Oil-Dri Corporation of America (ODC) 10-Q 9 Mar 18 2018 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information	6 Months Ended
	Jan. 31, 2018shares
Entity Information
Entity Registrant Name	Oil-Dri Corp of America
Entity Central Index Key	74,046
Current Fiscal Year End Date	--07-31
Entity Filer Category	Accelerated Filer
Document Type	10-Q
Document Period End Date	Jan. 31, 2018
Document Fiscal Year Focus	2,018
Document Fiscal Period Focus	Q2
Amendment Flag	false
Common Stock
Entity Information
Entity Common Stock, Shares Outstanding	5,138,458
Common Class B
Entity Information
Entity Common Stock, Shares Outstanding	2,178,937

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jan. 31, 2018	Jul. 31, 2017
Current Assets
Cash and cash equivalents	$ 9,381	$ 9,095
Short-term investments	21,894	23,576
Accounts receivable, less allowance of $901 and $748 at January 31, 2018 and July 31, 2017, respectively	32,309	32,750
Inventories	22,603	22,615
Prepaid repairs expense	3,827	3,890
Prepaid expenses and other assets	4,140	2,304
Total Current Assets	94,154	94,230
Property, Plant and Equipment
Cost	229,957	224,444
Less accumulated depreciation and amortization	(145,668)	(140,411)
Total Property, Plant and Equipment, Net	84,289	84,033
Other Assets
Goodwill	9,034	9,034
Trademarks and patents, net of accumulated amortization of $251 and $238 at January 31, 2018 and July 31, 2017, respectively	1,300	1,223
Customer list, net of accumulated amortization of $5,070 and $4,601 at January 31, 2018 and July 31, 2017, respectively	2,715	3,184
Deferred income taxes	9,106	14,396
Other	4,937	6,475
Total Other Assets	27,092	34,312
Total Assets	205,535	212,575
Current Liabilities
Current maturities of notes payable	3,083	3,083
Accounts payable	8,089	9,594
Dividends payable	1,559	1,553
Accrued expenses:
Salaries, wages and commissions	5,724	7,459
Deferred compensation	5,996	458
Trade promotions and advertising	1,074	2,253
Freight	950	1,606
Other	6,859	6,948
Total Current Liabilities	33,334	32,954
Noncurrent Liabilities
Notes payable, net of unamortized debt issuance costs of $75 and $89 at January 31, 2018 and July 31, 2017, respectively	6,092	9,161
Deferred compensation	6,281	11,537
Pension and postretirement benefits	29,392	29,161
Other	4,174	3,725
Total Noncurrent Liabilities	45,939	53,584
Total Liabilities	79,273	86,538
Stockholders’ Equity
Additional paid-in capital	37,253	36,242
Retained earnings	153,571	154,735
Accumulated other comprehensive loss:
Pension and postretirement benefits	(9,909)	(10,327)
Cumulative translation adjustment	105	35
Total accumulated other comprehensive loss	(9,804)	(10,292)
Less Treasury Stock, at cost (2,910,592 Common and 324,741 Class B shares at January 31, 2018 and 2,907,370 Common and 324,741 Class B shares at July 31, 2017)	(55,813)	(55,701)
Total Stockholders' Equity	126,262	126,037
Total Liabilities & Stockholders’ Equity	205,535	212,575
Common Stock
Stockholders’ Equity
Common Stock, Value, Issued	805	802
Common Class B
Stockholders’ Equity
Common Stock, Value, Issued	$ 250	$ 251

Condensed Consolidated Balance3

Condensed Consolidated Balance Sheet Parenthetical - USD ($) $ in Thousands	Jan. 31, 2018	Jul. 31, 2017
Current Assets
Allowance for doubtful accounts	$ 901	$ 748
Other Assets
Accumulated amortization of trademarks and patents	251	238
Accumulated amortization of customer lists	5,070	4,601
Noncurrent Liabilities
Net unamortized debt issuance costs	$ 75	$ 89
Common Stock
Stockholder's Equity
Common stock, par value (in dollars per share)	$ 0.10	$ 0.10
Common stock, shares issued	8,049,050	8,015,166
Treasury stock, common shares	2,910,592	2,907,370
Common Class B
Stockholder's Equity
Common stock, par value (in dollars per share)	$ 0.10	$ 0.10
Common stock, shares issued	2,503,678	2,513,512
Treasury stock, common shares	324,741	324,741

Condensed Consolidated Statemen

Condensed Consolidated Statements of Income and Retained Earnings - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2018	Jan. 31, 2017
Net Sales	$ 68,894	$ 65,174	$ 135,540	$ 131,786
Cost of Sales	(49,254)	(46,049)	(96,931)	(91,936)
Gross Profit	19,640	19,125	38,609	39,850
Selling, General and Administrative Expenses	(14,883)	(13,538)	(29,936)	(31,217)
Income from Operations	4,757	5,587	8,673	8,633
Other Income (Expense)
Interest expense	(199)	(238)	(400)	(489)
Interest income	65	8	119	16
Other, net	448	(113)	518	(237)
Total Other Income (Expense), Net	314	(343)	237	(710)
Income Before Income Taxes	5,071	5,244	8,910	7,923
Income Tax Expense	(6,167)	(994)	(6,956)	(1,664)
Net (Loss) Income	(1,096)	4,250	1,954	6,259
Retained Earnings:
Balance at beginning of period			154,735	149,945
Cash dividends declared and treasury stock issuances			(3,118)	(2,964)
Balance at End of Period	$ 153,571	$ 153,240	$ 153,571	$ 153,240
Net (Loss) Income Per Share
Diluted Common (in dollars per share)	$ (0.15)	$ 0.58	$ 0.26	$ 0.86
Average Shares Outstanding
Diluted Common (in shares)	7,139	7,155	7,215	7,145
Common Stock
Net (Loss) Income Per Share
Basic Common (in dollars per share)	$ (0.17)	$ 0.63	$ 0.29	$ 0.93
Average Shares Outstanding
Basic Common (in shares)	5,035	5,019	5,030	5,011
Dividends Declared Per Share (in dollars per share)	$ 0.2300	$ 0.2200	$ 0.4600	$ 0.4400
Common Class B
Net (Loss) Income Per Share
Basic Common (in dollars per share)	$ (0.12)	$ 0.47	$ 0.22	$ 0.70
Average Shares Outstanding
Basic Common (in shares)	2,104	2,088	2,097	2,077
Dividends Declared Per Share (in dollars per share)	$ 0.1730	$ 0.1650	$ 0.3460	$ 0.3300

Condensed Consolidated Stateme5

Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2018	Jan. 31, 2017
Net (Loss) Income	$ (1,096)	$ 4,250	$ 1,954	$ 6,259
Other Comprehensive Income:
Pension and postretirement benefits (net of tax)	237	309	418	578
Cumulative translation adjustment	144	63	70	49
Other Comprehensive Income	381	372	488	627
Total Comprehensive (Loss) Income	$ (715)	$ 4,622	$ 2,442	$ 6,886

Condensed Consolidated Stateme6

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	6 Months Ended
	Jan. 31, 2018	Jan. 31, 2017
CASH FLOWS FROM OPERATING ACTIVITIES
Net Income	$ 1,954	$ 6,259
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	6,413	6,389
Amortization of investment net discount	(57)	(5)
Stock-based compensation	770	777
Excess tax benefits for share-based payments	0	(207)
Deferred income taxes	5,312	354
Provision for bad debts and cash discounts	155	131
Loss on the sale of fixed assets	31	276
Life Insurance Benefits	(334)	0
(Increase) Decrease in assets:
Accounts receivable	362	(1,829)
Inventories	75	11
Prepaid expenses	(51)	(3,784)
Other assets	55	(156)
Increase (Decrease) in liabilities:
Accounts payable	(743)	852
Accrued expenses	(3,637)	(1,698)
Deferred compensation	268	487
Pension and postretirement benefits	649	1,001
Other liabilities	407	235
Total Adjustments	9,675	2,834
Net Cash Provided by Operating Activities	11,629	9,093
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures	(6,850)	(7,279)
Proceeds from sale of property, plant and equipment	11	2
Purchases of short-term investments	(24,101)	(11,555)
Dispositions of short-term investments	25,840	14,386
Net Cash Used in Investing Activities	(5,100)	(4,446)
CASH FLOWS FROM FINANCING ACTIVITIES
Principal payments on notes payable	(3,083)	(3,083)
Dividends paid	(3,112)	(2,956)
Purchase of treasury stock	(27)	(122)
Proceeds from issuance of common stock	0	170
Excess tax benefits for share-based payments	0	207
Net Cash Used in Financing Activities	(6,222)	(5,784)
Effect of exchange rate changes on cash and cash equivalents	(21)	68
Net Increase (Decrease) in Cash and Cash Equivalents	286	(1,069)
Cash and Cash Equivalents, Beginning of Period	9,095	18,629
Cash and Cash Equivalents, End of Period	9,381	17,560
Supplemental disclosure of non-cash investing and financing activities:
Capital expenditures accrued, but not paid	890	657
Cash dividends declared and accrued, but not paid	$ 1,559	$ 1,485

Basis of Statement Presentation

Basis of Statement Presentation	6 Months Ended
	Jan. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Statement Presentation	BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying unaudited Condensed Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and in compliance with instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. The financial statements and the related notes are condensed and should be read in conjunction with the Consolidated Financial Statements and related notes for the fiscal year ended July 31, 2017 included in our Annual Report on Form 10-K filed with the SEC. The unaudited Condensed Consolidated Financial Statements include the accounts of Oil-Dri Corporation of America and its subsidiaries. All significant intercompany transactions are eliminated. Except as otherwise indicated herein or as the context otherwise requires, references to “Oil-Dri,” the “Company,” “we,” “us” or “our” refer to Oil-Dri Corporation of America and its subsidiaries. The unaudited Condensed Consolidated Financial Statements reflect all adjustments, consisting of normal recurring accruals and reclassifications which are, in the opinion of management, necessary for a fair presentation of the statements contained herein. In addition, certain prior year reclassifications were made to conform to the current year presentation. Operating results for the three and six months ended January 31, 2018 are not necessarily an indication of the results that may be expected for the fiscal year ending July 31, 2018 . Management Use of Estimates The preparation of the unaudited Condensed Consolidated Financial Statements in conformity with U.S. GAAP requires the use of estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses during the reporting period, as well as the related disclosures. See Note 10 for additional discussion regarding tax legislation enacted by the U.S. government in December 2017, the impact of which may affect the estimates and assumptions used to determine the expected future tax consequences of events recognized in our consolidated financial statements. All of our estimates and assumptions are revised periodically. Actual results could differ from these estimates. Summary of Significant Accounting Policies Except as described herein, our significant accounting policies, which are detailed in our Annual Report on Form 10-K for the fiscal year ended July 31, 2017 , have not materially changed. However, the unaudited Condensed Consolidated Financial Statements reflect changes required upon adoption of new accounting guidance, as described in Note 2 , and the effects of changes from recent U.S. tax legislation, as described in Note 10 . The following is a description of certain of our significant accounting policies. Revenue Recognition. We recognize revenue when risk of loss and title are transferred under the terms of our sales agreements with customers at a fixed and determinable price and collection of payment is probable. Trade promotion reserves are provided for sales incentives made directly to consumers, such as coupons, and sales incentives made to customers, such as slotting, discounts based on sales volume, cooperative marketing programs and other arrangements. Such trade promotion costs are netted against sales. Sales returns and allowances are not material. Selling, General and Administrative Expenses. Selling, general and administrative expenses include salaries, wages and benefits associated with staff outside the manufacturing and distribution functions, all marketing related costs, any miscellaneous trade spending expenses not required to be included in net sales, research and development costs, depreciation and amortization related to assets outside the manufacturing and distribution process and all other non-manufacturing and non-distribution expenses. Trade Receivables. We record an allowance for doubtful accounts based on our historical experience and a periodic review of our accounts receivable, including a review of the overall aging of accounts, consideration of customer credit risk and analysis of facts and circumstances about specific customer accounts. A customer account is determined to be uncollectible when it is probable that a loss will be incurred after we have completed our internal collection procedures, including termination of shipments, direct customer contact and formal demand of payment. Overburden Removal and Mining Costs. We mine sorbent materials on property that we either own or lease as part of our overall operations. A significant part of our overall mining cost is incurred during the process of removing the overburden (non-usable material) from the mine site, thus exposing the sorbent material used in a majority of our production processes. These stripping costs are treated as a variable inventory production cost and are included in cost of sales in the period they are incurred. We defer and amortize the pre-production overburden removal costs associated with opening a new mine. Additionally, it is our policy to capitalize the purchase cost of land and mineral rights, including associated legal fees, survey fees and real estate fees. The costs of obtaining mineral patents, including legal fees and drilling expenses, are also capitalized. Pre-production development costs on new mines and any prepaid royalties that may be offset against future royalties due upon extraction of the minerals are also capitalized. All exploration related costs are expensed as incurred. We perform ongoing reclamation activities during the normal course of our overburden removal. As overburden is removed from a mine site, it is hauled to previously mined sites and is used to refill older sites. This process allows us to continuously reclaim older mine sites and dispose of overburden simultaneously, therefore minimizing the costs associated with the reclamation process.

New Accounting Pronouncements

New Accounting Pronouncements	6 Months Ended
	Jan. 31, 2018
NEW ACCOUNTING PRONOUNCEMENTS [Abstract]
New Accounting Pronouncements	NEW ACCOUNTING PRONOUNCEMENTS AND REGULATIONS Recently Issued Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued guidance under Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers , which establishes a single comprehensive revenue recognition model for all contracts with customers and will supersede most existing revenue guidance. This guidance was subsequently amended several times to further clarify the principles for recognizing revenue. The guidance requires entities to recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to receive in exchange. Oil-Dri's revenue is generated from the sale of finished goods to customers. Those sales predominantly contain a single delivery obligation. Under Oil-Dri's current accounting policy, revenue is recognized at a single point in time when ownership, risks and rewards transfer. We are currently in the process of performing a comprehensive evaluation of the revenue requirements, including the impact on how we record certain incentives and advertising arrangements, as well as significant new disclosure requirements. We plan to adopt the standard at the beginning of our first quarter of fiscal year 2019. Transition options to implement this guidance include either a full or modified retrospective approach and early adoption is permitted. We expect to use the modified retrospective implementation method. In January 2016, the FASB issued guidance under ASC 825, Recognition and Measurement of Financial Assets and Financial Liabilities. This guidance addresses certain aspects of recognition, measurement, presentation and disclosure of financial instruments. The provisions relevant to us at this time require the use of the exit price notion when measuring the fair value of financial instruments for disclosure purposes, as well as eliminates the requirement to disclose the method and significant assumptions used to estimate the fair value in such disclosure. This guidance is effective for our first quarter of fiscal year 2019 and early adoption is generally not permitted. We are currently evaluating the impact of the adoption of this requirement on our Consolidated Financial Statements. In February 2016, the FASB issued guidance under ASC 842, Leases , which provides that, for leases with a term greater than 12 months, a lessee must recognize in the statement of financial position both a liability to make lease payments and an asset representing its right to use the underlying asset. Other requirements describe expense recognition, as well as financial statement presentation and disclosure. This guidance is effective for our first quarter of fiscal year 2020 using a modified retrospective approach, which includes a number of optional practical expedients. Early adoption is permitted. We are currently evaluating the impact of the adoption of this requirement on our Consolidated Financial Statements. In June 2016, the FASB issued guidance under ASC 326, Financial Instruments-Credit Losses , which requires companies to utilize an impairment model for most financial assets measured at amortized cost and certain other financial instruments, which include trade and other receivables, loans and held-to-maturity debt securities, to record an allowance for credit risk based on expected losses rather than incurred losses. In addition, this new guidance changes the recognition method for credit losses on available-for-sale debt securities, which can occur as a result of market and credit risk, as well as additional disclosures. In general, this guidance will require modified retrospective adoption for all outstanding instruments that fall under this guidance. This guidance is effective for our first quarter of fiscal year 2021. We are currently evaluating the impact of the adoption of this requirement on our Consolidated Financial Statements. In March 2017, the FASB issued guidance under ASC 715, Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost, which requires presenting the service cost component of net periodic benefit cost in the same income statement line item(s) as other employee compensation costs arising from services rendered during the period. This standard also requires that other components of the net periodic benefit cost be presented separately from the line item(s) that includes service costs and outside of any subtotal of operating income, if one is presented, on a retrospective basis. Additionally, the new guidance limits the components that are eligible for capitalization in assets to only the service cost component. The new guidance is effective for our first quarter of fiscal year 2019, with early adoption permitted. We are currently evaluating the impact of the adoption of this requirement on our Consolidated Financial Statements. In February 2018, the FASB issued guidance under ASC 220, Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income. Current U.S. GAAP requires deferred tax liabilities and assets to be adjusted for a change in tax laws or rates with the effect included in income from continuing operations, even when the deferred taxes being remeasured were established through other comprehensive income. As a result, a disproportionate tax effect may remain in accumulation other comprehensive Income. The new guidance under ASC 220 provides an option to reclassify from accumulated other comprehensive income to retained earnings these stranded tax effects resulting from the Tax Cuts and Jobs Act (the “2017 Tax Act”), which was enacted on December 22, 2017. This guidance is effective for our first quarter of fiscal year 2019, with early adoption permitted. We are currently evaluating the impact of the adoption of this requirement on our Consolidated Financial Statements. See Note 10 for further information about the impact of the 2017 Tax Act. There have been no other accounting pronouncements issued but not yet adopted by us which are expected to have a material impact on our Consolidated Financial Statements. Recently Adopted Pronouncements In the first quarter of fiscal year 2018, we adopted the FASB guidance under ASC 718, Compensation-Stock Compensation that simplified several aspects of the accounting for share-based payment transactions, including accounting for income taxes and classification of excess tax benefits in the statement of cash flows. As a result of implementing this guidance, we recognized $14,000 and $157,000 of excess tax benefits as a reduction of income tax expense for the second quarter and first six months of fiscal year 2018, respectively, rather than in Stockholders' Equity on the unaudited Condensed Consolidated Balance Sheet, and classified in operating activities on the unaudited Condensed Consolidated Statements of Cash Flows. These changes have been applied prospectively in accordance with the guidance and prior period presentations have not been adjusted. The adoption resulted in approximately a 0% and 2% benefit to our effective tax rate for the second quarter and first six months of fiscal year 2018, respectively. In addition, we excluded the excess tax benefits from the assumed proceeds available to repurchase shares under the treasury stock method for the computation of diluted earnings per share. This change did not have a material impact on our diluted earnings per share for the second quarter or first six months of fiscal year 2018. The guidance allows for a policy election to either use estimated forfeitures or account for them as they occur to determine the amount of compensation cost to be recognized each period. We have elected to continue to account for forfeitures on an estimated basis. No other material changes resulted from the adoption of this standard. In the first quarter of fiscal year 2018, we adopted the FASB guidance under ASC 740, Balance Sheet Classification of Deferred Taxes, which required deferred tax liabilities and assets to be classified as noncurrent in a classified statement of financial position. Prior periods presented were also restated. We reclassified $2,787,000 from Total Current Assets to Total Other Assets on the unaudited Condensed Consolidated Balance Sheet as of July 31, 2017. In the first quarter of fiscal year 2018, we adopted the FASB guidance under ASC 330, Simplifying the Measurement of Inventory. The new guidance required inventory to be measured at the lower of cost and net realizable value, which is defined as the estimated selling price in the ordinary course of business less reasonably predictable costs of completion, disposal and transportation. Adoption of this guidance did not have a material impact on our unaudited Condensed Consolidated Financial Statements.

Inventories

Inventories	6 Months Ended
	Jan. 31, 2018
Inventory Disclosure [Abstract]
Inventories	INVENTORIES The composition of inventories is as follows (in thousands): January 31, July 31, Finished goods $ 14,037 $ 14,704 Packaging 5,635 4,988 Other 2,931 2,923 Total Inventories $ 22,603 $ 22,615 Inventories are valued at the lower of cost (first-in, first-out) or net realizable value. Inventory costs include the cost of raw materials, packaging supplies, labor and other overhead costs. We perform a detailed review of our inventory items to determine if an obsolescence reserve adjustment is necessary. The review surveys all of our operating facilities and sales groups to ensure that both historical issues and new market trends are considered. The obsolescence reserve not only considers specific items, but also takes into consideration the overall value of the inventory as of the balance sheet date. The inventory obsolescence reserve values at January 31, 2018 and July 31, 2017 were $1,080,000 and $619,000 , respectively.

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Jan. 31, 2018
Fair Value Disclosures [Abstract]
Fair Value Measurements	FAIR VALUE MEASUREMENTS Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The inputs used to measure fair value are prioritized into categories based on the lowest level of input that is significant to the fair value measurement. The categories in the fair value hierarchy are as follows: Level 1: Quoted market prices in active markets for identical assets or liabilities. Level 2: Observable market-based inputs for similar assets or liabilities or valuation models whose inputs are observable, directly or indirectly. Level 3: Unobservable inputs. Cash equivalents of $3,281,000 and $3,814,000 as of January 31, 2018 and July 31, 2017 , respectively, were classified as Level 1. These cash instruments are primarily money market mutual funds and are included in cash and cash equivalents on the unaudited Condensed Consolidated Balance Sheet. Short-term investments included U.S. Treasury securities and certificates of deposit. We intend and have the ability to hold our short-term investments to maturity; therefore, these investments were reported at amortized cost, which approximated fair value as of January 31, 2018 and July 31, 2017 . Accounts receivable and accounts payable balances approximated their fair values at January 31, 2018 and July 31, 2017 due to the short maturity and nature of those balances. Notes payable are reported at the face amount of future maturities. The estimated fair value of notes payable, including current maturities, was $9,680,000 and $13,001,000 as of January 31, 2018 and July 31, 2017 , respectively. Our debt does not trade on a daily basis in an active market, therefore the fair value estimate is based on market observable borrowing rates currently available for debt with similar terms and average maturities and is classified as Level 2. We apply fair value techniques on at least an annual basis associated with: (1) valuing potential impairment loss related to goodwill, trademarks and other indefinite-lived intangible assets and (2) valuing potential impairment loss related to long-lived assets. See Note 5 for further information about goodwill and other intangible assets.

Goodwill and Other Intangibles

Goodwill and Other Intangibles (Notes)	6 Months Ended
	Jan. 31, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Other Intangible Assets	GOODWILL AND OTHER INTANGIBLE ASSETS Intangible amortization expense was $253,000 and $307,000 in the second quarter of fiscal years 2018 and 2017 , respectively. Intangible amortization expense was $507,000 and $612,000 for the first six months of fiscal years 2018 and 2017 , respectively. Estimated intangible amortization for the remainder of fiscal year 2018 is $510,000 . Estimated intangible amortization for the next five fiscal years is as follows (in thousands): 2019 $ 835 2020 $ 666 2021 $ 482 2022 $ 332 2023 $ 200 We have one acquired trademark recorded at a cost of $376,000 that was determined to have an indefinite life and is not amortized. We performed our annual goodwill impairment analysis in the fourth quarter of fiscal year 2017 and no impairment was identified. There have been no triggering events that would indicate a new impairment analysis is needed.

Pension and Other Postretiremen

Pension and Other Postretirement Benefits	6 Months Ended
	Jan. 31, 2018
Defined Benefit Plan [Abstract]
Pension and Other Postretirement Benefits Disclosure	PENSION AND OTHER POSTRETIREMENT BENEFITS The components of net periodic pension and postretirement health benefit costs were as follows: Pension Benefits (in thousands) For the Three Months Ended January 31, For the Six Months Ended January 31, 2018 2017 2018 2017 Service cost $ 438 $ 446 $ 862 $ 913 Interest cost 517 474 1,014 931 Expected return on plan assets (485 ) (411 ) (971 ) (887 ) Amortization of: Prior service costs — — 1 1 Other actuarial loss 354 485 641 914 Net periodic benefit cost $ 824 $ 994 $ 1,547 $ 1,872 Postretirement Health Benefits (in thousands) For the Three Months Ended January 31, For the Six Months Ended January 31, 2018 2017 2018 2017 Service cost $ 25 $ 33 $ 54 $ 63 Interest cost 19 21 43 39 Amortization of: Prior service costs (1 ) (1 ) (3 ) (3 ) Other actuarial (gain) loss (5 ) 14 — 20 Net periodic benefit cost $ 38 $ 67 $ 94 $ 119 The postretirement health plan is an unfunded plan. We pay insurance premiums and claims from our assets. The pension plan is funded based upon actuarially determined contributions that take into account the amount deductible for income tax purposes, the normal cost and the minimum contribution required and the maximum contribution allowed under applicable regulations. We contributed $435,000 and $770,000 to our pension plan during the second quarter and first six months of fiscal year 2018 , respectively. We estimate contributions will be $1,372,000 for the remainder of fiscal year 2018 . See Item 3. “Quantitative and Qualitative Disclosures About Market Risk” for a discussion of the potential impact of financial market fluctuations on pension plan assets and future funding contributions. Assumptions used in the previous calculations were as follows: Pension Benefits Postretirement Health Benefits For the Three and Six Months Ended January 31, 2018 2017 2018 2017 Discount rate for net periodic benefit cost 3.75 % 3.36 % 3.26 % 2.71 % Rate of increase in compensation levels 3.50 % 3.50 % — — Long-term expected rate of return on assets 7.00 % 7.00 % — — The medical cost trend assumption for postretirement health benefits was 7.20% . The graded trend rate is expected to decrease to an ultimate rate of 4.50% in fiscal year 2036 .

Operating Segments

Operating Segments	6 Months Ended
	Jan. 31, 2018
Segment Reporting [Abstract]
Operating Segment Disclosure	OPERATING SEGMENTS We have two operating segments: (1) Retail and Wholesale Products Group and (2) Business to Business Products Group. These operating segments are managed separately and each segment's major customers have different characteristics. The Retail and Wholesale Products Group customers include: mass merchandisers; wholesale clubs; drugstore chains; pet specialty retail outlets; dollar stores; retail grocery stores; distributors of industrial cleanup and automotive products; environmental service companies; and sports field product users. The Business to Business Products Group customers include: processors and refiners of edible oils, petroleum-based oils and biodiesel fuel; manufacturers of animal feed and agricultural chemicals; distributors of animal health and nutrition products; and marketers of consumer products. Our operating segments are also our reportable segments. Net sales and operating income for each segment are provided below. Revenues by product line are not provided because it would be impracticable to do so. The accounting policies of the segments are the same as those described in Note 1 of the Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended July 31, 2017 . We do not rely on any segment asset allocations and we do not consider them meaningful because of the shared nature of our production facilities; however, we have estimated the segment asset allocations below for those assets for which we can reasonably determine. The unallocated asset category is the remainder of our total assets. The asset allocation is estimated and is not a measure used by our chief operating decision maker about allocating resources to the operating segments or in assessing their performance. The corporate expenses line includes certain unallocated expenses, including primarily salaries, wages and benefits, purchased services, rent, utilities and depreciation and amortization associated with corporate functions such as research and development, information systems, finance, legal, human resources and customer service. Corporate expenses also include the estimated annual incentive plan bonus accrual. Assets January 31, 2018 July 31, 2017 (in thousands) Business to Business Products $ 62,698 $ 65,337 Retail and Wholesale Products 90,071 90,508 Unallocated Assets 52,766 56,730 Total Assets $ 205,535 $ 212,575 For the Six Months Ended January 31, Net Sales Income 2018 2017 2018 2017 (in thousands) Business to Business Products $ 54,442 $ 50,734 $ 18,635 $ 17,223 Retail and Wholesale Products 81,098 81,052 4,787 4,480 Total Sales $ 135,540 $ 131,786 Corporate Expenses (14,749 ) (13,070 ) Income from Operations 8,673 8,633 Total Other Income (Expense), Net 237 (710 ) Income before Income Taxes 8,910 7,923 Income Tax Expense (6,956 ) (1,664 ) Net Income $ 1,954 $ 6,259 For the Three Months Ended January 31, Net Sales Income (Loss) 2018 2017 2018 2017 (in thousands) Business to Business Products $ 27,355 $ 23,261 $ 9,759 $ 7,815 Retail and Wholesale Products 41,539 41,913 2,422 4,987 Total Sales $ 68,894 $ 65,174 Corporate Expenses (7,424 ) (7,215 ) Income from Operations 4,757 5,587 Total Other Income (Expense), Net 314 (343 ) Income before Income Taxes 5,071 5,244 Income Tax Expense (6,167 ) (994 ) Net (Loss) Income $ (1,096 ) $ 4,250

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jan. 31, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Disclosure of Compensation Related Costs, Share-based Payments	STOCK-BASED COMPENSATION The Oil-Dri Corporation of America 2006 Long Term Incentive Plan (the “2006 Plan”) permits the grant of stock options, stock appreciation rights, restricted stock, restricted stock units, performance awards and other stock-based and cash-based awards. Our employees and outside directors are eligible to receive grants under the 2006 Plan. The total number of shares of stock subject to grants under the 2006 Plan may not exceed 937,500 . Stock Options No stock options were granted during the first six months of either fiscal year 2017 or 2018 . There were no stock options outstanding at the end of fiscal year 2017 . The amount of cash received from the exercise of stock options during the first six months of fiscal year 2017 was $170,000 and the related tax benefit was $80,000 . Restricted Stock All of our non-vested restricted stock as of January 31, 2018 was issued under the 2006 Plan with vesting periods between two years and five years . We determine the fair value of restricted stock as of the grant date. We recognize the related compensation expense over the period from the date of grant to the date the shares vest. No restricted stock was granted during the second quarter of fiscal year 2018 . During the second quarter of fiscal year 2017 , 18,000 restricted shares of Common Stock were granted. Stock-based compensation expense related to non-vested restricted stock for the second quarter of fiscal years 2018 and 2017 was $426,000 and $346,000 , respectively. Stock-based compensation expense related to non-vested restricted stock for the first six months of fiscal years 2018 and 2017 was $928,000 and $777,000 , respectively. A summary of restricted stock transactions is shown below: Restricted Shares (in thousands) Weighted Average Grant Date Fair Value Non-vested restricted stock outstanding at July 31, 2017 185 $ 30.96 Granted 24 $ 42.76 Vested (28 ) $ 29.88 Forfeitures (3 ) $ 32.74 Non-vested restricted stock outstanding at January 31, 2018 178 $ 32.70

Accumulated Other Comprehensive

Accumulated Other Comprehensive (Loss) Income (Notes)	6 Months Ended
	Jan. 31, 2018
Accumulated Other Comprehensive Income [Abstract]
Accumulated Other Comprehensive (Loss) Income	ACCUMULATED OTHER COMPREHENSIVE (LOSS) INCOME The following table summarizes the changes in accumulated other comprehensive (loss) income by component as of January 31, 2018 (in thousands): Pension and Postretirement Health Benefits Cumulative Translation Adjustment Total Accumulated Other Comprehensive (Loss) Income Balance as of July 31, 2017 $ (10,327 ) $ 35 $ (10,292 ) Other comprehensive income before reclassifications, net of tax — 70 70 Amounts reclassified from accumulated other comprehensive income, net of tax 418 a) — 418 Net current-period other comprehensive income, net of tax 418 70 488 Balance as of January 31, 2018 $ (9,909 ) $ 105 $ (9,804 ) a) Amount is net of tax expense of $221,000 . Amount is included in the components of net periodic benefit cost for the pension and postretirement health plans. See Note 6 for further information.

Income Taxes (Notes)

Income Taxes (Notes)	6 Months Ended
	Jan. 31, 2018
Income Tax Disclosure [Abstract]
Income Taxes	INCOME TAXES On December 22, 2017, the U.S. government enacted the the 2017 Tax Act. The 2017 Tax Act included a number of changes to existing U.S. tax laws that impact us, most notably a reduction of the U.S. corporate income tax rate and acceleration of depreciation for certain assets placed into service after September 27, 2017, as well as prospective changes, including repeal of the domestic manufacturing deduction and capitalization of research and development expenditures. Staff Accounting Bulletin No. 118 (“SAB 118”), provided further SEC staff guidance for the application of ASC 740, “Income Taxes,” in the reporting period in which the 2017 Tax Act was signed into law. SAB 118 provides that companies (i) should record the effects of the changes from the 2017 Tax Act for which the accounting is complete (not provisional), (ii) should record provisional amounts for the effects of the changes for which the accounting is not complete, and for which reasonable estimates can be determined, in the period they are identified, and (iii) should not record provisional amounts if reasonable estimates cannot be made for the effects of the changes, and should continue to apply guidance based on the tax law in effect prior to the enactment on December 22, 2017. SAB 118 also established a one-year measurement period (through December 22, 2018) where provisional amounts could be subject to adjustment, and requires certain qualitative and quantitative disclosures related to provisional amounts and accounting during the measurement period. In accordance with ASC 740 and SAB 118, we remeasured our U.S. net deferred tax assets at the reduced U.S. federal corporate tax rate and recognized a provisional charge of $5,091,000 as a discrete item in the provision for income taxes for the three and six months ended January 31, 2018 . The measurement of deferred income taxes, as shown in Other Assets on the unaudited Condensed Consolidated Balance Sheet, is provisional. The final remeasurement cannot be determined until the underlying temporary differences are known, rather than estimated. The 2017 Tax Act also reduced the U.S. federal corporate tax rate from 35.0% % to 21.0% for all corporations effective January 1, 2018. For fiscal year companies, the change in law requires the application of a blended rate for each quarter of the fiscal year of enactment. We will apply a blended tax rate of 26.9% for the fiscal year ending July 31, 2018. Thereafter, the applicable statutory rate is 21.0% . In addition, the 2017 Tax Act included a one-time transition tax on cumulative unrepatriated foreign earnings. Based on information available, we estimate our unrepatriated foreign earnings represent a cumulative loss and therefore no additional income tax expense was recorded related to this provision of the 2017 Tax Act. We are continuing to analyze the impact of the 2017 Tax Act. As such, our financial results reflect reasonable estimates of items for which the income tax effects of the 2017 Tax Act have not been completed as of January 31, 2018. Adjustments to the provisional charges will be recorded as discrete items in the provision for income taxes in the period in when those adjustments become reasonably estimable and/or the accounting is complete. We will complete our analysis no later than December 22, 2018.

Related Party Transactions (Not

Related Party Transactions (Notes)	6 Months Ended
	Jan. 31, 2018
Related Party Transactions [Abstract]
Related Party Transactions Disclosure	RELATED PARTY TRANSACTIONS One member of our Board of Directors is the President and Chief Executive Officer of a customer of ours. That customer was a customer of ours before the board member joined that customer and before he became a member of our Board of Directors. Total net sales to that customer, including sales to subsidiaries of that customer, were $77,000 and $100,000 for the second quarters of fiscal years 2018 and 2017 , respectively, and were $163,000 and $178,000 for the first six months of fiscal years 2018 and 2017 , respectively. Outstanding accounts receivable from that customer, and its subsidiaries, were $16,000 as of January 31, 2018 . There were no outstanding amounts due as of July 31, 2017 . One member of our Board of Directors, and of the Compensation Committee of our Board of Directors, is the President and Chief Executive Officer as well as a director and shareholder of a law firm that regularly provides services to us. Total payments to that vendor for fees and cost reimbursements were $53,000 and $54,000 for the second quarters of fiscal years 2018 and 2017 , respectively, and were $116,000 and $68,000 for the first six months of fiscal years 2018 and 2017 , respectively. Outstanding accounts payable to that vendor were $13,000 and $19,000 as of January 31, 2018 and July 31, 2017 , respectively.

Basis of Statement Presentati18

Basis of Statement Presentation Level 2 (Policies)	6 Months Ended
	Jan. 31, 2018
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Revenue Recognition	We recognize revenue when risk of loss and title are transferred under the terms of our sales agreements with customers at a fixed and determinable price and collection of payment is probable. Trade promotion reserves are provided for sales incentives made directly to consumers, such as coupons, and sales incentives made to customers, such as slotting, discounts based on sales volume, cooperative marketing programs and other arrangements. Such trade promotion costs are netted against sales. Sales returns and allowances are not material.
Selling, General and Administrative Expenses	Selling, general and administrative expenses include salaries, wages and benefits associated with staff outside the manufacturing and distribution functions, all marketing related costs, any miscellaneous trade spending expenses not required to be included in net sales, research and development costs, depreciation and amortization related to assets outside the manufacturing and distribution process and all other non-manufacturing and non-distribution expenses.
Trade Receivable	We record an allowance for doubtful accounts based on our historical experience and a periodic review of our accounts receivable, including a review of the overall aging of accounts, consideration of customer credit risk and analysis of facts and circumstances about specific customer accounts. A customer account is determined to be uncollectible when it is probable that a loss will be incurred after we have completed our internal collection procedures, including termination of shipments, direct customer contact and formal demand of payment.
Overburden Removal and Mining Costs	We mine sorbent materials on property that we either own or lease as part of our overall operations. A significant part of our overall mining cost is incurred during the process of removing the overburden (non-usable material) from the mine site, thus exposing the sorbent material used in a majority of our production processes. These stripping costs are treated as a variable inventory production cost and are included in cost of sales in the period they are incurred. We defer and amortize the pre-production overburden removal costs associated with opening a new mine. Additionally, it is our policy to capitalize the purchase cost of land and mineral rights, including associated legal fees, survey fees and real estate fees. The costs of obtaining mineral patents, including legal fees and drilling expenses, are also capitalized. Pre-production development costs on new mines and any prepaid royalties that may be offset against future royalties due upon extraction of the minerals are also capitalized. All exploration related costs are expensed as incurred.
Reclamation	We perform ongoing reclamation activities during the normal course of our overburden removal. As overburden is removed from a mine site, it is hauled to previously mined sites and is used to refill older sites. This process allows us to continuously reclaim older mine sites and dispose of overburden simultaneously, therefore minimizing the costs associated with the reclamation process.

Inventories Level 2 (Policies)

Inventories Level 2 (Policies)	6 Months Ended
	Jan. 31, 2018
Inventory Disclosure [Abstract]
Inventories	Inventories are valued at the lower of cost (first-in, first-out) or net realizable value. Inventory costs include the cost of raw materials, packaging supplies, labor and other overhead costs. We perform a detailed review of our inventory items to determine if an obsolescence reserve adjustment is necessary. The review surveys all of our operating facilities and sales groups to ensure that both historical issues and new market trends are considered. The obsolescence reserve not only considers specific items, but also takes into consideration the overall value of the inventory as of the balance sheet date.

Fair Value Measurements Fair Va

Fair Value Measurements Fair Value Measurements (Policies)	6 Months Ended
	Jan. 31, 2018
Fair Value Disclosures [Abstract]
Fair Value Measurement, Policy	Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The inputs used to measure fair value are prioritized into categories based on the lowest level of input that is significant to the fair value measurement. The categories in the fair value hierarchy are as follows: Level 1: Quoted market prices in active markets for identical assets or liabilities. Level 2: Observable market-based inputs for similar assets or liabilities or valuation models whose inputs are observable, directly or indirectly. Level 3: Unobservable inputs.

Operating Segments Level 2 (Pol

Operating Segments Level 2 (Policies)	6 Months Ended
	Jan. 31, 2018
Segment Reporting [Abstract]
Operating Segments	We have two operating segments: (1) Retail and Wholesale Products Group and (2) Business to Business Products Group. These operating segments are managed separately and each segment's major customers have different characteristics. The Retail and Wholesale Products Group customers include: mass merchandisers; wholesale clubs; drugstore chains; pet specialty retail outlets; dollar stores; retail grocery stores; distributors of industrial cleanup and automotive products; environmental service companies; and sports field product users. The Business to Business Products Group customers include: processors and refiners of edible oils, petroleum-based oils and biodiesel fuel; manufacturers of animal feed and agricultural chemicals; distributors of animal health and nutrition products; and marketers of consumer products. Our operating segments are also our reportable segments. Net sales and operating income for each segment are provided below. Revenues by product line are not provided because it would be impracticable to do so. The accounting policies of the segments are the same as those described in Note 1 of the Consolidated Financial Statements included in our Annual Report on Form 10-K for the fiscal year ended July 31, 2017 .

Inventories Level 3 (Tables)

Inventories Level 3 (Tables)	6 Months Ended
	Jan. 31, 2018
Inventory Disclosure [Abstract]
Inventories	The composition of inventories is as follows (in thousands): January 31, July 31, Finished goods $ 14,037 $ 14,704 Packaging 5,635 4,988 Other 2,931 2,923 Total Inventories $ 22,603 $ 22,615

Goodwill and Other Intangible23

Goodwill and Other Intangibles (Tables)	6 Months Ended
	Jan. 31, 2018
Goodwill and Intangible Assets Disclosure [Abstract]
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense	Estimated intangible amortization for the next five fiscal years is as follows (in thousands): 2019 $ 835 2020 $ 666 2021 $ 482 2022 $ 332 2023 $ 200

Pension and Other Postretirem24

Pension and Other Postretirement Benefits (Tables)	6 Months Ended
	Jan. 31, 2018
Defined Benefit Plan [Abstract]
Schedule of Net Benefit Costs	The components of net periodic pension and postretirement health benefit costs were as follows: Pension Benefits (in thousands) For the Three Months Ended January 31, For the Six Months Ended January 31, 2018 2017 2018 2017 Service cost $ 438 $ 446 $ 862 $ 913 Interest cost 517 474 1,014 931 Expected return on plan assets (485 ) (411 ) (971 ) (887 ) Amortization of: Prior service costs — — 1 1 Other actuarial loss 354 485 641 914 Net periodic benefit cost $ 824 $ 994 $ 1,547 $ 1,872 Postretirement Health Benefits (in thousands) For the Three Months Ended January 31, For the Six Months Ended January 31, 2018 2017 2018 2017 Service cost $ 25 $ 33 $ 54 $ 63 Interest cost 19 21 43 39 Amortization of: Prior service costs (1 ) (1 ) (3 ) (3 ) Other actuarial (gain) loss (5 ) 14 — 20 Net periodic benefit cost $ 38 $ 67 $ 94 $ 119
Schedule of Assumptions Used	Assumptions used in the previous calculations were as follows: Pension Benefits Postretirement Health Benefits For the Three and Six Months Ended January 31, 2018 2017 2018 2017 Discount rate for net periodic benefit cost 3.75 % 3.36 % 3.26 % 2.71 % Rate of increase in compensation levels 3.50 % 3.50 % — — Long-term expected rate of return on assets 7.00 % 7.00 % — — The medical cost trend assumption for postretirement health benefits was 7.20% . The graded trend rate is expected to decrease to an ultimate rate of 4.50% in fiscal year 2036 .

Operating Segments (Tables)

Operating Segments (Tables)	6 Months Ended
	Jan. 31, 2018
Segment Reporting [Abstract]
Operating Segments Information	Assets January 31, 2018 July 31, 2017 (in thousands) Business to Business Products $ 62,698 $ 65,337 Retail and Wholesale Products 90,071 90,508 Unallocated Assets 52,766 56,730 Total Assets $ 205,535 $ 212,575 For the Six Months Ended January 31, Net Sales Income 2018 2017 2018 2017 (in thousands) Business to Business Products $ 54,442 $ 50,734 $ 18,635 $ 17,223 Retail and Wholesale Products 81,098 81,052 4,787 4,480 Total Sales $ 135,540 $ 131,786 Corporate Expenses (14,749 ) (13,070 ) Income from Operations 8,673 8,633 Total Other Income (Expense), Net 237 (710 ) Income before Income Taxes 8,910 7,923 Income Tax Expense (6,956 ) (1,664 ) Net Income $ 1,954 $ 6,259 For the Three Months Ended January 31, Net Sales Income (Loss) 2018 2017 2018 2017 (in thousands) Business to Business Products $ 27,355 $ 23,261 $ 9,759 $ 7,815 Retail and Wholesale Products 41,539 41,913 2,422 4,987 Total Sales $ 68,894 $ 65,174 Corporate Expenses (7,424 ) (7,215 ) Income from Operations 4,757 5,587 Total Other Income (Expense), Net 314 (343 ) Income before Income Taxes 5,071 5,244 Income Tax Expense (6,167 ) (994 ) Net (Loss) Income $ (1,096 ) $ 4,250

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Jan. 31, 2018
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Schedule of Restricted Stock Transactions	A summary of restricted stock transactions is shown below: Restricted Shares (in thousands) Weighted Average Grant Date Fair Value Non-vested restricted stock outstanding at July 31, 2017 185 $ 30.96 Granted 24 $ 42.76 Vested (28 ) $ 29.88 Forfeitures (3 ) $ 32.74 Non-vested restricted stock outstanding at January 31, 2018 178 $ 32.70

Accumulated Other Comprehensi27

Accumulated Other Comprehensive (Loss) Income (Tables)	6 Months Ended
	Jan. 31, 2018
Accumulated Other Comprehensive Income [Abstract]
Accumulated Other Comprehensive (Loss) Income by Component	The following table summarizes the changes in accumulated other comprehensive (loss) income by component as of January 31, 2018 (in thousands): Pension and Postretirement Health Benefits Cumulative Translation Adjustment Total Accumulated Other Comprehensive (Loss) Income Balance as of July 31, 2017 $ (10,327 ) $ 35 $ (10,292 ) Other comprehensive income before reclassifications, net of tax — 70 70 Amounts reclassified from accumulated other comprehensive income, net of tax 418 a) — 418 Net current-period other comprehensive income, net of tax 418 70 488 Balance as of January 31, 2018 $ (9,909 ) $ 105 $ (9,804 ) a) Amount is net of tax expense of $221,000 . Amount is included in the components of net periodic benefit cost for the pension and postretirement health plans. See Note 6 for further information.

New Accounting Pronouncements N

New Accounting Pronouncements Narrative (Details) - USD ($)	3 Months Ended	6 Months Ended
	Jan. 31, 2018	Jan. 31, 2018	Jul. 31, 2017
Improvements to Employee Share-Based Payment Accounting ASU 2016-09
New Accounting Pronouncements or Change in Accounting Principle
Excess tax benefit from share-based compensation	$ 14,000	$ 157,000
Impact on effective tax rate of adoption, percent	0.00%	2.00%
Balance Sheet Classification of Deferred Taxes ASU 2015-17
New Accounting Pronouncements or Change in Accounting Principle
Deferred income taxes, current			$ 2,787,000

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands	Jan. 31, 2018	Jul. 31, 2017
Inventory
Finished goods	$ 14,037	$ 14,704
Packaging	5,635	4,988
Other	2,931	2,923
Total Inventories	$ 22,603	$ 22,615

Inventories Narrative (Details)

Inventories Narrative (Details) - USD ($)	Jan. 31, 2018	Jul. 31, 2017
Inventory
Inventory obsolescence reserve	$ 1,080,000	$ 619,000

Fair Value Measurements Narrati

Fair Value Measurements Narrative (Details) - USD ($)	Jan. 31, 2018	Jul. 31, 2017
Fair Value, Inputs, Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Cash Equivalents	$ 3,281,000	$ 3,814,000
Fair Value, Inputs, Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis
Notes Payable, Fair Value	$ 9,680,000	$ 13,001,000

Goodwill and Other Intangible32

Goodwill and Other Intangibles (Details) $ in Thousands	Jan. 31, 2018USD ($)
Finite-Lived Intangible Assets, Future Amortization Expense
2,019	$ 835
2,020	666
2,021	482
2,022	332
2,023	$ 200

Goodwill and Other Intangible33

Goodwill and Other Intangibles Narrative (Details) - USD ($)	3 Months Ended		6 Months Ended		12 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2018	Jan. 31, 2017	Jul. 31, 2017
Goodwill and Intangible Assets Disclosure [Abstract]
Amortization of intangible assets	$ 253,000	$ 307,000	$ 507,000	$ 612,000
Amortization expense for remainder of current fiscal year	510,000		510,000
Indefinite-lived trademarks	$ 376,000		$ 376,000
Goodwill impairment loss					$ 0

Pension and Other Postretirem34

Pension and Other Postretirement Benefits (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2018	Jan. 31, 2017
Pension Plan
Defined Benefit Plans and Other Postretirement Benefit Plans
Service cost	$ 438	$ 446	$ 862	$ 913
Interest cost	517	474	1,014	931
Expected return on plan assets	(485)	(411)	(971)	(887)
Amortization of Prior service costs	0	0	1	1
Amortization of Other actuarial loss	354	485	641	914
Net periodic benefit cost	824	994	1,547	1,872
Postretirement Health Plan
Defined Benefit Plans and Other Postretirement Benefit Plans
Service cost	25	33	54	63
Interest cost	19	21	43	39
Amortization of Prior service costs	(1)	(1)	(3)	(3)
Amortization of Other actuarial loss	(5)	14	0	20
Net periodic benefit cost	$ 38	$ 67	$ 94	$ 119

Pension and Other Postretirem35

Pension and Other Postretirement Benefits Assumptions (Details)	6 Months Ended
	Jan. 31, 2018	Jan. 31, 2017
Pension Plan
Defined Benefit Plans and Other Postretirement Benefit Plans
Discount rate for net periodic benefit cost	3.75%	3.36%
Rate of increase in compensation levels	3.50%	3.50%
Long-term expected rate of return on assets	7.00%	7.00%
Postretirement Health Plan
Defined Benefit Plans and Other Postretirement Benefit Plans
Discount rate for net periodic benefit cost	3.26%	2.71%
Rate of increase in compensation levels	0.00%	0.00%
Long-term expected rate of return on assets	0.00%	0.00%

Pension and Other Postretirem36

Pension and Other Postretirement Benefits Narrative (Details)	3 Months Ended	6 Months Ended
	Jan. 31, 2018USD ($)	Jan. 31, 2018USD ($)
Pension Plan
Defined Benefit Plans and Other Postretirement Benefit Plans
Employer contributions	$ 435,000	$ 770,000
Estimated contributions in remainder of current fiscal year	$ 1,372,000	$ 1,372,000
Postretirement Health Plan
Defined Benefit Plans and Other Postretirement Benefit Plans
Medical Cost Trend Assumption	7.20%	7.20%
Ultimate Health Care Cost Trend Rate	4.50%	4.50%
Year that Rate Reaches Ultimate Trend Rate		2,036

Operating Segments (Details)

Operating Segments (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2018	Jan. 31, 2017	Jul. 31, 2017
Segment Reporting Information
Assets	$ 205,535		$ 205,535		$ 212,575
Total Sales	68,894	$ 65,174	135,540	$ 131,786
Corporate Expenses	(7,424)	(7,215)	(14,749)	(13,070)
Income from Operations	4,757	5,587	8,673	8,633
Total Other Income (Expense), Net	314	(343)	237	(710)
Income before Income Taxes	5,071	5,244	8,910	7,923
Income Taxes	(6,167)	(994)	(6,956)	(1,664)
Net (Loss) Income	(1,096)	4,250	1,954	6,259
Business to Business Products
Segment Reporting Information
Assets	62,698		62,698		65,337
Segment Net Sales	27,355	23,261	54,442	50,734
Segment Income (Loss)	9,759	7,815	18,635	17,223
Retail and Wholesale Products
Segment Reporting Information
Assets	90,071		90,071		90,508
Segment Net Sales	41,539	41,913	81,098	81,052
Segment Income (Loss)	2,422	$ 4,987	4,787	$ 4,480
Unallocated Assets
Segment Reporting Information
Assets	$ 52,766		$ 52,766		$ 56,730

Operating Segments Narrative (D

Operating Segments Narrative (Details)	6 Months Ended
	Jan. 31, 2018segment
Segment Reporting Information
Number of Reportable Segments	2

Stock-Based Compensation Summar

Stock-Based Compensation Summary of Restricted Stock Transactions (Details) - Restricted Stock shares in Thousands	6 Months Ended
	Jan. 31, 2018$ / sharesshares
Share-based Compensation Arrangement by Share-based Payment Award
Non-vested restricted stock outstanding, beginning balance | shares	185
Granted, number of shares | shares	24
Vested, number of shares | shares	(28)
Forfeitures, number of shares | shares	(3)
Non-vested restricted stock outstanding, ending balance | shares	178
Non-vested restricted stock outstanding, weighted average grant date fair value, beginning balance | $ / shares	$ 30.96
Granted, weighted average grant date fair value | $ / shares	42.76
Vested, weighted average grant date fair value | $ / shares	29.88
Forfeitures, weighted average grant date fair value | $ / shares	32.74
Non-vested restricted stock outstanding, weighted average grant date fair value, ending balance | $ / shares	$ 32.70

Stock-Based Compensation Narrat

Stock-Based Compensation Narrative (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2018	Jan. 31, 2017	Jul. 31, 2017
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award
Options, Granted (shares)			0	0
Options, Outstanding, Number					0
Proceeds from Issuance of Shares under Incentive and Share-based Compensation Plans, Including Stock Options				$ 170,000
Employee Service Share-based Compensation, Tax Benefit from Exercise of Stock Options				80,000
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award
Granted, number of shares			24,000
2006 Plan
Share-based Compensation Arrangement by Share-based Payment Award
Number Authorized (shares)	937,500		937,500
2006 Plan | Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award
Award Vesting Period, Minimum (years)			2 years
Award Vesting Period, Maximum (years)			5 years
Granted, number of shares	0	18,000
Share-based Compensation Expense	$ 426,000	$ 346,000	$ 928,000	$ 777,000

Accumulated Other Comprehensi41

Accumulated Other Comprehensive (Loss) Income (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2018	Jan. 31, 2017
Accumulated Other Comprehensive Income
Accumulated Other Comprehensive (Loss) Income, Balance, beginning			$ (10,292)
Other comprehensive income before reclassifications, net of tax			70
Amounts reclassified from accumulated other comprehensive income, net of tax			418
Net current-period other comprehensive income, net of tax	$ 381	$ 372	488	$ 627
Accumulated Other Comprehensive (Loss) Income, Balance, ending	(9,804)		(9,804)
Pension and Postretirement Health Benefits
Accumulated Other Comprehensive Income
Accumulated Other Comprehensive (Loss) Income, Balance, beginning			(10,327)
Other comprehensive income before reclassifications, net of tax			0
Amounts reclassified from accumulated other comprehensive income, net of tax			418
Net current-period other comprehensive income, net of tax			418
Accumulated Other Comprehensive (Loss) Income, Balance, ending	(9,909)		(9,909)
Cumulative Translation Adjustment
Accumulated Other Comprehensive Income
Accumulated Other Comprehensive (Loss) Income, Balance, beginning			35
Other comprehensive income before reclassifications, net of tax			70
Amounts reclassified from accumulated other comprehensive income, net of tax			0
Net current-period other comprehensive income, net of tax			70
Accumulated Other Comprehensive (Loss) Income, Balance, ending	$ 105		$ 105

Accumulated Other Comprehensi42

Accumulated Other Comprehensive (Loss) Income Narrative (Details)	6 Months Ended
	Jan. 31, 2018USD ($)
Accumulated Other Comprehensive Income
Tax for reclassification adjustment from AOCI for pension and other postretirement benefits	$ 221,000

Income Taxes (Details)

Income Taxes (Details) - USD ($)	5 Months Ended	6 Months Ended	7 Months Ended	12 Months Ended
	Dec. 31, 2017	Jan. 31, 2018	Jul. 31, 2018	Jul. 31, 2019	Jul. 31, 2018
Income Tax
Provisional Charge Related To Cumulative Unrepatriated Foreign Earnings Due to 2017 Tax Act		$ 0
Federal Statutory Income Tax Rate	35.00%
Provisional Charge Related To Remeasurement Of Deferred Tax Assets Due to 2017 Tax Act		$ 5,091,000
Forecast
Income Tax
Federal Blended Statutory Income Tax Rate					26.90%
Federal Statutory Income Tax Rate			21.00%	21.00%

Related Party Transactions (Det

Related Party Transactions (Details) - Director [Member] - USD ($)	3 Months Ended		6 Months Ended
	Jan. 31, 2018	Jan. 31, 2017	Jan. 31, 2018	Jan. 31, 2017	Jul. 31, 2017
Related Party Transaction
Net sales to related party	$ 77,000	$ 100,000	$ 163,000	$ 178,000
Accounts receivable from related party	16,000		16,000		$ 0
Payments to related party	53,000	$ 54,000	116,000	$ 68,000
Accounts payable to related party	$ 13,000		$ 13,000		$ 19,000