2018 Q4 Form 10-Q Financial Statement

#000169242718000048 Filed on November 07, 2018

View on sec.gov

Income Statement

Concept 2018 Q4 2018 Q3 2017 Q3
Revenue $50.19M $62.69M $55.96M
YoY Change 0.01% 12.03% 95.31%
Cost Of Revenue $25.99M $28.82M $25.96M
YoY Change 5.65% 11.01% 76.46%
Gross Profit $23.34M $33.11M $30.00M
YoY Change -8.8% 10.36% 115.2%
Gross Profit Margin 46.5% 52.81% 53.61%
Selling, General & Admin $20.31M $19.36M $17.64M
YoY Change 11.96% 9.75% 107.74%
% of Gross Profit 87.03% 58.46% 58.79%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $4.550M $1.174M $812.0K
YoY Change -36.01% 44.58% -87.43%
% of Gross Profit 19.5% 3.55% 2.71%
Operating Expenses $24.99M $19.36M $17.64M
YoY Change -17.22% 9.75% 17.89%
Operating Profit -$228.3M $11.95M $5.246M
YoY Change 4861.47% 127.87% -614.31%
Interest Expense -$20.00K -$317.0K -$235.0K
YoY Change -96.43% 34.89% 235.71%
% of Operating Profit -2.65% -4.48%
Other Income/Expense, Net $110.0K -$977.0K -$928.0K
YoY Change -320.0% 5.28% 4540.0%
Pretax Income -$228.2M $10.98M $4.318M
YoY Change 4289.04% 154.21% -492.55%
Income Tax -$26.19M $3.211M $777.0K
% Of Pretax Income 29.25% 17.99%
Net Earnings -$203.6M $6.323M $3.386M
YoY Change 5989.29% 86.74% -1309.29%
Net Earnings / Revenue -405.6% 10.09% 6.05%
Basic Earnings Per Share -$4.51 $0.14 $0.07
Diluted Earnings Per Share -$4.51 $0.13 $0.07
COMMON SHARES
Basic Shares Outstanding 45.01M 44.94M 43.68M
Diluted Shares Outstanding 47.40M 47.12M

Balance Sheet

Concept 2018 Q4 2018 Q3 2017 Q3
SHORT-TERM ASSETS
Cash & Short-Term Investments $25.10M $27.40M $20.20M
YoY Change -25.74% 35.64% 25.47%
Cash & Equivalents $25.13M $27.44M $20.22M
Short-Term Investments
Other Short-Term Assets $2.000M $3.800M $1.400M
YoY Change 25.0% 171.43% -57.58%
Inventory $32.75M $32.50M $35.50M
Prepaid Expenses
Receivables $49.98M $58.00M $55.20M
Other Receivables $4.685M $4.800M $2.600M
Total Short-Term Assets $114.6M $126.5M $114.9M
YoY Change -2.73% 10.11% 72.01%
LONG-TERM ASSETS
Property, Plant & Equipment $32.30M $29.51M $23.90M
YoY Change 36.55% 23.47% 143.88%
Goodwill $23.11M $181.5M
YoY Change -87.47%
Intangibles $48.99M
YoY Change -64.09%
Long-Term Investments
YoY Change
Other Assets $1.392M $1.400M $1.700M
YoY Change -10.94% -17.65% 30.77%
Total Long-Term Assets $115.1M $339.3M $353.9M
YoY Change -66.74% -4.14% 34.97%
TOTAL ASSETS
Total Short-Term Assets $114.6M $126.5M $114.9M
Total Long-Term Assets $115.1M $339.3M $353.9M
Total Assets $229.7M $465.8M $468.8M
YoY Change -50.49% -0.65% 42.49%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $7.167M $12.92M $10.50M
YoY Change -3.77% 23.06% 72.13%
Accrued Expenses $4.084M $4.225M $7.400M
YoY Change -38.8% -42.91% 428.57%
Deferred Revenue $515.0K $321.0K
YoY Change 202.94%
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $2.236M $2.530M $3.200M
YoY Change -58.08% -20.94%
Total Short-Term Liabilities $25.63M $32.50M $34.70M
YoY Change -19.14% -6.34% 265.26%
LONG-TERM LIABILITIES
Long-Term Debt $23.46M $23.05M $21.10M
YoY Change 8.08% 9.25% -76.81%
Other Long-Term Liabilities $1.258M $1.200M $10.20M
YoY Change -72.12% -88.24% 1600.0%
Total Long-Term Liabilities $27.85M $23.05M $31.30M
YoY Change -55.96% -26.35% -65.83%
TOTAL LIABILITIES
Total Short-Term Liabilities $25.63M $32.50M $34.70M
Total Long-Term Liabilities $27.85M $23.05M $31.30M
Total Liabilities $53.47M $93.00M $109.0M
YoY Change -43.67% -14.68% -25.29%
SHAREHOLDERS EQUITY
Retained Earnings -$166.2M $37.36M
YoY Change -796.47%
Common Stock $411.9M $409.1M
YoY Change 3.0%
Preferred Stock
YoY Change
Treasury Stock (at cost) $337.0K
YoY Change 92.57%
Treasury Stock Shares $28.31K $28.31K
Shareholders Equity $161.3M $372.8M $359.8M
YoY Change
Total Liabilities & Shareholders Equity $229.7M $465.8M $468.8M
YoY Change -50.49% -0.64% 42.49%

Cashflow Statement

Concept 2018 Q4 2018 Q3 2017 Q3
OPERATING ACTIVITIES
Net Income -$203.6M $6.323M $3.386M
YoY Change 5989.29% 86.74% -1309.29%
Depreciation, Depletion And Amortization $4.550M $1.174M $812.0K
YoY Change -36.01% 44.58% -87.43%
Cash From Operating Activities $6.410M $120.0K -$4.170M
YoY Change -51.59% -102.88% 11.2%
INVESTING ACTIVITIES
Capital Expenditures $5.870M $6.160M $1.460M
YoY Change 6422.22% 321.92% 1023.08%
Acquisitions
YoY Change
Other Investing Activities $100.0K $70.00K -$74.89M
YoY Change -300.0% -100.09% 7464.65%
Cash From Investing Activities -$5.770M -$6.090M -$76.35M
YoY Change 4021.43% -92.02% 6778.38%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -1.720M -500.0K 20.78M
YoY Change 1463.64% -102.41% 34533.33%
NET CHANGE
Cash From Operating Activities 6.410M 120.0K -4.170M
Cash From Investing Activities -5.770M -6.090M -76.35M
Cash From Financing Activities -1.720M -500.0K 20.78M
Net Change In Cash -1.080M -6.470M -59.74M
YoY Change -108.31% -89.17% 1144.58%
FREE CASH FLOW
Cash From Operating Activities $6.410M $120.0K -$4.170M
Capital Expenditures $5.870M $6.160M $1.460M
Free Cash Flow $540.0K -$6.040M -$5.630M
YoY Change -95.89% 7.28% 45.1%

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<div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;font-weight:bold;">Basis of Presentation</font> </p> <p style="margin:0pt;text-indent:18pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;color:#000000;">&#xFEFF;</font> </p> <p style="margin:0pt;text-indent:18pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;color:#000000;">Our accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (&#x201C;GAAP&#x201D;) for interim financial information and with the instructions to Form 10-Q and Article </font><font style="display: inline;color:#000000;">8</font><font style="display: inline;color:#000000;"> of Regulation S-X of the Securities Exchange Act of 1934, as amended (the &#x201C;Exchange Act&#x201D;), issued by the Securities Exchange Commission (&#x201C;SEC&#x201D;) and have not been audited by our independent registered public accounting firm. The Condensed Consolidated Balance Sheet at </font><font style="display: inline;color:#000000;">December&nbsp;31, 2017</font><font style="display: inline;color:#000000;"> is derived from our audited financial statements. However, certain information and footnote disclosures required by&nbsp;GAAP for complete annual financial statements have been omitted or condensed as permitted by the rules and regulations of the SEC, and, therefore, these interim financial statements should be read in conjunction with our audited financial statements included in our Annual Report on Form 10-K filed with the SEC on March&nbsp;9, 2018. In the opinion of management, these condensed consolidated financial statements, which have been prepared pursuant to the rules of the SEC and GAAP for interim financial reporting, reflect all adjustments, which consisted only of normal recurring adjustments that were necessary for a fair statement of the interim periods presented. The results of operations for interim periods are not necessarily indicative of those for a full year. All intercompany accounts and transactions have been eliminated for purposes of preparing these condensed consolidated financial statements.</font> </p> <p><font size="1"> </font></p> </div> </div>
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<div> <div style="margin-left:0pt;margin-right:0pt;"> <p style="margin:0pt;font-family:Times New Roman;font-size: 10pt"> <a name="_Hlk495593750"></a><font style="display: inline;font-weight:bold;">Nature of Business</font> </p> <p style="margin:0pt;text-indent:18pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;color:#000000;">&#xFEFF;</font> </p> <p style="margin:0pt;text-indent:18pt;font-family:Times New Roman;font-size: 10pt"> <font style="display: inline;color:#000000;background-color: #FFFFFF;">NCS Multistage Holdings, Inc., through its wholly owned subsidiaries and subsidiaries for which we have a controlling voting interest (collectively referred to as the &#x201C;Company,&#x201D; &#x201C;NCS,&#x201D; &#x201C;we&#x201D; or &#x201C;us&#x201D;), is primarily engaged in providing engineered products and support services for oil and natural gas well completions and field </font><font style="display: inline;color:#000000;">development</font><font style="display: inline;color:#000000;background-color: #FFFFFF;"> strategies. We offer our products and services primarily to exploration and production companies for use in onshore wells. We operate through</font><font style="display: inline;color:#000000;background-color: #FFFFFF;">&nbsp;</font><font style="display: inline;color:#000000;background-color: #FFFFFF;">service facilities principally located in Houston, Midland and Corpus Christi, Texas; Tulsa and Oklahoma City, Oklahoma; and Calgary, Red Deer, Grande Prairie and Estevan, Canada. </font> </p> <p><font size="1"> </font></p> </div> </div>
us-gaap Net Cash Provided By Used In Financing Activities
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us-gaap Net Cash Provided By Used In Financing Activities
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NetIncomeLossAttributableToNoncontrollingInterest
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us-gaap Net Income Loss Attributable To Noncontrolling Interest
NetIncomeLossAttributableToNoncontrollingInterest
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NetIncomeLossAttributableToNoncontrollingInterest
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us-gaap Net Income Loss Available To Common Stockholders Basic
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CY2017Q3 us-gaap Net Income Loss Available To Common Stockholders Basic
NetIncomeLossAvailableToCommonStockholdersBasic
3248000
us-gaap Net Income Loss Available To Common Stockholders Basic
NetIncomeLossAvailableToCommonStockholdersBasic
12738000
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NetIncomeLossAvailableToCommonStockholdersBasic
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us-gaap Operating Income Loss
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us-gaap Other Comprehensive Income Loss Foreign Currency Translation Adjustment Tax
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CY2018Q2 us-gaap Other Comprehensive Income Loss Foreign Currency Translation Adjustment Tax
OtherComprehensiveIncomeLossForeignCurrencyTranslationAdjustmentTax
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OtherLiabilitiesNoncurrent
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OtherNonoperatingIncomeExpense
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CY2017Q3 us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
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us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
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CY2018Q3 us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
28000
CY2017Q4 us-gaap Other Receivables Net Current
OtherReceivablesNetCurrent
1369000
us-gaap Payments For Repurchase Of Common Stock
PaymentsForRepurchaseOfCommonStock
161000
us-gaap Payments For Software
PaymentsForSoftware
2588000
us-gaap Payments Of Financing Costs
PaymentsOfFinancingCosts
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us-gaap Payments Of Stock Issuance Costs
PaymentsOfStockIssuanceCosts
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us-gaap Payments To Acquire Businesses Net Of Cash Acquired
PaymentsToAcquireBusinessesNetOfCashAcquired
80928000
us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
5332000
us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
7352000
us-gaap Payments To Minority Shareholders
PaymentsToMinorityShareholders
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CY2017Q4 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
0.01
CY2018Q3 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
0.01
CY2017Q4 us-gaap Preferred Stock Shares Authorized
PreferredStockSharesAuthorized
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CY2018Q3 us-gaap Preferred Stock Shares Authorized
PreferredStockSharesAuthorized
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CY2017Q4 us-gaap Preferred Stock Shares Issued
PreferredStockSharesIssued
1
CY2018Q3 us-gaap Preferred Stock Shares Issued
PreferredStockSharesIssued
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CY2018Q3 us-gaap Preferred Stock Shares Outstanding
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CY2017Q4 us-gaap Preferred Stock Value
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us-gaap Proceeds From Issuance Of Common Stock
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us-gaap Proceeds From Sale And Collection Of Receivables
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ProceedsFromSaleOfPropertyPlantAndEquipment
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ProfitLoss
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ProfitLoss
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PropertyPlantAndEquipmentGross
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PropertyPlantAndEquipmentNet
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PropertyPlantAndEquipmentNet
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us-gaap Repayments Of Lines Of Credit
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us-gaap Repayments Of Lines Of Credit
RepaymentsOfLinesOfCredit
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us-gaap Repayments Of Medium Term Notes
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us-gaap Repayments Of Secured Debt
RepaymentsOfSecuredDebt
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us-gaap Repayments Of Secured Debt
RepaymentsOfSecuredDebt
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CY2017Q4 us-gaap Retained Earnings Accumulated Deficit
RetainedEarningsAccumulatedDeficit
23864000
CY2018Q1 us-gaap Retained Earnings Accumulated Deficit
RetainedEarningsAccumulatedDeficit
24111000
CY2018Q3 us-gaap Retained Earnings Accumulated Deficit
RetainedEarningsAccumulatedDeficit
37359000
us-gaap Revenue Performance Obligation Description Of Good Or Service
RevenuePerformanceObligationDescriptionOfGoodOrService
Greater than 99% of our product and service revenues are considered a single performance obligation. Our self-service product line, which is less than one percent of our revenue for the three and nine months ended September 30, 2018, is made up of two performance obligations: (i) the delivery of tracer materials to a customer well site and (ii) the creation of diagnostic reports ordered by customers when we do not perform an integrated service.
CY2017Q3 us-gaap Revenues
Revenues
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us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
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CY2017Q3 us-gaap Selling General And Administrative Expense
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us-gaap Selling General And Administrative Expense
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CY2018Q3 us-gaap Selling General And Administrative Expense
SellingGeneralAndAdministrativeExpense
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us-gaap Share Based Compensation
ShareBasedCompensation
3889000
us-gaap Share Based Compensation
ShareBasedCompensation
8197000
CY2017Q4 us-gaap Stockholders Equity
StockholdersEquity
356847000
CY2017Q4 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
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CY2017Q4 us-gaap Treasury Stock Shares
TreasuryStockShares
18348
CY2018Q3 us-gaap Treasury Stock Shares
TreasuryStockShares
28308
CY2018Q3 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
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us-gaap Stock Issued1
StockIssued1
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us-gaap Stock Issued During Period Value Acquisitions
StockIssuedDuringPeriodValueAcquisitions
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us-gaap Stock Issued During Period Value New Issues
StockIssuedDuringPeriodValueNewIssues
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us-gaap Stock Issued During Period Value Stock Options Exercised
StockIssuedDuringPeriodValueStockOptionsExercised
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CY2017Q4 us-gaap Taxes Payable Current
TaxesPayableCurrent
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CY2018Q1 us-gaap Taxes Payable Current
TaxesPayableCurrent
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CY2018Q3 us-gaap Taxes Payable Current
TaxesPayableCurrent
119000
CY2017Q4 us-gaap Treasury Stock Value
TreasuryStockValue
175000
us-gaap Treasury Stock Value Acquired Cost Method
TreasuryStockValueAcquiredCostMethod
162000
us-gaap Undistributed Earnings Loss Allocated To Participating Securities Basic
UndistributedEarningsLossAllocatedToParticipatingSecuritiesBasic
224000
CY2017Q3 us-gaap Undistributed Earnings Loss Allocated To Participating Securities Basic
UndistributedEarningsLossAllocatedToParticipatingSecuritiesBasic
138000
us-gaap Undistributed Earnings Loss Allocated To Participating Securities Basic
UndistributedEarningsLossAllocatedToParticipatingSecuritiesBasic
510000
CY2018Q3 us-gaap Undistributed Earnings Loss Allocated To Participating Securities Basic
UndistributedEarningsLossAllocatedToParticipatingSecuritiesBasic
223000
us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
42537000
CY2017Q3 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
47119000
us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
47254000
CY2018Q3 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
47404000
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
39329000
CY2017Q3 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
43676000
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
44660000
CY2018Q3 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
44943000
us-gaap Write Off Of Deferred Debt Issuance Cost
WriteOffOfDeferredDebtIssuanceCost
1422000

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