Document And Entity Information
Document And Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Mar. 01, 2019 | Jun. 29, 2018 | |
Document and Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2018 | ||
Document Fiscal Year Focus | 2,018 | ||
Document Fiscal Period Focus | FY | ||
Entity Registrant Name | MYR GROUP INC. | ||
Entity Central Index Key | 700,923 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Accelerated Filer | ||
Entity Public Float | $ 485.7 | ||
Trading Symbol | MYRG | ||
Entity Common Stock, Shares Outstanding | 16,599,744 | ||
Entity Shell Company | false | ||
Entity Emerging Growth Company | false | ||
Entity Small Business | false |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Current assets | ||
Cash and cash equivalents | $ 7,507 | $ 5,343 |
Accounts receivable, net of allowances of $1,331 and $605, respectively | 288,427 | 240,276 |
Contract assets | 160,281 | 120,992 |
Current portion of receivable for insurance claims in excess of deductibles | 10,572 | 4,221 |
Refundable income taxes | 0 | 391 |
Other current assets | 8,847 | 8,513 |
Total current assets | 475,634 | 379,736 |
Property and equipment, net of accumulated depreciation of $253,495 and $231,391, respectively | 161,892 | 148,084 |
Goodwill | 56,588 | 46,994 |
Intangible assets, net of accumulated amortization of $7,031 and $5,183, respectively | 33,266 | 10,852 |
Receivable for insurance claims in excess of deductibles | 17,173 | 14,295 |
Investment in joint venture | 1,324 | 168 |
Other assets | 2,878 | 3,659 |
Total assets | 748,755 | 603,788 |
Current liabilities | ||
Current portion of long-term debt | 3,681 | 0 |
Current portion of capital lease obligations | 1,119 | 1,086 |
Accounts payable | 139,480 | 110,383 |
Contract liabilities | 58,534 | 30,224 |
Current portion of accrued self-insurance | 19,633 | 13,138 |
Other current liabilities | 61,358 | 33,733 |
Total current liabilities | 283,805 | 188,564 |
Deferred income tax liabilities | 17,398 | 13,452 |
Long-term debt | 86,111 | 78,960 |
Accrued self-insurance | 34,406 | 32,225 |
Capital lease obligations, net of current maturities | 1,514 | 2,629 |
Other liabilities | 1,057 | 919 |
Total liabilities | 424,291 | 316,749 |
Commitments and contingencies | ||
Stockholders' equity | ||
Preferred stock – $0.01 par value per share; 4,000,000 authorized shares; none issued and outstanding at December 31, 2018 and December 31, 2017 | 0 | 0 |
Common stock – $0.01 par value per share; 100,000,000 authorized shares; 16,564,961 and 16,464,757 shares issued and outstanding at December 31, 2018 and December 31, 2017, respectively | 165 | 163 |
Additional paid-in capital | 148,276 | 143,934 |
Accumulated other comprehensive income (loss) | (193) | (299) |
Retained earnings | 174,736 | 143,241 |
Total stockholders' equity attributable to MYR Group Inc. | 322,984 | 287,039 |
Noncontrolling interest | 1,480 | 0 |
Total stockholders' equity | 324,464 | 287,039 |
Total liabilities and stockholders' equity | $ 748,755 | $ 603,788 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Allowance for doubtful accounts receivable | $ 1,331 | $ 605 |
Property and equipment, accumulated depreciation | 253,495 | 231,391 |
Intangible assets, accumulated amortization | $ 7,031 | $ 5,183 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 4,000,000 | 4,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, shares issued (in shares) | 16,564,961 | 16,464,757 |
Common stock, shares outstanding (in shares) | 16,564,961 | 16,464,757 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Contract revenues | $ 1,531,169 | $ 1,403,317 | $ 1,142,487 |
Contract costs | 1,364,109 | 1,278,313 | 1,007,764 |
Gross profit | 167,060 | 125,004 | 134,723 |
Selling, general and administrative expenses | 118,737 | 98,611 | 96,424 |
Amortization of intangible assets | 1,843 | 499 | 886 |
Gain on sale of property and equipment | (3,832) | (3,664) | (1,341) |
Income from operations | 50,312 | 29,558 | 38,754 |
Other income (expense): | |||
Interest income | 24 | 4 | 5 |
Interest expense | (3,652) | (2,603) | (1,299) |
Other income (expense), net | (3,616) | (2,319) | 885 |
Income before provision for income taxes | 43,068 | 24,640 | 38,345 |
Income tax expense | 11,774 | 3,486 | 16,914 |
Net income | 31,294 | 21,154 | 21,431 |
Less: net income – noncontrolling interests | 207 | 0 | 0 |
Net income attributable to MYR Group Inc. | $ 31,087 | $ 21,154 | $ 21,431 |
Income per common share attributable to MYR Group Inc.: | |||
- Basic (in dollars per share) | $ 1.89 | $ 1.30 | $ 1.25 |
- Diluted (in dollars per share) | $ 1.87 | $ 1.28 | $ 1.23 |
Weighted average number of common shares and potential common shares outstanding: | |||
- Basic (in shares) | 16,441 | 16,273 | 17,109 |
- Diluted (in shares) | 16,585 | 16,496 | 17,461 |
Net income | $ 31,294 | $ 21,154 | $ 21,431 |
Other comprehensive income (loss): | |||
Foreign currency translation adjustment | 106 | 134 | (549) |
Other comprehensive income (loss) | 106 | 134 | (549) |
Total comprehensive income | 31,400 | 21,288 | 20,882 |
Net income attributable to noncontrolling interests | 207 | 0 | 0 |
Total comprehensive income attributable to MYR Group Inc. | $ 31,193 | $ 21,288 | $ 20,882 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands | Total | Preferred Stock [Member] | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Income (loss) [Member] | Retained Earnings [Member] | MYR Group Inc. Shareholders' Equity [Member] | Noncontrolling Interest [Member] |
Balance at Dec. 31, 2015 | $ 329,880 | $ 0 | $ 198 | $ 161,342 | $ 116 | $ 168,224 | $ 329,880 | $ 0 |
Balance (in shares) at Dec. 31, 2015 | 19,969 | |||||||
Net income | 21,431 | 21,431 | 21,431 | |||||
Stock issued under compensation plans, net | 6,219 | $ 6 | 6,213 | 6,219 | ||||
Stock issued under compensation plans, net (in shares) | 589 | |||||||
Tax benefit from stock-based awards | 2,044 | 2,044 | 2,044 | |||||
Stock-based compensation expense | 4,674 | 4,674 | 4,674 | |||||
Shares repurchased | (100,587) | $ (42) | (34,235) | (66,310) | (100,587) | |||
Shares repurchased (in shares) | (4,228) | |||||||
Other comprehensive income (loss) | (549) | (549) | (549) | |||||
Stock issued – other | 62 | 62 | 62 | |||||
Stock issued - other (in shares) | 3 | |||||||
Balance at Dec. 31, 2016 | 263,174 | 0 | $ 162 | 140,100 | (433) | 123,345 | 263,174 | 0 |
Balance (in shares) at Dec. 31, 2016 | 16,333 | |||||||
Net income | 21,154 | 21,154 | 21,154 | |||||
Adjustment to adopt ASU No. 2016-09 at Dec. 31, 2016 | 0 | 225 | (225) | |||||
Stock issued under compensation plans, net | 1,232 | $ 2 | 1,230 | 1,232 | ||||
Stock issued under compensation plans, net (in shares) | 224 | |||||||
Stock-based compensation expense | 4,376 | 4,376 | 4,376 | |||||
Shares repurchased | (3,059) | $ (1) | (2,025) | (1,033) | (3,059) | |||
Shares repurchased (in shares) | (93) | |||||||
Other comprehensive income (loss) | 134 | 134 | 134 | |||||
Stock issued – other | 28 | 28 | 28 | |||||
Stock issued - other (in shares) | 1 | |||||||
Balance at Dec. 31, 2017 | 287,039 | 0 | $ 163 | 143,934 | (299) | 143,241 | 287,039 | 0 |
Balance (in shares) at Dec. 31, 2017 | 16,465 | |||||||
Net income | 31,294 | 31,087 | 31,087 | 207 | ||||
Adjustment to adopt ASC 606 at Dec. 31, 2017 | 695 | 695 | 695 | |||||
Stock issued under compensation plans, net | 1,897 | $ 2 | 1,895 | 1,897 | ||||
Stock issued under compensation plans, net (in shares) | 132 | |||||||
Stock-based compensation expense | 3,165 | 3,165 | 3,165 | |||||
Shares repurchased | (1,043) | (756) | (287) | (1,043) | ||||
Shares repurchased (in shares) | (33) | |||||||
Noncontrolling interest acquired | 1,273 | 1,273 | ||||||
Other comprehensive income (loss) | 106 | 106 | 106 | |||||
Stock issued – other | 38 | 38 | 38 | |||||
Stock issued - other (in shares) | 1 | |||||||
Balance at Dec. 31, 2018 | $ 324,464 | $ 0 | $ 165 | $ 148,276 | $ (193) | $ 174,736 | $ 322,984 | $ 1,480 |
Balance (in shares) at Dec. 31, 2018 | 16,565 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Cash flows from operating activities: | |||
Net income | $ 31,294 | $ 21,154 | $ 21,431 |
Adjustments to reconcile net income to net cash flows provided by (used in) operating activities – | |||
Depreciation and amortization of property and equipment | 38,070 | 38,077 | 38,236 |
Amortization of intangible assets | 1,843 | 499 | 886 |
Stock-based compensation expense | 3,165 | 4,376 | 4,674 |
Deferred income taxes | 3,649 | (5,091) | 4,205 |
Gain on sale of property and equipment | (3,832) | (3,664) | (1,341) |
Other non-cash items | 237 | 1,194 | 194 |
Changes in operating assets and liabilities, net of acquisitions | |||
Accounts receivable, net | (15,871) | (35,944) | (22,473) |
Contract assets | (28,141) | (17,857) | (22,013) |
Receivable for insurance claims in excess of deductibles | (9,229) | (39) | (7,187) |
Other assets | 2,280 | (2,213) | 3,730 |
Accounts payable | 19,953 | 8,149 | 17,322 |
Contract liabilities | 22,551 | (14,317) | 790 |
Accrued self-insurance | 8,701 | 2,765 | 5,617 |
Other liabilities | 10,119 | (6,287) | 10,419 |
Net cash flows provided by (used in) operating activities | 84,789 | (9,198) | 54,490 |
Cash flows from investing activities: | |||
Proceeds from sale of property and equipment | 4,583 | 4,342 | 3,299 |
Cash paid for acquisitions, net of cash acquired | (47,082) | 0 | (12,056) |
Purchases of property and equipment | (50,704) | (30,843) | (25,371) |
Net cash flows used in investing activities | (93,203) | (26,501) | (34,128) |
Cash flows from financing activities: | |||
Net borrowings (repayments) under revolving lines of credit | (20,655) | 19,890 | 59,070 |
Payment of principal obligations under capital leases | (1,081) | (1,203) | (740) |
Borrowings under equipment notes | 31,486 | 0 | 0 |
Proceeds from exercise of stock options | 1,897 | 1,232 | 6,218 |
Repurchase of common shares | (1,043) | (3,058) | (101,483) |
Other financing activities | 38 | 28 | 1,396 |
Net cash flows provided by (used in) financing activities | 10,642 | 16,889 | (35,539) |
Effect of exchange rate changes on cash | (64) | 307 | (774) |
Net increase (decrease) in cash and cash equivalents | 2,164 | (18,503) | (15,951) |
Cash and cash equivalents: | |||
Beginning of period | 5,343 | 23,846 | 39,797 |
End of period | 7,507 | 5,343 | 23,846 |
Supplemental Cash Flow Information: | |||
Income taxes payments | 7,247 | 6,597 | 6,274 |
Interest payments | 3,097 | 2,259 | 1,114 |
Noncash investing activities: | |||
Acquisition of property and equipment for which payment is pending | 953 | 2,050 | 614 |
Acquisition of property under capital lease arrangements | 0 | 0 | 5,658 |
Noncash financing activities: | |||
Capital lease obligations initiated | $ 0 | $ 0 | $ 5,658 |
Organization, Business and Sign
Organization, Business and Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization, Business and Significant Accounting Policies | 1. Organization, Business and Significant Accounting Policies Organization and Business MYR Group Inc. (the “Company”) is a holding company of specialty electrical construction service providers and is currently conducting operations through wholly owned subsidiaries including: The L. E. Myers Co., a Delaware corporation; Harlan Electric Company, a Michigan corporation; Great Southwestern Construction, Inc., a Colorado corporation; Sturgeon Electric Company, Inc., a Michigan corporation; MYR Transmission Services, Inc., a Delaware corporation; E.S. Boulos Company, a Delaware corporation; High Country Line Construction, Inc., a Nevada corporation; Sturgeon Electric California, LLC, a Delaware limited liability company; GSW Integrated Services, LLC, a Delaware limited liability company; Huen Electric, Inc., a Delaware corporation; MYR Transmission Services Canada, Ltd., a British Columbia corporation; Northern Transmission Services, Ltd., a British Columbia corporation and Western Pacific Enterprises Ltd., a British Columbia corporation. The Company performs construction services in two business segments: Transmission and Distribution (“T&D”), and Commercial and Industrial (“C&I”). T&D customers include investor-owned utilities, cooperatives, private developers, government-funded utilities, independent power producers, independent transmission companies, industrial facility owners and other contractors. T&D provides a broad range of services, which include design, engineering, procurement, construction, upgrade, maintenance and repair services, with a particular focus on construction, maintenance and repair. C&I customers include general contractors, commercial and industrial facility owners, local governments and developers. C&I provides a broad range of services, which include design, installation, maintenance and repair of commercial and industrial wiring, the installation of traffic networks and the installation of bridge, roadway and tunnel lighting. Significant Accounting Policies Consolidation The accompanying Financial Statements include the results of operations of the Company and its subsidiaries. Significant intercompany transactions and balances have been eliminated. Certain reclassifications were made to prior year amounts to conform to the current year presentation. In connection with the adoption of Revenue from Contracts with Customers (Topic 606) Revenue Recognition On January 1, 2018, the Company adopted . 2014-09, Revenue from Contracts with Customers (Topic 606) Revenue Recognition (Topic 605 Under Topic 606, 606-10-25. As the cost-to-cost method is driven by incurred cost, the Company calculates the percentage of completion by dividing costs incurred to date by the total estimated cost. The percentage of completion is then multiplied by estimated revenues to determine inception-to-date revenue. Revenue recognized for the period is the current inception-to-date recognized revenue less the prior period inception-to-date recognized revenue. If a contract is projected to result in a loss, the entire contract loss is recognized in the period when the loss was first determined and the amount of the loss is updated in subsequent reporting periods. Because the Company’s billings are based on contract terms and do not coincide with our progress in a project, revenue recognition also includes an amount related to a contract asset or contract liability. If the recognized revenue is greater than the amount billed to the customer, a contract asset is recorded. Additionally, the contract asset includes retainage billed to the customer that cannot be collected until the contract work has been completed and approved. Conversely, if the amount billed to the customer is greater than the recognized revenue, a contract liability is recorded. Additionally, the contract liability includes a liability for the excess of costs over revenues for all contracts that are in a loss position. Contract costs incurred to date and expected total contract costs are continuously monitored during the term of the contract. Changes in the job performance, job conditions and final contract settlements are factors that influence management’s assessment of total contract value and the total estimated costs to complete those contracts, and therefore, profit and revenue recognition. Additionally, the Company estimates costs to complete on fixed price contracts which are determined on an individual contract basis by evaluating each project’s status as of the balance sheet date, and using our historical experience with the level of effort required to complete the underlying project. Claims and change orders are also measured based on our historical experience with individual customers and similar contracts, and are evaluated by management individually. A change order is a modification to a contract that changes the provisions of the contract, typically resulting from changes in scope, specifications, design, manner of performance, facilities, equipment, materials, sites, or period of completion of the work under the contract. A claim is an amount in excess of the agreed-upon contract price that the Company seeks to collect from its clients or others for client-caused delays, errors in specifications and designs, contract terminations, change orders that are either in dispute or are unapproved as to both scope and price, or other causes. The Company includes these estimated amounts of variable consideration to the extent that it is probable there will not be a significant reversal of revenue. Some of the Company’s contracts may have contract terms that include variable consideration such as safety or performance bonuses or liquidated damages. In accordance with ASC 606-10-32, the Company estimates the variable consideration using one of two methods. In contracts in which there is a binary outcome, the most likely amount method is used. In instances in which there is a range of possible outcomes, the expected value method is used. In accordance with ASC 606-10-32-11, A portion of the work the Company performs requires financial assurances in the form of performance and payment bonds or letters of credit at the time of execution of the contract. Many of the Company’s contracts include retention provisions of up to 10%, The Company provides warranties to customers on a basis customary to the industry; however, the warranty period does not typically exceed one year. Historically, warranty claims have not been material to the Company. Total revenues do not include sales tax as the Company considers itself a pass-through conduit for collecting and remitting sales taxes. Sales tax and value added tax collected from customers is included in other current liabilities on the Company’s consolidated balance sheets. Prior to January 1, 2018 Revenue Recognition (Topic 605 Under Topic 605, Under Topic 605, Joint Ventures and Noncontrolling Interests The Company accounts for investments in joint ventures using the proportionate consolidation method for income statement reporting and under the equity method for balance sheet reporting, unless the Company has a controlling interest causing the joint venture to be consolidated with equity owned by other joint venture partners recorded as noncontrolling interests. Under the proportionate consolidation method, joint venture activity is allocated to the appropriate line items found on the consolidated statements of operations in proportion to the percentage of participation the Company has in the joint venture. Under the equity method the net investment in joint ventures is stated as a single item on the consolidated balance sheets. For joint ventures which the Company does not have a controlling interest, the Company’s share of any profits and assets and its share of any losses and liabilities are recognized based on the Company’s stated percentage partnership interest in the joint venture, and are normally recorded by the Company one month in arrears. The investments in joint ventures are recorded at cost and the carrying amounts are adjusted to recognize the Company’s proportionate share of cumulative income or loss, additional contributions made and dividends and capital distributions received. The Company records the effect of any impairment or any other-than-temporary decrease in the value of the joint venture investment as incurred, which may or may not be one month in arrears, depending on when the Company obtains the joint venture activity information. Additionally, the Company continually assesses the fair value of its investment in unconsolidated joint ventures despite using information that is one month in arrears for regular reporting purposes. The Company includes only its percentage ownership of each joint venture in its backlog. See Note 16 — Noncontrolling Interests to the Financial Statements for further information related to joint ventures in which the Company has a majority controlling interest. Foreign Currency The functional currency for the Company’s Canadian operations is the Canadian dollar. Assets and liabilities denominated in Canadian dollars are translated into U.S. dollars at the end-of-period exchange rate. Revenues and expenses are translated using average exchange rates for the periods reported. Equity accounts are translated at historical rates. Cumulative translation adjustments are included as a separate component of accumulated other comprehensive income in shareholders’ equity. Foreign currency transaction gains and losses, arising primarily from changes in exchange rates on short-term monetary assets and liabilities, and ineffective long-term monetary assets and liabilities are recorded in the “other income, net” line on the consolidated statements of operations. For the year ended December 31, 2018, the Company recorded an insignificant amount of foreign currency losses. Effective foreign currency transaction gains and losses, arising primarily from long-term assets and liabilities are recorded in the foreign currency translation adjustment line on the consolidated statements of comprehensive income. Use of Estimates The preparation of financial statements in conformity with GAAP 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 revenues and expenses during the period reported. Actual results could differ from those estimates. The most significant estimates are related to estimates of costs to complete on contracts, pending change orders and claims, shared savings, insurance reserves, income tax reserves, estimates surrounding stock-based compensation, the recoverability of goodwill and intangibles and accounts receivable reserves. Actual results could differ from these estimates. In 2018, the Company recognized revenues of $3.4 million related to significant change orders and/or claims that had been included as contract price adjustments on certain contracts which were in the process of being negotiated in the normal course of business. The cost-to-cost method of accounting requires the Company to make estimates about the expected revenue and gross profit on each of its contracts in process. During the year ended December 31, 2018, changes in estimates pertaining to certain projects decreased consolidated gross margin by 0.7%, which resulted in decreases in operating income of $10.5 million, net income attributable to MYR Group Inc. of $8.2 million and diluted earnings per common share of $0.49. The estimates are reviewed and revised quarterly, as needed. During the year ended December 31, 2017, changes in estimates pertaining to certain projects decreased consolidated gross margin by 0.7%, which resulted in decreases in operating income of $10.4 million, net income attributable to MYR Group Inc. of $6.2 million and diluted earnings per common share $0.38. During the year ended December 31, 2016, changes in estimates pertaining to certain projects decreased consolidated gross margin by 0.2%, which resulted in decreases in operating income of $2.6 million, net income attributable to MYR Group Inc. of $1.4 million and diluted earnings per common share attributable to MYR Group Inc. of $0.08. Advertising Advertising costs are expensed when incurred. Advertising costs, included in selling, general and administrative expenses, were $0.7 million, $0.7 million and $0.6 million for the years ended December 31, 2018, 2017 and 2016, respectively. Income Taxes The Company follows the liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are recorded for future tax consequences of temporary differences between the financial reporting and tax basis of assets and liabilities, and are measured using the enacted tax rates and laws that are expected to be in effect when the underlying assets or liabilities are recovered or settled. The Company also evaluates whether the recorded deferred tax assets and valuation allowances can be realized and, when necessary, reduces the amounts to what is expected to be realized. Interest and penalties related to uncertain income tax positions are included in income tax expense in the accompanying consolidated statements of operations. Interest and penalties actually incurred are charged to interest expense and the “other income, net” line, respectively. Stock-Based Compensation The Company determines compensation expense for stock-based awards based on the estimated fair values at the grant date and recognize the related compensation expense over the vesting period. The Company uses the straight-line amortization method to recognize compensation expense related to stock-based awards, such as restricted stock, restricted stock units and phantom stock units, that have only service conditions. This method recognizes stock compensation expense on a straight-line basis over the requisite service period for the entire award. The Company recognizes compensation expense related to performance awards that vest based on internal performance metrics and service conditions on a straight-line basis over the service period, but adjust inception-to-date expense based upon our determination of the potential achievement of the performance target at each reporting date. The Company recognizes compensation expense related to performance awards with market-based performance metrics on a straight-line basis over the requisite service period. Upon adoption ASU No. 2016-09, Compensation — Stock Compensation (Topic 718) Earnings Per Share The Company computes earnings per share using the treasury stock method. Under the treasury stock method, basic earnings per share attributable to MYR Group Inc. are computed by dividing net income attributable to MYR Group Inc. by the weighted average number of common shares outstanding during the period. Diluted earnings per share attributable to MYR Group Inc. are computed by dividing net income attributable to MYR Group Inc. by the weighted average number of common shares outstanding during the period plus all potentially dilutive common stock equivalents, except in cases where the effect of the common stock equivalent would be anti-dilutive. Cash and Cash Equivalents The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. As of December 31, 2018 and 2017, the Company held its cash in checking accounts or in highly liquid money market funds. The Company’s banking arrangements allow the Company to fund outstanding checks when presented to financial institutions for payment. The Company funds all intraday bank balances overdrafts during the same business day. Checks issued and outstanding in excess of bank balance are recorded in accounts payable in the Consolidated Balance Sheets and are reflected as a financing activity in the Consolidated Statements of Cash Flows. Accounts Receivable and Allowance for Doubtful Accounts The Company does not charge interest to its customers and carries its customer receivables at their face amounts, less an allowance for doubtful accounts. Based on the Company’s experience in recent years, the majority of customer balances at each balance sheet date are collected within twelve months. As is common practice in the industry, the Company classifies all accounts receivable as current assets. The Company grants trade credit, on a non-collateralized basis (with the exception of lien rights against the property in certain cases), to its customers and is subject to potential credit risk related to changes in business and overall economic activity. The Company analyzes specific accounts receivable balances, historical bad debts, customer credit-worthiness, current economic trends and changes in customer payment terms when evaluating the adequacy of the allowance for doubtful accounts. In the event that a customer balance is deemed to be uncollectible, the account balance is written-off against the allowance for doubtful accounts. Classification of Contract Assets and Liabilities The Company recognizes revenue associated with its contracts with customers over time, for which the Company has an enforceable right to receive compensation. Many of our contracts contain specific provisions that determine when the Company can bill for its work performed under these contracts. Any revenue earned on a contract that has not yet been billed to the customer is recorded as a contract asset on the Company’s consolidated balance sheets. Contract retainages associated with contract work that has been completed and billed but not paid by its customers until the contracts are substantially complete, pursuant to contract retainage provisions under the contract, are also included in contract assets. The allowance for collection of contract retainage was not significant as of December 31, 2018 and 2017. The Company’s consolidated balance sheets present contract liabilities which contain deferred revenue that represent any costs incurred on contracts in process for which revenue has not yet been recognized. Additionally, accruals for contracts in a loss provision are included in contract liabilities. Property and Equipment Property and equipment is carried at cost. Depreciation is computed using the straight-line method over estimated useful lives. Major modifications or refurbishments which extend the useful life of the assets are capitalized and depreciated over the adjusted remaining useful life of the assets. Upon retirement or disposition of property and equipment, the cost and related accumulated depreciation are removed and any resulting gain or loss is recognized in income from operations. The cost of maintenance and repairs is charged to expense as incurred. Property and equipment is reviewed for impairment and tested for recoverability whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. If the carrying value of property and equipment exceeds its fair value, an impairment charge would be recorded in the statement of operations. Leases The Company leases certain real estate, construction equipment and office equipment. Real estate is generally leased for terms up to ten years in duration. The terms and conditions of leases (such as renewal or purchase options and escalation clauses), if material, are reviewed at inception to determine the classification (operating or capital) of the lease. Nonperformance-related default covenants, cross-default provisions, subjective default provisions and material adverse change clauses contained in material lease agreements, if any, are also evaluated to determine whether those clauses affect lease classification in accordance with ASC Topic 840-10-25. Insurance The Company carries insurance policies, which are subject to certain deductibles, for workers’ compensation, general liability, automobile liability and other coverages. The deductible for each line of coverage is up to $ 1.0 2.0 0.2 The insurance and claims accruals are based on known facts, actuarial estimates and historical trends. While recorded accruals are based on the ultimate liability, which includes amounts in excess of the deductible, a corresponding receivable for amounts in excess of the deductible is included in current assets in the consolidated balance sheets. Goodwill and Intangible Assets Goodwill and intangible assets with indefinite lives are not amortized. Intangible assets with finite lives are amortized on a straight-line basis over their estimated useful lives. The Company reviews goodwill and intangible assets with indefinite lives for impairment on an annual basis at the beginning of the fourth quarter, or when circumstances change, such as a significant adverse change in the business climate or the decision to sell a business, both of which would indicate that impairment may have occurred. Intangible assets with finite lives are also reviewed for impairment and tested for recoverability whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. The Company may perform either a qualitative assessment or a two-step goodwill impairment test. The qualitative assessment considers financial, industry, segment and macroeconomic factors. If the qualitative assessment indicates a potential for impairment, the two-step method is used to determine if impairment exists. The two-step method begins with a comparison of the fair value of the reporting unit with its carrying value. If the carrying amount of the reporting unit exceeds its fair value, the second step of the process involves a comparison of the implied fair value and carrying value of the goodwill of that reporting unit. The company also performs a qualitative assessment on intangible assets with indefinite lives. If the qualitative assessment indicates a potential for impairment, a quantitative impairment test would be performed to compare the fair value of the indefinite-lived intangible asset with its carrying value. If the carrying value of goodwill or other indefinite-lived assets exceeds its implied fair value, an impairment charge would be recorded in the statement of operations. As a result of the annual qualitative review process in 2017 and 2016, the Company determined it was not necessary to perform a two-step analysis. In 2018, Concentrations Financial instruments that potentially subject the Company to a concentration of credit risk consist principally of cash and cash equivalents and accounts receivable. The Company maintains substantially all of its cash and cash equivalent balances with large financial institutions which are believed to be high quality institutions. The Company is subject to a concentration of risk because it derives a significant portion of its revenues from a few customers. The Company’s top ten customers accounted for approximately 32.9%, 40.4%, and 46.4% of consolidated revenues for the years ended December 31, 2018, 2017 and 2016, respectively. For the year ended December 31, 2017, one T&D customer accounted for 10.7% of our revenues. For the years ended December 31, 2018 and 2016, no single customer accounted for more than 10.0% of annual revenues. The Company grants trade credit under contractual payment terms, generally without collateral, to its customers, which include high credit quality electric utilities, governmental entities, general contractors and builders, owners and managers of commercial and industrial properties. Consequently, the Company is subject to potential credit risk related to changes in business and economic factors. However, the Company generally has certain statutory lien rights with respect to services provided. Under certain circumstances such as foreclosures or negotiated settlements, the Company may take title to the underlying assets in lieu of cash in settlement of receivables. As of December 31, 2018 and 2017, none of our customers individually exceeded 10.0% of accounts receivable. The Company believes the terms and conditions in its contracts, billing and collection policies are adequate to minimize the potential credit risk. As of December 31, 2018, approximately 88% of the Company’s craft labor employees were covered by collective bargaining agreements. Although the majority of these agreements prohibit strikes and work stoppages, the Company cannot be certain that strikes or work stoppages will not occur in the future. Recent Accounting Pronouncements Changes to GAAP are typically established by the Financial Accounting Standards Board (“FASB”) in the form of accounting standards updates (“ASUs”) to the FASB’s Accounting Standards Codification (“ASC”). The Company considers the applicability and impact of all ASUs. The Company, based on its assessment, determined that any recently issued or proposed ASUs not listed below are either not applicable to the Company or may have minimal impact on its Financial Statements. Recently Adopted Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) Revenue from Contracts with Customers (Topic 606) were not adjusted and continue to be reported in accordance with the Company’s historical accounting under Revenue Recognition Topic 605. See Note 3 Revenue Recognition to the Financial Statements for further information related to the Company’s accounting policy and transition disclosures associated with the adoption of this pronouncement. In January 2017, the FASB issued ASU No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business In October 2016, the FASB issued ASU No. 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments Recently Issued Accounting Pronouncements In January 2017, the FASB issued ASU No. 2017-04, Intangibles — Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) The Company continues to evaluate the impact that this pronouncement, and all amendments relating to this pronouncement, will have on its policies and procedures pertaining to its existing and future lease arrangements, disclosure requirements and on the Company’s financial statements. The Company has appointed a committee to transition its policies and procedures based on the requirements of this pronouncement and has purchased lease software to support the additional requirements relating to this pronouncement. Company expects that most existing operating lease commitments that extend beyond twelve months at the time of adoption will be recognized as lease liabilities and right-of-use (“ROU”) assets upon adoption. Based on preliminary evaluations, the Company estimates that the value of lease liabilities will be between $17 million and $19 million upon adoption with corresponding ROU assets of the same amount based on the present value of the remaining minimum lease payments under current leasing standards. Additionally, we expect to elect the package of practical expedients,’ which permits the Company to not reassess under the new standard our prior conclusions about lease identification, lease classification and initial direct costs. The Company currently does not expect to elect the use of the hindsight practical expedient or the practical expedient pertaining to land easements. The Company, however, expects to elect the short-term lease recognition exemption for all leases that qualify. This means, for those leases that qualify, the Company will not recognize ROU assets or lease liabilities, and this includes not recognizing ROU assets or lease liabilities for existing short-term leases of those assets in transition. The Company also currently expects to elect the practical expedient to not separate lease and non-lease components for our real estate and vehicle leases. While the Company is still evaluating the requirements of this update, it currently does not expect the adoption to have a material impact on the recognition, measurement or presentation of lease expenses within the Consolidated Statements of Operations and Comprehensive Income or Consolidated Statements of Cash Flows. See Note 12 Lease Obligations to the Financial Statements for further information related to the Company’s future minimum lease payments and the timing of those payments. |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2018 | |
Business Combinations [Abstract] | |
Acquisitions | 2. Acquisitions Huen Electric, Inc. On July 2, 2018, $ 47.1 $ 10.7 The purchase agreement also includes contingent consideration provisions for margin guarantee adjustments based upon performance subsequent to the acquisition on certain contracts. The contracts are valued at fair value at the acquisition date, causing no margin guarantee estimate or adjustments for fair value. Changes in contract estimates, such as modified costs to complete or change order recognition, have resulted and will continue to result in changes to these margin guarantee estimates. Changes in contingent consideration, subsequent to the acquisition, related to the margin guarantee adjustments on certain contracts of approximately $3.9 million were recorded in other expense for the year ended December 31, 2018 2019 December 31, 2018 the Company recognized $ The results of operations for Huen Companies are included in the Company’s consolidated statement of operations and the C&I segment from the date of acquisition. Costs of approximately $0.3 million related to the acquisition were included in selling, general and administrative expenses in the consolidated statement of operations for the year ended December 31, 2018. The following table summarizes the preliminary allocation of the opening balance sheet from the date of acquisition through December 31, 2018: (in thousands) (as of acquisition date) July 2, 2018 Measurement Period Adjustments Adjusted acquisition amounts as of December 31, 2018 Consideration paid $ 47,082 $ — $ 47,082 Preliminary estimated net asset adjustments 10,749 461 11,210 Total consideration, net of net asset adjustments $ 57,831 $ 461 $ 58,292 Accounts receivable $ 33,903 $ 206 $ 34,109 Contract assets 10,570 1,010 11,580 Other current and long term assets 88 1 89 Property and equipment 3,188 — 3,188 Intangible assets — 24,300 24,300 Accounts payable (9,592 ) (1,274 ) (10,866 ) Contract liabilities (6,394 ) 525 (5,869 ) Other current liabilities (6,570 ) — (6,570 ) Net identifiable assets and liabilites 25,193 24,768 49,961 Unallocated intangible assets 9,800 (9,800 ) — Total aquired assets and liabilites 34,993 14,968 49,961 Fair value of aquired noncontrolling interests (1,273 ) (7 ) (1,280 ) Goodwill $ 24,111 $ (14,500 ) $ 9,611 The Company has developed preliminary estimates of fair value of the assets acquired and liabilities assumed for the purposes of allocating the purchase price. In conjunction with the acquisition of the Huen Companies, the Company acquired a majority-ownership of an ongoing joint venture. The assets acquired within the joint venture are recorded at their fair value at the time of the acquisition, relate to a specific contract, and no assets or liabilities outside of the operations of the contract existed at the acquisition date. The goodwill to be recognized, which represents the excess of the purchase price over the net amount of the fair values assigned to assets acquired and liabilities assumed, is primarily attributable to the value of an assembled workforce and other non-identifiable assets. No synergies were anticipated in the acquisition as the three companies will function as individual districts within the Company’s operating structure. There may be further adjustments to the total consideration as the net asset adjustments are finalized. Additionally, the Company will perform an analysis of the purchase price allocation and make appropriate adjustments based on the analysis. All of the goodwill and identifiable intangible assets are expected to be tax deductible per applicable Internal Revenue Service regulations. The following unaudited supplemental pro forma results of operations have been provided for illustrative purposes only and do not purport to be indicative of the actual results that would have been achieved by the combined companies for the periods presented or that may be achieved by the combined companies in the future. Future results may vary significantly from the results reflected in the following pro forma financial information because of future events and transactions, as well as other factors: Year ended December 31, (In thousands, except per share data) 2018 2017 (unaudited) (unaudited) Contract revenues $ 1,612,618 $ 1,523,328 Net income $ 35,872 $ 26,531 Net income attributable to MYR Group, Inc. $ 34,947 $ 25,561 Income per common share: Basic $ 2.13 $ 1.57 Diluted $ 2.11 $ 1.55 Weighted average number of common shares and potential common shares outstanding: Basic 16,441 16,273 Diluted 16,585 16,496 The pro forma combined results of operations for years ended December 31, 2018 and 2017 were prepared by adjusting the historical results of the Company to include the historical results of the Huen Companies as if the acquisition occurred on January 1, 2017. These pro forma results were adjusted for the following: To include additional depreciation associated with the estimated step-up in fair value of the property and equipment acquired. To record the net reduction in lease expense associated with the revised real estate lease contracts that were completed at the time of the acquisition. To record transaction costs associated with the acquisition. To record the estimated amortization related to the acquired intangible assets discussed above. To record the additional interest expense related to the incremental borrowings of $ 47.1 To reflect the income tax effect of pro forma adjustments at the statutory tax rate. To record estimated compensation payments contingent on the successful achievement of certain performance targets. Revenues of approximately $69.0 million and income before income taxes of approximately $0.5 million, were included in the Company’s consolidated results of operations for the year ended December 31, 2018 related to the acquisition of the Huen Companies. Western Pacific Enterprises Ltd. On October 28, 2016, the Company completed the acquisition of substantially all of the assets of Western Pacific Enterprises GP and Western Pacific Enterprises Ltd., except for certain real estate owned by Western Pacific Enterprises Ltd., with the company continuing operations under the name Western Pacific Enterprises Ltd. (“WPE”), an electrical contracting firm in western Canada. With its main headquarters in Coquitlam, British Columbia, WPE provides a wide range of commercial and industrial electrical construction capabilities under the Company’s C&I segment. WPE also provides substation construction capabilities under the Company’s T&D segment. The total consideration paid was approximately $12.1 million, which was funded through borrowings from our line of credit. Total consideration paid included $2.2 million subject to potential net asset adjustments. These net asset adjustments were approximately $0.8 million as of the October 28, 2016 closing date and as of December 31, 2017. The Company accounted for the net asset adjustments as a reduction to consideration paid which was funded through the return of funds held in a $1.9 million escrow account, established at the time of purchase. The purchase agreement also included provisions for margin guarantee adjustments based upon performance subsequent to the acquisition on certain contracts. In early 2018, the Company finalized an agreement to settle all amounts outstanding under the margin guarantee adjustment provision as well as previous contingent compensation agreements that were being recognized as compensation expense in the consolidated statement of operations as incurred. As a result, the Company recorded other expense of $2.3 million for the year ended December 31, 2017 and reversed the compensation expense that was previously recorded. The Company had previously recognized other income of $1.4 million relating to the margin guarantee adjustments provision for the year ended December 31, 2016. |
Revenue Recognition
Revenue Recognition | 12 Months Ended |
Dec. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | 3. Revenue Recognition Change in Accounting Policy On January 1, 2018, the Company adopted ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) The Company recorded an increase to opening retained earnings of $0.7 million, net of tax, as of January 1, 2018 due to the cumulative impact of adopting Topic 606, representing revenues which would have been recognized in prior periods under Topic 606 606 2018 0.2 2018 605 Disaggregation of Revenue A majority of the Company’s revenues are earned through contracts with customers that normally provide for payment upon completion of specified work or units of work as identified in the contract. Although there is considerable variation in the terms of these contracts, they are primarily structured as fixed-price contracts, under which the Company agrees to do the entire project for a fixed amount, or unit-price contracts, under which the Company agrees to do the work at a fixed price per unit of work as specified in the contract. The Company also enters into time-and-equipment and time-and-materials contracts under which the Company is paid for labor and equipment at negotiated hourly billing rates and for other expenses, including materials, as incurred . Finally, the Company sometimes enters into cost-plus contracts, where the Company is paid for costs plus a negotiated margin. On occasion, time-and-equipment, time-and-materials and cost-plus contracts require the Company to include a guaranteed not-to-exceed maximum price. Historically, fixed-price and unit-price contracts have had the highest potential margins; however, they have had a greater risk in terms of profitability because cost overruns may not be recoverable. Time-and-equipment, time-and-materials and cost-plus contracts have historically had less margin upside, but generally have had a lower risk of cost overruns. The Company also provides services under master service agreements (“MSAs”) and other variable-term service agreements. MSAs normally cover maintenance, upgrade and extension services, as well as new construction. Work performed under MSAs is typically billed on a unit-price, time-and-materials or time-and-equipment basis. MSAs are typically one to three years in duration; however, most of the Compa ny’s contracts, includin work to the Company and do not require the counterparty to use the Company exclusively, although in some cases the MSA contract gives the Comp any a right of first refusal for certain work. Additional information related to the Company’s market types is provided in Note 16 Segment Information to the Financial Statements. The components of the Company’s revenue by contract type for 2018 were as follows: 2018 T&D C&I Total (dollars in thousands) Amount Percent Amount Percent Amount Percent Fixed price $ 361,699 40.5 % $ 452,732 71.0 % $ 814,431 53.2 % Unit price 181,179 20.3 51,590 8.1 232,769 15.2 T&E 305,581 34.2 34,938 5.4 340,519 22.2 Other 44,649 5.0 98,801 15.5 143,450 9.4 $ 893,108 100.0 % $ 638,061 100.0 % $ 1,531,169 100.0 % The components of the Company’s revenue by market type for the 2018 were as follows: 2018 (dollars in thousands) Amount Percent Segment Transmission $ 559,467 36.5 % T&D Distribution 333,641 21.8 T&D Electrical construction 638,061 41.7 C&I Total Revenue $ 1,531,169 100.0 % Contract Assets and Liabilities Contracts with customers usually stipulate the timing of payment, which is defined by the terms found within the various contracts under which work was performed during the period. Therefore, contract assets and liabilities are created when the timing of costs incurred on work performed does not coincide with the billing terms, which frequently include retention provisions contained in each contract. The Company’s consolidated balance sheets present contract assets which contains unbilled revenue (previously identified as costs and estimated earnings in excess of billings) and contract retainages associated with contract work that has been completed and billed but not paid by customers, pursuant to retainage provisions, which are generally due once the job is completed and approved. The allowance for collection of contract retainage was not significant as of December 31, 2018 and 2017. Contract assets consisted of the following at December 31: (in thousands) 2018 2017 Change Unbilled revenue $ 111,153 $ 78,260 $ 32,893 Contract retainages, net 49,128 42,732 6,396 Contract assets $ 160,281 $ 120,992 $ 39,289 The Company’s consolidated balance sheets present contract liabilities which contains deferred revenue (previously identified as billings in excess of costs and estimated earnings on uncompleted contracts) and an accrual for contracts in a loss provision. Contract liabilities consisted of the following at December 31: (in thousands) 2018 2017 Change Deferred revenue $ 57,051 $ 28,919 $ 28,132 Accrued loss provision 1,483 1,305 178 Contract liabilities $ 58,534 $ 30,224 $ 28,310 The following table provides information about contract assets and contract liabilities from contracts with customers: (in thousands) 2018 2017 Change Contract assets $ 160,281 $ 120,992 $ 39,289 Contract liabilities (58,534 ) (30,224 ) (28,310 ) Net contract assets (liabilities) $ 101,747 $ 90,768 $ 10,979 The difference between the opening and closing balances of the Company’s contract assets and contract liabilities primarily results from the timing of the Company’s performance and customer payment. The amount of revenue recognized in the period that was included in the opening contract liability balances was $ 2018 The net asset position for contracts in process consisted of the following at December 31: (in thousands) 2018 2017 Costs and estimated earnings on uncompleted contracts $ 2,718,713 $ 1,978,981 Less: Billings to date 2,664,611 1,929,640 $ 54,102 $ 49,341 The net asset position for contracts in process is included within the contract asset and contract liability in the accompanying consolidated balance sheets as follows at December 31: (in thousands) 2018 2017 Unbilled revenue $ 111,153 $ 78,260 Deferred revenue (57,051 ) (28,919 ) $ 54,102 $ 49,341 Remaining Performance Obligations On December 31, 2018 December 31, 2018 Remaining Performance Obligations as of December 31, 2018 (In thousands) Total Amount estimated to not be recognized within 12 months T&D $ 418,178 $ 19,698 C&I 644,547 167,652 Total $ 1,062,725 $ 187,350 The Company expects a vast majority of the remaining performance obligations to be recognized within twenty-four months, although the timing of the Company’s performance is not always under its control. Additionally, the difference between the remaining performance obligations and backlog is due to the exclusion of a portion of the Company’s MSAs under certain contract types from the Company’s remaining performance obligations as these contracts can be canceled for convenience at any time by the Company or the customer without considerable cost incurred by the customer. Additional information related to backlog is provided in “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations” of the Company’s Annual Report on Form 10-K for the year ended December 31, 2018. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 4. Fair Value Measurements The Company uses the three-tier hierarchy of fair value measurement, which prioritizes the inputs used in measuring fair value based upon their degree of availability in external active markets. These tiers include: Level 1 (the highest priority), defined as observable inputs, such as quoted prices in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3 (the lowest priority), defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions. As of December 31, 2018 and 2017, the Company determined that the carrying value of cash and cash equivalents approximated fair value based on Level 1 inputs. As of December 31, 2018 and 2017, the fair value of the Company’s long-term debt and capital lease obligations, were based on Level 2 inputs. The Company’s long-term debt was based on variable and fixed interest rates at December 31, 2018 and variable interest rates at December 31, 2017. Long-term debt with variable interest rates was based on rates for new issues with similar remaining maturities and approximated carrying value. In addition, based on borrowing rates currently available to the Company for borrowings with similar terms, the carrying values of the Company’s capital lease obligations and long term debt with fixed interest rates also approximated fair value. |
Accounts Receivable
Accounts Receivable | 12 Months Ended |
Dec. 31, 2018 | |
Receivables [Abstract] | |
Accounts Receivable | 5. Accounts Receivable Accounts receivable consisted of the following at December 31: (in thousands) 2018 2017 Contract receivables $ 282,283 $ 231,808 Other 7,475 9,073 289,758 240,881 Less: Allowance for doubtful accounts (1,331 ) (605 ) $ 288,427 $ 240,276 The roll-forward of activity in the allowance for doubtful accounts was as follows for the years ended December 31: (in thousands) 2018 2017 2016 Balance at beginning of period $ 605 $ 432 $ 376 Less: Reduction in (provision for) allowances (860 ) (263 ) (146 ) Less: Write offs, net of recoveries 123 92 90 Change in foreign currency translation 11 (2 ) — Balance at end of period $ 1,331 $ 605 $ 432 |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | 6. Property and Equipment Property and equipment consisted of the following at December 31: (dollars in thousands) Estimated Useful Life in Years 2018 2017 Land — $ 8,475 $ 7,733 Buildings and improvements 3 to 39 23,228 22,718 Construction equipment 3 to 12 371,941 340,060 Office equipment 3 to 10 11,743 8,964 415,387 379,475 Less: Accumulated depreciation and amortization (253,495 ) (231,391 ) $ 161,892 $ 148,084 Construction equipment includes assets under capital leases — see additional information provided in Note 12 — Lease Obligations to the Financial Statements. Depreciation and amortization expense of property and equipment for the years ended December 31, 2018, 2017 and 2016 was $38.1 million, $38.1 million and $38.2 million, respectively. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Dec. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | 7. Goodwill and Intangible Assets Goodwill and intangible assets consisted of the following at December 31: 2018 2017 (in thousands) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Goodwill T&D $ 40,224 $ — $ 40,224 $ 40,224 $ — $ 40,224 C&I 16,364 — 16,364 6,770 — 6,770 Total goodwill $ 56,588 $ — $ 56,588 $ 46,994 $ — $ 46,994 Amortizable Intangible Assets Backlog $ 2,789 $ 1,889 $ 900 $ 989 $ 989 $ — Customer relationships 17,280 4,970 12,310 5,277 4,069 1,208 Trade names 695 172 523 695 125 570 Indefinite-lived Intangible Assets Trade names 19,533 — 19,533 9,074 — 9,074 Total Intangible assets $ 40,297 $ 7,031 $ 33,266 $ 16,035 $ 5,183 $ 10,852 The increase in goodwill as of December 31, 2018 compared to December 31, 2017 was due to the allocation of $9.6 million of goodwill related to the Huen Companies identified during the ongoing analysis of the purchase accounting. assets also related to the Huen Companies and are being amortized on a straight-line basis over periods ranging up to 12 years. Additional financial information related to this acquisition is provided in Note 2 — Acquisitions to the Financial Statements. Immaterial foreign currency translation adjustments related to goodwill and intangible assets are netted with the amounts indicated above. Customer relationships and backlog are being amortized on a straight-line method over an estimated useful life 12 years and the remaining life of the contract, respectively, and have been determined to have no residual value. Amortizable trade names are being amortized on a straight-line basis over an estimated useful life of approximately 15 years. Certain trade names have indefinite lives and, therefore, are not being amortized. Intangible asset amortization expense was $1.8 million, $0.5 million and $0.9 million for the years ended December 31, 2018, 2017 and 2016, respectively. As of December 31, 2018, estimated future intangible asset amortization expense for the each of the next five years and thereafter was as follows: (In thousands) Future Amortization Expense 2019 $ 2,037 2020 1,137 2021 1,137 2022 1,137 2023 1,137 Thereafter 7,148 Total $ 13,733 |
Accrued Liabilities
Accrued Liabilities | 12 Months Ended |
Dec. 31, 2018 | |
Payables and Accruals [Abstract] | |
Accrued Liabilities | 8. Accrued Liabilities Other current liabilities consisted of the following at December 31: (in thousands) 2018 2017 Payroll and incentive compensation $ 21,641 $ 9,146 Net asset adjustments 11,210 — Union dues and benefits 11,465 12,494 Profit sharing and thrift plan 1,215 443 Taxes, other than income taxes 7,999 6,807 Other 7,828 4,843 $ 61,358 $ 33,733 See additional information on net asset adjustments provided in Note 2 — Acquisitions to the Financial Statements. |
Debt
Debt | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Debt | 9. Debt The table below reflects the Company’s total debt, including borrowings under its credit agreement and master loan agreement for equipment notes: (dollar amounts in thousands) Inception Date Stated Interest Rate (per annum) Payment Frequency Term (years) Outstanding Balance as of December 31, 2018 Outstanding Balance as of December 31, 2017 Credit Agreement Revolving loans 6/30/2016 Variable Variable 5 $ 58,306 $ 78,960 Equipment Notes Equipment Note 1 9/28/2018 4.16% Semi-annual 5 12,655 — Equipment Note 2 9/28/2018 4.23% Semi-annual 7 12,279 — Equipment Note 3 12/31/2018 3.97% Semi-annual 5 2,291 — Equipment Note 4 12/31/2018 4.02% Semi-annual 7 2,313 — Equipment Note 5 12/31/2018 4.01% Semi-annual 7 1,948 — 31,486 — Total Debt 89,792 78,960 Less: Current Portion of long-term debt (3,681 ) — Long-term debt $ 86,111 $ 78,960 Credit Agreement On Amounts borrowed under the Credit Agreement bear interest, at the Company’s option, at a rate equal to either (1) the Alternate Base Rate (as defined in the Credit Agreement), plus an applicable margin ranging from 0.00 % to % to % to % to December 31, 2018 % per annum. Under the Credit Agreement, the Company is subject to certain financial covenants and must maintain a maximum consolidated Leverage Ratio of 3.0 and a minimum interest coverage ratio of 3.0 December 31, 2018 As of December 31, 2018 million, including $ million related to the Company’s payment obligation under its insurance programs and approximately $ , the Company had letters of credit outstanding under the Facility of approximately $ million, including $ million related to the Company’s payment obligation under its insurance programs and approximately $ The Company has remaining deferred debt issuance costs totaling $ December 31, 2018 - 15 Equipment Notes On September 28, 2018, the Company entered into a Master Equipment Loan and Security Agreement (the “Master Loan Agreement”) with Banc of America Leasing & Capital, LLC (“BofA”). The Master Loan Agreement may be used for the financing of equipment between the Company and BofA pursuant to one or more “Equipment Notes”. Each Equipment Note executed under the Master Loan Agreement constitutes a separate, distinct and independent financing of equipment and a contractual obligation of the Company, which may contain prepayment clauses. As of December 31, 2018, we have five Equipment Notes outstanding under the Master Loan Agreement that are collateralized by equipment and vehicles owned by the Company. The following table sets forth our remaining principal payments for the Company’s outstanding Equipment Notes as of December 31, 2018: (In thousands) Future Equipment Notes Principal Payments 2019 $ 3,681 2020 3,835 2021 3,996 2022 4,163 2023 7,327 Thereafter 8,484 Total future principal payments $ 31,486 Less: Current portion of equipment notes (3,681 ) Long-term principal obligations $ 27,805 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 10. Income Taxes Income before income taxes by geographic area was, for the years ended December 31: (in thousands) 2018 2017 2016 Federal $ 48,393 $ 33,830 $ 39,419 Foreign (5,325 ) (9,190 ) (1,074 ) $ 43,068 $ 24,640 $ 38,345 The income tax provision consisted of the following for the years ended December 31: (in thousands) 2018 2017 2016 Current Federal $ 5,155 $ 7,020 $ 9,838 State 3,310 1,557 2,871 8,465 8,577 12,709 Deferred Federal 4,936 (1,453 ) 2,491 Foreign (822 ) (875 ) 481 State (805 ) (2,763 ) 1,233 3,309 (5,091 ) 4,205 Income tax expense $ 11,774 $ 3,486 $ 16,914 The differences between the U.S. federal statutory tax rate and the Company’s effective tax rate for operations were as follows for the years ended December 31: 2018 2017 2016 U.S federal statutory rate 21.0 % 35.0 % 35.0 % Deferred balance adjustments due to Tax Act, net — (31.6 ) — State income taxes, net of U.S. federal income tax expense 5.2 5.3 5.2 Change in valuation allowance 1.2 6.4 1.6 Domestic production/manufacturing deduction — (1.6 ) (1.9 ) Tax differential on foreign earnings (0.5 ) 3.2 0.6 Deferred state tax adjustments, net — (2.4 ) 1.6 Non-deductible meals and entertainment 0.8 1.7 1.0 Stock compensation excess tax benefits (0.1 ) (3.1 ) — Uncertain tax positions 0.1 2.0 — Provision to return adjustments, net (0.2 ) (0.3 ) 0.8 Non-controlling interest (0.5 ) — — Other income, net 0.3 (0.5 ) 0.2 Effective rate 27.3 % 14.1 % 44.1 % The net deferred tax assets and (liabilities) arising from temporary differences was as follows at December 31: (in thousands) 2018 2017 Deferred income tax assets: Self insurance reserves $ 4,299 $ 4,555 Contract loss reserves 350 317 Stock-based awards 1,143 1,571 Bonus 3,271 590 Non-U.S. operating loss 2,672 2,173 Non-U.S. deferred income tax assets, net 1,526 773 Other 1,958 1,359 Total deferred income tax assets before valuation allowances 15,219 11,338 Less: valuation allowances (2,672 ) (2,173 ) Total deferred income tax assets 12,547 9,165 Deferred income tax liabilities: Property and equipment – tax over book depreciation (26,030 ) (18,792 ) Intangible assets – tax over book amortization (1,890 ) (2,186 ) Other (2,025 ) (1,639 ) Total deferred income tax liabilities (29,945 ) (22,617 ) Net deferred income taxes $ (17,398 ) $ (13,452 ) The Company determined that it is more-likely-than-not that it will not realize the deferred tax assets on certain Canadian subsidiaries and recorded a valuation allowance against the entire related deferred tax assets. As of December 31, 2018, the Company had no undistributed earnings of our Canadian subsidiaries. We expect future earnings to be reinvested. Accordingly, as of December 31, 2018 no provision for U.S. income taxes or foreign withholding taxes has been made. The Company is subject to taxation in various jurisdictions. tax returns and subject to examination by U. S. federal authorities. The Company’s tax returns are subject to examination by various state authorities for the years 2014 through 2017. The Company has recorded a liability for unrecognized tax benefits related to tax positions taken on its various income tax returns. If recognized, the entire amount of unrecognized tax benefits would favorably impact the effective tax rate that is reported in future periods. The decrease in the unrecognized tax benefits as of December 31, 2018 2011 through 2017. The total unrecognized tax benefits is expected to be reduced by less than $ 0.1 The following is a reconciliation of the beginning and ending liability for unrecognized tax benefits at December 31: (in thousands) 2018 2017 Balance at beginning of period $ 751 $ 271 Gross increases in current period tax positions 25 63 Gross increases in prior period tax positions — 434 Reductions in tax positions due to lapse of statutory limitations (8 ) (17 ) Reclass from unrecognized tax benefits to deferred tax liability (441 ) — Balance at end of period 327 751 Accrued interest and penalties at end of period 48 36 Total liability for unrecognized tax benefits $ 375 $ 787 The liability for unrecognized tax benefits, including accrued interest and penalties, was included in other liabilities in the accompanying consolidated balance sheets. The amount of interest and penalties charged or credited to income tax expense as a result of the unrecognized tax benefits was not significant in the years ended December 31, 2018, 2017 and 2016. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 11. Commitments and Contingencies Purchase Commitments As of December 31, 2018 , the Company had approximately $ Insurance and Claims Accruals The Company carries insurance policies, which are subject to certain deductibles, for workers’ compensation, general liability, automobile liability and other coverages. The deductible per occurrence for each line of coverage is up to $1.0 million, except for wildfire coverage which has a deductible of $ million. The Company’s health benefit plans are subject to deductibles of up to $ The insurance and claims accruals are based on known facts, actuarial estimates and historical trends. While recorded accruals are based on the ultimate liability, which includes amounts in excess of the deductible, a corresponding receivable for amounts in excess of the deductible is included in total assets in the consolidated balance sheets. The following table includes the Company’s accrued short- and long-term insurance liabilities at December 31: (in thousands) 2018 2017 2016 Balance at beginning of period $ 45,363 $ 42,584 $ 36,967 Net increases in reserves 31,193 22,938 25,139 Net payments made (22,517 ) (20,159 ) (19,522 ) Balance at end of period $ 54,039 $ 45,363 $ 42,584 Insurance expense, including premiums, for workers’ compensation, general liability, automobile liability, employee health benefits, and other coverages for the years ended December 31, 2018, 2017 and 2016 was $30.4 million, $29.5 million and $25.6 million, respectively. Performance and Payment Bonds and Parent Guarantees In certain circumstances, the Company is required to provide performance and payment bonds in connection with its future performance on certain contractual commitments. The Company has indemnified its sureties for any expenses paid out under these bonds. As of December 31, 2018 , an aggregate of approximately $ million as of December 31, 2018 . From time to time the Company guarantees the obligations of wholly owned subsidiaries, including obligations under certain contracts with customers, certain lease agreements, and obligations in connection with obtaining contractors’ licenses. Additionally, from time to time the Company is required to post letters of credit to guarantee the obligations of its wholly owned subsidiaries, which reduces the borrowing availability under our Facility. Indemnities From time to time, pursuant to its service arrangements, the Company indemnifies its customers for claims related to the services it provides under those service arrangements. These indemnification obligations may subject the Company to indemnity claims, liabilities and related litigation. The Company is not aware of any material unrecorded liabilities for asserted claims in connection with these indemnification obligations. Collective Bargaining Agreements Most of the Company’s subsidiaries’ craft labor employees are covered by collective bargaining agreements. The agreements require the subsidiaries to pay specified wages, provide certain benefits and contribute certain amounts to multi-employer pension plans. If a subsidiary withdraws from any of the multi-employer pension plans or if the plans were to otherwise become underfunded, the subsidiary could incur liabilities for additional contributions related to these plans. Although the Company has been informed that the status of some multi-employer pension plans to which its subsidiaries contribute have been classified as “critical” the Company is not currently aware of any potential liabilities related to this issue. See Note 14 — Employee Benefit Plans to the Financial Statements for further information related to the Company’s participation in multi-employer plans. Litigation and Other Legal Matters The Company is from time-to-time party to various lawsuits, claims, and other legal proceedings that arise in the ordinary course of business. These actions typically seek, among other things, compensation for alleged personal injury, breach of contract, property damages, punitive damages, civil penalties or other losses, or injunctive or declaratory relief. With respect to all such lawsuits, claims and proceedings, the Company records reserves when it is probable that a liability has been incurred and the amount of loss can be reasonably estimated. The Company does not believe that any of these proceedings, separately or in the aggregate, would be expected to have a material adverse effect on the Company’s financial position, results of operation or cash flows. The Company is routinely subject to other civil claims, litigation and arbitration, and regulatory investigations arising in the ordinary course of our present business as well as in respect of our divested businesses. Some of these claims and litigations include claims related to the Company’s current services and operations, and asbestos-related claims concerning historic operations of a predecessor affiliate. The Company believes that it has strong defenses to these claims as well as insurance coverages that could contribute to any settlement or liability in the event any asbestos-related claim is not resolved in the Company’s favor. These claims have not had a material impact on the Company to date, and the Company believes that the likelihood that a future material adverse outcome will result from these claims is remote. However, if facts and circumstances change in the future, the Company cannot be certain that an adverse outcome of one or more of these claims would not have a material adverse effect on the Company’s financial condition, results of operations or cash flows. |
Lease Obligations
Lease Obligations | 12 Months Ended |
Dec. 31, 2018 | |
Leases [Abstract] | |
Lease Obligations | 12. Lease Obligations From time to time, the Company enters into leasing arrangements for real estate, vehicles and construction equipment. In 2017, the Company entered into master leasing arrangements for vehicles and construction equipment. Some of the leases entered into under these agreements met the requirements for capitalization and were recorded as capital leases, while others were treated as operating leases. As of December 31, 2018, the Company had no outstanding commitments to enter into future leases under its master lease agreements. Capital Leases The Company leases vehicles and certain equipment under capital leases. The economic substance of the leases is a financing transaction for acquisition of the vehicles and equipment and, accordingly, the leases are included in the balance sheets in property and equipment, net of accumulated depreciation, with a corresponding amount recorded in current portion of capital lease obligations or capital lease obligations, net of current maturities, as appropriate. The capital lease assets are amortized on a straight-line basis over the life of the lease or, if shorter, the life of the leased asset, and included in depreciation expense in the statements of operations. The interest associated with capital leases is included in interest expense in the statements of operations. As of December 31, 2018 , the Company had approximately $ million of capital lease obligations outstanding, $ As of December 31, 2018 and 2017 , $ million and $ Operating Leases The Company leases real estate, construction equipment and office equipment under operating leases with remaining terms ranging from one to eight years. Rent expense includes lease payments as well as rent on items that are rented under cancellable rental agreements. Total rent expense for the years ended December 31, 2018, 2017 and 2016, was $60.5 million, $44.6 million and $44.9 million, respectively. The future minimum lease payments required under capital leases, less interest, and future minimum lease payments required under operating leases as of December 31, 2018 were as follows: (In thousands) Capital Lease Obligations Operating Lease Obligations 2019 $ 1,185 $ 4,829 2020 1,185 3,754 2021 365 2,971 2022 — 2,379 2023 — 1,335 Thereafter — 2,127 Total minimum lease payments $ 2,735 $ 17,395 Interest (102 ) Net present of minimum lease payments 2,633 Less: Current portion of capital lease obligations 1,119 Long-term capital lease obligations $ 1,514 Certain subsidiaries of the Company have operating leases for facilities from third party companies that are owned, in whole or part, by employees of the subsidiaries. The terms and rental rates of these leases are at market rental rates. As of December 31, 2018, the minimum lease payments required under these leases totaled approximately $2.8 million, which is to be paid over the next 4.5 years. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | 13. Stock-Based Compensation The Company maintains two equity compensation plans under which stock-based compensation has been granted, the 2017 Long-Term Incentive Plan, (the “LTIP”) and the 2007 Long-Term Incentive Plan (Amended and Restated as of May 1, 2014) (the “2007 LTIP” and, collectively with the LTIP, the “Long-Term Incentive Plans”). Upon the adoption of the LTIP, awards were no longer granted under the 2007 LTIP. The LTIP was approved by our stockholders and provides for grants of (a) incentive stock options qualified as such under U.S. federal income tax laws, (b) stock options that do not qualify as incentive stock options, (c) stock appreciation rights, (d) restricted stock awards, (e) restricted stock units, (f) performance awards, (g) phantom stock, (h) stock bonuses, (i) dividend equivalents, or (j) any combination of such awards. The LTIP permits the granting of up to 900,000 shares to directors, officers and other employees of the Company. Grants of awards to employees are approved by the Compensation Committee of the Board of Directors and grants to independent members of the Board of Directors are approved by the Board of Directors. All awards are made with an exercise price or base price, as the case may be, that is not less than the full fair market value per share on the date of grant. No stock option or stock appreciation right may be exercised more than 10 years from the date of grant. Shares issued as a result of stock option exercises or stock grants are made available from authorized unissued shares of common stock or treasury stock. Stock Options The Company has not awarded any stock options since 2013. Stock options granted to employees or directors vested ratably over a three- or four-year vesting period and were granted with an exercise price equal to the market price of the Company’s stock on the date of grant. The Company used the Black-Scholes-Merton option-pricing model to estimate the fair value of options as of the date of grant. All stock options were fully expensed as of December 31, 2016. Following is a summary of stock option activity for the three-year period ending December 31, 2018: Options Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term Aggregate Intrinsic Value (in thousands) Outstanding at January 1, 2016 730,605 $ 16.40 Exercised (443,283 ) $ 14.03 Forfeited (933 ) $ 24.68 Expired (40,672 ) $ 21.40 Outstanding and Exercisable at December 31, 2016 245,717 $ 19.82 4.4 $ 4,396 Exercised (79,797 ) $ 15.43 Outstanding and Exercisable at December 31, 2017 165,920 $ 21.92 4.2 $ 2,292 Exercised (88,053 ) $ 21.54 Expired (1,103 ) $ 21.16 Outstanding and Exercisable at December 31, 2018 76,764 $ 22.33 2.9 $ 446 Other data relating to option activity for the years ended December 31 are as follows: (dollars in thousands) 2018 2017 2016 Intrinsic value of options exercised $ 1,277 $ 1,721 $ 7,832 Fair value of options vested — — 372 The following table summarizes information with respect to stock options outstanding and exercisable under the Company’s plans at December 31, 2018: Options Outstanding and Exercisable Exercise Price Number Of Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term $17.18 – $17.18 7,587 $ 17.18 1.2 years $17.48 – $17.48 15,654 $ 17.48 3.1 years $24.18 – $24.18 17,948 $ 24.18 2.2 years $24.68 – $24.68 35,575 $ 24.68 3.5 years 76,764 $ 22.35 2.9 years Time-Vested Stock Awards The company grants time-vested stock awards under the LTIP in the form of restricted stock awards, restricted stock units or equity-settled phantom stock. The grant date fair value of the time-vested stock awards is equal to the closing market price of the Company’s common stock on the date of grant. Time-vested stock awards granted under the LTIP to eligible employees in 2018 2018 vest over a one year period. Following is a summary of time-vested stock awards activity for the three-year period ending December 31, 2018: Shares Per Share Weighted - Average Grant Date Fair Value Outstanding unvested at January 1, 2016 201,949 $ 24.58 Granted 112,912 $ 24.66 Vested (88,301 ) $ 25.18 Forfeited (3,144 ) $ 26.09 Outstanding unvested at December 31, 2016 223,416 $ 25.26 Granted 66,352 $ 37.49 Vested (99,774 ) $ 25.19 Forfeited (1,346 ) $ 31.22 Outstanding unvested at December 31, 2017 188,648 $ 29.55 Granted 93,280 $ 30.22 Vested (96,840 ) $ 28.91 Forfeited (9,657 ) $ 27.02 Outstanding unvested at December 31, 2018 175,431 $ 30.40 Performance Awards The Company grants performance awards under the LTIP. Under these awards, shares of the Company’s common stock may be earned based on the Company’s performance compared to defined metrics. The number of shares earned under a performance award may vary from zero to 200% of the target shares awarded, based upon the Company’s performance compared to the metrics. The metrics used for the grant are determined by the Compensation Committee of the Board of Directors and may be either based on internal measures such as the Company’s financial performance compared to target or on a market-based metric such as the Company’s stock performance compared to a peer group. Performance awards cliff vest upon attainment of at least the minimum stated performance targets and minimum service requirements and are paid in common shares of the Company’s stock. During 2018, management concluded that it was probable that the minimum performance threshold would not be met for certain performance shares that were granted during 2016 and 2017. As a result, the Company reversed $ 0.7 The Company recognizes stock-based compensation expense related to market-based performance awards based on the grant date fair value, which is computed using a Monte Carlo simulation. The Company recognizes stock-based compensation expense related to internal measure-based performance awards based on the grant date fair value, which is the closing price of the Company’s stock on the date of grant. The Company adjusts the stock-based compensation expense related to internal metric-based performance awards according to its determination of the potential achievement of the performance target at each reporting date. The fair value of performance grants are expensed over the service period of approximately 2.8 years. Following is a summary of performance share award activity for the three-year period ending December 31, 2018: Shares Per Share Weighted- Average Grant Date Fair Value Outstanding at January 1, 2016 143,608 $ 32.68 Granted at target 79,661 $ 28.25 Earned for performance above target 20,650 $ 31.01 Vested (98,270 ) $ 27.74 Forfeited (1,626 ) $ 32.96 Outstanding at December 31, 2016 144,023 $ 32.92 Granted at target 47,454 $ 47.12 Forfeited for performance below target (24,873 ) $ 36.40 Vested (39,407 ) $ 40.15 Forfeited (222 ) $ 37.22 Outstanding at December 31, 2017 126,975 $ 35.29 Granted at target 66,764 $ 34.52 Forfeited for performance below target (42,584 ) $ 29.73 Vested (29,655 ) $ 33.35 Forfeited (9,247 ) $ 30.85 Outstanding at December 31, 2018 112,253 $ 39.73 Stock-based Compensation Expense The Company recognized stock-based compensation expense of approximately $3.2 million, $4.4 million and $4.7 million for the years ended December 31, 2018, 2017 and 2016, respectively, in selling, general and administrative expenses. As of December 31, 2018, there was approximately $4.4 million of total unrecognized stock-based compensation expense related to awards granted under the Plans. This included $2.6 million of unrecognized compensation cost related to unvested time-vested stock awards expected to be recognized over a remaining weighted average vesting period of approximately 1.6 years and $1.8 million of unrecognized compensation cost related to unvested performance awards, expected to be recognized over a remaining weighted average vesting period of approximately 1.6 years. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2018 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plans | 14. Employee Benefit Plans The Company has a profit sharing and thrift employee benefit plan in effect for all eligible employees. Company contributions under this defined contribution plan are based upon a percentage of income with limitations as defined by the plan. Contributions for the years ended December 31, 2018, 2017 and 2016 amounted to $4.7 million, $3.4 million, and $4.6 million, respectively. The Company also has an employee benefit plan in effect for certain non-union hourly employees. Company contributions under this defined contribution plan are based upon a percentage of income with limitations as defined by the plan. Contributions for the years ended December 31, 2018, 2017 and 2016 amounted to $1.0 million, $0.6 million and $0.6 million, respectively. The Company also has a registered retirement saving plan for certain Canadian employees, contributions to this plan for the years ended December 31, 2018 and 2017 amounted to $0.1 million. The Company contributes to a number of multiemployer defined benefit pension plans under the terms of collective-bargaining agreements that cover its union-represented employees, who are represented by over 100 local unions. The related collective-bargaining agreements between those organizations and the Company, which specify the rate at which the Company must contribute to the multi-employer defined pension plan, expire at different times between 2019 and 2021. The risks of participating in these multiemployer defined benefit pension plans are different from single-employer plans in the following aspects: 1) Assets contributed to the multiemployer plan by one employer may be used to provide benefits to employees of other participating employers. 2) If a participating employer stops contributing to a plan, the unfunded obligations of the plan may be borne by the remaining participating employers. 3) If the Company chooses to stop participating in a multiemployer plan, it may be required to pay the plan an amount based on the underfunded status of the plan, referred to as a withdrawal liability. The amount of additional funds, if any, that the Company may be obligated to contribute to these plans in the future cannot be estimated due to uncertainty of the future levels of work that require the specific use of union employees covered by these plans, as well as the future contribution levels and possible surcharges on contributions applicable to these plans. The following table summarizes plan information relating to the Company’s participation in multi-employer defined benefit pension plans, including company contributions for the last three years, the status under the Pension Protection Act of 2006, as amended by the Consolidated and Further Continuing Appropriations Act of 2015 (“PPA”) of the plans and whether the plans are subject to a funding improvement or rehabilitation plan, or contribution surcharges. The most recent zone status is for the plan’s year-end indicated in the table. The zone status is based on information that the Company received from the plan, as well as from publicly available information on the U.S. Department of Labor website. The PPA zone status for the plan year ended on December 31, 2018 has not been listed because Forms 5500 were not yet available. Among other factors, plans in the red “critical” zone are generally less than 65 percent funded, plans in the yellow “endangered” zone are between 65 and 80 percent funded, and plans in the green zone are at least 80 percent funded. Also listed in the table below are the Company’s contributions to defined contribution plans. Information in the table has been presented separately for individually significant plans and in the aggregate for all other plans. Pension Fund EIN/Pension Plan Number Pension Protection Act Zone Status Contributions to Plan for the Year Ended December 31, Funding Plan Surcharge Imposed Status Plan Year End Status Plan Year End 2018 2017 2016 (in thousands) Defined Benefit Plans: National Electrical Benefit Fund 53-0181657 001 Green 12/31/2017 Green 12/31/2016 $ 9,840 $ 9,542 $ 9,040 No No Eighth District Electrical Pension Fund 84-6100393 001 Green 3/31/2018 Green 3/31/2017 9,707 7,908 7,519 No No Indiana/Kentucky/Ohio Regional Council of Carpenters Pension Fund 51-6123713 001 Green 6/30/2017 Green 6/30/2016 1,157 2,515 696 No No I 86-6049763 001 Green 6/30/2017 Green 6/30/2016 2,587 2,115 1,709 No No Alaska Electrical Pension Plan 92-6005171 001 Green 12/31/2017 Green 12/31/2016 2,723 1,951 1,873 No No Defined Contribution Plans: National Electrical Annuity Plan 52-6132372 001 n/a n/a 26,559 27,633 22,840 n/a n/a Eighth District Electrical Pension Fund Annuity Plan 84-6100393 002 n/a n/a 4,785 4,109 4,883 n/a n/a All other plans: 13,062 9,115 5,236 Total Contributions: $ 70,420 $ 64,888 $ 53,796 Total contributions to these plans, at any given time, correspond to the number of union employees employed and the plans in which they participate, which varies depending upon location, the number of ongoing projects and the need for union resources in connection with such projects at a given time. The PPA data presented in the table above represents data available to us for the two most recent plan years. One of the Company’s subsidiaries was listed in the Eighth District Electrical Pension Fund’s Form 5500 as providing more than 5 5 |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Segment Information | 15. Segment Information MYR Group is a holding company of specialty contractors serving electrical utility infrastructure and commercial construction markets in the United States and western Canada. The Company has two reporting segments, each a separate operating segment, which are referred to as T&D and C&I. Performance measurement and resource allocation for the reporting segments are based on many factors. The primary financial measures used to evaluate the segment information are contract revenues and income from operations, excluding general corporate expenses. General corporate expenses include corporate facility and staffing costs, which includes safety costs, professional fees, IT expenses, management fees, and intangible amortization. The accounting policies of the segments are the same as those described in the Summary of Significant Accounting Policies. Transmission and Distribution: The T&D segment provides a broad range of services on electric transmission and distribution networks and substation facilities which include design, engineering, procurement, construction, upgrade, maintenance and repair services with a particular focus on construction, maintenance and repair. T&D services include the construction and maintenance of high voltage transmission lines, substations and lower voltage underground and overhead distribution systems. The T&D segment also provides emergency restoration services in response to hurricane, ice or other storm-related damage. T&D customers include investor-owned utilities, cooperatives, private developers, government-funded utilities, independent power producers, independent transmission companies, industrial facility owners and other contractors. Commercial and Industrial: The information in the following table is derived from the segment’s internal financial reports used for corporate management purposes: For the Year Ended December 31, (in thousands) 2018 2017 2016 Contract revenues: T&D $ 893,108 $ 879,372 $ 818,972 C&I 638,061 523,945 323,515 $ 1,531,169 $ 1,403,317 $ 1,142,487 Income from operations: T&D $ 57,242 $ 39,631 $ 63,459 C&I 34,112 25,048 13,920 General Corporate (41,042 ) (35,121 ) (38,625 ) $ 50,312 $ 29,558 $ 38,754 The Company does not identify capital expenditures and total assets by segment in its internal financial reports due in part to the shared use of a centralized fleet of vehicles and specialized equipment. Identifiable assets, consisting of contract receivables, costs and estimated earnings in excess of billings on uncompleted contracts, construction materials inventory, goodwill and intangibles for each segment are as follows as of December 31 : (in thousands) 2018 2017 T&D $ 274,038 $ 257,834 C&I 257,049 152,207 General Corporate 217,668 193,747 $ 748,755 $ 603,788 An allocation of total depreciation, including depreciation of shared construction equipment, and amortization to each segment is as follows: For the Year Ended December 31, (in thousands) 2018 2017 2016 Depreciation and amortization T&D $ 33,977 $ 34,990 $ 35,947 C&I 5,936 3,586 3,175 $ 39,913 $ 38,576 $ 39,122 For the years ended December 31, 2018, 2017 and 2016 the Company had Canadian contract revenues of $53.8 million, $84.1 million and $36.5 million, respectively. Canadian contract revenues As of December 31, 2018 and 2017, there were $20.5 million and $40.0 million, respectively, of identifiable assets attributable to Canadian operations. |
Noncontrolling Interests
Noncontrolling Interests | 12 Months Ended |
Dec. 31, 2018 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling Interests | 16. Noncontrolling Interests On July 2, 2018, through the acquisition of certain assets of the Huen Companies, the Company became the majority controlling interest in a joint venture. As a result, the Company has consolidated the carrying value of the joint ventures’ assets and liabilities and results of operations in the Company’s consolidated financial statements. The equity owned by the other joint venture partners has been recorded as noncontrolling interests in the Company’s consolidated balance sheets, and their portions, if material, of net income and other comprehensive income shown as net income or other comprehensive income attributable to noncontrolling interests in the Company’s consolidated statements of operations and other comprehensive income. Additionally the joint venture associated with the Company’s noncontrolling interests is a partnership, and consequently, the tax effect of only the Company’s share of the joint venture income is recognized by the Company. The acquired joint venture made no distributions to its partners, and the Company made no capital contributions to the joint venture during the year ended December 31, 2018. Additionally, there have been no changes in ownership during the year ended December 31, 2018. The project is expected to be completed in 2019. The balance of the Company’s noncontrolling interest consists of the preliminary fair value of noncontrolling interest acquired on July 2, 2018 with the Huen Companies. Net income attributable to the noncontrolling interest, subsequent to the acquisition through December 31, 2018, was $0.2 million. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2018 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 17. Earnings Per Share The Company computes earnings per share using the treasury stock method. Under the treasury stock method, basic earnings per share attributable to MYR Group Inc. are computed by dividing net income attributable to MYR Group Inc. by the weighted average number of common shares outstanding during the period. Diluted earnings per share attributable to MYR Group Inc. are computed by dividing net income attributable to MYR Group Inc. by the weighted average number of common shares outstanding during the period plus all potentially dilutive common stock equivalents, except in cases where the effect of the common stock equivalent would be anti-dilutive. Net income attributable to MYR Group Inc. and the weighted average number of common shares used to compute basic and diluted earnings per share was as follows: For the Year Ended December 31, (in thousands, except per share data) 2018 2017 2016 Numerator: Net income $ 31,294 $ 21,154 $ 21,431 Less: net income – noncontrolling interests 207 — — Net income attributable to MYR Group Inc. $ 31,087 $ 21,154 $ 21,431 Denominator: Weighted average common shares outstanding 16,441 16,273 17,109 Weighted average dilutive securities 144 223 352 Weighted average common shares outstanding, diluted 16,585 16,496 17,461 Net income per share attributable to MYR Group Inc.: Basic $ 1.89 $ 1.30 $ 1.25 Diluted $ 1.87 $ 1.28 $ 1.23 For the years ended December 31, 2018, 2017 and 2016, certain common stock equivalents were excluded from the calculation of dilutive securities because their inclusion would either have been anti-dilutive or, for stock options, the exercise prices of those stock options were greater than the average market price of the Company’s common stock for the period. All of the Company’s non-participating unvested restricted shares were included in the computation of weighted average dilutive securities. The following table summarizes the shares of common stock underlying the Company’s unvested stock options and performance awards that were excluded from the calculation of dilutive securities: (In thousands) 2018 2017 2016 Time-vested stock awards 1 44 — Performance awards 67 97 63 Share Repurchase Program On July 26, 2018, the Company’s Board of Directors approved a new $20.0 million share repurchase program that began when the previous share repurchase program expired on August 15, 2018. The new share repurchase program will expire on August 15, 2019, or when the authorized funds are exhausted, whichever is earlier. No shares were repurchased under the new program in 2018. 20.0 During 2018, the Company repurchased 32,857 shares of stock for approximately $1.0 million from its employees to satisfy tax obligations on shares vested under the Plans. All of the shares repurchased were retired and returned to authorized but unissued stock. During 2017, the Company repurchased 92,987 shares of its common stock at a weighted-average price of $32.90 per share; 35,338 of those shares were purchased under its Repurchase Program for approximately $0.8 million. Additionally, the Company repurchased 57,649 shares of stock for approximately $2.2 million from its employees to satisfy tax obligations on shares vested under the 2007 LTIP. All of the shares repurchased were retired and returned to authorized but unissued stock. |
Quarterly Financial Data (Unaud
Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Data (Unaudited) | 18. Quarterly Financial Data (Unaudited) The following table presents the unaudited consolidated operating results by quarter for the years ended December 31, 2018 and 2017: For the Three Months Ended (in thousands, except per share data) March 31, June 30, September 30, December 31, (a) 2018: Revenues $ 345,611 $ 339,676 $ 399,537 $ 446,345 Gross profit 35,753 38,630 45,286 47,391 Net income attributable to MYR Group 5,644 6,835 7,957 10,651 Basic earnings per share attributable to MYR Group $ 0.35 $ 0.42 $ 0.48 $ 0.65 Diluted earnings per share attributable to MYR Group $ 0.34 $ 0.41 $ 0.48 $ 0.64 2017: Revenues $ 300,129 $ 356,185 $ 373,502 $ 373,501 Gross profit 25,740 27,517 34,853 36,894 Net income attributable to MYR Group 1,200 1,230 5,145 13,579 Basic earnings per share attributable to MYR Group $ 0.07 $ 0.08 $ 0.32 $ 0.83 Diluted earnings per share attributable to MYR Group $ 0.07 $ 0.07 $ 0.31 $ 0.82 (a) Results for the fourth quarter of 2017 include a net 2017 Tax Act benefit of $7.8 million, or $0.48 and $0.47 per basic and diluted share, respectively. Earnings per share amounts for each quarter are required to be computed independently using the weighted average number of shares outstanding during the period. As a result, the sum of the individual quarterly earnings per share amounts may not agree to the earnings per share calculated for the year. |
Organization, Business and Si_2
Organization, Business and Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Organization and Business | Organization and Business MYR Group Inc. (the “Company”) is a holding company of specialty electrical construction service providers and is currently conducting operations through wholly owned subsidiaries including: The L. E. Myers Co., a Delaware corporation; Harlan Electric Company, a Michigan corporation; Great Southwestern Construction, Inc., a Colorado corporation; Sturgeon Electric Company, Inc., a Michigan corporation; MYR Transmission Services, Inc., a Delaware corporation; E.S. Boulos Company, a Delaware corporation; High Country Line Construction, Inc., a Nevada corporation; Sturgeon Electric California, LLC, a Delaware limited liability company; GSW Integrated Services, LLC, a Delaware limited liability company; Huen Electric, Inc., a Delaware corporation; MYR Transmission Services Canada, Ltd., a British Columbia corporation; Northern Transmission Services, Ltd., a British Columbia corporation and Western Pacific Enterprises Ltd., a British Columbia corporation. The Company performs construction services in two business segments: Transmission and Distribution (“T&D”), and Commercial and Industrial (“C&I”). T&D customers include investor-owned utilities, cooperatives, private developers, government-funded utilities, independent power producers, independent transmission companies, industrial facility owners and other contractors. T&D provides a broad range of services, which include design, engineering, procurement, construction, upgrade, maintenance and repair services, with a particular focus on construction, maintenance and repair. C&I customers include general contractors, commercial and industrial facility owners, local governments and developers. C&I provides a broad range of services, which include design, installation, maintenance and repair of commercial and industrial wiring, the installation of traffic networks and the installation of bridge, roadway and tunnel lighting. |
Consolidation | Consolidation The accompanying Financial Statements include the results of operations of the Company and its subsidiaries. Significant intercompany transactions and balances have been eliminated. Certain reclassifications were made to prior year amounts to conform to the current year presentation. In connection with the adoption of Revenue from Contracts with Customers (Topic 606) |
Revenue Recognition | Revenue Recognition On January 1, 2018, the Company adopted . 2014-09, Revenue from Contracts with Customers (Topic 606) Revenue Recognition (Topic 605 Under Topic 606, 606-10-25. As the cost-to-cost method is driven by incurred cost, the Company calculates the percentage of completion by dividing costs incurred to date by the total estimated cost. The percentage of completion is then multiplied by estimated revenues to determine inception-to-date revenue. Revenue recognized for the period is the current inception-to-date recognized revenue less the prior period inception-to-date recognized revenue. If a contract is projected to result in a loss, the entire contract loss is recognized in the period when the loss was first determined and the amount of the loss is updated in subsequent reporting periods. Because the Company’s billings are based on contract terms and do not coincide with our progress in a project, revenue recognition also includes an amount related to a contract asset or contract liability. If the recognized revenue is greater than the amount billed to the customer, a contract asset is recorded. Additionally, the contract asset includes retainage billed to the customer that cannot be collected until the contract work has been completed and approved. Conversely, if the amount billed to the customer is greater than the recognized revenue, a contract liability is recorded. Additionally, the contract liability includes a liability for the excess of costs over revenues for all contracts that are in a loss position. Contract costs incurred to date and expected total contract costs are continuously monitored during the term of the contract. Changes in the job performance, job conditions and final contract settlements are factors that influence management’s assessment of total contract value and the total estimated costs to complete those contracts, and therefore, profit and revenue recognition. Additionally, the Company estimates costs to complete on fixed price contracts which are determined on an individual contract basis by evaluating each project’s status as of the balance sheet date, and using our historical experience with the level of effort required to complete the underlying project. Claims and change orders are also measured based on our historical experience with individual customers and similar contracts, and are evaluated by management individually. A change order is a modification to a contract that changes the provisions of the contract, typically resulting from changes in scope, specifications, design, manner of performance, facilities, equipment, materials, sites, or period of completion of the work under the contract. A claim is an amount in excess of the agreed-upon contract price that the Company seeks to collect from its clients or others for client-caused delays, errors in specifications and designs, contract terminations, change orders that are either in dispute or are unapproved as to both scope and price, or other causes. The Company includes these estimated amounts of variable consideration to the extent that it is probable there will not be a significant reversal of revenue. Some of the Company’s contracts may have contract terms that include variable consideration such as safety or performance bonuses or liquidated damages. In accordance with ASC 606-10-32, the Company estimates the variable consideration using one of two methods. In contracts in which there is a binary outcome, the most likely amount method is used. In instances in which there is a range of possible outcomes, the expected value method is used. In accordance with ASC 606-10-32-11, A portion of the work the Company performs requires financial assurances in the form of performance and payment bonds or letters of credit at the time of execution of the contract. Many of the Company’s contracts include retention provisions of up to 10%, The Company provides warranties to customers on a basis customary to the industry; however, the warranty period does not typically exceed one year. Historically, warranty claims have not been material to the Company. Total revenues do not include sales tax as the Company considers itself a pass-through conduit for collecting and remitting sales taxes. Sales tax and value added tax collected from customers is included in other current liabilities on the Company’s consolidated balance sheets. Prior to January 1, 2018 Revenue Recognition (Topic 605 Under Topic 605, Under Topic 605, |
Joint Ventures and Noncontrolling Interests | Joint Ventures and Noncontrolling Interests The Company accounts for investments in joint ventures using the proportionate consolidation method for income statement reporting and under the equity method for balance sheet reporting, unless the Company has a controlling interest causing the joint venture to be consolidated with equity owned by other joint venture partners recorded as noncontrolling interests. Under the proportionate consolidation method, joint venture activity is allocated to the appropriate line items found on the consolidated statements of operations in proportion to the percentage of participation the Company has in the joint venture. Under the equity method the net investment in joint ventures is stated as a single item on the consolidated balance sheets. For joint ventures which the Company does not have a controlling interest, the Company’s share of any profits and assets and its share of any losses and liabilities are recognized based on the Company’s stated percentage partnership interest in the joint venture, and are normally recorded by the Company one month in arrears. The investments in joint ventures are recorded at cost and the carrying amounts are adjusted to recognize the Company’s proportionate share of cumulative income or loss, additional contributions made and dividends and capital distributions received. The Company records the effect of any impairment or any other-than-temporary decrease in the value of the joint venture investment as incurred, which may or may not be one month in arrears, depending on when the Company obtains the joint venture activity information. Additionally, the Company continually assesses the fair value of its investment in unconsolidated joint ventures despite using information that is one month in arrears for regular reporting purposes. The Company includes only its percentage ownership of each joint venture in its backlog. See Note 16 — Noncontrolling Interests to the Financial Statements for further information related to joint ventures in which the Company has a majority controlling interest. |
Foreign Currency | Foreign Currency The functional currency for the Company’s Canadian operations is the Canadian dollar. Assets and liabilities denominated in Canadian dollars are translated into U.S. dollars at the end-of-period exchange rate. Revenues and expenses are translated using average exchange rates for the periods reported. Equity accounts are translated at historical rates. Cumulative translation adjustments are included as a separate component of accumulated other comprehensive income in shareholders’ equity. Foreign currency transaction gains and losses, arising primarily from changes in exchange rates on short-term monetary assets and liabilities, and ineffective long-term monetary assets and liabilities are recorded in the “other income, net” line on the consolidated statements of operations. For the year ended December 31, 2018, the Company recorded an insignificant amount of foreign currency losses. Effective foreign currency transaction gains and losses, arising primarily from long-term assets and liabilities are recorded in the foreign currency translation adjustment line on the consolidated statements of comprehensive income. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP 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 revenues and expenses during the period reported. Actual results could differ from those estimates. The most significant estimates are related to estimates of costs to complete on contracts, pending change orders and claims, shared savings, insurance reserves, income tax reserves, estimates surrounding stock-based compensation, the recoverability of goodwill and intangibles and accounts receivable reserves. Actual results could differ from these estimates. In 2018, the Company recognized revenues of $3.4 million related to significant change orders and/or claims that had been included as contract price adjustments on certain contracts which were in the process of being negotiated in the normal course of business. The cost-to-cost method of accounting requires the Company to make estimates about the expected revenue and gross profit on each of its contracts in process. During the year ended December 31, 2018, changes in estimates pertaining to certain projects decreased consolidated gross margin by 0.7%, which resulted in decreases in operating income of $10.5 million, net income attributable to MYR Group Inc. of $8.2 million and diluted earnings per common share of $0.49. The estimates are reviewed and revised quarterly, as needed. During the year ended December 31, 2017, changes in estimates pertaining to certain projects decreased consolidated gross margin by 0.7%, which resulted in decreases in operating income of $10.4 million, net income attributable to MYR Group Inc. of $6.2 million and diluted earnings per common share $0.38. During the year ended December 31, 2016, changes in estimates pertaining to certain projects decreased consolidated gross margin by 0.2%, which resulted in decreases in operating income of $2.6 million, net income attributable to MYR Group Inc. of $1.4 million and diluted earnings per common share attributable to MYR Group Inc. of $0.08. |
Advertising | Advertising Advertising costs are expensed when incurred. Advertising costs, included in selling, general and administrative expenses, were $0.7 million, $0.7 million and $0.6 million for the years ended December 31, 2018, 2017 and 2016, respectively. |
Income Taxes | Income Taxes The Company follows the liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are recorded for future tax consequences of temporary differences between the financial reporting and tax basis of assets and liabilities, and are measured using the enacted tax rates and laws that are expected to be in effect when the underlying assets or liabilities are recovered or settled. The Company also evaluates whether the recorded deferred tax assets and valuation allowances can be realized and, when necessary, reduces the amounts to what is expected to be realized. Interest and penalties related to uncertain income tax positions are included in income tax expense in the accompanying consolidated statements of operations. Interest and penalties actually incurred are charged to interest expense and the “other income, net” line, respectively. |
Stock-Based Compensation | Stock-Based Compensation The Company determines compensation expense for stock-based awards based on the estimated fair values at the grant date and recognize the related compensation expense over the vesting period. The Company uses the straight-line amortization method to recognize compensation expense related to stock-based awards, such as restricted stock, restricted stock units and phantom stock units, that have only service conditions. This method recognizes stock compensation expense on a straight-line basis over the requisite service period for the entire award. The Company recognizes compensation expense related to performance awards that vest based on internal performance metrics and service conditions on a straight-line basis over the service period, but adjust inception-to-date expense based upon our determination of the potential achievement of the performance target at each reporting date. The Company recognizes compensation expense related to performance awards with market-based performance metrics on a straight-line basis over the requisite service period. Upon adoption ASU No. 2016-09, Compensation — Stock Compensation (Topic 718) |
Earnings Per Share | Earnings Per Share The Company computes earnings per share using the treasury stock method. Under the treasury stock method, basic earnings per share attributable to MYR Group Inc. are computed by dividing net income attributable to MYR Group Inc. by the weighted average number of common shares outstanding during the period. Diluted earnings per share attributable to MYR Group Inc. are computed by dividing net income attributable to MYR Group Inc. by the weighted average number of common shares outstanding during the period plus all potentially dilutive common stock equivalents, except in cases where the effect of the common stock equivalent would be anti-dilutive. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. As of December 31, 2018 and 2017, the Company held its cash in checking accounts or in highly liquid money market funds. The Company’s banking arrangements allow the Company to fund outstanding checks when presented to financial institutions for payment. The Company funds all intraday bank balances overdrafts during the same business day. Checks issued and outstanding in excess of bank balance are recorded in accounts payable in the Consolidated Balance Sheets and are reflected as a financing activity in the Consolidated Statements of Cash Flows. |
Accounts Receivable and Allowance for Doubtful Accounts | Accounts Receivable and Allowance for Doubtful Accounts The Company does not charge interest to its customers and carries its customer receivables at their face amounts, less an allowance for doubtful accounts. Based on the Company’s experience in recent years, the majority of customer balances at each balance sheet date are collected within twelve months. As is common practice in the industry, the Company classifies all accounts receivable as current assets. The Company grants trade credit, on a non-collateralized basis (with the exception of lien rights against the property in certain cases), to its customers and is subject to potential credit risk related to changes in business and overall economic activity. The Company analyzes specific accounts receivable balances, historical bad debts, customer credit-worthiness, current economic trends and changes in customer payment terms when evaluating the adequacy of the allowance for doubtful accounts. In the event that a customer balance is deemed to be uncollectible, the account balance is written-off against the allowance for doubtful accounts. |
Classification of Contract Assets and Liabilities | Classification of Contract Assets and Liabilities The Company recognizes revenue associated with its contracts with customers over time, for which the Company has an enforceable right to receive compensation. Many of our contracts contain specific provisions that determine when the Company can bill for its work performed under these contracts. Any revenue earned on a contract that has not yet been billed to the customer is recorded as a contract asset on the Company’s consolidated balance sheets. Contract retainages associated with contract work that has been completed and billed but not paid by its customers until the contracts are substantially complete, pursuant to contract retainage provisions under the contract, are also included in contract assets. The allowance for collection of contract retainage was not significant as of December 31, 2018 and 2017. The Company’s consolidated balance sheets present contract liabilities which contain deferred revenue that represent any costs incurred on contracts in process for which revenue has not yet been recognized. Additionally, accruals for contracts in a loss provision are included in contract liabilities. |
Property and Equipment | Property and Equipment Property and equipment is carried at cost. Depreciation is computed using the straight-line method over estimated useful lives. Major modifications or refurbishments which extend the useful life of the assets are capitalized and depreciated over the adjusted remaining useful life of the assets. Upon retirement or disposition of property and equipment, the cost and related accumulated depreciation are removed and any resulting gain or loss is recognized in income from operations. The cost of maintenance and repairs is charged to expense as incurred. Property and equipment is reviewed for impairment and tested for recoverability whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. If the carrying value of property and equipment exceeds its fair value, an impairment charge would be recorded in the statement of operations. |
Leases | Leases The Company leases certain real estate, construction equipment and office equipment. Real estate is generally leased for terms up to ten years in duration. The terms and conditions of leases (such as renewal or purchase options and escalation clauses), if material, are reviewed at inception to determine the classification (operating or capital) of the lease. Nonperformance-related default covenants, cross-default provisions, subjective default provisions and material adverse change clauses contained in material lease agreements, if any, are also evaluated to determine whether those clauses affect lease classification in accordance with ASC Topic 840-10-25. |
Insurance | Insurance The Company carries insurance policies, which are subject to certain deductibles, for workers’ compensation, general liability, automobile liability and other coverages. The deductible for each line of coverage is up to $ 1.0 2.0 0.2 The insurance and claims accruals are based on known facts, actuarial estimates and historical trends. While recorded accruals are based on the ultimate liability, which includes amounts in excess of the deductible, a corresponding receivable for amounts in excess of the deductible is included in current assets in the consolidated balance sheets. |
Goodwill and Intangible Assets | Goodwill and Intangible Assets Goodwill and intangible assets with indefinite lives are not amortized. Intangible assets with finite lives are amortized on a straight-line basis over their estimated useful lives. The Company reviews goodwill and intangible assets with indefinite lives for impairment on an annual basis at the beginning of the fourth quarter, or when circumstances change, such as a significant adverse change in the business climate or the decision to sell a business, both of which would indicate that impairment may have occurred. Intangible assets with finite lives are also reviewed for impairment and tested for recoverability whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. The Company may perform either a qualitative assessment or a two-step goodwill impairment test. The qualitative assessment considers financial, industry, segment and macroeconomic factors. If the qualitative assessment indicates a potential for impairment, the two-step method is used to determine if impairment exists. The two-step method begins with a comparison of the fair value of the reporting unit with its carrying value. If the carrying amount of the reporting unit exceeds its fair value, the second step of the process involves a comparison of the implied fair value and carrying value of the goodwill of that reporting unit. The company also performs a qualitative assessment on intangible assets with indefinite lives. If the qualitative assessment indicates a potential for impairment, a quantitative impairment test would be performed to compare the fair value of the indefinite-lived intangible asset with its carrying value. If the carrying value of goodwill or other indefinite-lived assets exceeds its implied fair value, an impairment charge would be recorded in the statement of operations. As a result of the annual qualitative review process in 2017 and 2016, the Company determined it was not necessary to perform a two-step analysis. In 2018, |
Concentrations | Concentrations Financial instruments that potentially subject the Company to a concentration of credit risk consist principally of cash and cash equivalents and accounts receivable. The Company maintains substantially all of its cash and cash equivalent balances with large financial institutions which are believed to be high quality institutions. The Company is subject to a concentration of risk because it derives a significant portion of its revenues from a few customers. The Company’s top ten customers accounted for approximately 32.9%, 40.4%, and 46.4% of consolidated revenues for the years ended December 31, 2018, 2017 and 2016, respectively. For the year ended December 31, 2017, one T&D customer accounted for 10.7% of our revenues. For the years ended December 31, 2018 and 2016, no single customer accounted for more than 10.0% of annual revenues. The Company grants trade credit under contractual payment terms, generally without collateral, to its customers, which include high credit quality electric utilities, governmental entities, general contractors and builders, owners and managers of commercial and industrial properties. Consequently, the Company is subject to potential credit risk related to changes in business and economic factors. However, the Company generally has certain statutory lien rights with respect to services provided. Under certain circumstances such as foreclosures or negotiated settlements, the Company may take title to the underlying assets in lieu of cash in settlement of receivables. As of December 31, 2018 and 2017, none of our customers individually exceeded 10.0% of accounts receivable. The Company believes the terms and conditions in its contracts, billing and collection policies are adequate to minimize the potential credit risk. As of December 31, 2018, approximately 88% of the Company’s craft labor employees were covered by collective bargaining agreements. Although the majority of these agreements prohibit strikes and work stoppages, the Company cannot be certain that strikes or work stoppages will not occur in the future. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Changes to GAAP are typically established by the Financial Accounting Standards Board (“FASB”) in the form of accounting standards updates (“ASUs”) to the FASB’s Accounting Standards Codification (“ASC”). The Company considers the applicability and impact of all ASUs. The Company, based on its assessment, determined that any recently issued or proposed ASUs not listed below are either not applicable to the Company or may have minimal impact on its Financial Statements. Recently Adopted Accounting Pronouncements In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) Revenue from Contracts with Customers (Topic 606) were not adjusted and continue to be reported in accordance with the Company’s historical accounting under Revenue Recognition Topic 605. See Note 3 Revenue Recognition to the Financial Statements for further information related to the Company’s accounting policy and transition disclosures associated with the adoption of this pronouncement. In January 2017, the FASB issued ASU No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business In October 2016, the FASB issued ASU No. 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory In August 2016, the FASB issued ASU No. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments Recently Issued Accounting Pronouncements In January 2017, the FASB issued ASU No. 2017-04, Intangibles — Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) The Company continues to evaluate the impact that this pronouncement, and all amendments relating to this pronouncement, will have on its policies and procedures pertaining to its existing and future lease arrangements, disclosure requirements and on the Company’s financial statements. The Company has appointed a committee to transition its policies and procedures based on the requirements of this pronouncement and has purchased lease software to support the additional requirements relating to this pronouncement. Company expects that most existing operating lease commitments that extend beyond twelve months at the time of adoption will be recognized as lease liabilities and right-of-use (“ROU”) assets upon adoption. Based on preliminary evaluations, the Company estimates that the value of lease liabilities will be between $17 million and $19 million upon adoption with corresponding ROU assets of the same amount based on the present value of the remaining minimum lease payments under current leasing standards. Additionally, we expect to elect the package of practical expedients,’ which permits the Company to not reassess under the new standard our prior conclusions about lease identification, lease classification and initial direct costs. The Company currently does not expect to elect the use of the hindsight practical expedient or the practical expedient pertaining to land easements. The Company, however, expects to elect the short-term lease recognition exemption for all leases that qualify. This means, for those leases that qualify, the Company will not recognize ROU assets or lease liabilities, and this includes not recognizing ROU assets or lease liabilities for existing short-term leases of those assets in transition. The Company also currently expects to elect the practical expedient to not separate lease and non-lease components for our real estate and vehicle leases. While the Company is still evaluating the requirements of this update, it currently does not expect the adoption to have a material impact on the recognition, measurement or presentation of lease expenses within the Consolidated Statements of Operations and Comprehensive Income or Consolidated Statements of Cash Flows. See Note 12 Lease Obligations to the Financial Statements for further information related to the Company’s future minimum lease payments and the timing of those payments. |
Fair Value Measurements | The Company uses the three-tier hierarchy of fair value measurement, which prioritizes the inputs used in measuring fair value based upon their degree of availability in external active markets. These tiers include: Level 1 (the highest priority), defined as observable inputs, such as quoted prices in active markets; Level 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable; and Level 3 (the lowest priority), defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions. As of December 31, 2018 and 2017, the Company determined that the carrying value of cash and cash equivalents approximated fair value based on Level 1 inputs. As of December 31, 2018 and 2017, the fair value of the Company’s long-term debt and capital lease obligations, were based on Level 2 inputs. The Company’s long-term debt was based on variable and fixed interest rates at December 31, 2018 and variable interest rates at December 31, 2017. Long-term debt with variable interest rates was based on rates for new issues with similar remaining maturities and approximated carrying value. In addition, based on borrowing rates currently available to the Company for borrowings with similar terms, the carrying values of the Company’s capital lease obligations and long term debt with fixed interest rates also approximated fair value. |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Business Combinations [Abstract] | |
Schedule Of Acquisitions | The following table summarizes the preliminary allocation of the opening balance sheet from the date of acquisition through December 31, 2018: (in thousands) (as of acquisition date) July 2, 2018 Measurement Period Adjustments Adjusted acquisition amounts as of December 31, 2018 Consideration paid $ 47,082 $ — $ 47,082 Preliminary estimated net asset adjustments 10,749 461 11,210 Total consideration, net of net asset adjustments $ 57,831 $ 461 $ 58,292 Accounts receivable $ 33,903 $ 206 $ 34,109 Contract assets 10,570 1,010 11,580 Other current and long term assets 88 1 89 Property and equipment 3,188 — 3,188 Intangible assets — 24,300 24,300 Accounts payable (9,592 ) (1,274 ) (10,866 ) Contract liabilities (6,394 ) 525 (5,869 ) Other current liabilities (6,570 ) — (6,570 ) Net identifiable assets and liabilites 25,193 24,768 49,961 Unallocated intangible assets 9,800 (9,800 ) — Total aquired assets and liabilites 34,993 14,968 49,961 Fair value of aquired noncontrolling interests (1,273 ) (7 ) (1,280 ) Goodwill $ 24,111 $ (14,500 ) $ 9,611 |
Schedule Of Supplemental Pro Forma Financial Information | Future results may vary significantly from the results reflected in the following pro forma financial information because of future events and transactions, as well as other factors: Year ended December 31, (In thousands, except per share data) 2018 2017 (unaudited) (unaudited) Contract revenues $ 1,612,618 $ 1,523,328 Net income $ 35,872 $ 26,531 Net income attributable to MYR Group, Inc. $ 34,947 $ 25,561 Income per common share: Basic $ 2.13 $ 1.57 Diluted $ 2.11 $ 1.55 Weighted average number of common shares and potential common shares outstanding: Basic 16,441 16,273 Diluted 16,585 16,496 |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Schedule Of Revenue by Contract and Market Type | The components of the Company’s revenue by contract type for 2018 were as follows: 2018 T&D C&I Total (dollars in thousands) Amount Percent Amount Percent Amount Percent Fixed price $ 361,699 40.5 % $ 452,732 71.0 % $ 814,431 53.2 % Unit price 181,179 20.3 51,590 8.1 232,769 15.2 T&E 305,581 34.2 34,938 5.4 340,519 22.2 Other 44,649 5.0 98,801 15.5 143,450 9.4 $ 893,108 100.0 % $ 638,061 100.0 % $ 1,531,169 100.0 % The components of the Company’s revenue by market type for the 2018 were as follows: 2018 (dollars in thousands) Amount Percent Segment Transmission $ 559,467 36.5 % T&D Distribution 333,641 21.8 T&D Electrical construction 638,061 41.7 C&I Total Revenue $ 1,531,169 100.0 % |
Contract Assets, Contract Liabilities and contract assets and contract liabilities from contracts with customers | Contract assets consisted of the following at December 31: (in thousands) 2018 2017 Change Unbilled revenue $ 111,153 $ 78,260 $ 32,893 Contract retainages, net 49,128 42,732 6,396 Contract assets $ 160,281 $ 120,992 $ 39,289 Contract liabilities consisted of the following at December 31: (in thousands) 2018 2017 Change Deferred revenue $ 57,051 $ 28,919 $ 28,132 Accrued loss provision 1,483 1,305 178 Contract liabilities $ 58,534 $ 30,224 $ 28,310 The following table provides information about contract assets and contract liabilities from contracts with customers: (in thousands) 2018 2017 Change Contract assets $ 160,281 $ 120,992 $ 39,289 Contract liabilities (58,534 ) (30,224 ) (28,310 ) Net contract assets (liabilities) $ 101,747 $ 90,768 $ 10,979 |
Schedule Of Net Asset Position For Contracts | The net asset position for contracts in process consisted of the following at December 31: (in thousands) 2018 2017 Costs and estimated earnings on uncompleted contracts $ 2,718,713 $ 1,978,981 Less: Billings to date 2,664,611 1,929,640 $ 54,102 $ 49,341 The net asset position for contracts in process is included within the contract asset and contract liability in the accompanying consolidated balance sheets as follows at December 31: (in thousands) 2018 2017 Unbilled revenue $ 111,153 $ 78,260 Deferred revenue (57,051 ) (28,919 ) $ 54,102 $ 49,341 |
Schedule of Amount Of The Remaining Performance Obligations That The Company Reasonably Estimates Will Not Be Recognized Within The Next Twelve Months | The following table summarizes that amount of remaining performance obligations that the Company expects to be realized as of December 31, 2018 and the amount of the remaining performance obligations that the Company reasonably estimates will not be recognized within the next twelve months. Remaining Performance Obligations as of (In thousands) Total Amount estimated to T&D $ 418,178 $ 19,698 C&I 644,547 167,652 Total $ 1,062,725 $ 187,350 |
Accounts Receivable (Tables)
Accounts Receivable (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Receivables [Abstract] | |
Schedule Of Accounts Receivable | Accounts receivable consisted of the following at December 31: (in thousands) 2018 2017 Contract receivables $ 282,283 $ 231,808 Other 7,475 9,073 289,758 240,881 Less: Allowance for doubtful accounts (1,331 ) (605 ) $ 288,427 $ 240,276 |
Schedule Of Allowance For Doubtful Accounts Activity | The roll-forward of activity in the allowance for doubtful accounts was as follows for the years ended December 31: (in thousands) 2018 2017 2016 Balance at beginning of period $ 605 $ 432 $ 376 Less: Reduction in (provision for) allowances (860 ) (263 ) (146 ) Less: Write offs, net of recoveries 123 92 90 Change in foreign currency translation 11 (2 ) — Balance at end of period $ 1,331 $ 605 $ 432 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |
Schedule Of Property And Equipment | Property and equipment consisted of the following at December 31: (dollars in thousands) Estimated Useful Life in Years 2018 2017 Land — $ 8,475 $ 7,733 Buildings and improvements 3 to 39 23,228 22,718 Construction equipment 3 to 12 371,941 340,060 Office equipment 3 to 10 11,743 8,964 415,387 379,475 Less: Accumulated depreciation and amortization (253,495 ) (231,391 ) $ 161,892 $ 148,084 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule Of Goodwill And Intangible Assets | Goodwill and intangible assets consisted of the following at December 31: 2018 2017 (in thousands) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Goodwill T&D $ 40,224 $ — $ 40,224 $ 40,224 $ — $ 40,224 C&I 16,364 — 16,364 6,770 — 6,770 Total goodwill $ 56,588 $ — $ 56,588 $ 46,994 $ — $ 46,994 Amortizable Intangible Assets Backlog $ 2,789 $ 1,889 $ 900 $ 989 $ 989 $ — Customer relationships 17,280 4,970 12,310 5,277 4,069 1,208 Trade names 695 172 523 695 125 570 Indefinite-lived Intangible Assets Trade names 19,533 — 19,533 9,074 — 9,074 Total Intangible assets $ 40,297 $ 7,031 $ 33,266 $ 16,035 $ 5,183 $ 10,852 |
Schedule Of Estimated Future Intangible Asset Amortization Expense | As of December 31, 2018, estimated future intangible asset amortization expense for the each of the next five years and thereafter was as follows: (In thousands) Future Amortization Expense 2019 $ 2,037 2020 1,137 2021 1,137 2022 1,137 2023 1,137 Thereafter 7,148 Total $ 13,733 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Payables and Accruals [Abstract] | |
Schedule Of Accrued Liabilities | Other current liabilities consisted of the following at December 31: (in thousands) 2018 2017 Payroll and incentive compensation $ 21,641 $ 9,146 Net asset adjustments 11,210 — Union dues and benefits 11,465 12,494 Profit sharing and thrift plan 1,215 443 Taxes, other than income taxes 7,999 6,807 Other 7,828 4,843 $ 61,358 $ 33,733 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Schedule Of Total Debt | The table below reflects the Company’s total debt, including borrowings under its credit agreement and master loan agreement for equipment notes: (dollar amounts in thousands) Inception Date Stated Interest Rate (per annum) Payment Frequency Term (years) Outstanding Balance as of December 31, 2018 Outstanding Balance as of December 31, 2017 Credit Agreement Revolving loans 6/30/2016 Variable Variable 5 $ 58,306 $ 78,960 Equipment Notes Equipment Note 1 9/28/2018 4.16% Semi-annual 5 12,655 — Equipment Note 2 9/28/2018 4.23% Semi-annual 7 12,279 — Equipment Note 3 12/31/2018 3.97% Semi-annual 5 2,291 — Equipment Note 4 12/31/2018 4.02% Semi-annual 7 2,313 — Equipment Note 5 12/31/2018 4.01% Semi-annual 7 1,948 — 31,486 — Total Debt 89,792 78,960 Less: Current Portion of long-term debt (3,681 ) — Long-term debt $ 86,111 $ 78,960 |
Schedule Of Remaining Principal Payments For Long Term Obligations | The following table sets forth our remaining principal payments for the Company’s outstanding Equipment Notes as of December 31, 2018: (In thousands) Future Equipment Notes Principal Payments 2019 $ 3,681 2020 3,835 2021 3,996 2022 4,163 2023 7,327 Thereafter 8,484 Total future principal payments $ 31,486 Less: Current portion of equipment notes (3,681 ) Long-term principal obligations $ 27,805 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Schedule Of Income Before Income Taxes By Geographical Area | (in thousands) 2018 2017 2016 Federal $ 48,393 $ 33,830 $ 39,419 Foreign (5,325 ) (9,190 ) (1,074 ) $ 43,068 $ 24,640 $ 38,345 |
Schedule Of Income Tax Provision | The income tax provision consisted of the following for the years ended December 31: (in thousands) 2018 2017 2016 Current Federal $ 5,155 $ 7,020 $ 9,838 State 3,310 1,557 2,871 8,465 8,577 12,709 Deferred Federal 4,936 (1,453 ) 2,491 Foreign (822 ) (875 ) 481 State (805 ) (2,763 ) 1,233 3,309 (5,091 ) 4,205 Income tax expense $ 11,774 $ 3,486 $ 16,914 |
Schedule Of Effective Tax Rate Reconciliation | The differences between the U.S. federal statutory tax rate and the Company’s effective tax rate for operations were as follows for the years ended December 31: 2018 2017 2016 U.S federal statutory rate 21.0 % 35.0 % 35.0 % Deferred balance adjustments due to Tax Act, net — (31.6 ) — State income taxes, net of U.S. federal income tax expense 5.2 5.3 5.2 Change in valuation allowance 1.2 6.4 1.6 Domestic production/manufacturing deduction — (1.6 ) (1.9 ) Tax differential on foreign earnings (0.5 ) 3.2 0.6 Deferred state tax adjustments, net — (2.4 ) 1.6 Non-deductible meals and entertainment 0.8 1.7 1.0 Stock compensation excess tax benefits (0.1 ) (3.1 ) — Uncertain tax positions 0.1 2.0 — Provision to return adjustments, net (0.2 ) (0.3 ) 0.8 Non-controlling interest (0.5 ) — — Other income, net 0.3 (0.5 ) 0.2 Effective rate 27.3 % 14.1 % 44.1 % |
Schedule Of Net Deferred Tax Assets And (Liabilities) | The net deferred tax assets and (liabilities) arising from temporary differences was as follows at December 31: (in thousands) 2018 2017 Deferred income tax assets: Self insurance reserves $ 4,299 $ 4,555 Contract loss reserves 350 317 Stock-based awards 1,143 1,571 Bonus 3,271 590 Non-U.S. operating loss 2,672 2,173 Non-U.S. deferred income tax assets, net 1,526 773 Other 1,958 1,359 Total deferred income tax assets before valuation allowances 15,219 11,338 Less: valuation allowances (2,672 ) (2,173 ) Total deferred income tax assets 12,547 9,165 Deferred income tax liabilities: Property and equipment – tax over book depreciation (26,030 ) (18,792 ) Intangible assets – tax over book amortization (1,890 ) (2,186 ) Other (2,025 ) (1,639 ) Total deferred income tax liabilities (29,945 ) (22,617 ) Net deferred income taxes $ (17,398 ) $ (13,452 ) |
Schedule Of Liability For Unrecognized Tax Benefits Reconciliation | The following is a reconciliation of the beginning and ending liability for unrecognized tax benefits at December 31: (in thousands) 2018 2017 Balance at beginning of period $ 751 $ 271 Gross increases in current period tax positions 25 63 Gross increases in prior period tax positions — 434 Reductions in tax positions due to lapse of statutory limitations (8 ) (17 ) Reclass from unrecognized tax benefits to deferred tax liability (441 ) — Balance at end of period 327 751 Accrued interest and penalties at end of period 48 36 Total liability for unrecognized tax benefits $ 375 $ 787 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule Of Accrued Short- And Long-Term Insurance Liabilities | The following table includes the Company’s accrued short- and long-term insurance liabilities at December 31: (in thousands) 2018 2017 2016 Balance at beginning of period $ 45,363 $ 42,584 $ 36,967 Net increases in reserves 31,193 22,938 25,139 Net payments made (22,517 ) (20,159 ) (19,522 ) Balance at end of period $ 54,039 $ 45,363 $ 42,584 |
Lease Obligations (Tables)
Lease Obligations (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Leases [Abstract] | |
Schedule Of Future Minimum Operating Lease Payments | The future minimum lease payments required under capital leases, less interest, and future minimum lease payments required under operating leases as of December 31, 2018 were as follows: (In thousands) Capital Lease Obligations Operating Lease Obligations 2019 $ 1,185 $ 4,829 2020 1,185 3,754 2021 365 2,971 2022 — 2,379 2023 — 1,335 Thereafter — 2,127 Total minimum lease payments $ 2,735 $ 17,395 Interest (102 ) Net present of minimum lease payments 2,633 Less: Current portion of capital lease obligations 1,119 Long-term capital lease obligations $ 1,514 |
Schedule Of Future Minimum Capital Lease Payments | The future minimum lease payments required under capital leases, less interest, and future minimum lease payments required under operating leases as of December 31, 2018 were as follows: (In thousands) Capital Lease Obligations Operating Lease Obligations 2019 $ 1,185 $ 4,829 2020 1,185 3,754 2021 365 2,971 2022 — 2,379 2023 — 1,335 Thereafter — 2,127 Total minimum lease payments $ 2,735 $ 17,395 Interest (102 ) Net present of minimum lease payments 2,633 Less: Current portion of capital lease obligations 1,119 Long-term capital lease obligations $ 1,514 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule Of Stock Option Activity | Following is a summary of stock option activity for the three-year period ending December 31, 2018: Options Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term Aggregate Intrinsic Value (in thousands) Outstanding at January 1, 2016 730,605 $ 16.40 Exercised (443,283 ) $ 14.03 Forfeited (933 ) $ 24.68 Expired (40,672 ) $ 21.40 Outstanding and Exercisable at December 31, 2016 245,717 $ 19.82 4.4 $ 4,396 Exercised (79,797 ) $ 15.43 Outstanding and Exercisable at December 31, 2017 165,920 $ 21.92 4.2 $ 2,292 Exercised (88,053 ) $ 21.54 Expired (1,103 ) $ 21.16 Outstanding and Exercisable at December 31, 2018 76,764 $ 22.33 2.9 $ 446 |
Schedule Of Other Stock Option Related Activity | Other data relating to option activity for the years ended December 31 are as follows: (dollars in thousands) 2018 2017 2016 Intrinsic value of options exercised $ 1,277 $ 1,721 $ 7,832 Fair value of options vested — — 372 |
Schedule Of Stock Options Outstanding And Exercisable | The following table summarizes information with respect to stock options outstanding and exercisable under the Company’s plans at December 31, 2018: Options Outstanding and Exercisable Exercise Price Number Of Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term $17.18 – $17.18 7,587 $ 17.18 1.2 years $17.48 – $17.48 15,654 $ 17.48 3.1 years $24.18 – $24.18 17,948 $ 24.18 2.2 years $24.68 – $24.68 35,575 $ 24.68 3.5 years 76,764 $ 22.35 2.9 years |
Schedule Of Time-Vested Stock Awards Activity | Following is a summary of time-vested stock awards activity for the three-year period ending December 31, 2018: Shares Per Share Weighted - Average Grant Date Fair Value Outstanding unvested at January 1, 2016 201,949 $ 24.58 Granted 112,912 $ 24.66 Vested (88,301 ) $ 25.18 Forfeited (3,144 ) $ 26.09 Outstanding unvested at December 31, 2016 223,416 $ 25.26 Granted 66,352 $ 37.49 Vested (99,774 ) $ 25.19 Forfeited (1,346 ) $ 31.22 Outstanding unvested at December 31, 2017 188,648 $ 29.55 Granted 93,280 $ 30.22 Vested (96,840 ) $ 28.91 Forfeited (9,657 ) $ 27.02 Outstanding unvested at December 31, 2018 175,431 $ 30.40 |
Schedule Of Performance Share Award Activity | Following is a summary of performance share award activity for the three-year period ending December 31, 2018: Shares Per Share Weighted- Average Grant Date Fair Value Outstanding at January 1, 2016 143,608 $ 32.68 Granted at target 79,661 $ 28.25 Earned for performance above target 20,650 $ 31.01 Vested (98,270 ) $ 27.74 Forfeited (1,626 ) $ 32.96 Outstanding at December 31, 2016 144,023 $ 32.92 Granted at target 47,454 $ 47.12 Forfeited for performance below target (24,873 ) $ 36.40 Vested (39,407 ) $ 40.15 Forfeited (222 ) $ 37.22 Outstanding at December 31, 2017 126,975 $ 35.29 Granted at target 66,764 $ 34.52 Forfeited for performance below target (42,584 ) $ 29.73 Vested (29,655 ) $ 33.35 Forfeited (9,247 ) $ 30.85 Outstanding at December 31, 2018 112,253 $ 39.73 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Retirement Benefits [Abstract] | |
Schedule Of Individually Significant Plans And In Aggregate Other Plans | The following table summarizes plan information relating to the Company’s participation in multi-employer defined benefit pension plans, including company contributions for the last three years, the status under the Pension Protection Act of 2006, as amended by the Consolidated and Further Continuing Appropriations Act of 2015 (“PPA”) of the plans and whether the plans are subject to a funding improvement or rehabilitation plan, or contribution surcharges. The most recent zone status is for the plan’s year-end indicated in the table. The zone status is based on information that the Company received from the plan, as well as from publicly available information on the U.S. Department of Labor website. The PPA zone status for the plan year ended on December 31, 2018 has not been listed because Forms 5500 were not yet available. Among other factors, plans in the red “critical” zone are generally less than 65 percent funded, plans in the yellow “endangered” zone are between 65 and 80 percent funded, and plans in the green zone are at least 80 percent funded. Also listed in the table below are the Company’s contributions to defined contribution plans. Information in the table has been presented separately for individually significant plans and in the aggregate for all other plans. Pension Fund EIN/Pension Plan Number Pension Protection Act Zone Status Contributions to Plan for the Year Ended December 31, Funding Plan Surcharge Imposed Status Plan Year End Status Plan Year End 2018 2017 2016 (in thousands) Defined Benefit Plans: National Electrical Benefit Fund 53-0181657 001 Green 12/31/2017 Green 12/31/2016 $ 9,840 $ 9,542 $ 9,040 No No Eighth District Electrical Pension Fund 84-6100393 001 Green 3/31/2018 Green 3/31/2017 9,707 7,908 7,519 No No Indiana/Kentucky/Ohio Regional Council of Carpenters Pension Fund 51-6123713 001 Green 6/30/2017 Green 6/30/2016 1,157 2,515 696 No No I 86-6049763 001 Green 6/30/2017 Green 6/30/2016 2,587 2,115 1,709 No No Alaska Electrical Pension Plan 92-6005171 001 Green 12/31/2017 Green 12/31/2016 2,723 1,951 1,873 No No Defined Contribution Plans: National Electrical Annuity Plan 52-6132372 001 n/a n/a 26,559 27,633 22,840 n/a n/a Eighth District Electrical Pension Fund Annuity Plan 84-6100393 002 n/a n/a 4,785 4,109 4,883 n/a n/a All other plans: 13,062 9,115 5,236 Total Contributions: $ 70,420 $ 64,888 $ 53,796 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Segment Reporting [Abstract] | |
Schedule Of Segment's Internal Financial Reports | The information in the following table is derived from the segment’s internal financial reports used for corporate management purposes: For the Year Ended December 31, (in thousands) 2018 2017 2016 Contract revenues: T&D $ 893,108 $ 879,372 $ 818,972 C&I 638,061 523,945 323,515 $ 1,531,169 $ 1,403,317 $ 1,142,487 Income from operations: T&D $ 57,242 $ 39,631 $ 63,459 C&I 34,112 25,048 13,920 General Corporate (41,042 ) (35,121 ) (38,625 ) $ 50,312 $ 29,558 $ 38,754 |
Schedule Of Assets Allocation By Segment | Identifiable assets, consisting of contract receivables, costs and estimated earnings in excess of billings on uncompleted contracts, construction materials inventory, goodwill and intangibles for each segment are as follows as of December 31 : (in thousands) 2018 2017 T&D $ 274,038 $ 257,834 C&I 257,049 152,207 General Corporate 217,668 193,747 $ 748,755 $ 603,788 |
Schedule Of Depreciation And Amortization By Segment | An allocation of total depreciation, including depreciation of shared construction equipment, and amortization to each segment is as follows: For the Year Ended December 31, (in thousands) 2018 2017 2016 Depreciation and amortization T&D $ 33,977 $ 34,990 $ 35,947 C&I 5,936 3,586 3,175 $ 39,913 $ 38,576 $ 39,122 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Earnings Per Share [Abstract] | |
Schedule Of Weighted Average Number Of Common Shares Used To Compute Basic And Dilute Earnings Per Share | Net income attributable to MYR Group Inc. and the weighted average number of common shares used to compute basic and diluted earnings per share was as follows: For the Year Ended December 31, (in thousands, except per share data) 2018 2017 2016 Numerator: Net income $ 31,294 $ 21,154 $ 21,431 Less: net income – noncontrolling interests 207 — — Net income attributable to MYR Group Inc. $ 31,087 $ 21,154 $ 21,431 Denominator: Weighted average common shares outstanding 16,441 16,273 17,109 Weighted average dilutive securities 144 223 352 Weighted average common shares outstanding, diluted 16,585 16,496 17,461 Net income per share attributable to MYR Group Inc.: Basic $ 1.89 $ 1.30 $ 1.25 Diluted $ 1.87 $ 1.28 $ 1.23 |
Schedule Of Shared Excluded From Calculation Of Dilute Securities | The following table summarizes the shares of common stock underlying the Company’s unvested stock options and performance awards that were excluded from the calculation of dilutive securities: (In thousands) 2018 2017 2016 Time-vested stock awards 1 44 — Performance awards 67 97 63 |
Quarterly Financial Data (Una_2
Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule Of Quarterly Financial Data (Unaudited) | The following table presents the unaudited consolidated operating results by quarter for the years ended December 31, 2018 and 2017: For the Three Months Ended (in thousands, except per share data) March 31, June 30, September 30, December 31, (a) 2018: Revenues $ 345,611 $ 339,676 $ 399,537 $ 446,345 Gross profit 35,753 38,630 45,286 47,391 Net income attributable to MYR Group 5,644 6,835 7,957 10,651 Basic earnings per share attributable to MYR Group $ 0.35 $ 0.42 $ 0.48 $ 0.65 Diluted earnings per share attributable to MYR Group $ 0.34 $ 0.41 $ 0.48 $ 0.64 2017: Revenues $ 300,129 $ 356,185 $ 373,502 $ 373,501 Gross profit 25,740 27,517 34,853 36,894 Net income attributable to MYR Group 1,200 1,230 5,145 13,579 Basic earnings per share attributable to MYR Group $ 0.07 $ 0.08 $ 0.32 $ 0.83 Diluted earnings per share attributable to MYR Group $ 0.07 $ 0.07 $ 0.31 $ 0.82 (a) Results for the fourth quarter of 2017 include a net 2017 Tax Act benefit of $7.8 million, or $0.48 and $0.47 per basic and diluted share, respectively. |
Organization, Business and Si_3
Organization, Business and Significant Accounting Policies - Narrative (Details) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||
Dec. 31, 2018USD ($)$ / shares | Sep. 30, 2018USD ($)$ / shares | Jun. 30, 2018USD ($)$ / shares | Mar. 31, 2018USD ($)$ / shares | Dec. 31, 2017USD ($)$ / shares | Sep. 30, 2017USD ($)$ / shares | Jun. 30, 2017USD ($)$ / shares | Mar. 31, 2017USD ($)$ / shares | Dec. 31, 2018USD ($)segment$ / shares | Dec. 31, 2017USD ($)$ / shares | Dec. 31, 2016USD ($)$ / shares | Mar. 31, 2019USD ($) | |||
Organization Consolidation and Presentation of Financial Statements [Line Items] | ||||||||||||||
Revenues | $ 50,312 | $ 29,558 | $ 38,754 | |||||||||||
Net income | $ 10,651 | [1] | $ 7,957 | $ 6,835 | $ 5,644 | $ 13,579 | [1] | $ 5,145 | $ 1,230 | $ 1,200 | $ 31,087 | $ 21,154 | $ 21,431 | |
Diluted earnings per share attributable to MYR Group (in dollars per share) | $ / shares | $ 0.64 | [1] | $ 0.48 | $ 0.41 | $ 0.34 | $ 0.82 | [1] | $ 0.31 | $ 0.07 | $ 0.07 | $ 1.87 | $ 1.28 | $ 1.23 | |
Revenues recognized | $ 446,345 | [1] | $ 399,537 | $ 339,676 | $ 345,611 | $ 373,501 | [1] | $ 373,502 | $ 356,185 | $ 300,129 | $ 1,531,169 | $ 1,403,317 | $ 1,142,487 | |
Advertising cost | $ 700 | 700 | $ 600 | |||||||||||
Concentration Risk, Percentage | 100.00% | |||||||||||||
Number of Segments Repotable | segment | 2 | |||||||||||||
Retention Provision | 10.00% | |||||||||||||
Contract with Customer, Asset, Net, Current | 160,281 | 120,992 | $ 160,281 | 120,992 | ||||||||||
Contingencies Excluding Wildfire and Health Insurance [Member] | ||||||||||||||
Organization Consolidation and Presentation of Financial Statements [Line Items] | ||||||||||||||
Insurance Policy Deductible amount | 1,000 | 1,000 | ||||||||||||
Wildfire [Member] | ||||||||||||||
Organization Consolidation and Presentation of Financial Statements [Line Items] | ||||||||||||||
Insurance Policy Deductible amount | 2,000 | 2,000 | ||||||||||||
Health Insurance [Member] | ||||||||||||||
Organization Consolidation and Presentation of Financial Statements [Line Items] | ||||||||||||||
Insurance Policy Deductible amount | $ 200 | 200 | ||||||||||||
Accounting Standards Update 606 [Member] | Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | ||||||||||||||
Organization Consolidation and Presentation of Financial Statements [Line Items] | ||||||||||||||
Contract with Customer, Asset, Net, Current | $ 42,700 | $ 42,700 | ||||||||||||
Significant Change Orders Or Claims [Member] | ||||||||||||||
Organization Consolidation and Presentation of Financial Statements [Line Items] | ||||||||||||||
Revenues recognized | $ 3,400 | |||||||||||||
Maximum [Member] | ||||||||||||||
Organization Consolidation and Presentation of Financial Statements [Line Items] | ||||||||||||||
Term of Contract | 10 years | 10 years | ||||||||||||
Maximum [Member] | Scenario, Forecast [Member] | ||||||||||||||
Organization Consolidation and Presentation of Financial Statements [Line Items] | ||||||||||||||
Operating Lease, Liability | $ 17,000 | |||||||||||||
Minimum [Member] | Scenario, Forecast [Member] | ||||||||||||||
Organization Consolidation and Presentation of Financial Statements [Line Items] | ||||||||||||||
Operating Lease, Liability | $ 19,000 | |||||||||||||
Sales Revenue, Net [Member] | Top Ten Customers [Member] | Customer Concentration Risk [Member] | ||||||||||||||
Organization Consolidation and Presentation of Financial Statements [Line Items] | ||||||||||||||
Concentration Risk, Percentage | 32.90% | 40.40% | 46.40% | |||||||||||
Sales Revenue, Net [Member] | Top Ten Customers [Member] | Customer Concentration Risk [Member] | TD member [Member] | ||||||||||||||
Organization Consolidation and Presentation of Financial Statements [Line Items] | ||||||||||||||
Concentration Risk, Percentage | 10.70% | |||||||||||||
Labor employees covered by collective bargaining agreements [Member] | Labor Force Concentration Risk [Member] | ||||||||||||||
Organization Consolidation and Presentation of Financial Statements [Line Items] | ||||||||||||||
Concentration Risk, Percentage | 88.00% | |||||||||||||
Contracts Accounted for under Percentage of Completion [Member] | ||||||||||||||
Organization Consolidation and Presentation of Financial Statements [Line Items] | ||||||||||||||
Cost Estimate Revision Gross Margin Increase (Decrease) Percentage | (0.70%) | (0.70%) | (0.20%) | |||||||||||
Revenues | $ (10,500) | $ (10,400) | $ (2,600) | |||||||||||
Net income | $ (8,200) | $ (6,200) | $ (1,400) | |||||||||||
Diluted earnings per share attributable to MYR Group (in dollars per share) | $ / shares | $ (0.49) | $ (0.38) | $ (0.08) | |||||||||||
[1] | Results for the fourth quarter of 2017 include a net 2017 Tax Act benefit of $7.8 million, or $0.48 and $0.47 per basic and diluted share, respectively. |
Acquisition - Narrative (Detail
Acquisition - Narrative (Details) $ in Thousands | Jul. 02, 2018USD ($) | Oct. 28, 2016USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2018USD ($)company | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) |
Borrowing From Revolving Credit Facility | $ 47,100 | |||||
Revenues | 1,531,169 | |||||
Other Nonoperating Expense | $ 2,300 | |||||
Other Nonoperating Income | $ 1,400 | |||||
Huen Electric Inc [Member] | ||||||
Payments to Acquire Businesses, Net of Cash Acquired | $ 47,082 | $ 47,082 | 11,200 | |||
Assets Acquisition, Contingent Consideration Liability | 0 | 0 | ||||
Assets Acquisition, Transaction Costs | 300 | 300 | ||||
Revenues | 69,000 | |||||
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 500 | |||||
Assets Acquisition, Compensation Expense Associated On Contingent Payments | 600 | |||||
Assets Acquisition, Contingent Consideration Arrangements Change In Amount Of Contingent Consideration Liability 1 | $ 10,700 | $ 11,200 | ||||
Number of operating structure | company | 3 | |||||
Assets Acquisition, Contingent Consideration Arrangements Other Expenses On Contingent Payment | $ 3,900 | $ 3,900 | ||||
Western Pacific Enterprises [Member] | ||||||
Payments to Acquire Businesses, Net of Cash Acquired | $ 12,100 | |||||
Assets Acquisition, Contingent Consideration Liability | 2,200 | |||||
Assets Acquisition, Contingent Consideration Arrangements Change In Amount Of Contingent Consideration Liability 1 | 800 | |||||
Escrow Deposit | $ 1,900 |
Acquisitions - Summary of acqui
Acquisitions - Summary of acquisition by acquisition (Details) - Huen Electric Inc [Member] - USD ($) $ in Thousands | Jul. 02, 2018 | Dec. 31, 2018 | Dec. 31, 2018 |
Consideration paid | $ 47,082 | $ 47,082 | $ 11,200 |
Preliminary estimated net asset adjustments | 10,749 | 11,210 | |
Total consideration, net of net asset adjustments | 57,831 | 58,292 | |
Accounts receivable | 33,903 | 34,109 | |
Contract assets | 10,570 | 11,580 | |
Other current and long term assets | 88 | 89 | |
Property and equipment | 3,188 | 3,188 | |
Intangible assets | 0 | 24,300 | |
Accounts payable | (9,592) | (10,866) | |
Contract liabilities | (6,394) | (5,869) | |
Other current liabilities | (6,570) | (6,570) | |
Net identifiable assets and liabilites | 25,193 | 49,961 | |
Unallocated intangible assets | 9,800 | 0 | |
Total aquired assets and liabilites | 34,993 | 49,961 | |
Fair value of aquired noncontrolling interests | (1,273) | (1,280) | |
Goodwill | $ 24,111 | 9,611 | |
Consideration paid | 0 | ||
Preliminary estimated net asset adjustments | 461 | ||
Total consideration, net of net asset adjustments | 461 | ||
Accounts receivable | 206 | ||
Contract assets | 1,010 | ||
Other current and long term assets | 1 | ||
Property and equipment | 0 | ||
Intangible assets | 24,300 | ||
Accounts payable | (1,274) | ||
Contract liabilities | 525 | ||
Other current liabilities | 0 | ||
Net identifiable assets and liabilites | 24,768 | ||
Unallocated intangible assets | (9,800) | ||
Total aquired assets and liabilites | 14,968 | ||
Fair value of aquired noncontrolling interests | (7) | ||
Goodwill | $ (14,500) |
Acquisitions - Summary of suppl
Acquisitions - Summary of supplemental pro forma financial information (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Contract revenues | $ 1,612,618 | $ 1,523,328 |
Net income | 35,872 | 26,531 |
Net income attributable to MYR Group, Inc. | $ 34,947 | $ 25,561 |
Income per common share: | ||
— Basic (in dollars per share) | $ 2.13 | $ 1.57 |
— Diluted (in dollars per share) | $ 2.11 | $ 1.55 |
Weighted average number of common shares and potential common shares outstanding: | ||
— Basic (in shares) | 16,441 | 16,273 |
— Diluted (in shares) | 16,585 | 16,496 |
Revenue Recognition - Narrative
Revenue Recognition - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||
Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jan. 01, 2018 | |||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 446,345 | [1] | $ 399,537 | $ 339,676 | $ 345,611 | $ 373,501 | [1] | $ 373,502 | $ 356,185 | $ 300,129 | $ 1,531,169 | $ 1,403,317 | $ 1,142,487 | |
Contract with Customer, Liability, Revenue Recognized | 22,100 | |||||||||||||
Revenue, Remaining Performance Obligation | 1,060,000 | 1,060,000 | ||||||||||||
Retained Earnings (Accumulated Deficit) | $ 174,736 | $ 143,241 | 174,736 | $ 143,241 | ||||||||||
Accounting Standards Update 2014-09 [Member] | Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | ||||||||||||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 200 | |||||||||||||
Retained Earnings (Accumulated Deficit) | $ 700 | |||||||||||||
[1] | Results for the fourth quarter of 2017 include a net 2017 Tax Act benefit of $7.8 million, or $0.48 and $0.47 per basic and diluted share, respectively. |
Revenue Recognition - Schedule
Revenue Recognition - Schedule of revenue by contract type (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Amount | $ 1,531,169 |
Percent | 100.00% |
Contract Type Fixed price [Member] | |
Amount | $ 814,431 |
Percent | 53.20% |
Contract Type Unit Price [Member] | |
Amount | $ 232,769 |
Percent | 15.20% |
Contract Type T&E [Member] | |
Amount | $ 340,519 |
Percent | 22.20% |
Contract Type Other [Member] | |
Amount | $ 143,450 |
Percent | 9.40% |
T&D [Member] | |
Amount | $ 893,108 |
Percent | 100.00% |
T&D [Member] | Contract Type Fixed price [Member] | |
Amount | $ 361,699 |
Percent | 40.50% |
T&D [Member] | Contract Type Unit Price [Member] | |
Amount | $ 181,179 |
Percent | 20.30% |
T&D [Member] | Contract Type T&E [Member] | |
Amount | $ 305,581 |
Percent | 34.20% |
T&D [Member] | Contract Type Other [Member] | |
Amount | $ 44,649 |
Percent | 5.00% |
C&I [Member] | |
Amount | $ 638,061 |
Percent | 100.00% |
C&I [Member] | Contract Type Fixed price [Member] | |
Amount | $ 452,732 |
Percent | 71.00% |
C&I [Member] | Contract Type Unit Price [Member] | |
Amount | $ 51,590 |
Percent | 8.10% |
C&I [Member] | Contract Type T&E [Member] | |
Amount | $ 34,938 |
Percent | 5.40% |
C&I [Member] | Contract Type Other [Member] | |
Amount | $ 98,801 |
Percent | 15.50% |
Revenue Recognition - Schedul_2
Revenue Recognition - Schedule of revenue by market type (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Revenues | $ 1,531,169 |
Concentration Risk, Percentage | 100.00% |
T&D [Member] | |
Revenues | $ 893,108 |
Concentration Risk, Percentage | 100.00% |
T&D [Member] | Market Type Transmission [Member] | |
Revenues | $ 559,467 |
Concentration Risk, Percentage | 36.50% |
T&D [Member] | Market Type Distribution [Member] | |
Revenues | $ 333,641 |
Concentration Risk, Percentage | 21.80% |
C&I [Member] | |
Revenues | $ 638,061 |
Concentration Risk, Percentage | 100.00% |
C&I [Member] | Market Type Electrical Construction [Member] | |
Revenues | $ 638,061 |
Concentration Risk, Percentage | 41.70% |
Revenue Recognition - Summary o
Revenue Recognition - Summary of contract assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Unbilled revenue | $ 111,153 | $ 78,260 | |
Contract retainages, net | 49,128 | 42,732 | |
Contract assets | 160,281 | 120,992 | |
Changes in contract assets | 28,141 | $ 17,857 | $ 22,013 |
Net Period Change [Member] | |||
Changes in unbilled revenue | 32,893 | ||
Changes in contract retainages, net | 6,396 | ||
Changes in contract assets | $ 39,289 |
Revenue Recognition - Summary_2
Revenue Recognition - Summary of contract liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Deferred revenue | $ 57,051 | $ 28,919 | |
Accrued loss provision | 1,483 | 1,305 | |
Contract liabilities | 58,534 | 30,224 | |
Changes in contract liabilities | 22,551 | $ (14,317) | $ 790 |
Net Period Change [Member] | |||
Changes in deferred revenue | 28,132 | ||
Changes in accrued loss provision | 178 | ||
Changes in contract liabilities | $ 28,310 |
Revenue Recognition - Summary_3
Revenue Recognition - Summary of assets and liabilities (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Contract assets | $ 160,281 | $ 120,992 | |
Contract liabilities | (58,534) | (30,224) | |
Net contract assets (liabilities) | 101,747 | 90,768 | |
Changes in contract assets | 28,141 | $ 17,857 | $ 22,013 |
Net Period Change [Member] | |||
Changes in contract assets | 39,289 | ||
Changes in contract liabilities | (28,310) | ||
Changes in net contract assets (liabilities) | $ 10,979 |
Revenue Recognition - Contracts
Revenue Recognition - Contracts in process (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Costs and estimated earnings on uncompleted contracts | $ 2,718,713 | $ 1,978,981 |
Less: Billings to date | 2,664,611 | 1,929,640 |
Net asset position for contracts in process | $ 54,102 | $ 49,341 |
Revenue Recognition - Summary_4
Revenue Recognition - Summary of net asset position for contracts in process (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Unbilled revenue | $ 111,153 | $ 78,260 |
Deferred revenue | (57,051) | (28,919) |
Net asset position for contracts in process | $ 54,102 | $ 49,341 |
Revenue Recognition - Summary_5
Revenue Recognition - Summary of remaining performance obligations (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total, Remaining Performance Obligations | $ 1,060,000 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Total, Remaining Performance Obligations | $ 1,062,725 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-01-01 | T&D [Member] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Total, Remaining Performance Obligations | $ 418,178 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2019-01-01 | C&I [Member] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Total, Remaining Performance Obligations | $ 644,547 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Total, Remaining Performance Obligations | $ 187,350 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-01-01 | T&D [Member] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Total, Remaining Performance Obligations | $ 19,698 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2020-01-01 | C&I [Member] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Period | 1 year |
Total, Remaining Performance Obligations | $ 167,652 |
Accounts Receivable - Schedule
Accounts Receivable - Schedule of accounts receivable (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Receivables [Abstract] | ||
Contract receivables | $ 282,283 | $ 231,808 |
Other | 7,475 | 9,073 |
Accounts receivable, gross current | 289,758 | 240,881 |
Less: Allowance for doubtful accounts | (1,331) | (605) |
Accounts receivable, net current | $ 288,427 | $ 240,276 |
Accounts Receivable - Summary o
Accounts Receivable - Summary of allowance for doubtful accounts activity (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Allowance for Doubtful Accounts Receivable [Roll Forward] | |||
Balance at beginning of period | $ 605 | $ 432 | $ 376 |
Less: Reduction in (provision for) allowances | (860) | (263) | (146) |
Less: Write offs, net of recoveries | 123 | 92 | 90 |
Change in foreign currency translation | 11 | (2) | 0 |
Balance at end of period | $ 1,331 | $ 605 | $ 432 |
Property and Equipment - Summar
Property and Equipment - Summary of property and equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 415,387 | $ 379,475 |
Less: Accumulated depreciation and amortization | (253,495) | (231,391) |
Property, Plant and Equipment, Net | 161,892 | 148,084 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 8,475 | 7,733 |
Estimated Useful Life in Years | 0 years | |
Buildings and improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 23,228 | 22,718 |
Buildings and improvements [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life in Years | 39 years | |
Buildings and improvements [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life in Years | 3 years | |
Construction equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 371,941 | 340,060 |
Construction equipment [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life in Years | 12 years | |
Construction equipment [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life in Years | 3 years | |
Office equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Gross | $ 11,743 | $ 8,964 |
Office equipment [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life in Years | 10 years | |
Office equipment [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Estimated Useful Life in Years | 3 years |
Property and Equipment - Narrat
Property and Equipment - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |||
Depreciation and amortization expense | $ 38,070 | $ 38,077 | $ 38,236 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Finite lived Intangible Assets Net Amortization Expense Fiscal Year Maturity [Line Items] | |||
Amortization of Intangible Assets | $ 1,843 | $ 499 | $ 886 |
Huen Electric Inc [Member] | |||
Finite lived Intangible Assets Net Amortization Expense Fiscal Year Maturity [Line Items] | |||
Goodwill, Period Increase (Decrease) | $ 9,600 | ||
Huen Electric Inc [Member] | Maximum [Member] | |||
Finite lived Intangible Assets Net Amortization Expense Fiscal Year Maturity [Line Items] | |||
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life | 12 years | ||
Trade Names [Member] | |||
Finite lived Intangible Assets Net Amortization Expense Fiscal Year Maturity [Line Items] | |||
Estimated useful life | 15 years | ||
Customer Relationships and Backlog [Member] | |||
Finite lived Intangible Assets Net Amortization Expense Fiscal Year Maturity [Line Items] | |||
Estimated useful life | 12 years |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Summary of goodwill and intangible assets (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Schedule Of Intangible Assets And Goodwill [Line Items] | ||
Goodwill gross carrying amount | $ 56,588 | $ 46,994 |
Goodwill accumulated amortization | 0 | 0 |
Goodwill net carrying amount | 56,588 | 46,994 |
Accumulated Amortization | 7,031 | 5,183 |
Total | 13,733 | |
Intangible Assets, Gross (Excluding Goodwill) | 40,297 | 16,035 |
Intangible Assets, Net (Excluding Goodwill) | 33,266 | 10,852 |
Trade names [Member] | ||
Schedule Of Intangible Assets And Goodwill [Line Items] | ||
Indefinite-lived Intangible Assets | 19,533 | 9,074 |
Intangible Assets, Gross (Excluding Goodwill) | 0 | 0 |
Intangible Assets, Net (Excluding Goodwill) | 19,533 | 9,074 |
T&D [Member] | ||
Schedule Of Intangible Assets And Goodwill [Line Items] | ||
Goodwill gross carrying amount | 40,224 | 40,224 |
Goodwill accumulated amortization | 0 | 0 |
Goodwill net carrying amount | 40,224 | 40,224 |
C&I [Member] | ||
Schedule Of Intangible Assets And Goodwill [Line Items] | ||
Goodwill gross carrying amount | 16,364 | 6,770 |
Goodwill accumulated amortization | 0 | 0 |
Goodwill net carrying amount | 16,364 | 6,770 |
Backlog [Member] | ||
Schedule Of Intangible Assets And Goodwill [Line Items] | ||
Accumulated Amortization | 1,889 | 989 |
Amortizable intangible assets gross carrying amount | 2,789 | 989 |
Total | 900 | 0 |
Customer relationships [Member] | ||
Schedule Of Intangible Assets And Goodwill [Line Items] | ||
Accumulated Amortization | 4,970 | 4,069 |
Amortizable intangible assets gross carrying amount | 17,280 | 5,277 |
Total | 12,310 | 1,208 |
Trade names [Member] | ||
Schedule Of Intangible Assets And Goodwill [Line Items] | ||
Accumulated Amortization | 172 | 125 |
Amortizable intangible assets gross carrying amount | 695 | 695 |
Total | $ 523 | $ 570 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets -Schedule of estimated future intangible asset amortization expense (Details) $ in Thousands | Dec. 31, 2018USD ($) |
2,019 | $ 2,037 |
2,020 | 1,137 |
2,021 | 1,137 |
2,022 | 1,137 |
2,023 | 1,137 |
Thereafter | 7,148 |
Total | $ 13,733 |
Accrued Liabilities - (Details)
Accrued Liabilities - (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Other Current Liabilities [Line Items] | ||
Payroll and incentive compensation | $ 21,641 | $ 9,146 |
Net asset adjustments | 11,210 | 0 |
Union dues and benefits | 11,465 | 12,494 |
Profit sharing and thrift plan | 1,215 | 443 |
Taxes, other than income taxes | 7,999 | 6,807 |
Other | 7,828 | 4,843 |
Other current liabilities, total | $ 61,358 | $ 33,733 |
Debt - Summary of total debt -
Debt - Summary of total debt - (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Long-term Debt Outstanding Balance | $ 89,792 | $ 78,960 |
Less: Current Portion of long-term debt | (3,681) | 0 |
Long-term debt | 86,111 | 78,960 |
Notes Payable to Banks [Member] | ||
Long-term Debt Outstanding Balance | $ 31,486 | 0 |
Revolving Credit Facility [Member] | ||
Term (years) | 5 years | |
Long-term Debt Outstanding Balance | $ 58,306 | 78,960 |
Equipment Note One [Member] | Notes Payable to Banks [Member] | ||
Stated Interest Rate (per annum) | 4.16% | |
Term (years) | 5 years | |
Long-term Debt Outstanding Balance | $ 12,655 | 0 |
Equipment Note Two [Member] | Notes Payable to Banks [Member] | ||
Stated Interest Rate (per annum) | 4.23% | |
Term (years) | 7 years | |
Long-term Debt Outstanding Balance | $ 12,279 | 0 |
Equipment Note Three [Member] | Notes Payable to Banks [Member] | ||
Stated Interest Rate (per annum) | 3.97% | |
Term (years) | 5 years | |
Long-term Debt Outstanding Balance | $ 2,291 | 0 |
Equipment Note Four [Member] | Notes Payable to Banks [Member] | ||
Stated Interest Rate (per annum) | 4.02% | |
Term (years) | 7 years | |
Long-term Debt Outstanding Balance | $ 2,313 | 0 |
Equipment Note Five [Member] | Notes Payable to Banks [Member] | ||
Stated Interest Rate (per annum) | 4.01% | |
Term (years) | 7 years | |
Long-term Debt Outstanding Balance | $ 1,948 | $ 0 |
Debt - Narrative (Details)
Debt - Narrative (Details) $ in Millions | Jun. 30, 2016USD ($) | Dec. 31, 2018USD ($)equipment-note | Sep. 28, 2018USD ($) | Dec. 31, 2017USD ($) |
Debt Instrument [Line Items] | ||||
Debt Instrument Number Of Debt Instruments | equipment-note | 5 | |||
Secured Debt [Member] | Credit Agreement [Member] | ||||
Debt Instrument [Line Items] | ||||
Option to increase borrowing capacity | $ 100 | |||
Maximum borrowing capacity | $ 250 | |||
Interest coverage ratio | 3 | |||
Percentage of Capital Stock From Direct Foreign Subsidiaries | 65.00% | |||
Maximum Acquisition Consideration Under Credit Agreement | $ 50 | |||
Debt Issuance Costs, Line of Credit Arrangements, Net | $ 0.6 | |||
Debt Instrument Covenant Leveraged Debt Ratio Restriction | 2.25 | |||
Leverage Coverage Ratio Expansion | 3.5 | |||
Leverage Coverage Ratio | 3 | |||
Debt Instrument, Term | 5 years | |||
Line of Credit Facility, Interest Rate During Period | 3.08% | |||
Secured Debt [Member] | Credit Agreement [Member] | Canada, Dollars [Member] | ||||
Debt Instrument [Line Items] | ||||
Maximum borrowing capacity | $ 50 | |||
Secured Debt [Member] | Credit Agreement [Member] | Letter of Credit [Member] | ||||
Debt Instrument [Line Items] | ||||
Letters of Credit Outstanding, Amount | $ 21.2 | $ 150 | $ 20.9 | |
Secured Debt [Member] | Credit Agreement [Member] | Letter of Credit [Member] | Insurance Program Obligations [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term Line of Credit | 17.6 | 17.6 | ||
Secured Debt [Member] | Credit Agreement [Member] | Letter of Credit [Member] | Contract Performance Obligations [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term Line of Credit | $ 3.6 | $ 3.3 | ||
Secured Debt [Member] | Credit Agreement [Member] | Maximum [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.375% | |||
Secured Debt [Member] | Credit Agreement [Member] | Maximum [Member] | Performance letters of credit [Member] | ||||
Debt Instrument [Line Items] | ||||
Letter of credit facility commitment percentage | 1.125% | |||
Secured Debt [Member] | Credit Agreement [Member] | Maximum [Member] | Non-performance Letters Of Credit [Member] | ||||
Debt Instrument [Line Items] | ||||
Letter of credit facility commitment percentage | 2.125% | |||
Secured Debt [Member] | Credit Agreement [Member] | Maximum [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest rate margin (as a percent) | 2.00% | |||
Secured Debt [Member] | Credit Agreement [Member] | Maximum [Member] | Base Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest rate margin (as a percent) | 1.00% | |||
Secured Debt [Member] | Credit Agreement [Member] | Minimum [Member] | ||||
Debt Instrument [Line Items] | ||||
Line of Credit Facility, Unused Capacity, Commitment Fee Percentage | 0.20% | |||
Secured Debt [Member] | Credit Agreement [Member] | Minimum [Member] | Performance letters of credit [Member] | ||||
Debt Instrument [Line Items] | ||||
Letter of credit facility commitment percentage | 0.625% | |||
Secured Debt [Member] | Credit Agreement [Member] | Minimum [Member] | Non-performance Letters Of Credit [Member] | ||||
Debt Instrument [Line Items] | ||||
Letter of credit facility commitment percentage | 1.125% | |||
Secured Debt [Member] | Credit Agreement [Member] | Minimum [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest rate margin (as a percent) | 1.00% | |||
Secured Debt [Member] | Credit Agreement [Member] | Minimum [Member] | Base Rate [Member] | ||||
Debt Instrument [Line Items] | ||||
Interest rate margin (as a percent) | 0.00% |
Debt - Schedule of remaining pr
Debt - Schedule of remaining principal payments for long term obligations (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Long-term Debt Outstanding Balance | $ 89,792 | $ 78,960 |
Less: Current portion of equipment notes | (3,681) | 0 |
Long-term principal obligations | 86,111 | 78,960 |
Notes Payable to Banks [Member] | ||
Long-term Debt Outstanding Balance | 31,486 | $ 0 |
Master Loan Agreement [Member] | Notes Payable to Banks [Member] | ||
2,019 | 3,681 | |
2,020 | 3,835 | |
2,021 | 3,996 | |
2,022 | 4,163 | |
2,023 | 7,327 | |
Thereafter | 8,484 | |
Long-term Debt Outstanding Balance | 31,486 | |
Less: Current portion of equipment notes | (3,681) | |
Long-term principal obligations | $ 27,805 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) $ in Millions | Dec. 31, 2018USD ($) |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |
Expected reduction of unrecognized tax benefits | $ 0.1 |
Income Taxes - Summary of incom
Income Taxes - Summary of income before income taxes by geographical area (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Federal | $ 48,393 | $ 33,830 | $ 39,419 |
Foreign | (5,325) | (9,190) | (1,074) |
Income before provision for income taxes | $ 43,068 | $ 24,640 | $ 38,345 |
Income Taxes - Summary of inc_2
Income Taxes - Summary of income tax provision (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Current | |||
Federal | $ 5,155 | $ 7,020 | $ 9,838 |
State | 3,310 | 1,557 | 2,871 |
Current Income Tax Expense (Benefit) | 8,465 | 8,577 | 12,709 |
Deferred | |||
Federal | 4,936 | (1,453) | 2,491 |
Foreign | (822) | (875) | 481 |
State | (805) | (2,763) | 1,233 |
Deferred Income Tax Expense (Benefit) | 3,309 | (5,091) | 4,205 |
Income tax expense | $ 11,774 | $ 3,486 | $ 16,914 |
Income Taxes - Schedule of effe
Income Taxes - Schedule of effective tax rate reconciliation (Details) | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |||
U.S federal statutory rate | 21.00% | 35.00% | 35.00% |
Deferred balance adjustments due to Tax Act, net | 0.00% | (31.60%) | 0.00% |
State income taxes, net of U.S. federal income tax expense | 5.20% | 5.30% | 5.20% |
Change in valuation allowance | 1.20% | 6.40% | 1.60% |
Domestic production/manufacturing deduction | 0.00% | (1.60%) | (1.90%) |
Tax differential on foreign earnings | (0.50%) | 3.20% | 0.60% |
Deferred state tax adjustments, net | 0.00% | (2.40%) | 1.60% |
Non-deductible meals and entertainment | 0.80% | 1.70% | 1.00% |
Stock compensation excess tax benefits | (0.10%) | (3.10%) | 0.00% |
Uncertain tax positions | 0.10% | 2.00% | 0.00% |
Provision to return adjustments, net | (0.20%) | (0.30%) | 0.80% |
Non-controlling interest | (0.50%) | 0.00% | 0.00% |
Other income, net | 0.30% | (0.50%) | 0.20% |
Effective rate | 27.30% | 14.10% | 44.10% |
Income Taxes - Summary of net d
Income Taxes - Summary of net deferred tax assets and (liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Deferred income tax assets: | ||
Self insurance reserves | $ 4,299 | $ 4,555 |
Contract loss reserves | 350 | 317 |
Stock-based awards | 1,143 | 1,571 |
Bonus | 3,271 | 590 |
Non-U.S. operating loss | 2,672 | 2,173 |
Non-U.S. deferred income tax assets, net | 1,526 | 773 |
Other | 1,958 | 1,359 |
Total deferred income tax assets before valuation allowances | 15,219 | 11,338 |
Less: valuation allowances | (2,672) | (2,173) |
Total deferred income tax assets | 12,547 | 9,165 |
Deferred income tax liabilities: | ||
Property and equipment – tax over book depreciation | (26,030) | (18,792) |
Intangible assets – tax over book amortization | (1,890) | (2,186) |
Other | (2,025) | (1,639) |
Total deferred income tax liabilities | (29,945) | (22,617) |
Net deferred income taxes | $ (17,398) | $ (13,452) |
Income Taxes - Summary of liabi
Income Taxes - Summary of liability for unrecognized tax benefits reconciliation (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Reconciliation of the beginning and ending liabilities for unrecognized tax benefits | ||
Balance at beginning of period | $ 751 | $ 271 |
Gross increases in current period tax positions | 25 | 63 |
Gross increases in prior period tax positions | 0 | 434 |
Reductions in tax positions due to lapse of statutory limitations | (8) | (17) |
Reclass from unrecognized tax benefits to deferred tax liability | (441) | 0 |
Balance at end of period | 327 | 751 |
Accrued interest and penalties at end of period | 48 | 36 |
Total liability for unrecognized tax benefits | $ 375 | $ 787 |
Commitments and Contingencies -
Commitments and Contingencies - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Other Commitments [Line Items] | |||
Purchase Commitment for construction equipment | $ 15 | ||
Performance Guarantee [Member] | |||
Other Commitments [Line Items] | |||
Guarantor obligations, maximum exposure | 614.9 | ||
Guarantor Obligations Expected Costs | 324.7 | ||
Insurance Claims [Member] | |||
Other Commitments [Line Items] | |||
Insurance expense | 30.4 | $ 29.5 | $ 25.6 |
Contingencies Excluding Wildfire and Health Insurance [Member] | |||
Other Commitments [Line Items] | |||
Loss Contingency Insurance Policy Deductible | 1 | ||
Wildfire [Member] | |||
Other Commitments [Line Items] | |||
Loss Contingency Insurance Policy Deductible | 2 | ||
Health Insurance [Member] | |||
Other Commitments [Line Items] | |||
Loss Contingency Insurance Policy Deductible | $ 0.2 |
Commitments and Contingencies_2
Commitments and Contingencies - Summary of accrued short- and long-term insurance liabilities (Details) - Insurance Claims [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Accrued short- and long-term insurance liabilities | |||
Balance at beginning of period | $ 45,363 | $ 42,584 | $ 36,967 |
Net increases in reserves | 31,193 | 22,938 | 25,139 |
Net payments made | (22,517) | (20,159) | (19,522) |
Balance at end of period | $ 54,039 | $ 45,363 | $ 42,584 |
Lease Obligations - Narrative (
Lease Obligations - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Capital Leases, Balance Sheet, Assets by Major Class, Net, Total | $ 2,700 | ||
Capital Lease Obligations, Current | 1,119 | $ 1,086 | |
Capital Lease Obligations | 2,600 | 3,700 | |
Operating Leases, Rent Expense, Net | 60,500 | $ 44,600 | $ 44,900 |
Capital Leases, Future Minimum Payments Due | $ 2,735 | ||
Capital Lease Future Minimum Payments Total Amortization Period | 4 years 6 months | ||
Minimum [Member] | |||
Operating Lease, Lease Not yet adopted, Weighted Average Remaining Lease Term | 1 year | ||
Maximum [Member] | |||
Operating Lease, Lease Not yet adopted, Weighted Average Remaining Lease Term | 8 years |
Lease Obligations - Schedule of
Lease Obligations - Schedule of future minimum lease payments (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Capital Lease Obligations | ||
2,019 | $ 1,185 | |
2,020 | 1,185 | |
2,021 | 365 | |
2,022 | 0 | |
2,023 | 0 | |
Thereafter | 0 | |
Total minimum lease payments | 2,735 | |
Interest | (102) | |
Net present of minimum lease payments | 2,633 | |
Less: Current portion of capital lease obligations | 1,119 | $ 1,086 |
Long-term capital lease obligations | 1,514 | $ 2,629 |
Operating Lease Obligations | ||
2,019 | 4,829 | |
2,020 | 3,754 | |
2,021 | 2,971 | |
2,022 | 2,379 | |
2,023 | 1,335 | |
Thereafter | 2,127 | |
Total minimum lease payments | $ 17,395 |
Stock-Based Compensation - Narr
Stock-Based Compensation - Narrative (Details) | 12 Months Ended | ||
Dec. 31, 2018USD ($)planshares | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Other information | |||
Allocated Share-based Compensation Expense | $ 3,200,000 | $ 4,400,000 | $ 4,700,000 |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 1,800,000 | ||
Number of equity stock based compensation | plan | 2 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | ||
Maximum [Member] | Employees And Directors [Member] | Employee Stock Option [Member] | |||
Other information | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years | ||
Long-Term Incentive Plan [Member] | Employee Stock Option [Member] | |||
Other information | |||
Share Based Compensation Arrangement By Share Based Payment Award Exercisable Period From Date Of Grant | 10 years | ||
Long-Term Incentive Plan [Member] | Maximum [Member] | |||
Other information | |||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Authorized to Director's (in shares) | shares | 900,000 | ||
Performance awards [Member] | |||
Other information | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Requisite Service Period | 2 years 9 months 18 days | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 2,600,000 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year 7 months 6 days | ||
Performance awards [Member] | Minimum [Member] | |||
Weighted-Average Grant Date Fair Value | |||
Potential Payout As a Percentage of Target Shares | 0.00% | ||
Performance awards [Member] | Maximum [Member] | |||
Weighted-Average Grant Date Fair Value | |||
Potential Payout As a Percentage of Target Shares | 200.00% | ||
Other information | |||
Allocated Share-based Compensation Expense | $ (700,000) | ||
Time Vested Stock Awards [Member] | |||
Other information | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 4.4 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 1 year 7 months 6 days | ||
Time Vested Stock Awards [Member] | Employees [Member] | |||
Other information | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | ||
Time Vested Stock Awards [Member] | Minimum [Member] | Non-Employee Directors [Member] | |||
Other information | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Requisite Service Period | 1 year | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 1 year | ||
Time Vested Stock Awards [Member] | Maximum [Member] | Non-Employee Directors [Member] | |||
Other information | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Requisite Service Period | 3 years | ||
Time Vested Activity [Member] | Minimum [Member] | Employees And Directors [Member] | Employee Stock Option [Member] | |||
Other information | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | ||
Time Vested Activity [Member] | Maximum [Member] | Employees And Directors [Member] | Employee Stock Option [Member] | |||
Other information | |||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 4 years |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of stock option activity (Details) - Stock Option [Member] - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Options | |||
Outstanding beginning (in shares) | 165,920 | 245,717 | 730,605 |
Exercised (in shares) | (88,053) | (79,797) | (443,283) |
Forfeited (in shares) | (933) | ||
Expired (in shares) | (1,103) | (40,672) | |
Outstanding ending (in shares) | 76,764 | 165,920 | 245,717 |
Weighted-Average Exercise Price | |||
Outstanding beginning (in dollars per share) | $ 21.92 | $ 19.82 | $ 16.40 |
Exercised (in dollars per share) | 21.54 | 15.43 | 14.03 |
Forfeited (in dollars per share) | 24.68 | ||
Expired (in dollars per share) | 21.16 | 21.40 | |
Outstanding ending (in dollars per share) | $ 22.33 | $ 21.92 | $ 19.82 |
Term and Intrinsic Value | |||
Outstanding Weighted Average Remaining Contractual Term | 2 years 10 months 24 days | 4 years 2 months 12 days | 4 years 4 months 24 days |
Outstanding, Aggregate Intrinsic Value | $ 446 | $ 2,292 | $ 4,396 |
Stock-Based Compensation - Su_2
Stock-Based Compensation - Summary of other stock option related activity (Details) - Equity Option [Member] - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Stock-Based Compensation | |||
Intrinsic value of options exercised | $ 1,277 | $ 1,721 | $ 7,832 |
Fair value of options vested | $ 0 | $ 0 | $ 372 |
Stock-Based Compensation - Su_3
Stock-Based Compensation - Summary of stock options outstanding and exercisable (Details) | 12 Months Ended |
Dec. 31, 2018$ / sharesshares | |
Options Outstanding and Exercisable | |
Number Of Options | shares | 76,764 |
Weighted-Average Exercise Price | $ 22.35 |
Weighted-Average Remaining Contractual Term | 2 years 10 months 24 days |
Range Of Exercise Prices From Dollars 17.18 To 17.18 | |
Stock options outstanding | |
Exercise price, low end of range | $ 17.18 |
Exercise price, high end of range | $ 17.18 |
Options Outstanding and Exercisable | |
Number Of Options | shares | 7,587 |
Weighted-Average Exercise Price | $ 17.18 |
Weighted-Average Remaining Contractual Term | 1 year 2 months 12 days |
Range Of Exercise Prices From Dollars 17.48 To 17.48 | |
Stock options outstanding | |
Exercise price, low end of range | $ 17.48 |
Exercise price, high end of range | $ 17.48 |
Options Outstanding and Exercisable | |
Number Of Options | shares | 15,654 |
Weighted-Average Exercise Price | $ 17.48 |
Weighted-Average Remaining Contractual Term | 3 years 1 month 6 days |
Range Of Exercise Prices From Dollars 24.18 To 24.18 | |
Stock options outstanding | |
Exercise price, low end of range | $ 24.18 |
Exercise price, high end of range | $ 24.18 |
Options Outstanding and Exercisable | |
Number Of Options | shares | 17,948 |
Weighted-Average Exercise Price | $ 24.18 |
Weighted-Average Remaining Contractual Term | 2 years 2 months 12 days |
Range Of Exercise Prices From Dollars 24.68 To 24.68 | |
Stock options outstanding | |
Exercise price, low end of range | $ 24.68 |
Exercise price, high end of range | $ 24.68 |
Options Outstanding and Exercisable | |
Number Of Options | shares | 35,575 |
Weighted-Average Exercise Price | $ 24.68 |
Weighted-Average Remaining Contractual Term | 3 years 6 months |
Stock-Based Compensation - Su_4
Stock-Based Compensation - Summary of time-vested stock awards activity (Details) - Time Vested Stock [Member] - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Shares | |||
Outstanding Beginning (in shares) | 188,648 | 223,416 | 201,949 |
Granted | 93,280 | 66,352 | 112,912 |
Vested | (96,840) | (99,774) | (88,301) |
Forfeited | (9,657) | (1,346) | (3,144) |
Outstanding Ending (in shares) | 175,431 | 188,648 | 223,416 |
Weighted-Average Grant Date Fair Value | |||
Outstanding Beginning (in dollars per share) | $ 29.55 | $ 25.26 | $ 24.58 |
Granted | 30.22 | 37.49 | 24.66 |
Vested | 28.91 | 25.19 | 25.18 |
Forfeited | 27.02 | 31.22 | 26.09 |
Outstanding Ending (in dollars per share) | $ 30.40 | $ 29.55 | $ 25.26 |
Stock-Based Compensation - Su_5
Stock-Based Compensation - Summary of performance share award activity (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Performance Shares [Member] | |||
Shares | |||
Outstanding Beginning (in shares) | 126,975 | 144,023 | 143,608 |
Granted at target (in shares) | 66,764 | 47,454 | 79,661 |
Vested (in shares) | (29,655) | (39,407) | (98,270) |
Forfeited (in shares) | (9,247) | (222) | (1,626) |
Outstanding Ending (in shares) | 112,253 | 126,975 | 144,023 |
Per Share Weighted-Average Grant Date Fair Value | |||
Outstanding Beginning (in dollars per share) | $ 35.29 | $ 32.92 | $ 32.68 |
Granted at target (in dollars per share) | 34.52 | 47.12 | 28.25 |
Vested (in dollars per share) | 33.35 | 40.15 | 27.74 |
Forfeited (in dollars per share) | 30.85 | 37.22 | 32.96 |
Outstanding Ending (in dollars per share) | $ 39.73 | $ 35.29 | $ 32.92 |
Performance Shares Above Target [Member] | |||
Shares | |||
Earned for performance above target (in shares) | 20,650 | ||
Per Share Weighted-Average Grant Date Fair Value | |||
Weighted-Average Grant Date Fair Value, Earned for performance above target (in dollars per share) | $ 31.01 | ||
Performance Shares Below Target [Member] | |||
Shares | |||
Forfeited for performance below target (in shares) | (42,584) | (24,873) | |
Per Share Weighted-Average Grant Date Fair Value | |||
Weighted-Average Grant Date Fair Value, Forfeited for performance below target (in dollars per share) | $ 29.73 | $ 36.40 |
Employee Benefit Plans - Narrat
Employee Benefit Plans - Narrative (Details) $ in Millions | 12 Months Ended | |||||||
Dec. 31, 2018USD ($)Employees | Mar. 31, 2018 | Dec. 31, 2017USD ($) | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016USD ($) | Jun. 30, 2016 | Mar. 31, 2016 | |
Multiemployer Plans, Pension [Member] | ||||||||
Number Of Local Unions | Employees | 100 | |||||||
Multiemployer Plans Red Zone Funded Status Percentage | 65.00% | |||||||
Multiemployer Plans Green Zone Funded Status Percentage | 80.00% | |||||||
Multiemployer Plans, Pension [Member] | Maximum [Member] | ||||||||
Multiemployer Plans Yellow Zone Funded status Percentage | 80.00% | |||||||
Multiemployer Plans, Pension [Member] | Minimum [Member] | ||||||||
Multiemployer Plans Yellow Zone Funded status Percentage | 65.00% | |||||||
Eighth District Electrical Pension Fund [Member] | Multiemployer Plans, Pension [Member] | ||||||||
Multiemployer Plan, Collective-Bargaining Arrangement, Required Percentage of Contributions | 5.00% | 5.00% | 5.00% | |||||
IBEW Local 769 Management Pension Plan A [Member] | Multiemployer Plans, Pension [Member] | ||||||||
Multiemployer Plan, Collective-Bargaining Arrangement, Required Percentage of Contributions | 5.00% | 5.00% | ||||||
Other Postretirement Benefits Plan [Member] | Foreign Plan [Member] | Retirement Saving Plan [Member] | ||||||||
Defined Contribution Plan, Cost | $ 0.1 | $ 0.1 | ||||||
Other Postretirement Benefits Plan [Member] | UNITED STATES | Profit Sharing And Thrift Employee Benefit Plan [Member] | ||||||||
Defined Contribution Plan, Cost | 4.7 | 3.4 | $ 4.6 | |||||
Other Postretirement Benefits Plan [Member] | UNITED STATES | Employee Benefit Plan [Member] | ||||||||
Defined Contribution Plan, Cost | $ 1 | $ 0.6 | $ 0.6 |
Employee Benefit Plans - Summar
Employee Benefit Plans - Summary of multi-employer benefit plans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Significant multiemployer plans | |||
Contributions to Plan | $ 70,420 | $ 64,888 | $ 53,796 |
Multiemployer Plans, Pension [Member] | National Electrical Benefit Fund [Member] | |||
Significant multiemployer plans | |||
Contributions to Plan | 9,840 | 9,542 | 9,040 |
Multiemployer Plans, Pension [Member] | Eighth District Electrical Pension Fund [Member] | |||
Significant multiemployer plans | |||
Contributions to Plan | 9,707 | 7,908 | 7,519 |
Multiemployer Plans, Pension [Member] | Indiana,Kentucky,Ohio Regional Council of Carpenters Pension Fund [Member] | |||
Significant multiemployer plans | |||
Contributions to Plan | 1,157 | 2,515 | 696 |
Multiemployer Plans, Pension [Member] | IBEW Local 769 Management Pension Plan A [Member] | |||
Significant multiemployer plans | |||
Contributions to Plan | 2,587 | 2,115 | 1,709 |
Multiemployer Plans, Pension [Member] | Alaska Electrical Pension Plan [Member] | |||
Significant multiemployer plans | |||
Contributions to Plan | 2,723 | 1,951 | 1,873 |
Multiemployer Plans, Postretirement Benefit [Member] | National Electrical Annuity Plan [Member] | |||
Significant multiemployer plans | |||
Contributions to Plan | 26,559 | 27,633 | 22,840 |
Multiemployer Plans, Postretirement Benefit [Member] | Eighth District Electrical Pension Fund Annuity Plan [Member] | |||
Significant multiemployer plans | |||
Contributions to Plan | 4,785 | 4,109 | 4,883 |
Multiemployer Plans Other Pension Post Retirement And Supplemental Plans [Member] | All other plans [Member] | |||
Significant multiemployer plans | |||
Contributions to Plan | $ 13,062 | $ 9,115 | $ 5,236 |
Segment Information - Narrative
Segment Information - Narrative (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2018USD ($) | Sep. 30, 2018USD ($) | Jun. 30, 2018USD ($) | Mar. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Sep. 30, 2017USD ($) | Jun. 30, 2017USD ($) | Mar. 31, 2017USD ($) | Dec. 31, 2018USD ($)segment | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |||
Segment Reporting Information [Line Items] | |||||||||||||
Contract revenues | $ 446,345 | [1] | $ 399,537 | $ 339,676 | $ 345,611 | $ 373,501 | [1] | $ 373,502 | $ 356,185 | $ 300,129 | $ 1,531,169 | $ 1,403,317 | $ 1,142,487 |
Assets | 748,755 | 603,788 | $ 748,755 | 603,788 | |||||||||
Number of Reportable Segments | segment | 2 | ||||||||||||
Canadian Operation [Member] | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Assets | $ 20,500 | $ 40,000 | $ 20,500 | 40,000 | |||||||||
Canadian contract revenues [Member] | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Contract revenues | $ 53,800 | $ 84,100 | $ 36,500 | ||||||||||
[1] | Results for the fourth quarter of 2017 include a net 2017 Tax Act benefit of $7.8 million, or $0.48 and $0.47 per basic and diluted share, respectively. |
Segment Information - Summary o
Segment Information - Summary of segment's internal financial reports (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2018 | [1] | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | [1] | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Segment Reporting Information [Line Items] | |||||||||||||
Contract revenues | $ 446,345 | $ 399,537 | $ 339,676 | $ 345,611 | $ 373,501 | $ 373,502 | $ 356,185 | $ 300,129 | $ 1,531,169 | $ 1,403,317 | $ 1,142,487 | ||
Income from operations | 50,312 | 29,558 | 38,754 | ||||||||||
T&D [Member] | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Contract revenues | 893,108 | 879,372 | 818,972 | ||||||||||
Income from operations | 57,242 | 39,631 | 63,459 | ||||||||||
C&I [Member] | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Contract revenues | 638,061 | 523,945 | 323,515 | ||||||||||
Income from operations | 34,112 | 25,048 | 13,920 | ||||||||||
General Corporate [Member] | |||||||||||||
Segment Reporting Information [Line Items] | |||||||||||||
Income from operations | $ (41,042) | $ (35,121) | $ (38,625) | ||||||||||
[1] | Results for the fourth quarter of 2017 include a net 2017 Tax Act benefit of $7.8 million, or $0.48 and $0.47 per basic and diluted share, respectively. |
Segment Information - Summary_2
Segment Information - Summary of assets allocation by segment (Details) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | $ 748,755 | $ 603,788 |
T&D [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | 274,038 | 257,834 |
C&I [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | 257,049 | 152,207 |
General Corporate [Member] | ||
Segment Reporting, Asset Reconciling Item [Line Items] | ||
Assets | $ 217,668 | $ 193,747 |
Segment Information - Summary_3
Segment Information - Summary of depreciation and amortization by segment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Segment Reporting Information [Line Items] | |||
Depreciation and amortization | $ 39,913 | $ 38,576 | $ 39,122 |
T&D [Member] | |||
Segment Reporting Information [Line Items] | |||
Depreciation and amortization | 33,977 | 34,990 | 35,947 |
C&I [Member] | |||
Segment Reporting Information [Line Items] | |||
Depreciation and amortization | $ 5,936 | $ 3,586 | $ 3,175 |
Noncontrolling Interests - (Det
Noncontrolling Interests - (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Net Income (Loss) Attributable to Noncontrolling Interest | $ 207 | $ 0 | $ 0 |
Partners' Capital Account, Distributions | 0 | ||
Partners' Capital Account, Contributions | $ 0 |
Earnings Per Share - Summary of
Earnings Per Share - Summary of weighted average number of common shares used to compute basic and dilute earnings per share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2018 | [1] | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | [1] | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Numerator: | |||||||||||||
Net income | $ 31,294 | $ 21,154 | $ 21,431 | ||||||||||
Less: net income – noncontrolling interests | 207 | 0 | 0 | ||||||||||
Net income attributable to MYR Group Inc. | $ 10,651 | $ 7,957 | $ 6,835 | $ 5,644 | $ 13,579 | $ 5,145 | $ 1,230 | $ 1,200 | $ 31,087 | $ 21,154 | $ 21,431 | ||
Denominator: | |||||||||||||
Weighted average common shares outstanding | 16,441 | 16,273 | 17,109 | ||||||||||
Weighted average dilutive securities | 144 | 223 | 352 | ||||||||||
Weighted average common shares outstanding, diluted | 16,585 | 16,496 | 17,461 | ||||||||||
Net income per share attributable to MYR Group Inc.: | |||||||||||||
Basic | $ 0.65 | $ 0.48 | $ 0.42 | $ 0.35 | $ 0.83 | $ 0.32 | $ 0.08 | $ 0.07 | $ 1.89 | $ 1.30 | $ 1.25 | ||
Diluted | $ 0.64 | $ 0.48 | $ 0.41 | $ 0.34 | $ 0.82 | $ 0.31 | $ 0.07 | $ 0.07 | $ 1.87 | $ 1.28 | $ 1.23 | ||
[1] | Results for the fourth quarter of 2017 include a net 2017 Tax Act benefit of $7.8 million, or $0.48 and $0.47 per basic and diluted share, respectively. |
Earnings Per Share - Summary _2
Earnings Per Share - Summary of shared excluded from calculation of dilute securities (Details) - shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Performance awards [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of earnings (in shares) | 67 | 97 | 63 |
Time-vested stock awards [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of earnings (in shares) | 1 | 44 | 0 |
Earnings Per Share - Narrative
Earnings Per Share - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Jul. 26, 2018 | |
Earnings Per Share [Line Items] | ||||
Share repurchase program | $ 20,000 | |||
Stock repurchased during period (in shares) | 92,987 | |||
Purchase shares under the repurchase program | $ 20,000 | |||
Common stock at a weighted-average price (in dollars per share) | $ 32.90 | |||
Payments for repurchase of common stock | $ 1,043 | $ 3,058 | $ 101,483 | |
Shares Repurchased Under Stock Compensation Program [Member] | ||||
Earnings Per Share [Line Items] | ||||
Stock repurchased during period (in shares) | 32,857 | 57,649 | ||
Stock repurchased during period, values | $ 1,000 | $ 2,200 | ||
Share Repurchase Program [Member] | ||||
Earnings Per Share [Line Items] | ||||
Stock repurchased during period (in shares) | 35,338 | |||
Payments for repurchase of common stock | $ 800 |
Quarterly Financial Data (Una_3
Quarterly Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||
Dec. 31, 2018 | [1] | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | [1] | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Schedule Of Quarterly Financial Information [Line Items] | |||||||||||||
Revenues | $ 446,345 | $ 399,537 | $ 339,676 | $ 345,611 | $ 373,501 | $ 373,502 | $ 356,185 | $ 300,129 | $ 1,531,169 | $ 1,403,317 | $ 1,142,487 | ||
Gross profit | 47,391 | 45,286 | 38,630 | 35,753 | 36,894 | 34,853 | 27,517 | 25,740 | 167,060 | 125,004 | 134,723 | ||
Net income attributable to MYR Group | $ 10,651 | $ 7,957 | $ 6,835 | $ 5,644 | $ 13,579 | $ 5,145 | $ 1,230 | $ 1,200 | $ 31,087 | $ 21,154 | $ 21,431 | ||
Basic earnings per share attributable to MYR Group | $ 0.65 | $ 0.48 | $ 0.42 | $ 0.35 | $ 0.83 | $ 0.32 | $ 0.08 | $ 0.07 | $ 1.89 | $ 1.30 | $ 1.25 | ||
Diluted earnings per share attributable to MYR Group | $ 0.64 | $ 0.48 | $ 0.41 | $ 0.34 | $ 0.82 | $ 0.31 | $ 0.07 | $ 0.07 | $ 1.87 | $ 1.28 | $ 1.23 | ||
[1] | Results for the fourth quarter of 2017 include a net 2017 Tax Act benefit of $7.8 million, or $0.48 and $0.47 per basic and diluted share, respectively. |
Quarterly Financial Data (Una_4
Quarterly Financial Data (Unaudited) - Narrative (Details) $ / shares in Units, $ in Millions | 3 Months Ended |
Dec. 31, 2017USD ($)$ / shares | |
Schedule Of Quarterly Financial Information [Line Items] | |
Effective Income Tax Rate Reconciliation, Change in Enacted Tax Rate, Amount | $ | $ 7.8 |
Increase In Basic Earnings Per Share From Change In Enacted Tax Rate | $ 0.48 |
Increase In Diluted Earnings Per Share From Change In Enacted Tax Rate | $ 0.47 |