Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Feb. 22, 2017 | Jun. 30, 2016 | |
Document And Entity Information [Abstract] | |||
Entity Registrant Name | 3D SYSTEMS CORP | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Central Index Key | 910,638 | ||
Trading Symbol | ddd | ||
Amendment Flag | false | ||
Document Type | 10-K | ||
Document Fiscal Period Focus | FY | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Common Stock, Shares Outstanding | 113,163,336 | ||
Entity Public Float | $ 1,437,534,741 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Current assets: | ||
Cash and cash equivalents | $ 184,947 | $ 155,643 |
Accounts receivable, net of reserves — $12,920 (2016) and $14,139 (2015) | 127,114 | 157,406 |
Inventories, net of reserves — $14,770 (2016) and $28,225 (2015) | 103,331 | 105,877 |
Prepaid expenses and other current assets | 17,558 | 13,541 |
Total current assets | 432,950 | 432,467 |
Property and equipment, net | 79,978 | 85,995 |
Intangible assets, net | 121,501 | 157,466 |
Goodwill | 181,230 | 187,875 |
Long term deferred income tax asset | 8,123 | 1,900 |
Other assets, net | 25,371 | 26,256 |
Total assets | 849,153 | 891,959 |
Current liabilities: | ||
Current portion of capitalized lease obligations | 572 | 529 |
Accounts payable | 40,514 | 46,869 |
Accrued and other liabilities | 49,968 | 54,699 |
Customer deposits | 5,857 | 8,229 |
Deferred revenue | 33,494 | 35,145 |
Total current liabilities | 130,405 | 145,471 |
Long term portion of capitalized lease obligations | 7,587 | 8,187 |
Long term deferred income tax liability | 17,601 | 17,944 |
Other liabilities | 57,988 | 56,839 |
Total liabilities | 213,581 | 228,441 |
Redeemable noncontrolling interests | 8,872 | 8,872 |
Commitments and contingencies (Note 22) | ||
Stockholders’ equity: | ||
Common stock, $0.001 par value, authorized 220,000 shares; issued 115,113 (2016) and 113,115 (2015) | 115 | 113 |
Additional paid-in capital | 1,307,428 | 1,279,738 |
Treasury stock, at cost — 1,498 shares (2016) and 892 shares (2015) | (2,658) | (1,026) |
Accumulated deficit | (621,787) | (583,368) |
Accumulated other comprehensive loss | (53,225) | (39,548) |
Total 3D Systems Corporation stockholders' equity | 629,873 | 655,909 |
Noncontrolling interests | (3,173) | (1,263) |
Total stockholders' equity | 626,700 | 654,646 |
Total liabilities, redeemable noncontrolling interests and stockholders' equity | $ 849,153 | $ 891,959 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
CONDENSED CONSOLIDATED BALANCE SHEETS [Abstract] | ||
Accounts receivable, reserves | $ 12,920 | $ 14,139 |
Inventories, reserves | $ 14,770 | $ 28,225 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 220,000,000 | 220,000,000 |
Common stock, shares issued | 115,113,000 | 113,115,000 |
Treasury stock, at cost, shares | 1,498,000 | 892,000 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Revenue: | |||
Products | $ 380,383 | $ 408,119 | $ 442,198 |
Services | 252,582 | 258,044 | 211,454 |
Total revenue | 632,965 | 666,163 | 653,652 |
Cost of sales: | |||
Products | 195,428 | 243,639 | 223,991 |
Services | 127,786 | 130,715 | 112,227 |
Total cost of sales | 323,214 | 374,354 | 336,218 |
Gross profit | 309,751 | 291,809 | 317,434 |
Operating expenses: | |||
Selling, general and administrative | 259,776 | 303,784 | 215,724 |
Research and development | 88,395 | 92,770 | 75,395 |
Impairment of goodwill and other intangible assets | 537,179 | ||
Total operating expenses | 348,171 | 933,733 | 291,119 |
Income (loss) from operations | (38,420) | (641,924) | 26,315 |
Interest and other expense, net | 1,392 | 13,029 | 8,928 |
Income (loss) before income taxes | (39,812) | (654,953) | 17,387 |
Provision (benefit) for income taxes | (547) | 8,972 | 5,441 |
Net income (loss) | (39,265) | (663,925) | 11,946 |
Less: net income (loss) attributable to noncontrolling interests | (846) | (8,433) | 309 |
Net income (loss) attributable to 3D Systems Corporation | $ (38,419) | $ (655,492) | $ 11,637 |
Net income (loss) per share available to 3D Systems Corporation common stockholders — basic and diluted | $ (0.35) | $ (5.85) | $ 0.11 |
Other comprehensive loss: | |||
Pension adjustments, net of taxes | $ (902) | $ 338 | $ (1,135) |
Gain on liquidation of non-US entity | 288 | ||
Foreign currency translation loss | (12,958) | (16,300) | (29,183) |
Total other comprehensive loss | (13,572) | (15,962) | (30,318) |
Less foreign currency translation gain (loss) attributable to noncontrolling interests | 105 | (820) | (123) |
Other comprehensive loss attributable to 3D Systems Corporation | (13,677) | (15,142) | (30,195) |
Comprehensive loss | (52,837) | (679,887) | (18,372) |
Less comprehensive income (loss) attributable to noncontrolling interests | (741) | (9,253) | 186 |
Comprehensive loss attributable to 3D Systems Corporation | $ (52,096) | $ (670,634) | $ (18,558) |
CONSOLIDATED STATEMENT OF EQUIT
CONSOLIDATED STATEMENT OF EQUITY - USD ($) shares in Thousands, $ in Thousands | Common Stock [Member] | Additional Paid In Capital [Member] | Treasury Stock [Member] | Accumulated Deficit [Member] | Accumulated Other Comprehensive Loss [Member] | Total 3D Systems Corporation Stockholders' Equity [Member] | Equity Attributable To Noncontrolling Interests [Member] | Total |
Balance, Value at Dec. 31, 2013 | $ 104 | $ 866,552 | $ (286) | $ 60,487 | $ 5,789 | $ 932,646 | $ 1,146 | $ 933,792 |
Balance, Shares at Dec. 31, 2013 | 103,818 | 600 | ||||||
Tax benefits (provision) from share-based payment arrangements | 7,653 | 7,653 | 7,653 | |||||
Issuance and repurchase of restricted stock, net, and retirement of treasury stock, net, Value | $ 1 | 1,983 | $ (88) | 1,896 | 1,896 | |||
Issuance and repurchase of restricted stock, net, and retirement of treasury stock, net, Shares | 1,152 | 109 | ||||||
Issuance of stock for convertible notes, net of taxes, Value | $ 1 | 12,133 | 12,134 | 12,134 | ||||
Issuance of stock for convertible notes, net of taxes, Shares | 877 | |||||||
Issuance of stock for acquisitions, Value | 24,625 | 24,625 | 24,625 | |||||
Issuance of stock for acquisitions, Shares | 436 | |||||||
Issuance of stock for equity raise, Value | $ 6 | 299,723 | 299,729 | 299,729 | ||||
Issuance of stock for equity raise, Shares | 5,950 | |||||||
Stock-based compensation expense, Value | 32,793 | 32,793 | 32,793 | |||||
Stock-based compensation expense, Shares | ||||||||
Net income (loss) | 11,637 | 11,637 | 309 | 11,946 | ||||
Noncontolling interests for business combinations | (125) | (125) | ||||||
Pension adjustment | (1,135) | (1,135) | (1,135) | |||||
Foreign currency translation adjustment | (29,060) | (29,060) | (123) | (29,183) | ||||
Balance, Value at Dec. 31, 2014 | $ 112 | 1,245,462 | $ (374) | 72,124 | (24,406) | 1,292,918 | 1,207 | 1,294,125 |
Balance, Shares at Dec. 31, 2014 | 112,233 | 709 | ||||||
Tax benefits (provision) from share-based payment arrangements | (1,243) | (1,243) | (1,243) | |||||
Issuance and repurchase of restricted stock, net, and retirement of treasury stock, net, Value | $ 1 | 786 | $ (652) | 135 | 135 | |||
Issuance and repurchase of restricted stock, net, and retirement of treasury stock, net, Shares | 882 | 183 | ||||||
Stock-based compensation expense, Value | 34,733 | 34,733 | 34,733 | |||||
Stock-based compensation expense, Shares | ||||||||
Net income (loss) | (655,492) | (655,492) | (8,433) | (663,925) | ||||
Noncontrolling interests for business combinations | 6,783 | 6,783 | ||||||
Pension adjustment | 338 | 338 | 338 | |||||
Foreign currency translation adjustment | (15,480) | (15,480) | (820) | (16,300) | ||||
Balance, Value at Dec. 31, 2015 | $ 113 | 1,279,738 | $ (1,026) | (583,368) | (39,548) | 655,909 | (1,263) | 654,646 |
Balance, Shares at Dec. 31, 2015 | 113,115 | 892 | ||||||
Issuance and repurchase of restricted stock, net, and retirement of treasury stock, net, Value | $ 2 | (1,241) | $ (1,632) | (2,871) | (2,871) | |||
Issuance and repurchase of restricted stock, net, and retirement of treasury stock, net, Shares | 1,998 | 606 | ||||||
Issuance of stock for acquisitions, Shares | ||||||||
Acquisition of noncontrolling interest | (2,364) | (2,364) | (1,169) | (3,533) | ||||
Stock-based compensation expense, Value | 31,295 | 31,295 | 31,295 | |||||
Stock-based compensation expense, Shares | ||||||||
Net income (loss) | (38,419) | (38,419) | (846) | (39,265) | ||||
Pension adjustment | (902) | (902) | (902) | |||||
Liquidation of non-US entity | 288 | 288 | 288 | |||||
Foreign currency translation adjustment | (13,063) | (13,063) | 105 | (12,958) | ||||
Balance, Value at Dec. 31, 2016 | $ 115 | $ 1,307,428 | $ (2,658) | $ (621,787) | $ (53,225) | $ 629,873 | $ (3,173) | $ 626,700 |
Balance, Shares at Dec. 31, 2016 | 115,113 | 1,498 |
CONSOLIDATED STATEMENT OF EQUI6
CONSOLIDATED STATEMENT OF EQUITY (Parenthetical) - $ / shares | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
CONDENSED CONSOLIDATED STATEMENT OF EQUITY [Abstract] | |||
Common stock, par value | $ 0.001 | $ 0.001 | $ 0.001 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Cash flows from operating activities: | ||||
Net income (loss) | $ (39,265) | $ (663,925) | $ 11,946 | |
Adjustments to reconcile net loss to net cash provided by (used in) operating activities: | ||||
Benefit of deferred income taxes | (6,566) | (2,875) | (24,555) | |
Depreciation and amortization | 60,535 | 83,069 | 55,188 | |
Provision for arbitration award | 11,282 | |||
Impairment of assets | 8,618 | 544,611 | ||
Non-cash interest on convertible notes | 224 | |||
Provision for bad debts | 1,552 | 3,766 | 8,699 | |
Provision for inventory reserves and revaluation, net | 11,053 | 21,550 | 2,334 | |
Stock-based compensation | 31,295 | 34,733 | 32,793 | |
(Gain) loss on the disposition of property and equipment | 2,529 | (43) | (227) | |
Loss on conversion of convertible debt | 1,806 | |||
Changes in operating accounts, net of acquisitions: | ||||
Accounts receivable | 27,130 | 20,890 | (55,977) | |
Inventories | (22,178) | (31,241) | (33,088) | |
Prepaid expenses and other current assets | (4,369) | 2,197 | (9,235) | |
Accounts payable | (5,878) | (18,904) | 23,482 | |
Accrued and other current liabilities | (6,652) | 624 | 15,406 | |
All other operating activities | (902) | (8,862) | 22,315 | |
Net cash provided by (used in) operating activities | 56,902 | (3,128) | 51,111 | |
Cash flows from investing activities: | ||||
Purchases of property and equipment | (16,567) | (22,399) | (22,727) | |
Additions to license and patent costs | (1,132) | (907) | (753) | |
Proceeds from disposition of property and equipment | 350 | |||
Purchase of noncontrolling interest | (3,533) | |||
Cash paid for acquisitions, net of cash assumed | (91,799) | (345,361) | ||
Other investing activities | (1,000) | (5,750) | (6,600) | |
Net cash used in investing activities | (21,882) | (120,855) | (375,441) | |
Cash flows from financing activities: | ||||
Tax benefits (provision) from share-based payment arrangements | (1,243) | 7,653 | ||
Proceeds from issuance of common stock | 299,729 | |||
Proceeds, repurchase and retirement of stock, net | (2,871) | 135 | 1,896 | |
Repayment of capital lease obligations | (1,055) | (1,049) | (696) | |
Net cash provided by (used in) financing activities | (3,926) | (2,157) | 308,582 | |
Effect of exchange rate changes on cash and cash equivalents | (1,790) | (3,079) | (5,706) | |
Net increase (decrease) in cash and cash equivalents | 29,304 | (129,219) | (21,454) | |
Cash and cash equivalents at the beginning of the period | 155,643 | 284,862 | 306,316 | |
Cash and cash equivalents at the end of the period | 184,947 | 155,643 | 284,862 | |
Supplemental Cash Flow Information: | ||||
Cash interest payments | 839 | 707 | 888 | |
Cash income tax payments | 11,045 | 12,512 | 15,602 | |
Transfer of equipment from inventory to property and equipment, net | [1] | 12,493 | 9,902 | 5,891 |
Transfer of equipment to inventory from property and equipment, net | [2] | $ 1,102 | $ 2,764 | 944 |
Stock issued for acquisitions of businesses | 24,625 | |||
Notes redeemed for shares of common stock | $ 12,134 | |||
[1] | Inventory is transferred from inventory to property and equipment at cost when the Company requires additional machines for training or demonstration or for placement into on-demand parts services locations. | |||
[2] | In general, an asset is transferred from property and equipment, net into inventory at its net book value when the Company has identified a potential sale for a used machine. |
Basis Of Presentation
Basis Of Presentation | 12 Months Ended |
Dec. 31, 2016 | |
Basis Of Presentation [Abstract] | |
Basis Of Presentation | Note 1 Basis of Presentation The Consolidated Financial Statements include the accounts of 3D Systems Corporation and all majority-owned subsidiaries and entities in which a controlling interest is maintained (the “Company”). A non-controlling interest in a subsidiary is considered an ownership interest in a majority-owned subsidiary that is not attributable to the parent. The Company includes noncontrolling interest s as a component of total equity in the Consolidated Balance Sheets and the net income attributable to noncontrolling interests are presented as an adjustment from net income used to arrive at net income attributable to 3D Systems Corporation in the consolidated statements of operations and comprehensive loss . All significant intercompany accounts and transactions have been eliminated in consolidation. The Company’s annual reporting period is the calendar year. The Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”). Certain prior period amounts have been reclassified to conform to the current year presentation. All amounts presented in the accompanying footnotes are presented in thousands, except for per share information. |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2016 | |
Significant Accounting Policies [Abstract] | |
Significant Accounting Policies | Note 2 Significant Accounting Policies Use of Estimates The Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States. The preparation of these financial statements requires the Company to make estimates and judgments that affect the reported amounts of assets, liabilities, revenue and expenses and related disclosure of contingent assets and liabilities. On an ongoing basis, the Company evaluates its estimates, including, among others, those related to the allowance for doubtful accounts, income taxes, inventory reserves, goodwill, other intangible assets and contingencies. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates. Revenue Recognition Net revenue is derived primarily from the sale of products and services. The following revenue recognition policies define the manner in which the Company accounts for sales transactions. The Company recognizes revenue when persuasive evidence of a sale arrangement exists, delivery has occurred or services are rendered, the sales price or fee is fixed or determinable and collectability is reasonably assured. Revenue generally is recognized net of allowances for returns and any taxes collected from customers and subsequently remitted to governmental authorities. The Company sells its products through its direct sales force and through authorized reseller partners. The Company recognizes revenue on sales to reseller partners at the time of sale when the partner has economic substance apart from Company, and the Company has completed its obligations related to the sale. The Company enters into sales arrangements that may provide for multiple deliverables to a customer. Sales of printers may include ancillary equipment, print materials, a warranty on the equipment, training and installation. The Company identifies all goods and/or services that are to be delivered separately under a sales arrangement and allocates revenue to each deliverable based on either vendor-specific objective evidence (“VSOE”) or if VSOE is not determinable then the Company uses best estimated selling price (“BESP”) of each deliverable. The Company established VSOE of selling price using the price charged for a deliverable when sold separately. The objective of BESP is to determine the price at which the Company would transact a sale if the deliverable was sold regularly on a stand-alone basis. The Company considers multiple factors including, but not limited to, market conditions, geographies, competitive landscapes, and entity-specific factors such as internal costs, gross margin objectives and pricing practices when estimating BESP. Consideration in a multiple element arrangement is then allocated to the elements on a relative sales value basis using either VSOE or BESP for all the elements. The Company also evaluates the impact of undelivered items on the functionality of delivered items for each sales transaction and, where appropriate, defers revenue on delivered items when that functionality has been affected. Functionality is determined to be met if the delivered products or services represent a separate earnings process. Hardware Under the Company’s standard terms and conditions of sale, title and risk of loss transfer to the customer at the time product is shipped to the customer and revenue is recognized accordingly, unless customer acceptance is uncertain or significant obligations remain. The Company defers the estimated revenue associated with post-sale obligations that are not essential to the functionality of the delivered items, and recognizes revenue in the future as the conditions for revenue recognition are met. Software The Company also markets and sells software tools that enable our customers to capture and customize content using our printers, as well as reverse engineering and inspection software. The software does not require significant modification or customization. The Company applies the guidance in ASC 985-605, Software-Revenue Recognition in recognizing revenue when software is more than incidental to the product or service as a whole based on fair value using vendor-specific objective evidence. Revenue from perpetual software licenses is recognized either upon delivery of the product or delivery of a key code which allows the customer to access the software. In instances where software access is provided for a trial period, revenue is not recognized until the customer has purchased the software at the expiration of the trial period. The Company uses the residual method to allocate revenue to software licenses at the inception of the license term when VSOE of fair value for all undelivered elements, such as maintenance, exists and all other revenue recognition criteria have been satisfied. In instances in which customers purchase post sale support, it is considered a separate element from the software and is deferred at the time of sale and subsequently amortized in future periods. The Company also sells equipment with embedded software to its customers. The embedded software is not sold separately, it is not a significant focus of the marketing effort and the Company does not provide post-contract customer support specific to the software or incur significant costs that are within the scope of ASC 985. Additionally, the functionality that the software provides is marketed as part of the overall product. The software embedded in the equipment is incidental to the equipment as a whole such that ASC 985 is not applicable. Sales of these products are recognized in accordance with ASC 605-25, “ Multiple-Element Arrangements .” Services Printers and certain other products include a warranty under which the Company provides maintenance for periods up to one year, as well as training, installation and non-contract maintenance services. The Company defers this portion of the revenue at the time of sale based on the relative fair value of these services. Deferred revenue is recognized ratably according to the term of the warranty. Costs associated with our obligations during the warranty period are expensed as incurred. After the initial warranty period, the Company offers these customers optional maintenance contracts. Deferred maintenance revenue is recognized ratably, on a straight-line basis, over the period of the contract, and costs associated with these contracts are recognized as incurred. Revenue from training, installation and non-contract maintenance services is recognized at the time of performance. On-demand parts and healthcare service sales are included within services revenue and revenue is recognized upon shipment or delivery of the parts, based on the terms of the sales arrangement. Terms of sale Shipping and handling costs billed to customers for equipment sales and sales of print materials are included in product revenue in the Consolidated Statements of Operations and Other Comprehensive Loss. Costs incurred by the Company associated with shipping and handling are included in product cost of sales in the Consolidated Statements of Operations and Other Comprehensive Loss. Credit is extended, and creditworthiness is determined, based on an evaluation of each customer’s financial condition. New customers are generally required to complete a credit application and provide references and bank information to facilitate an analysis of creditworthiness. Customers with a favorable profile may receive credit terms that differ from the Company’s general credit terms. Creditworthiness is considered, among other things, in evaluating the Company’s relationship with customers with past due balances. The Company’s terms of sale generally require payment within 30 to 60 days after shipment of a product, although the Company also recognizes that longer payment periods are customary in some countries where it transacts business. To reduce credit risk in connection with printer sales, the Company may, depending upon the circumstances, require significant deposits prior to shipment and may retain a security interest in a system sold until fully paid. In some circumstances, the Company may require payment in full for its products prior to shipment and may require international customers to furnish letters of credit. For maintenance services, the Company either bills customers on a time-and-materials basis or sells customers service agreements that are recorded as deferred revenue and provide for payment in advance on either an annual or other periodic basis. Cash and Cash Equivalents Investments with original maturities of three months or less at the date of purchase are considered to be cash equivalents. The Company’s policy is to invest cash in excess of short-term operating and debt-service requirements in such cash equivalents. These instruments are stated at cost, which approximates market value because of the short maturity of the instruments. The Company places its cash with highly creditworthy financial institutions, corporations or governments, and believes its risk of loss is limited; however, at times, account balances may exceed international and U.S. federally insured limits. Investments Investments in non-consolidated affiliates ( 20 - 50 percent owned companies and joint ventures) are accounted for using the equity method. Investments through which we are not able to exercise significant influence over the investee and which we do not have readily determinable fair values are accounted for under the cost method. The Company assesses declines in the fair value of investments to determine whether such declines are other-than-temporary. This assessment is made considering all available evidence, including changes in general market conditions, specific industry and individual company data, the length of time and the extent to which the fair value has been less than cost, the financial condition and the near-term prospects of the entity issuing the security, and the Company’s ability and intent to hold the investment until recovery. Other-than-temporary impairments of investments are recorded to interest and other expense, net, on the Company’s Consolidated Statements of Operations and Other Comprehensive Loss in the period in which they become impaired. For the years ended December 31, 2016 and 2015, the Company recorded impairment charges of $ 1, 210 and $7,432 , respectively, related to certain minority investments of less than 20% ownership, for which we do not exercise significant influence. The aggregate carrying amount of all investments accounted for under the cost method totaled $ 9,116 and $10,687 at December 31, 2016 and 2015, respectively, and is included in other assets, net, on the Company’s Consolidated Balance Sheets. Allowance for Doubtful Accounts In evaluating the collectability of accounts receivable, the Company assesses a number of factors, including specific customers’ ability to meet their financial obligations to us, the length of time receivables are past due and historical collection experience. Based on these assessments, the Company may record a reserve for specific customers, as well as a general reserve and allowance for returns and discounts. If circumstances related to specific customers change, or economic conditions deteriorate such that the Company’s past collection experience is no longer relevant, its estimate of the recoverability of accounts receivable could be further reduced from the levels provided for in the Consolidated Financial Statements. The Company evaluates specific accounts for which it believes a customer may have an inability to meet their financial obligations (for example, aging over 90 days past due or bankruptcy). In these cases, the Company uses judgment, based on available facts and circumstances, and records a specific reserve for that customer to reduce the receivable to an amount the Company expects to collect. These specific reserves are re-evaluated and adjusted as additional information is received that impacts the amount reserved. Inventories Inventories are stated at the lower of cost or net realizable market value, cost being determined using the first-in, first-out method. Reserves for slow-moving and obsolete inventories are provided based on historical experience and current product demand. The Company evaluates the adequacy of these reserves quarterly. Property and Equipment Property and equipment are carried at cost and depreciated on a straight-line basis over the estimated useful lives of the related assets. Leasehold improvements are amortized on a straight-line basis over the shorter of (i) their estimated useful lives and (ii) the estimated or contractual lives of the leases. Realized gains and losses are recognized upon disposal or retirement of the related assets and are reflected in results of operations. Charges for repairs and maintenance are expensed as incurred. In accordance with ASC 360, “ Property, Plant and Equipment ,” the Company assesses potential impairments of property and equipment when events or changes in circumstances indicate that the carrying amount may not be fully recoverable. If required, an impairment loss is recognized as the difference between the carrying value and the fair value of the assets. Goodwill Goodwill reflects the excess of the consideration transferred plus the fair value of any non-controlling interest in the acquiree at the acquisition date over the fair values of the identifiable net assets acquired. Goodwill is not amortized but rather is tested for impairment annually, or whenever events or circumstances present an indication of impairment. Goodwill is an asset representing the future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognized. The primary items that generate goodwill include the value of the synergies between the acquired companies and the Company and the acquired assembled workforce, neither of which qualifies for recognition as an identifiable intangible asset. The annual impairment testing required by ASC 350, “ Intangibles – Goodwill and Other ” requires the Company to use judgment and could require the Company to write down the carrying value of its goodwill in future periods. The Company allocates goodwill to its identifiable geographic reporting units, the Americas, EMEA and APAC regions, which are tested for impairment using a two-step process. The first step requires comparing the fair value of each reporting unit with the carrying amount, including goodwill. If that fair value exceeds the carrying amount, the second step of the process is not required to be performed, and no impairment charge is required to be recorded. If that fair value does not exceed that carrying amount, the Company must perform the second step, which requires an allocation of the fair value of the reporting unit to all assets and liabilities of that unit as if the reporting unit had been acquired in a purchase business combination and the fair value of the reporting unit was the purchase price. The goodwill resulting from that purchase price allocation is then compared to the carrying amount with any excess recorded as an impairment charge. The evaluation of goodwill impairment requires the Company to make assumptions about future cash flows of the reporting unit being evaluated that include, among others, growth in revenues, margins realized, level of operating expenses and cost of capital. These assumptions require significant judgement and actual results may differ from assumed and estimated amounts. Goodwill set forth on the Consolidated Balance Sheet as of December 31, 2016 arose from acquisitions carried out from 2009 to 2015 and in years prior to December 31, 2007. Goodwill arising from acquisitions prior to 2007 was allocated to geographic reporting units based on the percentage of SLS printers then installed by geographic area. Goodwill arising from acquisitions in 2009 to 2015 was allocated to geographic reporting units based on geographic dispersion of the acquired companies’ sales or capitalization at the time of their acquisition. The Company conducted its annual impairment testing for the year ended December 31, 2016 in the fourth quarter of 2016. There was no goodwill impairment for the year ended December 31, 2016. The Company conducted its annual impairment testing for the year ended December 31, 2015 in the fourth quarter of 2015. The results of the Company’s first step of annual impairment testing indicated the carrying amount of goodwill assigned to the Americas and EMEA reporting units exceeded fair value and that the carrying amount of goodwill assigned to APAC did not exceed fair value. Based on these results, management completed the second step of annual impairment testing for the Americas and EMEA reporting units. Management determined that the fair value of goodwill assigned to the Americas was zero , resulting in a non-cash, non-tax deductible impairment charge of $382,271 . Management determined that the carrying amount of the goodwill assigned to EMEA exceeded fair value by approximately 29% , resulting in a non-cash, non-tax deductible goodwill impairment charge of $ 61,388 . See Note 7. There was no goodwill impairment for the year ended December 31, 2014. The Company will monitor its reporting units in an effort to determine whether events and circumstances warrant further interim impairment testing. The Company could be required to write off or write down additional amounts in the future in the event of deterioration in future performance, sustained slower growth or other circumstances. Other Intangible Assets Intangible assets other than goodwill primarily represent acquired intangible assets including licenses, patent costs, acquired technology, internally developed technology, customer relationships, non-compete agreements, trade names and trademarks. Intangible assets with finite lives are amortized using the straight-line method over their estimated useful life, which is determined by identifying the period over which most of the cash flows are expected to be generated. Amortization of license and patent costs is included in cost of sales, research and development expenses and selling, general and administrative expenses, depending upon the nature and use of the technology . Amortization of trade names, customer relationships and non-compete agreements are recorded in selling, general and administrative expenses. For intangibles with finite lives, the Company reviews the carrying amounts for potential impairment when events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Examples of such a change in circumstances include a significant decrease in selling price, a significant adverse change in the extent or manner in which an asset is being used, or a significant adverse change in the legal or business climate. In evaluating recoverability, the Company groups assets and liabilities at the lowest level such that the identifiable cash flows relating to the group are largely independent of the cash flows of other assets and liabilities. The Company then compares the carrying amounts of the assets or asset groups with the related estimated undiscounted future cash flows. In the event impairment exists, an impairment charge is recorded as the amount by which the carrying amount of the asset or asset group exceeds the fair value. Fair value is determined by reference to estimated selling values of assets in similar condition or by using a discounted cash flow model. In addition, the remaining amortization period for the impaired asset would be reassessed and, if necessary, revised. No impairment charges for intangible assets with finite lives were recorded for the year ended December 31, 2016. For the year ended December 31, 2015, the Company recorded non-cash impairment charges of $ 93,520 arising from the Company’s other intangible assets impairment testing. No impairment charges were recorded by the Company for the year ended December 31, 2014. Redeemable Noncontrolling Interests The minority interest shareholders of a certain subsidiary have the right in certain circumstances to require the Company to acquire either a portion of or all of the remaining ownership interests held by them. The owners’ ability to exercise any such “put option” right is subject to the satisfaction of certain conditions, including conditions requiring notice in advance of exercise. In addition, these rights cannot be exercised prior to a specified exercise date. The exercise of these rights at their earliest contractual date would result in obligations of the Company to fund the related amounts in 2019. See Note 22. The Company has recorded the put option as mezzanine equity at their current estimated redemption amount. The Company accrues changes in the redemption amounts over the period from the date of issuance to the earliest redemption date of the put option. For the year ended December 31, 2016, there has been no change to redeemable noncontrolling interests. Changes in the estimated redemption amounts of the put options are adjusted at each reporting period with a corresponding adjustment to equity. The following table presents changes in Redeemable Noncontrolling Interests: (in thousands) 2016 2015 Beginning balance – January 1 $ 8,872 $ 8,872 Changes in redemption value — — Ending balance – December 31 $ 8,872 $ 8,872 Contingencies The Company follows the provisions of ASC 450, “ Contingencies ,” which requires that an estimated loss from a loss contingency be accrued by a charge to income if it is both probable that an asset has been impaired or that a liability has been incurred and that the amount of the loss can be reasonably estimated. Foreign Currency Translation The Company transacts business globally and is subject to risks associated with fluctuating foreign exchange rates. The Company’s consolidated revenue that is derived from sales outside the U.S. is generated primarily from sales of subsidiaries operating outside the U.S. in their respective countries and surrounding geographic areas. This revenue is primarily denominated in each subsidiary’s local functional currency, although certain sales are denominated in other currencies. These subsidiaries incur most of their expenses (other than intercompany expenses) in their local functional currencies. These currencies include Australian Dollars, Brazilian Real, British Pounds, Chinese Yuan, Euros, Indian Rupee, Israeli Shekel, Japanese Yen, Mexican Pesos, Swiss Francs, South Korean Won and Uruguayan Pesos. The geographic areas outside the U.S. in which the Company operates are generally not considered to be highly inflationary. Nonetheless, these foreign operations are sensitive to fluctuations in currency exchange rates arising from, among other things, certain intercompany transactions that are generally denominated in U.S. dollars rather than their respective functional currencies. The Company’s operating results, assets and liabilities are subject to the effect of foreign currency translation when the operating results and the assets and liabilities of the Company’s foreign subsidiaries are translated into U.S. dollars in the Company’s Consolidated Financial Statements. The assets and liabilities of the Company’s foreign subsidiaries are translated from their respective functional currencies into U.S. dollars based on the translation rate in effect at the end of the related reporting period. The operating results of the Company’s foreign subsidiaries are translated to U.S. dollars based on the average conversion rate for the related period. Gains and losses resulting from these conversions are recorded in accumulated other comprehensive loss in the consolidated balance sheets. Gains and losses resulting from foreign currency transactions (transactions denominated in a currency other than the functional currency of the Company or a subsidiary) are included in the consolidated statements of operations and other comprehensive loss, except for intercompany receivables and payables for which settlement is not planned or anticipated in the foreseeable future, which are included as a component of accumulated other comprehensive loss in the consolidated balance sheets. Derivative Financial Instruments The Company is exposed to market risk from changes in interest rates and foreign currency exchange rates and commodity prices, which may adversely affect its results of operations and financial condition. The Company seeks to minimize these risks through regular operating and financing activities and, when the Company considers it to be appropriate, through the use of derivative financial instruments. The Company does not purchase, hold or sell derivative financial instruments for trading or speculative purposes. The Company has elected not to prepare and maintain the documentation to qualify for hedge accounting treatment under ASC 815, “ Derivatives and Hedging ,” and therefore, all gains and losses (realized or unrealized) related to derivative instruments are recognized in interest and other expense, net in the consolidated statements of operations and comprehensive loss and depending on the fair value at the end of the reporting period, derivatives are recorded either in prepaid and other current assets or in accrued liabilities in the consolidated balance sheets. The Company and its subsidiaries conduct business in various countries using both their functional currencies and other currencies to effect cross border transactions. As a result, they are subject to the risk that fluctuations in foreign exchange rates between the dates that those transactions are entered into and their respective settlement dates will result in a foreign exchange gain or loss. When practicable, the Company endeavors to match assets and liabilities in the same currency on its U.S. balance sheet and those of its subsidiaries in order to reduce these risks. The Company, when it considers it to be appropriate, enters into foreign currency contracts to hedge the exposures arising from those transactions. See Note 10. The Company is exposed to credit risk if the counterparties to such transactions are unable to perform their obligations. However, the Company seeks to minimize such risk by entering into transactions with counterparties that are believed to be creditworthy financial institutions. Research and Development Costs Research and development costs are expensed as incurred. Earnings (Loss) per Share Basic net income (loss) per share is computed by dividing net income available to common stockholders by the weighted average number of shares of common stock outstanding during the period. Diluted net income (loss) per share is computed by dividing net income, as adjusted for the assumed issuance of all dilutive shares, by the weighted average number of shares of common stock outstanding plus the number of additional common shares that would have been outstanding if all dilutive common shares issuable upon exercise of outstanding stock options or conversion of convertible securities had been issued. See Note 17. Advertising Costs Advertising costs are expensed as incurred. Advertising costs, including trade shows, were $ 12,469 , $ 15,245 and $ 8,799 for the years ended December 31, 2016, 2015 and 2014, respectively. Pension costs The Company sponsors a retirement benefit for one of its non-U.S. subsidiaries in the form of a defined benefit pension plan. Accounting standards require the cost of providing this pension benefit be measured on an actuarial basis. Actuarial gains and losses resulting from both normal year-to-year changes in valuation assumptions and differences from actual experience are deferred and amortized. The application of these accounting standards requires management to make assumptions and judgements that can significantly affect these measurements. Critical assumptions made by management in performing these actuarial valuations include the selection of the discount rate to determine the present value of the pension obligations that affects the amount of pension expense recorded in any given period. Changes in the discount rate could have a material effect on the Company’s reported pension obligations and related pension expense. See Note 15. Equity Compensation Plans The Company maintains stock-based compensation plans that are described more fully in Note 14. For service-based awards, stock-based compensation is estimated at the grant date based on the fair value of the awards expected to vest and recognized as expense ratably over the requisite service period of the award. For stock options and awards with market conditions, compensation cost is determined at the individual tranche level. The Company estimates the forfeiture rate based on historical experience. Income Taxes The Company and the majority of its domestic subsidiaries file a consolidated U.S. federal income tax return while it has two entities that file separate U.S. federal tax returns. The Company’s non-U.S. subsidiaries file income tax returns in their respective jurisdictions. The Company provides for income taxes on those portions of its foreign subsidiaries’ accumulated earnings (deficit) that the Company believes are not reinvested permanently in their business. Income taxes are accounted for under the asset and liability method. Deferred income tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and tax benefit carryforwards. Deferred income tax liabilities and assets at the end of each period are determined using enacted tax rates. The Company establishes a valuation allowance for those jurisdictions in which the expiration date of tax benefit carryforwards or projected taxable earnings leads the Company to conclude that it is “more likely than not” that a deferred tax asset will not be realized. The evaluation process includes the consideration of all available evidence regarding historical results and future projections including the estimated timing of reversals of existing taxable temporary differences and potential tax planning strategies. Once a valuation allowance is established, it is maintained until a change in factual circumstances gives rise to sufficient income of the appropriate character and timing that will allow a partial or full utilization of the deferred tax asset. In accordance with ASC 740, “ Income Taxes ,” the impact of an uncertain tax position on the Company’s income tax returns is recognized at the largest amount that is more likely than not to be required to be recognized upon audit by the relevant taxing authority. The Company includes interest and penalties accrued in the Consolidated Financial Statements as a component of income tax expense. See Note 20 to the Consolidated Financial Statements. Recent Accounting Pronouncements Recently Adopted Accounting Standards In March 2016, the FASB issued Accounting Standards Update (“ASU”) No. 2016-09, “ Stock Compensation (Topic 718) ” (“ASU 2016-09”). ASU 2016-09 simplifies the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. It is effective for annual reporting periods beginning after December 15, 2016 and interim periods within those annual periods. The Company adopted ASU 2016-09 in the first quarter of 2017 and expects to recognize additional tax benefits (expenses) in net income (losses) rather than additional paid in capital and as a change in operating cash flows rather than a change in financing cash flows under this guidance. In April 2015, the FASB issued Accounting Standards Update No. 2015-03, “ Simplifying the Presentation of Debt Issuance Costs ” (“ASU 2015-03”), which changes the presentation of debt issuance costs in financial statements. ASU 2015-03 requires an entity to present such costs in the balance sheet as a direct deduction from the related debt liability |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2016 | |
Acquisitions [Abstract] | |
Acquisitions | Note 3 Acquisitions Subsequent Acquisition On January 31, 2017 , the Company acquired 100 percent of the shares of Vertex-Global Holding B.V., a provider of dental materials worldwide under the Vertex and NextDent brands. See Note 25. 2016 Acquisitions No acquisitions were made by the Company for the year ended December 31, 2016. 2015 Acquisitions On February 9, 2015 , the Company acquired 100% of the outstanding shares and voting rights of Cimatron Ltd. (“Cimatron”), a provider of integrated 3D CAD/CAM software and solutions for manufacturing. The fair value of the consideration paid for this acquisition, net of cash acquired, was $77,984 , all of which was paid in cash. The operations of Cimatron have been integrated into the Company’s products and service revenues. The fair value of the consideration paid for this acquisition was allocated to the assets purchased and liabilities assumed, based on their estimated fair values as of the acquisition date, with any excess recorded as goodwill, and is included in the table below, which summarizes 2015 acquisitions. On April 2, 2015 , the Company acquired 65% of the equity interests in Wuxi Easyway Model Design and Manufacture Co. Ltd. (“Easyway”), a manufacturing service bureau and distributor of 3D printing and scanning products in China. The fair value of the consideration paid for this acquisition, net of cash acquired, was $11,265 , all of which was paid in cash. Under the terms of the agreement, the Company has an option to acquire the remainder of the equity interests in Easyway between the third and fifth anniversaries of the closing. The operations of Easyway have been integrated into the Company’s products and service revenues. The fair value of the consideration paid for this acquisition was allocated to the assets purchased and liabilities assumed, based on their estimated fair values as of the acquisition date, with any excess recorded as goodwill, and is included in the table below, which summarizes 2015 acquisitions. On June 16, 2015 , the Company acquired certain assets of STEAMtrax, LLC (“STEAMtrax”), a curricula provider. The fair value of the consideration paid for this acquisition, net of cash acquired, was $2,550 , all of which was paid in cash. The fair value of the consideration paid for this acquisition was allocated to the assets purchased and liabilities assumed, based on their estimated fair values as of the acquisition date, with any excess recorded as goodwill, and is included in the table below, which summarizes 2015 acquisitions. As of December 31, 2016, the Company has exited this investment. On June 17, 2015 , the Company acquired certain assets of NOQUO INC. (“Noquo”), a software provider. The fair value of the consideration paid for this acquisition, net of cash acquired, was $651 , which was paid with cash and the cancellation of a note. The fair value of the consideration paid for this acquisition was allocated to the assets purchased and liabilities assumed, based on their estimated fair values as of the acquisition date, with any excess recorded as goodwill, and is included in the table below, which summarizes 2015 acquisitions. As of December 31, 2016, the Company has exited this investment. For all acquisitions made in 2015, factors considered by the Company in determination of goodwill include synergies, vertical integration and strategic fit for the Company. The acquis itions completed during the 2015 are not material relative to the Company’s assets or operating results; therefore, no proforma financial information is provided. The amounts related to the acquisitions of these businesses were allocated to the assets acquired and the liabilities assumed and included in the Company’s consolidated balance sheet at December 31, 2015 as follows: (in thousands) 2015 Fixed assets $ 1,505 Other intangible assets, net 57,066 Goodwill 44,772 Other assets, net of cash acquired 22,449 Liabilities (33,342) Net assets acquired $ 92,450 2014 Acquisitions On February 18, 2014 , the Company acquired the assets of Digital Playspace, Inc., an online platform that combines home design, gaming, and community sharing to deliver a 3D create-and-make experience for children, families and adults. The fair value of the consideration paid for this acquisition, net of cash acquired, was $4,000 , of which $2,000 was paid in cash and $2,000 was paid in shares of the Company’s stock. These shares were issued in a private transaction exempt from registration under the Securities Act of 1933. The fair value of the consideration paid for this acquisition was allocated to the assets purchased and liabilities assumed, based on their estimated fair values as of the acquisition date, with any excess recorded as goodwill, and is included in the table below, which summarizes 2014 acquisitions. On April 2, 2014 , the Company acquired 100% of the outstanding shares and voting rights of Medical Modeling Inc. Medical Modeling Inc. is a provider of 3D printing-centric personalized surgical treatments and patient specific medical devices, including virtual surgical planning, personalized medical devices and clinical transfer tools. The fair value of the consideration paid for this acquisition, net of cash acquired, was $69,026 of which $51,526 was paid in cash and $17,500 was paid in shares of the Company’s stock. These shares were issued in a private transaction exempt from registration under the Securities Act of 1933. The operations of Medical Modeling Inc. have been integrated into the Company’s service revenues. The fair value of the consideration paid for this acquisition was allocated to the assets purchased and liabilities assumed, based on their estimated fair values as of the acquisition date, with any excess recorded as goodwill, and is included in the table below, which summarizes 2014 acquisitions. On August 6, 2014 , the Company acquired certain assets of Bordner and Associates, Inc. d/b/a Laser Reproductions (“Laser Reproductions”). Laser Reproductions is a provider of advanced manufacturing, tooling and rapid prototyping solutions. The fair value of the consideration paid for this acquisition, net of cash acquired, was $17,450 , of which $13,075 was paid in cash and $4,375 was paid in shares of the Company’s common stock. These shares were issued in a private transaction exempt from registration under the Securities Act of 1933. The operations of Laser Reproductions have been integrated into the Company’s service revenues. The fair value of the consideration paid for this acquisition was allocated to the assets purchased and liabilities assumed, based on their estimated fair values as of the acquisition date, with any excess recorded as goodwill, and is included in the table below, which summarizes 2014 acquisitions. On August 13, 2014 , the Company acquired certain assets of sister companies American Precision Machining, L.L.C. (“APM”) and American Precision Prototyping, LLC (“APP”). APM and APP are providers of precision machining and manufacturing services and 3D printing services. The fair value of the consideration paid for these acquisitions, net of cash acquired, was $14,089 , all of which was paid in cash. The operations of APM and APP have been integrated into the Company’s service revenues. The fair value of the consideration paid for these acquisitions was allocated to the assets purchased and liabilities assumed, based on their estimated fair values as of the acquisition date, with any excess recorded as goodwill, and is included in the table below, which summarizes 2014 acquisitions. On August 28, 2014 , the Company acquired 100% of the outstanding shares and voting rights of Simbionix USA Corporation (“Simbionix”). Simbionix is a provider of patient-specific surgical simulation solutions. The fair value of the consideration paid for this acquisition, net of cash acquired, was $121,562 , all of which was paid in cash. The operations of Simbionix have been integrated into the Company’s products and service revenues. The fair value of the consideration paid for this acquisition was allocated to the assets purchased and liabilities assumed, based on their estimated fair values as of the acquisition date, with any excess recorded as goodwill, and is included in the table below, which summarizes 2014 acquisitions. On September 3, 2014 , the Company acquired 100% of the outstanding shares and voting rights of LayerWise NV (“LayerWise”). LayerWise is a provider of advanced direct metal 3D printing and manufacturing services and delivers quick-turn, 3D-printed metal parts, manufactured on its own proprietary line of direct metal 3D printers, for aerospace, high-precision equipment, and medical and dental customers. The fair value of the consideration paid for this acquisition, net of cash acquired, was $41,933 , all of which was paid in cash. The operations of LayerWise have been integrated into the Company’s product and service revenues. The fair value of the consideration paid for this acquisition was allocated to the assets purchased and liabilities assumed, based on their estimated fair values as of the acquisition date, with any excess recorded as goodwill, and is included in the table below, which summarizes 2014 acquisitions. On November 25, 2014 , the Company acquired 70% of the outstanding shares and voting rights of Robtec, an additive manufacturing service bureau and distributor of 3D printing and scanning products. Under the terms of the agreement, the Company acquired 70% of the shares of Robtec at closing and the remainder of the shares will be acquired by the Company on the fifth anniversary of the closing. The fair value of the consideration paid for this acquisition, net of cash acquired, was $2 1,880 , all of which was paid in cash. The operations of Robtec have been integrated into the Company’s product and service revenues. The fair value of the consideration paid for this acquisition was allocated to the assets purchased and liabilities assumed, based on the estimated fair values as of the acquisition date, with any excess recorded as goodwill, and is included in the table below, which summarizes 2014 acquisitions. On December 16, 2014 , the Company acquired 100% of the outstanding shares and voting rights of botObjects Ltd. (“botObjects”), a company that develops consumer 3D printers. The fair value of the consideration paid for this acquisition, net of cash acquired, was $2 4,743 , all of which was paid in cash. The fair value of the consideration paid for this acquisition was allocated to the assets purchased and liabilities assumed, based on the estimated fair values as of the acquisition date, with any excess recorded as goodwill, and is included in the table below, which summarizes 2014 acquisitions. Pursuant to the terms and conditions of the botObejcts purc hase agreement, the sellers had the right to earn an additional amount, of up to a maximum of approximately $25,000 , pursuant to an earnout formula over a three -year period as set forth in the acquisition agreement. Pursuant to a settlement agreement between the Company and the sellers, the parties agreed that no amounts would be paid pursuant to the terms of the earnout provision . On December 17, 2014 , the Company acquired a product line related to its materials business. The fair value of the consideration paid for this acquisition, net of cash acquired, was $54,552 , all of which was paid in cash. The company completed this acquisition as part of its improved business continuity and operational excellence initiatives. The operations have been integrated into the Company’s materials production. The fair value of the consideration paid for this acquisition was allocated to the assets purchased and liabilities assumed, based on the estimated fair values as of the acquisition date, with any excess recorded as goodwill, and is included in the table below, which summarizes 2014 acquisitions. For all acquisitions made in 2014, factors considered by the Company in determination of goodwill include synergies, vertical integration and strategic fit for the Company. The acquisitions completed during the year are not material relative to the Company’s assets or operating results; therefore, no proforma financial information is provided. The amounts related to the acquisitions of these businesses were allocated to the assets acquired and the liabilities assumed and included in the Company’s consolidated balance sheet at December 31, 2014 as follows: (in thousands) 2014 Fixed assets $ 19,279 Other intangible assets, net 127,315 Goodwill 259,422 Other assets, net of cash acquired 38,583 Liabilities (75,364) Net assets acquired $ 369,235 |
Inventories
Inventories | 12 Months Ended |
Dec. 31, 2016 | |
Inventories [Abstract] | |
Inventories | Note 4 Inventories Components of inventories, net , at December 31, 2016 and 2015 are as follows: (in thousands) 2016 2015 Raw materials $ 38,383 $ 43,960 Work in process 3,109 4,067 Finished goods and parts 61,839 57,850 Inventories, net $ 103,331 $ 105,877 |
Property And Equipment
Property And Equipment | 12 Months Ended |
Dec. 31, 2016 | |
Property And Equipment [Abstract] | |
Property And Equipment | Note 5 Property and Equipment Property and equipment at December 31, 2016 and 2015 are summarized as follows: (in thousands) 2016 2015 Useful Life (in years) Land $ 903 $ 903 N/A Building 11,122 11,007 25 - 30 Machinery and equipment 108,682 105,383 2 - 7 Capitalized software 8,651 7,391 3 - 5 Office furniture and equipment 3,130 4,714 1 - 5 Leasehold improvements 24,423 17,867 Life of lease (a) Rental equipment 144 149 5 Construction in progress 7,760 9,578 N/A Total property and equipment 164,815 156,992 Less: Accumulated depreciation and amortization (84,837) (70,997) Total property and equipment, net $ 79,978 $ 85,995 (a) Leasehold improvements are amortized on a straight-line basis over the shorter of (i) their estimated useful lives and (ii) the estimated or contractual life of the related lease. Depreciation expense on property and eq uipment for the years ended 2016 , 2015 and 2014 was $ 24,331 , $20,979 and $14,727 , respectively. For the years ended December 31, 2016 and 2015, the Company recognized impairment charges of $ 7,408 and $ 614 , respectively, on property and equipment, net. No impairment charges were recognized for the year ended December 31, 2014. |
Intangible Assets
Intangible Assets | 12 Months Ended |
Dec. 31, 2016 | |
Intangible Assets [Abstract] | |
Intangible Assets | Note 6 Intangible Assets Intangible assets other than goodwill at December 31, 2016 and December 31, 2015 are summarized as follows: 2016 2015 (in thousands) Gross Accumulated Amortization Net Gross Accumulated Amortization Net Useful Life (in years) Weighted Average Useful Life Remaining (in years) Intangible assets with finite lives: Patent costs $ 16,263 $ (5,873) $ 10,390 $ 16,251 $ (4,895) $ 11,356 1 - 20 9 Acquired technology 52,881 (27,543) 25,338 52,809 (16,405) 36,404 1 - 16 4 Internally developed software 4,730 (3,522) 1,208 4,730 (2,919) 1,811 2 2 Customer relationships 99,067 (46,252) 52,815 101,933 (36,158) 65,775 1 - 14 6 Non-compete agreements 9,423 (7,277) 2,146 12,163 (8,558) 3,605 1 - 4 2 Trade names 28,110 (16,015) 12,095 28,108 (12,498) 15,610 1 - 8 5 Other 45,377 (27,868) 17,509 46,435 (23,530) 22,905 1 - 6 4 Total intangible assets $ 255,851 $ (134,350) $ 121,501 $ 262,429 $ (104,963) $ 157,466 1 - 20 4 Amortizat ion expense related to intangible assets was $ 35,124 , $61,066 and $39,484 for the years ended December 31, 2016 , 2015 and 2014 , respectively. Amortization of these intangible assets is calculated on a straight-line basis . Annual amortization expense for intangible assets is expected to be $ 33,286 in 2017 , $ 28,287 in 2018 , $ 19,883 in 2019 , $ 16,121 in 2020 and $ 11,865 in 2021 . No intangible asset impairment charges were recorded by the Company for the year ended December 31, 2016. For the year ended December 31, 2015 , the Company recorded impairment charges of $ 93,520 , reflecting $92,248 of impairment charges related to the Company’s Americas reporting unit and $1,272 of impairment charges related to the Company’s EMEA reporting unit . Further, impairment charges reflected approximately $63,852 of charges to customer relationships, $19,164 of charges to acquired technology, $5,952 of charges to trade names, $3,416 of charges to non-compete agreements, $791 of charges to other intangibles and $345 of charges to internally developed software. The impairment charges were measured as the difference between the carrying amount of the assets and their fair value. The fair value of the assets was determined under the income approach based on a discounted cash flow model using updated future revenue and operating income projections. In addition to impairment charges, gross intangible assets were negatively impacted by foreign currency translation. See Note 2 to the Consolidated Financial Statements . No intangible asset impairment charges were recorded by the Company for the year ended December 31, 2014. |
Goodwill
Goodwill | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill [Abstract] | |
Goodwill | Note 7 Goodwill The following are the changes in the carrying amount of goodwill by geographic reporting unit: (in thousands) Americas EMEA Asia Pacific Total Balance at December 31, 2014 $ 339,411 216,942 33,184 589,537 Acquisitions and adjustments 47,452 2,602 5,208 55,262 Impairment of goodwill (382,271) (61,388) — (443,659) Effect of foreign currency exchange rates (4,592) (7,635) (1,038) (13,265) Balance at December 31, 2015 — $ 150,521 $ 37,354 $ 187,875 Acquisitions and adjustments — (137) 189 52 Effect of foreign currency exchange rates — (5,413) (1,284) (6,697) Balance at December 31, 2016 $ — $ 144,971 $ 36,259 $ 181,230 The effect of foreign currency exchange in this table reflects the impact on goodwill of amounts recorded in currencies other than the U.S. dollar on the financial statements of subsidiaries in these geographic areas resulting from the yearly effect of foreign currency translation between the applicable functional currency and the U.S. dollar. For discussion on goodwill impairment testing, see Note 2 to the Consolidated Financial Statements. |
Employee Benefits
Employee Benefits | 12 Months Ended |
Dec. 31, 2016 | |
Employee Benefits [Abstract] | |
Employee Benefits | Note 8 Employee Benefits The Company sponsors a Section 401(k) plan (the “Plan”) covering substantially all its eligible U.S. employees. The Plan entitles eligible employees to make contributions to the Plan after meeting certain eligibility requirements. Contributions are limited to the maximum contribution allowances permitted under the Internal Revenue Code. The Company matches 50% of the employee contributions up to a maximum match of $1.5 , as set forth in the Plan. The Company may also make discretionary contributions to the Plan, which would be allocable to participants in accordance with the Plan. In addition, the Company has several other U.S. and non-U.S. defined contribution plans covering eligible U.S. and non-U.S. employees, respectively. For the years ended December 31, 2016 , 2015 and 2014 , the Company expensed $ 1,175 , $956 and $721 , respectively, for matching contributions to defined contribution plans. |
Accrued And Other Liabilities
Accrued And Other Liabilities | 12 Months Ended |
Dec. 31, 2016 | |
Accrued And Other Liabilities [Abstract] | |
Accrued And Other Liabilities | Note 9 Accrued and Other Liabilities Accrued liabilities at December 31, 2016 and 2015 are summarized below : (in thousands) 2016 2015 Compensation and benefits $ 22,771 $ 24,152 Vendor accruals 8,231 12,883 Accrued professional fees 810 491 Accrued taxes 9,831 11,317 Royalties payable 2,092 1,431 Accrued interest 39 42 Accrued earnouts related to acquisitions 3,238 159 Accrued other 2,956 4,224 Total $ 49,968 $ 54,699 Other liabilities at December 31, 2016 and 2015 are summarized below: (in thousands) 2016 2015 Arbitration award $ 11,282 $ 11,282 Long term employee indemnity 11,152 9,794 Defined benefit pension obligation 7,613 6,211 Long term tax liability 7,183 6,996 Long term earnouts related to acquisitions 7,568 9,673 Long term deferred revenue 7,464 7,956 Other long term liabilities 5,726 4,927 Total $ 57,988 $ 56,839 |
Hedging Activities And Financia
Hedging Activities And Financial Instruments | 12 Months Ended |
Dec. 31, 2016 | |
Hedging Activities And Financial Instruments [Abstract] | |
Hedging Activities And Financial Instruments | Note 10 Hedging Activities and Financial Instruments The Company conducts business in various countries using both the functional currencies of those countries and other currencies to effect cross border transactions. As a result, the Company is subject to the risk that fluctuations in foreign exchange rates between the dates that those transactions are entered into and their respective settlement dates will result in a foreign exchange gain or loss. When practicable, the Company endeavors to match assets and liabilities in the same currency on its balance sheet and those of its subsidiaries in order to reduce these risks. When appropriate, the Company enters into foreign currency contracts to hedge exposures arising from those transactions. The Company has elected not to prepare and maintain the documentation to qualify for hedge accounting treatment under ASC 815, “ Derivatives and Hedging ,” and therefore, all gains and losses (realized or unrealized) are recognized in "I nterest and other expense, net” in the consolidated statements of oper ations and comprehensive loss . Depending on their fair value at the end of the reporting period, derivatives are recorded either in prepaid expenses and other current assets or in accrued liabilities on the consolidated balance sheet. There were no foreign currency contracts outstanding at December 31, 2016 or 201 5 . |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2016 | |
Borrowings [Abstract] | |
Borrowings | Note 11 Borrowings Credit Facility On October 10, 2014 , the Company and certain of its subsidiaries entered into a $150,000 five -year revolving, unsecured credit facility (the “Credit Agreement”) with PNC Bank, National Association, as Administrative Agent, PNC Capital Markets LLC, as Sole Lead Arranger and Sole Bookrunner, HSBC Bank USA, N.A., as Syndication Agent, and the other lenders party thereto (collectively, the “Lenders”). The Credit Agreement comprises a revolving loan facility that provides for advances in the initial aggregate principal amount of up to $150,000 (the “Credit Facility”). Subject to certain terms and conditions contained in the Credit Agreement, the Company may, at its option, request an increase in the aggregate principal amount available under the Credit Facility by an additional $75,000 . The Credit Agreement includes provisions for the issuance of letters of credit and swingline loans. The Credit Agreement is guaranteed by certain of the Company’s material domestic subsidiaries (the “Guarantors”). From time to time, the Company may be required to cause additional material domestic subsidiaries to become Guarantors under the Credit Agreement. Generally, amounts outstanding under the Credit Facility bear interest, at the Company’s option, at either the Base Rate or the London interbank offered rate (“LIBOR”), in each case, plus an applicable margin. Base Rate advances bear interest at a rate per annum equal to the sum of (i) the highest of (A) the Administrative Agent’s prime rate, (B) the Federal Funds Open Rate plus 0.5% or (C) the Daily LIBOR Rate for a one month interest period plus 1% , and (ii) an applicable margin that ranges from 0.25% to 0.50% based upon the Company’s consolidated total leverage ratio. LIBOR Rate advances bear interest at a rate based upon the LIBOR Rate for the applicable interest period, plus an applicable margin that ranges from 1.25% to 1.50% based upon the Company’s consolidated total leverage ratio. Under the terms of the Credit Agreement, (i) accrued interest on each loan bearing interest at the Base Rate is payable quarterly in arrears and (ii) accrued interest on each loan bearing interest at the LIBOR Rate is payable in arrears on the earlier of (A) quarterly and (B) the last day of each applicable interest payment date for each loan. The Credit Facility is scheduled to mature on October 10, 2019 , at which time all amounts outstanding thereunder will be due and payable. The Company is required to pay certain fees in connection with the Credit Facility, including a quarterly commitment fee equal to the product of the amount of the average daily available revolving commitments under the Credit Agreement multiplied by a percentage that ranges from 0.20% to 0.25% depending upon the Company’s consolidated total leverage ratio, as well as customary administrative fees. The Credit Agreement contains customary representations, warranties, covenants and default provisions for a Credit Facility of this type, including, but not limited to, financial covenants, limitations on liens and the incurrence of debt, covenants to preserve corporate existence and comply with laws and covenants regarding the use of proceeds of the Credit Facility. The financial covenants include a maximum consolidated total leverage ratio, which is the ratio of consolidated total funded indebtedness to consolidated EBITDA (earnings before interest, taxes, depreciation and amortization expense), as defined in the Credit Agreement, of 3.00 to 1.00, and a minimum interest coverage ratio, which is the ratio of consolidated EBITDA to cash interest expense, of 3.50 to 1.00. The Company is only required to be in compliance with the financial covenants as of the end of any fiscal quarter in which there are any loans outstanding at any time during such fiscal quarter. Based on the Company’s current results of operations and financial covenants set forth in the Credit Agreement, availability at December 31, 2016 would be approximately $ 150,000 . Future results may impact availability. The payment of dividends on the Company’s common stock is restricted under provisions of the Credit Facility, which limits the amount of cash dividends that the Company may pay in any one fiscal year to $30,000 . The Company currently does not pay, and has not paid, any dividends on its common stock, and currently intends to retain any future earnings for use in its business. There was no outstanding balance on the Credit Facility as of December 31, 2016 or 2015 . Interest Income and Expense Interest income totaled $ 807 , $521 and $482 for the years ended December 31, 2016, 2015 and 2014, respectively. Interest expense totaled $ 1,282 , $2,011 and $1,227 for the years ended December 31, 2016 , 2015 and 2014 , respectively . |
Lease Obligations
Lease Obligations | 12 Months Ended |
Dec. 31, 2016 | |
Lease Obligations [Abstract] | |
Lease Obligations | Note 12 Lease Obligations The Company leases certain of its facilities and equipment under capitalized leases and other facilities and equipment under non-cancelable operating leases. The leases are generally on a net-rent basis, under which the Company pays taxes, maintenance and insurance. Leases that expire at various dates through 2031 are expected to be renewed or replaced by leases on other properties. Rent expense for the years ended December 31, 2016 , 2015 and 2014 was $ 13,232 , $13,960 and $10,427 , respectively. The Company’s future minimum lease payments as of December 31, 2016 under capitalized leases and non-cancelable operating leases, with initial or remaining lease terms in excess of one year, were as follows: (in thousands) Capitalized Leases Operating Leases Years ending December 31: 2017 $ 1,074 $ 12,686 2018 1,071 11,674 2019 1,068 9,663 2020 987 5,915 2021 736 5,364 Later years 7,491 14,749 Total minimum lease payments 12,427 $ 60,051 Less: amounts representing imputed interest (4,268) Present value of minimum lease payments 8,159 Less: current portion of capitalized lease obligations (572) Capitalized lease obligations, excluding current portion $ 7,587 Rock Hill Facility The Company leases its headquarters and research and development facility pursuant to a lease agreement with Lex Rock Hill, LP. After its initial term ending August 31, 2021 , the lease provides t he Company with the option to renew the lease for two additional five -year terms. The lease also grants the Company the right to cause Lex Rock Hill, subject to certain terms and conditions, to expand the leased premises during the term of the lease, in which case the term of the lease would be extended. The lease is a triple net lease and provides for the payment of base rent of $683 in 2016, $709 in 2017 through 2020 and $723 in 2021. Under the terms of the lease, t he Company is obligated to pay all taxes, insurance, utilities and other operating costs with respect to the leased premises . This lease is recorded as a capitalized lease obligation under ASC 840, “ Leases .” The implicit interest rate was 6.93% as of December 31, 2016 and 2015 . Other Capital Lease Obligations The Company leases other equipment with lease terms through August 2018 . In accordance with ASC 840 , t he Company has recorded these leases as capitalized leases. The implicit interest rate ranged from 1.75 % to 8.06 % at December 31, 2016 and 2015 . |
Preferred Stock
Preferred Stock | 12 Months Ended |
Dec. 31, 2016 | |
Preferred Stock [Abstract] | |
Preferred Stock | Note 13 Preferred Stock The Company had 5,000 shares of preferred stock that were authorized but unissued at December 31, 2016 and 2015 . |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2016 | |
Stock-Based Compensation [Abstract] | |
Stock-Based Compensation | Note 14 Stock-Based Compensation Effective May 19, 2004, the Company adopted its 2004 Incentive Stock Plan, as further amended and restated on February 3, 2015 (the “2004 Stock Plan”), and its 2004 Restricted Stock Plan for Non-Employee Directors, as further amended and restated on April 1, 2013 (the “Director Plan”). On May 19, 2015, the Company’s stockholders approved the 2015 Incentive Plan of 3D Systems Corporation (the “2015 Plan” and, together with the 2004 Stock Plan, the “Incentive Plans”). The 2004 Stock Plan authorizes shares of restricted stock, restricted stock units, stock appreciation rights and the grant of options to purchase shares of the Company’s common stock. The 2004 Stock Plan also designates measures that may be used for performance awards. The Director Plan authorizes shares of restricted stock for non-employee directors of the Company. The 2015 Plan authorizes shares of restricted stock, restricted stock units, stock appreciation rights, cash incentive awards and the grant of options to purchase shares of the Company’s common stock. The 2015 Plan also designates measures that may be used for performance awards. Generally, awards granted prior to November 13, 2015 become fully-vested on the three -year anniversary of the grant date and awards granted on or after November 13, 2015 will vest one third each year over three years. The Company records stock-based compensation expense in selling, general and administrative expenses in the condensed consolidated statements of operations and comprehensive income (loss). Stock-based compensation expense for the years ended December 31, 2016, 2015 and 2014 was as follows : Year Ended December 31, (in thousands) 2016 2015 2014 Stock-based compensation expense $ 31,295 $ 34,733 $ 32,793 Restricted Stock Stock award activity for the years ended December 31, 2016, 2015 and 2014 was as follows: Year Ended December 31, 2016 2015 2014 (in thousands, except per share amounts) Number of Shares/Units Weighted Average Grant Date Fair Value Number of Shares/Units Weighted Average Grant Date Fair Value Number of Shares/Units Weighted Average Grant Date Fair Value Outstanding at beginning of period — unvested 2,942 $ 36.55 2,806 $ 41.08 2,523 $ 41.21 Granted 2,516 $ 11.57 1,438 $ 16.12 1,031 $ 49.46 Cancelled (526) $ 38.64 (672) $ 46.20 (85) $ 39.52 Vested (1,151) $ 40.99 (630) $ 23.89 (663) $ 12.59 Outstanding at end of period — unvested 3,781 $ 36.34 2,942 $ 36.55 2,806 $ 41.08 During the year ended December 31, 2016, the Company awarded certain employees 469 shares of restricted stock under the 2015 Plan, included in the activity above, that vests under specified market conditions. Each of these employees was generally awarded two equal tranches of market condition restricted stock that immediately vests when the Company’s common stock trades at either $30 or $40 per share for ninety consecutive calendar days. At December 31, 2016, there was $ 5,517 of unrecognized pre-tax stock-based compensation expense related to non-vested restricted stock awards with market conditions, which the Company expects to recognize over the remaining weighted-average three year period. At December 31, 2016, there was $ 40,306 of unrecognized pre-tax stock-based compensation expense related to all other non-vested restricted stock award shares and units, which the Company expects to recognize over the remaining weighted-average vesting period of two years. Stock Options The Company estimates the fair value of stock options with market conditions using a binomial lattice Monte Carlo simulation model. The weighted-average fair value and the assumptions used to measure fair value were as follows: Year Ended December 31, 2016 2015 2014 Stock option assumptions: Weighted-average fair value $ 7.80 $ — $ — Expected volatility 60.0% — — Risk-free interest rate 0.76% - 1.46 — — Expected dividend yield 0% — — Derived term in years 3-4 — — Stock option activity for the year ended December 31, 2016 was as follows: Year Ended December 31, 2016 (in thousands, except per share amounts) Number of Shares Weighted Average Exercise Weighted Average Remaining Term (in years) Stock option activity: Outstanding at beginning of period — $ — Granted 2,260 13.92 Exercised — — Forfeited and expired — — Outstanding at end of period 2,260 $ 13.92 9.5 Exercisable at end of period — $ — — During the year ended December 31, 2016, the Company awarded certain employees market condition stock options under the 2015 Plan, included in the activity above, that vest under specified market conditions. Each employee was generally awarded two equal tranches of market condition stock options that immediately vest when the Company’s common stock trades at either $30 or $40 per share for ninety consecutive calendar days. At December 31, 2016, there was $ 14,956 of unrecognized pre-tax stock-based compensation expense related to non-vested stock options with market conditions, which the Company expects to recognize over the remaining weighted-average three year period. |
International Retirement Plan
International Retirement Plan | 12 Months Ended |
Dec. 31, 2016 | |
International Retirement Plan [Abstract] | |
International Retirement Plan | Note 15 International Retirement Plan The Company sponsors a non-contributory defined benefit pension plan for certain employees of a non-U.S. subsidiary initiated by a predecessor of the subsidiary. The Company maintains insurance contracts that provide an annuity that is used to fund the current obligations under this plan. The net present value of the annuity was $2,760 and $2,741 as of December 31, 2016 and 2015 , respectively. The net present value of that annuity is included in “Other assets, net” on the Company’s consolidated balance sheets at December 31, 2016 and 2015 . The following table provides a reconciliation of the changes in the projected benefit obligation for the years ended December 31, 2016 and 2015 : (in thousands) 2016 2015 Reconciliation of benefit obligations: Obligations as of January 1 $ 6,328 $ 7,194 Service cost 154 178 Interest cost 159 156 Actuarial (gain) loss 1,437 (338) Benefit payments (120) (119) Effect of foreign currency exchange rate changes (231) (743) Obligations as of December 31 7,727 6,328 Funded status as of December 31 (net of tax benefit) $ (7,727) $ (6,328) For the year ended December 31, 2016 , the Company recorded a $1,437 loss, net of $128 of actuarial amortization and a $407 tax benefit , as a $902 adjustment to “Accumulated other comprehensive income (loss) ” in accordance with ASC 715, “ Compensation – Retirement Benefits .” For the year ended December 31, 2015 , the Company recorded a $338 gain and $154 of actuarial amortization, net of a $154 tax provision, as a $338 adjustment to “Accumulated other comprehensive income (loss)” The Company has recognized the following amounts in the consolidated balance sheets at December 31, 2016 and 2015 : (in thousands) 2016 2015 Accrued liabilities $ 114 $ 117 Other liabilities 7,613 6,211 Projected benefit obligation 7,727 6,328 Accumulated other comprehensive income (2,775) (1,873) Total $ 4,952 $ 4,455 The following projected benefit obligation and accumulated benefit obligation were estimated as of December 31, 2016 and 2015 : (in thousands) 2016 2015 Projected benefit obligation $ 7,727 $ 6,328 Accumulated benefit obligation $ 6,905 $ 5,738 The following table shows the components of net periodic benefit costs and other amounts recognized in other comprehensive income (loss) : (in thousands) 2016 2015 Net periodic benefit cost: Service cost $ 154 $ 178 Interest cost 159 156 Amortization of actuarial loss 128 154 Total $ 441 $ 488 Other changes in plan assets and benefit obligations recognized in other comprehensive income: Net (gain) loss 1,437 (338) Total expense recognized in net periodic benefit cost and other comprehensive income $ 1,878 $ 150 The following assumptions are used to determine benefit obligations as of December 31: 2016 2015 Discount rate 1.60% 2.50% Rate of compensation 3.00% 2.50% The following benefit payments, including expected future service cost, are expected to be paid: (in thousands) Estimated future benefit payments: 2017 $ 129 2018 131 2019 145 2020 173 2021 176 2022-2026 1,077 |
Warranty Contracts
Warranty Contracts | 12 Months Ended |
Dec. 31, 2016 | |
Warranty Contracts [Abstract] | |
Warranty Contracts | Note 16 Warranty Contracts The Company provides product warranties for up to one year, or longer if required by applicable laws or regulations, as part of sales transactions for certain of its printers. Warranty revenue is recognized ratably over the term of the warranties, which is the period during which the related costs are incurred. This warranty provides the customer with maintenance on the equipment during the warranty period and provides for certain repair, labor and replacement parts that may be required. In connection with this activity, the Company recognized warranty revenue and incurred warranty costs as shown in the table below. Warranty Revenue Recognition: (in thousands) Beginning Balance Deferred Warranty Revenue Warranty Revenue Deferred Warranty Revenue Recognized Ending Balance Deferred Warranty Revenue Year Ended December 31, 2016 $ 10,663 $ 12,859 $ (14,471) $ 9,051 2015 11,914 15,349 (16,600) 10,663 2014 9,141 17,185 (14,412) 11,914 Warranty Costs Incurred: (in thousands) Materials Labor and Overhead Total Year Ended December 31, 2016 $ 6,851 $ 6,862 $ 13,713 2015 6,202 5,559 11,761 2014 5,958 5,440 11,398 |
Computation of Net Income (Loss
Computation of Net Income (Loss) per Share | 12 Months Ended |
Dec. 31, 2016 | |
Computation of Net Income (Loss) per Share [Abstract] | |
Computation of Net Income (Loss) per Share | Note 17 Computation of Net Income (Loss) per Share The Company presents basic and diluted income ( loss ) per share amounts. Basic income ( loss ) per share is calculated by dividing net loss attributable to 3D Systems Corporation by the weighted average number of common shares outstanding during the applicable period. Diluted income ( loss ) per share is calculated by dividing net loss by the weighted average number of common and common equivalent shares outstanding during the applicable period. The following table reconciles basic weighted average outstanding shares to diluted weighted average outstanding for the years ended December 31, 2016 , 2015 and 2014 : (in thousands, except per share amounts) 2016 2015 2014 Numerator for basic and diluted net loss per share: Net income (loss) attributable to 3D Systems Corporation $ (38,419) $ (655,492) $ 11,637 Denominator for basic and diluted net loss per share: Weighted average shares 111,189 111,969 108,023 Net income (loss) per share, basic and diluted $ (0.35) $ (5.85) $ 0.11 For the year ended December 31, 2016, there were 2,060 potential common shares of unvested stock options excluded from diluted loss per share and 3,003 potential common shares of unvested restricted stock awards and shares issuable upon the vesting of restricted stock units excluded from diluted loss per share, as the Company had a net loss for the year. For the year ended December 31, 2015, there were 1,117 potential common shares of unvested restricted stock awards and shares issuable upon the vesting of restricted stock units excluded from diluted loss per share, as the Company had a net loss for the year. |
Noncontrolling Interests
Noncontrolling Interests | 12 Months Ended |
Dec. 31, 2016 | |
Noncontrolling Interests [Abstract] | |
Noncontrolling Interests | Note 18 Noncontrolling Interests As of December 31, 2016 , the Company owned approximately 70% of the capital and voting rights of Robtec, a service bureau and distributor of 3D printing and scanning products. Robtec was acquired on November 25, 2014 . As of December 31, 2016 , the Company owned approximately 65% of the capital a nd voting rights of Easyway, a service bureau and distributor of 3D printing and scanning products in China. Easyway was acquired on April 2, 2015 . |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Measurements [Abstract] | |
Fair Value Measurements | Note 19 Fair Value Measurements ASC 820, “ Fair Value Measurements and Disclosures ,” defines fair value 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 on the measurement date. ASC 820 also establishes a fair value hierarchy that requires an entity to maximize the use of observable inputs that may be used to measure fair value: Level 1 - Quoted prices in active markets for identical assets or liabilities; Level 2 - Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; or Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. For the Company, the above standard applies to cash equivalents and earnout consideration. The Company utilizes the market approach to measure fair value for its financial assets and liabilities. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets or liabilities : Fair Value Measurements as of December 31, 2016 (in thousands) Level 1 Level 2 Level 3 Total Description Cash equivalents (a) $ 25,206 $ — $ — $ 25,206 Earnout consideration (b) $ — $ — $ 10,806 $ 10,806 Fair Value Measurements as of December 31, 2015 (in thousands) Level 1 Level 2 Level 3 Total Description Cash equivalents (a) $ 26,648 $ — $ — $ 26,648 Earnout consideration (b) $ — $ — $ 9,673 $ 9,673 (a) Cash equivalents include funds held in money market instruments and are reported at their current carrying value, which approximates fair value due to the short-term nature of these instruments and are included in cash and cash equivalents in the consolidated balance sheet . (b) The fair value of the earnout consideration, which is based on the present value of the expected future payments to be made to the sellers of the acquired businesses, was derived by analyzing the future performance of the acquired businesses using the earnout formula and performance targets specified in each purchase agreement and adjusting those amounts to reflect the ability of the acquired entities to achieve the stated targets. Given the significance of the unobservable inputs, the valuations are classified in Level 3 of the fair value hierarchy . The change in earnout consideration from December 31, 2015 to December 31, 2016 reflects a $54 adjustment to the expected payment and $1,079 of accret ion . The Company did not have any transfers of assets and liabilities between l evel s of the fair value measurement hierarchy during the quarter or year ended December 31, 2016 . In addition to the assets and liabilities included in the above table, certain of our assets and liabilities are to be initially measured at fair value on a non-recurring basis. This includes goodwill and other intangible asset s measured at fair value for impairment assessment. For further discussion on the valuation techniques and inputs used in the fair value measurement of goodwill and other intangible assets, see Notes 2, 6 and 7. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2016 | |
Income Taxes [Abstract] | |
Income Taxes | Note 20 Income Taxes The components of the Company’s income before income taxes are as follows: (in thousands) 2016 2015 2014 Income before income taxes: Domestic $ (53,868) $ (580,720) $ 5,751 Foreign 14,056 (74,233) 11,636 Total $ (39,812) $ (654,953) $ 17,387 The components of income tax provision for the years ended December 31, 2016 , 2015 and 2014 are as follows: 2016 2015 2014 Current: U.S. federal $ (2,110) $ 10,753 $ 23,336 State 30 169 72 Foreign 8,099 925 6,588 Total 6,019 11,847 29,996 Deferred: U.S. federal (1,245) (5,252) (21,624) State — (225) (87) Foreign (5,321) 2,602 (2,844) Total (6,566) (2,875) (24,555) Total income tax (benefit) provision $ (547) $ 8,972 $ 5,441 The overall effective tax rate differs from the statutory federal tax rate for the years ended December 31, 2016 , 2015 and 2014 as follows: % of Pretax Income 2016 2015 2014 Tax provision based on the federal statutory rate 35.0 % 35.0 % 35.0 % Nondeductible expenses (1.1) (0.1) 12.5 Foreign exchange loss 9.4 — — Uncertain tax positions (25.1) (0.5) 11.2 Deemed income related to foreign operations (8.4) (0.6) 8.1 Return to provision adjustments — foreign tax credit 8.4 (0.7) 2.5 Return to provision adjustments — research and development credit 4.0 — — Return to provision adjustments — non-consolidated U.S. entities 6.4 — — Impairment of definite lived intangibles 3.1 — — Foreign income tax rate differential 3.1 (2.0) 0.5 State taxes, net of federal benefit, before valuation allowance 3.9 0.9 0.3 Increase in valuation allowances (58.5) (16.4) — Impairment of goodwill with no tax basis — (16.8) — Foreign tax credits related to above 6.5 0.2 (6.3) Deferred tax adjustment — deferred revenue 7.6 — — Deferred tax adjustment — state tax credits 1.4 — — Deferred tax adjustments — other 4.0 — — Domestic production activities deduction — — (12.0) Research credits — — (21.9) Other 1.7 (0.4) 1.4 Effective tax rate 1.4 % (1.4) % 31.3 % The difference between the Compa ny’s effective tax rate for 2016 and the federal statutory rate was 33.6 percentage points. The difference in the effective rate is due primarily to the change in valuation allowance that was recorded during the year, as well as the Company’s foreign income inclusions, return to provision adjustments and lower foreign statutory rates. The difference between the Company’s effective tax rate for 2015 and the federal statutory rate was 36. 4 percentage points. The Company recorded nondeductible expenses, including non-deductible goodwill impairment charges and a valuation allowance in the U.S. and certain foreign jurisdicti ons, which contributed to a difference in the effective tax rate. The difference between the Company’s effective tax rate for 2014 and the federal statutory rate was 3.7 percentage points. The Company incurred nondeductible expenses and recognized income for tax purposes, net of tax credits, not included in financial statement income, increasing the effective tax rate. The Company is benefiting from the U.S. domestic production activities deduction and from research credits, reducing the effective tax rate. In 2016, there were no changes to the Company’s valuation allowance assertions . During the fourth quarter of 2015, based upon the Company’s review of results of operations and forecast estimates in connection with the assessment of deferred tax benefits, the Company determined that it is more likely than not that the deferred tax assets in the US and certain foreign jurisdictions will not be realized. In 2014, the Company had no valuation allowance against net deferred income tax assets . The components of the Company’s net deferred income tax assets and net deferred income tax liabilities at December 31, 2016 and 2015 are as follows: (in thousands) 2016 2015 Deferred income tax assets: Intangibles $ 40,014 $ 46,293 Stock options and restricted stock awards 14,384 22,010 Reserves and allowances 20,022 18,738 Net operating loss carryforwards 29,398 16,796 Tax credit carryforwards 13,571 8,610 Accrued liabilities 5,330 4,943 Deferred revenue 3,502 405 Valuation allowance (109,913) (107,312) Total deferred income tax assets 16,308 10,483 Deferred income tax liabilities: Intangibles 16,968 22,676 Property, plant and equipment 8,818 3,851 Total deferred income tax liabilities 25,786 26,527 Net deferred income tax liabilities $ (9,478) $ (16,044) At December 31, 2016, $29,398 of the Company’s deferred income t ax assets was attributable to $148,199 of gross operating loss carryforw ards, which consisted of $50,587 loss carryforwards for U.S. fede ral income tax purposes, $78,274 of loss carryforwards for U.S. state income tax purposes and $19,338 of loss carryforwards for foreign income tax purposes. At December 31, 2015 , $16,796 of the Company’s deferred income tax assets was attributable to $85,609 of gross net operating loss carryforwards, which consisted of $33,606 loss carryforwards for U.S. federal income tax purposes, $34,492 of loss carryforwards for U.S. state income tax purposes and $17,511 of loss carryforwards for foreign income tax purposes. The net operating loss carryforwards for U.S. federal income tax purposes begin to expire in 2022 . The net operating loss carryforwards for U.S. state income tax purposes begin to expire in 2017 . In addition, certain loss carryforwards for foreign income tax purposes begin to expire in 2018 and certain other loss carryforwards for foreign purposes do not expire . At December 31, 2016 , tax credit carryforwards included in the Company’s deferred incom e tax assets consisted of $2,544 of research and experimentation credit carryforwards for U.S. federal income tax purposes , $2,649 of research and experimentation tax credit carryforwards for U.S. state income tax purposes , $7,155 of foreign tax credits for U.S. fede ral income tax purposes, $474 of other U.S. federal tax credits, $149 of research and experimentation tax credit carryforwards for fore ign income tax purposes and $600 of other state tax credits. Certain state research and experimentation credits begin to expire in 2017; other state credits begin to expire in 2024 . The Company recorded a valuation allowance related to the U.S. federal and state tax credits. At December 31, 2015 , tax credit carryforwards included in the Company’s deferred income tax assets consisted of $2,544 of research and experimentation credit carryforwards for U.S. federal income tax purposes, $2,082 of research and experimentation tax credit carryforwards for U.S. s tate income tax purposes, $2,740 of foreign tax credits for U.S. federal income tax purposes, $474 of other U.S. federal tax credits, $155 of research and experimentation tax credit carryforwards for foreign income tax purposes and $615 of other state tax credits. The state research and experimentation credits do not expire; the other state credits begin to expire in 2017 . The Company recorded a valuation allowance related to the U.S. federal and state tax credits . During 2016, the Company decreased its deferred tax asset in the amount of approximately $17, 8 49 with the offset to other compreh ensive loss . Additionally, a decrease in the Company's valuation allowance of approximately $17,849 was allocated to accumulated other comprehensive loss in the consolidated balance sheets. The Company has not provided for any taxes on approximately $38,545 of unremitted earnings of its foreign subsidiaries, as the Company intends to permanently reinvest all s uch earnings outside the U.S. The Company believe s a calculation of the deferred tax liability associated with these undistributed earnings is impracticable . Including interest and penalties, the Company increased its unrecognized benefits by $10,077 and $6,451 for the years ended December 31, 2016 and 2015, respectively . The Company does not anticipate any additional unrecognized tax benefits during the next 12 months that would result in a material change to its consolidated financial position . The Company includes interest and penalties in the Consolidated Financial Statements as a c omponent of income tax expense. Unrecognized Tax Benefits (in thousands) 2016 2015 2014 Balance at January 1 $ (8,296) $ (1,845) $ (16) Increases related to prior year tax positions (2,658) — — Decreases related to prior year tax positions — 1,475 — Increases related to current year tax positions (7,297) (7,926) (1,829) Decreases related to current year tax positions — — — Decreases in unrecognized liability due to settlements with foreign tax authorities — — — Balance at December 31 $ (18,251) $ (8,296) $ (1,845) Tax years 2003 through 2015 remain subject to examination by the U.S. Internal Revenue Service, with most of the years open to examination due to the generation and utilization of net operating losses. The Company files income tax returns (which are open to examination beginning in the year shown in parentheses) in Australia ( 2012 ), Belgium ( 2013 ), Brazil ( 2011 ), China ( 2013 ), France ( 2013 ), Germany ( 2012 ), India ( 2013 ), Israel ( 2012 ), Italy ( 2011 ), Japan ( 2011 ), Korea ( 2011 ), Mexico ( 2011 ), Netherlands ( 2011 ), Switzerland ( 2011 ), the United Kingdom ( 2015 ) and Uruguay ( 2011 ). |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2016 | |
Segment Information [Abstract] | |
Segment Information | Note 21 Segment Information The Company operates in one reportable business segment. The Company conducts its business through various offices and facilities located throughout the APAC region (Australia, China, India, Japan and Korea), Europe (Belgium, France, Germany, Italy, the Netherlands, Switzerland and the United Kingdom), Israel, Latin America (Brazil, Mexico and Uruguay), Russia and the United States. The Company has historically disclosed summarized financial information for the geographic areas of operations as if they were segments in accordance with ASC 280, “ Segment Reporting .” Financial information concerning the Company’s geographical locations is based on the location of the selling entity. Such summarized financial information concerning the Company’s geographical operations is shown in the following tables : (in thousands) 2016 2015 2014 Revenue from unaffiliated customers: Americas $ 340,885 $ 357,976 $ 333,925 Germany 78,979 82,872 87,021 Other EMEA 114,162 117,232 109,066 Asia Pacific 98,939 108,083 123,640 Total revenue $ 632,965 $ 666,163 $ 653,652 (in thousands) 2016 2015 2014 Revenue by class of product and service: Products $ 223,544 $ 257,379 $ 283,339 Materials 156,839 150,740 158,859 Services 252,582 258,044 211,454 Total revenue $ 632,965 $ 666,163 $ 653,652 Year Ended December 31, 2016 Intercompany Sales to (in thousands) Americas Germany Other EMEA Asia Pacific Total Americas $ 3,013 $ 28,881 $ 10,958 $ 21,639 $ 64,491 Germany 4,123 — 3,850 166 8,139 Other EMEA 61,086 3,365 5,071 5,925 75,447 Asia Pacific 3,046 — 369 3,959 7,374 Total $ 71,268 $ 32,246 $ 20,248 $ 31,689 $ 155,451 Year Ended December 31, 2015 Intercompany Sales to (in thousands) Americas Germany Other EMEA Asia Pacific Total Americas $ 3,073 $ 36,552 $ 17,133 $ 17,602 $ 74,360 Germany 70 — 6,149 125 6,344 Other EMEA 58,419 4,232 3,494 6,047 72,192 Asia Pacific 3,027 4 79 3,585 6,695 Total $ 64,589 $ 40,788 $ 26,855 $ 27,359 $ 159,591 Year Ended December 31, 2014 Intercompany Sales to (in thousands) Americas Germany Other EMEA Asia Pacific Total Americas $ 201 $ 43,841 $ 20,581 $ 14,433 $ 79,056 Germany 3,217 — 6,742 8 9,967 Other EMEA 42,622 3,115 2,066 2,739 50,542 Asia Pacific 2,283 — — 2,774 5,057 Total $ 48,323 $ 46,956 $ 29,389 $ 19,954 $ 144,622 (in thousands) 2016 2015 2014 Income (loss) from operations: Americas $ (53,725) $ (596,283) $ (24,663) Germany 8,032 5,271 2,749 Other EMEA (9,645) (76,472) 9,181 Asia Pacific 19,591 27,432 40,131 Subtotal (35,747) (640,052) 27,398 Inter-segment elimination (2,673) (1,872) (1,083) Total $ (38,420) $ (641,924) $ 26,315 (in thousands) 2016 2015 2014 Depreciation and amortization: Americas $ 25,892 $ 43,613 $ 38,876 Germany 881 1,011 1,075 Other EMEA 29,065 33,585 11,427 Asia Pacific 4,697 4,860 3,810 Total $ 60,535 $ 83,069 $ 55,188 (in thousands) 2016 2015 2014 Capital expenditures: Americas $ 8,172 $ 14,062 $ 18,187 Germany 307 613 235 Other EMEA 5,640 6,856 3,680 Asia Pacific 2,448 868 625 Total $ 16,567 $ 22,399 $ 22,727 At December 31, (in thousands) 2016 2015 2014 Assets: Americas $ 345,412 $ 382,738 $ 1,018,113 Germany 40,547 36,782 47,524 Other EMEA 341,616 369,302 384,830 Asia Pacific 121,578 103,137 79,843 Total $ 849,153 $ 891,959 $ 1,530,310 At December 31, (in thousands) 2016 2015 2014 Cash and cash equivalents: Americas $ 105,750 $ 98,913 $ 245,219 Germany 8,885 3,901 6,640 Other EMEA 35,992 30,487 15,556 Asia Pacific 34,320 22,342 17,447 Total $ 184,947 $ 155,643 $ 284,862 At December 31, (in thousands) 2016 2015 2014 Long-lived assets: Americas $ 96,016 $ 113,364 $ 570,049 Germany 14,757 14,088 19,994 Other EMEA 247,786 271,892 312,384 Asia Pacific 57,644 60,148 47,193 Total $ 416,203 $ 459,492 $ 949,620 |
Commitments And Contingencies
Commitments And Contingencies | 12 Months Ended |
Dec. 31, 2016 | |
Commitments And Contingencies [Abstract] | |
Commitments And Contingencies | Note 22 Commitments and Contingencies Th e Company leases certain of its facilities and equipment under non-cancelable operating leases . See Note 12. As of December 31, 2016 , the Company has supply commitments for printer and other product assembli es that total ed $ 54,937 compared to $50,663 at December 31, 2015 . Certain of the Company’s acquisitions contain earnout provisions under which the sellers of the acquired businesses can earn additional amounts. The total liability recorded for these earnouts at December 31, 2016 was $ 10,806 . At December 31, 2015, in addition to earnout provisions, certain of the Company’s acquisitions also contained deferred purchase payment arrangements. The total liability recorded for these earnouts and deferred purchase payment arrangements totaled $9,832 at December 31, 2015 . Put Options The minority interest shareholders of a certain subsidiary have the right in certain circumstances to require the Company to acquire either a portion of or all of the remaining ownership interests held by them. The owners’ ability to exercise any such “put option” right is subject to the satisfaction of certain conditions, including conditions requiring notice in advance of exercise. In addition, these rights cannot be exercised prior to a specified exercise date. The exercise of these rights at their earliest contractual date would result in obligations of the Company to fund the related amounts in 2019 . Management estimates, assuming that the subsidiary owned by the Company at December 31 , 2016 performs over the relevant future periods at its forecasted earnings levels, that these rights, if exercised, could require the Company, in future periods, to pay approximately $8,872 to the owners of such put rights that require the Company to acquire such ownership interests in the relevant subsidiary. This amount has been recorded as redeemable noncontrolling interests on the balance sheet as of December 31 , 2016 and 2015 . The ultimate amount payable relating to this transaction will vary because it is dependent on the future results of operations of the subject business . Indemnification In the normal course of business, the Company periodically enters into agreements to indemnify customers or suppliers against claims of intellectual property infringement made by third parties arising from the use of the Company’s products. Historically, costs related to these indemnification provisions have not been significant, and the Company is unable to estimate the maximum potential impact of these indemnification provisions on its future results of operations . To the extent permitted under Delaware law, the Company indemnifies its directors and officers for certain events or occurrences while the director or officer is, or was, serving at the Company’s request in such capacity, subject to limited exceptions. The maximum potential amount of future payments the Company could be required to make under these indemnification obligations is unlimited; however, the Company has directors and officers insurance coverage that may enable the Company to recover future amounts paid, subject to a deductible and the policy limits. There is no assurance that the policy limits will be sufficient to cover all damages, if any . Litigation Securities and Derivative Litigation The Company and certain of its former executive officers have been named as defendants in a consolidated putative stockholder class action lawsuit pending in the United States District Court for the District of South Carolina. The consolidated action is styled KBC Asset Management NV v. 3D Systems Corporation, et al. , Case No. 0:15-cv-02393-MGL. The Amended Consolidated Complaint (the “Complaint”), which was filed on December 9, 2015, alleges that defendants violated the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and Rule 10b-5 promulgated thereunder by making false and misleading statements and omissions and that the former officers are control persons under Section 20(a) of the Exchange Act. The Complaint was filed on behalf of stockholders who purchased shares of the Company’s common stock between October 29, 2013, and May 5, 2015 and seeks monetary damages on behalf of the purported class. Defendants filed a motion to dismiss the Complaint in its entirety on January 14, 2016, which was denied by Memorandum Opinion and Order dated July 25, 2016 (the “Order”). Defendants filed a motion for reconsideration of the Order on August 4, 2016, which was denied by Order dated February 24, 2017 . Nine related derivative complaints have been filed by purported Company stockholders against certain of the Company’s former executive officers and members of its Board of Directors. The Company is named as a nominal defendant in all nine actions. The derivatives complaints are styled as follows: (1) Steyn v. Reichental, et al. , Case No. 2015-CP-46-2225, filed on July 27, 2015 in the Court of Common Pleas for the 16th Judicial Circuit, County of York, South Carolina (“Steyn”); (2) Piguing v. Reichental, et al. , Case No. 2015-CP-46-2396, filed on August 7, 2015 in the Court of Common Pleas for the 16th Judicial Circuit, County of York, South Carolina (“Piguing”); (3) Booth v. Reichental, et al. , Case No. 15-692-RGA, filed on August 6, 2015 in the United States District Court for the District of Delaware; (4) Nally v. Reichental, et al. , Case No. 15-cv-03756-MGL, filed on September 18, 2015 in the United States District Court for the District of South Carolina; (5) Gee v. Hull, et al. , Case No. BC-610319, filed on February 17, 2016 in the Superior Court for the State of California, County of Los Angeles (“Gee”); (6) Foster v. Reichental, et al. , Case No. 0:16-cv-01016-MGL, filed on April 1, 2016 in the United States District Court for the District of South Carolina; (7) Lu v. Hull, et al. , Case No. BC629730, filed on August 5, 2016 in the Superior Court for the State of California, County of Los Angeles (“Lu”); (8) Howes v. Reichental, et al. , Case No. 0:16-cv-2810-MGL, filed on August 11, 2016 in the United States District Court for the District of South Carolina; and (9) Ameduri v. Reichental, et al. , Case No. 0:16-cv-02995-MGL, filed on September 1, 2016 in the United States District Court for the District of South Carolina. Steyn and Piguing were consolidated into one action styled as In re 3D Systems Corp. Shareholder Derivative Litig. , Lead Case No. 2015-CP-46-2225 in the Court of Common Pleas for the 16th Judicial Circuit, County of York, South Carolina. Gee and Lu were consolidated into one action styled as Gee v. Hull, et al. , Case No. BC610319 in the Superior Court for the State of California, County of Los Angeles. The derivative complaints allege claims for breach of fiduciary duty, abuse of control, gross mismanagement, waste of corporate assets and unjust enrichment and seek, among other things, monetary damages and certain corporate governance actions. All of the derivative complaints listed above have been stayed until the earlier of the close of discovery or the deadline for appealing a dismissal in the KBC Asset Management NV securities class action. The Company believes the claims alleged in the putative securities class action and the derivative lawsuits are without merit and intends to defend the Company and its officers and directors vigorously. Ronald Barranco and Print3D Corporation v. 3D Systems Corporation, et. al. On August 23, 2013, Ronald Barranco, a former Company employee, filed two lawsuits against the Company and certain officers in the United States District Court for the District of Hawaii. The first lawsuit (“Barranco I”) is captioned Ronald Barranco and Print3D Corporation v. 3D Systems Corporation, 3D Systems, Inc., and Damon Gregoire , Case No. CV 13-411 LEK RLP, and alleges seven causes of action relating to the Company’s acquisition of Print3D Corporation (of which Mr. Barranco was a 50% shareholder) and the subsequent employment of Mr. Barranco by the Company. The second lawsuit (“Barranco II”) is captioned Ronald Barranco v. 3D Systems Corporation, 3D Systems, Inc., Abraham Reichental, and Damon Gregoire , Case No. CV 13-412 LEK RLP, and alleges the same seven causes of action relating to the Company’s acquisition of certain website domains from Mr. Barranco and the subsequent employment of Mr. Barranco by the Company. Both Barranco I and Barranco II allege the Company breached certain purchase agreements in order to avoid paying Mr. Barranco additional monies pursuant to royalty and earn out provisions in the agreements. The Company and its officers timely filed responsive pleadings on October 22, 2013 seeking, inter alia , to dismiss Barranco I due to a mandatory arbitration agreement and for lack of personal jurisdiction and to dismiss Barranco II for lack of personal jurisdiction. With regard to Barranco I, the Hawaii district court, on February 28, 2014, denied the Company’s motion to dismiss and its motion to transfer venue to South Carolina for the convenience of the parties. However, the Hawaii court recognized that the plaintiff’s claims are all subject to mandatory and binding arbitration in Charlotte, North Carolina. Because the Hawaii court was without authority to compel arbitration outside of Hawaii, the court ordered that the case be transferred to the district court encompassing Charlotte (the United States District Court for the Western District of North Carolina) so that court could compel arbitration in Charlotte. On April 17, 2014, Barranco I was transferred in to the Western District of North Carolina. Plaintiff filed a demand for arbitration on October 29, 2014. On December 9, 2014, the Company filed its answer to plaintiff’s demand for arbitration. On February 2, 2015, plaintiff filed an amended demand that removed Mr. Gregoire as a defendant from the matter, and on February 4, 2015 the Company filed its amended answer. The parties selected an arbitrator and arbitration took place in June 2015 in Charlotte, North Carolina. On September 28, 2015, the arbitrator issued a final award in favor of Mr. Barranco with respect to two alleged breaches of contract and implied covenants arising out of the contract. The arbitrator found that the Company did not commit fraud or make any negligent misrepresentations to Mr. Barranco. Pursuant to the award, the Company is to pay approximately $11,282 , which includes alleged actual damages of $7,254 , fees and expenses of $2,318 and prejudgment interest of $1,710 . The Company disagrees with the single arbitrator’s findings and conclusions and believes the arbitrator’s decision exceeds his authority and disregards the applicable law. As an initial response, the Company filed a motion for modification on September 30, 2015, based on mathematical errors in the computation of damages and fees. On October 16, 2015, the arbitrator issued an order denying the Company’s motion and sua sponte issuing a modified final award in favor of Mr. Barranco in the same above-referenced amounts, but making certain substantive changes to the award, which changes the Company believes were improper and outside the scope of his authority and the American Arbitration Association rules. On November 20, 2015, the Company filed a motion to vacate the arbitration award in the federal court in the Western District of North Carolina. Claimants also filed a motion to confirm the arbitration award. A hearing was held on the motions on June 29, 2016 in federal court in the Western District of North Carolina. The court requested supplemental briefing by the parties, which briefs were filed on July 11, 2016. On August 31, 2016, the court issued an Order granting in part and denying in part Plaintiff’s motion to confirm the arbitration award and for judgment, entering judgment in the principal amount of the arbitration award and denying Plaintiff’s motion for fees and costs. The court denied the Company’s motion to vacate. On September 7, 2016, Plaintiff filed a motion to amend the judgment to include prejudgment interest. The Company opposed that motion and the parties submitted briefing, which is currently pending before the court. On September 28, 2016 the Company filed a motion to alter or amend the judgment. Plaintiff opposed the motion and the parties submitted briefing, which is currently pending before the court. Notwithstanding the Company’s right to appeal, given the arbitrator’s decision, the Company recorded an $11,282 expense provision for this matter in the quarter ended September 30, 2015. The provision is subject to adjustment based on the ultimate outcome of the Company’s appeal. If it is ultimately determined that money is owed following the full appellate process in federal court, the Company intends to fund any amounts to be paid from cash on hand. This amount has been classified as a long-term liability given the customary timeline of an appeals process. The Company will review this classification periodically. With regard to Barranco II, the Hawaii district court, on March 17, 2014, denied the Company’s motion to dismiss and its motion to transfer venue to South Carolina. However, the Hawaii court dismissed Count II in plaintiff’s complaint alleging breach of the employment agreement. The Company filed an answer to the complaint in the Hawaii district court on March 31, 2014. On November 19, 2014, the Company filed a motion for summary judgment on all claims which was heard on January 20, 2015. On January 30, 2015, the court entered an order granting in part and denying in Part the Company’s motion for summary judgment. The Order narrowed the plaintiff’s claim for breach of contract and dismissed the plaintiff’s claims for fraud and negligent misrepresentation. As a result, Messrs. Reichental and Gregoire were dismissed from the lawsuit. The case was tried to a jury in May 2016, and on May 27, 2016 the jury found that the Company was not liable for either breach of contract or breach of the implied covenant of good faith and fair dealing. Additionally, the jury found in favor of the Company on its counterclaim against Mr. Barranco and determined that Mr. Barranco violated his non-competition covenant with the Company. The Court is expected to order an accounting with respect to the counterclaim. The Company is involved in various other legal matters incidental to its business. Although the Company cannot predict the results of litigation with certainty, the Company believes that the disposition of these legal matters will not have a material adverse effect on its consolidated results of operations or consolidated financial position . |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Note 23 Accumulated Other Comprehensive Income (Loss) The changes in the balances of accumulated other comprehensive income (loss) by component are as follows: (in thousands) Foreign currency translation adjustment Liquidation of non-US entity Defined benefit pension plan Total Balance at December 31, 2014 $ (22,195) $ — $ (2,211) $ (24,406) Other comprehensive income (loss) (15,480) — 338 (15,142) Balance at December 31, 2015 (37,675) — (1,873) (39,548) Other comprehensive income (loss) (13,063) 288 (902) (13,677) Balance at December 31, 2016 $ (50,738) $ 288 $ (2,775) $ (53,225) The amounts presented above a re in other comprehensive loss and are net of taxes. For additional information about foreign currency translation, see Note 10. For additional information about the pension plan, see Note 15. |
Selected Quarterly Financial Da
Selected Quarterly Financial Data | 12 Months Ended |
Dec. 31, 2016 | |
Selected Quarterly Financial Data [Abstract] | |
Selected Quarterly Financial Data (Unaudited) | Note 24 Selected Quarterly Financial Data (unaudited) The following tables set forth unaudited selected quarterly financial data: 2016 Quarter Ended (in thousands, except per share amounts) December 31 September 30 June 30 March 31 Consolidated revenue $ 165,937 $ 156,362 $ 158,111 $ 152,555 Gross profit 82,890 68,937 80,411 77,513 Total operating expenses 78,817 90,954 84,128 94,272 Income (loss) from operations 4,073 (22,017) (3,717) (16,759) Provision (benefit) for income taxes (1,212) (2,214) 1,700 1,179 Net income (loss) attributable to 3D Systems 5,230 (21,213) (4,648) (17,788) Basic and diluted net income (loss) per share $ 0.05 $ (0.19) $ (0.04) $ (0.16) 2015 Quarter Ended (in thousands, except per share amounts) December 31 September 30 June 30 March 31 Consolidated revenue $ 183,363 $ 151,574 $ 170,504 $ 160,722 Gross profit 60,160 71,038 81,627 78,984 Total operating expenses 626,081 105,675 105,469 96,508 Loss from operations (a) (565,921) (34,637) (23,842) (17,524) Provision (benefit) for income taxes 29,535 (3,524) (10,096) (6,943) Net loss attributable to 3D Systems (596,366) (32,249) (13,696) (13,181) Basic and diluted net loss per share $ (5.32) $ (0.29) $ (0.12) $ (0.12) 2014 Quarter Ended (in thousands, except per share amounts) December 31 September 30 June 30 March 31 Consolidated revenue $ 187,438 $ 166,944 $ 151,512 $ 147,758 Gross profit 89,766 79,798 72,398 75,472 Total operating expenses 85,538 71,590 68,036 65,955 Income from operations 4,228 8,208 4,362 9,517 Provision for income taxes 75 1,113 694 3,559 Net income attributable to 3D Systems 1,551 3,084 2,125 4,877 Basic and diluted net income per share $ 0.01 $ 0.03 $ 0.02 $ 0.05 (a) For the quarter ended December 31, 2015 , loss from operations includes $ 443,659 of impairment charges related to goodwill and $93,520 of impairment charges related to other intangible assets. In addition, the Company recognized cash and non-cash charges related to the end of life of the Cube printer and shift from consumer products and services, which totaled $ 8,771 and $18,619 , respectively. See Notes 2, 4, 6 and 7 to the Consolidated Financial Statements. The sum of per share amounts for each of the quarterly periods presented does not necessarily equal the total presented for the year because each quarterly amount is independently calculated at the end of each period based on the net income (loss) available to common stockholders for such period and the weighted average shares of outstanding common stock for such period. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2016 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 25 Subsequent Events On January 31, 2017, the Company acquired 100 percent of the shares of Vertex-Global Holding B.V., a provider of dental materials worldwide under the Vertex and NextDent brands . The fair value of the consideration paid for this acquisition, net of cash acquired, was approximately $37,562 , of which approximately $34,342 was paid in cash and approximately $3,220 was paid in shares of the Company’s common stock. Vertex Dental and NextDent are manufacturers of photopolymer, thermoplastic, polymer and monomer materials for traditional and 3D printing dental applications. NextDent has developed 12 dental 3D printing materials to date and has obtained regulatory approval for use of these materials in more than 70 countries worldwide. NextDent’s portfolio of 3D printing materials allow dental professionals to produce trays, models, drilling templates, dentures, orthodontic splints, crowns and bridges with enhanced speed, precision and efficiency and lower cost compared to conventional procedures. See Note 3 to the Consolidated Financial Statements. |
Valuation And Qualifying Accoun
Valuation And Qualifying Accounts | 12 Months Ended |
Dec. 31, 2016 | |
Valuation And Qualifying Accounts [Abstract] | |
Valuation And Qualifying Accounts | SCHEDULE II 3D Systems Corporation Valuation and Qualifying Accounts Years ended December 31, 2016 , 2015 and 2014 Year Ended Item Balance at beginning of year Additions charged to expense Other Balance at end of year 2016 Allowance for doubtful accounts $ 14,139 $ 1,552 $ (2,771) $ 12,920 2015 Allowance for doubtful accounts 10,300 3,766 73 14,139 2014 Allowance for doubtful accounts 8,133 8,699 (6,532) 10,300 2016 Deferred income tax asset valuation allowance $ 107,312 $ 20,450 $ (17,849) $ 109,913 2015 Deferred income tax asset valuation allowance — 107,312 — 107,312 2014 Deferred income tax asset valuation allowance — — — — |
Significant Accounting Polici34
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Significant Accounting Policies [Abstract] | |
Use Of Estimates | Use of Estimates The Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States. The preparation of these financial statements requires the Company to make estimates and judgments that affect the reported amounts of assets, liabilities, revenue and expenses and related disclosure of contingent assets and liabilities. On an ongoing basis, the Company evaluates its estimates, including, among others, those related to the allowance for doubtful accounts, income taxes, inventory reserves, goodwill, other intangible assets and contingencies. The Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates. |
Revenue Recognition | Revenue Recognition Net revenue is derived primarily from the sale of products and services. The following revenue recognition policies define the manner in which the Company accounts for sales transactions. The Company recognizes revenue when persuasive evidence of a sale arrangement exists, delivery has occurred or services are rendered, the sales price or fee is fixed or determinable and collectability is reasonably assured. Revenue generally is recognized net of allowances for returns and any taxes collected from customers and subsequently remitted to governmental authorities. The Company sells its products through its direct sales force and through authorized reseller partners. The Company recognizes revenue on sales to reseller partners at the time of sale when the partner has economic substance apart from Company, and the Company has completed its obligations related to the sale. The Company enters into sales arrangements that may provide for multiple deliverables to a customer. Sales of printers may include ancillary equipment, print materials, a warranty on the equipment, training and installation. The Company identifies all goods and/or services that are to be delivered separately under a sales arrangement and allocates revenue to each deliverable based on either vendor-specific objective evidence (“VSOE”) or if VSOE is not determinable then the Company uses best estimated selling price (“BESP”) of each deliverable. The Company established VSOE of selling price using the price charged for a deliverable when sold separately. The objective of BESP is to determine the price at which the Company would transact a sale if the deliverable was sold regularly on a stand-alone basis. The Company considers multiple factors including, but not limited to, market conditions, geographies, competitive landscapes, and entity-specific factors such as internal costs, gross margin objectives and pricing practices when estimating BESP. Consideration in a multiple element arrangement is then allocated to the elements on a relative sales value basis using either VSOE or BESP for all the elements. The Company also evaluates the impact of undelivered items on the functionality of delivered items for each sales transaction and, where appropriate, defers revenue on delivered items when that functionality has been affected. Functionality is determined to be met if the delivered products or services represent a separate earnings process. Hardware Under the Company’s standard terms and conditions of sale, title and risk of loss transfer to the customer at the time product is shipped to the customer and revenue is recognized accordingly, unless customer acceptance is uncertain or significant obligations remain. The Company defers the estimated revenue associated with post-sale obligations that are not essential to the functionality of the delivered items, and recognizes revenue in the future as the conditions for revenue recognition are met. Software The Company also markets and sells software tools that enable our customers to capture and customize content using our printers, as well as reverse engineering and inspection software. The software does not require significant modification or customization. The Company applies the guidance in ASC 985-605, Software-Revenue Recognition in recognizing revenue when software is more than incidental to the product or service as a whole based on fair value using vendor-specific objective evidence. Revenue from perpetual software licenses is recognized either upon delivery of the product or delivery of a key code which allows the customer to access the software. In instances where software access is provided for a trial period, revenue is not recognized until the customer has purchased the software at the expiration of the trial period. The Company uses the residual method to allocate revenue to software licenses at the inception of the license term when VSOE of fair value for all undelivered elements, such as maintenance, exists and all other revenue recognition criteria have been satisfied. In instances in which customers purchase post sale support, it is considered a separate element from the software and is deferred at the time of sale and subsequently amortized in future periods. The Company also sells equipment with embedded software to its customers. The embedded software is not sold separately, it is not a significant focus of the marketing effort and the Company does not provide post-contract customer support specific to the software or incur significant costs that are within the scope of ASC 985. Additionally, the functionality that the software provides is marketed as part of the overall product. The software embedded in the equipment is incidental to the equipment as a whole such that ASC 985 is not applicable. Sales of these products are recognized in accordance with ASC 605-25, “ Multiple-Element Arrangements .” Services Printers and certain other products include a warranty under which the Company provides maintenance for periods up to one year, as well as training, installation and non-contract maintenance services. The Company defers this portion of the revenue at the time of sale based on the relative fair value of these services. Deferred revenue is recognized ratably according to the term of the warranty. Costs associated with our obligations during the warranty period are expensed as incurred. After the initial warranty period, the Company offers these customers optional maintenance contracts. Deferred maintenance revenue is recognized ratably, on a straight-line basis, over the period of the contract, and costs associated with these contracts are recognized as incurred. Revenue from training, installation and non-contract maintenance services is recognized at the time of performance. On-demand parts and healthcare service sales are included within services revenue and revenue is recognized upon shipment or delivery of the parts, based on the terms of the sales arrangement. Terms of sale Shipping and handling costs billed to customers for equipment sales and sales of print materials are included in product revenue in the Consolidated Statements of Operations and Other Comprehensive Loss. Costs incurred by the Company associated with shipping and handling are included in product cost of sales in the Consolidated Statements of Operations and Other Comprehensive Loss. Credit is extended, and creditworthiness is determined, based on an evaluation of each customer’s financial condition. New customers are generally required to complete a credit application and provide references and bank information to facilitate an analysis of creditworthiness. Customers with a favorable profile may receive credit terms that differ from the Company’s general credit terms. Creditworthiness is considered, among other things, in evaluating the Company’s relationship with customers with past due balances. The Company’s terms of sale generally require payment within 30 to 60 days after shipment of a product, although the Company also recognizes that longer payment periods are customary in some countries where it transacts business. To reduce credit risk in connection with printer sales, the Company may, depending upon the circumstances, require significant deposits prior to shipment and may retain a security interest in a system sold until fully paid. In some circumstances, the Company may require payment in full for its products prior to shipment and may require international customers to furnish letters of credit. For maintenance services, the Company either bills customers on a time-and-materials basis or sells customers service agreements that are recorded as deferred revenue and provide for payment in advance on either an annual or other periodic basis. |
Cash And Cash Equivalents | Cash and Cash Equivalents Investments with original maturities of three months or less at the date of purchase are considered to be cash equivalents. The Company’s policy is to invest cash in excess of short-term operating and debt-service requirements in such cash equivalents. These instruments are stated at cost, which approximates market value because of the short maturity of the instruments. The Company places its cash with highly creditworthy financial institutions, corporations or governments, and believes its risk of loss is limited; however, at times, account balances may exceed international and U.S. federally insured limits. |
Investments | Investments Investments in non-consolidated affiliates ( 20 - 50 percent owned companies and joint ventures) are accounted for using the equity method. Investments through which we are not able to exercise significant influence over the investee and which we do not have readily determinable fair values are accounted for under the cost method. The Company assesses declines in the fair value of investments to determine whether such declines are other-than-temporary. This assessment is made considering all available evidence, including changes in general market conditions, specific industry and individual company data, the length of time and the extent to which the fair value has been less than cost, the financial condition and the near-term prospects of the entity issuing the security, and the Company’s ability and intent to hold the investment until recovery. Other-than-temporary impairments of investments are recorded to interest and other expense, net, on the Company’s Consolidated Statements of Operations and Other Comprehensive Loss in the period in which they become impaired. For the years ended December 31, 2016 and 2015, the Company recorded impairment charges of $ 1, 210 and $7,432 , respectively, related to certain minority investments of less than 20% ownership, for which we do not exercise significant influence. The aggregate carrying amount of all investments accounted for under the cost method totaled $ 9,116 and $10,687 at December 31, 2016 and 2015, respectively, and is included in other assets, net, on the Company’s Consolidated Balance Sheets. |
Allowance For Doubtful Accounts | Allowance for Doubtful Accounts In evaluating the collectability of accounts receivable, the Company assesses a number of factors, including specific customers’ ability to meet their financial obligations to us, the length of time receivables are past due and historical collection experience. Based on these assessments, the Company may record a reserve for specific customers, as well as a general reserve and allowance for returns and discounts. If circumstances related to specific customers change, or economic conditions deteriorate such that the Company’s past collection experience is no longer relevant, its estimate of the recoverability of accounts receivable could be further reduced from the levels provided for in the Consolidated Financial Statements. The Company evaluates specific accounts for which it believes a customer may have an inability to meet their financial obligations (for example, aging over 90 days past due or bankruptcy). In these cases, the Company uses judgment, based on available facts and circumstances, and records a specific reserve for that customer to reduce the receivable to an amount the Company expects to collect. These specific reserves are re-evaluated and adjusted as additional information is received that impacts the amount reserved. |
Inventories | Inventories Inventories are stated at the lower of cost or net realizable market value, cost being determined using the first-in, first-out method. Reserves for slow-moving and obsolete inventories are provided based on historical experience and current product demand. The Company evaluates the adequacy of these reserves quarterly. |
Property And Equipment | Property and Equipment Property and equipment are carried at cost and depreciated on a straight-line basis over the estimated useful lives of the related assets. Leasehold improvements are amortized on a straight-line basis over the shorter of (i) their estimated useful lives and (ii) the estimated or contractual lives of the leases. Realized gains and losses are recognized upon disposal or retirement of the related assets and are reflected in results of operations. Charges for repairs and maintenance are expensed as incurred. In accordance with ASC 360, “ Property, Plant and Equipment ,” the Company assesses potential impairments of property and equipment when events or changes in circumstances indicate that the carrying amount may not be fully recoverable. If required, an impairment loss is recognized as the difference between the carrying value and the fair value of the assets. |
Goodwill | Goodwill Goodwill reflects the excess of the consideration transferred plus the fair value of any non-controlling interest in the acquiree at the acquisition date over the fair values of the identifiable net assets acquired. Goodwill is not amortized but rather is tested for impairment annually, or whenever events or circumstances present an indication of impairment. Goodwill is an asset representing the future economic benefits arising from other assets acquired in a business combination that are not individually identified and separately recognized. The primary items that generate goodwill include the value of the synergies between the acquired companies and the Company and the acquired assembled workforce, neither of which qualifies for recognition as an identifiable intangible asset. The annual impairment testing required by ASC 350, “ Intangibles – Goodwill and Other ” requires the Company to use judgment and could require the Company to write down the carrying value of its goodwill in future periods. The Company allocates goodwill to its identifiable geographic reporting units, the Americas, EMEA and APAC regions, which are tested for impairment using a two-step process. The first step requires comparing the fair value of each reporting unit with the carrying amount, including goodwill. If that fair value exceeds the carrying amount, the second step of the process is not required to be performed, and no impairment charge is required to be recorded. If that fair value does not exceed that carrying amount, the Company must perform the second step, which requires an allocation of the fair value of the reporting unit to all assets and liabilities of that unit as if the reporting unit had been acquired in a purchase business combination and the fair value of the reporting unit was the purchase price. The goodwill resulting from that purchase price allocation is then compared to the carrying amount with any excess recorded as an impairment charge. The evaluation of goodwill impairment requires the Company to make assumptions about future cash flows of the reporting unit being evaluated that include, among others, growth in revenues, margins realized, level of operating expenses and cost of capital. These assumptions require significant judgement and actual results may differ from assumed and estimated amounts. Goodwill set forth on the Consolidated Balance Sheet as of December 31, 2016 arose from acquisitions carried out from 2009 to 2015 and in years prior to December 31, 2007. Goodwill arising from acquisitions prior to 2007 was allocated to geographic reporting units based on the percentage of SLS printers then installed by geographic area. Goodwill arising from acquisitions in 2009 to 2015 was allocated to geographic reporting units based on geographic dispersion of the acquired companies’ sales or capitalization at the time of their acquisition. The Company conducted its annual impairment testing for the year ended December 31, 2016 in the fourth quarter of 2016. There was no goodwill impairment for the year ended December 31, 2016. The Company conducted its annual impairment testing for the year ended December 31, 2015 in the fourth quarter of 2015. The results of the Company’s first step of annual impairment testing indicated the carrying amount of goodwill assigned to the Americas and EMEA reporting units exceeded fair value and that the carrying amount of goodwill assigned to APAC did not exceed fair value. Based on these results, management completed the second step of annual impairment testing for the Americas and EMEA reporting units. Management determined that the fair value of goodwill assigned to the Americas was zero , resulting in a non-cash, non-tax deductible impairment charge of $382,271 . Management determined that the carrying amount of the goodwill assigned to EMEA exceeded fair value by approximately 29% , resulting in a non-cash, non-tax deductible goodwill impairment charge of $ 61,388 . See Note 7. There was no goodwill impairment for the year ended December 31, 2014. The Company will monitor its reporting units in an effort to determine whether events and circumstances warrant further interim impairment testing. The Company could be required to write off or write down additional amounts in the future in the event of deterioration in future performance, sustained slower growth or other circumstances. |
Other Intangible Assets | Other Intangible Assets Intangible assets other than goodwill primarily represent acquired intangible assets including licenses, patent costs, acquired technology, internally developed technology, customer relationships, non-compete agreements, trade names and trademarks. Intangible assets with finite lives are amortized using the straight-line method over their estimated useful life, which is determined by identifying the period over which most of the cash flows are expected to be generated. Amortization of license and patent costs is included in cost of sales, research and development expenses and selling, general and administrative expenses, depending upon the nature and use of the technology . Amortization of trade names, customer relationships and non-compete agreements are recorded in selling, general and administrative expenses. For intangibles with finite lives, the Company reviews the carrying amounts for potential impairment when events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Examples of such a change in circumstances include a significant decrease in selling price, a significant adverse change in the extent or manner in which an asset is being used, or a significant adverse change in the legal or business climate. In evaluating recoverability, the Company groups assets and liabilities at the lowest level such that the identifiable cash flows relating to the group are largely independent of the cash flows of other assets and liabilities. The Company then compares the carrying amounts of the assets or asset groups with the related estimated undiscounted future cash flows. In the event impairment exists, an impairment charge is recorded as the amount by which the carrying amount of the asset or asset group exceeds the fair value. Fair value is determined by reference to estimated selling values of assets in similar condition or by using a discounted cash flow model. In addition, the remaining amortization period for the impaired asset would be reassessed and, if necessary, revised. No impairment charges for intangible assets with finite lives were recorded for the year ended December 31, 2016. For the year ended December 31, 2015, the Company recorded non-cash impairment charges of $ 93,520 arising from the Company’s other intangible assets impairment testing. No impairment charges were recorded by the Company for the year ended December 31, 2014. |
Redeemable Noncontrolling Interest | Redeemable Noncontrolling Interests The minority interest shareholders of a certain subsidiary have the right in certain circumstances to require the Company to acquire either a portion of or all of the remaining ownership interests held by them. The owners’ ability to exercise any such “put option” right is subject to the satisfaction of certain conditions, including conditions requiring notice in advance of exercise. In addition, these rights cannot be exercised prior to a specified exercise date. The exercise of these rights at their earliest contractual date would result in obligations of the Company to fund the related amounts in 2019. See Note 22. The Company has recorded the put option as mezzanine equity at their current estimated redemption amount. The Company accrues changes in the redemption amounts over the period from the date of issuance to the earliest redemption date of the put option. For the year ended December 31, 2016, there has been no change to redeemable noncontrolling interests. Changes in the estimated redemption amounts of the put options are adjusted at each reporting period with a corresponding adjustment to equity. The following table presents changes in Redeemable Noncontrolling Interests: (in thousands) 2016 2015 Beginning balance – January 1 $ 8,872 $ 8,872 Changes in redemption value — — Ending balance – December 31 $ 8,872 $ 8,872 |
Contingencies | Contingencies The Company follows the provisions of ASC 450, “ Contingencies ,” which requires that an estimated loss from a loss contingency be accrued by a charge to income if it is both probable that an asset has been impaired or that a liability has been incurred and that the amount of the loss can be reasonably estimated. |
Foreign Currency Translation | Foreign Currency Translation The Company transacts business globally and is subject to risks associated with fluctuating foreign exchange rates. The Company’s consolidated revenue that is derived from sales outside the U.S. is generated primarily from sales of subsidiaries operating outside the U.S. in their respective countries and surrounding geographic areas. This revenue is primarily denominated in each subsidiary’s local functional currency, although certain sales are denominated in other currencies. These subsidiaries incur most of their expenses (other than intercompany expenses) in their local functional currencies. These currencies include Australian Dollars, Brazilian Real, British Pounds, Chinese Yuan, Euros, Indian Rupee, Israeli Shekel, Japanese Yen, Mexican Pesos, Swiss Francs, South Korean Won and Uruguayan Pesos. The geographic areas outside the U.S. in which the Company operates are generally not considered to be highly inflationary. Nonetheless, these foreign operations are sensitive to fluctuations in currency exchange rates arising from, among other things, certain intercompany transactions that are generally denominated in U.S. dollars rather than their respective functional currencies. The Company’s operating results, assets and liabilities are subject to the effect of foreign currency translation when the operating results and the assets and liabilities of the Company’s foreign subsidiaries are translated into U.S. dollars in the Company’s Consolidated Financial Statements. The assets and liabilities of the Company’s foreign subsidiaries are translated from their respective functional currencies into U.S. dollars based on the translation rate in effect at the end of the related reporting period. The operating results of the Company’s foreign subsidiaries are translated to U.S. dollars based on the average conversion rate for the related period. Gains and losses resulting from these conversions are recorded in accumulated other comprehensive loss in the consolidated balance sheets. Gains and losses resulting from foreign currency transactions (transactions denominated in a currency other than the functional currency of the Company or a subsidiary) are included in the consolidated statements of operations and other comprehensive loss, except for intercompany receivables and payables for which settlement is not planned or anticipated in the foreseeable future, which are included as a component of accumulated other comprehensive loss in the consolidated balance sheets. |
Derivative Financial Instruments | Derivative Financial Instruments The Company is exposed to market risk from changes in interest rates and foreign currency exchange rates and commodity prices, which may adversely affect its results of operations and financial condition. The Company seeks to minimize these risks through regular operating and financing activities and, when the Company considers it to be appropriate, through the use of derivative financial instruments. The Company does not purchase, hold or sell derivative financial instruments for trading or speculative purposes. The Company has elected not to prepare and maintain the documentation to qualify for hedge accounting treatment under ASC 815, “ Derivatives and Hedging ,” and therefore, all gains and losses (realized or unrealized) related to derivative instruments are recognized in interest and other expense, net in the consolidated statements of operations and comprehensive loss and depending on the fair value at the end of the reporting period, derivatives are recorded either in prepaid and other current assets or in accrued liabilities in the consolidated balance sheets. The Company and its subsidiaries conduct business in various countries using both their functional currencies and other currencies to effect cross border transactions. As a result, they are subject to the risk that fluctuations in foreign exchange rates between the dates that those transactions are entered into and their respective settlement dates will result in a foreign exchange gain or loss. When practicable, the Company endeavors to match assets and liabilities in the same currency on its U.S. balance sheet and those of its subsidiaries in order to reduce these risks. The Company, when it considers it to be appropriate, enters into foreign currency contracts to hedge the exposures arising from those transactions. See Note 10. The Company is exposed to credit risk if the counterparties to such transactions are unable to perform their obligations. However, the Company seeks to minimize such risk by entering into transactions with counterparties that are believed to be creditworthy financial institutions. |
Research And Development Costs | Research and Development Costs Research and development costs are expensed as incurred. |
Earnings (Loss) Per Share | Earnings (Loss) per Share Basic net income (loss) per share is computed by dividing net income available to common stockholders by the weighted average number of shares of common stock outstanding during the period. Diluted net income (loss) per share is computed by dividing net income, as adjusted for the assumed issuance of all dilutive shares, by the weighted average number of shares of common stock outstanding plus the number of additional common shares that would have been outstanding if all dilutive common shares issuable upon exercise of outstanding stock options or conversion of convertible securities had been issued. See Note 17. |
Advertising Costs | Advertising Costs Advertising costs are expensed as incurred. Advertising costs, including trade shows, were $ 12,469 , $ 15,245 and $ 8,799 for the years ended December 31, 2016, 2015 and 2014, respectively. |
Pension Costs | Pension costs The Company sponsors a retirement benefit for one of its non-U.S. subsidiaries in the form of a defined benefit pension plan. Accounting standards require the cost of providing this pension benefit be measured on an actuarial basis. Actuarial gains and losses resulting from both normal year-to-year changes in valuation assumptions and differences from actual experience are deferred and amortized. The application of these accounting standards requires management to make assumptions and judgements that can significantly affect these measurements. Critical assumptions made by management in performing these actuarial valuations include the selection of the discount rate to determine the present value of the pension obligations that affects the amount of pension expense recorded in any given period. Changes in the discount rate could have a material effect on the Company’s reported pension obligations and related pension expense. See Note 15. |
Equity Compensation Plans | Equity Compensation Plans The Company maintains stock-based compensation plans that are described more fully in Note 14. For service-based awards, stock-based compensation is estimated at the grant date based on the fair value of the awards expected to vest and recognized as expense ratably over the requisite service period of the award. For stock options and awards with market conditions, compensation cost is determined at the individual tranche level. The Company estimates the forfeiture rate based on historical experience. |
Income Taxes | Income Taxes The Company and the majority of its domestic subsidiaries file a consolidated U.S. federal income tax return while it has two entities that file separate U.S. federal tax returns. The Company’s non-U.S. subsidiaries file income tax returns in their respective jurisdictions. The Company provides for income taxes on those portions of its foreign subsidiaries’ accumulated earnings (deficit) that the Company believes are not reinvested permanently in their business. Income taxes are accounted for under the asset and liability method. Deferred income tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and tax benefit carryforwards. Deferred income tax liabilities and assets at the end of each period are determined using enacted tax rates. The Company establishes a valuation allowance for those jurisdictions in which the expiration date of tax benefit carryforwards or projected taxable earnings leads the Company to conclude that it is “more likely than not” that a deferred tax asset will not be realized. The evaluation process includes the consideration of all available evidence regarding historical results and future projections including the estimated timing of reversals of existing taxable temporary differences and potential tax planning strategies. Once a valuation allowance is established, it is maintained until a change in factual circumstances gives rise to sufficient income of the appropriate character and timing that will allow a partial or full utilization of the deferred tax asset. In accordance with ASC 740, “ Income Taxes ,” the impact of an uncertain tax position on the Company’s income tax returns is recognized at the largest amount that is more likely than not to be required to be recognized upon audit by the relevant taxing authority. The Company includes interest and penalties accrued in the Consolidated Financial Statements as a component of income tax expense. See Note 20 to the Consolidated Financial Statements. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Recently Adopted Accounting Standards In March 2016, the FASB issued Accounting Standards Update (“ASU”) No. 2016-09, “ Stock Compensation (Topic 718) ” (“ASU 2016-09”). ASU 2016-09 simplifies the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities, and classification on the statement of cash flows. It is effective for annual reporting periods beginning after December 15, 2016 and interim periods within those annual periods. The Company adopted ASU 2016-09 in the first quarter of 2017 and expects to recognize additional tax benefits (expenses) in net income (losses) rather than additional paid in capital and as a change in operating cash flows rather than a change in financing cash flows under this guidance. In April 2015, the FASB issued Accounting Standards Update No. 2015-03, “ Simplifying the Presentation of Debt Issuance Costs ” (“ASU 2015-03”), which changes the presentation of debt issuance costs in financial statements. ASU 2015-03 requires an entity to present such costs in the balance sheet as a direct deduction from the related debt liability rather than as an asset. Amortization of the costs will continue to be reported as interest expense. It is effective for annual reporting periods beginning after December 15, 2016. Early adoption is permitted. The new guidance will be applied retrospectively to each prior period presented. The Company has elected to adopt this guidance in the first quarter of 2017. The Company expects that the implementation of this guidance will not have a material effect on its consolidated financial statements Recently Issued Accounting Standards In January 2017, the FASB issued ASU No. 2017-04, “ Intangibles - Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment ” (“ASU 2017-04”), which eliminates the performance of Step 2 from the goodwill impairment test. In performing its annual or interim impairment testing, an entity will instead compare the fair value of the reporting unit with its carrying amount and recognize any impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. Additionally, an entity should consider income tax effects from any tax deductible goodwill on the carrying amount of the reporting unit when measuring the goodwill impairment loss. The standard is effective for fiscal years beginning after December 15, 2019. Early adoption is permitted for interim or annual impairment tests performed on testing dates after January 1, 2017. The Company is currently in the process of evaluating when it will adopt ASU 2017-04 and its impact on its consolidated financial statements. In October 2016, the FASB issued ASU No. 2016-16, “ Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory ” (“ASU 2016-16”). ASU 2016-16 permits the recognition of income tax consequences related to an intra-entity transfer of an asset other than inventory when the transfer occurs. It is effective for annual reporting periods beginning after December 15, 2017 and interim periods within those annual periods. Early adoption is permitted for any interim or annual period. The Company is currently in the process of evaluating the impact of adoption of ASU 2016-16 on its consolidated financial statements. In August 2016, the FASB issued ASU No. 2016-15, “ Statement of Cash Flows (Topic 230) – Classification of Certain Cash Receipts and Cash Payments ” (“ASU 2016-15”). With the objective of reducing the existing diversity in practice, ASU 2016-15 addresses the manner in which certain cash receipts and cash payments are presented and classified in the statement of cash flows. ASU 2016-15 is effective for annual reporting periods beginning after December 15, 2017. The amendments should be applied retrospectively with earlier application permitted as of the beginning of an interim or annual reporting period. The Company expects that the implementation of this guidance will not have a material effect on its consolidated financial statements. In February 2016, the FASB issued ASU No. 2016-02, “ Leases (Topic 842) ” (“ASU 2016-02”). ASU 2016-02 requires lessees to recognize assets and liabilities arising from operating leases on the balance sheet. It is effective for annual reporting periods beginning after December 15, 2018, including interim periods within those fiscal years. Though still evaluating the impact of ASU 2016-02, the Company expects changes to its balance sheet due to the recognition of right-of-use assets and lease liabilities related to its real estate leases, but it does not anticipate material impacts to its results of operations or liquidity. In August 2015, the FASB issued ASU No. 2015-14, “ Revenue from Contracts with Customers: Deferral of the Effective Date ” (“ASU 2015-14”), a revision to Accounting Standards Update No. 2014-09, “ Revenue from Contracts with Customers” , which was originally issued on May 28, 2014 . For public business entities, certain not-for-profit entities, and certain employee benefit plans, the effective date was for annual reporting periods beginning after December 15, 2016, including interim periods within that reporting period. ASU 2015-14 will defer these effective dates for all entities by one year. During 2016, the Company continued its evaluation of ASU 2014-09, including the expected impact on its business processes, systems and controls, and potential differences in the timing and/or method of revenue recognition for its contracts. The Company expects to complete its assessment of the cumulative effect of adopting ASU 2014-09 as well as the expected impact of adoption during 2017. The Company will continue its evaluation of ASU 2014-09, including how it may impact new contracts it receives as well as new or emerging interpretations of the standard, through the date of adoption. |
Significant Accounting Polici35
Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Significant Accounting Policies [Abstract] | |
Changes In Redeemable Noncontrolling Interests | (in thousands) 2016 2015 Beginning balance – January 1 $ 8,872 $ 8,872 Changes in redemption value — — Ending balance – December 31 $ 8,872 $ 8,872 |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
2015 Acquisitions [Member] | |
Business Acquisition [Line Items] | |
Purchase Price Allocations Of Assets Acquired And Liabilities Assumed | (in thousands) 2015 Fixed assets $ 1,505 Other intangible assets, net 57,066 Goodwill 44,772 Other assets, net of cash acquired 22,449 Liabilities (33,342) Net assets acquired $ 92,450 |
2014 Acquisitions [Member] | |
Business Acquisition [Line Items] | |
Purchase Price Allocations Of Assets Acquired And Liabilities Assumed | (in thousands) 2014 Fixed assets $ 19,279 Other intangible assets, net 127,315 Goodwill 259,422 Other assets, net of cash acquired 38,583 Liabilities (75,364) Net assets acquired $ 369,235 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Inventories [Abstract] | |
Components Of Inventories | (in thousands) 2016 2015 Raw materials $ 38,383 $ 43,960 Work in process 3,109 4,067 Finished goods and parts 61,839 57,850 Inventories, net $ 103,331 $ 105,877 |
Property And Equipment (Tables)
Property And Equipment (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Property And Equipment [Abstract] | |
Schedule Of Property And Equipment | (in thousands) 2016 2015 Useful Life (in years) Land $ 903 $ 903 N/A Building 11,122 11,007 25 - 30 Machinery and equipment 108,682 105,383 2 - 7 Capitalized software 8,651 7,391 3 - 5 Office furniture and equipment 3,130 4,714 1 - 5 Leasehold improvements 24,423 17,867 Life of lease (a) Rental equipment 144 149 5 Construction in progress 7,760 9,578 N/A Total property and equipment 164,815 156,992 Less: Accumulated depreciation and amortization (84,837) (70,997) Total property and equipment, net $ 79,978 $ 85,995 (a) Leasehold improvements are amortized on a straight-line basis over the shorter of (i) their estimated useful lives and (ii) the estimated or contractual life of the related lease. |
Intangible Assets (Tables)
Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Intangible Assets [Abstract] | |
Intangible Assets Other Than Goodwill | 2016 2015 (in thousands) Gross Accumulated Amortization Net Gross Accumulated Amortization Net Useful Life (in years) Weighted Average Useful Life Remaining (in years) Intangible assets with finite lives: Patent costs $ 16,263 $ (5,873) $ 10,390 $ 16,251 $ (4,895) $ 11,356 1 - 20 9 Acquired technology 52,881 (27,543) 25,338 52,809 (16,405) 36,404 1 - 16 4 Internally developed software 4,730 (3,522) 1,208 4,730 (2,919) 1,811 2 2 Customer relationships 99,067 (46,252) 52,815 101,933 (36,158) 65,775 1 - 14 6 Non-compete agreements 9,423 (7,277) 2,146 12,163 (8,558) 3,605 1 - 4 2 Trade names 28,110 (16,015) 12,095 28,108 (12,498) 15,610 1 - 8 5 Other 45,377 (27,868) 17,509 46,435 (23,530) 22,905 1 - 6 4 Total intangible assets $ 255,851 $ (134,350) $ 121,501 $ 262,429 $ (104,963) $ 157,466 1 - 20 4 |
Goodwill (Tables)
Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill [Abstract] | |
Changes In The Carrying Amount Of Goodwill By Geographic Reporting Unit | (in thousands) Americas EMEA Asia Pacific Total Balance at December 31, 2014 $ 339,411 216,942 33,184 589,537 Acquisitions and adjustments 47,452 2,602 5,208 55,262 Impairment of goodwill (382,271) (61,388) — (443,659) Effect of foreign currency exchange rates (4,592) (7,635) (1,038) (13,265) Balance at December 31, 2015 — $ 150,521 $ 37,354 $ 187,875 Acquisitions and adjustments — (137) 189 52 Effect of foreign currency exchange rates — (5,413) (1,284) (6,697) Balance at December 31, 2016 $ — $ 144,971 $ 36,259 $ 181,230 |
Accrued And Other Liabilities (
Accrued And Other Liabilities (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Accrued And Other Liabilities [Abstract] | |
Schedule Of Accrued Liabilities | (in thousands) 2016 2015 Compensation and benefits $ 22,771 $ 24,152 Vendor accruals 8,231 12,883 Accrued professional fees 810 491 Accrued taxes 9,831 11,317 Royalties payable 2,092 1,431 Accrued interest 39 42 Accrued earnouts related to acquisitions 3,238 159 Accrued other 2,956 4,224 Total $ 49,968 $ 54,699 |
Schedule Of Other Liabilities | (in thousands) 2016 2015 Arbitration award $ 11,282 $ 11,282 Long term employee indemnity 11,152 9,794 Defined benefit pension obligation 7,613 6,211 Long term tax liability 7,183 6,996 Long term earnouts related to acquisitions 7,568 9,673 Long term deferred revenue 7,464 7,956 Other long term liabilities 5,726 4,927 Total $ 57,988 $ 56,839 |
Lease Obligations (Tables)
Lease Obligations (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Lease Obligations [Abstract] | |
Schedule Of Future Minimum Lease Payments For Capitalized And Non-Cancelable Operating Leases | (in thousands) Capitalized Leases Operating Leases Years ending December 31: 2017 $ 1,074 $ 12,686 2018 1,071 11,674 2019 1,068 9,663 2020 987 5,915 2021 736 5,364 Later years 7,491 14,749 Total minimum lease payments 12,427 $ 60,051 Less: amounts representing imputed interest (4,268) Present value of minimum lease payments 8,159 Less: current portion of capitalized lease obligations (572) Capitalized lease obligations, excluding current portion $ 7,587 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Stock-Based Compensation [Abstract] | |
Schedule Of Stock-Based Compensation Expense | Year Ended December 31, (in thousands) 2016 2015 2014 Stock-based compensation expense $ 31,295 $ 34,733 $ 32,793 |
Schedule Of Shares And Units Of Restricted Common Stock | Year Ended December 31, 2016 2015 2014 (in thousands, except per share amounts) Number of Shares/Units Weighted Average Grant Date Fair Value Number of Shares/Units Weighted Average Grant Date Fair Value Number of Shares/Units Weighted Average Grant Date Fair Value Outstanding at beginning of period — unvested 2,942 $ 36.55 2,806 $ 41.08 2,523 $ 41.21 Granted 2,516 $ 11.57 1,438 $ 16.12 1,031 $ 49.46 Cancelled (526) $ 38.64 (672) $ 46.20 (85) $ 39.52 Vested (1,151) $ 40.99 (630) $ 23.89 (663) $ 12.59 Outstanding at end of period — unvested 3,781 $ 36.34 2,942 $ 36.55 2,806 $ 41.08 |
Schedule Of Weighted-Average Fair Value Assumptions | Year Ended December 31, 2016 2015 2014 Stock option assumptions: Weighted-average fair value $ 7.80 $ — $ — Expected volatility 60.0% — — Risk-free interest rate 0.76% - 1.46 — — Expected dividend yield 0% — — Derived term in years 3-4 — — |
Schedule Of Stock Option Activity | Year Ended December 31, 2016 (in thousands, except per share amounts) Number of Shares Weighted Average Exercise Weighted Average Remaining Term (in years) Stock option activity: Outstanding at beginning of period — $ — Granted 2,260 13.92 Exercised — — Forfeited and expired — — Outstanding at end of period 2,260 $ 13.92 9.5 Exercisable at end of period — $ — — |
International Retirement Plan (
International Retirement Plan (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
International Retirement Plan [Abstract] | |
Reconciliation Of Changes In Projected Benefit Obligation | (in thousands) 2016 2015 Reconciliation of benefit obligations: Obligations as of January 1 $ 6,328 $ 7,194 Service cost 154 178 Interest cost 159 156 Actuarial (gain) loss 1,437 (338) Benefit payments (120) (119) Effect of foreign currency exchange rate changes (231) (743) Obligations as of December 31 7,727 6,328 Funded status as of December 31 (net of tax benefit) $ (7,727) $ (6,328) |
Summary Of Amounts Recognized In Consolidated Balance Sheets | (in thousands) 2016 2015 Accrued liabilities $ 114 $ 117 Other liabilities 7,613 6,211 Projected benefit obligation 7,727 6,328 Accumulated other comprehensive income (2,775) (1,873) Total $ 4,952 $ 4,455 |
Schedule Of Accumulated And Projected Benefit Obligations | (in thousands) 2016 2015 Projected benefit obligation $ 7,727 $ 6,328 Accumulated benefit obligation $ 6,905 $ 5,738 |
Components Of Net Periodic Benefit Costs And Other Amounts Recognized In Other Comprehensive Income (Loss) | (in thousands) 2016 2015 Net periodic benefit cost: Service cost $ 154 $ 178 Interest cost 159 156 Amortization of actuarial loss 128 154 Total $ 441 $ 488 Other changes in plan assets and benefit obligations recognized in other comprehensive income: Net (gain) loss 1,437 (338) Total expense recognized in net periodic benefit cost and other comprehensive income $ 1,878 $ 150 |
Assumptions Used To Determine Benefit Obligations | 2016 2015 Discount rate 1.60% 2.50% Rate of compensation 3.00% 2.50% |
Summary Of Estimated Future Benefit Payments | (in thousands) Estimated future benefit payments: 2017 $ 129 2018 131 2019 145 2020 173 2021 176 2022-2026 1,077 |
Warranty Contracts (Tables)
Warranty Contracts (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Warranty Contracts [Abstract] | |
Schedule Of Recognized Warranty Revenue And Incurred Warranty Costs | Warranty Revenue Recognition: (in thousands) Beginning Balance Deferred Warranty Revenue Warranty Revenue Deferred Warranty Revenue Recognized Ending Balance Deferred Warranty Revenue Year Ended December 31, 2016 $ 10,663 $ 12,859 $ (14,471) $ 9,051 2015 11,914 15,349 (16,600) 10,663 2014 9,141 17,185 (14,412) 11,914 Warranty Costs Incurred: (in thousands) Materials Labor and Overhead Total Year Ended December 31, 2016 $ 6,851 $ 6,862 $ 13,713 2015 6,202 5,559 11,761 2014 5,958 5,440 11,398 |
Computation of Net Income (Lo46
Computation of Net Income (Loss) per Share (Details) (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Computation of Net Income (Loss) per Share [Abstract] | |
Schedule Of Net Income Per Share Reconciliation | (in thousands, except per share amounts) 2016 2015 2014 Numerator for basic and diluted net loss per share: Net income (loss) attributable to 3D Systems Corporation $ (38,419) $ (655,492) $ 11,637 Denominator for basic and diluted net loss per share: Weighted average shares 111,189 111,969 108,023 Net income (loss) per share, basic and diluted $ (0.35) $ (5.85) $ 0.11 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Measurements [Abstract] | |
Summary Of Assets And Liabilities Measured At Fair Value On Recurring Basis | Fair Value Measurements as of December 31, 2016 (in thousands) Level 1 Level 2 Level 3 Total Description Cash equivalents (a) $ 25,206 $ — $ — $ 25,206 Earnout consideration (b) $ — $ — $ 10,806 $ 10,806 Fair Value Measurements as of December 31, 2015 (in thousands) Level 1 Level 2 Level 3 Total Description Cash equivalents (a) $ 26,648 $ — $ — $ 26,648 Earnout consideration (b) $ — $ — $ 9,673 $ 9,673 (a) Cash equivalents include funds held in money market instruments and are reported at their current carrying value, which approximates fair value due to the short-term nature of these instruments and are included in cash and cash equivalents in the consolidated balance sheet . (b) The fair value of the earnout consideration, which is based on the present value of the expected future payments to be made to the sellers of the acquired businesses, was derived by analyzing the future performance of the acquired businesses using the earnout formula and performance targets specified in each purchase agreement and adjusting those amounts to reflect the ability of the acquired entities to achieve the stated targets. Given the significance of the unobservable inputs, the valuations are classified in Level 3 of the fair value hierarchy . The change in earnout consideration from December 31, 2015 to December 31, 2016 reflects a $54 adjustment to the expected payment and $1,079 of accret ion . |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Taxes [Abstract] | |
Components Of Income Before Income Taxes | (in thousands) 2016 2015 2014 Income before income taxes: Domestic $ (53,868) $ (580,720) $ 5,751 Foreign 14,056 (74,233) 11,636 Total $ (39,812) $ (654,953) $ 17,387 |
Components Of Income Tax Provision | 2016 2015 2014 Current: U.S. federal $ (2,110) $ 10,753 $ 23,336 State 30 169 72 Foreign 8,099 925 6,588 Total 6,019 11,847 29,996 Deferred: U.S. federal (1,245) (5,252) (21,624) State — (225) (87) Foreign (5,321) 2,602 (2,844) Total (6,566) (2,875) (24,555) Total income tax (benefit) provision $ (547) $ 8,972 $ 5,441 |
Schedule Of Effective Tax Rate Reconciliation | % of Pretax Income 2016 2015 2014 Tax provision based on the federal statutory rate 35.0 % 35.0 % 35.0 % Nondeductible expenses (1.1) (0.1) 12.5 Foreign exchange loss 9.4 — — Uncertain tax positions (25.1) (0.5) 11.2 Deemed income related to foreign operations (8.4) (0.6) 8.1 Return to provision adjustments — foreign tax credit 8.4 (0.7) 2.5 Return to provision adjustments — research and development credit 4.0 — — Return to provision adjustments — non-consolidated U.S. entities 6.4 — — Impairment of definite lived intangibles 3.1 — — Foreign income tax rate differential 3.1 (2.0) 0.5 State taxes, net of federal benefit, before valuation allowance 3.9 0.9 0.3 Increase in valuation allowances (58.5) (16.4) — Impairment of goodwill with no tax basis — (16.8) — Foreign tax credits related to above 6.5 0.2 (6.3) Deferred tax adjustment — deferred revenue 7.6 — — Deferred tax adjustment — state tax credits 1.4 — — Deferred tax adjustments — other 4.0 — — Domestic production activities deduction — — (12.0) Research credits — — (21.9) Other 1.7 (0.4) 1.4 Effective tax rate 1.4 % (1.4) % 31.3 % |
Components Of Net Deferred Income Tax Assets And Net Deferred Income Tax Liabilities | (in thousands) 2016 2015 Deferred income tax assets: Intangibles $ 40,014 $ 46,293 Stock options and restricted stock awards 14,384 22,010 Reserves and allowances 20,022 18,738 Net operating loss carryforwards 29,398 16,796 Tax credit carryforwards 13,571 8,610 Accrued liabilities 5,330 4,943 Deferred revenue 3,502 405 Valuation allowance (109,913) (107,312) Total deferred income tax assets 16,308 10,483 Deferred income tax liabilities: Intangibles 16,968 22,676 Property, plant and equipment 8,818 3,851 Total deferred income tax liabilities 25,786 26,527 Net deferred income tax liabilities $ (9,478) $ (16,044) |
Schedule Of Unrecognized Tax Benefits | Unrecognized Tax Benefits (in thousands) 2016 2015 2014 Balance at January 1 $ (8,296) $ (1,845) $ (16) Increases related to prior year tax positions (2,658) — — Decreases related to prior year tax positions — 1,475 — Increases related to current year tax positions (7,297) (7,926) (1,829) Decreases related to current year tax positions — — — Decreases in unrecognized liability due to settlements with foreign tax authorities — — — Balance at December 31 $ (18,251) $ (8,296) $ (1,845) |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Segment Information [Abstract] | |
Schedule Of Revenue From Unaffiliated Customers By Product And Service | (in thousands) 2016 2015 2014 Revenue from unaffiliated customers: Americas $ 340,885 $ 357,976 $ 333,925 Germany 78,979 82,872 87,021 Other EMEA 114,162 117,232 109,066 Asia Pacific 98,939 108,083 123,640 Total revenue $ 632,965 $ 666,163 $ 653,652 (in thousands) 2016 2015 2014 Revenue by class of product and service: Products $ 223,544 $ 257,379 $ 283,339 Materials 156,839 150,740 158,859 Services 252,582 258,044 211,454 Total revenue $ 632,965 $ 666,163 $ 653,652 |
Schedule Of Intercompany Sales By Geographic Area | Year Ended December 31, 2016 Intercompany Sales to (in thousands) Americas Germany Other EMEA Asia Pacific Total Americas $ 3,013 $ 28,881 $ 10,958 $ 21,639 $ 64,491 Germany 4,123 — 3,850 166 8,139 Other EMEA 61,086 3,365 5,071 5,925 75,447 Asia Pacific 3,046 — 369 3,959 7,374 Total $ 71,268 $ 32,246 $ 20,248 $ 31,689 $ 155,451 Year Ended December 31, 2015 Intercompany Sales to (in thousands) Americas Germany Other EMEA Asia Pacific Total Americas $ 3,073 $ 36,552 $ 17,133 $ 17,602 $ 74,360 Germany 70 — 6,149 125 6,344 Other EMEA 58,419 4,232 3,494 6,047 72,192 Asia Pacific 3,027 4 79 3,585 6,695 Total $ 64,589 $ 40,788 $ 26,855 $ 27,359 $ 159,591 Year Ended December 31, 2014 Intercompany Sales to (in thousands) Americas Germany Other EMEA Asia Pacific Total Americas $ 201 $ 43,841 $ 20,581 $ 14,433 $ 79,056 Germany 3,217 — 6,742 8 9,967 Other EMEA 42,622 3,115 2,066 2,739 50,542 Asia Pacific 2,283 — — 2,774 5,057 Total $ 48,323 $ 46,956 $ 29,389 $ 19,954 $ 144,622 |
Schedule Of Capital Expenditures By Geographic Area | (in thousands) 2016 2015 2014 Income (loss) from operations: Americas $ (53,725) $ (596,283) $ (24,663) Germany 8,032 5,271 2,749 Other EMEA (9,645) (76,472) 9,181 Asia Pacific 19,591 27,432 40,131 Subtotal (35,747) (640,052) 27,398 Inter-segment elimination (2,673) (1,872) (1,083) Total $ (38,420) $ (641,924) $ 26,315 (in thousands) 2016 2015 2014 Depreciation and amortization: Americas $ 25,892 $ 43,613 $ 38,876 Germany 881 1,011 1,075 Other EMEA 29,065 33,585 11,427 Asia Pacific 4,697 4,860 3,810 Total $ 60,535 $ 83,069 $ 55,188 (in thousands) 2016 2015 2014 Capital expenditures: Americas $ 8,172 $ 14,062 $ 18,187 Germany 307 613 235 Other EMEA 5,640 6,856 3,680 Asia Pacific 2,448 868 625 Total $ 16,567 $ 22,399 $ 22,727 |
Schedule Of Long-Lived Assets By Geographical Area | At December 31, (in thousands) 2016 2015 2014 Assets: Americas $ 345,412 $ 382,738 $ 1,018,113 Germany 40,547 36,782 47,524 Other EMEA 341,616 369,302 384,830 Asia Pacific 121,578 103,137 79,843 Total $ 849,153 $ 891,959 $ 1,530,310 At December 31, (in thousands) 2016 2015 2014 Cash and cash equivalents: Americas $ 105,750 $ 98,913 $ 245,219 Germany 8,885 3,901 6,640 Other EMEA 35,992 30,487 15,556 Asia Pacific 34,320 22,342 17,447 Total $ 184,947 $ 155,643 $ 284,862 At December 31, (in thousands) 2016 2015 2014 Long-lived assets: Americas $ 96,016 $ 113,364 $ 570,049 Germany 14,757 14,088 19,994 Other EMEA 247,786 271,892 312,384 Asia Pacific 57,644 60,148 47,193 Total $ 416,203 $ 459,492 $ 949,620 |
Accumulated Other Comprehensi50
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Accumulated Other Comprehensive Income (Loss) [Abstract] | |
Schedule Of Accumulated Other Comprehensive Income (Loss) By Component | (in thousands) Foreign currency translation adjustment Liquidation of non-US entity Defined benefit pension plan Total Balance at December 31, 2014 $ (22,195) $ — $ (2,211) $ (24,406) Other comprehensive income (loss) (15,480) — 338 (15,142) Balance at December 31, 2015 (37,675) — (1,873) (39,548) Other comprehensive income (loss) (13,063) 288 (902) (13,677) Balance at December 31, 2016 $ (50,738) $ 288 $ (2,775) $ (53,225) |
Selected Quarterly Financial 51
Selected Quarterly Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Selected Quarterly Financial Data [Abstract] | |
Schedule Of Selected Quarterly Financial Data | 2016 Quarter Ended (in thousands, except per share amounts) December 31 September 30 June 30 March 31 Consolidated revenue $ 165,937 $ 156,362 $ 158,111 $ 152,555 Gross profit 82,890 68,937 80,411 77,513 Total operating expenses 78,817 90,954 84,128 94,272 Income (loss) from operations 4,073 (22,017) (3,717) (16,759) Provision (benefit) for income taxes (1,212) (2,214) 1,700 1,179 Net income (loss) attributable to 3D Systems 5,230 (21,213) (4,648) (17,788) Basic and diluted net income (loss) per share $ 0.05 $ (0.19) $ (0.04) $ (0.16) 2015 Quarter Ended (in thousands, except per share amounts) December 31 September 30 June 30 March 31 Consolidated revenue $ 183,363 $ 151,574 $ 170,504 $ 160,722 Gross profit 60,160 71,038 81,627 78,984 Total operating expenses 626,081 105,675 105,469 96,508 Loss from operations (a) (565,921) (34,637) (23,842) (17,524) Provision (benefit) for income taxes 29,535 (3,524) (10,096) (6,943) Net loss attributable to 3D Systems (596,366) (32,249) (13,696) (13,181) Basic and diluted net loss per share $ (5.32) $ (0.29) $ (0.12) $ (0.12) 2014 Quarter Ended (in thousands, except per share amounts) December 31 September 30 June 30 March 31 Consolidated revenue $ 187,438 $ 166,944 $ 151,512 $ 147,758 Gross profit 89,766 79,798 72,398 75,472 Total operating expenses 85,538 71,590 68,036 65,955 Income from operations 4,228 8,208 4,362 9,517 Provision for income taxes 75 1,113 694 3,559 Net income attributable to 3D Systems 1,551 3,084 2,125 4,877 Basic and diluted net income per share $ 0.01 $ 0.03 $ 0.02 $ 0.05 For the quarter ended December 31, 2015 , loss from operations includes $443,659 of impairment charges related to goodwill and $93,520 of impairment charges related to other intangible assets. In addition, the Company recognized cash and non-cash charges related to the end of life of the Cube printer and shift from consumer products and services, which totaled $8,771 and $18,619 , respectively. See Notes 2, 4, 6 and 7 to the Consolidated Financial Statements. |
Significant Accounting Polici52
Significant Accounting Policies (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Significant Accounting Policies [Line Items] | ||||
Impairment charges on minority investments | $ 1 | $ 7,432 | ||
Aggregate carrying investment amount | $ 10,687 | 9,116 | 10,687 | |
Goodwill impairment | 0 | 443,659 | $ 0 | |
Finite lives impairment charge | $ 93,520 | 0 | 93,520 | 0 |
Advertising costs | $ 12,469 | 15,245 | $ 8,799 | |
Minimum [Member] | ||||
Significant Accounting Policies [Line Items] | ||||
Sale payment period | 30 days | |||
Ownership of companies, percent | 20.00% | |||
Maximum [Member] | ||||
Significant Accounting Policies [Line Items] | ||||
Warranty period | 1 year | |||
Sale payment period | 60 days | |||
Ownership of companies, percent | 50.00% | |||
Americas [Member] | ||||
Significant Accounting Policies [Line Items] | ||||
Fair value of goodwill | $ 0 | |||
Goodwill impairment | $ 382,271 | 382,271 | ||
Finite lives impairment charge | 92,248 | |||
Other EMEA [Member] | ||||
Significant Accounting Policies [Line Items] | ||||
Carrying value of goodwill exceeds fair value, percent | 29.00% | |||
Goodwill impairment | $ 61,388 | 61,388 | ||
Finite lives impairment charge | $ 1,272 |
Significant Accounting Polici53
Significant Accounting Policies (Changes In Redeemable Noncontrolling Interests) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Significant Accounting Policies [Abstract] | ||
Beginning balance | $ 8,872 | $ 8,872 |
Changes in redemption value | ||
Ending balance | $ 8,872 | $ 8,872 |
Acquisitions (Narrative) (Detai
Acquisitions (Narrative) (Details) $ in Thousands | Jan. 31, 2017USD ($) | Jun. 17, 2015USD ($) | Jun. 16, 2015USD ($) | Apr. 02, 2015USD ($) | Feb. 09, 2015USD ($) | Dec. 17, 2014USD ($) | Dec. 31, 2016item |
Acquisition date | Dec. 17, 2014 | ||||||
Consideration paid in cash | $ 54,552 | ||||||
Number of businesses acquired | item | 0 | ||||||
Vertex-Global Holding B.V. [Member] | |||||||
Acquisition date | Jan. 31, 2017 | ||||||
Cimatron [Member] | |||||||
Acquisition date | Feb. 9, 2015 | ||||||
Acquired ownership percentage | 100.00% | ||||||
Consideration paid in cash | $ 77,984 | ||||||
Easyway [Member] | |||||||
Acquisition date | Apr. 2, 2015 | ||||||
Acquired ownership percentage | 65.00% | 65.00% | |||||
Consideration paid in cash | $ 11,265 | ||||||
STEAMtrax [Member] | |||||||
Acquisition date | Jun. 16, 2015 | ||||||
Consideration paid in cash | $ 2,550 | ||||||
Noquo [Member] | |||||||
Acquisition date | Jun. 17, 2015 | ||||||
Fair value of consideration paid | $ 651 | ||||||
Subsequent Event [Member] | Vertex-Global Holding B.V. [Member] | |||||||
Acquired ownership percentage | 100.00% | ||||||
Consideration paid in cash | $ 34,342 | ||||||
Fair value of consideration paid | $ 37,562 |
Acquisitions (2014 Acquisitions
Acquisitions (2014 Acquisitions) (Narrative) (Details) - USD ($) $ in Thousands | Dec. 17, 2014 | Dec. 16, 2014 | Nov. 25, 2014 | Sep. 03, 2014 | Aug. 28, 2014 | Aug. 13, 2014 | Aug. 06, 2014 | Apr. 02, 2014 | Feb. 18, 2014 | Dec. 31, 2016 | Dec. 31, 2015 |
Business Acquisition [Line Items] | |||||||||||
Acquisition date | Dec. 17, 2014 | ||||||||||
Consideration paid in cash | $ 54,552 | ||||||||||
Accrued earnouts and deferred payments related to acquisitions | $ 3,238 | $ 159 | |||||||||
Digital PlaySpace, Inc. [Member] | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Acquisition date | Feb. 18, 2014 | ||||||||||
Fair value of consideration paid | $ 4,000 | ||||||||||
Consideration paid in cash | 2,000 | ||||||||||
Consideration paid in shares | $ 2,000 | ||||||||||
Medical Modeling Inc. [Member] | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Acquisition date | Apr. 2, 2014 | ||||||||||
Acquired ownership percentage | 100.00% | ||||||||||
Fair value of consideration paid | $ 69,026 | ||||||||||
Consideration paid in cash | 51,526 | ||||||||||
Consideration paid in shares | $ 17,500 | ||||||||||
Laser Reproductions [Member] | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Acquisition date | Aug. 6, 2014 | ||||||||||
Fair value of consideration paid | $ 17,450 | ||||||||||
Consideration paid in cash | 13,075 | ||||||||||
Consideration paid in shares | $ 4,375 | ||||||||||
APM And APP [Member] | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Acquisition date | Aug. 13, 2014 | ||||||||||
Consideration paid in cash | $ 14,089 | ||||||||||
Simbionix [Member] | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Acquisition date | Aug. 28, 2014 | ||||||||||
Acquired ownership percentage | 100.00% | ||||||||||
Consideration paid in cash | $ 121,562 | ||||||||||
LayerWise [Member] | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Acquisition date | Sep. 3, 2014 | ||||||||||
Acquired ownership percentage | 100.00% | ||||||||||
Consideration paid in cash | $ 41,933 | ||||||||||
Robtec [Member] | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Acquisition date | Nov. 25, 2014 | ||||||||||
Acquired ownership percentage | 70.00% | 70.00% | |||||||||
Consideration paid in cash | $ 21,880 | ||||||||||
botObjects [Member] | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Acquisition date | Dec. 16, 2014 | ||||||||||
Acquired ownership percentage | 100.00% | ||||||||||
Consideration paid in cash | $ 24,743 | ||||||||||
Additional earnout term | 3 years | ||||||||||
Maximum [Member] | botObjects [Member] | |||||||||||
Business Acquisition [Line Items] | |||||||||||
Accrued earnouts and deferred payments related to acquisitions | $ 25,000 |
Acquisitions (Purchase Price Al
Acquisitions (Purchase Price Allocations Of Assets Acquired And Liabilities Assumed) (Details) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Acquisitions [Abstract] | ||
Fixed assets | $ 1,505 | $ 19,279 |
Other intangible assets, net | 57,066 | 127,315 |
Goodwill | 44,772 | 259,422 |
Other assets, net of cash acquired | 22,449 | 38,583 |
Liabilities | (33,342) | (75,364) |
Net assets acquired | $ 92,450 | $ 369,235 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Inventories [Abstract] | ||
Raw materials | $ 38,383 | $ 43,960 |
Work in process | 3,109 | 4,067 |
Finished goods and parts | 61,839 | 57,850 |
Inventories, net | $ 103,331 | $ 105,877 |
Property And Equipment (Narrati
Property And Equipment (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Depreciation expense | $ 24,331 | $ 20,979 | $ 14,727 |
Impairment charges | 8,618 | 544,611 | |
Property, Plant and Equipment [Member] | |||
Impairment charges | $ 7,408 | $ 614 | $ 0 |
Property And Equipment (Schedul
Property And Equipment (Schedule Of Property And Equipment) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | ||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | $ 164,815 | $ 156,992 | |
Less: Accumulated depreciation and amortization | (84,837) | (70,997) | |
Total property and equipment, net | 79,978 | 85,995 | |
Land [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | 903 | 903 | |
Building [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | 11,122 | 11,007 | |
Machinery And Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | 108,682 | 105,383 | |
Capitalized Software [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | 8,651 | 7,391 | |
Office Furniture And Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | 3,130 | 4,714 | |
Leasehold Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | $ 24,423 | 17,867 | |
Useful Life (in years) | [1] | Life of lease (a) | |
Rental Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | $ 144 | 149 | |
Useful Life (in years) | 5 years | ||
Construction In Progress [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total property and equipment | $ 7,760 | $ 9,578 | |
Minimum [Member] | Building [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life (in years) | 25 years | ||
Minimum [Member] | Machinery And Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life (in years) | 2 years | ||
Minimum [Member] | Capitalized Software [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life (in years) | 3 years | ||
Minimum [Member] | Office Furniture And Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life (in years) | 1 year | ||
Maximum [Member] | Building [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life (in years) | 30 years | ||
Maximum [Member] | Machinery And Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life (in years) | 7 years | ||
Maximum [Member] | Capitalized Software [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life (in years) | 5 years | ||
Maximum [Member] | Office Furniture And Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Useful Life (in years) | 5 years | ||
[1] | Leasehold improvements are amortized on a straight-line basis over the shorter of (i) their estimated useful lives and (ii) the estimated or contractual life of the related lease. |
Intangible Assets (Narrative) (
Intangible Assets (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Finite-Lived Intangible Assets [Line Items] | ||||
Amortization expense | $ 35,124 | $ 61,066 | $ 39,484 | |
Annual amortization expense in 2017 | 33,286 | |||
Annual amortization expense in 2018 | 28,287 | |||
Annual amortization expense in 2019 | 19,883 | |||
Annual amortization expense in 2020 | 16,121 | |||
Annual amortization expense in 2021 | 11,865 | |||
Impairment of Intangible Assets, Finite-lived | $ 93,520 | $ 0 | 93,520 | $ 0 |
Acquired Technology [Member] | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Impairment of Intangible Assets, Finite-lived | 19,164 | |||
Customer Relationships [Member] | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Impairment of Intangible Assets, Finite-lived | 63,852 | |||
Trade Names [Member] | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Impairment of Intangible Assets, Finite-lived | 5,952 | |||
Non-Compete Agreements [Member] | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Impairment of Intangible Assets, Finite-lived | 3,416 | |||
Other Intangibles [Member] | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Impairment of Intangible Assets, Finite-lived | 791 | |||
Internally Developed Software [Member] | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Impairment of Intangible Assets, Finite-lived | 345 | |||
Americas [Member] | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Impairment of Intangible Assets, Finite-lived | 92,248 | |||
Other EMEA [Member] | ||||
Finite-Lived Intangible Assets [Line Items] | ||||
Impairment of Intangible Assets, Finite-lived | $ 1,272 |
Intangible Assets (Intangible A
Intangible Assets (Intangible Assets Other Than Goodwill) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets with finite lives: Gross | $ 255,851 | $ 262,429 |
Intangible assets with finite lives: Accumulated Amortization | (134,350) | (104,963) |
Intangible assets with finite lives: Net | $ 121,501 | 157,466 |
Weighted average useful life remaining (in years) | 4 years | |
Patents Costs [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets with finite lives: Gross | $ 16,263 | 16,251 |
Intangible assets with finite lives: Accumulated Amortization | (5,873) | (4,895) |
Intangible assets with finite lives: Net | $ 10,390 | 11,356 |
Weighted average useful life remaining (in years) | 9 years | |
Acquired Technology [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets with finite lives: Gross | $ 52,881 | 52,809 |
Intangible assets with finite lives: Accumulated Amortization | (27,543) | (16,405) |
Intangible assets with finite lives: Net | $ 25,338 | 36,404 |
Weighted average useful life remaining (in years) | 4 years | |
Internally Developed Software [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets with finite lives: Gross | $ 4,730 | 4,730 |
Intangible assets with finite lives: Accumulated Amortization | (3,522) | (2,919) |
Intangible assets with finite lives: Net | 1,208 | 1,811 |
Customer Relationships [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets with finite lives: Gross | 99,067 | 101,933 |
Intangible assets with finite lives: Accumulated Amortization | (46,252) | (36,158) |
Intangible assets with finite lives: Net | $ 52,815 | 65,775 |
Weighted average useful life remaining (in years) | 6 years | |
Non-Compete Agreements [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets with finite lives: Gross | $ 9,423 | 12,163 |
Intangible assets with finite lives: Accumulated Amortization | (7,277) | (8,558) |
Intangible assets with finite lives: Net | $ 2,146 | 3,605 |
Weighted average useful life remaining (in years) | 2 years | |
Trade Names [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets with finite lives: Gross | $ 28,110 | 28,108 |
Intangible assets with finite lives: Accumulated Amortization | (16,015) | (12,498) |
Intangible assets with finite lives: Net | $ 12,095 | 15,610 |
Weighted average useful life remaining (in years) | 5 years | |
Other [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets with finite lives: Gross | $ 45,377 | 46,435 |
Intangible assets with finite lives: Accumulated Amortization | (27,868) | (23,530) |
Intangible assets with finite lives: Net | $ 17,509 | $ 22,905 |
Weighted average useful life remaining (in years) | 4 years | |
Minimum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets estimated useful lives | 1 year | |
Minimum [Member] | Patents Costs [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets estimated useful lives | 1 year | |
Minimum [Member] | Acquired Technology [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets estimated useful lives | 1 year | |
Minimum [Member] | Internally Developed Software [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets estimated useful lives | 2 years | |
Minimum [Member] | Customer Relationships [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets estimated useful lives | 1 year | |
Minimum [Member] | Non-Compete Agreements [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets estimated useful lives | 1 year | |
Minimum [Member] | Trade Names [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets estimated useful lives | 1 year | |
Minimum [Member] | Other [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets estimated useful lives | 1 year | |
Maximum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets estimated useful lives | 20 years | |
Maximum [Member] | Patents Costs [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets estimated useful lives | 20 years | |
Maximum [Member] | Acquired Technology [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets estimated useful lives | 16 years | |
Maximum [Member] | Internally Developed Software [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Weighted average useful life remaining (in years) | 2 years | |
Maximum [Member] | Customer Relationships [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets estimated useful lives | 14 years | |
Maximum [Member] | Non-Compete Agreements [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets estimated useful lives | 4 years | |
Maximum [Member] | Trade Names [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets estimated useful lives | 8 years | |
Maximum [Member] | Other [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets estimated useful lives | 6 years |
Goodwill (Details)
Goodwill (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Goodwill [Line Items] | |||
Balance at beginning of period | $ 187,875 | $ 589,537 | |
Acquisitions and adjustments | 52 | 55,262 | |
Impairment of goodwill | 0 | (443,659) | $ 0 |
Effect of foreign currency exchange rates | (6,697) | (13,265) | |
Balance at end of period | 181,230 | 187,875 | 589,537 |
Americas [Member] | |||
Goodwill [Line Items] | |||
Balance at beginning of period | 339,411 | ||
Acquisitions and adjustments | 47,452 | ||
Impairment of goodwill | (382,271) | (382,271) | |
Effect of foreign currency exchange rates | (4,592) | ||
Balance at end of period | 339,411 | ||
Other EMEA [Member] | |||
Goodwill [Line Items] | |||
Balance at beginning of period | 150,521 | 216,942 | |
Acquisitions and adjustments | 2,602 | ||
Acquisitions and adjustments | (137) | ||
Impairment of goodwill | (61,388) | (61,388) | |
Effect of foreign currency exchange rates | (5,413) | (7,635) | |
Balance at end of period | 144,971 | 150,521 | 216,942 |
Asia Pacific [Member] | |||
Goodwill [Line Items] | |||
Balance at beginning of period | 37,354 | 33,184 | |
Acquisitions and adjustments | 189 | 5,208 | |
Impairment of goodwill | |||
Effect of foreign currency exchange rates | (1,284) | (1,038) | |
Balance at end of period | $ 36,259 | $ 37,354 | $ 33,184 |
Employee Benefits (Details)
Employee Benefits (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Employee Benefits [Abstract] | |||
Employer matching contribution percentage | 50.00% | ||
Maximum employer contribution amount of employee compensation | $ 1,500 | ||
Employee benefit expenses | $ 1,175,000 | $ 956,000 | $ 721,000 |
Accrued And Other Liabilities64
Accrued And Other Liabilities (Schedule Of Accrued Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Accrued And Other Liabilities [Abstract] | ||
Compensation and benefits | $ 22,771 | $ 24,152 |
Vendor accruals | 8,231 | 12,883 |
Accrued professional fees | 810 | 491 |
Accrued taxes | 9,831 | 11,317 |
Royalties payable | 2,092 | 1,431 |
Accrued interest | 39 | 42 |
Accrued earnouts related to acquisitions | 3,238 | 159 |
Accrued other | 2,956 | 4,224 |
Total | $ 49,968 | $ 54,699 |
Accrued And Other Liabilities65
Accrued And Other Liabilities (Schedule Of Other Liabilities) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Accrued And Other Liabilities [Abstract] | ||
Arbitration award | $ 11,282 | $ 11,282 |
Long term employee indemnity | 11,152 | 9,794 |
Defined benefit pension obligation | 7,613 | 6,211 |
Long term tax liability | 7,183 | 6,996 |
Long term earnouts related to acquisitions | 7,568 | 9,673 |
Long term deferred revenue | 7,464 | 7,956 |
Other long term liabilities | 5,726 | 4,927 |
Total | $ 57,988 | $ 56,839 |
Hedging Activities And Financ66
Hedging Activities And Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Hedging Activities And Financial Instruments [Abstract] | ||
Foreign currency contracts | $ 0 | $ 0 |
Borrowings (Details)
Borrowings (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Line of Credit Facility [Line Items] | |||
Interest income | $ 807 | $ 521 | $ 482 |
Interest expense | 1,282 | 2,011 | $ 1,227 |
Capitalized leases | $ 7,587 | ||
Revolving Credit Facility [Member] | |||
Line of Credit Facility [Line Items] | |||
Credit Agreement initiation date | Oct. 10, 2014 | ||
Credit Agreement aggregate principal amount | $ 150,000 | ||
Credit Agreement term | 5 years | ||
Credit Agreement optional increase in aggregate principal amount | $ 75,000 | ||
Credit Agreement maturity date | Oct. 10, 2019 | ||
Credit Agreement maximum consolidated total leverage ratio | 3 | ||
Credit Agreement minimum interest coverage ratio | 3.50 | ||
Credit Agreement availability | $ 150,000 | ||
Credit Agreement maximum cash dividends in a fiscal year | 30,000 | ||
Credit Agreement outstanding balance | $ 0 | $ 0 | |
Revolving Credit Facility [Member] | Federal Funds Open Rate [Member] | |||
Line of Credit Facility [Line Items] | |||
Credit Agreement applicable margin | 0.50% | ||
Revolving Credit Facility [Member] | LIBOR Rate [Member] | |||
Line of Credit Facility [Line Items] | |||
Credit Agreement applicable margin | 1.00% | ||
Minimum [Member] | Revolving Credit Facility [Member] | |||
Line of Credit Facility [Line Items] | |||
Credit Agreement quarterly commitment fee percentage | 0.20% | ||
Minimum [Member] | Revolving Credit Facility [Member] | Leverage Ratio [Member] | |||
Line of Credit Facility [Line Items] | |||
Credit Agreement applicable margin | 0.25% | ||
Minimum [Member] | Revolving Credit Facility [Member] | LIBOR Rate Plus Levarage Ratio [Member] | |||
Line of Credit Facility [Line Items] | |||
Credit Agreement applicable margin | 1.25% | ||
Maximum [Member] | Revolving Credit Facility [Member] | |||
Line of Credit Facility [Line Items] | |||
Credit Agreement quarterly commitment fee percentage | 0.25% | ||
Maximum [Member] | Revolving Credit Facility [Member] | Leverage Ratio [Member] | |||
Line of Credit Facility [Line Items] | |||
Credit Agreement applicable margin | 0.50% | ||
Maximum [Member] | Revolving Credit Facility [Member] | LIBOR Rate Plus Levarage Ratio [Member] | |||
Line of Credit Facility [Line Items] | |||
Credit Agreement applicable margin | 1.50% |
Lease Obligations (Narrative) (
Lease Obligations (Narrative) (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016USD ($)item | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Rent expense | $ 13,232 | $ 13,960 | $ 10,427 |
Payment of base rent in 2016 | $ 1,074 | ||
Rock Hill Facility [Member] | |||
Lease expiration date | Aug. 31, 2021 | ||
Number of lease renewal terms | item | 2 | ||
Lease renewal terms | 5 years | ||
Payment of base rent in 2016 | $ 683 | ||
Payment of base rent in 2017 through 2020 | 709 | ||
Payment of base rent in 2021 | $ 723 | ||
Implicit interest rate | 6.93% | 6.93% | |
Other Capital Lease Obligations [Member] | |||
Lease expiration date | Aug. 1, 2018 | ||
Minimum [Member] | Other Capital Lease Obligations [Member] | |||
Implicit interest rate | 1.75% | ||
Maximum [Member] | Other Capital Lease Obligations [Member] | |||
Implicit interest rate | 8.06% |
Lease Obligations (Schedule Of
Lease Obligations (Schedule Of Future Minimum Lease Payments For Capitalized And Non-Cancelable Operating Leases) (Details) $ in Thousands | Dec. 31, 2016USD ($) |
Lease Obligations [Abstract] | |
Capitalized Leases, 2017 | $ 1,074 |
Capitalized Leases, 2018 | 1,071 |
Capitalized Leases, 2019 | 1,068 |
Capitalized Leases, 2020 | 987 |
Capitalized Leases, 2021 | 736 |
Capitalized Leases, Later years | 7,491 |
Capitalized Leases, Total minimum lease payments | 12,427 |
Capitalized Leases, Less: amounts representing imputed interest | (4,268) |
Capitalized Leases, Present value of minimum lease payments | 8,159 |
Capitalized Leases, Less current portion of capitalized lease obligations | (572) |
Capitalized Leases, Capitalized lease obligations, excluding current portion | 7,587 |
Operating Leases, 2017 | 12,686 |
Operating Leases, 2018 | 11,674 |
Operating Leases, 2019 | 9,663 |
Operating Leases, 2020 | 5,915 |
Operating Leases, 2021 | 5,364 |
Operating Leases, Later years | 14,749 |
Operating Leases, Total minimum lease payments | $ 60,051 |
Preferred Stock (Details)
Preferred Stock (Details) - shares | Dec. 31, 2016 | Dec. 31, 2015 |
Preferred Stock [Abstract] | ||
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Stock-Based Compensation (Narra
Stock-Based Compensation (Narrative) (Details) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($)$ / sharesitemshares | |
Granted After November 13, 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 3 years |
Granted After November 13, 2015 [Member] | First Year [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Award vesting rights, percentage | 33.33% |
Granted Before November 13, 2015 [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 3 years |
Restricted Stock Awards And Restricted Stock Unit Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock compensation expense | $ 40,306 |
Stock Options And Restricted Stock Awards [Member] | 2015 Plan [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of market conditions for stock award vesting | item | 2 |
Trading price for stock award tranche one | $ / shares | $ 30 |
Trading price for stock award tranche two | $ / shares | $ 40 |
Stock award tranche granting period | 90 days |
Restricted Stock Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock compensation expense | $ 5,517 |
Restricted Stock Awards [Member] | 2015 Plan [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares awarded | shares | 469 |
Stock Options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of stock options exercised | shares | |
Stock compensation expense | $ 14,956 |
Weighted Average [Member] | Restricted Stock Awards And Restricted Stock Unit Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 2 years |
Weighted Average [Member] | Restricted Stock Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 3 years |
Weighted Average [Member] | Stock Options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Vesting period | 3 years |
Stock-Based Compensation (Sched
Stock-Based Compensation (Schedule Of Stock-Based Compensation Expense) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Stock-Based Compensation [Abstract] | |||
Stock-based compensation expense | $ 31,295 | $ 34,733 | $ 32,793 |
Stock-Based Compensation (Sch73
Stock-Based Compensation (Schedule Of Shares And Units Of Restricted Common Stock) (Details) - Restricted Stock Awards [Member] - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Outstanding at beginning of period — unvested | 2,942 | 2,806 | 2,523 |
Granted, Number of Shares/Units | 2,516 | 1,438 | 1,031 |
Cancelled, Number of Shares/Units | (526) | (672) | (85) |
Vested, Number of Shares/Units | (1,151) | (630) | (663) |
Outstanding at end of period — unvested | 3,781 | 2,942 | 2,806 |
Outstanding at beginning of period — unvested, Weighted Average Grant Date Fair Value | $ 36.55 | $ 41.08 | $ 41.21 |
Granted, Weighted Average Grant Date Fair Value | 11.57 | 16.12 | 49.46 |
Cancelled, Weighted Average Grant Date Fair Value | 38.64 | 46.20 | 39.52 |
Vested, Weighted Average Grant Date Fair Value | 40.99 | 23.89 | 12.59 |
Outstanding at end of period — unvested, Weighted Average Grant Date Fair Value | $ 36.34 | $ 36.55 | $ 41.08 |
Stock-Based Compensation (Sch74
Stock-Based Compensation (Schedule Of Weighted-Average Fair Value Assumptions) (Details) | 12 Months Ended |
Dec. 31, 2016$ / shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Weighted-average fair value | $ 7.80 |
Expected volatility | 60.00% |
Expected dividend yield | 0.00% |
Minimum [Member] | Stock Options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Risk-free interest rate | 0.76% |
Derived term in years | 3 years |
Maximum [Member] | Stock Options [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Risk-free interest rate | 1.46% |
Derived term in years | 4 years |
Stock-Based Compensation (Sch75
Stock-Based Compensation (Schedule Of Stock Option Activity) (Details) - Stock Options [Member] shares in Thousands | 12 Months Ended |
Dec. 31, 2016$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Outstanding at beginning of period, Number of Shares | shares | |
Granted, Number of Shares | shares | 2,260 |
Exercised, Number of Shares | shares | |
Forfeited and expired, Number of Shares | shares | |
Outstanding at end of period, Number of Shares | shares | 2,260 |
Exercisable at end of period, Number of Shares | shares | |
Outstanding at beginning of period, Weighted Average Exercise | $ / shares | |
Granted, Weighted Average Exercise | $ / shares | 13.92 |
Exercised, Weighted Average Exercise | $ / shares | |
Forfeited and expired, Weighted Average Exercise | $ / shares | |
Outstanding at end of period, Weighted Average Exercise | $ / shares | 13.92 |
Exercisable at end of period, Weighted Average Exercise | $ / shares | |
Outstanding at end of period, Weighted Average Remaining Term (in years) | 9 years 6 months |
International Retirement Plan76
International Retirement Plan (Narrative) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Non-Contributory Defined Benefit Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Net present value of annuity | $ 2,760 | $ 2,741 |
International Retirement Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Unrecognized net gain (loss) | (1,437) | 338 |
Actuarial amortization | 128 | 154 |
Tax (benefit) provision | (407) | 154 |
Adjustment to AOCI | $ 902 | $ 338 |
International Retirement Plan77
International Retirement Plan (Reconciliation Of Changes In Projected Benefit Obligation) (Details) - International Retirement Plan [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Obligations as of January 1 | $ 6,328 | $ 7,194 |
Service cost | 154 | 178 |
Interest cost | 159 | 156 |
Actuarial (gain) loss | 1,437 | (338) |
Benefit payments | (120) | (119) |
Effect of foreign currency exchange rate changes | (231) | (743) |
Obligations as of December 31 | 7,727 | 6,328 |
Funded status as of December 31 (net of tax benefit) | $ (7,727) | $ (6,328) |
International Retirement Plan78
International Retirement Plan (Summary Of Amounts Recognized In Consolidated Balance Sheets) (Details) - International Retirement Plan [Member] - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Defined Benefit Plan Disclosure [Line Items] | |||
Accrued liabilities | $ 114 | $ 117 | |
Other liabilities | 7,613 | 6,211 | |
Projected benefit obligation | 7,727 | 6,328 | $ 7,194 |
Accumulated other comprehensive income | (2,775) | (1,873) | |
Total | $ 4,952 | $ 4,455 |
International Retirement Plan79
International Retirement Plan (Schedule Of Accumulated And Projected Benefit Obligations) (Details) - International Retirement Plan [Member] - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Defined Benefit Plan Disclosure [Line Items] | |||
Projected benefit obligation | $ 7,727 | $ 6,328 | $ 7,194 |
Accumulated benefit obligation | $ 6,905 | $ 5,738 |
International Retirement Plan80
International Retirement Plan (Components Of Net Periodic Benefit Costs And Other Amounts Recognized In Other Comprehensive Income) (Details) - International Retirement Plan [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | $ 154 | $ 178 |
Interest cost | 159 | 156 |
Amortization of actuarial loss | 128 | 154 |
Total | 441 | 488 |
Net (gain) loss | 1,437 | (338) |
Total expense recognized in net periodic benefit cost and other comprehensive income (loss) | $ 1,878 | $ 150 |
International Retirement Plan81
International Retirement Plan (Assumptions Used To Determine Benefit Obligations) (Details) - International Retirement Plan [Member] | Dec. 31, 2016 | Dec. 31, 2015 |
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 1.60% | 2.50% |
Rate of compensation | 3.00% | 2.50% |
International Retirement Plan82
International Retirement Plan (Summary Of Estimated Future Benefit Payments) (Details) - International Retirement Plan [Member] $ in Thousands | Dec. 31, 2016USD ($) |
Defined Benefit Plan Disclosure [Line Items] | |
2,017 | $ 129 |
2,018 | 131 |
2,019 | 145 |
2,020 | 173 |
2,021 | 176 |
2022-2026 | $ 1,077 |
Warranty Contracts (Details)
Warranty Contracts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Warranty Contracts [Line Items] | |||
Product Warranty Period | 1 year | ||
Beginning Balance Deferred Warranty Revenue | $ 10,663 | $ 11,914 | $ 9,141 |
Warranty Revenue Deferred | 12,859 | 15,349 | 17,185 |
Warranty Revenue Recognized | (14,471) | (16,600) | (14,412) |
Ending Balance Deferred Warranty Revenue | 9,051 | 10,663 | 11,914 |
Warranty Costs Incurred | 13,713 | 11,761 | 11,398 |
Materials [Member] | |||
Warranty Contracts [Line Items] | |||
Warranty Costs Incurred | 6,851 | 6,202 | 5,958 |
Labor And Overhead [Member] | |||
Warranty Contracts [Line Items] | |||
Warranty Costs Incurred | $ 6,862 | $ 5,559 | $ 5,440 |
Computation of Net Income (Lo84
Computation of Net Income (Loss) per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Loss Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | |||||||||||||||
Net income (loss) attributable to 3D Systems Corporation | $ (38,419) | $ (655,492) | $ 11,637 | ||||||||||||
Weighted average shares | 111,189 | 111,969 | 108,023 | ||||||||||||
Net income (loss) per share, basic and diluted | $ 0.05 | $ (0.19) | $ (0.04) | $ (0.16) | $ (5.32) | $ (0.29) | $ (0.12) | $ (0.12) | $ 0.01 | $ 0.03 | $ 0.02 | $ 0.05 | $ (0.35) | $ (5.85) | $ 0.11 |
Shares excluded from diluted loss per share calculation | 2,060 | ||||||||||||||
Restricted Stock Units [Member] | |||||||||||||||
Loss Per Share, Diluted, by Common Class, Including Two Class Method [Line Items] | |||||||||||||||
Shares excluded from diluted loss per share calculation | 3,003 | 1,117 |
Noncontrolling Interests (Detai
Noncontrolling Interests (Details) | 12 Months Ended | ||
Dec. 31, 2016 | Apr. 02, 2015 | Nov. 25, 2014 | |
Business Acquisition [Line Items] | |||
Acquisition date | Dec. 17, 2014 | ||
Robtec [Member] | |||
Business Acquisition [Line Items] | |||
Acquired ownership percentage | 70.00% | 70.00% | |
Acquisition date | Nov. 25, 2014 | ||
Easyway [Member] | |||
Business Acquisition [Line Items] | |||
Acquired ownership percentage | 65.00% | 65.00% | |
Acquisition date | Apr. 2, 2015 |
Fair Value Measurements (Narrat
Fair Value Measurements (Narrative) (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Fair Value Measurements [Abstract] | |
Earnout accretion | $ 54 |
Deferred purchase payment provision | 1,079 |
Fair value of assets transferred from level 1 to level 2 | 0 |
Fair value of liabilities transferred from level 1 to level 2 | $ 0 |
Fair Value Measurements (Summar
Fair Value Measurements (Summary Of Assets And Liabilities Measured At Fair Value On Recurring Basis) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash equivalents | [1] | $ 25,206 | $ 26,648 |
Earnout consideration | [2] | 10,806 | 9,673 |
Level 1 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash equivalents | [1] | 25,206 | 26,648 |
Level 2 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Cash equivalents | [1] | ||
Earnout consideration | [2] | ||
Level 3 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Earnout consideration | [2] | $ 10,806 | $ 9,673 |
[1] | Cash equivalents include funds held in money market instruments and are reported at their current carrying value, which approximates fair value due to the short-term nature of these instruments and are included in cash and cash equivalents in the consolidated balance sheet. | ||
[2] | The fair value of the earnout consideration, which is based on the present value of the expected future payments to be made to the sellers of the acquired businesses, was derived by analyzing the future performance of the acquired businesses using the earnout formula and performance targets specified in each purchase agreement and adjusting those amounts to reflect the ability of the acquired entities to achieve the stated targets. Given the significance of the unobservable inputs, the valuations are classified in Level 3 of the fair value hierarchy. |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Tax Examination [Line Items] | |||||||||||||||
Provision (benefit) for income taxes | $ (1,212,000) | $ (2,214,000) | $ 1,700,000 | $ 1,179,000 | $ 29,535,000 | $ (3,524,000) | $ (10,096,000) | $ (6,943,000) | $ 75,000 | $ 1,113,000 | $ 694,000 | $ 3,559,000 | $ (547,000) | $ 8,972,000 | $ 5,441,000 |
Effective Income Tax Rate, Continuing Operations | 1.40% | (1.40%) | 31.30% | ||||||||||||
Difference between effective tax rate and federal statutory rate | 33.60% | 36.40% | 3.70% | ||||||||||||
Valuation allowance | 109,913,000 | 107,312,000 | $ 0 | $ 109,913,000 | $ 107,312,000 | $ 0 | |||||||||
Deferred income tax assets | 29,398,000 | 16,796,000 | 29,398,000 | 16,796,000 | |||||||||||
Net operating loss carryforwards | 148,199,000 | 85,609,000 | 148,199,000 | 85,609,000 | |||||||||||
Loss carryforwards for U.S. federal income tax purposes | 50,587,000 | 33,606,000 | 50,587,000 | 33,606,000 | |||||||||||
Loss carryforwards for U.S. state income tax purposes | 78,274,000 | 34,492,000 | 78,274,000 | 34,492,000 | |||||||||||
Loss carryforwards for foreign income tax purposes | 19,338,000 | 17,511,000 | 19,338,000 | 17,511,000 | |||||||||||
Decrease in valuation allowance | 17,849,000 | ||||||||||||||
Unremitted earnings of foreign subsidiaries | 38,545,000 | 38,545,000 | |||||||||||||
Unrecognized benefits | 10,077,000 | 6,451,000 | |||||||||||||
Anticipated additional unrecognized tax benefits during the next twelve months | $ 0 | ||||||||||||||
Australia Tax Authority [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Tax years subject to examination | 2,012 | ||||||||||||||
Belgium Tax Authority [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Tax years subject to examination | 2,013 | ||||||||||||||
Brazil Tax Authority [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Tax years subject to examination | 2,011 | ||||||||||||||
China Tax Authority [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Tax years subject to examination | 2,013 | ||||||||||||||
France Tax Authority [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Tax years subject to examination | 2,013 | ||||||||||||||
German Tax Authority [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Tax years subject to examination | 2,012 | ||||||||||||||
India Tax Authority [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Tax years subject to examination | 2,013 | ||||||||||||||
Israel Tax Authority [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Tax years subject to examination | 2,012 | ||||||||||||||
Italy Tax Authority [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Tax years subject to examination | 2,011 | ||||||||||||||
Japan Tax Authority [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Tax years subject to examination | 2,011 | ||||||||||||||
Korea Tax Authority [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Tax years subject to examination | 2,011 | ||||||||||||||
Mexican Tax Authority [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Tax years subject to examination | 2,011 | ||||||||||||||
Netherlands Tax Authority [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Tax years subject to examination | 2,011 | ||||||||||||||
Switzerland Tax Authority [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Tax years subject to examination | 2,011 | ||||||||||||||
United Kingdom Tax Authority [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Tax years subject to examination | 2,015 | ||||||||||||||
Uruguay Tax Authority [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Tax years subject to examination | 2,011 | ||||||||||||||
U.S Federal Income Tax [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Research and experimentation tax credit carryforwards | 2,544,000 | 2,544,000 | $ 2,544,000 | 2,544,000 | |||||||||||
Foreign tax credits | 7,155,000 | 2,740,000 | 7,155,000 | 2,740,000 | |||||||||||
Other tax credits | 474,000 | 474,000 | $ 474,000 | 474,000 | |||||||||||
U.S Federal Income Tax [Member] | Minimum [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Net operating loss carryforwards beginning expiration date | Dec. 31, 2022 | ||||||||||||||
U.S. State Income Tax [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Research and experimentation tax credit carryforwards | 2,649,000 | 2,082,000 | $ 2,649,000 | 2,082,000 | |||||||||||
Other tax credits | 600,000 | 615,000 | $ 600,000 | 615,000 | |||||||||||
U.S. State Income Tax [Member] | Minimum [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Net operating loss carryforwards beginning expiration date | Dec. 31, 2017 | ||||||||||||||
Foreign Income Tax [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Research and experimentation tax credit carryforwards | $ 149,000 | $ 155,000 | $ 149,000 | $ 155,000 | |||||||||||
Foreign Income Tax [Member] | Minimum [Member] | |||||||||||||||
Income Tax Examination [Line Items] | |||||||||||||||
Net operating loss carryforwards beginning expiration date | Dec. 31, 2018 |
Income Taxes (Components Of Inc
Income Taxes (Components Of Income Before Income Taxes) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Taxes [Abstract] | |||
Income before income taxes: Domestic | $ (53,868) | $ (580,720) | $ 5,751 |
Income before income taxes: Foreign | 14,056 | (74,233) | 11,636 |
Income (loss) before income taxes | $ (39,812) | $ (654,953) | $ 17,387 |
Income Taxes (Components Of I90
Income Taxes (Components Of Income Tax Provision) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Taxes [Abstract] | |||||||||||||||
Current: U.S. federal | $ (2,110) | $ 10,753 | $ 23,336 | ||||||||||||
Current: State | 30 | 169 | 72 | ||||||||||||
Current: Foreign | 8,099 | 925 | 6,588 | ||||||||||||
Current: Total | 6,019 | 11,847 | 29,996 | ||||||||||||
Deferred: U.S. federal | (1,245) | (5,252) | (21,624) | ||||||||||||
Deferred: State | (225) | (87) | |||||||||||||
Deferred: Foreign | (5,321) | 2,602 | (2,844) | ||||||||||||
Deferred: Total | (6,566) | (2,875) | (24,555) | ||||||||||||
Total income tax (benefit) provision | $ (1,212) | $ (2,214) | $ 1,700 | $ 1,179 | $ 29,535 | $ (3,524) | $ (10,096) | $ (6,943) | $ 75 | $ 1,113 | $ 694 | $ 3,559 | $ (547) | $ 8,972 | $ 5,441 |
Income Taxes (Schedule Of Effec
Income Taxes (Schedule Of Effective Tax Rate Reconciliation) (Details) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Taxes [Abstract] | |||
Tax provision based on the federal statutory rate | 35.00% | 35.00% | 35.00% |
Nondeductible expenses | (1.10%) | (0.10%) | 12.50% |
Foreign exchange loss | 9.40% | ||
Uncertain tax positions | (25.10%) | (0.50%) | 11.20% |
Deemed income related to foreign operations | (8.40%) | (0.60%) | 8.10% |
Return to provision adjustments — foreign tax credit | 8.40% | (0.70%) | 2.50% |
Return to provision adjustments — research and development credits | 4.00% | ||
Return to provision adjustments — non-consolidated U.S. entities | 6.40% | ||
Impairment of definite lived intangibles | 3.10% | ||
Foreign income tax rate differential | 3.10% | (2.00%) | 0.50% |
State taxes, net of federal benefit, before valuation allowance | 3.90% | 0.90% | 0.30% |
Increase in valuation allowances | (58.50%) | (16.40%) | |
Impairment of goodwill with no tax basis | (16.80%) | ||
Foreign tax credits related to above | 6.50% | 0.20% | (6.30%) |
Deferred tax adjustment — deferred revenue | 7.60% | ||
Deferred tax adjustment — state tax credits | 1.40% | ||
Deferred tax adjustments — other | 4.00% | ||
Domestic production activities deduction | (12.00%) | ||
Research credits | (21.90%) | ||
Other | 1.70% | (0.40%) | 1.40% |
Effective tax rate | 1.40% | (1.40%) | 31.30% |
Income Taxes (Components Of Net
Income Taxes (Components Of Net Deferred Income Tax Assets And Net Deferred Income Tax Liabilities) (Details) - USD ($) | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Income Taxes [Abstract] | |||
Intangibles | $ 40,014,000 | $ 46,293,000 | |
Stock options and restricted stock awards | 14,384,000 | 22,010,000 | |
Reserves and allowances | 20,022,000 | 18,738,000 | |
Net operating loss carryforwards | 29,398,000 | 16,796,000 | |
Tax credit carryforwards | 13,571,000 | 8,610,000 | |
Accrued liabilities | 5,330,000 | 4,943,000 | |
Deferred revenue | 3,502,000 | 405,000 | |
Valuation allowance | (109,913,000) | (107,312,000) | $ 0 |
Total deferred income tax assets | 16,308,000 | 10,483,000 | |
Intangibles | 16,968,000 | 22,676,000 | |
Property, plant and equipment | 8,818,000 | 3,851,000 | |
Total deferred income tax liabilities | 25,786,000 | 26,527,000 | |
Net deferred income tax liabilities | $ (9,478,000) | $ (16,044,000) |
Income Taxes (Schedule Of Unrec
Income Taxes (Schedule Of Unrecognized Tax Benefits) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income Taxes [Abstract] | |||
Balance at January 1 | $ (8,296) | $ (1,845) | $ (16) |
Increases related to prior year tax positions | (2,658) | ||
Decreases related to prior year tax positions | 1,475 | ||
Increases related to current year tax positions | (7,297) | (7,926) | (1,829) |
Decreases related to current year tax positions | |||
Decreases in unrecognized liability due to settlements with foreign tax authorities | |||
Balance at December 31 | $ (18,251) | $ (8,296) | $ (1,845) |
Segment Information (Schedule O
Segment Information (Schedule Of Revenue From Unaffiliated Customers By Geographic Area) (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2016USD ($) | Sep. 30, 2016USD ($) | Jun. 30, 2016USD ($) | Mar. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Mar. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Sep. 30, 2014USD ($) | Jun. 30, 2014USD ($) | Mar. 31, 2014USD ($) | Dec. 31, 2016USD ($)segment | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | |
Number of reportable segments | segment | 1 | ||||||||||||||
Revenue from unaffiliated customers | $ 165,937 | $ 156,362 | $ 158,111 | $ 152,555 | $ 183,363 | $ 151,574 | $ 170,504 | $ 160,722 | $ 187,438 | $ 166,944 | $ 151,512 | $ 147,758 | $ 632,965 | $ 666,163 | $ 653,652 |
Operating Segments [Member] | Americas [Member] | |||||||||||||||
Revenue from unaffiliated customers | 340,885 | 357,976 | 333,925 | ||||||||||||
Operating Segments [Member] | Germany [Member] | |||||||||||||||
Revenue from unaffiliated customers | 78,979 | 82,872 | 87,021 | ||||||||||||
Operating Segments [Member] | Other EMEA [Member] | |||||||||||||||
Revenue from unaffiliated customers | 114,162 | 117,232 | 109,066 | ||||||||||||
Operating Segments [Member] | Asia Pacific [Member] | |||||||||||||||
Revenue from unaffiliated customers | $ 98,939 | $ 108,083 | $ 123,640 |
Segment Information (Schedule95
Segment Information (Schedule Of Revenue From Unaffiliated Customers By Product And Service) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Revenue | $ 165,937 | $ 156,362 | $ 158,111 | $ 152,555 | $ 183,363 | $ 151,574 | $ 170,504 | $ 160,722 | $ 187,438 | $ 166,944 | $ 151,512 | $ 147,758 | $ 632,965 | $ 666,163 | $ 653,652 |
Operating Segments [Member] | Products [Member] | |||||||||||||||
Revenue | 223,544 | 257,379 | 283,339 | ||||||||||||
Operating Segments [Member] | Materials [Member] | |||||||||||||||
Revenue | 156,839 | 150,740 | 158,859 | ||||||||||||
Operating Segments [Member] | Services [Member] | |||||||||||||||
Revenue | $ 252,582 | $ 258,044 | $ 211,454 |
Segment Information (Schedule96
Segment Information (Schedule Of Intercompany Sales By Geographic Area) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Intercompany sales | $ 165,937 | $ 156,362 | $ 158,111 | $ 152,555 | $ 183,363 | $ 151,574 | $ 170,504 | $ 160,722 | $ 187,438 | $ 166,944 | $ 151,512 | $ 147,758 | $ 632,965 | $ 666,163 | $ 653,652 |
Intercompany Sales [Member] | |||||||||||||||
Intercompany sales | 155,451 | 159,591 | 144,622 | ||||||||||||
Americas [Member] | Intercompany Sales [Member] | |||||||||||||||
Intercompany sales | 71,268 | 64,589 | 48,323 | ||||||||||||
Germany [Member] | Intercompany Sales [Member] | |||||||||||||||
Intercompany sales | 32,246 | 40,788 | 46,956 | ||||||||||||
Other EMEA [Member] | Intercompany Sales [Member] | |||||||||||||||
Intercompany sales | 20,248 | 26,855 | 29,389 | ||||||||||||
Asia Pacific [Member] | Intercompany Sales [Member] | |||||||||||||||
Intercompany sales | 31,689 | 27,359 | 19,954 | ||||||||||||
Americas [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 340,885 | 357,976 | 333,925 | ||||||||||||
Americas [Member] | Intercompany Sales [Member] | |||||||||||||||
Intercompany sales | 64,491 | 74,360 | 79,056 | ||||||||||||
Americas [Member] | Americas [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 3,013 | 3,073 | 201 | ||||||||||||
Americas [Member] | Germany [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 28,881 | 36,552 | 43,841 | ||||||||||||
Americas [Member] | Other EMEA [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 10,958 | 17,133 | 20,581 | ||||||||||||
Americas [Member] | Asia Pacific [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 21,639 | 17,602 | 14,433 | ||||||||||||
Germany [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 78,979 | 82,872 | 87,021 | ||||||||||||
Germany [Member] | Intercompany Sales [Member] | |||||||||||||||
Intercompany sales | 8,139 | 6,344 | 9,967 | ||||||||||||
Germany [Member] | Americas [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 4,123 | 70 | 3,217 | ||||||||||||
Germany [Member] | Other EMEA [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 3,850 | 6,149 | 6,742 | ||||||||||||
Germany [Member] | Asia Pacific [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 166 | 125 | 8 | ||||||||||||
Other EMEA [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 114,162 | 117,232 | 109,066 | ||||||||||||
Other EMEA [Member] | Intercompany Sales [Member] | |||||||||||||||
Intercompany sales | 75,447 | 72,192 | 50,542 | ||||||||||||
Other EMEA [Member] | Americas [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 61,086 | 58,419 | 42,622 | ||||||||||||
Other EMEA [Member] | Germany [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 3,365 | 4,232 | 3,115 | ||||||||||||
Other EMEA [Member] | Other EMEA [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 5,071 | 3,494 | 2,066 | ||||||||||||
Other EMEA [Member] | Asia Pacific [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 5,925 | 6,047 | 2,739 | ||||||||||||
Asia Pacific [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 98,939 | 108,083 | 123,640 | ||||||||||||
Asia Pacific [Member] | Intercompany Sales [Member] | |||||||||||||||
Intercompany sales | 7,374 | 6,695 | 5,057 | ||||||||||||
Asia Pacific [Member] | Americas [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 3,046 | 3,027 | 2,283 | ||||||||||||
Asia Pacific [Member] | Germany [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 4 | ||||||||||||||
Asia Pacific [Member] | Other EMEA [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | 369 | 79 | |||||||||||||
Asia Pacific [Member] | Asia Pacific [Member] | Operating Segments [Member] | |||||||||||||||
Intercompany sales | $ 3,959 | $ 3,585 | $ 2,774 |
Segment Information (Schedule97
Segment Information (Schedule Of Income (Loss) From Operations By Geographic Area) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | [1] | Sep. 30, 2015 | [1] | Jun. 30, 2015 | [1] | Mar. 31, 2015 | [1] | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Income (loss) from operations | $ 4,073 | $ (22,017) | $ (3,717) | $ (16,759) | $ (565,921) | $ (34,637) | $ (23,842) | $ (17,524) | $ 4,228 | $ 8,208 | $ 4,362 | $ 9,517 | $ (38,420) | $ (641,924) | $ 26,315 | ||||
Reportable Geographical Components [Member] | |||||||||||||||||||
Income (loss) from operations | (35,747) | (640,052) | 27,398 | ||||||||||||||||
Intercompany Sales [Member] | |||||||||||||||||||
Income (loss) from operations | (2,673) | (1,872) | (1,083) | ||||||||||||||||
Americas [Member] | |||||||||||||||||||
Income (loss) from operations | (53,725) | (596,283) | (24,663) | ||||||||||||||||
Germany [Member] | |||||||||||||||||||
Income (loss) from operations | 8,032 | 5,271 | 2,749 | ||||||||||||||||
Other EMEA [Member] | |||||||||||||||||||
Income (loss) from operations | (9,645) | (76,472) | 9,181 | ||||||||||||||||
Asia Pacific [Member] | |||||||||||||||||||
Income (loss) from operations | $ 19,591 | $ 27,432 | $ 40,131 | ||||||||||||||||
[1] | For the quarter ended December 31, 2015, loss from operations includes $443,659 of impairment charges related to goodwill and $93,520 of impairment charges related to other intangible assets. In addition, the Company recognized cash and non-cash charges related to the end of life of the Cube printer and shift from consumer products and services, which totaled $8,771 and $18,619, respectively. See Notes 2, 4, 6 and 7 to the Consolidated Financial Statements. |
Segment Information (Schedule98
Segment Information (Schedule Of Assets By Geographic Area) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Assets | $ 849,153 | $ 891,959 | $ 1,530,310 |
Americas [Member] | |||
Assets | 345,412 | 382,738 | 1,018,113 |
Germany [Member] | |||
Assets | 40,547 | 36,782 | 47,524 |
Other EMEA [Member] | |||
Assets | 341,616 | 369,302 | 384,830 |
Asia Pacific [Member] | |||
Assets | $ 121,578 | $ 103,137 | $ 79,843 |
Segment Information (Schedule99
Segment Information (Schedule Of Depreciation And Amortization By Geographic Area) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Segment Reporting Information [Line Items] | |||
Depreciation and amortization | $ 60,535 | $ 83,069 | $ 55,188 |
Americas [Member] | |||
Segment Reporting Information [Line Items] | |||
Depreciation and amortization | 25,892 | 43,613 | 38,876 |
Germany [Member] | |||
Segment Reporting Information [Line Items] | |||
Depreciation and amortization | 881 | 1,011 | 1,075 |
Other EMEA [Member] | |||
Segment Reporting Information [Line Items] | |||
Depreciation and amortization | 29,065 | 33,585 | 11,427 |
Asia Pacific [Member] | |||
Segment Reporting Information [Line Items] | |||
Depreciation and amortization | $ 4,697 | $ 4,860 | $ 3,810 |
Segment Information (Schedul100
Segment Information (Schedule Of Capital Expenditures By Geographic Area) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Segment Reporting Information [Line Items] | |||
Capital expenditures | $ 16,567 | $ 22,399 | $ 22,727 |
Americas [Member] | |||
Segment Reporting Information [Line Items] | |||
Capital expenditures | 8,172 | 14,062 | 18,187 |
Germany [Member] | |||
Segment Reporting Information [Line Items] | |||
Capital expenditures | 307 | 613 | 235 |
Other EMEA [Member] | |||
Segment Reporting Information [Line Items] | |||
Capital expenditures | 5,640 | 6,856 | 3,680 |
Asia Pacific [Member] | |||
Segment Reporting Information [Line Items] | |||
Capital expenditures | $ 2,448 | $ 868 | $ 625 |
Segment Information (Schedul101
Segment Information (Schedule Of Cash And Cash Equivalents By Geographic Area) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Cash and cash equivalents | $ 184,947 | $ 155,643 | $ 284,862 | $ 306,316 |
Americas [Member] | ||||
Cash and cash equivalents | 105,750 | 98,913 | 245,219 | |
Germany [Member] | ||||
Cash and cash equivalents | 8,885 | 3,901 | 6,640 | |
Other EMEA [Member] | ||||
Cash and cash equivalents | 35,992 | 30,487 | 15,556 | |
Asia Pacific [Member] | ||||
Cash and cash equivalents | $ 34,320 | $ 22,342 | $ 17,447 |
Segment Information (Schedul102
Segment Information (Schedule Of Long-Lived Assets By Geographic Area) (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Segment Reporting Information [Line Items] | |||
Long-lived assets | $ 416,203 | $ 459,492 | $ 949,620 |
Americas [Member] | |||
Segment Reporting Information [Line Items] | |||
Long-lived assets | 96,016 | 113,364 | 570,049 |
Germany [Member] | |||
Segment Reporting Information [Line Items] | |||
Long-lived assets | 14,757 | 14,088 | 19,994 |
Other EMEA [Member] | |||
Segment Reporting Information [Line Items] | |||
Long-lived assets | 247,786 | 271,892 | 312,384 |
Asia Pacific [Member] | |||
Segment Reporting Information [Line Items] | |||
Long-lived assets | $ 57,644 | $ 60,148 | $ 47,193 |
Commitments And Contingencies (
Commitments And Contingencies (Details) $ in Thousands | Sep. 28, 2015USD ($) | Aug. 23, 2013lawsuit | Dec. 31, 2015USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2014USD ($) |
Other Commitments [Line Items] | |||||
Supply commitments for printer assemblies | $ 50,663 | ||||
Total liabilities recorded for earnouts | 9,832 | $ 10,806 | |||
Number of stockholder class action lawsuits | lawsuit | 2 | ||||
Provision for arbitration award | $ 11,282 | 11,282 | |||
Redeemable noncontrolling interests | $ 8,872 | 8,872 | $ 8,872 | ||
Alleged actual damages | 7,254 | ||||
Fees and expenses | 2,318 | ||||
Prejudgment interest | $ 1,710 | ||||
Put Option [Member] | |||||
Other Commitments [Line Items] | |||||
Aggregate amount to owner upon exercise | $ 8,872 |
Accumulated Other Comprehens104
Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Beginning Balance | $ (39,548) | $ (24,406) |
Other comprehensive income (loss) | (13,677) | (15,142) |
Ending Balance | (53,225) | (39,548) |
Foreign Currency Translation Adjustment [Member] | ||
Beginning Balance | (37,675) | (22,195) |
Other comprehensive income (loss) | (13,063) | (15,480) |
Ending Balance | (50,738) | (37,675) |
Liquidation Of Non-US Entity [Member] | ||
Beginning Balance | ||
Other comprehensive income (loss) | 288 | |
Ending Balance | 288 | |
Defined Benefit Pension Plan [Member] | ||
Beginning Balance | (1,873) | (2,211) |
Other comprehensive income (loss) | (902) | 338 |
Ending Balance | $ (2,775) | $ (1,873) |
Selected Quarterly Financial105
Selected Quarterly Financial Data (Schedule Of Selected Quarterly Financial Data) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |||||
Selected Quarterly Financial Data [Abstract] | |||||||||||||||||||
Consolidated revenue | $ 165,937 | $ 156,362 | $ 158,111 | $ 152,555 | $ 183,363 | $ 151,574 | $ 170,504 | $ 160,722 | $ 187,438 | $ 166,944 | $ 151,512 | $ 147,758 | $ 632,965 | $ 666,163 | $ 653,652 | ||||
Gross profit | 82,890 | 68,937 | 80,411 | 77,513 | 60,160 | 71,038 | 81,627 | 78,984 | 89,766 | 79,798 | 72,398 | 75,472 | 309,751 | 291,809 | 317,434 | ||||
Total operating expenses | 78,817 | 90,954 | 84,128 | 94,272 | 626,081 | 105,675 | 105,469 | 96,508 | 85,538 | 71,590 | 68,036 | 65,955 | 348,171 | 933,733 | 291,119 | ||||
Income (loss) from operations | 4,073 | (22,017) | (3,717) | (16,759) | (565,921) | [1] | (34,637) | [1] | (23,842) | [1] | (17,524) | [1] | 4,228 | 8,208 | 4,362 | 9,517 | (38,420) | (641,924) | 26,315 |
Provision (benefit) for income taxes | (1,212) | (2,214) | 1,700 | 1,179 | 29,535 | (3,524) | (10,096) | (6,943) | 75 | 1,113 | 694 | 3,559 | (547) | 8,972 | 5,441 | ||||
Net income (loss) attributable to 3D Systems | $ 5,230 | $ (21,213) | $ (4,648) | $ (17,788) | $ (596,366) | $ (32,249) | $ (13,696) | $ (13,181) | $ 1,551 | $ 3,084 | $ 2,125 | $ 4,877 | $ (38,419) | $ (655,492) | $ 11,637 | ||||
Basic and diluted net income (loss) per share | $ 0.05 | $ (0.19) | $ (0.04) | $ (0.16) | $ (5.32) | $ (0.29) | $ (0.12) | $ (0.12) | $ 0.01 | $ 0.03 | $ 0.02 | $ 0.05 | $ (0.35) | $ (5.85) | $ 0.11 | ||||
Impairment of goodwill and other intangible assets | $ 443,659 | $ 537,179 | |||||||||||||||||
Finite lives impairment charge | $ 93,520 | $ 0 | 93,520 | $ 0 | |||||||||||||||
Cash charge related to shift from consumer products and services | 8,771 | ||||||||||||||||||
Non-cash charge related to shift from consumer products and services | $ 18,619 | ||||||||||||||||||
[1] | For the quarter ended December 31, 2015, loss from operations includes $443,659 of impairment charges related to goodwill and $93,520 of impairment charges related to other intangible assets. In addition, the Company recognized cash and non-cash charges related to the end of life of the Cube printer and shift from consumer products and services, which totaled $8,771 and $18,619, respectively. See Notes 2, 4, 6 and 7 to the Consolidated Financial Statements. |
Subsequent Events (Details)
Subsequent Events (Details) $ in Thousands | Jan. 31, 2017USD ($)countryitem | Dec. 17, 2014USD ($) |
Subsequent Event [Line Items] | ||
Consideration paid in cash | $ 54,552 | |
Subsequent Event [Member] | Vertex-Global Holding B.V. [Member] | ||
Subsequent Event [Line Items] | ||
Acquired ownership percentage | 100.00% | |
Fair value of consideration paid | $ 37,562 | |
Consideration paid in cash | 34,342 | |
Consideration paid in shares | $ 3,220 | |
Number of devoloped materials acquired | item | 12 | |
Number of countries of regulatory approval for use of materials | country | 70 |
Valuation And Qualifying Acc107
Valuation And Qualifying Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Allowance For Doubtful Accounts [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at beginning of year | $ 14,139 | $ 10,300 | $ 8,133 |
Additions charged to expense | 1,552 | 3,766 | 8,699 |
Other | 73 | ||
Other, deductions | (2,771) | (6,532) | |
Balance at end of year | 12,920 | 14,139 | 10,300 |
Deferred Income Tax Asset Allowance [Member] | |||
Valuation and Qualifying Accounts Disclosure [Line Items] | |||
Balance at beginning of year | 107,312 | ||
Additions charged to expense | 20,450 | 107,312 | |
Other, deductions | (17,849) | ||
Balance at end of year | $ 109,913 | $ 107,312 |