Document and Entity Information
Document and Entity Information Document - shares | 9 Months Ended | |
Nov. 30, 2018 | Jan. 08, 2019 | |
Document and Entity Information [Abstract] | ||
Entity Registrant Name | VOXX INTERNATIONAL CORPORATION | |
Entity Central Index Key | 807,707 | |
Current Fiscal Year End Date | --02-28 | |
Entity Filer Category | Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Nov. 30, 2018 | |
Document Fiscal Year Focus | 2,019 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 24,199,054 | |
Entity Small Business | false | |
Entity Emerging Growth Company | false |
Balance Sheets
Balance Sheets - USD ($) $ in Thousands | Nov. 30, 2018 | Feb. 28, 2018 |
Stockholders' Equity: | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Current assets: | ||
Cash and cash equivalents | $ 48,718 | $ 51,740 |
Accounts receivable, net | 84,639 | 81,116 |
Inventory, net | 118,816 | 117,992 |
Nontrade Receivables | 463 | 493 |
Prepaid expenses and other current assets | 28,598 | 14,007 |
Income tax receivable | 499 | 511 |
Total current assets | 281,733 | 265,859 |
Long-term Investments | 3,243 | 4,167 |
Equity investments | 22,108 | 21,857 |
Property, Plant and Equipment, Net | 61,200 | 65,259 |
Goodwill | 54,785 | 54,785 |
Intangible Assets, Net | 135,041 | 150,320 |
Deferred income taxes | 24 | 24 |
Other assets | 2,590 | 13,373 |
Total assets | 560,724 | 575,644 |
Current liabilities: | ||
Accounts payable | 37,097 | 34,700 |
Accrued expenses and other current liabilities | 33,776 | 36,350 |
Income taxes payable | 1,371 | 2,587 |
Accrued Marketing Costs, Current | 16,606 | 14,020 |
Current portion of long-term debt | 10,417 | 7,730 |
Total current liabilities | 99,267 | 95,387 |
Long-term Debt | 5,754 | 8,476 |
Capital lease obligation | 628 | 699 |
Deferred Compensation Liability, Classified, Noncurrent | 2,529 | 3,369 |
Other tax liabilities | 1,377 | 2,191 |
Deferred tax liabilities | 14,853 | 12,217 |
Other long-term liabilities | 3,014 | 3,187 |
Total liabilities | 127,422 | 125,526 |
Preferred stock: | ||
Preferred stock | 0 | 0 |
Common stock: | ||
Paid-in capital | 296,788 | 296,395 |
Retained earnings | 185,142 | 194,673 |
Stockholders' Equity Attributable to Noncontrolling Interest | (10,784) | (5,830) |
Accumulated other comprehensive loss | (16,932) | (14,222) |
Treasury stock | (21,176) | (21,176) |
Total stockholders' equity | 444,086 | 455,948 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 433,302 | 450,118 |
Total liabilities and stockholders' equity | $ 560,724 | $ 575,644 |
Preferred stock, shares authorized | 1,500,000 | 1,500,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Treasury stock, shares | 2,168,094 | 2,168,094 |
Common Class A [Member] | ||
Common stock: | ||
Common Stock | $ 242 | $ 256 |
Class A Common stock, par value | $ 0.01 | $ 0.01 |
Class A Common stock, shares authorized | 60,000,000 | 60,000,000 |
Class A Common stock, shares issued | 24,106,194 | 24,106,194 |
Class A Common stock, shares outstanding | 21,938,100 | 21,938,100 |
Common Class B [Member] | ||
Common stock: | ||
Common Stock | $ 22 | $ 22 |
Class A Common stock, par value | $ 0.01 | $ 0.01 |
Class A Common stock, shares authorized | 10,000,000 | 10,000,000 |
Class A Common stock, shares issued | 2,260,954 | 2,260,954 |
Class A Common stock, shares outstanding | 2,260,954 | 2,260,954 |
Statement of Operations
Statement of Operations - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Nov. 30, 2018 | Nov. 30, 2017 | Nov. 30, 2018 | Nov. 30, 2017 | |
Revenue from Contract with Customer, Excluding Assessed Tax | $ 129,637 | $ 156,563 | $ 339,359 | $ 384,856 |
Cost of Goods and Services Sold | 90,714 | 115,044 | 241,696 | 284,772 |
Discontinued Operation, Gain (Loss) from Disposal of Discontinued Operation, before Income Tax | 0 | 36,118 | ||
Impairment of Intangible Assets, Finite-lived | $ 0 | $ 0 | $ 9,814 | $ 0 |
Earnings Per Share, Basic | $ 0.50 | $ 0.35 | $ (0.39) | $ 0.94 |
Gross Profit | $ 38,923 | $ 41,519 | $ 97,663 | $ 100,084 |
Operating expenses: | ||||
Selling | 10,363 | 11,357 | 30,661 | 34,805 |
General and administrative | 16,482 | 18,258 | 49,632 | 59,095 |
Engineering and technical support | 6,368 | 6,261 | 18,349 | 20,298 |
Prepaid expenses and other current assets | 28,598 | 28,598 | ||
Total operating expenses | 33,213 | 35,876 | 108,456 | 114,198 |
Operating Income (Loss) | 5,710 | 5,643 | (10,793) | (14,114) |
Other (expense) income: | ||||
Interest and bank charges | (1,174) | (1,215) | (3,391) | (4,850) |
Equity in income of equity investees | 1,695 | 2,004 | 5,146 | 5,734 |
Other, net | 260 | 477 | 1,173 | (7,772) |
Total other (expense) income, net | 781 | 1,266 | (545) | (5,472) |
Income (loss) before income taxes | (6,491) | (6,909) | 11,338 | 19,586 |
Income Tax Expense (Benefit) | 4,078 | 568 | (3,147) | (4,531) |
Income (Loss) from Continuing Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest | 10,569 | 7,477 | (14,485) | (15,055) |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 10,569 | 7,109 | (14,485) | 17,287 |
Net Income (Loss) Attributable to Noncontrolling Interest | (1,642) | (1,535) | (4,954) | (5,433) |
Net income (loss) attributable to Voxx International Corporation | 12,211 | 8,644 | (9,531) | 22,720 |
Other comprehensive income (loss): | ||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Gain (Loss) Arising During Period, Net of Tax | (1,263) | (170) | (3,333) | 27,669 |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | 50 | 226 | 542 | (960) |
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, after Tax | 20 | (2) | 57 | 1,688 |
Other Comprehensive Income (Loss), Securities, Available-for-sale, Adjustment, after Tax | 0 | (3) | 24 | 74 |
Other Comprehensive Income (Loss), Net of Tax | (1,193) | 51 | (2,710) | 28,471 |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $ 11,018 | $ 8,695 | $ (12,241) | $ 51,191 |
Income (Loss) from Continuing Operations, Per Basic Share | $ 0.50 | $ 0.37 | $ (0.39) | $ (0.40) |
Income (Loss) from Discontinued Operations and Disposal of Discontinued Operations, Net of Tax, Per Basic Share | 0 | (0.02) | 0 | 1.34 |
Income (Loss) from Continuing Operations, Per Diluted Share | 0.50 | 0.37 | (0.39) | (0.40) |
Income (Loss) from Discontinued Operations and Disposal of Discontinued Operations, Net of Tax, Per Diluted Share | 0 | $ (0.02) | 0 | 1.34 |
Earnings Per Share, Diluted | $ 0.50 | $ (0.39) | $ 0.94 | |
Weighted Average Number of Shares Outstanding, Basic | 24,355,791 | 24,238,493 | 24,355,791 | 24,222,973 |
Weighted Average Number Diluted Shares Outstanding Adjustment | 273,045 | 259,651 | 0 | |
Weighted Average Number of Shares Outstanding, Diluted | 24,628,836 | 24,498,144 | 24,355,791 | 24,222,973 |
Discontinued Operation, Tax Effect of Discontinued Operation | $ 363 | $ 6,470 | ||
Income (Loss) from Discontinued Operations, Net of Tax, Attributable to Parent | (368) | $ 0 | 32,342 | |
Cost-method Investments, Realized Gain (Loss) | $ 0 | 0 | 0 | 1,416 |
Impairment of Long-Lived Assets Held-for-use | $ 0 | $ 0 | $ (3,473) | $ 0 |
Statement of Cash Flows
Statement of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Nov. 30, 2018 | Nov. 30, 2017 | Nov. 30, 2018 | Nov. 30, 2017 | |
Cash flows from operating activities: | ||||
Net income | $ 10,569 | $ 7,109 | $ (14,485) | $ 17,287 |
Income (Loss) from Continuing Operations, Net of Tax, Including Portion Attributable to Noncontrolling Interest | 10,569 | 7,477 | (14,485) | (15,055) |
Income (Loss) from Discontinued Operations, Net of Tax, Attributable to Parent | (368) | 0 | 32,342 | |
Adjustments to reconcile net income to net cash (used in) provided by operating activities: | ||||
Depreciation and amortization | 2,887 | 2,993 | 8,811 | 9,148 |
Amortization of debt discount | 616 | 616 | ||
Bad debt expense | 372 | 260 | ||
Interest and Debt Expense | 1,174 | 1,215 | 3,391 | 4,850 |
Interest Income (Expense), Nonoperating, Net | 312 | 51 | 788 | 82 |
Loss on forward contracts | 132 | |||
Equity in income of equity investees | (1,695) | (2,004) | (5,146) | (5,734) |
Distribution of income from equity investees | 4,899 | 5,245 | ||
Deferred Income Tax Expense | 2,606 | 1,157 | ||
Non-cash compensation adjustment | 840 | 786 | ||
Non-cash stock based compensation expense | 393 | 445 | ||
Impairment of Long-Lived Assets Held-for-use | 0 | 0 | 3,473 | 0 |
Gain on sale of property, plant and equipment | 15 | (10) | ||
Changes in operating assets and liabilities (net of assets and liabilities acquired): | ||||
Accounts receivable | (5,709) | (10,862) | ||
Inventory | (2,648) | (831) | ||
Receivables from vendors | 24 | 396 | ||
Prepaid expenses and other | 4,549 | (12,275) | ||
Investment securities-trading | 903 | 52 | ||
Accounts payable, accrued expenses, accrued sales incentives and other liabilities | 4,159 | (14,975) | ||
Income taxes payable | (1,833) | (1,660) | ||
Net cash provided by operating activities | 10,105 | (38,948) | ||
Debt and Equity Securities, Gain (Loss) | 0 | (1,416) | ||
Gain (Loss) on Disposition of Business | 0 | (36,118) | ||
Cash flows from investing activities: | ||||
Purchases of property, plant and equipment | (4,084) | (5,932) | ||
Proceeds from sale of property, plant and equipment | 47 | 10 | ||
Payments to Acquire Notes Receivable | (4,931) | (3,000) | ||
Depreciation, Amortization and Accretion, Net | 8,811 | 12,087 | ||
Proceeds from Sale of Long-term Investments | 0 | 2,660 | ||
Purchase of acquired business | 0 | (1,814) | ||
Proceeds from Divestiture of Businesses | 0 | 170,020 | ||
Net cash used in investing activities | (8,968) | 161,944 | ||
Cash flows from financing activities: | ||||
Principal payments on capital lease obligation | (295) | (489) | ||
Repayment of bank obligations | (1,870) | (128,591) | ||
Borrowings on bank obligations | 1,974 | 37,114 | ||
Net cash (used in) provided by financing activities | (191) | (91,663) | ||
Effect of exchange rate changes on cash | (3,968) | (1,619) | ||
Net increase (decrease) in cash and cash equivalents | (3,022) | 29,714 | ||
Cash and cash equivalents at beginning of period | 51,740 | |||
Cash and cash equivalents at end of period | 48,718 | 48,718 | ||
Proceeds from Stock Options Exercised | 0 | 303 | ||
Cash and Cash Equivalents, at Carrying Value, Including Discontinued Operations | 48,718 | 37,514 | 48,718 | 37,514 |
Impairment of Intangible Assets, Finite-lived | $ 0 | $ 0 | $ 9,814 | 0 |
Designated as Hedging Instrument [Member] | ||||
Adjustments to reconcile net income to net cash (used in) provided by operating activities: | ||||
Loss on forward contracts | $ 6,602 |
Basis of Presntation Level 1 (N
Basis of Presntation Level 1 (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation and Significant Accounting Policies [Text Block] | Basis of Presentation The accompanying unaudited interim consolidated financial statements of VOXX International Corporation and Subsidiaries ("Voxx" or the "Company") have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission and in accordance with accounting principles generally accepted in the United States of America and include all adjustments (consisting of normal recurring adjustments), which, in the opinion of management, are necessary to present fairly the consolidated financial position, results of operations and cash flows for all periods presented. The results of operations are not necessarily indicative of the results to be expected for the full fiscal year or any interim period. These unaudited consolidated financial statements do not include all disclosures associated with consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America. Accordingly, these statements should be read in conjunction with the Company's audited consolidated financial statements and notes thereto contained in the Company's Form 10-K for the fiscal year ended February 28, 2018 . The Company's financial statements for the prior periods presented herein have been recast to reflect a certain business that was classified as discontinued operations during the second quarter of Fiscal 2018. See Note 2 for additional information. Net income (loss) per share amounts for continuing and discontinued operations are computed independently. As a result, the sum of the per share amounts may not equal the total. We operate in three reportable segments, Automotive, Premium Audio and Consumer Accessories. See Note 22 for the Company's segment reporting disclosures. |
Acquisitions Acquisitions Level
Acquisitions Acquisitions Level 1 (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Business Combinations [Abstract] | |
Mergers, Acquisitions and Dispositions Disclosures [Text Block] | Dispositions Hirschmann Car Communication GmbH On August 31, 2017 (the "Closing Date"), the Company completed its sale of Hirschmann Car Communication GmbH and its subsidiaries (collectively, “Hirschmann”) to a subsidiary of TE Connectivity Ltd ("TE"). The consideration received by the Company was € 148,500 . The purchase price, at the exchange rate as of the close of business on the Closing Date approximated $177,000 , and is subject to adjustment based upon the final working capital. VOXX International (Germany) GmbH, the Company's German wholly-owned subsidiary, was the selling entity in this transaction. The Hirschmann subsidiary group, which was included within the Automotive segment, qualified to be presented as a discontinued operation in accordance with ASC 205-20 beginning in the Company's Fiscal 2018 second quarter ending August 31, 2017. Voxx has not had any continuing involvement in the Hirschmann business subsequent to the Closing Date. Hirschmann and TE are not related parties of the Company subsequent to the deconsolidation of Hirschmann. In order to hedge the fluctuation in the exchange rate before closing, the Company entered into forward contracts totaling € 148,500 , which could be settled on dates ranging from August 31, 2017 through September 6, 2017. As the sale of Hirschmann closed on August 31, 2017, the Company settled all of the forward contracts on this date. The forward contracts were not designated for hedging and a total foreign currency loss of $(6,618) was recorded when the contracts were settled, within continuing operations for the nine months ended November 30, 2017 . The following table presents a reconciliation of the major financial lines constituting the results of operations for discontinued operations to the net income from discontinued operations, net of tax, presented separately in the Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) : Three Months Ended Nine Months Ended 2017 2017 Net sales $ — $ 91,824 Cost of sales — 63,610 Gross profit — 28,214 Operating expenses: Selling — 2,778 General and administrative 12 14,688 Engineering and technical support — 7,920 Total operating expenses 12 25,386 Operating (loss) income of discontinued operations (12 ) 2,828 Other (expense) income: Interest and bank charges (a) — (279 ) Other, net 7 145 Total other expense (income) of discontinued operations, net 7 (134 ) Gain on sale of discontinued operations before taxes — 36,118 Total (loss) income from discontinued operations before taxes (5 ) 38,812 Income tax expense on discontinued operations (b) 363 6,470 (Loss) income from discontinued operations, net of taxes $ (368 ) $ 32,342 (Loss) income per share - basic $ (0.02 ) $ 1.34 (Loss) income per share - diluted $ (0.02 ) $ 1.34 (a) Includes an allocation of consolidated interest expense and interest expense directly related to debt assumed by the buyer. The allocation of consolidated interest expense was based upon the ratio of net assets of the discontinued operations to that of the consolidated Company. (b) The income tax expense on discontinued operations for the three and nine months ended November 30, 2017 was positively impacted by an income tax benefit related to the partial reversal of the Company’s valuation allowance as the Company utilized a significant portion of its tax attributes to offset the U.S. tax gain related to the sale of Hirschmann. The following table presents supplemental cash flow information of the discontinued operation: Nine Months Ended 2017 Operating activities: Depreciation and amortization expense $ 2,939 Stock-based compensation expense 50 Investing activities: Capital expenditures $ 2,652 Non-cash investing and financing activities: Capital expenditures funded by long-term obligations $ 1,916 |
Net Income Per Common Share Lev
Net Income Per Common Share Level 1 (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Net Income Per Common Share [Abstract] | |
Earnings Per Share [Text Block] | Net Income (Loss) Per Common Share Basic net income (loss) per common share from continuing operations, net of non-controlling interest, is based upon the weighted-average common shares outstanding during the period. Diluted net income (loss) per common share from continuing operations, net of non-controlling interest reflects the potential dilution that would occur if common stock equivalent securities or other contracts to issue common stock were exercised or converted into common stock. There are no reconciling items which impact the numerator of basic and diluted net income (loss) common share. A reconciliation between the denominator of basic and diluted net income (loss) per common share is as follows: Three Months Ended Nine Months Ended 2018 2017 2018 2017 Weighted-average common shares outstanding (basic) 24,355,791 24,238,493 24,355,791 24,222,973 Effect of dilutive securities: Restricted stock 273,045 259,651 — — Weighted-average common shares and potential common shares outstanding (diluted) 24,628,836 24,498,144 24,355,791 24,222,973 Restricted stock totaling 0 , and restricted stock, options and warrants totaling 55,918 for the three months ended November 30, 2018 and 2017 , respectively, and 531,375 and 545,102 for the nine months ended November 30, 2018 and 2017 , respectively, were not included in the net income (loss) per diluted share calculation because the exercise price of the restricted stock was greater than the average market price of the Company’s common stock during these periods, or the inclusion of these components would have been anti-dilutive. |
Fair Value Measurements Level 1
Fair Value Measurements Level 1 (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures [Text Block] | Fair Value Measurements and Derivatives The Company applies the authoritative guidance on “Fair Value Measurements," which among other things, requires enhanced disclosures about investments that are measured and reported at fair value. This guidance establishes a hierarchal disclosure framework that prioritizes and ranks the level of market price observability used in measuring investments at fair value. Market price observability is impacted by a number of factors, including the type of investment and the characteristics specific to the investment. Investments with readily available active quoted prices, or for which fair value can be measured from actively quoted prices, generally will have a higher degree of market price observability and a lesser degree of judgment used in measuring fair value. Investments measured and reported at fair value are classified and disclosed in one of the following categories: Level 1 - Quoted market prices in active markets for identical assets or liabilities. Level 2 - Inputs other than Level 1 inputs that are either directly or indirectly observable. Level 3 - Unobservable inputs developed using the Company's estimates and assumptions, which reflect those that market participants would use. The following table presents financial assets measured at fair value on a recurring basis at November 30, 2018 : Fair Value Measurements at Reporting Date Using Total Level 1 Level 2 Cash and cash equivalents: Cash and money market funds $ 48,718 $ 48,718 $ — Derivatives: Designated for hedging $ 158 $ — $ 158 Investment securities: Mutual funds $ 2,718 $ 2,718 $ — Investment held at cost, less impairment (a) 525 — — Total investment securities $ 3,243 $ 2,718 $ — The following table presents financial assets and liabilities measured at fair value on a recurring basis at February 28, 2018 : Fair Value Measurements at Reporting Date Using Total Level 1 Level 2 Cash and cash equivalents: Cash and money market funds $ 51,740 $ 51,740 $ — Derivatives: Designated for hedging $ (262 ) $ — $ (262 ) Investment securities: Trading securities $ 3,620 $ 3,620 $ — Other investment at cost (a) 547 — — Total investment securities $ 4,167 $ 3,620 $ — (a) This balance represents an investment in a non-controlled corporation held at cost, less impairment (see Note 4). The fair value of this investment would be based upon Level 3 inputs and is not considered material to the Company's consolidated financial statements. At November 30, 2018 , the carrying amount of the Company's accounts receivable, notes receivable, short-term debt, accounts payable, accrued expenses, bank obligations and long-term debt approximates fair value because of (i) the short-term nature of the financial instrument; (ii) the interest rate on the financial instrument being reset every quarter to reflect current market rates; or (iii) the stated or implicit interest rate approximates the current market rates or are not materially different from market rates. Derivative Instruments The Company's derivative instruments include forward foreign currency contracts utilized to hedge a portion of its foreign currency inventory purchases. The forward foreign currency derivatives qualifying for hedge accounting are designated as cash flow hedges and valued using observable forward rates for the same or similar instruments (Level 2). The duration of open forward foreign currency contracts ranges from 1 month - 3 months and are classified in the balance sheet according to their terms. The Company also has an interest rate swap agreement as of November 30, 2018 that hedges interest rate exposure related to the forecasted outstanding balance of its Florida Mortgage, with monthly payments due through March 2026. The swap agreement locks the interest rate on the debt at 3.48% (inclusive of credit spread) through the maturity date of the loan. Interest rate swap agreements qualifying for hedge accounting are designated as cash flow hedges and valued based on a comparison of the change in fair value of the actual swap contracts designated as the hedging instruments and the change in fair value of a hypothetical swap contract (Level 2). We calculate the fair value of interest rate swap agreements quarterly based on the quoted market price for the same or similar financial instruments. Interest rate swaps are classified in the balance sheet as either assets or liabilities based on the fair value of the instruments at the end of the period. It is the Company's policy to enter into derivative instrument contracts with terms that coincide with the underlying exposure being hedged. As such, the Company's derivative instruments are expected to be highly effective. Hedge ineffectiveness, if any, is recognized as incurred through other income (expense) in the Company's Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) and amounted to $20 and $45 for the three and nine months ended November 30, 2018 , respectively, and $46 and $(49) for the three and nine months ended November 30, 2017 , respectively. Financial Statement Classification The following table discloses the fair value as of November 30, 2018 and February 28, 2018 of derivative instruments: Derivative Assets and Liabilities Fair Value Account November 30, 2018 February 28, 2018 Designated derivative instruments Foreign currency contracts Prepaid expenses and other current assets $ 127 $ — Accrued expenses and other current liabilities — (227 ) Interest rate swap agreements Other assets 31 — Other long-term liabilities — (35 ) Total derivatives $ 158 $ (262 ) Cash flow hedges During Fiscal 2018, the Company entered into forward foreign currency contracts, which have a current outstanding notional value of $2,400 and are designated as cash flow hedges at November 30, 2018 . The current outstanding notional value of the Company's interest rate swap at November 30, 2018 is $8,236 . For cash flow hedges, the effective portion of the gain or loss is reported as a component of Other Comprehensive Income (Loss) and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. Activity related to cash flow hedges pertaining to continuing operations recorded during the three and nine months ended November 30, 2018 and 2017 was as follows: Three months ended Nine months ended November 30, 2018 November 30, 2018 Pretax Gain(Loss) Recognized in Other Comprehensive Income Pretax Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) Gain for Ineffectiveness in Other Income Pretax Gain (Loss) Recognized in Other Comprehensive Income Pretax (Loss) Gain Reclassified from Accumulated Other Comprehensive Income Gain (Loss) for Ineffectiveness in Other Income Cash flow hedges Foreign currency contracts $ 116 $ 80 $ 20 $ 538 $ (134 ) $ 45 Interest rate swaps 28 — — 66 — — Three months ended Nine months ended November 30, 2017 November 30, 2017 Pretax (Loss) Gain Recognized in Other Comprehensive Income Pretax Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) Gain for Ineffectiveness in Other Income Pretax (Loss) Gain Recognized in Other Comprehensive Income Pretax Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) Gain for Ineffectiveness in Other Income Cash flow hedges Foreign currency contracts $ (103 ) $ (218 ) $ 46 $ (1,369 ) $ 99 $ (49 ) Interest rate swaps 148 — — 79 — — The net (loss) income recognized in Other Comprehensive Income (Loss) for foreign currency contracts is expected to be recognized in cost of sales within the next six months . No amounts were excluded from the assessment of hedge effectiveness during the respective periods. As of November 30, 2018 , no foreign currency contracts originally designated for hedge accounting were de-designated or terminated. |
Investment Securities Level 1 (
Investment Securities Level 1 (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Investment Securities [Abstract] | |
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block] | Investment Securities As of November 30, 2018 , and February 28, 2018 , the Company had the following investments: November 30, 2018 Carrying Value Investment Securities Marketable Equity Securities Mutual funds $ 2,718 Total Marketable Equity Securities 2,718 Investment Held at Cost, Less Impairment 525 Total Investment Securities $ 3,243 February 28, 2018 Cost Basis Unrealized Holding Gain/(Loss) Fair Value Investment Securities Marketable Equity Securities Trading Mutual funds $ 3,620 $ — $ 3,620 Total Marketable Securities 3,620 — 3,620 Other Long-Term Investment at Cost 547 — 547 Total Investment Securities $ 4,167 $ — $ 4,167 Equity Securities As required, in the first quarter of Fiscal 2019 the Company adopted ASU 2016-01, “Recognition and Measurement of Financial Assets and Financial Liabilities” ("ASU 2016-01"), which requires changes to the accounting for financial instruments that affect the Company’s equity investments and the presentation and disclosure for such instruments. Marketable equity securities previously classified as available-for-sale equity investments are now measured and recorded at fair value with changes in fair value recorded in the Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) . The impact of adopting ASU 2016-01 resulted in a cumulative effect adjustment of $24 , which was recorded in other income (expense) in the Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) for the nine months ended November 30, 2018 , rather than in retained earnings, as it was not considered material to the Company's consolidated financial statements for the period. Mutual Funds The Company’s mutual funds are held in connection with its deferred compensation plan. Changes in the carrying value of these securities are offset by changes in the corresponding deferred compensation liability. Upon the adoption of ASU 2016-01, changes in fair value of equity securities are now recorded within the Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) , and as such, other than temporary impairment ("OTTI") considerations are no longer made with respect to equity securities. Prior to the adoption of ASU 2016-01, in determining whether equity securities were other than temporarily impaired, the Company considered its intent and ability to hold a security for a period of time sufficient to allow for the recovery of cost, along with factors including the length of time each security had been in an unrealized loss position, the extent of the decline and the near-term prospect for recovery. Additionally, on a quarterly basis, the Company was required to make a qualitative assessment of whether the investment was impaired. No OTTI losses were incurred by the Company during the three and nine months ended November 30, 2017 . Investment Held at Cost, Less Impairment The Company's investment held at cost, less impairment, represents an investment in Fathom Systems Inc. ("Fathom"), a non-controlled corporation. On July 31, 2017 , RxNetworks, a Canadian company in which Voxx held a cost method investment consisting of shares of the investee's preferred stock, was sold to a third party. In consideration for its holdings in RxNetworks on July 31, 2017, Voxx received cash, as well as a proportionate share of the value (consisting of preferred stock) in Fathom, a newly formed Canadian entity, formerly a subsidiary of RxNetworks. As a result of this transaction, Voxx recognized a gain of $1,416 for the nine months ended November 30, 2017 . The cash proceeds were subject to a hold-back provision, which was not included in the calculation of the gain recognized. On March 1, 2018, the Company adopted ASU No. 2016-01. This guidance requires equity investments to be measured at fair value with changes in fair value recognized in net income. Since it does not have a readily determinable market value, the Company has elected to measure its investment in Fathom at cost minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or similar investment. No adjustments have been made to the value of the Company’s investment in Fathom for the three and nine months ended November 30, 2018 either due to impairment or based on observable price changes. The variance in the balance of this investment is attributable solely to foreign currency adjustments. The Company monitors any events or changes in circumstances that may have a significant adverse effect on the fair value of this investment and makes any necessary adjustments. As of November 30, 2018 , the Company's investment in Fathom totaled $525 , or 8.7% of the outstanding shares of this company. The Company holds various notes receivable from 360fly, Inc., designers and creators of 360° cameras and technology. These notes receivable, which aggregate $15,588 principal amount, are recorded in the Company's Consolidated Balance Sheet at November 30, 2018 under the caption Prepaid expenses and other current assets. Of the $15,588 notes receivable, $12,453 are convertible into preferred stock of 360fly, Inc. At November 30, 2018 , all of the notes receivable were due on August 31, 2019. On December 12, 2018, one of the notes was amended to increase the available amount under the note by $1,100 and amend the due date to January 7, 2019. Of the notes receivable outstanding at November 30, 2018, a $5,000 aggregate principal amount then became payable on January 7, 2019, and a $10,588 aggregate principal balance will be payable on August 31, 2019. These notes receivable are senior secured notes that are collateralized by the intangible and tangible assets of 360fly, Inc. The notes bear interest at 8% per annum. Each month, the interest (to the extent not paid in cash) is added to the principal balance due. Prior to close of business on January 7, 2019, the Company amended the note receivable that was due on January 7, 2019 increasing the amount available under the note by an additional $500 and extending the payment terms to January 19, 2019. Subsequent to November 30, 2018 , the Company lent additional funds of $595 to 360fly, Inc., and secured a cash advance of $231 , both of which were originally due to be repaid on January 7, 2019. These additional funds were drawn under the note for which the due date was extended to January 19, 2019. As of this filing, the total amount due from 360fly, Inc., net of reserves of $2,134 , is $15,681 . As all of the currently outstanding notes receivable are due from the same debtor, all the notes are deemed to have the same credit quality. The notes receivable were on a non-accrual status during the three and nine months ended November 30, 2018 , and during the fiscal year ended February 28, 2018 , as payment of interest was not reasonably assured. The credit quality of the notes receivable was previously deemed to not present a significant risk of loss or default of the principal payments based upon on-going business developments. During the fourth quarter of Fiscal 2019, the credit quality of the debtor has deteriorated. The Company is currently having on-going negotiations with the other secured lenders of 360fly, Inc. with respect to a potential filing by 360fly, Inc. of a voluntary petition under Chapter 11 of the Bankruptcy Code with the Company providing the debtor-in-possession financing. Additionally, the Company is discussing future purchase commitments with 360fly, Inc.'s customers (one of which is also a secured lender). If the Company and the other secured lenders were the successful bidder, they would own all of the equity in the newly reorganized entity, which in turn would own all of the assets of 360fly, Inc. including its intellectual property. There can be no assurance that the Company's negotiations will be successful, that 360fly, Inc. will file a Chapter 11 reorganization plan, or that the plan will be successfully consummated. If the Company is unsuccessful in completing its negotiations with the other secured lenders and customers, or if 360fly, Inc. is unsuccessful in completing a Chapter 11 reorganization, the Company may record an impairment charge in the future. As a result of these uncertainties, any estimate of such charge is inherently subjective as it is susceptible to significant revision as more information and developments become available. The Company has not recorded an impairment charge for the three or nine months ended November 30, 2018 . Given that the credit quality of the notes receivable has deteriorated subsequent to November 30, 2018 , the Company has begun performing an impairment analysis. As the notes are collateral dependent notes, the estimated fair value of the collateral is being developed for comparison to the carrying value of the notes. The Company will record an impairment charge in the future if the carrying value of the notes receivable exceeds the estimated fair value of the underlying collateral. |
Other Comprehensive Income Leve
Other Comprehensive Income Level 1 (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Other Comprehensive Income [Abstract] | |
Other Comprehensive Income [Text Block] | Accumulated Other Comprehensive (Loss) Income The Company’s accumulated other comprehensive (loss) income consists of the following: Foreign Currency Translation (Losses) Gains Unrealized (losses) gains on investments, net of tax (a) Pension plan adjustments, net of tax Derivatives designated in a hedging relationship, net of tax Total Balance at February 28, 2018 $ (13,027 ) $ (24 ) $ (786 ) $ (385 ) $ (14,222 ) Other comprehensive (loss) income before reclassifications (3,333 ) — 57 450 (2,826 ) Reclassified from accumulated other comprehensive income (loss) — 24 — 92 116 Net current-period other comprehensive (loss) income (3,333 ) 24 57 542 (2,710 ) Balance at November 30, 2018 $ (16,360 ) $ — $ (729 ) $ 157 $ (16,932 ) (a) Pursuant to ASU 2016-01 adopted by the Company (see Note 4), beginning on March 1, 2018, changes in fair value of the Company's investments in equity investments are recorded in earnings. During the three and nine months ended November 30, 2018 , the Company recorded tax expense related to derivatives designated in a hedging relationship of $11 and $202 , respectively, and pension plan adjustments of $0 in both periods. The other comprehensive (loss) income before reclassification of $(3,333) includes the remeasurement of intercompany transactions of a long-term investment nature of $(1,000) with certain subsidiaries whose functional currency is not the U.S. dollar, and $(2,333) from translating the financial statements of the Company's non-U.S. dollar functional currency subsidiaries into our reporting currency, which is the U.S. dollar. |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information Level 1 (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Supplemental Cash Flow Information [Abstract] | |
Cash Flow, Supplemental Disclosures [Text Block] | Supplemental Cash Flow Information The following is supplemental information relating to the Unaudited Consolidated Statements of Cash Flows, including continuing and discontinued operations: Nine Months Ended 2018 2017 Non-cash investing and financing activities: Capital expenditures funded by long-term obligations $ — $ 1,993 Cash paid during the period: Interest (excluding bank charges) $ 1,322 $ 2,675 Income taxes (net of refunds) 2,290 2,359 See Note 2 for additional supplemental cash flow information pertaining to discontinued operations. |
Accounting for Stock Based Comp
Accounting for Stock Based Compensation Level 1 (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Accounting for Stock Based Compensation [Abstract] | |
Disclosure of Compensation Related Costs, Share-based Payments [Text Block] | Accounting for Stock-Based Compensation The Company has various stock-based compensation plans, which are more fully described in Note 1 of the Company’s Form 10-K for the fiscal year ended February 28, 2018 . A restricted stock award is an award of common stock that is subject to certain restrictions during a specified period. Restricted stock awards are independent of option grants and are subject to forfeiture if employment terminates for a reason other than death, disability or retirement, prior to the release of the restrictions. The Company has a Supplemental Executive Retirement Plan (SERP), which was established in Fiscal 2014. Shares are granted based on certain performance criteria and vest on the later of three years from the date of grant, or the grantee reaching the age of 65 years. The shares will also vest upon termination of the grantee's employment by the Company without cause, provided that the grantee, at the time of termination, has been employed by the Company for at least 10 years, or as a result of the sale of all of the issued and outstanding stock, or all, or substantially all, of the assets of the subsidiary of which the grantee serves as CEO and/or President. When vested shares are issued to the grantee, the awards will be settled in shares or in cash, at the Company's sole option. The grantee cannot transfer the rights to receive shares before the restricted shares vest. There are no market conditions inherent in the award, only an employee performance requirement, and the service requirement that the respective employee continues employment with the Company through the vesting date. During July 2018, the Company granted 188,245 shares of restricted stock under the SERP. The Company expenses the cost of the restricted stock awards on a straight-line basis over the requisite service period of each employee. For these purposes, the fair market value of the restricted stock is determined based on the mean of the high and low price of the Company's common stock on the grant dates. The fair market value of the restricted stock granted in July 2018 was $5.50 per share. The following table presents a summary of the Company's restricted stock activity for the nine months ended November 30, 2018 : Number of Shares Weighted Average Grant Date Fair Value Balance at February 28, 2018 439,299 $ 7.08 Granted 188,245 5.50 Forfeited — — Balance at November 30, 2018 627,544 $ 6.60 Vested and unissued at November 30, 2018 156,737 $ 9.96 During the three and nine months ended November 30, 2018 , the Company recorded $159 and $393 , respectively, and during the three and nine months ended November 30, 2017 , the Company recorded $146 and $396 , respectively, in stock-based compensation related to restricted stock awards for continuing operations. As of November 30, 2018 , there was approximately $1,684 of unrecognized stock-based compensation expense related to unvested restricted stock awards. |
Supply Chain Financing (Notes)
Supply Chain Financing (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Supply Chain Financing [Abstract] | |
Financing Receivables [Text Block] | Supply Chain Financing The Company has supply chain financing agreements and factoring agreements that were entered into for the purpose of accelerating receivable collection and better managing cash flow. The balances under the agreements are sold without recourse and are accounted for as sales of accounts receivable. Total receivable balances sold for the three and nine months ended November 30, 2018 , net of discounts, were $35,047 and $82,971 , respectively, compared to $46,309 and $110,024 , for the three and nine months ended November 30, 2017 , respectively. |
Research and Development
Research and Development | 9 Months Ended |
Nov. 30, 2018 | |
Research and Development [Abstract] | |
Research, Development, and Computer Software Disclosure [Text Block] | Research and Development Expenditures for research and development are charged to expense as incurred. Such expenditures amounted to $2,309 and $6,869 for the three and nine months ended November 30, 2018 , respectively, compared to $2,340 and $8,526 for the three and nine months ended November 30, 2017 , respectively, net of customer reimbursements, and are included in continuing operations within engineering and technical support expenses on the Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) . |
Goodwill and Intangible Assets
Goodwill and Intangible Assets Level 1 (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Goodwill and Intangible Assets [Abstract] | |
Goodwill and Intangible Assets Disclosure [Text Block] | Goodwill and Intangible Assets The change in goodwill pertaining to continuing operations by segment is as follows: Automotive: Amount Beginning balance at March 1, 2018 $ 8,252 Activity during the period — Balance at November 30, 2018 $ 8,252 Gross carrying amount at November 30, 2018 $ 8,252 Accumulated impairment charge — Net carrying amount at November 30, 2018 $ 8,252 Premium Audio: Beginning balance at March 1, 2018 $ 46,533 Activity during the period — Balance at November 30, 2018 $ 46,533 Gross carrying amount at November 30, 2018 $ 78,696 Accumulated impairment charge (32,163 ) Net carrying amount at November 30, 2018 $ 46,533 Total Goodwill, net $ 54,785 Note: The Company's Consumer Accessories segment did not carry a goodwill balance at November 30, 2018 or February 28, 2018 . At November 30, 2018 , intangible assets consisted of the following: Gross Carrying Value Accumulated Amortization Total Net Book Value Finite-lived intangible assets: Customer relationships $ 49,721 $ 28,896 $ 20,825 Trademarks/Tradenames 485 405 80 Developed technology 31,290 8,843 22,447 Patents 2,789 2,219 570 License 1,400 1,400 — Contract 2,141 1,936 205 Total finite-lived intangible assets $ 87,826 $ 43,699 44,127 Indefinite-lived intangible assets Trademarks 90,914 Total net intangible assets $ 135,041 At February 28, 2018 , intangible assets consisted of the following: Gross Carrying Value Accumulated Amortization Total Net Book Value Finite-lived intangible assets: Customer relationships $ 50,249 $ 26,807 $ 23,442 Trademarks/Tradenames 415 400 15 Developed technology 31,290 6,802 24,488 Patents 2,830 2,138 692 License 1,400 1,400 — Contract 2,141 1,849 292 Total finite-lived intangible assets $ 88,325 $ 39,396 48,929 Indefinite-lived intangible assets Trademarks 101,391 Total net intangible assets $ 150,320 During the second quarter of Fiscal 2019, the Company re-evaluated its projections for several brands in its Consumer Accessory and Automotive segments based on lower than anticipated results due to lower product load-ins, increased competition for certain product lines, a streamlining of SKU’s, and its marketing strategy for one of its brands. Accordingly, these were considered indicators of impairment requiring the Company to test the related indefinite-lived tradenames for impairment at the lowest level for which there are separately identifiable cash flows. The Company tested these indefinite-lived intangible assets as of August 31, 2018, the end of the Company's Fiscal 2019 second quarter. The respective fair values were estimated using a Relief-from-Royalty Method, applying royalty rates of 0.5% to 5.5% for the trademarks after reviewing comparable market rates, the profitability of the products associated with relative intangible assets, and other qualitative factors. We determined that risk-adjusted discount rates ranging from 12.6% to 13.1% were appropriate (developed using a weighted average cost of capital analysis). The long-term growth rates ranged from 0% to 2.0% . As a result of this analysis, it was determined that several of the Company's Consumer Accessory trademarks and one Automotive trademark were impaired at August 31, 2018. The Company recorded an impairment charge of $9,814 for the nine months ended November 30, 2018 , with $9,654 related to the Consumer Accessories segment and $160 related to the Automotive segment. Approximately 46% ( $42,189 ) of the carrying value of the Company's indefinite lived tradenames are close to fair value and sensitive to changes and assumptions. There can be no assurance that the estimates and assumptions made for purposes of impairment testing as of August 31, 2018 will prove to be accurate predictions of the future. Reduced demand for our existing product offerings, less than anticipated results for the holiday season, lack of acceptance of new products, or unfavorable changes in assumptions used in the discounted cash flow model such as discount rates, royalty rates or projected long-term growth rates could result in additional impairment charges in the future. After further evaluation, no additional impairments of long-lived assets were recorded for the three months ended November 30, 2018 . The Company recorded amortization expense for continuing operations of $1,582 and $4,745 for the three and nine months ended November 30, 2018 , respectively, and $1,612 and $4,867 for the three and nine months ended November 30, 2017 , respectively. The estimated aggregate amortization expense for continuing operations for all amortizable intangibles for November 30 of each of the succeeding years is as follows: Year Amount 2019 $ 6,293 2020 6,130 2021 5,962 2022 5,756 2023 5,455 |
Equity Investments Level 1 (Not
Equity Investments Level 1 (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Equity Investments [Abstract] | |
Equity Method Investments Disclosure [Text Block] | Equity Investment As of November 30, 2018 and February 28, 2018 , the Company had a 50% non-controlling ownership interest in ASA Electronics, LLC and Subsidiary (“ASA") which acts as a distributor of mobile electronics specifically designed for niche markets within the automotive industry, including RV's; buses; and commercial, heavy duty, agricultural, construction, powersport, and marine vehicles. The following presents summary financial information for ASA. Such summary financial information has been provided herein based upon the individual significance of ASA to the consolidated financial information of the Company. November 30, February 28, Current assets $ 46,733 $ 42,318 Non-current assets 6,072 7,095 Liabilities 8,590 5,699 Members' equity 44,214 43,714 Nine Months Ended 2018 2017 Net sales $ 76,753 $ 72,434 Gross profit 24,753 24,397 Operating income 10,148 11,359 Net income 10,292 11,467 The Company's share of income from ASA was $1,695 and $5,146 for the three and nine months ended November 30, 2018 , respectively, and $2,004 and $5,734 for the three and nine months ended November 30, 2017 , respectively. |
Income Taxes Level 1 (Notes)
Income Taxes Level 1 (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Income Taxes [Abstract] | |
Income Tax Disclosure [Text Block] | Income Taxes For the three months ended November 30, 2018 , the Company recorded an income tax benefit from continuing operations of $4,078 , which includes a discrete income tax benefit of $57 , related primarily to the reversal of unrecognized tax benefits resulting from a lapse of the applicable statute of limitations, offset by an income tax provision related to finalization of our federal, state and foreign tax filings during the quarter ended November 30, 2018 . For the three months ended November 30, 2017 , the Company recorded an income tax benefit from continuing operations of $568 , which includes a discrete income tax benefit of $1,309 , related primarily to the reversal of unrecognized tax benefits resulting from a lapse of the applicable statute of limitations. The effective tax rates for the three months ended November 30, 2018 and November 30, 2017 were an income tax benefit from continuing operations of 62.8% on pre-tax income of $6,491 and an income tax benefit of 8.2% on a pre-tax income of $6,909 , respectively. The effective tax rate for the three months ended November 30, 2018 differs from the U.S. statutory rate of 21% primarily due to the non-controlling interest related to EyeLock LLC, state and local income taxes, nondeductible permanent differences, and income taxed in foreign jurisdictions at varying tax rates. In addition, our valuation allowance increased for U.S. tax credits and losses in certain foreign jurisdictions for which a limited tax benefit can be recognized. For the nine months ended November 30, 2018 , the Company recorded an income tax provision from continuing operations of $3,147 , which includes a discrete income tax benefit of $256 , related primarily to the reversal of unrecognized tax benefits resulting from a lapse of the applicable statute of limitations, offset by an income tax provision related to finalization of our federal, state and foreign tax filings during the quarter ended November 30, 2018 . For the nine months ended November 30, 2017 , the Company recorded an income tax benefit from continuing operations of $4,531 , which includes a discrete income tax benefit of $1,244 , related primarily to the reversal of unrecognized tax benefits resulting from a lapse of the applicable statute of limitations. The effective tax rates for the nine months ended November 30, 2018 and November 30, 2017 were an income tax provision from continuing operations of 27.8% on a pre-tax loss of $(11,338) and an income tax benefit of 23.1% on a pre-tax loss of $(19,586) , respectively. The effective tax rate for the nine months ended November 30, 2018 differs from the U.S. statutory rate of 21% primarily due to the non-controlling interest related to EyeLock LLC, state and local income taxes, nondeductible permanent differences, and income taxed in foreign jurisdictions at varying tax rates. In addition, the valuation allowance increased for tax credits and losses in certain foreign jurisdictions for which a limited tax benefit can be recognized. At November 30, 2018 , the Company had an uncertain tax position liability from continuing operations of $1,377 , including interest and penalties. The unrecognized tax benefits include amounts related to various U.S. federal, state and local, and foreign tax issues. On December 22, 2017, the SEC staff issued Staff Accounting Bulletin No. 118 (“SAB No. 118”), which provides guidance on accounting for the tax effects of the Tax Cuts and Jobs Act ("TCJA"). The purpose of SAB No. 118 was to address any uncertainty or diversity of view in applying ASC Topic 740, Income Taxes in the reporting period in which the TCJA was enacted. SAB No. 118 addresses situations in which the accounting is incomplete for certain income tax effects of the TCJA upon issuance of a company’s financial statements for the reporting period that includes the enactment date. SAB No. 118 allows for a provisional amount to be recorded if it is a reasonable estimate of the impact of the TCJA. Additionally, SAB No. 118 allows for a measurement period to finalize the impacts of the TCJA, not to extend beyond one year from the date of enactment. The Company’s accounting for certain elements of the TCJA was incomplete as of the fiscal year ended February 28, 2018 , some of which remains incomplete at November 30, 2018 . As of the quarter ended November 30, 2018 , the Company completed its accounting for the mandatory one-time transition tax and the remeasurement of its deferred tax assets and liabilities at the reduced U.S. federal rate of 21% . There are no significant differences from our provisional estimates recorded at February 28, 2018 . The Company has also made a policy election to account for income taxes for global intangible low taxed income (GILTI) as a period expense. Pursuant to SAB 118, the Company continues to assess the impact of the TCJA on certain elements of its financial statements, including its indefinite reinvestment assertion. The Company is evaluating making certain basis elections under IRC Section 965. As of November 30, 2018 , the Company has not made any adjustments to its indefinite reinvestment assertion. |
Inventory Level 1 (Notes)
Inventory Level 1 (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Inventory [Abstract] | |
Inventory Disclosure [Text Block] | Inventory Inventories by major category are as follows: November 30, February 28, Raw materials $ 26,835 $ 28,071 Work in process 3,004 2,485 Finished goods 88,977 87,436 Inventory, net $ 118,816 $ 117,992 |
Financing Arrangements (Notes)
Financing Arrangements (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Financing Arrangements [Abstract] | |
Debt Disclosure [Text Block] | Financing Arrangements The Company has the following financing arrangements: November 30, February 28, Debt Domestic credit facility (a) $ — $ — Florida mortgage (b) 8,236 8,613 Euro asset-based lending obligation (c) 6,907 6,119 Schwaiger mortgage (d) 294 468 Voxx Germany mortgage (e) 2,777 3,665 Total debt 18,214 18,865 Less: current portion of long-term debt 10,417 7,730 Long-term debt 7,797 11,135 Less: debt issuance costs 2,043 2,659 Total long-term debt, net of debt issuance costs $ 5,754 $ 8,476 (a) Domestic Credit Facility The Company has a senior secured credit facility (the "Credit Facility") that provides for a revolving credit facility with committed availability of up to $140,000 , which may be increased, at the option of the Company, up to a maximum of $175,000 , and a term loan in the amount of $15,000 . The Credit Facility also includes a $15,000 sublimit for letters of credit and a $15,000 sublimit for swingline loans. The availability under the revolving credit line within the Credit Facility is subject to a borrowing base, which is based on eligible accounts receivable, eligible inventory and certain real estate, subject to reserves as determined by the lender, and is also limited by amounts outstanding under the Florida Mortgage (see Note 16(b)). In conjunction with the sale of Hirschmann on August 31, 2017 (see Note 2), the Company paid down substantially all of the outstanding balance of the revolving credit facility, as well as the entire outstanding balance of the term loan, which is not renewable. As of November 30, 2018 , there was no balance outstanding under the revolving credit facility. The availability under the revolving credit line of the Credit Facility was $101,773 as of November 30, 2018 . All amounts outstanding under the Credit Facility will mature and become due on April 26, 2021; however, it is subject to acceleration upon the occurrence of an Event of Default (as defined in the Credit Agreement). The Company may prepay any amounts outstanding at any time, subject to payment of certain breakage and redeployment costs relating to LIBOR Rate Loans. The commitments under the Credit Facility may be irrevocably reduced at any time, without premium or penalty as set forth in the agreement. Generally, the Company may designate specific borrowings under the Credit Facility as either Base Rate Loans or LIBOR Rate Loans, except that swingline loans may only be designated as Base Rate Loans. Loans designated as LIBOR Rate Loans bear interest at a rate equal to the then applicable LIBOR rate plus a range of 1.75 - 2.25% . Loans designated as Base Rate loans bear interest at a rate equal to the applicable margin for Base Rate Loans of 0.75 - 1.25% as defined in the agreement. As of November 30, 2018 , the weighted average interest rate on the facility was 6.00% . The Credit Facility requires compliance with a financial covenant calculated as of the last day of each month, consisting of a Fixed Charge Coverage Ratio. The Credit Facility also contains covenants that limit the ability of the loan parties and certain of their subsidiaries which are not loan parties to, among other things: (i) incur additional indebtedness; (ii) incur liens; (iii) merge, consolidate or dispose of a substantial portion of their business; (iv) transfer or dispose of assets; (v) change their name, organizational identification number, state or province of organization or organizational identity; (vi) make any material change in their nature of business; (vii) prepay or otherwise acquire indebtedness; (viii) cause any change of control; (ix) make any Restricted Junior Payment; (x) change their fiscal year or method of accounting; (xi) make advances, loans or investments; (xii) enter into or permit any transaction with an affiliate of any borrower or any of their subsidiaries; (xiii) use proceeds for certain items; (xiv) issue or sell any of their stock; or (xv) consign or sell any of their inventory on certain terms. In addition, if excess availability under the Credit Facility were to fall below certain specified levels, as defined in the agreement, the lenders would have the right to assume dominion and control over the Company's cash. As of November 30, 2018 , the Company was in compliance with all debt covenants, including cash dominion. The obligations under the loan documents are secured by a general lien on and security interest in substantially all of the assets of the borrowers and certain of the guarantors, including accounts receivable, equipment, real estate, general intangibles and inventory. The Company has guaranteed the obligations of the borrowers under the Credit Agreement. Charges incurred on the unused portion of the Credit Facility during the three and nine months ended November 30, 2018 totaled $124 and $396 , respectively, compared to $123 and $241 during the three and nine months ended November 30, 2017 , respectively. These charges are included within interest and bank charges on the Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) . The Company has deferred financing costs related to the Credit Facility and a previous amendment and modification of the Credit Facility. These deferred financing costs are included in long-term debt on the accompanying Consolidated Balance Sheets as a contra-liability balance and are amortized through interest and bank charges in the Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) over the five-year term of the Credit Facility. During both the three and nine months ended November 30, 2018 and 2017 , the Company amortized $198 and $593 of these costs, respectively. The net unamortized balance of these deferred financing costs as of November 30, 2018 is $1,817 . (b) Florida Mortgage On July 6, 2015, VOXX HQ LLC, the Company’s wholly owned subsidiary, closed on a $9,995 industrial development revenue tax exempt bond under a loan agreement in favor of the Orange County Industrial Development Authority (the “Authority”) to finance the construction of the Company's manufacturing facility and executive offices in Lake Nona, Florida. Wells Fargo Bank, N.A. ("Wells Fargo") was the purchaser of the bond and U.S. Bank National Association is the trustee under an Indenture of Trust with the Authority. Voxx borrowed the proceeds of the bond purchase from the Authority during construction as a revolving loan, which converted to a permanent mortgage upon completion of the facility in January 2016 (the "Florida Mortgage"). The Company makes principal and interest payments to Wells Fargo, which began March 1, 2016 and will continue through March of 2026. The Florida Mortgage bears interest at 70% of 1-month LIBOR plus 1.54% ( 3.18% at November 30, 2018 ) and is secured by a first mortgage on the property, a collateral assignment of leases and rents and a guaranty by the Company. The financial covenants of the Florida Mortgage are as defined in the Company’s Credit Facility with Wells Fargo dated April 26, 2016. The Company incurred debt financing costs totaling approximately $332 as a result of obtaining the Florida Mortgage, which are recorded as deferred financing costs and included in Long-term Debt as a contra-liability balance on the accompanying Consolidated Balance Sheets and are being amortized through interest and bank charges in the Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) over the ten-year term of the Florida Mortgage. The Company amortized $8 and $23 of these costs during both the three and nine months ended November 30, 2018 and 2017 , respectively. The net unamortized balance of these deferred financing costs as of November 30, 2018 is $225 . On July 20, 2015, the Company entered into an interest rate swap agreement in order to hedge interest rate exposure related to the Florida Mortgage and pays a fixed rate of 3.48% under the swap agreement (See Note 4). (c) Euro Asset-Based Lending Obligation Foreign bank obligations include a Euro accounts receivable factoring arrangement, which has a credit limit of up to 60% of eligible non-factored accounts receivable (see Note 9), and a Euro Asset-Based Lending ("ABL") credit facility, which has a credit limit of €8,000 and expires on July 31, 2020 for the Company's subsidiary, VOXX Germany. The rate of interest for the factoring arrangement is the three-month Euribor plus 1.6% ( 1.24% at November 30, 2018 ) and the rate of interest for the ABL is the three-month Euribor plus 2.3% ( 1.94% at November 30, 2018 ). As of November 30, 2018 , the amounts outstanding under these credit facilities, which are payable on demand, do not exceed their respective credit limits. (d) Schwaiger Mortgage In January 2012, the Company's Schwaiger subsidiary purchased a building, entering into a mortgage note payable. The mortgage note bears interest at 3.75% and will be fully paid by December 2019. (e) Voxx Germany Mortgage This balance represents a mortgage on the land and building housing Voxx Germany's headquarters in Pulheim, Germany, which was entered into in January 2013. The mortgage bears interest at 2.85% , payable in twenty-six quarterly installments through September 2019. |
Other Income (Expense) Level 1
Other Income (Expense) Level 1 (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Other Income and Expenses [Abstract] | |
Other Income and Other Expense Disclosure [Text Block] | Other Income (Expense) Other income (expense) is comprised of the following: Three Months Ended Nine Months Ended 2018 2017 2018 2017 Foreign currency (loss) gain $ (41 ) $ (77 ) $ 164 $ (8,296 ) Interest income 312 51 788 82 Rental income 133 140 386 415 Miscellaneous (144 ) 363 (165 ) 27 Total other, net $ 260 $ 477 $ 1,173 $ (7,772 ) Included within the foreign currency loss for the nine months ended November 30, 2017 is a loss on forward contracts totaling $(6,618) incurred in conjunction with the sale of Hirschmann (see Note 2). |
Foreign Currency Level 1 (Notes
Foreign Currency Level 1 (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Foreign Currency [Abstract] | |
Foreign Currency Disclosure [Text Block] | Foreign Currency The Company has a subsidiary in Venezuela. Venezuela is currently experiencing significant political and civil unrest and economic instability and has implemented various foreign currency and price controls. The country has also experienced high rates of inflation over the last several years. The President of Venezuela has the authority to legislate certain areas by decree, which allows the government to nationalize certain industries or expropriate certain companies and property. These factors have had a negative impact on our business and our financial condition. On March 1, 2010, the Company transitioned to hyper-inflationary accounting for Venezuela in accordance with the guidelines in ASC 830, "Foreign Currency." A hyper-inflationary economy designation occurs when a country has experienced cumulative inflation of approximately 100 percent or more over a 3-year period. The hyper-inflationary designation requires the local subsidiary in Venezuela to record all transactions as if they were denominated in U.S. dollars. Since January 2014, the Venezuelan government has created multiple alternative exchange rates designated to be used for the purchase of goods and services deemed non-essential. In January 2018, the Venezuelan government eliminated the official government DIPRO exchange rate, stating that all currency transactions would be carried out at the DICOM rate, which was the floating exchange rate previously used only for non-essential imports and was allowed to float to meet market needs. On August 20, 2018, the government further devalued the Bolivar Fuerte in an attempt to address continuing hyperinflation, also renaming it the Sovereign Bolivar. As of November 30, 2018 , the DICOM rate for the Sovereign Bolivar was approximately 86 bolivars to the U.S. dollar. Total net currency exchange (losses) of $(1) and $(6) were recorded for the three and nine months ended November 30, 2018 , respectively, for Venezuela, as compared to $(1) and $(106) for the three and nine months ended November 30, 2017 , respectively, and are included in other income (expense) on the Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) . The Company has certain long-lived assets in Venezuela, which are held for investment purposes. During the second quarter of Fiscal 2019, the Company made an assessment of the recoverability of these properties as a result of the country's continued economic deterioration, which included the significant currency devaluation in August of 2018. The Company estimated the future undiscounted cash flows expected to be received from these properties. The estimate of the future undiscounted cash flows considered the Company’s financial condition and its intent and ability to retain its investments for a period of time sufficient to allow for the recovery of the carrying value. The future undiscounted cash flows did not exceed the net carrying value for the long-lived assets. The estimated fair value of the properties, which also considered the current conditions of the economy in Venezuela, the volatility of the real estate market, and the significant political unrest, resulted in a full non-cash impairment charge of $3,473 for the nine months ended November 30, 2018 . The non-cash impairment charge is included in Other Income (Expense) on the Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) . |
Lease Obligations Level 1 (Note
Lease Obligations Level 1 (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Lease Obligations [Abstract] | |
Leases of Lessee Disclosure [Text Block] | Lease Obligations At November 30, 2018 , the Company was obligated under non-cancelable operating leases for equipment, as well as warehouse and office facilities for minimum annual rental payments for continuing operations, for each of the succeeding years, as follows: Operating Leases 2019 $ 1,097 2020 545 2021 398 2022 293 2023 192 Thereafter 188 Total minimum lease payments $ 2,713 The Company has capital leases with a total lease liability of $1,064 at November 30, 2018 . These leases have maturities through Fiscal 2021. |
Capital Structure
Capital Structure | 9 Months Ended |
Nov. 30, 2018 | |
Capital Structure [Abstract] | |
Stockholders' Equity Note Disclosure [Text Block] | Capital Structure The Company's capital structure is as follows: Shares Authorized Shares Outstanding Security Par Value November 30, February 28, November 30, February 28, Voting Rights per Share Liquidation Rights Preferred Stock $ 50.00 50,000 50,000 — — — $50 per share Series Preferred Stock $ 0.01 1,500,000 1,500,000 — — — — Class A Common Stock $ 0.01 60,000,000 60,000,000 21,938,100 21,938,100 1 Ratably with Class B Class B Common Stock $ 0.01 10,000,000 10,000,000 2,260,954 2,260,954 10 Ratably with Class A Treasury Stock at cost at cost 2,168,094 2,168,094 N/A N/A N/A |
Variable Interest Entities (Not
Variable Interest Entities (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Variable Interest Entities [Abstract] | |
Variable Interest Entity Disclosure [Text Block] | Variable Interest Entities A variable interest entity ("VIE") is an entity that either (i) has insufficient equity to permit the entity to finance its activities without additional subordinated financial support, or (ii) has equity investors who lack the characteristics of a controlling financial interest. Under ASC 810, an entity that holds a variable interest in a VIE and meets certain requirements would be considered to be the primary beneficiary of the VIE and required to consolidate the VIE in its consolidated financial statements. In order to be considered the primary beneficiary of a VIE, an entity must hold a variable interest in the VIE and have both: • the power to direct the activities that most significantly impact the economic performance of the VIE; and • the right to receive benefits from, or the obligation to absorb losses of, the VIE that could be potentially significant to the VIE. On September 1, 2015, Voxx acquired a majority voting interest in substantially all of the assets and certain specified liabilities of EyeLock, Inc. and EyeLock Corporation, a market leader of iris-based identity authentication solutions, through a newly-formed entity, EyeLock LLC. In connection with the acquisition, the Company entered into a Loan Agreement with EyeLock LLC. The terms of the Loan Agreement allowed EyeLock LLC to borrow funds for working capital purposes. During Fiscal 2017 and Fiscal 2018, the Company issued convertible promissory notes to EyeLock LLC, allowing the entity to borrow additional funds. On September 24, 2018, all outstanding promissory notes were amended and restated with Voxx issuing a consolidated convertible promissory note to EyeLock LLC to borrow up to $43,000 . The promissory note bears interest at 10% and can be used to repay protective advances and to fund working capital requirements of the company. The amended and restated promissory note is due on February 28, 2019. The outstanding principal balance of this promissory note is convertible at the sole option of Voxx into units of EyeLock LLC. If Voxx chooses not to convert into equity, the outstanding loan principal of the amended and restated promissory note will be repaid at a multiple of 1.50 based on the repayment date. The agreement includes customary events of default and is collateralized by all of the property of EyeLock LLC. We determined that we hold a variable interest in EyeLock LLC as a result of: • our majority voting interest and ownership of substantially all of the assets and certain liabilities of the entity; and • the loan agreement with EyeLock LLC, which has a total outstanding balance of $42,093 as of November 30, 2018 . We concluded that we became the primary beneficiary of EyeLock LLC on September 1, 2015 in conjunction with the acquisition. This was the first date on which we had the power to direct the activities that most significantly impact the economic performance of the entity because we acquired a majority interest in substantially all of the assets and certain liabilities of EyeLock, Inc. and EyeLock Corporation on this date, as well as obtained a majority voting interest as a result of this transaction. Although we are considered to have control over EyeLock LLC under ASC 810, due to our majority ownership interest, the assets of EyeLock LLC can only be used to satisfy the obligations of EyeLock LLC. As a result of our majority ownership interest in the entity and our primary beneficiary conclusion, we consolidated EyeLock LLC within our consolidated financial statements beginning on September 1, 2015. Assets and Liabilities of EyeLock LLC The following table sets forth the carrying values of assets and liabilities of EyeLock LLC that were included on our Consolidated Balance Sheets as of November 30, 2018 and February 28, 2018 : November 30, 2018 February 28, 2018 Assets ( unaudited ) Current assets: Cash and cash equivalents $ — $ — Accounts receivable, net 222 128 Inventory, net 37 (119 ) Receivables from vendors 10 — Prepaid expenses and other current assets 166 117 Total current assets 435 126 Property, plant and equipment, net 136 186 Intangible assets, net 33,829 36,126 Other assets 302 119 Total assets $ 34,702 $ 36,557 Liabilities and Partners' Deficit Current liabilities: Accounts payable $ 8,408 $ 4,711 Accrued expenses and other current liabilities 1,335 2,557 Current portion of debt 42,093 — Total current liabilities 51,836 7,268 Long-term debt — 33,722 Other long-term liabilities 1,200 1,200 Total liabilities 53,036 42,190 Commitments and contingencies Partners' deficit: Capital 41,416 41,416 Retained losses (59,750 ) (47,049 ) Total partners' deficit (18,334 ) (5,633 ) Total liabilities and partners' deficit $ 34,702 $ 36,557 Revenue and Expenses of EyeLock LLC The following table sets forth the revenues and expenses of EyeLock LLC that were included in our Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) for the three and nine months ended November 30, 2018 and 2017 , respectively: Three Months Ended Nine Months Ended 2018 2017 2018 2017 Net sales $ 331 $ 63 $ 547 $ 277 Cost of sales 23 33 59 90 Gross profit 308 30 488 187 Operating expenses: Selling 301 281 925 1,636 General and administrative 1,202 1,437 3,745 5,114 Engineering and technical support 1,982 1,492 5,600 5,310 Total operating expenses 3,485 3,210 10,270 12,060 Operating loss (3,177 ) (3,180 ) (9,782 ) (11,873 ) Interest and bank charges (1,032 ) (753 ) (2,919 ) (2,056 ) Loss before income taxes (4,209 ) (3,933 ) (12,701 ) (13,929 ) Income tax expense — — — — Net loss $ (4,209 ) $ (3,933 ) $ (12,701 ) $ (13,929 ) |
Segment Reporting (Notes)
Segment Reporting (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Segment Reporting [Abstract] | |
Segment Reporting Disclosure [Text Block] | Segment Reporting The Company operates in three distinct segments based upon our products and our internal organizational structure. The three operating segments, which are also the Company's reportable segments, are Automotive, Premium Audio and Consumer Accessories. Our Automotive segment designs, manufactures, distributes and markets rear-seat entertainment devices, satellite radio products, automotive security, remote start systems, mobile multimedia devices, aftermarket/OE-styled radios, car link-smartphone telematics applications, collision avoidance systems and location-based services. Our Premium Audio segment designs, manufactures, distributes and markets home theater systems, high-end loudspeakers, outdoor speakers, iPad/iPod and computer speakers, business music systems, cinema speakers, flat panel speakers, Bluetooth speakers, soundbars, headphones and DLNA (Digital Living Network Alliance) compatible devices. Our Consumer Accessories segment designs, markets and distributes remote controls; wireless and Bluetooth speakers; karaoke products; action cameras; iris identification and biometric security related products; personal sound amplifiers; infant/nursery products; activity tracking bands; smart-home security and safety products; and A/V connectivity, portable/home charging, reception, and digital consumer products. The accounting principles applied at the consolidated financial statement level are generally the same as those applied at the operating segment level and there are no material intersegment sales. The segments are allocated interest expense, based upon a pre-determined formula, which utilizes a percentage of each operating segment's intercompany balance, which is offset in Corporate/Eliminations. Segment data from continuing operations for each of the Company's segments are presented below: Automotive Premium Audio Consumer Accessories Corporate/ Eliminations Total Three Months Ended November 30, 2018 Net sales $ 45,053 $ 49,666 $ 34,661 $ 257 $ 129,637 Equity in income of equity investees 1,695 — — — 1,695 Interest expense and bank charges 267 1,894 1,958 (2,945 ) 1,174 Depreciation and amortization expense 186 826 1,100 775 2,887 Income (loss) before income taxes 5,596 6,458 (5,062 ) (501 ) 6,491 Three Months Ended November 30, 2017 Net sales $ 40,634 $ 57,386 $ 58,461 $ 82 $ 156,563 Equity in income of equity investees 2,004 — — — 2,004 Interest expense and bank charges 336 2,120 1,857 (3,098 ) 1,215 Depreciation and amortization expense 216 862 1,159 756 2,993 Income (loss) before income taxes 3,486 6,262 (2,013 ) (826 ) 6,909 Nine Months Ended November 30, 2018 Net sales $ 124,705 $ 121,707 $ 92,264 $ 683 $ 339,359 Equity in income of equity investees 5,146 — — — 5,146 Interest expense and bank charges 752 5,504 5,633 (8,498 ) 3,391 Depreciation and amortization expense 649 2,498 3,325 2,339 8,811 Income (loss) before income taxes (a) 11,121 9,586 (28,779 ) (3,266 ) (11,338 ) Nine Months Ended November 30, 2017 Net sales $ 110,342 $ 135,055 $ 138,976 $ 483 $ 384,856 Equity in income of equity investees 5,734 — — — 5,734 Interest expense and bank charges 624 6,056 5,303 (7,133 ) 4,850 Depreciation and amortization expense 768 2,655 3,496 2,229 9,148 Income (loss) before income taxes 8,910 1,547 (17,412 ) (12,631 ) (19,586 ) (a) Included in income (loss) before income taxes for the nine months ended November 30, 2018 are intangible asset impairment charges totaling $9,814 ( $9,654 within the Consumer Accessories segment and $160 within the Automotive segment) (see Note 11), as well as the impairment charge of $(3,473) related to investment properties in Venezuela within the Automotive segment (see Note 18). |
Contingencies and Derivative Se
Contingencies and Derivative Settlement Level 1 (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Contingencies and Derivative Settlement [Abstract] | |
Legal Matters and Contingencies [Text Block] | Contingencies The Company is currently, and has in the past, been a party to various routine legal proceedings incident to the ordinary course of business. If management determines, based on the underlying facts and circumstances, that it is probable a loss will result from a litigation contingency and the amount of the loss can be reasonably estimated, the estimated loss is accrued for. The Company does not believe that any of its current outstanding litigation matters will have a material adverse effect on the Company's financial statements, individually, or in the aggregate. The Company has been a plaintiff in a counterfeit lawsuit with ePro ("the Defendant") in the United States District Court for the Southern District of New York. On September 30, 2016, the judge in the lawsuit awarded the Company $2,681 . During the Company's first quarter of Fiscal 2019, payment of the award was received and recorded by Voxx. On December 6, 2018, Voxx and ePro entered into a permanent injunction and final judgment on consent in which Voxx was paid $990 from ePro's restrained account and ePro agreed to be permanently enjoined from using Klipsch's specified trademarks or any counterfeit or imitation of Klipsch's specified trademarks in connection with the distribution, marketing and sale of non-genuine Klipsch products. The Company recorded $990 and $3,066 of this settlement as a reduction of general and administrative expense on the Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) for the three and nine months ended November 30, 2018 , respectively, and $605 as an offset against prepaid legal fees recorded in prior periods. The products the Company sells are continually changing as a result of improved technology. As a result, although the Company and its suppliers attempt to avoid infringing known proprietary rights, the Company may be subject to legal proceedings and claims for alleged infringement by patent, trademark or other intellectual property owners. Any claims relating to the infringement of third-party proprietary rights, even if not meritorious, could result in costly litigation, divert management’s attention and resources, or require the Company to either enter into royalty or license agreements that are not advantageous to the Company, or pay material amounts of damages. |
New Accounting Pronouncements L
New Accounting Pronouncements Level 1 (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
New Accounting Pronouncements [Abstract] | |
Description of New Accounting Pronouncements Not yet Adopted [Text Block] | New Accounting Pronouncements In February 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2016-02, "Leases (Topic 842)." ASU 2016-02 requires that a lessee recognize the assets and liabilities that arise from operating leases. A lessee should recognize in the statement of financial position a liability to make lease payments (the lease liability) and a right-of-use asset representing its right to use the underlying asset for the lease term. For leases with a term of 12 months or less, a lessee is permitted to make an accounting policy election by class of underlying asset not to recognize lease assets and lease liabilities. In transition, lessees and lessors are required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. This amendment will be effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The FASB issued ASU No. 2018-10 “Codification Improvements to Topic 842, Leases” and ASU No. 2018-11 “Leases (Topic 842) Targeted Improvements" in July 2018, and ASU No. 2018-20 "Leases (Topic 842) - Narrow Scope Improvements for Lessors" in December 2018. ASU 2018-10 and ASU 2018-20 provide certain amendments that affect narrow aspects of the guidance issued in ASU 2016-02. ASU 2018-11 allows all entities adopting ASU 2016-02 to choose an additional (and optional) transition method of adoption, under which an entity initially applies the new leases standard at the adoption date and recognizes a cumulative-effect adjustment to the opening balance of retained earnings in the period of adoption. The Company will adopt this guidance beginning with its first quarter ended May 31, 2019. The Company has established a task force, comprised of multiple functional groups inside the Company, and continues to evaluate critical components of ASC Topic 842 and the potential impact of the guidance on the Company's financial position, results of operations and cash flows. Based on the preliminary work completed, the Company is considering the potential implications of the new standard in determining the discount rate to be used in valuing new and existing leases, procedural and operational changes that may be necessary to comply with the provisions of the guidance, and all applicable financial statement disclosures required by the guidance, all of which are areas that may be impacted by adoption of the ASC. The Company is also in the process of determining which practical expedients will be applied by the Company for implementation of the ASC. At this time, the Company has not completed its full evaluation; however, it believes the adoption of ASC Topic 842, at a minimum, will increase the total assets and total liabilities reported on the Company's Consolidated Balance Sheet. In June 2016, the FASB issued ASU 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” and subsequent amendment to the guidance, ASU 2018-19 in November 2018. The standard significantly changes how entities will measure credit losses for most financial assets and certain other instruments that aren’t measured at fair value through net income. The standard will replace today’s “incurred loss” approach with an “expected loss” model for instruments measured at amortized cost. For available-for-sale debt securities, entities will be required to record allowances rather than reduce the carrying amount, as they do today under the other-than-temporary impairment model. It also simplifies the accounting model for purchased credit-impaired debt securities and loans. The amendment will affect loans, debt securities, trade receivables, net investments in leases, off balance sheet credit exposures, reinsurance receivables, and any other financial assets not excluded from the scope that have the contractual right to receive cash. ASU 2018-19 clarifies that receivables arising from operating leases are accounted for using lease guidance and not as financial instruments. The amendments should be applied on either a prospective transition or modified-retrospective approach depending on the subtopic. This ASU is effective for annual periods beginning after December 15, 2019, and interim periods therein. Early adoption is permitted for annual periods beginning after December 15, 2018, and interim periods therein. The Company is currently evaluating the impact of the adoption of this standard on its consolidated financial statements. In January 2017, the FASB issued ASU No. 2017-04, "Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment." Under the new guidance, if a reporting unit's carrying value amount exceeds its fair value, an entity will record an impairment charge based on that difference. The impairment charge will be limited to the amount of goodwill allocated to that reporting unit. The standard eliminates today's requirement to calculate goodwill impairment using Step 2, which calculates an impairment charge by comparing the implied fair value of goodwill with its carrying amount. The standard does not change the guidance on completing Step 1 of the goodwill impairment test. The amendments in this ASU are effective for annual or any interim goodwill impairments tests in fiscal years beginning after December 15, 2019 and should be applied prospectively. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Company is currently evaluating the impact of the new standard on its consolidated financial statements. In August 2017, the FASB issued ASU No. 2017-12, "Derivatives and Hedging: Targeted Improvements to Accounting for Hedging Activities," which improves the financial reporting of hedging relationships to better align risk management activities in financial statements and make certain targeted improvements to simplify the application of the hedge accounting guidance in current GAAP. The standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption is permitted for any interim and annual financial statements that have not yet been issued. The Company is currently in the process of evaluating the impact of this new pronouncement on its consolidated financial statements. In February 2018, the FASB issued ASU No. 2018-02, "Income Statement - Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income." ASU 2018-02 was issued to address the income tax accounting treatment of the stranded tax effects within other comprehensive income due to the prohibition of backward tracing due to an income tax rate change that was initially recorded in other comprehensive income due to the enactment of the Tax Cuts and Jobs Act ("TCJA") on December 22, 2017, which changed the Company's income tax rate from 35% to 21%. The amendments to the ASU changed US GAAP whereby an entity may elect to reclassify the stranded tax effect from accumulated other comprehensive income to retained earnings. The amendments of the ASU may be adopted in total or in part using a full retrospective or modified retrospective method. The amendments of the ASU are effective for periods beginning after December 15, 2018. Early adoption is permitted. The Company is assessing the effect of ASU 2018-02 on its consolidated financial statements. The effects of changes in tax laws are required to be recognized in the period in which the legislation is enacted. However, due to the complexity and significance of the TCJA’s provisions, the FASB issued ASU 2018-06, " Income Taxes (Topic 740)," pursuant to the SEC staff issued Staff Accounting Bulletin No. 118 (SAB 118), which allows companies to record the tax effects of the TCJA on a provisional basis based on a reasonable estimate, and then, if necessary, subsequently adjust such amounts during a limited measurement period as more information becomes available. The measurement period ends when a company has obtained, prepared, and analyzed the information necessary to finalize its accounting, but cannot extend beyond one year from enactment. The Company’s accounting for certain elements of the TCJA was incomplete as of the fiscal year ended February 28, 2018, some of which remains incomplete at November 30, 2018 (see Note 13). In August 2018, the FASB issued ASU No. 2018-13, "Fair Value Measurement ('Topic 820'): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement." The ASU modifies the disclosure requirements in Topic 820, Fair Value Measurement, by removing certain disclosure requirements related to the fair value hierarchy, modifying existing disclosure requirements related to measurement uncertainty and adding new disclosure requirements, such as disclosing the changes in unrealized gains and losses for the period included in other comprehensive income for recurring Level 3 fair value measurements held at the end of the reporting period and disclosing the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements. This ASU is effective for public companies for annual reporting periods and interim periods within those annual periods beginning after December 15, 2019. The Company is currently evaluating the effect, if any, that ASU 2018-13 will have on its consolidated financial statements. In August 2018, the FASB issued ASU No. 2018-14, "Compensation - Retirement Benefits - Defined Benefit Plans - General (Subtopic 715-20): Disclosure Framework - Changes to the Disclosure Requirements for Defined Benefit Plans." ASU 2018-14 removes certain disclosures that are not considered cost beneficial, clarifies certain required disclosures and added additional disclosures. This ASU is effective for public companies for annual reporting periods and interim periods within those annual periods beginning after December 15, 2020. The amendments in ASU 2018-14 must be applied on a retrospective basis. The Company is currently assessing the effect, if any, that ASU 2018-14 will have on its consolidated financial statements. In October 2018, the FASB issued ASU No. 2018-17: Consolidation (Topic 810): Targeted Improvements to Related Party Guidance for Variable Interest Entities. This ASU requires entities to consider indirect interests held through related parties under common control on a proportional basis, rather than as the equivalent of a direct interest in its entirety when determining whether a decision-making fee is a variable interest. The ASU is effective for fiscal years beginning after December 15, 2019 and for interim periods therein, with early adoption permitted. The Company is currently evaluating the effect, if any, that ASU 2018-18 will have on its consolidated financial statements. In November 2018, the FASB issued ASU No. 2018-18, "Collaborative Arrangements (Topic 808): Clarifying the Interaction between Topic 808 and Topic 606." The ASU clarifies that certain transactions between collaborative arrangement participants should be accounted for as revenue when the collaborative arrangement participant is a customer in the context of a unit of account and precludes recognizing as revenue consideration received from a collaborative arrangement participant if the participant is not a customer. This ASU is effective for public companies for annual reporting periods and interim periods within those annual periods beginning after December 15, 2019. The Company is currently evaluating the effect, if any, that ASU 2018-18 will have on its consolidated financial statements. |
Product Warranties (Notes)
Product Warranties (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Payables and Accruals - Warranties [Abstract] | |
Product Warranty Disclosure [Text Block] | (15) Product Warranties and Product Repair Costs The following table provides a summary of the activity with respect to product warranties and product repair costs. Liabilities for product warranties and product repair costs are included within accrued expenses and other current liabilities on the Consolidated Balance Sheets. Three Months Ended Nine Months Ended 2018 2017 2018 2017 Opening balance $ 4,855 $ 5,966 $ 6,233 $ 5,608 Liabilities acquired during acquisition — — — 500 Liabilities for warranties accrued during the period 1,729 1,512 4,595 5,621 Balances transferred (a) — — (832 ) — Warranties paid during the period (1,699 ) (1,783 ) (5,111 ) (6,034 ) Ending balance $ 4,885 $ 5,695 $ 4,885 $ 5,695 (a) In conjunction with the implementation of ASC Topic 606, Revenue from Contracts with Customers (see Note 23), the Company recorded a refund liability, representing the amount of consideration received for products sold that the Company expects to refund to customers, as well as a corresponding return asset that reflects the Company's right to receive goods back from customers. The return asset is calculated as the carrying amount of goods at the time of sale, less any expected costs to recover the goods and any expected reduction in value and is included in prepaid expenses and other current assets on the Unaudited Consolidated Balance Sheet at November 30, 2018 . The balance above represents amounts that would reduce the value of inventory returned to the Company and has been reclassified to the return asset in order to properly reflect the value of the inventory the Company expects to receive back from customers. |
Revenue from Contracts with Cus
Revenue from Contracts with Customers (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Disaggregation of Revenue [Line Items] | |
Revenue from Contract with Customer [Text Block] | (23) Revenue from Contract with Customers On March 1, 2018, the Company adopted ASC Topic 606, Revenue from Contracts with Customers, and all the related amendments (“ASC Topic 606”), using the modified retrospective method. In addition, we elected to apply certain of the permitted practical expedients within the revenue recognition guidance and make certain accounting policy elections, including those related to significant financing components, sales taxes and shipping and handling activities. Most of the changes resulting from the adoption of ASC Topic 606 on March 1, 2018 were changes in presentation within the Unaudited Consolidated Balance Sheet. Therefore, while we made adjustments to certain opening balances on our March 1, 2018 Unaudited Consolidated Balance Sheet, we made no adjustment to opening Retained Earnings. We expect the impact of the adoption of ASC Topic 606 to be immaterial to our net income on an ongoing basis; however, adoption did increase the level of disclosures concerning our net sales. Results for reporting periods beginning March 1, 2018 are presented under the new guidance, while prior period amounts continue to be reported in accordance with previous guidance without revision. Revenue from Contracts with Customers The core principle of ASC Topic 606 is that an entity recognizes revenue to depict the transfer of promised goods and services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods and services. We apply the FASB’s guidance on revenue recognition, which requires us to recognize the amount of revenue and consideration that we expect to receive in exchange for goods and services transferred to our customers. To do this, the Company applies the five-step model prescribed by the FASB, which requires us to: (i) identify the contract with the customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when, or as, we satisfy a performance obligation. We account for a contract or purchase order when it has approval and commitment from both parties, the rights of the parties are identified, payment terms are identified, the contract has commercial substance and collectability of consideration is probable. Revenue is recognized when control of the product passes to the customer, which is upon shipment, unless otherwise specified within the customer contract or on the purchase order as delivery, and is recognized at the amount that reflects the consideration the Company expects to receive for the products sold, including various forms of discounts. When revenue is recorded, estimates of returns are made and recorded as a reduction of revenue. Contracts with customers are evaluated to determine if there are separate performance obligations related to timing of product shipment that will be satisfied in different accounting periods. When that is the case, revenue is deferred until each performance obligation is met. No performance obligation related amounts were deferred as of November 30, 2018 . Within our Automotive segment, while the majority of the contracts we enter into with Original Equipment Manufacturers (“OEM”) are long-term supply arrangements, the performance obligations are established by the enforceable contract, which is generally considered to be the purchase order. The purchase orders are of durations less than one year. As such, the Company applies the practical expedient in ASC paragraph 606-10-50-14 and does not disclose information about remaining performance obligations that have original expected durations of one year or less, for which work has not yet been performed. Certain taxes assessed by governmental authorities on revenue producing transactions, such as value added taxes, are excluded from revenue and recorded on a net basis. Performance Obligations The Company’s primary source of revenue is derived from the manufacture and distribution of premium audio, consumer accessories, and automotive products. Our consumer accessories products primarily consist of finished goods sold to retail customers, while our premium audio products primarily consist of finished goods sold to both retail and commercial customers. Our automotive products are sold both to OEM and aftermarket customers. The majority of the products sold to our automotive customers are manufactured by the Company. We recognize revenue for sales to our customers when transfer of control of the related good or service has occurred. All of our revenue was recognized under the point in time approach for the three and nine months ended November 30, 2018 . Contract terms with certain of our OEM customers could result in products and services being transferred over time as a result of the customized nature of some of our products, together with contractual provisions in the customer contracts that provide us with an enforceable right to payment for performance completed to date; however, under typical terms, we do not have the right to consideration until the time of shipment from our manufacturing facilities or distribution centers, or until the time of delivery to our customers. If certain contracts in the future provide the Company with this enforceable right of payment, the timing of revenue recognition from products transferred to customers over time may be slightly accelerated compared to our right to consideration at the time of shipment or delivery. Our typical payment terms vary based on the customer and the type of goods and services in the contract or purchase order. The period of time between invoicing and when payment is due is not significant. Amounts billed and due from our customers are classified as receivables on the Unaudited Consolidated Balance Sheet. As our standard payment terms are less than one year, we have elected the practical expedient under ASC paragraph 606-10-32-18 to not assess whether a contract has a significant financing component. Our customers take delivery of goods, and they are recognized as revenue at the time of transfer of control to the customer, which is usually at the time of shipment, unless otherwise specified in the customer contract or purchase order. This determination is based on applicable shipping terms, as well as the consideration of other indicators, including timing of when the Company has a present right to payment, when physical possession of products is transferred to customers, when the customer has the significant risks and rewards of ownership of the asset, and any provisions in contracts regarding customer acceptance. While unit prices are generally fixed, we provide variable consideration for certain of our customers, typically in the form of promotional incentives at the time of sale. We utilize the most likely amount consistently to estimate the effect of uncertainty on the amount of variable consideration to which we would be entitled. The most likely amount method considers the single most likely amount from a range of possible consideration amounts. The most likely amounts are based upon the contractual terms of the incentives and historical experience with each customer. We record estimates for cash discounts, promotional rebates, and other promotional allowances in the period the related revenue is recognized (“Customer Credits”). The provision for Customer Credits is recorded as a reduction from gross sales and reserves for Customer Credits are presented within accrued sales incentives on the Unaudited Consolidated Balance Sheet. Actual Customer Credits have not differed materially from estimated amounts for each period presented. Amounts billed to customers for shipping and handling are included in net sales and costs associated with shipping and handling are included in cost of sales. We have concluded that our estimates of variable consideration are not constrained according to the definition within the standard. Additionally, the Company applies the practical expedient in ASC paragraph 606-10-25-18B and accounts for shipping and handling activities that occur after the customer has obtained control of a good as a fulfillment activity, rather than a separate performance obligation. With the adoption of ASC Topic 606, we reclassified certain amounts related to variable consideration. Under ASC Topic 606, we are required to present a refund liability and a return asset within the Unaudited Consolidated Balance Sheet, whereas in periods prior to adoption, we presented the estimated margin impact of expected returns as a contra-asset within accounts receivable. The changes in the refund liability are reported in net sales, and the changes in the return asset are reported in cost of sales in the Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) . As a result, the balance sheet presentation was adjusted beginning in Fiscal 2019. As of November 30, 2018 , the balance of the return asset is $1,682 and the balance of the refund liability is $3,696 , and they are presented within prepaid expenses and other current assets and accrued expenses and other current liabilities, respectively, on the Unaudited Consolidated Balance Sheet. We warrant our products against certain defects in material and workmanship when used as designed, which primarily range from 30 days to 3 years. We offer limited lifetime warranties on certain products, which limit the customer’s remedy to the repair or replacement of the defective product or part for the designated lifetime of the product, or for the life of the vehicle for the original owner, if it is an automotive product. We do not sell extended warranties. Contract Balances Contract assets primarily relate to the Company’s rights to consideration for work completed but not billed at the reporting date on contracts with customers. Contract assets are transferred to receivables when the rights become unconditional. Contract liabilities primarily relate to contracts where advance payments or deposits have been received, but performance obligations have not yet been met, and therefore, revenue has not been recognized. The Company has no contract assets or contract liability balances at November 30, 2018 . Disaggregation of Revenue The Company operates in three reportable segments: Automotive, Premium Audio and Consumer Accessories. ASC Topic 606 requires further disaggregation of an entity’s revenue. In the following table, the Company's net sales are disaggregated by segments and sales channel for the three and nine months ended November 30, 2018 and 2017 : |
Subsequent Events (Notes)
Subsequent Events (Notes) | 9 Months Ended |
Nov. 30, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Events [Text Block] | (26) Subsequent Events On December 19, 2018, Johnson Safety Inc. (“JSI”) and Voxx International Corporation and certain subsidiaries (collectively, “Voxx”) entered into a Settlement and License Agreement (with an effective date of March 1, 2018) in which JSI sold, transferred and assigned to Voxx its patent portfolio relating to rear seat entertainment. In addition, Voxx granted JSI a royalty-free non-exclusive license, without the right to sublicense, in and to the JSI patent portfolio sold and transferred to Voxx. In consideration of the foregoing patent purchase, Voxx previously advanced $2,600 in connection with this matter. The Company will perform a valuation on these intangible assets during the fourth quarter of Fiscal 2019. |
Acquisitions (Tables)
Acquisitions (Tables) | 9 Months Ended |
Nov. 30, 2018 | |
Business Combinations [Abstract] | |
Disposal Groups, Including Discontinued Operations [Table Text Block] | The following table presents a reconciliation of the major financial lines constituting the results of operations for discontinued operations to the net income from discontinued operations, net of tax, presented separately in the Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) : Three Months Ended Nine Months Ended 2017 2017 Net sales $ — $ 91,824 Cost of sales — 63,610 Gross profit — 28,214 Operating expenses: Selling — 2,778 General and administrative 12 14,688 Engineering and technical support — 7,920 Total operating expenses 12 25,386 Operating (loss) income of discontinued operations (12 ) 2,828 Other (expense) income: Interest and bank charges (a) — (279 ) Other, net 7 145 Total other expense (income) of discontinued operations, net 7 (134 ) Gain on sale of discontinued operations before taxes — 36,118 Total (loss) income from discontinued operations before taxes (5 ) 38,812 Income tax expense on discontinued operations (b) 363 6,470 (Loss) income from discontinued operations, net of taxes $ (368 ) $ 32,342 (Loss) income per share - basic $ (0.02 ) $ 1.34 (Loss) income per share - diluted $ (0.02 ) $ 1.34 (a) Includes an allocation of consolidated interest expense and interest expense directly related to debt assumed by the buyer. The allocation of consolidated interest expense was based upon the ratio of net assets of the discontinued operations to that of the consolidated Company. (b) The income tax expense on discontinued operations for the three and nine months ended November 30, 2017 was positively impacted by an income tax benefit related to the partial reversal of the Company’s valuation allowance as the Company utilized a significant portion of its tax attributes to offset the U.S. tax gain related to the sale of Hirschmann. The following table presents supplemental cash flow information of the discontinued operation: Nine Months Ended 2017 Operating activities: Depreciation and amortization expense $ 2,939 Stock-based compensation expense 50 Investing activities: Capital expenditures $ 2,652 Non-cash investing and financing activities: Capital expenditures funded by long-term obligations $ 1,916 |
Net Income Per Common Share (Ta
Net Income Per Common Share (Tables) | 9 Months Ended |
Nov. 30, 2018 | |
Net Income Per Common Share [Abstract] | |
Schedule of Calculation of Numerator and Denominator in Earnings Per Share [Table Text Block] | There are no reconciling items which impact the numerator of basic and diluted net income (loss) common share. A reconciliation between the denominator of basic and diluted net income (loss) per common share is as follows: Three Months Ended Nine Months Ended 2018 2017 2018 2017 Weighted-average common shares outstanding (basic) 24,355,791 24,238,493 24,355,791 24,222,973 Effect of dilutive securities: Restricted stock 273,045 259,651 — — Weighted-average common shares and potential common shares outstanding (diluted) 24,628,836 24,498,144 24,355,791 24,222,973 |
Fair Value Measurements Fair Va
Fair Value Measurements Fair Value Measurements (Tables) | 9 Months Ended |
Nov. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | The following table presents financial assets measured at fair value on a recurring basis at November 30, 2018 : Fair Value Measurements at Reporting Date Using Total Level 1 Level 2 Cash and cash equivalents: Cash and money market funds $ 48,718 $ 48,718 $ — Derivatives: Designated for hedging $ 158 $ — $ 158 Investment securities: Mutual funds $ 2,718 $ 2,718 $ — Investment held at cost, less impairment (a) 525 — — Total investment securities $ 3,243 $ 2,718 $ — The following table presents financial assets and liabilities measured at fair value on a recurring basis at February 28, 2018 : Fair Value Measurements at Reporting Date Using Total Level 1 Level 2 Cash and cash equivalents: Cash and money market funds $ 51,740 $ 51,740 $ — Derivatives: Designated for hedging $ (262 ) $ — $ (262 ) Investment securities: Trading securities $ 3,620 $ 3,620 $ — Other investment at cost (a) 547 — — Total investment securities $ 4,167 $ 3,620 $ — (a) This balance represents an investment in a non-controlled corporation held at cost, less impairment (see Note 4). The fair value of this investment would be based upon Level 3 inputs and is not considered material to the Company's consolidated financial statements. |
Fair Value Measurements Fair _2
Fair Value Measurements Fair Values (Tables) | 9 Months Ended |
Nov. 30, 2018 | |
Fair Value Disclosures [Abstract] | |
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Activity related to cash flow hedges pertaining to continuing operations recorded during the three and nine months ended November 30, 2018 and 2017 was as follows: Three months ended Nine months ended November 30, 2018 November 30, 2018 Pretax Gain(Loss) Recognized in Other Comprehensive Income Pretax Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) Gain for Ineffectiveness in Other Income Pretax Gain (Loss) Recognized in Other Comprehensive Income Pretax (Loss) Gain Reclassified from Accumulated Other Comprehensive Income Gain (Loss) for Ineffectiveness in Other Income Cash flow hedges Foreign currency contracts $ 116 $ 80 $ 20 $ 538 $ (134 ) $ 45 Interest rate swaps 28 — — 66 — — Three months ended Nine months ended November 30, 2017 November 30, 2017 Pretax (Loss) Gain Recognized in Other Comprehensive Income Pretax Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) Gain for Ineffectiveness in Other Income Pretax (Loss) Gain Recognized in Other Comprehensive Income Pretax Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) Gain for Ineffectiveness in Other Income Cash flow hedges Foreign currency contracts $ (103 ) $ (218 ) $ 46 $ (1,369 ) $ 99 $ (49 ) Interest rate swaps 148 — — 79 — — |
Investment Securities (Tables)
Investment Securities (Tables) | 9 Months Ended |
Nov. 30, 2018 | |
Investment Securities [Abstract] | |
Unrealized Gain (Loss) on Investments [Table Text Block] | As of November 30, 2018 , and February 28, 2018 , the Company had the following investments: November 30, 2018 Carrying Value Investment Securities Marketable Equity Securities Mutual funds $ 2,718 Total Marketable Equity Securities 2,718 Investment Held at Cost, Less Impairment 525 Total Investment Securities $ 3,243 February 28, 2018 Cost Basis Unrealized Holding Gain/(Loss) Fair Value Investment Securities Marketable Equity Securities Trading Mutual funds $ 3,620 $ — $ 3,620 Total Marketable Securities 3,620 — 3,620 Other Long-Term Investment at Cost 547 — 547 Total Investment Securities $ 4,167 $ — $ 4,167 |
Other Comprehensive Income (Tab
Other Comprehensive Income (Tables) | 9 Months Ended |
Nov. 30, 2018 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The Company’s accumulated other comprehensive (loss) income consists of the following: Foreign Currency Translation (Losses) Gains Unrealized (losses) gains on investments, net of tax (a) Pension plan adjustments, net of tax Derivatives designated in a hedging relationship, net of tax Total Balance at February 28, 2018 $ (13,027 ) $ (24 ) $ (786 ) $ (385 ) $ (14,222 ) Other comprehensive (loss) income before reclassifications (3,333 ) — 57 450 (2,826 ) Reclassified from accumulated other comprehensive income (loss) — 24 — 92 116 Net current-period other comprehensive (loss) income (3,333 ) 24 57 542 (2,710 ) Balance at November 30, 2018 $ (16,360 ) $ — $ (729 ) $ 157 $ (16,932 ) |
Supplemental Cash Flow Inform_2
Supplemental Cash Flow Information (Tables) | 9 Months Ended |
Nov. 30, 2018 | |
Supplemental Cash Flow Information [Abstract] | |
Schedule of Cash Flow, Supplemental Disclosures [Table Text Block] | The following is supplemental information relating to the Unaudited Consolidated Statements of Cash Flows, including continuing and discontinued operations: Nine Months Ended 2018 2017 Non-cash investing and financing activities: Capital expenditures funded by long-term obligations $ — $ 1,993 Cash paid during the period: Interest (excluding bank charges) $ 1,322 $ 2,675 Income taxes (net of refunds) 2,290 2,359 |
Accounting for Stock Based Co_2
Accounting for Stock Based Compensation (Tables) | 9 Months Ended |
Nov. 30, 2018 | |
Accounting for Stock Based Compensation [Abstract] | |
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity [Table Text Block] | The following table presents a summary of the Company's restricted stock activity for the nine months ended November 30, 2018 : Number of Shares Weighted Average Grant Date Fair Value Balance at February 28, 2018 439,299 $ 7.08 Granted 188,245 5.50 Forfeited — — Balance at November 30, 2018 627,544 $ 6.60 Vested and unissued at November 30, 2018 156,737 $ 9.96 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets (Tables) | 9 Months Ended |
Nov. 30, 2018 | |
Goodwill and Intangible Assets [Abstract] | |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense [Table Text Block] | he estimated aggregate amortization expense for continuing operations for all amortizable intangibles for November 30 of each of the succeeding years is as follows: Year Amount 2019 $ 6,293 2020 6,130 2021 5,962 2022 5,756 2023 5,455 |
Schedule of Goodwill [Table Text Block] | The change in goodwill pertaining to continuing operations by segment is as follows: Automotive: Amount Beginning balance at March 1, 2018 $ 8,252 Activity during the period — Balance at November 30, 2018 $ 8,252 Gross carrying amount at November 30, 2018 $ 8,252 Accumulated impairment charge — Net carrying amount at November 30, 2018 $ 8,252 Premium Audio: Beginning balance at March 1, 2018 $ 46,533 Activity during the period — Balance at November 30, 2018 $ 46,533 Gross carrying amount at November 30, 2018 $ 78,696 Accumulated impairment charge (32,163 ) Net carrying amount at November 30, 2018 $ 46,533 Total Goodwill, net $ 54,785 |
Schedule of Intangible Assets and Goodwill [Table Text Block] | At November 30, 2018 , intangible assets consisted of the following: Gross Carrying Value Accumulated Amortization Total Net Book Value Finite-lived intangible assets: Customer relationships $ 49,721 $ 28,896 $ 20,825 Trademarks/Tradenames 485 405 80 Developed technology 31,290 8,843 22,447 Patents 2,789 2,219 570 License 1,400 1,400 — Contract 2,141 1,936 205 Total finite-lived intangible assets $ 87,826 $ 43,699 44,127 Indefinite-lived intangible assets Trademarks 90,914 Total net intangible assets $ 135,041 At February 28, 2018 , intangible assets consisted of the following: Gross Carrying Value Accumulated Amortization Total Net Book Value Finite-lived intangible assets: Customer relationships $ 50,249 $ 26,807 $ 23,442 Trademarks/Tradenames 415 400 15 Developed technology 31,290 6,802 24,488 Patents 2,830 2,138 692 License 1,400 1,400 — Contract 2,141 1,849 292 Total finite-lived intangible assets $ 88,325 $ 39,396 48,929 Indefinite-lived intangible assets Trademarks 101,391 Total net intangible assets $ 150,320 |
Equity Investments (Tables)
Equity Investments (Tables) | 9 Months Ended |
Nov. 30, 2018 | |
Note 10. Equity Investments [Abstract] | |
Equity Method Investment, Summarized Financial Information [Abstract] | The following presents summary financial information for ASA. Such summary financial information has been provided herein based upon the individual significance of ASA to the consolidated financial information of the Company. November 30, February 28, Current assets $ 46,733 $ 42,318 Non-current assets 6,072 7,095 Liabilities 8,590 5,699 Members' equity 44,214 43,714 Nine Months Ended 2018 2017 Net sales $ 76,753 $ 72,434 Gross profit 24,753 24,397 Operating income 10,148 11,359 Net income 10,292 11,467 |
Inventory (Tables)
Inventory (Tables) | 9 Months Ended |
Nov. 30, 2018 | |
Inventory [Abstract] | |
Schedule of Inventory, Current [Table Text Block] | Inventories by major category are as follows: November 30, February 28, Raw materials $ 26,835 $ 28,071 Work in process 3,004 2,485 Finished goods 88,977 87,436 Inventory, net $ 118,816 $ 117,992 |
Financing Arrangements (Tables)
Financing Arrangements (Tables) | 9 Months Ended |
Nov. 30, 2018 | |
Financing Arrangements [Abstract] | |
Schedule of Debt [Table Text Block] | The Company has the following financing arrangements: November 30, February 28, Debt Domestic credit facility (a) $ — $ — Florida mortgage (b) 8,236 8,613 Euro asset-based lending obligation (c) 6,907 6,119 Schwaiger mortgage (d) 294 468 Voxx Germany mortgage (e) 2,777 3,665 Total debt 18,214 18,865 Less: current portion of long-term debt 10,417 7,730 Long-term debt 7,797 11,135 Less: debt issuance costs 2,043 2,659 Total long-term debt, net of debt issuance costs $ 5,754 $ 8,476 |
Lease Obligations (Tables)
Lease Obligations (Tables) | 9 Months Ended |
Nov. 30, 2018 | |
Lease Obligations [Abstract] | |
Schedule of Minimum Future Payment of Capital and Operating Lease [Table Text Block] | At November 30, 2018 , the Company was obligated under non-cancelable operating leases for equipment, as well as warehouse and office facilities for minimum annual rental payments for continuing operations, for each of the succeeding years, as follows: Operating Leases 2019 $ 1,097 2020 545 2021 398 2022 293 2023 192 Thereafter 188 Total minimum lease payments $ 2,713 |
Capital Structure (Tables)
Capital Structure (Tables) | 9 Months Ended |
Nov. 30, 2018 | |
Capital Structure [Abstract] | |
Schedule of Capital Units [Table Text Block] | The Company's capital structure is as follows: Shares Authorized Shares Outstanding Security Par Value November 30, February 28, November 30, February 28, Voting Rights per Share Liquidation Rights Preferred Stock $ 50.00 50,000 50,000 — — — $50 per share Series Preferred Stock $ 0.01 1,500,000 1,500,000 — — — — Class A Common Stock $ 0.01 60,000,000 60,000,000 21,938,100 21,938,100 1 Ratably with Class B Class B Common Stock $ 0.01 10,000,000 10,000,000 2,260,954 2,260,954 10 Ratably with Class A Treasury Stock at cost at cost 2,168,094 2,168,094 N/A N/A N/A |
Variable Interest Entities (Tab
Variable Interest Entities (Tables) - Variable Interest Entity, Primary Beneficiary [Member] | 9 Months Ended |
Nov. 30, 2018 | |
Condensed Balance Sheet [Table Text Block] | November 30, 2018 February 28, 2018 Assets ( unaudited ) Current assets: Cash and cash equivalents $ — $ — Accounts receivable, net 222 128 Inventory, net 37 (119 ) Receivables from vendors 10 — Prepaid expenses and other current assets 166 117 Total current assets 435 126 Property, plant and equipment, net 136 186 Intangible assets, net 33,829 36,126 Other assets 302 119 Total assets $ 34,702 $ 36,557 Liabilities and Partners' Deficit Current liabilities: Accounts payable $ 8,408 $ 4,711 Accrued expenses and other current liabilities 1,335 2,557 Current portion of debt 42,093 — Total current liabilities 51,836 7,268 Long-term debt — 33,722 Other long-term liabilities 1,200 1,200 Total liabilities 53,036 42,190 Commitments and contingencies Partners' deficit: Capital 41,416 41,416 Retained losses (59,750 ) (47,049 ) Total partners' deficit (18,334 ) (5,633 ) Total liabilities and partners' deficit $ 34,702 $ 36,557 |
Condensed Income Statement [Table Text Block] | Revenue and Expenses of EyeLock LLC The following table sets forth the revenues and expenses of EyeLock LLC that were included in our Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) for the three and nine months ended November 30, 2018 and 2017 , respectively: Three Months Ended Nine Months Ended 2018 2017 2018 2017 Net sales $ 331 $ 63 $ 547 $ 277 Cost of sales 23 33 59 90 Gross profit 308 30 488 187 Operating expenses: Selling 301 281 925 1,636 General and administrative 1,202 1,437 3,745 5,114 Engineering and technical support 1,982 1,492 5,600 5,310 Total operating expenses 3,485 3,210 10,270 12,060 Operating loss (3,177 ) (3,180 ) (9,782 ) (11,873 ) Interest and bank charges (1,032 ) (753 ) (2,919 ) (2,056 ) Loss before income taxes (4,209 ) (3,933 ) (12,701 ) (13,929 ) Income tax expense — — — — Net loss $ (4,209 ) $ (3,933 ) $ (12,701 ) $ (13,929 ) |
Segment Reporting (Tables)
Segment Reporting (Tables) | 9 Months Ended |
Nov. 30, 2018 | |
Segment Reporting Information [Line Items] | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Segment data from continuing operations for each of the Company's segments are presented below: Automotive Premium Audio Consumer Accessories Corporate/ Eliminations Total Three Months Ended November 30, 2018 Net sales $ 45,053 $ 49,666 $ 34,661 $ 257 $ 129,637 Equity in income of equity investees 1,695 — — — 1,695 Interest expense and bank charges 267 1,894 1,958 (2,945 ) 1,174 Depreciation and amortization expense 186 826 1,100 775 2,887 Income (loss) before income taxes 5,596 6,458 (5,062 ) (501 ) 6,491 Three Months Ended November 30, 2017 Net sales $ 40,634 $ 57,386 $ 58,461 $ 82 $ 156,563 Equity in income of equity investees 2,004 — — — 2,004 Interest expense and bank charges 336 2,120 1,857 (3,098 ) 1,215 Depreciation and amortization expense 216 862 1,159 756 2,993 Income (loss) before income taxes 3,486 6,262 (2,013 ) (826 ) 6,909 Nine Months Ended November 30, 2018 Net sales $ 124,705 $ 121,707 $ 92,264 $ 683 $ 339,359 Equity in income of equity investees 5,146 — — — 5,146 Interest expense and bank charges 752 5,504 5,633 (8,498 ) 3,391 Depreciation and amortization expense 649 2,498 3,325 2,339 8,811 Income (loss) before income taxes (a) 11,121 9,586 (28,779 ) (3,266 ) (11,338 ) Nine Months Ended November 30, 2017 Net sales $ 110,342 $ 135,055 $ 138,976 $ 483 $ 384,856 Equity in income of equity investees 5,734 — — — 5,734 Interest expense and bank charges 624 6,056 5,303 (7,133 ) 4,850 Depreciation and amortization expense 768 2,655 3,496 2,229 9,148 Income (loss) before income taxes 8,910 1,547 (17,412 ) (12,631 ) (19,586 ) |
Product Warranties (Tables)
Product Warranties (Tables) | 9 Months Ended |
Nov. 30, 2018 | |
Product Warranty Liability [Line Items] | |
Schedule of Product Warranty Liability [Table Text Block] | The following table provides a summary of the activity with respect to product warranties and product repair costs. Liabilities for product warranties and product repair costs are included within accrued expenses and other current liabilities on the Consolidated Balance Sheets. Three Months Ended Nine Months Ended 2018 2017 2018 2017 Opening balance $ 4,855 $ 5,966 $ 6,233 $ 5,608 Liabilities acquired during acquisition — — — 500 Liabilities for warranties accrued during the period 1,729 1,512 4,595 5,621 Balances transferred (a) — — (832 ) — Warranties paid during the period (1,699 ) (1,783 ) (5,111 ) (6,034 ) Ending balance $ 4,885 $ 5,695 $ 4,885 $ 5,695 (a) In conjunction with the implementation of ASC Topic 606, Revenue from Contracts with Customers (see Note 23), the Company recorded a refund liability, representing the amount of consideration received for products sold that the Company expects to refund to customers, as well as a corresponding return asset that reflects the Company's right to receive goods back from customers. The return asset is calculated as the carrying amount of goods at the time of sale, less any expected costs to recover the goods and any expected reduction in value and is included in prepaid expenses and other current assets on the Unaudited Consolidated Balance Sheet at November 30, 2018 . The balance above represents amounts that would reduce the value of inventory returned to the Company and has been reclassified to the return asset in order to properly reflect the value of the inventory the Company expects to receive back from customers. |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 9 Months Ended |
Nov. 30, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue [Table Text Block] | Disaggregation of Revenue The Company operates in three reportable segments: Automotive, Premium Audio and Consumer Accessories. ASC Topic 606 requires further disaggregation of an entity’s revenue. In the following table, the Company's net sales are disaggregated by segments and sales channel for the three and nine months ended November 30, 2018 and 2017 : Three Months Ended Nine Months Ended 2018 2017 2018 2017 Automotive Segment Original Equipment Manufacturers $ 24,472 $ 17,903 $ 70,782 $ 52,769 Aftermarket 20,581 22,731 53,923 57,573 Total Automotive Segment 45,053 40,634 124,705 110,342 Premium Audio Segment Retail 48,017 55,854 117,265 130,319 Commercial 1,649 1,532 4,442 4,736 Total Premium Audio Segment 49,666 57,386 121,707 135,055 Consumer Accessories Segment Retail 34,661 58,461 92,264 138,976 Total Consumer Accessories Segment 34,661 58,461 92,264 138,976 Corporate/Eliminations 257 82 683 483 Total Net Sales $ 129,637 $ 156,563 $ 339,359 $ 384,856 |
Basis of Presentation (Details)
Basis of Presentation (Details) | 9 Months Ended |
Nov. 30, 2018 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of Reportable Segments | 3 |
Acquisitions (Details)
Acquisitions (Details) $ / shares in Units, € in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | |||||
Nov. 30, 2018USD ($)$ / shares | Nov. 30, 2017USD ($)$ / shares | Nov. 30, 2018USD ($)$ / shares | Nov. 30, 2017USD ($)$ / shares | Feb. 28, 2018USD ($) | Nov. 30, 2017EUR (€) | Feb. 28, 2017USD ($) | |
Depreciation and Amortization, Discontinued Operations | $ 2,939 | ||||||
Share-based Compensation | $ 393 | 445 | |||||
Disposal Group, Including Discontinued Operation, Revenue | $ 0 | 91,824 | |||||
Disposal Group, Including Discontinued Operation, Costs of Goods Sold | 0 | 63,610 | |||||
Disposal Group, Including Discontinued Operation, Gross Profit (Loss) | 0 | 28,214 | |||||
Disposal Group, Including Discontinued Operation, Operating Expense | 12 | 25,386 | |||||
Disposal Group, Including Discontinued Operation, Operating Income (Loss) | (12) | 2,828 | |||||
Disposal Group, Including Discontinued Operation, Interest Expense | 0 | (279) | |||||
Disposal Group, Including Discontinued Operation, Other Income | 7 | 145 | |||||
Disposal Group, Including Discontinued Operation, Other Expense | 7 | 134 | |||||
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block] | (5) | 38,812 | |||||
Discontinued Operation, Tax Effect of Discontinued Operation | 363 | 6,470 | |||||
Income (Loss) from Discontinued Operations, Net of Tax, Attributable to Parent | (368) | $ 0 | 32,342 | ||||
Disposal Group, Including Discontinued Operation, General and Administrative Expense | $ 12 | $ 14,688 | |||||
Income (Loss) from Discontinued Operations and Disposal of Discontinued Operations, Net of Tax, Per Basic Share | $ / shares | $ 0 | $ (0.02) | $ 0 | $ 1.34 | |||
Income (Loss) from Discontinued Operations and Disposal of Discontinued Operations, Net of Tax, Per Diluted Share | $ / shares | $ 0 | $ (0.02) | $ 0 | $ 1.34 | |||
Disposal Group, Including Discontinued Operation, Cash and Cash Equivalents | $ 6,844 | ||||||
Goodwill | $ 54,785 | $ 54,785 | $ 54,785 | ||||
Capital Lease Obligations, Noncurrent | 628 | 628 | 699 | ||||
Deferred Compensation Liability, Classified, Noncurrent | $ 2,529 | 2,529 | $ 3,369 | ||||
Disposal Group, Including Discontinued Operation, Consideration | $ 177,000 | $ 177,000 | € 148,500 | ||||
Investment Foreign Currency, Contract, Foreign Currency Amount | € | € 148,500 | ||||||
Capital Expenditure, Discontinued Operations | 2,652 | ||||||
Capital Expenditures Incurred but Not yet Paid | 0 | 1,993 | |||||
Foreign Currency Transaction Gain (Loss), before Tax | $ (6,618) | ||||||
Selling and Marketing Expense [Member] | |||||||
Disposal Group, Including Discontinued Operation, Operating Expense | 0 | 2,778 | |||||
Other Operating Income (Expense) [Member] | |||||||
Disposal Group, Including Discontinued Operation, Operating Expense | $ 0 | 7,920 | |||||
Discontinued Operations, Disposed of by Sale [Member] | |||||||
Capital Expenditures Incurred but Not yet Paid | 1,916 | ||||||
Discontinued Operations [Member] | |||||||
Share-based Compensation | $ 50 |
Net Income Per Common Share (De
Net Income Per Common Share (Details) | 3 Months Ended | 9 Months Ended | ||
Nov. 30, 2018shares | Nov. 30, 2017shares | Nov. 30, 2018shares | Nov. 30, 2017shares | |
Net Income Per Common Share [Abstract] | ||||
Reconciling Items to Basic and Diluted EPS | 0 | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 0 | 55,918 | 531,375 | 545,102 |
Weighted-average common shares outstanding | 24,355,791 | 24,238,493 | 24,355,791 | 24,222,973 |
Weighted Average Number Diluted Shares Outstanding Adjustment | 273,045 | 259,651 | 0 | |
Weighted-average common shares and potential common shares outstanding | 24,628,836 | 24,498,144 | 24,355,791 | 24,222,973 |
Fair Value Measurements Fair _3
Fair Value Measurements Fair Value Hierarchy (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Nov. 30, 2018 | Nov. 30, 2017 | Nov. 30, 2018 | Nov. 30, 2017 | Feb. 28, 2018 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Derivative Assets (Liabilities), at Fair Value, Net | $ (158) | $ (158) | $ (262) | ||
Cost Method Investments, Fair Value Disclosure | 525 | 525 | 547 | ||
Cash and Cash Equivalents, Fair Value Disclosure | 48,718 | 48,718 | 51,740 | ||
Investments, Fair Value Disclosure | 3,243 | 3,243 | 4,167 | ||
Gain (Loss) on Fair Value Hedge Ineffectiveness, Net | 20 | $ 46 | 45 | $ (49) | |
Fair Value, Inputs, Level 1 [Member] | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Derivative Assets (Liabilities), at Fair Value, Net | 0 | 0 | 0 | ||
Cost Method Investments, Fair Value Disclosure | 0 | 0 | 0 | ||
Cash and Cash Equivalents, Fair Value Disclosure | 48,718 | 48,718 | 51,740 | ||
Investments, Fair Value Disclosure | 2,718 | 2,718 | 3,620 | ||
Fair Value, Inputs, Level 2 [Member] | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Derivative Assets (Liabilities), at Fair Value, Net | (158) | (158) | (262) | ||
Cost Method Investments, Fair Value Disclosure | 0 | 0 | 0 | ||
Cash and Cash Equivalents, Fair Value Disclosure | 0 | 0 | 0 | ||
Investments, Fair Value Disclosure | 0 | 0 | 0 | ||
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Derivative, Notional Amount | 8,236 | 8,236 | |||
Equity Securities [Member] | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Investments, Fair Value Disclosure | 2,718 | 2,718 | 3,620 | ||
Equity Securities [Member] | Fair Value, Inputs, Level 1 [Member] | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Investments, Fair Value Disclosure | 2,718 | 2,718 | 3,620 | ||
Equity Securities [Member] | Fair Value, Inputs, Level 2 [Member] | |||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||
Investments, Fair Value Disclosure | $ 0 | $ 0 | $ 0 |
Fair Value Measurements Fair _4
Fair Value Measurements Fair Values (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Nov. 30, 2018 | Nov. 30, 2017 | Nov. 30, 2018 | Nov. 30, 2017 | Feb. 28, 2018 | Jul. 20, 2015 | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||||
Prepaid Expense and Other Assets, Current | $ 28,598 | $ 28,598 | $ 14,007 | |||
Other Assets, Noncurrent | 2,590 | 2,590 | 13,373 | |||
Derivative Assets (Liabilities), at Fair Value, Net | (158) | (158) | (262) | |||
Derivative, Fixed Interest Rate | 3.48% | |||||
Gain (Loss) on Fair Value Hedge Ineffectiveness, Net | 20 | $ 46 | 45 | $ (49) | ||
Designated as Hedging Instrument [Member] | Foreign Exchange Forward [Member] | ||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||||
Accrued Liabilities | 0 | 0 | (227) | |||
Prepaid Expense and Other Assets, Current | 127 | 127 | 0 | |||
Derivative, Notional Amount | 2,400 | 2,400 | ||||
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | ||||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||||
Other Assets, Noncurrent | 31 | 31 | 0 | |||
Other Assets | 0 | 0 | $ (35) | |||
Derivative, Notional Amount | $ 8,236 | $ 8,236 |
Fair Value Measurements Cash Fl
Fair Value Measurements Cash Flow Hedging Activity (Details) € in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Nov. 30, 2018USD ($) | Nov. 30, 2017USD ($) | Nov. 30, 2018USD ($) | Nov. 30, 2017USD ($) | Feb. 28, 2018USD ($) | Nov. 30, 2017EUR (€) | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||||
Investments, Fair Value Disclosure | $ 3,243 | $ 3,243 | $ 4,167 | |||
Maximum length of time - recognition of settled forward contracts into earnings | 6 months | |||||
Investment Foreign Currency, Contract, Foreign Currency Amount | € | € 148,500 | |||||
Number of Foreign Currency Derivatives Held | 0 | 0 | ||||
Gain (Loss) on Fair Value Hedge Ineffectiveness, Net | $ 20 | $ 46 | $ 45 | $ (49) | ||
Foreign Exchange Contract [Member] | ||||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||||
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, before Tax | 116 | (103) | 538 | (1,369) | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 80 | (218) | (134) | 99 | ||
Derivative, Net Hedge Ineffectiveness Gain (Loss) | 20 | 46 | 45 | (49) | ||
Interest Rate Swap [Member] | ||||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||||
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, before Tax | 28 | 148 | 66 | 79 | ||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 0 | 0 | 0 | 0 | ||
Derivative, Net Hedge Ineffectiveness Gain (Loss) | 0 | $ 0 | 0 | $ 0 | ||
Designated as Hedging Instrument [Member] | Foreign Exchange Forward [Member] | ||||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||||
Notional Amount of Foreign Currency Derivatives | 2,400 | 2,400 | ||||
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | ||||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||||
Notional Amount of Foreign Currency Derivatives | 8,236 | $ 8,236 | ||||
Maximum [Member] | ||||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||||
Derivative, Remaining Maturity | 3 months | |||||
Minimum [Member] | ||||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||||
Derivative, Remaining Maturity | 1 month | |||||
Fair Value, Inputs, Level 1 [Member] | ||||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||||
Investments, Fair Value Disclosure | $ 2,718 | $ 2,718 | $ 3,620 |
Investment Securities (Details)
Investment Securities (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||||
Feb. 28, 2019USD ($) | Nov. 30, 2018USD ($)Rate | Nov. 30, 2017USD ($) | Nov. 30, 2018USD ($)Rate | Nov. 30, 2017USD ($) | Feb. 28, 2018USD ($) | Jan. 09, 2019USD ($) | Jan. 07, 2019USD ($) | Dec. 12, 2018USD ($) | |
Fair Value Measurement [Domain] | |||||||||
Gain (Loss) on Securities [Line Items] | |||||||||
Trading Securities, Fair Value Disclosure | $ 3,620 | ||||||||
Investments, Fair Value Disclosure | 4,167 | ||||||||
Trading Securities, Equity | $ 2,718 | $ 2,718 | |||||||
Cumulative Effect on Retained Earnings, before Tax | 24 | ||||||||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI for Sale of Securities, Net of Tax | 24 | ||||||||
Trading Securities, Cost | 3,620 | ||||||||
Marketable Securities | 2,718 | 2,718 | 3,620 | ||||||
Available-for-sale Equity Securities, Accumulated Gross Unrealized Gain, before Tax | 0 | ||||||||
Cost Method Investments, Original Cost | 525 | 525 | |||||||
Long-term Investments | 3,243 | 3,243 | 4,167 | ||||||
Cost-method Investments, Realized Gain (Loss) | 0 | $ 0 | 0 | $ 1,416 | 0 | ||||
Other than Temporary Impairment Losses, Investments | 0 | 0 | |||||||
Investments | 4,167 | ||||||||
Other than Temporary Impairment Losses, Investments, Available-for-sale Securities | 0 | $ 0 | 0 | 0 | |||||
Cost Method Investments | 547 | ||||||||
Notes, Loans and Financing Receivable, Gross, Current | $ 12,453 | $ 12,453 | |||||||
Loans Receivable with Fixed Rates of Interest | Rate | 8.00% | 8.00% | |||||||
Payments to Acquire Notes Receivable | $ 4,931 | $ 3,000 | |||||||
Allowance for Notes, Loans and Financing Receivable, Current | $ 2,134 | ||||||||
Investments, Fair Value Disclosure | $ 3,243 | 3,243 | 4,167 | ||||||
Eye See 360 [Member] | |||||||||
Gain (Loss) on Securities [Line Items] | |||||||||
Cost Method Investments | 0 | ||||||||
Fathom [Member] [Domain] | |||||||||
Gain (Loss) on Securities [Line Items] | |||||||||
Cost Method Investments | $ 525 | $ 525 | |||||||
Cost Method Investment, Owndership Percentage | 8.70% | 8.70% | |||||||
Venezuelan bolívar fuerte | |||||||||
Gain (Loss) on Securities [Line Items] | |||||||||
Foreign Currency Exchange Rate, Translation | 86,000 | 86,000 | |||||||
Cost-method Investments [Member] | |||||||||
Gain (Loss) on Securities [Line Items] | |||||||||
Cost Method Investments, Original Cost | $ 547 | ||||||||
Notes Receivable [Member] | |||||||||
Gain (Loss) on Securities [Line Items] | |||||||||
Notes, Loans and Financing Receivable, Gross, Current | $ 15,588 | $ 15,588 | |||||||
January 7, 2019 [Domain] | |||||||||
Gain (Loss) on Securities [Line Items] | |||||||||
Notes, Loans and Financing Receivable, Gross, Current | 5,000 | 5,000 | |||||||
August 31, 2019 [Domain] [Domain] | |||||||||
Gain (Loss) on Securities [Line Items] | |||||||||
Notes, Loans and Financing Receivable, Gross, Current | $ 10,588 | $ 10,588 | |||||||
Subsequent Event [Member] | |||||||||
Gain (Loss) on Securities [Line Items] | |||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 500 | $ 1,100 | |||||||
Payments to Acquire Notes Receivable | $ 595 | ||||||||
Other Receivables, Gross, Current | 231 | ||||||||
Notes, Loans and Financing Receivable, Net, Current | $ 15,681 |
Other Comprehensive Income (Det
Other Comprehensive Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Nov. 30, 2018 | Nov. 30, 2017 | Nov. 30, 2018 | Nov. 30, 2017 | Feb. 28, 2018 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Accumulated Other Comprehensive Income (Loss), Foreign Currency Translation Adjustment, Net of Tax | $ (16,360) | $ (16,360) | $ (13,027) | ||
Other Comprehensive (Income) Loss, Defined Benefit Plan, before Reclassification Adjustment, after Tax | 57 | ||||
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Net of Tax | 450 | ||||
Other Comprehensive Income (Loss), Securities, Available-for-sale, Adjustment, before Reclassification Adjustments, after Tax | 0 | ||||
Total accumulated other comprehensive loss | (16,932) | (16,932) | (14,222) | ||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Adjustment, Net of Tax | (3,333) | ||||
Other Comprehensive Income (Loss) before Reclassifications, Tax | (3,333) | ||||
Accumulated Other Comprehensive Income (Loss), Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Effect Net of Tax | 157 | 157 | (385) | ||
Accumulated Other Comprehensive (Income) Loss, Defined Benefit Plan, after Tax | (729) | (729) | (786) | ||
Accumulated Other Comprehensive Income (Loss), Debt Securities, Available-for-sale, Adjustment, after Tax | 0 | 0 | $ (24) | ||
Other Comprehensive Income (Loss), before Reclassifications, before Tax | (2,826) | ||||
Translation Adjustment Functional to Reporting Currency, Loss (Gain), Reclassified to Earnings, Net of Tax | 0 | ||||
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax | 116 | ||||
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net | 92 | ||||
Other Comprehensive (Income) Loss, Defined Benefit Plan, Reclassification Adjustment from AOCI, after Tax | 0 | ||||
Other Comprehensive Income (Loss), Reclassification Adjustment from AOCI for Sale of Securities, Net of Tax | 24 | ||||
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | 50 | $ 226 | 542 | $ (960) | |
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, after Tax | 20 | (2) | 57 | 1,688 | |
Other Comprehensive Income (Loss), Securities, Available-for-sale, Adjustment, after Tax | 0 | (3) | 24 | 74 | |
Other Comprehensive Income (Loss), Net of Tax | (1,193) | 51 | (2,710) | 28,471 | |
Other Comprehensive (Income) Loss, Defined Benefit Plan, after Reclassification Adjustment, Tax | 0 | 0 | |||
Other Comprehensive Income (Loss), Unrealized Gain (Loss) on Derivatives Arising During Period, Tax | 11 | 202 | |||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Gain (Loss) Arising During Period, Net of Tax | $ (1,263) | $ (170) | (3,333) | $ 27,669 | |
foreign currency translation gain (loss) [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Gain (Loss) Arising During Period, Net of Tax | (2,333) | ||||
foreign currency remeasurement gain (loss) [Member] | |||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||
Other Comprehensive Income (Loss), Foreign Currency Transaction and Translation Gain (Loss) Arising During Period, Net of Tax | $ (1,000) |
Supplemental Cash Flow Inform_3
Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Nov. 30, 2018 | Nov. 30, 2017 | |
Other Significant Noncash Transactions [Line Items] | ||
Capital expenditures funded by long-term obligations | $ 0 | $ 1,993 |
Non-cash investing activities: | ||
Interest (excluding bank charges) | 1,322 | 2,675 |
Income taxes (net of refunds) | $ 2,290 | $ 2,359 |
Accounting for Stock Based Co_3
Accounting for Stock Based Compensation (Details) - USD ($) $ / shares in Units, $ in Thousands | Jul. 19, 2018 | Nov. 30, 2018 | Nov. 30, 2017 | Nov. 30, 2018 | Nov. 30, 2017 | Feb. 28, 2018 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Exercise Price | $ 5.50 | |||||
Restricted Stock [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Allocated Share-based Compensation Expense | $ 159 | $ 146 | $ 393 | $ 396 | ||
Restricted Stock [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding, Number | 156,737 | 156,737 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value | $ 6.60 | $ 6.60 | $ 7.08 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross | 188,245 | 188,245 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value | $ 5.50 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Forfeitures and Expirations in Period | 0 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested Options Forfeited, Weighted Average Grant Date Fair Value | $ 0 | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number | 627,544 | 627,544 | 439,299 | |||
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized | $ 1,684 | $ 1,684 | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested, Weighted Average Grant Date Fair Value | $ 9.96 |
Supply Chain Financing (Details
Supply Chain Financing (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Nov. 30, 2018 | Nov. 30, 2017 | Nov. 30, 2018 | Nov. 30, 2017 | |
Supply Chain Financing [Abstract] | ||||
Proceeds from Sale and Collection of Receivables | $ 35,047 | $ 46,309 | $ 82,971 | $ 110,024 |
Research and Development (Detai
Research and Development (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Nov. 30, 2018 | Nov. 30, 2017 | Nov. 30, 2018 | Nov. 30, 2017 | |
Research and Development [Abstract] | ||||
Research and Development Expense (Excluding Acquired in Process Cost) | $ 2,309 | $ 2,340 | $ 6,869 | $ 8,526 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Nov. 30, 2018 | Nov. 30, 2017 | Nov. 30, 2018 | Nov. 30, 2017 | Feb. 28, 2018 | |
Goodwill and Intangible Assets [Line Items] | |||||
Impairment of Intangible Assets, Finite-lived | $ 0 | $ 0 | $ 9,814 | $ 0 | |
Indefinite lived tradenames, percentage of total | 46.00% | 46.00% | |||
Finite-Lived Intangible Assets, Amortization Expense, Next Twelve Months | $ 6,293 | $ 6,293 | |||
Goodwill | 54,785 | 54,785 | $ 54,785 | ||
Finite-Lived Intangible Assets, Gross | 87,826 | 87,826 | 88,325 | ||
Finite-Lived Intangible Assets, Accumulated Amortization | 43,699 | 43,699 | 39,396 | ||
Finite-Lived Intangible Assets, Net | 44,127 | 44,127 | 48,929 | ||
Intangible Assets, Net (Excluding Goodwill) | 135,041 | 135,041 | 150,320 | ||
Depreciation and amortization | 1,582 | $ 1,612 | 4,745 | $ 4,867 | |
Finite-Lived Intangible Assets, Amortization Expense, Year Two | 6,130 | 6,130 | |||
Finite-Lived Intangible Assets, Amortization Expense, Year Three | 5,962 | 5,962 | |||
Finite-Lived Intangible Assets, Amortization Expense, Year Four | 5,756 | 5,756 | |||
Finite-Lived Intangible Assets, Amortization Expense, Year Five | 5,455 | 5,455 | |||
Customer Relationships [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Finite-Lived Intangible Assets, Gross | 49,721 | 49,721 | 50,249 | ||
Finite-Lived Intangible Assets, Accumulated Amortization | 28,896 | 28,896 | 26,807 | ||
Finite-Lived Intangible Assets, Net | 20,825 | 20,825 | 23,442 | ||
Trademarks and Tradenames [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Finite-Lived Intangible Assets, Gross | 485 | 485 | 415 | ||
Finite-Lived Intangible Assets, Accumulated Amortization | 405 | 405 | 400 | ||
Finite-Lived Intangible Assets, Net | 80 | 80 | 15 | ||
Patented Technology [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Finite-Lived Intangible Assets, Gross | 31,290 | 31,290 | 31,290 | ||
Finite-Lived Intangible Assets, Accumulated Amortization | 8,843 | 8,843 | 6,802 | ||
Finite-Lived Intangible Assets, Net | 22,447 | 22,447 | 24,488 | ||
Patents [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Finite-Lived Intangible Assets, Gross | 2,789 | 2,789 | 2,830 | ||
Finite-Lived Intangible Assets, Accumulated Amortization | 2,219 | 2,219 | 2,138 | ||
Finite-Lived Intangible Assets, Net | 570 | 570 | 692 | ||
Licensing Agreements [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Finite-Lived Intangible Assets, Gross | 1,400 | 1,400 | 1,400 | ||
Finite-Lived Intangible Assets, Accumulated Amortization | 1,400 | 1,400 | 1,400 | ||
Finite-Lived Intangible Assets, Net | 0 | 0 | 0 | ||
Contractual Rights [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Finite-Lived Intangible Assets, Gross | 2,141 | 2,141 | 2,141 | ||
Finite-Lived Intangible Assets, Accumulated Amortization | 1,936 | 1,936 | 1,849 | ||
Finite-Lived Intangible Assets, Net | 205 | 205 | 292 | ||
Trademarks [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Indefinite-lived Intangible Assets (Excluding Goodwill) | 90,914 | 90,914 | 101,391 | ||
Trademarks [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Indefinite-lived Intangible Assets (Excluding Goodwill) | 42,189 | ||||
Consumer Accessories [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Impairment of Intangible Assets, Finite-lived | 9,654 | ||||
Automotive [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Impairment of Intangible Assets, Finite-lived | 160 | ||||
Goodwill | 8,252 | 8,252 | 8,252 | ||
Goodwill, Acquired During Period | 0 | ||||
Goodwill, Gross | 8,252 | 8,252 | |||
Goodwill, Impaired, Accumulated Impairment Loss | 0 | 0 | |||
Premium Audio [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Goodwill | 46,533 | 46,533 | $ 46,533 | ||
Goodwill, Acquired During Period | 0 | ||||
Goodwill, Gross | 78,696 | 78,696 | |||
Goodwill, Impaired, Accumulated Impairment Loss | $ (32,163) | $ (32,163) | |||
Minimum [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Impaired Long-Lived Assets Held and Used, Method for Determining Fair Value | 0.005 | ||||
Maximum [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Impaired Long-Lived Assets Held and Used, Method for Determining Fair Value | 0.055 | ||||
Measurement Input, Discount Rate [Member] | Minimum [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Impaired Long-Lived Assets Held and Used, Method for Determining Fair Value | 0.126 | ||||
Measurement Input, Discount Rate [Member] | Maximum [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Impaired Long-Lived Assets Held and Used, Method for Determining Fair Value | 0.131 | ||||
Measurement Input, Long-term Revenue Growth Rate [Member] | Minimum [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Impaired Long-Lived Assets Held and Used, Method for Determining Fair Value | 0 | ||||
Measurement Input, Long-term Revenue Growth Rate [Member] | Maximum [Member] | |||||
Goodwill and Intangible Assets [Line Items] | |||||
Impaired Long-Lived Assets Held and Used, Method for Determining Fair Value | 0.02 |
Equity Investments (Details)
Equity Investments (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Nov. 30, 2018 | Nov. 30, 2017 | Nov. 30, 2018 | Nov. 30, 2017 | Feb. 28, 2018 | |
Equity in income of equity investees | $ 1,695 | $ 2,004 | $ 5,146 | $ 5,734 | |
Equity Method Investment, Summarized Financial Information, Current Assets | 46,733 | 46,733 | $ 42,318 | ||
Equity Method Investment, Summarized Financial Information, Noncurrent Assets | 6,072 | 6,072 | 7,095 | ||
Equity Method Investment, Summarized Financial Information, Current Liabilities | 8,590 | 8,590 | 5,699 | ||
Equity Method Investment Summarized Financial Information, Equity | $ 44,214 | 44,214 | $ 43,714 | ||
Equity Method Investment, Summarized Financial Information, Revenue | 76,753 | 72,434 | |||
Equity Method Investment, Summarized Financial Information, Gross Profit (Loss) | 24,753 | 24,397 | |||
Equity Method Investment, Summarized Financial Information, Income (Loss) from Continuing Operations | 10,148 | 11,359 | |||
Equity Method Investment, Summarized Financial Information, Net Income (Loss) | $ 10,292 | $ 11,467 | |||
ASA Electronics, LLC [Member] | |||||
Equity Method Investment, Ownership Percentage | 50.00% | 50.00% | 50.00% |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Nov. 30, 2018 | Nov. 30, 2017 | Nov. 30, 2018 | Nov. 30, 2017 | Feb. 28, 2018 | |
Effective Income Tax Rate, Continuing Operations | 62.80% | 8.20% | 27.80% | 23.10% | |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | $ 6,491 | $ 6,909 | $ (11,338) | $ (19,586) | |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% | ||||
Income Tax Expense (Benefit) | 4,078 | 568 | $ (3,147) | (4,531) | |
Unrecognized Tax Benefits, Period Increase (Decrease) | 57 | $ 1,309 | 256 | $ 1,244 | |
Liability for Uncertainty in Income Taxes, Noncurrent | $ 1,377 | $ 1,377 | $ 2,191 |
Inventory (Details)
Inventory (Details) - USD ($) $ in Thousands | Nov. 30, 2018 | Feb. 28, 2018 |
Inventory [Abstract] | ||
Inventory, Raw Materials, Net of Reserves | $ 26,835 | $ 28,071 |
Inventory, Work in Process, Net of Reserves | 3,004 | 2,485 |
Inventory, Finished Goods, Net of Reserves | 88,977 | 87,436 |
Inventory, net | $ 118,816 | $ 117,992 |
Financing Arrangements (Details
Financing Arrangements (Details) € in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||||||
Nov. 30, 2018USD ($)Rate | Nov. 30, 2017USD ($) | Nov. 30, 2018USD ($)Rate | Nov. 30, 2017USD ($) | Feb. 28, 2018USD ($) | Apr. 26, 2016USD ($) | Jul. 20, 2015Rate | Jul. 06, 2015USD ($) | Jan. 03, 2013Rate | Jan. 09, 2012Rate | Oct. 23, 2000EUR (€) | ||
Debt Instrument [Line Items] | ||||||||||||
Long-term Debt | $ 5,754 | $ 5,754 | $ 8,476 | |||||||||
Debt, Current | 10,417 | 10,417 | 7,730 | |||||||||
Long-term Debt, Excluding Current Maturities | 7,797 | 7,797 | 11,135 | |||||||||
Debt Issuance Costs, Net | 2,043 | 2,043 | 2,659 | |||||||||
Long-term Line of Credit | 0 | 0 | ||||||||||
Line of Credit Facility, Remaining Borrowing Capacity | $ 101,773 | $ 101,773 | ||||||||||
Debt Instrument, Basis Spread on Variable Rate | Rate | 1.54% | |||||||||||
Debt Instrument, Interest Rate, Effective Percentage | Rate | 6.00% | 6.00% | ||||||||||
Debt Issuance Costs, Gross | $ 332 | |||||||||||
Line of Credit Facility, Commitment Fee Amount | $ 124 | $ 123 | $ 396 | $ 241 | ||||||||
Long-term Construction Loan | $ 9,995 | |||||||||||
Debt Instrument, Description of Variable Rate Basis | 0.7 | |||||||||||
Derivative, Fixed Interest Rate | Rate | 3.48% | |||||||||||
London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt Instrument, Basis Spread on Variable Rate | Rate | 1.75% | |||||||||||
London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt Instrument, Basis Spread on Variable Rate | Rate | 2.25% | |||||||||||
Base Rate [Member] | Minimum [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt Instrument, Basis Spread on Variable Rate | Rate | 0.75% | |||||||||||
Base Rate [Member] | Maximum [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt Instrument, Basis Spread on Variable Rate | Rate | 1.25% | |||||||||||
Debt [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt, Long-term and Short-term, Combined Amount | 18,214 | $ 18,214 | 18,865 | |||||||||
Mortgages [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt Issuance Costs, Net | 225 | 225 | ||||||||||
Amortization of Debt Issuance Costs | 8 | 8 | 23 | 23 | ||||||||
Revolving Credit Facility [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt Issuance Costs, Net | 1,817 | 1,817 | ||||||||||
Amortization of Debt Issuance Costs | 198 | $ 198 | 593 | $ 593 | ||||||||
Corporate, Non-Segment [Member] | Mortgages [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt, Long-term and Short-term, Combined Amount | [1] | 8,236 | 8,236 | 8,613 | ||||||||
Corporate, Non-Segment [Member] | Revolving Credit Facility [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt, Long-term and Short-term, Combined Amount | [2] | $ 0 | $ 0 | 0 | ||||||||
Corporate, Non-Segment [Member] | Mortgages [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt Instrument, Interest Rate, Effective Percentage | Rate | 3.18% | 3.18% | ||||||||||
Schwaiger [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt Instrument, Interest Rate, Stated Percentage | Rate | 3.75% | |||||||||||
Schwaiger [Member] | Mortgages [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt, Long-term and Short-term, Combined Amount | [1] | $ 294 | $ 294 | 468 | ||||||||
Audiovox Germany [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt Instrument, Basis Spread on Variable Rate | Rate | 1.60% | |||||||||||
Debt Instrument, Interest Rate, Effective Percentage | Rate | 1.24% | 1.24% | ||||||||||
Short-term Debt | € | [3] | € 8,000 | ||||||||||
Debt Instrument, Interest Rate, Stated Percentage | Rate | 2.85% | |||||||||||
Audiovox Germany [Member] | Mortgages [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt, Long-term and Short-term, Combined Amount | [4] | $ 2,777 | $ 2,777 | 3,665 | ||||||||
Audiovox Germany [Member] | Bank Loan Obligations [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt, Long-term and Short-term, Combined Amount | [3] | $ 6,907 | $ 6,907 | $ 6,119 | ||||||||
Audiovox Germany [Member] | Bank Loan Obligations [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Portion of Accounts Receivable Eligible for Factoring | 60.00% | |||||||||||
Long-term Debt [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 15,000 | |||||||||||
Revolving Credit Facility [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Line of Credit Facility, Current Borrowing Capacity | 140,000 | |||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | 175,000 | |||||||||||
Letter of Credit [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | 15,000 | |||||||||||
Loans [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Line of Credit Facility, Maximum Borrowing Capacity | $ 15,000 | |||||||||||
Foreign Line of Credit [Member] | Audiovox Germany [Member] | ||||||||||||
Debt Instrument [Line Items] | ||||||||||||
Debt Instrument, Basis Spread on Variable Rate | Rate | 2.30% | |||||||||||
Debt Instrument, Interest Rate, Effective Percentage | Rate | 1.94% | 1.94% | ||||||||||
[1] | (d) Schwaiger Mortgage In January 2012, the Company's Schwaiger subsidiary purchased a building, entering into a mortgage note payable. The mortgage note bears interest at 3.75% and will be fully paid by December 2019. | |||||||||||
[2] | (a) Domestic Credit Facility The Company has a senior secured credit facility (the "Credit Facility") that provides for a revolving credit facility with committed availability of up to $140,000, which may be increased, at the option of the Company, up to a maximum of $175,000, and a term loan in the amount of $15,000. The Credit Facility also includes a $15,000 sublimit for letters of credit and a $15,000 sublimit for swingline loans. The availability under the revolving credit line within the Credit Facility is subject to a borrowing base, which is based on eligible accounts receivable, eligible inventory and certain real estate, subject to reserves as determined by the lender, and is also limited by amounts outstanding under the Florida Mortgage (see Note 16(b)). In conjunction with the sale of Hirschmann on August 31, 2017 (see Note 2), the Company paid down substantially all of the outstanding balance of the revolving credit facility, as well as the entire outstanding balance of the term loan, which is not renewable. As of November 30, 2018, there was no balance outstanding under the revolving credit facility. The availability under the revolving credit line of the Credit Facility was $101,773 as of November 30, 2018.All amounts outstanding under the Credit Facility will mature and become due on April 26, 2021; however, it is subject to acceleration upon the occurrence of an Event of Default (as defined in the Credit Agreement). The Company may prepay any amounts outstanding at any time, subject to payment of certain breakage and redeployment costs relating to LIBOR Rate Loans. The commitments under the Credit Facility may be irrevocably reduced at any time, without premium or penalty as set forth in the agreement.Generally, the Company may designate specific borrowings under the Credit Facility as either Base Rate Loans or LIBOR Rate Loans, except that swingline loans may only be designated as Base Rate Loans. Loans designated as LIBOR Rate Loans bear interest at a rate equal to the then applicable LIBOR rate plus a range of 1.75 - 2.25%. Loans designated as Base Rate loans bear interest at a rate equal to the applicable margin for Base Rate Loans of 0.75 - 1.25% as defined in the agreement. As of November 30, 2018, the weighted average interest rate on the facility was 6.00%.The Credit Facility requires compliance with a financial covenant calculated as of the last day of each month, consisting of a Fixed Charge Coverage Ratio. The Credit Facility also contains covenants that limit the ability of the loan parties and certain of their subsidiaries which are not loan parties to, among other things: (i) incur additional indebtedness; (ii) incur liens; (iii) merge, consolidate or dispose of a substantial portion of their business; (iv) transfer or dispose of assets; (v) change their name, organizational identification number, state or province of organization or organizational identity; (vi) make any material change in their nature of business; (vii) prepay or otherwise acquire indebtedness; (viii) cause any change of control; (ix) make any Restricted Junior Payment; (x) change their fiscal year or method of accounting; (xi) make advances, loans or investments; (xii) enter into or permit any transaction with an affiliate of any borrower or any of their subsidiaries; (xiii) use proceeds for certain items; (xiv) issue or sell any of their stock; or (xv) consign or sell any of their inventory on certain terms. In addition, if excess availability under the Credit Facility were to fall below certain specified levels, as defined in the agreement, the lenders would have the right to assume dominion and control over the Company's cash. As of November 30, 2018, the Company was in compliance with all debt covenants, including cash dominion.The obligations under the loan documents are secured by a general lien on and security interest in substantially all of the assets of the borrowers and certain of the guarantors, including accounts receivable, equipment, real estate, general intangibles and inventory. The Company has guaranteed the obligations of the borrowers under the Credit Agreement.Charges incurred on the unused portion of the Credit Facility during the three and nine months ended November 30, 2018 totaled $124 and $396, respectively, compared to $123 and $241 during the three and nine months ended November 30, 2017, respectively. These charges are included within interest and bank charges on the Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss). The Company has deferred financing costs related to the Credit Facility and a previous amendment and modification of the Credit Facility. These deferred financing costs are included in long-term debt on the accompanying Consolidated Balance Sheets as a contra-liability balance and are amortized through interest and bank charges in the Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) over the five-year term of the Credit Facility. During both the three and nine months ended November 30, 2018 and 2017, the Company amortized $198 and $593 of these costs, respectively. The net unamortized balance of these deferred financing costs as of November 30, 2018 is $1,817. | |||||||||||
[3] | (b) Florida Mortgage On July 6, 2015, VOXX HQ LLC, the Company’s wholly owned subsidiary, closed on a $9,995 industrial development revenue tax exempt bond under a loan agreement in favor of the Orange County Industrial Development Authority (the “Authority”) to finance the construction of the Company's manufacturing facility and executive offices in Lake Nona, Florida. Wells Fargo Bank, N.A. ("Wells Fargo") was the purchaser of the bond and U.S. Bank National Association is the trustee under an Indenture of Trust with the Authority. Voxx borrowed the proceeds of the bond purchase from the Authority during construction as a revolving loan, which converted to a permanent mortgage upon completion of the facility in January 2016 (the "Florida Mortgage"). The Company makes principal and interest payments to Wells Fargo, which began March 1, 2016 and will continue through March of 2026. The Florida Mortgage bears interest at 70% of 1-month LIBOR plus 1.54% (3.18% at November 30, 2018) and is secured by a first mortgage on the property, a collateral assignment of leases and rents and a guaranty by the Company. The financial covenants of the Florida Mortgage are as defined in the Company’s Credit Facility with Wells Fargo dated April 26, 2016. The Company incurred debt financing costs totaling approximately $332 as a result of obtaining the Florida Mortgage, which are recorded as deferred financing costs and included in Long-term Debt as a contra-liability balance on the accompanying Consolidated Balance Sheets and are being amortized through interest and bank charges in the Unaudited Consolidated Statements of Operations and Comprehensive Income (Loss) over the ten-year term of the Florida Mortgage. The Company amortized $8 and $23 of these costs during both the three and nine months ended November 30, 2018 and 2017, respectively. The net unamortized balance of these deferred financing costs as of November 30, 2018 is $225.On July 20, 2015, the Company entered into an interest rate swap agreement in order to hedge interest rate exposure related to the Florida Mortgage and pays a fixed rate of 3.48% under the swap agreement (See Note 4). | |||||||||||
[4] | (e) Voxx Germany MortgageThis balance represents a mortgage on the land and building housing Voxx Germany's headquarters in Pulheim, Germany, which was entered into in January 2013. The mortgage bears interest at 2.85%, payable in twenty-six quarterly installments through September 2019. |
Other Income (Details)
Other Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Nov. 30, 2018 | Nov. 30, 2017 | Nov. 30, 2018 | Nov. 30, 2017 | |
Foreign Currency Transaction Gain (Loss), before Tax | $ (6,618) | |||
Foreign Currency Transaction Gain (Loss), Realized | $ (41) | $ (77) | 164 | $ (8,296) |
Interest income | 312 | 51 | 788 | 82 |
Rental income | 133 | 140 | 386 | 415 |
Other Nonoperating Gains (Losses) | (144) | 363 | (165) | 27 |
Total other, net | $ 260 | $ 477 | $ 1,173 | $ (7,772) |
Foreign Currency (Details)
Foreign Currency (Details) number in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Nov. 30, 2018USD ($) | Nov. 30, 2017USD ($) | Nov. 30, 2018USD ($) | Nov. 30, 2017USD ($) | |
Foreign Currency Translation Gain (Loss) | $ (41) | $ (77) | $ 164 | $ (8,296) |
Impairment of Long-Lived Assets Held-for-use | $ 0 | 0 | $ 3,473 | 0 |
Venezuelan bolívar fuerte | ||||
Foreign Currency Exchange Rate, Translation | 86 | 86 | ||
VENEZUELA | ||||
Foreign Currency Translation Gain (Loss) | $ 1 | $ 1 | $ 6 | $ 106 |
Lease Obligations (Details)
Lease Obligations (Details) $ in Thousands | Nov. 30, 2018USD ($) |
Lease Obligations [Abstract] | |
Operating Leases, Future Minimum Payments Due, Next Twelve Months | $ 1,097 |
Operating Leases, Future Minimum Payments, Due in Two Years | 545 |
Operating Leases, Future Minimum Payments, Due in Three Years | 398 |
Operating Leases, Future Minimum Payments, Due in Four Years | 293 |
Operating Leases, Future Minimum Payments, Due in Five Years | 192 |
Operating Leases, Future Minimum Payments, Due Thereafter | 188 |
Operating Leases, Future Minimum Payments Due | 2,713 |
Capital Lease Obligations | $ 1,064 |
Capital Structure (Details)
Capital Structure (Details) - $ / shares | 9 Months Ended | |
Nov. 30, 2018 | Feb. 28, 2018 | |
Capital Unit [Line Items] | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 1,500,000 | 1,500,000 |
Preferred stock, shares outstanding | 0 | 0 |
Preferred Stock, Liquidation Preference Per Share | $ 50 | |
Treasury stock, shares | 2,168,094 | 2,168,094 |
Preferred Stock [Member] | ||
Capital Unit [Line Items] | ||
Preferred stock, par value | $ 50 | |
Preferred stock, shares authorized | 50,000 | 50,000 |
Preferred stock, shares outstanding | 0 | 0 |
Preferred Stock, Voting Rights | 0 | |
Series A Preferred Stock [Member] | ||
Capital Unit [Line Items] | ||
Preferred stock, par value | $ 0.01 | |
Preferred stock, shares authorized | 1,500,000 | 1,500,000 |
Preferred stock, shares outstanding | 0 | 0 |
Preferred Stock, Voting Rights | 0 | |
Common Class A [Member] | ||
Capital Unit [Line Items] | ||
Class A Common stock, par value | $ 0.01 | $ 0.01 |
Common Stock, Shares Authorized | 60,000,000 | 60,000,000 |
Common Stock, Shares, Outstanding | 21,938,100 | 21,938,100 |
Common Stock, Voting Rights | 1 | |
Common Class B [Member] | ||
Capital Unit [Line Items] | ||
Class A Common stock, par value | $ 0.01 | $ 0.01 |
Common Stock, Shares Authorized | 10,000,000 | 10,000,000 |
Common Stock, Shares, Outstanding | 2,260,954 | 2,260,954 |
Common Stock, Voting Rights | 10 | |
Treasury Stock [Member] | ||
Capital Unit [Line Items] | ||
Treasury stock, shares | 2,168,094 | 2,168,094 |
Variable Interest Entities (Det
Variable Interest Entities (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Nov. 30, 2018 | Nov. 30, 2017 | Nov. 30, 2018 | Nov. 30, 2017 | Feb. 28, 2018 | |
Revenue from Contract with Customer, Excluding Assessed Tax | $ 129,637 | $ 156,563 | $ 339,359 | $ 384,856 | |
Cost of Goods and Services Sold | 90,714 | 115,044 | $ 241,696 | 284,772 | |
Debt Instrument, Fee | 1.5 | ||||
Cash and Cash Equivalents, at Carrying Value | (48,718) | $ (48,718) | $ (51,740) | ||
Accounts Receivable, Net, Current | 84,639 | 84,639 | 81,116 | ||
Inventory, Net | (118,816) | (118,816) | (117,992) | ||
Nontrade Receivables | 463 | 463 | 493 | ||
Prepaid Expense and Other Assets, Current | 28,598 | 28,598 | 14,007 | ||
Total current assets | 281,733 | 281,733 | 265,859 | ||
Property, Plant and Equipment, Net | 61,200 | 61,200 | 65,259 | ||
Other Assets, Noncurrent | 2,590 | 2,590 | 13,373 | ||
Total assets | 560,724 | 560,724 | 575,644 | ||
Accounts Payable, Current | 37,097 | 37,097 | 34,700 | ||
Other Liabilities, Current | 33,776 | 33,776 | 36,350 | ||
Current portion of long-term debt | 10,417 | 10,417 | 7,730 | ||
Total current liabilities | 99,267 | 99,267 | 95,387 | ||
Long-term Debt | 5,754 | 5,754 | 8,476 | ||
Other Liabilities, Noncurrent | 3,014 | 3,014 | 3,187 | ||
Total liabilities | 127,422 | 127,422 | 125,526 | ||
Additional Paid in Capital | 296,788 | 296,788 | 296,395 | ||
Retained Earnings (Accumulated Deficit) | 185,142 | 185,142 | 194,673 | ||
Total stockholders' equity | 444,086 | 444,086 | 455,948 | ||
Total liabilities and stockholders' equity | 560,724 | 560,724 | 575,644 | ||
Gross Profit | 38,923 | 41,519 | 97,663 | 100,084 | |
Selling Expense | 10,363 | 11,357 | 30,661 | 34,805 | |
General and Administrative Expense | 16,482 | 18,258 | 49,632 | 59,095 | |
Engineering and Technical Support Expense | 6,368 | 6,261 | 18,349 | 20,298 | |
Total operating expenses | 33,213 | 35,876 | 108,456 | 114,198 | |
Operating Income (Loss) | 5,710 | 5,643 | (10,793) | (14,114) | |
Interest and bank charges | (1,174) | (1,215) | (3,391) | (4,850) | |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 6,491 | 6,909 | (11,338) | (19,586) | |
Income Tax Expense (Benefit) | (4,078) | (568) | 3,147 | 4,531 | |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 10,569 | 7,109 | (14,485) | 17,287 | |
Variable Interest Entity, Primary Beneficiary [Member] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 331 | 63 | 547 | 277 | |
Cost of Goods and Services Sold | 23 | 33 | 59 | 90 | |
Line of Credit Facility, Maximum Borrowing Capacity | 43,000 | $ 43,000 | |||
Debt Instrument, Interest Rate During Period | 10.00% | ||||
Cash and Cash Equivalents, at Carrying Value | 0 | $ 0 | 0 | ||
Accounts Receivable, Net, Current | 222 | 222 | 128 | ||
Inventory, Net | (37) | (37) | (119) | ||
Nontrade Receivables | 10 | 10 | 0 | ||
Prepaid Expense and Other Assets, Current | 166 | 166 | 117 | ||
Total current assets | 435 | 435 | 126 | ||
Property, Plant and Equipment, Net | 136 | 136 | 186 | ||
Intangible Assets, Net (Including Goodwill) | 33,829 | 33,829 | 36,126 | ||
Other Assets, Noncurrent | 302 | 302 | 119 | ||
Total assets | 34,702 | 34,702 | 36,557 | ||
Accounts Payable, Current | 8,408 | 8,408 | 4,711 | ||
Other Liabilities, Current | 1,335 | 1,335 | 2,557 | ||
Current portion of long-term debt | 42,093 | 42,093 | 0 | ||
Total current liabilities | 51,836 | 51,836 | 7,268 | ||
Long-term Debt | 0 | 0 | 33,722 | ||
Other Liabilities, Noncurrent | 1,200 | 1,200 | 1,200 | ||
Total liabilities | 53,036 | 53,036 | 42,190 | ||
Additional Paid in Capital | 41,416 | 41,416 | 41,416 | ||
Retained Earnings (Accumulated Deficit) | (59,750) | (59,750) | (47,049) | ||
Total stockholders' equity | (18,334) | (18,334) | (5,633) | ||
Total liabilities and stockholders' equity | 34,702 | 34,702 | $ 36,557 | ||
Gross Profit | 308 | 30 | 488 | 187 | |
Selling Expense | 301 | 281 | 925 | 1,636 | |
General and Administrative Expense | 1,202 | 1,437 | 3,745 | 5,114 | |
Engineering and Technical Support Expense | 1,982 | 1,492 | 5,600 | 5,310 | |
Total operating expenses | 3,485 | 3,210 | 10,270 | 12,060 | |
Operating Income (Loss) | (3,177) | (3,180) | (9,782) | (11,873) | |
Interest and bank charges | (1,032) | (753) | (2,919) | (2,056) | |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | (4,209) | (3,933) | (12,701) | (13,929) | |
Income Tax Expense (Benefit) | 0 | 0 | 0 | 0 | |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | $ (4,209) | $ (3,933) | $ (12,701) | $ (13,929) |
Segment Reporting (Details)
Segment Reporting (Details) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Nov. 30, 2018USD ($) | Nov. 30, 2017USD ($) | Nov. 30, 2018USD ($) | Nov. 30, 2017USD ($) | Feb. 28, 2018USD ($) | |
Segment Reporting Information [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 129,637,000 | $ 156,563,000 | $ 339,359,000 | $ 384,856,000 | |
Impairment of Intangible Assets, Finite-lived | 0 | 0 | $ 9,814,000 | 0 | |
Number of Reportable Segments | 3 | ||||
Income (Loss) from Equity Method Investments | 1,695,000 | 2,004,000 | $ 5,146,000 | 5,734,000 | |
Interest and Debt Expense | 1,174,000 | 1,215,000 | 3,391,000 | 4,850,000 | |
Depreciation and amortization | 2,887,000 | 2,993,000 | 8,811,000 | 9,148,000 | |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 6,491,000 | 6,909,000 | (11,338,000) | (19,586,000) | |
Impairment of Long-Lived Assets Held-for-use | 0 | 0 | (3,473,000) | 0 | |
Cost-method Investments, Realized Gain (Loss) | 0 | 0 | 0 | 1,416,000 | $ 0 |
Automotive [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Impairment of Intangible Assets, Finite-lived | 160,000 | ||||
Consumer Accessories [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Impairment of Intangible Assets, Finite-lived | 9,654,000 | ||||
Operating Segments [Member] | Automotive [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 45,053,000 | 40,634,000 | 124,705,000 | 110,342,000 | |
Income (Loss) from Equity Method Investments | 1,695,000 | 2,004,000 | 5,146,000 | 5,734,000 | |
Interest and Debt Expense | 267,000 | 336,000 | 752,000 | 624,000 | |
Depreciation and amortization | 186,000 | 216,000 | 649,000 | 768,000 | |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 5,596,000 | 3,486,000 | 11,121,000 | 8,910,000 | |
Operating Segments [Member] | Premium Audio [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 49,666,000 | 57,386,000 | 121,707,000 | 135,055,000 | |
Income (Loss) from Equity Method Investments | 0 | 0 | 0 | 0 | |
Interest and Debt Expense | 1,894,000 | 2,120,000 | 5,504,000 | 6,056,000 | |
Depreciation and amortization | 826,000 | 862,000 | 2,498,000 | 2,655,000 | |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | 6,458,000 | 6,262,000 | 9,586,000 | 1,547,000 | |
Operating Segments [Member] | Consumer Accessories [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 34,661,000 | 58,461,000 | 92,264,000 | 138,976,000 | |
Income (Loss) from Equity Method Investments | 0 | 0 | 0 | 0 | |
Interest and Debt Expense | 1,958,000 | 1,857,000 | 5,633,000 | 5,303,000 | |
Depreciation and amortization | 1,100,000 | 1,159,000 | 3,325,000 | 3,496,000 | |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | (5,062,000) | (2,013,000) | (28,779,000) | (17,412,000) | |
Corporate, Non-Segment [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenue from Contract with Customer, Excluding Assessed Tax | 257,000 | 82,000 | 683,000 | 483,000 | |
Income (Loss) from Equity Method Investments | 0 | 0 | 0 | 0 | |
Interest and Debt Expense | (2,945,000) | (3,098,000) | (8,498,000) | (7,133,000) | |
Depreciation and amortization | 775,000 | 756,000 | 2,339,000 | 2,229,000 | |
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest | (501,000) | $ (826,000) | (3,266,000) | $ (12,631,000) | |
Intersegment Eliminations [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenues | $ 0 | $ 0 |
Contingencies and Derivative _2
Contingencies and Derivative Settlement (Details) $ in Thousands | 3 Months Ended | 9 Months Ended |
Nov. 30, 2018USD ($) | Nov. 30, 2018USD ($) | |
Contingencies [Abstract] | ||
Litigation Settlement, Amount Awarded from Other Party | $ 2,681 | |
Gain (Loss) Related to Litigation Settlement | $ 990 | 3,066 |
Other Prepaid Expense, Current | $ 605 | $ 605 |
New Accounting Pronouncements (
New Accounting Pronouncements (Details) - USD ($) $ in Thousands | Nov. 30, 2018 | Feb. 28, 2018 |
New Accounting Pronouncements [Abstract] | ||
Debt Issuance Costs, Net | $ 2,043 | $ 2,659 |
Subsequent Event (Details)
Subsequent Event (Details) | 9 Months Ended |
Nov. 30, 2018 | |
Subsequent Event [Line Items] | |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate, Percent | 21.00% |
Product Warranties (Details)
Product Warranties (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Nov. 30, 2018 | Nov. 30, 2017 | Nov. 30, 2018 | Nov. 30, 2017 | Aug. 31, 2018 | Feb. 28, 2018 | Aug. 31, 2017 | Feb. 28, 2017 | |
Product Warranty Liability [Line Items] | ||||||||
Standard Product Warranty Accrual | $ 4,885 | $ 5,695 | $ 4,885 | $ 5,695 | $ 4,855 | $ 6,233 | $ 5,966 | $ 5,608 |
Standard Product Warranty Accrual, Additions from Business Acquisition | 0 | 0 | 0 | 500 | ||||
Standard Product Warranty Accrual, Increase for Warranties Issued | 1,729 | 1,512 | 4,595 | 5,621 | ||||
Standard Product Warranty Accrual, Period Increase (Decrease) | 0 | 0 | (832) | 0 | ||||
Standard Product Warranty Accrual, Decrease for Payments | $ (1,699) | $ (1,783) | $ (5,111) | $ (6,034) |
Revenue from Contracts with C_3
Revenue from Contracts with Customers (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Nov. 30, 2018 | Nov. 30, 2017 | Nov. 30, 2018 | Nov. 30, 2017 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 129,637 | $ 156,563 | $ 339,359 | $ 384,856 |
Revenue, Remaining Performance Obligation, Amount | 0 | 0 | ||
Contract with Customer, Right to Recover Product | 1,682 | 1,682 | ||
Contract with Customer, Refund Liability | 3,696 | 3,696 | ||
Contract with Customer, Asset, Net | 0 | 0 | ||
Operating Segments [Member] | Automotive [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 45,053 | 40,634 | 124,705 | 110,342 |
Operating Segments [Member] | Automotive [Member] | OEM [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 24,472 | 17,903 | 70,782 | 52,769 |
Operating Segments [Member] | Automotive [Member] | aftermarket [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 20,581 | 22,731 | 53,923 | 57,573 |
Operating Segments [Member] | Premium Audio [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 49,666 | 57,386 | 121,707 | 135,055 |
Operating Segments [Member] | Premium Audio [Member] | retail customer [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 48,017 | 55,854 | 117,265 | 130,319 |
Operating Segments [Member] | Premium Audio [Member] | commercial customer [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 1,649 | 1,532 | 4,442 | 4,736 |
Operating Segments [Member] | Consumer Accessories [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | 34,661 | 58,461 | 92,264 | 138,976 |
Corporate, Non-Segment [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue from Contract with Customer, Excluding Assessed Tax | $ 257 | $ 82 | $ 683 | $ 483 |
Subsequent Events (Details)
Subsequent Events (Details) $ in Thousands | 3 Months Ended |
Feb. 28, 2019USD ($) | |
Subsequent Events [Abstract] | |
Payments for Legal Settlements | $ 2,600 |
Uncategorized Items - voxx-2018
Label | Element | Value |
Cash and Cash Equivalents, at Carrying Value, Including Discontinued Operations | us-gaap_CashAndCashEquivalentsAtCarryingValueIncludingDiscontinuedOperations | $ 7,800,000 |
Cash and Cash Equivalents, at Carrying Value, Including Discontinued Operations | us-gaap_CashAndCashEquivalentsAtCarryingValueIncludingDiscontinuedOperations | $ 51,740,000 |