Cover
Cover - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Feb. 08, 2024 | Jun. 30, 2023 | |
Cover [Abstract] | |||
Entity Registrant Name | Atrion Corporation | ||
Entity Central Index Key | 0000701288 | ||
Document Type | 10-K | ||
Amendment Flag | false | ||
Entity Voluntary Filers | No | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well Known Seasoned Issuer | No | ||
Entity Small Business | false | ||
Entity Shell Company | false | ||
Entity Emerging Growth Company | false | ||
Entity Current Reporting Status | Yes | ||
Document Period End Date | Dec. 31, 2023 | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Fiscal Period Focus | FY | ||
Document Fiscal Year Focus | 2023 | ||
Entity Common Stock Shares Outstanding | 1,759,836 | ||
Entity Public Float | $ 767,039,418 | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Document Fin Stmt Error Correction Flag | false | ||
Entity File Number | 001-32982 | ||
Entity Incorporation State Country Code | DE | ||
Entity Tax Identification Number | 63-0821819 | ||
Entity Address Address Line 1 | One Allentown Parkway | ||
Entity Address City Or Town | Allen | ||
Entity Address State Or Province | TX | ||
Entity Address Postal Zip Code | 75002 | ||
City Area Code | 972 | ||
Icfr Auditor Attestation Flag | true | ||
Auditor Name | GRANT THORNTON LLP | ||
Auditor Location | Dallas, Texas | ||
Local Phone Number | 390-9800 | ||
Security 12b Title | Common Stock, $0.10 Par Value | ||
Trading Symbol | ATRI | ||
Security Exchange Name | NASDAQ | ||
Entity Interactive Data Current | Yes | ||
Auditor Firm Id | 248 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
CONSOLIDATED STATEMENTS OF INCOME | |||
Revenues | $ 169,326,000 | $ 183,506,000 | $ 165,009,000 |
Cost of goods sold | 106,938 | 107,602 | 95,637 |
Gross profit | 62,388 | 75,904 | 69,372 |
Operating expenses: | |||
Selling | 9,926 | 9,782 | 8,061 |
General and administrative | 23,192 | 20,935 | 19,597 |
Research and development | 6,691 | 5,500 | 5,672 |
Total operating expenses | 39,809 | 36,217 | 33,330 |
Operating income | 22,579 | 39,687 | 36,042 |
Interest and dividend income | 806 | 988 | 843 |
Other investment income (loss) | (900) | (150) | 1,477 |
Other income | 39 | 92 | 67 |
Interest expense | (149) | 0 | 0 |
Income before provision for income taxes | 22,375 | 40,617 | 38,429 |
Provision for income taxes | (2,964,000) | (5,609,000) | (5,374,000) |
Net income | $ 19,411,000 | $ 35,008,000 | $ 33,055,000 |
Net income per basic share | $ 11.02 | $ 19.59 | $ 18.22 |
Weighted average basic shares outstanding | 1,761 | 1,787 | 1,814 |
Net income per diluted share | $ 11.02 | $ 19.56 | $ 18.18 |
Weighted average diluted shares outstanding | 1,761 | 1,790 | 1,818 |
Dividends per common share | $ 8.70 | $ 8.20 | $ 7.40 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 3,565 | $ 4,731 |
Short-term investments | 2,691,000 | 21,152,000 |
Accounts receivable, net of allowance for credit losses of $58 and $71 in 2023 and 2022, respectively | 23,029 | 23,951 |
Inventories | 82,307,000 | 65,793,000 |
Prepaid expenses and other current assets | 3,173 | 3,770 |
Total current assets | 114,765 | 119,397 |
Long-term investments | 8,165,000 | 8,669,000 |
Property, plant and equipment | 286,445,000 | 270,642,000 |
Less: accumulated depreciation | 161,098 | 146,888 |
Property, plant and equipment net | 125,347 | 123,754 |
Other assets and deferred charges: | ||
Patents and licenses, net of accumulated amortization of $12,768 and $12,655 in 2023 and 2022, respectively | 1,072 | 1,185 |
Goodwill | 9,730 | 9,730 |
Other | 1,746 | 1,977 |
Other assets and deferred charges | 12,548 | 12,892 |
Total assets | 260,825 | 264,712 |
Current liabilities: | ||
Accounts payable | 6,628 | 12,074 |
Accrued liabilities | 5,887,000 | 5,950,000 |
Accrued income and other taxes | 106 | 74 |
Total current liabilities | 12,621 | 18,098 |
Line of credit | 0 | 0 |
Other liabilities and deferred credits: | ||
Deferred income taxes | 2,371 | 3,888 |
Other | 2,944 | 3,185 |
Other liabilities and deferred credits | 5,315 | 7,073 |
Total liabilities | 17,936 | 25,171 |
Stockholders' equity: | ||
Common stock, par value $0.10 per share, authorized 10,000 shares, issued 3,420 shares | 342 | 342 |
Additional paid-in capital | 67,331 | 66,347 |
Retained earnings | 381,754 | 377,682 |
Treasury shares, 1,660 shares in 2023 and 1,659 shares in 2022, at cost | (206,538) | (204,830) |
Total stockholders' equity | 242,889 | 239,541 |
Total liabilities and stockholders' equity | $ 260,825 | $ 264,712 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
CONSOLIDATED BALANCE SHEETS | ||
Allowance for credit losses | $ 58 | $ 71 |
Accumulated amortization on patents and licenses | $ 12,768 | $ 12,655 |
Stockholders' equity | ||
Common stock, shares par value | $ 0.10 | $ 0.10 |
Common stock, shares authorized | 10,000,000 | 10,000 |
Common stock, shares issued | 3,420,000 | 3,420 |
Treasury stock, shares | 1,660,000 | 1,659,000 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | $ 15,098 | $ 13,812 | $ 12,885 |
Deferred income taxes | (1,517) | (3,194) | (3,686) |
Stock-based compensation | 1,531 | 1,730 | 2,312 |
Net change in unrealized gains and losses on investments | 900 | 89 | (1,472) |
Net change in accrued interest, premiums, and discounts on investments | (118) | 119 | 632 |
Other | 0 | 0 | 22 |
Adjustments to reconcile net income to net cash provided by operating activities: | 35,305 | 47,564 | 43,748 |
Changes in operating assets and liabilities: | |||
Accounts receivable | 922 | (2,928) | (4,579) |
Inventories | (16,514) | (15,015) | (480) |
Prepaid expenses and other current assets | 347 | (673) | 423 |
Other non-current assets | 480 | 640 | 11 |
Accounts payable and accrued liabilities | (326) | (1,247) | (656) |
Accrued income and other taxes | 32 | (196) | (165) |
Other non-current liabilities | (240) | 644 | 496 |
Cash flows from operating activities | 20,006 | 28,789 | 38,798 |
Cash flows from investing activities: | |||
Property, plant and equipment additions | (22,319) | (33,736) | (15,828) |
Purchase of investments | (5,648) | (35,676) | (23,158) |
Proceeds from sale of investments | 1,683 | 245 | 793 |
Proceeds from maturities of investments | 22,147 | 53,884 | 40,189 |
Cash flows from investing activities | (4,137) | (15,283) | 1,996 |
Cash flows from financing activities: | |||
Shares tendered for employees' withholding taxes on stock-based compensation | (57) | (633) | (585) |
Purchase of treasury stock | (1,667) | (25,786) | (16,988) |
Dividends paid | (15,311) | (14,620) | (13,407) |
Proceeds from draw on line of credit | 25,607 | 607 | 0 |
Repayment of draw on line of credit | (25,607) | (607) | 0 |
Cash flows from financing activities | (17,035) | (41,039) | (30,980) |
Net change in cash and cash equivalents | (1,166) | (27,533) | 9,814 |
Cash and cash equivalents, beginning of year | 4,731 | 32,264 | 22,450 |
Cash and cash equivalents, end of year | 3,565 | 4,731 | 32,264 |
Cash paid for: | |||
Income taxes, net of refunds | 3,536 | 9,876 | 7,744 |
Non-cash financing activities: | |||
Non-cash effect of stock option exercises | $ 0 | $ 4,007 | $ 6,012 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS EQUITY - USD ($) | Total | Common Stock | Additional Paid-In Capital | Retained Earnings | Treasury Stock |
Balance, shares at Dec. 31, 2020 | 1,826 | 1,594 | |||
Balance, amount at Dec. 31, 2020 | $ 240,442 | $ 342 | $ 53,527 | $ 337,700 | $ (151,127) |
Net income | 33,055,000 | 33,055 | |||
Stock-based compensation transactions, shares | 4 | (4) | |||
Stock-based compensation transactions, amount | 1,803 | 7,647 | $ (5,844) | ||
Shares surrendered in stock transactions, shares | (1) | 1 | |||
Shares surrendered in stock transactions, amount | (585) | $ (585) | |||
Purchase of treasury stock, shares | (28) | 28 | |||
Purchase of treasury stock, amount | (16,988) | $ (16,988) | |||
Dividends | 13,431 | 13,431 | |||
Balance, shares at Dec. 31, 2021 | 1,801 | 1,619 | |||
Balance, amount at Dec. 31, 2021 | 244,296 | $ 342 | 61,174 | 357,324 | $ (174,544) |
Net income | 35,008,000 | 35,008 | |||
Stock-based compensation transactions, shares | 4 | (4) | |||
Stock-based compensation transactions, amount | 1,306 | 5,173 | $ (3,867) | ||
Shares surrendered in stock transactions, shares | (1) | 1 | |||
Shares surrendered in stock transactions, amount | (633) | $ (633) | |||
Purchase of treasury stock, shares | (43) | 43 | |||
Purchase of treasury stock, amount | (25,786) | $ (25,786) | |||
Dividends | 14,650 | 14,650 | |||
Balance, shares at Dec. 31, 2022 | 1,761 | 1,659 | |||
Balance, amount at Dec. 31, 2022 | 239,541 | $ 342 | 66,347 | 377,682 | $ (204,830) |
Net income | 19,411,000 | 19,411 | |||
Stock-based compensation transactions, shares | 1 | (1) | |||
Stock-based compensation transactions, amount | 1,000 | 984 | $ 16 | ||
Purchase of treasury stock, shares | (2) | 2 | |||
Purchase of treasury stock, amount | (1,667) | $ (1,667) | |||
Dividends | 15,339 | 15,339 | |||
Shares surrendered in stock transactions | (57) | $ (57) | |||
Balance, shares at Dec. 31, 2023 | 1,760 | 1,660 | |||
Balance, amount at Dec. 31, 2023 | $ 242,889 | $ 342 | $ 67,331 | $ 381,754 | $ (206,538) |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2023 | |
Summary of Significant Accounting Policies | |
Summary of Significant Accounting Policies | (1) Summary of Significant Accounting Policies Atrion Corporation and its subsidiaries (“we,” “our,” “us,” “Atrion,” or the “Company”) develop and manufacture products primarily for medical applications. We market our products throughout the United States and internationally. Our customers include physicians, hospitals, distributors, and other manufacturers. Atrion Corporation’s principal subsidiaries through which these operations are conducted are Atrion Medical Products, Inc., Halkey-Roberts Corporation, and Quest Medical, Inc. Principles of Consolidation The consolidated financial statements include the accounts of Atrion Corporation and its subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. Certain prior-year balances have been reclassified in order to conform to the current year presentation. Estimates The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the dates of the financial statements and the reported amount of revenues and expenses during the reporting periods. Actual results could differ from those estimates. Cash and Cash Equivalents and Investments Cash and cash equivalents include cash on hand and cash deposits in the bank as well as money market funds and debt securities with maturities at the time of purchase of 90 days or less. Cash deposits in the bank include amounts in operating accounts, savings accounts, and money market accounts. Our investments consist of corporate and government bonds, mutual funds, and equity securities. We classify our investment securities in one of three categories: held-to-maturity, available-for-sale, or trading. Securities that we have the intent and ability to hold to maturity are reported at amortized cost and classified as held-to-maturity securities. We report our available-for-sale and trading securities at fair value with changes in fair value recognized in other investment income (loss) in the Consolidated Statements of Income. We consider as current assets those investments which will mature in the next 12 months including interest receivable on long-term bonds. The remaining investments are considered non-current assets which we intend to hold longer than 12 months. We periodically evaluate our investments for impairment. The components of the Company’s cash and cash equivalents and our short and long-term investments as of December 31, 2023 and 2022 are as follows (in thousands): December 31, 2023 December 31, 2022 Cash and cash equivalents: Cash deposits $ 2 $ 603 Money market funds 3,563 2,380 Commercial paper - 1,748 Total cash and cash equivalents $ 3,565 $ 4,731 Short-term investments: Commercial paper (held-to-maturity) $ - $ 12,227 Bonds (held-to-maturity) 2,552 8,597 Equity securities (available for sale) 139 330 Allowance for credit losses -- (2 ) Total short-term investments $ 2,691 $ 21,152 Long-term investments: Equity securities (available-for-sale) $ 4,354 $ 5,139 Bonds (held-to-maturity) 3,575 3,180 Mutual funds (available for sale) 236 350 Allowance for credit losses - - Total long-term investments $ 8,165 $ 8,669 Total cash, cash equivalents and short and long-term investments $ 14,421 $ 34,552 Accounts Receivable Accounts receivable are recorded at the original sales price to the customer. We maintain an allowance for credit losses to reflect estimated losses resulting from the failure of customers to make required payments. The allowance for credit losses is updated periodically to reflect our estimate of collectability. Accounts are written off when we determine the receivable will not be collected. Inventories Inventories are stated at the lower of cost (including materials, direct labor, and applicable overhead) or net realizable value. Cost is determined by using the first-in, first-out method. The following table details the major components of inventory (in thousands): December 31, 2023 2022 Raw materials $ 37,770 $ 33,329 Work in process 17,462 13,618 Finished goods 27,075 18,846 Total inventories $ 82,307 $ 65,793 Accounts Payable We reflect disbursements as trade accounts payable until such time as payments are presented to our bank for payment. Disbursements totaling approximately $1.3 million at December 31, 2023 and $887 thousand at December 31, 2022, had not been presented for payment to our bank. As of December 31, 2022, there were expenditures of $5.7 million related to property, plant, and equipment included in our accounts payable and accrued liabilities balance. Income Taxes We account for income taxes using the asset and liability method for the recording of deferred income taxes. Deferred tax assets and liabilities are recognized based on the tax effects of temporary differences between the financial statement and the tax basis of assets and liabilities, as measured at current enacted tax rates. When appropriate, we evaluate the need for a valuation allowance to reduce deferred tax assets. Before any benefit is recorded, we determine that it is “more likely than not” that the position will be sustained by the taxing authority. Any uncertain tax positions are recorded within “Other non-current liabilities” in the accompanying consolidated balance sheets. We classify interest expense on underpayments of income taxes and accrued penalties related to unrecognized tax benefits in the income tax provision. Property, Plant, and Equipment Property, plant, and equipment is stated at cost and depreciated using the straight-line method over the estimated useful lives of the related assets. Additions and improvements are capitalized, including all material, labor, and engineering costs to design, install, or improve the asset. Expenditures for repairs and maintenance are charged to expense as incurred. The following table represents a summary of property, plant, and equipment at original cost (in thousands): December 31, Useful 2023 2022 Lives Land $ 5,511 $ 5,511 — Buildings 66,192 60,984 30-40 yrs. Machinery and equipment 214,742 204,147 3-15 yrs. Total property, plant and equipment $ 286,445 $ 270,642 Depreciation expense was $15.0 million in 2023, $13.7 million in 2022, and $12.8 million in 2021. Depreciation expense is recorded in either cost of goods sold or operating expenses based on the associated assets’ usage. Patents and Licenses Costs for patents and licenses acquired are determined at acquisition date. Patents and licenses are amortized over the useful lives of the individual patents and licenses, which are from seven to 20 years. Patents and licenses are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. Goodwill Goodwill is reviewed for impairment in the fourth quarter of each year, or when events or changes in circumstances indicate a change in value may have occurred, using a qualitative assessment to determine whether it is more likely than not that the carrying value of our reporting units exceeds their fair value. If necessary, a two-step goodwill impairment analysis is performed. Our evaluation of goodwill during each year resulted in no impairment losses. Current Accrued Liabilities The items comprising current accrued liabilities are as follows (in thousands): December 31, 2023 2022 Accrued payroll and related expenses $ 4,096 4,718 Accrued vacation 367 408 Other accrued liabilities 1,424 824 Total accrued liabilities $ 5,887 5,950 Revenues We recognize revenue when obligations under the terms of an accepted contract with our customer are satisfied. This occurs with the transfer of control of our products to customers when products are shipped. Revenue is measured as the amount of consideration we expect to receive in exchange for transferring products or services. Sales and other taxes we may collect concurrent with revenue-producing activities are excluded from revenue. We believe that our medical device business will benefit in the long term from an aging world population along with an increase in life expectancy. In the near term, however, demand for our products fluctuates based on our customers’ requirements which are driven in large part by their customers’ or patients’ needs for medical care which does not always follow broad economic trends. This affects the nature, amount, timing, and uncertainty of our revenue. Also, changes in the value of the United States dollar relative to foreign currencies could make our products more or less affordable and therefore affect our sales in international markets. A summary of revenues by geographic area, based on shipping destination, for 2023, 2022, and 2021 is as follows (in thousands): Year ended December 31, 2023 2022 2021 United States $ 106,356 $ 109,740 $ 96,925 European Union 25,145 30,311 28,657 All other regions 37,825 43,455 39,427 Total $ 169,326 $ 183,506 $ 165,009 A summary of revenues by product line for 2023, 2022 and 2021 is as follows (in thousands): Year ended December 31, 2023 2022 2021 Fluid Delivery $ 71,144 $ 84,084 $ 77,753 Cardiovascular 69,750 67,632 56,919 Ophthalmology 8,678 5,849 6,332 Other 19,754 25,941 24,005 Total $ 169,326 $ 183,506 $ 165,009 More than 98 percent of our total revenue in the periods presented herein is pursuant to shipments initiated by an accepted purchase order, which is the contract with the customer. As a result, the vast majority of our revenue is recognized at a single point in time when the performance obligation of the product being shipped is satisfied, rather than recognized over time. Our payment terms vary by the type and location of our customers and the products or services offered, and payment is generally required after receipt by the customer. For certain products or services and customer types, we require payment before the products or services are delivered to the customer. We apply a combination of factors including the age of the outstanding balances, evaluation of customers’ current and past financial condition, recent payment history, current economic environment, and discussions with our personnel and with the customers directly when evaluating certain aged receivables for collectability issues and to determine changes necessary to our allowance for credit losses. If circumstances change, our estimates of the collectability of amounts could be changed by a material amount. We have elected to recognize the cost of shipping as an expense in cost of sales when control over the product has transferred to the customer. Shipping and handling fees charged to customers are reported as revenue. We do not make any material accruals for product returns and warranty obligations. Our manufactured products come with a standard warranty to be free from defects and, in the event of a defect, may be returned by the customer within a reasonable period of time. Historically, our returns have been unpredictable and very low due to our focus on quality control. A one-year warranty is provided with certain equipment sales but warranty claims and our accruals for these obligations have been minimal. We expense sales commissions when incurred because the amortization period would be one year or less. These costs are recorded within selling expense. Atrion has contracts in place with customers for equipment leases, equipment financing, and equipment and other services. These contracts represent less than four percent of our total revenue in all periods presented herein. A portion of these contracts contain multiple performance obligations including embedded leases. We treat agreements with an embedded lease component as a single performance obligation and recognize revenue under revenue guidelines rather than under the lease accounting guidelines, since the predominant component of revenue is the non-lease component. Our fixed monthly equipment rentals to customers are accounted for as operating leases under ASU 2016-02, Leases (ASC 842). Fixed monthly rental payments are recognized on a straight line basis over the lease term. We do not disclose the value of unsatisfied performance obligations for contracts for which we recognize revenue at the amount which we have the right to invoice. We believe that the complexity added to our disclosures by the inclusion of a large amount of insignificant detail in attempting to disclose information about immaterial contracts would potentially obscure more useful and important information. Leases to Customers The lease assets from our sales-type leases are recorded in our accounts receivable in the accompanying consolidated balance sheets, and the balance totaled $256 thousand as of December 31, 2023 and $356 thousand as of December 31, 2022. Our equipment treated as leases to customers is included in Property, Plant, and Equipment on our consolidated balance sheets. Due to the immaterial amount of revenue and assets from our lessor activity, all other lessor disclosures have been omitted. Leased Property and Equipment As a lessee, we had seven leases in total for equipment and facilities used internally during 2023, which we account for as operating leases. At December 31, 2023, our right-of-use asset balance was $206 thousand and our lease liability at December 31, 2023 for these leases was $240 thousand. The monthly expense of $51 thousand for these operating leases, which are our only lessee arrangements, is immaterial and therefore all other lessee disclosures have been omitted. Liability-classified awards The Company classifies certain stock-based compensation awards that can or will be settled in cash as liability awards. The fair value of a liability-classified award is determined on a quarterly basis beginning at the grant date until final vesting. Changes in the fair value of liability-classified awards are recorded to general and administrative expense over the vesting period of the award. New Accounting Pronouncements From time to time new accounting pronouncements applicable to us are issued by the FASB, or other standards setting bodies, which we adopt as of the specified effective date. Unless otherwise discussed, we believe the impact of recently issued standards that are not yet effective may require additional disclosures but will not have a material impact on our consolidated financial statements upon adoption. Fair Value Measurements Accounting standards use a three-tier fair value hierarchy which prioritizes the inputs used in measuring fair value. These tiers are: Level 1, 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, 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, 2023 and 2022, we held investments in bonds, money market funds, mutual funds, and equity securities that are required to be measured for disclosure purposes at fair value on a recurring basis. The fair values of these investments and their tier levels are shown in Note 2. The carrying values of our other financial instruments including cash and cash equivalents, accounts receivable, accounts payable, accrued liabilities, and accrued income and other taxes approximated fair value due to their liquid and short-term nature. Concentration of Credit Risk Financial instruments that potentially subject us to concentrations of credit risk consist primarily of cash and cash equivalents, investments, and accounts receivable. Our cash deposits are held in accounts with financial institutions that we believe are creditworthy. Certain of these amounts at times may exceed federally-insured limits. We have investments in money market funds, bonds, and equity securities. As a result, we are exposed to potential loss from market risks that may occur as a result of changes in interest rates, changes in credit quality of the issuer, and otherwise. These securities have a higher degree of, and a greater exposure to, credit or default risk and may be less liquid in times of economic weakness or market disruptions as compared with cash deposits. For accounts receivable, we perform ongoing credit evaluations of our customers’ financial condition and generally do not require collateral. We maintain reserves for possible credit losses. We had allowances for credit losses of approximately $58 thousand at December 31, 2023 and $71 thousand, at December 31, 2022. The carrying amount of the receivables approximates their fair value. We had one customer which accounted for 11% of our accounts receivable as of December 31, 2023. |
Investments
Investments | 12 Months Ended |
Dec. 31, 2023 | |
Investments | |
Investments | (2) Investments As of December 31, 2023 and 2022, we held investments in bonds, money market accounts, mutual funds, and equity securities. The bonds are considered held-to-maturity and are recorded at amortized cost in the accompanying consolidated balance sheets. The money market accounts, equity securities, and mutual funds are recorded at fair value in the accompanying consolidated balance sheets. These investments are considered Level 1 or Level 2 as detailed in the table below. The amortized cost and fair value of our investments, and the related gross unrealized gains and losses, were as follows as of the dates shown below (in thousands): Gross Unrealized Level Cost Gains Losses Fair Value As of December 31, 2023: Money market funds 1 $ 3,563 $ - $ - $ 3,563 Bonds 2 $ 6,127 $ 1 $ (82 ) $ 6,046 Mutual funds 1 $ 279 $ - $ (43 ) $ 236 Equity securities 2 $ 6,054 $ - $ (1,561 ) $ 4,493 As of December 31, 2022: Money market funds 1 $ 2,380 $ - $ - $ 2,380 Commercial paper 2 $ 13,975 $ 1 $ (9 ) $ 13,967 Bonds 2 $ 11,777 $ - $ (353 ) $ 11,424 Mutual funds 1 $ 466 $ - $ (116 ) $ 350 Equity securities 2 $ 6,054 $ - $ (585 ) $ 5,469 The above equity securities represent an investment in two companies at December 31, 2023 and are classified as available for sale. The carrying value of our investments is reviewed quarterly for changes in circumstances or the occurrence of events that suggest an investment may not be recoverable. As of December 31, 2023, we had four bond investments in a loss position for more than 12 months. At December 31, 2023, the length of time until maturity of the bonds we currently own ranged from one to 24 months. We utilize a lifetime “expected credit loss” measurement objective for the recognition of credit losses for held-to-maturity securities at the time the financial asset is originated or acquired. The expected credit losses are adjusted each period for changes in expected lifetime credit losses. As of December 31, 2023 and 2022, our allowance for credit losses was immaterial. The following table summarizes the amortized cost of our held-to-maturity bonds at December 31, 2023, aggregated by credit quality indicator (in thousands): Held-to-Maturity Bonds Credit Quality Indicators Fed Govt. Bonds/Notes Municipal Bonds Corporate Bonds Total AA/A $ 82 $ - $ 2,265 $ 2,347 BBB - - 3,780 3,780 TOTAL $ 82 $ - $ 6,045 $ 6,127 |
Patents and Licenses
Patents and Licenses | 12 Months Ended |
Dec. 31, 2023 | |
Patents and Licenses | |
Patents and Licenses | (3) Patents and Licenses Patents and license fees paid for the use of other entities’ patents are amortized over the useful life of the patent or license. The following tables provide information regarding patents and licenses (dollars in thousands): December 31, 2023 December 31, 2022 Weighted Average Original Life (years) Gross Carrying Amount Accumulated Amortization Weighted Average Original Life (years) Gross Carrying Amount Accumulated Amortization 15.67 $ 13,840 $ 12,768 15.67 $ 13,840 $ 12,655 Aggregate amortization expense for patents and licenses was $113 thousand for 2023 and $117 thousand for 2022. Estimated future amortization expense for each of the years set forth below ending December 31 is as follows (in thousands): 2024 $ 113 2025 $ 112 2026 $ 112 2027 $ 108 2028 $ 108 |
Line of Credit
Line of Credit | 12 Months Ended |
Dec. 31, 2023 | |
Line of Credit | |
Line of Credit | (4) Line of Credit As of December 31, 2022, we had a $75.0 million revolving credit facility with a money-center bank pursuant to which the lender was obligated to make advances until February 28, 2024. On December 21, 2023, this credit facility was amended and restated to, among other things, change the revolving credit facility amount to $25.0 million and extend the date for advances to December 21, 2026. The credit facility is secured by substantially all our inventories, equipment, and accounts receivable. The interest rate on borrowings under this credit facility is assessed at 30-day, 60-day, or 90-day Adjusted Term SOFR, as selected by us, and interest expense was immaterial in 2023. We had no outstanding borrowings under the credit facility at December 31, 2023 or December 31, 2022. Our ability to borrow funds under the credit facility is contingent upon meeting certain covenants in the loan agreement, the most restrictive of which is the ratio of total debt to earnings before interest, income tax, depreciation, and amortization. At December 31, 2023, we were in compliance with all of the covenants. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Taxes | |
Income taxes | (5) Income Taxes The items comprising Provision for Income Taxes are as follows (in thousands): Year ended December 31, 2023 2022 2021 Current — Federal $ 3,568 $ 8,030 $ 7,445 — State 913 773 1,615 4,481 8,803 9,060 Deferred — Federal (1,260 ) (3,021 ) (3,349 ) — State (257 ) (173 ) (337 ) (1,517 ) (3,194 ) (3,686 ) Provision for income taxes $ 2,964 $ 5,609 $ 5,374 Temporary differences and carryforwards which have given rise to deferred tax assets and liabilities as of December 31, 2023 and 2022 are as follows (in thousands): 2023 2022 Deferred tax assets Capitalized R&D $ 3,081 $ 2,275 Inventories 1,370 730 Benefit plans 900 1,421 Total deferred tax assets 5,351 4,426 Valuation allowance - - Net deferred tax assets 5,351 4,426 Deferred tax liabilities Property, plant, and equipment (5,802 ) (6,334 ) Patents and goodwill (1,771 ) (1,745 ) Other (149 ) (235 ) Total deferred tax liabilities (7,722 ) (8,314 ) Net deferred tax assets (liabilities) $ (2,371 ) $ (3,888 ) Total income tax expense differs from the amount that would be provided by applying the statutory federal income tax rate to pretax earnings as illustrated below (in thousands): Year ended December 31, 2023 2022 2021 Income tax expense at the statutory federal income tax rate $ 4,699 $ 8,530 $ 8,070 Increase (decrease) resulting from: State income taxes 500 438 1,027 R&D tax credits (1,475 ) (1,332 ) (1,703 ) Foreign-derived intangible income deduction (1,331 ) (2,133 ) (2,091 ) Excess tax benefit from stock compensation 3 (97 ) (185 ) Settlements 350 - - Compensation subject to 162(m) 288 262 270 Other, net (70 ) (59 ) (14 ) Provision for income taxes $ 2,964 $ 5,609 $ 5,374 We had no unrecognized tax benefits at December 31, 2023, 2022, or 2021. We are subject to United States federal income tax as well as to income tax of multiple state jurisdictions. We have concluded all United States federal income tax matters, as well as all material state and local income tax matters, for the years through 2018. During the year ended December 31, 2023, the Internal Revenue Service audit of the Company’s federal income tax return for tax year 2018 was closed without material adjustments. On August 16, 2022, the “Inflation Reduction Act” (H.R. 5376) was signed into law in the United States. We do not currently expect the Inflation Reduction Act to have a material impact on our financial results, including on our annual estimated effective tax rate or on our liquidity. We recognize interest and penalties, if any, related to unrecognized tax benefits in income tax expense. There was no net interest benefit included in our tax expense for the years ended December 31, 2023, 2022, or 2021. |
Stockholders Equity
Stockholders Equity | 12 Months Ended |
Dec. 31, 2023 | |
Stockholders' equity: | |
Stockholders's Equity | (6) Stockholders’ Equity Our Board of Directors has at various times authorized repurchases of our stock in open-market or privately-negotiated transactions at such times and at such prices as management or the Board of Directors may from time to time determine. On May 21, 2015, our Board of Directors adopted a stock repurchase program authorizing the repurchase of up to 250,000 shares of our common stock in open-market or privately-negotiated transactions. This program has no expiration date but may be terminated by the Board of Directors at any time. As of December 31, 2023, there remained 128,753 shares available for repurchase under this program. As of December 31, 2022, there remained 131,622 shares available for repurchase under this program. We repurchased a total of 2,869 shares of our common stock during 2023 and 42,568 shares in 2022 in open-market transactions. We have increased our quarterly cash dividend rate in September of each of the past three years. The quarterly dividend rate was increased to $1.95 per share in September 2021, to $2.15 per share in September 2022, and to $2.20 per share in September 2023. Holders of our stock units earned non-cash dividend equivalents of $28 thousand in 2023, $30 thousand in 2022 and $24 thousand in 2021. |
Income Per Share
Income Per Share | 12 Months Ended |
Dec. 31, 2023 | |
Income Per Share | |
Income Per Share | (7) Income Per Share The following is the computation of basic and diluted net income per share: Year ended December 31, 2023 2022 2021 (In thousands, except per share amounts) Net Income $ 19,411 $ 35,008 $ 33,055 Weighted average basic shares outstanding 1,761 1,787 1,814 Add: Effect of dilutive securities -- 3 4 Weighted average diluted shares outstanding 1,761 1,790 1,818 Net Income per share Basic $ 11.02 $ 19.59 $ 18.22 Diluted $ 11.02 $ 19.56 $ 18.18 Nonvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents are considered participating securities and, therefore, are included in the computation of basic income per share pursuant to the two-class method. Incremental shares from stock options and restricted stock units were included in the calculation of weighted average diluted shares outstanding using the treasury stock method. Potentially dilutive securities have been excluded when their inclusion would be anti-dilutive. We excluded 111 shares of common stock for the year ended December 31, 2023, no shares were excluded for the year ended December 31, 2022, and two shares of common stock were excluded for the year ended December 31, 2021. |
Stockbased Compensation
Stockbased Compensation | 12 Months Ended |
Dec. 31, 2023 | |
Stockbased Compensation | |
Stock-based Compensation | (8) Stock-based Compensation At December 31, 2023, we had one stock-based compensation plan described below. Our 2021 Equity Incentive Plan, or 2021 Plan, provides for awards to key employees, non-employee directors, and consultants of incentive and nonqualified stock options, restricted stock, restricted stock units, deferred stock units, stock appreciation rights, performance shares, and other stock-based awards. Under the 2021 Plan, 100,000 shares, in the aggregate, of common stock are reserved for awards. The purchase price of shares issued on the exercise of options is required to be at least equal to the fair market value of such shares on the date of grant. The options granted become exercisable and expire as determined by the Compensation Committee. There were no stock option transactions during the year ended December 31, 2023. There was one option exercised during the year ended December 31, 2022. There were no outstanding options remaining at December 31, 2023 or 2022. None of our grants includes performance-based or market-based vesting conditions. There were no restricted stock grants or nonvested shares of restricted stock outstanding at December 31, 2023 or 2022. During 2023, restricted stock units were granted to certain employees. All of our restricted stock units are convertible to shares of stock on a one-for-one basis when the restrictions lapse, which is generally after a five-year period. Nonvested restricted stock units are generally forfeited upon termination of employment unless the termination is in connection with a change in control. During the vesting period, holders of restricted stock units earn dividends in the form of additional units. During 2023, one nonemployee director elected to receive stock units in lieu of a portion of cash fees for services as a member of the Board of Directors. A summary of changes in stock units for the year ended December 31, 2023, is presented below: Nonvested Stock Units Restricted Stock Units Weighted Average Award Date Fair Value Per Unit Director’s Stock Units Weighted Average Award Date Fair Value Per Unit Nonvested at December 31, 2022 2,730 $ 690.50 -- Granted & Added 2,223 $ 465.44 46 $ 538.89 Forfeited (330 ) $ 713.77 -- Vested (358 ) $ 644.23 (46 ) $ 538.89 Nonvested at December 31, 2023 4,265 $ 575.29 -- All nonvested restricted stock units at December 31, 2023 are expected to vest. The total intrinsic value of these outstanding stock units which were not convertible at December 31, 2023, including 561 stock units held for the accounts of non-employee directors, was $1.8 million. The total fair value of directors’ stock units was $25 thousand for units that vested during 2023 and $4 thousand for units vested in each of the years ended December 31, 2022 and 2021. During 2020, we granted 3,865 restricted stock units outside of the plans to three employees that will be settled in cash and are treated as liability-classified awards. The grant-date fair value per unit for these awards was $646.90. No grants of this type were made outside the plans prior to 2020. These units vest 20 percent each year over a five-year period beginning in 2021. Changes in the fair value of these awards are recorded to G&A expense over the vesting period of the award. The liability recorded for these units is adjusted to the current market value at the end of each reporting period. During 2023, we paid cash of $295 thousand to pay out remaining units to a retired employee, and we paid $368 thousand to settle the 20 percent vesting to the two remaining employees. We paid cash of $524 thousand to settle the 20 percent vesting in 2022 and $485 thousand to settle the 20 percent vesting in 2021. At December 31, 2023, our recorded liability for the remaining units was $123 thousand. The intrinsic value of these units at December 31, 2023 was $471 thousand including accrued amounts for dividend equivalents. The total value of stock awards to nonemployee directors awarded under the plans was $516 thousand in 2023, $492 thousand in 2022, and $432 thousand in 2021. These awards vested immediately at the time of the grants. Compensation related to restricted stock and restricted stock units that are treated as equity-classified awards is based on the fair market value of the stock on the date of the award. These fair values are then amortized on a straight-line basis over the requisite service periods of the awards, which is generally the vesting period. We recorded stock-based compensation expense as a G&A expense in the amount of $1.531 million for the year ended December 31, 2023, $1.730 million for the year ended December 31, 2022, and $2.312 million for the year ended December 31 2021, for all of the above-mentioned stock-based compensation arrangements. The total tax benefit recognized in the income statement from stock-based compensation arrangements was $319 thousand for the year ended December 31, 2023, $461 thousand for the year ended December 31, 2022, and $1.203 million for the year ended December 31, 2021. These amounts include excess tax benefits in each year. Unrecognized compensation cost information for our various stock-based compensation awards is shown below as of December 31, 2023 (in thousands): Unrecognized Compensation Cost Weighted Average Remaining Years in Amortization Period Restricted stock units $ 1,418 3.2 Restricted stock units (to be settled in cash) 471 1.5 Total $ 1,889 We use treasury shares to satisfy stock option exercises, stock unit conversions, and restricted stock awards that are equity-classified awards. |
Industry Segment and Geographic
Industry Segment and Geographic Information | 12 Months Ended |
Dec. 31, 2023 | |
Industry Segment and Geographic Information | (9) Industry Segment and Geographic Information We operate in one reportable industry segment: developing and manufacturing products primarily for medical applications. We have no foreign operating subsidiaries. We have other product lines which include pressure relief valves and inflation systems, which are sold primarily to the aviation and marine industries. Due to the similarities in product technologies and manufacturing processes, these products are managed as part of our medical products segment. Our revenues from sales to customers outside the United States totaled approximately 37 percent of our net revenues in 2023, 40 percent in 2022, and 41 percent in 2021. We have no assets located outside the United States. |
Employee Retirement and Benefit
Employee Retirement and Benefit Plans | 12 Months Ended |
Dec. 31, 2023 | |
Employee Retirement and Benefit Plans | |
Employee Retirement and Benefit Plans | (10) Employee Retirement and Benefit Plans We sponsor a defined contribution 401(k) plan for all employees. Each participant may contribute certain amounts of eligible compensation. We make a matching contribution to the plan. Our contributions under this plan were $1.167 million in 2023, $1.061 million in 2022, and $980 thousand in 2021. The Company has a Nonqualified Deferred Compensation Plan for certain key management or highly-compensated employees. The plan allows for the deferral of salary and bonus compensation until retirement or other specified payment events occur. Employees’ deferred compensation amounts are deemed to be invested in certain investment funds, indexes, or vehicles selected by our Compensation Committee and designated by each participant and their deferral balances are adjusted for earnings based upon the performance of these deemed investments. Our deferred compensation obligation under the plan was $2.570 million at December 31, 2023 and $2.355 million at December 31 2022. These amounts are reflected in “Other Liabilities and Deferred Credits” in the accompanying consolidated balance sheets. |
Commitment and Contingencies
Commitment and Contingencies | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and contingencies | |
Commitment and Contingencies | (11) Commitments and Contingencies From time to time and in the ordinary course of business, we may be subject to various claims, charges, and litigation. In some cases, the claimants may seek damages, as well as other relief, which, if granted, could require significant expenditures. We accrue the estimated costs of settlement or damages when a loss is deemed probable and such costs are estimable, and accrue for legal costs associated with a loss contingency when a loss is probable and such amounts are estimable. Otherwise, these costs are expensed as incurred. If the estimate of a probable loss or defense costs is a range and no amount within the range is more likely, we accrue the minimum amount of the range. As of December 31, 2023, we had no ongoing litigation or arbitration for such matters. We had a dispute which was favorably settled in the third quarter of 2007. This settlement was amended in December 2008. The amended settlement agreement provides that we may receive annual payments from 2009 through 2024. We have not recorded $0.5 million in potential future payments under this settlement as of December 31, 2023 due to the uncertainty of payment. We have arrangements with three of our executive officers pursuant to which the termination of their employment under certain circumstances would result in lump sum payments to them. Termination under such circumstances at December 31, 2023, could have resulted in payments aggregating $5.4 million. At December 31, 2023, the Company had lease obligations totaling $0.2 million with certain lessors for equipment and facilities. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Summary of Significant Accounting Policies | |
Principles of Consolidation | The consolidated financial statements include the accounts of Atrion Corporation and its subsidiaries. All intercompany transactions and balances have been eliminated in consolidation. Certain prior-year balances have been reclassified in order to conform to the current year presentation. Estimates The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the dates of the financial statements and the reported amount of revenues and expenses during the reporting periods. Actual results could differ from those estimates. Cash and Cash Equivalents and Investments Cash and cash equivalents include cash on hand and cash deposits in the bank as well as money market funds and debt securities with maturities at the time of purchase of 90 days or less. Cash deposits in the bank include amounts in operating accounts, savings accounts, and money market accounts. Our investments consist of corporate and government bonds, mutual funds, and equity securities. We classify our investment securities in one of three categories: held-to-maturity, available-for-sale, or trading. Securities that we have the intent and ability to hold to maturity are reported at amortized cost and classified as held-to-maturity securities. We report our available-for-sale and trading securities at fair value with changes in fair value recognized in other investment income (loss) in the Consolidated Statements of Income. We consider as current assets those investments which will mature in the next 12 months including interest receivable on long-term bonds. The remaining investments are considered non-current assets which we intend to hold longer than 12 months. We periodically evaluate our investments for impairment. The components of the Company’s cash and cash equivalents and our short and long-term investments as of December 31, 2023 and 2022 are as follows (in thousands): December 31, 2023 December 31, 2022 Cash and cash equivalents: Cash deposits $ 2 $ 603 Money market funds 3,563 2,380 Commercial paper - 1,748 Total cash and cash equivalents $ 3,565 $ 4,731 Short-term investments: Commercial paper (held-to-maturity) $ - $ 12,227 Bonds (held-to-maturity) 2,552 8,597 Equity securities (available for sale) 139 330 Allowance for credit losses -- (2 ) Total short-term investments $ 2,691 $ 21,152 Long-term investments: Equity securities (available-for-sale) $ 4,354 $ 5,139 Bonds (held-to-maturity) 3,575 3,180 Mutual funds (available for sale) 236 350 Allowance for credit losses - - Total long-term investments $ 8,165 $ 8,669 Total cash, cash equivalents and short and long-term investments $ 14,421 $ 34,552 |
Account Receivables | Accounts receivable are recorded at the original sales price to the customer. We maintain an allowance for credit losses to reflect estimated losses resulting from the failure of customers to make required payments. The allowance for credit losses is updated periodically to reflect our estimate of collectability. Accounts are written off when we determine the receivable will not be collected. |
Inventories | Inventories are stated at the lower of cost (including materials, direct labor, and applicable overhead) or net realizable value. Cost is determined by using the first-in, first-out method. The following table details the major components of inventory (in thousands): December 31, 2023 2022 Raw materials $ 37,770 $ 33,329 Work in process 17,462 13,618 Finished goods 27,075 18,846 Total inventories $ 82,307 $ 65,793 |
Accounts Payable | We reflect disbursements as trade accounts payable until such time as payments are presented to our bank for payment. Disbursements totaling approximately $1.3 million at December 31, 2023 and $887 thousand at December 31, 2022, had not been presented for payment to our bank. As of December 31, 2022, there were expenditures of $5.7 million related to property, plant, and equipment included in our accounts payable and accrued liabilities balance. |
Income Taxes | We account for income taxes using the asset and liability method for the recording of deferred income taxes. Deferred tax assets and liabilities are recognized based on the tax effects of temporary differences between the financial statement and the tax basis of assets and liabilities, as measured at current enacted tax rates. When appropriate, we evaluate the need for a valuation allowance to reduce deferred tax assets. Before any benefit is recorded, we determine that it is “more likely than not” that the position will be sustained by the taxing authority. Any uncertain tax positions are recorded within “Other non-current liabilities” in the accompanying consolidated balance sheets. We classify interest expense on underpayments of income taxes and accrued penalties related to unrecognized tax benefits in the income tax provision. |
Property, Plant and Equipment | Property, plant, and equipment is stated at cost and depreciated using the straight-line method over the estimated useful lives of the related assets. Additions and improvements are capitalized, including all material, labor, and engineering costs to design, install, or improve the asset. Expenditures for repairs and maintenance are charged to expense as incurred. The following table represents a summary of property, plant, and equipment at original cost (in thousands): December 31, Useful 2023 2022 Lives Land $ 5,511 $ 5,511 — Buildings 66,192 60,984 30-40 yrs. Machinery and equipment 214,742 204,147 3-15 yrs. Total property, plant and equipment $ 286,445 $ 270,642 Depreciation expense was $15.0 million in 2023, $13.7 million in 2022, and $12.8 million in 2021. Depreciation expense is recorded in either cost of goods sold or operating expenses based on the associated assets’ usage. |
Patents and Licenses | Costs for patents and licenses acquired are determined at acquisition date. Patents and licenses are amortized over the useful lives of the individual patents and licenses, which are from seven to 20 years. Patents and licenses are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. |
Goodwill | Goodwill is reviewed for impairment in the fourth quarter of each year, or when events or changes in circumstances indicate a change in value may have occurred, using a qualitative assessment to determine whether it is more likely than not that the carrying value of our reporting units exceeds their fair value. If necessary, a two-step goodwill impairment analysis is performed. Our evaluation of goodwill during each year resulted in no impairment losses. |
Current Accrued Liabilities | The items comprising current accrued liabilities are as follows (in thousands): December 31, 2023 2022 Accrued payroll and related expenses $ 4,096 4,718 Accrued vacation 367 408 Other accrued liabilities 1,424 824 Total accrued liabilities $ 5,887 5,950 |
Revenues | We recognize revenue when obligations under the terms of an accepted contract with our customer are satisfied. This occurs with the transfer of control of our products to customers when products are shipped. Revenue is measured as the amount of consideration we expect to receive in exchange for transferring products or services. Sales and other taxes we may collect concurrent with revenue-producing activities are excluded from revenue. We believe that our medical device business will benefit in the long term from an aging world population along with an increase in life expectancy. In the near term, however, demand for our products fluctuates based on our customers’ requirements which are driven in large part by their customers’ or patients’ needs for medical care which does not always follow broad economic trends. This affects the nature, amount, timing, and uncertainty of our revenue. Also, changes in the value of the United States dollar relative to foreign currencies could make our products more or less affordable and therefore affect our sales in international markets. A summary of revenues by geographic area, based on shipping destination, for 2023, 2022, and 2021 is as follows (in thousands): Year ended December 31, 2023 2022 2021 United States $ 106,356 $ 109,740 $ 96,925 European Union 25,145 30,311 28,657 All other regions 37,825 43,455 39,427 Total $ 169,326 $ 183,506 $ 165,009 A summary of revenues by product line for 2023, 2022 and 2021 is as follows (in thousands): Year ended December 31, 2023 2022 2021 Fluid Delivery $ 71,144 $ 84,084 $ 77,753 Cardiovascular 69,750 67,632 56,919 Ophthalmology 8,678 5,849 6,332 Other 19,754 25,941 24,005 Total $ 169,326 $ 183,506 $ 165,009 More than 98 percent of our total revenue in the periods presented herein is pursuant to shipments initiated by an accepted purchase order, which is the contract with the customer. As a result, the vast majority of our revenue is recognized at a single point in time when the performance obligation of the product being shipped is satisfied, rather than recognized over time. Our payment terms vary by the type and location of our customers and the products or services offered, and payment is generally required after receipt by the customer. For certain products or services and customer types, we require payment before the products or services are delivered to the customer. We apply a combination of factors including the age of the outstanding balances, evaluation of customers’ current and past financial condition, recent payment history, current economic environment, and discussions with our personnel and with the customers directly when evaluating certain aged receivables for collectability issues and to determine changes necessary to our allowance for credit losses. If circumstances change, our estimates of the collectability of amounts could be changed by a material amount. We have elected to recognize the cost of shipping as an expense in cost of sales when control over the product has transferred to the customer. Shipping and handling fees charged to customers are reported as revenue. We do not make any material accruals for product returns and warranty obligations. Our manufactured products come with a standard warranty to be free from defects and, in the event of a defect, may be returned by the customer within a reasonable period of time. Historically, our returns have been unpredictable and very low due to our focus on quality control. A one-year warranty is provided with certain equipment sales but warranty claims and our accruals for these obligations have been minimal. We expense sales commissions when incurred because the amortization period would be one year or less. These costs are recorded within selling expense. Atrion has contracts in place with customers for equipment leases, equipment financing, and equipment and other services. These contracts represent less than four percent of our total revenue in all periods presented herein. A portion of these contracts contain multiple performance obligations including embedded leases. We treat agreements with an embedded lease component as a single performance obligation and recognize revenue under revenue guidelines rather than under the lease accounting guidelines, since the predominant component of revenue is the non-lease component. Our fixed monthly equipment rentals to customers are accounted for as operating leases under ASU 2016-02, Leases (ASC 842). Fixed monthly rental payments are recognized on a straight line basis over the lease term. We do not disclose the value of unsatisfied performance obligations for contracts for which we recognize revenue at the amount which we have the right to invoice. We believe that the complexity added to our disclosures by the inclusion of a large amount of insignificant detail in attempting to disclose information about immaterial contracts would potentially obscure more useful and important information. |
Leases to Customers | The lease assets from our sales-type leases are recorded in our accounts receivable in the accompanying consolidated balance sheets, and the balance totaled $256 thousand as of December 31, 2023 and $356 thousand as of December 31, 2022. Our equipment treated as leases to customers is included in Property, Plant, and Equipment on our consolidated balance sheets. Due to the immaterial amount of revenue and assets from our lessor activity, all other lessor disclosures have been omitted. |
Leased Property and Equipment | As a lessee, we had seven leases in total for equipment and facilities used internally during 2023, which we account for as operating leases. At December 31, 2023, our right-of-use asset balance was $206 thousand and our lease liability at December 31, 2023 for these leases was $240 thousand. The monthly expense of $51 thousand for these operating leases, which are our only lessee arrangements, is immaterial and therefore all other lessee disclosures have been omitted. Liability-classified awards The Company classifies certain stock-based compensation awards that can or will be settled in cash as liability awards. The fair value of a liability-classified award is determined on a quarterly basis beginning at the grant date until final vesting. Changes in the fair value of liability-classified awards are recorded to general and administrative expense over the vesting period of the award. |
New Accounting Pronouncements | From time to time new accounting pronouncements applicable to us are issued by the FASB, or other standards setting bodies, which we adopt as of the specified effective date. Unless otherwise discussed, we believe the impact of recently issued standards that are not yet effective may require additional disclosures but will not have a material impact on our consolidated financial statements upon adoption. |
Fair Value Measurements | Accounting standards use a three-tier fair value hierarchy which prioritizes the inputs used in measuring fair value. These tiers are: Level 1, 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, 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, 2023 and 2022, we held investments in bonds, money market funds, mutual funds, and equity securities that are required to be measured for disclosure purposes at fair value on a recurring basis. The fair values of these investments and their tier levels are shown in Note 2. The carrying values of our other financial instruments including cash and cash equivalents, accounts receivable, accounts payable, accrued liabilities, and accrued income and other taxes approximated fair value due to their liquid and short-term nature. |
Concentration of Credit Risk | Financial instruments that potentially subject us to concentrations of credit risk consist primarily of cash and cash equivalents, investments, and accounts receivable. Our cash deposits are held in accounts with financial institutions that we believe are creditworthy. Certain of these amounts at times may exceed federally-insured limits. We have investments in money market funds, bonds, and equity securities. As a result, we are exposed to potential loss from market risks that may occur as a result of changes in interest rates, changes in credit quality of the issuer, and otherwise. These securities have a higher degree of, and a greater exposure to, credit or default risk and may be less liquid in times of economic weakness or market disruptions as compared with cash deposits. For accounts receivable, we perform ongoing credit evaluations of our customers’ financial condition and generally do not require collateral. We maintain reserves for possible credit losses. We had allowances for credit losses of approximately $58 thousand at December 31, 2023 and $71 thousand, at December 31, 2022. The carrying amount of the receivables approximates their fair value. We had one customer which accounted for 11% of our accounts receivable as of December 31, 2023. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Summary of Significant Accounting Policies | |
Schedule of Cash and Cash equivalents | December 31, 2023 December 31, 2022 Cash and cash equivalents: Cash deposits $ 2 $ 603 Money market funds 3,563 2,380 Commercial paper - 1,748 Total cash and cash equivalents $ 3,565 $ 4,731 Short-term investments: Commercial paper (held-to-maturity) $ - $ 12,227 Bonds (held-to-maturity) 2,552 8,597 Equity securities (available for sale) 139 330 Allowance for credit losses -- (2 ) Total short-term investments $ 2,691 $ 21,152 Long-term investments: Equity securities (available-for-sale) $ 4,354 $ 5,139 Bonds (held-to-maturity) 3,575 3,180 Mutual funds (available for sale) 236 350 Allowance for credit losses - - Total long-term investments $ 8,165 $ 8,669 Total cash, cash equivalents and short and long-term investments $ 14,421 $ 34,552 |
Schedule of Inventories | December 31, 2023 2022 Raw materials $ 37,770 $ 33,329 Work in process 17,462 13,618 Finished goods 27,075 18,846 Total inventories $ 82,307 $ 65,793 |
Schedule of Property, Plant and Equipment | December 31, Useful 2023 2022 Lives Land $ 5,511 $ 5,511 — Buildings 66,192 60,984 30-40 yrs. Machinery and equipment 214,742 204,147 3-15 yrs. Total property, plant and equipment $ 286,445 $ 270,642 |
Schedule of Current Accrued Liabilities | December 31, 2023 2022 Accrued payroll and related expenses $ 4,096 4,718 Accrued vacation 367 408 Other accrued liabilities 1,424 824 Total accrued liabilities $ 5,887 5,950 |
Schedule of geographic area | Year ended December 31, 2023 2022 2021 United States $ 106,356 $ 109,740 $ 96,925 European Union 25,145 30,311 28,657 All other regions 37,825 43,455 39,427 Total $ 169,326 $ 183,506 $ 165,009 |
Schedule of product line Information | Year ended December 31, 2023 2022 2021 Fluid Delivery $ 71,144 $ 84,084 $ 77,753 Cardiovascular 69,750 67,632 56,919 Ophthalmology 8,678 5,849 6,332 Other 19,754 25,941 24,005 Total $ 169,326 $ 183,506 $ 165,009 |
Investments (Tables)
Investments (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Investments | |
Schedule of investments, held-to-maturity securities | Gross Unrealized Level Cost Gains Losses Fair Value As of December 31, 2023: Money market funds 1 $ 3,563 $ - $ - $ 3,563 Bonds 2 $ 6,127 $ 1 $ (82 ) $ 6,046 Mutual funds 1 $ 279 $ - $ (43 ) $ 236 Equity securities 2 $ 6,054 $ - $ (1,561 ) $ 4,493 As of December 31, 2022: Money market funds 1 $ 2,380 $ - $ - $ 2,380 Commercial paper 2 $ 13,975 $ 1 $ (9 ) $ 13,967 Bonds 2 $ 11,777 $ - $ (353 ) $ 11,424 Mutual funds 1 $ 466 $ - $ (116 ) $ 350 Equity securities 2 $ 6,054 $ - $ (585 ) $ 5,469 |
Schedule of unrealized gains and losses | Held-to-Maturity Bonds Credit Quality Indicators Fed Govt. Bonds/Notes Municipal Bonds Corporate Bonds Total AA/A $ 82 $ - $ 2,265 $ 2,347 BBB - - 3,780 3,780 TOTAL $ 82 $ - $ 6,045 $ 6,127 |
Patents and Licenses (Tables)
Patents and Licenses (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Patents and Licenses | |
Schedule of Patents and Licenses | December 31, 2023 December 31, 2022 Weighted Average Original Life (years) Gross Carrying Amount Accumulated Amortization Weighted Average Original Life (years) Gross Carrying Amount Accumulated Amortization 15.67 $ 13,840 $ 12,768 15.67 $ 13,840 $ 12,655 |
Schedule of Future Amortization Expense | 2024 $ 113 2025 $ 112 2026 $ 112 2027 $ 108 2028 $ 108 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Taxes | |
Schedule of Provision for Income Taxes | Year ended December 31, 2023 2022 2021 Current — Federal $ 3,568 $ 8,030 $ 7,445 — State 913 773 1,615 4,481 8,803 9,060 Deferred — Federal (1,260 ) (3,021 ) (3,349 ) — State (257 ) (173 ) (337 ) (1,517 ) (3,194 ) (3,686 ) Provision for income taxes $ 2,964 $ 5,609 $ 5,374 |
Schedule of Deferred Tax Assets And Liabilities | 2023 2022 Deferred tax assets Capitalized R&D $ 3,081 $ 2,275 Inventories 1,370 730 Benefit plans 900 1,421 Total deferred tax assets 5,351 4,426 Valuation allowance - - Net deferred tax assets 5,351 4,426 Deferred tax liabilities Property, plant, and equipment (5,802 ) (6,334 ) Patents and goodwill (1,771 ) (1,745 ) Other (149 ) (235 ) Total deferred tax liabilities (7,722 ) (8,314 ) Net deferred tax assets (liabilities) $ (2,371 ) $ (3,888 ) |
Schedule of Statutory Federal Income Tax Rate | Year ended December 31, 2023 2022 2021 Income tax expense at the statutory federal income tax rate $ 4,699 $ 8,530 $ 8,070 Increase (decrease) resulting from: State income taxes 500 438 1,027 R&D tax credits (1,475 ) (1,332 ) (1,703 ) Foreign-derived intangible income deduction (1,331 ) (2,133 ) (2,091 ) Excess tax benefit from stock compensation 3 (97 ) (185 ) Settlements 350 - - Compensation subject to 162(m) 288 262 270 Other, net (70 ) (59 ) (14 ) Provision for income taxes $ 2,964 $ 5,609 $ 5,374 |
Income Per Share (Tables)
Income Per Share (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Per Share | |
Schedule of Computation for Basic and Diluted Income Per Share | Year ended December 31, 2023 2022 2021 (In thousands, except per share amounts) Net Income $ 19,411 $ 35,008 $ 33,055 Weighted average basic shares outstanding 1,761 1,787 1,814 Add: Effect of dilutive securities -- 3 4 Weighted average diluted shares outstanding 1,761 1,790 1,818 Net Income per share Basic $ 11.02 $ 19.59 $ 18.22 Diluted $ 11.02 $ 19.56 $ 18.18 |
Stockbased Compensation (Tables
Stockbased Compensation (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Stockbased Compensation | |
Schedule of stock option transactions | Nonvested Stock Units Restricted Stock Units Weighted Average Award Date Fair Value Per Unit Director’s Stock Units Weighted Average Award Date Fair Value Per Unit Nonvested at December 31, 2022 2,730 $ 690.50 -- Granted & Added 2,223 $ 465.44 46 $ 538.89 Forfeited (330 ) $ 713.77 -- Vested (358 ) $ 644.23 (46 ) $ 538.89 Nonvested at December 31, 2023 4,265 $ 575.29 -- |
Schedule of restricted stock units | Unrecognized Compensation Cost Weighted Average Remaining Years in Amortization Period Restricted stock units $ 1,418 3.2 Restricted stock units (to be settled in cash) 471 1.5 Total $ 1,889 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Cash and cash equivalents | ||
Cash deposits | $ 2,000 | $ 603,000 |
Money market funds | 3,563,000 | 2,380,000 |
Commercial paper | 0 | 1,748 |
Total cash and cash equivalents | 3,565,000 | 4,731,000 |
Short-term investments | ||
Commercial paper (held-to-maturity) | 0 | 12,227,000 |
Bonds (held-to-maturity) | 2,552,000 | 8,597,000 |
Equity securities (available for sale) | 139 | 330,000 |
Allowance for credit losses | 0 | (2,000) |
Total short-term investments | 2,691,000 | 21,152,000 |
Long-term investments | ||
Equity securities (available for sale) | 4,354,000 | 5,139,000 |
Bonds (held-to-maturity) | 3,575,000 | 3,180,000 |
Mutual funds (available for sale) | 236,000 | 350 |
Allowance for credit losses | 0 | 0 |
Total long-term investments | 8,165,000 | 8,669,000 |
Total cash, cash equivalents and short and long-term investments | $ 14,421,000 | $ 34,552,000 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Details 1) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Summary of Significant Accounting Policies | ||
Raw material | $ 37,770 | $ 33,329 |
Work in process | 17,462 | 13,618 |
Finished goods | 27,075 | 18,846 |
Total inventories | $ 82,307 | $ 65,793 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies (Details 2) - USD ($) | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Total Property, plan and Equipment | $ 286,445,000 | $ 270,642,000 |
Property, plant and equipment net | 125,347 | 123,754 |
Land [Member] | ||
Property, plant and equipment net | 5,511,000 | 5,511,000 |
Buildings [Member] | ||
Property, plant and equipment net | 66,192,000 | 60,984,000 |
Machinery and Equipment [Member] | ||
Property, plant and equipment net | $ 214,742,000 | $ 204,147,000 |
Minimum [Member] | Buildings [Member] | ||
Property and Equipment estimated useful lives | 30 years | |
Minimum [Member] | Machinery and Equipment [Member] | ||
Property and Equipment estimated useful lives | 3 years | |
Maximum [Member] | Buildings [Member] | ||
Property and Equipment estimated useful lives | 40 years | |
Maximum [Member] | Machinery and Equipment [Member] | ||
Property and Equipment estimated useful lives | 15 years |
Summary of Significant Accoun_7
Summary of Significant Accounting Policies (Details 3) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Summary of Significant Accounting Policies | ||
Accrued payroll and related expenses | $ 4,096 | $ 4,718 |
Accrued vacation | 367 | 408 |
Other accrued liabilities | 1,424 | 824 |
Total accrued liabilties | $ 5,887 | $ 5,950 |
Summary of Significant Accoun_8
Summary of Significant Accounting Policies (Details 4) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Total Revenues | $ 169,326,000 | $ 183,506,000 | $ 165,009,000 |
All Other regions | 37,825 | 43,455 | 39,427 |
European Union [Member] | |||
Total Revenues | 25,145,000 | 30,311,000 | 28,657,000 |
United States [Member] | |||
Total Revenues | $ 106,356,000 | $ 109,740,000 | $ 96,925,000 |
Summary of Significant Accoun_9
Summary of Significant Accounting Policies (Details 5) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Total Revenues | $ 169,326 | $ 183,506 | $ 165,009 |
Other | 19,754 | 25,941 | 24,005 |
Fluid Delivery [Member] | |||
Total Revenues | 71,144 | 84,084 | 77,753 |
Cardiovascular [Member] | |||
Total Revenues | 69,750 | 67,632 | 56,919 |
Ophthalmology [Member] | |||
Total Revenues | $ 8,678 | $ 5,849 | $ 6,332 |
Summary of Significant Accou_10
Summary of Significant Accounting Policies (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Summary of Significant Accounting Policies | |||
Allowances for doubtful accounts | $ 58 | $ 71 | |
Monthly expense | 51 | ||
Right- of- use- asset | 206 | ||
Lease liability | 240 | ||
Accounts receivable | $ 256 | 356 | |
Accounts receivables carrying rate | 11% | ||
Useful lives | 20 years | ||
Depereciation expense | $ 15,000 | 13,700 | $ 12,800 |
Accounts payable | $ 1,300 | $ 887 |
Investments (Details)
Investments (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Money Market Funds [Member] | ||
Debt Securities, Held-to-maturity | $ 3,563,000 | $ 2,380,000 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Gross Unrealized Fair Value | 3,563,000 | 2,380,000 |
Commercial Paper [Member] | ||
Debt Securities, Held-to-maturity | 13,975,000 | |
Gross Unrealized Gains | 1,000 | |
Gross Unrealized Losses | (9,000) | |
Gross Unrealized Fair Value | 13,967,000 | |
Bonds [Member] | ||
Debt Securities, Held-to-maturity | 6,127,000 | 11,777,000 |
Gross Unrealized Gains | 1,000 | 0 |
Gross Unrealized Losses | (82,000) | (353,000) |
Gross Unrealized Fair Value | 6,046,000 | 11,424,000 |
Mutual funds (available for sale) [Member] | ||
Debt Securities, Held-to-maturity | 279,000 | 466,000 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (43) | (116,000) |
Gross Unrealized Fair Value | 236,000 | 350,000 |
Equity investments [Member] | ||
Debt Securities, Held-to-maturity | 6,054,000 | 6,054,000 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (1,561,000) | (585,000) |
Gross Unrealized Fair Value | $ 4,493,000 | $ 5,469,000 |
Investments (Details 1)
Investments (Details 1) | Dec. 31, 2022 USD ($) |
AAA /AA/A [Member] | |
Debt Securities, Held-to-maturity | $ 2,347,000 |
BBB/BB [Member] | |
Debt Securities, Held-to-maturity | 3,780,000 |
Fed Govt. Bonds/Notes [Member] | |
Debt Securities, Held-to-maturity | 82,000 |
Fed Govt. Bonds/Notes [Member] | BBB/BB [Member] | |
Debt Securities, Held-to-maturity | 0 |
Municipal Bonds [Member] | |
Debt Securities, Held-to-maturity | 0 |
Municipal Bonds [Member] | AAA /AA/A [Member] | |
Debt Securities, Held-to-maturity | 0 |
Municipal Bonds [Member] | BBB/BB [Member] | |
Debt Securities, Held-to-maturity | 0 |
Corporate Bonds [Member] | |
Debt Securities, Held-to-maturity | 6,045,000 |
Corporate Bonds [Member] | AAA /AA/A [Member] | |
Debt Securities, Held-to-maturity | 2,265,000 |
Corporate Bonds [Member] | BBB/BB [Member] | |
Debt Securities, Held-to-maturity | 3,780,000 |
Common Stocks | |
Total held to Maturity Bonds | 6,127 |
Debt Securities, Held-to-maturity | $ 82,000 |
Investments (Details Narrative)
Investments (Details Narrative) | 12 Months Ended |
Dec. 31, 2023 | |
Investments | |
Securities Maturity, Description | the length of time until maturity of the bonds we currently own ranged from one to 24 months |
Patents and Licenses (Details)
Patents and Licenses (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Patents and Licenses | ||
Accumulated Amortization | $ 12,768 | $ 12,655 |
Weighted Average Original Life (years) | 15 years 8 months 1 day | 15 years 8 months 1 day |
Gross Carrying Amount | $ 13,840 | $ 13,840 |
Patents and Licenses (Details 1
Patents and Licenses (Details 1) $ in Thousands | Dec. 31, 2023 USD ($) |
Patents and Licenses | |
2024 | $ 113 |
2025 | 112 |
2026 | 112 |
2027 | 108 |
2028 | $ 108 |
Patents and Licenses (Details N
Patents and Licenses (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Patents and Licenses | ||
Aggregate amortization expense | $ 113 | $ 117 |
Line of Credit (Details Narrati
Line of Credit (Details Narrative) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Line of Credit | ||
Credit facility | $ 25 | $ 75 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Taxes | |||
Federal income tax, current | $ 3,568 | $ 8,030 | $ 7,445 |
State income tax, current | 913 | 773 | 1,615 |
Income tax, current | 4,481 | 8,803 | 9,060 |
Federal income tax, deferred | (1,260) | (3,021) | (3,349) |
State income tax, deferred | (257) | (173) | (337) |
Income tax, deferred | (1,517) | (3,194) | (3,686) |
Provision for Income Taxes | $ (2,964) | $ (5,609) | $ (5,374) |
Income Taxes (Details 1)
Income Taxes (Details 1) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Deferred tax liabilities (assets): | ||
Benefit plans | $ 900,000 | $ 1,421,000 |
Inventories | 1,370,000 | 730,000 |
Capital loss carryover | 3,081 | 2,275,000 |
Total deferred tax assets | 5,351,000 | 4,426,000 |
Plus: Valuation allowance | 0 | 0 |
Net deferred tax assets | 5,351,000 | 4,426,000 |
Property, plant and equipment | (5,802,000) | (6,334,000) |
Patents and goodwill | 1,771,000 | 1,745,000 |
Others | 149,000 | 235,000 |
Total deferred tax liabilities | 7,722,000 | 8,314,000 |
Net Deferred Tax Liabilities | $ (2,371,000) | $ (3,888,000) |
Income Taxes (Details 2)
Income Taxes (Details 2) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Taxes | |||
Income tax expense at the statutory federal income tax rate | $ 4,699,000 | $ 8,530,000 | $ 8,070,000 |
Increase (decrease) resulting from: | |||
State income taxes | 500,000 | 438,000 | 1,027,000 |
R&D tax credits | (1,475,000) | (1,332,000) | (1,703,000) |
Foreign-derived intangible income deduction | (1,331,000) | (2,133,000) | (2,091,000) |
Excess tax benefit from stock compensation | 3,000 | (97,000) | (185,000) |
Settlements | 350 | 0 | 0 |
Compensation subject to 162(m) | 288 | 262,000 | 270 |
Other, net | (70,000) | (59,000) | (14,000) |
Provision for Income Taxes | $ (2,964,000) | $ (5,609,000) | $ (5,374,000) |
Stockholders Equity (Details Na
Stockholders Equity (Details Narrative) - USD ($) | 12 Months Ended | |||||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | May 21, 2015 | |
Stockholders' equity: | ||||||
Non cash dividend amount | $ 28,000 | $ 30,000 | $ 24 | |||
Cash dividend payments per share | $ 2.20 | $ 2.15 | $ 1.95 | |||
Total repurchased shares of common stock | 2,869 | 42,568 | ||||
Stock repurchase program, shares remained eligible for repurchase | 128,753 | 131,622 | ||||
Stock repurchase program, shares authorized to be repurchased | 250,000,000 |
Income Per Share (Details)
Income Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Per Share | |||
Net income | $ 19,411 | $ 35,008 | $ 33,055 |
Weighted average basic shares outstanding | 1,761,000 | 1,787,000 | 1,814,000 |
Add: Effect of dilutive securities | 0 | 3,000 | 4,000 |
Weighted average diluted shares outstanding | 1,761,000 | 1,790,000 | 1,818,000 |
Earnings per share: | |||
Basic | $ 11.02 | $ 19.59 | $ 18.22 |
Diluted | $ 11.02 | $ 19.56 | $ 18.18 |
Income Per Share (Details Narra
Income Per Share (Details Narrative) | 12 Months Ended |
Dec. 31, 2023 shares | |
Income Per Share | |
Common stock shares | 111 |
Stockbased Compensation (Detail
Stockbased Compensation (Details) | 12 Months Ended |
Dec. 31, 2023 $ / shares shares | |
Directors Stock Units [Member] | |
Nonvested Stock Units Added | 46 |
Nonvested Stock Units Forfeited | 0 |
Nonvested Stock Units Vested | (46) |
Restricted Stock Units [Member] | |
Novested Stock Units Beginning balance, Shares | 2,730 |
Nonvested Stock Units Added | 2,223 |
Nonvested Stock Units Forfeited | (330) |
Nonvested Stock Units Vested | (358) |
Weighted Average Award Date Fair Value Per Unit, Beginning balance | $ / shares | $ 690.50 |
Nonvested Stock Units Ending balance Shraes | 4,265 |
Weighted Average Award Date Fair Value Per Unit, Added | $ / shares | $ 465.44 |
Weighted Average Award Date Fair Value Per Unit, Vested | $ / shares | 644.23 |
Weighted Average Award Date Fair Value Per Unit, Forfeited | $ / shares | 713.77 |
Weighted Average Award Date Fair Value Per Unit, Ending balance | $ / shares | 575.29 |
Weighted Average Award Date Fair Value Per Unit [Member] | |
Weighted Average Award Date Fair Value Per Unit, Added | $ / shares | 538.89 |
Weighted Average Award Date Fair Value Per Unit, Vested | $ / shares | $ 538.89 |
Stockbased Compensation (Deta_2
Stockbased Compensation (Details 1) | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Total Unrecognized Compensation Cost | $ 1,889,000 |
Restricted Stock [Member] | |
Weighted Average Remaining Years in Amortization Period | 1 year 6 months |
Unrecognized Compensation Cost | $ 471 |
Stock Option [Member] | |
Unrecognized Compensation Cost | $ 1,418 |
Weighted Average Remaining Years in Amortization Period | 3 years 2 months 12 days |
Stockbased Compensation (Deta_3
Stockbased Compensation (Details Narrative) - USD ($) | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Cash paid for post vesting restrictions | $ 295,000 | $ 524,000 | $ 485,000 | |
Fair value restricted stock awards vested | 368,000 | 561,000 | ||
Stock-based compensation expense, total tax benefit recognized | 319,000 | 461,000 | 1,203,000 | |
Total fair value of stock units that vested | 123,000 | 25,000 | ||
Stock-based compensation expense | 1,531 | 1,730 | 2,312 | |
Number of common shares reserved for future issuance | 3,865 | |||
Non Employee Directors [Member] | ||||
Value of stock units held for the accounts | 1,800,000 | |||
Non Employee Directors [Member] | 2006 Plan [Member] | ||||
Total value of stock awards | 516,000 | 492,000 | $ 432,000 | |
2006 Equity Incentive Plan | ||||
Weighted average grant date fair value | $ 646.90 | |||
2021 Equity Incentive Plan | ||||
Number of common shares reserved for future issuance | 100,000 | |||
Directors [Member] | ||||
Total fair value of stock units that vested | $ 471,000 | $ 4,000 | $ 4,000 |
Industry Segment and Geograph_2
Industry Segment and Geographic Information (Details Narrative) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenue from sales | 37% | 40% | 41% |
Employee Retirement and Benef_2
Employee Retirement and Benefit Plans (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Employee Retirement and Benefit Plans | |||
Employees compensation contribution | $ 1,167 | $ 1,061 | $ 980 |
Deferred compensastion obligation | $ 2,570 | $ 2,355 |
Commitment and contingencies (D
Commitment and contingencies (Details Narrative) $ in Millions | Dec. 31, 2023 USD ($) |
Lease obligations | $ 0.5 |
Future payments | 5.4 |
Three And Four Executive Officers [Member] | |
Aggeregate amount of employees | $ 0.2 |