Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Mar. 31, 2019 | May 01, 2019 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2019 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2019 | |
Entity Registrant Name | Clarus Corp | |
Entity Central Index Key | 0000913277 | |
Trading Symbol | clar | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Smaller Reporting Accelerated Filer | |
Entity Current Reporting Status | Yes | |
Entity Common Stock, Shares Outstanding | 29,890,993 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Current assets | ||
Cash | $ 2,522 | $ 2,486 |
Accounts receivable, less allowance for doubtful accounts of $569 and $392, respectively | 37,634 | 35,943 |
Inventories | 62,091 | 64,933 |
Prepaid and other current assets | 5,245 | 5,115 |
Income tax receivable | 24 | |
Total current assets | 107,492 | 108,501 |
Property and equipment, net | 23,163 | 23,401 |
Definite lived intangible assets, net | 18,483 | 19,416 |
Indefinite lived intangible assets | 41,633 | 41,694 |
Goodwill | 18,090 | 18,090 |
Other long-term assets | 3,300 | 2,026 |
Total assets | 212,161 | 213,128 |
Current liabilities | ||
Accounts payable and accrued liabilities | 20,293 | 21,489 |
Income tax payable | 189 | 210 |
Current portion of long-term debt | 41 | |
Total current liabilities | 20,482 | 21,740 |
Long-term debt | 18,271 | 22,105 |
Deferred income taxes | 2,979 | 2,919 |
Other long-term liabilities | 860 | 159 |
Total liabilities | 42,592 | 46,923 |
Stockholders' Equity | ||
Preferred stock, $.0001 par value; 5,000 shares authorized; none issued | ||
Common stock, $.0001 par value; 100,000 shares authorized; 33,244 and 33,244 issued and 29,748 and 29,748 outstanding, respectively | 3 | 3 |
Additional paid in capital | 489,189 | 488,404 |
Accumulated deficit | (301,536) | (304,577) |
Treasury stock, at cost | (18,102) | (18,102) |
Accumulated other comprehensive income (loss) | 15 | 477 |
Total stockholders' equity | 169,569 | 166,205 |
Total liabilities and stockholders' equity | $ 212,161 | $ 213,128 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Consolidated Balance Sheets | ||
Accounts receivable,allowance for doubtful accounts | $ 569 | $ 392 |
Preferred stock, par value | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 5,000,000 | 5,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 33,244,000 | 32,444,000 |
Common stock, shares outstanding | 29,748,000 | 29,748,000 |
Consolidated Statements Of Comp
Consolidated Statements Of Comprehensive Income (Loss) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Sales | ||
Sales | $ 61,218 | $ 53,267 |
Cost of goods sold | 39,162 | 35,440 |
Gross profit | 22,056 | 17,827 |
Operating expenses | ||
Selling, general and administrative | 17,580 | 17,128 |
Restructuring charge | 13 | 40 |
Transaction costs | 46 | 165 |
Total operating expenses | 17,639 | 17,333 |
Operating income (loss) | 4,417 | 494 |
Other income (expense) | ||
Interest income (expense), net | (310) | (254) |
Other, net | (23) | 121 |
Total other income (expense), net | (333) | (133) |
Income (loss) before income tax | 4,084 | 361 |
Income tax (benefit) expense | 297 | (42) |
Net income (loss) | 3,787 | 403 |
Other comprehensive income (loss), net of tax: | ||
Foreign currency translation adjustment | (373) | 625 |
Unrealized income (loss) on hedging activities | (89) | 89 |
Other comprehensive income (loss) | (462) | 714 |
Comprehensive income (loss) | $ 3,325 | $ 1,117 |
Net income (loss) per share: | ||
Basic | $ 0.13 | $ 0.01 |
Diluted | $ 0.12 | $ 0.01 |
Weighted average shares outstanding: | ||
Basic | 29,748 | 30,041 |
Diluted | 30,673 | 30,157 |
Domestic Sales [Member] | ||
Sales | ||
Sales | $ 30,589 | $ 25,654 |
International Sales [Member] | ||
Sales | ||
Sales | $ 30,629 | $ 27,613 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Cash Flows From Operating Activities: | ||
Net income (loss) | $ 3,787 | $ 403 |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ||
Depreciation of property and equipment | 1,103 | 1,073 |
Amortization of intangible assets | 889 | 969 |
Amortization of debt issuance costs | 64 | 17 |
(Gain) loss on disposition of assets | 31 | (2) |
Noncash lease expense | 159 | |
(Gain) loss from removal of accumulated translation adjustment | (131) | |
Stock-based compensation | 785 | 499 |
Deferred income taxes | 162 | (150) |
Changes in operating assets and liabilities: | ||
Accounts receivable | (1,921) | (147) |
Inventories | 2,589 | 5,430 |
Prepaid and other assets | (295) | (528) |
Accounts payable and accrued liabilities | (1,655) | (10) |
Income taxes | 7 | (127) |
Other | (41) | |
Net cash provided by (used in) operating activities | 5,705 | 7,255 |
Cash Flows From Investing Activities: | ||
Proceeds from disposition of property and equipment | 1 | 2 |
Purchase of property and equipment | (1,046) | (853) |
Net cash provided by (used in) investing activities | (1,045) | (851) |
Cash Flows From Financing Activities: | ||
Proceeds from revolving credit facilities | 51,941 | 18,790 |
Repayments on revolving credit facilities | (55,732) | (24,894) |
Repayments of long-term debt and capital leases | (31) | (10) |
Cash dividends paid | (746) | |
Net cash provided by (used in) financing activities | (4,568) | (6,114) |
Effect of foreign exchange rates on cash | (56) | 50 |
Change in cash | 36 | 340 |
Cash, beginning of period | 2,486 | 1,856 |
Cash, end of period | 2,522 | 2,196 |
Supplemental Disclosure of Cash Flow Information: | ||
Cash paid (received) for income taxes | 75 | 237 |
Cash paid for interest | 258 | 264 |
Supplemental Disclosures of Non-Cash Investing and Financing Activities: | ||
Property and equipment purchased with accounts payable | 145 | 247 |
Property and equipment acquired through a capital lease | $ 123 | |
Lease liabilities arising from obtaining right of use assets | $ 1,516 |
Consolidated Statements Of Stoc
Consolidated Statements Of Stockholders' Equity - USD ($) shares in Thousands, $ in Thousands | Common Stock [Member] | Additional Paid-In Capital [Member] | Accumulated Deficit [Member] | Treasury Stock [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Total |
Balance at Dec. 31, 2017 | $ 3 | $ 485,285 | $ (310,390) | $ (12,415) | $ 499 | $ 162,982 |
Balance, shares at Dec. 31, 2017 | 32,917 | (2,875) | ||||
Net loss | 403 | 403 | ||||
Other comprehensive income (loss) | 714 | 714 | ||||
Stock compensation expense | 499 | 499 | ||||
Balance at Mar. 31, 2018 | $ 3 | 485,784 | (309,987) | $ (12,415) | 1,213 | 164,598 |
Balance, shares at Mar. 31, 2018 | 32,917 | (2,875) | ||||
Balance at Dec. 31, 2018 | $ 3 | 488,404 | (304,577) | $ (18,102) | 477 | 166,205 |
Balance, shares at Dec. 31, 2018 | 33,244 | (3,496) | ||||
Net loss | 3,787 | 3,787 | ||||
Other comprehensive income (loss) | (462) | (462) | ||||
Cash dividends ($0.025 per share) | (746) | (746) | ||||
Stock compensation expense | 785 | 785 | ||||
Balance at Mar. 31, 2019 | $ 3 | $ 489,189 | $ (301,536) | $ (18,102) | $ 15 | $ 169,569 |
Balance, shares at Mar. 31, 2019 | 33,244 | (3,496) |
Nature Of Operations And Summar
Nature Of Operations And Summary Of Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2019 | |
Nature Of Operations And Summary Of Significant Accounting Policies [Abstract] | |
Nature Of Operations And Summary Of Significant Accounting Policies | NOT E 1. NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The accompanying unaudited condensed consolidated financial statements of Clarus Corporation and subsidiaries (which may be referred to as the “Company,” “Clarus,” “we,” “us” or “our”) as of March 31, 2019 and December 31, 2018 and for the three months ended March 31, 2019 and 2018, have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”), instructions to the Quarterly Report on Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting only of normal recurring adjustments, except otherwise disclosed) necessary for a fair presentation of the unaudited condensed consolidated financial statements have been included. The results of the three months ended March 31, 2019 are not necessarily indicative of the results to be obtained for the year ending December 31, 2019. These interim financial statements should be read in conjunction with the Company’s audited consolidated financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2018, filed with the Securities and Exchange Commission (the “SEC”). Clarus, incorporated in Delaware in 1991, acquired Black Diamond Equipment, Ltd. (which may be referred to as “Black Diamond Equipment”) and Gregory Mountain Products, LLC (which may be referred to as “Gregory Mountain Products” or “Gregory”) in May 2010 and changed its name to Black Diamond, Inc. in January 2011. In July 2012, we acquired POC Sweden AB and its subsidiaries (collectively, “POC”) and in October 2012, we acquired PIEPS Holding GmbH and its subsidiaries (collectively, “PIEPS”). On July 23, 2014, the Company completed the sale of certain assets to Samsonite LLC comprising Gregory Mountain Products’ business. On October 7, 2015, the Company sold its equity interests in POC. On August 14, 2017, the Company changed its name from Black Diamond, Inc. to Clarus Corporation and its stock ticker symbol from “BDE” to “CLAR” on the NASDAQ stock exchange. On August 21, 2017, the Company acquired Sierra Bullets, L.L.C. (“Sierra”). On August 6, 2018 , the Company announced that its Board of Directors approved the initiation of a quarterly cash dividend program of $0.025 per share of the Company’s common stock (the “Quarterly Cash Dividend”) or $0.10 per share on an annualized basis. The declaration and payment of future Quarterly Cash Dividends is subject to the discretion of and approval of the Company’s Board of Directors. On April 26, 2019, the Company announced that its Board of Directors approved the payment on May 17, 2019 of the Quarterly Cash Dividend to the record holders of shares of the Company’s common stock as of the close of business on May 3, 2019 . On November 6, 2018, the Company acquired the assets of SKINourishment, Inc. (“SKINourishment”). Nature of Business Headquartered in Salt Lake City, Utah, Clarus, a company focused on the outdoor and consumer industries, is seeking opportunities to acquire and grow businesses that can generate attractive shareholder returns. The Company has substantial net operating tax loss carryforwards which it is seeking to redeploy to maximize shareholder value. Clarus’ primary business is as a leading developer, manufacturer and distributor of outdoor equipment and lifestyle products focused on the climb, ski, mountain, sport and skincare markets. The Company’s products are principally sold under the Black Diamond®, Sierra®, PIEPS® and SKINourishment® brand names through specialty and online retailers, distributors and original equipment manufacturers throughout the U.S. and internationally. Through our Black Diamond, PIEPS, and SKINourishment brands, we offer a broad range of products including: high performance activity-based apparel (such as shells, insulation, midlayers, pants and logowear); rock-climbing footwear and equipment (such as carabiners, protection devices, harnesses, belay devices, helmets, and ice-climbing gear); technical backpacks and high-end day packs; trekking poles; headlamps and lanterns; gloves and mittens; and skincare and other sport-enhancing products. We also offer advanced skis, ski poles, ski skins, and snow safety products, including avalanche airbag systems, avalanche transceivers, shovels, and probes. Through our Sierra brand, we manufacture a wide range of high-performance bullets and ammunition for both rifles and pistols that are used for precision target shooting, hunting and military and law enforcement purposes. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. The more significant estimates relate to purchase price allocation, excess or obsolete inventory, valuation of deferred tax assets, and valuation of goodwill, long-lived assets and other intangible assets. We base our estimates on historical experience and other assumptions that are believed to be reasonable under the circumstances. Actual results could differ from these estimates. Significant Accounting Policies Lease Accounting On January 1, 2019, the Company adopted Accounting Standards Codification (“ASC”) Topic 842, Leases, and elected the prospective method which was applied to all leases in effect as of January 1, 2019. Results for reporting periods beginning after January 1, 2019 are presented under the new guidance, while prior period amounts are not adjusted and continue to be presented in accordance with ASC Topic 840, Leases . Under the new guidance, lessees are required to recognize a lease liability and a right-of-use (“ROU”) asset for all leases with terms greater than 12 months. Leases are now classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. Classification is based upon the underlying asset’s existence, nature and timing of ownership transfer in the related lease. Leases previously defined as operating leases record lease expense based upon the related ROU asset amortization and lease liability interest expense using the interest method over the life of the lease. Leases previously defined as capital leases are now classified as a finance lease with no material changes to the accounting methodology. ASC 842 provides new guidance that resulted in recording the present value of ROU assets and related lease liabilities for the Company’s outstanding operating leases over the remaining lease term at January 1, 2019 totaling $1,51 6 . Lease assets and lease liabilities are recognized at the commencement of an arrangement where it is determined at inception that a lease exists. Lease assets represent the right to use an underlying asset for the lease term, and lease liabilities represent the obligation to make lease payments arising from the lease. These assets and liabilities are initially recognized based on the present value of lease payments over the lease term calculated using our incremental borrowing rate. Lease terms include options to extend or terminate the lease when it is reasonably certain that those options will be exercised. Variable lease payments are generally expensed as incurred and include certain nonlease components, such as common area maintenance and other services provided by the lessor, and other charges such as utilities, insurance and property taxes included in the lease. Leases with an initial term of 12 months or less are not recorded on the balance sheet, and the expense for these short-term leases and for operating leases is recognized on a straight-line basis over the lease term. Nonlease components are excluded from the ROU asset and lease liability present value computations. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants. Certain of the leases contain extension options of one to five years. At January 1, 2019, the Company is uncertain as to whether the extension options will be executed. Accordingly, no extension options were considered in the present value computations of the ROU assets or related lease liabilities. The Company elected the package of practical expedients in transition for leases that commenced prior to January 1, 2019, whereby these contracts were not reassessed or reclassified from their previous assessments as of December 31, 2018. We also elected certain other practical expedients in transition, including not reassessing existing land easements as lease contracts. The Company has also elected to not record the ROU assets and related liabilities for outstanding leases as of January 1, 2019 with a remaining term of 12 months or less. In these cases, the Company recognizes a lease payment as an expense on a straight-line basis. See Note 14. Leases for the financial position impact and additional disclosures. Accounting Pronouncements adopted during 2019 On January 1, 2019, the Company early adopted Accounting Standards Update (“ASU”) 2017-04, Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment as permitted. The standard simplifies the accounting for goodwill impairment by requiring a goodwill impairment to be measured using a single step impairment model, whereby the impairment equals the difference between the carrying amount and the fair value of the specified reporting units in their entirety. This eliminates the second step of the current impairment model that requires companies to first estimate the fair value of all assets in a reporting unit and measure impairments based on those fair values and a residual measurement approach. It also specifies that any loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. This ASU was adopted on a prospective basis with no impact to the Company’s consolidated financial statements. On January 1, 2019, the Company adopted ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities . The ASU was adopted on a prospective basis. This standard enables entities to better portray the economics of their risk management activities in the financial statements and enhances the transparency and understandability of hedge results through improved disclosures. The adoption of this guidance did not impact the Company’s consolidated financial statements and related disclosures. On January 1, 2019, the Company adopted ASU 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220) Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income which allows for a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Act . However, because the amendments only relate to the reclassification of the income tax effects of the Tax Act, the underlying guidance that requires that the effect of a change in tax laws or rates be included in income from continuing operations is not affected. Adoption of this ASU did not impact the beginning retained earnings on January 1, 2019. The adoption of this guidance did not impact the Company’s consolidated financial statements and related disclosures . |
Inventories
Inventories | 3 Months Ended |
Mar. 31, 2019 | |
Inventories [Abstract] | |
Inventories | NOTE 2. INVENTORIES Inventories, as of March 31, 2019 and December 31, 2018, were as follows: March 31, 2019 December 31, 2018 Finished goods $ 47,278 $ 51,626 Work-in-process 6,887 6,221 Raw materials and supplies 7,926 7,086 $ 62,091 $ 64,933 |
Property And Equipment
Property And Equipment | 3 Months Ended |
Mar. 31, 2019 | |
Property And Equipment [Abstract] | |
Property And Equipment | NOTE 3. PROPERTY AND EQUIPMENT Property and equipment, net as of March 31, 2019 and December 31, 2018, were as follows: March 31, 2019 December 31, 2018 Land $ 3,160 $ 3,160 Building and improvements 6,889 6,870 Furniture and fixtures 4,635 4,376 Computer hardware and software 4,932 4,863 Machinery and equipment 20,870 21,004 Construction in progress 1,421 1,761 41,907 42,034 Less accumulated depreciation (18,744) (18,633) $ 23,163 $ 23,401 |
Goodwill And Other Intangible A
Goodwill And Other Intangible Assets | 3 Months Ended |
Mar. 31, 2019 | |
Goodwill And Other Intangible Assets [Abstract] | |
Goodwill And Other Intangible Assets | NOTE 4 . OTHER INTANGIBLE ASSETS Goodwill There were no changes in the balances in goodwill from the prior period. The following table summarizes the balances in goodwill by segment: Black Diamond Sierra Total Balance at December 31, 2018 $ - $ 18,090 $ 18,090 Balance at March 31, 2019 $ - $ 18,090 $ 18,090 Indefinite Lived Intangible Assets The Company’s indefinite lived intangible assets consist of certain tradenames and trademarks that provide Black Diamond Equipment, PIEPS and Sierra with the exclusive and perpetual rights to manufacture and sell their respective products. Tradenames and trademarks are not amortized, but reviewed annually for impairment or upon the existence of a triggering event. The following table summarizes the changes in indefinite lived intangible assets: Balance at December 31, 2018 $ 41,694 Impact of foreign currency exchange rates (61) Balance at March 31, 2019 $ 41,633 Other Intangible Assets, net The Company’s other intangible assets, such as certain customer lists and relationships, product technologies, tradenames, trademarks and core technologies, are amortizable over their estimated useful lives. The following table summarizes the changes in gross other intangible assets: Gross balance at December 31, 2018 $ 33,010 Impact of foreign currency exchange rates (88) Gross balance at March 31, 2019 $ 32,922 Other intangible assets, net of amortization as of March 31, 2019 and December 31, 2018 , were as follows: March 31, 2019 December 31, 2018 Customer lists and relationships $ 25,998 $ 26,047 Product technologies 4,714 4,753 Tradename / trademark 1,263 1,263 Core technologies 947 947 32,922 33,010 Less accumulated amortization (14,439) (13,594) $ 18,483 $ 19,416 |
Long-Term Debt
Long-Term Debt | 3 Months Ended |
Mar. 31, 2019 | |
Long-Term Debt [Abstract] | |
Long-Term Debt | NOTE 5. LONG-TERM DEBT Long-term debt as of March 31, 2019 and December 31, 2018, was as follows: March 31, 2019 December 31, 2018 Revolving credit facility (a) $ 18,271 $ 22,062 Other - 84 18,271 22,146 Less current portion - (41) $ 18,271 $ 22,105 (a) As of March 31, 2019, the Company had drawn $ 18,271 on the approximately $50,000 of the revolving commitment that was available under the credit agreement with JPMorgan Chase Bank, N.A., with a maturity date of June 27, 2022. Approximately $32,000 was still available to borrow at March 31, 2019. The Company pays interest monthly on any borrowings on the Credit Agreement at London Inter-bank Offered Rate (“LIBOR”) plus 1.5% ( 3.9893% and 3.8493% as of March 31, 2019 and December 31, 2018, respectively), and an annual commitment fee of .25% on the unused portion of the commitment. |
Derivative Financial Instrument
Derivative Financial Instruments | 3 Months Ended |
Mar. 31, 2019 | |
Derivative Financial Instruments [Abstract] | |
Derivative Financial Instruments | NOTE 6. DERIVATIVE FINANCIAL INSTRUMENTS The Company’s primary exchange rate risk management objective is to mitigate the uncertainty of anticipated cash flows attributable to changes in foreign currency exchange rates. The Company primarily focuses on mitigating changes in cash flows resulting from sales denominated in currencies other than the U.S. dollar. The Company manages this risk primarily by using currency forward and option contracts. If the anticipated transactions are deemed probable, the resulting relationships are formally designated as cash flow hedges. The Company accounts for these contracts as cash flow hedges and tests effectiveness by determining whether changes in the expected cash flow of the derivative offset, within a range, changes in the expected cash flow of the hedged item. At March 31, 2019, the Company’s derivative contracts had remaining maturities of approximately one year or less. The counterparty to these transactions had both long-term and short-term investment grade credit ratings. The maximum net exposure of the Company’s credit risk to the counterparty is generally limited to the aggregate unrealized loss of all contracts with that counterparty. At March 31, 2019, there was no such exposure to the counterparty. The Company’s exposure of counterparty credit risk is limited to the aggregate unrealized gain of $667 on all contracts at March 31, 2019. The Company’s derivative counterparty has strong credit ratings and as a result, the Company does not require collateral to facilitate transactions. The Company held the following contracts designated as hedged instruments as of March 31, 2019 and December 31, 2018: March 31, 2019 Notional Latest Amount Maturity Foreign exchange contracts - Canadian Dollars $4,157 August 2019 Foreign exchange contracts - Euros € 11,149 February 2020 December 31, 2018 Notional Latest Amount Maturity Foreign exchange contracts - Canadian Dollars $6,166 August 2019 Foreign exchange contracts - Euros € 10,710 February 2020 For contracts that qualify as effective hedge instruments, the effective portion of gains and losses resulting from changes in fair value of the instruments are included in accumulated other comprehensive income and reclassified to sales in the period the underlying hedged transaction is recognized in earnings. Gains (losses) of $ 281 and $ (325) were reclassified to sales during the three months ended March 31, 2019 and 2018, respectively. The following table presents the balance sheet classification and fair value of derivative instruments as of March 31, 2019 and December 31, 2018: Classification March 31, 2019 December 31, 2018 Derivative instruments in asset positions: Forward exchange contracts Prepaid and other current assets $ 667 $ 729 Derivative instruments in liability positions: Forward exchange contracts Other long-term liabilities $ - $ 5 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income | 3 Months Ended |
Mar. 31, 2019 | |
Accumulated Other Comprehensive Income [Abstract] | |
Accumulated Other Comprehensive Income | NOTE 7. ACCUMULATED OTHER COMPREHENSIVE INCOME Accumulated other comprehensive income (“AOCI”) primarily consists of foreign currency translation adjustments and changes in our forward foreign exchange contracts. The components of AOCI, net of tax, were as follows: Foreign Currency Translation Adjustments Unrealized Gains (Losses) on Cash Flow Hedges Total Balance as of December 31, 2018 $ 73 $ 404 $ 477 Other comprehensive income (loss) before reclassifications (373) 168 (205) Amounts reclassified from other comprehensive income (loss) - (257) (257) Net current period other comprehensive loss (373) (89) (462) Balance as of March 31, 2019 $ (300) $ 315 $ 15 The effects on net income of amounts reclassified from unrealized gains (losses) on cash flow hedges for foreign exchange contracts and foreign currency translation adjustments for the three months ended March 31, 2019, were as follows: Affected line item in the Condensed Consolidated Statements of Comprehensive Income Gains reclassified from AOCI to the Consolidated Statements of Comprehensive Income Foreign exchange contracts: Sales $ 281 Less: Income tax expense 24 Amount reclassified, net of tax $ 257 Total reclassifications from AOCI $ 257 The Company’s policy is to classify reclassifications of cumulative foreign currency translation from AOCI to Other, net. |
Fair Value Of Measurements
Fair Value Of Measurements | 3 Months Ended |
Mar. 31, 2019 | |
Fair Value Of Measurements [Abstract] | |
Fair Value Of Measurements | NOTE 8. FAIR VALUE MEASUREMENTS We measure certain financial assets and liabilities at fair value on a recurring basis. Fair value is defined as an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants, under a three-tier fair value hierarchy that prioritizes the inputs used in measuring fair value as follows: Level 1 - inputs to the valuation methodology are quoted market prices for identical assets or liabilities in active markets. Level 2 - inputs to the valuation methodology include quoted prices in markets that are not active or model inputs that are observable either directly or indirectly for substantially the full term of the asset or liability. Level 3 - inputs to the valuation methodology are based on prices or valuation techniques that are unobservable. Assets and liabilities measured at fair value on a recurring basis at March 31, 2019 and December 31, 2018 were as follows: March 31, 2019 Level 1 Level 2 Level 3 Total Assets Forward exchange contracts $ - $ 667 $ - $ 667 $ - $ 667 $ - $ 667 December 31, 2018 Level 1 Level 2 Level 3 Total Assets Forward exchange contracts $ - $ 729 $ - $ 729 $ - $ 729 $ - $ 729 Liabilities Forward exchange contracts $ - $ 5 $ - $ 5 $ - $ 5 $ - $ 5 Derivative financial instruments are recorded at fair value based on current market pricing models. No nonrecurring fair value measurements existed at March 31, 2019 and December 31, 2018. |
Earnings Per Share
Earnings Per Share | 3 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | NOTE 9. EARNINGS PER SHARE Basic earnings per share is computed by dividing earnings by the weighted average number of common shares outstanding during each period. Diluted earnings per share is computed by dividing earnings by the total of the weighted average number of shares of common stock outstanding during each period, plus the effect of dilutive outstanding stock options and unvested restricted stock grants. Potentially dilutive securities are excluded from the computation of diluted earnings per share if their effect is anti-dilutive to the loss from continuing operations. The following table is a reconciliation of basic and diluted shares of common stock outstanding used in the calculation of earnings per share: Three Months Ended March 31, 2019 March 31, 2018 Weighted average shares outstanding - basic 29,748 30,041 Effect of dilutive stock awards 925 116 Weighted average shares outstanding - diluted 30,673 30,157 Net income per share: Basic $ 0.13 $ 0.01 Diluted 0.12 0.01 For the three months ended March 31, 2019 and 2018, equity awards of 860 and 2,119 , respectively, were outstanding and anti-dilutive and therefore not included in the calculation of earnings per share for these periods. |
Stock-Based Compensation Plan
Stock-Based Compensation Plan | 3 Months Ended |
Mar. 31, 2019 | |
Stock-Based Compensation Plan [Abstract] | |
Stock-Based Compensation Plan | NOTE 10. STOCK-BASED COMPENSATION PLAN Under the Company’s current 2015 Stock Incentive Plan (the “2015 Plan”), the Company’s Board of Directors (the “Board of Directors”) has flexibility to determine the type and amount of awards to be granted to eligible participants, who must be employees, directors, officers or consultants of the Company or its subsidiaries. The 2015 Plan allows for grants of incentive stock options, nonqualified stock options, restricted stock awards, stock appreciation rights, and restricted units. The aggregate number of shares of common stock that may be granted through awards under the 2015 Plan to any employee in any calendar year may not exceed 500 shares. The 2015 Plan will continue in effect until December 2025 unless terminated sooner. During the three months ended March 31, 2019, the Company did no t issue any stock options under the 2015 Plan to employees of the Company. Market Condition Restricted Shares Granted: On January 7, 2019, the Company issued and granted to an employee a restricted stock award of 350 restricted shares under the 2015 Plan, that will vest as follows: (A) the stock award will vest and become nonforfeitable if, on or before January 7, 2024, the closing price of the Company’s common stock shall have equaled or exceeded $15.00 per share for twenty consecutive trading days (such 20th day being the “Price Trigger Date”); and (B) once the Price Trigger Date occurs, (i) 117 shares of the Company’s common stock shall vest on each of the first and second anniversary of the Price Trigger Date; and (ii) 116 shares of the Company’s common stock shall vest on the third anniversary of the Price Trigger Date. For computing the fair value of the 350 restricted shares with a market condition, the fair value of each restricted stock award grant has been estimated as of the date of grant using the Monte-Carlo pricing model with the assumptions below. On January 7, 2019, the Company issued and granted to an employee a restricted stock award of 150 restricted shares under the 2015 Plan, that will vest as follows: (A) the stock award will vest and become nonforfeitable if, on or before January 7, 2024, the closing price of the Company’s common stock shall have equaled or exceeded $15.00 per share for twenty consecutive trading days (such 20th day being the Price Trigger Date); and (B) once the Price Trigger Date occurs, the shares shall equally vest on each of the first, second, third and fourth anniversary of the Price Trigger Date. For computing the fair value of the 150 restricted shares with a market condition, the fair value of each restricted stock award grant has been estimated as of the date of grant using the Monte-Carlo pricing model with the assumptions below. January 7, 2019 Number issued 500 Vesting period $15.00 stock price target Grant price $10.21 Expected volatility 42.4% Risk-free interest rate 2.53% Expected term (years) 4.28 - 5.28 Weighted average fair value $7.92 Using these assumptions, the fair value of the market condition restricted stock awards granted on January 7, 2019 was approximately $3,962 . The total non-cash stock compensation expense related to restricted stock, stock options and stock awards recorded by the Company for the three months ended March 31, 2019 and 2018 was $785 and $499 , respectively. For the three months ended March 31, 2019 and 2018, the majority of stock-based compensation costs were classified as selling, general and administrative expenses. As of March 31, 2019, there were 1,598 unvested stock options and unrecognized compensation cost of $ 4,714 related to unvested stock options, as well as 850 unvested restricted stock awards and unrecognized compensation costs of $3,873 related to unvested restricted stock awards. |
Commitments And Contingencies
Commitments And Contingencies | 3 Months Ended |
Mar. 31, 2019 | |
Commitments And Contingencies [Abstract] | |
Commitments And Contingencies | NOTE 11. COMMITMENTS AND CONTINGENCIES The Company is involved in various legal disputes and other legal proceedings that arise from time to time in the ordinary course of business. Based on currently available information, the Company does not believe that it is reasonably possible that the disposition of any of the legal disputes the Company or its subsidiaries is currently involved in will have a material adverse effect upon the Company’s consolidated financial condition, results of operations or cash flows. There is a reasonable possibility of loss from contingencies in excess of the amounts accrued by the Company in the accompanying condensed consolidated balance sheets; however, the actual amounts of such possible losses cannot currently be reasonably estimated by the Company at this time. It is possible that, as additional information becomes available, the impact on the Company could have a different effect. |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2019 | |
Income Taxes [Abstract] | |
Income Taxes | NOTE 12. INCOME TAXES On December 22, 2017, the U.S. government enacted comprehensive tax legislation commonly referred to as the Tax Cuts and Jobs Act (“Tax Act”). As a result of the Tax Act, the U.S. federal corporate tax rate was reduced to 21%, effective January 1, 2018. In addition, the corporate Alternative Minimum Tax (“AMT”) was repealed and taxpayers with AMT credit carryovers in excess of their regular tax liability may have credits refunded over multiple years from 2018 to 2022. The Company’s foreign operations that are considered to be permanently reinvested have statutory tax rates of approximately 25% . The difference between the Company’s estimated effective tax rate and the U.S. federal statutory tax rate of 21% for the three months ended March 31, 2019, was primarily attributed to the release of an additional portion of the Company’s valuation allowance based on the Company’s forecasted pre-tax earnings for the year. As of December 31, 2018, the Company’s gross deferred tax asset was $ 47,922 . The Company had recorded a valuation allowance of $42,122 , resulting in a net deferred tax asset of $ 5,800 , before deferred tax liabilities of $8,719 . The Company has provided a valuation allowance against a portion of the deferred tax assets as of December 31, 2018, because the ultimate realization of those assets did not meet the more likely than not criteria. The majority of the Company’s deferred tax assets consist of net operating loss carryforwards for federal tax purposes. If a change in control were to occur, these could be limited under Section 382 of the Internal Revenue Code of 1986 (“Code”), as amended. In assessing the realizability of deferred income tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible and net operating loss and credit carryforwards expire. The estimates and judgments associated with the Company’s valuation allowance on deferred tax assets are considered critical due to the amount of deferred tax assets recorded by the Company on its consolidated balance sheet and the judgment required in determining the Company’s future taxable income. The need for a valuation allowance is reassessed at each interim reporting period. As of December 31, 2018, the Company had net operating loss (“NOL”) and research and experimentation credit for U.S. federal income tax purposes of $ 141,067 and $ 3,791 , respectively. The Company believes its NOL will offset some of its future U.S. federal income taxes. The majority of the Company’s pre-tax income is currently earned and expected to be earned in the U.S., or taxed in the U.S. as Subpart F income and will be offset with the NOL. NOLs available to offset taxable income, subject to compliance with Section 382 of the Code, begin to expire based upon the following schedule: Net Operating Loss Carryforward Expiration Dates December 31, 2018 Expiration Dates December 31, Net Operating Loss Amount 2021 $ 5,495 2022 115,000 2023 5,712 2024 3,566 2025 and beyond 11,294 Total $ 141,067 |
Segment Information
Segment Information | 3 Months Ended |
Mar. 31, 2019 | |
Segment Information [Abstract] | |
Segment Information | NOTE 13. SEGMENT INFORMATION As a result of our August 21, 2017 acquisition of Sierra, we operate our business structure within two segments. These segments are defined based on the internal financial reporting used by management. Certain significant selling and general and administrative expenses are not allocated to the segments including non-cash stock compensation expense. Each segment is described below: · Black Diamond segment, which includes Black Diamond Equipment, PIEPS, and SKINourishment, is a global leader in designing, manufacturing, and marketing innovative outdoor engineered equipment and apparel for climbing, mountaineering, trail running, backpacking, skiing, and a wide range of other year-round outdoor recreation activities. Black Diamond segment offers a broad range of products including: high performance activity-based apparel (such as shells, insulation, midlayers, pants and logowear); rock-climbing footwear and equipment (such as carabiners, protection devices, harnesses, belay devices, helmets, and ice-climbing gear); technical backpacks and high-end day packs; trekking poles; headlamps and lanterns; gloves and mittens; and skincare and other sport-enhancing products. We also offer advanced skis, ski poles, ski skins, and snow safety products, including avalanche airbag systems, avalanche transceivers, shovels, and probes. · Sierra segment, which includes Sierra, is an iconic American manufacturer of a wide range of high-performance bullets and ammunition for both rifles and pistols. These bullets and ammunition are used for precision target shooting, hunting and military and law enforcement purposes. The Company recognizes revenue when a contract exists with a customer that specifies the goods and services to be provided at an agreed upon sales price and when the performance obligation is satisfied by transferring the goods or service to the customer. The performance obligation is considered complete when products are shipped or delivered to the customer depending on the terms of the contract. Sales are made on normal and customary short-term credit terms or upon delivery at point of sale transactions. As noted above, the Company has a wide variety of technical outdoor equipment and lifestyle products focused on the climb, ski, mountain and sport product categories that are sold to a variety of customers in multiple end markets. While there are multiple products sold, the terms and nature of revenue recognition policy is similar for all segments. The sport product category represents the Sierra segment revenue. We divide our product offerings into four primary categories of climb, mountain, ski and sport. Revenue by category is as follows: Three Months Ended March 31, 2019 March 31, 2018 Climb 35 % 36 % Mountain 31 % 32 % Ski 20 % 17 % Sport 14 % 15 % Contract liabilities are recorded as a component of accounts payable and accrued liabilities when customers remit contractual cash payments in advance of us satisfying performance obligations which are satisfied at a future point of time. Contract liabilities were not material at March 31, 2019 and December 31, 2018. Contract liabilities are derecognized when the performance obligation is satisfied. Revenue recognized from satisfaction of performance obligations relating to the advanced payments during the three months ended March 31, 2019 was not material. No other material remaining performance obligations exist at March 31, 2019. Financial information for our segments is as follows: Three Months Ended March 31, 2019 March 31, 2018 Sales to external customers: Black Diamond Domestic sales $ 24,532 $ 19,271 International sales 27,869 25,756 Total Black Diamond 52,401 45,027 Sierra Domestic sales 6,057 6,383 International sales 2,760 1,857 Total Sierra 8,817 8,240 Total sales to external customers 61,218 53,267 Segment operating income: Black Diamond 5,176 1,937 Sierra 1,661 797 Total segment operating income 6,837 2,734 Restructuring charge (13) (40) Transaction costs (46) (165) Corporate and other expenses (2,384) (1,914) Interest expense, net (310) (254) Income before income tax $ 4,084 $ 361 There were no intercompany sales between the Black Diamond and Sierra segments for the periods presented. Restructuring charges for the periods presented relate to the Black Diamond segment. Total assets by segment, as of March 31, 2019 and December 31, 2018, were as follows: March 31, 2019 December 31, 2018 Black Diamond $ 137,529 $ 138,029 Sierra 72,473 72,796 Corporate 2,159 2,303 $ 212,161 $ 213,128 Capital expenditures, depreciation and amortization by segment is as follows. Three Months Ended March 31, 2019 March 31, 2018 Capital expenditures: Black Diamond $ 764 $ 658 Sierra 282 195 Total capital expenditures $ 1,046 $ 853 Depreciation: Black Diamond $ 611 $ 587 Sierra 492 486 Total depreciation $ 1,103 $ 1,073 Amortization: Black Diamond $ 279 $ 275 Sierra 610 694 Total amortization $ 889 $ 969 |
Leases
Leases | 3 Months Ended |
Mar. 31, 2019 | |
Leases [Abstract] | |
Leases | N NOTE 14. LEASES The Company has entered into leases for certain facilities, vehicles and other equipment. Our operating leases have remaining contractual terms of up to four years, some of which include options to extend the leases for up to five years. Our operating lease costs are primarily related to facility leases for inventory warehousing, administration offices and vehicles. The Company’s finance leases are immaterial. Operating lease ROU assets and liabilities as of March 31, 2019 are as follows: Balance Sheet Classification March 31, 2019 Assets Operating lease ROU assets Other long-term assets $ 1,352 Liabilities Current operating lease liabilties Accounts payable and accrued liabilities $ 640 Noncurrent operating lease liabilities Other long-term liabilities $ 716 Operating lease costs are as follows: Affected line item in the Condensed Consolidated Three Months Ended Statements of Comprehensive Income March 31, 2019 Lease costs Cost of goods sold, Selling, general and administrative $ 169 Variable lease costs Cost of goods sold, Selling, general and administrative 64 Short-term lease costs Cost of goods sold, Selling, general and administrative 62 $ 295 The maturity of operating lease liabilities as of March 31, 2019 are as follows: Years Ending December 31, Future Minimum Lease Payments 2019 (excluding the three months ended March 31, 2019) $ 515 2020 632 2021 242 2022 25 Total future minimum lease payments 1,414 Less: amount representing interest (58) Present value of future minimum lease payments 1,356 Less: current lease obligations (640) Long-term lease obligations $ 716 As of March 31, 2019, our operating leases have a weighted-average remaining lease term of 2.2 years and a weighted-average discount rate of 3.85% . Total rent expense of the Company for the three months ended March 31, 2018 was $227 as determined prior to the adoption of ASU 842. Future minimum lease payments required under noncancelable operating leases that have initial or remaining noncancelable lease term in excess of one year at December 31, 2018 as determined prior to the adoption of ASU 842 are as follows: Years Ending December 31, Future Minimum Lease Payments 2019 $ 687 2020 634 2021 243 2022 24 2023 - Thereafter - $ 1,588 |
Subsequent Event
Subsequent Event | 3 Months Ended |
Mar. 31, 2019 | |
Subsequent Event [Abstract] | |
Subsequent Event | NOTE 15. SUBSEQUENT EVENT Credit Agreement On May 3, 2019, the Company together with certain of its direct and indirect domestic subsidiaries (the “Borrowers”) and the other loan parties party thereto entered into a Credit Agreement with JPMorgan Chase Bank, N.A., as administrative agent, and the lenders from time to time party thereto, for borrowings of up to $60,000 under a revolving credit facility (including up to $5,000 for letters of credit), and borrowings of up to $40,000 under a term loan facility that is available to be drawn until May 3, 2020. The Credit Agreement also permits the Borrowers, subject to certain requirements, to arrange with lenders for an aggregate of up to $50,000 of additional revolving and/or term loan commitments (both of which are currently uncommitted), for potential aggregate revolving and term loan commitments under the Credit Agreement of up to $150,000 . The Credit Agreement matures on May 3, 2024. The Borrowers may elect to have the revolving and term loans under the Credit Agreement bear interest at an alternate base rate or a Eurodollar rate plus an applicable rate. The applicable rate for these borrowings will range from 0.50% to 1.25% per annum, in the case of alternate base rate borrowings, and 1.50% to 2.25% per annum, in the case of Eurodollar borrowings. The applicable rate was initially 0.875% per annum, in the case of alternate base rate borrowings, and 1.875% per annum, in the case of Eurodollar borrowings, however, it may be adjusted from time to time based upon the level of the Company’s consolidated total leverage ratio. The Credit Agreement also requires the Borrowers to pay a commitment fee on the unused portion of the revolving and term loan commitments. Such commitment fee will range between 0.15% and 0.25% per annum, and is also based upon the level of the Company’s consolidated total leverage ratio. On May 3, 2019, concurrent with entering into the Credit Agreement, the 2018 Credit Agreement, which provided for a revolving commitment of up to $75,000 , was terminated . |
Nature Of Operations And Summ_2
Nature Of Operations And Summary Of Significant Accounting Policies (Policy) | 3 Months Ended |
Mar. 31, 2019 | |
Nature Of Operations And Summary Of Significant Accounting Policies [Abstract] | |
Basis Of Presentation And Organization | The accompanying unaudited condensed consolidated financial statements of Clarus Corporation and subsidiaries (which may be referred to as the “Company,” “Clarus,” “we,” “us” or “our”) as of March 31, 2019 and December 31, 2018 and for the three months ended March 31, 2019 and 2018, have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”), instructions to the Quarterly Report on Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and notes required by GAAP for complete financial statements. In the opinion of management, all adjustments (consisting only of normal recurring adjustments, except otherwise disclosed) necessary for a fair presentation of the unaudited condensed consolidated financial statements have been included. The results of the three months ended March 31, 2019 are not necessarily indicative of the results to be obtained for the year ending December 31, 2019. These interim financial statements should be read in conjunction with the Company’s audited consolidated financial statements and footnotes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2018, filed with the Securities and Exchange Commission (the “SEC”). Clarus, incorporated in Delaware in 1991, acquired Black Diamond Equipment, Ltd. (which may be referred to as “Black Diamond Equipment”) and Gregory Mountain Products, LLC (which may be referred to as “Gregory Mountain Products” or “Gregory”) in May 2010 and changed its name to Black Diamond, Inc. in January 2011. In July 2012, we acquired POC Sweden AB and its subsidiaries (collectively, “POC”) and in October 2012, we acquired PIEPS Holding GmbH and its subsidiaries (collectively, “PIEPS”). On July 23, 2014, the Company completed the sale of certain assets to Samsonite LLC comprising Gregory Mountain Products’ business. On October 7, 2015, the Company sold its equity interests in POC. On August 14, 2017, the Company changed its name from Black Diamond, Inc. to Clarus Corporation and its stock ticker symbol from “BDE” to “CLAR” on the NASDAQ stock exchange. On August 21, 2017, the Company acquired Sierra Bullets, L.L.C. (“Sierra”). On August 6, 2018 , the Company announced that its Board of Directors approved the initiation of a quarterly cash dividend program of $0.025 per share of the Company’s common stock (the “Quarterly Cash Dividend”) or $0.10 per share on an annualized basis. The declaration and payment of future Quarterly Cash Dividends is subject to the discretion of and approval of the Company’s Board of Directors. On April 26, 2019, the Company announced that its Board of Directors approved the payment on May 17, 2019 of the Quarterly Cash Dividend to the record holders of shares of the Company’s common stock as of the close of business on May 3, 2019 . On November 6, 2018, the Company acquired the assets of SKINourishment, Inc. (“SKINourishment”). |
Nature Of Business | Nature of Business Headquartered in Salt Lake City, Utah, Clarus, a company focused on the outdoor and consumer industries, is seeking opportunities to acquire and grow businesses that can generate attractive shareholder returns. The Company has substantial net operating tax loss carryforwards which it is seeking to redeploy to maximize shareholder value. Clarus’ primary business is as a leading developer, manufacturer and distributor of outdoor equipment and lifestyle products focused on the climb, ski, mountain, sport and skincare markets. The Company’s products are principally sold under the Black Diamond®, Sierra®, PIEPS® and SKINourishment® brand names through specialty and online retailers, distributors and original equipment manufacturers throughout the U.S. and internationally. Through our Black Diamond, PIEPS, and SKINourishment brands, we offer a broad range of products including: high performance activity-based apparel (such as shells, insulation, midlayers, pants and logowear); rock-climbing footwear and equipment (such as carabiners, protection devices, harnesses, belay devices, helmets, and ice-climbing gear); technical backpacks and high-end day packs; trekking poles; headlamps and lanterns; gloves and mittens; and skincare and other sport-enhancing products. We also offer advanced skis, ski poles, ski skins, and snow safety products, including avalanche airbag systems, avalanche transceivers, shovels, and probes. Through our Sierra brand, we manufacture a wide range of high-performance bullets and ammunition for both rifles and pistols that are used for precision target shooting, hunting and military and law enforcement purposes. |
Use Of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. The more significant estimates relate to purchase price allocation, excess or obsolete inventory, valuation of deferred tax assets, and valuation of goodwill, long-lived assets and other intangible assets. We base our estimates on historical experience and other assumptions that are believed to be reasonable under the circumstances. Actual results could differ from these estimates. |
Recent Accounting Pronouncements | Significant Accounting Policies Lease Accounting On January 1, 2019, the Company adopted Accounting Standards Codification (“ASC”) Topic 842, Leases, and elected the prospective method which was applied to all leases in effect as of January 1, 2019. Results for reporting periods beginning after January 1, 2019 are presented under the new guidance, while prior period amounts are not adjusted and continue to be presented in accordance with ASC Topic 840, Leases . Under the new guidance, lessees are required to recognize a lease liability and a right-of-use (“ROU”) asset for all leases with terms greater than 12 months. Leases are now classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. Classification is based upon the underlying asset’s existence, nature and timing of ownership transfer in the related lease. Leases previously defined as operating leases record lease expense based upon the related ROU asset amortization and lease liability interest expense using the interest method over the life of the lease. Leases previously defined as capital leases are now classified as a finance lease with no material changes to the accounting methodology. ASC 842 provides new guidance that resulted in recording the present value of ROU assets and related lease liabilities for the Company’s outstanding operating leases over the remaining lease term at January 1, 2019 totaling $1,51 6 . Lease assets and lease liabilities are recognized at the commencement of an arrangement where it is determined at inception that a lease exists. Lease assets represent the right to use an underlying asset for the lease term, and lease liabilities represent the obligation to make lease payments arising from the lease. These assets and liabilities are initially recognized based on the present value of lease payments over the lease term calculated using our incremental borrowing rate. Lease terms include options to extend or terminate the lease when it is reasonably certain that those options will be exercised. Variable lease payments are generally expensed as incurred and include certain nonlease components, such as common area maintenance and other services provided by the lessor, and other charges such as utilities, insurance and property taxes included in the lease. Leases with an initial term of 12 months or less are not recorded on the balance sheet, and the expense for these short-term leases and for operating leases is recognized on a straight-line basis over the lease term. Nonlease components are excluded from the ROU asset and lease liability present value computations. The Company’s lease agreements do not contain any material residual value guarantees or material restrictive covenants. Certain of the leases contain extension options of one to five years. At January 1, 2019, the Company is uncertain as to whether the extension options will be executed. Accordingly, no extension options were considered in the present value computations of the ROU assets or related lease liabilities. The Company elected the package of practical expedients in transition for leases that commenced prior to January 1, 2019, whereby these contracts were not reassessed or reclassified from their previous assessments as of December 31, 2018. We also elected certain other practical expedients in transition, including not reassessing existing land easements as lease contracts. The Company has also elected to not record the ROU assets and related liabilities for outstanding leases as of January 1, 2019 with a remaining term of 12 months or less. In these cases, the Company recognizes a lease payment as an expense on a straight-line basis. See Note 14. Leases for the financial position impact and additional disclosures. Accounting Pronouncements adopted during 2019 On January 1, 2019, the Company early adopted Accounting Standards Update (“ASU”) 2017-04, Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment as permitted. The standard simplifies the accounting for goodwill impairment by requiring a goodwill impairment to be measured using a single step impairment model, whereby the impairment equals the difference between the carrying amount and the fair value of the specified reporting units in their entirety. This eliminates the second step of the current impairment model that requires companies to first estimate the fair value of all assets in a reporting unit and measure impairments based on those fair values and a residual measurement approach. It also specifies that any loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. This ASU was adopted on a prospective basis with no impact to the Company’s consolidated financial statements. On January 1, 2019, the Company adopted ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities . The ASU was adopted on a prospective basis. This standard enables entities to better portray the economics of their risk management activities in the financial statements and enhances the transparency and understandability of hedge results through improved disclosures. The adoption of this guidance did not impact the Company’s consolidated financial statements and related disclosures. On January 1, 2019, the Company adopted ASU 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220) Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income which allows for a reclassification from accumulated other comprehensive income to retained earnings for stranded tax effects resulting from the Tax Act . However, because the amendments only relate to the reclassification of the income tax effects of the Tax Act, the underlying guidance that requires that the effect of a change in tax laws or rates be included in income from continuing operations is not affected. Adoption of this ASU did not impact the beginning retained earnings on January 1, 2019. The adoption of this guidance did not impact the Company’s consolidated financial statements and related disclosures . |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Inventories [Abstract] | |
Inventories | March 31, 2019 December 31, 2018 Finished goods $ 47,278 $ 51,626 Work-in-process 6,887 6,221 Raw materials and supplies 7,926 7,086 $ 62,091 $ 64,933 |
Property And Equipment (Tables)
Property And Equipment (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Property And Equipment [Abstract] | |
Property And Equipment | March 31, 2019 December 31, 2018 Land $ 3,160 $ 3,160 Building and improvements 6,889 6,870 Furniture and fixtures 4,635 4,376 Computer hardware and software 4,932 4,863 Machinery and equipment 20,870 21,004 Construction in progress 1,421 1,761 41,907 42,034 Less accumulated depreciation (18,744) (18,633) $ 23,163 $ 23,401 |
Goodwill And Other Intangible_2
Goodwill And Other Intangible Assets (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Goodwill And Other Intangible Assets [Abstract] | |
Schedule Of Goodwill | Black Diamond Sierra Total Balance at December 31, 2018 $ - $ 18,090 $ 18,090 Balance at March 31, 2019 $ - $ 18,090 $ 18,090 |
Schedule Of Indefinite Lived Intangible Assets | Balance at December 31, 2018 $ 41,694 Impact of foreign currency exchange rates (61) Balance at March 31, 2019 $ 41,633 |
Schedule Of Definite Lived Intangible Assets, Net | Gross balance at December 31, 2018 $ 33,010 Impact of foreign currency exchange rates (88) Gross balance at March 31, 2019 $ 32,922 |
Schedule Of Intangible Assets, Net Of Amortization | March 31, 2019 December 31, 2018 Customer lists and relationships $ 25,998 $ 26,047 Product technologies 4,714 4,753 Tradename / trademark 1,263 1,263 Core technologies 947 947 32,922 33,010 Less accumulated amortization (14,439) (13,594) $ 18,483 $ 19,416 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Long-Term Debt [Abstract] | |
Components Of Long-Term Debt | March 31, 2019 December 31, 2018 Revolving credit facility (a) $ 18,271 $ 22,062 Other - 84 18,271 22,146 Less current portion - (41) $ 18,271 $ 22,105 |
Derivative Financial Instrume_2
Derivative Financial Instruments - (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Derivative Financial Instruments [Abstract] | |
Schedule Of Contracts Designated As Hedged Instruments | March 31, 2019 Notional Latest Amount Maturity Foreign exchange contracts - Canadian Dollars $4,157 August 2019 Foreign exchange contracts - Euros € 11,149 February 2020 December 31, 2018 Notional Latest Amount Maturity Foreign exchange contracts - Canadian Dollars $6,166 August 2019 Foreign exchange contracts - Euros € 10,710 February 2020 |
Schedule Of Derivative Instruments Fair Value And Balance Sheet Classification | Classification March 31, 2019 December 31, 2018 Derivative instruments in asset positions: Forward exchange contracts Prepaid and other current assets $ 667 $ 729 Derivative instruments in liability positions: Forward exchange contracts Other long-term liabilities $ - $ 5 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Accumulated Other Comprehensive Income [Abstract] | |
Components Of Accumulated Other Comprehensive Income | Foreign Currency Translation Adjustments Unrealized Gains (Losses) on Cash Flow Hedges Total Balance as of December 31, 2018 $ 73 $ 404 $ 477 Other comprehensive income (loss) before reclassifications (373) 168 (205) Amounts reclassified from other comprehensive income (loss) - (257) (257) Net current period other comprehensive loss (373) (89) (462) Balance as of March 31, 2019 $ (300) $ 315 $ 15 |
Reclassification Out Of Accumulated Other Comprehensive Income | Affected line item in the Condensed Consolidated Statements of Comprehensive Income Gains reclassified from AOCI to the Consolidated Statements of Comprehensive Income Foreign exchange contracts: Sales $ 281 Less: Income tax expense 24 Amount reclassified, net of tax $ 257 Total reclassifications from AOCI $ 257 |
Fair Value Of Measurements (Tab
Fair Value Of Measurements (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Fair Value Of Measurements [Abstract] | |
Schedule Of Assets And Liabilities Measured On A Recurring Basis | March 31, 2019 Level 1 Level 2 Level 3 Total Assets Forward exchange contracts $ - $ 667 $ - $ 667 $ - $ 667 $ - $ 667 December 31, 2018 Level 1 Level 2 Level 3 Total Assets Forward exchange contracts $ - $ 729 $ - $ 729 $ - $ 729 $ - $ 729 Liabilities Forward exchange contracts $ - $ 5 $ - $ 5 $ - $ 5 $ - $ 5 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Earnings Per Share [Abstract] | |
Schedule Of Reconciliation Of Basic And Diluted Shares Of Common Stock Outstanding Used In Calculation Of Earnings Per Share | Three Months Ended March 31, 2019 March 31, 2018 Weighted average shares outstanding - basic 29,748 30,041 Effect of dilutive stock awards 925 116 Weighted average shares outstanding - diluted 30,673 30,157 Net income per share: Basic $ 0.13 $ 0.01 Diluted 0.12 0.01 |
Stock-Based Compensation Plan (
Stock-Based Compensation Plan (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Stock-Based Compensation Plan [Abstract] | |
Schedule Of Valuation Assumptions Used In Computing Fair Value Of Stock-Based Awards | January 7, 2019 Number issued 500 Vesting period $15.00 stock price target Grant price $10.21 Expected volatility 42.4% Risk-free interest rate 2.53% Expected term (years) 4.28 - 5.28 Weighted average fair value $7.92 |
Income Taxes (Tables)
Income Taxes (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Income Taxes [Abstract] | |
Summary Of Tax Credit Carryforwards | Net Operating Loss Carryforward Expiration Dates December 31, 2018 Expiration Dates December 31, Net Operating Loss Amount 2021 $ 5,495 2022 115,000 2023 5,712 2024 3,566 2025 and beyond 11,294 Total $ 141,067 |
Segment Information (Tables)
Segment Information (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Segment Information [Abstract] | |
Schedule Of Revenue By Category | Three Months Ended March 31, 2019 March 31, 2018 Climb 35 % 36 % Mountain 31 % 32 % Ski 20 % 17 % Sport 14 % 15 % |
Financial Information for Segments | Three Months Ended March 31, 2019 March 31, 2018 Sales to external customers: Black Diamond Domestic sales $ 24,532 $ 19,271 International sales 27,869 25,756 Total Black Diamond 52,401 45,027 Sierra Domestic sales 6,057 6,383 International sales 2,760 1,857 Total Sierra 8,817 8,240 Total sales to external customers 61,218 53,267 Segment operating income: Black Diamond 5,176 1,937 Sierra 1,661 797 Total segment operating income 6,837 2,734 Restructuring charge (13) (40) Transaction costs (46) (165) Corporate and other expenses (2,384) (1,914) Interest expense, net (310) (254) Income before income tax $ 4,084 $ 361 |
Total Assets by Segment | March 31, 2019 December 31, 2018 Black Diamond $ 137,529 $ 138,029 Sierra 72,473 72,796 Corporate 2,159 2,303 $ 212,161 $ 213,128 |
Depreciation and Amortization by Segment | Three Months Ended March 31, 2019 March 31, 2018 Capital expenditures: Black Diamond $ 764 $ 658 Sierra 282 195 Total capital expenditures $ 1,046 $ 853 Depreciation: Black Diamond $ 611 $ 587 Sierra 492 486 Total depreciation $ 1,103 $ 1,073 Amortization: Black Diamond $ 279 $ 275 Sierra 610 694 Total amortization $ 889 $ 969 |
Leases (Tables)
Leases (Tables) | 3 Months Ended |
Mar. 31, 2019 | |
Leases [Abstract] | |
Schedule Of Operating Leases ROU Assets And Liabilities | Balance Sheet Classification March 31, 2019 Assets Operating lease ROU assets Other long-term assets $ 1,352 Liabilities Current operating lease liabilties Accounts payable and accrued liabilities $ 640 Noncurrent operating lease liabilities Other long-term liabilities $ 716 |
Schedule Of Operating Lease Costs | Affected line item in the Condensed Consolidated Three Months Ended Statements of Comprehensive Income March 31, 2019 Lease costs Cost of goods sold, Selling, general and administrative $ 169 Variable lease costs Cost of goods sold, Selling, general and administrative 64 Short-term lease costs Cost of goods sold, Selling, general and administrative 62 $ 295 |
Schedule Of Maturity Of Operating Lease Liabilities | Years Ending December 31, Future Minimum Lease Payments 2019 (excluding the three months ended March 31, 2019) $ 515 2020 632 2021 242 2022 25 Total future minimum lease payments 1,414 Less: amount representing interest (58) Present value of future minimum lease payments 1,356 Less: current lease obligations (640) Long-term lease obligations $ 716 |
Schedule Of Future Minimum Lease Payments Under Noncancelable Operating Leases | Years Ending December 31, Future Minimum Lease Payments 2019 $ 687 2020 634 2021 243 2022 24 2023 - Thereafter - $ 1,588 |
Nature Of Operations And Summ_3
Nature Of Operations And Summary Of Significant Accounting Policies (Details) - USD ($) $ / shares in Units, $ in Thousands | Aug. 06, 2018 | Mar. 31, 2019 | Jan. 01, 2019 |
Nature Of Operations And Summary Of Significant Accounting Policies [Abstract] | |||
Dividend annualized | $ 0.10 | ||
Dividend per quarter | $ 0.025 | ||
Dividends | $ (746) | ||
Dividend date declared | Aug. 6, 2018 | ||
Dividend date of record | May 3, 2019 | ||
Dividend date to be paid | May 17, 2019 | ||
Lease liability | $ 1,356 | $ 1,516 | |
ROU asset | $ 1,352 |
Inventories (Details)
Inventories (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Inventories [Abstract] | ||
Finished goods | $ 47,278 | $ 51,626 |
Work-in-process | 6,887 | 6,221 |
Raw materials and supplies | 7,926 | 7,086 |
Inventories | $ 62,091 | $ 64,933 |
Property And Equipment (Propert
Property And Equipment (Property And Equipment) (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Property And Equipment [Abstract] | ||
Land | $ 3,160 | $ 3,160 |
Buildings and improvements | 6,889 | 6,870 |
Furniture and fixtures | 4,635 | 4,376 |
Computer hardware and software | 4,932 | 4,863 |
Machinery and equipment | 20,870 | 21,004 |
Construction in progress | 1,421 | 1,761 |
Property and equipment, gross | 41,907 | 42,034 |
Less accumulated depreciation | (18,744) | (18,633) |
Property and equipment | $ 23,163 | $ 23,401 |
Goodwill And Other Intangible_3
Goodwill And Other Intangible Assets (Schedule Of Goodwill) (Details) $ in Thousands | Mar. 31, 2019USD ($) |
Goodwill [Line Items] | |
Beginning Balance | $ 18,090 |
Ending Balance | 18,090 |
Sierra [Member] | |
Goodwill [Line Items] | |
Beginning Balance | 18,090 |
Ending Balance | $ 18,090 |
Goodwill And Other Intangible_4
Goodwill And Other Intangible Assets (Schedule Of Indefinite Lived Intangible Assets) (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Acquisition [Abstract] | |
Balance at December 31, 2018 | $ 41,694 |
Impact of foreign currency exchange rates | (61) |
Balance at March 31, 2019 | $ 41,633 |
Goodwill And Other Intangible_5
Goodwill And Other Intangible Assets (Schedule Of Definite Lived Intangible Assets, Net) (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Acquisition [Abstract] | |
Gross balance at December 31, 2018 | $ 33,010 |
Impact of foreign currency exchange rates | (88) |
Gross balance at March 31, 2019 | $ 32,922 |
Goodwill And Other Intangible_6
Goodwill And Other Intangible Assets (Schedule Of Intangible Assets, Net Of Amortization) (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross | $ 32,922 | $ 33,010 |
Less accumulated amortization | (14,439) | (13,594) |
Intangible assets, net | 18,483 | 19,416 |
Customer Lists And Relationships [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross | 25,998 | 26,047 |
Product Technologies [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross | 4,714 | 4,753 |
Trade Names and Trademarks [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross | 1,263 | 1,263 |
Core Technologies [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross | $ 947 | $ 947 |
Long-Term Debt (Narrative) (Det
Long-Term Debt (Narrative) (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Revolving Credit Facility [Member] | ||
Line Of Credit Facility And Long Term Debt [Line Items] | ||
Line of credit facility, amount outstanding | $ 18,271 | $ 22,062 |
Long-Term Debt (Components Of L
Long-Term Debt (Components Of Long-Term Debt) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended |
Mar. 31, 2019 | Dec. 31, 2018 | |
Line Of Credit Facility And Long Term Debt [Line Items] | ||
Capital leases | $ 84 | |
Total carrying amount of long-term debt | $ 18,271 | 22,146 |
Less current portion | (41) | |
Long-term debt, net | 18,271 | 22,105 |
Revolving Credit Facility [Member] | ||
Line Of Credit Facility And Long Term Debt [Line Items] | ||
Revolving credit facility (a) | 18,271 | $ 22,062 |
Credit facility current borrowing capacity | 50,000 | |
Credit facility remaining borrowing capacity | $ 32,000 | |
Interest rate during the year | 3.9893% | 3.8493% |
Commitment fee | 0.25% | |
Revolving Credit Facility [Member] | LIBOR [Member] | ||
Line Of Credit Facility And Long Term Debt [Line Items] | ||
Variable interest rate | 1.50% |
Derivative Financial Instrume_3
Derivative Financial Instruments (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Sales | $ 61,218 | $ 53,267 |
Unrealized Gains (Losses) on Cash Flow Hedges [Member] | ||
Maximum net exposure to company | 667 | |
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Unrealized Gains (Losses) on Cash Flow Hedges [Member] | ||
Sales | $ 281 | $ (325) |
Derivative Financial Instrume_4
Derivative Financial Instruments (Schedule Of Contracts Designated As Hedged Instruments) (Details) - Designated as Hedging Instrument [Member] € in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2019EUR (€) | Dec. 31, 2018EUR (€) | Mar. 31, 2019CAD ($) | Dec. 31, 2018CAD ($) | |
Canadian Dollars [Member] | ||||
Foreign Exchange Contracts [Line Items] | ||||
Foreign exchange contracts, Notional Amount | $ | $ 4,157 | $ 6,166 | ||
Derivative, Maturity Date | Aug. 1, 2019 | Aug. 1, 2019 | ||
Euro [Member] | ||||
Foreign Exchange Contracts [Line Items] | ||||
Foreign exchange contracts, Notional Amount | € | € 11,149 | € 10,710 | ||
Derivative, Maturity Date | Feb. 1, 2020 | Feb. 1, 2020 |
Derivative Financial Instrume_5
Derivative Financial Instruments (Schedule Of Derivative Instruments Fair Value And Balance Sheet Classification) (Details) - Forward exchange contracts [Member] - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Prepaid And Other Current Assets [Member] | ||
Derivative instruments in asset positions, Forward exchange contracts | $ 667 | $ 729 |
Other Long-Term Liabilities [Member] | ||
Derivative instruments in liability positions, Forward exchange contracts | $ 5 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Components Of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Balance as of December 31, 2018 | $ 477 | |
Other comprehensive income (loss) before reclassifications | (205) | |
Amounts reclassified from other comprehensive income (loss) | (257) | |
Net current period other comprehensive income (loss) | (462) | $ 714 |
Balance as of March 31, 2019 | 15 | |
Foreign Currency Translation Adjustments [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Balance as of December 31, 2018 | 73 | |
Other comprehensive income (loss) before reclassifications | (373) | |
Net current period other comprehensive income (loss) | (373) | |
Balance as of March 31, 2019 | (300) | |
Unrealized Gains (Losses) on Cash Flow Hedges [Member] | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Balance as of December 31, 2018 | 404 | |
Other comprehensive income (loss) before reclassifications | 168 | |
Amounts reclassified from other comprehensive income (loss) | (257) | |
Net current period other comprehensive income (loss) | (89) | |
Balance as of March 31, 2019 | $ 315 |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Reclassification Out Of Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Sales | $ 61,218 | $ 53,267 |
Less: Income tax expense | 297 | (42) |
Total reclassificaitons from AOCI | 257 | |
Unrealized Gains (Losses) on Cash Flow Hedges [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Total reclassificaitons from AOCI | 257 | |
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Total reclassificaitons from AOCI | 257 | |
Reclassification Out Of Accumulated Other Comprehensive Income [Member] | Unrealized Gains (Losses) on Cash Flow Hedges [Member] | ||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||
Sales | 281 | $ (325) |
Less: Income tax expense | 24 | |
Total reclassificaitons from AOCI | $ 257 |
Fair Value Of Measurements (Sch
Fair Value Of Measurements (Schedule Of Assets And Liabilities Measured On A Recurring Basis) (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Forward exchange contract, asset, fair value | $ 667 | $ 729 |
Forward exchange contract, liability, fair value | 5 | |
Assets fair value | 667 | 729 |
Liabilities fair value | 5 | |
Level 1 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Forward exchange contract, asset, fair value | ||
Forward exchange contract, liability, fair value | ||
Assets fair value | ||
Liabilities fair value | ||
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Forward exchange contract, asset, fair value | 667 | 729 |
Forward exchange contract, liability, fair value | 5 | |
Assets fair value | 667 | 729 |
Liabilities fair value | 5 | |
Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Forward exchange contract, asset, fair value | ||
Forward exchange contract, liability, fair value | ||
Assets fair value | ||
Liabilities fair value |
Earnings Per Share - (Narrative
Earnings Per Share - (Narrative) (Details) - shares shares in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Earnings Per Share [Abstract] | ||
Antidilutive securities excluded from computation of earnings per share, number of shares | 860 | 2,119 |
Earnings Per Share (Schedule Of
Earnings Per Share (Schedule Of Reconciliation Of Basic And Diluted Shares Of Common Stock Outstanding Used In Calculation Of Earnings Per Share) (Details) - $ / shares shares in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Earnings Per Share [Abstract] | ||
Weighted average number of shares outstanding - basic | 29,748 | 30,041 |
Effect of dilutive stock awards | 925 | 116 |
Weighted average number of shares outstanding - diluted | 30,673 | 30,157 |
Basic net income (loss) per share | $ 0.13 | $ 0.01 |
Diluted net income (loss) per share | $ 0.12 | $ 0.01 |
Stock-Based Compensation Plan_2
Stock-Based Compensation Plan (Narrative) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Maximum number of shares of common stock that may be granted through awards to any employee in any calendar year | 500 | |
Number of stock options issued under a plan | 500,000 | |
Vesting period per share price qualification | $ 15 | |
Allocated Share-based Compensation Expense | $ 785 | $ 499 |
Unrecognized compensation cost related to unvested stock options | $ 4,714 | |
Unvested restricted stock awards | 850 | |
Unvested stock options | 1,598 | |
Unrecognized compensation cost related to unvested restricted stock awards | $ 3,873 | |
Restricted Stock | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Fair value of the restricted stock awards granted | $ 3,962 | |
2015 Plan [Member] | Stock Options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of stock options issued under a plan | 0 | |
2015 Plan [Member] | Restricted Stock | Employee One [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of stock options issued under a plan | 350,000 | |
Shares vesting, first installment | 117,000 | |
Shares vesting, second installment | 117,000 | |
Shares vesting, third installment | 117,000 | |
Shares vesting, forth installment | 116,000 | |
Threshold share price | $ 15 | |
Threshold share price period for vesting condition | 20 days | |
2015 Plan [Member] | Restricted Stock | Employee Two [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of stock options issued under a plan | 150,000 | |
Threshold share price | $ 15 | |
Threshold share price period for vesting condition | 20 days |
Stock-Based Compensation Plan_3
Stock-Based Compensation Plan (Schedule Of Valuation Assumptions Used In Computing Fair Value Of Stock-Based Awards) (Details) | 3 Months Ended |
Mar. 31, 2019$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options granted | shares | 500,000 |
Vesting period per share price qualification | $ 15 |
Grant price | $ 10.21 |
Expected Volatility | 42.40% |
Risk-free interest rate | 2.53% |
Weighted average fair value | $ 7.92 |
Minimum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Expected life (years) | 4 years 3 months 11 days |
Maximum [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Expected life (years) | 5 years 3 months 11 days |
2015 Plan [Member] | Stock Options | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options granted | shares | 0 |
Commitments And Contingencies (
Commitments And Contingencies (Narrative) (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Commitments And Contingencies [Abstract] | |
Total rent expense | $ 227 |
Income Taxes (Narrative) (Detai
Income Taxes (Narrative) (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Income Taxes [Abstract] | ||
Foreign statutory tax rate, foreign operations | 25.00% | |
Gross deferred tax asset | $ 47,922 | |
Valuation allowance | 42,122 | |
Net deferred tax asset | 5,800 | |
Deferred tax liabilities, gross | 8,719 | |
Net operating loss carryforwards for U.S. federal income tax purposes | 141,067 | |
Research and experimentation credit carryforwards | $ 3,791 |
Income Taxes (Summary Of Tax Cr
Income Taxes (Summary Of Tax Credit Carryforwards) (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Tax Credit Carryforward [Line Items] | |
Total net operating loss amount | $ 141,067 |
Operating loss carryforward expiration year 2021 | |
Tax Credit Carryforward [Line Items] | |
Net operating loss amount | 5,495 |
Operating loss carryforward expiration year 2022 | |
Tax Credit Carryforward [Line Items] | |
Net operating loss amount | 115,000 |
Operating loss carryforward expiration year 2023 | |
Tax Credit Carryforward [Line Items] | |
Net operating loss amount | 5,712 |
Operating loss carryforward expiration year 2024 | |
Tax Credit Carryforward [Line Items] | |
Net operating loss amount | 3,566 |
Operating loss carryforward expiration year 2025 and beyond [Member] | |
Tax Credit Carryforward [Line Items] | |
Net operating loss amount | $ 11,294 |
Segment Information (Narrative)
Segment Information (Narrative) (Details) | 3 Months Ended |
Mar. 31, 2019segment | |
Number of segments | 2 |
Segment Information (Schedule O
Segment Information (Schedule Of Revenue By Category) (Details) - Sales Revenue, Net [Member] - Product Concentration Risk [Member] | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Climb [Member] | ||
Product Information [Line Items] | ||
Concentration risk, percentage | 35.00% | 36.00% |
Mountain [Member] | ||
Product Information [Line Items] | ||
Concentration risk, percentage | 31.00% | 32.00% |
Ski [Member] | ||
Product Information [Line Items] | ||
Concentration risk, percentage | 20.00% | 17.00% |
Sport [Member] | ||
Product Information [Line Items] | ||
Concentration risk, percentage | 14.00% | 15.00% |
Segment Information (Financial
Segment Information (Financial Information for Segments) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Segment Reporting Information [Line Items] | ||
Sales to external customers | $ 61,218 | $ 53,267 |
Operating income (expense) | 4,417 | 494 |
Restructuring charges | (13) | (40) |
Transaction costs | (46) | (165) |
Corporate and other expenses | (2,384) | (1,914) |
Interest income (expense), net | (310) | (254) |
Income (loss) before income tax | 4,084 | 361 |
Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Operating income (expense) | 6,837 | 2,734 |
Black Diamond [Member] | ||
Segment Reporting Information [Line Items] | ||
Sales to external customers | 52,401 | 45,027 |
Black Diamond [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Operating income (expense) | 5,176 | 1,937 |
Sierra [Member] | ||
Segment Reporting Information [Line Items] | ||
Sales to external customers | 8,817 | 8,240 |
Sierra [Member] | Operating Segments [Member] | ||
Segment Reporting Information [Line Items] | ||
Operating income (expense) | 1,661 | 797 |
Domestic Sales [Member] | ||
Segment Reporting Information [Line Items] | ||
Sales to external customers | 30,589 | 25,654 |
Domestic Sales [Member] | Black Diamond [Member] | ||
Segment Reporting Information [Line Items] | ||
Sales to external customers | 24,532 | 19,271 |
Domestic Sales [Member] | Sierra [Member] | ||
Segment Reporting Information [Line Items] | ||
Sales to external customers | 6,057 | 6,383 |
International Sales [Member] | ||
Segment Reporting Information [Line Items] | ||
Sales to external customers | 30,629 | 27,613 |
International Sales [Member] | Black Diamond [Member] | ||
Segment Reporting Information [Line Items] | ||
Sales to external customers | 27,869 | 25,756 |
International Sales [Member] | Sierra [Member] | ||
Segment Reporting Information [Line Items] | ||
Sales to external customers | $ 2,760 | $ 1,857 |
Segment Information (Total Asse
Segment Information (Total Assets by Segments) (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Dec. 31, 2018 |
Segment Reporting Information [Line Items] | ||
Assets | $ 212,161 | $ 213,128 |
Black Diamond [Member] | ||
Segment Reporting Information [Line Items] | ||
Assets | 137,529 | 138,029 |
Sierra [Member] | ||
Segment Reporting Information [Line Items] | ||
Assets | 72,473 | 72,796 |
Corporate [Member] | ||
Segment Reporting Information [Line Items] | ||
Assets | $ 2,159 | $ 2,303 |
Segment Information (Capital Ex
Segment Information (Capital Expenditures, Depreciation and Amortization by Segment) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Segment Reporting Information [Line Items] | ||
Capital expenditures | $ 1,046 | $ 853 |
Depreciation | 1,103 | 1,073 |
Amortization | 889 | 969 |
Black Diamond [Member] | ||
Segment Reporting Information [Line Items] | ||
Capital expenditures | 764 | 658 |
Depreciation | 611 | 587 |
Amortization | 279 | 275 |
Sierra [Member] | ||
Segment Reporting Information [Line Items] | ||
Capital expenditures | 282 | 195 |
Depreciation | 492 | 486 |
Amortization | $ 610 | $ 694 |
Leases (Narrative) (Details)
Leases (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2019 | Mar. 31, 2018 | |
Leases [Abstract] | ||
Operating lease term | 4 years | |
Term available for extension | 5 years | |
Remaining contractual term | 2 years 2 months 12 days | |
Weighted average discount rate | 3.85% | |
Total rent expense | $ 227 |
Leases (Schedule Of Operating L
Leases (Schedule Of Operating Leases ROU Assets And Liabilities) (Details) $ in Thousands | Mar. 31, 2019USD ($) |
Leases [Abstract] | |
Operating lease ROU assets | $ 1,352 |
Current operating lease liabilties | 640 |
Noncurrent operating lease liabilties | $ 716 |
Leases (Schedule Of Operating_2
Leases (Schedule Of Operating Lease Costs) (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2019USD ($) | |
Leases [Abstract] | |
Lease costs | $ 169 |
Variable lease costs | 64 |
Short-term lease costs | 62 |
Lease cost | $ 295 |
Leases (Schedule Of Maturity Of
Leases (Schedule Of Maturity Of Operating Lease Liabilities) (Details) - USD ($) $ in Thousands | Mar. 31, 2019 | Jan. 01, 2019 |
Leases [Abstract] | ||
2019 (excluding the three months ended March 31, 2019) | $ 515 | |
2020 | 632 | |
2021 | 242 | |
2022 | 25 | |
Total future minimum lease payments | 1,414 | |
Less: amount representing interest | (58) | |
Operating Lease, Liability, Total | 1,356 | $ 1,516 |
Less: current lease oblications | (640) | |
Long-term lease obligations | $ 716 |
Leases (Schedule Of Future Mini
Leases (Schedule Of Future Minimum Lease Payments Under Noncancelable Operating Leases) (Details) $ in Thousands | Mar. 31, 2019USD ($) |
Commitments And Contingencies [Abstract] | |
2019 | $ 687 |
2020 | 634 |
2021 | 243 |
2022 | 24 |
Future minimum payments due, total | $ 1,588 |
Subsequent Event (Details)
Subsequent Event (Details) - USD ($) | May 03, 2019 | Mar. 31, 2019 |
Revolving Credit Facility [Member] | ||
Subsequent Event [Line Items] | ||
Credit facility current borrowing capacity | $ 50,000,000 | |
Commitment fee | 0.25% | |
2018 Credit Agreement [Member] | ||
Subsequent Event [Line Items] | ||
Credit facility maximum borrowing capacity | $ 75,000 | |
Subsequent Event [Member] | JPMorgan Chase Bank Credit Agreement [Member] | ||
Subsequent Event [Line Items] | ||
Additional potential commitments | $ 50,000 | |
Credit facility maximum borrowing capacity | $ 150,000 | |
Subsequent Event [Member] | JPMorgan Chase Bank Credit Agreement [Member] | Base Rate [Member] | ||
Subsequent Event [Line Items] | ||
Applicable rate | 0.875% | |
Subsequent Event [Member] | JPMorgan Chase Bank Credit Agreement [Member] | Eurodollar [Member] | ||
Subsequent Event [Line Items] | ||
Applicable rate | 1.875% | |
Subsequent Event [Member] | JPMorgan Chase Bank Credit Agreement [Member] | Revolving Credit Facility [Member] | ||
Subsequent Event [Line Items] | ||
Credit facility current borrowing capacity | $ 60,000 | |
Subsequent Event [Member] | JPMorgan Chase Bank Credit Agreement [Member] | Letter Of Credit [Member] | ||
Subsequent Event [Line Items] | ||
Credit facility current borrowing capacity | 5,000 | |
Subsequent Event [Member] | JPMorgan Chase Bank Credit Agreement [Member] | Term Loan [Member] | ||
Subsequent Event [Line Items] | ||
Credit facility current borrowing capacity | $ 40,000 | |
Minimum [Member] | Subsequent Event [Member] | JPMorgan Chase Bank Credit Agreement [Member] | ||
Subsequent Event [Line Items] | ||
Commitment fee | 0.15% | |
Minimum [Member] | Subsequent Event [Member] | JPMorgan Chase Bank Credit Agreement [Member] | Base Rate [Member] | ||
Subsequent Event [Line Items] | ||
Basis spread on variable rate | 0.50% | |
Minimum [Member] | Subsequent Event [Member] | JPMorgan Chase Bank Credit Agreement [Member] | Eurodollar [Member] | ||
Subsequent Event [Line Items] | ||
Basis spread on variable rate | 1.50% | |
Maximum [Member] | Subsequent Event [Member] | JPMorgan Chase Bank Credit Agreement [Member] | ||
Subsequent Event [Line Items] | ||
Commitment fee | 0.25% | |
Maximum [Member] | Subsequent Event [Member] | JPMorgan Chase Bank Credit Agreement [Member] | Base Rate [Member] | ||
Subsequent Event [Line Items] | ||
Basis spread on variable rate | 1.25% | |
Maximum [Member] | Subsequent Event [Member] | JPMorgan Chase Bank Credit Agreement [Member] | Eurodollar [Member] | ||
Subsequent Event [Line Items] | ||
Basis spread on variable rate | 2.25% |