Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2018 | May 03, 2018 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Mar. 31, 2018 | |
Document Fiscal Year Focus | 2,018 | |
Document Fiscal Period Focus | Q1 | |
Trading Symbol | NNBR | |
Entity Registrant Name | NN INC | |
Entity Central Index Key | 918,541 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 27,666,389 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) (Unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Income Statement [Abstract] | ||
Net sales | $ 169,148 | $ 157,555 |
Cost of sales (exclusive of depreciation and amortization shown separately below) | 126,444 | 114,480 |
Selling, general and administrative expense | 22,177 | 16,641 |
Acquisition related costs excluded from selling, general and administrative expense | 1,776 | |
Depreciation and amortization | 14,281 | 12,571 |
Other operating expense | 22 | |
Restructuring and integration expense | 755 | 11 |
Income from operations | 3,693 | 13,852 |
Interest expense | 11,996 | 14,839 |
Derivative gain on change in interest rate swap fair value | (88) | |
Other income, net | (313) | (722) |
Loss from continuing operations before benefit for income taxes and share of net income from joint venture | (7,990) | (177) |
Benefit for income taxes | 1,176 | 377 |
Share of net income from joint venture | 831 | 1,693 |
Income (loss) from continuing operations | (5,983) | 1,893 |
Income from discontinued operations, net of tax (Note 2) | 5,518 | |
Net income (loss) | (5,983) | 7,411 |
Other comprehensive income (loss): | ||
Foreign currency translation gain | 5,465 | 5,105 |
Other comprehensive income | 5,465 | 5,105 |
Comprehensive income (loss) | $ (518) | $ 12,516 |
Basic net income (loss) per share: | ||
Income (loss) from continuing operations per share | $ (0.22) | $ 0.07 |
Income from discontinued operations per share | 0.20 | |
Net income (loss) per share | $ (0.22) | $ 0.27 |
Weighted average shares outstanding | 27,597 | 27,303 |
Diluted net income (loss) per share: | ||
Income (loss) from continuing operations per share | $ (0.22) | $ 0.07 |
Income from discontinued operations per share | 0.20 | |
Net income (loss) per share | $ (0.22) | $ 0.27 |
Weighted average shares outstanding | 27,597 | 27,634 |
Cash dividends per common share | $ 0.07 | $ 0.07 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 184,955 | $ 224,446 |
Accounts receivable, net | 119,615 | 108,446 |
Inventories | 91,559 | 82,617 |
Income tax receivable | 43,866 | 43,253 |
Other current assets | 21,106 | 18,518 |
Total current assets | 461,101 | 477,280 |
Property, plant and equipment, net | 266,926 | 259,280 |
Goodwill | 463,694 | 454,612 |
Intangible assets, net | 237,605 | 237,702 |
Investment in joint venture | 42,110 | 39,822 |
Other non-current assets | 13,646 | 6,307 |
Total assets | 1,485,082 | 1,475,003 |
Current liabilities: | ||
Accounts payable | 54,788 | 52,990 |
Accrued salaries, wages and benefits | 26,496 | 21,145 |
Current maturities of long-term debt | 18,796 | 17,283 |
Other current liabilities | 22,264 | 17,003 |
Total current liabilities | 122,344 | 108,421 |
Deferred tax liabilities | 71,499 | 71,564 |
Non-current income tax payable | 5,593 | 5,593 |
Long-term debt, net of current portion | 787,438 | 790,805 |
Other non-current liabilities | 13,349 | 12,516 |
Total liabilities | 1,000,223 | 988,899 |
Commitments and contingencies (Note 12) | ||
Total stockholders' equity | 484,859 | 486,104 |
Total liabilities and stockholders' equity | $ 1,485,082 | $ 1,475,003 |
Condensed Consolidated Stateme4
Condensed Consolidated Statement of Changes in Stockholders' Equity (Unaudited) - 3 months ended Mar. 31, 2018 - USD ($) shares in Thousands, $ in Thousands | Total | Common Stock [Member] | Additional Paid in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (loss) [Member] |
Beginning Balance at Dec. 31, 2017 | $ 486,104 | $ 275 | $ 292,494 | $ 211,080 | $ (17,745) |
Beginning Balance, Shares at Dec. 31, 2017 | 27,572 | ||||
Net loss | (5,983) | (5,983) | |||
Dividends declared | (1,955) | (1,955) | |||
Share-based compensation expense | 1,256 | $ 1 | 1,255 | ||
Share-based compensation expense, shares | 87 | ||||
Shares issued for option exercises | $ 242 | 242 | |||
Shares issued for option exercises, shares | 23 | 23 | |||
Restricted shares forgiven for taxes and forfeited | $ (287) | (287) | |||
Restricted shares forgiven for taxes and forfeited, shares | (16) | ||||
Foreign currency translation gain (loss) | 5,465 | 5,465 | |||
Adoption of new accounting standard (Note 1) | 17 | 17 | |||
Ending Balance at Mar. 31, 2018 | $ 484,859 | $ 276 | $ 293,704 | $ 203,159 | $ (12,280) |
Ending Balance, Shares at Mar. 31, 2018 | 27,666 |
Condensed Consolidated Stateme5
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | ||
Cash flows from operating activities: | |||
Net income (loss) | $ (5,983) | $ 7,411 | |
Adjustments to reconcile net income (loss) to net cash provided by (used by) operating activities: | |||
Depreciation and amortization of continuing operations | 14,281 | 12,571 | |
Depreciation and amortization of discontinued operations | 3,009 | ||
Amortization of debt issuance costs | 1,088 | 1,221 | |
Share of net income from joint venture, net of cash dividends received | (831) | (1,693) | |
Compensation expense from issuance of share-based awards | 1,256 | 1,152 | |
Other | 347 | (207) | |
Changes in operating assets and liabilities: | |||
Accounts receivable | (9,433) | (19,332) | |
Inventories | (7,791) | (1,025) | |
Accounts payable | (296) | 1,394 | |
Income taxes receivable | (613) | 5,899 | |
Other | 7,001 | (5,459) | |
Net cash provided by (used by) operating activities | (974) | 4,941 | |
Cash flows from investing activities: | |||
Acquisition of property, plant and equipment | (11,860) | (8,565) | |
Cash paid to acquire businesses, net of cash received | (14,676) | ||
Cash paid for earnest money for Paragon Medical acquisition (Note 3) | (6,000) | ||
Other | (282) | 295 | |
Net cash provided by (used by) investing activities | (32,818) | (8,270) | |
Cash flows from financing activities: | |||
Dividends paid | (1,931) | (1,910) | |
Proceeds from long-term debt | 10,000 | 14,000 | |
Repayment of long-term debt | (13,000) | (1,437) | |
Repayments of short-term debt, net | (52) | (2,045) | |
Other | (1,278) | (316) | |
Net cash provided by (used by) financing activities | (6,261) | 8,292 | |
Effect of exchange rate changes on cash flows | 562 | 215 | |
Net change in cash and cash equivalents | (39,491) | 5,178 | [1] |
Cash and cash equivalents at beginning of period | 224,446 | 14,405 | [2] |
Cash and cash equivalents at end of period | $ 184,955 | $ 19,583 | |
[1] | Cash and cash equivalents includes $8.1 million of cash and cash equivalents that were included in current assets of discontinued operations as of December 31, 2016. | ||
[2] | Cash and cash equivalents includes $10.9 million of cash and cash equivalents that were included in current assets of discontinued operations as of March 31, 2017. |
Condensed Consolidated Stateme6
Condensed Consolidated Statements of Cash Flows (Unaudited) (Parenthetical) - USD ($) $ in Millions | Mar. 31, 2017 | Dec. 31, 2016 |
Statement of Cash Flows [Abstract] | ||
Cash included in current assets of discontinued operations | $ 10.9 | $ 8.1 |
Interim Financial Statements
Interim Financial Statements | 3 Months Ended |
Mar. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Interim Financial Statements | Note 1. Interim Financial Statements Nature of Business NN, Inc., is a global diversified industrial company that combines advanced engineering and production capabilities with in-depth 10-Q, In January 2018, we implemented a new enterprise and management structure designed to accelerate growth and further balance our portfolio by aligning our strategic assets and businesses. Our businesses were reorganized into the Mobile Solutions, Power Solutions, and Life Sciences divisions and are based principally on the end markets they serve. The Autocam Precision Components Group reported in our historical financial statements was renamed as the Mobile Solutions division. The Mobile Solutions division is focused on growth in the industrial and automotive end markets. The Precision Engineered Products Group reported in our historical financial statements was bifurcated into two new divisions – Power Solutions and Life Sciences. The Power Solutions division is focused on growth in the electrical and aerospace and defense end markets. The Life Sciences division is focused on growth in the medical end market. Basis of Presentation The accompanying condensed consolidated financial statements have not been audited, except that the Condensed Consolidated Balance Sheet as of December 31, 2017, was derived from the audited consolidated financial statements included in our Annual Report on Form 10-K Certain information and footnote disclosures normally included in the consolidated financial statements prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) have been condensed or omitted from the interim financial statements presented in this Quarterly Report on Form 10-Q. Except for per share data or as otherwise indicated, all dollar amounts presented in the tables in these Notes to Condensed Consolidated Financial Statements are in thousands. Prior Periods’ Financial Statement Revision As disclosed in our 2017 Annual Report on Form10-K, we identified various misstatements in our previously issued 2016 and 2015 annual financial statements and interim periods in 2016 and 2017. These prior period errors related primarily to (i) accounting for income and franchise taxes, (ii) accounting for the gain on the disposition of a business, (iii) accounting for indemnification assets related to a prior acquisition, (iv) accounting for foreign currency transactions, (v) accounting for the translation of foreign subsidiary assets and joint venture, and (vi) other immaterial errors, including errors that had previously been adjusted for as out of period corrections in the periods identified. We assessed the materiality of the misstatements on prior periods’ financial statements in accordance with SEC Staff Accounting Bulletin (“SAB”) Topic 1.M, Materiality, codified in Accounting Standards Codification (“ASC”) Topic 250, Accounting Changes and Error Corrections, (“ASC 250”) and concluded that the misstatements were not material to any prior annual or interim periods. In accordance with ASC 250 (SAB Topic 1.N, Considering the Effects of Prior Year Misstatements when Quantifying Misstatements in Current Year Financial Statements Accounting Standards Recently Adopted Revenue Recognition Revenue from Contracts with Customers Revenue Recognition, Definition of a Business. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business, Statement of Cash Flows. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force) The new cash flow guidance requires that cash payments for debt prepayment costs be classified as cash outflows for financing activities. We paid $31.6 million for debt prepayment costs in April 2017. These debt prepayment costs were previously classified as cash outflows from operating activities in 2017. Under the new guidance, these costs will be reclassified to cash outflows from financing activities when these comparable periods are presented in future filings. The new guidance also requires entities to make an accounting policy election regarding classification of distributions received from equity method investees. Existing guidance does not currently address how an entity should determine which distributions represent returns on versus returns of investment. The lack of specific guidance has resulted in diversity in practice. The two allowable approaches are the “cumulative earnings” approach and the “nature of the distribution” approach, as defined by ASU 2016-15. Accounting Standards Not Yet Adopted Leases. 2016-02, Leases 2016-02 Leases, Leases. 2016-02 right-of-use Goodwill. 2017-04, Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment, Effects of Tax Reform in Other Comprehensive Income. 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, 2018-02 |
Discontinued Operations
Discontinued Operations | 3 Months Ended |
Mar. 31, 2018 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Discontinued Operations | Note 2. Discontinued Operations On August 17, 2017, we completed the sale of our global precision bearing components business (the “PBC Business”). The PBC Business included all our facilities that were engaged in the production of precision steel balls, steel rollers, and metal retainers and automotive specialty products used primarily in the bearing industry. The sale of the PBC Business furthers management’s long-term strategy to build a diversified industrial business with a comprehensive geographic footprint in attractive high-growth market segments. The PBC Business represented all of the Precision Bearing Components Group reportable segment disclosed in our historical financial statements. In accordance with ASC 205-20, Presentation of Financial Statements – Discontinued Operations The following table summarizes the major line items included in the results of operations of the discontinued operations. Three Months Ended Net sales $ 68,759 Cost of sales (exclusive of depreciation and amortization shown separately below) 52,959 Selling, general and administrative expense 4,353 Depreciation and amortization 3,009 Restructuring and integration expense 129 Income from operations 8,309 Gain on disposal of discontinued operations — Interest income 117 Interest and other income (expense) (2 ) Income from discontinued operations before provision (benefit) for income taxes 8,194 Provision for income taxes 2,676 Income from discontinued operations, net of tax $ 5,518 The following table presents the significant noncash items and cash paid for capital expenditures of discontinued operations. Three Months Ended Depreciation and amortization $ 3,009 Acquisition of property, plant and equipment $ 2,483 |
Acquisitions
Acquisitions | 3 Months Ended |
Mar. 31, 2018 | |
Business Combinations [Abstract] | |
Acquisitions | Note 3. Acquisitions Bridgemedica, LLC On February 22, 2018, we completed the acquisition of 100% of the assets of Bridgemedica, LLC (“Bridgemedica”). Bridgemedica is a medical device company that provides concept to supply solutions through design, development engineering and manufacturing. Operating results of Bridgemedica are reported prospectively in our Life Sciences division. We are in the process of analyzing the opening balance sheet and purchase price allocation. Amounts recorded for preliminary goodwill and intangible assets are disclosed in Note 6 and Note 7, respectively. Other In March 2018, we paid $6.0 million in earnest money to the previous owners of PMG Intermediate Holding Corporation. See Note 18 for the subsequent event disclosure. |
Segment Information
Segment Information | 3 Months Ended |
Mar. 31, 2018 | |
Segment Reporting [Abstract] | |
Segment Information | Note 4. Segment Information We determined our reportable segments under the provisions of U.S. GAAP related to disclosures about segments of an enterprise. Management has concluded that Mobile Solutions, Power Solutions, and Life Sciences each constitutes an operating segment as each engages in business activities for which it earns revenues and incurs expenses for which separate financial information is available, and this is the level at which the Chief Operating Decision Maker (“CODM”) reviews discrete financial information for purposes of allocating resources and assessing performance. In making this determination, management considered the form and content of the financial information that is regularly reviewed by the CODM. As described in Note 1, in January 2018, we implemented a new enterprise and management structure and reorganized our businesses into the Mobile Solutions, Power Solutions and Life Sciences divisions based principally on the end markets they serve. In the first quarter of 2018, we began reporting our financial results based on these new reportable segments. Prior year amounts have been restated to conform to the current year presentation. Mobile Solutions Our Mobile Solutions division is focused on growth in the industrial and automotive end markets. Within this division we manufacture highly engineered, difficult-to-manufacture We sell a wide range of highly engineered, extremely close tolerance, precision-machined metal components and subassemblies primarily to the automotive and general industrial end markets. We have developed an expertise in manufacturing highly complex, system critical components for fuel systems, engines and transmissions, power steering systems and electromechanical motors on a high-volume basis. This expertise has been gained through investment in technical capabilities, processes and systems, and skilled program management and product launch capabilities. Power Solutions Our Power Solutions division is focused on growth in the electrical, and aerospace and defense end markets. Within this division we combine materials science expertise with advanced engineering and production capabilities to design and manufacture a broad range of high-precision metal and plastic components, assemblies and finished devices used in applications ranging from power control to flight control and for military devices. We manufacture a variety of products including electrical contacts, connectors, contact assemblies and precision stampings for the electrical end market and high precision products for the aerospace and defense end markets utilizing our extensive process technologies for optical grade plastics, thermally conductive plastics, titanium, Inconel, magnesium and electroplating. Life Sciences Our Life Sciences division is focused on growth in the medical end market. Within this division we combine advanced engineering and production capabilities to design and manufacture a broad range of high-precision metal and plastic components, assemblies and finished devices. We manufacture a variety of components, assemblies and instruments, such as surgical knives, bioresorbable implants, surgical staples, orthopedic system tools, laparoscopic devices, and drug delivery devices for the medical and life sciences end market. Segment Results The following table presents results of continuing operations for each reportable segment. Mobile Power Life Corporate and Total Three Months Ended March 31, 2018 Net sales $ 89,794 $ 48,682 $ 31,200 $ (528 ) (a) $ 169,148 Income (loss) from operations $ 9,785 $ 5,233 $ 4,204 $ (15,529 ) $ 3,693 Interest expense (11,996 ) Other income, net 313 Loss from continuing operations before benefit for income taxes and share of net income from joint venture $ (7,990 ) Three Months Ended March 31, 2017 Net sales $ 86,446 $ 48,424 $ 23,129 $ (444 ) $ 157,555 Income (loss) from operations $ 10,601 $ 6,795 $ 3,622 $ (7,166 ) $ 13,852 Interest expense (14,839 ) Other 810 Loss from continuing operations before benefit for income taxes and share of net income from joint venture $ (177 ) (a) Includes eliminations of intersegment transactions occurring during the ordinary course of business. Total Assets as of March 31, December 31, Mobile Solutions $ 453,521 $ 428,321 Power Solutions 393,048 383,063 Life Sciences 362,744 355,703 Corporate and Consolidations 275,769 307,916 Total Continuing Operations $ 1,485,082 $ 1,475,003 The Bridgemedica business acquired on February 22, 2018, contributed $1.3 million to net sales and $0.1 million to income from operations in the Life Sciences division after the acquisition date through March 31, 2018. |
Inventories
Inventories | 3 Months Ended |
Mar. 31, 2018 | |
Inventory Disclosure [Abstract] | |
Inventories | Note 5. Inventories Inventories are comprised of the following amounts: March 31, December 31, Raw materials $ 38,151 $ 37,337 Work in process 32,124 27,669 Finished goods 21,284 17,611 Inventories $ 91,559 $ 82,617 |
Goodwill
Goodwill | 3 Months Ended |
Mar. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill | Note 6. Goodwill The following table shows changes in the carrying amount of goodwill. Mobile Power Life Total Balance as of December 31, 2017 $ 74,147 $ 201,881 $ 178,584 $ 454,612 Currency impacts 295 719 — 1,014 Goodwill acquired in acquisition — — 7,867 7,867 Adjustments to goodwill — — 201 201 Balance as of March 31, 2018 $ 74,442 $ 202,600 $ 186,652 $ 463,694 The goodwill acquired in 2018 is related to the Bridgemedica acquisition as described in Note 3 and is derived from the value of the business acquired. We are in the process of analyzing the opening balance sheet and purchase price allocation. The preliminary fair value of the business acquired was based on management business plans and future performance estimates which are subject to a high degree of management judgment and complexity. Actual results may differ from these projections and the differences may be material, leading to measurement period adjustments of this goodwill. In the first quarter of 2018, as a result of the changes in our organizational and management structure, goodwill was reassigned to operating segments using a relative fair value allocation. For further information on the organizational changes, see Note 1. |
Intangible Assets, Net
Intangible Assets, Net | 3 Months Ended |
Mar. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets, Net | Note 7. Intangible Assets, Net The following table shows changes in the carrying amount of intangible assets, net. Mobile Power Life Total Balance as of December 31, 2017 $ 39,446 $ 105,030 $ 93,226 $ 237,702 Amortization (873 ) (2,725 ) (2,397 ) (5,995 ) Currency impacts (15 ) — — (15 ) Intangible assets acquired in acquisition — — 5,913 5,913 Balance as of March 31, 2018 $ 38,558 $ 102,305 $ 96,742 $ 237,605 We added approximately $5.9 million of intangible assets during the three months ended March 31, 2018, primarily related to customer relationships acquired in the Bridgemedica acquisition with an estimated useful life of 13 years. In the first quarter of 2018, as a result of the changes in our organizational and management structure, intangible assets were reassigned to operating segments using a relative fair value allocation. For further information on the organizational changes, see Note 1. |
Investment in Joint Venture
Investment in Joint Venture | 3 Months Ended |
Mar. 31, 2018 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Investment in Joint Venture | Note 8. Investment in Joint Venture We own a 49% investment in a joint venture located in Wuxi, China, called Wuxi Weifu Autocam Precision Machinery Company, Ltd. (the “JV”). The JV is jointly controlled and managed, and we account for it under the equity method. The following table summarizes activity related to our investment in the JV. Balance as of December 31, 2017 $ 39,822 Our share of cumulative earnings 957 Accretion of basis difference from purchase accounting (126 ) Foreign currency translation gain 1,457 Balance as of March 31, 2018 $ 42,110 We recognized sales to the JV of less than $0.2 million and approximately $0.1 million during the three-month periods ended March 31, 2018 and 2017, respectively. The following tables show selected financial data of the joint venture. March 31, December 31, Current assets $ 58,517 $ 47,600 Non-current 32,844 24,763 Total assets $ 91,361 $ 72,363 Current liabilities $ 41,504 $ 26,165 Total liabilities $ 41,504 $ 26,165 Three Months Ended March 31, 2018 2017 Net sales $ 18,003 $ 19,111 Cost of sales $ 15,147 $ 14,436 Income from operations $ 2,508 $ 4,411 Net income $ 1,952 $ 3,689 |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2018 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 9. Income Taxes On December 22, 2017, the U. S. government enacted comprehensive tax legislation. The Tax Act reduces the U.S. federal corporate income tax rate from 35% to 21% and creates new taxes on certain foreign sourced earnings. In response to the Tax Act, the Securities and Exchange Commission issued Staff Accounting Bulletin No. 118 (“SAB 118”) which allows issuers to recognize provisional estimates of the impact of the Tax Act in their financial statements, or in circumstances where estimates cannot be made, to disclose and recognize at a later date. For the year ended December 31, 2017, we included in our financial statements provisional charges for the revaluation of our net domestic deferred tax assets and a one-time one-year Our annualized effective tax rate from continuing operations was 14.7% for the three months ended March 31, 2018, and 213.0% for the three months ended March 31, 2017. Our 2018 effective tax rate differs from the U.S. federal statutory tax rate of 21% due to permanent differences including certain provisions of the Tax Act, specifically the base-broadening provision which imposed a new minimum tax on global intangible low-tax During the quarter ended March 31, 2018, we finalized our accounting policy decision with respect to the new GILTI tax rules and have concluded that GILTI will be treated as a periodic charge in the year in which it arises. Therefore, we will not record deferred taxes for the basis associated with GILTI earnings. During the third quarter of 2017, the Internal Revenue Service commenced an examination of the federal tax return for the pre-acquisition |
Debt
Debt | 3 Months Ended |
Mar. 31, 2018 | |
Debt Disclosure [Abstract] | |
Debt | Note 10. Debt The following table presents debt balances as of March 31, 2018, and December 31, 2017. March 31, December 31, $545.0 million Senior Secured Term Loan B (“Senior Secured Term Loan”) bearing interest at the greater of 0.75% or one-month $ 534,250 $ 534,250 $300.0 million Incremental Term Loan (“Incremental Term Loan”) bearing interest at one-month LIBOR (1.88% at March 31, 2018), plus an applicable margin of 3.25% at March 31, 2018, expiring April 3, 2021 288,000 291,000 $143.0 million Senior Secured Revolver (“Senior Secured Revolver”) bearing interest at one-month LIBOR (1.88% at March 31, 2018) plus an applicable margin of 3.5% at March 31, 2018, expiring October 19, 2020 — — French Safeguard Obligations 299 290 Brazilian lines of credit and equipment notes 207 257 Chinese line of credit, bearing interest 2,868 2,768 Total 825,624 828,565 Less current maturities of long-term debt 18,796 17,283 Principal, net of current portion 806,828 811,282 Less unamortized debt issuance costs 19,390 20,477 Long-term debt, net of current portion $ 787,438 $ 790,805 We capitalized interest costs amounting to $0.2 million and $0.4 million in the three-months ended March 31, 2018, and 2017, related to construction in progress. |
Restructuring and Integration
Restructuring and Integration | 3 Months Ended |
Mar. 31, 2018 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Integration | Note 11. Restructuring and Integration The following table summarizes restructuring and integration charges incurred for the three-month periods ended March 31, 2018 and 2017. Three Months Ended March 31, 2018 Mobile Power Life Corporate and Total Severance and other employee costs $ — $ — $ — $ 728 $ 728 Other 27 — — — 27 Total $ 27 $ — $ — $ 728 $ 755 Three Months Ended March 31, 2017 Mobile Power Life Corporate and Total Severance and other employee costs $ 11 $ — $ — $ — $ 11 Total $ 11 $ — $ — $ — $ 11 The following table summarizes restructuring and integration reserve activity for the three months ended March 31, 2018. Reserve Balance as of Charges Non-cash Cash Reserve Balance as of Severance and other employee costs $ — $ 728 $ — $ (95 ) $ 633 Site closure and other associated costs 1,099 27 (31 ) (583 ) 512 Total $ 1,099 $ 755 $ (31 ) $ (678 ) $ 1,145 We recognized severance costs of $0.7 million at corporate headquarters related to the restructuring of our former Precision Engineered Products Group to form the Power Solutions and Life Sciences divisions effective January 2, 2018. We are continually identifying restructuring and integration costs at our divisions. Future filings will include updates to these activities along with a reconciliation of beginning and ending liabilities. We expect to pay the entire reserve balance within no more than twelve months. |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2018 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 12. Commitments and Contingencies Brazil ICMS Tax Matter Prior to the acquisition of Autocam Corporation in 2014 (“Autocam”), Autocam’s Brazilian subsidiary received notification from the Brazilian tax authorities regarding ICMS (state value added tax or VAT) tax credits claimed on intermediary materials (tooling and perishable items) used in the manufacturing process. The Brazilian tax authority notification disallowed state ICMS credits claimed on intermediary materials based on the argument that these items are not intrinsically related to the manufacturing processes. Autocam Brazil filed an administrative defense with the Brazilian tax authority arguing, among other matters, that it should qualify for an ICMS tax credit, contending that the intermediary materials are directly related to the manufacturing process. We believe that we have substantial legal and factual defenses, and we plan to defend our interests in this matter vigorously. While we believe a loss is not probable, we estimate the range of possible losses related to this assessment is from $0 to $6.0 million. No amount was accrued at March 31, 2018, for this matter. There was no material change in the status of this matter from December 31, 2017, to March 31, 2018. We are entitled to indemnification from the former shareholders of Autocam, subject to the limitations and procedures set forth in the agreement and plan of merger relating to the Autocam acquisition. Management believes the indemnification would include amounts owed for the tax, interest and penalties related to this matter. All Other Legal Matters All other legal proceedings are of an ordinary and routine nature and are incidental to our operations. Management believes that such proceedings should not, individually or in the aggregate, have a material adverse effect on our business, financial condition, results of operations or cash flows. In making that determination, we analyze the facts and circumstances of each case at least quarterly in consultation with our attorneys and determine a range of reasonably possible outcomes. |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 3 Months Ended |
Mar. 31, 2018 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contracts with Customers | Note 13. Revenue from Contracts with Customers We adopted ASC 606 on January 1, 2018, using the modified retrospective transition method for all contracts not completed as of the date of adoption. The reported results for 2018 reflect the application of ASC 606 while the reported results for 2017 were prepared under the guidance of ASC 605. The adoption of ASC 606 represents a change in accounting principle that will more closely align revenue recognition with the delivery of our goods and will provide financial statement readers with enhanced disclosures. In accordance with ASC 606, revenue is recognized when a customer obtains control of promised goods in an amount that reflects the consideration we expect to be entitled to receive in exchange for those goods. To the extent that transaction price includes variable consideration, we estimate the amount of variable consideration that should be included in the transaction price utilizing the expected value method or the most likely amount method depending on the nature of the variable consideration. Variable consideration is included in the transaction price if, in management’s judgement, it is probable that a significant future reversal of cumulative revenue under the contract will not occur. Revenue is recognized when control of the good or service is transferred to the customer, either at a point in time or as our services are rendered over time. Revenue is measured as the amount of consideration we expect to receive in exchange for transferring goods or services. The following table summarizes sales to external customers by major source. Three Months Ended March 31, 2018 Mobile Power Life Intersegment Total United States $ 49,655 $ 40,128 $ 30,553 $ (528 ) $ 119,808 China 11,581 1,485 126 — 13,192 Mexico 7,236 3,197 172 — 10,605 Brazil 9,885 50 — — 9,935 Poland 2,052 14 — — 2,066 Czech Republic 1,810 — — — 1,810 Italy 1,577 98 — — 1,675 Germany 1,534 7 1 — 1,542 Switzerland 1,406 — — — 1,406 Netherlands — 974 — — 974 Other 3,058 2,729 348 — 6,135 Total net sales $ 89,794 $ 48,682 $ 31,200 $ (528 ) $ 169,148 Product Sales We generally transfer control and recognize a sale when we ship the product from our manufacturing facility to our customer, at a point in time, as this is when our customer obtains the ability to direct use of, and obtain substantially all of the remaining benefits from, the goods. We have elected to recognize the cost for freight and shipping when control over products has transferred to the customer as a component of cost of sales. We use an observable price to determine the stand-alone selling price for separate performance obligations or a cost-plus-margin approach when an observable price is not available. The expected duration of our contracts is less than one year, and we have elected to apply the practical expedient that allows entities to disregard the effects of financing when the contract length is less than one year. The amount of consideration we receive and the revenue we recognize varies with volume rebates and incentives we offer to our customers. We estimate the amount of variable consideration that should be included in the transaction price utilizing the expected value method or the most likely amount method depending on the nature of the variable consideration. Variable consideration is included in the transaction price if, in our judgement, it is probable that a significant future reversal of cumulative revenue under the contract will not occur. We have utilized certain practical expedients allowed by the new standard. We intend to utilize the portfolio approach practical expedient to evaluate sales-related discounts on a portfolio basis to contracts with similar characteristics. We expect that the effect on our financial statements of applying the portfolio approach would not differ materially from applying the new standard to individual contracts. We give our customers the right to return only defective products in exchange for functioning products or rework of the product. These transactions are evaluated and accounted for under ASC Topic 460, Guarantees, Other Sources of Revenue We provide pre-production The following table provides information about contract liabilities from contracts with customers. Deferred Balance at January 1, 2018 $ 2,124 Balance at March 31, 2018 $ 2,204 The timing of revenue recognition, billings and cash collections results in billed accounts receivable and customer advances and deposits (contract liability) on the Condensed Consolidated Balance Sheet. These contract liabilities are reported on the Condensed Consolidated Balance Sheet on a contract-by-contract Transaction Price Allocated to Future Performance Obligations ASC 606 requires that we disclose the aggregate amount of transaction price that is allocated to performance obligations that have not yet been satisfied as of March 31, 2018. The guidance provides certain practical expedients that limit this requirement. Our contracts meet the following practical expedient provided by ASC 606: • The performance obligation is part of a contract that has an original expected duration of one year or less. Costs to Obtain and Fulfill a Contract Prior to the adoption of ASC 606, we expensed commissions paid to internal sales representatives for obtaining contracts. Under 606 ASC, we adopted the practical expedient to recognize commissions paid to internal sales personnel that are incremental to obtaining customer contracts as an expense when incurred since the amortization period is less than one year. The judgments made in determining the amount of costs incurred include whether the commissions are in fact incremental and would not have occurred absent the customer contract. Costs to obtain a contract are expensed as selling, general and administrative expense. Sales, value add, and other taxes we collect concurrent with revenue-producing activities are excluded from revenue. Incidental items that are immaterial in the context of the contract are recognized as expense. Financial Statement Impact of Adopting ASC 606 The following table presents the impact of adoption of ASC 606 on our condensed consolidated statement of operations and balance sheet. Differences are due to the acceleration in the recognition of revenue to the point of shipment or delivery for contracts where an unconditional obligation to purchase is present for inventory that was considered in consignment under ASC 605. Three Months Ended March 31, 2018 As Reported Balances ASC 606 Effect of Net sales $ 169,148 $ 169,202 $ (54 ) Cost of sales 126,444 126,489 (45 ) Income from operations 3,693 3,702 (9 ) As of March 31, 2018 As Reported Balances Effect of Assets Accounts receivable, net $ 119,615 $ 119,669 $ (54 ) Inventories 91,559 91,514 45 Equity Retained earnings $ 203,159 $ 203,168 $ (9 ) |
Shared-Based Compensation
Shared-Based Compensation | 3 Months Ended |
Mar. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Shared-Based Compensation | Note 14. Shared-Based Compensation The following table lists the components of share-based compensation expense by type of award. Three Months Ended March 31, 2018 2017 Stock options $ 205 $ 381 Restricted stock 460 460 Performance share units 591 311 Share-based compensation $ 1,256 $ 1,152 Stock Options During the three months ended March 31, 2018, we granted options to purchase 55,300 shares to certain key employees. The weighted average grant date fair value of the options granted during the three months ended March 31, 2018, was $10.68 per share. The fair value of our options cannot be determined by market value because they are not traded in an open market. Accordingly, we utilized the Black Scholes financial pricing model to estimate the fair value. The following table shows the weighted average assumptions relevant to determining the fair value of stock options granted in 2018. 2018 Expected term 6 years Risk free interest rate 2.65 % Dividend yield 1.14 % Expected volatility 47.78 % Expected forfeiture rate 4.00 % The expected term is derived from using the simplified method of determining stock option terms as described under the Securities and Exchange Commission’s Staff Accounting Bulletin Topic 14, Share-based payment The average risk-free interest rate is derived from United States Department of Treasury published interest rates of daily yield curves for the same time period as the expected term. The expected dividend yield is derived by a mathematical formula which uses the expected annual dividends over the expected term divided by the fair market value of our common stock at the grant date. The expected volatility rate is derived from our actual common stock historical volatility over the same time period as the expected term. The volatility rate is derived by mathematical formula utilizing daily closing price data. The forfeiture rate is determined from examining the historical pre-vesting The following table summarizes option activity for the three months ended March 31, 2018. Options Shares Weighted- Weighted- Aggregate Outstanding at January 1, 2018 746 $ 14.33 Granted 55 24.55 Exercised (23 ) 10.00 $ 238 Outstanding at March 31, 2018 778 $ 15.19 6.4 $ 6,850 (1) Exercisable at March 31, 2018 619 $ 13.44 5.7 $ 6,539 (1) (1) The intrinsic value is the amount by which the market price of our stock was greater than the exercise price of any individual option grant at March 31, 2018. Restricted Stock During the three months ended March 31, 2018, we granted 86,516 restricted stock awards to non-executive pro-rata non-executive The following table summarizes the status of unvested restricted stock awards as of March 31, 2018, and changes during the three months then ended. Nonvested (in thousands) Weighted Grant-Date Nonvested at January 1, 2018 152 $ 19.21 Granted 87 $ 24.55 Vested (80 ) $ 18.88 Nonvested at March 31, 2018 159 $ 22.30 Performance Share Units Performance Share Units (“PSUs”) are a form of long-term incentive compensation awarded to executive officers and certain other key employees designed to directly align the interests of employees to the interests of our stockholders, and to create long-term stockholder value. PSU awards granted in 2018 were made pursuant to the NN, Inc. 2016 Omnibus Incentive Plan and a Performance Share Unit Agreement. Some PSUs are based on total shareholder return (“TSR Awards”), and other PSUs are based on return on invested capital (“ROIC Awards”). The TSR Awards vest, if at all, upon our achieving a specified relative total shareholder return, which will be measured against the total shareholder return of the S&P SmallCap 600 Index during specified performance periods as defined in the award agreements. Each performance period generally begins on January 1 of the year of grant and ends 36 months later on December 31. The ROIC Awards will vest, if at all, upon our achieving a specified average return on invested capital during the performance periods. We recognize compensation expense over the performance period in which the performance and market conditions are measured. If the PSUs do not vest at the end of the performance periods, then the PSUs will expire automatically. Upon vesting, the PSUs will be settled by the issuance of shares of our common stock, subject to the executive officer’s continued employment. The actual number of shares of common stock will be issued to each award recipient at the end of the performance periods will be interpolated between a threshold and maximum payout amount based on actual performance results. No dividends will be paid on outstanding PSUs during the performance period; however, dividend equivalents will be paid based on the number of shares of common stock that are ultimately earned at the end of the Performance Periods. With respect to the TSR Awards, a participant will earn 50% of the target number of PSUs for “Threshold Performance,” 100% of the target number of PSUs for “Target Performance,” and 150% of the target number of PSUs for “Maximum Performance.” With respect to the ROIC Awards, a participant will earn 35% of the target number of PSUs for “Threshold Performance,” 100% of the target number of PSUs for “Target Performance,” and 150% of the target number of PSUs for “Maximum Performance. For performance levels falling between the values shown below, the percentages will be determined by interpolation. The following table presents the goals with respect to TSR and ROIC for each award granted in 2018. TSR: Threshold Performance (50% of Shares) Target Performance (100% of Shares) Maximum Performance (150% of Shares) 2018 grants 35th Percentile 50th Percentile 75th Percentile ROIC: Threshold Performance (35% of Shares) Target Performance (100% of Shares) Maximum Performance (150% of Shares) 2018 grants 15.5% 18% 19.5% We estimate the grant date fair value of TSR Awards using the Monte Carlo simulation model, as the total shareholder return metric is considered a market condition under ASC Topic 718, Compensation – stock compensation TSR Awards ROIC Awards Award Year Shares (in thousands) Grant Date Fair Value Shares (in thousands) Grant Date Fair 2018 55 $ 24.65 55 $ 24.55 We generally recognize an expense for ROIC Awards based on the Target Performance threshold of 100% because, at the date of grant, the Target Performance is the probable level of performance achievement. All PSUs that vested on December 31, 2017, were settled in shares in May 2018. The following table summarizes the status of unvested PSU awards as of March 31, 2018, and changes during the period then ended. Nonvested TSR Awards Nonvested ROIC Awards Shares (in thousands) Weighted Grant-Date Shares (in thousands) Weighted Average Fair Value (per share) Nonvested at January 1, 2018 130 $ 16.60 136 $ 16.27 Granted 55 $ 24.65 55 $ 24.55 Forfeited (11 ) $ 15.12 (12 ) $ 15.49 Nonvested at March 31, 2018 174 $ 18.90 179 $ 18.63 |
Net Income (Loss) Per Share
Net Income (Loss) Per Share | 3 Months Ended |
Mar. 31, 2018 | |
Earnings Per Share [Abstract] | |
Net Income (Loss) Per Share | Note 15. Net Income (Loss) Per Share Three Months Ended 2018 2017 Income (loss) from continuing operations $ (5,983 ) $ 1,893 Income from discontinued operations, net of tax — 5,518 Net income (loss) $ (5,983 ) $ 7,411 Weighted average shares outstanding 27,597 27,303 Effect of dilutive stock options — 331 Diluted shares outstanding 27,597 27,634 Basic income (loss) from continuing operations per share $ (0.22 ) $ 0.07 Basic income from discontinued operations per share — 0.20 Basic net income (loss) per share $ (0.22 ) $ 0.27 Diluted income (loss) from continuing operations per share $ (0.22 ) $ 0.07 Diluted income from discontinued operations per share — 0.20 Diluted net income (loss) per share $ (0.22 ) $ 0.27 The calculations of diluted income from continuing operations per share for the three-month periods ended March 31, 2018 and 2017, exclude 0.5 million and 0.6 million potentially dilutive stock options, which had the effect of being anti-dilutive. Given the loss from continuing operations for the three-month period ended March 31, 2018, all options are considered anti-dilutive and were excluded from the calculation of diluted loss from continuing operations per share. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Mar. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 16. Fair Value Measurements Fair value is an exit price representing the expected amount that an entity would receive to sell an asset or pay to transfer a liability in an orderly transaction with market participants at the measurement date. We followed consistent methods and assumptions to estimate fair values as more fully described in the 2017 Annual Report. Our financial instruments that are subject to fair value disclosure consist of cash and cash equivalents, accounts receivable, accounts payable, and long-term debt. As of March 31, 2018, the carrying values of these financial instruments approximated fair value. The fair value of floating-rate debt approximates the carrying amount because the interest rates paid are based on short-term maturities. As of March 31, 2018, we had no fixed-rate debt outstanding. Fair value principles prioritize valuation inputs across three broad levels. Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the financial instrument. Level 3 inputs are unobservable inputs based on the assumptions used to measure assets and liabilities at fair value. An asset or liability’s classification within the various levels is determined based on the lowest level input that is significant to the fair value measurement. Nonrecurring Fair Value Measurements We completed the Bridgemedica acquisition on February 22, 2018. In connection with our accounting for this acquisition, it was necessary for us to estimate the values of the assets acquired and liabilities assumed, which involved the use of various assumptions discussed in Note 3. We utilized Level 3 inputs to estimate the fair values of these assets and liabilities. |
Prior Periods' Financial Statem
Prior Periods' Financial Statement Revision | 3 Months Ended |
Mar. 31, 2018 | |
Accounting Changes and Error Corrections [Abstract] | |
Prior Periods' Financial Statement Revision | Note 17. Prior Periods’ Financial Statement Revision The following tables present the effect of the correction of those misstatements that impacted the three months ended March 31, 2017, as further described in Note 1, and the related adjustments to reflect the revision on the Condensed Consolidated Statements of Operations and Comprehensive Income (Loss). Also, as further described in Note 2, due to the disposition of the PBC Business and the related discontinued operations treatment, the tables below present separately the impact of the correction of the misstatements as well as the effect of recasting the prior periods for discontinued operations. Three Months Ended March 31, 2017 As Originally Adjustment Discontinued As Revised Cost of sales (exclusive of depreciation and amortization) $ 166,954 $ 485 $ (52,959 ) $ 114,480 Selling, general and administrative expense 21,494 (500 ) (4,353 ) 16,641 Depreciation and amortization 15,568 12 (3,009 ) 12,571 Income from operations 22,158 3 (8,309 ) 13,852 Income (loss) from continuing operations before provision (benefit) for income taxes and share of net income from joint venture 8,014 3 (8,194 ) (177 ) Benefit (provision) for income taxes (2,300 ) 1 2,676 377 Income from continuing operations 7,407 4 (5,518 ) 1,893 Income from discontinued operations, net of tax 5,518 5,518 Net income $ 7,407 $ 4 $ 7,411 Other comprehensive income: Foreign currency translation income 4,706 399 5,105 Other comprehensive income (loss): 4,706 399 5,105 Comprehensive income $ 12,113 $ 403 $ 12,516 Basic net income (loss) per share $ 0.27 $ 0.00 $ 0.27 Diluted net income (loss) per share $ 0.27 $ 0.00 $ 0.27 The following table presents the effect of the correction of the misstatements on our Condensed Consolidated Statement of Cash Flows. Three Months Ended March 31, 2017 As Adjustment Reclasses (1) As Net income (loss) $ 7,407 $ 4 $ 7,411 Adjustments to reconcile net income to net cash provided by (used by) operating activities: Depreciation and amortization 15,568 12 15,580 (2) Total derivative mark-to-market (88 ) 88 — Other — (268 ) 61 (207 ) Changes in operating assets and liabilities: Income taxes payable (receivable) — 5,899 5,899 Other 605 (16 ) (6,048 ) (5,459 ) Net cash provided by (used by) operating activities 5,209 (268 ) — 4,941 Cash flows from investing activities Proceeds from disposals of property, plant and equipment 27 — (27 ) — Other — 268 27 295 Net cash provided by (used by) investing activities (8,538 ) 268 — (8,270 ) (1) Includes the reclassification of prior period amounts to reflect current period presentation, including the addition of the income taxes payable (receivable) line as well as condensing immaterial amounts. (2) Depreciation and amortization of $3.0 million is included in income from discontinued operations on the Condensed Consolidated Statements of Operations and Comprehensive Income for the three months ended March 31, 2017. |
Subsequent Event
Subsequent Event | 3 Months Ended |
Mar. 31, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Event | Note 18. Subsequent Event Paragon Medical Acquisition On May 7, 2018, we acquired 100% of the stock of PMG Intermediate Holding Corporation, the parent company of Paragon Medical, Inc. (“Paragon Medical”) for $375.0 million in cash. Paragon Medical is a medical device manufacturer which focuses on the orthopedic, case and tray, implant and instrument markets. Operating results of Paragon Medical will be reported prospectively in our Life Sciences division. The effects of this acquisition are not reflected in the condensed consolidated financial statements presented in this Quarterly Report on Form 10-Q Second Lien Credit Agreement In connection with the closing, we, certain of our subsidiaries named therein, SunTrust Bank, as Administrative Agent, SunTrust Robinson Humphrey, Inc. as Lead Arranger and Bookrunner, and the lenders named therein entered into a Second Lien Credit Agreement (the “Second Lien Credit Agreement”) pursuant to which SunTrust and the other lenders extended to us a $200.0 million secured second lien term loan facility (the “Second Lien Facility”). We utilized the net proceeds from the Second Lien Facility, together with cash on hand, to pay the Paragon Medical purchase price and fees and expenses related to the acquisition. The Second Lien Facility matures on April 19, 2023, and bears interest at either (i) a base rate, plus an applicable margin, or (ii) the greater of the London Interbank Offered Rate (“LIBOR”) or 1.00%, plus an applicable margin. The initial applicable margin for all borrowings under the Second Lien Facility is 7.00% per annum with respect to base rate borrowings and 8.00% per annum with respect to LIBOR borrowings. We may voluntarily prepay outstanding loans under the Second Lien Facility, in whole or in part without premium or penalty until August 7, 2018, or at any time following May 7, 2020. We may be subject to a prepayment penalty of 2% of the amount of such loans that we prepay between August 7, 2018, and May 7, 2020. If we prepay any outstanding loans after May 7, 2019, but prior to May 7, 2020, we may be subject to a prepayment penalty of 1% of the amount prepaid. The Second Lien Credit Agreement requires us to prepay outstanding loans, subject to certain exceptions, with: (i) a variable percentage of excess cash flow; (ii) 100% of the net cash proceeds of non-ordinary Amendment to Credit Facility On May 7, 2018, we entered into an amendment to our existing credit facility to permit the Paragon Medical acquisition, to permit the Second Lien Credit Agreement, and to amend certain covenants. |
Interim Financial Statements (P
Interim Financial Statements (Policies) | 3 Months Ended |
Mar. 31, 2018 | |
Quarterly Financial Information Disclosure [Abstract] | |
Nature of Business | Nature of Business NN, Inc., is a global diversified industrial company that combines advanced engineering and production capabilities with in-depth 10-Q, In January 2018, we implemented a new enterprise and management structure designed to accelerate growth and further balance our portfolio by aligning our strategic assets and businesses. Our businesses were reorganized into the Mobile Solutions, Power Solutions, and Life Sciences divisions and are based principally on the end markets they serve. The Autocam Precision Components Group reported in our historical financial statements was renamed as the Mobile Solutions division. The Mobile Solutions division is focused on growth in the industrial and automotive end markets. The Precision Engineered Products Group reported in our historical financial statements was bifurcated into two new divisions – Power Solutions and Life Sciences. The Power Solutions division is focused on growth in the electrical and aerospace and defense end markets. The Life Sciences division is focused on growth in the medical end market. |
Basis of Presentation | Basis of Presentation The accompanying condensed consolidated financial statements have not been audited, except that the Condensed Consolidated Balance Sheet as of December 31, 2017, was derived from the audited consolidated financial statements included in our Annual Report on Form 10-K Certain information and footnote disclosures normally included in the consolidated financial statements prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) have been condensed or omitted from the interim financial statements presented in this Quarterly Report on Form 10-Q. Except for per share data or as otherwise indicated, all dollar amounts presented in the tables in these Notes to Condensed Consolidated Financial Statements are in thousands. |
Prior Periods Financial Statement Revision | Prior Periods’ Financial Statement Revision As disclosed in our 2017 Annual Report on Form10-K, we identified various misstatements in our previously issued 2016 and 2015 annual financial statements and interim periods in 2016 and 2017. These prior period errors related primarily to (i) accounting for income and franchise taxes, (ii) accounting for the gain on the disposition of a business, (iii) accounting for indemnification assets related to a prior acquisition, (iv) accounting for foreign currency transactions, (v) accounting for the translation of foreign subsidiary assets and joint venture, and (vi) other immaterial errors, including errors that had previously been adjusted for as out of period corrections in the periods identified. We assessed the materiality of the misstatements on prior periods’ financial statements in accordance with SEC Staff Accounting Bulletin (“SAB”) Topic 1.M, Materiality, codified in Accounting Standards Codification (“ASC”) Topic 250, Accounting Changes and Error Corrections, (“ASC 250”) and concluded that the misstatements were not material to any prior annual or interim periods. In accordance with ASC 250 (SAB Topic 1.N, Considering the Effects of Prior Year Misstatements when Quantifying Misstatements in Current Year Financial Statements |
Accounting Standards Recently Adopted | Accounting Standards Recently Adopted Revenue Recognition Revenue from Contracts with Customers Revenue Recognition, Definition of a Business. 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business, Statement of Cash Flows. 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force) The new cash flow guidance requires that cash payments for debt prepayment costs be classified as cash outflows for financing activities. We paid $31.6 million for debt prepayment costs in April 2017. These debt prepayment costs were previously classified as cash outflows from operating activities in 2017. Under the new guidance, these costs will be reclassified to cash outflows from financing activities when these comparable periods are presented in future filings. The new guidance also requires entities to make an accounting policy election regarding classification of distributions received from equity method investees. Existing guidance does not currently address how an entity should determine which distributions represent returns on versus returns of investment. The lack of specific guidance has resulted in diversity in practice. The two allowable approaches are the “cumulative earnings” approach and the “nature of the distribution” approach, as defined by ASU 2016-15. Accounting Standards Not Yet Adopted Leases. 2016-02, Leases 2016-02 Leases, Leases. 2016-02 right-of-use Goodwill. 2017-04, Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment, Effects of Tax Reform in Other Comprehensive Income. 2018-02, Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income, 2018-02 |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Summary of Discontinued Operations | The following table summarizes the major line items included in the results of operations of the discontinued operations. Three Months Ended Net sales $ 68,759 Cost of sales (exclusive of depreciation and amortization shown separately below) 52,959 Selling, general and administrative expense 4,353 Depreciation and amortization 3,009 Restructuring and integration expense 129 Income from operations 8,309 Gain on disposal of discontinued operations — Interest income 117 Interest and other income (expense) (2 ) Income from discontinued operations before provision (benefit) for income taxes 8,194 Provision for income taxes 2,676 Income from discontinued operations, net of tax $ 5,518 The following table presents the significant noncash items and cash paid for capital expenditures of discontinued operations. Three Months Ended Depreciation and amortization $ 3,009 Acquisition of property, plant and equipment $ 2,483 |
Segment Information (Tables)
Segment Information (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Segment Reporting [Abstract] | |
Segment Information | The following table presents results of continuing operations for each reportable segment. Mobile Power Life Corporate and Total Three Months Ended March 31, 2018 Net sales $ 89,794 $ 48,682 $ 31,200 $ (528 ) (a) $ 169,148 Income (loss) from operations $ 9,785 $ 5,233 $ 4,204 $ (15,529 ) $ 3,693 Interest expense (11,996 ) Other income, net 313 Loss from continuing operations before benefit for income taxes and share of net income from joint venture $ (7,990 ) Three Months Ended March 31, 2017 Net sales $ 86,446 $ 48,424 $ 23,129 $ (444 ) $ 157,555 Income (loss) from operations $ 10,601 $ 6,795 $ 3,622 $ (7,166 ) $ 13,852 Interest expense (14,839 ) Other 810 Loss from continuing operations before benefit for income taxes and share of net income from joint venture $ (177 ) (a) Includes eliminations of intersegment transactions occurring during the ordinary course of business. Total Assets as of March 31, December 31, Mobile Solutions $ 453,521 $ 428,321 Power Solutions 393,048 383,063 Life Sciences 362,744 355,703 Corporate and Consolidations 275,769 307,916 Total Continuing Operations $ 1,485,082 $ 1,475,003 |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Inventory Disclosure [Abstract] | |
Summary of Inventories | Inventories are comprised of the following amounts: March 31, December 31, Raw materials $ 38,151 $ 37,337 Work in process 32,124 27,669 Finished goods 21,284 17,611 Inventories $ 91,559 $ 82,617 |
Goodwill (Tables)
Goodwill (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Changes in Carrying Amount of Goodwill | The following table shows changes in the carrying amount of goodwill. Mobile Power Life Total Balance as of December 31, 2017 $ 74,147 $ 201,881 $ 178,584 $ 454,612 Currency impacts 295 719 — 1,014 Goodwill acquired in acquisition — — 7,867 7,867 Adjustments to goodwill — — 201 201 Balance as of March 31, 2018 $ 74,442 $ 202,600 $ 186,652 $ 463,694 |
Intangible Assets, Net (Tables)
Intangible Assets, Net (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of Carrying Amount of Intangible Assets Net | The following table shows changes in the carrying amount of intangible assets, net. Mobile Power Life Total Balance as of December 31, 2017 $ 39,446 $ 105,030 $ 93,226 $ 237,702 Amortization (873 ) (2,725 ) (2,397 ) (5,995 ) Currency impacts (15 ) — — (15 ) Intangible assets acquired in acquisition — — 5,913 5,913 Balance as of March 31, 2018 $ 38,558 $ 102,305 $ 96,742 $ 237,605 |
Investment in Joint Venture (Ta
Investment in Joint Venture (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Summarized Activity Related to Investment in Joint Venture | The following table summarizes activity related to our investment in the JV. Balance as of December 31, 2017 $ 39,822 Our share of cumulative earnings 957 Accretion of basis difference from purchase accounting (126 ) Foreign currency translation gain 1,457 Balance as of March 31, 2018 $ 42,110 |
Summarized Balance Sheet Information of Unconsolidated Joint Venture | The following tables show selected financial data of the joint venture. March 31, December 31, Current assets $ 58,517 $ 47,600 Non-current 32,844 24,763 Total assets $ 91,361 $ 72,363 Current liabilities $ 41,504 $ 26,165 Total liabilities $ 41,504 $ 26,165 |
Summarized Income Statement Information of Unconsolidated Joint Venture | Three Months Ended March 31, 2018 2017 Net sales $ 18,003 $ 19,111 Cost of sales $ 15,147 $ 14,436 Income from operations $ 2,508 $ 4,411 Net income $ 1,952 $ 3,689 |
Debt (Tables)
Debt (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Debt Disclosure [Abstract] | |
Summary of Debt | The following table presents debt balances as of March 31, 2018, and December 31, 2017. March 31, December 31, $545.0 million Senior Secured Term Loan B (“Senior Secured Term Loan”) bearing interest at the greater of 0.75% or one-month $ 534,250 $ 534,250 $300.0 million Incremental Term Loan (“Incremental Term Loan”) bearing interest at one-month LIBOR (1.88% at March 31, 2018), plus an applicable margin of 3.25% at March 31, 2018, expiring April 3, 2021 288,000 291,000 $143.0 million Senior Secured Revolver (“Senior Secured Revolver”) bearing interest at one-month LIBOR (1.88% at March 31, 2018) plus an applicable margin of 3.5% at March 31, 2018, expiring October 19, 2020 — — French Safeguard Obligations 299 290 Brazilian lines of credit and equipment notes 207 257 Chinese line of credit, bearing interest 2,868 2,768 Total 825,624 828,565 Less current maturities of long-term debt 18,796 17,283 Principal, net of current portion 806,828 811,282 Less unamortized debt issuance costs 19,390 20,477 Long-term debt, net of current portion $ 787,438 $ 790,805 |
Restructuring and Integration (
Restructuring and Integration (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Wheeling Plant [Member] | |
Summary of Restructuring and Integration Charges and Reserve Activity | The following table summarizes restructuring and integration charges incurred for the three-month periods ended March 31, 2018 and 2017. Three Months Ended March 31, 2018 Mobile Power Life Corporate and Total Severance and other employee costs $ — $ — $ — $ 728 $ 728 Other 27 — — — 27 Total $ 27 $ — $ — $ 728 $ 755 Three Months Ended March 31, 2017 Mobile Power Life Corporate and Total Severance and other employee costs $ 11 $ — $ — $ — $ 11 Total $ 11 $ — $ — $ — $ 11 The following table summarizes restructuring and integration reserve activity for the three months ended March 31, 2018. Reserve Balance as of Charges Non-cash Cash Reserve Balance as of Severance and other employee costs $ — $ 728 $ — $ (95 ) $ 633 Site closure and other associated costs 1,099 27 (31 ) (583 ) 512 Total $ 1,099 $ 755 $ (31 ) $ (678 ) $ 1,145 |
Revenue from Contracts with C34
Revenue from Contracts with Customers (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Summary of Revenue from Contracts with Customers | The following table summarizes sales to external customers by major source. Three Months Ended March 31, 2018 Mobile Power Life Intersegment Total United States $ 49,655 $ 40,128 $ 30,553 $ (528 ) $ 119,808 China 11,581 1,485 126 — 13,192 Mexico 7,236 3,197 172 — 10,605 Brazil 9,885 50 — — 9,935 Poland 2,052 14 — — 2,066 Czech Republic 1,810 — — — 1,810 Italy 1,577 98 — — 1,675 Germany 1,534 7 1 — 1,542 Switzerland 1,406 — — — 1,406 Netherlands — 974 — — 974 Other 3,058 2,729 348 — 6,135 Total net sales $ 89,794 $ 48,682 $ 31,200 $ (528 ) $ 169,148 |
Summary of Contract Liabilities from Contracts with Customers | The following table provides information about contract liabilities from contracts with customers. Deferred Balance at January 1, 2018 $ 2,124 Balance at March 31, 2018 $ 2,204 |
Accounting Standards Update 2014-09 [Member] | |
Condensed Consolidated Statement of Operations and Balance Sheet | The following table presents the impact of adoption of ASC 606 on our condensed consolidated statement of operations and balance sheet. Differences are due to the acceleration in the recognition of revenue to the point of shipment or delivery for contracts where an unconditional obligation to purchase is present for inventory that was considered in consignment under ASC 605. Three Months Ended March 31, 2018 As Reported Balances ASC 606 Effect of Net sales $ 169,148 $ 169,202 $ (54 ) Cost of sales 126,444 126,489 (45 ) Income from operations 3,693 3,702 (9 ) As of March 31, 2018 As Reported Balances Effect of Assets Accounts receivable, net $ 119,615 $ 119,669 $ (54 ) Inventories 91,559 91,514 45 Equity Retained earnings $ 203,159 $ 203,168 $ (9 ) |
Shared-Based Compensation (Tabl
Shared-Based Compensation (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Components of Share-Based Compensation Expense by Type of Award | The following table lists the components of share-based compensation expense by type of award. Three Months Ended March 31, 2018 2017 Stock options $ 205 $ 381 Restricted stock 460 460 Performance share units 591 311 Share-based compensation $ 1,256 $ 1,152 |
Weighted Average Assumptions Relevant to Determining the Fair Value at the Dates of Grant and Stock Option Modification | The following table shows the weighted average assumptions relevant to determining the fair value of stock options granted in 2018. 2018 Expected term 6 years Risk free interest rate 2.65 % Dividend yield 1.14 % Expected volatility 47.78 % Expected forfeiture rate 4.00 % |
Reconciliation of Option Activity | The following table summarizes option activity for the three months ended March 31, 2018. Options Shares Weighted- Weighted- Aggregate Outstanding at January 1, 2018 746 $ 14.33 Granted 55 24.55 Exercised (23 ) 10.00 $ 238 Outstanding at March 31, 2018 778 $ 15.19 6.4 $ 6,850 (1) Exercisable at March 31, 2018 619 $ 13.44 5.7 $ 6,539 (1) (1) The intrinsic value is the amount by which the market price of our stock was greater than the exercise price of any individual option grant at March 31, 2018. |
Reconciliation of Restricted Stock Option Activity | The following table summarizes the status of unvested restricted stock awards as of March 31, 2018, and changes during the three months then ended. Nonvested (in thousands) Weighted Grant-Date Nonvested at January 1, 2018 152 $ 19.21 Granted 87 $ 24.55 Vested (80 ) $ 18.88 Nonvested at March 31, 2018 159 $ 22.30 |
Schedule of Performance Based Awards Goals with Respect to TSR and ROIC | The following table presents the goals with respect to TSR and ROIC for each award granted in 2018. TSR: Threshold Performance (50% of Shares) Target Performance (100% of Shares) Maximum Performance (150% of Shares) 2018 grants 35th Percentile 50th Percentile 75th Percentile ROIC: Threshold Performance (35% of Shares) Target Performance (100% of Shares) Maximum Performance (150% of Shares) 2018 grants 15.5% 18% 19.5% |
Schedule of Number of Awards Granted and Grant Date Fair Value of Each Award in Periods | The following table presents the number of awards granted and the grant date fair value of each award in the periods presented. TSR Awards ROIC Awards Award Year Shares (in thousands) Grant Date Fair Value Shares (in thousands) Grant Date Fair 2018 55 $ 24.65 55 $ 24.55 |
Summary of Status of Unvested PSU Awards | The following table summarizes the status of unvested PSU awards as of March 31, 2018, and changes during the period then ended. Nonvested TSR Awards Nonvested ROIC Awards Shares (in thousands) Weighted Grant-Date Shares (in thousands) Weighted Average Fair Value (per share) Nonvested at January 1, 2018 130 $ 16.60 136 $ 16.27 Granted 55 $ 24.65 55 $ 24.55 Forfeited (11 ) $ 15.12 (12 ) $ 15.49 Nonvested at March 31, 2018 174 $ 18.90 179 $ 18.63 |
Net Income (Loss) Per Share (Ta
Net Income (Loss) Per Share (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Earnings Per Share [Abstract] | |
Summary of Net Income (Loss) Per Share | Three Months Ended 2018 2017 Income (loss) from continuing operations $ (5,983 ) $ 1,893 Income from discontinued operations, net of tax — 5,518 Net income (loss) $ (5,983 ) $ 7,411 Weighted average shares outstanding 27,597 27,303 Effect of dilutive stock options — 331 Diluted shares outstanding 27,597 27,634 Basic income (loss) from continuing operations per share $ (0.22 ) $ 0.07 Basic income from discontinued operations per share — 0.20 Basic net income (loss) per share $ (0.22 ) $ 0.27 Diluted income (loss) from continuing operations per share $ (0.22 ) $ 0.07 Diluted income from discontinued operations per share — 0.20 Diluted net income (loss) per share $ (0.22 ) $ 0.27 |
Prior Periods' Financial Stat37
Prior Periods' Financial Statement Revision (Tables) | 3 Months Ended |
Mar. 31, 2018 | |
Accounting Changes and Error Corrections [Abstract] | |
Schedule of Correction of Misstatements and Revision on Consolidated Statements | The following tables present the effect of the correction of those misstatements that impacted the three months ended March 31, 2017, as further described in Note 1, and the related adjustments to reflect the revision on the Condensed Consolidated Statements of Operations and Comprehensive Income (Loss). Also, as further described in Note 2, due to the disposition of the PBC Business and the related discontinued operations treatment, the tables below present separately the impact of the correction of the misstatements as well as the effect of recasting the prior periods for discontinued operations. Three Months Ended March 31, 2017 As Originally Adjustment Discontinued As Revised Cost of sales (exclusive of depreciation and amortization) $ 166,954 $ 485 $ (52,959 ) $ 114,480 Selling, general and administrative expense 21,494 (500 ) (4,353 ) 16,641 Depreciation and amortization 15,568 12 (3,009 ) 12,571 Income from operations 22,158 3 (8,309 ) 13,852 Income (loss) from continuing operations before provision (benefit) for income taxes and share of net income from joint venture 8,014 3 (8,194 ) (177 ) Benefit (provision) for income taxes (2,300 ) 1 2,676 377 Income from continuing operations 7,407 4 (5,518 ) 1,893 Income from discontinued operations, net of tax 5,518 5,518 Net income $ 7,407 $ 4 $ 7,411 Other comprehensive income: Foreign currency translation income 4,706 399 5,105 Other comprehensive income (loss): 4,706 399 5,105 Comprehensive income $ 12,113 $ 403 $ 12,516 Basic net income (loss) per share $ 0.27 $ 0.00 $ 0.27 Diluted net income (loss) per share $ 0.27 $ 0.00 $ 0.27 The following table presents the effect of the correction of the misstatements on our Condensed Consolidated Statement of Cash Flows. Three Months Ended March 31, 2017 As Adjustment Reclasses (1) As Net income (loss) $ 7,407 $ 4 $ 7,411 Adjustments to reconcile net income to net cash provided by (used by) operating activities: Depreciation and amortization 15,568 12 15,580 (2) Total derivative mark-to-market (88 ) 88 — Other — (268 ) 61 (207 ) Changes in operating assets and liabilities: Income taxes payable (receivable) — 5,899 5,899 Other 605 (16 ) (6,048 ) (5,459 ) Net cash provided by (used by) operating activities 5,209 (268 ) — 4,941 Cash flows from investing activities Proceeds from disposals of property, plant and equipment 27 — (27 ) — Other — 268 27 295 Net cash provided by (used by) investing activities (8,538 ) 268 — (8,270 ) (1) Includes the reclassification of prior period amounts to reflect current period presentation, including the addition of the income taxes payable (receivable) line as well as condensing immaterial amounts. (2) Depreciation and amortization of $3.0 million is included in income from discontinued operations on the Condensed Consolidated Statements of Operations and Comprehensive Income for the three months ended March 31, 2017. |
Interim Financial Statements -
Interim Financial Statements - Additional Information (Detail) $ in Thousands | Apr. 30, 2017USD ($) | Mar. 31, 2018USD ($)Facility | Mar. 31, 2017USD ($) |
Interim Reporting [Line Items] | |||
Number of manufacturing facilities | Facility | 44 | ||
Net profit change on contracts | $ (5,983) | $ 7,411 | |
Cash paid for debt prepayment | $ 31,600 | ||
Maximum [Member] | Accounting Standards Update 2014-09 [Member] | |||
Interim Reporting [Line Items] | |||
Net profit change on contracts | $ 100 |
Discontinued Operations - Summa
Discontinued Operations - Summary of Major Line Items Included in Results of Operations of Discontinued Operations (Detail) $ in Thousands | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Disposal Group, Including Discontinued Operation, Income Statement Disclosures [Abstract] | |
Net sales | $ 68,759 |
Cost of sales (exclusive of depreciation and amortization shown separately below) | 52,959 |
Selling, general and administrative expense | 4,353 |
Depreciation and amortization | 3,009 |
Restructuring and integration expense | 129 |
Income from operations | 8,309 |
Gain on disposal of discontinued operations | 0 |
Interest income | 117 |
Interest and other income (expense) | (2) |
Income from discontinued operations before provision (benefit) for income taxes | 8,194 |
Provision for income taxes | 2,676 |
Income from discontinued operations, net of tax | $ 5,518 |
Discontinued Operations - Sum40
Discontinued Operations - Summary of Significant Noncash Items and Cash Paid for Capital Expenditures of Discontinued Operations (Detail) $ in Thousands | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Discontinued Operation, Alternative Cash Flow Information [Abstract] | |
Depreciation and amortization | $ 3,009 |
Acquisition of property, plant and equipment | $ 2,483 |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2018 | Feb. 22, 2018 | |
Business Acquisition [Line Items] | |||
Cash paid for earnest money | $ 6,000 | ||
Bridgemedica, LLC [Member] | |||
Business Acquisition [Line Items] | |||
Date of acquisition | Feb. 22, 2018 | ||
Acquisition percentage | 100.00% | ||
Paragon Medical Inc [Member] | |||
Business Acquisition [Line Items] | |||
Date of acquisition | May 7, 2018 | ||
Cash paid for earnest money | $ 6,000 |
Segment Information - Segment I
Segment Information - Segment Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Segment Reporting Information [Line Items] | |||
Net sales | $ 169,148 | $ 157,555 | |
Income (loss) from operations | 3,693 | 13,852 | |
Interest expense | (11,996) | (14,839) | |
Other income, net | 313 | 722 | |
Other | 810 | ||
Loss from continuing operations before benefit for income taxes and share of net income from joint venture | (7,990) | (177) | |
Total assets | 1,485,082 | $ 1,475,003 | |
Mobile Solutions [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 89,794 | 86,446 | |
Income (loss) from operations | 9,785 | 10,601 | |
Total assets | 453,521 | 428,321 | |
Power Solutions [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 48,682 | 48,424 | |
Income (loss) from operations | 5,233 | 6,795 | |
Total assets | 393,048 | 383,063 | |
Life Sciences [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | 31,200 | 23,129 | |
Income (loss) from operations | 4,204 | 3,622 | |
Total assets | 362,744 | 355,703 | |
Corporate and Consolidations [Member] | |||
Segment Reporting Information [Line Items] | |||
Net sales | (528) | (444) | |
Income (loss) from operations | (15,529) | $ (7,166) | |
Total assets | $ 275,769 | $ 307,916 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2018 | Mar. 31, 2017 | |
Segment Reporting Information [Line Items] | |||
Sales revenue | $ 169,148 | $ 157,555 | |
Net income | $ (5,983) | $ 7,411 | |
Bridgemedica, LLC [Member] | |||
Segment Reporting Information [Line Items] | |||
Sales revenue | $ 1,300 | ||
Net income | $ 100 |
Inventories - Summary of Invent
Inventories - Summary of Inventories (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Inventory Disclosure [Abstract] | ||
Raw materials | $ 38,151 | $ 37,337 |
Work in process | 32,124 | 27,669 |
Finished goods | 21,284 | 17,611 |
Inventories | $ 91,559 | $ 82,617 |
Goodwill - Changes in Carrying
Goodwill - Changes in Carrying Amount of Goodwill (Detail) $ in Thousands | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Goodwill [Line Items] | |
Beginning Balance | $ 454,612 |
Currency impacts | 1,014 |
Goodwill acquired in acquisition | 7,867 |
Adjustments to goodwill | 201 |
Ending Balance | 463,694 |
Mobile Solutions [Member] | |
Goodwill [Line Items] | |
Beginning Balance | 74,147 |
Currency impacts | 295 |
Ending Balance | 74,442 |
Power Solutions [Member] | |
Goodwill [Line Items] | |
Beginning Balance | 201,881 |
Currency impacts | 719 |
Ending Balance | 202,600 |
Life Sciences [Member] | |
Goodwill [Line Items] | |
Beginning Balance | 178,584 |
Goodwill acquired in acquisition | 7,867 |
Adjustments to goodwill | 201 |
Ending Balance | $ 186,652 |
Intangible Assets, Net - Summar
Intangible Assets, Net - Summary of Carrying Amount of Intangible Assets by Segment (Detail) $ in Thousands | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Finite-Lived Intangible Assets [Line Items] | |
Beginning Balance | $ 237,702 |
Amortization | (5,995) |
Currency impacts | (15) |
Intangible assets acquired in acquisition | 5,913 |
Ending balance | 237,605 |
Mobile Solutions [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Beginning Balance | 39,446 |
Amortization | (873) |
Currency impacts | (15) |
Ending balance | 38,558 |
Power Solutions [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Beginning Balance | 105,030 |
Amortization | (2,725) |
Ending balance | 102,305 |
Life Sciences [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Beginning Balance | 93,226 |
Amortization | (2,397) |
Intangible assets acquired in acquisition | 5,913 |
Ending balance | $ 96,742 |
Intangible Assets, Net - Additi
Intangible Assets, Net - Additional Information (Detail) $ in Thousands | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Finite-Lived Intangible Assets [Line Items] | |
Intangible assets | $ 5,913 |
Bridgemedica, LLC [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
Intangible assets | $ 5,900 |
Estimated intangible assets useful life | 13 years |
Investment in Joint Venture - A
Investment in Joint Venture - Additional Information (Detail) - USD ($) | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Schedule of Equity Method Investments [Line Items] | ||
Net sales | $ 169,148,000 | $ 157,555,000 |
Joint Venture [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Net sales | $ 100,000 | |
Joint Venture [Member] | Maximum [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Net sales | $ 200,000 | |
Wuxi Weifu Autocam Precision Machinery Company, Ltd. [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Investment in joint venture | 49.00% |
Investment in Joint Venture - S
Investment in Joint Venture - Summarized Activity Related to Investment in Joint Venture (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Schedule of Equity Method Investments [Line Items] | ||
Beginning Balance | $ 39,822 | |
Our share of cumulative earnings | 831 | $ 1,693 |
Ending Balance | 42,110 | |
Joint Venture [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Beginning Balance | 39,822 | |
Our share of cumulative earnings | 957 | |
Accretion of basis difference from purchase accounting | (126) | |
Foreign currency translation gain | 1,457 | |
Ending Balance | $ 42,110 |
Investment in Joint Venture -50
Investment in Joint Venture - Summarized Balance Sheet Information of Unconsolidated Joint Venture (Detail) - Joint Venture [Member] - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Schedule of Equity Method Investments [Line Items] | ||
Current assets | $ 58,517 | $ 47,600 |
Non-current assets | 32,844 | 24,763 |
Total assets | 91,361 | 72,363 |
Current liabilities | 41,504 | 26,165 |
Total liabilities | $ 41,504 | $ 26,165 |
Investment in Joint Venture -51
Investment in Joint Venture - Summarized Income Statement Information of Unconsolidated Joint Venture (Detail) - Joint Venture [Member] - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Schedule of Equity Method Investments [Line Items] | ||
Net sales | $ 18,003 | $ 19,111 |
Cost of sales | 15,147 | 14,436 |
Income from operations | 2,508 | 4,411 |
Net income | $ 1,952 | $ 3,689 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
U.S. federal statutory rate | 21.00% | 35.00% | |
Effective tax rate from continuing operations | 14.70% | 213.00% |
Debt - Summary of Debt (Detail)
Debt - Summary of Debt (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Debt Instrument [Line Items] | ||
Total | $ 825,624 | $ 828,565 |
Less current maturities of long-term debt | 18,796 | 17,283 |
Principal, net of current portion | 806,828 | 811,282 |
Less unamortized debt issuance costs | 19,390 | 20,477 |
Long-term debt, net of current portion | 787,438 | 790,805 |
French Safeguard [Member] | ||
Debt Instrument [Line Items] | ||
French Safeguard Obligations | 299 | 290 |
Brazilian [Member] | ||
Debt Instrument [Line Items] | ||
Line of credit | 207 | 257 |
Chinese [Member] | ||
Debt Instrument [Line Items] | ||
Line of credit | 2,868 | 2,768 |
Senior Secured Term Loan B [Member] | ||
Debt Instrument [Line Items] | ||
Senior debt | 534,250 | 534,250 |
Incremental Term Loan [Member] | ||
Debt Instrument [Line Items] | ||
Senior debt | $ 288,000 | $ 291,000 |
Debt - Summary of Debt (Parenth
Debt - Summary of Debt (Parenthetical) (Detail) - London Interbank Offered Rate (LIBOR) [Member] | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Senior Secured Term Loan B [Member] | |
Debt Instrument [Line Items] | |
Borrowings | $ 545,000,000 |
Interest rate | 1.88% |
Applicable margin | 3.75% |
LIBOR Period | 1 month |
Debt maturity date | Oct. 19, 2022 |
Senior Secured Term Loan B [Member] | Minimum [Member] | |
Debt Instrument [Line Items] | |
Interest rate | 0.75% |
Incremental Term Loan [Member] | |
Debt Instrument [Line Items] | |
Borrowings | $ 300,000,000 |
Interest rate | 1.88% |
Applicable margin | 3.25% |
LIBOR Period | 1 month |
Debt maturity date | Apr. 3, 2021 |
Senior Secured Revolving Facility [Member] | |
Debt Instrument [Line Items] | |
Borrowings | $ 143,000,000 |
Interest rate | 1.88% |
Applicable margin | 3.50% |
Debt maturity date | Oct. 19, 2020 |
Debt - Additional Information (
Debt - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Debt Disclosure [Abstract] | ||
Capitalized interest costs | $ 0.2 | $ 0.4 |
Restructuring and Integration -
Restructuring and Integration - Summary of Restructuring and Integration Charges and Reserve Activity (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Restructuring Cost and Reserve [Line Items] | ||
Severance and other employee costs | $ 728 | $ 11 |
Other | 27 | |
Total | 755 | 11 |
Reserve beginning balance | 1,099 | |
Charges | 755 | |
Non-cash Adjustments | (31) | |
Cash Reductions | (678) | |
Reserve ending balance | 1,145 | |
Severance and Other Employee Costs [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Charges | 728 | |
Cash Reductions | (95) | |
Reserve ending balance | 633 | |
Site Closure and Other Associated Costs [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Reserve beginning balance | 1,099 | |
Charges | 27 | |
Non-cash Adjustments | (31) | |
Cash Reductions | (583) | |
Reserve ending balance | 512 | |
Mobile Solutions [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Severance and other employee costs | 11 | |
Other | 27 | |
Total | 27 | $ 11 |
Corporate and Consolidations [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Severance and other employee costs | 728 | |
Total | $ 728 |
Restructuring and Integration57
Restructuring and Integration - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Restructuring Cost and Reserve [Line Items] | ||
Severance costs | $ 728 | $ 11 |
Precision Engineered Products Group [Member] | ||
Restructuring Cost and Reserve [Line Items] | ||
Severance costs | $ 700 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) | Mar. 31, 2018 | Dec. 31, 2017 |
Contingencies And Commitments [Line Items] | ||
Amount accrued for estimation of loss | $ 0 | $ 0 |
Minimum [Member] | ||
Contingencies And Commitments [Line Items] | ||
Possible loss estimated | 0 | |
Maximum [Member] | ||
Contingencies And Commitments [Line Items] | ||
Possible loss estimated | $ 6,000,000 |
Revenue from Contracts with C59
Revenue from Contracts with Customers - Summary of Revenue from Contracts with Customers (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Revenue, Major Customer [Line Items] | ||
Net sales | $ 169,148 | $ 157,555 |
Intersegment Sales Eliminations [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | (528) | |
United States [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 119,808 | |
United States [Member] | Intersegment Sales Eliminations [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | (528) | |
Chinese [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 13,192 | |
Mexico [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 10,605 | |
Brazilian [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 9,935 | |
Poland [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 2,066 | |
Czech Republic [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 1,810 | |
Germany [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 1,542 | |
Italy [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 1,675 | |
Switzerland [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 1,406 | |
Netherlands [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 974 | |
Other Country [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 6,135 | |
Mobile Solutions [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 89,794 | 86,446 |
Mobile Solutions [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 89,794 | |
Mobile Solutions [Member] | United States [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 49,655 | |
Mobile Solutions [Member] | Chinese [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 11,581 | |
Mobile Solutions [Member] | Mexico [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 7,236 | |
Mobile Solutions [Member] | Brazilian [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 9,885 | |
Mobile Solutions [Member] | Poland [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 2,052 | |
Mobile Solutions [Member] | Czech Republic [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 1,810 | |
Mobile Solutions [Member] | Germany [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 1,534 | |
Mobile Solutions [Member] | Italy [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 1,577 | |
Mobile Solutions [Member] | Switzerland [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 1,406 | |
Mobile Solutions [Member] | Other Country [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 3,058 | |
Power Solutions [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 48,682 | 48,424 |
Power Solutions [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 48,682 | |
Power Solutions [Member] | United States [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 40,128 | |
Power Solutions [Member] | Chinese [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 1,485 | |
Power Solutions [Member] | Mexico [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 3,197 | |
Power Solutions [Member] | Brazilian [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 50 | |
Power Solutions [Member] | Poland [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 14 | |
Power Solutions [Member] | Germany [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 7 | |
Power Solutions [Member] | Italy [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 98 | |
Power Solutions [Member] | Netherlands [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 974 | |
Power Solutions [Member] | Other Country [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 2,729 | |
Life Sciences [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 31,200 | $ 23,129 |
Life Sciences [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 31,200 | |
Life Sciences [Member] | United States [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 30,553 | |
Life Sciences [Member] | Chinese [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 126 | |
Life Sciences [Member] | Mexico [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 172 | |
Life Sciences [Member] | Germany [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | 1 | |
Life Sciences [Member] | Other Country [Member] | Operating Segments [Member] | ||
Revenue, Major Customer [Line Items] | ||
Net sales | $ 348 |
Revenue from Contracts with C60
Revenue from Contracts with Customers - Summary of Contract Liabilities from Contracts with Customers (Detail) $ in Thousands | Mar. 31, 2018USD ($) |
Contract with Customer, Liability [Abstract] | |
Deferred Revenue, Beginning Balance | $ 2,124 |
Deferred Revenue, Ending Balance | $ 2,204 |
Revenue from Contract with Cust
Revenue from Contract with Customers - Additional Information (Detail) $ in Millions | 3 Months Ended |
Mar. 31, 2018USD ($) | |
Contract with Customer, Liability [Abstract] | |
Amounts included in deferred revenue for performance obligations satisfied or partially satisfied | $ 0.3 |
Revenue from Contracts with C62
Revenue from Contracts with Customers - Condensed Consolidated Statement of Operations (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Net sales | $ 169,148 | $ 157,555 |
Cost of sales | 126,444 | 114,480 |
Income from operations | 3,693 | $ 13,852 |
Balances Without Adoption of ASC 606 [Member] | Accounting Standards Update 2014-09 [Member] | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Net sales | 169,202 | |
Cost of sales | 126,489 | |
Income from operations | 3,702 | |
Effect of Change [Member] | Accounting Standards Update 2014-09 [Member] | ||
Revenue, Initial Application Period Cumulative Effect Transition [Line Items] | ||
Net sales | (54) | |
Cost of sales | (45) | |
Income from operations | $ (9) |
Revenue from Contracts with C63
Revenue from Contracts with Customers - Condensed Consolidated Statement of Balance Sheet (Detail) - USD ($) $ in Thousands | Mar. 31, 2018 | Dec. 31, 2017 |
Assets | ||
Accounts receivable, net | $ 119,615 | $ 108,446 |
Inventories | 91,559 | $ 82,617 |
Equity | ||
Retained earnings | 203,159 | |
Balances Without Adoption of ASC 606 [Member] | Accounting Standards Update 2014-09 [Member] | ||
Assets | ||
Accounts receivable, net | 119,669 | |
Inventories | 91,514 | |
Equity | ||
Retained earnings | 203,168 | |
Effect of Change [Member] | Accounting Standards Update 2014-09 [Member] | ||
Assets | ||
Accounts receivable, net | (54) | |
Inventories | 45 | |
Equity | ||
Retained earnings | $ (9) |
Shared-Based Compensation - Com
Shared-Based Compensation - Components of Share-Based Compensation Expense by Type of Award (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based compensation | $ 1,256 | $ 1,152 |
Stock Option Awards [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based compensation | 205 | 381 |
Restricted Stock [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted stock | 460 | 460 |
Performance Based Stock Units [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based compensation | $ 591 | $ 311 |
Shared-Based Compensation - Add
Shared-Based Compensation - Additional Information (Detail) | 3 Months Ended |
Mar. 31, 2018$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of options granted | 55,300 |
Weighted average grant date fair value of the options granted | $ / shares | $ 10.68 |
Restricted Stock [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock units issued | 86,516 |
Stock awards granted vesting period | 3 years |
Fair value assumptions, exercise price | $ / shares | $ 24.55 |
TSR Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock units issued | 55,000 |
Percentage of shares issuable based on threshold performance | 50.00% |
Percentage of shares issuable based on target performance | 100.00% |
Percentage of shares issuable based on maximum performance | 150.00% |
ROIC Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock units issued | 55,000 |
Percentage of shares issuable based on threshold performance | 35.00% |
Percentage of shares issuable based on target performance | 100.00% |
Percentage of shares issuable based on maximum performance | 150.00% |
Officers and Key Employees [Member] | Restricted Stock [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock awards granted vesting period | 3 years |
Non-executive Directors [Member] | Restricted Stock [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Stock awards granted vesting period | 1 year |
Shared-Based Compensation - Wei
Shared-Based Compensation - Weighted Average Assumptions Relevant to Determining the Fair Value at the Dates of Grant and Stock Option Modification (Detail) - Stock Option Awards [Member] | 3 Months Ended |
Mar. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Expected term | 6 years |
Risk free interest rate | 2.65% |
Dividend yield | 1.14% |
Expected volatility | 47.78% |
Expected forfeiture rate | 4.00% |
Shared-Based Compensation - Rec
Shared-Based Compensation - Reconciliation of Option Activity (Detail) $ / shares in Units, $ in Thousands | 3 Months Ended |
Mar. 31, 2018USD ($)$ / sharesshares | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Number of options, Outstanding, Beginning Balance | shares | 746,000 |
Number of Options, Granted | shares | 55,300 |
Number of Options, Exercised | shares | (23,000) |
Number of Options, Outstanding, Ending Balance | shares | 778,000 |
Number of Options, Options Exercisable | shares | 619,000 |
Weighted-Average Exercise Price, Outstanding, Beginning Balance | $ / shares | $ 14.33 |
Weighted-Average Exercise Price, Granted | $ / shares | 24.55 |
Weighted-Average Exercise Price, Exercised | $ / shares | 10 |
Weighted-Average Exercise Price, Outstanding, Ending Balance | $ / shares | 15.19 |
Weighted-Average Exercise Price, Options exercisable | $ / shares | $ 13.44 |
Weighted-Average Remaining Contractual Term, Outstanding | 6 years 4 months 24 days |
Weighted- Average Remaining Contractual Term, Options exercisable | 5 years 8 months 12 days |
Aggregate Intrinsic Value, Exercised | $ | $ 238 |
Aggregate Intrinsic Value, Outstanding | $ | 6,850 |
Aggregate Intrinsic Value, Options exercisable | $ | $ 6,539 |
Shared-Based Compensation - R68
Shared-Based Compensation - Reconciliation of Restricted Stock Option Activity (Detail) | 3 Months Ended |
Mar. 31, 2018$ / sharesshares | |
Restricted Stock [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Nonvested Restricted Shares, Beginning Balance | shares | 152,000 |
Nonvested Restricted Shares, Granted | shares | 86,516 |
Nonvested Restricted Shares, Vested | shares | (80,000) |
Nonvested Restricted Shares, Ending balance | shares | 159,000 |
Weighted Average Grant-Date Fair Value, Beginning Balance | $ / shares | $ 19.21 |
Weighted Average Grant-Date Fair Value, Granted | $ / shares | 24.55 |
Weighted Average Grant-Date Fair Value, Vested | $ / shares | 18.88 |
Weighted Average Grant-Date Fair Value, Ending balance | $ / shares | $ 22.30 |
TSR Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Nonvested Restricted Shares, Beginning Balance | shares | 130,000 |
Nonvested Restricted Shares, Granted | shares | 55,000 |
Nonvested Restricted Shares, Forfeited | shares | (11,000) |
Nonvested Restricted Shares, Ending balance | shares | 174,000 |
Weighted Average Grant-Date Fair Value, Beginning Balance | $ / shares | $ 16.60 |
Weighted Average Grant-Date Fair Value, Granted | $ / shares | 24.65 |
Weighted Average Grant-Date Fair Value, Forfeited | $ / shares | 15.12 |
Weighted Average Grant-Date Fair Value, Ending balance | $ / shares | $ 18.90 |
ROIC Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Nonvested Restricted Shares, Beginning Balance | shares | 136,000 |
Nonvested Restricted Shares, Granted | shares | 55,000 |
Nonvested Restricted Shares, Forfeited | shares | (12,000) |
Nonvested Restricted Shares, Ending balance | shares | 179,000 |
Weighted Average Grant-Date Fair Value, Beginning Balance | $ / shares | $ 16.27 |
Weighted Average Grant-Date Fair Value, Granted | $ / shares | 24.55 |
Weighted Average Grant-Date Fair Value, Forfeited | $ / shares | 15.49 |
Weighted Average Grant-Date Fair Value, Ending balance | $ / shares | $ 18.63 |
Shared-Based Compensation - Sch
Shared-Based Compensation - Schedule of Performance Based Awards Goals with Respect to TSR and ROIC (Detail) | 3 Months Ended |
Mar. 31, 2018 | |
TSR Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Threshold Performance of Shares, percentage | 50.00% |
Target Performance of Shares, percentage | 100.00% |
Maximum Performance of Shares, percentage | 150.00% |
Threshold Performance, percentage | 35.00% |
Target Performance, percentage | 50.00% |
Maximum Performance, percentage | 75.00% |
ROIC Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Threshold Performance of Shares, percentage | 35.00% |
Target Performance of Shares, percentage | 100.00% |
Maximum Performance of Shares, percentage | 150.00% |
Threshold Performance, percentage | 15.50% |
Target Performance, percentage | 18.00% |
Maximum Performance, percentage | 19.50% |
Shared-Based Compensation - Sum
Shared-Based Compensation - Summary of Number of Awards Granted and Grand Date Fair Value (Detail) shares in Thousands | 3 Months Ended |
Mar. 31, 2018$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Grant Date Fair Value | $ 24.55 |
TSR Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of awards granted in fair values, Shares | shares | 55 |
Grant Date Fair Value | $ 24.65 |
ROIC Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Number of awards granted in fair values, Shares | shares | 55 |
Grant Date Fair Value | $ 24.55 |
Net Income (Loss) Per Share - S
Net Income (Loss) Per Share - Summary of Net Income (Loss) Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Earnings Per Share [Abstract] | ||
Income (loss) from continuing operations | $ (5,983) | $ 1,893 |
Income from discontinued operations, net of tax | 5,518 | |
Net income (loss) | $ (5,983) | $ 7,411 |
Weighted average shares outstanding | 27,597 | 27,303 |
Effect of dilutive stock options | 331 | |
Diluted shares outstanding | 27,597 | 27,634 |
Basic income (loss) from continuing operations per share | $ (0.22) | $ 0.07 |
Basic income from discontinued operations per share | 0.20 | |
Basic net income (loss) per share | (0.22) | 0.27 |
Diluted income (loss) from continuing operations per share | (0.22) | 0.07 |
Diluted income from discontinued operations per share | 0.20 | |
Diluted net income (loss) per share | $ (0.22) | $ 0.27 |
Net Income (Loss) Per Share - A
Net Income (Loss) Per Share - Additional Information (Detail) - shares shares in Millions | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Stock Option Awards [Member] | ||
Net Income Per Share [Line Items] | ||
Anti-dilutive securities excluded from the calculation of diluted earnings per share from continuing operation | 0.5 | 0.6 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) | Mar. 31, 2018USD ($) |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Fair value of fixed-rate debt | $ 0 |
Prior Periods Financial Stateme
Prior Periods Financial Statement Revision - Schedule of Correction of Misstatements and Revision on Consolidated Statements of Operations (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Accounting Changes And Error Corrections [Line Items] | ||
Cost of sales (exclusive of depreciation and amortization) | $ 126,444 | $ 114,480 |
Selling, general and administrative expense | 22,177 | 16,641 |
Depreciation and amortization | 14,281 | 12,571 |
Income from operations | 3,693 | 13,852 |
Income (loss) from continuing operations before provision (benefit) for income taxes and share of net income from joint venture | (7,990) | (177) |
Benefit (provision) for income taxes | 1,176 | 377 |
Income from continuing operations | (5,983) | 1,893 |
Income from discontinued operations, net of tax | 5,518 | |
Net income | (5,983) | 7,411 |
Other comprehensive income: | ||
Foreign currency translation income | 5,465 | 5,105 |
Other comprehensive income (loss): | 5,465 | 5,105 |
Comprehensive income (loss) | $ (518) | $ 12,516 |
Basic net income (loss) per share | $ (0.22) | $ 0.27 |
Diluted net income (loss) per share | $ (0.22) | $ 0.27 |
As Previously Reported [Member] | ||
Accounting Changes And Error Corrections [Line Items] | ||
Cost of sales (exclusive of depreciation and amortization) | $ 166,954 | |
Selling, general and administrative expense | 21,494 | |
Depreciation and amortization | 15,568 | |
Income from operations | 22,158 | |
Income (loss) from continuing operations before provision (benefit) for income taxes and share of net income from joint venture | 8,014 | |
Benefit (provision) for income taxes | (2,300) | |
Income from continuing operations | 7,407 | |
Net income | 7,407 | |
Other comprehensive income: | ||
Foreign currency translation income | 4,706 | |
Other comprehensive income (loss): | 4,706 | |
Comprehensive income (loss) | $ 12,113 | |
Basic net income (loss) per share | $ 0.27 | |
Diluted net income (loss) per share | $ 0.27 | |
Adjustment [Member] | ||
Accounting Changes And Error Corrections [Line Items] | ||
Cost of sales (exclusive of depreciation and amortization) | $ 485 | |
Selling, general and administrative expense | (500) | |
Depreciation and amortization | 12 | |
Income from operations | 3 | |
Income (loss) from continuing operations before provision (benefit) for income taxes and share of net income from joint venture | 3 | |
Benefit (provision) for income taxes | 1 | |
Income from continuing operations | 4 | |
Net income | 4 | |
Other comprehensive income: | ||
Foreign currency translation income | 399 | |
Other comprehensive income (loss): | 399 | |
Comprehensive income (loss) | $ 403 | |
Basic net income (loss) per share | $ 0 | |
Diluted net income (loss) per share | $ 0 | |
Discontinued Operations [Member] | ||
Accounting Changes And Error Corrections [Line Items] | ||
Cost of sales (exclusive of depreciation and amortization) | $ (52,959) | |
Selling, general and administrative expense | (4,353) | |
Depreciation and amortization | (3,009) | |
Income from operations | (8,309) | |
Income (loss) from continuing operations before provision (benefit) for income taxes and share of net income from joint venture | (8,194) | |
Benefit (provision) for income taxes | 2,676 | |
Income from continuing operations | (5,518) | |
Income from discontinued operations, net of tax | 5,518 | |
Continuing Operations As Revised [Member] | ||
Accounting Changes And Error Corrections [Line Items] | ||
Cost of sales (exclusive of depreciation and amortization) | 114,480 | |
Selling, general and administrative expense | 16,641 | |
Depreciation and amortization | 12,571 | |
Income from operations | 13,852 | |
Income (loss) from continuing operations before provision (benefit) for income taxes and share of net income from joint venture | (177) | |
Benefit (provision) for income taxes | 377 | |
Income from continuing operations | 1,893 | |
Income from discontinued operations, net of tax | 5,518 | |
Net income | 7,411 | |
Other comprehensive income: | ||
Foreign currency translation income | 5,105 | |
Other comprehensive income (loss): | 5,105 | |
Comprehensive income (loss) | $ 12,516 | |
Basic net income (loss) per share | $ 0.27 | |
Diluted net income (loss) per share | $ 0.27 |
Prior Periods Financial State75
Prior Periods Financial Statement Revision - Schedule of Correction of Misstatements and Revision on Condensed Consolidated Statements of Cash Flow (Detail) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2018 | Mar. 31, 2017 | |
Accounting Changes And Error Corrections [Line Items] | ||
Net income (loss) | $ (5,983) | $ 7,411 |
Adjustments to reconcile net income to net cash provided by (used by) operating activities: | ||
Other | 347 | (207) |
Changes in operating assets and liabilities: | ||
Income taxes payable (receivable) | (613) | 5,899 |
Other | 7,001 | (5,459) |
Net cash provided by (used by) operating activities | (974) | 4,941 |
Other | (282) | 295 |
Net cash provided by (used by) investing activities | $ (32,818) | (8,270) |
As Previously Reported [Member] | ||
Accounting Changes And Error Corrections [Line Items] | ||
Net income (loss) | 7,407 | |
Adjustments to reconcile net income to net cash provided by (used by) operating activities: | ||
Depreciation and amortization | 15,568 | |
Total derivative mark-to-market gains, net of cash settlements | (88) | |
Changes in operating assets and liabilities: | ||
Other | 605 | |
Net cash provided by (used by) operating activities | 5,209 | |
Proceeds from disposals of property, plant and equipment | 27 | |
Net cash provided by (used by) investing activities | (8,538) | |
Adjustment [Member] | ||
Accounting Changes And Error Corrections [Line Items] | ||
Net income (loss) | 4 | |
Adjustments to reconcile net income to net cash provided by (used by) operating activities: | ||
Depreciation and amortization | 12 | |
Other | (268) | |
Changes in operating assets and liabilities: | ||
Other | (16) | |
Net cash provided by (used by) operating activities | (268) | |
Other | 268 | |
Net cash provided by (used by) investing activities | 268 | |
Reclasses [Member] | ||
Adjustments to reconcile net income to net cash provided by (used by) operating activities: | ||
Total derivative mark-to-market gains, net of cash settlements | 88 | |
Other | 61 | |
Changes in operating assets and liabilities: | ||
Income taxes payable (receivable) | 5,899 | |
Other | (6,048) | |
Proceeds from disposals of property, plant and equipment | (27) | |
Other | 27 | |
Continuing Operations As Revised [Member] | ||
Accounting Changes And Error Corrections [Line Items] | ||
Net income (loss) | 7,411 | |
Adjustments to reconcile net income to net cash provided by (used by) operating activities: | ||
Depreciation and amortization | 15,580 | |
Other | (207) | |
Changes in operating assets and liabilities: | ||
Income taxes payable (receivable) | 5,899 | |
Other | (5,459) | |
Net cash provided by (used by) operating activities | 4,941 | |
Other | 295 | |
Net cash provided by (used by) investing activities | $ (8,270) |
Prior Periods Financial State76
Prior Periods Financial Statement Revision - Schedule of Correction of Misstatements and Revision on Condensed Consolidated Statements of Cash Flow (Parenthetical) (Detail) $ in Thousands | 3 Months Ended |
Mar. 31, 2017USD ($) | |
Accounting Changes and Error Corrections [Abstract] | |
Depreciation and amortization | $ 3,009 |
Subsequent Event - Additional I
Subsequent Event - Additional Information (Detail) - USD ($) $ in Millions | May 07, 2018 | Mar. 31, 2018 | May 07, 2020 | May 07, 2020 |
Paragon Medical Inc [Member] | ||||
Subsequent Event [Line Items] | ||||
Date of acquisition | May 7, 2018 | |||
Paragon Medical Inc [Member] | Subsequent Event [Member] | ||||
Subsequent Event [Line Items] | ||||
Acquisition percentage | 100.00% | |||
Cash payment to acquire business | $ 375 | |||
Second Lien Credit Agreement [Member] | Sun Trust Bank [Member] | ||||
Subsequent Event [Line Items] | ||||
Second lien facility maturity date | Apr. 19, 2023 | |||
Cash proceeds of non-ordinary course asset sales or other dispositions of property required to prepay outstanding loans | 100.00% | |||
Cash proceeds from insurance and condemnation events with respect to assets required to prepay outstanding loans | 100.00% | |||
Cash proceeds from the issuance of debt obligations not permitted by credit agreement required to prepay outstanding loans | 100.00% | |||
Cash proceeds from the issuance of equity required to prepay outstanding loans | 100.00% | |||
Second Lien Credit Agreement [Member] | Sun Trust Bank [Member] | Subsequent Event [Member] | ||||
Subsequent Event [Line Items] | ||||
Borrowings | $ 200 | |||
London Interbank Offered Rate (LIBOR) [Member] | Second Lien Credit Agreement [Member] | Sun Trust Bank [Member] | ||||
Subsequent Event [Line Items] | ||||
Applicable margin | 8.00% | |||
London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | Second Lien Credit Agreement [Member] | Sun Trust Bank [Member] | ||||
Subsequent Event [Line Items] | ||||
Base rate | 1.00% | |||
Base Rate [Member] | Second Lien Credit Agreement [Member] | Sun Trust Bank [Member] | ||||
Subsequent Event [Line Items] | ||||
Applicable margin | 7.00% | |||
Scenario, Forecast [Member] | Second Lien Credit Agreement [Member] | Sun Trust Bank [Member] | ||||
Subsequent Event [Line Items] | ||||
Prepayment penalty percentage | 1.00% | 2.00% |