Document_and_Entity_Informatio
Document and Entity Information | 3 Months Ended | |
Dec. 31, 2013 | Jan. 31, 2014 | |
Document and Entity Information [Abstract] | ' | ' |
Entity Registrant Name | 'MATTHEWS INTERNATIONAL CORP | ' |
Entity Central Index Key | '0000063296 | ' |
Current Fiscal Year End Date | '--09-30 | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' |
Entity Voluntary Filers | 'No | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 27,326,673 |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q1 | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 31-Dec-13 | ' |
CONDENSED_CONSOLIDATED_BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (USD $) | Dec. 31, 2013 | Sep. 30, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $62,866 | $58,959 |
Accounts receivable, net | 172,182 | 188,405 |
Inventories | 140,140 | 130,768 |
Deferred income taxes | 9,798 | 9,826 |
Other current assets | 22,985 | 18,997 |
Total current assets | 407,971 | 406,955 |
Investments | 22,983 | 22,288 |
Property, plant and equipment: Cost | 420,192 | 414,522 |
Less accumulated depreciation | -242,073 | -233,791 |
Property, plant, and equipment, Net | 178,119 | 180,731 |
Deferred income taxes | 1,040 | 1,871 |
Other assets | 16,263 | 14,402 |
Goodwill | 526,884 | 524,551 |
Other intangible assets, net | 64,041 | 65,102 |
Total assets | 1,217,301 | 1,215,900 |
Current liabilities: | ' | ' |
Long-term debt, current maturities | 24,925 | 23,587 |
Accounts payable | 42,407 | 45,232 |
Accrued compensation | 31,497 | 41,916 |
Accrued income taxes | 8,545 | 5,910 |
Customer prepayments | 13,821 | 13,531 |
Contingent Consideration | 3,726 | 3,726 |
Other current liabilities | 48,783 | 51,077 |
Total current liabilities | 173,704 | 184,979 |
Long-term debt | 352,218 | 351,068 |
Accrued pension | 62,894 | 61,642 |
Postretirement benefits | 18,153 | 17,956 |
Deferred income taxes | 20,734 | 20,332 |
Other liabilities | 28,148 | 26,993 |
Total liabilities | 655,851 | 662,970 |
Shareholders' equity-Matthews: | ' | ' |
Common stock | 36,334 | 36,334 |
Additional paid-in capital | 45,689 | 47,315 |
Retained earnings | 780,650 | 775,762 |
Accumulated other comprehensive loss | -22,633 | -26,940 |
Treasury stock, at cost | -282,190 | -283,006 |
Total shareholders' equity-Matthews | 557,850 | 549,465 |
Noncontrolling interests | 3,600 | 3,465 |
Total shareholders' equity | 561,450 | 552,930 |
Total liabilities and shareholders' equity | $1,217,301 | $1,215,900 |
CONSOLIDATED_STATEMENTS_OF_INC
CONSOLIDATED STATEMENTS OF INCOME (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
CONSOLIDATED STATEMENTS OF INCOME (Unaudited) [Abstract] | ' | ' |
Sales | $229,945 | $225,609 |
Cost of sales | -148,569 | -145,635 |
Gross profit | 81,376 | 79,974 |
Selling and administrative expenses | -66,380 | -63,475 |
Operating profit | 14,996 | 16,499 |
Investment income | 874 | 233 |
Interest expense | -2,901 | -3,247 |
Other deductions, net | -982 | -1,105 |
Income before income taxes | 11,987 | 12,380 |
Income taxes | -4,081 | -4,377 |
Net income | 7,906 | 8,003 |
Net (income) loss attributable to noncontrolling interests | 8 | 252 |
Net income attributable to Matthews shareholders | $7,914 | $8,255 |
Earnings per share attributable to Matthews shareholders: | ' | ' |
Basic (in dollars per share) | $0.29 | $0.30 |
Diluted (in dollars per share) | $0.29 | $0.30 |
CONSOLIDATED_STATEMENTS_OF_COM
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Net income (loss): | $7,906 | $8,003 |
Other comprehensive income (loss), net of tax: | ' | ' |
Foreign currency translation adjustment | 2,689 | 7,308 |
Pension plans and other postretirement benefits | 528 | 1,073 |
Unrecognized gain (loss) on derivatives: | ' | ' |
Net change from periodic revaluation | 577 | 11 |
Net amount reclassified to earnings | 656 | 612 |
Net change in unrecognized gain (loss) on derivatives | 1,233 | 623 |
Other comprehensive income (loss), net of tax | 4,450 | 9,004 |
Total comprehensive income | 12,356 | 17,007 |
Matthews [Member] | ' | ' |
Net income (loss): | 7,914 | 8,255 |
Other comprehensive income (loss), net of tax: | ' | ' |
Foreign currency translation adjustment | 2,546 | 7,609 |
Pension plans and other postretirement benefits | 528 | 1,073 |
Unrecognized gain (loss) on derivatives: | ' | ' |
Net change from periodic revaluation | 577 | 11 |
Net amount reclassified to earnings | 656 | 612 |
Net change in unrecognized gain (loss) on derivatives | 1,233 | 623 |
Other comprehensive income (loss), net of tax | 4,307 | 9,305 |
Total comprehensive income | 12,221 | 17,560 |
Noncontrolling Interest [Member] | ' | ' |
Net income (loss): | -8 | -252 |
Other comprehensive income (loss), net of tax: | ' | ' |
Foreign currency translation adjustment | 143 | -301 |
Pension plans and other postretirement benefits | 0 | 0 |
Unrecognized gain (loss) on derivatives: | ' | ' |
Net change from periodic revaluation | 0 | 0 |
Net amount reclassified to earnings | 0 | 0 |
Net change in unrecognized gain (loss) on derivatives | 0 | ' |
Other comprehensive income (loss), net of tax | 143 | -301 |
Total comprehensive income | $135 | ($553) |
CONSOLIDATED_STATEMENTS_OF_SHA
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Unaudited) (USD $) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Treasury Stock [Member] | Non-controlling Interest [Member] | Total |
In Thousands | |||||||
Balance at Sep. 30, 2012 | $36,334 | $47,893 | $727,176 | ($65,083) | ($268,499) | $2,613 | $480,434 |
Net income | 0 | 0 | 8,255 | 0 | 0 | -252 | 8,003 |
Pension adjustments | 0 | 0 | 0 | 1,073 | 0 | 0 | 1,073 |
Translation adjustment | 0 | 0 | 0 | 7,609 | 0 | -301 | 7,308 |
Fair value of derivatives | 0 | 0 | 0 | 623 | 0 | 0 | 623 |
Total comprehensive income | ' | ' | ' | ' | ' | ' | 17,007 |
Stock-based compensation | 0 | 1,379 | 0 | 0 | 0 | 0 | 1,379 |
Purchase of treasury stock | 0 | 0 | 0 | 0 | -4,530 | 0 | -4,530 |
Issuance of treasury stock | 0 | -5,438 | 0 | 0 | 5,921 | 0 | 483 |
Dividends | 0 | 0 | -2,841 | 0 | 0 | 0 | -2,841 |
Balance at Dec. 31, 2012 | 36,334 | 43,834 | 732,590 | -55,778 | -267,108 | 2,060 | 491,932 |
Balance at Sep. 30, 2013 | 36,334 | 47,315 | 775,762 | -26,940 | -283,006 | 3,465 | 552,930 |
Net income | 0 | 0 | 7,914 | 0 | 0 | -8 | 7,906 |
Pension adjustments | 0 | 0 | 0 | 528 | 0 | 0 | 528 |
Translation adjustment | 0 | 0 | 0 | 2,546 | 0 | 143 | 2,689 |
Fair value of derivatives | 0 | 0 | 0 | 1,233 | 0 | 0 | 1,233 |
Total comprehensive income | ' | ' | ' | ' | ' | ' | 12,356 |
Stock-based compensation | 0 | 1,574 | 0 | 0 | 0 | 0 | 1,574 |
Purchase of treasury stock | 0 | 0 | 0 | 0 | -4,195 | 0 | -4,195 |
Issuance of treasury stock | 0 | -3,200 | 0 | 0 | 5,011 | 0 | 1,811 |
Dividends | 0 | 0 | -3,026 | 0 | 0 | 0 | -3,026 |
Balance at Dec. 31, 2013 | $36,334 | $45,689 | $780,650 | ($22,633) | ($282,190) | $3,600 | $561,450 |
CONSOLIDATED_STATEMENTS_OF_SHA1
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Unaudited) (Parenthetical) (USD $) | 3 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY (Unaudited) [Abstract] | ' | ' |
Purchase of treasury stock, shares (in shares) | 102,177 | 155,732 |
Issuance of treasury stock, shares (in shares) | 184,278 | 208,429 |
Dividends, per share (in dollars per share) | $0.11 | $0.10 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Cash flows from operating activities: | ' | ' |
Net income | $7,906 | $8,003 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Depreciation and amortization | 9,264 | 8,150 |
Stock-based compensation expense | 1,574 | 1,379 |
Decrease (Increase) in deferred taxes | 90 | -72 |
Gain on sale of assets | -598 | -341 |
Unrealized gain on investments | -700 | 0 |
Changes in working capital items | -9,482 | -5,741 |
Decrease in other assets | 2,645 | 59 |
Decrease in other liabilities | -1,596 | -7,534 |
Increase in pension and postretirement benefits | 2,318 | 3,336 |
Other, net | 851 | 498 |
Net cash provided by operating activities | 12,272 | 7,737 |
Cash flows from investing activities: | ' | ' |
Capital expenditures | -4,569 | -5,257 |
Acquisitions, net of cash acquired | 0 | -60,634 |
Proceeds from sale of assets | 12 | 50 |
Net cash used in investing activities | -4,557 | -65,841 |
Cash flows from financing activities: | ' | ' |
Proceeds from long-term debt | 7,683 | 84,191 |
Payments on long-term debt | -6,263 | -15,393 |
Payments of contingent consideration | 0 | -5,296 |
Proceeds from the sale of treasury stock | 1,655 | 483 |
Purchases of treasury stock | -3,995 | -4,530 |
Dividends | -3,026 | -2,744 |
Net cash (used in) provided by financing activities | -3,946 | 56,711 |
Effect of exchange rate changes on cash | 137 | 620 |
Net change in cash and cash equivalents | $3,906 | ($773) |
Nature_of_Operations
Nature of Operations | 3 Months Ended |
Dec. 31, 2013 | |
Nature of Operations [Abstract] | ' |
Nature of Operations | ' |
Note 1. Nature of Operations | |
Matthews International Corporation ("Matthews" or the “Company”), founded in 1850 and incorporated in Pennsylvania in 1902, is a designer, manufacturer and marketer principally of memorialization products and brand solutions. Memorialization products consist primarily of bronze and granite memorials and other memorialization products, caskets and cremation equipment for the cemetery and funeral home industries. Brand solutions include graphics imaging products and services, marking and fulfillment systems and merchandising solutions. The Company's products and operations are comprised of six business segments: Cemetery Products, Funeral Home Products, Cremation, Graphics Imaging, Marking and Fulfillment Systems and Merchandising Solutions. The Cemetery Products segment is a leading manufacturer of cast bronze and granite memorials and other memorialization products, cast and etched architectural products and is a leading builder of mausoleums in the United States. The Funeral Home Products segment is a leading casket manufacturer and distributor in North America and produces a wide variety of wood, metal and cremation caskets. The Cremation segment is a leading designer and manufacturer of cremation equipment in North America and Europe. The Graphics Imaging segment manufactures and provides brand management, printing plates, gravure cylinders, pre-press services and imaging services for the primary packaging and corrugated industries. The Marking and Fulfillment Systems segment designs, manufactures and distributes a wide range of marking and coding equipment and consumables, industrial automation products and order fulfillment systems for identifying, tracking, picking and conveying consumer and industrial products. The Merchandising Solutions segment designs and manufactures merchandising displays and systems and provides creative merchandising and marketing solutions services. | |
The Company has manufacturing and marketing facilities in the United States, Mexico, Canada, Europe, Australia and Asia. |
Basis_of_Presentation
Basis of Presentation | 3 Months Ended |
Dec. 31, 2013 | |
Basis of Presentation [Abstract] | ' |
Basis of Presentation | ' |
Note 2. Basis of Presentation | |
The accompanying consolidated financial statements have been prepared in accordance with generally accepted accounting principles for interim financial information for commercial and industrial companies and the instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by generally accepted accounting principles for complete financial statements. The year-end condensed balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America. In the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for fair presentation have been included. Operating results for the three months ended December 31, 2013 are not necessarily indicative of the results that may be expected for the fiscal year ending September 30, 2014. For further information, refer to the consolidated financial statements and footnotes thereto included in the Company's Annual Report on Form 10-K for the year ended September 30, 2013. The consolidated financial statements include all domestic and foreign subsidiaries in which the Company maintains an ownership interest and has operating control. All intercompany accounts and transactions have been eliminated. | |
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. | |
Reclassifications and Revision: | |
Certain reclassifications have been made in these financial statements to adjust the effect of exchange rate changes on cash in the Consolidated Statement of Cash Flows for the quarter ended December 31, 2012. Additionally, reclassifications have been made in these financial statements to adjust for bank overdrafts on the Consolidated Statement of Cash Flows for the quarter ended December 31, 2012 and on the Consolidated Balance Sheet for the fiscal year ended September 30, 2013. |
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
Fair Value Measurements [Abstract] | ' | ||||||||||||||||||||||||||||||||
Fair Value Measurements | ' | ||||||||||||||||||||||||||||||||
Note 3. Fair Value Measurements | |||||||||||||||||||||||||||||||||
Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. It establishes a three level fair value hierarchy to prioritize the inputs used in valuations, as defined below: | |||||||||||||||||||||||||||||||||
Level 1: Observable inputs that reflect unadjusted quoted prices for identical assets or liabilities in active markets. | |||||||||||||||||||||||||||||||||
Level 2: Inputs other than quoted prices included within level 1 that are observable for the asset or liability, either directly or indirectly. | |||||||||||||||||||||||||||||||||
Level 3: Unobservable inputs for the asset or liability. | |||||||||||||||||||||||||||||||||
The fair values of the Company’s assets and liabilities measured on a recurring basis are categorized as follows: | |||||||||||||||||||||||||||||||||
31-Dec-13 | 30-Sep-13 | ||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||
Derivatives (1) | $ | 5,108 | $ | 5,108 | $ | - | $ | 3,736 | - | $ | 3,736 | ||||||||||||||||||||||
Trading | $ | 18,629 | - | - | $ | 18,629 | $ | 17,929 | - | - | $ | 17,929 | |||||||||||||||||||||
securities | |||||||||||||||||||||||||||||||||
Total assets at | $ | 18,629 | $ | 5,108 | - | $ | 23,737 | $ | 17,929 | $ | 3,736 | - | $ | 21,665 | |||||||||||||||||||
fair value | |||||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||
Derivatives (1) | - | $ | 3,995 | - | $ | 3,995 | - | $ | 4,644 | - | $ | 4,644 | |||||||||||||||||||||
Total liabilities | - | $ | 3,995 | - | $ | 3,995 | - | $ | 4,644 | - | $ | 4,644 | |||||||||||||||||||||
at fair value | |||||||||||||||||||||||||||||||||
(1) Interest rate swaps are valued based on observable market swap rates and are classified within Level 2 of the fair value hierarchy. |
Inventories
Inventories | 3 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Inventories [Abstract] | ' | ||||||||
Inventories | ' | ||||||||
Note 4. Inventories | |||||||||
Inventories consisted of the following: | |||||||||
31-Dec-13 | 30-Sep-13 | ||||||||
Raw materials | $ | 44,185 | $ | 40,931 | |||||
Work in process | 28,681 | 25,293 | |||||||
Finished goods | 67,274 | 64,544 | |||||||
$ | 140,140 | $ | 130,768 |
Debt
Debt | 3 Months Ended | |||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||
Debt [Abstract] | ' | |||||||||||||||||
Debt | ' | |||||||||||||||||
Note 5. Debt | ||||||||||||||||||
The Company has a domestic Revolving Credit Facility with a syndicate of financial institutions. The maximum amount of borrowings available under the facility is $500,000 and borrowings under the facility bear interest at LIBOR plus a factor ranging from .75% to 1.25% based on the Company’s leverage ratio. The facility’s maturity is July 2018. The leverage ratio is defined as net indebtedness divided by EBITDA (earnings before interest, taxes, depreciation and amortization). The Company is required to pay an annual commitment fee ranging from .15% to .25% (based on the Company’s leverage ratio) of the unused portion of the facility. | ||||||||||||||||||
The Revolving Credit Facility requires the Company to maintain certain leverage and interest coverage ratios. A portion of the facility (not to exceed $30,000) is available for the issuance of trade and standby letters of credit. Outstanding borrowings on the Revolving Credit Facility at December 31, 2013 and September 30, 2013 were $310,000 and $305,000, respectively. The weighted-average interest rate on outstanding borrowings at December 31, 2013 and December 31, 2012 was 2.54% and 2.62%, respectively. | ||||||||||||||||||
The Company has entered into the following interest rate swaps: | ||||||||||||||||||
Effective Date | Amount | Fixed Interest Rate | Interest Rate Spread at December 31, 2013 | |||||||||||||||
Maturity Date | ||||||||||||||||||
May-11 | $25,000 | 1.37% | 1.00% | May-14 | ||||||||||||||
Oct-11 | 25,000 | 1.67% | 1.00% | Oct-15 | ||||||||||||||
Nov-11 | 25,000 | 2.13% | 1.00% | Nov-14 | ||||||||||||||
Mar-12 | 25,000 | 2.44% | 1.00% | Mar-15 | ||||||||||||||
Jun-12 | 40,000 | 1.88% | 1.00% | Jun-22 | ||||||||||||||
Aug-12 | 35,000 | 1.74% | 1.00% | Jun-22 | ||||||||||||||
Sep-12 | 25,000 | 3.03% | 1.00% | Dec-15 | ||||||||||||||
Sep-12 | 25,000 | 1.24% | 1.00% | Mar-17 | ||||||||||||||
Nov-12 | 25,000 | 1.33% | 1.00% | Nov-15 | ||||||||||||||
The Company enters into interest rate swaps in order to achieve a mix of fixed and variable rate debt that it deems appropriate. The interest rate swaps have been designated as cash flow hedges of the future variable interest payments under the Revolving Credit Facility which are considered probable of occurring. Based on the Company’s assessment, all of the critical terms of each of the hedges matched the underlying terms of the hedged debt and related forecasted interest payments, and as such, these hedges were considered highly effective. | ||||||||||||||||||
The fair value of the interest rate swaps reflected an unrealized gain, net of unrealized losses, of $1,113 ($679 after tax) at December 31, 2013 and an unrealized loss, net of unrealized gains, of $908 ($554 after tax) at September 30, 2013. The net unrealized gain and loss are included in shareholders’ equity as part of accumulated other comprehensive income (loss) (“AOCI”). Assuming market rates remain consistent with the rates at December 31, 2013, approximately $1,157 net unrealized loss of the $1,113 net unrealized gain included in AOCI is expected to be recognized in earnings as an adjustment to interest expense over the next twelve months. | ||||||||||||||||||
At December 31, 2013 and September 30, 2013, the interest rate swap contracts were reflected in the consolidated balance sheets as follows: | ||||||||||||||||||
Balance Sheet Location: | 31-Dec-13 | 30-Sep-13 | ||||||||||||||||
Current assets | ||||||||||||||||||
Other current assets | $ | 601 | $ | 427 | ||||||||||||||
Long-term assets | ||||||||||||||||||
Other assets | 4,507 | 3,309 | ||||||||||||||||
Current liabilities: | ||||||||||||||||||
Other current liabilities | (2,498 | ) | (2,590 | ) | ||||||||||||||
Long-term liabilities: | ||||||||||||||||||
Other liabilities | (1,497 | ) | (2,054 | ) | ||||||||||||||
Total derivatives | $ | 1,113 | $ | (908 | ) | |||||||||||||
The loss recognized on derivatives was as follows: | ||||||||||||||||||
Location of | ||||||||||||||||||
Derivatives in | Loss | Amount of Loss | ||||||||||||||||
Cash Flow | Recognized in | Recognized in Income | ||||||||||||||||
Hedging | Income on | on Derivatives | ||||||||||||||||
Relationships | Derivative | Three Months Ended December 31, | ||||||||||||||||
2013 | 2012 | |||||||||||||||||
Interest rate swaps | Interest expense | ($1,076) | ($1,003) | |||||||||||||||
The Company recognized the following gains or losses in AOCI: | ||||||||||||||||||
Location of | ||||||||||||||||||
Gain or | ||||||||||||||||||
(Loss) | ||||||||||||||||||
Reclassified | Amount of Loss | |||||||||||||||||
Amount of Gain | from | Reclassified from | ||||||||||||||||
Derivatives in | Recognized in | AOCI into | AOCI into Income | |||||||||||||||
Cash Flow | AOCI on Derivatives | Income | (Effective Portion*) | |||||||||||||||
Hedging Relationships | December 31, | December 31, | (Effective | 31-Dec-13 | December 31, | |||||||||||||
2013 | 2012 | Portion*) | 2012 | |||||||||||||||
Interest rate swaps | $577 | $11 | Interest expense | ($656) | ($612) | |||||||||||||
*There is no ineffective portion or amount excluded from effectiveness testing. | ||||||||||||||||||
In March 2013, the Company, through certain of its European subsidiaries, entered into a credit facility with a bank. The maximum amount of borrowings available under this facility is 25.0 million Euros ($34,363). Outstanding borrowings under the credit facility totaled 21.7 million Euros ($29,825) at December 31, 2013. The weighted-average interest rate on outstanding borrowings under this facility at December 31, 2013 was 1.37%. | ||||||||||||||||||
The Company, through its German subsidiary, Saueressig GmbH & Co. KG (“Saueressig”), has several loans with various European banks. Outstanding borrowings under these loans totaled 1.7 million Euros ($2,300) and 1.7 million Euros ($2,310) at December 31, 2013 and September 30, 2013, respectively. The weighted-average interest rate on outstanding borrowings of Saueressig at December 31, 2013 and 2012 was 4.04% and 3.93%, respectively. | ||||||||||||||||||
The Company, through its German subsidiary, Wetzel GmbH (“Wetzel”), has several loans with various European banks. Outstanding borrowings on these loans totaled 7.1 million Euros ($9,780) and 7.4 million Euros ($10,000) at December 31, 2013 and September 30, 2013. The weighted-average interest rate on outstanding borrowings of Wetzel at December 31, 2013 and 2012 was 7.53% and 6.99%, respectively. | ||||||||||||||||||
The Company, through its wholly-owned subsidiary, Matthews International S.p.A., has several loans with various Italian banks. Outstanding borrowings on these loans totaled 4.8 million Euros ($6,643) and 5.1 million Euros ($6,871) at December 31, 2013 and September 30, 2013, respectively. Matthews International S.p.A. also has three lines of credit totaling 11.3 million Euros ($15,573) with the same Italian banks. Outstanding borrowings on these lines were 6.2 million Euros ($8,453) and 5.6 million Euros ($7,639) at December 31, 2013 and September 30, 2013, respectively. The weighted-average interest rate on outstanding Matthews International S.p.A. borrowings at December 31, 2013 and 2012 was 3.16% and 3.12%, respectively. | ||||||||||||||||||
As of December 31, 2013 and September 30, 2013 the fair value of the Company’s long-term debt, including current maturities, approximated the carrying value included in the Condensed Consolidated Balance Sheet. |
Share_Based_Payments
Share Based Payments | 3 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Share-Based Payments [Abstract] | ' | ||||||||||||||||
Share-Based Payments | ' | ||||||||||||||||
Note 6. Share-Based Payments | |||||||||||||||||
The Company maintains an equity incentive plan (the “2012 Equity Incentive Plan”) that provides for grants of stock options, restricted shares, stock-based performance units and certain other types of stock-based awards. The Company also maintains an equity incentive plan (the “2007 Equity Incentive Plan”) and a stock incentive plan (the “1992 Incentive Stock Plan”) that previously provided for grants of stock options, restricted shares and certain other types of stock-based awards. Under the 2012 Equity Incentive Plan, which has a ten-year term, the maximum number of shares available for grants or awards is an aggregate of 2,500,000. There will be no further grants under the 2007 Equity Incentive Plan or the 1992 Incentive Stock Plan. At December 31, 2013, there were 2,097,550 shares reserved for future issuance under the 2012 Equity Incentive Plan. All plans are administered by the Compensation Committee of the Board of Directors. | |||||||||||||||||
The option price for each stock option granted under either plan may not be less than the fair market value of the Company's common stock on the date of grant. Outstanding stock options generally vest in one-third increments upon the attainment of pre-defined levels of appreciation in the market value of the Company’s Class A Common Stock. In addition, options generally vest in one-third increments after three, four and five years, respectively, from the grant date (but, in any event, not until the attainment of the market value thresholds). The options expire on the earlier of ten years from the date of grant, upon employment termination, or within specified time limits following voluntary employment termination (with the consent of the Company), retirement or death. The Company generally settles employee stock option exercises with treasury shares. With respect to outstanding restricted share grants, for grants made prior to fiscal 2013, generally one-half of the shares vest on the third anniversary of the grant, with the remaining one-half of the shares vesting in one-third increments upon attainment of pre-defined levels of appreciation in the market value of the Company’s Class A Common Stock. For grants made in fiscal 2013 and forward, generally one-half of the shares vest on the third anniversary of the grant, one-quarter of the shares vest in one-third increments upon the attainment of pre-defined levels of adjusted earnings per share, and the remaining one-quarter of the shares vest in one-third increments upon attainment of pre-defined levels of appreciation in the market value of the Company’s Class A Common Stock. Additionally, restricted shares cannot vest until the first anniversary of the grant date. Unvested restricted shares generally expire on the earlier of five years from the date of grant, upon employment termination, or within specified time limits following voluntary employment termination (with the consent of the Company), retirement or death. The Company issues restricted shares from treasury shares. | |||||||||||||||||
For the three-month periods ended December 31, 2013 and 2012, total stock-based compensation cost totaled $1,574 and $1,379, respectively. The associated future income tax benefit recognized was $614 and $538 for the three-month periods ended December 31, 2013 and 2012, respectively. | |||||||||||||||||
For the three-month periods ended December 31, 2013 and 2012, the amount of cash received from the exercise of stock options was $1,855 and $475, respectively. In connection with these exercises, the tax benefits realized by the Company for the three-month periods ended December 31, 2013 and 2012 were $177 and $63, respectively. | |||||||||||||||||
The transactions for restricted stock for the three months ended December 31, 2013 were as follows: | |||||||||||||||||
Weighted- | |||||||||||||||||
average | |||||||||||||||||
grant-date | |||||||||||||||||
Shares | fair value | ||||||||||||||||
Non-vested at September 30, 2013 | 641,399 | $29.46 | |||||||||||||||
Granted | 201,225 | 35.71 | |||||||||||||||
Vested | (196,009 | ) | 29.99 | ||||||||||||||
Expired or forfeited | (74,750 | ) | 30.85 | ||||||||||||||
Non-vested at December 31, 2013 | 571,865 | 31.3 | |||||||||||||||
As of December 31, 2013, the total unrecognized compensation cost related to unvested restricted stock was $9,434 and is expected to be recognized over a weighted average period of 2.0 years. | |||||||||||||||||
The transactions for shares under options for the quarter ended December 31, 2013 were as follows: | |||||||||||||||||
Weighted- | |||||||||||||||||
Weighted- | average | Aggregate | |||||||||||||||
average | remaining | intrinsic | |||||||||||||||
Shares | exercise price | contractual term | value | ||||||||||||||
Outstanding, September 30, 2013 | 744,824 | $37.76 | |||||||||||||||
Granted | - | - | |||||||||||||||
Exercised | (57,983 | ) | 31.99 | ||||||||||||||
Expired or forfeited | (15,833 | ) | 39.18 | ||||||||||||||
Outstanding, December 31, 2013 | 671,008 | 38.22 | 2 | $2,944 | |||||||||||||
Exercisable, December 31, 2013 | 354,420 | 37.76 | 1.9 | $1,718 | |||||||||||||
No options vested during the three months ended December 31, 2013 and 2012, respectively. The intrinsic value of options (which is the amount by which the stock price exceeded the exercise price of the options on the date of exercise) exercised during the three-month periods ended December 31, 2013 and 2012 was $488 and $182, respectively. | |||||||||||||||||
The transactions for non-vested options for the quarter ended December 31, 2013 were as follows: | |||||||||||||||||
Weighted-average | |||||||||||||||||
grant-date | |||||||||||||||||
Non-vested shares | Shares | fair value | |||||||||||||||
Non-vested at September 30, 2013 | 331,755 | $11.29 | |||||||||||||||
Granted | - | - | |||||||||||||||
Vested | - | - | |||||||||||||||
Expired or forfeited | (15,167 | ) | 12.25 | ||||||||||||||
Non-vested at December 31, 2013 | 316,588 | 11.24 | |||||||||||||||
The fair value of each restricted stock grant is estimated on the date of grant using a binomial lattice valuation model. The following table indicates the assumptions used in estimating fair value of restricted stock granted during the periods ended December 31, 2013 and 2012. | |||||||||||||||||
Three Months Ended December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Expected volatility | 26.6 | % | 29.5 | % | |||||||||||||
Dividend yield | 1.1 | % | 1.2 | % | |||||||||||||
Average risk free interest rate | 1.4 | % | 0.6 | % | |||||||||||||
Average expected term (years) | 2 | 2 | |||||||||||||||
The risk free interest rate is based on United States Treasury yields at the date of grant. The dividend yield is based on the most recent dividend payment and average stock price over the 12 months prior to the grant date. Expected volatilities are based on the historical volatility of the Company’s stock price. The expected term represents an estimate of the average period of time for restricted shares to vest. The characteristics for each grant are considered separately for valuation purposes. | |||||||||||||||||
Under the Company’s 1994 Director Fee Plan, directors (except for the Chairman of the Board) who are not also officers of the Company each receive, as an annual retainer fee, either cash or shares of the Company's Class A Common Stock equivalent to $60. The equivalent amount paid to a non-employee Chairman of the Board is $130. Where the annual retainer fee is provided in shares, each director may elect to be paid these shares on a current basis or have such shares credited to a deferred stock account as phantom stock, with such shares to be paid to the director subsequent to leaving the Board. The value of deferred shares is recorded in other liabilities. A total of 17,005 shares had been deferred under the 1994 Director Fee Plan at December 31, 2013. Additionally, directors who are not also officers of the Company each receive an annual stock-based grant (non-statutory stock options, stock appreciation rights and/or restricted shares) with a value of $100. A total of 22,300 stock options have been granted under the plan. At December 31, 2013, 11,800 options were outstanding and vested. Additionally, 103,150 shares of restricted stock have been granted under the plan, 38,227 of which were unvested at December 31, 2013. A total of 300,000 shares have been authorized to be issued under the 1994 Director Fee Plan. |
Earnings_Per_Share_Attributabl
Earnings Per Share Attributable to Matthews Shareholders | 3 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Earnings Per Share Attributable to Matthews' Shareholders [Abstract] | ' | ||||||||
Earnings Per Share Attributable to Matthews' Shareholders | ' | ||||||||
Note 7. Earnings Per Share Attributable to Matthews Shareholders | |||||||||
The information used to compute earnings per share attributable to Matthews’ common shareholders was as follows: | |||||||||
Three Months Ended | |||||||||
December 31, | |||||||||
2013 | 2012 | ||||||||
Net income attributable to Matthews shareholders | $ | 7,914 | $ | 8,255 | |||||
Less: dividends and undistributed earnings | 41 | 97 | |||||||
allocated to participating securities | |||||||||
Net income available to Matthews shareholders | $ | 7,873 | $ | 8,158 | |||||
Weighted-average shares outstanding (in thousands): | |||||||||
Basic shares | 27,125 | 27,275 | |||||||
Effect of dilutive securities | 227 | 114 | |||||||
Diluted shares | 27,352 | 27,389 | |||||||
There were no anti-dilutive securities for the three months ended December 31, 2013. Options to purchase 768,691 shares of common stock were not included in the computation of diluted earnings per share for the three months ended December 31, 2012 because the inclusion of these options would be anti-dilutive. |
Pension_and_Other_Postretireme
Pension and Other Postretirement Benefit Plans | 3 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Pension and Other Postretirement Benefit Plans [Abstract] | ' | ||||||||||||||||
Pension and Other Postretirement Benefit Plans | ' | ||||||||||||||||
Note 8. Pension and Other Postretirement Benefit Plans | |||||||||||||||||
The Company provides defined benefit pension and other postretirement plans to certain employees. Net periodic pension and other postretirement benefit cost for the plans included the following: | |||||||||||||||||
Three Months Ended December 31, | |||||||||||||||||
Pension | Other Postretirement | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Service cost | $ | 1,582 | $ | 1,685 | $ | 109 | $ | 199 | |||||||||
Interest cost | 2,213 | 1,913 | 230 | 282 | |||||||||||||
Expected return on plan assets | (2,396 | ) | (2,243 | ) | - | - | |||||||||||
Amortization: | |||||||||||||||||
Prior service cost | (52 | ) | (52 | ) | (22 | ) | (68 | ) | |||||||||
Net actuarial loss (gain) | 991 | 1,806 | (49 | ) | 110 | ||||||||||||
Net benefit cost | $ | 2,338 | $ | 3,109 | $ | 268 | $ | 523 | |||||||||
Benefit payments under the Company’s principal retirement plan are made from plan assets, while benefit payments under the postretirement benefit plan are made from the Company’s operating funds. Under IRS regulations, the Company is not required to make any significant contributions to its principal retirement plan in fiscal year 2014. | |||||||||||||||||
Contributions made and anticipated for fiscal year 2014 are as follows: | |||||||||||||||||
Contributions | Pension | Other Postretirement | |||||||||||||||
Contributions during the three months ended December 31, 2013: | |||||||||||||||||
Supplemental retirement plan | $ | 181 | $ | - | |||||||||||||
Other postretirement plan | - | 156 | |||||||||||||||
Additional contributions expected in fiscal 2014: | |||||||||||||||||
Supplemental retirement plan | 540 | - | |||||||||||||||
Other postretirement plan | - | 770 |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income | 3 Months Ended | |||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||
Accumulated Other Comprehensive Income [Abstract] | ' | |||||||||||||||||
Accumulated Other Comprehensive Income | ' | |||||||||||||||||
Note 9. Accumulated Other Comprehensive Income | ||||||||||||||||||
The change in AOCI by component, net of tax, for the three month period ended December 31, 2013 were as follows: | ||||||||||||||||||
Post-retirement benefit plans | Currency translation adjustment | |||||||||||||||||
Derivatives | Total | |||||||||||||||||
Attributable to Matthews: | ||||||||||||||||||
Balance, September 30, 2013 | $ | (30,100 | ) | $ | 3,714 | $ | (554 | ) | $ | (26,940 | ) | |||||||
OCI before reclassification | - | 2,546 | 577 | 3,123 | ||||||||||||||
Amounts reclassified from AOCI | (a) | 528 | (b) | 656 | 1,184 | |||||||||||||
Net current-period OCI | 528 | 2,546 | 1,233 | 4,307 | ||||||||||||||
Balance, December 31, 2013 | $ | (29,572 | ) | $ | 6,260 | $ | 679 | $ | (22,633 | ) | ||||||||
Attributable to noncontrolling interest: | ||||||||||||||||||
Balance, September 30, 2013 | - | $ | 401 | - | $ | 401 | ||||||||||||
OCI before reclassification | - | 143 | - | 143 | ||||||||||||||
Net current-period OCI | - | 143 | - | 143 | ||||||||||||||
Balance, December 31, 2013 | - | $ | 544 | - | $ | 544 | ||||||||||||
(a) | Amounts were included in net periodic benefit cost for pension and other postretirement benefit plans (see note 8). | |||||||||||||||||
(b) | Amounts were included in interest expense in the periods the hedged item affected earnings (see note 5). | |||||||||||||||||
Reclassifications out of AOCI for the three month period ended December 31, 2013 were as follows: | ||||||||||||||||||
Amount reclassified from AOCI | Affected line item in the Statement of income | |||||||||||||||||
Details about AOCI Components | ||||||||||||||||||
Postretirement benefit plans | ||||||||||||||||||
Prior service (cost) credit | 74 | (a) | ||||||||||||||||
Actuarial losses | (942 | ) | (a) | |||||||||||||||
(868 | ) | (b) | Total before tax | |||||||||||||||
(340 | ) | Tax provision (benefit) | ||||||||||||||||
$ | (528 | ) | Net of tax | |||||||||||||||
Derivatives | ||||||||||||||||||
Interest rate swap contracts | (1,076 | ) | Interest expense | |||||||||||||||
(1,076 | ) | (b) | Total before tax | |||||||||||||||
(420 | ) | Tax provision (benefit) | ||||||||||||||||
(656 | ) | Net of tax | ||||||||||||||||
(a) | Amounts are included in the computation of pension and other postretirement benefit expense, which is reported in both cost of goods sold and selling and administrative expenses. For additional information, see Note 8. | |||||||||||||||||
(b) | For pre-tax items, positive amounts represent income and negative amounts represent expense. |
Income_Taxes
Income Taxes | 3 Months Ended | |
Dec. 31, 2013 | ||
Income Taxes [Abstract] | ' | |
Income Taxes | ' | |
Note 10. Income Taxes | ||
Income tax provisions for the Company’s interim periods are based on the effective income tax rate expected to be applicable for the full year. The Company's effective tax rate for the three months ended December 31, 2013 was 34.1%, compared to 35.4% for the first quarter of fiscal 2013. The difference between the Company's fiscal 2014 first quarter effective tax rate and the Federal statutory rate of 35.0% primarily reflected the impact of state taxes, offset by lower foreign income taxes. | ||
The Company had unrecognized tax benefits (excluding penalties and interest) of $4,497 and $4,516 on December 31, 2013 and September 30, 2013, respectively, all of which, if recorded, would impact the 2014 annual effective tax rate. | ||
The Company classifies interest and penalties on tax uncertainties as a component of the provision for income taxes. The Company included $93 in interest and penalties in the provision for income taxes for the first quarter of fiscal 2014. Total penalties and interest accrued were $2,494 and $2,401 at December 31, 2013 and September 30, 2013, respectively. These accruals may potentially be applicable in the event of an unfavorable outcome of uncertain tax positions. | ||
The Company is currently under examination in several tax jurisdictions and remains subject to examination until the statute of limitations expires for those tax jurisdictions. As of December 31, 2013, the tax years that remain subject to examination by major jurisdiction generally are: | ||
United States – Federal | 2010 and forward | |
United States – State | 2009 and forward | |
Canada | 2008 and forward | |
Europe | 2008 and forward | |
United Kingdom | 2012 and forward | |
Australia | 2009 and forward | |
Asia | 2008 and forward |
Segment_Information
Segment Information | 3 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Segment Information [Abstract] | ' | ||||||||
Segment Information | ' | ||||||||
Note 11. Segment Information | |||||||||
The Company's products and operations consist of two principal businesses that are comprised of three operating segments each, as described under Nature of Operations (Note 1): Memorialization (Cemetery Products, Funeral Home Products, Cremation) and Brand Solutions (Graphics Imaging, Marking and Fulfillment Systems, Merchandising Solutions). Management evaluates segment performance based on operating profit (before income taxes) and does not allocate non-operating items such as investment income, interest expense, other income (deductions), net and minority interest. | |||||||||
Information about the Company's segments follows: | |||||||||
Three Months Ended | |||||||||
December 31, | |||||||||
2013 | 2012 | ||||||||
Sales to external customers: | |||||||||
Memorialization: | |||||||||
Cemetery Products | $ | 49,827 | $ | 52,824 | |||||
Funeral Home Products | 58,668 | 60,757 | |||||||
Cremation | 8,865 | 11,102 | |||||||
117,360 | 124,683 | ||||||||
Brand Solutions: | |||||||||
Graphics Imaging | 72,654 | 62,435 | |||||||
Marking and Fulfillment Systems | 21,523 | 17,915 | |||||||
Merchandising Solutions | 18,408 | 20,576 | |||||||
112,585 | 100,926 | ||||||||
$ | 229,945 | $ | 225,609 | ||||||
Operating profit: | |||||||||
Memorialization: | |||||||||
Cemetery Products | $ | 6,119 | $ | 6,372 | |||||
Funeral Home Products | 6,821 | 7,693 | |||||||
Cremation | (402 | ) | 475 | ||||||
12,538 | 14,540 | ||||||||
Brand Solutions: | |||||||||
Graphics Imaging | 1,041 | 292 | |||||||
Marking and Fulfillment Systems | 1,140 | 376 | |||||||
Merchandising Solutions | 277 | 1,291 | |||||||
2,458 | 1,959 | ||||||||
$ | 14,996 | $ | 16,499 |
Acquisitions
Acquisitions | 3 Months Ended |
Dec. 31, 2013 | |
Acquisitions [Abstract] | ' |
Acquisitions | ' |
Note 12. Acquisitions | |
In December 2012, the Company acquired Pyramid Controls, Inc. and its affiliate, Pyramid Control Systems (collectively, “Pyramid”). Pyramid is a provider of warehouse control systems and conveyor control solutions for distribution centers. The acquisition is designed to expand Matthews' fulfillment products and services in the warehouse management market. The initial purchase price for the transaction was approximately $24,532, plus potential additional consideration up to $3,700 based on future operating results. | |
In November 2012, the Company completed the acquisition of Wetzel Holding AG, Wetzel GmbH and certain related affiliates (collectively “Wetzel”). Wetzel is a leading European provider of pre-press services and gravure printing forms, with manufacturing operations in Germany and Poland. Wetzel’s products and services are sold primary within Europe, and the acquisition is designed to expand Matthews' products and services in the global graphics imaging market. The purchase price for Wetzel was approximately 42.3 million Euros ($54,308) on a cash-free, debt-free basis, plus potential additional consideration up to 2.2 million Euros ($2,825) based upon operating results. |
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 3 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||
Goodwill and Other Intangible Assets [Abstract] | ' | ||||||||||||||||||||||||||||
Goodwill and Other Intangible Assets | ' | ||||||||||||||||||||||||||||
Note 13. Goodwill and Other Intangible Assets | |||||||||||||||||||||||||||||
Goodwill related to business combinations is not amortized but is subject to annual review for impairment. In general, when the carrying value of a reporting unit exceeds its implied fair value, an impairment loss may need to be recognized. For purposes of testing for impairment the Company uses a combination of valuation techniques, including discounted cash flows. Intangible assets are amortized over their estimated useful lives unless such lives are considered to be indefinite. A significant decline in cash flows generated from these assets may result in a write-down of the carrying values of the related assets. The Company performs its annual impairment review in the second fiscal quarter. | |||||||||||||||||||||||||||||
A summary of the carrying amount of goodwill attributable to each segment as well as the changes in such amounts are as follows: | |||||||||||||||||||||||||||||
Marking and | |||||||||||||||||||||||||||||
Cemetery | Funeral Home | Graphics | Fulfillment | Merchandising | |||||||||||||||||||||||||
Products | Products | Cremation | Imaging | Systems | Solutions | Consolidated | |||||||||||||||||||||||
Goodwill | $ | 99,707 | $ | 163,208 | $ | 17,823 | $ | 193,281 | $ | 50,646 | $ | 9,138 | $ | 533,803 | |||||||||||||||
Accumulated impairment losses | (412 | ) | - | (5,000 | ) | (3,840 | ) | - | - | (9,252 | ) | ||||||||||||||||||
Balance at September 30, 2013 | 99,295 | 163,208 | 12,823 | 189,441 | 50,646 | 9,138 | 524,551 | ||||||||||||||||||||||
Additions during period | - | - | - | - | - | - | - | ||||||||||||||||||||||
Translation and other adjustments | 314 | - | 133 | 1,828 | 58 | - | 2,333 | ||||||||||||||||||||||
Goodwill | 100,021 | 163,208 | 17,956 | 195,109 | 50,704 | 9,138 | 536,136 | ||||||||||||||||||||||
Accumulated impairment losses | (412 | ) | - | (5,000 | ) | (3,840 | ) | - | - | (9,252 | ) | ||||||||||||||||||
Balance at December 31, 2013 | $ | 99,609 | $ | 163,208 | $ | 12,956 | $ | 191,269 | $ | 50,704 | $ | 9,138 | $ | 526,884 | |||||||||||||||
The following tables summarize the carrying amounts and related accumulated amortization for intangible assets as of December 31, 2013 and September 30, 2013, respectively. | |||||||||||||||||||||||||||||
Carrying | Accumulated | Impairment | |||||||||||||||||||||||||||
Amount | Amortization | Loss | Net | ||||||||||||||||||||||||||
December 31, 2013: | |||||||||||||||||||||||||||||
Trade names | $ | 24,640 | $ | - | * | $ | (1,656 | ) | $ | 22,984 | |||||||||||||||||||
Trade names | 3,045 | (2,088 | ) | - | 957 | ||||||||||||||||||||||||
Customer relationships | 59,141 | (20,231 | ) | - | 38,910 | ||||||||||||||||||||||||
Copyrights/patents/other | 10,177 | (8,987 | ) | - | 1,190 | ||||||||||||||||||||||||
$ | 97,003 | $ | (31,306 | ) | $ | (1,656 | ) | $ | 64,041 | ||||||||||||||||||||
September 30, 2013: | |||||||||||||||||||||||||||||
Trade names | $ | 24,496 | $ | - | * | $ | (1,618 | ) | $ | 22,878 | |||||||||||||||||||
Trade names | 3,034 | (2,142 | ) | - | 892 | ||||||||||||||||||||||||
Customer relationships | 59,061 | (19,099 | ) | - | 39,962 | ||||||||||||||||||||||||
Copyrights/patents/other | 10,116 | (8,746 | ) | - | 1,370 | ||||||||||||||||||||||||
$ | 96,707 | $ | (29,987 | ) | $ | (1,618 | ) | $ | 65,102 | ||||||||||||||||||||
* Not subject to amortization | |||||||||||||||||||||||||||||
The net change in intangible assets during the three months ended December 31, 2013 included the impact of foreign currency fluctuations during the period and additional amortization. | |||||||||||||||||||||||||||||
Amortization expense on intangible assets was $1,174 and $952 for the three-month periods ended December 31, 2013 and 2012, respectively. The remaining amortization expense is estimated to be $2,930 in 2014, $3,662 in 2015, $3,374 in 2016, $3,181 in 2017 and $3,163 in 2018. |
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 3 Months Ended | ||||||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||||||
Fair Value Measurements [Abstract] | ' | ||||||||||||||||||||||||||||||||
Fair value of assets and liabilities measured on a recurring basis | ' | ||||||||||||||||||||||||||||||||
The fair values of the Company’s assets and liabilities measured on a recurring basis are categorized as follows: | |||||||||||||||||||||||||||||||||
31-Dec-13 | 30-Sep-13 | ||||||||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | Level 1 | Level 2 | Level 3 | Total | ||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||
Derivatives (1) | $ | 5,108 | $ | 5,108 | $ | - | $ | 3,736 | - | $ | 3,736 | ||||||||||||||||||||||
Trading | $ | 18,629 | - | - | $ | 18,629 | $ | 17,929 | - | - | $ | 17,929 | |||||||||||||||||||||
securities | |||||||||||||||||||||||||||||||||
Total assets at | $ | 18,629 | $ | 5,108 | - | $ | 23,737 | $ | 17,929 | $ | 3,736 | - | $ | 21,665 | |||||||||||||||||||
fair value | |||||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||
Derivatives (1) | - | $ | 3,995 | - | $ | 3,995 | - | $ | 4,644 | - | $ | 4,644 | |||||||||||||||||||||
Total liabilities | - | $ | 3,995 | - | $ | 3,995 | - | $ | 4,644 | - | $ | 4,644 | |||||||||||||||||||||
at fair value | |||||||||||||||||||||||||||||||||
(1) Interest rate swaps are valued based on observable market swap rates and are classified within Level 2 of the fair value hierarchy. |
Inventories_Tables
Inventories (Tables) | 3 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Inventories [Abstract] | ' | ||||||||
Inventory | ' | ||||||||
Inventories consisted of the following: | |||||||||
31-Dec-13 | 30-Sep-13 | ||||||||
Raw materials | $ | 44,185 | $ | 40,931 | |||||
Work in process | 28,681 | 25,293 | |||||||
Finished goods | 67,274 | 64,544 | |||||||
$ | 140,140 | $ | 130,768 |
Debt_Tables
Debt (Tables) | 3 Months Ended | |||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||
Debt [Abstract] | ' | |||||||||||||||||
Interest rate swaps | ' | |||||||||||||||||
The Company has entered into the following interest rate swaps: | ||||||||||||||||||
Effective Date | Amount | Fixed Interest Rate | Interest Rate Spread at December 31, 2013 | |||||||||||||||
Maturity Date | ||||||||||||||||||
May-11 | $25,000 | 1.37% | 1.00% | May-14 | ||||||||||||||
Oct-11 | 25,000 | 1.67% | 1.00% | Oct-15 | ||||||||||||||
Nov-11 | 25,000 | 2.13% | 1.00% | Nov-14 | ||||||||||||||
Mar-12 | 25,000 | 2.44% | 1.00% | Mar-15 | ||||||||||||||
Jun-12 | 40,000 | 1.88% | 1.00% | Jun-22 | ||||||||||||||
Aug-12 | 35,000 | 1.74% | 1.00% | Jun-22 | ||||||||||||||
Sep-12 | 25,000 | 3.03% | 1.00% | Dec-15 | ||||||||||||||
Sep-12 | 25,000 | 1.24% | 1.00% | Mar-17 | ||||||||||||||
Nov-12 | 25,000 | 1.33% | 1.00% | Nov-15 | ||||||||||||||
Derivatives designated as hedging instruments | ' | |||||||||||||||||
At December 31, 2013 and September 30, 2013, the interest rate swap contracts were reflected in the consolidated balance sheets as follows: | ||||||||||||||||||
Balance Sheet Location: | 31-Dec-13 | 30-Sep-13 | ||||||||||||||||
Current assets | ||||||||||||||||||
Other current assets | $ | 601 | $ | 427 | ||||||||||||||
Long-term assets | ||||||||||||||||||
Other assets | 4,507 | 3,309 | ||||||||||||||||
Current liabilities: | ||||||||||||||||||
Other current liabilities | (2,498 | ) | (2,590 | ) | ||||||||||||||
Long-term liabilities: | ||||||||||||||||||
Other liabilities | (1,497 | ) | (2,054 | ) | ||||||||||||||
Total derivatives | $ | 1,113 | $ | (908 | ) | |||||||||||||
Gain (loss) recognized on derivatives | ' | |||||||||||||||||
The loss recognized on derivatives was as follows: | ||||||||||||||||||
Location of | ||||||||||||||||||
Derivatives in | Loss | Amount of Loss | ||||||||||||||||
Cash Flow | Recognized in | Recognized in Income | ||||||||||||||||
Hedging | Income on | on Derivatives | ||||||||||||||||
Relationships | Derivative | Three Months Ended December 31, | ||||||||||||||||
2013 | 2012 | |||||||||||||||||
Interest rate swaps | Interest expense | ($1,076) | ($1,003) | |||||||||||||||
The Company recognized the following gains or losses in AOCI: | ||||||||||||||||||
Location of | ||||||||||||||||||
Gain or | ||||||||||||||||||
(Loss) | ||||||||||||||||||
Reclassified | Amount of Loss | |||||||||||||||||
Amount of Gain | from | Reclassified from | ||||||||||||||||
Derivatives in | Recognized in | AOCI into | AOCI into Income | |||||||||||||||
Cash Flow | AOCI on Derivatives | Income | (Effective Portion*) | |||||||||||||||
Hedging Relationships | December 31, | December 31, | (Effective | 31-Dec-13 | December 31, | |||||||||||||
2013 | 2012 | Portion*) | 2012 | |||||||||||||||
Interest rate swaps | $577 | $11 | Interest expense | ($656) | ($612) | |||||||||||||
*There is no ineffective portion or amount excluded from effectiveness testing. |
Share_Based_Payments_Tables
Share Based Payments (Tables) | 3 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Share-Based Payments [Abstract] | ' | ||||||||||||||||
Restricted stock activity | ' | ||||||||||||||||
The transactions for restricted stock for the three months ended December 31, 2013 were as follows: | |||||||||||||||||
Weighted- | |||||||||||||||||
average | |||||||||||||||||
grant-date | |||||||||||||||||
Shares | fair value | ||||||||||||||||
Non-vested at September 30, 2013 | 641,399 | $29.46 | |||||||||||||||
Granted | 201,225 | 35.71 | |||||||||||||||
Vested | (196,009 | ) | 29.99 | ||||||||||||||
Expired or forfeited | (74,750 | ) | 30.85 | ||||||||||||||
Non-vested at December 31, 2013 | 571,865 | 31.3 | |||||||||||||||
Stock option activity | ' | ||||||||||||||||
The transactions for shares under options for the quarter ended December 31, 2013 were as follows: | |||||||||||||||||
Weighted- | |||||||||||||||||
Weighted- | average | Aggregate | |||||||||||||||
average | remaining | intrinsic | |||||||||||||||
Shares | exercise price | contractual term | value | ||||||||||||||
Outstanding, September 30, 2013 | 744,824 | $37.76 | |||||||||||||||
Granted | - | - | |||||||||||||||
Exercised | (57,983 | ) | 31.99 | ||||||||||||||
Expired or forfeited | (15,833 | ) | 39.18 | ||||||||||||||
Outstanding, December 31, 2013 | 671,008 | 38.22 | 2 | $2,944 | |||||||||||||
Exercisable, December 31, 2013 | 354,420 | 37.76 | 1.9 | $1,718 | |||||||||||||
Non-vested options activity | ' | ||||||||||||||||
The transactions for non-vested options for the quarter ended December 31, 2013 were as follows: | |||||||||||||||||
Weighted-average | |||||||||||||||||
grant-date | |||||||||||||||||
Non-vested shares | Shares | fair value | |||||||||||||||
Non-vested at September 30, 2013 | 331,755 | $11.29 | |||||||||||||||
Granted | - | - | |||||||||||||||
Vested | - | - | |||||||||||||||
Expired or forfeited | (15,167 | ) | 12.25 | ||||||||||||||
Non-vested at December 31, 2013 | 316,588 | 11.24 | |||||||||||||||
Assumptions used in estimating fair value | ' | ||||||||||||||||
The fair value of each restricted stock grant is estimated on the date of grant using a binomial lattice valuation model. The following table indicates the assumptions used in estimating fair value of restricted stock granted during the periods ended December 31, 2013 and 2012. | |||||||||||||||||
Three Months Ended December 31, | |||||||||||||||||
2013 | 2012 | ||||||||||||||||
Expected volatility | 26.6 | % | 29.5 | % | |||||||||||||
Dividend yield | 1.1 | % | 1.2 | % | |||||||||||||
Average risk free interest rate | 1.4 | % | 0.6 | % | |||||||||||||
Average expected term (years) | 2 | 2 |
Earnings_Per_Share_Attributabl1
Earnings Per Share Attributable to Matthews Shareholders (Tables) | 3 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Earnings Per Share Attributable to Matthews' Shareholders [Abstract] | ' | ||||||||
Information used to compute earnings per share attributable to Matthews' common shareholders | ' | ||||||||
The information used to compute earnings per share attributable to Matthews’ common shareholders was as follows: | |||||||||
Three Months Ended | |||||||||
December 31, | |||||||||
2013 | 2012 | ||||||||
Net income attributable to Matthews shareholders | $ | 7,914 | $ | 8,255 | |||||
Less: dividends and undistributed earnings | 41 | 97 | |||||||
allocated to participating securities | |||||||||
Net income available to Matthews shareholders | $ | 7,873 | $ | 8,158 | |||||
Weighted-average shares outstanding (in thousands): | |||||||||
Basic shares | 27,125 | 27,275 | |||||||
Effect of dilutive securities | 227 | 114 | |||||||
Diluted shares | 27,352 | 27,389 | |||||||
Pension_and_Other_Postretireme1
Pension and Other Postretirement Benefit Plans (Tables) | 3 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Pension and Other Postretirement Benefit Plans [Abstract] | ' | ||||||||||||||||
Net periodic pension and other postretirement benefit cost | ' | ||||||||||||||||
The Company provides defined benefit pension and other postretirement plans to certain employees. Net periodic pension and other postretirement benefit cost for the plans included the following: | |||||||||||||||||
Three Months Ended December 31, | |||||||||||||||||
Pension | Other Postretirement | ||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Service cost | $ | 1,582 | $ | 1,685 | $ | 109 | $ | 199 | |||||||||
Interest cost | 2,213 | 1,913 | 230 | 282 | |||||||||||||
Expected return on plan assets | (2,396 | ) | (2,243 | ) | - | - | |||||||||||
Amortization: | |||||||||||||||||
Prior service cost | (52 | ) | (52 | ) | (22 | ) | (68 | ) | |||||||||
Net actuarial loss (gain) | 991 | 1,806 | (49 | ) | 110 | ||||||||||||
Net benefit cost | $ | 2,338 | $ | 3,109 | $ | 268 | $ | 523 | |||||||||
Contributions made and anticipated for the current fiscal year | ' | ||||||||||||||||
Contributions made and anticipated for fiscal year 2014 are as follows: | |||||||||||||||||
Contributions | Pension | Other Postretirement | |||||||||||||||
Contributions during the three months ended December 31, 2013: | |||||||||||||||||
Supplemental retirement plan | $ | 181 | $ | - | |||||||||||||
Other postretirement plan | - | 156 | |||||||||||||||
Additional contributions expected in fiscal 2014: | |||||||||||||||||
Supplemental retirement plan | 540 | - | |||||||||||||||
Other postretirement plan | - | 770 |
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Tables) | 3 Months Ended | |||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||
Accumulated Other Comprehensive Income [Abstract] | ' | |||||||||||||||||
Change in AOCI by component | ' | |||||||||||||||||
The change in AOCI by component, net of tax, for the three month period ended December 31, 2013 were as follows: | ||||||||||||||||||
Post-retirement benefit plans | Currency translation adjustment | |||||||||||||||||
Derivatives | Total | |||||||||||||||||
Attributable to Matthews: | ||||||||||||||||||
Balance, September 30, 2013 | $ | (30,100 | ) | $ | 3,714 | $ | (554 | ) | $ | (26,940 | ) | |||||||
OCI before reclassification | - | 2,546 | 577 | 3,123 | ||||||||||||||
Amounts reclassified from AOCI | (a) | 528 | (b) | 656 | 1,184 | |||||||||||||
Net current-period OCI | 528 | 2,546 | 1,233 | 4,307 | ||||||||||||||
Balance, December 31, 2013 | $ | (29,572 | ) | $ | 6,260 | $ | 679 | $ | (22,633 | ) | ||||||||
Attributable to noncontrolling interest: | ||||||||||||||||||
Balance, September 30, 2013 | - | $ | 401 | - | $ | 401 | ||||||||||||
OCI before reclassification | - | 143 | - | 143 | ||||||||||||||
Net current-period OCI | - | 143 | - | 143 | ||||||||||||||
Balance, December 31, 2013 | - | $ | 544 | - | $ | 544 | ||||||||||||
(a) | Amounts were included in net periodic benefit cost for pension and other postretirement benefit plans (see note 8). | |||||||||||||||||
(b) | Amounts were included in interest expense in the periods the hedged item affected earnings (see note 5). | |||||||||||||||||
Reclassifications out of AOCI | ' | |||||||||||||||||
Reclassifications out of AOCI for the three month period ended December 31, 2013 were as follows: | ||||||||||||||||||
Amount reclassified from AOCI | Affected line item in the Statement of income | |||||||||||||||||
Details about AOCI Components | ||||||||||||||||||
Postretirement benefit plans | ||||||||||||||||||
Prior service (cost) credit | 74 | (a) | ||||||||||||||||
Actuarial losses | (942 | ) | (a) | |||||||||||||||
(868 | ) | (b) | Total before tax | |||||||||||||||
(340 | ) | Tax provision (benefit) | ||||||||||||||||
$ | (528 | ) | Net of tax | |||||||||||||||
Derivatives | ||||||||||||||||||
Interest rate swap contracts | (1,076 | ) | Interest expense | |||||||||||||||
(1,076 | ) | (b) | Total before tax | |||||||||||||||
(420 | ) | Tax provision (benefit) | ||||||||||||||||
(656 | ) | Net of tax | ||||||||||||||||
(a) | Amounts are included in the computation of pension and other postretirement benefit expense, which is reported in both cost of goods sold and selling and administrative expenses. For additional information, see Note 8. | |||||||||||||||||
(b) | For pre-tax items, positive amounts represent income and negative amounts represent expense. |
Income_Taxes_Tables
Income Taxes (Tables) | 3 Months Ended | |
Dec. 31, 2013 | ||
Income Taxes [Abstract] | ' | |
Tax years subject to examination | ' | |
The Company is currently under examination in several tax jurisdictions and remains subject to examination until the statute of limitations expires for those tax jurisdictions. As of December 31, 2013, the tax years that remain subject to examination by major jurisdiction generally are: | ||
United States – Federal | 2010 and forward | |
United States – State | 2009 and forward | |
Canada | 2008 and forward | |
Europe | 2008 and forward | |
United Kingdom | 2012 and forward | |
Australia | 2009 and forward | |
Asia | 2008 and forward |
Segment_Information_Tables
Segment Information (Tables) | 3 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Segment Information [Abstract] | ' | ||||||||
Information about the segments | ' | ||||||||
Information about the Company's segments follows: | |||||||||
Three Months Ended | |||||||||
December 31, | |||||||||
2013 | 2012 | ||||||||
Sales to external customers: | |||||||||
Memorialization: | |||||||||
Cemetery Products | $ | 49,827 | $ | 52,824 | |||||
Funeral Home Products | 58,668 | 60,757 | |||||||
Cremation | 8,865 | 11,102 | |||||||
117,360 | 124,683 | ||||||||
Brand Solutions: | |||||||||
Graphics Imaging | 72,654 | 62,435 | |||||||
Marking and Fulfillment Systems | 21,523 | 17,915 | |||||||
Merchandising Solutions | 18,408 | 20,576 | |||||||
112,585 | 100,926 | ||||||||
$ | 229,945 | $ | 225,609 | ||||||
Operating profit: | |||||||||
Memorialization: | |||||||||
Cemetery Products | $ | 6,119 | $ | 6,372 | |||||
Funeral Home Products | 6,821 | 7,693 | |||||||
Cremation | (402 | ) | 475 | ||||||
12,538 | 14,540 | ||||||||
Brand Solutions: | |||||||||
Graphics Imaging | 1,041 | 292 | |||||||
Marking and Fulfillment Systems | 1,140 | 376 | |||||||
Merchandising Solutions | 277 | 1,291 | |||||||
2,458 | 1,959 | ||||||||
$ | 14,996 | $ | 16,499 |
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 3 Months Ended | ||||||||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||||||||
Goodwill and Other Intangible Assets [Abstract] | ' | ||||||||||||||||||||||||||||
Goodwill attributable to each segment | ' | ||||||||||||||||||||||||||||
A summary of the carrying amount of goodwill attributable to each segment as well as the changes in such amounts are as follows: | |||||||||||||||||||||||||||||
Marking and | |||||||||||||||||||||||||||||
Cemetery | Funeral Home | Graphics | Fulfillment | Merchandising | |||||||||||||||||||||||||
Products | Products | Cremation | Imaging | Systems | Solutions | Consolidated | |||||||||||||||||||||||
Goodwill | $ | 99,707 | $ | 163,208 | $ | 17,823 | $ | 193,281 | $ | 50,646 | $ | 9,138 | $ | 533,803 | |||||||||||||||
Accumulated impairment losses | (412 | ) | - | (5,000 | ) | (3,840 | ) | - | - | (9,252 | ) | ||||||||||||||||||
Balance at September 30, 2013 | 99,295 | 163,208 | 12,823 | 189,441 | 50,646 | 9,138 | 524,551 | ||||||||||||||||||||||
Additions during period | - | - | - | - | - | - | - | ||||||||||||||||||||||
Translation and other adjustments | 314 | - | 133 | 1,828 | 58 | - | 2,333 | ||||||||||||||||||||||
Goodwill | 100,021 | 163,208 | 17,956 | 195,109 | 50,704 | 9,138 | 536,136 | ||||||||||||||||||||||
Accumulated impairment losses | (412 | ) | - | (5,000 | ) | (3,840 | ) | - | - | (9,252 | ) | ||||||||||||||||||
Balance at December 31, 2013 | $ | 99,609 | $ | 163,208 | $ | 12,956 | $ | 191,269 | $ | 50,704 | $ | 9,138 | $ | 526,884 | |||||||||||||||
Other intangible assets | ' | ||||||||||||||||||||||||||||
The following tables summarize the carrying amounts and related accumulated amortization for intangible assets as of December 31, 2013 and September 30, 2013, respectively. | |||||||||||||||||||||||||||||
Carrying | Accumulated | Impairment | |||||||||||||||||||||||||||
Amount | Amortization | Loss | Net | ||||||||||||||||||||||||||
December 31, 2013: | |||||||||||||||||||||||||||||
Trade names | $ | 24,640 | $ | - | * | $ | (1,656 | ) | $ | 22,984 | |||||||||||||||||||
Trade names | 3,045 | (2,088 | ) | - | 957 | ||||||||||||||||||||||||
Customer relationships | 59,141 | (20,231 | ) | - | 38,910 | ||||||||||||||||||||||||
Copyrights/patents/other | 10,177 | (8,987 | ) | - | 1,190 | ||||||||||||||||||||||||
$ | 97,003 | $ | (31,306 | ) | $ | (1,656 | ) | $ | 64,041 | ||||||||||||||||||||
September 30, 2013: | |||||||||||||||||||||||||||||
Trade names | $ | 24,496 | $ | - | * | $ | (1,618 | ) | $ | 22,878 | |||||||||||||||||||
Trade names | 3,034 | (2,142 | ) | - | 892 | ||||||||||||||||||||||||
Customer relationships | 59,061 | (19,099 | ) | - | 39,962 | ||||||||||||||||||||||||
Copyrights/patents/other | 10,116 | (8,746 | ) | - | 1,370 | ||||||||||||||||||||||||
$ | 96,707 | $ | (29,987 | ) | $ | (1,618 | ) | $ | 65,102 | ||||||||||||||||||||
* Not subject to amortization |
Nature_of_Operations_Details
Nature of Operations (Details) | 3 Months Ended |
Dec. 31, 2013 | |
Segment | |
Nature of Operations [Abstract] | ' |
Number of business segments | 6 |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details) (Recurring [Member], USD $) | Dec. 31, 2013 | Sep. 30, 2013 | ||
In Thousands, unless otherwise specified | ||||
Assets [Abstract] | ' | ' | ||
Derivatives | $5,108 | [1] | $3,736 | [1] |
Trading securities | 18,629 | 17,929 | ||
Total assets at fair value | 23,737 | 21,665 | ||
Liabilities [Abstract] | ' | ' | ||
Derivatives | 3,995 | [1] | 4,644 | [1] |
Total liabilities at fair value | 3,995 | 4,644 | ||
Level 1 [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Derivatives | 0 | [1] | 0 | [1] |
Trading securities | 18,629 | 17,929 | ||
Total assets at fair value | 18,629 | 17,929 | ||
Liabilities [Abstract] | ' | ' | ||
Derivatives | 0 | [1] | 0 | [1] |
Total liabilities at fair value | 0 | 0 | ||
Level 2 [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Derivatives | 5,108 | [1] | 3,736 | [1] |
Trading securities | 0 | 0 | ||
Total assets at fair value | 5,108 | 3,736 | ||
Liabilities [Abstract] | ' | ' | ||
Derivatives | 3,995 | [1] | 4,644 | [1] |
Total liabilities at fair value | 3,995 | 4,644 | ||
Level 3 [Member] | ' | ' | ||
Assets [Abstract] | ' | ' | ||
Derivatives | 0 | [1] | 0 | [1] |
Trading securities | 0 | 0 | ||
Total assets at fair value | 0 | 0 | ||
Liabilities [Abstract] | ' | ' | ||
Derivatives | 0 | [1] | 0 | [1] |
Total liabilities at fair value | $0 | $0 | ||
[1] | Interest rate swaps are valued based on observable market swap rates and are classified within Level 2 of the fair value hierarchy. |
Inventories_Details
Inventories (Details) (USD $) | Dec. 31, 2013 | Sep. 30, 2013 |
In Thousands, unless otherwise specified | ||
Inventory, net [Abstract] | ' | ' |
Raw Materials | $44,185 | $40,931 |
Work in process | 28,681 | 25,293 |
Finished goods | 67,274 | 64,544 |
Inventories | $140,140 | $130,768 |
Debt_Details
Debt (Details) | 3 Months Ended | 12 Months Ended | 3 Months Ended | 3 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Mar. 31, 2013 | Mar. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | ||
USD ($) | USD ($) | Interest Rate Swaps [Member] | Interest Rate Swaps [Member] | Interest Rate Swaps [Member] | Interest Rate Swaps [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Designated as Hedging Instrument [Member] | Interest Rate Swap 1 [Member] | Interest Rate Swap 2 [Member] | Interest Rate Swap 3 [Member] | Interest Rate Swap 4 [Member] | Interest Rate Swap 5 [Member] | Interest Rate Swap 6 [Member] | Interest Rate Swap 7 [Member] | Interest Rate Swap 8 [Member] | Interest Rate Swap 9 [Member] | Domestic Revolving Credit Facility [Member] | Domestic Revolving Credit Facility [Member] | Domestic Revolving Credit Facility [Member] | Credit Facility With European Bank [Member] | Credit Facility With European Bank [Member] | Credit Facility With European Bank [Member] | Credit Facility With European Bank [Member] | Lines of Credit with Italian Banks [Member] | Lines of Credit with Italian Banks [Member] | Lines of Credit with Italian Banks [Member] | Lines of Credit with Italian Banks [Member] | Matthews International S.p.A [Member] | Matthews International S.p.A [Member] | Matthews International S.p.A [Member] | Matthews International S.p.A [Member] | Matthews International S.p.A [Member] | Matthews International S.p.A [Member] | Saueressig [Member] | Saueressig [Member] | Saueressig [Member] | Saueressig [Member] | Saueressig [Member] | Wetzel GmbH [Member] | Wetzel GmbH [Member] | Wetzel GmbH [Member] | Wetzel GmbH [Member] | Wetzel GmbH [Member] | |||
Cash Flow Hedging [Member] | Cash Flow Hedging [Member] | Cash Flow Hedging [Member] | Cash Flow Hedging [Member] | Interest Rate Swaps [Member] | Interest Rate Swaps [Member] | Interest Rate Swaps [Member] | Interest Rate Swaps [Member] | Interest Rate Swaps [Member] | Interest Rate Swaps [Member] | Interest Rate Swaps [Member] | Interest Rate Swaps [Member] | Interest Rate Swaps [Member] | Interest Rate Swaps [Member] | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | EUR (€) | USD ($) | EUR (€) | USD ($) | EUR (€) | USD ($) | EUR (€) | Lines of Credit with Italian Banks [Member] | Lines of Credit with Italian Banks [Member] | Lines of Credit with Italian Banks [Member] | Lines of Credit with Italian Banks [Member] | Credit Facility With European Bank [Member] | Credit Facility With European Bank [Member] | Credit Facility With European Bank [Member] | Credit Facility With European Bank [Member] | Credit Facility With European Bank [Member] | USD ($) | EUR (€) | USD ($) | EUR (€) | |||||||||
USD ($) | USD ($) | Interest Expense [Member] | Interest Expense [Member] | USD ($) | USD ($) | Current assets: Other Current Assets [Member] | Current assets: Other Current Assets [Member] | Long-term assets: Other Assets [Member] | Long-term assets: Other Assets [Member] | Current Liabilities: Other Current Liabilities [Member] | Current Liabilities: Other Current Liabilities [Member] | Long-Term Liabilities: Other Liabilities [Member] | Long-Term Liabilities: Other Liabilities [Member] | USD ($) | EUR (€) | USD ($) | EUR (€) | USD ($) | EUR (€) | USD ($) | EUR (€) | |||||||||||||||||||||||||||||||||
USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | USD ($) | LinesofCredit | ||||||||||||||||||||||||||||||||||||||||||||
Line of Credit Facility [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Maximum amount of borrowings available | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $500,000 | ' | ' | ' | ' | $34,363 | € 25,000 | ' | ' | ' | ' | ' | ' | $15,573 | € 11,300 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Interest rate on borrowings, based on leverage ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'LIBOR plus a factor ranging from .75% to 1.25% based on the Companybs leverage ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Maturity date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 31-Jul-18 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Annual commitment fee range on unused portion | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '.15% to .25% (based on the Companybs leverage ratio) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Maximum available for issuance of trade and standby letters of credit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 30,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Outstanding borrowings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 310,000 | 305,000 | ' | 29,825 | 21,700 | ' | ' | 6,643 | 4,800 | 6,871 | 5,100 | ' | ' | 8,453 | 6,200 | 7,639 | 5,600 | 2,300 | 1,700 | 2,310 | 1,700 | ' | 9,780 | 7,100 | 10,000 | 7,400 | ' | ||
Weighted-average interest rate on outstanding borrowings (in hundredths) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2.54% | ' | 2.62% | 1.37% | 1.37% | ' | ' | ' | ' | ' | ' | 3.16% | 3.12% | ' | ' | ' | ' | 4.04% | 4.04% | ' | ' | 3.93% | 7.53% | 7.53% | ' | ' | 6.99% | ||
Number of lines of credit | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3 | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Derivative [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Effective Date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'May 1, 2011 | 'October 1, 2011 | 'November 1, 2011 | 'March 1, 2012 | 'June 1, 2012 | 'August 1, 2012 | 'September 1, 2012 | 'September 1, 2012 | 'November 1, 2012 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 25,000 | 25,000 | 25,000 | 25,000 | 40,000 | 35,000 | 25,000 | 25,000 | 25,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Fixed Interest Rate (in hundredths) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.37% | 1.67% | 2.13% | 2.44% | 1.88% | 1.74% | 3.03% | 1.24% | 1.33% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Interest Rate Spread (in hundredths) | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1.00% | 1.00% | 1.00% | 1.00% | 1.00% | 1.00% | 1.00% | 1.00% | 1.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Maturity Date | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'May 1, 2014 | 'October 1, 2015 | 'November 1, 2014 | 'March 1, 2015 | 'June 1, 2022 | 'June 1, 2022 | 'December 1, 2015 | 'March 1, 2017 | 'November 1, 2015 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Interest rate cash flow hedges [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Unrealized gain (loss) on fair value of interest rate swaps | 1,113 | 908 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Unrealized gain (loss) on fair value of interest rate swaps, after tax | 679 | 554 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Unrealized gain (loss) expected to be recognized over the next 12 months | 1,157 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Derivatives, Fair Value [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Assets derivatives | ' | ' | ' | ' | ' | ' | ' | ' | 601 | 427 | 4,507 | 3,309 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Liability derivatives | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -2,498 | -2,590 | -1,497 | -2,054 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Total derivatives | ' | ' | ' | ' | ' | ' | 1,113 | -908 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Amount of loss recognized in income (loss) on derivatives | ' | ' | ' | ' | -1,076 | -1,003 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Amount of gain or (loss) recognized in AOCL on derivatives | ' | ' | 577 | 11 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||
Amount of gain or (loss) reclassified from AOCL into income (effective portion) | ' | ' | ' | ' | ($656) | [1] | ($612) | [1] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
[1] | There is no ineffective portion or amount excluded from effectiveness testing. |
Share_Based_Payments_Details
Share Based Payments (Details) (USD $) | 3 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Share-based compensation, aggregate disclosures [Abstract] | ' | ' |
Total stock-based compensation cost | $1,574 | $1,379 |
Future income tax benefit from compensation expense recognized | 614 | 538 |
Cash received from stock options exercised | 1,855 | 475 |
Tax benefit realized from options exercised | 177 | 63 |
2007 Equity Incentive Plan [Member] | ' | ' |
Share-based compensation, aggregate disclosures [Abstract] | ' | ' |
Term of plan | '10 years | ' |
Maximum number of shares available for grants or awards (in shares) | 2,500,000 | ' |
Shares reserved for future issuance under award plan (in shares) | 2,097,550 | ' |
Restricted Stock [Member] | ' | ' |
Share-based compensation, aggregate disclosures [Abstract] | ' | ' |
Vesting rights | 'With respect to outstanding restricted share grants, for grants made prior to fiscal 2013, generally one-half of the shares vest on the third anniversary of the grant, with the remaining one-half of the shares vesting in one-third increments upon attainment of pre-defined levels of appreciation in the market value of the Companybs Class A Common Stock. | ' |
Award expiration | 'Unvested restricted shares generally expire on the earlier of five years from the date of grant, upon employment termination, or within specified time limits following voluntary employment termination (with the consent of the Company), retirement or death. The Company issues restricted shares from treasury shares. | ' |
Restricted stock activity [Roll Forward] | ' | ' |
Non-vested at beginning of period (in shares) | 641,399 | ' |
Granted (in shares) | 201,225 | ' |
Vested (in shares) | -196,009 | ' |
Expired or forfeited (in shares) | -74,750 | ' |
Non-vested at end of period (in shares) | 571,865 | ' |
Non-vested weighted-average grant-date fair value, beginning of period (in dollars per share) | $29.46 | ' |
Granted, weighted-average grant-date fair value (in dollars per share) | $35.71 | ' |
Vested, weighted-average grant-date fair value (in dollars per share) | $29.99 | ' |
Expired or forfeited, weighted-average grant-date fair value (in dollars per share) | $30.85 | ' |
Non-vested weighted-average grant-date fair value, end of period (in dollars per share) | $31.30 | ' |
Unrecognized compensation cost [Abstract] | ' | ' |
Unrecognized compensation cost on non-vested awards | 9,434 | ' |
Weighted average period of recognition of unrecognized compensation cost on non-vested awards | '2 years | ' |
Fair value assumptions [Abstract] | ' | ' |
Expected volatility (in hundredths) | 26.60% | 29.50% |
Dividend yield (in hundredths) | 1.10% | 1.20% |
Average risk free interest rate (in hundredths) | 1.40% | 0.60% |
Average expected term | '2 years | '2 years |
Stock Options [Member] | ' | ' |
Share-based compensation, aggregate disclosures [Abstract] | ' | ' |
Exercisable rights | 'Outstanding stock options generally vest in one-third increments upon the attainment of pre-defined levels of appreciation in the market value of the Companybs Class A Common Stock. | ' |
Vesting rights | 'options generally vest in one-third increments after three, four and five years, respectively, from the grant date (but, in any event, not until the attainment of the market value thresholds). | ' |
Award expiration | 'The options expire on the earlier of ten years from the date of grant, upon employment termination, or within specified time limits following voluntary employment termination (with the consent of the Company), retirement or death. The Company generally settles employee stock option exercises with treasury shares. | ' |
Stock option activity [Roll Forward] | ' | ' |
Outstanding, beginning of period (in shares) | 744,824 | ' |
Granted (in shares) | 0 | ' |
Exercised (in shares) | -57,983 | ' |
Expired or forfeited (in shares) | -15,833 | ' |
Outstanding, end of period (in shares) | 671,008 | ' |
Exercisable (in shares) | 354,420 | ' |
Outstanding, weighted-average exercise price, beginning of period (in dollars per share) | $37.76 | ' |
Granted, weighted-average exercise price (in dollars per share) | $0 | ' |
Exercised, weighted-average exercise price (in dollars per share) | $31.99 | ' |
Expired or forfeited, weighted-average exercise price (in dollars per share) | $39.18 | ' |
Outstanding, weighted-average exercise price, end of period (in dollars per share) | $38.22 | ' |
Exercisable, weighted-average exercise price (in dollars per share) | $37.76 | ' |
Outstanding, weighted-average remaining contractual term | '2 years | ' |
Outstanding, aggregate intrinsic value | 2,944 | ' |
Exercisable, weighted-average remaining contractual term | '1 year 10 months 24 days | ' |
Exercisable, aggregate intrinsic value | 1,718 | ' |
Intrinsic value of options exercised | 488 | 182 |
Non-vested options activity [Roll Forward] | ' | ' |
Non-vested at beginning of period (in shares) | 331,755 | ' |
Granted (in shares) | 0 | ' |
Vested (in shares) | 0 | ' |
Expired or forfeited (in shares) | -15,167 | ' |
Non-vested at end of period (in shares) | 316,588 | ' |
Non-vested, weighted-average grant-date fair value, beginning of period (in dollars per share) | $11.29 | ' |
Granted, weighted-average grant-date fair value (in dollars per share) | $0 | ' |
Vested, weighted-average grant-date fair value (in dollars per share) | $0 | ' |
Expired or forfeited, weighted-average grant-date fair value (in dollars per share) | $12.25 | ' |
Non-vested, weighted-average grant-date fair value, end of period (in dollars per share) | $11.24 | ' |
Director Fee Plan [Member] | ' | ' |
Share-based compensation, aggregate disclosures [Abstract] | ' | ' |
Shares reserved for future issuance under award plan (in shares) | 300,000 | ' |
Director Fee Plan, aggregate disclosures [Abstract] | ' | ' |
Annual retainer fee paid to non-employee directors | 60 | ' |
Annual retainer fee paid to non-employee Chairman of the Board | 130 | ' |
Shares deferred under the Director Fee Plan (in shares) | 17,005 | ' |
Value of annual stock based grant | $100 | ' |
Total stock options granted to date (in shares) | 22,300 | ' |
Option awards outstanding and vested (in shares) | 11,800 | ' |
Total restricted stock awards granted to date (in shares) | 103,150 | ' |
Restricted stock awards unvested (in shares) | 38,227 | ' |
Earnings_Per_Share_Attributabl2
Earnings Per Share Attributable to Matthews Shareholders (Details) (USD $) | 3 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Earnings Per Share Attributable to Matthews' Shareholders [Abstract] | ' | ' |
Net income attributable to Matthews shareholders | $7,914 | $8,255 |
Less: dividends and undistributed earnings allocated to participating securities | 41 | 97 |
Net income available to Matthews shareholders | $7,873 | $8,158 |
Weighted-average shares outstanding [Abstract] | ' | ' |
Basic shares (in shares) | 27,125,000 | 27,275,000 |
Effect of dilutive securities (in shares) | 227,000 | 114,000 |
Diluted shares (in shares) | 27,352,000 | 27,389,000 |
Stock Options [Member] | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' |
Anti-dilutive securities excluded from computation of earnings per share (in shares) | 0 | 768,691 |
Pension_and_Other_Postretireme2
Pension and Other Postretirement Benefit Plans (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Pension [Member] | ' | ' |
Net periodic benefit cost [Abstract] | ' | ' |
Service cost | $1,582 | $1,685 |
Interest cost | 2,213 | 1,913 |
Expected return on plan assets | -2,396 | -2,243 |
Amortization [Abstract] | ' | ' |
Prior service cost | -52 | -52 |
Net actuarial loss (gain) | 991 | 1,806 |
Net benefit cost | 2,338 | 3,109 |
Other Postretirement [Member] | ' | ' |
Net periodic benefit cost [Abstract] | ' | ' |
Service cost | 109 | 199 |
Interest cost | 230 | 282 |
Expected return on plan assets | 0 | 0 |
Amortization [Abstract] | ' | ' |
Prior service cost | -22 | -68 |
Net actuarial loss (gain) | -49 | 110 |
Net benefit cost | 268 | 523 |
Benefit plan contributions [Abstract] | ' | ' |
Other postretirement plan | 156 | ' |
Additional contributions expected in fiscal 2014 | 770 | ' |
Supplemental Retirement Plan [Member] | ' | ' |
Benefit plan contributions [Abstract] | ' | ' |
Supplemental retirement plan | 181 | ' |
Additional contributions expected in fiscal 2014 | $540 | ' |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Details) (USD $) | 3 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | |
Balance | ($26,940) | ' | |
Other comprehensive income (loss), net of tax | 4,450 | 9,004 | |
Balance | -22,633 | ' | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | |
Interest expense | -2,901 | -3,247 | |
Total before tax | 11,987 | 12,380 | |
Income taxes | -4,081 | -4,377 | |
Net income | 7,906 | 8,003 | |
Matthews [Member] | ' | ' | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | |
Balance | -26,940 | ' | |
OCI before reclassification | 3,123 | ' | |
Amounts reclassified from AOCI | 1,184 | ' | |
Other comprehensive income (loss), net of tax | 4,307 | 9,305 | |
Balance | -22,633 | ' | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | |
Net income | 7,914 | 8,255 | |
Noncontrolling Interest [Member] | ' | ' | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | |
Balance | 401 | ' | |
OCI before reclassification | 143 | ' | |
Other comprehensive income (loss), net of tax | 143 | -301 | |
Balance | 544 | ' | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | |
Net income | -8 | -252 | |
Post-retirement Benefit Plans [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | |
Prior service (cost) credit | 74 | [1] | ' |
Actuarial losses | -942 | [1] | ' |
Total before tax | -868 | [2] | ' |
Income taxes | -340 | ' | |
Net income | -528 | ' | |
Post-retirement Benefit Plans [Member] | Matthews [Member] | ' | ' | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | |
Balance | -30,100 | ' | |
OCI before reclassification | 0 | ' | |
Amounts reclassified from AOCI | 528 | [3] | ' |
Other comprehensive income (loss), net of tax | 528 | ' | |
Balance | -29,572 | ' | |
Post-retirement Benefit Plans [Member] | Noncontrolling Interest [Member] | ' | ' | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | |
Balance | 0 | ' | |
OCI before reclassification | 0 | ' | |
Other comprehensive income (loss), net of tax | 0 | ' | |
Balance | 0 | ' | |
Currency Translation Adjustment [Member] | Matthews [Member] | ' | ' | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | |
Balance | 3,714 | ' | |
OCI before reclassification | 2,546 | ' | |
Other comprehensive income (loss), net of tax | 2,546 | ' | |
Balance | 6,260 | ' | |
Currency Translation Adjustment [Member] | Noncontrolling Interest [Member] | ' | ' | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | |
Balance | 401 | ' | |
OCI before reclassification | 143 | ' | |
Other comprehensive income (loss), net of tax | 143 | ' | |
Balance | 544 | ' | |
Derivatives [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | |
Interest expense | -1,076 | ' | |
Total before tax | -1,076 | [2] | ' |
Income taxes | -420 | ' | |
Net income | -656 | ' | |
Derivatives [Member] | Matthews [Member] | ' | ' | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | |
Balance | -554 | ' | |
OCI before reclassification | 577 | ' | |
Amounts reclassified from AOCI | 656 | [4] | ' |
Other comprehensive income (loss), net of tax | 1,233 | ' | |
Balance | 679 | ' | |
Derivatives [Member] | Noncontrolling Interest [Member] | ' | ' | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | |
Balance | 0 | ' | |
OCI before reclassification | 0 | ' | |
Other comprehensive income (loss), net of tax | 0 | ' | |
Balance | $0 | ' | |
[1] | Amounts are included in the computation of pension and other postretirement benefit expense, which is reported in both cost of goods sold and selling and administrative expenses. For additional information, see Note 8. | ||
[2] | For pre-tax items, positive amounts represent income and negative amounts represent expense. | ||
[3] | Amounts were included in net periodic benefit cost for pension and other postretirement benefit plans (see note 8). | ||
[4] | Amounts were included in interest expense in the periods the hedged item affected earnings (see note 5). |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2013 |
Income Taxes [Abstract] | ' | ' | ' |
Effective tax rate (in hundredths) | 34.10% | 35.40% | ' |
Federal statutory rate (in hundredths) | 35.00% | ' | ' |
Unrecognized tax benefits that would impact effective tax rate | $4,497 | ' | $4,516 |
Interest and penalties on tax uncertainties | 93 | ' | ' |
Total penalties and interest accrued | $2,494 | ' | $2,401 |
United States - Federal [Member] | ' | ' | ' |
Income Tax Contingency [Line Items] | ' | ' | ' |
Years under examination | '2010 and forward | ' | ' |
United States - State [Member] | ' | ' | ' |
Income Tax Contingency [Line Items] | ' | ' | ' |
Years under examination | '2009 and forward | ' | ' |
Canada [Member] | ' | ' | ' |
Income Tax Contingency [Line Items] | ' | ' | ' |
Years under examination | '2008 and forward | ' | ' |
Europe [Member] | ' | ' | ' |
Income Tax Contingency [Line Items] | ' | ' | ' |
Years under examination | '2008 and forward | ' | ' |
United Kingdom [Member] | ' | ' | ' |
Income Tax Contingency [Line Items] | ' | ' | ' |
Years under examination | '2012 and forward | ' | ' |
Australia [Member] | ' | ' | ' |
Income Tax Contingency [Line Items] | ' | ' | ' |
Years under examination | '2009 and forward | ' | ' |
Asia [Member] | ' | ' | ' |
Income Tax Contingency [Line Items] | ' | ' | ' |
Years under examination | '2008 and forward | ' | ' |
Segment_Information_Details
Segment Information (Details) (USD $) | 3 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 |
Segment | ||
PrincipalBusinesses | ||
Segment Information [Abstract] | ' | ' |
Number of principal businesses | 2 | ' |
Number of operating segments | 3 | ' |
Segment Reporting Information [Line Items] | ' | ' |
Sales to external customers | $229,945 | $225,609 |
Operating profit | 14,996 | 16,499 |
Memorialization [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Sales to external customers | 117,360 | 124,683 |
Operating profit | 12,538 | 14,540 |
Cemetery Products [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Sales to external customers | 49,827 | 52,824 |
Operating profit | 6,119 | 6,372 |
Funeral Home Products [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Sales to external customers | 58,668 | 60,757 |
Operating profit | 6,821 | 7,693 |
Cremation [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Sales to external customers | 8,865 | 11,102 |
Operating profit | -402 | 475 |
Brand Solutions [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Sales to external customers | 112,585 | 100,926 |
Operating profit | 2,458 | 1,959 |
Graphics Imaging [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Sales to external customers | 72,654 | 62,435 |
Operating profit | 1,041 | 292 |
Marking and Fulfillment Systems [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Sales to external customers | 21,523 | 17,915 |
Operating profit | 1,140 | 376 |
Merchandising Solutions [Member] | ' | ' |
Segment Reporting Information [Line Items] | ' | ' |
Sales to external customers | 18,408 | 20,576 |
Operating profit | $277 | $1,291 |
Acquisitions_Details
Acquisitions (Details) | 1 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2012 | Nov. 30, 2012 | Nov. 30, 2012 |
Pyramid Control Systems [Member] | Wetzel Holding AG [Member] | Wetzel Holding AG [Member] | |
USD ($) | USD ($) | EUR (€) | |
Business Acquisition [Line Items] | ' | ' | ' |
Purchase price of acquisition | $24,532 | $54,308 | € 42,300 |
Additional purchase price of acquisition | $3,700 | $2,825 | € 2,200 |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets (Details) (USD $) | 3 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | ||
Goodwill [Roll Forward] | ' | ' | ' | ||
Goodwill, gross | $533,803 | ' | ' | ||
Accumulated impairment losses | -9,252 | ' | ' | ||
Goodwill | 524,551 | ' | ' | ||
Additions during period | 0 | ' | ' | ||
Translation and other adjustments | 2,333 | ' | ' | ||
Goodwill, gross | 536,136 | ' | ' | ||
Accumulated impairment losses | -9,252 | ' | ' | ||
Goodwill | 526,884 | ' | ' | ||
Other Intangible Assets [Abstract] | ' | ' | ' | ||
Carrying Amount | 97,003 | ' | 96,707 | ||
Accumulated Amortization | -31,306 | ' | -29,987 | ||
Impairment Loss | -1,656 | ' | -1,618 | ||
Net | 64,041 | ' | 65,102 | ||
Amortization expense on intangible assets | 1,174 | 952 | ' | ||
Future amortization expense [Abstract] | ' | ' | ' | ||
Future amortization expense 2014 | 2,930 | ' | ' | ||
Future amortization expense 2015 | 3,662 | ' | ' | ||
Future amortization expense 2016 | 3,374 | ' | ' | ||
Future amortization expense 2017 | 3,181 | ' | ' | ||
Future amortization expense 2018 | 3,163 | ' | ' | ||
Trade Names Not Subject to Amortization [Member] | ' | ' | ' | ||
Other Intangible Assets [Abstract] | ' | ' | ' | ||
Carrying Amount | 24,640 | ' | 24,496 | ||
Accumulated Amortization | 0 | [1] | ' | 0 | [1] |
Impairment Loss | -1,656 | ' | -1,618 | ||
Net | 22,984 | ' | 22,878 | ||
Trade Names [Member] | ' | ' | ' | ||
Other Intangible Assets [Abstract] | ' | ' | ' | ||
Carrying Amount | 3,045 | ' | 3,034 | ||
Accumulated Amortization | -2,088 | ' | -2,142 | ||
Impairment Loss | 0 | ' | 0 | ||
Net | 957 | ' | 892 | ||
Customer Relationships [Member] | ' | ' | ' | ||
Other Intangible Assets [Abstract] | ' | ' | ' | ||
Carrying Amount | 59,141 | ' | 59,061 | ||
Accumulated Amortization | -20,231 | ' | -19,099 | ||
Impairment Loss | 0 | ' | 0 | ||
Net | 38,910 | ' | 39,962 | ||
Copyrights/Patents/Other [Member] | ' | ' | ' | ||
Other Intangible Assets [Abstract] | ' | ' | ' | ||
Carrying Amount | 10,177 | ' | 10,116 | ||
Accumulated Amortization | -8,987 | ' | -8,746 | ||
Impairment Loss | 0 | ' | 0 | ||
Net | 1,190 | ' | 1,370 | ||
Cemetery Products [Member] | ' | ' | ' | ||
Goodwill [Roll Forward] | ' | ' | ' | ||
Goodwill, gross | 99,707 | ' | ' | ||
Accumulated impairment losses | -412 | ' | ' | ||
Goodwill | 99,295 | ' | ' | ||
Additions during period | 0 | ' | ' | ||
Translation and other adjustments | 314 | ' | ' | ||
Goodwill, gross | 100,021 | ' | ' | ||
Accumulated impairment losses | -412 | ' | ' | ||
Goodwill | 99,609 | ' | ' | ||
Funeral Home Products [Member] | ' | ' | ' | ||
Goodwill [Roll Forward] | ' | ' | ' | ||
Goodwill, gross | 163,208 | ' | ' | ||
Accumulated impairment losses | 0 | ' | ' | ||
Goodwill | 163,208 | ' | ' | ||
Additions during period | 0 | ' | ' | ||
Translation and other adjustments | 0 | ' | ' | ||
Goodwill, gross | 163,208 | ' | ' | ||
Accumulated impairment losses | 0 | ' | ' | ||
Goodwill | 163,208 | ' | ' | ||
Cremation [Member] | ' | ' | ' | ||
Goodwill [Roll Forward] | ' | ' | ' | ||
Goodwill, gross | 17,823 | ' | ' | ||
Accumulated impairment losses | -5,000 | ' | ' | ||
Goodwill | 12,823 | ' | ' | ||
Additions during period | 0 | ' | ' | ||
Translation and other adjustments | 133 | ' | ' | ||
Goodwill, gross | 17,956 | ' | ' | ||
Accumulated impairment losses | -5,000 | ' | ' | ||
Goodwill | 12,956 | ' | ' | ||
Graphics Imaging [Member] | ' | ' | ' | ||
Goodwill [Roll Forward] | ' | ' | ' | ||
Goodwill, gross | 193,281 | ' | ' | ||
Accumulated impairment losses | -3,840 | ' | ' | ||
Goodwill | 189,441 | ' | ' | ||
Additions during period | 0 | ' | ' | ||
Translation and other adjustments | 1,828 | ' | ' | ||
Goodwill, gross | 195,109 | ' | ' | ||
Accumulated impairment losses | -3,840 | ' | ' | ||
Goodwill | 191,269 | ' | ' | ||
Marking and Fulfillment Systems [Member] | ' | ' | ' | ||
Goodwill [Roll Forward] | ' | ' | ' | ||
Goodwill, gross | 50,646 | ' | ' | ||
Accumulated impairment losses | 0 | ' | ' | ||
Goodwill | 50,646 | ' | ' | ||
Additions during period | 0 | ' | ' | ||
Translation and other adjustments | 58 | ' | ' | ||
Goodwill, gross | 50,704 | ' | ' | ||
Accumulated impairment losses | 0 | ' | ' | ||
Goodwill | 50,704 | ' | ' | ||
Merchandising Solutions [Member] | ' | ' | ' | ||
Goodwill [Roll Forward] | ' | ' | ' | ||
Goodwill, gross | 9,138 | ' | ' | ||
Accumulated impairment losses | 0 | ' | ' | ||
Goodwill | 9,138 | ' | ' | ||
Additions during period | 0 | ' | ' | ||
Translation and other adjustments | 0 | ' | ' | ||
Goodwill, gross | 9,138 | ' | ' | ||
Accumulated impairment losses | 0 | ' | ' | ||
Goodwill | $9,138 | ' | ' | ||
[1] | Not subject to amortization |