Document And Entity Information
Document And Entity Information - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2020 | Feb. 17, 2021 | Jun. 30, 2020 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Title of 12(b) Security | Common Stock, $0.001 par value per share | ||
Document Period End Date | Dec. 31, 2020 | ||
Document Transition Report 1 | false | ||
Entity File Number | 001-31573 | ||
Entity Registrant Name | Medifast, Inc. | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 13-3714405 | ||
Entity Address, Address Line One | 100 International Drive | ||
Entity Address, City or Town | Baltimore | ||
Entity Address, State or Province | MD | ||
Entity Address, Postal Zip Code | 21202 | ||
City Area Code | 410 | ||
Local Phone Number | 581-8042 | ||
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 | ||
Trading Symbol | MED | ||
Security Exchange Name | NYSE | ||
Entity Common Stock, Shares Outstanding | 11,774,446 | ||
Entity Central Index Key | 0000910329 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2020 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Entity Voluntary Filers | No | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Public Float | $ 1.5 |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
CONDENSED CONSOLIDATED STATEMENTS OF INCOME | |||
Revenue | $ 934,842 | $ 713,672 | $ 501,003 |
Cost of sales | 237,027 | 176,814 | 121,104 |
Gross profit | 697,815 | 536,858 | 379,899 |
Selling, general, and administrative | 563,656 | 445,819 | 310,836 |
Income from operations | 134,159 | 91,039 | 69,063 |
Other income | |||
Interest income, net | 246 | 1,295 | 1,306 |
Other income (expense) | (140) | 29 | 179 |
Other income (expense) | 106 | 1,324 | 1,485 |
Income from operations before income taxes | 134,265 | 92,363 | 70,548 |
Provision for income taxes | 31,406 | 14,447 | 14,759 |
Net income | $ 102,859 | $ 77,916 | $ 55,789 |
Basic earnings per share | |||
Earnings per share - basic | $ 8.74 | $ 6.62 | $ 4.67 |
Diluted earnings per share | |||
Earnings per share - diluted | $ 8.68 | $ 6.43 | $ 4.62 |
Weighted average shares outstanding - | |||
Basic | 11,771 | 11,771 | 11,947 |
Diluted | 11,850 | 12,117 | 12,079 |
Cash dividends declared per share | $ 4.52 | $ 3.38 | $ 2.19 |
CONDENSED CONSOLIDATED STATEM_2
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME | |||
Net income | $ 102,859 | $ 77,916 | $ 55,789 |
Other comprehensive income (loss), net of tax: | |||
Foreign currency translation | (21) | 1 | (2) |
Unrealized gains (losses) on investment securities | 37 | 197 | (11) |
Other comprehensive income (loss) | 16 | 198 | (13) |
Comprehensive income | $ 102,875 | $ 78,114 | $ 55,776 |
CONDENSED CONSOLIDATED BALANCE
CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Current Assets | ||
Cash and cash equivalents | $ 163,723 | $ 76,974 |
Accounts receivable-net of doubtful accounts of $219 and $235 at December 31, 2020 and 2019, respectively | 584 | 1,437 |
Inventories | 53,392 | 48,771 |
Investment securities | 10,752 | 15,704 |
Income taxes, prepaid | 5,169 | |
Prepaid expenses and other current assets | 5,863 | 6,096 |
Total current assets | 234,314 | 154,151 |
Property, plant and equipment - net of accumulated depreciation | 27,633 | 26,039 |
Right-of-use assets | 10,508 | 12,803 |
Other assets | 2,937 | 353 |
Deferred tax assets | 692 | 1,307 |
TOTAL ASSETS | 276,084 | 194,653 |
Current Liabilities | ||
Accounts payable and accrued expenses | 107,677 | 76,220 |
Current lease obligations | 3,673 | 3,168 |
Total current liabilities | 111,350 | 79,388 |
Lease obligations, less current lease obligations | 7,488 | 10,433 |
Total liabilities | 118,838 | 89,821 |
Stockholders' Equity: | ||
Common stock, par value $.001 per share: 20,000 shares authorized; 11,822 and 12,272 issued and 11,772 and 11,764 outstanding at December 31, 2020 and December 31, 2019, respectively | 12 | 12 |
Additional paid-in capital | 7,842 | |
Accumulated other comprehensive income | 41 | 25 |
Retained earnings | 154,351 | 168,788 |
Less: Treasury stock at cost, 46 and 489 shares at December 31, 2020 and December 31, 2019, respectively | (5,000) | (63,993) |
Total stockholders' equity | 157,246 | 104,832 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 276,084 | $ 194,653 |
CONDENSED CONSOLIDATED BALANC_2
CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
CONDENSED CONSOLIDATED BALANCE SHEETS | ||
Allowance for doubtful accounts | $ 219 | $ 235 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 20,000,000 | 20,000,000 |
Common stock, issued | 11,822,000 | 12,272,000 |
Common stock, outstanding | 11,772,000 | 11,764,000 |
Treasury stock, common, shares | 46,000 | 489,000 |
CONDENSED CONSOLIDATED STATEM_3
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | 24 Months Ended | |||||
Dec. 31, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2019 | |
Operating Activities | ||||||||
Net income | $ 27,994 | $ 18,477 | $ 19,881 | $ 20,750 | $ 102,859 | $ 77,916 | $ 55,789 | |
Adjustments to reconcile net income to cash provided by operating activities | ||||||||
Depreciation and amortization | 7,270 | 7,248 | 4,435 | |||||
Share-based compensation | 6,796 | 4,520 | 3,124 | |||||
Loss on sale of disposal of property, plant and equipment | 212 | 17 | 48 | |||||
Bad debt expense | 556 | 3,638 | 1,058 | |||||
Amortization of premium on investment securities | 320 | 454 | 571 | |||||
Deferred income taxes | 601 | 1,598 | (2,687) | |||||
Change in operating assets and liabilities: | ||||||||
Accounts receivable | 297 | (4,064) | (936) | |||||
Inventories | (4,621) | (9,883) | (18,658) | |||||
Income taxes, prepaid | 5,169 | (5,169) | 2,272 | |||||
Prepaid expenses and other current assets | 233 | (1,510) | (282) | |||||
Other assets | (2,506) | (2,615) | 65 | |||||
Accounts payable and accrued expenses | 28,010 | 12,111 | 16,017 | |||||
Net cash flow provided by operating activities | 145,196 | 84,261 | 60,816 | |||||
Investing Activities | ||||||||
Sale and maturities of investment securities | 4,605 | 3,730 | 3,545 | |||||
Sale of property and equipment | 196 | |||||||
Purchase of property and equipment | (5,887) | (10,058) | (4,940) | |||||
Net cash flow used in investing activities | (1,282) | (6,328) | (1,199) | |||||
Financing Activities | ||||||||
Options exercised by executives and directors | 1,597 | 278 | 547 | |||||
Net shares repurchased for employee taxes | (551) | (14,092) | (720) | |||||
Cash dividends paid to stockholders | (53,190) | (35,396) | (23,160) | |||||
Stock repurchases | (5,000) | (33,114) | (29,995) | |||||
Net cash flow used in financing activities | (57,144) | (82,324) | (53,328) | |||||
Foreign currency impact | (21) | 1 | (2) | |||||
Increase (Decrease) in cash and cash equivalents | 86,749 | (4,390) | 6,287 | |||||
Cash and cash equivalents - beginning of the period | $ 76,974 | $ 81,364 | 76,974 | 81,364 | 75,077 | $ 75,077 | ||
Cash and cash equivalents - end of the period | $ 163,723 | $ 76,974 | 163,723 | 76,974 | 81,364 | $ 76,974 | ||
Supplemental disclosure of cash flow information: | ||||||||
Income taxes paid | 24,636 | 17,314 | 14,606 | |||||
Dividends declared included in accounts payable | $ 13,831 | $ 13,719 | $ 9,137 |
CONDENSED CONSOLIDATED STATEM_4
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) shares in Thousands, $ in Thousands | Common Stock [Member] | Additional Paid- In Capital [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Retained Earnings [Member] | Treasury Stock [Member] | Total |
Balance at Dec. 31, 2017 | $ 12 | $ 4,967 | $ (160) | $ 101,744 | $ 106,563 | |
Balance (in shares) at Dec. 31, 2017 | 12,103 | |||||
Net income | 55,789 | 55,789 | ||||
Share-based compensation | 3,124 | 3,124 | ||||
Share-based compensation (in shares) | 19 | |||||
Options exercised by executives and directors | 547 | 547 | ||||
Options exercised by executives and directors (in shares) | 34 | |||||
Net shares repurchased for employee taxes | (720) | $ (720) | ||||
Net shares repurchased for employee taxes, (in shares) | (7) | 0 | ||||
Restricted shares forfeitures | (40) | |||||
Treasury stock from stock repurchases (in shares) | 8 | |||||
Treasury stock from stock repurchases | $ (29,995) | $ (29,995) | ||||
Other comprehensive income | (13) | (13) | ||||
Cash dividends declared to stockholders | (26,189) | (26,189) | ||||
Balance at Dec. 31, 2018 | $ 12 | 8,802 | (173) | 131,344 | (30,879) | 109,106 |
Balance (in shares) at Dec. 31, 2018 | 12,117 | |||||
Treasury stock from cashless options | 884 | (884) | ||||
Net income | 77,916 | 77,916 | ||||
Share-based compensation | $ 273 | 4,520 | 4,520 | |||
Options exercised by executives and directors | 278 | 278 | ||||
Options exercised by executives and directors (in shares) | 10 | |||||
Net shares repurchased for employee taxes | (13,600) | (492) | $ (14,092) | |||
Net shares repurchased for employee taxes, (in shares) | (128) | (100) | ||||
Treasury stock from stock repurchases | (33,114) | $ (33,114) | ||||
Other comprehensive income | 198 | 198 | ||||
Cash dividends declared to stockholders | (39,980) | (39,980) | ||||
Balance at Dec. 31, 2019 | $ 12 | 25 | 168,788 | (63,993) | 104,832 | |
Balance (in shares) at Dec. 31, 2019 | 12,272 | |||||
Net income | 102,859 | 102,859 | ||||
Share-based compensation | 6,796 | 6,796 | ||||
Share-based compensation (in shares) | 17 | |||||
Options exercised by executives and directors | 1,597 | 1,597 | ||||
Options exercised by executives and directors (in shares) | 28 | |||||
Net shares repurchased for employee taxes | (551) | $ (551) | ||||
Net shares repurchased for employee taxes, (in shares) | (6) | 0 | ||||
Retirement of treasury stock | $ (489) | (63,993) | 63,993 | |||
Treasury stock from stock repurchases | (5,000) | $ (5,000) | ||||
Other comprehensive income | 16 | 16 | ||||
Cash dividends declared to stockholders | (53,303) | (53,303) | ||||
Balance at Dec. 31, 2020 | $ 12 | $ 7,842 | $ 41 | $ 154,351 | $ (5,000) | $ 157,246 |
Balance (in shares) at Dec. 31, 2020 | 11,822 |
Nature of the Business
Nature of the Business | 12 Months Ended |
Dec. 31, 2020 | |
Nature of the Business [Abstract] | |
Nature of the Business | 1. NATURE OF THE BUSINESS Medifast, Inc. (the “Company” or “Medifast”) is a Delaware corporation, incorporated in 1989. The Company’s operations are primarily conducted through its wholly owned subsidiaries, Jason Pharmaceuticals, Inc., OPTA OPTA OPTA OPTA OPTA ® OPTA VIA is a highly effective lifestyle solution for people for whom diets alone have failed. The Company has one modern, United States Food and Drug Administration (the “FDA”) approved manufacturing facility located in Owings Mills, Maryland. Medifast sells a variety of weight loss, weight management and healthy living products all based on our proprietary formulas under the Medifast ® OPTA ® ® brands. The Company’s product line includes more than 137 consumable options, including, but not limited to, bars, bites, pretzels, puffs, cereal crunch, drinks, hearty choices, oatmeal, pancakes, pudding, soft serve, shakes, smoothies, soft bakes, and soups. Medifast’s nutritional products are formulated with high-quality ingredients. The processing, formulation, packaging, labeling and advertising of the Company’s products are subject to regulation by one or more federal agencies, including the FDA, the Federal Trade Commission (the “FTC”), the Consumer Product Safety Commission, the United States Department of Agriculture, and the United States Environmental Protection Agency. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2020 | |
Summary of Significant Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | 2. SIGNIFICANT ACCOUNTING POLICIES Principles of Consolidation - Reclassification Use of Estimates Cash and Cash Equivalents Concentration of Credit Risk Fair Value of Financial Instruments Accounts Receivable and Allowance for Doubtful Accounts Inventories Investment Securities Property, Plant, and Equipment Building and building improvements 10 - 35 years Leasehold Improvements (1) Lease term Equipment and fixtures 3 - 15 years Software 5 years Vehicles 5 years (1) The depreciation life for leasehold improvements is the lesser of the estimated useful life of the addition or the term of the related lease. Long-lived Asset Impairment Revenue Recognition - Our revenue is derived primarily from point of sale transactions executed over an ecommerce platform for weight loss, weight management, and other consumable health and nutritional products. Revenue is recognized upon receipt by customer and net of discounts, rebates, promotional adjustments, price adjustments, allocated consideration to loyalty programs, and estimated returns. Revenue is recognized when control of the promised products is transferred to our clients, in an amount that reflects the consideration we expect to be entitled to in exchange for transferring those products. When determining whether the customer has obtained control of the products, we consider any future performance obligations. A performance obligation is a promise in a contract to transfer a distinct good or service to the customer, and is the unit of account in ASC 606, Revenue from Contracts with Customers Our performance obligations are satisfied at a point in time. Revenue from products transferred to clients at a point in time accounted for substantially all of our revenue for the years ended December 31, 2020, 2019 and 2018. Revenue on these contracts is recognized when obligations under the terms of the contract with our customer are satisfied. Generally, this occurs with the transfer of control upon receipt of products by our clients. Any consideration received prior to the fulfillment of the Company’s performance obligation is deferred and recognized as a liability. Sales returns Our return policy allows for customer returns within 30 days of purchase and upon our authorization. We adjust revenues for the products expected to be returned and a liability is recognized for expected refunds to clients. We estimate expected returns based on historical levels and project this experience into the future. Customer reward programs and sales incentives Our sales contracts may give clients the option to purchase additional products priced at a discount. Options to acquire additional products at a discount can come in many forms, such as customer reward programs and incentive offerings including pricing arrangements and promotions. We reduce the transaction price for certain customer reward programs and incentive offerings including pricing arrangements, promotions, and incentives that represent variable consideration and separate performance obligations. The Company accounts for sales rewards that provide the customer with a material right as a separate performance obligation of the transactions, and therefore allocates consideration between the initial sale of products and the customer reward program and incentive offering. Shipping and handling costs Amounts billed to clients for shipping and handling activities are treated as a promised service performance obligation and are recorded in revenue in the accompanying Consolidated Statements of Income upon fulfillment of the performance obligation. Shipping and handling costs incurred by the Company for the delivery of products to clients are considered a cost to fulfill the contract and are included in cost of sales in the accompanying Consolidated Statements of Income. Contract costs We expense sales commissions and credit card fees during the period in which the corresponding revenue is earned. These costs are deferred along with the revenues for goods that are in transit and not received by clients by period end. These costs are recorded in selling, general and administrative expense in the accompanying Consolidated Statements of Income. Leases Advertising Costs general, and administrative expense in the accompanying Consolidated Statements of Income. Advertising expense, excluding broker fees, for the years ended December 31, 2020, 2019 and 2018, amounted to $4.4 million, $5.3 million and $6.0 million, respectively. Research and Development Share-Based Compensation Income Taxes The benefit of a tax position is recognized in the consolidated financial statements in the period during which, based on all available evidence, management believes it is more-likely-than-not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50% likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits in the accompanying Consolidated Balance Sheets along with any associated interest and penalties that would be payable to the taxing authorities upon examination. We evaluated our tax positions and determined that we did not have any material uncertain tax positions. Our policy is to recognize interest and penalties accrued on uncertain tax positions as part of income tax expense. For the years ended December 31, 2020, 2019 and 2018, no material estimated interest or penalties were recognized for the uncertainty of certain tax positions. We file income tax returns in the United States and various states and foreign jurisdictions. We are generally no longer subject to United States federal, state and local income tax examinations by tax authorities for the years before 2017. Earnings Per Share - Basic earnings per share (“EPS”) computations are calculated utilizing the weighted average number of shares of common stock outstanding during the periods presented. Diluted EPS is calculated utilizing the weighted average number of shares of common stock outstanding adjusted for the effect of dilutive common stock equivalents. Comprehensive Income Accounting Pronouncements - Adopted in 2020 In August 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2018-15, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40), implementation costs associated with a hosted service. The standard provides amendments to align the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal use software license). On January 1, 2020, the Company adopted ASU 2018-15. The Company capitalized $2.9 million in total for the year ended December 31, 2020, principally related to the configuration and development of the Company’s new hosted enterprise resource planning tool (“ERP”). The amortization expense associated with the capitalized costs was $0.2 million for the year ended December 31, 2020. In June 2016, the FASB issued ASU 2016-13, Financial Instruments Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments Recently Issued Accounting Pronouncements - Pending Adoption We have considered all new accounting pronouncements and have concluded that there are no new pronouncements that have the potential for a material impact on our results of operations, financial condition, or cash flows, based on current information, except for: In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2020 | |
Inventories [Abstract] | |
Inventories | 3. INVENTORIES Inventories consisted of the following (in thousands): December 31, 2020 December 31, 2019 Raw materials $ 13,428 $ 10,880 Packaging 4,071 4,109 Non-food finished goods 8,078 4,421 Finished goods 29,858 31,314 Reserve for obsolete inventory (2,043) (1,953) Total $ 53,392 $ 48,771 |
Property, Plant and Equipment
Property, Plant and Equipment | 12 Months Ended |
Dec. 31, 2020 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | 4. PROPERTY, PLANT AND EQUIPMENT Property, plant, and equipment consisted of the following (in thousands): December 31, 2020 December 31, 2019 Land $ 565 $ 565 Building and leasehold improvements 13,013 12,890 Equipment and fixtures 20,955 17,739 Software 20,047 17,716 Vehicles 145 145 Property, plant and equipment - gross 54,725 49,055 Less: accumulated depreciation (27,092) (23,016) Property, plant and equipment - net $ 27,633 $ 26,039 Depreciation expense for the years ended December 31, 2020, 2019 and 2018 was $4.1 million, $3.7 million and $3.6 million, respectively. |
Accounts Payable And Accrued Ex
Accounts Payable And Accrued Expenses | 12 Months Ended |
Dec. 31, 2020 | |
Accounts Payable and Accrued Expenses [Abstract] | |
Accounts Payable and Accrued Expenses | 5. ACCOUNTS PAYABLE AND ACCRUED EXPENSES Accounts payable and accrued expenses consisted of the following (in thousands): December 31, 2020 December 31, 2019 Trade payables and accrued expenses $ 35,767 $ 22,608 Sales commissions payable 22,598 13,186 Dividends payable 13,831 13,719 Accrued payroll and related taxes 16,948 10,409 Coach incentive accruals 325 5,598 Promotional sales incentive accruals 7,621 4,818 Deferred revenue 7,606 4,333 Sales tax payable 2,981 1,549 Total $ 107,677 $ 76,220 |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | 6. EARNINGS PER SHARE The following table sets forth the computation of basic and diluted EPS for the years ended December 31, 2020, 2019 and 2018 (in thousands, except per share data): 2020 2019 2018 Numerator: Net income $ 102,859 $ 77,916 $ 55,789 Denominator: Weighted average shares of common stock outstanding 11,771 11,771 11,947 Effect of dilutive common stock equivalents 79 346 132 Weighted average shares of common stock outstanding 11,850 12,117 12,079 Earnings per share - basic $ 8.74 $ 6.62 $ 4.67 Earnings per share - diluted $ 8.68 $ 6.43 $ 4.62 The calculation of diluted earnings per share excluded 358, 984 and 298 antidilutive options outstanding for the years ended December 31, 2020, 2019 and 2018, respectively. The calculation of diluted earnings per share for the years ended December 31, 2020, 2019 and 2018 also excluded 2,658, 718 and 258 antidilutive restricted stock awards, respectively. |
Equity
Equity | 12 Months Ended |
Dec. 31, 2020 | |
Equity [Abstract] | |
Equity | 7. EQUITY Authorized Shares Pursuant to the Company’s Restated and Amended Certificate of Incorporation, the Company has the authority to issue 21,500,000 capital shares consisting of: (i) 20,000,000 shares of common stock having a par value of $0.001 per share and (ii) 1,500,000 shares of preferred stock having a par value $0.001 per share. As of December 31, 2020, there were approximately 11,822,000 and 0 shares of common stock and preferred stock issued, respectively. Issuance of Additional Common Stock On May 18, 2017, the stockholders of the Company approved the Medifast, Inc. Amended and Restated 2012 Share Incentive Plan (the “Amended and Restated 2012 Plan”) that increased the number of shares of the Company’s common stock that may be awarded under the Amended and Restated 2012 Plan by 600,000, to an aggregate of 1,600,000. Stock Repurchase Plan The Company implemented a stock repurchase plan on September 16, 2014 (the “Stock Repurchase Plan”). On September 12, 2019, the Company's Board of Directors authorized an additional 2,000,000 shares for repurchase under the Stock Repurchase Plan. The Company repurchased approximately 46,000 and 296,000 shares during the years ended December 31, 2020 and 2019, respectively. As of December 31, 2020, there were approximately 2,323,000 shares of common stock remaining under the Company’s Stock Repurchase Plan. There is no guarantee as to the exact number of shares of the Company’s common stock, if any, that will be repurchased under the Stock Repurchase Plan. |
Share-based Compensation
Share-based Compensation | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Compensation [Abstract] | |
Share-based Compensation | 8. SHARE-BASED COMPENSATION Stock Options: The Company has issued non-qualified and incentive stock options to employees and nonemployee directors. The fair value of these options are estimated on the date of grant using the Black-Scholes option pricing model, which requires estimates of the expected term of the option, the risk-free interest rate, the expected volatility of the price of the Company’s common stock, and dividend yield. Options outstanding as of December 31, 2020 generally vest over a period of three years and expire ten years from the date of grant. The exercise price of these options ranges from $26.52 to $171.68. Due to the Company’s lack of option exercise history on the date of grant, the expected term is calculated using the simplified method defined as the midpoint between the vesting period and the contractual term of each option. The risk free interest rate is based on the U.S. Treasury yield curve in effect on the date of grant that most closely corresponds to the expected term of the option. The expected volatility is based on the historical volatility of the Company’s common stock over the period of time equivalent to the expected term for each award. The dividend yield is computed as the annualized dividend rate at the grant date divided by the strike price of the stock option. For the years ended December 31, 2020 and 2019, the Company did not grant stock options. The weighted average input assumptions used for the year ended December 31, 2018 were as follows: 2018 Expected term (in years) 6.4 Risk-free interest rate 2.64% Expected volatility 33.30% Dividend yield 2.87% The number of stock options and weighted-average exercise prices as of December 31, 2020 and 2019 are as follows: 2020 2019 Awards Weighted-Average Exercise Price Awards Weighted-Average Exercise Price (awards in thousands) Outstanding at beginning of period 97 $ 52.53 107 $ 49.26 Exercised (28) 57.79 (10) 28.21 Forfeited (8) 68.45 - - Outstanding at end of the period 61 $ 48.19 97 $ 52.53 Exercisable at end of the period 44 $ 39.98 52 $ 40.96 As of December 31, 2020, the weighted-average remaining contractual life was 5.7 years with an aggregate intrinsic value of $9.2 million for outstanding stock options and the weighted-average remaining contractual life was 5.2 years with an aggregate intrinsic value of $6.9 million for exercisable options. The unrecognized compensation expense calculated under the fair value method for shares expected to vest as of December 31, 2020 was $0.2 million and is expected to be recognized over a weighted average period of 2.1 years. The Company received $1.6 million, $0.3 million and $0.5 million in cash proceeds from the exercise of stock options during the years ended December 31, 2020, 2019 and 2018, respectively. The total intrinsic value of options exercised during the years ended December 31, 2020, 2019 and 2018 was $1.5 million, $1.0 million and $4.1 million, respectively. Restricted Stock: The Company has issued restricted stock to employees and nonemployee directors generally with vesting terms up to five years after the date of grant. The fair value of the restricted stock is equal to the market price of the Company’s common stock on the date of grant. Expense for restricted stock is amortized ratably over the vesting period. A summary of outstanding restricted stock activity as of December 31, 2020 and 2019 are as follows: 2020 2019 Shares Weighted-Average Grant Date Fair Value Shares Weighted-Average Grant Date Fair Value (shares in thousands) Outstanding at beginning of period 46 $ 98.28 57 $ 50.55 Granted 43 113.87 29 130.89 Vested (32) 88.71 (37) 45.83 Forfeited (7) 108.86 (3) 167.48 Outstanding at end of the period 50 $ 116.06 46 $ 98.28 The Company withheld 0.0 million, 0.1 million and 0.0 million shares of the Company’s common stock to cover minimum tax liability withholding obligations upon the vesting of shares of restricted stock for the years ended December 31, 2020, 2019 and 2018. The total fair value of restricted stock awards vested during the years ended December 31, 2020, 2019 and 2018 was $3.7 million, $4.7 million and $8.6 million, respectively. Share-based compensation expense is recorded in selling, general, and administrative expense in the accompanying Consolidated Statements of Income. The total costs during the years ended December 31, 2020, 2019 and 2018 was $6.8 million, $4.5 million, and $3.1 million, respectively. The total costs of the options and restricted stock awards was $3.5 million, $2.9 million and $2.2 million during the years ended December 31, 2020, 2019 and 2018, respectively. Included for the years ended December 31, 2020 and 2019 was $1.6 million and $0.7 million, respectively, for 16,637 and 17,780 performance-based share awards for certain other key executives granted in 2019. Also included for the year ended December 31, 2020 was $1.7 million for 27,525 performance-based share awards for certain key executives granted in 2020. Additionally, included in the years ended December 31, 2019 and 2018 was $0.3 million, respectively, for 63,300 performance-based share awards for certain key executives, and $0.6 million, respectively for 210,000 performance- based share awards granted to our Chief Executive Officer. These 273,300 performance-based shares were fully vested on December 31, 2019. The total income tax benefit recognized in the accompanying Consolidated Statements of Income for restricted stock awards was $1.4 million, $7.5 million and $2.5 million for the years ended December 31, 2020, 2019 and 2018, respectively. There was $3.7 million of total unrecognized compensation cost related to restricted stock awards as of December 31, 2020, which is expected to be recognized over a weighted-average period of 1. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 12 Months Ended |
Dec. 31, 2020 | |
Accumulated Other Comprehensive Income [Abstract] | |
Accumulated Other Comprehensive Income | 9. ACCUMULATED OTHER COMPREHENSIVE INCOME The following table sets forth the components of accumulated other comprehensive income, net of tax where applicable (in thousands): December 31, 2020 December 31, 2019 Foreign currency translation $ (22) $ (1) Unrealized gains on investment securities 63 26 Accumulated other comprehensive income $ 41 $ 25 |
Financial Instruments
Financial Instruments | 12 Months Ended |
Dec. 31, 2020 | |
Financial Instruments [Abstract] | |
Financial Instruments | 10. FINANCIAL INSTRUMENTS Certain financial assets and liabilities are accounted for at fair value, which is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The following fair value hierarchy prioritizes the inputs used to measure fair value: Level 1 – Quoted prices are available in active markets for identical assets or liabilities as of the reporting date. Active markets are those in which transactions for the asset or liability occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Level 2 – Pricing inputs are other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reporting date. Level 2 includes those financial instruments that are valued using models or other valuation methodologies. Level 3 – Pricing inputs include significant inputs that are generally less observable from objective sources. These inputs may be used with internally developed methodologies that result in management’s best estimate of fair value from the perspective of a market participant. The following tables present the Company’s cash and financial assets that are measured at fair value on a recurring basis for each of the hierarchy levels (in thousands): December 31, 2020 Cost Unrealized Gains Accrued Interest Estimated Fair Value Cash & Cash Equivalents Investment Securities Cash $ 159,754 $ - $ - $ 159,754 $ 159,754 $ - Level 1: Money market accounts 3,969 - - 3,969 3,969 - Government & agency securities 2,829 45 - 2,874 - 2,874 6,798 45 - 6,843 3,969 2,874 Level 2: Municipal bonds 7,689 42 147 7,878 - 7,878 Total $ 174,241 $ 87 $ 147 $ 174,475 $ 163,723 $ 10,752 December 31, 2019 Cost Unrealized Gains Accrued Interest Estimated Fair Value Cash & Cash Equivalents Investment Securities Cash $ 36,593 $ - $ - $ 36,593 $ 36,593 $ - Level 1: Certificate of deposit 35,000 - - 35,000 35,000 - Money market accounts 5,381 - - 5,381 5,381 - Government & agency securities 2,832 2 - 2,834 - 2,834 43,213 2 - 43,215 40,381 2,834 Level 2: Municipal bonds 12,610 34 226 12,870 - 12,870 Total $ 92,416 $ 36 $ 226 $ 92,678 $ 76,974 $ 15,704 The Company had no realized losses or gains for the years ended December 31, 2020, 2019 and 2018, respectively. The maturities of the Company’s investment securities generally range up to 3 years for municipal bonds and for government and agency securities. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2020 | |
Income Taxes [Abstract] | |
Income Taxes | 11. INCOME TAXES Income tax expense for the years ended December 31, 2020, 2019 and 2018 consisted of the following (in thousands): 2020 2019 2018 Current Federal $ 28,520 $ 11,024 $ 16,398 State 2,285 1,825 1,048 Total current 30,805 12,849 17,446 Deferred Federal 477 2,323 (2,393) State (77) (729) (89) Foreign 201 4 (205) Total deferred 601 1,598 (2,687) Provision for income taxes $ 31,406 $ 14,447 $ 14,759 The total provision for income taxes for the years ended December 31, 2020, 2019 and 2018 was $31.4 million, $14.5 million and $14.8 million, respectively. Those amounts have been allocated to the following financial statement items: 2020 2019 2018 Income from operations $ 31,406 $ 14,447 $ 14,759 Stockholders' equity, unrealized gains on investment securities & foreign currency 14 75 43 Total provision for income taxes $ 31,420 $ 14,522 $ 14,802 Significant components of the Company’s deferred tax assets (liabilities) consisted of the following (in thousands): December 31, 2020 December 31, 2019 Reserves on inventory and sales $ 753 $ 745 Credit and loss carryforwards 2,546 1,269 Stock compensation 1,015 756 Accrued expenses and deferred costs 3,274 2,465 Inventory capitalization 120 307 Lease obligations 2,178 3,288 Valuation allowance (1,436) - Total deferred tax assets 8,450 8,830 Right-of-use assets (2,032) (3,114) Unrealized loss on investment securities (24) (10) Prepaid expenses (1,022) (1,034) Depreciation (4,680) (3,365) Total deferred tax liabilities (7,758) (7,523) Net deferred tax assets $ 692 $ 1,307 The reconciliation of the United States federal statutory tax provision to the Company’s provision for income taxes for the years ended December 31, 2020, 2019 and 2018 (in thousands, except percentages): 2020 2019 2018 Statutory federal tax $ 28,196 21.0% $ 19,396 21.0% $ 14,815 21.0% State income taxes, net of federal benefit 1,470 1.1% 864 0.9% 769 1.1% Foreign taxes Hong Kong 94 0.1% 1 0.0% 81 0.1% Singapore 107 0.1% 3 0.0% 93 0.2% Share-based compensation - windfall (415) (0.3)% (6,424) (7.0)% (1,852) (2.6)% Other permanent differences 1,218 0.9% 1,004 1.1% 615 0.8% Research and development and jobs credits (370) (0.3)% (579) (0.6)% (85) (0.1)% Valuation allowance 1,342 1.0% - 0.0% - 0.0% Other (236) (0.2)% 182 0.2% 323 0.4% Provision for income taxes $ 31,406 23.4% $ 14,447 15.6% $ 14,759 20.9% On March 27, 2020, the President of the United States signed into law the Coronavirus Aid, Relief and Economic Security Act (the “ CARES Act”). It amends the Internal Revenue Code to provide relief and supportive measures for taxpayers impacted by the outbreak of COVID-19 virus. The key components of the Act are as follows: eliminating taxable income limitation for certain net operating losses (“NOL”) and permitting carry back NOLs arising in 2018 , 2019 and 2020 to five prior tax years; accelerating refunds of previously generated Alternative Minimum Tax credit; increase business interest limitation from 30 percent to 50 percent of adjusted taxable income; amending depreciation for qualified improvement property (“QIP”) to 15- year property for QIP placed in service after December 31, 2017. The Company’s income tax provision provided under the CARES Act did not have a material impact on the year ended December 31, 2020. The Company has not placed into service material amount of QIP during tax years 2018 and 2019 but did place some amount of QIP into service these years. The impact to the Company’s 2020 earnings per common share was immaterial. The Company has separate state and foreign net operating loss carry forwards totaling $25.6 million that start expiring in 2029. The company continues to utilize the net operating loss carry forwards in 2021. As of December 31, 2020, the Company has established a valuation allowance for the portion of the net operating loss carry forwards which is not expected to be realized. |
Leases and Commitments
Leases and Commitments | 12 Months Ended |
Dec. 31, 2020 | |
Leases and Commitments [Abstract] | |
Leases and Contingencies | 12. LEASES AND COMMITMENTS Operating Leases: The Company has operating leases for office and warehouse space and certain equipment. In certain of the Company’s lease agreements, the rental payments are adjusted periodically based on defined terms within the lease. The Company did not have any finance leases as of December 31, 2020 and 2019, respectively, or for the years then ended. Our leases relating to office and warehouse space have terms of 19 months to 122 months. Our leases relating to equipment have lease terms of 24 relating to automatic renewal. The Company’s warehouse agreements also contain non-lease components, in the form of payments towards variable logistics services and labor charges, which the Company is obligated to pay based on the services consumed by it. Such amounts are not included in the measurement of the lease liability but will be recognized as expense when they are incurred. The operating lease expense was $3.6 million and $3.1 million for the years ended December 31, 2020 and 2019, respectively. Supplemental cash flow information related to the Company’s operating leases were as follows (in thousands): 2020 2019 Cash paid for amounts included in the measurements of lease liabilities Operating cash flow used in operating leases $ 3,775 $ 3,025 Right-of-use assets obtained in exchange for lease obligations Operating leases $ 887 $ 3,489 As of December 31, 2020, the weighted average remaining lease term was 3.7 years and the weighted average discount rate was 3.5%. The following table presents the maturity of the Company’s operating lease liabilities as of December 31, 2020 (in thousands): 2021 $ 3,991 2022 3,397 2023 1,851 2024 1,234 2025 1,248 Thereafter 203 Total lease payments $ 11,924 Less: imputed interest (763) Total $ 11,161 Unconditional purchase obligations: At December 31, 2020, the Company had $41.6 million in unconditional purchase obligations primarily for inventories, outsourced information technology and Coach events. |
Selected Quarterly Financial Da
Selected Quarterly Financial Data (unaudited) | 12 Months Ended |
Dec. 31, 2020 | |
Selected Quarterly Financial Data (unaudited) [Abstract] | |
Selected Quarterly Financial Data (unaudited) | 13. SELECTED QUARTERLY FINANCIAL DATA (unaudited) Quarter (in thousands, except per share amounts) First Second Third Fourth 2020 Revenue $ 178,461 $ 219,999 $ 271,470 $ 264,912 Gross profit 135,240 159,300 204,036 199,239 Income from operations before income taxes 23,624 28,158 44,633 37,850 Net income 18,477 21,935 34,453 27,994 Basic earnings per share 1.57 1.86 2.93 2.38 Diluted earnings per share 1.56 1.86 2.91 2.36 2019 Revenue $ 165,876 $ 187,103 $ 190,061 $ 170,632 Gross profit 125,147 140,710 142,933 128,068 Income from operations before income taxes 25,021 27,778 20,583 18,981 Net income 20,750 21,383 15,902 19,881 Basic earnings per share 1.75 1.80 1.36 1.71 Diluted earnings per share 1.70 1.75 1.32 1.66 EPS is computed independently for each of the quarters presented; accordingly, the sum of the quarterly earnings per share may not equal the total computed for the year. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Summary of Significant Accounting Policies [Abstract] | |
Presentation of Financial Statements | Principles of Consolidation - |
Reclassification | Reclassification |
Use of Estimates | Use of Estimates |
Cash and Cash Equivalents | Cash and Cash Equivalents |
Concentration of Credit Risk | Concentration of Credit Risk |
Fair Value of Financial Instruments | Fair Value of Financial Instruments |
Accounts Receivable and Allowance for Doubtful Accounts | Accounts Receivable and Allowance for Doubtful Accounts |
Inventory | Inventories |
Investment Securities | Investment Securities |
Property, Plant, and Equipment | Property, Plant, and Equipment Building and building improvements 10 - 35 years Leasehold Improvements (1) Lease term Equipment and fixtures 3 - 15 years Software 5 years Vehicles 5 years (1) The depreciation life for leasehold improvements is the lesser of the estimated useful life of the addition or the term of the related lease. |
Long-lived Asset Impairment | Long-lived Asset Impairment |
Revenue Recognition | Revenue Recognition - Our revenue is derived primarily from point of sale transactions executed over an ecommerce platform for weight loss, weight management, and other consumable health and nutritional products. Revenue is recognized upon receipt by customer and net of discounts, rebates, promotional adjustments, price adjustments, allocated consideration to loyalty programs, and estimated returns. Revenue is recognized when control of the promised products is transferred to our clients, in an amount that reflects the consideration we expect to be entitled to in exchange for transferring those products. When determining whether the customer has obtained control of the products, we consider any future performance obligations. A performance obligation is a promise in a contract to transfer a distinct good or service to the customer, and is the unit of account in ASC 606, Revenue from Contracts with Customers Our performance obligations are satisfied at a point in time. Revenue from products transferred to clients at a point in time accounted for substantially all of our revenue for the years ended December 31, 2020, 2019 and 2018. Revenue on these contracts is recognized when obligations under the terms of the contract with our customer are satisfied. Generally, this occurs with the transfer of control upon receipt of products by our clients. Any consideration received prior to the fulfillment of the Company’s performance obligation is deferred and recognized as a liability. Sales returns Our return policy allows for customer returns within 30 days of purchase and upon our authorization. We adjust revenues for the products expected to be returned and a liability is recognized for expected refunds to clients. We estimate expected returns based on historical levels and project this experience into the future. Customer reward programs and sales incentives Our sales contracts may give clients the option to purchase additional products priced at a discount. Options to acquire additional products at a discount can come in many forms, such as customer reward programs and incentive offerings including pricing arrangements and promotions. We reduce the transaction price for certain customer reward programs and incentive offerings including pricing arrangements, promotions, and incentives that represent variable consideration and separate performance obligations. The Company accounts for sales rewards that provide the customer with a material right as a separate performance obligation of the transactions, and therefore allocates consideration between the initial sale of products and the customer reward program and incentive offering. Shipping and handling costs Amounts billed to clients for shipping and handling activities are treated as a promised service performance obligation and are recorded in revenue in the accompanying Consolidated Statements of Income upon fulfillment of the performance obligation. Shipping and handling costs incurred by the Company for the delivery of products to clients are considered a cost to fulfill the contract and are included in cost of sales in the accompanying Consolidated Statements of Income. Contract costs We expense sales commissions and credit card fees during the period in which the corresponding revenue is earned. These costs are deferred along with the revenues for goods that are in transit and not received by clients by period end. These costs are recorded in selling, general and administrative expense in the accompanying Consolidated Statements of Income. |
Leases | Leases |
Advertising Costs | Advertising Costs general, and administrative expense in the accompanying Consolidated Statements of Income. Advertising expense, excluding broker fees, for the years ended December 31, 2020, 2019 and 2018, amounted to $4.4 million, $5.3 million and $6.0 million, respectively. |
Research and Development | Research and Development |
Share-Based Compensation | Share-Based Compensation |
Income Taxes | Income Taxes The benefit of a tax position is recognized in the consolidated financial statements in the period during which, based on all available evidence, management believes it is more-likely-than-not that the position will be sustained upon examination, including the resolution of appeals or litigation processes, if any. Tax positions taken are not offset or aggregated with other positions. Tax positions that meet the more-likely-than-not recognition threshold are measured as the largest amount of tax benefit that is more than 50% likely of being realized upon settlement with the applicable taxing authority. The portion of the benefits associated with tax positions taken that exceeds the amount measured as described above is reflected as a liability for unrecognized tax benefits in the accompanying Consolidated Balance Sheets along with any associated interest and penalties that would be payable to the taxing authorities upon examination. We evaluated our tax positions and determined that we did not have any material uncertain tax positions. Our policy is to recognize interest and penalties accrued on uncertain tax positions as part of income tax expense. For the years ended December 31, 2020, 2019 and 2018, no material estimated interest or penalties were recognized for the uncertainty of certain tax positions. We file income tax returns in the United States and various states and foreign jurisdictions. We are generally no longer subject to United States federal, state and local income tax examinations by tax authorities for the years before 2017. |
Earnings per Share | Earnings Per Share - Basic earnings per share (“EPS”) computations are calculated utilizing the weighted average number of shares of common stock outstanding during the periods presented. Diluted EPS is calculated utilizing the weighted average number of shares of common stock outstanding adjusted for the effect of dilutive common stock equivalents. |
Comprehensive Income | Comprehensive Income |
Recent Accounting Pronouncements | Accounting Pronouncements - Adopted in 2020 In August 2018, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2018-15, Intangibles-Goodwill and Other-Internal-Use Software (Subtopic 350-40), implementation costs associated with a hosted service. The standard provides amendments to align the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software (and hosting arrangements that include an internal use software license). On January 1, 2020, the Company adopted ASU 2018-15. The Company capitalized $2.9 million in total for the year ended December 31, 2020, principally related to the configuration and development of the Company’s new hosted enterprise resource planning tool (“ERP”). The amortization expense associated with the capitalized costs was $0.2 million for the year ended December 31, 2020. In June 2016, the FASB issued ASU 2016-13, Financial Instruments Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments Recently Issued Accounting Pronouncements - Pending Adoption We have considered all new accounting pronouncements and have concluded that there are no new pronouncements that have the potential for a material impact on our results of operations, financial condition, or cash flows, based on current information, except for: In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes, |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Summary of Significant Accounting Policies [Abstract] | |
Property Plant And Equipment Schedule Of Significant Acquisitions And Disposals | Building and building improvements 10 - 35 years Leasehold Improvements (1) Lease term Equipment and fixtures 3 - 15 years Software 5 years Vehicles 5 years (1) The depreciation life for leasehold improvements is the lesser of the estimated useful life of the addition or the term of the related lease. |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Inventories [Abstract] | |
Inventories | Inventories consisted of the following (in thousands): December 31, 2020 December 31, 2019 Raw materials $ 13,428 $ 10,880 Packaging 4,071 4,109 Non-food finished goods 8,078 4,421 Finished goods 29,858 31,314 Reserve for obsolete inventory (2,043) (1,953) Total $ 53,392 $ 48,771 |
Property, Plant And Equipment (
Property, Plant And Equipment (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | Property, plant, and equipment consisted of the following (in thousands): December 31, 2020 December 31, 2019 Land $ 565 $ 565 Building and leasehold improvements 13,013 12,890 Equipment and fixtures 20,955 17,739 Software 20,047 17,716 Vehicles 145 145 Property, plant and equipment - gross 54,725 49,055 Less: accumulated depreciation (27,092) (23,016) Property, plant and equipment - net $ 27,633 $ 26,039 |
Accounts Payable and Accrued _2
Accounts Payable and Accrued Expenses (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accounts Payable and Accrued Expenses [Abstract] | |
Schedule of Accounts Payable and Accrued Liabilities | Accounts payable and accrued expenses consisted of the following (in thousands): December 31, 2020 December 31, 2019 Trade payables and accrued expenses $ 35,767 $ 22,608 Sales commissions payable 22,598 13,186 Dividends payable 13,831 13,719 Accrued payroll and related taxes 16,948 10,409 Coach incentive accruals 325 5,598 Promotional sales incentive accruals 7,621 4,818 Deferred revenue 7,606 4,333 Sales tax payable 2,981 1,549 Total $ 107,677 $ 76,220 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Earnings Per Share [Abstract] | |
Earnings Per Share, Basic and Diluted | The following table sets forth the computation of basic and diluted EPS for the years ended December 31, 2020, 2019 and 2018 (in thousands, except per share data): 2020 2019 2018 Numerator: Net income $ 102,859 $ 77,916 $ 55,789 Denominator: Weighted average shares of common stock outstanding 11,771 11,771 11,947 Effect of dilutive common stock equivalents 79 346 132 Weighted average shares of common stock outstanding 11,850 12,117 12,079 Earnings per share - basic $ 8.74 $ 6.62 $ 4.67 Earnings per share - diluted $ 8.68 $ 6.43 $ 4.62 |
Share-based Compensation (Table
Share-based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Compensation [Abstract] | |
Schedule of Assumptions Used | 2018 Expected term (in years) 6.4 Risk-free interest rate 2.64% Expected volatility 33.30% Dividend yield 2.87% |
Stock Option Activity | The number of stock options and weighted-average exercise prices as of December 31, 2020 and 2019 are as follows: 2020 2019 Awards Weighted-Average Exercise Price Awards Weighted-Average Exercise Price (awards in thousands) Outstanding at beginning of period 97 $ 52.53 107 $ 49.26 Exercised (28) 57.79 (10) 28.21 Forfeited (8) 68.45 - - Outstanding at end of the period 61 $ 48.19 97 $ 52.53 Exercisable at end of the period 44 $ 39.98 52 $ 40.96 |
Restricted Stock Activity | 2020 2019 Shares Weighted-Average Grant Date Fair Value Shares Weighted-Average Grant Date Fair Value (shares in thousands) Outstanding at beginning of period 46 $ 98.28 57 $ 50.55 Granted 43 113.87 29 130.89 Vested (32) 88.71 (37) 45.83 Forfeited (7) 108.86 (3) 167.48 Outstanding at end of the period 50 $ 116.06 46 $ 98.28 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accumulated Other Comprehensive Income [Abstract] | |
Schedule of Accumulated Other Comprehensive Income | The following table sets forth the components of accumulated other comprehensive income, net of tax where applicable (in thousands): December 31, 2020 December 31, 2019 Foreign currency translation $ (22) $ (1) Unrealized gains on investment securities 63 26 Accumulated other comprehensive income $ 41 $ 25 |
Financial Instruments (Tables)
Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Financial Instruments [Abstract] | |
Cash and Available for Sale Securities Adjusted Cost, Gross Unrealized Gains, Gross Unrealized Losses, and Fair Value by Significant Investment Category | The following tables present the Company’s cash and financial assets that are measured at fair value on a recurring basis for each of the hierarchy levels (in thousands): December 31, 2020 Cost Unrealized Gains Accrued Interest Estimated Fair Value Cash & Cash Equivalents Investment Securities Cash $ 159,754 $ - $ - $ 159,754 $ 159,754 $ - Level 1: Money market accounts 3,969 - - 3,969 3,969 - Government & agency securities 2,829 45 - 2,874 - 2,874 6,798 45 - 6,843 3,969 2,874 Level 2: Municipal bonds 7,689 42 147 7,878 - 7,878 Total $ 174,241 $ 87 $ 147 $ 174,475 $ 163,723 $ 10,752 December 31, 2019 Cost Unrealized Gains Accrued Interest Estimated Fair Value Cash & Cash Equivalents Investment Securities Cash $ 36,593 $ - $ - $ 36,593 $ 36,593 $ - Level 1: Certificate of deposit 35,000 - - 35,000 35,000 - Money market accounts 5,381 - - 5,381 5,381 - Government & agency securities 2,832 2 - 2,834 - 2,834 43,213 2 - 43,215 40,381 2,834 Level 2: Municipal bonds 12,610 34 226 12,870 - 12,870 Total $ 92,416 $ 36 $ 226 $ 92,678 $ 76,974 $ 15,704 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Income Taxes [Abstract] | |
Schedule of Components of Income Tax Expense (Benefit) | Income tax expense for the years ended December 31, 2020, 2019 and 2018 consisted of the following (in thousands): 2020 2019 2018 Current Federal $ 28,520 $ 11,024 $ 16,398 State 2,285 1,825 1,048 Total current 30,805 12,849 17,446 Deferred Federal 477 2,323 (2,393) State (77) (729) (89) Foreign 201 4 (205) Total deferred 601 1,598 (2,687) Provision for income taxes $ 31,406 $ 14,447 $ 14,759 |
Schedule Of Components Of Total Income Tax Provision | The total provision for income taxes for the years ended December 31, 2020, 2019 and 2018 was $31.4 million, $14.5 million and $14.8 million, respectively. Those amounts have been allocated to the following financial statement items: 2020 2019 2018 Income from operations $ 31,406 $ 14,447 $ 14,759 Stockholders' equity, unrealized gains on investment securities & foreign currency 14 75 43 Total provision for income taxes $ 31,420 $ 14,522 $ 14,802 |
Schedule of Deferred Tax Assets and Liabilities | Significant components of the Company’s deferred tax assets (liabilities) consisted of the following (in thousands): December 31, 2020 December 31, 2019 Reserves on inventory and sales $ 753 $ 745 Credit and loss carryforwards 2,546 1,269 Stock compensation 1,015 756 Accrued expenses and deferred costs 3,274 2,465 Inventory capitalization 120 307 Lease obligations 2,178 3,288 Valuation allowance (1,436) - Total deferred tax assets 8,450 8,830 Right-of-use assets (2,032) (3,114) Unrealized loss on investment securities (24) (10) Prepaid expenses (1,022) (1,034) Depreciation (4,680) (3,365) Total deferred tax liabilities (7,758) (7,523) Net deferred tax assets $ 692 $ 1,307 |
Schedule of Effective Income Tax Rate Reconciliation | The reconciliation of the United States federal statutory tax provision to the Company’s provision for income taxes for the years ended December 31, 2020, 2019 and 2018 (in thousands, except percentages): 2020 2019 2018 Statutory federal tax $ 28,196 21.0% $ 19,396 21.0% $ 14,815 21.0% State income taxes, net of federal benefit 1,470 1.1% 864 0.9% 769 1.1% Foreign taxes Hong Kong 94 0.1% 1 0.0% 81 0.1% Singapore 107 0.1% 3 0.0% 93 0.2% Share-based compensation - windfall (415) (0.3)% (6,424) (7.0)% (1,852) (2.6)% Other permanent differences 1,218 0.9% 1,004 1.1% 615 0.8% Research and development and jobs credits (370) (0.3)% (579) (0.6)% (85) (0.1)% Valuation allowance 1,342 1.0% - 0.0% - 0.0% Other (236) (0.2)% 182 0.2% 323 0.4% Provision for income taxes $ 31,406 23.4% $ 14,447 15.6% $ 14,759 20.9% |
Leases and Commitments (Tables)
Leases and Commitments (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Leases and Commitments [Abstract] | |
Summary of supplemental cash flow information | Supplemental cash flow information related to the Company’s operating leases were as follows (in thousands): 2020 2019 Cash paid for amounts included in the measurements of lease liabilities Operating cash flow used in operating leases $ 3,775 $ 3,025 Right-of-use assets obtained in exchange for lease obligations Operating leases $ 887 $ 3,489 |
Summary of maturity of the Company's operating lease liabilities | The following table presents the maturity of the Company’s operating lease liabilities as of December 31, 2020 (in thousands): 2021 $ 3,991 2022 3,397 2023 1,851 2024 1,234 2025 1,248 Thereafter 203 Total lease payments $ 11,924 Less: imputed interest (763) Total $ 11,161 |
Selected Quarterly Financial _2
Selected Quarterly Financial Data (unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Selected Quarterly Financial Data (unaudited) [Abstract] | |
Quarterly Financial Information | Quarter (in thousands, except per share amounts) First Second Third Fourth 2020 Revenue $ 178,461 $ 219,999 $ 271,470 $ 264,912 Gross profit 135,240 159,300 204,036 199,239 Income from operations before income taxes 23,624 28,158 44,633 37,850 Net income 18,477 21,935 34,453 27,994 Basic earnings per share 1.57 1.86 2.93 2.38 Diluted earnings per share 1.56 1.86 2.91 2.36 2019 Revenue $ 165,876 $ 187,103 $ 190,061 $ 170,632 Gross profit 125,147 140,710 142,933 128,068 Income from operations before income taxes 25,021 27,778 20,583 18,981 Net income 20,750 21,383 15,902 19,881 Basic earnings per share 1.75 1.80 1.36 1.71 Diluted earnings per share 1.70 1.75 1.32 1.66 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Narrative) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Summary of Significant Accounting Policies [Abstract] | ||||
Capitalized computer software | $ 2,900 | |||
Amortization expense | 200 | |||
Advertising expense | 4,400 | $ 5,300 | $ 6,000 | |
Research and development expense | 2,800 | 2,700 | 2,200 | |
Cumulative effect adjustments from changes in accounting standards | $ 157,246 | $ 104,832 | $ 109,106 | $ 106,563 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Summary of Estimated Useful Lives Of Assets) (Detail) | 12 Months Ended |
Dec. 31, 2020 | |
Building and Building Improvements [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 10 years |
Building and Building Improvements [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 35 years |
Equipment and Fixtures [Member] | Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 3 years |
Equipment and Fixtures [Member] | Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 15 years |
Software [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 5 years |
Vehicles [Member] | |
Property, Plant and Equipment [Line Items] | |
Property, plant and equipment, useful life | 5 years |
Inventories (Detail)
Inventories (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Inventories [Abstract] | ||
Raw materials | $ 13,428 | $ 10,880 |
Packaging | 4,071 | 4,109 |
Non-food finished goods | 8,078 | 4,421 |
Finished goods | 29,858 | 31,314 |
Reserve for obsolete inventory | (2,043) | (1,953) |
Inventory | $ 53,392 | $ 48,771 |
Property, Plant and Equipment_2
Property, Plant and Equipment (Narrative) (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Continuing Operations [Member] | |||
Depreciation and amortization | $ 4.1 | $ 3.7 | $ 3.6 |
Property, Plant And Equipment_3
Property, Plant And Equipment (Property, Plant and Equipment) (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 54,725 | $ 49,055 |
Less accumulated depreciation and amortization | (27,092) | (23,016) |
Property, plant and equipment- net | 27,633 | 26,039 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 565 | 565 |
Building and Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 13,013 | 12,890 |
Equipment and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 20,955 | 17,739 |
Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 20,047 | 17,716 |
Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 145 | $ 145 |
Accounts Payable and Accrued _3
Accounts Payable and Accrued Expenses (Accounts Payable and Accrued Expenses) (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Accounts Payable and Accrued Liabilities [Abstract] | ||
Trade payables and accrued expenses | $ 35,767 | $ 22,608 |
Sales commissions payable | 22,598 | 13,186 |
Dividends payable | 13,831 | 13,719 |
Accrued payroll and related taxes | 16,948 | 10,409 |
Coach incentive accruals | 325 | 5,598 |
Promotional sales incentive accruals | 7,621 | 4,818 |
Deferred revenue | 7,606 | 4,333 |
Sales tax payable | 2,981 | 1,549 |
Total | $ 107,677 | $ 76,220 |
Earnings Per Share (Narrative)
Earnings Per Share (Narrative) (Detail) - shares | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Stock Options [Member] | |||
Anti-dilutive awards | 358 | 984 | 298 |
Restricted Stock [Member] | |||
Anti-dilutive awards | 2,658 | 718 | 258 |
Earnings Per Share (Earnings Pe
Earnings Per Share (Earnings Per Share) (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Numerator: | |||||||||||
Net income | $ 27,994 | $ 34,453 | $ 21,935 | $ 18,477 | $ 19,881 | $ 15,902 | $ 21,383 | $ 20,750 | $ 102,859 | $ 77,916 | $ 55,789 |
Denominator: | |||||||||||
Weighted average shares of common stock outstanding | 11,771 | 11,771 | 11,947 | ||||||||
Effect of dilutive common stock equivalents | 79 | 346 | 132 | ||||||||
Weighted average shares of common stock outstanding | 11,850 | 12,117 | 12,079 | ||||||||
Basic earnings per share | |||||||||||
Earnings per share - basic | $ 2.38 | $ 2.93 | $ 1.86 | $ 1.57 | $ 1.71 | $ 1.36 | $ 1.80 | $ 1.75 | $ 8.74 | $ 6.62 | $ 4.67 |
Diluted earnings per share | |||||||||||
Earnings per share - diluted | $ 2.36 | $ 2.91 | $ 1.86 | $ 1.56 | $ 1.66 | $ 1.32 | $ 1.75 | $ 1.70 | $ 8.68 | $ 6.43 | $ 4.62 |
Equity (Narrative) (Details)
Equity (Narrative) (Details) - $ / shares | May 18, 2017 | Dec. 31, 2020 | Dec. 31, 2019 | Sep. 12, 2019 |
Equity [Abstract] | ||||
Capital units authorized | 21,500,000 | |||
Common stock, shares authorized | 20,000,000 | 20,000,000 | ||
Common stock, par value | $ 0.001 | $ 0.001 | ||
Preferred stock, shares authorized | 1,500,000 | |||
Preferred stock, par value | $ 0.001 | |||
Common stock, issued | 11,822,000 | 12,272,000 | ||
Preferred stock, issued | 0 | |||
Increase in the number of shares authorized | 600,000 | |||
Shares authorized for issuance | 1,600,000 | |||
Additional shares authorized for repurchase | 2,000,000 | |||
Stock repurchased | 46,000 | 296,000 | ||
Remaining number of shares authorized to be repurchased | 2,323,000 |
Share-based Compensation (Narra
Share-based Compensation (Narrative) (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | 24 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2019 | May 18, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation | $ 6,796 | $ 4,520 | $ 3,124 | ||
Proceeds from stock options exercised | $ 1,597 | $ 278 | $ 547 | ||
Share-based compensation arrangement shares to be issued | 1,600,000 | ||||
Grants in period | 0 | 0 | |||
Shares withheld for employee taxes | 0 | 100,000 | 0 | ||
Common Stock [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Shares withheld for employee taxes | 6,000 | 128,000 | 7,000 | ||
Restricted Stock [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation | $ 3,500 | $ 2,900 | $ 2,200 | ||
Total income tax benefit recognized related to restricted stock awards | $ 1,400 | 7,500 | 2,500 | ||
Compensation cost recognition weighted average period | 1 year 7 months 6 days | ||||
Award vesting period | 5 years | ||||
Share-based compensation arrangement, fair value of awards vested | $ 3,700 | $ 4,700 | 8,600 | ||
Shares granted in period | 43,000 | 29,000 | |||
Shares vested in period | 32,000 | 37,000 | |||
Unrecognized compensation costs | $ 3,700 | ||||
Stock Options [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Employee service share based compensation nonvested awards total compensation cost not yet recognized | $ 200 | ||||
Compensation cost recognition weighted average period | 2 years 1 month 6 days | ||||
Weighted-average remaining contractual life of options outstanding | 5 years 8 months 12 days | ||||
Aggregate intrinsic value of options outstanding | $ 9,200 | ||||
Weighted-average remaining contractual life of options exercisable | 5 years 2 months 12 days | ||||
Aggregate intrinsic value of options exercisable | $ 6,900 | ||||
Award vesting period | 3 years | ||||
Award expiration period | 10 years | ||||
Share-based compensation, shares authorized under stock option plans, exercise price range, lower range limit | $ 26.52 | ||||
Share-based compensation, shares authorized under stock option plans, exercise price range, upper range limit | $ 171.68 | ||||
Intrinsic value of options exercised | $ 1,500 | $ 1,000 | $ 4,100 | ||
Performance Shares [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Compensation cost recognition weighted average period | 1 year 9 months 18 days | ||||
Shares granted in period | 44,162 | ||||
Shares vested in period | 273,300 | ||||
Unrecognized compensation costs | $ 5,400 | ||||
Performance Shares [Member] | Chief Executive Officer [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation | $ 600 | ||||
Shares granted in period | 210,000 | 210,000 | |||
Performance Shares [Member] | Certain Key Executive [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation | $ 300 | $ 300 | |||
Shares granted in period | 63,300 | 63,300 | |||
Granted in 2019 [Member] | Performance Shares [Member] | Certain Key Executive [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation | $ 700 | ||||
Shares granted in period | 17,780 | ||||
Granted in 2019 [Member] | Performance Shares [Member] | Key Executives [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation | $ 1,600 | ||||
Shares granted in period | 16,637 | ||||
Granted in 2020 [Member] | Performance Shares [Member] | Certain Key Executive [Member] | |||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||
Share-based compensation | $ 1,700 | ||||
Shares granted in period | 27,525 |
Share-based Compensation (Sched
Share-based Compensation (Schedule of Assumptions Used) (Detail) | 12 Months Ended |
Dec. 31, 2018 | |
Share-based Compensation [Abstract] | |
Expected term (in years) | 6 years 4 months 24 days |
Risk-free interest rate | 2.64% |
Expected volatility | 33.30% |
Dividend yield | 2.87% |
Share-based Compensation (Summa
Share-based Compensation (Summary of Stock Options Activity) (Details) - $ / shares | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Shares, Granted | 0 | 0 |
Stock Options [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Shares, Outstanding at beginning of period | 97,000 | 107,000 |
Shares, Exercised | (28,000) | (10,000) |
Shares, Forfeited | (8,000) | |
Shares, Outstanding at end of the period | 61,000 | 97,000 |
Shares, Exercisable at end of the period | 44,000 | 52,000 |
Weighted-Average Exercise Price, Outstanding at beginning of period | $ 52.53 | $ 49.26 |
Weighted-Average Exercise Price, Exercised | 57.79 | 28.21 |
Weighted-Average Exercise Price, Forfeited | 68.45 | |
Weighted-Average Exercise Price, Outstanding at end of the period | 48.19 | 52.53 |
Weighted-Average Exercise Price, Exercisable at end of the period | $ 39.98 | $ 40.96 |
Share-based Compensation (Sum_2
Share-based Compensation (Summary of Restricted Stock Activity) (Detail) - Restricted Stock [Member] - $ / shares shares in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Shares | ||
Outstanding at beginning of period | 46 | 57 |
Granted | 43 | 29 |
Vested | (32) | (37) |
Forfeited | (7) | (3) |
Outstanding at end of period | 50 | 46 |
Weighted-Average Grant Date Fair Value | ||
Outstanding at beginning of period | $ 98.28 | $ 50.55 |
Granted | 113.87 | 130.89 |
Vested | 88.71 | 45.83 |
Forfeited | 108.86 | 167.48 |
Outstanding at end of period | $ 116.06 | $ 98.28 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Schedule of Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Accumulated Other Comprehensive Income [Abstract] | ||
Foreign currency translation | $ (22) | $ (1) |
Unrealized gains on investment securities | 63 | 26 |
Accumulated other comprehensive income | $ 41 | $ 25 |
Financial Instruments (Narrativ
Financial Instruments (Narrative) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Financial Instruments [Line Items] | |||
Realized loss or gains | $ 0 | $ 0 | $ 0 |
US Treasury and Government Short-term Debt Securities [Member] | |||
Financial Instruments [Line Items] | |||
Available for Sale Securities Maturity Period | 3 years |
Financial Instruments (Cash and
Financial Instruments (Cash and Available for Sale Securities Adjusted Cost, Gross Unrealized Gains, Gross Unrealized Losses, and Fair Value by Significant Investment Category) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Cash And Cash Equivalents And Marketable securities [Line Items] | ||
Cost | $ 174,241 | $ 92,416 |
Unrealized Gains | 87 | 36 |
Accrued Interest | 147 | 226 |
Estimated Fair Value | 174,475 | 92,678 |
Cash & Cash Equivalents | 163,723 | 76,974 |
Investment Securities | 10,752 | 15,704 |
Cash [Member] | ||
Cash And Cash Equivalents And Marketable securities [Line Items] | ||
Cost | 159,754 | 36,593 |
Estimated Fair Value | 159,754 | 36,593 |
Cash & Cash Equivalents | 159,754 | 36,593 |
Fair Value, Inputs, Level 1 [Member] | ||
Cash And Cash Equivalents And Marketable securities [Line Items] | ||
Cost | 6,798 | 43,213 |
Unrealized Gains | 45 | 2 |
Estimated Fair Value | 6,843 | 43,215 |
Cash & Cash Equivalents | 3,969 | 40,381 |
Investment Securities | 2,874 | 2,834 |
Fair Value, Inputs, Level 1 [Member] | Certificates of Deposit [Member] | ||
Cash And Cash Equivalents And Marketable securities [Line Items] | ||
Cost | 35,000 | |
Estimated Fair Value | 35,000 | |
Cash & Cash Equivalents | 35,000 | |
Fair Value, Inputs, Level 1 [Member] | Money Market Funds [Member] | ||
Cash And Cash Equivalents And Marketable securities [Line Items] | ||
Cost | 3,969 | 5,381 |
Estimated Fair Value | 3,969 | 5,381 |
Cash & Cash Equivalents | 3,969 | 5,381 |
Fair Value, Inputs, Level 1 [Member] | Government and Agency Securities [Member] | ||
Cash And Cash Equivalents And Marketable securities [Line Items] | ||
Cost | 2,829 | 2,832 |
Unrealized Gains | 45 | 2 |
Estimated Fair Value | 2,874 | 2,834 |
Investment Securities | 2,874 | 2,834 |
Fair Value, Inputs, Level 2 [Member] | Municipal Bonds [Member] | ||
Cash And Cash Equivalents And Marketable securities [Line Items] | ||
Cost | 7,689 | 12,610 |
Unrealized Gains | 42 | 34 |
Accrued Interest | 147 | 226 |
Estimated Fair Value | 7,878 | 12,870 |
Investment Securities | $ 7,878 | $ 12,870 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Tax Credit Carryforward [Line Items] | |||
Operating loss carryforwards | $ 25,600 | ||
Income tax expense (benefit), intraperiod tax allocation | $ 31,420 | $ 14,522 | $ 14,802 |
Effective tax rate, Statutory federal tax | 21.00% | 21.00% | 21.00% |
Income tax expense | $ 31,406 | $ 14,447 | $ 14,759 |
Effective tax rate, Share-based compensation | (0.30%) | (7.00%) | (2.60%) |
Maryland State [Member] | |||
Tax Credit Carryforward [Line Items] | |||
Operating loss carryforwards expiration year | 2029 |
Income Taxes (Income Tax Expens
Income Taxes (Income Tax Expense from Continuing Operations) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Current | |||
Federal | $ 28,520 | $ 11,024 | $ 16,398 |
State | 2,285 | 1,825 | 1,048 |
Total Current | 30,805 | 12,849 | 17,446 |
Deferred | |||
Federal | 477 | 2,323 | (2,393) |
State | (77) | (729) | (89) |
Foreign | 201 | 4 | (205) |
Total Deferred | 601 | 1,598 | (2,687) |
Income tax expense | $ 31,406 | $ 14,447 | $ 14,759 |
Income Taxes (Summary of Tax Pr
Income Taxes (Summary of Tax Provision Allocation to Financial Statement Items) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Taxes [Abstract] | |||
Income from operations | $ 31,406 | $ 14,447 | $ 14,759 |
Stockholders' equity, unrealized gain (loss) on investment securities & foreign currency | 14 | 75 | 43 |
Total Income Tax Expense | $ 31,420 | $ 14,522 | $ 14,802 |
Income Taxes (Deferred Tax Asse
Income Taxes (Deferred Tax Assets (Liabilities)) (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Income Taxes [Abstract] | ||
Reserves on inventory and sales | $ 753 | $ 745 |
Credit and loss carryforwards | 2,546 | 1,269 |
Stock compensation | 1,015 | 756 |
Accrued expenses and deferred costs | 3,274 | 2,465 |
Inventory capitalization | 120 | 307 |
Lease obligations | 2,178 | 3,288 |
Valuation allowance | (1,436) | |
Total deferred tax assets | 8,450 | 8,830 |
Right-of-use assets | (2,032) | (3,114) |
Unrealized loss on investments | (24) | (10) |
Prepaid expenses | (1,022) | (1,034) |
Depreciation | (4,680) | (3,365) |
Total deferred tax liabilities | (7,758) | (7,523) |
Net deferred tax asset | $ 692 | $ 1,307 |
Income Taxes (Statutory Tax Rat
Income Taxes (Statutory Tax Rate and Effective Tax Rate) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Examination [Line Items] | |||
Statutory federal tax | $ 28,196 | $ 19,396 | $ 14,815 |
State income taxes, net of federal benefit | 1,470 | 864 | 769 |
Share-based compensation | (415) | (6,424) | (1,852) |
Other permanent differences | 1,218 | 1,004 | 615 |
Research and development and jobs credits | (370) | (579) | (85) |
Valuation allowance | 1,342 | ||
Other | (236) | 182 | 323 |
Provision for income taxes | $ 31,406 | $ 14,447 | $ 14,759 |
Effective tax rate, Statutory federal tax | 21.00% | 21.00% | 21.00% |
Effective tax rate, State income taxes, net of federal benefit | 1.10% | 0.90% | 1.10% |
Effective tax rate, Share-based compensation | (0.30%) | (7.00%) | (2.60%) |
Effective tax rate, Other permanent differences | 0.90% | 1.10% | 0.80% |
Effective tax rate, Research and development and jobs credits | (0.30%) | (0.60%) | (0.10%) |
Effective tax rate, Valuation allowance | 1.00% | 0.00% | 0.00% |
Effective tax rate, Other | (0.20%) | 0.20% | 0.40% |
Effective tax rate, Total | 23.40% | 15.60% | 20.90% |
Inland Revenue, Hong Kong [Member] | |||
Income Tax Examination [Line Items] | |||
Foreign taxes | $ 94 | $ 1 | $ 81 |
Effective tax rate, Foreign taxes | 0.10% | 0.00% | 0.10% |
Inland Revenue, Singapore (IRAS) [Member] | |||
Income Tax Examination [Line Items] | |||
Foreign taxes | $ 107 | $ 3 | $ 93 |
Effective tax rate, Foreign taxes | 0.10% | 0.00% | 0.20% |
Leases and Contingencies (Narra
Leases and Contingencies (Narrative) (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Lessee, Lease, Description [Line Items] | ||
Clauses relating to automatic renewal | true | |
Operating lease expense | $ 3.6 | $ 3.1 |
Minimum [Member] | Operating Lease Arrangement for Real Estate [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Lease term | 19 months | |
Minimum [Member] | Operating Lease Arrangement for Equipment [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Lease term | 24 months | |
Maximum [Member] | Operating Lease Arrangement for Real Estate [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Lease term | 122 months | |
Maximum [Member] | Operating Lease Arrangement for Equipment [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Lease term | 203 months | |
Inventories [Member] | ||
Lessee, Lease, Description [Line Items] | ||
Unconditional purchase obligation | $ 41.6 |
Leases and Contingencies (Sched
Leases and Contingencies (Schedule of Supplemental Cash Flow Information) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Leases and Contingencies [Abstract] | ||
Cash paid for amounts included in the measurements of lease: Operating cash flow from operating leases liabilities | $ 3,775 | $ 3,025 |
Right-of-use assets obtained in exchange for lease obligations - Operating leases | $ 887 | $ 3,489 |
Weighted average remaining lease term | 3 years 8 months 12 days | |
Weighted average discount rate | 3.50% |
Leases and Contingencies (Sch_2
Leases and Contingencies (Schedule of Future Minimum Lease Commitments ) (Details) $ in Thousands | Dec. 31, 2020USD ($) |
Lessee, Operating Lease, Liability, Payment, Due [Abstract] | |
2021 | $ 3,991 |
2022 | 3,397 |
2023 | 1,851 |
2024 | 1,234 |
2025 | 1,248 |
Thereafter | 203 |
Total lease payments | 11,924 |
Less: imputed interest | (763) |
Total | $ 11,161 |
Selected Quarterly Financial _3
Selected Quarterly Financial Data (unaudited) (Quarterly Financial Information) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Selected Quarterly Financial Data (unaudited) [Abstract] | |||||||||||
Revenue | $ 264,912 | $ 271,470 | $ 219,999 | $ 178,461 | $ 170,632 | $ 190,061 | $ 187,103 | $ 165,876 | $ 934,842 | $ 713,672 | $ 501,003 |
Gross profit | 199,239 | 204,036 | 159,300 | 135,240 | 128,068 | 142,933 | 140,710 | 125,147 | 697,815 | 536,858 | 379,899 |
Income from continuing operations before income taxes | 37,850 | 44,633 | 28,158 | 23,624 | 18,981 | 20,583 | 27,778 | 25,021 | 134,265 | 92,363 | 70,548 |
Net income | $ 27,994 | $ 34,453 | $ 21,935 | $ 18,477 | $ 19,881 | $ 15,902 | $ 21,383 | $ 20,750 | $ 102,859 | $ 77,916 | $ 55,789 |
Earnings per share - basic | $ 2.38 | $ 2.93 | $ 1.86 | $ 1.57 | $ 1.71 | $ 1.36 | $ 1.80 | $ 1.75 | $ 8.74 | $ 6.62 | $ 4.67 |
Earnings per share - diluted | $ 2.36 | $ 2.91 | $ 1.86 | $ 1.56 | $ 1.66 | $ 1.32 | $ 1.75 | $ 1.70 | $ 8.68 | $ 6.43 | $ 4.62 |