Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2015shares | |
Document And Entity Information [Abstract] | |
Document Type | 20-F |
Amendment Flag | false |
Document Period End Date | Dec. 31, 2015 |
Document Fiscal Year Focus | 2,015 |
Document Fiscal Period Focus | FY |
Trading Symbol | NTP |
Entity Registrant Name | NAM TAI PROPERTY INC. |
Entity Central Index Key | 829,365 |
Current Fiscal Year End Date | --12-31 |
Entity Well-known Seasoned Issuer | No |
Entity Current Reporting Status | Yes |
Entity Filer Category | Accelerated Filer |
Entity Common Stock, Shares Outstanding | 36,699,572 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Statement [Abstract] | |||
Rental income | $ 2,978 | $ 2,341 | $ 136 |
Rental expense | (1,949) | (1,073) | (68) |
Net rental income | 1,029 | 1,268 | 68 |
Costs and expenses | |||
General and administrative expenses | (13,862) | (13,417) | (7,465) |
Total costs and expenses | (13,862) | (13,417) | (7,465) |
Operating loss | (12,833) | (12,149) | (7,397) |
Other income (expenses), net | (7,389) | (2,379) | 6,339 |
Interest income | 8,054 | 9,173 | 4,939 |
Interest expenses | (360) | (61) | |
Income (loss) before income tax | $ (12,528) | (5,416) | 3,881 |
Income tax recovery | 1,378 | ||
Income (loss) from continuing operations, net of income tax | $ (12,528) | (5,416) | 5,259 |
Loss from discontinued operations, net of income tax | (630) | (20,172) | (4,962) |
Consolidated net income (loss) attributable to Nam Tai Property Inc. shareholders | (13,158) | (25,588) | 297 |
Other comprehensive income | 0 | 0 | 0 |
Consolidated comprehensive income (loss) attributable to Nam Tai Property Inc. shareholders | $ (13,158) | $ (25,588) | $ 297 |
Basic earnings (loss) per share: | |||
Basic earnings (loss) per share from continuing operations | $ (0.31) | $ (0.12) | $ 0.12 |
Basic loss per share from discontinued operations | (0.01) | (0.46) | (0.11) |
Basic earnings (loss) per share | (0.32) | (0.58) | 0.01 |
Diluted earnings (loss) per share: | |||
Diluted earnings (loss) per share from continuing operations | (0.31) | (0.12) | 0.12 |
Diluted loss per share from discontinued operations | (0.01) | (0.46) | (0.11) |
Diluted earnings (loss) per share | $ (0.32) | $ (0.58) | $ 0.01 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Current assets: | ||
Cash and cash equivalents | $ 157,371 | $ 212,760 |
Short term investments | 49,983 | 85,295 |
Prepaid expenses and other receivables | 3,366 | 5,100 |
Finance lease receivable-current | 1,403 | 4,294 |
Assets held for sale | 20,254 | 22,881 |
Current assets of discontinued operations | 106 | 630 |
Total current assets | 232,483 | 330,960 |
Property, plant and equipment, net | 26,830 | 25,945 |
Finance lease receivable-non current | 1,048 | |
Land use rights | 11,562 | 9,645 |
Other assets | 605 | 155 |
Total assets | 271,480 | 367,753 |
Current liabilities: | ||
Short term bank borrowing | 40,000 | 40,000 |
Accrued expenses and other payables | 2,819 | 7,219 |
Dividend payable | 2,936 | 3,409 |
Current liabilities of discontinued operations | 160 | 173 |
Total current liabilities | $ 5,915 | $ 50,801 |
Commitments and contingencies (Note 16) | ||
Equity: | ||
Common shares ($0.01 par value-authorized 200,000,000 shares, issued and outstanding 42,618,322 and 36,699,572 shares as at December 31, 2014 and 2015, respectively) | $ 367 | $ 426 |
Additional paid-in capital | 243,280 | 274,276 |
Retained earnings | 26,343 | 42,258 |
Accumulated other comprehensive loss | (4,425) | (8) |
Total shareholders' equity | 265,565 | 316,952 |
Total liabilities and equity | $ 271,480 | $ 367,753 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Common shares, par value | $ 0.01 | $ 0.01 |
Common shares, authorized | 200,000,000 | 200,000,000 |
Common shares, issued | 36,699,572 | 42,618,322 |
Common shares, outstanding | 36,699,572 | 42,618,322 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Loss |
Balance at Dec. 31, 2012 | $ 362,792 | $ 448 | $ 287,602 | $ 74,750 | $ (8) |
Balance (in shares) at Dec. 31, 2012 | 44,803,735 | ||||
Shares issued on exercise of options (in shares) | 469,000 | 469,000 | |||
Shares issued on exercise of options | $ 2,598 | $ 5 | 2,593 | ||
Stock-based compensation expenses | 1,536 | 1,536 | |||
Consolidated net income (loss) | 297 | 297 | |||
Cash dividends declared ($0.08 per share) | (3,622) | (3,622) | |||
Cash dividend paid | (211) | (211) | |||
Balance at Dec. 31, 2013 | $ 363,390 | $ 453 | 291,731 | 71,214 | (8) |
Balance (in shares) at Dec. 31, 2013 | 45,272,735 | ||||
Shares issued on exercise of options (in shares) | 15,000 | 15,000 | |||
Shares issued on exercise of options | $ 89 | 89 | |||
Cancellation of shares | (17,880) | $ (27) | (17,853) | ||
Cancellation of shares (in shares) | (2,669,413) | ||||
Stock-based compensation expenses | 309 | 309 | |||
Consolidated net income (loss) | (25,588) | (25,588) | |||
Cash dividends declared ($0.08 per share) | (3,409) | (3,409) | |||
Cash dividend reversal | 41 | 41 | |||
Balance at Dec. 31, 2014 | $ 316,952 | $ 426 | 274,276 | 42,258 | (8) |
Balance (in shares) at Dec. 31, 2014 | 42,618,322 | ||||
Shares issued on exercise of options (in shares) | 600,000 | 600,000 | |||
Shares issued on exercise of options | $ 3,996 | $ 6 | 3,990 | ||
Cancellation of shares | (36,736) | $ (65) | (36,671) | ||
Cancellation of shares (in shares) | (6,518,750) | ||||
Stock-based compensation expenses | 1,685 | 1,685 | |||
Consolidated net income (loss) | (13,158) | (13,158) | |||
Cash dividends declared ($0.08 per share) | (2,936) | (2,936) | |||
Cash dividend reversal | 179 | 179 | |||
Accumulated other comprehensive loss | (4,417) | (4,417) | |||
Balance at Dec. 31, 2015 | $ 265,565 | $ 367 | $ 243,280 | $ 26,343 | $ (4,425) |
Balance (in shares) at Dec. 31, 2015 | 36,699,572 |
Consolidated Statements of Cha6
Consolidated Statements of Changes in Shareholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Statement of Stockholders' Equity [Abstract] | |||
Cash dividends declared, per share | $ 0.08 | $ 0.08 | $ 0.08 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Cash flows from operating activities: | |||
Consolidated net income (loss) | $ (13,158) | $ (25,588) | $ 297 |
Adjustments to reconcile consolidated net income (loss) to net cash provided by operating activities: | |||
Depreciation and amortization | 4,173 | 4,596 | 21,355 |
Reversal of inventories | (526) | ||
Reversal of goods return | (402) | ||
Provision for (reversal of) bad debts | (2,152) | 2,158 | |
(Gain) loss on disposal of property, plant and equipment | (33) | 1,506 | (3,096) |
Gain on disposal of idle property, plant and equipment | (106) | (447) | (1,352) |
Loss on disposal of other assets | 366 | ||
Impairment loss on fixed assets and land use rights | 19,136 | 34,955 | |
Gain on derivative financial instruments | (580) | ||
Share-based compensation expenses | 1,685 | 309 | 1,536 |
Loss on liquidation of a subsidiary | 235 | ||
Unrealized exchange (gain) loss | 1,470 | 5,778 | (2,087) |
Decrease in deferred income taxes | 4,498 | ||
Changes in current assets and liabilities: | |||
Decrease in accounts receivable | 73,031 | 82,633 | |
Decrease in inventories | 30,493 | 25,671 | |
Decrease in prepaid expenses and other receivables | 1,723 | 3,072 | 21,656 |
Decrease in income tax recoverable | 169 | ||
Decrease in notes payable | (4,273) | ||
Decrease in accounts payable | (95,303) | (92,137) | |
Decrease in accrued expenses and other payables | (4,536) | (21,781) | (8,891) |
Decrease in income tax payable | (3,010) | (143) | |
Total adjustments | 4,376 | 15,228 | 81,745 |
Net cash provided by (used in) operating activities | (8,782) | (10,360) | 82,042 |
Cash flows from investing activities: | |||
Purchase of property, plant and equipment and land use rights | (2,349) | (1,663) | (3,653) |
Increase in deposits for purchase of property, plant and equipment | (469) | (48) | |
Cash received from derivative financial instruments | 679 | ||
Proceeds from disposal of property, plant and equipment and other assets | 1,716 | 22,672 | 9,752 |
Proceeds from disposal of idle property, plant and equipment | 106 | 447 | 1,352 |
Cash received from finance lease receivable | 3,840 | 3,566 | 3,228 |
(Increase) decrease in short term investments | 35,167 | 116,270 | (151,741) |
Net cash (used in) provided by investing activities | 38,011 | 141,244 | (140,383) |
Cash flows from financing activities: | |||
Cash dividends paid | (3,230) | (3,581) | (27,093) |
Proceeds from shares issued on exercise of options | 3,996 | 89 | 2,598 |
Share repurchase program | (36,704) | (17,561) | |
Repayment of trust receipt loans | (3,558) | ||
Proceeds from short term bank borrowing | 92,432 | 40,000 | |
Repayment of short term bank borrowing | (132,432) | (4,824) | |
Net cash (used in) provided by financing activities | (75,938) | 18,947 | (32,877) |
Net (decrease) increase in cash and cash equivalents | (46,709) | 149,831 | (91,218) |
Cash and cash equivalents at beginning of year | 212,760 | 68,707 | 157,838 |
Effect of exchange rate changes on cash and cash equivalents | (8,680) | (5,778) | 2,087 |
Cash and cash equivalents at end of year | 157,371 | 212,760 | 68,707 |
Supplemental schedule of cash flow information: | |||
Interest paid | 413 | 8 | 97 |
Income taxes paid | 143 | 10,232 | |
Non-cash investing activities: | |||
Decrease in construction in progress funded through accrued expenses and other payables | $ (173) | $ (241) | $ (3,342) |
Company Information
Company Information | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Company Information | 1. Company Information Prior to complete cessation of our electronic manufacturing and design services business in April 2014, Nam Tai Property Inc. and subsidiaries (the “Company” or “Nam Tai”) was an electronics manufacturing and design services provider to a selected group of the world’s leading original equipment manufacturers, or OEMs, of telecommunication and consumer electronic products. Through its electronics manufacturing services operations, the Company manufactured electronic components and sub-assemblies, including Flexible Printed Circuit Board (“FPCB”), FPCB subassemblies, Thin Film Transistor display (TFT-LCD) modules, image sensors modules and printed circuit board assemblies. These components, modules and subassemblies were used in numerous electronic products including mobile phones, digital cameras, electronic toys, and automobile. The Company also manufactured finished products, including mobile phone accessories and home entertainment products. The Company was founded in 1975 and moved its manufacturing facilities to the People’s Republic of China (“PRC”) in 1980 to take advantage of lower overhead costs, lower material costs and competitive labor rates available and subsequently relocated to Shenzhen, PRC in order to capitalize on opportunities offered in Southern PRC. The Company was reincorporated as a limited liability International Business Company under the laws of the British Virgin Islands (“BVI”) in August 1987 (which was amended in 2004 as The British Virgin Islands Business Companies Act, 2004). The Company’s principal manufacturing and design operations were based in Shenzhen, approximately 30 miles from Hong Kong. Its PRC headquarters were located in Shenzhen. Some of the subsidiaries’ offices were located in Hong Kong, which provide them access to Hong Kong’s infrastructure of communication and banking facilities. The Company’s principal manufacturing operations were conducted in the PRC. The PRC resumed sovereignty over Hong Kong effective July 1, 1997, and, politically, Hong Kong was an integral part of the PRC. However, for simplicity and as a matter of definition only, our references to PRC in these consolidated financial statements mean the PRC and all of its territories excluding Hong Kong. In 2011, the Company operated in two reportable segments –Telecommunication Components Assembly (“TCA”) and Consumer Electronics and Communication Products (“CECP”). In 2012, the CECP segment fell below the threshold and it was combined with the TCA segment. The Company’s business was then separated into TCA and Flexible Printed Circuit (“FPC”) segments. Since the first quarter of 2013, the FPC segment has been discontinued and only one TCA segment still existed. In 2014, TCA segment has been discontinued in the first quarter of 2014. Since April 2014, we ceased our liquid crystal display modules (“LCM”) manufacturing business and turned our focus to re-developing two parcels of land in Gushu and Guangming, Shenzhen, China, by converting these two parcels of land that formally housed our manufacturing facilities into high-end commercial complexes. We believe our principal income in the future will be derived from rental income from our commercial complexes. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. Summary of Significant Accounting Policies (a) Principles of consolidation The consolidated financial statements include the financial statements of the Company and all of its subsidiaries. The Company consolidates companies in which it has controlling interest of over 50%. All significant intercompany accounts, transactions and cash flows have been eliminated on consolidation. (b) Cash and cash equivalents Cash and cash equivalents include all cash balances and certificates of deposit having a maturity date of three months or less upon acquisition. (c) Short-term investments Short-term investments as of December 31, 2015 consisted of time deposits of more than three months and not exceeding twelve months duration held in commercial banks of $49,983 (2014: $85,295). (d) Finance lease receivable Finance lease receivable is derived from sales of property, plant and equipment and is comprised of the minimum lease payments due on the direct financial lease. From April 1, 2012, monthly interest income has been recognized in other income (expenses), net in the consolidated statement of comprehensive income based on principal balance of $14,000 at an annual interest rate of 10%. (e) Assets held for sale Long-lived assets or asset groups that are part of a disposal group that meets the criteria to be classified as held for sale are not assessed for impairment but rather if fair value, less cost to sell, of the disposal group is less than its carrying value a loss is recorded against the disposal group. A loss of $19,035 was recognized to write down assets held for sale to their fair values in 2014. No provision was recognized to write down assets held for sale to their fair values in 2015. (f) Provision for bad debts Accounts receivable balance is recorded net of provision for amounts not expected to be collected from customers. Because the accounts receivable are typically unsecured, the Company periodically evaluates the collectability of accounts based on a combination of factors, including a particular customer’s ability to pay as well as the age of the receivables. To evaluate a specific customer’s ability to pay, the Company analyzes financial statements, payment history, third-party credit analysis reports and various information or disclosures by the customer or other publicly available information. In cases where the evidence suggests a customer may not be able to satisfy its obligation to the Company, a specific provision would be set up for the perceived risk. If the financial condition of customers deteriorates, resulting in an impairment of their ability to make payments, additional allowances may be required. No provision for bad debt was made in the year ended December 31, 2015, and during the year ended December 31, 2014, we have written back provision for accounts receivable of $2,152 due to the recovery of accounts receivable previously written off, compared to provision of $2,148 in the year ended December 31, 2013. (g) Property, plant and equipment and land use rights Property, plant and equipment and land use rights are recorded at cost and include interest on funds borrowed to finance construction, if applicable. The cost of major improvements and betterments is capitalized whereas the cost of maintenance and repairs is expensed in the year incurred. Assets under construction are not depreciated until construction is completed and the assets are ready for their intended use. Gains and losses from the disposal of property, plant and equipment and land use rights are included in the consolidated statement of comprehensive income. The majority of the land in Hong Kong is owned by the government of Hong Kong which leases the land at public auction to non-governmental entities. All of the Company’s leasehold lands in Hong Kong have leases of not more than 50 years from the respective balance sheet dates. The cost of such leasehold land is amortized on a straight-line basis over the respective terms of the leases. All land in other regions of the PRC is owned by the PRC government. The government in the PRC, according to PRC law, may sell the right to use the land for a specified period of time. Thus, all of the Company’s land purchases in the PRC are considered to be leasehold land and are classified as land use rights in the consolidated balance sheet. They are amortized on a straight-line basis over the respective term of the right to use the land. The Company computed depreciation expenses using the straight-line method over the following estimated useful lives: Classification Years Land use rights Lease term or up to 50 years Buildings 20 years Machinery and equipment 4 years Leasehold improvements shorter of lease term or 4 years Furniture and fixtures 4 years Motor vehicle 4 years (h) Impairment or disposal of long-lived assets Long-lived assets other than goodwill are included in impairment evaluations when events and circumstances exist that indicate the carrying value of these assets may not be recoverable. In accordance with FASB ASC 360 “ Property, Plant and Equipment Long-lived assets to be disposed of are stated at the lower of fair value and carrying value. Expected future operating losses from discontinued operations are recorded in the periods in which the losses are incurred. In 2013, management assessed and determined that there were no events or changes in circumstances to indicate that the carrying amount of long-lived assets used in Shenzhen facilities were not recoverable and there were no impairment tests conducted with respect to those assets. In 2014, the Company assessed the impairment of its long-lived assets used in Shenzhen, by comparing the undiscounted cash flows with the carrying amounts of the assets. The results indicated the carrying amounts of the Company’s long-lived assets at December 31, 2014 were less than the undiscounted cash flows. In 2015, the Company assessed the impairment of its long-lived assets used in Shenzhen, by comparing external appraisals obtained from independent valuation firms with the carrying amounts of the assets. The results indicated the carrying amounts of the Company’s long-lived assets at December 31, 2015 were less than external appraisals obtained from independent valuation firms. A loss of $34,955 and $19,035 was recognized to write down the long-lived assets to their fair values upon reclassification to assets held for sale in 2013 and 2014, respectively. In 2015, no additional impairment loss was recognized to write down the long-lived assets to their fair values upon reclassification to assets held for sale. (i) Accruals and provisions for loss contingencies The Company makes provisions for all loss contingencies when information available prior to the issuance of the consolidated financial statements indicates that it is probable that an asset has been impaired or a liability has been incurred at the date of the consolidated financial statements and the amount of loss can be reasonably estimated. For provisions or accruals related to litigation, the Company makes provisions based on information from legal counsels and the best estimation of management. The Company assesses the potential liability for the significant legal proceedings in accordance with FASB ASC 450 “ Contingencies” (j) Revenue recognition The Company generates revenue from fixed income real-estate derived from its buildings held through its subsidiaries in Shenzhen. Rental income includes minimum rents which are recognized on an accrual basis over the terms of the related leases on a straight-line basis. Lease revenue recognition commences when the lessee is given possession of the leased space and there are no contingencies offsetting the lessee’s obligation to pay rent. The Company recognizes revenue from sales of products when all of the following conditions are met: • Persuasive evidence of an arrangement exists; • Delivery has occurred or services have been rendered; • Price to the customer is fixed or determinable; and • Collectability is reasonably assured. Revenue from sales of products is recognized when the title is passed to customers upon shipment and when collectability is reasonably assured. The Company does not provide its customers with the right of return (except for quality), price protection, rebates or discounts. There are no customer acceptance provisions associated with the Company’s products, except for quality. All sales are based on firm customer orders with fixed terms and conditions, which generally cannot be modified. (k) Staff retirement plan costs The Company’s costs related to the staff retirement plans (see Note 13) are charged to the consolidated statement of comprehensive income as incurred. (l) Income taxes Deferred income taxes are provided using the asset and liability method in accordance with FASB ASC 740 “ Income Taxes FASB ASC 740 clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements, and prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. It also provides accounting guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. Interest and penalties from tax assessments, if any, are included in income taxes in the consolidated statement of comprehensive income. (m) Foreign currency transactions and translations All transactions in currencies other than functional currencies during the year are translated at the exchange rates prevailing on the respective transaction dates. Monetary assets and liabilities existing at the balance sheet date denominated in currencies other than functional currencies are remeasured at the exchange rates existing on that date. Exchange differences are recorded in the consolidated statement of comprehensive income. The functional currencies of the Company and its subsidiaries include the Renminbi, U.S. dollar and the Hong Kong dollar. Effective from April 1, 2015, the Company’s subsidiaries in China changed their functional currency from U.S. dollar to Renminbi. This change was made upon the progress of the property development projects in China causing the Company’s subsidiaries primary operating activities to be in Renminbi and making the Renminbi the currency of the economic environment in which the entities primarily generate and expend cash. The financial statements of all subsidiaries are translated in accordance with FASB ASC 830 “ Foreign Currency Matters Our financial statements and other financial data included in this annual report are presented in U.S. dollars. Our business and operations are primarily conducted in China through our PRC subsidiaries. The functional currency of our PRC subsidiaries is Renminbi. The financial statements of our PRC subsidiaries are translated into U.S. dollars, using published exchange rates from banks in China, based on (i) year-end exchange rates or the rates of exchange ruling at the balance sheet date for assets and liabilities and (ii) average yearly exchange rates for income and expense items. Capital accounts are translated at historical exchange rates when the transactions occurred. The effects of foreign currency translation adjustments are included as a component of accumulated other comprehensive income (loss) in our shareholders’ equity. We make no representation that any Renminbi or U.S. dollar amounts could have been, or could be, converted into U.S. dollar or Renminbi, as the case may be, at any particular rate or at all. (n) Earnings per share Basic earnings per share is computed by dividing net income attributable to common shareholders by the weighted average number of common shares outstanding during the year. Diluted earnings per share gives effect to all dilutive potential common shares outstanding during the year. The weighted average number of common shares outstanding is adjusted to include the number of additional common shares that would have been outstanding if the dilutive potential common shares had been issued. (o) Stock options The Company has two stock-based employee compensation plans, as more fully described in Note 11(b). The Company measures the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award. That cost is recognized over the period during which an employee is required to provide service, the requisite service period (usually the vesting period), in exchange for the award. The grant-date fair value of employee share options and similar instruments are estimated using option-pricing models. If the award is modified after the grant date, incremental compensation cost is recognized in an amount equal to the excess of the fair value of the modified award over the fair value of the original award immediately before the modification. (p) Use of estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant items subject to such estimates and assumptions include provision for bad debts, deferred income tax assets, share-based compensation, useful lives of property, plant and equipment and intangible assets, and recovery of the carrying amounts of long-lived assets, assets held for sale and intangible assets. (q) Comprehensive loss Accumulated other comprehensive loss represents principally foreign currency translation adjustments and is included in the consolidated statement of changes in equity. (r) Fair value The Company follows FASB ASC 820 “ Fair Value Measurements and Disclosures Fair value is estimated by applying the following hierarchy, which prioritizes the inputs used to measure fair value into three levels and based the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement: Level 1 Level 2 Level 3 The carrying amounts of cash and cash equivalents, short term investment, other receivables, assets held for sale, accrued expenses and other payables, short term bank borrowing, and dividend payable approximate their fair values due to the short term nature of these instruments. The fair value of the Company’s assets held for sale is detailed in Note 4. As of December 31, 2014 and 2015, the Company did not have any non financial assets and liabilities that are recognized or disclosed at fair value in the consolidated financial statements, at least annually, on a recurring basis. (s) Leases Leases have been classified as either capital or operating leases. Leases that transfer substantially all the benefits and risks incidental to the ownership of assets are accounted for as if there was an acquisition of an asset and incurrence of an obligation at the inception of the lease. All other leases are accounted for as operating leases wherein rental payments are expensed as incurred. When the Company is the lessor, minimum contractual rental from leases are recognized on a straight-line basis over the noncancelable term of the lease. With respect to a particular lease, actual amounts billed in accordance with the lease during any given period may be higher or lower than the amount of rental revenue recognized for the period. Straight-line rental revenue commences when the customer assumes control of the leased premises. Accrued straight-line rents receivable represents the amount by which straight-line rental revenue exceeds rents currently billed in accordance with lease agreements. Contingent rental revenue is accrued when the contingency is removed. (t) Concentration of risk The Company’ s potential significant concentration of credit risk primarily consist of cash and cash equivalents and short term investments which are held by financial institutions in the PRC and international financial institutions outside of the PRC. As of December 31, 2015, the Company has $207,354 in cash and cash equivalents, short term investments which are held by financial institutions in the PRC and international financial institutions outside of the PRC, respectively. PRC state-owned banks are subject to a series of risk control regulatory standards, and PRC bank regulatory authorities are empowered to take over the operation and management when any of those faces a material credit crisis. The Company does not foresee substantial credit risk with respect to cash and cash equivalents and short term investments held at the PRC state-owned banks. Meanwhile, China does not have an official deposit insurance program, nor does it have an agency similar to the Federal Deposit Insurance Corporation in the United States. There is uninsured for cash, cash equivalents and short term investments as at December 31, 2015. In the event of bankruptcy of one of the financial institutions in which the Company has deposits or investments, it may be unlikely to recover its deposits or investments back in full. Overall, the real estate market in China has shown signs of continuous slow down. The Company’s results of operations are affected by a wide variety of factors, including changing economic, political, industry, business and financial conditions; lack of experience handling the real estate development projects; the process of applying for the redevelopment of Gushu land with the Government bodies, the demand for our real estate properties, and operating mainly in the PRC. Accordingly, the Company’s business, financial condition and results of operations are primarily influenced by the political, economic, legal environments and foreign currency exchange in the PRC and by the general state of the PRC economy and may be adversely affected by changes in the political and social conditions in the PRC, and by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion and remittance abroad, and rates and methods of taxation. As a result, the Company may experience significant fluctuations in future operating results due to the factors mentioned above. These fluctuations may result in volatility in our share price. All the Company’s land development related applications are subject to government policies and regulations in the real estate market. However, the Company cannot assure that it will obtain all the necessary approvals in accordance with its timetable. Furthermore, as this is the Company’s first venture into land development projects after the cessation of the LCM business, the Company may encounter industry-specific difficulties that result in losses as it is in the progress with development projects in Shenzhen. The Company currently derives a majority of its income from rental and interest income. Any future reductions in the official cash deposit interest rates in China and Hong Kong could adversely impact its income and the total cash on hand will gradually reduce as more funds are being used for land development related expenditures for the land in Gushu and Guangming, Shenzhen. Certain transactions of the Company are denominated in Renminbi, which is not freely convertible into foreign currencies. All foreign exchange transactions take place either through the Peoples Bank of China (“PBOC”) or other banks authorized to buy and sell foreign currencies at the exchange rates quoted by the PBOC. Approval of foreign currency payments by the PBOC or other institutions requires submitting a payment application form together with suppliers’ invoices, shipping documents and signed contracts. (u) Recent changes in accounting standards In April 2015, the FASB issued ASU 2015-06, Earnings Per Share In November 2015, the FASB issued ASU 2015-17, Income Taxes In January 2016, the FASB issued ASU 2016-01, Financial Instruments—Overall In February 2016, the FASB issued ASU 2016-02, Lease (Subtopic 842): This Update to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. For public business entities, this Update is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The Company is evaluating the new pronouncement to determine the impact it may have to its consolidated financial statements. |
Finance Lease Receivable
Finance Lease Receivable | 12 Months Ended |
Dec. 31, 2015 | |
Leases [Abstract] | |
Finance Lease Receivable | 3. Finance Lease Receivable Contractual maturities on finance lease receivable are $1,403 which will be received up to April 2016. |
Assets Held for Sale
Assets Held for Sale | 12 Months Ended |
Dec. 31, 2015 | |
Text Block [Abstract] | |
Assets Held for Sale | 4. Assets Held for Sale The Company fully discontinued its production in Wuxi by the end of June 2013 due to sustained losses generated from FPC production and a lack of customers for LCM for tablets. The Company is seeking potential buyer for all its long-lived assets related to FPC production since June 2013, hence these assets were classified as assets held for sale in 2013. During 2014, $16,316 of long-lived assets was reclassified to assets held for sale, $19,035 additional impairment loss has been made on the production machineries because management assessed that the market value was lower than the net book value. No additional impairment loss was made on the asset held for sale in 2015. $19,823 of assets held for sale was disposed with the consideration of $19,725 and a loss of $98 included in loss from discontinued operations in the year of 2014. $1,670 of assets held for sale was disposed with the consideration of $1,703 and a gain of $33 which is included in loss from discontinued operations in the year of 2015. Assets held for sale are comprised of the following: At December 31, 2014 2015 At net book value: Land $ 2,053 $ 364 Buildings 18,434 17,613 Machinery and equipment 25 24 Leasehold improvements 2,343 2,239 Others 26 14 Total $ 22,881 $ 20,254 |
Property, Plant and Equipment,
Property, Plant and Equipment, net | 12 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment, net | 5. Property, Plant and Equipment, net Property, plant and equipment, net consist of the following: At December 31, 2014 2015 At cost: Buildings $ 54,618 $ 66,582 Machinery and equipment 50 397 Leasehold improvements 335 1,802 Furniture and fixtures — 23 Motor vehicles 80 227 Total 55,083 69,031 Less: accumulated depreciation (30,481 ) (45,602 ) 24,602 23,429 Construction in progress 1,343 3,401 Net book value $ 25,945 $ 26,830 Depreciation expenses were $351, $1,609 and $2,129 for the years ended December 31, 2013, 2014 and 2015, respectively. The Company has entered into an operating lease contract with a third party with respect to certain buildings with the carrying amount as shown below: At December 31, 2014 2015 Buildings at cost $ 25,155 $ 31,843 Less: accumulated depreciation (12,231 ) (16,682 ) Buildings, net $ 12,924 $ 15,161 At December 31, 2015, scheduled minimum rental payments to be received for buildings leased to others were: Years ending December 31, Minimum rental received 2016 $ 2,644 2017 881 Total $ 3,525 |
Investments in Subsidiaries
Investments in Subsidiaries | 12 Months Ended |
Dec. 31, 2015 | |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | |
Investments in Subsidiaries | 6. Investments in Subsidiaries Subsidiaries Place of Principal Percentage of Ownership as 2014 2015 Consolidated principal subsidiaries: Nam Tai Electronic & Electrical Products Limited (“NTEEP”) Cayman Islands Investment holding 100 % 100 % Nam Tai Holdings Limited (“NTHL”) BVI Investment holding 100 % 100 % Nam Tai Group Management Limited (“NTGM”) Hong Kong Inactive 100 % 100 % Nam Tai Telecom (Hong Kong) Company Limited (“NTT”) Hong Kong Inactive 100 % 100 % Nam Tai Trading Company Limited (“NTTC”) (1) Hong Kong In liquidation — — J.I.C. Enterprises (HK) Ltd. (“JICE”) (2) Hong Kong Dissolved 100 % — Namtai Investment (Shenzhen) Co., Ltd. (“NTISZ”) PRC Investment holding 100 % 100 % Zastron Electronic (Shenzhen) Co., Ltd. (“Zastron Shenzhen”) PRC Property 100 % 100 % Wuxi Zastron Precision-Flex Co., Ltd. (“Wuxi Zastron-Flex”) PRC Inactive 100 % 100 % (1) NTTC is in liquidation and the Joint and Several Liquidators confirmed that all assets of NTTC have been taken over by the Joint and Several Receivers in January 2013. (2) JICE was dissolved on April 2, 2015. |
Retained Earnings and Reserves
Retained Earnings and Reserves | 12 Months Ended |
Dec. 31, 2015 | |
Text Block [Abstract] | |
Retained Earnings and Reserves | 7. Retained Earnings and Reserves The Company’s retained earnings are not restricted as to the payment of dividends except to the extent dictated by prudent business practices. The Company believes that there are no material restrictions, including foreign exchange controls, on the ability of its non-PRC subsidiaries to transfer surplus funds to the Company in the form of cash dividends, loans, advances or purchases. With respect to the Company’s PRC subsidiaries, there are restrictions on the payment of dividends and the distribution of dividends from the PRC. On March 16, 2007, the PRC promulgated the Law of the PRC on Enterprise Income Tax (the “New Law”) by Order No. 63 of the President of the PRC. Please refer to Note 15 for further details of the New Law. The New Law became effective from January 1, 2008. Prior to the enactment of the New Law, when dividends were paid by the Company’s PRC subsidiaries, such dividends would reduce the amount of reinvested profits and accordingly, the refund of taxes paid might be reduced to the extent of tax applicable to profits not reinvested. Subsequent to the enactment of the New Law, due to the removal of tax benefit related to reinvestment of capital in PRC subsidiaries, the Company may not reinvest the profits made by the PRC subsidiaries. Payment of dividends by PRC subsidiaries to foreign investors on profits earned subsequent to January 1, 2008 will also be subject to withholding tax under the New Law. In addition, pursuant to the relevant PRC regulations, a certain portion of the profits made by these subsidiaries must be set aside for future capital investment and are not distributable, and the registered capital of the Company’s PRC subsidiaries are also restricted. These reserves and registered capital of the PRC subsidiaries amounted to $343,719 and $347,977 as of December 31, 2014 and 2015, respectively. However, the Company believes that such restrictions will not have a material effect on the Company’s liquidity or cash flows. |
Accrued Expenses and Other Paya
Accrued Expenses and Other Payables | 12 Months Ended |
Dec. 31, 2015 | |
Text Block [Abstract] | |
Accrued Expenses and Other Payables | 8. Accrued Expenses and Other Payables Accrued expenses and other payables consisted of the following: At December 31, 2014 2015 Accrued salaries and benefits $ 4,723 $ 487 Accrued professional fees 1,162 1,515 Construction payable and others 169 185 Advance received from customers 793 632 Interest payable 372 — $ 7,219 $ 2,819 |
Bank Loans and Banking Faciliti
Bank Loans and Banking Facilities | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Bank Loans and Banking Facilities | 9. Bank Loans and Banking Facilities The Company has credit facilities with various banks representing notes payable, trade acceptances, import facilities, revolving loans and overdrafts. At December 31, 2014 and 2015, these facilities totaled $40,645 and $90,000, of which $645 and $90,000 were unused at December 31, 2014 and 2015, respectively. The banking facility with limited guarantee from the subsidiaries of NTISZ and Zastron Shenzhen at December 31, 2015 will mature, with an option for renewal, in 2016. Bank loan of $40,000 with the annual interest rate of 1.5354% and a term of one year borrowed from the Hongkong and Shanghai Banking Corporation Limited (“HSBC”) was fully repaid on May 28, 2015. On June 26, 2015, the Company borrowed $55,000 with the annual interest rate of 1.23425% from the HSBC and it was fully repaid on August 26, 2015. On July 8, 2015, the Company borrowed $35,000 with the annual interest rate of 1.2311% from the HSBC and it was fully repaid on September 8, 2015. Interest rates are generally based on the banks’ usual lending rates in Hong Kong or the PRC and the credit lines are normally subject to annual review. |
Discontinued Operations
Discontinued Operations | 12 Months Ended |
Dec. 31, 2015 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | 10. Discontinued Operations In 2013, the Company decided to exit its FPC operation by the end of March 2013 as it had been generating losses since initial production, and production operation of LCM for tablets ended at the end of June 2013 due to a lack of customer orders. These productions were located primarily in Wuxi. In 2014, after the final evaluation on the viability of its core operations of LCM production, the Company decided to formally discontinue its core business of LCM production in Shenzhen by the end of April 2014 due to a major customer’s repeated and continuous changes in its formal purchasing orders without suitable commitment. Upon the cessation of our LCM manufacturing business in April 2014, we have formally transformed our core business from the engineering manufacturing services (EMS) industry to property development and management. As a result, $16,316 long-lived assets related to EMS production were reclassified to assets held for sale in 2014. No additional long-lived asset was reclassified to assets held for sale in 2015. Assets of $22,881 and $20,254 have been included in assets held for sale (Note 4) as at December 31, 2014 and 2015, respectively, which are expected to be sold by 2017. Summarized financial information for our discontinued operations is as follows: 2013 2014 2015 Net sales 902,933 53,236 — Income (loss) before income tax 11,219 (20,029 ) (630 ) Income tax expense (16,181 ) (143 ) — Loss from discontinued operations, net of income tax (4,962 ) (20,172 ) (630 ) Prepaid expense and other receivables 138 106 Property, plant and equipment, net 492 — Total assets 630 106 Accrued expenses and other payables 173 160 Total liabilities 173 160 Net assets (liabilities) of discontinued operations 457 (54 ) |
Equity
Equity | 12 Months Ended |
Dec. 31, 2015 | |
Equity [Abstract] | |
Equity | 11. Equity (a) The Company has only one class of common shares authorized, issued and outstanding. (b) Stock Options In May 2001 (and amended in July 2004 and in November 2006), the Board of Directors approved a stock option plan which allows for the grant of 15,000 options to each non-employee director of the Company elected at each annual general meeting of shareholders, and might grant options to key employees, consultants or advisors of the Company or any of its subsidiaries to subscribe for its shares in accordance with the terms of this stock option plan based on past performance and/or expected contributions to the Company. The maximum number of shares to be issued pursuant to the exercise of options granted was 3,300,000 shares. The options granted under this plan generally have a term of two to three years, subject to the discretion of the Board of Directors, but cannot exceed ten years. In February 2006, the Board of Directors approved another stock option plan, which was subsequently approved by the shareholders at the 2006 annual general meeting of shareholders, with the same terms and conditions. However, the maximum number of shares to be issued pursuant to exercise of options granted was 2,000,000 shares. In April 2012, the Board of Directors approved the grant of stock options to employees of the Company. The number of stock options to be granted will range from 277,000 to 831,000, which is determined by achievement of a 6% to 10% return on total shareholders’ equity as at December 31, 2011 in the 9 month period from April 1, 2012 to December 31, 2012. 415,500 and 328,500 of share options were granted and immediately vested in January 2013 and June 2014 respectively. The share based compensation expenses of $502 and $156 were booked in 2013 and 2014 respectively. In April 2013, 600,000 of share options were granted to a director and were immediately vested upon granting. The share based compensation expense of $921 was booked in 2013 accordingly. In January 2015, the Board of Directors approved the extension of exercisable period of 159,000 stock options out of 831,000 stock options included in the stock option grant which had been approved in April 2012. The exercisable period of stock options was extended by two years from April 26, 2015 to April 24, 2017. The share based compensation expense of $170 was booked in 2015 accordingly. In June 2015, 75,000 of share options were granted to directors and were immediately vested upon granting. The share based compensation expense of $141 was booked in 2015 accordingly. In April, October, November and December 2015, 776,869 share options were granted to a director and employees of the Company. The share based compensation costs of $1,374 was booked in 2015 accordingly. A summary of stock option activity during the three years ended December 31, 2015 is as follows: Number of Weighted Weighted Outstanding and exercisable at January 1, 2013 1,623,000 $ 5.97 $ 1.29 Granted 60,000 $ 7.50 $ 1.88 Exercised (469,000 ) $ 5.54 $ 1.13 Expired (30,000 ) $ 4.45 $ 1.58 Outstanding and exercisable at December 31, 2013 1,184,000 $ 6.26 $ 1.62 Granted 60,000 $ 8.05 $ 2.55 Exercised (15,000 ) $ 5.92 $ 1.87 Expired (53,500 ) $ 5.93 $ 1.68 Outstanding and exercisable at December 31, 2014 1,175,500 $ 6.37 $ 1.66 Granted 851,869 $ 7.53 $ 1.78 Exercised (600,000 ) $ 6.66 $ 1.98 Expired (296,500 ) $ 5.60 $ 1.09 Outstanding and exercisable at December 31, 2015 1,130,869 $ 7.29 $ 1.68 Aggregate intrinsic value represents the value of the Company’s closing stock price on the last trading day of the fiscal period in excess of the weighted-average exercise price multiplied by the number of options outstanding or exercisable. Details of the options outstanding and exercisable at December 31, 2015 are as follows: Number of options Vesting period Exercise Exercisable period Weighted In 2012 159,000 vested in 2014 $ 5.63 June 1, 2014 to April 24, 2017* 15.8 In 2013 60,000 100% vested at date of grant $ 7.50 May 31, 2013 to May 31, 2016 5.0 In 2014 60,000 100% vested at date of grant $ 8.05 June 6, 2014 to June 5, 2017 17.2 In 2015 50,000 100% vested at date of grant $ 3.97 April 14, 2015 to April 13, 2018 27.4 75,000 100% vested at date of grant $ 5.33 June 5, 2015 to June 4, 2018 29.1 631,869 100% vested at date of grant $ 8.00 October 30, 2015 to October 29, 2020 58.0 30,000 100% vested at date of grant $ 8.00 November 2, 2015 to October 29, 2020 58.0 15,000 100% vested at date of grant $ 8.00 December 1, 2015 to October 29, 2020 58.0 50,000 100% vested at date of grant $ 8.00 December 17, 2015 to October 29, 2020 58.0 * Exercisable period modified in 2015 There was approximately $201, $10 and nil, respectively, of unrecognized compensation expense related to non-vested stock options granted under the Company’s option plan at December 31, 2013, 2014 and 2015. The total amount of recognized compensation costs in 2013, 2014 and 2015 was $1,536, $309 and $1,685, respectively. The above summarizes information about stock options outstanding at December 31, 2015. 1,130,869 stock options are exercisable as of December 31, 2015. The total fair value of shares vested during fiscal years ended December 31, 2013, 2014 and 2015 was $1,765, $153 and $1,515, respectively. The weighted average remaining contractual life of the stock options outstanding at December 31, 2013, 2014 and 2015 was approximately 22, 12 and 44 months, respectively. The weighted average fair value of options granted during 2013, 2014 and 2015 was $1.88, $2.55 and $1.78, respectively, using the Black-Scholes option-pricing model based on the following assumptions: Year ended December 31, 2013 2014 2015 Risk-free interest rate 0.52 % 0.86 % 0.85% to 1.73% Expected life 3 years 3 years 3 years to 5 years Expected volatility 52.36 % 58.86 % 49.50% to 55.94% Expected dividend yield 5.87 % 4.22 % 1.35% to 2.02% (c) Share Buy-back As of December 31, 2014, 2,669,413 common shares had been bought back from the open market at the prevailing market price under our stock repurchase program announced on May 7, 2014 and cancelled in November 28, 2014. The average repurchase price was $6.56 for share repurchase program in 2014. As of December 31, 2015, 3,000,000 common shares had been bought back from the open market at a purchase price of $5.50 under our cash tender offer announced on April 28, 2015 and expiring on May 29, 2015 and 3,518,750 common shares had been bought back from the open market at a purchase price of $5.50 under our cash tender offer announced on August 3, 2015 and expiring on September 4, 2015. The share repurchase program was conducted in accordance with Rule 10b-18 of the Securities and Exchange Act of 1934. |
Earnings (Loss) Per Share
Earnings (Loss) Per Share | 12 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) Per Share | 12. Earnings (Loss) Per Share The calculations of basic earnings (loss) per share and diluted earnings (loss) per share are computed as follows: Income Weighted Per Year ended December 31, 2013 Basic earnings per share from continuing operations $ 5,259 45,222,532 $ 0.12 Basic loss per share from discontinued operations $ (4,962 ) 45,222,532 $ (0.11 ) Basic earnings per share $ 297 45,222,532 $ 0.01 Effect of dilutive securities — Stock options 470,318 Diluted earnings per share from continuing operations $ 5,259 45,692,850 $ 0.12 Diluted loss per share from discontinued operations $ (4,962 ) 45,692,850 $ (0.11 ) Diluted earnings per share $ 297 45,692,850 $ 0.01 Income Weighted Per Year ended December 31, 2014 Basic loss per share from continuing operations $ (5,416 ) 44,409,526 $ (0.12 ) Basic loss per share from discontinued operations $ (20,172 ) 44,409,526 $ (0.46 ) Basic loss per share $ (25,588 ) 44,409,526 $ (0.58 ) Effect of dilutive securities — Stock options — Diluted loss per share from continuing operations $ (5,416 ) 44,409,526 $ (0.12 ) Diluted loss per share from discontinued operations $ (20,172 ) 44,409,526 $ (0.46 ) Diluted loss per share $ (25,588 ) 44,409,526 $ (0.58 ) Income Weighted Per Year ended December 31, 2015 Basic loss per share from continuing operations $ (12,528 ) 40,548,784 $ (0.31 ) Basic loss per share from discontinued operations $ (630 ) 40,548,784 $ (0.01 ) Basic loss per share $ (13,158 ) 40,548,784 $ (0.32 ) Effect of dilutive securities — Stock options — Diluted loss per share from continuing operations $ (12,528 ) 40,548,784 $ (0.31 ) Diluted loss per share from discontinued operations $ (630 ) 40,548,784 $ (0.01 ) Diluted loss per share $ (13,158 ) 40,548,784 $ (0.32 ) |
Staff Retirement Plans
Staff Retirement Plans | 12 Months Ended |
Dec. 31, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Staff Retirement Plans | 13. Staff Retirement Plans The Company operates a Mandatory Provident Fund (“MPF”) scheme for all qualifying employees in Hong Kong. The MPF is defined contribution scheme and the assets of the scheme are managed by trustees independent of the Company. The MPF is available to all employees aged 18 to 64 and with at least 60 days of service under the employment of the Company in Hong Kong. Contributions are made by the Company at 5% based on the staff’s relevant income. The maximum relevant income for contribution purposes per employee is $4 per month. Eligible staff members are entitled to 100% of the Company’s contributions together with accrued returns irrespective of their length of service with the Company, but the benefits are required by law to be preserved until the retirement age of 65 for employees in Hong Kong. According to the applicable laws and regulations in the PRC, the Company is required to contribute 13%-14% and 20% of the stipulated salary set by the local governments of Shenzhen and Wuxi, respectively. The principal obligation of the Company with respect to these retirement benefit schemes is to make the required contributions under the scheme. No forfeited contributions may be used by the employer to reduce the existing level of contributions. The cost of the Company’s contribution to the staff retirement plans in Hong Kong and the PRC amounted to $2,545, $402 and $149 for the years ended December 31, 2013, 2014 and 2015, respectively. |
Other income (expenses), net
Other income (expenses), net | 12 Months Ended |
Dec. 31, 2015 | |
Other Income and Expenses [Abstract] | |
Other income (expenses), net | 14. Other income (expenses), net Year ended December 31, 2013 2014 2015 Foreign exchange income (loss), net $ 2,528 $ (3,690 ) $ (8,678 ) Interest income from finance lease receivable 979 656 303 Gain on disposal of idle property, plant and equipment 1,352 447 106 Others 1,480 208 880 $ 6,339 $ (2,379 ) $ (7,389 ) |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 15. Income Taxes The components of income before income tax are as follows: Year ended December 31, 2013 2014 2015 PRC, excluding Hong Kong $ 5,078 $ 812 $ 53 Hong Kong and other jurisdictions (1,197 ) (6,228 ) (12,581 ) $ 3,881 $ (5,416 ) $ (12,528 ) The Company’s income is not subject to taxation in BVI under the current BVI law. Subsidiaries operating in Hong Kong and the PRC are subject to income taxes as described below. Under the current BVI law, NTHL is not subject to profit tax in the BVI. However, it may be subject to Hong Kong income taxes as described below if it has income earned in or derived from Hong Kong. The provision for current income taxes of the subsidiaries operating in Hong Kong has been calculated by applying the rate of taxation of 16.5% for the years ended December 31, 2013, 2014 and 2015 to the estimated income earned in or derived from Hong Kong during the respective years, if applicable. The provision for current income taxes of the subsidiaries operating in PRC has been calculated by applying the rate of taxation of 25% for the years ended December 31, 2013, 2014 and 2015. Our subsidiary in Wuxi, China, is granted a 5-year tax benefit. According to the PRC tax regulation, “Guo Shui Fa (2007) No. 39” issued in 2007, Wuxi Zastron-Flex is entitled to full exemption for the first two years starting 2008 and 50% exemption for the following three years. Accordingly, from January 2013, Wuxi Zastron-Flex has one uniform tax rate of 25%. The Company, which has subsidiaries that are tax resident in the PRC, will be subject to the PRC dividend withholding tax of 5%, commencing on January 1, 2008, when and if undistributed earnings are declared to be paid as dividends commencing on January 1, 2008 to the extent those dividends are paid out of profits that arose on or after January 1, 2008. For the years ended December 31, 2013, 2014 and 2015, there was no income tax expense for the 5% dividend withholding tax on the balance of distributable earnings that arose on or after January 1, 2008 within its PRC subsidiaries. In line with management’s decision to change the core business, management decided to retain the undistributed earnings in the PRC. As such, the deferred tax liabilities of $1,378 made in previous years have been reversed in 2013. Uncertainties exist with respect to how the PRC’s current income tax law applies to the Company’s overall operations, and more specifically, with regard to tax residency status. The New Law includes a provision specifying that legal entities organized outside of the PRC will be considered residents for PRC income tax purposes if their place of effective management or control is within PRC. The Implementation Rules to the New Law provide that non-resident legal entities will be considered PRC residents if substantial and overall management and control over the manufacturing and operations, personnel, accounting, properties, etc. occurs within the PRC. Additional guidance is expected to be released by the PRC government in the near future that may clarify how to apply this standard to taxpayers. Despite the present uncertainties resulting from the limited PRC tax guidance on the issue, the Company does not believe that its legal entities organized outside of the PRC should be treated as residents for the New Law’s purposes. If one or more of the Company’s legal entities organized outside of the PRC were characterized as PRC tax residents, the impact would adversely affect the Company’s results of operation. The Company has made its assessment of each tax position (including the potential application of interest and penalties) based on the technical merits, and has measured the unrecognized tax benefits associated with the tax positions. Based on the evaluation by the Company, it is concluded that there are no significant uncertain tax positions requiring recognition in the consolidated financial statements. The Company classifies interest and/or penalties related to unrecognized tax benefits as a component of income tax provisions; however, during the years ended December 31, 2013, 2014 and 2015, there were no interest and penalties related to uncertain tax positions, and the Company had no material unrecognized tax benefit which would favorably affect the effective income tax rate in future periods. The Company does not anticipate any significant increases or decreases to its liability for unrecognized tax benefit within the next twelve months. Other than the audit by the Hong Kong tax authorities as described below, the tax positions for the years 2011 to 2015 may be subject to examination by the PRC and Hong Kong tax authorities. Tax Disputes with Hong Kong Inland Revenue Department Since the fourth quarter of 2007, several of our inactive subsidiaries have been involved in tax disputes relating to tax years 1996 and later years with the Inland Revenue Department of Hong Kong, or HKIRD, the income tax authority of the Hong Kong Government. These disputes are discussed sequentially below. (1) NTTC (a) In October 2007, the HKIRD issued an assessment Determination against Nam Tai Trading Company Limited (“NTTC”), a limited liability company incorporated in Hong Kong and an indirect wholly-owned subsidiary of the Company. This assessment relates to four tax years from 1996/1997 to 1999/2000. The taxes assessed in this proceeding amount to approximately $2,900. (b) In addition to the assessment Determination of October 2007, in May 2008, the HKIRD issued a writ against NTTC claiming taxes in the amount of approximately $3,000 for the taxable years from 1997/1998 to 2000/2001, partially overlapping the taxes against NTTC assessed by HKIRD in its assessment Determination of October 2007. Nam Tai’s defense was struck out by the District Court in Hong Kong. According to advice from Senior Counsel in Hong Kong, the Court of Appeal was unlikely to disturb the findings of the District Court. Therefore, NTTC decided not to pursue an appeal against the decision of the District Court. (c) Furthermore, from May to November 2010, the HKIRD issued three separate writs against NTTC claiming taxes and interests on unpaid taxes, in the amount of approximately $900, $1,100 and $120 for the taxable years from 1996/1997 to 2003/2004, from 1996/1997, 1998/1999 and 1999/2000, and from 1996/1997 to 1999/2000, respectively. NTTC did not contest these proceedings, judgments were thus entered against NTTC. (d) As a result of the proceedings stated in paragraphs (b) – (c) above, the HKIRD petitioned to the High Court of Hong Kong for a winding-up order against NTTC for the overdue judgment sums on June 10, 2011. The petition was heard in the High Court of Hong Kong on March 13, 2012 before Deputy High Court Judge Tam, S.C. The Court handed down the Judgment and made a winding-up order on June 4, 2012 against NTTC. (e) NTTC is in liquidation and the Joint and Several Liquidators confirmed that all assets of NTTC have been taken over by the Joint and Several Receivers in January 2013. As the Company did not have a controlling financial interest on NTTC after it was taken over by the Joint and Several Receivers, so the financial statements of NTTC have not been included in the consolidated financial statements of the Company subsequent to the 2012 Form-20F, in accordance with the procedures set out in ASC 810-10-15-10. (2) NTGM (a) The HKIRD has also made estimated assessments against Nam Tai Group Management Limited (“NTGM”), another wholly-owned subsidiary of Nam Tai, which has been inactive since 2005. This assessment, which relates to the tax years of 2001 and 2002, is in the amount of approximately $172, including interest allegedly due thereon. On December 17, 2008, the Hong Kong tax authorities issued a Writ of Summons through the District Court in Hong Kong claiming against NTGM the amount of $172 as taxes allegedly due and payable, together with interest, to the Hong Kong tax authorities for the fiscal years 2001 to 2002. NTGM filed its defense on January 29, 2009, but on February 17, 2009, HKIRD filed papers seeking to strike out NTGM’s defense. As NTGM’s defense was similar to the defense of NTTC and Senior Counsel had advised that NTTC’s defense was not arguable before the Court, NTGM accordingly agreed with HKIRD to allow Judgment to be entered against NTGM by consent. (b) (i) On February 8, 2011, HKIRD issued a writ against NTGM claiming taxes in the amount of approximately $855 for the taxable years 2001/2002 to 2003/2004. NTGM filed a Defense to this action. The hearing of the action took place on September 6, 2011. The judgment was handed down on September 29, 2011 with the Defense being struck out and judgment was thus entered against NTGM. (ii) The taxation process is completed. The total taxed costs as certified by the Registrar are approximately $5 plus post-judgment interest. (c) NTGM has received demand letters from the HKIRD demanding payments of the judgment debts mentioned in paragraphs 2(a) and (b) above. (d) On December 30, 2015, HKIRD issued a latest demand letter to NTGM demanding total payment of $1,098. NTGM is a limited liability company incorporated in Hong Kong. NTGM had a net deficit position as of December 31, 2015 and the Company has no funding obligation towards NTGM. As a result, the liability from the HKIRD demand letter has no impact on the Company. Therefore, the amount claimed by HKIRD was not recorded as a liability in the consolidated financial statements of the Company. (3) NTT (a) On September 14, 2009, the HKIRD issued a writ against Nam Tai Telecom (Hong Kong) Company Limited (“NTT”), a dormant subsidiary of the Company, claiming taxes in the amount of approximately $337 for the taxable year 2002/2003. Judgment has been entered against NTT. (b) (i) On February 17, 2011, HKIRD issued a writ against NTT claiming taxes in the amount of approximately $34 for the taxable year 2002/2003. NTT filed a Defense to this action. The hearing of this action was heard together with the case of NTGM as discussed in paragraph (2) (b) above on September 6, 2011. Similarly, the judgment was handed down on September 29, 2011 with the Defense being struck out and judgment was thus entered against NTT. (ii) The taxation process is completed. The total taxed costs as certified by the Registrar are approximately $5 plus post-judgment interest. (c) NTT has received demand letters from the HKIRD demanding payments of judgment debts mentioned in paragraphs 3(a) and (b) above. (d) On October 15, 2015, HKIRD issued a demand letter to NTT demanding total payment of $392. NTT is a limited liability company incorporated in Hong Kong. NTT had a net deficit position as of December 31, 2015 and the Company has no funding obligation towards NTT. As a result, the liability from the HKIRD demand letter has no impact on the Company. Therefore, the amount claimed by HKIRD was not recorded as a liability in the consolidated financial statements of the Company. (4) Expected Dispositions of Tax Disputes with Inactive or Dormant Subsidiaries HKIRD has not accepted the explanations that it was necessary for these subsidiaries to perform their individual functions for the whole Nam Tai group and therefore the management fees paid by the Company by contract to support and finance all the necessary overhead expenses of these subsidiaries (not located in Hong Kong) to contribute to the operations representing the administration and finance departmental functions from Vancouver, Canada for the whole group under the corporate structure at that time were not regarded as necessary expenses by HKIRD. Since it is believed that it will be difficult for these subsidiaries to continue cooperating with HKIRD in the future, if the Company discontinues financing these subsidiaries, they will be forced to liquidate in due course. As these subsidiaries do not conduct any operations and have been inactive or dormant for some time, and have either assets of limited book-value or no assets, Nam Tai believes that there should be no material impact from these proceeding on the Company’s financial condition, liquidity or results of operations. Accordingly, no provision has been made regarding these assessments in Nam Tai’s consolidated financial statements. (5) Notices of Alleged Personal Liability for Additional Taxes Against Former Directors and Officers for Signing NTTC’s Tax Returns In addition to the legal cases against the inactive or dormant subsidiaries of the Company discussed above, in January 2011, the HKIRD issued two Notices of intention to assess additional taxes separately and personally against two former directors and officers of NTTC in the amounts of approximately $1,540 for the taxable years 1996/1997 and 1999/2000 and $667 for the taxable year 1997/1998 (“the Notices”). The taxable years involved in the controversy date from 18 years ago and initial advice received from the Company’s tax advisor is that it is very rare for tax authorities to seek to attach personal liability on directors in this situation. The two former directors and officers to whom the Notices have been directed signed the tax returns for and on behalf of NTTC and the HKIRD has by its Notices sought to hold them personally liable for additional taxes (by way of penalty) purportedly on the basis that the relevant tax returns of NTTC were incorrect and contained omissions and understatements in violation of the Inland Revenue Ordinance, the governing tax law of Hong Kong. The Company and former directors deny that any of NTTC’s tax return filings were incorrect or contained omissions and understatements in violation of the Inland Revenue Ordinance and believe that no incorrect tax return was ever filed. On April 26, 2013, the Commissioner issued three Notices of Assessment and Demand for Additional Tax against the two former directors in the total amount of approximately $2,323 (the “Assessment Notices”), assessing one of them to additional tax by way of penalty in the sum of approximately $1,626 (approximately $826 in respect of the year 1996/1997 and approximately $800 in respect of the year 1999/2000) and assessing the other former director to additional tax by way of penalty in the sum of approximately $697 in respect of the year 1997/1998. The two former directors lodged an appeal to the Board of Review of the HKIRD against the Assessment Notices (the “BOR Appeal”) on May 24, 2013. On May 27, 2013, according to Company Indemnity Policy, the Company paid on behalf of the two former directors the additional tax as required under the Assessment Notices. Since the Closing of the hearing of the Board of Review held on 6 March 2015, there have been no further developments. Nam Tai maintains a Directors’ and Officers’ Liability Insurance for certain claims or liabilities that may arise by reason of the status or service of its directors and officers (“the Policy”). Nam Tai has informed the insurance carriers of the Policy about the HKIRD’s Notices against NTTC’s two former directors. So far, the insurance carriers have raised no objection to the Notices constituting a claim under the terms of the Policy and have reimbursed Nam Tai for the legal costs and other expenses incurred by Nam Tai for defending the Notices. After the Additional Assessment Notices had been issued, the Insurers were informed of the same. The Insurers refused to reimburse for the additional tax under the Additional Assessment Notices and the associated legal costs and expenses incurred in both the BOR Appeal and an appeal to the Court of Appeal of the HKIRD against the Assessment Notices (the “CA Appeal”). Therefore, NTP and the two former directors have commenced arbitration against the Insurers under the Policy on October 18, 2013 by issuing a Notice of Arbitration to claim for reimbursement of the additional tax and the legal costs and expenses of both the BOR Appeal and the CA Appeal. The insurers filed their Response to Notice of Arbitration on December 24, 2013. All arbitrators have been appointed and the Arbitration hearing was heard from July 20 to July 24, 2015. On December 28 2015, the Company has been updated by our external legal counsel that the Partial Final Award on Costs & Final Award on Interest have been granted. Furthermore, the Tribunal in the Partial award on cost held that Nam Tai has to pay for the respondents’ costs for the period from February 11, 2014 up to the date of the award. It is estimated the total costs of $1,032 has been accrued for the year of 2015. Nam Tai renewed a new Directors’ and Officers’ Liability Insurance Policy with its current insurer for the year 2015 and 2016. Accordingly, no provision has been made regarding these assessments in Nam Tai’s consolidated financial statements. The current and deferred components of the income tax expense appearing in the consolidated statements of income are as follows: Year ended December 31, 2013 2014 2015 Current tax $ — $ — $ — Deferred tax 1,378 — — $ 1,378 $ — $ — The Company’s deferred tax assets and liabilities as of December 31, 2014 and 2015 are attributable to the following: December 31, 2014 2015 Net operating losses $ 10,125 $ 6,609 Property, plant and equipment — 123 Total deferred tax assets 10,125 6,732 Less: valuation allowance (10,125 ) (6,732 ) Deferred tax assets — — Net deferred tax assets $ — $ — Movement of valuation allowance: December 31, 2013 2014 2015 At beginning of the year $ 5,316 $ 5,960 $ 10,125 Current year addition (deduction) 644 4,165 (3,393 ) At end of the year $ 5,960 $ 10,125 $ 6,732 The valuation allowance as of December 31, 2013, 2014 and 2015 was related to deferred tax assets generated by net operating losses carried forward that, in the judgment of management, more likely than not will not be realized. In assessing the reliability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will be realized. The ultimate realization of deferred tax assets depends on the generation of future taxable income in which those temporary differences become deductible. During the year ended December 31, 2014, the movement of valuation allowance was $4,165 which included $307 from continuing operations and $3,858 from discontinued operations. During the year ended December 31, 2015, the movement of valuation allowance was $3,393 derived from the taxable profit of continuing operations. As of December 31, 2013, 2014 and 2015 the Company had net operating losses of $23,285, $23,289 and $29,057, respectively, which may be carried forward indefinitely. As of December 31, 2015, the Company had net operating losses from continuing operations of $4,011, $3,813, $12,820 and $694, which will expire in the years ending December 31, 2016, 2017, 2019 and 2020, respectively. A reconciliation of the income tax expense to the amount computed by applying the current tax rate to the income (loss) before income taxes in the consolidated statements of comprehensive income is as follows: Year ended December 31, 2013 2014 2015 Income (loss) before income taxes $ 3,881 $ (5,416 ) $ (12,528 ) PRC tax rate 25 % 25 % 25 % Tax loss (income tax expense) at PRC tax rate on income before income tax $ (970 ) $ 1,354 $ 3,132 Effect of difference between Hong Kong and PRC tax rates applied to Hong Kong income (487 ) (694 ) (478 ) Change in valuation allowance (644 ) (307 ) 3,393 Reversal of deferred tax liability on withholding tax on undistributed profits of PRC subsidiaries 1,378 — — Tax benefit (expense) arising from items which are not assessable (deductible) for tax purposes: Non-deductible and non-taxable items 1,850 (471 ) (6,335 ) Others 251 118 288 Income tax (expense) credit $ 1,378 $ — $ — No income tax arose in the United States of America in any of the periods presented. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 16. Commitments and Contingencies (a) Commitments Our contractual obligations, including purchase commitments under non-cancelable arrangements as of December 31, 2015, are summarized below. We do not participate in, or secure financing for, any unconsolidated limited purpose entities. Payments due by period Total 2016 2017 2018 Contractual Obligations Capital commitments 4,290 2,236 1,393 661 Total $ 4,290 $ 2,236 $ 1,393 $ 661 (b) Significant legal proceedings Other than as disclosed in Note 15, there is no other significant legal proceeding as of December 31, 2015. |
Operating leases as lessor
Operating leases as lessor | 12 Months Ended |
Dec. 31, 2015 | |
Leases [Abstract] | |
Operating leases as lessor | 17. Operating leases as lessor On March 25, 2014, the Company entered into an operating lease agreement to lease out certain of its buildings located in Shenzhen. The lease term is 3 years from May 1, 2014 to April 30, 2017. The minimum lease payments to be received in the next two years are detailed in Note 5. |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2015 | |
Segment Reporting [Abstract] | |
Segment Information | 18. Segment Information The Chief Operating Decision Makers are identified as the Chief Executive Officer and Chief Financial Officer. They review these segment results when making decisions about allocating resources and assessing the performance of the Company. In 2012, the CECP segment fell below the threshold and it was combined with the TCA segment. The Company’s business was then separated into TCA and FPC segments. Since the first quarter of 2013, the FPC segment was discontinued and only one TCA segment still existed. In 2014, the TCA segment was discontinued in the first quarter of 2014, accordingly there was no segment information to be disclosed for the years of 2013, 2014 and 2015 in accordance with FASB ASC 280-10-50-34. A summary of net income (loss) attributable to Nam Tai shareholders and long-lived assets by geographical areas is as follows: Year ended December 31, 2013 2014 2015 Rental income from property within: - PRC, excluding Hong Kong: $ 136 $ 2,341 $ 2,978 Net income (loss) from continuing operations, net of income tax within: - PRC, excluding Hong Kong $ 6,456 $ 812 $ 53 - Hong Kong (1,197 ) (6,228 ) (12,581 ) Total net income (loss) from continuing operations, net of income tax $ 5,259 $ (5,416 ) $ (12,528 ) As of December 31, 2014 2015 Long-lived assets by geographical area: - PRC, excluding Hong Kong $ 31,897 $ 34,935 - Hong Kong 3,693 3,457 Total long-lived assets $ 35,590 $ 38,392 |
Employee Severance Benefits
Employee Severance Benefits | 12 Months Ended |
Dec. 31, 2015 | |
Text Block [Abstract] | |
Employee Severance Benefits | 19. Employee Severance Benefits After the final evaluation on the viability of its core business of LCM production, the Company decided to discontinue its core business of LCM production in Shenzhen by the end of April 2014 due to a major customer’s repeated and continuous changes in its formal purchasing orders without suitable commitment. The employee severance benefits in 2014 amounted to $103, which were recorded as general and administrative expenses and $92 were recorded in loss from discontinued operations. The balance of the employee severance benefits was paid in 2015. The employee severance benefits were as follows: 2014 2015 Provision for employee severance benefits: Balance at January 1 $ 11,003 $ 104 Provision for the year 195 — Payments during the year (11,094 ) (104 ) Balance at December 31 $ 104 $ — |
SCHEDULE 1
SCHEDULE 1 | 12 Months Ended |
Dec. 31, 2015 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
SCHEDULE 1 | SCHEDULE 1 NAM TAI PROPERTY INC. STATEMENTS OF COMPREHENSIVE INCOME (In thousands of U.S. dollars) Year ended December 31, 2013 2014 2015 General and administrative expenses* $ (2,073 ) $ (715 ) $ (6,579 ) Other income (expense), net 12,215 (135,374 ) (8,204 ) Interest income on loan to a subsidiary 5,005 — — Interest income 2,626 4,732 3,856 Interest expense — (61 ) (360 ) Income (loss) before income tax 17,773 (131,418 ) (11,287 ) Income tax expenses — — — Income (loss) before share of net profits of subsidiaries, net of income tax 17,773 (131,418 ) (11,287 ) Share of net (losses) profits subsidiaries, net of income tax (17,476 ) 105,830 (1,871 ) Net income (loss) attributable to Nam Tai shareholders $ 297 $ (25,588 ) $ (13,158 ) Other comprehensive income — — — Comprehensive income (loss) attributable to Nam Tai shareholders $ 297 $ (25,588 ) $ (13,158 ) * Amount of share-based compensation expense included in general and administrative expenses $ 1,536 $ 309 $ 1,685 SCHEDULE 1 NAM TAI PROPERTY INC. BALANCE SHEETS (In thousands of U.S. dollars) December 31, 2014 2015 ASSETS Current assets: Cash and cash equivalents $ 56,099 $ 31,387 Short term investments 73,505 48,752 Prepaid expenses and other receivables 4,026 2,566 Amounts due from subsidiaries 10,037 153,463 Total current assets 143,667 236,168 Property, plant and equipment, net 3,693 3,457 Investments in subsidiaries 234,545 228,257 Total assets $ 381,905 $ 467,882 LIABILITIES AND SHAREHOLDERS’ EQUITY Current liabilities: Accrued expenses and other payables $ 881 $ 1,409 Dividend payable 3,409 2,936 Bank loan 40,000 — Amounts due to subsidiaries 20,663 157,347 Total current liabilities 64,953 161,692 Long term loan — 40,625 Total liabilities $ 64,953 $ 202,317 Shareholders’ equity: Common shares ($0.01 par value—authorized 200,000,000 shares, issued and outstanding 42,618,322 and 36,699,572 shares as at December 31, 2014 and 2015, respectively) 426 367 Additional paid-in capital 274,276 243,280 Retained earnings 42,258 26,343 Accumulated other comprehensive loss (8 ) (4,425 ) Total shareholders’ equity 316,952 265,565 Total liabilities and shareholders’ equity $ 381,905 $ 467,882 SCHEDULE 1 NAM TAI PROPERTY INC. STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY (In thousands of U.S. dollars, except share and per share data) Common Common Additional Retained Accumulated Total Balance at January 1, 2013 44,803,735 $ 448 $ 287,602 $ 74,750 $ (8 ) $ 362,792 Shares issued on exercise of options 469,000 5 2,593 — — 2,598 Stock-based compensation expenses — — 1,536 — — 1,536 Net income — — — 297 — 297 Cash dividends declared ($0.08 per share) — — — (3,622 ) — (3,622 ) Cash dividends paid — — — (211 ) — (211 ) Balance at December 31, 2013 45,272,735 $ 453 $ 291,731 $ 71,214 $ (8 ) $ 363,390 Shares issued on exercise of options 15,000 — 89 — — 89 Cancellation of shares (2,669,413 ) (27 ) (17,853 ) — — (17,880 ) Stock-based compensation expenses 309 309 Net loss — — — (25,588 ) — (25,588 ) Cash dividends declared ($0.08 per share) — — — (3,409 ) — (3,409 ) Cash dividends reversal — — — 41 — 41 Balance at December 31, 2014 42,618,322 $ 426 $ 274,276 $ 42,258 $ (8 ) $ 316,952 Shares issued on exercise of options 600,000 6 3,990 — — 3,996 Cancellation of shares (6,518,750 ) (65 ) (36,671 ) — — (36,736 ) Stock-based compensation expenses 1,685 1,685 Net loss — — — (13,158 ) — (13,158 ) Cash dividends declared ($0.08 per share) — — — (2,936 ) — (2,936 ) Cash dividends reversal — — — 179 — 179 Accumulated other comprehensive loss — — — — (4,417 ) (4,417 ) Balance at December 31, 2015 36,699,572 $ 367 $ 243,280 $ 26,343 $ (4,425 ) $ 265,565 SCHEDULE 1 NAM TAI PROPERTY INC. STATEMENTS OF CASH FLOWS (In thousands of U.S. dollars) Year ended December 31, 2013 2014 2015 Cash flows from operating activities: Net income (loss) attributable to Nam Tai shareholders $ 297 $ (25,588 ) $ (13,158 ) Adjustments to reconcile net income attributable to Nam Tai shareholders to net cash provided by operating activities: Share of net losses (profits) of subsidiaries, net of taxes 17,476 (105,830 ) 1,871 Depreciation 111 — 237 Share-based compensation expenses 1,536 309 1,685 Cancellation of loan and interest owing by subsidiary — 133,354 — Changes in current assets and liabilities: (Increase) decrease in prepaid expenses and other receivables (2,553 ) (1,197 ) 1,460 (Decrease) increase in accrued expenses and other payables (929 ) 53 496 Net cash provided by operating activities $ 15,938 $ 1,101 $ (7,409 ) Cash flows from investing activities: Purchase of property, plant and equipment — — (1 ) (Increase) decrease in short term investment (15,793 ) (8,530 ) 24,753 (Increase) decrease in amounts due from subsidiaries (3,683 ) 4,046 (6,742 ) Net cash used in investing activities $ (19,476 ) $ (4,484 ) $ 18,010 Cash flows from financing activities: Proceeds from a long term loan of a subsidiary — — 40,625 Proceeds from short term bank borrowing — 40,000 92,432 Repayment of short term bank borrowing — — (132,432 ) Share repurchase program — (17,561 ) (36,704 ) Dividend paid (27,093 ) (3,581 ) (3,230 ) Proceeds from options exercise 2,598 89 3,996 Net cash (used in) provided by financing activities $ (24,495 ) $ 18,947 $ (35,313 ) Net (decrease) increase in cash and cash equivalents (28,033 ) 15,564 (24,712 ) Cash and cash equivalents at beginning of year 68,568 40,535 56,099 Cash and cash equivalents at end of year $ 40,535 $ 56,099 $ 31,387 SCHEDULE 1 NAM TAI PROPERTY INC. NOTE TO SCHEDULE 1 (in thousands of U.S. dollars) Schedule 1 has been provided pursuant to the requirements of Rule 12-04(a) and 4-08(e)(3) of Regulation S-X, which require condensed financial information as to financial position, changes in financial position and results and operations of a parent company as of the same dates and for the same periods for which audited consolidated financial statements have been presented when the restricted net assets of the consolidated and unconsolidated subsidiaries together exceed 25% of consolidated net assets as of the end of the most recently completed fiscal year. As of December 31, 2015, $347,977 of the restricted capital and reserves are not available for distribution, and as such, the condensed financial information of the Company has been presented for the years ended December 31, 2013, 2014 and 2015. During the years ended December 31, 2013, 2014 and 2015, no cash dividend was declared and paid by subsidiaries to the Company. |
Summary of Significant Accoun28
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Principles of consolidation | (a) Principles of consolidation The consolidated financial statements include the financial statements of the Company and all of its subsidiaries. The Company consolidates companies in which it has controlling interest of over 50%. All significant intercompany accounts, transactions and cash flows have been eliminated on consolidation. |
Cash and cash equivalents | (b) Cash and cash equivalents Cash and cash equivalents include all cash balances and certificates of deposit having a maturity date of three months or less upon acquisition. |
Short-term investments | (c) Short-term investments Short-term investments as of December 31, 2015 consisted of time deposits of more than three months and not exceeding twelve months duration held in commercial banks of $49,983 (2014: $85,295). |
Finance lease receivable | (d) Finance lease receivable Finance lease receivable is derived from sales of property, plant and equipment and is comprised of the minimum lease payments due on the direct financial lease. From April 1, 2012, monthly interest income has been recognized in other income (expenses), net in the consolidated statement of comprehensive income based on principal balance of $14,000 at an annual interest rate of 10%. |
Assets held for sale | (e) Assets held for sale Long-lived assets or asset groups that are part of a disposal group that meets the criteria to be classified as held for sale are not assessed for impairment but rather if fair value, less cost to sell, of the disposal group is less than its carrying value a loss is recorded against the disposal group. A loss of $19,035 was recognized to write down assets held for sale to their fair values in 2014. No provision was recognized to write down assets held for sale to their fair values in 2015. |
Provision for bad debts | (f) Provision for bad debts Accounts receivable balance is recorded net of provision for amounts not expected to be collected from customers. Because the accounts receivable are typically unsecured, the Company periodically evaluates the collectability of accounts based on a combination of factors, including a particular customer’s ability to pay as well as the age of the receivables. To evaluate a specific customer’s ability to pay, the Company analyzes financial statements, payment history, third-party credit analysis reports and various information or disclosures by the customer or other publicly available information. In cases where the evidence suggests a customer may not be able to satisfy its obligation to the Company, a specific provision would be set up for the perceived risk. If the financial condition of customers deteriorates, resulting in an impairment of their ability to make payments, additional allowances may be required. No provision for bad debt was made in the year ended December 31, 2015, and during the year ended December 31, 2014, we have written back provision for accounts receivable of $2,152 due to the recovery of accounts receivable previously written off, compared to provision of $2,148 in the year ended December 31, 2013. |
Property, plant and equipment and land use rights | (g) Property, plant and equipment and land use rights Property, plant and equipment and land use rights are recorded at cost and include interest on funds borrowed to finance construction, if applicable. The cost of major improvements and betterments is capitalized whereas the cost of maintenance and repairs is expensed in the year incurred. Assets under construction are not depreciated until construction is completed and the assets are ready for their intended use. Gains and losses from the disposal of property, plant and equipment and land use rights are included in the consolidated statement of comprehensive income. The majority of the land in Hong Kong is owned by the government of Hong Kong which leases the land at public auction to non-governmental entities. All of the Company’s leasehold lands in Hong Kong have leases of not more than 50 years from the respective balance sheet dates. The cost of such leasehold land is amortized on a straight-line basis over the respective terms of the leases. All land in other regions of the PRC is owned by the PRC government. The government in the PRC, according to PRC law, may sell the right to use the land for a specified period of time. Thus, all of the Company’s land purchases in the PRC are considered to be leasehold land and are classified as land use rights in the consolidated balance sheet. They are amortized on a straight-line basis over the respective term of the right to use the land. The Company computed depreciation expenses using the straight-line method over the following estimated useful lives: Classification Years Land use rights Lease term or up to 50 years Buildings 20 years Machinery and equipment 4 years Leasehold improvements shorter of lease term or 4 years Furniture and fixtures 4 years Motor vehicle 4 years |
Impairment or disposal of long-lived assets | (h) Impairment or disposal of long-lived assets Long-lived assets other than goodwill are included in impairment evaluations when events and circumstances exist that indicate the carrying value of these assets may not be recoverable. In accordance with FASB ASC 360 “ Property, Plant and Equipment Long-lived assets to be disposed of are stated at the lower of fair value and carrying value. Expected future operating losses from discontinued operations are recorded in the periods in which the losses are incurred. In 2013, management assessed and determined that there were no events or changes in circumstances to indicate that the carrying amount of long-lived assets used in Shenzhen facilities were not recoverable and there were no impairment tests conducted with respect to those assets. In 2014, the Company assessed the impairment of its long-lived assets used in Shenzhen, by comparing the undiscounted cash flows with the carrying amounts of the assets. The results indicated the carrying amounts of the Company’s long-lived assets at December 31, 2014 were less than the undiscounted cash flows. In 2015, the Company assessed the impairment of its long-lived assets used in Shenzhen, by comparing external appraisals obtained from independent valuation firms with the carrying amounts of the assets. The results indicated the carrying amounts of the Company’s long-lived assets at December 31, 2015 were less than external appraisals obtained from independent valuation firms. A loss of $34,955 and $19,035 was recognized to write down the long-lived assets to their fair values upon reclassification to assets held for sale in 2013 and 2014, respectively. In 2015, no additional impairment loss was recognized to write down the long-lived assets to their fair values upon reclassification to assets held for sale. |
Accruals and provisions for loss contingencies | (i) Accruals and provisions for loss contingencies The Company makes provisions for all loss contingencies when information available prior to the issuance of the consolidated financial statements indicates that it is probable that an asset has been impaired or a liability has been incurred at the date of the consolidated financial statements and the amount of loss can be reasonably estimated. For provisions or accruals related to litigation, the Company makes provisions based on information from legal counsels and the best estimation of management. The Company assesses the potential liability for the significant legal proceedings in accordance with FASB ASC 450 “ Contingencies” |
Revenue recognition | (j) Revenue recognition The Company generates revenue from fixed income real-estate derived from its buildings held through its subsidiaries in Shenzhen. Rental income includes minimum rents which are recognized on an accrual basis over the terms of the related leases on a straight-line basis. Lease revenue recognition commences when the lessee is given possession of the leased space and there are no contingencies offsetting the lessee’s obligation to pay rent. The Company recognizes revenue from sales of products when all of the following conditions are met: • Persuasive evidence of an arrangement exists; • Delivery has occurred or services have been rendered; • Price to the customer is fixed or determinable; and • Collectability is reasonably assured. Revenue from sales of products is recognized when the title is passed to customers upon shipment and when collectability is reasonably assured. The Company does not provide its customers with the right of return (except for quality), price protection, rebates or discounts. There are no customer acceptance provisions associated with the Company’s products, except for quality. All sales are based on firm customer orders with fixed terms and conditions, which generally cannot be modified. |
Staff retirement plan costs | (k) Staff retirement plan costs The Company’s costs related to the staff retirement plans (see Note 13) are charged to the consolidated statement of comprehensive income as incurred. |
Income taxes | (l) Income taxes Deferred income taxes are provided using the asset and liability method in accordance with FASB ASC 740 “ Income Taxes FASB ASC 740 clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements, and prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. It also provides accounting guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. Interest and penalties from tax assessments, if any, are included in income taxes in the consolidated statement of comprehensive income. |
Foreign currency transactions and translations | (m) Foreign currency transactions and translations All transactions in currencies other than functional currencies during the year are translated at the exchange rates prevailing on the respective transaction dates. Monetary assets and liabilities existing at the balance sheet date denominated in currencies other than functional currencies are remeasured at the exchange rates existing on that date. Exchange differences are recorded in the consolidated statement of comprehensive income. The functional currencies of the Company and its subsidiaries include the Renminbi, U.S. dollar and the Hong Kong dollar. Effective from April 1, 2015, the Company’s subsidiaries in China changed their functional currency from U.S. dollar to Renminbi. This change was made upon the progress of the property development projects in China causing the Company’s subsidiaries primary operating activities to be in Renminbi and making the Renminbi the currency of the economic environment in which the entities primarily generate and expend cash. The financial statements of all subsidiaries are translated in accordance with FASB ASC 830 “ Foreign Currency Matters Our financial statements and other financial data included in this annual report are presented in U.S. dollars. Our business and operations are primarily conducted in China through our PRC subsidiaries. The functional currency of our PRC subsidiaries is Renminbi. The financial statements of our PRC subsidiaries are translated into U.S. dollars, using published exchange rates from banks in China, based on (i) year-end exchange rates or the rates of exchange ruling at the balance sheet date for assets and liabilities and (ii) average yearly exchange rates for income and expense items. Capital accounts are translated at historical exchange rates when the transactions occurred. The effects of foreign currency translation adjustments are included as a component of accumulated other comprehensive income (loss) in our shareholders’ equity. We make no representation that any Renminbi or U.S. dollar amounts could have been, or could be, converted into U.S. dollar or Renminbi, as the case may be, at any particular rate or at all. |
Earnings per share | (n) Earnings per share Basic earnings per share is computed by dividing net income attributable to common shareholders by the weighted average number of common shares outstanding during the year. Diluted earnings per share gives effect to all dilutive potential common shares outstanding during the year. The weighted average number of common shares outstanding is adjusted to include the number of additional common shares that would have been outstanding if the dilutive potential common shares had been issued |
Stock options | (o) Stock options The Company has two stock-based employee compensation plans, as more fully described in Note 11(b). The Company measures the cost of employee services received in exchange for an award of equity instruments based on the grant-date fair value of the award. That cost is recognized over the period during which an employee is required to provide service, the requisite service period (usually the vesting period), in exchange for the award. The grant-date fair value of employee share options and similar instruments are estimated using option-pricing models. If the award is modified after the grant date, incremental compensation cost is recognized in an amount equal to the excess of the fair value of the modified award over the fair value of the original award immediately before the modification. |
Use of estimates | (p) Use of estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant items subject to such estimates and assumptions include provision for bad debts, deferred income tax assets, share-based compensation, useful lives of property, plant and equipment and intangible assets, and recovery of the carrying amounts of long-lived assets, assets held for sale and intangible assets. |
Comprehensive loss | (q) Comprehensive loss Accumulated other comprehensive loss represents principally foreign currency translation adjustments and is included in the consolidated statement of changes in equity. |
Fair value | (r) Fair value The Company follows FASB ASC 820 “ Fair Value Measurements and Disclosures Fair value is estimated by applying the following hierarchy, which prioritizes the inputs used to measure fair value into three levels and based the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement: Level 1 Level 2 Level 3 The carrying amounts of cash and cash equivalents, short term investment, other receivables, assets held for sale, accrued expenses and other payables, short term bank borrowing, and dividend payable approximate their fair values due to the short term nature of these instruments. The fair value of the Company’s assets held for sale is detailed in Note 4. As of December 31, 2014 and 2015, the Company did not have any non financial assets and liabilities that are recognized or disclosed at fair value in the consolidated financial statements, at least annually, on a recurring basis. |
Leases | (s) Leases Leases have been classified as either capital or operating leases. Leases that transfer substantially all the benefits and risks incidental to the ownership of assets are accounted for as if there was an acquisition of an asset and incurrence of an obligation at the inception of the lease. All other leases are accounted for as operating leases wherein rental payments are expensed as incurred. When the Company is the lessor, minimum contractual rental from leases are recognized on a straight-line basis over the noncancelable term of the lease. With respect to a particular lease, actual amounts billed in accordance with the lease during any given period may be higher or lower than the amount of rental revenue recognized for the period. Straight-line rental revenue commences when the customer assumes control of the leased premises. Accrued straight-line rents receivable represents the amount by which straight-line rental revenue exceeds rents currently billed in accordance with lease agreements. Contingent rental revenue is accrued when the contingency is removed. |
Concentration of risk | (t) Concentration of risk The Company’ s potential significant concentration of credit risk primarily consist of cash and cash equivalents and short term investments which are held by financial institutions in the PRC and international financial institutions outside of the PRC. As of December 31, 2015, the Company has $207,354 in cash and cash equivalents, short term investments which are held by financial institutions in the PRC and international financial institutions outside of the PRC, respectively. PRC state-owned banks are subject to a series of risk control regulatory standards, and PRC bank regulatory authorities are empowered to take over the operation and management when any of those faces a material credit crisis. The Company does not foresee substantial credit risk with respect to cash and cash equivalents and short term investments held at the PRC state-owned banks. Meanwhile, China does not have an official deposit insurance program, nor does it have an agency similar to the Federal Deposit Insurance Corporation in the United States. There is uninsured for cash, cash equivalents and short term investments as at December 31, 2015. In the event of bankruptcy of one of the financial institutions in which the Company has deposits or investments, it may be unlikely to recover its deposits or investments back in full. Overall, the real estate market in China has shown signs of continuous slow down. The Company’s results of operations are affected by a wide variety of factors, including changing economic, political, industry, business and financial conditions; lack of experience handling the real estate development projects; the process of applying for the redevelopment of Gushu land with the Government bodies, the demand for our real estate properties, and operating mainly in the PRC. Accordingly, the Company’s business, financial condition and results of operations are primarily influenced by the political, economic, legal environments and foreign currency exchange in the PRC and by the general state of the PRC economy and may be adversely affected by changes in the political and social conditions in the PRC, and by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion and remittance abroad, and rates and methods of taxation. As a result, the Company may experience significant fluctuations in future operating results due to the factors mentioned above. These fluctuations may result in volatility in our share price. All the Company’s land development related applications are subject to government policies and regulations in the real estate market. However, the Company cannot assure that it will obtain all the necessary approvals in accordance with its timetable. Furthermore, as this is the Company’s first venture into land development projects after the cessation of the LCM business, the Company may encounter industry-specific difficulties that result in losses as it is in the progress with development projects in Shenzhen. The Company currently derives a majority of its income from rental and interest income. Any future reductions in the official cash deposit interest rates in China and Hong Kong could adversely impact its income and the total cash on hand will gradually reduce as more funds are being used for land development related expenditures for the land in Gushu and Guangming, Shenzhen. Certain transactions of the Company are denominated in Renminbi, which is not freely convertible into foreign currencies. All foreign exchange transactions take place either through the Peoples Bank of China (“PBOC”) or other banks authorized to buy and sell foreign currencies at the exchange rates quoted by the PBOC. Approval of foreign currency payments by the PBOC or other institutions requires submitting a payment application form together with suppliers’ invoices, shipping documents and signed contracts. |
Recent changes in accounting standards | (u) Recent changes in accounting standards In April 2015, the FASB issued ASU 2015-06, Earnings Per Share In November 2015, the FASB issued ASU 2015-17, Income Taxes In January 2016, the FASB issued ASU 2016-01, Financial Instruments—Overall In February 2016, the FASB issued ASU 2016-02, Lease (Subtopic 842): This Update to increase transparency and comparability among organizations by recognizing lease assets and lease liabilities on the balance sheet and disclosing key information about leasing arrangements. For public business entities, this Update is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. The Company is evaluating the new pronouncement to determine the impact it may have to its consolidated financial statements. |
Summary of Significant Accoun29
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Depreciation Expenses Using Straight-Line Method | The Company computed depreciation expenses using the straight-line method over the following estimated useful lives: Classification Years Land use rights Lease term or up to 50 years Buildings 20 years Machinery and equipment 4 years Leasehold improvements shorter of lease term or 4 years Furniture and fixtures 4 years Motor vehicle 4 years |
Assets Held for Sale (Tables)
Assets Held for Sale (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Text Block [Abstract] | |
Schedule of Assets Held for Sale | Assets held for sale are comprised of the following: At December 31, 2014 2015 At net book value: Land $ 2,053 $ 364 Buildings 18,434 17,613 Machinery and equipment 25 24 Leasehold improvements 2,343 2,239 Others 26 14 Total $ 22,881 $ 20,254 |
Property, Plant and Equipment31
Property, Plant and Equipment, net (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment, Net | Property, plant and equipment, net consist of the following: At December 31, 2014 2015 At cost: Buildings $ 54,618 $ 66,582 Machinery and equipment 50 397 Leasehold improvements 335 1,802 Furniture and fixtures — 23 Motor vehicles 80 227 Total 55,083 69,031 Less: accumulated depreciation (30,481 ) (45,602 ) 24,602 23,429 Construction in progress 1,343 3,401 Net book value $ 25,945 $ 26,830 |
Schedule of Operating Lease Contract with Respect to Buildings | The Company has entered into an operating lease contract with a third party with respect to certain buildings with the carrying amount as shown below: At December 31, 2014 2015 Buildings at cost $ 25,155 $ 31,843 Less: accumulated depreciation (12,231 ) (16,682 ) Buildings, net $ 12,924 $ 15,161 |
Schedule of Minimum Lease Payments to be Received | At December 31, 2015, scheduled minimum rental payments to be received for buildings leased to others were: Years ending December 31, Minimum rental received 2016 $ 2,644 2017 881 Total $ 3,525 |
Investments in Subsidiaries (Ta
Investments in Subsidiaries (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | |
Investments in Subsidiaries | Subsidiaries Place of Principal Percentage of Ownership as 2014 2015 Consolidated principal subsidiaries: Nam Tai Electronic & Electrical Products Limited (“NTEEP”) Cayman Islands Investment holding 100 % 100 % Nam Tai Holdings Limited (“NTHL”) BVI Investment holding 100 % 100 % Nam Tai Group Management Limited (“NTGM”) Hong Kong Inactive 100 % 100 % Nam Tai Telecom (Hong Kong) Company Limited (“NTT”) Hong Kong Inactive 100 % 100 % Nam Tai Trading Company Limited (“NTTC”) (1) Hong Kong In liquidation — — J.I.C. Enterprises (HK) Ltd. (“JICE”) (2) Hong Kong Dissolved 100 % — Namtai Investment (Shenzhen) Co., Ltd. (“NTISZ”) PRC Investment holding 100 % 100 % Zastron Electronic (Shenzhen) Co., Ltd. (“Zastron Shenzhen”) PRC Property 100 % 100 % Wuxi Zastron Precision-Flex Co., Ltd. (“Wuxi Zastron-Flex”) PRC Inactive 100 % 100 % (1) NTTC is in liquidation and the Joint and Several Liquidators confirmed that all assets of NTTC have been taken over by the Joint and Several Receivers in January 2013. (2) JICE was dissolved on April 2, 2015. |
Accrued Expenses and Other Pa33
Accrued Expenses and Other Payables (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Text Block [Abstract] | |
Accrued Expenses and Other Payables | Accrued expenses and other payables consisted of the following: At December 31, 2014 2015 Accrued salaries and benefits $ 4,723 $ 487 Accrued professional fees 1,162 1,515 Construction payable and others 169 185 Advance received from customers 793 632 Interest payable 372 — $ 7,219 $ 2,819 |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Summary of Financial Information for Discontinued Operations | Summarized financial information for our discontinued operations is as follows: 2013 2014 2015 Net sales 902,933 53,236 — Income (loss) before income tax 11,219 (20,029 ) (630 ) Income tax expense (16,181 ) (143 ) — Loss from discontinued operations, net of income tax (4,962 ) (20,172 ) (630 ) Prepaid expense and other receivables 138 106 Property, plant and equipment, net 492 — Total assets 630 106 Accrued expenses and other payables 173 160 Total liabilities 173 160 Net assets (liabilities) of discontinued operations 457 (54 ) |
Equity (Tables)
Equity (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Equity [Abstract] | |
Summary of Stock Option Activity | A summary of stock option activity during the three years ended December 31, 2015 is as follows: Number of Weighted Weighted Outstanding and exercisable at January 1, 2013 1,623,000 $ 5.97 $ 1.29 Granted 60,000 $ 7.50 $ 1.88 Exercised (469,000 ) $ 5.54 $ 1.13 Expired (30,000 ) $ 4.45 $ 1.58 Outstanding and exercisable at December 31, 2013 1,184,000 $ 6.26 $ 1.62 Granted 60,000 $ 8.05 $ 2.55 Exercised (15,000 ) $ 5.92 $ 1.87 Expired (53,500 ) $ 5.93 $ 1.68 Outstanding and exercisable at December 31, 2014 1,175,500 $ 6.37 $ 1.66 Granted 851,869 $ 7.53 $ 1.78 Exercised (600,000 ) $ 6.66 $ 1.98 Expired (296,500 ) $ 5.60 $ 1.09 Outstanding and exercisable at December 31, 2015 1,130,869 $ 7.29 $ 1.68 |
Option Outstanding by Company | Details of the options outstanding and exercisable at December 31, 2015 are as follows: Number of options Vesting period Exercise Exercisable period Weighted In 2012 159,000 vested in 2014 $ 5.63 June 1, 2014 to April 24, 2017* 15.8 In 2013 60,000 100% vested at date of grant $ 7.50 May 31, 2013 to May 31, 2016 5.0 In 2014 60,000 100% vested at date of grant $ 8.05 June 6, 2014 to June 5, 2017 17.2 In 2015 50,000 100% vested at date of grant $ 3.97 April 14, 2015 to April 13, 2018 27.4 75,000 100% vested at date of grant $ 5.33 June 5, 2015 to June 4, 2018 29.1 631,869 100% vested at date of grant $ 8.00 October 30, 2015 to October 29, 2020 58.0 30,000 100% vested at date of grant $ 8.00 November 2, 2015 to October 29, 2020 58.0 15,000 100% vested at date of grant $ 8.00 December 1, 2015 to October 29, 2020 58.0 50,000 100% vested at date of grant $ 8.00 December 17, 2015 to October 29, 2020 58.0 * Exercisable period modified in 2015 |
Weighted Average Fair Value Options Granted, Assumptions | The weighted average fair value of options granted during 2013, 2014 and 2015 was $1.88, $2.55 and $1.78, respectively, using the Black-Scholes option-pricing model based on the following assumptions: Year ended December 31, 2013 2014 2015 Risk-free interest rate 0.52 % 0.86 % 0.85% to 1.73% Expected life 3 years 3 years 3 years to 5 years Expected volatility 52.36 % 58.86 % 49.50% to 55.94% Expected dividend yield 5.87 % 4.22 % 1.35% to 2.02% |
Earnings (Loss) Per Share (Tabl
Earnings (Loss) Per Share (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Earnings (Loss) Per Share | The calculations of basic earnings (loss) per share and diluted earnings (loss) per share are computed as follows: Income Weighted Per Year ended December 31, 2013 Basic earnings per share from continuing operations $ 5,259 45,222,532 $ 0.12 Basic loss per share from discontinued operations $ (4,962 ) 45,222,532 $ (0.11 ) Basic earnings per share $ 297 45,222,532 $ 0.01 Effect of dilutive securities — Stock options 470,318 Diluted earnings per share from continuing operations $ 5,259 45,692,850 $ 0.12 Diluted loss per share from discontinued operations $ (4,962 ) 45,692,850 $ (0.11 ) Diluted earnings per share $ 297 45,692,850 $ 0.01 Income Weighted Per Year ended December 31, 2014 Basic loss per share from continuing operations $ (5,416 ) 44,409,526 $ (0.12 ) Basic loss per share from discontinued operations $ (20,172 ) 44,409,526 $ (0.46 ) Basic loss per share $ (25,588 ) 44,409,526 $ (0.58 ) Effect of dilutive securities — Stock options — Diluted loss per share from continuing operations $ (5,416 ) 44,409,526 $ (0.12 ) Diluted loss per share from discontinued operations $ (20,172 ) 44,409,526 $ (0.46 ) Diluted loss per share $ (25,588 ) 44,409,526 $ (0.58 ) Income Weighted Per Year ended December 31, 2015 Basic loss per share from continuing operations $ (12,528 ) 40,548,784 $ (0.31 ) Basic loss per share from discontinued operations $ (630 ) 40,548,784 $ (0.01 ) Basic loss per share $ (13,158 ) 40,548,784 $ (0.32 ) Effect of dilutive securities — Stock options — Diluted loss per share from continuing operations $ (12,528 ) 40,548,784 $ (0.31 ) Diluted loss per share from discontinued operations $ (630 ) 40,548,784 $ (0.01 ) Diluted loss per share $ (13,158 ) 40,548,784 $ (0.32 ) |
Other income (expenses), net (T
Other income (expenses), net (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Other Income and Expenses [Abstract] | |
Components of Other Income (Expense), Net | Year ended December 31, 2013 2014 2015 Foreign exchange income (loss), net $ 2,528 $ (3,690 ) $ (8,678 ) Interest income from finance lease receivable 979 656 303 Gain on disposal of idle property, plant and equipment 1,352 447 106 Others 1,480 208 880 $ 6,339 $ (2,379 ) $ (7,389 ) |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Components of Income Before Income Tax | The components of income before income tax are as follows: Year ended December 31, 2013 2014 2015 PRC, excluding Hong Kong $ 5,078 $ 812 $ 53 Hong Kong and other jurisdictions (1,197 ) (6,228 ) (12,581 ) $ 3,881 $ (5,416 ) $ (12,528 ) |
Current and Deferred Components of Income Tax Expense | The current and deferred components of the income tax expense appearing in the consolidated statements of income are as follows: Year ended December 31, 2013 2014 2015 Current tax $ — $ — $ — Deferred tax 1,378 — — $ 1,378 $ — $ — |
Deferred Tax Assets and Liabilities | The Company’s deferred tax assets and liabilities as of December 31, 2014 and 2015 are attributable to the following: December 31, 2014 2015 Net operating losses $ 10,125 $ 6,609 Property, plant and equipment — 123 Total deferred tax assets 10,125 6,732 Less: valuation allowance (10,125 ) (6,732 ) Deferred tax assets — — Net deferred tax assets $ — $ — |
Movement of Deferred Tax Assets Valuation Allowance | Movement of valuation allowance: December 31, 2013 2014 2015 At beginning of the year $ 5,316 $ 5,960 $ 10,125 Current year addition (deduction) 644 4,165 (3,393 ) At end of the year $ 5,960 $ 10,125 $ 6,732 |
Reconciliation of Income Tax Expense to Amount Computed by applying Current Tax Rate to Income (Loss) Before Income Taxes | A reconciliation of the income tax expense to the amount computed by applying the current tax rate to the income (loss) before income taxes in the consolidated statements of comprehensive income is as follows: Year ended December 31, 2013 2014 2015 Income (loss) before income taxes $ 3,881 $ (5,416 ) $ (12,528 ) PRC tax rate 25 % 25 % 25 % Tax loss (income tax expense) at PRC tax rate on income before income tax $ (970 ) $ 1,354 $ 3,132 Effect of difference between Hong Kong and PRC tax rates applied to Hong Kong income (487 ) (694 ) (478 ) Change in valuation allowance (644 ) (307 ) 3,393 Reversal of deferred tax liability on withholding tax on undistributed profits of PRC subsidiaries 1,378 — — Tax benefit (expense) arising from items which are not assessable (deductible) for tax purposes: Non-deductible and non-taxable items 1,850 (471 ) (6,335 ) Others 251 118 288 Income tax (expense) credit $ 1,378 $ — $ — |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contractual Obligations, Including Capital Expenditures and Future Minimum Lease Payments Under Non-Cancelable Operating Lease Arrangements and Purchase Commitments | Our contractual obligations, including purchase commitments under non-cancelable arrangements as of December 31, 2015, are summarized below. We do not participate in, or secure financing for, any unconsolidated limited purpose entities. Payments due by period Total 2016 2017 2018 Contractual Obligations Capital commitments 4,290 2,236 1,393 661 Total $ 4,290 $ 2,236 $ 1,393 $ 661 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Segment Reporting [Abstract] | |
Summary of Net Income (Loss) by Geographical Areas | A summary of net income (loss) attributable to Nam Tai shareholders and long-lived assets by geographical areas is as follows: Year ended December 31, 2013 2014 2015 Rental income from property within: - PRC, excluding Hong Kong: $ 136 $ 2,341 $ 2,978 Net income (loss) from continuing operations, net of income tax within: - PRC, excluding Hong Kong $ 6,456 $ 812 $ 53 - Hong Kong (1,197 ) (6,228 ) (12,581 ) Total net income (loss) from continuing operations, net of income tax $ 5,259 $ (5,416 ) $ (12,528 ) |
Summary of Long-Lived Assets by Geographical Areas | As of December 31, 2014 2015 Long-lived assets by geographical area: - PRC, excluding Hong Kong $ 31,897 $ 34,935 - Hong Kong 3,693 3,457 Total long-lived assets $ 35,590 $ 38,392 |
Employee Severance Benefits (Ta
Employee Severance Benefits (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Text Block [Abstract] | |
Provision for Employee Severance Benefits | The balance of the employee severance benefits was paid in 2015. The employee severance benefits were as follows: 2014 2015 Provision for employee severance benefits: Balance at January 1 $ 11,003 $ 104 Provision for the year 195 — Payments during the year (11,094 ) (104 ) Balance at December 31 $ 104 $ — |
Company Information - Additiona
Company Information - Additional Information (Detail) | 12 Months Ended | |||
Dec. 31, 2015Segmentmi | Dec. 31, 2013Segment | Dec. 31, 2012Segment | Dec. 31, 2011Segment | |
Accounting Policies [Abstract] | ||||
Distance of principal manufacturing and design operations Shenzhen | mi | 30 | |||
Number of reportable segments | Segment | 1 | 2 | 2 |
Summary of Significant Accoun43
Summary of Significant Accounting Policies - Additional Information (Detail) | Apr. 01, 2012USD ($) | Dec. 31, 2015USD ($)CompensationPlan | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) |
Accounting Policies [Abstract] | ||||
Short term investments | $ 49,983,000 | $ 85,295,000 | ||
Finance lease receivable, original principal balance | $ 14,000,000 | |||
Finance lease, annual interest rate | 10.00% | |||
Provision for (recovery of) accounts receivable | $ 0 | (2,152,000) | $ 2,148,000 | |
Lease of lands, maximum term | 50 years | |||
Impairment loss on assets held for sales | $ 0 | 19,035,000 | $ 34,955,000 | |
Number of stock-based employee compensation plans | CompensationPlan | 2 | |||
Non-financial assets at fair value | $ 0 | 0 | ||
Non-financial liabilities at fair value | 0 | $ 0 | ||
Cash and cash equivalents and short term investments | $ 207,354,000 |
Depreciation Expenses Using Str
Depreciation Expenses Using Straight-Line Method (Detail) | 12 Months Ended |
Dec. 31, 2015 | |
Land use rights | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives, description | Lease term or up to 50 years |
Buildings | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 20 years |
Machinery and equipment | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 4 years |
Leasehold improvements | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives, description | shorter of lease term or 4 years |
Furniture and fixtures | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 4 years |
Motor vehicle | |
Property, Plant and Equipment [Line Items] | |
Estimated useful lives | 4 years |
Contractual Maturities on Finan
Contractual Maturities on Finance Lease Receivable - Additional Information (Detail) $ in Thousands | Apr. 30, 2016USD ($) |
Scenario, Forecast | |
Schedule Of Capital Leases Future Minimum Payments Receivable [Line Items] | |
Contractual maturities, 2016 | $ 1,403 |
Assets Held for Sale - Addition
Assets Held for Sale - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Property, Plant and Equipment Assets Held-for-sale Disclosure [Abstract] | |||
Assets held-for-sale, long-lived assets | $ 0 | $ 16,316,000 | |
Impairment loss on assets held for sales | 0 | 19,035,000 | $ 34,955,000 |
Value of assets held-for-sale | 1,670,000 | 19,823,000 | |
Proceeds from disposition of assets held-for-sale | 1,703,000 | 19,725,000 | |
Gain (Loss) from discontinued operations | $ 33,000 | $ (98,000) |
Schedule of Assets Held for Sal
Schedule of Assets Held for Sale (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Long Lived Assets Held-for-sale [Line Items] | ||
Long-lived assets held for sale | $ 20,254 | $ 22,881 |
Land | ||
Long Lived Assets Held-for-sale [Line Items] | ||
Long-lived assets held for sale | 364 | 2,053 |
Buildings | ||
Long Lived Assets Held-for-sale [Line Items] | ||
Long-lived assets held for sale | 17,613 | 18,434 |
Machinery and equipment | ||
Long Lived Assets Held-for-sale [Line Items] | ||
Long-lived assets held for sale | 24 | 25 |
Leasehold improvements | ||
Long Lived Assets Held-for-sale [Line Items] | ||
Long-lived assets held for sale | 2,239 | 2,343 |
Others | ||
Long Lived Assets Held-for-sale [Line Items] | ||
Long-lived assets held for sale | $ 14 | $ 26 |
Property, Plant and Equipment48
Property, Plant and Equipment, Net (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Property, Plant and Equipment [Line Items] | ||
Total | $ 69,031 | $ 55,083 |
Less: accumulated depreciation | (45,602) | (30,481) |
Property plant and equipment excluding construction in progress, Total | 23,429 | 24,602 |
Construction in progress | 3,401 | 1,343 |
Net book value | 26,830 | 25,945 |
Buildings | ||
Property, Plant and Equipment [Line Items] | ||
Total | 66,582 | 54,618 |
Machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total | 397 | 50 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Total | 1,802 | 335 |
Furniture and fixtures | ||
Property, Plant and Equipment [Line Items] | ||
Total | 23 | |
Motor vehicle | ||
Property, Plant and Equipment [Line Items] | ||
Total | $ 227 | $ 80 |
Property, Plant and Equipment49
Property, Plant and Equipment, Net - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Property, Plant and Equipment [Abstract] | |||
Depreciation expenses | $ 2,129 | $ 1,609 | $ 351 |
Operating Lease Contract with R
Operating Lease Contract with Respect to Buildings (Detail) - Buildings - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Property Subject to or Available for Operating Lease [Line Items] | ||
Buildings at cost | $ 31,843 | $ 25,155 |
Less: accumulated depreciation | (16,682) | (12,231) |
Buildings, net | $ 15,161 | $ 12,924 |
Schedule Minimum Lease Payments
Schedule Minimum Lease Payments to be Received (Detail) - Namtai Shenzhen - Buildings $ in Thousands | Dec. 31, 2015USD ($) |
Property Subject to or Available for Operating Lease [Line Items] | |
2,016 | $ 2,644 |
2,017 | 881 |
Total | $ 3,525 |
Investments in Subsidiaries (De
Investments in Subsidiaries (Detail) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | ||
Nam Tai Electronic and Electrical Products Limited (NTEEP) | |||
Schedule of Equity Method Investments [Line Items] | |||
Place of Incorporation | Cayman Islands | ||
Principal activity | Investment holding | ||
Percentage of Ownership | 100.00% | 100.00% | |
Nam Tai Holdings Limited (NTHL) | |||
Schedule of Equity Method Investments [Line Items] | |||
Place of Incorporation | BVI | ||
Principal activity | Investment holding | ||
Percentage of Ownership | 100.00% | 100.00% | |
Nam Tai Group Management Limited (NTGM) | |||
Schedule of Equity Method Investments [Line Items] | |||
Place of Incorporation | Hong Kong | ||
Principal activity | Inactive | ||
Percentage of Ownership | 100.00% | 100.00% | |
Nam Tai Telecom (Hong Kong) Company Limited (NTT) | |||
Schedule of Equity Method Investments [Line Items] | |||
Place of Incorporation | Hong Kong | ||
Principal activity | Inactive | ||
Percentage of Ownership | 100.00% | 100.00% | |
Nam Tai Trading Company Limited (NTTC) | |||
Schedule of Equity Method Investments [Line Items] | |||
Place of Incorporation | [1] | Hong Kong | |
Principal activity | [1] | In liquidation | |
J.I.C. Enterprises (HK) Ltd. (JICE) | |||
Schedule of Equity Method Investments [Line Items] | |||
Place of Incorporation | [2] | Hong Kong | |
Principal activity | [2] | Dissolved | |
Percentage of Ownership | [2] | 100.00% | |
Namtai Investment (Shenzhen) Co., Ltd. (NTISZ) | |||
Schedule of Equity Method Investments [Line Items] | |||
Place of Incorporation | PRC | ||
Principal activity | Investment holding | ||
Percentage of Ownership | 100.00% | 100.00% | |
Zastron Electronic (Shenzhen) Co., Ltd. (Zastron Shenzhen) | |||
Schedule of Equity Method Investments [Line Items] | |||
Place of Incorporation | PRC | ||
Principal activity | Property development and management | ||
Percentage of Ownership | 100.00% | 100.00% | |
Wuxi Zastron Precision-Flex Co., Ltd. (Wuxi Zastron-Flex) | |||
Schedule of Equity Method Investments [Line Items] | |||
Place of Incorporation | PRC | ||
Principal activity | Inactive | ||
Percentage of Ownership | 100.00% | 100.00% | |
[1] | NTTC is in liquidation and the Joint and Several Liquidators confirmed that all assets of NTTC have been taken over by the Joint and Several Receivers in January 2013. | ||
[2] | JICE was dissolved on April 2, 2015. |
Retained Earnings and Reserves
Retained Earnings and Reserves - Additional Information (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Equity [Abstract] | ||
Reserves and registered capital of PRC subsidiaries | $ 347,977 | $ 343,719 |
Accrued Expenses and Other Pa54
Accrued Expenses and Other Payables (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Accrued Liabilities and Other Liabilities [Abstract] | ||
Accrued salaries and benefits | $ 487 | $ 4,723 |
Accrued professional fees | 1,515 | 1,162 |
Construction payable and others | 185 | 169 |
Advance received from customers | 632 | 793 |
Interest payable | 372 | |
Accrued expenses and other payables | $ 2,819 | $ 7,219 |
Bank Loans and Banking Facili55
Bank Loans and Banking Facilities - Additional Information (Detail) - USD ($) | Jul. 08, 2015 | Jun. 26, 2015 | Dec. 31, 2015 | Dec. 31, 2014 |
Debt Disclosure [Abstract] | ||||
Credit facilities, borrowing capacity | $ 90,000,000 | $ 40,645,000 | ||
Credit facilities, unused amount | $ 90,000,000 | 645,000 | ||
Maturity date of credit facilities (in years) | 2,016 | |||
Renewal date of credit facilities (in years) | 2,016 | |||
Bank loan borrowed from HSBC | $ 35,000,000 | $ 55,000,000 | $ 40,000,000 | $ 40,000,000 |
Bank loan, term | 1 year | |||
Bank loan, interest rate | 1.2311% | 1.23425% | 1.5354% | |
Bank loan, maturity date | Sep. 8, 2015 | Aug. 26, 2015 |
Discontinued Operations - Addit
Discontinued Operations - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Assets held for sale, property, plant and equipment | $ 0 | $ 16,316 |
Assets held for sale | $ 20,254 | 22,881 |
Engineering Manufacturing Services (EMS) | ||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Assets held for sale, property, plant and equipment | $ 16,316 |
Summary of Financial Informatio
Summary of Financial Information for Discontinued Operations (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Discontinued Operations and Disposal Groups [Abstract] | |||
Net sales | $ 53,236 | $ 902,933 | |
Income (loss) before income tax | $ (630) | (20,029) | 11,219 |
Income tax expense | (143) | (16,181) | |
Loss from discontinued operations, net of income tax | (630) | (20,172) | $ (4,962) |
Prepaid expense and other receivables | 106 | 138 | |
Property, plant and equipment, net | 492 | ||
Total assets | 106 | 630 | |
Accrued expenses and other payables | 160 | 173 | |
Total liabilities | 160 | 173 | |
Net assets (liabilities) of discontinued operations | $ (54) | $ 457 |
Equity - Additional Information
Equity - Additional Information (Detail) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2015USD ($)Itemshares | Nov. 30, 2015shares | Oct. 31, 2015shares | Jun. 30, 2015USD ($)shares | Apr. 30, 2015shares | Jan. 31, 2015USD ($)shares | Jun. 30, 2014USD ($)shares | Apr. 30, 2013USD ($)shares | Jan. 31, 2013USD ($)shares | Apr. 30, 2012shares | May. 31, 2001shares | Dec. 31, 2015USD ($)Item$ / sharesshares | Dec. 31, 2014USD ($)$ / sharesshares | Dec. 31, 2013USD ($)$ / sharesshares | Feb. 28, 2006shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||
Number of classes of common shares authorized, issued and outstanding | Item | 1 | 1 | |||||||||||||
Stock option authorized for each non-employee director | 15,000 | ||||||||||||||
Shares authorized under stock option plan | 3,300,000 | 2,000,000 | |||||||||||||
Stock option granted period in years, minimum | 2 years | ||||||||||||||
Stock option granted period in years, maximum | 3 years | ||||||||||||||
Number of stock options granted | 851,869 | 60,000 | 60,000 | ||||||||||||
Allocated Share-based Compensation Expense | $ | $ 1,685 | $ 309 | $ 1,536 | ||||||||||||
Options exercisable at period end | 1,130,869 | 1,130,869 | |||||||||||||
Unrecognized compensation expense related to non-vested stock options granted | $ | 10 | 201 | |||||||||||||
Fair value of stock options vested | $ | $ 1,515 | $ 153 | $ 1,765 | ||||||||||||
Options Outstanding - Weighted Average Remaining Contractual Life | 44 months | 12 months | 22 months | ||||||||||||
Weighted average fair value of option granted | $ / shares | $ 1.78 | $ 2.55 | $ 1.88 | ||||||||||||
Maximum | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||
Stock option expiry period in years | 10 years | ||||||||||||||
Employee Stock Option | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||
Period over which return on equity to be achieved in order to grant stock options | 9 months | ||||||||||||||
Number of stock options granted | 328,500 | 415,500 | |||||||||||||
Allocated Share-based Compensation Expense | $ | $ 170 | $ 156 | $ 502 | ||||||||||||
Employee Stock Option | Maximum | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||
Number of stock options approved to be granted | 831,000 | ||||||||||||||
Number of stock options approved to be granted, rate of return on equity | 10.00% | ||||||||||||||
Employee Stock Option | Minimum | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||
Number of stock options approved to be granted | 277,000 | ||||||||||||||
Number of stock options approved to be granted, rate of return on equity | 6.00% | ||||||||||||||
2013 Grant | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||
Number of stock options granted | 60,000 | ||||||||||||||
Exercisable period, start date | May 31, 2013 | ||||||||||||||
Exercisable period, end date | May 31, 2016 | ||||||||||||||
2013 Grant | Employee Stock Option | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||
Options exercisable at period end | 159,000 | ||||||||||||||
Exercisable period, start date | Apr. 26, 2015 | ||||||||||||||
Exercisable period, end date | Apr. 24, 2017 | ||||||||||||||
Extension of exercisable period | 2 years | ||||||||||||||
Stock Repurchase Programs 2014 | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||
Number of share repurchased of common shares | 2,669,413 | ||||||||||||||
Stock repurchase program cancelled, date | Nov. 28, 2014 | ||||||||||||||
Average repurchase price for repurchase program | $ / shares | $ 6.56 | ||||||||||||||
April Twenty Eight Twenty Fifteen | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||
Number of share repurchased of common shares | 3,000,000 | ||||||||||||||
Stock repurchase program cancelled, date | May 29, 2015 | ||||||||||||||
Average repurchase price for repurchase program | $ / shares | $ 5.50 | ||||||||||||||
August Third Twenty Fifteen | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||
Number of share repurchased of common shares | 3,518,750 | ||||||||||||||
Stock repurchase program cancelled, date | Sep. 4, 2015 | ||||||||||||||
Average repurchase price for repurchase program | $ / shares | $ 5.50 | ||||||||||||||
Director | Employee Stock Option | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||||||||
Number of stock options approved to be granted | 776,869 | 776,869 | 776,869 | 776,869 | |||||||||||
Number of stock options granted | 75,000 | 600,000 | |||||||||||||
Allocated Share-based Compensation Expense | $ | $ 141 | $ 921 | $ 1,374 |
Summary of Stock Option Activit
Summary of Stock Option Activity (Detail) - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Number of options | |||
Outstanding and exercisable beginning balance | 1,175,500 | 1,184,000 | 1,623,000 |
Granted | 851,869 | 60,000 | 60,000 |
Exercised | (600,000) | (15,000) | (469,000) |
Expired | (296,500) | (53,500) | (30,000) |
Outstanding and exercisable ending balance | 1,130,869 | 1,175,500 | 1,184,000 |
Weighted average exercise price | |||
Outstanding and exercisable beginning balance | $ 6.37 | $ 6.26 | $ 5.97 |
Granted | 7.53 | 8.05 | 7.50 |
Exercised | 6.66 | 5.92 | 5.54 |
Expired | 5.60 | 5.93 | 4.45 |
Outstanding and exercisable ending balance | 7.29 | 6.37 | 6.26 |
Weighted average fair value per option | |||
Outstanding and exercisable beginning balance | 1.66 | 1.62 | 1.29 |
Granted | 1.78 | 2.55 | 1.88 |
Exercised | 1.98 | 1.87 | 1.13 |
Expired | 1.09 | 1.68 | 1.58 |
Outstanding and exercisable ending balance | $ 1.68 | $ 1.66 | $ 1.62 |
Option Granted by Company (Deta
Option Granted by Company (Detail) - $ / shares | 12 Months Ended | |||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of options granted | 851,869 | 60,000 | 60,000 | |
Exercise price | $ 7.53 | $ 8.05 | $ 7.50 | |
2012 Grant | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of options granted | [1] | 159,000 | ||
Vesting period | [1] | vested in 2014 | ||
Exercise price | [1] | $ 5.63 | ||
Exercisable period, start date | [1] | Jun. 1, 2014 | ||
Exercisable period, end date | [1] | Apr. 24, 2017 | ||
Weighted average remaining contractual life in months | [1] | 15 months 24 days | ||
2013 Grant | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of options granted | 60,000 | |||
Vesting period | 100% vested at date of grant | |||
Exercise price | $ 7.50 | |||
Exercisable period, start date | May 31, 2013 | |||
Exercisable period, end date | May 31, 2016 | |||
Weighted average remaining contractual life in months | 5 months | |||
2014 Grant | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of options granted | 60,000 | |||
Vesting period | 100% vested at date of grant | |||
Exercise price | $ 8.05 | |||
Exercisable period, start date | Jun. 6, 2014 | |||
Exercisable period, end date | Jun. 5, 2017 | |||
Weighted average remaining contractual life in months | 17 months 6 days | |||
First 2015 Grant | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of options granted | 50,000 | |||
Vesting period | 100% vested at date of grant | |||
Exercise price | $ 3.97 | |||
Exercisable period, start date | Apr. 14, 2015 | |||
Exercisable period, end date | Apr. 13, 2018 | |||
Weighted average remaining contractual life in months | 27 months 12 days | |||
Second 2015 Grant | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of options granted | 75,000 | |||
Vesting period | 100% vested at date of grant | |||
Exercise price | $ 5.33 | |||
Exercisable period, start date | Jun. 5, 2015 | |||
Exercisable period, end date | Jun. 4, 2018 | |||
Weighted average remaining contractual life in months | 29 months 3 days | |||
Third 2015 Grant | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of options granted | 631,869 | |||
Vesting period | 100% vested at date of grant | |||
Exercise price | $ 8 | |||
Exercisable period, start date | Oct. 30, 2015 | |||
Exercisable period, end date | Oct. 29, 2020 | |||
Weighted average remaining contractual life in months | 58 months | |||
Fourth 2015 Grant | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of options granted | 30,000 | |||
Vesting period | 100% vested at date of grant | |||
Exercise price | $ 8 | |||
Exercisable period, start date | Nov. 2, 2015 | |||
Exercisable period, end date | Oct. 29, 2020 | |||
Weighted average remaining contractual life in months | 58 months | |||
Fifth 2015 Grant | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of options granted | 15,000 | |||
Vesting period | 100% vested at date of grant | |||
Exercise price | $ 8 | |||
Exercisable period, start date | Dec. 1, 2015 | |||
Exercisable period, end date | Oct. 29, 2020 | |||
Weighted average remaining contractual life in months | 58 months | |||
Sixth 2015 Grant | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of options granted | 50,000 | |||
Vesting period | 100% vested at date of grant | |||
Exercise price | $ 8 | |||
Exercisable period, start date | Dec. 17, 2015 | |||
Exercisable period, end date | Oct. 29, 2020 | |||
Weighted average remaining contractual life in months | 58 months | |||
[1] | Exercisable period modified in 2015 |
Weighted Average Fair Value Opt
Weighted Average Fair Value Options Granted, Assumptions (Detail) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | |||
Risk-free interest rate | 0.86% | 0.52% | |
Expected life | 3 years | 3 years | |
Expected volatility | 58.86% | 52.36% | |
Expected dividend yield | 4.22% | 5.87% | |
Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | |||
Risk-free interest rate | 0.85% | ||
Expected life | 3 years | ||
Expected volatility | 49.50% | ||
Expected dividend yield | 1.35% | ||
Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | |||
Risk-free interest rate | 1.73% | ||
Expected life | 5 years | ||
Expected volatility | 55.94% | ||
Expected dividend yield | 2.02% |
Computation of Basic and Dilute
Computation of Basic and Diluted Earnings (Loss) Per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | |||
Income (loss) from continuing operations | $ (12,528) | $ (5,416) | $ 5,259 |
Income (loss) from discontinued operations | (630) | (20,172) | (4,962) |
Consolidated net income attributable to Nam Tai shareholders | (13,158) | (25,588) | 297 |
Income (loss) from continuing operations | (12,528) | (5,416) | 5,259 |
Income (loss) from discontinued operations | (630) | (20,172) | (4,962) |
Consolidated net income attributable to Nam Tai shareholders | $ (13,158) | $ (25,588) | $ 297 |
Weighted average number of shares, basic | 40,548,784 | 44,409,526 | 45,222,532 |
Effect of dilutive securities - Stock options | 470,318 | ||
Weighted average number of shares, diluted | 40,548,784 | 44,409,526 | 45,692,850 |
Basic income (loss) per share from continuing operations | $ (0.31) | $ (0.12) | $ 0.12 |
Basic income (loss) per share from discontinued operations | (0.01) | (0.46) | (0.11) |
Basic earnings per share | (0.32) | (0.58) | 0.01 |
Diluted income (loss) per share from continuing operations | (0.31) | (0.12) | 0.12 |
Diluted income (loss) per share from discontinued operations | (0.01) | (0.46) | (0.11) |
Diluted earnings per share | $ (0.32) | $ (0.58) | $ 0.01 |
Continuing Operations | |||
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | |||
Weighted average number of shares, basic | 40,548,784 | 44,409,526 | 45,222,532 |
Weighted average number of shares, diluted | 40,548,784 | 44,409,526 | 45,692,850 |
Discontinued Operations | |||
Earnings Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | |||
Weighted average number of shares, basic | 40,548,784 | 44,409,526 | 45,222,532 |
Weighted average number of shares, diluted | 40,548,784 | 44,409,526 | 45,692,850 |
Staff Retirement Plans - Additi
Staff Retirement Plans - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Defined Contribution Plan Disclosure [Line Items] | |||
Age of employees to be eligible to Mandatory Provident Fund, Minimum | 18 years | ||
Age of employees to be eligible to Mandatory Provident Fund, Maximum | 64 years | ||
Minimum service duration to be eligible to Mandatory Provident Fund | 60 days | ||
Contribution made to Mandatory Provident Fund, based on staff's relevant income | 5.00% | ||
Maximum contribution per employee to Mandatory Provident Fund | $ 4 | ||
Retirement age of employees | 65 years | ||
Percentage of employer contributions for which staff are entitled | 100.00% | ||
Cost of employer contribution | $ 149 | $ 402 | $ 2,545 |
Local governments of Wuxi | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Percentage of salary required for contribution | 20.00% | ||
Minimum | Local Governments of Shenzhen | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Percentage of salary required for contribution | 13.00% | ||
Maximum | Local Governments of Shenzhen | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Percentage of salary required for contribution | 14.00% |
Components of Other Income (Exp
Components of Other Income (Expense), Net (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Other Income and Expenses [Abstract] | |||
Foreign exchange income (loss), net | $ (8,678) | $ (3,690) | $ 2,528 |
Interest income from finance lease receivable | 303 | 656 | 979 |
Gain on disposal of idle property, plant and equipment | 106 | 447 | 1,352 |
Others | 880 | 208 | 1,480 |
Other income (expense), net | $ (7,389) | $ (2,379) | $ 6,339 |
Components of Income Before Inc
Components of Income Before Income Tax (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | |||
PRC, excluding Hong Kong | $ 53 | $ 812 | $ 5,078 |
Hong Kong and other jurisdictions | (12,581) | (6,228) | (1,197) |
Income (loss) before income tax | $ (12,528) | $ (5,416) | $ 3,881 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 1 Months Ended | 12 Months Ended | |||||||||||||||||
Jan. 31, 2011 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2008 | Dec. 30, 2015 | Oct. 15, 2015 | Feb. 08, 2015 | Dec. 31, 2012 | Dec. 31, 2011 | Feb. 17, 2011 | Feb. 08, 2011 | Dec. 31, 2010 | Nov. 30, 2010 | Dec. 31, 2009 | Sep. 14, 2009 | Feb. 17, 2009 | May. 31, 2008 | Oct. 31, 2007 | |
Income Tax Contingency [Line Items] | |||||||||||||||||||
Enacted tax rate | 25.00% | 25.00% | 25.00% | ||||||||||||||||
Dividend withholding tax rate | 5.00% | ||||||||||||||||||
Deferred tax liability on withholding tax on undistributed profits of PRC subsidiaries | $ 0 | $ 0 | $ 0 | ||||||||||||||||
Reversed deferred tax liabilities | 1,378,000 | ||||||||||||||||||
Interest and penalties related to uncertain tax positions | 0 | 0 | 0 | ||||||||||||||||
Material unrecognized tax benefit | 0 | 0 | 0 | ||||||||||||||||
Additional Tax against two former directors | 2,323,000 | ||||||||||||||||||
Additional tax by way of penalty | 1,626,000 | ||||||||||||||||||
Accrued legal and counsel costs | 1,032,000 | ||||||||||||||||||
Provision for uncertain tax positions | 0 | ||||||||||||||||||
Movement of valuation allowance | (3,393,000) | 4,165,000 | 644,000 | ||||||||||||||||
Net operating losses carryforward indefinitely | $ 29,057,000 | 23,289,000 | 23,285,000 | ||||||||||||||||
Income tax expense | $ (1,378,000) | ||||||||||||||||||
Continuing Operations | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Movement of valuation allowance | $ (3,393,000) | 307,000 | |||||||||||||||||
Discontinued Operations | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Movement of valuation allowance | $ 3,858,000 | ||||||||||||||||||
Directors And Officers | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Taxable years involved in controversy, number of years prior to notice | 18 years | ||||||||||||||||||
December 31, 2016 | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Net operating losses carryforward from continuing operations subjected to expiration | 4,011,000 | ||||||||||||||||||
December 31, 2017 | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Net operating losses carryforward from continuing operations subjected to expiration | 3,813,000 | ||||||||||||||||||
December 31, 2019 | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Net operating losses carryforward from continuing operations subjected to expiration | 12,820,000 | ||||||||||||||||||
December 31, 2020 | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Net operating losses carryforward from continuing operations subjected to expiration | $ 694,000 | ||||||||||||||||||
Hong Kong | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Enacted tax rate | 16.50% | 16.50% | 16.50% | ||||||||||||||||
Internal Revenue Service (IRS) | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Income tax expense | $ 0 | $ 0 | $ 0 | ||||||||||||||||
Wuxi Zastron Precision-Flex Co., Ltd. (Wuxi Zastron-Flex) | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Enacted tax rate | 25.00% | 25.00% | |||||||||||||||||
Percentage of income tax exemption | 100.00% | 50.00% | 50.00% | 50.00% | 100.00% | ||||||||||||||
Tax exemption period | 5 years | ||||||||||||||||||
Taxable years from 1996/1997 to 1999/2000 | Nam Tai Trading Company Limited | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Income tax assessment | $ 120,000 | $ 2,900,000 | |||||||||||||||||
Taxable years from 1997/1998 to 2000/2001 | Nam Tai Trading Company Limited | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Income tax assessment | $ 3,000,000 | ||||||||||||||||||
Taxable years from 1996/1997 to 2003/2004 | Nam Tai Trading Company Limited | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Income tax assessment | 900,000 | ||||||||||||||||||
Taxable years from 1996/1997, 1998/1999 and 1999/2000 | Nam Tai Trading Company Limited | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Income tax assessment | $ 1,100,000 | ||||||||||||||||||
Tax years of 2001 and 2002 | Nam Tai Group Management Limited | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Income tax assessment | $ 172,000 | ||||||||||||||||||
Taxable years 2001/2002 to 2003/2004 | Nam Tai Group Management Limited | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Income tax assessment | $ 1,098,000 | $ 855,000 | |||||||||||||||||
Total certified taxed costs | $ 5,000 | ||||||||||||||||||
Taxable year 2002/2003 | Nam Tai Telecom (Hong Kong) Company Limited | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Income tax assessment | $ 392,000 | $ 34,000 | $ 337,000 | ||||||||||||||||
Total certified taxed costs | $ 5,000 | ||||||||||||||||||
Taxable years 1996/1997 and 1999/2000 | Directors And Officers | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Income tax assessment | $ 1,540,000 | ||||||||||||||||||
Taxable year 1997/1998 | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Additional tax by way of penalty | 697,000 | ||||||||||||||||||
Taxable year 1997/1998 | Directors And Officers | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Income tax assessment | $ 667,000 | ||||||||||||||||||
Taxable year 1996/1997 | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Additional tax by way of penalty | 826,000 | ||||||||||||||||||
Taxable years 1999/2000 | |||||||||||||||||||
Income Tax Contingency [Line Items] | |||||||||||||||||||
Additional tax by way of penalty | $ 800,000 |
Current and Deferred Components
Current and Deferred Components of Income Tax Expense (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | |||
Current tax | |||
Deferred tax | $ 1,378 | ||
Income tax (expense) credit | $ 1,378 |
Deferred Tax Assets and Liabili
Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income Tax Disclosure [Abstract] | ||||
Net operating losses | $ 6,609 | $ 10,125 | ||
Property, plant and equipment | 123 | |||
Total deferred tax assets | 6,732 | 10,125 | ||
Less: valuation allowance | $ (6,732) | $ (10,125) | $ (5,960) | $ (5,316) |
Deferred tax assets | ||||
Net deferred tax assets |
Movement of Deferred Tax Assets
Movement of Deferred Tax Assets Valuation Allowance (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | |||
At beginning of the year | $ 10,125 | $ 5,960 | $ 5,316 |
Current year addition (deduction) | (3,393) | 4,165 | 644 |
At end of the year | $ 6,732 | $ 10,125 | $ 5,960 |
Reconciliation of Income Tax Ex
Reconciliation of Income Tax Expense to Amount Computed by applying Current Tax Rate to Income (Loss) Before Income Taxes (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | |||
Income (loss) before income taxes | $ (12,528) | $ (5,416) | $ 3,881 |
PRC tax rate | 25.00% | 25.00% | 25.00% |
Tax loss (income tax expense) at PRC tax rate on income before income tax | $ 3,132 | $ 1,354 | $ (970) |
Effect of difference between Hong Kong and PRC tax rates applied to Hong Kong income | (478) | (694) | (487) |
Change in valuation allowance | $ 3,393 | (307) | (644) |
Reversal of deferred tax liability on withholding tax on undistributed profits of PRC subsidiaries | 1,378 | ||
Non-deductible and non-taxable items | $ (6,335) | (471) | 1,850 |
Others | $ 288 | $ 118 | 251 |
Income tax (expense) credit | $ 1,378 |
Contractual Obligations, Includ
Contractual Obligations, Including Capital Expenditures and Future Minimum Lease Payments Under Non-Cancelable Operating Lease Arrangements and Purchase Commitments (Detail) $ in Thousands | Dec. 31, 2015USD ($) |
Long-term Purchase Commitment [Line Items] | |
Contractual Obligations | $ 4,290 |
Contractual Obligations, 2016 | 2,236 |
Contractual Obligations, 2017 | 1,393 |
Contractual Obligations, 2018 | 661 |
Capital Commitments | |
Long-term Purchase Commitment [Line Items] | |
Contractual Obligations | 4,290 |
Contractual Obligations, 2016 | 2,236 |
Contractual Obligations, 2017 | 1,393 |
Contractual Obligations, 2018 | $ 661 |
Operating Leases as Lessor - Ad
Operating Leases as Lessor - Additional Information (Detail) - Namtai Shenzhen | 12 Months Ended |
Dec. 31, 2015 | |
Operating Leased Assets [Line Items] | |
Lease agreement date | Mar. 25, 2014 |
Buildings | |
Operating Leased Assets [Line Items] | |
Lease expiration term | 3 years |
Beginning date of lease term | May 1, 2014 |
Ending date of lease term | Apr. 30, 2017 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) - Segment | 12 Months Ended | |||
Dec. 31, 2015 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Segment Reporting [Abstract] | ||||
Number of reportable segments | 1 | 2 | 2 |
Summary of Net Income (Loss) by
Summary of Net Income (Loss) by Geographical Areas (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Segment Reporting, Revenue Reconciling Item [Line Items] | |||
Rental income | $ 2,978 | $ 2,341 | $ 136 |
Total net (loss) income attributable to Nam Tai shareholders | (12,528) | (5,416) | 5,259 |
PRC (excluding Hong Kong) | |||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||
Rental income | 2,978 | 2,341 | 136 |
Total net (loss) income attributable to Nam Tai shareholders | 53 | 812 | 6,456 |
Hong Kong | |||
Segment Reporting, Revenue Reconciling Item [Line Items] | |||
Total net (loss) income attributable to Nam Tai shareholders | $ (12,581) | $ (6,228) | $ (1,197) |
Summary of Long-Lived Assets by
Summary of Long-Lived Assets by Geographical Areas (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Segment Reporting Information [Line Items] | ||
Long lived assets | $ 38,392 | $ 35,590 |
PRC (excluding Hong Kong) | ||
Segment Reporting Information [Line Items] | ||
Long lived assets | 34,935 | 31,897 |
Hong Kong | ||
Segment Reporting Information [Line Items] | ||
Long lived assets | $ 3,457 | $ 3,693 |
Employee Severance Benefits - A
Employee Severance Benefits - Additional Information (Detail) $ in Thousands | 12 Months Ended |
Dec. 31, 2014USD ($) | |
Restructuring Cost and Reserve [Line Items] | |
Employee severance benefits | $ 195 |
Discontinued Operations | |
Restructuring Cost and Reserve [Line Items] | |
Employee severance benefits | 92 |
General and Administrative Expense | |
Restructuring Cost and Reserve [Line Items] | |
Employee severance benefits | $ 103 |
Provision for Employee Severanc
Provision for Employee Severance Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Restructuring and Related Activities [Abstract] | ||
Provision for employee severance benefits beginning balance | $ 104 | $ 11,003 |
Provision for the year | 195 | |
Payments during the year | $ (104) | (11,094) |
Provision for employee severance benefits ending balance | $ 104 |
Statements Of Income (Detail)
Statements Of Income (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | ||
Condensed Income Statements, Captions [Line Items] | ||||
General and administrative expenses | $ (13,862) | $ (13,417) | $ (7,465) | |
Other income (expense), net | (7,389) | (2,379) | 6,339 | |
Interest income | 8,054 | 9,173 | 4,939 | |
Income (loss) before income tax | $ (12,528) | (5,416) | 3,881 | |
Income tax expenses | 1,378 | |||
Consolidated net income (loss) attributable to Nam Tai Property Inc. shareholders | $ (13,158) | (25,588) | 297 | |
Other comprehensive income | 0 | 0 | 0 | |
Comprehensive income (loss) attributable to Nam Tai shareholders | (13,158) | (25,588) | 297 | |
Parent Company | ||||
Condensed Income Statements, Captions [Line Items] | ||||
General and administrative expenses | [1] | (6,579) | (715) | (2,073) |
Other income (expense), net | (8,204) | (135,374) | 12,215 | |
Interest income on loan to a subsidiary | 5,005 | |||
Interest income | 3,856 | 4,732 | 2,626 | |
Interest expense | (360) | (61) | ||
Income (loss) before income tax | (11,287) | (131,418) | 17,773 | |
Income tax expenses | 0 | 0 | 0 | |
Income (loss) before share of net profits of subsidiaries, net of income tax | (11,287) | (131,418) | 17,773 | |
Share of net (losses) profits subsidiaries, net of income tax | (1,871) | 105,830 | (17,476) | |
Consolidated net income (loss) attributable to Nam Tai Property Inc. shareholders | (13,158) | (25,588) | 297 | |
Other comprehensive income | 0 | 0 | 0 | |
Comprehensive income (loss) attributable to Nam Tai shareholders | $ (13,158) | $ (25,588) | $ 297 | |
[1] | Amount of share-based compensation expense included in general and administrative expenses $ 1,536 $ 309 $ 1,685 |
Statements Of Income (Parenthet
Statements Of Income (Parenthetical) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Condensed Income Statements, Captions [Line Items] | |||
Share-based compensation expenses | $ 1,685 | $ 309 | $ 1,536 |
Parent Company | |||
Condensed Income Statements, Captions [Line Items] | |||
Share-based compensation expenses | $ 1,685 | $ 309 | $ 1,536 |
Balance Sheets (Detail)
Balance Sheets (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Jul. 08, 2015 | Jun. 26, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Current assets: | ||||||
Cash and cash equivalents | $ 157,371 | $ 212,760 | $ 68,707 | $ 157,838 | ||
Short term investments | 49,983 | 85,295 | ||||
Prepaid expenses and other receivables | 3,366 | 5,100 | ||||
Total current assets | 232,483 | 330,960 | ||||
Property, plant and equipment, net | 26,830 | 25,945 | ||||
Total assets | 271,480 | 367,753 | ||||
Current liabilities: | ||||||
Accrued expenses and other payables | 2,819 | 7,219 | ||||
Dividend payable | 2,936 | 3,409 | ||||
Bank loan | 40,000 | $ 35,000 | $ 55,000 | 40,000 | ||
Total current liabilities | 5,915 | 50,801 | ||||
Shareholders' equity: | ||||||
Common shares ($0.01 par value-authorized 200,000,000 shares, issued and outstanding 42,618,322 and 36,699,572 shares as at December 31, 2014 and 2015, respectively) | 367 | 426 | ||||
Additional paid-in capital | 243,280 | 274,276 | ||||
Retained earnings | 26,343 | 42,258 | ||||
Accumulated other comprehensive loss | (4,425) | (8) | ||||
Total shareholders' equity | 265,565 | 316,952 | 363,390 | 362,792 | ||
Total liabilities and equity | 271,480 | 367,753 | ||||
Parent Company | ||||||
Current assets: | ||||||
Cash and cash equivalents | 31,387 | 56,099 | 40,535 | 68,568 | ||
Short term investments | 48,752 | 73,505 | ||||
Prepaid expenses and other receivables | 2,566 | 4,026 | ||||
Amounts due from subsidiaries | 153,463 | 10,037 | ||||
Total current assets | 236,168 | 143,667 | ||||
Property, plant and equipment, net | 3,457 | 3,693 | ||||
Investments in subsidiaries | 228,257 | 234,545 | ||||
Total assets | 467,882 | 381,905 | ||||
Current liabilities: | ||||||
Accrued expenses and other payables | 1,409 | 881 | ||||
Dividend payable | 2,936 | 3,409 | ||||
Bank loan | 40,000 | |||||
Amounts due to subsidiaries | 157,347 | 20,663 | ||||
Total current liabilities | 161,692 | 64,953 | ||||
Long term loan | 40,625 | |||||
Total liabilities | 202,317 | 64,953 | ||||
Shareholders' equity: | ||||||
Common shares ($0.01 par value-authorized 200,000,000 shares, issued and outstanding 42,618,322 and 36,699,572 shares as at December 31, 2014 and 2015, respectively) | 367 | 426 | ||||
Additional paid-in capital | 243,280 | 274,276 | ||||
Retained earnings | 26,343 | 42,258 | ||||
Accumulated other comprehensive loss | (4,425) | (8) | ||||
Total shareholders' equity | 265,565 | 316,952 | $ 363,390 | $ 362,792 | ||
Total liabilities and equity | $ 467,882 | $ 381,905 |
Balance Sheets (Parenthetical)
Balance Sheets (Parenthetical) (Detail) - $ / shares | Dec. 31, 2015 | Dec. 31, 2014 |
Condensed Balance Sheet Statements, Captions [Line Items] | ||
Common shares, par value | $ 0.01 | $ 0.01 |
Common shares, authorized | 200,000,000 | 200,000,000 |
Common shares, issued | 36,699,572 | 42,618,322 |
Common shares, outstanding | 36,699,572 | 42,618,322 |
Parent Company | ||
Condensed Balance Sheet Statements, Captions [Line Items] | ||
Common shares, par value | $ 0.01 | $ 0.01 |
Common shares, authorized | 200,000,000 | 200,000,000 |
Common shares, issued | 36,699,572 | 42,618,322 |
Common shares, outstanding | 36,699,572 | 42,618,322 |
Statements Of Changes In Shareh
Statements Of Changes In Shareholders' Equity (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Condensed Financial Statements, Captions [Line Items] | |||
Balance | $ 316,952 | $ 363,390 | $ 362,792 |
Shares issued on exercise of options | $ 3,996 | $ 89 | $ 2,598 |
Shares issued on exercise of options (in shares) | 600,000 | 15,000 | 469,000 |
Cancellation of shares, value | $ (36,736) | $ (17,880) | |
Stock-based compensation expenses | 1,685 | 309 | $ 1,536 |
Consolidated net income (loss) | (13,158) | (25,588) | 297 |
Cash dividends declared ($0.08 per share) | (2,936) | (3,409) | (3,622) |
Cash dividends paid | (211) | ||
Cash dividends reversal | 179 | 41 | |
Accumulated other comprehensive loss | (4,417) | ||
Balance | 265,565 | 316,952 | 363,390 |
Parent Company | |||
Condensed Financial Statements, Captions [Line Items] | |||
Balance | 316,952 | 363,390 | 362,792 |
Shares issued on exercise of options | 3,996 | 89 | 2,598 |
Cancellation of shares, value | (36,736) | (17,880) | |
Stock-based compensation expenses | 1,685 | 309 | 1,536 |
Consolidated net income (loss) | (13,158) | (25,588) | 297 |
Cash dividends declared ($0.08 per share) | (2,936) | (3,409) | (3,622) |
Cash dividends paid | (211) | ||
Cash dividends reversal | 179 | 41 | |
Accumulated other comprehensive loss | (4,417) | ||
Balance | 265,565 | 316,952 | 363,390 |
Common Stock | |||
Condensed Financial Statements, Captions [Line Items] | |||
Balance | $ 426 | $ 453 | $ 448 |
Balance (in shares) | 42,618,322 | 45,272,735 | 44,803,735 |
Shares issued on exercise of options | $ 6 | $ 5 | |
Shares issued on exercise of options (in shares) | 600,000 | 15,000 | 469,000 |
Cancellation of shares, value | $ (65) | $ (27) | |
Cancellation of shares, shares | (6,518,750) | (2,669,413) | |
Balance | $ 367 | $ 426 | $ 453 |
Balance (in shares) | 36,699,572 | 42,618,322 | 45,272,735 |
Common Stock | Parent Company | |||
Condensed Financial Statements, Captions [Line Items] | |||
Balance | $ 426 | $ 453 | $ 448 |
Balance (in shares) | 42,618,322 | 45,272,735 | 44,803,735 |
Shares issued on exercise of options | $ 6 | $ 5 | |
Shares issued on exercise of options (in shares) | 600,000 | 15,000 | 469,000 |
Cancellation of shares, value | $ (65) | $ (27) | |
Cancellation of shares, shares | (6,518,750) | (2,669,413) | |
Balance | $ 367 | $ 426 | $ 453 |
Balance (in shares) | 36,699,572 | 42,618,322 | 45,272,735 |
Additional Paid-in Capital | |||
Condensed Financial Statements, Captions [Line Items] | |||
Balance | $ 274,276 | $ 291,731 | $ 287,602 |
Shares issued on exercise of options | 3,990 | 89 | 2,593 |
Cancellation of shares, value | (36,671) | (17,853) | |
Stock-based compensation expenses | 1,685 | 309 | 1,536 |
Balance | 243,280 | 274,276 | 291,731 |
Additional Paid-in Capital | Parent Company | |||
Condensed Financial Statements, Captions [Line Items] | |||
Balance | 274,276 | 291,731 | 287,602 |
Shares issued on exercise of options | 3,990 | 89 | 2,593 |
Cancellation of shares, value | (36,671) | (17,853) | |
Stock-based compensation expenses | 1,685 | 309 | 1,536 |
Balance | 243,280 | 274,276 | 291,731 |
Retained Earnings | |||
Condensed Financial Statements, Captions [Line Items] | |||
Balance | 42,258 | 71,214 | 74,750 |
Consolidated net income (loss) | (13,158) | (25,588) | 297 |
Cash dividends declared ($0.08 per share) | (2,936) | (3,409) | (3,622) |
Cash dividends paid | (211) | ||
Cash dividends reversal | 179 | 41 | |
Balance | 26,343 | 42,258 | 71,214 |
Retained Earnings | Parent Company | |||
Condensed Financial Statements, Captions [Line Items] | |||
Balance | 42,258 | 71,214 | 74,750 |
Consolidated net income (loss) | (13,158) | (25,588) | 297 |
Cash dividends declared ($0.08 per share) | (2,936) | (3,409) | (3,622) |
Cash dividends paid | (211) | ||
Cash dividends reversal | 179 | 41 | |
Balance | 26,343 | 42,258 | 71,214 |
Accumulated Other Comprehensive Loss | |||
Condensed Financial Statements, Captions [Line Items] | |||
Balance | (8) | (8) | (8) |
Accumulated other comprehensive loss | (4,417) | ||
Balance | (4,425) | (8) | (8) |
Accumulated Other Comprehensive Loss | Parent Company | |||
Condensed Financial Statements, Captions [Line Items] | |||
Balance | (8) | (8) | (8) |
Accumulated other comprehensive loss | (4,417) | ||
Balance | $ (4,425) | $ (8) | $ (8) |
Statements Of Changes In Shar83
Statements Of Changes In Shareholders' Equity (Parenthetical) (Detail) - $ / shares | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Condensed Financial Statements, Captions [Line Items] | |||
Cash dividends, per share | $ 0.08 | $ 0.08 | $ 0.08 |
Parent Company | |||
Condensed Financial Statements, Captions [Line Items] | |||
Cash dividends, per share | $ 0.08 | $ 0.08 | $ 0.08 |
Statements of Cash flows (Detai
Statements of Cash flows (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Cash flows from operating activities: | |||
Net income (loss) attributable to Nam Tai shareholders | $ (13,158) | $ (25,588) | $ 297 |
Adjustments to reconcile net income attributable to Nam Tai shareholders to net cash provided by operating activities: | |||
Depreciation | 2,129 | 1,609 | 351 |
Share-based compensation expenses | 1,685 | 309 | 1,536 |
Changes in current assets and liabilities: | |||
(Increase) decrease in prepaid expenses and other receivables | 1,723 | 3,072 | 21,656 |
(Decrease) increase in accrued expenses and other payables | (4,536) | (21,781) | (8,891) |
Net cash provided by (used in) operating activities | (8,782) | (10,360) | 82,042 |
Cash flows from investing activities: | |||
Purchase of property, plant and equipment | (2,349) | (1,663) | (3,653) |
Net cash (used in) provided by investing activities | 38,011 | 141,244 | (140,383) |
Cash flows from financing activities: | |||
Proceeds from short term bank borrowing | 92,432 | 40,000 | |
Repayment of short term bank borrowing | (132,432) | (4,824) | |
Share repurchase program | (36,704) | (17,561) | |
Dividend paid | (3,230) | (3,581) | (27,093) |
Proceeds from options exercise | 3,996 | 89 | 2,598 |
Net cash (used in) provided by financing activities | (75,938) | 18,947 | (32,877) |
Cash and cash equivalents at beginning of year | 212,760 | 68,707 | 157,838 |
Cash and cash equivalents at end of year | 157,371 | 212,760 | 68,707 |
Parent Company | |||
Cash flows from operating activities: | |||
Net income (loss) attributable to Nam Tai shareholders | (13,158) | (25,588) | 297 |
Adjustments to reconcile net income attributable to Nam Tai shareholders to net cash provided by operating activities: | |||
Share of net losses (profits) of subsidiaries, net of taxes | 1,871 | (105,830) | 17,476 |
Depreciation | 237 | 111 | |
Share-based compensation expenses | 1,685 | 309 | 1,536 |
Cancellation of loan and interest owing by subsidiary | 133,354 | ||
Changes in current assets and liabilities: | |||
(Increase) decrease in prepaid expenses and other receivables | 1,460 | (1,197) | (2,553) |
(Decrease) increase in accrued expenses and other payables | 496 | 53 | (929) |
Net cash provided by (used in) operating activities | (7,409) | 1,101 | 15,938 |
Cash flows from investing activities: | |||
Purchase of property, plant and equipment | (1) | ||
(Increase) decrease in short term investment | 24,753 | (8,530) | (15,793) |
(Increase) decrease in amounts due from subsidiaries | (6,742) | 4,046 | (3,683) |
Net cash (used in) provided by investing activities | 18,010 | (4,484) | (19,476) |
Cash flows from financing activities: | |||
Proceeds from a long term loan of a subsidiary | 40,625 | ||
Proceeds from short term bank borrowing | 92,432 | 40,000 | |
Repayment of short term bank borrowing | (132,432) | ||
Share repurchase program | (36,704) | (17,561) | |
Dividend paid | (3,230) | (3,581) | (27,093) |
Proceeds from options exercise | 3,996 | 89 | 2,598 |
Net cash (used in) provided by financing activities | (35,313) | 18,947 | (24,495) |
Net (decrease) increase in cash and cash equivalents | (24,712) | 15,564 | (28,033) |
Cash and cash equivalents at beginning of year | 56,099 | 40,535 | 68,568 |
Cash and cash equivalents at end of year | $ 31,387 | $ 56,099 | $ 40,535 |
Note to Schedule One - Addition
Note to Schedule One - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |||
Reserves and registered capital of PRC subsidiaries | $ 347,977,000 | $ 343,719,000 | |
Minimum percentage of restricted net assets of consolidated and unconsolidated subsidiaries to consolidated net assets to file condensed financial information | 25.00% | ||
Cash dividend was declared by subsidiaries | $ 0 | 0 | $ 0 |
Cash dividend was paid by subsidiaries | $ 0 | $ 0 | $ 0 |