Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2019 | May 21, 2019 | Sep. 30, 2018 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Mar. 31, 2019 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | WMS | ||
Entity Registrant Name | ADVANCED DRAINAGE SYSTEMS, INC. | ||
Entity Central Index Key | 0001604028 | ||
Current Fiscal Year End Date | --03-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 57,521,292 | ||
Entity Public Float | $ 1,175 | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Current assets: | ||
Cash | $ 8,891 | $ 17,587 |
Receivables (less allowance for doubtful accounts of $7,653 and $6,826, respectively) | 186,991 | 171,961 |
Inventories | 264,540 | 263,792 |
Other current assets | 6,091 | 5,113 |
Total current assets | 466,513 | 458,453 |
Property, plant and equipment, net | 398,891 | 399,381 |
Other assets: | ||
Goodwill | 102,638 | 103,017 |
Intangible assets, net | 37,177 | 44,437 |
Other assets | 36,940 | 37,954 |
Total assets | 1,042,159 | 1,043,242 |
Current liabilities: | ||
Current maturities of debt obligations | 25,932 | 26,848 |
Current maturities of capital lease obligations | 23,117 | 22,007 |
Accounts payable | 93,577 | 105,521 |
Other accrued liabilities | 61,901 | 60,560 |
Accrued income taxes | 1,758 | 6,307 |
Total current liabilities | 206,285 | 221,243 |
Long-term debt obligation (less unamortized debt issuance costs of $2,293 and $3,028, respectively) | 208,602 | 270,900 |
Long-term capital lease obligations | 61,555 | 59,963 |
Deferred tax liabilities | 45,963 | 32,304 |
Other liabilities | 19,119 | 25,023 |
Total liabilities | 541,524 | 609,433 |
Commitments and contingencies (see Note 15) | ||
Mezzanine equity: | ||
Redeemable convertible preferred stock: $0.01 par value; 47,070 shares authorized; 44,170 shares issued; 22,611 and 23,300 shares outstanding, respectively | 282,638 | 291,247 |
Deferred compensation — unearned ESOP shares | (180,316) | (190,168) |
Redeemable noncontrolling interest in subsidiaries | 8,471 | |
Total mezzanine equity | 102,322 | 109,550 |
Stockholders’ equity: | ||
Common stock: $0.01 par value; 1,000,000 shares authorized; 57,964 and 56,889 shares issued, respectively; 57,490 and 56,476 shares outstanding, respectively | 11,436 | 11,426 |
Paid-in capital | 391,039 | 364,908 |
Common stock in treasury, at cost | (9,863) | (8,277) |
Accumulated other comprehensive loss | (25,867) | (21,247) |
Retained earnings (deficit) | 17,582 | (39,214) |
Total ADS stockholders’ equity | 384,327 | 307,596 |
Noncontrolling interest in subsidiaries | 13,986 | 16,663 |
Total stockholders’ equity | 398,313 | 324,259 |
Total liabilities, mezzanine equity and stockholders’ equity | $ 1,042,159 | $ 1,043,242 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Allowance for doubtful accounts | $ 7,653 | $ 6,826 |
Unamortized debt issuance costs | $ 2,293 | $ 3,028 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued | 57,964,000 | 56,889,000 |
Common stock, shares outstanding | 57,490,000 | 56,476,000 |
Redeemable Convertible Preferred Stock [Member] | ||
Mezzanine equity, par value | $ 0.01 | $ 0.01 |
Mezzanine equity, shares authorized | 47,070,000 | 47,070,000 |
Mezzanine equity, shares issued | 44,170,000 | 44,170,000 |
Mezzanine equity, shares outstanding | 22,611,000 | 23,300,000 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Income Statement [Abstract] | |||
Net sales | $ 1,384,733 | $ 1,330,354 | $ 1,257,261 |
Cost of goods sold | 1,057,766 | 1,027,873 | 961,451 |
Gross profit | 326,967 | 302,481 | 295,810 |
Operating expenses: | |||
Selling | 96,335 | 92,764 | 91,475 |
General and administrative | 89,692 | 98,392 | 110,950 |
Loss on disposal of assets and costs from exit and disposal activities | 3,647 | 15,003 | 8,509 |
Intangible amortization | 7,880 | 8,068 | 8,548 |
Income from operations | 129,413 | 88,254 | 76,328 |
Other expense: | |||
Interest expense | 18,618 | 15,262 | 17,467 |
Derivative gains and other income, net | (815) | (3,950) | (5,970) |
Income before income taxes | 111,610 | 76,942 | 64,831 |
Income tax expense | 30,049 | 11,411 | 24,615 |
Equity in net loss of unconsolidated affiliates | 95 | 739 | 4,308 |
Net income | 81,466 | 64,792 | 35,908 |
Less: net income attributable to noncontrolling interest | 3,694 | 2,785 | 2,958 |
Net income attributable to ADS | $ 77,772 | $ 62,007 | $ 32,950 |
Weighted average common shares outstanding: | |||
Basic | 57,025 | 55,696 | 54,919 |
Diluted | 57,611 | 56,334 | 55,624 |
Net income per share available to common stockholders: | |||
Basic | $ 1.23 | $ 1 | $ 0.51 |
Diluted | $ 1.22 | $ 0.99 | $ 0.50 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Statement Of Income And Comprehensive Income [Abstract] | |||
Net income | $ 81,466 | $ 64,792 | $ 35,908 |
Other comprehensive income (loss): | |||
Currency translation | (5,749) | 3,886 | (5,037) |
Comprehensive income | 75,717 | 68,678 | 30,871 |
Less: other comprehensive (gain) loss attributable to noncontrolling interest, net of tax | (1,129) | 318 | (1,483) |
Less: net income attributable to noncontrolling interest | 3,694 | 2,785 | 2,958 |
Total comprehensive income attributable to ADS | $ 73,152 | $ 65,575 | $ 29,396 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Cash Flows from Operating Activities | |||
Net income | $ 81,466 | $ 64,792 | $ 35,908 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 71,900 | 75,003 | 72,355 |
Deferred income taxes | 12,813 | (11,239) | (8,971) |
Loss on disposal of assets and costs from exit and disposal activities | 3,647 | 12,655 | 7,316 |
ESOP, stock repurchase agreement and stock-based compensation | 21,828 | 18,845 | 17,875 |
Amortization of deferred financing charges | 735 | 934 | 1,408 |
Fair market value adjustments to derivatives | 2,346 | (3,244) | (10,921) |
Equity in net loss of unconsolidated affiliates | 95 | 739 | 4,308 |
Gain on bargain purchase of PTI acquisition | (609) | ||
Other operating activities | (5,219) | 1,010 | (5,871) |
Changes in working capital: | |||
Receivables | (17,953) | (4,327) | 15,055 |
Inventories | (2,034) | (4,841) | (27,917) |
Prepaid expenses and other current assets | (1,004) | 1,648 | (2,548) |
Accounts payable, accrued expenses and other liabilities | (16,942) | (14,855) | 6,851 |
Net cash provided by operating activities | 151,678 | 137,120 | 104,239 |
Cash Flows from Investing Activities | |||
Capital expenditures | (43,412) | (41,709) | (46,676) |
Cash paid for acquisitions, net of cash acquired | (1,990) | (8,573) | |
Purchase of property, plant and equipment through financing | (4,620) | ||
Proceeds from sale of corporate-owned life insurance | 13,644 | ||
Other investing activities | 868 | (390) | (1,390) |
Net cash used in investing activities | (42,544) | (30,445) | (61,259) |
Cash Flows from Financing Activities | |||
Proceeds from Revolving Credit Facility | 405,700 | 487,850 | 412,400 |
Payments on Revolving Credit Facility | (442,800) | (512,150) | (382,600) |
Payments on Term Loan | (72,500) | (10,000) | |
Proceeds from Senior Notes | 75,000 | ||
Payments on Senior Notes | (25,000) | (25,000) | (25,000) |
Proceeds from notes, mortgages, and other debt | 1,000 | ||
Payments of notes, mortgages, and other debt | (940) | (1,905) | (870) |
Payments on loans against corporate-owned life insurance | (6,823) | ||
Equipment financing loans | (909) | 4,620 | |
Debt issuance costs | (2,268) | ||
Payments on capital lease obligations | (24,284) | (24,214) | (21,760) |
Acquisition of noncontrolling interest in BaySaver | (8,821) | ||
Cash dividends paid | (26,148) | (18,478) | (16,820) |
Proceeds from option exercises | 5,908 | 9,087 | 4,011 |
Repurchase of common stock | (7,947) | ||
Other financing activities | (361) | (2,428) | (983) |
Net cash used in financing activities | (117,655) | (94,953) | (42,825) |
Effect of exchange rate changes on cash | (175) | (585) | (260) |
Net change in cash | (8,696) | 11,137 | (105) |
Cash at beginning of year | 17,587 | 6,450 | 6,555 |
Cash at end of year | $ 8,891 | $ 17,587 | $ 6,450 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity (Deficit) - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock [Member] | Paid-In Capital [Member] | Common Stock in Treasury [Member] | Accumulated Other Comprehensive Loss [Member] | Retained (Deficit) Earnings [Member] | Total ADS Stockholders' Equity [Member] | Non-controlling Interest in Subsidiaries [Member] |
Beginning Balance, Value at Mar. 31, 2016 | $ 202,489 | $ 12,393 | $ 739,097 | $ (440,995) | $ (21,261) | $ (101,778) | $ 187,456 | $ 15,033 |
Beginning Balance, Shares at Mar. 31, 2016 | 153,560 | 99,123 | ||||||
Net income | 35,186 | 32,950 | 32,950 | 2,236 | ||||
Other comprehensive loss | (5,037) | (3,554) | (3,554) | (1,483) | ||||
Redeemable convertible preferred stock dividends | (1,512) | (1,512) | (1,512) | |||||
Common stock dividend | (13,204) | (13,204) | (13,204) | |||||
Dividend paid to noncontrolling interestholder | (879) | (879) | ||||||
Compensation | 2,254 | 2,254 | 2,254 | |||||
Dividend | (134) | (134) | (134) | |||||
Exercise of common stock options | 8,166 | 6,571 | $ 1,595 | 8,166 | ||||
Exercise of common stock options, Shares | (358) | |||||||
Restricted stock awards | 3,309 | 2,926 | $ 383 | 3,309 | ||||
Restricted stock awards, Shares | (86) | |||||||
Equity classified stock-based compensation expense before related tax effects | 139 | 139 | 139 | |||||
Tax benefit resulting from exercise of certain stock-based compensation awards | 439 | 439 | 439 | |||||
Reclassification of liability-classified awards | 220 | 220 | 220 | |||||
ESOP distributions in common stock | 7,426 | 5,393 | $ 2,033 | 7,426 | ||||
ESOP distributions in common stock, Shares | (457) | |||||||
Accretion of redeemable noncontrolling interest | (1,252) | (1,252) | (1,252) | |||||
Ending Balance, Value at Mar. 31, 2017 | 237,610 | $ 12,393 | 755,787 | $ (436,984) | (24,815) | (83,678) | 222,703 | 14,907 |
Ending Balance, Shares at Mar. 31, 2017 | 153,560 | 98,222 | ||||||
Net income | 63,935 | 62,007 | 62,007 | 1,928 | ||||
Other comprehensive loss | 3,886 | 3,568 | 3,568 | 318 | ||||
Redeemable convertible preferred stock dividends | (1,724) | (1,724) | (1,724) | |||||
Common stock dividend | (15,685) | (15,685) | (15,685) | |||||
Dividend paid to noncontrolling interestholder | (490) | (490) | ||||||
Compensation | 3,809 | 3,809 | 3,809 | |||||
Dividend | (134) | (134) | (134) | |||||
Exercise of common stock options | 9,087 | $ 7 | 9,161 | $ (81) | 9,087 | |||
Exercise of common stock options, Shares | 666 | 2 | ||||||
Restricted stock awards | 2,818 | $ 1 | 2,664 | $ 153 | 2,818 | |||
Restricted stock awards, Shares | 90 | (72) | ||||||
Equity classified stock-based compensation expense before related tax effects | 4,148 | 4,148 | 4,148 | |||||
Reclassification of liability-classified awards | 13,714 | 13,714 | 13,714 | |||||
ESOP distributions in common stock | 11,566 | $ 2 | 9,811 | $ 1,753 | 11,566 | |||
ESOP distributions in common stock, Shares | 318 | (394) | ||||||
Retirement of common stock held in treasury | $ (977) | (433,852) | $ 434,829 | |||||
Retirement of common stock held in treasury, Shares | (97,745) | (97,745) | ||||||
Common stock repurchases | (7,947) | $ (7,947) | (7,947) | |||||
Common stock repurchases, Shares | 400 | |||||||
Accretion of redeemable noncontrolling interest | (334) | (334) | (334) | |||||
Ending Balance, Value at Mar. 31, 2018 | 324,259 | $ 11,426 | 364,908 | $ (8,277) | (21,247) | (39,214) | 307,596 | 16,663 |
Ending Balance, Shares at Mar. 31, 2018 | 56,889 | 413 | ||||||
Net income | 80,634 | 77,772 | 77,772 | 2,862 | ||||
Other comprehensive loss | (5,749) | (4,620) | (4,620) | (1,129) | ||||
Redeemable convertible preferred stock dividends | (1,913) | (1,913) | (1,913) | |||||
Common stock dividend | (18,336) | (18,336) | (18,336) | |||||
Dividend paid to noncontrolling interestholder | (4,410) | (4,410) | ||||||
Compensation | 5,712 | 5,712 | 5,712 | |||||
Dividend | (134) | (134) | (134) | |||||
Exercise of common stock options | 4,540 | $ 4 | 5,908 | $ (1,372) | 4,540 | |||
Exercise of common stock options, Shares | 420 | 52 | ||||||
Restricted stock awards | 3,769 | $ 1 | 3,982 | $ (214) | 3,769 | |||
Restricted stock awards, Shares | 127 | 9 | ||||||
Equity classified stock-based compensation expense before related tax effects | 2,550 | 2,550 | 2,550 | |||||
ESOP distributions in common stock | 8,609 | $ 5 | 8,604 | 8,609 | ||||
ESOP distributions in common stock, Shares | 528 | |||||||
Acquisition of noncontrolling interest in BaySaver | (1,218) | (625) | (593) | (1,218) | ||||
Ending Balance, Value at Mar. 31, 2019 | $ 398,313 | $ 11,436 | $ 391,039 | $ (9,863) | $ (25,867) | $ 17,582 | $ 384,327 | $ 13,986 |
Ending Balance, Shares at Mar. 31, 2019 | 57,964 | 474 |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Deficit) (Parenthetical) - $ / shares | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Statement Of Stockholders Equity [Abstract] | |||
Common stock dividend per share | $ 0.32 | $ 0.28 | $ 0.24 |
Consolidated Statements of Mezz
Consolidated Statements of Mezzanine Equity - USD ($) shares in Thousands, $ in Thousands | Total | Redeemable Non-Controlling Interest in Subsidiaries [Member] | Redeemable Convertible Preferred Stock [Member] | Deferred Compensation - Unearned ESOP Shares [Member] | Total Mezzanine Equity [Member] |
Beginning Balance, Value at Mar. 31, 2016 | $ 7,171 | $ 310,240 | $ (205,664) | $ 111,747 | |
Beginning Balance, Shares at Mar. 31, 2016 | 24,819 | 16,448 | |||
Net income | 722 | 722 | |||
Redeemable convertible preferred stock dividends | $ (1,512) | ||||
Common stock dividend | (13,204) | ||||
Dividend paid to noncontrolling interestholder | (879) | (1,226) | (1,226) | ||
Compensation | 2,254 | $ 7,314 | 7,314 | ||
Compensation, Shares | (585) | ||||
Dividend | 134 | $ 134 | 134 | ||
Exercise of common stock options | 8,166 | ||||
Restricted stock awards | 3,309 | ||||
Equity classified stock-based compensation expense before related tax effects | 139 | ||||
Tax benefit resulting from exercise of certain stock-based compensation awards | 439 | ||||
Reclassification of liability-classified awards | 220 | ||||
ESOP distributions in common stock | $ (7,426) | (7,426) | |||
ESOP distributions in common stock, Shares | (594) | ||||
Accretion of redeemable noncontrolling interest | 1,252 | 1,560 | 1,560 | ||
Ending Balance, Value at Mar. 31, 2017 | 8,227 | $ 302,814 | $ (198,216) | 112,825 | |
Ending Balance, Shares at Mar. 31, 2017 | 24,225 | 15,863 | |||
Net income | 857 | 857 | |||
Redeemable convertible preferred stock dividends | (1,724) | ||||
Common stock dividend | (15,685) | ||||
Dividend paid to noncontrolling interestholder | (490) | (613) | (613) | ||
Compensation | 3,809 | $ 8,048 | 8,048 | ||
Compensation, Shares | (644) | ||||
Dividend | 134 | ||||
Exercise of common stock options | 9,087 | ||||
Restricted stock awards | 2,818 | ||||
Equity classified stock-based compensation expense before related tax effects | 4,148 | ||||
Reclassification of liability-classified awards | 13,714 | ||||
ESOP distributions in common stock | $ (11,567) | (11,567) | |||
ESOP distributions in common stock, Shares | (925) | ||||
Accretion of redeemable noncontrolling interest | 334 | ||||
Ending Balance, Value at Mar. 31, 2018 | 109,550 | 8,471 | $ 291,247 | $ (190,168) | 109,550 |
Ending Balance, Shares at Mar. 31, 2018 | 23,300 | 15,219 | |||
Net income | 832 | 832 | |||
Redeemable convertible preferred stock dividends | (1,913) | ||||
Common stock dividend | (18,336) | ||||
Dividend paid to noncontrolling interestholder | (4,410) | (1,075) | (1,075) | ||
Compensation | 5,712 | $ 9,584 | 9,584 | ||
Compensation, Shares | (767) | ||||
Dividend | 134 | $ 268 | 268 | ||
Exercise of common stock options | 4,540 | ||||
Restricted stock awards | 3,769 | ||||
Equity classified stock-based compensation expense before related tax effects | 2,550 | ||||
ESOP distributions in common stock | $ (8,609) | (8,609) | |||
ESOP distributions in common stock, Shares | (689) | ||||
Acquisition of noncontrolling interest in BaySaver | (1,218) | $ (8,228) | (8,228) | ||
Ending Balance, Value at Mar. 31, 2019 | $ 102,322 | $ 282,638 | $ (180,316) | $ 102,322 | |
Ending Balance, Shares at Mar. 31, 2019 | 22,611 | 14,452 |
Background and Summary of Signi
Background and Summary of Significant Accounting Policies | 12 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
Background and Summary of Significant Accounting Policies | 1. BACKGROUND AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Description of Business - Advanced Drainage Systems, Inc. and subsidiaries (collectively referred to as “ADS” and the “Company”), incorporated in Delaware, designs, manufactures and markets high performance thermoplastic corrugated pipe and related water management products, primarily in North and South America and Europe. ADS’s broad product line includes corrugated high-density polyethylene (or “HDPE”) pipe, polypropylene (or “PP”) pipe and related water management products. The Company’s fiscal year begins on April 1 and ends on March 31. Unless otherwise noted, references to “year” pertain to our fiscal year. For example, 2019 refers to fiscal 2019, which is the period from April 1, 2018 to March 31, 2019. The Company is managed based primarily on the geographies in which it operates and reports results of operations in two reportable segments. The reportable segments are Domestic and International. Principles of Consolidation - The consolidated financial statements include the Company, its wholly-owned subsidiaries, its majority owned subsidiaries, and variable interest entities (“VIEs”) of which the Company is the primary beneficiary. The Company uses the equity method of accounting for equity investments where it exercises significant influence but does not hold a controlling financial interest. Such investments are recorded in Other assets in the Consolidated Balance Sheets and the related equity in earnings from these investments are included in Equity in net loss of unconsolidated affiliates in the Consolidated Statements of Operations. All intercompany balances and transactions have been eliminated in consolidation. Estimates - The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingencies and liabilities at the balance sheet date and the reported amounts of revenues and expenses during the reporting period. Significant estimates include, but are not limited to, the allowance for doubtful accounts, valuation of inventory, useful lives of property, plant and equipment and amortizing intangible assets, determination of the proper accounting for leases, valuation of equity method investments, goodwill, intangible assets and other long-lived assets for impairment, accounting for stock-based compensation and the ESOP, valuation of the redeemable convertible preferred stock, determination of allowances for sales returns, rebates and discounts, determination of the valuation allowance, if any, on deferred tax assets, and reserves for uncertain tax positions. Management’s estimates and assumptions are evaluated on an ongoing basis and are based on historical experience, current conditions and available information. Management believes the accounting estimates are appropriate and reasonably determined; however, due to the inherent uncertainties in making these estimates, actual results could differ from those estimates. Receivables and Allowance for Doubtful Accounts - Receivables include trade receivables, net of an allowance for doubtful accounts, and other miscellaneous receivables. Receivables at March 31, 2019 and 2018 are as follows: (Amounts in thousands) 2019 2018 Trade receivables $ 170,887 $ 159,291 Other miscellaneous receivables 16,104 12,670 Receivables, net $ 186,991 $ 171,961 As of March 31, 2019 and 2018, Other miscellaneous receivables includes insurance recoverables of approximately $3.9 million and $3.4 million, respectively, which has a corresponding liability recorded in Other accrued liabilities. Credit is extended to customers based on an evaluation of their financial condition and collateral is generally not required. The evaluation of the customer’s financial condition is performed to reduce the risk of loss. Accounts receivable are evaluated for collectability based on numerous factors, including the length of time individual receivables are past due, past transaction history with customers, their credit worthiness and the economic environment. This estimate is periodically adjusted when management becomes aware of a situation in which doubt the customer does not have the ability or intention to pay its financial obligations (e.g. bankruptcy filing). Inventories - Inventories are stated at the lower of cost or net realizable value. The Company’s inventories are maintained on the first-in, first-out (“FIFO”) method. Costs include the cost of acquiring materials, including in-bound freight from vendors and freight incurred for the transportation of raw materials, tooling or finished goods between the Company’s manufacturing plants and its distribution centers, direct and indirect labor, factory overhead and certain corporate overhead costs related to the production of inventory. The portion of fixed manufacturing overhead that relates to capacity in excess of our normal capacity is expensed in the period in which it is incurred and is not included in inventory. Net realizable value of inventory is established with consideration given to deterioration, obsolescence, and other factors. The Company periodically evaluates the carrying value of inventories and adjustments are made whenever necessary to reduce the carrying value to net realizable value. Property, Plant and Equipment and Depreciation Method - Property, plant and equipment are recorded at cost less accumulated depreciation, with the exception of assets acquired through acquisitions, which are initially recorded at fair value. Equipment acquired under capital lease is recorded at the lower of fair market value or the present value of the future minimum lease payments. Depreciation is computed for financial reporting purposes using the straight-line method over the estimated useful lives of the related assets or the lease term, if shorter, as follows: Years Buildings and leasehold improvement 20 to 45 or the lease term if shorter Machinery and production equipment 3 to 18 Transportation equipment 3 to 12 Costs of additions and major improvements are capitalized, whereas maintenance and repairs that do not improve or extend the life of the asset are charged to expense as incurred. When assets are retired or disposed, the cost and related accumulated depreciation are removed from the asset accounts and any resulting gain or loss is reflected in Loss on disposal of assets and costs from exit and disposal activities in our Consolidated Statements of Operations. Construction in progress is also recorded at cost and includes capitalized interest, capitalized payroll costs and related costs such as taxes and other fringe benefits. There was no interest capitalized during the fiscal year ended March 31, 2019. Interest capitalized was $0.6 million, and $0.6 million during the fiscal years ended March 31, 2018 and 2017, respectively. Goodwill - The Company records acquisitions resulting in the consolidation of an enterprise using the acquisition method of accounting. Under this method, the Company records the assets acquired, including intangible assets that can be identified, and liabilities assumed based on their estimated fair values at the date of acquisition. The purchase price in excess of the fair value of the identifiable assets acquired and liabilities assumed is recorded as goodwill. Goodwill is reviewed annually for impairment as of March 31 or whenever events or changes in circumstances indicate the carrying value may be greater than fair value. If the fair value of the reporting unit exceeds the carrying value of the net assets assigned to that unit, goodwill is not considered impaired and the Company is not required to perform further testing. If the carrying value of a reporting unit’s goodwill exceeds its fair value, then the Company would record an impairment loss equal to the difference. With respect to this testing, a reporting unit is a component of the Company for which discrete financial information is available and regularly reviewed by management. The fair value of goodwill is determined by considering both the income and market approach. Determining the fair value of a reporting unit is judgmental in nature and involves the use of significant estimates and assumptions. These estimates and assumptions include revenue growth rates and operating margins used to calculate projected future cash flows, risk-adjusted discount rates, future economic and market conditions, and determination of appropriate market comparables. The fair value estimates are based on assumptions management believes to be reasonable but are inherently uncertain. For all fiscal years presented, ADS completed a quantitative fair value assessment of the International reporting unit and determined no impairment charge was required. GAAP allows entities testing goodwill for impairment the option of performing a qualitative assessment before calculating the fair value of a reporting unit for the goodwill impairment test. If the qualitative assessment is performed, an entity is no longer required to calculate the fair value of a reporting unit unless the entity determines that, based on that assessment, it is more likely than not that its fair value is less than its carrying amount. ADS completed a quantitative fair value measurement of the Domestic reporting unit in fiscal 2016. The test indicated that the fair value of the Domestic reporting unit exceeded the carrying value, indicating that no impairment existed. ADS applied the qualitative assessment to the Domestic reporting unit for the annual impairment tests performed as of March 31, 2019, 2018 and 2017. For the current year test, ADS assessed various assumptions, events and circumstances that would have affected the estimated fair value of the reporting unit as compared to its March 31, 2016 quantitative fair value measurement. The results of this assessment indicated that it is not more likely than not that the reporting unit fair value is less than the reporting unit carrying value. The Company did not incur any impairment charges for goodwill in the fiscal years ended March 31, 2019, 2018, and 2017. Intangible Assets Intangible Assets — Definite-Lived - Definite-lived intangible assets are amortized using the straight-line method over their estimated useful lives and are tested for recoverability whenever events or changes in circumstances indicate that carrying amounts of the asset group may not be recoverable. Asset groups are established primarily by determining the lowest level of cash flows available. If the estimated undiscounted future cash flows are less than the carrying amounts of such assets, an impairment loss is recognized to the extent the fair value of the asset less any costs of disposition is less than the carrying amount of the asset. Determining the fair value of these assets is judgmental in nature and involves the use of significant estimates and assumptions. Intangible Assets — Indefinite-Lived - Indefinite-lived intangible assets are tested for impairment annually as of March 31 or whenever events or changes in circumstances indicate the carrying value may be greater than fair value. Determining the fair value of these assets is judgmental in nature and involves the use of significant estimates and assumptions. The Company bases its fair value estimates on assumptions it believes to be reasonable, but that are inherently uncertain. To estimate the fair value of these indefinite-lived intangible assets, the Company uses an income approach, which utilizes a market derived rate of return to discount anticipated performance. An impairment loss is recognized when the estimated fair value of the intangible asset is less than the carrying value. GAAP allows entities testing indefinite-lived intangible assets for impairment the option of performing a qualitative assessment before calculating the fair value of the indefinite-lived intangible assets for the impairment test. If the qualitative assessment is performed, an entity is no longer required to calculate the fair value of an indefinite-lived intangible assets unless the entity determines that, based on that assessment, it is more likely than not that its fair value is less than its carrying amount. ADS completed a quantitative fair value measurement of indefinite-lived trademarks in March 31, 2016. The test indicated that the fair value of the indefinite-lived trademarks substantially exceeded the carrying value, indicating that no impairment existed. ADS applied the qualitative assessment to specific trademarks for the annual impairment tests performed as of March 31, 2019 and 2018. For the current year test, ADS assessed various assumptions, events and circumstances that would have affected the estimated fair value of the reporting unit as compared to its March 31, 2016 quantitative fair value measurement. The results of this assessment indicated that it is not more likely than not that the trademarks fair value is less than the reporting unit carrying value. The Company did not incur any impairment charges for Intangible assets in the fiscal years ended March 31, 2019, 2018, and 2017. Other Assets - Other assets include investments in unconsolidated affiliates accounted for under the equity method, capitalized software development costs, including cloud computing costs, deposits, central parts, and other miscellaneous assets. In the fiscal year ended March 31, 2018, the Company discontinued offering the cash surrender value of officer life insurance and collected proceeds of $13.6 million from the sale of the officer life insurance. The Company capitalizes development costs for internal use software. Capitalization of software development costs begins in the application development stage and ends when the asset is placed into service. The Company amortizes such costs using the straight-line method over estimated useful lives of 2 to 10 years, which is included in General and administrative expense, Selling expense or Cost of goods sold within the Consolidated Statements of Operations depending on the nature of the asset and its intended use. Central parts represent spare production equipment items which are used to replace worn or broken production equipment parts and help reduce the risk of prolonged equipment outages. The cost of central parts is amortized on a straight-line basis over estimated useful lives of 5 to 10 years. The Company evaluates its investments in unconsolidated affiliates for impairment whenever events or changes in circumstances indicate that the carrying amount might not be recoverable and recognizes an impairment loss when a decline in value below carrying value is determined to be other-than-temporary. Under these circumstances, the Company would adjust the investment down to its estimated fair value, which then becomes its new carrying value. For the fiscal year ended March 31, 2017, the Company recorded an impairment charge of $1.3 million related to its investment in the South American Joint Venture. The impairment charge is included in Equity in net loss of unconsolidated affiliates in the Consolidated Statements of Operations. Other assets as of the fiscal years ended March 31 consisted of the following: (Amounts in thousands) 2019 2018 Investments in unconsolidated affiliates $ 10,467 $ 12,343 Capitalized software development costs, net 13,069 10,195 Deposits 2,985 2,776 Central parts 2,385 2,089 Other 8,034 10,551 Total other assets $ 36,940 $ 37,954 The following table sets forth amortization expense related to Other assets in each of the fiscal years ended March 31: (Amounts in thousands) 2019 2018 2017 Capitalized software development costs $ 2,659 $ 2,156 $ 3,372 Central parts 73 47 54 Other 1,419 1,688 1,689 Leases - Leases are reviewed for capital or operating classification at their inception. The Company uses the lower of the rate implicit in the lease or its incremental borrowing rate in the assessment of lease classification and assumes the initial lease term includes cancellable and renewal periods that are reasonably assured. For leases classified as capital leases at lease inception, the Company records a capital lease asset and lease financing obligation equal to the lesser of the present value of the minimum lease payments or the fair market value of the leased asset. The capital lease asset is recorded in Property, plant and equipment, net and amortized to its expected residual value at the end of the lease term using the straight-line method, and the lease financing obligation is amortized using the effective interest method over the lease term with the rental payments being allocated to principal and interest. For leases classified as operating leases, the Company records rent expense over the useful life using the straight-line method. Foreign Currency Translation - Assets and liabilities of foreign subsidiaries with a functional currency other than the U.S. dollar are translated into U.S. dollars at the current rate of exchange on the last day of the reporting period. Revenues and expenses are translated at a monthly average exchange rate and equity transactions are translated using either the actual exchange rate on the day of the transaction or a monthly average historical exchange rate. The South American Joint Venture operates within Argentina, which on July 1, 2018, was identified for high inflationary accounting. The Company has determined the effect of a change in the exchange rate under high inflationary accounting is not expected to have a material effect on the Company’s results in any annual period. For the fiscal years ended March 31, 2019 and 2018, the Company’s Accumulated other comprehensive loss (“AOCL”) consisted of foreign currency translation gains and losses. Net Sales - The Company generates revenue by selling pipe and related water management products primarily to distributors, retailers, buying groups and co-operative buying groups. Products are shipped predominately by the Company’s internal fleet, and the Company does not provide any additional revenue generating services after product delivery. Payment terms and conditions vary by contract. Revenue is recognized at the point in-time obligations under the terms of a contract with a customer are satisfied, which generally occurs upon the transfer of control of the promised goods. In substantially all of the Company’s contracts with customers, control is transferred to the customer upon delivery. The Company recognizes revenue in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. Shipping Costs - The Company incurs shipping costs to deliver products to customers using an in-house fleet or common carrier. Typically shipping costs are prepaid and included in the product price; however, in some instances, the Company bills shipping costs to customers. Shipping costs are also incurred to physically move raw materials, tooling and products between manufacturing and distribution facilities. Shipping costs to deliver products to customers for the fiscal years ended March 31, 2019, 2018, and 2017 were $131.3 million, $120.7 million, and $110.5 million, respectively, and are included in Cost of goods sold. Shipping costs billed to customers were $7.7 million, $6.3 million, and $5.5 million during 2019, 2018 and 2017, respectively, and are included in Net sales. Stock-Based Compensation - See “Note 17. Stock-Based Compensation” for information about our stock-based compensation award programs and related accounting policies. Advertising - The Company expenses advertising costs as incurred. Advertising costs are recorded in Selling expenses in the Consolidated Statements of Operations. The total advertising costs were $3.8 million, $4.1 million, and $3.1 million for the fiscal years ended March 31, 2019, 2018, and 2017, respectively Self-Insurance - The Company is self-insured for short term disability and medical coverage it provides for substantially all eligible employees. The Company is self-insured for medical claims up to the individual and aggregate stop-loss coverage limits. The Company accrues for claims incurred but not reported based on an estimate of future claims related to events that occurred prior to the fiscal year end if it has not met the aggregate stop-loss coverage limit. Amounts expensed totaled $42.4 million, $41.3 million, and $39.5 million for the fiscal years ended March 31, 2019, 2018, and 2017, respectively, of which employees contributed $6.7 million, $5.9 million, and $5.1 million, respectively ADS is also self-insured for various other general insurance programs to the extent of the applicable deductible limits on the Company’s insurance coverage. These programs include primarily automobile, general liability and employment practices coverage with a deductible of $0.5 million per occurrence or claim incurred. Amounts expensed during the period, including an estimate for claims incurred but not reported at year end, were $2.3 million, $2.2 million, and $1.8 million, for the years ended March 31, 2019, 2018, and 2017, respectively. ADS is also self-insured for workers’ compensation insurance with stop-loss coverage for claims that exceed $0.3 million per incident up to the respective state statutory limits. Amounts expensed, including an estimate for claims incurred but not reported, were $2.8 million, $1.3 million, and $2.1 million for the fiscal years ended March 31, 2019, 2018, and 2017, respectively. Income Taxes - Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized and represent the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. They are measured using the enacted tax rates expected to apply to taxable income in the years in which the related temporary differences are expected to be recovered or settled. Valuation allowances are established against deferred tax assets when it is more likely than not that the realization of those deferred tax assets will not occur. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The deferred income tax provision represents the change during the reporting period in the deferred tax assets and deferred tax liabilities. Penalties and interest recorded on income taxes payable are recorded as part of Income tax expense. The Company determines whether an uncertain tax position is more likely than not to be sustained upon examination, including resolution of any related appeals or litigation process, based upon the technical merits of the position. For tax positions meeting the more likely than not threshold, the tax amount recognized in the financial statements is the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the relevant taxing authority. Fair Values - The fair value framework requires the categorization of assets and liabilities into three levels based upon assumptions (inputs) used to price the assets or liabilities. Level 1 provides the most reliable measure of fair value, whereas Level 3 generally requires significant management judgment. ADS’s policy for determining when transfers between levels have occurred is to use the actual date of the event or change in circumstances that caused the transfer. Concentrations of Risk - The Company has a large, active customer base of approximately twenty thousand customers with two customers, Ferguson Enterprises and Core and Main, each representing more than 10% of annual net sales. Financial instruments that potentially subject the Company to a concentration of credit risk consist principally of Receivables. The Company provides its products to customers based on an evaluation of the customers’ financial condition, generally without requiring collateral. Exposure to losses on Receivables is principally dependent on each customer’s financial condition. The Company performs ongoing credit evaluations of its customers. The Company monitors the exposure for credit losses and maintains allowances for anticipated losses. Concentrations of credit risk with respect to Receivables are limited due to the large number of customers comprising the Company’s customer base and their dispersion across many different geographies. One customer, Ferguson Enterprises, accounted for approximately 19.1% and 17.6% of Receivables at March 31, 2019 and 2018, respectively. Derivatives - The Company recognizes derivative instruments as either assets or liabilities and measure those instruments at fair value. ADS uses interest rate swaps, commodity options in the form of collars and swaps, and foreign currency forward contracts to manage various exposures to interest rate, commodity price, and exchange rate fluctuations. These instruments do not qualify for hedge accounting treatment. For the interest rate swap executed on June 28, 2017, gains and losses resulting from the difference between the spot rate and applicable base rate is recorded in Interest expense. For commodity options in the form of collars and swaps, and foreign currency forward contracts, gains and losses from contract settlements and changes in fair value of the derivative instruments are recognized in Derivative losses (gains) and other expense (income), net in the Consolidated Statements of Operations. The Company’s policy is to present all derivative balances on a gross basis. The Company also has forward purchase agreements in place with certain resin suppliers for virgin polyethylene resin. The agreements specify a fixed amount of virgin resin material to be purchased at a fixed price for a given period of time in quantities the Company will use in the normal course of business, and therefore, qualify as normal purchase contracts. The cost of such resin is recognized in Cost of goods sold in the Consolidated Statements of Operations. Recent Accounting Pronouncements Recently Adopted Accounting Guidance Cloud Computing - On August 29, 2018, the Financial Accounting Standards Board (the “FASB”) issued an accounting standard update (“ASU”) to provide guidance on implementation costs incurred in a cloud computing arrangement (“CCA”) that is a service contract. The ASU, which was released in response to a consensus reached by the Emerging Issues Task Force at its June 2018 meeting, aligns the accounting for such costs with the guidance on capitalizing costs associated with developing or obtaining internal-use software. Specifically, the ASU includes in its scope implementation costs of a CCA that is a service contract and clarifies that a customer should apply CCA guidance to determine which implementation costs should be capitalized in such a CCA. The Company adopted this update effective July 1, 2018 on a prospective basis. The new standard did not have a material impact on the Consolidated Financial Statements. Revenue Recognition - In May 2014, the FASB issued an ASU which amends the guidance for revenue recognition. This amendment contains principles that will require an entity to recognize revenue to depict the transfer of goods and services to customers at an amount that an entity expects to be entitled to in exchange for goods or services. The amendment sets forth a new revenue recognition model that requires identifying the contract, identifying the performance obligations and recognizing the revenue upon satisfaction of performance obligations. In August 2015, the FASB issued an additional ASU that deferred the effective date of the new revenue standard for public entities to periods beginning after December 15, 2017, with early adoption permitted but not earlier than the original effective date of periods beginning after December 15, 2016. There have also been various additional ASUs issued by the FASB in 2016 that further amend this new revenue standard. The updated standard permits the use of either the retrospective or cumulative effect transition method. The Company adopted these standards on April 1, 2018 using the modified retrospective transition method. See “Note 3. Revenue Recognition” for further information on the adoption of the revenue recognition ASUs. Cash Flow Classification - In August 2016, the FASB issued an ASU which provides amended guidance on the classification of certain cash receipts and cash payments in the statement of cash flows, including related to debt prepayment or debt extinguishment costs, contingent consideration payments made after a business combination, proceeds from the settlement of insurance claims, proceeds from the settlement of corporate-owned life insurance and distributions received from equity method investees. This update is effective for fiscal years beginning after December 15, 2017, including interim periods within those years, and early adoption is permitted. This amended guidance must be applied retrospectively to all periods presented but may be applied prospectively if retrospective application would be impracticable. The Company adopted this update effective April 1, 2018 using the retrospective method. The new standard did not have an impact on the Consolidated Financial Statements. Goodwill Impairment - In January 2017, the FASB issued an ASU which removes the requirement to compare the implied fair value of goodwill with its carrying amount as part of step 2 of the goodwill impairment test. As a result, under the standards update, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount and should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. The amendments are effective for annual periods beginning after December 15, 2019. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company adopted this update effective April 1, 2018. The new standard did not have an impact on the Consolidated Financial Statements. Definition of a Business - In January 2017, the FASB issued an ASU to clarify the definition of a business. The definition of a business affects many areas of accounting including acquisitions, disposals, goodwill, and consolidation. The amendments are intended to help companies and other organizations evaluate whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The amendments provide a more robust framework to use in determining when a set of assets and activities is a business. The amendments are effective for annual periods beginning after December 15, 2017, including interim periods within those periods. The Company adopted this update effective April 1, 2018. The new standard did not have an impact on the Consolidated Financial Statements. Stock-Based Compensation - In May 2017, the FASB issued an ASU to clarify when modification accounting should be applied for changes to the terms or conditions of share-based payment awards. The amendments clarify that modification accounting guidance should only be applied if there is a change to the value, vesting conditions, or award classification and would not be required if the changes are considered non-substantive. The amendments are effective for annual periods beginning after December 15, 2017, including interim periods within those periods. The Company adopted this update effective April 1, 2018. The new standard did not have an impact on the Consolidated Financial Statements. Fair Value Measurement – In August 2018, the FASB issued an ASU that was intended to improve the effectiveness of disclosures in notes to financial statements. The standard removed, modified and added certain disclosure requirements related to fair value measurements. This standard was effective for fiscal years beginning after December 15, 2019. The standard required the use of the retrospective transition method for specific amendments within the ASU and the prospective treatment of other amendments. Early adoption was permitted. The Company early adopted this ASU, effective for the Company’s Annual Report on Form 10-K for the year ending March 31, 2019 . The Company applie |
Loss on Disposal of Assets and
Loss on Disposal of Assets and Costs from Exit and Disposal Activities | 12 Months Ended |
Mar. 31, 2019 | |
Discontinued Operations And Disposal Groups [Abstract] | |
Loss on Disposal of Assets and Costs from Exit and Disposal Activities | 2. LOSS ON DISPOSAL OF ASSETS AND COSTS FROM EXIT AND DISPOSAL ACTIVITIES In fiscal 2018, the Company initiated restructuring activities (the “2018 Restructuring Plan”), which continued throughout fiscal 2019, including closing underutilized manufacturing facilities, reducing headcount, optimizing product offerings and eliminating nonessential costs, designed to improve the Company’s cost structure. The Company closed one and four manufacturing facilities in the fiscal years ended March 31, 2019 and 2018, respectively. As additional restructuring opportunities may be identified, the Company does not have an estimated completion date or expected total cost estimate for the 2018 Restructuring Plan. In fiscal year ended March 31, 2017, the Company recorded expenses related to three manufacturing facilities that were closed during fiscal 2017 of approximately $3.5 million. In addition, the Company accelerated depreciation of specifically identified obsolete assets of approximately $3.0 million and recorded $2.0 million of disposals and partial disposals of fixed assets. The following table summarizes the activity included in Loss on disposal of assets and costs from exit and disposal activities recorded during the fiscal years ended March 31, 2019, 2018, and 2017: (Amounts in thousands) 2019 2018 2017 Accelerated depreciation $ 430 $ 3,759 $ — Plant severance 131 2,041 — Headcount reduction 306 4,133 — Product optimization 283 1,351 — Other restructuring activities 475 159 — Total 2018 Restructuring Plan activities $ 1,625 $ 11,443 $ — Loss on other disposals and partial disposals of property, plant and equipment 2,022 3,560 8,509 Total loss on disposal of assets and costs from exit and disposal activities $ 3,647 $ 15,003 $ 8,509 Approximately $1.2 million and $0.4 million for fiscal year ended March 31, 2019, related to the Domestic and International reporting segment, respectively, and $11.0 million and $0.4 million for the fiscal year ended March 31, 2018 of the Total 2018 Restructuring Plan activities related to the Domestic and International reporting segment, respectively. A reconciliation of the beginning and ending amounts of restructuring liability related to the 2018 Restructuring Plan for the fiscal years ended March 31, 2019 and 2018 (Amounts in thousands) 2019 2018 Balance at beginning of year $ 3,901 $ — Expenses 1,625 11,443 Non-cash expenses (713 ) (4,882 ) Payments (3,117 ) (2,660 ) Balance at end of year $ 1,696 $ 3,901 The Company had $0.6 million and $0.5 million of long-term severance liability related to the restructuring activities recorded in Other liabilities in the Consolidated Balance Sheet as of March 31, 2019 and March 31, 2018, respectively. Periodically, the Company will dispose of equipment, including equipment accounted for as capital leases. The net loss on the disposition of the equipment was $2.0 million, $3.6 million, and $8.5 million during fiscal 2019, 2018 and 2017, respectively. |
Revenue Recognition
Revenue Recognition | 12 Months Ended |
Mar. 31, 2019 | |
Revenue From Contract With Customer [Abstract] | |
Revenue Recognition | 3. REVENUE RECOGNITION On April 1, 2018, the Company adopted ASC 606, Revenue from Contracts with Customers (“ASC 606”), and all related amendments using the modified retrospective transition method. The adoption of ASC 606 did not impact the opening retained earnings balance or cause a material shift in the amount or timing of revenue recognition. Results for reporting periods beginning after April 1, 2018 are presented under ASC 606, while prior period amounts were not adjusted and continue to be reported in a consistent manner with historical accounting policies. The Company generates revenue by selling pipe and related water management products primarily to distributors, retailers, buying groups and co-operative buying groups. Products are shipped predominately by the Company’s internal fleet, and the Company does not provide any additional revenue generating services after product delivery. Payment terms and conditions vary by contract. Revenue is recognized at the point in-time obligations under the terms of a contract with a customer are satisfied, which generally occurs upon the transfer of control of the promised goods. In substantially all of the Company’s contracts with customers, control is transferred to the customer upon delivery. The Company recognizes revenue in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. Revenue is presented in the Consolidated Statements of Operations net of allowances for returns, rebates, discounts, and taxes collected concurrently with revenue-producing activities. Refer to “Note 21. Business Segments Information” for the Company’s disaggregation of Net sales by reportable segment. The disclosure of Net sales by reportable segment is aligned by geographical region and product type and best depicts how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors. Significant Judgments - The Company’s performance obligation under contracts with customers is to sell and deliver pipe and related water management products. The Company’s contracts with customers may contain multiple performance obligations by promising to deliver multiple products to the customer. For these contracts, the Company accounts for individual performance obligations separately if they are distinct. The transaction price is allocated to the separate performance obligations on a relative standalone selling price basis. The Company’s products are generally sold with a right of return, and the Company may provide credits or incentives, which are accounted for as variable consideration when estimating the amount of revenue to recognize. Variable consideration is estimated at contract inception and updated at the end of each reporting period as additional information becomes available and only to the extent that it is probable that a significant reversal of any incremental revenue will not occur. Contract Balances - The Company recognizes a contract asset representing the Company’s right to recover products upon the receipt of returned products and a contract liability for the customer refund. The adoption of this standard resulted in the Company recording a contract asset for estimated inventory returns. On April 1, 2018, the estimated inventory returns resulted in a $0.6 million decrease in Receivables, net and a $0.6 million increase in Other current assets on the Company’s Consolidated Balance Sheets. March 31, 2019 April 1, 2018 (In thousands) Contract asset - product returns $ 646 $ 577 Refund liability 1,372 1,468 Practical Expedients and Exemptions - The Company expenses incremental costs to obtain a contract (e.g. sales commissions) when incurred as the amortization period would have been one year or less. These costs are recorded within selling expenses on the Consolidated Statements of Operations. The Company elected the accounting policy election permitted by ASC 606 to account for shipping and handling costs as activities to fulfill the promise to transfer the goods when these activities are performed after a customer obtains control of the goods. Revenue is recognized at the point of shipment. The Company elected the accounting policy to exclude from the transaction price all sales taxes that are assessed by a governmental authority and that are imposed on and concurrent with a specific revenue-producing transaction and collected by the Company from a customer, for example, sales, use, value added, and some excise taxes. Further, the Company does not disclose the value of unsatisfied performance obligations for contracts with an original expected length of one year or less. |
Acquisitions
Acquisitions | 12 Months Ended |
Mar. 31, 2019 | |
Business Combinations [Abstract] | |
Acquisitions | 4 . ACQUISITIONS Fiscal 2019 Acquisition of Noncontrolling interest in BaySaver BaySaver Technologies LLC (“BaySaver”) was a joint venture that was established to produce and distribute water quality filters and separators used in the removal of sediment and pollution from storm water. During the third quarter of fiscal 2019, ADS purchased the remaining 35% ownership interest in BaySaver for a purchase price of $8.8 million. The purchase of the remaining 35% ownership interest was reflected as a reduction in the Redeemable noncontrolling interest in subsidiary in the Consolidated Balance Sheets and as a financing activity in the Consolidated Statement of Cash Flows. Additionally, resulting from this transaction, the Company recorded a $0.6 million non-cash adjustment to deferred taxes. BaySaver is now a wholly-owned subsidiary of ADS. Fiscal 2018 Acquisition of DURASLOT, Inc. On August 1, 2017, ADS acquired DURASLOT, Inc., a manufacturer of linear surface drains, for $2.3 million. The acquisition included approximately $2.1 million of tax-deductible goodwill. Fiscal 2017 Acquisition of Plastic Tubing Industries On February 6, 2017, ADS acquired Plastic Tubing Industries (“PTI”), a manufacturer of HDPE pipe and related accessories. With the acquisition, ADS increased its manufacturing footprint in Georgia and Texas, while adding production capacity to the existing ADS manufacturing facilities in Florida, to better serve growing demand in the region. The purchase price of PTI was $9.5 million, financed through the existing line of credit facility. At the time of acquisition, $8.5 million was paid in cash; the remaining $1.0 million was paid on August 6, 2018. The results of operations of PTI are included in the Consolidated Statements of Operations after February 6, 2017. The Net sales and Income before income taxes of PTI since the acquisition date included in the Consolidated Statements of Operations for the fiscal year ended March 31, 2017 were immaterial. The fair value of the net assets acquired exceeded the purchase price. The difference was recognized as a gain on bargain purchase in fiscal 2017. The purchase price allocation is as follows: (Amounts in thousands) Intangible assets $ 160 Inventory 2,050 Property, plant and equipment 7,899 Fair value of net assets acquired 10,109 Purchase price 9,500 Gain on bargain purchase $ 609 The acquired identifiable intangible assets represent a trade name of $0.2 million (seven-year useful life). The following table contains unaudited pro forma Consolidated Statements of Operations information assuming the acquisition occurred on April 1, 2015 and includes adjustments for amortization of intangibles and depreciation of fixed asset. This unaudited pro forma information is presented for illustrative purposes only and is not indicative of what actual results would have been if the acquisition had taken place on April 1, 2015 or of future results. In addition, the unaudited pro forma consolidated results are not projections of future results of operations of the combined company nor do they reflect the expected realization of any cost savings or synergies associated with the acquisition. Proforma (Amounts in thousands) 2017 Net sales $ 1,266,602 Net income attributable to ADS 33,634 Unaudited pro forma net income attributable to ADS for the fiscal year ended March 31, 2017 has been calculated after adjusting the combined results of the Company to reflect additional intangible asset amortization expense, net of related income taxes, of less than $0.1 million, and depreciation expense, net of related income taxes, of $0.6 million. |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Mar. 31, 2019 | |
Property Plant And Equipment [Abstract] | |
Property, Plant and Equipment | 5 . PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment, net as of the fiscal years ended March 31 consisted of the following: (Amounts in thousands) 2019 2018 Land, buildings and improvements $ 199,810 $ 200,459 Machinery and production equipment 560,858 568,779 Transportation equipment 221,721 211,431 Construction in progress 19,749 6,607 Total cost 1,002,138 987,276 Less: accumulated depreciation (603,247 ) (587,895 ) Property, plant and equipment, net $ 398,891 $ 399,381 The following table sets forth depreciation expense related to Property, plant and equipment in each of the fiscal years ended March 31: (Amounts in thousands) 2019 2018 2017 Depreciation expense (inclusive of leased assets depreciation) (1) $ 59,869 $ 63,044 $ 58,692 (1) Depreciation expense does not include accelerated depreciation expense from the 2018 Restructuring plan. See “Note 2. Loss on Disposal of Assets and Costs from Exit and Disposal Activities” for additional discussion. |
Leases
Leases | 12 Months Ended |
Mar. 31, 2019 | |
Leases [Abstract] | |
Leases | 6 . LEASES Capital Leases - The Company leases certain buildings and transportation equipment including its fleet of trucks and trailers, under capital lease agreements. Leased assets included in Property, plant and equipment as of the fiscal years ended March 31 consisted of the following: (Amounts in thousands) 2019 2018 Buildings and improvements $ 5,357 $ 6,124 Machinery and equipment 220,279 208,475 Total cost 225,636 214,599 Less: accumulated depreciation (114,856 ) (110,346 ) Leased assets in Property, plant and equipment, net $ 110,780 $ 104,253 The following sets forth the interest and depreciation expense related to capital leases recorded in each fiscal year ended March 31: (Amounts in thousands) 2019 2018 2017 Lease interest expense $ 5,215 $ 4,086 $ 3,864 Depreciation of leased assets 19,155 18,511 17,415 The following is a schedule by year of future minimum lease payments under capital leases and the present value of the net minimum lease payments as of March 31, 2019: (Amounts in thousands) 2020 $ 26,604 2021 22,507 2022 18,064 2023 11,721 2024 7,143 Thereafter 8,198 Total minimum lease payments $ 94,237 Less: amount representing interest (a) 9,565 Present value of net minimum lease payments $ 84,672 Current maturities of capital lease obligations 23,117 Long-term capital lease obligations 61,555 Total lease obligation $ 84,672 ( a ) Amount necessary to reduce minimum lease payments to present value calculated at the lower of the rate implicit in the lease or the Company’s incremental borrowing rate at lease inception. Certain leases contain residual value guarantees that create a contingent obligation on the part of the Company to compensate the lessor if the leased asset cannot be sold for an amount in excess of a specified minimum value at the conclusion of the lease term. The calculation is based on the original cost of the transportation equipment, less lease payments made, compared to a percentage of the transportation equipment’s fair market value at the time of sale. All leased units covered by this guarantee have been classified as capital leases and a corresponding capital lease obligation was recorded. Therefore, no further contingent obligation is needed. Operating leases - The Company leases certain real estate and office equipment under various cancellable and non-cancellable operating lease agreements that expire at various dates through fiscal year 2037. Future minimum rental commitments under non-cancellable operating leases as of March 31, 2019, are summarized below (amounts in thousands): 2020 2021 2022 2023 2024 Thereafter Future operating lease payments $ 4,159 $ 2,924 $ 1,814 $ 690 $ 325 $ 2,236 Total rent expense was $6.5 million, $6.6 million, and $6.6 million in the fiscal years ended March 31, 2019, 2018, and 2017, respectively. |
Inventories
Inventories | 12 Months Ended |
Mar. 31, 2019 | |
Inventory Disclosure [Abstract] | |
Inventories | 7 . INVENTORIES Inventories as of the fiscal years ended March 31 consisted of the following: (Amounts in thousands) 2019 2018 Raw materials $ 47,910 $ 54,909 Finished goods 216,630 208,883 Total Inventories $ 264,540 $ 263,792 The Company had no work-in-process inventories as of March 31, 2019 and 2018. During fiscal years ended March 31, 2019 and 2018, the Company incurred production-related general and administrative costs included in the cost of finished goods inventory of $29.4 million and $27.0 million, respectively, of which $8.2 million and $6.5 million remained in inventory at March 31, 2019 and 2018, respectively. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Mar. 31, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | 8 . GOODWILL AND INTANGIBLE ASSETS Goodwill - The carrying amount of goodwill by reportable segment is as follows: (Amounts in thousands) Domestic International Total Balance at March 31, 2017 $ 90,002 $ 10,564 $ 100,566 Acquisition 2,103 — 2,103 Currency translation — 348 348 Balance at March 31, 2018 $ 92,105 $ 10,912 $ 103,017 Currency translation — (379 ) (379 ) Balance at March 31, 2019 $ 92,105 $ 10,533 $ 102,638 Intangible Assets - Intangible assets as of March 31, 2019 and 2018 consisted of the following: 2019 2018 (Amounts in thousands) Gross Intangible Accumulated Amortization Net Intangible Gross Intangible Accumulated Amortization Net Intangible Definite-lived intangible assets Developed technology $ 27,580 $ (19,922 ) $ 7,658 $ 27,580 $ (17,405 ) $ 10,175 Customer relationships 29,851 (23,000 ) 6,851 31,035 (20,567 ) 10,468 Patents 8,313 (5,561 ) 2,752 7,512 (4,956 ) 2,556 Non-compete and other contractual agreements 155 (138 ) 17 607 (567 ) 40 Trademarks and tradenames 15,978 (7,968 ) 8,010 15,969 (6,678 ) 9,291 Total definite lived intangible assets 81,877 (56,589 ) 25,288 82,703 (50,173 ) 32,530 Indefinite-lived intangible assets (a) Trademarks 11,889 — 11,889 11,907 — 11,907 Total Intangible assets $ 93,766 $ (56,589 ) $ 37,177 $ 94,610 $ (50,173 ) $ 44,437 (a) Indefinite-lived intangible assets decreased as a result of foreign currency translation. The gross intangible asset value of customer relationships and non-compete and other contractual agreements decreased due to intangible assets fully amortized in fiscal 2018. Patents increased as a result of asset acquisitions and developed patents during fiscal 2019. The following table presents the weighted average amortization period for definite-lived intangible assets at March 31, 2019: Weighted Average Amortization Period (in years) Developed technology 11.0 Customer relationships 8.7 Patents 8.5 Non-compete and other contractual agreements 7.0 Trademarks and tradenames 13.4 The following table presents the future intangible asset amortization expense based on existing intangible assets at March 31, 2019: Fiscal Year (Amounts in thousands) 2020 2021 2022 2023 2024 Thereafter Total Amortization expense $ 6,037 $ 5,895 $ 4,310 $ 2,534 $ 2,517 $ 3,995 $ 25,288 |
Fair Value Measurement
Fair Value Measurement | 12 Months Ended |
Mar. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement | 9 . FAIR VALUE MEASUREMENT When applying fair value principles in the valuation of assets and liabilities, the Company is required to maximize the use of quoted market prices and minimize the use of unobservable inputs. The Company has not changed its valuation techniques used in measuring the fair value of any financial assets or liabilities during the fiscal years presented. The fair value estimates take into consideration the credit risk of both the Company and its counterparties. When active market quotes are not available for financial assets and liabilities, ADS uses industry standard valuation models. Where applicable, these models project future cash flows and discount the future amounts to a present value using market-based observable inputs including credit risk, interest rate curves, foreign currency rates and forward and spot prices for currencies. In circumstances where market-based observable inputs are not available, management judgment is used to develop assumptions to estimate fair value. Generally, the fair value of our Level 3 instruments is estimated as the net present value of expected future cash flows based on internal and external inputs. Recurring Fair Value Measurements The assets, liabilities and mezzanine equity carried at fair value as of the fiscal years ended March 31 were as follows: March 31, 2019 (Amounts in thousands) Total Level 1 Level 2 Level 3 Assets: Derivative assets — diesel fuel contracts $ 189 $ — $ 189 $ — Interest rate swaps 1,088 — 1,088 — Total assets at fair value on a recurring basis $ 1,277 $ — $ 1,277 $ — Liabilities: Derivative liability - diesel fuel contracts $ 283 $ — $ 283 $ — Foreign exchange forward contracts 60 — 60 — Contingent consideration for acquisitions 203 — — 203 Total liabilities at fair value on a recurring basis $ 546 $ — $ 343 $ 203 March 31, 2018 (Amounts in thousands) Total Level 1 Level 2 Level 3 Assets: Derivative assets — diesel fuel contracts $ 596 $ — $ 596 $ — Interest rate swaps 2,801 — 2,801 — Total assets at fair value on a recurring basis $ 3,397 $ — $ 3,397 $ — Liabilities: Derivative liability - diesel fuel contracts $ 116 $ — $ 116 $ — Contingent consideration for acquisitions 578 — — 578 Total liabilities at fair value on a recurring basis $ 694 $ — $ 116 $ 578 Quantitative Information about Level 3 Fair Value Measurements (Amounts in thousands) Liabilities & Mezzanine Equity Fair Value at 3/31/19 Valuation Technique(s) Unobservable Input Quantifiable Input Contingent consideration for acquisitions $ 203 Discounted cash flow Weighted Average Cost of Capital (“WACC”) (a) 9.50% Liabilities & Mezzanine Equity Fair Value at 3/31/18 Valuation Technique(s) Unobservable Input Quantifiable Input Contingent consideration for acquisitions $ 578 Discounted cash flow Weighted Average Cost of Capital (“WACC”) (a) 9.50% (a) Represents discount rates or rates of return estimates and assumptions that the Company believes would be used by market participants when valuing these liabilities. Changes in the fair value of recurring fair value measurements using significant unobservable inputs (Level 3) for the fiscal years ended March 31, 2019 and 2018 were as follows: Contingent consideration Balance at March 31, 2017 $ 1,348 Change in fair value 39 Payments of contingent consideration liability (809 ) Balance at March 31, 2018 $ 578 Asset acquisition 40 Change in fair value (6 ) Payments of contingent consideration liability (409 ) Balance at March 31, 2019 $ 203 There were no transfers in or out of Level 3 for the fiscal years ended March 31, 2019 and 2018. Valuation of Contingent Consideration for Acquisitions - The method used to price these liabilities is considered Level 3, due to the subjective nature of the unobservable inputs used to determine the fair value. Valuation of Debt - The carrying amounts of current financial assets and liabilities approximate fair value because of the immediate or short-term maturity of these items, or in the case of derivative instruments, because they are recorded at fair value. The carrying and fair value of the Company’s Senior Notes (discussed in “Note 13. Debt”) were $100.0 million and $98.9 million, respectively, as of March 31, 2019 and $125.0 million and $122.3 million, respectively, at March 31, 2018. The fair value of the Senior Notes was determined based on a comparison of the interest rate and terms of such borrowings to the rates and terms of similar debt available for the period. The Company believes the carrying amount on the remaining long-term debt, including the Secured Bank Loans, is not materially different from its fair value as the interest rates and terms of the borrowings are similar to currently available borrowings. The categorization of the framework used to evaluate this debt is considered Level 2. Non-recurring Fair Value Measurements Valuation of Investment in the South American Joint Venture - During the fourth quarter of the fiscal year ended March 31, 2017, the Company recorded a $1.3 million impairment charge related to its investment in the South American Joint Venture equal to the difference between the fair value of the investment and the carrying value. The method used to value the investment is considered Level 3 due to the subjective nature of the unobservable inputs used to determine the fair value. Significant unobservable inputs included the WACC used to discount the future cash flows, which were between 9.3% and 16.5%, based on the markets in which the South American Joint Venture conducts business. See “Note 11. Investment in Unconsolidated Affiliates.” |
Investment in Affiliates
Investment in Affiliates | 12 Months Ended |
Mar. 31, 2019 | |
Unconsolidated Affiliates [Member] | |
Investment in Affiliates | 1 1 . INVESTMENT IN UNCONSOLIDATED AFFILIATES The Company participates in an unconsolidated joint venture, South American Joint Venture, which is 50% owned by the Company’s wholly-owned subsidiary ADS Chile. Prior to April 2018, The Company participated in an unconsolidated joint venture, Tigre-ADS USA, Inc. (“Tigre-ADS USA”), which was 49% owned by the Company’s wholly-owned subsidiary ADS Ventures, Inc. South American Joint Venture - The Company’s investment in this unconsolidated joint venture was formed for the purpose of expanding upon the growth of manufacturing and selling HDPE corrugated pipe in the South American market via the joint venture partner’s local presence and expertise throughout the region. The Company has concluded that it is appropriate to account for this investment using the equity method, whereby the Company’s share of the income or loss of the joint venture is reported in the Consolidated Statements of Operations under Equity in net loss (income) of unconsolidated affiliates and the Company’s investment in the joint venture is included in Other assets in the Consolidated Balance Sheets. The Company is not required to consolidate the South American Joint Venture as it is not the primary beneficiary, although the Company does hold significant variable interests in the South American Joint Venture through the equity investment and debt guarantee. Summarized financial data as of the fiscal years ended March 31 for the South American Joint Venture is as follows: (Amounts in thousands) 2019 2018 Investment in South American Joint Venture $ 10,467 $ 12,343 Net Receivable from South American Joint Venture 504 817 In order to improve the South American Joint Venture’s working capital position and allow it to reallocate capital resources to business growth, the Company and the joint venture partner each contributed equal amounts of outstanding receivables owed to them from the South American Joint Venture in exchange for incremental ownership interest in the South American Joint Venture in December 2017. The Company and the joint venture partner continue to maintain a 50% ownership interest in the South American Joint Venture following the contribution. As a result of the transaction the Company contributed receivables of approximately $5.8 million net of a $3.0 million allowance for doubtful accounts and recorded an additional investment in the South American Joint Venture at the fair value of $4.7 million and a $1.9 million gain on the book value of the receivables. The investment is recorded within Other assets on the Company’s Consolidated Balance Sheets and the gain is recorded within Equity in net (income) loss of unconsolidated affiliates on the Company’s Consolidated Statements of Operations. During the fourth quarter of the fiscal year ended March 31, 2017, the Company determined there was an other-than-temporary decline in the fair value of its investment in the South American Joint Venture, resulting from a further decline of unfavorable regional economic conditions. Accordingly, the Company recorded an impairment charges of $1.3 million, reducing the carrying value of the investment to its fair value. Past impairment charges have resulted in a basis difference between the cost of the investment and the amount of underlying equity in net assets of the South American Joint Venture of $4.0 million and $4.4 million as of March 31, 2019 and 2018 respectively. The basis difference will be amortized over the estimated remaining useful life of the underlying property, plant and equipment, 8 years. The Company recognized $0.4 million, $0.5 million and $0.4 million of amortization of the basis difference in fiscal 2019, 2018 and 2017, respectively. The impairment charge is included in Equity in net loss of unconsolidated affiliates in the Consolidated Statements of Operations. Tigre-ADS USA - The former joint venture was established to manufacture and sell PVC fittings for waterworks, plumbing, and HVAC applications primarily in the United States and Canadian markets. The joint venture represented a continuation of the activities of Tigre-ADS USA through its Janesville, Wisconsin manufacturing facility. The Company was not required to consolidate Tigre-ADS USA as it was not the primary beneficiary, although the Company did hold a significant variable interest in Tigre-ADS USA through the equity investment. In April 2018, the Company and the joint venture partner agreed to exchange the Company’s shares of Tigre-ADS USA for a release from the existing debt guarantees. Following the exchange, the Company no longer has an interest in Tigre-ADS USA. As a result of the agreement, the Company determined there was an other-than-temporary decline in the fair value of its investment in Tigre-ADS USA. Accordingly, the Company recorded an impairment charge of $0.3 million, reducing the carrying value of the investment to its fair value. The impairment charge is included in Equity in net loss of unconsolidated affiliates in the Consolidated Statements of Operations. |
Subsidiaries [Member] | |
Investment in Affiliates | 10 . INVESTMENT IN CONSOLIDATED AFFILIATES ADS participates in one consolidated joint venture, ADS Mexicana, which is 51% owned by the Company’s wholly-owned subsidiary ADS Worldwide, Inc. The equity owned by the Company’s joint venture partner is shown as either Noncontrolling interest in subsidiaries in the Consolidated Balance Sheets and the joint venture partner’s portion of net income is shown as Net income attributable to noncontrolling interest in the Consolidated Statements of Operations. ADS participated in an additional joint venture, BaySaver. In the third quarter of fiscal 2019, the Company acquired the noncontrolling interest in BaySaver. As a result, BaySaver is a wholly-owned subsidiary of the Company after the acquisition. Prior to the acquisition, the equity owned by the Company’s joint venture partner is shown as Redeemable noncontrolling interest in subsidiaries in the Consolidated Balance Sheets and the joint venture partner’s portion of net income is shown as Net income attributable to noncontrolling interest in the Consolidated Statements of Operations. ADS Mexicana - ADS participates in joint ventures for the purpose of expanding upon the growth of manufacturing and selling HDPE corrugated pipe and PVC conduit in emerging markets. ADS invested in ADS Mexicana for the purpose of expanding upon our growth of manufacturing and selling ADS licensed HDPE corrugated pipe and related products in the Mexican and Central American markets via the joint venture partner’s local presence and expertise throughout the region. The Company owns a 51% equity interest in ADS Mexicana. The Company executed a Technology, Patents and Trademarks Sub-License Agreement and a Distribution Agreement with ADS Mexicana that provides ADS Mexicana with the rights to manufacture and sell ADS licensed products in Mexico and Central America. The Company has concluded that it holds a variable interest in and is the primary beneficiary of ADS Mexicana based on the power to direct the most significant activities of ADS Mexicana and the obligation to absorb losses and the right to receive benefits that could be significant to ADS Mexicana. As the primary beneficiary, the Company is required to consolidate the assets and liabilities of ADS Mexicana. The table below includes the assets and liabilities of ADS Mexicana that are consolidated as of March 31, 2019 and 2018. The balances exclude intercompany transactions that are eliminated upon consolidation. (Amounts in thousands) 2019 2018 Assets Current assets $ 18,683 $ 24,616 Property, plant and equipment, net 17,054 18,855 Other noncurrent assets 1,396 1,314 Total assets $ 37,133 $ 44,785 Liabilities Current liabilities $ 6,581 $ 8,979 Noncurrent liabilities 1,264 1,343 Total liabilities $ 7,845 $ 10,322 BaySaver - BaySaver was established in July 2013 to design, engineer, manufacture, market and sell water quality filters and separators used in the removal of sediment and pollution from storm water anywhere in the world except New Zealand, Australia and South Africa. The Company acquired the remaining 35% ownership interest in BaySaver in fiscal 2019. The acquisition of the additional interest in BaySaver is disclosed in “Note 4. Acquisitions”. The table below includes the assets and liabilities of BaySaver that are consolidated as of March 31, 2018. The balances exclude intercompany transactions that are eliminated upon consolidation. (Amounts in thousands) 2018 Assets Current assets $ 3,761 Property, plant and equipment, net 216 Other noncurrent assets 10,470 Total assets $ 14,447 Liabilities Current liabilities $ 820 Total liabilities $ 820 |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Mar. 31, 2019 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 12. RELATED PARTY TRANSACTIONS ADS Mexicana - ADS conducts business in Mexico and Central America through its joint venture ADS Mexicana. ADS Mexicana’s Revolving Credit Facility expired on June 22, 2018 and was replaced by an Intercompany Revolving Credit Promissory Note (the “Intercompany Note”) with a borrowing capacity of $12.0 million. The Intercompany Note matures on June 22, 2022. The other joint venture partner indemnifies the Company for 49% of any unpaid borrowing. The interest rates under the Intercompany Note are determined by certain base rates or London Interbank Offered Rate (“LIBOR”) plus an applicable margin based on the Leverage Ratio. As of March 31, 2019, there were no borrowings under the Intercompany Note. South American Joint Venture - The Company’s South American Joint Venture manufactures and sells HDPE corrugated pipe in the South American market. ADS is the guarantor for 50% of the South American Joint Venture’s credit facility, and the debt guarantee is shared equally with the joint venture partner. The maximum potential obligation under this guarantee totals $11.0 million as of March 31, 2019. The maximum borrowing permitted under the South American Joint Venture’s credit facility is $22.0 million. This credit facility allows borrowings in either Chilean pesos or US dollars at a fixed interest rate determined at inception of each draw on the facility. The guarantee of the South American Joint Venture’s debt expires on December 31, 2020. ADS does not anticipate any required contributions related to the balance of this credit facility. As of March 31, 2019 and 2018, the outstanding principal balance of the credit facility including letters of credit was $12.3 million and $14.5 million, respectively. As of March 31, 2019, there were no U.S. dollar denominated loans. The weighted average interest rate as of March 31, 2019 was 5.57% on Chilean peso denominated loans. ADS and the South American Joint Venture have entered into shared services arrangements in order to execute the joint venture services. Occasionally, the South American Joint Venture enters into agreements for pipe sales with ADS and its other related parties, which were $1.3 million and $2.1 million in the fiscal years ended March 31, 2019 and 2018, respectively. ADS pipe sales to the South American Joint Venture were $1.2 million and $0.4 million in the fiscal years ended March 31, 2019 and 2018, respectively. BaySaver - BaySaver Technologies LLC (“BaySaver”) was a joint venture that was established to produce and distribute water quality filters and separators used in the removal of sediment and pollution from storm water. During the third quarter, ADS purchased the remaining 35% ownership interest in BaySaver for a purchase price of $8.8 million. The purchase of the remaining 35% ownership interest was reflected as a reduction in the Redeemable noncontrolling interest in subsidiary in the Consolidated Balance Sheets and as a financing activity in the Consolidated Statement of Cash Flows. Additionally, resulting from this transaction, the Company recorded a non-cash adjustment to deferred taxes. BaySaver is now a wholly-owned subsidiary of ADS Tigre-ADS USA - Tigre-ADS USA was a joint venture established to manufacture and sell PVC fittings for waterworks, plumbing, and HVAC applications primarily in the United States and Canadian markets. ADS owned 49% of the outstanding shares of capital stock of Tigre-ADS USA. The joint venture represented a continuation of the existing activities of Tigre-ADS USA through its Janesville, Wisconsin manufacturing facility. In April 2018, the Company and the joint venture partner agreed to exchange the Company’s shares of Tigre-ADS USA for a release from the existing debt guarantees. Following the exchange, the Company no longer has an interest in Tigre-ADS USA. Following the exchange of Tigre-ADS USA shares, the Company still considers Tigre-ADS USA a related party as a result of the Company’s joint venture in the South American Joint Venture discussed above. ADS purchased $0.3 million, $2.0 million and $1.6 million of Tigre-ADS USA manufactured products for use in the production of ADS products during fiscal years 2019, 2018 and 2017, respectively. |
Debt
Debt | 12 Months Ended |
Mar. 31, 2019 | |
Debt Disclosure [Abstract] | |
Debt | 1 3 . DEBT Long-term debt as of the fiscal years ended March 31 consisted of the following: (Amounts in thousands) 2019 2018 Secured Bank Loans Revolving Credit Facility — ADS $ 134,400 $ 171,500 Revolving Credit Facility — ADS Mexicana — — Senior Notes payable 100,000 125,000 Industrial revenue bonds — 940 Equipment financing 2,427 3,336 Total 236,827 300,776 Unamortized debt issuance costs (2,293 ) (3,028 ) Current maturities (25,932 ) (26,848 ) Long-term debt obligations $ 208,602 $ 270,900 Long-term Debt Modification Secured Bank Loans - On June 22, 2017, the Company and certain of its subsidiaries, as guarantors (collectively, the “Guarantors”), entered into a Second Amended and Restated Credit Agreement (the “Credit Agreement”) with PNC Bank, National Association (“PNC”), as administrative agent (in such capacity, the “Agent”), and various financial institutions party thereto (together with PNC, collectively, the “Lenders”), pursuant to which the Lenders have committed to provide the Company a $550.0 million revolving credit facility (with an option to increase such revolving credit facility or incur new term loans in an agreement amount of up to $150.0 million) subject to the terms and conditions in the Credit Agreement. The Credit Agreement amends and restates the Amended and Restated Credit Agreement dated as of June 12, 2013, as amended, among the Company and certain of its subsidiaries, as guarantors, various financial institutions party thereto, and the Agent. The Secured Bank Loans are secured by a lien on a significant majority of the Company’s assets. Letters of credit outstanding at March 31, 2019 amounted to $8.5 million and reduce the availability of the Revolving Credit Facilities. The amount available for borrowing for the Company was $407.1 million at March 31, 2019. Borrowings under the credit facility will be used for general corporate purposes, including repurchases of stock, repayments of existing indebtedness, repayments of short-term borrowings, working capital requirements, capital expenditures and acquisitions. The interest rates under the Credit Agreement are determined by certain base rates or LIBOR rates, plus an applicable margin based on the Leverage Ratio then in effect. The average interest rate was 3.69% as of March 31, 2019. The Credit Agreement has an expiration date of June 22, 2022. The Credit Agreement sets forth certain customary business and financial covenants to which the Company and Guarantors are subject when any amounts under the Credit Agreement are outstanding, including covenants that limit or restrict the ability of the Company and the Guarantors to incur indebtedness, to make capital distributions, and to incur certain liens and encumbrances on any of its respective property. The two primary financial covenants of the Credit Agreement require the Company to maintain a certain Leverage Ratio and an Interest Coverage Ratio. The Credit Agreement Leverage Ratio generally requires that at the end of any fiscal quarter, for the four fiscal quarters then ended, the Company will not permit the ratio of its total consolidated indebtedness to the Company’s Consolidated EBITDA (as defined in the Credit Agreement) to be greater than 4.00 to 1.00 (or 4.25 to 1.00 as of the date of any acquisitions permitted under the Credit Agreement for which the aggregate consideration is $100.0 million or greater). The Credit Agreement Interest Coverage Ratio generally requires that at the end of any fiscal quarter, for the four fiscal quarters then ended, the Company will not permit the ratio of Consolidated EBITDA to the Company’s consolidated interest expense payable during such period to be less than 3.00 to 1.00. The Credit Agreement provides for customary events of default, including, among other things, in the event of nonpayment of principal, interest, or other amounts, a representation or warranty proving to have been incorrect in any material respect when made, failure to perform or observe certain covenants within a specified period of time, a cross-default to other Company indebtedness of a specified amount, the bankruptcy or insolvency of the Company or a Guarantor, monetary judgment defaults of a specified amount, a change of control of the Company, and ERISA defaults resulting in liability under certain circumstances. In the event of a default by the Company, the Agent or the requisite number of Lenders may declare all amounts owed under the Credit Agreement and outstanding letters of credit immediately due and payable and terminate the Lenders’ commitments to make loans under the Credit Agreement. For defaults related to bankruptcy, insolvency or reorganization proceedings, the commitments of the Lenders will be automatically terminated and all outstanding loans and other amounts will become immediately due and payable. On June 28, 2017, ADS executed a Forward Interest Rate Swap on the 30-Day LIBOR interest rate to mitigate the impact of interest rate volatility. The swap has a notional value of $100.0 million and a fixed rate of 1.8195% for a five year period. Senior Notes - On June 22, 2017, the Company and the Guarantors entered into the Second Amended and Restated Private Shelf Agreement (the “Private Shelf Agreement”) with PGIM, Inc. (“Prudential”) and certain other parties thereto. The Private Shelf Agreement amends and restates the Amended and Restated Private Shelf Agreement dated as of September 24, 2010, as amended, pursuant to which the Company has previously issued and sold secured senior notes of the Company. Under the terms of the Private Shelf Agreement, the Company may request that Prudential purchase, over the next three years, secured senior notes of the Company so long as the aggregate principal amount of notes outstanding at any time does not exceed $175.0 million (the “Shelf Notes”). The Shelf Notes shall bear interest at a fixed interest rate and have a maturity date not to exceed ten years from the date of issuance. Prudential and its affiliates are under no obligation to purchase any of the Shelf Notes. The interest rate and terms of payment of any series of Shelf Notes will be determined at the time of purchase. The proceeds of any series of Shelf Notes will be used as specified in the request for purchase with respect to such series, subject to compliance with the requirements in the Private Shelf Agreement, but are anticipated to be used for general corporate purposes, including refinancing of short-term borrowings and/or repayment of outstanding indebtedness under the Credit Agreement, which is described above, as well as financing of capital expenditures and acquisitions. Obligations under the Private Shelf Agreement are secured by capital stock of certain direct and indirect subsidiaries of the Company and the Guarantors and substantially all other tangible and intangible personal property owned by the Company and the Guarantors. Obligations under the Private Shelf Agreement are secured by the collateral on a pari passu basis with obligations under the Credit Agreement. The Private Shelf Agreement sets forth certain customary business and financial covenants to which the Company and Guarantors are subject when any Shelf Note is outstanding, including covenants that limit or restrict the ability of the Company and the Guarantors to incur indebtedness, to make capital distributions, and to incur certain liens and encumbrances on any of its respective property. The two primary financial covenants of the Private Shelf Agreement require the Company to maintain a certain Leverage Ratio and an Interest Coverage Ratio. The Private Self Agreement Leverage Ratio generally requires that at the end of any fiscal quarter, for the four fiscal quarters then ended, the Company will not permit the ratio of its total consolidated indebtedness to the Company’s Consolidated EBITDA (as defined in the Private Shelf Agreement) to be greater than 4.00 to 1.00 (or 4.25 to 1.00 as of the date of any acquisitions permitted under the Private Self Agreement for which the aggregate consideration is $100.0 million or greater). The Private Self Agreement Interest Coverage Ratio generally requires that at the end of any fiscal quarter, for the four fiscal quarters then ended, the Company will not permit the ratio of Consolidated EBITDA to the Company’s consolidated interest expense payable during such period to be less than 3.00 to 1.00. The Private Shelf Agreement provides for customary events of default, including, among other things, in the event of nonpayment of principal, interest, or other amounts, a representation or warranty proving to have been incorrect in any material respect when made, failure to perform or observe certain covenants within a specified period of time, a cross-default to other Company indebtedness of a specified amount, the bankruptcy or insolvency of the Company or a Guarantor, monetary judgment defaults of a specified amount, a change of control of the Company, and ERISA defaults resulting in liability under certain circumstances. In the event of a default by the Company, any or all holders of Shelf Notes may declare amounts owed under the Private Shelf Agreement immediately due and payable. For defaults related to bankruptcy, insolvency or reorganization proceedings, all amounts owed under the Agreement will become immediately due and payable, and Prudential may at its option terminate the Private Shelf Note Facility. On June 28, 2017, the Company issued and sold Shelf Notes in the aggregate principal amount of $75.0 million pursuant to the Private Shelf Agreement. The $75.0 million of Shelf Notes bears interest at a fixed interest rate of 3.53% per annum and have a maturity date of seven years from the date of issuance. The rate is subject to an additional 100 basis point excess leverage fee if the calculated leverage ratio exceeds 3 to 1 at the end of a fiscal quarter. On July 9, 2018, the Company amended the Second Amended and Restated Credit Agreement (the “Credit Agreement”) and the Second Amended and Restated Private Shelf Agreement (the “Private Shelf Agreement”) to amend the definition of Consolidated EBITDA and changed the timing of the quarterly rate adjustments. In addition, the amendment to the Credit Agreement clarified the process of a transition to replace LIBOR which is being phased out. Master Loan and Security Agreement – In June 2016, ADS signed a Master Loan and Security Agreement for Equipment Financing in the U.S. and Canada for an aggregate amount of up to $4.5 million. During fiscal 2017, the Company issued $4.6 million of Equipment Notes with a weighted average fixed interest rate at 2.72%, with the aggregate loan amount during fiscal 2017 reaching a total of $4.2 million, net of principal payments. Each Equipment Note amortizes the principal over five years and is payable monthly. The average interest rate was 2.74% as of March 31, 2019 Secured Bank Loans – Prior to the long-term debt modification in June 2017, the Company had a revolving credit facility with borrowing capacity of $325.0 million for ADS, Inc., a Revolving Credit Facility for ADS Mexicana with borrowing capacity of $12.0 million and a $100.0 million term note. The Company did not modify ADS Mexicana’s borrowing capacity. The ADSM Mexicana revolving credit facility matured on June 22, 2018. There were no borrowings under the Revolving Credit Facility – ADS Mexicana. Refer to “Note 12. Related Party Transactions” for additional information on the Intercompany Note which replaced the Revolving Credit Facility – ADS Mexicana. The average rate was 2.61% at March 31, 2017. Senior Notes Payable – Prior to the long-term debt modification in June 2017, the Company had an agreement with Prudential Investment Management, Inc. for the issuance of senior promissory notes (“Senior Notes”), for an aggregate amount of up to $100.0 million. During fiscal 2010, the Company issued $75.0 million of Senior Notes with interest fixed at 5.6% and payable quarterly. The rate was subject to an additional 200 basis point excess leverage fee if the calculated leverage ratio exceeds 3 to 1 at the end of a fiscal quarter. In July 2013, ADS issued an additional $25.0 million of Senior Notes. Interest for the additional $25.0 million is payable quarterly and is fixed at 4.05%. A principal payment of $25.0 million was made in fiscal 2017, fiscal 2018 and fiscal 2019. Principal payment of $25.0 million will be made in fiscal 2020. Industrial Revenue Bonds - Between 1996 and 2007, ADS issued industrial revenue bonds for the construction of four production facilities. Two of the bonds were retired during fiscal 2011 and one of the bonds was retired in fiscal 2015. The final bond matured in February 2019, leaving the Company with no current Industrial Revenue Bonds. The Company made principal payments of $0.9 million, $1.9 million and $0.9 million in fiscal year ended March 31, 2019, 2018 and 2017, respectively. ADS Mexicana Scotia Bank Revolving Credit Facility - On December 11, 2014, ADS’s joint venture, ADS Mexicana, entered into a credit agreement with Scotia Bank. The credit agreement provides for revolving loans up to a maximum aggregate principal amount of $5.0 million. The proceeds of the revolving credit facility have primarily been used for short term investments and are available for working capital needs. The interest rates of the revolving credit facilities are determined by LIBOR rates, Tasa de Interes Interbancaria de Equilibrio (TIIE) or the Costos de Captacion rates, plus an applicable margin. On May 27, 2016, ADS Mexicana obtained a waiver on a covenant from Scotia Bank relating to ADS Mexicana failing to notify Scotia Bank of changes in legal organizational structure and payment of dividends. The Scotia Bank revolving credit facility matured on December 11, 2017. The obligations under the revolving credit facility were not guaranteed by ADS. As of the maturity date, there was no outstanding principal drawn on the Scotia Bank revolving credit facility, which bore interest at the LIBOR, plus 1.60%. Principal Maturities - Maturities of long-term debt (excluding interest and deferred financing costs) as of March 31, 2019 are summarized below: Fiscal Years Ending March 31, (Amounts in thousands) 2020 2021 2022 2023 2024 Thereafter Total Principal maturities $ 25,932 $ 963 $ 532 $ 134,400 $ — $ 75,000 $ 236,827 |
Derivative Transactions
Derivative Transactions | 12 Months Ended |
Mar. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Derivative Transactions | 1 4 . DERIVATIVE TRANSACTIONS The Company uses interest rate swaps and commodity options in the form of collars and swaps to manage its various exposures to interest rate and commodity price fluctuations. For the interest rate swap executed on June 28, 2017, gains and losses resulting from the difference between the spot rate and applicable base rate is recorded in Interest expense. For collars and commodity swaps, contract settlement gains and losses are recorded in the Consolidated Statements of Operations in Derivative gains and other income, net. Gains and losses related to mark-to-market adjustments for changes in fair value of the derivative contracts are also recorded in the Consolidated Statements of Operations in Derivative gains and other income, net. A summary of the fair values for the various derivatives at March 31, 2019 and 2018 is presented below: 2019 Assets Liabilities (Amounts in thousands) Receivables Other assets Other accrued liabilities Other liabilities Diesel fuel option collars and swaps $ 127 $ 62 $ (201 ) $ (82 ) Foreign exchange forward contracts — — (60 ) — Interest rate swaps 566 522 — — 2018 Assets Liabilities (Amounts in thousands) Receivables Other assets Other accrued liabilities Other liabilities Diesel fuel option collars and swaps $ 573 $ 23 $ (78 ) $ (38 ) Interest rate swaps 311 2,490 — — The Company recorded net losses and net (gains) on mark-to-market adjustments for changes in the fair value of derivative contracts as well as net losses and net (gains) on the settlement of derivative contracts as follows: Net Unrealized Mark to Market Losses (Gains) (Amounts in thousands) 2019 2018 2017 Interest rate swaps $ 1,712 $ (2,801 ) $ (252 ) Foreign exchange forward contracts 60 — — Diesel fuel option collars 574 (443 ) (2,642 ) Propylene swaps — — (8,027 ) Total net unrealized mark to market losses (gains) $ 2,346 $ (3,244 ) $ (10,921 ) Net Realized Losses (Gains) (Amounts in thousands) 2019 2018 2017 Interest rate swaps $ (329 ) $ — $ — Foreign exchange forward contracts (163 ) — — Diesel fuel option collars $ (698 ) $ (476 ) $ 1,893 Propylene swaps — — 6,671 Total net realized losses (gains) $ (1,190 ) $ (476 ) $ 8,564 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Mar. 31, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 1 5 . COMMITMENTS AND CONTINGENCIES Purchase Commitments The Company secures supplies of resin raw material by agreeing to purchase quantities during a future given period at a fixed price. These purchase contracts typically range from 1 to 12 months and occur in the ordinary course of business. Under such purchase contracts in place at March 31, 2019, the Company has agreed to purchase resin over the period April 2019 through December 2019 at a committed purchase cost of $17.6 million. Litigation and Other Proceedings As previously disclosed in the Company’s fiscal 2018 Form 10-K, the Company’s historical accounting practices were the subject of an investigation by SEC’s Division of Enforcement (the “Enforcement Division”), which began in August 2015. That matter was resolved on July 10, 2018 via a settlement between the Company and the SEC. Pursuant to the settlement, the Company consented to the entry of an administrative order without admitting or denying the findings therein. The order required the Company to cease and desist from committing or causing any violations and any future violations of certain provisions of the federal securities laws and the rules promulgated thereunder and to pay a civil monetary penalty of $1.0 million, which payment has been made. The Company previously accrued an expense for the penalty amount during fiscal 2018. On July 29, 2015, a putative stockholder class action, Christopher Wyche, individually and on behalf of all others similarly situated v. Advanced Drainage Systems, Inc., et al. (Case No. 1:15-cv-05955-KPF), was commenced in the U.S. District Court for the Southern District of New York (the “District Court”), naming the Company, along with Joseph A. Chlapaty, the Company’s former Chief Executive Officer, and Mark B. Sturgeon, the Company’s former Chief Financial Officer, as defendants and alleging violations of the federal securities laws. An amended complaint was filed on April 28, 2016. The amended complaint alleged that the Company made material misrepresentations and/or omissions of material fact in its public disclosures during the period from July 25, 2014 through March 29, 2016, in violation of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, as amended, and Rule 10b-5 promulgated thereunder. On March 10, 2017, the District Court dismissed plaintiff’s claims against all defendants in their entirety and with prejudice. Plaintiff appealed to the United States Court of Appeals for the Second Circuit, and on October 13, 2017 the District Court’s judgment was affirmed by the Second Circuit. On October 27, 2017, plaintiff filed a petition for rehearing with the Second Circuit. The Second Circuit denied the petition for rehearing on November 28, 2017. On November 27, 2018, the plaintiff filed a motion for relief from final judgment and for leave to file an amended complaint with the District Court. The defendants have opposed the plaintiff’s motion and are awaiting a decision by the District Court. While it is reasonably possible that this matter ultimately could be decided unfavorably to the Company, the Company is currently unable to estimate the range of the possible losses, but it could be material. The Company is involved from time to time in various legal proceedings that arise in the ordinary course of business, including but not limited to commercial disputes, environmental matters, employee related claims, intellectual property disputes and litigation in connection with transactions including acquisitions and divestitures. The Company does not believe that such litigation, claims, and administrative proceedings will have a material adverse impact on the Company’s financial position or results of operations. The Company records a liability when a loss is considered probable, and the amount can be reasonably estimated. Other Commitments and Contingencies In March 2019, the Company initiated an internal investigation process, under the guidelines of the Company’s Code of Business Conduct and Ethics, into its consolidated joint venture affiliate ADS Mexicana’s senior management’s ethical and business conduct, as well as compliance of certain products with, along with considerations into Mexican laws and regulations over the last 12 months. The Company has concluded that the current estimate of probable losses resulting from the investigation is not material to our consolidated financial statements, however due to the inherent uncertainties in determining the use, installation application and location of our ADS Mexicana products sold, along with the consideration of Mexican laws and regulations related to warranty and product liability obligations, the Company is unable to determine the maximum potential future losses that may occur, which could be material to the consolidated financial statements. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Mar. 31, 2019 | |
Postemployment Benefits [Abstract] | |
Employee Benefit Plans | 1 6 . EMPLOYEE BENEFIT PLANS Employee Stock Ownership Plan (“ESOP”) - The Company established the Advanced Drainage Systems, Inc. ESOP (the “ESOP” or the “Plan”) effective April 1, 1993. The Plan was funded through a transfer of assets from our tax-qualified profit-sharing retirement plan, as well as a 30-year term loan from ADS. Within 30 days following the repayment of the ESOP loan, which will occur no later than March 2023, the ESOP committee can direct the shares of redeemable convertible preferred stock owned by the ESOP to be converted into shares of the Company’s common stock. The Plan operates as a tax-qualified leveraged ESOP and was designed to enable eligible employees to acquire stock ownership interest in ADS. Employees of ADS who have reached the age of 18 are generally eligible to participate in the Plan on March 31 after six months of service. Upon retirement, disability, death, or vested terminations, (i) a participant or designated beneficiary may elect to receive the amount in their account attributable to the 1993 transfer of assets from our tax-qualified profit sharing retirement plan in the form of cash or ADS stock with any fractional shares paid in cash; (ii) stock credited to the participants’ ESOP stock account resulting from the ESOP’s loan repayments are distributed in the form of ADS stock, and (iii) amounts credited to the participants’ ESOP cash account are distributed in the form of cash. Upon attainment of age 50 and seven years of participation in the Plan, a participant may elect to diversify specified percentages of the number of shares of ADS stock credited to the participant’s ESOP stock account in compliance with applicable law. The Company is obligated to make contributions to the Plan, which, when aggregated with the Plan’s dividends on the Plan’s unallocated shares of redeemable convertible preferred stock, equal the amount necessary to enable the Plan to make its regularly scheduled payments of principal and interest due on its term loan to ADS. As the Plan makes annual payments of principal and interest, an appropriate percentage of preferred stock is allocated to ESOP participants’ accounts in accordance with plan terms that are compliant with applicable Internal Revenue Code and regulatory provisions. The carrying value of redeemable convertible preferred stock held by the ESOP trust, but not yet earned by the ESOP participants or used for dividends, is reported as Deferred compensation — unearned ESOP shares within the Mezzanine equity section of our Consolidated Balance Sheets. Compensation expense and related dividends paid with ESOP shares for services rendered throughout the period are recognized based upon the annual fair value of the shares allocated. Deferred compensation — unearned ESOP shares is relieved at fair value, with any difference between the annual fair value and the carrying value of shares when allocated being added to Additional paid in capital. The fair value of the shares allocated was $19.90, $20.00, and $16.80 per share of redeemable convertible preferred stock at March 31, 2019, 2018, and 2017, respectively, resulting in an average annual fair value per share of $19.95, $18.40, and $16.58 per share for the fiscal years ended March 31, 2019, 2018, and 2017, respectively. During the fiscal years ended March 31, 2019, 2018, and 2017, the Company recognized compensation expense of $15.3 million, $11.7 million, and $9.6 million, respectively, related to allocation of ESOP shares to participants. Required dividends on allocated shares are generally passed through and paid in cash to the participants and required dividends on unallocated shares are paid in cash to the Plan and generally used to service the Plan’s debt. The ESOP committee directed the Plan trustee to retain dividends on unallocated ADS shares rather than to service the Plan’s debt. In the fiscal years ended March 31, 2019, 2018, and 2017, the Company recognized compensation expense and the trustee retained $3.3 million, $3.2 million and $2.9 million, respectively, for dividends on unallocated ADS shares. These dividends were allocated to participants based on the total shares in their account in relation to total shares allocated at March 31, 2019 and 2018. Redeemable Convertible Preferred Stock - The Trustee of the Company’s ESOP has the ability to put shares of the redeemable convertible preferred stock to the Company absent a market for the Company’s common stock, and as a result the redeemable convertible preferred stock is classified as Mezzanine equity in the Company’s Consolidated Balance Sheets. The put option requirements of the Internal Revenue Code apply in the event that the Company’s common stock is not a registration type class of security or its trading has been restricted. Therefore, the holders of Redeemable convertible preferred stock have a put right to require the Company to repurchase such shares in the event that the common stock is not listed for trading or otherwise quoted on the NYSE, AMEX, NASDAQ, or any other market more senior than the OTC Bulletin Board. As of March 31, 2019, the applicable redemption value was $0.7818 per share as there were no unpaid cumulative dividends. Given that the event that may trigger redemption of the Redeemable convertible preferred stock (the listing or quotation on a market more senior than the OTC Bulletin Board) is not solely within the Company’s control, the redeemable convertible preferred stock is presented in the mezzanine equity section of the Consolidated Balance Sheets. As of March 31, 2019, the Company did not adjust the carrying value of the redeemable convertible preferred stock to its redemption value or recognize any changes in fair value as the Company did not consider it probable that the Redeemable convertible preferred stock would become redeemable. The Redeemable convertible preferred stock has a required cumulative 2.5% dividend (based on the liquidation value of $0.7818 per share) and is convertible at a rate of 0.7692 shares of common stock for each share of Redeemable convertible preferred stock. The 2.5% annual dividend is payable in cash or additional shares of the Redeemable convertible preferred stock. During the first quarter of fiscal 2018, the Board of Directors approved the 2.5% annual dividend to be paid in cash on March 31, 2019 to stockholders of record as of March 15, 2019. The Redeemable convertible preferred stock has a liquidation value of $0.7818 per share that must be paid before any distribution or payment may be made to holders of common stock in the event of any voluntary or involuntary liquidation, dissolution or winding up of the affairs of ADS. Cash and stock dividends on allocated Redeemable convertible preferred stock for the fiscal years ended March 31, 2019 and 2018, respectively, are summarized in the following table. (Amounts in thousands) 2019 2018 Quarterly cash dividends $ 1,903 $ 1,713 Annual cash dividends 10 11 Total cash dividends $ 1,913 $ 1,724 Annual stock dividend 134 134 Annual cash dividend 10 11 Total ESOP required dividends $ 144 $ 145 Allocated shares 7,392 7,437 Required dividend per share 0.0195 0.0195 Required dividends $ 144 $ 145 In the fiscal years ended March 31, 2019 and 2018, 0.8 million and 0.6 million shares of redeemable convertible preferred stock, respectively, were allocated to the ESOP participants, including, in addition to the cash dividends, 0.1 million and less than 0.1 million preferred shares allocated as dividends, respectively. Executive Retirement Expense - ADS has employment agreements with certain executives that include potential payments to be made to those executives upon termination. The terms of the termination payments vary by executive, but are generally based on current base salary and bonus levels at the time of termination. The contractual termination payments vest upon either (1) certain contingent occurrences terminating employment such as death, disability, layoff, the executive voluntarily quitting due to a breach of covenants by the Company or for other “good reason” or (2) the executive reaching a specified retirement age while still working for the Company, as defined in the individual employee agreement. The Company accrues a liability from the effective date of the executive’s employment agreement to the date the executive reaches the required retirement age while working for the Company, which is considered the service period for this obligation. The liability is estimated based on each executive’s current base salary and bonus levels. Because the executives vest in the termination payments equally over the relevant service period, the Company recognizes the related compensation expense based on the straight-line method over the service period. If an executive terminates their employment prior to reaching the required retirement age, no payment is required and the previously recorded compensation expense for that executive is reversed and recorded as a benefit to compensation expense in the period the executive terminates employment. The compensation (benefit) expense recorded related to the executive termination payments for the fiscal years ended March 31, 2019, 2018, and 2017 was $(0.2) million, $1.5 million and $1.1 million, respectively, and is included in General and administrative expenses in the Consolidated Statements of Operations. As of March 31, 2019 and 2018, the executive termination payment obligation was $4.3 million and $6.1 million, respectively, and is included in Other accrued liabilities and Other liabilities in the Consolidated Balance Sheets. Profit-Sharing Plan - The Company has a tax-qualified profit-sharing retirement plan with a 401(k) feature covering substantially all U.S. eligible employees. The Company did not make employer contributions to this plan in the fiscal years ended March 31, 2019, 2018, and 2017. The Company has a defined contribution postretirement benefit plan covering Canadian employees. The Company recognized costs of $0.4 million, $0.7 million and $0.8 million in the fiscal years ended March 31, 2019, 2018, and 2017. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Mar. 31, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-Based Compensation | 1 7 . STOCK-BASED COMPENSATION The Company has several programs for stock-based payments to employees and directors, including stock options and restricted stock. Stock-based compensation expense is recorded in General and administrative expenses, Selling expenses and Cost of goods sold in the Consolidated Statements of Operations. The Company recognized stock-based compensation expense in the following line items on the Consolidated Statements of Operations for the fiscal years ended March 31, 2019, 2018, and 2017: (Amounts in thousands) 2019 2018 2017 Component of income before income taxes: Cost of goods sold $ 317 $ 179 $ 177 Selling expenses 180 105 177 General and administrative expenses 6,035 6,837 7,953 Total stock-based compensation expense $ 6,532 $ 7,121 $ 8,307 The following table summarizes stock-based compensation expense by award type for the fiscal years ended March 31, 2019, 2018, and 2017: (Amounts in thousands) 2019 2018 2017 Stock-based compensation expense: Liability-classified stock options $ — $ — $ 4,936 Equity-classified stock options 2,550 4,148 108 Restricted stock 2,064 1,741 1,945 Performance-based restricted stock units 869 — — Non-employee director 1,049 1,232 1,318 Total stock-based compensation expense $ 6,532 $ 7,121 $ 8,307 On April 1, 2017, the Company modified all outstanding awards to remove the provision that permitted employees to satisfy their personal tax liability with the net settlement of shares in excess of minimum tax withholding. Employees can now withhold shares with a fair value up to the maximum statutory rate. Accordingly, the Company modified the awards previously accounted for as liability-classified to equity-classified and reclassified the carrying amount of the awards of $13.7 million to Paid-in capital in the Consolidated Balance Sheet. All stock options have been accounted for as equity-classified awards for the periods subsequent to the modification. Prior to the modification, liability-classified awards were reclassified to additional paid in capital at fair value when stock options were exercised. The following table summarizes the assumptions used in estimating the fair value of stock options: 2019 2018 2017 Common stock price $25.75 - $27.99 $19.35 - $22.95 $18.70 - $28.17 Expected stock price volatility 30.3% - 31.1% 32.1% - 35.6% 29.6% - 33.0% Risk-free interest rate 2.9% - 3.1% 1.9% - 2.2% 0.9% - 1.9% Weighted-average expected option life (years) 6.0 5.6 - 6.0 0.5 - 5.1 Dividend yield 1.1% - 1.2% 1.1% - 1.5% 0.9% 2000 and 2013 Stock Options Plans Equity classified stock option awards are measured based on the grant date estimated fair value of each award. Compensation expense for stock options is recognized on a straight-line basis over the employee’s requisite service period, which is generally the vesting period of the grant. The Company estimates the fair value of stock options using a Black-Scholes option-pricing model. 2000 Plan - The Company’s 2000 stock option plan (“2000 Plan”) provided for the issuance of statutory and non-statutory stock options to management based upon the discretion of the Board of Directors. The plan generally provided for grants with the exercise price equal to fair value on the date of grant, which vest in three equal annual amounts beginning in year five and expire after approximately 10 years from issuance. The Company had no shares available for grant under the 2000 Plan as of March 31, 2019. The stock option activity for the fiscal year ended March 31, 2019 is summarized as follows: (Share amounts in thousands) Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Outstanding at beginning of year 135 $ 13.85 4.8 Granted — — — Exercised (53 ) 12.64 — Forfeited — — — Outstanding at end of year 82 14.64 4.3 Vested at end of year 28 12.56 3.1 Unvested at end of year 54 15.74 5.0 Fair value of options granted during the year $ — All outstanding options are expected to vest. The following table summarizes information about the unvested stock option grants as of the fiscal year ended March 31, 2019: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year 54 $ 6.76 Granted — — Vested — — Forfeitures — — Unvested at end of year 54 $ 6.76 As of March 31, 2019, there was a total of $0.2 million of unrecognized compensation expense related to unvested stock option awards under the 2000 plan that will be recognized as an expense as the awards vest over the remaining weighted average service period of 2.3 years. No options vested or were granted during the fiscal years ended March 31, 2019, 2018, and 2017. The aggregate intrinsic value for options outstanding and currently exercisable as of March 31, 2019 was $0.9 million and $0.4 million, respectively. The total intrinsic value of options exercised during the fiscal years ended March 31, 2019, 2018, and 2017 were $0.8 million, $0.5 million and $3.7 million, respectively. 2013 Plan - The Company’s 2013 stock option plan (“2013 Plan”) provided for the issuance of non-statutory common stock options to management subject to the Board’s discretion. The plan generally provided for grants with the exercise price equal to fair value on the date of grant. The grants generally vest in three to five equal annual amounts beginning in year one and expire after approximately 10 years from issuance. The stock option activity for the fiscal year ended March 31, 2019 is summarized as follows: (Share amounts in thousands) Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Outstanding at beginning of year 1,502 $ 16.27 5.9 Granted — — — Exercised (368 ) 14.57 — Forfeited (14 ) 17.31 — Outstanding at end of year 1,120 16.81 4.9 Vested at end of year 999 15.91 4.6 Unvested at end of year 121 24.17 7.0 Fair value of options granted during the year $ — All outstanding options are expected to vest. The following table summarizes information about the unvested stock option grants as of the fiscal year ended March 31, 2019: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year 439 $ 8.42 Granted — — Vested (305 ) 8.63 Forfeited (13 ) 8.77 Unvested at end of year 121 $ 7.68 As of March 31, 2019, there was a total of $0.8 million of unrecognized compensation expense related to unvested stock option awards under the 2013 Plan that will be recognized as an expense as the awards vest over the remaining weighted average service period of 1.1 years. The aggregate intrinsic value for options outstanding and currently exercisable as of March 31, 2019 was $10.0 million and $9.8 million, respectively. The total fair value of options that vested during the fiscal years ended March 31, 2019, 2018, and 2017 were $2.6 million, $4.7 million, and $3.4 million, respectively. The total intrinsic value of options exercised during the fiscal year ended March 31, 2019 was $4.4 million. 2008 Restricted Stock Plan On September 16, 2008, the Board of Directors adopted the restricted stock plan, which provided for the issuance of restricted stock awards to certain key employees. The restricted stock generally vest ratably over a five-year period from the original restricted stock grant date, contingent on the employee’s continuous employment by ADS. Under the restricted stock plan, vested shares are considered issued and outstanding. Employees with restricted stock have the right to dividends on the shares awarded (vested and unvested) in addition to voting rights on non-forfeited shares. The fair value of restricted stock is based on the fair value of the Company’s common stock. Compensation expense is recognized on a straight-line basis over the employee’s requisite service period, which is generally the vesting period of the grant. The Company had no shares available for grant under this plan as of March 31, 2019. The information about the unvested restricted stock grants as of March 31, 2019 is as follows: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year 101 $ 22.95 Granted — — Vested (55 ) 21.88 Forfeited (2 ) 24.20 Unvested at end of year 44 $ 24.17 The Company expects all restricted stock grants to vest. At March 31, 2019, there was approximately $0.9 million of unrecognized compensation expense related to the restricted stock that will be recognized over the weighted average remaining service period of 1.1 years. During the fiscal year ended March 31, 2018 and 2017, the weighted average grant date fair value of restricted stock granted was $22.15 and $24.20, respectively. 2017 Omnibus Plan On May 24, 2017, the Board of Directors approved the 2017 Omnibus Incentive Plan (the “2017 Incentive Plan”) which was approved by the Company’s stockholders on July 17, 2017. The 2017 Incentive Plan provides for the issuance of a maximum of 3.5 million shares of the Company’s common stock for awards made thereunder, which awards may consist of stock options, restricted stock, restricted stock units, stock appreciation rights, phantom stock, cash-based awards, performance awards (which may take the form of performance cash, performance units or performance shares) or other stock-based awards. The Company had approximately 2.7 million shares available for awards as of March 31, 2019. The 2017 Incentive Plan replaces the 2000 Incentive Stock Option Plan, 2008 Restricted Stock Plan, 2013 Stock Option Plan, and 2014 Non-Employee Director Compensation Plan (the “Prior Plans”) and no further grants will be made under the prior plans. The stock option activity for the fiscal year ended March 31, 2019 is summarized as follows: (Share amounts in thousands) Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Outstanding at beginning of year 198 $ 19.75 9.4 Granted 259 25.82 — Exercised — — — Forfeited — — — Outstanding at end of year 457 23.19 8.9 Vested at end of year 69 20.03 8.5 Unvested at end of year 388 23.75 8.9 Fair value of options granted during the year 7.84 The following table summarizes information about the unvested stock option grants as of the fiscal year ended March 31, 2019: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year 198 $ 5.94 Granted 259 7.84 Vested (69 ) 6.03 Forfeited — — Unvested at end of year 388 $ 7.19 The aggregate intrinsic value for options outstanding and exercisable as of March 31, 2019 was $1.2 million and $0.4 million, respectively. There were no options that were exercised during the fiscal year ended March 31, 2019. The information about the unvested restricted stock grants as of March 31, 2019 is as follows: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year 108 $ 19.91 Granted 134 26.59 Vested (69 ) 20.08 Forfeited (1 ) 25.75 Unvested at end of year 172 $ 25.02 At March 31, 2019, there was approximately $2.6 million of unrecognized compensation expense related to the restricted stock that will be recognized over the weighted average remaining service period of 1.8 years. During the fiscal year ended March 31, 2019, the total fair value of restricted stock that vested was $2.0 million. During the fiscal years ended March 31, 2018 and 2017, no restricted stock vested. The information about the performance units granted under the 2017 Omnibus Plan is as follows: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year — — Granted 117 $ 25.84 Vested (2 ) 25.75 Forfeited — — Unvested at end of year 115 $ 25.85 At March 31, 2019, there was approximately $2.2 million of unrecognized compensation expense related to the performance units that will be recognized over the weighted average remaining service period of 2.0 years. For the performance units, 50% of the award is based upon the achievement of certain levels of Return on Invested Capital for the performance period and 50% is based upon the achievement of certain levels of Free Cash Flow for the performance period. The performance units have a 3-year performance period from April 1, 2018 through March 31, 2021. The performance units, and any accrued dividend equivalents, will be settled in shares of the Company’s common stock, if the applicable performance and service conditions are satisfied. During the fiscal year ended March 31, 2019, the weighted average grant date fair value of performance units granted was $25.84. During the fiscal year ended March 31, 2019, the total fair value of performance units that vested was $0.1 million. During the fiscal years ended March 31, 2018 and 2017, no performance units vested |
Income Taxes
Income Taxes | 12 Months Ended |
Mar. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 18. INCOME TAXES The components of Income before income taxes for the fiscal years ended March 31 are as follows: (Amounts in thousands) 2019 2018 2017 United States $ 103,559 $ 72,109 $ 59,543 Foreign 8,051 4,833 5,288 Total $ 111,610 $ 76,942 $ 64,831 The components of Income tax expense for the fiscal years ended March 31 consisted of the following: (Amounts in thousands) 2019 2018 2017 Current: Federal $ 11,575 $ 17,107 $ 24,318 State and local 3,998 3,541 4,652 Foreign 2,050 2,242 3,040 Total current tax expense 17,623 22,890 32,010 Deferred: Federal 11,745 (11,236 ) (5,887 ) State and local 1,795 (55 ) (1,297 ) Foreign (1,114 ) (188 ) (211 ) Total deferred tax expense (benefit) 12,426 (11,479 ) (7,395 ) Total Income tax expense $ 30,049 $ 11,411 $ 24,615 For the fiscal years ended March 31, the effective tax rate varied from the statutory Federal income tax rate as a result of the following factors: 2019 2018 2017 Federal statutory rate 21.0 % 31.5 % 35.0 % ESOP stock appreciation 3.2 5.4 4.1 Effect of tax rate of foreign subsidiaries (0.3 ) 0.7 1.3 State and local taxes—net of federal income tax benefit 4.6 3.6 4.1 Uncertain tax position change (1.3 ) 0.3 (1.1 ) Impact of tax reform — (19.4 ) — Return to provision - federal and state (0.2 ) (5.0 ) 1.1 Qualified production activity deduction — (2.5 ) (3.3 ) Closure of Puerto Rico — — (4.2 ) Executive compensation 1.1 0.1 — Credits and incentives (1.0 ) (0.5 ) — Other (0.2 ) 0.6 1.0 Effective rate 26.9 % 14.8 % 38.0 % The Tax Cuts and Jobs Act (the “Tax Act”) was enacted on December 22, 2017. The Tax Act significantly revises the future ongoing U.S. corporate income tax by, among other things, lowering the U.S. corporate income tax rate from 35% to 21%, full expensing on qualified property, eliminates the domestic manufacturing deduction and implements a territorial tax system. The 21% U.S. corporate income tax rate was effective January 1, 2018. Based on the Company’s fiscal year end of March 31, the U.S. statutory federal rate is 31.5% for the fiscal year ended March 31, 2018. The Company previously recognized the provisional tax impacts related to revaluation of deferred tax assets and liabilities and deemed repatriated earnings and included these amounts in its financial statements for the year ended March 31, 2018. During the year ended March 31, 2019, the Company finalized the accounting for the Tax Act. During the year ended March 31, 2019, the Company did not make any material adjustments to its provisional amounts included in its consolidated financial statements for the year ended March 31, 2018. The Company recognized a provisional amount for revaluing its deferred tax attributes resulting in a $16.0 million tax benefit that was recorded for the fiscal year ended March 31, 2018. On the basis of revised computations in filing the U.S. federal tax return during the third quarter, the Company recognized an additional measurement-period adjustment of $0.4 million to deferred tax expense for the year ended March 31, 2019. A total deferred tax benefit of $15.6 million was recorded. The Company’s accounting for its deferred tax attributes is now complete. The Company had $26.5 million of undistributed earnings on its foreign subsidiaries subject to the deemed mandatory repatriation. The Company recognized a provisional amount of $5.2 million of income tax expense that was recorded for the fiscal year ended March 31, 2018. After the utilization of existing foreign tax credits, the Company expected to pay additional U.S. federal taxes of approximately $1.0 million as of the fiscal year ended March 31, 2018. On the basis of revised computations in filing the U.S. federal tax return during the third quarter, the Company recognized an additional measurement-period adjustment of $0.6 million to income tax benefit for the year ended March 31, 2019. A total transition tax expense of $4.6 million was recorded. After the utilization of existing foreign tax credits, the Company paid an additional U.S. federal taxes of $0.7 million. The Company’s accounting for the deemed mandatory repatriation tax is now complete. These undistributed earnings are intended to be reinvested indefinitely with the exception of cash dividends paid by our ADS Mexicana joint venture. It is not practicable to estimate the amount of U.S. tax, which would primarily relate to withholding tax, that might be payable on the eventual remittance of such earnings. The tax effect of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at March 31 were comprised of: (Amounts in thousands) 2019 2018 Deferred tax assets: State income taxes $ 1,457 $ 1,126 ESOP loan repayment 917 891 Receivable and other allowances 1,597 1,696 Inventory 2,404 3,558 Non-qualified stock options 3,324 3,596 Executive termination payments (Note 16) 674 1,299 Worker’s compensation 2,153 732 Other 2,570 2,886 Total deferred tax assets 15,096 15,784 Less: valuation allowance (281 ) (26 ) Total net deferred tax assets 14,815 15,758 Deferred tax liabilities: Intangible assets 1,647 4,254 Property, plant and equipment 53,676 38,181 Goodwill 4,255 3,698 Other 862 1,814 Total deferred tax liabilities 60,440 47,947 Net deferred tax liability $ 45,625 $ 32,189 Net deferred tax assets and liabilities are included in Other assets and Deferred tax liabilities, respectively, on the Consolidated Balance Sheets. The related balances at March 31 were as follows: (Amounts in thousands) 2019 2018 Net non-current deferred tax assets $ 338 $ 115 Net non-current deferred tax liabilities 45,963 32,304 Accounting for Uncertain Tax Positions As of March 31, 2019, The Company had unrecognized tax benefit of $5.7 million, which if resolved favorably, would reduce income tax expense by $5.7 million. A reconciliation of the beginning and ending amounts of unrecognized tax benefits for the years ended March 31, 2019, 2018, and 2017 is as follows: (Amounts in thousands) 2019 2018 2017 Balance at beginning of year $ 7,593 $ 6,196 $ 7,998 Tax positions taken in current year 164 81 — Decreases in tax positions for prior years (198 ) — (1,786 ) Increases in tax positions for prior years 136 5,108 80 Settlements (200 ) — — Lapse of statute of limitations (1,595 ) (3,940 ) (96 ) Foreign translation adjustment (219 ) 148 — Balance at end of year $ 5,681 $ 7,593 $ 6,196 The short-term portion of the unrecognized tax benefit of $2.6 million at March 31, 2019 is recorded in Other Accrued liabilities on the Company’s Consolidated Balance Sheet. The long-term portion of unrecognized tax benefits are recorded in Other liabilities in the Company’s Consolidated Balance Sheets. These amounts include potential accrued interest and penalties of $1.5 million and $2.1 million at March 31, 2019 and 2018, respectively. The Company believes that over the next twelve months, it is reasonably possible that up to $2.6 million of unrecognized tax benefits could be resolved as the result of settlements of audits and the expiration of statutes of limitation. Final settlement of these issues may result in payments that are more or less than this amount, but the Company does not anticipate that the resolution of these matters will result in a material change to its consolidated financial position or results of operations. The Company is currently open to audit under the statute of limitations by the IRS for the fiscal years ended March 31, 2016 through March 31, 2019. The majority of the Company’s state income tax returns are open to audit under the statute of limitations for the years ended March 31, 2015 through March 31, 2019. The foreign income tax returns are open to audit under the statute of limitations for the years ended March 31, 2015 through March 31, 2019. |
Net Income Per Share and Stockh
Net Income Per Share and Stockholders' Equity | 12 Months Ended |
Mar. 31, 2019 | |
Net Income Per Share And Stockholders Equity [Abstract] | |
Net Income Per Share and Stockholders' Equity | 1 9 . NET INCOME PER SHARE AND STOCKHOLDERS’ EQUITY Basic net income per share is calculated by dividing the Net income available to common stockholders by the weighted-average number of common shares outstanding during the period, without consideration for common stock equivalents. Diluted net income per share is computed by dividing the Net income available to common stockholders by the weighted-average number of common stock equivalents outstanding for the period. Holders of certain unvested restricted stock have non-forfeitable rights to dividends when declared on common stock, and holders of redeemable convertible preferred stock participate in dividends on an as-converted basis when declared on common stock. As a result, unvested restricted stock and redeemable convertible preferred stock meet the definition of participating securities, which requires us to apply the two-class method to compute both basic and diluted net income per share. The two-class method is an earnings allocation formula that treats participating securities as having rights to earnings that would otherwise have been available to common stockholders. The dilutive effect of stock options and unvested restricted stock is based on the more dilutive of the treasury stock method or the diluted two-class method. In computing diluted net income per share, income available to common stockholders used in the basic net income per share calculation (numerator) is adjusted, subject to sequencing rules, for certain adjustments that would result from the assumed issuance of potential common shares. After the effective date of the IPO, management’s intent is to share settle; therefore, these shares are included in the calculation from July 26, 2014 through March 31, 2019, if dilutive. For purposes of the calculation of diluted net income per share, stock options and unvested restricted stock are considered to be potential common stock and are only included in the calculations when their effect is dilutive. The Company’s redeemable common stock is included in the weighted-average number of common shares outstanding for calculating basic and diluted net income per share. The following table presents information necessary to calculate net income per share for the fiscal years ended March 31, 2019, 2018, and 2017, as well as potentially dilutive securities excluded from the weighted average number of diluted common shares outstanding because their inclusion would have been anti-dilutive: (Amounts in thousands, except per share data) 2019 2018 2017 NET INCOME PER SHARE — BASIC: Net income attributable to ADS $ 77,772 $ 62,007 32,950 Adjustment for: Accretion of redeemable noncontrolling interest in subsidiaries — — (1,560 ) Dividends paid to redeemable convertible preferred stockholders (2,047 ) (1,858 ) (1,646 ) Dividends paid to unvested restricted stockholders (69 ) (49 ) (73 ) Net income available to common stockholders and participating securities 75,656 60,100 29,671 Undistributed income allocated to participating securities (5,474 ) (4,514 ) (1,700 ) Net income available to common stockholders — Basic 70,182 55,586 27,971 Weighted average number of common shares outstanding — Basic 57,025 55,696 54,919 Net income per common share — Basic $ 1.23 $ 1.00 0.51 NET INCOME PER SHARE — DILUTED: Net income available to common stockholders — Diluted 70,182 55,586 27,971 Weighted average number of common shares outstanding — Basic 57,025 55,696 54,919 Assumed restricted stock - nonparticipating 39 — — Assumed exercise of stock options 547 638 705 Weighted average number of common shares outstanding — Diluted 57,611 56,334 55,624 Net income per common share — Diluted $ 1.22 $ 0.99 0.50 Potentially dilutive securities excluded as anti- dilutive 5,966 6,167 6,228 Stockholders’ Equity – During the fiscal year ended March 31, 2018, the Company repurchased 0.4 million shares of common stock at a cost of $7.9 million. The repurchases were made under the Board of Directors’ authorization in February 2017 to repurchase up to $50 million of ADS common stock in accordance with applicable securities laws. As of March 31, 2019, approximately $42.1 million of common stock may be repurchased under the authorization. The repurchase program does not obligate the Company to acquire any particular amount of common stock, and may be suspended or terminated at any time at the Company’s discretion. Treasury Stock Retirement – On November 1, 2017, the Board of Directors resolved to retire 97.7 million shares of Treasury Stock. The retirement of the Treasury Stock resulted in a reclassification of Treasury stock to Paid-In-Capital and did not have an impact on Total Stockholders’ Equity. |
Other Accrued Liabilities
Other Accrued Liabilities | 12 Months Ended |
Mar. 31, 2019 | |
Payables And Accruals [Abstract] | |
Other Accrued Liabilities | 20 . OTHER ACCRUED LIABILITIES Other accrued liabilities as of fiscal years ended March 31 consisted of the following: (Amounts in thousands) 2019 2018 Accrued compensation and benefits (1) $ 18,108 $ 17,980 Accrued rebate liability (2) 12,313 12,938 Self-insurance accruals 11,697 12,439 Other 19,783 17,203 Total accrued liabilities $ 61,901 $ 60,560 (1) Accrued compensation and benefits is primarily comprised of accrued payroll, bonuses and commissions. (2) Accrued rebate liability represents the Company’s estimated rebates to be paid to customers. |
Business Segment Information
Business Segment Information | 12 Months Ended |
Mar. 31, 2019 | |
Segment Reporting [Abstract] | |
Business Segment Information | 2 1 . BUSINESS SEGMENT INFORMATION ADS operates its business in two distinct operating and reportable segments based on the markets it serves: “Domestic” and “International.” The Chief Operating Decision Maker (“CODM”) evaluates segment reporting based on Net sales and Segment Adjusted EBITDA. The Company calculates Segment Adjusted EBITDA as net income or loss before interest, income taxes, depreciation and amortization, stock-based compensation expense, non-cash charges and certain other expenses. Beginning April 1, 2018, the Company revised its allocation of allowances for returns, rebates, and discounts between Pipe and Allied Products for segment reporting purposes. Prior to April 1, 2018, the Company allocated substantially all returns, rebates, and discounts to Pipe net sales. These changes did not impact the Company’s previously reported consolidated financial results. The prior period segment results and related disclosures have been recast to conform to the current year presentation under the new allocation methodology. Domestic The Company’s Domestic segment manufactures and markets products throughout the United States. The Company maintains and serves these markets through product distribution relationships with many of the largest national and independent waterworks distributors, major national retailers as well as an extensive network of hundreds of small to medium-sized distributors across the U.S. The Company also sells through a broad variety of buying groups and co-ops in the United States. Products include single wall pipe, N-12 HDPE pipe sold into the Storm sewer and Infrastructure markets, High Performance PP pipe sold into the Storm sewer and sanitary sewer markets, and our broad line of Allied Products including StormTech, Nyloplast, ARC Septic Chambers, Inserta Tee, BaySaver filters and water quality structures, Fittings, and FleXstorm. The Company’s Domestic segment sales are diversified across all regions of the country. International The Company’s International segment manufactures and markets products in certain regions outside of the United States, with a growth strategy focused on Company owned facilities in Canada, subsidiaries that distribute to Europe and the Middle East, exports and through the Company’s joint-ventures with local partners in Mexico and South America. The Company’s joint venture strategy provides it with local and regional access to new markets such as Brazil, Chile, Argentina, Peru and Colombia. The Company’s Mexican joint venture, ADS Mexicana, primarily serves the Mexican and Central American markets, while its South American Joint Venture, Tigre-ADS, is the primary channel to serve the South American markets. The Company’s International product line includes single wall pipe, N-12 HDPE pipe, and High Performance PP pipe. The Canadian market also sells our broad line of Allied Products, while sales in Latin America are currently concentrated in fittings and Nyloplast. The following table sets forth reportable segment information with respect to the amount of Net sales contributed by each class of similar products in each of the fiscal years ended March 31: (Amounts in thousands) 2019 2018 2017 Domestic Pipe $ 868,805 $ 844,875 $ 794,807 Allied Products 355,326 329,557 307,429 Total domestic 1,224,131 1,174,432 1,102,236 International Pipe 122,836 119,207 122,724 Allied Products 37,766 36,715 32,301 Total international 160,602 155,922 155,025 Total net sales $ 1,384,733 $ 1,330,354 $ 1,257,261 The following sets forth certain additional financial information attributable to the reportable segments for the fiscal years ended March 31 . (Amounts in thousands) 2019 2018 2017 Segment Adjusted EBITDA Domestic $ 209,234 $ 191,629 $ 175,676 International 22,726 18,601 17,695 Total $ 231,960 $ 210,230 $ 193,371 Interest expense Domestic $ 18,352 $ 14,929 $ 17,049 International 266 333 418 Total $ 18,618 $ 15,262 $ 17,467 Income tax expense Domestic $ 28,816 $ 9,199 $ 21,786 International 1,233 2,212 2,829 Total $ 30,049 $ 11,411 $ 24,615 Depreciation and amortization Domestic $ 64,450 $ 66,978 $ 63,747 International 7,450 8,025 8,608 Total $ 71,900 $ 75,003 $ 72,355 Equity in net (loss) income of unconsolidated affiliates Domestic $ — $ (2,427 ) $ (505 ) International (95 ) 1,688 (3,803 ) Total $ (95 ) $ (739 ) $ (4,308 ) Capital expenditures Domestic $ 39,647 $ 39,562 $ 39,642 International 3,765 2,147 7,034 Total $ 43,412 $ 41,709 $ 46,676 The following sets forth certain additional financial information attributable to the reportable segments as of March 31: (Amounts in thousands) 2019 2018 Investments in unconsolidated affiliates International $ 10,467 $ 12,343 Total $ 10,467 $ 12,343 Total identifiable assets Domestic $ 918,806 $ 904,718 International 128,085 142,822 Eliminations (4,732 ) (4,298 ) Total $ 1,042,159 $ 1,043,242 Reconciliation of Segment Adjusted EBITDA to Net income 2019 2018 2017 (Amounts in thousands) Domestic International Domestic International Domestic International Net income (loss) $ 70,296 $ 11,170 $ 57,279 $ 7,513 $ 35,118 $ 790 Depreciation and amortization 64,450 7,450 66,978 8,025 63,747 8,608 Interest expense 18,352 266 14,929 333 17,049 418 Income tax expense 28,816 1,233 9,199 2,212 21,786 2,829 Derivative fair value adjustments 634 — (443 ) — (10,921 ) — Foreign currency transaction (gains) losses — 314 — (1,748 ) — (1,629 ) Loss (gain) on disposal of assets and costs from exit and disposal activities 2,823 824 14,248 755 4,793 3,716 Unconsolidated affiliates interest, taxes, depreciation and amortization (a) — 1,463 1,181 1,511 1,088 1,663 Contingent consideration remeasurement (6 ) — 39 — (265 ) — Stock-based compensation expense 6,532 — 7,121 — 8,307 — ESOP deferred stock-based compensation 15,296 — 11,724 — 9,568 — Executive retirement expense (benefit) (178 ) — 1,473 — 1,092 — Inventory step up related to PTI acquisition — — — — 525 — Bargain purchase gain on PTI acquisition — — — — (609 ) — Restatement-related costs (b) (1,924 ) — 4,227 — 24,026 — Legal settlement — — 2,000 — — — Impairment on investment in unconsolidated affiliate (c) — — 312 — — 1,300 Strategic growth and operational improvement initiatives (d) 3,450 — — — — — Transaction costs (e) 693 6 1,362 — 372 — Segment Adjusted EBITDA $ 209,234 $ 22,726 $ 191,629 $ 18,601 $ 175,676 $ 17,695 (a) Includes the Company’s proportional share of interest, income taxes, depreciation and amortization related to its South American Joint Venture and its former Tigre-ADS USA Joint Venture, which are accounted for under the equity method of accounting. (b) Represents expenses recorded related to legal, accounting and other professional fees incurred in connection with the restatement of the prior period financial statements as reflected in the fiscal 2015 Form 10-K and fiscal 2016 Form 10-K/A. The benefit recognized in fiscal 2019 is the result of insurance proceeds received in fiscal 2019. ( c ) Represents an other-than-temporary impairment of our investments in the former Tigre-ADS USA joint venture and the South American Joint Venture. (d) Represents professional fees incurred in connection with our strategic growth and operational improvement initiatives, which include various market feasibility assessments and acquisition strategies, along with our operational improvement initiatives, which include evaluation of our manufacturing network and improvement initiatives. ( e ) Represents expenses recorded related to legal, accounting and other professional fees incurred in connection with the debt refinancing and acquisitions and dispositions. Geographic Sales and Assets Information Net sales are attributed to the geographic location based on the location of the customer. The table below represents the Net sales and long-lived asset information by geographic location for each of the fiscal years ended March 31: (Amounts in thousands) 2019 2018 2017 Net Sales North America $ 1,366,470 $ 1,313,917 $ 1,243,074 Other 18,263 16,437 14,187 Total $ 1,384,733 $ 1,330,354 $ 1,257,261 (Amounts in thousands) 2019 2018 Long-Lived Assets (a) North America $ 401,276 $ 401,470 Other 10,467 12,343 Total $ 411,743 $ 413,813 (a) For segment reporting purposes, long-lived assets include Investments in unconsolidated affiliates, Central parts and Property, plant and equipment. |
Supplemental Disclosures of Cas
Supplemental Disclosures of Cash Flow Information | 12 Months Ended |
Mar. 31, 2019 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Disclosures of Cash Flow Information | 2 2 . SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION Supplemental disclosures of cash flow information for the fiscal years ended March 31 were as follows: (Amounts in thousands) 2019 2018 2017 Supplemental disclosures of cash flow information — cash paid during years: Interest $ 15,679 $ 17,890 $ 17,273 Income taxes 29,841 24,510 13,525 (Amounts in thousands) 2019 2018 2017 Supplemental disclosures of noncash investing and financing activities: Redeemable convertible preferred stock dividend $ 134 $ 134 $ 134 Purchases of plant, property, and equipment included in accounts payable 1,255 1,258 2,549 ESOP distributions in common stock 8,609 11,566 7,425 Assets acquired and obligation incurred under capital lease 27,602 26,571 26,276 Lease obligation retired upon disposition of leased assets 578 636 390 Reclassification of liability-classified stock options and restricted stock to equity — — 4,147 Contribution of net accounts receivable to the South American Joint Venture — 2,785 — Payable recorded for business acquisition — 300 950 |
Quarterly Financial Information
Quarterly Financial Information (Unaudited) | 12 Months Ended |
Mar. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information (Unaudited) | 2 3 . QUARTERLY FINANCIAL INFORMATION (UNAUDITED) The following tables set forth certain historical unaudited consolidated condensed quarterly financial information for each of the quarters during the years ended March 31, 2019 and 2018. In the Company’s opinion, the unaudited quarterly financial information reflects all normal and recurring accruals and adjustments necessary for a fair presentation of net income for interim periods. Fiscal 2019 For the Three Months Ended (in thousands, except per share amounts) March 31, 2019 December 31, 2018 September 30, 2018 June 30, 2018 Net sales $ 272,218 $ 318,113 $ 406,555 $ 387,847 Gross profit 59,504 72,399 95,373 99,691 Net income 1,893 16,550 29,372 33,651 Net income attributable to ADS 1,010 15,812 28,670 32,280 Net (loss) income per share Basic (1) $ 0.01 $ 0.25 $ 0.45 $ 0.51 Diluted (1) $ 0.01 $ 0.25 $ 0.45 $ 0.51 Fiscal 2018 For the Three Months Ended (in thousands, except per share amounts) March 31, 2018 December 31, 2017 September 30, 2017 June 30, 2017 Net sales $ 250,114 $ 320,832 $ 401,049 $ 358,359 Gross profit 48,115 77,826 89,801 86,739 Net (loss) income (4,856 ) 33,215 17,959 18,474 Net (loss) income attributable to ADS (5,703 ) 32,105 17,863 17,742 Net (loss) income per share Basic (1) $ (0.11 ) $ 0.52 $ 0.29 $ 0.29 Diluted (1) $ (0.11 ) $ 0.51 $ 0.29 $ 0.28 (1) The earnings per share calculations for each quarter are based upon the applicable weighted average shares outstanding for each period and may not necessarily be equal to the full year share amount. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Mar. 31, 2019 | |
Subsequent Events [Abstract] | |
Subsequent Events | 2 4 . SUBSEQUENT EVENTS Dividends on Common Stock - During the first quarter of fiscal 2020, the Company declared a quarterly cash dividend of $0.09 per share of common stock. The dividend is payable on June 14, 2019 to stockholders of record at the close of business on June 3, 2019. Special Dividend – During the first quarter of fiscal 2020, the Board of Directors approved a special dividend of $1.00 per share payable on June 14, 2019 to stockholder of record at the close of business on June 3, 2019. The dividend will be used to pay back a portion of the ESOP loan resulting in approximately 12 million shares of redeemable convertible preferred stock being allocated to ESOP participants. Assuming a preferred share fair value of $21.20, the Company will recognize approximately $245 million in additional stock-based compensation expense. The stock-based compensation expense recognized will vary due to fluctuations in the Company’s stock price through June 30, 2019. This additional expense will be recognized in Cost of goods sold, Selling expenses and General and administrative expenses on the Company’s Consolidated Statement of Operations in the first quarter of fiscal 2020. Directors Not Standing for Re-Election - On May 22, 2019, Richard A. Rosenthal and Abigail S. Wexner notified the Board of Directors of the Company of their respective decisions not to stand for re-election as directors of the Company at the Company’s 2019 Annual Meeting of Stockholders. The decision by each of Mr. Rosenthal and Ms. Wexner not to stand for re-election was not a result of any disagreement with the Company or the Board of Directors. * * * * * * |
Schedule II - Consolidated Valu
Schedule II - Consolidated Valuation and Qualifying Accounts | 12 Months Ended |
Mar. 31, 2019 | |
Valuation And Qualifying Accounts [Abstract] | |
Schedule II - Consolidated Valuation and Qualifying Accounts | ADVANCED DRAINAGE SYSTEMS, INC. AND SUBSIDIARIES Consolidated Valuation and Qualifying Accounts for the Fiscal Years Ended March 31, 2019, 2018 and 2017 (in thousands): Allowance for Doubtful Accounts: Year ended March 31, Balance at beginning of period Charged to costs and expenses Charged to other accounts (1) Deductions (2) Balance at end of period 2019 $ 6,826 $ 1,154 $ (65 ) $ (262 ) $ 7,653 2018 10,431 503 (391 ) (3,717 ) 6,826 2017 7,956 2,940 (13 ) (452 ) 10,431 (1) Amounts represent the impact of foreign currency translation. (2) Amounts includes the release of a $3.0 million allowance related to the South American Joint Venture capital contribution. See “Note 11. Investment in Unconsolidated Affiliates” for additional information. |
Background and Summary of Sig_2
Background and Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation - The consolidated financial statements include the Company, its wholly-owned subsidiaries, its majority owned subsidiaries, and variable interest entities (“VIEs”) of which the Company is the primary beneficiary. The Company uses the equity method of accounting for equity investments where it exercises significant influence but does not hold a controlling financial interest. Such investments are recorded in Other assets in the Consolidated Balance Sheets and the related equity in earnings from these investments are included in Equity in net loss of unconsolidated affiliates in the Consolidated Statements of Operations. All intercompany balances and transactions have been eliminated in consolidation. |
Estimates | Estimates - The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (“GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingencies and liabilities at the balance sheet date and the reported amounts of revenues and expenses during the reporting period. Significant estimates include, but are not limited to, the allowance for doubtful accounts, valuation of inventory, useful lives of property, plant and equipment and amortizing intangible assets, determination of the proper accounting for leases, valuation of equity method investments, goodwill, intangible assets and other long-lived assets for impairment, accounting for stock-based compensation and the ESOP, valuation of the redeemable convertible preferred stock, determination of allowances for sales returns, rebates and discounts, determination of the valuation allowance, if any, on deferred tax assets, and reserves for uncertain tax positions. Management’s estimates and assumptions are evaluated on an ongoing basis and are based on historical experience, current conditions and available information. Management believes the accounting estimates are appropriate and reasonably determined; however, due to the inherent uncertainties in making these estimates, actual results could differ from those estimates. |
Receivables and Allowance for Doubtful Accounts | Receivables and Allowance for Doubtful Accounts - Receivables include trade receivables, net of an allowance for doubtful accounts, and other miscellaneous receivables. Receivables at March 31, 2019 and 2018 are as follows: (Amounts in thousands) 2019 2018 Trade receivables $ 170,887 $ 159,291 Other miscellaneous receivables 16,104 12,670 Receivables, net $ 186,991 $ 171,961 As of March 31, 2019 and 2018, Other miscellaneous receivables includes insurance recoverables of approximately $3.9 million and $3.4 million, respectively, which has a corresponding liability recorded in Other accrued liabilities. Credit is extended to customers based on an evaluation of their financial condition and collateral is generally not required. The evaluation of the customer’s financial condition is performed to reduce the risk of loss. Accounts receivable are evaluated for collectability based on numerous factors, including the length of time individual receivables are past due, past transaction history with customers, their credit worthiness and the economic environment. This estimate is periodically adjusted when management becomes aware of a situation in which doubt the customer does not have the ability or intention to pay its financial obligations (e.g. bankruptcy filing). |
Inventories | Inventories - Inventories are stated at the lower of cost or net realizable value. The Company’s inventories are maintained on the first-in, first-out (“FIFO”) method. Costs include the cost of acquiring materials, including in-bound freight from vendors and freight incurred for the transportation of raw materials, tooling or finished goods between the Company’s manufacturing plants and its distribution centers, direct and indirect labor, factory overhead and certain corporate overhead costs related to the production of inventory. The portion of fixed manufacturing overhead that relates to capacity in excess of our normal capacity is expensed in the period in which it is incurred and is not included in inventory. Net realizable value of inventory is established with consideration given to deterioration, obsolescence, and other factors. The Company periodically evaluates the carrying value of inventories and adjustments are made whenever necessary to reduce the carrying value to net realizable value. |
Property, Plant and Equipment and Depreciation Method | Property, Plant and Equipment and Depreciation Method - Property, plant and equipment are recorded at cost less accumulated depreciation, with the exception of assets acquired through acquisitions, which are initially recorded at fair value. Equipment acquired under capital lease is recorded at the lower of fair market value or the present value of the future minimum lease payments. Depreciation is computed for financial reporting purposes using the straight-line method over the estimated useful lives of the related assets or the lease term, if shorter, as follows: Years Buildings and leasehold improvement 20 to 45 or the lease term if shorter Machinery and production equipment 3 to 18 Transportation equipment 3 to 12 Costs of additions and major improvements are capitalized, whereas maintenance and repairs that do not improve or extend the life of the asset are charged to expense as incurred. When assets are retired or disposed, the cost and related accumulated depreciation are removed from the asset accounts and any resulting gain or loss is reflected in Loss on disposal of assets and costs from exit and disposal activities in our Consolidated Statements of Operations. Construction in progress is also recorded at cost and includes capitalized interest, capitalized payroll costs and related costs such as taxes and other fringe benefits. There was no interest capitalized during the fiscal year ended March 31, 2019. Interest capitalized was $0.6 million, and $0.6 million during the fiscal years ended March 31, 2018 and 2017, respectively. |
Goodwill | Goodwill - The Company records acquisitions resulting in the consolidation of an enterprise using the acquisition method of accounting. Under this method, the Company records the assets acquired, including intangible assets that can be identified, and liabilities assumed based on their estimated fair values at the date of acquisition. The purchase price in excess of the fair value of the identifiable assets acquired and liabilities assumed is recorded as goodwill. Goodwill is reviewed annually for impairment as of March 31 or whenever events or changes in circumstances indicate the carrying value may be greater than fair value. If the fair value of the reporting unit exceeds the carrying value of the net assets assigned to that unit, goodwill is not considered impaired and the Company is not required to perform further testing. If the carrying value of a reporting unit’s goodwill exceeds its fair value, then the Company would record an impairment loss equal to the difference. With respect to this testing, a reporting unit is a component of the Company for which discrete financial information is available and regularly reviewed by management. The fair value of goodwill is determined by considering both the income and market approach. Determining the fair value of a reporting unit is judgmental in nature and involves the use of significant estimates and assumptions. These estimates and assumptions include revenue growth rates and operating margins used to calculate projected future cash flows, risk-adjusted discount rates, future economic and market conditions, and determination of appropriate market comparables. The fair value estimates are based on assumptions management believes to be reasonable but are inherently uncertain. For all fiscal years presented, ADS completed a quantitative fair value assessment of the International reporting unit and determined no impairment charge was required. GAAP allows entities testing goodwill for impairment the option of performing a qualitative assessment before calculating the fair value of a reporting unit for the goodwill impairment test. If the qualitative assessment is performed, an entity is no longer required to calculate the fair value of a reporting unit unless the entity determines that, based on that assessment, it is more likely than not that its fair value is less than its carrying amount. ADS completed a quantitative fair value measurement of the Domestic reporting unit in fiscal 2016. The test indicated that the fair value of the Domestic reporting unit exceeded the carrying value, indicating that no impairment existed. ADS applied the qualitative assessment to the Domestic reporting unit for the annual impairment tests performed as of March 31, 2019, 2018 and 2017. For the current year test, ADS assessed various assumptions, events and circumstances that would have affected the estimated fair value of the reporting unit as compared to its March 31, 2016 quantitative fair value measurement. The results of this assessment indicated that it is not more likely than not that the reporting unit fair value is less than the reporting unit carrying value. The Company did not incur any impairment charges for goodwill in the fiscal years ended March 31, 2019, 2018, and 2017. |
Intangible Assets - Definite-Lived | Intangible Assets — Definite-Lived - Definite-lived intangible assets are amortized using the straight-line method over their estimated useful lives and are tested for recoverability whenever events or changes in circumstances indicate that carrying amounts of the asset group may not be recoverable. Asset groups are established primarily by determining the lowest level of cash flows available. If the estimated undiscounted future cash flows are less than the carrying amounts of such assets, an impairment loss is recognized to the extent the fair value of the asset less any costs of disposition is less than the carrying amount of the asset. Determining the fair value of these assets is judgmental in nature and involves the use of significant estimates and assumptions. |
Intangible Assets - Indefinite-Lived | Intangible Assets — Indefinite-Lived - Indefinite-lived intangible assets are tested for impairment annually as of March 31 or whenever events or changes in circumstances indicate the carrying value may be greater than fair value. Determining the fair value of these assets is judgmental in nature and involves the use of significant estimates and assumptions. The Company bases its fair value estimates on assumptions it believes to be reasonable, but that are inherently uncertain. To estimate the fair value of these indefinite-lived intangible assets, the Company uses an income approach, which utilizes a market derived rate of return to discount anticipated performance. An impairment loss is recognized when the estimated fair value of the intangible asset is less than the carrying value. GAAP allows entities testing indefinite-lived intangible assets for impairment the option of performing a qualitative assessment before calculating the fair value of the indefinite-lived intangible assets for the impairment test. If the qualitative assessment is performed, an entity is no longer required to calculate the fair value of an indefinite-lived intangible assets unless the entity determines that, based on that assessment, it is more likely than not that its fair value is less than its carrying amount. ADS completed a quantitative fair value measurement of indefinite-lived trademarks in March 31, 2016. The test indicated that the fair value of the indefinite-lived trademarks substantially exceeded the carrying value, indicating that no impairment existed. ADS applied the qualitative assessment to specific trademarks for the annual impairment tests performed as of March 31, 2019 and 2018. For the current year test, ADS assessed various assumptions, events and circumstances that would have affected the estimated fair value of the reporting unit as compared to its March 31, 2016 quantitative fair value measurement. The results of this assessment indicated that it is not more likely than not that the trademarks fair value is less than the reporting unit carrying value. The Company did not incur any impairment charges for Intangible assets in the fiscal years ended March 31, 2019, 2018, and 2017. |
Other Assets | Other Assets - Other assets include investments in unconsolidated affiliates accounted for under the equity method, capitalized software development costs, including cloud computing costs, deposits, central parts, and other miscellaneous assets. In the fiscal year ended March 31, 2018, the Company discontinued offering the cash surrender value of officer life insurance and collected proceeds of $13.6 million from the sale of the officer life insurance. The Company capitalizes development costs for internal use software. Capitalization of software development costs begins in the application development stage and ends when the asset is placed into service. The Company amortizes such costs using the straight-line method over estimated useful lives of 2 to 10 years, which is included in General and administrative expense, Selling expense or Cost of goods sold within the Consolidated Statements of Operations depending on the nature of the asset and its intended use. Central parts represent spare production equipment items which are used to replace worn or broken production equipment parts and help reduce the risk of prolonged equipment outages. The cost of central parts is amortized on a straight-line basis over estimated useful lives of 5 to 10 years. The Company evaluates its investments in unconsolidated affiliates for impairment whenever events or changes in circumstances indicate that the carrying amount might not be recoverable and recognizes an impairment loss when a decline in value below carrying value is determined to be other-than-temporary. Under these circumstances, the Company would adjust the investment down to its estimated fair value, which then becomes its new carrying value. For the fiscal year ended March 31, 2017, the Company recorded an impairment charge of $1.3 million related to its investment in the South American Joint Venture. The impairment charge is included in Equity in net loss of unconsolidated affiliates in the Consolidated Statements of Operations. Other assets as of the fiscal years ended March 31 consisted of the following: (Amounts in thousands) 2019 2018 Investments in unconsolidated affiliates $ 10,467 $ 12,343 Capitalized software development costs, net 13,069 10,195 Deposits 2,985 2,776 Central parts 2,385 2,089 Other 8,034 10,551 Total other assets $ 36,940 $ 37,954 The following table sets forth amortization expense related to Other assets in each of the fiscal years ended March 31: (Amounts in thousands) 2019 2018 2017 Capitalized software development costs $ 2,659 $ 2,156 $ 3,372 Central parts 73 47 54 Other 1,419 1,688 1,689 |
Leases | Leases - Leases are reviewed for capital or operating classification at their inception. The Company uses the lower of the rate implicit in the lease or its incremental borrowing rate in the assessment of lease classification and assumes the initial lease term includes cancellable and renewal periods that are reasonably assured. For leases classified as capital leases at lease inception, the Company records a capital lease asset and lease financing obligation equal to the lesser of the present value of the minimum lease payments or the fair market value of the leased asset. The capital lease asset is recorded in Property, plant and equipment, net and amortized to its expected residual value at the end of the lease term using the straight-line method, and the lease financing obligation is amortized using the effective interest method over the lease term with the rental payments being allocated to principal and interest. For leases classified as operating leases, the Company records rent expense over the useful life using the straight-line method. |
Foreign Currency Translation | Foreign Currency Translation - Assets and liabilities of foreign subsidiaries with a functional currency other than the U.S. dollar are translated into U.S. dollars at the current rate of exchange on the last day of the reporting period. Revenues and expenses are translated at a monthly average exchange rate and equity transactions are translated using either the actual exchange rate on the day of the transaction or a monthly average historical exchange rate. The South American Joint Venture operates within Argentina, which on July 1, 2018, was identified for high inflationary accounting. The Company has determined the effect of a change in the exchange rate under high inflationary accounting is not expected to have a material effect on the Company’s results in any annual period. For the fiscal years ended March 31, 2019 and 2018, the Company’s Accumulated other comprehensive loss (“AOCL”) consisted of foreign currency translation gains and losses. |
Net Sales | Net Sales - The Company generates revenue by selling pipe and related water management products primarily to distributors, retailers, buying groups and co-operative buying groups. Products are shipped predominately by the Company’s internal fleet, and the Company does not provide any additional revenue generating services after product delivery. Payment terms and conditions vary by contract. Revenue is recognized at the point in-time obligations under the terms of a contract with a customer are satisfied, which generally occurs upon the transfer of control of the promised goods. In substantially all of the Company’s contracts with customers, control is transferred to the customer upon delivery. The Company recognizes revenue in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods or services. |
Shipping Costs | Shipping Costs - The Company incurs shipping costs to deliver products to customers using an in-house fleet or common carrier. Typically shipping costs are prepaid and included in the product price; however, in some instances, the Company bills shipping costs to customers. Shipping costs are also incurred to physically move raw materials, tooling and products between manufacturing and distribution facilities. Shipping costs to deliver products to customers for the fiscal years ended March 31, 2019, 2018, and 2017 were $131.3 million, $120.7 million, and $110.5 million, respectively, and are included in Cost of goods sold. Shipping costs billed to customers were $7.7 million, $6.3 million, and $5.5 million during 2019, 2018 and 2017, respectively, and are included in Net sales. |
Stock-Based Compensation | Stock-Based Compensation - See “Note 17. Stock-Based Compensation” for information about our stock-based compensation award programs and related accounting policies. The Company has several programs for stock-based payments to employees and directors, including stock options and restricted stock. Stock-based compensation expense is recorded in General and administrative expenses, Selling expenses and Cost of goods sold in the Consolidated Statements of Operations. The Company recognized stock-based compensation expense in the following line items on the Consolidated Statements of Operations for the fiscal years ended March 31, 2019, 2018, and 2017: (Amounts in thousands) 2019 2018 2017 Component of income before income taxes: Cost of goods sold $ 317 $ 179 $ 177 Selling expenses 180 105 177 General and administrative expenses 6,035 6,837 7,953 Total stock-based compensation expense $ 6,532 $ 7,121 $ 8,307 The following table summarizes stock-based compensation expense by award type for the fiscal years ended March 31, 2019, 2018, and 2017: (Amounts in thousands) 2019 2018 2017 Stock-based compensation expense: Liability-classified stock options $ — $ — $ 4,936 Equity-classified stock options 2,550 4,148 108 Restricted stock 2,064 1,741 1,945 Performance-based restricted stock units 869 — — Non-employee director 1,049 1,232 1,318 Total stock-based compensation expense $ 6,532 $ 7,121 $ 8,307 On April 1, 2017, the Company modified all outstanding awards to remove the provision that permitted employees to satisfy their personal tax liability with the net settlement of shares in excess of minimum tax withholding. Employees can now withhold shares with a fair value up to the maximum statutory rate. Accordingly, the Company modified the awards previously accounted for as liability-classified to equity-classified and reclassified the carrying amount of the awards of $13.7 million to Paid-in capital in the Consolidated Balance Sheet. All stock options have been accounted for as equity-classified awards for the periods subsequent to the modification. Prior to the modification, liability-classified awards were reclassified to additional paid in capital at fair value when stock options were exercised. The following table summarizes the assumptions used in estimating the fair value of stock options: 2019 2018 2017 Common stock price $25.75 - $27.99 $19.35 - $22.95 $18.70 - $28.17 Expected stock price volatility 30.3% - 31.1% 32.1% - 35.6% 29.6% - 33.0% Risk-free interest rate 2.9% - 3.1% 1.9% - 2.2% 0.9% - 1.9% Weighted-average expected option life (years) 6.0 5.6 - 6.0 0.5 - 5.1 Dividend yield 1.1% - 1.2% 1.1% - 1.5% 0.9% 2000 and 2013 Stock Options Plans Equity classified stock option awards are measured based on the grant date estimated fair value of each award. Compensation expense for stock options is recognized on a straight-line basis over the employee’s requisite service period, which is generally the vesting period of the grant. The Company estimates the fair value of stock options using a Black-Scholes option-pricing model. 2000 Plan - The Company’s 2000 stock option plan (“2000 Plan”) provided for the issuance of statutory and non-statutory stock options to management based upon the discretion of the Board of Directors. The plan generally provided for grants with the exercise price equal to fair value on the date of grant, which vest in three equal annual amounts beginning in year five and expire after approximately 10 years from issuance. The Company had no shares available for grant under the 2000 Plan as of March 31, 2019. The stock option activity for the fiscal year ended March 31, 2019 is summarized as follows: (Share amounts in thousands) Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Outstanding at beginning of year 135 $ 13.85 4.8 Granted — — — Exercised (53 ) 12.64 — Forfeited — — — Outstanding at end of year 82 14.64 4.3 Vested at end of year 28 12.56 3.1 Unvested at end of year 54 15.74 5.0 Fair value of options granted during the year $ — All outstanding options are expected to vest. The following table summarizes information about the unvested stock option grants as of the fiscal year ended March 31, 2019: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year 54 $ 6.76 Granted — — Vested — — Forfeitures — — Unvested at end of year 54 $ 6.76 As of March 31, 2019, there was a total of $0.2 million of unrecognized compensation expense related to unvested stock option awards under the 2000 plan that will be recognized as an expense as the awards vest over the remaining weighted average service period of 2.3 years. No options vested or were granted during the fiscal years ended March 31, 2019, 2018, and 2017. The aggregate intrinsic value for options outstanding and currently exercisable as of March 31, 2019 was $0.9 million and $0.4 million, respectively. The total intrinsic value of options exercised during the fiscal years ended March 31, 2019, 2018, and 2017 were $0.8 million, $0.5 million and $3.7 million, respectively. 2013 Plan - The Company’s 2013 stock option plan (“2013 Plan”) provided for the issuance of non-statutory common stock options to management subject to the Board’s discretion. The plan generally provided for grants with the exercise price equal to fair value on the date of grant. The grants generally vest in three to five equal annual amounts beginning in year one and expire after approximately 10 years from issuance. The stock option activity for the fiscal year ended March 31, 2019 is summarized as follows: (Share amounts in thousands) Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Outstanding at beginning of year 1,502 $ 16.27 5.9 Granted — — — Exercised (368 ) 14.57 — Forfeited (14 ) 17.31 — Outstanding at end of year 1,120 16.81 4.9 Vested at end of year 999 15.91 4.6 Unvested at end of year 121 24.17 7.0 Fair value of options granted during the year $ — All outstanding options are expected to vest. The following table summarizes information about the unvested stock option grants as of the fiscal year ended March 31, 2019: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year 439 $ 8.42 Granted — — Vested (305 ) 8.63 Forfeited (13 ) 8.77 Unvested at end of year 121 $ 7.68 As of March 31, 2019, there was a total of $0.8 million of unrecognized compensation expense related to unvested stock option awards under the 2013 Plan that will be recognized as an expense as the awards vest over the remaining weighted average service period of 1.1 years. The aggregate intrinsic value for options outstanding and currently exercisable as of March 31, 2019 was $10.0 million and $9.8 million, respectively. The total fair value of options that vested during the fiscal years ended March 31, 2019, 2018, and 2017 were $2.6 million, $4.7 million, and $3.4 million, respectively. The total intrinsic value of options exercised during the fiscal year ended March 31, 2019 was $4.4 million. 2008 Restricted Stock Plan On September 16, 2008, the Board of Directors adopted the restricted stock plan, which provided for the issuance of restricted stock awards to certain key employees. The restricted stock generally vest ratably over a five-year period from the original restricted stock grant date, contingent on the employee’s continuous employment by ADS. Under the restricted stock plan, vested shares are considered issued and outstanding. Employees with restricted stock have the right to dividends on the shares awarded (vested and unvested) in addition to voting rights on non-forfeited shares. The fair value of restricted stock is based on the fair value of the Company’s common stock. Compensation expense is recognized on a straight-line basis over the employee’s requisite service period, which is generally the vesting period of the grant. The Company had no shares available for grant under this plan as of March 31, 2019. The information about the unvested restricted stock grants as of March 31, 2019 is as follows: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year 101 $ 22.95 Granted — — Vested (55 ) 21.88 Forfeited (2 ) 24.20 Unvested at end of year 44 $ 24.17 The Company expects all restricted stock grants to vest. At March 31, 2019, there was approximately $0.9 million of unrecognized compensation expense related to the restricted stock that will be recognized over the weighted average remaining service period of 1.1 years. During the fiscal year ended March 31, 2018 and 2017, the weighted average grant date fair value of restricted stock granted was $22.15 and $24.20, respectively. 2017 Omnibus Plan On May 24, 2017, the Board of Directors approved the 2017 Omnibus Incentive Plan (the “2017 Incentive Plan”) which was approved by the Company’s stockholders on July 17, 2017. The 2017 Incentive Plan provides for the issuance of a maximum of 3.5 million shares of the Company’s common stock for awards made thereunder, which awards may consist of stock options, restricted stock, restricted stock units, stock appreciation rights, phantom stock, cash-based awards, performance awards (which may take the form of performance cash, performance units or performance shares) or other stock-based awards. The Company had approximately 2.7 million shares available for awards as of March 31, 2019. The 2017 Incentive Plan replaces the 2000 Incentive Stock Option Plan, 2008 Restricted Stock Plan, 2013 Stock Option Plan, and 2014 Non-Employee Director Compensation Plan (the “Prior Plans”) and no further grants will be made under the prior plans. The stock option activity for the fiscal year ended March 31, 2019 is summarized as follows: (Share amounts in thousands) Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Outstanding at beginning of year 198 $ 19.75 9.4 Granted 259 25.82 — Exercised — — — Forfeited — — — Outstanding at end of year 457 23.19 8.9 Vested at end of year 69 20.03 8.5 Unvested at end of year 388 23.75 8.9 Fair value of options granted during the year 7.84 The following table summarizes information about the unvested stock option grants as of the fiscal year ended March 31, 2019: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year 198 $ 5.94 Granted 259 7.84 Vested (69 ) 6.03 Forfeited — — Unvested at end of year 388 $ 7.19 The aggregate intrinsic value for options outstanding and exercisable as of March 31, 2019 was $1.2 million and $0.4 million, respectively. There were no options that were exercised during the fiscal year ended March 31, 2019. The information about the unvested restricted stock grants as of March 31, 2019 is as follows: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year 108 $ 19.91 Granted 134 26.59 Vested (69 ) 20.08 Forfeited (1 ) 25.75 Unvested at end of year 172 $ 25.02 At March 31, 2019, there was approximately $2.6 million of unrecognized compensation expense related to the restricted stock that will be recognized over the weighted average remaining service period of 1.8 years. During the fiscal year ended March 31, 2019, the total fair value of restricted stock that vested was $2.0 million. During the fiscal years ended March 31, 2018 and 2017, no restricted stock vested. The information about the performance units granted under the 2017 Omnibus Plan is as follows: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year — — Granted 117 $ 25.84 Vested (2 ) 25.75 Forfeited — — Unvested at end of year 115 $ 25.85 At March 31, 2019, there was approximately $2.2 million of unrecognized compensation expense related to the performance units that will be recognized over the weighted average remaining service period of 2.0 years. For the performance units, 50% of the award is based upon the achievement of certain levels of Return on Invested Capital for the performance period and 50% is based upon the achievement of certain levels of Free Cash Flow for the performance period. The performance units have a 3-year performance period from April 1, 2018 through March 31, 2021. The performance units, and any accrued dividend equivalents, will be settled in shares of the Company’s common stock, if the applicable performance and service conditions are satisfied. During the fiscal year ended March 31, 2019, the weighted average grant date fair value of performance units granted was $25.84. During the fiscal year ended March 31, 2019, the total fair value of performance units that vested was $0.1 million. During the fiscal years ended March 31, 2018 and 2017, no performance units vested |
Advertising | Advertising - The Company expenses advertising costs as incurred. Advertising costs are recorded in Selling expenses in the Consolidated Statements of Operations. The total advertising costs were $3.8 million, $4.1 million, and $3.1 million for the fiscal years ended March 31, 2019, 2018, and 2017, respectively |
Self-Insurance | Self-Insurance - The Company is self-insured for short term disability and medical coverage it provides for substantially all eligible employees. The Company is self-insured for medical claims up to the individual and aggregate stop-loss coverage limits. The Company accrues for claims incurred but not reported based on an estimate of future claims related to events that occurred prior to the fiscal year end if it has not met the aggregate stop-loss coverage limit. Amounts expensed totaled $42.4 million, $41.3 million, and $39.5 million for the fiscal years ended March 31, 2019, 2018, and 2017, respectively, of which employees contributed $6.7 million, $5.9 million, and $5.1 million, respectively ADS is also self-insured for various other general insurance programs to the extent of the applicable deductible limits on the Company’s insurance coverage. These programs include primarily automobile, general liability and employment practices coverage with a deductible of $0.5 million per occurrence or claim incurred. Amounts expensed during the period, including an estimate for claims incurred but not reported at year end, were $2.3 million, $2.2 million, and $1.8 million, for the years ended March 31, 2019, 2018, and 2017, respectively. ADS is also self-insured for workers’ compensation insurance with stop-loss coverage for claims that exceed $0.3 million per incident up to the respective state statutory limits. Amounts expensed, including an estimate for claims incurred but not reported, were $2.8 million, $1.3 million, and $2.1 million for the fiscal years ended March 31, 2019, 2018, and 2017, respectively. |
Income Taxes | Income Taxes - Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized and represent the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. They are measured using the enacted tax rates expected to apply to taxable income in the years in which the related temporary differences are expected to be recovered or settled. Valuation allowances are established against deferred tax assets when it is more likely than not that the realization of those deferred tax assets will not occur. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. The deferred income tax provision represents the change during the reporting period in the deferred tax assets and deferred tax liabilities. Penalties and interest recorded on income taxes payable are recorded as part of Income tax expense. The Company determines whether an uncertain tax position is more likely than not to be sustained upon examination, including resolution of any related appeals or litigation process, based upon the technical merits of the position. For tax positions meeting the more likely than not threshold, the tax amount recognized in the financial statements is the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon ultimate settlement with the relevant taxing authority. |
Fair Values | Fair Values - The fair value framework requires the categorization of assets and liabilities into three levels based upon assumptions (inputs) used to price the assets or liabilities. Level 1 provides the most reliable measure of fair value, whereas Level 3 generally requires significant management judgment. ADS’s policy for determining when transfers between levels have occurred is to use the actual date of the event or change in circumstances that caused the transfer. |
Concentrations of Risk | Concentrations of Risk - The Company has a large, active customer base of approximately twenty thousand customers with two customers, Ferguson Enterprises and Core and Main, each representing more than 10% of annual net sales. Financial instruments that potentially subject the Company to a concentration of credit risk consist principally of Receivables. The Company provides its products to customers based on an evaluation of the customers’ financial condition, generally without requiring collateral. Exposure to losses on Receivables is principally dependent on each customer’s financial condition. The Company performs ongoing credit evaluations of its customers. The Company monitors the exposure for credit losses and maintains allowances for anticipated losses. Concentrations of credit risk with respect to Receivables are limited due to the large number of customers comprising the Company’s customer base and their dispersion across many different geographies. One customer, Ferguson Enterprises, accounted for approximately 19.1% and 17.6% of Receivables at March 31, 2019 and 2018, respectively. |
Derivatives | Derivatives - The Company recognizes derivative instruments as either assets or liabilities and measure those instruments at fair value. ADS uses interest rate swaps, commodity options in the form of collars and swaps, and foreign currency forward contracts to manage various exposures to interest rate, commodity price, and exchange rate fluctuations. These instruments do not qualify for hedge accounting treatment. For the interest rate swap executed on June 28, 2017, gains and losses resulting from the difference between the spot rate and applicable base rate is recorded in Interest expense. For commodity options in the form of collars and swaps, and foreign currency forward contracts, gains and losses from contract settlements and changes in fair value of the derivative instruments are recognized in Derivative losses (gains) and other expense (income), net in the Consolidated Statements of Operations. The Company’s policy is to present all derivative balances on a gross basis. The Company also has forward purchase agreements in place with certain resin suppliers for virgin polyethylene resin. The agreements specify a fixed amount of virgin resin material to be purchased at a fixed price for a given period of time in quantities the Company will use in the normal course of business, and therefore, qualify as normal purchase contracts. The cost of such resin is recognized in Cost of goods sold in the Consolidated Statements of Operations. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Recently Adopted Accounting Guidance Cloud Computing - On August 29, 2018, the Financial Accounting Standards Board (the “FASB”) issued an accounting standard update (“ASU”) to provide guidance on implementation costs incurred in a cloud computing arrangement (“CCA”) that is a service contract. The ASU, which was released in response to a consensus reached by the Emerging Issues Task Force at its June 2018 meeting, aligns the accounting for such costs with the guidance on capitalizing costs associated with developing or obtaining internal-use software. Specifically, the ASU includes in its scope implementation costs of a CCA that is a service contract and clarifies that a customer should apply CCA guidance to determine which implementation costs should be capitalized in such a CCA. The Company adopted this update effective July 1, 2018 on a prospective basis. The new standard did not have a material impact on the Consolidated Financial Statements. Revenue Recognition - In May 2014, the FASB issued an ASU which amends the guidance for revenue recognition. This amendment contains principles that will require an entity to recognize revenue to depict the transfer of goods and services to customers at an amount that an entity expects to be entitled to in exchange for goods or services. The amendment sets forth a new revenue recognition model that requires identifying the contract, identifying the performance obligations and recognizing the revenue upon satisfaction of performance obligations. In August 2015, the FASB issued an additional ASU that deferred the effective date of the new revenue standard for public entities to periods beginning after December 15, 2017, with early adoption permitted but not earlier than the original effective date of periods beginning after December 15, 2016. There have also been various additional ASUs issued by the FASB in 2016 that further amend this new revenue standard. The updated standard permits the use of either the retrospective or cumulative effect transition method. The Company adopted these standards on April 1, 2018 using the modified retrospective transition method. See “Note 3. Revenue Recognition” for further information on the adoption of the revenue recognition ASUs. Cash Flow Classification - In August 2016, the FASB issued an ASU which provides amended guidance on the classification of certain cash receipts and cash payments in the statement of cash flows, including related to debt prepayment or debt extinguishment costs, contingent consideration payments made after a business combination, proceeds from the settlement of insurance claims, proceeds from the settlement of corporate-owned life insurance and distributions received from equity method investees. This update is effective for fiscal years beginning after December 15, 2017, including interim periods within those years, and early adoption is permitted. This amended guidance must be applied retrospectively to all periods presented but may be applied prospectively if retrospective application would be impracticable. The Company adopted this update effective April 1, 2018 using the retrospective method. The new standard did not have an impact on the Consolidated Financial Statements. Goodwill Impairment - In January 2017, the FASB issued an ASU which removes the requirement to compare the implied fair value of goodwill with its carrying amount as part of step 2 of the goodwill impairment test. As a result, under the standards update, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount and should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. The amendments are effective for annual periods beginning after December 15, 2019. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company adopted this update effective April 1, 2018. The new standard did not have an impact on the Consolidated Financial Statements. Definition of a Business - In January 2017, the FASB issued an ASU to clarify the definition of a business. The definition of a business affects many areas of accounting including acquisitions, disposals, goodwill, and consolidation. The amendments are intended to help companies and other organizations evaluate whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. The amendments provide a more robust framework to use in determining when a set of assets and activities is a business. The amendments are effective for annual periods beginning after December 15, 2017, including interim periods within those periods. The Company adopted this update effective April 1, 2018. The new standard did not have an impact on the Consolidated Financial Statements. Stock-Based Compensation - In May 2017, the FASB issued an ASU to clarify when modification accounting should be applied for changes to the terms or conditions of share-based payment awards. The amendments clarify that modification accounting guidance should only be applied if there is a change to the value, vesting conditions, or award classification and would not be required if the changes are considered non-substantive. The amendments are effective for annual periods beginning after December 15, 2017, including interim periods within those periods. The Company adopted this update effective April 1, 2018. The new standard did not have an impact on the Consolidated Financial Statements. Fair Value Measurement – In August 2018, the FASB issued an ASU that was intended to improve the effectiveness of disclosures in notes to financial statements. The standard removed, modified and added certain disclosure requirements related to fair value measurements. This standard was effective for fiscal years beginning after December 15, 2019. The standard required the use of the retrospective transition method for specific amendments within the ASU and the prospective treatment of other amendments. Early adoption was permitted. The Company early adopted this ASU, effective for the Company’s Annual Report on Form 10-K for the year ending March 31, 2019 . The Company applied the new standard to “Note 9. Fair Value Measurement” in the notes to the Consolidated Financial Statements. Recent Accounting Guidance Not Yet Adopted Leases - In February 2016, the FASB issued Accounting Standard Codification (“ASC”) 842, , which amends the guidance for leases. This standard contains principles that will require an entity to recognize most leases on the balance sheet by recording a right-of-use asset and a lease liability, unless the lease is a short-term lease that has an accounting lease term of twelve months or less. The standard also contains other changes to the current lease guidance that may result in changes to how entities determine which contractual arrangements qualify as a lease, the accounting for executory costs, such as property taxes and insurance, as well as which lease origination costs will be capitalizable. This standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those years. Early adoption of this standard is permitted. The standard allows the use of the modified retrospective transition method, whereby the new guidance will be applied at the beginning of the earliest period presented in the financial statements of the period of adoption. The modified retrospective transition approach includes certain practical expedients that entities may elect to apply in transition. In July 2018, the FASB amended ASC 842 to provide another transition method, allowing a cumulative effect adjustment to the opening balance of retained earnings during the period of adoption. The Company has implemented a new software solution to improve the process of tracking and accounting for leases under the current and new standards. The Company will adopt this standard effective April 1, 2019 using the modified retrospective transition method which does not require adjustments to comparative periods or require modified disclosures for those periods. The Company has elected the transition relief practical expedients. The transition relief practical expedient package permits the Company to not reassess (1) whether any expired or existing contracts are or contain a lease, (2) the lease classification for any expired or existing lease or (3) initial direct costs for any existing lease. The Company is continuing to finalize new processes and internal controls required to comply with the new lease standard. The adoption of ASC 842 will not have a material impact on the Statement of Operations or Statement of Cash Flows. The accounting for capital leases will remain substantially unchanged. The recording of right-of-use assets and lease liabilities is expected to have a material impact on the Company’s Consolidated Balance Sheet. Measurement of Credit Losses - In June 2016, the FASB issued an ASU which provides amended guidance on the measurement of credit losses on financial instruments, including trade receivables. This standard requires the use of an impairment model referred to as the current expected credit loss model. This standard is effective for fiscal years beginning after December 15, 2019, including interim periods within those years, and early adoption is permitted for fiscal years beginning after December 15, 2018. The Company expects to adopt this standard effective April 1, 2020. The Company is currently evaluating the impact of this standard on the Consolidated Financial Statements. Hedge Accounting – In August 2017, the FASB issued an ASU which expands an entity’s ability to apply hedge accounting for non-financial and financial risk components and provides a simplified approach for fair value hedging of interest rate risk. The standard also refines how entities assess hedge effectiveness. This standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those years, and early adoption is permitted. The Company will adopt this standard effective April 1, 2019. The new standard did not have an impact on the Consolidated Financial Statements. Except for the pronouncements described above, there have been no new accounting pronouncements issued or adopted since the filing of the fiscal 2018 Form 10-K that have significance, or potential significance, to the Consolidated Financial Statements. |
Background and Summary of Sig_3
Background and Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Accounting Policies [Abstract] | |
Summary of Receivables | Receivables and Allowance for Doubtful Accounts - Receivables include trade receivables, net of an allowance for doubtful accounts, and other miscellaneous receivables. Receivables at March 31, 2019 and 2018 are as follows: (Amounts in thousands) 2019 2018 Trade receivables $ 170,887 $ 159,291 Other miscellaneous receivables 16,104 12,670 Receivables, net $ 186,991 $ 171,961 |
Estimated Useful Lives of Related Assets | Depreciation is computed for financial reporting purposes using the straight-line method over the estimated useful lives of the related assets or the lease term, if shorter, as follows: Years Buildings and leasehold improvement 20 to 45 or the lease term if shorter Machinery and production equipment 3 to 18 Transportation equipment 3 to 12 |
Other Assets | Other assets as of the fiscal years ended March 31 consisted of the following: (Amounts in thousands) 2019 2018 Investments in unconsolidated affiliates $ 10,467 $ 12,343 Capitalized software development costs, net 13,069 10,195 Deposits 2,985 2,776 Central parts 2,385 2,089 Other 8,034 10,551 Total other assets $ 36,940 $ 37,954 |
Amortization Expense Related to Other Assets | The following table sets forth amortization expense related to Other assets in each of the fiscal years ended March 31: (Amounts in thousands) 2019 2018 2017 Capitalized software development costs $ 2,659 $ 2,156 $ 3,372 Central parts 73 47 54 Other 1,419 1,688 1,689 |
Loss on Disposal of Assets an_2
Loss on Disposal of Assets and Costs from Exit and Disposal Activities (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Discontinued Operations And Disposal Groups [Abstract] | |
Summary of Loss on Disposal of Assets and Costs from Exit and Disposal Activities | The following table summarizes the activity included in Loss on disposal of assets and costs from exit and disposal activities recorded during the fiscal years ended March 31, 2019, 2018, and 2017: (Amounts in thousands) 2019 2018 2017 Accelerated depreciation $ 430 $ 3,759 $ — Plant severance 131 2,041 — Headcount reduction 306 4,133 — Product optimization 283 1,351 — Other restructuring activities 475 159 — Total 2018 Restructuring Plan activities $ 1,625 $ 11,443 $ — Loss on other disposals and partial disposals of property, plant and equipment 2,022 3,560 8,509 Total loss on disposal of assets and costs from exit and disposal activities $ 3,647 $ 15,003 $ 8,509 |
Schedule of Reconciliation of Restructuring Liability | A reconciliation of the beginning and ending amounts of restructuring liability related to the 2018 Restructuring Plan for the fiscal years ended March 31, 2019 and 2018 (Amounts in thousands) 2019 2018 Balance at beginning of year $ 3,901 $ — Expenses 1,625 11,443 Non-cash expenses (713 ) (4,882 ) Payments (3,117 ) (2,660 ) Balance at end of year $ 1,696 $ 3,901 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Revenue From Contract With Customer [Abstract] | |
Schedule of Contract Asset and Liability | The following table presents the balance of the Company’s contract asset and liability as of March 31, 2019 and April 1, 2018: March 31, 2019 April 1, 2018 (In thousands) Contract asset - product returns $ 646 $ 577 Refund liability 1,372 1,468 |
Acquisitions (Tables)
Acquisitions (Tables) - Plastic Tubing Industries [Member] | 12 Months Ended |
Mar. 31, 2019 | |
Summary of Purchase Price Allocation | The purchase price allocation is as follows: (Amounts in thousands) Intangible assets $ 160 Inventory 2,050 Property, plant and equipment 7,899 Fair value of net assets acquired 10,109 Purchase price 9,500 Gain on bargain purchase $ 609 |
Effect of Acquisitions for Unaudited Pro Forma Consolidated Statements of Operations | This unaudited pro forma information is presented for illustrative purposes only and is not indicative of what actual results would have been if the acquisition had taken place on April 1, 2015 or of future results. In addition, the unaudited pro forma consolidated results are not projections of future results of operations of the combined company nor do they reflect the expected realization of any cost savings or synergies associated with the acquisition. Proforma (Amounts in thousands) 2017 Net sales $ 1,266,602 Net income attributable to ADS 33,634 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Property Plant And Equipment [Abstract] | |
Schedule of Property, Plant and Equipment | Property, plant and equipment, net as of the fiscal years ended March 31 consisted of the following: (Amounts in thousands) 2019 2018 Land, buildings and improvements $ 199,810 $ 200,459 Machinery and production equipment 560,858 568,779 Transportation equipment 221,721 211,431 Construction in progress 19,749 6,607 Total cost 1,002,138 987,276 Less: accumulated depreciation (603,247 ) (587,895 ) Property, plant and equipment, net $ 398,891 $ 399,381 |
Depreciation Expense Related to Property, Plant and Equipment | The following table sets forth depreciation expense related to Property, plant and equipment in each of the fiscal years ended March 31: (Amounts in thousands) 2019 2018 2017 Depreciation expense (inclusive of leased assets depreciation) (1) $ 59,869 $ 63,044 $ 58,692 (1) Depreciation expense does not include accelerated depreciation expense from the 2018 Restructuring plan. See “Note 2. Loss on Disposal of Assets and Costs from Exit and Disposal Activities” for additional discussion. |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Leases [Abstract] | |
Summary of Leased Assets Included in Property, Plant and Equipment | Leased assets included in Property, plant and equipment as of the fiscal years ended March 31 consisted of the following: (Amounts in thousands) 2019 2018 Buildings and improvements $ 5,357 $ 6,124 Machinery and equipment 220,279 208,475 Total cost 225,636 214,599 Less: accumulated depreciation (114,856 ) (110,346 ) Leased assets in Property, plant and equipment, net $ 110,780 $ 104,253 |
Schedule of Interest and Depreciation Expense Related to Capital Leases | The following sets forth the interest and depreciation expense related to capital leases recorded in each fiscal year ended March 31: (Amounts in thousands) 2019 2018 2017 Lease interest expense $ 5,215 $ 4,086 $ 3,864 Depreciation of leased assets 19,155 18,511 17,415 |
Schedule of Future Minimum Lease Payments under Capital Leases and Present Value | The following is a schedule by year of future minimum lease payments under capital leases and the present value of the net minimum lease payments as of March 31, 2019: (Amounts in thousands) 2020 $ 26,604 2021 22,507 2022 18,064 2023 11,721 2024 7,143 Thereafter 8,198 Total minimum lease payments $ 94,237 Less: amount representing interest (a) 9,565 Present value of net minimum lease payments $ 84,672 Current maturities of capital lease obligations 23,117 Long-term capital lease obligations 61,555 Total lease obligation $ 84,672 ( a ) Amount necessary to reduce minimum lease payments to present value calculated at the lower of the rate implicit in the lease or the Company’s incremental borrowing rate at lease inception. |
Summary of Future Minimum Rental Commitments under Operating Leases | Future minimum rental commitments under non-cancellable operating leases as of March 31, 2019, are summarized below (amounts in thousands): 2020 2021 2022 2023 2024 Thereafter Future operating lease payments $ 4,159 $ 2,924 $ 1,814 $ 690 $ 325 $ 2,236 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | Inventories as of the fiscal years ended March 31 consisted of the following: (Amounts in thousands) 2019 2018 Raw materials $ 47,910 $ 54,909 Finished goods 216,630 208,883 Total Inventories $ 264,540 $ 263,792 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Carrying Amount of Goodwill by Reportable Segment | Goodwill - The carrying amount of goodwill by reportable segment is as follows: (Amounts in thousands) Domestic International Total Balance at March 31, 2017 $ 90,002 $ 10,564 $ 100,566 Acquisition 2,103 — 2,103 Currency translation — 348 348 Balance at March 31, 2018 $ 92,105 $ 10,912 $ 103,017 Currency translation — (379 ) (379 ) Balance at March 31, 2019 $ 92,105 $ 10,533 $ 102,638 |
Summary of Intangible Assets | Intangible Assets - Intangible assets as of March 31, 2019 and 2018 consisted of the following: 2019 2018 (Amounts in thousands) Gross Intangible Accumulated Amortization Net Intangible Gross Intangible Accumulated Amortization Net Intangible Definite-lived intangible assets Developed technology $ 27,580 $ (19,922 ) $ 7,658 $ 27,580 $ (17,405 ) $ 10,175 Customer relationships 29,851 (23,000 ) 6,851 31,035 (20,567 ) 10,468 Patents 8,313 (5,561 ) 2,752 7,512 (4,956 ) 2,556 Non-compete and other contractual agreements 155 (138 ) 17 607 (567 ) 40 Trademarks and tradenames 15,978 (7,968 ) 8,010 15,969 (6,678 ) 9,291 Total definite lived intangible assets 81,877 (56,589 ) 25,288 82,703 (50,173 ) 32,530 Indefinite-lived intangible assets (a) Trademarks 11,889 — 11,889 11,907 — 11,907 Total Intangible assets $ 93,766 $ (56,589 ) $ 37,177 $ 94,610 $ (50,173 ) $ 44,437 |
Weighted Average Amortization Period for Definite-Lived Intangible assets | The following table presents the weighted average amortization period for definite-lived intangible assets at March 31, 2019: Weighted Average Amortization Period (in years) Developed technology 11.0 Customer relationships 8.7 Patents 8.5 Non-compete and other contractual agreements 7.0 Trademarks and tradenames 13.4 |
Future Intangible Asset Amortization Expense | The following table presents the future intangible asset amortization expense based on existing intangible assets at March 31, 2019: Fiscal Year (Amounts in thousands) 2020 2021 2022 2023 2024 Thereafter Total Amortization expense $ 6,037 $ 5,895 $ 4,310 $ 2,534 $ 2,517 $ 3,995 $ 25,288 |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Summary of Assets and Liabilities Carried at Fair Value | The assets, liabilities and mezzanine equity carried at fair value as of the fiscal years ended March 31 were as follows: March 31, 2019 (Amounts in thousands) Total Level 1 Level 2 Level 3 Assets: Derivative assets — diesel fuel contracts $ 189 $ — $ 189 $ — Interest rate swaps 1,088 — 1,088 — Total assets at fair value on a recurring basis $ 1,277 $ — $ 1,277 $ — Liabilities: Derivative liability - diesel fuel contracts $ 283 $ — $ 283 $ — Foreign exchange forward contracts 60 — 60 — Contingent consideration for acquisitions 203 — — 203 Total liabilities at fair value on a recurring basis $ 546 $ — $ 343 $ 203 March 31, 2018 (Amounts in thousands) Total Level 1 Level 2 Level 3 Assets: Derivative assets — diesel fuel contracts $ 596 $ — $ 596 $ — Interest rate swaps 2,801 — 2,801 — Total assets at fair value on a recurring basis $ 3,397 $ — $ 3,397 $ — Liabilities: Derivative liability - diesel fuel contracts $ 116 $ — $ 116 $ — Contingent consideration for acquisitions 578 — — 578 Total liabilities at fair value on a recurring basis $ 694 $ — $ 116 $ 578 |
Summary of Quantitative Information about Level 3 Fair Value Measurements | Quantitative Information about Level 3 Fair Value Measurements (Amounts in thousands) Liabilities & Mezzanine Equity Fair Value at 3/31/19 Valuation Technique(s) Unobservable Input Quantifiable Input Contingent consideration for acquisitions $ 203 Discounted cash flow Weighted Average Cost of Capital (“WACC”) (a) 9.50% Liabilities & Mezzanine Equity Fair Value at 3/31/18 Valuation Technique(s) Unobservable Input Quantifiable Input Contingent consideration for acquisitions $ 578 Discounted cash flow Weighted Average Cost of Capital (“WACC”) (a) 9.50% (a) Represents discount rates or rates of return estimates and assumptions that the Company believes would be used by market participants when valuing these liabilities. |
Summary of Changes in Fair Value of Recurring Fair Value Measurements Using Unobservable Inputs | Changes in the fair value of recurring fair value measurements using significant unobservable inputs (Level 3) for the fiscal years ended March 31, 2019 and 2018 were as follows: Contingent consideration Balance at March 31, 2017 $ 1,348 Change in fair value 39 Payments of contingent consideration liability (809 ) Balance at March 31, 2018 $ 578 Asset acquisition 40 Change in fair value (6 ) Payments of contingent consideration liability (409 ) Balance at March 31, 2019 $ 203 |
Investment in Affiliates (Table
Investment in Affiliates (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
BaySaver [Member] | |
Assets and Liabilities of Joint Ventures | The table below includes the assets and liabilities of BaySaver that are consolidated as of March 31, 2018. The balances exclude intercompany transactions that are eliminated upon consolidation. (Amounts in thousands) 2018 Assets Current assets $ 3,761 Property, plant and equipment, net 216 Other noncurrent assets 10,470 Total assets $ 14,447 Liabilities Current liabilities $ 820 Total liabilities $ 820 |
ADS Mexicana [Member] | |
Assets and Liabilities of Joint Ventures | The table below includes the assets and liabilities of ADS Mexicana that are consolidated as of March 31, 2019 and 2018. The balances exclude intercompany transactions that are eliminated upon consolidation. (Amounts in thousands) 2019 2018 Assets Current assets $ 18,683 $ 24,616 Property, plant and equipment, net 17,054 18,855 Other noncurrent assets 1,396 1,314 Total assets $ 37,133 $ 44,785 Liabilities Current liabilities $ 6,581 $ 8,979 Noncurrent liabilities 1,264 1,343 Total liabilities $ 7,845 $ 10,322 |
South American Joint Venture [Member] | |
Summarized Financial Data of Joint Ventures | Summarized financial data as of the fiscal years ended March 31 for the South American Joint Venture is as follows: (Amounts in thousands) 2019 2018 Investment in South American Joint Venture $ 10,467 $ 12,343 Net Receivable from South American Joint Venture 504 817 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-term debt as of the fiscal years ended March 31 consisted of the following: (Amounts in thousands) 2019 2018 Secured Bank Loans Revolving Credit Facility — ADS $ 134,400 $ 171,500 Revolving Credit Facility — ADS Mexicana — — Senior Notes payable 100,000 125,000 Industrial revenue bonds — 940 Equipment financing 2,427 3,336 Total 236,827 300,776 Unamortized debt issuance costs (2,293 ) (3,028 ) Current maturities (25,932 ) (26,848 ) Long-term debt obligations $ 208,602 $ 270,900 |
Maturities of Long-term Debt (Excluding Interest and Deferred Financing Costs) | Maturities of long-term debt (excluding interest and deferred financing costs) as of March 31, 2019 are summarized below: Fiscal Years Ending March 31, (Amounts in thousands) 2020 2021 2022 2023 2024 Thereafter Total Principal maturities $ 25,932 $ 963 $ 532 $ 134,400 $ — $ 75,000 $ 236,827 |
Derivative Transactions (Tables
Derivative Transactions (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Summary of Fair Values for Various Derivatives | A summary of the fair values for the various derivatives at March 31, 2019 and 2018 is presented below: 2019 Assets Liabilities (Amounts in thousands) Receivables Other assets Other accrued liabilities Other liabilities Diesel fuel option collars and swaps $ 127 $ 62 $ (201 ) $ (82 ) Foreign exchange forward contracts — — (60 ) — Interest rate swaps 566 522 — — 2018 Assets Liabilities (Amounts in thousands) Receivables Other assets Other accrued liabilities Other liabilities Diesel fuel option collars and swaps $ 573 $ 23 $ (78 ) $ (38 ) Interest rate swaps 311 2,490 — — |
Schedule of Cash Settlements and Net Losses and Net (Gains) on Mark-to-Market Adjustments for Changes in Fair Value of Derivative Contracts | The Company recorded net losses and net (gains) on mark-to-market adjustments for changes in the fair value of derivative contracts as well as net losses and net (gains) on the settlement of derivative contracts as follows: Net Unrealized Mark to Market Losses (Gains) (Amounts in thousands) 2019 2018 2017 Interest rate swaps $ 1,712 $ (2,801 ) $ (252 ) Foreign exchange forward contracts 60 — — Diesel fuel option collars 574 (443 ) (2,642 ) Propylene swaps — — (8,027 ) Total net unrealized mark to market losses (gains) $ 2,346 $ (3,244 ) $ (10,921 ) Net Realized Losses (Gains) (Amounts in thousands) 2019 2018 2017 Interest rate swaps $ (329 ) $ — $ — Foreign exchange forward contracts (163 ) — — Diesel fuel option collars $ (698 ) $ (476 ) $ 1,893 Propylene swaps — — 6,671 Total net realized losses (gains) $ (1,190 ) $ (476 ) $ 8,564 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Redeemable Convertible Preferred Stock [Member] | |
Summarized Cash and Stock Dividends on Allocated Redeemable Convertible Preferred Stock | Cash and stock dividends on allocated Redeemable convertible preferred stock for the fiscal years ended March 31, 2019 and 2018, respectively, are summarized in the following table. (Amounts in thousands) 2019 2018 Quarterly cash dividends $ 1,903 $ 1,713 Annual cash dividends 10 11 Total cash dividends $ 1,913 $ 1,724 Annual stock dividend 134 134 Annual cash dividend 10 11 Total ESOP required dividends $ 144 $ 145 Allocated shares 7,392 7,437 Required dividend per share 0.0195 0.0195 Required dividends $ 144 $ 145 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Summary of Stock-based Compensation Expense | The Company recognized stock-based compensation expense in the following line items on the Consolidated Statements of Operations for the fiscal years ended March 31, 2019, 2018, and 2017: (Amounts in thousands) 2019 2018 2017 Component of income before income taxes: Cost of goods sold $ 317 $ 179 $ 177 Selling expenses 180 105 177 General and administrative expenses 6,035 6,837 7,953 Total stock-based compensation expense $ 6,532 $ 7,121 $ 8,307 The following table summarizes stock-based compensation expense by award type for the fiscal years ended March 31, 2019, 2018, and 2017: (Amounts in thousands) 2019 2018 2017 Stock-based compensation expense: Liability-classified stock options $ — $ — $ 4,936 Equity-classified stock options 2,550 4,148 108 Restricted stock 2,064 1,741 1,945 Performance-based restricted stock units 869 — — Non-employee director 1,049 1,232 1,318 Total stock-based compensation expense $ 6,532 $ 7,121 $ 8,307 |
Summary of Assumption Used in Estimate Fair Value of Stock Options | The following table summarizes the assumptions used in estimating the fair value of stock options: 2019 2018 2017 Common stock price $25.75 - $27.99 $19.35 - $22.95 $18.70 - $28.17 Expected stock price volatility 30.3% - 31.1% 32.1% - 35.6% 29.6% - 33.0% Risk-free interest rate 2.9% - 3.1% 1.9% - 2.2% 0.9% - 1.9% Weighted-average expected option life (years) 6.0 5.6 - 6.0 0.5 - 5.1 Dividend yield 1.1% - 1.2% 1.1% - 1.5% 0.9% |
2000 Stock Option Plan [Member] | |
Schedule of Stock Option Activity | The stock option activity for the fiscal year ended March 31, 2019 is summarized as follows: (Share amounts in thousands) Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Outstanding at beginning of year 135 $ 13.85 4.8 Granted — — — Exercised (53 ) 12.64 — Forfeited — — — Outstanding at end of year 82 14.64 4.3 Vested at end of year 28 12.56 3.1 Unvested at end of year 54 15.74 5.0 Fair value of options granted during the year $ — |
Schedule of Unvested Stock Option Grants | The following table summarizes information about the unvested stock option grants as of the fiscal year ended March 31, 2019: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year 54 $ 6.76 Granted — — Vested — — Forfeitures — — Unvested at end of year 54 $ 6.76 |
2013 Stock Option Plan [Member] | |
Schedule of Stock Option Activity | The stock option activity for the fiscal year ended March 31, 2019 is summarized as follows: (Share amounts in thousands) Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Outstanding at beginning of year 1,502 $ 16.27 5.9 Granted — — — Exercised (368 ) 14.57 — Forfeited (14 ) 17.31 — Outstanding at end of year 1,120 16.81 4.9 Vested at end of year 999 15.91 4.6 Unvested at end of year 121 24.17 7.0 Fair value of options granted during the year $ — |
Schedule of Unvested Stock Option Grants | The following table summarizes information about the unvested stock option grants as of the fiscal year ended March 31, 2019: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year 439 $ 8.42 Granted — — Vested (305 ) 8.63 Forfeited (13 ) 8.77 Unvested at end of year 121 $ 7.68 |
2008 Restricted Stock Plan [Member] | |
Summary of Unvested Restricted Stock Grants | The information about the unvested restricted stock grants as of March 31, 2019 is as follows: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year 101 $ 22.95 Granted — — Vested (55 ) 21.88 Forfeited (2 ) 24.20 Unvested at end of year 44 $ 24.17 |
2017 Omnibus Plan [Member] | |
Schedule of Stock Option Activity | The stock option activity for the fiscal year ended March 31, 2019 is summarized as follows: (Share amounts in thousands) Number of Shares Weighted Average Exercise Price Weighted Average Remaining Contractual Term (in years) Outstanding at beginning of year 198 $ 19.75 9.4 Granted 259 25.82 — Exercised — — — Forfeited — — — Outstanding at end of year 457 23.19 8.9 Vested at end of year 69 20.03 8.5 Unvested at end of year 388 23.75 8.9 Fair value of options granted during the year 7.84 |
Schedule of Unvested Stock Option Grants | The following table summarizes information about the unvested stock option grants as of the fiscal year ended March 31, 2019: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year 198 $ 5.94 Granted 259 7.84 Vested (69 ) 6.03 Forfeited — — Unvested at end of year 388 $ 7.19 |
Summary of Unvested Restricted Stock Grants | The information about the unvested restricted stock grants as of March 31, 2019 is as follows: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year 108 $ 19.91 Granted 134 26.59 Vested (69 ) 20.08 Forfeited (1 ) 25.75 Unvested at end of year 172 $ 25.02 |
Summary of Performance Units Granted | The information about the performance units granted under the 2017 Omnibus Plan is as follows: (Share amounts in thousands) Number of Shares Weighted Average Grant Date Fair Value Unvested at beginning of year — — Granted 117 $ 25.84 Vested (2 ) 25.75 Forfeited — — Unvested at end of year 115 $ 25.85 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Components of Income before Income Taxes | The components of Income before income taxes for the fiscal years ended March 31 are as follows: (Amounts in thousands) 2019 2018 2017 United States $ 103,559 $ 72,109 $ 59,543 Foreign 8,051 4,833 5,288 Total $ 111,610 $ 76,942 $ 64,831 |
Components of Income Tax Expense | The components of Income tax expense for the fiscal years ended March 31 consisted of the following: (Amounts in thousands) 2019 2018 2017 Current: Federal $ 11,575 $ 17,107 $ 24,318 State and local 3,998 3,541 4,652 Foreign 2,050 2,242 3,040 Total current tax expense 17,623 22,890 32,010 Deferred: Federal 11,745 (11,236 ) (5,887 ) State and local 1,795 (55 ) (1,297 ) Foreign (1,114 ) (188 ) (211 ) Total deferred tax expense (benefit) 12,426 (11,479 ) (7,395 ) Total Income tax expense $ 30,049 $ 11,411 $ 24,615 |
Effective Tax Rate Varied from Statutory Federal Income Tax Rate | For the fiscal years ended March 31, the effective tax rate varied from the statutory Federal income tax rate as a result of the following factors: 2019 2018 2017 Federal statutory rate 21.0 % 31.5 % 35.0 % ESOP stock appreciation 3.2 5.4 4.1 Effect of tax rate of foreign subsidiaries (0.3 ) 0.7 1.3 State and local taxes—net of federal income tax benefit 4.6 3.6 4.1 Uncertain tax position change (1.3 ) 0.3 (1.1 ) Impact of tax reform — (19.4 ) — Return to provision - federal and state (0.2 ) (5.0 ) 1.1 Qualified production activity deduction — (2.5 ) (3.3 ) Closure of Puerto Rico — — (4.2 ) Executive compensation 1.1 0.1 — Credits and incentives (1.0 ) (0.5 ) — Other (0.2 ) 0.6 1.0 Effective rate 26.9 % 14.8 % 38.0 % |
Schedule of Deferred Tax Assets and Liabilities | The tax effect of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at March 31 were comprised of: (Amounts in thousands) 2019 2018 Deferred tax assets: State income taxes $ 1,457 $ 1,126 ESOP loan repayment 917 891 Receivable and other allowances 1,597 1,696 Inventory 2,404 3,558 Non-qualified stock options 3,324 3,596 Executive termination payments (Note 16) 674 1,299 Worker’s compensation 2,153 732 Other 2,570 2,886 Total deferred tax assets 15,096 15,784 Less: valuation allowance (281 ) (26 ) Total net deferred tax assets 14,815 15,758 Deferred tax liabilities: Intangible assets 1,647 4,254 Property, plant and equipment 53,676 38,181 Goodwill 4,255 3,698 Other 862 1,814 Total deferred tax liabilities 60,440 47,947 Net deferred tax liability $ 45,625 $ 32,189 Net deferred tax assets and liabilities are included in Other assets and Deferred tax liabilities, respectively, on the Consolidated Balance Sheets. The related balances at March 31 were as follows: (Amounts in thousands) 2019 2018 Net non-current deferred tax assets $ 338 $ 115 Net non-current deferred tax liabilities 45,963 32,304 |
Reconciliation of Beginning and Ending Balance of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amounts of unrecognized tax benefits for the years ended March 31, 2019, 2018, and 2017 is as follows: (Amounts in thousands) 2019 2018 2017 Balance at beginning of year $ 7,593 $ 6,196 $ 7,998 Tax positions taken in current year 164 81 — Decreases in tax positions for prior years (198 ) — (1,786 ) Increases in tax positions for prior years 136 5,108 80 Settlements (200 ) — — Lapse of statute of limitations (1,595 ) (3,940 ) (96 ) Foreign translation adjustment (219 ) 148 — Balance at end of year $ 5,681 $ 7,593 $ 6,196 |
Net Income Per Share and Stoc_2
Net Income Per Share and Stockholders' Equity (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Net Income Per Share And Stockholders Equity [Abstract] | |
Summary of Net Income Per Share | The following table presents information necessary to calculate net income per share for the fiscal years ended March 31, 2019, 2018, and 2017, as well as potentially dilutive securities excluded from the weighted average number of diluted common shares outstanding because their inclusion would have been anti-dilutive: (Amounts in thousands, except per share data) 2019 2018 2017 NET INCOME PER SHARE — BASIC: Net income attributable to ADS $ 77,772 $ 62,007 32,950 Adjustment for: Accretion of redeemable noncontrolling interest in subsidiaries — — (1,560 ) Dividends paid to redeemable convertible preferred stockholders (2,047 ) (1,858 ) (1,646 ) Dividends paid to unvested restricted stockholders (69 ) (49 ) (73 ) Net income available to common stockholders and participating securities 75,656 60,100 29,671 Undistributed income allocated to participating securities (5,474 ) (4,514 ) (1,700 ) Net income available to common stockholders — Basic 70,182 55,586 27,971 Weighted average number of common shares outstanding — Basic 57,025 55,696 54,919 Net income per common share — Basic $ 1.23 $ 1.00 0.51 NET INCOME PER SHARE — DILUTED: Net income available to common stockholders — Diluted 70,182 55,586 27,971 Weighted average number of common shares outstanding — Basic 57,025 55,696 54,919 Assumed restricted stock - nonparticipating 39 — — Assumed exercise of stock options 547 638 705 Weighted average number of common shares outstanding — Diluted 57,611 56,334 55,624 Net income per common share — Diluted $ 1.22 $ 0.99 0.50 Potentially dilutive securities excluded as anti- dilutive 5,966 6,167 6,228 |
Other Accrued Liabilities (Tabl
Other Accrued Liabilities (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Payables And Accruals [Abstract] | |
Schedule of Other Accrued Liabilities | Other accrued liabilities as of fiscal years ended March 31 consisted of the following: (Amounts in thousands) 2019 2018 Accrued compensation and benefits (1) $ 18,108 $ 17,980 Accrued rebate liability (2) 12,313 12,938 Self-insurance accruals 11,697 12,439 Other 19,783 17,203 Total accrued liabilities $ 61,901 $ 60,560 (1) Accrued compensation and benefits is primarily comprised of accrued payroll, bonuses and commissions. (2) Accrued rebate liability represents the Company’s estimated rebates to be paid to customers. |
Business Segment Information (T
Business Segment Information (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Segment Reporting [Abstract] | |
Schedule of Revenue from Reportable Segments by Product Type | The following table sets forth reportable segment information with respect to the amount of Net sales contributed by each class of similar products in each of the fiscal years ended March 31: (Amounts in thousands) 2019 2018 2017 Domestic Pipe $ 868,805 $ 844,875 $ 794,807 Allied Products 355,326 329,557 307,429 Total domestic 1,224,131 1,174,432 1,102,236 International Pipe 122,836 119,207 122,724 Allied Products 37,766 36,715 32,301 Total international 160,602 155,922 155,025 Total net sales $ 1,384,733 $ 1,330,354 $ 1,257,261 |
Schedule of Additional Financial Information Attributable to Reportable Segments | The following sets forth certain additional financial information attributable to the reportable segments for the fiscal years ended March 31 . (Amounts in thousands) 2019 2018 2017 Segment Adjusted EBITDA Domestic $ 209,234 $ 191,629 $ 175,676 International 22,726 18,601 17,695 Total $ 231,960 $ 210,230 $ 193,371 Interest expense Domestic $ 18,352 $ 14,929 $ 17,049 International 266 333 418 Total $ 18,618 $ 15,262 $ 17,467 Income tax expense Domestic $ 28,816 $ 9,199 $ 21,786 International 1,233 2,212 2,829 Total $ 30,049 $ 11,411 $ 24,615 Depreciation and amortization Domestic $ 64,450 $ 66,978 $ 63,747 International 7,450 8,025 8,608 Total $ 71,900 $ 75,003 $ 72,355 Equity in net (loss) income of unconsolidated affiliates Domestic $ — $ (2,427 ) $ (505 ) International (95 ) 1,688 (3,803 ) Total $ (95 ) $ (739 ) $ (4,308 ) Capital expenditures Domestic $ 39,647 $ 39,562 $ 39,642 International 3,765 2,147 7,034 Total $ 43,412 $ 41,709 $ 46,676 The following sets forth certain additional financial information attributable to the reportable segments as of March 31: (Amounts in thousands) 2019 2018 Investments in unconsolidated affiliates International $ 10,467 $ 12,343 Total $ 10,467 $ 12,343 Total identifiable assets Domestic $ 918,806 $ 904,718 International 128,085 142,822 Eliminations (4,732 ) (4,298 ) Total $ 1,042,159 $ 1,043,242 |
Schedule of Reconciliation of Segment Adjusted EBITDA to Net Income | Reconciliation of Segment Adjusted EBITDA to Net income 2019 2018 2017 (Amounts in thousands) Domestic International Domestic International Domestic International Net income (loss) $ 70,296 $ 11,170 $ 57,279 $ 7,513 $ 35,118 $ 790 Depreciation and amortization 64,450 7,450 66,978 8,025 63,747 8,608 Interest expense 18,352 266 14,929 333 17,049 418 Income tax expense 28,816 1,233 9,199 2,212 21,786 2,829 Derivative fair value adjustments 634 — (443 ) — (10,921 ) — Foreign currency transaction (gains) losses — 314 — (1,748 ) — (1,629 ) Loss (gain) on disposal of assets and costs from exit and disposal activities 2,823 824 14,248 755 4,793 3,716 Unconsolidated affiliates interest, taxes, depreciation and amortization (a) — 1,463 1,181 1,511 1,088 1,663 Contingent consideration remeasurement (6 ) — 39 — (265 ) — Stock-based compensation expense 6,532 — 7,121 — 8,307 — ESOP deferred stock-based compensation 15,296 — 11,724 — 9,568 — Executive retirement expense (benefit) (178 ) — 1,473 — 1,092 — Inventory step up related to PTI acquisition — — — — 525 — Bargain purchase gain on PTI acquisition — — — — (609 ) — Restatement-related costs (b) (1,924 ) — 4,227 — 24,026 — Legal settlement — — 2,000 — — — Impairment on investment in unconsolidated affiliate (c) — — 312 — — 1,300 Strategic growth and operational improvement initiatives (d) 3,450 — — — — — Transaction costs (e) 693 6 1,362 — 372 — Segment Adjusted EBITDA $ 209,234 $ 22,726 $ 191,629 $ 18,601 $ 175,676 $ 17,695 (a) Includes the Company’s proportional share of interest, income taxes, depreciation and amortization related to its South American Joint Venture and its former Tigre-ADS USA Joint Venture, which are accounted for under the equity method of accounting. (b) Represents expenses recorded related to legal, accounting and other professional fees incurred in connection with the restatement of the prior period financial statements as reflected in the fiscal 2015 Form 10-K and fiscal 2016 Form 10-K/A. The benefit recognized in fiscal 2019 is the result of insurance proceeds received in fiscal 2019. ( c ) Represents an other-than-temporary impairment of our investments in the former Tigre-ADS USA joint venture and the South American Joint Venture. (d) Represents professional fees incurred in connection with our strategic growth and operational improvement initiatives, which include various market feasibility assessments and acquisition strategies, along with our operational improvement initiatives, which include evaluation of our manufacturing network and improvement initiatives. ( e ) Represents expenses recorded related to legal, accounting and other professional fees incurred in connection with the debt refinancing and acquisitions and dispositions. |
Net Sales and Long-Lived Asset by Geographic Location | Geographic Sales and Assets Information Net sales are attributed to the geographic location based on the location of the customer. The table below represents the Net sales and long-lived asset information by geographic location for each of the fiscal years ended March 31: (Amounts in thousands) 2019 2018 2017 Net Sales North America $ 1,366,470 $ 1,313,917 $ 1,243,074 Other 18,263 16,437 14,187 Total $ 1,384,733 $ 1,330,354 $ 1,257,261 (Amounts in thousands) 2019 2018 Long-Lived Assets (a) North America $ 401,276 $ 401,470 Other 10,467 12,343 Total $ 411,743 $ 413,813 (a) For segment reporting purposes, long-lived assets include Investments in unconsolidated affiliates, Central parts and Property, plant and equipment. |
Supplemental Disclosures of C_2
Supplemental Disclosures of Cash Flow Information (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Disclosures Cash Flow Information | Supplemental disclosures of cash flow information for the fiscal years ended March 31 were as follows: (Amounts in thousands) 2019 2018 2017 Supplemental disclosures of cash flow information — cash paid during years: Interest $ 15,679 $ 17,890 $ 17,273 Income taxes 29,841 24,510 13,525 (Amounts in thousands) 2019 2018 2017 Supplemental disclosures of noncash investing and financing activities: Redeemable convertible preferred stock dividend $ 134 $ 134 $ 134 Purchases of plant, property, and equipment included in accounts payable 1,255 1,258 2,549 ESOP distributions in common stock 8,609 11,566 7,425 Assets acquired and obligation incurred under capital lease 27,602 26,571 26,276 Lease obligation retired upon disposition of leased assets 578 636 390 Reclassification of liability-classified stock options and restricted stock to equity — — 4,147 Contribution of net accounts receivable to the South American Joint Venture — 2,785 — Payable recorded for business acquisition — 300 950 |
Quarterly Financial Informati_2
Quarterly Financial Information (Unaudited) (Tables) | 12 Months Ended |
Mar. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Summary of Quarterly Financial Information | The following tables set forth certain historical unaudited consolidated condensed quarterly financial information for each of the quarters during the years ended March 31, 2019 and 2018. Fiscal 2019 For the Three Months Ended (in thousands, except per share amounts) March 31, 2019 December 31, 2018 September 30, 2018 June 30, 2018 Net sales $ 272,218 $ 318,113 $ 406,555 $ 387,847 Gross profit 59,504 72,399 95,373 99,691 Net income 1,893 16,550 29,372 33,651 Net income attributable to ADS 1,010 15,812 28,670 32,280 Net (loss) income per share Basic (1) $ 0.01 $ 0.25 $ 0.45 $ 0.51 Diluted (1) $ 0.01 $ 0.25 $ 0.45 $ 0.51 Fiscal 2018 For the Three Months Ended (in thousands, except per share amounts) March 31, 2018 December 31, 2017 September 30, 2017 June 30, 2017 Net sales $ 250,114 $ 320,832 $ 401,049 $ 358,359 Gross profit 48,115 77,826 89,801 86,739 Net (loss) income (4,856 ) 33,215 17,959 18,474 Net (loss) income attributable to ADS (5,703 ) 32,105 17,863 17,742 Net (loss) income per share Basic (1) $ (0.11 ) $ 0.52 $ 0.29 $ 0.29 Diluted (1) $ (0.11 ) $ 0.51 $ 0.29 $ 0.28 (1) The earnings per share calculations for each quarter are based upon the applicable weighted average shares outstanding for each period and may not necessarily be equal to the full year share amount. |
Background and Summary of Sig_4
Background and Summary of Significant Accounting Policies - Additional Information (Detail) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2017USD ($) | Mar. 31, 2019USD ($)SegmentCustomer | Mar. 31, 2018USD ($) | Mar. 31, 2017USD ($) | |
Schedule Of Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Number of reportable segments | Segment | 2 | |||
Interest capitalized | $ 0 | $ 600,000 | $ 600,000 | |
Impairment charges for goodwill | 0 | 0 | 0 | |
Impairment charges for intangible assets | 0 | 0 | 0 | |
Proceeds from sale of officer life insurance | 13,644,000 | |||
Shipping costs | 1,057,766,000 | 1,027,873,000 | 961,451,000 | |
Advertising costs | 3,800,000 | 4,100,000 | 3,100,000 | |
Life, accidental death and dismemberment and medical coverage | $ 39,500,000 | 42,400,000 | 41,300,000 | 39,500,000 |
Self insurance plan employees contribution | 6,700,000 | 5,900,000 | 5,100,000 | |
Total claims expense, self insurance | $ 2,800,000 | $ 1,300,000 | $ 2,100,000 | |
Minimum likelihood percentage of tax benefit to be realized upon settlement | 50.00% | |||
Sales Revenue, Net [Member] | Ferguson Enterprises and HD Supply Waterworks [Member] | ||||
Schedule Of Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Number of customers in the customer base | Customer | 20,000 | |||
Concentration risk description | The Company has a large, active customer base of approximately twenty thousand customers with two customers, Ferguson Enterprises and Core and Main, each representing more than 10% of annual net sales. | |||
Sales Revenue, Net [Member] | Customer Concentration Risk [Member] | Ferguson Enterprises and HD Supply Waterworks [Member] | ||||
Schedule Of Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Concentration risk percentage | 25.40% | 25.40% | 23.50% | |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Ferguson Enterprises [Member] | ||||
Schedule Of Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Concentration risk percentage | 19.10% | 17.60% | ||
Other General Insurance Programs [Member] | ||||
Schedule Of Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Claims per occurrence | $ 500,000 | |||
Total claims expense, self insurance | 2,300,000 | $ 2,200,000 | $ 1,800,000 | |
Shipping and Handling [Member] | ||||
Schedule Of Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Shipping costs | 131,300,000 | 120,700,000 | 110,500,000 | |
Shipping and Handling [Member] | Sales [Member] | ||||
Schedule Of Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Shipping costs | $ 7,700,000 | 6,300,000 | 5,500,000 | |
South American Joint Venture [Member] | ||||
Schedule Of Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Other assets, impairment charges | $ 1,300,000 | $ 1,300,000 | ||
Minimum [Member] | ||||
Schedule Of Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Capitalized software development costs estimated useful lives | 2 years | |||
Central parts estimated useful lives | 5 years | |||
Claims per incident | $ 300,000 | |||
Maximum [Member] | ||||
Schedule Of Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Capitalized software development costs estimated useful lives | 10 years | |||
Central parts estimated useful lives | 10 years | |||
Other Miscellaneous Receivables [Member] | Other Accrued Liabilities [Member] | ||||
Schedule Of Organization And Summary Of Significant Accounting Policies [Line Items] | ||||
Insurance recoverables | $ 3,900,000 | $ 3,400,000 |
Background and Summary of Sig_5
Background and Summary of Significant Accounting Policies - Summary of Receivables (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Receivables, net | $ 186,991 | $ 171,961 |
Trade Receivables [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Receivables, net | 170,887 | 159,291 |
Other Miscellaneous Receivables [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Receivables, net | $ 16,104 | $ 12,670 |
Background and Summary of Sig_6
Background and Summary of Significant Accounting Policies - Estimated Useful Lives of Related Assets (Detail) | 12 Months Ended |
Mar. 31, 2019 | |
Buildings and Leasehold Improvement [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 20 to 45 or the lease term if shorter |
Machinery and Production Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 3 years |
Machinery and Production Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 18 years |
Transportation Equipment [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 3 years |
Transportation Equipment [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 12 years |
Background and Summary of Sig_7
Background and Summary of Significant Accounting Policies - Other assets (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Other Assets Noncurrent [Abstract] | ||
Investments in unconsolidated affiliates | $ 10,467 | $ 12,343 |
Capitalized software development costs, net | 13,069 | 10,195 |
Deposits | 2,985 | 2,776 |
Central parts | 2,385 | 2,089 |
Other | 8,034 | 10,551 |
Total other assets | $ 36,940 | $ 37,954 |
Background and Summary of Sig_8
Background and Summary of Significant Accounting Policies - Amortization Expense Related to Other Assets (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Adjustment For Amortization [Abstract] | |||
Capitalized software development costs | $ 2,659 | $ 2,156 | $ 3,372 |
Central parts | 73 | 47 | 54 |
Other | $ 1,419 | $ 1,688 | $ 1,689 |
Loss on Disposal of Assets an_3
Loss on Disposal of Assets and Costs from Exit and Disposal Activities - Additional Information (Detail) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019USD ($)Facility | Mar. 31, 2018USD ($)Facility | Mar. 31, 2017USD ($)Facility | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Number of manufacturing facilities closed | Facility | 1 | 4 | 3 |
Expenses related to closing of manufacturing facilities | $ 3,500 | ||
Accelerated depreciation on identified obsolete assets | $ 430 | $ 3,759 | |
Amount of disposals and partial disposals of fixed assets | 2,000 | ||
Restructuring plan activities | 1,625 | 11,443 | |
Net loss on disposition of the equipment | 2,022 | 3,560 | 8,509 |
Other Accrued Liabilities and Other Liabilities [Member] | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Severance liability related to restructuring plan | 600 | 500 | |
2018 Restructuring Plan [Member] | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Restructuring plan activities | 1,625 | 11,443 | |
Domestic [Member] | 2018 Restructuring Plan [Member] | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Restructuring plan activities | 1,200 | 11,000 | |
International Segment [Member] | 2018 Restructuring Plan [Member] | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Restructuring plan activities | $ 400 | $ 400 | |
Obsolete Assets [Member] | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||
Accelerated depreciation on identified obsolete assets | $ 3,000 |
Loss on Disposal of Assets an_4
Loss on Disposal of Assets and Costs from Exit and Disposal Activities - Summary of Loss on Disposal of Assets and Costs from Exit and Disposal Activities (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Discontinued Operations And Disposal Groups [Abstract] | |||
Accelerated depreciation | $ 430 | $ 3,759 | |
Plant severance | 131 | 2,041 | |
Headcount reduction | 306 | 4,133 | |
Product optimization | 283 | 1,351 | |
Other restructuring activities | 475 | 159 | |
Total 2018 Restructuring Plan activities | 1,625 | 11,443 | |
Loss on other disposals and partial disposals of property, plant and equipment | 2,022 | 3,560 | $ 8,509 |
Total loss on disposal of assets and costs from exit and disposal activities | $ 3,647 | $ 15,003 | $ 8,509 |
Loss on Disposal of Assets an_5
Loss on Disposal of Assets and Costs from Exit and Disposal Activities - Schedule of Reconciliation of Restructuring Liability (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Expenses | $ 1,625 | $ 11,443 |
2018 Restructuring Plan [Member] | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Balance at beginning of year | 3,901 | |
Expenses | 1,625 | 11,443 |
Non-cash expenses | (713) | (4,882) |
Payments | (3,117) | (2,660) |
Balance at end of year | $ 1,696 | $ 3,901 |
Revenue Recognition - Additiona
Revenue Recognition - Additional Information (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Apr. 01, 2018 | Mar. 31, 2018 |
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||
Receivables | $ 186,991 | $ 171,961 | |
Other current assets | $ 6,091 | $ 5,113 | |
Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | |||
Revenue Initial Application Period Cumulative Effect Transition [Line Items] | |||
Receivables | $ (600) | ||
Other current assets | $ 600 |
Schedule of Contract Asset and
Schedule of Contract Asset and Liability (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Apr. 01, 2018 |
Contract With Customer Asset And Liability [Abstract] | ||
Contract asset - product returns | $ 646 | $ 577 |
Refund liability | $ 1,372 | $ 1,468 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) - USD ($) | Aug. 06, 2018 | Aug. 01, 2017 | Feb. 06, 2017 | Dec. 31, 2018 | Mar. 31, 2019 | Mar. 31, 2017 | Mar. 31, 2018 |
Business Acquisition [Line Items] | |||||||
BaySaver, purchase price | $ 8,821,000 | ||||||
Goodwill | 102,638,000 | $ 100,566,000 | $ 103,017,000 | ||||
Intangible assets | $ 81,877,000 | $ 82,703,000 | |||||
Duraslot, Inc [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Date of acquisition of business | Aug. 1, 2017 | ||||||
Acquisition of business | $ 2,300,000 | ||||||
Goodwill | $ 2,100,000 | ||||||
Plastic Tubing Industries [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Acquisition of business | $ 8,500,000 | ||||||
Purchase price | 9,500,000 | ||||||
Remaining consideration paid | $ 1,000,000 | ||||||
Depreciation and amortization | 600,000 | ||||||
Plastic Tubing Industries [Member] | Maximum [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Intangible asset amortization expense, net of related income taxes | $ 100,000 | ||||||
Plastic Tubing Industries [Member] | Trade Names [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Intangible assets | $ 200,000 | ||||||
Intangible assets, useful life | 7 years | ||||||
BaySaver [Member] | |||||||
Business Acquisition [Line Items] | |||||||
BaySaver, purchase price | $ 8,800,000 | ||||||
Non-cash adjustment to deferred taxes | $ 600,000 | ||||||
Company's ownership percentage | 35.00% |
Acquisitions - Summary of Purch
Acquisitions - Summary of Purchase Price Allocation (Detail) - USD ($) $ in Thousands | Feb. 06, 2017 | Mar. 31, 2017 |
Business Acquisition [Line Items] | ||
Gain on bargain purchase | $ 609 | |
Plastic Tubing Industries [Member] | ||
Business Acquisition [Line Items] | ||
Intangible assets | $ 160 | |
Inventory | 2,050 | |
Property, plant and equipment | 7,899 | |
Fair value of net assets acquired | 10,109 | |
Purchase price | 9,500 | |
Gain on bargain purchase | $ 609 |
Acquisitions - Effect of Acquis
Acquisitions - Effect of Acquisitions for Unaudited Pro Forma Consolidated Statements of Operations (Detail) - Plastic Tubing Industries [Member] $ in Thousands | 12 Months Ended |
Mar. 31, 2017USD ($) | |
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | |
Net sales | $ 1,266,602 |
Net income attributable to ADS | $ 33,634 |
Property, Plant, and Equipment
Property, Plant, and Equipment - Schedule of Property, Plant and Equipment (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Property, Plant and Equipment [Line Items] | ||
Construction in progress | $ 19,749 | $ 6,607 |
Property, plant and equipment, gross | 1,002,138 | 987,276 |
Less: accumulated depreciation | (603,247) | (587,895) |
Property, plant and equipment, net | 398,891 | 399,381 |
Land, Buildings and Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 199,810 | 200,459 |
Machinery and Production Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 560,858 | 568,779 |
Transportation Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 221,721 | $ 211,431 |
Property, Plant, and Equipmen_2
Property, Plant, and Equipment - Depreciation Expense Related to Property, Plant and Equipment (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | ||
Property Plant And Equipment [Abstract] | ||||
Depreciation expense (inclusive of leased assets depreciation) | [1] | $ 59,869 | $ 63,044 | $ 58,692 |
[1] | Depreciation expense does not include accelerated depreciation expense from the 2018 Restructuring plan. See “Note 2. Loss on Disposal of Assets and Costs from Exit and Disposal Activities” for additional discussion. |
Leases - Summary of Leased Asse
Leases - Summary of Leased Assets Included in Property, Plant and Equipment (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Capital Leased Assets [Line Items] | ||
Total cost | $ 225,636 | $ 214,599 |
Less: accumulated depreciation | (114,856) | (110,346) |
Leased assets in Property, plant and equipment, net | 110,780 | 104,253 |
Buildings and Improvements [Member] | ||
Capital Leased Assets [Line Items] | ||
Total cost | 5,357 | 6,124 |
Machinery and Equipment [Member] | ||
Capital Leased Assets [Line Items] | ||
Total cost | $ 220,279 | $ 208,475 |
Leases - Schedule of Interest a
Leases - Schedule of Interest and Depreciation Expense Related to Capital Leases (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Leases [Abstract] | |||
Lease interest expense | $ 5,215 | $ 4,086 | $ 3,864 |
Depreciation of leased assets | $ 19,155 | $ 18,511 | $ 17,415 |
Leases - Schedule of Future Min
Leases - Schedule of Future Minimum Lease Payments under Capital Leases and Present Value (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Capital Leases Future Minimum Payments Present Value Of Net Minimum Payments [Abstract] | ||
2020 | $ 26,604 | |
2021 | 22,507 | |
2022 | 18,064 | |
2023 | 11,721 | |
2024 | 7,143 | |
Thereafter | 8,198 | |
Total minimum lease payments | 94,237 | |
Less: amount representing interest | 9,565 | |
Present value of net minimum lease payments | 84,672 | |
Current maturities of capital lease obligations | 23,117 | $ 22,007 |
Long-term capital lease obligations | 61,555 | $ 59,963 |
Total lease obligation | $ 84,672 |
Leases - Summary of Future Mini
Leases - Summary of Future Minimum Rental Commitments under Operating Leases (Detail) $ in Thousands | Mar. 31, 2019USD ($) |
Leases Operating [Abstract] | |
Future operating lease payments, 2020 | $ 4,159 |
Future operating lease payments, 2021 | 2,924 |
Future operating lease payments, 2022 | 1,814 |
Future operating lease payments, 2023 | 690 |
Future operating lease payments, 2024 | 325 |
Future operating lease payments, thereafter | $ 2,236 |
Leases - Additional Information
Leases - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Leases [Abstract] | |||
Total rent expense | $ 6.5 | $ 6.6 | $ 6.6 |
Inventories - Schedule of Inven
Inventories - Schedule of Inventories (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 47,910 | $ 54,909 |
Finished goods | 216,630 | 208,883 |
Total Inventories | $ 264,540 | $ 263,792 |
Inventories - Additional Inform
Inventories - Additional Information (Detail) - USD ($) | Mar. 31, 2019 | Mar. 31, 2018 |
Inventory Disclosure [Abstract] | ||
Work-in-process inventories | $ 0 | $ 0 |
General and administrative cost in inventory | 29,400,000 | 27,000,000 |
General and administrative cost remained in inventory | $ 8,200,000 | $ 6,500,000 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Carrying Amount of Goodwill by Reportable Segment (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Goodwill [Line Items] | ||
Beginning balance | $ 103,017 | $ 100,566 |
Acquisition | 2,103 | |
Currency translation | (379) | 348 |
Ending balance | 102,638 | 103,017 |
Domestic [Member] | ||
Goodwill [Line Items] | ||
Beginning balance | 92,105 | 90,002 |
Acquisition | 2,103 | |
Ending balance | 92,105 | 92,105 |
International [Member] | ||
Goodwill [Line Items] | ||
Beginning balance | 10,912 | 10,564 |
Currency translation | (379) | 348 |
Ending balance | $ 10,533 | $ 10,912 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Summary of Intangible Assets (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 | |
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Gross Intangible | $ 81,877 | $ 82,703 | |
Accumulated Amortization | (56,589) | (50,173) | |
Net Intangible | 25,288 | 32,530 | |
Intangible Assets, Gross | 93,766 | 94,610 | |
Intangible assets, net | 37,177 | 44,437 | |
Trademarks [Member] | |||
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Indefinite-Lived Intangible Assets | [1] | 11,889 | 11,907 |
Developed Technology [Member] | |||
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Gross Intangible | 27,580 | 27,580 | |
Accumulated Amortization | (19,922) | (17,405) | |
Net Intangible | 7,658 | 10,175 | |
Customer Relationships [Member] | |||
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Gross Intangible | 29,851 | 31,035 | |
Accumulated Amortization | (23,000) | (20,567) | |
Net Intangible | 6,851 | 10,468 | |
Patents [Member] | |||
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Gross Intangible | 8,313 | 7,512 | |
Accumulated Amortization | (5,561) | (4,956) | |
Net Intangible | 2,752 | 2,556 | |
Non-compete and Other Contractual Agreements [Member] | |||
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Gross Intangible | 155 | 607 | |
Accumulated Amortization | (138) | (567) | |
Net Intangible | 17 | 40 | |
Trademarks and Tradenames [Member] | |||
Finite And Indefinite Lived Intangible Assets [Line Items] | |||
Gross Intangible | 15,978 | 15,969 | |
Accumulated Amortization | (7,968) | (6,678) | |
Net Intangible | $ 8,010 | $ 9,291 | |
[1] | Indefinite-lived intangible assets decreased as a result of foreign currency translation |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Weighted Average Amortization Period for Definite-Lived Intangible Assets (Detail) | 12 Months Ended |
Mar. 31, 2019 | |
Developed Technology [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Weighted average amortization period | 11 years |
Customer Relationships [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Weighted average amortization period | 8 years 8 months 12 days |
Patents [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Weighted average amortization period | 8 years 6 months |
Non-compete and Other Contractual Agreements [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Weighted average amortization period | 7 years |
Trademarks and Tradenames [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Weighted average amortization period | 13 years 4 months 24 days |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Future Intangible Asset Amortization Expense (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Goodwill And Intangible Assets Disclosure [Abstract] | ||
Amortization expense, 2019 | $ 6,037 | |
Amortization expense, 2020 | 5,895 | |
Amortization expense, 2021 | 4,310 | |
Amortization expense, 2022 | 2,534 | |
Amortization expense, 2023 | 2,517 | |
Amortization expense, Thereafter | 3,995 | |
Net Intangible | $ 25,288 | $ 32,530 |
Fair Value Measurement - Summar
Fair Value Measurement - Summary of Assets and Liabilities Carried at Fair Value (Detail) - Fair Value, Measurements, Recurring [Member] - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value on a recurring basis | $ 1,277 | $ 3,397 |
Contingent consideration for acquisitions | 203 | 578 |
Total liabilities at fair value on a recurring basis | 546 | 694 |
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value on a recurring basis | 1,277 | 3,397 |
Total liabilities at fair value on a recurring basis | 343 | 116 |
Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Contingent consideration for acquisitions | 203 | 578 |
Total liabilities at fair value on a recurring basis | 203 | 578 |
Diesel Fuel Contracts [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 189 | 596 |
Derivative liability | 283 | 116 |
Diesel Fuel Contracts [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 189 | 596 |
Derivative liability | 283 | 116 |
Interest Rate Swaps [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 1,088 | 2,801 |
Interest Rate Swaps [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 1,088 | $ 2,801 |
Foreign Exchange Forward Contracts [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 60 | |
Foreign Exchange Forward Contracts [Member] | Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | $ 60 |
Fair Value Measurement - Summ_2
Fair Value Measurement - Summary of Quantitative Information about Level 3 Fair Value Measurements (Detail) - Contingent Consideration for Acquisitions [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Fair Value Inputs, Liabilities, Quantitative Information [Line Items] | ||
Liabilities & Mezzanine Equity | $ 203 | $ 578 |
Discounted Cash Flow [Member] | ||
Fair Value Inputs, Liabilities, Quantitative Information [Line Items] | ||
Valuation Technique(s) | Discounted cash flow | Discounted cash flow |
Unobservable Input | Weighted Average Cost of Capital ("WACC") | Weighted Average Cost of Capital ("WACC") |
Quantifiable Input | 9.50% | 9.50% |
Fair Value Measurement - Summ_3
Fair Value Measurement - Summary of Changes in Fair Value of Recurring Fair Value Measurements Using Unobservable Inputs (Detail) - Contingent Consideration [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Balance beginning | $ 578 | $ 1,348 |
Asset acquisition | 40 | |
Change in fair value | (6) | 39 |
Payments of contingent consideration liability | (409) | (809) |
Balance ending | $ 203 | $ 578 |
Fair Value Measurement - Additi
Fair Value Measurement - Additional Information (Detail) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Fair value of assets and liabilities, additional transfers | $ 0 | $ 0 | ||
South American Joint Venture [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Impairment charges | $ 1,300,000 | $ 1,300,000 | ||
Level 3 [Member] | Measurement Input Discount Rate [Member] | South American Joint Venture [Member] | Minimum [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Discount the future cash flow rates | 9.30% | |||
Level 3 [Member] | Measurement Input Discount Rate [Member] | South American Joint Venture [Member] | Maximum [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Discount the future cash flow rates | 16.50% | |||
Senior Notes Payable [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Senior notes | $ 100,000,000 | 125,000,000 | ||
Senior notes, fair value | $ 98,900,000 | $ 122,300,000 |
Investment in Consolidated Affi
Investment in Consolidated Affiliates - Additional Information (Detail) - JointVenture | 12 Months Ended | |
Mar. 31, 2019 | Dec. 31, 2018 | |
BaySaver [Member] | ||
Investments in and Advances to Affiliates [Line Items] | ||
Company's ownership percentage | 35.00% | |
Subsidiaries [Member] | ||
Investments in and Advances to Affiliates [Line Items] | ||
Number of unconsolidated joint venture participated | 1 | |
Subsidiaries [Member] | ADS Mexicana [Member] | Variable Interest Entity, Primary Beneficiary [Member] | ||
Investments in and Advances to Affiliates [Line Items] | ||
Company's ownership percentage | 51.00% | |
Subsidiaries [Member] | ADS Worldwide, Inc [Member] | ||
Investments in and Advances to Affiliates [Line Items] | ||
Company's ownership percentage | 51.00% |
Investment in Consolidated Af_2
Investment in Consolidated Affiliates - Assets and Liabilities of Joint Ventures (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Assets | ||
Current assets | $ 466,513 | $ 458,453 |
Property, plant and equipment, net | 398,891 | 399,381 |
Other noncurrent assets | 36,940 | 37,954 |
Total assets | 1,042,159 | 1,043,242 |
Liabilities | ||
Current liabilities | 206,285 | 221,243 |
Total liabilities | 541,524 | 609,433 |
BaySaver [Member] | ||
Assets | ||
Current assets | 3,761 | |
Property, plant and equipment, net | 216 | |
Other noncurrent assets | 10,470 | |
Total assets | 14,447 | |
Liabilities | ||
Current liabilities | 820 | |
Total liabilities | 820 | |
ADS Mexicana [Member] | ||
Assets | ||
Current assets | 18,683 | 24,616 |
Property, plant and equipment, net | 17,054 | 18,855 |
Other noncurrent assets | 1,396 | 1,314 |
Total assets | 37,133 | 44,785 |
Liabilities | ||
Current liabilities | 6,581 | 8,979 |
Noncurrent liabilities | 1,264 | 1,343 |
Total liabilities | $ 7,845 | $ 10,322 |
Investment in Unconsolidated Af
Investment in Unconsolidated Affiliates - Additional Information (Detail) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | |||
Apr. 30, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
South American Joint Venture [Member] | ||||||
Investments in and Advances to Affiliates [Line Items] | ||||||
Percentage of ownership in joint venture partner | 50.00% | 50.00% | ||||
South American Joint Venture [Member] | ||||||
Investments in and Advances to Affiliates [Line Items] | ||||||
Percentage of ownership in joint ventures | 50.00% | |||||
Receivables contributed | $ 5.8 | |||||
Allowance for doubtful accounts | 3 | $ 3 | ||||
Fair value of additional investment in joint venture | 4.7 | |||||
Gain on book value of receivables | $ 1.9 | |||||
Other assets, impairment charges | $ 1.3 | $ 1.3 | ||||
Difference between cost of investment and amount of underlying equity in net assets | $ 4 | $ 4.4 | ||||
Estimated remaining useful life of underlying property, plant and equipment | 8 years | |||||
Amortization recognized | $ 0.4 | $ 0.5 | $ 0.4 | |||
Tigre-ADS USA [Member] | ||||||
Investments in and Advances to Affiliates [Line Items] | ||||||
Percentage of ownership in joint ventures | 49.00% | |||||
Other assets, impairment charges | $ 0.3 |
Investment in Unconsolidated _2
Investment in Unconsolidated Affiliates - Summarized Financial Data of Joint Ventures (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Investments in and Advances to Affiliates [Line Items] | ||
Investment in unconsolidated affiliates | $ 10,467 | $ 12,343 |
South American Joint Venture [Member] | ||
Investments in and Advances to Affiliates [Line Items] | ||
Investment in unconsolidated affiliates | 10,467 | 12,343 |
Receivable from unconsolidated joint venture | $ 504 | $ 817 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2018 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Related Party Transaction [Line Items] | ||||
BaySaver, purchase price | $ 8,821,000 | |||
South American Joint Venture [Member] | ||||
Related Party Transaction [Line Items] | ||||
Maximum borrowings permitted under credit facility | $ 22,000,000 | |||
Debt, expiration date | Dec. 31, 2020 | |||
Outstanding principal balance including letters of credit | $ 12,300,000 | $ 14,500,000 | ||
Percentage of debt guarantee | 50.00% | |||
Maximum potential payment under guarantee | $ 11,000,000 | |||
Sales with related parties | 1,300,000 | 2,100,000 | ||
Sale with joint ventures | 1,200,000 | 400,000 | ||
South American Joint Venture [Member] | US Dollar Denominated Loans [Member] | ||||
Related Party Transaction [Line Items] | ||||
Outstanding principal balance including letters of credit | $ 0 | |||
South American Joint Venture [Member] | Chilean Peso Denominated Loans [Member] | ||||
Related Party Transaction [Line Items] | ||||
Weighted average interest rate | 5.57% | |||
Tigre-ADS USA [Member] | ||||
Related Party Transaction [Line Items] | ||||
Purchases from related party | $ 300,000 | $ 2,000,000 | $ 1,600,000 | |
BaySaver [Member] | ||||
Related Party Transaction [Line Items] | ||||
Company's ownership percentage | 35.00% | |||
BaySaver, purchase price | $ 8,800,000 | |||
Tigre-ADS USA [Member] | ||||
Related Party Transaction [Line Items] | ||||
Company's ownership percentage | 49.00% | 49.00% | 49.00% | |
Consolidated Entity Excluding Variable Interest Entities (VIE) [Member] | ||||
Related Party Transaction [Line Items] | ||||
Maximum borrowings permitted under credit facility | $ 12,000,000 | |||
Revolving credit facility maturity date | Jun. 22, 2018 | |||
Debt, expiration date | Jun. 22, 2022 | |||
Outstanding principal balance including letters of credit | $ 0 | |||
Consolidated Entity Excluding Variable Interest Entities (VIE) [Member] | ADS Mexicana [Member] | ||||
Related Party Transaction [Line Items] | ||||
Percentage of ownership in joint venture | 49.00% |
Debt - Long-Term Debt (Detail)
Debt - Long-Term Debt (Detail) - USD ($) | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 |
Debt Instrument [Line Items] | |||
Total | $ 236,827,000 | $ 300,776,000 | |
Unamortized debt issuance costs | (2,293,000) | (3,028,000) | |
Current maturities | (25,932,000) | (26,848,000) | |
Long-term debt obligations | 208,602,000 | 270,900,000 | |
Revolving Credit Facility [Member] | ADS Mexicana [Member] | |||
Debt Instrument [Line Items] | |||
Revolving credit facility | $ 0 | ||
Equipment Financing [Member] | |||
Debt Instrument [Line Items] | |||
Revolving credit facility | 2,427,000 | 3,336,000 | |
ADS [Member] | Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Revolving credit facility | 134,400,000 | 171,500,000 | |
Senior Notes Payable [Member] | |||
Debt Instrument [Line Items] | |||
Senior notes | $ 100,000,000 | 125,000,000 | |
Industrial Revenue Bonds [Member] | |||
Debt Instrument [Line Items] | |||
Industrial revenue bonds | $ 940,000 |
Debt (Secured Bank Loans) - Add
Debt (Secured Bank Loans) - Additional Information (Detail) | Jun. 28, 2017USD ($) | Jun. 22, 2017USD ($) | Mar. 31, 2019USD ($)Covenant |
Debt Instrument [Line Items] | |||
Number of financial covenants | Covenant | 2 | ||
Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Maximum borrowings permitted under credit facility | $ 550,000,000 | ||
Line of credit facility, Increase | $ 150,000,000 | ||
Outstanding letters of credit | $ 8,500,000 | ||
Borrowing under line of credit facility | $ 407,100,000 | ||
Weighted average interest rate | 3.69% | ||
Credit agreement expiration date | Jun. 22, 2022 | ||
Secured Bank Loans [Member] | |||
Debt Instrument [Line Items] | |||
Number of financial covenants | Covenant | 2 | ||
Debt instrument, description | The Credit Agreement Leverage Ratio generally requires that at the end of any fiscal quarter, for the four fiscal quarters then ended, the Company will not permit the ratio of its total consolidated indebtedness to the Company’s Consolidated EBITDA (as defined in the Credit Agreement) to be greater than 4.00 to 1.00 (or 4.25 to 1.00 as of the date of any acquisitions permitted under the Credit Agreement for which the aggregate consideration is $100.0 million or greater). | ||
Secured Bank Loans [Member] | Interest Rate Swaps [Member] | LIBOR [Member] | |||
Debt Instrument [Line Items] | |||
Description of variable rate basis | 30-Day LIBOR | ||
Notional amount | $ 100,000,000 | ||
Fixed rate of interest | 1.8195% | ||
Maturity period | 5 years | ||
Secured Bank Loans [Member] | Minimum [Member] | |||
Debt Instrument [Line Items] | |||
Ratio of indebtedness | 400.00% | ||
Secured Bank Loans [Member] | Maximum [Member] | |||
Debt Instrument [Line Items] | |||
Ratio of indebtedness | 425.00% | ||
Aggregate consideration | $ 100,000 | ||
Ratio of EBITDA to Interest expense payable | 300.00% |
Debt (Senior Notes) - Additiona
Debt (Senior Notes) - Additional Information (Detail) | Jun. 28, 2017USD ($) | Jun. 22, 2017USD ($) | Mar. 31, 2019Covenant |
Debt Instrument [Line Items] | |||
Number of financial covenants | Covenant | 2 | ||
Secured Senior Notes [Member] | |||
Debt Instrument [Line Items] | |||
Debt instrument, description | The Private Self Agreement Leverage Ratio generally requires that at the end of any fiscal quarter, for the four fiscal quarters then ended, the Company will not permit the ratio of its total consolidated indebtedness to the Company’s Consolidated EBITDA (as defined in the Private Shelf Agreement) to be greater than 4.00 to 1.00 (or 4.25 to 1.00 as of the date of any acquisitions permitted under the Private Self Agreement for which the aggregate consideration is $100.0 million or greater). | ||
Secured Senior Notes [Member] | Shelf Notes [Member] | |||
Debt Instrument [Line Items] | |||
Maturity period | 7 years | ||
Principal amount | $ 75,000,000 | ||
Fixed rate of interest | 3.53% | ||
Debt instrument leverage fee | The rate is subject to an additional 100 basis point excess leverage fee if the calculated leverage ratio exceeds 3 to 1 at the end of a fiscal quarter. | ||
Excess leverage fee | 1.00% | ||
Secured Senior Notes [Member] | Maximum [Member] | |||
Debt Instrument [Line Items] | |||
Senior notes | $ 175,000,000 | ||
Ratio of indebtedness | 4.25% | ||
Aggregate consideration | $ 100,000,000 | ||
Ratio of EBITDA to Interest expense payable | 3.00% | ||
Secured Senior Notes [Member] | Minimum [Member] | |||
Debt Instrument [Line Items] | |||
Maturity period | 10 years | ||
Ratio of indebtedness | 4.00% | ||
Secured Senior Notes [Member] | Minimum [Member] | Shelf Notes [Member] | |||
Debt Instrument [Line Items] | |||
Calculated leverage ratio for additional fee | 300.00% |
Debt (Master Loan and Security
Debt (Master Loan and Security Agreement) - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Mar. 31, 2017 | Mar. 31, 2019 | Jun. 30, 2016 | |
Security Agreement for Equipment Financing [Member] | Maximum [Member] | |||
Debt Instrument [Line Items] | |||
Intercompany loans outstanding | $ 4,500,000 | ||
Equipment Notes [Member] | |||
Debt Instrument [Line Items] | |||
Equipment notes | $ 4,600,000 | ||
Weighted average fixed interest rate | 2.72% | ||
Aggregate loan amount | $ 4,200,000 | ||
Amortization period of the principal amount | 5 years | ||
Weighted average interest rate | 2.74% |
Debt (Secured Bank Term Loans)
Debt (Secured Bank Term Loans) - Additional Information (Detail) - USD ($) | 12 Months Ended | |||
Mar. 31, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Jun. 22, 2017 | |
Debt Instrument [Line Items] | ||||
Revolving credit facility interest rate | 2.61% | |||
Revolving Credit Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Revolving credit facility outstanding | $ 550,000,000 | |||
Line of credit facility expiration date | 2018-06 | |||
Revolving Credit Facility [Member] | ADS [Member] | ||||
Debt Instrument [Line Items] | ||||
Revolving credit facility outstanding | $ 325,000,000 | |||
Outstanding letters of credit | $ 134,400,000 | $ 171,500,000 | ||
Revolving Credit Facility [Member] | ADS Mexicana [Member] | ||||
Debt Instrument [Line Items] | ||||
Revolving credit facility outstanding | 12,000,000 | |||
Outstanding letters of credit | 0 | |||
Revolving Credit Facility [Member] | Term Loan Facility [Member] | ||||
Debt Instrument [Line Items] | ||||
Revolving credit facility outstanding | $ 100,000,000 | |||
Term loan maturity date | 2018-06 |
Debt (Senior Notes Payable) - A
Debt (Senior Notes Payable) - Additional Information (Detail) - Senior Notes Payable [Member] - USD ($) $ in Millions | 1 Months Ended | |
Jul. 31, 2013 | Dec. 31, 2009 | |
Debt Instrument [Line Items] | ||
Quarterly interest payable | 4.05% | 5.60% |
Senior notes | $ 25 | $ 75 |
Principal payment | $ 25 | |
Excess leverage fee | 2.00% | |
Calculated leverage ratio for additional fee | 300.00% | |
ADS [Member] | ||
Debt Instrument [Line Items] | ||
Senior Notes | $ 100 |
Debt (Industrial Revenue Bonds)
Debt (Industrial Revenue Bonds) - Additional Information (Detail) - Industrial Revenue Bonds [Member] $ in Millions | 12 Months Ended | ||||
Mar. 31, 2019USD ($)Facility | Mar. 31, 2015Bond | Mar. 31, 2011Bond | Mar. 31, 2018USD ($) | Mar. 31, 2017USD ($) | |
Debt Instrument [Line Items] | |||||
Number of production facilities | Facility | 4 | ||||
Principal payment | $ | $ 0.9 | $ 1.9 | $ 0.9 | ||
Nontaxable Municipal Bonds [Member] | |||||
Debt Instrument [Line Items] | |||||
Number of bonds retired | Bond | 1 | 2 |
Debt (ADS Mexicana Scotia Bank
Debt (ADS Mexicana Scotia Bank Revolving Credit Facility ) - Additional Information (Detail) - ADS Mexicana [Member] - Scotia Bank Revolving Credit Facility [Member] - USD ($) $ in Millions | Dec. 11, 2017 | Dec. 11, 2014 |
Debt Instrument [Line Items] | ||
Revolving credit facility maturity date | Dec. 11, 2017 | |
Current borrowing capacity | $ 5 | |
Outstanding letters of credit | $ 0 | |
LIBOR [Member] | ||
Debt Instrument [Line Items] | ||
Interest percentage | 1.60% |
Debt - Maturities of Long-term
Debt - Maturities of Long-term Debt (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Debt Disclosure [Abstract] | ||
2019 | $ 25,932 | |
2020 | 963 | |
2021 | 532 | |
2022 | 134,400 | |
Thereafter | 75,000 | |
Total | $ 236,827 | $ 300,776 |
Derivative Transactions - Summa
Derivative Transactions - Summary of Fair Values for Various Derivatives (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Receivables [Member] | Diesel Fuel Option Collars and Swaps [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Asset | $ 127 | $ 573 |
Receivables [Member] | Interest Rate Swaps [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Asset | 566 | 311 |
Other Assets [Member] | Diesel Fuel Option Collars and Swaps [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Asset | 62 | 23 |
Other Assets [Member] | Interest Rate Swaps [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Asset | 522 | 2,490 |
Other Accrued Liabilities [Member] | Diesel Fuel Option Collars and Swaps [Member] | ||
Derivatives, Fair Value [Line Items] | ||
(Liability) | (201) | (78) |
Other Accrued Liabilities [Member] | Foreign Exchange Forward Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
(Liability) | (60) | |
Other Liabilities [Member] | Diesel Fuel Option Collars and Swaps [Member] | ||
Derivatives, Fair Value [Line Items] | ||
(Liability) | $ (82) | $ (38) |
Derivative Transactions - Sched
Derivative Transactions - Schedule of Cash Settlements and Net Losses and Net (Gains) on Mark-to-Market Adjustments for Changes in Fair Value of Derivative Contracts (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Derivatives, Fair Value [Line Items] | |||
Total net unrealized mark to market losses (gains) | $ 2,346 | $ (3,244) | $ (10,921) |
Total net realized losses (gains) | (1,190) | (476) | 8,564 |
Interest Rate Swaps [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Total net unrealized mark to market losses (gains) | 1,712 | (2,801) | (252) |
Total net realized losses (gains) | (329) | ||
Foreign Exchange Forward Contracts [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Total net unrealized mark to market losses (gains) | 60 | ||
Total net realized losses (gains) | (163) | ||
Diesel Fuel Option Collars [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Total net unrealized mark to market losses (gains) | 574 | (443) | (2,642) |
Total net realized losses (gains) | $ (698) | $ (476) | 1,893 |
Propylene Swaps [Member] | |||
Derivatives, Fair Value [Line Items] | |||
Total net unrealized mark to market losses (gains) | (8,027) | ||
Total net realized losses (gains) | $ 6,671 |
Commitments and Contingencies (
Commitments and Contingencies (Purchase Commitments) - Additional Information (Detail) - Inventory [Member] $ in Millions | 12 Months Ended |
Mar. 31, 2019USD ($) | |
Purchase Commitment, Excluding Long-term Commitment [Line Items] | |
Purchase contracts period range, start | 1 month |
Purchase contracts period range, end | 12 months |
Total purchase commitment | $ 17.6 |
Commitments and Contingencies_2
Commitments and Contingencies (Litigation and Other Proceedings) - Additional Information (Detail) $ in Millions | 12 Months Ended |
Mar. 31, 2019USD ($) | |
Federal Securities Laws Violation [Member] | |
Purchase Commitment, Excluding Long-term Commitment [Line Items] | |
Payment of penalties for legal fees and expenses | $ 1 |
Employee Benefit Plans - Additi
Employee Benefit Plans - Additional Information (Detail) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2018 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||
Average fair value of shares allocated under ESOP, per share | $ 19.95 | $ 18.40 | $ 16.58 | |
Compensation expense related to allocation of ESOP shares | $ 15,300,000 | $ 11,700,000 | $ 9,600,000 | |
Trustee retained for dividends on unallocated ADS shares | 3,300,000 | 3,200,000 | 2,900,000 | |
Defined contribution postretirement benefit plan, costs recognized | 400,000 | 700,000 | 800,000 | |
Profit-Sharing Plan [Member] | ||||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||
Contribution to the profit sharing plan | 0 | 0 | 0 | |
Other Liabilities [Member] | Executive Retirement Expense [Member] | ||||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||
Executive termination payment obligation | 4,300,000 | 6,100,000 | ||
General and Administrative Expenses [Member] | Executive Retirement Expense [Member] | ||||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||
Compensation expense (benefit) | $ (200,000) | $ 1,500,000 | $ 1,100,000 | |
Redeemable Convertible Preferred Stock [Member] | ||||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||
Fair value of shares allocated under ESOP, per share | $ 19.90 | $ 20 | $ 16.80 | |
Preferred stock, redemption value per share | $ 0.7818 | |||
Preferred stock, unpaid cumulative dividends | $ 0 | |||
Preferred stock, dividend rate percentage | 2.50% | 2.50% | ||
Redeemable convertible preferred stock liquidation | $ 0.7818 | |||
Convertible preferred stock, converted to common stock | 0.7692 | |||
Dividend to be paid | Mar. 31, 2019 | |||
Dividend record date | Mar. 15, 2019 | |||
Employee stock ownership plan number of shares approved by the board of directors to the plan | 800,000 | 600,000 | ||
Employee stock ownership plan allocated as shares | 7,392,000 | 7,437,000 | ||
Redeemable Convertible Preferred Stock [Member] | Dividend Declared [Member] | ||||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||
Employee stock ownership plan allocated as shares | 100,000 | 100,000 | ||
Employee Stock Ownership Plan (ESOP) [Member] | ||||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||
Number of days, share of redeemable convertible preferred stock converted into common stock following repayment of the ESOP Loan | 30 days | |||
Employee stock ownership plan participation description | Employees of ADS who have reached the age of 18 are generally eligible to participate in the Plan on March 31 after six months of service. | |||
Employee stock ownership plan stock ownership description | Upon attainment of age 50 and seven years of participation in the Plan, a participant may elect to diversify specified percentages of the number of shares of ADS stock credited to the participant’s ESOP stock account in compliance with applicable law. | |||
Employee Stock Ownership Plan (ESOP) [Member] | ADS [Member] | ||||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | ||||
Debt instrument, term | 30 years |
Employee Benefit Plans - Summar
Employee Benefit Plans - Summarized Cash and Stock Dividends on Allocated Redeemable Convertible Preferred Stock (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | |||
Dividend | $ 134 | $ 134 | $ 134 |
Redeemable Convertible Preferred Stock [Member] | |||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | |||
Total cash dividends | 1,913 | 1,724 | |
Total ESOP required dividends | $ 144 | $ 145 | |
Allocated shares | 7,392 | 7,437 | |
Required dividend per share | $ 0.0195 | $ 0.0195 | |
Redeemable Convertible Preferred Stock [Member] | Quarterly Cash Dividends [Member] | |||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | |||
Total cash dividends | $ 1,903 | $ 1,713 | |
Redeemable Convertible Preferred Stock [Member] | Annual Cash Dividend [Member] | |||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | |||
Total cash dividends | 10 | 11 | |
Annual cash dividend | 10 | 11 | |
Redeemable Convertible Preferred Stock [Member] | Annual Stock Dividend | |||
Employee Stock Ownership Plan (ESOP) Disclosures [Line Items] | |||
Dividend | $ 134 | $ 134 |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Stock-based Compensation Expense (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total stock-based compensation expense | $ 6,532 | $ 7,121 | $ 8,307 |
Non-Employee Director [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total stock-based compensation expense | 1,049 | 1,232 | 1,318 |
Liability-Classified Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total stock-based compensation expense | 4,936 | ||
Equity-Classified Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total stock-based compensation expense | 2,550 | 4,148 | 108 |
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total stock-based compensation expense | 2,064 | 1,741 | 1,945 |
Performance-based Restricted Stock Units [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total stock-based compensation expense | 869 | ||
Cost of Goods Sold [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total stock-based compensation expense | 317 | 179 | 177 |
Selling Expenses [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total stock-based compensation expense | 180 | 105 | 177 |
General and Administrative Expenses [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | |||
Total stock-based compensation expense | $ 6,035 | $ 6,837 | $ 7,953 |
Stock-Based Compensation (Stock
Stock-Based Compensation (Stock Options) - Additional Information (Detail) $ in Thousands | 12 Months Ended | |||
Mar. 31, 2019USD ($)Installmentshares | Mar. 31, 2018USD ($)shares | Mar. 31, 2017USD ($)shares | Apr. 01, 2017USD ($) | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Paid-in capital | $ 391,039 | $ 364,908 | $ 13,700 | |
2000 Stock Option Plan [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Fair value of options vested | shares | 0 | 0 | 0 | |
Weighted average fair value of options granted | shares | 0 | 0 | 0 | |
Aggregate intrinsic value of options outstanding | $ 900 | |||
Aggregate intrinsic value of options exercisable | 400 | |||
Intrinsic value of options exercised | 800 | $ 500 | $ 3,700 | |
2000 Stock Option Plan [Member] | Liability-Classified Stock Options [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock-based awards, unrecognized compensation expense | $ 200 | |||
Unrecognized compensation cost, weighted average service period for recognition | 2 years 3 months 18 days | |||
2000 Stock Option Plan [Member] | Liability-Classified Stock Options [Member] | Management [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock awards, expiration period | 10 years | |||
Stock awards, number of annual installments for vesting | Installment | 3 | |||
Stock based awards, shares available for grant | shares | 0 | |||
2013 Stock Option Plan [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock based awards, shares available for grant | shares | 0 | |||
Stock-based awards, unrecognized compensation expense | $ 800 | |||
Unrecognized compensation cost, weighted average service period for recognition | 1 year 1 month 6 days | |||
Fair value of options vested | shares | (305,000) | |||
Weighted average fair value of options granted | shares | 0 | |||
2013 Stock Option Plan [Member] | Management [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock awards, expiration period | 10 years | |||
2013 Stock Option Plan [Member] | Management [Member] | Minimum [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock awards, number of annual installments for vesting | Installment | 3 | |||
2013 Stock Option Plan [Member] | Management [Member] | Maximum [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Stock awards, number of annual installments for vesting | Installment | 5 | |||
2013 Stock Option Plan [Member] | Liability-Classified Stock Options [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Aggregate intrinsic value of options outstanding | $ 10,000 | |||
Aggregate intrinsic value of options exercisable | 9,800 | |||
Intrinsic value of options exercised | 4,400 | |||
Intrinsic value of options vested | $ 2,600 | $ 4,700 | $ 3,400 |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of Assumption Used in Estimate Fair Value of Stock Options (Detail) - $ / shares | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Expected stock price volatility, minimum | 30.30% | 32.10% | 29.60% |
Expected stock price volatility, maximum | 31.10% | 35.60% | 33.00% |
Risk-free interest rate, minimum | 2.90% | 1.90% | 0.90% |
Risk-free interest rate, maximum | 3.10% | 2.20% | 1.90% |
Weighted-average expected option life (years) | 6 years | ||
Dividend yield | 0.90% | ||
Minimum [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Common stock price | $ 25.75 | $ 19.35 | $ 18.70 |
Weighted-average expected option life (years) | 5 years 7 months 6 days | 6 months | |
Dividend yield | 1.10% | 1.10% | |
Maximum [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Common stock price | $ 27.99 | $ 22.95 | $ 28.17 |
Weighted-average expected option life (years) | 6 years | 5 years 1 month 6 days | |
Dividend yield | 1.20% | 1.50% |
Stock-Based Compensation - Sche
Stock-Based Compensation - Schedule of Stock Option Activity (Detail) - $ / shares | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
2000 Stock Option Plan [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Number of Shares, Outstanding, Beginning Balance | 135,000 | ||
Number of Shares, Granted | 0 | 0 | 0 |
Number of Shares, Exercised | (53,000) | ||
Number of Shares, Forfeited | 0 | ||
Number of Shares, Outstanding, Ending Balance | 82,000 | 135,000 | |
Number of Shares, Vested at end of year | 28,000 | ||
Number of Shares, Unvested at end of year | 54,000 | 54,000 | |
Number of Shares, Vested and expected to vest at end of year | 0 | ||
Weighted Average Exercise Price, Outstanding, Beginning Balance | $ 13.85 | ||
Weighted Average Exercise Price, Granted | 0 | ||
Weighted Average Exercise Price, Exercised | 12.64 | ||
Weighted Average Exercise Price, Forfeited | 0 | ||
Weighted Average Exercise Price, Outstanding, Ending Balance | 14.64 | $ 13.85 | |
Weighted Average Exercise Price, Vested at end of period | 12.56 | ||
Weighted Average Exercise Price, Unvested at end of year | 15.74 | ||
Weighted Average Exercise Price, Fair value of options granted during the year | $ 0 | ||
Weighted Average Remaining Contractual Term (in years), Outstanding | 4 years 3 months 18 days | 4 years 9 months 18 days | |
Weighted Average Remaining Contractual Term (in years), Vested at end of year | 3 years 1 month 6 days | ||
Weighted Average Remaining Contractual Term (in years), Unvested at end of year | 5 years | ||
2013 Stock Option Plan [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Number of Shares, Outstanding, Beginning Balance | 1,502,000 | ||
Number of Shares, Granted | 0 | ||
Number of Shares, Exercised | (368,000) | ||
Number of Shares, Forfeited | (14,000) | ||
Number of Shares, Outstanding, Ending Balance | 1,120,000 | 1,502,000 | |
Number of Shares, Vested at end of year | 999,000 | ||
Number of Shares, Unvested at end of year | 121,000 | 439,000 | |
Number of Shares, Vested and expected to vest at end of year | 0 | ||
Weighted Average Exercise Price, Outstanding, Beginning Balance | $ 16.27 | ||
Weighted Average Exercise Price, Granted | 0 | ||
Weighted Average Exercise Price, Exercised | 14.57 | ||
Weighted Average Exercise Price, Forfeited | 17.31 | ||
Weighted Average Exercise Price, Outstanding, Ending Balance | 16.81 | $ 16.27 | |
Weighted Average Exercise Price, Vested at end of period | 15.91 | ||
Weighted Average Exercise Price, Unvested at end of year | 24.17 | ||
Weighted Average Exercise Price, Fair value of options granted during the year | $ 0 | ||
Weighted Average Remaining Contractual Term (in years), Outstanding | 4 years 10 months 24 days | 5 years 10 months 24 days | |
Weighted Average Remaining Contractual Term (in years), Vested at end of year | 4 years 7 months 6 days | ||
Weighted Average Remaining Contractual Term (in years), Unvested at end of year | 7 years | ||
2017 Omnibus Plan [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Number of Shares, Outstanding, Beginning Balance | 198,000 | ||
Number of Shares, Granted | 259,000 | ||
Number of Shares, Outstanding, Ending Balance | 457,000 | 198,000 | |
Number of Shares, Vested at end of year | 69,000 | ||
Number of Shares, Unvested at end of year | 388,000 | 198,000 | |
Number of Shares, Vested and expected to vest at end of year | 0 | ||
Weighted Average Exercise Price, Outstanding, Beginning Balance | $ 19.75 | ||
Weighted Average Exercise Price, Granted | 25.82 | ||
Weighted Average Exercise Price, Outstanding, Ending Balance | 23.19 | $ 19.75 | |
Weighted Average Exercise Price, Vested at end of period | 20.03 | ||
Weighted Average Exercise Price, Unvested at end of year | 23.75 | ||
Weighted Average Exercise Price, Fair value of options granted during the year | $ 7.84 | ||
Weighted Average Remaining Contractual Term (in years), Outstanding | 8 years 10 months 24 days | 9 years 4 months 24 days | |
Weighted Average Remaining Contractual Term (in years), Vested at end of year | 8 years 6 months | ||
Weighted Average Remaining Contractual Term (in years), Unvested at end of year | 8 years 10 months 24 days |
Stock-Based Compensation - Su_3
Stock-Based Compensation - Summary of Unvested Stock Option Grants (Detail) - $ / shares | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
2000 Stock Option Plan [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Number of Shares, Unvested at beginning of year | 54,000 | ||
Number of Shares, Granted | 0 | 0 | 0 |
Number of Shares, Vested | 0 | 0 | 0 |
Number of Shares, Forfeitures | 0 | ||
Number of Shares, Unvested at end of year | 54,000 | 54,000 | |
Weighted Average Grant Date Fair Value, Unvested at beginning of year | $ 6.76 | ||
Weighted Average Grant Date Fair Value, Granted | 0 | ||
Weighted Average Grant Date Fair Value, Vested | 0 | ||
Weighted Average Grant Date Fair Value, Forfeitures | 0 | ||
Weighted Average Grant Date Fair Value, Unvested at end of year | $ 6.76 | $ 6.76 | |
2013 Stock Option Plan [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Number of Shares, Unvested at beginning of year | 439,000 | ||
Number of Shares, Granted | 0 | ||
Number of Shares, Vested | (305,000) | ||
Number of Shares, Forfeitures | (13,000) | ||
Number of Shares, Unvested at end of year | 121,000 | 439,000 | |
Weighted Average Grant Date Fair Value, Unvested at beginning of year | $ 8.42 | ||
Weighted Average Grant Date Fair Value, Granted | 0 | ||
Weighted Average Grant Date Fair Value, Vested | 8.63 | ||
Weighted Average Grant Date Fair Value, Forfeitures | 8.77 | ||
Weighted Average Grant Date Fair Value, Unvested at end of year | $ 7.68 | $ 8.42 | |
2017 Omnibus Plan [Member] | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Number of Shares, Unvested at beginning of year | 198,000 | ||
Number of Shares, Granted | 259,000 | ||
Number of Shares, Vested | (69,000) | ||
Number of Shares, Unvested at end of year | 388,000 | 198,000 | |
Weighted Average Grant Date Fair Value, Unvested at beginning of year | $ 5.94 | ||
Weighted Average Grant Date Fair Value, Granted | 7.84 | ||
Weighted Average Grant Date Fair Value, Vested | 6.03 | ||
Weighted Average Grant Date Fair Value, Unvested at end of year | $ 7.19 | $ 5.94 |
Stock-Based Compensation (2008
Stock-Based Compensation (2008 Restricted Stock Plan) - Additional Information (Detail) - 2008 Restricted Stock Plan [Member] - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Stock-based awards, vesting period | 5 years | ||
Stock based awards, shares available for grant | 0 | ||
Unrecognized compensation expense | $ 0.9 | ||
Unrecognized compensation cost, weighted average service period for recognition | 1 year 1 month 6 days | ||
Weighted average fair value of options granted | $ 22.15 | $ 24.20 | |
Intrinsic value of options vested | $ 1.4 | $ 2.9 | $ 1.2 |
Stock-Based Compensation - Su_4
Stock-Based Compensation - Summary of Unvested Restricted Stock Grants (Detail) shares in Thousands | 12 Months Ended |
Mar. 31, 2019$ / sharesshares | |
2008 Restricted Stock Plan [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Number of Shares, Unvested at beginning of year | shares | 101 |
Number of shares, Granted | shares | 0 |
Number of Shares, Vested | shares | (55) |
Number of Shares, Forfeited | shares | (2) |
Number of Shares, Unvested at end of year | shares | 44 |
Weighted Average Grant Date Fair Value, Unvested at beginning of year | $ / shares | $ 22.95 |
Weighted Average Grant Date Fair Value, Granted | $ / shares | 0 |
Weighted Average Grant Date Fair Value, Vested | $ / shares | 21.88 |
Weighted Average Grant Date Fair Value, Forfeited | $ / shares | 24.20 |
Weighted Average Grant Date Fair Value, Unvested at end of year | $ / shares | $ 24.17 |
2017 Omnibus Plan [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Number of Shares, Unvested at beginning of year | shares | 108 |
Number of shares, Granted | shares | 134 |
Number of Shares, Vested | shares | (69) |
Number of Shares, Forfeited | shares | (1) |
Number of Shares, Unvested at end of year | shares | 172 |
Weighted Average Grant Date Fair Value, Unvested at beginning of year | $ / shares | $ 19.91 |
Weighted Average Grant Date Fair Value, Granted | $ / shares | 26.59 |
Weighted Average Grant Date Fair Value, Vested | $ / shares | 20.08 |
Weighted Average Grant Date Fair Value, Forfeited | $ / shares | 25.75 |
Weighted Average Grant Date Fair Value, Unvested at end of year | $ / shares | $ 25.02 |
Stock-Based Compensation (2017
Stock-Based Compensation (2017 Omnibus Plan) - Additional Information (Detail) - USD ($) | 12 Months Ended | |||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | May 24, 2017 | |
Performance Shares [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Intrinsic value of options vested | $ 0 | $ 0 | ||
2017 Omnibus Plan [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Shares available for awards | 2,700,000 | |||
Stock-based awards, unrecognized compensation expense | $ 2,000,000 | |||
Unrecognized compensation cost, weighted average service period for recognition | 2 years | |||
Aggregate intrinsic value of options outstanding | $ 1,200,000 | |||
Aggregate intrinsic value of options exercisable | 400,000 | |||
Intrinsic value of options exercised | $ 0 | |||
Number of Shares, Vested | 69,000 | |||
Share-based compensation award description | the performance units, 50% of the award is based upon the achievement of certain levels of Return on Invested Capital for the performance period and 50% is based upon the achievement of certain levels of Free Cash Flow for the performance period. | |||
Performance awards performance period | 3 years | |||
Weighted average fair value of options granted | $ 7.84 | |||
2017 Omnibus Plan [Member] | Restricted Stock [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Unrecognized compensation cost, weighted average service period for recognition | 1 year 9 months 18 days | |||
Unrecognized compensation expense | $ 2,600,000 | |||
Intrinsic value of options vested | $ 2,000,000 | |||
Number of Shares, Vested | 0 | 0 | ||
2017 Omnibus Plan [Member] | Performance Shares [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Unrecognized compensation cost, weighted average service period for recognition | 2 years | |||
Unrecognized compensation expense | $ 2,200,000 | |||
Intrinsic value of options vested | $ 100,000 | |||
Weighted average fair value of options granted | $ 25.84 | |||
2017 Omnibus Plan [Member] | Maximum [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Common stock approved for issuance | 3,500,000 |
Stock-Based Compensation - Su_5
Stock-Based Compensation - Summary of Performance Units Granted (Detail) - 2017 Omnibus Plan [Member] shares in Thousands | 12 Months Ended |
Mar. 31, 2019$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Number of Shares, Unvested at beginning of year | shares | 108 |
Number of shares, Granted | shares | 134 |
Number of Shares, Vested | shares | (69) |
Number of Shares, Forfeited | shares | (1) |
Number of Shares, Unvested at end of year | shares | 172 |
Weighted Average Grant Date Fair Value, Unvested at beginning of year | $ / shares | $ 19.91 |
Weighted Average Grant Date Fair Value, Granted | $ / shares | 26.59 |
Weighted Average Grant Date Fair Value, Vested | $ / shares | 20.08 |
Weighted Average Grant Date Fair Value, Forfeited | $ / shares | 25.75 |
Weighted Average Grant Date Fair Value, Unvested at end of year | $ / shares | $ 25.02 |
Performance Shares [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Number of Shares, Unvested at beginning of year | shares | 0 |
Number of shares, Granted | shares | 117 |
Number of Shares, Vested | shares | (2) |
Number of Shares, Unvested at end of year | shares | 115 |
Weighted Average Grant Date Fair Value, Unvested at beginning of year | $ / shares | $ 0 |
Weighted Average Grant Date Fair Value, Granted | $ / shares | 25.84 |
Weighted Average Grant Date Fair Value, Vested | $ / shares | 25.75 |
Weighted Average Grant Date Fair Value, Unvested at end of year | $ / shares | $ 25.85 |
Income Taxes - Components of In
Income Taxes - Components of Income before Income Taxes (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
United States | $ 103,559 | $ 72,109 | $ 59,543 |
Foreign | 8,051 | 4,833 | 5,288 |
Income before income taxes | $ 111,610 | $ 76,942 | $ 64,831 |
Income Taxes - Components of _2
Income Taxes - Components of Income Tax Expense (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Current: | |||
Federal | $ 11,575 | $ 17,107 | $ 24,318 |
State and local | 3,998 | 3,541 | 4,652 |
Foreign | 2,050 | 2,242 | 3,040 |
Total current tax expense | 17,623 | 22,890 | 32,010 |
Deferred: | |||
Federal | 11,745 | (11,236) | (5,887) |
State and local | 1,795 | (55) | (1,297) |
Foreign | (1,114) | (188) | (211) |
Total deferred tax expense (benefit) | 12,426 | (11,479) | (7,395) |
Total Income tax expense | $ 30,049 | $ 11,411 | $ 24,615 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Effective Tax Rate and Statutory Federal Income Tax Rate (Detail) | 12 Months Ended | ||||
Mar. 31, 2019 | Dec. 31, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||||
Federal statutory rate | 21.00% | 21.00% | 31.50% | 35.00% | 35.00% |
ESOP stock appreciation | 3.20% | 5.40% | 4.10% | ||
Effect of tax rate of foreign subsidiaries | (0.30%) | 0.70% | 1.30% | ||
State and local taxes—net of federal income tax benefit | 4.60% | 3.60% | 4.10% | ||
Uncertain tax position change | (1.30%) | 0.30% | (1.10%) | ||
Impact of tax reform | (19.40%) | ||||
Return to provision - federal and state | (0.20%) | (5.00%) | 1.10% | ||
Qualified production activity deduction | (2.50%) | (3.30%) | |||
Closure of Puerto Rico | (4.20%) | ||||
Executive compensation | 1.10% | 0.10% | |||
Credits and incentives | (1.00%) | (0.50%) | |||
Other | (0.20%) | 0.60% | 1.00% | ||
Effective rate | 26.90% | 14.80% | 38.00% |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||||
Mar. 31, 2019 | Dec. 31, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | Mar. 31, 2016 | |
Income Taxes [Line Items] | ||||||
Change in corporate income taxes | 21.00% | 21.00% | 31.50% | 35.00% | 35.00% | |
Total deferred tax benefit | $ 16,000 | |||||
Deferred tax expense (benefit) | $ 400 | |||||
Total deferred tax benefit | 15,600 | |||||
Undistributed earnings on foreign subsidiaries | 26,500 | |||||
Provisional income tax expense | 5,200 | |||||
U.S federal taxes | 700 | 1,000 | ||||
Income tax benefit | 600 | |||||
Transition tax expense | 4,600 | |||||
Unrecognized tax benefit that would decrease income tax expense | 5,681 | 7,593 | $ 6,196 | $ 7,998 | ||
Decrease in unrecognized tax benefit related to income tax expense | 5,700 | |||||
Accrued interest and penalties related to unrecognized tax benefits | 1,500 | $ 2,100 | ||||
Maximum [Member] | ||||||
Income Taxes [Line Items] | ||||||
Increase in unrecognized tax benefits is reasonably possible | 2,600 | |||||
Other Accrued Liabilities [Member] | ||||||
Income Taxes [Line Items] | ||||||
Short-term portion of unrecognized tax benefit | $ 2,600 |
Income Taxes - Deferred Tax Ass
Income Taxes - Deferred Tax Assets and Deferred Tax Liabilities (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Deferred tax assets: | ||
State income taxes | $ 1,457 | $ 1,126 |
ESOP loan repayment | 917 | 891 |
Receivable and other allowances | 1,597 | 1,696 |
Inventory | 2,404 | 3,558 |
Non-qualified stock options | 3,324 | 3,596 |
Executive termination payments (Note 16) | 674 | 1,299 |
Worker’s compensation | 2,153 | 732 |
Other | 2,570 | 2,886 |
Total deferred tax assets | 15,096 | 15,784 |
Less: valuation allowance | (281) | (26) |
Total net deferred tax assets | 14,815 | 15,758 |
Deferred tax liabilities: | ||
Intangible assets | 1,647 | 4,254 |
Property, plant and equipment | 53,676 | 38,181 |
Goodwill | 4,255 | 3,698 |
Other | 862 | 1,814 |
Total deferred tax liabilities | 60,440 | 47,947 |
Net deferred tax liability | $ 45,625 | $ 32,189 |
Income Taxes - Net Deferred Tax
Income Taxes - Net Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 |
Income Tax Disclosure [Abstract] | ||
Net non-current deferred tax assets | $ 338 | $ 115 |
Net non-current deferred tax liabilities | $ 45,963 | $ 32,304 |
Income Taxes - Unrecognized Tax
Income Taxes - Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
Balance at beginning of year | $ 7,593 | $ 6,196 | $ 7,998 |
Tax positions taken in current year | 164 | 81 | |
Decreases in tax positions for prior years | (198) | (1,786) | |
Increases in tax positions for prior years | 136 | 5,108 | 80 |
Settlements | (200) | ||
Lapse of statute of limitations | (1,595) | (3,940) | (96) |
Decrease in foreign translation adjustment | (219) | ||
Increase in foreign translation adjustment | 148 | ||
Balance at end of year | $ 5,681 | $ 7,593 | $ 6,196 |
Net Income Per Share and Stoc_3
Net Income Per Share and Stockholders' Equity - Summary of Net Income Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
NET INCOME PER SHARE — BASIC: | |||||||||||
Net income attributable to ADS | $ 1,010 | $ 15,812 | $ 28,670 | $ 32,280 | $ (5,703) | $ 32,105 | $ 17,863 | $ 17,742 | $ 77,772 | $ 62,007 | $ 32,950 |
Accretion of redeemable noncontrolling interest in subsidiaries | (1,560) | ||||||||||
Dividends paid to redeemable convertible preferred stockholders | (2,047) | (1,858) | (1,646) | ||||||||
Dividends paid to unvested restricted stockholders | (69) | (49) | (73) | ||||||||
Net income available to common stockholders and participating securities | 75,656 | 60,100 | 29,671 | ||||||||
Undistributed income allocated to participating securities | (5,474) | (4,514) | (1,700) | ||||||||
Net income available to common stockholders — Basic | $ 70,182 | $ 55,586 | $ 27,971 | ||||||||
Weighted average number of common shares outstanding — Basic | 57,025 | 55,696 | 54,919 | ||||||||
Net income per common share — Basic | $ 0.01 | $ 0.25 | $ 0.45 | $ 0.51 | $ (0.11) | $ 0.52 | $ 0.29 | $ 0.29 | $ 1.23 | $ 1 | $ 0.51 |
NET INCOME PER SHARE — DILUTED: | |||||||||||
Net income available to common stockholders — Diluted | $ 70,182 | $ 55,586 | $ 27,971 | ||||||||
Weighted average number of common shares outstanding — Basic | 57,025 | 55,696 | 54,919 | ||||||||
Weighted average number of common shares outstanding — Diluted | 57,611 | 56,334 | 55,624 | ||||||||
Net income per common share — Diluted | $ 0.01 | $ 0.25 | $ 0.45 | $ 0.51 | $ (0.11) | $ 0.51 | $ 0.29 | $ 0.28 | $ 1.22 | $ 0.99 | $ 0.50 |
Potentially dilutive securities excluded as anti- dilutive | 5,966 | 6,167 | 6,228 | ||||||||
Restricted Stock - Nonparticipating [Member] | |||||||||||
NET INCOME PER SHARE — DILUTED: | |||||||||||
Effect of dilutive securities | 39 | ||||||||||
Exercise of Stock Options [Member] | |||||||||||
NET INCOME PER SHARE — DILUTED: | |||||||||||
Effect of dilutive securities | 547 | 638 | 705 |
Net Income Per Share and Stoc_4
Net Income Per Share and Stockholders' Equity - Additional Information (Detail) - USD ($) shares in Thousands, $ in Millions | Nov. 01, 2017 | Mar. 31, 2018 | Mar. 31, 2019 | Feb. 28, 2017 |
Equity Class Of Treasury Stock [Line Items] | ||||
Stock repurchase program amount authorized | $ 50 | |||
Common Stock [Member] | ||||
Equity Class Of Treasury Stock [Line Items] | ||||
Common stock repurchases, Shares | 400 | |||
Repurchases of common stock | $ 7.9 | |||
Stock repurchase program amount authorized | $ 42.1 | |||
Treasury stock retired | 97,700 | 97,745 |
Other Accrued Liabilities - Sch
Other Accrued Liabilities - Schedule of Other Accrued Liabilities (Detail) - USD ($) $ in Thousands | Mar. 31, 2019 | Mar. 31, 2018 | |
Payables And Accruals [Abstract] | |||
Accrued compensation and benefits | [1] | $ 18,108 | $ 17,980 |
Accrued rebate liability | [2] | 12,313 | 12,938 |
Self-insurance accruals | 11,697 | 12,439 | |
Other | 19,783 | 17,203 | |
Total accrued liabilities | $ 61,901 | $ 60,560 | |
[1] | Accrued compensation and benefits is primarily comprised of accrued payroll, bonuses and commissions. | ||
[2] | Accrued rebate liability represents the Company’s estimated rebates to be paid to customers. |
Business Segment Information -
Business Segment Information - Additional Information (Detail) | 12 Months Ended |
Mar. 31, 2019Segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 2 |
Number of operating segments | 2 |
Business Segment Information _2
Business Segment Information - Schedule of Revenue from Reportable Segments by Product Type (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Segment Reporting Information [Line Items] | |||||||||||
Net sales | $ 272,218 | $ 318,113 | $ 406,555 | $ 387,847 | $ 250,114 | $ 320,832 | $ 401,049 | $ 358,359 | $ 1,384,733 | $ 1,330,354 | $ 1,257,261 |
Domestic [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 1,224,131 | 1,174,432 | 1,102,236 | ||||||||
Domestic [Member] | Pipe [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 868,805 | 844,875 | 794,807 | ||||||||
Domestic [Member] | Allied Products [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 355,326 | 329,557 | 307,429 | ||||||||
International Segment [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 160,602 | 155,922 | 155,025 | ||||||||
International Segment [Member] | Pipe [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | 122,836 | 119,207 | 122,724 | ||||||||
International Segment [Member] | Allied Products [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net sales | $ 37,766 | $ 36,715 | $ 32,301 |
Business Segment Information _3
Business Segment Information - Schedule of Additional Financial Information Attributable to Reportable Segments (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Segment Reporting Information [Line Items] | |||
Segment Adjusted EBITDA | $ 231,960 | $ 210,230 | $ 193,371 |
Interest expense | 18,618 | 15,262 | 17,467 |
Income tax expense | 30,049 | 11,411 | 24,615 |
Depreciation and amortization | 71,900 | 75,003 | 72,355 |
Equity in net (loss) income of unconsolidated affiliates | (95) | (739) | (4,308) |
Capital expenditures | 43,412 | 41,709 | 46,676 |
Investments in unconsolidated affiliates | 10,467 | 12,343 | |
Total identifiable assets | 1,042,159 | 1,043,242 | |
Intersegment Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Total identifiable assets | (4,732) | (4,298) | |
Domestic [Member] | |||
Segment Reporting Information [Line Items] | |||
Segment Adjusted EBITDA | 209,234 | 191,629 | 175,676 |
Interest expense | 18,352 | 14,929 | 17,049 |
Income tax expense | 28,816 | 9,199 | 21,786 |
Depreciation and amortization | 64,450 | 66,978 | 63,747 |
Equity in net (loss) income of unconsolidated affiliates | (2,427) | (505) | |
Capital expenditures | 39,647 | 39,562 | 39,642 |
Total identifiable assets | 918,806 | 904,718 | |
International Segment [Member] | |||
Segment Reporting Information [Line Items] | |||
Segment Adjusted EBITDA | 22,726 | 18,601 | 17,695 |
Interest expense | 266 | 333 | 418 |
Income tax expense | 1,233 | 2,212 | 2,829 |
Depreciation and amortization | 7,450 | 8,025 | 8,608 |
Equity in net (loss) income of unconsolidated affiliates | (95) | 1,688 | (3,803) |
Capital expenditures | 3,765 | 2,147 | $ 7,034 |
Investments in unconsolidated affiliates | 10,467 | 12,343 | |
Total identifiable assets | $ 128,085 | $ 142,822 |
Business Segment Information _4
Business Segment Information - Schedule of Reconciliation of Segment Adjusted EBITDA to Net Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Net income attributable to ADS | $ 1,010 | $ 15,812 | $ 28,670 | $ 32,280 | $ (5,703) | $ 32,105 | $ 17,863 | $ 17,742 | $ 77,772 | $ 62,007 | $ 32,950 |
Interest expense | 18,618 | 15,262 | 17,467 | ||||||||
Income tax expense | 30,049 | 11,411 | 24,615 | ||||||||
Derivative fair value adjustments | 2,346 | (3,244) | (10,921) | ||||||||
Loss on disposal of assets and costs from exit and disposal activities | 3,647 | 15,003 | 8,509 | ||||||||
Stock-based compensation expense | 6,532 | 7,121 | 8,307 | ||||||||
ESOP deferred stock-based compensation | 15,300 | 11,700 | 9,600 | ||||||||
Bargain purchase gain on PTI acquisition | (609) | ||||||||||
Domestic [Member] | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Net income attributable to ADS | 70,296 | 57,279 | 35,118 | ||||||||
Depreciation and amortization | 64,450 | 66,978 | 63,747 | ||||||||
Interest expense | 18,352 | 14,929 | 17,049 | ||||||||
Income tax expense | 28,816 | 9,199 | 21,786 | ||||||||
Derivative fair value adjustments | 634 | (443) | (10,921) | ||||||||
Loss on disposal of assets and costs from exit and disposal activities | 2,823 | 14,248 | 4,793 | ||||||||
Unconsolidated affiliates interest, taxes, depreciation and amortization | 1,181 | 1,088 | |||||||||
Contingent consideration remeasurement | (6) | 39 | (265) | ||||||||
Stock-based compensation expense | 6,532 | 7,121 | 8,307 | ||||||||
ESOP deferred stock-based compensation | 15,296 | 11,724 | 9,568 | ||||||||
Executive retirement expense (benefit) | (178) | 1,473 | 1,092 | ||||||||
Inventory step up related to PTI acquisition | 525 | ||||||||||
Bargain purchase gain on PTI acquisition | (609) | ||||||||||
Restatement-related costs | (1,924) | 4,227 | 24,026 | ||||||||
Legal settlement | 2,000 | ||||||||||
Impairment on investment in unconsolidated affiliate | 312 | ||||||||||
Strategic growth and operational improvement initiatives | 3,450 | ||||||||||
Transaction costs | 693 | 1,362 | 372 | ||||||||
Segment Adjusted EBITDA | 209,234 | 191,629 | 175,676 | ||||||||
International Segment [Member] | |||||||||||
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items] | |||||||||||
Net income attributable to ADS | 11,170 | 7,513 | 790 | ||||||||
Depreciation and amortization | 7,450 | 8,025 | 8,608 | ||||||||
Interest expense | 266 | 333 | 418 | ||||||||
Income tax expense | 1,233 | 2,212 | 2,829 | ||||||||
Foreign currency transaction (gains) losses | 314 | (1,748) | (1,629) | ||||||||
Loss on disposal of assets and costs from exit and disposal activities | 824 | 755 | 3,716 | ||||||||
Unconsolidated affiliates interest, taxes, depreciation and amortization | 1,463 | 1,511 | 1,663 | ||||||||
Impairment on investment in unconsolidated affiliate | 1,300 | ||||||||||
Transaction costs | 6 | ||||||||||
Segment Adjusted EBITDA | $ 22,726 | $ 18,601 | $ 17,695 |
Business Segment Information _5
Business Segment Information - Net Sales and Long-Lived Asset by Geographic Location (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Net sales | $ 272,218 | $ 318,113 | $ 406,555 | $ 387,847 | $ 250,114 | $ 320,832 | $ 401,049 | $ 358,359 | $ 1,384,733 | $ 1,330,354 | $ 1,257,261 |
Long-lived Assets | 411,743 | 413,813 | 411,743 | 413,813 | |||||||
North America [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Net sales | 1,366,470 | 1,313,917 | 1,243,074 | ||||||||
Long-lived Assets | 401,276 | 401,470 | 401,276 | 401,470 | |||||||
Other Countries [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Net sales | 18,263 | 16,437 | $ 14,187 | ||||||||
Long-lived Assets | $ 10,467 | $ 12,343 | $ 10,467 | $ 12,343 |
Supplemental Disclosures of C_3
Supplemental Disclosures of Cash Flow Information - Supplemental Disclosures Cash Flow Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Supplemental Cash Flow Elements [Abstract] | |||
Interest | $ 15,679 | $ 17,890 | $ 17,273 |
Income taxes | 29,841 | 24,510 | 13,525 |
Redeemable convertible preferred stock dividend | 134 | 134 | 134 |
Purchases of plant, property, and equipment included in accounts payable | 1,255 | 1,258 | 2,549 |
ESOP distributions in common stock | 8,609 | 11,566 | 7,425 |
Assets acquired and obligation incurred under capital lease | 27,602 | 26,571 | 26,276 |
Lease obligation retired upon disposition of leased assets | $ 578 | 636 | 390 |
Reclassification of liability-classified stock options and restricted stock to equity | 4,147 | ||
Contribution of net accounts receivable to the South American Joint Venture | 2,785 | ||
Payable recorded for business acquisition | $ 300 | $ 950 |
Quarterly Financial Informati_3
Quarterly Financial Information - Summary of Quarterly Financial Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Net sales | $ 272,218 | $ 318,113 | $ 406,555 | $ 387,847 | $ 250,114 | $ 320,832 | $ 401,049 | $ 358,359 | $ 1,384,733 | $ 1,330,354 | $ 1,257,261 |
Gross profit | 59,504 | 72,399 | 95,373 | 99,691 | 48,115 | 77,826 | 89,801 | 86,739 | 326,967 | 302,481 | 295,810 |
Net (loss) income | 1,893 | 16,550 | 29,372 | 33,651 | (4,856) | 33,215 | 17,959 | 18,474 | 81,466 | 64,792 | 35,908 |
Net income attributable to ADS | $ 1,010 | $ 15,812 | $ 28,670 | $ 32,280 | $ (5,703) | $ 32,105 | $ 17,863 | $ 17,742 | $ 77,772 | $ 62,007 | $ 32,950 |
Net (loss) income per share | |||||||||||
Basic | $ 0.01 | $ 0.25 | $ 0.45 | $ 0.51 | $ (0.11) | $ 0.52 | $ 0.29 | $ 0.29 | $ 1.23 | $ 1 | $ 0.51 |
Diluted | $ 0.01 | $ 0.25 | $ 0.45 | $ 0.51 | $ (0.11) | $ 0.51 | $ 0.29 | $ 0.28 | $ 1.22 | $ 0.99 | $ 0.50 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands, shares in Millions | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2019 | Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Subsequent Event [Line Items] | ||||
Additional stock-based compensation expense | $ 6,532 | $ 7,121 | $ 8,307 | |
Scenario, Forecast [Member] | ||||
Subsequent Event [Line Items] | ||||
Cash dividend declared | $ 0.09 | |||
Preferred share fair value, per share | $ 21.20 | |||
Scenario, Forecast [Member] | ESOP [Member] | ||||
Subsequent Event [Line Items] | ||||
Number of redeemable convertible preferred stock allocated to ESOP participants | 12 | |||
Scenario, Forecast [Member] | Cost of Goods Sold, Selling Expenses and General and Administrative Expenses [Member] | ||||
Subsequent Event [Line Items] | ||||
Additional stock-based compensation expense | $ 245,000 | |||
Scenario, Forecast [Member] | Special Dividend [Member] | ||||
Subsequent Event [Line Items] | ||||
Cash dividend declared | $ 1 | |||
Dividend payable date | Jun. 14, 2019 | |||
Dividend payable, date of record | Jun. 3, 2019 | |||
First Quarter [Member] | ||||
Subsequent Event [Line Items] | ||||
Dividend payable date | Jun. 14, 2019 | |||
Dividend payable, date of record | Jun. 3, 2019 |
Schedule II - Consolidated Va_2
Schedule II - Consolidated Valuation and Qualifying Accounts (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Mar. 31, 2019 | Mar. 31, 2018 | Mar. 31, 2017 | |
Valuation And Qualifying Accounts [Abstract] | |||
Balance at beginning of period | $ 6,826 | $ 10,431 | $ 7,956 |
Charged to costs and expenses | 1,154 | 503 | 2,940 |
Charged to other accounts | (65) | (391) | (13) |
Deductions | (262) | (3,717) | (452) |
Balance at end of period | $ 7,653 | $ 6,826 | $ 10,431 |
Schedule II - Consolidated Va_3
Schedule II - Consolidated Valuation and Qualifying Accounts (Parenthetical) (Detail) - USD ($) $ in Millions | Mar. 31, 2019 | Dec. 31, 2017 |
South American Joint Venture [Member] | ||
Valuation And Qualifying Accounts Disclosure [Line Items] | ||
Allowance for doubtful accounts | $ 3 | $ 3 |