DOCUMENT AND ENTITY INFORMATION
DOCUMENT AND ENTITY INFORMATION - shares | 6 Months Ended | |
Oct. 31, 2015 | Dec. 08, 2015 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | METHODE ELECTRONICS INC | |
Entity Central Index Key | 65,270 | |
Current Fiscal Year End Date | --04-30 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Oct. 31, 2015 | |
Document Fiscal Year Focus | 2,016 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 38,106,823 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions | Oct. 31, 2015 | May. 02, 2015 |
CURRENT ASSETS | ||
Cash and cash equivalents | $ 186.6 | $ 168.1 |
Accounts receivable, net | 165.2 | 170.4 |
Inventories: | ||
Finished products | 13.8 | 16 |
Work in process | 9.7 | 12.2 |
Materials | 42.7 | 42.7 |
Net inventory | 66.2 | 70.9 |
Deferred income taxes | 13.9 | 15 |
Prepaid expenses and other current assets | 18.5 | 13.9 |
TOTAL CURRENT ASSETS | 450.4 | 438.3 |
PROPERTY, PLANT AND EQUIPMENT | 313.5 | 309.2 |
Less allowances for depreciation | 223 | 215.9 |
Net property, plant and equipment | 90.5 | 93.3 |
GOODWILL | 1.6 | 1.7 |
INTANGIBLE ASSETS, net | 10.1 | 11.3 |
PRE-PRODUCTION COSTS | 9.4 | 10.5 |
DEFERRED INCOME TAXES | 28.9 | 32.1 |
OTHER ASSETS | 19 | 18.6 |
Total other long-term assets | 69 | 74.2 |
TOTAL ASSETS | 609.9 | 605.8 |
CURRENT LIABILITIES | ||
Accounts payable | 71.2 | 70.1 |
Other current liabilities | 40.3 | 60.5 |
TOTAL CURRENT LIABILITIES | 111.5 | 130.6 |
LONG-TERM DEBT | 22 | 5 |
OTHER LIABILITIES | 3.9 | 4 |
DEFERRED COMPENSATION | 7.8 | 7.2 |
SHAREHOLDERS’ EQUITY | ||
Common stock, $0.50 par value, 100,000,000 shares authorized, 39,453,447 and 39,702,036 shares issued as of October 31, 2015 and May 2, 2015, respectively | 19.7 | 19.9 |
Additional paid-in capital | 108.7 | 102.2 |
Accumulated other comprehensive income | (16.4) | (8.3) |
Treasury stock, 1,346,624 shares as of October 31, 2015 and May 2, 2015 | (11.5) | (11.5) |
Retained earnings | 364.1 | 356.5 |
TOTAL METHODE ELECTRONICS, INC. SHAREHOLDERS’ EQUITY | 464.6 | 458.8 |
Noncontrolling interest | 0.1 | 0.2 |
TOTAL EQUITY | 464.7 | 459 |
TOTAL LIABILITIES AND EQUITY | $ 609.9 | $ 605.8 |
CONDENSED CONSOLIDATED BALANCE3
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Oct. 31, 2015 | May. 02, 2015 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.5 | $ 0.5 |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, shares issued (in shares) | 39,453,447 | 39,702,036 |
Treasury stock (in shares) | 1,346,624 | 1,346,624 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Oct. 31, 2015 | Nov. 01, 2014 | Oct. 31, 2015 | Nov. 01, 2014 | |
Income Statement [Abstract] | ||||
Net sales | $ 208.4 | $ 229.7 | $ 411.7 | $ 447.8 |
Cost of products sold | 157.5 | 169.5 | 307.2 | 337.2 |
Gross profit | 50.9 | 60.2 | 104.5 | 110.6 |
Selling and administrative expenses | 24.5 | 25.4 | 47.6 | 47.6 |
Income from operations | 26.4 | 34.8 | 56.9 | 63 |
Interest income, net | (0.3) | (0.1) | (0.5) | (0.2) |
Other (income) / expense | (0.2) | 0.2 | (0.5) | 0.1 |
Income before income taxes | 26.9 | 34.7 | 57.9 | 63.1 |
Income tax expense | 5.7 | 8.7 | 13.1 | 15.7 |
Net income | 21.2 | 26 | 44.8 | 47.4 |
Less: Net income attributable to noncontrolling interest | 0 | 0 | 0 | 0 |
NET INCOME ATTRIBUTABLE TO METHODE ELECTRONICS, INC. | $ 21.2 | $ 26 | $ 44.8 | $ 47.4 |
Amounts per common share attributable to Methode Electronics, Inc.: | ||||
Basic (in dollars per share) | $ 0.55 | $ 0.67 | $ 1.15 | $ 1.23 |
Diluted (in dollars per share) | 0.54 | 0.66 | 1.15 | 1.21 |
Cash dividends: | ||||
Common stock (in dollars per share) | $ 0.09 | $ 0.09 | $ 0.18 | $ 0.18 |
Weighted average number of Common Shares outstanding: | ||||
Basic (in shares) | 38,972,930 | 38,694,583 | 38,913,836 | 38,571,015 |
Diluted (in shares) | 39,077,839 | 39,516,436 | 39,031,424 | 39,038,647 |
CONDENSED CONSOLIDATED STATEME5
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Oct. 31, 2015 | Nov. 01, 2014 | Oct. 31, 2015 | Nov. 01, 2014 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 21.2 | $ 26 | $ 44.8 | $ 47.4 |
Foreign currency translation adjustment | (2) | (10.8) | (8.1) | (16.1) |
Comprehensive income | 19.2 | 15.2 | 36.7 | 31.3 |
Less: Comprehensive income attributable to non-controlling interest | 0 | 0 | 0 | 0 |
Comprehensive income attributable to Methode Electronics, Inc. | $ 19.2 | $ 15.2 | $ 36.7 | $ 31.3 |
CONDENSED CONSOLIDATED STATEME6
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions | 6 Months Ended | |
Oct. 31, 2015 | Nov. 01, 2014 | |
OPERATING ACTIVITIES | ||
Net income | $ 44.8 | $ 47.4 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Provision for depreciation | 10.8 | 11.2 |
Amortization of intangibles | 1.2 | 0.8 |
Amortization of stock awards and stock options | 2.2 | 2.2 |
Changes in operating assets and liabilities | (9.9) | 1.6 |
NET CASH PROVIDED BY OPERATING ACTIVITIES | 49.1 | 63.2 |
INVESTING ACTIVITIES | ||
Purchases of property, plant and equipment | (9.5) | (10.8) |
NET CASH USED IN INVESTING ACTIVITIES | (9.5) | (10.8) |
FINANCING ACTIVITIES | ||
Taxes paid related to net share settlement of equity awards | (7.6) | 0 |
Purchase of common stock | (22.8) | 0 |
Proceeds from exercise of stock options | 0.4 | 6.3 |
Excess tax benefit from equity-based compensation | 4 | 0 |
Cash dividends | (6.9) | (6.9) |
Proceeds from borrowings | 25 | 0 |
Repayment of borrowings | (8) | (18) |
NET CASH USED IN FINANCING ACTIVITIES | (15.9) | (18.6) |
Effect of foreign currency exchange rate changes on cash | (5.2) | (6) |
INCREASE IN CASH AND CASH EQUIVALENTS | 18.5 | 27.8 |
Cash and cash equivalents at beginning of period | 168.1 | 116.4 |
CASH AND CASH EQUIVALENTS AT END OF PERIOD | $ 186.6 | $ 144.2 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 6 Months Ended |
Oct. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
BASIS OF PRESENTATION | BASIS OF PRESENTATION Methode Electronics, Inc. was incorporated in 1946 as an Illinois corporation and reincorporated in Delaware in 1966. As used herein, “we,” “us,” “our,” the “Company” or “Methode” means Methode Electronics, Inc. and its subsidiaries. Our business is managed and our financial results are reported on a segment basis, with those segments being Automotive, Interface, Power Products and Other. The condensed consolidated financial statements and related disclosures as of October 31, 2015 and results of operations for the three and six months ended October 31, 2015 and November 1, 2014 are unaudited, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). The May 2, 2015 condensed consolidated balance sheet was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America (“U.S. GAAP”). Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted pursuant to such rules and regulations. In our opinion, these financial statements include all adjustments (consisting only of normal recurring adjustments) necessary for the fair statement of the results for the interim periods. These financial statements should be read in conjunction with the financial statements included in our Form 10-K for the year ended May 2, 2015 , filed with the SEC on June 25, 2015. Results may vary from quarter to quarter for reasons other than seasonality. |
RECENTLY ISSUED ACCOUNTING PRON
RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS | 6 Months Ended |
Oct. 31, 2015 | |
Accounting Changes and Error Corrections [Abstract] | |
RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS | RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS In May 2014, the Financial Accounting Standards Board, ("FASB") issued Accounting Standards Update ("ASU") 2014-09, “Revenue from Contracts with Customers.” The core principle is that a company should recognize revenue to depict the transfer of goods or services to a customer at an amount that reflects the consideration which the entity expects to receive in exchange for those goods or services. In August 2015, the FASB issued ASU 2015-14, “Revenue from Contracts with Customers: Deferral of the Effective Date” which deferred the effective date for all entities by one year so it is now effective for annual periods beginning after December 15, 2017 and interim periods within those annual periods. We are still assessing the impact of adoption on our consolidated financial statements. In July 2015, FASB issued ASU 2015-11, "Inventory (Topic 330): Simplifying the Measurement of Inventory". This ASU requires an entity to measure inventory at the lower of cost and net realizable value, rather than at the lower of cost or market. The guidance is effective for interim and annual periods beginning after December 15, 2016, and is to be applied prospectively. Early adoption is permitted. We do not believe the adoption of this standard will have a significant effect on our consolidated financial statements. In May 2015, the FASB issued ASU 2015-7, "Fair Value Measurement: Disclosure for Investments in Certain Entities that calculates Net Asset Value per Share (or its Equivalent)". This amendment removes the requirement to categorize within the fair value hierarchy all investments for which fair value is measured using the net value asset per share. This new guidance is effective for interim and annual reporting periods beginning after December 15, 2015, with early adoption permitted. We do not believe the adoption of this standard will have a significant effect on our consolidated financial statements. In April 2015, the FASB issued ASU 2015-03, "Simplifying the Presentation of Debt Issuance Costs". This ASU requires that debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. The amendments in this ASU are effective for financial statements issued for fiscal years beginning after December 15, 2015, and interim periods within those fiscal years. The update requires retrospective application and represents a change in accounting principle. We do not believe the adoption of this standard will have a significant effect on our consolidated financial statements. In January 2015, the FASB issued ASU 2015-01, "Income Statement - Extraordinary and Unusual Items (Subtopic 225-20)", which eliminates the concept of extraordinary items. The standard does not affect disclosure guidance for events or transactions that are unusual in nature or infrequent in their occurrence. The ASU is effective in annual periods, and interim periods within those annual periods, beginning after December 15, 2015. The standard allows prospective or retrospective application. Early adoption is permitted if applied from the beginning of the fiscal year of adoption. We do not believe the adoption of this standard will have any significant effect on our consolidated financial statements. In September 2015, the FASB issued ASU 2015-16 "Business Combinations Simplifying the Accounting for Measurement-Period Adjustments". The standard requires that an acquirer recognize measurement-period adjustments in the period in which the adjustments are determined. The income effects of such measurement-period adjustments are to be recorded in the same period’s financial statements but calculated as if the accounting had been completed as of the acquisition date. The impact of measurement-period adjustments to earnings that relate to prior period financial statements are to be presented separately on the income statement or disclosed by line item. This accounting guidance is effective for us on a prospective basis beginning in the first quarter of fiscal 2017. |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS | 6 Months Ended |
Oct. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND INTANGIBLE ASSETS | GOODWILL AND INTANGIBLE ASSETS We review our goodwill and other intangible assets for impairment whenever events or changes in circumstances indicate that the carrying amount of these assets may not be recoverable, and at least annually in accordance with ASC No. 350, “Intangibles — Goodwill and Other”. The values assigned to goodwill and intangible assets are normally based on estimates and judgments regarding expectations for the success and life cycle of products and technologies acquired. A severe decline in expectations could result in significant impairment charges, which could have a material adverse effect on our financial condition and results of operations. The following table shows the roll-forward of goodwill in the financial statements for the six months ended October 31, 2015 : As of October 31, 2015 Power Interface Products Total Balance as of May 2, 2015 $ 0.7 $ 1.0 $ 1.7 Foreign currency translation (0.1 ) — (0.1 ) Balance as of October 31, 2015 $ 0.6 $ 1.0 $ 1.6 The following tables present details of the Company’s intangible assets: As of October 31, 2015 Wtd. Avg. Remaining Accumulated Amortization Gross Amortization Net Periods (Years) Customer relationships and agreements $ 16.3 $ 15.2 $ 1.1 8.3 Trade names, patents and technology licenses 25.8 16.8 9.0 2.9 Covenants not to compete 0.1 0.1 — 1.9 Total $ 42.2 $ 32.1 $ 10.1 As of May 2, 2015 Wtd. Avg. Remaining Accumulated Amortization Gross Amortization Net Periods (Years) Customer relationships and agreements $ 16.3 $ 15.0 $ 1.3 8.8 Trade names, patents and technology licenses 25.8 15.8 10.0 3.3 Covenants not to compete 0.1 0.1 — 2.4 Total $ 42.2 $ 30.9 $ 11.3 The estimated aggregate amortization expense for the current fiscal year and each of the four succeeding fiscal years is as follows: 2016 $2.4 2017 $2.3 2018 $2.2 2019 $2.1 2020 $0.2 As of October 31, 2015 and May 2, 2015 , the trade names, patents and technology licenses include $1.8 million of trade names that are not subject to amortization. |
INCOME TAXES
INCOME TAXES | 6 Months Ended |
Oct. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES At May 2, 2015, we recorded a deferred tax benefit of $7.2 million related to the release of a foreign valuation allowance and a $1.4 million deferred tax benefit related to the release of our state valuation allowance. The Company evaluated all available positive and negative evidence, including past operating results and projection of future taxable income and determined it is more likely than not that expected future taxable income will be sufficient to utilize substantially all of our foreign, federal and US state net deferred tax assets. The Company maintained a valuation allowance of $1.2 million at October 31, 2015 and May 2, 2015 related to certain state and federal net operating loss carryovers and expects to continue to maintain this allowance until we determine that these deferred tax assets are more likely than not realizable. At October 31, 2015 , we had available $2.1 million of federal and $80.6 million of state net operating loss carry forwards (having a tax benefit of $0.7 million and $3.8 million , respectively) and $3.7 million of foreign tax credit carry forwards. If unused, the U.S. federal net operating loss carry forwards will expire in the fiscal years 2018 through 2031. The state net operating loss carry forwards will expire in the fiscal years 2016 through 2035. The foreign tax credits will expire in the fiscal years 2023 through 2024. The tax laws of Malta provide for investment tax credits of 30% of certain qualified expenditures. Unused credits of $16.1 million as of October 31, 2015 can be carried forward indefinitely. We record investment tax credits using the "flow through" method. The Company recognized an income tax provision of $5.7 million and $8.7 million for the three months ended October 31, 2015 and November 1, 2014 , respectively. The Company's effective tax rate was 21.2% and 25.1% for the three months ended October 31, 2015 and November 1, 2014 , respectively. The Company recognized an income tax provision of $13.1 million and $15.7 million for the six months ended October 31, 2015 and November 1, 2014 , respectively. The Company's effective tax rate was 22.7% and 24.9% for the six months ended October 31, 2015 and November 1, 2014 , respectively. The income tax provision for both the three and six months ended October 31, 2015 and November 1, 2014 is lower than the U.S. statutory rate primarily due to foreign investment tax credits and foreign operations with lower statutory rates. We record interest and penalties accrued related to the unrecognized tax benefits in the provision for income taxes. We had approximately $0.1 million accrued at October 31, 2015 for the payment of interest and penalties. The total unrecognized tax benefit as of October 31, 2015 was $0.9 million. We recorded an unrecognized tax benefit of $0.1 million in the first half of fiscal 2016. There have been no material changes to the accrued amounts in the current fiscal year. The Company and all of its domestic subsidiaries file income tax returns in the U.S. federal jurisdiction and various states. Our foreign subsidiaries file income tax returns in certain foreign jurisdictions since they have operations outside the U.S. The Company and its subsidiaries are generally no longer subject to U.S. federal, state and local examinations by tax authorities for all years except fiscal 2014, 2013, 2012 and 2011. |
COMMON STOCK AND STOCK-BASED CO
COMMON STOCK AND STOCK-BASED COMPENSATION | 6 Months Ended |
Oct. 31, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
COMMON STOCK AND STOCK-BASED COMPENSATION | COMMON STOCK AND STOCK-BASED COMPENSATION During the quarter ended October 31, 2015, the Compensation Committee of the Board of Directors authorized a new long-term incentive program for key employees consisting of performance-based Restricted Stock Awards (“RSAs”) and time-based Restricted Stock Units (“RSUs”). The number of RSAs earned will vary based on performance relative to established goals for fiscal 2020 adjusted EBITDA, with 50% of the target shares earned for threshold performance (representing 342,000 shares), 100% of the target shares earned for target performance (representing 684,000 shares) and 150% of the target shares earned for maximum performance (representing 1,026,000 shares). At the target level of performance, the expected expense for the RSAs over the five -year period will be $21.8 million. During the quarter ended October 31, 2015, the Company recorded $0.4 million in compensation expense related to the RSA’s. As of October 31, 2015, the Company is recording the RSA compensation expense based on target performance. In future periods, if management makes a determination that the target will likely be exceeded for fiscal 2020, a catch-up adjustment to compensation expense will be recorded in that period. This amount could be material to the financial statements. The Company also granted 516,000 RSU's to key employees. The RSU’s are subject to a five -year vesting period, with 30% vesting on on each April 28, 2018 and 2019 and 40% vesting on May 2, 2020. The total expense for the RSU's is expected to be $16.5 million through 2020. During the quarter ended October 31, 2015, the Company recorded $0.4 million of compensation expense related to the RSU's. |
NET INCOME PER SHARE
NET INCOME PER SHARE | 6 Months Ended |
Oct. 31, 2015 | |
Earnings Per Share [Abstract] | |
NET INCOME PER SHARE | NET INCOME PER SHARE Basic net income per share is calculated by dividing net income attributable to Methode shareholders by the weighted average number of common shares outstanding for the applicable period. Diluted net income per share is calculated after adjusting the denominator of the basic net income per share calculation for the effect of all potentially dilutive stock compensation awards outstanding during the period. The following table sets forth the computation of basic and diluted net income per share: Three Months Ended Six Months Ended October 31, November 1, October 31, November 1, Numerator - net income attributable to Methode Electronics, Inc. $ 21.2 $ 26.0 $ 44.8 $ 47.4 Denominator: — — Denominator for basic net income per share-weighted average shares outstanding and vested/unissued restricted stock awards 38,972,930 38,694,583 38,913,836 38,571,015 Dilutive potential common shares-employee and director stock options, restricted stock awards and restricted stock units 104,909 821,853 117,588 467,632 Denominator for diluted net income per share 39,077,839 39,516,436 39,031,424 39,038,647 Net income per share: Basic $ 0.55 $ 0.67 $ 1.15 $ 1.23 Diluted $ 0.54 $ 0.66 $ 1.15 $ 1.21 For the three months and six months ended October 31, 2015 and November 1, 2014 , options to purchase 158,500 shares have been excluded in the computation of diluted net income per share because the exercise price was greater than the average market price for those periods, and therefore, would have been anti-dilutive. Restricted stock awards for 684,000 shares have been excluded in the computation of diluted net income per share for both the three months and six months ended October 31, 2015, as these awards are contingent on the Company's full year performance in fiscal 2020. Restricted stock awards for 700,000 shares have been excluded in the computation of diluted net income per share for both the three months and six months ended November 1, 2014 , as these awards were contingent on the Company's full year performance in fiscal 2015. |
SEGMENT INFORMATION
SEGMENT INFORMATION | 6 Months Ended |
Oct. 31, 2015 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | SEGMENT INFORMATION We are a global manufacturer of component and subsystem devices. We design, manufacture and market devices employing electrical, electronic, wireless, sensing and optical technologies. Our components are found in the primary end markets of the automotive, appliance, communications (including information processing and storage, networking equipment, wireless and terrestrial voice/data systems), aerospace, rail and other transportation industries, and the consumer and industrial equipment markets. ASC No. 280, “Segment Reporting”, establishes annual and interim reporting standards for an enterprise’s operating segments and related disclosures about its products, services, geographic areas and major customers. An operating segment is defined as a component of an enterprise that engages in business activities from which it may earn revenues and incur expenses, and about which separate financial information is regularly evaluated by the Chief Operating Decision Maker (“CODM”) in deciding how to allocate resources. The CODM, as defined by ASC No. 280, is the Company’s President and Chief Executive Officer (“CEO”). We have multiple operating segments that are aggregated in four reportable segments. Those segments are Automotive, Interface, Power Products and Other. The Automotive segment supplies electronic and electromechanical devices and related products to automobile Original Equipment Manufacturers ("OEMs"), either directly or through their tiered suppliers. Our products include control switches for electrical power and signals, connectors for electrical devices, integrated control components, switches and sensors that monitor the operation or status of a component or system, and packaging of electrical components as well as design and manufacture of magnetic torque sensing products. The Interface segment provides a variety of copper and fiber-optic interconnect and interface solutions for the aerospace, appliance, commercial, computer, construction, consumer, material handling, medical, military, mining, networking, storage, and telecommunications markets. Solutions include conductive polymers, connectors, custom cable assemblies, industrial safety radio remote controls, optical and copper transceivers, personal computer and express card packaging and terminators, solid-state field effect interface panels, and thick film inks. Services include the design and installation of fiber optic and copper infrastructure systems, and manufacturing active and passive optical components. The Power Products segment manufactures braided flexible cables, current-carrying laminated bus devices, custom power-product assemblies, high-current low voltage flexible power cabling systems and powder coated bus bars that are used in various markets and applications, including aerospace, computers, industrial and power conversion, military, telecommunications, and transportation. The Other segment includes medical devices, inverters and battery systems and insulated gate bipolar transistor solutions. The accounting policies of the segments are the same as those described in the summary of significant accounting policies in our Form 10-K for the fiscal year ended May 2, 2015 . We allocate resources to segments based on operating income. Transfers between segments are recorded using internal transfer prices set by us. Three Months Ended October 31, 2015 Automotive Interface Power Products Other Eliminations/Corporate Consolidated Net sales $ 163.1 $ 36.0 $ 11.8 $ — $ (2.5 ) $ 208.4 Transfers between segments (2.3 ) (0.2 ) — — 2.5 — Net sales to unaffiliated customers $ 160.8 $ 35.8 $ 11.8 $ — $ — $ 208.4 Income (loss) from operations $ 35.1 $ 1.4 $ 0.5 $ (1.9 ) $ (8.7 ) $ 26.4 Interest income, net (0.3 ) Other income, net (0.2 ) Income before income taxes $ 26.9 Three Months Ended November 1, 2014 Automotive Interface Power Products Other Eliminations/Corporate Consolidated Net sales $ 167.1 $ 41.1 $ 21.7 $ 1.7 $ (1.9 ) $ 229.7 Transfers between segments (1.2 ) (0.5 ) (0.1 ) (0.1 ) 1.9 — Net sales to unaffiliated customers $ 165.9 $ 40.6 $ 21.6 $ 1.6 $ — $ 229.7 Income/(loss) from operations $ 35.0 $ 4.8 $ 5.6 $ (1.0 ) $ (9.6 ) $ 34.8 Interest income, net (0.1 ) Other expense, net 0.2 Income before income taxes $ 34.7 Six Months Ended October 31, 2015 Automotive Interface Power Products Other Eliminations/Corporate Consolidated Net sales $ 317.9 $ 70.1 $ 28.3 $ 0.1 $ (4.7 ) $ 411.7 Transfers between segments (4.1 ) (0.5 ) — (0.1 ) 4.7 — Net sales to unaffiliated customers $ 313.8 $ 69.6 $ 28.3 $ — $ — $ 411.7 Income/(loss) from operations $ 71.1 $ 2.1 $ 3.5 $ (4.1 ) $ (15.7 ) $ 56.9 Interest income, net (0.5 ) Other income, net (0.5 ) Income before income taxes $ 57.9 Six Months Ended November 1, 2014 Automotive Interface Power Products Other Eliminations/Corporate Consolidated Net sales $ 323.9 $ 85.6 $ 38.0 $ 3.4 $ (3.1 ) $ 447.8 Transfers between segments (1.6 ) (1.1 ) (0.2 ) (0.1 ) 3.0 — Net sales to unaffiliated customers $ 322.3 $ 84.5 $ 37.8 $ 3.3 $ (0.1 ) $ 447.8 Income/(loss) from operations $ 62.7 $ 11.9 $ 8.6 $ (3.1 ) $ (17.1 ) $ 63.0 Interest income, net (0.2 ) Other expense, net 0.1 Income before income taxes $ 63.1 |
CONTINGENCIES
CONTINGENCIES | 6 Months Ended |
Oct. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
CONTINGENCIES | CONTINGENCIES Certain litigation arising in the normal course of business is pending against us. We are from time to time subject to various legal actions and claims incidental to our business, including those arising out of alleged defects, breach of contracts, employment-related matters and environmental matters. We consider insurance coverage and third-party indemnification when determining required accruals for pending litigation and claims. Although the outcome of potential legal actions and claims cannot be determined, it is our opinion, based on the information available, that we have adequate reserves for these liabilities. Hetronic Germany-GmbH Matters For several years, Hetronic Germany-GmbH and Hydronic-Steuersysteme-GmbH (the “Fuchs companies”) served as our distributors for Germany, Austria and other central and eastern European countries pursuant to their respective intellectual property licenses and distribution and assembly agreements. We became aware that the Fuchs companies and their managing director, Albert Fuchs, had materially violated those agreements. As a result, we terminated all of our agreements with the Fuchs companies. On June 20, 2014, we filed a lawsuit against the Fuchs companies in the Federal District Court for the Western District of Oklahoma alleging material breaches of the distribution and assembly agreements seeking damages, as well as various forms of injunctive relief. The defendants have filed counterclaims alleging breach of contract, interference with business relations and business slander. On April 2, 2015, we amended our complaint against the Fuchs companies to add additional unfair competition and Lanham Act claims and to add additional, affiliated parties. The Court denied the defendants’ motions to dismiss, although some of the defendants have filed a motion to reconsider that denial. Discovery has commenced in the case and is ongoing. |
PRE-PRODUCTION COSTS RELATED TO
PRE-PRODUCTION COSTS RELATED TO LONG-TERM SUPPLY ARRANGEMENTS | 6 Months Ended |
Oct. 31, 2015 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
PRE-PRODUCTION COSTS RELATED TO LONG-TERM SUPPLY ARRANGEMENTS | PRE-PRODUCTION COSTS RELATED TO LONG-TERM SUPPLY ARRANGEMENTS We incur pre-production tooling costs related to certain products produced for our customers under long-term supply agreements. We had $9.4 million and $10.5 million as of October 31, 2015 and May 2, 2015 , respectively, of pre-production tooling costs related to customer-owned tools for which reimbursement is contractually guaranteed by the customer or for which the customer has provided a non-cancelable right to use the tooling. Engineering, testing and other costs incurred in the design and development of production parts are expensed as incurred, unless the costs are reimbursable, as specified in a customer contract. |
DEBT AND CREDIT AGREEMENT
DEBT AND CREDIT AGREEMENT | 6 Months Ended |
Oct. 31, 2015 | |
Debt Disclosure [Abstract] | |
DEBT AND CREDIT AGREEMENT | DEBT AND CREDIT AGREEMENT We are party to an Amended and Restated Credit Agreement with Bank of America, N.A., as administrative agent, and certain other financial institutions, which has a maturity of September 21, 2017. The credit facility is in the aggregate principal amount of $100.0 million, with an option to increase the principal amount by an additional $50.0 million, subject to customary conditions and approval of the lender(s) providing new commitment(s). The credit facility provides for variable rates of interest based on the type of borrowing and the Company's debt to EBITDA financial ratio. The Amended and Restated Credit Agreement is guaranteed by certain of our U.S. subsidiaries. At October 31, 2015, the interest rate on the credit facility was 1.5% plus LIBOR and we were in compliance with the covenants of the agreement. During the first six months of fiscal 2016, we had borrowings of $25.0 million and payments of $8.2 million, which includes interest of $0.2 million, under this credit facility. As of October 31, 2015 , there were outstanding balances against the credit facility of $22.0 million. There was $78.0 million available to borrow under the credit facility as of October 31, 2015 , which does not include the option to increase the principal amount. We believe the fair value approximates the carrying amount as of October 31, 2015 . |
BASIS OF PRESENTATION (Policies
BASIS OF PRESENTATION (Policies) | 6 Months Ended |
Oct. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Goodwill and Intangible Assets | We review our goodwill and other intangible assets for impairment whenever events or changes in circumstances indicate that the carrying amount of these assets may not be recoverable, and at least annually in accordance with ASC No. 350, “Intangibles — Goodwill and Other”. The values assigned to goodwill and intangible assets are normally based on estimates and judgments regarding expectations for the success and life cycle of products and technologies acquired. A severe decline in expectations could result in significant impairment charges, which could have a material adverse effect on our financial condition and results of operations. |
Net Income Per Share | Basic net income per share is calculated by dividing net income attributable to Methode shareholders by the weighted average number of common shares outstanding for the applicable period. Diluted net income per share is calculated after adjusting the denominator of the basic net income per share calculation for the effect of all potentially dilutive stock compensation awards outstanding during the period. |
Segment Information | The accounting policies of the segments are the same as those described in the summary of significant accounting policies in our Form 10-K for the fiscal year ended May 2, 2015 . We allocate resources to segments based on operating income. Transfers between segments are recorded using internal transfer prices set by us. |
Contingencies | Certain litigation arising in the normal course of business is pending against us. We are from time to time subject to various legal actions and claims incidental to our business, including those arising out of alleged defects, breach of contracts, employment-related matters and environmental matters. We consider insurance coverage and third-party indemnification when determining required accruals for pending litigation and claims. |
GOODWILL AND INTANGIBLE ASSETS
GOODWILL AND INTANGIBLE ASSETS (Tables) | 6 Months Ended |
Oct. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill Roll-forward | The following table shows the roll-forward of goodwill in the financial statements for the six months ended October 31, 2015 : As of October 31, 2015 Power Interface Products Total Balance as of May 2, 2015 $ 0.7 $ 1.0 $ 1.7 Foreign currency translation (0.1 ) — (0.1 ) Balance as of October 31, 2015 $ 0.6 $ 1.0 $ 1.6 |
Schedule of Intangible Assets | The following tables present details of the Company’s intangible assets: As of October 31, 2015 Wtd. Avg. Remaining Accumulated Amortization Gross Amortization Net Periods (Years) Customer relationships and agreements $ 16.3 $ 15.2 $ 1.1 8.3 Trade names, patents and technology licenses 25.8 16.8 9.0 2.9 Covenants not to compete 0.1 0.1 — 1.9 Total $ 42.2 $ 32.1 $ 10.1 As of May 2, 2015 Wtd. Avg. Remaining Accumulated Amortization Gross Amortization Net Periods (Years) Customer relationships and agreements $ 16.3 $ 15.0 $ 1.3 8.8 Trade names, patents and technology licenses 25.8 15.8 10.0 3.3 Covenants not to compete 0.1 0.1 — 2.4 Total $ 42.2 $ 30.9 $ 11.3 |
Schedule of Estimated Aggregate Amortization Expense of Intangible Assets | The estimated aggregate amortization expense for the current fiscal year and each of the four succeeding fiscal years is as follows: 2016 $2.4 2017 $2.3 2018 $2.2 2019 $2.1 2020 $0.2 |
NET INCOME PER SHARE (Tables)
NET INCOME PER SHARE (Tables) | 6 Months Ended |
Oct. 31, 2015 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Basic and Diluted Net Income Per Share | The following table sets forth the computation of basic and diluted net income per share: Three Months Ended Six Months Ended October 31, November 1, October 31, November 1, Numerator - net income attributable to Methode Electronics, Inc. $ 21.2 $ 26.0 $ 44.8 $ 47.4 Denominator: — — Denominator for basic net income per share-weighted average shares outstanding and vested/unissued restricted stock awards 38,972,930 38,694,583 38,913,836 38,571,015 Dilutive potential common shares-employee and director stock options, restricted stock awards and restricted stock units 104,909 821,853 117,588 467,632 Denominator for diluted net income per share 39,077,839 39,516,436 39,031,424 39,038,647 Net income per share: Basic $ 0.55 $ 0.67 $ 1.15 $ 1.23 Diluted $ 0.54 $ 0.66 $ 1.15 $ 1.21 |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 6 Months Ended |
Oct. 31, 2015 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Three Months Ended October 31, 2015 Automotive Interface Power Products Other Eliminations/Corporate Consolidated Net sales $ 163.1 $ 36.0 $ 11.8 $ — $ (2.5 ) $ 208.4 Transfers between segments (2.3 ) (0.2 ) — — 2.5 — Net sales to unaffiliated customers $ 160.8 $ 35.8 $ 11.8 $ — $ — $ 208.4 Income (loss) from operations $ 35.1 $ 1.4 $ 0.5 $ (1.9 ) $ (8.7 ) $ 26.4 Interest income, net (0.3 ) Other income, net (0.2 ) Income before income taxes $ 26.9 Three Months Ended November 1, 2014 Automotive Interface Power Products Other Eliminations/Corporate Consolidated Net sales $ 167.1 $ 41.1 $ 21.7 $ 1.7 $ (1.9 ) $ 229.7 Transfers between segments (1.2 ) (0.5 ) (0.1 ) (0.1 ) 1.9 — Net sales to unaffiliated customers $ 165.9 $ 40.6 $ 21.6 $ 1.6 $ — $ 229.7 Income/(loss) from operations $ 35.0 $ 4.8 $ 5.6 $ (1.0 ) $ (9.6 ) $ 34.8 Interest income, net (0.1 ) Other expense, net 0.2 Income before income taxes $ 34.7 Six Months Ended October 31, 2015 Automotive Interface Power Products Other Eliminations/Corporate Consolidated Net sales $ 317.9 $ 70.1 $ 28.3 $ 0.1 $ (4.7 ) $ 411.7 Transfers between segments (4.1 ) (0.5 ) — (0.1 ) 4.7 — Net sales to unaffiliated customers $ 313.8 $ 69.6 $ 28.3 $ — $ — $ 411.7 Income/(loss) from operations $ 71.1 $ 2.1 $ 3.5 $ (4.1 ) $ (15.7 ) $ 56.9 Interest income, net (0.5 ) Other income, net (0.5 ) Income before income taxes $ 57.9 Six Months Ended November 1, 2014 Automotive Interface Power Products Other Eliminations/Corporate Consolidated Net sales $ 323.9 $ 85.6 $ 38.0 $ 3.4 $ (3.1 ) $ 447.8 Transfers between segments (1.6 ) (1.1 ) (0.2 ) (0.1 ) 3.0 — Net sales to unaffiliated customers $ 322.3 $ 84.5 $ 37.8 $ 3.3 $ (0.1 ) $ 447.8 Income/(loss) from operations $ 62.7 $ 11.9 $ 8.6 $ (3.1 ) $ (17.1 ) $ 63.0 Interest income, net (0.2 ) Other expense, net 0.1 Income before income taxes $ 63.1 |
GOODWILL AND INTANGIBLE ASSET21
GOODWILL AND INTANGIBLE ASSETS - Schedule of Goodwill Roll-forward (Details) $ in Millions | 6 Months Ended |
Oct. 31, 2015USD ($) | |
Goodwill [Roll Forward] | |
Beginning balance | $ 1.7 |
Foreign currency translation | (0.1) |
Ending balance | 1.6 |
Interconnect | |
Goodwill [Roll Forward] | |
Beginning balance | 0.7 |
Foreign currency translation | (0.1) |
Ending balance | 0.6 |
Power Products | |
Goodwill [Roll Forward] | |
Beginning balance | 1 |
Foreign currency translation | 0 |
Ending balance | $ 1 |
GOODWILL AND INTANGIBLE ASSET22
GOODWILL AND INTANGIBLE ASSETS - Schedule of Intangible Assets (Details) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Oct. 31, 2015 | May. 02, 2015 | |
Finite-lived Intangible Assets [Roll Forward] | ||
Gross | $ 42.2 | $ 42.2 |
Accumulated Amortization | 32.1 | 30.9 |
Net | 10.1 | 11.3 |
Customer relationships and agreements | ||
Finite-lived Intangible Assets [Roll Forward] | ||
Gross | 16.3 | 16.3 |
Accumulated Amortization | 15.2 | 15 |
Net | $ 1.1 | $ 1.3 |
Wtd. Avg. Remaining Amortization Periods (Years) | 8 years 3 months 15 days | 8 years 9 months 18 days |
Trade names, patents and technology licenses | ||
Finite-lived Intangible Assets [Roll Forward] | ||
Gross | $ 25.8 | $ 25.8 |
Accumulated Amortization | 16.8 | 15.8 |
Net | $ 9 | $ 10 |
Wtd. Avg. Remaining Amortization Periods (Years) | 2 years 10 months 12 days | 3 years 4 months 6 days |
Covenants not to compete | ||
Finite-lived Intangible Assets [Roll Forward] | ||
Gross | $ 0.1 | $ 0.1 |
Accumulated Amortization | 0.1 | 0.1 |
Net | $ 0 | $ 0 |
Wtd. Avg. Remaining Amortization Periods (Years) | 1 year 10 months 12 days | 2 years 5 months |
GOODWILL AND INTANGIBLE ASSET23
GOODWILL AND INTANGIBLE ASSETS - Schedule of Estimated Aggregate Amortization Expense of Intangible Assets (Details) $ in Millions | Oct. 31, 2015USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2,016 | $ 2.4 |
2,017 | 2.3 |
2,018 | 2.2 |
2,019 | 2.1 |
2,020 | $ 0.2 |
GOODWILL AND INTANGIBLE ASSET24
GOODWILL AND INTANGIBLE ASSETS - Narrative (Details) - USD ($) $ in Millions | Oct. 31, 2015 | May. 02, 2015 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Trade names not subject to amortization | $ 1.8 | $ 1.8 |
INCOME TAXES - Narrative (Detai
INCOME TAXES - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Oct. 31, 2015 | Nov. 01, 2014 | Oct. 31, 2015 | Nov. 01, 2014 | May. 02, 2015 | |
Valuation Allowance [Line Items] | |||||
Deferred tax benefit related to release of foreign valuation allowance | $ 7.2 | ||||
Deferred tax benefit related to release of state valuation allowance | 1.4 | ||||
Federal tax expense (benefit) | $ (0.7) | ||||
State tax expense (benefit) | (3.8) | ||||
Foreign tax credit carryforward | $ 3.7 | 3.7 | |||
Income tax expense | $ 5.7 | $ 8.7 | $ 13.1 | $ 15.7 | |
Effective income tax rate | 21.20% | 25.10% | 22.70% | 24.90% | |
Unrecognized tax benefits, income tax penalties and interest accrued | $ 0.1 | $ 0.1 | |||
Total unrecognized tax benefit | $ 0.9 | 0.9 | |||
Unrecognized tax benefit recorded | $ 0.1 | ||||
Malta | Investment Tax Credit Carryforward | |||||
Valuation Allowance [Line Items] | |||||
Investment tax credit on qualified expenditures, percent | 30.00% | 30.00% | |||
Unused credits | $ 16.1 | $ 16.1 | |||
Federal | |||||
Valuation Allowance [Line Items] | |||||
Operating loss carryforwards | 2.1 | 2.1 | |||
State | |||||
Valuation Allowance [Line Items] | |||||
Operating loss carryforwards | 80.6 | 80.6 | |||
Domestic federal and state | |||||
Valuation Allowance [Line Items] | |||||
Valuation allowances against deferred tax assets | $ 1.2 | $ 1.2 | $ 1.2 |
COMMON STOCK AND STOCK-BASED 26
COMMON STOCK AND STOCK-BASED COMPENSATION - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 60 Months Ended |
Oct. 31, 2015 | May. 02, 2020 | |
Performance-Based Restricted Stock Awards (RSAs) | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting period | 5 years | |
Compensation expense | $ 0.4 | |
Performance-Based Restricted Stock Awards (RSAs) | 50% of Target Shares | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting percent | 50.00% | |
Number of RSAs earned based on performance (in shares) | 342,000 | |
Performance-Based Restricted Stock Awards (RSAs) | 100% of Target Shares | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting percent | 100.00% | |
Number of RSAs earned based on performance (in shares) | 684,000 | |
Performance-Based Restricted Stock Awards (RSAs) | 150% of Target Shares | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting percent | 150.00% | |
Number of RSAs earned based on performance (in shares) | 1,026,000 | |
Performance-Based Restricted Stock Awards (RSAs) | Forecast | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Compensation expense | $ 21.8 | |
Time-Based Restricted Stock Units (RSUs) | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting period | 5 years | |
Compensation expense | $ 0.4 | |
Awarded (in shares) | 516,000 | |
Time-Based Restricted Stock Units (RSUs) | April 28, 2018 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting percent | 30.00% | |
Time-Based Restricted Stock Units (RSUs) | April 28, 2019 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting percent | 30.00% | |
Time-Based Restricted Stock Units (RSUs) | May 2, 2020 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Vesting percent | 40.00% | |
Time-Based Restricted Stock Units (RSUs) | Forecast | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Compensation expense | $ 16.5 |
NET INCOME PER SHARE - Schedule
NET INCOME PER SHARE - Schedule of Computation of Basic and Diluted Net Income Per Share (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Oct. 31, 2015 | Nov. 01, 2014 | Oct. 31, 2015 | Nov. 01, 2014 | |
Earnings Per Share [Abstract] | ||||
Numerator - net income attributable to Methode Electronics, Inc. | $ 21.2 | $ 26 | $ 44.8 | $ 47.4 |
Denominator for basic net income per share-weighted average shares outstanding and vested/unissued restricted stock awards (in shares) | 38,972,930 | 38,694,583 | 38,913,836 | 38,571,015 |
Dilutive potential common shares-employee and director stock options, restricted stock awards and restricted stock units (in shares) | 104,909 | 821,853 | 117,588 | 467,632 |
Denominator for diluted net income per share (in shares) | 39,077,839 | 39,516,436 | 39,031,424 | 39,038,647 |
Net income per share: | ||||
Basic (in dollars per share) | $ 0.55 | $ 0.67 | $ 1.15 | $ 1.23 |
Diluted (in dollars per share) | $ 0.54 | $ 0.66 | $ 1.15 | $ 1.21 |
NET INCOME PER SHARE - Narrativ
NET INCOME PER SHARE - Narrative (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Oct. 31, 2015 | Nov. 01, 2014 | Oct. 31, 2015 | Nov. 01, 2014 | |
Stock options | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of EPS (in shares) | 158,500 | 158,500 | 158,500 | 158,500 |
Restricted Stock Awards (RSAs) | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Antidilutive securities excluded from computation of EPS (in shares) | 684,000 | 700,000 | 684,000 | 700,000 |
SEGMENT INFORMATION - Narrative
SEGMENT INFORMATION - Narrative (Details) | 6 Months Ended |
Oct. 31, 2015segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 4 |
SEGMENT INFORMATION - Schedule
SEGMENT INFORMATION - Schedule of Segment Reporting Information, by Segment (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Oct. 31, 2015 | Nov. 01, 2014 | Oct. 31, 2015 | Nov. 01, 2014 | |
Segment Reporting Information [Line Items] | ||||
Net sales to unaffiliated customers | $ 208.4 | $ 229.7 | $ 411.7 | $ 447.8 |
Income (loss) from operations | 26.4 | 34.8 | 56.9 | 63 |
Interest income, net | (0.3) | (0.1) | (0.5) | (0.2) |
Other income, net | (0.2) | 0.2 | (0.5) | 0.1 |
Income before income taxes | 26.9 | 34.7 | 57.9 | 63.1 |
Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | (208.4) | (229.7) | (411.7) | (447.8) |
Transfers between segments | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 0 | 0 | 0 | 0 |
Automotive | ||||
Segment Reporting Information [Line Items] | ||||
Net sales to unaffiliated customers | 160.8 | 165.9 | 313.8 | 322.3 |
Income (loss) from operations | 35.1 | 35 | 71.1 | 62.7 |
Automotive | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | (163.1) | (167.1) | (317.9) | (323.9) |
Automotive | Transfers between segments | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | (2.3) | (1.2) | (4.1) | (1.6) |
Interface | ||||
Segment Reporting Information [Line Items] | ||||
Net sales to unaffiliated customers | 35.8 | 40.6 | 69.6 | 84.5 |
Income (loss) from operations | 1.4 | 4.8 | 2.1 | 11.9 |
Interface | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | (36) | (41.1) | (70.1) | (85.6) |
Interface | Transfers between segments | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | (0.2) | (0.5) | (0.5) | (1.1) |
Power Products | ||||
Segment Reporting Information [Line Items] | ||||
Net sales to unaffiliated customers | 11.8 | 21.6 | 28.3 | 37.8 |
Income (loss) from operations | 0.5 | 5.6 | 3.5 | 8.6 |
Power Products | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | (11.8) | (21.7) | (28.3) | (38) |
Power Products | Transfers between segments | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 0 | (0.1) | 0 | (0.2) |
Other | ||||
Segment Reporting Information [Line Items] | ||||
Net sales to unaffiliated customers | 0 | 1.6 | 0 | 3.3 |
Income (loss) from operations | (1.9) | (1) | (4.1) | (3.1) |
Other | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 0 | (1.7) | (0.1) | (3.4) |
Other | Transfers between segments | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 0 | (0.1) | (0.1) | (0.1) |
Eliminations/Corporate | ||||
Segment Reporting Information [Line Items] | ||||
Net sales to unaffiliated customers | 0 | 0 | 0 | (0.1) |
Income (loss) from operations | (8.7) | (9.6) | (15.7) | (17.1) |
Eliminations/Corporate | Operating Segments | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | 2.5 | 1.9 | 4.7 | 3.1 |
Eliminations/Corporate | Transfers between segments | ||||
Segment Reporting Information [Line Items] | ||||
Net sales | $ 2.5 | $ 1.9 | $ 4.7 | $ 3 |
PRE-PRODUCTION COSTS RELATED 31
PRE-PRODUCTION COSTS RELATED TO LONG-TERM SUPPLY ARRANGEMENTS - Narrative (Details) - USD ($) $ in Millions | Oct. 31, 2015 | May. 02, 2015 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
Pre-production costs | $ 9.4 | $ 10.5 |
DEBT AND CREDIT AGREEMENT - Nar
DEBT AND CREDIT AGREEMENT - Narrative (Details) - USD ($) | 6 Months Ended | |
Oct. 31, 2015 | Nov. 01, 2014 | |
Line of Credit Facility [Line Items] | ||
Proceeds from borrowings | $ 25,000,000 | $ 0 |
Repayments in the period | 8,000,000 | $ 18,000,000 |
Line of credit | ||
Line of Credit Facility [Line Items] | ||
Maximum borrowing capacity | 100,000,000 | |
Optional increase in borrowing capacity, up to | $ 50,000,000 | |
Basis spread on variable rate | 1.50% | |
Variable rate basis | LIBOR | |
Proceeds from borrowings | $ 25,000,000 | |
Repayments in the period | 8,200,000 | |
Interest expense | 200,000 | |
Amount outstanding | 22,000,000 | |
Available borrowing capacity | $ 78,000,000 |