0 | 39,090,861 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Cash flows from operating activities | ||
Net income | $ 36,917 | $ 40,178 |
Adjustments to reconcile net income to net cash (used in) provided by operating activities: | ||
Depreciation and amortization expense | 3,764 | 2,878 |
Amortization of right-of-use assets | 10,242 | 0 |
Recovery of bad debt expense | (13) | (29) |
Stock-based compensation | 4,926 | 5,772 |
Deferred taxes, net | 3,863 | 1,489 |
Net realized gains on marketable securities, available-for-sale | (12) | (12) |
Other non-cash items | (228) | 151 |
Changes in operating assets and liabilities: | ||
Commissions receivable | (820) | 2,861 |
Prepaid expenses | (1,689) | 2,006 |
Prepaid rent | 0 | 482 |
Other assets, net | (21,367) | (3,588) |
Accounts payable and other liabilities | 14 | (1,525) |
Income tax receivable/payable | (9,248) | 1,525 |
Accrued bonuses and other employee related expenses | (14,228) | (6,751) |
Deferred compensation and commissions | (28,291) | (23,066) |
Operating lease liabilities | (8,169) | 0 |
Deferred rent and other liabilities | (24) | 675 |
Net cash (used in) provided by operating activities | (24,363) | 23,046 |
Cash flows from investing activities | ||
Acquisition, net of cash received | 0 | (6,216) |
Purchases of marketable securities, available-for-sale | (79,357) | (57,411) |
Proceeds from sales and maturities of marketable securities, available-for-sale | 103,108 | 64,969 |
Issuances of employee notes receivable | 0 | (125) |
Payments received on employee notes receivable | 1 | 6 |
Purchase of property and equipment | (4,126) | (2,643) |
Net cash provided by (used in) investing activities | 19,626 | (1,420) |
Cash flows from financing activities | ||
Taxes paid related to net share settlement of stock-based awards | (2,624) | (1,714) |
Proceeds from issuance of shares pursuant to employee stock purchase plan | 338 | 356 |
Principal payments on notes payable to former stockholders | (1,087) | (1,035) |
Principal payments on stock appreciation rights liability | 185 | 0 |
Net cash used in financing activities | (3,188) | (2,393) |
Net (decrease) increase in cash and cash equivalents | (7,925) | 19,233 |
Cash and cash equivalents at beginning of period | 214,683 | 220,786 |
Cash and cash equivalents at end of period | 206,758 | 240,019 |
Supplemental disclosures of cash flow information | ||
Interest paid during the period | 1,967 | 2,005 |
Income taxes paid, net | $ 19,520 | $ 11,443 |
Description of Business and Bas
Description of Business and Basis of Presentation | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Description of Business and Basis of Presentation | 1. Description of Business and Basis of Presentation Description of Business Marcus & Millichap, Inc. (the “Company”, “Marcus & Millichap”, or “MMI”), a Delaware corporation, is a brokerage firm specializing in commercial real estate investment sales, financing, research and advisory services. As of June 30, 2019, MMI operated 80 offices in the United States and Canada through its wholly-owned subsidiaries, including the operations of Marcus & Millichap Capital Corporation. Reorganization and Initial Public Offering MMI was formed in June 2013 in preparation for Marcus & Millichap Company (“MMC”) to spin-off October 30, 2013 Basis of Presentation The financial information presented in the accompanying unaudited condensed consolidated financial statements, has been prepared in accordance with rules and regulations of the U.S. Securities and Exchange Commission (“SEC”) for quarterly reports on Form 10-Q 10-01 S-X. 10-K Consolidation The accompanying condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. Use of Estimates The preparation of condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the related disclosures 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. Segment Reporting The Company follows U.S. GAAP for segment reporting, which requires reporting information on operating segments in interim and annual financial statements. Substantially all of the Company’s operations involve the delivery of commercial real estate services to our customers including real estate investment sales, financing (including mortgage servicing rights revenue) and consulting and advisory services. Management makes operating decisions, assesses performance and allocates resources based on an ongoing review of these integrated operations, which constitute the Company’s only operating segment for financial reporting purposes. Reclassifications Certain prior-period amounts in Note 13 – “Income Taxes” have been reclassified to conform to the current period presentation. These changes had no impact on the previously reported consolidated results of operations or any totals or subtotals therein. |
Accounting Policies and Recent
Accounting Policies and Recent Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Accounting Policies and Recent Accounting Pronouncements | 2. Accounting Policies and Recent Accounting Pronouncements Accounting Policies The complete list of the Company’s accounting policies is included in the Company’s Annual Report on Form 10-K Leases The Company utilizes operating leases for all its facilities and autos. The Company determines if an arrangement is a lease at inception. Right-of-use non-current, non-current Operating lease ROU assets and liabilities are recognized on the commencement date based on the present value of lease payments over the lease term. Lease agreements may contain periods of free rent or reduced rent, predetermined fixed increases in the minimum rent and renewal or termination options, all impacting the determination of the lease term and lease payments to be used in calculating the lease liability. Certain facility leases provide for rental escalations related to increases in the lessors’ direct operating expenses. The Company uses the implicit rate in the lease when determinable. As most of the Company’s leases do not have a determinable implicit rate, the Company uses a derived incremental borrowing rate based on borrowing options under its credit agreement. The Company applies a spread over treasury rates for the indicated term of the lease based on the information available on the commencement date of the lease. The Company typically leases general purpose built-out The Company has lease agreements with lease and non-lease Concentration of Credit Risk Financial instruments that potentially subject the Company to a concentration of credit risk principally consist of cash and cash equivalents due from independent contractors (included under other assets, net current and other assets non-current), available-for-sale, non-current) available-for-sale To reduce its credit risk, the Company monitors the credit standing of the financial institutions and money market funds that represent amounts recorded as cash and cash equivalents. The Company historically has not experienced any significant losses related to cash and cash equivalents. The Company derives its revenues from a broad range of real estate investors, owners, and users in the United States and Canada, none of which individually represents a significant concentration of credit risk. The Company maintains allowances, as needed, for estimated credit losses based on management’s assessment of the likelihood of collection. For the six months ended June 30, 2019 and 2018, no transaction represented 10% or more of total revenues. Further, while one or more transactions may represent 10% or more of commissions receivable at any reporting date, amounts due are typically collected within 10 days of settlement and, therefore, do not expose the Company to significant credit risk. During the three and six months ended June 30, 2019 and 2018, the Company’s Canadian operations represented less than 1% of total revenues. During the three and six months ended June 30, 2019 and 2018, no office represented 10% or more of total revenues. Recent Accounting Pronouncements Adopted In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, Leases The adoption of the new standard had a material impact on the Company’s condensed consolidated balance sheet, but did not have a material impact on the Company’s condensed consolidated statements of net and comprehensive income. The Company elected available practical expedients permitted under the guidance, which among other items, allow the Company to (i) carry forward its historical lease classification, (ii) not reassess leases for the definition of “lease” under the new standard, (iii) utilize a discount rate as of the effective date and (iv) not record leases that expired or were terminated prior to the effective date. The Company made an accounting policy election to account for lease and non-lease The Company implemented internal controls and key system functionality to enable the preparation of the required financial information. In March 2017, the FASB issued ASU No. 2017-08, Receivables – Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities 2017-08”). 2017-08 2017-08 Pending Adoption In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Losses 2016-13”). 2016-13 2016-13, available-for 2016-13. In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement 2018-13”). 2018-13 2018-13 2018-13 2018-13 In August 2018, the FASB issued ASU No. 2018-15, Internal-Use Software (Subtopic 350-40) - Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract 2018-15”). 2018-15 2018-15 internal-use internal-use 2018-15 |
Property and Equipment, Net
Property and Equipment, Net | 6 Months Ended |
Jun. 30, 2019 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment, Net | 3. Property and Equipment, Net Property and equipment, net consisted of the following (in thousands): June 30, 2019 December 31, Computer software and hardware equipment $ 22,960 $ 20,427 Furniture, fixtures, and equipment 22,816 24,227 Less: accumulated depreciation and amortization (24,922 ) (25,104 ) $ 20,854 $ 19,550 During the six months ended June 30, 2019 and 2018, the Company wrote-off As of June 30, 2019 and 2018, property and equipment additions incurred but not yet paid included in accounts payable and other liabilities were $466,000 and $398,000, respectively. |
Operating Leases
Operating Leases | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Operating Leases | 4. Operating Leases The Company has operating leases for all of its facilities and autos. As of June 30, 2019, operating lease ROU assets were $103.3 million and the related accumulated amortization was $10.2 million. The operating lease cost consisted of the following (in thousands): Three Months June 30, 2019 Six Months June 30, 2019 Operating lease cost: Lease cost (1) $ 6,106 $ 12,015 Variable lease cost (2) 1,284 2,490 Sublease income (43 ) (131 ) $ 7,347 $ 14,374 (1) Includes short-term lease cost and ROU asset amortization. (2) Primarily relates to common area maintenance, property taxes, insurance, utilities and parking. Maturities of lease liabilities by fiscal year consisted of the following (in thousands): June 30, 2019 Remainder of 2019 $ 10,242 2020 20,469 2021 17,842 2022 13,820 2023 10,741 Thereafter 21,237 Total future minimum lease payments 94,351 Less imputed interest (9,522 ) Present value of operating lease liabilities $ 84,829 Supplemental cash flow information and noncash activity related to the operating leases consisted of the following (in thousands): Six Months Ended June 30, 2019 Operating cash flow information: Cash paid for amounts included in the measurement of operating lease liabilities $ 9,973 Noncash activity: ROU assets obtained in exchange for operating lease liabilities $ 16,264 Tenant improvements owned by lessor related to ROU assets (1) $ 2,532 (1) Reclassification from other assets current. Additional noncash activity in connection with the adoption of the new lease standard on January 1, 2019 included recording of $76.7 million of ROU assets and operating lease liabilities, and reclassifying $7.8 million in prepaid rent and deferred rent to ROU assets. Other information related to the operating leases consisted of the following: June 30, 2019 Weighted average remaining operating lease term 5.35 years Weighted average discount rate 3.9 % Prior to the adoption of the new leases standard (as previously disclosed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018), future minimum lease payments under non-cancelable operating leases for office facilities and autos with terms in excess of one year consisted of the following (in thousands): December 31, 2019 $ 19,649 2020 19,287 2021 16,833 2022 12,368 2023 8,805 Thereafter 10,452 $ 87,394 |
Investments in Marketable Secur
Investments in Marketable Securities | 6 Months Ended |
Jun. 30, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments in Marketable Securities | 5. Investments in Marketable Securities Amortized cost and fair value of marketable securities, available-for-sale, June 30, 2019 December 31, 2018 Amortized Gross Gross Fair Value Amortized Gross Gross Fair Value Short-term investments: U.S. treasuries $ 95,607 $ 143 $ — $ 95,750 $ 121,252 $ 7 $ (79 ) $ 121,180 U.S. government sponsored entities — — — — 3,512 — (7 ) 3,505 Corporate debt securities 23,137 26 (4 ) 23,159 11,962 — (11 ) 11,951 Asset-backed securities and other — — — — 806 — (6 ) 800 $ 118,744 $ 169 $ (4 ) $ 118,909 $ 137,532 $ 7 $ (103 ) $ 137,436 Long-term investments: U.S. treasuries $ 37,139 $ 393 $ (1 ) $ 37,531 $ 44,997 $ 128 $ (115 ) $ 45,010 U.S. government sponsored entities 1,478 — (18 ) 1,460 1,569 — (62 ) 1,507 Corporate debt securities 32,967 826 (5 ) 33,788 32,467 3 (633 ) 31,837 Asset-backed securities and other 7,464 91 (5 ) 7,550 4,889 12 (46 ) 4,855 $ 79,048 $ 1,310 $ (29 ) $ 80,329 $ 83,922 $ 143 $ (856 ) $ 83,209 The amortized cost and fair value of the Company’s investments in available-for-sale June 30, 2019 December 31, 2018 Unrealized Fair Value Unrealized Fair Value Less than 12 months $ (7 ) $ 9,825 $ (576 ) $ 127,326 12 months or longer $ (26 ) $ 4,045 $ (383 ) $ 30,609 Gross realized gains and gross realized losses from the sales of the Company’s available-for-sale Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Gross realized gains (1) $ 24 $ 12 $ 59 $ 12 Gross realized losses (1) $ — $ — $ (47 ) $ — (1) Recorded in other income (expense), net in the condensed consolidated statements of net and comprehensive income. The cost basis of securities sold were determined based on the specific identification method. As of June 30, 2019, the Company considers the declines in market value of its marketable securities, available-for-sale to be temporary in nature and does not consider any of its investments other-than-temporarily impaired. The Company has no current intent to sell, and it is not more likely than not that the Company will be required to sell these investments before recovery of their amortized cost basis, which may be at maturity. The Company may sell certain of its marketable securities, available-for-sale prior to their stated maturities for strategic reasons including, but not limited to, anticipated liquidity and capital requirements, anticipated credit deterioration, duration management or when a security no longer meets the criteria of the Company’s investment policy. Amortized cost and fair value of marketable securities, available-for-sale, June 30, 2019 December 31, 2018 Amortized Fair Value Amortized Fair Value Due in one year or less $ 118,744 $ 118,909 $ 137,532 $ 137,436 Due after one year through five years 58,273 59,002 61,875 61,846 Due after five years through ten years 15,941 16,451 17,310 16,747 Due after ten years 4,834 4,876 4,737 4,616 $ 197,792 $ 199,238 $ 221,454 $ 220,645 Weighted average contractual maturity 1.9 years 1.8 years Actual maturities may differ from contractual maturities because certain borrowers have the right to prepay certain obligations with or without prepayment penalties. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 6 Months Ended |
Jun. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | 6. Goodwill and Other Intangible Assets Goodwill and intangible assets, net consisted of the following (in thousands): June 30, 2019 December 31, 2018 Gross Accumulated Net Book Gross Accumulated Net Book Goodwill and intangible assets: Goodwill (1) $ 11,459 $ — $ 11,459 $ 11,459 $ — $ 11,459 Intangible assets (1) 4,240 (810 ) 3,430 4,240 (314 ) 3,926 $ 15,699 $ (810 ) $ 14,889 $ 15,699 $ (314 ) $ 15,385 (1) Represents additions from acquisitions. Estimated amortization expense for intangible assets for the next five years and thereafter consisted of the following (in thousands): June 30, 2019 Remainder of 2019 $ 410 2020 817 2021 734 2022 638 2023 508 Thereafter 323 $ 3,430 |
Selected Balance Sheet Data
Selected Balance Sheet Data | 6 Months Ended |
Jun. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Selected Balance Sheet Data | 7. Selected Balance Sheet Data Other Assets Other assets consisted of the following (in thousands): Current Non-Current June 30, 2019 December 31, June 30, 2019 December 31, Mortgage servicing rights (“MSRs”), net of amortization $ — $ — $ 2,099 $ 2,209 Due from independent contractors, net (1) (2) 2,288 3,831 46,328 27,157 Security deposits — — 1,301 1,196 Employee notes receivable (3) 151 156 264 370 Customer trust accounts and other 3,794 2,381 853 846 $ 6,233 $ 6,368 $ 50,845 $ 31,778 (1) Represents amounts advanced, notes receivable and other receivables due from the Company’s investment sales and financing professionals. The notes receivable along with interest are typically collected from future commissions and are generally due in one (2) Includes allowance for doubtful accounts related to current receivables of $398 and $514 as of June 30, 2019 and December 31, 2018, respectively. The Company recorded a provision for bad debt expense of $91 and $77 and wrote-off wrote-off (3) Reduction of accrued bonuses and other employee related expenses in settlement of employee notes receivable were $60 and $192 for the six months ended June 30, 2019 and 2018, respectively. See Note 9 – “Related-Party Transactions” for additional information. MSRs The net change in the carrying value of MSRs consisted of the following (in thousands): June 30, 2019 December 31, Beginning balance $ 2,209 $ — Additions from acquisition — 2,121 Additions 165 391 Amortization (275 ) (303 ) Ending balance $ 2,099 $ 2,209 The portfolio of loans serviced by the Company aggregated $1.5 billion and $1.6 billion as of June 30, 2019 and December 31, 2018, respectively. See Note 10 – “Fair Value Measurements” for additional information on MSRs. In connection with MSRs activities, the Company holds funds in escrow for the benefit of the lenders. These funds, which totaled $2.5 million and $2.1 million as of June 30, 2019 and December 31, 2018, respectively and the offsetting obligations, are not presented in the Company’s condensed consolidated financial statements as they do not represent assets and liabilities of the Company. Revenue from the fees on such accounts is included in financing revenue in the condensed consolidated statements of net and comprehensive income. Deferred Compensation and Commissions Deferred compensation and commissions consisted of the following (in thousands): Current Non-Current June 30, 2019 December 31, June 30, 2019 December 31, Stock appreciation rights (“SARs”) liability (1) $ 1,969 $ 1,810 $ 17,856 $ 19,299 Commissions payable to investment sales and financing professionals 28,218 44,812 13,939 23,983 Deferred compensation liability (1) 1,451 1,288 7,169 6,605 $ 31,638 $ 47,910 $ 38,964 $ 49,887 (1) The SARs and deferred compensation liability become subject to payout as a result of a participant no longer being considered as a service provider. As a result of the retirement of certain participants, estimated amounts to be paid to the participants within the next twelve months have been classified as current. SARs Liability Prior to the IPO, certain employees of the Company were granted SARs under a stock-based compensation program assumed by MMC. In connection with the IPO, the SARs agreements were revised, the MMC liability of $20.0 million for the SARs was frozen as of March 31, 2013 ten Under the revised agreements, MMI is required to accrue interest on the outstanding balance beginning on January 1, 2014 10-year Estimated payouts within the next twelve months for participants that have separated from service have been classified as current. During the six months ended June 30, 2019 and 2018, the Company made total payments of $1.7 million (consisting of principal and accumulated interest) and $1.5 million, respectively (consisting of accumulated interest). Commissions Payable Certain investment sales professionals have the ability to earn additional commissions after meeting certain annual revenue thresholds. These commissions are recognized as cost of services in the period in which they are earned as they relate to specific transactions closed. The Company has the ability to defer payment of certain commissions, at its election, for up to three years. Commissions payable that are not expected to be paid within twelve months are classified as long-term. Deferred Compensation Liability A select group of management is eligible to participate in the Marcus & Millichap Deferred Compensation Plan (the “Deferred Compensation Plan”). The Deferred Compensation Plan is a non-qualified in-service two The net change in the carrying value of the assets held in the rabbi trust and the net change in the carrying value of the deferred compensation liability, each exclusive of additional contributions, distributions and trust expenses, consisted of the following (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Increase in the carrying value of the assets held in the rabbi trust (1) $ 225 $ 176 $ 928 $ 190 Increase in the net carrying value of the deferred compensation obligation (2) $ 227 $ 188 $ 912 $ 188 (1) Recorded in other income (expense), net in the condensed consolidated statements of net and comprehensive income. (2) Recorded in selling, general and administrative expense in the condensed consolidated statements of net and comprehensive income. Deferred Rent and Other Liabilities Deferred rent and other liabilities consisted of the following (in thousands): Non-Current June 30, 2019 December 31, Deferred rent (1) $ — $ 5,445 Contingent consideration and other (2) 2,001 2,054 $ 2,001 $ 7,499 (1) The Company does not have deferred rent in 2019 due to adoption of the new lease standard on January 1, 2019. (2) The current portions of contingent consideration in the amounts of $853 and $821 as of June 30, 2019 and December 31, 2018, respectively, are included in accounts payable and other liabilities in the condensed consolidated balance sheets. |
Notes Payable to Former Stockho
Notes Payable to Former Stockholders | 6 Months Ended |
Jun. 30, 2019 | |
Payables and Accruals [Abstract] | |
Notes Payable to Former Stockholders | 8. Notes Payable to Former Stockholders In conjunction with the spin-off 2020 |
Related-Party Transactions
Related-Party Transactions | 6 Months Ended |
Jun. 30, 2019 | |
Related Party Transactions [Abstract] | |
Related-Party Transactions | 9. Related-Party Transactions Shared and Transition Services Certain services are provided to the Company under a Transition Services Agreement (“TSA”) between MMC and the Company. The TSA is intended to provide certain services until the Company acquires the services separately. Under the TSA, the Company incurred net costs during the three months ended June 30, 2019 and 2018 of $32,000 and $55,000, respectively, and during the six months ended June 30, 2019 and 2018 of $75,000 and $127,000, respectively. These amounts are included in selling, general and administrative expense in the accompanying condensed consolidated statements of net and comprehensive income. Brokerage and Financing Services with the Subsidiaries of MMC MMC has wholly or majority owned subsidiaries that buy and sell commercial real estate properties. The Company performs certain brokerage and financing services related to transactions of the subsidiaries of MMC. For the three months ended June 30, 2019 and 2018, the Company earned real estate brokerage commissions and financing fees of $1.9 million and $560,000, respectively, from transactions with subsidiaries of MMC related to these services. The Company incurred cost of services of $1.1 million and $321,000, respectively, related to these revenues. For the six months ended June 30, 2019 and 2018, the Company earned real estate brokerage commissions and financing fees of $2.8 million and $3.1 million, respectively, from transactions with subsidiaries of MMC related to these services. The Company incurred cost of services of $1.6 million and $1.8 million, respectively, related to these revenues. Operating Lease with MMC The Company has an operating lease with MMC for a single-story office building located in Palo Alto, California, which expires on May 31, 2022 Accounts Payable and Other Liabilities with MMC As of June 30, 2019 and December 31, 2018, accounts payable and other liabilities with MMC totaling $92,000 and $101,000, respectively, remain unpaid and are included in accounts payable and other liabilities in the accompanying condensed consolidated balance sheets. Other The Company makes advances to non-executive employees from time-to-time. At June 30, 2019 and December 31, 2018, the aggregate principal amount for employee notes receivable was $415,000 and $526,000, respectively, which is included in other assets (current and non-current), in the accompanying condensed consolidated balance sheets. See Note 7 – “Selected Balance Sheet Data” for additional information. As of June 30, 2019, George M. Marcus, the Company’s founder and Co-Chairman, |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 10. Fair Value Measurements U.S. GAAP defines the fair value of a financial instrument as the amount that would be received from the sale of an asset in an orderly transaction between market participants at the measurement date. The Company is responsible for the determination of the value of the investments carried at fair value and the supporting methodologies and assumptions. The Company uses various pricing sources and third parties to validate the values utilized. The degree of judgment used in measuring the fair value of financial instruments is generally inversely correlated with the level of observable valuation inputs. Financial instruments with quoted prices in active markets generally have more pricing observability, and less judgment is used in measuring fair value. Financial instruments for which no quoted prices are available have less observability and are measured at fair value using valuation models or other pricing techniques that require more judgment. Assets recorded at fair value are measured and classified in accordance with a fair value hierarchy consisting of the three “levels” based on the observability of inputs available in the marketplace used to measure the fair values as discussed below: Level 1: Level 2: Level 3: Recurring Fair Value Measurements The Company values its investments including commercial paper and floating NAV money market funds recorded in cash and cash equivalents, investments in marketable securities, available-for-sale, available-for-sale Fair values for assets held in the Rabbi Trust and related deferred compensation liability were determined based on the cash surrender value of the company owned variable life insurance policies and underlying investments in the trust, and are Level 2 and Level 1 measurements, respectively. Contingent consideration, in connection with acquisitions, is carried at fair value and determined on a contract-by-contract The Company values MSRs at fair value upon acquisition of a servicing contract. MSRs do not trade in an active, open market with readily observable prices, and are a Level 3 measurement. Assets and liabilities carried at fair value on a recurring basis consisted of the following (in thousands): June 30, 2019 December 31, 2018 Fair Value Level 1 Level 2 Level 3 Fair Value Level 1 Level 2 Level 3 Assets: Assets held in rabbi trust $ 9,119 $ — $ 9,119 $ — $ 8,268 $ — $ 8,268 $ — Cash equivalents (1) Commercial paper and other $ 1,496 $ — $ 1,496 $ — $ 1,599 $ 1,599 $ — $ — Money market funds 171,663 171,663 — — 163,126 163,126 — — $ 173,159 $ 171,663 $ 1,496 $ — $ 164,725 $ 164,725 $ — $ — Marketable securities, available-for-sale: Short-term investments: U.S. treasuries $ 95,750 $ 95,750 $ — $ — $ 121,180 $ 121,180 $ — $ — U.S. government sponsored entities — — — — 3,505 — 3,505 — Corporate debt securities 23,159 — 23,159 — 11,951 — 11,951 — Asset-backed securities and other — — — — 800 — 800 — $ 118,909 $ 95,750 $ 23,159 $ — $ 137,436 $ 121,180 $ 16,256 $ — Long-term investments: U.S. treasuries $ 37,531 $ 37,531 $ — $ — $ 45,010 $ 45,010 $ — $ — U.S. government sponsored entities 1,460 — 1,460 — 1,507 — 1,507 — Corporate debt securities 33,788 — 33,788 — 31,837 — 31,837 — Asset-backed securities and other 7,550 — 7,550 — 4,855 — 4,855 — $ 80,329 $ 37,531 $ 42,798 $ — $ 83,209 $ 45,010 $ 38,199 $ — Liabilities: Contingent consideration (2) $ 2,859 $ — $ — $ 2,859 $ 2,875 $ — $ — $ 2,875 Deferred compensation liability $ 8,620 $ 8,620 $ — $ — $ 7,893 $ 7,893 $ — $ — (1) Included in cash and cash equivalents on the accompanying condensed consolidated balance sheets. (2) Assuming the achievement of the applicable performance criteria, the Company anticipates these earn-out three seven-year A reconciliation of contingent consideration measured at fair value on a recurring basis consisted of the following (in thousands): June 30, 2019 December 31, Beginning balance $ 2,875 $ — Contingent consideration in connection with acquisitions — 2,674 Change in fair value of contingent consideration (16 ) 201 Payments of contingent consideration — — Ending balance $ 2,859 $ 2,875 Nonrecurring Fair Value Measurements The Company reviews the carrying value of MSRs, intangibles, goodwill and other assets for indications of impairment quarterly. When indications of potential impairment are identified, the Company may be required to determine the fair value of those assets and record an adjustment for the carrying amount in excess of the fair value determined. Any fair value determination would be based on valuation approaches appropriate in the circumstances and utilize Level 2 and Level 3 measurements as required. In accordance with U.S. GAAP, from time to time, the Company measures certain assets at fair value on a nonrecurring basis. MSRs are initially recorded at fair value based on internal models and are a Level 3 measurement. The Company’s MSRs do not trade in an active, open market with readily observable prices. The Company has elected the amortization method for the subsequent measurement of MSRs. The estimated fair value of the Company’s MSRs were developed using discounted cash flow models that calculate the present value of estimated future net servicing income. The model considers contractual provisions and assumptions of market participants including specified servicing fees, prepayment assumptions, delinquency rates, late charges, other ancillary revenue, costs to service, and other economic factors. The Company periodically reassesses and adjusts, when necessary, the underlying inputs and assumptions used in the model to reflect observable market conditions and assumptions that a market participant would consider in valuing an MSR asset. MSRs are carried at the lower of amortized cost or fair value. The fair value of the MSRs approximated the carrying value at June 30, 2019 and December 31, 2018. See Note 7 – “Selected Balance Sheet Data – Other Assets – MSR’s” for additional information. |
Stockholders' Equity
Stockholders' Equity | 6 Months Ended |
Jun. 30, 2019 | |
Federal Home Loan Banks [Abstract] | |
Stockholders' Equity | 11. Stockholders’ Equity Common Stock As of June 30, 2019 and December 31, 2018, there were 39,090,861 and 38,814,464 shares of common stock, $0.0001 par value, issued and outstanding, which includes unvested restricted stock awards issued to non-employee Preferred Stock The Company has 25,000,000 authorized shares of preferred stock with a par value $0.0001 per share. At June 30, 2019 and December 31, 2018, there were no preferred shares issued or outstanding. Accumulated Other Comprehensive Income/Loss Amounts reclassified from accumulated other comprehensive income/loss are included as a component of other income (expense), net in the condensed consolidated statements of net and comprehensive income. The reclassifications were determined on a specific identification basis. The Company has not provided for U.S. taxes on unremitted earnings of its foreign subsidiary as it is operating at a loss and has no earnings and profits to remit. As a result, deferred taxes were not provided related to the cumulative foreign currency translation adjustments. |
Stock-Based Compensation Plans
Stock-Based Compensation Plans | 6 Months Ended |
Jun. 30, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation Plans | 12. Stock-Based Compensation Plans 2013 Omnibus Equity Incentive Plan The Company’s board of directors adopted the 2013 Omnibus Equity Incentive Plan (the “2013 Plan”), which became effective upon the Company’s IPO. In February 2017 May 2017 non-employee Awards Granted and Settled Under the 2013 Plan, the Company has issued restricted stock awards (“RSAs”) to non-employee no During the six months ended June 30, 2019, 325,219 shares of RSUs were vested and delivered. Additionally, 70,386 shares of common stock were withheld to pay applicable required employee statutory withholding taxes based on the market value of the shares on the vesting date. The shares withheld for taxes were returned to the share reserve and are available for future issuance in accordance with provisions of the 2013 Plan. Outstanding Awards Activity under the 2013 Plan consisted of the following (dollars in thousands, except per share data): RSA Grants to Non-employee RSU Grants to RSU Grants to Total Weighted- Nonvested shares at December 31, 2018 27,096 471,782 392,697 891,575 $ 27.59 Granted February 2019 — 204,060 7,731 211,791 May 2019 10,542 32,926 7,026 50,494 Total Granted 10,542 236,986 14,757 262,285 40.07 Vested (22,422 ) (177,154 ) (148,065 ) (347,641 ) 23.00 Transferred — (8,136 ) 8,136 — 29.68 Forfeited/canceled — (3,277 ) (20,274 ) (23,551 ) 31.36 Nonvested shares at June 30, (1) 15,216 520,201 247,251 782,668 $ 33.70 Unrecognized stock-based compensation expense as of June 30, (2) $ 477 $ 15,847 $ 7,575 $ 23,899 Weighted average remaining vesting period (years) as of June 30, 2019 0.84 3.86 3.17 3.58 (1) Nonvested RSUs will be settled through the issuance of new shares of common stock. (2) The total unrecognized compensation expense is expected to be recognized over a weighted-average period of approximately 3.58 years. Employee Stock Purchase Plan In 2013, the Company adopted the 2013 Employee Stock Purchase Plan (“ESPP”). The ESPP qualifies under Section 423 of the Internal Revenue Code and provides for consecutive, non-overlapping 6-month The offering periods generally start on the first trading day on or after May 15 and November 15 of each year. 6 The ESPP initially had 366,667 shares of common stock reserved and 214,872 shares of common stock remain available for issuance at June 30, 2019. The ESPP provides for annual increases in the number of shares available for issuance under the ESPP, equal to the least of (i) 366,667 shares, (ii) 1% of the outstanding shares on such date, or (iii) an amount determined by the compensation committee of the Company’s board of directors. Pursuant to the provisions of the ESPP, the board of directors has determined to not provide for any annual increases to date. At June 30, 2019, total unrecognized compensation cost related to the ESPP was $61,000 and is expected to be recognized over a weighted average period of 0.38 years. SARs and Deferred Stock Units (“DSUs”) Prior to the IPO, certain employees were granted SARs. As of March 31, 2013, the outstanding SARs were frozen at the liability amount, and will be paid out to each participant in installments upon retirement or departure under the terms of the revised SARs agreements. To replace beneficial ownership in the SARs, the difference between the book value liability and the fair value of the awards was granted to plan participants in the form of DSUs, which were fully vested upon receipt and were settled in actual stock at a rate of 20% per year if the participant remained employed by the Company during that period (otherwise all unsettled shares of stock upon termination from service will be settled five years from the termination date, unless otherwise agreed to by the Company). In the event of death or termination of service after reaching the age of 67, 100% of the DSUs will be settled. Future share settlements of fully vested DSUs by year consisted of the following: June 30, 2021 60,373 2022 281,193 341,566 Summary of Stock-Based Compensation Components of stock-based compensation are included in selling, general and administrative expense in the condensed consolidated statements of net and comprehensive income consisted of the following (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Employee stock purchase plan $ 38 $ 24 $ 68 $ 63 RSAs – non-employee 154 165 324 276 RSUs – employees (1) 1,622 1,096 2,967 2,049 RSUs – independent contractors ( 2 ) 771 1,874 1,567 3,384 $ 2,585 $ 3,159 $ 4,926 $ 5,772 (1) 2019 includes expense related to the acceleration of vesting of certain RSUs. (2) The Company grants RSUs to independent contractors (i.e. investment sales and financing professionals), who are considered non-employees. 2018-07 non-employee |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 13. Income Taxes The Company’s effective tax rate for the three and six months ended June 30, 2019 was 28.5% and 27.7%, respectively, compared to 26.9% and 26.4% for the three and six months ended June 30, 2018, respectively. The Company provides for the effects of income taxes in interim financial statements based on the Company’s estimate of its annual effective tax rate for the full year, which is based on forecasted income by jurisdiction where the Company operates, adjusted for the tax effects of items that relate discretely to the period, if any. The provision for income taxes differs from the amount computed by applying the U.S. federal statutory rate to income before provision for income taxes and consisted of the following (dollars in thousands): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Amount Rate Amount Rate Amount Rate Amount Rate Income tax expense at the federal statutory rate $ 6,249 21.0 % $ 6,368 21.0 % $ 10,721 21.0 % $ 11,474 21.0 % State income tax expense, net of federal benefit 1,346 4.5 % 1,415 4.7 % 2,240 4.4 % 2,511 4.6 % Windfall tax benefits, net related to stock-based compensation 11 — (28 ) (0.1 )% (254 ) (0.5 )% (245 ) (0.5 )% Change in valuation allowance 200 0.7 % 74 0.2 % 466 0.9 % 121 0.2 % Permanent and other items (1) 672 2.3 % 326 1.1 % 962 1.9 % 596 1.1 % $ 8,478 28.5 % $ 8,155 26.9 % $ 14,135 27.7 % $ 14,457 26.4 % (1) Permanent items relate principally to compensation charges, qualified transportation fringe benefits and meals and entertainment. |
Earnings per Share
Earnings per Share | 6 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Earnings per Share | 14. Earnings per Share Basic and diluted earnings per share for the three and six months ended June 30, 2019 and 2018, respectively consisted of the following (in thousands, except per share data): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Numerator (Basic and Diluted): Net income $ 21,279 $ 22,167 $ 36,917 $ 40,178 Denominator: Basic Weighted average common shares issued and outstanding 39,073 38,606 39,035 38,576 Deduct: Unvested RSAs (1) (20 ) (31 ) (24 ) (31 ) Add: Fully vested DSUs (2) 342 579 342 579 Weighted Average Common Shares Outstanding 39,395 39,154 39,353 39,124 Basic earnings per common share $ 0.54 $ 0.57 $ 0.94 $ 1.03 Diluted Weighted Average Common Shares Outstanding from above 39,395 39,154 39,353 39,124 Add: Dilutive effect of RSUs, RSAs & ESPP 132 231 171 174 Weighted Average Common Shares Outstanding 39,527 39,385 39,524 39,298 Diluted earnings per common share $ 0.54 $ 0.56 $ 0.93 $ 1.02 Antidilutive shares excluded from diluted earnings per common share (3) 272 55 260 242 (1) RSAs were issued and outstanding to the non-employee (2) Shares are included in weighted average common shares outstanding as the shares are fully vested but have not yet been delivered. See Note 12 – “Stock-Based Compensation Plans” for additional information. (3) Primarily pertaining to RSU grants to the Company’s employees and independent contractors. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 15. Commitments and Contingencies Credit Agreement On June 18, 2014 June 1, 2014 (the “Credit Agreement”). The Credit Agreement provides for a $60.0 million principal amount senior secured revolving credit facility that is guaranteed by all of the Company’s domestic subsidiaries (the “Credit Facility”), which, as amended and restated, matures on June 1, 2022 Borrowings under the Credit Agreement are available for general corporate purposes and working capital. The Credit Facility includes a $10.0 million sublimit for the issuance of standby letters of credit of which $533,000 was utilized at June 30, 2019. Borrowings under the Credit Facility will bear interest, at the Company’s option, at either (i) a fluctuating rate per annum 2.00% below the Base Rate (defined as the highest of (a) the Bank’s prime rate, (b) one-month LIBOR plus 1.50 1.50 0.875 The Credit Facility contains customary covenants, including financial and other covenant reporting requirements and events of default. Financial covenants require the Company, on a combined basis with its guarantors, to maintain (i) an EBITDAR Coverage Ratio (as defined in the Credit Agreement) of not less than 1.25:1.0 as of each quarter end, determined on a rolling four-quarter basis, (ii) total funded debt to EBITDA not greater than 2.0:1.0 as of each quarter end, determined on a rolling four-quarter basis and (iii) limits investments in foreign entities and caps certain other loans. The Credit Facility is secured by substantially all assets of the Company, including pledges of 100% of the stock or other equity interest of each subsidiary except for the capital stock of a controlled foreign corporation (as defined in the Internal Revenue Code), in which case no such pledge is required. As of June 30, 2019, the Company was in compliance with all financial and non-financial covenants and has not experienced any limitation in its operations as a result of the covenants. Other In connection with certain agreements with current and prospective investment sales and financing professionals, the Company has commitments as of June 30, 2019 and December 31, 2018, aggregating $9.8 million and $1.0 million, respectively, including amounts committed to through the date these condensed consolidated financial statements were issued. These commitments are subject to various conditions and/or reaching of performance goals. |
Description of Business and B_2
Description of Business and Basis of Presentation (Policies) | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Description of Business | Description of Business Marcus & Millichap, Inc. (the “Company”, “Marcus & Millichap”, or “MMI”), a Delaware corporation, is a brokerage firm specializing in commercial real estate investment sales, financing, research and advisory services. As of June 30, 2019, MMI operated 80 offices in the United States and Canada through its wholly-owned subsidiaries, including the operations of Marcus & Millichap Capital Corporation. |
Reorganization and Initial Public Offering | Reorganization and Initial Public Offering MMI was formed in June 2013 in preparation for Marcus & Millichap Company (“MMC”) to spin-off October 30, 2013 |
Basis of Presentation | Basis of Presentation The financial information presented in the accompanying unaudited condensed consolidated financial statements, has been prepared in accordance with rules and regulations of the U.S. Securities and Exchange Commission (“SEC”) for quarterly reports on Form 10-Q 10-01 S-X. 10-K |
Consolidation | Consolidation The accompanying condensed consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. |
Use of Estimates | Use of Estimates The preparation of condensed consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the related disclosures 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. |
Segment Reporting | Segment Reporting The Company follows U.S. GAAP for segment reporting, which requires reporting information on operating segments in interim and annual financial statements. Substantially all of the Company’s operations involve the delivery of commercial real estate services to our customers including real estate investment sales, financing (including mortgage servicing rights revenue) and consulting and advisory services. Management makes operating decisions, assesses performance and allocates resources based on an ongoing review of these integrated operations, which constitute the Company’s only operating segment for financial reporting purposes. |
Reclassifications | Reclassifications Certain prior-period amounts in Note 13 – “Income Taxes” have been reclassified to conform to the current period presentation. These changes had no impact on the previously reported consolidated results of operations or any totals or subtotals therein. |
Leases | Leases The Company utilizes operating leases for all its facilities and autos. The Company determines if an arrangement is a lease at inception. Right-of-use non-current, non-current Operating lease ROU assets and liabilities are recognized on the commencement date based on the present value of lease payments over the lease term. Lease agreements may contain periods of free rent or reduced rent, predetermined fixed increases in the minimum rent and renewal or termination options, all impacting the determination of the lease term and lease payments to be used in calculating the lease liability. Certain facility leases provide for rental escalations related to increases in the lessors’ direct operating expenses. The Company uses the implicit rate in the lease when determinable. As most of the Company’s leases do not have a determinable implicit rate, the Company uses a derived incremental borrowing rate based on borrowing options under its credit agreement. The Company applies a spread over treasury rates for the indicated term of the lease based on the information available on the commencement date of the lease. The Company typically leases general purpose built-out The Company has lease agreements with lease and non-lease |
Concentration of Credit Risk | Concentration of Credit Risk Financial instruments that potentially subject the Company to a concentration of credit risk principally consist of cash and cash equivalents due from independent contractors (included under other assets, net current and other assets non-current), available-for-sale, non-current) available-for-sale To reduce its credit risk, the Company monitors the credit standing of the financial institutions and money market funds that represent amounts recorded as cash and cash equivalents. The Company historically has not experienced any significant losses related to cash and cash equivalents. The Company derives its revenues from a broad range of real estate investors, owners, and users in the United States and Canada, none of which individually represents a significant concentration of credit risk. The Company maintains allowances, as needed, for estimated credit losses based on management’s assessment of the likelihood of collection. For the six months ended June 30, 2019 and 2018, no transaction represented 10% or more of total revenues. Further, while one or more transactions may represent 10% or more of commissions receivable at any reporting date, amounts due are typically collected within 10 days of settlement and, therefore, do not expose the Company to significant credit risk. During the three and six months ended June 30, 2019 and 2018, the Company’s Canadian operations represented less than 1% of total revenues. During the three and six months ended June 30, 2019 and 2018, no office represented 10% or more of total revenues. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Adopted In February 2016, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2016-02, Leases The adoption of the new standard had a material impact on the Company’s condensed consolidated balance sheet, but did not have a material impact on the Company’s condensed consolidated statements of net and comprehensive income. The Company elected available practical expedients permitted under the guidance, which among other items, allow the Company to (i) carry forward its historical lease classification, (ii) not reassess leases for the definition of “lease” under the new standard, (iii) utilize a discount rate as of the effective date and (iv) not record leases that expired or were terminated prior to the effective date. The Company made an accounting policy election to account for lease and non-lease The Company implemented internal controls and key system functionality to enable the preparation of the required financial information. In March 2017, the FASB issued ASU No. 2017-08, Receivables – Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities 2017-08”). 2017-08 2017-08 Pending Adoption In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Losses 2016-13”). 2016-13 2016-13, available-for 2016-13. In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement 2018-13”). 2018-13 2018-13 2018-13 2018-13 In August 2018, the FASB issued ASU No. 2018-15, Internal-Use Software (Subtopic 350-40) - Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That is a Service Contract 2018-15”). 2018-15 2018-15 internal-use internal-use 2018-15 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property and Equipment, Net | Property and equipment, net consisted of the following (in thousands): June 30, 2019 December 31, Computer software and hardware equipment $ 22,960 $ 20,427 Furniture, fixtures, and equipment 22,816 24,227 Less: accumulated depreciation and amortization (24,922 ) (25,104 ) $ 20,854 $ 19,550 |
Operating Leases (Tables)
Operating Leases (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Leases [Abstract] | |
Schedule of Operating Lease Cost | The operating lease cost consisted of the following (in thousands): Three Months June 30, 2019 Six Months June 30, 2019 Operating lease cost: Lease cost (1) $ 6,106 $ 12,015 Variable lease cost (2) 1,284 2,490 Sublease income (43 ) (131 ) $ 7,347 $ 14,374 (1) Includes short-term lease cost and ROU asset amortization. (2) Primarily relates to common area maintenance, property taxes, insurance, utilities and parking. |
Maturities of lease liabilities | Maturities of lease liabilities by fiscal year consisted of the following (in thousands): June 30, 2019 Remainder of 2019 $ 10,242 2020 20,469 2021 17,842 2022 13,820 2023 10,741 Thereafter 21,237 Total future minimum lease payments 94,351 Less imputed interest (9,522 ) Present value of operating lease liabilities $ 84,829 |
Schedule of Future Minimum Lease Payments Under Non-cancelable Operating Leases | Supplemental cash flow information and noncash activity related to the operating leases consisted of the following (in thousands): Six Months Ended June 30, 2019 Operating cash flow information: Cash paid for amounts included in the measurement of operating lease liabilities $ 9,973 Noncash activity: ROU assets obtained in exchange for operating lease liabilities $ 16,264 Tenant improvements owned by lessor related to ROU assets (1) $ 2,532 (1) Reclassification from other assets current. |
Schedule of Supplemental Cash Flow Information and Noncash Activity Related to Operating Leases | Other information related to the operating leases consisted of the following: June 30, 2019 Weighted average remaining operating lease term 5.35 years Weighted average discount rate 3.9 % |
Schedule of Other Information Related to Operating Leases | Prior to the adoption of the new leases standard (as previously disclosed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2018), future minimum lease payments under non-cancelable operating leases for office facilities and autos with terms in excess of one year consisted of the following (in thousands): December 31, 2019 $ 19,649 2020 19,287 2021 16,833 2022 12,368 2023 8,805 Thereafter 10,452 $ 87,394 |
Investments in Marketable Sec_2
Investments in Marketable Securities (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Amortized Cost and Fair Value of Marketable Securities, Available-for-Sale, by Type of Security | Amortized cost and fair value of marketable securities, available-for-sale, June 30, 2019 December 31, 2018 Amortized Gross Gross Fair Value Amortized Gross Gross Fair Value Short-term investments: U.S. treasuries $ 95,607 $ 143 $ — $ 95,750 $ 121,252 $ 7 $ (79 ) $ 121,180 U.S. government sponsored entities — — — — 3,512 — (7 ) 3,505 Corporate debt securities 23,137 26 (4 ) 23,159 11,962 — (11 ) 11,951 Asset-backed securities and other — — — — 806 — (6 ) 800 $ 118,744 $ 169 $ (4 ) $ 118,909 $ 137,532 $ 7 $ (103 ) $ 137,436 Long-term investments: U.S. treasuries $ 37,139 $ 393 $ (1 ) $ 37,531 $ 44,997 $ 128 $ (115 ) $ 45,010 U.S. government sponsored entities 1,478 — (18 ) 1,460 1,569 — (62 ) 1,507 Corporate debt securities 32,967 826 (5 ) 33,788 32,467 3 (633 ) 31,837 Asset-backed securities and other 7,464 91 (5 ) 7,550 4,889 12 (46 ) 4,855 $ 79,048 $ 1,310 $ (29 ) $ 80,329 $ 83,922 $ 143 $ (856 ) $ 83,209 |
Amortized Cost and Fair Value of Investments in Available for Sale Securities | The amortized cost and fair value of the Company’s investments in available-for-sale June 30, 2019 December 31, 2018 Unrealized Fair Value Unrealized Fair Value Less than 12 months $ (7 ) $ 9,825 $ (576 ) $ 127,326 12 months or longer $ (26 ) $ 4,045 $ (383 ) $ 30,609 |
Gross Realized Gains and Losses from Sale of Available for Sale Securities | Gross realized gains and gross realized losses from the sales of the Company’s available-for-sale Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Gross realized gains (1) $ 24 $ 12 $ 59 $ 12 Gross realized losses (1) $ — $ — $ (47 ) $ — (1) Recorded in other income (expense), net in the condensed consolidated statements of net and comprehensive income. The cost basis of securities sold were determined based on the specific identification method. |
Schedule of Amortized Cost and Fair Value of Marketable Securities, Available-for-Sale, by Contractual Maturity | June 30, 2019 December 31, 2018 Amortized Fair Value Amortized Fair Value Due in one year or less $ 118,744 $ 118,909 $ 137,532 $ 137,436 Due after one year through five years 58,273 59,002 61,875 61,846 Due after five years through ten years 15,941 16,451 17,310 16,747 Due after ten years 4,834 4,876 4,737 4,616 $ 197,792 $ 199,238 $ 221,454 $ 220,645 Weighted average contractual maturity 1.9 years 1.8 years |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of Goodwill and Intangible Assets | Goodwill and intangible assets, net consisted of the following (in thousands): June 30, 2019 December 31, 2018 Gross Accumulated Net Book Gross Accumulated Net Book Goodwill and intangible assets: Goodwill (1) $ 11,459 $ — $ 11,459 $ 11,459 $ — $ 11,459 Intangible assets (1) 4,240 (810 ) 3,430 4,240 (314 ) 3,926 $ 15,699 $ (810 ) $ 14,889 $ 15,699 $ (314 ) $ 15,385 (1) Represents additions from acquisitions. |
Schedule of Estimated Amortization Expense for Intangible Assets | Estimated amortization expense for intangible assets for the next five years and thereafter consisted of the following (in thousands): June 30, 2019 Remainder of 2019 $ 410 2020 817 2021 734 2022 638 2023 508 Thereafter 323 $ 3,430 |
Selected Balance Sheet Data (Ta
Selected Balance Sheet Data (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Other Assets | Other assets consisted of the following (in thousands): Current Non-Current June 30, 2019 December 31, June 30, 2019 December 31, Mortgage servicing rights (“MSRs”), net of amortization $ — $ — $ 2,099 $ 2,209 Due from independent contractors, net (1) (2) 2,288 3,831 46,328 27,157 Security deposits — — 1,301 1,196 Employee notes receivable (3) 151 156 264 370 Customer trust accounts and other 3,794 2,381 853 846 $ 6,233 $ 6,368 $ 50,845 $ 31,778 (1) Represents amounts advanced, notes receivable and other receivables due from the Company’s investment sales and financing professionals. The notes receivable along with interest are typically collected from future commissions and are generally due in one (2) Includes allowance for doubtful accounts related to current receivables of $398 and $514 as of June 30, 2019 and December 31, 2018, respectively. The Company recorded a provision for bad debt expense of $91 and $77 and wrote-off wrote-off (3) Reduction of accrued bonuses and other employee related expenses in settlement of employee notes receivable were $60 and $192 for the six months ended June 30, 2019 and 2018, respectively. See Note 9 – “Related-Party Transactions” for additional information. |
Summary of Net Change in Carrying Value of MSRs | The net change in the carrying value of MSRs consisted of the following (in thousands): June 30, 2019 December 31, Beginning balance $ 2,209 $ — Additions from acquisition — 2,121 Additions 165 391 Amortization (275 ) (303 ) Ending balance $ 2,099 $ 2,209 |
Components of Deferred Compensation and Commissions | Deferred compensation and commissions consisted of the following (in thousands): Current Non-Current June 30, 2019 December 31, June 30, 2019 December 31, Stock appreciation rights (“SARs”) liability (1) $ 1,969 $ 1,810 $ 17,856 $ 19,299 Commissions payable to investment sales and financing professionals 28,218 44,812 13,939 23,983 Deferred compensation liability (1) 1,451 1,288 7,169 6,605 $ 31,638 $ 47,910 $ 38,964 $ 49,887 (1) The SARs and deferred compensation liability become subject to payout as a result of a participant no longer being considered as a service provider. As a result of the retirement of certain participants, estimated amounts to be paid to the participants within the next twelve months have been classified as current. |
Summary of Net Change in Carrying Value of Assets Held in Rabbi Trust and Deferred Compensation Liability | The net change in the carrying value of the assets held in the rabbi trust and the net change in the carrying value of the deferred compensation liability, each exclusive of additional contributions, distributions and trust expenses, consisted of the following (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Increase in the carrying value of the assets held in the rabbi trust (1) $ 225 $ 176 $ 928 $ 190 Increase in the net carrying value of the deferred compensation obligation (2) $ 227 $ 188 $ 912 $ 188 (1) Recorded in other income (expense), net in the condensed consolidated statements of net and comprehensive income. (2) Recorded in selling, general and administrative expense in the condensed consolidated statements of net and comprehensive income. |
Summary of Deferred Rent and Other Liabilities | Deferred rent and other liabilities consisted of the following (in thousands): Non-Current June 30, 2019 December 31, Deferred rent (1) $ — $ 5,445 Contingent consideration and other (2) 2,001 2,054 $ 2,001 $ 7,499 (1) The Company does not have deferred rent in 2019 due to adoption of the new lease standard on January 1, 2019. (2) The current portions of contingent consideration in the amounts of $853 and $821 as of June 30, 2019 and December 31, 2018, respectively, are included in accounts payable and other liabilities in the condensed consolidated balance sheets. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets and liabilities at Fair Value on Recurring Basis | Assets and liabilities carried at fair value on a recurring basis consisted of the following (in thousands): June 30, 2019 December 31, 2018 Fair Value Level 1 Level 2 Level 3 Fair Value Level 1 Level 2 Level 3 Assets: Assets held in rabbi trust $ 9,119 $ — $ 9,119 $ — $ 8,268 $ — $ 8,268 $ — Cash equivalents (1) Commercial paper and other $ 1,496 $ — $ 1,496 $ — $ 1,599 $ 1,599 $ — $ — Money market funds 171,663 171,663 — — 163,126 163,126 — — $ 173,159 $ 171,663 $ 1,496 $ — $ 164,725 $ 164,725 $ — $ — Marketable securities, available-for-sale: Short-term investments: U.S. treasuries $ 95,750 $ 95,750 $ — $ — $ 121,180 $ 121,180 $ — $ — U.S. government sponsored entities — — — — 3,505 — 3,505 — Corporate debt securities 23,159 — 23,159 — 11,951 — 11,951 — Asset-backed securities and other — — — — 800 — 800 — $ 118,909 $ 95,750 $ 23,159 $ — $ 137,436 $ 121,180 $ 16,256 $ — Long-term investments: U.S. treasuries $ 37,531 $ 37,531 $ — $ — $ 45,010 $ 45,010 $ — $ — U.S. government sponsored entities 1,460 — 1,460 — 1,507 — 1,507 — Corporate debt securities 33,788 — 33,788 — 31,837 — 31,837 — Asset-backed securities and other 7,550 — 7,550 — 4,855 — 4,855 — $ 80,329 $ 37,531 $ 42,798 $ — $ 83,209 $ 45,010 $ 38,199 $ — Liabilities: Contingent consideration (2) $ 2,859 $ — $ — $ 2,859 $ 2,875 $ — $ — $ 2,875 Deferred compensation liability $ 8,620 $ 8,620 $ — $ — $ 7,893 $ 7,893 $ — $ — (1) Included in cash and cash equivalents on the accompanying condensed consolidated balance sheets. (2) Assuming the achievement of the applicable performance criteria, the Company anticipates these earn-out three seven-year A reconciliation of contingent consideration measured at fair value on a recurring basis consisted of the following (in thousands): |
Schedule of Reconciliation of Contingent Consideration Measured at Fair Value on Recurring Basis | (2) Assuming the achievement of the applicable performance criteria, the Company anticipates these earn-out three seven-year A reconciliation of contingent consideration measured at fair value on a recurring basis consisted of the following (in thousands): June 30, 2019 December 31, Beginning balance $ 2,875 $ — Contingent consideration in connection with acquisitions — 2,674 Change in fair value of contingent consideration (16 ) 201 Payments of contingent consideration — — Ending balance $ 2,859 $ 2,875 |
Stock-Based Compensation Plans
Stock-Based Compensation Plans (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Outstanding Awards Under 2013 Omnibus Equity Incentive Plan | Activity under the 2013 Plan consisted of the following (dollars in thousands, except per share data): RSA Grants to Non-employee RSU Grants to RSU Grants to Total Weighted- Nonvested shares at December 31, 2018 27,096 471,782 392,697 891,575 $ 27.59 Granted February 2019 — 204,060 7,731 211,791 May 2019 10,542 32,926 7,026 50,494 Total Granted 10,542 236,986 14,757 262,285 40.07 Vested (22,422 ) (177,154 ) (148,065 ) (347,641 ) 23.00 Transferred — (8,136 ) 8,136 — 29.68 Forfeited/canceled — (3,277 ) (20,274 ) (23,551 ) 31.36 Nonvested shares at June 30, (1) 15,216 520,201 247,251 782,668 $ 33.70 Unrecognized stock-based compensation expense as of June 30, (2) $ 477 $ 15,847 $ 7,575 $ 23,899 Weighted average remaining vesting period (years) as of June 30, 2019 0.84 3.86 3.17 3.58 (1) Nonvested RSUs will be settled through the issuance of new shares of common stock. (2) The total unrecognized compensation expense is expected to be recognized over a weighted-average period of approximately 3.58 years. |
Schedule of Future Share Settlements | Future share settlements of fully vested DSUs by year consisted of the following: June 30, 2021 60,373 2022 281,193 341,566 |
Stock-Based Compensation Expense | Components of stock-based compensation are included in selling, general and administrative expense in the condensed consolidated statements of net and comprehensive income consisted of the following (in thousands): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Employee stock purchase plan $ 38 $ 24 $ 68 $ 63 RSAs – non-employee 154 165 324 276 RSUs – employees (1) 1,622 1,096 2,967 2,049 RSUs – independent contractors ( 2 ) 771 1,874 1,567 3,384 $ 2,585 $ 3,159 $ 4,926 $ 5,772 (1) 2019 includes expense related to the acceleration of vesting of certain RSUs. (2) The Company grants RSUs to independent contractors (i.e. investment sales and financing professionals), who are considered non-employees. 2018-07 non-employee |
Income Taxes (Tables)
Income Taxes (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Components of Provision for Income Taxes and Income before Provision for Income Taxes | The provision for income taxes differs from the amount computed by applying the U.S. federal statutory rate to income before provision for income taxes and consisted of the following (dollars in thousands): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Amount Rate Amount Rate Amount Rate Amount Rate Income tax expense at the federal statutory rate $ 6,249 21.0 % $ 6,368 21.0 % $ 10,721 21.0 % $ 11,474 21.0 % State income tax expense, net of federal benefit 1,346 4.5 % 1,415 4.7 % 2,240 4.4 % 2,511 4.6 % Windfall tax benefits, net related to stock-based compensation 11 — (28 ) (0.1 )% (254 ) (0.5 )% (245 ) (0.5 )% Change in valuation allowance 200 0.7 % 74 0.2 % 466 0.9 % 121 0.2 % Permanent and other items (1) 672 2.3 % 326 1.1 % 962 1.9 % 596 1.1 % $ 8,478 28.5 % $ 8,155 26.9 % $ 14,135 27.7 % $ 14,457 26.4 % (1) Permanent items relate principally to compensation charges, qualified transportation fringe benefits and meals and entertainment. |
Earnings per Share (Tables)
Earnings per Share (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Earnings Per Share, Including Antidilutive Securities Excluded from Computation of Earnings Per Share | Basic and diluted earnings per share for the three and six months ended June 30, 2019 and 2018, respectively consisted of the following (in thousands, except per share data): Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 Numerator (Basic and Diluted): Net income $ 21,279 $ 22,167 $ 36,917 $ 40,178 Denominator: Basic Weighted average common shares issued and outstanding 39,073 38,606 39,035 38,576 Deduct: Unvested RSAs (1) (20 ) (31 ) (24 ) (31 ) Add: Fully vested DSUs (2) 342 579 342 579 Weighted Average Common Shares Outstanding 39,395 39,154 39,353 39,124 Basic earnings per common share $ 0.54 $ 0.57 $ 0.94 $ 1.03 Diluted Weighted Average Common Shares Outstanding from above 39,395 39,154 39,353 39,124 Add: Dilutive effect of RSUs, RSAs & ESPP 132 231 171 174 Weighted Average Common Shares Outstanding 39,527 39,385 39,524 39,298 Diluted earnings per common share $ 0.54 $ 0.56 $ 0.93 $ 1.02 Antidilutive shares excluded from diluted earnings per common share (3) 272 55 260 242 (1) RSAs were issued and outstanding to the non-employee (2) Shares are included in weighted average common shares outstanding as the shares are fully vested but have not yet been delivered. See Note 12 – “Stock-Based Compensation Plans” for additional information. (3) Primarily pertaining to RSU grants to the Company’s employees and independent contractors. |
Description of Business and B_3
Description of Business and Basis of Presentation - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2019Office | |
Class of Stock [Line Items] | |
Number of offices in the United States and Canada | 80 |
Formation date | 2013-06 |
Percentage of common stock distributed | 80.00% |
IPO MMI [Member] | |
Class of Stock [Line Items] | |
IPO completion date | Oct. 30, 2013 |
Accounting Policies and Recen_2
Accounting Policies and Recent Accounting Pronouncements - Additional Information (Detail) | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2019USD ($)Office | Jun. 30, 2018Office | Jun. 30, 2019USD ($)Office | Jun. 30, 2018Office | Jan. 01, 2019USD ($) | Dec. 31, 2018USD ($) | |
Accounting Policies [Line Items] | ||||||
Commission's receivable settled period | 10 days | |||||
Number of offices | Office | 80 | |||||
Operating lease right-of-use assets | $ 93,090,000 | $ 93,090,000 | $ 0 | |||
Operating lease liabilities | 84,829,000 | 84,829,000 | ||||
Prepaid Rent Reclassified to Other Assets, Current | 6,233,000 | 6,233,000 | 6,368,000 | |||
Marketable securities, available for sale | $ 199,238,000 | $ 199,238,000 | $ 220,645,000 | |||
Customer Concentration Risk [Member] | Total revenues [Member] | ||||||
Accounting Policies [Line Items] | ||||||
Concentration risk percentage | 10.00% | 10.00% | ||||
Customer Concentration Risk [Member] | Commissions receivable [Member] | ||||||
Accounting Policies [Line Items] | ||||||
Concentration risk percentage | 10.00% | 10.00% | ||||
Geographic Concentration Risk [Member] | Total revenues [Member] | ||||||
Accounting Policies [Line Items] | ||||||
Concentration risk percentage | 10.00% | 10.00% | 10.00% | 10.00% | ||
Number of offices | Office | 0 | 0 | 0 | 0 | ||
Accounting Standards Update 2016-02 [Member] | ||||||
Accounting Policies [Line Items] | ||||||
Operating lease right-of-use assets | $ 76,700,000 | |||||
Operating lease liabilities | 76,700,000 | |||||
Prepaid Rent Reclassified to Other Assets, Current | 462,000 | |||||
Accounting Standards Update 2016-02 [Member] | Deferred rent reclassified to Operating Lease ROU Asset [Member] | ||||||
Accounting Policies [Line Items] | ||||||
Operating lease right-of-use assets | 5,600,000 | |||||
Accounting Standards Update 2016-02 [Member] | Prepaid rent reclassified to Operating Lease ROU Asset [Member] | ||||||
Accounting Policies [Line Items] | ||||||
Operating lease right-of-use assets | $ 13,400,000 | |||||
Accounting Standards Update 2018-13 [Member] | ||||||
Accounting Policies [Line Items] | ||||||
Contingent consideration liability | $ 2,900,000 | $ 2,900,000 | ||||
Average AA+ Credit Rating [Member] | Accounting Standards Update 2016-13 [Member] | ||||||
Accounting Policies [Line Items] | ||||||
Marketable securities, available for sale | $ 199,200,000 | $ 199,200,000 | ||||
Maximum [Member] | Geographic Concentration Risk [Member] | Total revenues [Member] | International Revenues [Member] | ||||||
Accounting Policies [Line Items] | ||||||
Concentration risk percentage | 1.00% | 1.00% | 1.00% | 1.00% |
Property and Equipment, Net - S
Property and Equipment, Net - Schedule of Property and Equipment, Net (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Property, Plant and Equipment [Line Items] | ||
Less: accumulated depreciation and amortization | $ (24,922) | $ (25,104) |
Property and equipment, net | 20,854 | 19,550 |
Computer software and hardware equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment | 22,960 | 20,427 |
Furniture, fixtures, and equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment | $ 22,816 | $ 24,227 |
Property and Equipment, Net - A
Property and Equipment, Net - Additional Information (Detail) - USD ($) | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Property, Plant and Equipment [Abstract] | ||
Fully depreciated computer software and hardware equipment and furniture, fixtures and equipment write-off | $ 3,100,000 | $ 800,000 |
Property and equipment additions incurred but not yet paid | $ 466,000 | $ 398,000 |
Operating Leases - Additional I
Operating Leases - Additional Information (Detail) - USD ($) $ in Millions | Jan. 01, 2019 | Jun. 30, 2019 |
Leases [Abstract] | ||
Operating lease right-of-use assets | $ 103.3 | |
Operating lease right-of-use assets, accumulated amortization | $ 10.2 | |
ROU assets and operating lease liabilities in connection with adoption of new lease standard | $ 76.7 | |
Reclassification of prepaid rent and deferred rent to ROU assets in connection with adoption of new lease standard | $ 7.8 |
Operating Leases - Schedule of
Operating Leases - Schedule of Operating Lease Cost (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended |
Jun. 30, 2019 | Jun. 30, 2019 | |
Operating lease cost: | ||
Lease cost | $ 6,106 | $ 12,015 |
Variable lease cost | 1,284 | 2,490 |
Sublease income | (43) | (131) |
Total operating lease cost | $ 7,347 | $ 14,374 |
Operating Leases - Maturities o
Operating Leases - Maturities of lease liabilities (Detail) $ in Thousands | Jun. 30, 2019USD ($) |
Lessee, Operating Lease, Liability, Payment, Due [Abstract] | |
Remainder of 2019 | $ 10,242 |
2020 | 20,469 |
2021 | 17,842 |
2022 | 13,820 |
2023 | 10,741 |
Thereafter | 21,237 |
Total future minimum lease payments | 94,351 |
Less imputed interest | (9,522) |
Present value of operating lease liabilities | $ 84,829 |
Operating Leases - Schedule o_2
Operating Leases - Schedule of Supplemental Cash Flow Information and Noncash Activity Related to Operating Leases (Detail) $ in Thousands | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Operating cash flow information: | |
Cash paid for amounts included in the measurement of operating lease liabilities | $ 9,973 |
Noncash activity: | |
ROU assets obtained in exchange for operating lease liabilities | 16,264 |
Tenant improvements owned by lessor related to ROU assets | $ 2,532 |
Operating Leases - Schedule o_3
Operating Leases - Schedule of Other Information Related to Operating Leases (Detail) | Jun. 30, 2019 |
Leases, Operating [Abstract] | |
Weighted average remaining operating lease term | 5 years 4 months 6 days |
Weighted average discount rate | 3.90% |
Operating Leases - Schedule o_4
Operating Leases - Schedule of Future Minimum Lease Payments Under Non-cancelable Operating Leases (Detail) $ in Thousands | Dec. 31, 2018USD ($) |
Leases, Operating [Abstract] | |
2019 | $ 19,649 |
2020 | 19,287 |
2021 | 16,833 |
2022 | 12,368 |
2023 | 8,805 |
Thereafter | 10,452 |
Total future minimum lease payments | $ 87,394 |
Investments in Marketable Sec_3
Investments in Marketable Securities - Schedule of Amortized Cost and Fair Value of Marketable Securities, Available-for-Sale, by Type of Security (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | $ 197,792 | $ 221,454 |
Fair Value | 199,238 | 220,645 |
Short-term investments [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 118,744 | 137,532 |
Gross Unrealized Gains | 169 | 7 |
Gross Unrealized Losses | (4) | (103) |
Fair Value | 118,909 | 137,436 |
Short-term investments [Member] | U.S. Treasuries [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 95,607 | 121,252 |
Gross Unrealized Gains | 143 | 7 |
Gross Unrealized Losses | 0 | (79) |
Fair Value | 95,750 | 121,180 |
Short-term investments [Member] | U.S. Government Sponsored Entities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 0 | 3,512 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | (7) |
Fair Value | 0 | 3,505 |
Short-term investments [Member] | Corporate debt securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 23,137 | 11,962 |
Gross Unrealized Gains | 26 | 0 |
Gross Unrealized Losses | (4) | (11) |
Fair Value | 23,159 | 11,951 |
Short-term investments [Member] | Asset-backed securities and other [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 0 | 806 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | (6) |
Fair Value | 0 | 800 |
Long-term marketable securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 79,048 | 83,922 |
Gross Unrealized Gains | 1,310 | 143 |
Gross Unrealized Losses | (29) | (856) |
Fair Value | 80,329 | 83,209 |
Long-term marketable securities [Member] | U.S. Treasuries [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 37,139 | 44,997 |
Gross Unrealized Gains | 393 | 128 |
Gross Unrealized Losses | (1) | (115) |
Fair Value | 37,531 | 45,010 |
Long-term marketable securities [Member] | U.S. Government Sponsored Entities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 1,478 | 1,569 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (18) | (62) |
Fair Value | 1,460 | 1,507 |
Long-term marketable securities [Member] | Corporate debt securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 32,967 | 32,467 |
Gross Unrealized Gains | 826 | 3 |
Gross Unrealized Losses | (5) | (633) |
Fair Value | 33,788 | 31,837 |
Long-term marketable securities [Member] | Asset-backed securities and other [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized Cost | 7,464 | 4,889 |
Gross Unrealized Gains | 91 | 12 |
Gross Unrealized Losses | (5) | (46) |
Fair Value | $ 7,550 | $ 4,855 |
Investments in Marketable Sec_4
Investments in Marketable Securities - Amortized Cost and Fair Value of Investments in Available for Sale Securities (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Investments, Debt and Equity Securities [Abstract] | ||
Available for sale securities continuous unrealized loss position for less than 12 months, unrealized loss | $ (7) | $ (576) |
Available for sale securities continuous unrealized loss position for 12 months or longer, unrealized loss | (26) | (383) |
Available for sale securities continuous unrealized loss position for less than 12 months, fair value | 9,825 | 127,326 |
Available for sale securities continuous unrealized loss position for 12 months or longer, fair value | $ 4,045 | $ 30,609 |
Investments in Marketable Sec_5
Investments in Marketable Securities - Gross Realized Gains and Losses from Sale of Available for Sale Securities (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Investments, Debt and Equity Securities [Abstract] | ||||
Gross realized gains | $ 24 | $ 12 | $ 59 | $ 12 |
Gross realized losses | $ 0 | $ 0 | $ (47) | $ 0 |
Investments in Marketable Sec_6
Investments in Marketable Securities - Schedule of Amortized Cost and Fair Value of Marketable Securities, Available-for-Sale, by Contractual Maturity (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2019 | Dec. 31, 2018 | |
Investments, Debt and Equity Securities [Abstract] | ||
Due in one year or less, Amortized Cost | $ 118,744 | $ 137,532 |
Due after one year through five years, Amortized Cost | 58,273 | 61,875 |
Due after five years through ten years, Amortized Cost | 15,941 | 17,310 |
Due after ten years, Amortized Cost | 4,834 | 4,737 |
Amortized Cost | 197,792 | 221,454 |
Due in one year or less, Fair Value | 118,909 | 137,436 |
Due after one year through five years, Fair Value | 59,002 | 61,846 |
Due after five years through ten years, Fair Value | 16,451 | 16,747 |
Due after ten years, Fair Value | 4,876 | 4,616 |
Total Fair Value | $ 199,238 | $ 220,645 |
Weighted average contractual maturity | 1 year 10 months 24 days | 1 year 9 months 18 days |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets - Summary of Goodwill and Intangible Assets (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Goodwill, gross carrying amount | $ 11,459 | $ 11,459 |
Intangible assets, gross carrying amount | 4,240 | 4,240 |
Goodwill and intangible assets, gross carrying amount, total | 15,699 | 15,699 |
Intangible assets, accumulated amortization | (810) | (314) |
Goodwill, net book value | 11,459 | 11,459 |
Intangible assets, net book value | 3,430 | 3,926 |
Goodwill and intangible assets, net book value | $ 14,889 | $ 15,385 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets - Schedule of Estimated Amortization Expense for Intangible Assets (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | ||
Remainder of 2019 | $ 410 | |
2020 | 817 | |
2021 | 734 | |
2022 | 638 | |
2023 | 508 | |
Thereafter | 323 | |
Total | $ 3,430 | $ 3,926 |
Selected Balance Sheet Data - S
Selected Balance Sheet Data - Schedule of Other Assets (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Other Assets [Line Items] | ||
Other assets Current | $ 6,233 | $ 6,368 |
Other assets Non-Current | 50,845 | 31,778 |
Mortgage servicing rights [Member] | ||
Other Assets [Line Items] | ||
Other assets Current | 0 | 0 |
Other assets Non-Current | 2,099 | 2,209 |
Due from independent contractors, net [Member] | ||
Other Assets [Line Items] | ||
Other assets Current | 2,288 | 3,831 |
Other assets Non-Current | 46,328 | 27,157 |
Security deposits [Member] | ||
Other Assets [Line Items] | ||
Other assets Current | 0 | 0 |
Other assets Non-Current | 1,301 | 1,196 |
Employee Notes Receivable [Member] | ||
Other Assets [Line Items] | ||
Other assets Current | 151 | 156 |
Other assets Non-Current | 264 | 370 |
Customer trust accounts and other [Member] | ||
Other Assets [Line Items] | ||
Other assets Current | 3,794 | 2,381 |
Other assets Non-Current | $ 853 | $ 846 |
Selected Balance Sheet Data -_2
Selected Balance Sheet Data - Schedule of Other Assets (Parenthetical) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Other Assets [Line Items] | |||||
Allowance of doubtful accounts | $ 398 | $ 398 | $ 514 | ||
Provision (recovery) for bad debt expense | 91 | $ 77 | (13) | $ (29) | |
Write-off receivables | $ 100 | $ 4 | 103 | 55 | |
Reduction of accrued bonuses and other employee related expenses in settlement of employee notes receivable | $ 60 | $ 192 | |||
Minimum [Member] | |||||
Other Assets [Line Items] | |||||
Notes receivable due period | 1 year | ||||
Maximum [Member] | |||||
Other Assets [Line Items] | |||||
Notes receivable due period | 5 years |
Selected Balance Sheet Data -_3
Selected Balance Sheet Data - Summary of Net Change in Carrying Value of MSRs (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2019 | Dec. 31, 2018 | |
Servicing Asset at Amortized Cost, Balance [Roll Forward] | ||
Beginning balance | $ 2,209 | $ 0 |
Additions from acquisition | 0 | 2,121 |
Additions | 165 | 391 |
Amortization | (275) | (303) |
Ending balance | $ 2,099 | $ 2,209 |
Selected Balance Sheet Data - A
Selected Balance Sheet Data - Additional Information (Detail) | Jan. 01, 2019 | Jan. 01, 2018 | Jan. 01, 2014 | Jun. 30, 2019USD ($) | Jun. 30, 2018USD ($) | Jun. 30, 2019USD ($)Installments | Jun. 30, 2018USD ($) | Dec. 31, 2018USD ($) | Mar. 31, 2013USD ($) |
Schedule Of Accrued Expenses [Line Items] | |||||||||
Servicing portfolio of commercial real estate loans, unpaid principal balance | $ 1,500,000,000 | $ 1,500,000,000 | $ 1,600,000,000 | ||||||
SARs frozen liability amount | 17,856,000 | 17,856,000 | 19,299,000 | ||||||
Interest expense | 340,000 | $ 352,000 | $ 689,000 | $ 712,000 | |||||
Maximum payment deferral period for certain commissions payable | 3 years | ||||||||
Mortgage servicing rights [Member] | |||||||||
Schedule Of Accrued Expenses [Line Items] | |||||||||
Escrow Funds | 2,500,000 | $ 2,500,000 | $ 2,100,000 | ||||||
SARs [Member] | |||||||||
Schedule Of Accrued Expenses [Line Items] | |||||||||
SARs frozen liability amount | $ 20,000,000 | ||||||||
SARs liability frozen value date | Mar. 31, 2013 | ||||||||
SARs liability number of annual installments | Installments | 10 | ||||||||
SARs liability interest accrual commencement date | Jan. 1, 2014 | ||||||||
SARs liability interest accrual rates | 4.684% | 4.409% | |||||||
Interest expense | $ 226,000 | $ 224,000 | $ 452,000 | 449,000 | |||||
Treasury note term | 10 years | ||||||||
Base spread on SARs liability variable rate | 2.00% | ||||||||
Estimated payouts description | Estimated payouts within the next twelve months for participants that have separated from service have been classified as current. | ||||||||
Payments made during the period | $ 1,700,000 | 1,500,000 | |||||||
Deferred Compensation Liability [Member] | |||||||||
Schedule Of Accrued Expenses [Line Items] | |||||||||
Estimated payouts description | Estimated payouts within the next twelve months for participants that have separated from service or elected in service payout have been classified as current. | ||||||||
Deferred Compensation Liability, Minimum Payout Period | 2 years | ||||||||
Deferred Compensation Liability, Maximum Payout Period | 15 years | ||||||||
Fair value of deferred compensation plan assets | 110.00% | ||||||||
Payments made during the period | $ 786,000 | $ 387,000 |
Selected Balance Sheet Data - C
Selected Balance Sheet Data - Components of Deferred Compensation and Commissions (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||
Stock appreciation rights ("SARs") liability | $ 1,969 | $ 1,810 |
Deferred compensation liability | 1,451 | 1,288 |
Deferred compensation and commissions, current | 31,638 | 47,910 |
Stock appreciation rights ("SARs") liability | 17,856 | 19,299 |
Deferred compensation liability | 7,169 | 6,605 |
Deferred compensation and commissions, non-current | 38,964 | 49,887 |
Current [Member] | ||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||
Commissions payable to investment sales and financing professionals | 28,218 | 44,812 |
Non-Current [Member] | ||
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items] | ||
Commissions payable to investment sales and financing professionals | $ 13,939 | $ 23,983 |
Selected Balance Sheet Data -_4
Selected Balance Sheet Data - Summary of Net Change in Carrying Value of Assets Held in Rabbi Trust and Deferred Compensation Liability (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Balance Sheet Related Disclosures [Abstract] | ||||
Increase in the carrying value of the assets held in the rabbi trust | $ 225 | $ 176 | $ 928 | $ 190 |
Increase in the net carrying value of the deferred compensation obligation | $ 227 | $ 188 | $ 912 | $ 188 |
Selected Balance Sheet Data -_5
Selected Balance Sheet Data - Summary of Deferred Rent and Other Liabilities (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Deferred Rent And Other Liabilities [Abstract] | ||
Deferred rent | $ 0 | $ 5,445 |
Contingent consideration and other | 2,001 | 2,054 |
Deferred rent and other liabilities | $ 2,001 | $ 7,499 |
Selected Balance Sheet Data -_6
Selected Balance Sheet Data - Summary of Deferred Rent and Other Liabilities (Parenthetical) (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Accounts Payable and Accrued Liabilities [Member] | ||
Deferred Rent and other liabilities [Line Items] | ||
Contingent consideration, current | $ 853 | $ 821 |
Notes Payable to Former Stock_2
Notes Payable to Former Stockholders - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2019 | |
Restricted Stock - Notes Payable [Member] | |
Debt Instrument [Line Items] | |
Unsecured notes interest rate | 5.00% |
Unsecured notes maturity date | Jun. 30, 2020 |
SARs - Notes Payable [Member] | |
Debt Instrument [Line Items] | |
Unsecured notes interest rate | 5.00% |
Unsecured notes maturity date | Jun. 30, 2020 |
Related-Party Transactions - Ad
Related-Party Transactions - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Related Party Transaction [Line Items] | |||||
Operating lease cost | $ 6,106,000 | $ 12,015,000 | |||
Aggregate principal amount for employee notes receivable | 415,000 | 415,000 | $ 526,000 | ||
MMC [Member] | |||||
Related Party Transaction [Line Items] | |||||
Real estate brokerage commissions and financing fees from transactions with subsidiaries of Marcus & Millichap Company | 1,900,000 | $ 560,000 | 2,800,000 | $ 3,100,000 | |
Commission expenses for transactions with subsidiaries of Marcus & Millichap Company | 1,100,000 | 321,000 | 1,600,000 | 1,800,000 | |
Operating lease cost | 333,000 | 255,000 | $ 666,000 | 508,000 | |
Lease expiration date | May 31, 2022 | ||||
Accounts payable and other liabilities - related party | 92,000 | $ 92,000 | $ 101,000 | ||
MMC [Member] | Transition Services Agreement [Member] | |||||
Related Party Transaction [Line Items] | |||||
Selling, general and administrative expense | $ 32,000 | $ 55,000 | $ 75,000 | $ 127,000 | |
George M. Marcus [Member] | |||||
Related Party Transaction [Line Items] | |||||
Beneficial ownership percentage | 40.00% |
Fair Value Measurements - Sched
Fair Value Measurements - Schedule of Assets and Liabilities at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets held in rabbi trust | $ 9,119 | $ 8,268 | |
Marketable securities, available for sale | 199,238 | 220,645 | |
Deferred compensation liability | 8,620 | 7,893 | |
Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 118,909 | 137,436 | |
Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 80,329 | 83,209 | |
U.S. Treasuries [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 95,750 | 121,180 | |
U.S. Treasuries [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 37,531 | 45,010 | |
U.S. Government Sponsored Entities [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 3,505 | |
U.S. Government Sponsored Entities [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 1,460 | 1,507 | |
Corporate debt securities [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 23,159 | 11,951 | |
Corporate debt securities [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 33,788 | 31,837 | |
Asset-backed securities and other [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 800 | |
Asset-backed securities and other [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 7,550 | 4,855 | |
Recurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 173,159 | 164,725 | |
Recurring [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 118,909 | 137,436 | |
Recurring [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 80,329 | 83,209 | |
Recurring [Member] | Commercial Paper [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 1,496 | 1,599 | |
Recurring [Member] | Money market funds [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 171,663 | 163,126 | |
Recurring [Member] | Assets held in rabbi trust [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets held in rabbi trust | 9,119 | 8,268 | |
Recurring [Member] | U.S. Treasuries [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 95,750 | 121,180 | |
Recurring [Member] | U.S. Treasuries [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 37,531 | 45,010 | |
Recurring [Member] | U.S. Government Sponsored Entities [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 3,505 | |
Recurring [Member] | U.S. Government Sponsored Entities [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 1,460 | 1,507 | |
Recurring [Member] | Corporate debt securities [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 23,159 | 11,951 | |
Recurring [Member] | Corporate debt securities [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 33,788 | 31,837 | |
Recurring [Member] | Asset-backed securities and other [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 800 | |
Recurring [Member] | Asset-backed securities and other [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 7,550 | 4,855 | |
Level 1 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Deferred compensation liability | 8,620 | 7,893 | |
Level 1 [Member] | Recurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 171,663 | 164,725 | |
Level 1 [Member] | Recurring [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 95,750 | 121,180 | |
Level 1 [Member] | Recurring [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 37,531 | 45,010 | |
Level 1 [Member] | Recurring [Member] | Commercial Paper [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 0 | 1,599 | |
Level 1 [Member] | Recurring [Member] | Money market funds [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 171,663 | 163,126 | |
Level 1 [Member] | Recurring [Member] | Assets held in rabbi trust [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets held in rabbi trust | 0 | 0 | |
Level 1 [Member] | Recurring [Member] | U.S. Treasuries [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 95,750 | 121,180 | |
Level 1 [Member] | Recurring [Member] | U.S. Treasuries [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 37,531 | 45,010 | |
Level 1 [Member] | Recurring [Member] | U.S. Government Sponsored Entities [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Level 1 [Member] | Recurring [Member] | U.S. Government Sponsored Entities [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Level 1 [Member] | Recurring [Member] | Corporate debt securities [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Level 1 [Member] | Recurring [Member] | Corporate debt securities [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Level 1 [Member] | Recurring [Member] | Asset-backed securities and other [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Level 1 [Member] | Recurring [Member] | Asset-backed securities and other [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Level 2 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Deferred compensation liability | 0 | 0 | |
Level 2 [Member] | Recurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 1,496 | 0 | |
Level 2 [Member] | Recurring [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 23,159 | 16,256 | |
Level 2 [Member] | Recurring [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 42,798 | 38,199 | |
Level 2 [Member] | Recurring [Member] | Commercial Paper [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 1,496 | 0 | |
Level 2 [Member] | Recurring [Member] | Money market funds [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 0 | 0 | |
Level 2 [Member] | Recurring [Member] | Assets held in rabbi trust [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets held in rabbi trust | 9,119 | 8,268 | |
Level 2 [Member] | Recurring [Member] | U.S. Treasuries [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Level 2 [Member] | Recurring [Member] | U.S. Treasuries [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Level 2 [Member] | Recurring [Member] | U.S. Government Sponsored Entities [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 3,505 | |
Level 2 [Member] | Recurring [Member] | U.S. Government Sponsored Entities [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 1,460 | 1,507 | |
Level 2 [Member] | Recurring [Member] | Corporate debt securities [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 23,159 | 11,951 | |
Level 2 [Member] | Recurring [Member] | Corporate debt securities [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 33,788 | 31,837 | |
Level 2 [Member] | Recurring [Member] | Asset-backed securities and other [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 800 | |
Level 2 [Member] | Recurring [Member] | Asset-backed securities and other [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 7,550 | 4,855 | |
Level 3 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Deferred compensation liability | 0 | 0 | |
Level 3 [Member] | Recurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 0 | 0 | |
Level 3 [Member] | Recurring [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Level 3 [Member] | Recurring [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Level 3 [Member] | Recurring [Member] | Commercial Paper [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 0 | 0 | |
Level 3 [Member] | Recurring [Member] | Money market funds [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash and cash equivalents | 0 | 0 | |
Level 3 [Member] | Recurring [Member] | Assets held in rabbi trust [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets held in rabbi trust | 0 | 0 | |
Level 3 [Member] | Recurring [Member] | U.S. Treasuries [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Level 3 [Member] | Recurring [Member] | U.S. Treasuries [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Level 3 [Member] | Recurring [Member] | U.S. Government Sponsored Entities [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Level 3 [Member] | Recurring [Member] | U.S. Government Sponsored Entities [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Level 3 [Member] | Recurring [Member] | Corporate debt securities [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Level 3 [Member] | Recurring [Member] | Corporate debt securities [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Level 3 [Member] | Recurring [Member] | Asset-backed securities and other [Member] | Short-term investments [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Level 3 [Member] | Recurring [Member] | Asset-backed securities and other [Member] | Long-term marketable securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Marketable securities, available for sale | 0 | 0 | |
Contingent Consideration [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Contingent consideration | 2,859 | 2,875 | $ 0 |
Contingent Consideration [Member] | Level 1 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Contingent consideration | 0 | 0 | |
Contingent Consideration [Member] | Level 2 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Contingent consideration | 0 | 0 | |
Contingent Consideration [Member] | Level 3 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Contingent consideration | $ 2,859 | $ 2,875 |
Fair Value Measurements - Sch_2
Fair Value Measurements - Schedule of Assets and Liabilities at Fair Value on Recurring Basis (Parenthetical) (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2019 | Dec. 31, 2018 | |
Recurring [Member] | Maximum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Earn-out period for contingent consideration | 7 years | |
Recurring [Member] | Minimum [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Earn-out period for contingent consideration | 3 years | |
Contingent Consideration [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Beginning balance | $ 2,875 | $ 0 |
Contingent consideration in connection with acquisitions | 0 | 2,674 |
Change in fair value of contingent consideration | (16) | 201 |
Payments of contingent consideration | 0 | 0 |
Ending balance | $ 2,859 | $ 2,875 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) | Jun. 30, 2019USD ($) |
Fair Value Disclosures [Abstract] | |
Fair value, assets, level 1 to level 2 transfers, amount | $ 0 |
Fair value, assets, level 2 to level 1 transfers, amount | 0 |
Fair value, assets, level 1 to level 3 transfers, amount | 0 |
Fair value, assets, level 3 to level 1 transfers, amount | 0 |
Fair value, assets, level 2 to level 3 transfers, amount | 0 |
Fair value, assets, level 3 to level 2 transfers, amount | $ 0 |
Stockholders' Equity - Addition
Stockholders' Equity - Additional Information (Detail) - USD ($) | Jun. 30, 2019 | Dec. 31, 2018 |
Equity [Abstract] | ||
Common stock, shares issued | 39,090,861 | 38,814,464 |
Common stock, shares outstanding | 39,090,861 | 38,814,464 |
Common stock share, par value | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 25,000,000 | 25,000,000 |
Preferred stock, par value | $ 0.0001 | $ 0.0001 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Undistributed earnings of foreign subsidiary | $ 0 | $ 0 |
Stock-Based Compensation Plan_2
Stock-Based Compensation Plans - 2013 Omnibus Equity Incentive Plan - Award Limitations - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2019shares | |
Share-based Compensation Arrangement by Share-based Payment Award, Additional General Disclosures [Abstract] | |
Common stock shares available for grant | shares | 5,322,813 |
Equity incentive plan amendment, shareholder approval date | 2017-05 |
Equity incentive plan amendment, board of directors approval date | 2017-02 |
Stock-Based Compensation Plan_3
Stock-Based Compensation Plans - 2013 Omnibus Equity Incentive Plan - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2019shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vested shares | 347,641 |
2013 Omnibus Equity Incentive Plan [Member] | Options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares issued under compensation plan | 0 |
Number of shares outstanding under compensation plan | 0 |
2013 Omnibus Equity Incentive Plan [Member] | Restricted Stock Awards [Member] | Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 1 year |
2013 Omnibus Equity Incentive Plan [Member] | Restricted Stock Awards [Member] | Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 3 years |
2013 Omnibus Equity Incentive Plan [Member] | Restricted Stock Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 5 years |
Vested shares | 325,219 |
Number of common stock shares withheld to pay employee statutory withholding taxes | 70,386 |
2013 Omnibus Equity Incentive Plan [Member] | SARs [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares issued under compensation plan | 0 |
Number of shares outstanding under compensation plan | 0 |
2013 Omnibus Equity Incentive Plan [Member] | Performance Shares [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares issued under compensation plan | 0 |
Number of shares outstanding under compensation plan | 0 |
2013 Omnibus Equity Incentive Plan [Member] | Performance Units [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of shares issued under compensation plan | 0 |
Number of shares outstanding under compensation plan | 0 |
Stock-Based Compensation Plan_4
Stock-Based Compensation Plans - Outstanding Awards Under 2013 Omnibus Equity Incentive Plan (Detail) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 6 Months Ended | |
May 31, 2019 | Feb. 28, 2019 | Jun. 30, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Nonvested shares at December 31, 2018 | 891,575 | ||
Granted | 50,494 | 211,791 | 262,285 |
Vested | (347,641) | ||
Transferred | 0 | ||
Forfeited/canceled | (23,551) | ||
Nonvested shares at June 30, 2019 | 782,668 | ||
Unrecognized stock-based compensation expense as of June 30, 2019 | $ 23,899 | ||
Weighted average remaining vesting period (years) as of June 30, 2019 | 3 years 6 months 29 days | ||
Nonvested weighted average grant date fair value per share, beginning balance | $ 27.59 | ||
Weighted average grant date fair value per share, Granted | 40.07 | ||
Weighted average grant date fair value, Vested | 23 | ||
Weighted average grant date fair value, Transferred | 29.68 | ||
Weighted average grant date fair value, Forfeited/canceled | 31.36 | ||
Nonvested weighted average grant date fair value per share, ending balance | $ 33.70 | ||
Restricted Stock Awards [Member] | Non-Employee Directors [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Nonvested shares at December 31, 2018 | 27,096 | ||
Granted | 10,542 | 0 | 10,542 |
Vested | (22,422) | ||
Transferred | 0 | ||
Forfeited/canceled | 0 | ||
Nonvested shares at June 30, 2019 | 15,216 | ||
Unrecognized stock-based compensation expense as of June 30, 2019 | $ 477 | ||
Weighted average remaining vesting period (years) as of June 30, 2019 | 10 months 2 days | ||
Restricted Stock Units [Member] | Employees [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Nonvested shares at December 31, 2018 | 471,782 | ||
Granted | 32,926 | 204,060 | 236,986 |
Vested | (177,154) | ||
Transferred | (8,136) | ||
Forfeited/canceled | (3,277) | ||
Nonvested shares at June 30, 2019 | 520,201 | ||
Unrecognized stock-based compensation expense as of June 30, 2019 | $ 15,847 | ||
Weighted average remaining vesting period (years) as of June 30, 2019 | 3 years 10 months 9 days | ||
Restricted Stock Units [Member] | Independent Contractors, Prior to Adoption of New Standard [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Nonvested shares at December 31, 2018 | 392,697 | ||
Granted | 7,026 | 7,731 | 14,757 |
Vested | (148,065) | ||
Transferred | 8,136 | ||
Forfeited/canceled | (20,274) | ||
Nonvested shares at June 30, 2019 | 247,251 | ||
Unrecognized stock-based compensation expense as of June 30, 2019 | $ 7,575 | ||
Weighted average remaining vesting period (years) as of June 30, 2019 | 3 years 2 months 1 day |
Stock-Based Compensation Plan_5
Stock-Based Compensation Plans - Outstanding Awards Under 2013 Omnibus Equity Incentive Plan (Parenthetical) (Detail) | 6 Months Ended |
Jun. 30, 2019 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Unrecognized stock-based compensation expenses recognition period | 3 years 6 months 29 days |
Stock-Based Compensation Plan_6
Stock-Based Compensation Plans - Employee Stock Purchase Plan - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2019USD ($)shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Common stock shares available for issuance | 5,322,813 |
Unrecognized stock-based compensation expense | $ | $ 23,899,000 |
Unrecognized stock-based compensation expenses recognition period | 3 years 6 months 29 days |
Employee Stock Purchase Plan [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
ESPP offering period description | The offering periods generally start on the first trading day on or after May 15 and November 15 of each year. |
Length of purchase intervals | 6 months |
ESPP discount rate | 10.00% |
Common stock reserved and available for issuance | 366,667 |
Common stock shares available for issuance | 214,872 |
Unrecognized stock-based compensation expense | $ | $ 61,000 |
Unrecognized stock-based compensation expenses recognition period | 4 months 17 days |
Employee Stock Purchase Plan - Annual Available for Issuance Share Increase [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Common stock available for future issuance authorized annual share increase | 366,667 |
Common stock available for future issuance authorized annual percentage increase | 1.00% |
ESPP description | The ESPP provides for annual increases in the number of shares available for issuance under the ESPP, equal to the least of (i) 366,667 shares, (ii) 1% of the outstanding shares on such date, or (iii) an amount determined by the compensation committee of the Company’s board of directors. |
Stock-Based Compensation Plan_7
Stock-Based Compensation Plans - Amendments to Restricted Stock and SARs - Additional Information (Detail) - Deferred stock units [Member] | Oct. 30, 2013 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
DSU settlement to common stock percentage | 20.00% |
DSU settlement into actual stock issued term | 5 years |
Employee termination age | 67 years |
Percentage of shares of deferred stock units settled in the event of death or termination after reaching age 67 | 100.00% |
Stock-Based Compensation Plan_8
Stock-Based Compensation Plans - Schedule of Future Share Settlements (Detail) - 2013 Omnibus Equity Incentive Plan [Member] - Deferred stock units [Member] | Jun. 30, 2019shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
2021 | 60,373 |
2022 | 281,193 |
Total | 341,566 |
Stock-Based Compensation Plan_9
Stock-Based Compensation Plans - Stock-Based Compensation Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Allocated share-based compensation expense | $ 2,585 | $ 3,159 | $ 4,926 | $ 5,772 |
Employee Stock Purchase Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Allocated share-based compensation expense | 38 | 24 | 68 | 63 |
Restricted Stock Awards [Member] | Non-Employee Directors [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Allocated share-based compensation expense | 154 | 165 | 324 | 276 |
Restricted Stock Units [Member] | Employees [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Allocated share-based compensation expense | 1,622 | 1,096 | 2,967 | 2,049 |
Restricted Stock Units [Member] | Independent Contractors, Prior to Adoption of New Standard [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation expense - Independent contractors | $ 771 | $ 1,874 | $ 1,567 | $ 3,384 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Income Tax Disclosure [Abstract] | ||||
Provision for income taxes, rate | 28.50% | 26.90% | 27.70% | 26.40% |
Income Taxes - Components of Pr
Income Taxes - Components of Provision for Income Taxes and Income before Provision for Income Taxes (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Income Tax Disclosure [Abstract] | ||||
Income tax expense at the federal statutory rate, amount | $ 6,249 | $ 6,368 | $ 10,721 | $ 11,474 |
State income tax expense, net of federal benefit, amount | 1,346 | 1,415 | 2,240 | 2,511 |
Windfall tax benefits, net related to stock-based compensation, amount | 11 | (28) | (254) | (245) |
Change in valuation allowance, amount | 200 | 74 | 466 | 121 |
Permanent and other items, amount | 672 | 326 | 962 | 596 |
Provision for income taxes, amount | $ 8,478 | $ 8,155 | $ 14,135 | $ 14,457 |
Income tax expense at the federal statutory rate, rate | 21.00% | 21.00% | 21.00% | 21.00% |
State income tax expense, net of federal benefit, rate | 4.50% | 4.70% | 4.40% | 4.60% |
Windfall tax benefits, net related to stock-based compensation, rate | 0.00% | (0.10%) | (0.50%) | (0.50%) |
Change in valuation allowance, rate | 0.70% | 0.20% | 0.90% | 0.20% |
Permanent and other items, rate | 2.30% | 1.10% | 1.90% | 1.10% |
Provision for income taxes, rate | 28.50% | 26.90% | 27.70% | 26.40% |
Earnings per Share - Computatio
Earnings per Share - Computation of Basic and Diluted Earnings Per Share, Including Antidilutive Securities Excluded from Computation of Earnings Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Numerator (Basic and Diluted): | ||||
Net income | $ 21,279 | $ 22,167 | $ 36,917 | $ 40,178 |
Denominator: | ||||
Weighted average common shares issued and outstanding | 39,073 | 38,606 | 39,035 | 38,576 |
Deduct: Unvested RSAs | (20) | (31) | (24) | (31) |
Add: Fully vested DSUs | 342 | 579 | 342 | 579 |
Weighted Average Common Shares Outstanding | 39,395 | 39,154 | 39,353 | 39,124 |
Basic earnings per common share | $ 0.54 | $ 0.57 | $ 0.94 | $ 1.03 |
Weighted Average Common Shares Outstanding from above | 39,395 | 39,154 | 39,353 | 39,124 |
Add: Dilutive effect of RSUs, RSAs & ESPP | 132 | 231 | 171 | 174 |
Weighted Average Common Shares Outstanding | 39,527 | 39,385 | 39,524 | 39,298 |
Diluted earnings per common share | $ 0.54 | $ 0.56 | $ 0.93 | $ 1.02 |
Antidilutive shares excluded from diluted earnings per common share | 272 | 55 | 260 | 242 |
Earnings per Share - Computat_2
Earnings per Share - Computation of Basic and Diluted Earnings Per Share, Including Antidilutive Securities Excluded from Computation of Earnings Per Share (Parenthetical) (Detail) - Restricted Stock Awards [Member] - 2013 Omnibus Equity Incentive Plan [Member] | 6 Months Ended |
Jun. 30, 2019 | |
Minimum [Member] | |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | |
Vesting period | 1 year |
Maximum [Member] | |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | |
Vesting period | 3 years |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information Credit Agreement (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Line of Credit Facility [Line Items] | |||||
Senior secured revolving credit facility maximum borrowing capacity | $ 60,000,000 | $ 60,000,000 | |||
Revolving credit facility maturity date | Jun. 1, 2022 | ||||
Date the Company entered into a Credit Agreement | Jun. 18, 2014 | ||||
Credit agreement date | Jun. 1, 2014 | ||||
Standby letters of credit borrowing capacity | 10,000,000 | $ 10,000,000 | |||
Standby letters of credit, utilized amount | 533,000 | $ 533,000 | |||
Credit facility interest rate description | Credit Facility will bear interest, at the Company’s option, at either (i) a fluctuating rate per annum 2.00% below the Base Rate (defined as the highest of (a) the Bank’s prime rate, (b) one-month LIBOR plus 1.50%, and (c) the federal funds rate plus 1.50%), or (ii) at a fixed rate per annum determined by Bank to be 0.875% above LIBOR. | ||||
LIBOR rate duration period | 1 month | ||||
Credit agreement, unused capacity, commitment fee percentage | 0.10% | ||||
Interest expense | 340,000 | $ 352,000 | $ 689,000 | $ 712,000 | |
Credit agreement, amount outstanding | 0 | $ 0 | $ 0 | ||
Credit facility covenants | (i) an EBITDAR Coverage Ratio (as defined in the Credit Agreement) of not less than 1.25:1.0 as of each quarter end, determined on a rolling four-quarter basis, (ii) total funded debt to EBITDA not greater than 2.0:1.0 as of each quarter end, determined on a rolling four-quarter basis and (iii) limits investments in foreign entities and caps certain other loans. | ||||
Minimum EBITDAR coverage ratio | 1.25% | ||||
Maximum Total Funded Debt to EBITDA ratio | 2.00% | ||||
Credit agreement, pledge percentage | 100.00% | ||||
Compliance description | As of June 30, 2019, the Company was in compliance with all financial and non-financial covenants and has not experienced any limitation in its operations as a result of the covenants. | ||||
LIBOR [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Base spread on variable rate | 1.50% | ||||
Base Rate [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Fluctuating rate per annum | 2.00% | ||||
Federal Funds Rate [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Base spread on variable rate | 1.50% | ||||
Credit Agreement [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Interest expense | $ 26,000 | $ 26,000 | $ 52,000 | $ 52,000 | |
Minimum [Member] | LIBOR [Member] | |||||
Line of Credit Facility [Line Items] | |||||
Base spread on variable rate | 0.875% |
Commitments and Contingencies_2
Commitments and Contingencies - Additional Information Other (Detail) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 |
Commitments and Contingencies Disclosure [Abstract] | ||
Other commitment amount | $ 9.8 | $ 1 |