2019 Form 10-K Financial Statement

#000156459019020937 Filed on May 30, 2019

View on sec.gov

Income Statement

Concept 2019 2018 Q1 2018
Revenue $1.385B $250.1M $1.330B
YoY Change 4.09% 2.43% 5.81%
Cost Of Revenue $1.058B $202.0M $1.028B
YoY Change 2.91% -1.42% 6.91%
Gross Profit $327.0M $48.12M $302.5M
YoY Change 8.1% 22.58% 2.26%
Gross Profit Margin 23.61% 19.24% 22.74%
Selling, General & Admin $186.0M $44.50M $191.2M
YoY Change -2.68% -19.53% -5.57%
% of Gross Profit 56.89% 92.49% 63.2%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $59.16M $19.20M $62.11M
YoY Change -4.75% 814.29% 5.83%
% of Gross Profit 18.09% 39.9% 20.53%
Operating Expenses $186.0M $46.50M $191.2M
YoY Change -2.68% -18.99% -5.57%
Operating Profit $129.4M $1.615M $88.25M
YoY Change 46.64% -108.9% 15.62%
Interest Expense -$18.62M -$2.600M -$15.26M
YoY Change 21.99% -33.33% -12.62%
% of Operating Profit -14.39% -160.99% -17.29%
Other Income/Expense, Net $815.0K -$500.0K $3.950M
YoY Change -79.37% -225.0% -33.84%
Pretax Income $103.6M -$8.000M $72.11M
YoY Change 43.61% -70.48% 21.1%
Income Tax $30.05M -$10.80M $11.41M
% Of Pretax Income 29.02% 15.82%
Net Earnings $77.77M -$5.703M $62.01M
YoY Change 25.42% -68.51% 88.19%
Net Earnings / Revenue 5.62% -2.28% 4.66%
Basic Earnings Per Share $1.23 -$0.11 $1.00
Diluted Earnings Per Share $1.22 -$0.11 $0.99
COMMON SHARES
Basic Shares Outstanding 57.03M 55.70M
Diluted Shares Outstanding 57.61M 56.33M

Balance Sheet

Concept 2019 2018 Q1 2018
SHORT-TERM ASSETS
Cash & Short-Term Investments $8.900M $17.60M $17.60M
YoY Change -49.43% 170.77% 170.77%
Cash & Equivalents $17.59M
Short-Term Investments
Other Short-Term Assets $6.100M $5.113M $5.100M
YoY Change 19.61% -24.17% -23.88%
Inventory $264.5M $263.8M $263.8M
Prepaid Expenses
Receivables $187.0M $172.0M $172.0M
Other Receivables $0.00 $0.00 $0.00
Total Short-Term Assets $466.5M $458.5M $458.5M
YoY Change 1.74% 4.06% 4.06%
LONG-TERM ASSETS
Property, Plant & Equipment $398.9M $399.4M $399.4M
YoY Change -0.13% -1.84% -1.84%
Goodwill $103.0M
YoY Change 2.44%
Intangibles $44.44M
YoY Change -14.14%
Long-Term Investments $10.50M $12.34M $12.30M
YoY Change -14.63% 37.36% 36.67%
Other Assets $13.40M $37.95M $15.40M
YoY Change -12.99% -18.44% -47.97%
Total Long-Term Assets $575.7M $584.8M $584.7M
YoY Change -1.54% -3.46% -3.47%
TOTAL ASSETS
Total Short-Term Assets $466.5M $458.5M $458.5M
Total Long-Term Assets $575.7M $584.8M $584.7M
Total Assets $1.042B $1.043B $1.043B
YoY Change -0.1% -0.29% -0.3%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $93.60M $105.5M $105.5M
YoY Change -11.28% -13.45% -13.45%
Accrued Expenses $61.90M $60.60M $60.60M
YoY Change 2.15% 11.19% 11.19%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $49.00M $26.85M $48.90M
YoY Change 0.2% -28.95% -17.4%
Total Short-Term Liabilities $206.3M $221.2M $221.2M
YoY Change -6.74% -13.49% -13.53%
LONG-TERM LIABILITIES
Long-Term Debt $270.2M $270.9M $330.9M
YoY Change -18.34% -12.85% -10.47%
Other Long-Term Liabilities $19.10M $25.02M $25.00M
YoY Change -23.6% -5.68% -5.66%
Total Long-Term Liabilities $289.3M $295.9M $355.9M
YoY Change -18.71% -12.29% -10.15%
TOTAL LIABILITIES
Total Short-Term Liabilities $206.3M $221.2M $221.2M
Total Long-Term Liabilities $289.3M $295.9M $355.9M
Total Liabilities $555.5M $609.4M $634.6M
YoY Change -12.46% -12.42% -11.74%
SHAREHOLDERS EQUITY
Retained Earnings -$39.21M
YoY Change -53.14%
Common Stock $376.3M
YoY Change -51.01%
Preferred Stock
YoY Change
Treasury Stock (at cost) $8.277M
YoY Change -98.11%
Treasury Stock Shares
Shareholders Equity $486.6M $307.6M $408.7M
YoY Change
Total Liabilities & Shareholders Equity $1.042B $1.043B $1.043B
YoY Change -0.1% -0.29% -0.3%

Cashflow Statement

Concept 2019 2018 Q1 2018
OPERATING ACTIVITIES
Net Income $77.77M -$5.703M $62.01M
YoY Change 25.42% -68.51% 88.19%
Depreciation, Depletion And Amortization $59.16M $19.20M $62.11M
YoY Change -4.75% 814.29% 5.83%
Cash From Operating Activities $151.7M -$1.800M $137.1M
YoY Change 10.62% -85.48% 31.54%
INVESTING ACTIVITIES
Capital Expenditures $43.41M -$6.600M $41.71M
YoY Change 4.08% -38.32% -10.64%
Acquisitions $1.990M
YoY Change -76.79%
Other Investing Activities -$868.0K $7.900M -$11.26M
YoY Change -92.29% -185.87% -910.36%
Cash From Investing Activities -$42.54M $1.300M -$30.45M
YoY Change 39.74% -106.53% -50.3%
FINANCING ACTIVITIES
Cash Dividend Paid $26.15M $18.48M
YoY Change 41.51% 9.86%
Common Stock Issuance & Retirement, Net $7.947M
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -117.7M -500.0K -94.95M
YoY Change 23.91% -101.9% 121.72%
NET CHANGE
Cash From Operating Activities 151.7M -1.800M 137.1M
Cash From Investing Activities -42.54M 1.300M -30.45M
Cash From Financing Activities -117.7M -500.0K -94.95M
Net Change In Cash -8.696M -1.000M 11.14M
YoY Change -178.08% -83.33% 7085.16%
FREE CASH FLOW
Cash From Operating Activities $151.7M -$1.800M $137.1M
Capital Expenditures $43.41M -$6.600M $41.71M
Free Cash Flow $108.3M $4.800M $95.41M
YoY Change 13.47% -382.35% 65.75%

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439000
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220000
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7426000
CY2017 us-gaap Adjustments To Additional Paid In Capital Increase In Carrying Amount Of Redeemable Preferred Stock
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1252000
CY2017Q1 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest Adjusted Balance1
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237610000
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0.24
CY2018 us-gaap Common Stock Dividends Per Share Declared
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0.28
CY2019 us-gaap Common Stock Dividends Per Share Declared
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0.32
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63935000
CY2018 wms Dividends Redeemable Convertible Preferred Stock
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1724000
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15685000
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490000
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3809000
CY2018 us-gaap Dividends Preferred Stock Stock
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134000
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9087000
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2818000
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4148000
CY2019 us-gaap Use Of Estimates
UseOfEstimates
<p style="margin-top:12pt;margin-bottom:0pt;margin-left:5.24%;text-indent:0%;font-weight:bold;font-style:italic;font-family:Times New Roman;font-size:10pt;text-transform:none;font-variant: normal;">Estimates - <font style="font-weight:normal;font-style:normal;">The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America (&#8220;GAAP&#8221;) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingencies and liabilities at the balance sheet date and the reported amounts of revenues and expenses during the reporting period. Significant estimates include, but are not limited to, the allowance for doubtful accounts, valuation of inventory, useful lives of property, plant and equipment and amortizing intangible assets, determination of the proper accounting for leases, valuation of equity method investments, goodwill, intangible assets and other long-lived assets for impairment, accounting for stock-based compensation and the ESOP, valuation of the redeemable convertible preferred stock, determination of allowances for sales returns, rebates and discounts, determination of the valuation allowance, if any, on deferred tax assets, and reserves for uncertain tax positions. Management&#8217;s estimates and assumptions are evaluated on an ongoing basis and are based on historical experience, current conditions and available information. Management believes the accounting estimates are appropriate and reasonably determined; however, due to the inherent uncertainties in making these estimates, actual results could differ from those estimates.</font></p>
CY2019 us-gaap Concentration Risk Credit Risk
ConcentrationRiskCreditRisk
<p style="margin-top:12pt;margin-bottom:0pt;margin-left:5.24%;text-indent:0%;font-weight:bold;font-style:italic;font-family:Times New Roman;font-size:10pt;text-transform:none;font-variant: normal;">Concentrations of Risk - <font style="font-weight:normal;font-style:normal;">The Company has a large, active customer base of approximately twenty thousand customers with two customers, Ferguson Enterprises and Core and Main, each representing more than 10% of annual net sales.</font> Such customers accounted for 25.4%, 25.4%, and 23.5% of fiscal 2019, 2018 and 2017 net sales, respectively. The Company&#8217;s customer base is diversified across the range of end markets that it serves.</p> <p style="margin-top:12pt;margin-bottom:0pt;margin-left:5.24%;text-indent:0%;font-family:Times New Roman;font-size:10pt;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">Financial instruments that potentially subject the Company to a concentration of credit risk consist principally of Receivables. The Company provides its products to customers based on an evaluation of the customers&#8217; financial condition, generally without requiring collateral. Exposure to losses on Receivables is principally dependent on each customer&#8217;s financial condition. The Company performs ongoing credit evaluations of its customers. The Company monitors the exposure for credit losses and maintains allowances for anticipated losses. Concentrations of credit risk with respect to Receivables are limited due to the large number of customers comprising the Company&#8217;s customer base and their dispersion across many different geographies. One customer, Ferguson Enterprises, accounted for approximately 19.1% and 17.6% of Receivables at March&#160;31, 2019 and 2018, respectively.</p>
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SelfInsuranceReserve
39500000
CY2019 us-gaap Number Of Reportable Segments
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2
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10195000
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12343000
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13069000
CY2019 us-gaap Interest Costs Capitalized
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CY2018 us-gaap Interest Costs Capitalized
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0
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0
CY2018 us-gaap Impairment Of Intangible Assets Indefinitelived Excluding Goodwill
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0
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10467000
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2985000
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2776000
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2385000
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2089000
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8034000
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2659000
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2156000
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3372000
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73000
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47000
CY2017 wms Amortization Of Materials Supplies And Other
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54000
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1688000
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1689000
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3800000
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4100000
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6700000
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5900000
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2800000
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1300000
CY2017 us-gaap Increase Decrease In Self Insurance Reserve
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2100000
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3
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3759000
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0
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0
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3500000
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2000000
CY2019 us-gaap Restructuring Reserve Accelerated Depreciation
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430000
CY2019Q1 wms Minimum Percentage Likelihood Of Tax Benefit To Be Realized Upon Final Settlement
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0.50
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1
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1010000
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28670000
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131000
CY2018 us-gaap Severance Costs1
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2041000
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306000
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4133000
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283000
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1351000
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475000
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159000
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-2022000
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-3560000
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1372000
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1468000
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19749000
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6607000
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1002138000
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987276000
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603247000
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587895000
CY2019 us-gaap Depreciation
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59869000
CY2018 us-gaap Depreciation
Depreciation
63044000
CY2017 us-gaap Depreciation
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58692000
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214599000
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114856000
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110346000
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104253000
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5215000
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4086000
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3864000
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19155000
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CapitalLeasedAssetsDepreciation
18511000
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17415000
CY2019Q1 us-gaap Capital Leases Future Minimum Payments Due Current
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CY2019Q1 us-gaap Capital Leases Future Minimum Payments Due In Two Years
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CY2019Q1 us-gaap Capital Leases Future Minimum Payments Due In Three Years
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CY2019Q1 us-gaap Capital Leases Future Minimum Payments Due In Four Years
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11721000
CY2019Q1 us-gaap Capital Leases Future Minimum Payments Due In Five Years
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7143000
CY2019Q1 us-gaap Capital Leases Future Minimum Payments Due Thereafter
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CY2019Q1 us-gaap Capital Leases Future Minimum Payments Due
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9565000
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84672000
CY2019Q1 us-gaap Capital Lease Obligations
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84672000
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CY2019Q1 us-gaap Operating Leases Future Minimum Payments Due In Four And Five Years
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2236000
CY2018 us-gaap Effective Income Tax Rate Reconciliation At Federal Statutory Income Tax Rate
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0.315
CY2017 us-gaap Effective Income Tax Rate Reconciliation At Federal Statutory Income Tax Rate
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0.350
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CY2019 us-gaap Effective Income Tax Rate Reconciliation At Federal Statutory Income Tax Rate
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0.210
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5288000
CY2019 us-gaap Current Federal Tax Expense Benefit
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11575000
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72109000
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59543000
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8051000
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4833000
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17107000
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3541000
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2050000
CY2018 us-gaap Current Foreign Tax Expense Benefit
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2242000
CY2017 us-gaap Current Foreign Tax Expense Benefit
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17623000
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1795000
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-1114000
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0.041
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0.007
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0.013
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0.046
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0.036
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0.041
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1457000
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917000
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2404000
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3324000
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674000
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2886000
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15784000
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26000
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15758000
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4254000
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38181000
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3698000
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1814000
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47947000
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7998000
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54909000
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208883000
CY2019Q1 us-gaap Inventory Work In Process Net Of Reserves
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0
CY2018Q1 us-gaap Inventory Work In Process Net Of Reserves
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0
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29400000
CY2018Q1 us-gaap General And Administrative Costs In Inventory Amount Incurred
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27000000
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8200000
CY2018Q1 us-gaap General And Administrative Costs In Inventory Amount Remaining
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6500000
CY2017Q1 us-gaap Goodwill
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100566000
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2103000
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348000
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-379000
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81877000
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56589000
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25288000
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82703000
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50173000
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94610000
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6037000
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5895000
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RevenueFromContractWithCustomerExcludingAssessedTax
358359000
CY2018Q1 us-gaap Gross Profit
GrossProfit
48115000
CY2017Q4 us-gaap Gross Profit
GrossProfit
77826000
CY2017Q3 us-gaap Gross Profit
GrossProfit
89801000
CY2018Q1 us-gaap Profit Loss
ProfitLoss
-4856000
CY2017Q4 us-gaap Profit Loss
ProfitLoss
33215000
CY2017Q3 us-gaap Profit Loss
ProfitLoss
17959000
CY2017Q2 us-gaap Profit Loss
ProfitLoss
18474000
CY2018Q1 us-gaap Net Income Loss
NetIncomeLoss
-5703000
CY2017Q4 us-gaap Net Income Loss
NetIncomeLoss
32105000
CY2017Q3 us-gaap Net Income Loss
NetIncomeLoss
17863000
CY2017Q2 us-gaap Net Income Loss
NetIncomeLoss
17742000
CY2018Q1 us-gaap Earnings Per Share Basic
EarningsPerShareBasic
-0.11
CY2017Q4 us-gaap Earnings Per Share Basic
EarningsPerShareBasic
0.52
CY2017Q3 us-gaap Earnings Per Share Basic
EarningsPerShareBasic
0.29
CY2018Q1 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
-0.11
CY2017Q4 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
0.51
CY2017Q3 us-gaap Earnings Per Share Diluted
EarningsPerShareDiluted
0.29
CY2018Q1 us-gaap Valuation Allowances And Reserves Balance
ValuationAllowancesAndReservesBalance
6826000
CY2017Q1 us-gaap Valuation Allowances And Reserves Balance
ValuationAllowancesAndReservesBalance
10431000
CY2016Q1 us-gaap Valuation Allowances And Reserves Balance
ValuationAllowancesAndReservesBalance
7956000
CY2019 wms Valuation Allowances And Reserves Charged To Cost And Expense Income
ValuationAllowancesAndReservesChargedToCostAndExpenseIncome
1154000
CY2018 wms Valuation Allowances And Reserves Charged To Cost And Expense Income
ValuationAllowancesAndReservesChargedToCostAndExpenseIncome
503000
CY2017 wms Valuation Allowances And Reserves Charged To Cost And Expense Income
ValuationAllowancesAndReservesChargedToCostAndExpenseIncome
2940000
CY2019 us-gaap Valuation Allowances And Reserves Adjustments
ValuationAllowancesAndReservesAdjustments
-65000
CY2018 us-gaap Valuation Allowances And Reserves Adjustments
ValuationAllowancesAndReservesAdjustments
-391000
CY2017 us-gaap Valuation Allowances And Reserves Adjustments
ValuationAllowancesAndReservesAdjustments
-13000
CY2019 us-gaap Valuation Allowances And Reserves Deductions
ValuationAllowancesAndReservesDeductions
262000
CY2018 us-gaap Valuation Allowances And Reserves Deductions
ValuationAllowancesAndReservesDeductions
3717000
CY2017 us-gaap Valuation Allowances And Reserves Deductions
ValuationAllowancesAndReservesDeductions
452000
CY2019Q1 us-gaap Valuation Allowances And Reserves Balance
ValuationAllowancesAndReservesBalance
7653000

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