Encore Wire (WIRE) 10-K 16 Feb 23 2022 FY Annual report Financial data

Cover Page

Cover Page - USD ($)	12 Months Ended
	Dec. 31, 2022	Feb. 15, 2023	Jun. 30, 2022
Cover [Abstract]
Document Type	10-K
Document Annual Report	true
Document Period End Date	Dec. 31, 2022
Current Fiscal Year End Date	--12-31
Document Transition Report	false
Entity File Number	000-20278
Entity Registrant Name	ENCORE WIRE CORPORATION
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	75-2274963
Entity Address, Address Line One	1329 Millwood Road
Entity Address, City or Town	McKinney,
Entity Address, State or Province	TX
Entity Address, Postal Zip Code	75069
City Area Code	972
Local Phone Number	562-9473
Title of 12(b) Security	Common Stock, par value $.01 per share
Trading Symbol	WIRE
Security Exchange Name	NASDAQ
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
ICFR Auditor Attestation Flag	true
Entity Shell Company	false
Entity Public Float			$ 1,391,693,315
Entity Common Stock, Shares Outstanding		18,270,386
Documents Incorporated by Reference	Listed below are documents, parts of which are incorporated herein by reference, and the part of this report into which the document is incorporated: (1) Proxy statement for the 2023 annual meeting of stockholders – Part III
Entity Central Index Key	0000850460
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	FY
Amendment Flag	false

Audit Information

Audit Information	12 Months Ended
	Dec. 31, 2022
Audit Information [Abstract]
Auditor Firm ID	42
Auditor Name	Ernst & Young LLP
Auditor Location	Dallas, Texas

Balance Sheets

Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Current assets:
Cash and cash equivalents	$ 730,557	$ 438,990
Accounts receivable, net of allowance of $3,800 and $3,800	498,762	491,126
Inventories, net	153,187	100,816
Income taxes receivable	15,143	951
Prepaid expenses and other	3,992	3,167
Total current assets	1,401,641	1,035,050
Property, plant and equipment, net	616,601	494,916
Other assets	490	570
Total assets	2,018,732	1,530,536
Current liabilities:
Trade accounts payable	62,780	75,353
Accrued liabilities	81,381	78,747
Total current liabilities	144,161	154,100
Deferred income taxes and other	55,905	37,347
Commitments and contingencies
Stockholders’ equity:
Preferred stock value	0	0
Common stock value	271	271
Additional paid-in capital	83,622	72,753
Treasury stock, at cost – 8,999,732 and 6,944,262 shares	(402,639)	(155,014)
Retained earnings	2,137,412	1,421,079
Total stockholders’ equity	1,818,666	1,339,089
Total liabilities and stockholders’ equity	$ 2,018,732	$ 1,530,536

Balance Sheets (Parenthetical)

Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Statement of Financial Position [Abstract]
Allowance for accounts receivable	$ 3,800	$ 3,800
Preferred stock, par value (in usd per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized (in shares)	2,000,000	2,000,000
Preferred stock, shares issued (in shares)	0	0
Common stock, par value (in usd per share)	$ 0.01	$ 0.01
Common stock, shares authorized (in shares)	40,000,000	40,000,000
Common stock, shares issued (in shares)	27,139,611	27,083,100
Treasury stock (in shares)	8,999,732	6,944,262

Statements of Income

Statements of Income - USD ($) shares in Thousands, $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Income Statement [Abstract]
Net sales	$ 3,017,555	$ 2,592,721	$ 1,276,948
Cost of goods sold	1,905,134	1,724,975	1,082,413
Gross profit	1,112,421	867,746	194,535
Selling, general and administrative expenses	197,418	168,543	97,008
Operating income	915,003	699,203	97,527
Net interest and other income	9,847	194	1,269
Income before income taxes	924,850	699,397	98,796
Provision for income taxes	207,009	157,975	22,729
Net income	$ 717,841	$ 541,422	$ 76,067
Earnings per common and common equivalent share - basic (in usd per share)	$ 37.47	$ 26.49	$ 3.69
Earnings per common and common equivalent share - diluted (in usd per share)	$ 36.91	$ 26.22	$ 3.68
Weighted average common and common equivalent shares outstanding – basic (in shares)	19,159	20,439	20,599
Weighted average common and common equivalent shares outstanding – diluted (in shares)	19,446	20,649	20,653
Cash dividends declared per share (in usd per share)	$ 0.08	$ 0.08	$ 0.08

Statements of Stockholders' Equ

Statements of Stockholders' Equity - USD ($) $ in Thousands	Total	Common Stock	Additional Paid-In Capital	Treasury Stock	Retained Earnings
Beginning balance (in shares) at Dec. 31, 2019		26,939,000
Beginning balance at Dec. 31, 2019	$ 779,096	$ 269	$ 63,009	$ (91,056)	$ 806,874
Beginning balance, treasury shares (in shares) at Dec. 31, 2019				(6,027,000)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	76,067				76,067
Exercise of stock options (in shares)		69,000
Exercise of stock options	2,999	$ 1	2,998
Stock-based compensation (in shares)		17,000
Stock-based compensation	1,878		1,878
Dividend declared—$0.08 per share	$ (1,649)				(1,649)
Purchase of treasury stock (in shares)	(441,250)			(441,000)
Purchase of treasury stock	$ (20,662)			$ (20,662)
Ending balance (in shares) at Dec. 31, 2020		27,025,000
Ending balance at Dec. 31, 2020	837,729	$ 270	67,885	$ (111,718)	881,292
Ending balance, treasury shares (in shares) at Dec. 31, 2020				(6,468,000)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	541,422				541,422
Exercise of stock options (in shares)		35,000
Exercise of stock options	1,084	$ 1	1,083
Stock-based compensation (in shares)		23,000
Stock-based compensation	3,785		3,785
Dividend declared—$0.08 per share	$ (1,635)				(1,635)
Purchase of treasury stock (in shares)	(475,557)			(476,000)
Purchase of treasury stock	$ (43,296)			$ (43,296)
Ending balance (in shares) at Dec. 31, 2021		27,083,000
Ending balance at Dec. 31, 2021	$ 1,339,089	$ 271	72,753	$ (155,014)	1,421,079
Ending balance, treasury shares (in shares) at Dec. 31, 2021	(6,944,262)			(6,944,000)
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	$ 717,841				717,841
Exercise of stock options (in shares)	4,000	4,000
Exercise of stock options	$ 207	$ 0	207
Stock-based compensation (in shares)		52,000
Stock-based compensation	10,662		10,662
Dividend declared—$0.08 per share	$ (1,508)				(1,508)
Purchase of treasury stock (in shares)	(2,055,470)			(2,056,000)
Purchase of treasury stock	$ (247,625)			$ (247,625)
Ending balance (in shares) at Dec. 31, 2022		27,139,000
Ending balance at Dec. 31, 2022	$ 1,818,666	$ 271	$ 83,622	$ (402,639)	$ 2,137,412
Ending balance, treasury shares (in shares) at Dec. 31, 2022	(8,999,732)			(9,000,000)

Statements of Stockholders' E_2

Statements of Stockholders' Equity (Parenthetical) - $ / shares	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Statement of Stockholders' Equity [Abstract]
Cash dividends declared per share (in usd per share)	$ 0.08	$ 0.08	$ 0.08

Statements of Cash Flows

Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Operating Activities
Net income	$ 717,841	$ 541,422	$ 76,067
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	26,232	23,288	19,459
Deferred income taxes	19,539	2,264	6,429
Stock-based compensation attributable to equity awards	10,662	3,786	1,878
Other	1,796	5,831	470
Changes in operating assets and liabilities:
Accounts receivable	(7,636)	(216,808)	(53,383)
Inventories	(52,371)	(8,494)	(2,638)
Other assets	(980)	(62)	(746)
Trade accounts payable and accrued liabilities	(12,008)	66,886	7,580
Current income taxes receivable / payable	(14,192)	305	2,346
Net cash provided by operating activities	688,883	418,418	57,462
Investing Activities
Purchases of property, plant and equipment	(148,350)	(118,252)	(86,082)
Proceeds from sale of assets	0	97	91
Net cash used in investing activities	(148,350)	(118,155)	(85,991)
Financing Activities
Deferred financing fees	0	(550)	0
Purchase of treasury stock	(247,625)	(43,296)	(20,662)
Proceeds from issuance of common stock, net	207	1,083	2,999
Dividends paid	(1,548)	(1,633)	(1,650)
Net cash used in financing activities	(248,966)	(44,396)	(19,313)
Net increase (decrease) in cash and cash equivalents	291,567	255,867	(47,842)
Cash and cash equivalents at beginning of period	438,990	183,123	230,965
Cash and cash equivalents at end of period	$ 730,557	$ 438,990	$ 183,123

Significant Accounting Policies

Significant Accounting Policies	12 Months Ended
	Dec. 31, 2022
Accounting Policies [Abstract]
Significant Accounting Policies	Significant Accounting Policies Business The Company conducts its business in one segment, the manufacture of electric building wire, manufacturing a broad range of electrical wire and cables used to distribute power from the transmission grid to the wall outlet or switch. Encore’s diversified product portfolio and low-cost of production position it exceptionally well to play a key role in the transition to a more sustainable and reliable energy infrastructure. Our products are proudly made in America at our vertically-integrated, single-site, Texas campus. The Company sells its products through manufacturers’ representatives to wholesale electrical distributors servicing the residential, commercial, industrial and renewable energy sectors. Copper, a commodity product, is the principal raw material used in the Company’s manufacturing operations. The price of copper fluctuates, depending on general economic conditions and in relation to supply and demand and other factors, and has caused monthly variations in the cost of copper purchased by the Company. The Company cannot predict future copper prices or the effect of fluctuations in the cost of copper on the Company’s future operating results. Basis of Presentation The Company's financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”). In March 2020, the World Health Organization declared COVID-19 a global pandemic and recommended containment and mitigation measures worldwide. The Company is unable to predict the impact that COVID-19, or any ongoing variants, may have on our financial position and operating results in future periods. The duration or re-emergence of the outbreak and its long-term impact on our business remain uncertain. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Revenue Recognition Our revenue is derived by fulfilling customer orders for the purchase of our products, which include electrical building wire and cable. We recognize revenue at the point in time that control of the ordered products is transferred to the customer, which is typically upon shipment to the customer from our manufacturing facilities and based on agreed upon shipping terms on the related purchase order. Amounts billed and due from our customers are classified as accounts receivable on the balance sheet and require payment on a short-term basis through standard payment terms. Revenue is measured as the amount of consideration we expect to receive in exchange for fulfilling product orders. The amount of consideration we expect to receive and revenue we recognize includes estimates for trade payment discounts and customer rebates which are estimated using historical experience and other relevant factors and is recorded within the same period that the revenue is recognized. We review and update these estimates regularly and the impact of any adjustments are recognized in the period the adjustments are identified. The adjustments resulting from updated estimates of trade payment discounts and customer rebates were not material. Freight Expenses The Company classifies shipping and handling costs as a component of selling, general and administrative expenses. Shipping and handling costs were approximately $58.9 million, $47.2 million and $35.2 million for the years ended December 31, 2022, 2021 and 2020, respectively. Derivatives The Company may purchase copper and aluminum at current market prices for delivery in future months. These purchases meet the definition of a derivative in Accounting Standards Codification 815, Derivatives and Hedging (ASC 815). These transactions also qualify for the exclusion from derivative accounting as they meet the normal purchase and normal sale criterion in ASC 815. Fair Value of Financial Instruments Certain items are required to be measured at fair value on a recurring basis, primarily cash equivalents held in banks. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. A three-level hierarchy is followed for disclosure to show the extent and level of judgment used to estimate fair value measurements: Level 1 – Inputs used to measure fair value are unadjusted quoted prices that are available in active markets for the identical assets or liabilities as of the reporting date. Level 2 – Inputs used to measure fair value, other than quoted prices included in Level 1, are either directly or indirectly observable as of the reporting date through correlation with market data, including quoted prices for similar assets and liabilities in active markets and quoted prices in markets that are not active. Level 2 also includes assets and liabilities that are valued using models or other pricing methodologies that do not require significant judgment since the input assumptions used in the models, such as interest rates and volatility factors, are corroborated by readily observable data from actively quoted markets for substantially the full term of the financial instrument. Level 3 – Inputs used to measure fair value are unobservable inputs that are supported by little or no market activity and reflect the use of significant management judgment. These values are generally determined using pricing models for which the assumptions utilize management’s estimates of market participant assumptions. At December 31, 2022 and 2021, the carrying value of cash and cash equivalents is based on Level 1 measurements. Concentrations of Credit Risk and Accounts Receivable Financial instruments that potentially subject the Company to a concentration of credit risk consist principally of cash and cash equivalents and accounts receivable. The Company places its cash and cash equivalents with high credit quality financial institutions. Accounts receivable represent amounts due from customers, primarily wholesale electrical distributors, related to the sale of the Company’s products. Such receivables are uncollateralized and are generally due from customers located throughout the United States. Encore has two customers, each of whom slightly exceeds 10% of the Company's total sales. The Company establishes an allowance for credit losses based upon the makeup of the current portfolio, past bad debt experience and current market conditions. Allowance for Credit Losses (In Thousands) 2022 2021 2020 Beginning balance January 1 $ 3,800 $ 2,215 $ 1,801 Write-offs of bad debts — — (286) Collection of previous write-offs — 122 — Adjustment to allowance for credit losses — 1,463 700 Ending balance at December 31 $ 3,800 $ 3,800 $ 2,215 Cash and Cash Equivalents The Company considers all highly liquid instruments purchased with a maturity of three months or less to be cash equivalents. At December 31, 2022 and 2021, the Company’s cash equivalents consisted of investments in money market accounts with the Company’s banks. Inventories Inventories are stated at the lower of cost, using the LIFO method, or market. The Company evaluates the market value of its raw materials, work-in-process and finished goods inventory primarily based upon current raw material and finished goods prices at the end of each period. Property, Plant, and Equipment Property, plant and equipment is recorded at cost. Depreciation is recorded on a straight-line method over the estimated useful lives of the respective assets as follows: buildings and improvements, 3 to 39 years; machinery and equipment, 2 to 20 years; and furniture and fixtures, 5 to 20 years. Accelerated cost recovery methods are used for tax purposes. Repairs and maintenance costs are expensed as incurred. Stock-Based Compensation Compensation cost for all stock-based compensation expected to vest is measured at fair value on the date of grant and recognized over the related service period. The fair value of stock awards is determined based on the number of shares granted and the quoted price of Encore’s common stock, and the fair value of stock options and stock appreciation rights is estimated on the date of grant using the Black-Scholes model. Such value is recognized as expense over the service period, net of estimated forfeitures, on a straight-line basis. To the extent actual forfeitures or updated estimates of forfeitures differ from management’s current estimates, such amounts are recorded as a cumulative adjustment in the period estimates are revised. Earnings Per Share Earnings per common and common equivalent share is computed using the weighted average number of shares of common stock and common stock equivalents outstanding during each period. The dilutive effects of stock awards, which are common stock equivalents, are calculated using the treasury stock method. Income Taxes Income taxes are provided for based on the liability method, resulting in deferred income tax assets and liabilities arising due to temporary differences. Temporary differences are differences between the tax basis of assets and liabilities and their reported amounts in the financial statements that will result in taxable or deductible amounts in future years. The effect on deferred income tax assets and liabilities of a change in tax rates is recognized in income in the period the change in rate is enacted. Comprehensive Income Comprehensive income is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances from non-owner sources. There were no differences between comprehensive income and reported income in the periods presented. Recent Accounting Pronouncements The Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) is the sole source of authoritative U.S. GAAP, along with the Securities and Exchange Commission ("SEC") and Public Company Accounting Oversight Board (“PCAOB”) issued rules and regulations that apply only to SEC registrants. The FASB issues an Accounting Standard Update (“ASU”) to communicate changes to the codification. The Company considers the applicability and impact of all ASUs. No new standards were adopted in 2022.

Inventories

Inventories	12 Months Ended
	Dec. 31, 2022
Inventory Disclosure [Abstract]
Inventories	Inventories Inventories consist of the following as of December 31: In Thousands 2022 2021 Raw materials $ 69,567 $ 54,012 Work-in-process 42,611 40,422 Finished goods 138,943 123,401 Total 251,121 217,835 Adjust to LIFO cost (97,934) (117,019) Inventory, net $ 153,187 $ 100,816 There were no liquidations of inventories that had a material impact on the Company’s results of operations for any period presented.

Property, Plant and Equipment,

Property, Plant and Equipment, net	12 Months Ended
	Dec. 31, 2022
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment, net	Property, Plant and Equipment, net Property, plant and equipment consist of the following as of December 31: In Thousands 2022 2021 Land and land improvements $ 85,286 $ 72,897 Construction-in-progress 125,809 92,414 Buildings and improvements 232,758 217,985 Machinery and equipment 438,303 362,996 Furniture and fixtures 15,178 13,805 Property, plant and equipment, gross 897,334 760,097 Accumulated depreciation (280,733) (265,181) Property, plant and equipment, net $ 616,601 $ 494,916 Depreciation expense for the years ended December 31, 2022, 2021 and 2020 was $26.1 million, $23.2 million and $19.4 million, respectively.

Accrued Liabilities

Accrued Liabilities	12 Months Ended
	Dec. 31, 2022
Accrued Liabilities, Current [Abstract]
Accrued Liabilities	Accrued Liabilities Accrued liabilities consist of the following as of December 31: In Thousands 2022 2021 Sales rebates payable $ 40,909 $ 40,657 Stock Appreciation Rights (SAR) Liability 20,282 22,095 Property taxes payable 5,287 5,018 Accrued salaries 7,616 4,778 Other accrued liabilities 7,287 6,199 Total accrued liabilities $ 81,381 $ 78,747

Debt

Debt	12 Months Ended
	Dec. 31, 2022
Debt Disclosure [Abstract]
Debt	Debt At December 31, 2022 and 2021, the Company had no debt outstanding. On February 9, 2021, the Company terminated its previous credit agreement and entered into a new Credit Agreement (the “2021 Credit Agreement”) with two banks, Bank of America, N.A., as administrative agent and letter of credit issuer, and Wells Fargo Bank, National Association, as syndication agent. The 2021 Credit Agreement extends through February 9, 2026 and provides for maximum borrowings of $200.0 million. At our request and subject to certain conditions, the commitments under the 2021 Credit Agreement may be increased by a maximum of up to $100.0 million as long as existing or new lenders agree to provide such additional commitments. The 2021 Credit Agreement contains provisions to replace LIBOR with a replacement rate as described in the 2021 Credit Agreement. On October 20, 2022, the Company entered into the First Amendment to the 2021 Credit Agreement (the “Amended 2021 Credit Agreement”) which replaced LIBOR with BSBY as permitted under the 2021 Credit Agreement. Borrowings under the line of credit bear interest, at the Company’s option, at either (1) BSBY plus a margin that varies from 1.000% to 1.875% depending upon the Leverage Ratio (as defined in the 2021 Credit Agreement), or (2) the base rate (which is the highest of the federal funds rate plus 0.5%, the prime rate, or BSBY plus 1.0%) plus 0% to 0.375% (depending upon the Leverage Ratio). A commitment fee ranging from 0.20% to 0.325% (depending upon the Leverage Ratio) is payable on the unused line of credit. At December 31, 2022, there were no borrowings outstanding under the Amended 2021 Credit Agreement, and letters of credit outstanding in the amount of $0.3 million left $199.7 million of credit available under the Amended 2021 Credit Agreement. Obligations under the Amended 2021 Credit Agreement are the only contractual borrowing obligations or commercial borrowing commitments of the Company. Obligations under the Amended 2021 Credit Agreement are unsecured and contain customary covenants and events of default. The Company was in compliance with the covenants as of December 31, 2022. The Company paid interest totaling $0.4 million, $0.4 million and $0.2 million in 2022, 2021 and 2020, respectively, none of which was capitalized.

Income Taxes

Income Taxes	12 Months Ended
	Dec. 31, 2022
Income Tax Disclosure [Abstract]
Income Taxes	Income Taxes On March 27, 2020, the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”) was signed into law. The CARES Act includes several provisions for corporations including payroll tax credits, deferment of employer social security tax payments, expanded net operating loss carryback periods, accelerated alternative minimum tax credit refunds, modifications to the net interest deduction limitations, and technical corrections to tax depreciation methods for qualified improvement property. The CARES Act did not have a material impact on the Company's income tax provision in the year ended December 31, 2022 and 2021. The Inflation Reduction Act (“IRA”) was enacted on August 16, 2022. The IRA includes provisions imposing a 1% excise tax on share repurchases that occur after December 31, 2022 and introduces a 15% corporate alternative minimum tax on adjusted financial statement income. The Company does not expect the IRA to have a material adverse impact to its financial statements. The provision for income tax expense is summarized as follows for the years ended December 31: In Thousands 2022 2021 2020 Current: Federal $ 175,090 $ 143,392 $ 14,277 State 12,379 12,319 2,024 Deferred: Federal 19,797 2,132 6,285 State (257) 132 143 Total income tax expense $ 207,009 $ 157,975 $ 22,729 The differences between the provision for income taxes and income taxes computed using the federal income tax rate are as follows for the years ended December 31: In Thousands 2022 2021 2020 Amount computed using the statutory rate $ 194,218 $ 146,873 $ 20,747 State income taxes, net of federal tax benefit 9,576 9,836 1,732 Other 3,215 1,266 250 Total income tax expense $ 207,009 $ 157,975 $ 22,729 The tax effect of each type of temporary difference giving rise to the net deferred tax liability at December 31 is as follows: In Thousands 2022 2021 Depreciation $ (60,304) $ (42,966) Inventory (2,080) 423 Allowance for credit losses 843 856 Uniform capitalization rules 574 729 Stock-based compensation 4,791 5,032 Other 536 (175) Net deferred income tax liability $ (55,640) $ (36,101) The Company's inventory costing method for federal income tax purposes differs from the method allowed by GAAP. Both methods of inventory costing result in the same recovery of inventory. However, the timing of the recovery varies. As of December 31, 2022 the Company's tax inventory exceeds its book inventory, which created a deferred tax liability of $2.1 million. The Company made income tax payments of $201.7 million in 2022, $155.5 million in 2021 and $14.1 million in 2020. The Company’s federal income tax returns for the years subsequent to December 31, 2018 remain subject to examination. The Company’s income tax returns in major state income tax jurisdictions remain subject to examination for various periods subsequent to December 31, 2017. The Company has no reserves for uncertain tax positions as of December 31, 2022 and 2021. Interest and penalties resulting from audits by tax authorities have been immaterial and are included in the provision for income taxes in the statements of income.

Stock-Based Compensation

Stock-Based Compensation	12 Months Ended
	Dec. 31, 2022
Share-Based Payment Arrangement [Abstract]
Stock-Based Compensation	Stock-Based Compensation Total stock-based compensation expense by type of award was as follows for the years ended December 31: In Thousands 2022 2021 2020 Restricted Stock Units $ 9,054 $ 1,889 $ — Stock grants 724 489 244 Stock options 289 435 561 Stock appreciation rights (“SARs”) 7,319 22,188 3,377 Restricted Stock Awards 1,005 1,005 1,101 Total stock-based compensation expense $ 18,391 $ 26,006 $ 5,283 In 2020, the Board of Directors adopted a new incentive plan called the Encore Wire 2020 Long Term Incentive Plan (the “2020 LTIP”) which was approved by the Company’s stockholders at the 2020 Annual Meeting of Stockholders. The 2020 LTIP permits the granting of 1,000,000 securities in the form of options to purchase shares of common stock, stock appreciation rights, restricted common stock, restricted stock units, unrestricted common stock, dividend equivalents, cash awards, or performance awards to non-employee directors, officers and employees of the Company. As of December 31, 2022, 706,600 securities remained available for grant under the 2020 LTIP. Restricted Stock Units: Restricted units granted to employees vest ratably over a period of three years from the time the restricted units were granted. During the years ended December 31, 2022 and 2021, the Company granted 177,200 units and 98,600 units, respectively, of restricted stock to employees pursuant to the 2020 Long Term Incentive Plan, with weighted grant date fair values of $127.58 and $61.92 per unit, respectively. There were zero restricted units issued in 2020. As of December 31, 2022, there was $17.6 million of total unrecognized compensation cost related to unvested units. That cost is expected to be recognized over a weighted-average period of 2.0 years. The following presents a summary of restricted stock activity for the year ended December 31, 2022: Weighted Average Number of Units Grant Date Fair Value Outstanding at January 1, 2022 98,600 $ 61.92 Granted 177,200 127.58 Vested (32,864) 61.92 Forfeited/Canceled (1,500) 128.69 Unvested at December 31, 2022 241,436 $ 109.69 Stock Grants: In May 2022, the Company granted 1,250 shares of stock to 4 non-employee directors with a grant date fair value of $123.45 per share. In September 2022, the Company granted 850 shares of stock to 1 non-employee director with a grant date fair value of $125.37 per share. In May 2021, the Company granted 1,250 shares of stock to each of the 5 non-employee directors, with a grant date fair value of $78.29 per share. In May 2020, the Company granted 1,100 shares of stock to each of the 5 non-employee directors, with a grant date fair value of $44.31 per share. Stock Options: No stock option awards were granted in 2022, 2021 or 2020. Options vest ratably over a period of five years from the time the options were granted. The maximum term of any option previously granted under the 2010 Stock Option Plan or granted in the future under the 2020 LTIP is ten years. New shares are issued upon the exercise of options. The following presents a summary of stock option activity for the year ended December 31, 2022: Number Weighted Weighted Aggregate Outstanding at January 1, 2022 279,500 $ 43.18 Exercised (4,000) 51.63 Forfeited/Canceled — — Outstanding at December 31, 2022 275,500 $ 43.06 3.6 years $ 26,036 Vested and exercisable at December 31, 2022 258,000 $ 42.51 3.5 years $ 24,522 During the years ended December 31, 2022, 2021 and 2020, the total intrinsic value of options exercised was $0.2 million, $3.1 million and $0.4 million, respectively. As of December 31, 2022, total unrecognized compensation cost related to non-vested stock options was negligible. Stock Appreciation Rights: In 2014, the Board of Directors adopted a new stock appreciation rights plan called the Encore Wire 2014 Stock Appreciation Rights Plan (the “2014 SARs Plan”). The 2014 SARs Plan permits the grant of SARs that may only be settled in cash to non-executive officers and employees of the Company. SARs granted to employees vest ratably over a period of five years from the time the SARs were granted. The maximum term of any SARs granted under the 2014 SARs Plan is ten years. These awards are classified as liability awards. The liability balances were $20.3 million and $22.1 million at December 31, 2022 and 2021, respectively, and are included in accrued liabilities. Compensation cost for these awards is determined using a fair value method and remeasured at each reporting date until the date of settlement. As of December 31, 2022, a total of 332,164 SARs were outstanding under the 2014 SARs Plan. No SARs were granted subsequent to 2020 as this plan was replaced with a long-term deferred compensation plan. The following presents a summary of SARs activity for the year ended December 31, 2022: Cash-settled SARs Weighted Weighted Aggregate Outstanding at January 1, 2022 467,668 $ 53.55 Exercised (113,904) 51.13 Forfeited/Canceled (21,600) 56.66 Outstanding at December 31, 2022 332,164 $ 54.18 6.2 years $ 27,696 Vested and exercisable at December 31, 2022 117,664 $ 52.07 5.8 years $ 10,059 The fair value of SARs outstanding during the years ended December 31, 2022, 2021 and 2020, are revalued each quarter using a Black-Scholes option pricing model and the following weighted average assumptions: Year Ended December 31, 2022 2021 2020 Risk-free interest rate 4.46 % 0.70 % 0.18 % Expected dividend yield 0.06 % 0.06 % 0.13 % Expected volatility 44.03 % 38.64 % 35.51 % Expected lives 1.3 years 2.1 years 2.8 years The Company bases expected volatilities on historical volatilities of Encore's common stock. The expected life represents the weighted average period of time that options granted are expected to be outstanding giving consideration to vesting periods and management’s consideration of historical exercise patterns. The risk-free rate is based on the U.S. Treasury yield curve in effect at the time of grant for periods corresponding to the expected life of the option. The expected dividend yield is based on the annualized dividend payment paid on common shares. During the years ended December 31, 2022, 2021 and 2020, the weighted average fair value of SARs was $87.20, $90.04 and $17.94, respectively, and the total intrinsic value of SARs exercised was $9.1 million, $5.4 million and $1.1 million, respectively. As of December 31, 2022, total unrecognized compensation cost related to non-vested SARs of $9.3 million was expected to be recognized over a weighted average period of 1.7 years. Restricted Stock Awards: Restricted shares granted to employees vest ratably over a period of five years from the time the restricted shares were granted. There were no restricted shares issued in 2022 and 2021. During the years ended December 31, 2020 and 2019, the Company granted 37,000 shares and 60,000 shares, respectively, of restricted stock to employees pursuant to the 2010 Stock Option Plan, with weighted grant date fair values of $58.90 and $54.49 per share, respectively. As of December 31, 2022, there was $1.4 million of total unrecognized compensation cost related to unvested shares. That cost is expected to be recognized over a weighted-average period of 1.5 years. The total fair value of shares vested during the year ending December 31, 2022 was $2.2 million. The following presents a summary of restricted stock activity for the year ended December 31, 2022: Weighted Average Number of Shares Grant Date Fair Value Outstanding at January 1, 2022 58,000 $ 56.88 Granted — — Vested (17,000) 56.61 Unvested at December 31, 2022 41,000 $ 57.00

Earnings Per Share

Earnings Per Share	12 Months Ended
	Dec. 31, 2022
Earnings Per Share [Abstract]
Earnings Per Share	Earnings Per Share The following table sets forth certain components of the computation of basic and diluted earnings per share for the years ended December 31: In Thousands 2022 2021 2020 Numerator: Net income $ 717,841 $ 541,422 $ 76,067 Denominator: Denominator for basic earnings per share – weighted average shares 19,159 20,439 20,599 Effect of dilutive securities: Employee stock awards 287 210 54 Denominator for diluted earnings per share – weighted average shares 19,446 20,649 20,653 Stock options to purchase common stock at exercise prices in excess of the average actual stock price for the period that were anti-dilutive and that were excluded from the determination of diluted earnings per share are as follows: In Thousands, Except Per Share Data 2022 2021 2020 Weighted average anti-dilutive stock options — — 136 Weighted average exercise price per share $ — $ — $ 51.20

Stockholders' Equity

Stockholders' Equity	12 Months Ended
	Dec. 31, 2022
Equity [Abstract]
Stockholders' Equity	Stockholders’ Equity On November 10, 2006, the Board of Directors approved a stock repurchase program authorizing the Company to repurchase up to an authorized number of shares of its common stock from time to time in the open market or private transactions at the Company's discretion. This authorization originally expired on December 31, 2007, and the Company’s Board of Directors has authorized several increases and annual extensions of this stock repurchase program, most recently on August 1, 2022, authorizing the repurchase of up to 2,000,000 shares of our common stock. A s of December 31, 2022, 1,052,552 shares remained authorized for repurchase through March 31, 2023. Under this program, the Company repurchased 2,055,470 shares of its stock in 2022, 475,557 shares in 2021 and 441,250 shares in 2020. Subsequently, in February 2023, the Board of Directors extended the repurchase authorization for up to 2,000,000 shares of our common stock through March 31, 2024.

Contingencies

Contingencies	12 Months Ended
	Dec. 31, 2022
Commitments and Contingencies Disclosure [Abstract]
Contingencies	ContingenciesThere are no material pending proceedings to which the Company is a party or to which any of its property is subject. However, the Company is from time to time involved in litigation, certain other claims and arbitration matters arising in the ordinary course of its business.

Encore Wire Corporation 401(k)

Encore Wire Corporation 401(k) Profit Sharing Plan	12 Months Ended
	Dec. 31, 2022
Retirement Benefits [Abstract]
Encore Wire Corporation 401(k) Profit Sharing Plan	Encore Wire Corporation 401(k) Profit Sharing PlanThe Company sponsors a 401(k) profit sharing plan (the “Plan”) that permits eligible employees to make self-directed contributions of their compensation, a portion of which is matched by the Company, subject to applicable limitations. At the discretion of its Board of Directors, the Company may, but is not required to, make profit-sharing contributions to the Plan on behalf of its employees. The Company’s matching contributions were $3.7 million, $3.0 million and $2.5 million in 2022, 2021 and 2020, respectively.

Quarterly Financial Information

Quarterly Financial Information (Unaudited)	12 Months Ended
	Dec. 31, 2022
Quarterly Financial Information Disclosure [Abstract]
Quarterly Financial Information (Unaudited)	Quarterly Financial Information (Unaudited) The following is a summary of the unaudited quarterly financial information for the two years ended December 31, 2022 and 2021 (in thousands, except per share data): Three Months Ended 2022 March 31 June 30 September 30 December 31 Net sales $ 723,072 $ 838,235 $ 762,363 $ 693,885 Gross profit 243,747 320,772 299,447 248,455 Net income 161,531 210,538 191,773 153,998 Earnings per common share – basic 8.08 10.84 10.11 8.43 Earnings per common share – diluted 7.96 10.71 9.97 8.28 Three Months Ended 2021 March 31 June 30 September 30 December 31 Net sales $ 444,140 $ 744,408 $ 716,320 $ 687,853 Gross profit 84,504 277,342 270,766 235,134 Net income 41,189 183,053 175,538 141,642 Earnings per common share – basic 2.00 8.89 8.60 7.02 Earnings per common share – diluted 1.99 8.82 8.51 6.91

Significant Accounting Polici_2

Significant Accounting Policies (Policies)	12 Months Ended
	Dec. 31, 2022
Accounting Policies [Abstract]
Business	Business The Company conducts its business in one segment, the manufacture of electric building wire, manufacturing a broad range of electrical wire and cables used to distribute power from the transmission grid to the wall outlet or switch. Encore’s diversified product portfolio and low-cost of production position it exceptionally well to play a key role in the transition to a more sustainable and reliable energy infrastructure. Our products are proudly made in America at our vertically-integrated, single-site, Texas campus. The Company sells its products through manufacturers’ representatives to wholesale electrical distributors servicing the residential, commercial, industrial and renewable energy sectors.
Basis of Presentation	Basis of Presentation The Company's financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”).
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates.
Revenue Recognition	Revenue Recognition Our revenue is derived by fulfilling customer orders for the purchase of our products, which include electrical building wire and cable. We recognize revenue at the point in time that control of the ordered products is transferred to the customer, which is typically upon shipment to the customer from our manufacturing facilities and based on agreed upon shipping terms on the related purchase order. Amounts billed and due from our customers are classified as accounts receivable on the balance sheet and require payment on a short-term basis through standard payment terms. Revenue is measured as the amount of consideration we expect to receive in exchange for fulfilling product orders. The amount of consideration we expect to receive and revenue we recognize includes estimates for trade payment discounts and customer rebates which are estimated using historical experience and other relevant factors and is recorded within the same period that the revenue is recognized. We review and update these estimates regularly and the impact of any adjustments are recognized in the period the adjustments are identified. The adjustments resulting from updated estimates of trade payment discounts and customer rebates were not material.
Freight Expenses	Freight ExpensesThe Company classifies shipping and handling costs as a component of selling, general and administrative expenses.
Derivatives	Derivatives The Company may purchase copper and aluminum at current market prices for delivery in future months. These purchases meet the definition of a derivative in Accounting Standards Codification 815, Derivatives and Hedging (ASC 815). These transactions also qualify for the exclusion from derivative accounting as they meet the normal purchase and normal sale criterion in ASC 815.
Fair Value of Financial Instruments	Fair Value of Financial Instruments Certain items are required to be measured at fair value on a recurring basis, primarily cash equivalents held in banks. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. A three-level hierarchy is followed for disclosure to show the extent and level of judgment used to estimate fair value measurements: Level 1 – Inputs used to measure fair value are unadjusted quoted prices that are available in active markets for the identical assets or liabilities as of the reporting date. Level 2 – Inputs used to measure fair value, other than quoted prices included in Level 1, are either directly or indirectly observable as of the reporting date through correlation with market data, including quoted prices for similar assets and liabilities in active markets and quoted prices in markets that are not active. Level 2 also includes assets and liabilities that are valued using models or other pricing methodologies that do not require significant judgment since the input assumptions used in the models, such as interest rates and volatility factors, are corroborated by readily observable data from actively quoted markets for substantially the full term of the financial instrument. Level 3 – Inputs used to measure fair value are unobservable inputs that are supported by little or no market activity and reflect the use of significant management judgment. These values are generally determined using pricing models for which the assumptions utilize management’s estimates of market participant assumptions.
Concentrations of Credit Risk and Accounts Receivable	Concentrations of Credit Risk and Accounts Receivable Financial instruments that potentially subject the Company to a concentration of credit risk consist principally of cash and cash equivalents and accounts receivable. The Company places its cash and cash equivalents with high credit quality financial institutions.
Concentrations of Credit Risk and Accounts Receivable	Concentrations of Credit Risk and Accounts Receivable Financial instruments that potentially subject the Company to a concentration of credit risk consist principally of cash and cash equivalents and accounts receivable. The Company places its cash and cash equivalents with high credit quality financial institutions.
Cash and Cash Equivalents	Cash and Cash EquivalentsThe Company considers all highly liquid instruments purchased with a maturity of three months or less to be cash equivalents.
Inventories	Inventories Inventories are stated at the lower of cost, using the LIFO method, or market. The Company evaluates the market value of its raw materials, work-in-process and finished goods inventory primarily based upon current raw material and finished goods prices at the end of each period.
Property, Plant, and Equipment	Property, Plant, and Equipment Property, plant and equipment is recorded at cost. Depreciation is recorded on a straight-line method over the estimated useful lives of the respective assets as follows: buildings and improvements, 3 to 39 years; machinery and equipment, 2 to 20 years; and furniture and fixtures, 5 to 20 years. Accelerated cost recovery methods are used for tax purposes. Repairs and maintenance costs are expensed as incurred.
Stock-Based Compensation	Stock-Based CompensationCompensation cost for all stock-based compensation expected to vest is measured at fair value on the date of grant and recognized over the related service period. The fair value of stock awards is determined based on the number of shares granted and the quoted price of Encore’s common stock, and the fair value of stock options and stock appreciation rights is estimated on the date of grant using the Black-Scholes model. Such value is recognized as expense over the service period, net of estimated forfeitures, on a straight-line basis. To the extent actual forfeitures or updated estimates of forfeitures differ from management’s current estimates, such amounts are recorded as a cumulative adjustment in the period estimates are revised.
Earnings Per Share	Earnings Per Share Earnings per common and common equivalent share is computed using the weighted average number of shares of common stock and common stock equivalents outstanding during each period. The dilutive effects of stock awards, which are common stock equivalents, are calculated using the treasury stock method.
Income Taxes	Income Taxes Income taxes are provided for based on the liability method, resulting in deferred income tax assets and liabilities arising due to temporary differences. Temporary differences are differences between the tax basis of assets and liabilities and their reported amounts in the financial statements that will result in taxable or deductible amounts in future years. The effect on deferred income tax assets and liabilities of a change in tax rates is recognized in income in the period the change in rate is enacted.
Comprehensive Income	Comprehensive IncomeComprehensive income is defined as the change in equity of a business enterprise during a period from transactions and other events and circumstances from non-owner sources.
Recent Accounting Pronouncements	Recent Accounting Pronouncements The Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) is the sole source of authoritative U.S. GAAP, along with the Securities and Exchange Commission ("SEC") and Public Company Accounting Oversight Board (“PCAOB”) issued rules and regulations that apply only to SEC registrants. The FASB issues an Accounting Standard Update (“ASU”) to communicate changes to the codification. The Company considers the applicability and impact of all ASUs. No new standards were adopted in 2022.

Significant Accounting Polici_3

Significant Accounting Policies (Tables)	12 Months Ended
	Dec. 31, 2022
Accounting Policies [Abstract]
Schedule of Allowance for Credit Losses	The Company establishes an allowance for credit losses based upon the makeup of the current portfolio, past bad debt experience and current market conditions. Allowance for Credit Losses (In Thousands) 2022 2021 2020 Beginning balance January 1 $ 3,800 $ 2,215 $ 1,801 Write-offs of bad debts — — (286) Collection of previous write-offs — 122 — Adjustment to allowance for credit losses — 1,463 700 Ending balance at December 31 $ 3,800 $ 3,800 $ 2,215

Inventories (Tables)

Inventories (Tables)	12 Months Ended
	Dec. 31, 2022
Inventory Disclosure [Abstract]
Schedule of Inventories	Inventories consist of the following as of December 31: In Thousands 2022 2021 Raw materials $ 69,567 $ 54,012 Work-in-process 42,611 40,422 Finished goods 138,943 123,401 Total 251,121 217,835 Adjust to LIFO cost (97,934) (117,019) Inventory, net $ 153,187 $ 100,816

Property, Plant and Equipment_2

Property, Plant and Equipment, net (Tables)	12 Months Ended
	Dec. 31, 2022
Property, Plant and Equipment [Abstract]
Schedule of Property, Plant and Equipment	Property, plant and equipment consist of the following as of December 31: In Thousands 2022 2021 Land and land improvements $ 85,286 $ 72,897 Construction-in-progress 125,809 92,414 Buildings and improvements 232,758 217,985 Machinery and equipment 438,303 362,996 Furniture and fixtures 15,178 13,805 Property, plant and equipment, gross 897,334 760,097 Accumulated depreciation (280,733) (265,181) Property, plant and equipment, net $ 616,601 $ 494,916

Accrued Liabilities (Tables)

Accrued Liabilities (Tables)	12 Months Ended
	Dec. 31, 2022
Accrued Liabilities, Current [Abstract]
Schedule of Accrued Liabilities	Accrued liabilities consist of the following as of December 31: In Thousands 2022 2021 Sales rebates payable $ 40,909 $ 40,657 Stock Appreciation Rights (SAR) Liability 20,282 22,095 Property taxes payable 5,287 5,018 Accrued salaries 7,616 4,778 Other accrued liabilities 7,287 6,199 Total accrued liabilities $ 81,381 $ 78,747

Income Taxes (Tables)

Income Taxes (Tables)	12 Months Ended
	Dec. 31, 2022
Income Tax Disclosure [Abstract]
Schedule of Income Tax Expenses	The provision for income tax expense is summarized as follows for the years ended December 31: In Thousands 2022 2021 2020 Current: Federal $ 175,090 $ 143,392 $ 14,277 State 12,379 12,319 2,024 Deferred: Federal 19,797 2,132 6,285 State (257) 132 143 Total income tax expense $ 207,009 $ 157,975 $ 22,729
Schedule of Differences Between Provision for Income Taxes and Income Taxes Computed Using Federal Income Tax Rate	The differences between the provision for income taxes and income taxes computed using the federal income tax rate are as follows for the years ended December 31: In Thousands 2022 2021 2020 Amount computed using the statutory rate $ 194,218 $ 146,873 $ 20,747 State income taxes, net of federal tax benefit 9,576 9,836 1,732 Other 3,215 1,266 250 Total income tax expense $ 207,009 $ 157,975 $ 22,729
Schedule of Net Deferred Tax Liability	The tax effect of each type of temporary difference giving rise to the net deferred tax liability at December 31 is as follows: In Thousands 2022 2021 Depreciation $ (60,304) $ (42,966) Inventory (2,080) 423 Allowance for credit losses 843 856 Uniform capitalization rules 574 729 Stock-based compensation 4,791 5,032 Other 536 (175) Net deferred income tax liability $ (55,640) $ (36,101)

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	12 Months Ended
	Dec. 31, 2022
Share-Based Payment Arrangement [Abstract]
Schedule of Total Stock-Based Compensation Expense by Type of Award	Total stock-based compensation expense by type of award was as follows for the years ended December 31: In Thousands 2022 2021 2020 Restricted Stock Units $ 9,054 $ 1,889 $ — Stock grants 724 489 244 Stock options 289 435 561 Stock appreciation rights (“SARs”) 7,319 22,188 3,377 Restricted Stock Awards 1,005 1,005 1,101 Total stock-based compensation expense $ 18,391 $ 26,006 $ 5,283
Schedule of Restricted Stock and Restricted Stock Unit Activity	The following presents a summary of restricted stock activity for the year ended December 31, 2022: Weighted Average Number of Units Grant Date Fair Value Outstanding at January 1, 2022 98,600 $ 61.92 Granted 177,200 127.58 Vested (32,864) 61.92 Forfeited/Canceled (1,500) 128.69 Unvested at December 31, 2022 241,436 $ 109.69 The following presents a summary of restricted stock activity for the year ended December 31, 2022: Weighted Average Number of Shares Grant Date Fair Value Outstanding at January 1, 2022 58,000 $ 56.88 Granted — — Vested (17,000) 56.61 Unvested at December 31, 2022 41,000 $ 57.00
Schedule of Stock Option Activity	The following presents a summary of stock option activity for the year ended December 31, 2022: Number Weighted Weighted Aggregate Outstanding at January 1, 2022 279,500 $ 43.18 Exercised (4,000) 51.63 Forfeited/Canceled — — Outstanding at December 31, 2022 275,500 $ 43.06 3.6 years $ 26,036 Vested and exercisable at December 31, 2022 258,000 $ 42.51 3.5 years $ 24,522
Schedule of Stock Appreciation Rights Activity	The following presents a summary of SARs activity for the year ended December 31, 2022: Cash-settled SARs Weighted Weighted Aggregate Outstanding at January 1, 2022 467,668 $ 53.55 Exercised (113,904) 51.13 Forfeited/Canceled (21,600) 56.66 Outstanding at December 31, 2022 332,164 $ 54.18 6.2 years $ 27,696 Vested and exercisable at December 31, 2022 117,664 $ 52.07 5.8 years $ 10,059
Schedule of Stock Appreciation Rights Valuation Assumptions	The fair value of SARs outstanding during the years ended December 31, 2022, 2021 and 2020, are revalued each quarter using a Black-Scholes option pricing model and the following weighted average assumptions: Year Ended December 31, 2022 2021 2020 Risk-free interest rate 4.46 % 0.70 % 0.18 % Expected dividend yield 0.06 % 0.06 % 0.13 % Expected volatility 44.03 % 38.64 % 35.51 % Expected lives 1.3 years 2.1 years 2.8 years

Earnings Per Share (Tables)

Earnings Per Share (Tables)	12 Months Ended
	Dec. 31, 2022
Earnings Per Share [Abstract]
Schedule of Computation of Basic and Diluted Earnings Per Share	The following table sets forth certain components of the computation of basic and diluted earnings per share for the years ended December 31: In Thousands 2022 2021 2020 Numerator: Net income $ 717,841 $ 541,422 $ 76,067 Denominator: Denominator for basic earnings per share – weighted average shares 19,159 20,439 20,599 Effect of dilutive securities: Employee stock awards 287 210 54 Denominator for diluted earnings per share – weighted average shares 19,446 20,649 20,653
Schedule of Anti-dilutive Excluded from Diluted Earnings Per Share	Stock options to purchase common stock at exercise prices in excess of the average actual stock price for the period that were anti-dilutive and that were excluded from the determination of diluted earnings per share are as follows: In Thousands, Except Per Share Data 2022 2021 2020 Weighted average anti-dilutive stock options — — 136 Weighted average exercise price per share $ — $ — $ 51.20

Quarterly Financial Informati_2

Quarterly Financial Information (Unaudited) (Tables)	12 Months Ended
	Dec. 31, 2022
Quarterly Financial Information Disclosure [Abstract]
Schedule of Unaudited Quarterly Financial Information	The following is a summary of the unaudited quarterly financial information for the two years ended December 31, 2022 and 2021 (in thousands, except per share data): Three Months Ended 2022 March 31 June 30 September 30 December 31 Net sales $ 723,072 $ 838,235 $ 762,363 $ 693,885 Gross profit 243,747 320,772 299,447 248,455 Net income 161,531 210,538 191,773 153,998 Earnings per common share – basic 8.08 10.84 10.11 8.43 Earnings per common share – diluted 7.96 10.71 9.97 8.28 Three Months Ended 2021 March 31 June 30 September 30 December 31 Net sales $ 444,140 $ 744,408 $ 716,320 $ 687,853 Gross profit 84,504 277,342 270,766 235,134 Net income 41,189 183,053 175,538 141,642 Earnings per common share – basic 2.00 8.89 8.60 7.02 Earnings per common share – diluted 1.99 8.82 8.51 6.91

Significant Accounting Polici_4

Significant Accounting Policies - Narrative (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($) customer segment	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)
Significant Accounting Policies [Line Items]
Number of operating segments | segment	1
Selling, general and administrative expenses	$ 197,418	$ 168,543	$ 97,008
Buildings and improvements | Minimum
Significant Accounting Policies [Line Items]
Estimated useful lives of property plant and equipment (in years)	3 years
Buildings and improvements | Maximum
Significant Accounting Policies [Line Items]
Estimated useful lives of property plant and equipment (in years)	39 years
Machinery and equipment | Minimum
Significant Accounting Policies [Line Items]
Estimated useful lives of property plant and equipment (in years)	2 years
Machinery and equipment | Maximum
Significant Accounting Policies [Line Items]
Estimated useful lives of property plant and equipment (in years)	20 years
Furniture and fixtures | Minimum
Significant Accounting Policies [Line Items]
Estimated useful lives of property plant and equipment (in years)	5 years
Furniture and fixtures | Maximum
Significant Accounting Policies [Line Items]
Estimated useful lives of property plant and equipment (in years)	20 years
Customer Concentration Risk | Sales Revenue, Net
Significant Accounting Policies [Line Items]
Customer concentration risk, number of customers | customer	2
Shipping and Handling
Significant Accounting Policies [Line Items]
Selling, general and administrative expenses	$ 58,900	$ 47,200	$ 35,200

Significant Accounting Polici_5

Significant Accounting Policies - Summary of Allowance for Credit Losses (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Allowance for Doubtful Accounts Receivable [Roll Forward]
Beginning balance January 1	$ 3,800	$ 2,215	$ 1,801
Write-offs of bad debts	0	0	(286)
Collection of previous write-offs	0	122	0
Adjustment to allowance for credit losses	0	1,463	700
Ending balance at December 31	$ 3,800	$ 3,800	$ 2,215

Inventories (Details)

Inventories (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Inventory Disclosure [Abstract]
Raw materials	$ 69,567	$ 54,012
Work-in-process	42,611	40,422
Finished goods	138,943	123,401
Total	251,121	217,835
Adjust to LIFO cost	(97,934)	(117,019)
Inventory, net	$ 153,187	$ 100,816

Property, Plant and Equipment_3

Property, Plant and Equipment, net (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 897,334	$ 760,097
Accumulated depreciation	(280,733)	(265,181)
Property, plant and equipment, net	616,601	494,916
Land and land improvements
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	85,286	72,897
Construction-in-progress
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	125,809	92,414
Buildings and improvements
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	232,758	217,985
Machinery and equipment
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	438,303	362,996
Furniture and fixtures
Property, Plant and Equipment [Line Items]
Property, plant and equipment, gross	$ 15,178	$ 13,805

Property, Plant and Equipment_4

Property, Plant and Equipment, net - Narrative (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Property, Plant and Equipment [Abstract]
Depreciation	$ 26.1	$ 23.2	$ 19.4

Accrued Liabilities (Details)

Accrued Liabilities (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Accrued Liabilities, Current [Abstract]
Sales rebates payable	$ 40,909	$ 40,657
Stock Appreciation Rights (SAR) Liability	20,282	22,095
Property taxes payable	5,287	5,018
Accrued salaries	7,616	4,778
Other accrued liabilities	7,287	6,199
Total accrued liabilities	$ 81,381	$ 78,747

Debt (Details)

Debt (Details)		12 Months Ended
	Feb. 09, 2021 USD ($) bank	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)
Line of Credit Facility [Line Items]
Debt outstanding		$ 0	$ 0
Number of banks to which the company is party to a credit agreement | bank	2
Outstanding borrowings		0
Letters of credit outstanding		300,000
Remaining borrowing capacity		199,700,000
Total interest paid		400,000	$ 400,000	$ 200,000
Total interest capitalized		$ 0
Credit Agreement
Line of Credit Facility [Line Items]
Calculated maximum borrowings	$ 200,000,000
Available increase in borrowings under credit agreement	$ 100,000,000
Credit Agreement | Minimum
Line of Credit Facility [Line Items]
Percentage of commitment fee	0.20%
Credit Agreement | Maximum
Line of Credit Facility [Line Items]
Percentage of commitment fee	0.325%
Credit Agreement | Credit Agreement Interest Rate Option One | Minimum | Bloomberg Short-Term Bank Yield Index (BSBY)
Line of Credit Facility [Line Items]
Debt instrument basis spread on variable rate	1%
Credit Agreement | Credit Agreement Interest Rate Option One | Maximum | Bloomberg Short-Term Bank Yield Index (BSBY)
Line of Credit Facility [Line Items]
Debt instrument basis spread on variable rate	1.875%
Credit Agreement | Credit Agreement Interest Rate Option Two | Bloomberg Short-Term Bank Yield Index (BSBY)
Line of Credit Facility [Line Items]
Debt instrument basis spread on variable rate	1%
Credit Agreement | Credit Agreement Interest Rate Option Two | Minimum | Base Rate
Line of Credit Facility [Line Items]
Debt instrument basis spread on variable rate	0%
Credit Agreement | Credit Agreement Interest Rate Option Two | Maximum | Federal Funds Rate
Line of Credit Facility [Line Items]
Debt instrument basis spread on variable rate	0.50%
Credit Agreement | Credit Agreement Interest Rate Option Two | Maximum | Base Rate
Line of Credit Facility [Line Items]
Debt instrument basis spread on variable rate	0.375%

Income Taxes - Summary of Incom

Income Taxes - Summary of Income Tax Expenses (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Current:
Federal	$ 175,090	$ 143,392	$ 14,277
State	12,379	12,319	2,024
Deferred:
Federal	19,797	2,132	6,285
State	(257)	132	143
Total income tax expense	$ 207,009	$ 157,975	$ 22,729

Income Taxes - Summary of Diffe

Income Taxes - Summary of Differences Between Provision for Income Taxes and Income Taxes Computed Using Federal Income Tax Rate (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Income Tax Disclosure [Abstract]
Amount computed using the statutory rate	$ 194,218	$ 146,873	$ 20,747
State income taxes, net of federal tax benefit	9,576	9,836	1,732
Other	3,215	1,266	250
Total income tax expense	$ 207,009	$ 157,975	$ 22,729

Income Taxes - Summary of Net D

Income Taxes - Summary of Net Deferred Tax Liability (Details) - USD ($) $ in Thousands	Dec. 31, 2022	Dec. 31, 2021
Income Tax Disclosure [Abstract]
Depreciation	$ (60,304)	$ (42,966)
Inventory	(2,080)
Inventory		423
Allowance for credit losses	843	856
Uniform capitalization rules	574	729
Stock-based compensation	4,791	5,032
Other	536	(175)
Net deferred income tax liability	$ (55,640)	$ (36,101)

Income Taxes - Narrative (Detai

Income Taxes - Narrative (Details) - USD ($)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Income Tax Disclosure [Abstract]
Inventory	$ 2,080,000
Income tax payments	201,700,000	$ 155,500,000	$ 14,100,000
Reserve for uncertain tax positions	$ 0	$ 0

Stock-Based Compensation - Stoc

Stock-Based Compensation - Stock-based Compensation Expense by Type of Award (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	$ 18,391	$ 26,006	$ 5,283
Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	9,054	1,889	0
Stock grants
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	724	489	244
Stock options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	289	435	561
Stock appreciation rights (“SARs”)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	7,319	22,188	3,377
Restricted Stock Awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation expense	$ 1,005	$ 1,005	$ 1,101

Stock-Based Compensation - Narr

Stock-Based Compensation - Narrative (Details) $ / shares in Units, $ in Millions	1 Months Ended				12 Months Ended
	Sep. 30, 2022 director $ / shares shares	May 31, 2022 director $ / shares shares	May 31, 2021 director $ / shares shares	May 31, 2020 director $ / shares shares	Dec. 31, 2022 USD ($) $ / shares shares	Dec. 31, 2021 USD ($) $ / shares shares	Dec. 31, 2020 USD ($) $ / shares shares	Dec. 31, 2019 $ / shares shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of securities authorized | shares							1,000,000
Shares available to be granted (in shares) | shares					706,600
Stock options granted (in shares) | shares					0	0	0
Total intrinsic value of options exercised | $					$ 0.2	$ 3.1	$ 0.4
Restricted Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period					3 years
Granted (in shares) | shares					177,200	98,600	0
Weighted average grant date fair value (in usd per share) | $ / shares					$ 127.58	$ 61.92
Unrecognized compensation cost | $					$ 17.6
Weighted average period of compensation cost					2 years
Stock grants
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares) | shares	850	1,250	1,250	1,100
Weighted average grant date fair value (in usd per share) | $ / shares	$ 125.37	$ 123.45	$ 78.29	$ 44.31
Number of non-employee directors | director	1	4	5	5
Employee stock awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period					5 years
Award expiration period					10 years
Stock appreciation rights (“SARs”)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period					5 years
Weighted average grant date fair value (in usd per share) | $ / shares					$ 87.20	$ 90.04	$ 17.94
Unrecognized compensation cost | $					$ 9.3
Weighted average period of compensation cost					1 year 8 months 12 days
Award expiration period					10 years
Liability balance | $					$ 20.3	$ 22.1
Stock appreciation rights outstanding (in shares) | shares					332,164	467,668
Intrinsic value of SARs exercised | $					$ 9.1	$ 5.4	$ 1.1
Restricted Stock Awards
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period					5 years
Granted (in shares) | shares					0	0	37,000	60,000
Weighted average grant date fair value (in usd per share) | $ / shares					$ 0		$ 58.90	$ 54.49
Unrecognized compensation cost | $					$ 1.4
Weighted average period of compensation cost					1 year 6 months
Total fair value of shares vested during year | $					$ 2.2

Stock-Based Compensation - Summ

Stock-Based Compensation - Summary of Restricted Stock Units (Details) - Restricted Stock Units - $ / shares	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Number of Shares
Beginning balance (in shares)	98,600
Granted (in shares)	177,200	98,600	0
Vested (in shares)	(32,864)
Forfeited/Canceled (in shares)	(1,500)
Ending balance (in shares)	241,436	98,600
Weighted Average Grant Date Fair Value
Beginning balance (in usd per share)	$ 61.92
Granted (in usd per share)	127.58	$ 61.92
Vested (in usd per share)	61.92
Forfeited/Canceled (in usd per share)	128.69
Ending balance (in usd per share)	$ 109.69	$ 61.92

Stock-Based Compensation - Su_2

Stock-Based Compensation - Summary of Stock Option Activity (Details) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($) $ / shares shares
Number of Shares
Number of shares outstanding, beginning balance (in shares) | shares	279,500
Number of shares exercised (in shares) | shares	(4,000)
Number of shares forfeited/canceled (in shares) | shares	0
Number of shares outstanding, ending balance (in shares) | shares	275,500
Vested and exercisable, ending balance (in shares) | shares	258,000
Weighted Average Exercise Price
Weighted average exercise price outstanding, beginning balance (in usd per share) | $ / shares	$ 43.18
Weighted average exercise price, exercised (in usd per share) | $ / shares	51.63
Weighted average exercise price, forfeited/canceled (in usd per share) | $ / shares	0
Weighted average exercise price outstanding, ending balance (in usd per share) | $ / shares	43.06
Weighted average exercise price, vested and exercisable, ending balance (in usd per share) | $ / shares	$ 42.51
Weighted average remaining contractual term, ending balance	3 years 7 months 6 days
Weighted average remaining contractual term, vested and exercisable, ending balance	3 years 6 months
Aggregate intrinsic value ending balance | $	$ 26,036
Aggregate intrinsic value, vested and exercisable ending balance | $	$ 24,522

Stock-Based Compensation - Su_3

Stock-Based Compensation - Summary of Stock Appreciation Rights Activity (Details) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2022 USD ($) $ / shares shares
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward]
Vested and exercisable, ending balance (in shares)	258,000
Stock appreciation rights (“SARs”)
Share-based Compensation Arrangement by Share-based Payment Award, Non-Option Equity Instruments, Outstanding [Roll Forward]
Beginning balance (in shares)	467,668
Exercised (in shares)	(113,904)
Forfeited/Canceled (in shares)	(21,600)
Ending balance (in shares)	332,164
Vested and exercisable, ending balance (in shares)	117,664
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Additional Disclosures [Abstract]
Beginning balance (in usd per share) | $ / shares	$ 53.55
Exercised (in usd per share) | $ / shares	51.13
Forfeited/Canceled (in usd per share) | $ / shares	56.66
Ending balance (in usd per share) | $ / shares	54.18
Vested and exercisable, ending balance (in usd per share) | $ / shares	$ 52.07
Outstanding, weighted average contractual term, ending balance (in years)	6 years 2 months 12 days
Vested and exercisable, weighted average contractual term, ending balance (in years)	5 years 9 months 18 days
Outstanding, aggregate intrinsic value, ending balance | $	$ 27,696
Vested and exercisable, aggregate intrinsic value, ending balance | $	$ 10,059

Stock-Based Compensation - St_2

Stock-Based Compensation - Stock Options and Stock Appreciation Rights Valuation Assumptions (Details) - Stock appreciation rights (“SARs”)	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Risk-free interest rate (as a percent)	4.46%	0.70%	0.18%
Expected dividend yield (as a percent)	0.06%	0.06%	0.13%
Expected volatility (as a percent)	44.03%	38.64%	35.51%
Expected lives (in years)	1 year 3 months 18 days	2 years 1 month 6 days	2 years 9 months 18 days

Stock-Based Compensation - Su_4

Stock-Based Compensation - Summary of Restricted Stock Awards (Details) - Restricted Stock Awards - $ / shares	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Dec. 31, 2019
Number of Shares
Beginning balance (in shares)	58,000
Granted (in shares)	0	0	37,000	60,000
Vested (in shares)	(17,000)
Ending balance (in shares)	41,000	58,000
Weighted Average Grant Date Fair Value
Beginning balance (in usd per share)	$ 56.88
Granted (in usd per share)	0		$ 58.90	$ 54.49
Vested (in usd per share)	56.61
Ending balance (in usd per share)	$ 57	$ 56.88

Earnings Per Share - Computatio

Earnings Per Share - Computation of Basic and Diluted Net Earnings (Loss) Per Share (Details) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2022	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Dec. 31, 2021	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Numerator:
Net income	$ 153,998	$ 191,773	$ 210,538	$ 161,531	$ 141,642	$ 175,538	$ 183,053	$ 41,189	$ 717,841	$ 541,422	$ 76,067
Denominator:
Denominator for basic earnings per share – weighted average shares (in shares)									19,159	20,439	20,599
Effect of dilutive securities:
Denominator for diluted earnings per share – weighted average shares (in shares)									19,446	20,649	20,653
Employee stock awards
Effect of dilutive securities:
Employee stock options (in shares)									287	210	54

Earnings Per Share - Anti-dilut

Earnings Per Share - Anti-dilutive Excluded from Diluted Earnings Per Share (Details) - $ / shares shares in Thousands	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Earnings Per Share [Abstract]
Weighted average anti-dilutive stock options (in shares)	0	0	136
Weighted average exercise price per share (in usd per share)	$ 0	$ 0	$ 51.20

Stockholders' Equity (Details)

Stockholders' Equity (Details) - shares	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020	Feb. 16, 2023	Aug. 01, 2022
Equity, Class of Treasury Stock [Line Items]
Number of shares authorized to be repurchased (in shares)					2,000,000
Repurchase of common stock authorized remaining (in shares)	1,052,552
Purchase of treasury stock (in shares)	2,055,470	475,557	441,250
Subsequent Event
Equity, Class of Treasury Stock [Line Items]
Number of shares authorized to be repurchased (in shares)				2,000,000

Encore Wire Corporation 401(k_2

Encore Wire Corporation 401(k) Profit Sharing Plan (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Retirement Benefits [Abstract]
Matching contributions made	$ 3.7	$ 3	$ 2.5

Quarterly Financial Informati_3

Quarterly Financial Information (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								12 Months Ended
	Dec. 31, 2022	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Dec. 31, 2021	Sep. 30, 2021	Jun. 30, 2021	Mar. 31, 2021	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Quarterly Financial Information Disclosure [Abstract]
Net sales	$ 693,885	$ 762,363	$ 838,235	$ 723,072	$ 687,853	$ 716,320	$ 744,408	$ 444,140	$ 3,017,555	$ 2,592,721	$ 1,276,948
Gross profit	248,455	299,447	320,772	243,747	235,134	270,766	277,342	84,504	1,112,421	867,746	194,535
Net income	$ 153,998	$ 191,773	$ 210,538	$ 161,531	$ 141,642	$ 175,538	$ 183,053	$ 41,189	$ 717,841	$ 541,422	$ 76,067
Earnings per common share - basic (in usd per share)	$ 8.43	$ 10.11	$ 10.84	$ 8.08	$ 7.02	$ 8.60	$ 8.89	$ 2	$ 37.47	$ 26.49	$ 3.69
Earnings per common share - diluted (in usd per share)	$ 8.28	$ 9.97	$ 10.71	$ 7.96	$ 6.91	$ 8.51	$ 8.82	$ 1.99	$ 36.91	$ 26.22	$ 3.68