Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2018 | Apr. 14, 2018 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | LAWSON PRODUCTS INC/NEW/DE/ | |
Entity Central Index Key | 703,604 | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2018 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q1 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 8,888,335 | 8,888,335 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Line of Credit Facility, Remaining Borrowing Capacity | $ 20,300 | |
Current assets: | ||
Cash and cash equivalents | 4,357 | $ 4,416 |
Restricted cash | 800 | 800 |
Accounts receivable, less allowance for doubtful accounts of $504 and $476, respectively | 39,097 | 38,575 |
Allowance for Doubtful Accounts Receivable | 504 | 476 |
Inventories, net | 50,589 | 50,928 |
Miscellaneous receivables and prepaid expenses | 4,764 | 3,728 |
Total current assets | 99,607 | 98,447 |
Property, plant and equipment, net | 26,392 | 27,333 |
Cash value of life insurance | 12,007 | 11,964 |
Intangible Assets, Net (Excluding Goodwill) | 11,342 | 11,813 |
Intangible assets, net | 19,132 | 19,614 |
Deferred income taxes | 20,806 | 21,248 |
Other assets | 246 | 248 |
Total assets | 189,532 | 190,667 |
Current liabilities: | ||
Revolving line of credit | 17,899 | 14,543 |
Accounts payable | 13,209 | 12,394 |
Accrued expenses and other liabilities | 28,727 | 33,040 |
Total current liabilities | 59,835 | 59,977 |
Noncurrent liabilities: | ||
Security bonus plan | 12,928 | 12,981 |
Financing lease obligation | 6,128 | 6,420 |
Deferred compensation | 5,838 | 5,476 |
Deferred rent liability | 3,329 | 3,512 |
Deferred Tax Liabilities, Net, Noncurrent | 3,050 | 3,115 |
Other liabilities | 4,859 | 5,696 |
Total liabilities | 95,967 | 97,177 |
Stockholders' equity: | ||
Authorized - 500,000 shares, Issued and outstanding — None | 0 | 0 |
Authorized - 35,000,000 shares Issued - 8,921,609 and 8,921,302 shares, respectively Outstanding - 8,888,335 and 8,888,028 shares, respectively | 8,922 | 8,921 |
Capital in excess of par value | 13,655 | 13,005 |
Retained earnings | 72,360 | 71,453 |
Treasury stock – 33,274 shares | (711) | (711) |
Accumulated other comprehensive income (loss) | (661) | 822 |
Total stockholders’ equity | 93,565 | 93,490 |
Total liabilities and stockholders’ equity | $ 189,532 | $ 190,667 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Mar. 31, 2018 | Dec. 31, 2017 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 1 | $ 1 |
Preferred stock, shares authorized | 500,000 | 500,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 1 | $ 1 |
Common stock, shares authorized | 35,000,000 | 35,000,000 |
Common stock, shares issued | 8,921,609 | 8,921,302 |
Common stock, shares outstanding | 8,888,335 | 8,888,028 |
Treasury Stock, Shares | 33,274 | 33,274 |
Consolidated Statements of Inco
Consolidated Statements of Income and Comprehensive Income - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Income Statement [Abstract] | ||
Product revenue | $ 74,970 | $ 74,617 |
Service revenue | 9,489 | 0 |
Total revenue | 84,459 | 74,617 |
Product cost of goods sold | 34,832 | 29,738 |
Service cost of goods sold | 3,409 | 0 |
Cost of goods sold | 38,241 | |
Gross profit | 46,218 | 44,879 |
Operating expenses: | ||
Selling expenses | 21,940 | 24,804 |
General and administrative expenses | 22,441 | 19,363 |
Operating expenses | 44,381 | 44,167 |
Operating income | 1,837 | 712 |
Interest expense (benefit) | (240) | (94) |
Other income, net | 287 | 225 |
Income before income taxes | 1,884 | 843 |
Income tax expense (benefit) | $ 648 | $ (14) |
Income per share of common stock: | ||
Basic income per share of common stock | $ 0.14 | $ 0.10 |
Diluted income per share of common stock | $ 0.13 | $ 0.09 |
Weighted average shares outstanding: | ||
Basic weighted average shares outstanding | 8,888 | 8,834 |
Effect of dilutive securities outstanding | 297 | 255 |
Diluted weighted average shares outstanding | 9,185 | 9,089 |
Comprehensive income: | ||
Net income | $ 1,236 | $ 857 |
Adjustment for foreign currency translation | (1,483) | 73 |
Net comprehensive income (loss) | $ (247) | $ 930 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Operating activities: | ||
Net income | $ 1,236 | $ 857 |
Adjustments to reconcile net income to net cash used in operating activities: | ||
Depreciation and amortization | 1,686 | 1,705 |
Stock-based compensation | 970 | (30) |
Increase (Decrease) in Deferred Income Taxes | 454 | 0 |
Changes in operating assets and liabilities: | ||
Accounts receivable | (831) | (3,894) |
Inventories | 19 | (626) |
Prepaid expenses and other assets | (1,864) | (305) |
Accounts payable and other liabilities | (4,277) | (1,099) |
Other | 116 | 116 |
Net cash used in operating activities | (2,491) | (3,276) |
Investing activities: | ||
Purchases of property, plant and equipment | (652) | (204) |
Business acquisitions | (157) | 0 |
Net cash used in investing activities | (809) | (204) |
Financing activities: | ||
Net proceeds from revolving line of credit | 3,356 | 957 |
Net cash provided by financing activities | 3,356 | 957 |
Effect of exchange rate changes on cash and cash equivalents | (115) | 75 |
Decrease in cash, cash equivalents and restricted cash | (59) | (2,448) |
Cash, Cash Equivalents and Restricted Cash | 5,216 | 11,221 |
Cash, Cash Equivalents and Restricted Cash | $ 5,157 | $ 8,773 |
Basis of Presentation and Summa
Basis of Presentation and Summary of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2018 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Basis of Presentation and Summary of Significant Accounting Policies The accompanying unaudited condensed consolidated financial statements of Lawson Products, Inc. (the “Company”) have been prepared in accordance with generally accepted accounting principles for interim financial information, the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not contain all disclosures required by generally accepted accounting principles. Reference should be made to the Company’s Annual Report on Form 10-K for the year ended December 31, 2017 . In the opinion of the Company, all normal recurring adjustments have been made that are necessary to present fairly the results of operations for the interim periods. Operating results for the three month period ended March 31, 2018 are not necessarily indicative of the results that may be expected for the year ending December 31, 2018 . The Company has two operating segments. The first segment is the Lawson operating segment distributes maintenance, repair and operations ("MRO") products to customers primarily through a network of sales representatives offering vendor managed inventory ("VMI") service to customers throughout the United States and Canada. The second segment is the Bolt Supply operating segment distributes MRO products primarily through its 13 branches located in Western Canada. |
Revenue Recognition Revenue Rec
Revenue Recognition Revenue Recognition | 3 Months Ended |
Mar. 31, 2018 | |
Deferred Revenue Disclosure [Abstract] | |
Revenue Recognition | Revenue Recognition Adoption of ASC 606 On January 1, 2018 the Company adopted Accounting Standards Codification 606-Revenue From Contracts With Customers (“ASC 606”). As part of the Company's adoption of ASC 606, it concluded that it has two separate performance obligations, and accordingly, two separate revenue streams: product and services. As a result, the Company is now reporting two separate revenue streams and two separate costs of revenues. The adoption of ASC 606 had a minimal impact on total reported revenues, costs and net income for the first quarter of 2018. However, the adoption required prospective reclassification of certain selling expenses associated with the separately identified vendor managed inventory services performance obligation costs historically classified as selling expenses to cost of sales. As ASC 606 was adopted on a modified retrospective method, prior quarters are not restated. The following information is intended to provide comparable information on selected financial statement line items in accordance with both ASC 606 and previous accounting literature (ASC 605 Revenue Recognition). Effective January 1, 2018, the Company recorded a cumulative effect adjustment in opening retained earnings in the amount of $0.3 million based on applying the guidance to the customer contracts that were not completed on that date. ASC 606 defines a five step process to recognize revenues at the time and in an amount that reflects the consideration expected to be received for the performance obligations that have been provided. ASC 606 defines contracts as written, oral and through customary business practice. Under this definition, the Company considers contracts to be created at the time an order to purchase product is agreed upon regardless of whether or not there is a written contract. Performance Obligations Lawson has two operating segments ; the Lawson segment and the Bolt Supply segment. These customer contracts have the following performance obligations: The Lawson segment has two distinct performance obligations offered to its customers: a product performance obligation and a service performance obligation. Although the Company has identified that it offers its customers both a product and a service obligation, the customer only receives one invoice per transaction with no price breakout between these obligations and the Company does not price its offerings based on any breakout between these obligations. Lawson generates revenue primarily from the sale of MRO products to its customers. Revenue related to product sales is recognized at the time that control of the product has been transferred to the customer; either at the time the product is shipped or the time the product has been received by the customer. The Company does not commit to long-term contracts to sell customers a certain minimum quantity of products. The Lawson segment offers a VMI service proposition to its customers. A portion of these services, primarily related to stocking of product and maintenance of the MRO inventory, is provided a short period of time after control of the purchased product has been transferred to the customer. Since some components of VMI service have not been provided at the time the control of the product transfers to the customer, that portion of expected consideration is deferred until the time that those services have been provided. The Bolt Supply segment does not provide VMI services for its customers or provide services in addition to product sales to customers. Revenue is recognized at the time that control of the product has been transferred to the customer which is either upon delivery or shipment depending on the terms of the contract. Accounting Policy Elections The Company has elected to treat shipping and handling costs after the control of the product has been transferred to the customer as a fulfillment cost. Sales taxes that are imposed on our sales and collected from customers are excluded from revenues. The Company expenses sales commissions when incurred as the amortization period is one year or less. Significant Judgments The Company employs certain significant judgments to estimate the dollar amount of revenue, and related expenses, allocated to the sale of product and service. These judgments include, among others, the percentage of customers that take advantage of the VMI services offered, the amount of revenue to be allocated to the VMI service based on the value of the service to its customers, and the amount of time after control of the product passes to the customer that the VMI service obligation is completed. It is assumed that any customer who averages placing orders at a frequency of longer than 30 days does not take advantage of the available VMI services offered. The estimate of the cost of sales is based on expenses directly related to sales representatives that provide direct VMI services to the customer. Financial Impact of ASC 606 Adoption As a result of applying ASC 606 the Company recorded a liability of $0.7 million for deferred revenue on January 1, 2018 . Expenses related to these revenues of $0.4 million were also deferred resulting in a net a net reduction to opening retained earnings of $0.3 million as of January 1, 2018 . At March 31, 2018, the Company had a deferred revenue liability of $0.9 million and a deferred expense of $0.6 million for related expenses associated with the deferred service performance obligations, respectively. The deferral of revenue and expenses does not affect the amount, timing and any uncertainty of cash flows generated from operations. The following table presents the impact of ASC 606 on Condensed Consolidated Statements of Income (Unaudited): Three Months Ended March 31, 2018 (Dollars in thousands) As Reported Service Revenues and Costs Adjustments Pro-Forma as if Previous Accounting Guidance Was in Effect Product revenue $ 74,970 $ 9,664 $ 84,634 Service revenue 9,489 (9,489 ) — Net revenue $ 84,459 $ 175 $ 84,634 Product cost of goods sold $ 34,832 $ — $ 34,832 Service costs 3,409 (3,409 ) — Total cost of goods sold $ 38,241 $ (3,409 ) $ 34,832 Gross profit 46,218 3,584 49,802 Gross profit percentage 54.7 % 58.8 % Selling expenses 21,940 3,546 25,486 General and administrative expenses 22,441 — 22,441 Operating expenses 44,381 3,546 47,927 |
Restricted Cash Restricted Cash
Restricted Cash Restricted Cash | 3 Months Ended |
Mar. 31, 2018 | |
Restricted Cash [Abstract] | |
Cash and Cash Equivalents Disclosure [Text Block] | Restricted Cash The Company has agreed to maintain $0.8 million in a money market account as collateral for an outside party that is providing certain commercial card processing services for the Company. The Company is restricted from withdrawing this balance without the prior consent of the outside party during the term of the agreement. |
Inventories
Inventories | 3 Months Ended |
Mar. 31, 2018 | |
Inventory Disclosure [Abstract] | |
Inventories | Inventories, net Inventories, net, consisting primarily of purchased goods which are offered for resale, were as follows: (Dollars in thousands) March 31, 2018 December 31, 2017 Inventories, gross $ 56,389 $ 56,492 Reserve for obsolete and excess inventory (5,800 ) (5,564 ) Inventories, net $ 50,589 $ 50,928 |
Acquisitions Acquisition
Acquisitions Acquisition | 3 Months Ended |
Mar. 31, 2018 | |
Business Combinations [Abstract] | |
Business Combination Disclosure [Text Block] | Acquisition In October, 2017, the Company acquired The Bolt Supply House Ltd. ("Bolt Supply"), based in Calgary, Canada, for a purchase price of approximately $32.3 million , The purchase price was funded with cash on hand and utilization of Lawson Products’ existing credit facility. Bolt Supply is a leading Canadian distributor of high quality fasteners, power tools and industrial MRO supplies, with 13 branch locations throughout Alberta, Saskatchewan, and Manitoba, Canada. The purchase price of the acquisition was allocated to the fair market value of Bolt Supply's assets and liabilities on the acquisition date. The fair market value appraisals of the majority of the assets and liabilities were determined by third party valuation firms including intangible assets of $7.2 million for trade names and $4.2 million for customer relationships, respectively. The trade names and customer relationships intangible assets have estimated useful lives of 15 and 12 years, respectively. The $14.0 million allocated to goodwill reflects the purchase price less the fair market value of the identifiable net assets. The fair values of the assets acquired and liabilities assumed, and the related tax balances, are based on preliminary estimates and assumptions. These preliminary estimates and assumptions could change significantly during the purchase price measurement period of one year as the Company finalizes the valuations of the assets acquired and liabilities assumed, and the related tax balances. Such changes could result in material variances between the Company's future financial results and the amounts presented in the unaudited pro forma information, including variances in the estimated purchase price, fair values recorded and expenses associated with these items. Further operating details related to the operations of Bolt Supply subsequent to the acquisition are included in Note 13 - Segment information . The following table contains unaudited pro forma revenue and net income for Lawson Products assuming the Bolt Supply acquisition closed on January 1, 2016. (Dollars in thousands) Three Months Ended March 31, 2017 Revenue Actual $ 74,617 Pro forma 81,438 Net income Actual $ 857 Pro forma 1,090 The pro forma disclosures in the table above include adjustments for, amortization of intangible assets and acquisition costs to reflect results as if the acquisition of Bolt Supply had closed on January 1, 2016 rather than on the actual acquisition date. This pro forma information utilizes certain estimates, is presented for illustrative purposes only and is not intended to be indicative of the actual results of operation. In addition, future results may vary significantly from the results reflected in the pro forma information. The unaudited pro forma financial information does not reflect the impact of future positive or negative events that may occur after the acquisition, such as anticipated cost savings from operating synergies. |
Goodwill Goodwill
Goodwill Goodwill | 3 Months Ended |
Mar. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill Disclosure [Text Block] | Goodwill Goodwill activity for the first three months of 2018 and 2017 is included in the table below: (Dollars in thousands) Three Months Ended March 31, 2018 2017 Beginning balance $ 19,614 $ 5,520 Adjustment to original acquisition allocation (17 ) — Impact of foreign exchange (465 ) 40 Ending balance $ 19,132 $ 5,560 |
Loan Agreement
Loan Agreement | 3 Months Ended |
Mar. 31, 2018 | |
Debt Disclosure [Abstract] | |
Loan Agreement | Lawson Loan Agreement In 2012, the Company entered into a Loan and Security Agreement (“Loan Agreement”). The Loan Agreement consists of a $40.0 million revolving line of credit facility, which includes a $10.0 million sub-facility for letters of credit. Certain terms of the original Loan Agreement have been revised by subsequent amendments. The Loan Agreement, as amended, expires in August 2020. Due to the lock box arrangement and a subjective acceleration clause contained in the Loan Agreement, any outstanding borrowings under the revolving line of credit are classified as a current liability. Currently, credit available under the Loan Agreement, as amended, is based upon: a) 85% of the face amount of the Company’s eligible accounts receivable, generally less than 60 days past due, and b) the lesser of 60% of the lower of cost or market value of the Company’s eligible inventory, generally inventory expected to be sold within 18 months , or $20.0 million . The applicable interest rates for borrowings are at the Prime rate or, if the Company elects, the LIBOR rate plus 1.50% to 1.85% based on the Company’s debt to EBITDA ratio. The Loan Agreement is secured by a first priority perfected security interest in substantially all existing assets of the Company. Dividends are restricted to amounts not to exceed $7.0 million annually. At March 31, 2018 , the Company had $16.2 million of borrowings under its revolving line of credit facility and additional borrowing availability of $20.3 million . The Company paid interest of $0.2 million and $0.1 million for the three months ended March 31, 2018 and 2017 , respectively. The weighted average interest rate was 3.55% for the three months ended March 31, 2018 and 3.81% for the three months ended March 31, 2017 . In addition to other customary representations, warranties and covenants, the Company is required to meet a minimum trailing twelve month EBITDA to fixed charges ratio, as defined in the amended Loan Agreement, if the excess borrowing capacity is below $10.0 million . On March 31, 2018 , the Company's borrowing capacity exceeded $10.0 million . Therefore, the Company was not subject to this financial covenant, however, for informational purposes the result of the financial covenant is provided below: Quarterly Financial Covenant Requirement Actual EBITDA to fixed charges ratio 1.10 : 1.00 3.61 : 1.00 Commitment Letter Bolt Supply has a Commitment Letter with BMO Bank of Montreal ("BMO") dated March 30, 2017 which allows Bolt Supply to access up to $5.5 million Canadian dollars in the form of either an overdraft facility or as commercial letters of credit. The Commitment Letter is cancellable at any time at BMOs sole discretion and is secured by substantially all of Bolt Supply’s assets. It carries an interest rate of the bank's prime rate plus 0.25% . At March 31, 2018 , Bolt Supply had $2.2 million Canadian dollars of outstanding borrowings and remaining borrowing availability of $3.3 million Canadian dollars. The Commitment Letter is subject to a working capital ratio of 1.35 :1, a maximum ratio of debt to tangible net worth of 2.5 :1 of the Bolt Supply assets and Debt Service Coverage Ratio 1.25 :1 as defined in the Commitment Letter. At March 31, 2018 , Bolt Supply was in compliance with all covenants which are subject to periodic review, at least annually, with the next review due by August 31, 2018. |
Reserve for Severance
Reserve for Severance | 3 Months Ended |
Mar. 31, 2018 | |
Severance Reserve [Abstract] | |
Reserve for Severance | Severance Reserve Changes in the Company’s reserve for severance as of March 31, 2018 and 2017 were as follows: (Dollars in thousands) Three Months Ended March 31, 2018 2017 Balance at beginning of period $ 483 $ 1,710 Charged to earnings 628 465 Payments (308 ) (475 ) Balance at end of period $ 803 $ 1,700 |
Stock-Based Compensation (Notes
Stock-Based Compensation (Notes) | 3 Months Ended |
Mar. 31, 2018 | |
Stock Based Compensation [Abstract] | |
Stock Performance Rights | Stock-Based Compensation The Company recorded stock-based compensation expense of $1.0 million and a benefit of $30 thousand for the first three months of 2018 and 2017, respectively. A portion of stock-based compensation is related to the change in the market value of the Company's common stock. A summary of stock-based awards activity during the three months ended March 31, 2018 follows: Stock Performance Rights ("SPRs") The Company issued 44,737 SPRs to key employees with an exercise price of $24.70 per share that cliff vest on December 31, 2020 and have a termination date of December 31, 2025. Restricted Stock Awards ("RSAs") The Company issued 20,059 RSAs to key employees that cliff vest on December 31, 2020. Each RSA is exchangeable for one share of the Company's common stock at the end of the vesting period. Market Stock Units ("MSUs") The Company issued 32,194 MSUs to key employees that cliff vest on December 31, 2020. MSU's are exchangeable for the Company's common stock at the end of the vesting period. The number of shares of common stock that will be issued upon vesting, ranging from zero to 48,291 , will be determined based upon the trailing sixty-day weighted average closing price of the Company's common stock on December 31, 2020. For the three months ended March 31, 2018 and 2017 , stock options to purchase 80,000 and 40,000 shares, respectively, of the Company's common stock were excluded from the computation of diluted earnings per share because they were anti-dilutive. |
Income Tax
Income Tax | 3 Months Ended |
Mar. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The Company recorded income tax expenses of $0.6 million , a 34.4% effective tax rate for the three months ended March 31, 2018 . The effective tax rate is higher than the U.S. statutory rate due mainly to state taxes, income in higher tax jurisdictions, and a Global Intangible Low Taxed Income Inclusion as a result of the 2017 Tax Cuts and Jobs Act. The Securities and Exchange Commission ("SEC") recently issued SAB 118 (Income Tax Accounting Implications of the Tax Cuts and Jobs Act) which allows registrants to record provisional amounts during a measurement period. The SAB allows a company to recognize provisional amounts when it does not have the necessary information prepared in reasonable detail to calculate the effect of the change in tax law. Per the SAB, a company should report provisional amounts when the accounting is not complete, but for which a reasonable estimate can be determined. Lawson has included in its 2017 taxable income calculation a provisional amount of approximately $8.4 million representing previously untaxed foreign earnings and profits as of December 31, 2017. The Company has not accrued any federal income tax on this amount as the company is able to utilize federal net operating losses to offset the income. An income tax benefit of $14 thousand was recorded for the three months ended March 31, 2017 as substantially all deferred tax assets were subject to a tax valuation allowance. The Company and its subsidiaries are subject to U.S. Federal income tax, as well as income tax of multiple state and foreign jurisdictions. As of March 31, 2018 , the Company is subject to U.S. Federal income tax examinations for the years 2014 through 2016 and income tax examinations from various other jurisdictions for the years 2011 through 2016. Earnings from the Company’s foreign subsidiary are considered to be indefinitely reinvested. A distribution of these non-U.S. earnings in the form of dividends or otherwise may subject the Company to foreign withholding taxes and U.S. federal and state taxes. |
Contingent Liability Contingent
Contingent Liability Contingent Liability (Notes) | 3 Months Ended |
Mar. 31, 2018 | |
Contingent Liability [Abstract] | |
Environmental Contingency | Contingent Liabilities In 2012, the Company identified that a site it owns in Decatur, Alabama, contains hazardous substances in the soil and groundwater as a result of historical operations prior to the Company's ownership. The Company retained an environmental consulting firm to further investigate the contamination including the measurement and monitoring of the site. In August 2013, the site was enrolled in Alabama's voluntary cleanup program. On October 30, 2014, the Company received estimates from its environmental consulting firm for three potential remediation solutions. The estimates included a range of viable remedial approaches. The first solution included limited excavation and removal of the contaminated soil along with an extensive monitoring period. The second solution included the first solution plus the installation of a groundwater extraction system. The third scenario included the first and second solutions plus treatment injections to reduce the degradation time. The estimated expenditures over the life of the three scenarios ranged from $0.3 million to $1.4 million . As the Company had determined that a loss was probable and no scenario was more likely than the other at that time, a liability in the amount of $0.3 million was established in 2014. During 2015, after further evidence had been collected and analyzed, the Company concluded that it was probable that future remediation would be required, and accordingly accrued an additional $0.9 million for the estimated costs. In the third quarter of 2017 the Company received estimates from its environmental consulting firm for two new remediation solutions based on a chemical injection process. The first solution would consist of chemical injections throughout the entire site to directly eliminate the hazardous substances in the soil and groundwater. The second solution would consist of chemical injections around the perimeter of the site to prevent the migration of the hazardous chemicals off-site. Neither solution would require additional excavation or repairs to be made to the property. Additionally, the estimated required monitoring period would be substantially reduced. The estimated expenditures over an 18 month period under the two injection scenarios ranged from $0.9 million to $2.0 million . The Company does not expect to capitalize any amounts related to these remediation options. The Company has determined that it will initially proceed with the method of injecting chemicals around the perimeter of the site to prevent the migration of the hazardous chemicals off-site. As of March 31, 2018 , approximately $1.0 million remains accrued for this remediation in other accrued expenses and other liabilities on the accompanying consolidated balance sheet. This estimate was based on the information provided to date and as the remediation efforts proceed, additional information may impact the final cost. As of March 31, 2018 , agreement with Alabama’s voluntary cleanup program on viable treatment of the property has not yet been reached and the Company continues to evaluate potential remediation alternatives that could impact the ultimate cost of remediation. |
Segment Information (Notes)
Segment Information (Notes) | 3 Months Ended |
Mar. 31, 2018 | |
Segment Reporting [Abstract] | |
Segment Reporting Disclosure [Text Block] | Segment Information With the acquisition of Bolt Supply in the fourth quarter of 2017, the Company operates in two reportable segments. The businesses were determined to be separate reportable segments because of differences in their financial characteristics and the methods they employ to deliver product to customers. The operating segments are reviewed by the Company’s chief operating decision maker responsible for reviewing operating performance and allocating resources. The Lawson segment primarily relies on its large network of sales representatives to visit the customer at the customers' work location and provide VMI service and produce sales orders for product that is then shipped to the customer. The Bolt Supply segment primarily sells product to customers through its 13 branch locations. Financial information for the Company's reportable segments follows: (Dollars in thousands) Three Months Ended March 31, 2018 2017 Revenue Lawson product revenue $ 66,937 $ 74,617 Lawson service revenue 9,489 — Total Lawson revenue 76,426 74,617 Bolt Supply 8,033 — Consolidated total $ 84,459 $ 74,617 Gross profit Lawson product gross profit $ 36,842 $ 44,879 Lawson service gross profit $ 6,080 $ — Total Lawson gross profit 42,922 44,879 Bolt Supply 3,296 — Consolidated total $ 46,218 $ 44,879 Operating Income Lawson $ 1,357 $ 712 Bolt Supply 480 — Consolidated total 1,837 712 Interest expense (240 ) (94 ) Other income, net 287 225 Income before income taxes $ 1,884 $ 843 |
Revenue Recognition Revenue R18
Revenue Recognition Revenue Recognition (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Deferred Revenue Disclosure [Abstract] | |
Schedule of Disaggregation of Revenue | The following table presents the impact of ASC 606 on Condensed Consolidated Statements of Income (Unaudited): Three Months Ended March 31, 2018 (Dollars in thousands) As Reported Service Revenues and Costs Adjustments Pro-Forma as if Previous Accounting Guidance Was in Effect Product revenue $ 74,970 $ 9,664 $ 84,634 Service revenue 9,489 (9,489 ) — Net revenue $ 84,459 $ 175 $ 84,634 Product cost of goods sold $ 34,832 $ — $ 34,832 Service costs 3,409 (3,409 ) — Total cost of goods sold $ 38,241 $ (3,409 ) $ 34,832 Gross profit 46,218 3,584 49,802 Gross profit percentage 54.7 % 58.8 % Selling expenses 21,940 3,546 25,486 General and administrative expenses 22,441 — 22,441 Operating expenses 44,381 3,546 47,927 |
Revenue Recognition Geographica
Revenue Recognition Geographical (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Geographical [Abstract] | |
Revenue from External Customers by Geographic Areas [Table Text Block] | Disaggregated revenue by geographic area follows: Three Months Ended March 31, (Dollars in thousands) 2018 2017 United States $ 68,318 $ 67,281 Canada 16,141 7,336 Consolidated total $ 84,459 $ 74,617 |
Revenue Recognition Product Ver
Revenue Recognition Product Vertical (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Product Vertical [Abstract] | |
Schedule of Product Information [Table Text Block] | Disaggregated revenue by product type follows: Three Months Ended March 31, (Dollars in thousands) 2018 2017 Fastening Systems 23.8 % 20.8 % Fluid Power 14.5 % 15.2 % Specialty Chemicals 11.9 % 13.9 % Cutting Tools and Abrasives 14.9 % 14.2 % Electrical 11.2 % 12.4 % Aftermarket Automotive Supplies 8.5 % 9.4 % Safety 4.5 % 4.2 % Welding and Metal Repair 1.8 % 2.4 % Other 9.0 % 7.5 % Consolidated Total 100.0 % 100.0 % |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Inventory Disclosure [Abstract] | |
Components of inventories | Inventories, net, consisting primarily of purchased goods which are offered for resale, were as follows: (Dollars in thousands) March 31, 2018 December 31, 2017 Inventories, gross $ 56,389 $ 56,492 Reserve for obsolete and excess inventory (5,800 ) (5,564 ) Inventories, net $ 50,589 $ 50,928 |
Acquisitions Acquisitions (Tabl
Acquisitions Acquisitions (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Business Combinations [Abstract] | |
Acquisition Pro Forma Information | The following table contains unaudited pro forma revenue and net income for Lawson Products assuming the Bolt Supply acquisition closed on January 1, 2016. (Dollars in thousands) Three Months Ended March 31, 2017 Revenue Actual $ 74,617 Pro forma 81,438 Net income Actual $ 857 Pro forma 1,090 The pro forma disclosures in the table above include adjustments for, amortization of intangible assets and acquisition costs to reflect results as if the acquisition of Bolt Supply had closed on January 1, 2016 rather than on the actual acquisition date. This pro forma information utilizes certain estimates, is presented for illustrative purposes only and is not intended to be indicative of the actual results of operation. In addition, future results may vary significantly from the results reflected in the pro forma information. The unaudited pro forma financial information does not reflect the impact of future positive or negative events that may occur after the acquisition, such as anticipated cost savings from operating synergies. |
Goodwill (Tables)
Goodwill (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill [Table Text Block] | Goodwill activity for the first three months of 2018 and 2017 is included in the table below: (Dollars in thousands) Three Months Ended March 31, 2018 2017 Beginning balance $ 19,614 $ 5,520 Adjustment to original acquisition allocation (17 ) — Impact of foreign exchange (465 ) 40 Ending balance $ 19,132 $ 5,560 |
Loan Agreement (Tables)
Loan Agreement (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Debt Disclosure [Abstract] | |
Quarterly Financial Covenants [Table Text Block] | In addition to other customary representations, warranties and covenants, the Company is required to meet a minimum trailing twelve month EBITDA to fixed charges ratio, as defined in the amended Loan Agreement, if the excess borrowing capacity is below $10.0 million . On March 31, 2018 , the Company's borrowing capacity exceeded $10.0 million . Therefore, the Company was not subject to this financial covenant, however, for informational purposes the result of the financial covenant is provided below: Quarterly Financial Covenant Requirement Actual EBITDA to fixed charges ratio 1.10 : 1.00 3.61 : 1.00 Commitment Letter Bolt Supply has a Commitment Letter with BMO Bank of Montreal ("BMO") dated March 30, 2017 which allows Bolt Supply to access up to $5.5 million Canadian dollars in the form of either an overdraft facility or as commercial letters of credit. The Commitment Letter is cancellable at any time at BMOs sole discretion and is secured by substantially all of Bolt Supply’s assets. It carries an interest rate of the bank's prime rate plus 0.25% . At March 31, 2018 , Bolt Supply had $2.2 million Canadian dollars of outstanding borrowings and remaining borrowing availability of $3.3 million Canadian dollars. The Commitment Letter is subject to a working capital ratio of 1.35 :1, a maximum ratio of debt to tangible net worth of 2.5 :1 of the Bolt Supply assets and Debt Service Coverage Ratio 1.25 :1 as defined in the Commitment Letter. At March 31, 2018 , Bolt Supply was in compliance with all covenants which are subject to periodic review, at least annually, with the next review due by August 31, 2018. |
Reserve for Severance (Tables)
Reserve for Severance (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Severance Reserve [Abstract] | |
Changes in the Company's reserve for severance and related payments | Changes in the Company’s reserve for severance as of March 31, 2018 and 2017 were as follows: (Dollars in thousands) Three Months Ended March 31, 2018 2017 Balance at beginning of period $ 483 $ 1,710 Charged to earnings 628 465 Payments (308 ) (475 ) Balance at end of period $ 803 $ 1,700 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Stock Performance Rights [Abstract] | |
Stock Performance Rights | Stock Performance Rights ("SPRs") |
Restricted Stock Awards | Restricted Stock Awards ("RSAs") The Company issued 20,059 RSAs to key employees that cliff vest on December 31, 2020. Each RSA is exchangeable for one share of the Company's common stock at the end of the vesting period. |
Market Stock Units | Market Stock Units ("MSUs") |
Segment Information Segment Rep
Segment Information Segment Reporting (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Financial information for the Company's reportable segments follows: (Dollars in thousands) Three Months Ended March 31, 2018 2017 Revenue Lawson product revenue $ 66,937 $ 74,617 Lawson service revenue 9,489 — Total Lawson revenue 76,426 74,617 Bolt Supply 8,033 — Consolidated total $ 84,459 $ 74,617 Gross profit Lawson product gross profit $ 36,842 $ 44,879 Lawson service gross profit $ 6,080 $ — Total Lawson gross profit 42,922 44,879 Bolt Supply 3,296 — Consolidated total $ 46,218 $ 44,879 Operating Income Lawson $ 1,357 $ 712 Bolt Supply 480 — Consolidated total 1,837 712 Interest expense (240 ) (94 ) Other income, net 287 225 Income before income taxes $ 1,884 $ 843 |
Basis of Presentation and Sum28
Basis of Presentation and Summary of Significant Accounting Policies (Details) | 3 Months Ended | |
Mar. 31, 2018Segmentshares | Mar. 31, 2017shares | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Number of Reportable Segments | Segment | 2 | |
New Credit Facility Inventory Base Selling Period | 18 months | |
Stock Compensation Plan [Member] | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||
Anti-dilutive Options Outstanding | shares | 80,000 | 40,000 |
Revenue Recognition - Narrative
Revenue Recognition - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2018 | Mar. 31, 2017 | Jan. 01, 2018 | Dec. 31, 2017 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Decrease to retained earnings | $ (72,360) | $ (71,453) | ||
Deferred revenue | 900 | |||
Deferred expense | 600 | $ 400 | ||
Operating expenses | (44,381) | $ (44,167) | ||
Difference between Revenue Guidance in Effect before and after Topic 606 | Accounting Standards Update 2014-09 | ||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||
Decrease to retained earnings | 300 | |||
Deferred revenue | $ 700 | |||
Operating expenses | $ (3,546) |
Revenue Recognition - Schedule
Revenue Recognition - Schedule of Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Disaggregation of Revenue [Line Items] | ||
Product revenue | $ 74,970 | $ 74,617 |
Service revenue | 9,489 | 0 |
Total revenue | 84,459 | 74,617 |
Product cost of goods sold | 34,832 | 29,738 |
Service cost of goods sold | 3,409 | 0 |
Cost of goods sold | 38,241 | |
Gross profit | $ 46,218 | 44,879 |
Gross profit percentage | 54.70% | |
Selling expenses | $ 21,940 | 24,804 |
General and administrative expenses | 22,441 | 19,363 |
Operating expenses | 44,381 | 44,167 |
Operating income | 1,837 | 712 |
Calculated under Revenue Guidance in Effect before Topic 606 | ||
Disaggregation of Revenue [Line Items] | ||
Product revenue | 84,634 | |
Service revenue | 0 | |
Total revenue | 84,634 | |
Product cost of goods sold | 34,832 | |
Service cost of goods sold | 0 | |
Cost of goods sold | 34,832 | |
Gross profit | $ 49,802 | |
Gross profit percentage | 58.80% | |
Selling expenses | $ 25,486 | |
General and administrative expenses | 22,441 | |
Operating expenses | 47,927 | |
Accounting Standards Update 2014-09 | Difference between Revenue Guidance in Effect before and after Topic 606 | ||
Disaggregation of Revenue [Line Items] | ||
Product revenue | 9,664 | |
Service revenue | (9,489) | |
Total revenue | 175 | |
Product cost of goods sold | 0 | |
Service cost of goods sold | (3,409) | |
Cost of goods sold | (3,409) | |
Gross profit | 3,584 | |
Selling expenses | 3,546 | |
General and administrative expenses | 0 | |
Operating expenses | 3,546 | |
UNITED STATES | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue | 68,318 | 67,281 |
CANADA | ||
Disaggregation of Revenue [Line Items] | ||
Total revenue | $ 16,141 | $ 7,336 |
Revenue Recognition Product V31
Revenue Recognition Product Vertcal (Details) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Product Revenue [Abstract] | ||
Fastening Systems | 24.00% | 21.00% |
Fluid Power | 15.00% | 15.00% |
Specialty Chemicals | 12.00% | 14.00% |
Cutting Tools and Abrasives | 15.00% | 14.00% |
Electrical | 11.00% | 12.00% |
Aftermarket Automotive Supplies | 8.00% | 9.00% |
Safety | 5.00% | 4.00% |
Welding and Metal Repair | 2.00% | 2.00% |
Other Products | 9.00% | 8.00% |
Total Products | 100.00% | 100.00% |
Restricted Cash Restricted Ca32
Restricted Cash Restricted Cash (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Restricted Cash [Abstract] | ||
Restricted cash | $ 800 | $ 800 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Components of inventories | ||
Inventory, Gross | $ 56,389 | $ 56,492 |
Inventory Valuation Reserves | (5,800) | (5,564) |
Inventories, net | $ 50,589 | $ 50,928 |
Acquisitions Acquisition Detail
Acquisitions Acquisition Detail (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | |||
Oct. 31, 2017 | Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | Dec. 31, 2016 | |
Business Acquisition [Line Items] | |||||
Payments to Acquire Businesses, Gross | $ 157 | $ 0 | |||
Goodwill | $ 19,132 | $ 5,560 | $ 19,614 | $ 5,520 | |
Bolt [Member] [Member] | |||||
Business Acquisition [Line Items] | |||||
Payments to Acquire Businesses, Gross | $ 32,300 | ||||
Goodwill | 14,000 | ||||
Trade Names [Member] | Bolt [Member] [Member] | |||||
Business Acquisition [Line Items] | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | $ 7,200 | ||||
Finite-Lived Intangible Asset, Useful Life | 15 years | ||||
Customer Relationships [Member] | Bolt [Member] [Member] | |||||
Business Acquisition [Line Items] | |||||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles | $ 4,200 | ||||
Finite-Lived Intangible Asset, Useful Life | 12 years |
Acquisitions Pro Forma Informat
Acquisitions Pro Forma Information (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Business Combinations [Abstract] | ||
Total revenue | $ 84,459 | $ 74,617 |
Net Sales Pro Forma | 84,459 | 81,438 |
Net Income Actual | 1,236 | 857 |
Net income Pro Forma | $ 1,236 | $ 1,090 |
Goodwill - Schedule of Goodwill
Goodwill - Schedule of Goodwill (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Goodwill [Roll Forward] | ||
Beginning balance | $ 19,614 | $ 5,520 |
Adjustment to original acquisition allocation | (17) | 0 |
Impact of foreign exchange | (465) | 40 |
Ending balance | $ 19,132 | $ 5,560 |
Intangible assets (Details)
Intangible assets (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Finite-Lived Intangible Assets [Line Items] | |||
Amortization of Intangible Assets | $ 200 | $ 100 | |
Finite-Lived Intangible Assets, Gross | 12,791 | $ 13,093 | |
Finite-Lived Intangible Assets, Accumulated Amortization | (1,449) | (1,280) | |
Finite-Lived Intangible Assets, Net | 11,342 | 11,813 | |
Trade Names [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Gross | 8,001 | 8,182 | |
Finite-Lived Intangible Assets, Accumulated Amortization | (1,059) | (957) | |
Finite-Lived Intangible Assets, Net | 6,942 | 7,225 | |
Customer Relationships [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Assets, Gross | 4,790 | 4,911 | |
Finite-Lived Intangible Assets, Accumulated Amortization | (390) | (323) | |
Finite-Lived Intangible Assets, Net | $ 4,400 | $ 4,588 |
Loan Agreement Covenant (Detail
Loan Agreement Covenant (Details) | 3 Months Ended |
Mar. 31, 2018 | |
Loan Agreement [Line Items] | |
Minimum Debt Service Coverage Ratio | 1.25 |
Maximum [Member] | Actual Value [Member] | |
Loan Agreement [Line Items] | |
Minimum Debt Service Coverage Ratio | 3.61 |
Maximum [Member] | Required Minimum Value [Member] | |
Loan Agreement [Line Items] | |
Minimum Debt Service Coverage Ratio | 1.10 |
Minimum [Member] | Actual Value [Member] | |
Loan Agreement [Line Items] | |
Minimum Debt Service Coverage Ratio | 1 |
Minimum [Member] | Required Minimum Value [Member] | |
Loan Agreement [Line Items] | |
Minimum Debt Service Coverage Ratio | 1 |
Loan Agreement (Details)
Loan Agreement (Details) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018USD ($) | Mar. 31, 2017USD ($) | Dec. 31, 2017USD ($) | |
Loan Agreement [Line Items] | |||
Excess cash capacity | $ 10,000 | ||
Credit Facility (Textual) [Abstract] | |||
Proceeds from (Repayments of) Lines of Credit | $ 3,356 | $ 957 | |
Eligible accounts receivables percentage | 85.00% | ||
Eligible accounts receivables past due days | 60 days | ||
Eligible inventory percentage | 60.00% | ||
Eligible inventory expected to be sold period | 18 months | ||
Maximum borrowing amount based on inventory | $ 20,000 | ||
Revolving Line of Credit | 17,899 | $ 14,543 | |
Line of Credit Facility, Remaining Borrowing Capacity | 20,300 | ||
Interest Paid | $ 200 | $ 100 | |
Weighted average interest rate | 3.55% | 3.81% | |
Bank Overdrafts | $ 5,500 | ||
Working Capital Ratio | 1.35 | ||
Ratio of Indebtedness to Net Capital | 2.5 | ||
Minimum Debt Service Coverage Ratio | 1.25 | ||
Maximum | |||
Credit Facility (Textual) [Abstract] | |||
Spread on LIBOR | 1.85% | ||
Restricted Dividends | $ 7,000 | ||
Minimum | |||
Credit Facility (Textual) [Abstract] | |||
Spread on LIBOR | 1.50% | ||
Revolving Credit Facility [Member] | |||
Credit Facility (Textual) [Abstract] | |||
Credit facility, borrowing capacity | $ 40,000 | ||
Letter of Credit [Member] | |||
Credit Facility (Textual) [Abstract] | |||
Credit facility, borrowing capacity | 10,000 | ||
Bolt [Member] [Member] | |||
Credit Facility (Textual) [Abstract] | |||
Line of Credit Facility, Remaining Borrowing Capacity | 3,300 | ||
Secured Debt, Current | 2,200 | ||
Line of Credit [Member] | Revolving Credit Facility [Member] | |||
Credit Facility (Textual) [Abstract] | |||
Long-term Debt | $ 16,200 | ||
Prime Rate [Member] | |||
Credit Facility (Textual) [Abstract] | |||
Spread on LIBOR | 0.25% |
Reserve for Severance Activity
Reserve for Severance Activity in reserve (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Reserve for severance and related payments | ||
Balance at beginning of period | $ 483 | $ 1,710 |
Charged to earnings | 628 | 465 |
Cash paid | (308) | (475) |
Balance at end of the period | $ 803 | $ 1,700 |
Stock-Based Compensation Stock-
Stock-Based Compensation Stock-Based Compensation Details (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Stock-Based Compensation Details | ||
Employee Benefits and Share-based Compensation | $ 970 | $ (30) |
Minimum [Member] | ||
Stock-Based Compensation Details | ||
Equity Share Payout Range | 0 | |
Maximum [Member] | ||
Stock-Based Compensation Details | ||
Equity Share Payout Range | 48,291 | |
Share-based Compensation Award, Tranche Two [Member] | ||
Stock-Based Compensation Details | ||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Granted | 44,737 | |
Share Based Compensation Non Option Equity Instruments Granted Weighted Average Exercise Price | $ 24.70 |
Stock-Based Compensation Restri
Stock-Based Compensation Restricted Stock Awards (Details) | Mar. 31, 2018shares |
Director Grant [Domain] | |
Stock-Based Compensation Details | |
Restricted Stock Awards Outstanding | 20,059 |
Stock-Based Compensation Market
Stock-Based Compensation Market Stock Units (Details) | 3 Months Ended |
Mar. 31, 2018shares | |
Maximum [Member] | |
Stock-Based Compensation Details | |
Equity Share Payout Range | 48,291 |
MSU [Member] | |
Stock-Based Compensation Details | |
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Granted | 32,194 |
Stock-Based Compensation Anti D
Stock-Based Compensation Anti Dilutive Options (Details) - shares | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Stock Compensation Plan [Member] | ||
Stock-Based Compensation Details | ||
Incremental Common Shares Attributable to Dilutive Effect of Call Options and Warrants | 80,000 | 40,000 |
Income Tax Income Tax (Details)
Income Tax Income Tax (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Income Tax [Abstract] | ||
Increase (Decrease) in Deferred Income Taxes | $ (454) | $ 0 |
Income Tax Expense (Benefit) | $ 648 | $ (14) |
Effective income tax rate | 34.40% |
Contingent Liability Continge46
Contingent Liability Contingent Liability (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2016 | Dec. 31, 2012 | Dec. 31, 2016 | |
Loss Contingencies [Line Items] | ||||
Environmental Exit Costs, Reasonably Possible Additional Losses, Low Estimate | $ 0.9 | |||
Environmental Exit Costs, Liability for Remediation | $ 1 | $ 0.3 | ||
Minimum [Member] | ||||
Loss Contingencies [Line Items] | ||||
Environmental Exit Costs, Anticipated Cost | 0.9 | $ 0.3 | ||
Maximum [Member] | ||||
Loss Contingencies [Line Items] | ||||
Environmental Exit Costs, Anticipated Cost | $ 2 | $ 1.4 |
Segment Information Segment R47
Segment Information Segment Reporting (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018USD ($)Segment | Mar. 31, 2017USD ($) | |
Segment Reporting Information [Line Items] | ||
Number of Reportable Segments | Segment | 2 | |
Total revenue | $ 84,459 | $ 74,617 |
Gross Profit | 46,218 | 44,879 |
Operating Income (Loss) | 1,837 | 712 |
Interest Expense | 240 | 94 |
Other Nonoperating Income (Expense) | 287 | 225 |
Income (Loss) from Continuing Operations before Equity Method Investments, Income Taxes, Noncontrolling Interest | 1,884 | 843 |
Lawson [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 9,489 | 74,617 |
Gross Profit | 6,080 | 44,879 |
Operating Income (Loss) | 1,357 | 712 |
Bolt [Member] [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenue | 8,033 | 0 |
Gross Profit | 3,296 | 0 |
Operating Income (Loss) | $ 480 | $ 0 |