Cover
Cover - USD ($) | 12 Months Ended | ||
Dec. 31, 2022 | Feb. 17, 2023 | Jun. 30, 2022 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2022 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 0-21220 | ||
Entity Registrant Name | ALAMO GROUP INC. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 74-1621248 | ||
Entity Address, Address Line One | 1627 East Walnut | ||
Entity Address, City or Town | Seguin | ||
Entity Address, State or Province | TX | ||
Entity Address, Postal Zip Code | 78155 | ||
City Area Code | 830 | ||
Local Phone Number | 379-1480 | ||
Title of 12(b) Security | Common Stock, par value$.10 per share | ||
Trading Symbol | ALG | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 1,160,963,116 | ||
Entity Common Stock, Shares Outstanding | 11,971,477 | ||
Documents Incorporated by Reference | Portions of the registrant’s proxy statement relating to the 2023 Annual Meeting of Stockholders have been incorporated by reference herein in response to Part III. | ||
Entity Central Index Key | 0000897077 | ||
Document Fiscal Year Focus | 2022 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2022 | |
Audit Information [Abstract] | |
Auditor Firm ID | 185 |
Auditor Name | KPMG LLP |
Auditor Location | San Antonio, TX |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Current assets: | ||
Cash and cash equivalents | $ 47,016 | $ 42,115 |
Accounts receivable, net | 317,581 | 237,970 |
Inventories, net | 352,553 | 320,917 |
Prepaid expenses and other current assets | 9,144 | 9,500 |
Income tax receivable | 916 | 1,666 |
Total current assets | 727,210 | 612,168 |
Rental equipment, net | 33,723 | 32,514 |
Property, plant and equipment | 335,078 | 321,863 |
Less: Accumulated depreciation | (180,071) | (169,372) |
Total property, plant and equipment, net | 155,007 | 152,491 |
Goodwill | 195,858 | 202,406 |
Intangible assets, net | 171,341 | 183,466 |
Deferred income taxes | 969 | 1,110 |
Other non-current assets | 24,400 | 21,587 |
Total assets | 1,308,508 | 1,205,742 |
Current liabilities: | ||
Trade accounts payable | 97,537 | 101,396 |
Income taxes payable | 6,592 | 2,613 |
Accrued liabilities | 71,368 | 73,523 |
Current maturities of long-term debt and finance lease obligations | 15,009 | 15,032 |
Total current liabilities | 190,506 | 192,564 |
Long-term debt and finance lease obligations, net of current maturities | 286,943 | 254,522 |
Long-term tax liability | 3,781 | 4,416 |
Other long-term liabilities | 23,668 | 27,119 |
Deferred income taxes | 18,250 | 21,458 |
Stockholders’ equity: | ||
Common stock, $.10 par value, 20,000,000 shares authorized; 11,913,890 and 11,874,178 outstanding at December 31, 2022 and December 31, 2021, respectively | 1,191 | 1,187 |
Additional paid-in capital | 129,820 | 124,228 |
Treasury stock, at cost; 82,600 shares at December 31, 2022 and December 31, 2021 | (4,566) | (4,566) |
Retained earnings | 727,183 | 633,804 |
Accumulated other comprehensive loss | (68,268) | (48,990) |
Total stockholders’ equity | 785,360 | 705,663 |
Total liabilities and stockholders’ equity | $ 1,308,508 | $ 1,205,742 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.10 | $ 0.10 |
Common stock, shares authorized (in shares) | 20,000,000 | 20,000,000 |
Common stock, shares outstanding (in shares) | 11,913,890 | 11,874,178 |
Treasury stock (in shares) | 82,600 | 82,600 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Net sales: | |||
Total net sales | $ 1,513,616 | $ 1,334,223 | $ 1,163,466 |
Cost of sales | 1,137,098 | 999,709 | 869,736 |
Gross profit | 376,518 | 334,514 | 293,730 |
Selling, general and administrative expenses | 212,649 | 202,939 | 184,199 |
Amortization expense | 15,277 | 14,637 | 14,746 |
Income from operations | 148,592 | 116,938 | 94,785 |
Interest expense | (14,361) | (10,533) | (15,837) |
Interest income | 752 | 1,149 | 1,366 |
Other income | (673) | 1,944 | (557) |
Income before income taxes | 134,310 | 109,498 | 79,757 |
Provision for income taxes | 32,382 | 29,253 | 21,953 |
Net income | $ 101,928 | $ 80,245 | $ 57,804 |
Net income per common share: | |||
Basic (in dollars per share) | $ 8.58 | $ 6.78 | $ 4.91 |
Diluted (in dollars per share) | $ 8.54 | $ 6.75 | $ 4.88 |
Average common shares: | |||
Basic (in shares) | 11,877 | 11,837 | 11,782 |
Diluted (in shares) | 11,934 | 11,896 | 11,845 |
Vegetation Management | |||
Net sales: | |||
Total net sales | $ 937,065 | $ 812,676 | $ 654,630 |
Income from operations | 108,508 | 78,917 | 46,651 |
Industrial Equipment | |||
Net sales: | |||
Total net sales | 576,551 | 521,547 | 508,836 |
Income from operations | $ 40,084 | $ 38,021 | $ 48,134 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 101,928 | $ 80,245 | $ 57,804 |
Other comprehensive income (loss), net of tax: | |||
Foreign currency translation adjustment, net of tax (expense) benefit of $1,069, $(344), and $810 | (23,032) | (15,800) | 8,862 |
Unrealized income (loss) on derivative instruments, net of tax (expense) benefit of $(497), $(1,405), and $1,842, respectively | 2,047 | 5,298 | (7,484) |
Recognition of deferred pension and other post-retirement benefits, net of tax (expense) benefit of $(194), $(356), and $230, respectively | 1,707 | 1,838 | |
Other comprehensive (loss) income, net of tax | (19,278) | (8,664) | 512 |
Comprehensive income | $ 82,650 | $ 71,581 | $ 58,316 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement of Comprehensive Income [Abstract] | |||
Foreign currency translation adjustment, tax expense | $ 1,069 | $ (344) | $ 810 |
Unrealized gain (loss) on derivative instruments | (497) | (1,405) | 1,842 |
Net gain on pension and other post-retirement benefits | $ (194) | $ (356) | $ 230 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Treasury Stock | Retained Earnings | Accumulated Other Comprehensive Income |
Beginning balance (in shares) at Dec. 31, 2019 | 11,670 | |||||
Beginning balance at Dec. 31, 2019 | $ 577,943 | $ 1,175 | $ 113,666 | $ (4,566) | $ 508,506 | $ (40,838) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Other comprehensive income | 58,316 | 57,804 | 512 | |||
Stock-based compensation expense | 4,119 | 4,119 | ||||
Stock-based compensation transactions (in shares) | 57 | |||||
Stock-based compensation transactions | 749 | $ 6 | 743 | |||
Dividends paid | (6,124) | (6,124) | ||||
Ending balance (in shares) at Dec. 31, 2020 | 11,727 | |||||
Ending balance at Dec. 31, 2020 | 635,003 | $ 1,181 | 118,528 | (4,566) | 560,186 | (40,326) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Other comprehensive income | 71,581 | 80,245 | (8,664) | |||
Stock-based compensation expense | 5,987 | 5,987 | ||||
Stock-based compensation transactions (in shares) | 64 | |||||
Stock-based compensation transactions | (281) | $ 6 | (287) | |||
Dividends paid | (6,627) | (6,627) | ||||
Ending balance (in shares) at Dec. 31, 2021 | 11,791 | |||||
Ending balance at Dec. 31, 2021 | 705,663 | $ 1,187 | 124,228 | (4,566) | 633,804 | (48,990) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Other comprehensive income | 82,650 | 101,928 | (19,278) | |||
Stock-based compensation expense | 5,561 | 5,561 | ||||
Stock-based compensation transactions (in shares) | 40 | |||||
Stock-based compensation transactions | 35 | $ 4 | 31 | |||
Dividends paid | (8,549) | (8,549) | ||||
Ending balance (in shares) at Dec. 31, 2022 | 11,831 | |||||
Ending balance at Dec. 31, 2022 | $ 785,360 | $ 1,191 | $ 129,820 | $ (4,566) | $ 727,183 | $ (68,268) |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Statement of Stockholders' Equity [Abstract] | |||
Dividends paid (in dollars per share) | $ 0.72 | $ 0.56 | $ 0.52 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Operating Activities | |||
Net income | $ 101,928 | $ 80,245 | $ 57,804 |
Adjustments to reconcile net income to cash provided by operating activities: | |||
Provision for doubtful accounts | 424 | 506 | 860 |
Depreciation - PP&E | 23,673 | 21,229 | 19,264 |
Depreciation - Rental | 7,739 | 8,613 | 9,830 |
Amortization of intangibles | 15,277 | 14,637 | 14,746 |
Amortization of debt issuance | 667 | 667 | 634 |
Stock-based compensation expense | 5,561 | 5,987 | 4,119 |
Provision for deferred income tax (benefit) expense | (2,337) | (1,182) | (855) |
Gain on sale of property, plant and equipment | (161) | (3,779) | (1,094) |
Changes in operating assets and liabilities, net of acquisitions: | |||
Accounts receivable | (85,055) | (27,571) | 28,064 |
Inventories | (37,739) | (78,463) | 38,275 |
Rental equipment | (9,196) | 1,138 | 4,542 |
Prepaid expenses and other | (6,146) | (6,994) | 6,373 |
Trade accounts payable and accrued liabilities | (2,879) | 32,532 | (3,783) |
Income taxes payable | 2,934 | 4,648 | 6,601 |
Long term tax payable | (635) | 462 | (3,478) |
Other assets and liabilities, net | 475 | (3,008) | 2,431 |
Net cash provided by operating activities | 14,530 | 49,667 | 184,333 |
Investing Activities | |||
Acquisitions, net of cash acquired | (2,000) | (17,798) | 0 |
Purchase of property, plant and equipment | (31,141) | (25,263) | (17,874) |
Proceeds from sale of property, plant and equipment | 1,566 | 9,667 | 3,703 |
Purchase of patents | (163) | (44) | 0 |
Net cash used in investing activities | (31,738) | (33,438) | (14,171) |
Financing Activities | |||
Borrowings on bank revolving credit facility | 222,000 | 188,000 | 115,000 |
Repayment on bank revolving credit facility | (174,000) | (189,000) | (255,000) |
Principal payments on long-term debt and capital leases | (15,031) | (15,093) | (18,867) |
Dividends paid | (8,549) | (6,627) | (6,124) |
Proceeds from exercise of stock options | 803 | 1,676 | 1,459 |
Common stock repurchased | (768) | (1,957) | (710) |
Net cash provided (used) in financing activities | 24,455 | (23,001) | (164,242) |
Effect of exchange rate changes on cash | (2,346) | (1,308) | 1,964 |
Net change in cash and cash equivalents | 4,901 | (8,080) | 7,884 |
Cash and cash equivalents at beginning of the year | 42,115 | 50,195 | 42,311 |
Cash and cash equivalents at end of the year | 47,016 | 42,115 | 50,195 |
Cash paid during the year for: | |||
Interest | 14,575 | 10,248 | 17,049 |
Income taxes | $ 35,102 | $ 32,865 | $ 17,140 |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | SIGNIFICANT ACCOUNTING POLICIES Description of the Business and Segments The Company manufactures, distributes and services high quality tractor-mounted mowing and other vegetation maintenance equipment, street sweepers, excavators, vacuum trucks, forestry and tree maintenance equipment, snow removal equipment, leaf collection equipment, pothole patchers, zero turn radius mowers, agricultural implements and related aftermarket parts and services. The Company manages its business through two principal reporting segments: Vegetation Management and Industrial Equipment, which are discussed in Note 18 . Basis of Presentation and Principles of Consolidation The accompanying consolidated financial statements include the accounts of Alamo Group Inc. and its subsidiaries (the “Company” or “Alamo Group”), all of which are wholly owned. All intercompany accounts and transactions have been eliminated in consolidation. Use of Estimates The preparation of financial statements in conformity with U.S. Generally Accepted Accounting Principles requires management to make estimates and assumptions that affect the amount of assets, liabilities, revenues, and expenses reported in the financial statements and accompanying notes. Judgments related to asset impairment and certain reserves are particularly subject to change. Actual results could differ from those estimates. Such estimates include, but are not limited to, allowance for doubtful accounts, reserve for sales discounts, estimated realizable value on obsolete and slow-moving inventory, warranty reserve, estimates related to pension accounting, estimates related to fair value for purposes of assessing goodwill, long-lived assets and intangible assets for impairment, estimates related to income taxes, and estimates related to contingencies. Foreign Currency The Company translates the assets and liabilities of foreign-owned subsidiaries at rates in effect at the end of the year. Revenues and expenses are translated at average rates in effect during the reporting period. Translation adjustments are included in Accumulated other comprehensive income (loss). Cash Equivalents The Company considers all highly liquid investments with original maturities of three months or less from the date of purchase to be cash equivalents. As of December 31, 2022 and December 31, 2021, there was no restricted cash. Concentrations of Credit Risk Financial instruments which potentially subject the Company to concentrations of credit risk consist principally of accounts receivable. The credit risk is limited because of the large numbers and types of customers and their geographic dispersion. Inventory Valuation Inventories are stated at the lower of cost or net realizable value. Property, Plant and Equipment Property, plant, and equipment are stated on the basis of cost. Major renewals and betterments are charged to the property accounts, while replacements, maintenance and repairs, which do not improve or extend the lives of the respective assets, are expensed to the current period. Depreciation is provided at amounts calculated to amortize the cost of the assets over their estimated useful economic lives using the straight-line method. Impairment of Long-Lived Assets Long-lived assets, such as property, plant and equipment, rental equipment, and purchased intangibles subject to amortization, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If circumstances require a long-lived asset or asset group to be tested for possible impairment, the Company first compares non-discounted cash flows expected to be generated by that asset group to its carrying amount. If the carrying amount of the long-lived asset or asset group is not recoverable on a non-discounted cash flow basis, an impairment is recognized to the extent that the carrying amount exceeds fair value. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary. Goodwill Goodwill represents the excess of the purchase price over the estimated fair value of the identifiable net assets acquired. Goodwill is not amortized but is instead tested for impairment at least annually, or whenever events or circumstances change between the annual impairment tests that make it likely that an impairment may have occurred, such as a significant adverse change in the business climate or a decision to sell all or a portion of a reporting unit. The Company performs its annual test for goodwill impairment related to its reporting units on October 1 of each fiscal year. Impairment testing for goodwill is done at the reporting unit level. A reporting unit is an operating segment or one level below an operating segment (also known as a component). A component of an operating segment is a reporting unit if the component constitutes a business for which discrete financial information is available, and segment management regularly reviews the operating results of that component. We perform a qualitative assessment for all of our reporting units to determine whether it is more likely than not that an impairment exists. Factors considered include macroeconomic, industry and competitive conditions, legal and regulatory environment, historical financial performance and significant changes in the reporting unit. If the qualitative assessment indicates that it is more likely than not that an impairment exists, then a quantitative assessment is performed. Alternatively, we may also bypass the qualitative assessment and go ahead and perform step 1 to determine if the carrying amount exceeds the reporting unit’s fair value. If the fair value of the reporting unit is lower than its carrying amount, goodwill is written down for the amount by which the carrying amount exceeds the fair value. However, the loss recognized cannot exceed the carrying amount of goodwill. We typically use discounted cash flow models to determine the fair value of a reporting unit. The assumptions used in these models are consistent with those we believe a hypothetical marketplace participant would use. See Note 8 to the Consolidated Financial Statements for more information regarding goodwill. Intangible Assets The Company has intangible assets with both definite and indefinite useful lives. The definite-lived assets are trade names and trademarks, customer and dealer relationships, and patents and drawings that are subject to amortization with useful lives ranging from 3 years to 25 years. Impairment of definite-lived assets is discussed as part of the Impairment of Long-Lived Assets paragraph above. The indefinite-lived assets not subject to amortization consist of trade names. The Company tests its indefinite-lived intangible assets for impairment on an annual basis at year-end, or more frequently if an event occurs or circumstances change that indicate that the fair value of an indefinite-lived intangible asset could be below its carrying amount. The impairment test consists of comparing the fair value of the indefinite-lived intangible asset, determined using the relief from royalty method, with its carrying amount. An impairment loss would be recognized for the carrying amount in excess of its fair value. See Note 9 to the Consolidated Financial Statements for more information regarding intangible assets. Leases We determine if an arrangement is a lease at inception. Operating leases are included in other non-current assets, accrued liabilities, and other long-term liabilities on our consolidated balance sheets. Finance leases are included in property, plant and equipment, accrued liabilities, and other long-term liabilities on our consolidated balance sheets. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The operating lease ROU asset also includes any lease payments made and excludes lease incentives. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. We have elected to not account for the lease and non-lease components separately for most of our asset classes with the exception of real-estate. We have also elected to exclude all lease agreements with an initial term of 12 months or less from the lease recognition requirements as allowed by ASC. See Note 10 to the Consolidated Financial Statements for more information regarding leases. Pensions The Company records annual amounts relating to its pension and post-retirement plans based on calculations that incorporate various actuarial and other assumptions, including discount rates, mortality, assumed rates of return, compensation increases, turnover rates and health care cost trend rates. The Company reviews its assumptions on an annual basis and makes modifications to the assumptions based on current rates and trends when it is appropriate to do so. The effect of modifications to those assumptions is recorded in Accumulated other comprehensive income (loss) and amortized to net periodic cost over future periods using the corridor method. The Company believes that the assumptions utilized in recording its obligations under its plans are reasonable based on its experience and market conditions. The net periodic costs are recognized as employees render the services necessary to earn the post-retirement benefits. Revenue Recognition The majority of the Company's revenue is recognized from product sales under contracts with customers. The Company presents two reportable operating segments within its financial statements: Vegetation Management and Industrial Equipment. Contract terms and performance obligations within each contractual agreement are generally consistent for both divisions, with small differences that do not have a significant impact on the revenue recognition considerations under Topic 606. Revenues are recognized when we satisfy our performance obligation to transfer product to our customers, which typically occurs at a point in time upon shipment or delivery of the product, and for an amount that reflects the transaction price that is allocated to the performance obligation. Our contracts with customers state the final terms of sale, including the description, quantity and price for goods sold. In the normal course of business, we generally do not accept product returns. The transaction price is the consideration that we expect to be entitled to in exchange for our products. Some of our contracts contain variable consideration in the form of sales incentives to our customers, such as discounts and rebates. For contracts that include variable consideration, we estimate the factors that determine the variable consideration in order to establish the transaction price. We have elected that any taxes collected from customers and remitted to government authorities (i.e., sales tax, use tax, etc.) are excluded from the measurement of the transaction price and therefore are excluded from net sales in the consolidated statements of operations. There are instances where we provide shipping services in relation to the goods sold to our customers. Shipping and handling costs that occur before the customer obtains control of the goods are deemed to be fulfillment activities and are included in cost of goods sold. We have elected to account for shipping and handling activities that occur after the customer has obtained control of a good as fulfillment activities (i.e., an expense) rather than as a promised service. Rental Equipment The Company enters into operating lease agreements with customers related to the rental of certain equipment. In accounting for these leases, the cost of the equipment purchased or manufactured by the Company is recorded as an asset, and is depreciated over its estimated useful life. Accumulated depreciation relating to the rental equipment was $22.3 million and $20.1 million on December 31, 2022 and December 31, 2021, respectively. Shipping and Handling Costs The Company’s policy is to include shipping and handling costs in costs of goods sold. Advertising We charge advertising costs to expense as incurred. Advertising and marketing expense related to operations for fiscal years 2022, 2021, and 2020 was approximately $10.9 million, $10.2 million and $10.1 million, respectively. Advertising and marketing expenses are included in Selling, General and Administrative expenses (“SG&A”). Research and Development Product development and engineering costs charged to SG&A amounted to $14.3 million, $11.7 million, and $12.4 million for the years ended December 31, 2022, 2021, and 2020, respectively. Commitments and Contingencies Liabilities for loss contingencies arising from claims, assessments, litigation, fines and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. The Company's policy is to accrue for legal costs expected to be incurred in connection with loss contingencies. Income Taxes Deferred tax assets and liabilities are determined based on differences between the financial reporting basis and tax basis of assets and liabilities, and are measured by applying enacted statutory tax rates applicable to the future years in which deferred tax assets or liabilities are expected to be settled or realized. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversals of deferred tax liabilities, projected future taxable income, available tax carrybacks and tax planning strategies in making this assessment other than those which we have reserved. We have elected to treat the global intangible low-taxed income (GILTI) tax as a period expense. Stock-Based Compensation The Company has granted options to purchase its common stock, restricted stock awards, restricted stock units, and performance stock units to certain employees and directors of the Company and its affiliates under various stock option plans at no less than the fair market value of the underlying stock on the date of grant. These options are granted for a term not exceeding ten years and are forfeited in the event that the employee or director terminates his or her employment or relationship with the Company or one of its affiliates other than by retirement or death. These options generally vest over five years. All option plans contain anti-dilutive provisions that permit an adjustment of the number of shares of the Company’s common stock represented by each option for any change in capitalization. The fair value of each stock option is estimated on the date of grant using the Black-Scholes valuation method with the following assumptions noted: 1. The risk-free rate is based on the U.S. Treasury rate over the expected life of the option at the time of the grant. 2. The dividend yield is calculated as the ratio of dividends paid per share of common stock to the stock price on the date of the grant. 3. The expected volatility factors are based on the historical movement of the Company’s common stock price over the expected life of the option. 4. The expected life is the average length of time in which officers, other employees, and non-employee directors are expected to exercise their options, and which are primarily based on historical experience. The Company calculated the fair value for options with the following weighted-average assumptions for 2022, 2021, and 2020: Fair Value Calculation Assumptions for Stock Compensation December 31, 2022 2021 2020 Risk-free interest rate 1.93 % 1.25 % 1.22 % Dividend yield 0.5 % 0.4 % 0.5 % Volatility factors 33.2 % 33.9 % 30.0 % Weighted-average expected life 8.0 years 8.0 years 8.0 years Earnings per Common Share (“EPS”) Basic EPS is computed using the weighted-average number of common shares outstanding during the year. The treasury stock method is used to compute diluted EPS which gives effect to the potential dilution of earnings that could have occurred if additional shares were issued for awards granted under the Company’s incentive stock option plans. The treasury stock method assumes that proceeds obtained upon exercise of awards granted under the incentive stock option plans are used to purchase outstanding common stock at the average market price during the period. |
Accounting Pronouncements
Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Changes and Error Corrections [Abstract] | |
ACCOUNTING PRONOUNCEMENTS | ACCOUNTING PRONOUNCEMENTS Accounting Pronouncements Not Yet Adopted In September 2022, the FASB issues ASU No. 2022-04, “Liabilities—Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations”. The amendments in this Update are effective for are effective for fiscal years beginning after December 15, 202 and require that a buyer in a supplier finance program disclose sufficient information about the program to allow a user of financial statements to understand the program’s nature, activity during the period, changes from period to period, and potential magnitude. To achieve this objective, the Company will disclose qualitative and quantitative information about its supplier finance programs. |
Business Combinations
Business Combinations | 12 Months Ended |
Dec. 31, 2022 | |
Business Combination and Asset Acquisition [Abstract] | |
BUSINESS COMBINATIONS | BUSINESS COMBINATIONS On October 26, 2021, the Company acquired 100% of the issued and outstanding equity interests of Timberwolf Limited (“ Timberwolf ”). Timberwolf manufactures a broad range of commercial wood chippers, primarily serving markets in the U.K. and the European Union. The primary reason for the Timberwolf acquisition was to enhance the Company's forestry and tree care platform for growth by increasing both the Company's product portfolio and capabilities in the European market. The acquisition price was approximately $25.0 million. The Company has included the operating results of Timberwolf in its consolidated financial statements since the date of acquisition, these results are considered immaterial. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2022 | |
Earnings Per Share [Abstract] | |
EARNINGS PER SHARE | EARNINGS PER SHARE The following table sets forth the reconciliation from basic to diluted average common shares and the calculations of net income per common share. Net income for basic and diluted calculations does not differ. (in thousands, except per share amounts) 2022 2021 2020 Net income $ 101,928 $ 80,245 $ 57,804 Average common shares: Basic (weighted-average outstanding shares) 11,877 11,837 11,782 Dilutive potential common shares from stock options 57 59 63 Diluted (weighted-average outstanding shares) 11,934 11,896 11,845 Basic earnings per share $ 8.58 $ 6.78 $ 4.91 Diluted earnings per share $ 8.54 $ 6.75 $ 4.88 Stock options totaling 25,610 shares in 2022, 15,586 shares in 2021, and 9,864 shares in 2020 were not included in the diluted earnings per share calculation because the effect would have been anti-dilutive. |
Valuation and Qualifying Accoun
Valuation and Qualifying Accounts | 12 Months Ended |
Dec. 31, 2022 | |
Receivables [Abstract] | |
VALUATION AND QUALIFYING ACCOUNTS | VALUATION AND QUALIFYING ACCOUNTS Valuation and qualifying accounts included the following: (in thousands) Balance Beginning of Year Net Charged to Costs and Expenses Translations, Reclassifications and Acquisitions Net Write-Offs or Discounts Taken Balance End of Year 2022 Reserve for sales discounts $ 12,567 $ 137,553 $ (21) $ (130,238) $ 19,861 Reserve for inventory obsolescence 12,908 6,998 (277) (6,420) 13,209 Reserve for warranty 9,953 11,290 (244) (11,659) 9,340 2021 Reserve for sales discounts $ 13,549 $ 116,114 $ (688) $ (116,408) $ 12,567 Reserve for inventory obsolescence 12,027 6,531 (146) (5,504) 12,908 Reserve for warranty 9,096 10,727 (132) (9,738) 9,953 2020 Reserve for sales discounts $ 16,883 $ 93,398 $ 15 $ (96,747) $ 13,549 Reserve for inventory obsolescence 8,233 4,609 1,471 (2,286) 12,027 Reserve for warranty 10,249 8,466 247 (9,866) 9,096 Sales Discounts On December 31, 2022, the Company had $19.9 million in reserves for sales discounts compared to $12.6 million on December 31, 2021 on product shipped to our customers under various promotional programs. The most common programs provide a discount when the customer pays within a specified period of time. The Company reviews the reserve quarterly based on analysis made on each program outstanding at the time. The cost of these discounts is estimated based on historical experience and known changes in promotional programs and is reported as a reduction to sales when the product sale is recognized. The reserve is adjusted if discounts paid differ from those estimated. Historically, those adjustments have not been material. Reserve for Inventory Obsolescence We value inventories at the lower of the cost of inventory or net realizable value. As needed, we record an inventory valuation adjustment for excess, slow moving, and obsolete inventory that is equal to the excess of the cost of the inventory over the estimated net realizable value. The inventory valuation adjustment to net realizable value establishes a new cost basis of the inventory that cannot be subsequently reversed. Such inventory valuation adjustments for excess, obsolete, and slow moving inventory are not reduced or removed until the product is sold or disposed of. The Company had a reserve of $13.2 million on December 31, 2022 and $12.9 million on December 31, 2021 to cover obsolete and slow moving inventory. The increase in the reserve was primarily attributable to the Company's Industrial Equipment Division. The reserve for inventory obsolescence is calculated as follows: 1) no inventory usage over a three-year period is deemed obsolete and reserved at 100%; and 2) slow moving inventory with little usage requires a 100% reserve on items that have a quantity greater than a three-year supply. There are exceptions to the obsolete and slow moving classifications if approved by an officer of the Company, based on specific identification of an item or items that are deemed to be either included or excluded from this classification. In cases where there is no historical data, management makes a judgment based on a specific review of the inventory in question to determine what reserves, if any, are appropriate. New products or parts are generally excluded from the reserve until a three-year history has been established. Warranty The Company’s warranty policy is generally to provide its customers warranty for up to one year on all wholegood units and 90 days on parts, though some components can have warranty for longer terms. Warranty reserve, as a percentage of sales, is generally calculated by looking at the current twelve months’ expenses and prorating that amount based on twelve months’ sales with a three three The current liability warranty reserve balance was $9.3 million on December 31, 2022 and $10.0 million on December 31, 2021 and is included in Note 11 . |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2022 | |
Inventory Disclosure [Abstract] | |
INVENTORIES | INVENTORIES Inventories consisted of the following: December 31, (in thousands) 2022 2021 Finished goods and parts $ 312,726 $ 277,760 Work in process 22,273 24,895 Raw materials 17,554 18,262 Inventory, net $ 352,553 $ 320,917 |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY, PLANT AND EQUIPMENT | PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment consist of the following: December 31, (in thousands) 2022 2021 Useful Lives Land $ 12,792 $ 12,838 Buildings and improvements 145,616 145,086 5-20 yrs. Machinery and equipment 140,252 129,901 3-10 yrs. Office furniture and equipment 13,270 13,291 3-7 yrs. Computer software 13,551 12,384 3-7 yrs. Transportation equipment 9,597 8,363 3 yrs. Property, plant and equipment, at cost 335,078 321,863 Accumulated depreciation (180,071) (169,372) Property, plant and equipment, net $ 155,007 $ 152,491 |
Goodwill
Goodwill | 12 Months Ended |
Dec. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL | GOODWILL The changes in the carrying amount of goodwill for the year ended December 31, 2020, 2021, and 2022 are as follows: Vegetation Management Industrial Equipment Consolidated (in thousands) Balance at December 31, 2019 $ 126,894 $ 71,128 $ 198,022 Translation adjustment 132 1,036 1,168 Goodwill adjustment (2,045) (2,013) (4,058) Balance at December 31, 2020 $ 124,981 $ 70,151 $ 195,132 Translation adjustment (1,510) (708) (2,218) Goodwill acquired 9,492 — 9,492 Balance at December 31, 2021 $ 132,963 $ 69,443 $ 202,406 Translation adjustment (1,882) (1,147) (3,029) Goodwill adjustment (3,519) — (3,519) Balance at December 31, 2022 $ 127,562 $ 68,296 $ 195,858 |
Intangible Assets
Intangible Assets | 12 Months Ended |
Dec. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
INTANGIBLE ASSETS | INTANGIBLE ASSETS The following is a summary of the Company's intangible assets net of the accumulated amortization: (in thousands) Estimated Useful Lives December 31, 2022 December 31, 2021 Definite: Trade names and trademarks 15-25 years $ 68,797 $ 68,321 Customer and dealer relationships 8-15 years 129,338 126,104 Patents and developed technologies 3-12 years 28,437 29,338 Favorable leasehold interests 7 years 4,200 4,200 Total at cost 230,772 227,963 Less accumulated amortization (64,931) (49,997) Total net 165,841 177,966 Indefinite: Trade names and trademarks 5,500 5,500 Total Intangible Assets $ 171,341 $ 183,466 The Company's net carrying value at December 31, 2022 of intangible assets with definite useful lives consists of trade names and trademarks at $54.9 million, customer and dealer relationships at $90.2 million, patents and drawings at $18.5 million, and favorable leasehold interests at $2.3 million. As of December 31, 2022, the related accumulated amortization balance for the definite-lived assets were $13.9 million for trade names and trademarks, $39.2 million for customer and dealer relationships, $9.9 million for patents and drawings, and $1.9 million for favorable leasehold interests. The Company estimates amortization expense to be $15.3 million for each of the next five years. Indefinite-lived trade names and trademarks consisted of the Gradall trade name with a carrying value of $3.6 million and the Bush Hog |
Leases
Leases | 12 Months Ended |
Dec. 31, 2022 | |
Leases [Abstract] | |
LEASES | LEASES Leases The Company leases office space and equipment under various operating and capital leases, which generally are expected to be renewed or replaced by other leases. As of December 31, 2022, the components of lease cost were as follows: Components of Lease Cost Twelve Months Ended December 31, (in thousands) 2022 2021 Finance lease cost: Amortization of right-of-use assets $ 30 $ 67 Interest on lease liabilities 1 3 Operating lease cost 5,783 5,571 1,397 1,033 Variable lease cost 348 410 Total lease cost $ 7,559 $ 7,084 As of December 31, 2022, future minimum lease payments under these non-cancelable leases are: Future Minimum Lease Payments (in thousands) Operating Leases 2023 $ 5,177 2024 4,099 2025 3,294 2026 2,728 2027 1,780 Thereafter 1,743 Total minimum lease payments $ 18,821 Less imputed interest (1,287) Total lease liabilities $ 17,534 Rental expense for operating leases was $7.5 million for 2022, $7.0 million for 2021, and $6.1 million for 2020. Future Lease Commencements As of December 31, 2022, we have additional operating leases that have not yet commenced in the amount of $3.1 million. These operating leases will commence in fiscal year 2023. Supplemental balance sheet information related to leases was as follows: Operating Leases December 31, (in thousands) 2022 2021 Other non-current assets $ 17,249 $ 16,744 Accrued liabilities 4,685 4,655 Other long-term liabilities 12,849 12,237 Total operating lease liabilities $ 17,534 $ 16,892 Weighted average remaining lease term 4.66 years 5.14 years Weighted average discount rate 3.30 % 2.83 % Supplemental cash flow information related to leases was as follows: Twelve Months Ended December 31, (in thousands) 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 5,246 $ 5,013 |
LEASES | LEASES Leases The Company leases office space and equipment under various operating and capital leases, which generally are expected to be renewed or replaced by other leases. As of December 31, 2022, the components of lease cost were as follows: Components of Lease Cost Twelve Months Ended December 31, (in thousands) 2022 2021 Finance lease cost: Amortization of right-of-use assets $ 30 $ 67 Interest on lease liabilities 1 3 Operating lease cost 5,783 5,571 1,397 1,033 Variable lease cost 348 410 Total lease cost $ 7,559 $ 7,084 As of December 31, 2022, future minimum lease payments under these non-cancelable leases are: Future Minimum Lease Payments (in thousands) Operating Leases 2023 $ 5,177 2024 4,099 2025 3,294 2026 2,728 2027 1,780 Thereafter 1,743 Total minimum lease payments $ 18,821 Less imputed interest (1,287) Total lease liabilities $ 17,534 Rental expense for operating leases was $7.5 million for 2022, $7.0 million for 2021, and $6.1 million for 2020. Future Lease Commencements As of December 31, 2022, we have additional operating leases that have not yet commenced in the amount of $3.1 million. These operating leases will commence in fiscal year 2023. Supplemental balance sheet information related to leases was as follows: Operating Leases December 31, (in thousands) 2022 2021 Other non-current assets $ 17,249 $ 16,744 Accrued liabilities 4,685 4,655 Other long-term liabilities 12,849 12,237 Total operating lease liabilities $ 17,534 $ 16,892 Weighted average remaining lease term 4.66 years 5.14 years Weighted average discount rate 3.30 % 2.83 % Supplemental cash flow information related to leases was as follows: Twelve Months Ended December 31, (in thousands) 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 5,246 $ 5,013 |
Accrued Liabilities
Accrued Liabilities | 12 Months Ended |
Dec. 31, 2022 | |
Payables and Accruals [Abstract] | |
ACCRUED LIABILITIES | ACCRUED LIABILITIES Accrued liabilities consist of the following balances: December 31, (in thousands) 2022 2021 Salaries, wages and bonuses $ 37,590 $ 37,462 Lease liability 4,685 4,655 Taxes 2,426 1,902 Warranty 9,340 9,953 Retirement provision 2,588 2,967 Customer deposits 5,197 6,383 Other 9,542 10,201 Accrued liabilities $ 71,368 $ 73,523 |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2022 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | FAIR VALUE OF FINANCIAL INSTRUMENTS U.S. GAAP requires or permits certain assets or liabilities to be measured at fair value on a recurring or non- recurring basis in our balance sheets. U.S. GAAP also requires the disclosure of the fair values of financial instruments when an option to elect fair value accounting has been provided but such election has not been made. A debt obligation is an example of such a financial instrument. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants. There is a three-tier fair value hierarchy based upon the observability of inputs used in valuation techniques. Observable inputs (highest level) reflect market data obtained from independent sources, while unobservable inputs (lowest level) reflect internally developed market assumptions. In fair value, measurements are classified under the following hierarchy: Level 1 – Quoted prices for identical assets or liabilities in active markets. Level 2 – Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs or significant value-drivers are observable in active markets. Level 3 – Model-derived valuations in which one or more significant inputs or significant value-drivers are unobservable. When measuring fair value, the Company maximizes use of observable inputs and minimizes the use of unobservable inputs. Fair value measurements are classified to the lowest level input or value-driver that is significant to the valuation. A measurement may therefore be classified within Level 3 even though there may be significant inputs that are readily observable. The carrying values of certain financial instruments, including cash and cash equivalents, accounts receivable, accounts payable, and accrued expenses, approximate fair value because of the short-term nature of these items. The carrying value of our debt approximates the fair value as of December 31, 2022 and 2021, as the floating rates on our outstanding balances approximate current market rates. This conclusion was made based on Level 2 inputs. Fair values determined by Level 2 utilize inputs that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. Other than the investments held by the retirement benefit plans, as described in Note 17 to the Consolidated Financial Statements, the Company does not have any other significant financial assets or liabilities measured at fair value on a recurring basis. The Company has no recurring or nonrecurring valuations that fall under Level 3 of the fair value hierarchy as of December 31, 2022 and 2021. |
Long-Term Debt
Long-Term Debt | 12 Months Ended |
Dec. 31, 2022 | |
Debt Disclosure [Abstract] | |
LONG-TERM DEBT | LONG-TERM DEBT The components of long-term debt are as follows: December 31, (in thousands) 2022 2021 Bank revolving credit facility $ 52,000 $ 4,000 Term debt 249,928 265,498 Capital lease obligations 24 56 Total debt 301,952 269,554 Less current maturities 15,009 15,032 Total long-term debt $ 286,943 $ 254,522 On October 28, 2022, the Company, as Borrower, and each of its domestic subsidiaries as guarantors, entered into a Third Amended and Restated Credit Agreement (the “2022 Credit Agreement”) with Bank of America, N.A., as Administrative Agent. The 2022 Credit Agreement provides Borrower with the ability to request loans and other financial obligations in an aggregate amount of up to $655.0 million. Under the 2022 Credit Agreement, the Company has borrowed $255.0 million pursuant to a Term Facility, while up to $400.0 million is available to the Company pursuant to a Revolver Facility which terminates in 5 years. The Term Facility requires the Company to make equal quarterly principal payments of $3,750,000 over the term of the loan, with the final payment of any outstanding principal amount, plus interest, due at the end of the five year term. Borrowings under the 2022 Credit Agreement bear interest, at the Company’s option, at a Term Secured Overnight Financing Rate (“SOFR”) or a Base Rate (each as defined in the 2022 Credit Agreement), plus, in each case, an applicable margin. The applicable margin ranges from 1.25% to 2.50% for Term SOFR borrowings and from .25% to 1.50% for Base Rate borrowings with the margin percentage based upon the Company's consolidated leverage ratio. The Company must also pay a commitment fee to the lenders ranging between 0.15% to 0.30% on any unused portion of the $400,000,000 Revolver Facility. The 2022 Credit Agreement requires the Company to maintain two financial covenants, namely, a maximum consolidated leverage ratio and a minimum consolidated fixed charge coverage ratio. The Agreement also contains various covenants relating to limitations on indebtedness, limitations on investments and acquisitions, limitations on the sale of properties and limitations on liens and capital expenditures. The Agreement also contains other customary covenants, representations and events of defaults. The expiration date of the 2022 Credit Agreement, including the Term Facility and the Revolver Facility, is October 28, 2027. As of December 31, 2022, $301.9 million was outstanding under the Credit Agreement. Of the total outstanding, $249.9 million was on the Term Facility at a rate of 6.17% and $52.0 million was on the Revolver Facility at a rate of 6.25%. On December 31, 2022, $2.8 million of the revolver capacity was committed to irrevocable standby letters of credit issued in the ordinary course of business as required by vendors' contracts resulting in $295.2 million in available borrowings. The Company is in compliance with the covenants under the Credit Agreement. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES Income Statement Components Earnings before income taxes were as follows: December 31, (in thousands) 2022 2021 2020 Income before income taxes: Domestic $ 86,680 $ 74,070 $ 50,977 Foreign 47,630 35,428 28,780 $ 134,310 $ 109,498 $ 79,757 The components of income tax expense (benefit) were as follows: December 31, (in thousands) 2022 2021 2020 Current: Domestic $ 19,197 $ 16,846 $ 10,823 Foreign 11,848 8,646 8,759 State 3,674 4,943 3,226 34,719 30,435 22,808 Deferred: Domestic (2,246) (679) 1,238 Foreign (51) (274) (1199) State (40) (229) (894) (2,337) (1,182) (855) Total income taxes $ 32,382 $ 29,253 $ 21,953 A reconciliation of the income tax at the Company’s U.S. statutory federal income tax rate to the provision for income tax follows: December 31, (in thousands) 2022 2021 2020 Income tax expense at statutory rates $ 28,205 $ 22,995 $ 16,749 Increase (reduction) from: Jurisdictional rate differences 1,989 1,599 1,034 Executive compensation limitation 481 1,314 170 Stock based compensation 122 (322) (366) U.S. state taxes 2,632 3,724 2,556 Foreign tax expense 267 — 704 R&D credit (1,645) (670) (415) GILTI 500 — 50 Previously unrecognized tax (benefit)/expense 51 8 2,219 Other, net (220) 605 (748) Provision for income taxes $ 32,382 $ 29,253 $ 21,953 Effective tax rate 24 % 27 % 28 % Deferred Income Tax Assets and Liabilities The components of the Company’s deferred income tax assets and liabilities were as follows. Certain prior year deferred tax component amounts have been reclassified to conform to the current year presentation. December 31, (in thousands) 2022 2021 Deferred income tax assets: Inventory basis difference $ 3,459 $ 1,136 Accounts receivable reserve 334 270 Rental equipment and Property, plant and equipment 347 201 Stock based compensation 826 754 Pension liability 2,900 3,351 Employee benefit accrual 2,451 3,070 Product liability and warranty reserves 2,177 2,464 Foreign net operating loss 3,078 3,764 Lease liability 4,738 4,221 Capitalized R&D costs 4,230 — Other 1,635 1,415 Total deferred income tax assets $ 26,175 $ 20,646 Less: Valuation allowance (3,637) (4,129) Net deferred income tax assets $ 22,538 $ 16,517 Deferred income tax liabilities: Inventory basis differences $ (264) $ (283) Rental equipment and Property, plant and equipment (14,373) (13,253) Lease asset (4,637) (4,149) Intangible assets (19,301) (18,041) Expenses not currently deductible for book purposes (1,244) (1,139) Total deferred income tax liabilities $ (39,819) $ (36,865) Net deferred income taxes $ (17,281) $ (20,348) As of December 31, 2022, the Company had foreign deferred tax assets consisting of foreign net operating losses and other tax benefits available to reduce future taxable income in a foreign jurisdiction. These foreign jurisdictions’ net operating loss carry-forwards are approximately $10.1 million with an unlimited carry-forward period. The Company also has U.S. state net operating loss carry-forwards in the amount of $0.2 million which will expire between 2036 and 2042. The Company's valuation allowances as of December 31, 2022 and 2021 related primarily to foreign net operating losses and foreign tax credits. Unrecognized Tax Benefits A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows. The Company does not expect the unrecognized tax benefits to change significantly over the next 12 months. Unrecognized Tax Benefits December 31, (in thousands) 2022 2021 Balance as of beginning of year $ 270 $ 262 Increases for tax positions related to the current year 156 82 Decreases due to lapse of statute of limitations (105) (74) Balance as of end of year $ 321 $ 270 The Company has adopted the policy to include interest and penalty expense related to income taxes as interest and other expense, respectively. As of December 31, 2022, no interest or penalties have accrued. With few exceptions, the Company’s open tax years for its federal and state income tax returns are for the tax years ended 2017 through 2022, and for tax years ended 2016 through 2022 for its foreign income tax returns. The Company currently intends to permanently reinvest its earnings in certain foreign subsidiaries. No U.S. corporate income taxes or foreign withholding taxes should be imposed on future distributions of the earnings not permanently reinvested. If the amounts asserted as permanent reinvestment were distributed, the Company would be subject to approximately $4.8 million in withholding taxes. |
Common Stock
Common Stock | 12 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
COMMON STOCK | COMMON STOCKOn January 3, 2023, the Board of Directors of the Company declared a quarterly dividend of $0.22 per share which was paid on February 1, 2023 to holders of record as of January 18, 2023. The Company also has a share repurchase program under which the Company is authorized to repurchase, in the aggregate, up to $30.0 million of its outstanding common stock. During 2022, the Company purchased zero shares. |
Stock Options
Stock Options | 12 Months Ended |
Dec. 31, 2022 | |
Share-Based Payment Arrangement [Abstract] | |
STOCK OPTIONS | STOCK OPTIONS Incentive Stock Option Plan On May 7, 2015, the stockholders of the Company approved the 2015 Incentive Stock Option Plan (“2015 ISO Plan”) and the Company reserved 400,000 shares of common stock for options to be issued under the 2015 ISO Plan. Each option becomes vested and exercisable for up to 20% of the total optioned shares one year following the grant of the option and for an additional 20% of the total optioned shares after each succeeding year until the option is fully exercisable at the end of the fifth year. We also maintain other incentive option plans that have expired, under which previously granted awards remain outstanding. No additional grants may be awarded under these plans. Following is a summary of activity in the Incentive Stock Option Plans for the periods indicated: 2022 2021 2020 Shares Exercise Price* Shares Exercise Price* Shares Exercise Price* Options outstanding at beginning of year 87,610 $ 91.24 100,920 $ 68.58 119,720 $ 57.65 Granted 17,625 137.93 18,900 156.38 13,950 114.53 Exercised (14,780) 50.79 (30,210) 53.68 (31,300) 45.94 Canceled (5,808) 114.48 (2,000) 130.92 (1,450) 96.97 Options outstanding at end of year 84,647 106.43 87,610 91.24 100,920 68.58 Options exercisable at end of year 43,412 $ 78.50 49,360 $ 61.21 67,700 $ 52.60 Options available for grant at end of year 286,033 297,850 314,750 *Weighted Averages Options outstanding and exercisable at December 31, 2022 were as follows: Qualified Stock Options Options Outstanding Options Exercisable Shares Remaining Contractual Life (yrs)* Exercise Price* Shares Exercise Price* Range of Exercise Price $42.70 - $83.99 27,725 2.32 $ 57.89 27,725 $ 57.89 $92.50 - $138.75 40,422 7.57 $ 119.34 12,387 $ 103.89 $156.38 - $234.57 16,500 8.16 $ 156.38 3,300 $ 156.38 Total 84,647 43,412 *Weighted Averages The weighted-average grant-date fair values of options granted during 2022, 2021, and 2020 were $52.70, $59.01 and $38.33, respectively. Stock option expense was $0.6 million, $0.6 million and $0.5 million for years ending 2022, 2021, and 2020, respectively. As of December 31, 2022, there was $1.3 million of total unrecognized compensation cost related to non-vested share-based compensation arrangements granted under the plans. That cost is expected to be recognized over a period of five years. Equity Incentive Plan On May 2, 2019, the stockholders of the Company approved the 2019 Equity Incentive Plan and the Company reserved 500,000 shares of common stock for issuance of equity awards including the issuance of non-qualified options for the purchase of shares of our common stock which may be granted to Company officers and non-employee directors. Options become vested and exercisable for up to 20% of the total optioned shares one year following the grant of the option and for an additional 20% of the total optioned shares after each succeeding year until the option is fully exercisable at the end of the fifth year. 2022 2021 2020 Options available for grant at end of year 381,531 423,969 455,549 We also maintain other incentive option plans that have expired, under which previously granted awards remain outstanding. No additional grants may be awarded under these plans. Non-Qualified Options Following is a summary of activity in the Non-Qualified Stock Option Plans for the periods indicated: 2022 2021 2020 Shares Exercise Price* Shares Exercise Price* Shares Exercise Price* Options outstanding at beginning of year 2,000 $ 53.51 3,000 $ 53.51 5,300 $ 46.87 Granted — — — — — — Exercised (1,000) 53.51 (1,000) 53.51 (2,300) 38.22 Canceled — — — — — — Options outstanding at end of year 1,000 53.51 2,000 53.51 3,000 53.51 Options exercisable at end of year 1,000 $ 53.51 2,000 $ 53.51 3,000 $ 53.51 *Weighted Averages Options outstanding and exercisable as of December 31, 2022 were as follows: Non-Qualified Stock Options Options Outstanding Options Exercisable Shares Remaining Contractual Life (yrs)* Exercise Price* Shares Exercise Price* Range of Exercise Price $42.70 - $83.99 1,000 1.36 $ 53.51 1,000 $ 53.51 Total 1,000 1,000 *Weighted Averages There were no options granted in 2020 , 2021 or 2022. Stock option expense was zero for years ending 2022, 2021, and 2020, respectively. As of December 31, 2022, there was zero unrecognized compensation cost related to non-vested share-based compensation arrangements granted under the plans. During 2022, 2021, and 2020, 1,000, 1,000, and 2,300 non-qualified options were exercised, respectively, $0.1 million, $0.1 million, and $0.1 million of cash receipts were received, respectively. Restricted Stock Awards/Units Following is a summary of activity in the Restricted Stock Awards (" RSA ")/Units for the periods indicated: 2022 2021 2020 Shares Grant-Date Fair Value* Shares Grant-Date Fair Value* Shares Grant-Date Fair Value* Awards outstanding at beginning of year 80,616 $ 129.53 91,043 $ 104.77 78,705 $ 94.34 Granted 48,396 133.70 35,224 157.00 44,307 111.95 Exercised (29,922) 122.19 (45,651) 101.36 (31,594) 88.90 Canceled (1,460) 143.82 — — (375) 100.34 Awards outstanding at end of year 97,630 133.67 80,616 129.53 91,043 104.77 *Weighted Averages Restricted stock awards vest over a three year period. The weighted-average remaining contractual life in years for 2022, 2021 and 2020 was 1.41, 1.61 and 1.95, respectively. Compensation expense was $4.9 million, $5.4 million and $3.7 million for years ending 2022, 2021, and 2020, respectively. As of December 31, 2022, there was $7.0 million of total unrecognized compensation cost related to non-vested share-based compensation arrangements granted under the plans. That cost is expected to be recognized over a period of three years. Performance Stock Units In 2020, the Company's Board of Directors approved a change to our long-term incentive compensation plan to implement new performance-based equity grants in the form of a Performance Stock Unit ("PSU") award. PSU award vesting and payout amounts are tied to the Company's achievement of certain targeted financial metrics relating to a three-year performance period with the goal of more closely aligning executive compensation with long-term Company performance. The 2020 target long-term incentive compensation mix established for the Company's Section 16 filers consists of RSAs and PSUs each representing fifty percent (50%) of the total long-term incentive compensation target value. |
Retirement Benefit Plans
Retirement Benefit Plans | 12 Months Ended |
Dec. 31, 2022 | |
Retirement Benefits [Abstract] | |
RETIREMENT BENEFIT PLANS | RETIREMENT BENEFIT PLANS Defined Benefit Plans In connection with the February 3, 2006 purchase of all the net assets of the Gradall excavator business, the Company assumed sponsorship of two Gradall non-contributory defined benefit pension plans, both of which are frozen with respect to both future benefit accruals and future new entrants. The Gradall Company Employees’ Retirement Plan covers approximately 245 former employees and 51 current employees who (i) were formerly employed by JLG Industries, Inc., (ii) were not covered by a collective bargaining agreement and (iii) first participated in the plan before December 31, 2004. An amendment ceasing future benefit accruals for certain participants was effective December 31, 2004. A second amendment discontinued all future benefit accruals for all participants effective April 24, 2006. The Gradall Company Hourly Employees’ Pension Plan covered former employees and current employees who (i) were formerly employed by JLG Industries, Inc., (ii) were covered by a collective bargaining agreement and (iii) first participated in the plan before April 6, 1997. An amendment ceasing all future benefit accruals was effective April 6, 1997. The following table sets forth the change in plan assets, change in projected benefit obligation, rate assumptions and components of net periodic benefit cost as of December 31 with respect to the plan. The measurement dates of the assets and liabilities of the plan were December 31 of the respective years presented. Reconciliation of Funded Status Year Ended December 31, (in thousands) 2022 2021 Change in projected benefit obligation Benefit obligation at beginning of year $ 22,564 $ 24,100 Service cost 4 5 Interest cost 604 553 Liability actuarial (gain) loss (4,761) (994) Benefits paid (1,140) (1,100) Benefit obligation at end of year $ 17,271 $ 22,564 Change in fair value of plan assets Fair value of plan assets at beginning of year $ 23,671 $ 22,370 Return on plan assets (4,262) 2,401 Employer contributions — — Benefits paid (1,140) (1,100) Fair value of plan assets at end of year 18,269 23,671 Funded status $ 998 $ 1,107 The Company recognizes the overfunded or underfunded status (i.e., the difference between the fair value of plan assets and the projected benefit obligations) of defined benefit postretirement plans as an asset or liability in its consolidated balance sheet and recognizes changes in the funded status in the year in which the changes occur. The Company measures the funded status of a plan as of the date of the year-end consolidated balance sheet. The accumulated benefit obligation for our pension plan represents the actuarial present value of benefits based on employee service and compensation as of a certain date and does not include an assumption about future compensation levels. In determining the projected benefit obligation and the net pension cost, we used the following significant weighted-average assumptions: Rates to Determine Benefit Obligation Year Ended December 31, 2022 2021 Discount rate 5.10% 2.75% Composite rate of compensation increase N/A N/A Rates to Determine Net Periodic Benefit Cost Year Ended December 31, 2022 2021 Discount rate 2.75% 2.35% Long-term rate of return on plan assets 6.00% 7.25% Composite rate of compensation increase N/A N/A The Company employs a building block approach in determining the expected long-term rate of return on plan assets. Historical markets are studied and long-term historical relationships between equities and fixed income are preserved consistent with the widely accepted capital market principle that assets with higher volatility generate a greater return over the long run. Current market factors such as inflation and interest rates are evaluated before long-term market assumptions are determined. The long-term portfolio return is established via a building block approach with proper consideration of diversification and rebalancing. Peer data and historical returns are reviewed to check for reasonability and appropriateness. The following table presents the components of net periodic benefit cost (gains are denoted with parentheses and losses are not): Components of Net Periodic Benefit Cost Year Ended December 31, (in thousands) 2022 2021 Service cost $ 4 $ 5 Interest cost 604 553 Expected return on plan assets (1,384) (1,581) Amortization of net loss 182 542 Net periodic benefit cost $ (594) $ (481) The Company estimates that $1.0 million of unrecognized actuarial expense will be amortized from Accumulated other comprehensive income (loss) into net periodic benefit costs during 2023. The Company employs a total return investment approach whereby a mix of equities and fixed income investments are used to maximize the long-term return of plan assets for a prudent level of risk. Risk tolerance is established through careful consideration of plan liabilities, plan funded status, and corporate financial condition. The investment portfolio contains a diversified blend of equity and fixed income investments. Furthermore, equity investments are diversified across U.S. and non-U.S. stocks, as well as growth, value, and small and large capitalization. Other assets such as real estate, private equity, and hedge funds are used judiciously to enhance long-term returns while improving portfolio diversification. Derivatives may be used to gain market exposure in an efficient and timely manner; however, derivatives may not be used to leverage the portfolio beyond the market value of the underlying investments. Investment risk is measured and monitored on an ongoing basis through quarterly investment portfolio reviews, annual liability measurements, and periodic asset/liability studies. Our current asset allocations are consistent with our targeted allocations. The pension plans' weighted-average asset allocation as a percentage of plan assets at December 31 is as follows: Asset Allocation as a Percentage of the Plan Year Ended December 31, 2022 2021 Equity securities 36% 36% Debt securities 62% 62% Short-term investments 2% 2% Other —% —% Total 100% 100% The following table presents the hierarchy levels for our postretirement benefit plan investments as of December 31 as described in Note 1 to the Consolidated Financial Statements: December 31, 2022 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Mutual Funds: Mid Cap $ 512 $ 512 $ — $ — International 743 743 — — Common/Collective Trusts: Wells Fargo Liability Driven Solution CIT I 7,815 — 7,815 — Wells Fargo Liability Driven Solution CIT II 3,550 — 3,550 — Wells Fargo BlackRock International Equity 488 — 488 — Wells Fargo/Causeway International Value 464 — 464 — Wells Fargo BlackRock Large Cap Growth Index Fund 724 — 724 — Wells Fargo BlackRock Large Cap Value Index Fund 744 — 744 — Wells Fargo Multi-Manager Small Cap 785 — 785 — Wells Fargo BlackRock Russell 2000 Index Fund 261 — 261 — Wells Fargo BlackRock S&P Mid Cap Index Fund 320 — 320 — Wells Fargo/MFS Value CIT F 359 — 359 — Wells Fargo/T. Rowe Price Large-Cap Growth Managed CIT 359 — 359 — Wells Fargo/T. Rowe Price Equity Income Managed CIT 356 — 356 — Wells Fargo Voya Large Cap Growth CIT F 357 — 357 — Cash & Short-term Investments 432 432 — — Total $ 18,269 $ 1,687 $ 16,582 $ — December 31, 2021 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Mutual Funds: Mid Cap $ 637 $ 637 $ — $ — International 940 940 — — Common/Collective Trusts: Wells Fargo Liability Driven Solution CIT I 7,782 — 7,782 — Wells Fargo Liability Driven Solution CIT II 7,026 7,026 Wells Fargo BlackRock International Equity 616 — 616 — Wells Fargo/Causeway International Value 586 — 586 — Wells Fargo BlackRock Large Cap Growth Index Fund 950 — 950 — Wells Fargo BlackRock Large Cap Value Index Fund 968 — 968 — Wells Fargo Multi-Manager Small Cap 1,015 — 1,015 — Wells Fargo BlackRock Russell 2000 Index Fund 332 — 332 — Wells Fargo BlackRock S&P Mid Cap Index Fund 419 — 419 — Wells Fargo/MFS Value CIT F 469 — 469 — Wells Fargo/T. Rowe Price Large-Cap Growth Managed CIT 465 — 465 — Wells Fargo/T. Rowe Price Equity Income Managed CIT 487 — 487 — Wells Fargo Voya Large Cap Growth CIT F 482 — 482 — Cash & Short-term Investments 497 497 — — Total $ 23,671 $ 2,074 $ 21,597 $ — Our interests in the common collective trust investments are managed by one custodian. Consistent with our investment policy, the custodian has invested the assets across a widely diversified portfolio of U.S. and international equity and fixed income securities. Fair values of each security within the collective trust as of December 31, 2022 were obtained from the custodian and are based on quoted market prices of individual investments; however, since the fund itself does not have a quoted market price, these assets are considered Level 2. The common collective funds noted in the above table have estimated fair value using the net asset value per share of investments. Investments can be redeemed immediately at the current net asset value per share based on the fair value of the underlying assets. Redemption frequency is daily. The categories contain investments in equity securities of smaller growing companies, medium-sized U.S. companies, large value-oriented and growth-oriented companies, and foreign companies traded on international markets. Expected benefit payments are estimated using the same assumptions used in determining our benefit obligation as of December 31, 2022. The following table illustrates the estimated pension benefit payments that are projected to be paid: Projected Future Benefit Payments (in thousands) Employees’ Retirement Plan 2023 $ 1,275 2024 1,304 2025 1,315 2026 1,312 2027 1,306 Years 2028 through 2032 6,209 Supplemental Retirement Plan The Board of Directors of the Company adopted the Alamo Group Inc. Supplemental Executive Retirement Plan (the “SERP”), effective as of January 3, 2011. The SERP will benefit certain key management or other highly compensated employees of the Company and/or certain subsidiaries who are selected by the Compensation Committee and approved by the Board to participate. The SERP is intended to provide a benefit from the Company upon retirement, death or disability, or a change in control of the Company. Accordingly, the SERP obligates the Company to pay to a participant a Retirement Benefit (as defined in the SERP) upon the occurrence of certain payment events to the extent a participant has a vested right thereto. A participant’s right to his or her Retirement Benefit becomes vested in the Company’s contributions upon 10 years of Credited Service (as defined in the SERP) or a change in control of the Company. The Retirement Benefit is based on 20% of the final three-year average salary of each participant on or after his or her normal retirement age (65 years of age). In the event of the participant’s death or a change in control, the participant’s vested retirement benefit will be paid in a lump sum to the participant or his or her estate, as applicable, within 90 days after the participant’s death or a change in control, as applicable. In the event that the participant is entitled to a benefit from the SERP due to disability, retirement or other termination of employment, the benefit will be paid in monthly installments over a period of fifteen years. The Company records amounts relating to the SERP based on calculations that incorporate various actuarial and other assumptions, including discount rates, rate of compensation increases, retirement dates and life expectancy. The net periodic costs are recognized as employees render the services necessary to earn the SERP benefits. In May of 2015, the Board amended the SERP to allow the Board to modify the retirement benefit percentage either higher or lower than 20%. In May of 2016, the Board added additional highly compensated employees to the plan. As of December 31, 2022, the current retirement benefit (as defined in the plan) for the participants ranges from 10% to 20%. The change in the Projected Benefit Obligation (PBO) as of December 31, 2022 and 2021, is shown below: Reconciliation of Benefit Obligation Year Ended December 31, (in thousands) 2022 2021 Benefit obligation at January 1, $ 11,326 $ 10,160 Service cost 284 369 Interest cost 278 205 Liability actuarial loss (gain) (2,023) 759 Benefits paid (313) (167) Benefit obligation at December 31, $ 9,552 $ 11,326 The components of net periodic pension expense were as follows: Components of Net Periodic Benefit Cost Year Ended December 31, (in thousands) 2022 2021 Service cost $ 284 $ 369 Interest cost 278 205 Amortization of prior service cost 420 413 Amortization of net (gain)/loss 440 318 Net periodic benefit cost $ 1,422 $ 1,305 The Company estimates that $0.4 million of unrecognized actuarial expense will be amortized from Accumulated other comprehensive income into net periodic benefit costs during 2023. In determining the projected benefit obligation and the net pension cost, we used the following significant weighted-average assumptions: Assumptions used to determine benefit obligations at December 31: Rates to Determine Benefit Obligation 2022 2021 Discount rate 5.05% 2.50% Composite rate of compensation increase 3.00% 3.00% Assumptions used to determine net periodic benefit cost for the years ended December 31: Rates to Determine Net Periodic Benefit Cost 2022 2021 Discount rate 2.50% 2.05% Composite rate of compensation increase 3.00% 3.00% Long-term rate of return on plan assets N/A N/A Future estimated benefits expected to be paid from the plan over the next ten years as follows: Projected Future Benefit Payments (in thousands) SERP 2023 $ 490 2024 546 2025 639 2026 866 2027 868 Years 2028 through 2032 4,321 Defined Contribution Plans The Company has two defined contribution plans, The Gradall Salaried Employees’ Savings and Investment Plan (“Salary Plan”) and The International Association of Machinist and Aerospace Workers Retirement Plan (“IAM Plan”). The Company contributed $0.5 million, $0.5 million, and $0.4 million to the IAM Plan for the plan years ended December 31, 2022, 2021 and 2020, respectively. The Company converted the Salary Plan into its 401(k) retirement and savings plan and put the Hourly Plan into a separate 401(k) retirement and savings plan. The Company provides a defined contribution 401(k) retirement and savings plan for eligible U.S. employees. Company matching contributions are based on a percentage of employee contributions. Company contributions to the plan during 2022, 2021 and 2020 were $4.2 million, $3.9 million, and $3.5 million, respectively. Three of the Company’s international subsidiaries also participate in a defined contribution and savings plan covering eligible employees. The Company’s international subsidiaries contribute between 0% and 10% of the participant’s salary up to a specific limit. Total contributions made to the above plans were $0.9 million, $0.9 million, and $0.9 million for the years ended December 31, 2022, 2021 and 2020, respectively. |
Revenue and Segment Reporting
Revenue and Segment Reporting | 12 Months Ended |
Dec. 31, 2022 | |
Segment Reporting [Abstract] | |
REVENUE AND SEGMENT REPORTING | REVENUE AND SEGMENT REPORTING Disaggregation of revenue is presented in the tables below by product type. Management has determined that this level of disaggregation would be beneficial to users of the financial statements. Revenue by Product Type December 31, (in thousands) 2022 2021 2020 Net Sales Wholegoods $ 1,185,885 $ 1,024,158 $ 885,254 Parts 280,261 262,432 247,126 Other * 47,470 47,633 31,086 Consolidated $ 1,513,616 $ 1,334,223 $ 1,163,466 *Other includes rental sales, extended warranty sales and service sales as it is considered immaterial. The Company’s sales are principally within the United States, United Kingdom, France, Canada and Australia. The Company sells its products primarily through a network of independent dealers and distributors to governmental end-users, related independent contractors, as well as to the agricultural and commercial turf markets. Effective for the fourth quarter of 2021, the Company began reporting its operating results on the basis of the following segments, Vegetation Management Division and Industrial Equipment Division. Prior to the fourth quarter of 2021, the Company had been reporting its operating results on the basis of two segments which were the Industrial Division and Agricultural Division. The Vegetation Management Division includes all of the operations of the former Agricultural Division plus the mowing and forestry/tree care operations that were previously part of the former Industrial Division. The Industrial Equipment Division includes the Company’s vocational truck business and other industrial operations such as excavators, vacuum trucks, street sweepers, and snow removal equipment. The Company has included a summary of the financial information by reporting segment. The following table presents the revenue and income from operations by reporting segment for the years ended December 31, 2022, 2021, and 2020: December 31, (in thousands) 2022 2021 2020 Net Revenue Vegetation Management $ 937,065 $ 812,676 $ 654,630 Industrial Equipment 576,551 521,547 508,836 Consolidated $ 1,513,616 $ 1,334,223 $ 1,163,466 Income from Operations Vegetation Management $ 108,508 $ 78,917 $ 46,651 Industrial Equipment 40,084 38,021 48,134 Consolidated $ 148,592 $ 116,938 $ 94,785 The following table presents the goodwill and total identifiable assets by reporting segment for the years ended December 31, 2022 and 2021: December 31, (in thousands) 2022 2021 Goodwill Vegetation Management $ 127,562 $ 132,963 Industrial Equipment 68,296 69,443 Consolidated $ 195,858 $ 202,406 Identifiable Assets Vegetation Management $ 866,974 $ 789,838 Industrial Equipment 441,534 415,904 Consolidated $ 1,308,508 $ 1,205,742 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 12 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
ACCUMULATED OTHER COMPREHENSIVE LOSS | ACCUMULATED OTHER COMPREHENSIVE LOSS Changes in accumulated other comprehensive loss by component, net of tax, were as follows: Twelve Months Ended December 31, 2022 2021 (in thousands) Foreign Currency Translation Adjustment Defined Benefit Plans Items Gains (Losses) on Cash Flow Hedges Total Foreign Currency Translation Adjustment Defined Benefit Plans Items Gains (Losses) on Cash Flow Hedges Total Balance as of beginning of period $ (42,397) $ (5,017) $ (1,576) $ (48,990) $ (26,597) $ (6,855) $ (6,874) $ (40,326) Other comprehensive income (loss) before reclassifications (23,032) — 1,512 (21,520) (15,800) — 7,984 (7,816) Amounts reclassified from accumulated other comprehensive loss — 1,707 535 2,242 — 1,838 (2,686) (848) Other comprehensive income (loss) (23,032) 1,707 2,047 (19,278) (15,800) 1,838 5,298 (8,664) Balance as of end of period $ (65,429) $ (3,310) $ 471 $ (68,268) $ (42,397) $ (5,017) $ (1,576) $ (48,990) |
International Operations and Ge
International Operations and Geographic Information | 12 Months Ended |
Dec. 31, 2022 | |
Segment Reporting [Abstract] | |
INTERNATIONAL OPERATIONS AND GEOGRAPHIC INFORMATION | INTERNATIONAL OPERATIONS AND GEOGRAPHIC INFORMATION Following is selected financial information on the Company’s international operations, which include the United Kingdom, France, Netherlands, Canada, Brazil, and Australia: International Operations Financial Information December 31, (in thousands) 2022 2021 2020 Net sales $ 420,678 $ 363,339 $ 312,462 Income from operations 48,893 34,561 31,166 Income before income taxes 51,206 37,051 30,674 Identifiable assets 364,752 352,187 304,536 Following is other selected geographic financial information on the Company’s operations: Geographic Financial Information December 31, (in thousands) 2022 2021 2020 Geographic net sales: United States $ 1,080,893 $ 953,024 $ 862,430 France 89,629 92,052 81,259 Canada 95,799 83,392 65,313 United Kingdom 69,454 57,386 47,757 Brazil 46,841 31,365 16,592 Netherlands 23,304 27,964 23,946 Germany 9,115 8,977 9,328 Australia 26,117 20,980 10,999 Other 72,464 59,083 45,842 Total net sales $ 1,513,616 $ 1,334,223 $ 1,163,466 Geographic location of long-lived assets: United States $ 457,075 $ 461,341 $ 480,940 Netherlands 28,428 32,262 39,063 Canada 32,165 32,132 33,573 United Kingdom 31,767 36,569 18,843 France 18,728 19,781 21,033 Brazil 12,175 10,408 11,123 Australia 670 790 964 Total long-lived assets $ 581,008 $ 593,283 $ 605,539 Net sales are attributed to countries based on the location of customers. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2022 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES The Company is subject to various unresolved legal actions that arise in the ordinary course of its business. The most significant of such actions relates to product liability, which is generally covered by insurance after various self-insured retention amounts. While amounts claimed might be substantial and the liability with respect to such litigation cannot be determined at this time, the Company believes that the outcome of these matters will not have a material adverse effect on the Company’s consolidated financial position or results of operations; however, the ultimate resolution cannot be determined at this time. Also, like other manufacturers, the Company is subject to a broad range of federal, state, local and foreign laws and requirements, including those concerning air emissions, discharges into waterways, and the generation, handling, storage, transportation, treatment and disposal of hazardous substances and waste materials, as well as the remediation of contamination associated with releases of hazardous substances at the Company’s facilities and off-site disposal locations, workplace safety and equal employment opportunities. These laws and regulations are constantly changing, and it is impossible to predict with accuracy the effect that changes to such laws and regulations may have on the Company in the future. Like other industrial concerns, the Company’s manufacturing operations entail the risk of noncompliance, and there can be no assurance that the Company will not incur material costs or other liabilities as a result thereof. |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Principles of Consolidation | Basis of Presentation and Principles of Consolidation The accompanying consolidated financial statements include the accounts of Alamo Group Inc. and its subsidiaries (the “Company” or “Alamo Group”), all of which are wholly owned. All intercompany accounts and transactions have been eliminated in consolidation. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with U.S. Generally Accepted Accounting Principles requires management to make estimates and assumptions that affect the amount of assets, liabilities, revenues, and expenses reported in the financial statements and accompanying notes. Judgments related to asset impairment and certain reserves are particularly subject to change. Actual results could differ from those estimates. Such estimates include, but are not limited to, allowance for doubtful accounts, reserve for sales discounts, estimated realizable value on obsolete and slow-moving inventory, warranty reserve, estimates related to pension accounting, estimates related to fair value for purposes of assessing goodwill, long-lived assets and intangible assets for impairment, estimates related to income taxes, and estimates related to contingencies. |
Foreign Currency | Foreign Currency The Company translates the assets and liabilities of foreign-owned subsidiaries at rates in effect at the end of the year. Revenues and expenses are translated at average rates in effect during the reporting period. Translation adjustments are included in Accumulated other comprehensive income (loss). |
Cash Equivalents | Cash EquivalentsThe Company considers all highly liquid investments with original maturities of three months or less from the date of purchase to be cash equivalents. |
Concentrations of Credit Risk | Concentrations of Credit Risk Financial instruments which potentially subject the Company to concentrations of credit risk consist principally of accounts receivable. The credit risk is limited because of the large numbers and types of customers and their geographic dispersion. |
Inventory Valuation | Inventory ValuationInventories are stated at the lower of cost or net realizable value. |
Property, Plant and Equipment | Property, Plant and Equipment Property, plant, and equipment are stated on the basis of cost. Major renewals and betterments are charged to the property accounts, while replacements, maintenance and repairs, which do not improve or extend the lives of the respective assets, are expensed to the current period. Depreciation is provided at amounts calculated to amortize the cost of the assets over their estimated useful economic lives using the straight-line method. |
Impairment of Long-lived assets | Impairment of Long-Lived AssetsLong-lived assets, such as property, plant and equipment, rental equipment, and purchased intangibles subject to amortization, are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. If circumstances require a long-lived asset or asset group to be tested for possible impairment, the Company first compares non-discounted cash flows expected to be generated by that asset group to its carrying amount. If the carrying amount of the long-lived asset or asset group is not recoverable on a non-discounted cash flow basis, an impairment is recognized to the extent that the carrying amount exceeds fair value. Fair value is determined through various valuation techniques including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary. |
Goodwill | Goodwill Goodwill represents the excess of the purchase price over the estimated fair value of the identifiable net assets acquired. Goodwill is not amortized but is instead tested for impairment at least annually, or whenever events or circumstances change between the annual impairment tests that make it likely that an impairment may have occurred, such as a significant adverse change in the business climate or a decision to sell all or a portion of a reporting unit. The Company performs its annual test for goodwill impairment related to its reporting units on October 1 of each fiscal year. Impairment testing for goodwill is done at the reporting unit level. A reporting unit is an operating segment or one level below an operating segment (also known as a component). A component of an operating segment is a reporting unit if the component constitutes a business for which discrete financial information is available, and segment management regularly reviews the operating results of that component. We perform a qualitative assessment for all of our reporting units to determine whether it is more likely than not that an impairment exists. Factors considered include macroeconomic, industry and competitive conditions, legal and regulatory environment, historical financial performance and significant changes in the reporting unit. If the qualitative assessment indicates that it is more likely than not that an impairment exists, then a quantitative assessment is performed. Alternatively, we may also bypass the qualitative assessment and go ahead and perform step 1 to determine if the carrying amount exceeds the reporting unit’s fair value. If the fair value of the reporting unit is lower than its carrying amount, goodwill is written down for the amount by which the carrying amount exceeds the fair value. However, the loss recognized cannot exceed the carrying amount of goodwill. We typically use discounted cash flow models to determine the fair value of a reporting unit. The assumptions used in these models are consistent with those we believe a hypothetical marketplace participant would use. |
Intangible Assets | Intangible Assets The Company has intangible assets with both definite and indefinite useful lives. The definite-lived assets are trade names and trademarks, customer and dealer relationships, and patents and drawings that are subject to amortization with useful lives ranging from 3 years to 25 years. Impairment of definite-lived assets is discussed as part of the Impairment of Long-Lived Assets paragraph above. The indefinite-lived assets not subject to amortization consist of trade names. The Company tests its indefinite-lived intangible assets for impairment on an annual basis at year-end, or more frequently if an event occurs or circumstances change that indicate that the fair value of an indefinite-lived intangible asset could be below its carrying amount. The impairment test consists of comparing the fair value of the indefinite-lived intangible asset, |
Leases | Leases We determine if an arrangement is a lease at inception. Operating leases are included in other non-current assets, accrued liabilities, and other long-term liabilities on our consolidated balance sheets. Finance leases are included in property, plant and equipment, accrued liabilities, and other long-term liabilities on our consolidated balance sheets. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The operating lease ROU asset also includes any lease payments made and excludes lease incentives. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. We have elected to not account for the lease and non-lease components separately for most of our asset classes with the exception of real-estate. We have also elected to exclude all lease agreements with an initial term of 12 months or less from the lease recognition requirements as allowed by ASC. |
Pensions | Pensions The Company records annual amounts relating to its pension and post-retirement plans based on calculations that incorporate various actuarial and other assumptions, including discount rates, mortality, assumed rates of return, compensation increases, turnover rates and health care cost trend rates. The Company reviews its assumptions on an annual basis and makes modifications to the assumptions based on current rates and trends when it is appropriate to do so. The effect of modifications to those assumptions is recorded in Accumulated other comprehensive income (loss) and amortized to net periodic cost over future periods using the corridor method. The Company believes that the assumptions utilized in recording its obligations under its plans are reasonable based on its experience and market conditions. The net periodic costs are recognized as employees render the services necessary to earn the post-retirement benefits. |
Revenue Recognition | Revenue Recognition The majority of the Company's revenue is recognized from product sales under contracts with customers. The Company presents two reportable operating segments within its financial statements: Vegetation Management and Industrial Equipment. Contract terms and performance obligations within each contractual agreement are generally consistent for both divisions, with small differences that do not have a significant impact on the revenue recognition considerations under Topic 606. Revenues are recognized when we satisfy our performance obligation to transfer product to our customers, which typically occurs at a point in time upon shipment or delivery of the product, and for an amount that reflects the transaction price that is allocated to the performance obligation. Our contracts with customers state the final terms of sale, including the description, quantity and price for goods sold. In the normal course of business, we generally do not accept product returns. The transaction price is the consideration that we expect to be entitled to in exchange for our products. Some of our contracts contain variable consideration in the form of sales incentives to our customers, such as discounts and rebates. For contracts that include variable consideration, we estimate the factors that determine the variable consideration in order to establish the transaction price. We have elected that any taxes collected from customers and remitted to government authorities (i.e., sales tax, use tax, etc.) are excluded from the measurement of the transaction price and therefore are excluded from net sales in the consolidated statements of operations. |
Rental Equipment | Leases We determine if an arrangement is a lease at inception. Operating leases are included in other non-current assets, accrued liabilities, and other long-term liabilities on our consolidated balance sheets. Finance leases are included in property, plant and equipment, accrued liabilities, and other long-term liabilities on our consolidated balance sheets. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The operating lease ROU asset also includes any lease payments made and excludes lease incentives. Our lease terms may include options to extend or terminate the lease when it is reasonably certain that we will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. We have elected to not account for the lease and non-lease components separately for most of our asset classes with the exception of real-estate. We have also elected to exclude all lease agreements with an initial term of 12 months or less from the lease recognition requirements as allowed by ASC. |
Shipping and Handling Costs | Shipping and Handling Costs The Company’s policy is to include shipping and handling costs in costs of goods sold. |
Advertising | Advertising We charge advertising costs to expense as incurred. Advertising and marketing expense related to operations for fiscal years 2022, 2021, and 2020 was approximately $10.9 million, $10.2 million and $10.1 million, respectively. Advertising and marketing expenses are included in Selling, General and Administrative expenses (“SG&A”). |
Research and Development | Research and Development Product development and engineering costs charged to SG&A amounted to $14.3 million, $11.7 million, and $12.4 million for the years ended December 31, 2022, 2021, and 2020, respectively. |
Commitments and Contingencies | Commitments and Contingencies Liabilities for loss contingencies arising from claims, assessments, litigation, fines and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. The Company's policy is to accrue for legal costs expected to be incurred in connection with loss contingencies. |
Income Taxes | Income Taxes Deferred tax assets and liabilities are determined based on differences between the financial reporting basis and tax basis of assets and liabilities, and are measured by applying enacted statutory tax rates applicable to the future years in which deferred tax assets or liabilities are expected to be settled or realized. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversals of deferred tax liabilities, projected future taxable income, available tax carrybacks and tax planning strategies in making this assessment other than those which we have reserved. We have elected to treat the global intangible low-taxed income (GILTI) tax as a period expense. |
Stock-Based Compensation | Stock-Based Compensation The Company has granted options to purchase its common stock, restricted stock awards, restricted stock units, and performance stock units to certain employees and directors of the Company and its affiliates under various stock option plans at no less than the fair market value of the underlying stock on the date of grant. These options are granted for a term not exceeding ten years and are forfeited in the event that the employee or director terminates his or her employment or relationship with the Company or one of its affiliates other than by retirement or death. These options generally vest over five years. All option plans contain anti-dilutive provisions that permit an adjustment of the number of shares of the Company’s common stock represented by each option for any change in capitalization. The fair value of each stock option is estimated on the date of grant using the Black-Scholes valuation method with the following assumptions noted: 1. The risk-free rate is based on the U.S. Treasury rate over the expected life of the option at the time of the grant. 2. The dividend yield is calculated as the ratio of dividends paid per share of common stock to the stock price on the date of the grant. 3. The expected volatility factors are based on the historical movement of the Company’s common stock price over the expected life of the option. 4. The expected life is the average length of time in which officers, other employees, and non-employee directors are expected to exercise their options, and which are primarily based on historical experience. |
Earnings per Common Share ("EPS") | Earnings per Common Share (“EPS”) Basic EPS is computed using the weighted-average number of common shares outstanding during the year. The treasury stock method is used to compute diluted EPS which gives effect to the potential dilution of earnings that could have occurred if additional shares were issued for awards granted under the Company’s incentive stock option plans. The treasury stock method assumes that proceeds obtained upon exercise of awards granted under the incentive stock option plans are used to purchase outstanding common stock at the average market price during the period. |
Accounting Pronouncements | Accounting Pronouncements Not Yet Adopted In September 2022, the FASB issues ASU No. 2022-04, “Liabilities—Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations”. The amendments in this Update are effective for are effective for fiscal years beginning after December 15, 202 and require that a buyer in a supplier finance program disclose sufficient information about the program to allow a user of financial statements to understand the program’s nature, activity during the period, changes from period to period, and potential magnitude. To achieve this objective, the Company will disclose qualitative and quantitative information about its supplier finance programs. |
Reserve for Inventory Obsolescence | Reserve for Inventory Obsolescence We value inventories at the lower of the cost of inventory or net realizable value. As needed, we record an inventory valuation adjustment for excess, slow moving, and obsolete inventory that is equal to the excess of the cost of the inventory over the estimated net realizable value. The inventory valuation adjustment to net realizable value establishes a new cost basis of the inventory that cannot be subsequently reversed. Such inventory valuation adjustments for excess, obsolete, and slow moving inventory are not reduced or removed until the product is sold or disposed of. The Company had a reserve of $13.2 million on December 31, 2022 and $12.9 million on December 31, 2021 to cover obsolete and slow moving inventory. The increase in the reserve was primarily attributable to the Company's Industrial Equipment Division. The reserve for inventory obsolescence is calculated as follows: 1) no inventory usage over a three-year period is deemed obsolete and reserved at 100%; and 2) slow moving inventory with little usage requires a 100% reserve on items that have a quantity greater than a three-year supply. There are exceptions to the obsolete and slow moving classifications if approved by an officer of the Company, based on specific identification of an item or items that are deemed to be either included or excluded from this classification. In cases where there is no historical data, management makes a judgment based on a specific review of the inventory in question to determine what reserves, if any, are appropriate. New products or parts are generally excluded from the reserve until a three-year history has been established. |
Warranty | Warranty The Company’s warranty policy is generally to provide its customers warranty for up to one year on all wholegood units and 90 days on parts, though some components can have warranty for longer terms. Warranty reserve, as a percentage of sales, is generally calculated by looking at the current twelve months’ expenses and prorating that amount based on twelve months’ sales with a three three |
Fair Value of Financial Instruments | U.S. GAAP requires or permits certain assets or liabilities to be measured at fair value on a recurring or non- recurring basis in our balance sheets. U.S. GAAP also requires the disclosure of the fair values of financial instruments when an option to elect fair value accounting has been provided but such election has not been made. A debt obligation is an example of such a financial instrument. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants. There is a three-tier fair value hierarchy based upon the observability of inputs used in valuation techniques. Observable inputs (highest level) reflect market data obtained from independent sources, while unobservable inputs (lowest level) reflect internally developed market assumptions. In fair value, measurements are classified under the following hierarchy: Level 1 – Quoted prices for identical assets or liabilities in active markets. Level 2 – Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs or significant value-drivers are observable in active markets. Level 3 – Model-derived valuations in which one or more significant inputs or significant value-drivers are unobservable. When measuring fair value, the Company maximizes use of observable inputs and minimizes the use of unobservable inputs. Fair value measurements are classified to the lowest level input or value-driver that is significant to the valuation. A measurement may therefore be classified within Level 3 even though there may be significant inputs that are readily observable. The carrying values of certain financial instruments, including cash and cash equivalents, accounts receivable, accounts payable, and accrued expenses, approximate fair value because of the short-term nature of these items. The carrying value of our debt approximates the fair value as of December 31, 2022 and 2021, as the floating rates on our outstanding balances approximate current market rates. This conclusion was made based on Level 2 inputs. Fair values determined by Level 2 utilize inputs that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active. Other than the investments held by the retirement benefit plans, as described in Note 17 to the Consolidated Financial Statements, the Company does not have any other significant financial assets or liabilities measured at fair value on a recurring basis. The Company has no recurring or nonrecurring valuations that fall under Level 3 of the fair value hierarchy as of December 31, 2022 and 2021. |
Significant Accounting Polici_3
Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Accounting Policies [Abstract] | |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions | The Company calculated the fair value for options with the following weighted-average assumptions for 2022, 2021, and 2020: Fair Value Calculation Assumptions for Stock Compensation December 31, 2022 2021 2020 Risk-free interest rate 1.93 % 1.25 % 1.22 % Dividend yield 0.5 % 0.4 % 0.5 % Volatility factors 33.2 % 33.9 % 30.0 % Weighted-average expected life 8.0 years 8.0 years 8.0 years |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table sets forth the reconciliation from basic to diluted average common shares and the calculations of net income per common share. Net income for basic and diluted calculations does not differ. (in thousands, except per share amounts) 2022 2021 2020 Net income $ 101,928 $ 80,245 $ 57,804 Average common shares: Basic (weighted-average outstanding shares) 11,877 11,837 11,782 Dilutive potential common shares from stock options 57 59 63 Diluted (weighted-average outstanding shares) 11,934 11,896 11,845 Basic earnings per share $ 8.58 $ 6.78 $ 4.91 Diluted earnings per share $ 8.54 $ 6.75 $ 4.88 |
Valuation and Qualifying Acco_2
Valuation and Qualifying Accounts (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Receivables [Abstract] | |
Schedule of Valuation and Qualifying Accounts | Valuation and qualifying accounts included the following: (in thousands) Balance Beginning of Year Net Charged to Costs and Expenses Translations, Reclassifications and Acquisitions Net Write-Offs or Discounts Taken Balance End of Year 2022 Reserve for sales discounts $ 12,567 $ 137,553 $ (21) $ (130,238) $ 19,861 Reserve for inventory obsolescence 12,908 6,998 (277) (6,420) 13,209 Reserve for warranty 9,953 11,290 (244) (11,659) 9,340 2021 Reserve for sales discounts $ 13,549 $ 116,114 $ (688) $ (116,408) $ 12,567 Reserve for inventory obsolescence 12,027 6,531 (146) (5,504) 12,908 Reserve for warranty 9,096 10,727 (132) (9,738) 9,953 2020 Reserve for sales discounts $ 16,883 $ 93,398 $ 15 $ (96,747) $ 13,549 Reserve for inventory obsolescence 8,233 4,609 1,471 (2,286) 12,027 Reserve for warranty 10,249 8,466 247 (9,866) 9,096 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | Inventories consisted of the following: December 31, (in thousands) 2022 2021 Finished goods and parts $ 312,726 $ 277,760 Work in process 22,273 24,895 Raw materials 17,554 18,262 Inventory, net $ 352,553 $ 320,917 |
Property, Plant and Equipment (
Property, Plant and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property, Plant and Equipment | Property, plant and equipment consist of the following: December 31, (in thousands) 2022 2021 Useful Lives Land $ 12,792 $ 12,838 Buildings and improvements 145,616 145,086 5-20 yrs. Machinery and equipment 140,252 129,901 3-10 yrs. Office furniture and equipment 13,270 13,291 3-7 yrs. Computer software 13,551 12,384 3-7 yrs. Transportation equipment 9,597 8,363 3 yrs. Property, plant and equipment, at cost 335,078 321,863 Accumulated depreciation (180,071) (169,372) Property, plant and equipment, net $ 155,007 $ 152,491 |
Goodwill (Tables)
Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | The changes in the carrying amount of goodwill for the year ended December 31, 2020, 2021, and 2022 are as follows: Vegetation Management Industrial Equipment Consolidated (in thousands) Balance at December 31, 2019 $ 126,894 $ 71,128 $ 198,022 Translation adjustment 132 1,036 1,168 Goodwill adjustment (2,045) (2,013) (4,058) Balance at December 31, 2020 $ 124,981 $ 70,151 $ 195,132 Translation adjustment (1,510) (708) (2,218) Goodwill acquired 9,492 — 9,492 Balance at December 31, 2021 $ 132,963 $ 69,443 $ 202,406 Translation adjustment (1,882) (1,147) (3,029) Goodwill adjustment (3,519) — (3,519) Balance at December 31, 2022 $ 127,562 $ 68,296 $ 195,858 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Finite Lived Intangible Assets | The following is a summary of the Company's intangible assets net of the accumulated amortization: (in thousands) Estimated Useful Lives December 31, 2022 December 31, 2021 Definite: Trade names and trademarks 15-25 years $ 68,797 $ 68,321 Customer and dealer relationships 8-15 years 129,338 126,104 Patents and developed technologies 3-12 years 28,437 29,338 Favorable leasehold interests 7 years 4,200 4,200 Total at cost 230,772 227,963 Less accumulated amortization (64,931) (49,997) Total net 165,841 177,966 Indefinite: Trade names and trademarks 5,500 5,500 Total Intangible Assets $ 171,341 $ 183,466 |
Schedule of Indefinite-Lived Intangible Assets | The following is a summary of the Company's intangible assets net of the accumulated amortization: (in thousands) Estimated Useful Lives December 31, 2022 December 31, 2021 Definite: Trade names and trademarks 15-25 years $ 68,797 $ 68,321 Customer and dealer relationships 8-15 years 129,338 126,104 Patents and developed technologies 3-12 years 28,437 29,338 Favorable leasehold interests 7 years 4,200 4,200 Total at cost 230,772 227,963 Less accumulated amortization (64,931) (49,997) Total net 165,841 177,966 Indefinite: Trade names and trademarks 5,500 5,500 Total Intangible Assets $ 171,341 $ 183,466 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Leases [Abstract] | |
Components of Lease Expense | As of December 31, 2022, the components of lease cost were as follows: Components of Lease Cost Twelve Months Ended December 31, (in thousands) 2022 2021 Finance lease cost: Amortization of right-of-use assets $ 30 $ 67 Interest on lease liabilities 1 3 Operating lease cost 5,783 5,571 1,397 1,033 Variable lease cost 348 410 Total lease cost $ 7,559 $ 7,084 |
Operating Lease Maturity | As of December 31, 2022, future minimum lease payments under these non-cancelable leases are: Future Minimum Lease Payments (in thousands) Operating Leases 2023 $ 5,177 2024 4,099 2025 3,294 2026 2,728 2027 1,780 Thereafter 1,743 Total minimum lease payments $ 18,821 Less imputed interest (1,287) Total lease liabilities $ 17,534 |
Supplemental Balance Sheet Information Related to Leases | Supplemental balance sheet information related to leases was as follows: Operating Leases December 31, (in thousands) 2022 2021 Other non-current assets $ 17,249 $ 16,744 Accrued liabilities 4,685 4,655 Other long-term liabilities 12,849 12,237 Total operating lease liabilities $ 17,534 $ 16,892 Weighted average remaining lease term 4.66 years 5.14 years Weighted average discount rate 3.30 % 2.83 % |
Supplemental Cash Flow Information Related to Leases | Supplemental cash flow information related to leases was as follows: Twelve Months Ended December 31, (in thousands) 2022 2021 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 5,246 $ 5,013 |
Accrued Liabilities (Tables)
Accrued Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Payables and Accruals [Abstract] | |
Schedule of Accrued Liabilities | Accrued liabilities consist of the following balances: December 31, (in thousands) 2022 2021 Salaries, wages and bonuses $ 37,590 $ 37,462 Lease liability 4,685 4,655 Taxes 2,426 1,902 Warranty 9,340 9,953 Retirement provision 2,588 2,967 Customer deposits 5,197 6,383 Other 9,542 10,201 Accrued liabilities $ 71,368 $ 73,523 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Debt Disclosure [Abstract] | |
Schedule of Components of Long-Term Debt | The components of long-term debt are as follows: December 31, (in thousands) 2022 2021 Bank revolving credit facility $ 52,000 $ 4,000 Term debt 249,928 265,498 Capital lease obligations 24 56 Total debt 301,952 269,554 Less current maturities 15,009 15,032 Total long-term debt $ 286,943 $ 254,522 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Income Tax Disclosure [Abstract] | |
Schedule of Income before Income Tax, Domestic and Foreign | Earnings before income taxes were as follows: December 31, (in thousands) 2022 2021 2020 Income before income taxes: Domestic $ 86,680 $ 74,070 $ 50,977 Foreign 47,630 35,428 28,780 $ 134,310 $ 109,498 $ 79,757 |
Schedule of Components of Income Tax Expense (Benefit) | The components of income tax expense (benefit) were as follows: December 31, (in thousands) 2022 2021 2020 Current: Domestic $ 19,197 $ 16,846 $ 10,823 Foreign 11,848 8,646 8,759 State 3,674 4,943 3,226 34,719 30,435 22,808 Deferred: Domestic (2,246) (679) 1,238 Foreign (51) (274) (1199) State (40) (229) (894) (2,337) (1,182) (855) Total income taxes $ 32,382 $ 29,253 $ 21,953 |
Schedule of Effective Income Tax Rate Reconciliation | A reconciliation of the income tax at the Company’s U.S. statutory federal income tax rate to the provision for income tax follows: December 31, (in thousands) 2022 2021 2020 Income tax expense at statutory rates $ 28,205 $ 22,995 $ 16,749 Increase (reduction) from: Jurisdictional rate differences 1,989 1,599 1,034 Executive compensation limitation 481 1,314 170 Stock based compensation 122 (322) (366) U.S. state taxes 2,632 3,724 2,556 Foreign tax expense 267 — 704 R&D credit (1,645) (670) (415) GILTI 500 — 50 Previously unrecognized tax (benefit)/expense 51 8 2,219 Other, net (220) 605 (748) Provision for income taxes $ 32,382 $ 29,253 $ 21,953 Effective tax rate 24 % 27 % 28 % |
Schedule of Deferred Tax Assets and Liabilities | The components of the Company’s deferred income tax assets and liabilities were as follows. Certain prior year deferred tax component amounts have been reclassified to conform to the current year presentation. December 31, (in thousands) 2022 2021 Deferred income tax assets: Inventory basis difference $ 3,459 $ 1,136 Accounts receivable reserve 334 270 Rental equipment and Property, plant and equipment 347 201 Stock based compensation 826 754 Pension liability 2,900 3,351 Employee benefit accrual 2,451 3,070 Product liability and warranty reserves 2,177 2,464 Foreign net operating loss 3,078 3,764 Lease liability 4,738 4,221 Capitalized R&D costs 4,230 — Other 1,635 1,415 Total deferred income tax assets $ 26,175 $ 20,646 Less: Valuation allowance (3,637) (4,129) Net deferred income tax assets $ 22,538 $ 16,517 Deferred income tax liabilities: Inventory basis differences $ (264) $ (283) Rental equipment and Property, plant and equipment (14,373) (13,253) Lease asset (4,637) (4,149) Intangible assets (19,301) (18,041) Expenses not currently deductible for book purposes (1,244) (1,139) Total deferred income tax liabilities $ (39,819) $ (36,865) Net deferred income taxes $ (17,281) $ (20,348) |
Schedule of Unrecognized Tax Benefits Roll Forward | The Company does not expect the unrecognized tax benefits to change significantly over the next 12 months. Unrecognized Tax Benefits December 31, (in thousands) 2022 2021 Balance as of beginning of year $ 270 $ 262 Increases for tax positions related to the current year 156 82 Decreases due to lapse of statute of limitations (105) (74) Balance as of end of year $ 321 $ 270 |
Stock Options (Tables)
Stock Options (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of Share-based Compensation, Stock Options, Activity | 2022 2021 2020 Options available for grant at end of year 381,531 423,969 455,549 |
Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity | Following is a summary of activity in the Restricted Stock Awards (" RSA ")/Units for the periods indicated: 2022 2021 2020 Shares Grant-Date Fair Value* Shares Grant-Date Fair Value* Shares Grant-Date Fair Value* Awards outstanding at beginning of year 80,616 $ 129.53 91,043 $ 104.77 78,705 $ 94.34 Granted 48,396 133.70 35,224 157.00 44,307 111.95 Exercised (29,922) 122.19 (45,651) 101.36 (31,594) 88.90 Canceled (1,460) 143.82 — — (375) 100.34 Awards outstanding at end of year 97,630 133.67 80,616 129.53 91,043 104.77 *Weighted Averages |
Qualified Stock Options | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of Share-based Compensation, Stock Options, Activity | Following is a summary of activity in the Incentive Stock Option Plans for the periods indicated: 2022 2021 2020 Shares Exercise Price* Shares Exercise Price* Shares Exercise Price* Options outstanding at beginning of year 87,610 $ 91.24 100,920 $ 68.58 119,720 $ 57.65 Granted 17,625 137.93 18,900 156.38 13,950 114.53 Exercised (14,780) 50.79 (30,210) 53.68 (31,300) 45.94 Canceled (5,808) 114.48 (2,000) 130.92 (1,450) 96.97 Options outstanding at end of year 84,647 106.43 87,610 91.24 100,920 68.58 Options exercisable at end of year 43,412 $ 78.50 49,360 $ 61.21 67,700 $ 52.60 Options available for grant at end of year 286,033 297,850 314,750 *Weighted Averages |
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range | Options outstanding and exercisable at December 31, 2022 were as follows: Qualified Stock Options Options Outstanding Options Exercisable Shares Remaining Contractual Life (yrs)* Exercise Price* Shares Exercise Price* Range of Exercise Price $42.70 - $83.99 27,725 2.32 $ 57.89 27,725 $ 57.89 $92.50 - $138.75 40,422 7.57 $ 119.34 12,387 $ 103.89 $156.38 - $234.57 16,500 8.16 $ 156.38 3,300 $ 156.38 Total 84,647 43,412 *Weighted Averages |
Non Qualified Options | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Schedule of Share-based Compensation, Stock Options, Activity | Following is a summary of activity in the Non-Qualified Stock Option Plans for the periods indicated: 2022 2021 2020 Shares Exercise Price* Shares Exercise Price* Shares Exercise Price* Options outstanding at beginning of year 2,000 $ 53.51 3,000 $ 53.51 5,300 $ 46.87 Granted — — — — — — Exercised (1,000) 53.51 (1,000) 53.51 (2,300) 38.22 Canceled — — — — — — Options outstanding at end of year 1,000 53.51 2,000 53.51 3,000 53.51 Options exercisable at end of year 1,000 $ 53.51 2,000 $ 53.51 3,000 $ 53.51 *Weighted Averages |
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range | Options outstanding and exercisable as of December 31, 2022 were as follows: Non-Qualified Stock Options Options Outstanding Options Exercisable Shares Remaining Contractual Life (yrs)* Exercise Price* Shares Exercise Price* Range of Exercise Price $42.70 - $83.99 1,000 1.36 $ 53.51 1,000 $ 53.51 Total 1,000 1,000 *Weighted Averages |
Retirement Benefit Plans (Table
Retirement Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Defined Benefit Plan Disclosure [Line Items] | |
Schedule of Defined Benefit Plans Disclosures | The following table sets forth the change in plan assets, change in projected benefit obligation, rate assumptions and components of net periodic benefit cost as of December 31 with respect to the plan. The measurement dates of the assets and liabilities of the plan were December 31 of the respective years presented. Reconciliation of Funded Status Year Ended December 31, (in thousands) 2022 2021 Change in projected benefit obligation Benefit obligation at beginning of year $ 22,564 $ 24,100 Service cost 4 5 Interest cost 604 553 Liability actuarial (gain) loss (4,761) (994) Benefits paid (1,140) (1,100) Benefit obligation at end of year $ 17,271 $ 22,564 Change in fair value of plan assets Fair value of plan assets at beginning of year $ 23,671 $ 22,370 Return on plan assets (4,262) 2,401 Employer contributions — — Benefits paid (1,140) (1,100) Fair value of plan assets at end of year 18,269 23,671 Funded status $ 998 $ 1,107 |
Schedule of Allocation of Plan Assets | The pension plans' weighted-average asset allocation as a percentage of plan assets at December 31 is as follows: Asset Allocation as a Percentage of the Plan Year Ended December 31, 2022 2021 Equity securities 36% 36% Debt securities 62% 62% Short-term investments 2% 2% Other —% —% Total 100% 100% |
Fair Value, Assets Measured on Recurring Basis | The following table presents the hierarchy levels for our postretirement benefit plan investments as of December 31 as described in Note 1 to the Consolidated Financial Statements: December 31, 2022 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Mutual Funds: Mid Cap $ 512 $ 512 $ — $ — International 743 743 — — Common/Collective Trusts: Wells Fargo Liability Driven Solution CIT I 7,815 — 7,815 — Wells Fargo Liability Driven Solution CIT II 3,550 — 3,550 — Wells Fargo BlackRock International Equity 488 — 488 — Wells Fargo/Causeway International Value 464 — 464 — Wells Fargo BlackRock Large Cap Growth Index Fund 724 — 724 — Wells Fargo BlackRock Large Cap Value Index Fund 744 — 744 — Wells Fargo Multi-Manager Small Cap 785 — 785 — Wells Fargo BlackRock Russell 2000 Index Fund 261 — 261 — Wells Fargo BlackRock S&P Mid Cap Index Fund 320 — 320 — Wells Fargo/MFS Value CIT F 359 — 359 — Wells Fargo/T. Rowe Price Large-Cap Growth Managed CIT 359 — 359 — Wells Fargo/T. Rowe Price Equity Income Managed CIT 356 — 356 — Wells Fargo Voya Large Cap Growth CIT F 357 — 357 — Cash & Short-term Investments 432 432 — — Total $ 18,269 $ 1,687 $ 16,582 $ — December 31, 2021 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Mutual Funds: Mid Cap $ 637 $ 637 $ — $ — International 940 940 — — Common/Collective Trusts: Wells Fargo Liability Driven Solution CIT I 7,782 — 7,782 — Wells Fargo Liability Driven Solution CIT II 7,026 7,026 Wells Fargo BlackRock International Equity 616 — 616 — Wells Fargo/Causeway International Value 586 — 586 — Wells Fargo BlackRock Large Cap Growth Index Fund 950 — 950 — Wells Fargo BlackRock Large Cap Value Index Fund 968 — 968 — Wells Fargo Multi-Manager Small Cap 1,015 — 1,015 — Wells Fargo BlackRock Russell 2000 Index Fund 332 — 332 — Wells Fargo BlackRock S&P Mid Cap Index Fund 419 — 419 — Wells Fargo/MFS Value CIT F 469 — 469 — Wells Fargo/T. Rowe Price Large-Cap Growth Managed CIT 465 — 465 — Wells Fargo/T. Rowe Price Equity Income Managed CIT 487 — 487 — Wells Fargo Voya Large Cap Growth CIT F 482 — 482 — Cash & Short-term Investments 497 497 — — Total $ 23,671 $ 2,074 $ 21,597 $ — |
Schedule of Changes in Projected Benefit Obligations | The change in the Projected Benefit Obligation (PBO) as of December 31, 2022 and 2021, is shown below: Reconciliation of Benefit Obligation Year Ended December 31, (in thousands) 2022 2021 Benefit obligation at January 1, $ 11,326 $ 10,160 Service cost 284 369 Interest cost 278 205 Liability actuarial loss (gain) (2,023) 759 Benefits paid (313) (167) Benefit obligation at December 31, $ 9,552 $ 11,326 |
Pension Plan | |
Defined Benefit Plan Disclosure [Line Items] | |
Schedule of Assumptions Used | In determining the projected benefit obligation and the net pension cost, we used the following significant weighted-average assumptions: Rates to Determine Benefit Obligation Year Ended December 31, 2022 2021 Discount rate 5.10% 2.75% Composite rate of compensation increase N/A N/A Rates to Determine Net Periodic Benefit Cost Year Ended December 31, 2022 2021 Discount rate 2.75% 2.35% Long-term rate of return on plan assets 6.00% 7.25% Composite rate of compensation increase N/A N/A |
Schedule of Net Periodic Benefit Cost | The following table presents the components of net periodic benefit cost (gains are denoted with parentheses and losses are not): Components of Net Periodic Benefit Cost Year Ended December 31, (in thousands) 2022 2021 Service cost $ 4 $ 5 Interest cost 604 553 Expected return on plan assets (1,384) (1,581) Amortization of net loss 182 542 Net periodic benefit cost $ (594) $ (481) |
Schedule of Expected Benefit Payments | The following table illustrates the estimated pension benefit payments that are projected to be paid: Projected Future Benefit Payments (in thousands) Employees’ Retirement Plan 2023 $ 1,275 2024 1,304 2025 1,315 2026 1,312 2027 1,306 Years 2028 through 2032 6,209 |
Supplemental Employee Retirement Plan | |
Defined Benefit Plan Disclosure [Line Items] | |
Schedule of Assumptions Used | In determining the projected benefit obligation and the net pension cost, we used the following significant weighted-average assumptions: Assumptions used to determine benefit obligations at December 31: Rates to Determine Benefit Obligation 2022 2021 Discount rate 5.05% 2.50% Composite rate of compensation increase 3.00% 3.00% Assumptions used to determine net periodic benefit cost for the years ended December 31: Rates to Determine Net Periodic Benefit Cost 2022 2021 Discount rate 2.50% 2.05% Composite rate of compensation increase 3.00% 3.00% Long-term rate of return on plan assets N/A N/A |
Schedule of Net Periodic Benefit Cost | The components of net periodic pension expense were as follows: Components of Net Periodic Benefit Cost Year Ended December 31, (in thousands) 2022 2021 Service cost $ 284 $ 369 Interest cost 278 205 Amortization of prior service cost 420 413 Amortization of net (gain)/loss 440 318 Net periodic benefit cost $ 1,422 $ 1,305 |
Schedule of Expected Benefit Payments | Future estimated benefits expected to be paid from the plan over the next ten years as follows: Projected Future Benefit Payments (in thousands) SERP 2023 $ 490 2024 546 2025 639 2026 866 2027 868 Years 2028 through 2032 4,321 |
Revenue and Segment Reporting (
Revenue and Segment Reporting (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Segment Reporting [Abstract] | |
Disaggregation of Revenue | Management has determined that this level of disaggregation would be beneficial to users of the financial statements. Revenue by Product Type December 31, (in thousands) 2022 2021 2020 Net Sales Wholegoods $ 1,185,885 $ 1,024,158 $ 885,254 Parts 280,261 262,432 247,126 Other * 47,470 47,633 31,086 Consolidated $ 1,513,616 $ 1,334,223 $ 1,163,466 *Other includes rental sales, extended warranty sales and service sales as it is considered immaterial. |
Schedule of Segment Reporting Information, by Segment | The following table presents the revenue and income from operations by reporting segment for the years ended December 31, 2022, 2021, and 2020: December 31, (in thousands) 2022 2021 2020 Net Revenue Vegetation Management $ 937,065 $ 812,676 $ 654,630 Industrial Equipment 576,551 521,547 508,836 Consolidated $ 1,513,616 $ 1,334,223 $ 1,163,466 Income from Operations Vegetation Management $ 108,508 $ 78,917 $ 46,651 Industrial Equipment 40,084 38,021 48,134 Consolidated $ 148,592 $ 116,938 $ 94,785 The following table presents the goodwill and total identifiable assets by reporting segment for the years ended December 31, 2022 and 2021: December 31, (in thousands) 2022 2021 Goodwill Vegetation Management $ 127,562 $ 132,963 Industrial Equipment 68,296 69,443 Consolidated $ 195,858 $ 202,406 Identifiable Assets Vegetation Management $ 866,974 $ 789,838 Industrial Equipment 441,534 415,904 Consolidated $ 1,308,508 $ 1,205,742 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Loss | Changes in accumulated other comprehensive loss by component, net of tax, were as follows: Twelve Months Ended December 31, 2022 2021 (in thousands) Foreign Currency Translation Adjustment Defined Benefit Plans Items Gains (Losses) on Cash Flow Hedges Total Foreign Currency Translation Adjustment Defined Benefit Plans Items Gains (Losses) on Cash Flow Hedges Total Balance as of beginning of period $ (42,397) $ (5,017) $ (1,576) $ (48,990) $ (26,597) $ (6,855) $ (6,874) $ (40,326) Other comprehensive income (loss) before reclassifications (23,032) — 1,512 (21,520) (15,800) — 7,984 (7,816) Amounts reclassified from accumulated other comprehensive loss — 1,707 535 2,242 — 1,838 (2,686) (848) Other comprehensive income (loss) (23,032) 1,707 2,047 (19,278) (15,800) 1,838 5,298 (8,664) Balance as of end of period $ (65,429) $ (3,310) $ 471 $ (68,268) $ (42,397) $ (5,017) $ (1,576) $ (48,990) |
International Operations and _2
International Operations and Geographic Information (Tables) | 12 Months Ended |
Dec. 31, 2022 | |
Segment Reporting [Abstract] | |
Schedule of International Operations | Following is selected financial information on the Company’s international operations, which include the United Kingdom, France, Netherlands, Canada, Brazil, and Australia: International Operations Financial Information December 31, (in thousands) 2022 2021 2020 Net sales $ 420,678 $ 363,339 $ 312,462 Income from operations 48,893 34,561 31,166 Income before income taxes 51,206 37,051 30,674 Identifiable assets 364,752 352,187 304,536 |
Schedule of Selected Geographic Financial Information | Following is other selected geographic financial information on the Company’s operations: Geographic Financial Information December 31, (in thousands) 2022 2021 2020 Geographic net sales: United States $ 1,080,893 $ 953,024 $ 862,430 France 89,629 92,052 81,259 Canada 95,799 83,392 65,313 United Kingdom 69,454 57,386 47,757 Brazil 46,841 31,365 16,592 Netherlands 23,304 27,964 23,946 Germany 9,115 8,977 9,328 Australia 26,117 20,980 10,999 Other 72,464 59,083 45,842 Total net sales $ 1,513,616 $ 1,334,223 $ 1,163,466 Geographic location of long-lived assets: United States $ 457,075 $ 461,341 $ 480,940 Netherlands 28,428 32,262 39,063 Canada 32,165 32,132 33,573 United Kingdom 31,767 36,569 18,843 France 18,728 19,781 21,033 Brazil 12,175 10,408 11,123 Australia 670 790 964 Total long-lived assets $ 581,008 $ 593,283 $ 605,539 |
Significant Accounting Polici_4
Significant Accounting Policies - Additional Information (Details) | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2022 USD ($) segment | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | |
Accounting Policies [Line Items] | ||||
Number of principal reporting segments | segment | 2 | |||
Restricted cash | $ 0 | $ 0 | $ 0 | |
Options | ||||
Accounting Policies [Line Items] | ||||
Award vesting period (years) | 5 years | |||
Rental Equipment | ||||
Accounting Policies [Line Items] | ||||
Accumulated depreciation relating to rental equipment | $ 22,300,000 | $ 22,300,000 | 20,100,000 | |
Selling, General and Administrative expenses | ||||
Accounting Policies [Line Items] | ||||
Advertising expense | 10,900,000 | 10,200,000 | $ 10,100,000 | |
Product development and engineering costs | $ 14,300,000 | $ 11,700,000 | $ 12,400,000 | |
Minimum | ||||
Accounting Policies [Line Items] | ||||
Estimated useful lives | 3 years | |||
Maximum | ||||
Accounting Policies [Line Items] | ||||
Estimated useful lives | 25 years | |||
Option term (years) | 10 years |
Significant Accounting Polici_5
Significant Accounting Policies - Schedule of Fair Value Assumptions and Methodology (Details) | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Accounting Policies [Abstract] | |||
Risk-free interest rate | 1.93% | 1.25% | 1.22% |
Dividend yield | 0.50% | 0.40% | 0.50% |
Volatility factors | 33.20% | 33.90% | 30% |
Weighted-average expected life | 8 years | 8 years | 8 years |
Business Combinations (Details)
Business Combinations (Details) - Dutch Power $ in Millions | Oct. 26, 2021 USD ($) |
Business Acquisition [Line Items] | |
Percentage of outstanding capital shares acquired | 100% |
Acquisition price | $ 25 |
Earnings Per Share (Details)
Earnings Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |||
Net income | $ 101,928 | $ 80,245 | $ 57,804 |
Average common shares: | |||
Basic (weighted-average outstanding shares) (in shares) | 11,877,000 | 11,837,000 | 11,782,000 |
Dilutive potential common shares from stock options (in shares) | 57,000 | 59,000 | 63,000 |
Diluted (weighted-average outstanding shares) (in shares) | 11,934,000 | 11,896,000 | 11,845,000 |
Basic earnings per share (in dollars per share) | $ 8.58 | $ 6.78 | $ 4.91 |
Diluted earnings per share (in dollars per share) | $ 8.54 | $ 6.75 | $ 4.88 |
Stock options excluded from diluted earnings per share calculation (in shares) | 25,610 | 15,586 | 9,864 |
Valuation and Qualifying Acco_3
Valuation and Qualifying Accounts - Schedule of Valuation and Qualifying Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Reserve for sales discounts | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance Beginning of Year | $ 12,567 | $ 13,549 | $ 16,883 |
Net Charged to Costs and Expenses | 137,553 | 116,114 | 93,398 |
Translations, Reclassifications and Acquisitions | (21) | (688) | 15 |
Net Write-Offs or Discounts Taken | (130,238) | (116,408) | (96,747) |
Balance End of Year | 19,861 | 12,567 | 13,549 |
Reserve for inventory obsolescence | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance Beginning of Year | 12,908 | 12,027 | 8,233 |
Net Charged to Costs and Expenses | 6,998 | 6,531 | 4,609 |
Translations, Reclassifications and Acquisitions | (277) | (146) | 1,471 |
Net Write-Offs or Discounts Taken | (6,420) | (5,504) | (2,286) |
Balance End of Year | 13,209 | 12,908 | 12,027 |
Reserve for warranty | |||
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward] | |||
Balance Beginning of Year | 9,953 | 9,096 | 10,249 |
Net Charged to Costs and Expenses | 11,290 | 10,727 | 8,466 |
Translations, Reclassifications and Acquisitions | (244) | (132) | 247 |
Net Write-Offs or Discounts Taken | (11,659) | (9,738) | (9,866) |
Balance End of Year | $ 9,340 | $ 9,953 | $ 9,096 |
Valuation and Qualifying Acco_4
Valuation and Qualifying Accounts - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Inventory obsolescence reserves | $ 13,200 | $ 12,900 | ||
Inventory usage period | 3 years | |||
Inventory reserve percentage | 100% | |||
Product warranty accrual period of expenses used in calculation | 12 months | |||
Product warranty accrual period for sales used in calculation | 12 months | |||
Warranty | $ 9,340 | 9,953 | ||
Minimum | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Product warranty accrual lag period | 3 months | |||
Maximum | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Product warranty accrual lag period | 6 months | |||
Wholegoods | Maximum | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Product warranty period | 1 year | |||
Parts | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Product warranty period | 90 days | |||
Reserve for sales discounts | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Reserves for sales discounts on products shipped under promotional programs | $ 19,861 | $ 12,567 | $ 13,549 | $ 16,883 |
Inventories - Schedule of Inven
Inventories - Schedule of Inventory, Current (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Inventory Disclosure [Abstract] | ||
Finished goods and parts | $ 312,726 | $ 277,760 |
Work in process | 22,273 | 24,895 |
Raw materials | 17,554 | 18,262 |
Inventory, net | $ 352,553 | $ 320,917 |
Property, Plant and Equipment_2
Property, Plant and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | $ 335,078 | $ 321,863 |
Less: Accumulated depreciation | (180,071) | (169,372) |
Total property, plant and equipment, net | 155,007 | 152,491 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | 12,792 | 12,838 |
Buildings and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | $ 145,616 | 145,086 |
Buildings and improvements | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Useful Lives | 5 years | |
Buildings and improvements | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Useful Lives | 20 years | |
Machinery and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | $ 140,252 | 129,901 |
Machinery and equipment | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Useful Lives | 3 years | |
Machinery and equipment | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Useful Lives | 10 years | |
Office furniture and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | $ 13,270 | 13,291 |
Office furniture and equipment | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Useful Lives | 3 years | |
Office furniture and equipment | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Useful Lives | 7 years | |
Computer software | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | $ 13,551 | 12,384 |
Computer software | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Useful Lives | 3 years | |
Computer software | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Useful Lives | 7 years | |
Transportation equipment | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment | $ 9,597 | $ 8,363 |
Useful Lives | 3 years |
Goodwill (Details)
Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Goodwill [Roll Forward] | |||
Goodwill, balance at the beginning of the period | $ 202,406 | $ 195,132 | $ 198,022 |
Translation adjustment | (3,029) | (2,218) | 1,168 |
Goodwill acquired | 9,492 | ||
Goodwill adjustment | (3,519) | (4,058) | |
Goodwill, balance at the end of the period | 195,858 | 202,406 | 195,132 |
Vegetation Management | |||
Goodwill [Roll Forward] | |||
Goodwill, balance at the beginning of the period | 132,963 | 124,981 | 126,894 |
Translation adjustment | (1,882) | (1,510) | 132 |
Goodwill acquired | 9,492 | ||
Goodwill adjustment | (3,519) | (2,045) | |
Goodwill, balance at the end of the period | 127,562 | 132,963 | 124,981 |
Industrial Equipment | |||
Goodwill [Roll Forward] | |||
Goodwill, balance at the beginning of the period | 69,443 | 70,151 | 71,128 |
Translation adjustment | (1,147) | (708) | 1,036 |
Goodwill acquired | 0 | ||
Goodwill adjustment | 0 | (2,013) | |
Goodwill, balance at the end of the period | $ 68,296 | $ 69,443 | $ 70,151 |
Intangible Assets - Schedule of
Intangible Assets - Schedule of Definite and Indefinite Lived Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Definite | $ 230,772 | $ 227,963 |
Less accumulated amortization | (64,931) | (49,997) |
Total net | 165,841 | 177,966 |
Total Intangible Assets | 171,341 | 183,466 |
Trade names and trademarks | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Indefinite | 5,500 | 5,500 |
Trade names and trademarks | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Definite | 68,797 | 68,321 |
Less accumulated amortization | (13,900) | |
Total net | 54,900 | |
Customer and dealer relationships | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Definite | 129,338 | 126,104 |
Less accumulated amortization | (39,200) | |
Total net | 90,200 | |
Patents and developed technologies | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Definite | 28,437 | 29,338 |
Less accumulated amortization | (9,900) | |
Total net | $ 18,500 | |
Favorable leasehold interests | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Estimated Useful Lives | 7 years | |
Definite | $ 4,200 | $ 4,200 |
Less accumulated amortization | (1,900) | |
Total net | $ 2,300 | |
Minimum | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Estimated Useful Lives | 3 years | |
Minimum | Trade names and trademarks | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Estimated Useful Lives | 15 years | |
Minimum | Customer and dealer relationships | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Estimated Useful Lives | 8 years | |
Minimum | Patents and developed technologies | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Estimated Useful Lives | 3 years | |
Maximum | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Estimated Useful Lives | 25 years | |
Maximum | Trade names and trademarks | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Estimated Useful Lives | 25 years | |
Maximum | Customer and dealer relationships | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Estimated Useful Lives | 15 years | |
Maximum | Patents and developed technologies | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Estimated Useful Lives | 12 years |
Intangible Assets - Additional
Intangible Assets - Additional Information (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Net carrying value of intangibles with definite useful lives | $ 165,841 | $ 177,966 |
Accumulated amortization | 64,931 | $ 49,997 |
2022 | 15,300 | |
2023 | 15,300 | |
2024 | 15,300 | |
2025 | 15,300 | |
2026 | 15,300 | |
Trade Names | Gradall | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Carrying values of indefinite lived trade names | 3,600 | |
Trade Names | Bush Hog | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Carrying values of indefinite lived trade names | 1,900 | |
Trade names and trademarks | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Net carrying value of intangibles with definite useful lives | 54,900 | |
Accumulated amortization | 13,900 | |
Customer and dealer relationships | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Net carrying value of intangibles with definite useful lives | 90,200 | |
Accumulated amortization | 39,200 | |
Patents and developed technologies | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Net carrying value of intangibles with definite useful lives | 18,500 | |
Accumulated amortization | 9,900 | |
Favorable leasehold interests | ||
Schedule of Acquired Indefinite-lived and Finite Intangible Assets by Major Class [Line Items] | ||
Net carrying value of intangibles with definite useful lives | 2,300 | |
Accumulated amortization | $ 1,900 |
Leases - Lease Cost (Details)
Leases - Lease Cost (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Leases [Abstract] | ||
Amortization of right-of-use assets | $ 30 | $ 67 |
Interest on lease liabilities | 1 | 3 |
Operating lease cost | 5,783 | 5,571 |
Short-Term Lease, Cost | 1,397 | 1,033 |
Variable lease cost | 348 | 410 |
Total lease cost | $ 7,559 | $ 7,084 |
Leases - Maturity Schedule (Det
Leases - Maturity Schedule (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Operating Leases | ||
2023 | $ 5,177 | |
2024 | 4,099 | |
2025 | 3,294 | |
2026 | 2,728 | |
2027 | 1,780 | |
Thereafter | 1,743 | |
Total minimum lease payments | 18,821 | |
Less imputed interest | (1,287) | |
Total lease liabilities | $ 17,534 | $ 16,892 |
Leases - Additional Information
Leases - Additional Information (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Leases [Abstract] | |||
Operating lease expense | $ 7.5 | $ 7 | $ 6.1 |
Additional operating lease not yet commenced | $ 3.1 |
Leases - Supplemental Balance S
Leases - Supplemental Balance Sheet Information (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Operating Leases | ||
Other non-current assets | $ 17,249 | $ 16,744 |
Accrued liabilities | 4,685 | 4,655 |
Other long-term liabilities | 12,849 | 12,237 |
Total operating lease liabilities | $ 17,534 | $ 16,892 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Other non-current assets | Other non-current assets |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Accrued liabilities | Accrued liabilities |
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Other long-term liabilities | Other long-term liabilities |
Operating leases, weighted average remaining lease term | 4 years 7 months 28 days | 5 years 1 month 20 days |
Operating leases, weighted average remaining discount rate | 3.30% | 2.83% |
Leases - Supplemental Cash Flow
Leases - Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Leases [Abstract] | ||
Operating cash flows from operating leases | $ 5,246 | $ 5,013 |
Accrued Liabilities (Details)
Accrued Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Payables and Accruals [Abstract] | ||
Salaries, wages and bonuses | $ 37,590 | $ 37,462 |
Lease liability | 4,685 | 4,655 |
Taxes | 2,426 | 1,902 |
Warranty | 9,340 | 9,953 |
Retirement provision | 2,588 | 2,967 |
Customer deposits | 5,197 | 6,383 |
Other | 9,542 | 10,201 |
Accrued liabilities | $ 71,368 | $ 73,523 |
Long-Term Debt - Schedule of Lo
Long-Term Debt - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
Capital lease obligations | $ 24 | $ 56 |
Total debt | 301,952 | 269,554 |
Less current maturities | 15,009 | 15,032 |
Total long-term debt | $ 286,943 | $ 254,522 |
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Less current maturities | Less current maturities |
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] | Total long-term debt | Total long-term debt |
Term debt | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 249,928 | $ 265,498 |
Line of Credit | Bank revolving credit facility | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 52,000 | $ 4,000 |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Details) $ in Thousands | Oct. 28, 2022 USD ($) | Dec. 31, 2022 USD ($) | Oct. 24, 2019 covenant |
Debt Instrument [Line Items] | |||
2023 | $ 15,000 | ||
2024 | 15,000 | ||
2025 | 15,000 | ||
2026 | 15,000 | ||
2027 | 241,900 | ||
Thereafter | 0 | ||
the Credit Agreement | Bank revolving credit facility | |||
Debt Instrument [Line Items] | |||
Number of covenants | covenant | 2 | ||
the Credit Agreement | Bank revolving credit facility | Line of Credit | |||
Debt Instrument [Line Items] | |||
Aggregate commitments | $ 655,000 | ||
Debt instrument, unused borrowing capacity, amount | $ 400,000 | ||
Fair value of amount outstanding | 301,900 | ||
the Credit Agreement | Bank revolving credit facility | Line of Credit | Low | |||
Debt Instrument [Line Items] | |||
Commitment fee (percent) | 0.15% | ||
the Credit Agreement | Bank revolving credit facility | Line of Credit | High | |||
Debt Instrument [Line Items] | |||
Commitment fee (percent) | 0.30% | ||
the Credit Agreement | Bank revolving credit facility | Line of Credit | Secured Overnight Financing Rate (SOFR) | Low | |||
Debt Instrument [Line Items] | |||
Debt instrument, interest rate, stated percentage | 1.25% | ||
the Credit Agreement | Bank revolving credit facility | Line of Credit | Secured Overnight Financing Rate (SOFR) | High | |||
Debt Instrument [Line Items] | |||
Debt instrument, interest rate, stated percentage | 2.50% | ||
the Credit Agreement | Bank revolving credit facility | Line of Credit | Base Rate | Low | |||
Debt Instrument [Line Items] | |||
Debt instrument, interest rate, stated percentage | 0.25% | ||
the Credit Agreement | Bank revolving credit facility | Line of Credit | Base Rate | High | |||
Debt Instrument [Line Items] | |||
Debt instrument, interest rate, stated percentage | 1.50% | ||
the Credit Agreement | Bank revolving credit facility | Term Facility | |||
Debt Instrument [Line Items] | |||
Aggregate commitments | $ 255,000 | ||
Debt instrument, periodic payment | 3,750 | ||
Fair value of amount outstanding | $ 249,900 | ||
Long-Term debt outstanding, rate (percent) | 6.17% | ||
the Credit Agreement | Bank revolving credit facility | Standby Letters of Credit | |||
Debt Instrument [Line Items] | |||
Aggregate commitments | $ 400,000 | ||
Expiration period | 5 years | ||
Fair value of amount outstanding | $ 52,000 | ||
Long-Term debt outstanding, rate (percent) | 6.25% | ||
Amount of capacity | $ 2,800 | ||
Available borrowings | $ 295,200 |
Income Taxes - Schedule of Inco
Income Taxes - Schedule of Income (Loss) before Provision for Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |||
Domestic | $ 86,680 | $ 74,070 | $ 50,977 |
Foreign | 47,630 | 35,428 | 28,780 |
Income before income taxes | $ 134,310 | $ 109,498 | $ 79,757 |
Income Taxes - Schedule of Comp
Income Taxes - Schedule of Components of Income Tax Expense (Benefit) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Current: | |||
Domestic | $ 19,197 | $ 16,846 | $ 10,823 |
Foreign | 11,848 | 8,646 | 8,759 |
State | 3,674 | 4,943 | 3,226 |
Provision for current income tax expense (benefit) | 34,719 | 30,435 | 22,808 |
Deferred: | |||
Domestic | (2,246) | (679) | 1,238 |
Foreign | (51) | (274) | (1,199) |
State | (40) | (229) | (894) |
Provision for deferred income tax expense (benefit) | (2,337) | (1,182) | (855) |
Provision for income tax | $ 32,382 | $ 29,253 | $ 21,953 |
Income Taxes - Income Tax Recon
Income Taxes - Income Tax Reconciliation (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |||
Income tax expense at statutory rates | $ 28,205 | $ 22,995 | $ 16,749 |
Increase (reduction) from: | |||
Jurisdictional rate differences | 1,989 | 1,599 | 1,034 |
Executive compensation limitation | 481 | 1,314 | 170 |
Stock based compensation | 122 | (322) | (366) |
U.S. state taxes | 2,632 | 3,724 | 2,556 |
Foreign tax expense | 267 | 0 | 704 |
R&D credit | (1,645) | (670) | (415) |
GILTI | 500 | 0 | 50 |
Previously unrecognized tax (benefit)/expense | 51 | 8 | 2,219 |
Other, net | (220) | 605 | (748) |
Provision for income taxes | $ 32,382 | $ 29,253 | $ 21,953 |
Effective tax rate | 24% | 27% | 28% |
Income Taxes - Schedule of Defe
Income Taxes - Schedule of Deferred Tax Assets and Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Deferred income tax assets: | ||
Inventory basis difference | $ 3,459 | $ 1,136 |
Accounts receivable reserve | 334 | 270 |
Rental equipment and Property, plant and equipment | 347 | 201 |
Stock based compensation | 826 | 754 |
Pension liability | 2,900 | 3,351 |
Employee benefit accrual | 2,451 | 3,070 |
Product liability and warranty reserves | 2,177 | 2,464 |
Foreign net operating loss | 3,078 | 3,764 |
Lease liability | 4,738 | 4,221 |
Capitalized R&D costs | 4,230 | 0 |
Other | 1,635 | 1,415 |
Total deferred income tax assets | 26,175 | 20,646 |
Less: Valuation allowance | (3,637) | (4,129) |
Net deferred income tax assets | 22,538 | 16,517 |
Deferred income tax liabilities: | ||
Inventory basis differences | (264) | (283) |
Rental equipment and Property, plant and equipment | (14,373) | (13,253) |
Lease asset | (4,637) | (4,149) |
Intangible assets | (19,301) | (18,041) |
Expenses not currently deductible for book purposes | (1,244) | (1,139) |
Total deferred income tax liabilities | (39,819) | (36,865) |
Net deferred income taxes | $ (17,281) | $ (20,348) |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) | Dec. 31, 2022 USD ($) |
Operating Loss Carryforwards [Line Items] | |
Income tax penalties and interest cacrued | $ 0 |
Withholding taxes | 4,800,000 |
Foreign | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss carryforwards with unlimited carryforward period | 10,100,000 |
State | |
Operating Loss Carryforwards [Line Items] | |
Net operating loss carryforwards | $ 200,000 |
Income Taxes - Schedule of Unre
Income Taxes - Schedule of Unrecognized Tax Benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | ||
Balance as of beginning of year | $ 270 | $ 262 |
Increases for tax positions related to the current year | 156 | 82 |
Decreases due to lapse of statute of limitations | (105) | (74) |
Balance as of end of year | $ 321 | $ 270 |
Common Stock (Details)
Common Stock (Details) - USD ($) | 12 Months Ended | ||||
Feb. 01, 2023 | Jan. 03, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Class of Stock [Line Items] | |||||
Dividends paid (in dollars per share) | $ 0.72 | $ 0.56 | $ 0.52 | ||
Stock repurchase program, authorized amount | $ 30,000,000 | ||||
Common stock repurchased (in shares) | 0 | ||||
Subsequent Event | |||||
Class of Stock [Line Items] | |||||
Dividends per share (in dollars per share) | $ 0.22 | ||||
Dividends paid (in dollars per share) | $ 0.22 |
Stock Options - Additional Info
Stock Options - Additional Information (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||||
May 02, 2019 | May 07, 2015 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Maximum | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Option term (years) | 10 years | ||||
Qualified Stock Options | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Weighted average grant date fair value of options granted (in dollars per share) | $ 52.7 | $ 59.01 | $ 38.33 | ||
Stock option expense | $ 0.6 | $ 0.6 | $ 0.5 | ||
Total unrecognized compensation cost related to non-vested share-based compensation arrangements | $ 1.3 | ||||
Period cost is expected to be recognized (years) | 5 years | ||||
Granted (in shares) | 17,625 | 18,900 | 13,950 | ||
Exercise of stock options (in shares) | 14,780 | 30,210 | 31,300 | ||
Non Qualified Options | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock option expense | $ 0 | $ 0 | $ 0 | ||
Total unrecognized compensation cost related to non-vested share-based compensation arrangements | $ 0 | ||||
Granted (in shares) | 0 | 0 | 0 | ||
Exercise of stock options (in shares) | 1,000 | 1,000 | 2,300 | ||
Proceeds from stock options exercised | $ 0.1 | $ 0.1 | $ 0.1 | ||
Restricted Stock Units (RSUs) | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Stock option expense | 4.9 | $ 5.4 | $ 3.7 | ||
Total unrecognized compensation cost related to non-vested share-based compensation arrangements | $ 7 | ||||
Weighted average remaining contractual life (years) | 1 year 4 months 28 days | 1 year 7 months 9 days | 1 year 11 months 12 days | ||
Restricted Stock Units (RSUs) | Granted after 2020 | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting period (years) | 3 years | ||||
Restricted Stock Units (RSUs) | Year One after Grant Date | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting period (years) | 3 years | ||||
Restricted Stock | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Annual vesting percentage of award | 50% | ||||
Performance Shares | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Annual vesting percentage of award | 50% | ||||
Performance period | 3 years | ||||
Option term (years) | 3 years | ||||
2015 ISO Plan | Qualified Stock Options | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares of common stock reserved for options to be issued (in shares) | 400,000 | ||||
2015 ISO Plan | Qualified Stock Options | Year One after Grant Date | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting period (years) | 1 year | ||||
2015 ISO Plan | Qualified Stock Options | Year One after Grant Date | Maximum | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Annual vesting percentage of award | 20% | ||||
2015 ISO Plan | Qualified Stock Options | Year Two after Grant Date | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Annual vesting percentage of award | 20% | ||||
2015 ISO Plan | Qualified Stock Options | Year Three after Grant Date | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Annual vesting percentage of award | 20% | ||||
2015 ISO Plan | Qualified Stock Options | Year Four after Grant Date | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Annual vesting percentage of award | 20% | ||||
2015 ISO Plan | Qualified Stock Options | Year Five after Grant Date | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Annual vesting percentage of award | 20% | ||||
2009 Equity Incentive Plan | Non Qualified Options | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares of common stock reserved for options to be issued (in shares) | 500,000 | ||||
2009 Equity Incentive Plan | Non Qualified Options | Year One after Grant Date | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Award vesting period (years) | 1 year | ||||
2009 Equity Incentive Plan | Non Qualified Options | Year One after Grant Date | Maximum | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Annual vesting percentage of award | 20% | ||||
2009 Equity Incentive Plan | Non Qualified Options | Year Two after Grant Date | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Annual vesting percentage of award | 20% | ||||
2009 Equity Incentive Plan | Non Qualified Options | Year Three after Grant Date | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Annual vesting percentage of award | 20% | ||||
2009 Equity Incentive Plan | Non Qualified Options | Year Four after Grant Date | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Annual vesting percentage of award | 20% | ||||
2009 Equity Incentive Plan | Non Qualified Options | Year Five after Grant Date | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Annual vesting percentage of award | 20% |
Stock Options - Schedule of Qua
Stock Options - Schedule of Qualified Stock Option Activity (Details) - Qualified Stock Options - $ / shares | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Shares | |||
Options outstanding at beginning of year (in shares) | 87,610 | 100,920 | 119,720 |
Granted (in shares) | 17,625 | 18,900 | 13,950 |
Exercised (in shares) | (14,780) | (30,210) | (31,300) |
Canceled (in shares) | (5,808) | (2,000) | (1,450) |
Options outstanding at end of year (in shares) | 84,647 | 87,610 | 100,920 |
Exercise Price | |||
Outstanding at beginning of year, exercise price (in dollars per share) | $ 91.24 | $ 68.58 | $ 57.65 |
Granted, exercise price (in dollars per share) | 137.93 | 156.38 | 114.53 |
Exercised, exercise price (in dollars per share) | 50.79 | 53.68 | 45.94 |
Canceled, exercise price (in dollars per share) | 114.48 | 130.92 | 96.97 |
Outstanding at end of year, exercise price (in dollars per share) | $ 106.43 | $ 91.24 | $ 68.58 |
Options exercisable at end of year (in shares) | 43,412 | 49,360 | 67,700 |
Exercisable at end of year, exercise price (in dollars per share) | $ 78.50 | $ 61.21 | $ 52.60 |
Options available for grant at end of year (in shares) | 286,033 | 297,850 | 314,750 |
Stock Options - Schedule of Q_2
Stock Options - Schedule of Qualified Stock Options Outstanding and Exercisable (Details) - Qualified Stock Options - $ / shares | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Options outstanding (in shares) | 84,647 | 87,610 | 100,920 | 119,720 |
Options exercisable (in shares) | 43,412 | 49,360 | 67,700 | |
$42.70 - $83.99 | ||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Range of exercise price, lower range limit (in dollars per share) | $ 42.7 | |||
Range of exercise price, upper range limit (in dollars per share) | $ 83.99 | |||
Options outstanding, exercise price range (in shares) | 27,725 | |||
Options outstanding, remaining contractual life | 2 years 3 months 25 days | |||
Options outstanding, exercise price (in dollars per share) | $ 57.89 | |||
Options exercisable, exercise price range (in shares) | 27,725 | |||
Options exercisable, exercise price (in dollars per share) | $ 57.89 | |||
$92.50 - $138.75 | ||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Range of exercise price, lower range limit (in dollars per share) | 92.5 | |||
Range of exercise price, upper range limit (in dollars per share) | $ 138.75 | |||
Options outstanding, exercise price range (in shares) | 40,422 | |||
Options outstanding, remaining contractual life | 7 years 6 months 25 days | |||
Options outstanding, exercise price (in dollars per share) | $ 119.34 | |||
Options exercisable, exercise price range (in shares) | 12,387 | |||
Options exercisable, exercise price (in dollars per share) | $ 103.89 | |||
$156.38 - $234.57 | ||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Range of exercise price, lower range limit (in dollars per share) | 156.38 | |||
Range of exercise price, upper range limit (in dollars per share) | $ 234.57 | |||
Options outstanding, exercise price range (in shares) | 16,500 | |||
Options outstanding, remaining contractual life | 8 years 1 month 28 days | |||
Options outstanding, exercise price (in dollars per share) | $ 156.38 | |||
Options exercisable, exercise price range (in shares) | 3,300 | |||
Options exercisable, exercise price (in dollars per share) | $ 156.38 |
Stock Options - Equity Incentiv
Stock Options - Equity Incentive Plan (Details) - shares | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Non Qualified Options | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Options available for grant at end of year (in shares) | 381,531 | 423,969 | 455,549 |
Stock Options - Schedule of Non
Stock Options - Schedule of Non-Qualified Stock Options Activity (Details) - Non Qualified Options - $ / shares | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Shares | |||
Options outstanding at beginning of year (in shares) | 2,000 | 3,000 | 5,300 |
Granted (in shares) | 0 | 0 | 0 |
Exercised (in shares) | (1,000) | (1,000) | (2,300) |
Canceled (in shares) | 0 | 0 | 0 |
Options outstanding at end of year (in shares) | 1,000 | 2,000 | 3,000 |
Exercise Price | |||
Outstanding at beginning of year, exercise price (in dollars per share) | $ 53.51 | $ 53.51 | $ 46.87 |
Granted, exercise price (in dollars per share) | 0 | 0 | 0 |
Exercised, exercise price (in dollars per share) | 53.51 | 53.51 | 38.22 |
Canceled, exercise price (in dollars per share) | 0 | 0 | 0 |
Outstanding at end of year, exercise price (in dollars per share) | $ 53.51 | $ 53.51 | $ 53.51 |
Options exercisable at end of year (in shares) | 1,000 | 2,000 | 3,000 |
Exercisable at end of year, exercise price (in dollars per share) | $ 53.51 | $ 53.51 | $ 53.51 |
Stock Options - Schedule of N_2
Stock Options - Schedule of Non-Qualified Stock Options Outstanding and Exercisable (Details) - Non Qualified Options - $ / shares | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Options outstanding (in shares) | 1,000 | 2,000 | 3,000 | 5,300 |
Options exercisable (in shares) | 1,000 | 2,000 | 3,000 | |
$42.70 - $83.99 | ||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Range of exercise price, lower range limit (in dollars per share) | $ 42.7 | |||
Range of exercise price, upper range limit (in dollars per share) | $ 83.99 | |||
Options outstanding, exercise price range (in shares) | 1,000 | |||
Options outstanding, remaining contractual life | 1 year 4 months 9 days | |||
Options outstanding, exercise price (in dollars per share) | $ 53.51 | |||
Options exercisable, exercise price range (in shares) | 1,000 | |||
Options exercisable, exercise price (in dollars per share) | $ 53.51 |
Stock Options - Schedule of Res
Stock Options - Schedule of Restricted Stock Award Activity (Details) - Restricted Stock - $ / shares | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Shares | |||
Outstanding at beginning of year (in shares) | 80,616 | 91,043 | 78,705 |
Granted (in shares) | 48,396 | 35,224 | 44,307 |
Exercised (in shares) | (29,922) | (45,651) | (31,594) |
Canceled (in shares) | (1,460) | 0 | (375) |
Outstanding at end of year (in shares) | 97,630 | 80,616 | 91,043 |
Grant-Date Fair Value | |||
Outstanding at beginning of year (in dollars per share) | $ 129.53 | $ 104.77 | $ 94.34 |
Granted (in dollars per share) | 133.70 | 157 | 111.95 |
Exercised (in dollars per share) | 122.19 | 101.36 | 88.90 |
Canceled (in dollars per share) | 143.82 | 0 | 100.34 |
Outstanding at end of year (in dollars per share) | $ 133.67 | $ 129.53 | $ 104.77 |
Retirement Benefit Plans - Addi
Retirement Benefit Plans - Additional Information (Details) $ in Millions | 12 Months Ended | ||||
Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) employee plan subsidiary | Dec. 31, 2021 USD ($) | Dec. 31, 2020 USD ($) | Feb. 03, 2006 plan | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Number of non-contributory defined benefit pension plans | plan | 2 | ||||
Number of defined contribution plans | plan | 2 | ||||
Estimated | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Estimate of amount of unrecognized actuarial expense | $ 1 | ||||
Supplemental Employee Retirement Plan | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
SERP credited service period | 10 years | ||||
Percentage of final 3 year average salary in which retirement benefit is based (percentage) | 20% | ||||
Number of final years in which the Retirement Benefit is based | 3 years | ||||
Retirement age | 65 years | ||||
Period of time that vested retirement benefit will be paid after death or change in control | 90 days | ||||
Years of monthly installments associated with SERP disability | 15 years | ||||
Supplemental Employee Retirement Plan | Estimated | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Estimate of amount of unrecognized actuarial expense | $ 0.4 | ||||
Supplemental Employee Retirement Plan | Minimum | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Current retirement benefit percentage | 10% | ||||
Supplemental Employee Retirement Plan | Maximum | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Current retirement benefit percentage | 20% | ||||
Employees’ Retirement Plan | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Former employees | employee | 245 | ||||
Current employees | employee | 51 | ||||
IAM Plan | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Annual contribution amount | $ 0.5 | $ 0.5 | $ 0.4 | ||
United States | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Annual contribution amount | 4.2 | 3.9 | 3.5 | ||
Foreign Plan | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Annual contribution amount | $ 0.9 | $ 0.9 | $ 0.9 | ||
Number of international subsidiaries that participate in defined contribution and savings plan | subsidiary | 3 | ||||
Foreign Plan | Minimum | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Employer contribution percentage | 0% | ||||
Foreign Plan | Maximum | |||||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||||
Employer contribution percentage | 10% |
Retirement Benefit Plans - Sche
Retirement Benefit Plans - Schedule of Defined Benefit Plans Disclosures (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Change in fair value of plan assets | ||
Fair value of plan assets at beginning of year | $ 23,671 | |
Fair value of plan assets at end of year | 18,269 | $ 23,671 |
Pension Plan | ||
Change in projected benefit obligation | ||
Benefit obligation at beginning of year | 22,564 | 24,100 |
Service cost | 4 | 5 |
Interest cost | 604 | 553 |
Liability actuarial (gain) loss | (4,761) | (994) |
Benefits paid | (1,140) | (1,100) |
Benefit obligation at end of year | 17,271 | 22,564 |
Change in fair value of plan assets | ||
Fair value of plan assets at beginning of year | 23,671 | 22,370 |
Return on plan assets | (4,262) | 2,401 |
Employer contributions | 0 | 0 |
Benefits paid | (1,140) | (1,100) |
Fair value of plan assets at end of year | 18,269 | 23,671 |
Funded status | 998 | 1,107 |
Supplemental Employee Retirement Plan | ||
Change in projected benefit obligation | ||
Benefit obligation at beginning of year | 11,326 | 10,160 |
Service cost | 284 | 369 |
Interest cost | 278 | 205 |
Liability actuarial (gain) loss | (2,023) | 759 |
Benefits paid | (313) | (167) |
Benefit obligation at end of year | $ 9,552 | $ 11,326 |
Retirement Benefit Plans - Sc_2
Retirement Benefit Plans - Schedule of Assumptions Used (Details) | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Pension Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 5.10% | 2.75% |
Discount rate | 2.75% | 2.35% |
Long-term rate of return on plan assets | 6% | 7.25% |
Supplemental Employee Retirement Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 5.05% | 2.50% |
Composite rate of compensation increase | 3% | 3% |
Discount rate | 2.50% | 2.05% |
Composite rate of compensation increase | 3% | 3% |
Retirement Benefit Plans - Sc_3
Retirement Benefit Plans - Schedule of Net Periodic Benefit Cost (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2022 | Dec. 31, 2021 | |
Pension Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | $ 4 | $ 5 |
Interest cost | 604 | 553 |
Expected return on plan assets | (1,384) | (1,581) |
Amortization of net (gain)/loss | 182 | 542 |
Net periodic benefit cost | (594) | (481) |
Supplemental Employee Retirement Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | 284 | 369 |
Interest cost | 278 | 205 |
Amortization of prior service cost | 420 | 413 |
Amortization of net (gain)/loss | 440 | 318 |
Net periodic benefit cost | $ 1,422 | $ 1,305 |
Retirement Benefit Plans - Weig
Retirement Benefit Plans - Weighted Average Asset Allocations (Details) - Pension Plan | Dec. 31, 2022 | Dec. 31, 2021 |
Defined Benefit Plan Disclosure [Line Items] | ||
Asset allocations as a percentage of plan assets | 100% | 100% |
Equity securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Asset allocations as a percentage of plan assets | 36% | 36% |
Debt securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Asset allocations as a percentage of plan assets | 62% | 62% |
Short-term investments | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Asset allocations as a percentage of plan assets | 2% | 2% |
Other | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Asset allocations as a percentage of plan assets | 0% | 0% |
Retirement Benefit Plans - Sc_4
Retirement Benefit Plans - Schedule of Fair Value of Plan Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2022 | Dec. 31, 2021 |
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | $ 18,269 | $ 23,671 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 1,687 | 2,074 |
Significant Other Observable Inputs (Level 2) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 16,582 | 21,597 |
Significant Unobservable Inputs (Level 3) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Mid Cap | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 512 | 637 |
Mid Cap | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 512 | 637 |
Mid Cap | Significant Other Observable Inputs (Level 2) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Mid Cap | Significant Unobservable Inputs (Level 3) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
International | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 743 | 940 |
International | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 743 | 940 |
International | Significant Other Observable Inputs (Level 2) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
International | Significant Unobservable Inputs (Level 3) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo Liability Driven Solution CIT I | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 7,815 | 7,782 |
Wells Fargo Liability Driven Solution CIT I | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo Liability Driven Solution CIT I | Significant Other Observable Inputs (Level 2) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 7,815 | 7,782 |
Wells Fargo Liability Driven Solution CIT I | Significant Unobservable Inputs (Level 3) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo Liability Driven Solution CIT II | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 3,550 | 7,026 |
Wells Fargo Liability Driven Solution CIT II | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | |
Wells Fargo Liability Driven Solution CIT II | Significant Other Observable Inputs (Level 2) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 3,550 | 7,026 |
Wells Fargo Liability Driven Solution CIT II | Significant Unobservable Inputs (Level 3) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | |
Wells Fargo BlackRock International Equity | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 488 | 616 |
Wells Fargo BlackRock International Equity | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo BlackRock International Equity | Significant Other Observable Inputs (Level 2) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 488 | 616 |
Wells Fargo BlackRock International Equity | Significant Unobservable Inputs (Level 3) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo/Causeway International Value | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 464 | 586 |
Wells Fargo/Causeway International Value | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo/Causeway International Value | Significant Other Observable Inputs (Level 2) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 464 | 586 |
Wells Fargo/Causeway International Value | Significant Unobservable Inputs (Level 3) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo BlackRock Large Cap Growth Index Fund | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 724 | 950 |
Wells Fargo BlackRock Large Cap Growth Index Fund | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo BlackRock Large Cap Growth Index Fund | Significant Other Observable Inputs (Level 2) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 724 | 950 |
Wells Fargo BlackRock Large Cap Growth Index Fund | Significant Unobservable Inputs (Level 3) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo BlackRock Large Cap Value Index Fund | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 744 | 968 |
Wells Fargo BlackRock Large Cap Value Index Fund | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo BlackRock Large Cap Value Index Fund | Significant Other Observable Inputs (Level 2) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 744 | 968 |
Wells Fargo BlackRock Large Cap Value Index Fund | Significant Unobservable Inputs (Level 3) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo Multi-Manager Small Cap | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 785 | 1,015 |
Wells Fargo Multi-Manager Small Cap | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo Multi-Manager Small Cap | Significant Other Observable Inputs (Level 2) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 785 | 1,015 |
Wells Fargo Multi-Manager Small Cap | Significant Unobservable Inputs (Level 3) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo BlackRock Russell 2000 Index Fund | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 261 | 332 |
Wells Fargo BlackRock Russell 2000 Index Fund | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo BlackRock Russell 2000 Index Fund | Significant Other Observable Inputs (Level 2) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 261 | 332 |
Wells Fargo BlackRock Russell 2000 Index Fund | Significant Unobservable Inputs (Level 3) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo BlackRock S&P Mid Cap Index Fund | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 320 | 419 |
Wells Fargo BlackRock S&P Mid Cap Index Fund | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo BlackRock S&P Mid Cap Index Fund | Significant Other Observable Inputs (Level 2) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 320 | 419 |
Wells Fargo BlackRock S&P Mid Cap Index Fund | Significant Unobservable Inputs (Level 3) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo/MFS Value CIT F | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 359 | 469 |
Wells Fargo/MFS Value CIT F | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo/MFS Value CIT F | Significant Other Observable Inputs (Level 2) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 359 | 469 |
Wells Fargo/MFS Value CIT F | Significant Unobservable Inputs (Level 3) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo/T. Rowe Price Large-Cap Growth Managed CIT | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 359 | 465 |
Wells Fargo/T. Rowe Price Large-Cap Growth Managed CIT | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo/T. Rowe Price Large-Cap Growth Managed CIT | Significant Other Observable Inputs (Level 2) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 359 | 465 |
Wells Fargo/T. Rowe Price Large-Cap Growth Managed CIT | Significant Unobservable Inputs (Level 3) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo/T. Rowe Price Equity Income Managed CIT | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 356 | 487 |
Wells Fargo/T. Rowe Price Equity Income Managed CIT | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo/T. Rowe Price Equity Income Managed CIT | Significant Other Observable Inputs (Level 2) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 356 | 487 |
Wells Fargo/T. Rowe Price Equity Income Managed CIT | Significant Unobservable Inputs (Level 3) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo Voya Large Cap Growth CIT F | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 357 | 482 |
Wells Fargo Voya Large Cap Growth CIT F | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Wells Fargo Voya Large Cap Growth CIT F | Significant Other Observable Inputs (Level 2) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 357 | 482 |
Wells Fargo Voya Large Cap Growth CIT F | Significant Unobservable Inputs (Level 3) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Cash & Short-term Investments | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 432 | 497 |
Cash & Short-term Investments | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 432 | 497 |
Cash & Short-term Investments | Significant Other Observable Inputs (Level 2) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | 0 | 0 |
Cash & Short-term Investments | Significant Unobservable Inputs (Level 3) | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Fair value of plan assets | $ 0 | $ 0 |
Retirement Benefit Plans - Sc_5
Retirement Benefit Plans - Schedule of Expected Benefit Payments (Details) $ in Thousands | Dec. 31, 2022 USD ($) |
Pension Plan | |
Defined Benefit Plan Disclosure [Line Items] | |
2023 | $ 1,275 |
2024 | 1,304 |
2025 | 1,315 |
2026 | 1,312 |
2027 | 1,306 |
Years 2028 through 2032 | 6,209 |
Supplemental Employee Retirement Plan | |
Defined Benefit Plan Disclosure [Line Items] | |
2023 | 490 |
2024 | 546 |
2025 | 639 |
2026 | 866 |
2027 | 868 |
Years 2028 through 2032 | $ 4,321 |
Revenue and Segment Reporting -
Revenue and Segment Reporting - Schedule of Segment Reporting (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Segment Reporting Information [Line Items] | ||||
Net Revenue | $ 1,513,616 | $ 1,334,223 | $ 1,163,466 | |
Income from Operations | 148,592 | 116,938 | 94,785 | |
Goodwill | 195,858 | 202,406 | 195,132 | $ 198,022 |
Identifiable Assets | 1,308,508 | 1,205,742 | ||
Vegetation Management | ||||
Segment Reporting Information [Line Items] | ||||
Net Revenue | 937,065 | 812,676 | 654,630 | |
Income from Operations | 108,508 | 78,917 | 46,651 | |
Goodwill | 127,562 | 132,963 | 124,981 | 126,894 |
Identifiable Assets | 866,974 | 789,838 | ||
Industrial Equipment | ||||
Segment Reporting Information [Line Items] | ||||
Net Revenue | 576,551 | 521,547 | 508,836 | |
Income from Operations | 40,084 | 38,021 | 48,134 | |
Goodwill | 68,296 | 69,443 | 70,151 | $ 71,128 |
Identifiable Assets | 441,534 | 415,904 | ||
Wholegoods | ||||
Segment Reporting Information [Line Items] | ||||
Net Revenue | 1,185,885 | 1,024,158 | 885,254 | |
Parts | ||||
Segment Reporting Information [Line Items] | ||||
Net Revenue | 280,261 | 262,432 | 247,126 | |
Other * | ||||
Segment Reporting Information [Line Items] | ||||
Net Revenue | $ 47,470 | $ 47,633 | $ 31,086 |
Revenue and Segment Reporting_2
Revenue and Segment Reporting - Additional Information (Details) | 3 Months Ended |
Dec. 31, 2022 segment | |
Segment Reporting [Abstract] | |
Number of principal reporting segments | 2 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | $ 705,663 | $ 635,003 | $ 577,943 |
Other comprehensive income (loss) before reclassifications | (23,032) | (15,800) | 8,862 |
Amounts reclassified from accumulated other comprehensive loss | 1,707 | 1,838 | |
Other comprehensive income (loss) | (19,278) | (8,664) | 512 |
Ending balance | 785,360 | 705,663 | 635,003 |
Foreign Currency Translation Adjustment | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (42,397) | (26,597) | |
Other comprehensive income (loss) before reclassifications | (23,032) | (15,800) | |
Amounts reclassified from accumulated other comprehensive loss | 0 | 0 | |
Other comprehensive income (loss) | (23,032) | (15,800) | |
Ending balance | (65,429) | (42,397) | (26,597) |
Defined Benefit Plans Items | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (5,017) | (6,855) | |
Other comprehensive income (loss) before reclassifications | 0 | 0 | |
Amounts reclassified from accumulated other comprehensive loss | 1,707 | 1,838 | |
Other comprehensive income (loss) | 1,707 | 1,838 | |
Ending balance | (3,310) | (5,017) | (6,855) |
Gains (Losses) on Cash Flow Hedges | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (1,576) | (6,874) | |
Other comprehensive income (loss) before reclassifications | 1,512 | 7,984 | |
Amounts reclassified from accumulated other comprehensive loss | 535 | (2,686) | |
Other comprehensive income (loss) | 2,047 | 5,298 | |
Ending balance | 471 | (1,576) | (6,874) |
Accumulated Other Comprehensive Income | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning balance | (48,990) | (40,326) | (40,838) |
Other comprehensive income (loss) before reclassifications | (21,520) | (7,816) | |
Amounts reclassified from accumulated other comprehensive loss | 2,242 | (848) | |
Other comprehensive income (loss) | (19,278) | (8,664) | |
Ending balance | $ (68,268) | $ (48,990) | $ (40,326) |
International Operations and _3
International Operations and Geographic Information - Schedule of International Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Segment Reporting Information [Line Items] | |||
Net sales | $ 1,513,616 | $ 1,334,223 | $ 1,163,466 |
Income from operations | 148,592 | 116,938 | 94,785 |
Income before income taxes | 134,310 | 109,498 | 79,757 |
Identifiable assets | 1,308,508 | 1,205,742 | |
Non-US | |||
Segment Reporting Information [Line Items] | |||
Net sales | 420,678 | 363,339 | 312,462 |
Income from operations | 48,893 | 34,561 | 31,166 |
Income before income taxes | 51,206 | 37,051 | 30,674 |
Identifiable assets | $ 364,752 | $ 352,187 | $ 304,536 |
International Operations and _4
International Operations and Geographic Information - Schedule of Selected Geographic Financial Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | $ 1,513,616 | $ 1,334,223 | $ 1,163,466 |
Total long-lived assets | 581,008 | 593,283 | 605,539 |
United States | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 1,080,893 | 953,024 | 862,430 |
Total long-lived assets | 457,075 | 461,341 | 480,940 |
France | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 89,629 | 92,052 | 81,259 |
Total long-lived assets | 18,728 | 19,781 | 21,033 |
Canada | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 95,799 | 83,392 | 65,313 |
Total long-lived assets | 32,165 | 32,132 | 33,573 |
United Kingdom | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 69,454 | 57,386 | 47,757 |
Total long-lived assets | 31,767 | 36,569 | 18,843 |
Brazil | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 46,841 | 31,365 | 16,592 |
Total long-lived assets | 12,175 | 10,408 | 11,123 |
Netherlands | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 23,304 | 27,964 | 23,946 |
Total long-lived assets | 28,428 | 32,262 | 39,063 |
Germany | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 9,115 | 8,977 | 9,328 |
Australia | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | 26,117 | 20,980 | 10,999 |
Total long-lived assets | 670 | 790 | 964 |
Other | |||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||
Net sales | $ 72,464 | $ 59,083 | $ 45,842 |