Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | 23-May-14 | Sep. 30, 2013 | |
Document and Entity Information [Abstract] | ' | ' | ' |
Entity Registrant Name | 'AGILYSYS INC | ' | ' |
Entity Central Index Key | '0000078749 | ' | ' |
Current Fiscal Year End Date | '--03-31 | ' | ' |
Entity Filer Category | 'Accelerated Filer | ' | ' |
Document Type | '10-K | ' | ' |
Document Period End Date | 31-Mar-14 | ' | ' |
Document Fiscal Year Focus | '2014 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Amendment Flag | 'false | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 22,466,499 | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Public Float | ' | ' | $175,194,390 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $99,566 | $82,444 |
Accounts receivable, net of allowances of $1,101 and $721, respectively | 23,615 | 15,591 |
Inventories | 481 | 809 |
Prepaid expenses | 3,300 | 3,699 |
Other current assets | 2,892 | 688 |
Current assets — discontinued operations | 0 | 43,065 |
Total current assets | 129,854 | 146,296 |
Property and equipment, net | 12,251 | 13,791 |
Goodwill | 17,158 | 14,128 |
Intangible assets, net | 10,626 | 11,283 |
Capitalized software development, net | 17,221 | 5,579 |
Other non-current assets | 3,785 | 4,179 |
Non-current assets — discontinued operations | 0 | 2,242 |
Total assets | 190,895 | 197,498 |
Current liabilities: | ' | ' |
Accounts payable | 11,073 | 9,860 |
Deferred revenue | 22,795 | 19,320 |
Accrued liabilities | 14,232 | 12,838 |
Capital lease obligations, current | 43 | 58 |
Current liabilities — discontinued operations | 0 | 32,098 |
Total current liabilities | 48,143 | 74,174 |
Deferred income taxes, non-current | 3,422 | 3,727 |
Capital lease obligations, non-current | 292 | 28 |
Other non-current liabilities | 6,165 | 4,621 |
Non-current liabilities — discontinued operations | 0 | 1,092 |
Commitments and contingencies (see Note 13) | ' | ' |
Shareholders' equity: | ' | ' |
Common shares, without par value, at $0.30 stated value; 80,000,000 shares authorized; 31,606,831 shares issued; and 22,467,970 and 22,145,195 shares outstanding at March 31, 2014 and 2013, respectively | 9,482 | 9,482 |
Treasury shares, 9,138,861 and 9,460,916 at March 31, 2014 and 2013, respectively | -2,741 | -2,838 |
Capital in excess of stated value | -13,409 | -14,267 |
Retained earnings | 139,675 | 122,578 |
Accumulated other comprehensive loss | -134 | -1,099 |
Total shareholders' equity | 132,873 | 113,856 |
Total liabilities and shareholders' equity | $190,895 | $197,498 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Statement of Financial Position [Abstract] | ' | ' |
Accounts receivable, allowances | $1,101 | $721 |
Common stock, no par value | $0 | $0 |
Common stock, stated value | $0.30 | $0.30 |
Common stock, shares authorized | 80,000,000 | 80,000,000 |
Common stock, shares issued | 31,606,831 | 31,606,831 |
Common stock, shares outstanding | 22,467,970 | 22,145,915 |
Treasury shares | 9,138,861 | 9,460,916 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Net revenue: | ' | ' | ' |
Products | $34,629 | $31,030 | $23,694 |
Support, maintenance and subscription services | 53,169 | 49,110 | 45,405 |
Professional services | 13,463 | 13,868 | 12,952 |
Total net revenue | 101,261 | 94,008 | 82,051 |
Cost of goods sold: | ' | ' | ' |
Products, inclusive of developed technology amortization | 17,027 | 17,109 | 13,362 |
Support, maintenance and subscription services | 10,786 | 10,326 | 10,342 |
Professional services | 9,408 | 8,954 | 8,721 |
Total cost of goods sold | 37,221 | 36,389 | 32,425 |
Gross profit | 64,040 | 57,619 | 49,626 |
Gross profit margin | 63.20% | 61.30% | 60.50% |
Operating expenses: | ' | ' | ' |
Product development | 25,212 | 23,892 | 21,847 |
Sales and marketing | 14,059 | 13,350 | 13,857 |
General and administrative | 20,750 | 20,984 | 27,286 |
Depreciation of fixed assets | 2,074 | 2,137 | 3,963 |
Amortization of intangibles | 6,414 | 3,284 | 3,585 |
Asset impairments and related charges | 327 | 120 | 9,681 |
Legal settlements | 0 | 1,664 | 0 |
Restructuring, severance and other charges | 1,392 | 1,495 | 15,247 |
Operating loss | -6,188 | -9,307 | -45,840 |
Other (income) expenses: | ' | ' | ' |
Interest income | -123 | -13 | -103 |
Interest expense | 184 | 266 | 943 |
Other income, net | -863 | -228 | -6 |
Loss before income taxes | -5,386 | -9,332 | -46,674 |
Income tax benefit | -2,491 | -3,118 | -9,181 |
Loss from continuing operations | -2,895 | -6,214 | -37,493 |
Income from discontinued operations, net of taxes | 19,992 | 4,916 | 14,710 |
Net income (loss) | $17,097 | ($1,298) | ($22,783) |
Weighted average shares outstanding | ' | ' | ' |
Weighted average shares outstanding - basic and diluted | 22,135 | 21,880 | 22,432 |
Net (loss) income per share - basic and diluted: | ' | ' | ' |
Loss from continuing operations | ($0.13) | ($0.28) | ($1.67) |
Income from discontinued operations | $0.90 | $0.22 | $0.65 |
Net income (loss) per share | $0.77 | ($0.06) | ($1.02) |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Loss (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' |
Net income (loss) | $17,097 | ($1,298) | ($22,783) |
Other comprehensive income (loss), net of tax: | ' | ' | ' |
Unrealized foreign currency translation adjustments | 220 | -1,126 | 76 |
Reclassification of foreign currency translation adjustments included in net income (loss) | 745 | 0 | 0 |
Unrealized loss on sale of securities | 0 | -4 | -4 |
Total comprehensive income (loss) | $18,062 | ($2,428) | ($22,711) |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Operating activities | ' | ' | ' |
Net income (loss) | $17,097 | ($1,298) | ($22,783) |
Less: Income from discontinued operations | -19,992 | -4,916 | -14,710 |
Loss from continuing operations | -2,895 | -6,214 | -37,493 |
Adjustments to reconcile loss from continuing operations to net cash used in operating activities: | ' | ' | ' |
Restructuring, severance and other charges | 1,392 | 1,495 | 15,247 |
Payments for restructuring, severance and other charges | 1,741 | 6,673 | 5,896 |
Legal settlements | 0 | 1,664 | 0 |
Payments for legal settlements | -110 | 0 | 0 |
Asset impairments and related charges | 327 | 120 | 9,681 |
Depreciation | 2,074 | 2,137 | 3,963 |
Amortization | 6,726 | 4,089 | 5,807 |
Share-based compensation | 2,119 | 1,638 | 2,397 |
Deferred income taxes | -178 | -244 | -10 |
Change in cash surrender value of company owned life insurance policies | -600 | -107 | -371 |
Excess tax benefit from equity awards | 37 | 0 | 0 |
Changes in operating assets and liabilities: | ' | ' | ' |
Accounts receivable | -7,846 | -741 | -3,396 |
Inventories | 380 | 426 | -645 |
Prepaid expense | -498 | -801 | -207 |
Accounts payable | 1,073 | 1,595 | -1,700 |
Deferred revenue | 2,784 | -5,046 | 7,775 |
Accrued liabilities | 1,624 | -3,170 | -2,600 |
Income taxes receivable | -2,702 | -2,960 | -5,958 |
Other changes, net | -508 | -258 | 727 |
Net cash provided by (used in) operating activities from continuing operations | 1,384 | -13,050 | -12,679 |
Net cash (used in) provided by operating activities from discontinued operations | 1,311 | -2,345 | 9,019 |
Net cash provided by (used in) operating activities | 73 | -10,705 | -21,698 |
Proceeds from sale of business units | 35,846 | 0 | 55,840 |
Cash paid for acquisitions, net | -1,812 | 0 | 0 |
Proceeds from sale of marketable securities | 0 | 4,347 | 9,184 |
Capital expenditures | -4,023 | -2,532 | -2,231 |
Capitalized software development costs | -12,200 | -3,906 | -2,585 |
Additional (investments in) proceeds from corporate-owned life insurance policies | -87 | -108 | 235 |
Net cash provided by (used in) investing activities from continuing operations | 17,724 | -2,199 | 60,443 |
Net cash used in investing activities from discontinued operations | -155 | -854 | -104 |
Net cash provided by (used in) investing activities | 17,569 | -3,053 | 60,339 |
Financing activities | ' | ' | ' |
Principal payments under long-term obligations | -177 | -289 | -1,001 |
Exercise of employee stock options | 169 | 67 | 210 |
Repurchase of common shares to satisfy employee tax withholding and option price | -912 | -278 | -1,449 |
Excess tax benefit from equity awards | 37 | 0 | 0 |
Repurchase of common shares | 0 | 0 | -13,173 |
Net cash used in financing activities from continuing operations | -883 | -500 | -15,413 |
Net cash used in financing activities from discontinued operations | -80 | -377 | 0 |
Net cash used in financing activities | -963 | -877 | -15,413 |
Effect of exchange rate changes on cash | -44 | -21 | 5 |
Cash flows provided by (used in) continuing operations | 18,181 | -15,770 | 32,356 |
Cash flows (used in) provided by discontinued operations | -1,546 | 1,114 | -9,123 |
Net increase (decrease) in cash and cash equivalents | 16,635 | -14,656 | 23,233 |
Cash and cash equivalents at beginning of period | 82,931 | 97,587 | 74,354 |
Cash and cash equivalents at end of period | 99,566 | 82,931 | 97,587 |
Less cash presented in current assets of discontinued operations on balance sheet | 0 | 487 | 2,076 |
Cash and cash equivalents at end of period - continuing operations | $99,566 | $82,444 | $95,511 |
Consolidated_Statements_of_Sha
Consolidated Statements of Shareholders' Equity (USD $) | Total | Common stock [Member] | Treasury stock [Member] | Capital in excess of stated value [Member] | Retained earnings [Member] | Accumulated other comprehensive loss [Member] |
In Thousands, unless otherwise specified | ||||||
Beginning balance at Mar. 31, 2011 | $148,104 | $9,482 | ($2,575) | ($5,421) | $146,659 | ($41) |
Beginning balance (in shares) at Mar. 31, 2011 | ' | 31,607 | 8,584 | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' |
Purchase of treasury shares | 13,173 | ' | 481 | 12,692 | ' | ' |
Purchase of treasury shares (in shares) | ' | ' | -1,600 | ' | ' | ' |
Non-cash share based compensation expense | 2,368 | ' | ' | 2,368 | ' | ' |
Restricted shares issued | 1,089 | ' | 39 | 1,050 | ' | ' |
Restricted shares issued (in shares) | ' | ' | 130 | ' | ' | ' |
Shares issued upon exercise of stock options and SSARs | 210 | ' | 179 | 31 | ' | ' |
Shares issued upon exercise of stock options and SSARs (in shares) | ' | ' | 595 | ' | ' | ' |
Shares withheld for taxes upon exercise of stock options, SSARs or vesting of restricted shares | -1,449 | ' | -81 | -1,368 | ' | ' |
Shares withheld for taxes upon exercise of stock options, SSARs or vesting of restricted shares (in shares) | ' | ' | -272 | ' | ' | ' |
Net income (loss) | -22,783 | ' | ' | ' | -22,783 | ' |
Unrealized foreign currency translation adjustments | 76 | ' | ' | ' | ' | ' |
Reclassification of foreign currency translation adjustments included in net income (loss) | 0 | ' | ' | ' | ' | ' |
Unrealized translation adjustment | 76 | ' | ' | ' | ' | 76 |
Unrealized loss on securities | -4 | ' | ' | ' | ' | -4 |
Ending balance at Mar. 31, 2012 | 114,438 | 9,482 | -2,919 | -16,032 | 123,876 | 31 |
Ending balance (in shares) at Mar. 31, 2012 | ' | -31,607 | -9,731 | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' |
Non-cash share based compensation expense | 2,057 | ' | ' | 2,057 | ' | ' |
Restricted shares issued | 0 | ' | 61 | -61 | ' | ' |
Restricted shares issued (in shares) | ' | ' | 203 | ' | ' | ' |
Shares issued upon exercise of stock options and SSARs | 67 | ' | 32 | 35 | ' | ' |
Shares issued upon exercise of stock options and SSARs (in shares) | ' | ' | 108 | ' | ' | ' |
Shares withheld for taxes upon exercise of stock options, SSARs or vesting of restricted shares | -278 | ' | -12 | -266 | ' | ' |
Shares withheld for taxes upon exercise of stock options, SSARs or vesting of restricted shares (in shares) | ' | ' | -42 | ' | ' | ' |
Net income (loss) | -1,298 | ' | ' | ' | -1,298 | ' |
Unrealized foreign currency translation adjustments | -1,126 | ' | ' | ' | ' | ' |
Reclassification of foreign currency translation adjustments included in net income (loss) | 0 | ' | ' | ' | ' | ' |
Unrealized translation adjustment | -1,126 | ' | ' | ' | ' | -1,126 |
Unrealized loss on securities | -4 | ' | ' | ' | ' | -4 |
Ending balance at Mar. 31, 2013 | 113,856 | 9,482 | -2,838 | -14,267 | 122,578 | -1,099 |
Ending balance (in shares) at Mar. 31, 2013 | ' | -31,607 | -9,462 | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' |
Non-cash share based compensation expense | 1,931 | ' | ' | 1,931 | ' | ' |
Restricted shares issued | 0 | ' | 41 | -41 | ' | ' |
Restricted shares issued (in shares) | ' | ' | 138 | ' | ' | ' |
Shares issued upon exercise of stock options and SSARs | 171 | ' | 244 | -73 | ' | ' |
Shares issued upon exercise of stock options and SSARs (in shares) | ' | ' | 814 | ' | ' | ' |
Shares withheld for taxes upon exercise of stock options, SSARs or vesting of restricted shares | -1,184 | ' | -188 | -996 | ' | ' |
Adjustments to Additional Paid in Capital, Income Tax Benefit from Share-based Compensation | 37 | ' | ' | ' | ' | ' |
Shares withheld for taxes upon exercise of stock options, SSARs or vesting of restricted shares (in shares) | ' | ' | -629 | ' | ' | ' |
Net income (loss) | 17,097 | ' | ' | ' | 17,097 | ' |
Unrealized foreign currency translation adjustments | 220 | ' | ' | ' | ' | 220 |
Reclassification of foreign currency translation adjustments included in net income (loss) | -745 | ' | ' | ' | ' | -745 |
Ending balance at Mar. 31, 2014 | $132,873 | $9,482 | ($2,741) | ($13,409) | $139,675 | ($134) |
Ending balance (in shares) at Mar. 31, 2014 | ' | -31,607 | -9,139 | ' | ' | ' |
Nature_of_Operations
Nature of Operations | 12 Months Ended |
Mar. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Nature of Operations | ' |
Nature of Operations | |
We are a leading developer and marketer of proprietary enterprise software, services and solutions to the hospitality industry. We specialize in market-leading point-of-sale (POS), property management, inventory and procurement, workforce management and mobile and wireless solutions that are designed to streamline operations, improve efficiency and enhance the guest experience. Agilysys serves four major market sectors: Gaming, both corporate and tribal; Hotels, Resorts and Cruise; Foodservice Management; and Restaurants, Universities, Stadia and Healthcare. A significant portion of our consolidated revenue is derived from contract support, maintenance and subscription services. | |
Our principal executive offices are located at 425 Walnut Street, Suite 1800, Cincinnati, Ohio, 45202; and our corporate services are located at 1000 Windward Concourse, Suite 250, Alpharetta, Georgia, 30005. We operate extensively throughout North America, Europe and Asia, with additional sales and support offices in Singapore, Hong Kong and Malaysia. | |
On March 31, 2014, we completed the sale of our United Kingdom business entity (UK entity) to Verteda Limited (Verteda), a U.K. based company. In connection with the sale, we have entered into a multi-year distribution agreement, whereby Verteda will distribute certain Agilysys products within the U.K. We will continue to manage all property management system accounts as well as key global accounts in the EMEA market. The sale of our UK entity represented a disposal of a component of an entity. As such, the operating results of our UK entity have been reported as a component of discontinued operations in the Consolidated Statements of Operations for the periods presented. In addition, the assets and liabilities of the UK entity are classified as discontinued operations in our Consolidated Balance Sheets for the periods presented. | |
On July 1, 2013, we completed the sale of our Retail Solutions Group (RSG) business to Kyrus Solutions, Inc. (Kyrus), an affiliate of Clearlake Capital Group, L.P. In addition to the purchase agreement, we entered into a transition services agreement with Kyrus, under which we provided certain transitional administrative and support services to Kyrus through January 31, 2014. The sale of RSG represented a disposal of a component of an entity. As such, the operating results of RSG have been reported as a component of discontinued operations in the Consolidated Statements of Operations for the periods presented. In addition, the assets and liabilities of RSG are classified as discontinued operations in our Consolidated Balance Sheets for the periods presented. | |
On June 10, 2013, we acquired the assets of TimeManagement Corporation, a privately-owned Minneapolis-based provider of enterprise-wide software and service solutions that streamline workforce management environments for hospitality operators. | |
Following the divestiture of RSG in July 2013, Agilysys operates as one operating segment, which includes corporate services. | |
Reference herein to any particular year or quarter refers to periods within the fiscal year ended March 31. For example, fiscal 2014 refers to the fiscal year ended March 31, 2014. |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended |
Mar. 31, 2014 | |
Accounting Policies [Abstract] | ' |
Summary of Significant Accounting Policies | ' |
Summary of Significant Accounting Policies | |
Principles of consolidation. The consolidated financial statements include the accounts of Agilysys, Inc. and subsidiaries. Investments in affiliated companies are accounted for by the equity or cost method, as appropriate. All inter-company accounts have been eliminated. Unless otherwise indicated, amounts in Notes to Consolidated Financial Statements refer to continuing operations. | |
Use of estimates. Preparation of consolidated financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reported periods. Actual results could differ from those estimates. | |
Cash and cash equivalents. We consider all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. Other highly liquid investments considered cash equivalents with no established maturity date are fully redeemable on demand (without penalty) with settlement of principal and accrued interest on the following business day after instruction to redeem. Such investments are readily convertible to cash with no penalty and can include certificates of deposit, commercial paper, treasury bills, money market funds and other investments. | |
Allowance for doubtful accounts. We maintain allowances for doubtful accounts for estimated losses resulting from the inability or unwillingness of our customers to make required payments. These allowances are based on both recent trends of certain customers estimated to be a greater credit risk as well as historic trends of the entire customer pool. If the financial condition of our customers were to deteriorate, resulting in an impairment of their ability to make payments, additional allowances may be required. To mitigate this credit risk we perform periodic credit evaluations of our customers. | |
Inventories. Our inventories are comprised of finished goods. Inventories are stated at the lower of cost or market, net of related reserves. The cost of inventory is computed using a weighted-average method. Our inventory is monitored to ensure appropriate valuation. Adjustments of inventories to the lower of cost or market, if necessary, are based upon contractual provisions such as turnover and assumptions about future demand and market conditions. If assumptions about future demand change and/or actual market conditions are less favorable than those projected by management, additional adjustments to inventory valuations may be required. We provide a reserve for obsolescence, which is calculated based on several factors, including an analysis of historical sales of products and the age of the inventory. Actual amounts could be different from those estimated. | |
Goodwill. Goodwill represents the excess purchase price paid over the fair value of the net assets of acquired companies. Goodwill is subject to impairment testing at least annually, unless it is determined after a qualitative assessment that it is more likely than not that the fair value of the reporting unit is greater than its carrying amount. Goodwill is measured for impairment on an annual basis, or in interim periods if indicators of potential impairment exist. | |
For fiscal 2014 and 2013, we conducted a qualitative assessment (Step Zero Analysis) to determine whether it would be necessary to perform the two-step goodwill impairment test. It was determined based on the Step Zero Analysis that it is more likely than not that the fair value exceeded the carrying amount as of February 1, 2014. Additional information regarding our goodwill and impairment analyses is provided in Note 7, Goodwill and Intangible Assets. | |
Intangible assets. Purchased intangible assets with finite lives are primarily amortized using the straight-line method over the estimated economic lives of the assets. Purchased intangible assets relating to customer relationships are amortized using an accelerated or straight-line method, which reflects the period the asset is expected to contribute to the future cash flows. Our finite-lived intangible assets are being amortized over periods between two and eight years. We have an indefinite-lived intangible asset relating to purchased trade names. The indefinite-lived intangible asset is not amortized; rather, it is tested for impairment at least annually by comparing the carrying amount of the asset with the fair value. An impairment loss is recognized if the carrying amount is greater than fair value. The income approach using “the relief from royalty method” was used to value the trade names as of February 1, 2014, resulting in a fair value measurement that exceeded the carrying amount. | |
Customer relationships are amortized over estimated useful lives between two and seven years; non-competition agreements are amortized over estimated useful lives between two and eight years; developed technology is amortized over estimated useful lives between three and eight years; supplier relationships are amortized over estimated useful lives between two and eight years. Additional information regarding our intangible assets and impairment analyses is provided in Note 7, Goodwill and Intangible Assets. | |
Long-lived assets. Property and equipment are recorded at cost. Major renewals and improvements are capitalized. Minor replacements, maintenance, repairs, and reengineering costs are expensed as incurred. When assets are sold or otherwise disposed of, the cost and related accumulated depreciation are eliminated from the accounts and any resulting gain or loss is recognized. | |
Depreciation and amortization are provided in amounts sufficient to amortize the cost of the assets, including assets recorded under capital leases, which make up less than one percent of total assets, over their estimated useful lives using the straight-line method. The estimated useful lives for depreciation and amortization are as follows: buildings and building improvements - 7 to 30 years; furniture - 7 to 10 years; equipment - 3 to 10 years; software - 3 to 10 years; and leasehold improvements over the shorter of the economic life or the lease term. Internal use software costs are expensed or capitalized depending on the project stage. Amounts capitalized are amortized over the estimated useful lives of the software, ranging from 3 to 10 years, beginning with the project's completion. Capitalized project expenditures are not depreciated until the underlying project is completed. | |
We evaluate the recoverability of our long-lived assets whenever changes in circumstances or events may indicate that the carrying amounts may not be recoverable. An impairment loss is recognized in the event the carrying value of the assets exceeds the future undiscounted cash flows attributable to such assets. | |
Foreign currency translation. The financial statements of our foreign operations are translated into U.S. dollars for financial reporting purposes. The assets and liabilities of foreign operations whose functional currencies are not in U.S. dollars are translated at the period-end exchange rates, while revenue and expenses are translated at weighted-average exchange rates during the fiscal year. The cumulative translation effects are reflected as a component of “Accumulated other comprehensive loss” within shareholders' equity in the Consolidated Balance Sheets. Gains and losses on monetary transactions denominated in other than the functional currency of an operation are reflected within “Other (income) expenses, net” in the Consolidated Statements of Operations. Foreign currency gains and losses from changes in exchange rates have not been material to our consolidated operating results. | |
Revenue recognition. We derive revenue from the sale of products (i.e., server, storage, and point of sale hardware, and software), support, maintenance and subscription services and professional services. Revenue is recorded in the period in which the goods are delivered or services are rendered and when the following criteria are met: persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the sales price to the customer is fixed or determinable, and collection is reasonably assured. We reduce revenue for estimated discounts, sales incentives, estimated customer returns, and other allowances. Discounts are offered based on the volume of products and services purchased by customers. Shipping and handling fees billed to customers are recognized as revenue and the related costs are recognized in cost of goods sold. Revenue is recorded net of any applicable taxes collected and remitted to governmental agencies. | |
We frequently enter into multiple-element arrangements with customers including hardware, software, professional consulting services and maintenance support services. For arrangements involving multiple deliverables, when deliverables include software and non-software products and services, we evaluate and separate each deliverable to determine whether it represents a separate unit of accounting based on the following criteria: (a) the delivered item has value to the customer on a stand-alone basis; and (b) if the contract includes a general right of return relative to the delivered item, delivery or performance of the undelivered items is considered probable and substantially in our control. | |
Consideration is allocated to each unit of accounting based on the unit's relative selling prices. In such circumstances, we use a hierarchy to determine the selling price to be used for allocating revenue to each deliverable: (i) vendor-specific objective evidence of selling price (VSOE), (ii) third-party evidence of selling price (TPE), and (iii) best estimate of selling price (BESP). VSOE generally exists only when we sell the deliverable separately and is the price actually charged by us for that deliverable. VSOE is established for our software maintenance services and we use TPE or BESP to establish selling prices for our non-software related services. BESP is primarily used for elements that are not consistently priced within a narrow range or TPE is not available. We determine BESP for a deliverable by considering multiple factors including product class, geography, average discount, and management's historical pricing practices. Amounts allocated to the delivered hardware and software elements are recognized at the time of sale provided the other conditions for revenue recognition have been met. Amounts allocated to the undelivered maintenance and other services elements are recognized as the services are provided or on a straight-line basis over the service period. In certain instances, customer acceptance is required prior to the passage of title and risk of loss of the delivered products. In such cases, revenue is not recognized until the customer acceptance is obtained. Delivery and acceptance generally occur in the same reporting period. | |
In situations where our solutions contain software that is more than incidental, revenue related to the software and software-related elements is recognized in accordance with authoritative guidance on software revenue recognition. For the software and software-related elements of such transactions, revenue is allocated based on the relative fair value of each element, and fair value is determined by VSOE. If we cannot objectively determine the fair value of any undelivered element included in such multiple-element arrangements, we defer revenue until all elements are delivered and services have been performed, or until fair value can objectively be determined for any remaining undelivered elements. When the fair value of a delivered element has not been established, but fair value exists for the undelivered elements, we use the residual method to recognize revenue. Under the residual method, the fair value of the undelivered elements is deferred and the remaining portion of the arrangement fee is allocated to the delivered elements and is recognized as revenue. | |
Revenue recognition for complex contractual arrangements, especially those with multiple elements, requires a significant level of judgment and is based upon a review of specific contracts, past experience, the selling price of undelivered elements when sold separately, creditworthiness of customers, international laws and other factors. Changes in judgments about these factors could impact the timing and amount of revenue recognized between periods. | |
Revenue for hardware sales is recognized when the product is shipped to the customer and when obligations that affect the customer's final acceptance of the arrangement have been fulfilled. A majority of our hardware sales involves shipment directly from its suppliers to the end-user customers. In these transactions, we are responsible for negotiating price both with the supplier and the customer, payment to the supplier, establishing payment terms and product returns with the customer, and we bear the credit risk if the customer does not pay for the goods. As the principal contact with the customer, we recognize revenue and cost of goods sold when we are notified by the supplier that the product has been shipped. In certain limited instances, as shipping terms dictate, revenue is recognized upon receipt at the point of destination or upon installation at the customer site. | |
We offer proprietary software as well as remarketed software for sale to our customers. We offer our customers the right to license the software under a variety of models. Our customers can license our software under a perpetual model for an upfront fee or a subscription model. For subscription arrangements, we allow customers the right to use software, receive unspecified products as well as unspecified upgrades and enhancements and entitle the customer to receive hosting services for a specified term. The subscription revenue is generally recognized ratably over the term of the arrangement, typically three to five years. Revenue from subscription service arrangements is included in Support, maintenance and subscription services in the Consolidated Statements of Operations. A majority of our software sales do not require significant production, modification, or customization at the time of shipment (physically or electronically) to the customer. Substantially all of our software license arrangements do not include acceptance provisions. As such, revenue from both proprietary and remarketed software sales is typically recognized when the software has been shipped. For software delivered electronically, delivery is considered to have occurred when the customer either takes possession of the software via downloading or has been provided with the requisite codes that allow for immediate access to the software based on the U.S. Eastern time zone time stamp. | |
We also offer proprietary and third-party services to our customers. Proprietary services generally include: consulting, installation, integration and training. Many of our software arrangements include consulting services sold separately under consulting engagement contracts. When the arrangements qualify as service transactions, consulting revenue from these arrangements are accounted for separately from the software revenue. The significant factors considered in determining whether the revenue should be accounted for separately include the nature of the services (i.e., consideration of whether the services are essential to the functionality of the software), degree of risk, availability of services from other vendors, timing of payments, and the impact of milestones or other customer acceptance criteria on revenue realization. If there is significant uncertainty about the project completion or receipt of payment for consulting services, the revenue is deferred until the uncertainty is resolved. | |
For certain long-term proprietary service contracts with fixed or “not to exceed” fee arrangements, we estimate proportional performance using the hours incurred as a percentage of total estimated hours to complete the project consistent with the percentage-of-completion method of accounting. Accordingly, revenue for these contracts is recognized based on the proportion of the work performed on the contract. If there is no sufficient basis to measure progress toward completion, the revenue is recognized when final customer acceptance is received. Adjustments to contract price and estimated service hours are made periodically, and losses expected to be incurred on contracts in progress are charged to operations in the period such losses are determined. The aggregate of collections on uncompleted contracts in excess of related revenue is shown as a current liability | |
If an arrangement does not qualify for separate accounting of the software and consulting services, then the software revenue is recognized together with the consulting services using the percentage-of-completion or completed contract method of accounting. Contract accounting is applied to arrangements that include: milestones or customer-specific acceptance criteria that may affect the collection of revenue, significant modification or customization of the software, or provisions that tie the payment for the software to the performance of consulting services. | |
We also offer proprietary and third-party support to our customers. Support generally includes: support and maintenance of software and hardware products and subscription services. Revenue relating to proprietary support services is recognized evenly over the coverage period of the underlying agreement within support, maintenance and subscription revenue. In instances where we offer third-party support contracts to our customer, and the supplier is determined to be the primary obligor in the transaction, we report revenue at the time of the sale, only in the amount of the “commission” (equal to the selling price less the cost of sale) received rather than reporting revenue in the full amount of the selling price with separate reporting of the cost of sale. | |
Comprehensive (loss) income. Comprehensive (loss) income is the total of net (loss) income, as currently reported under GAAP, plus other comprehensive (loss) income. Other comprehensive (loss) income considers the effects of additional transactions and economic events that are not required to be recorded in determining net (loss) income, but rather are reported as a separate statement of comprehensive (loss) income. | |
Fair value measurements. We measure the fair value of financial assets and liabilities on a recurring or non-recurring basis. Financial assets and liabilities measured on a recurring basis are those that are adjusted to fair value each time a financial statement is prepared. Financial assets and liabilities measured on a non-recurring basis are those that are adjusted to fair value when a significant event occurs. In determining fair value of financial assets and liabilities, we use various valuation techniques. Additional information regarding fair value measurements is provided in Note 16, Fair Value Measurements. | |
Investments in corporate-owned life insurance policies and marketable securities. Agilysys invests in corporate-owned life insurance policies and has historically invested in marketable securities primarily to satisfy future obligations of our employee benefit plans, including a benefit equalization plan (“BEP”) and supplemental executive retirement plan (“SERP”). Certain of these corporate-owned life insurance policies were held in a Rabbi Trust and were classified within “Other non-current assets” in the Consolidated Balance Sheets. Our investment in corporate-owned life insurance policies were recorded at their cash surrender value, which approximates fair value, at the balance sheet date. All obligations related to our employee benefit plans, BEP and SERP, were fulfilled in April 2012 with funds held in the Rabbi Trust. | |
Certain of these corporate-owned life insurance policies are endorsement split-dollar life insurance arrangements. We entered into a non-cancelable separate agreement with each of the former executives covered by these arrangements whereby we must maintain the life insurance policy for the specified amount and split a portion of the policy benefits with the former executive's designated beneficiary. | |
Our investment in marketable equity securities were held within the Rabbi Trust and classified as available for sale. However, these investments were restricted by the terms of the Rabbi Trust agreement and could only be used to satisfy the benefit obligations of our nonqualified benefit plans or to satisfy the obligations of our general creditors under an insolvency. The Rabbi Trust was liquidated upon the funding of BEP and SERP in April 2012. | |
Additional information regarding the investments in corporate-owned life insurance policies and marketable securities is provided in Note 12, Employee Benefit Plans. | |
Income Taxes. Income tax expense includes U.S. and foreign income taxes and is based on reported income before income taxes. We recognize deferred tax assets and liabilities based on the differences between the financial statement carrying amounts and the tax basis of assets and liabilities. The deferred tax assets and liabilities are determined based on the enacted tax rates expected to apply in the periods in which the deferred tax assets or liabilities are anticipated to be settled or realized. | |
We regularly review our deferred tax assets for recoverability and establish a valuation allowance if it is more likely than not that some portion or all of a deferred tax asset will not be realized. The determination as to whether a deferred tax asset will be realized is made on a jurisdictional basis and is based on the evaluation of positive and negative evidence. This evidence includes historical taxable income, projected future taxable income, the expected timing of the reversal of existing temporary differences and the implementation of tax planning strategies. | |
We recognize the tax benefit from uncertain tax positions only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized from uncertain tax positions are measured at the largest amount of benefit that is greater than fifty percent likely of being realized upon ultimate settlement. No tax benefits are recognized for positions that do not meet this threshold. Interest related to uncertain tax positions is recognized as part of the provision for income taxes and is accrued beginning in the period that such interest would be applicable under relevant tax law until such time that the related tax benefits are recognized. Our income taxes are described further in Note 11, Income Taxes. | |
Changes to Prior Period Presentation. In the first quarter of fiscal 2014, as a result of increased visibility into our services organization, certain costs previously classified in product development expenses were recorded in cost of goods sold to more properly reflect the nature of these expenses. The portion of these expenses that was erroneously recorded in previous periods was immaterial to the overall financial statements. Prior period presentation has been modified to conform to the current presentation. | |
Correction of Error. During the first quarter of fiscal 2013, we recorded out-of-period adjustments to increase revenues, restructuring, severance and other charges and asset impairments and related charges by $0.3 million, $0.7 million and $0.2 million, respectively. The net impact of the adjustments increased our operating loss by $0.6 million, or $(0.03) per share, and represents a correction of error. In fiscal 2012, we erroneously omitted certain revenue transactions, the costs associated with certain terminated individuals and certain third party development costs for our previously impaired developed technology. Management performed an evaluation under Staff Accounting Bulletin No. 108 and concluded the effect of the adjustment was immaterial to prior year’s financial statements as well as the full-year fiscal 2013 financial statements. | |
Capitalized Software Development Costs. The capitalization of software development cost for external use begins when a product’s technological feasibility has been established. Capitalization ends when the resulting product is available for general market release. Amortization of the capitalized software is classified within products cost of goods sold in the Consolidated Statements of Operations. For each capitalized software product, the annual amortization is equal to the greater of: (i) the amount computed using the ratio that the software product’s current fiscal year gross revenue bears to the total current fiscal year and anticipated future gross revenues for that product or (ii) the amount computed based on straight-line method over the remaining estimated economic life of the product, which is a range between three and eight years. The amount by which unamortized software costs exceeds the net realizable value, if any, is recognized as a charge to income in the period it is determined. We capitalized approximately $13.7 million, $4.9 million and $2.5 million during fiscal 2014, 2013 and 2012, respectively. Amortization of internally developed capitalized software, including Guest 360 in fiscal 2012 was $0.2 million, $0.1 million and $0.7 million during fiscal 2014, 2013 and 2012, respectively. | |
Adopted and Recently Issued Accounting Pronouncements. | |
In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers, which converges the FASB and the International Accounting Standards Board standard on revenue recognition. Areas of revenue recognition that will be affected include, but are not limited to, transfer of control, variable consideration, allocation of transfer pricing, licenses, time value of money, contract costs and disclosures. This is effective for the fiscal years and interim reporting periods beginning after December 15, 2016. We are currently evaluating the impact that the adoption of ASU 2014-09 will have on our consolidated financial statements or related disclosures. | |
In April 2014, FASB issued ASU No. 2014-08, Presentation of Financial Statements and Property, Plant and Equipment: Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity, which requires only disposals representing a strategic shift in operations that have a major effect on operations and financial results to be presented as discontinued operations. The guidance also requires expanded financial disclosures about discontinued operations and significant disposals that do not qualify as discontinued operations. This is effective for the fiscal years and interim reporting periods beginning after December 15, 2014. We do not expect the adoption of this guidance to have a material impact on our consolidated financial statements or related disclosures. | |
In July 2013, FASB issued ASU No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. ASU 2013-11 clarifies guidance and eliminates diversity in practice on the presentation of unrecognized tax benefits when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists at the reporting date. This new guidance is effective on a prospective basis for fiscal years and interim reporting periods within those years, beginning after December 15, 2013. We are currently evaluating the impact that the adoption of ASU 2013-11 will have our consolidated financial statements or related disclosures. | |
In March 2013, FASB issued ASU No. 2013-05, Foreign Currency Matters: Parent's Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity, an amendment which allows an entity to release cumulative translation adjustment into net income when a parent either sells a part or all of its investment in a foreign entity or no longer holds a controlling financial interest in a subsidiary or group of assets that is a nonprofit activity or a business within a foreign entity. This is effective for fiscal years and interim reporting periods beginning after December 15, 2013, with early adoption permitted. We do not expect the adoption of this guidance to have a material impact on our consolidated financial statements or related disclosures. | |
In February 2013, the FASB issued ASU No. 2013-02, Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income, which amends certain provisions in ASC 220 Comprehensive Income. These provisions require the disclosure of significant amounts that are reclassified out of other comprehensive income into net income in its entirety during the reporting period. These provisions are effective for fiscal and interim periods beginning after December 15, 2012. We adopted this guidance as of April 1, 2013, and it did not have a material impact on our consolidated financial statements or related disclosures. | |
In July 2012, the FASB issued ASU No. 2012-02, Intangibles-Goodwill and Other-Testing Indefinite-Lived Intangible Assets for Impairment, to allow entities to use a qualitative approach to test indefinite-lived intangible assets for impairment. ASU 2012-02 permits an entity to first perform a qualitative assessment to determine whether it is more likely than not that the fair value of an indefinite-lived intangible asset is less than its carrying value. If it is concluded that this is the case, it is then necessary to perform the currently prescribed quantitative impairment test by comparing the fair value of the indefinite-lived intangible asset with its carrying value. Otherwise, the quantitative impairment test is not required. This guidance is effective for fiscal years beginning after September 15, 2012 and early adoption is permitted. We adopted this guidance as of April 1, 2013, and it did not have a material impact on our consolidated financial statements or related disclosures. | |
Management continually evaluates the potential impact, if any, of all recent accounting pronouncements on our consolidated financial statements or related disclosures and, if significant, makes the appropriate disclosures required by such new accounting pronouncements. |
Acquisitions_Notes
Acquisitions (Notes) | 12 Months Ended | |||||
Mar. 31, 2014 | ||||||
Business Combinations [Abstract] | ' | |||||
Business Combination Disclosure [Text Block] | ' | |||||
Acquisitions | ||||||
On June 10, 2013, Agilysys purchased certain assets and assumed certain liabilities of TimeManagement Corporation (TMC), a privately-owned Minneapolis-based technology provider with solutions that streamline workforce management environments for hospitality operators. This technology based acquisition is consistent with the core value we provide to the industry and integrates with our point-of-sale, inventory and procurement systems, including InfoGenesis™ point of sale system and Eatec® inventory and procurement solution. The purchase consideration consisted of $1.8 million in cash paid and $1.8 million of contingent consideration. The fair value of the contingent consideration was estimated to be $1.8 million at the date of acquisition and is expected to be paid out over the next five years and payments could vary based on actual revenue during that time. The fair value of the contingent consideration was determined by calculating the probability-weighted earn-out payments based on the assessment of the likelihood that certain milestones would be achieved. The acquisition was funded with cash on hand. Management concluded that this acquisition was not a material acquisition under the provisions of ASC 805, Business Combinations. The operations of the purchased business have been included in our Consolidated Financial Statements from the date of acquisition and did not have a material impact on our Consolidated Financial Statements or related disclosures. | ||||||
The following is a summary of the estimated fair values of the assets acquired and liabilities assumed from the acquisition: | ||||||
(In thousands) | ||||||
Current assets | $ | 327 | ||||
Property and equipment | 88 | |||||
Goodwill | 3,444 | |||||
Developed technology | 605 | |||||
Total assets acquired | 4,464 | |||||
Total liabilities assumed (all current) | 914 | |||||
Net assets acquired | $ | 3,550 | ||||
The goodwill of approximately $3.4 million arising from the acquisition consists largely of synergies and economies of scale expected from combining the operations of Agilysys and TMC. The goodwill from this acquisition is deductible for tax purposes over a period of fifteen years. | ||||||
The following is a summary of the intangible asset acquired and the weighted-average useful life over which it will be amortized. | ||||||
Weighted-average | ||||||
Purchased assets | useful life | |||||
Developed technology | $ | 605 | 5 years | |||
Discontinued_Operations
Discontinued Operations | 12 Months Ended | |||||||||||
Mar. 31, 2014 | ||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | |||||||||||
Discontinued Operations | ' | |||||||||||
Discontinued Operations | ||||||||||||
UK Entity – Fiscal 2014 | ||||||||||||
In March 2014, we completed the sale of our UK entity to Verteda Limited (Verteda), a U.K. based company, for total consideration of approximately $0.6 million, comprised of $0.7 million in cash and a receivable due to Agilysys from Verteda of $0.8 million, net of cash on hand of $0.9 million. In connection with the sale, we have entered into a multi-year distribution agreement whereby Verteda will distribute certain Agilysys products within the U.K. We will continue to manage all property management system accounts as well as key global accounts in the EMEA market. The sale of our UK entity represented a disposal of a component of an entity. As such, the operating results of the UK entity have been reported as a component of discontinued operations in the Consolidated Statements of Operations for the periods presented. In addition, the assets and liabilities of the UK entity are classified as discontinued operations in our Consolidated Balance Sheets for the periods presented. | ||||||||||||
RSG – Fiscal 2014 | ||||||||||||
In July 2013, we completed the sale of our RSG business to Kyrus Solutions, Inc. (Kyrus), an affiliate of Clearlake Capital Group, L.P., for total consideration of approximately $37.6 million in cash, including a working capital adjustment of $3.1 million. Upon the close of the transaction, the aggregate purchase price was reduced by fees of approximately $1.6 million for transaction related costs, resulting in net proceeds received of approximately $36.0 million. In addition to the purchase agreement, we entered into a transition services agreement with Kyrus, under which we provided certain transitional administrative and support services to Kyrus through January 31, 2014. The sale of RSG represented a disposal of a component of an entity. As such, the operating results of RSG have been reported as a component of discontinued operations in the Consolidated Statements of Operations for the periods presented. | ||||||||||||
TSG – Fiscal 2012 | ||||||||||||
In 2011, we sold our TSG business for an aggregate purchase price of $64.0 million in cash to OnX Enterprise Solutions Limited and its subsidiary OnX Acquisition LLC (together, “OnX”), a leading IT solutions provider based in Toronto, Canada. In addition to the purchase agreement, we entered into a transition services agreement with OnX, under which we provided certain transitional administrative and supportive services to OnX through January 31, 2012. In July 2011, our shareholders approved the sale and the transaction closed on August 1, 2011, the date on which certain other contingencies specified in the sale agreement were satisfied. The sale of TSG represented a disposal of a component of an entity. As such, the operating results of TSG have been reported as a component of discontinued operations in the Consolidated Statements of Operations for the periods presented. | ||||||||||||
Components of Results of Discontinued Operations | ||||||||||||
For fiscal 2014, 2013 and 2012, the income from discontinued operations was comprised of the following: | ||||||||||||
Year ended March 31, | ||||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||||
Discontinued operations: | ||||||||||||
Net revenue | $ | 28,950 | $ | 143,261 | $ | 251,484 | ||||||
Income from operations | 249 | $ | 8,196 | $ | 3,056 | |||||||
Other expense, net | (266 | ) | (447 | ) | (410 | ) | ||||||
Gain on sale | 21,933 | — | 19,486 | |||||||||
Income on sale | 21,916 | 7,749 | 22,132 | |||||||||
Income tax expense | 1,924 | 2,833 | 7,422 | |||||||||
Income from discontinued operations | $ | 19,992 | $ | 4,916 | $ | 14,710 | ||||||
The gain on sale included in "Income from discontinued operations" in fiscal 2014 includes a reclassification of foreign currency translation adjustments of $0.7 million, net of taxes as a result of the sale of the UK entity. |
Restructuring_Charges
Restructuring Charges | 12 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Restructuring Charges [Abstract] | ' | |||||||||||||||
Restructuring Charges | ' | |||||||||||||||
Restructuring Charges | ||||||||||||||||
We recognize restructuring charges when a plan that materially changes the scope of our business or the manner in which that business is conducted is adopted and communicated to the impacted parties, and the expenses have been incurred or are reasonably estimable. In addition, we assess the property and equipment associated with the related facilities for impairment. The remaining useful lives of property and equipment associated with the related operations are re-evaluated based on the respective restructuring plan, resulting in the acceleration of depreciation and amortization of certain assets. | ||||||||||||||||
Fiscal 2014 Restructuring Activity | ||||||||||||||||
Q1 - In the first quarter of fiscal 2014, we announced restructuring actions to better align corporate functions and to reduce operating costs, following the sale of RSG. These restructuring activities were completed in fiscal 2014. We recorded $0.7 million in restructuring charges during fiscal 2014, comprised of severance and other employee related benefits. As of March 31, 2014, there was no further liability for the Q1 fiscal 2014 restructuring activity. | ||||||||||||||||
Q4 - In the fourth quarter of fiscal 2014, we initiated a restructuring plan to maximize sales effectiveness and more closely align sales and marketing efforts for targeted vertical growth, new product launches, and marketing alliances, and to shift development resources to the next generation products. We recorded approximately $0.6 million in restructuring charges during fiscal 2014, comprised of severance and other employee related benefits. As of March 31, 2014, we had a remaining liability of approximately $0.5 million recorded for the Q4 fiscal 2014 restructuring activity. | ||||||||||||||||
Fiscal 2012 Restructuring Activity | ||||||||||||||||
In the first quarter of fiscal 2012, we announced restructuring actions, including the relocation of our corporate services from Solon, Ohio to Alpharetta, Georgia, designed to better align those services with our operating units and reduce costs following the sale of TSG. These restructuring actions were mostly completed by March 31, 2012 and impacted approximately 130 employees. To date, we have recorded $12.1 million in restructuring charges. These charges were primarily comprised of severance and related benefits. As of March 31, 2014, there was no further liability for fiscal 2012 restructuring activity. | ||||||||||||||||
Fiscal 2009 Restructuring Activity | ||||||||||||||||
During fiscal 2009, we took steps to realign our cost and management structure. Since 2009, as previously disclosed, we have incurred charges totaling approximately $19.0 million related to the fiscal 2009 restructuring activity of which $32,000 were recorded in fiscal 2014, related to the 2009 restructuring activity. These charges were comprised of facilities expenses. As of March 31, 2014, there was no further liability for fiscal 2009 restructuring activity. | ||||||||||||||||
Following is a reconciliation of the beginning and ending balances of the restructuring liability: | ||||||||||||||||
Balance at | Balance at | |||||||||||||||
March 31, | March 31, | |||||||||||||||
(In thousands) | 2013 | Provision | Payments | 2014 | ||||||||||||
Fiscal 2014 Restructuring Plans: | ||||||||||||||||
Severance and employment costs | $ | — | $ | 1,257 | $ | (723 | ) | $ | 534 | |||||||
Fiscal 2012 Restructuring Plan: | ||||||||||||||||
Severance and employment costs | 348 | — | (348 | ) | — | |||||||||||
Fiscal 2009 Restructuring Plan: | ||||||||||||||||
Facilities costs | 236 | 32 | (268 | ) | — | |||||||||||
Total restructuring costs | $ | 584 | $ | 1,289 | $ | (1,339 | ) | $ | 534 | |||||||
Balance at | Balance at | |||||||||||||||
March 31, | March 31, | |||||||||||||||
(In thousands) | 2012 | Provision | Payments | 2013 | ||||||||||||
Fiscal 2012 Restructuring Plan: | ||||||||||||||||
Severance and employment costs | 5,257 | 1,146 | (6,055 | ) | 348 | |||||||||||
Facilities costs | 297 | (57 | ) | (240 | ) | — | ||||||||||
Fiscal 2009 Restructuring Plan: | ||||||||||||||||
Facilities costs | 495 | (2 | ) | (257 | ) | 236 | ||||||||||
Total restructuring costs | 6,049 | 1,087 | (6,552 | ) | 584 | |||||||||||
Balance at | Balance at | |||||||||||||||
March 31, | Payments and | March 31, | ||||||||||||||
(In thousands) | 2011 | Provision | Settlements | 2012 | ||||||||||||
Fiscal 2012 Restructuring Plan: | ||||||||||||||||
Severance and employment costs | $ | — | $ | 7,091 | $ | (1,834 | ) | $ | 5,257 | |||||||
Facilities costs | — | 3,223 | (2,926 | ) | 297 | |||||||||||
Fiscal 2009 Restructuring Plan: | ||||||||||||||||
Severance and employment costs | 289 | 308 | (597 | ) | — | |||||||||||
Facilities costs | 444 | 235 | (184 | ) | 495 | |||||||||||
Total restructuring costs | $ | 733 | $ | 10,857 | $ | (5,541 | ) | $ | 6,049 | |||||||
The remaining severance and other employment costs of approximately $0.5 million will be paid in fiscal 2015. |
Property_and_Equipment_Net
Property and Equipment, Net | 12 Months Ended | ||||||
Mar. 31, 2014 | |||||||
Property, Plant and Equipment [Abstract] | ' | ||||||
Property and Equipment, Net | ' | ||||||
Property and Equipment, Net | |||||||
Property and equipment at March 31, 2014 and 2013 is as follows: | |||||||
Year ended March 31, | |||||||
(In thousands) | 2014 | 2013 | |||||
Furniture and equipment | $ | 8,849 | $ | 9,173 | |||
Software | 16,982 | 16,349 | |||||
Leasehold improvements | 4,836 | 4,522 | |||||
Project expenditures not yet in use | 2,749 | 1,379 | |||||
33,416 | 31,423 | ||||||
Accumulated depreciation and amortization | (21,165 | ) | (17,632 | ) | |||
Property and equipment, net | $ | 12,251 | $ | 13,791 | |||
Total depreciation expense on property and equipment was $2.1 million during fiscal 2014and 2013, respectively, and $8.4 million during fiscal 2012. In fiscal 2012, we incurred accelerated depreciation expense of $4.4 million of property and equipment that was due to the relocation of our previous corporate services in Solon, Ohio to Alpharetta, Georgia. | |||||||
Total amortization expense on capitalized internal-use software was $5.3 million, $2.1 million and $2.4 million during fiscal 2014, 2013, and 2012, respectively. In fiscal 2014, we initiated an internal enterprise resource planning (ERP) system replacement project and determined that amortization for our existing ERP system should be accelerated. We recorded approximately $3.2 million in fiscal 2014 of additional amortization in connection with this acceleration. The existing ERP system will be fully amortized as of June 30, 2014. | |||||||
During the third quarter of fiscal 2014, in connection with the ERP system replacement project, we determined that certain internal use developed software would not be continued. As a result, we impaired the entire asset and $0.3 million was recorded as an impairment charge. | |||||||
Assets under capital leases are included in property and equipment categories above. Total assets under capital leases at March 31, 2014 and 2013 are as follows: | |||||||
Year ended March 31, | |||||||
(In thousands) | 2014 | 2013 | |||||
Capital leases | $ | 817 | $ | 983 | |||
Less accumulated depreciation | (692 | ) | (983 | ) | |||
Assets under capital lease, net | $ | 125 | $ | — | |||
Goodwill_and_Intangible_Assets
Goodwill and Intangible Assets | 12 Months Ended | |||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||||||||||
Goodwill and Intangible Assets | ' | |||||||||||||||||||
Goodwill, Intangible Assets and Software Development Costs | ||||||||||||||||||||
Agilysys allocates the cost of its acquisitions to the assets acquired and liabilities assumed based on their estimated fair values. The excess of the cost over the fair value of the identified net assets acquired is recorded as goodwill. | ||||||||||||||||||||
Goodwill | ||||||||||||||||||||
Agilysys tests goodwill for impairment at the reporting unit level upon identification of impairment indicators, or at least annually. A reporting unit is the operating segment or one level below the operating segment (depending on whether certain criteria are met). Goodwill was allocated to our reporting units that are anticipated to benefit from the synergies of the business combinations generating the underlying goodwill. Agilysys has one operating segment. | ||||||||||||||||||||
We conducted our annual qualitative assessment (Step Zero Analysis) test on February 1, 2014 and 2013 to determine whether it would be necessary to perform the two-step goodwill impairment test. It was determined based on the Step Zero Analysis that it is more likely than not that the fair value of the operations exceeded its carrying amount. | ||||||||||||||||||||
The changes in the carrying amount of goodwill for the years ended March 31, 2014 and 2013 are as follows: | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
Balance at March 31, 2012 | $ | 135,285 | ||||||||||||||||||
Accumulated impairment losses as of March 31, 2012 | (120,087 | ) | ||||||||||||||||||
15,198 | ||||||||||||||||||||
Impact of foreign currency translation | (1,070 | ) | ||||||||||||||||||
Balance at March 31, 2013 | $ | 14,128 | ||||||||||||||||||
Acquisitions | 3,444 | |||||||||||||||||||
Impact of foreign currency translation | 196 | |||||||||||||||||||
Allocation of goodwill to UK entity | (610 | ) | ||||||||||||||||||
Balance at March 31, 2014 | $ | 17,158 | ||||||||||||||||||
Intangible Assets and Software Development Costs | ||||||||||||||||||||
The following table summarizes our intangible assets at March 31, 2014, and 2013: | ||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Gross | Net | Gross | Net | |||||||||||||||||
carrying | Accumulated | carrying | carrying | Accumulated | carrying | |||||||||||||||
(In thousands) | amount | amortization | amount | amount | amortization | amount | ||||||||||||||
Amortized intangible assets: | ||||||||||||||||||||
Customer relationships | $ | 10,775 | $ | (10,080 | ) | $ | 695 | $ | 10,775 | $ | (9,179 | ) | $ | 1,596 | ||||||
Non-competition agreements | 2,700 | (2,473 | ) | 227 | 2,700 | (2,213 | ) | 487 | ||||||||||||
Developed technology | 10,660 | (10,156 | ) | 504 | 10,055 | (10,055 | ) | — | ||||||||||||
Patented technology | 80 | (80 | ) | — | 80 | (80 | ) | — | ||||||||||||
24,215 | (22,789 | ) | 1,426 | 23,610 | (21,527 | ) | 2,083 | |||||||||||||
Unamortized intangible assets: | ||||||||||||||||||||
Trade names | 10,100 | N/A | 10,100 | 10,100 | N/A | 10,100 | ||||||||||||||
Accumulated impairment | (900 | ) | N/A | (900 | ) | (900 | ) | N/A | (900 | ) | ||||||||||
9,200 | N/A | 9,200 | 9,200 | N/A | 9,200 | |||||||||||||||
Total intangible assets | $ | 33,415 | $ | (22,789 | ) | $ | 10,626 | $ | 32,810 | $ | (21,527 | ) | $ | 11,283 | ||||||
Software development costs | $ | 14,587 | $ | (270 | ) | $ | 14,317 | $ | 9,493 | $ | — | $ | 9,493 | |||||||
Project expenditures not yet in use | 12,397 | — | 12,397 | 5,579 | — | 5,579 | ||||||||||||||
Accumulated impairment | (9,493 | ) | N/A | (9,493 | ) | (9,493 | ) | N/A | (9,493 | ) | ||||||||||
Total software development costs | $ | 17,491 | $ | (270 | ) | $ | 17,221 | $ | 5,579 | $ | — | $ | 5,579 | |||||||
During the fourth quarter of 2012, it was determined that Guest 360™, a property management solution system, would no longer be offered to our customers. As a result, we impaired the entire remaining assets, $8.1 million of intangibles and $0.5 million of fixed assets, as well as the known costs associated with a transition plan for all of the existing customers off of this platform, of $1.1 million. In fiscal 2013, we recorded in an additional $0.1 million related to the costs associated with this asset impairment. These charges were classified within “Asset impairments and related charges” in the Consolidated Statements of Operations. | ||||||||||||||||||||
The following table summarizes our remaining estimated amortization expense relating to in service intangible assets. | ||||||||||||||||||||
Estimated | ||||||||||||||||||||
Amortization | ||||||||||||||||||||
(In thousands) | Expense | |||||||||||||||||||
Fiscal year ending March 31, | ||||||||||||||||||||
2015 | $ | 2,066 | ||||||||||||||||||
2016 | 1,140 | |||||||||||||||||||
2017 | 1,140 | |||||||||||||||||||
2018 | 1,140 | |||||||||||||||||||
2019 | 764 | |||||||||||||||||||
Total | $ | 6,250 | ||||||||||||||||||
Amortization expense relating to intangible assets was $1.2 million for the fiscal years ended March 31, 2014, 2013 and 2012. Amortization expense relating to developed technology software intangible assets, including Guest 360™ in fiscal 2012, for the fiscal years ended March 31, 2014, 2013 and 2012 was $0.3 million, $0.8 million and $1.7 million, respectively. Amortization expense for acquired and internally developed intangibles that are related to revenue generating products is included in Products cost of goods sold. | ||||||||||||||||||||
Capitalized software development costs that are internally developed are carried on our balance sheet at net realizable value, net of accumulated amortization. We capitalized approximately $13.7 million, $4.9 million and $2.5 million during fiscal 2014, 2013 and 2012, respectively. |
Financing_Arrangements
Financing Arrangements | 12 Months Ended | ||||||
Mar. 31, 2014 | |||||||
Debt Disclosure [Abstract] | ' | ||||||
Financing Arrangements | ' | ||||||
Financing Arrangements | |||||||
The following is a summary of long-term obligations at March 31, 2014, and 2013: | |||||||
(In thousands) | 2014 | 2013 | |||||
Capital lease obligations | $ | 335 | $ | 86 | |||
Less: current maturities | (43 | ) | (58 | ) | |||
Long -term capital lease obligations | $ | 292 | $ | 28 | |||
Capital Leases | |||||||
Agilysys leases certain equipment under capital leases expiring in various years through fiscal 2018. The assets and liabilities under capital leases are recorded at the lower of the present value of the minimum lease payments or the fair value of the asset. The assets are depreciated over the shorter of their related lease terms or their estimated productive lives. Assets recorded under capital leases were $0.8 million and $1.0 million, as of March 31, 2014 and 2013, respectively. Accumulated depreciation related to assets recorded under capital leases was $0.7 million and $1.0 million as of March 31, 2014 and 2013, respectively. Depreciation of assets under capital leases is included in depreciation expense. | |||||||
Minimum future lease payments under capital leases as of March 31, 2014, are as follows: | |||||||
(In thousands) | Amount | ||||||
Fiscal year ending March 31, | |||||||
2015 | $ | 49 | |||||
2016 | 148 | ||||||
2017 | 138 | ||||||
2018 | 19 | ||||||
Total minimum lease payments | $ | 354 | |||||
Less: amount representing interest | (19 | ) | |||||
Present value of minimum lease payments | $ | 335 | |||||
Interest rates on capitalized leases vary from 3.3% to 26.7% and are imputed based on the lower of our incremental borrowing rate at the inception of each lease or the lessor's implicit rate of return. | |||||||
Revolving Credit Agreement | |||||||
On May 5, 2009, Agilysys executed a Loan and Security Agreement (the “Credit Facility”) with Bank of America, N.A., as agent for the lenders from time to time party thereto, which replaced a previous credit facility that was terminated on January 20, 2009. In July 2011, we terminated the Credit Facility in conjunction with the sale of TSG. As a result of the proceeds we received from the sale of TSG, we determined that we no longer required the liquidity provided by the Credit Facility. In addition, as a result of the termination of the Credit Facility, we expensed approximately $0.4 million in unamortized deferred financing fees that related to the Credit Facility in fiscal 2012. |
Supplemental_Disclosures_of_Ca
Supplemental Disclosures of Cash Flow Information | 12 Months Ended | ||||||
Mar. 31, 2014 | |||||||
Supplemental Cash Flow Elements [Abstract] | ' | ||||||
Supplemental Disclosures of Cash Flow Information | ' | ||||||
Supplemental Disclosures of Cash Flow Information | |||||||
Additional information related to the Consolidated Statements of Cash Flows is as follows: | |||||||
Year ended March 31, | |||||||
(In thousands) | 2014 | 2013 | 2012 | ||||
Cash payments for interest | 110 | 252 | 841 | ||||
Cash payments (refunds) from income tax, net | 485 | 9 | (1,675 | ) | |||
Acquisition of property and equipment under lease obligations | 410 | 41 | 664 | ||||
Asset retirement obligation | — | — | 494 | ||||
Additional_Balance_Sheet_Infor
Additional Balance Sheet Information | 12 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Balance Sheet Related Disclosures [Abstract] | ' | |||||||
Additional Balance Sheet Information | ' | |||||||
Additional Balance Sheet Information | ||||||||
Additional information related to the Consolidated Balance Sheets is as follows: | ||||||||
Year ended March 31, | ||||||||
(In thousands) | 2014 | 2013 | ||||||
Accrued liabilities: | ||||||||
Salaries, wages, and related benefits | $ | 8,308 | $ | 6,777 | ||||
Other taxes payable | 1,122 | 1,035 | ||||||
Accrued legal settlements | 1,630 | 1,664 | ||||||
Restructuring liabilities | 534 | 584 | ||||||
Professional fees | 674 | 678 | ||||||
Software license fees | 500 | — | ||||||
Deferred rent | 477 | 362 | ||||||
Contingent consideration | 127 | — | ||||||
Income taxes payable | — | 722 | ||||||
Other | 860 | 1,016 | ||||||
Total | $ | 14,232 | $ | 12,838 | ||||
Other non-current liabilities: | ||||||||
Income taxes payable/uncertain tax positions | $ | 2,440 | $ | 2,469 | ||||
Deferred rent | 1,755 | 1,957 | ||||||
Contingent consideration | 1,612 | — | ||||||
Other | 358 | 195 | ||||||
Total | $ | 6,165 | $ | 4,621 | ||||
Income_Taxes
Income Taxes | 12 Months Ended | |||||||||||
Mar. 31, 2014 | ||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||
Income Taxes | ' | |||||||||||
Income Taxes | ||||||||||||
For the year ended March 31, income from continuing operations before income taxes consisted of the following: | ||||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||||
Loss before income taxes | ||||||||||||
United States | $ | (5,475 | ) | $ | (9,594 | ) | $ | (46,728 | ) | |||
Foreign | 89 | 262 | 54 | |||||||||
Total loss from continuing operations before income taxes | $ | (5,386 | ) | $ | (9,332 | ) | $ | (46,674 | ) | |||
For the year ended March 31, income tax (benefit) expense consisted of the following: | ||||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||||
Income tax (benefit) expense | ||||||||||||
Current: | ||||||||||||
Federal | $ | (2,206 | ) | $ | (3,002 | ) | $ | (9,208 | ) | |||
State and local | (161 | ) | 28 | 31 | ||||||||
Foreign | 55 | 100 | 5 | |||||||||
Deferred: | ||||||||||||
Federal | (161 | ) | — | — | ||||||||
State and local | (20 | ) | (252 | ) | — | |||||||
Foreign | 2 | 8 | (9 | ) | ||||||||
Total income tax benefit | $ | (2,491 | ) | $ | (3,118 | ) | $ | (9,181 | ) | |||
The following table presents the principal components of the difference between the effective tax rate for continuing operations to the U.S. federal statutory income tax rate for the years ended March 31: | ||||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||||
Income tax benefit at the statutory rate of 35% | $ | (2,103 | ) | $ | (3,266 | ) | $ | (16,729 | ) | |||
(Benefit) provision for state taxes | (106 | ) | (14 | ) | 73 | |||||||
Impact of foreign operations | 14 | (48 | ) | 956 | ||||||||
Indefinite life assets | 47 | (251 | ) | 72 | ||||||||
Officer life insurance | (28 | ) | (75 | ) | 36 | |||||||
Change in valuation allowance | (76 | ) | 627 | 8,345 | ||||||||
Change in liability for unrecognized tax benefits | (561 | ) | (230 | ) | (1,536 | ) | ||||||
Meals and entertainment | 113 | 114 | 177 | |||||||||
Other | 209 | 25 | (575 | ) | ||||||||
Total income tax benefit | $ | (2,491 | ) | $ | (3,118 | ) | $ | (9,181 | ) | |||
Our tax provision includes a provision for income taxes in certain foreign jurisdictions where subsidiaries are profitable, but only a minimal benefit is reflected related to U.S. and certain foreign tax losses due to the uncertainty of the ultimate realization of future benefits from these losses. The 2014 tax benefit primarily results from the intra-period tax allocation rules associated with the discontinued operations and recognition of net operating losses as deferred tax assets, which were offset by increases in the valuation allowance. The 2014 tax benefit differs from the statutory rate primarily due to a decrease in unrecognized tax benefits attributable to expiration of statute of limitations, state taxes and other U.S. permanent book to tax differences. | ||||||||||||
The 2013 and 2012 tax benefit differs from the statutory rate primarily due to the intra-period tax allocation rules associated with the discontinued operations and recognition of net operating losses as deferred tax assets, which were offset by increases in the valuation allowance. Other items affecting the rate include a decrease in unrecognized tax benefits attributable to expiration of statute of limitations, foreign and state taxes and other U.S. permanent book to tax differences. | ||||||||||||
Deferred tax assets and liabilities as of March 31, are as follows: | ||||||||||||
(In thousands) | 2014 | 2013 | ||||||||||
Deferred tax assets: | ||||||||||||
Accrued liabilities | $ | 3,884 | $ | 5,933 | ||||||||
Allowance for doubtful accounts | 408 | 244 | ||||||||||
Inventory valuation reserve | 14 | 31 | ||||||||||
Restructuring reserve | 54 | 213 | ||||||||||
Federal losses and credit carryforwards | 55,231 | 56,635 | ||||||||||
Foreign net operating losses | 330 | 331 | ||||||||||
State losses and credit carryforwards | 10,706 | 10,221 | ||||||||||
Deferred compensation | 70 | 76 | ||||||||||
Deferred revenue | 61 | — | ||||||||||
Goodwill and other intangible assets | 3,611 | 3,574 | ||||||||||
Other | 514 | 543 | ||||||||||
74,883 | 77,801 | |||||||||||
Less: valuation allowance | (73,014 | ) | (73,595 | ) | ||||||||
Total | 1,869 | 4,206 | ||||||||||
Deferred tax liabilities: | ||||||||||||
Property and equipment & software amortization | (1,560 | ) | (4,091 | ) | ||||||||
Indefinite-lived goodwill & intangible assets | (3,622 | ) | (3,574 | ) | ||||||||
Other | (81 | ) | (113 | ) | ||||||||
Total | (5,263 | ) | (7,778 | ) | ||||||||
Total deferred tax liabilities | $ | (3,394 | ) | $ | (3,572 | ) | ||||||
At March 31, 2014, we had $159.3 million of a federal net operating loss carryforward that expires, if unused, in fiscal years 2031 to 2033. Included in this net operating loss is $3.8 million of tax deductions in excess of recorded windfall tax benefits associated with stock-based compensation. Upon realization of the U.S. federal net operating losses, we will recognize a windfall tax benefit as an increase to additional paid-in capital. Our Hong Kong subsidiary has $0.3 million of net operating loss carryforwards that can be carried forward indefinitely. At March 31, 2014 we also had $149.0 million of state net operating loss carryforwards that expire, if unused, in fiscal years 2015 through 2033. | ||||||||||||
We recorded valuation allowances related to certain deferred income tax assets due to the uncertainty of the ultimate realization of the future benefits from those assets. At March 31, 2014, the total valuation allowance against deferred tax assets of $73.0 million was mainly comprised of a valuation allowance of $72.7 million for federal and state deferred tax assets, and a valuation allowance of $0.3 million associated with deferred tax assets in Hong Kong. In assessing the realizability of deferred tax assets, management considers whether it is more-likely-than-not that some or all of the deferred tax assets will not be realized. For the three year period ended December 31, 2014 we had a cumulative loss from operations before income taxes, which is generally considered a negative indicator about our ability to realize the benefits of those assets. The ultimate realization of deferred tax assets depends on the generation of future taxable income during the periods in which those temporary differences are deductible. Management considers the scheduled reversal of deferred tax liabilities (including the impact of available carryback and carryforward periods), projected taxable income, and tax planning strategies in making this assessment. In order to fully realize the deferred tax assets, we will need to generate future taxable income before the expiration of the deferred tax assets governed by the tax code. Because of our losses in prior periods, management believes that it is more-likely-than-not that we will not realize the benefits of these deductible differences. The amount of the valuation allowance, however, could be reduced in the near term. The exact timing and the portion of the valuation allowance released are subject to change based on the level of profitability that we are able to achieve in fiscal 2015 and our visibility into future period results. We expect that any release of the valuation allowance will be recorded as an income tax benefit or an adjustment to paid-in capital at the time of release, significantly increasing our reported net income. Our recorded tax rate may increase in subsequent periods following a significant release of the valuation allowance and our net income may be reduced in periods following the release. Any valuation allowance release will not affect the amount of cash paid for income taxes. | ||||||||||||
The undistributed earnings of our foreign subsidiaries are not subject to U.S. federal and state income taxes unless such earnings are distributed in the form of dividends or otherwise to the extent of current and accumulated earnings and profits. The undistributed earnings of foreign subsidiaries are permanently reinvested and totaled $1.8 million and $1.7 million as of March 31, 2014 and 2013, respectively. We made the determination of permanent reinvestment on the basis of sufficient evidence that demonstrates we will invest the undistributed earnings overseas indefinitely for use in working capital, as well as foreign acquisitions and expansion. The determination of the amount of the unrecognized deferred U.S. income tax liability related to the undistributed earnings is not practicable. | ||||||||||||
We use the with-and-without approach for ordering tax benefits derived from the share-based payment awards. Using the with-and-without approach, actual income taxes payable for the period are compared to the amount of tax payable that would have been incurred absent the deduction for employee share-based payments in excess of the amount of compensation cost recognized for financial reporting. As a result of this approach, tax net operating loss carryforwards not generated from share-based payments in excess of cost recognized for financial reporting are considered utilized before the current period's share-based deduction. We recognized less than $0.1 million of excess tax benefits in the current year. We did not recognize any tax benefits during 2013 and 2012 for stock-based compensation. | ||||||||||||
We recorded a liability for unrecognized tax positions. The aggregate changes in the balance of our gross unrecognized tax benefits were as follows for the years ended March 31: | ||||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||||
Balance at April 1 | $ | 4,248 | $ | 2,873 | $ | 4,123 | ||||||
Additions: | ||||||||||||
Relating to positions taken during current year | — | 1,624 | 1 | |||||||||
Relating to positions taken during prior year | — | — | 47 | |||||||||
Reductions: | ||||||||||||
Relating to tax settlements | — | — | (293 | ) | ||||||||
Relating to positions taken during prior year | (1,238 | ) | — | (47 | ) | |||||||
Relating to lapse in statute | (442 | ) | (249 | ) | (958 | ) | ||||||
Balance at March 31 | $ | 2,568 | $ | 4,248 | $ | 2,873 | ||||||
As of March 31, 2014, we had a liability of $2.6 million related to uncertain tax positions, the recognition of which would affect our effective income tax rate. | ||||||||||||
Although the timing and outcome of tax settlements are uncertain, it is reasonably possible that during the next 12 months a reduction in unrecognized tax benefits may occur in the range of zero to $0.6 million based on the outcome of tax examinations and as a result of the expiration of various statutes of limitations. We are routinely audited and are currently under examination in multiple state jurisdictions. Other changes could occur in the amount of gross unrecognized tax benefits during the next 12 months which cannot be estimated at this time. | ||||||||||||
We recognize interest accrued on any unrecognized tax benefits as a component of income tax expense. Penalties are recognized as a component of general and administrative expenses. We recognized interest and penalty benefit of $0.2 million, expense of $0.1 million and benefit of less than $0.1 million for the years ended March 31, 2014, 2013 and 2012, respectively. As of March 31, 2014 and 2013, we had approximately $1.1 million and $1.3 million of interest and penalties accrued, respectively. | ||||||||||||
In the U.S. we file consolidated federal and state income tax returns where statutes of limitations generally range from three to five years. Although we have resolved examinations with the IRS through tax year ended March 31, 2010, U.S. federal tax years are open from 2006 forward due to attribute carryforwards. The statute of limitations is open from fiscal year 2001 forward in certain state jurisdictions. We also file income tax returns in international jurisdictions where statutes of limitations generally range from three to seven years. Years beginning after 2007 are open for examination by certain foreign taxing authorities. |
Employee_Benefit_Plans
Employee Benefit Plans | 12 Months Ended |
Mar. 31, 2014 | |
Compensation and Retirement Disclosure [Abstract] | ' |
Employee Benefit Plans | ' |
Employee Benefit Plans | |
401(k) Plan | |
We maintain profit-sharing and 401(k) plans for employees meeting certain service requirements. Generally, the plans allow eligible employees to contribute a portion of their compensation, and we match $1.00 for every $1.00 on the first 1% of the employee's pre-tax contributions and $0.50 for every $1.00 up to the next 5% of the employee's pre-tax contributions. We may also make discretionary contributions each year for the benefit of all eligible employees under the plans. Total profit sharing and Agilysys matching contributions were $1.2 million, in fiscal 2014 and $1.1 million in fiscal 2013, and 2012, respectively. | |
Endorsement Split-Dollar Life Insurance | |
Agilysys provides certain former executives with life insurance benefits through endorsement split-dollar life insurance arrangements. We entered into a separate agreement with each of the former executives covered by these arrangements whereby we must maintain the life insurance policy for the specified amount and split a portion of the policy benefits with the former executive's designated beneficiary. In fiscal 2014, we increased the cash surrender value of one of these policies by $0.5 million due to the anticipated redemption and recorded the benefit in "Other (income) expenses, net” in the accompanying Consolidated Statements of Operations. In fiscal 2012, we received $0.3 million for the redemption of several of the corporate-owned life insurance policies. The expense related to these benefit obligations is based on estimates developed by management by evaluating actuarial information and including assumptions with respect to discount rates and mortality. The expense associated with these benefits was classified within “General, and administrative” in our Consolidated Statements of Operations. The related liability, which was $0.2 million at March 31, 2014 and 2013, respectively, was recorded within “Other non-current liabilities” in our Consolidated Balance Sheets. The aggregate cash surrender value of the underlying corporate-owned split-dollar life insurance contracts, which were classified within "Current assets" and “Other non-current assets” in our Consolidated Balance Sheets, was $2.0 million and $2.4 million, respectively (net of policy loans of $0.2 million) at March 31, 2014. The aggregate cash surrender value of the underlying corporate-owned split-dollar life insurance contracts which were classified within "Other non-current assets” in our Consolidated Balance Sheets was $3.7 million million (net of policy loans of $0.2 million) at March 31, 2013. | |
Changes in the cash surrender value of these policies related to gains and losses incurred on these investments are classified within “Other (income) expenses, net” in the accompanying Consolidated Statements of Operations. We recorded a gain of $0.6 million dollars in fiscal 2014, a gain of $0.1 million in fiscal 2013 and a gain of $0.4 million in fiscal 2012 related to the corporate-owned life insurance policies. |
Commitments_and_Contingencies
Commitments and Contingencies | 12 Months Ended | |||
Mar. 31, 2014 | ||||
Commitments and Contingencies Disclosure [Abstract] | ' | |||
Commitments and Contingencies | ' | |||
Commitments and Contingencies | ||||
Operating Leases | ||||
We lease certain facilities and equipment under non-cancelable operating leases which expire at various dates through fiscal 2022 and require us to pay a portion of the related operating expenses such as maintenance, property taxes, and insurance. Certain facilities and equipment leases contain renewal options for periods up to ten years. In most cases, management expects that in the normal course of business, leases will be renewed or replaced by other leases. Certain facilities leases have free or escalating rent payment provisions. Rent expense under such leases is recognized on a straight-line basis over the lease term. | ||||
The following is a schedule by year of future minimum rental payments required under operating leases, excluding the related operating expenses, which have initial or remaining non-cancelable lease terms in excess of a year as of March 31, 2014: | ||||
(In thousands) | Amount | |||
Fiscal year ending March 31, | ||||
2015 | $ | 2,674 | ||
2016 | 2,033 | |||
2017 | 1,089 | |||
2018 | 1,100 | |||
2019 | 610 | |||
Thereafter | 1,130 | |||
Total minimum lease payments | $ | 8,636 | ||
Rental expense for all non-cancelable operating leases amounted to $2.5 million, $2.4 million, and $3.5 million for fiscal 2014, 2013, and 2012, respectively. | ||||
Asset Retirement Obligations | ||||
An asset retirement obligation liability represents the estimated costs to bring certain office buildings that we lease back to their original condition after the termination of the lease. In instances where our lease agreements either contain make-whole provisions or subject us to remediation costs, we establish an asset retirement obligation liability with a corresponding leasehold improvement asset. The asset retirement obligation is included in “Accrued liabilities” and “Other non-current liabilities” in the Consolidated Balance Sheets. As of March 31, 2014, the current and long-term portion of the asset retirement obligation liability was $25,200 and $0.4 million, respectively. As of March 31, 2013, the current and long-term portion of the asset retirement obligation was $30,000 and $0.5 million, respectively. | ||||
Legal Contingencies | ||||
Agilysys is the subject of various threatened or pending legal actions and contingencies in the normal course of conducting its business. We provide for costs related to these matters when a loss is probable and the amount can be reasonably estimated. The effect of the outcome of these matters on our future results of operations and liquidity cannot be predicted because any such effect depends on future results of operations and the amount or timing of the resolution of such matters. While it is not possible to predict with certainty, management believes that the ultimate resolution of such individual or aggregated matters will not have a material adverse effect on our consolidated financial position, results of operations, or cash flows. | ||||
On April 6, 2012, Ameranth, Inc. filed a complaint against us for patent infringement in the United States District Court for the Southern District of California. The complaint alleges, among other things, that point-of-sale and property management and other hospitality information technology products, software, components and/or systems sold by us infringe three patents owned by Ameranth purporting to cover generation and synchronization of menus, including restaurant menus, event tickets, and other products across fixed, wireless and/or internet platforms as well as synchronization of hospitality information and hospitality software applications across fixed, wireless and internet platforms. The complaint seeks monetary damages, injunctive relief, costs and attorneys fees. At this time, we are not able to predict the outcome of this lawsuit, or any possible monetary exposure associated with the lawsuit. However, we dispute the allegations of wrongdoing and are vigorously defending ourselves in this matter. | ||||
On July 9, 2012, a putative class action lawsuit was filed against us in the United States District Court for the Northern District of California alleging violations of federal and state wage and hour laws, rules and regulations pertaining primarily to pay for missed meals and rest periods and failure to reimburse business expenses. On May 19 2014, the court approved a settlement of the lawsuit pursuant to which we paid a gross settlement in the amount of approximately $1.5 million, which was included in "Accrued Liabilities" on our Consolidated Balance Sheets, and the lawsuit was dismissed. |
Loss_Earnings_per_Share
(Loss) Earnings per Share | 12 Months Ended | |||||||||||
Mar. 31, 2014 | ||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||
(Loss) Earnings per Share | ' | |||||||||||
(Loss) Earnings per Share | ||||||||||||
The following data shows the amounts used in computing (loss) earnings per share and the effect on income and the weighted average number of shares of dilutive potential common shares. | ||||||||||||
Year ended March 31, | ||||||||||||
(In thousands, except per share data) | 2014 | 2013 | 2012 | |||||||||
Numerator: | ||||||||||||
Loss from continuing operations - basic and diluted | $ | (2,895 | ) | $ | (6,214 | ) | $ | (37,493 | ) | |||
Income from discontinued operations - basic and diluted | 19,992 | 4,916 | 14,710 | |||||||||
Net income (loss) - basic and diluted | $ | 17,097 | $ | (1,298 | ) | $ | (22,783 | ) | ||||
Denominator: | ||||||||||||
Weighted average shares outstanding - basic and diluted | 22,135 | 21,880 | 22,432 | |||||||||
(Loss) earnings per share - basic and diluted: | ||||||||||||
Loss from continuing operations | $ | (0.13 | ) | $ | (0.28 | ) | $ | (1.67 | ) | |||
Income from discontinued operations | 0.9 | 0.22 | 0.65 | |||||||||
Net income (loss) per share | $ | 0.77 | $ | (0.06 | ) | $ | (1.02 | ) | ||||
Anti-dilutive stock options, SSARs, restricted shares and performance shares | 1,806 | 1,781 | 2,449 | |||||||||
Basic earnings (loss) per share is computed as net income available to common shareholders divided by the weighted average basic shares outstanding. The outstanding shares used to calculate the weighted average basic shares excludes, 155,777, 139,767 and 48,558 of restricted shares and performance shares at March 31, 2014, 2013 and 2012, respectively, as these shares were issued but were not vested and, therefore, not considered outstanding for purposes of computing basic earnings per share at the balance sheet dates. | ||||||||||||
Diluted earnings (loss) per share includes the effect of all potentially dilutive securities on earnings per share. We have stock options, stock-settled appreciation rights ("SSARs"), unvested restricted shares and unvested performance shares that are potentially dilutive securities. When a loss is reported, the denominator of diluted earnings per share cannot be adjusted for the dilutive impact of share-based compensation awards because doing so would be anti-dilutive. In addition, when a loss from continuing operations is reported, adjusting the denominator of diluted earnings per share would also be anti-dilutive to the loss per share, even if the entity has net income after adjusting for a discontinued operation. Therefore, for all periods presented, basic weighted-average shares outstanding were used in calculating the diluted net loss per share. |
Sharebased_Compensation
Share-based Compensation | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Share-based Compensation [Abstract] | ' | ||||||||||||
Share-based Compensation | ' | ||||||||||||
Share-based Compensation | |||||||||||||
We may grant non-qualified stock options, incentive stock options, stock-settled stock appreciation rights, restricted shares, and restricted share units for up to 3.0 million common shares under our 2011 Stock Incentive Plan (“the 2011 Plan”). The maximum number of shares subject to stock options or SSARs that may be granted to an individual in a calendar year is 800,000 shares, and the maximum number of shares subject to restricted shares or restricted share units that may be granted to an individual in a calendar year is 400,000 shares. The maximum aggregate number of restricted shares or restricted share units that may be granted under the 2011 Plan is 1.0 million. | |||||||||||||
For stock options and SSARs, the exercise price must be set at least equal to the closing market price of our common shares on the date of grant. The maximum term of stock option and SSAR awards is seven years from the date of grant. Stock option and SSARs awards vest over a period established by the Compensation Committee of the Board of Directors. SSARs may be granted in conjunction with, or independently from, a stock option granted under the 2011 Plan. SSARs granted in connection with a stock option are exercisable only to the extent that the stock option to which it relates is exercisable and the SSARs terminate upon the termination or exercise of the related stock option. | |||||||||||||
Restricted shares and restricted share units, whether time-vested or performance-based, may be issued at no cost or at a purchase price that may be below their fair market value, but are subject to forfeiture and restrictions on their sale or other transfer. Performance-based awards may be conditioned upon the attainment of specified performance objectives and other conditions, restrictions, and contingencies. Restricted shares and restricted share units have the right to receive dividends, or dividend equivalents in the case of restricted share units, if any, subject to the same forfeiture provisions that apply to the underlying awards. Subject to certain exceptions set forth in the 2011 Plan, for awards to employees, no performance-based restricted shares or restricted share units shall be based on a restriction period of less than one year, and any time-based restricted shares or restricted share units shall have a minimum restriction period of three years. | |||||||||||||
We have a shareholder-approved 2006 Stock Incentive Plan ("the 2006 Plan”), as well as, a 2000 Stock Option Plan for Outside Directors and a 2000 Stock Incentive Plan that still have vested awards outstanding. Awards are no longer being granted from these incentive plans. | |||||||||||||
We may distribute authorized but unissued shares or treasury shares to satisfy share option and appreciation right exercises or restricted share and performance share awards. | |||||||||||||
We record compensation expense related to stock options, stock-settled stock appreciation rights, restricted shares, and performance shares granted to certain employees and non-employee directors based on the fair value of the awards on the grant date. The fair value of restricted share and performance share awards is based on the closing price of our common shares on the grant date. The fair value of stock option and stock-settled appreciation right awards is estimated on the grant date using the Black-Scholes-Merton option pricing model, which includes assumptions regarding the risk-free interest rate, dividend yield, life of the award, and the volatility of our common shares. | |||||||||||||
We recognized less than $0.1 million of excess tax benefits related to the exercise of stock options and SSARs in fiscal 2014. As discussed in Note 11, Income Taxes, in fiscal 2013 and 2012, we were in a net operating loss position for U.S. federal income taxes. Therefore, we did not recognize and will not recognize an income tax benefit related to stock options or SSARs exercised until that tax benefit can be realized. | |||||||||||||
The following table summarizes the share-based compensation expense for options, SSARs, restricted and performance awards included in the Consolidated Statements of Operations for fiscal 2014, 2013 and 2012: | |||||||||||||
Year ended March 31, | |||||||||||||
(In thousands) | 2014 | 2013 | 2012 | ||||||||||
Product development | $ | 700 | $ | 475 | $ | 64 | |||||||
Sales and marketing | 90 | 65 | 65 | ||||||||||
General and administrative | 1,329 | 1,098 | 2,268 | ||||||||||
Total share-based compensation expense | $ | 2,119 | $ | 1,638 | $ | 2,397 | |||||||
Stock Options | |||||||||||||
The following table summarizes the activity during fiscal 2014 for stock options awarded under the 2006 Plan: | |||||||||||||
(In thousands, except share and per share data) | Number | Weighted- | Remaining | Aggregate | |||||||||
of | Average | Contractual | Intrinsic | ||||||||||
Options | Exercise | Term | Value | ||||||||||
Price | |||||||||||||
(per share) | (in years) | ||||||||||||
Outstanding at April 1, 2013 | 1,318,000 | $ | 14.07 | ||||||||||
Granted | — | — | |||||||||||
Exercised | (645,500 | ) | 12.5 | ||||||||||
Cancelled/expired | (45,000 | ) | 20.19 | ||||||||||
Outstanding and exercisable at March 31, 2014 | 627,500 | $ | 15.26 | 2 | $ | 16 | |||||||
The following table presents additional information related to stock option activity during the fiscal years ended March 31, 2014, 2013 and 2012: | |||||||||||||
(In thousands) | 2014 | 2013 | 2012 | ||||||||||
Proceeds from stock options exercised | $ | 169 | $ | 67 | $ | 210 | |||||||
Total intrinsic value of stock options exercised | $ | 1,402 | $ | 382 | $ | 2,070 | |||||||
All stock options are vested and we do not have any remaining unrecognized stock based compensation expense related to stock options. | |||||||||||||
A total of 96,761 shares, net of 537,320 shares withheld to cover the applicable exercise price of the award and 11,419 shares withheld to cover the employee's minimum applicable income taxes, were issued from treasury shares to settle stock options exercised during fiscal 2014. | |||||||||||||
Stock-Settled Stock Appreciation Rights | |||||||||||||
Stock-Settled Appreciation Rights (“SSARs”) are rights granted to an employee to receive value equal to the difference in the price of our common shares on the date of the grant and on the date of exercise. This value is settled in common shares of Agilysys. | |||||||||||||
We use a Black-Scholes-Merton option pricing model to estimate the fair value of SSARs. The following table summarizes the principal assumptions utilized in valuing SSARs granted in fiscal 2014, 2013 and 2012: | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Risk-free interest rate | 1.05%-1.39% | 0.67%-0.89% | 0.83%-2.09% | ||||||||||
Expected life (in years) | 5 | 5 | 4.5 | ||||||||||
Expected volatility | 80.78%-80.93% | 81.03%-83.77% | 80.75%-82.20% | ||||||||||
Weighted average grant date fair value | $7.96 | $4.92 | $4.73 | ||||||||||
The risk-free interest rate is based on the yield of a zero coupon U.S. Treasury bond whose maturity period approximates the expected life of the SSARs. The expected life is estimated using historical data representing the period of time the awards are expected to be outstanding. The estimated fair value of the SSARs granted, less expected forfeitures, is recognized over the vesting period of the awards utilizing the graded vesting method. Under this method, the compensation cost related to unvested amounts begins to be recognized as of the grant date. | |||||||||||||
The following table summarizes the activity during fiscal 2014 for SSARs awarded under the 2011 Plan and the 2006 Plan: | |||||||||||||
(In thousands, except share and per share data) | Number | Weighted- | Remaining | Aggregate | |||||||||
of Rights | Average | Contractual | Intrinsic | ||||||||||
Exercise | Term | Value | |||||||||||
Price | |||||||||||||
(per right) | (in years) | ||||||||||||
Outstanding at April 1, 2013 | 683,119 | $ | 7.27 | ||||||||||
Granted | 119,120 | 12.36 | |||||||||||
Exercised | (331,318 | ) | 6.86 | ||||||||||
Forfeited | (149,905 | ) | 8.51 | ||||||||||
Cancelled/expired | (4,181 | ) | 7.37 | ||||||||||
Outstanding at March 31, 2014 | 316,835 | $ | 9.02 | 5.4 | $ | 1,388 | |||||||
Exercisable at March 31, 2014 | 194,023 | $ | 8.46 | 5.2 | $ | 959 | |||||||
Vested and expected to vest at March 31, 2014 | 296,192 | $ | 8.94 | 5.3 | $ | 1,321 | |||||||
The following table presents additional information related to SSARs activity during fiscal 2014, 2013 and 2012: | |||||||||||||
(In thousands) | 2014 | 2013 | 2012 | ||||||||||
Compensation expense | $ | 611 | $ | 595 | $ | 1,422 | |||||||
Total intrinsic value of SSARs exercised | $ | 2,131 | $ | 373 | $ | 1,871 | |||||||
Total fair value of SSARs vesting | $ | 636 | $ | 778 | $ | 3,197 | |||||||
The compensation expense recorded in fiscal 2012 included $1.4 million for the accelerated vesting of SSARs expense due to a change in control provision contained in the 2006 Plan that was triggered by the announcement of the sale of TSG on May 31, 2011. As of March 31, 2014, total unrecognized stock based compensation expense related to non-vested SSARs was $0.5 million, which is expected to be recognized over a weighted-average vesting period of 1.6 years. | |||||||||||||
A total of 117,037 shares, net of 51,708 shares withheld to cover the employee’s minimum applicable income taxes, were issued from treasury shares to settle SSARs exercised during the twelve months ended March 31, 2014. The shares withheld were returned to treasury shares. | |||||||||||||
Restricted Shares | |||||||||||||
We granted shares to certain of our Directors, executives and key employees under the 2011 Plan, the vesting of which is service-based. The following table summarizes the activity during the twelve months ended March 31, 2014 for restricted shares awarded under the 2011 Plan: | |||||||||||||
Number | Weighted- | ||||||||||||
of Shares | Average | ||||||||||||
Grant- | |||||||||||||
Date Fair | |||||||||||||
Value | |||||||||||||
(per share) | |||||||||||||
Outstanding at April 1, 2013 | 122,039 | $ | 7.99 | ||||||||||
Granted | 192,275 | 12.33 | |||||||||||
Vested | (119,497 | ) | 10.76 | ||||||||||
Forfeited | (56,768 | ) | 10.23 | ||||||||||
Outstanding at March 31, 2014 | 138,049 | $ | 10.71 | ||||||||||
The weighted-average grant date fair value of the restricted shares is determined based upon the closing price of our common shares on the grant date. During the fiscal 2014, a total of 80,949 net of 27,250 shares were withheld from the vested restricted shares to cover the employee's minimum applicable income taxes. The shares withheld were returned to treasury shares. | |||||||||||||
The following table presents additional information related to restricted stock activity during fiscal years 2014, 2013, and 2012: | |||||||||||||
(In thousands) | 2014 | 2013 | 2012 | ||||||||||
Compensation expense | $ | 1,486 | $ | 989 | $ | 975 | |||||||
Total fair value of restricted share vesting | $ | 1,579 | $ | 1,099 | $ | 976 | |||||||
Compensation expense related to restricted share awards is recognized ratably over the restriction period based upon the closing market price of our common shares on the grant date. The fiscal 2012 compensation expense included $0.1 million for the accelerated vesting of restricted stock expense due to a change in control provision contained in the 2006 Plan that was triggered by the announcement of the sale of TSG on May 31, 2011. As of March 31, 2014, total unrecognized stock based compensation expense related to non-vested restricted stock was $1.0 million, which is expected to be recognized over a weighted-average vesting period of 1.8 years. We do not include restricted stock in the calculation of earnings per share until the shares are vested. | |||||||||||||
Performance Shares | |||||||||||||
In fiscal 2013, we granted shares to certain of our key employees under the 2011 Plan, the vesting of which is contingent upon meeting various company-wide performance goals within a two-year period. | |||||||||||||
The following table summarizes the activity during fiscal 2014 for performance shares awarded under the 2011 Plan: | |||||||||||||
Number | Weighted- | ||||||||||||
of | Average | ||||||||||||
Shares | Grant- | ||||||||||||
Date Fair | |||||||||||||
Value | |||||||||||||
(per share) | |||||||||||||
Outstanding at April 1, 2013 | — | $ | — | ||||||||||
Granted | 17,728 | 8.64 | |||||||||||
Outstanding at March 31, 2014 | 17,728 | $ | 8.64 | ||||||||||
The weighted-average grant date fair value of the performance shares is determined based upon the closing price of our common shares on the grant date and assumed that performance goals would be met at target. | |||||||||||||
The following table presents additional information related to performance share activity during the fiscal 2014, 2013, and 2012: | |||||||||||||
(In thousands) | 2014 | 2013 | 2012 | ||||||||||
Compensation expense | $ | 22 | $ | 54 | $ | 104 | |||||||
Total fair value of performance share vesting | $ | — | $ | — | 337 | ||||||||
Once attainment of the performance goals becomes probable, compensation expense related to performance share awards is recognized over the vesting period based upon the closing market price of our common shares on the grant date. The fiscal 2012 compensation expense included $0.2 million for the accelerated vesting of performance share expense due to a change in control provision contained in the 2006 Plan that was triggered by the announcement of the sale of TSG on May 31, 2011. | |||||||||||||
Compensation expense related to performance share awards is recognized ratably over the vesting period based upon the closing market price of our common shares on the grant date. As of March 31, 2014, total unrecognized stock based compensation expense related to non-vested performance shares was $0.1 million, which is expected to be recognized over a weighted-average vesting period of 0.8 years. |
Fair_Value_Measurements
Fair Value Measurements | 12 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Fair Value Measurements | ' | |||||||||||||||
Fair Value Measurements | ||||||||||||||||
We estimate the fair value of financial instruments using available market information and generally accepted valuation methodologies. We assess the inputs used to measure fair value using a three-tier hierarchy. The hierarchy indicates the extent to which pricing inputs used in measuring fair value are observable in the market. Level 1 inputs include unadjusted quoted prices for identical assets or liabilities and are the most observable. Level 2 inputs include unadjusted quoted prices for similar assets and liabilities that are either directly or indirectly observable, or other observable inputs such as interest rates, foreign currency exchange rates, commodity rates, and yield curves. Level 3 inputs are not observable in the market and include our own judgments about the assumptions market participants would use in pricing the asset or liability. The use of observable and unobservable inputs is reflected in the hierarchy assessment disclosed in the tables below. | ||||||||||||||||
There were no significant transfers between Levels 1, 2, and 3 during the twelve months ended March 31, 2014. | ||||||||||||||||
The following tables present information about our financial assets and liabilities measured at fair value on a recurring basis and indicate the fair value hierarchy of the valuation techniques utilized to determine such fair value: | ||||||||||||||||
Fair value measurement used | ||||||||||||||||
Recorded | Active | Quoted | Active | |||||||||||||
value | markets | prices in | markets for | |||||||||||||
as of | for | similar | unobservable | |||||||||||||
identical | instruments | inputs | ||||||||||||||
assets or | and | |||||||||||||||
liabilities | observable | |||||||||||||||
inputs | ||||||||||||||||
(In thousands) | March 31, 2014 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||||
Investments | $ | 28,999 | $ | — | $ | 28,999 | $ | — | ||||||||
Corporate-owned life insurance — current | 1,989 | — | — | 1,989 | ||||||||||||
Corporate-owned life insurance — non-current | 2,371 | — | — | 2,371 | ||||||||||||
Liabilities: | ||||||||||||||||
Contingent consideration — current | $ | 127 | $ | — | $ | — | $ | 127 | ||||||||
Contingent consideration — non-current | 1,612 | — | — | 1,612 | ||||||||||||
Fair value measurement used | ||||||||||||||||
Recorded | Active | Quoted | Active | |||||||||||||
value | markets | prices in | markets for | |||||||||||||
as of | for | similar | unobservable | |||||||||||||
identical | instruments | inputs | ||||||||||||||
assets or | and | |||||||||||||||
liabilities | observable | |||||||||||||||
inputs | ||||||||||||||||
(In thousands) | March 31, 2013 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||||
Corporate-owned life insurance — non-current | $ | 3,673 | $ | — | $ | — | $ | 3,673 | ||||||||
The fair value of investments, comprised of commercial paper and certificates of deposit, was determined using a market approach, based on prices and other relevant information generated by market transactions involving similar assets, and therefore, is classified within Level 2 of the fair value hierarchy. | ||||||||||||||||
The recorded value of the corporate-owned life insurance policies is adjusted to the cash surrender value of the policies obtained from the third party life insurance providers, which are not observable in the market, and therefore, are classified within Level 3 of the fair value hierarchy. Changes in the cash surrender value of these policies are recorded within “Other expenses (income), net” in the Consolidated Statements of Operations. | ||||||||||||||||
The fair value of the contingent consideration was determined by calculating the probability-weighted earn-out payments based on the assessment of the likelihood that certain milestones would be achieved. | ||||||||||||||||
The following table presents a summary of changes in the fair value of the Level 3 assets and liabilities for the fiscal years ended March 31, 2014 and 2013: | ||||||||||||||||
Level 3 assets and | ||||||||||||||||
liabilities | ||||||||||||||||
(In thousands) | 2014 | 2013 | ||||||||||||||
Corporate-owned life insurance: | ||||||||||||||||
Balance on April 1 | $ | 3,673 | $ | 3,458 | ||||||||||||
Realized gains | — | — | ||||||||||||||
Unrealized gain relating to instruments held at reporting date | 600 | 107 | ||||||||||||||
Purchases, sales, issuances and settlements, net | 87 | 108 | ||||||||||||||
Balance on March 31 | $ | 4,360 | $ | 3,673 | ||||||||||||
The inputs used to value the our contingent consideration and employee benefit plan obligations are not observable in the market and therefore, these amounts are classified within Level 3 in the fair value hierarchy. | ||||||||||||||||
The following table presents a summary of changes in the fair value of the Level 3 assets and liabilities for fiscal years ended March 31, 2014 and 2013: | ||||||||||||||||
Level 3 assets and liabilities | ||||||||||||||||
Year ended March 31, 2014 | ||||||||||||||||
(In thousands) | Contingent consideration | |||||||||||||||
Balance at April 1, 2013 | $ | — | ||||||||||||||
Amortization | — | |||||||||||||||
Provisions | — | |||||||||||||||
Activity, payments and other charges (net) | 1,739 | |||||||||||||||
Balance at March 31, 2014 | $ | 1,739 | ||||||||||||||
Level 3 assets and liabilities | ||||||||||||||||
Year ended March 31, 2013 | ||||||||||||||||
SERP | ||||||||||||||||
obligations | ||||||||||||||||
Balance at April 1, 2012 | $ | 3,323 | ||||||||||||||
Amortization | — | |||||||||||||||
Provisions | — | |||||||||||||||
Activity, payments and other charges (net) | (3,323 | ) | ||||||||||||||
Balance at March 31, 2013 | $ | — | ||||||||||||||
The recorded value of SERP and other benefit plans obligations is based on estimates developed by management by evaluating actuarial information and includes assumptions such as discount rates, future compensation increases, expected retirement dates, payment forms, and mortality. The recorded value of these obligations is measured on an annual basis, or upon the occurrence of a plan curtailment or settlement. The SERP obligation was fulfilled in April 2012 with funds held in the Rabbi Trust. |
Quarterly_Results_Unaudited
Quarterly Results (Unaudited) | 12 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | |||||||||||||||
Quarterly Results (Unaudited) | ' | |||||||||||||||
Quarterly Results (Unaudited) | ||||||||||||||||
Because quarterly reporting of per share data is used independently for each reporting period, the sum of per share amounts for the four quarters in the fiscal year will not necessarily equal annual per share amounts. GAAP prohibits retroactive adjustment of quarterly per share amounts so that the sum of those amounts equals amounts for the full year. | ||||||||||||||||
We have traditionally experienced seasonal revenue weakness during our fiscal first quarter ending June 30. Additionally, the timing of large one-time orders, such as those associated with significant remarketed product sales around large customer refresh cycles or significant volume rollouts, occasionally creates volatility in our quarterly results. | ||||||||||||||||
Year ended March 31, 2014 | ||||||||||||||||
First | Second | Third | Fourth | Year | ||||||||||||
(In thousand except per share data) | quarter | quarter | quarter | Quarter | ||||||||||||
Net revenue | $ | 23,700 | $ | 24,846 | $ | 24,965 | $ | 27,750 | $ | 101,261 | ||||||
Gross profit | 15,637 | 16,588 | 15,155 | 16,660 | 64,040 | |||||||||||
Asset impairments and related charges | — | 18 | 309 | — | 327 | |||||||||||
Restructuring, severance and other charges | 55 | 562 | 206 | 569 | 1,392 | |||||||||||
Income (loss) from continuing operations | $ | 789 | $ | (1,310 | ) | $ | (1,711 | ) | $ | (663 | ) | $ | (2,895 | ) | ||
Income (loss) from discontinued operations, net of taxes | 527 | 21,763 | (952 | ) | (1,346 | ) | 19,992 | |||||||||
Net income (loss) | $ | 1,316 | $ | 20,453 | $ | (2,663 | ) | $ | (2,009 | ) | $ | 17,097 | ||||
Per share data-basic: | ||||||||||||||||
Loss from continuing operations | $ | 0.04 | $ | (0.06 | ) | $ | (0.08 | ) | $ | (0.03 | ) | $ | (0.13 | ) | ||
Income (loss) from discontinued operations | 0.02 | 0.98 | (0.04 | ) | (0.06 | ) | 0.9 | |||||||||
Net income (loss) | $ | 0.06 | $ | 0.92 | $ | (0.12 | ) | $ | (0.09 | ) | $ | 0.77 | ||||
Per share data-diluted: | ||||||||||||||||
Income (loss) from continuing operations | $ | 0.04 | $ | (0.06 | ) | $ | (0.08 | ) | $ | (0.03 | ) | $ | (0.13 | ) | ||
Income (loss) from discontinued operations | 0.02 | 0.98 | (0.04 | ) | (0.06 | ) | 0.9 | |||||||||
Net income (loss) | $ | 0.06 | $ | 0.92 | $ | (0.12 | ) | $ | (0.09 | ) | $ | 0.77 | ||||
Year ended March 31, 2013 | ||||||||||||||||
First | Second | Third | Fourth | Year | ||||||||||||
(In thousands except per share data) | quarter | quarter | quarter | Quarter | ||||||||||||
Net revenue | $ | 21,621 | $ | 23,277 | $ | 27,042 | $ | 22,068 | $ | 94,008 | ||||||
Gross profit | 13,566 | 14,273 | 14,930 | 14,850 | 57,619 | |||||||||||
Asset impairments and related charges | 208 | — | — | (88 | ) | 120 | ||||||||||
Legal settlements | — | — | — | 1,664 | 1,664 | |||||||||||
Restructuring, severance and other charges | 1,125 | 430 | (31 | ) | (29 | ) | 1,495 | |||||||||
Loss from continuing operations | $ | (2,450 | ) | $ | (1,189 | ) | $ | (945 | ) | $ | (1,630 | ) | $ | (6,214 | ) | |
Income (loss) from discontinued operations, net of taxes | 658 | 838 | 1,461 | 1,959 | 4,916 | |||||||||||
Net (loss) income | $ | (1,792 | ) | $ | (351 | ) | $ | 516 | $ | 329 | $ | (1,298 | ) | |||
Per share data-basic and diluted: | ||||||||||||||||
Loss from continuing operations | $ | (0.11 | ) | $ | (0.05 | ) | $ | (0.04 | ) | $ | (0.07 | ) | $ | (0.28 | ) | |
Income (loss) from discontinued operations | 0.03 | 0.03 | 0.06 | 0.08 | 0.22 | |||||||||||
Net (loss) income | $ | (0.08 | ) | $ | (0.02 | ) | $ | 0.02 | $ | 0.01 | $ | (0.06 | ) | |||
Subsequent_Event
Subsequent Event | 12 Months Ended |
Mar. 31, 2014 | |
Subsequent Events [Abstract] | ' |
Subsequent Event | ' |
Subsequent Event | |
None. |
Schedule_II_Valuation_and_Qual
Schedule II - Valuation and Qualifying Accounts | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Valuation and Qualifying Accounts [Abstract] | ' | ||||||||||||
Schedule II - Valuation and Qualifying Accounts | ' | ||||||||||||
Schedule II - Valuation and Qualifying Accounts Years ended March 31, 2014, 2013 and 2012 | |||||||||||||
Balance at | Charged to | Balance at | |||||||||||
beginning of | costs and | end of | |||||||||||
(In thousands) | year | expenses | Deductions | year | |||||||||
2014 | |||||||||||||
Deferred tax valuation allowance | $ | 73,595 | $ | (581 | ) | $ | — | $ | 73,014 | ||||
Allowance for doubtful accounts | $ | 720 | $ | 453 | $ | (72 | ) | $ | 1,101 | ||||
2013 | |||||||||||||
Deferred tax valuation allowance | $ | 77,904 | $ | (4,309 | ) | $ | — | $ | 73,595 | ||||
Allowance for doubtful accounts | $ | 353 | $ | 392 | $ | (25 | ) | $ | 720 | ||||
2012 | |||||||||||||
Deferred tax valuation allowance | $ | 31,349 | $ | 46,555 | $ | — | $ | 77,904 | |||||
Allowance for doubtful accounts | $ | 103 | $ | 322 | $ | (72 | ) | $ | 353 | ||||
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Mar. 31, 2014 | |
Accounting Policies [Abstract] | ' |
Principles of consolidation | ' |
Principles of consolidation. The consolidated financial statements include the accounts of Agilysys, Inc. and subsidiaries. Investments in affiliated companies are accounted for by the equity or cost method, as appropriate. All inter-company accounts have been eliminated. Unless otherwise indicated, amounts in Notes to Consolidated Financial Statements refer to continuing operations. | |
Use of estimates | ' |
Use of estimates. Preparation of consolidated financial statements in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reported periods. Actual results could differ from those estimates. | |
Cash and cash equivalents | ' |
Cash and cash equivalents. We consider all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. Other highly liquid investments considered cash equivalents with no established maturity date are fully redeemable on demand (without penalty) with settlement of principal and accrued interest on the following business day after instruction to redeem. Such investments are readily convertible to cash with no penalty and can include certificates of deposit, commercial paper, treasury bills, money market funds and other investments. | |
Allowance for doubtful accounts | ' |
Allowance for doubtful accounts. We maintain allowances for doubtful accounts for estimated losses resulting from the inability or unwillingness of our customers to make required payments. These allowances are based on both recent trends of certain customers estimated to be a greater credit risk as well as historic trends of the entire customer pool. If the financial condition of our customers were to deteriorate, resulting in an impairment of their ability to make payments, additional allowances may be required. To mitigate this credit risk we perform periodic credit evaluations of our customers. | |
Inventories | ' |
Inventories. Our inventories are comprised of finished goods. Inventories are stated at the lower of cost or market, net of related reserves. The cost of inventory is computed using a weighted-average method. Our inventory is monitored to ensure appropriate valuation. Adjustments of inventories to the lower of cost or market, if necessary, are based upon contractual provisions such as turnover and assumptions about future demand and market conditions. If assumptions about future demand change and/or actual market conditions are less favorable than those projected by management, additional adjustments to inventory valuations may be required. We provide a reserve for obsolescence, which is calculated based on several factors, including an analysis of historical sales of products and the age of the inventory. Actual amounts could be different from those estimated. | |
Goodwill | ' |
Goodwill. Goodwill represents the excess purchase price paid over the fair value of the net assets of acquired companies. Goodwill is subject to impairment testing at least annually, unless it is determined after a qualitative assessment that it is more likely than not that the fair value of the reporting unit is greater than its carrying amount. Goodwill is measured for impairment on an annual basis, or in interim periods if indicators of potential impairment exist. | |
For fiscal 2014 and 2013, we conducted a qualitative assessment (Step Zero Analysis) to determine whether it would be necessary to perform the two-step goodwill impairment test. It was determined based on the Step Zero Analysis that it is more likely than not that the fair value exceeded the carrying amount as of February 1, 2014. Additional information regarding our goodwill and impairment analyses is provided in Note 7, Goodwill and Intangible Assets. | |
Intangible assets | ' |
Intangible assets. Purchased intangible assets with finite lives are primarily amortized using the straight-line method over the estimated economic lives of the assets. Purchased intangible assets relating to customer relationships are amortized using an accelerated or straight-line method, which reflects the period the asset is expected to contribute to the future cash flows. Our finite-lived intangible assets are being amortized over periods between two and eight years. We have an indefinite-lived intangible asset relating to purchased trade names. The indefinite-lived intangible asset is not amortized; rather, it is tested for impairment at least annually by comparing the carrying amount of the asset with the fair value. An impairment loss is recognized if the carrying amount is greater than fair value. The income approach using “the relief from royalty method” was used to value the trade names as of February 1, 2014, resulting in a fair value measurement that exceeded the carrying amount. | |
Customer relationships are amortized over estimated useful lives between two and seven years; non-competition agreements are amortized over estimated useful lives between two and eight years; developed technology is amortized over estimated useful lives between three and eight years; supplier relationships are amortized over estimated useful lives between two and eight years. Additional information regarding our intangible assets and impairment analyses is provided in Note 7, Goodwill and Intangible Assets. | |
Long-lived assets | ' |
Long-lived assets. Property and equipment are recorded at cost. Major renewals and improvements are capitalized. Minor replacements, maintenance, repairs, and reengineering costs are expensed as incurred. When assets are sold or otherwise disposed of, the cost and related accumulated depreciation are eliminated from the accounts and any resulting gain or loss is recognized. | |
Depreciation and amortization are provided in amounts sufficient to amortize the cost of the assets, including assets recorded under capital leases, which make up less than one percent of total assets, over their estimated useful lives using the straight-line method. The estimated useful lives for depreciation and amortization are as follows: buildings and building improvements - 7 to 30 years; furniture - 7 to 10 years; equipment - 3 to 10 years; software - 3 to 10 years; and leasehold improvements over the shorter of the economic life or the lease term. Internal use software costs are expensed or capitalized depending on the project stage. Amounts capitalized are amortized over the estimated useful lives of the software, ranging from 3 to 10 years, beginning with the project's completion. Capitalized project expenditures are not depreciated until the underlying project is completed. | |
We evaluate the recoverability of our long-lived assets whenever changes in circumstances or events may indicate that the carrying amounts may not be recoverable. An impairment loss is recognized in the event the carrying value of the assets exceeds the future undiscounted cash flows attributable to such assets. | |
Foreign currency translation | ' |
Foreign currency translation. The financial statements of our foreign operations are translated into U.S. dollars for financial reporting purposes. The assets and liabilities of foreign operations whose functional currencies are not in U.S. dollars are translated at the period-end exchange rates, while revenue and expenses are translated at weighted-average exchange rates during the fiscal year. The cumulative translation effects are reflected as a component of “Accumulated other comprehensive loss” within shareholders' equity in the Consolidated Balance Sheets. Gains and losses on monetary transactions denominated in other than the functional currency of an operation are reflected within “Other (income) expenses, net” in the Consolidated Statements of Operations. Foreign currency gains and losses from changes in exchange rates have not been material to our consolidated operating results. | |
Revenue recognition | ' |
Revenue recognition. We derive revenue from the sale of products (i.e., server, storage, and point of sale hardware, and software), support, maintenance and subscription services and professional services. Revenue is recorded in the period in which the goods are delivered or services are rendered and when the following criteria are met: persuasive evidence of an arrangement exists, delivery has occurred or services have been rendered, the sales price to the customer is fixed or determinable, and collection is reasonably assured. We reduce revenue for estimated discounts, sales incentives, estimated customer returns, and other allowances. Discounts are offered based on the volume of products and services purchased by customers. Shipping and handling fees billed to customers are recognized as revenue and the related costs are recognized in cost of goods sold. Revenue is recorded net of any applicable taxes collected and remitted to governmental agencies. | |
We frequently enter into multiple-element arrangements with customers including hardware, software, professional consulting services and maintenance support services. For arrangements involving multiple deliverables, when deliverables include software and non-software products and services, we evaluate and separate each deliverable to determine whether it represents a separate unit of accounting based on the following criteria: (a) the delivered item has value to the customer on a stand-alone basis; and (b) if the contract includes a general right of return relative to the delivered item, delivery or performance of the undelivered items is considered probable and substantially in our control. | |
Consideration is allocated to each unit of accounting based on the unit's relative selling prices. In such circumstances, we use a hierarchy to determine the selling price to be used for allocating revenue to each deliverable: (i) vendor-specific objective evidence of selling price (VSOE), (ii) third-party evidence of selling price (TPE), and (iii) best estimate of selling price (BESP). VSOE generally exists only when we sell the deliverable separately and is the price actually charged by us for that deliverable. VSOE is established for our software maintenance services and we use TPE or BESP to establish selling prices for our non-software related services. BESP is primarily used for elements that are not consistently priced within a narrow range or TPE is not available. We determine BESP for a deliverable by considering multiple factors including product class, geography, average discount, and management's historical pricing practices. Amounts allocated to the delivered hardware and software elements are recognized at the time of sale provided the other conditions for revenue recognition have been met. Amounts allocated to the undelivered maintenance and other services elements are recognized as the services are provided or on a straight-line basis over the service period. In certain instances, customer acceptance is required prior to the passage of title and risk of loss of the delivered products. In such cases, revenue is not recognized until the customer acceptance is obtained. Delivery and acceptance generally occur in the same reporting period. | |
In situations where our solutions contain software that is more than incidental, revenue related to the software and software-related elements is recognized in accordance with authoritative guidance on software revenue recognition. For the software and software-related elements of such transactions, revenue is allocated based on the relative fair value of each element, and fair value is determined by VSOE. If we cannot objectively determine the fair value of any undelivered element included in such multiple-element arrangements, we defer revenue until all elements are delivered and services have been performed, or until fair value can objectively be determined for any remaining undelivered elements. When the fair value of a delivered element has not been established, but fair value exists for the undelivered elements, we use the residual method to recognize revenue. Under the residual method, the fair value of the undelivered elements is deferred and the remaining portion of the arrangement fee is allocated to the delivered elements and is recognized as revenue. | |
Revenue recognition for complex contractual arrangements, especially those with multiple elements, requires a significant level of judgment and is based upon a review of specific contracts, past experience, the selling price of undelivered elements when sold separately, creditworthiness of customers, international laws and other factors. Changes in judgments about these factors could impact the timing and amount of revenue recognized between periods. | |
Revenue for hardware sales is recognized when the product is shipped to the customer and when obligations that affect the customer's final acceptance of the arrangement have been fulfilled. A majority of our hardware sales involves shipment directly from its suppliers to the end-user customers. In these transactions, we are responsible for negotiating price both with the supplier and the customer, payment to the supplier, establishing payment terms and product returns with the customer, and we bear the credit risk if the customer does not pay for the goods. As the principal contact with the customer, we recognize revenue and cost of goods sold when we are notified by the supplier that the product has been shipped. In certain limited instances, as shipping terms dictate, revenue is recognized upon receipt at the point of destination or upon installation at the customer site. | |
We offer proprietary software as well as remarketed software for sale to our customers. We offer our customers the right to license the software under a variety of models. Our customers can license our software under a perpetual model for an upfront fee or a subscription model. For subscription arrangements, we allow customers the right to use software, receive unspecified products as well as unspecified upgrades and enhancements and entitle the customer to receive hosting services for a specified term. The subscription revenue is generally recognized ratably over the term of the arrangement, typically three to five years. Revenue from subscription service arrangements is included in Support, maintenance and subscription services in the Consolidated Statements of Operations. A majority of our software sales do not require significant production, modification, or customization at the time of shipment (physically or electronically) to the customer. Substantially all of our software license arrangements do not include acceptance provisions. As such, revenue from both proprietary and remarketed software sales is typically recognized when the software has been shipped. For software delivered electronically, delivery is considered to have occurred when the customer either takes possession of the software via downloading or has been provided with the requisite codes that allow for immediate access to the software based on the U.S. Eastern time zone time stamp. | |
We also offer proprietary and third-party services to our customers. Proprietary services generally include: consulting, installation, integration and training. Many of our software arrangements include consulting services sold separately under consulting engagement contracts. When the arrangements qualify as service transactions, consulting revenue from these arrangements are accounted for separately from the software revenue. The significant factors considered in determining whether the revenue should be accounted for separately include the nature of the services (i.e., consideration of whether the services are essential to the functionality of the software), degree of risk, availability of services from other vendors, timing of payments, and the impact of milestones or other customer acceptance criteria on revenue realization. If there is significant uncertainty about the project completion or receipt of payment for consulting services, the revenue is deferred until the uncertainty is resolved. | |
For certain long-term proprietary service contracts with fixed or “not to exceed” fee arrangements, we estimate proportional performance using the hours incurred as a percentage of total estimated hours to complete the project consistent with the percentage-of-completion method of accounting. Accordingly, revenue for these contracts is recognized based on the proportion of the work performed on the contract. If there is no sufficient basis to measure progress toward completion, the revenue is recognized when final customer acceptance is received. Adjustments to contract price and estimated service hours are made periodically, and losses expected to be incurred on contracts in progress are charged to operations in the period such losses are determined. The aggregate of collections on uncompleted contracts in excess of related revenue is shown as a current liability | |
If an arrangement does not qualify for separate accounting of the software and consulting services, then the software revenue is recognized together with the consulting services using the percentage-of-completion or completed contract method of accounting. Contract accounting is applied to arrangements that include: milestones or customer-specific acceptance criteria that may affect the collection of revenue, significant modification or customization of the software, or provisions that tie the payment for the software to the performance of consulting services. | |
We also offer proprietary and third-party support to our customers. Support generally includes: support and maintenance of software and hardware products and subscription services. Revenue relating to proprietary support services is recognized evenly over the coverage period of the underlying agreement within support, maintenance and subscription revenue. In instances where we offer third-party support contracts to our customer, and the supplier is determined to be the primary obligor in the transaction, we report revenue at the time of the sale, only in the amount of the “commission” (equal to the selling price less the cost of sale) received rather than reporting revenue in the full amount of the selling price with separate reporting of the cost of sale. | |
Comprehensive (loss) income | ' |
Comprehensive (loss) income. Comprehensive (loss) income is the total of net (loss) income, as currently reported under GAAP, plus other comprehensive (loss) income. Other comprehensive (loss) income considers the effects of additional transactions and economic events that are not required to be recorded in determining net (loss) income, but rather are reported as a separate statement of comprehensive (loss) income. | |
Fair value measurements | ' |
Fair value measurements. We measure the fair value of financial assets and liabilities on a recurring or non-recurring basis. Financial assets and liabilities measured on a recurring basis are those that are adjusted to fair value each time a financial statement is prepared. Financial assets and liabilities measured on a non-recurring basis are those that are adjusted to fair value when a significant event occurs. In determining fair value of financial assets and liabilities, we use various valuation techniques. Additional information regarding fair value measurements is provided in Note 16, Fair Value Measurements. | |
Investments in corporate-owned life insurance policies and marketable securities | ' |
Investments in corporate-owned life insurance policies and marketable securities. Agilysys invests in corporate-owned life insurance policies and has historically invested in marketable securities primarily to satisfy future obligations of our employee benefit plans, including a benefit equalization plan (“BEP”) and supplemental executive retirement plan (“SERP”). Certain of these corporate-owned life insurance policies were held in a Rabbi Trust and were classified within “Other non-current assets” in the Consolidated Balance Sheets. Our investment in corporate-owned life insurance policies were recorded at their cash surrender value, which approximates fair value, at the balance sheet date. All obligations related to our employee benefit plans, BEP and SERP, were fulfilled in April 2012 with funds held in the Rabbi Trust. | |
Certain of these corporate-owned life insurance policies are endorsement split-dollar life insurance arrangements. We entered into a non-cancelable separate agreement with each of the former executives covered by these arrangements whereby we must maintain the life insurance policy for the specified amount and split a portion of the policy benefits with the former executive's designated beneficiary. | |
Our investment in marketable equity securities were held within the Rabbi Trust and classified as available for sale. However, these investments were restricted by the terms of the Rabbi Trust agreement and could only be used to satisfy the benefit obligations of our nonqualified benefit plans or to satisfy the obligations of our general creditors under an insolvency. The Rabbi Trust was liquidated upon the funding of BEP and SERP in April 2012. | |
Additional information regarding the investments in corporate-owned life insurance policies and marketable securities is provided in Note 12, Employee Benefit Plans. | |
Income Taxes | ' |
Income Taxes. Income tax expense includes U.S. and foreign income taxes and is based on reported income before income taxes. We recognize deferred tax assets and liabilities based on the differences between the financial statement carrying amounts and the tax basis of assets and liabilities. The deferred tax assets and liabilities are determined based on the enacted tax rates expected to apply in the periods in which the deferred tax assets or liabilities are anticipated to be settled or realized. | |
We regularly review our deferred tax assets for recoverability and establish a valuation allowance if it is more likely than not that some portion or all of a deferred tax asset will not be realized. The determination as to whether a deferred tax asset will be realized is made on a jurisdictional basis and is based on the evaluation of positive and negative evidence. This evidence includes historical taxable income, projected future taxable income, the expected timing of the reversal of existing temporary differences and the implementation of tax planning strategies. | |
We recognize the tax benefit from uncertain tax positions only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized from uncertain tax positions are measured at the largest amount of benefit that is greater than fifty percent likely of being realized upon ultimate settlement. No tax benefits are recognized for positions that do not meet this threshold. Interest related to uncertain tax positions is recognized as part of the provision for income taxes and is accrued beginning in the period that such interest would be applicable under relevant tax law until such time that the related tax benefits are recognized. Our income taxes are described further in Note 11, Income Taxes. | |
Reclassification | ' |
Changes to Prior Period Presentation. In the first quarter of fiscal 2014, as a result of increased visibility into our services organization, certain costs previously classified in product development expenses were recorded in cost of goods sold to more properly reflect the nature of these expenses. The portion of these expenses that was erroneously recorded in previous periods was immaterial to the overall financial statements. Prior period presentation has been modified to conform to the current presentation. | |
Correction of Error | ' |
Correction of Error. During the first quarter of fiscal 2013, we recorded out-of-period adjustments to increase revenues, restructuring, severance and other charges and asset impairments and related charges by $0.3 million, $0.7 million and $0.2 million, respectively. The net impact of the adjustments increased our operating loss by $0.6 million, or $(0.03) per share, and represents a correction of error. In fiscal 2012, we erroneously omitted certain revenue transactions, the costs associated with certain terminated individuals and certain third party development costs for our previously impaired developed technology. Management performed an evaluation under Staff Accounting Bulletin No. 108 and concluded the effect of the adjustment was immaterial to prior year’s financial statements as well as the full-year fiscal 2013 financial statements. | |
Capitalized Software Development Costs | ' |
Capitalized Software Development Costs. The capitalization of software development cost for external use begins when a product’s technological feasibility has been established. Capitalization ends when the resulting product is available for general market release. Amortization of the capitalized software is classified within products cost of goods sold in the Consolidated Statements of Operations. For each capitalized software product, the annual amortization is equal to the greater of: (i) the amount computed using the ratio that the software product’s current fiscal year gross revenue bears to the total current fiscal year and anticipated future gross revenues for that product or (ii) the amount computed based on straight-line method over the remaining estimated economic life of the product, which is a range between three and eight years. The amount by which unamortized software costs exceeds the net realizable value, if any, is recognized as a charge to income in the period it is determined. We capitalized approximately $13.7 million, $4.9 million and $2.5 million during fiscal 2014, 2013 and 2012, respectively. Amortization of internally developed capitalized software, including Guest 360 in fiscal 2012 was $0.2 million, $0.1 million and $0.7 million during fiscal 2014, 2013 and 2012, respectively. | |
Adopted and Recently Issued Accounting Pronouncements | ' |
Adopted and Recently Issued Accounting Pronouncements. | |
In May 2014, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers, which converges the FASB and the International Accounting Standards Board standard on revenue recognition. Areas of revenue recognition that will be affected include, but are not limited to, transfer of control, variable consideration, allocation of transfer pricing, licenses, time value of money, contract costs and disclosures. This is effective for the fiscal years and interim reporting periods beginning after December 15, 2016. We are currently evaluating the impact that the adoption of ASU 2014-09 will have on our consolidated financial statements or related disclosures. | |
In April 2014, FASB issued ASU No. 2014-08, Presentation of Financial Statements and Property, Plant and Equipment: Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity, which requires only disposals representing a strategic shift in operations that have a major effect on operations and financial results to be presented as discontinued operations. The guidance also requires expanded financial disclosures about discontinued operations and significant disposals that do not qualify as discontinued operations. This is effective for the fiscal years and interim reporting periods beginning after December 15, 2014. We do not expect the adoption of this guidance to have a material impact on our consolidated financial statements or related disclosures. | |
In July 2013, FASB issued ASU No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. ASU 2013-11 clarifies guidance and eliminates diversity in practice on the presentation of unrecognized tax benefits when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists at the reporting date. This new guidance is effective on a prospective basis for fiscal years and interim reporting periods within those years, beginning after December 15, 2013. We are currently evaluating the impact that the adoption of ASU 2013-11 will have our consolidated financial statements or related disclosures. | |
In March 2013, FASB issued ASU No. 2013-05, Foreign Currency Matters: Parent's Accounting for the Cumulative Translation Adjustment upon Derecognition of Certain Subsidiaries or Groups of Assets within a Foreign Entity or of an Investment in a Foreign Entity, an amendment which allows an entity to release cumulative translation adjustment into net income when a parent either sells a part or all of its investment in a foreign entity or no longer holds a controlling financial interest in a subsidiary or group of assets that is a nonprofit activity or a business within a foreign entity. This is effective for fiscal years and interim reporting periods beginning after December 15, 2013, with early adoption permitted. We do not expect the adoption of this guidance to have a material impact on our consolidated financial statements or related disclosures. | |
In February 2013, the FASB issued ASU No. 2013-02, Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income, which amends certain provisions in ASC 220 Comprehensive Income. These provisions require the disclosure of significant amounts that are reclassified out of other comprehensive income into net income in its entirety during the reporting period. These provisions are effective for fiscal and interim periods beginning after December 15, 2012. We adopted this guidance as of April 1, 2013, and it did not have a material impact on our consolidated financial statements or related disclosures. | |
In July 2012, the FASB issued ASU No. 2012-02, Intangibles-Goodwill and Other-Testing Indefinite-Lived Intangible Assets for Impairment, to allow entities to use a qualitative approach to test indefinite-lived intangible assets for impairment. ASU 2012-02 permits an entity to first perform a qualitative assessment to determine whether it is more likely than not that the fair value of an indefinite-lived intangible asset is less than its carrying value. If it is concluded that this is the case, it is then necessary to perform the currently prescribed quantitative impairment test by comparing the fair value of the indefinite-lived intangible asset with its carrying value. Otherwise, the quantitative impairment test is not required. This guidance is effective for fiscal years beginning after September 15, 2012 and early adoption is permitted. We adopted this guidance as of April 1, 2013, and it did not have a material impact on our consolidated financial statements or related disclosures. | |
Management continually evaluates the potential impact, if any, of all recent accounting pronouncements on our consolidated financial statements or related disclosures and, if significant, makes the appropriate disclosures required by such new accounting pronouncements. |
Acquisitions_Tables
Acquisitions (Tables) | 12 Months Ended | |||||
Mar. 31, 2014 | ||||||
Business Combinations [Abstract] | ' | |||||
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | ' | |||||
The following is a summary of the estimated fair values of the assets acquired and liabilities assumed from the acquisition: | ||||||
(In thousands) | ||||||
Current assets | $ | 327 | ||||
Property and equipment | 88 | |||||
Goodwill | 3,444 | |||||
Developed technology | 605 | |||||
Total assets acquired | 4,464 | |||||
Total liabilities assumed (all current) | 914 | |||||
Net assets acquired | $ | 3,550 | ||||
Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination [Table Text Block] | ' | |||||
The following is a summary of the intangible asset acquired and the weighted-average useful life over which it will be amortized. | ||||||
Weighted-average | ||||||
Purchased assets | useful life | |||||
Developed technology | $ | 605 | 5 years | |||
Discontinued_Operations_Tables
Discontinued Operations (Tables) | 12 Months Ended | |||||||||||
Mar. 31, 2014 | ||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | |||||||||||
Income from discontinued operations | ' | |||||||||||
For fiscal 2014, 2013 and 2012, the income from discontinued operations was comprised of the following: | ||||||||||||
Year ended March 31, | ||||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||||
Discontinued operations: | ||||||||||||
Net revenue | $ | 28,950 | $ | 143,261 | $ | 251,484 | ||||||
Income from operations | 249 | $ | 8,196 | $ | 3,056 | |||||||
Other expense, net | (266 | ) | (447 | ) | (410 | ) | ||||||
Gain on sale | 21,933 | — | 19,486 | |||||||||
Income on sale | 21,916 | 7,749 | 22,132 | |||||||||
Income tax expense | 1,924 | 2,833 | 7,422 | |||||||||
Income from discontinued operations | $ | 19,992 | $ | 4,916 | $ | 14,710 | ||||||
Restructuring_Charges_Tables
Restructuring Charges (Tables) | 12 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Restructuring Charges [Abstract] | ' | |||||||||||||||
Reconciliation of the beginning and ending balances of the company's restructuring liabilities | ' | |||||||||||||||
Following is a reconciliation of the beginning and ending balances of the restructuring liability: | ||||||||||||||||
Balance at | Balance at | |||||||||||||||
March 31, | March 31, | |||||||||||||||
(In thousands) | 2013 | Provision | Payments | 2014 | ||||||||||||
Fiscal 2014 Restructuring Plans: | ||||||||||||||||
Severance and employment costs | $ | — | $ | 1,257 | $ | (723 | ) | $ | 534 | |||||||
Fiscal 2012 Restructuring Plan: | ||||||||||||||||
Severance and employment costs | 348 | — | (348 | ) | — | |||||||||||
Fiscal 2009 Restructuring Plan: | ||||||||||||||||
Facilities costs | 236 | 32 | (268 | ) | — | |||||||||||
Total restructuring costs | $ | 584 | $ | 1,289 | $ | (1,339 | ) | $ | 534 | |||||||
Balance at | Balance at | |||||||||||||||
March 31, | March 31, | |||||||||||||||
(In thousands) | 2012 | Provision | Payments | 2013 | ||||||||||||
Fiscal 2012 Restructuring Plan: | ||||||||||||||||
Severance and employment costs | 5,257 | 1,146 | (6,055 | ) | 348 | |||||||||||
Facilities costs | 297 | (57 | ) | (240 | ) | — | ||||||||||
Fiscal 2009 Restructuring Plan: | ||||||||||||||||
Facilities costs | 495 | (2 | ) | (257 | ) | 236 | ||||||||||
Total restructuring costs | 6,049 | 1,087 | (6,552 | ) | 584 | |||||||||||
Balance at | Balance at | |||||||||||||||
March 31, | Payments and | March 31, | ||||||||||||||
(In thousands) | 2011 | Provision | Settlements | 2012 | ||||||||||||
Fiscal 2012 Restructuring Plan: | ||||||||||||||||
Severance and employment costs | $ | — | $ | 7,091 | $ | (1,834 | ) | $ | 5,257 | |||||||
Facilities costs | — | 3,223 | (2,926 | ) | 297 | |||||||||||
Fiscal 2009 Restructuring Plan: | ||||||||||||||||
Severance and employment costs | 289 | 308 | (597 | ) | — | |||||||||||
Facilities costs | 444 | 235 | (184 | ) | 495 | |||||||||||
Total restructuring costs | $ | 733 | $ | 10,857 | $ | (5,541 | ) | $ | 6,049 | |||||||
Property_and_Equipment_Net_Tab
Property and Equipment, Net (Tables) | 12 Months Ended | ||||||
Mar. 31, 2014 | |||||||
Property, Plant and Equipment [Abstract] | ' | ||||||
Schedule of property and equipment | ' | ||||||
Property and equipment at March 31, 2014 and 2013 is as follows: | |||||||
Year ended March 31, | |||||||
(In thousands) | 2014 | 2013 | |||||
Furniture and equipment | $ | 8,849 | $ | 9,173 | |||
Software | 16,982 | 16,349 | |||||
Leasehold improvements | 4,836 | 4,522 | |||||
Project expenditures not yet in use | 2,749 | 1,379 | |||||
33,416 | 31,423 | ||||||
Accumulated depreciation and amortization | (21,165 | ) | (17,632 | ) | |||
Property and equipment, net | $ | 12,251 | $ | 13,791 | |||
Schedule of capital leased assets | ' | ||||||
Total assets under capital leases at March 31, 2014 and 2013 are as follows: | |||||||
Year ended March 31, | |||||||
(In thousands) | 2014 | 2013 | |||||
Capital leases | $ | 817 | $ | 983 | |||
Less accumulated depreciation | (692 | ) | (983 | ) | |||
Assets under capital lease, net | $ | 125 | $ | — | |||
Goodwill_and_Intangible_Assets1
Goodwill and Intangible Assets (Tables) | 12 Months Ended | |||||||||||||||||||
Mar. 31, 2014 | ||||||||||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | |||||||||||||||||||
Schedule of goodwill | ' | |||||||||||||||||||
The changes in the carrying amount of goodwill for the years ended March 31, 2014 and 2013 are as follows: | ||||||||||||||||||||
(In thousands) | ||||||||||||||||||||
Balance at March 31, 2012 | $ | 135,285 | ||||||||||||||||||
Accumulated impairment losses as of March 31, 2012 | (120,087 | ) | ||||||||||||||||||
15,198 | ||||||||||||||||||||
Impact of foreign currency translation | (1,070 | ) | ||||||||||||||||||
Balance at March 31, 2013 | $ | 14,128 | ||||||||||||||||||
Acquisitions | 3,444 | |||||||||||||||||||
Impact of foreign currency translation | 196 | |||||||||||||||||||
Allocation of goodwill to UK entity | (610 | ) | ||||||||||||||||||
Balance at March 31, 2014 | $ | 17,158 | ||||||||||||||||||
Schedule of intangible assets | ' | |||||||||||||||||||
The following table summarizes our intangible assets at March 31, 2014, and 2013: | ||||||||||||||||||||
2014 | 2013 | |||||||||||||||||||
Gross | Net | Gross | Net | |||||||||||||||||
carrying | Accumulated | carrying | carrying | Accumulated | carrying | |||||||||||||||
(In thousands) | amount | amortization | amount | amount | amortization | amount | ||||||||||||||
Amortized intangible assets: | ||||||||||||||||||||
Customer relationships | $ | 10,775 | $ | (10,080 | ) | $ | 695 | $ | 10,775 | $ | (9,179 | ) | $ | 1,596 | ||||||
Non-competition agreements | 2,700 | (2,473 | ) | 227 | 2,700 | (2,213 | ) | 487 | ||||||||||||
Developed technology | 10,660 | (10,156 | ) | 504 | 10,055 | (10,055 | ) | — | ||||||||||||
Patented technology | 80 | (80 | ) | — | 80 | (80 | ) | — | ||||||||||||
24,215 | (22,789 | ) | 1,426 | 23,610 | (21,527 | ) | 2,083 | |||||||||||||
Unamortized intangible assets: | ||||||||||||||||||||
Trade names | 10,100 | N/A | 10,100 | 10,100 | N/A | 10,100 | ||||||||||||||
Accumulated impairment | (900 | ) | N/A | (900 | ) | (900 | ) | N/A | (900 | ) | ||||||||||
9,200 | N/A | 9,200 | 9,200 | N/A | 9,200 | |||||||||||||||
Total intangible assets | $ | 33,415 | $ | (22,789 | ) | $ | 10,626 | $ | 32,810 | $ | (21,527 | ) | $ | 11,283 | ||||||
Software development costs | $ | 14,587 | $ | (270 | ) | $ | 14,317 | $ | 9,493 | $ | — | $ | 9,493 | |||||||
Project expenditures not yet in use | 12,397 | — | 12,397 | 5,579 | — | 5,579 | ||||||||||||||
Accumulated impairment | (9,493 | ) | N/A | (9,493 | ) | (9,493 | ) | N/A | (9,493 | ) | ||||||||||
Total software development costs | $ | 17,491 | $ | (270 | ) | $ | 17,221 | $ | 5,579 | $ | — | $ | 5,579 | |||||||
Schedule of remaining estimated amortization expense | ' | |||||||||||||||||||
The following table summarizes our remaining estimated amortization expense relating to in service intangible assets. | ||||||||||||||||||||
Estimated | ||||||||||||||||||||
Amortization | ||||||||||||||||||||
(In thousands) | Expense | |||||||||||||||||||
Fiscal year ending March 31, | ||||||||||||||||||||
2015 | $ | 2,066 | ||||||||||||||||||
2016 | 1,140 | |||||||||||||||||||
2017 | 1,140 | |||||||||||||||||||
2018 | 1,140 | |||||||||||||||||||
2019 | 764 | |||||||||||||||||||
Total | $ | 6,250 | ||||||||||||||||||
Financing_Arrangements_Tables
Financing Arrangements (Tables) | 12 Months Ended | ||||||
Mar. 31, 2014 | |||||||
Debt Disclosure [Abstract] | ' | ||||||
Summary of long-term obligations | ' | ||||||
The following is a summary of long-term obligations at March 31, 2014, and 2013: | |||||||
(In thousands) | 2014 | 2013 | |||||
Capital lease obligations | $ | 335 | $ | 86 | |||
Less: current maturities | (43 | ) | (58 | ) | |||
Long -term capital lease obligations | $ | 292 | $ | 28 | |||
Schedule of future lease payments under capital leases | ' | ||||||
Minimum future lease payments under capital leases as of March 31, 2014, are as follows: | |||||||
(In thousands) | Amount | ||||||
Fiscal year ending March 31, | |||||||
2015 | $ | 49 | |||||
2016 | 148 | ||||||
2017 | 138 | ||||||
2018 | 19 | ||||||
Total minimum lease payments | $ | 354 | |||||
Less: amount representing interest | (19 | ) | |||||
Present value of minimum lease payments | $ | 335 | |||||
Supplemental_Disclosures_of_Ca1
Supplemental Disclosures of Cash Flow Information (Tables) | 12 Months Ended | ||||||
Mar. 31, 2014 | |||||||
Supplemental Cash Flow Elements [Abstract] | ' | ||||||
Schedule of supplemental cash flow information | ' | ||||||
Additional information related to the Consolidated Statements of Cash Flows is as follows: | |||||||
Year ended March 31, | |||||||
(In thousands) | 2014 | 2013 | 2012 | ||||
Cash payments for interest | 110 | 252 | 841 | ||||
Cash payments (refunds) from income tax, net | 485 | 9 | (1,675 | ) | |||
Acquisition of property and equipment under lease obligations | 410 | 41 | 664 | ||||
Asset retirement obligation | — | — | 494 | ||||
Additional_Balance_Sheet_Infor1
Additional Balance Sheet Information (Tables) | 12 Months Ended | |||||||
Mar. 31, 2014 | ||||||||
Balance Sheet Related Disclosures [Abstract] | ' | |||||||
Additional information related to the Company's Consolidated Balance Sheets | ' | |||||||
Additional information related to the Consolidated Balance Sheets is as follows: | ||||||||
Year ended March 31, | ||||||||
(In thousands) | 2014 | 2013 | ||||||
Accrued liabilities: | ||||||||
Salaries, wages, and related benefits | $ | 8,308 | $ | 6,777 | ||||
Other taxes payable | 1,122 | 1,035 | ||||||
Accrued legal settlements | 1,630 | 1,664 | ||||||
Restructuring liabilities | 534 | 584 | ||||||
Professional fees | 674 | 678 | ||||||
Software license fees | 500 | — | ||||||
Deferred rent | 477 | 362 | ||||||
Contingent consideration | 127 | — | ||||||
Income taxes payable | — | 722 | ||||||
Other | 860 | 1,016 | ||||||
Total | $ | 14,232 | $ | 12,838 | ||||
Other non-current liabilities: | ||||||||
Income taxes payable/uncertain tax positions | $ | 2,440 | $ | 2,469 | ||||
Deferred rent | 1,755 | 1,957 | ||||||
Contingent consideration | 1,612 | — | ||||||
Other | 358 | 195 | ||||||
Total | $ | 6,165 | $ | 4,621 | ||||
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | |||||||||||
Mar. 31, 2014 | ||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||
Schedule of income from continuing operations before income taxes | ' | |||||||||||
For the year ended March 31, income from continuing operations before income taxes consisted of the following: | ||||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||||
Loss before income taxes | ||||||||||||
United States | $ | (5,475 | ) | $ | (9,594 | ) | $ | (46,728 | ) | |||
Foreign | 89 | 262 | 54 | |||||||||
Total loss from continuing operations before income taxes | $ | (5,386 | ) | $ | (9,332 | ) | $ | (46,674 | ) | |||
Schedule of income tax (benefit) expense | ' | |||||||||||
For the year ended March 31, income tax (benefit) expense consisted of the following: | ||||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||||
Income tax (benefit) expense | ||||||||||||
Current: | ||||||||||||
Federal | $ | (2,206 | ) | $ | (3,002 | ) | $ | (9,208 | ) | |||
State and local | (161 | ) | 28 | 31 | ||||||||
Foreign | 55 | 100 | 5 | |||||||||
Deferred: | ||||||||||||
Federal | (161 | ) | — | — | ||||||||
State and local | (20 | ) | (252 | ) | — | |||||||
Foreign | 2 | 8 | (9 | ) | ||||||||
Total income tax benefit | $ | (2,491 | ) | $ | (3,118 | ) | $ | (9,181 | ) | |||
Schedule of effective income tax rate reconciliation | ' | |||||||||||
The following table presents the principal components of the difference between the effective tax rate for continuing operations to the U.S. federal statutory income tax rate for the years ended March 31: | ||||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||||
Income tax benefit at the statutory rate of 35% | $ | (2,103 | ) | $ | (3,266 | ) | $ | (16,729 | ) | |||
(Benefit) provision for state taxes | (106 | ) | (14 | ) | 73 | |||||||
Impact of foreign operations | 14 | (48 | ) | 956 | ||||||||
Indefinite life assets | 47 | (251 | ) | 72 | ||||||||
Officer life insurance | (28 | ) | (75 | ) | 36 | |||||||
Change in valuation allowance | (76 | ) | 627 | 8,345 | ||||||||
Change in liability for unrecognized tax benefits | (561 | ) | (230 | ) | (1,536 | ) | ||||||
Meals and entertainment | 113 | 114 | 177 | |||||||||
Other | 209 | 25 | (575 | ) | ||||||||
Total income tax benefit | $ | (2,491 | ) | $ | (3,118 | ) | $ | (9,181 | ) | |||
Schedule of deferred tax assets and liabilities | ' | |||||||||||
Deferred tax assets and liabilities as of March 31, are as follows: | ||||||||||||
(In thousands) | 2014 | 2013 | ||||||||||
Deferred tax assets: | ||||||||||||
Accrued liabilities | $ | 3,884 | $ | 5,933 | ||||||||
Allowance for doubtful accounts | 408 | 244 | ||||||||||
Inventory valuation reserve | 14 | 31 | ||||||||||
Restructuring reserve | 54 | 213 | ||||||||||
Federal losses and credit carryforwards | 55,231 | 56,635 | ||||||||||
Foreign net operating losses | 330 | 331 | ||||||||||
State losses and credit carryforwards | 10,706 | 10,221 | ||||||||||
Deferred compensation | 70 | 76 | ||||||||||
Deferred revenue | 61 | — | ||||||||||
Goodwill and other intangible assets | 3,611 | 3,574 | ||||||||||
Other | 514 | 543 | ||||||||||
74,883 | 77,801 | |||||||||||
Less: valuation allowance | (73,014 | ) | (73,595 | ) | ||||||||
Total | 1,869 | 4,206 | ||||||||||
Deferred tax liabilities: | ||||||||||||
Property and equipment & software amortization | (1,560 | ) | (4,091 | ) | ||||||||
Indefinite-lived goodwill & intangible assets | (3,622 | ) | (3,574 | ) | ||||||||
Other | (81 | ) | (113 | ) | ||||||||
Total | (5,263 | ) | (7,778 | ) | ||||||||
Total deferred tax liabilities | $ | (3,394 | ) | $ | (3,572 | ) | ||||||
Schedule of unrecognized tax benefits rollforward | ' | |||||||||||
We recorded a liability for unrecognized tax positions. The aggregate changes in the balance of our gross unrecognized tax benefits were as follows for the years ended March 31: | ||||||||||||
(In thousands) | 2014 | 2013 | 2012 | |||||||||
Balance at April 1 | $ | 4,248 | $ | 2,873 | $ | 4,123 | ||||||
Additions: | ||||||||||||
Relating to positions taken during current year | — | 1,624 | 1 | |||||||||
Relating to positions taken during prior year | — | — | 47 | |||||||||
Reductions: | ||||||||||||
Relating to tax settlements | — | — | (293 | ) | ||||||||
Relating to positions taken during prior year | (1,238 | ) | — | (47 | ) | |||||||
Relating to lapse in statute | (442 | ) | (249 | ) | (958 | ) | ||||||
Balance at March 31 | $ | 2,568 | $ | 4,248 | $ | 2,873 | ||||||
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 12 Months Ended | |||
Mar. 31, 2014 | ||||
Commitments and Contingencies Disclosure [Abstract] | ' | |||
Schedule of future minimum rental payments required under operating leases | ' | |||
The following is a schedule by year of future minimum rental payments required under operating leases, excluding the related operating expenses, which have initial or remaining non-cancelable lease terms in excess of a year as of March 31, 2014: | ||||
(In thousands) | Amount | |||
Fiscal year ending March 31, | ||||
2015 | $ | 2,674 | ||
2016 | 2,033 | |||
2017 | 1,089 | |||
2018 | 1,100 | |||
2019 | 610 | |||
Thereafter | 1,130 | |||
Total minimum lease payments | $ | 8,636 | ||
Loss_Earnings_per_Share_Tables
(Loss) Earnings per Share (Tables) | 12 Months Ended | |||||||||||
Mar. 31, 2014 | ||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||
Computing (loss) earnings per share and the effect on income and the weighted average number of dilutive potential common shares | ' | |||||||||||
The following data shows the amounts used in computing (loss) earnings per share and the effect on income and the weighted average number of shares of dilutive potential common shares. | ||||||||||||
Year ended March 31, | ||||||||||||
(In thousands, except per share data) | 2014 | 2013 | 2012 | |||||||||
Numerator: | ||||||||||||
Loss from continuing operations - basic and diluted | $ | (2,895 | ) | $ | (6,214 | ) | $ | (37,493 | ) | |||
Income from discontinued operations - basic and diluted | 19,992 | 4,916 | 14,710 | |||||||||
Net income (loss) - basic and diluted | $ | 17,097 | $ | (1,298 | ) | $ | (22,783 | ) | ||||
Denominator: | ||||||||||||
Weighted average shares outstanding - basic and diluted | 22,135 | 21,880 | 22,432 | |||||||||
(Loss) earnings per share - basic and diluted: | ||||||||||||
Loss from continuing operations | $ | (0.13 | ) | $ | (0.28 | ) | $ | (1.67 | ) | |||
Income from discontinued operations | 0.9 | 0.22 | 0.65 | |||||||||
Net income (loss) per share | $ | 0.77 | $ | (0.06 | ) | $ | (1.02 | ) | ||||
Anti-dilutive stock options, SSARs, restricted shares and performance shares | 1,806 | 1,781 | 2,449 | |||||||||
Sharebased_Compensation_Tables
Share-based Compensation (Tables) | 12 Months Ended | ||||||||||||
Mar. 31, 2014 | |||||||||||||
Share-based Compensation [Abstract] | ' | ||||||||||||
Summary of share-based compensation expense for options | ' | ||||||||||||
The following table summarizes the share-based compensation expense for options, SSARs, restricted and performance awards included in the Consolidated Statements of Operations for fiscal 2014, 2013 and 2012: | |||||||||||||
Year ended March 31, | |||||||||||||
(In thousands) | 2014 | 2013 | 2012 | ||||||||||
Product development | $ | 700 | $ | 475 | $ | 64 | |||||||
Sales and marketing | 90 | 65 | 65 | ||||||||||
General and administrative | 1,329 | 1,098 | 2,268 | ||||||||||
Total share-based compensation expense | $ | 2,119 | $ | 1,638 | $ | 2,397 | |||||||
Activity related stock options award | ' | ||||||||||||
The following table summarizes the activity during fiscal 2014 for stock options awarded under the 2006 Plan: | |||||||||||||
(In thousands, except share and per share data) | Number | Weighted- | Remaining | Aggregate | |||||||||
of | Average | Contractual | Intrinsic | ||||||||||
Options | Exercise | Term | Value | ||||||||||
Price | |||||||||||||
(per share) | (in years) | ||||||||||||
Outstanding at April 1, 2013 | 1,318,000 | $ | 14.07 | ||||||||||
Granted | — | — | |||||||||||
Exercised | (645,500 | ) | 12.5 | ||||||||||
Cancelled/expired | (45,000 | ) | 20.19 | ||||||||||
Outstanding and exercisable at March 31, 2014 | 627,500 | $ | 15.26 | 2 | $ | 16 | |||||||
Schedule additional information related to stock option activity | ' | ||||||||||||
The following table presents additional information related to stock option activity during the fiscal years ended March 31, 2014, 2013 and 2012: | |||||||||||||
(In thousands) | 2014 | 2013 | 2012 | ||||||||||
Proceeds from stock options exercised | $ | 169 | $ | 67 | $ | 210 | |||||||
Total intrinsic value of stock options exercised | $ | 1,402 | $ | 382 | $ | 2,070 | |||||||
Schedule of principal assumptions utilized in valuing SSARs | ' | ||||||||||||
The following table summarizes the principal assumptions utilized in valuing SSARs granted in fiscal 2014, 2013 and 2012: | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Risk-free interest rate | 1.05%-1.39% | 0.67%-0.89% | 0.83%-2.09% | ||||||||||
Expected life (in years) | 5 | 5 | 4.5 | ||||||||||
Expected volatility | 80.78%-80.93% | 81.03%-83.77% | 80.75%-82.20% | ||||||||||
Weighted average grant date fair value | $7.96 | $4.92 | $4.73 | ||||||||||
Activity related SSARs award | ' | ||||||||||||
The following table presents additional information related to SSARs activity during fiscal 2014, 2013 and 2012: | |||||||||||||
(In thousands) | 2014 | 2013 | 2012 | ||||||||||
Compensation expense | $ | 611 | $ | 595 | $ | 1,422 | |||||||
Total intrinsic value of SSARs exercised | $ | 2,131 | $ | 373 | $ | 1,871 | |||||||
Total fair value of SSARs vesting | $ | 636 | $ | 778 | $ | 3,197 | |||||||
The following table summarizes the activity during fiscal 2014 for SSARs awarded under the 2011 Plan and the 2006 Plan: | |||||||||||||
(In thousands, except share and per share data) | Number | Weighted- | Remaining | Aggregate | |||||||||
of Rights | Average | Contractual | Intrinsic | ||||||||||
Exercise | Term | Value | |||||||||||
Price | |||||||||||||
(per right) | (in years) | ||||||||||||
Outstanding at April 1, 2013 | 683,119 | $ | 7.27 | ||||||||||
Granted | 119,120 | 12.36 | |||||||||||
Exercised | (331,318 | ) | 6.86 | ||||||||||
Forfeited | (149,905 | ) | 8.51 | ||||||||||
Cancelled/expired | (4,181 | ) | 7.37 | ||||||||||
Outstanding at March 31, 2014 | 316,835 | $ | 9.02 | 5.4 | $ | 1,388 | |||||||
Exercisable at March 31, 2014 | 194,023 | $ | 8.46 | 5.2 | $ | 959 | |||||||
Vested and expected to vest at March 31, 2014 | 296,192 | $ | 8.94 | 5.3 | $ | 1,321 | |||||||
Activity related to restricted shares awarded by the Company | ' | ||||||||||||
The following table presents additional information related to restricted stock activity during fiscal years 2014, 2013, and 2012: | |||||||||||||
(In thousands) | 2014 | 2013 | 2012 | ||||||||||
Compensation expense | $ | 1,486 | $ | 989 | $ | 975 | |||||||
Total fair value of restricted share vesting | $ | 1,579 | $ | 1,099 | $ | 976 | |||||||
The following table summarizes the activity during the twelve months ended March 31, 2014 for restricted shares awarded under the 2011 Plan: | |||||||||||||
Number | Weighted- | ||||||||||||
of Shares | Average | ||||||||||||
Grant- | |||||||||||||
Date Fair | |||||||||||||
Value | |||||||||||||
(per share) | |||||||||||||
Outstanding at April 1, 2013 | 122,039 | $ | 7.99 | ||||||||||
Granted | 192,275 | 12.33 | |||||||||||
Vested | (119,497 | ) | 10.76 | ||||||||||
Forfeited | (56,768 | ) | 10.23 | ||||||||||
Outstanding at March 31, 2014 | 138,049 | $ | 10.71 | ||||||||||
Performance shares awarded by the Company | ' | ||||||||||||
The following table summarizes the activity during fiscal 2014 for performance shares awarded under the 2011 Plan: | |||||||||||||
Number | Weighted- | ||||||||||||
of | Average | ||||||||||||
Shares | Grant- | ||||||||||||
Date Fair | |||||||||||||
Value | |||||||||||||
(per share) | |||||||||||||
Outstanding at April 1, 2013 | — | $ | — | ||||||||||
Granted | 17,728 | 8.64 | |||||||||||
Outstanding at March 31, 2014 | 17,728 | $ | 8.64 | ||||||||||
Schedule of additional information related to performance share activity | ' | ||||||||||||
The following table presents additional information related to performance share activity during the fiscal 2014, 2013, and 2012: | |||||||||||||
(In thousands) | 2014 | 2013 | 2012 | ||||||||||
Compensation expense | $ | 22 | $ | 54 | $ | 104 | |||||||
Total fair value of performance share vesting | $ | — | $ | — | 337 | ||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 12 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Assets and liabilities measured at fair value on a recurring basis | ' | |||||||||||||||
The following tables present information about our financial assets and liabilities measured at fair value on a recurring basis and indicate the fair value hierarchy of the valuation techniques utilized to determine such fair value: | ||||||||||||||||
Fair value measurement used | ||||||||||||||||
Recorded | Active | Quoted | Active | |||||||||||||
value | markets | prices in | markets for | |||||||||||||
as of | for | similar | unobservable | |||||||||||||
identical | instruments | inputs | ||||||||||||||
assets or | and | |||||||||||||||
liabilities | observable | |||||||||||||||
inputs | ||||||||||||||||
(In thousands) | March 31, 2014 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||||
Investments | $ | 28,999 | $ | — | $ | 28,999 | $ | — | ||||||||
Corporate-owned life insurance — current | 1,989 | — | — | 1,989 | ||||||||||||
Corporate-owned life insurance — non-current | 2,371 | — | — | 2,371 | ||||||||||||
Liabilities: | ||||||||||||||||
Contingent consideration — current | $ | 127 | $ | — | $ | — | $ | 127 | ||||||||
Contingent consideration — non-current | 1,612 | — | — | 1,612 | ||||||||||||
Fair value measurement used | ||||||||||||||||
Recorded | Active | Quoted | Active | |||||||||||||
value | markets | prices in | markets for | |||||||||||||
as of | for | similar | unobservable | |||||||||||||
identical | instruments | inputs | ||||||||||||||
assets or | and | |||||||||||||||
liabilities | observable | |||||||||||||||
inputs | ||||||||||||||||
(In thousands) | March 31, 2013 | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||||
Corporate-owned life insurance — non-current | $ | 3,673 | $ | — | $ | — | $ | 3,673 | ||||||||
Summary of changes in the fair value of the Level 3 assets and liabilities Corporate-owned life insurance | ' | |||||||||||||||
The following table presents a summary of changes in the fair value of the Level 3 assets and liabilities for the fiscal years ended March 31, 2014 and 2013: | ||||||||||||||||
Level 3 assets and | ||||||||||||||||
liabilities | ||||||||||||||||
(In thousands) | 2014 | 2013 | ||||||||||||||
Corporate-owned life insurance: | ||||||||||||||||
Balance on April 1 | $ | 3,673 | $ | 3,458 | ||||||||||||
Realized gains | — | — | ||||||||||||||
Unrealized gain relating to instruments held at reporting date | 600 | 107 | ||||||||||||||
Purchases, sales, issuances and settlements, net | 87 | 108 | ||||||||||||||
Balance on March 31 | $ | 4,360 | $ | 3,673 | ||||||||||||
Summary of changes in the fair value of the Level 3 assets and liabilities | ' | |||||||||||||||
The following table presents a summary of changes in the fair value of the Level 3 assets and liabilities for fiscal years ended March 31, 2014 and 2013: | ||||||||||||||||
Level 3 assets and liabilities | ||||||||||||||||
Year ended March 31, 2014 | ||||||||||||||||
(In thousands) | Contingent consideration | |||||||||||||||
Balance at April 1, 2013 | $ | — | ||||||||||||||
Amortization | — | |||||||||||||||
Provisions | — | |||||||||||||||
Activity, payments and other charges (net) | 1,739 | |||||||||||||||
Balance at March 31, 2014 | $ | 1,739 | ||||||||||||||
Level 3 assets and liabilities | ||||||||||||||||
Year ended March 31, 2013 | ||||||||||||||||
SERP | ||||||||||||||||
obligations | ||||||||||||||||
Balance at April 1, 2012 | $ | 3,323 | ||||||||||||||
Amortization | — | |||||||||||||||
Provisions | — | |||||||||||||||
Activity, payments and other charges (net) | (3,323 | ) | ||||||||||||||
Balance at March 31, 2013 | $ | — | ||||||||||||||
Quarterly_Results_Unaudited_Ta
Quarterly Results (Unaudited) (Tables) | 12 Months Ended | |||||||||||||||
Mar. 31, 2014 | ||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | |||||||||||||||
Schedule of quarterly financial information | ' | |||||||||||||||
Year ended March 31, 2014 | ||||||||||||||||
First | Second | Third | Fourth | Year | ||||||||||||
(In thousand except per share data) | quarter | quarter | quarter | Quarter | ||||||||||||
Net revenue | $ | 23,700 | $ | 24,846 | $ | 24,965 | $ | 27,750 | $ | 101,261 | ||||||
Gross profit | 15,637 | 16,588 | 15,155 | 16,660 | 64,040 | |||||||||||
Asset impairments and related charges | — | 18 | 309 | — | 327 | |||||||||||
Restructuring, severance and other charges | 55 | 562 | 206 | 569 | 1,392 | |||||||||||
Income (loss) from continuing operations | $ | 789 | $ | (1,310 | ) | $ | (1,711 | ) | $ | (663 | ) | $ | (2,895 | ) | ||
Income (loss) from discontinued operations, net of taxes | 527 | 21,763 | (952 | ) | (1,346 | ) | 19,992 | |||||||||
Net income (loss) | $ | 1,316 | $ | 20,453 | $ | (2,663 | ) | $ | (2,009 | ) | $ | 17,097 | ||||
Per share data-basic: | ||||||||||||||||
Loss from continuing operations | $ | 0.04 | $ | (0.06 | ) | $ | (0.08 | ) | $ | (0.03 | ) | $ | (0.13 | ) | ||
Income (loss) from discontinued operations | 0.02 | 0.98 | (0.04 | ) | (0.06 | ) | 0.9 | |||||||||
Net income (loss) | $ | 0.06 | $ | 0.92 | $ | (0.12 | ) | $ | (0.09 | ) | $ | 0.77 | ||||
Per share data-diluted: | ||||||||||||||||
Income (loss) from continuing operations | $ | 0.04 | $ | (0.06 | ) | $ | (0.08 | ) | $ | (0.03 | ) | $ | (0.13 | ) | ||
Income (loss) from discontinued operations | 0.02 | 0.98 | (0.04 | ) | (0.06 | ) | 0.9 | |||||||||
Net income (loss) | $ | 0.06 | $ | 0.92 | $ | (0.12 | ) | $ | (0.09 | ) | $ | 0.77 | ||||
Year ended March 31, 2013 | ||||||||||||||||
First | Second | Third | Fourth | Year | ||||||||||||
(In thousands except per share data) | quarter | quarter | quarter | Quarter | ||||||||||||
Net revenue | $ | 21,621 | $ | 23,277 | $ | 27,042 | $ | 22,068 | $ | 94,008 | ||||||
Gross profit | 13,566 | 14,273 | 14,930 | 14,850 | 57,619 | |||||||||||
Asset impairments and related charges | 208 | — | — | (88 | ) | 120 | ||||||||||
Legal settlements | — | — | — | 1,664 | 1,664 | |||||||||||
Restructuring, severance and other charges | 1,125 | 430 | (31 | ) | (29 | ) | 1,495 | |||||||||
Loss from continuing operations | $ | (2,450 | ) | $ | (1,189 | ) | $ | (945 | ) | $ | (1,630 | ) | $ | (6,214 | ) | |
Income (loss) from discontinued operations, net of taxes | 658 | 838 | 1,461 | 1,959 | 4,916 | |||||||||||
Net (loss) income | $ | (1,792 | ) | $ | (351 | ) | $ | 516 | $ | 329 | $ | (1,298 | ) | |||
Per share data-basic and diluted: | ||||||||||||||||
Loss from continuing operations | $ | (0.11 | ) | $ | (0.05 | ) | $ | (0.04 | ) | $ | (0.07 | ) | $ | (0.28 | ) | |
Income (loss) from discontinued operations | 0.03 | 0.03 | 0.06 | 0.08 | 0.22 | |||||||||||
Net (loss) income | $ | (0.08 | ) | $ | (0.02 | ) | $ | 0.02 | $ | 0.01 | $ | (0.06 | ) | |||
Nature_of_Operations_Details
Nature of Operations (Details) | 12 Months Ended |
Mar. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Number of business operating segments | 1 |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies (Details Textual) (USD $) | 3 Months Ended | 12 Months Ended | ||
In Millions, except Per Share data, unless otherwise specified | Jun. 30, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Capitalized Computer Software, Additions | ' | $13.70 | $4.90 | $2.50 |
Increase in revenues | 0.3 | ' | ' | ' |
Increase in restructuring and related charges | 0.7 | ' | ' | ' |
Increase in asset impairments and related charges | 0.2 | ' | ' | ' |
Increase in operating loss | 0.6 | ' | ' | ' |
Pre-tax loss per share | ($0.03) | ' | ' | ' |
Minimum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Finite-lived intangible asset, useful life | ' | '2 years | ' | ' |
Maximum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Finite-lived intangible asset, useful life | ' | '8 years | ' | ' |
Building and building improvements [Member] | Minimum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Property, plant and equipment, useful life | ' | '7 years | ' | ' |
Building and building improvements [Member] | Maximum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Property, plant and equipment, useful life | ' | '30 years | ' | ' |
Furniture [Member] | Minimum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Property, plant and equipment, useful life | ' | '7 years | ' | ' |
Furniture [Member] | Maximum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Property, plant and equipment, useful life | ' | '10 years | ' | ' |
Equipment [Member] | Minimum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Property, plant and equipment, useful life | ' | '3 years | ' | ' |
Equipment [Member] | Maximum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Property, plant and equipment, useful life | ' | '10 years | ' | ' |
Internally-Developed Software and Purchased for Internal-Use Software [Member] | Minimum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Property, plant and equipment, useful life | ' | '3 years | ' | ' |
Internally-Developed Software and Purchased for Internal-Use Software [Member] | Maximum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Property, plant and equipment, useful life | ' | '10 years | ' | ' |
Internally-Developed Software [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Amortization of capitalized software | ' | $0.20 | $0.10 | $0.70 |
Customer relationships [Member] | Minimum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Finite-lived intangible asset, useful life | ' | '2 years | ' | ' |
Customer relationships [Member] | Maximum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Finite-lived intangible asset, useful life | ' | '7 years | ' | ' |
Non-competition agreements [Member] | Minimum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Finite-lived intangible asset, useful life | ' | '2 years | ' | ' |
Non-competition agreements [Member] | Maximum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Finite-lived intangible asset, useful life | ' | '8 years | ' | ' |
Developed technology [Member] | Minimum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Finite-lived intangible asset, useful life | ' | '3 years | ' | ' |
Developed technology [Member] | Maximum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Finite-lived intangible asset, useful life | ' | '8 years | ' | ' |
Supplier relationships [Member] | Minimum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Finite-lived intangible asset, useful life | ' | '2 years | ' | ' |
Supplier relationships [Member] | Maximum [Member] | ' | ' | ' | ' |
Significant Accounting Policies [Line Items] | ' | ' | ' | ' |
Finite-lived intangible asset, useful life | ' | '8 years | ' | ' |
Acquisitions_Acquisitions_Deta
Acquisitions Acquisitions (Details) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2014 | Jun. 10, 2013 |
In Thousands, unless otherwise specified | TimeManagement Corporation [Member] | TimeManagement Corporation [Member] | |||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' |
Current assets | ' | ' | ' | ' | $327 |
Property and equipment | ' | ' | ' | ' | 88 |
Goodwill | 17,158 | 14,128 | 15,198 | ' | 3,444 |
Developed technology | ' | ' | ' | ' | 605 |
Total assets acquired | ' | ' | ' | ' | 4,464 |
Total liabilities assumed (all current) | ' | ' | ' | ' | 914 |
Net assets acquired | ' | ' | ' | ' | $3,550 |
Weighted Average Useful Life | ' | ' | ' | '5 years | ' |
Acquisitions_Acquisitions_Deta1
Acquisitions Acquisitions (Details Textual) (USD $) | 12 Months Ended | 0 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Jun. 10, 2013 | |
TimeManagement Corporation [Member] | ||||
Business Acquisition [Line Items] | ' | ' | ' | ' |
Business Acquisition, Purchase Price Allocation, Goodwill Amount | $17,158,000 | $14,128,000 | $15,198,000 | $3,444,000 |
Cash paid for acquisiton | 1,812,000 | 0 | 0 | 1,800,000 |
Business Acquisition, Contingent Consideration, Potential Cash Payment | ' | ' | ' | $1,800,000 |
Business Acquisition, Goodwill, Expected Tax Deductible Period | ' | ' | ' | '15 years |
Business Combination, Contingent Consideration Arrangements, Period | ' | ' | ' | '5 years |
Discontinued_Operations_Detail
Discontinued Operations (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Discontinued operations: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income from operations | ' | ' | ' | ' | ' | ' | ' | ' | $249 | $8,196 | $3,056 |
Other expense, net | ' | ' | ' | ' | ' | ' | ' | ' | -266 | -447 | -410 |
Gain on sale | ' | ' | ' | ' | ' | ' | ' | ' | 21,933 | 0 | 19,486 |
Income on sale | ' | ' | ' | ' | ' | ' | ' | ' | 21,916 | 7,749 | 22,132 |
Income tax expense | ' | ' | ' | ' | ' | ' | ' | ' | 1,924 | 2,833 | 7,422 |
Income (Loss) from Discontinued Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest | 1,346 | 952 | -21,763 | -527 | -1,959 | -1,461 | -838 | -658 | -19,992 | -4,916 | -14,710 |
Net revenue | ' | ' | ' | ' | ' | ' | ' | ' | $28,950 | $143,261 | $251,484 |
Discontinued_Operations_Textua
Discontinued Operations Textual (Details) (USD $) | 12 Months Ended | 0 Months Ended | 12 Months Ended | 0 Months Ended | 3 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2014 | Jul. 02, 2013 | Jun. 30, 2011 | |
EMEA Operations [Member] | EMEA Operations [Member] | RSG [Member] | TSG [Member] | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Reclassification of foreign currency translation adjustments included in net income (loss) | ($745,000) | $0 | $0 | ' | ($700,000) | ' | ' |
Aggregate Purchase Price | ' | ' | ' | 700,000 | ' | 37,600,000 | 64,000,000 |
Discontinued Operations and Disposal Group, Note Due From | ' | ' | ' | 800,000 | ' | ' | ' |
Disposal Group, Including Discontinued Operation, Cash and Cash Equivalents | ' | ' | ' | 900,000 | 900,000 | ' | ' |
Discontinued Operation Transaction Fees | ' | ' | ' | ' | ' | 1,600,000 | ' |
Proceeds from sale of business units | 35,846,000 | 0 | 55,840,000 | 600,000 | ' | 36,000,000 | ' |
Discontinued Operation, Amount of Adjustment to Prior Period Gain (Loss) on Disposal, Net of Tax | ' | ' | ' | ' | ' | $3,100,000 | ' |
Restructuring_Charges_Details
Restructuring Charges (Details) (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Restructuring Reserve [Roll Forward] | ' | ' | ' |
Beginning Balance | $584,000 | $6,049,000 | $733,000 |
Restructuring Charges | -1,289,000 | -1,087,000 | -10,857,000 |
Payments for restructuring, severance and other charges | -1,339,000 | -6,552,000 | -5,541,000 |
Ending Balance | 534,000 | 584,000 | 6,049,000 |
Restructuring Plan Fiscal Two Zero One Four [Member] | Severance and employment costs [Member] | ' | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' | ' |
Restructuring Charges | -1,257,000 | ' | ' |
Payments for restructuring, severance and other charges | -723,000 | ' | ' |
Ending Balance | 534,000 | ' | ' |
Fiscal 2012 Restructuring Plan [Member] | Severance and employment costs [Member] | ' | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' | ' |
Beginning Balance | 348,000 | 5,257,000 | ' |
Restructuring Charges | 0 | -1,146,000 | -7,091,000 |
Payments for restructuring, severance and other charges | -348,000 | -6,055,000 | -1,834,000 |
Ending Balance | 0 | 348,000 | 5,257,000 |
Fiscal 2012 Restructuring Plan [Member] | Facilities costs [Member] | ' | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' | ' |
Beginning Balance | ' | 297,000 | ' |
Restructuring Charges | ' | -57,000 | -3,223,000 |
Payments for restructuring, severance and other charges | ' | -240,000 | -2,926,000 |
Ending Balance | ' | 0 | 297,000 |
Fiscal 2009 Restructuring Plan [Member] | Severance and employment costs [Member] | ' | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' | ' |
Beginning Balance | ' | ' | 289,000 |
Restructuring Charges | ' | ' | -308,000 |
Payments for restructuring, severance and other charges | ' | ' | -597,000 |
Ending Balance | ' | ' | 0 |
Fiscal 2009 Restructuring Plan [Member] | Facilities costs [Member] | ' | ' | ' |
Restructuring Reserve [Roll Forward] | ' | ' | ' |
Beginning Balance | 236,000 | 495,000 | 444,000 |
Restructuring Charges | -32,000 | -2,000 | -235,000 |
Payments for restructuring, severance and other charges | -268,000 | -257,000 | -184,000 |
Ending Balance | $0 | $236,000 | $495,000 |
Restructuring_Charges_Details_
Restructuring Charges (Details Textual) (USD $) | 12 Months Ended | 21 Months Ended | 3 Months Ended | 12 Months Ended | 36 Months Ended | 12 Months Ended | 60 Months Ended | |||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Dec. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | Mar. 31, 2014 | |
employee | Restructuring Plan Fiscal Two Zero One Four [Member] | Restructuring Plan Fiscal Two Zero One Four [Member] | Fiscal 2012 Restructuring Plan [Member] | Fiscal 2009 Restructuring Plan [Member] | Fiscal 2009 Restructuring Plan [Member] | Severance and Employment Costs [Member] | ||||
Restructuring Charges (Textual) [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of employees impacted through restructuring actions | ' | ' | ' | 130 | ' | ' | ' | ' | ' | ' |
Restructuring and related charges | ' | ' | ' | ' | ' | ' | $12,100,000 | ' | ' | ' |
Restructuring charges | 1,289,000 | 1,087,000 | 10,857,000 | ' | 600,000 | 700,000 | ' | 32,000 | 19,000,000 | ' |
Restructuring liabilities | 534,000 | 584,000 | ' | ' | 500,000 | 500,000 | ' | ' | ' | ' |
Severance and other employment costs, future | ' | ' | ' | ' | ' | ' | ' | ' | ' | $500,000 |
Property_and_Equipment_Net_Sch
Property and Equipment, Net - Schedule of Property and Equipment (Details) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | $33,416 | $31,423 |
Accumulated depreciation and amortization | -21,165 | -17,632 |
Property and equipment, net | 12,251 | 13,791 |
Furniture and equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | 8,849 | 9,173 |
Software [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | 16,982 | 16,349 |
Leasehold improvements [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | 4,836 | 4,522 |
Project expenditures not yet in use [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Property and equipment, gross | $2,749 | $1,379 |
Property_and_Equipment_Net_Sch1
Property and Equipment, Net - Schedule of Capital Leased Assets (Details) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Abstract] | ' | ' |
Capital leases | $817 | $983 |
Less accumulated depreciation | -692 | -983 |
Assets under capital lease, net | $125 | $0 |
Property_and_Equipment_Net_Det
Property and Equipment, Net (Details Textual) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Depreciation | ' | ' | ' | ' | ' | ' | ' | ' | $2,074,000 | $2,137,000 | $3,963,000 |
Depreciation, including accelerated depreciation related to restructuring reserve | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8,400,000 |
Other Depreciation and Amortization | ' | ' | ' | ' | ' | ' | ' | ' | 4,400,000 | ' | ' |
Asset Impairment Charges | 0 | 309,000 | 18,000 | 0 | -88,000 | 0 | 0 | 208,000 | 327,000 | 120,000 | 9,681,000 |
Purchased for Internal-Use Software [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Amortization of capitalized software | ' | ' | ' | ' | ' | ' | ' | ' | 5,300,000 | 2,100,000 | 2,400,000 |
Other Depreciation and Amortization | ' | ' | ' | ' | ' | ' | ' | ' | $3,200,000 | ' | ' |
Goodwill_and_Intangible_Assets2
Goodwill and Intangible Assets - Schedule of Goodwill (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Goodwill [Roll Forward] | ' | ' | ' |
Balance at beginning of period | ' | ' | $135,285 |
Accumulated impairment losses as of March 31, 2012 | ' | ' | -120,087 |
Goodwill, beginning balance | 17,158 | 14,128 | 15,198 |
Impact of foreign currency translation | ' | -1,070 | ' |
Acquisitions | 3,444 | ' | ' |
Allocation of goodwill to UK entity | -610 | ' | ' |
Goodwill, ending balance | $17,158 | $14,128 | $15,198 |
Goodwill_and_Intangible_Assets3
Goodwill and Intangible Assets - Schedule of Intangible Assets (Details) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Amortized intangible assets: | ' | ' |
Indefinite-Lived Intangible Assets, Accumulated Impairment | ($900) | ($900) |
Indefinite-Lived Intangible Assets (Excluding Goodwill) | 9,200 | 9,200 |
Intangible Assets, Gross (Excluding Goodwill) | 33,415 | 32,810 |
Finite Lived Software Development Costs Accumulated Impairment | 9,493 | 9,493 |
Gross carrying amount | 24,215 | 23,610 |
Finite Lived Software Development Costs Accumulated Amortization | 270 | 0 |
Finite Lived Software Development Costs Net | 17,221 | 5,579 |
Finite Lived Software Development Costs Gross | 17,491 | 5,579 |
Accumulated amortization | -22,789 | -21,527 |
Net carrying amount | 1,426 | 2,083 |
Total intangible assets, net carrying amount | 10,626 | 11,283 |
Trade Names [Member] | ' | ' |
Amortized intangible assets: | ' | ' |
Indefinite-Lived Intangible Assets (Excluding Goodwill), Excluding Accumulated Impairment | 10,100 | 10,100 |
Customer relationships [Member] | ' | ' |
Amortized intangible assets: | ' | ' |
Gross carrying amount, excluding accumulated impairment | 10,775 | 10,775 |
Accumulated amortization, excluding accumulated impairment | -10,080 | -9,179 |
Net carrying amount, excluding accumulated impairment | 695 | 1,596 |
Non-competition agreements [Member] | ' | ' |
Amortized intangible assets: | ' | ' |
Gross carrying amount, excluding accumulated impairment | 2,700 | 2,700 |
Accumulated amortization, excluding accumulated impairment | -2,473 | -2,213 |
Net carrying amount, excluding accumulated impairment | 227 | 487 |
Developed technology [Member] | ' | ' |
Amortized intangible assets: | ' | ' |
Gross carrying amount, excluding accumulated impairment | 10,660 | 10,055 |
Accumulated amortization, excluding accumulated impairment | -10,156 | -10,055 |
Net carrying amount, excluding accumulated impairment | 504 | 0 |
Patented Technology [Member] | ' | ' |
Amortized intangible assets: | ' | ' |
Gross carrying amount, excluding accumulated impairment | 80 | 80 |
Accumulated amortization, excluding accumulated impairment | -80 | -80 |
Net carrying amount, excluding accumulated impairment | 0 | 0 |
Software Development Costs [Member] | ' | ' |
Amortized intangible assets: | ' | ' |
Finite Lived Software Development Costs Accumulated Amortization Excluding Accumulated Impairment | 270 | 0 |
Finite Lived Software Development Costs, Net Excluding, Accumulated Impairment | 14,317 | 9,493 |
Finite Lived Software Development Costs Gross Excluding Accumulated Impairment | 14,587 | 9,493 |
Project Expenditures Not Yet In Use [Member] | ' | ' |
Amortized intangible assets: | ' | ' |
Finite Lived Software Development Costs Accumulated Amortization Excluding Accumulated Impairment | 0 | 0 |
Finite Lived Software Development Costs, Net Excluding, Accumulated Impairment | 12,397 | 5,579 |
Finite Lived Software Development Costs Gross Excluding Accumulated Impairment | $12,397 | $5,579 |
Goodwill_and_Intangible_Assets4
Goodwill and Intangible Assets - Schedule of Future Amortization Expense (Details) (USD $) | Mar. 31, 2014 |
In Thousands, unless otherwise specified | |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | ' |
2015 | $2,066 |
2016 | 1,140 |
2017 | 1,140 |
2018 | 1,140 |
2019 | 764 |
Total | $6,250 |
Goodwill_and_Intangible_Assets5
Goodwill and Intangible Assets (Details Textual) (USD $) | 12 Months Ended | 3 Months Ended | 12 Months Ended | |||||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2012 | Mar. 31, 2013 | |
Developed technology [Member] | Developed technology [Member] | Developed technology [Member] | Asset Impairment and Related Charges [Member] | Asset Impairment and Related Charges [Member] | ||||
Goodwill [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Number of business operating segments | 1 | ' | ' | ' | ' | ' | ' | ' |
Impairment of finite-lived intangible assets | ' | ' | ' | ' | ' | ' | $8,100,000 | ' |
Impairment of fixed assets | ' | ' | ' | ' | ' | ' | 500,000 | ' |
Asset impairment charges | ' | ' | ' | ' | ' | ' | 1,100,000 | 100,000 |
Amortization of intangible assets, excluding amortization of internal use software | 1,200,000 | 1,200,000 | 1,200,000 | ' | ' | ' | ' | ' |
Amortization of intangible assets | 6,414,000 | 3,284,000 | 3,585,000 | 300,000 | 800,000 | 1,700,000 | ' | ' |
Capitalized Computer Software, Additions | $13,700,000 | $4,900,000 | $2,500,000 | ' | ' | ' | ' | ' |
Financing_Arrangements_Summary
Financing Arrangements - Summary of Long-Term Obligations (Details) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Debt Disclosure [Abstract] | ' | ' |
Capital lease obligations | $335 | $86 |
Less: current maturities | -43 | -58 |
Long -term capital lease obligations | $292 | $28 |
Financing_Arrangements_Schedul
Financing Arrangements - Schedule of Future Lease Payments under Capital Leases (Details) (USD $) | Mar. 31, 2014 |
In Thousands, unless otherwise specified | |
Capital Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | ' |
2015 | $49 |
2016 | 148 |
2017 | 138 |
2018 | 19 |
Total minimum lease payments | 354 |
Less: amount representing interest | -19 |
Present value of minimum lease payments | $335 |
Financing_Arrangements_Details
Financing Arrangements (Details Textual) (USD $) | 12 Months Ended | ||
Mar. 31, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | |
Line of Credit Facility [Line Items] | ' | ' | ' |
Assets recorded under capital leases | ' | $817,000 | $983,000 |
Accumulated depreciation related to assets recorded under capital leases | ' | 692,000 | 983,000 |
Expense of unamortized deferred financing fees | $400,000 | ' | ' |
Minimum [Member] | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
Interest rate on capital lease | ' | 3.30% | ' |
Maximum [Member] | ' | ' | ' |
Line of Credit Facility [Line Items] | ' | ' | ' |
Interest rate on capital lease | ' | 26.70% | ' |
Supplemental_Disclosures_of_Ca2
Supplemental Disclosures of Cash Flow Information (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Supplemental Cash Flow Elements [Abstract] | ' | ' | ' |
Cash payments for interest | $110 | $252 | $841 |
Cash payments (refunds) from income tax, net | 485 | 9 | -1,675 |
Acquisition of property and equipment under lease obligations | 410 | 41 | 664 |
Asset retirement obligation | 0 | 0 | ' |
Asset Retirement Obligations | ' | ' | $494 |
Additional_Balance_Sheet_Infor2
Additional Balance Sheet Information (Details) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Accrued liabilities: | ' | ' |
Salaries, wages, and related benefits | $8,308 | $6,777 |
Other taxes payable | 1,122 | 1,035 |
Accrued legal settlements | 1,630 | 1,664 |
Restructuring liabilities | 534 | 584 |
Professional fees | 674 | 678 |
Software license fees | 500 | 0 |
Deferred rent | 477 | 362 |
Contingent consideration | 127 | 0 |
Income taxes payable | 0 | 722 |
Other | 860 | 1,016 |
Total | 14,232 | 12,838 |
Other non-current liabilities: | ' | ' |
Income taxes payable/uncertain tax positions | 2,440 | 2,469 |
Deferred rent | 1,755 | 1,957 |
Contingent consideration | 1,612 | 0 |
Other | 358 | 195 |
Total | $6,165 | $4,621 |
Income_Taxes_Schedule_of_Incom
Income Taxes - Schedule of Income From Continuing Operations Before Income Taxes (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Loss before income taxes | ' | ' | ' |
United States | ($5,475) | ($9,594) | ($46,728) |
Foreign | 89 | 262 | 54 |
Loss before income taxes | ($5,386) | ($9,332) | ($46,674) |
Income_Taxes_Schedule_of_Incom1
Income Taxes - Schedule of Income Tax (Benefit) Expense (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Current: | ' | ' | ' |
Federal | ($2,206) | ($3,002) | ($9,208) |
State and local | -161 | 28 | 31 |
Foreign | 55 | 100 | 5 |
Deferred: | ' | ' | ' |
Federal | -161 | 0 | 0 |
State and local | -20 | -252 | 0 |
Foreign | 2 | 8 | -9 |
Total income tax benefit | ($2,491) | ($3,118) | ($9,181) |
Income_Taxes_Schedule_of_Effec
Income Taxes - Schedule of Effective Income Tax Rate Reconciliation (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Income Tax Expense (Benefit), Continuing Operations, Income Tax Reconciliation [Abstract] | ' | ' | ' |
Income tax benefit at the statutory rate of 35% | ($2,103) | ($3,266) | ($16,729) |
(Benefit) provision for state taxes | -106 | -14 | 73 |
Impact of foreign operations | 14 | -48 | 956 |
Indefinite life assets | 47 | -251 | 72 |
Officer life insurance | -28 | -75 | 36 |
Change in valuation allowance | -76 | 627 | 8,345 |
Change in liability for unrecognized tax benefits | -561 | -230 | -1,536 |
Meals and entertainment | 113 | 114 | 177 |
Other | 209 | 25 | -575 |
Total income tax benefit | ($2,491) | ($3,118) | ($9,181) |
Federal statutory rate | 35.00% | 35.00% | 35.00% |
Income_Taxes_Schedule_of_Defer
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
Deferred tax assets: | ' | ' |
Accrued liabilities | $3,884,000 | $5,933,000 |
Allowance for doubtful accounts | 408,000 | 244,000 |
Inventory valuation reserve | 14,000 | 31,000 |
Restructuring reserve | 54,000 | 213,000 |
Federal losses and credit carryforwards | 55,231,000 | 56,635,000 |
Foreign net operating losses | 330,000 | 331,000 |
State losses and credit carryforwards | 10,706,000 | 10,221,000 |
Deferred compensation | 70,000 | 76,000 |
Deferred revenue | 61,000 | 0 |
Goodwill and other intangible assets | 3,611,000 | 3,574,000 |
Other | 514,000 | 543,000 |
Deferred tax assets, gross | 74,883,000 | 77,801,000 |
Less: valuation allowance | 73,014,000 | 73,595,000 |
Total | 1,869,000 | 4,206,000 |
Deferred tax liabilities: | ' | ' |
Property and equipment & software amortization | -1,560,000 | -4,091,000 |
Indefinite-lived goodwill & intangible assets | -3,622,000 | -3,574,000 |
Deferred Tax Liabilities, Other | -81,000 | -113,000 |
Total | -5,263,000 | -7,778,000 |
Total deferred tax liabilities | -3,394,000 | -3,572,000 |
Undistributed Earnings of Foreign Subsidiaries | $1,800,000 | $1,700,000 |
Income_Taxes_Schedule_of_Unrec
Income Taxes - Schedule of Unrecognized Tax Benefits Rollforward (Details) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Mar. 31, 2010 |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ' | ' | ' | ' |
Unrecognized tax benefits, beginning of period | $4,248 | $2,873 | ' | $4,123 |
Additions: | ' | ' | ' | ' |
Relating to positions taken during current year | 0 | 1,624 | 1 | ' |
Relating to positions taken during prior year | 0 | 0 | 47 | ' |
Reductions: | ' | ' | ' | ' |
Relating to tax settlements | 0 | 0 | -293 | ' |
Relating to positions taken during prior year | -1,238 | 0 | -47 | ' |
Relating to lapse in statute | -442 | -249 | -958 | ' |
Unrecognized tax benefits, end of period | $2,568 | $4,248 | $2,873 | $4,123 |
Income_Taxes_Details_Textual
Income Taxes (Details Textual) (USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Valuation allowance | $73,014,000 | $73,595,000 | ' |
Undistributed earnings of foreign subsidiaries | 1,800,000 | 1,700,000 | ' |
Employee Service Share-based Compensation, Tax Benefit Realized from Exercise of Stock Options | 100,000 | ' | ' |
Unrecognized tax benefits that would impact effective tax rate | 2,600,000 | ' | ' |
Significant change in unrecognized tax benefits reasonably possible, lower end | 0 | ' | ' |
Significant change in unrecognized tax benefits reasonably possible, upper end | 600,000 | ' | ' |
Interest and penalty expense (benefit), (less than $.1 million for year ended March 31, 2012) | 200,000 | 100,000 | 100,000 |
Interest and penalties accrued | 1,100,000 | 1,300,000 | ' |
Federal and State Deferred Tax Assets [Member] | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Valuation allowance | 72,700,000 | ' | ' |
Deferred Tax Assets in Hong Kong [Member] | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Valuation allowance | 300,000 | ' | ' |
Federal [Member] | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Operating loss carryforwards | 159,300,000 | ' | ' |
Operating loss carryforwards, excess income tax benefit related to share-based compensation | 3,800,000 | ' | ' |
Foreign Tax Authority [Member] | Hong Kong [Member] | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Operating loss carryforwards | 300,000 | ' | ' |
State and Local Jurisdiction [Member] | ' | ' | ' |
Operating Loss Carryforwards [Line Items] | ' | ' | ' |
Operating loss carryforwards | $149,000,000 | ' | ' |
Employee_Benefit_Plans_Employe
Employee Benefit Plans Employee Benefit Plans - 401 (k) Plan (Details Textual) (401(k) Plan [Member], USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Defined contribution plan, matching contribution cost recognized | $1.20 | $1.10 | $1.10 |
100% on first 1% [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Defined contribution plan, employer matching contributions, percent of one dollar match for employee percentage match | 100.00% | ' | ' |
Defined contribution plan, employer matching contributions, percent of employee's pre-tax contributions | 1.00% | ' | ' |
50% up to next 5% [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Defined contribution plan, employer matching contributions, percent of one dollar match for employee percentage match | 50.00% | ' | ' |
Defined contribution plan, employer matching contributions, percent of employee's pre-tax contributions | 5.00% | ' | ' |
Employee_Benefit_Plans_Employe1
Employee Benefit Plans Employee Benefit Plans - Endorsement Split-Dollar Life Insurance (Details Textual) (Endorsement Split-Dollar Life Insurance [Member], USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Endorsement Split-Dollar Life Insurance [Member] | ' | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' |
Cash Surrender Value of Life Insurance, Increase in Face Amount | $0.50 | ' | ' |
Proceeds from redemption of corporate-owned life insurance policies | ' | ' | 0.3 |
Amount of postretirement benefit classified in Other non-current liabilities in Consolidated Balance Sheet | 0.2 | ' | ' |
Aggregate cash surrender value of underlying life insurance, net of policy loans | 2.4 | 3.7 | ' |
Policy loans | 0.2 | 0.2 | ' |
Corporate-owned life insurance policies, gain (loss) recognized and classified within Other (income) expenses, net on Consolidated Statements of Operations | $0.60 | $0.10 | $0.40 |
Commitments_and_Contingencies_1
Commitments and Contingencies - Future Minimum Rental Payments Required Under Operating Leases (Details) (USD $) | Mar. 31, 2014 |
In Thousands, unless otherwise specified | |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | ' |
2015 | $2,674 |
2016 | 2,033 |
2017 | 1,089 |
2018 | 1,100 |
2019 | 610 |
Thereafter | 1,130 |
Total minimum lease payments | $8,636 |
Commitments_and_Contingencies_2
Commitments and Contingencies (Details Textual) (USD $) | 12 Months Ended | |||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | Jun. 06, 2013 | |
Wage and Hour Putative Class Action Lawsuit [Member] | ||||
Pending Litigation [Member] | ||||
Commitments and Contingencies Disclosure [Abstract] | ' | ' | ' | ' |
Operating leases, renewal option period (for periods up to 10 years) | '10 years | ' | ' | ' |
Operating leases, rental expense | $2,500,000 | $2,400,000 | $3,500,000 | ' |
Asset retirement obligation, current | 25,200 | 0 | ' | ' |
Asset retirement obligation, noncurrent | 400,000 | 500,000 | ' | ' |
Loss Contingencies [Line Items] | ' | ' | ' | ' |
Loss contingency, proposed settlement amount | ' | ' | ' | $1,500,000 |
Loss_Earnings_per_Share_Amount
(Loss) Earnings per Share - Amounts Used in Computing (Loss) Earnings Per Share (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Numerator: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loss from continuing operations - basic and diluted | ($663) | ($1,711) | ($1,310) | $789 | ($1,630) | ($945) | ($1,189) | ($2,450) | ($2,895) | ($6,214) | ($37,493) |
Income (loss) from discontinued operations - basic and diluted | -1,346 | -952 | 21,763 | 527 | 1,959 | 1,461 | 838 | 658 | 19,992 | 4,916 | 14,710 |
Net income (loss) | ($2,009) | ($2,663) | $20,453 | $1,316 | $329 | $516 | ($351) | ($1,792) | $17,097 | ($1,298) | ($22,783) |
Denominator: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average shares outstanding - basic and diluted (in shares) | ' | ' | ' | ' | ' | ' | ' | ' | 22,135,000 | 21,880,000 | 22,432,000 |
(Loss) earnings per share - basic and diluted: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loss from continuing operations (in dollars per share) | ' | ' | ' | ' | ($0.07) | ($0.04) | ($0.05) | ($0.11) | ($0.13) | ($0.28) | ($1.67) |
Income (loss) from discontinued operations (in dollars per share) | ' | ' | ' | ' | $0.08 | $0.06 | $0.03 | $0.03 | $0.90 | $0.22 | $0.65 |
Net loss per share (in dollars per share) | ' | ' | ' | ' | $0.01 | $0.02 | ($0.02) | ($0.08) | $0.77 | ($0.06) | ($1.02) |
Anti-dilutive stock options, SSARs, restricted shares and performance shares | ' | ' | ' | ' | ' | ' | ' | ' | 1,806,000 | 1,781,000 | 2,449,000 |
Outstanding weighted average basic shares, number of excluded restricted shares and performance shares | ' | ' | ' | ' | ' | ' | ' | ' | 155,777 | 139,767 | 48,558 |
Sharebased_Compensation_Schedu
Share-based Compensation - Schedule of Share-based Compensation Expense (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Share-based compensation expense | $2,119 | $1,638 | $2,397 |
Product development [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Share-based compensation expense | 700 | 475 | 64 |
Selling and marketing [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Share-based compensation expense | 90 | 65 | 65 |
General and administrative [Member] | ' | ' | ' |
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items] | ' | ' | ' |
Share-based compensation expense | $1,329 | $1,098 | $2,268 |
Sharebased_Compensation_Stock_
Share-based Compensation - Stock Options Rollforward (Details) (Stock Options [Member], USD $) | 12 Months Ended |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 |
Stock Options [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ' |
Number of Options, Outstanding at beginning of period | 1,318,000 |
Number of Options, Granted | 0 |
Number of Options, Exercised | -645,500 |
Number of Options, Cancelled/expired | -45,000 |
Number of Options, Outstanding and exercisable at end of period | 627,500 |
Weighted Average Exercise Price, Outstanding at beginning of period | $14.07 |
Weighted Average Exercise Price, Granted | $0 |
Weighted-Average Exercise Price, Exercised | $12.50 |
Weighted-Average Exercise Price, Cancelled/Expired | $20.19 |
Weighted Average Exercise Price, Outstanding and exercisable at end of period | $15.26 |
Remaining Contractual Term, Outstanding and exercisable at end of period | '1 year 11 months 23 days |
Aggregate Intrinsic Value, Outstanding and exercisable at end of period | $16 |
Sharebased_Compensation_Additi
Share-based Compensation - Additional Information Related to Stock Options (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Proceeds from stock options exercised | $169 | $67 | $210 |
Stock Options [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Proceeds from stock options exercised | 169 | 67 | 210 |
Total intrinsic value of stock options exercised | $1,402 | $382 | $2,070 |
Sharebased_Compensation_Princi
Share-based Compensation - Principal Assumptions Utilized in Valuing SSARs Granted (Details) (Stock Settled Stock Appreciation Rights [Member], USD $) | 12 Months Ended | ||
Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 | |
Stock Settled Stock Appreciation Rights [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ' | ' | ' |
Risk-free interest rate, minimum | 1.05% | 0.67% | 0.83% |
Risk-free interest rate, maximum | 1.39% | 0.89% | 2.09% |
Expected life (in years) | '5 years | '5 years | '4 years 6 months |
Expected volatility, minimum | 80.78% | 81.03% | 80.75% |
Expected volatility, maximum | 80.93% | 83.77% | 82.20% |
Weighted average grant date fair value (in dollars per share) | $4.92 | $4.73 | $7.96 |
Sharebased_Compensation_SSARs_
Share-based Compensation - SSARs Rollforward (Details) (USD $) | 12 Months Ended |
In Thousands, except Share data, unless otherwise specified | Mar. 31, 2014 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Expirations in Period | -4,181 |
Share-based Compensation Arrangements by Share-based Payment Award, Options, Expirations in Period, Weighted Average Exercise Price | $7.37 |
Stock Settled Stock Appreciation Rights (SSARS) [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Number of Rights, Outstanding at beginning of period | 683,119 |
Number of Rights, Granted | 119,120 |
Number of Rights, Exercised | -331,318 |
Number of Rights, Forfeited | -149,905 |
Number of Rights, Outstanding at end of period | 316,835 |
Number of Rights, Exercisable at end of period | 194,023 |
Weighted Average Exercise Price, Outstanding at beginning of period | $7.27 |
Weighted Average Exercise Price, Granted | $12.36 |
Weighted Average Exercise Price, Exercised | $6.86 |
Weighted Average Exercise Price, Forfeited | $8.51 |
Weighted Average Exercise Price, Outstanding at end of period | $9.02 |
Weighted Average Exercise Price, Exercisable at end of period | $8.46 |
Remaining Contractual Term, Outstanding | '5 years 4 months 10 days |
Remaining Contractual Term, Exercisable | '5 years 1 month 28 days |
Aggregate Intrinsic Value, Outstanding at end of period | $1,388 |
Aggregate Intrinsic Value, Exercisable at end of period | 959 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Number | 296,192 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Weighted Average Exercise Price | $8.94 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Weighted Average Remaining Contractual Term | '5 years 4 months 2 days |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Aggregate Intrinsic Value | $1,321 |
Sharebased_Compensation_Additi1
Share-based Compensation - Additional Information Related to SSARs (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Compensation expense | $2,119 | $1,638 | $2,397 |
Stock Settled Stock Appreciation Rights [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Compensation expense | 611 | 595 | 1,422 |
Total intrinsic value of SSARs exercised | 2,131 | 373 | 1,871 |
Total fair value of SSARs vesting | $636 | $778 | $3,197 |
Sharebased_Compensation_Restri
Share-based Compensation - Restricted Shares Rollforward (Details) (Restricted Stock [Member], USD $) | 12 Months Ended |
Mar. 31, 2014 | |
Restricted Stock [Member] | ' |
Activity Related to Restricted Shares Awarded by the Company | ' |
Number of Shares, Outstanding at beginning of period | 122,039 |
Number of Shares, Granted | 192,275 |
Number of Shares, Vested | -119,497 |
Number of Shares, Forefeited | -56,768 |
Number of Shares, Outstanding at end of period | 138,049 |
Weighted Average Grant-Date Fair Value, Outstanding at beginning of period | $7.99 |
Weighted Average Grant Date Fair Value, Granted | $12.33 |
Weighted Average Grant Date Fair Value, Vested | $10.76 |
Weighted Average Grant Date Fair Value, Forefeited | $10.23 |
Weighted Average Grant-Date Fair Value, Outstanding at end of period | $10.71 |
Sharebased_Compensation_Additi2
Share-based Compensation - Additional Information Related to Restricted Shares (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Compensation expense | $2,119 | $1,638 | $2,397 |
Restricted Stock [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Compensation expense | 1,486 | 989 | 975 |
Total fair value of restricted shares vesting | $1,579 | $1,099 | $976 |
Sharebased_Compensation_Perfor
Share-based Compensation - Performance Shares Rollforward (Details) (Performance Shares [Member], USD $) | 12 Months Ended |
Mar. 31, 2014 | |
Performance Shares [Member] | ' |
Performance shares awarded by the Company | ' |
Number of Shares, Outstanding at beginning of period | 0 |
Number of Shares, Granted | 17,728 |
Number of Shares, Outstanding at end of period | 17,728 |
Weighted Average Grant-Date Fair Value, Outstanding at beginning of period | $0 |
Weighted Average Grant Date Fair Value, Granted | $8.64 |
Weighted Average Grant-Date Fair Value, Outstanding at end of period | $8.64 |
Sharebased_Compensation_Additi3
Share-based Compensation - Additional Information Related to Performance Shares (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Compensation expense | $2,119 | $1,638 | $2,397 |
Performance Shares [Member] | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' |
Compensation expense | 22 | 54 | 104 |
Total fair value of performance share vesting | $0 | $0 | $337 |
Sharebased_Compensation_Detail
Share-based Compensation (Details Textual) (USD $) | 12 Months Ended | |
In Millions, except Share data, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Stock Based Compensation (Textual) [Abstract] | ' | ' |
Employee Service Share-based Compensation, Tax Benefit Realized from Exercise of Stock Options | $0.10 | ' |
Stock Options [Member] | ' | ' |
Stock Based Compensation (Textual) [Abstract] | ' | ' |
Shares issued from treasury shares, net of shares withheld to cover applicable exercise price of award and to cover employee's minimum applicable income taxes (in shares) | 96,761 | ' |
Shares withheld to cover applicable exercise price of award (in shares) | 537,320 | ' |
Shares withheld to cover the employee's minimum applicable income taxes (in shares) | 11,419 | ' |
Stock Settled Stock Appreciation Rights (SSARS) [Member] | ' | ' |
Stock Based Compensation (Textual) [Abstract] | ' | ' |
Accelerated compensation expense related to accelerated vesting | ' | 1.4 |
Shares issued from treasury shares, net of shares withheld to cover applicable exercise price of award and to cover employee's minimum applicable income taxes (in shares) | 117,037 | ' |
Shares withheld to cover the employee's minimum applicable income taxes (in shares) | 51,708 | ' |
Unrecognized stock based compensation expense related to non-vested shares | 0.5 | ' |
Weighted-average vesting period | '1 year 7 months 13 days | ' |
Restricted Stock [Member] | ' | ' |
Stock Based Compensation (Textual) [Abstract] | ' | ' |
Accelerated compensation expense related to accelerated vesting | ' | 0.1 |
Shares issued from treasury shares, net of shares withheld to cover applicable exercise price of award and to cover employee's minimum applicable income taxes (in shares) | 80,949 | ' |
Shares withheld to cover the employee's minimum applicable income taxes (in shares) | 27,250 | ' |
Unrecognized stock based compensation expense related to non-vested shares | 1 | ' |
Weighted-average vesting period | '1 year 9 months 18 days | ' |
Performance Shares [Member] | ' | ' |
Stock Based Compensation (Textual) [Abstract] | ' | ' |
Accelerated compensation expense related to accelerated vesting | ' | 0.2 |
Unrecognized stock based compensation expense related to non-vested shares | $0.10 | ' |
Weighted-average vesting period | '9 months 18 days | ' |
2011 Stock Incentive Plan [Member] | ' | ' |
Stock Based Compensation (Textual) [Abstract] | ' | ' |
Shares authorized (in shares) | 3,000,000 | ' |
2011 Stock Incentive Plan [Member] | Stock Options [Member] | ' | ' |
Stock Based Compensation (Textual) [Abstract] | ' | ' |
Maximum number of shares that may be granted to an individual in a calendar year (in shares) | 800,000 | ' |
2011 Stock Incentive Plan [Member] | Stock Settled Stock Appreciation Rights (SSARS) [Member] | ' | ' |
Stock Based Compensation (Textual) [Abstract] | ' | ' |
Maximum number of shares that may be granted to an individual in a calendar year (in shares) | 800,000 | ' |
2011 Stock Incentive Plan [Member] | Restricted Shares and Restricted Share Units [Member] | ' | ' |
Stock Based Compensation (Textual) [Abstract] | ' | ' |
Maximum number of shares that may be granted to an individual in a calendar year (in shares) | 400,000 | ' |
Maximum aggregate number of shares that may be granted to an individual (in shares) | 1,000,000 | ' |
Fair_Value_Measurements_Financ
Fair Value Measurements - Financial Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) (USD $) | Mar. 31, 2014 | Mar. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets: | ' | ' |
Contingent consideration — current | $127 | $0 |
Contingent consideration — non-current | 1,612 | 0 |
Recorded Value [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Investments, Fair Value Disclosure | 28,999 | ' |
Assets: | ' | ' |
Corporate-owned life insurance — current | 1,989 | ' |
Corporate-owned life insurance — non-current | 2,371 | 3,673 |
Contingent consideration — current | 127 | ' |
Contingent consideration — non-current | 1,612 | ' |
Active markets for identical assets or liabilities (Level 1) [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Assets: | ' | ' |
Corporate-owned life insurance — non-current | 0 | 0 |
Quoted prices in similar instruments and observable inputs (Level 2) [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Assets: | ' | ' |
Corporate-owned life insurance — non-current | 0 | 0 |
Active markets for unobservable inputs (Level 3) [Member] | Fair Value, Measurements, Recurring [Member] | ' | ' |
Assets: | ' | ' |
Corporate-owned life insurance — current | 1,989 | ' |
Corporate-owned life insurance — non-current | 2,371 | 3,673 |
Contingent consideration — current | 127 | ' |
Contingent consideration — non-current | $1,612 | ' |
Fair_Value_Measurements_Change
Fair Value Measurements - Changes in Fair Value of Level 3 Assets and Liabilities on a Recurring Basis (Details) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 |
Corporate-owned life insurance [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' | ' |
Balance at beginning of period | $3,673 | $3,458 |
Realized gains | 0 | 0 |
Unrealized gain relating to instruments held at reporting date | 600 | 107 |
Purchases, sales, issuances and settlements, net | 87 | 108 |
Balance at end of period | 4,360 | 3,673 |
Contingent Consideration [Member] | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' | ' |
Balance at beginning of period | 0 | ' |
Purchases, sales, issuances and settlements, net | 1,739 | ' |
Balance at end of period | $1,739 | ' |
Fair_Value_Measurements_Change1
Fair Value Measurements - Changes in Fair Value of Level 3 Assets and Liabilities on a Nonrecurring Basis (Details) (SERP obligations [Member], USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Mar. 31, 2013 |
SERP obligations [Member] | ' |
Fair Value, Liabilities Measured on Nonrecurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' |
Balance at beginning of period | $3,323 |
Amortization | 0 |
Provisions | 0 |
Activity, payments and other charges (net) | 3,323 |
Balance at end of period | $0 |
Quarterly_Results_Unaudited_De
Quarterly Results (Unaudited) (Details) (USD $) | 3 Months Ended | 12 Months Ended | |||||||||
In Thousands, except Per Share data, unless otherwise specified | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Quarterly Financial Information Disclosure [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net revenue | $27,750 | $24,965 | $24,846 | $23,700 | $22,068 | $27,042 | $23,277 | $21,621 | $101,261 | $94,008 | $82,051 |
Gross profit | 16,660 | 15,155 | 16,588 | 15,637 | 14,850 | 14,930 | 14,273 | 13,566 | 64,040 | 57,619 | 49,626 |
Asset impairments and related charges | 0 | 309 | 18 | 0 | -88 | 0 | 0 | 208 | 327 | 120 | 9,681 |
Legal settlements | ' | ' | ' | ' | 1,664 | 0 | 0 | 0 | 0 | 1,664 | 0 |
Restructuring, severance and other charges | 569 | 206 | 562 | 55 | -29 | -31 | 430 | 1,125 | 1,392 | 1,495 | 15,247 |
Loss from continuing operations | -663 | -1,711 | -1,310 | 789 | -1,630 | -945 | -1,189 | -2,450 | -2,895 | -6,214 | -37,493 |
Income from discontinued operations, net of taxes | -1,346 | -952 | 21,763 | 527 | 1,959 | 1,461 | 838 | 658 | 19,992 | 4,916 | 14,710 |
Net income (loss) | ($2,009) | ($2,663) | $20,453 | $1,316 | $329 | $516 | ($351) | ($1,792) | $17,097 | ($1,298) | ($22,783) |
Income (Loss) from Continuing Operations, Per Basic Share | ($0.03) | ($0.08) | ($0.06) | $0.04 | ' | ' | ' | ' | ($0.13) | ' | ' |
Income (Loss) from Discontinued Operations and Disposal of Discontinued Operations, Net of Tax, Per Basic Share | ($0.06) | ($0.04) | $0.98 | $0.02 | ' | ' | ' | ' | $0.90 | ' | ' |
Net (loss) income per share - basic (in dollars per share) | ($0.09) | ($0.12) | $0.92 | $0.06 | ' | ' | ' | ' | $0.77 | ' | ' |
Income (Loss) from Continuing Operations, Per Diluted Share | ($0.03) | ($0.08) | ($0.06) | $0.04 | ' | ' | ' | ' | ($0.13) | ' | ' |
Income (loss) from discontinued operations | ($0.06) | ($0.04) | $0.98 | $0.02 | ' | ' | ' | ' | $0.90 | ' | ' |
Earnings Per Share, Diluted | ($0.09) | ($0.12) | $0.92 | $0.06 | ' | ' | ' | ' | $0.77 | ' | ' |
Loss from continuing operations (in dollars per share) | ' | ' | ' | ' | ($0.07) | ($0.04) | ($0.05) | ($0.11) | ($0.13) | ($0.28) | ($1.67) |
Income (Loss) from Discontinued Operations and Disposal of Discontinued Operations, Net of Tax, Per Basic and Diluted Share | ' | ' | ' | ' | ($0.08) | ($0.06) | ($0.03) | ($0.03) | ($0.90) | ($0.22) | ($0.65) |
Earnings Per Share, Basic and Diluted | ' | ' | ' | ' | $0.01 | $0.02 | ($0.02) | ($0.08) | $0.77 | ($0.06) | ($1.02) |
Schedule_II_Valuation_and_Qual1
Schedule II - Valuation and Qualifying Accounts (Details) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2012 |
Allowance for Doubtful Accounts [Member] | ' | ' | ' |
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' |
Balance at beginning of year | $720 | $353 | $103 |
Charged to costs and expenses | 453 | 392 | 322 |
Deductions | -72 | -25 | -72 |
Balance at end of year | 1,101 | 720 | 353 |
Deferred Tax Valuation Allowance [Member] | ' | ' | ' |
Movement in Valuation Allowances and Reserves [Roll Forward] | ' | ' | ' |
Balance at beginning of year | 73,595 | 77,904 | 31,349 |
Charged to costs and expenses | -581 | -4,309 | 46,555 |
Deductions | 0 | 0 | 0 |
Balance at end of year | $73,014 | $73,595 | $77,904 |