false 2021 Q1 0001171155 --06-30 true true true true true true P3Y P5Y P11Y us-gaap:PropertyPlantAndEquipmentNet us-gaap:PropertyPlantAndEquipmentNet us-gaap:ValuationTechniqueDiscountedCashFlowMember P3Y9M P3Y5M8D P3Y4M17D 0001171155 2020-07-01 2020-09-30 xbrli:shares 0001171155 2020-11-02 iso4217:USD 0001171155 2020-09-30 0001171155 2020-06-30 iso4217:USD xbrli:shares 0001171155 2019-07-01 2019-09-30 0001171155 us-gaap:CommonStockMember 2020-06-30 0001171155 us-gaap:AdditionalPaidInCapitalMember 2020-06-30 0001171155 us-gaap:TreasuryStockMember 2020-06-30 0001171155 us-gaap:RetainedEarningsMember 2020-06-30 0001171155 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2020-06-30 0001171155 us-gaap:ParentMember 2020-06-30 0001171155 us-gaap:NoncontrollingInterestMember 2020-06-30 0001171155 us-gaap:CommonStockMember 2020-07-01 2020-09-30 0001171155 us-gaap:AdditionalPaidInCapitalMember 2020-07-01 2020-09-30 0001171155 us-gaap:TreasuryStockMember 2020-07-01 2020-09-30 0001171155 us-gaap:RetainedEarningsMember 2020-07-01 2020-09-30 0001171155 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2020-07-01 2020-09-30 0001171155 us-gaap:ParentMember 2020-07-01 2020-09-30 0001171155 us-gaap:NoncontrollingInterestMember 2020-07-01 2020-09-30 0001171155 us-gaap:CommonStockMember 2020-09-30 0001171155 us-gaap:AdditionalPaidInCapitalMember 2020-09-30 0001171155 us-gaap:TreasuryStockMember 2020-09-30 0001171155 us-gaap:RetainedEarningsMember 2020-09-30 0001171155 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2020-09-30 0001171155 us-gaap:ParentMember 2020-09-30 0001171155 us-gaap:NoncontrollingInterestMember 2020-09-30 0001171155 us-gaap:CommonStockMember 2019-06-30 0001171155 us-gaap:AdditionalPaidInCapitalMember 2019-06-30 0001171155 us-gaap:TreasuryStockMember 2019-06-30 0001171155 us-gaap:RetainedEarningsMember 2019-06-30 0001171155 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2019-06-30 0001171155 us-gaap:ParentMember 2019-06-30 0001171155 us-gaap:NoncontrollingInterestMember 2019-06-30 0001171155 2019-06-30 0001171155 us-gaap:CommonStockMember 2019-07-01 2019-09-30 0001171155 us-gaap:AdditionalPaidInCapitalMember 2019-07-01 2019-09-30 0001171155 us-gaap:TreasuryStockMember 2019-07-01 2019-09-30 0001171155 us-gaap:RetainedEarningsMember 2019-07-01 2019-09-30 0001171155 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2019-07-01 2019-09-30 0001171155 us-gaap:ParentMember 2019-07-01 2019-09-30 0001171155 us-gaap:NoncontrollingInterestMember 2019-07-01 2019-09-30 0001171155 us-gaap:CommonStockMember 2019-09-30 0001171155 us-gaap:AdditionalPaidInCapitalMember 2019-09-30 0001171155 us-gaap:TreasuryStockMember 2019-09-30 0001171155 us-gaap:RetainedEarningsMember 2019-09-30 0001171155 us-gaap:AccumulatedOtherComprehensiveIncomeMember 2019-09-30 0001171155 us-gaap:ParentMember 2019-09-30 0001171155 us-gaap:NoncontrollingInterestMember 2019-09-30 0001171155 2019-09-30 0001171155 us-gaap:RestrictedStockMember 2020-07-01 2020-09-30 0001171155 us-gaap:RestrictedStockMember 2019-07-01 2019-09-30 0001171155 us-gaap:EmployeeStockOptionMember 2020-07-01 2020-09-30 0001171155 us-gaap:EmployeeStockOptionMember 2019-07-01 2019-09-30 rlgt:Location rlgt:Office 0001171155 us-gaap:AccountingStandardsUpdate201815Member 2020-09-30 0001171155 us-gaap:AccountingStandardsUpdate201813Member 2020-09-30 xbrli:pure 0001171155 rlgt:RadiantLogisticsPartnersLLCMember rlgt:RadiantGlobalLogisticsIncMember 2020-07-01 2020-09-30 0001171155 rlgt:RadiantLogisticsPartnersLLCMember rlgt:RadiantCapitalPartnersLLCMember srt:ChiefExecutiveOfficerMember us-gaap:VariableInterestEntityPrimaryBeneficiaryMember 2020-07-01 2020-09-30 0001171155 us-gaap:CustomerRelatedIntangibleAssetsMember srt:MaximumMember 2020-07-01 2020-09-30 0001171155 us-gaap:TrademarksAndTradeNamesMember 2020-07-01 2020-09-30 0001171155 us-gaap:LongTermContractWithCustomerMember srt:MaximumMember rlgt:MaterialsManagementAndDistributionServicesMember 2020-07-01 2020-09-30 0001171155 us-gaap:OperatingSegmentsMember rlgt:UnitedStatesAndOtherCountriesMember rlgt:TransportationServicesMember 2020-07-01 2020-09-30 0001171155 us-gaap:OperatingSegmentsMember country:CA rlgt:TransportationServicesMember 2020-07-01 2020-09-30 0001171155 rlgt:CorporateAndEliminationsMember rlgt:TransportationServicesMember 2020-07-01 2020-09-30 0001171155 rlgt:TransportationServicesMember 2020-07-01 2020-09-30 0001171155 us-gaap:OperatingSegmentsMember rlgt:UnitedStatesAndOtherCountriesMember rlgt:ValueAddedServicesMember 2020-07-01 2020-09-30 0001171155 us-gaap:OperatingSegmentsMember country:CA rlgt:ValueAddedServicesMember 2020-07-01 2020-09-30 0001171155 rlgt:CorporateAndEliminationsMember rlgt:ValueAddedServicesMember 2020-07-01 2020-09-30 0001171155 rlgt:ValueAddedServicesMember 2020-07-01 2020-09-30 0001171155 us-gaap:OperatingSegmentsMember rlgt:UnitedStatesAndOtherCountriesMember 2020-07-01 2020-09-30 0001171155 us-gaap:OperatingSegmentsMember country:CA 2020-07-01 2020-09-30 0001171155 rlgt:CorporateAndEliminationsMember 2020-07-01 2020-09-30 0001171155 us-gaap:OperatingSegmentsMember rlgt:UnitedStatesAndOtherCountriesMember us-gaap:TransferredOverTimeMember 2020-07-01 2020-09-30 0001171155 us-gaap:OperatingSegmentsMember country:CA us-gaap:TransferredOverTimeMember 2020-07-01 2020-09-30 0001171155 rlgt:CorporateAndEliminationsMember us-gaap:TransferredOverTimeMember 2020-07-01 2020-09-30 0001171155 us-gaap:TransferredOverTimeMember 2020-07-01 2020-09-30 0001171155 us-gaap:OperatingSegmentsMember rlgt:UnitedStatesAndOtherCountriesMember us-gaap:TransferredAtPointInTimeMember 2020-07-01 2020-09-30 0001171155 us-gaap:OperatingSegmentsMember country:CA us-gaap:TransferredAtPointInTimeMember 2020-07-01 2020-09-30 0001171155 rlgt:CorporateAndEliminationsMember us-gaap:TransferredAtPointInTimeMember 2020-07-01 2020-09-30 0001171155 us-gaap:TransferredAtPointInTimeMember 2020-07-01 2020-09-30 0001171155 us-gaap:OperatingSegmentsMember rlgt:UnitedStatesAndOtherCountriesMember rlgt:TransportationServicesMember 2019-07-01 2019-09-30 0001171155 us-gaap:OperatingSegmentsMember country:CA rlgt:TransportationServicesMember 2019-07-01 2019-09-30 0001171155 rlgt:CorporateAndEliminationsMember rlgt:TransportationServicesMember 2019-07-01 2019-09-30 0001171155 rlgt:TransportationServicesMember 2019-07-01 2019-09-30 0001171155 us-gaap:OperatingSegmentsMember rlgt:UnitedStatesAndOtherCountriesMember rlgt:ValueAddedServicesMember 2019-07-01 2019-09-30 0001171155 us-gaap:OperatingSegmentsMember country:CA rlgt:ValueAddedServicesMember 2019-07-01 2019-09-30 0001171155 rlgt:CorporateAndEliminationsMember rlgt:ValueAddedServicesMember 2019-07-01 2019-09-30 0001171155 rlgt:ValueAddedServicesMember 2019-07-01 2019-09-30 0001171155 us-gaap:OperatingSegmentsMember rlgt:UnitedStatesAndOtherCountriesMember 2019-07-01 2019-09-30 0001171155 us-gaap:OperatingSegmentsMember country:CA 2019-07-01 2019-09-30 0001171155 rlgt:CorporateAndEliminationsMember 2019-07-01 2019-09-30 0001171155 us-gaap:OperatingSegmentsMember rlgt:UnitedStatesAndOtherCountriesMember us-gaap:TransferredOverTimeMember 2019-07-01 2019-09-30 0001171155 us-gaap:OperatingSegmentsMember country:CA us-gaap:TransferredOverTimeMember 2019-07-01 2019-09-30 0001171155 rlgt:CorporateAndEliminationsMember us-gaap:TransferredOverTimeMember 2019-07-01 2019-09-30 0001171155 us-gaap:TransferredOverTimeMember 2019-07-01 2019-09-30 0001171155 us-gaap:OperatingSegmentsMember rlgt:UnitedStatesAndOtherCountriesMember us-gaap:TransferredAtPointInTimeMember 2019-07-01 2019-09-30 0001171155 us-gaap:OperatingSegmentsMember country:CA us-gaap:TransferredAtPointInTimeMember 2019-07-01 2019-09-30 0001171155 rlgt:CorporateAndEliminationsMember us-gaap:TransferredAtPointInTimeMember 2019-07-01 2019-09-30 0001171155 us-gaap:TransferredAtPointInTimeMember 2019-07-01 2019-09-30 0001171155 rlgt:ComputerSoftwareMember 2020-09-30 0001171155 rlgt:ComputerSoftwareMember 2020-06-30 0001171155 us-gaap:VehiclesMember 2020-09-30 0001171155 us-gaap:VehiclesMember 2020-06-30 0001171155 us-gaap:OfficeEquipmentMember 2020-09-30 0001171155 us-gaap:OfficeEquipmentMember 2020-06-30 0001171155 us-gaap:LeaseholdImprovementsMember 2020-09-30 0001171155 us-gaap:LeaseholdImprovementsMember 2020-06-30 0001171155 us-gaap:ComputerEquipmentMember 2020-09-30 0001171155 us-gaap:ComputerEquipmentMember 2020-06-30 0001171155 us-gaap:FurnitureAndFixturesMember 2020-09-30 0001171155 us-gaap:FurnitureAndFixturesMember 2020-06-30 0001171155 srt:MinimumMember rlgt:ComputerSoftwareMember 2020-07-01 2020-09-30 0001171155 rlgt:ComputerSoftwareMember srt:MaximumMember 2020-07-01 2020-09-30 0001171155 srt:MinimumMember us-gaap:VehiclesMember 2020-07-01 2020-09-30 0001171155 us-gaap:VehiclesMember srt:MaximumMember 2020-07-01 2020-09-30 0001171155 srt:MinimumMember us-gaap:OfficeEquipmentMember 2020-07-01 2020-09-30 0001171155 us-gaap:OfficeEquipmentMember srt:MaximumMember 2020-07-01 2020-09-30 0001171155 srt:MinimumMember us-gaap:ComputerEquipmentMember 2020-07-01 2020-09-30 0001171155 us-gaap:ComputerEquipmentMember srt:MaximumMember 2020-07-01 2020-09-30 0001171155 srt:MinimumMember us-gaap:FurnitureAndFixturesMember 2020-07-01 2020-09-30 0001171155 us-gaap:FurnitureAndFixturesMember srt:MaximumMember 2020-07-01 2020-09-30 0001171155 us-gaap:SoftwareAndSoftwareDevelopmentCostsMember 2020-09-30 0001171155 us-gaap:SoftwareAndSoftwareDevelopmentCostsMember 2020-06-30 0001171155 us-gaap:CustomerRelationshipsMember 2020-09-30 0001171155 us-gaap:TrademarksAndTradeNamesMember 2020-09-30 0001171155 us-gaap:NoncompeteAgreementsMember 2020-09-30 0001171155 us-gaap:CustomerRelationshipsMember 2020-07-01 2020-09-30 0001171155 us-gaap:NoncompeteAgreementsMember 2020-07-01 2020-09-30 0001171155 us-gaap:CustomerRelationshipsMember 2020-06-30 0001171155 us-gaap:TrademarksAndTradeNamesMember 2020-06-30 0001171155 us-gaap:NoncompeteAgreementsMember 2020-06-30 0001171155 us-gaap:CustomerRelationshipsMember 2019-07-01 2020-06-30 0001171155 us-gaap:TrademarksAndTradeNamesMember 2019-07-01 2020-06-30 0001171155 us-gaap:NoncompeteAgreementsMember 2019-07-01 2020-06-30 0001171155 us-gaap:RevolvingCreditFacilityMember 2020-09-30 0001171155 us-gaap:RevolvingCreditFacilityMember 2020-06-30 0001171155 us-gaap:RevolvingCreditFacilityMember rlgt:BankOfAmericaSecuritiesIncMember 2020-03-13 0001171155 us-gaap:RevolvingCreditFacilityMember rlgt:BankOfAmericaSecuritiesIncMember 2020-07-01 2020-09-30 0001171155 us-gaap:BaseRateMember us-gaap:RevolvingCreditFacilityMember rlgt:BankOfAmericaSecuritiesIncMember 2020-07-01 2020-09-30 0001171155 us-gaap:BaseRateMember srt:MinimumMember us-gaap:RevolvingCreditFacilityMember rlgt:BankOfAmericaSecuritiesIncMember 2020-07-01 2020-09-30 0001171155 us-gaap:BaseRateMember srt:MaximumMember us-gaap:RevolvingCreditFacilityMember rlgt:BankOfAmericaSecuritiesIncMember 2020-07-01 2020-09-30 0001171155 us-gaap:LondonInterbankOfferedRateLIBORMember us-gaap:RevolvingCreditFacilityMember rlgt:BankOfAmericaSecuritiesIncMember 2020-07-01 2020-09-30 0001171155 us-gaap:LondonInterbankOfferedRateLIBORMember srt:MinimumMember us-gaap:RevolvingCreditFacilityMember rlgt:BankOfAmericaSecuritiesIncMember 2020-07-01 2020-09-30 0001171155 us-gaap:LondonInterbankOfferedRateLIBORMember srt:MaximumMember us-gaap:RevolvingCreditFacilityMember rlgt:BankOfAmericaSecuritiesIncMember 2020-07-01 2020-09-30 0001171155 us-gaap:RevolvingCreditFacilityMember rlgt:BankOfAmericaSecuritiesIncMember 2020-09-30 iso4217:CAD 0001171155 rlgt:IntegratedPrivateDebtFundIVLPMember 2015-04-02 0001171155 rlgt:IntegratedPrivateDebtFundIVLPMember 2015-04-01 2015-04-02 0001171155 rlgt:IntegratedPrivateDebtFundIVLPMember 2020-07-01 2020-09-30 0001171155 rlgt:IntegratedPrivateDebtFundVLPMember 2017-04-01 0001171155 rlgt:IntegratedPrivateDebtFundVLPMember 2020-07-01 2020-09-30 0001171155 srt:MinimumMember rlgt:IntegratedPrivateDebtFundLoanMember 2020-07-01 2020-09-30 0001171155 rlgt:IntegratedPrivateDebtFundLoanMember 2020-07-01 2020-09-30 0001171155 rlgt:PaycheckProtectionProgramMember 2020-05-04 0001171155 rlgt:PaycheckProtectionProgramMember 2020-04-28 0001171155 rlgt:PaycheckProtectionProgramMember 2020-07-01 2020-09-30 0001171155 rlgt:PaycheckProtectionProgramMember 2020-09-30 0001171155 us-gaap:InterestRateSwapMember 2020-03-20 2020-03-20 0001171155 us-gaap:InterestRateSwapMember 2020-04-01 2020-04-01 0001171155 us-gaap:InterestRateSwapMember 2020-03-20 0001171155 us-gaap:InterestRateSwapMember 2020-04-01 0001171155 us-gaap:InterestRateSwapMember 2020-09-30 0001171155 us-gaap:InterestRateSwapMember 2020-06-30 0001171155 us-gaap:CommonStockMember 2018-03-31 0001171155 us-gaap:CommonStockMember 2018-03-01 2018-03-31 0001171155 us-gaap:CommonStockMember 2019-07-01 2020-06-30 0001171155 us-gaap:VariableInterestEntityPrimaryBeneficiaryMember rlgt:RadiantLogisticsPartnersLLCMember 2020-07-01 2020-09-30 0001171155 us-gaap:VariableInterestEntityPrimaryBeneficiaryMember rlgt:RadiantLogisticsPartnersLLCMember 2019-07-01 2019-09-30 0001171155 rlgt:RadiantCapitalPartnersLLCMember 2020-07-01 2020-09-30 0001171155 rlgt:RadiantCapitalPartnersLLCMember 2019-07-01 2019-09-30 0001171155 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember rlgt:ContingentConsiderationMember 2020-09-30 0001171155 us-gaap:FairValueMeasurementsRecurringMember rlgt:ContingentConsiderationMember 2020-09-30 0001171155 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:InterestRateSwapMember 2020-09-30 0001171155 us-gaap:FairValueMeasurementsRecurringMember us-gaap:InterestRateSwapMember 2020-09-30 0001171155 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember rlgt:ContingentConsiderationMember 2020-06-30 0001171155 us-gaap:FairValueMeasurementsRecurringMember rlgt:ContingentConsiderationMember 2020-06-30 0001171155 us-gaap:FairValueInputsLevel3Member us-gaap:FairValueMeasurementsRecurringMember us-gaap:InterestRateSwapMember 2020-06-30 0001171155 us-gaap:FairValueMeasurementsRecurringMember us-gaap:InterestRateSwapMember 2020-06-30 0001171155 us-gaap:FairValueInputsLevel3Member rlgt:ContingentConsiderationMember 2019-06-30 0001171155 us-gaap:FairValueInputsLevel3Member rlgt:ContingentConsiderationMember 2019-07-01 2020-06-30 0001171155 us-gaap:FairValueInputsLevel3Member rlgt:ContingentConsiderationMember 2020-06-30 0001171155 us-gaap:FairValueInputsLevel3Member rlgt:ContingentConsiderationMember 2020-07-01 2020-09-30 0001171155 us-gaap:FairValueInputsLevel3Member rlgt:ContingentConsiderationMember 2020-09-30 0001171155 us-gaap:InterestRateSwapMember 2019-06-30 0001171155 us-gaap:InterestRateSwapMember 2019-07-01 2020-06-30 0001171155 us-gaap:InterestRateSwapMember 2020-07-01 2020-09-30 0001171155 us-gaap:FairValueInputsLevel3Member 2020-09-30 0001171155 us-gaap:FairValueInputsLevel3Member us-gaap:MeasurementInputEbitdaMultipleMember 2020-09-30 0001171155 us-gaap:FairValueInputsLevel3Member us-gaap:MeasurementInputDiscountRateMember 2020-09-30 0001171155 us-gaap:EarliestTaxYearMember us-gaap:DomesticCountryMember 2020-07-01 2020-09-30 0001171155 us-gaap:LatestTaxYearMember us-gaap:DomesticCountryMember 2020-07-01 2020-09-30 0001171155 rlgt:EarliestTaxYearOneMember us-gaap:StateAndLocalJurisdictionMember 2020-07-01 2020-09-30 0001171155 us-gaap:LatestTaxYearMember us-gaap:StateAndLocalJurisdictionMember 2020-07-01 2020-09-30 0001171155 rlgt:EarliestTaxYearTwoMember us-gaap:ForeignCountryMember 2020-07-01 2020-09-30 0001171155 us-gaap:LatestTaxYearMember us-gaap:ForeignCountryMember 2020-07-01 2020-09-30 0001171155 rlgt:StockIncentivePlanTwoThousandFiveAndTwoThousandTwelveMember 2020-09-30 0001171155 us-gaap:RestrictedStockUnitsRSUMember 2020-07-01 2020-09-30 0001171155 us-gaap:RestrictedStockMember 2020-09-30 0001171155 us-gaap:RestrictedStockMember 2020-06-30 0001171155 us-gaap:EmployeeStockOptionMember 2020-09-30 0001171155 2019-07-01 2020-06-30 0001171155 us-gaap:CashMember 2020-09-30 rlgt:Segment 0001171155 us-gaap:OperatingSegmentsMember rlgt:UnitedStatesAndOtherCountriesMember 2020-09-30 0001171155 us-gaap:OperatingSegmentsMember country:CA 2020-09-30 0001171155 rlgt:CorporateAndEliminationsMember 2020-09-30 0001171155 us-gaap:OperatingSegmentsMember rlgt:UnitedStatesAndOtherCountriesMember 2019-09-30 0001171155 us-gaap:OperatingSegmentsMember country:CA 2019-09-30 0001171155 rlgt:CorporateAndEliminationsMember 2019-09-30 utr:sqft 0001171155 us-gaap:SubsequentEventMember us-gaap:BuildingMember stpr:WA 2020-10-31 0001171155 us-gaap:SubsequentEventMember us-gaap:BuildingMember stpr:WA 2020-10-01 2020-10-31

 

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

FORM 10-Q

 

Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the quarterly period ended September 30, 2020

or

Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the transition period from                      to                      

Commission File Number 001-35392

 

RADIANT LOGISTICS, INC.

(Exact name of registrant as specified in its charter)

 

Delaware

 

04-3625550

(State or other jurisdiction

of incorporation or organization)

 

(I.R.S. Employer

Identification No.)

 

405 114th Avenue S.E., Third Floor

Bellevue, Washington 98004

(Address of principal executive offices) (Zip Code)

 

(425) 943-4599

(Registrant’s telephone number, including area code)

 

N/A

(Former name, former address, and former fiscal year, if changed since last report)

 

Securities registered pursuant to Section 12(b) of the Act:

 

Title of each class

 

Trading Symbol(s)

 

Name of each exchange on which registered

Common Stock, $.001 Par Value

 

RLGT

 

NYSE American

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes      No  

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).    Yes      No  

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

  

Accelerated filer

Non-accelerated filer

  

  

Smaller reporting company

Emerging growth company

  

 

 

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes      No  

There were 49,680,067 shares outstanding of the registrant’s common stock as of November 2, 2020.

 

 

 


 

RADIANT LOGISTICS, INC.

TABLE OF CONTENTS

 

PART I. FINANCIAL INFORMATION

 

Item 1.

 

 

Financial Statements (unaudited)

 

 

 

 

 

Condensed Consolidated Balance Sheets as of September 30, 2020 and June 30, 2020

 

3

 

 

 

Condensed Consolidated Statements of Comprehensive Income for the three months ended September 30, 2020 and 2019

 

4

 

 

 

Condensed Consolidated Statements of Changes in Equity for the three months ended September 30, 2020 and 2019

 

5

 

 

 

Condensed Consolidated Statements of Cash Flows for the three months ended September 30, 2020 and 2019

 

7

 

 

 

Notes to Condensed Consolidated Financial Statements

 

8

 

Item 2.

 

 

Management’s Discussion and Analysis of Financial Condition and Results of Operations

 

26

 

Item 3.

 

 

Quantitative and Qualitative Disclosures About Market Risk

 

33

 

Item 4.

 

 

Controls and Procedures

 

33

 

PART II. OTHER INFORMATION

 

 

 

Item 1.

 

 

Legal Proceedings

 

34

 

Item 1A.

 

 

Risk Factors

 

34

 

Item 6.

 

 

Exhibits

 

35

Signatures

 

 

 

 

36

 

 

 

 

 

 

 

 

2


 

RADIANT LOGISTICS, INC.

Condensed Consolidated Balance Sheets

 

 

 

September 30,

 

 

June 30,

 

(In thousands, except share and per share data)

 

 

2020

 

 

2020

 

 

 

(unaudited)

 

 

 

 

 

ASSETS

 

 

 

 

 

 

 

 

Current assets:

 

 

 

 

 

 

 

 

Cash and cash equivalents

 

$

23,881

 

 

$

34,841

 

Accounts receivable, net of allowance of $1,925 and $1,990, respectively

 

 

76,602

 

 

 

71,838

 

Contract assets

 

 

17,684

 

 

 

16,312

 

Income tax receivable

 

 

974

 

 

 

780

 

Prepaid expenses and other current assets

 

 

15,322

 

 

 

16,817

 

Total current assets

 

 

134,463

 

 

 

140,588

 

 

 

 

 

 

 

 

 

 

Property, technology, and equipment, net

 

 

19,251

 

 

 

18,712

 

 

 

 

 

 

 

 

 

 

Goodwill

 

 

71,071

 

 

 

72,199

 

Intangible assets, net

 

 

47,834

 

 

 

51,192

 

Operating lease right-of-use assets

 

 

11,601

 

 

 

12,580

 

Deposits and other assets

 

 

4,642

 

 

 

4,769

 

Total other long-term assets

 

 

135,148

 

 

 

140,740

 

Total assets

 

$

288,862

 

 

$

300,040

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND EQUITY

 

 

 

 

 

 

 

 

Current liabilities:

 

 

 

 

 

 

 

 

Accounts payable

 

$

72,277

 

 

$

65,003

 

Operating partner commissions payable

 

 

10,781

 

 

 

9,131

 

Accrued expenses

 

 

7,944

 

 

 

6,538

 

Current portion of notes payable

 

 

3,937

 

 

 

3,800

 

Current portion of operating lease liability

 

 

5,645

 

 

 

6,121

 

Current portion of finance lease liability

 

 

698

 

 

 

688

 

Current portion of contingent consideration

 

 

2,127

 

 

 

2,127

 

Other current liabilities

 

 

382

 

 

 

308

 

Total current liabilities

 

 

103,791

 

 

 

93,716

 

 

 

 

 

 

 

 

 

 

Notes payable, net of current portion

 

 

27,330

 

 

 

48,091

 

Operating lease liability, net of current portion

 

 

6,593

 

 

 

7,192

 

Finance lease liability, net of current portion

 

 

2,307

 

 

 

2,476

 

Contingent consideration, net of current portion

 

 

2,813

 

 

 

2,813

 

Deferred income taxes

 

 

7,399

 

 

 

7,484

 

Other long-term liabilities

 

 

95

 

 

 

93

 

Total long-term liabilities

 

 

46,537

 

 

 

68,149

 

Total liabilities

 

 

150,328

 

 

 

161,865

 

 

 

 

 

 

 

 

 

 

Commitments and contingencies (Note 15)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Stockholders' equity:

 

 

 

 

 

 

 

 

Common stock, $0.001 par value, 100,000,000 shares authorized; 50,307,481 and 50,188,486

    shares issued, and 49,674,634 and 49,555,639 shares outstanding, respectively

 

 

32

 

 

 

32

 

Additional paid-in capital

 

 

102,060

 

 

 

102,214

 

Treasury stock, at cost, 632,847 shares

 

 

(2,749

)

 

 

(2,749

)

Retained earnings

 

 

40,512

 

 

 

37,424

 

Accumulated other comprehensive income (loss)

 

 

(1,551

)

 

 

445

 

Total Radiant Logistics, Inc. stockholders’ equity

 

 

138,304

 

 

 

137,366

 

Non-controlling interest

 

 

230

 

 

 

809

 

Total equity

 

 

138,534

 

 

 

138,175

 

Total liabilities and equity

 

$

288,862

 

 

$

300,040

 

 

 

The accompanying notes are an integral part of these condensed consolidated financial statements.

 

3


 

RADIANT LOGISTICS, INC.

Condensed Consolidated Statements of Comprehensive Income

(unaudited)

 

 

Three Months Ended September 30,

 

(In thousands, except share and per share data)

2020

 

 

2019

 

Revenues

$

175,877

 

 

$

200,543

 

 

 

 

 

 

 

 

 

Operating expenses:

 

 

 

 

 

 

 

Cost of transportation and other services

 

129,911

 

 

 

145,010

 

Operating partner commissions

 

18,589

 

 

 

24,178

 

Personnel costs

 

12,777

 

 

 

14,847

 

Selling, general and administrative expenses

 

5,654

 

 

 

7,664

 

Depreciation and amortization

 

4,159

 

 

 

4,036

 

Transition, lease termination, and other costs

 

 

 

 

(9

)

Change in fair value of contingent consideration

 

 

 

 

15

 

Total operating expenses

 

171,090

 

 

 

195,741

 

 

 

 

 

 

 

 

 

Income from operations

 

4,787

 

 

 

4,802

 

 

 

 

 

 

 

 

 

Other income (expense):

 

 

 

 

 

 

 

Interest income

 

9

 

 

 

15

 

Interest expense

 

(580

)

 

 

(707

)

Foreign currency transaction gain (loss)

 

21

 

 

 

(23

)

Change in fair value of interest rate swap contracts

 

(21

)

 

 

 

Other

 

91

 

 

 

31

 

Total other expense

 

(480

)

 

 

(684

)

 

 

 

 

 

 

 

 

Income before income taxes

 

4,307

 

 

 

4,118

 

 

 

 

 

 

 

 

 

Income tax expense

 

(1,078

)

 

 

(787

)

 

 

 

 

 

 

 

 

Net income

 

3,229

 

 

 

3,331

 

Less: net income attributable to non-controlling interest

 

(141

)

 

 

(96

)

 

 

 

 

 

 

 

 

Net income attributable to Radiant Logistics, Inc.

$

3,088

 

 

$

3,235

 

 

 

 

 

 

 

 

 

Other comprehensive income (loss):

 

 

 

 

 

 

 

Foreign currency translation gain (loss)

 

(1,996

)

 

 

114

 

Comprehensive income

$

1,233

 

 

$

3,445

 

 

 

 

 

 

 

 

 

Income per share:

 

 

 

 

 

 

 

Basic

$

0.06

 

 

$

0.07

 

Diluted

$

0.06

 

 

$

0.06

 

 

 

 

 

 

 

 

 

Weighted average common shares outstanding:

 

 

 

 

 

 

 

Basic

 

49,578,590

 

 

 

49,662,540

 

Diluted

 

50,925,387

 

 

 

51,428,013

 

 

 

 

 

 

 

 

The accompanying notes are an integral part of these condensed consolidated financial statements.

 

4


 

RADIANT LOGISTICS, INC.

Condensed Consolidated Statements of Changes in Equity

(unaudited)

 

 

RADIANT LOGISTICS, INC. STOCKHOLDERS' EQUITY

 

 

 

 

 

 

Common Stock

 

 

Additional

Paid-in

 

 

Treasury

 

 

Retained

 

 

Accumulated

Other

Comprehensive

 

 

Total Radiant

Logistics,

Inc.

Stockholders'

 

 

Non-

Controlling

 

 

Total

 

(In thousands, except share and per share data)

Shares

 

 

Amount

 

 

Capital

 

 

Stock

 

 

Earnings

 

 

Income (Loss)

 

 

Equity

 

 

Interest

 

 

Equity

 

Balance as of June 30, 2020

 

49,555,639

 

 

$

32

 

 

$

102,214

 

 

$

(2,749

)

 

$

37,424

 

 

$

445

 

 

$

137,366

 

 

$

809

 

 

$

138,175

 

Issuance of common stock upon vesting of

    restricted stock awards, net of taxes withheld

    and paid

 

112,864

 

 

 

 

 

 

(301

)

 

 

 

 

 

 

 

 

 

 

 

(301

)

 

 

 

 

 

(301

)

Issuance of common stock upon exercise of stock

    options, net of taxes withheld and paid

 

6,131

 

 

 

 

 

 

3

 

 

 

 

 

 

 

 

 

 

 

 

3

 

 

 

 

 

 

3

 

Distribution to non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(720

)

 

 

(720

)

Share-based compensation

 

 

 

 

 

 

 

144

 

 

 

 

 

 

 

 

 

 

 

 

144

 

 

 

 

 

 

144

 

Net income

 

 

 

 

 

 

 

 

 

 

 

 

 

3,088

 

 

 

 

 

 

3,088

 

 

 

141

 

 

 

3,229

 

Other comprehensive loss

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1,996

)

 

 

(1,996

)

 

 

 

 

 

(1,996

)

Balance as of September 30, 2020

 

49,674,634

 

 

$

32

 

 

$

102,060

 

 

$

(2,749

)

 

$

40,512

 

 

$

(1,551

)

 

$

138,304

 

 

$

230

 

 

$

138,534

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The accompanying notes are an integral part of these condensed consolidated financial statements.

5


 

RADIANT LOGISTICS, INC.

Condensed Consolidated Statements of Changes in Equity (continued)

(unaudited)

 

 

RADIANT LOGISTICS, INC. STOCKHOLDERS' EQUITY

 

 

 

 

 

 

Common Stock

 

 

Additional

Paid-in

 

 

Treasury

 

 

Retained

 

 

Accumulated

Other

Comprehensive

 

 

Total Radiant

Logistics,

Inc.

Stockholders'

 

 

Non-

Controlling

 

 

Total

 

(In thousands, except share and per share data)

Shares

 

 

Amount

 

 

Capital

 

 

Stock

 

 

Earnings

 

 

Income (Loss)

 

 

Equity

 

 

Interest

 

 

Equity

 

Balance as of June 30, 2019

 

49,586,464

 

 

$

31

 

 

$

100,186

 

 

$

(253

)

 

$

26,883

 

 

$

187

 

 

$

127,034

 

 

$

246

 

 

$

127,280

 

Issuance of common stock upon vesting of

    restricted stock awards, net of taxes withheld

    and paid

 

138,147

 

 

 

 

 

 

(314

)

 

 

 

 

 

 

 

 

 

 

 

(314

)

 

 

 

 

 

(314

)

Issuance of common stock upon exercise of stock

    options, net of taxes withheld and paid

 

82,627

 

 

 

 

 

 

(146

)

 

 

 

 

 

 

 

 

 

 

 

(146

)

 

 

 

 

 

(146

)

Distribution to non-controlling interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(180

)

 

 

(180

)

Share-based compensation

 

 

 

 

 

 

 

430

 

 

 

 

 

 

 

 

 

 

 

 

430

 

 

 

 

 

 

430

 

Net income

 

 

 

 

 

 

 

 

 

 

 

 

 

3,235

 

 

 

 

 

 

3,235

 

 

 

96

 

 

 

3,331

 

Other comprehensive income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

114

 

 

 

114

 

 

 

 

 

 

114

 

Balance as of September 30, 2019

 

49,807,238

 

 

$

31

 

 

$

100,156

 

 

$

(253

)

 

$

30,118

 

 

$

301

 

 

$

130,353

 

 

$

162

 

 

$

130,515

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The accompanying notes are an integral part of these condensed consolidated financial statement

 

6


 

RADIANT LOGISTICS, INC.

Condensed Consolidated Statements of Cash Flows

(unaudited)

 

 

 

Three Months Ended September 30,

 

(In thousands, except share and per share data)

 

 

2020

 

 

 

2019

 

OPERATING ACTIVITIES:

 

 

 

 

 

 

 

 

Net income

 

$

3,229

 

 

$

3,331

 

ADJUSTMENTS TO RECONCILE NET INCOME TO NET CASH PROVIDED BY OPERATING ACTIVITIES

 

 

 

 

 

 

 

 

Share-based compensation

 

 

144

 

 

 

430

 

Amortization of intangible assets

 

 

2,538

 

 

 

2,630

 

Depreciation and amortization of property, technology, and equipment

 

 

1,621

 

 

 

1,406

 

Deferred income tax benefit

 

 

(85

)

 

 

(229

)

Amortization of debt issuance costs

 

 

104

 

 

 

55

 

Other

 

 

(63

)

 

 

 

CHANGES IN OPERATING ASSETS AND LIABILITIES:

 

 

 

 

 

 

 

 

Accounts receivable

 

 

(4,472

)

 

 

(3,689

)

Contract assets

 

 

(1,364

)

 

 

(4,328

)

Income tax receivable

 

 

(185

)

 

 

(937

)

Prepaid expenses, deposits and other assets

 

 

3,251

 

 

 

1,307

 

Accounts payable

 

 

7,453

 

 

 

2,859

 

Operating partner commissions payable

 

 

1,650

 

 

 

(1,353

)

Accrued and other liabilities

 

 

(377

)

 

 

(1,353

)

Net cash provided by operating activities

 

 

13,444

 

 

 

129

 

 

 

 

 

 

 

 

 

 

INVESTING ACTIVITIES:

 

 

 

 

 

 

 

 

Purchases of property, technology, and equipment

 

 

(2,065

)

 

 

(1,697

)

Proceeds from sale of property, technology, and equipment

 

 

11

 

 

 

15

 

Net cash used for investing activities

 

 

(2,054

)

 

 

(1,682

)

 

 

 

 

 

 

 

 

 

FINANCING ACTIVITIES:

 

 

 

 

 

 

 

 

Proceeds from revolving credit facility

 

 

 

 

 

193,860

 

Repayment of revolving credit facility

 

 

(20,000

)

 

 

(187,322

)

Repayments of notes payable and finance lease liability

 

 

(653

)

 

 

(1,059

)

Distribution to non-controlling interest

 

 

(720

)

 

 

(180

)

Proceeds from exercise of stock options

 

 

11

 

 

 

 

Payments of employee tax withholdings related to vesting of restricted stock awards

 

 

(301

)

 

 

(314

)

Payments of employee tax withholdings related to cashless exercise of stock options

 

 

(8

)

 

 

(146

)

Net cash provided by (used for) financing activities

 

 

(21,671

)

 

 

4,839

 

 

 

 

 

 

 

 

 

 

Effect of exchange rate changes on cash and cash equivalents

 

 

(679

)

 

 

512

 

 

 

 

 

 

 

 

 

 

NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS

 

 

(10,960

)

 

 

3,798