Document and Entity Information
Document and Entity Information Document - shares | 9 Months Ended | |
Sep. 30, 2017 | Oct. 25, 2017 | |
Entity Information [Line Items] | ||
Entity Registrant Name | GRANITE CONSTRUCTION INC | |
Entity Central Index Key | 861,459 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Sep. 30, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 39,850,783 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Current Assets | |||
Cash and cash equivalents ($71,328, $73,115 and $47,803 related to consolidated construction joint ventures (“CCJVs”)) | $ 185,516 | $ 189,326 | $ 150,225 |
Short-term marketable securities | 47,814 | 64,884 | 54,863 |
Receivables, net ($51,079, $52,613 and $77,012 related to CCJVs) | 627,081 | 419,345 | 512,752 |
Costs and estimated earnings in excess of billings ($3,035, $5,046 and $2,940 related to CCJVs) | 94,527 | 73,102 | 80,032 |
Inventories | 62,059 | 55,245 | 61,015 |
Equity in construction joint ventures | 242,358 | 247,182 | 263,180 |
Other current assets ($6,033, $7,500 and $8,649 related to CCJVs) | 26,612 | 39,908 | 28,047 |
Total current assets | 1,285,967 | 1,088,992 | 1,150,114 |
Property and equipment, net ($33,754, $20,500 and $15,302 related to CCJVs) | 412,174 | 406,650 | 407,327 |
Long-term marketable securities | 69,991 | 62,895 | 52,908 |
Investments in affiliates | 39,946 | 35,668 | 34,356 |
Goodwill | 53,799 | 53,799 | 53,799 |
Deferred Tax Assets, Net | 0 | 0 | 5,223 |
Other noncurrent assets | 85,411 | 85,449 | 81,540 |
Total assets | 1,947,288 | 1,733,453 | 1,785,267 |
Current liabilities | |||
Current maturities of long-term debt | 14,796 | 14,796 | 14,795 |
Accounts payable ($27,443, $26,419 and $20,654 related to CCJVs) | 286,913 | 199,029 | 223,612 |
Billings in excess of costs and estimated earnings ($38,581, $33,704 and $34,994 related to CCJVs) | 168,707 | 97,522 | 116,151 |
Accrued expenses and other current liabilities ($1,354, $1,544 and $817 related to CCJVs) | 246,775 | 218,587 | 237,534 |
Total current liabilities | 717,191 | 529,934 | 592,092 |
Long-term debt | 225,922 | 229,498 | 240,715 |
Deferred income taxes, net | 5,932 | 5,441 | 0 |
Other long-term liabilities | 46,435 | 45,989 | 46,270 |
Commitments and contingencies | |||
Equity | |||
Preferred stock, $0.01 par value, authorized 3,000,000 shares, none outstanding | 0 | 0 | 0 |
Common stock, $0.01 par value, authorized 150,000,000 shares; issued and outstanding: 39,850,587 shares as of September 30, 2017, 39,621,140 shares as of December 31, 2016 and 39,601,569 shares as of September 30, 2016 | 399 | 396 | 396 |
Additional paid-in capital | 157,734 | 150,337 | 147,583 |
Accumulated other comprehensive income (loss) | 240 | (371) | (1,524) |
Retained earnings | 756,183 | 735,626 | 724,691 |
Total Granite Construction Incorporated shareholders’ equity | 914,556 | 885,988 | 871,146 |
Non-controlling interests | 37,252 | 36,603 | 35,044 |
Total equity | 951,808 | 922,591 | 906,190 |
Total liabilities and equity | $ 1,947,288 | $ 1,733,453 | $ 1,785,267 |
CONSOLIDATED BALANCE SHEETS Con
CONSOLIDATED BALANCE SHEETS Consolidated Balance Sheets Parenthetical (Assets and Liabilities) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Cash and cash equivalents | $ 185,516 | $ 189,326 | $ 150,225 |
Costs and estimated earnings in excess of billings | 94,527 | 73,102 | 80,032 |
Other current assets | 26,612 | 39,908 | 28,047 |
Property and equipment, net | 412,174 | 406,650 | 407,327 |
Accounts payable | 286,913 | 199,029 | 223,612 |
Billings in excess of costs and estimated earnings | 168,707 | 97,522 | 116,151 |
Accrued expenses and other current liabilities | 246,775 | 218,587 | 237,534 |
Consolidated Construction Joint Venture | Joint Venture Consolidated | |||
Cash and cash equivalents | 71,328 | 73,115 | 47,803 |
Receivables, Net | 51,079 | 52,613 | 77,012 |
Costs and estimated earnings in excess of billings | 3,035 | 5,046 | 2,940 |
Other current assets | 6,033 | 7,500 | 8,649 |
Property and equipment, net | 33,754 | 20,500 | 15,302 |
Accounts payable | 27,443 | 26,419 | 20,654 |
Billings in excess of costs and estimated earnings | 38,581 | 33,704 | 34,994 |
Accrued expenses and other current liabilities | $ 1,354 | $ 1,544 | $ 817 |
CONSOLIDATED BALANCE SHEETS Co4
CONSOLIDATED BALANCE SHEETS Consolidated Balance Sheets Parenthetical (Equity) - $ / shares | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Statement of Financial Position [Abstract] | |||
Preferred Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 | $ 0.01 |
Preferred Stock, Shares Authorized | 3,000,000 | 3,000,000 | 3,000,000 |
Preferred Stock, Shares Outstanding | 0 | 0 | 0 |
Common Stock, Par or Stated Value Per Share | $ 0.01 | $ 0.01 | $ 0.01 |
Common Stock, Shares Authorized | 150,000,000 | 150,000,000 | 150,000,000 |
Common Stock, Shares, Issued | 39,850,587 | 39,621,140 | 39,601,569 |
Common Stock, Shares, Outstanding | 39,850,587 | 39,621,140 | 39,601,569 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Revenue | ||||
Construction | $ 579,146 | $ 464,624 | $ 1,235,264 | $ 1,005,457 |
Large Project Construction | 279,845 | 249,345 | 741,341 | 642,116 |
Construction Materials | 98,135 | 89,936 | 211,834 | 200,363 |
Total revenue | 957,126 | 803,905 | 2,188,439 | 1,847,936 |
Cost of revenue | ||||
Construction | 487,798 | 393,094 | 1,053,463 | 857,938 |
Large Project Construction | 273,460 | 225,826 | 731,906 | 591,438 |
Construction Materials | 81,338 | 77,311 | 188,844 | 178,440 |
Total cost of revenue | 842,596 | 696,231 | 1,974,213 | 1,627,816 |
Gross profit | 114,530 | 107,674 | 214,226 | 220,120 |
Selling, general and administrative expenses | 49,501 | 54,194 | 162,726 | 159,032 |
Gain on sales of property and equipment | (1,753) | (398) | (2,830) | (2,364) |
Operating income | 66,782 | 53,878 | 54,330 | 63,452 |
Other (income) expense | ||||
Interest income | (1,141) | (790) | (3,356) | (2,424) |
Interest expense | 2,660 | 3,034 | 8,097 | 9,270 |
Equity in income of affiliates | (2,732) | (2,424) | (4,907) | (4,583) |
Other income, net | (1,309) | (732) | (2,821) | (5,287) |
Total other income | (2,522) | (912) | (2,987) | (3,024) |
Income before provision for income taxes | 69,304 | 54,790 | 57,317 | 66,476 |
Provision for income taxes | 21,249 | 16,617 | 16,841 | 19,540 |
Net income | 48,055 | 38,173 | 40,476 | 46,936 |
Amount attributable to non-controlling interests | 2,073 | 982 | 4,151 | 5,987 |
Net income attributable to Granite Construction Incorporated | $ 45,982 | $ 37,191 | $ 36,325 | $ 40,949 |
Net income per share attributable to common shareholders (see Note 11) | ||||
Basic (in dollars per share) | $ 1.15 | $ 0.94 | $ 0.91 | $ 1.04 |
Diluted (in dollars per share) | $ 1.14 | $ 0.92 | $ 0.90 | $ 1.02 |
Weighted average shares of common stock | ||||
Weighted average common shares outstanding, basic | 39,844 | 39,599 | 39,774 | 39,539 |
Weighted average common shares outstanding, diluted | 40,387 | 40,313 | 40,367 | 40,205 |
Dividends per common share (in US$ per share) | $ 0.13 | $ 0.13 | $ 0.39 | $ 0.39 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 48,055 | $ 38,173 | $ 40,476 | $ 46,936 |
Other comprehensive income (loss), net of tax: | ||||
Net unrealized gain (loss) on derivatives | 46 | 382 | (163) | (1,016) |
Less: reclassification for net losses included in interest expense | 25 | 126 | 141 | 226 |
Net change | 71 | 508 | (22) | (790) |
Foreign currency translation adjustments, net | 98 | (221) | 633 | 766 |
Other comprehensive income (loss) | 169 | 287 | 611 | (24) |
Comprehensive income | 48,224 | 38,460 | 41,087 | 46,912 |
Non-controlling interests in comprehensive income | (2,073) | (982) | (4,151) | (5,987) |
Comprehensive income attributable to Granite | $ 46,151 | $ 37,478 | $ 36,936 | $ 40,925 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2017 | Sep. 30, 2016 | |
Operating Activities | ||
Net income | $ 40,476 | $ 46,936 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | ||
Depreciation, depletion and amortization | 48,522 | 46,637 |
Gain on sales of property and equipment | (2,830) | (2,364) |
Stock-based compensation | 13,580 | 11,013 |
Equity in net loss (income) from unconsolidated joint ventures | 15,415 | (15,903) |
Gain on real estate entity | 0 | (2,452) |
Net Income from affiliates | (4,907) | (4,583) |
Changes in assets and liabilities: | ||
Receivables | (207,908) | (169,678) |
Costs and estimated earnings in excess of billings, net | 14,726 | 1,793 |
Inventories | (6,814) | (5,462) |
Contributions to unconsolidated construction joint ventures | (3,937) | (11,545) |
Distributions from unconsolidated construction joint ventures | 33,374 | 5,850 |
Other assets, net | 10,523 | (2,209) |
Accounts payable | 90,799 | 62,787 |
Accrued expenses and other current liabilities, net | 23,595 | 19,782 |
Net cash provided by (used in) operating activities | 64,614 | (19,398) |
Investing Activities | ||
Purchases of marketable securities | (79,708) | (84,758) |
Maturities of marketable securities | 90,000 | 30,000 |
Proceeds from called marketable securities | 0 | 50,000 |
Purchases of property and equipment ($13,537 and $12,789 related to CCJVs) | (56,808) | (67,889) |
Proceeds from sales of property and equipment | 5,107 | 5,790 |
Distributions from affiliates | 0 | 2,233 |
Other investing activities, net | 2,321 | 3,847 |
Net cash used in investing activities | (39,088) | (60,777) |
Financing Activities | ||
Long-term debt principal repayments | (3,750) | (3,750) |
Cash dividends paid | (15,506) | (15,415) |
Repurchases of common stock | (6,713) | (4,946) |
Contributions from (distributions to) non-controlling partners, net | (3,500) | 1,522 |
Other financing activities, net | 133 | 153 |
Net cash used in financing activities | (29,336) | (22,436) |
Decrease in cash and cash equivalents | (3,810) | (102,611) |
Cash and cash equivalents at beginning of period | 189,326 | 252,836 |
Cash and cash equivalents at end of period | 185,516 | 150,225 |
Cash paid during the period for: | ||
Interest | 6,720 | 7,557 |
Income taxes | 2,689 | 6,748 |
Other non-cash operating activities: | ||
Performance guarantees | 5,761 | 17,596 |
Non-cash investing and financing activities: | ||
Restricted stock units issued, net of forfeitures | 11,184 | 21,057 |
Accrued cash dividends | 5,181 | 5,148 |
Accrued equipment purchases | 2,440 | (3,453) |
Consolidated Construction Joint Venture | Joint Venture Consolidated | ||
Changes in assets and liabilities: | ||
Net cash provided by (used in) operating activities | 26,400 | 7,800 |
Investing Activities | ||
Purchases of property and equipment ($13,537 and $12,789 related to CCJVs) | (13,537) | (9,976) |
Financing Activities | ||
Cash and cash equivalents at beginning of period | 73,115 | |
Cash and cash equivalents at end of period | $ 71,328 | $ 47,803 |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation The condensed consolidated financial statements included herein have been prepared by Granite Construction Incorporated (“we,” “us,” “our,” “the Company” or “Granite”) and are unaudited, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) and should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2016 . Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) have been condensed or omitted. Further, the condensed consolidated financial statements reflect, in the opinion of management, all normal recurring adjustments necessary to state fairly our financial position at September 30, 2017 and 2016 and the results of our operations and cash flows for the periods presented. The December 31, 2016 condensed consolidated balance sheet data was derived from audited consolidated financial statements, but does not include all disclosures required by U.S. GAAP. Our operations are typically affected more by weather conditions during the first and fourth quarters of our fiscal year which may alter our construction schedules and can create variability in our revenues and profitability. Therefore, the results of operations for the three and nine months ended September 30, 2017 are not necessarily indicative of the results to be expected for the full year. We prepared the accompanying condensed consolidated financial statements on the same basis as our annual consolidated financial statements, except for the adoption of Accounting Standards Update (“ASU”) No. 2016-01, Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities, ASU No. 2016-05, Derivatives and Hedging (Topic 815): Effect of Derivative Contract Novations on Existing Hedge Accounting Relationships and ASU 2017-08, Receivables - Nonrefundable Fees and Other Costs (Subtopic 310-20), Premium Amortization on Purchased Callable Debt Securities during the nine months ended September 30, 2017 . ASU No. 2016-01 eliminated the requirement to disclose the method(s) and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the consolidated balance sheet, which related to our marketable securities and debt (see Note 5). ASU No. 2016-05 had no impact and ASU No. 2017-08 had an immaterial impact on our condensed consolidated financial statements. |
Recent Pronouncements
Recent Pronouncements | 9 Months Ended |
Sep. 30, 2017 | |
Accounting Policies [Abstract] | |
Recently Issued Accounting Pronouncements | Recently Issued Accounting Pronouncements In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Codification ( “ASC”) Topic 606, Revenue from Contracts with Customers , and subsequently issued several related ASUs (“Topic 606”), which provide guidance for recognizing revenue from contracts with customers. The core principle of Topic 606 is that revenue will be recognized when promised goods or services are transferred to customers in an amount that reflects consideration for which entitlement is expected in exchange for those goods or services. Topic 606 will be effective commencing with our quarter ending March 31, 2018. We will adopt Topic 606 using the modified retrospective transition approach, which we will elect to apply to contracts with customers that are not substantially complete, i.e. less than 90% complete, as of January 1, 2018. We do not expect Topic 606 to have a material impact on our Construction and Construction Materials segments’ revenue. The most significant impact of Topic 606 relates to our Large Project Construction segment specifically in the following areas: • Multiple performance obligations - In accordance with Topic 606, construction contracts with customers, including those related to contract modifications, will be reviewed to determine if there are multiple performance obligations. If separate performance obligations are identified, the timing of revenue recognition could be impacted. Based on our assessment to-date of currently active construction contracts with customers, we have identified one unconsolidated joint venture contract in our Large Project Construction segment that will have multiple performance obligations. • Multiple contracts - Contracts containing task orders may be determined to consist of multiple individual contracts as defined by Topic 606. Based on our assessment to-date of currently active construction contracts with customers, we have identified one Large Project Construction segment contract and one Construction segment contract that will consist of multiple individual contracts as defined by Topic 606. • Provision for losses - Provisions for losses will be recognized in the consolidated statements of operations for the full amount of estimated losses at the uncompleted performance obligation level whenever evidence indicates that the estimated total cost of a performance obligation exceeds its estimated total revenue. Currently provisions for losses are recorded at the contract level. Based on our assessment to-date of currently active construction contracts with customers, we have identified one unconsolidated joint venture contract in our Large Project Construction segment that will have actual and provisions for losses related to completed and uncompleted performance obligations, respectively. Based on our estimated costs to complete and our assessment of the impact from the adoption of Topic 606 as of September 30, 2017, we estimate a net cumulative decrease to retained earnings between $11.0 million and $19.0 million as of January 1, 2018. This estimate may change upon adoption for various reasons including, but not limited to, revisions to the estimated costs to complete or a difference in actual progress versus expected progress related to current or new performance obligations. In addition to the above, we expect to separately present contract assets and liabilities on the consolidated balance sheets. Contract assets will include amounts due under contractual retainage provisions, unbilled receivables, costs and estimated earnings in excess of billings and capitalized mobilization costs. Contract liabilities will include provisions for losses and billings in excess of costs and estimated earnings. There will also be new disclosures related to revenue including information about unearned revenue and revenue disaggregated by operating group. Unearned revenue will be similar to our existing contract backlog but will only include project amounts when the related contract, contract options and task orders, as applicable, are executed rather than when awarded and funding is probable. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842) , which requires lessees to recognize the following for all leases (with the exception of short-term leases) at the commencement date: (a) a lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis; and (b) a right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. The ASU will be effective commencing with our quarter ending March 31, 2019. While we continue to evaluate the effect of this ASU, we expect the adoption of this ASU to have a material impact on our assets and liabilities due to the recognition of right-of-use assets and lease liabilities on our consolidated balance sheets. In January 2017, the FASB issued ASU No. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business, which is intended to help companies evaluate whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses by providing a more robust framework to use in determining when a set of assets and activities is a business. This ASU will be effective commencing with our quarter ending March 31, 2018. We do not expect the adoption of this ASU to have an impact on our consolidated financial statements. In January 2017, the FASB issued ASU 2017-04, Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. This ASU eliminates Step 2 from the goodwill impairment test, which measures goodwill impairment by comparing the implied fair value of a reporting unit’s goodwill with its carrying amount. This ASU will be effective commencing with our quarter ending March 31, 2020. We do not expect the adoption of this ASU to have a material impact on our consolidated financial statements. In May 2017, the FASB issued ASU 2017-09, Compensation-Stock Compensation (Topic 718) Scope of Modification Accounting, which clarifies that changes to the value, vesting conditions, or award classification of share-based payment awards must be accounted for as modifications. This ASU will be effective commencing with our quarter ending March 31, 2018. We do not expect the adoption of this ASU to have a material impact on our consolidated financial statements. In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities, which refines and expands hedge accounting for both financial (e.g., interest rate) and commodity risks. This ASU will be effective commencing with our quarter ending March 31, 2019. We do not expect the adoption of this ASU to have a material impact on our consolidated financial statements. |
Revisions in Estimates
Revisions in Estimates | 9 Months Ended |
Sep. 30, 2017 | |
Change in Accounting Estimate [Abstract] | |
Revisions in Estimate | Revisions in Estimates Our profit recognition related to construction contracts is based on estimates of costs to complete each project. These estimates can vary significantly in the normal course of business as projects progress, circumstances develop and evolve, and uncertainties are resolved. When we experience significant changes in our estimates of costs to complete, we undergo a process that includes reviewing the nature of the changes to ensure that there are no material amounts that should have been recorded in a prior period rather than as revisions in estimates for the current period. We use the cumulative catch-up method applicable to construction contract accounting to account for revisions in estimates. Under this method, revisions in estimates are accounted for in their entirety in the period of change. There can be no assurance that we will not experience further changes in circumstances or otherwise be required to revise our cost estimates in the future. In our review of these changes for the three months ended September 30, 2017 and for the three and nine months ended September 30, 2016 , we did not identify any material amounts that should have been recorded in a prior period. In our review of these changes for the nine months ended September 30, 2017 , we identified and corrected amounts that should have been recorded during the three months ended September 30, 2016. This correction resulted in a $4.9 million decrease to Large Project Construction revenue and gross profit and a $1.6 million increase in net loss attributable to Granite Construction Incorporated. We have assessed the impact of this correction to the financial statements of prior periods’ and to the financial statements for the nine months ended September 30, 2017 , and have concluded that the amounts were not material and are not expected to be material to the financial statements for the year ending December 31, 2017. In the normal course of business, we have revisions in estimated costs some of which are associated with unresolved affirmative claims and back charges. The estimated or actual recovery related to these estimated costs associated with unresolved affirmative claims and back charges may be recorded in future periods, which can cause fluctuations in the gross profit impact from revisions in estimates. Affirmative Claims Revisions in estimates for the three and nine months ended September 30, 2017 included increases in revenue of $11.5 million and $25.5 million , respectively, related to the estimated cost recovery of customer affirmative claims, which included increases of $11.0 million and $25.1 million , respectively, which were also affected by an increase in estimated contract costs in excess of the estimated recovery during the three and nine months ended September 30, 2017 , respectively. The remaining $0.5 million and $0.4 million , respectively, had estimated contract costs in excess of the estimated cost recovery that were recorded in prior periods. Revisions in estimates for the three and nine months ended September 30, 2016 included increases in revenue of $1.2 million and $21.4 million related to the estimated cost recovery of customer affirmative claims, which included increases of $0.2 million and $15.5 million that were also affected by an increase in estimated contract costs in excess of the estimated recovery during the three and nine months ended September 30, 2016 , respectively. The remaining $1.0 million and $5.9 million , respectively, had estimated contract costs in excess of the estimated cost recovery that were recorded in prior periods. Back Charges Revisions in estimates for the three and nine months ended September 30, 2017 included a reduction of cost of revenue of $0.6 million and $3.6 million , respectively, related to the estimated recovery of back charges of which $0.6 million and $2.0 million was also affected by an increase in estimated contract costs that were in excess of the estimated recovery during the three and nine months ended September 30, 2017 . The remaining $1.6 million during the nine months ended September 30, 2017 had estimated contract costs in excess of estimated cost recovery that were recorded in prior periods. Revisions in estimates for the three and nine months ended September 30, 2016 included a reduction of cost of revenue of $3.3 million and $10.9 million , respectively, related to the estimated recovery of back charges of which $1.2 million and $3.4 million were also affected by an increase in estimated contract costs that were in excess of the estimated recovery during the three and nine months ended September 30, 2016 , respectively. The remaining $2.1 million and $7.5 million , respectively, had estimated contract costs in excess of estimated cost recovery that were recorded in prior periods. The tables below include the impact to gross profit from significant revisions in estimates related to estimated and actual recovery of customer affirmative claims and back charges as well as the associated estimated contract costs. Construction The changes in project profitability from revisions in estimates, both increases and decreases, which individually had an impact of $1.0 million or more on gross profit were net decreases of $0.3 million and $1.3 million for the three and nine months ended September 30, 2017 , respectively. The changes for the three and nine months ended September 30, 2016 were net increases of $0.7 million and net decreases of $3.1 million , respectively. The projects are summarized as follows: Increases Three Months Ended September 30, Nine Months Ended September 30, (dollars in millions) 2017 2016 2017 2016 Number of projects with upward estimate changes 2 1 5 2 Range of increase in gross profit from each project, net $ 1.0 - 1.2 $ 2.6 $ 1.0 - 1.6 $ 1.8 - 2.7 Increase on project profitability $ 2.2 $ 2.6 $ 6.0 $ 4.5 The increases during the three and nine months ended September 30, 2017 and 2016 were due to lower costs and higher productivity than originally anticipated as well as settlements of outstanding issues with contract owners during the nine months ended September 30, 2016. Decreases Three Months Ended September 30, Nine Months Ended September 30, (dollars in millions) 2017 2016 2017 2016 Number of projects with downward estimate changes 1 1 3 5 Range of reduction in gross profit from each project, net $ 2.5 $ 1.9 $ 1.1 - 3.5 $ 1.1 - 2.6 Decrease on project profitability $ 2.5 $ 1.9 $ 7.3 $ 7.6 The decreases during the three and nine months ended September 30, 2017 and 2016 were due to additional costs and lower productivity than originally anticipated. Large Project Construction The changes in project profitability from revisions in estimates, both increases and decreases, which individually had an impact of $1.0 million or more on gross profit were decreases of $19.3 million and $58.1 million for the three and nine months ended September 30, 2017 , respectively. The changes for the three and nine months ended September 30, 2016 were net increases of $0.4 million and net decreases of $6.0 million , respectively. There were no amounts attributable to non-controlling interests for the three months ended September 30, 2017 and 2016, respectively. Amounts attributable to non-controlling interests were $2.1 million of the decrease and $3.5 million of the net decrease for the nine months ended September 30, 2017 and 2016, respectively. The projects are summarized as follows: Increases Three Months Ended September 30, Nine Months Ended September 30, (dollars in millions) 2017 2016 2017 2016 Number of projects with upward estimate changes — 3 — 7 Range of increase in gross profit from each project, net $ — $ 1.4 - 3.0 $ — $ 1.2 - 6.5 Increase on project profitability $ — $ 6.1 $ — $ 19.8 The increases during the three and nine months ended September 30, 2016 , were due to owner-directed scope changes, settlement of an outstanding back charge claim and higher productivity than originally anticipated as well as estimated recovery from back charge claims during the nine month period. Decreases Three Months Ended September 30, Nine Months Ended September 30, (dollars in millions) 2017 2016 2017 2016 Number of projects with downward estimate changes 3 3 7 4 Range of reduction in gross profit from each project, net $ 2.4 - 12.7 $ 1.1 - 3.5 $ 1.3 - 14.5 $ 3.4 - 7.9 Decrease on project profitability $ 19.3 $ 5.7 $ 58.1 $ 25.8 The decreases during the three and nine months ended September 30, 2017 and 2016, were due to additional design, weather and owner-related costs and lower productivity than originally anticipated, net of estimated and actual recovery from customer affirmative claims and back charges. As of September 30, 2017 , there were projects for which additional costs, including liquidated damages, were reasonably possible but the range of costs was not estimable. As the related projects proceed, future estimates may change and could have a material effect on our financial position, results of operations and/or cash flows in the future. |
Marketable Securities
Marketable Securities | 9 Months Ended |
Sep. 30, 2017 | |
Marketable Securities [Abstract] | |
Marketable Securities | Marketable Securities All marketable securities were classified as held-to-maturity as of the dates presented and the carrying amounts of held-to-maturity securities were as follows: (in thousands) September 30, December 31, September 30, U.S. Government and agency obligations $ 12,909 $ 10,002 $ 14,999 Commercial paper 34,905 54,882 39,864 Total short-term marketable securities 47,814 64,884 54,863 U.S. Government and agency obligations 69,991 62,895 52,908 Total long-term marketable securities 69,991 62,895 52,908 Total marketable securities $ 117,805 $ 127,779 $ 107,771 Scheduled maturities of held-to-maturity investments were as follows: (in thousands) September 30, Due within one year $ 47,814 Due in one to five years 69,991 Total $ 117,805 |
Fair Value Measurement
Fair Value Measurement | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurement The following tables summarize significant assets and liabilities measured at fair value in the condensed consolidated balance sheets on a recurring basis for each of the fair value levels (in thousands): Fair Value Measurement at Reporting Date Using September 30, 2017 Level 1 Level 2 Level 3 Total Cash equivalents Money market funds $ 22,896 $ — $ — $ 22,896 Total assets $ 22,896 $ — $ — $ 22,896 December 31, 2016 Cash equivalents Money market funds $ 10,057 $ — $ — $ 10,057 Total assets $ 10,057 $ — $ — $ 10,057 September 30, 2016 Cash equivalents Money market funds $ 12,041 $ — $ — $ 12,041 Total assets $ 12,041 $ — $ — $ 12,041 A reconciliation of cash equivalents to consolidated cash and cash equivalents is as follows (in thousands) September 30, December 31, September 30, Cash equivalents $ 22,896 $ 10,057 $ 12,041 Cash 162,620 179,269 138,184 Total cash and cash equivalents $ 185,516 $ 189,326 $ 150,225 Interest Rate Swaps As of both September 30, 2017 and December 31, 2016 , the fair value of the cash flow hedge that we entered into in January 2016 was $0.8 million and was included in other current assets in the condensed consolidated balance sheets. As of September 30, 2016 , the fair value of the cash flow hedge was $1.3 million and was included in accrued expenses and other current liabilities in the condensed consolidated balance sheets. The unrealized gains and losses, net of taxes, on the effective portion reported as a component of accumulated other comprehensive income (loss) and the interest expense reclassified from accumulated other comprehensive income (loss) were both immaterial during the three and nine months ended September 30, 2017 and 2016. During the three and nine months ended September 30, 2017 and 2016 , there was no ineffective portion. We estimate an immaterial amount to be reclassified from accumulated other comprehensive income (loss) into pre-tax earnings within the next twelve months. As of September 30, 2016 , the fair value of the interest rate swap that was terminated in December 2016 was $1.1 million and was included in other current assets on the condensed consolidated balance sheets. During the three and nine months ended September 30, 2016 , we recorded net losses of $0.6 million and net gains of $1.0 million , respectively, that were included in other income, net on our condensed consolidated statements of operations. Other Assets and Liabilities The carrying values and estimated fair values of our financial instruments that are not required to be recorded at fair value in the condensed consolidated balance sheets were as follows: September 30, 2017 December 31, 2016 September 30, 2016 (in thousands) Fair Value Hierarchy Carrying Value Fair Value Carrying Value Fair Value Carrying Value Fair Value Assets: Held-to-maturity marketable securities Level 1 $ 117,805 $ 117,349 $ 127,779 $ 127,365 $ 107,771 $ 107,770 Liabilities (including current maturities): 2019 Notes 1 Level 3 $ 120,000 $ 124,792 $ 120,000 $ 124,654 $ 160,000 $ 169,094 Credit Agreement - term loan 1 Level 3 91,250 91,078 95,000 93,991 96,250 96,151 Credit Agreement - revolving credit facility 1 Level 3 30,000 30,018 30,000 29,452 — — 1 See Note 10 for definitions of 2019 Notes and Credit Agreement. During the three and nine months ended September 30, 2017 and 2016 , we did not record any fair value adjustments related to nonfinancial assets and liabilities measured at fair value on a nonrecurring basis. |
Receivables, Net
Receivables, Net | 9 Months Ended |
Sep. 30, 2017 | |
Receivables [Abstract] | |
Receivables, Net | Receivables, net (in thousands) September 30, December 31, September 30, Construction contracts: Completed and in progress $ 469,416 $ 288,160 $ 347,320 Retentions 88,650 84,878 97,385 Total construction contracts 558,066 373,038 444,705 Construction material sales 58,920 29,357 50,768 Other 10,412 17,523 17,760 Total gross receivables 627,398 419,918 513,233 Less: allowance for doubtful accounts 317 573 481 Total net receivables $ 627,081 $ 419,345 $ 512,752 Receivables include amounts billed and billable to clients for services provided as of the end of the applicable period and do not bear interest. To the extent costs are not contractually billable or have not been earned, including claim recovery estimates, the associated revenue is included in costs and estimated earnings in excess of billings or billings i n excess of costs and estimated earnings in the condensed consolidated balance sheets. As of September 30, 2017 , December 31, 2016 and September 30, 2016 , the aggregate claim recovery estimates included in these balances were approximately $21.6 million , $12.3 million and $7.8 million , respectively. Included in other receivables at September 30, 2017 , December 31, 2016 and September 30, 2016 were items such as estimated recovery from back charge claims, notes receivable, fuel tax refunds, receivables from vendors and income tax refunds. No such receivables individually exceeded 10% of total net receivables at any of these dates. As of September 30, 2017 , December 31, 2016 and September 30, 2016 , the estimated recovery from back charge claims included in Other receivables was $0.3 million , $0.3 million and $9.3 million , respectively. Certain construction contracts include retainage provisions. The balances billed but not paid by customers pursuant to these provisions generally become due upon completion and acceptance of the project work or products by the owners. As of September 30, 2017 , December 31, 2016 and September 30, 2016 , no retention receivable individually exceeded 10% of total net receivables at any of the presented dates. The majority of the retentions receivable are expected to be collected within one year and there were no retentions receivables determined to be uncollectible. |
Construction Joint Ventures
Construction Joint Ventures | 9 Months Ended |
Sep. 30, 2017 | |
Construction and Line Item Joint Ventures [Abstract] | |
Construction and Line Item Joint Ventures | Construction Joint Ventures We participate in various construction joint ventures. We have determined that certain of these joint ventures are consolidated because they are variable interest entities (“VIEs”), and we are the primary beneficiary. We continually evaluate whether there are changes in the status of the VIEs or changes to the primary beneficiary designation of the VIE. Based on our assessments during the three months ended September 30, 2017 , we determined no change to the primary beneficiary was required for existing construction joint ventures. Due to the joint and several nature of the performance obligations under the related owner contracts, if any of the partners fail to perform, we and the remaining partners, if any, would be responsible for performance of the outstanding work (i.e., we provide a performance guarantee). At September 30, 2017 , there was approximately $5.1 billion of construction revenue to be recognized on unconsolidated and line item construction joint venture contracts of which $1.7 billion represented our share and the remaining $3.4 billion represented our partners’ share. We are not able to estimate amounts that may be required beyond the remaining cost of the work to be performed. These costs could be offset by billings to the customer or by proceeds from our partners’ and/or other guarantees. Consolidated Construction Joint Ventures (“CCJVs”) At September 30, 2017 , we were engaged in six active CCJV projects with total contract values ranging from $49.2 million to $409.6 million . Our share of revenue remaining to be recognized on these CCJVs ranged from $8.1 million to $204.8 million . Our proportionate share of the equity in these joint ventures was between 50.0% and 65.0% . During the three and nine months ended September 30, 2017 , total revenue from CCJVs was $44.5 million and $129.5 million , respectively. During the three and nine months ended September 30, 2016 , total revenue from CCJVs was $24.8 million and $79.9 million , respectively. During the nine months ended September 30, 2017 and 2016, CCJVs provided $26.4 million and $7.8 million of operating cash flows, respectively. Unconsolidated Construction Joint Ventures As of September 30, 2017 , we were engaged in eleven active unconsolidated joint venture projects with total contract values ranging from $77.3 million to $3.7 billion , for which there were three with contract values greater than $1.0 billion. Our proportionate share of the equity in these unconsolidated construction joint ventures ranged from 20.0% to 50.0% . As of September 30, 2017 , our share of the revenue remaining to be recognized on these unconsolidated construction joint ventures ranged from $0.5 million to $408.1 million . As of September 30, 2017 , December 31, 2016 and September 30, 2016 , one of our unconsolidated construction joint ventures was located in Canada and, therefore, the associated disclosures throughout this footnote include amounts that were translated from Canadian dollars to U.S. dollars using the spot rate in effect as of the reporting date for balance sheet items, and the average rate in effect during the reporting period for the results of operations. The following is summary financial information related to unconsolidated construction joint ventures: (in thousands) September 30, December 31, September 30, Assets: Cash, cash equivalents and marketable securities $ 333,751 $ 537,991 $ 509,644 Other current assets 1 721,014 644,809 683,854 Noncurrent assets 223,449 207,240 212,620 Less partners’ interest 846,832 935,615 942,183 Granite’s interest 1,2 431,382 454,425 463,935 Liabilities: Current liabilities 650,065 696,215 656,621 Less partners’ interest and adjustments 3 445,068 472,324 449,044 Granite’s interest 204,997 223,891 207,577 Equity in construction joint ventures 4 $ 226,385 $ 230,534 $ 256,358 1 Included in this balance and in accrued and other current liabilities on our condensed consolidated balance sheets as of September 30, 2017 , December 31, 2016 and September 30, 2016 was $88.9 million , $83.1 million and $83.1 million , respectively, related to performance guarantees. 2 Included in this balance as of September 30, 2017 , December 31, 2016 and September 30, 2016 was $77.6 million , $65.4 million and $62.5 million , respectively, related to Granite’s share of estimated cost recovery of customer affirmative claims. In addition, this balance included $11.1 million , $5.6 million and $5.9 million related to Granite’s share of estimated recovery of back charge claims as of September 30, 2017 , December 31, 2016 and September 30, 2016 , respectively. 3 Partners’ interest and adjustments includes amounts to reconcile total liabilities as reported by our partners to Granite’s interest adjusted to reflect our accounting policies. 4 As of September 30, 2017 , December 31, 2016 and September 30, 2016 , this balance included $16.0 million , $16.6 million and $6.8 million , respectively, of deficit in construction joint ventures that is included in accrued expenses and other current liabilities on the condensed consolidated balance sheets. Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2017 2016 2017 2016 Revenue: Total $ 550,115 $ 550,296 $ 1,517,419 $ 1,520,342 Less partners’ interest and adjustments 1 396,672 390,775 1,096,834 1,085,546 Granite’s interest 153,443 159,521 420,585 434,796 Cost of revenue: Total 520,205 510,579 1,462,127 1,451,189 Less partners’ interest and adjustments 1 359,825 360,965 1,026,377 1,032,667 Granite’s interest 160,380 149,614 435,750 418,522 Granite’s interest in gross (loss) profit $ (6,937 ) $ 9,907 $ (15,165 ) $ 16,274 1 Partners’ interest and adjustments represents amounts to reconcile total revenue and total cost of revenue as reported by our partners to Granite’s interest adjusted to reflect our accounting policies. During the three and nine months ended September 30, 2017 , unconsolidated construction joint venture net income was $31.0 million and $57.2 million , respectively, of which our share was net loss of $7.1 million and $15.3 million , respectively. The differences between our share of the joint venture net losses when compared to the joint venture net income primarily resulted from differences between our estimated total revenue and cost of revenue when compared to that of our partners’ on four projects. During the three and nine months ended September 30, 2016 , unconsolidated construction joint venture net income was $38.7 million and $68.0 million , respectively, of which our share was $10.3 million and $15.9 million , respectively. These joint venture net income amounts exclude our corporate overhead required to manage the joint ventures and include taxes only to the extent the applicable states have joint venture level taxes. Line Item Joint Ventures As of September 30, 2017 , we had one active line item joint venture construction project with a total contract value of $66.2 million of which our portion was $48.7 million . As of September 30, 2017 , our share of revenue remaining to be recognized on this line item joint venture was $3.8 million . During the three and nine months ended September 30, 2017 , our portion of revenue from line item joint ventures was $5.4 million and $20.1 million , respectively. During the three and nine months ended September 30, 2016 , our portion of revenue from line item joint ventures was $9.5 million and $23.5 million , respectively. |
Investments in Affiliates
Investments in Affiliates | 9 Months Ended |
Sep. 30, 2017 | |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | |
Investments in Affiliates | Investments in Affiliates Our investments in affiliates balance is related to our investments in unconsolidated non-construction entities that we account for using the equity method of accounting, including investments in real estate entities and a non-real estate entity. Our investments in affiliates balance consists of the following: (in thousands) September 30, December 31, September 30, Equity method investments in real estate affiliates $ 28,634 $ 25,911 $ 24,638 Equity method investment in other affiliate 11,312 9,757 9,718 Total investments in affiliates $ 39,946 $ 35,668 $ 34,356 The following table provides summarized balance sheet information for our affiliates accounted for under the equity method on a combined basis: (in thousands) September 30, December 31, September 30, Total assets $ 163,714 $ 155,506 $ 167,859 Net assets 98,490 99,804 95,128 Granite’s share of net assets 39,946 35,668 34,356 The equity method investments in real estate affiliates included $23.6 million , $20.8 million and $19.7 million in residential real estate in Texas as of September 30, 2017 , December 31, 2016 and September 30, 2016 , respectively. The remaining balances were in commercial real estate in Texas. Of the $163.7 million in total assets as of September 30, 2017 , real estate entities had total assets ranging from $1.6 million to $73.1 million and the non-real estate entity had total assets of $26.5 million . |
Property and Equipment, Net
Property and Equipment, Net | 9 Months Ended |
Sep. 30, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment, Net | Property and Equipment, net Balances of major classes of assets and allowances for depreciation and depletion are included in property and equipment, net in the condensed consolidated balance sheets and were as follows: (in thousands) September 30, December 31, September 30, Equipment and vehicles $ 778,010 $ 756,602 $ 770,882 Quarry property 177,427 174,839 179,735 Land and land improvements 113,384 110,999 111,714 Buildings and leasehold improvements 83,914 82,762 82,733 Office furniture and equipment 59,791 56,381 61,007 Property and equipment 1,212,526 1,181,583 1,206,071 Less: accumulated depreciation and depletion 800,352 774,933 798,744 Property and equipment, net $ 412,174 $ 406,650 $ 407,327 |
Covenants and Events of Default
Covenants and Events of Default | 9 Months Ended |
Sep. 30, 2017 | |
Debt Disclosure [Abstract] | |
Long-Term Debt and Credit Arrangements | Debt Covenants and Events of Default Our debt and credit agreements require us to comply with various affirmative, restrictive and financial covenants, including the financial covenants described below. Our failure to comply with any of these covenants, or to pay principal, interest or other amounts when due thereunder, would constitute an event of default under the applicable agreements. Under certain circumstances, the occurrence of an event of default under one of our debt or credit agreements (or the acceleration of the maturity of the indebtedness under one of our agreements) may constitute an event of default under one or more of our other debt or credit agreements. Default under our debt and credit agreements could result in (i) us no longer being entitled to borrow under the agreements; (ii) termination of the agreements; (iii) the requirement that any letters of credit under the agreements be cash collateralized; (iv) acceleration of the maturity of outstanding indebtedness under the agreements; and/or (v) foreclosure on any collateral securing the obligations under the agreements. As of September 30, 2017 , we had a $291.3 million credit facility, of which $200.0 million was a revolving credit facility and $91.3 million was a term loan that matures on October 28, 2020 (the “Maturity Date”) and has a sublimit for letters of credit of $100.0 million (the “Credit Agreement”). As of September 30, 2017 , December 31, 2016 and September 30, 2016 , $5.0 million of the term loan balance was included in current maturities of long-term debt and the remaining $86.3 million , $90.0 million and $91.3 million , respectively, was included in long-term debt on the condensed consolidated balance sheets. As of September 30, 2017 and December 31, 2016, $30.0 million had been drawn from the Credit Agreement to service the 2016 installment of the 2019 Notes (defined below). Senior notes payable in the amount of $120.0 million as of both September 30, 2017 and December 31, 2016 and in the amount of $160.0 million as of September 30, 2016 were due to a group of institutional holders and had an interest rate of 6.11% per annum (“2019 Notes”). As of September 30, 2017 , three equal annual installments from 2017 through 2019 are remaining. Of the outstanding balances, $110.0 million as of both September 30, 2017 and December 31, 2016 and $150.0 million as of September 30, 2016 were included in long-term debt on the condensed consolidated balance sheets. Of the $40.0 million due for the 2017 installment of the 2019 Notes, $30.0 million is included in long-term debt on the condensed consolidated balance sheets as of September 30, 2017 and December 31, 2016 as we have the ability and intent to pay these installments using borrowings under the Credit Agreement or by obtaining other sources of financing. The remaining $10.0 million of the 2017 installment was included in current maturities of long-term debt as of September 30, 2017 and December 31, 2016. Of the $40.0 million due for the 2016 installment of the 2019 Notes, $30.0 million was included in long-term debt on the condensed consolidated balance sheets as of September 30, 2016 as we had the ability and intent to pay these installments using borrowings under the Credit Agreement. The remaining $10.0 million of the 2016 installment was included in current maturities of long-term debt as of September 30, 2016 . As of September 30, 2017 , we were in compliance with all covenants contained in the Credit Agreement and related to the note purchase agreement governing our 2019 Notes. We are not aware of any non-compliance by any of our unconsolidated real estate entities with the covenants contained in their debt agreements. |
Weighted Average Shares Outstan
Weighted Average Shares Outstanding and Net Incomer (Loss) Per Share | 9 Months Ended |
Sep. 30, 2017 | |
Earnings Per Share [Abstract] | |
Earnings Per Share [Text Block] | Weighted Average Shares Outstanding and Net Income Per Share The following table presents a reconciliation of the weighted average shares outstanding used in calculating basic and diluted net income per share as well as the calculation of basic and diluted net income per share: Three Months Ended September 30, Nine Months Ended September 30, (in thousands, except per share amounts) 2017 2016 2017 2016 Numerator (basic and diluted): Net income allocated to common shareholders for basic calculation $ 45,982 $ 37,191 $ 36,325 $ 40,949 Denominator: Weighted average common shares outstanding, basic 39,844 39,599 39,774 39,539 Dilutive effect of common stock options and restricted stock units 543 714 593 666 Weighted average common shares outstanding, diluted 40,387 40,313 40,367 40,205 Net income per share, basic $ 1.15 $ 0.94 $ 0.91 $ 1.04 Net income per share, diluted $ 1.14 $ 0.92 $ 0.90 $ 1.02 |
Equity
Equity | 9 Months Ended |
Sep. 30, 2017 | |
Stockholders' Equity Note [Abstract] | |
Equity | Equity The following tables summarize our equity activity for the periods presented (in thousands): Granite Construction Incorporated Non-controlling Interests Total Equity Balance at December 31, 2016 $ 885,988 $ 36,603 $ 922,591 Purchases of common stock 1 (6,713 ) — (6,713 ) Other transactions with shareholders and employees 2 14,488 — 14,488 Transactions with non-controlling interests, net — (3,502 ) (3,502 ) Net income 36,325 4,151 40,476 Dividends on common stock (15,532 ) — (15,532 ) Balance at September 30, 2017 $ 914,556 $ 37,252 $ 951,808 Balance at December 31, 2015 $ 839,237 $ 30,884 $ 870,121 Purchases of common stock 3 (4,946 ) — (4,946 ) Other transactions with shareholders and employees 2 11,345 — 11,345 Transactions with non-controlling interests, net — (1,827 ) (1,827 ) Net income 40,949 5,987 46,936 Dividends on common stock (15,439 ) — (15,439 ) Balance at September 30, 2016 $ 871,146 $ 35,044 $ 906,190 1 Represents 136,000 shares purchased in connection with employee tax withholding for restricted stock units vested under our 2012 Equity Incentive Plan. 2 Amounts are comprised primarily of amortized restricted stock units. 3 Represents 111,000 shares purchased in connection with employee tax withholding for restricted stock units vested under our 2012 Equity Incentive Plan. |
Legal Proceedings
Legal Proceedings | 9 Months Ended |
Sep. 30, 2017 | |
Commitments and Contingencies Disclosure [Abstract] | |
Legal Proceedings | Legal Proceedings In the ordinary course of business, we or our joint ventures and affiliates are involved in various legal proceedings alleging, among other things, public liability issues, breach of contract or tortious conduct in connection with the performance of services and/or materials provided. We are also subject to government inquiries and reporting requirements seeking information concerning our compliance with government construction contracting requirements and various laws and regulations. The outcomes of such proceedings and government inquiries cannot be predicted with certainty. Some of the matters in which we or our joint ventures and affiliates are involved may include compensatory, punitive, or other claims or sanctions that, if granted, could require us to pay damages or make other expenditures in amounts that are not probable to be incurred or cannot currently be reasonably estimated. In addition, in some circumstances our government contracts could be terminated or suspended, we could be debarred or incur other administrative penalties or sanctions, or payment of our costs could be disallowed. While any of our pending legal proceedings may be subject to early resolution as a result of our ongoing efforts to settle, whether or when any legal proceeding will be resolved through settlement is neither predictable nor guaranteed. Accordingly, it is possible that future developments in such proceedings and inquiries could require us to (i) adjust existing accruals, or (ii) record new accruals that we did not originally believe to be probable or that could not be reasonably estimated. Such changes could be material to our financial condition, results of operations and/or cash flows in any particular reporting period. In addition to matters that are considered probable for which the loss can be reasonably estimated, we also disclose certain matters where the loss is considered reasonably possible and is reasonably estimable. Liabilities relating to legal proceedings and government inquiries, to the extent that we have concluded such liabilities are probable and the amounts of such liabilities are reasonably estimable, are recorded in our condensed consolidated balance sheets. The aggregate liabilities recorded as of September 30, 2017 , December 31, 2016 and September 30, 2016 related to these matters were approximately $1.7 million , $4.3 million and $0.7 million , respectively, and were primarily included in accrued expenses and other current liabilities. The aggregate range of reasonably possible loss amounts in excess of accrued losses recorded for probable loss contingencies, including those related to liquidated damages, could have a material impact on our consolidated financial statements if they become probable and the reasonably estimable amount is determined. |
Business Segment Information
Business Segment Information | 9 Months Ended |
Sep. 30, 2017 | |
Segment Reporting [Abstract] | |
Business Segment Information | Business Segment Information Summarized segment information is as follows (in thousands): Three Months Ended September 30, Construction Large Project Construction Construction Materials Total 2017 Total revenue from reportable segments $ 579,146 $ 279,845 $ 180,265 $ 1,039,256 Elimination of intersegment revenue — — (82,130 ) (82,130 ) Revenue from external customers 579,146 279,845 98,135 957,126 Gross profit 91,348 6,385 16,797 114,530 Depreciation, depletion and amortization 5,770 3,226 5,824 14,820 2016 Total revenue from reportable segments $ 464,624 $ 249,345 $ 162,835 $ 876,804 Elimination of intersegment revenue — — (72,899 ) (72,899 ) Revenue from external customers 464,624 249,345 89,936 803,905 Gross profit 71,530 23,519 12,625 107,674 Depreciation, depletion and amortization 6,162 1,821 6,168 14,151 Nine Months Ended September 30, Construction Large Project Construction Construction Materials Total 2017 Total revenue from reportable segments $ 1,235,264 $ 741,341 $ 352,129 $ 2,328,734 Elimination of intersegment revenue — — (140,295 ) (140,295 ) Revenue from external customers 1,235,264 741,341 211,834 2,188,439 Gross profit 181,801 9,435 22,990 214,226 Depreciation, depletion and amortization 16,205 8,193 16,439 40,837 Segment assets 141,210 326,314 287,821 755,345 2016 Total revenue from reportable segments $ 1,005,457 $ 642,116 $ 327,108 $ 1,974,681 Elimination of intersegment revenue — — (126,745 ) (126,745 ) Revenue from external customers 1,005,457 642,116 200,363 1,847,936 Gross profit 147,519 50,678 21,923 220,120 Depreciation, depletion and amortization 16,032 4,809 17,364 38,205 Segment assets 156,458 322,800 290,898 770,156 A reconciliation of segment gross profit to consolidated income before provision for income taxes is as follows: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2017 2016 2017 2016 Total gross profit from reportable segments $ 114,530 $ 107,674 $ 214,226 $ 220,120 Selling, general and administrative expenses 49,501 54,194 162,726 159,032 Gain on sales of property and equipment (1,753 ) (398 ) (2,830 ) (2,364 ) Total other income (2,522 ) (912 ) (2,987 ) (3,024 ) Income before provision for income taxes $ 69,304 $ 54,790 $ 57,317 $ 66,476 |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 9 Months Ended |
Sep. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Revision in Estimates | Our profit recognition related to construction contracts is based on estimates of costs to complete each project. These estimates can vary significantly in the normal course of business as projects progress, circumstances develop and evolve, and uncertainties are resolved. When we experience significant changes in our estimates of costs to complete, we undergo a process that includes reviewing the nature of the changes to ensure that there are no material amounts that should have been recorded in a prior period rather than as revisions in estimates for the current period. We use the cumulative catch-up method applicable to construction contract accounting to account for revisions in estimates. Under this method, revisions in estimates are accounted for in their entirety in the period of change. There can be no assurance that we will not experience further changes in circumstances or otherwise be required to revise our cost estimates in the future. |
Construction Joint Ventures | We have determined that certain of these joint ventures are consolidated because they are variable interest entities (“VIEs”), and we are the primary beneficiary. We continually evaluate whether there are changes in the status of the VIEs or changes to the primary beneficiary designation of the VIE. |
Revisions in Estimates (Tables)
Revisions in Estimates (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Construction [Member] | |
Change in Accounting Estimate [Line Items] | |
Schedule of Change in Accounting Estimate | The projects are summarized as follows: Increases Three Months Ended September 30, Nine Months Ended September 30, (dollars in millions) 2017 2016 2017 2016 Number of projects with upward estimate changes 2 1 5 2 Range of increase in gross profit from each project, net $ 1.0 - 1.2 $ 2.6 $ 1.0 - 1.6 $ 1.8 - 2.7 Increase on project profitability $ 2.2 $ 2.6 $ 6.0 $ 4.5 Decreases Three Months Ended September 30, Nine Months Ended September 30, (dollars in millions) 2017 2016 2017 2016 Number of projects with downward estimate changes 1 1 3 5 Range of reduction in gross profit from each project, net $ 2.5 $ 1.9 $ 1.1 - 3.5 $ 1.1 - 2.6 Decrease on project profitability $ 2.5 $ 1.9 $ 7.3 $ 7.6 |
Large Project Construction [Member] | |
Change in Accounting Estimate [Line Items] | |
Schedule of Change in Accounting Estimate | The projects are summarized as follows: Increases Three Months Ended September 30, Nine Months Ended September 30, (dollars in millions) 2017 2016 2017 2016 Number of projects with upward estimate changes — 3 — 7 Range of increase in gross profit from each project, net $ — $ 1.4 - 3.0 $ — $ 1.2 - 6.5 Increase on project profitability $ — $ 6.1 $ — $ 19.8 Decreases Three Months Ended September 30, Nine Months Ended September 30, (dollars in millions) 2017 2016 2017 2016 Number of projects with downward estimate changes 3 3 7 4 Range of reduction in gross profit from each project, net $ 2.4 - 12.7 $ 1.1 - 3.5 $ 1.3 - 14.5 $ 3.4 - 7.9 Decrease on project profitability $ 19.3 $ 5.7 $ 58.1 $ 25.8 |
Marketable Securities (Tables)
Marketable Securities (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Marketable Securities [Abstract] | |
Schedule of Marketable Securities | All marketable securities were classified as held-to-maturity as of the dates presented and the carrying amounts of held-to-maturity securities were as follows: (in thousands) September 30, December 31, September 30, U.S. Government and agency obligations $ 12,909 $ 10,002 $ 14,999 Commercial paper 34,905 54,882 39,864 Total short-term marketable securities 47,814 64,884 54,863 U.S. Government and agency obligations 69,991 62,895 52,908 Total long-term marketable securities 69,991 62,895 52,908 Total marketable securities $ 117,805 $ 127,779 $ 107,771 |
Held-to-maturity Securities | Scheduled maturities of held-to-maturity investments were as follows: (in thousands) September 30, Due within one year $ 47,814 Due in one to five years 69,991 Total $ 117,805 |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | The following tables summarize significant assets and liabilities measured at fair value in the condensed consolidated balance sheets on a recurring basis for each of the fair value levels (in thousands): Fair Value Measurement at Reporting Date Using September 30, 2017 Level 1 Level 2 Level 3 Total Cash equivalents Money market funds $ 22,896 $ — $ — $ 22,896 Total assets $ 22,896 $ — $ — $ 22,896 December 31, 2016 Cash equivalents Money market funds $ 10,057 $ — $ — $ 10,057 Total assets $ 10,057 $ — $ — $ 10,057 September 30, 2016 Cash equivalents Money market funds $ 12,041 $ — $ — $ 12,041 Total assets $ 12,041 $ — $ — $ 12,041 |
Schedule of Cash and Cash Equivalents [Table Text Block] | A reconciliation of cash equivalents to consolidated cash and cash equivalents is as follows (in thousands) September 30, December 31, September 30, Cash equivalents $ 22,896 $ 10,057 $ 12,041 Cash 162,620 179,269 138,184 Total cash and cash equivalents $ 185,516 $ 189,326 $ 150,225 |
Fair Value Measurements, Nonrecurring [Table Text Block] | The carrying values and estimated fair values of our financial instruments that are not required to be recorded at fair value in the condensed consolidated balance sheets were as follows: September 30, 2017 December 31, 2016 September 30, 2016 (in thousands) Fair Value Hierarchy Carrying Value Fair Value Carrying Value Fair Value Carrying Value Fair Value Assets: Held-to-maturity marketable securities Level 1 $ 117,805 $ 117,349 $ 127,779 $ 127,365 $ 107,771 $ 107,770 Liabilities (including current maturities): 2019 Notes 1 Level 3 $ 120,000 $ 124,792 $ 120,000 $ 124,654 $ 160,000 $ 169,094 Credit Agreement - term loan 1 Level 3 91,250 91,078 95,000 93,991 96,250 96,151 Credit Agreement - revolving credit facility 1 Level 3 30,000 30,018 30,000 29,452 — — |
Receivables, Net (Tables)
Receivables, Net (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Receivables [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | (in thousands) September 30, December 31, September 30, Construction contracts: Completed and in progress $ 469,416 $ 288,160 $ 347,320 Retentions 88,650 84,878 97,385 Total construction contracts 558,066 373,038 444,705 Construction material sales 58,920 29,357 50,768 Other 10,412 17,523 17,760 Total gross receivables 627,398 419,918 513,233 Less: allowance for doubtful accounts 317 573 481 Total net receivables $ 627,081 $ 419,345 $ 512,752 |
Construction Joint Ventures (Ta
Construction Joint Ventures (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Construction and Line Item Joint Ventures [Abstract] | |
Schedule of Unconsolidated Joint Ventures Assets and Liabilities [Table Text Block] | The following is summary financial information related to unconsolidated construction joint ventures: (in thousands) September 30, December 31, September 30, Assets: Cash, cash equivalents and marketable securities $ 333,751 $ 537,991 $ 509,644 Other current assets 1 721,014 644,809 683,854 Noncurrent assets 223,449 207,240 212,620 Less partners’ interest 846,832 935,615 942,183 Granite’s interest 1,2 431,382 454,425 463,935 Liabilities: Current liabilities 650,065 696,215 656,621 Less partners’ interest and adjustments 3 445,068 472,324 449,044 Granite’s interest 204,997 223,891 207,577 Equity in construction joint ventures 4 $ 226,385 $ 230,534 $ 256,358 1 Included in this balance and in accrued and other current liabilities on our condensed consolidated balance sheets as of September 30, 2017 , December 31, 2016 and September 30, 2016 was $88.9 million , $83.1 million and $83.1 million , respectively, related to performance guarantees. 2 Included in this balance as of September 30, 2017 , December 31, 2016 and September 30, 2016 was $77.6 million , $65.4 million and $62.5 million , respectively, related to Granite’s share of estimated cost recovery of customer affirmative claims. In addition, this balance included $11.1 million , $5.6 million and $5.9 million related to Granite’s share of estimated recovery of back charge claims as of September 30, 2017 , December 31, 2016 and September 30, 2016 , respectively. 3 Partners’ interest and adjustments includes amounts to reconcile total liabilities as reported by our partners to Granite’s interest adjusted to reflect our accounting policies. 4 As of September 30, 2017 , December 31, 2016 and September 30, 2016 , this balance included $16.0 million , $16.6 million and $6.8 million , respectively, of deficit in construction joint ventures that is included in accrued expenses and other current liabilities on the condensed consolidated balance sheets. Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2017 2016 2017 2016 Revenue: Total $ 550,115 $ 550,296 $ 1,517,419 $ 1,520,342 Less partners’ interest and adjustments 1 396,672 390,775 1,096,834 1,085,546 Granite’s interest 153,443 159,521 420,585 434,796 Cost of revenue: Total 520,205 510,579 1,462,127 1,451,189 Less partners’ interest and adjustments 1 359,825 360,965 1,026,377 1,032,667 Granite’s interest 160,380 149,614 435,750 418,522 Granite’s interest in gross (loss) profit $ (6,937 ) $ 9,907 $ (15,165 ) $ 16,274 |
Schedule of Unconsolidated Joint Ventures Revenue and Costs [Table Text Block] | Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2017 2016 2017 2016 Revenue: Total $ 550,115 $ 550,296 $ 1,517,419 $ 1,520,342 Less partners’ interest and adjustments 1 396,672 390,775 1,096,834 1,085,546 Granite’s interest 153,443 159,521 420,585 434,796 Cost of revenue: Total 520,205 510,579 1,462,127 1,451,189 Less partners’ interest and adjustments 1 359,825 360,965 1,026,377 1,032,667 Granite’s interest 160,380 149,614 435,750 418,522 Granite’s interest in gross (loss) profit $ (6,937 ) $ 9,907 $ (15,165 ) $ 16,274 1 Partners’ interest and adjustments represents amounts to reconcile total revenue and total cost of revenue as reported by our partners to Granite’s interest adjusted to reflect our accounting policies. |
Investments in Affiliates (Tabl
Investments in Affiliates (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Investments in and Advances to Affiliates, Schedule of Investments [Abstract] | |
Investments in and Advances to Affiliates [Table Text Block] | Our investments in affiliates balance consists of the following: (in thousands) September 30, December 31, September 30, Equity method investments in real estate affiliates $ 28,634 $ 25,911 $ 24,638 Equity method investment in other affiliate 11,312 9,757 9,718 Total investments in affiliates $ 39,946 $ 35,668 $ 34,356 |
Equity Method Investment Summarized Balance Sheet Location [Table Text Block] | The following table provides summarized balance sheet information for our affiliates accounted for under the equity method on a combined basis: (in thousands) September 30, December 31, September 30, Total assets $ 163,714 $ 155,506 $ 167,859 Net assets 98,490 99,804 95,128 Granite’s share of net assets 39,946 35,668 34,356 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | Balances of major classes of assets and allowances for depreciation and depletion are included in property and equipment, net in the condensed consolidated balance sheets and were as follows: (in thousands) September 30, December 31, September 30, Equipment and vehicles $ 778,010 $ 756,602 $ 770,882 Quarry property 177,427 174,839 179,735 Land and land improvements 113,384 110,999 111,714 Buildings and leasehold improvements 83,914 82,762 82,733 Office furniture and equipment 59,791 56,381 61,007 Property and equipment 1,212,526 1,181,583 1,206,071 Less: accumulated depreciation and depletion 800,352 774,933 798,744 Property and equipment, net $ 412,174 $ 406,650 $ 407,327 |
Weighted Average Shares Outst30
Weighted Average Shares Outstanding and Net Income (Loss) Per Share (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | The following table presents a reconciliation of the weighted average shares outstanding used in calculating basic and diluted net income per share as well as the calculation of basic and diluted net income per share: Three Months Ended September 30, Nine Months Ended September 30, (in thousands, except per share amounts) 2017 2016 2017 2016 Numerator (basic and diluted): Net income allocated to common shareholders for basic calculation $ 45,982 $ 37,191 $ 36,325 $ 40,949 Denominator: Weighted average common shares outstanding, basic 39,844 39,599 39,774 39,539 Dilutive effect of common stock options and restricted stock units 543 714 593 666 Weighted average common shares outstanding, diluted 40,387 40,313 40,367 40,205 Net income per share, basic $ 1.15 $ 0.94 $ 0.91 $ 1.04 Net income per share, diluted $ 1.14 $ 0.92 $ 0.90 $ 1.02 |
Equity (Tables)
Equity (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Stockholders' Equity Note [Abstract] | |
Schedule of Stockholders Equity | The following tables summarize our equity activity for the periods presented (in thousands): Granite Construction Incorporated Non-controlling Interests Total Equity Balance at December 31, 2016 $ 885,988 $ 36,603 $ 922,591 Purchases of common stock 1 (6,713 ) — (6,713 ) Other transactions with shareholders and employees 2 14,488 — 14,488 Transactions with non-controlling interests, net — (3,502 ) (3,502 ) Net income 36,325 4,151 40,476 Dividends on common stock (15,532 ) — (15,532 ) Balance at September 30, 2017 $ 914,556 $ 37,252 $ 951,808 Balance at December 31, 2015 $ 839,237 $ 30,884 $ 870,121 Purchases of common stock 3 (4,946 ) — (4,946 ) Other transactions with shareholders and employees 2 11,345 — 11,345 Transactions with non-controlling interests, net — (1,827 ) (1,827 ) Net income 40,949 5,987 46,936 Dividends on common stock (15,439 ) — (15,439 ) Balance at September 30, 2016 $ 871,146 $ 35,044 $ 906,190 1 Represents 136,000 shares purchased in connection with employee tax withholding for restricted stock units vested under our 2012 Equity Incentive Plan. 2 Amounts are comprised primarily of amortized restricted stock units. 3 Represents 111,000 shares purchased in connection with employee tax withholding for restricted stock units vested under our 2012 Equity Incentive Plan. |
Business Segment Information (T
Business Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2017 | |
Segment Reporting Information [Line Items] | |
Schedule of Segment Reporting Information | Summarized segment information is as follows (in thousands): Three Months Ended September 30, Construction Large Project Construction Construction Materials Total 2017 Total revenue from reportable segments $ 579,146 $ 279,845 $ 180,265 $ 1,039,256 Elimination of intersegment revenue — — (82,130 ) (82,130 ) Revenue from external customers 579,146 279,845 98,135 957,126 Gross profit 91,348 6,385 16,797 114,530 Depreciation, depletion and amortization 5,770 3,226 5,824 14,820 2016 Total revenue from reportable segments $ 464,624 $ 249,345 $ 162,835 $ 876,804 Elimination of intersegment revenue — — (72,899 ) (72,899 ) Revenue from external customers 464,624 249,345 89,936 803,905 Gross profit 71,530 23,519 12,625 107,674 Depreciation, depletion and amortization 6,162 1,821 6,168 14,151 Nine Months Ended September 30, Construction Large Project Construction Construction Materials Total 2017 Total revenue from reportable segments $ 1,235,264 $ 741,341 $ 352,129 $ 2,328,734 Elimination of intersegment revenue — — (140,295 ) (140,295 ) Revenue from external customers 1,235,264 741,341 211,834 2,188,439 Gross profit 181,801 9,435 22,990 214,226 Depreciation, depletion and amortization 16,205 8,193 16,439 40,837 Segment assets 141,210 326,314 287,821 755,345 2016 Total revenue from reportable segments $ 1,005,457 $ 642,116 $ 327,108 $ 1,974,681 Elimination of intersegment revenue — — (126,745 ) (126,745 ) Revenue from external customers 1,005,457 642,116 200,363 1,847,936 Gross profit 147,519 50,678 21,923 220,120 Depreciation, depletion and amortization 16,032 4,809 17,364 38,205 Segment assets 156,458 322,800 290,898 770,156 |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | A reconciliation of segment gross profit to consolidated income before provision for income taxes is as follows: Three Months Ended September 30, Nine Months Ended September 30, (in thousands) 2017 2016 2017 2016 Total gross profit from reportable segments $ 114,530 $ 107,674 $ 214,226 $ 220,120 Selling, general and administrative expenses 49,501 54,194 162,726 159,032 Gain on sales of property and equipment (1,753 ) (398 ) (2,830 ) (2,364 ) Total other income (2,522 ) (912 ) (2,987 ) (3,024 ) Income before provision for income taxes $ 69,304 $ 54,790 $ 57,317 $ 66,476 |
Revisions in Estimates (Details
Revisions in Estimates (Details) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017USD ($)project | Sep. 30, 2016USD ($)project | Sep. 30, 2017USD ($)project | Sep. 30, 2016USD ($)project | |
Change in Accounting Estimates | ||||
Impact From Affirmative Claim Recovery Estimate | $ 11.5 | $ 1.2 | $ 25.5 | $ 21.4 |
Impact From Estimated Recovery of Backcharge Claims | 0.6 | 3.3 | 3.6 | 10.9 |
Construction Segment | ||||
Change in Accounting Estimates | ||||
Change in Accounting Estimate Amount Considered Significant to Individual Project Gross Profit | $ 1 | $ 1 | $ 1 | $ 1 |
Upward Estimate Change [Member] | Construction Segment | ||||
Change in Accounting Estimates | ||||
Number of Projects with Estimate Changes | project | 2 | 1 | 5 | 2 |
Increase (Decrease) on Project Profitability | $ 2.2 | $ 2.6 | $ 6 | $ 4.5 |
Upward Estimate Change [Member] | Construction Segment | Minimum | ||||
Change in Accounting Estimates | ||||
Range Of Effect On Gross Profit | 1 | 2.6 | 1 | 1.8 |
Upward Estimate Change [Member] | Construction Segment | Maximum | ||||
Change in Accounting Estimates | ||||
Range Of Effect On Gross Profit | $ 1.2 | $ 2.6 | $ 1.6 | $ 2.7 |
Upward Estimate Change [Member] | Large Project Construction [Member] | ||||
Change in Accounting Estimates | ||||
Number of Projects with Estimate Changes | project | 0 | 3 | 0 | 7 |
Increase (Decrease) on Project Profitability | $ 0 | $ 6.1 | $ 0 | $ 19.8 |
Upward Estimate Change [Member] | Large Project Construction [Member] | Minimum | ||||
Change in Accounting Estimates | ||||
Range Of Effect On Gross Profit | 0 | 1.4 | 0 | 1.2 |
Upward Estimate Change [Member] | Large Project Construction [Member] | Maximum | ||||
Change in Accounting Estimates | ||||
Range Of Effect On Gross Profit | 0 | 3 | 0 | 6.5 |
Net Estimate Change [Member] | Construction Segment | ||||
Change in Accounting Estimates | ||||
Increase (Decrease) on Project Profitability | (0.3) | 0.7 | (1.3) | (3.1) |
Net Estimate Change [Member] | Large Project Construction [Member] | ||||
Change in Accounting Estimates | ||||
Increase (Decrease) on Project Profitability | $ (19.3) | $ 0.4 | $ (58.1) | $ (6) |
Downward Estimate Change [Member] | Construction Segment | ||||
Change in Accounting Estimates | ||||
Number of Projects with Estimate Changes | project | 1 | 1 | 3 | 5 |
Increase (Decrease) on Project Profitability | $ (2.5) | $ (1.9) | $ (7.3) | $ (7.6) |
Downward Estimate Change [Member] | Construction Segment | Minimum | ||||
Change in Accounting Estimates | ||||
Range Of Effect On Gross Profit | (2.5) | (1.9) | (1.1) | (1.1) |
Downward Estimate Change [Member] | Construction Segment | Maximum | ||||
Change in Accounting Estimates | ||||
Range Of Effect On Gross Profit | $ (2.5) | $ (1.9) | $ (3.5) | $ (2.6) |
Downward Estimate Change [Member] | Large Project Construction [Member] | ||||
Change in Accounting Estimates | ||||
Number of Projects with Estimate Changes | project | 3 | 3 | 7 | 4 |
Increase (Decrease) on Project Profitability | $ (19.3) | $ (5.7) | $ (58.1) | $ (25.8) |
Downward Estimate Change [Member] | Large Project Construction [Member] | Minimum | ||||
Change in Accounting Estimates | ||||
Range Of Effect On Gross Profit | (2.4) | (1.1) | (1.3) | (3.4) |
Downward Estimate Change [Member] | Large Project Construction [Member] | Maximum | ||||
Change in Accounting Estimates | ||||
Range Of Effect On Gross Profit | (12.7) | (3.5) | (14.5) | (7.9) |
Contracts Accounted for under Percentage of Completion [Member] | Large Project Construction [Member] | Noncontrolling Interest [Member] | ||||
Change in Accounting Estimates | ||||
Increase (Decrease) on Project Profitability | 0 | 0 | (2.1) | (3.5) |
Estimated costs recorded in prior period | ||||
Change in Accounting Estimates | ||||
Impact From Affirmative Claim Recovery Estimate | 0.5 | 1 | 0.4 | 5.9 |
Impact From Estimated Recovery of Backcharge Claims | 0 | 2.1 | 1.6 | 7.5 |
Revisions to estimated total contract costs | ||||
Change in Accounting Estimates | ||||
Impact From Affirmative Claim Recovery Estimate | 11 | 0.2 | 25.1 | 15.5 |
Impact From Estimated Recovery of Backcharge Claims | $ 0.6 | $ 1.2 | $ 2 | 3.4 |
Sales Revenue, Net | ||||
Change in Accounting Estimates | ||||
Misstatement in prior period filing | 4.9 | |||
Gross Profit | ||||
Change in Accounting Estimates | ||||
Misstatement in prior period filing | $ 1.6 |
Marketable Securities - Carryin
Marketable Securities - Carrying Amounts of Marketable Securities (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Schedule of Marketable Securities [Line Items] | |||
Short-term marketable securities | $ 47,814 | $ 64,884 | $ 54,863 |
Long-term marketable securities | 69,991 | 62,895 | 52,908 |
Held-to-Maturity [Member] | |||
Schedule of Marketable Securities [Line Items] | |||
Short-term marketable securities | 47,814 | 64,884 | 54,863 |
Long-term marketable securities | 69,991 | 62,895 | 52,908 |
Total marketable securities | 117,805 | 127,779 | 107,771 |
U.S. Government and agency obligations [Member] | Held-to-Maturity [Member] | |||
Schedule of Marketable Securities [Line Items] | |||
Short-term marketable securities | 12,909 | 10,002 | 14,999 |
Long-term marketable securities | 69,991 | 62,895 | 52,908 |
Commercial paper | Held-to-Maturity [Member] | |||
Schedule of Marketable Securities [Line Items] | |||
Short-term marketable securities | $ 34,905 | $ 54,882 | $ 39,864 |
Marketable Securities - Maturit
Marketable Securities - Maturities of Held to Maturity Investments (Details) $ in Thousands | Sep. 30, 2017USD ($) |
Marketable Securities [Abstract] | |
Held-to-maturity investments, maturities due within one year | $ 47,814 |
Held-to-maturity investments, maturities due in one to five years | 69,991 |
Held-to-maturity investments, total maturities due | $ 117,805 |
Fair Value Measurement Cash and
Fair Value Measurement Cash and Cash Equivalents (Details) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Assets, Fair Value Disclosure | |||
Total Assets, Fair Value | $ 22,896 | $ 10,057 | $ 12,041 |
Level 1 | |||
Assets, Fair Value Disclosure | |||
Total Assets, Fair Value | 22,896 | 10,057 | 12,041 |
Level 2 | |||
Assets, Fair Value Disclosure | |||
Total Assets, Fair Value | 0 | 0 | 0 |
Level 3 | |||
Assets, Fair Value Disclosure | |||
Total Assets, Fair Value | 0 | 0 | 0 |
Money Market Funds | |||
Assets, Fair Value Disclosure | |||
Cash equivalents | 22,896 | 10,057 | 12,041 |
Money Market Funds | Level 1 | |||
Assets, Fair Value Disclosure | |||
Cash equivalents | 22,896 | 10,057 | 12,041 |
Money Market Funds | Level 2 | |||
Assets, Fair Value Disclosure | |||
Cash equivalents | 0 | 0 | 0 |
Money Market Funds | Level 3 | |||
Assets, Fair Value Disclosure | |||
Cash equivalents | $ 0 | $ 0 | $ 0 |
Fair Value Measurement - Cash a
Fair Value Measurement - Cash and Cash Equivalents Reconciliation (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Dec. 31, 2015 |
Cash Equivalents, at Carrying Value [Abstract] | ||||
Cash equivalents | $ 22,896 | $ 10,057 | $ 12,041 | |
Cash | 162,620 | 179,269 | 138,184 | |
Total cash and cash equivalents | $ 185,516 | $ 189,326 | $ 150,225 | $ 252,836 |
Fair Value Measurement - Carryi
Fair Value Measurement - Carrying and Fair Value Amounts (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | |
Revolving Credit Facility [Member] | ||||
Balance Sheet Grouping | ||||
Revolving credit agreement | $ 30,000 | $ 30,000 | ||
Level 1 | Other Assets, Liabilites, Fair Value | ||||
Balance Sheet Grouping | ||||
Held-to-maturity marketable securities | 117,349 | 127,365 | $ 107,770 | |
Level 1 | Other Assets Liabilities, Carrying Value | ||||
Balance Sheet Grouping | ||||
Held-to-maturity marketable securities | 117,805 | 127,779 | 107,771 | |
Level 3 | Other Assets, Liabilites, Fair Value | ||||
Balance Sheet Grouping | ||||
2019 Notes | [1] | 124,792 | 124,654 | 169,094 |
Credit Agreement - revolving credit facility | [1] | 91,078 | 93,991 | 96,151 |
Level 3 | Other Assets, Liabilites, Fair Value | Revolving Credit Facility [Member] | ||||
Balance Sheet Grouping | ||||
Revolving credit agreement | [1] | 30,018 | 29,452 | 0 |
Level 3 | Other Assets Liabilities, Carrying Value | ||||
Balance Sheet Grouping | ||||
2019 Notes | [1] | 120,000 | 120,000 | 160,000 |
Credit Agreement - revolving credit facility | [1] | 91,250 | 95,000 | 96,250 |
Level 3 | Other Assets Liabilities, Carrying Value | Revolving Credit Facility [Member] | ||||
Balance Sheet Grouping | ||||
Revolving credit agreement | [1] | $ 30,000 | $ 30,000 | $ 0 |
[1] | 1See Note 10 for definitions of 2019 Notes and Credit Agreement. |
Fair Value Measurement - Narrat
Fair Value Measurement - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2016 | Sep. 30, 2016 | Sep. 30, 2017 | |
Swap [Member] | |||
Derivatives Details | |||
Derivative, Gain (Loss) on Derivative, Net | $ (0.6) | $ 1 | |
Designated as Hedging Instrument [Member] | Level 2 | |||
Derivatives Details | |||
Derivative Asset | $ 0.8 | ||
Derivative Liability | 1.3 | 1.3 | |
Not Designated as Hedging Instrument [Member] | Level 2 | |||
Derivatives Details | |||
Derivative Asset | $ 1.1 | $ 1.1 |
Receivables, Net (Details)
Receivables, Net (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Affirmative Claim Recovery Estimate | $ 21,600 | $ 12,300 | $ 7,800 |
Total Gross Receivables | 627,398 | 419,918 | 513,233 |
Allowance for Accounts, Notes, Loans and Financing Receivable, Current | 317 | 573 | 481 |
Receivables, net | 627,081 | 419,345 | 512,752 |
Back charges claims | 300 | 300 | 9,300 |
Construction Contract [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Gross Receivables | 558,066 | 373,038 | 444,705 |
Completed and in Progress [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Gross Receivables | 469,416 | 288,160 | 347,320 |
Retentions [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Gross Receivables | 88,650 | 84,878 | 97,385 |
Construction Material Sales [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Gross Receivables | 58,920 | 29,357 | 50,768 |
Other Business Products and Services [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Gross Receivables | $ 10,412 | $ 17,523 | $ 17,760 |
Construction Joint Ventures (De
Construction Joint Ventures (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2017USD ($) | Sep. 30, 2016USD ($) | Sep. 30, 2017USD ($) | Sep. 30, 2016USD ($) | Dec. 31, 2016USD ($) | |
Construction Joint Venture | |||||
Contracts Revenue | $ 579,146 | $ 464,624 | $ 1,235,264 | $ 1,005,457 | |
Net cash provided by operating activities | 64,614 | (19,398) | |||
Unconsolidated Construction Joint Venture | |||||
Construction Joint Venture | |||||
Performance Guarantees | 88,900 | 83,100 | 88,900 | 83,100 | $ 83,100 |
Granite Construction [Member] | Unconsolidated Construction Joint Venture | |||||
Construction Joint Venture | |||||
Unconsolidated Construction Joint Venture Net (Loss) Income | (7,100) | 10,300 | (15,300) | 15,900 | |
Partnership Interest [Member] | Unconsolidated Construction Joint Venture | |||||
Construction Joint Venture | |||||
Revenue Remaining to be Recognized on Unconsolidated Construction Joint Ventures | $ 5,100,000 | $ 5,100,000 | |||
Joint Venture Consolidated | Consolidated Construction Joint Venture | |||||
Construction Joint Venture | |||||
Number of Active Joint Venture Projects | 6 | 6 | |||
Contracts Revenue | $ 44,500 | 24,800 | $ 129,500 | 79,900 | |
Net cash provided by operating activities | 26,400 | 7,800 | |||
Joint Venture Consolidated | Minimum | Consolidated Construction Joint Venture | |||||
Construction Joint Venture | |||||
Construction Contract Value | 49,200 | 49,200 | |||
Revenue Remaining to be Recognized on Consolidated Construction Joint Ventures | $ 8,100 | $ 8,100 | |||
Proportionate Share of the Joint Ventures Equity Owned by or Beneficial Interest in the Reporting Entity Directly or Indirectly | 50.00% | 50.00% | |||
Joint Venture Consolidated | Maximum | Consolidated Construction Joint Venture | |||||
Construction Joint Venture | |||||
Construction Contract Value | $ 409,600 | $ 409,600 | |||
Revenue Remaining to be Recognized on Consolidated Construction Joint Ventures | $ 204,800 | $ 204,800 | |||
Proportionate Share of the Joint Ventures Equity Owned by or Beneficial Interest in the Reporting Entity Directly or Indirectly | 65.00% | 65.00% | |||
Joint Venture Unconsolidated | Unconsolidated Construction Joint Venture | |||||
Construction Joint Venture | |||||
Unconsolidated Construction Joint Venture Net (Loss) Income | $ 31,000 | 38,700 | $ 57,200 | 68,000 | |
Number of Active Joint Venture Projects | 11 | 11 | |||
Number of Active Joint Venture Projects Greater than $1Billion | 3 | 3 | |||
Joint Venture Unconsolidated | Line Item Joint Venture | |||||
Construction Joint Venture | |||||
Number of Active Joint Venture Projects | 1 | 1 | |||
Contracts Revenue | $ 5,400 | $ 9,500 | $ 20,100 | $ 23,500 | |
Joint Venture Unconsolidated | Minimum | Unconsolidated Construction Joint Venture | |||||
Construction Joint Venture | |||||
Construction Contract Value | $ 77,300 | $ 77,300 | |||
Proportionate Share of the Joint Ventures Equity Owned by or Beneficial Interest in the Reporting Entity Directly or Indirectly | 20.00% | 20.00% | |||
Joint Venture Unconsolidated | Minimum | Line Item Joint Venture | |||||
Construction Joint Venture | |||||
Construction Contract Value | $ 66,200 | $ 66,200 | |||
Revenue Per Project Remaining to be Recognized on Line Item Construction Joint Ventures | 3,800 | 3,800 | |||
Joint Venture Unconsolidated | Maximum | Unconsolidated Construction Joint Venture | |||||
Construction Joint Venture | |||||
Construction Contract Value | $ 3,700,000 | $ 3,700,000 | |||
Proportionate Share of the Joint Ventures Equity Owned by or Beneficial Interest in the Reporting Entity Directly or Indirectly | 50.00% | 50.00% | |||
Reporting Entitys Interest in Joint Venture [Member] | Unconsolidated Construction Joint Venture | |||||
Construction Joint Venture | |||||
Revenue Remaining to be Recognized on Unconsolidated Construction Joint Ventures | $ 1,700,000 | $ 1,700,000 | |||
Reporting Entitys Interest in Joint Venture [Member] | Minimum | Unconsolidated Construction Joint Venture | |||||
Construction Joint Venture | |||||
Revenue Remaining to be Recognized on Unconsolidated Construction Joint Ventures | 500 | 500 | |||
Reporting Entitys Interest in Joint Venture [Member] | Minimum | Line Item Joint Venture | |||||
Construction Joint Venture | |||||
Construction Contract Value | 48,700 | 48,700 | |||
Reporting Entitys Interest in Joint Venture [Member] | Maximum | Unconsolidated Construction Joint Venture | |||||
Construction Joint Venture | |||||
Revenue Remaining to be Recognized on Unconsolidated Construction Joint Ventures | 408,100 | 408,100 | |||
Other Partners Interest in Partnerships [Member] | Unconsolidated Construction Joint Venture | |||||
Construction Joint Venture | |||||
Revenue Remaining to be Recognized on Unconsolidated Construction Joint Ventures | $ 3,400,000 | $ 3,400,000 |
Construction Joint Ventures - S
Construction Joint Ventures - Schedule of Unconsolidated Construction Joint Ventures Assets and Liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | |
Construction Joint Venture | ||||
Affirmative Claim Recovery Estimate | $ 21,600 | $ 12,300 | $ 7,800 | |
Unconsolidated Joint Venture Back charges claims | 11,100 | 5,600 | 5,900 | |
Deficit in unconsolidatedconstruction joint venture | 16,000 | 16,600 | 6,800 | |
Equity in Construction Joint Ventures | [1] | 226,385 | 230,534 | 256,358 |
Unconsolidated Construction Joint Venture | ||||
Construction Joint Venture | ||||
Performance Guarantees | 88,900 | 83,100 | 83,100 | |
Joint Venture Unconsolidated | Unconsolidated Construction Joint Venture | ||||
Construction Joint Venture | ||||
Unconsolidated Construction Joint Venture Assets, Noncurrent Assets | 223,449 | 207,240 | 212,620 | |
Reporting Entitys Interest in Joint Venture [Member] | Unconsolidated Construction Joint Venture | ||||
Construction Joint Venture | ||||
Affirmative Claim Recovery Estimate | 77,600 | 65,400 | 62,500 | |
Unconsolidated Construction Joint Venture Assets | [2],[3] | 431,382 | 454,425 | 463,935 |
Unconsolidated Construction Joint Venture Liabilities | 204,997 | 223,891 | 207,577 | |
Other Partners Interest in Partnerships [Member] | Unconsolidated Construction Joint Venture | ||||
Construction Joint Venture | ||||
Unconsolidated Construction Joint Venture Assets | 846,832 | 935,615 | 942,183 | |
Unconsolidated Construction Joint Venture Liabilities | [4] | 445,068 | 472,324 | 449,044 |
Cash and Cash Equivalents [Member] | Joint Venture Unconsolidated | Unconsolidated Construction Joint Venture | ||||
Construction Joint Venture | ||||
Unconsolidated Construction Joint Venture Assets | 333,751 | 537,991 | 509,644 | |
Other Assets, Current and Longterm [Member] | Joint Venture Unconsolidated | Unconsolidated Construction Joint Venture | ||||
Construction Joint Venture | ||||
Unconsolidated Construction Joint Venture Assets | [2] | 721,014 | 644,809 | 683,854 |
Accounts Payable [Member] | Joint Venture Unconsolidated | Unconsolidated Construction Joint Venture | ||||
Construction Joint Venture | ||||
Unconsolidated Construction Joint Venture Liabilities | $ 650,065 | $ 696,215 | $ 656,621 | |
[1] | As of September 30, 2017, December 31, 2016 and September 30, 2016, this balance included $16.0 million, $16.6 million and $6.8 million, respectively, of deficit in construction joint ventures that is included in accrued expenses and other current liabilities on the condensed consolidated balance sheets | |||
[2] | Included in this balance and in accrued and other current liabilities on our condensed consolidated balance sheets as of September 30, 2017, December 31, 2016 and September 30, 2016 was $88.9 million, $83.1 million and $83.1 million, respectively, related to performance guarantees. | |||
[3] | Included in this balance as of September 30, 2017, December 31, 2016 and September 30, 2016 was $77.6 million, $65.4 million and $62.5 million, respectively, related to Granite’s share of estimated cost recovery of customer affirmative claims. In addition, this balance included $11.1 million, $5.6 million and $5.9 million related to Granite’s share of estimated recovery of back charge claims as of September 30, 2017, December 31, 2016 and September 30, 2016, respectively. | |||
[4] | Partners’ interest and adjustments includes amounts to reconcile total liabilities as reported by our partners to Granite’s interest adjusted to reflect our accounting policies. |
Construction Joint Ventures -43
Construction Joint Ventures - Schedule of Unconsolidated Construction Joint Ventures Revenue and Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | ||
Variable Interest Entity [Line Items] | |||||
Contracts Revenue | $ 579,146 | $ 464,624 | $ 1,235,264 | $ 1,005,457 | |
Parent Company [Member] | Unconsolidated Construction Joint Venture | |||||
Variable Interest Entity [Line Items] | |||||
Unconsolidated Construction Joint Venture Net (Loss) Income | (7,100) | 10,300 | (15,300) | 15,900 | |
Joint Venture Unconsolidated | Unconsolidated Construction Joint Venture | |||||
Variable Interest Entity [Line Items] | |||||
Unconsolidated Construction Joint Venture Revenue | 550,115 | 550,296 | 1,517,419 | 1,520,342 | |
Unconsolidated Construction Joint Venture Cost of Revenue | 520,205 | 510,579 | 1,462,127 | 1,451,189 | |
Unconsolidated Construction Joint Venture Net (Loss) Income | 31,000 | 38,700 | 57,200 | 68,000 | |
Other Partners Interest in Joint Venture [Member] | Unconsolidated Construction Joint Venture | |||||
Variable Interest Entity [Line Items] | |||||
Unconsolidated Construction Joint Venture Revenue | [1] | 396,672 | 390,775 | 1,096,834 | 1,085,546 |
Unconsolidated Construction Joint Venture Cost of Revenue | [1] | 359,825 | 360,965 | 1,026,377 | 1,032,667 |
Reporting Entitys Interest in Joint Venture [Member] | Unconsolidated Construction Joint Venture | |||||
Variable Interest Entity [Line Items] | |||||
Unconsolidated Construction Joint Venture Revenue | 153,443 | 159,521 | 420,585 | 434,796 | |
Unconsolidated Construction Joint Venture Cost of Revenue | 160,380 | 149,614 | 435,750 | 418,522 | |
Unconsolidated Construction Joint Venture Gross (Loss) Profit | $ (6,937) | $ 9,907 | $ (15,165) | $ 16,274 | |
[1] | Partners’ interest and adjustments represents amounts to reconcile total revenue and total cost of revenue as reported by our partners to Granite’s interest adjusted to reflect our accounting policies. |
Investments in Affiliates (Deta
Investments in Affiliates (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Investments in and Advances to Affiliates [Line Items] | |||
Investments in affiliates | $ 39,946 | $ 35,668 | $ 34,356 |
Joint Venture Unconsolidated | |||
Investments in and Advances to Affiliates [Line Items] | |||
Investments in affiliates | 39,946 | 35,668 | 34,356 |
Equity Method Investment, Summarized Financial Information, Assets | 163,714 | 155,506 | 167,859 |
Equity Method Investments Summarized Financial Information Net Assets | 98,490 | 99,804 | 95,128 |
Equity Method Investments | 23,600 | 20,800 | 19,700 |
Joint Venture Unconsolidated | Other Affiliates [Member] | |||
Investments in and Advances to Affiliates [Line Items] | |||
Investments in affiliates | 11,312 | 9,757 | 9,718 |
Equity Method Investments | 39,946 | 35,668 | 34,356 |
Joint Venture Unconsolidated | Equity Method investments in Real Estate Affiliates [Member] | |||
Investments in and Advances to Affiliates [Line Items] | |||
Investments in affiliates | 28,634 | $ 25,911 | $ 24,638 |
Joint Venture Unconsolidated | Minimum [Member] | Variable Interest Entity, Not Primary Beneficiary [Member] | |||
Investments in and Advances to Affiliates [Line Items] | |||
Investments in affiliates | 26,500 | ||
Joint Venture Unconsolidated | Minimum [Member] | Real Estate Entities [Member] | Variable Interest Entity, Not Primary Beneficiary [Member] | |||
Investments in and Advances to Affiliates [Line Items] | |||
Real Estate Development Projects Range of Total Assets | 1,600 | ||
Joint Venture Unconsolidated | Maximum | Real Estate Entities [Member] | Variable Interest Entity, Not Primary Beneficiary [Member] | |||
Investments in and Advances to Affiliates [Line Items] | |||
Real Estate Development Projects Range of Total Assets | $ 73,100 |
Property and Equipment, Net (De
Property and Equipment, Net (Details) - USD ($) $ in Thousands | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Property, Plant and Equipment [Line Items] | |||
Property and equipment | $ 1,212,526 | $ 1,181,583 | $ 1,206,071 |
Accumulated depreciation and depletion | 800,352 | 774,933 | 798,744 |
Property and equipment, net | 412,174 | 406,650 | 407,327 |
Equipment and vehicles [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment | 778,010 | 756,602 | 770,882 |
Quarry property [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment | 177,427 | 174,839 | 179,735 |
Land and land improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment | 113,384 | 110,999 | 111,714 |
Building and leasehold improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment | 83,914 | 82,762 | 82,733 |
Office furniture and equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Property and equipment | $ 59,791 | $ 56,381 | $ 61,007 |
Covenants and Events of Defau46
Covenants and Events of Default (Details) - USD ($) $ in Thousands | 9 Months Ended | ||
Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | |
Debt Instrument [Line Items] | |||
Long-term Debt, Excluding Current Maturities | $ 225,922 | $ 229,498 | $ 240,715 |
Covenant Compliance | As of September 2017, we were in compliance with the covenants contained in our note purchase agreement governing our 2019 Notes and Credit Agreement. We are not aware of any non-compliance by any of our unconsolidated real estate entities with the covenants contained in their debt agreements. | ||
Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Revolving credit agreement | $ 30,000 | 30,000 | |
Term Loan [Member] | |||
Debt Instrument [Line Items] | |||
Line of Credit Facility, Maximum Borrowing Capacity | 91,300 | ||
Long term portion of term loan | 86,300 | 90,000 | 91,300 |
Short term portion of term loan | 5,000 | 5,000 | 5,000 |
Senior Notes [Member] | 2019 Notes [Member] | |||
Debt Instrument [Line Items] | |||
Debt Instrument, Face Amount | $ 120,000 | 120,000 | 160,000 |
Debt Instrument, Interest Rate, Stated Percentage | 6.11% | ||
Long-term Debt, Excluding Current Maturities | $ 110,000 | 110,000 | 150,000 |
Scheduled current period payments | 40,000 | 40,000 | 40,000 |
Senior Notes [Member] | 2019 Notes [Member] | Long-term Debt | |||
Debt Instrument [Line Items] | |||
Scheduled current period payments | 30,000 | 30,000 | 30,000 |
Senior Notes [Member] | 2019 Notes [Member] | Current Maturities of Long-term Debt | |||
Debt Instrument [Line Items] | |||
Scheduled current period payments | 10,000 | $ 10,000 | $ 10,000 |
Line of Credit [Member] | |||
Debt Instrument [Line Items] | |||
Line of Credit Facility, Maximum Borrowing Capacity | 291,300 | ||
Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Line of Credit Facility, Maximum Borrowing Capacity | 200,000 | ||
Term Loan Sublimit for Letters of Credit [Member] [Member] | |||
Debt Instrument [Line Items] | |||
Line of Credit Facility, Maximum Borrowing Capacity | $ 100,000 |
Weighted Average Shares Outst47
Weighted Average Shares Outstanding and Net Income Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | |
Weighted Avg Shares Outstanding and Earnings Per Share [Line Items] | ||||
Net income allocated to common shareholders for basic calculation | $ 45,982 | $ 37,191 | $ 36,325 | $ 40,949 |
Weighted average common shares outstanding, basic | 39,844 | 39,599 | 39,774 | 39,539 |
Dilutive effect of common stock options and restricted stock units | 543 | 714 | 593 | 666 |
Weighted average common shares outstanding, diluted | 40,387 | 40,313 | 40,367 | 40,205 |
Basic (in dollars per share) | $ 1.15 | $ 0.94 | $ 0.91 | $ 1.04 |
Diluted (in dollars per share) | $ 1.14 | $ 0.92 | $ 0.90 | $ 1.02 |
Equity (Details)
Equity (Details) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | |||||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | ||||
Stockholders' Equity [Roll Forward] | |||||||
Stockholders' equity, beginning balance | $ 922,591 | $ 870,121 | |||||
Purchase of common stock | (6,713) | [1] | (4,946) | [2] | |||
Other transactions with shareholders | [3] | 14,488 | 11,345 | ||||
Transactions with noncontrolling interests, net | (3,502) | (1,827) | |||||
Net income | $ 45,982 | $ 37,191 | 36,325 | 40,949 | |||
Net Income Attributable to Noncontrolling Interest | 2,073 | 982 | 4,151 | 5,987 | |||
Net income | 48,055 | 38,173 | 40,476 | 46,936 | |||
Dividends on common stock | (15,532) | (15,439) | |||||
Stockholders' equity, ending balance | 951,808 | 906,190 | $ 951,808 | $ 906,190 | |||
Shares Purchased for Tax Withholding for Share Based Compensation | 136,000 | 111,000 | |||||
Granite Construction [Member] | |||||||
Stockholders' Equity [Roll Forward] | |||||||
Stockholders' equity, beginning balance | $ 885,988 | $ 839,237 | |||||
Purchase of common stock | (6,713) | [1] | (4,946) | [2] | |||
Other transactions with shareholders | [3] | 14,488 | 11,345 | ||||
Transactions with noncontrolling interests, net | 0 | 0 | |||||
Net income | 36,325 | 40,949 | |||||
Dividends on common stock | (15,532) | (15,439) | |||||
Stockholders' equity, ending balance | 914,556 | 871,146 | 914,556 | 871,146 | |||
Noncontrolling Interest [Member] | |||||||
Stockholders' Equity [Roll Forward] | |||||||
Stockholders' equity, beginning balance | 36,603 | 30,884 | |||||
Purchase of common stock | 0 | [1] | 0 | [2] | |||
Other transactions with shareholders | [3] | 0 | 0 | ||||
Transactions with noncontrolling interests, net | 3,502 | 1,827 | |||||
Net Income Attributable to Noncontrolling Interest | 4,151 | 5,987 | |||||
Dividends on common stock | 0 | 0 | |||||
Stockholders' equity, ending balance | $ 37,252 | $ 35,044 | $ 37,252 | $ 35,044 | |||
[1] | Represents 136,000 shares purchased in connection with employee tax withholding for restricted stock units vested under our 2012 Equity Incentive Plan. | ||||||
[2] | Represents 111,000 shares purchased in connection with employee tax withholding for restricted stock units vested under our 2012 Equity Incentive Plan. | ||||||
[3] | Amounts are comprised primarily of amortized restricted stock units. |
Legal Proceedings Legal Proceed
Legal Proceedings Legal Proceedings (Details) - USD ($) $ in Millions | Sep. 30, 2017 | Dec. 31, 2016 | Sep. 30, 2016 |
Loss Contingencies [Line Items] | |||
Loss Contingency Accrual | $ 1.7 | $ 4.3 | $ 0.7 |
Business Segment Information (D
Business Segment Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2017 | Sep. 30, 2016 | Sep. 30, 2017 | Sep. 30, 2016 | Dec. 31, 2016 | |
Segment Reporting Information [Line Items] | |||||
Construction | $ 579,146 | $ 464,624 | $ 1,235,264 | $ 1,005,457 | |
Large Project Construction | 279,845 | 249,345 | 741,341 | 642,116 | |
Construction Materials | 98,135 | 89,936 | 211,834 | 200,363 | |
Total revenue | 957,126 | 803,905 | 2,188,439 | 1,847,936 | |
Gross profit | (114,530) | (107,674) | (214,226) | (220,120) | |
Assets | 1,947,288 | 1,785,267 | 1,947,288 | 1,785,267 | $ 1,733,453 |
Reconciliation from Segment Totals to Consolidated [Abstract] | |||||
Gross profit | (114,530) | (107,674) | (214,226) | (220,120) | |
Selling, general and administrative expenses | 49,501 | 54,194 | 162,726 | 159,032 | |
Gain on sales of property and equipment | (1,753) | (398) | (2,830) | (2,364) | |
Total other income | (2,522) | (912) | (2,987) | (3,024) | |
Income before provision for income taxes | 69,304 | 54,790 | 57,317 | 66,476 | |
Construction [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Elimination of Intersegment Revenue | 0 | ||||
Construction | 579,146 | 464,624 | 1,235,264 | 1,005,457 | |
Large Project Construction [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Large Project Construction | 279,845 | 249,345 | 741,341 | 642,116 | |
Construction Materials [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Construction Materials | 98,135 | 89,936 | 211,834 | 200,363 | |
Operating Segments [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Elimination of Intersegment Revenue | (126,745) | ||||
Revenue from reportable segments | 1,039,256 | 876,804 | 2,328,734 | 1,974,681 | |
Construction Materials | 1,847,936 | ||||
Gross profit | (114,530) | (107,674) | (214,226) | (220,120) | |
Depreciation, Depletion and Amortization, Nonproduction | 14,820 | 14,151 | 40,837 | 38,205 | |
Assets | 755,345 | 770,156 | 755,345 | 770,156 | |
Reconciliation from Segment Totals to Consolidated [Abstract] | |||||
Gross profit | (114,530) | (107,674) | (214,226) | (220,120) | |
Operating Segments [Member] | Construction [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Elimination of Intersegment Revenue | 0 | ||||
Revenue from reportable segments | 579,146 | 464,624 | 1,235,264 | 1,005,457 | |
Gross profit | (91,348) | (71,530) | (181,801) | (147,519) | |
Depreciation, Depletion and Amortization, Nonproduction | 5,770 | 6,162 | 16,205 | 16,032 | |
Assets | 141,210 | 156,458 | 141,210 | 156,458 | |
Reconciliation from Segment Totals to Consolidated [Abstract] | |||||
Gross profit | (91,348) | (71,530) | (181,801) | (147,519) | |
Operating Segments [Member] | Large Project Construction [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenue from reportable segments | 279,845 | 249,345 | 741,341 | 642,116 | |
Gross profit | (6,385) | (23,519) | (9,435) | (50,678) | |
Depreciation, Depletion and Amortization, Nonproduction | 3,226 | 1,821 | 8,193 | 4,809 | |
Assets | 326,314 | 322,800 | 326,314 | 322,800 | |
Reconciliation from Segment Totals to Consolidated [Abstract] | |||||
Gross profit | (6,385) | (23,519) | (9,435) | (50,678) | |
Operating Segments [Member] | Construction Materials [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Revenue from reportable segments | 180,265 | 162,835 | 352,129 | 327,108 | |
Gross profit | (16,797) | (12,625) | (22,990) | (21,923) | |
Depreciation, Depletion and Amortization, Nonproduction | 5,824 | 6,168 | 16,439 | 17,364 | |
Assets | 287,821 | 290,898 | 287,821 | 290,898 | |
Reconciliation from Segment Totals to Consolidated [Abstract] | |||||
Gross profit | (16,797) | (12,625) | (22,990) | (21,923) | |
Intersegment Eliminations [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Elimination of Intersegment Revenue | (82,130) | (72,899) | (140,295) | ||
Intersegment Eliminations [Member] | Construction [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Elimination of Intersegment Revenue | 0 | 0 | |||
Intersegment Eliminations [Member] | Large Project Construction [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Elimination of Intersegment Revenue | 0 | 0 | 0 | 0 | |
Intersegment Eliminations [Member] | Construction Materials [Member] | |||||
Segment Reporting Information [Line Items] | |||||
Elimination of Intersegment Revenue | $ (82,130) | $ (72,899) | $ (140,295) | $ (126,745) |