Document and Entity Information
Document and Entity Information Document - shares | 3 Months Ended | |
Mar. 31, 2018 | Apr. 24, 2018 | |
Document And Entity Information [Abstract] | ||
Entity Registrant Name | GRANITE CONSTRUCTION INC | |
Entity Central Index Key | 861,459 | |
Trading Symbol | GVA | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Large Accelerated Filer | |
Document Type | 10-Q | |
Document Period End Date | Mar. 31, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Entity Common Stock, Shares Outstanding | 40,048,328 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Current assets | |||
Cash and cash equivalents ($91,903, $94,359 and $60,406 related to consolidated construction joint ventures (“CCJVs”)) | $ 193,581 | $ 233,711 | $ 169,501 |
Short-term marketable securities | 39,961 | 67,775 | 67,824 |
Receivables, net ($17,598, $52,031 and $55,215 related to CCJVs) | 330,192 | 479,791 | 351,091 |
Contract assets ($23,889, $0 and $0 related to CCJVs) | 178,663 | 0 | 0 |
Costs and estimated earnings in excess of billings ($0, $1,437 and $2,965 related to CCJVs) | 0 | 103,965 | 90,112 |
Inventories | 71,295 | 62,497 | 58,781 |
Equity in construction joint ventures | 254,816 | 247,826 | 235,683 |
Other current assets ($14,180, $10,384 and $7,047 related to CCJVs) | 43,125 | 36,513 | 54,542 |
Total current assets | 1,111,633 | 1,232,078 | 1,027,534 |
Property and equipment, net ($44,655, $38,361 and $26,161 related to CCJVs) | 409,708 | 407,418 | 412,490 |
Long-term marketable securities | 67,305 | 65,015 | 59,989 |
Investments in affiliates | 38,682 | 38,469 | 36,410 |
Goodwill | 53,799 | 53,799 | 53,799 |
Deferred income taxes, net | 3,718 | 0 | 0 |
Other noncurrent assets | 74,382 | 75,199 | 87,997 |
Total assets | 1,759,227 | 1,871,978 | 1,678,219 |
Current liabilities | |||
Current maturities of long-term debt | 47,298 | 46,048 | 14,796 |
Accounts payable ($31,854, $34,795 and $19,386 related to CCJVs) | 226,253 | 237,673 | 170,006 |
Contract liabilities ($33,760, $0 and $0 related to CCJVs) | 71,030 | 0 | 0 |
Billings in excess of costs and estimated earnings ($0, $37,701 and $34,467 related to CCJVs) | 0 | 135,146 | 91,527 |
Accrued expenses and other current liabilities ($2,090, $2,126 and $1,426 related to CCJVs) | 233,637 | 236,407 | 224,850 |
Total current liabilities | 578,218 | 655,274 | 501,179 |
Long-term debt | 176,011 | 178,453 | 228,306 |
Deferred income taxes, net | 0 | 1,361 | 5,609 |
Other long-term liabilities | 40,104 | 44,085 | 47,066 |
Commitments and contingencies | 0 | 0 | 0 |
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: 40,047,187 shares as of March 31, 2018, 39,871,314 shares as of December 31, 2017 and 39,815,232 shares as of March 31, 2017 | 400 | 399 | 398 |
Additional paid-in capital | 162,038 | 160,376 | 152,805 |
Accumulated other comprehensive income (loss) | 1,197 | 634 | (257) |
Retained earnings | 751,801 | 783,699 | 706,571 |
Total Granite Construction Incorporated shareholders’ equity | 915,436 | 945,108 | 859,517 |
Non-controlling interests | 49,458 | 47,697 | 36,542 |
Total equity | 964,894 | 992,805 | 896,059 |
Total liabilities and equity | $ 1,759,227 | $ 1,871,978 | $ 1,678,219 |
CONDENSED CONSOLIDATED BALANCE3
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Cash and cash equivalents | $ 193,581 | $ 233,711 | $ 169,501 |
Contract assets | 178,663 | 0 | 0 |
Costs and estimated earnings in excess of billings | 0 | 103,965 | 90,112 |
Other current assets | 43,125 | 36,513 | 54,542 |
Property and equipment, net | 409,708 | 407,418 | 412,490 |
Accounts payable | 226,253 | 237,673 | 170,006 |
Contract liabilities | 71,030 | 0 | 0 |
Billings in excess of costs and estimated earnings | 0 | 135,146 | 91,527 |
Accrued expenses and other current liabilities | $ 233,637 | $ 236,407 | $ 224,850 |
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 | 40,047,187 | 39,871,314 | 39,815,232 |
Common Stock, Shares, Outstanding | 40,047,187 | 39,871,314 | 39,815,232 |
Consolidated Construction Joint Venture | Joint Venture Consolidated | |||
Cash and cash equivalents | $ 91,903 | $ 94,359 | $ 60,406 |
Receivables, Net | 17,598 | 52,031 | 55,215 |
Contract assets | 23,889 | 0 | 0 |
Costs and estimated earnings in excess of billings | 0 | 1,437 | 2,965 |
Other current assets | 14,180 | 10,384 | 7,047 |
Property and equipment, net | 44,655 | 38,361 | 26,161 |
Accounts payable | 31,854 | 34,795 | 19,386 |
Contract liabilities | 33,760 | 0 | 0 |
Billings in excess of costs and estimated earnings | 0 | 37,701 | 34,467 |
Accrued expenses and other current liabilities | $ 2,090 | $ 2,126 | $ 1,426 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Revenue | ||
Construction | $ 269,243 | $ 226,849 |
Large Project Construction | 248,414 | 207,033 |
Construction Materials | 45,722 | 34,518 |
Total revenue | 563,379 | 468,400 |
Cost of revenue | ||
Construction | 230,847 | 199,520 |
Large Project Construction | 228,048 | 204,478 |
Construction Materials | 48,201 | 39,276 |
Total cost of revenue | 507,096 | 443,274 |
Gross profit | 56,283 | 25,126 |
Selling, general and administrative expenses | 61,252 | 61,837 |
Acquisition and integration expenses | 8,409 | |
Gain on sales of property and equipment | (543) | (270) |
Operating loss | (12,835) | (36,441) |
Other expense (income) | ||
Interest income | (1,521) | (1,051) |
Interest expense | 2,435 | 2,743 |
Equity in income of affiliates | (224) | (916) |
Other expense (income), net | 268 | (870) |
Total other expense (income) | 958 | (94) |
Loss before benefit from income taxes | (13,793) | (36,347) |
Benefit from income taxes | (4,131) | (12,496) |
Net loss | (9,662) | (23,851) |
Amount attributable to non-controlling interests | (1,761) | 61 |
Net loss attributable to Granite Construction Incorporated | $ (11,423) | $ (23,790) |
Net loss per share attributable to common shareholders (see Note 14) | ||
Basic | $ (0.29) | $ (0.60) |
Diluted | $ (0.29) | $ (0.60) |
Weighted average shares of common stock | ||
Basic | 39,908 | 39,649 |
Diluted | 39,908 | 39,649 |
Dividends per common share | $ 0.13 | $ 0.13 |
CONDENSED CONSOLIDATED STATEME5
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Statement Of Income And Comprehensive Income [Abstract] | ||
Net loss | $ (9,662) | $ (23,851) |
Other comprehensive income (loss), net of tax: | ||
Net unrealized gain on derivatives | 620 | 52 |
Less: reclassification for net (gains) losses included in interest expense | (40) | 69 |
Net change | 580 | 121 |
Foreign currency translation adjustments, net | (17) | (7) |
Other comprehensive income | 563 | 114 |
Comprehensive loss | (9,099) | (23,737) |
Non-controlling interests in comprehensive loss | (1,761) | 61 |
Comprehensive loss attributable to Granite | $ (10,860) | $ (23,676) |
CONDENSED CONSOLIDATED STATEME6
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Operating activities | ||
Net loss | $ (9,662) | $ (23,851) |
Adjustments to reconcile net loss to net cash (used in) provided by operating activities: | ||
Depreciation, depletion and amortization | 15,511 | 14,649 |
Gain on sales of property and equipment | (543) | (270) |
Stock-based compensation | 7,772 | 8,913 |
Equity in net income from unconsolidated joint ventures | (2,637) | (1,456) |
Changes in assets and liabilities: | ||
Receivables | 58,527 | 68,272 |
Costs and estimated earnings in excess of billings, net | 0 | (25,581) |
Contract assets, net | (47,777) | 0 |
Inventories | (8,798) | (3,536) |
Contributions to unconsolidated construction joint ventures | (26,067) | (813) |
Distributions from unconsolidated construction joint ventures | 4,036 | 16,179 |
Other assets, net | (6,136) | (18,465) |
Accounts payable | (12,838) | (28,161) |
Accrued expenses and other current liabilities, net | (9,008) | 7,456 |
Net cash (used in) provided by operating activities | (37,620) | 13,336 |
Investing activities | ||
Purchases of marketable securities | (9,952) | (29,910) |
Maturities of marketable securities | 35,000 | 30,000 |
Purchases of property and equipment ($0 and $6,207 related to CCJVs) | (15,967) | (21,372) |
Proceeds from sales of property and equipment | 675 | 1,060 |
Other investing activities, net | 345 | 67 |
Net cash provided by (used in) investing activities | 10,101 | (20,155) |
Financing activities | ||
Long-term debt principal repayments | (1,250) | (1,250) |
Cash dividends paid | (5,183) | (5,151) |
Repurchases of common stock | (6,119) | (6,448) |
Other financing activities, net | (59) | (157) |
Net cash used in financing activities | (12,611) | (13,006) |
Decrease in cash and cash equivalents | (40,130) | (19,825) |
Cash and cash equivalents at beginning of period | 233,711 | 189,326 |
Cash and cash equivalents at end of period | 193,581 | 169,501 |
Cash paid during the period for: | ||
Interest | 1,509 | 1,242 |
Income taxes | 149 | 1,897 |
Non-cash investing and financing activities: | ||
Restricted stock units issued, net of forfeitures | 12,257 | 11,109 |
Accrued cash dividends | 5,206 | 5,176 |
Accrued equipment purchases | (1,418) | 749 |
Consolidated Construction Joint Venture | Joint Venture Consolidated | ||
Investing activities | ||
Purchases of property and equipment ($0 and $6,207 related to CCJVs) | 0 | 6,207 |
Financing activities | ||
Cash and cash equivalents at beginning of period | 94,359 | |
Cash and cash equivalents at end of period | $ 91,903 | $ 60,406 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2018 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Basis of Presentation | GRANITE CONSTRUCTION INCORPORATED NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (Unaudited) 1. Basis of Presentation The condensed consolidated financial statements included herein have been prepared by Granite Construction Incorporated (“we,” “us,” “our,” “the Company” or “Granite”) pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”), are unaudited and should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2017. 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 March 31, 2018 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 months ended March 31, 2018 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. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments, Intra-Entity Transfers of Assets Other Than Inventory, Business Combinations (Topic 805) Clarifying the Definition of a Business Compensation-Stock Compensation (Topic 718) Scope of Modification Accounting March 31, 2018 , Income Taxes (Topic 740) - Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No.118, Revenue from Contracts with Customers . Reclassifications : Certain reclassifications of prior period amounts have been made to conform to the current period presentation. Effect of adopting Topic 606 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. We adopted Topic 606 using a modified retrospective transition approach and elected to apply Topic 606 to contracts with customers that are not substantially complete, i.e. less than 90% complete, as of January 1, 2018. While the adoption of Topic 606 did not have an impact on revenue of our Construction Materials segment, it did impact revenue of our Construction and Large Project Construction segments specifically in the following areas: • Multiple performance obligations – In accordance with Topic 606, we have reviewed construction contracts with customers, including those related to contract modifications, to determine if there are multiple performance obligations. Based on this review, we have identified one unconsolidated joint venture contract in our Large Project Construction segment that has multiple performance obligations. • Multiple contracts – We reviewed contracts containing task orders and identified one Construction segment master contract that consists of multiple individual contracts as defined by Topic 606. Previously, revenue for this contract was forecasted and recorded at the master contract level. • Revenue recognition – We identified one contract in our Large Project Construction segment where performance obligations are satisfied and control of the promised goods and services are transferred to the customer upon delivery of goods rather than over time. Previously, revenue for this contract was recognized over time. • Provisions for losses – We identified one unconsolidated joint venture contract in our Large Project Construction segment that has actual and provisions for losses at the performance obligation level related to completed and uncompleted performance obligations, respectively. Previously, provisions for losses were recorded at the contract level. The impact to retained earnings as of January 1, 2018 from the adoption of Topic 606 related to the items noted above was a net cumulative decrease of $15.2 million. In addition, as of January 1, 2018, we began to separately present contract assets and liabilities in the condensed consolidated balance sheets. Contract assets include amounts due under contractual retainage provisions that were previously included in accounts receivable and costs, and estimated earnings in excess of billings that were previously separately presented. Contract liabilities include billings in excess of costs and estimated earnings that were previously separately presented as well as provisions for losses that were previously included in accrued and other current liabilities. See Note 6 for further information. Disclosures included in Notes 4, 5 and 6 are related to the adoption of Topic 606 and are revenue disaggregated by operating group, information about unearned revenue and contract assets and liabilities, respectively. The accounting policies that were affected by Topic 606 and the changes thereto are as follows: Revenue Recognition: Our revenue is primarily derived from construction contracts that can span several quarters or years and from sales of construction materials. We recognize revenue in accordance with Topic 606. Topic 606 provides for a five-step model for recognizing revenue from contracts with customers as follows: 1. Identify the contract 2. Identify performance obligations 3. Determine the transaction price 4. Allocate the transaction price 5. Recognize revenue Generally, our contracts contain one performance obligation. Contracts with customers in our Construction Materials segment are typically defined by our customary business practices and are valued at the contractual selling price per unit. Our customary business practices are for the delivery of a separately identifiable good at a point in time which is typically when delivery to the customer occurs. Contracts in our Construction and Large Project Construction segments may contain multiple distinct promises or multiple contracts within a master agreement (e.g. contracts that cross multiple locations/geographies and task orders), which we review at contract inception to determine if they represent multiple performance obligations or multiple separate contracts. This review consists of determining if promises or groups of promises are distinct within the context of the contract, including whether contracts are physically contiguous, contain task orders, purchase orders, or sales orders and/or contain elements not related to design and/or build. The transaction price is the amount of consideration to which we expect to be entitled in exchange for transferring goods and services to the customer. The consideration promised in a contract with customers of our Construction and Large Project Construction segments may include both fixed amounts and variable amounts (e.g. bonuses/incentives or penalties/liquidated damages) to the extent that a significant reversal of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved (“probable”) and estimable. When a contract has a single performance obligation, the entire transaction price is attributed to that performance obligation. When a contract has more than one performance obligation, the transaction price is allocated to each performance obligation based on estimated relative standalone selling prices Subsequent to the inception of a contract in our Construction and Large Project Construction segments, the transaction price could change for various reasons, including the executed or estimated amount of change orders and unresolved contract modifications and claims to or from owners. Changes that are accounted for as an adjustment to existing performance obligations are allocated on the same basis at contract inception. Otherwise, changes are accounted for as separate performance obligation(s) and the separate transaction price is allocated as discussed above. Changes are made to the transaction price from unapproved change orders to the extent the amount can be reliably estimated and recovery is probable. On certain projects we have submitted and have pending unresolved contract modifications and affirmative claims (“affirmative claims”) to recover additional costs and the associated profit, if applicable, to which the Company believes it is entitled under the terms of contracts with customers, subcontractors, vendors or others. The owners or their authorized representatives and/or other third parties may be in partial or full agreement with the modifications or affirmative claims, or may have rejected or disagree entirely or partially as to such entitlement. Changes are made to the transaction price from affirmative claims with customers to the extent it is probable that a claim settlement with a customer will result in additional revenue and the amount can be reasonably estimated. A reduction to costs related to affirmative claims with non-customers with whom we have a contractual arrangement (“back charges”) is recognized when the estimated recovery is probable and the amount can be reasonably estimated. Except for contractual back charges, a reduction to cost related to affirmative claims against non-customers that are unrelated to jobs is recognized when the claims are settled. Recognizing affirmative claims and back charge recoveries requires significant judgments of certain factors including, but not limited to, dispute resolution developments and outcomes, anticipated negotiation results, and the cost of resolving such matters and estimates. Certain construction contracts include retention provisions to provide assurance to our customers that we will perform in accordance with the contract terms and are therefore not considered a financing benefit. 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 customer. We have determined there are no significant financing components in our contracts during the three months ended March 31, 2018. Typically, performance obligations related to contracts in our Construction and Large Project Construction segments are satisfied over time because our performance typically creates or enhances an asset that the customer controls as the asset is created or enhanced. We recognize revenue as performance obligations are satisfied and control of the promised good and service is transferred to the customer. Revenue in our Construction and Large Project Construction segments is ordinarily recognized over time as control is transferred to the customers by measuring the progress toward complete satisfaction of the performance obligation(s) using an input (i.e., “cost to cost”) method. Under the cost to cost method, costs incurred to-date are generally the best depiction of transfer of control. All contract costs, including those associated with affirmative claims, change orders and back charges, are recorded as incurred and revisions to estimated total costs are reflected as soon as the obligation to perform is determined. Contract costs consist of direct costs on contracts, including labor and materials, amounts payable to subcontractors, direct overhead costs and equipment expense (primarily depreciation, fuel, maintenance and repairs). The accuracy of our revenue and profit recognition in a given period depends on the accuracy of our estimates of the cost to complete each project. Cost estimates for all of our significant projects use a detailed “bottom up” approach, and we believe our experience allows us to create materially reliable estimates. There are a number of factors that can contribute to changes in estimates of contract cost and profitability. The most significant of these include: • the completeness and accuracy of the original bid; • costs associated with scope changes; • changes in costs of labor and/or materials; • extended overhead and other costs due to owner, weather and other delays; • subcontractor performance issues; • changes in productivity expectations; • site conditions that differ from those assumed in the original bid; • changes from original design on design-build projects; • the availability and skill level of workers in the geographic location of the project; • a change in the availability and proximity of equipment and materials; • our ability to fully and promptly recover on affirmative claims and back charges for additional contract costs; and • the customer’s ability to properly administer the contract. The foregoing factors, as well as the stage of completion of contracts in process and the mix of contracts at different margins may cause fluctuations in gross profit and gross profit margin from period to period. Significant changes in cost estimates, particularly in our larger, more complex projects have had, and can in future periods have, a significant effect on our profitability. All contract costs, including those associated with affirmative claims, change orders and back charges, are recorded as incurred and revisions to estimated total costs are reflected as soon as the obligation to perform is determined to be probable. Contract costs consist of direct costs on contracts, including labor and materials, amounts payable to subcontractors, direct overhead costs and equipment expense (primarily depreciation, fuel, maintenance and repairs). All state and federal government contracts and many of our other contracts provide for termination of the contract at the convenience of the party contracting with us, with provisions to pay us for work performed through the date of termination including demobilization cost. Generally, costs to obtain our contracts (“pre-bid costs”) that are not expected to be recovered from the customer are expensed as incurred and included in selling, general and administrative expenses on our consolidated statements of operations. Pre-bid costs that are explicitly chargeable to the customer even if the contract is not obtained are included in accounts receivable on our consolidated balance sheets with a corresponding reduction to selling, general and administrative expenses on our consolidated statements of operations. Unearned Revenue: Unearned revenue represents the aggregate amount of the transaction price allocated to unsatisfied or partially unsatisfied performance obligations at the end of a reporting period. We generally include a project in our unearned revenue at the time a contract is awarded, the contract has been executed and to the extent we believe funding is probable. Certain contracts contain contract options that are exercisable at the option of our customers without requiring us to go through an additional competitive bidding process or contain task orders related to master contracts under which we perform work only when the customer awards specific task orders to us. Contract options and task orders are included in unearned revenue when exercised or issued, respectively. Substantially all of the contracts in our unearned revenue may be canceled or modified at the election of the customer; however, we have not been materially adversely affected by contract cancellations or modifications in the past. Many projects in our Construction segment are added to unearned revenue and completed within the same fiscal quarter or year and, therefore, may not be reflected in our beginning or ending unearned revenue. Approximately $1.9 billion of the March 31, 2018 unearned revenue is expected to be recognized within the next twelve months and the remaining amount will be recognized thereafter. Unearned revenue is presented by segment and operating group in Note 5. Contract Assets: Our contract assets include amounts due under contractual retainage provisions and costs, and estimated earnings in excess of billings. The balances billed but not paid by customers pursuant to retainage provisions generally become due upon completion and acceptance of the project work or products by the owners. Costs and estimated earnings in excess of billings also represent amounts earned and reimbursable under contracts, including claim recovery estimates, but have a conditional right for billing and payment such as achievement of milestones or completion of the project. With the exception of customer affirmative claims, generally, such unbilled amounts will become billable according to the contract terms and generally will be billed and collected over the next twelve months. Settlement with the customer of outstanding affirmative claims is dependent on the claims resolution process and could extend beyond one year or the project operating cycle. Based on our historical experience, we generally consider the collection risk related to billable amounts to be low. When events or conditions indicate that it is probable that the amounts outstanding become unbillable, the transaction price and associated contract asset is reduced. Costs to mobilize equipment and labor to a job site, prior to substantive work beginning (“mobilization costs”) are capitalized as incurred and amortized over the expected duration of the contract. As of March 31, 2018 and January 1, 2018, we had no material capitalized mobilization costs. Contract Liabilities: Our contract liabilities consist of provisions for losses and billings in excess of costs and estimated earnings. Provisions for losses are recognized in the consolidated statements of operations at the uncompleted performance obligation level for the amount of total estimated losses in the period that evidence indicates that the estimated total cost of a performance obligation exceeds its estimated total revenue. Billings in excess of costs and estimated earnings are billings to customers on contracts in advance of work performed, including advance payments negotiated as a contract condition. Generally, unearned project-related costs will be earned over the next twelve months. The amounts by which each condensed consolidated balance sheet line item as of March 31, 2018, Condensed Consolidated Balance Sheet As Reported Balances Without Adoption of Topic 606 Effect of Change Higher/(Lower) ASSETS Receivables, net $ 330,192 $ 426,123 $ (95,931 ) Contract assets 178,663 — 178,663 Costs and estimated earnings in excess of billings — 120,136 (120,136 ) Other current assets 43,125 43,788 (663 ) Deferred income taxes, net 3,718 — 3,718 LIABILITIES AND EQUITY Contract liabilities $ 71,030 $ — $ 71,030 Billings in excess of costs and estimated earnings — 104,306 (104,306 ) Accrued expenses and other current liabilities 233,637 220,084 13,553 Deferred income taxes, net — 1,554 (1,554 ) Retained earnings 751,801 764,872 (13,071 ) Condensed Consolidated Statement of Operations As Reported Balances Without Adoption of Topic 606 Effect of Change Higher/(Lower) Revenue Construction $ 269,243 $ 269,481 $ (238 ) Large Project Construction 248,414 246,621 1,793 Cost of revenue Construction 230,847 230,847 — Large Project Construction 228,048 229,284 (1,236 ) Gross profit 56,283 53,491 2,792 Operating (loss) income (12,835 ) (15,627 ) 2,792 (Benefit from) provision for income taxes (4,131 ) (4,794 ) 663 Net (loss) income (9,662 ) (11,791 ) 2,129 Net (loss) income attributable to Granite (11,423 ) (13,552 ) 2,129 1 |
Recently Issued Accounting Pron
Recently Issued Accounting Pronouncements | 3 Months Ended |
Mar. 31, 2018 | |
Accounting Policies [Abstract] | |
Recently Issued Accounting Pronouncements | 2. Recently Issued Accounting Pronouncements In February 2016, the Financial Accounting Standards Board (“FASB”) issued ASU No. 2016-02, Leases (Topic 842) , In February 2018, the FASB issued ASU 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, |
Revisions in Estimates
Revisions in Estimates | 3 Months Ended |
Mar. 31, 2018 | |
Change In Accounting Estimate [Abstract] | |
Revisions in Estimates | 3. 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. For revisions in estimates, generally we use the cumulative catch-up method for changes to the transaction price that are part of a single performance obligation. 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 March 31, 2018 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 may be recorded in future periods or may be at values below the associated cost, which can cause fluctuations in the gross profit impact from revisions in estimates. Affirmative Claims Revisions in estimates for the three months ended March 31, 2018 March 31, 2018 Revisions in estimates for the three months ended March 31, 2017 included a net increase in revenue of $1.8 million related to the estimated cost recovery of customer affirmative claims, which included increases of $2.7 million that were also affected by an increase in estimated contract costs in excess of the estimated recovery during the three months ended March 31, 2017. Estimated contract costs in excess of estimated cost recovery were recorded in prior periods for the offsetting decrease of $0.9 million. Back Charges Revisions in estimates for the three months ended March 31, 2018 March 31, 2018 Revisions in estimates for the three months ended March 31, 2017 included a reduction of cost of revenue of $0.3 million related to the estimated recovery of back charges all of which had estimated contract costs in excess of estimated cost recovery 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 There were no changes in project profitability from revisions in estimates, which individually had an impact of $1.0 million or more on gross profit during the three months ended March 31, 2018 and 2017 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 $7.9 million and $13.0 million for the three months ended March 31, 2018 and 2017, respectively. There were no amounts attributable to non-controlling interests for the three months ended March 31, 2018. Decreases Three Months Ended March 31, (dollars in millions) 2018 2017 Number of projects with downward estimate changes 2 5 Range of reduction in gross profit from each project, net $ 2.6 - 5.3 $ 1.3 - 4.7 Decrease on project profitability $ 7.9 $ 13.0 The decreases during the three months ended March 31, 2018 |
Disaggregation of Revenue
Disaggregation of Revenue | 3 Months Ended |
Mar. 31, 2018 | |
Disaggregation Of Revenue [Abstract] | |
Disaggregation of Revenue | 4. We disaggregate our revenue based on our reportable segments and operating groups as it is the format that is regularly reviewed by management. Our reportable segments are: Construction, Large Project Construction and Construction Materials. Our operating groups are: (i) California; (ii) Northwest; (iii) Heavy Civil; and (iv) Kenny. The following tables present our disaggregated revenue (in thousands): Three Months Ended March 31, 2018 Construction Large Project Construction Construction Materials Total California $ 164,096 $ 12,815 $ 32,988 $ 209,899 Northwest 66,442 9,215 12,734 88,391 Heavy Civil 5,200 182,681 — 187,881 Kenny 33,505 43,703 — 77,208 Total $ 269,243 $ 248,414 $ 45,722 $ 563,379 Three Months Ended March 31, 2017 Construction Large Project Construction Construction Materials Total California $ 82,764 $ 10,121 $ 24,416 $ 117,301 Northwest 80,666 3,667 10,102 94,435 Heavy Civil 9,220 161,746 — 170,966 Kenny 54,199 31,499 — 85,698 Total $ 226,849 $ 207,033 $ 34,518 $ 468,400 |
Unearned Revenue
Unearned Revenue | 3 Months Ended |
Mar. 31, 2018 | |
Deferred Revenue Disclosure [Abstract] | |
Unearned Revenue | 5. Unearned Revenue The following tables present our unearned revenue as of the respective periods (in thousands): March 31, 2018 Construction Large Project Construction Total California $ 333,866 $ 48,162 $ 382,028 Northwest 362,225 — 362,225 Heavy Civil 54,596 2,233,174 2,287,770 Kenny 130,289 286,269 416,558 Total $ 880,976 $ 2,567,605 $ 3,448,581 January 1, 2018 Construction Large Project Construction Total California $ 365,771 $ 40,283 $ 406,054 Northwest 262,117 53,465 315,582 Heavy Civil 43,016 2,356,769 2,399,785 Kenny 154,524 307,904 462,428 Total $ 825,428 $ 2,758,421 $ 3,583,849 |
Contract Assets and Liabilities
Contract Assets and Liabilities | 3 Months Ended |
Mar. 31, 2018 | |
Revenue From Contract With Customer [Abstract] | |
Contract Assets and Liabilities | 6. Contract Assets and Liabilities During the three months ended March 31, 2018 During the three months ended March 31, 2018 As of March 31, 2018 and January 1, 2018, The components of the contract asset balances as of the respective dates were as follows: March 31, 2018 January 1, 2018 Costs in excess of billings and estimated earnings $ 98,115 $ 69,755 Contract retention 80,548 91,135 Total contract assets $ 178,663 $ 160,890 Changes in the contract asset balance during the three months ended March 31, 2018 Balance at January 1, 2018 $ 160,890 Change in the measure of progress on projects, net 169,686 Revisions in estimates, net (4,998 ) Billings (132,586 ) Receipts related to contract retention (14,329 ) Balance at March 31, 2018 $ 178,663 The components of the contract liability balances as of the respective dates were as follows: March 31, 2018 January 1, 2018 Billings in excess of costs and estimated earnings $ 70,398 $ 82,750 Provisions for losses 632 924 Total contract liabilities $ 71,030 $ 83,674 Changes in the contract liability balance during the three months ended March 31, 2018 Balance at January 1, 2018 $ 83,674 Change in the measure of progress on projects, net (218,024 ) Revisions in estimates, net (2,413 ) Billings 208,085 Change in provision for loss, net (292 ) Balance at March 31, 2018 $ 71,030 |
Receivables, Net
Receivables, Net | 3 Months Ended |
Mar. 31, 2018 | |
Receivables [Abstract] | |
Receivables, Net | 7. Receivables, net (in thousands) March 31, 2018 December 31, 2017 March 31, 2017 Construction contracts completed and in progress: Billed $ 214,494 $ 252,467 $ 142,216 Unbilled 73,128 77,135 85,098 Retentions — 91,135 82,692 Total construction contracts completed and in progress 287,622 420,737 310,006 Construction material sales 28,233 42,192 25,582 Other 14,442 17,014 15,977 Total gross receivables 330,297 479,943 351,565 Less: allowance for doubtful accounts 105 152 474 Total net receivables $ 330,192 $ 479,791 $ 351,091 Receivables include billed and unbilled amounts for services provided to clients for which we have an unconditional right to payment as of the end of the applicable period and do not bear interest. Included in other receivables at March 31, 2018 March 31, 2018 Certain construction contracts include retainage provisions that were included in contract assets as of March 31, 2018 and in receivables, net as of December 31, 2017 and March 31, 2017 in our condensed consolidated balance sheets. As of March 31, 2018 |
Marketable Securities
Marketable Securities | 3 Months Ended |
Mar. 31, 2018 | |
Marketable Securities [Abstract] | |
Marketable Securities | 8 . 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) March 31, 2018 December 31, 2017 March 31, 2017 U.S. Government and agency obligations $ 15,000 $ 17,910 $ 12,908 Commercial paper 24,961 49,865 54,916 Total short-term marketable securities 39,961 67,775 67,824 U.S. Government and agency obligations 62,287 59,993 59,989 Corporate bonds 5,018 5,022 — Total long-term marketable securities 67,305 65,015 59,989 Total marketable securities $ 107,266 $ 132,790 $ 127,813 Scheduled maturities of held-to-maturity investments were as follows: (in thousands) March 31, 2018 Due within one year $ 39,961 Due in one to five years 67,305 Total $ 107,266 |
Fair Value Measurement
Fair Value Measurement | 3 Months Ended |
Mar. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 9 . 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 March 31, 2018 Level 1 Level 2 Level 3 Total Cash equivalents Money market funds $ 4,891 $ — $ — $ 4,891 Total assets $ 4,891 $ — $ — $ 4,891 December 31, 2017 Cash equivalents Money market funds $ 37,284 $ — $ — $ 37,284 Commercial paper 9,967 — — 9,967 Total assets $ 47,251 $ — $ — $ 47,251 March 31, 2017 Cash equivalents Money market funds $ 28,091 $ — $ — $ 28,091 Total assets $ 28,091 $ — $ — $ 28,091 Interest Rate Swaps As of March 31, 2018 March 31, 2018 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: March 31, 2018 December 31, 2017 March 31, 2017 (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 $ 107,266 $ 106,143 $ 132,790 $ 132,002 $ 127,813 $ 127,448 Liabilities (including current maturities): 2019 Notes 1 Level 3 $ 80,000 $ 83,086 $ 80,000 $ 82,190 $ 120,000 $ 125,930 Credit Agreement - term loan 1 Level 3 88,750 88,803 90,000 89,871 93,750 92,986 Credit Agreement - revolving credit facility 1 Level 3 55,000 54,858 55,000 55,054 30,000 29,520 1 See Note 13 for definitions of 2019 Notes and Credit Agreement. During the three months ended March 31, 2018 |
Construction Joint Ventures
Construction Joint Ventures | 3 Months Ended |
Mar. 31, 2018 | |
Construction And Line Item Joint Ventures [Abstract] | |
Construction and Line Item Joint Ventures | 10 . 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 March 31, 2018 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 March 31, 2018 Consolidated Construction Joint Ventures (“CCJVs”) At March 31, 2018 March 31, 2018 March 31, 2018 Unconsolidated Construction Joint Ventures As of March 31, 2018 March 31, 2018 The following is summary financial information related to unconsolidated construction joint ventures: (in thousands) March 31, 2018 December 31, 2017 March 31, 2017 Assets: Cash, cash equivalents and marketable securities $ 325,157 $ 289,940 $ 399,445 Other current assets 1 627,602 812,577 703,498 Noncurrent assets 219,435 219,825 205,517 Less partners’ interest 757,537 869,782 876,118 Granite’s interest 1,2 414,657 452,560 432,342 Liabilities: Current liabilities 605,639 682,832 660,537 Less partners’ interest and adjustments 3 423,518 462,159 447,502 Granite’s interest 182,121 220,673 213,035 Equity in construction joint ventures 4 $ 232,536 $ 231,887 $ 219,307 1 March 31, 2018 2 March 31, 2018 , 3 primarily related to gross profit forecast differences 4 March 31, 2018 Three Months Ended March 31, (in thousands) 2018 2017 Revenue: Total $ 239,441 $ 451,321 Less partners’ interest and adjustments 1 121,032 323,830 Granite’s interest 118,409 127,491 Cost of revenue: Total 380,889 442,990 Less partners’ interest and adjustments 1 266,501 316,995 Granite’s interest 114,388 125,995 Granite’s interest in gross profit $ 4,021 $ 1,496 1 During the three months ended March 31, 2018 Line Item Joint Ventures As of March 31, 2018 March 31, 2018 March 31, 2018 |
Investments in Affiliates
Investments in Affiliates | 3 Months Ended |
Mar. 31, 2018 | |
Investments In And Advances To Affiliates Schedule Of Investments [Abstract] | |
Investments in Affiliates | 1 1 . 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) March 31, 2018 December 31, 2017 March 31, 2017 Equity method investments in real estate affiliates $ 29,829 $ 29,472 $ 26,883 Equity method investment in other affiliate 8,853 8,997 9,527 Total investments in affiliates $ 38,682 $ 38,469 $ 36,410 The following table provides summarized balance sheet information for our affiliates accounted for under the equity method on a combined basis: (in thousands) March 31, 2018 December 31, 2017 March 31, 2017 Total assets $ 123,562 $ 160,359 $ 150,637 Net assets 69,637 98,592 93,675 Granite’s share of net assets 38,682 38,469 36,410 The equity method investments in real estate affiliates included $24.6 million, $24.3 million and $21.8 million in residential real estate in Texas as of March 31, 2018 March 31, 2018 |
Property and Equipment, Net
Property and Equipment, Net | 3 Months Ended |
Mar. 31, 2018 | |
Property Plant And Equipment [Abstract] | |
Property and Equipment, Net | 1 2 . 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) March 31, 2018 December 31, 2017 March 31, 2017 Equipment and vehicles $ 790,942 $ 778,549 $ 768,995 Quarry property 177,722 182,267 175,418 Land and land improvements 114,607 108,830 112,028 Buildings and leasehold improvements 82,775 82,601 83,727 Office furniture and equipment 57,068 56,894 56,457 Property and equipment 1,223,114 1,209,141 1,196,625 Less: accumulated depreciation and depletion 813,406 801,723 784,135 Property and equipment, net $ 409,708 $ 407,418 $ 412,490 |
Covenants and Events of Default
Covenants and Events of Default | 3 Months Ended |
Mar. 31, 2018 | |
Debt Disclosure [Abstract] | |
Debt Covenants and Events of Default | 1 3 . 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. 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 March 31, 2018 As of March 31, 2018 As of both March 31, 2018 Senior notes payable in the amount of $80.0 million as of both March 31, 2018 March 31, 2018 As of March 31, 2018 |
Weighted Average Shares Outstan
Weighted Average Shares Outstanding and Net Loss Per Share | 3 Months Ended |
Mar. 31, 2018 | |
Earnings Per Share [Abstract] | |
Weighted Average Shares Outstanding and Net Loss Per Share | 1 4 . Weighted Average Shares Outstanding and Net Loss Per Share The following table presents a reconciliation of the weighted average shares outstanding used in calculating basic and diluted net loss per share as well as the calculation of basic and diluted net loss per share: Three Months Ended March 31, (in thousands, except per share amounts) 2018 2017 Numerator (basic and diluted): Net loss allocated to common shareholders for basic calculation $ (11,423 ) $ (23,790 ) Denominator: Weighted average common shares outstanding, basic 39,908 39,649 Dilutive effect of common stock options and restricted stock units 1 — — Weighted average common shares outstanding, diluted 39,908 39,649 Net loss per share, basic $ (0.29 ) $ (0.60 ) Net loss per share, diluted $ (0.29 ) $ (0.60 ) |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 1 5 . Income Taxes The following table presents the benefit from income taxes for the respective periods: Three Months Ended March 31, (dollars in thousands) 2018 2017 Benefit from income taxes $ (4,131 ) $ (12,496 ) Effective tax rate 29.9 % 34.4 % Our effective tax rate for the three months ended March 31, 2018 decreased to 29.9% from 34.4% when compared to the same period in 2017. This change was primarily due to a decrease in the effective tax rate due to Tax Reform enacted in December 2017 and a decrease in the loss before benefit from income taxes. The income tax benefit of share-based compensation remained relatively unchanged for the three months ended March 31, 2018 compared to the same period in 2017 however, the impact relative to the loss before benefit from income taxes is larger in 2018. On December 22, 2017, Tax Reform was signed into law. As a result of Tax Reform, the U.S. statutory tax rate was lowered from 35% to 21% effective January 1, 2018, among other changes. ASC Topic 740, Accounting for Income Taxes |
Equity
Equity | 3 Months Ended |
Mar. 31, 2018 | |
Stockholders Equity Note [Abstract] | |
Equity | 1 6 . 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, 2017 $ 945,108 $ 47,697 $ 992,805 Net (loss) income (11,423 ) 1,761 (9,662 ) Purchases of common stock 1 (6,119 ) — (6,119 ) Dividends on common stock (5,206 ) — (5,206 ) Effect of adopting Topic 606 (15,201 ) — (15,201 ) Other transactions with shareholders and employees 2 8,277 — 8,277 Balance at March 31, 2018 $ 915,436 $ 49,458 $ 964,894 Balance at December 31, 2016 $ 885,988 $ 36,603 $ 922,591 Net loss (23,790 ) (61 ) (23,851 ) Purchases of common stock 3 (6,448 ) — (6,448 ) Dividends on common stock (5,176 ) — (5,176 ) Other transactions with shareholders and employees 2 8,943 — 8,943 Balance at March 31, 2017 $ 859,517 $ 36,542 $ 896,059 1 2 3 |
Legal Proceedings
Legal Proceedings | 3 Months Ended |
Mar. 31, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
Legal Proceedings | 1 7 . Legal Proceedings In the ordinary course of business, we and our affiliates are involved in various legal proceedings alleging, among other things, liability issues or breach of contract or tortious conduct in connection with the performance of services and/or materials provided, the various outcomes of which cannot be predicted with certainty. We and our affiliates are also subject to government inquiries in the ordinary course of business seeking information concerning our compliance with government construction contracting requirements and various laws and regulations, the outcomes which cannot be predicted with certainty. Some of the matters in which we or our joint ventures and affiliates are involved may involve 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, we could be suspended, 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 resolve the proceedings, whether or when any legal proceeding will be resolved 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, disclosure is also provided when it is reasonably possible and estimable that a loss will be incurred or when it is reasonably possible that the amount of a loss will exceed the amount recorded. 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 March 31, 2018 |
Business Segment Information
Business Segment Information | 3 Months Ended |
Mar. 31, 2018 | |
Segment Reporting [Abstract] | |
Business Segment Information | 18 . Business Segment Information Summarized segment information is as follows (in thousands): Three Months Ended March 31, Construction Large Project Construction Construction Materials Total 2018 Total revenue from reportable segments $ 269,243 $ 248,414 $ 53,322 $ 570,979 Elimination of intersegment revenue — — (7,600 ) (7,600 ) Revenue from external customers 269,243 248,414 45,722 563,379 Gross profit (loss) 38,396 20,366 (2,479 ) 56,283 Depreciation, depletion and amortization 5,054 2,599 5,410 13,063 Segment assets 136,716 345,806 296,085 778,607 2017 Total revenue from reportable segments $ 226,849 $ 207,033 $ 48,622 $ 482,504 Elimination of intersegment revenue — — (14,104 ) (14,104 ) Revenue from external customers 226,849 207,033 34,518 468,400 Gross profit (loss) 27,329 2,555 (4,758 ) 25,126 Depreciation, depletion and amortization 4,994 1,886 5,198 12,078 Segment assets 149,882 306,804 289,895 746,581 A reconciliation of segment gross profit to consolidated loss before benefit from income taxes is as follows: Three Months Ended March 31, (in thousands) 2018 2017 Total gross profit from reportable segments $ 56,283 $ 25,126 Selling, general and administrative expenses 61,252 61,837 Acquisition and integration expenses 8,409 — Gain on sales of property and equipment (543 ) (270 ) Total other expense (income) 958 (94 ) Loss before benefit from income taxes $ (13,793 ) $ (36,347 ) |
Acquisitions
Acquisitions | 3 Months Ended |
Mar. 31, 2018 | |
Business Combinations [Abstract] | |
Acquisitions | 19 . Acquisitions As disclosed in our 2017 Annual Report on Form 10-K, on February 13, 2018, the Company entered into an Agreement and Plan of Merger (“Merger Agreement”) to acquire Layne Christensen Company (“Layne”), a U.S.-based global water management, construction and drilling company. The acquisition is subject to the approval by Layne stockholders and other customary closing conditions and is expected to close in the second quarter of 2018. The transaction is structured as a stock-for-stock merger in which each outstanding share of Layne common stock will be exchanged for 0.27 shares of Company common stock. All outstanding stock options, restricted stock awards and unvested performance shares of Layne will be cashed out in accordance with the terms of the Merger Agreement. Based on the market value of Granite stock on April 19, 2018, the purchase price will be $333.7 million, excluding the assumption of Layne debt with an approximate fair value of approximately $200.0 million. However, the ultimate value of the transaction will be determined on the closing date in accordance with the terms of the Merger Agreement. In addition, on April 3, 2018, the Company acquired LiquiForce, a privately-owned company which serves public and private sector water and wastewater customers in both Canada and the U.S for approximately $35 million funded through the use of the r evolving credit facility of our Credit Agreement |
Subsequent Event
Subsequent Event | 3 Months Ended |
Mar. 31, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Event | 2 0 . Subsequent Event In connection with entering into the Merger Agreement, on February 23, 2018, the Company entered into an Amendment No. 1 to its Credit Agreement. The amendment, among other things, increased the aggregate amount of the uncommitted incremental revolving and/or term loans up to a maximum of $130.0 million and allowed for the assumption of Layne debt upon the closing of the transaction. In addition, on April 19, 2018, the Company entered into the Third Amendment to the note purchase agreement governing the 2019 Notes, which allowed for, among other things, the acquisition of Layne and the assumption of Layne’s debt upon closing of the transaction. |
Basis of Presentation (Tables)
Basis of Presentation (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Accounting Standards Update 2014-09 | |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |
Summary of Impact of Adoption of Accounting Standards | The amounts by which each condensed consolidated balance sheet line item as of March 31, 2018, Condensed Consolidated Balance Sheet As Reported Balances Without Adoption of Topic 606 Effect of Change Higher/(Lower) ASSETS Receivables, net $ 330,192 $ 426,123 $ (95,931 ) Contract assets 178,663 — 178,663 Costs and estimated earnings in excess of billings — 120,136 (120,136 ) Other current assets 43,125 43,788 (663 ) Deferred income taxes, net 3,718 — 3,718 LIABILITIES AND EQUITY Contract liabilities $ 71,030 $ — $ 71,030 Billings in excess of costs and estimated earnings — 104,306 (104,306 ) Accrued expenses and other current liabilities 233,637 220,084 13,553 Deferred income taxes, net — 1,554 (1,554 ) Retained earnings 751,801 764,872 (13,071 ) Condensed Consolidated Statement of Operations As Reported Balances Without Adoption of Topic 606 Effect of Change Higher/(Lower) Revenue Construction $ 269,243 $ 269,481 $ (238 ) Large Project Construction 248,414 246,621 1,793 Cost of revenue Construction 230,847 230,847 — Large Project Construction 228,048 229,284 (1,236 ) Gross profit 56,283 53,491 2,792 Operating (loss) income (12,835 ) (15,627 ) 2,792 (Benefit from) provision for income taxes (4,131 ) (4,794 ) 663 Net (loss) income (9,662 ) (11,791 ) 2,129 Net (loss) income attributable to Granite (11,423 ) (13,552 ) 2,129 |
Revisions in Estimates (Tables)
Revisions in Estimates (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Large Project Construction [Member] | |
Change In Accounting Estimate [Line Items] | |
Schedule of Projects Summarized | The projects are summarized as follows: Three Months Ended March 31, (dollars in millions) 2018 2017 Number of projects with downward estimate changes 2 5 Range of reduction in gross profit from each project, net $ 2.6 - 5.3 $ 1.3 - 4.7 Decrease on project profitability $ 7.9 $ 13.0 |
Disaggregation of Revenue (Tabl
Disaggregation of Revenue (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Disaggregation Of Revenue [Abstract] | |
Schedule of Disaggregation of Revenue | The following tables present our disaggregated revenue (in thousands): Three Months Ended March 31, 2018 Construction Large Project Construction Construction Materials Total California $ 164,096 $ 12,815 $ 32,988 $ 209,899 Northwest 66,442 9,215 12,734 88,391 Heavy Civil 5,200 182,681 — 187,881 Kenny 33,505 43,703 — 77,208 Total $ 269,243 $ 248,414 $ 45,722 $ 563,379 Three Months Ended March 31, 2017 Construction Large Project Construction Construction Materials Total California $ 82,764 $ 10,121 $ 24,416 $ 117,301 Northwest 80,666 3,667 10,102 94,435 Heavy Civil 9,220 161,746 — 170,966 Kenny 54,199 31,499 — 85,698 Total $ 226,849 $ 207,033 $ 34,518 $ 468,400 |
Unearned Revenue (Tables)
Unearned Revenue (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Deferred Revenue Disclosure [Abstract] | |
Schedule of Unearned Revenue | The following tables present our unearned revenue as of the respective periods (in thousands): March 31, 2018 Construction Large Project Construction Total California $ 333,866 $ 48,162 $ 382,028 Northwest 362,225 — 362,225 Heavy Civil 54,596 2,233,174 2,287,770 Kenny 130,289 286,269 416,558 Total $ 880,976 $ 2,567,605 $ 3,448,581 January 1, 2018 Construction Large Project Construction Total California $ 365,771 $ 40,283 $ 406,054 Northwest 262,117 53,465 315,582 Heavy Civil 43,016 2,356,769 2,399,785 Kenny 154,524 307,904 462,428 Total $ 825,428 $ 2,758,421 $ 3,583,849 |
Contract Assets and Liabiliti31
Contract Assets and Liabilities (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Contract With Customer Asset And Liability [Abstract] | |
Component of and Changes in Contract Asset and Liability Balances | The components of the contract asset balances as of the respective dates were as follows: March 31, 2018 January 1, 2018 Costs in excess of billings and estimated earnings $ 98,115 $ 69,755 Contract retention 80,548 91,135 Total contract assets $ 178,663 $ 160,890 Changes in the contract asset balance during the three months ended March 31, 2018 Balance at January 1, 2018 $ 160,890 Change in the measure of progress on projects, net 169,686 Revisions in estimates, net (4,998 ) Billings (132,586 ) Receipts related to contract retention (14,329 ) Balance at March 31, 2018 $ 178,663 The components of the contract liability balances as of the respective dates were as follows: March 31, 2018 January 1, 2018 Billings in excess of costs and estimated earnings $ 70,398 $ 82,750 Provisions for losses 632 924 Total contract liabilities $ 71,030 $ 83,674 Changes in the contract liability balance during the three months ended March 31, 2018 Balance at January 1, 2018 $ 83,674 Change in the measure of progress on projects, net (218,024 ) Revisions in estimates, net (2,413 ) Billings 208,085 Change in provision for loss, net (292 ) Balance at March 31, 2018 $ 71,030 |
Receivables, Net (Tables)
Receivables, Net (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Receivables [Abstract] | |
Summary of Receivables | (in thousands) March 31, 2018 December 31, 2017 March 31, 2017 Construction contracts completed and in progress: Billed $ 214,494 $ 252,467 $ 142,216 Unbilled 73,128 77,135 85,098 Retentions — 91,135 82,692 Total construction contracts completed and in progress 287,622 420,737 310,006 Construction material sales 28,233 42,192 25,582 Other 14,442 17,014 15,977 Total gross receivables 330,297 479,943 351,565 Less: allowance for doubtful accounts 105 152 474 Total net receivables $ 330,192 $ 479,791 $ 351,091 |
Marketable Securities (Tables)
Marketable Securities (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Marketable Securities [Abstract] | |
Held-to-maturity 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) March 31, 2018 December 31, 2017 March 31, 2017 U.S. Government and agency obligations $ 15,000 $ 17,910 $ 12,908 Commercial paper 24,961 49,865 54,916 Total short-term marketable securities 39,961 67,775 67,824 U.S. Government and agency obligations 62,287 59,993 59,989 Corporate bonds 5,018 5,022 — Total long-term marketable securities 67,305 65,015 59,989 Total marketable securities $ 107,266 $ 132,790 $ 127,813 Scheduled maturities of held-to-maturity investments were as follows: (in thousands) March 31, 2018 Due within one year $ 39,961 Due in one to five years 67,305 Total $ 107,266 |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | 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 March 31, 2018 Level 1 Level 2 Level 3 Total Cash equivalents Money market funds $ 4,891 $ — $ — $ 4,891 Total assets $ 4,891 $ — $ — $ 4,891 December 31, 2017 Cash equivalents Money market funds $ 37,284 $ — $ — $ 37,284 Commercial paper 9,967 — — 9,967 Total assets $ 47,251 $ — $ — $ 47,251 March 31, 2017 Cash equivalents Money market funds $ 28,091 $ — $ — $ 28,091 Total assets $ 28,091 $ — $ — $ 28,091 |
Schedule of Carrying and Fair Value Amounts | 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: March 31, 2018 December 31, 2017 March 31, 2017 (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 $ 107,266 $ 106,143 $ 132,790 $ 132,002 $ 127,813 $ 127,448 Liabilities (including current maturities): 2019 Notes 1 Level 3 $ 80,000 $ 83,086 $ 80,000 $ 82,190 $ 120,000 $ 125,930 Credit Agreement - term loan 1 Level 3 88,750 88,803 90,000 89,871 93,750 92,986 Credit Agreement - revolving credit facility 1 Level 3 55,000 54,858 55,000 55,054 30,000 29,520 |
Construction Joint Ventures (Ta
Construction Joint Ventures (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
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) March 31, 2018 December 31, 2017 March 31, 2017 Assets: Cash, cash equivalents and marketable securities $ 325,157 $ 289,940 $ 399,445 Other current assets 1 627,602 812,577 703,498 Noncurrent assets 219,435 219,825 205,517 Less partners’ interest 757,537 869,782 876,118 Granite’s interest 1,2 414,657 452,560 432,342 Liabilities: Current liabilities 605,639 682,832 660,537 Less partners’ interest and adjustments 3 423,518 462,159 447,502 Granite’s interest 182,121 220,673 213,035 Equity in construction joint ventures 4 $ 232,536 $ 231,887 $ 219,307 1 March 31, 2018 2 March 31, 2018 , 3 primarily related to gross profit forecast differences 4 March 31, 2018 |
Schedule of Unconsolidated Joint Ventures Revenue and Costs [Table Text Block] | Three Months Ended March 31, (in thousands) 2018 2017 Revenue: Total $ 239,441 $ 451,321 Less partners’ interest and adjustments 1 121,032 323,830 Granite’s interest 118,409 127,491 Cost of revenue: Total 380,889 442,990 Less partners’ interest and adjustments 1 266,501 316,995 Granite’s interest 114,388 125,995 Granite’s interest in gross profit $ 4,021 $ 1,496 1 |
Investments in Affiliates (Tabl
Investments in Affiliates (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
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) March 31, 2018 December 31, 2017 March 31, 2017 Equity method investments in real estate affiliates $ 29,829 $ 29,472 $ 26,883 Equity method investment in other affiliate 8,853 8,997 9,527 Total investments in affiliates $ 38,682 $ 38,469 $ 36,410 |
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) March 31, 2018 December 31, 2017 March 31, 2017 Total assets $ 123,562 $ 160,359 $ 150,637 Net assets 69,637 98,592 93,675 Granite’s share of net assets 38,682 38,469 36,410 |
Property and Equipment, Net (Ta
Property and Equipment, Net (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
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) March 31, 2018 December 31, 2017 March 31, 2017 Equipment and vehicles $ 790,942 $ 778,549 $ 768,995 Quarry property 177,722 182,267 175,418 Land and land improvements 114,607 108,830 112,028 Buildings and leasehold improvements 82,775 82,601 83,727 Office furniture and equipment 57,068 56,894 56,457 Property and equipment 1,223,114 1,209,141 1,196,625 Less: accumulated depreciation and depletion 813,406 801,723 784,135 Property and equipment, net $ 409,708 $ 407,418 $ 412,490 |
Weighted Average Shares Outst38
Weighted Average Shares Outstanding and Net Loss Per Share (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Earnings Per Share [Abstract] | |
Summary of Reconciliation of Weighted Average Shares Outstanding Used in Calculating Basic and Diluted Net loss Per Share | The following table presents a reconciliation of the weighted average shares outstanding used in calculating basic and diluted net loss per share as well as the calculation of basic and diluted net loss per share: Three Months Ended March 31, (in thousands, except per share amounts) 2018 2017 Numerator (basic and diluted): Net loss allocated to common shareholders for basic calculation $ (11,423 ) $ (23,790 ) Denominator: Weighted average common shares outstanding, basic 39,908 39,649 Dilutive effect of common stock options and restricted stock units 1 — — Weighted average common shares outstanding, diluted 39,908 39,649 Net loss per share, basic $ (0.29 ) $ (0.60 ) Net loss per share, diluted $ (0.29 ) $ (0.60 ) 1 Due to the net loss for the three months ended March 31, 2018 and 2017, restricted stock units and common stock options representing approximately 502,000 and 673,000, respectively, have been excluded from the number of shares used in calculating diluted net loss per share, as their inclusion would be antidilutive. |
Income Taxes (Tables)
Income Taxes (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Schedule of Benefit From Income Taxes | The following table presents the benefit from income taxes for the respective periods: Three Months Ended March 31, (dollars in thousands) 2018 2017 Benefit from income taxes $ (4,131 ) $ (12,496 ) Effective tax rate 29.9 % 34.4 % |
Equity (Tables)
Equity (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
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, 2017 $ 945,108 $ 47,697 $ 992,805 Net (loss) income (11,423 ) 1,761 (9,662 ) Purchases of common stock 1 (6,119 ) — (6,119 ) Dividends on common stock (5,206 ) — (5,206 ) Effect of adopting Topic 606 (15,201 ) — (15,201 ) Other transactions with shareholders and employees 2 8,277 — 8,277 Balance at March 31, 2018 $ 915,436 $ 49,458 $ 964,894 Balance at December 31, 2016 $ 885,988 $ 36,603 $ 922,591 Net loss (23,790 ) (61 ) (23,851 ) Purchases of common stock 3 (6,448 ) — (6,448 ) Dividends on common stock (5,176 ) — (5,176 ) Other transactions with shareholders and employees 2 8,943 — 8,943 Balance at March 31, 2017 $ 859,517 $ 36,542 $ 896,059 1 2 3 |
Business Segment Information (T
Business Segment Information (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information | Summarized segment information is as follows (in thousands): Three Months Ended March 31, Construction Large Project Construction Construction Materials Total 2018 Total revenue from reportable segments $ 269,243 $ 248,414 $ 53,322 $ 570,979 Elimination of intersegment revenue — — (7,600 ) (7,600 ) Revenue from external customers 269,243 248,414 45,722 563,379 Gross profit (loss) 38,396 20,366 (2,479 ) 56,283 Depreciation, depletion and amortization 5,054 2,599 5,410 13,063 Segment assets 136,716 345,806 296,085 778,607 2017 Total revenue from reportable segments $ 226,849 $ 207,033 $ 48,622 $ 482,504 Elimination of intersegment revenue — — (14,104 ) (14,104 ) Revenue from external customers 226,849 207,033 34,518 468,400 Gross profit (loss) 27,329 2,555 (4,758 ) 25,126 Depreciation, depletion and amortization 4,994 1,886 5,198 12,078 Segment assets 149,882 306,804 289,895 746,581 |
Reconciliation of Operating Profit (Loss) from Segments to Consolidated | A reconciliation of segment gross profit to consolidated loss before benefit from income taxes is as follows: Three Months Ended March 31, (in thousands) 2018 2017 Total gross profit from reportable segments $ 56,283 $ 25,126 Selling, general and administrative expenses 61,252 61,837 Acquisition and integration expenses 8,409 — Gain on sales of property and equipment (543 ) (270 ) Total other expense (income) 958 (94 ) Loss before benefit from income taxes $ (13,793 ) $ (36,347 ) |
Basis of Presentation - Additio
Basis of Presentation - Additional Information (Details) - USD ($) | Mar. 31, 2018 | Jan. 01, 2018 |
New Accounting Pronouncement Early Adoption [Line Items] | ||
Capitalized mobilization costs | $ 0 | $ 0 |
Accounting Standards Update 2014-09 | Retained Earnings [Member] | ||
New Accounting Pronouncement Early Adoption [Line Items] | ||
Estimated net cumulative decrease to retained earnings | $ 15,200,000 | |
Maximum [Member] | ||
New Accounting Pronouncement Early Adoption [Line Items] | ||
Percentage of completed contracts with customers | 90.00% |
Basis of Presentation - Addit43
Basis of Presentation - Additional Information 1 (Details) - Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date: 2018-03-31 $ in Billions | 3 Months Ended |
Mar. 31, 2018USD ($) | |
New Accounting Pronouncement Early Adoption [Line Items] | |
Unearned revenue | $ 1.9 |
Unearned revenue expect to recognize period | 1 year |
Unearned revenue expect to recognize description | Approximately $1.9 billion of the March 31, 2018 unearned revenue is expected to be recognized within the next twelve months and the remaining amount will be recognized thereafter. |
Basis of Presentation - Summary
Basis of Presentation - Summary of Impact of Adoption of Accounting Standards (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
ASSETS | |||
Receivables, net | $ 330,192 | $ 351,091 | $ 479,791 |
Contract assets | 178,663 | ||
Costs and estimated earnings in excess of billings | 0 | 90,112 | 103,965 |
Other current assets | 43,125 | 54,542 | 36,513 |
Deferred income taxes, net | 3,718 | 0 | 0 |
LIABILITIES AND EQUITY | |||
Contract liabilities | 71,030 | ||
Billings in excess of costs and estimated earnings | 0 | 91,527 | 135,146 |
Accrued expenses and other current liabilities | 233,637 | 224,850 | 236,407 |
Retained earnings | 751,801 | 706,571 | $ 783,699 |
Revenue | |||
Construction | 269,243 | 226,849 | |
Large Project Construction | 248,414 | 207,033 | |
Cost of revenue | |||
Construction | 230,847 | 199,520 | |
Large Project Construction | 228,048 | 204,478 | |
Gross profit | 56,283 | 25,126 | |
Operating (loss) income | (12,835) | (36,441) | |
(Benefit from) provision for income taxes | (4,131) | (12,496) | |
Net (loss) income | (9,662) | (23,851) | |
Net (loss) income attributable to Granite | (11,423) | $ (23,790) | |
Accounting Standards Update 2014-09 | Balances Without Adoption of Topic 606 [Member] | |||
ASSETS | |||
Receivables, net | 426,123 | ||
Costs and estimated earnings in excess of billings | 120,136 | ||
Other current assets | 43,788 | ||
LIABILITIES AND EQUITY | |||
Billings in excess of costs and estimated earnings | 104,306 | ||
Accrued expenses and other current liabilities | 220,084 | ||
Deferred income taxes, net | 1,554 | ||
Retained earnings | 764,872 | ||
Revenue | |||
Construction | 269,481 | ||
Large Project Construction | 246,621 | ||
Cost of revenue | |||
Construction | 230,847 | ||
Large Project Construction | 229,284 | ||
Gross profit | 53,491 | ||
Operating (loss) income | (15,627) | ||
(Benefit from) provision for income taxes | (4,794) | ||
Net (loss) income | (11,791) | ||
Net (loss) income attributable to Granite | (13,552) | ||
Accounting Standards Update 2014-09 | Effect of Change Higher/(Lower) [Member] | |||
ASSETS | |||
Receivables, net | (95,931) | ||
Contract assets | 178,663 | ||
Costs and estimated earnings in excess of billings | (120,136) | ||
Other current assets | (663) | ||
Deferred income taxes, net | 3,718 | ||
LIABILITIES AND EQUITY | |||
Contract liabilities | 71,030 | ||
Billings in excess of costs and estimated earnings | (104,306) | ||
Accrued expenses and other current liabilities | 13,553 | ||
Deferred income taxes, net | (1,554) | ||
Retained earnings | (13,071) | ||
Revenue | |||
Construction | (238) | ||
Large Project Construction | 1,793 | ||
Cost of revenue | |||
Large Project Construction | (1,236) | ||
Gross profit | 2,792 | ||
Operating (loss) income | 2,792 | ||
(Benefit from) provision for income taxes | 663 | ||
Net (loss) income | 2,129 | ||
Net (loss) income attributable to Granite | $ 2,129 |
Revisions in Estimates - Additi
Revisions in Estimates - Additional Information(Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2018 | |
Change In Accounting Estimate [Line Items] | |||
Impact from affirmative claim recovery estimate | $ 2.6 | $ 1.8 | |
Impact from estimated recovery of back charge claims | (0.4) | (0.3) | |
Minimum [Member] | Subsequent Event | |||
Change In Accounting Estimate [Line Items] | |||
Decrease on project revenue and profitability | $ 0 | ||
Maximum [Member] | Subsequent Event | |||
Change In Accounting Estimate [Line Items] | |||
Decrease on project revenue and profitability | $ 47 | ||
Revisions to Estimated Total Contract Costs [Member] | |||
Change In Accounting Estimate [Line Items] | |||
Impact from affirmative claim recovery estimate | 2.1 | ||
Impact from estimated recovery of back charge claims | 0.2 | ||
Estimated Costs Recorded in Prior Period [Member] | |||
Change In Accounting Estimate [Line Items] | |||
Impact from affirmative claim recovery estimate | 0.5 | (0.9) | |
Impact from estimated recovery of back charge claims | 0.2 | ||
Revisions to Estimated Total Contract Costs [Member] | |||
Change In Accounting Estimate [Line Items] | |||
Impact from affirmative claim recovery estimate | 2.7 | ||
Large Project Construction [Member] | |||
Change In Accounting Estimate [Line Items] | |||
Decrease on project revenue and profitability | 4.9 | ||
Increase in net loss | 1.6 | ||
Change in accounting estimate amount considered significant to individual project gross profit | 1 | ||
Large Project Construction [Member] | Net Estimate Change [Member] | |||
Change In Accounting Estimate [Line Items] | |||
Increase (decrease) on project profitability | (7.9) | (13) | |
Large Project Construction [Member] | Contracts Accounted for under Percentage of Completion [Member] | Noncontrolling Interest [Member] | |||
Change In Accounting Estimate [Line Items] | |||
Increase (decrease) on project profitability | 0 | $ (1.6) | |
Construction Segment | |||
Change In Accounting Estimate [Line Items] | |||
Change in accounting estimate amount considered significant to individual project gross profit | $ 1 |
Revisions in Estimates - Schedu
Revisions in Estimates - Schedule of Projects Summarized (Details) - Downward Estimate Change [Member] - Large Project Construction [Member] | 3 Months Ended | |
Mar. 31, 2018USD ($)project | Mar. 31, 2017USD ($)project | |
Change In Accounting Estimate [Line Items] | ||
Number of projects with downward estimate changes | project | 2,000,000 | 5,000,000 |
Increase (decrease) on project profitability | $ (7,900,000) | $ (13,000,000) |
Minimum [Member] | ||
Change In Accounting Estimate [Line Items] | ||
Range of increase (reduction) in gross profit from each project, net | (2,600,000) | (1,300,000) |
Maximum [Member] | ||
Change In Accounting Estimate [Line Items] | ||
Range of increase (reduction) in gross profit from each project, net | $ (5,300,000) | $ (4,700,000) |
Disaggregation of Revenue - Sch
Disaggregation of Revenue - Schedule of Disaggregation of Revenue (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Disaggregation Of Revenue [Line Items] | ||
Total revenue | $ 563,379 | $ 468,400 |
Construction Segment | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 269,243 | 226,849 |
Large Project Construction [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 248,414 | 207,033 |
Construction Materials [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 45,722 | 34,518 |
California [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 209,899 | 117,301 |
California [Member] | Construction Segment | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 164,096 | 82,764 |
California [Member] | Large Project Construction [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 12,815 | 10,121 |
California [Member] | Construction Materials [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 32,988 | 24,416 |
Northwest [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 88,391 | 94,435 |
Northwest [Member] | Construction Segment | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 66,442 | 80,666 |
Northwest [Member] | Large Project Construction [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 9,215 | 3,667 |
Northwest [Member] | Construction Materials [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 12,734 | 10,102 |
Heavy Civil [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 187,881 | 170,966 |
Heavy Civil [Member] | Construction Segment | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 5,200 | 9,220 |
Heavy Civil [Member] | Large Project Construction [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 182,681 | 161,746 |
Kenny [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 77,208 | 85,698 |
Kenny [Member] | Construction Segment | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | 33,505 | 54,199 |
Kenny [Member] | Large Project Construction [Member] | ||
Disaggregation Of Revenue [Line Items] | ||
Total revenue | $ 43,703 | $ 31,499 |
Unearned Revenue - Schedule of
Unearned Revenue - Schedule of Unearned Revenue (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Jan. 01, 2018 |
Deferred Revenue Arrangement [Line Items] | ||
Unearned revenue | $ 3,448,581 | $ 3,583,849 |
California [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Unearned revenue | 382,028 | 406,054 |
Northwest [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Unearned revenue | 362,225 | 315,582 |
Heavy Civil [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Unearned revenue | 2,287,770 | 2,399,785 |
Kenny [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Unearned revenue | 416,558 | 462,428 |
Construction Segment | ||
Deferred Revenue Arrangement [Line Items] | ||
Unearned revenue | 880,976 | 825,428 |
Construction Segment | California [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Unearned revenue | 333,866 | 365,771 |
Construction Segment | Northwest [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Unearned revenue | 362,225 | 262,117 |
Construction Segment | Heavy Civil [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Unearned revenue | 54,596 | 43,016 |
Construction Segment | Kenny [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Unearned revenue | 130,289 | 154,524 |
Large Project Construction [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Unearned revenue | 2,567,605 | 2,758,421 |
Large Project Construction [Member] | California [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Unearned revenue | 48,162 | 40,283 |
Large Project Construction [Member] | Northwest [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Unearned revenue | 53,465 | |
Large Project Construction [Member] | Heavy Civil [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Unearned revenue | 2,233,174 | 2,356,769 |
Large Project Construction [Member] | Kenny [Member] | ||
Deferred Revenue Arrangement [Line Items] | ||
Unearned revenue | $ 286,269 | $ 307,904 |
Contract Assets and Liabiliti49
Contract Assets and Liabilities - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Loss Contingencies [Line Items] | |||
Revenue recognized | $ 89,300 | ||
Construction | 269,243 | $ 226,849 | |
Aggregate claim recovery estimate included in contract assets and liability | 34,000 | $ 26,700 | |
Costs in excess of billings and estimated earnings and billings in excess of estimated earnings | $ 12,500 | ||
Performance Obligations | |||
Loss Contingencies [Line Items] | |||
Construction | $ 27,700 |
Contract Assets and Liabiliti50
Contract Assets and Liabilities - Component of Contract Asset Balances (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Jan. 01, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Revenue From Contract With Customer [Abstract] | ||||
Costs in excess of billings and estimated earnings | $ 98,115 | $ 69,755 | ||
Contract retention | 80,548 | 91,135 | ||
Total contract assets | $ 178,663 | $ 160,890 | $ 0 | $ 0 |
Contract Assets and Liabiliti51
Contract Assets and Liabilities - Schedule of Change in Contract Asset Balance (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Revenue From Contract With Customer [Abstract] | |
Balance at January 1, 2018 | $ 160,890 |
Change in the measure of progress on projects, net | 169,686 |
Revisions in estimates, net | (4,998) |
Billings | (132,586) |
Receipts related to contract retention | (14,329) |
Balance at March 31, 2018 | $ 178,663 |
Contract Assets and Liabiliti52
Contract Assets and Liabilities - Components of Contract Liabilities Balance (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Jan. 01, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Revenue From Contract With Customer [Abstract] | ||||
Billings in excess of costs and estimated earnings | $ 70,398 | $ 82,750 | ||
Provisions for losses | 632 | 924 | ||
Total contract liabilities | $ 71,030 | $ 83,674 | $ 0 | $ 0 |
Contract Assets and Liabiliti53
Contract Assets and Liabilities - Schedule of Change in Contract Liability Balance (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Revenue From Contract With Customer [Abstract] | |
Balance at January 1, 2018 | $ 83,674 |
Change in the measure of progress on projects, net | (218,024) |
Revisions in estimates, net | (2,413) |
Billings | 208,085 |
Change in provision for loss, net | (292) |
Balance at March 31, 2018 | $ 71,030 |
Receivables, Net - Summary of R
Receivables, Net - Summary of Receivables (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Gross Receivables | $ 330,297 | $ 479,943 | $ 351,565 |
Less: allowance for doubtful accounts | 105 | 152 | 474 |
Total net receivables | 330,192 | 479,791 | 351,091 |
Completed and in Progress [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Gross Receivables | 287,622 | 420,737 | 310,006 |
Construction Material Sales [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Gross Receivables | 28,233 | 42,192 | 25,582 |
Other Business Products and Services [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Gross Receivables | 14,442 | 17,014 | 15,977 |
Billed [Member] | Completed and in Progress [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Gross Receivables | 214,494 | 252,467 | 142,216 |
Unbilled Revenues | Completed and in Progress [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Gross Receivables | $ 73,128 | 77,135 | 85,098 |
Retentions [Member] | Completed and in Progress [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Gross Receivables | $ 91,135 | $ 82,692 |
Receivables, Net - Additional I
Receivables, Net - Additional Information (Details) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Back charges claims | $ 1,200,000 | $ 1,100,000 | $ 300,000 |
Total Gross Receivables | 330,297,000 | 479,943,000 | 351,565,000 |
Uncollectible Receivables [Member] | Retentions [Member] | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Total Gross Receivables | $ 0 | $ 0 | $ 0 |
Marketable Securities - Carryin
Marketable Securities - Carrying Amounts of Marketable Securities (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Schedule of Marketable Securities [Line Items] | |||
Short-term marketable securities | $ 39,961 | $ 67,775 | $ 67,824 |
Long-term marketable securities | 67,305 | 65,015 | 59,989 |
Total marketable securities | 107,266 | 132,790 | 127,813 |
U.S. Government and agency obligations [Member] | |||
Schedule of Marketable Securities [Line Items] | |||
Short-term marketable securities | 15,000 | 17,910 | 12,908 |
Long-term marketable securities | 62,287 | 59,993 | 59,989 |
Commercial paper | |||
Schedule of Marketable Securities [Line Items] | |||
Short-term marketable securities | 24,961 | 49,865 | $ 54,916 |
Corporate bonds [Member] | |||
Schedule of Marketable Securities [Line Items] | |||
Long-term marketable securities | $ 5,018 | $ 5,022 |
Marketable Securities - Maturit
Marketable Securities - Maturities of Held to Maturity Investments (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Marketable Securities [Abstract] | |||
Due within one year | $ 39,961 | ||
Due in one to five years | 67,305 | ||
Total marketable securities | $ 107,266 | $ 132,790 | $ 127,813 |
Fair Value Measurement Cash and
Fair Value Measurement Cash and Cash Equivalents (Details) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Assets, Fair Value Disclosure | |||
Total Assets, Fair Value | $ 4,891 | $ 47,251 | $ 28,091 |
Level 1 | |||
Assets, Fair Value Disclosure | |||
Total Assets, Fair Value | 4,891 | 47,251 | 28,091 |
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 | 4,891 | 37,284 | 28,091 |
Money Market Funds | Level 1 | |||
Assets, Fair Value Disclosure | |||
Cash equivalents | 4,891 | 37,284 | 28,091 |
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 |
Commercial paper | |||
Assets, Fair Value Disclosure | |||
Cash equivalents | 9,967 | ||
Commercial paper | Level 1 | |||
Assets, Fair Value Disclosure | |||
Cash equivalents | 9,967 | ||
Commercial paper | Level 2 | |||
Assets, Fair Value Disclosure | |||
Cash equivalents | 0 | ||
Commercial paper | Level 3 | |||
Assets, Fair Value Disclosure | |||
Cash equivalents | $ 0 |
Fair Value Measurement - Additi
Fair Value Measurement - Additional Information (Details) - USD ($) $ in Millions | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Designated as Hedging Instrument | Level 2 | |||
Derivatives Details | |||
Derivative Asset | $ 2.2 | $ 1.4 | $ 1 |
Fair Value Measurement - Schedu
Fair Value Measurement - Schedule of Carrying and Fair Value Amounts (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Revolving Credit Facility [Member] | |||
Balance Sheet Grouping | |||
Revolving credit agreement | $ 55,000 | $ 55,000 | $ 30,000 |
Level 1 | Other Assets Liabilities, Carrying Value | |||
Balance Sheet Grouping | |||
Held-to-maturity marketable securities | 107,266 | 132,790 | 127,813 |
Level 1 | Other Assets, Liabilities, Fair Value | |||
Balance Sheet Grouping | |||
Held-to-maturity marketable securities | 106,143 | 132,002 | 127,448 |
Level 3 | Other Assets Liabilities, Carrying Value | |||
Balance Sheet Grouping | |||
2019 Notes | 80,000 | 80,000 | 120,000 |
Credit Agreement - term loan | 88,750 | 90,000 | 93,750 |
Level 3 | Other Assets Liabilities, Carrying Value | Revolving Credit Facility [Member] | |||
Balance Sheet Grouping | |||
Revolving credit agreement | 55,000 | 55,000 | 30,000 |
Level 3 | Other Assets, Liabilities, Fair Value | |||
Balance Sheet Grouping | |||
2019 Notes | 83,086 | 82,190 | 125,930 |
Credit Agreement - term loan | 88,803 | 89,871 | 92,986 |
Level 3 | Other Assets, Liabilities, Fair Value | Revolving Credit Facility [Member] | |||
Balance Sheet Grouping | |||
Revolving credit agreement | $ 54,858 | $ 55,054 | $ 29,520 |
Construction Joint Ventures - A
Construction Joint Ventures - Additional Information (Details) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018USD ($)project | Mar. 31, 2017USD ($) | |
Construction Joint Venture | ||
Number of active construction joint venture projects | project | 1 | |
Construction Contract Value | $ 66,200 | |
Construction | 269,243 | $ 226,849 |
Line Item Joint Venture | ||
Construction Joint Venture | ||
Construction | 800 | 8,000 |
Reporting Entitys Interest in Joint Venture [Member] | Unconsolidated Construction Joint Venture | ||
Construction Joint Venture | ||
Revenue Remaining to be Recognized on Unconsolidated Construction Joint Ventures | 1,400,000 | |
Other Partners Interest in Partnerships [Member] | Unconsolidated Construction Joint Venture | ||
Construction Joint Venture | ||
Revenue Remaining to be Recognized on Unconsolidated Construction Joint Ventures | $ 2,800,000 | |
Joint Venture Consolidated | ||
Construction Joint Venture | ||
Number of active construction joint venture projects | project | 6 | |
Construction Contract Value | $ 1,200,000 | |
Joint Venture Consolidated | Minimum [Member] | ||
Construction Joint Venture | ||
Construction Contract Value | 49,900 | |
Joint Venture Consolidated | Maximum [Member] | ||
Construction Joint Venture | ||
Construction Contract Value | 409,700 | |
Joint Venture Consolidated | Consolidated Construction Joint Venture | ||
Construction Joint Venture | ||
Construction | 43,800 | 35,500 |
Net cash provided by operating activities | $ 2,500 | 6,500 |
Joint Venture Consolidated | Consolidated Construction Joint Venture | Minimum [Member] | ||
Construction Joint Venture | ||
Proportionate Share of the Joint Ventures Equity Owned by or Beneficial Interest in the Reporting Entity Directly or Indirectly | 50.00% | |
Joint Venture Consolidated | Consolidated Construction Joint Venture | Maximum [Member] | ||
Construction Joint Venture | ||
Proportionate Share of the Joint Ventures Equity Owned by or Beneficial Interest in the Reporting Entity Directly or Indirectly | 65.00% | |
Joint Venture Unconsolidated | Unconsolidated Construction Joint Venture | ||
Construction Joint Venture | ||
Number of active construction joint venture projects | project | 10 | |
Construction Contract Value | $ 12,100,000 | |
Unconsolidated Construction Joint Venture Net (Loss) Income | 141,000 | 8,600 |
Joint Venture Unconsolidated | Unconsolidated Construction Joint Venture | Minimum [Member] | ||
Construction Joint Venture | ||
Construction Contract Value | $ 77,300 | |
Proportionate Share of the Joint Ventures Equity Owned by or Beneficial Interest in the Reporting Entity Directly or Indirectly | 20.00% | |
Joint Venture Unconsolidated | Unconsolidated Construction Joint Venture | Maximum [Member] | ||
Construction Joint Venture | ||
Construction Contract Value | $ 3,700 | |
Proportionate Share of the Joint Ventures Equity Owned by or Beneficial Interest in the Reporting Entity Directly or Indirectly | 50.00% | |
Partnership Interest | Unconsolidated Construction Joint Venture | ||
Construction Joint Venture | ||
Revenue Remaining to be Recognized on Unconsolidated Construction Joint Ventures | $ 4,200,000 | |
Granite Construction [Member] | ||
Construction Joint Venture | ||
Construction Contract Value | 49,000 | |
Revenue Remaining to be Recognized on Consolidated Construction Joint Ventures | 500 | |
Granite Construction [Member] | Unconsolidated Construction Joint Venture | ||
Construction Joint Venture | ||
Unconsolidated Construction Joint Venture Net (Loss) Income | 2,600 | $ 1,500 |
Granite Construction [Member] | Joint Venture Consolidated | ||
Construction Joint Venture | ||
Construction | 469,500 | |
Granite Construction [Member] | Joint Venture Consolidated | Minimum [Member] | ||
Construction Joint Venture | ||
Construction | 2,800 | |
Granite Construction [Member] | Joint Venture Consolidated | Maximum [Member] | ||
Construction Joint Venture | ||
Construction | 196,100 | |
Granite Construction [Member] | Joint Venture Unconsolidated | Unconsolidated Construction Joint Venture | ||
Construction Joint Venture | ||
Construction | 1,400 | |
Granite Construction [Member] | Joint Venture Unconsolidated | Unconsolidated Construction Joint Venture | Minimum [Member] | ||
Construction Joint Venture | ||
Construction | 2,300 | |
Granite Construction [Member] | Joint Venture Unconsolidated | Unconsolidated Construction Joint Venture | Maximum [Member] | ||
Construction Joint Venture | ||
Construction | $ 326,500 |
Construction Joint Ventures - S
Construction Joint Ventures - Schedule of Unconsolidated Construction Joint Ventures Assets and Liabilities (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | |
Construction Joint Venture | ||||
Equity in Construction Joint Ventures | [1] | $ 232,536 | $ 231,887 | $ 219,307 |
Joint Venture Unconsolidated | Unconsolidated Construction Joint Venture | ||||
Construction Joint Venture | ||||
Unconsolidated Construction Joint Venture Assets, Noncurrent Assets | 219,435 | 219,825 | 205,517 | |
Other Partners Interest in Partnerships [Member] | Unconsolidated Construction Joint Venture | ||||
Construction Joint Venture | ||||
Unconsolidated Construction Joint Venture Assets | 757,537 | 869,782 | 876,118 | |
Unconsolidated Construction Joint Venture Liabilities | [2] | 423,518 | 462,159 | 447,502 |
Reporting Entitys Interest in Joint Venture [Member] | Unconsolidated Construction Joint Venture | ||||
Construction Joint Venture | ||||
Unconsolidated Construction Joint Venture Assets | [3],[4] | 414,657 | 452,560 | 432,342 |
Unconsolidated Construction Joint Venture Liabilities | 182,121 | 220,673 | 213,035 | |
Cash and Cash Equivalents | Joint Venture Unconsolidated | Unconsolidated Construction Joint Venture | ||||
Construction Joint Venture | ||||
Unconsolidated Construction Joint Venture Assets | 325,157 | 289,940 | 399,445 | |
Other Assets, Current and Longterm | Joint Venture Unconsolidated | Unconsolidated Construction Joint Venture | ||||
Construction Joint Venture | ||||
Unconsolidated Construction Joint Venture Assets | [3] | 627,602 | 812,577 | 703,498 |
Accounts Payable | Joint Venture Unconsolidated | Unconsolidated Construction Joint Venture | ||||
Construction Joint Venture | ||||
Unconsolidated Construction Joint Venture Liabilities | $ 605,639 | $ 682,832 | $ 660,537 | |
[1] | 4As of March 31, 2018, December 31, 2017 and March 31, 2017, this balance included $22.3 million, $15.9 million and $16.4 million, respectively, of deficit in construction joint ventures that is included in accrued expenses and other current liabilities in the condensed consolidated balance sheets | |||
[2] | 3Partners’ interest and adjustments includes amounts to reconcile total net assets as reported by our partners to Granite’s interest adjusted to reflect our accounting policies primarily related to gross profit forecast differences. | |||
[3] | 1Included in this balance and in accrued and other current liabilities on our condensed consolidated balance sheets as of March 31, 2018, December 31, 2017 and March 31, 2017 was $88.6 million, $88.6 million and $83.1 million respectively, related to performance guarantees. | |||
[4] | 2Included in this balance as of March 31, 2018, December 31, 2017 and March 31, 2017 was $65.0 million, $74.3 million and $69.7 million respectively, related to Granite’s share of estimated cost recovery of customer affirmative claims. In addition, this balance included $11.3 million, $11.8 million and $7.9 million related to Granite’s share of estimated recovery of back charge claims as of March 31, 2018, December 31, 2017 and March 31, 2017, respectively. |
Construction Joint Ventures -63
Construction Joint Ventures - Schedule of Unconsolidated Construction Joint Ventures Assets and Liabilities (Parenthetical) (Details) - USD ($) $ in Millions | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Construction Joint Venture | |||
Unconsolidated Joint Venture Back charges claims | $ 11.3 | $ 11.8 | $ 7.9 |
Deficit in unconsolidated construction joint venture | 22.3 | 15.9 | 16.4 |
Unconsolidated Construction Joint Venture | |||
Construction Joint Venture | |||
Performance Guarantees | 88.6 | 88.6 | 83.1 |
Unconsolidated Construction Joint Venture | Reporting Entitys Interest in Joint Venture [Member] | |||
Construction Joint Venture | |||
Affirmative Claim Recovery Estimate | $ 65 | $ 74.3 | $ 69.7 |
Construction Joint Ventures -64
Construction Joint Ventures - Schedule of Unconsolidated Construction Joint Ventures Revenue and Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | ||
Variable Interest Entity [Line Items] | |||
Unconsolidated Construction Joint Venture Gross Profit | $ 4,021 | $ 1,496 | |
Joint Venture Unconsolidated | Unconsolidated Construction Joint Venture | |||
Variable Interest Entity [Line Items] | |||
Unconsolidated Construction Joint Venture Revenue | 239,441 | 451,321 | |
Unconsolidated Construction Joint Venture Cost of Revenue | 380,889 | 442,990 | |
Other Partners Interest in Partnerships [Member] | Unconsolidated Construction Joint Venture | |||
Variable Interest Entity [Line Items] | |||
Unconsolidated Construction Joint Venture Revenue | [1] | 121,032 | 323,830 |
Unconsolidated Construction Joint Venture Cost of Revenue | [1] | 266,501 | 316,995 |
Reporting Entitys Interest in Joint Venture [Member] | Unconsolidated Construction Joint Venture | |||
Variable Interest Entity [Line Items] | |||
Unconsolidated Construction Joint Venture Revenue | 118,409 | 127,491 | |
Unconsolidated Construction Joint Venture Cost of Revenue | $ 114,388 | $ 125,995 | |
[1] | 1Partners’ 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 and estimates. |
Investments in Affiliates - Inv
Investments in Affiliates - Investments in Affiliates (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Investments In And Advances To Affiliates [Line Items] | |||
Investments in affiliates | $ 38,682 | $ 38,469 | $ 36,410 |
Joint Venture Unconsolidated | Equity Method investments in Real Estate Affiliates [Member] | |||
Investments In And Advances To Affiliates [Line Items] | |||
Investments in affiliates | 29,829 | 29,472 | 26,883 |
Joint Venture Unconsolidated | Other Affiliates [Member] | |||
Investments In And Advances To Affiliates [Line Items] | |||
Investments in affiliates | $ 8,853 | $ 8,997 | $ 9,527 |
Investments in Affiliates - Equ
Investments in Affiliates - Equity Method Investment Summarized Balance Sheet Information (Details) - Joint Venture Unconsolidated - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Investments In And Advances To Affiliates [Line Items] | |||
Equity Method Investment, Summarized Financial Information, Assets | $ 123,562 | $ 160,359 | $ 150,637 |
Equity Method Investments Summarized Financial Information Net Assets | 69,637 | 98,592 | 93,675 |
Other Affiliates [Member] | |||
Investments In And Advances To Affiliates [Line Items] | |||
Equity Method Investment, Summarized Financial Information, Assets | 123,600 | ||
Equity Method Investments | $ 38,682 | $ 38,469 | $ 36,410 |
Investments in Affiliates - Add
Investments in Affiliates - Additional Information (Details) - Joint Venture Unconsolidated - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Investments In And Advances To Affiliates [Line Items] | |||
Total assets | $ 123,562 | $ 160,359 | $ 150,637 |
Texas [Member] | |||
Investments In And Advances To Affiliates [Line Items] | |||
Equity Method Investments | 24,600 | 24,300 | 21,800 |
Other Affiliates [Member] | |||
Investments In And Advances To Affiliates [Line Items] | |||
Equity Method Investments | 38,682 | $ 38,469 | $ 36,410 |
Total assets | 123,600 | ||
Variable Interest Entity, Not Primary Beneficiary [Member] | |||
Investments In And Advances To Affiliates [Line Items] | |||
Total assets | 21,500 | ||
Minimum [Member] | Variable Interest Entity, Not Primary Beneficiary [Member] | Real Estate Entities [Member] | |||
Investments In And Advances To Affiliates [Line Items] | |||
Total assets | 1,700 | ||
Maximum [Member] | Variable Interest Entity, Not Primary Beneficiary [Member] | Real Estate Entities [Member] | |||
Investments In And Advances To Affiliates [Line Items] | |||
Total assets | $ 65,400 |
Property and Equipment, Net - P
Property and Equipment, Net - Property and Equipment (Details) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Property Plant And Equipment [Line Items] | |||
Property and equipment | $ 1,223,114 | $ 1,209,141 | $ 1,196,625 |
Accumulated depreciation and depletion | 813,406 | 801,723 | 784,135 |
Property and equipment, net | 409,708 | 407,418 | 412,490 |
Equipment and vehicles [Member] | |||
Property Plant And Equipment [Line Items] | |||
Property and equipment | 790,942 | 778,549 | 768,995 |
Quarry property [Member] | |||
Property Plant And Equipment [Line Items] | |||
Property and equipment | 177,722 | 182,267 | 175,418 |
Land and land improvements [Member] | |||
Property Plant And Equipment [Line Items] | |||
Property and equipment | 114,607 | 108,830 | 112,028 |
Building and leasehold improvements [Member] | |||
Property Plant And Equipment [Line Items] | |||
Property and equipment | 82,775 | 82,601 | 83,727 |
Office furniture and equipment [Member] | |||
Property Plant And Equipment [Line Items] | |||
Property and equipment | $ 57,068 | $ 56,894 | $ 56,457 |
Debt Covenants and Events of De
Debt Covenants and Events of Default - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 | |
Debt Instrument [Line Items] | |||
Long-term debt | $ 176,011 | $ 178,453 | $ 228,306 |
Current maturities of long-term debt | $ 47,298 | 46,048 | 14,796 |
Covenant compliance | As of March 31, 2018, 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. | ||
Term Loan [Member] | |||
Debt Instrument [Line Items] | |||
Line of credit facility, maximum borrowing capacity | $ 88,800 | ||
Long-term debt | 81,300 | 83,800 | 88,800 |
Short term portion of term loan | 7,500 | 6,200 | 5,000 |
Revolving Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Line of credit facility, maximum borrowing capacity | 200,000 | ||
Revolving credit agreement | 55,000 | 55,000 | 30,000 |
Line of Credit [Member] | |||
Debt Instrument [Line Items] | |||
Line of credit facility, maximum borrowing capacity | 288,800 | ||
Term Loan Sublimit for Letters of Credit [Member] | |||
Debt Instrument [Line Items] | |||
Line of credit facility, maximum borrowing capacity | 100,000 | ||
Senior Notes [Member] | 2019 Notes [Member] | |||
Debt Instrument [Line Items] | |||
Long-term debt | 40,000 | 40,000 | 110,000 |
Debt instrument, face amount | $ 80,000 | 80,000 | 120,000 |
Debt instrument, interest rate, stated percentage | 6.11% | ||
Current maturities of long-term debt | $ 40,000 | $ 40,000 | 10,000 |
Senior Notes [Member] | 2019 Notes [Member] | Long-term Debt [Member] | |||
Debt Instrument [Line Items] | |||
Scheduled installment payments | $ 30,000 |
Weighted Average Shares Outst70
Weighted Average Shares Outstanding and Net Loss Per Share - Summary of Reconciliation of Weighted Average Shares Outstanding Used in Calculating Basic and Diluted Net Loss Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Earnings Per Share [Abstract] | ||
Net loss allocated to common shareholders for basic calculation | $ (11,423) | $ (23,790) |
Weighted average common shares outstanding, basic | 39,908 | 39,649 |
Weighted average common shares outstanding, diluted | 39,908 | 39,649 |
Net loss per share, basic | $ (0.29) | $ (0.60) |
Net loss per share, diluted | $ (0.29) | $ (0.60) |
Weighted Average Shares Outst71
Weighted Average Shares Outstanding and Net Loss Per Share - Summary of Reconciliation of Weighted Average Shares Outstanding Used in Calculating Basic and Diluted Net Loss Per Share (Parenthetical) (Details) - shares | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Earnings Per Share [Abstract] | ||
Antidilutive shares excluded from calculating diluted net loss per share | 502,000 | 673,000 |
Income Taxes - Schedule of Bene
Income Taxes - Schedule of Benefit From Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Income Tax Disclosure [Abstract] | ||
Benefit from income taxes | $ (4,131) | $ (12,496) |
Effective tax rate | 29.90% | 34.40% |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
Effective tax rate | 29.90% | 34.40% | |
Federal statutory tax, Percent | 21.00% | 35.00% |
Equity - Schedule of Stockholde
Equity - Schedule of Stockholders Equity (Details) - USD ($) $ in Thousands | 3 Months Ended | ||||
Mar. 31, 2018 | Mar. 31, 2017 | ||||
Stockholders Equity Rollforward [Line Items] | |||||
Stockholders' equity, beginning balance | $ 992,805 | $ 922,591 | |||
Net (loss) income | (9,662) | (23,851) | |||
Purchase of common stock | (6,119) | [1] | (6,448) | [2] | |
Dividends on common stock | (5,206) | (5,176) | |||
Effect of adopting Topic 606 | (15,201) | ||||
Other transactions with shareholders and employees | [3] | 8,277 | 8,943 | ||
Stockholders' equity, ending balance | 964,894 | 896,059 | |||
Granite Construction [Member] | |||||
Stockholders Equity Rollforward [Line Items] | |||||
Stockholders' equity, beginning balance | 945,108 | 885,988 | |||
Net (loss) income | (11,423) | (23,790) | |||
Purchase of common stock | (6,119) | [1] | (6,448) | [2] | |
Dividends on common stock | (5,206) | (5,176) | |||
Effect of adopting Topic 606 | (15,201) | ||||
Other transactions with shareholders and employees | [3] | 8,277 | 8,943 | ||
Stockholders' equity, ending balance | 915,436 | 859,517 | |||
Noncontrolling Interest [Member] | |||||
Stockholders Equity Rollforward [Line Items] | |||||
Stockholders' equity, beginning balance | 47,697 | 36,603 | |||
Net (loss) income | 1,761 | (61) | |||
Purchase of common stock | 0 | [1] | 0 | [2] | |
Dividends on common stock | 0 | 0 | |||
Effect of adopting Topic 606 | 0 | ||||
Other transactions with shareholders and employees | [3] | 0 | 0 | ||
Stockholders' equity, ending balance | $ 49,458 | $ 36,542 | |||
[1] | Represents 104,000 shares purchased in connection with employee tax withholding for restricted stock units vested under our 2012 Equity Incentive Plan. | ||||
[2] | Represents 131,000 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. |
Equity - Schedule of Stockhol75
Equity - Schedule of Stockholders Equity (Parenthetical) (Details) - shares shares in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Stockholders Equity Note [Abstract] | ||
Shares Purchased for Tax Withholding for Share Based Compensation | 104,000 | 131,000 |
Legal Proceedings - Additional
Legal Proceedings - Additional Information (Details) - USD ($) $ in Millions | Mar. 31, 2018 | Dec. 31, 2017 | Mar. 31, 2017 |
Commitments And Contingencies Disclosure [Abstract] | |||
Liabilities relating to legal proceedings and government inquires | $ 1.1 | $ 0.9 | $ 1 |
Business Segment Information -
Business Segment Information - Schedule of Segment Reporting Information (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Segment Reporting Information [Line Items] | |||
Revenue from external customers | $ 563,379 | $ 468,400 | |
Gross profit (loss) | 56,283 | 25,126 | |
Segment assets | 1,759,227 | 1,678,219 | $ 1,871,978 |
Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Total revenue from reportable segments | 570,979 | 482,504 | |
Gross profit (loss) | 56,283 | 25,126 | |
Depreciation, depletion and amortization | 13,063 | 12,078 | |
Segment assets | 778,607 | 746,581 | |
Intersegment Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Elimination of intersegment revenue | (7,600) | (14,104) | |
Construction Segment | |||
Segment Reporting Information [Line Items] | |||
Revenue from external customers | 269,243 | 226,849 | |
Construction Segment | Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Total revenue from reportable segments | 269,243 | 226,849 | |
Gross profit (loss) | 38,396 | 27,329 | |
Depreciation, depletion and amortization | 5,054 | 4,994 | |
Segment assets | 136,716 | 149,882 | |
Construction Segment | Intersegment Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Elimination of intersegment revenue | 0 | ||
Large Project Construction [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenue from external customers | 248,414 | 207,033 | |
Large Project Construction [Member] | Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Total revenue from reportable segments | 248,414 | 207,033 | |
Gross profit (loss) | 20,366 | 2,555 | |
Depreciation, depletion and amortization | 2,599 | 1,886 | |
Segment assets | 345,806 | 306,804 | |
Large Project Construction [Member] | Intersegment Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Elimination of intersegment revenue | 0 | ||
Construction Materials [Member] | |||
Segment Reporting Information [Line Items] | |||
Revenue from external customers | 45,722 | 34,518 | |
Construction Materials [Member] | Operating Segments [Member] | |||
Segment Reporting Information [Line Items] | |||
Total revenue from reportable segments | 53,322 | 48,622 | |
Gross profit (loss) | (2,479) | (4,758) | |
Depreciation, depletion and amortization | 5,410 | 5,198 | |
Segment assets | 296,085 | 289,895 | |
Construction Materials [Member] | Intersegment Eliminations [Member] | |||
Segment Reporting Information [Line Items] | |||
Elimination of intersegment revenue | $ (7,600) | $ (14,104) |
Business Segment Information 78
Business Segment Information - Reconciliation of Operating Profit (Loss) from Segments to Consolidated (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Segment Reporting Information [Line Items] | ||
Gross profit | $ 56,283 | $ 25,126 |
Selling, general and administrative expenses | 61,252 | 61,837 |
Acquisition and integration expenses | 8,409 | |
Gain on sales of property and equipment | (543) | (270) |
Total other expense (income) | 958 | (94) |
Loss before benefit from income taxes | (13,793) | (36,347) |
Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Gross profit | $ 56,283 | $ 25,126 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Details) - USD ($) $ in Millions | Apr. 03, 2018 | Feb. 13, 2018 | Apr. 19, 2018 |
Layne Christensen Company [Member] | |||
Business Acquisition [Line Items] | |||
Stock-for-stock merger exchange ratio | 27.00% | ||
Layne Christensen Company [Member] | Subsequent Event | |||
Business Acquisition [Line Items] | |||
Purchase price | $ 333.7 | ||
Merger, debt assumed | $ 200 | ||
LiquiForce Services Company [Member] | Subsequent Event | |||
Business Acquisition [Line Items] | |||
Business consideration funded through revolving credit facility | $ 35 |
Subsequent Event - Additional I
Subsequent Event - Additional Information (Details) - Revolving Credit Facility [Member] - USD ($) $ in Millions | Mar. 31, 2018 | Feb. 23, 2018 |
Subsequent Event [Line Items] | ||
Line of credit facility, maximum borrowing capacity | $ 200 | |
Layne Christensen Company [Member] | ||
Subsequent Event [Line Items] | ||
Line of credit facility, maximum borrowing capacity | $ 130 |