Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Mar. 31, 2017 | May 02, 2017 | |
Document Information [Line Items] | ||
Entity Registrant Name | MALIBU BOATS, INC. | |
Entity Central Index Key | 1,590,976 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2017 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 | |
Current Fiscal Year End Date | --06-30 | |
Entity Filer Category | Accelerated Filer | |
Class A Common Stock | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 17,930,617 | |
Class B Common Stock [Member] | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 19 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Income Statement [Abstract] | ||||
Net sales | $ 77,149 | $ 68,539 | $ 206,831 | $ 186,285 |
Cost of sales | 55,787 | 50,133 | 151,833 | 137,290 |
Gross profit | 21,362 | 18,406 | 54,998 | 48,995 |
Operating expenses: | ||||
Selling and marketing | 1,789 | 1,574 | 6,362 | 5,998 |
General and administrative | 5,997 | 4,462 | 15,514 | 13,281 |
Amortization | 550 | 545 | 1,649 | 1,637 |
Operating income | 13,026 | 11,825 | 31,473 | 28,079 |
Other expense, net: | ||||
Other income | 41 | 40 | 116 | 64 |
Interest expense | (416) | (1,249) | (883) | (2,927) |
Other expense, net | (375) | (1,209) | (767) | (2,863) |
Income before provision for income taxes | 12,651 | 10,616 | 30,706 | 25,216 |
Provision for income taxes | 3,805 | 4,109 | 9,897 | 9,011 |
Net income | 8,846 | 6,507 | 20,809 | 16,205 |
Net income attributable to non-controlling interest | 833 | 731 | 2,115 | 1,767 |
Net income attributable to Malibu Boats, Inc. | 8,013 | 5,776 | 18,694 | 14,438 |
Comprehensive income: | ||||
Net income | 8,846 | 6,507 | 20,809 | 16,205 |
Other comprehensive income, net of tax: | ||||
Change in cumulative translation adjustment | 867 | 686 | 378 | 37 |
Other comprehensive income, net of tax | 867 | 686 | 378 | 37 |
Comprehensive income, net of tax | 9,713 | 7,193 | 21,187 | 16,242 |
Less: comprehensive income attributable to non-controlling interest, net of tax | 923 | 808 | 2,153 | 1,774 |
Comprehensive income attributable to Malibu Boats, Inc., net of tax | $ 8,790 | $ 6,385 | $ 19,034 | $ 14,468 |
Weighted average shares outstanding used in computing net income per share: | ||||
Shares used in computing basic net income per share: (in shares) | 17,877,152 | 17,975,714 | 17,799,221 | 17,968,106 |
Weighted average shares outstanding used in computing net income per share, Diluted (in shares) | 17,962,286 | 18,002,858 | 17,887,266 | 18,022,339 |
Net income available to Class A Common Stock per share: | ||||
Basic (in dollars per share) | $ 0.45 | $ 0.32 | $ 1.05 | $ 0.80 |
Diluted (in dollars per share) | $ 0.45 | $ 0.32 | $ 1.05 | $ 0.80 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 |
Current assets | ||
Cash | $ 32,295 | $ 25,921 |
Trade receivables, net | 14,724 | 14,690 |
Inventories, net | 27,365 | 20,431 |
Prepaid expenses and other current assets | 2,311 | 2,707 |
Income tax receivable | 0 | 965 |
Total current assets | 76,695 | 64,714 |
Property and equipment, net | 21,954 | 17,813 |
Goodwill | 12,654 | 12,470 |
Other intangible assets, net | 10,133 | 11,703 |
Deferred tax assets | 113,480 | 115,594 |
Other assets | 108 | 32 |
Total assets | 235,024 | 222,326 |
Current liabilities | ||
Current maturities of long-term debt | 0 | 8,000 |
Accounts payable | 18,979 | 16,158 |
Accrued expenses | 21,414 | 19,055 |
Income taxes and tax distribution payable | 1,803 | 427 |
Payable pursuant to tax receivable agreement, current portion | 4,360 | 4,189 |
Total current liabilities | 46,556 | 47,829 |
Deferred tax liabilities | 609 | 685 |
Payable pursuant to tax receivable agreement, less current portion | 90,612 | 89,561 |
Long-term debt, less current maturities | 55,152 | 63,086 |
Other long-term liabilities | 275 | 1,136 |
Total liabilities | 193,204 | 202,297 |
Commitments and contingencies | ||
Stockholders' Equity | ||
Preferred Stock, par value $0.01 per share; 25,000,000 shares authorized; no shares issued and outstanding as of March 31, 2017 and June 30, 2016 | 0 | 0 |
Additional paid in capital | 50,545 | 45,947 |
Accumulated other comprehensive loss | (2,093) | (2,471) |
Accumulated deficit | (9,585) | (28,302) |
Total stockholders' equity attributable to Malibu Boats, Inc. | 39,046 | 15,350 |
Non-controlling interest | 2,774 | 4,679 |
Total stockholders’ equity | 41,820 | 20,029 |
Total liabilities and stockholders' equity | 235,024 | 222,326 |
Class A Common Stock | ||
Stockholders' Equity | ||
Common stock | 179 | 176 |
Class B Common Stock [Member] | ||
Stockholders' Equity | ||
Common stock | $ 0 | $ 0 |
Condensed Consolidated Balance4
Condensed Consolidated Balance Sheets Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Mar. 31, 2017 | Jun. 30, 2015 |
Preferred stock, par value (per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 25,000,000 | 25,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Class A Common Stock | ||
Common stock, par value (per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 17,930,617 | 17,690,874 |
Common stock, shares, outstanding | 17,930,617 | 17,690,874 |
Class B Common Stock [Member] | ||
Common stock, par value (per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 25,000,000 | 25,000,000 |
Common stock, shares issued | 19 | 23 |
Common stock, shares, outstanding | 19 | 23 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Stockholders' Equity (Deficit) - 9 months ended Mar. 31, 2017 - USD ($) $ in Thousands | Total | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive (Loss) Income [Member] | Accumulated Deficit [Member] | Non-controlling LLC Unit holders ownership in Malibu Boats Holdings, LLC | Class A Common Stock | Class A Common StockCommon Stock [Member] | Class B Common Stock [Member] | Class B Common Stock [Member]Common Stock [Member] |
Balance at June 30, 2016 (in shares) at Jun. 30, 2016 | 17,690,000 | 23 | |||||||
Balance at June 30, 2016 at Jun. 30, 2016 | $ 20,029 | $ 45,947 | $ (2,471) | $ (28,302) | $ 4,679 | $ 176 | $ 0 | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Net income | 20,809 | 18,694 | 2,115 | ||||||
Stock based compensation, net of withiholding taxes on vested restricted stock units (in shares) | 89,000 | ||||||||
Stock based compensation, net of withholding taxes on vested equity awards | 904 | 903 | $ 1 | ||||||
Issuances of equity for services (in shares) | 7,000 | ||||||||
Issuances of equity for services | 688 | 688 | |||||||
Increase in payable pursuant to the tax receivable agreement | (1,222) | (1,222) | |||||||
Increase in deferred tax asset from step-up in tax basis | 1,440 | 1,440 | |||||||
Exchange of LLC Units for Class A Common Stock (in shares) | 145,000 | ||||||||
Exchange of LLC Units for Class A Common Stock | $ 2 | ||||||||
Exchange of LLC Units for Class A Common Stock | 2 | 2,789 | (2,789) | ||||||
Cancellation of Class B Common Stock (in shares) | (4) | ||||||||
Cancellation of Class B Common Stock | 0 | ||||||||
Distributions to LLC Unit holders | (1,208) | 0 | (23) | (1,231) | |||||
Change in cumulative translation adjustment | 378 | 378 | |||||||
Balance at December 31, 2016 (in shares) at Mar. 31, 2017 | 17,930,617 | 17,931,000 | 19 | 19 | |||||
Balance at March 31, 2017 at Mar. 31, 2017 | $ 41,820 | $ 50,545 | $ (2,093) | $ (9,585) | $ 2,774 | $ 179 | $ 0 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | |
Operating activities: | ||
Net income | $ 20,809 | $ 16,205 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Non-cash compensation expense | 1,070 | 1,464 |
Depreciation | 3,044 | 2,449 |
Amortization of intangible assets | 1,649 | 1,637 |
Gain on sale-leaseback transaction | (8) | (9) |
Amortization of deferred financing costs | 183 | 184 |
Change in fair value of interest rate swap | (941) | 685 |
Deferred income taxes | 3,495 | 3,664 |
Non-cash litigation payable | (1,330) | 0 |
Loss (gain) on sale of equipment | 4 | (28) |
Change in operating assets and liabilities: | ||
Trade receivables | (28) | (7,017) |
Inventories | (6,879) | (3,602) |
Prepaid expenses and other assets | 884 | (1,204) |
Accounts payable | 2,625 | 9,514 |
Income taxes receivable and payable | 2,129 | (690) |
Accrued expenses and other liabilities | 3,942 | (958) |
Net cash provided by operating activities | 30,648 | 22,294 |
Investing activities: | ||
Purchases of property and equipment | (6,983) | (5,430) |
Proceeds from sale or disposal of property, plant and equipment | 16 | 78 |
Net cash used in investing activities | (6,967) | (5,352) |
Financing activities: | ||
Principal payments on long-term borrowings | (16,117) | (4,500) |
Cash paid for withholding taxes on vested restricted stock | (167) | 0 |
Distributions to LLC Unit holders | (1,029) | (911) |
Repurchase and retirement of common stock | 0 | (807) |
Net cash used in financing activities | (17,313) | (6,218) |
Effect of exchange rate changes on cash | 6 | (43) |
Changes in cash | 6,374 | 10,681 |
Cash—Beginning of period | 25,921 | 8,387 |
Cash—End of period | 32,295 | 19,068 |
Supplemental cash flow information: | ||
Cash paid for interest | 1,704 | 2,436 |
Cash paid for income taxes | 3,666 | 6,199 |
Non-cash investing and financing activities: | ||
Establishment of deferred tax assets from step-up in tax basis | 1,440 | 142 |
Establishment of amounts payable under tax receivable agreements | 1,222 | 118 |
Exchange of LLC Units by LLC Unit holders for Class A common stock | 2,789 | 39 |
Tax distributions payable to non-controlling LLC Unit holders | 520 | 434 |
Equity issued to directors for services | 688 | 688 |
Capital expenditures in accounts payable | $ 202 | $ 35 |
Organization, Basis of Presenta
Organization, Basis of Presentation, and Summary of Significant Accounting Policies | 9 Months Ended |
Mar. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization, Basis of Presentation, and Summary of Significant Accounting Policies | Organization, Basis of Presentation, and Summary of Significant Accounting Policies Organization Malibu Boats, Inc. (together with its subsidiaries, the “Company” or “Malibu”), a Delaware corporation formed on November 1, 2013, is the sole managing member of Malibu Boats Holdings, LLC (the “LLC”). The Company operates and controls all of the LLC's business and affairs and, therefore, pursuant to Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 810, Consolidation , consolidates the financial results of the LLC and its subsidiaries, and records a non-controlling interest for the economic interest in the Company held by the non-controlling holders of units in the LLC (“LLC Units”). See Note 2. Malibu Boats Holdings, LLC was formed in 2006 with the acquisition by an investor group, including affiliates of Black Canyon Capital LLC, Horizon Holdings, LLC and then-current management. The LLC is engaged in the design, engineering, manufacturing and marketing of innovative, high-quality, performance sports boats that are sold through a world-wide network of independent dealers. On October 23, 2014, the Company acquired all the outstanding shares of Malibu Boats Pty. Ltd. (the “Licensee”), Malibu's Australian licensee manufacturer with exclusive distributions rights in Australia and New Zealand markets. As a result of the acquisition, the Company also consolidates the financial results of the Licensee. The Company reports its results of operations under two reportable segments called U.S. and Australia based on their respective manufacturing footprints. Each segment participates in the manufacturing, distribution, marketing and sale of performance sport boats. The U.S. operating segment primarily serves markets in North America, South America, Europe, and Asia while the Australia operating segment principally serves the Australian and New Zealand markets. Basis of Presentation The accompanying unaudited interim condensed consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim condensed financial statements and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all information and disclosures of results of operations, financial position and changes in cash flow in conformity with GAAP for complete financial statements. Such statements should be read in conjunction with the audited consolidated financial statements and notes thereto of Malibu Boats, Inc. and subsidiaries for the year ended June 30, 2016 included in the Company's Annual Report on Form 10-K. In the opinion of management, the accompanying unaudited interim condensed consolidated financial statements reflect all adjustments considered necessary to present fairly the Company’s financial position at March 31, 2017 and the results of its operations for the three and nine month periods ended March 31, 2017 and March 31, 2016 and its cash flows for the nine month periods ended March 31, 2017 and March 31, 2016 . Operating results for the nine months ended March 31, 2017 are not necessarily indicative of the results that may be expected for the full year ending June 30, 2017 . Certain reclassifications have been made to the prior period presentation to conform to the current period presentation. Units and shares are presented as whole numbers while all dollar amounts are presented in thousands, unless otherwise noted. Principles of Consolidation The accompanying unaudited condensed consolidated financial statements include the operations and accounts of the Company and all subsidiaries thereof. All intercompany balances and transactions have been eliminated upon consolidation. Immaterial Correction of Errors in Prior Period For fiscal year 2016, the Company identified an immaterial error related to the understatement of deferred tax assets and paid in capital attributable to a book to tax difference in its investment in the LLC. The correction of this error resulted in an increase in deferred tax assets of $1,796 with a corresponding increase for the same amount in additional paid in capital within stockholder's equity on the audited consolidated balance sheet as of June 30, 2016 and within the beginning balance of the statement of stockholders' equity for fiscal year 2016. Recent Accounting Pronouncements In May 2014, the FASB and International Accounting Standards Board jointly issued a final standard on revenue recognition which outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers. This standard will supersede most current revenue recognition guidance. Under the new standard, entities are required to identify the contract with a customer; identify the separate performance obligations in the contract; determine the transaction price; allocate the transaction price to the separate performance obligations in the contract; and recognize the appropriate amount of revenue when (or as) the entity satisfies each performance obligation. Accounting Standards Update (“ASU”) 2014-09 will now become effective for fiscal years beginning after December 15, 2017. In August 2015, FASB issued ASU 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date , to extend the mandatory effective date by one year. Entities have the option of using either the retrospective or cumulative effect transition method. The Company is currently evaluating the approach it will use to apply the new standard and the impact that the adoption of the new standard will have on the Company’s consolidated financial statements. In July 2015, the FASB issued ASU 2015-11, Simplifying the Measurement of Inventory . This ASU changes the measurement principle for inventories valued under the first-in, first-out or weighted-average methods from the lower of cost or market to the lower of cost and net realizable value. Net realizable value is defined by the FASB as estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. This ASU does not change the measurement principles for inventories valued under the last-in, first-out method. This amendment is effective for fiscal years beginning after December, 15, 2016, including interim periods within those fiscal years and should be applied prospectively with earlier application permitted as of the beginning of an interim or annual reporting period. The Company is currently evaluating the impact of adopting this ASU, but does not expect it will have a material impact. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) . This guidance establishes a right-of-use (“ROU”) model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. The new standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. A modified retrospective transition approach is required for lessees for capital and operating leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements, with certain practical expedients available. The Company is currently assessing the potential impact of this ASU on its consolidated financial statements and footnote disclosures. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments . This ASU is effective for fiscal years beginning after December 15, 2017 and interim periods within those fiscal years with early adoption permitted. This guidance provides specific classification of how certain cash receipts and cash payments are presented in the statement of cash flows. The ASU should be applied using a retrospective transition method. If it is impracticable to apply the amendments retrospectively for some of the cash flow issues, the amendments for those issues should then be applied prospectively at the earliest date practicable. The Company is currently assessing the potential impact of this ASU on its presentation of the consolidated statement of cash flows. In January 2017, the FASB issued ASU 2017-04, Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. The purpose of this ASU is to simplify the subsequent measurement of goodwill by removing the second step of the two-step impairment test. The amendment should be applied on a prospective basis. This ASU is effective for fiscal years beginning after December 15, 2019, including interim periods within that year. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company is currently evaluating the potential impact of this ASU on its presentation of the consolidated financial statements and related disclosures. There are no other new accounting pronouncements that are expected to have a significant impact on the Company's consolidated financial statements and related disclosures. |
Non-controlling Interest
Non-controlling Interest | 9 Months Ended |
Mar. 31, 2017 | |
Noncontrolling Interest [Abstract] | |
Non-controlling Interest | Non-controlling Interest The non-controlling interest on the unaudited condensed consolidated statement of operations and comprehensive income represents the portion of earnings or loss attributable to the economic interest in the Company's subsidiary, Malibu Boats Holdings, LLC, held by the non-controlling LLC Unit holders. Non-controlling interest on the unaudited condensed consolidated balance sheets represents the portion of net assets of the Company attributable to the non-controlling LLC Unit holders, based on the portion of the LLC Units owned by such Unit holders. The ownership of Malibu Boats Holdings, LLC is summarized as follows: As of March 31, 2017 As of June 30, 2016 Units Ownership % Units Ownership % Non-controlling LLC Unit holders ownership in Malibu Boats Holdings, LLC 1,260,627 6.6 % 1,404,923 7.4 % Malibu Boats, Inc. ownership in Malibu Boats Holdings, LLC 17,930,617 93.4 % 17,690,874 92.6 % 19,191,244 100.0 % 19,095,797 100.0 % The changes in the balance of the Company's non-controlling interest are as follows: Balance of non-controlling interest as of June 30, 2016 $ 4,679 Allocation of income to non-controlling LLC Unit holders for period 2,115 Distributions paid and payable to non-controlling LLC Unit holders for period (1,231 ) Reallocation of non-controlling ownership interests in exchange for Class A Common Stock (2,789 ) Balance of non-controlling interest as of March 31, 2017 $ 2,774 Issuance of Additional LLC Units Under the first amended and restated limited liability agreement of the LLC, as amended (the "LLC Agreement"), the Company is required to cause the LLC to issue additional LLC Units to the Company when the Company issues additional shares of Class A Common Stock. Other than in connection with the issuance of Class A Common Stock in connection with an equity incentive program, the Company must contribute to the LLC net proceeds and property, if any, received by the Company with respect to the issuance of such additional shares of Class A Common Stock. The Company shall cause the LLC to issue a number of LLC Units equal to the number of shares of Class A Common Stock issued such that, at all times, the number of LLC Units held by the Company equals the number of outstanding shares of Class A Common Stock. During the nine months ended March 31, 2017 , the Company caused the LLC to issue a total of 245,616 LLC Units to the Company in connection with (i) the Company's issuance of Class A Common Stock to a non-employee director for his services, (ii) the issuance of Class A Common Stock for the vesting of awards granted under the Malibu Boats, Inc. Long-Term Incentive Plan (the "Incentive Plan") |
Inventories
Inventories | 9 Months Ended |
Mar. 31, 2017 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories Inventories, net consisted of the following: As of March 31, 2017 As of June 30, 2016 Raw materials $ 18,292 $ 14,858 Work in progress 3,028 1,250 Finished goods 6,045 4,323 Total inventories $ 27,365 $ 20,431 |
Property and Equipment
Property and Equipment | 9 Months Ended |
Mar. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | Property and Equipment Property and equipment, net consisted of the following: As of March 31, 2017 As of June 30, 2016 Land $ 367 $ 254 Building and leasehold improvements 10,216 7,168 Machinery and equipment 21,384 20,035 Furniture and fixtures 2,873 2,765 Construction in process 2,884 356 37,724 30,578 Less: Accumulated depreciation (15,770 ) (12,765 ) Property and equipment, net $ 21,954 $ 17,813 Depreciation expense was $1,050 and $833 for the three months ended March 31, 2017 and 2016 and $3,044 and $2,449 for the nine months ended March 31, 2017 and 2016 , respectively, substantially all of which was recorded in cost of sales. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 9 Months Ended |
Mar. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets The changes in the carrying amount of goodwill for the nine months ended March 31, 2017 were as follows: Goodwill as of June 30, 2016 $ 12,470 Effect of foreign currency changes on goodwill 184 Goodwill as of March 31, 2017 $ 12,654 The components of other intangible assets were as follows: As of March 31, 2017 As of June 30, 2016 Estimated Useful Life (in years) Weighted Average Remaining Useful Life (in years) Reacquired franchise rights $ 1,376 $ 1,339 5 2.6 Dealer relationships 29,837 29,773 8-15 12.6 Patent 1,386 1,386 12 1.3 Trade name 24,667 24,667 15 4.4 Non-compete agreement 54 52 10 7.6 Backlog 96 93 0.3 0.0 Total 57,416 57,310 Less: Accumulated amortization (47,283 ) (45,607 ) Total other intangible assets, net $ 10,133 $ 11,703 Amortization expense recognized on all amortizable intangibles was $550 and $545 for the three months ended March 31, 2017 and 2016 , respectively and $1,649 and $1,637 for the nine months ended March 31, 2017 and 2016 , respectively. The estimated future amortization of definite-lived intangible assets is as follows: Fiscal years ending June 30: Remainder of 2017 $ 551 2018 2,204 2019 2,097 2020 1,899 2021 1,813 Thereafter 1,569 $ 10,133 |
Product Warranties
Product Warranties | 9 Months Ended |
Mar. 31, 2017 | |
Product Warranties Disclosures [Abstract] | |
Product Warranties | Product Warranties Effective for model year 2016, the Company began providing a limited warranty for a period up to five years for both Malibu and Axis brand boats. For model years prior to 2016, the Company provided a limited warranty for a period of up to three years and two years for its Malibu and Axis brands, respectively. The Company’s standard warranties require the Company or its dealers to repair or replace defective products during such warranty period at no cost to the consumer. The Company estimates the costs that may be incurred under its basic limited warranty and records a liability for such costs at the time the product revenue is recognized. Factors that affect the Company’s warranty liability include the number of units sold, historical and anticipated rates of warranty claims and cost per claim. The Company assesses the adequacy of its recorded warranty liabilities by brand on a quarterly basis and adjusts the amounts as necessary. The Company utilizes historical claims trends and analytical tools to assist in determining the appropriate warranty liability. Changes in the Company’s product warranty liability, which is included in accrued expenses on the unaudited condensed consolidated balance sheets, were as follows: Three Months Ended Nine Months Ended March 31, 2017 March 31, 2016 March 31, 2017 March 31, 2016 Beginning balance $ 9,204 $ 7,176 $ 8,083 $ 6,610 Add: Warranty expense 2,222 1,447 5,863 3,990 Less: Warranty claims paid (1,244 ) (880 ) (3,764 ) (2,857 ) Ending balance $ 10,182 $ 7,743 $ 10,182 $ 7,743 |
Financing
Financing | 9 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Financing | Financing Outstanding debt consisted of the following: As of March 31, 2017 As of June 30, 2016 Term loan $ 55,883 $ 72,000 Less unamortized debt issuance costs (731 ) (914 ) Total debt 55,152 71,086 Less current maturities — (8,000 ) Long-term debt less current maturities $ 55,152 $ 63,086 Long-Term Debt Amended and Restated Line of Credit and Term Loan. On April 2, 2015, Malibu Boats, LLC (the "Borrower"), a wholly owned subsidiary of the LLC, entered into a credit agreement with a syndicate of banks led by SunTrust Bank that included a revolving credit facility and term loan (the “Amended and Restated Credit Agreement”). The obligations of Malibu Boats LLC under the Amended and Restated Credit Agreement are currently guaranteed by its parent, the LLC, and its subsidiaries, Malibu Boats Domestic International Sales Corp. and Malibu Australian Acquisition Corp. Malibu Boats, Inc. is not a party to the Amended and Restated Credit Agreement. The lending arrangements are required to be guaranteed by the LLC and the present and future domestic subsidiaries of Malibu Boats, LLC and are secured by substantially all of the assets of the LLC, Malibu Boats, LLC and Malibu Boats Domestic International Sales Corp., and those of any future domestic subsidiary pursuant to a security agreement. The revolving credit facility and term loan mature on April 2, 2020. The Amended and Restated Credit Agreement is comprised of a $ 25,000 revolving commitment, none of which was outstanding as of March 31, 2017 , and a $ 80,000 term loan, which was subject to quarterly installments of $ 1,500 per quarter until March 31, 2016. The quarterly installments are now $ 2,000 per quarter until March 31, 2019 and $ 2,500 per quarter thereafter. Borrowings under the Amended and Restated Credit Agreement bear interest at a rate equal to either, at the Borrower's option, (i) the highest of the prime rate, the Federal Funds Rate plus 0.5 %, or one-month LIBOR plus 1.00 % (the “Base Rate”) or (ii) LIBOR, in each case plus an applicable margin ranging from 1.00 % to 1.75 % with respect to Base Rate borrowings and 2.00 % to 2.75 % with respect to LIBOR borrowings. The applicable margin will be based upon the consolidated leverage ratio of the LLC and its subsidiaries calculated on a consolidated basis. The Borrower will also be required to pay a commitment fee for the unused portion of the revolving credit facility, which will range from 0.25 % to 0.40 % per annum, depending on the LLC’s and its subsidiaries’ consolidated leverage ratio. The weighted average interest rate on the term loan was 3.06% for the nine month period ended March 31, 2017 . The Company also has a swingline line of credit from SunTrust Bank in the principal amount of up to $ 5,000 due on or before April 2, 2020. Any amounts drawn under the swingline line of credit reduce the capacity under the revolving credit facility. As of March 31, 2017 , the Company had no outstanding balance under the swingline facility. Under the Amended and Restated Credit Agreement, the Company also has the ability to issue letters of credit up to $ 5,000 . This letter of credit availability may be reduced by borrowings under the revolving line of credit. The Company’s access to these letters of credit expires April 2, 2020 with the expiration of access to the revolving commitment. As of March 31, 2017 , the Company had issued letters of credit for $100 . The Amended and Restated Credit Agreement permits prepayment without any penalties. It also requires prepayments from the net cash proceeds received by the Borrower or any guarantors from certain asset sales and recovery events, subject to certain reinvestment rights, and from excess cash flow, subject to the terms and conditions of the Amended and Restated Credit Agreement. It contains certain customary representations and warranties, and notice requirements for the occurrence of specific events such as the occurrence of any event of default, or pending or threatened litigation. The Amended and Restated Credit Agreement requires compliance with certain financial covenants that the Company believes are usual for facilities and transactions of this type, including a minimum ratio of EBITDA to fixed charges and a maximum ratio of total debt to EBITDA. The Amended and Restated Credit Agreement also contains certain restrictive covenants, which, among other things, place limits on the LLC's activities and those of its subsidiaries, the incurrence of additional indebtedness and additional liens on property and limit the future payment of dividends or distributions. For example, the Amended and Restated Credit Agreement generally prohibits the LLC, Malibu Boats, LLC, and Malibu Domestic International Sales Corp. from paying dividends or making distributions, including to Malibu Boats, Inc. The Amended and Restated Credit Agreement permits, however, distributions based on a member’s allocated taxable income, distributions to fund payments that are required under the tax receivable agreement, payments pursuant to stock option and other benefit plans up to $ 2,000 in any fiscal year, dividends and distributions within the loan parties and dividends payable solely in interests of classes of securities. In addition, the LLC may make dividends and distributions of up to $15,000 in connection with the Company's stock repurchase program and up to $ 6,000 in any fiscal year for any reason, in each case, subject to compliance with other financial covenants. The credit agreement specifies permitted liens, permitted investments and permitted debt. Affirmative covenants governing the timing of monthly, quarterly and annual financial reporting are also included in the credit agreement. In connection with the Amended and Restated Credit Agreement, the Company capitalized $ 1,224 in deferred financing costs. These costs are being amortized over the term of the Amended and Restated Credit Agreement into interest expense using the effective interest method and presented as a direct offset to the total debt outstanding as of March 31, 2017 . On August 4, 2016, in accordance with the Amended and Restated Credit Agreement, the Company exercised its option to prepay $ 15,000 of its outstanding term loan and elected to apply this prepayment to principal installments through June 30, 2018. On October 28, 2016, the Company paid $1,117 of long term debt due to the consolidated excess cash flow prepayment requirement under the terms of its Amended and Restated Credit Agreement. Covenant Compliance As of March 31, 2017 , the Company is in full compliance with the terms of the Amended and Restated Credit Agreement, including all related covenants. Interest Rate Swap On July 1, 2015, the Company entered into a five year floating to fixed interest rate swap with an effective start date of July 1, 2015. The swap is based on a one-month LIBOR rate versus a 1.52 % fixed rate on a notional value of $ 39,250 , which under terms of the Amended and Restated Credit Agreement is equal to 50% of the outstanding balance of the term loan at the time of the swap arrangement. Under ASC Topic 815, Derivatives and Hedging, all derivative instruments are recorded on the consolidated balance sheets at fair value as either short term or long term assets or liabilities based on their anticipated settlement date. Refer to Fair Value Measurements in Note 9. The Company has elected not to designate its interest rate swap as a hedge; therefore, changes in the fair value of the derivative instrument are being recognized in earnings in the Company's unaudited condensed consolidated statements of operations and comprehensive income. During the three months ended March 31, 2017 and 2016, the Company recorded a gain of $116 and a loss of $510 , respectively, and during the nine months ended March 31, 2017 and 2016, the Company recorded a gain of $941 and a loss of $685 , respectively, for the change in fair value of the interest rate swap, which is included in interest expense in the unaudited condensed consolidated statements of operations and comprehensive income. As of March 31, 2017 and June 30, 2016 the fair value of the swap asset and swap liability included in other long-term assets and other long-term liabilities on our unaudited condensed consolidated balance sheets was $78 and $863 , respectively. |
Tax Receivable Agreement Liabil
Tax Receivable Agreement Liability | 9 Months Ended |
Mar. 31, 2017 | |
Tax Receivable Agreement [Abstract] | |
Tax Receivable Agreement Liability | Tax Receivable Agreement Liability The Company has a Tax Receivable Agreement with the pre-IPO owners of the LLC that provides for the payment by the Company to the pre-IPO owners (or their permitted assignees) of 85 % of the amount of the benefits, if any, that the Company is deemed to realize as a result of (i) increases in tax basis and (ii) certain other tax benefits related to the Company entering into the Tax Receivable Agreement, including those attributable to payments under the Tax Receivable Agreement. These contractual payment obligations are obligations of the Company and not of the LLC. The Company's Tax Receivable Agreement liability was determined on an undiscounted basis in accordance with ASC 450, Contingencies , since the contractual payment obligations were deemed to be probable and reasonably estimable. For purposes of the Tax Receivable Agreement, the benefit deemed realized by the Company will be computed by comparing the actual income tax liability of the Company (calculated with certain assumptions) to the amount of such taxes that the Company would have been required to pay had there been no increase to the tax basis of the assets of the LLC as a result of the purchases or exchanges, and had the Company not entered into the Tax Receivable Agreement. The following table reflects the changes to the Company's Tax Receivable Agreement liability: March 31, 2017 June 30, 2016 Payable pursuant to tax receivable agreement $ 93,750 $ 96,470 Additions to tax receivable agreement: Exchange of LLC Units for Class A Common Stock 1,222 111 Payments under tax receivable agreement — (2,831 ) 94,972 93,750 Less current portion under tax receivable agreement (4,360 ) (4,189 ) Payable pursuant to tax receivable agreement, less current portion $ 90,612 $ 89,561 The Tax Receivable Agreement further provides that, upon certain mergers, asset sales or other forms of business combinations or other changes of control, the Company (or its successor) would owe to the pre-IPO owners of the LLC a lump-sum payment equal to the present value of all forecasted future payments that would have otherwise been made under the Tax Receivable Agreement that would be based on certain assumptions, including a deemed exchange of LLC Units and that the Company would have sufficient taxable income to fully utilize the deductions arising from the increased tax basis and other tax benefits related to entering into the Tax Receivable Agreement. The Company also is entitled to terminate the Tax Receivable Agreement, which, if terminated, would obligate the Company to make early termination payments to the pre-IPO owners of the LLC. In addition, a pre-IPO owner may elect to unilaterally terminate the Tax Receivable Agreement with respect to such pre-IPO owner, which would obligate the Company to pay to such existing owner certain payments for tax benefits received through the taxable year of the election. As of March 31, 2017 and June 30, 2016, the Company had recorded deferred tax assets of $112,500 and $111,060 , respectively, associated with basis differences in assets upon acquiring an interest in Malibu Boats Holdings, LLC and pursuant to making an election under Section 754 of the Internal Revenue Code of 1986 (the "Internal Revenue Code"), as amended. The aggregate Tax Receivable Agreement liability represents 85 % of the tax benefits that the Company expects to receive in connection with the Section 754 election. In accordance with the Tax Receivable Agreement, the next annual payment is anticipated approximately 75 days after filing the federal tax return which occurred on March 15, 2017. |
Fair Value Measurements
Fair Value Measurements | 9 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements In determining the fair value of certain assets and liabilities, the Company employs a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. As defined in ASC Topic 820, Fair Value Measurements and Disclosures , fair value is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (i.e., the exit price). Financial assets and financial liabilities recorded on the consolidated balance sheets at fair value are categorized based on the reliability of inputs to the valuation techniques as follows: • Level 1—Financial assets and financial liabilities whose values are based on unadjusted quoted prices in active markets for identical assets. • Level 2—Financial assets and financial liabilities whose values are based on quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in non-active markets; or valuation models whose inputs are observable, directly or indirectly, for substantially the full term of the asset or liability. • Level 3—Financial assets and financial liabilities whose values are based on prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. These inputs reflect the Company’s estimates of the assumptions that market participants would use in valuing the financial assets and financial liabilities. The hierarchy gives the highest priority to Level 1 inputs and the lowest priority to Level 3 inputs. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level in the fair value hierarchy within which the fair value measurement in its entirety falls has been determined based on the lowest level input that is significant to the fair value measurement in its entirety. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability. Assets and liabilities that had recurring fair value measurements were as follows: Fair Value Measurements at Reporting Date Using Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) As of March 31, 2017: Assets Interest rate swap not designated as cash flow hedge $ 78 $ — $ 78 $ — Total assets at fair value $ 78 $ — $ 78 $ — As of June 30, 2016: Liabilities Interest rate swap not designated as cash flow hedge $ 863 $ — $ 863 $ — Total liabilities at fair value $ 863 $ — $ 863 $ — Fair value measurements for the Company’s interest rate swap are classified under Level 2 because such measurements are based on significant other observable inputs. There were no transfers of assets or liabilities between Level 1 and Level 2 as of March 31, 2017 or June 30, 2016. The Company’s nonfinancial assets and liabilities that have nonrecurring fair value measurements include property, plant and equipment, goodwill and intangibles. In assessing the need for goodwill impairment, management relies on a number of factors, including operating results, business plans, economic projections, anticipated future cash flows, transactions and marketplace data. Accordingly, these fair value measurements fall in Level 3 of the fair value hierarchy. The Company generally uses projected cash flows, discounted as necessary, to estimate the fair values of property, plant and equipment and intangibles using key inputs such as management’s projections of cash flows on a held-and-used basis (if applicable), management’s projections of cash flows upon disposition and discount rates. Accordingly, these fair value measurements fall in Level 3 of the fair value hierarchy. These assets and certain liabilities are measured at fair value on a nonrecurring basis as part of the Company’s impairment assessments and as circumstances require. |
Income Taxes
Income Taxes | 9 Months Ended |
Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Tax | Income Taxes Malibu Boats, Inc. is taxed as a C corporation for U.S. income tax purposes and is therefore subject to both federal and state taxation at a corporate level. The LLC continues to operate in the United States as a partnership for U.S. federal income tax purposes. Income taxes are computed in accordance with ASC Topic 740, Income Taxes , and reflect the net tax effects of temporary differences between the financial reporting carrying amounts of assets and liabilities and the corresponding income tax amounts. The Company has deferred tax assets and liabilities and maintains valuation allowances where it is more likely than not that all or a portion of deferred tax assets will not be realized. To the extent the Company determines that it will not realize the benefit of some or all of its deferred tax assets, such deferred tax assets will be adjusted through the Company’s provision for income taxes in the period in which this determination is made. As of March 31, 2017 and June 30, 2016, the Company maintained a valuation allowance of $9,819 and $9,700 , respectively, against deferred tax assets related to state net operating losses and future amortization deductions (with respect to the Section 754 election) that are reported in the Tennessee corporate tax return without offsetting income, which is taxable at the LLC. The increase in the valuation allowance is due to the exchanges of LLC Units into Class A common stock by certain LLC Unit holders during the nine months ended March 31, 2017 . The Company’s consolidated interim effective tax rate is based upon expected annual income from operations, statutory tax rates and tax laws in the various jurisdictions in which the Company operates. Significant or unusual items, including adjustments to accruals for tax uncertainties, are recognized in the quarter in which the related event occurs. For the three months ended March 31, 2017 and 2016 , the Company's effective tax rate was 30.1% and 38.7% , respectively. For the nine months ended March 31, 2017 and 2016 , the Company's effective tax rate was 32.2% and 35.7% , respectively. The principal differences in the Company's effective tax rate with comparable historical periods presented and the statutory federal income tax rate of 35% relate to the impact of the non-controlling interests in the LLC, which is a pass-through entity for U.S. federal tax purposes, and state taxes. The Company's effective tax rate for the three and nine months ended March 31, 2017 and 2016 also reflects the impact of the Company's share of the LLC's permanent items such as non-deductible stock compensation expense attributable to profits interests. Additionally, the Company's effective tax rate for the three and nine months ended March 31, 2017 and 2016 includes the benefit of deductions under Section 199 of the Internal Revenue Code. |
Stock-Based Compensation
Stock-Based Compensation | 9 Months Ended |
Mar. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation On January 6, 2014, the Company’s Board of Directors adopted the Incentive Plan. The Incentive Plan, which became effective on January 1, 2014, reserves for issuance up to 1,700,000 shares of Malibu Boats, Inc. Class A Common Stock for the Company’s employees, consultants, members of its board of directors and other independent contractors at the discretion of the compensation committee. Incentive stock awards authorized under the Incentive Plan include unrestricted shares of Class A Common Stock, stock options, stock appreciation rights, restricted stock, restricted stock units, dividend equivalent awards and performance awards. As of March 31, 2017 , 1,224,384 shares remain available for future issuance under the Incentive Plan. On November 6, 2015, the Company granted 130,564 restricted stock units and restricted stock awards to certain key employees. The grant date fair value of these awards was $1,994 based on a stock price of $15.27 per share on the date of grant. Under the terms of the agreements, approximately 12% of the awards vested immediately on the grant date, approximately 38% vest in substantially equal annual installments over a three or four year period, and the remaining 50% of the awards vest in tranches based on the achievement of annual or cumulative performance targets. Compensation costs associated with performance based awards are recognized over the requisite service period based on probability of achievement in accordance with ASC Topic 718, Compensation—Stock Compensation . On September 14, 2016, 18,863 restricted stock units and restricted stock awards vested based on a stock price of $14.10 for the achievement of the Company's annual performance target. On November 4, 2016, the Company granted 130,500 restricted stock units and restricted stock awards to certain key employees. The grant date fair value of these awards was $2,039 based on a stock price of $ 15.62 per share on the date of grant. Under the terms of the agreements, approximately 63% of the awards vest in substantially equal annual installments over a four year period, and the remaining 37% of the awards vest in tranches based on the achievement of annual performance targets. Compensation costs associated with performance based awards are recognized over the requisite service period based on probability of achievement in accordance with ASC Topic 718, Compensation—Stock Compensation . Readers should refer to Note 14 to the fiscal year 2016 audited consolidated financial statements contained in the Company's Annual Report on Form 10-K for the fiscal year ended June 30, 2016, for additional information related to the Company's other awards and the Incentive Plan. The following is a summary of the changes in non-vested restricted stock units and restricted stock awards for the nine months ended March 31, 2017 : Number of Restricted Stock Units and Restricted Stock Awards Outstanding Weighted Average Grant Date Fair Value Total Non-vested Restricted Stock Units as of June 30, 2016 140,908 $ 16.17 Granted 168,227 15.55 Vested (70,368 ) (15.30 ) Forfeited (975 ) (20.18 ) Total Non-vested Restricted Stock Units as of March 31, 2017 237,792 $ 15.98 Stock compensation expense attributable to the Company's share-based equity awards was $325 and $459 for the three months ended March 31, 2017 and 2016, respectively, and $1,070 and $1,464 for the nine months ended March 31, 2017 and 2016, respectively. Stock compensation expense attributed to share-based equity awards issued under the Incentive Plan and under the previously existing LLC Agreement is recognized on a straight-line basis over the terms of the respective awards and is included in general and administrative expense in the Company's unaudited condensed consolidated statement of operations and comprehensive income. As of March 31, 2017 and June 30, 2016 , unrecognized compensation cost related to nonvested, share-based compensation was $3,080 and $2,131 , respectively. As of March 31, 2017 , the weighted average years outstanding for unvested awards under the Incentive Plan was 2.7 . All awards under the previously existing LLC Agreement were fully vested as of March 31, 2017. During the nine months ended March 31, 2017 , the Company withheld approximately 11,833 shares at an aggregate cost of approximately $167 , as permitted by the applicable equity award agreements, to satisfy employee tax withholding requirements for employee share-based equity awards that have vested and were issued. Awards vesting during the nine months ended March 31, 2017 include 37,727 fully vested restricted stock units issued to non-employee directors for their service as directors for the Company. |
Net Earnings Per Share
Net Earnings Per Share | 9 Months Ended |
Mar. 31, 2017 | |
Earnings Per Share [Abstract] | |
Net Earnings Per Share | Net Earnings Per Share Basic net earnings per share of Class A Common Stock is computed by dividing net earnings attributable to the Company's earnings by the weighted average number of shares of Class A Common Stock outstanding during the period. The weighted average number of shares of Class A Common Stock outstanding used in computing basic net earnings per share includes fully vested restricted stock units awarded to directors that are entitled to participate in distributions to common stockholders through receipt of additional units of equivalent value to the dividends paid to Class A Common stockholders . The portion of consideration paid in Class A Common Stock related to the acquisition of Malibu Boats Pty. Ltd. that is subject to a time-based restriction is also included in the denominator. Diluted net earnings per share of Class A Common Stock is computed similarly to basic net earnings per share except the weighted average shares outstanding are increased to include additional shares from the assumed exercise of any common stock equivalents using the treasury method, if dilutive. The Company’s LLC Units are considered common stock equivalents for this purpose. The number of additional shares of Class A Common Stock related to these common stock equivalents is calculated using the treasury stock method. Basic and diluted net earnings per share of Class A Common Stock for the three and nine months ended March 31, 2017 and 2016 have been computed as follows (in thousands, except share and per share amounts): Three Months Ended Nine Months Ended March 31, 2017 March 31, 2016 March 31, 2017 March 31, 2016 Basic: Net income attributable to Malibu Boats, Inc. $ 8,013 $ 5,776 $ 18,694 $ 14,438 Shares used in computing basic net income per share: Weighted-average Class A Common Stock 17,727,956 17,868,896 17,665,672 17,876,726 Weighted-average participating restricted stock units convertible into Class A Common Stock 149,196 106,818 133,549 91,380 Basic weighted-average shares outstanding 17,877,152 17,975,714 17,799,221 17,968,106 Basic net income per share $ 0.45 $ 0.32 $ 1.05 $ 0.80 Diluted: Net income attributable to Malibu Boats, Inc. $ 8,013 $ 5,776 $ 18,694 $ 14,438 Shares used in computing diluted net income per share: Basic weighted-average shares outstanding 17,877,152 17,975,714 17,799,221 17,968,106 Restricted stock units granted to employees 85,134 27,144 88,045 54,233 Diluted weighted-average shares outstanding 1 17,962,286 18,002,858 17,887,266 18,022,339 Diluted net income per share $ 0.45 $ 0.32 $ 1.05 $ 0.80 1 The Company excluded 1,293,447 and 1,484,611 potentially dilutive shares from the calculation of diluted net income per share for the three ended March 31, 2017 and 2016 and 1,293,447 and 1,415,723 potentially dilutive shares from the calculation of dilute net income for the nine months ended March 31, 2017 and 2016 , respectively, as these shares would have been antidilutive. The shares of Class B Common Stock do not share in the earnings or losses of Malibu Boats, Inc. and are therefore not included in the calculation. Accordingly, basic and diluted net earnings per share of Class B Common Stock has not been presented. |
Commitment and Contingencies
Commitment and Contingencies | 9 Months Ended |
Mar. 31, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Repurchase Commitments In connection with its dealers’ wholesale floor-plan financing of boats, the Company has entered into repurchase agreements with various lending institutions for sales generated from both the U.S. and Australia operating segments. The reserve methodology used to record an estimated expense and loss reserve in each accounting period is based upon an analysis of likely repurchases based on current field inventory and likelihood of repurchase. Subsequent to the inception of the repurchase commitment, the Company evaluates the likelihood of repurchase and adjusts the estimated loss reserve and related statement of operations account accordingly. This potential loss reserve is presented in accrued expenses in the accompanying unaudited condensed consolidated balance sheets. If the Company were obligated to repurchase a significant number of units under any repurchase agreement, its business, operating results and financial condition could be adversely affected. Repurchases and subsequent sales are recorded as a revenue transaction. The net difference between the original repurchase price and the resale price is recorded against the loss reserve and presented in cost of sales in the accompanying unaudited condensed consolidated statement of operations and comprehensive income. No units were repurchased during the three or nine months ended March 31, 2017 . During the fiscal year ended June 30, 2016, the Company agreed to repurchase three units from the lender of two of its former dealers. Other than these repurchase commitments, the Company has not repurchased another unit from lenders since July 1, 2010. Accordingly, the Company did not carry a reserve for repurchases as of March 31, 2017 or June 30, 2016 , respectively. Contingencies Certain conditions may exist which could result in a loss, but which will only be resolved when future events occur. The Company, in consultation with its legal counsel, assesses such contingent liabilities, and such assessments inherently involve an exercise of judgment. If the assessment of a contingency indicates that it is probable that a loss has been incurred, the Company accrues for such contingent loss when it can be reasonably estimated. If the assessment indicates that a potentially material loss contingency is not probable but reasonably estimable, or is probable but cannot be estimated, the nature of the contingent liability, together with an estimate of the range of possible loss if determinable and material, is disclosed. If the assessment of a contingency deemed to be both probable and reasonably estimable involves a range of possible losses, the amount within the range that appears at the time to be a better estimate than any other amount within the range would be accrued. When no amount within the range is a better estimate than any other amount, the minimum amount in the range is accrued even though the minimum amount in the range is not necessarily the amount of loss that will be ultimately determined. Estimates of potential legal fees and other directly related costs associated with contingencies are not accrued but rather are expensed as incurred. Except as disclosed below under "Legal Proceedings," management does not believe there are any pending claims (asserted or unasserted) at March 31, 2017 (unaudited) or June 30, 2016 that may have a material adverse impact on the Company’s financial condition, results of operations or cash flows. Legal Proceedings On June 29, 2015, the Company filed suit against MasterCraft Boat Company, LLC, or "MasterCraft," in the U.S. District Court for the Eastern District of Tennessee, seeking monetary and injunctive relief. The Company's complaint alleged MasterCraft's infringement of a utility patent related to wake surfing technology (U.S. Patent No. 8,578,873). The Court had issued a scheduling order setting deadlines for discovery and other events in the litigation, leading up to a trial beginning on August 14, 2017. On February 16, 2016, the Company filed a second suit against MasterCraft in the U.S. District Court for the Eastern District of Tennessee, seeking monetary and injunctive relief. The Company’s complaint alleges MasterCraft’s infringement of another utility patent related to wake surfing technology (U.S. Patent No. 9,260,161). The Court had issued a scheduling order setting deadlines for discovery and other events in the litigation, leading up to a trial beginning on October 30, 2017. On May 18, 2016, MasterCraft filed two petitions with the U.S. Patent and Trademark Office, or “PTO,” requesting institution of Inter Partes Review, or “IPR,” of the Company’s U.S. Pat. No. 8,578,873, the patent at issue in the first Tennessee lawsuit. On August 23, 2016, the Company filed its preliminary responses to the IPR petitions. On November 16, 2016, the PTO declined to institute IPR in response to either of the two petitions. On September 26, 2016, MasterCraft filed a request with the PTO for Ex Parte Reexamination of the Company’s U.S. Pat. No. 9,260,161, the patent at issue in the second Tennessee lawsuit. On November 18, 2016, the PTO granted that request for ex parte reexamination, and on February 16, 2017, the PTO issued a Non-Final Office Action. On April 17, 2017, the Company filed a Response to the Non-Final Office Action. On May 2, 2017, the Company and MasterCraft entered into a Settlement Agreement (the “MasterCraft Settlement Agreement”) to settle lawsuits filed by the Company in the U.S. District Court for the Eastern District of Tennessee alleging infringement by MasterCraft of two of the Company’s utility patents. Under the terms of the MasterCraft Settlement Agreement, MasterCraft will make a one-time payment of $2,500 and entered into a license agreement for the payment of future royalties for boats sold by MasterCraft using the licensed technology. The parties agreed to dismiss all claims in the patent litigation. On April 22, 2014, Marine Power Holding, LLC ("Marine Power"), a former supplier of engines to the Company, initiated a lawsuit against the Company in the U.S. District Court for the Eastern District of Tennessee seeking monetary damages. On July 10, 2015, the Company filed an Answer and Counterclaim in the lawsuit filed by Marine Power. The Company denied any liability arising from the causes of action alleged by Marine Power. The lawsuit proceeded to trial on August 8, 2016 and on August 18, 2016, a judgment was rendered by the jury against the Company in the litigation with Marine Power resulting in the Company taking a charge of $3,268 during the three months ended June, 30, 2016. The Company subsequently prevailed on post-judgment motions and, on December 15, 2016, the court amended the judgment in the lawsuit for monetary damages to $1,938 . Accordingly, the Company reduced the amount accrued for possible loss in connection with the litigation to the amount in the amended judgment as it represents the best estimate of the Company's loss at this time. On December 23, 2016, Marine Power filed a notice of appeal contesting the court's decision to reduce the amount of the original judgment. The Company has appealed the amended judgment and other rulings of the court and intends to vigorously defend its rights as it relates to the lawsuit, as it continues to believe that Marine Power's case is without merit. On August 26, 2016, Wizard Lake Marine Inc. and Wizard Lake Marine (B.C.) Inc., collectively “Wizard Lake”, a former dealer of the Company’s, initiated a lawsuit against the Company in the Court of Queen’s Bench of Alberta, Canada seeking monetary damages. The suit alleged breach of contract, wrongful termination, misrepresentation, breach of duty of good faith, and intentional interference. Wizard Lake is asking for damages of $8,717 . The Company denies any liability arising from the causes of action alleged by Wizard Lake and plans to vigorously defend the lawsuit. |
Segment Information
Segment Information | 9 Months Ended |
Mar. 31, 2017 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information The following tables present financial information for the Company’s reportable segments for the three and nine months ended March 31, 2017 and 2016, respectively, and the Company’s financial position at March 31, 2017 and June 30, 2016, respectively: Three Months Ended March 31, 2017 Nine Months Ended March 31, 2017 U.S. Australia Eliminations Total U.S. Australia Eliminations Total Net sales $ 73,844 $ 5,491 $ (2,186 ) $ 77,149 $ 196,285 $ 17,158 $ (6,612 ) $ 206,831 Affiliate (or intersegment) sales 2,186 — (2,186 ) — 6,612 — (6,612 ) — Net sales to external customers 71,658 5,491 — 77,149 189,673 17,158 — 206,831 Income (loss) before provision for income taxes 12,193 556 (98 ) 12,651 29,470 1,394 (158 ) 30,706 Three Months Ended March 31, 2016 Nine Months Ended March 31, 2016 U.S. Australia Eliminations Total U.S. Australia Eliminations Total Net sales $ 66,071 $ 5,503 $ (3,035 ) $ 68,539 $ 176,972 $ 15,666 $ (6,353 ) $ 186,285 Affiliate (or intersegment) sales 3,035 — (3,035 ) — 6,353 — (6,353 ) — Net sales to external customers 63,036 5,503 — 68,539 170,619 15,666 — 186,285 Income before provision for income taxes 10,635 230 (249 ) 10,616 25,094 347 (225 ) 25,216 As of March 31, 2017 As of June 30, 2016 Assets U.S. $ 234,268 $ 222,613 Australia 18,263 17,130 Eliminations (17,507 ) (17,417 ) Total assets $ 235,024 $ 222,326 |
Subsequent Events
Subsequent Events | 9 Months Ended |
Mar. 31, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On May 2, 2017, the Company and MasterCraft entered into the MasterCraft Settlement Agreement to settle lawsuits filed by the Company in the U.S. District Court for the Eastern District of Tennessee alleging infringement by MasterCraft of two of the Company ’ s utility patents. Under the terms of the MasterCraft Settlement Agreement, MasterCraft will make a one-time payment of $2,500 and entered into a license agreement for the payment of future royalties for boats sold by MasterCraft using the licensed technology. The parties agreed to dismiss all claims in the patent litigation. |
Organization, Basis of Presen22
Organization, Basis of Presentation, and Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Mar. 31, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of presentation | Basis of Presentation The accompanying unaudited interim condensed consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim condensed financial statements and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all information and disclosures of results of operations, financial position and changes in cash flow in conformity with GAAP for complete financial statements. Such statements should be read in conjunction with the audited consolidated financial statements and notes thereto of Malibu Boats, Inc. and subsidiaries for the year ended June 30, 2016 included in the Company's Annual Report on Form 10-K. In the opinion of management, the accompanying unaudited interim condensed consolidated financial statements reflect all adjustments considered necessary to present fairly the Company’s financial position at March 31, 2017 and the results of its operations for the three and nine month periods ended March 31, 2017 and March 31, 2016 and its cash flows for the nine month periods ended March 31, 2017 and March 31, 2016 . Operating results for the nine months ended March 31, 2017 are not necessarily indicative of the results that may be expected for the full year ending June 30, 2017 . Certain reclassifications have been made to the prior period presentation to conform to the current period presentation. Units and shares are presented as whole numbers while all dollar amounts are presented in thousands, unless otherwise noted. |
Principals of consolidation | Principles of Consolidation The accompanying unaudited condensed consolidated financial statements include the operations and accounts of the Company and all subsidiaries thereof. All intercompany balances and transactions have been eliminated upon consolidation. |
Recent accounting pronouncements | Recent Accounting Pronouncements In May 2014, the FASB and International Accounting Standards Board jointly issued a final standard on revenue recognition which outlines a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers. This standard will supersede most current revenue recognition guidance. Under the new standard, entities are required to identify the contract with a customer; identify the separate performance obligations in the contract; determine the transaction price; allocate the transaction price to the separate performance obligations in the contract; and recognize the appropriate amount of revenue when (or as) the entity satisfies each performance obligation. Accounting Standards Update (“ASU”) 2014-09 will now become effective for fiscal years beginning after December 15, 2017. In August 2015, FASB issued ASU 2015-14, Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date , to extend the mandatory effective date by one year. Entities have the option of using either the retrospective or cumulative effect transition method. The Company is currently evaluating the approach it will use to apply the new standard and the impact that the adoption of the new standard will have on the Company’s consolidated financial statements. In July 2015, the FASB issued ASU 2015-11, Simplifying the Measurement of Inventory . This ASU changes the measurement principle for inventories valued under the first-in, first-out or weighted-average methods from the lower of cost or market to the lower of cost and net realizable value. Net realizable value is defined by the FASB as estimated selling prices in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. This ASU does not change the measurement principles for inventories valued under the last-in, first-out method. This amendment is effective for fiscal years beginning after December, 15, 2016, including interim periods within those fiscal years and should be applied prospectively with earlier application permitted as of the beginning of an interim or annual reporting period. The Company is currently evaluating the impact of adopting this ASU, but does not expect it will have a material impact. In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) . This guidance establishes a right-of-use (“ROU”) model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. The new standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. A modified retrospective transition approach is required for lessees for capital and operating leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements, with certain practical expedients available. The Company is currently assessing the potential impact of this ASU on its consolidated financial statements and footnote disclosures. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments . This ASU is effective for fiscal years beginning after December 15, 2017 and interim periods within those fiscal years with early adoption permitted. This guidance provides specific classification of how certain cash receipts and cash payments are presented in the statement of cash flows. The ASU should be applied using a retrospective transition method. If it is impracticable to apply the amendments retrospectively for some of the cash flow issues, the amendments for those issues should then be applied prospectively at the earliest date practicable. The Company is currently assessing the potential impact of this ASU on its presentation of the consolidated statement of cash flows. In January 2017, the FASB issued ASU 2017-04, Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. The purpose of this ASU is to simplify the subsequent measurement of goodwill by removing the second step of the two-step impairment test. The amendment should be applied on a prospective basis. This ASU is effective for fiscal years beginning after December 15, 2019, including interim periods within that year. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company is currently evaluating the potential impact of this ASU on its presentation of the consolidated financial statements and related disclosures. There are no other new accounting pronouncements that are expected to have a significant impact on the Company's consolidated financial statements and related disclosures. |
Non-controlling Interest (Table
Non-controlling Interest (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Noncontrolling Interest [Abstract] | |
Non-controlling Interest | The ownership of Malibu Boats Holdings, LLC is summarized as follows: As of March 31, 2017 As of June 30, 2016 Units Ownership % Units Ownership % Non-controlling LLC Unit holders ownership in Malibu Boats Holdings, LLC 1,260,627 6.6 % 1,404,923 7.4 % Malibu Boats, Inc. ownership in Malibu Boats Holdings, LLC 17,930,617 93.4 % 17,690,874 92.6 % 19,191,244 100.0 % 19,095,797 100.0 % |
Schedule of Noncontrolling Interest | The changes in the balance of the Company's non-controlling interest are as follows: Balance of non-controlling interest as of June 30, 2016 $ 4,679 Allocation of income to non-controlling LLC Unit holders for period 2,115 Distributions paid and payable to non-controlling LLC Unit holders for period (1,231 ) Reallocation of non-controlling ownership interests in exchange for Class A Common Stock (2,789 ) Balance of non-controlling interest as of March 31, 2017 $ 2,774 |
Inventories (Tables)
Inventories (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories, net consisted of the following: As of March 31, 2017 As of June 30, 2016 Raw materials $ 18,292 $ 14,858 Work in progress 3,028 1,250 Finished goods 6,045 4,323 Total inventories $ 27,365 $ 20,431 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | Property and equipment, net consisted of the following: As of March 31, 2017 As of June 30, 2016 Land $ 367 $ 254 Building and leasehold improvements 10,216 7,168 Machinery and equipment 21,384 20,035 Furniture and fixtures 2,873 2,765 Construction in process 2,884 356 37,724 30,578 Less: Accumulated depreciation (15,770 ) (12,765 ) Property and equipment, net $ 21,954 $ 17,813 |
Goodwill and Other Intangible26
Goodwill and Other Intangible Assets (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The changes in the carrying amount of goodwill for the nine months ended March 31, 2017 were as follows: Goodwill as of June 30, 2016 $ 12,470 Effect of foreign currency changes on goodwill 184 Goodwill as of March 31, 2017 $ 12,654 |
Schedule of Acquired Finite-Lived Intangible Assets by Major Class | The components of other intangible assets were as follows: As of March 31, 2017 As of June 30, 2016 Estimated Useful Life (in years) Weighted Average Remaining Useful Life (in years) Reacquired franchise rights $ 1,376 $ 1,339 5 2.6 Dealer relationships 29,837 29,773 8-15 12.6 Patent 1,386 1,386 12 1.3 Trade name 24,667 24,667 15 4.4 Non-compete agreement 54 52 10 7.6 Backlog 96 93 0.3 0.0 Total 57,416 57,310 Less: Accumulated amortization (47,283 ) (45,607 ) Total other intangible assets, net $ 10,133 $ 11,703 |
Schedule of finite-lived intangible assets, future amortization expense | The estimated future amortization of definite-lived intangible assets is as follows: Fiscal years ending June 30: Remainder of 2017 $ 551 2018 2,204 2019 2,097 2020 1,899 2021 1,813 Thereafter 1,569 $ 10,133 |
Product Warranties (Tables)
Product Warranties (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Product Warranties Disclosures [Abstract] | |
Product Warranties | Changes in the Company’s product warranty liability, which is included in accrued expenses on the unaudited condensed consolidated balance sheets, were as follows: Three Months Ended Nine Months Ended March 31, 2017 March 31, 2016 March 31, 2017 March 31, 2016 Beginning balance $ 9,204 $ 7,176 $ 8,083 $ 6,610 Add: Warranty expense 2,222 1,447 5,863 3,990 Less: Warranty claims paid (1,244 ) (880 ) (3,764 ) (2,857 ) Ending balance $ 10,182 $ 7,743 $ 10,182 $ 7,743 |
Financing (Tables)
Financing (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Debt | Outstanding debt consisted of the following: As of March 31, 2017 As of June 30, 2016 Term loan $ 55,883 $ 72,000 Less unamortized debt issuance costs (731 ) (914 ) Total debt 55,152 71,086 Less current maturities — (8,000 ) Long-term debt less current maturities $ 55,152 $ 63,086 |
Tax Receivable Agreement Liab29
Tax Receivable Agreement Liability (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Tax Receivable Agreement [Abstract] | |
Tax Receivable Agreement Liability | The following table reflects the changes to the Company's Tax Receivable Agreement liability: March 31, 2017 June 30, 2016 Payable pursuant to tax receivable agreement $ 93,750 $ 96,470 Additions to tax receivable agreement: Exchange of LLC Units for Class A Common Stock 1,222 111 Payments under tax receivable agreement — (2,831 ) 94,972 93,750 Less current portion under tax receivable agreement (4,360 ) (4,189 ) Payable pursuant to tax receivable agreement, less current portion $ 90,612 $ 89,561 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities on Recurring Basis | Assets and liabilities that had recurring fair value measurements were as follows: Fair Value Measurements at Reporting Date Using Total Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) As of March 31, 2017: Assets Interest rate swap not designated as cash flow hedge $ 78 $ — $ 78 $ — Total assets at fair value $ 78 $ — $ 78 $ — As of June 30, 2016: Liabilities Interest rate swap not designated as cash flow hedge $ 863 $ — $ 863 $ — Total liabilities at fair value $ 863 $ — $ 863 $ — |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Summary of the Changes in Non-vested Restricted | The following is a summary of the changes in non-vested restricted stock units and restricted stock awards for the nine months ended March 31, 2017 : Number of Restricted Stock Units and Restricted Stock Awards Outstanding Weighted Average Grant Date Fair Value Total Non-vested Restricted Stock Units as of June 30, 2016 140,908 $ 16.17 Granted 168,227 15.55 Vested (70,368 ) (15.30 ) Forfeited (975 ) (20.18 ) Total Non-vested Restricted Stock Units as of March 31, 2017 237,792 $ 15.98 |
Net Earnings Per Share (Tables)
Net Earnings Per Share (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of Basic and Diluted Net Income per Share | Basic and diluted net earnings per share of Class A Common Stock for the three and nine months ended March 31, 2017 and 2016 have been computed as follows (in thousands, except share and per share amounts): Three Months Ended Nine Months Ended March 31, 2017 March 31, 2016 March 31, 2017 March 31, 2016 Basic: Net income attributable to Malibu Boats, Inc. $ 8,013 $ 5,776 $ 18,694 $ 14,438 Shares used in computing basic net income per share: Weighted-average Class A Common Stock 17,727,956 17,868,896 17,665,672 17,876,726 Weighted-average participating restricted stock units convertible into Class A Common Stock 149,196 106,818 133,549 91,380 Basic weighted-average shares outstanding 17,877,152 17,975,714 17,799,221 17,968,106 Basic net income per share $ 0.45 $ 0.32 $ 1.05 $ 0.80 Diluted: Net income attributable to Malibu Boats, Inc. $ 8,013 $ 5,776 $ 18,694 $ 14,438 Shares used in computing diluted net income per share: Basic weighted-average shares outstanding 17,877,152 17,975,714 17,799,221 17,968,106 Restricted stock units granted to employees 85,134 27,144 88,045 54,233 Diluted weighted-average shares outstanding 1 17,962,286 18,002,858 17,887,266 18,022,339 Diluted net income per share $ 0.45 $ 0.32 $ 1.05 $ 0.80 1 The Company excluded 1,293,447 and 1,484,611 potentially dilutive shares from the calculation of diluted net income per share for the three ended March 31, 2017 and 2016 and 1,293,447 and 1,415,723 potentially dilutive shares from the calculation of dilute net income for the nine months ended March 31, 2017 and 2016 , respectively, as these shares |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Mar. 31, 2017 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | The following tables present financial information for the Company’s reportable segments for the three and nine months ended March 31, 2017 and 2016, respectively, and the Company’s financial position at March 31, 2017 and June 30, 2016, respectively: Three Months Ended March 31, 2017 Nine Months Ended March 31, 2017 U.S. Australia Eliminations Total U.S. Australia Eliminations Total Net sales $ 73,844 $ 5,491 $ (2,186 ) $ 77,149 $ 196,285 $ 17,158 $ (6,612 ) $ 206,831 Affiliate (or intersegment) sales 2,186 — (2,186 ) — 6,612 — (6,612 ) — Net sales to external customers 71,658 5,491 — 77,149 189,673 17,158 — 206,831 Income (loss) before provision for income taxes 12,193 556 (98 ) 12,651 29,470 1,394 (158 ) 30,706 Three Months Ended March 31, 2016 Nine Months Ended March 31, 2016 U.S. Australia Eliminations Total U.S. Australia Eliminations Total Net sales $ 66,071 $ 5,503 $ (3,035 ) $ 68,539 $ 176,972 $ 15,666 $ (6,353 ) $ 186,285 Affiliate (or intersegment) sales 3,035 — (3,035 ) — 6,353 — (6,353 ) — Net sales to external customers 63,036 5,503 — 68,539 170,619 15,666 — 186,285 Income before provision for income taxes 10,635 230 (249 ) 10,616 25,094 347 (225 ) 25,216 As of March 31, 2017 As of June 30, 2016 Assets U.S. $ 234,268 $ 222,613 Australia 18,263 17,130 Eliminations (17,507 ) (17,417 ) Total assets $ 235,024 $ 222,326 |
Organization, Basis of Presen34
Organization, Basis of Presentation, and Summary of Significant Accounting Policies Narrative (Details) | 9 Months Ended | |
Mar. 31, 2017Segment | Jun. 30, 2016USD ($) | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Number of reportable segments | Segment | 2 | |
Immaterial Error Correction [Member] | ||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||
Immaterial error correction | $ | $ 1,796,000 |
Non-controlling Interest Owners
Non-controlling Interest Ownership (Details) - shares | Mar. 31, 2017 | Jun. 30, 2016 |
Class of Stock [Line Items] | ||
Units | 19,191,244 | 19,095,797 |
Ownership % | 100.00% | 100.00% |
Non-controlling LLC Unit holders ownership in Malibu Boats Holdings, LLC | Malibu Boat LLC [Member] | ||
Class of Stock [Line Items] | ||
Units | 1,260,627 | 1,404,923 |
Ownership % | 6.60% | 7.40% |
Malibu Boats, Inc. ownership in Malibu Boats Holdings, LLC | Parent Company [Member] | ||
Class of Stock [Line Items] | ||
Units | 17,930,617 | 17,690,874 |
Ownership % | 93.40% | 92.60% |
Non-controlling Interest Change
Non-controlling Interest Change in Non-controling interest (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | ||||
Balance of non-controlling interest as of June 30, 2016 | $ 4,679 | |||
Allocation of income to non-controlling LLC Unit holders for period | $ 833 | $ 731 | 2,115 | $ 1,767 |
Distributions paid and payable to non-controlling LLC Unit holders for period | 1,208 | |||
Reallocation of non-controlling ownership interests in exchange for Class A Common Stock | 2 | |||
Balance of non-controlling interest as of March 31, 2017 | $ 2,774 | 2,774 | ||
Non-controlling LLC Unit holders ownership in Malibu Boats Holdings, LLC | ||||
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | ||||
Distributions paid and payable to non-controlling LLC Unit holders for period | 1,231 | |||
Reallocation of non-controlling ownership interests in exchange for Class A Common Stock | $ (2,789) |
Non-controlling Interest Narrat
Non-controlling Interest Narrative (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended | |
Mar. 31, 2017 | Mar. 31, 2016 | Jun. 30, 2016 | |
Noncontrolling Interest [Line Items] | |||
Treasury stock, shares, retired (in shares) | (5,873,000) | ||
Tax distributions payable to non-controlling LLC Unit holders | $ 520 | $ 434 | |
Non-controlling LLC Unit holders ownership in Malibu Boats Holdings, LLC | |||
Noncontrolling Interest [Line Items] | |||
Tax distributions payable to non-controlling LLC Unit holders | 520 | $ 341 | |
Tax distributions paid to non-controlling LLC Unit holders | $ 1,052 | $ 660 | |
Class A Common Stock [Member] | |||
Noncontrolling Interest [Line Items] | |||
Issuance LLC Units (in shares) | 245,616 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 18,292 | $ 14,858 |
Work in progress | 3,028 | 1,250 |
Finished goods | 6,045 | 4,323 |
Total inventories | $ 27,365 | $ 20,431 |
Property and Equipment (Details
Property and Equipment (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 |
Property, Plant and Equipment [Line Items] | ||
Property equipment, gross | $ 37,724 | $ 30,578 |
Less: Accumulated depreciation | (15,770) | (12,765) |
Property and equipment, net | 21,954 | 17,813 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Property equipment, gross | 367 | 254 |
Building and leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property equipment, gross | 10,216 | 7,168 |
Machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property equipment, gross | 21,384 | 20,035 |
Furniture and fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Property equipment, gross | 2,873 | 2,765 |
Construction in process | ||
Property, Plant and Equipment [Line Items] | ||
Property equipment, gross | $ 2,884 | $ 356 |
Property and Equipment Narrativ
Property and Equipment Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Property, Plant and Equipment [Abstract] | ||||
Depreciation | $ 1,050 | $ 833 | $ 3,044 | $ 2,449 |
Goodwill and Other Intangible41
Goodwill and Other Intangible Assets - Carrying Amount of Goodwill (Details) $ in Thousands | 9 Months Ended |
Mar. 31, 2017USD ($) | |
Goodwill [Roll Forward] | |
Goodwill as of June 30, 2016 | $ 12,470 |
Effect of foreign currency changes on goodwill | 184 |
Goodwill as of March 31, 2017 | $ 12,654 |
Goodwill and Other Intangible42
Goodwill and Other Intangible Assets - Other Intangible Assets (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Mar. 31, 2017 | Jun. 30, 2016 | |
Goodwill [Line Items] | ||
Gross Carrying Amount | $ 57,416 | $ 57,310 |
Accumulated Amortization | (47,283) | (45,607) |
Total other intangible assets, net | 10,133 | 11,703 |
Reacquired franchise rights | ||
Goodwill [Line Items] | ||
Gross Carrying Amount | $ 1,376 | 1,339 |
Estimated Useful Life (in years) | 5 years | |
Weighted Average Remaining Useful Life (in years) | 2 years 7 months | |
Dealer relationships | ||
Goodwill [Line Items] | ||
Gross Carrying Amount | $ 29,837 | 29,773 |
Weighted Average Remaining Useful Life (in years) | 12 years 7 months 3 days | |
Patent | ||
Goodwill [Line Items] | ||
Gross Carrying Amount | $ 1,386 | 1,386 |
Estimated Useful Life (in years) | 12 years | |
Weighted Average Remaining Useful Life (in years) | 1 year 3 months 20 days | |
Trade name | ||
Goodwill [Line Items] | ||
Gross Carrying Amount | $ 24,667 | 24,667 |
Estimated Useful Life (in years) | 15 years | |
Weighted Average Remaining Useful Life (in years) | 4 years 4 months 23 days | |
Non-compete agreement | ||
Goodwill [Line Items] | ||
Gross Carrying Amount | $ 54 | 52 |
Estimated Useful Life (in years) | 10 years | |
Weighted Average Remaining Useful Life (in years) | 7 years 6 months 23 days | |
Backlog | ||
Goodwill [Line Items] | ||
Gross Carrying Amount | $ 96 | $ 93 |
Estimated Useful Life (in years) | 3 months 22 days | |
Weighted Average Remaining Useful Life (in years) | 1 day | |
Minimum | Dealer relationships | ||
Goodwill [Line Items] | ||
Estimated Useful Life (in years) | 8 years | |
Maximum | Dealer relationships | ||
Goodwill [Line Items] | ||
Estimated Useful Life (in years) | 15 years |
Goodwill and Other Intangible43
Goodwill and Other Intangible Assets - Intangible Assets - Future Amortization (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Remainder of 2017 | $ 551 | |
2,018 | 2,204 | |
2,019 | 2,097 | |
2,020 | 1,899 | |
2,021 | 1,813 | |
Thereafter | 1,569 | |
Net Book Value | $ 10,133 | $ 11,703 |
Goodwill and Other Intangible44
Goodwill and Other Intangible Assets - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Amortization of intangible assets | $ 550 | $ 545 | $ 1,649 | $ 1,637 |
Product Warranties Narrative (D
Product Warranties Narrative (Details) | 9 Months Ended |
Mar. 31, 2017 | |
Malibu and Axis Products MY16 and subsequent | |
Product Warranty Liability [Line Items] | |
Standard product warranty, period | 5 years |
Malibu boats MY15 and prior | |
Product Warranty Liability [Line Items] | |
Standard product warranty, period | 3 years |
Axis boats MY15 and prior | |
Product Warranty Liability [Line Items] | |
Standard product warranty, period | 2 years |
Product Warranties (Details)
Product Warranties (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Movement in Standard Product Warranty Accrual [Roll Forward] | ||||
Beginning balance | $ 9,204 | $ 7,176 | $ 8,083 | $ 6,610 |
Add: Warranty expense | 2,222 | 1,447 | 5,863 | 3,990 |
Less: Warranty claims paid | (1,244) | (880) | (3,764) | (2,857) |
Ending balance | $ 10,182 | $ 7,743 | $ 10,182 | $ 7,743 |
Financing Debt (Details)
Financing Debt (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Term loan | $ 55,883 | $ 72,000 |
Term loan | 55,152 | 71,086 |
Less current maturities | 0 | (8,000) |
Long-term debt less current maturities | 55,152 | 63,086 |
New Accounting Principles, Early Adoption | April 2015 Term Loan | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Less unamortized debt issuance costs | $ (731) | $ (914) |
Financing (Long-Term Debt Narra
Financing (Long-Term Debt Narratives) (Details) - USD ($) | Oct. 28, 2016 | Aug. 04, 2016 | Jul. 01, 2015 | Apr. 02, 2015 | Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | Jun. 30, 2016 |
Line of Credit Facility [Line Items] | |||||||||
Long-term Debt | $ 55,152,000 | $ 55,152,000 | $ 71,086,000 | ||||||
Credit agreement distributions allowable, amount | 2,000,000 | ||||||||
Amount available for dividend distribution without affecting capital adequacy requirements | 6,000,000 | 6,000,000 | |||||||
Principal payments on long-term borrowings | $ 1,117,000 | $ 15,000,000 | 16,117,000 | $ 4,500,000 | |||||
Derivative, term of contract | 5 years | ||||||||
Fixed quarterly interest rate | 152.00% | ||||||||
Derivative notional amount | $ 39,250,000 | ||||||||
Outstanding balance, percent | 50.00% | ||||||||
Derivative, gain on derivative | 116,000 | 941,000 | |||||||
Derivative, loss on derivative | $ 510,000 | $ 685,000 | |||||||
Revolving Credit Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | 25,000,000 | 25,000,000 | |||||||
Amount outstanding | 0 | 0 | |||||||
Term Loan | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Long-term Debt | $ 80,000,000 | ||||||||
Letter of Credit | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | 5,000,000 | 5,000,000 | |||||||
Amount outstanding | 100,000 | 100,000 | |||||||
Swing Line of Credit | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Maximum borrowing capacity | 5,000,000 | 5,000,000 | |||||||
Amount outstanding | $ 0 | $ 0 | |||||||
Long-term Debt | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Long-term debt, weighted average interest rate | 3.06% | 3.06% | |||||||
London Interbank Offered Rate (LIBOR) | Revolving Credit Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, basis spread on variable rate | 100.00% | ||||||||
Base Rate | Revolving Credit Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, basis spread on variable rate | 50.00% | ||||||||
Minimum | Revolving Credit Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Line of credit facility, unused capacity, commitment fee percentage | 25.00% | ||||||||
Minimum | London Interbank Offered Rate (LIBOR) | Revolving Credit Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, basis spread on variable rate | 200.00% | ||||||||
Minimum | Base Rate | Revolving Credit Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, basis spread on variable rate | 100.00% | ||||||||
Maximum | Revolving Credit Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Line of credit facility, unused capacity, commitment fee percentage | 40.00% | ||||||||
Maximum | London Interbank Offered Rate (LIBOR) | Revolving Credit Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, basis spread on variable rate | 275.00% | ||||||||
Maximum | Base Rate | Revolving Credit Facility | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, basis spread on variable rate | 175.00% | ||||||||
Debt Instrument, Redemption, Period One | Long-term Debt | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, periodic payment | $ 1,500,000 | ||||||||
Debt Instrument, Redemption, Period Two | Long-term Debt | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, periodic payment | 2,000,000 | ||||||||
Debt Instrument, Redemption, Period Three | Long-term Debt | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Debt instrument, periodic payment | 2,500,000 | ||||||||
U.S. Segment | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Deferred finance costs | $ 1,224,000 | ||||||||
Class A Common Stock | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Stock repurchase program, authorized amount | $ 15,000,000 | $ 15,000,000 | |||||||
Interest Rate Swap | |||||||||
Line of Credit Facility [Line Items] | |||||||||
Derivative Asset | $ 78,000 | $ 78,000 | |||||||
Interest rate swap not designated as cash flow hedge | $ 863,000 |
Tax Receivable Agreement Liab49
Tax Receivable Agreement Liability (Details) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Mar. 31, 2017 | Jun. 30, 2016 | |
Tax Receivable Agreement [Line Items] | ||
Tax receivable agreement, percentage of realized cash saving in tax to pass through | 8500.00% | |
Tax Receivable Agreement [Roll Forward] | ||
Payable pursuant to tax receivable agreement | $ 93,750 | $ 96,470 |
Additions to tax receivable agreement: | ||
Payments under tax receivable agreement | 0 | (2,831) |
Payable pursuant to tax receivable agreement | 94,972 | 93,750 |
Less current portion under tax receivable agreement | (4,360) | (4,189) |
Payable pursuant to tax receivable agreement | 89,561 | |
Exchange of LLC Units for Class A Shares | ||
Additions to tax receivable agreement: | ||
Exchange of LLC Units for Class A Common Stock | $ 1,222 | $ 111 |
Tax Receivable Agreement Liab50
Tax Receivable Agreement Liability Narrative (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 |
Tax Receivable Agreement [Abstract] | ||
Tax receivable agreement, percentage of realized cash saving in tax to pass through | 8500.00% | |
Deferred tax assets, investment in subsidiaries | $ 112,500 | $ 111,060 |
Fair Value Measurements (Detail
Fair Value Measurements (Details) - Recurring - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 |
Assets | ||
Interest rate swap not designated as cash flow hedge | $ 78 | |
Liabilities | ||
Interest rate swap not designated as cash flow hedge | $ 863 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets | ||
Interest rate swap not designated as cash flow hedge | 0 | |
Liabilities | ||
Interest rate swap not designated as cash flow hedge | 0 | |
Significant Other Observable Inputs (Level 2) | ||
Assets | ||
Interest rate swap not designated as cash flow hedge | 78 | |
Liabilities | ||
Interest rate swap not designated as cash flow hedge | 863 | |
Significant Unobservable Inputs (Level 3) | ||
Assets | ||
Interest rate swap not designated as cash flow hedge | $ 0 | |
Liabilities | ||
Interest rate swap not designated as cash flow hedge | $ 0 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | Jun. 30, 2016 | |
Income Tax Disclosure [Abstract] | |||||
Deferred tax assets, valuation allowance | $ 9,819 | $ 9,819 | $ 9,700 | ||
Effective income tax rate reconciliation, percent | 30.10% | 38.70% | 32.20% | 35.70% | |
Effective income tax rate reconciliation, at federal statutory income tax rate, percent | 35.00% |
Stock-Based Compensation Summar
Stock-Based Compensation Summary of Changes in Non-vested Restricted Shares (Details) - $ / shares | Nov. 04, 2016 | Nov. 06, 2015 | Mar. 31, 2017 |
Number of Restricted Stock Units and Restricted Stock Awards Outstanding | |||
Forfeited (in shares) | (975) | ||
Restricted Stock | |||
Number of Restricted Stock Units and Restricted Stock Awards Outstanding | |||
Total Non-vested Restricted Stock Units as of June 30, 2016 (in shares) | 140,908 | ||
Granted (in shares) | 168,227 | ||
Vested (in shares) | (70,368) | ||
Total Non-vested Restricted Stock Units as of December 31, 2016 (in shares) | 237,792 | ||
Weighted Average Grant Date Fair Value | |||
Total Non-vested Restricted Stock Units as of June 30, 2016 (in usd per share) | $ 16.17 | ||
Granted (in usd per share) | $ 15.62 | $ 15.27 | 15.55 |
Vested (in usd per share) | (15.30) | ||
Forfeited (in usd per share) | (20.18) | ||
Total Non-vested Restricted Stock Units as of December 31, 2016 (in usd per share) | $ 15.98 |
Stock-Based Compensation Narrat
Stock-Based Compensation Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands | Nov. 04, 2016 | Sep. 14, 2016 | Nov. 06, 2015 | Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | Jun. 30, 2016 | Jan. 01, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Cash paid for withholding taxes on vested restricted stock | $ 167 | $ 0 | |||||||
Restricted Stock | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Non-Option equity instruments, granted (in shares) | 130,500 | 130,564 | |||||||
Equity instruments other than options, grants in period, grant date fair value | $ 2,039 | $ 1,994 | |||||||
Granted (in usd per share) | $ 15.62 | $ 15.27 | $ 15.55 | ||||||
Vested (in shares) | 70,368 | ||||||||
Stock compensation expense | $ 325 | $ 459 | $ 1,070 | $ 1,464 | |||||
Unrecognized compensation cost | $ 3,080 | $ 3,080 | $ 2,131 | ||||||
Shares paid for tax withholding for share based compensation (in shares) | 11,833 | ||||||||
Cash paid for withholding taxes on vested restricted stock | $ 167 | ||||||||
Long-Term Incentive Plan | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Shares reserved for issuance in the Long-Term Incentive Plan (in shares) | 1,700,000 | ||||||||
Share-based compensation arrangement by share-based payment award, number of shares available for grant | 1,224,384 | 1,224,384 | |||||||
Weighted average years outstanding for unvested awards | 2 years 8 months | ||||||||
Long-Term Incentive Plan | Restricted Stock | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Issuances of equity for services (in shares) | 37,727 | ||||||||
Share-based Compensation Award, Tranche One | Restricted Stock | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Award vesting rights, percentage | 63.00% | 12.00% | |||||||
Share-based Compensation Award, Tranche Two | Restricted Stock | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Award vesting rights, percentage | 37.00% | 38.00% | |||||||
Share-based Compensation Award, Tranche Three | Restricted Stock | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Award vesting rights, percentage | 50.00% | ||||||||
November 6, 2015 Grant | Restricted Stock | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Granted (in usd per share) | $ 14.10 | ||||||||
Vested (in shares) | 18,863 | ||||||||
Minimum | Share-based Compensation Award, Tranche Two | Restricted Stock | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Award vesting period | 4 years | 3 years |
Net Earnings Per Share (Details
Net Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Basic: | ||||
Net income attributable to Malibu Boats, Inc. | $ 8,013 | $ 5,776 | $ 18,694 | $ 14,438 |
Basic weighted-average shares outstanding | 17,877,152 | 17,975,714 | 17,799,221 | 17,968,106 |
Basic net income (loss) per share (in dollars per share) | $ 0.45 | $ 0.32 | $ 1.05 | $ 0.80 |
Diluted: | ||||
Net income attributable to Malibu Boats, Inc. | $ 8,013 | $ 5,776 | $ 18,694 | $ 14,438 |
Shares used in computing basic net income per share: | 17,877,152 | 17,975,714 | 17,799,221 | 17,968,106 |
Weighted average shares outstanding used in computing net income per share, Diluted (in shares) | 17,962,286 | 18,002,858 | 17,887,266 | 18,022,339 |
Diluted net income (loss) per share (in dollars per share) | $ 0.45 | $ 0.32 | $ 1.05 | $ 0.80 |
Antidilutive securities excluded from computation of earnings per share, amount (in shares) | 1,293,447 | 1,484,611 | 1,293,447 | 1,415,723 |
Class A Common Stock | ||||
Basic: | ||||
Basic weighted-average shares outstanding | 17,727,956 | 17,868,896 | 17,665,672 | 17,876,726 |
Diluted: | ||||
Shares used in computing basic net income per share: | 17,727,956 | 17,868,896 | 17,665,672 | 17,876,726 |
Restricted Stock Units (RSUs) | ||||
Diluted: | ||||
Weighted-average restricted shares. adjustments | 85,134 | 27,144 | 88,045 | 54,233 |
Fully Vested/Participating | Restricted Stock Units (RSUs) | ||||
Basic: | ||||
Basic weighted-average shares outstanding | 149,196 | 106,818 | 133,549 | 91,380 |
Diluted: | ||||
Shares used in computing basic net income per share: | 149,196 | 106,818 | 133,549 | 91,380 |
Commitment and Contingencies (D
Commitment and Contingencies (Details) $ in Thousands | May 02, 2017USD ($) | Aug. 18, 2016USD ($) | Mar. 31, 2017USD ($)Members | Mar. 31, 2017member | Jun. 30, 2016member | Dec. 15, 2016USD ($) |
Subsequent Event [Line Items] | ||||||
Repurchase units, number | 0 | 0 | 3 | |||
Repurchase dealers, number | member | 2 | |||||
Litigation settlement for (against) | $ (3,268) | |||||
Amended litigation settlement, amount | $ 1,938 | |||||
Loss contingency, damages sought | $ 8,717 | |||||
Subsequent Event | ||||||
Subsequent Event [Line Items] | ||||||
Litigation settlement for (against) | $ 3,000 |
Segment Information (Details)
Segment Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2016 | Mar. 31, 2017 | Mar. 31, 2016 | |
Segment Reporting Information [Line Items] | ||||
Net Sales | $ 77,149 | $ 68,539 | $ 206,831 | $ 186,285 |
Income before provision for income taxes | 12,651 | 10,616 | 30,706 | 25,216 |
U.S. | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 71,658 | 63,036 | 189,673 | 170,619 |
Income before provision for income taxes | 12,193 | 10,635 | 29,470 | 25,094 |
Australia | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 5,491 | 5,503 | 17,158 | 15,666 |
Income before provision for income taxes | 556 | 230 | 1,394 | 347 |
Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 77,149 | 68,539 | 206,831 | 186,285 |
Operating Segments | U.S. | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 73,844 | 66,071 | 196,285 | 176,972 |
Operating Segments | Australia | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | 5,491 | 5,503 | 17,158 | 15,666 |
Intersegment Eliminations | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | (2,186) | (3,035) | (6,612) | (6,353) |
Income before provision for income taxes | (98) | (249) | (158) | (225) |
Intersegment Eliminations | U.S. | ||||
Segment Reporting Information [Line Items] | ||||
Net Sales | $ 2,186 | $ 3,035 | $ 6,612 | $ 6,353 |
Segment Information Assets (Det
Segment Information Assets (Details) - USD ($) $ in Thousands | Mar. 31, 2017 | Jun. 30, 2016 |
Segment Reporting Information [Line Items] | ||
Assets | $ 235,024 | $ 222,326 |
U.S. | ||
Segment Reporting Information [Line Items] | ||
Assets | 234,268 | 222,613 |
Australia | ||
Segment Reporting Information [Line Items] | ||
Assets | 18,263 | 17,130 |
Intersegment Eliminations | ||
Segment Reporting Information [Line Items] | ||
Assets | $ (17,507) | $ (17,417) |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ in Thousands | May 02, 2017 | Aug. 18, 2016 |
Subsequent Event [Line Items] | ||
Litigation settlement | $ (3,268) | |
Subsequent Event | ||
Subsequent Event [Line Items] | ||
Litigation settlement | $ 3,000 |