Document And Entity Information
Document And Entity Information - shares | 6 Months Ended | |
Jun. 30, 2017 | Jul. 28, 2017 | |
Document Information [Line Items] | ||
Entity Registrant Name | STERLING CONSTRUCTION CO INC | |
Entity Central Index Key | 874,238 | |
Trading Symbol | strl | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Current Reporting Status | Yes | |
Entity Voluntary Filers | No | |
Entity Well-known Seasoned Issuer | No | |
Entity Common Stock, Shares Outstanding (in shares) | 27,030,207 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2017 | |
Document Fiscal Year Focus | 2,017 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($) | Jun. 30, 2017 | Dec. 31, 2016 |
Current assets: | ||
Cash and cash equivalents | $ 60,058,000 | $ 42,785,000 |
Contracts receivable, including retainage | 137,913,000 | 84,132,000 |
Costs and estimated earnings in excess of billings on uncompleted contracts | 40,588,000 | 32,705,000 |
Inventories | 3,521,000 | 3,708,000 |
Receivables from and equity in construction joint ventures | 7,463,000 | 7,130,000 |
Other current assets | 11,206,000 | 5,448,000 |
Total current assets | 260,749,000 | 175,908,000 |
Property and equipment, net | 61,275,000 | 68,127,000 |
Goodwill | 90,971,000 | 54,820,000 |
Intangibles | 39,490,000 | |
Other assets, net | 2,968,000 | 2,968,000 |
Total assets | 455,453,000 | 301,823,000 |
Current liabilities: | ||
Accounts payable | 89,468,000 | 67,097,000 |
Billings in excess of costs and estimated earnings on uncompleted contracts | 76,916,000 | 64,100,000 |
Current maturities of long-term debt | 1,039,000 | 3,845,000 |
Income taxes payable | 179,000 | 78,000 |
Accrued compensation | 12,022,000 | 5,322,000 |
Other current liabilities | 7,699,000 | 6,150,000 |
Total current liabilities | 187,323,000 | 146,592,000 |
Long-term liabilities: | ||
Long-term debt, net of current maturities | 88,125,000 | 1,549,000 |
Member’s interest subject to mandatory redemption and undistributed earnings | 46,346,000 | 45,230,000 |
Other long-term liabilities | 473,000 | 362,000 |
Total long-term liabilities | 134,944,000 | 47,141,000 |
Commitments and contingencies (Note 9) | ||
Sterling stockholders’ equity: | ||
Preferred stock, par value $0.01 per share; 1,000,000 shares authorized, none issued | ||
Common stock, par value $0.01 per share; 28,000,000 shares authorized, 27,027,542 and 24,987,306 shares issued | 270,000 | 250,000 |
Additional paid in capital | 231,321,000 | 208,922,000 |
Retained deficit | (100,333,000) | (101,738,000) |
Total Sterling common stockholders’ equity | 131,258,000 | 107,434,000 |
Noncontrolling interests | 1,928,000 | 656,000 |
Total equity | 133,186,000 | 108,090,000 |
Total liabilities and equity | $ 455,453,000 | $ 301,823,000 |
Condensed Consolidated Balance3
Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares | Jun. 30, 2017 | Dec. 31, 2016 |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 1,000,000 | 1,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 28,000,000 | 28,000,000 |
Common stock, shares issued (in shares) | 27,027,542 | 24,987,306 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Revenues | $ 246,412 | $ 189,582 | $ 399,828 | $ 316,149 |
Cost of revenues | (221,207) | (174,039) | (365,336) | (297,058) |
Gross profit | 25,205 | 15,543 | 34,492 | 19,091 |
General and administrative expenses | (12,812) | (8,657) | (23,416) | (18,742) |
Other operating income (expense), net | (4,037) | (3,505) | (4,508) | (3,434) |
Operating income (loss) | 8,356 | 3,381 | 6,568 | (3,085) |
Interest income | 44 | 1 | 85 | 4 |
Interest expense | (2,984) | (812) | (3,096) | (1,685) |
Loss on extinguishment of debt | (755) | (755) | ||
Income (loss) before income taxes and earnings attributable to noncontrolling interests | 4,661 | 2,570 | 2,802 | (4,766) |
Income tax expense | (98) | (27) | (125) | (27) |
Net income (loss) | 4,563 | 2,543 | 2,677 | (4,793) |
Noncontrolling owners’ interests in earnings of subsidiaries and joint ventures | (901) | (520) | (1,272) | (512) |
Net income (loss) attributable to Sterling common stockholders | $ 3,662 | $ 2,023 | $ 1,405 | $ (5,305) |
Net income (loss) per share attributable to Sterling common stockholders: | ||||
Basic (in dollars per share) | $ 0.14 | $ 0.09 | $ 0.05 | $ (0.25) |
Diluted (in dollars per share) | $ 0.13 | $ 0.09 | $ 0.05 | $ (0.25) |
Weighted average number of common shares outstanding used in computing per share amounts: | ||||
Basic (in shares) | 26,978 | 22,762 | 25,972 | 21,261 |
Diluted (in shares) | 27,336 | 22,959 | 26,409 | 21,261 |
Condensed Consolidated Stateme5
Condensed Consolidated Statement of Changes in Equity (Unaudited) - 6 months ended Jun. 30, 2017 - USD ($) shares in Thousands, $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Noncontrolling Interest [Member] | Total |
Balance (in shares) at Dec. 31, 2016 | 24,987 | ||||
Balance at Dec. 31, 2016 | $ 250 | $ 208,922 | $ (101,738) | $ 656 | $ 108,090 |
Net income | 1,405 | 1,272 | 2,677 | ||
Stock-based compensation (in shares) | 158 | ||||
Stock-based compensation | $ 1 | 1,976 | 1,977 | ||
Stock issued for Tealstone acquisition (in shares) | 1,882 | ||||
Stock issued for Tealstone acquisition | $ 19 | 17,042 | 17,061 | ||
Warrants issued to lenders | 3,500 | 3,500 | |||
Other (in shares) | |||||
Other | (119) | (119) | |||
Balance (in shares) at Jun. 30, 2017 | 27,027 | ||||
Balance at Jun. 30, 2017 | $ 270 | $ 231,321 | $ (100,333) | $ 1,928 | $ 133,186 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Cash flows from operating activities: | ||
Net income (loss) attributable to Sterling common stockholders | $ 1,405 | $ (5,305) |
Plus: Noncontrolling owners’ interests in earnings of subsidiaries and joint ventures | 1,272 | 512 |
Net income (loss) | 2,677 | (4,793) |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ||
Depreciation and amortization | 8,387 | 8,144 |
Gain on disposal of property and equipment | (396) | (274) |
Stock-based compensation expense | 1,977 | 805 |
Impairment on building held-for-sale | 895 | |
Changes in operating assets and liabilities: | ||
Contracts receivable | (40,163) | (24,483) |
Costs and estimated earnings in excess of billings on uncompleted contracts | (4,939) | (8,486) |
Inventories | 1,405 | (1,190) |
Receivables from and equity in construction joint ventures | (333) | 5,565 |
Other assets | (2,429) | (504) |
Accounts payable | 12,922 | 20,894 |
Billings in excess of costs and estimated earnings on uncompleted contracts | 12,513 | 26,358 |
Accrued compensation and other liabilities | (5,968) | 5,877 |
Member’s interest subject to mandatory redemption and undistributed earnings | 1,116 | (1,178) |
Net cash (used in) provided by operating activities | (12,336) | 26,735 |
Cash flows from investing activities: | ||
Tealstsone acquisition, net of cash acquired | (55,000) | |
Additions to property and equipment | (5,870) | (6,070) |
Proceeds from sale of property and equipment | 1,907 | 1,394 |
Net cash used in investing activities | (58,963) | (4,676) |
Cash flows from financing activities: | ||
Cash received–term loan | 85,000 | |
Cumulative repayments – term loan and other | (3,953) | (2,948) |
Cumulative drawdowns – equipment-based revolver | 19,000 | |
Cumulative repayments – equipment-based revolver | (19,000) | |
Net proceeds from stock issued | 19,144 | |
Debt issuance costs | 6,889 | |
Loss on debt extinguishment | 755 | |
Distributions to noncontrolling interest owners | ||
Other | (119) | (46) |
Net cash provided by financing activities | 88,572 | 16,150 |
Net increase in cash and cash equivalents | 17,273 | 38,209 |
Cash and cash equivalents at beginning of period | 42,785 | 4,426 |
Cash and cash equivalents at end of period | 60,058 | 42,635 |
Supplemental disclosures of cash flow information: | ||
Cash paid during the period for interest | 3,096 | 1,940 |
Cash paid during the period for income taxes | 78 | |
Non-cash items: | ||
Transportation and construction equipment acquired through financing arrangements | 70 | 511 |
Tealstone Construction [Member] | ||
Non-cash items: | ||
Notes and deferred payments to sellers | 11,647 | |
Equity Consideration for Tealstone Acquisition [Member] | Tealstone Construction [Member] | ||
Non-cash items: | ||
Other significant noncash transaction, value of consideration given | 17,061 | |
Warrants Issued to Lenders [Member] | Tealstone Construction [Member] | ||
Non-cash items: | ||
Other significant noncash transaction, value of consideration given | $ 3,500 |
Condensed Consolidated Stateme7
Condensed Consolidated Statements of Cash Flows (Unaudited) (Parentheticals) - Tealstone Construction [Member] - shares | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Equity Consideration for Tealstone Acquisition [Member] | ||
Shares issued for Tealstone acquisition (in shares) | 1,882,058 | |
Warrants Issued to Lenders [Member] | ||
Warrants issued to lenders (in shares) | 1,000,000 |
Note 1 - Business Summary and S
Note 1 - Business Summary and Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block] | 1. Business Summary and Significant Accounting Policies Business Summary Sterling Construction Company, Inc. (“Sterling” or “the Company”), a Delaware corporation, is a leading heavy civil construction company that specializes in the building and reconstruction of transportation infrastructure, water infrastructure, and residential and commercial concrete projects in Texas, Utah, Nevada, Colorado, Arizona, California, Hawaii and other states in which there are construction opportunities. Its heavy civil construction projects include highways, roads, bridges, airfields, ports, light rail, water, wastewater and storm drainage systems, multi-family homes, commercial projects and parking structures. Its residential concrete construction projects include concrete foundations for single-family homes. Presentation The condensed consolidated financial statements included herein have been prepared by Sterling, without audit, in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”) and should be read in conjunction with the Annual Report on Form 10 December 31, 2016 ( “2016 10 June 30, 2017 December 31, 2016 not may three six June 30, 2017 not On April 3, 2017, 100% Tealstone $85,000,000 April 4, 2022, two 13 Significant Accounting Policies The Company’s significant accounting policies are more fully described in Note 1 2016 10 not · revenue recognition · contracts receivable, including retainage · valuation of property and equipment, goodwill and other long-lived assets · income taxes · segment reporting There have been no December 31, 2016. Principles of Consolidation The accompanying condensed consolidated financial statements include the accounts of subsidiaries and construction joint ventures in which the Company has a greater than 50% not not no 50%. 4 Where the Company is a noncontrolling joint venture partner, and otherwise not 5 Under GAAP, the Company must determine whether each entity, including joint ventures in which it participates, is a variable interest entity (“VIE”). This determination focuses on identifying which owner or joint venture partner, if any, has the power to direct the activities of the entity and the obligation to absorb losses of the entity or the right to receive benefits from the entity disproportionate to its interest in the entity, which could have the effect of requiring the Company to consolidate the entity in which it has a noncontrolling variable interest. Refer to Note 6 Use of Estimates The preparation of the accompanying condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Certain of the Company’s accounting policies require higher degrees of judgment than others in their application. These include the recognition of revenue and earnings from construction contracts under the percentage-of-completion method, the valuation of long-term assets, purchase accounting, including intangibles and goodwill, and income taxes. Management continually evaluates all of its estimates and judgments based on available information and experience; however, actual results could differ from these estimates. Reclassification Reclassifications have been made to historical financial data on our condensed consolidated financial statements to conform to our current year presentation. Revenue Recognition Heavy Civil Construction The Company engages in various types of heavy civil construction projects principally for public (government) owners. Credit risk is minimal with public owners since the Company ascertains that funds have been appropriated by the governmental project owner prior to commencing work on such projects. While most public contracts are subject to termination at the election of the government entity, in the event of termination the Company is entitled to receive the contract price for completed work and reimbursement of termination-related costs. Credit risk with private owners is minimized because of statutory mechanic’s liens, which give the Company high priority in the event of lien foreclosures following financial difficulties of private owners. Our contracts generally take 12 36 one two Revenues are recognized on the percentage-of-completion method, measured by the ratio of costs incurred up to a given date to estimated total costs for each contract. This cost to cost measure is used because management considers it to be the best available measure of progress on these contracts. Contract costs include all direct material, labor, subcontract and other costs and those indirect costs related to contract performance, such as indirect salaries and wages, equipment repairs and depreciation, insurance and payroll taxes. Administrative and general expenses are charged to expense as incurred. Provisions for estimated losses on uncompleted contracts are made in the period in which such losses are determined. Changes in job performance, job conditions and estimated profitability, including those changes arising from contract penalty provisions and final contract settlements may Changes in estimated revenues and gross margin resulted in a net charge of $1.8 $1.1 three six June 30, 2017, . $0.7 $0.5 three six June 30, 2016, . Change orders are modifications of an original contract that effectively change the existing provisions of the contract without adding new provisions or terms. Change orders may may The Company considers unapproved change orders to be contract variations for which we have customer approval for a change of scope but a price change associated with the scope change has not may The Company considers claims to be amounts in excess of agreed contract prices that we seek to collect from our customers or others for customer-caused delays, errors in specifications and designs, contract terminations, change orders that are either in dispute or are unapproved as to both scope and price, or other causes of unanticipated additional contract costs. Claims are included in the calculation of revenue when realization is probable and amounts can be reliably determined to the extent costs are incurred. To support these requirements, the existence of the following items must be satisfied: (i) The contract or other evidence provides a legal basis for the claim; or a legal opinion has been obtained, stating that under the circumstances there is a reasonable basis to support the claim; (ii) Additional costs are caused by circumstances that were unforeseen at the contract date and are not not may not The Company has projects where we are in the process of negotiating, or awaiting final approval of, unapproved change orders and claims with our customers. The Company is proceeding with its contractual rights to recoup additional costs incurred from its customers based on completing work associated with change orders, including change orders with pending change order pricing, or claims related to significant changes in scope which resulted in substantial delays and additional costs in completing the work. Unapproved change order and claim information has been provided to our customers and negotiations with the customers are ongoing. If additional progress with an acceptable resolution is not Based upon our review of the provisions of our contracts, specific costs incurred and other related evidence supporting the unapproved change orders, claims and our entitled unpaid project price, together with the views of the Company’s outside claim consultants, we concluded that including the unapproved change order, claim and entitled unpaid project price amounts of $1.4 $12.0 $3.9 June 30, 2017, $2.2 $9.2 $3.9 December 31, 2016, may Residential Construction Residential construction revenue and related profit is recognized when construction is completed. The time from starting construction to finishing is typically one Financial Instruments and Fair Value The fair value of financial instruments is the amount at which the instrument could be exchanged in a current transaction between willing parties. The Company’s financial instruments are cash and cash equivalents, restricted cash used as collateral for a letter of credit and restricted cash maintained in an escrow account, short-term contracts receivable, accounts payable, notes payable, and a term loan (the “Loan”) with Oaktree Capital Management, L.P. The recorded values of cash and cash equivalents, restricted cash, short-term contracts receivable and accounts payable approximate their fair values based on their liquidity and/or short-term nature. Refer to Note 8 not 10 2016 10 In order to assess the fair value of the Company’s financial instruments, the Company uses the fair value hierarchy established by GAAP which prioritizes the inputs used in valuation techniques into the following three Level 1 Level 2 1 not Level 3 For each financial instrument, the Company uses the highest priority level input that is available in order to appropriately value that particular instrument. In certain instances, Level 1 not 2 3 Recently Adopted Accounting Pronouncements In January 2017, No. 2017 04 350 2 two December 15, 2019. January 1, 2017. January 1, 2017. not Recently Issued Accounting Pronouncements In May 2017, No. 2017 09 718 December 15, 2017. not In January 2017, No. 2017 01 805 not 606. December 15, 2017 not In November 2016, No. 2016 18 230 December 15, 2017, not In August 2016, No. 2016 15 230 December 15, 2018. In February 2016, No. 2016 02, 842 December 15, 2018, In May 2014, 2014 09, five 1 2 3 4 5 August 2015, 2015 14 2014 09 one 2014 09 December 15, 2017, No. 2016 08, No. 2016 10, 2016 12, The new revenue recognition standard prescribes a five not We will adopt the requirements of the new standard effective January 1, 2018 not 2017. |
Note 2 - Tealstone Acquisition
Note 2 - Tealstone Acquisition | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Business Combination Disclosure [Text Block] | 2. Tealstone Acquisition General On April 3, 2017, 100% Tealstone $55,000,000 1,882,058 Placement Shares $5,000,000 $2,500,000 $7,500,000 second third $15,000,000 may third fourth The preliminary acquisition-date fair value of the consideration transferred totaled $83.7 Fair value of consideration transferred (amounts in thousands): Cash $ 55,000 Common stock (1,882,058 shares) 17,061 Promissory notes 4,436 Deferred payments 7,211 Total $ 83,708 The fair value of the 1,882,058 The promissory notes and deferred payments have been discounted using a preliminary 12% $15,000,000 third fourth not Preliminary Purchase Price Allocation The aggregate purchase price noted above was allocated to the major categories of assets and liabilities acquired based upon their estimated fair values at the acquisition closing date, which were based, in part, upon outside preliminary appraisals for certain assets, including specifically-identified intangible assets. The excess of the purchase price over the preliminary estimated fair value of the net tangible and identifiable intangible assets acquired totaling $36.2 The following table summarizes our preliminary goodwill addition (in thousands): Balance at January 1, 2016 and 2017 $ 54,820 Additional goodwill related to acquisition 36,151 Balance at June 30, 2017 $ 90,971 The following table summarizes our preliminary purchase price allocation at the acquisition closing date (in thousands): Cash $ -- Accounts receivable 13,618 Costs and estimated earnings in excess of billings on uncompleted contracts 2,944 Inventory 1,218 Other current assets 54 Property, plant and equipment 565 Other assets, net 1 Identifiable intangible assets and Goodwill 76,151 Accounts payable (9,449 ) Billings in excess of costs and estimated earnings on uncompleted contracts (303 ) Accrued expenses (823 ) State income tax payable (268 ) Total Consideration $ 83,708 The purchase price allocation and related amortization periods are based upon preliminary information and are subject to change when additional information concerning final asset and liability valuations is obtained. We have not may $40.0 $0.5 three June 30, 2017. 10% $4.0 $0.2 Supplemental Pro Forma Information (Unaudited) The following unaudited pro forma condensed combined financial information (“the pro forma financial information”) gives effect to the acquisition of Tealstone by Sterling, accounted for as a business combination using the purchase method of accounting. To give effect to the Tealstone Acquisition for pro forma financial information purposes, Tealstone’s commercial historical results were brought to within one three six June 30, 2017, three six May 31, 2017, 1 2 3 three six June 30, 2017. not not Three Months Six Months 2017 2016 2017 2016 Pro forma Revenue $ 250,032 $ 236,712 $ 444,957 $ 402,771 Pro forma net income attributable to Sterling $ 3,190 $ 6,536 $ 1,716 $ 3,046 |
Note 3 - Cash and Cash Equivale
Note 3 - Cash and Cash Equivalents and Restricted Cash | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Cash and Cash Equivalents Disclosure [Text Block] | 3. Cash and Cash Equivalents and Restricted Cash The Company considers all highly liquid investments with original or remaining maturities of three 6 June 30, 2017 December 31, 2016, $19.7 $24.1 June 30, 2017 December 31, 2016, $19.6 $10.9 not Restricted cash of approximately $3.0 June 30, 2017 December 31, 2016 9 $2.0 June 30, 2017 December 31, 2016 The Company holds cash on deposit in U.S. banks, at times, in excess of federally insured limits. Management does not |
Note 4 - Subsidiaries and Joint
Note 4 - Subsidiaries and Joint Ventures With Noncontrolling Owners' Interests | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Noncontrolling Interest Disclosure [Text Block] | 4. Subsidiaries and Joint Ventures with Noncontrolling Owners’ Interests The amended agreements, as described in Note 4 2016 10 50% $40.0 June 30, 2017 December 31, 2016 Members’ interest subject to mandatory redemption $ 40,000 $ 40,000 Net accumulated earnings 6,346 5,230 Total liability $ 46,346 $ 45,230 Earnings, which were included in net accumulated earnings and represent 50% three six June 30, 2017 $2.6 $2.5 $3.9 June 30, 2016. Changes in Noncontrolling Interests The following table summarizes the changes in the noncontrolling owners’ interests in subsidiaries and joint ventures (amounts in thousands): Six Months Ended 2017 2016 Balance, beginning of period $ 656 $ (91 ) Net income attributable to noncontrolling interest included in equity 1,272 512 Distributions to noncontrolling interest owners - - Balance, end of period $ 1,928 $ (421 ) The increase in net income attributable to noncontrolling interest included in equity is due to the Company’s the addition of a Utah based majority-owned joint venture which was not |
Note 5 - Construction Joint Ven
Note 5 - Construction Joint Ventures | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Equity Method Investments and Joint Ventures Disclosure [Text Block] | 5. Construction Joint Ventures The Company participates in various construction joint ventures. Generally, each construction joint venture is formed to construct a specific project and is jointly controlled by the joint venture partners. Refer to Note 5 2016 10 June 30, December 31, Total combined: Current assets $ 45,034 $ 32,592 Less current liabilities (64,672 ) (57,598 ) Net assets $ (19,638 ) $ (25,006 ) Backlog $ 75,670 $ 107,333 Sterling’s noncontrolling interest in backlog $ 38,751 $ 52,992 Sterling’s receivables from and equity in construction joint ventures $ 7,463 $ 7,130 Three Months Ended Six Months Ended 2017 2016 2017 2016 Total combined: Revenues $ 18,897 $ 19,750 $ 33,507 $ 28,554 Income before tax 1,497 1,379 2,670 1,913 Sterling’s noncontrolling interest: Revenues $ 8,674 $ 7,684 $ 15,163 $ 11,464 Income before tax 718 593 1,271 851 Approximately $39 June 30, 2017 50% The caption “Receivables from and equity in construction joint ventures” includes undistributed earnings and receivables owed to the Company. Undistributed earnings are typically released to the joint venture partners after the customer accepts the project as complete and the warranty period, if any, has passed. |
Note 6 - Variable Interest Enti
Note 6 - Variable Interest Entities | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Variable Interest Entities [Text Block] | 6. Variable Interest Entities The Company owns a 50% August 1, 2011, 6 2016 10 The condensed financial information of Myers, which is reflected in the Company’s condensed consolidated balance sheets and statements of operations, is as follows (amounts in thousands): June 30, 2017 December 31, 2016 Assets: Current assets: Cash and cash equivalents $ 2,348 $ 9,655 Contracts receivable, including retainage 25,991 15,046 Other current assets 11,702 10,208 Total current assets 40,041 34,909 Property and equipment, net 9,077 9,824 Goodwill 1,501 1,501 Total assets $ 50,619 $ 46,234 Liabilities: Current liabilities: Accounts payable $ 20,160 $ 21,274 Other current liabilities 17,504 8,782 Total current liabilities 37,664 30,056 Long-term liabilities: Other long-term liabilities 321 5,373 Total liabilities $ 37,985 $ 35,429 Three Months Ended Six Months Ended June 30, 2017 2016 2017 2016 Revenues $ 38,783 $ 43,967 $ 62,067 $ 70,910 Operating income 2,246 1,982 2,640 2,174 Net income attributable to Sterling common stockholders 1,121 989 1,316 1,083 |
Note 7 - Property and Equipment
Note 7 - Property and Equipment | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Property, Plant and Equipment Disclosure [Text Block] | 7. Property and Equipment Property and equipment are summarized as follows (amounts in thousands): June 30, December 31, Construction equipment $ 120,991 $ 121,441 Transportation equipment 19,060 19,017 Buildings 8,713 12,771 Office equipment 3,108 3,108 Leasehold improvement 914 914 Construction in progress 317 313 Land 3,509 3,509 Water rights 200 200 156,812 161,273 Less accumulated depreciation (95,537 ) (93,146 ) Total property and equipment, net $ 61,275 $ 68,127 During the quarter ended June 30, 2017, one $4.1 $3.2 third 2017. $0.9 June 30, 2017. |
Note 8 - Debt
Note 8 - Debt | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Debt Disclosure [Text Block] | 8. Debt Debt consists of the following (in thousands): June 30, December 31, Loan $ 85,000 $ 3.532 Less deferred loan costs and discount (9,869 ) (803 ) Total Loan, net 75,131 2,729 Notes and deferred payments to sellers, Tealstone acquisition 11,909 - Notes payable for transportation and construction equipment and other 2,124 2,665 89,164 5,394 Current maturities of long-term debt 1,039 4,648 Less current deferred loan costs - (803 ) Less current maturities of long-term debt, net (1,039 ) (3,845 ) Total long-term debt $ 88,125 $ 1,549 On April 3, 2017, $85,000,000 April 4, 2022, Interest on the Loan is equal to the one two three six 8.75% no 75% The Loan Agreement contains various covenants that limit, among other things, the Company’s ability and certain of its subsidiaries’ ability to incur certain indebtedness, grant certain liens, merge or consolidate, sell assets, make certain loans, enter into acquisitions, incur capital expenditures, make investments, and pay dividends. In addition, the Company is required to maintain the following principal financial covenants: · a ratio of secured indebtedness to EBITDA of not 3.10 1.00 four June 30, 2017, 1.80 1.00 four September 30, 2019; · daily cash collateral of not $10,000,000 June 30, 2017, $15,000,000 October 1, 2017, $18,000,000 April 4, 2018; · a rolling four not $60,000,000 June 30, 2017, $70,000,000 March 31, 2019; · the incurrence of net capital expenditures during each four not $15,000,000; · bonding capacity shall be maintained at all times in an amount not $1,000,000,000; · the EBITDA of Tealstone Residential Concrete, Inc. shall not $12,000,000 four June 30, 2017. The Company is in compliance with these covenants at June 30, 2017. The Loan Agreement also includes customary events of default, including events of default relating to non-payment of principal or interest, inaccuracy of representations and warranties, breaches of covenants, cross-defaults, bankruptcy and insolvency events, certain unsatisfied judgments, loan documents not Deferred loan costs and discounts totaled $10.4 $3.5 11 five $0.5 three six June 30, 2017. As part of the extinguishment of our prior credit facility, $0.8 three six June 30, 2017. Fair Value The Company’s debt is recorded at its carrying amount in the condensed consolidated balance sheets. As of June 30, 2017 December 31, 2016, $85.0 $3.5 no June 30, 2017 no December 31, 2016. Notes and Deferred Payments to Sellers As part of the Tealstone Acquisition, the Company issued $5,000,000 $2,500,000, $7,500,000 12% $11.6 $0.3 three six June 30, 2017, Notes Payable for Transportation and Construction Equipment The Company has purchased and financed various transportation and construction equipment to enhance the Company’s fleet of equipment. The total long-term notes payable related to the purchase of financed equipment was $2.1 $2.7 June 30, 2017 December 31, 2016, 3 5 3.15% 6.92% Interest Expense Interest expense related to our Loan and prior credit facility and other debt for the three six June 30, 2017 $3.0 $3.1 $0.8 $1.7 three six June 30, 2016, |
Note 9 - Commitments and Contin
Note 9 - Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Commitments and Contingencies Disclosure [Text Block] | 9. Commitments and Contingencies The Company is required by our former insurance provider to obtain and hold a standby letter of credit. This letter of credit serves as a guarantee by the banking institution to pay our former insurance provider the incurred claim costs attributable to our general liability, workers compensation and automobile liability claims, up to the amount stated in the standby letter of credit, in the event that these claims were not 3 The Company is the subject of certain other claims and lawsuits occurring in the normal course of business. Management, after consultation with legal counsel, does not |
Note 10 - Income Taxes
Note 10 - Income Taxes | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Income Tax Disclosure [Text Block] | 10. Income Taxes The Company and its subsidiaries file U.S. federal and various U.S. state income tax returns. Current income tax expense or (benefit) represents federal and state taxes based on tax paid or expected to be payable or receivable for the periods shown in the condensed consolidated statements of operations. The Company is expecting a current federal liability for alternative minimum tax. The Company may not three six June 30, 2017 three six June 30, 2016. The Company’s deferred tax expense or (benefit) reflects the change in deferred tax assets or liabilities. The Company performs an analysis at the end of each reporting period to determine whether it is more likely than not June 30, 2017 December 31, 2016. no three six June 30, 2017. As a result of the Company’s analysis, management has determined that the Company does not |
Note 11 - Stockholder's Equity
Note 11 - Stockholder's Equity | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Stockholders' Equity Note Disclosure [Text Block] | 11. Stockholder’s Equity Stock Offering On April 3, 2017, 1,882,058 $17.1 On May 9, 2016, 5,175,000 $4.00 $3.77 $19.1 Warrants On April 3, 2017, five 1,000,000 $10.25 The Company valued these Warrants using the Black-Scholes model, which is a type 3 At April 3, Current stock price $ 8.88 Exercise option price $ 10.25 Expected term of warrants (in years) 5 Expected volatility rate 48.29 % Risk-free rate 1.88 % Expected dividend yield 0.00 % Based on these inputs, the total fair value of the warrants was $3.5 Stock-Based Compensation The Company has a stock-based incentive plan that is administered by the Compensation Committee of the Board of Directors. Refer to Note 14 2016 10 During the three six June 30, 2017, 102,571 166,410 $1.4 $2.0 three six June 30, 2017, $0.7 $0.4 $0.8 three six June 30, 2016, At June 30, 2017 2016, $1.5 $2.7 2.2 June 30, 2017, 0.5 |
Note 12 - Net Income (Loss) Per
Note 12 - Net Income (Loss) Per Share Attributable to Sterling Common Stockholders | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Earnings Per Share [Text Block] | 12. Net Income (Loss) per Share Attributable to Sterling Common Stockholders Basic net income (loss) per share attributable to Sterling common stockholders is computed by dividing net income (loss) attributable to Sterling common stockholders by the weighted average number of common shares outstanding during the period. Diluted net income (loss) per common share attributable to Sterling common stockholders is the same as basic net income (loss) per share attributable to Sterling common stockholders but includes dilutive unvested stock and warrants using the treasury stock method. The following table reconciles the numerators and denominators of the basic and diluted per common share computations for net income (loss) attributable to Sterling common stockholders (amounts in thousands, except per share data): Three Months Six Months 2017 2016 2017 2016 Numerator: Net income (loss) attributable to Sterling common stockholders $ 3,662 $ 2,023 $ 1,405 $ (5,305 ) Weighted average common shares outstanding — basic 26,978 22,762 25,972 21,261 Shares for dilutive unvested stock and warrants 358 197 437 - Weighted average common shares outstanding and incremental shares assumed repurchased— diluted 27,336 22,959 26,409 21,261 Basic income (loss) per share attributable to Sterling common stockholders $ 0.14 $ 0.09 $ 0.05 $ (0.25 ) Diluted income (loss) per share attributable to Sterling common stockholders $ 0.13 $ 0.09 $ 0.05 $ (0.25 ) In accordance with the treasury stock method approximately 0.2 six June 30, 2016, 1.0 three six June 30, 2017, |
Note 13 - Segment Information
Note 13 - Segment Information | 6 Months Ended |
Jun. 30, 2017 | |
Notes to Financial Statements | |
Segment Reporting Disclosure [Text Block] | 13. Segment Information Due to the April 3, 2017 two two two one Segment reporting is aligned based upon the services offered by our two The following table presents total revenue and income from operations by reportable segment for the three six June 30, 2017 2016 Three Months Ended Six Months 2017 2016 2017 2016 Revenue Heavy Civil Construction $ 209,194 $ 189,582 $ 362,610 $ 316,149 Residential Construction 37,218 - 37,218 - Total Revenue $ 246,412 $ 189,582 $ 399,828 $ 316,149 Operating Income Heavy Civil Construction $ 3,141 $ 3,381 $ 1,667 $ (3,085 ) Residential Construction 5,215 - 4,901 - Total Operating Income $ 8,356 $ 3,381 $ 6,568 $ (3,085 ) From the acquisition closing date of April 3, 2017, June 30, 2017, $42.5 $5.5 The following table presents total assets by reportable segment at June 30, 2017 December 31, 2016: June 30, December 31, 2016 Assets Heavy Civil Construction $ 356,661 $ 301,823 Residential Construction 98,792 - Total Assets $ 455,453 $ 301,823 The Company is in the process of finalizing the purchase accounting, which will affect the allocation of goodwill by reportable segments. Refer to Note 2. $36.2 |
Significant Accounting Policies
Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2017 | |
Accounting Policies [Abstract] | |
Consolidation, Policy [Policy Text Block] | Principles of Consolidation The accompanying condensed consolidated financial statements include the accounts of subsidiaries and construction joint ventures in which the Company has a greater than 50% not not no 50%. 4 Where the Company is a noncontrolling joint venture partner, and otherwise not 5 Under GAAP, the Company must determine whether each entity, including joint ventures in which it participates, is a variable interest entity (“VIE”). This determination focuses on identifying which owner or joint venture partner, if any, has the power to direct the activities of the entity and the obligation to absorb losses of the entity or the right to receive benefits from the entity disproportionate to its interest in the entity, which could have the effect of requiring the Company to consolidate the entity in which it has a noncontrolling variable interest. Refer to Note 6 |
Use of Estimates, Policy [Policy Text Block] | Use of Estimates The preparation of the accompanying condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Certain of the Company’s accounting policies require higher degrees of judgment than others in their application. These include the recognition of revenue and earnings from construction contracts under the percentage-of-completion method, the valuation of long-term assets, purchase accounting, including intangibles and goodwill, and income taxes. Management continually evaluates all of its estimates and judgments based on available information and experience; however, actual results could differ from these estimates. |
Reclassification, Policy [Policy Text Block] | Reclassification Reclassifications have been made to historical financial data on our condensed consolidated financial statements to conform to our current year presentation. |
Revenue Recognition, Percentage-of-Completion Method [Policy Text Block] | Revenue Recognition Heavy Civil Construction The Company engages in various types of heavy civil construction projects principally for public (government) owners. Credit risk is minimal with public owners since the Company ascertains that funds have been appropriated by the governmental project owner prior to commencing work on such projects. While most public contracts are subject to termination at the election of the government entity, in the event of termination the Company is entitled to receive the contract price for completed work and reimbursement of termination-related costs. Credit risk with private owners is minimized because of statutory mechanic’s liens, which give the Company high priority in the event of lien foreclosures following financial difficulties of private owners. Our contracts generally take 12 36 one two Revenues are recognized on the percentage-of-completion method, measured by the ratio of costs incurred up to a given date to estimated total costs for each contract. This cost to cost measure is used because management considers it to be the best available measure of progress on these contracts. Contract costs include all direct material, labor, subcontract and other costs and those indirect costs related to contract performance, such as indirect salaries and wages, equipment repairs and depreciation, insurance and payroll taxes. Administrative and general expenses are charged to expense as incurred. Provisions for estimated losses on uncompleted contracts are made in the period in which such losses are determined. Changes in job performance, job conditions and estimated profitability, including those changes arising from contract penalty provisions and final contract settlements may Changes in estimated revenues and gross margin resulted in a net charge of $1.8 $1.1 three six June 30, 2017, . $0.7 $0.5 three six June 30, 2016, . Change orders are modifications of an original contract that effectively change the existing provisions of the contract without adding new provisions or terms. Change orders may may The Company considers unapproved change orders to be contract variations for which we have customer approval for a change of scope but a price change associated with the scope change has not may The Company considers claims to be amounts in excess of agreed contract prices that we seek to collect from our customers or others for customer-caused delays, errors in specifications and designs, contract terminations, change orders that are either in dispute or are unapproved as to both scope and price, or other causes of unanticipated additional contract costs. Claims are included in the calculation of revenue when realization is probable and amounts can be reliably determined to the extent costs are incurred. To support these requirements, the existence of the following items must be satisfied: (i) The contract or other evidence provides a legal basis for the claim; or a legal opinion has been obtained, stating that under the circumstances there is a reasonable basis to support the claim; (ii) Additional costs are caused by circumstances that were unforeseen at the contract date and are not not may not The Company has projects where we are in the process of negotiating, or awaiting final approval of, unapproved change orders and claims with our customers. The Company is proceeding with its contractual rights to recoup additional costs incurred from its customers based on completing work associated with change orders, including change orders with pending change order pricing, or claims related to significant changes in scope which resulted in substantial delays and additional costs in completing the work. Unapproved change order and claim information has been provided to our customers and negotiations with the customers are ongoing. If additional progress with an acceptable resolution is not Based upon our review of the provisions of our contracts, specific costs incurred and other related evidence supporting the unapproved change orders, claims and our entitled unpaid project price, together with the views of the Company’s outside claim consultants, we concluded that including the unapproved change order, claim and entitled unpaid project price amounts of $1.4 $12.0 $3.9 June 30, 2017, $2.2 $9.2 $3.9 December 31, 2016, may Residential Construction Residential construction revenue and related profit is recognized when construction is completed. The time from starting construction to finishing is typically one |
Fair Value of Financial Instruments, Policy [Policy Text Block] | Financial Instruments and Fair Value The fair value of financial instruments is the amount at which the instrument could be exchanged in a current transaction between willing parties. The Company’s financial instruments are cash and cash equivalents, restricted cash used as collateral for a letter of credit and restricted cash maintained in an escrow account, short-term contracts receivable, accounts payable, notes payable, and a term loan (the “Loan”) with Oaktree Capital Management, L.P. The recorded values of cash and cash equivalents, restricted cash, short-term contracts receivable and accounts payable approximate their fair values based on their liquidity and/or short-term nature. Refer to Note 8 not 10 2016 10 In order to assess the fair value of the Company’s financial instruments, the Company uses the fair value hierarchy established by GAAP which prioritizes the inputs used in valuation techniques into the following three Level 1 Level 2 1 not Level 3 For each financial instrument, the Company uses the highest priority level input that is available in order to appropriately value that particular instrument. In certain instances, Level 1 not 2 3 |
New Accounting Pronouncements, Policy [Policy Text Block] | Recently Adopted Accounting Pronouncements In January 2017, No. 2017 04 350 2 two December 15, 2019. January 1, 2017. January 1, 2017. not Recently Issued Accounting Pronouncements In May 2017, No. 2017 09 718 December 15, 2017. not In January 2017, No. 2017 01 805 not 606. December 15, 2017 not In November 2016, No. 2016 18 230 December 15, 2017, not In August 2016, No. 2016 15 230 December 15, 2018. In February 2016, No. 2016 02, 842 December 15, 2018, In May 2014, 2014 09, five 1 2 3 4 5 August 2015, 2015 14 2014 09 one 2014 09 December 15, 2017, No. 2016 08, No. 2016 10, 2016 12, The new revenue recognition standard prescribes a five not We will adopt the requirements of the new standard effective January 1, 2018 not 2017. |
Note 2 - Tealstone Acquisition
Note 2 - Tealstone Acquisition (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | Cash $ 55,000 Common stock (1,882,058 shares) 17,061 Promissory notes 4,436 Deferred payments 7,211 Total $ 83,708 Cash $ -- Accounts receivable 13,618 Costs and estimated earnings in excess of billings on uncompleted contracts 2,944 Inventory 1,218 Other current assets 54 Property, plant and equipment 565 Other assets, net 1 Identifiable intangible assets and Goodwill 76,151 Accounts payable (9,449 ) Billings in excess of costs and estimated earnings on uncompleted contracts (303 ) Accrued expenses (823 ) State income tax payable (268 ) Total Consideration $ 83,708 |
Business Combination, Segment Allocation [Table Text Block] | Balance at January 1, 2016 and 2017 $ 54,820 Additional goodwill related to acquisition 36,151 Balance at June 30, 2017 $ 90,971 |
Business Acquisition, Pro Forma Information [Table Text Block] | Three Months Six Months 2017 2016 2017 2016 Pro forma Revenue $ 250,032 $ 236,712 $ 444,957 $ 402,771 Pro forma net income attributable to Sterling $ 3,190 $ 6,536 $ 1,716 $ 3,046 |
Note 4 - Subsidiaries and Joi23
Note 4 - Subsidiaries and Joint Ventures With Noncontrolling Owners' Interests (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Schedule of Components of Agreement Obligation [Table Text Block] | June 30, 2017 December 31, 2016 Members’ interest subject to mandatory redemption $ 40,000 $ 40,000 Net accumulated earnings 6,346 5,230 Total liability $ 46,346 $ 45,230 |
Schedule of Changes in Noncontrolling Interests and Joint Ventures [Table Text Block] | Six Months Ended 2017 2016 Balance, beginning of period $ 656 $ (91 ) Net income attributable to noncontrolling interest included in equity 1,272 512 Distributions to noncontrolling interest owners - - Balance, end of period $ 1,928 $ (421 ) |
Note 5 - Construction Joint V24
Note 5 - Construction Joint Ventures (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Condensed Balance Sheet [Table Text Block] | June 30, December 31, Total combined: Current assets $ 45,034 $ 32,592 Less current liabilities (64,672 ) (57,598 ) Net assets $ (19,638 ) $ (25,006 ) Backlog $ 75,670 $ 107,333 Sterling’s noncontrolling interest in backlog $ 38,751 $ 52,992 Sterling’s receivables from and equity in construction joint ventures $ 7,463 $ 7,130 |
Condensed Income Statement [Table Text Block] | Three Months Ended Six Months Ended 2017 2016 2017 2016 Total combined: Revenues $ 18,897 $ 19,750 $ 33,507 $ 28,554 Income before tax 1,497 1,379 2,670 1,913 Sterling’s noncontrolling interest: Revenues $ 8,674 $ 7,684 $ 15,163 $ 11,464 Income before tax 718 593 1,271 851 |
Note 6 - Variable Interest En25
Note 6 - Variable Interest Entities (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Schedule of Variable Interest Entities [Table Text Block] | June 30, 2017 December 31, 2016 Assets: Current assets: Cash and cash equivalents $ 2,348 $ 9,655 Contracts receivable, including retainage 25,991 15,046 Other current assets 11,702 10,208 Total current assets 40,041 34,909 Property and equipment, net 9,077 9,824 Goodwill 1,501 1,501 Total assets $ 50,619 $ 46,234 Liabilities: Current liabilities: Accounts payable $ 20,160 $ 21,274 Other current liabilities 17,504 8,782 Total current liabilities 37,664 30,056 Long-term liabilities: Other long-term liabilities 321 5,373 Total liabilities $ 37,985 $ 35,429 |
Condensed Income Statement [Table Text Block] | Three Months Ended Six Months Ended 2017 2016 2017 2016 Total combined: Revenues $ 18,897 $ 19,750 $ 33,507 $ 28,554 Income before tax 1,497 1,379 2,670 1,913 Sterling’s noncontrolling interest: Revenues $ 8,674 $ 7,684 $ 15,163 $ 11,464 Income before tax 718 593 1,271 851 |
Myers and Sons Construction [Member] | |
Notes Tables | |
Condensed Income Statement [Table Text Block] | Three Months Ended Six Months Ended June 30, 2017 2016 2017 2016 Revenues $ 38,783 $ 43,967 $ 62,067 $ 70,910 Operating income 2,246 1,982 2,640 2,174 Net income attributable to Sterling common stockholders 1,121 989 1,316 1,083 |
Note 7 - Property and Equipme26
Note 7 - Property and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Property, Plant and Equipment [Table Text Block] | June 30, December 31, Construction equipment $ 120,991 $ 121,441 Transportation equipment 19,060 19,017 Buildings 8,713 12,771 Office equipment 3,108 3,108 Leasehold improvement 914 914 Construction in progress 317 313 Land 3,509 3,509 Water rights 200 200 156,812 161,273 Less accumulated depreciation (95,537 ) (93,146 ) Total property and equipment, net $ 61,275 $ 68,127 |
Note 8 - Debt (Tables)
Note 8 - Debt (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Schedule of Long-term Debt Instruments [Table Text Block] | June 30, December 31, Loan $ 85,000 $ 3.532 Less deferred loan costs and discount (9,869 ) (803 ) Total Loan, net 75,131 2,729 Notes and deferred payments to sellers, Tealstone acquisition 11,909 - Notes payable for transportation and construction equipment and other 2,124 2,665 89,164 5,394 Current maturities of long-term debt 1,039 4,648 Less current deferred loan costs - (803 ) Less current maturities of long-term debt, net (1,039 ) (3,845 ) Total long-term debt $ 88,125 $ 1,549 |
Note 11 - Stockholder's Equity
Note 11 - Stockholder's Equity (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Table Text Block] | At April 3, Current stock price $ 8.88 Exercise option price $ 10.25 Expected term of warrants (in years) 5 Expected volatility rate 48.29 % Risk-free rate 1.88 % Expected dividend yield 0.00 % |
Note 12 - Net Income (Loss) P29
Note 12 - Net Income (Loss) Per Share Attributable to Sterling Common Stockholders (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Three Months Six Months 2017 2016 2017 2016 Numerator: Net income (loss) attributable to Sterling common stockholders $ 3,662 $ 2,023 $ 1,405 $ (5,305 ) Weighted average common shares outstanding — basic 26,978 22,762 25,972 21,261 Shares for dilutive unvested stock and warrants 358 197 437 - Weighted average common shares outstanding and incremental shares assumed repurchased— diluted 27,336 22,959 26,409 21,261 Basic income (loss) per share attributable to Sterling common stockholders $ 0.14 $ 0.09 $ 0.05 $ (0.25 ) Diluted income (loss) per share attributable to Sterling common stockholders $ 0.13 $ 0.09 $ 0.05 $ (0.25 ) |
Note 13 - Segment Information (
Note 13 - Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Notes Tables | |
Schedule of Segment Reporting Information, by Segment [Table Text Block] | Three Months Ended Six Months 2017 2016 2017 2016 Revenue Heavy Civil Construction $ 209,194 $ 189,582 $ 362,610 $ 316,149 Residential Construction 37,218 - 37,218 - Total Revenue $ 246,412 $ 189,582 $ 399,828 $ 316,149 Operating Income Heavy Civil Construction $ 3,141 $ 3,381 $ 1,667 $ (3,085 ) Residential Construction 5,215 - 4,901 - Total Operating Income $ 8,356 $ 3,381 $ 6,568 $ (3,085 ) June 30, December 31, 2016 Assets Heavy Civil Construction $ 356,661 $ 301,823 Residential Construction 98,792 - Total Assets $ 455,453 $ 301,823 |
Note 1 - Business Summary and31
Note 1 - Business Summary and Significant Accounting Policies (Details Textual) | Apr. 03, 2017USD ($) | Jun. 30, 2017USD ($) | Jun. 30, 2016USD ($) | Jun. 30, 2017USD ($) | Jun. 30, 2016USD ($) | Dec. 31, 2016USD ($) |
Number of Reportable Segments | 2 | 2 | ||||
Ownership Interest in Joint Venture | 50.00% | |||||
Costs and Estimated Earnings in Excess of Billings [Member] | ||||||
Contracts Receivable, Claims and Uncertain Amounts | $ 12,000,000 | $ 12,000,000 | $ 9,200,000 | |||
Contracts Receivable, Unpaid Project Contract Price | 3,900,000 | 3,900,000 | 3,900,000 | |||
Unapproved Change Orders, Amount | 1,400,000 | 1,400,000 | $ 2,200,000 | |||
Operating Income (Loss) [Member] | ||||||
Estimated Construction Gross (Loss) Profit, Before Tax | $ 1,800,000 | $ 700,000 | $ 1,100,000 | $ (500,000) | ||
Minimum [Member] | ||||||
Ownership Interest in Joint Venture | 50.00% | |||||
Revenue Recognition Percentage of Completion Range | 12 years | |||||
Warranty Term | 1 year | |||||
Maximum [Member] | ||||||
Revenue Recognition Percentage of Completion Range | 36 years | |||||
Warranty Term | 2 years | |||||
Loan and Security Agreement [Member] | Wilmington Trust, National Association [Member] | Senior Secured Term Loans [Member] | ||||||
Debt Instrument, Face Amount | $ 85,000,000 | |||||
Tealstone Construction [Member] | ||||||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% |
Note 2 - Tealstone Acquisitio32
Note 2 - Tealstone Acquisition (Details Textual) - USD ($) | Apr. 03, 2020 | Apr. 03, 2019 | Apr. 03, 2017 | Jun. 30, 2017 | Jun. 30, 2017 | Dec. 31, 2016 |
Goodwill | $ 90,971,000 | $ 90,971,000 | $ 54,820,000 | |||
Common Stock [Member] | ||||||
Stock Issued During Period, Shares, Acquisitions | 1,882,000 | |||||
Tealstone Construction [Member] | ||||||
Business Acquisition, Percentage of Voting Interests Acquired | 100.00% | |||||
Payments to Acquire Businesses, Gross | $ 55,000,000 | |||||
Business Combination, Consideration Transferred, Liabilities Incurred | 4,436,000 | |||||
Business Combination, Contingent Consideration, Liability | 15,000,000 | |||||
Business Combination, Consideration Transferred | $ 83,708,000 | |||||
Fair Value Inputs, Discount Rate | 12.00% | |||||
Goodwill | $ 36,200,000 | 90,971,000 | $ 90,971,000 | $ 54,820,000 | ||
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Intangible Assets, Other than Goodwill | $ 40,000,000 | |||||
Amortization of Intangible Assets | 500,000 | |||||
Goodwill, Purchase Accounting Adjustments, With 10% Change in Valuation of Intangible Assets | 4,000,000 | |||||
Business Combination, Provisional Information, Amortization Expense Adjustment, With 10% Change in Valuation of Intangible Assets | $ 200,000 | |||||
Tealstone Construction [Member] | Scenario, Forecast [Member] | ||||||
Payments to Acquire Businesses, Gross | $ 7,500,000 | $ 2,500,000 | ||||
Tealstone Construction [Member] | Common Stock [Member] | ||||||
Stock Issued During Period, Shares, Acquisitions | 1,882,058 |
Note 2 - Tealstone Acquisitio33
Note 2 - Tealstone Acquisition - Acquisition-date Fair Value of Consideration Transferred (Details) - Tealstone Construction [Member] | Apr. 03, 2017USD ($) |
Cash | $ 55,000,000 |
Common stock (1,882,058 shares) | 17,061,000 |
Promissory notes | 4,436,000 |
Deferred payments | 7,211,000 |
Total | 83,708,000 |
Cash | |
Accounts receivable | 13,618,000 |
Costs and estimated earnings in excess of billings on uncompleted contracts | 2,944,000 |
Inventory | 1,218,000 |
Other current assets | 54,000 |
Property, plant and equipment | 565,000 |
Other assets, net | 1,000 |
Identifiable intangible assets and Goodwill | 76,151,000 |
Accounts payable | (9,449,000) |
Billings in excess of costs and estimated earnings on uncompleted contracts | (303,000) |
Accrued expenses | (823,000) |
State income tax payable | (268,000) |
Total Consideration | $ 83,708,000 |
Note 2 - Tealstone Acquisitio34
Note 2 - Tealstone Acquisition - Acquisition-date Fair Value of Consideration Transferred (Details) (Parentheticals) | Apr. 03, 2017shares |
Tealstone Construction [Member] | |
Common stock, shares (in shares) | 1,882,058 |
Note 2 - Tealstone Acquisitio35
Note 2 - Tealstone Acquisition - Preliminary Goodwill (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2017USD ($) | |
Balance at January 1, 2016 and 2017 | $ 54,820 |
Balance at June 30, 2017 | 90,971 |
Tealstone Construction [Member] | |
Balance at January 1, 2016 and 2017 | 54,820 |
Additional goodwill related to acquisition | 36,151 |
Balance at June 30, 2017 | $ 90,971 |
Note 2 - Tealstone Acquisitio36
Note 2 - Tealstone Acquisition - Supplemental Pro Forma Information (Unaudited) (Details) - Tealstone Construction [Member] - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Pro forma Revenue | $ 250,032 | $ 236,712 | $ 444,957 | $ 402,771 |
Pro forma net income attributable to Sterling | $ 3,190 | $ 6,536 | $ 1,716 | $ 3,046 |
Note 3 - Cash and Cash Equiva37
Note 3 - Cash and Cash Equivalents and Restricted Cash (Details Textual) - USD ($) $ in Millions | Jun. 30, 2017 | Dec. 31, 2016 |
Other Assets [Member] | ||
Restricted Cash and Cash Equivalents | $ 3 | |
Other Current Assets [Member] | ||
Restricted Cash and Cash Equivalents | 2 | |
Majority Owned Joint Ventures [Member] | ||
Restricted Cash and Cash Equivalents | 19.6 | $ 10.9 |
Less Than Wholly-Owned Subsidiaries [Member] | ||
Restricted Cash and Cash Equivalents | $ 19.7 | $ 24.1 |
Note 4 - Subsidiaries and Joi38
Note 4 - Subsidiaries and Joint Ventures With Noncontrolling Owners' Interests (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2016 | |
Members Interest Subject to Mandatory Redemption | $ 40,000 | $ 40,000 | $ 40,000 | ||
Myers [Member] | |||||
Noncontrolling Interest, Ownership Percentage by Noncontrolling Owners | 50.00% | 50.00% | |||
Myers [Member] | Upon Death [Member] | |||||
Income (Loss) from Subsidiaries, before Tax | $ 2,600 | $ 3,900 | $ 2,500 | $ 3,900 |
Note 4 - Subsidiaries and Joi39
Note 4 - Subsidiaries and Joint Ventures with Noncontrolling Owners' Interests - Components of Noncontrolling Interest Subject to Mandatory Redemption (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Members’ interest subject to mandatory redemption | $ 40,000 | $ 40,000 |
Net accumulated earnings | 6,346 | 5,230 |
Total liability | $ 46,346 | $ 45,230 |
Note 4 - Subsidiaries and Joi40
Note 4 - Subsidiaries and Joint Ventures With Noncontrolling Owners' Interests - Changes In Noncontrolling Owners' Interests (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Balance, beginning of period | $ 656 | $ (91) | ||
Net income attributable to noncontrolling interest included in equity | $ 901 | $ 520 | 1,272 | 512 |
Distributions to noncontrolling interest owners | ||||
Balance, end of period | $ 1,928 | $ (421) | $ 1,928 | $ (421) |
Note 5 - Construction Joint V41
Note 5 - Construction Joint Ventures (Details Textual) $ in Millions | Jun. 30, 2017USD ($) |
Construction Backlog Attributable to Project Performed by Joint Ventures | $ 39 |
Granite Construction Corporation [Member] | |
Equity Method Investment, Ownership Percentage | 50.00% |
Note 5 - Construction Joint V42
Note 5 - Construction Joint Ventures - Construction Joint Ventures, Partner Share (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Current assets | $ 260,749 | $ 175,908 |
Less current liabilities | (187,323) | (146,592) |
Sterling’s receivables from and equity in construction joint ventures | 7,463 | 7,130 |
Joint Ventures [Member] | ||
Current assets | 45,034 | 32,592 |
Less current liabilities | (64,672) | (57,598) |
Net assets | (19,638) | (25,006) |
Backlog | 75,670 | 107,333 |
Sterling’s noncontrolling interest in backlog | 38,751 | 52,992 |
Sterling’s receivables from and equity in construction joint ventures | $ 7,463 | $ 7,130 |
Note 5 - Construction Joint V43
Note 5 - Construction Joint Ventures - Construction Joint Ventures, Partner Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Revenues | $ 246,412 | $ 189,582 | $ 399,828 | $ 316,149 |
Revenues | 1,272 | 512 | ||
Joint Ventures [Member] | ||||
Revenues | 18,897 | 19,750 | 33,507 | 28,554 |
Income before tax | 1,497 | 1,379 | 2,670 | 1,913 |
Revenues | 8,674 | 7,684 | 15,163 | 11,464 |
Income before tax | $ 718 | $ 593 | $ 1,271 | $ 851 |
Note 6 - Variable Interest En44
Note 6 - Variable Interest Entities (Details Textual) | 6 Months Ended |
Jun. 30, 2017 | |
Myers [Member] | |
Variable Interest Entity, Qualitative or Quantitative Information, Ownership Percentage | 50.00% |
Note 6 - Variable Interest En45
Note 6 - Variable Interest Entities - Consolidated Balance Sheet - Myers (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 | Jun. 30, 2016 | Dec. 31, 2015 |
Current assets: | ||||
Cash and cash equivalents | $ 60,058 | $ 42,785 | $ 42,635 | $ 4,426 |
Contracts receivable, including retainage | 137,913 | 84,132 | ||
Other current assets | 11,206 | 5,448 | ||
Total current assets | 260,749 | 175,908 | ||
Property and equipment, net | 61,275 | 68,127 | ||
Goodwill | 90,971 | 54,820 | ||
Total assets | 455,453 | 301,823 | ||
Current liabilities: | ||||
Accounts payable | 89,468 | 67,097 | ||
Total current liabilities | 187,323 | 146,592 | ||
Variable Interest Entity, Primary Beneficiary [Member] | ||||
Current assets: | ||||
Cash and cash equivalents | 2,348 | 9,655 | ||
Contracts receivable, including retainage | 25,991 | 15,046 | ||
Other current assets | 11,702 | 10,208 | ||
Total current assets | 40,041 | 34,909 | ||
Property and equipment, net | 9,077 | 9,824 | ||
Goodwill | 1,501 | 1,501 | ||
Total assets | 50,619 | 46,234 | ||
Current liabilities: | ||||
Accounts payable | 20,160 | 21,274 | ||
Other current liabilities | 17,504 | 8,782 | ||
Total current liabilities | 37,664 | 30,056 | ||
Long-term liabilities: | ||||
Other long-term liabilities | 321 | 5,373 | ||
Total liabilities | $ 37,985 | $ 35,429 |
Note 6 - Variable Interest En46
Note 6 - Variable Interest Entities - Consolidated Statements of Operations - Myers (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Revenues | $ 246,412 | $ 189,582 | $ 399,828 | $ 316,149 |
Operating income | 8,356 | 3,381 | 6,568 | (3,085) |
Net income (loss) attributable to Sterling common stockholders | 3,662 | 2,023 | 1,405 | (5,305) |
Variable Interest Entity, Primary Beneficiary [Member] | ||||
Revenues | 38,783 | 43,967 | 62,067 | 70,910 |
Operating income | 2,246 | 1,982 | 2,640 | 2,174 |
Net income (loss) attributable to Sterling common stockholders | $ 1,121 | $ 989 | $ 1,316 | $ 1,083 |
Note 7 - Property and Equipme47
Note 7 - Property and Equipment (Details Textual) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Sep. 30, 2017 | Jun. 30, 2017 | Jun. 30, 2016 | |
Proceeds from Sale of Property, Plant, and Equipment | $ 1,907 | $ 1,394 | |
Vacant Office Building in Dallas [Member] | |||
Property, Plant and Equipment, Disposals | 4,100 | ||
Gain (Loss) on Disposition of Property Plant Equipment, Excluding Oil and Gas Property and Timber Property | $ 900 | ||
Vacant Office Building in Dallas [Member] | Scenario, Forecast [Member] | |||
Proceeds from Sale of Property, Plant, and Equipment | $ 3,200 |
Note 7 - Property and Equipme48
Note 7 - Property and Equipment - Property and Equipment (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Property, plant and equipment, gross | $ 156,812 | $ 161,273 |
Less accumulated depreciation | (95,537) | (93,146) |
Total property and equipment, net | 61,275 | 68,127 |
Construction Equipment [Member] | ||
Property, plant and equipment, gross | 120,991 | 121,441 |
Transportation Equipment [Member] | ||
Property, plant and equipment, gross | 19,060 | 19,017 |
Building [Member] | ||
Property, plant and equipment, gross | 8,713 | 12,771 |
Office Equipment [Member] | ||
Property, plant and equipment, gross | 3,108 | 3,108 |
Leasehold Improvements [Member] | ||
Property, plant and equipment, gross | 914 | 914 |
Construction in Progress [Member] | ||
Property, plant and equipment, gross | 317 | 313 |
Land [Member] | ||
Property, plant and equipment, gross | 3,509 | 3,509 |
Water Rights [Member] | ||
Property, plant and equipment, gross | $ 200 | $ 200 |
Note 8 - Debt (Details Textual)
Note 8 - Debt (Details Textual) | Apr. 03, 2020USD ($) | Apr. 03, 2019USD ($) | Apr. 03, 2017USD ($) | Jun. 30, 2017USD ($) | Jun. 30, 2016USD ($) | Jun. 30, 2017USD ($) | Jun. 30, 2016USD ($) | Dec. 31, 2016USD ($) |
Interest Expense, Debt | $ 3,000,000 | $ 800,000 | $ 3,100,000 | $ 1,700,000 | ||||
Amortization of Debt Issuance Costs | 500,000 | |||||||
Payment for Debt Extinguishment or Debt Prepayment Cost | 800,000 | 800,000 | ||||||
Tealstone Construction [Member] | ||||||||
Payments to Acquire Businesses, Gross | $ 55,000,000 | |||||||
Fair Value Inputs, Discount Rate | 12.00% | |||||||
Business Combination, Consideration Transferred, Deferred Payments | $ 7,211,000 | |||||||
Accretion Expense | 300,000 | 300,000 | ||||||
Business Combination, Consideration Transferred, Liabilities Incurred | 4,436,000 | |||||||
Tealstone Construction [Member] | Scenario, Forecast [Member] | ||||||||
Payments to Acquire Businesses, Gross | $ 7,500,000 | $ 2,500,000 | ||||||
Revolving Credit Facility [Member] | ||||||||
Long-term Line of Credit | $ 0 | |||||||
Warrants to the Lenders Under the Loan Agreement [Member] | ||||||||
Warrants and Rights Outstanding | 3,500,000 | 3,500,000 | 3,500,000 | |||||
Senior Secured Term Loans [Member] | ||||||||
Debt Issuance Costs, Net | 9,869,000 | 9,869,000 | 803,000 | |||||
Long-term Debt, Fair Value | 85,000,000 | 85,000,000 | 3,500,000 | |||||
Notes Payable for Transportation and Construction Equipment [Member] | ||||||||
Notes Payable, Noncurrent | $ 2,100,000 | $ 2,100,000 | $ 2,700,000 | |||||
Notes Payable for Transportation and Construction Equipment [Member] | Minimum [Member] | ||||||||
Debt Instrument, Term | 3 years | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 3.15% | 3.15% | ||||||
Notes Payable for Transportation and Construction Equipment [Member] | Maximum [Member] | ||||||||
Debt Instrument, Term | 5 years | |||||||
Debt Instrument, Interest Rate, Stated Percentage | 6.92% | 6.92% | ||||||
Wilmington Trust, National Association [Member] | Loan and Security Agreement [Member] | Senior Secured Term Loans [Member] | ||||||||
Debt Instrument, Face Amount | $ 85,000,000 | |||||||
Loan Prepayment Offer Required to Make Quarterly, Percentage | 75.00% | |||||||
Debt Instrument, Financial Covenants, Maximum Ratio of Secured Indebtedness to EBITDA, Period One | 3.1 | |||||||
Debt Instrument, Financial Covenants, Maximum Ratio of Secured Indebtedness to EBITDA, Period Two | 1.8 | |||||||
Debt Instrument, Financial Covenants, Minimum Daily Cash Collateral, Period One | $ 10,000,000 | |||||||
Debt Instrument, Financial Covenants, Minimum Daily Cash Collateral, Period Two | 15,000,000 | |||||||
Debt Instrument, Financial Covenants, Minimum Daily Cash Collateral, Potential Additional Period | 18,000,000 | |||||||
Debt Instrument, Financial Covenants, Minimum Rolling Four Quarter Gross Margin in Contract Backlog, Period One | 60,000,000 | |||||||
Debt Instrument, Financial Covenants, Minimum Rolling Four Quarter Gross Margin in Contract Backlog, Period Two | 70,000,000 | |||||||
Debt Instrument, Financial Covenants, Maximum Incurrence of Net Capital Expenditures During Each of Four Consecutive Fiscal Quarters | 15,000,000 | |||||||
Debt Instrument, Financial Covenants, Minimum Bonding Capacity | 1,000,000,000 | |||||||
Debt Instrument, Financial Covenants, Minimum EBITDA During Each Four Consecutive Fiscal Quarters | $ 12,000,000 | |||||||
Debt Issuance Costs, Net | $ 10,400,000 | $ 10,400,000 | ||||||
Debt Instrument, Term | 5 years | |||||||
Amortization of Debt Issuance Costs | $ 500,000 | |||||||
Wilmington Trust, National Association [Member] | Loan and Security Agreement [Member] | Senior Secured Term Loans [Member] | London Interbank Offered Rate (LIBOR) [Member] | ||||||||
Debt Instrument, Basis Spread on Variable Rate | 8.75% |
Note 8 - Debt - Long-term Debt
Note 8 - Debt - Long-term Debt (Details) - USD ($) | Jun. 30, 2017 | Dec. 31, 2016 |
Total Loan, net | $ 89,164,000 | $ 5,394,000 |
Long-term Debt | 89,164,000 | 5,394,000 |
Current maturities of long-term debt | 1,039,000 | 4,648,000 |
Less current deferred loan costs | (803,000) | |
Less current maturities of long-term debt, net | (1,039,000) | (3,845,000) |
Total long-term debt | 88,125,000 | 1,549,000 |
Tealstone Construction [Member] | ||
Notes and deferred payments to sellers, Tealstone acquisition | 11,909,000 | |
Notes Payable for Transportation and Construction Equipment [Member] | ||
Notes and deferred payments to sellers, Tealstone acquisition | 2,124,000 | 2,665,000 |
Senior Secured Term Loans [Member] | ||
Loan | 85,000,000 | 3,532 |
Less deferred loan costs and discount | (9,869,000) | (803,000) |
Total Loan, net | 75,131,000 | 2,729,000 |
Long-term Debt | $ 75,131,000 | $ 2,729,000 |
Note 10 - Income Taxes (Details
Note 10 - Income Taxes (Details Textual) - USD ($) | 3 Months Ended | 6 Months Ended |
Jun. 30, 2017 | Jun. 30, 2017 | |
Increase (Decrease) in Deferred Income Taxes | $ 0 | $ 0 |
Note 11 - Stockholder's Equit52
Note 11 - Stockholder's Equity (Details Textual) - USD ($) | Apr. 03, 2017 | May 09, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 |
Proceeds from Issuance of Common Stock | $ 19,144,000 | |||||
Allocated Share-based Compensation Expense | $ 1,400,000 | $ 400,000 | 2,000,000 | 800,000 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 1,500,000 | $ 2,700,000 | $ 1,500,000 | $ 2,700,000 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized, Period for Recognition | 2 years 73 days | |||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number | 500,000 | 500,000 | ||||
Former Chief Executive Officer [Member] | ||||||
Allocated Share-based Compensation Expense | $ 700,000 | $ 700,000 | ||||
Restricted Stock [Member] | ||||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period | 102,571 | 166,410 | ||||
Warrants to the Lenders Under the Loan Agreement [Member] | ||||||
Share Price | $ 8.88 | |||||
Warrants and Rights Outstanding | $ 3,500,000 | $ 3,500,000 | $ 3,500,000 | |||
Warrants to the Lenders Under the Loan Agreement [Member] | Loan and Security Agreement [Member] | ||||||
Class of Warrant or Right, Term | 5 years | |||||
Class of Warrant or Right, Number of Securities Called by Warrants or Rights | 1,000,000 | |||||
Class of Warrant or Right, Exercise Price of Warrants or Rights | $ 10.25 | |||||
D.A. Davidson and Co. [Member] | ||||||
Stock Issued During Period, Shares, New Issues | 5,175,000 | |||||
Share Price | $ 4 | |||||
Share Price, Net | $ 3.77 | |||||
Proceeds from Issuance of Common Stock | $ 19,100,000 | |||||
Tealstone Construction [Member] | ||||||
Business Acquisition, Equity Interest Issued or Issuable, Number of Shares | 1,882,058 | |||||
Business Combination, Consideration Transferred, Equity Interests Issued and Issuable | $ 17,061,000 |
Note 11 - Stockholders' Equity
Note 11 - Stockholders' Equity - Fair Valuation Techniques of Warrants (Details) - Warrants to the Lenders Under the Loan Agreement [Member] | Apr. 03, 2017$ / shares |
Current stock price (in dollars per share) | $ 8.88 |
Exercise option price (in dollars per share) | $ 10.25 |
Expected term of warrants (in years) (Year) | 5 years |
Expected volatility rate | 48.29% |
Risk-free rate | 1.88% |
Expected dividend yield | 0.00% |
Note 12 - Net Income (Loss) P54
Note 12 - Net Income (Loss) Per Share Attributable to Sterling Common Stockholders (Details Textual) - shares shares in Millions | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2017 | Jun. 30, 2016 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share, Amount | 1 | 1 | 0.2 |
Note 12 - Net Income (Loss) P55
Note 12 - Net Income (Loss) Per Share Attributable to Sterling Common Stockholders - Basic Net Income (Loss) Per Share Attributable to Sterling Common Stockholders (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Net income (loss) attributable to Sterling common stockholders | $ 3,662 | $ 2,023 | $ 1,405 | $ (5,305) |
Weighted average common shares outstanding — basic (in shares) | 26,978 | 22,762 | 25,972 | 21,261 |
Shares for dilutive unvested stock and warrants (in shares) | 358 | 197 | 437 | |
Weighted average common shares outstanding and incremental shares assumed repurchased— diluted (in shares) | 27,336 | 22,959 | 26,409 | 21,261 |
Basic (in dollars per share) | $ 0.14 | $ 0.09 | $ 0.05 | $ (0.25) |
Diluted (in dollars per share) | $ 0.13 | $ 0.09 | $ 0.05 | $ (0.25) |
Note 13 - Segment Information56
Note 13 - Segment Information (Details Textual) | Apr. 03, 2017USD ($) | Jun. 30, 2017USD ($) | Jun. 30, 2017USD ($) | Dec. 31, 2016USD ($) |
Number of Reportable Segments | 2 | 2 | ||
Number of Operating Segments | 2 | |||
Number of Reporting Units | 2 | |||
Goodwill | $ 90,971,000 | $ 90,971,000 | $ 54,820,000 | |
Tealstone Construction [Member] | ||||
Business Combination, Pro Forma Information, Revenue of Acquiree since Acquisition Date, Actual | 42,500,000 | |||
Business Combination, Pro Forma Information, Earnings or Loss of Acquiree since Acquisition Date, Actual | 5,500,000 | |||
Goodwill | $ 36,200,000 | $ 90,971,000 | $ 90,971,000 | $ 54,820,000 |
Note 13 - Segment Information -
Note 13 - Segment Information - Revenue, Operating Income, and Assets, By Reportable Segment (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2016 | |
Revenues | $ 246,412 | $ 189,582 | $ 399,828 | $ 316,149 | |
Operating Income | 8,356 | 3,381 | 6,568 | (3,085) | |
Total assets | 455,453 | 455,453 | $ 301,823 | ||
Heavy Civil Construction [Member] | |||||
Revenues | 209,194 | 189,582 | 362,610 | 316,149 | |
Operating Income | 3,141 | 3,381 | 1,667 | (3,085) | |
Total assets | 356,661 | 356,661 | 301,823 | ||
Residential Construction [Member] | |||||
Revenues | 37,218 | 37,218 | |||
Operating Income | 5,215 | 4,901 | |||
Total assets | $ 98,792 | $ 98,792 |